Full text of Commercial and Financial Chronicle : January 18, 1962, Vol. 195, No. 6126, Section 1

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COMMERCIAL and FINANCIAL
!*•

■

ESTABLISHED

1839

Reg. U. S. Pat. Office

Volume 195

Number

is,

New York

7, N. Y., Thursday, January 18, 1962

AS WE SEE IT

Editorial t
There

6126

course,, very

Price

$1.50

Copy

Sections

Section

—

Business and Finance

general agreement, that the

\vV,

'O'v '

y." y

.
.

'Vv'

•.*.'■

''•>*

•>

:*■: *

year."1962 began its course amid substantial recovery
: I from
the rather mild recession that had -been our lot.

:,1 There

is almost

After the Turn of the

general agreement among economists

f and

business leaders that the course of the recovery will
continue, and that this year of our Lord will be among
rat least the better years in. our history—barring, of
J course, such unforeseen and largely unforeseeable events

yAs is

■

the

consensus

30) at $6.9 billion.

also

ment

the

and1

These forecasts, written

the

here at home

concern

•

FLOOD

Senator

and* international

From

BYRD

a year ago.
As usual there

Finance

demands

—

utmost

shown

the

official:: records

first

fiscal

half

the

current

The government is in a pre¬
carious position with respect to

debt, domestic budget,
inflation, balance of interna¬

these

elements
serious

vAs compared with last

pro¬

* combination.

civilian

The hard facts of the situation
should

hidden

■

Or
r

con-

;

The Federal debt has reached

immediate

m»

;

*v< '

at* the

end

and

Midyear

World

War

II,' $30

Budget

Review,

ANNUAL REVIEW AND OUTLOOK

pub¬

removal

were

found

Honorable
*

William McChesney Martin, Chairman
of the Federal Reserve Board; former Secretaries
of the Treasury Robert B. Anderson and
George
M. Humphrey, etc., who
< (Continued on page 20)

State,

ISSUE

Municipal
and Public

Municipal

Housing

JAPANESE

STATE

SECURITIES
HAnover 2-3700

The Nikko

Lester, Ryons

MUNICIPAL

AND

623

Plaza

Offices

DIgby 4-7710

Head Office:

30 Broad Street

THE FIRST NATIONAL CITY BANK

1-3759 U

TOKYO

Santa Monica, Whittier

OF NEW YORK

LOS

Bond Dept.

ANGELES

Bonds and
Notes

Municipal

;;

■VI

■

Bond Division

I f

CHASE

on Southern
California Securities

New York 15
Affiliate: Nikko Kasai Securities Co.

Agency

Inquiries Invited

SAN FRANCISCO

«.

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

•

Teletype:

Hope Street, Los Angeles 17,
California
y
/

Members Pacific Coast Exchange

New York 5, N. Y.
Telephone:

Co.

Associate

1 Chase Manhattan

Chemical Bank
KcwYorkTmsl Company

So.

Members New York Stock Exchange
Member American Stock Exchange

BONDS

Securities Co., Ltd.

DEPARTMENT

notable domestic-

year,

increases

Housing,

Securities'

;

expenditure

surplus agricultural commodities,
Valley Authority, etc.
Honorable Douglas Dillon, incumbent
Secretary
of the Treasury, is
among an imposing list of
authorities, including 'Mr. Bernard M. Baruch;

$6 billion higher than a year ago, and $5 billion
higher than Treasury estimates of last June. The
Administration's

had

small business and Tennessee

its all-time peak. It is virtually f
;Hon- Harry F- Byrd
at
its
statutory
limit,, and " *
''
7
,
v
within the shadow of $300 billion.] It is $35 billion

than

year

public health and public assistance,
"defense" education, unemployment
compensation,
urban
renewal, reclamation, Commodity Credit

1; this

with $13.6 billion

in programs for

not

Dec.

with

pressures

have

year had totaled $18.2 billion as compared
$17.3 billion at the same date a year ago.
Military assistance expenditures were down from
$0.5 billion last year to $0.3 billion this year.
j

tional payments, and gold sup- :

duced

expenditures

this

Federal

ply. The inter-related

heavy increases in spending

\
Expenditures for military functions in the first
five months this year increased
$0.9 billion, or
5.3%, as compared with the same period last year.
Expenditures for U. S. military functions by Dec. 1

'■'

7'*

were

totaled $15 billion as compared
at the same date a year ago.

billion higher than at the end of the Korean War,

BOND

fiscal

domestic-civilian

civilian

This is clearly-

for

higher

telephone:

current

$1.4 billion in these programs, or 10.5%, as com¬
pared with the same period last year. Domestic-

(July-December,

year

1961)Vv;

easily emanate from faulty public policies in current prosperous times become a burden to the consumer.
Developments of this sort in exist- (Continued on page 107)

State and

the

programs.
In the first five
months of this year Federal expenditures increased

caution

could

Public

(latest

of that date

date

Virginia

throughout the foreseeable future.

to whether the so-called cost-

U. S. Government,

months

same period last year. Actual
expenditures
Dec. 1 this year had totaled $36.1' billion, as
compared with a total of $33.5 billion at the same

push inflation and the other types of inflation which

ending Nov. 30

figures) showed the deficit

tures increased

The fiscal position of the Federal Government of
the United States—in all of its
aspects, domestic

fused.

our

months

(July-November 1961) total Federal expendi¬
$2.7 billion, or 7.9%, as compared

year

for

Must Look Abroad, Too

question merely of

(1962, ending next June
The Treasury's monthly state¬

the five

with the

Chairman, Committee

obliged to consider what others may think of what we
[ are doing in our own country. Such, however, is the
J fact, and it is essential that it not be lost to sight. The
[- truth is that our financial [position among the nations
f of the world is vastly different from what it has been
:: for a long time past, indeed quite possibly different than
it has ever been in periods of substantial prosperity;at
f home, at least in modern times.
* <• ;

29, 1961, estimated; the: Federal deficit

to be $8.1 billion.
In the first five

official views

of business in all industries.

HARRY

longer

official

•

begin herewith—

HON.

with the earlier ones. -;\.r
~
course, remain, some of them more or
less unique in our history, and the manner in which
they are dealt with in this period of prosperity may well
shape the course of our economic affairs for some years
:/i; to come. It is unusual for us, to say the least, to be

for

year.

especially for THE CHRONICLE,

course

Oct.

Problems, of

current

lished

the latter months of the year may

compare

indicated

The statements

is, but by and large, confidence con-

officials,

government

the reader with up-to-the-minute

j cerning the remainder of this year is very general and.;
strong, so far as may be determined by statements in
the press and otherwise even if there are some dif¬
ferences about how

financiers,

probable trend of business in the

A provide

less clear cut the lines become, and the less unani¬

mous

country's leading industrialists,

hanlcers

and prolonged steel
strike, neither of which is now regarded as very likely.
Naturally, the further one tries to gaze into the future

4 the

in the current fiscal year

•las major war or, possibly, a serious
-

our usual custom, THE CHRONICLE
features in
today's ANNUAL REVIEW AND OUTLOOK ISSUE the

individual opinions of the

Teletype: NY 1-708

New

York

Correspondent

—

MANHATTAN

Pershing & Co.

BANK
Net

UNDERWRITER
DISTRIBUTOR

..7

T. L. Watson & Co.
ESTABLISHED

DEALBR

Active

Markets

Dealers,

Banks

Maintained

and

Brokers

CANADIAN

Canadian Securities

1832

Block Inquiries Invited

BONDS & STOCKS

Members
Commission

New York Stock

FIRST

Exchange

American

Exchange

Stock

Orders

Executed

DIVERSIFIED

All

Canadian Exchanges

CANADIAN

CALIFORNIA

DEPARTMENT

Teletype NY 1-2270

S<ndku>eAt

Food
25 BROAD

COMPANY

STREET

DIRECT

NEW YORK 4, N. Y.

Goodbody
.

BRIDGEPORT

-;v.;

PE!
PERTH AMBOY

Dominion Securities

VIRES TO MONTREAL AND TORONTO

Co.

Corporation

MEMBERS. NEW YORK STOCK EXCHANGE-

2 BROADWAY

NEW YORK

1 NORTH LA SALLE ST.
L-

...

CHICAGO

Exchange Place, New York 5, N. Y.

Teletype NY 1-702-3

•

WHitehalt

Processing
MUNICIPAL BOND DEPARTMENT

bank of america
N.T.&S.A.

4-S161

SAN

ill-

FRANCISCO

LOS ANGELES

The Commercial and Financial Chronicle

Brokers, Dealers only

For Banks,

"41 Bid"
offer

experience

years

than

Vice-President, If heeler &Cruttenden,

The Bon Ami
'

•

the-Counter structure.

?+onTA-n?11 Company

Established

Member

Associate

field of house¬

specialty

ancewith

Exchange

Stock

American

BOSTON

1-40

CHICAGO

•

SAN FRANCISCO

•

Wire

Private

Nationwide

Teletype

4-2300

PHILADELPHIA

the

.competitive
the

For

company

dominated the

and, un¬
fortunately,
to

ment

WEINBERG,

& CO.

INC.

Security

Dealers

and

President

Ass'n

of na-

Chairman of the

A. Schwaikert,
took over the helm in
Ralph

Ami has
and
broadened its
product line
of
Cleansers, Cake,
and ' Jet-Spray
the summer of 1958, Bon

BONDS
Bids

Odd Lots

—

★

No.

3-*7830 A

'•

1-2762

be. will

its

since

Industries
Shoe

All Issues

LYNCHBURG,
-

VIRGINIA

Victor 6-1333

TWX LY 77

Private wire to Shields & Co.,
•

our

branch offices

of. Beni

year

ended

increased defense

our

JAPANESE

10-year $50 billion

further

excellent

show

SECURITIES

WdW
1,

■

•

«1

;;

^Securities Co., Ltd.
YORK OFFICE:

NEW

149 Broadway, New York 6, N. Y.

Telephone: BEekman 3-3622-3

V:v'

BOUGHT

SOLD

—

maintaining,.^ajor,

L. A. DARLING CO.
..'A/

ahiWhi

• ■>;?•,.

Largest Manufacturer of Complete-

All Other Retail Stores.

P°tentialS than ever before-

*•

New York

City

these

activities,

longer identified
narrowly as a cleanser company,
rather, it is moving in the direction
of
expansion and vertical
diversification through the development and acquisition of new
specialty products in the house¬
hold cleaning field.
Dramatizing
the results of the company's new
philosophy in sales management,

Is there an electronics, sp$ce,

With
in

hand

after

New York Stock

Exchange

the

Ami

and

"financial

cents

per

Ami

year

took

for

sales

reason

proximate

1961

$6,000,000,

will

while

the

pany,
a

Paul

Weesner,

The

lion, which is only about 40% pf
its sales volume ($752.8 million).
in the fiscal year ended Sept. 30,

about

manufacturing,

pro-

when

administration.

and

The

space

3.7%.

•

(This is under
,

as a

■
no

vast

■

circumstances

solicitation; of-an offer

Bay

}

DE 75

City, Mich.

•

have

several, openings

registered representatives.
terms.

jets

HAMPSTEAD INVESTING
CORPORATION

70 Fine St.

for

New York 5

HA 5-6250

private purposes con¬

aircraft, instru¬
radar sales.
In

any

also developed an

communication

N. Q. B.

sys-

maneuverins and
w

sixty-two is the

year

has

sales

improvement.

Bendix
-

as an

offer to sell,

security referred to herein.}

OVER-THE-COUNTER

INDUSTRIAL STOCK INDEX

control systems

nuclear
attaTk
?"VdUioh Bendix

Pollris ai?d

ime contracts in the

theU.S.A.wants_toj^akebig Enefgy

be construed

buy,

comDanv

underwater

r-A

:■

and missile news and the
automobile industry looks for a

the

operating team is
hard-hitting, young, aggressive
#

—

Attractive

Yem^ whiclv"toaMmRs the-4uiran
voTce
well
cod
and obare Snld
contracts
for-'automatic

in Chemistry and IndusManagement, and has come

duction

Office

nose

trial

balance

26, MICH;

addition,
the company built a
landing gear widely used in

Oppenheimer

by the market for about $355 mil-

Mr. Schwaikert holds

standing, the corporation is valued military and other, craft.

The Bon Ami Com^

•Nineteen

t."■-(i■

W. H.

degrees

ranks

;

strong growth factor for

company's
mentation, and

1961.
Currently, the shares
selling only 15 times estimated
1962 earnings, offering a yield of

tne

smaller

the

nRQ

out"

Exchange

Salesmen

both

Doppler radar systems

use

and

stitutes

ozusnares out-

New York 5

such

620 shares

•

for.

increased

13enaix

old President, Ralph A.

Schwaikert.

BOwling Green 9-6100

i?f?PaRpnH?v

aggressive group headed

year

sales

received,

system

airline

con-

Chairman

Branch

for

Yes,

ap-

has surrounded himself with

young,

by 34

„r

Board of

Penobscot Building

DETROIT

were

1 e n 1 1 y b 1
cts?

$7 'son non

„

Bendix's

half

connected with aviation,

p r o s p e

servative estimates for 1962, without
additional
acquisitions,
are
nlapprf

Stock

WOodward 2-3855

a
new air-borne
pinpoint naviga¬
tion without any ground refer¬
ence,
The company's control sys¬
tem is used by 45 of the world's
airlines as well as by military air¬
craft.' The
prospect of sharply

able

fprin„
,

1501

500 Bendix

yield, and of-

the

Detroit

military and commercial. In the
last fiscal year, orders for over

ratio, afford¬
ing a good

are

Drlee.earnltl„

new

and

over

1962

Nearly

sheet,
at

operation m tne very

d and piotit-

Civilian business with con-

selling

Members

^ operation in the very near

at the

caP:

increased

since

balance

■

Midwest Stock Exchange

italization and

extremely
promising. The company reported
net sales of $5,300,000 in 1960 and
estimates

80 Pine Street

have

each

management
forecast

Underwritings

definite

s?Iine

turn-around

years

sales

12%

mlsslle+. company which

months of 1961.
Bon

Securities

1958,

picture,
reporting
41
share in 1960 and 73
share for the first nine

per

11% to

Investment

firmly

housecleaning," -the
returned to a profitable

company

cents

soap.

summer

began
two

earnings
.

management

new

Bon

Members

M0RELAND & GO.

radio

g r o

Stearns & co.

called Spasur, designed for track-

Therefore, it appears to me that
the investor who is looking for a

jng dark satellites which emit no
signals Bendix was selected
wth
situation
previously f0r an important role in the develignored because of
difficulties, -opment of the guidance systems for
may find a rewarding increase in theSaturn Missile, the nation's largequity in the near future. The est space vehicle planned for exstock is traded in the Over-the- pioration of the moon by 1970. On
Counter Market,
the "important program, Advent,
which will endeavor to place a
WINFRIED H. OPPENHEIMER
satellite in precise orbit so that it
will remain stationary in the sky,
Partner, Oppenheimer, Neu & Co.,
Bendix is a prime contractor for
New York City
, v
.
is the fact tnac in htree years Bon
communication equipment, ground
Members New York Stock Exchange
Ami sales of Jet-Spray have exand
shipboard
terminals.
Thepanded to the point where theyv Bendix Corp.
company is proud of its new space
new
exceed;, the
sales
of
the
<
system laboratory Which will be
result

Ami is

Bon

STRAOER and COMPANY, Int.
LD 39

Equipment for Discount Houses and>;

^ P

nroms 40% In 1962.
profits 40% in

Furniture

...

Direct wires

founding

original cleanser and cake

percent

With internal financial-difficul-^rac-lcms
ties now^ irf>|he^past,vwith;T
and financial resources at a• f ive-;
year high, and with a young, ag-

?962

First

Craddock-Terry
R.

directions

30.
1961
were
miutary
against 69% in the previous year.-

the Bon Ami family of products, -manning and

Bassett

these

dix'g sai(.s jn the fiscal

prefer .budget and

can

NY 1-1557

Birmingham, Ala.
Mobile, Ala.

manufac-

markets

Exchange
Exchange

polish, and Bon Dent, a denOn Dec. 1, 1961, The
vAmi Company acquired, for
cash, the One-Wipe line of Dust
Cloths
and
Dust
Mop
Covers,
which is the first acquisition

Virginia Securities
American

their

Stock

:Sept

with less. In view of

York

prospeets for this

ture cleaner.

Ami

American

Markets

Continuous

furni-

.Bern

Bon

Call

in both

active

ture

—

WHitehall

Teletype

placed

now

Dust'N Wax

market

the

Exchange Place, New York 5
Phone:

Ami- and has

Bon

(To Brokers and Dealers)

forward

vigorously

moved

increased substantially as man- gr0wth. As late as 1958, the figure
agemfint continues its forward was only $78.8 million. The Navy
and aggressive policies. % y,\
selected Bendix as prime ' conThe dompany is in the' best fi- teactor-for the,new long rangenancial condition m five years'Typhon Missile, designed to proand recently obtained a line of vide the fleet with improved
bank credit which is available for capability to intercept enemy
further growth and diversifica- missiles, planes and vessels. The
tion. Similarly, a recent report by company is also the prime conDun & Bradstreet shows remark- tractor for the Navy s older Talos
able change in its Organization surface-to-air weapon}> and conand financial stability, to '</ the tractor for the Army s heaviest
point where additional companies weapon, the Pershing ground-toare seriously interested in joining ground missile. The company is

financial entan-

its

found

Paul Weesner

Board

New

Members

^Yhus; |i*s shares''offer extent

competitive,,^seventy-two

pressures
non-food

Members

and

errors

and

ping,, and

tionalmarketdwindlingupto 1958.
Since new management, led by

Members
Y.

Kraft

les
series of static Manage-

glements

GROSSMAN

Verner

ket

due

food

Steiner, Rouse & Co.
HAnover 2-0700

pr6gram to iand a man on the
distribution firms because mo0n plus the dramatic boost in
the potential is limited only
by,; civilian>space outlays, I believe,
the growth and economy of the
missile und space sales, which
country., Bon Ami, is .presently .in i; fiscal
1961
advanced
from
sharing in the wide trends to fur- 5182.4 million or 23% of total
f.ther one-stop super-market shop- saieg
to $197.2
million or - 26%,'

cleanser mar¬

System

less

Bought-—Sold—Quoted

turmg

years,

many

•larger profit potentials

con¬

sumers.

New York 5

120 Broadway,

position than heretofore and management has confined their actiyities
and
marketing
efforts
to

products and a
77-year his¬
tory of accept-'

1920

now

are

in its

nence

.19 Rector St„ New York 6, N. Y.

the presBon Ami products

ent sales base.

New Orleans, La. -

than shown .on

amount

;•

partner, Oppen

heimer, New & Co., New York
City (Page 2)
>"

profits by an even further

crease

will
will inin

volume
volume

saips
sales

aHHitinnai
additional

Company al¬

Corporation

Corporation—Winfried

* Oppenheimer,

and facilities, to the point where

Security I Like Best.

ready has na¬
tional promi-

hold

Bendix

^ Tlie company

The Bon Ami

New York Hanseatic

com-

has now. reduced
0yerhead,--manufacturing, plant

The

"HANSEATIC."

the

•

Verner

Co.

Calif. (Page 2)

who

Mismanagement,^ can .best

Past

Call

H0'nc6

Ami

Bon

Ic^ttlnd^nifLos Angele"

farms'
and

returning

Louisiana Securities
The

place of natioanl promi-

pany to a
•

title, "The Hidden Asset

The

Over-

vast

the

■

actively

are

Company

from
fields

Inc., Los Angeles, Calif.

yourself to reach

ment

recruited

group,

Alabama &

VERNER H. KRAFT

Week's

Participants and

favoring a particular security.,

broad markets in any seg¬

WOrth

Thursday, January 18, 1962

\ Their Selections

field from all sections of the country

participate and give their reasons for

This
Forum

each week, a diffarent group of exparts

in tha investment and advisory

helping buyers and sellers
like

Like Best.

The Security I
A continuous forum in which,

(270)

Atomic

23-Year
;

Commission's weaporis
and produces the only

Performance

35 Industrial Stocks
FOLDER

program

ON REQUEST

VQmaTirm
radiation flPTPPTinn in^niniem au.
detection instrument ap-

prQved by ,he off.ce of

clvil and

Defense Mobilization.
Fiscal

1961

was

bad. automo-

National Quotation Bureau
Incorporated

46 Front Street

New York 4, N. Y.

Volume 195

Number 6126

The Commercial and Financial Chronicle

(271)

CONTENTS

Business of Title Insuring
v

By Dr. Ira U. Cobleigh, Enterprise Economist

•

A short

commentary

the expansion of title insurance operations

B.S.

Articles and News

•.,

When

buy

you

estate,

piece

want

you

pansion

real

make

made

connection

transfer

real

with

the

but

in-

estate,

creasingly, especially by mortgage
lending, institutions, insurance of
title by a responsible company is
required. '
'
'
.

Life

the

these

now,; however,

sectional

panies to
porations

costs

possibility of
not

bu?

country, and the
resulting velocity and volume, of

transfers,

property

Higher One? ;

—_

:jl4;,U.

—-

WALL

STREET, NEW
WHitehall

YORK

4-6551

Patterns Developing

Babson

Del Webb
Common

Warrants

Jerrold Electronics

and

finance

speaks

Lindy Hydrothermal Prod.

after

the turn of the year

.VSri

Starting

the

/'.•

Vj.-v

of today's ANNUAL REVIEW
AND OUTLOOK ISSUE, we
present the opinions of [>
leaders in Government,
Industry and Finance regarding
on

Electronics int'l Cap. Ltd.

cover page

Singer, Bean

the outlook for business in 1962.

mackie,

HA 2-9000

In the SECOND SECTION of

months, of

today's issue will be found
high and low prices, by
stock and bond issue in which dealings

occurred

every

the New York. Stock

future.

Exchange during 1961.

inc.

40 Exchange Place, N. Y.

Teletype NY 1-1825 & 14844

usual tabular record of the

our

Direct Wires to

Chicago

Cleveland

Philadelphia

Los Angeles

San Francisco

Washington

Guaranty and

Mortgage Company

Regular Features
'

formation

branch offices for older

frequent

ones.

occurrence.

business

has been

'Bank

Total

30%

or more of premium income,
Further, overhead in a title company
(salaries
represent
about

without
in

the

basic

The

similar

the

!«■*'>

'.K

/__
.

108

.V':

kelly girl service
,/

'*. '

•'

''*•

commonwealth
oil & refining

128

Einzig: "The New IMF Facilities"

chemoil

1960

From Washington Ahead of the News—Carlisle
Bargeron

Inter-County
end

year

industries

futterman corp.

were

;
Indications of Current Business Activity
Corporate growth is
documented by the fact that the
company had four offices in 1944, // Market. . . and You (The)—Wallace Streete

an(j

at the

109

glickman corp.

end of 1960. In the

period, annual gross income

Mutual Funds—Joseph C. Potter

after taxes and

reserves

About

News

Banks

was

and

Bankers

Observations—A. Wilfred Maiy____
Our

1961.

but

company,

...

Governments

Utility

Securities

Company

smaller

Broadway, New York S
DIgby 4-4970

Securities

Now

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

Registration

110

one

Security

Prospective

showing excellent growth, is Se-

reserve,

Reporter

Public

Security Title and Guaranty

Offerings.

126

curity Title and Guaranty Corn-

required
companies.
\

reserves

life ipsurarice

the

and indi¬

...Vw„.

$6,347,511.

may

set

...

Dealer-Broker Investment Recommendations

applying against 140,280
shares of capital stock outstanding> The stock trades
OTC
at
ar0und 18%. A substantial gain
jn
net
income is
expected for

require that a
percentage of premium in-

certain

assets

come

titles, the reading of abstacts, and
preparation of formal opinions
of
title. Substantial
capital - re¬
sources
are
required to back up
states

■

$202,692

the

vidual

Stocks--

Coming Events in the Investment Field

from $185,790 in 1944 to $4,817,412 in 1960. For 1960, net in-

op-

examination

guaranty of titles,

'-'J.

Insurance

Cover jj'

r0Se

corresponding

costs.

eration

Title

same

75% of this) is stable and a large
increase
in
business
can
be
increase

and

n/j 'VS.r

„

Bahamas

attract-

ing capital not only because it is
a
growing one, but because it is
a
highly profitable one. A well
managed company in a good year /
can show pre-tax profits
equal to

handled

■'

/M'As^ We See It (Editorial)

Connecticut, Delaware, District of
Columbia, Florida, Indiana, Kentucky, Maryland, Massachusetts,
New jersey
Ohio, Pennsylvania,
virginia
West Virginia and the

ancL mergers and

companies,

The

Buying

business

title business in New York State,
^ also provides title insurance in

come

Electronics Capital

extensive

the

of the years

5r' .because °j?':
m
GuS
an
construction,
throughout the

•

Pont_2

St. Louis "

Inter-County Title

./'//'

Retail

—Roger

1J.1

are

Low Return Instead of

for list

Write

Levy
;»•'■

—Margaret K. Matulis___

Moving
to
New
York
State,
controlled,
examinations
In
-CXgClxliC
again we J. JL1 ILL booming X Cell C6*
WC
find LJUUXXXXXXg real esand searqhes xonducted mpre
tate, and title companies expandficiently
ant^| ^apital^ iesources i;jng their offices and their earning,
created to permit the
issuance^ of
r; inter-County Title has its
larger policies (with corresponmain office in NeV York-City.,
dmgly higher premium income), -^hile it
conducts
an

new

;

"...

OBSOLETES

_____

the

increase

distant

too

better

new

Cobleigh

Outlook for Investment by Business in the Year Ahead

Present'

is 50 centg

the

cor¬

can

Insuring—Ira U.

Outlook—Michael H.

Rhett

Higher
■

rapid rise in net earnings suggests

com¬

into

where

for

regional
larger

merge

the

in their immediate localities.

trend

page

over-the-counter

have been formed to handle busiThe

Telephone:

T^iiowin^ fo°rdStockhsplltsT^Sl
<*]ll°™\ "if^eslntlv aCoted

recording of titles
usually done in.the
vicinity of the property location
(at a town, city or county office),
hundreds of small title companies
is

ness

Insurance

£'—A.

deeds

Title

Why Accept

30 counties v in Caliin Washington and

insurance

-Because

•'

Security Title grossed ,
which it converted j
otherwise than, as stated in the i11^0 a ne^ income of $1,457,000 or
policy. Premiums are based on 66 cents on each of the 2,213,375/
fair valuations
of the property, shares outstanding. For this year,
and paid at the time of transfer.
Per
share earnings of around;
Very often, on high priced real 85 cents have been predicted.
estate, several companies will coStockholders (they number over
insure the title to spread the risk 5,000 today) have fared very well
on
any possible claim.
111 thls company over the years.;
and

•:

-•

policy is , a policies in
written document protecting the..fornia
aod
owner
against loss, if the condi- Utah.
tion of title to the property is
F°r I960,
found, at any later time, to be $15,671,000
title

10 BEST
Business

boundary demarkations.
invariably a title search

loan '

and

;The second largest title enterprise in California is
Security
Title r Insurance
Company.
Its
present
magnitude
results \ not
only from the rapid growth of the
industry, but from a long series, ,
of mergers over the past 40 years in¬
capped by acquisition, in 1959, of
Land Title Insurance Company,/;
third largest in California at the
time. Security-now issues -.titleX

survey or

Almost

savings

unsatisfied lien, no unback
taxes,
no
error
in
or

paid

its

companies
and,
equally, pros- -'
perous times in the title business,

sure

-that you really own it; that there
is no cloud in the
title, no ..uncus-

closed

COMPANY

AND

and profitability and prospects of certain companies in this field.

//<

llCHMSTfll

;

pany

serving

York

and

its

Metropolitan New
burgeoning surbur-

Security I Like Best (The)

/;• 2 '

: •

ban

Security Title Insurance Company
California
New

York

areas

Long

Wbstchester

Island.

The

and

company

Sebarity
State

licensed not only in New York,
bid in New Jersey, Connecticut-

second

only to
in population, at the

moment, and expects to pass New

an<J Florida as well.

York this year. As a

Gross income has expanded at
an attractive rate from $1.304 612

the

influx

consequence

some

million

people in the past decade,
been enjoying a

fornia has

$2,411,127

A®®'

Cali-

roar-

Profits

before

Continued

ing yealty boom, enthusiastic ex-

taxes

•.

Salesman's Corner__i___
Trade

have

Washington

1960.

on page

(The)

and

Published

Twice

FINANCIAL

Spencer Trask & Co.
New

York

Weekly

Reg.

Company

CHRONICLE

Reentered

WILLIAM

25 BROAD ST., NEW YORK 4, N.

Albany

Boston

Nashville

Newark

Y.'

TELETYPE NY 1-5
Chicago

Schenectady

COMPANY, Publishers
New York 7, N. Y.

Glens Falls
Worcester

^ .

Dominion

Other

Editor

Thursday, January, 18, ,1962

Every

vertising

Thursday

issue)

(general

and

every

news

and

Monday

„

ad¬

(com¬

plete
statistical
issue—market* quotation
records, corporation news, bank clearings,
state and City news, etc.)
*

Qther
Chicago

Office:
3,

135

South

in
United
States, U. S.
Territories and Members of
Union, $65.00 per year; in
of
Canada,
$68.00
per1 year;

Pan-American

SEIBERT, Treasurer

MORRISSEY,

matter Febru¬

Subscription Rates

SEIBERT, President

DANA

second-class

Subscriptions

Possessions,

Countries,, $72.00

;
t.

CLAUDE D.

GEORGE

Exchange

TELEPHONE HAnover 24300

DANA

Park Place,

ary 25,
1942, at the post office at New
York, N. Y., under the Act of March 8,1879.

Patent Office

REctor 2-9570 to 9576

1868

Stock

Utilities

128

The COMMERCIAL and

WILLIAM B.

Members

Mackey

You

•

Founded

Southern Gulf

___..

••r-

Industry

improved

PREFERRED STOCKS

specialized in

and

Tax-Exempt Bond Market—Donald D.

For many years we

___:

Salle

St.,

111.'(Telephone STate 2-0613).

*
■

•'

Bank

$45.00

per

Other Publications
and

per

Quotation

year.

Record

(Foreign

Monthly,
Postage extra).*

must

subscriptions
made

New

and

other problems that business

forward. Our population

population
markets

new

many

lie

problems,

JOHN

SPARKMAN

S. Senator From Alabama

American

enters

economy

Small

1962

Business
the

almost

between

the

rise in prices, mostly in services, real national output rose about
7% during the year. Industrial pro¬
duction

that

has

increased

corresponding rise in manufacturers

realistic

about 13%, in retail
8-9%, in disposable personal
income
almost
6%, in construction
almost
8%, and in total
employment a little over 1%. The
seasonally adjusted rate of unem-

sales

were

also

sales about

■HHMHHi
Hon. John Sparkman

Payment
the

year

fell
end

moderately
after

toward
remaining close

7% for eleven months.
The

recovery

is not yet

old

year

this is written,

Continued

CONDITION

State, Municipal and
'

48,615,976

DECEMBER

31, 1961

228,730,664
1,596,084

Banking Houses

5,459,660

Other Assets

1,107,905
creating

Better
Tomorrow

LIABILITIES

|
$441,361,582

,.......:.

Deferred Credit due

' v

: *

Federal Reserve Bank
Income

THE

15,987,713
4,821,176

.....

■

•

CONNECTICUT

BANK

•

Accrued Federal and State
on

Income

2,870,382

Dividend Payable in January 1962

OWNED

ONE OF THE LARGEST PUBLICLY

REAL ESTATE INVESTMENT COMPANIES

Reserve for

Capital Stock

PROPERTIES COAST TO COAST

'MfCJKMMMf
o

Xouil J. Glickmon. President

~-501 Fifth Avenue
*

■

•

■

Lester E. Shippee, Chairman

■

Raymond C.

10,154,418
_

Total Capital Funds

37,769,005

15,000,000

Undivided Profits

15, CONNECTICUT

HARTFORD

§jj§
$12,614,587

Surplus

500,000

(Par Value $12.50)

AND IN CANADA

MAIN OFFICE:

3,107,558

Contingencies

Capital Funds:

OWNING MAJOR INCOME-PRODUCING

AND TRUST COMPANY

||||j|

504,584

Other Liabilities

Ball, Vice Chairman

Pomeroy Day, President

and Cho.rmon ot the Board.

New York.17, N. Y..-:;

OXford 7 8300

13%

but

□F

Accrued Income Receivable

almost

from the February low, while the

STATEMENT

......

and

small

can

Other Securities

first

1961, from $500.8
about $540 billion (estimated),
in current prices. Corrected for the

same

Loans and Discounts

recovery

fourth quarters of

com¬

market

Government

Taxes

can

in the

continually

and

today
are

Securities

Unearned

readily

one

phase of the business cycle, in contrast to a year
earlier,
when activity was falling and
nearing the low point
reached in February 1961, Gross National Product rose

accomplish a great deal toward
this end. Some suggestions have been
made, one of these
being a tax credit approach to stimulate the purchase of
new equipment in the business
community. I, personally
feel that this approach is not the answer because it

Deposits

ever

ahead.
as

Banks

increasing.

ever

our

Chairman, Select Committee

The

Cash and Due from

U.S.

of this type of legis¬

our

subsidizing business,
time acts in no other capacity than that
of a temporary "shot in the arm." In
addition, it will not
accomplish that which must be achieved, namely, the
replacement of obsolete machinery and equipment. For

vital

action

reason

Gross National Product at a maxi¬
own
national interest that all
work toward this goal.
rate.

have

machinery

business

replaced if

successfully, not only in the domestic

and at the

the renewal of

proposals will play

too

interest

equipment
must

any

confident that the outlook for business
ahead is extremely bright. We must

HON.
-

carries with it all the earmarks of

Agreements Program.

Needless to say these two

Hon. G. A. Smathers :

pete

opinion,

warrant

strive to increase

long
standing, not only in the interest of
business community but in our

instruments;;and institutions through
to

many

world's

challenges and
Though there are

SMATHERS

taken to resolve this problem of

which

Congress, and for this

move

The

the

out

New

provisions under our
existing tax structure. In my opinion
it is imperative that swift action be

The monetary, credit, and fiscal policies of the United
States
and the

they operate must be designed

made

they are not insurmountable.
putting our shoulders to the wheel,
exercising prudence, common sense and good judgment,
,With

depreciation

use

not

the other hand

economy.

Perhaps one of the greatest drawbacks can be attributed to obsolete

well

Dlish ^at which we are capable of
achieving if we are to compete successfully in a free enterprise system,

recommendations

credit

realistic approach

recovery.

after

estimates

depreciation of productive facilities should contribute

GEORGE

tax

faces, including further improvements in labor-manage¬
ment relations,
mergers, foreign investments, the Euro¬
pean Common Market, and many others." The
answers
to' these problems, of
course, cannot be arrived at over¬
night. - They are not susceptible of simple
solutions, but

can

Generally speaking,- business today with the exception
of a few sore spots in our
economy, is enjoying good
times. This is reflected in the continual growth of our
Gross National Product. However, it is my
feeling that
^
even though conditions are generh
ally good, much more needs to be
done, and must be done, to accom-

be expected

can

met,

and

agree

see,

that

indicate

health

has

case

along this line by the

government.

U. S. Senator From Florida

services

and

the

HON.

higher

produced in this
between $565 and $570

goods

Bread-based tax reform and

and

the

responsibility is
vigor of our

greater will

role of

dividend

would predict that the
proponents
lation will not succeed:

to assure the peace, and they: expect leadership
toward 1962 and the years to come with a view towards
in foreign affairs and defense policies that will deter •
the expansion of the private sector of our economy and
aggression against the United States and its allies.1
.;•
sary

on business, as well as many hardships
the individual recipients of dividends and interest. I
believe that most taxpayers are
honest, law-abiding citi¬
zens, and I am not convinced that the repeal of these
provisions would in any way close what some believe to

com¬

services which the government

and

provide more-efficiently than private enterprise, such
as national
defense, foreign economic aid, highways, the
postal service," andJ some: others.
But, we must look

people will support

measures

should

petition it is attempting to stimulate by excessive
lation and public intervention.
Most- of- us will

solvency as budget policy
growth are mutually

economic

related.

regulation

exclusion

tion^, burden

consideration should be given to our

$50

imposing a withholding tax on dividends and interest.
My irank view is that this action would place an addi¬

tion

fiscal year.

addition

should insure that resources are used
efficiently.-,
However,; it is the role of government to insure that
competition is effective, operates justly, and extends
adequate protection to the consumer.
;

budget deficit of $3.9 billion

the

developed to meet the
industry.. ;

•A primary concern of government is to
provide an
appropriate climate and set of conditions to enable pri¬
vate enterprise to meet our economic
needs through a
competitive market system. The pressures of competi¬

•

On Oct. 26, President Kennedy re¬

ported

Policies must be

problem under

our existing tax structure.
improving our existing depreciation
methods, the forthcoming Congress will also give con¬
sideration towards taking some action with
respect to

to negotiate for reductions of tariffs and other

powers

this

■■

„

needs of agriculture as well as those of

expendi¬

enterprise * sector

this subject.

Moreover, the Trade Agreements Act expires on June
30, 1962, and the Administration is pressing for broader
trade barriers.

ment.

Member F.D.I.C.

•

Member Federal Reserve System

page

The Commercial and Financial Chronicle

(294)

Continued from page
while

its

and is now, especially fortunate in the blessings we have inherited. Our entire society rests upon—

has been,

point

character

and

momentum

further
,

the

though

unfolds—a

and

minerals. How.

our

health,

our

security,

investment in

dividends

rate of expansion may slow as the year
slowing which is usual at that phase of a

tomorrow,

opportunities lost forever."

Wise

pleted another

year characterized by impressive records
of progress in every aspect of their operations, including

developments that will have

:/.

effect

The

recovery.

The economy will be feeling the stimulating ef¬
fects of a continued rise in purchases of goods and ser¬
(1)

understood

this

for

reason

when

concern

that

realize

may

water

our

clearly

the

will

use

Officer,
and

The natural gas and electric utility industries have com¬

to act now may be

failures

ACKER

President, Empire State Atomic Development Associates :

today will return vast

program

and

well-being.

and

economy,

resource

Thursday, January 18, 1962

Chairman Board tof Directors and Chief Executive
Central Hudson Gas & Electric Corporation,

these resources influences

we use

ERNEST R.

land, our water, our forests,

and is dependent upon—our

vigorous expansion in the first Kalf of the new year.
usual, it is difficult to see clearly beyond mid-year
but there is no present basis for expecting a renewed
downturn before year end. Several factors indicate a
continued rise in overall activity throughout the year

continuing and beneficial

their business in

to follow.
confidence of

1962 and

years

The

investor-

the

owned utilities in the future

double in the next 20 years; that we are harvesting our *
by all levels of govern¬
ment—Federal, State and local. At annual rates, pur- .< supply of high-grade timber more. rapidly- than the
chases by State and local governments are , expected ; development of new growth; that too much of our fer¬
to continue to rise by about $3-4 billion per year, while
tile topsoil is being washed away; that our minerials Federal purchases are expected to show a rise of about
are being
exhausted at increasing rates; and that the
$7j/2 billion per year between the first quarter of 1961
Nation's remaining undeveloped areas of great natural '
and the second quarter of 1962. The rise thereafter is
beauty are being rapidly pre-empted for other uses.
likely to slow down substantially unless the international situation forces new rises in defense spending,
In the' year just concluded, vigorous new resource
the factor accounting for almost all of the rise in Federal V
programs have been launched by the Federal Governpurchases of goods and services so far and in prospect
ment, and new and greater emphasis will be placed on
now during calendar 1962.
the conservation and development of our natural re¬
(2) Residential nonfarm construction has added to
vices from the private economy

business

their

was

growth
dramatically

demonstrated with the continuation
in

1961 of a high level of cohstructiprt of new facilities. Sales and reve¬
nues: exceeded all previous
records
despite the; effects of a- nationwide
recession" early in the year, and 1961
was .a, year of significant progress in

:•

at an annual rate of about $3 billion
far in the recovery. The level of nonfarm
housing starts, and therefore construction put-in-place,
is expected to continue at about present rates through
national

output

1962.

■

in the year ahead.

sources

year

per

research
•

approval by the Congress of legislation to promote water

pollution control. This

'•

came

time

electric

the

y; In

with '

came

development,

i n d u s t r y, 1961
brought encouraging results from the
now almost nationwide promotion ofErnest R. Acker
Total Electric Living, including electrie househeating. This and other aggressive promotion efforts by the industry and by the
individual companies will' continue to have very favor-'

major conservation achievement of 1961

and

«.

effects

able

when pollution

sales and

revenues

1962

and future,

years. The industry's construction program, estimated
of our rivers and streams had—as a result of rapid
spending on new plant and equipment
in 1961 to have involved about 10% Of the new construc¬
rise somewhat more promptly in the y;
population - and industrial growth and change—reached
tion expenditures of all nonagricultural business in the :
present recovery than in earlier postwar cycles. A sharp
U. S., is keeping well ahead of the anticipated growth;
alarming proportions.
::"yV;v.;'
rise in profits, increases in internal fund3 from deprecia- .
in sales and new customers. Furthermore, the
progress;
At the same time, in an equally important action, the 1
tion charges, and rising demand should result in further ;
being made by the industry in the development of nu-"
increases in business plans for spending on plant and y Congress authorized a $75 million program which en->■
clear electric power, of larger and more efficient con¬
equipment in 1962 so that the year may turn out 10% ... abled the Department of the Interior to
greatly acceler-v ventional generating facilities, of extra high voltage*
or
more
above 1961 investment spending, appreciably
transmission lines, of power pooling among companies ■
ate its work toward development of the best and most
more
than the 4% revealed by recent surveys. These
and
in
the
further applications of automation
give
economical processes and methods for converting, saline
surveys tend to understate the recovery since business¬
promise that operating costs can be controlled effect¬
men revise their plans upwards as expansion continues.
and brackish water into water suitable for.-beneficial
ively and that the investor-owned electric utility in¬
(4) Business buying for inventory has already con¬
consumptive purposes. \ V V y
;
:
r v'
;
~ Y, dustry will maintain its ability to meet all the future
tributed almost $10 billion per year to the rise in Gross
An example of the progress being made in this vital
electric power needs of the nation economically and:
National Product, switching from liquidation at $4 bil¬
efficiently.
:
area may be seen in the fact that in
y
Y lion per year in the first quarter of 1961 to accumula¬
June, 1961 President
An example of the importance the utilities place on'
tion of $4.5 billion per year in the third quarter. A
Kennedy pressed a button at his desk in the White
.

(3) Business
has
begun to

■

rise

further

the

rate

indicated

seems

business

House

plans, but inventory buying may contribute little to the
rising GNP after the first quarter of the new year.

'expervditq^e^ have

Consumer

(5)
rate

about

year,

more.

personal incomes, reasonably stable

first

saline

in the activities of the

water

gallon-a-day plant that is already in the Freeport

cooperation

with

nicipal water system.
Within

•*

months, dedication ceremonies

ing completion of construction of

mu¬

November, ESADA entered into a $1,400,000 contract
or the development, by mid—
1963, of techniques for processing and fabricating a new-

with Atomics International

held mark¬

were

250,000.-gallon-a-day

type of nuclear reactor fuel. During the year good pro¬

plant to demineralize the brackish well water at Web-

gress

into

all factors
in

should

1962

total with

the rate

average

second

million-gallon-a-day

plant at San Diego, Calif.
At

the

time

same

water

sea

President

Kennedy

reaching

Water

Resources

conversion

Division of General

delivered

Planning Act which

great river basins.

Jn, another

area

to-

would

To
all

;y-•' :.-v

y/^

these

meet

needs,

needed.

Act

1946.,=:v
HON.

;.,,,/.,;

STEWART

If f'.'

UDALL

to meet projected

Additionally,

look

forward

confidently to another year
of economic growth and progress in. 1962.
The momentum generated by the positive and aggres¬
sive national policies which reversed the business pendu¬
lum

and

can

halted

the

threatening

re¬

cession

1960

certain

■■■

action

year.

these

bright

caution

early

prospects,

should

1961

use

of..

existing

;Yv:

essential

natural

moves

Typical

the

coordination!

results

achieved

agreement ' by

was

the

obtain

The

maximum

efficiency in

plants

power

manner

all

under

were

one

ownership.

coordination

the

transmission

special

message

1962—to

conserve

Will

insure

Similar actions

are

and

develop

under way or

to our minerals, our fuels,.
"every nation's basic wealth and progress has stemmed
large measure from its natural resources. .This Nation ^/.recreational
resources.
"*

creative

affairs

our

v" * *

will require

faction of

owned,

that
transmission and dis¬

strength,

market.

■

gas

can

total

be success¬
-

challenges to both industries.

will be their ability
careers

skilled,

their talents to

and effectively shape and manage the
their companies. Another challenge

both industries to demonstrate to the

satis¬

nation and its lawmakers that the investor-

tax-paying companies are -able and willing to

provide for all the nation's

resources

growing requirements for

service. Finally, it will be essen¬
nation's fiscal and tax policies provide an

and electric utility

tial that the
"

progress."

in regard

land, and
~

•

the

between

♦

employees who will dedicate

service

forests,

our

cooperation

Among the most important of these
to recruit .and to offer rewarding

public

projected

in¬

greatly

companies of both the gas and electric

There will be continuing

future

natural

marked

air surrounding both the price and

fully financed in the free
/

approximately

econoniic

and

re¬

of greatly

facilities, which is so important to the

substantial number

the

our'Cdfttinued

relations

also

year

national economic and military

effectively in

'which

past

in spite

expansion of their production,

tribution

also

These are; but a few examples of the
many ways in
which the Federal Government moyed
during 1961—and
intends to move even more rapidly and

Stewart L. Udali

The

production,

utility industries continued to demonstrate in 1961

■

results in efforts to

the

of firm kilowatts is expected to.
result from, the agree¬
'•

to th*1 Congress,

additional kilowatts.

sales.

Investor-owned

ment.

forward toward the sound and
intelligent resource conservation and
development
goals
set
forth
by
President Kennedy. "From the be-.:
a

million

actual

over

margin of proved recoverable

supply pictures.

same

facilities

periods

segments of the in¬

•

demand

natural gas discoveries:

in past years,
the

clear the regulatory

provides for interchanges of energy and power among
signers in order to conserve water in reservoirs,
for

high

dustry and it brought encouraging

gen¬

the

producer, pipeliner and distributor

Informal coordination in varying degrees
prior to the

press

and

strengthened

from

Pacific Northwest rivers.

signing of the agreement had resulted

ginning of civilization," he declared

the

production

agreement provides that these storage

one

continue

erating facilities shall be operated in much the

and

great natural resources are the
upon which our strength add
and leadership in the Free World
rests—the principal key to our na¬
tional prosperity—and it is there¬
we

signing

also further de¬

business is further brightened by the fact

1961,

creased

Bonneville Power
Administration, the U. S.
Army Corps of Engineers, and nine private and public
owners of hydroelectric
generating facilities designed to

the parties to the agreement.

word of
be added. It is that

that

serves

Interior's

base

essential

the

Department

application of natural-gas to new

during

use

increased

have

designed to achieve these necessary goals.

our

fore

y'//./:./ ,;•/

gas

that

During 1961, the Federal Government took the initia¬
tive in

addition, the gas industry made signi-

operation of their systems. The future of the

nomical

facilities

power

for

summer

///Y;Y,J:

winter, contributing significantly to achieving more eco¬

the

gather additional force
In looking forward to

this

and

maximum

•

industry added one million

veloped its opportunities to store natural gas during the

sustained heavy expansion by

throughout the Nation.

existing

Secretary of the Interior
America

the

gas

industrial and commercial processes. It

make

.y.y':

natural

the

1961

fieant progress in fhe

suppliers—public, cooperative, and private—

power

clearly

companies, individually, continued their

seven

hew customers. In

General Atomic

Dynamics Corporation. At the same

velopment projects.

that of electric power—it is estimated that total installed

needs.

two alternate reactor concepts

participation in several other nuclear electric power de¬

;YY-Y '■/:/v'/'7 /;■

are

the

time

vital to America's industrial growth—
we

the General Electric Company and

and

provide for full development of the water potential of
the Nation's

also made

was

being studied under separate contracts between ESADA

the Congress—where action is currently
pending—a far-

increase

slowing during the
year. The two big economic problems of 1962, which
this survey of the outlook implies, undoubtedly are the
balance of payments and continued excessive unem¬
ployment. The deterioration in the balance of payments
as imports of raw materials rise may handicap monetary
authorities seeking to follow policies consistent with
domestic requirements, while at the same time the ex¬
pansion in output and employment, though vigorous,
seems
unlikely to be strong enough to reduce unem¬
ployment from recent levels of 6% or more to a toler¬
able rate of perhaps 4%—more in line with the full
employment objectives set forth in the Employment

nearing completion

was

capacity must triple by 1980 if

real Gross National
about 7% above the

account,

ster, S. D., and construction

State which,

Empire State Atomic. D^yelopmenf Asociates,. recently /
took another step toward /their! goal: oF demonstratingeconomically competitive nuclear electric £ower in a
large generating plhnt in the State during this decade/.

private industry—a million-

seen

major investor-owned elec¬
as members of

seven

tric utilities in New York

prices, and rising

ment

velops.

1961

machinery in motion—across the
Texas—of- the

demonstration plant constructed by the Federal Govern-;

restraining side, we must recognize that the
recovery will cause imports (mostly raw materials) to
rise faster than exports so that the excess of exports
over imports may continue to decline. The Federal budg¬
et, after running a cash deficit at an annual rate of
about $9 billion per year early in 1961, is now shifting
rapidly towards a cash surplus by this spring. A further
rise in the cash surplus is in prospect if the recovery
continues at the pace now generally expected.
Conse¬
quently, the Federal fiscal policy will be acting as a
restraining force on the economy as the year 1962 de- •

Product

the

set

Freeport,

been rising at a
Rising disposable

the

Taking

1962.

and

which

Nation

employment should provide the basis for continued ex¬
pansion in consumer purchases. Recent trends and past
performance in recoveries would justify the expectation
that consumer spending on all goods and services will
rise as much as $20 billion per year at least between
1961

research and development programs may be

their

~"*•

•*.,4-■

./■

healthy and'orderly
incentives for achiev¬
ambitious technical goals that we know are

atmosphere 'that Will encourage a

development of the economy and
ing

the

attainable.
-r

Volume

195

Number

orval w.

The Commercial and

6126

God

adams

Salt Lake
now, as

Federal

City, Utah

/' \

■

years

debt, but the trend of such deficit is a matter
With public spending increasing until

virtually

now

connected

one

out

with

the

grant

control,

founding fathers is to be restored and perpetuated.

banking

Vhoyt

■

industry of America, I feel that
the

bankers

America

upon

rests

pri¬

marily the duty of protecting the
savings of the, American people. ■
It is

economic axiom that

ment

Four

increases, the purchas¬

ing

deficit

How

crease.

govern-",

and value of savings de¬

power

can

•

our

holders?,
must be

Orval W. Adams

citizenry—the savings
and
insurance
policy¬

There

can

brought

be but one answer,
'
.

The

the

banks of this

group
a

money,: are

and

placed their

" •:•■*■■■

•

;

We cannot too often remind

itors that the only source

to 2%.

Gross

wages,

are

> ;

with

our

need

for

into

of revenue a government has

increase, taxes must increase; that if current earn¬
ing^; frorn businessWgnd individuals are insufficient to.
meet the demands oi government, the reserves, sur¬
ment

pluses, and the purchasing power of the dollar will de—.
crease further, after the tragic decrease of 50%
during
the last several years, the savings will be taken from
We must realize that what is taken in taxes
is not available for private use, and that when the de¬

people.

government become too great, production is
starved, and the strength of the nation is jeopardized.

that

1962

crucial

have

and

power,

further

were

the

excessive

for the

small

has

progress

improving the payments balance

labor

and that

been

during.

our

power

if wage increases continue

cost position is not

rise

larger

will

are

entering

good year,

number

of weak¬

unemploy¬

are

balance

foreign

exchange

of these weaknesses

caused

the

is the

one-sided labor

Existing handicaps to productivity and to a sound
caused
must

by the monopolistic powers of organized
if

curbed

our

country

international objectives.

and

achieve

strong economy and a sound dollar that

Federal,. Reserve System I continue to

pursue

policies and that to that end

good year accompanied by the development of increas¬

ing opportunities for future growth in trust banking and

exces¬

investment

management.
;

•

Continued

page

i?ATii Y7WYPW Wh
JBrimJL

JL Ml* M

COFMTY

NEW YORK 5, N. Y;

TRUST

COMMUNITIES

COM PA1VY

MEMBER rEOERAl DEPOSIT INSURANCE CORPORATION

UNLISTED SECURITIES

SPECIALISTS IN

FOR

THE FAIRFIELD COUNTY TRUST COMPANY

PHILIPPINE SECURITIES

BANKS. BROKERS

•

DEALERS

& NEW ISSUES

HAROLD E. RIDER,

1961

from

Banks.......$ 24,542,477.90

JERSEY CITY 2,

37,534,230.25

Other Bonds and

Securities........

17,996,753.67

113,710,986.77

Reserves

ESTABLISHED 1919

Other Real
Other

Members New

York

17,188,556.38

123,529,282.36

Banking House, Furniture
and Equipment....
3,807,961.74

N. J.

Estate...

Liabilities.
,

TRADING

DEPT.: N.Y. BA 7-4300-07

CASHIER'S DEPT.: N.Y. BA 7-6740-44

Teletype JCY 783; 709

J.C. HE 5-9400-02
J.C. HE 5-0420-1

GREENWICH
RIDGEFIELD

15,298,641.45

$ 14,008,108.44

2,166,334.88

1,001,012.38

2,396,486.00

1,914,178.85

Other

3,713,964.10

Unearned

66,647.19

Discount...

1,756,210.57

1,544,814.52

369,839.88

276,183.06

Deposits......

186,194,529.26

177,596,205.49

$196,064,319.68

LIABILITIES $207,812,202.16

$196,064,319.68

31,656.36
'

•

TOTAL

RESOURCES

.....

1,521,858.44

$207,812,202.16

Assets.......:

Security Dealers Association

5,486,250.00
7,000,000.00

2,312,391.45

Profits...

35,403,475.21

Loans and Discounts.

EXCHANGE PLACE

Securities........

5,486,250.00
7,500,000.00

Undivided

U. S. Government

S.WIEN &CO.INC.

Capital
$
Surplus......

$ 25,704,506.97

1960

1961

LIABILITIES

1960

Cash and Due

President

COMPARATIVE STATEMENT OF CONDITION AS OF DECEMBER 31
RESOURCES

TOTAL

STAMFORD
DANBURY

OLD

GREENWICH

NOROTON

NORWALK -SO. NORWALK
MEMBER

HEIGHTS

SO. WILTON
FEDERAL

it-pe

Despite these longer range problems, we now expect
a

improved, the dollar is

OFFICES

well-

kept free of political domination.

fx Hettleman a'Co.fJf
Telephone: WHitehall 3-5770

its

It is also vitally

SPECIAL SITUATIONS

ONE WALL STREET

cause

wages

balanced monetary,

could undergo-

long term confidence in the purchasing

sive and

the

period of moderate adverse balances if there

dollar. However,

rates

these weaknesses

adverse

our

important for

toward

increase in

trend

interest

developed in the economic structure.

payments. The major

balance will probably decline somewhat from 1961. Our

the past two or three years

im¬

ment, continued gradual losses in the dollar's purchasing

adverse balance of payments is
expected to be somewhat,

made

that

term

/
I
believe that

The most important of

in direct

year

that

domestic

some

short

position of the dollar. Our favorable merchandise trade

higher,: We believe that

also bring

expect

seriously concerned about

are

nesses

goods, at IV2

are

whole.

;

strengthened international

will

bonds should

higher

and

Although

Hoyt Ammidon

dollar

believe

marked

ciency and careful control of costs, objectives which are
becoming increasingly necessary for American industry

laws.

an
equally good increase in earnings. To achieve
goal, we must strive for the greatest possible effi¬

this

competitive position, may dampen business and investor

Because

helpful to banking earnings. Overall, the corporate goal
for 1962 in our business will be to translate through
sound policies the expected increase in business volume

demands, which
a

•

earnings and substantial corporate cash
anticipate a considerably better than normal

collections/ We

deposits

concerned that before the end

are

accounts.

opportunities in

psychology and hold back the expected gains.

ourselves and our depos¬

interest

estimating the overall
including the prices of

well

good increase in income from securities

investment

increase in dividend payments. Continuing reinvestment

National

expect
in

provement

whole.

However,

conflict

taxes, and that taxes must come, directly or indirectly,
from surpluses, and that, as the expenditures of govern-%

mands

of the year excessive
wage

the

services and of construction

nation, all point with deadly logic in the same direc-•
tion.This is a tendency which, if not checked, wilJ •-<•

held

doubt whether it will play

inflation factor in the economy,

government in this country, with .
government expenses skyrocketing,, together with the.
rapid and unprecedented extension of government con-;
trol and management over the industrial life of the

strongly into the welfare state.

continuing rise in

The centralization of

move

decisive role in the outlook for the

year

any

continuing substantial flow of funds seek¬

ing investment.

mid¬

recovery

believe that

in view of the

appear

While

business

flows,

Product this year is likely to exceed
1961 by close to 8%. Because of the

in the banks for their families sup¬

port, safekeeping, and investment.

considerable factor,.

the

and the need to protect the
rise in longer term rates and
corresponding decline in bond prices will be rather small

assured. The increases in Gov-.,

stance,

the

money

spending

buyers stress the good

.already taken place. Selectivity will con¬
key to successful equity investment. While
expect higher'short term interest rates in reflection

tinue to be

steel strike preceded by stock¬
piling could be a disruptive circum¬

in duty bound to warn their de¬
general public that a governmental '
policy of reckless borrowing and spending which tends ,;
to squander the patrimony of the state, can end only in"
wiping out the accumulated savings of those who have
positors'

prices

turns that has

year

country, as custodians of their de¬

positors

capital

predict substantial net changes

outlook for higher earnings and dividends and as sellers
point to the rather full discounting of these higher re¬

ternment expenditures continue to be

will take place in stock

business

full realization of what is happening

to them.,

I t

not inclined to

are

dollar,

prospeOts for

expect substantial, gains
in
economic activity- during ,1962. Con-:
/ sumer expenditures are showing bet¬
ter gains than a -few months
ago.
Expected gains in construction and

groups

depositors

the

markets'and r(4) the returns avail-:
able on invested and loanable funds.

gnawing away • by govern-,
ment, at the instance of and for the
supposed benefit of various pressure

determine

will

banking and the management of investment funds
in 1962: (1) the trend of the general
economy, (2) the
position of the dollar, (3) the movement of the security

constant

group

basic conditions

in average stock prices or in
average bond prices during
1962. We do expect that rather substantial fluctuations

trust

stop be put to the

at home, of the value of the
savings of the only large unorganized

likely to be under serious pressure within the next two
This pressure will probably not be acute until the
present strong business cycle has weakened.
; -

Officer,

United States Trust Company, New York, N. Y.

the

and

debt

Chairman of the Board, and Chief Executive

the

government

;''*•

ammidon

years.

of great concern.
even

(295)

that we will be alerted to the termites
the destruction of our glorious freedom.
These termites are economic illiteracy, labor monopoly,
political expediency, back-door Federal spending and
mOnetization of the Federal debt.
\
1
The schools and colleges are graduating every year :
thousands of economic illiterate students. This deplor- f
able condition must be righted if the vision of the-

past, justly concerned with the
ever-increasing Federal deficit. Not only the size of the
are

Chronicle

threatening

Chairman of the Board, Zions First National Bank,

Financial

DEPOSIT

BETHEL

NEW

GLENVILLE

CANAAN

WILTON

RIVERSIDE

DARIEN

GEORGETOWN-REDDING

INSURANCE

CORPORATION

NEWTOWN

Cojnmercial and'Financial, Chronicle

(296)

Continued from page 27*'

/•• /

•>

Vice-Chairman of

-fif;

Board»of Directors,

the

,::•

Bank & Trust Company,-Fassaic, N.

New Jersey

York
metropolitan area there was improvement in business
activity and employment throughout 1961, tapering off
Jersey section of the /New

In the northern New

the manufacturing lines only/
Our estimate for this area- for 1962
in

in "December
is

1961

the

that
the

for

new

for the

come

trend

area

;

lic's.acknewiedgment of .the! superiority of natural gas ; the supply.':of.~ Vacant./dwelling units/bverhahging: the'
heating over ^qil: -applies: equ^ly .as well :tp LP-r; ! market- suggests: that/only a modest advance in housing /
gas, and favorable ./heating/'rates/afe/accelerating;'this / starts! Over, .the! 1961 level is in: prospect; The. strong/ tone
acceptance.; With gas heat gaining popularity every day,: /of. non-residential/, construction^/which Was apparent^*
the home-heating/ demand: alone> could increase/ any- ; throughout-last, year;, should-persist in; 1962, with the "
where from 20%. to 50%/within the; next year, in spite
building of schools, hospitals; stores,- motels and roads,
ot the efforts Of the j^e^ricai industry to' get a foothqld r registering the most impressive gains. ;
,r ,
"/./'!
With respect; to,.the pattern. Qf business this year, the
in
this!market./■;!_ r //' ;iV /,;. //. ^ . 4-^ /„;! J'
^
With the. aforementioned facts, before me, plus the
rate; of progress is likely to be considerably greater than ;
during the first six months than in the last half/ /Of
daily forecasts and predominantly optimistic outlook
//particular /relevance here- is the prospect of /inventory
for industry and agriculture m J962, I cannot help but
r

„

well:

augurs-,

Individual

year.

also

in¬

optimistic about the LPrGas Industry.

ranks high among

standard met¬
With October 1961
unemployment reaching a low for
11 months, and with a pronounced
advance
sumer

Chairman of the Board, Consumers. Power Company

areas.

commercial

and

year-end, we see no reason not
anticipate sustained business ac¬
tivity at the higher new level.
We think the forces working locally
to

improved

economy

population explosion; growing awareness of the ne¬
cessity to stem urban blight and downtown erosion
through urban renewal and express highway projects of
great scope; and the nation-wide impact of defense and
space-conquest expenditures. All these require vast out¬
lays resulting in sustained payrolls.
We believe a further corollary effect will be a firming

probable rise in the
mortgage and prime commercial rates before the third
on

loans, with

quarter.
factors favoring a good 1962 can be offset only
pricing ourselves out of the export field through
continuing wage-price spiral
resulting in a continuing outward flow of gold and an
accompanying decline in confidence in the dollar.
War, or failing confidence, are our two dangers, and
The

serious labor stoppages or a

not look for either.

MARK ANTON
1

President,. Suburban Propane Gas Corporation

20% of what was heralded to fee the Fabulous
Sixties behind us, and having seen' fibthihg''fabulous to

With

date, I checked with Noah Webster to see whether I
really understood the meaning of this adjective. Who¬
ever coined the expression might be
chagrined to know that Mr. Webster
defines fabulous as "belonging to
fable; fictitious; mythical." So now,
to

forecast

Nevertheless/ with

third- of

century of experience in the LP-Gas
Industry behind me, I believe that I
can say
with confidence that 1962
will be another good year. This con¬
fidence has also been expressed in
an industry-wide survey of LP-gas
dealers which predicts an 11.8% in¬
crease in consumption as compared
Mark Anton
with a 10.6% increase predicted for
1961.
Supply is no problem. The demand for natural
gas, which has replaced manufactured gas in practically
all urban areas, is very high.
LP-gas is extracted from
natural gas before transmission for this use.
There is,
therefore, more than an ample supply of product to
meet this estimated growth.
The
demand
for
LP-gas is constantly increasing
because of new uses which have been and are being
developed every day.
Although the residential market
still is a very important one, the LP-Gas Industry is
dependent more and more upon the prosperity of indus¬
try and farming.
In practically every phase of manu¬
facturing there are new applications for LP-gas daily
becoming standard practice,, stemming to no small,den
gree from its portability, controllability, uniformity, high
heat content, and purity.
This product has gained wide
acceptance as a motor
fuel for industrial trucks, farm
tractors, transcontinental
trucks and, to some degree, other public vehicles.
For
this one use alone, our sales increased 25%
during the
11

of the

do; believe that business

will rise above the 1961

The

resentative

States.

industrial

Its

the

months of 1961.

It is

wherein weed
conducted by flaming the earth between the
process

con¬

crop

rows, without any damage to the crop itself.
The effec¬
tiveness and labor economy in this
segment of farming
is what is Justifying its acceptance.

The residential user,

however, is not to be overlooked
The industry as a whole serves about
9, million families'
and Suburban Pronane's. figures show that
since 1935
the

average

economy

and

resort

gravel also

are

tration

Accordingly,

and

taken to

alleviate the strain is

business

advised to remain

to
A. H.

than

will

CROWDUS BAKER
President, Sears, Roebuck & Co.

produced in large quantities.

To appraise retail sales
prospects for 1962, it is essential
to put 1961 in perspective. In the first 10
months of last

other included

retail sales showed a decrease of llk% from 1960
though the public's income available for spending

year,
even

3% in these

rose

months. There

same

substantial

were

differences in the
performance of various types of disitrifcmtorS.

From

Food

best

monthlv

consumotion

for

home!

uses

has

group,

from

1960; building material and
dealers, minus 5%; and
dealers, minus 10 %. A
major reason for failure to record
hardware

automobile

by Consumers
Company in 1961 ran ahead of 1960, and we expect
to continue upward in 1962. During 1961 the
company connected approximately-45,000 additional gas
space heating customers. The coming yCar will reflect for

better- sales levels

Through Oct. 31, there
dation

Power

sales

expand the

30,000 more gas space heating customers
are expected to be added in 1962. Use of gas for indus¬
trial and commercial purposes also is increasing.
Electric sales represent about three-fifths of our com¬

affecting

certain

But

portent

single most
of

the

level
wave

en-

program,

back

into

Consumers who

things,

together ! to. produce .the.

hew homes is also forecast to rise this year, although

owners

"should work
surge

with

new

high in retail

upward surge in automobiles.

are more

willing and able to /buy

au¬

credit will be more willing to buy other

since 1959. The (demand for

credit. The 1961 level of homebuilding volume

should stimulate

better than average increase in sales

of household durables in 1962.

have

Sales of food and clothing

expanded, in most years, including those of -reces¬

sion, and non-durable goods sales are expected to in¬
crease

by another 5% in 1962. Spending for services! will

rise in line with the expected
In

available

growing acceptance as the ideal heating fuel.

home

largest year-to-year-

psychology undoubtedly will show

the

activity has

nqw

increase of about 5% to 6%

improvement. The signifcant drop in unemployment

tomobiles

by unfavorable

financing arrangements

result of

spendable income. An income gain of

sales paced by a strong

general economic conditions. Increased purchasing power
and more liberal

should produce

in November was associated

pronounced gains are likely to occur in the residential

years j

as a

under way, plus an expanding defense

now

Consumer buying
some

Expanding construction ac¬
tivity is expected to constitute a
further factor of business strength in .1962. The most

market, where

a new

The degree of economic im¬

supply the basic requirement for substantial growth in

market.

past, two

positive factors rise in im¬

retail demand.

automobiles, appli¬
and home furnishings, as con¬
sumers who had postponed purchases
of "big ticket" items during the re¬

repair and modernization

spending

this size would be the largest in three years and would

ances,

come

look ahead, the

in total consumer

durable goods as

recession

provement that can be logically expected

economic

the'recovery

been restrained for the

shifting age pattern, with

of expansion in 1962.

by retail trade during the past three
months.- Sparked by rising incomes
and reflecting a record level of per¬
sonal savings, consumer expenditures
are likely to remain strong through¬
out 1962, with volume for the full
year
substantially above the 1961
total. We anticipate that the sharpest
relative gains will be scored by such

C. J. Backs trand

stagnation", retail trade appears to be facing

outlook is the renewed vigor shown ;

cent

areas;

portance. After two years of what might be termed "high

points to further expansion of general busi¬
couraging

down

ings and automobiles.

all measures of business activity are rising
steadily as the new year begins. Moreover, the weight
in the months ahead. Perhaps the

was

for food, clothing and services and less for home furnish¬

J. BACKSTRAND

Virtually

of evidence

nearly

> $680

mushrooming teen age group requiring

President, Armstrong Cork Company

ness

Automotive

liqui¬

long since disappeared; continuing high unemployment

Outstate

area.

was

balances of

ularly their reluctance to increase debt. In retrospect,
probably the international situation can be singled out
as the
greatest restraining cause. But in addition, we
have a high level of saturation with shortages having

In 1961 Consumers Power Company invested about
$95,000,000 in expansion and improvement of electric and
natural gas service facilities. For 1962, $83,000,000 has
been budgeted. I believe these facts are a good indica¬

Michigan service

of installment credit.

credit

goods
; to

reluctance

unchanged from Dec. 31, 1960; and only personal loans
showed an increase, amounting to $523 million.
There has been widespread discussion of consumers'
hesitance in the purchase of durable goods and partic¬

Average residential and commercial use
of electricity continue to rise. Industrial use of electricity,
although fluctuating with the business cycle, also is in¬
creasing and should show a good improvement in 1962.

our

durable

million; other consumer goods
were off $410 million; repair and modernization were
v

revenue.

optimism about the future of

use

$600 million.

Crowdus Baker

the; consumers'

was

over

The pub¬

worst, these

plus 3% j service
stations, plus" 2%;! restaurants, plus
1 % general
merchandise, unchanged

-were:

Sales of both electricity and natural gas

our

well

ordinarily alert, not only

influence the level and direction of general business.

1962 to exceed 1961 by a substantial margin. Preliminary
figures indicate that 1961 production was about 5,400,000
cars and about 1,100,000 trucks and motor coaches. Some
estimates of 1962 car production alone have run as high
as 7,000,000. Of 1961 model cars produced in the United
States, 32.4% were produced in Michigan, a good Share
of them in Flint, Pontiac, Lansing and Other cities in the
Consumers Power Company service area. •:

developments in their markets and in the domestic

may

Michigan economy, the outlook seems at
least reasonably good. For the No. 1 industry, automo¬
biles and automotive products, it is even better. Industry
leaders expect production and sales of automobiles in

tion

likely

adversely.

managements

changes

For all these lines and most of the many

pany

economy as a whole, but also to changes in the external
financial status of the United States since such

Aymond, Jr.

increased from less than 9 gallons to close to 20
gallons.
Increased use of LP-gas in the home points toward its

action

to affect the domestic
economy

in the Outstate

our

may

expansion

1962 and that, as the United States dollar
under renewed pressure, our dwindling gold
sup¬
ply will be drawn down still further. Whatever Adminis¬

producer of chemicals, farbicated metal products, ma¬
chinery, packaged foods, paper, furniture, and stone,
clay and glass products. Petroleum, limestone, cement
and

comes

substantial

business

moderate

teriorate in

United

whole

least

United States is, however, quite another matter.
There is every likelihood
that, reflecting the impact of
the ill-conceived
spending programs of recent years,
our balance of
payments" situation will continue to de¬

/,/.

by a
large
proportions. Industrially, automobiles
and automotive products are domi¬
nant, but the area is a high-rankingtourist

illustration of what is

In agriculture,
LP-gas fuel equipment for field dry¬
ing of gram crops to a pre-determined moisture content
is gaining popularity.
Flame cultivation is already
creating a highly desirable summer and early fall de¬
is

the

in 1962

level.

reinforced by
agricultural
production

is manager of a department that has industrial
repre¬
sentatives throughout the 18 states in which we
operate.

trol

strongly

happening, I might point to the fact that the Suburban
Propane industrial department was established within
the past 10 years with a staff of one.
Today, this man

mand for this fuel.

area

motion

further; stimulating the
•'/,•
'■,/;
' v .'/'•.""'!,•'
The 'outlook for the domestic
economy, then, Is bright.
Industrial output, employment, incomes, retail trade and
building activity should all reach record levels in 1962.
The outlook for the international financial
position ' of

Outstate
Michigan in which Consumers Power
Company operates is somewhat rep¬
64-county

expenditures, thereby
:economy. "■/ ;
'/•■'/. //'/'';''■:

not foresee boom conditions but

capacity; utilization and improving profits

set

capital

and the

economists.

well

the first time the lull .annual ..use. .of such customers and

even

little courage.

first

customers tell us,

in addition

what is ahead for

one-tenth of these supposedly Fabu¬
lous Sixties requires more than just
a

our

observations

the

interest rates

rate
■

what

are

typical of those apparent in most
Cowles Andrus
metropolitan areas of the country.
Notable among these are preparation
to meet the impending increased construction demands
for new educational and public facilities precipitated by

//'/

labor

"■/■. •
./.'
in the months ahe&d,
corporate* profits are likely to -move off the plateau on
which they have rested for the past three years. A
rising

expect the - current upward trend of business to
continue through the first half Of the year and possibly
through the entire 12 months. This
is on the basis of our own studies,

the

//://///-''

lending activity characterizing

toward

/./■/;• -,/-/

year.

of the

expiration

;:/_/ As.- industrial activity accelerates

Company believes 1962 will be a good

Consumers Power

con¬

accumulation induced by the
contracts in the steel industry.

4:-.'

that joi the 44 largest

ropolitan

/Thursday,. January 18,! 1962

for house

COWLES ANDRUS

•.

....

gain in income.

short, retailers in 1962. should have a good year.

Increases should range between 5% .and 10%, with dura¬
ble
and

goods/distributors at the/high end of the scale
competition will be keener than ever.

Volume 195

Number

•

THe Commercial cmd Financial Chronicle

6126

yVv:: y* g. t. baker

yyr,

The

only $53,000 for

entire * southern ; tier

^a long-term industrial upsurge generated by the space
in 1962.

race

the

reduction

tional

Moon-shot preparations at Cape Canaveral,
new Nova rocket*
»"• •

and

carrier

government's

CHARLES

itself, for contrast, is spending
of paid advertising of the

of: Miami Beach.^

Of promotional funds was

Eastern; beginning in

forced

1957,

when

effects.

.The

Barring

was

would

manufacturing plant at the Michoud

addition

project near New Orleans, the Na¬
tional Aeronautics and Space' Ad- :;
ministration laboratory at Houston, .
and. missile

fornia

are

manufacturing in Calithe

among

ities in this

major

a-lengthy

tons

low

which

National

they,

are

Airlines'

situated.

Houston, has become known
have

route,"

become

the

NAL

'and

industries.

space-age

Florida,

motional

The proposed:; •
and Continental Air Lines,

merger of National Airlines

which

link

believe

inore

will

missile,

consummated

atomic

Dade

installations

Arizona

New

and

Mexico;!

Missile

doing

manufac¬

and

passengers

perity for the

areas

airlines, but

involved.

Consider Florida.

experienced

for

cargo

This State, National

building

visitors decided to

many

the

was

that

move

come up

this.

airline

But

aware

recent

years

Florida,

tourist

variety of

the

who

major

sources

of the 1950's

chief

industry,
when

Florida

promoting
v'-

•

With Kahn & Peck
Jack

Solomon

has

much

as¬

Newey

with

Co., 74 Trinity Place, New York
City, members of the New York

Exchange,
representative.

registered

to
is

busines.

is, to

The steel

active

advertising.

and

increased requirements.
have

tier

the

and

future

States—not only

and

ophies

danger,

which

citizens

and

States, counties

industry,

tax

ness

of this

5075

Newey
firm.
-

the

Moor

for

balanced

always

not

enough.

new

steel-producing,

have

the last

spent

10 years

finishing

average

their

the

cities

will

tax

three

distributor!- of

philos¬

the

terms

years

will

At J &

they

ing

new

•

and

')(]

»J

(j )

v; '

was

Garrett-Bromfield

ileail

Office: 54 Lombard Street,

Co.

31st

England and Wales

of Accounts

the

cfjUutowce Company of olmnmee

may

also

through which

Bought

—

Sold

—

The

meet

investment

are

markets.

com-r

All

the

for Circular
no

cost

■

customers

;

•

Members

obligation.

.-T

;

ESTABLISHED 1900

adjoining Properties
liability for Acceptances,

l; American-Stock Exchange (Assoc.)

;

45 WALL STREET, NEW YORK 5

•**

Brouduat, JVeu Turk (i, IV. Y.

Tel. BO 9-7030-

St. Louis

Bridgeport

Philadelphia

Cable, A ddrrss:

21,373,818

...

Hartford

Providence

"WALKER IAN"

58,428,898

120

A. S. Maemilian, V.R.D

Broadway, New York

■ •

:
,

White Plains
-

Members New York Stock Exchange

New York Stock Exchange

2,227,312
14,839,976

Representative in Ne>e York

V.
■

3,728,558

11,796,829

Advisory Representor we in U.S.A. G. E. Meek

G.H.Walker&Co,
.

51,800,000

782,963,519

Guarantees, Indemnities, etc
•

•

Bank Premises and

Customers'

ESTABLISHED 1910

and other Accounts

Other Trade Investments

Hay, Fales & Co.
^

271,023,006
.

Other Subsidiaries

there

240,346,730

Barclays Bank D.C.O..

compa¬

83,419,194

260,595,936

Investments in Subsidiaries:—

favorable for their activities.
Ask

;•**'

■>

The British Linen Bank

and

business environment of 1962

Quoted

Banks- and

Discounted and Refinanceable Credits

Advances

nies,-however, should find the

1876

British

Investments

terms

services,,

other

154,263,863

va¬

needs.

diverse in

products,

with

England

Special Deposit with the Bank of England...

yield,

and

ASSETS

Cash in hand and with the Bank of

Bills

range

operations; of the

panies

;

price

selected

riety

SANBORN MAP COMPANY, INC.

which

38,008,584

Cheques in course of collection
Money at Call and Short Notice

'.v.:

stocks,

widely
are

Account

Balances

tunities which 1962 will offer.

These

..........58,428,898

45,868,551

tage of the particular oppor--.
1903

etc.,

(including Share Premium
£7,308,584)......
'

take advan¬

can

customers

Fund

ahead. It
number of

stocks

investor

the year

suggests

common

Reserve

for

the stock

and

economy

market in

expected

account

1,816,721,636

.......

Paid-up Capital

special circular discusses

what

-a.w'£

liabilities

Acceptances, Guarantees, Indemnities,
for

Our

London, E.C.3.

December, 1961

yyv

■

FOR 1962

Foreign Branch: 168 Fenchurch Street, London, E.C.3.

Current, Deposit and other Accounts

Dividends 'since

progress

Anthony William Tuke, Chairman

formerly with J. A. Hogle & Co.

OPPORTUNITIES

Consecutive

Pacific Representative

V' „**"

Suite 1636 Buss

the

come.

BARCLAYS BANK LIMITED

George K. Baum &

Co., 818 Seventeenth St.

market

face the-future confiidently,, acknowledg¬

Continued

INVESTMENT

•

competitive

our

anticipating=continued competitive.

years

Colo.—Eugene S. Huf-

with

com¬

problems ahead, recognizing the progress made

many

•

Statement

improve

cost, product quality and

Over 2,300 branches in

Common Stock

facilities, those

new

under construction and those planned

(Special to Thk Financial Chronicle)

lift anb

plants.

million annually in

participation.

■

The

the

These

years.

now

position

based

where

three

for

going to be determined by aware¬

DENVER,
ford

tin; and

for cost reducing equipment and plant

pleted, those

Chief

rolling mills

distributing

and

of $62

basic fact of business life.

and

FOUNDED

new

produce sheets, tin plate, tubular products and stain¬

our

residents

economy

change

Industries

advantages.

ore

and improved steelmaking

new

finishing facilities;

new

With George K. Baum

securities

Joseph

West

the courting of

industrial potential is

CITY, Utah—NilsonCo.. has been formed
at

age,

rapidly

receive

$175,000

strong

we
raw

improvements. We will exceed this rate of spending in

tourism,

retirement

from

for improvements and additions in many other areas in

for 1962, but

agriculture,

plants,

areas

less steel; new lines to coat steel with zinc and

which have recently changed from an economy based on

steel

all

have been spent for upgrading iron

coke ovens;

new

furnaces; for

bright

charged to the blast furnaces; for coal handling facilities

come.
one

major

our

investments

large

of money

sums

rocket-

made

especially good shape to meet

material processing through to finishing facilities. Large

Tampa

local Industrial

impressive

are

•

development and is

industry is well equipped
larger demand for all
steel products in 1962. At J & L, we

-Charles M. Beeghly

pro¬

varying degree, found all

route,"

steel-consuming markets as their
for production and inventory

to handle this
pro¬

engage

principal

there

this range.

ventory • investment
as
insurance
against future developments.

state,

The Florida

Jacksonville

elected officials must be alert.

'■ Vy.;.

the

drop

offices

Road

locating

"missile

SALT LAKE

sociated with Kahn & Peck, Cohn

Stock

years

Nilson-Newey Opens

become

southern

There

well

tp^the,43unshin^ State, ,^||^^uc]^.it5u,ceess, in thp!
boom years until:i41957, were thP two airlines
as

this

for

of promotional funds which sustained

National Airlines alone spent

75,000^ acres of land in South Dade, for

purpose

no
steel price increase
since
1958, will regard some additional in¬

Cape

result, Aerojet General has

most

been

travel

sharp

reasons—a

option

the

for

upward. In addition, the steel
buyer remembers the 116-day strike
in-1959 and, knowing that there has

industries to

part

very

industrial
as

tons

move

better-bal¬

new

tourism through the formation of

along NAL's

serving the New York-Florida route, National and East¬
ern.

in tourist

face

ago—courting industry that is compatible

years

for

are

the

hard-hitting .State

been
as

this

The Florida situation

to explain

reasons

the

propellant plant which will employ about 10,000 people.

A variety of ex¬

sell

;.V ;

the

Florida to live/-'.;

expenditures, for

Primary
travel

one

with

salesmen

activities'

central

has
well

Development Council.

pros¬

Airlines' home,

resulted

Since 1957, tourism has levelled off.

perts have

the

ingot

The increase in 1962 steel produc¬
tion is based on larger demand from

along with its

came

parade of

what cities such

now

under

vast growth in the early half

by-product

with

C'fi.

selling sunshine.Tourism

with

new

side

County- where Miami is situated, is finally get¬

started

turing throughout all these States is generating pot only
"more

age

contributions

agency,

ting in-stride-with

closely—installations in Colorado, Nevada, Kansas,

Missouri;

com¬

plans

stepped-up

Commission,

moting industry

1962, would

electronic

and

With

particularly

Development

G. T. Baker

•

three

from Canaveral through Orlando to Tampa.

aware

potential

new

stimulus

economy.

Canaveral, there has been

officials

particularly

tremendous

all

..."

sagging tourism, the space

anced

"the

crippled

is, therefore, extremely fortunate* that

industrial

transcontinental route, from Florida
to: California via New Orleans and
missile

coasts.

southern

new

carrier

optimistic. We, at J & L, expect 1962
steel production will be on the high

reduce

west

to be potent' economic: stimuli' to * the
areas

third

million

115

unsound

as a result they have been forced
substantially the large'sums expended in tne
first half of the last decade to.
advertise, promote and
help develop Florida,- particularly the lower east and

activ-'

which will continue

area

this

detrimental

BEEGHLY

Laughlin Steel Corp.

1962 will exceed 1961

panies financially, and

have

29 s

work .stoppage, steel production in
by 10% to 15%.
.Forecasters range in their estimates from 105 million

Na¬

third
added to the route in the face of evidence

that this

President, Jones &

full year

resort attractions

of States, from Florida to
Califoria, is facing the dawm of a new boom

Southern

month for; advertising ±6 attract people to Florida.

one

The City of: Miami Beach

Chairman of the Board, National Airlines,; "Inc. C

(297)

'"r*'pr,i- A. 6. Fleming
"
Building,235Montgomery Street, San Francisco.4
.

page

The Commercial and Financial Chronicle

(298)

Continued from page 29

increase of

San

look

can

forward

1962

data

Calif.

Francisco,

excellent

business throughout the nation.
The economy of the United States is
has

achieved,

ever

moving into the

television and

only at the highest level of production it

year not

new

with

but also

„

development of Stereo FM and

for

upward momentum.
During the coming year business
activity will be very brisk, with
production of goods and services
advancing
approximately
9%
be¬
yond marks achieved in 1961.
strong

color

*'• „.'Y'Y

television.

half

in business invest¬
the largest element in

gains

were

upturn this year, and
this factor is expected to be a most
decisive

must

with

1962.
be

the

during the

the

players

United

States

kind.

any

•

not

are

There

than

equipped r
some; 100

are

be in operation 1

com¬

and

year.

color

business

food

has

reason

to expect any serious interruption, of
the steady rate of growth it has en-1;
.

particularly Y

programming,

the

The

country and stereo broadcasting should

increase

hours

when

dealers;; can demonstrate ,, the high

exceed

its

contribution

maximum

inflation.

full

■

For such

■;

prosperity without Y
from 650,000, to 750,000, this
year, and total stereo

;Y ■ Y'YYYY Y '''■ Y
"
'
positive impact to be achieved by American

console

most
.

has

sales will rise to 1.8 million units. Radio

business, however, the government must also do its part
in restraining potentially inflationary forces.

sales, exclusive

radios, will remain around the 10 million unit

car

...

ing period to every opportunity for
constructive investment, competitiveS. Clark Beise
operations and aggressive merchanV
dising, in order that the business community may make

v^y

personal incomes
Some aspects of
the economy, which did not live up
to expectations in 1961, are believed
to be strengthening and should show
marked improvement this year. This
is the type of climate which prompts.
business generally to think in terms
of growth and expansion and is a
good barometer for 1962. : ^
-J,

employment
for

radio since

1962

joyed for domestic foodksales should ^
$80 billion this year, a starLee S. Bickmore
quality of color to customers, '
'
'Y: timg figure when compared with the YY. Yy
Y
$16 million spent in 1939, We will again see an ag¬
Total television sales should reach 6.2 million units Y
gressively competitive food market in 1962 and the
in. 1962, as compared with 5.8- million units in 1961.
results of this keen competition at the processor-manu¬
Stereo-television-radio combination sales will increase - facturer and 'distributionslevels will be the finest, safest,
during

alert

homes

record

via

music

Company

industry

food

If the general economy does as well as the
are
predicting it will, then our mdustiy
may well experience the best year it has ever enjoyed.
Forecasters are quite optimistic in
their .views
of overall production,

instrument that will

BICKMORE

economists

expand rapidly. Interest in color television has heigtened

determining v how
strong the prosperity will be toward
the end of

the

with

j throughout the

one

ready market for

Stereo FM stations presently or soon to

economic

the

provide stereophonic

ment

There

the

for

outlook

1962

promising.

increasing demand

•

Sharp

The

stereo hi-fi markets. This will result from

the

Thursday, January 18,

;

;;
An increase of 5% in consumer products, from $2 bil¬
lion in 1961 to $2.1 billion in 1962, marks the beginning
of what could be at least a five year expansion of the

for

year

systems markets.

President, National Biscuit

of the

President, Bank of America N.T. & S.A.

LEE

predicted, and will rise to $2.1 billion in 1962. This
11%, greater than that of any other segment :
industry except space electronics, will result from \
the rapidly expanding computer,, instrumentation
and

BEISE

CLARK

nutritious; food supply this or any other country
known./.'YY"'yY' Y-Y: Y
! •,:Y,/Y ;;>■
of trends which have developed with in¬

ever

number

creasing intensity in the food industry in recent years
will continue to grow in importance during 1962.
The
particular, it is important that government policies
products will show an increase of one hundred million .Y incessant attacks of higher costs on the industry's profit
clearly indicate to the rest of the world that public
margins are certainly not going to lessen. These attacks
dollars.
•
affairs in the United States are being run with a mature
^
.
Y s Y-.^ : provoke heavy pressures to investigate further areas for
sense
of fiscal responsibility.
Nothing could be more
mechanical development and improvement,
increased
'•
effective in demonstrating such a sense of responsibility
Y.
SWAN E. BERGSTROM
efforts
to
reduce
distribution
and
other
costs,
and
than the execution of the government's initial proposal
heighten the attractiveness of mergers and acquisitions
President, The Cincinnati Milling Machine Co.
to balance the Federal Budget over the course of the
and their cost-saving potential.
The food industry will
business cycle.
This does not call for a balanced budget
During the past four years, the United States capital '» be very active in these areas in 1962.
in every year—nor necessarily in any year—but for a
goods economy has been largely stagnant by comparison
The intense competition which we have come to rec¬
program which off-sets the deficits of recession years
with other industrial countries- and with its. own longognize as inherent in our industry will continue to spur
with surpluses in others.
There is no better time to
| time rate of growth. : It has been an especially trying Z several other growing trends in the food business. We
garner those balancing net receipts than on just such ; time for machine tool
companies.
'
will see further and increased activity in our research
a prosperous period as we see ahead.
We have had our
work with a considerable portion of the research dollar
^
'The impact of. these four years 'Y
deficits in 1961*; the year for a Federal Budget surplus
tested the sinew and resourcefulness '!
spent in the important.area of new product development.
is 1962.
YY;-:,:
v
>
,
,
.
of U. S. machine tool builders more Y
No food processor or manufacturer can afford to relax
A Federal Budget surplus this year would, contribute
severely than at any time since the Y
his efforts to improve his product line and to speed the
to stability of the dpllar in
international markets.
As
cepression of the thirties.* With the'A
development of new and b^tte't products"\vhich his cus¬
a matter of
fact, one major area of concern during 1962 *
industry generally
reporting new. c
tomers expect and demabfdV;
:•
7*;YY; VYYYY'Y, Y.'Y Y
is our balance of payments position.
^.The acceleration
orders of approximately one-half of
Y As research
expenditures continue to increase, so will
of our economy may tend to decrease our favorable trade
normal
volume, there were ".large V
the costs of advertising, merchandising and promotion.
balance, and this could result in some further loss: of
layoffs and short working hours in';
Fqr unless the manufacturer can inform his. customers
gold.. It is not likely, however, that we will suffer such
many machine tool-plants.
about new and better products—and is able* to create
major short-term capital outflows as were recently
At
Cincinnati
Milling; we have,
successful markets for them, his research expense has
experienced, since interest rate differentials are likely to
been more fortunate. - We have been been wasted.
YyY Y.:- 7 "";YTYYY.":YY:Y.'":": YYYv:Y" ' YYY*
be kept within reasonable bounds: nor should be antici¬
able to hold" shipment volume per
Almost every aspect of food industry operations is
pate that the gold position cf the United States will
year
above $100 million., rising to1
directed at a single, unchanging objective: that of pro¬
deteriorate to any really serious degree.
the
$125 million level.
We nave *
viding consumers with the greatest possible value for
Nevertheless, the need to correct our fundamental
<

.leveL

As, noted

above, dollar volume for. all

consumer

•

balance of payments is still with us and this is
empha¬
sized by the steady economic growth being experienced
overseas.

Since the end of World War II many

countries of the
developed increasing economic poten¬
These countries are entering a period of
high level
economic activity.
Their business leaders are unceasing
tial.

their

world

efforts

develop

economic
of

products

market competition.

Thus,; it is becoming

its

stature

business

Americans

few

United

will

years

States

gauged

offer

to demonstrate

and
as

the

capital
We

overseas,
'

as
*

for

all
en¬

high in 1962 for the twelfth

consec¬

billion

Industries

Asso¬

spent

makes

EIA

th&

1962,

runs,

the

and

1961

reflecting

shorter

manufacture

equipment

has become
less profitable. More and

While

that

such

each

section

the

industry

prices

provide

If
to

area
on

our

some

ahead ;in

world

in the first half of 1961.

a Y

investment

markets

and

ond

Y-Yv V ■■■'}'■■Y
and

apprehensions

aroused

oyer

mounted

and

the

auto¬

production.

Y'YY

-•

the

third quarter

encouragingly de¬
normal seasonal effects of va¬

cations

automotive

and

change-

Y■: vYYY Y-Y- Y
In the fourth quarter of 1961 pro¬

overs.

for

inventory cutting
halt, seasonal re¬

maintained

spite

Mod¬

duction

shipments and actual steel
consumption
reached
the
highest

Roger M. Blough
*

•

near

Steel demand
was

would

V.YYy.7,YY, K'J;

motive industry rebounded from low

Our very economic existence depends

quirements
levels

allowance,

provide

quarter

slowed

realistic

-YY^'YY

Following a low first quarter in
1961, steel production rose in the sec¬

com¬

government

provide

Administration,

the

this increase in steel production also re¬
inventory accumulation in contrast with the
inventory liquidation that occurred

recovery,

realistic

real incentive to achieving these goals.

stay

it.

ness

flects

YY: f]Y:Y; • Y;Y";;Yv\ :Y"

tax laws.
this

afford

world

must have

machine tools and

proposed

with

..YYY"' iY

our

will

that

BLOUGH

The steel industry enters 1962 on the
strongest order and
production note in two years. Partially due to the busi¬

This factor alone

compete

the

levels

the

year.

the

For

year

whole, production was more than 97 million tons or
two per cent less than in 1960.
Y
The impact of steel imports continues to be felt. For
the third year in a row,' steel imports exceeded exports.
For 1961 imports will approximate more than three mil¬
lion tons while exports will be about two million.
During the first six months of 1962 seme increase in
the use of steel by steel consumers may be anticipated.
The reaction to the new automobilies among potential
a

sweeping; powers to

dampening effect "on the atmos¬

phere for capital expenditures.
months there

the

nomic pace,

seems

electronics firms
advanced

are

10%;

With

and
con¬

concepts,

point

principal
the

by government and

projects

over

1960.

tools

continued
new

come

from

1961

step-up in the

expansion

and

quickening of the

year

potential

•

economy

for

only

about

facilities

in 1962, the

machine

exotic

for

buyers is good, suggesting a better production year in
industry. Appliances, machinery and construction

that

tcols

Machine tool orders will also

new weapons

other

;

eco-

orders for

new

have-increased

will

business

tooling for

missiles

In spite of this, in recent

some

•'

replacement market.

long
of

although fcr. the

cutting machine
Robert S. Bell

increasingly lower priced

research

•,;

reform

the U. S. tariffs have

existing

still-

Chairman, U. ,S. Steel Corporation

•

production
of

tax

enact

ROGER

the

negotiate across-the-board agreements and reductions in

potentials, they represent lower short term volume.
Industrial electronics sales reached
$1.9 billion in 1961

range

conscious.

country
now

Cost-cutting equipment such

goods

and

YyYYY;'>Yy;'

.recently

this

industry modernize in order to

Federal Administration's request for.

centrating on feasibility studies of
many of which are financed
jointly
maustry.

profit,

Uncertainties

changing nature of this segment of
the industry. Because of
increased
competition

million.

until

obsolete

help achieve these'goals,

write-off

billion

stores, today's con¬
Our competitive

grocery

markets have given her a wide selection to choose from
and the food shopper makes the most of it.
The food

^e made,

$17

With the abundance of food products

display in our modern
is extremely value

sumer

machine tools must be installed in order to pro¬

national security.

Space Administration.
Purchases by the Department of
Defense, exclusive of NASA space
electronics purchases; will rise mod¬
$5.6

essential

manufactured

will

Aeronautics

and

erately, from $5.3 billion

week.

advantage long held by the United States' is

new

duce

estimate, will be

National

equipment in

compete in world markets.

are

the

ernization of machinery and equipment is a must if we

1962, an increase of
7%. An additional $.5
billion, not in¬
cluded

and

depreciation policy in

increasing requirements

Electronics

investments

being challenged by other countries.

ciation estimates that electronic sales
will rise from $10.1 billion in 1961 to
$10.8

and

metalworking

become

petition.

BELL

year.

The

1957

industrial

our

effectiveness of free

the

Since
has

of the space
program and the steady expansion of the industrial elec¬
tronics market, factory sales
by the electronics industry
utive

their food dollars.

Bergstrom

research, development, engineering and Y will place a
great deal of emphasis upon increasing
sales efforts |qr the improved economy which certainly7
the
value, convenience and service features of his
lies ahead.
Y-;'...-; ■'-■Y'Y/ " Y;;:- • ' 'Y
product in 1962.
..r-YYYYrY.,... '.wv-

President, Packard Bell Electronics

record

S. E.

reasonable

full.

industry knows this and

stepped

much

opportunity

ROBERT S.

will reach

expenditures

energy

wide front.

" in

We added 600,000 square-feet of plant space.-

obvious that the

terprise and to earn higher returns for employees and
shareholders by improving the quality of products and
attaining an effective competitive position on a world¬

Spearheaded

e n

and

ability to market goods competitively
meeting competition at home.
X
The

for

»v'

the

system

services

and

d i.v i d

Throughout
this
period " we
have
maintained employment at not less than 40 hours

Free World have

maintained

new

products,

of defense, for production

defense materials.

should also be using more steel in the coming months.
In

addition to the greater use of

building
stocks
steel

five

use

by steel
steel

are

consumers

lower

can

steel, some inventory
anticipated. Their

' be

relation

the

volume

than during any non-strike period in

years.

As much

four

the past

five million tons of inContinued

page

Volume

195

Number

6126

The Commercial ami Financial Chronicle

Continued from page 30

Burgert Named

•

(299)

countries and the indications of England preparing to
join the Common Market, there is a marked tendency

;

accumulation

ventory

To IBA Committee

seems

reasonable

expectation

for American manufacturers to

although impending labor negotiations in the industry
may distort normal relationships.
:
:
"
Based on foreseeable factors, an estimate of 58 to 60
million tons—give or take a couple of million—appears

establish plaats in these
The opportunities for American
contractors, gen¬

areas.

CHICAGO,

111.—Woodward

Bur¬

and

Savings

been

ed:

Bank,

Chicago,

municipal
securItie's

committee-

'•

Invest-;

Woodward

school : ' A/A*-' .Ar
Northwestern*
University

lecturer at the

Banking

the

State

•

t;•; President, Morrison Knudsen

' The

outlook for

tion

Company Inc.

Minuteman

installations

South

School

iA'Acohstructiph,

Louisi¬

the

work

part

rather

under;

literature

electric

and arts ^committee of the Univer~

expected'to „be

AA'fairly

Club

Chicago

active

United

Municipal Bond Club. of
Chicago.:';-;; A-VAAA' -"A AAa; /

States

all

with

parts

tions.

J. B.

the

upsurge

Feb.

will

admit Albert

Langridge to partnership.

atomic energy

Sons has
at

opened

North

under

the management of
Charles H.; C.
A'*

Halle &

;

activity in the Middle;-West

;A In general, the highway
of

appear

offerings

year

ago

with

prices

hydroelectric

in business
Iri

LUIS

Kulien -&
formed

business

OBISPO, Calif
Clem, Inc. has been

engage in a
from,
offices

M,- Kulien,

at'

President;

Boris

•

Klapper
of

of
;'

RAPIDS,

Franklin
in

fices

Kemp,

securities
..

361

Southeast,
of

under

Franklin

Company.

o w

JrA iS

;

•

Mr. 'Kemp '

foreigners
plants

secure

any

lesser

degree, the

currently

are

and .power

business

held

has

installations

as
:

recent upsurge ;

at-A this

are

of¬

Drive,;

continuation

time,

some

The

there

through

indication

areas.7

tradiis

same

has

been

appear¬

1962.

-t./A'A'A

contracts

not

prospect.

improvement

Other

areas,

however,

promising and with the. deterioration

the

political and economic situations, particularly in Brazil

Venezuela,
be

surge of

said

the
to

overall
too

picture

South

America

bright with the apparent

up-

construction activity in all fields in Argentina

American countries.

Europe, - the opportunities for

.tractor appear to-be .the. brightest
the apparent economic
upsurge

int

the

American

many

years!,

There

Argentina, : particularly,

is in most of the other South

for¬

„

of-which

which

perhaps offsetting the continued stagnation this industry

name

'A'

contractor.

America, the prospects of construction work

selected

f; dustrial

Podesta

construction

bright spot with major highway,, hydroelectric and in-

cannot

of-highway work

considerable

certain

and

was

and harbor

have been rather dismal for the
past 18 months.

is,

Securities

merly, with -Cruttenden,

which

industrial

In South

*•'

& .Co.''

engaging

firm

Kemp A

true-1

from

Street

the

hydroelectric

ance

Mr.

a—Henry

business

30th

poorest in

A considerable volume offered recently with the

President

'y'y

A >■

construction firm to

itionally favors the American
also

Franklin Kemp Opens
CEDAR

the

are

A: In Central America, there has been

Klap-

Investors;

formerly
A"-"

moment'-.

Klapper Associates, Inc. of

New York. >A

construe-/

Y.—Dave

-was;

Saskatchewan,

well as,river and harbor work.

W;:

per
is
conducting r a
securities
business from'offices at 1869 Hendrickson
Street under" the firm
name

to be apparent at this

seems

in heavy construction.

disfavor

A;spread

Forms G & D Investors

BROOKLYN.

Mexico

1415

Oscar.

are

years.-;;The present Administration in* Mexico is

American

securities

Officers

the beginning of

developments

/A; highly pro^Mexican and it is almost impossible for

Clem, Vice-President; and Robert
G. Clem, Treasurer. •:
A
;
; ■
r

many

—

Morro Street.

number

extremely

Mexico; the prospects for construction insofar

:.A;;

(Special to The Financial Chronicle) ' A /!"

SAN

still

tion prospects, particularly in Ontario and Quebec, would
appear to be slightly improved but no startling increase

•

Kiilien & Clem Formed

'/A '

same

a a; American^participation is concerned
-

FarA

.and

state and Federal,

program,

to have approximately the

with particular emphasis

year ago

of Alfred

with considerable activity- in the southern
pew

A V Alberta and British Columbia. The industrial

Stieglitz has opened a branch of¬
at 1808 Springfield
Avenue,
management

some

major

N,. J._Halle>

Benjamin, Jr.

fice

under the

over

•'A

J.'-":-/'.'J

Stieglitz Branch/

MAPLEWOOD,

10%

competitive. v : •:;:"AA;, ':A"A.%A
:' ";;A.-.A A--;--AA A'* A'A':;A,','
A;AA. In. Canadaj .the. outlook is considerably improved over

Wight.
.''.V

A would

Brown &

Street,

appears to be at least

W^t. byt^ considerable -pickup,in AIas3ka;;hoth..Fod^ :;

■

branch office

King

an
A; A

industrial

upsurge

■;'

prospects

continue

excellent

with

New

while

developments
Island

limited,

both
and

in
in

has
the

number

hydroelectric

industrial

plant

prospective

field

the

development;

opportunities

equal

perhaps
•

slightly

con-

Due to

in the Common Market

summary,

I would

say

the

United

States

the

picture is excellent for all types of construction activity,

power production..

the contract stage

Astates, less

LEESBURG, Va.—Alex.

indication of

some

the

heavy construction field of private industry,
companies have very considerable plans in the
AA
Northwest, Pacific Coast,- Southern and far eastern areas
.for hydroelectric development, conventional thermal and

A■

Alex. Brown Branch

indications-,

hydroelectric projects.

Australia,

offers

A similar installations in the planning stage a year ago.
AAAa''' Railroad construction work would; appear to be all but
AAA inactive except in the .South and West where some fairly
>
1AA A major projects are planned.f- A •:'
r
A-A'AA'AAa
AA/fAA' The outlook for gas and oil product lines appears to

•

considerable

above 1961.

H-

fields «and

believe, in general, the picture in this part of the world

very

power

near

and ;power

plarl't construction in India. '

South

Far

This phase of private
1, George J. Lyon, Laurence D.*
heavy;?construction'should ' be expected to be slightly A
McCann, and Roger W. Swanson,
vir' above 1961. :
will be admitted to
AvAAr4 A' A'.-A'A A-Aa '"A
: '/ ;T
partnership in
In.the field of industrial construction,
manufacturing
Piper, Jaffray" & Hopwood,'115
plants, installations of steel and rolling mills and various
South Seventh
Sti,membersth?.,
types, of large industrial construction as well as chemical
New -York
and
Midwest Stocjc,ftrat;.
and food plants and pulp and paper, there are
signs of a
A-A^Tum upward. ? The Humbert of installations planned or

Granbery, Marache & Co.,
67
Wall St., New York
City, members
of the New York Stock Fvch^ncrA

*.■••,

To Admit Partner

of resulting developments of industrial installa¬
This would appear to be the brightest spot in the

Zealand,

Bonny

•

Granbery, Marache

optimism on the
any
field
of

contractors
A

-American contractors in good position to
compete.

large awards beginning in April. This
A type of Federal: and State expenditure
should, in my
A; opinion, be up at least 25% over 1961.
A

MINNEAPOLIS, Minn. —On Feb.*

West where the California water program will
get under-

To Admit Partners:

are

In Australia and New
Zealand, the prospects are good

way

;

developments

some

in the fields of railroad work and

•;A
:

Africa,

American
'

with

the

-^Far East with

the

strong

very

South

East, the prospects in Pakistan are excellent
the.inauguration this year of major developments
financed by member countries of the World Bank in the
appear

AA construction for river control/and
A/A irrigation. This type of work will be

the

a
and

In the Far

; water

contract, particularly hydro-;
projects - and dam and loek

ber

are

due to

put

sity Club of Chicago, president of
the club's foundation, and a. mem¬
the Bond

construction.

large volume of

a very

may

excep¬

not

bright.
countries, the situation borders on
certainly great caution must be taken

area.

Central

with the

Turkey,-the prospects

con¬

still under consideration but the
highly disturbed political
situation is certainly not conducive to

University. In addition

chairman

in that

excellent,. In the

American

East

the explosive and

; •. volume of this type* of work should
A be comparable to" 1961.AA A
;AAA In the public heavy /engineering "f

and

heavy engineering construction in the
1962, appears to be

Iran

In most Middle

and

opportunities available to
tractors in Europe in the past.
;
In North Africa and the Middle
East,

to slack off in volume but the overall

Burgert

ciation

•

construction
,

during .'59 and A'60 and *'61.
V;A! Other military installations such as;
;
airfields, etc.* will probably continue

Investment

A'A derant

Bankers Asso-^

•

A than the Titan 1 and 2 and Atlas
;A installations - which ,' were • prepon*.-

'" .'a.

also: a.-lee-A
for the

ana

the

Mr. Burgert

•

field, of military^ construction, .the missile program will
A continue at a high level throughout the year, apparently
A;A with the principal emphasis being on

•.

turer

well

•

Bankers A

America;

;

-J. B. bonny;

aa United .States for

Association of-

;
is

production for the first six months of
represent about a 30% improvement

months of 1961.„

Group.

of the

would

same

of A

e n

ment

the

over

ron

the

States.

feasible

This

established

one-*

term

the C

1962.

has

appoint-

year

erally speaking, will probably be limited to those having
organizations and experience in those areas
but will certainly be at least a 50% increase over the

gert, Vice President in the invest¬
ment department at
Harris Trust

perhaps averaging 15% above 1961 with the world pic¬
ture

the

construction

brightest

countries

being perhaps down slightly with

prospects

Europe

being

for

the

industrial

Common

Market

construction

and

Pakistan for heavy engineering contract awards.

A^ ■T~""*Con$n{ue<i

on page

Financial Chronicle

The Commercial and

(300)

Continued from page

has

ence

There

obtained.

been

when

time

was

L. BRADDOCK

ROBERT

The

Corporation

Reinsurance

General

predictions made in tjjese

columns a year ago on

prospects for 1961 for American Reinsurance

the

ceived

com¬

the companies
The year

has generally been more
At this writ¬

satisfactory than 1960.

ing it is expected that the four ma¬

jor American professional reinsurers
will be in a profit position. Two se¬
rious events occurred during the year
which could not be

predicted but are

typical of the hazards inherent in the
business. First, the very severe hur¬
ricane Carla which hit the gulf coast

preventing

Angeles fire.

results

fire field must of

the

accidents

ne¬

Carla

derwriting

Robert L. Braddock
it spent itself quickly after
leaving the coastal area. This sec¬
tion of Texas is, however, so well developed that the

though

property loss
had been

serious effect

sults.

inclined

however,

Tornadoes,

are

ating

experience

Continental United States had been free of

had two years where a

now

business

outlook

with

major blow.

sumer

hurricance of ma¬

insurance

men

that

say

thing of the past and in

major

was

degree.

YYY .'Y-YYY.' Y

YY Y; :Y

;

the contract

YY-Y.Y-

■

and

tions in this field—even for
year as

appears

whole

•/

held, and it is possible that a decision on the
be made by the commission before the
of 1962.
YY \Y • 'Y.V'YY;vY' Y YYY.'Y Y Y7Y/r

enci

WILLIAM

: As citizens
of

aware

public

the

objectives

are

surveys

pressure

cost
Buetow

Herbert P.

now;

time

as.

remains

;;

the

ex-,

been

automobile

liability

solved

reinsurance

field.' However, problems are far
primary level and the professional
companies must be adversely affected by

operating
;; 1 .1 ?J; *,

:'v:

present time

there

budget.YYYY:Y'Y::YV'Y'YYYr--';Y"Y-YYYY'Y

Exports of domestic goods can'be expected to continue
however, the net export sur-

plus of the nation will undoubtedly narrow as
of foreign goods increase due to the

markets,-/-/.

not

>•

President's

at the recent high levels;

the

that fact.
the

.tne
•'

evidenced

companies whose

1,962, YYY ■
challenge

increase

the

efforts

are

re-

will

also

translated

into;

again

anticipated that aircraft/will
be * produced
in • production

quantities as the need for weapons
which can return to a home base
Y (as, contrasted;..with one-way mis¬
siles) becomes apparent. Also, during
/ the next 10 years, space exploration

William h.

Burgess

Y-t'YYvY): programs', will :
i; present Yexpectation
as;/more / and
>.

imports *

all
commercial

grow : beyond •;
more

applications evidence - the possibility for a .return pf the
tremendous
capital
expenditures * initially : 4 required.
Coupled with the defense program, accelerated space
programs will" provide a virtually unlimited-opportunity
for corporate expansion in this area;
No other industry
has the same possibilities -for expansion.
1
;:.Y''-Y>";YY
-

upturn in the U.

YY>;Y,Y-.YY/:\:vYY YYY'i

will

volume., of - sales: for those
companies able to develop the. new
components and ; systems required.

Commercial and public bhildihg "construction will con- "
,tinue at recent high-levels;according to Department of

improvement at the reinsurance level in the

some

uch

acutely

greater

-.-Commerce/estimates^ H'l'Y'^YYVYYY'^'n-ir Y'IY'YIYY-IYYYY ,Y
loss in the contract surety field it YYV Government expenditure's for goods and^services will /
as the loss shown in I960.
There has1* Y undoubtedly increase Very substantially as indicated by '

plant -today V is

.tures

projects..

somewhat below capacity in most industries

sponsible for developing the weapon
systems which can be available to
.'•insure the preservation -of the free
enterprise system.
These expendi-

Many are
opinion that the nation's in-

rdustrial;

.•

■

Y Y-

this article is written—are dangerous.Mt
that while the reinsurance industry as a

show

will

short

Predic¬

v;).v

will

re¬

the emphasis will be primarily
and

reduction

become

international

This

These

facilities4 fori new-products

.'on

States

communism,
will reult in further increases in defense

by the Department of Com- Y

ever,

United

the

Y-.Y/Y/Y

Co.

President, Electronic Specialty

and

other

BURGESS

expenditures

industry

the pro¬

will

proposal
,

YYY."'VYv YYY'Y'

and

commerce

public hearings before an

cities in which further hearings on the merger

house ,-furnishings V expenditures.

housing,

ielated items..

series of

con¬

continued its

also

Great

pected to continue to advance; how-

will not be

during 1962.

the

gering underwriting losses of the current cycle.

total

merger

other

are

merce

as expected during 1961 although there is suf¬
improvement to give hope that the industry
might be taking its first faltering stepsrout of the stag-*:

from

Co.

flected

continued

in the

Plant and equipment

surety field.unsatisfactory experience

ficient

income

autos,

con¬

v "•

trend

upward

cars.

to older boxcars and special¬

Northern, Northern Pacific,
Chicago, Burlington & Quincy and the Spokane, Portland
& Seattle railways were held in St. Paul and Minne¬
apolis in October and December. The ICC has designated

also

freight equipment.

posed

Manufacturing

appears

automobile-carrying

The first two

best; information
available, moderate increases may
be expected
in consumer expendi¬
tures
for
durable
goods,
such as

many

Montana...GN

Interstate Commerce Commission examiner

BUETOW

1962

Based

in
In fact, it has not been

has become unique.

hear

for

recent

quarters
the evidence that it could happen again has been some¬
what of a shock. Again, the effects of this catastrophe
were
somewhat selective as far as1 primary companies
were
concerned, although it is my opinion all profes¬
sional reinsurers are affected by the event in some
In

ized

brighter
than the situation which we faced entering
1961, al¬
though considerable uncertainty appears in the foreign
area.
Domestically, we foresee a continuation of the

The Los Angeles fires represent an occurrence that

flagration

ahd

Dakota

North

program of improvements

The

jor proportions has hit the coast.

level

depend on the extent to
able to hold down their oper¬

Minnesota Mining

Since that time and until Donna struck in I960 the

unusual

will

are

HERBERT

anything like the uniform reaction that can be the result
of a hurricane.
There were two severe hurricanes in

recent years

industry

line

approximately 33 miles of new, heavy rail last
year/ and placed more than 300,000 cubic yards of new
ballast In addition, the company made a. start on a
major
line '.change
in4, the: Cascade' mountains; -in
Washington.' -■•//> ,''4 vY '' -;.Yh; -V'' **»,/?> '*\ >• *3 /
The railway added 650 cars to its freight-carrying fleet
last year. This new equipment included 550 boxcars with
wide doors, 40/"airslide" cars, for transport of sugar,
flour and similar bulk commodities and 60 tri- and biinstalled

expenses and avoid losses of "Jumbo" size.

President,

re¬

rather

therefore do not affect all companies

localized and

We have

insurance

main

'its

unusual number of severe tornadoes in the

middle west and these have had

1954.

occur.

machinery

which the companies

staggering. During the year 1961 there

was

apply to the business of
recognized that some
Y
:

months.

railway begins 1962 operations with its equipment
physical plant in excellent condition. Traok im¬
provements in 1961 included a 107-mile extension of
Great Northern's centralized traffic control mileage on
The

and

whole premium volume should be up in 1962. Whether *
or not this volume will be attended
by a favorable un¬

al¬

vicious

particularly

was

and

: '

.."

traffic for at least the first six

it must be

bound to

boiler

replacing subsoil moisture which
extended period of inadequate

obviously is not possible to accurately predict
the volume of business for 1962, we now estimate that
-there will be a moderate improvement in Great Northern

;

While it

Hurricane

of hurricanes.

accidents,

are

the

For

cessity be qualified by the absence or
occurrence

rainfall.

accident-preventive

which the insurance companies

secondly, the damaging
Any prediction of

of Texas and,
Los

effective

Thursday, January 18, 1962

been depleted

had

service on
such installations of equipment there is now a need on
the
insurance company's technical staff of
engineers
with an intimate knowledge of the complicated processes
involved, of the interrelation of one piece of equipment
with another in the manufacturing series, and of the
special hazards they represent.
-V :
With large , values at risk, the boiler and machinery
insurance companies are exposed to individual losses
running into the millions of dollars. This," of course, is
an ever-present threat to underwriting
profits,"and re- 1
gardless of the high order of the engineering services

results of

panies will be pretty well borne out by final
when they are published.

industrial processes.
render

start has been made in

one

vessel differed little from another, except in
size, but this is no longer so. Many are now' of special
design for a specific and sometimes almost unique use
and are often important component parts of newly con¬
pressure

President,

appear to be any
Sales of coated ■ abrasives products in the past'have
for the reinsurance > been a
fairly reliable leading indicator of me treno in
companies in 1962 which are greatly different one way
industrial activity.
These figures currently indicate a
or
the other from conditions prevailing in 1961.
The
As projected a year ago, within the framework of the
continuation of a high level of industrial' activity for
contract surety field should show continued improve¬
.electronic, defense
and
space
industries,
Electronic
some
months to come, reflecting stronger trends in
ment. Total results for the year will probably hinge on
many
industries- including I textiles,'* chemicals, autos/- • Specialty Co. continued its growth, averaging 50% an¬
whether or not we are forced to again absorb one or,
automotive equipment, machinery, electrical equipment
nually, and continued to show a return on invested
more hurricanes and their intensity,
Irrespactive of just
and office equipment.
V: Tr;.;
Y1Y^,Y'Y't
.•./*-..*> - eapital ..which has averaged 33% annually during the
where or how they will fall, it can be safely predicted
Y/ ; For 1962 as a whole, it can be expected that the greatpast 12 years. A comparable growth is projected for 1962.
that the year will produce a certain number of catas¬
Y est gains will be made in the first half of the year with
trophic events which will have a material effect on the
this trend moderating somewhat during the last half
results of the reinsurance companies.
However, that is
O. BURKE '
of 1962 as the current business cycle nears the end of
the
nature
of
the
business
and
the
reason
for
its;
President, Standard Kollsman Industries, Inc.
.
.7its uptrend.
"
Y.Y'V•" YY;..- *Y';-;

factors

inherent

the

prospects

^Y/iY;;YY:YJAMES

.-V-

LYMAN

Y Y: YY

//;:YV',YY

■.

Continued technological progress and national prepared¬

;YY J. M. BUDD

BRAINERD

that the boiler and

are

industry will find in

1962

estimated

machinery insurance
of the steady

continuation

carriers

increase in the demand for its services that has been in

evidence

for

the

activity directly
to

past

several

military preparedness and
for

years.

indirectly related '

•

at levels

strong

industries

faced

afford

carry

that

equipment and

sels.

Under

result

from

these

accidents

conditions

Rapid

changes

occurring

i>*

were

under that of 1960.

nected

grain,

•

lumber

and

Tne

for

ore

Lyman B. Brainerd

total

the

estimates
the

occur.

another

increase

estimated

latter

Drought

because

part

Great

along

movement

year

1961

exceeded
of

the

$4.6

John M. Budd

tonnage

during

season.

seriously affected grain production
lines in North Dakota and

Northern's

Montana, but the damage fortunately was not quite as
as
pre-harvest predictions. The excessively dry

severe

weather did result in
crop,

less

and
than

grain
the

substantial reduction in the total

in storage

record

at the end

of the year

was

high level at the close of 1960.
Early Winter moisture has greatly benefited the graingrowing areas affected by drought, and an encouraging

one

billion

third

with

1928,

the

aircraft;

con¬

industry

when our Kollsman In¬
produced
the
first
for biplanes, we

unit

James O. Burke

'
have continued
position of leadership. Of the many
outstanding contributions we have made in recent years,
we
are
most proud of our new family of automatic
celestial
guidance and navigation systems. Generally
acknowledged as a major technological breakthrough,
the development of these proprietary systems has led to
multi-million-dollar
orders
for
tracking, aiming and
to

iron

increase

strument

earlier

1961—about

industry's sales.
company
intimately

electrical

carrier, declined in

principal rail

"1961.

industry have brought
problems for the insurance engineers who are
charged with the responsibility for accident prevention.
Not only are entirely new
products coming into being,
but the manufacturing processes for
producing them
often require expensive equipment with
design features
differing greatly from those on which inspection experimany new

show

entire

getting plants back in

production quickly when accidents do

.alone

since

plant

final

billion,-

industry's continued expansion.
Although total commercial aircraft
production, ..including helicopters,
was/estimated
at. 7,050
units last
year,
down 1,131 units from 1960,
government
contracts,
responsible,
for about 85% of the industry's dol¬
lar /volume,
more
than offset this
decline.
Expenditures for ^missiles

the

ance

having accidents but

the

will

billion, with a backlog of $14.1
indications that

many

the

fiscal

Movement

managements find the inspecting and
services of the insur¬

their

stimulated enresults of 1961

iron ore, of which Great Northern is

engineering

revenues

1962

are

for

ves¬

companies of prime importance
not only in lessening the likelihood

the

$14.8

there

and

operations will not be known until
late
January, net income will be-

without in¬

pressure

apparent

the year
couragement. While
phases

protection the risk of heavy
property losses and long, costly shut¬

power

became

quarter of 1961, and moderate

increases

with

surance

downs

substantially below predic¬

measures

third

problem of making profits in
spite of the squeeze of higher costs,
can

of contrasts

tions. The effect of rigid cost control

the

few

one

Northern,
with
traffic
earnings in the first half

volume and

consumer

most

generally. The past year was

Great

for

Manufacturing

goods should
keep the country's industrial pace at
a high level
throughout the year.
*
With

...

Expectations that 1961 would produce an improvement
in
railway traffic failed of. development, and Great
Northern shared another disappointing year with rail

Y/Y' Insurance Company
Indications

pushed the American aerospace industry to record
highs in 1961. Sales of aerospace products reached an
ness

President, Great Northern Railway Company

President, The Hartford Steam Boiler Inspection and

market

Y;-YYY Y'YY.;

existence.

maintain

our

missiles and space vehicles.
now in use aboard the Air Force's
and B-58 jet bombers. Another version is being
to aim GAM-77 "Hound Dog" missiles, and we are
building
special systems for the nation's first

navigating aircraft,
*

tachometer

„

These systems are
B-52
used
now

Orbiting Astronomical Observatory satellites.
v
Other outstanding Kollsman products include air data

Volume

195

Number

6126

;

The Commercial and Financial Chronicle

computers

march

F-106

nation.

for B-52 and B-66 bombers, for F-105 and
jet fighters, photoelectric sextants for Navy sub¬
marines/ and integrated flight instrument systems for
Boeing 707, Douglas DC-8 and Convair 880 and 990
commercial jetliners.
the

Kollsmaru Industries also has

television

industry.

Because

manufacturer

subassembly
in

makers

television

America.

set—and

the

are

sell

the

best

which

000

specially-developed tuner of un¬
rivalled/quality./.
•

The

mally low

upward

trend

base

■'

use

several

' •■■I-' Y

techniques.

Casco's

the

1,825,-

Y'Y

weather

.Y.Y

conditions

yfJ

1962

where

but

near

with'a
as

corresponding gain in earnings

CAIN

5%, since people tend to
services

and

oriented
flow

the level of national income

ours,

products

new

to larger volume.

;

ex¬

the horizon

Federal

Slock

Cash

and

Federal

and

Loans

Bank

from

Due

Government

Banks

6,119,380.74

Assets

3,014,516.12

Securities

Reserve

Bank....

12,841,711.36

Equipment

83,139.41

—

ASSETS

__L

.....

$32,771,370.19

_______

Other

ji
5

\ mm

liiii

IHlj |
is:!:*

24,247.64

700,000.00

increase

Nova

the

development on
of our growth.
winter
have
area

tourist

light and cultural
addition, big and little
supply the scientific and

and

full impact of the Nova

But this is only

indications

All

season

of Central Florida

point

Hotel

sections.

resort

expect

nefacet

the

history.

our

most

expecting a de¬
manufacturing and

are

number

our economy.

increased

and

industrial plants during 1962.
It is difficult to envisage the

re¬

biggest
bookings

the

lake

people to come
here for a longer visit than in the past and generally
these people will have more money to spend.
The

center

of the

Central Florida.
is

grapefruit
is in the
from

are

great Citrus Industry is located in
of the State Citrus Crop
counties

area

excellent

tural

for

look

and

many

sources.

increased

profitable season
millions to our economy
Y

employment

non-agricultural

considerable

and the largest citrus
Prices for oranges and

another

and

making—adding

agricultural

from

One-seventh

in three

grown

processing plants operate here.

rise

fields.

This

both agricul¬
should result

home

construction, which
1961; development
large shopping centers; an increase in retail
sales and a considerable boost in per capita income due
primarily to the influx of electronic scientists.
was

weak

spot in

our

economy

several

Bank

deposits, both commercial and savings, will in¬
loan demands remain about constant, with
ample funds available for most credit needs. Notwithcrease

and

Continued

j !

ill i!

•

iiSllii

on page

;

!•

,jf

\\w\

iiil
i!::

..jgzr

Yfc—

1
«

351,429.37

|
i

662,740.98

Capital Funds

and

!•

Reserves

LIABILITIES

3,114,170.35

2,451,429.37

Reserve

(

j]T
ji
if-

{

[.$

I
frj

r—i>

it A ID-

j i

»-|

i LpT™|

{"""Til

i:: i

•

•:: i

t::

r
|

t
J

i-""T

I
:

OFFICERS
JOHN

E.
'

PAUL

BOONE
*

WILLIAMS,

LOGAN,

MAYO, Chairman

CAMPBELL,

Executive

CLICK,

JOSEPH PORTER, Asst.

Vice-President
E.

l'»
Tr.

Off.

Cashier

Federal

the

DIXON,

JOSEPH

;

Trust

SEATON,

ROBERT

I Y;YyY,

Board

Senior

and

-FORD

iG.t

Y JACK E.; TRAYLOR, Asst. Cashier ;; Vr
Member

President

Vice-President

VicerPresident f *
PAUL GRUMBLES, Asst. V.-P. &
S.» G.

St!

$32,771,370.19

„

Officer

Vice-President

KING, Asst. Cashier

PRICE, Asst.

Cashier

DON EDWARDS, Auditor

Reserve System and Federal Deposit Insurance Corporation

FIRST

h .'•»

Cashier

Bond

Department

•

Teletype: NY 1-708

NATIONAL CITY

Head Office: 55 Wall Street, New York 15, New York
•

•

U. S. Government Dept.: Phone 559-8331, Teletype NY

BANK

Siate ard Municipal Dept.: Phone 5 59-857

1-5824

•

ji:.::

I !

ivr«
:

1,400,000.00
...

Funds

TOTAL

Bonds and Notes / j

"... Y** >*

134,415.26

——:

Valuation

Total

Etc

Profits.....

Capital

erection

Capital Stock
Surplus

Loan

Interest,

Liabilities

Undivided

alone.

source

the

llllNlii ! |!!iinisJ|!!!
-fall]
{ State, Municipal and Housing Agencies Yi I'
I

$29,498,536.94
Taxes,

cided

•

""Deposits
for

this

power

here

move

needs

illilinWiii

504,555.13

LIABILITIES

Reserved

will

technical

:j||j||i| j ||i|!| Dealers: lJ| i|ir

1.00

Assets

3,145.48

TOTAL

industries

.< V j.

504,554.13

Overdrafts
.

begin, reach¬

in the not too

total

Securities of the United Stat

63,000.00

and

j; Hi i
j j ji|j

19,275,818.81

Fixtures
Fixed

Total

will

10,000

means

facilities.

r>.

;|||||||

10,141,921.95 $16,261,302.69
1,915,299.96

Discounts

Furniture,

from

tional

W. J. Capehart

products

HI illibl-^Y

1,099,216.16

Building...

Other

Securities.;

Securities
Securities

Total

OF DECEMBER 29, 1961

Agency

Municipal

Florida—

homes, schools, streets, roads, addi¬

medical

punitive and restrictive provisions, could sharply alter
the nature of the industry.
\
*
'
I refer particularly to
the patent provisions which
would virtually abolish patent protection for the drug
industry alone.
The result would be to destroy the

assets
and

Central

future. A

This

is legislative in

now

total

omy

The major cloud on

area.

Ashland, Kentucky

Hand

could

into

this

of 5,000 em¬
ployees will be necessary for proper
servicing of the Project. With 15,000
new residents
moving into the area
during 1962, it is estimated $60 mil¬
lion will be dumped into our econ¬

expect a
contribute

progress

1962
con¬

announcement

interest

distant

origin, and it is hardly possible to predict if, or how,.it
will be dispersed.
Reasonable legislation, even if it
tightens and extends existing law, is not opposed by
responsible drug firms. However, such a radical meas¬
ure as Senate Bill S. 1552
(H. R. 6245) which has highly

immediate, as well as long-term, promise.
air conditioning market presently on the

States

ing

succeeding years.

YY'v Y

STATEMENT OF CONDITION AS

wide

About 9% of drug

dollars

Fla.

truly the "Gateway to the Moon." •"
This year the influx of new con¬

search, which is three times the rate
of industry as a whole.
However,
since so much research is going into
such major cripplers and killers as
cancer and cardiovascular disorders,
we should not expect sudden, major
advances.
We are more likely to see
George R. Cain
step by step progress.
At the same
time, as long as research continues intensively, optimis¬
tic forecasts of rising sales volume cannot be discounted.
; <
Abiding long-range factors—more people living long¬
er, more intensive use of medical care, rising standards
of living, and exploding populations—are bound to bring
about more business volume in 1962, as they will in

•

United

use

can

Second National Bank

Cash

medical

some

industry* sales

importance for 1962 and beyond are
hospitals and buildings for educational purposes. These

no¬

often in good times than in bad.
With
an
industry' as
research-

Other markets of

./i

equipment

-show great
The fifth

would be reasonable.

Orlando,

by the
government of the Nova Project at
Cape Canaveral. This focused world¬

a heavy incidence of flu
or other
virus-type infections. A rising level
of prosperity could also
improve this

to believe

expenditures
for
residential,
commercial, institutional and indus¬
trial buildings. Regarding the former,
total personal income has been rising
rather steadily since the turn of last
year
and
is
now
reported to be
nearly 6% above the rate prevailing
12 months ago. This is helping to
strengthen the air conditioning mar¬
ket and further support is antici¬
pated.
'
;•/ '•
Y'Y
~
' r.'<"
Office buildings continue to be the
largest single market for the air
William Bynum
conditioning industry but there are
five other areas which are expand¬
ing quite sharply. The most important of these is prob¬
ably the air conditioning of private homes by means of
[central systems. At the time the 1960 census was taken,
only one in 30 owner-occupied dwellings had central
air conditioning. The ratio is expected to be one in
iten by 1966 and the five-year trend should be steadily
upward. Furthermore, it is significant to note that
nearly two-thirds of all new apartments are being air
•

population and economic
big news of 1961 was the

The

higher if there is

''Y'Y.Y*YY

and

conditioned. V

tinued

-YY

Steady but probably not spectacular growth can be
of the prescription drug industry in 1962.

recently ended.
are quite sen¬
sitive to changes in the general eco¬
nomic
planet particularly in such
as

The

Central Florida, with Orlando as its
hub, looks to
with tremendous confidence and
enthusiasm in the

President, Abbott Laboratories

CAPEHART

struction workers

GEORGE

sales rise of perhaps 5%

cause

Chairman of the Board,
First National Bank at
Orlando,

likely.

.that the sales volume of the air conditioning industry will
be larger in 1962 than during the year

areas

warning to all industry.
W.

*•'

'•

distribution

and

I President, Carrier Corporation;

air conditioning

rising labor and material costs.
Summarizing further, it appears that the air condi¬
tioning industry may well establish new sales records

YYV--1 WILLIAM BYNUM

Orders for

serve

;

•

number of reasons which

and

do better than

pected

not

This is the dark shadow cast
by Senator Kefauver's bill,
the fact that it can be
seriously considered should

volume

justified

expect to improve our balance
commercial and consumer electronic and
-electrical home products.
Y'

are

too much to
say that under such conditions the
drugs that might someday save the lives and health
of people now
living might arrive too late—or not at all.

for air
conditioning will
substantial during 1962.
However, the over capacity
of the
industry; will not be used up.. And it is probable
that even the anticipated sales
growth will not permit
increases in selling prices to the extent

military,

.There

new

1,770,000. In 1961 room air
adversely affected by abnor¬
in the spring and early sum¬

favorable

than

years

this; segment of the industry should

the year ahead, we

.of

con¬

were

temperatures

Y,v'Y..:".':.:Y i■''V'-:-:

five

past

Assuming

and know-how

name

products

new

air

room

for

to
research, close the lanes of communication
scientists, and discourage investment in the drug
industry. This threat could turn the leading
drug com¬
panies into second-class, run-of-the-mill
operators.
It
among

We believe that the demand

diversified

this field. We intend to

1,500,000
sales

last year.

single power units to operate a
variety of kitchen appliance attachments, such as Casco's
"Chef Mate" sets, which have a very strong position in
*as

1956 when

1962,

market, another facet of
interests, also gained
in 1961. Two areas of special importance to our Casco
Products Corporation subsidiary are electric blankets,
fastest growing segment of the market, which achieved
$90 million in sales, and kitchen mixers and blenders,
which closely approached $100 million. There is also
an

from

reached in

During the

mer.

Kollsmau's

was

sold.

conditioners

electrical .houseware

.Standard

were

ranged

Total

have

interest in

incentive

field

of the wide public

these units

known

industry sales for 1961 were
somewhat ahead of 1960, and we expect significant gains
in 1962, especially with the growth of color television
for

be-found

This

ditioners, it seems appropriate to comment specifically
on
this portion of the industry. The
peak in sales of

big stake in
largest domestic
tuners—the most expensive

in the industrial plants of the
probably will not expand as rapidly
the others, although its size is bound to be
important.

Standard

(301)

Vernier Federal Deposh insurance Cupoi3tj

Financial Chronicle

The Commercial and

from

page

competition for ~the consumers'
dollars we are expecting a slight increase in consumer
loans during the coming year and do not contemplate
any significant change in the interest rate charged on
commercial or consumer credits.
Florida is fortunate. We have
missile industries, hundreds of beautiful
.

Central

Is it any

wonder that we are

optimistic about 1962 r

CARMICHAEL, JR.

'the 'Board,' Associates Investment Company

Chairman of

sluggish recovery from
a recession period,
and as the last quarter mf the,year
drew to a .close the economy was moving ahead at a
faster tempo. The :last five months of the year showed
a <marked
improvement in credits,
collections and wolume of new busi¬
brought an end to a

1961

Late

;

1962,

opeii
of

month to

growth

and

1961 was one of distinct
expansion for our company.

year

continued

and

GNP up
Personal

Personal

New
up

■

'.Construction

(including
-•:

(

Calif.; and, signed late
agreement to merge Securities Accept¬

•

®8*erv

J\.r)

A':;%/'VA ■/A ■
A .A-

;

^ime.
'$12 -billion.V A
V*

•

Equipment

$6 billion.

"•

$2 'billion

ifrom first quarter, low.

;

Civilian Employment up 2 million.Civilian Unemployment about the same.

■

and

*
.

..per

million in outstandings To become * effective J an. 2,4962.

to a rise -in practically all
types of business in 1962, although there is some dis¬
agreement as to the extent of the increase. It is predicted
that people will spend about 6% more in 1962 than in

point

Those

large

part

automobile market

■

our business is tied closely To ..the
making This industry extremely im-

pessimism

centered

iUnderwriters and Distributors

for

announced

Rayl

that

Richard

of The

head

IB.

/for

some years,

v..

•

••

•

)

INCORPORATED

Sutro

■Established 1905

•New

Feb.
Chicago
Detroit

Denver
Neware:

Sah Francisco
,

250 Park Avenue

New

Exchange—American Stock Exchange

Uptown:
VITAL

INVESTMENT
'ANALYSIS

energy
Marvin Chandler

long-term outlook for the industry remains favor¬
most applications and -in most parts of the

nation

(including northern Illinois) gas prices are at-:
fully competitive. The unique qualities of
including cleanliness, reliability, safety, ease
control and absence of storage requirements, will also

tractive and
natural gas,
of

aid its -future growth...
Proved
;
•

reserves

.•>

natural

./.v;/

iJ1

continue.to

gas

;

Tor\ Stoc\ Exchange

American

Stock Exchange

Bros.
York

York

Co., 180

•

Pine

St.,

120 BROADWAY

•

NEW YORK J, N.

City, members of J the
Stock

Exchange,;

Telephone REctor 2-4949

Teletype NY 1-724

,1, will admit ..Frank L. .Hall

;and Herbert Burgerto

partnership.

Mr. Hall is in charge of

Private

the firm's

railroad,- public and arbitrage , de¬

Los Angeles

partment; Mr. Burger is manager
of the research 'department. % -4

'-js-

increase

Regulatory procedures have been a handicap.
However, recent -developments offer more hope of fi¬
nancial rewards to producers adequate to encourage

tsteadily.

INDUSTRIAL & RAILROAD SECURITIES

ONNELL

'New York 5

units

Brokers and Dealers in

To Admit Two

;;

For

Members "Hew

firm's |
.institutional department. Mr. Rayl
has been with AtC. Allyn & Co. :
now

•

120 Broadway

Banks and Institutional Investors

MembersNetv York Stock

The

CHICAGO, 111.—A. C; Allyn& Co.,.;
122 South LaSalle ' St., members
J
of the New York Stock iExchange,
has

Specialists sin Rights and "When Issued" Securities

f '0^' \

than $6 V2 billion. To
meet the nation's growing demands for gaseous energy,
a record-rbreaking $1.9 billion will be spent for construc¬
tion of new facilities. tVtv*
/;
•
able.

•

For A. C. Allyn

Corporate and Municipal Securities

CHANDLER

year.

sell

.8%,- to

Corporate Profits, which were down $ 1 billion
$1 billion at year end.
Average Weekly Hours yyorked, down /one hour last
year, are up one-half (hour,
"
Residential New Construction; down $1 billion Tast
year is up $1 billion this year, 'j&x
Department Stores Sales have been running ahead
of last year and Housing Starts are up 200,000 over
last

1961, and the indus¬
try's aggregate revenue will advance

should be up

improvement will prob¬

•Institutional Research

which

•

than in

Net
..

ably come during The first 'half of the year, with the
second half showing ,a continued rise but at a ^slower
pace. It is believed that widespread prosperity will pre¬
vail—-but no real boom.
;
1
- •,
>
/■'.

around

;

•

Tion's energy usage; this proportion
currently exceeds 28%.
'
Our industry .is proud of its conTribution to the industrial might of
our
country, and to the unequaled
•standards of living which our citi-V
zens ienjoy.
We expect to ..provide
reven greater proportions of the .na¬
tion's fuel requirements in the future.
The gas industry as a whole

1961, with automobile and other durable goods spending
scheduled to rise about 9% and non-durable goods up
about 5%. Much of the business

factors

this time last year have also improved:

substantial rise.

^equivalent to a gain of 194% per/
.capita. Two decades ago natural gas
accounted for only 11% of the na-

This record seems to justify The' optimism engendered
by those economists who are looking forward To 1962 ;as
a banner year for the economy. <
—
^ v '■•
I

Most -economists

spending for "big ticket" items, -de-

capita basis it advanced 38%. During this same penatural gas use was up 367%,

will

Average Hourly and Weekly Earnings up 4% and. 6%
respectively.
"/A '
'
r• *
»;\ **« - A.. .
.
»

some

.in 1962

Corp. pf'Omaha, "Neb.-into The Associates, adding
97 offices in 16 western states and nearly $100

ance

consumer

'tJ.-M'}-; '-}.. President, Northern Illinois Gas Co.

■v..riod

Residential Housing)

economic picture, the in¬

used increasingly in the last two
:decades to improve productivity in the U. S. Total energy
used increased 88% between 1940 and 1960, while on a

'biljion.

$3 billion.

and

Euel energy has been

Expenditures for Non-Durables

Expenditures for Plant

commercial office in San Mateo,

and other services.

MARVIN

1960

$5 billion. V

to'rise

continue

;

Disposable Income-up $25billidn>.

Saving

travel

showing

:$3GibilTion.%/:'ty'-y.. • AAsf,,

Farm Income up $1.5

More credit is
this trend should in¬

incomes

ing use of consumer credit and the year end should show
a
greatly improved economy ; with consumer credit

Personal Expenditures :for .'Services

during the year included the realignment of
responsibilities to provide for expanded
operations; the undertaking of a complete electronic
data processing system To be completed in late 1962; the
opening of 46 new loan and 16 new discount 'Offices
across the nation;The'extension of commercial financing
services to the West Coast through the opening of a

future

the

consumers,

creased

Personal Expenditures for Durable^about the

In-

layed by the recent slight recession, iwill make increas¬

T vf+pjju,y+r 1*t»V

follows;

amount

about the same.

by $500 million but the

With the advent of the 1962

not

the 1961 results will exceed the

are

the

credit "and

non-instalment

Credit has remained

having purchased durable goods suffi¬
cient for their needs begin to use credit for vacation

was

.figures about

and

Examples

recession

crease

management

in December, an

will drag on

the mildest since the war
'but .that .the recovery had been the
fastest.
;
*
*
', ; "
' ,' - * f j
Now, -as the. end-of the .year 'fig7 * [
ures
are
in .sight, it appears
that Ail

the public.
progress

That. the

forms

being used for services and

now

only

'V;.;.

rate of increase is below that of last year.

1961.1 said, "In¬

confirmed

;;•*/'

stalment Personal Loans

record rate

new

predictions

of Instalment

-r

for

of
$526 billion, a gain of over 4% from
the year-end and Industrial Produc¬
tion had more than regained4ts re¬
cession
losses i as
official
figures
to

conservative

other

adverse Tendencies

the

indices ;to /start

the

The

-labor.

President,

and

1960

late in

made

that

are

expect

progress

•••.

months into

matically

emphasis was .placed upon .further diversi¬
business. Currently one-third of our
total .finance receivables are other than .automotive re¬
tail -and wholesale, oip /from 125% .at 'the beginning of
the year. We plan to expand many of our newly, estab¬
lished financing programs .covering income-producing
equipment and Other .products. Through our newly
created corporate planning and development division we
will give full attention to our research and development
program so as to futher enlarge and diversify our business. Our aim is to offer an increasingly wider assortThe

Board

the

again."
By the third quarter of 1961 Gross
National
Product
had
risen' dra-

our

merit of financial and insurance services'to

some

-'■v-;.v
; %-••••// v:
Unemployment continues at about 5 % and will tend
to be on the high side when, increases -in wages outrun
productivity, thus placing the pressure on the employer
to make greater use of machines and decrease use of

1961, but the downward movement
should be relatively mild and should resolve itself some¬
what about midyear. After midyear,
% v*

for

O.' C. Carmichael, Jr.
provement in the collection experi¬
ence on outstanding accounts helped
offset the effects Of the recession period. During the past

forecast I

dications

substantial im¬

end showing

year

T-

favorable picture.

■

at The Associates. We plan

Beneficial Finance Co.

improved volume in the sec¬
Lower

year "special
fication
of

•;

O. W. CASPERSEN

exceed a correspond¬

GNP

with

InThe field of Consumer Credit there hasvbeen a drop
of about $400 million in outstanding charge accounts and

Chairman

ond half of 1961 for.Associates.

costs

year

year,

experienced in 1961A >•;£.>-*• "T

ing of rising new car ^purchases and
direct borrowing combined with in¬
creased
business
in ..other
Li ne s

money

good

the

are cautious in
Although the in¬
Housing starts with its consequent demand for
durable goods plus the continuing population explosion
and the resulting formation of more families plus the
current boom in new car buying, all point to a record
high economy for 1962, sluggishness on the part of the
consumer or Over cautiousness -would tend to paint a less

loan and discount offices throughout the
and Canada and anticipate about-the same

United States
<Tate

1960

created

for

look

crease

Production, whose downward trend
year and which finally reached a

102.1

analyzing consumer spending in 1962.

month. And in November,
new
car
sales reached ..an all-time
November .record of *584,960. Financ¬

ing

;

to improving conditions, including rising dealer
profits, well-balanced dealer inventories, declining busi¬
ness
mortality among dealers and the fact that repay¬
ments on automobile paper are exceeding extensions—
always a good sign. ■■•
''v/.v -• W-."
T. ;•"?■.
.The new year should bring more over-all consumer
<>-buying on the installment.plan than 196U Estimates for outstanding installment credit at year-rend 1962 -are $46
billion compared to $42.7 billion at the end of October,
♦

most

point

■1961..s-

increase of almost 5%.

compacts, should .absorb about 35% to 40% of domestic
car
sales. Many 'factors in* addition to year-end sales-

of 1961 .for
registrations
in October of 11961 exceeded the cor¬
responding 1960 month — the first

The Associates. New car

.1961

Thursday, January 18, 1962

February, reversed direction and now
should reach a high of "115 by the year-end.
All of this augurs well for the 1962 economic outlook
and the current forward surge should carry on through

million

reach between 6.4 and 6!8

States should

low

first half

the

over

ness

caused iCGncern last

substantial increase over the 5.8 million year
of 1981. Foreign car sales will run about-400,000, and
the relative
newcomer
on
the automobile scene, the
in

citrus groves,
lakes, truck

cattle, 'tourism, a growing highway network, and
exploding population, and last, but by mo means least,
"a climate unsurpassed."
;
9
crops

United

■'

either

to ^ome extent, but all prognosticators agree that
rise in auto sales is imminent. Automobile sales in the

vary

standing the tremendous

Index

The

sales estimates

The Associates. -Automobile

portant To

•

Continued

(302)

wire to

Philadelphia

Volume

195

Number 6126

amount

power

1,842 trillion cubic feet, equivalent to

years' supply at current production levels. To ,
some portion of this potential supply may
not be economical, current research programs are ex¬
pected to develop methods of producing natural gas from
low grade coal and oil shale deposits at prices which ;
will be competitive -at "the time"* suchr processes
are "

I believe that

from

industry

the

•

ranks

ture.,
of

growth rate, since establishment as a separate organ¬
ization in 1954, has exceeded that of the industry as a

v.;1 '
;Yv, '
'Among the factors contributing to

rapid growth

our

Between

the

efficiency

„

preservation:

and

where

Puget

Power

'■

•

the -State

and

•Since

NI-Gas

1954,

increased at an
7.3% and revenues
13.4%.
During these seven years we have increased
our residential heating customers from
169 thousand to
annual rate

average

475

The

thousand.

would

been

now

any

and

led

completely solved. We can currently accept
new gas load.
We expect that within five
will be heating nearly 80% of the total resi¬

years

located

dences

within

our

service

Abbott

area.

Park,'

revenues

twice

about

WALKER
President,

;

Company,.

nation's electric power industry,
particularly significant fact must be taken into ac¬

In; any appraisal of

pur

That the investor-owned electric power

count. It is this:

companies of America
bilizers

our

are

nation's

basic and indispensible .sta¬

economy.

v ' •
commitments

These

;

Andover

Seattle,

will

factors

favor

the

wide

RALPH

which

are

;

-a

;

thousand

electric

the

Each

power

the

men

and

1962. Greatest increases

are

investor-owned power

the

business

(excluding agriculture).

They paid more taxes than any other industry in the

country, footing a tax-bill of about $2.45 billion to
support local, state and Federal government.
In 1961, they were employing some 335,000 men and
women, to whom they paid close to $1.68 billion in

acceptance
has

Ralph J. Comstock

the

than

Two

for hard goods
Patterns

(1)

in
as

including
segments

should establish
two years ago

half

first

new

recognize, I

sure,

that

our

Government's

These

one

Wertheim & Co.
cTXTemhers fNjcw York Stock

Exchange

•

120

BROADWAY

NEW

YORK

INVESTMENTS

absolute essential to our country's economic

investor-

companies have demonstrated their
constant readiness to furnish all the elec¬
tricity needed—at all times and in all places. Certainly
this emphasizes the folly of spending money on Federal
r

Our electric power

ability and

are

threats of ad¬

problems

basis

used

cars.

the

•

1959.

1962

" V

•

economy
•

are

.expected

industrial

Continued

objectives require vast expenditures of money,
at home. As we have

vigor is our progressive and financially strong
owned electric power industry.

production

and some 8% above the low period in the

and thus demand a strong economy
seen,

and

records somewhat higher -.than those

Union.
all

same

follows:

the

bility which reached close to 188 million kilowatts, again
increasing our more than 100% lead over the Soviet
We

Product

Overshadowing the

of production should be
higher in most segments of the econ¬
omy. Retail sales are also expected
to increase substantially, especially

During the year they were the principal contributors
a
new high
in our nation's power-producing capa¬

principal efforts must be directed to maintaining our
country's world leadership, and toward keeping us mili¬
tarily strong to discourage potential aggressors.

National

labor

will

expected

are

productivity if we are :to maintain
position in world trade.

wages.

slower, but

our

construction

American

all

(■

We cannot afford continued
upsurge
in wages over and above increases

com¬

expenditures of $3.48 billion
accounted for 10% of the new construction expenditures
1961

•

and laborprice spirals at mid-year. We do not
expect settlement of these problems

continued

companies.

Their

■

:•:

economic .advance

power

somewhat

Gross

panies of the United States forms a strong-point in its
own
area.
Each is local, stable, permanent; together,
they act upon the philosophy that contributing to a

healthy, balanced and vigorous economy is a prerequi¬
to success in business operation.
Here are some figures, taken from the nationwide
industry's operational records for the past year, which
underline
the
economic
significance of our electric

Personal Income.

site

;r..-

expected in the first half

Substantial increases

industry.

tax-paying,

are

continuing.

Walker L. Cisler

jobs

of the year. Increases in the
economy in the second half

somewhat

whose

;

business recovery which
began last summer is ex¬
pected to continue with some acceleration through most

the

women

The

very

hundred

COM STOCK

President, First Security Bank of Idaho, N. A.
;

practical interest of—first, all
users
of electricity, that is to say
the entire public; second, the shareowners, the millions of people who
have invested their savings in these
businesses; and finally, the several

two

electric companies will play a vital role in the
progress
lies ahead.

Industrial

major proposals
affecting Pacific Northwest
Power—the r treaty
with
Canada
affecting Columbia
River storage, and the California intertie—remain un¬
decided at this moment. If the treaty is ratified, a mar¬
;

these
1962.

Company's service
20,000 customers who
1 heat their homes electrically, and this number is growing
at the rate of 8.3 new electric heating customers each
now

within

Indexes

national average.

won

answers

•that

growth of the
electric utility Industry in this region. The abundance
of low-cost hydroelectric power has resulted in a steady
increase in the use of electricity. The average residential
customer in: the Puget Sound region uses nearly. 2Vz
times the amount of electricity consumed by other aver¬
age Americans at rates which are less than half the

Puget

the

sometime

come

ditional

have

homes, farms, shops and fac¬
tories throughout the United States.
As corporate citizens of up to 80
years' standing, they are committed
to the service and continuing better¬
ment of our national community of
180 million men, women and chil¬
dren.; ■.v''

locate

that

appears

equivalent to 16 months' production;

.area.

for

decisions

The outlook for the
Puget Sound-Cascade region in
particular, and the State of Washington in general, is
encouraging if not optimistic and the .investor-owned

will

Total-electric living and the Medallion Home Program

public utilities,
these
companies fulfill the tremendous respon¬
sibility of furnishing electric energy

major

-may

;

will

325-acre development near
principally by Puget Power.

Several

CISLER

Detroit Edison

The

Laboratories

has raised considerable doubt

area

Boeing Company—a mainstay of the Puget Sound
economy—will expand its aircraft and missile production
in 1962. Boeing employment climbed to 64,100 in Sep¬
tember, an increase of 5,500 from the-first of 1961 and
7,200 above the low point of 1960. At midyear 1961, the
Company had a backlog of $2.2 billion in contracts,

thousand,
for the year
the customer

rate, as they did in the 1954-61 period.

spending

consumer

owned

cast that our customers will have increased 40

Our

•consumers.

expanding consumer market in the Pacific Northvwest has already attracted several new industries, with
good indications that industrial growth will show greater
gains in the New Year.; General Electric Company and

which we confidently expect to continue uninter¬
ruptedly through 1962, we will establish new high levels
of operations this year. By the end of 1962, we now forer

5%, from current levels.
should continue to gain at

area

reportedly allow the federal government to op¬
Columbia River projects in the black within

and

one

J. H. Clawson

people who moved to Washington in the past year.

Assisted by the current economic recovery, which isapplicable to northern Illinois just as it is to the nation,

boost

the next few years without a
corresonding rate increase
in the low-cost power now available
to Pacific Northwest

result, Long-range benefits will include a projected pop¬
ulation increase substantially greater than the 50,000

type of

million

that

its

erate

$120

suggested

power which are not market¬
able in the Northwest. The
immediate sale .of rthis power

•;

10 million people

been

quantities of interruptible

...

Washington,

.•

that

inadequate gas supply,
seven years restrained our
to the need for limitation orders,? has

problem
which during most of those
growth

•

has

increasing operating costs of the federally owned
system, which is currently showing a deficit of approxi¬
mately $15 million a year. Booneville has substantial

nearly $100 million. Between
are expected to visit the inter¬
national exposition opening April 21, 1962. It is estimated

have

customers

of 6.7%, sales

Cana¬

offset

serves

there-are
several indications of a strong upward- trend in .business during 1962.

7 and

the

safeguards would stand the test of time. 'The
Bonneville Power Administration has voiced an
interest
in
selling surplus power to California as -a measure to

ment, of

Texas.

Northwest would benefit from

the California market

1960, according to the G. S. ••
Bureau of the Census, this suburban Chicago area had a- ;>, The Seattle World's Fair will be a~>
prime stimulator for economic prog¬
population growth rate of almost 72%, exceeding the
ress already evidenced by the invest¬
rates
of, such fast-growing
states as California and;
1950

power

that such

the

serve

additional

preference
give Pacific Northwest con¬
priority to purchase power generated in this
region, but the greater Congressional representation of

constantly

the

that

sumers

objectives of the fu¬

for

stated

clause might be enacted to

strongly

are

found

interruptible

power.

world.

830,600 people in -270 communities in

service area, which covers 10,000 square miles in north¬
ern
Illinois including virtually all of the .Chicago sub¬
urbs.

their

the

been

—

;

free economy which will assure

region,

is the substantial, and diversified industrialization of our

The Pacific

American people..* ..-••• •
'
5 Here in the Puget
Sound-Cascade

.'57V- ."Y

dedicated

increasing

;

Our

;

none

'greater- productivity

predominantly in the distribution of natural gas energy.

second to

;united

company,

own

;

has

treaty, but there is considerable opposition to the
California intertie proposal. Northwest utilities
both
public and private—fear that an intertie
might be used
for purposes other than the sale of
surplus

Over the past 86 years,

Today, these companies

our

industry.

dian

record year of accomplish¬

the investor-owned companies
have spearheaded the progress of this industry, which

Northern Illinois Gas Company in terms of annual rev«;
enue
is the nation's sixth largest enterprise engaged

whole.

1962 will be

have

S. payments for
storage benefits resulting from the treaty would
help to
finance Canada's new hydro
projects.

CLAWSON

ments in the electric utility

Turning

will

generated.

President, Puget Sound Power & Light Company

the extent that

ket

purposes

about 140

needed.

(303)

projects ..that is needed .for truly vital
of-strengthening our nation's world position.

future exploration and still maintain com- petitive pricing levels at the
burner tip. A recent;
publication of the U. S. Geological Survey estimated that
remaining ultimate natural gas reserves in the U. S. -

necessary

alone

Chronicle

.The Commercial and Financial

page 36

''C.tyWfy

|M*,{

The

(304)

•

Continued from page 35

•..

••};•,

plant and equipment you have 20% of the total invest! ment of all American business. If you add together the

months; of .1961. Significant factors include in-1'
in consumer spending; increases in government

early

creases

taxes

total

spending and some increase in private spending for new
plants and equipment. Inventory building, especially of *
steel products, will also be significant in the first half
partly in * anticipation , of possible v labor difficulties
and/or increased
prices. The > outlook for metals is
mixed. Zinc demand will increase as will that of copper,
steel and aluminum. The same applies generally to gold
and silver because of new industrial demand including
use in missiles
of these two metals.
' ' "
•
■
/•

paid

utility industry

you

expected

continue

paid .in America.

estimate for 1962

follows:,;

...

„•>

>/',

•.

;

other

Maintaining an adequate profit to pay the cost of
constantly growing business and to support our

annual

investment.

new

Constantly working to increase our efficiency and
productivity so that we can supply our customers at

our

thei lowest

possible rates:
(3) Encouraging our employees and the general pub¬
lic to take a constantly increasing interest in govern¬
ment, thereby improving efficiency and economy in gov¬
ernment

and

business

can

of the

wage

maintaining
earner,

atmosphere in which

be created and

can

indef¬
signifi¬

President, Cott Beverage Co.

shows

contribution

the

struction, employment,
other yardsticks.

however,

E. CORETTE

munity-.

con¬

taxation

President, The Montana Power Company

commenting on the prospects for 1962, I would
like to give some brief facts showing the place of the
electric utility industry in the American economy.

for

from

investment

new

investor-

the

electric

utility

industry

plant and equipment. This

rep¬

plant and equipment each year.
(3) Taxes of over $2 billion an¬

dustry represent the largest tax bill
America of any industry.
The

growth

the

J. E. Corette

tributional

changes

has been 2% times the growth of the whole economy as
measured by the Gross National Product.

(5)

The investor-owned electric utility industry at all
supply the total electric require¬

serve

America and

margin

has

maintained

adequate

re¬

drinks.
our

consumers

our

great increase
At Cott we have
a

international

sales

patterns,
in

even

the

changes

implies changes in dis¬

constituents

at Cott that

new

patterns

advertising and merchandising are required to com¬
pete in the new, bigger market. Like the auto makers,
we have
experienced an expansive demand for varity,
and learning to cope with such demands for
many sizes,

The communications industry is the second largest in¬
dustry in America in terms of annual investment. If you
add

soft

increases in

It has become Obvious to

well,;

seeing

sell.

times has been able to
ments

American

the best

are

container preferences,
of the beverages we
One-way bottles, low calorie soft drinks, and the
change from small stores to supermarkets, from corner
stands to vending machines, all these
put a premium on
foresight and planning.

industry since World War II

utility

for

particular

are

But the growth of our market

electric

together the investor-owned electric utility industry

extent that
time to

new

are devoting an appreciable amount of
product development and expect important

additions to sales and profits from this area in '62.

GEORGE

CRAFT

President, Trust Company of Georgia, Atlanta, Ga.

downtrend had been reversed and by summer the recov¬
ery

running

was

faster

had expected. Then

than

most

the lull in

came

September and early October that
set many to wondering if this would
be the most short-lived recovery on

Happily,

lethargy and began buying

autos
zest

and

other

the

threw

consumers

goods

year

with

ended

a
a

George S. Craft

and

ment

export extracts.

and combined lemon-grapefruit
flavors, have met with considerable success, to such an

payments problem, (3) the
continuing high rate of unemploy¬

Africa, the Middle East and Europe, primarily through
locally owned and operated bottling plants to which we

nually paid by the electric utility in¬

(4)

those who

are

Overseas, too,

demand

noted

flavored cola beverages

national

the

products.

investment of all American business

new

industry' has not tra¬
to adopt new products readily. Yet
product introductions—notably of cherry-

pects, however. (1) The tense inter¬
national political situation,
(2) the
persistence of the balance of inter¬

in numbers

resents from 10% to 12% of the total

points of view of concen¬
trate
producer, bottler, and fran¬
chiser, and from all these points of
John J. Cott
view we are optimistic. The expand¬
ing market, both in terms of per capita sales' and in
terms of a growing
population, insures our continued
growth, especially since the age groups growing fastest

equipment of all Ameri¬
can
industry.
(2) $3.2 billion is the average an¬

recent

The soft drink

one

The
recent
favorable
economic
climate is not without its cloudy as¬

find ourselves in the
unique position of viewing matters

in plant and

investment

Cott,

ditionally .been

strong note.

bottler

enterprise

7;77':7;7.77

One final word.

new

small scale.

(1) The net capital investment of the investor-owned
utility industry in plant is
approximately $46 billion and repre¬

owned

private

growth.

prosperous

real

most extensive strong¬

our

off their

are not enough,
investment com¬

Watching

one

holds

electric

nual

the

demands now must run day and night,
vending machine provides an essential answer
to the problem of feeding and refreshing workers and
drivers around the clock. Our company is
actively par¬
ticipating in both present activities along these lines and
in projecting future activities. This is surely the road to

record.

profits
decline'slightly, it asks and has every
right to ask what the future holds

Before

total

for

States

dthe

By spring the previous

sales gain of
one percent in a year's time—and that is what has hap¬
pened last year in the soft drink business—is obviously
in a position to make a vastly larger contribution to
the American economy, whether one
measures

United

ever

Such contributions

the

look forward to 1962 when

The year 1961 has gone down in
history as the highest
in many measures of economic
activity, but it has
been a year of great paradoxes.

COTT

A two billion dollar industry that

we
we

that

new

for the benefit

prosper

the public and the investor.

JOHN J.

force.

(4); the long-term down¬
trend in the relationship between corporate profits and
the economy's total output—these are disturbing factors
that we cannot set aside lightly.
We start. 1962 with a legacy Of both the favorable and
uncertain

factors

carried

over

from

1961.

can

worsening in the international political pic¬
ture and no sudden flare-up regarding the stability of
the dollar, then 1962 should turn out as another record
high year in our economic history. Rising consumer in¬
comes, aided by the recent upturn in consumer credit,
point to satisfactory further gains in output of auto¬
mobiles, household goods, apparel and other consumer
goods and services. No real boom is in near-term pros¬
pect for capital goods, but the importance of keeping
our productive machinery
competitive suggests continu¬
ing gains in output of business equipment. Construction
activity will be aided by a moderate gain in housing
demand and enlarged public works projects for high¬
ways and schools.
And greater expenditures for national
assume

defense

will

add

the

strong

demand

factors

in the

private

with

their

con¬

economy.
Fortunately, inventories even
recent rise continue low relative to current

sumption; levels and no sharp change in commodity
prices appears likely in the immediate future.
Commercial banking trends will be strongly influenced
by trends in the general economy. Greater spending by

Howard, Weil to
Admit Partners

UNDERWRITERS AND DISTRIBUTORS

NEW

ORLEANS, La. — Howard,
Weil, Labouisse, Friedrichs & Co.,

211

&cccAcmtjpe and o/Aew Aectdintp, (occcAxcnaeS

Carondelet

St.,

the New York Stock

Bonds

•

Commodities,

and Malcolm

to
•

members

Exchange,

■; •

CORPORATE FINANCING

Feb. 1 will admit Frank T. Brame,
Jr.

(T-fO

Stocks

partnership.

manager

Raworth, Jr.,

Mr.

Brame

MUNICIPAL AND CORPORATE

of the firm's Alexandria

SECURITIES

office, 808 Third St. Mr. Raworth
c+J)

is manager of the Natchez

65
30

0locAefe/ley
40

CONNECTICUT:
Dixon

•

Danbury,

MICHIGAN:

Bethlehem, Philadelphia
Buenos

Aires

LEBANON:

•

Beirut

•

BRAZIL:
e

Creek,

Bay

TENNESSEE:
Sao

MONACO:

E. F. Hutton Co.

Paulo
Monte

•

City,

Flint,

Grand

Memphis (Cotton)
ENGLAND:

Carlo

Rapids,
*

London

VENEZUELA:

Kalamazoo

ILLINOIS:

•

FRANCE:

Caracas

Paris

Chicago,

PENNSYLVANIA:

•

WISCONSIN: Madison
•

Van Alstyne, Noel & Co.

To Admit Two

i3,

Hartford, Merlden, New Haven, Torrlngton,
Waterbury

Battle

PRIVATE PLACEMENTS

■

20,

itoy/A f/tyeet, j\eut 26crJc

•

office,

325 Main St.

&<wadwa/y,, jVew ty/vv/c 6,

•

ARGENTINA:
HONG

On
1

WEST

GERMANY:

Members:
New York Stock

Feb.

Chase

York

Hutton '&

Manhattan

City, members

Plaza,

Co.,

Stock

Munich

Lucian F.

Exchange, will admit

Marino and

Lynch to partnership. *

Exchange
NEW

New

of the New

KONG

York
*

2 ''

single example makes

dicted

our

(2)

by late spring should be below 4% of the labor

12%

our
-

have made will bear their
inevitable fruit in higher sales and higher earnings.

(1)
our

bigger share of this trade.
(7) Employment will increase subtantially, unemploy¬

sents

tradi¬

upon

.;. ••' .r'V-:."'*?'.

■;

operations. But
of the adjustments

many

Revenues from residential, commercial and indus¬

past years of $12 million per year,.
In our industry our problems ;are. the same
American business, namely,

of the year.
(6) Retail trade should be well above levels of 1961.
Actually, this is a continuation of the trend established
in the late months of last year. Durables will command a

strained

demands

traditional years; years when
in many markets the weather imposed severe penalties

the communications Aand electrid
account for over $4 billion of the

trial electric and gas business will. increase approxi¬
mately-6%.
\
(2) Investment in new plant2 and equipment will be
about $17 million compared to an average investment in

cant factor in the early months

ment

heavy

my point.
It has been pre¬
vending machine sales in 1965 will exceed
$5 billion. It is plain that bottled soft drinks are in a
superb position. to participate in the phenomenal sales
growth shown in that area.
The services which the

(1)

will, that of public utilities. Some

not

put

upon our

expansion is expected in industrial plants;
(4) Increases in savings will probably be at a slower
rate than was true in 1960 despite higher rewards for
savers
through interest payments on savings accounts.
Fear associated with the recession in early 1960 and with
the Berlin crisis in mid-summer were significant factors
in acceleration of savings in
1961, and, likewise, de¬
creases in consumer spending. The reverse
is probably
true in 1962—more spending, less savings.
(5) Interest rates are expected to increase due in part
to greater demand for bank credit. Federal Reserve "easy
are

has

outlets

and

has

provement over 1961.
> ,:.A'7 ■'
Using Montana Power Company as a good example,

policies"

types
and

We-look upon 1960-61

business in Montana and that

1962

pluses continue to hang over the market. Included are
potatoes. Some improvement is expected in both cattle
and sheep prices.
: ,
(3) Housing construction will improve only slightly
over that of 1961. There is no backlog in demand. Some
increases in interest rates, especially for mortgages may
be a deterent factor. Government construction on all

money

facilities

Thursday, January 18, 1962

:>
~ .?r •••;^ v; U
part of the United
States should be good. We anticipate a substantial im¬

total taxes

(2) Total agricultural and cash farm income will be
approximately the same as in 1961/However, crop sur¬

initely. The threat of inflation, however, is not a

tional

personnel.

levels will increase, as

flavors,; package

industry annual investment in

the communications

and

Commercial and Financial Chronicle ',

Thomas P.

Hartford, Conn.

American Stock Exchange

YORK

Los Angeles, Calif.

Maplewood, N. J.

Passaic, N. J.

Philadelphia, Pa.. 7 Pittsburgh, Pa.

Volume

both business

195

and

Number 6126

will

consumers

The Commercial and Financial Chronicle

probably

cause

bank

;,ther increasing its strength by nearly 50%, and produc¬

deposits, to rise, Jess in the next 12 months than they
have in the past
year, although the recent liberalization^
of Regulation Q will
give banks the opportunity of hold¬
ing

lost.

tion and
t

to time deposits that otherwise
might have been
Bank loans will
likely rise more percentagewise

.business
financing real estate transactions.

Before

many months have passed these increased de¬
will be
exerting renewed upward pressure on
interest rates. -.
/'■••■
'>/<
'-'/'if/.

traditional,

CUPP

'/space;
'

moment in retrospection, and then
attempt to see into
the future, possibly for a
year,;, or with finer perception,
for a few months. It has
also become traditional to
that

food

shortages

The

maintain his sales

reports

Labor

Statistics

people
out

the

from

volume.

Bureau

indicate

that

our

continue to eat well with¬

can

ing,

the

cost

food

has

been

markably

stable, all editorial com¬
the contrary not withstand¬

ment to

ing.

stood
Paul

Cupp

'i pulsion and the generation of electric power;
Reseach at a special test facility to determine the

increasing their outlay of cash.

KAs compared to the total cost of liv-*

August,

116.6

114.3

for

these

1952,

for

cost

food;

indices

of living and
report for

the

October, 1961, the latest figures now
available, cost of living was 128.4 or up 12.34% while
food at home was 117.6 or up .86%.
Personal
income
prospects are favorable and with
employment on- the increase the total business outlook
is good. Concern is developing over the ability of busi¬
ness to absorb
increasing costs through greater produc¬

•"■'".'V

ing water at lower cost;
'//U//'/
A sun-powered thermoelectric pump which holds great
promise for the millions;.of people in underdeveloped
areas
of the world who still use primitive methods of
irrigation;
'.//'///;
/v./ '/•/; V ■/:/'>'/
Further applications of atomic power for naval pro-

the food retailer, there will be quan¬
tity and quality to satisfy his inven¬
tories and make possible the offering

that will

vv/.'/.-U

abundance,
visible and for

are

Computer systems which,, pan more effectively direct
complex industrial processes;
New ways to convert heat directly into electricity;
Large scale conversion of salty water into fresh drink¬

representative of the accelerated

of science which promises unique oportunities for
the electrical manufacturing industry in the '60's.'

For example, Westinghouse will be working on such
important projects as:
,V
,*
A nuclear rocket engine for the exploration of outer

observe

pace

approach the New Year, to pause

as we

underway/
"
'
*
Early in 1962, the magnets, and the cryogenic systems
in which they operate will have been manufactured and
shipped to customers.
'
•
Only two years ago, a superconducting magnet of such
strength was considered impossible to construct. Its suc¬
cessful development is

President, American Stores Co.
It is

superconducting wire, the heart of

•'

mands

sale of the

the tiny magnet, was

in 1962 than in 1961 with
increased demands by
and consumers and for

PAUL

"(305)

eco¬

nomic and technical
-

feasibility of transmitting power at
775,000 volts—a level more than twice the highest opera ting voltages of commercial systems in this country.
<
To realize

fully the potential of new technical achieve¬
ments and new markets, keys to long-range increases in
sales and
a

earnings, capital expenditures will continue at
A good part of these expenditures will be

high level.

used

for

ernization

cost

reduction

of old

increasing prices.
industry much interest has developed
in dhe growth of the "discount house." This is a natural
evolution in the combining of non-food items with food
products for greater convenience and improved service

ranging

programs

plants to fuller

use

from

mod¬

processing

systems

tribution,

But

manufacturing and product dis¬
and engineering development

research

expenditures, too, will continue
future

growth.

Much

just-completed

this

high level to

effort

will

research

centralized

assure

and

come

from

located

and patent

100-acre

site

near

department.

The purpose of the center is to
products to the market by reducing the time
span between
scientific discovery and product
design,
development and manufacture.
The

hasten

new

superconducting

magnet,is

example.,

,an

Also completed late last
year was
former

largest
made in

ful

new

power

the

plant project.

new

transformer will

;

far

How

this

will

go,

mid-1962.

plant
*>v-

new
:*

the extra high voltage transmission lines and
nected systems of the nation's electric utilities.
In line with

ing

circuit

intercon¬

this trend, Westinghouse will
begin test¬
at a new high power laboratory

breakers

which is

expected to be completed at the East Pittsburgh
plant in the third quarter of 1962.
The laboratory will
have a capacity of 2,500 megavolt-amperes and will
be
the most advanced

facility of its type in the nation.
Continued

automatic data

page

CARL M, LOEB, RHOADES & CO.

customer reaction and preference will be the controlling

the nature

factor

of the

retail

its

early

growth

and

future

the future.

store

might be said that the Supermarket

was a

Members New York Stock Exchange, American Stock Exchange

discount house

developments

and principal Commodity Exchanges

;

dis¬

■

Vi-

counting will be watched with interest by all retailers.
In the program of Acme Markets, we plan to continue

'^42 WALL/STREET

growth pattern, looking for locations with attractive
possibilities. While we will be happy to consider shop¬
ping centers, we will hot exclude sole markets as possible
new
ventures. Suburban sites will be studied, but the

'-■■/■A

'i f

■

fU-

NEW YORK 5, N. Y.

our

possibility of urban
Future

attention.

locations will

prospects would

also

receive

Underwriters and Distributors of

Corporate and Municipal Securities

careful

to be broaden¬

seem

ing rather than becoming narrow and confined. We face
the future with optimism and a determination to serve
the

public

able to interpret
which the public chooses to be served.
we

are

the

manner

LONDON, 10NO LA N D

AVENUE, NEW YORK CITY

NEW YORK STATE:
Ithaca

MARK

PARK

375

CRESAP, JR.

•

Kingston

Auburn

Elmira

Middletown

•

Watertown

•

Geneva

llornell

Syracuse

•

Ulica

•

Stroudiburg, Pa.r

President, Westinghouse Electric Corporation
A

•

potential

for

CORRESPON DENTS

improvement

substantial

app-iances and other

in sales of
products, larger outlays

consumer

by business for capital equipment, and greater exoendi-

Anderson & Strudwick

Uures for defense promise better business in 1982 for the
electrical manufacturing
If

favorable

these

ditions

-con¬

increase

ranging from 8% to 12%, and
significant
increase'-, in
billings.
However, billings will increase to a

Virginia...

Chicago, III.

cause

for

than

degree

orders

new

the

manufacture

equipment

such

heavy

Philadelphia, Germnntown, Beth¬

Grand Junction, Pueblo,

Colo.; Chicago, III.

Norrtstowri, Pittsburgh,
York, Pa.; Baltimore,
Mil.! Canulen, Woodbury, N. J.

Chaplin, McGuinesS & Co....... Pittsburgh, Pa.

utility industry and large
electrical machinery for other indus¬

Chapman, Howe & Co.

tries.

Cooley & Company

Contributing
be

the

such products

rise

air

and

Mark W.

Cresap, Jr.

Westinghouse
to

and

measures

effort

variety of equip¬

lit.', Ames, Keokuk, Iowa; HulchinSalina,Topeka, Wichita, Kans.;
La.;
Laurel, Miss.; Bartlesville, Ponca
City, Okla.; Houston, Longview, Tex.

Lake Charles, Shreveport,

Elder & Co..

man's

(Minneapolis,

Falls, Mont.;
Fargo, No. Dakota

Prnurvdt
1 rescott AV
Ac

Co
GO.

1 Cleveland, Sharker Square, Canton,
.

| Columbus, Toledo, Ohio
.

I San Francisco, /„<»« Angeles,

\ Berkeley,Beverly Hills, Fresno,
\ Hagwurd,

Chattanooga, Tenn.

San Jose, Calif.

the profit squeeze will
aggressive cost reduction

ease

accelerated

research
new

activity

aimed

FOREIGN

Ian Potter & Co

products.

one

the

most

CORRE S PONDENTS

Melbourne, Australia

A.'E.'Osier Company, Limited., Toronto,

Paulo A. Bromberg.

Sao Panto, Brazil

Yamaichi Securities Co., Ltd..

Greenshields Limited.

Montreal, Canada

Roldos S. A..'.

......

sought-for
Mercantil De Inversiones S.A. Caracas, Venezuela

the next decade in almost every aspect of
of electricity including its generation and at¬

Canada

.Tokyo, Japan

.Montevideo, Uruguay
f

use

tribution.;
;.

Rochester,

Great

Sutro & Co

goals of modern science, the development of a supercon-:.
ducting magnet of super-strength.
It portends radical
changes

Baltimore, Md.

St. Paul,

scientists

Mead, Miller & Co

Minn.; Billings,

son,

representative example of this emphasis on research
and rapid development was the fulfillment
by Westing¬
research

Tex.

J Belleville, Jacksonville, Springfield,

fo Snn^i

house

J p'^Tomton,

f Louisville, St. Matthews,
1 Bowling Green, Danville,
I Lexington, Kg.

landi Naples, St. Petersburg, Flu.;

particularly in appliances and

developing and marketing

Hartford, Conn.

SI. Louis, Clapton, Crestwood, Mo.;

A. G. Edwards

concentrate

Tuscaloosa, Ala.; Phoenix, Ariz.;
Joneshoro, Little lloclc, Arlc.; Lake-

The primary challenge to management in 1982 will
continue to be the squeeze on earnings exerted by risingcosts and unusually low prices.
Some relief will be pro¬
vided by
increased sales volume, and there is some

continue

Loewi & Co., Inc...

W. L. Lyons & Co.
)..

defense.

evidence of firming prices,
other consumer products.

Ditfmar & Company, Inc.

appliances and television,
conditioning equipment for com¬

ment for

Milwaukee, Appleton, Bearer
Dam, Chippewa Falls, Green
Bag, Janesville, Kenosha,
Madison, New London, llacine,
Waukesha, Wnusau, Waitwatosa, Wisconsin Rapids,

'..Chicago, ill.

sales

for the home

mercial and industrial markets,

Johnston, Lemon & Co.....

Wise.

major

Jolinslown, Lan¬

Sunburn,

for

the electric

will

I Norfolk,

I Hampton, Va.

lehem, Kaston

Jackson, Miss. -.Ay ,C

capital

apparatus

Cincinnati, Ohio

caster,

I Nashvil e, Knoxvil c, Jackson,

be¬

of the long lead time required

Denver, Colorado Springs,

lesser

Boettcher & Company

in" 1962

Investment Corporation

>■

orders

.Chicago, III.

William Blair & Company

Westinghouse

materialize,
realize

should

Betts, Borland & Co..

industry.

business

Hill & Co.,

[

;

tional

that of

conven¬

iron-core electromagnet
weighing 20 tons.
By
year-end, Westinghouse scientists had succeeded in fur-

WIRE

SYSTEM

....

The magnetic field created by this one-pound magnet

last Septeir ber was twice as intense

PRIVATE

Branch Offices and Correspondents and their
cities throughout ihe United Slates and Canada

Providing immediate access to primary markets through

connections

in over

100

The huge new plant will facilitate
production and test¬
ing of the super-size transformers required in the next
decade.
Transformers with ratings up to
1,000,000 kilovolt-amperes are envisioned in the near future to serve

but

guess,

the
has

The world's most power¬

shipped from the

retail

consumer.

trans¬

plant at Muncie, Ind., which represents
single capital expenditure • Westinghouse

tion, avoiding
In

development
Pittsburgh., The
new facility,
unique in American industry, offers the
means to
coordinate the work of 1,750
scientists, engi¬
neers
and supporting personnel
by combining in one
facility the company's research, materials, new
prod¬
ucts, manufacturing planning and controls laboratories
center

The Commercial and Financial Chronicle\
38 "

L.
Continued from page

37
American

President,

JOHN M.
President, Eastern
We look for a

the

during

CURLEY

the new year, due largely
anticipation of a possible strike.

encouraging signs

special

loans

•

consumer;

the last six months- of 196! gave sup-

John M.

that

1961

Curley

....

„

consumer

|C. DALY

barometer from
tion activities

made.

the

which the construc¬

R. C.

Daly

was

evident

during the

operations

foreign

from

returns

John H. Daniels

Europe,1 Latin- America, Australia,
and Asia, as well as from export of

recession

continuethroughout

•

J962777- 7^

7 complete

chemical center, research laboratory,

new

either housing

year,

during 1962. will be

ment

unemploy¬

should

•

this dynamic free

additional plus; for con¬

confidence.

sumer

but it is my

pointed

buying and borrowing habits. The deterioration in the
international situation prior
1950

resulted in

to the Korean outbreak in

"scare buying" of a magnitude not ex¬

perienced since then. An opposite

effect

was

apparent

enterprise economy of ours.

;

• •

JULIAN R. DAVIS

President, Bank of Hawaii,

-v

out that increases in: interna¬
tional tensions have had opposite effects on consumer
It

activity. Activity in construction changes

of work executed.

Agricultural Group operates.
ADM
also
anticipates increased

again undermines; ithe con¬
stability and future in¬

1963.

from grain mer¬
products such as

;

food

7 flour and protein supplements,": and
fibers—the fields in which ADM's

job

their incomes. Some anticipated reduction in

>77:7^7$;

volume which might occur in

volume

his

profits

chandising,

industry, and barring long strikes, should exceed 1961
total

that it
in

see

increased

•

prediction that the year 1962 will be a good one for our

period of

soybean processing plant and grain export -terminal., as
personal income for-1962 should act as
a
further support of consumer confidence;, during the 7 well as expansion and: improvement of severahexisting
plants.
We also are in the process of studying, one or
year. It is a well-known fact that consumers; will not
iwo acquisition possibilities and joint ^ventures. ,
7 • y
obligate their future incomes for the repayment of credit
The aggressive, hard-hitting,, well managed companies
obligations unless they are confident of the stability of
should continue to enjoy profitable long-range growth
their, present employment, as well as the continuity of

in 1962 taking care of any reces-

Increases

ing 1962. There is an indication that
for industry will pick

year

it is possible that the prospects for the consumer
industry will continue strong through) at least

which should

construction

somewhat in location from

and

<
definite indications also of

products manufactured in this country. We are stepping
1960-61 that
up our licensing of patents and technical know-how to
the consumer attitude toward
borrowing- .and buying
foreign producers as well as continuing to upgrade inwas
more
adversely affected than it was at any time 7 vestments in certain joint ventures. • - •••-'• 7:7f7 '
since the end of World War II. Increased savings, lag¬
Capital spending by industry for new plant and
ging retail sales, and a failure of consumer credit to
equipment is generally expected to provide a strong
■'
expand—all gave, evidence of a major decline in con-,
impetus for business improvement in 1962. This reflets
sumer
confidence. The expansion of consumer credit,
to a large extent industry's confidence in the future.
which began in October of 1961 and was well sustained
ADM, for example,, currently is carrying on a $26 million
in November and December, seems to show a strength
capital expansion program. In the year ahead we will

predictions have to be
contracts, Fed¬

office building

point

confidence

first half of

Government

sion in

the

come,

eral, State and) Municipal, have been
a
big factor iin the overall volume
of construction for the past two years
and should remain a big factor dur¬

entering

finance

for

boards
in 1962
is

now

prolonged steel strike does not occur in midyear- and
international situation does not become inten¬

sumer's

of work contracted

engineering

chemicals

industrial

foundry supplies.;

that the

Puller Co.

remained good. *
1962 should be no excep¬

contracting

finance industry is

full recovery from the recent recession and that this pe¬
riod.- of recovery should last through 1962; Assuming: that

last months of 1961 and
the amount of work on the architec¬

early

protective coatings and

for

plastics,

for.

This Group
with resins'

the

turaland

oils

and

industries

these

serves

im-

earnings

and

sales

ADM's Chemical Group.

Both of these factors would seem to indicate that the

.....

its place so* that the

Company

agricultural

and

should be reflected in

struction

proved

participating. Historically, such breadth of recovery
strength in the economy which, could ; be
sustained over a prolonged period.
■ 7\*
" 7
7 * - .7

overall volume has

has, meant; a

sified

for

omy

construction industry for the
past few years has been a gradual increase year after
year in the total volume of work executed. When one
segment of the industry lags behind, another segment
The year

was

of the economy. Second, the present up¬
is broadly based,, with most segments of the econ-

turn

general pattern in the

tion. The amount

L. M. Curtiss

in the upsurge

metals such as columbium, tantalum,
Conversion work on these metals and
alloys is expected to show a considerable

take

presented, indicating that
finance industry was participating strongly

the consumer

and molybdenum.

evidence

real

in 1962.

businesses in which
Archer Daniels Midland' Company is engaged, we expect
increasing improvement in 1962.
The; expected high sales
of automobiles and hard
goods and accelerated rate of con¬
chemical

In- the

during

port to this traditional performance.
It was not until the last quarter" of

•

field of the- newer

seems

industry

likely touch
wave of

economy

President, Archer-Daniels-Midland

The performance of the

finance

H. DANIELS

JOHN

would

consumer

noted, however, that the

industry

finance

sumer

the economy.

panded research' and development project is under way.
The- company has also- extended its activities in the

The

(the making of cash installment
to consumers) lags\about six
months behind the cyclical turns cf
try

production facilities;, and- an ex¬

tionally, the consumer finance indus-

to step up productivity and
operating economies in the face of
mounting labor and material costs.
Meanwhile, Eastern has strength¬
ened
its
distributing organization
from coast to coast, and is in
an
excellent position to take full ad¬
vantage of any upsurge in business
which
develops
in
1962. Several
basic improvements have been made

President, George A.

strength

gathering

was

with each succeeding month.;-Tradi-- -

program

super

and

the

consumer's
and has varied.
In summary, we would concur with the majority of
economists wno predict a continuation of "good times"
through most of 1962. We would expect the consumer
finance
industry of. which American Investment Co.
ic a part, to perform well throughout 1962, and hopefully, throughout the first half of 1963. We would anticipate near-record earnings and volume for the con-

gave

cession

but

1950
of

performance under these conditions can

estimate.

during the last six months of 1961
strong indication that business
had recovered from the earlier re-

buying"

reoccurrence

1960-61. It should be

is more than a mere optimistic *
First, economic conditions

year

greater
Barring
price relief, the profit margin, how¬
ever, will again be inadequate for a
normal steel operation. In line with
current industry practice," we shall

increase in 1962.

:"scare
or

earnings as well as volume of business.
Several presently existing condi- - ,'t
tions
indicate that
a
near-record

point to a slightly
volume
of sales in
1962.

other

savings and a reduction in the amount of buying and
borrowing. It is probably reasonable to assume that an
international
crisis
in
1962
would not produce the

should have a good year

could
:

which

7 during the .1960-61 recession when " a worsening of the
•international picture produced a1 tremendous surge of

■

Company of Illinois"

1962, and with no major disturbances in the economy,
have a near-record year from the standpoint of

first half of

vigorously continue our own

Investment

■

production scheduling

overall view, there are some

CURTISS

The consumer finance industry

Stainless Steel Corp.

fairly sharp rise in

hedge buying in
In the

Thursday, January 18, 1962

(300)

Honolulu, Hawaii

„

Hawaii—from the pro¬
nounced boom of 1959-60 to more normal growth rates.
1962 will probably record a continuation of this trend.
The primary factor in this deceleration of the growth
1961

was

year

of transition in

leveling off in resi¬
housing—with indications of
in 1962.
Another negative factor has been

rate has been the

dential
some
*

further leveling off

position of Hawaii's bed¬

the diff icult
rock

sugar

and pineapple industries
rising costs and increas¬

—because of

ing

J.- y.v...v...........v.......v..^^^

competition.
;;"
77
also suffered from drought

Sugar

conditions

Troster, Singer & Co.

during

the

summer

Trinity Place, New York 6, N. Y.

;.;-v

-7

Julian R. Davis
*

stantial

rise in the

and

fall(particularly, on the Island of
Hawaii). This, prospectively, will re¬
duce output during 1962.
7-•
Four factors of strength have tend¬
ed to offset these negatives: (1) the
recovery
and .advance in tourism;
(2) record peacetime- levels of defense activity in Hawaii; (3) a; sub¬
dollar .volume of

manufactured arid

processed goods as a result of. an all-time high.in invest¬
ment in new plant and. equipment during I960; and (4)

Specialists in

improvement in Mainland business conditions, which
mildly stimulating effect in Hawaii. >
Most of the basic indicators for 1961 show a. definite,

the

has had a

Over-The-Counter Securities

•

but

mild, advance over I960. It appears
moderation will continue

very

that this trend toward
out 1962.

Private wires to:

Hartford

Chicago

Houston

Cleveland

Kansas

Pittsburgh.

City, Mo.

Columbus, Ohio

Los

Dallas

Louisville

Detroit

Minneapolis

Grand Rapids

Philadelphia

Angeles

Salt Lake City
San Antonio

•

r*7 i 7.
'

•

banking and finance tend to

Portland, Ore.

;

•

reflect the over-all
growth of the economy, the advance in' these fields dur¬
ing 1G62 will probably be more modest than it was dur¬
ing the rapid.growth of 1955-60. - ; : •
•'
' "
v

."••• Since

Atlanta

probable
through¬

San Francisco ;
St. Louis*"

Washington, D.

'Lookingbeyond 1962, however, developing growth
assure renewed, substantial advances. These in.-

factors

(1) the marked year-to-year growth in the num¬
arrivals; (2) a small, but gradually growing
trend toward retirement-in-Hawaii; and (3) new tech¬
clude

ber of visitor

nical developments
ducts

Hawaiian

(particularly in the use of by-pro¬
industries

create

subsidiary in¬

dustries).
For

banks, brokers and financial institutions

From

long-range point of view, a

factor in Hawaii's future is

velopments

now

powerful growth

indicated in the dvnamic de¬

^taking, place

throughout \the Pacific
countries differ mark¬
technical advancement,

Hemisphere. Though Pacific area
edly in character and in levels of

Volume

all

them

Number 6126

The Commercial and Financial Chronicle

in varying degree, (1) increasing and
agricultural production; v(2)
undertaking

are,

diversifying
for

programs

195-

Southern Railway has met its challenges on; all fronts
in 1961. It will continue to meet them that it may better
serve a growing South, and a-country that needs strong

industrial

development; (3) increasingly
participating in world trade; and (4) experiencing ex>
ceptionally rapid growth in the levels of travel and tour¬
ism. As the only Central Pacific
economy—Hawaii seems
certain to benefit from this growth.
;
The present moderation; in the growth rate in
thus appears to be only a breathing
,

railroads.

MICHAEL? DAROFF

Vice

Sales

pany.
are

for

expected

time

since

banks,- include- (L)

dividend.

past paid,
'' /'

•

newed

•,4, and

two

sales

pro-

;

away

figure on the; price* tag.

In 1961 the

;

clearly headed for

new

;//,,* /;

DAYTON, JR.

Philadelphia-Baltimore Stock Exchange

crossed

good year, but no boom. In
assessing the key. factors in the busi-

national

boundaries
'

•

for

con¬

conclude

agreement

the

interchange
of
associate
'memberships
with
the
Montreal
Stock Exchange.
The oldest Stock
Exchange in North America, dating
back to 1790, thereby joined, forces

ally accelerate, that' accumulation of business inventories
will continue, and that defense spending will be up. In

with the Dominion of Canada's old¬

anticipate continued upward trends in types
of expenditures which show little cyclical fluctuation—
namely, consumer spending on soft goods and: services,
and the outlays of state and municipal" governments.. On
the other hand, residential' construction will probably
show only a minor gain, and our surplus of exports over
imports is likely to diminish.
/
V ' ■

est:

addition,

Our

•

solidated the gains accruing from its expansion through¬
out the Eastern United States in the
1950's, and also

economy
highs in

that the pace of

Exchange, incorporated in 1874.
development will prove of
particular value to the Exchange,
because of the further broadening of
its markets.
Our 200 regular mem-

This

ber

firms

and.

are

located

firms

associate

every

member

state

in"

" -t ,«'*

dustry* oyerall; :shoWed a decrease; '-

Reserve System has- air
much longer after the be¬

President, Philadelphia-Baltimore Stock Exchange

•

ease, as a reaction to all

■''

GREY

outlook, we anticipate that con¬
spending, on durable goods will gain in strength,
business capital expenditures will gradu¬

sumer

0 country in unit" and/dollar volume,
0 I look for a splendid selling year
0. ahead for quality merchandise in all

ease

rates, however, will help bank earnings.

ness

Federal

mands. The prospect of some rise in the level of interest

re-

1962—-a

rather than the

The

policy of

may be forced
to- adopt a\ less aggressive
policy of bank credit expansion in 1962.
;
}
Specifically/' at some time during 1962 the banking
system will probably find itself in the position of having
to liquidate security
holdings in order to meet loan de-

against the dollar;
extent and, timing, of
from the present policy

•

clothing ' companies,

i '« v /
Further indication of the growing strength of brands,
is the retail experience in the past year. Stores that

the

■A: Generally,; the prospective?improvement in business
conditions will tend to. generate more- job opportunities

and

depth, promoted* them and provided ■ the
expects, did well.
-;,,
•'
all, we expeet 1962. to be- a tremendous- clothing ^manufacturing: year with* the- pent-up demand' for- men's
clothing being felt at the retail level early in the year
and continuing strongly■ through both seasons

a. consumer

prevent

any
•

further inflation of

our

JI-x'-'-io'•.JT/uartiii>-IL.

costs-, and prices will
i-i

.._

Florida.

from v

States

From

the

of active member firms

has

increased from 104 to

143, and

asso-

v: ; r
{'?
ciate memberships created in 1955 in
/connection with bur agreement" with the-Pittsburgh Stock
Exchange now number 101, including 30 member firms /
of the* Montreal Stock Exchange.
':
{
/
; * ,
During the year 156,000,000 additional shares of 45.
-corporations were admitted to d^lings on the Philadel-f

the achievement of sufficient growth in
employment to absorb our expanding labor force. More¬
over,

Grey Dayton, Jr.

United

1949

number

produceVa further reduction in the unemployment
To a. large extent,; .however, continued- insistence
.wage- increases; in, excess" of gains; in; productivity

could

Eastern

Maine

rate.

stocked them in

services

the

/' Barring major strikes, the
Frank R. Denton

authorities

balance of in-

of the above; developments.

program of'-'diversification : and acquisitions; resulted in. the increased
and strengthening of manager
ment in the past year.
; {■;
{
Speaking ; as one of' the leading
men's, clothing manufacturers of the

rates.

ginning of a business upswing than heretofore: Particuvlarly because' of the balance of payments problem,, the

ex¬

credit

generates

interest

ready, followed

pressure*

(6)

changes

H. Daroff & Sons, " Inc. and
'The House of W6rsted-Tex Inc., both produce branded,
quality products and, because of this, they were able to
maintain their sales volume the past year while the in'r
•

5,. of monetary

fields,
and' particularly
in men's
clothing. Our optimism is based on what We term the
consumer's, increased' "concern for/the quality,: of mer^
chandise

our

larger proportion of their in¬

in
f

reducing unemploydegree to which the

the

J adverse trend in

•

ternationab payments

products, and. 10 licensees which,
the .• Botany .? label,
market
{ clothing for: the entire family. The

Michael Daroff

(5)

ment;

;
•

;

capital;

gress. made

under ;

for

non-inflationary limits; (4) the

to a diversified group of ten
companies .manufacturing a, variety

;

demand

spend

substantial increase in the money supply next year,
rising credit demands would then produce a stiffening

(3> the outcome of efkeep wage increases within

total

1 -

■

consumers

it seems probable that total credit demands will
begin to outstrip the supply of savings. In the absence

move¬

large volume of

come,

;

activity; * (2) the resulting

forts to

•grown

;

pansion

[.•/

^ V

and

;/iFrom its textile losses in the early
1950's,;,Botany. Industries today has

the extent of further upward.

ment in general-business

significant year for our com¬
year ending June^ 1962,
$100 million and for the first H,
year

very

exceed

1949,v the company in the

;■■.

Pittsburgh, Pennsylvania

the reporting

'-7.

course of 1962, the principal developments
that will influence the prevailing climate for commercial

starts. State and

During the

••

President, Botany Industries, Inc. "-■

DENTON.

bonds next year.
Finally, the Federal Government will
need to raise funds to the extent of
continuing budget

Chairman; Mellon National'Bank & Trust Co.,

;7 V";

The year 1961 was

accompany any further gain in housing
local governments will be
marketing a

deficits.

FRANK R.

M.\

.'MM MM;

•

Hawaii
spell for consolida¬
ting gains and developing plans for further advances- v/v

(307)

f/phia-Baltimore
HARRY A. DeBUTTS

System'

Southern Railway

President,

-was-.to be

; v

By ,'the

end

deficit financing by the government. We- need
improve, not -diminish, our ability to export. Our
rising: payments deficit- has- already made us-vulnerable
to another run?against the dollar.,/;■,>

over

we were
,

•

Seventeen

memberships

•

were,

transferred

on Dec. 20 at $10,000? was-the highest
in business activity expected during1 1962
price since March, 1931.
;
{ ? '
will generate widespread increases in; private credit de¬
The>' growth - of P-BSE business carries,. with it, the/
mands,^ which will be ^augmented by governinent 'heed
for funds.-: As? business inventories and; capital- expendi- / opportunity as well as the., responsibility of. supplying
.tur.es? mount? am increased demand -for business loans
'the most modern service/The n?e of thef Stock. Clearing
ris naost. likelyrto occur.{ In,additipn, a revival in demand
Corporation . for.. .the, central clearqncev of? transactions
forconsumer credit may be expected* to accompany th;e
both? on the. Exchange and over-the-counter- is now well
!present uptrend in purchases of autos and5 household
'4/;r/y; liyl':\ \0'b
' ■ Continued'on page 40
equipment. A larger- demand i for mortgage 'credit will
•

•

of November* busi¬

and

nessmen

out

the* South

of4

I had givem our region-another annual
i vote; of; confidence
by beginning- or
..announcing / plans
for
investments
of more than $350 million in 306

—;——

•

enterprises.

These

included

hew

V;/'/y,

J'#/'?-'-M/

•

plants, major additions t0- existing'
plants,..1 and new* large distribution
center warehouses, and they held the
promise of more than 13,000 new job.
opportunities

Southern

fllllillil:: liliSis

Harry A. DeButts

Railway

territory.
Principal7 gains were; dm .
^
. .
plant expansion; and in such basic - industries..

power

■

chemicals, textiles and metalworking., But.-therewas;
growth in other manufacturing.; and service /industries *. ■ *
?
and the prospect; was for total investment exceeding $400
r
// i
million by-the end of the year. *
» •.'
'
Each of the categories in which Southern records the
industrial progress- of the territory we serve reveals in { <0
its own way the ..underlying strength of the South's

//:.0:00■> ■■ 0100

economy.,rM
/

In the

-11

117

months

totally

new

advantages—as great

industri-s recorded in the first

there

1961

evidence; that

the

South's

■' v;r,

fyyy

/;///

in. the past two decades of
! rapid development—still-have a strong attraction for
.'.industrial planners.
Expansions of 123 existing industries show that when
industry does choose the South it frequently is only; a
;

now as

•

start—the
success

chapter,

were,

a-,

continuing

Stated Municipal

story.

Location
•

first
of

warehouse

large

distribution

our territory
correctly pictures the South as an ex¬
panding market for all kinds of products and services.
The job opportunities that industrial development ere-

Revenue Bonds

are

serve

individual

remind
as

able young people that there
industrial dreams to be realized

our

well

Municipal Department

in the South of

Southern
South

today and tomorrow.
recognizes in the industrial

threefold

growth

the

challenge:

qALLEN

_#„Xo strengthen and diversify its services with the latest
equipment and techniques of operation.
To translate these improvements into flexible trans¬

portation that will suit
and his pocketbook.
To

work

for the

shipper's
of

removal

plant

regulatory

V/:

Municipal TWX

Telephone
HAnover 2-2600

barriers that

all railroads

provide.

Established 1922

operation—

from offering services shippers and
the public can use to advantage and from passing on
transportation cost savings that modern railroading can

keep
-

and

centers;

ates

during the

.year,/and a-sale

The/ rise

--*,£0;

v-M -

35%

'1949,• when

chronie

upturn in the-economy

inherent.in excessive wage increases-and

are

'Optimists about* the future of- the Sbuth had their faith
■justified in Classic fashion iri 1961. After a" slow .start,
less, than $50 million; was- committed for new projects
in the first six months of 1961, industrial growth along
/Southern. Railway J-lines began • to
///V"
show; 'renewed* vigor, 'and.'',, added5
~
•'
weight' to the' forecasts that there

|generally,;

Stock Exchange.Trading volume in-,,
I960,' totaling 15,600.000 shares. Since,
the first regional exchange to cross
'statfe boundaries to- merge1* with the. Baltimore
Stock.
Exchange,*volume has increased'280.%..////',/y;.:'

•creased

flation that

-V;.-

30 Broad

Street, New York 4, N. Y.

NY 1-573

Continued from page 39
established.

;/•

studying

are

•

announced

other

may

that

;

1, 1961, as well as
be improved with the help of
Jan.

mechanization.

JOHN
President,

DENTON

ana

that

overcapacity resulting in
margins
rnignt put
chemical companies on the
If the early 1961 trend had \

many

skids.

continued,
In

projection

their

have been

price

softness

declining

accurate

might

start

poor

that

mated

1961.the

now

esti¬

1961, chalk up a
1960, which represents
rebound.
"billion

;7.5%

industry

net

profit,

return,

■;'lIII?#"'- RUSSELL

approxi¬

increased
We in

•

growth

John C. Denton

1962.

the industry are the first to confess that

capacity in

basic and hardline chemicals (in Spen¬
cer's particular case, nitrogen and
polyethylene) will
continue to be a complex problem.
Many firms during
the past year made significant
marketing and manufac¬
some

turing adjustments to firm up and even improve the
•profit position in trouble areas.
In our own case at
Spencer a combination of instituting new budgeting and
expense

cepts
deal

controls, injecting

and
with

opening

flexible marketing con¬
distribution channels helped to

new

declining margins.

Through extensive research and development, Spencer
has

been

new

able

launch

several

products in fields related to

promising

our

will

specialized

present lines. These

to offer improved profit and growth potential.
example, we have recently introduced high analysis
fertilizers, polymer emulsions for the floor wax,
paper and textile industries and new polyethylene resins

appear

1961,
year,

for paper

coating. After three years of field testing, an
exceptional product called "Carbyne," a patented her¬
bicide to control wild oats, enjoys a unique
marketing
position for use in the Northwest from Minnesota to
Washington and in the prairie provinces of Canada. Like
new

continue to develop
products which promise increased sales and income

each year.

dients

for

Industrial Chemicals Division, ingre¬
blasting materials continue to increase in
our

sales volume, and in Plastics, we expect
polypropylene
to move ahead in 1962.
In our areas of most recent
,

diversification, adhesives and flexible packaging,
confident of gains.

feel

other

//-•/'

much

that

than

production
add

would

1962

record

Microwaves

and

Russell De Young

fog

million

original

industry. All of our planning is aimed
at fulfilling the needs of the automotive-industry, and
our
other customers, more fully and efficiently than
ever
before. •
"
'
; ;
materials, such

and ears along the defense
outposts. They launch, direct and, when necessary, de¬

They act as the nation's eyes

stroy missiles and space probes. They provide an esoteric
measuring stick in thermonuclear research, and, at the

economies of production
new

techniques will help

of the scale; harry family chit-chat by long
*
.i,
'

other, end

telephone.

distance

■

heat and are. used

Microwaves also can create intense

in; commercial

cooking

high-speed

for

/in wide

use."

through

and

marketing

molecular changes

recent studies indicate they can cause
in

ma¬

possibly stimulating the body's de¬

blood chemistry,

Cancer Research Hospital of the

fenses. At the Argonne

technological

University of Chicago a $450,000 microwave

distribution

used

erator

to do this job.-

has

device

beam

| sion.

'■

• ■

Another

the

cells. Micro¬

and increased circula¬
special frequency

energy/ is

satellite in space to operate elec-

equipment, and thereby eliminate the need for

/ batteries."

Echo 1, the aluminum balloon

reflecting '• microwave

...

•

still; spinning across the

coast-to-coast.

sky,

Even

longer microwave transmission may be in

methods.-that

/using
tastic;

of sky

LARGE

encircle the earth,

or a

string

satellites acting as relay stations for instant global
' •. ///:■/////\!v

Already,30%. of long distance telephone calls echo from

/microwave repeaters spaced just in
BLOCKS

prospect,

been/called fan¬

reflector belt of fine wires such as was fired not

communication/ //
•>.

messages,

could have

once

Z long ago in an attempt to

the

development," according to the Institute

the ground to

/ tronlc

new issues

huge ■amounts

microwave

form

Engineers. This would permit power being sent

of Radio

pencil-thin

cancer

diathermy within

/a ///;/:/' /'//
the transmission

/""threshold of

unlisted securities

regulate

field,

power* in

from

destroys

which

linear accel¬
The 25-ton

the Federal Communications Commis-

bands set aside by

Primary Markets Maintained In

in humans.

cancer

controls

precise

microwave

tion

treat

also provide deep-heating

waves

INVITED

and

Advanced medical research employs microwaves,

micro-wave

INQUIRIES

Home

ovens-.

kitchen microwave rangesr are/aVailable .though 'not yet

the stereo and other types of

terials,

and

coast to

one

synthetic rubber, improved fabrics and other basic

improvements,

They carry , radio and television programs
the other over mountain and desert.

snow.

from

rubber

wartime de¬

first used in the great

were

velopment of radar. Today they turn valves, push buttons
and throw switches across a thousand miles, despite rain,

Long-range, the outlook is for continuing growth in
automotive' transportatidn for many years to come; in
turn, this means additional growth opportunities for the
tire

hot-

important factor in both, whether in reporting a
on a railroad car or signaling to a satellite.

sell

year/

of science
microwaves are

box

two-million more
replacement tires than; in the year just closing. Al¬
together, this would, mean 73.5 million replacement tire
all-time

processing of data.

business in the modern world, and

and

„

units—an

in the future as

well known

The

today.

Communication and control are the two keys

will

puters and the central

1961.
This
additional five

up
to an
equipment tires next year.
Our industry also-expects

will

Microwaves

entire microwave industry is less
than 20 years old, yet it has already reached an annual
sales level of $2 billion. As factories and businesses turn
more and more to automatic controls and devices, reli¬
ance on microwaves will increase. Microwaves will grow
hand-in-hand with communications, automation, com¬

for automo¬

year

companies. Amphenol-Borg Electronics

radio

ability.

{,coal for fueling public and industrial electrical generat¬

Ii;..:..

activities.

indicate
better

Matthew L. Devine

potential for

ample has been dealing with

optimistic about the long-range out¬

Corp., for ex¬
communications since 1934 and
makes microwave equipmentformissiles, aircraftandcom¬
puters as well as some 30,000 different connecting de¬
vices and related components for defense, industrial con¬
trol and the telephone and telegraph industries.
'
many

look.

Forecasts

interception.:

and

tremendous

holds

This

Rubber Company

areas

communications

/ the

interference

most, if not all, of 1962. We also are

New

Southwest, the coal industry has
to growth and apparent
long-term profit¬
With the rising cost of natural gas compared
rather steady price of
coal, the increased use of

/'Thus,1 .microwaves are the answer
to the ever-increasing national need
for more communications channels.

record-breaking tire sales year, with pro¬

increases

ordinary radio
much less space

than

highway,
chan¬
nels. They can also be focused very
precisely, thereby eliminating ordi¬
nary
communications problems
of

production especially
during the first half.
However, the upswing now ap¬
pears to be in full stride, and Good¬
year forecasts a substantially higher
level
of
business
activity
during

In the Midwest and

the

and take

they permit thousands of new

This fact
go—UP IN 1962!

reawakened

shorter

compared with the previous
reflecting the reduced rates of

bile

companies,

waves

automobile

most active chemical

times

much

Generally, sales and earnings for
most of the industry were lower in

mixed

diversified

our

For

portionate
over¬

incredible
hundred
billion
second. Because -they., are

keeping with the optimistic view of most economists
regarding the general economy, we believe that 1962
will be much better than 1961. All indications are that

the same in 1961, the chem¬
industry is generally optimistic

about improved sales, earnings and

high

that vibrate with a frequency as

mately
ical

Goodyear Tire

President, The

representing

will

going to have to find other roosts. A large percentage
distance communications will eventually be taken
by
the magic of microwave
which doesn't need wires.
Microwaves are short radio waves

1957.

DeYOUNG

over

Sparked by high government, industry and consumer
spending, with predicted gains of 8% in Gross National
Product and near- 12% in industrial production, chemi¬
cals should have 'a sound year in 1962.
Chemical pro¬
duction is on the move — and will continue to swing

a pretty good
though the 1960 $2-

Even

Electronics Corp.

crows

of long

However, because of expenses incident to expansion and
new
plant start-ups,-our earnings per -share probably
will not greatly exceed last year's figures of $2.31. •

equipment was our highest since
indicates where the industry expects to

L. DEVINE

are

will reach approximately $108 million, as com¬

and

industry will, for 7
4% sales gain over

1962

that perch imperiously on the thousands of
miles of telephone lines strung across the face of America
The

higher, coupled with a strong business removery.
Over
recent years the chemical industry has outperformed the
industrial average and we hope that this trend will con¬
tinue in 1962. Last year spending on new chemical plants

one.

actuality, the chemical industry
whole recovered nicely after a

Thursday, January 18,

President, Amphenol-Borg

pared to $79 million sales in the year ended June, 1961.

A year ago, many analysts gazed into hazy crystal balls
and concluded that profitability was out of the nation's
-fourth largest industry . . . chemicals. These pessimists
surmised

expanding subsidiary, The Pittsburgh & Midway Coal
Mining Co., with substantial long-term contracts, will
play a prominent part in this coal resurgence. •
V V:
In 1962, we plan to orient our new position expanded
by acquisition during the past year. We are estimating
that sales from products and facilities now active in the
company

Spencer Chemical Company //

;

MATTHEW

Our wholly-owned and

ing plants has been significant.

and means of broad¬

ways

ening this service,
services

Chronicle

The Commercial and Financial

(308)

STOCKS "v*
across

sight of each other

the countryside, and this figure

the next five years.

should double in

Railroacs. pipelines, uti'itics, missile

makers, turnpike authorities, truck lines, orange grow¬
ers

and

paper

..from

J. F. Reilly & Co., Inc.

men-

BROADWAY

casually call

DIgby 4-4970

•

instructions

into

the

air

pieces of pipe the microwave

"plumbing."

' ■/

•

The Federal Communications Commission recently

channels

Teletype: NY 1-5440

al¬

located

NEW YORK 4, N. Y.
'

their

shoot

improbably-shaped

many

private

users,

number

producers are among a growing host of

which

industries

new
a

microwave

move

microwave

of traffic

increase the

microwave stations.

The Illinois Tollway

have

frequency

expected to vastly
and

many

;

other state expressways

communications systems to

keep track

conditions, get assistance for disabled cars and

keep patrolling police in touch with headquarters/Data

Volume

Number

195

6126

The Commercial and Financial Chronicle

Illinois toll receipts is fed daily from each toll plaza
the

over

microwave

quarters;/
Public

network

utilities

computer

•/•' •**/:'■

head¬

says

one-half

circuits

leased

about

cost

telephone

one-third

lines.

The

from
w

the

,<;s.
'

•

recession

recent
*
•

well

and

minute simultaneously; in both

/<;t

computer data.

mile

microwave'

expected

system,

and

a $4

programs

the

data

railroad.: -v;*/

The

day-to-day orders of

and

X//X", ■

•-/.

-• •

Production

governments currently*-the -biggest microwave

Customer, buying roughly .80%? of the $2 billion equipsold

"ment

annually. Private industry is, however,-

pected to take

large share of future microwave produc-/

'tion. :
An

Division.

■

•

■

•

industry is found in Amphenol-Borg's FXR

FXR

tation

for

range

from

the

began

small machine

example of the rapid growth of companies in the

microwave

ture

ex¬

wartime

early

shop and quickly built

precision
huge,

components.

days

enviable

Today,

its

repu¬

products

space-probing transmitters to minia¬

gold-plated units for thermonuclear research.

and

Sales
may

its

double

market

the

five

approximately

five times.

double

of increased demand.

cause

Capital expenditures should
high level in this industry at around $1.6
billion.-Research and development costs also will remain
fairly high as companies seek to maintain their
position
in the industry.
Although these facts may make for ex¬
cess capacity, such
excess plant is a characteristic of this
industry, which builds facilities in anticipation of rising
remain

demand.

for

Gross

GEORGE

that

enter the new

1962.

Increased' defense

Industrial

but it

1961

are

than "the

growing at a
United States

estimated

sales

1960

credit

more than adequate facilities and aggressive
marketing efforts, the chemical industry is in an excel¬

position

to extend recent gains through 1962. For
1962, chemical sales are expected to reach a
level of around $31 billion, for approximately a
7%
gain. Output should increase even more, by about 8-10%,
year

maintain
over

high
prolonged

increase

and

realistic
Also

depreciation

allow¬

contributing to increased
capital expenditures is the continu¬
George S. Dively

ous

pressure

for

earlier

economic

replacement of production equipment
help combat the relentless foreign competition arising
;

lower

rates abroad.

wage

XX*,

Printing, Publishing and Electronics
The

$12 billion advertising industry

resumed its

appears

off for almost

year.

This trend, which has been about
Continued

page

Cruttenden & Co.

Pursuing
; ■';/X

-V V;

J./;

NEW

•1

MEMBERS : ;•

YORK

"AMERICAN

STOCK

and J. P.

(Rick) Guerin, Jr., have
joined
Wheeler
&
Cruttenden,
Inc., 618 South Spring St.,
as

•

EXCHANGE

STOCK

Dealers

LOS ANGELES, Calif.—Rex Reno

Co.

members

EXCHANGE

Stock

the

Pacific

Unlisted

Coast

Exchange and the Midwest

Stock

Exchange.

The

Mr.

120

formerly

Public Utilities—Industrials

with

★

operations in
of

the

expansion

in underwriting,
acquisitions and private
placements.

Private Wires

Hartford

Buffalo

Houston

Philadelphia

Chicago

Lima, O.

Pittsburgh

Los Angeles

St. Louis

Washington

Dallas

San Antonio

Wheeling

Detroit

★

company

Before
Boston

★

move

mergers,

Atlanta

★

Vice-Presidents in charge of retail

WOrth 4-4300

was

Mitchum, Jones & Templeton; Mr.
Guerin was with Dempsey-Tegeler
&
Co., Inc. They will serve as

BROADWAY, NEW YORK 5, N. Y.

Teletype NY 1-749-51

Reno

Securities

announce¬

ment was made by Walter Crut¬
tenden, Jr., President.

Fayetteville, N. C.

Minneapolis

New Orleans

San Francisco

South Bend

founding

Cruttenden in
den

was

Podesta

Wheeler

W" V. FRANKEL &

CO.

INCORPORATED

1960, Mr. Crutten¬

partner in Cruttenden,
Co. in

Youngstown

Chicago.

BROADWAY

NEW

WHitehall 3-6633

YORK

6, N. Y.

Teletype NY 1- 4040; NY 1-3540

Hardy & Co. in
New Quarters
Hardy & Co., members of the New

Established 1928

York

Stock

announced

have

for

years

offered

special

service

York

reports

Broad

City. The firm

Jan.

removal

main offices to 25

Retail

Organizations, Investment Trusts, and Institutions, furnishing
them with information

Exchange,
the

was

ORIGINATORS

their

St., New
formerly

UNDERWRITERS

.XlXv

DISTRIBUTORS

located at 30 Broad St.

supplemented by pertinent analytical

descriptive of—•

Heller & Meyer
To Admit to Firm,

•

Interesting growth securities

•

Utility and Industrial securities

•

Oil and Gas stocks

EAST

Securities Business

are

ORANGE,

NEW JERSEY MUNICIPAL

and

AUTHORffliEVENUE

N. J.—Heller &

Meyer, 520 Main St., members of
the New York Stock
Exchange, on
Feb. 1 will admit Sidney E. Har¬
ris to partnership.

Your inquiries in these divisions of the Investment

OfRSATIONS

•.

respectfully solicited.

Reuben Rose to

p. f. fox &

CO., inc.

Elect V.-Ps.
-

120

•

•;'

•»

Boland, Baffin,

•
a

BROADWAY, NEW YORK 5, N. Y.
Leonard
on

Teletypes

Telephone

Jan.

C.
25

Gross
will

and

Gordon & Sautter

Jay Saluc

become

Established

Vice-

1920

•

REctor 2-7760

1-944

1-945

d/i

Presidents .of .Reuben Rose & Co.,
Inc., 115 Broadway, New York
City, members of the New York
Stock

Exchange..

;

X t

64 WALL STREET, NEW YORK
Bell

have

steady long term growth trend after leveling

V.-Ps. of Wheeler

will

this

plant and equipment
by provisions for

new

ances.

With

the

likely that further

incentive

$29 billion,
$27.7 billion.

■

business

investments,

from

.■//'//y; • ■■/

period.' The

pricing coupled with increased costs and higher research
expenses.

provide

capital equipment expenditures could
be materially strengthened
by pas¬
sage of the highly desirable proposed
legislation allowing a special
tax

marketing

most

required

level

Earnings of the chemical companies in 1961, however,
probably did not record a similar performance as the
gains in sales did not offset the pressure of competitive
and

seems

should

increases in capital expenditures

the past two decades, will con¬
1962.
One of the basic reasons for

higher

expenditures

continuing positive influence extend-,
ing into the second half of the year

outstanding research
There are numerous examples
of chemical products being sold today that did not even
exist five to 10 years ago, such as many of the newer
plastics.
/:/ • '• / •■../; ;
:? •; ?
/ ;;/ //5%

favorable general, business

year- a

atmosphere prevails with new highs expected in
produc¬
tion, employment and profits during the first half of

over

il Chemical sales for

General Business

job done by the industry.

about

DIVELY

Chairman, Harris-Intertype Corporation

the

increase.

which has been

...

Chemical prices should be level to
slightly higher be¬

tinue to prosper in
this past performance has been the

lent

years.

point to point communication equipment alone

multiply four

goods,

basis

10%

in the rest of

defense

1962.

: Index

120,

average

industrial average

v'/

The microwave field should lead the whole electronics

group,

should

chemical industry

The
.

XV/:

■-"" y--.

while the Federal Re¬

Board

serve,

rate

XXX'

: a

sound

.economy

$560 billion,

P. M. Dinkins

largest,

running

participating.

National Product should advance by
8%
in 1962 to a figure of about

privately-ownedin the United States, to transmit -the
management

recent

durable

consumer

provide

healthy

million, 637-

other

should

*-j:';vT*/ Xv'.rV

[/The5 Southern Railway .is building

;

expansion should
throughout 1962 with all

spending,
inventory
accumulation,
and plant and equipment
spending,
together with increased consumer,
spending/ especially on automobiles

directions,

facsimile reproductions, television

speediest on
the. rate of ad¬

sectors of the economy
Estimated
increases

coast-to-coast microwave system designed to carry a mil¬

lion words

the economy.

business

continue

inventory accumulation takes place,

the

slowed

has

months,

Transconti¬

one

Although

vance

multi-million dollar

was

record.

Pipeline Corp., which has a microwave sys¬
its 1,800-mile Houston-New York pipeline,
calculates it saves money using microwave instead,, of
telephone on anything over three channels. '•'•'•/•'.•
is constructing

promises to be the best business year
in this country's history, not only for the chemical in¬
dustry, but for overall, business as well.
The rebound

astride

h Western Union

/;//-•.

1962

year

nental Gas

tem

DINKINS

■

were

microwave

that

President, General Aniline & Film Corporation ;

early users of microwaves, at-,
tracted by thein ieconomy and extreme reliability in all
weather. Columbia Gas System, Inc., for. example, uses
microwave communications to order dispatchers throughput its, big complex pipeline network to increase or de¬
crease gas flow in accordance with varying user demand.
It

(309)

5, N. Y.

System Teletype—NY

WHITEHALL 3-1570
1-S3S

fifth in man-.
'v.:'"'. *
•'•'
one of the most important guides to an
area's well-being is to be found in the growth of the
utility systems serving the area. In the case of Arkansas,
Louisiana, and Mississippi, the electrical requirements
of four million people residing in an 80,000 square-mile
area
are provided by Middle South
System companies.
In 1961 these companies spent $68.4 million expanding
and increasing service to commercial, industrial, and
ganese ore. z
Of course,

growth rate of the national economy since.
World War II, is a favorable factor in the growth of
Harris-Intertype because a high proportion of the income
of customers for printing, publishing and broadcasting
the

advertising.

equipment is derived from

also about $12 billion in an¬

The electronics industry,

growing three or four times the rate of the
national economy and this trend is expected to continue.
The forces behind this growth are coming not only from

nual sales, is

Chairman, General; Motors ■ Corporation
'
-r

•

* -

of being an excellent
.'7

•

and expansion of the past
through 1962. Gross National

The momentum ot recovery

nine months should

carry

Product, currently at an annual rate

v }

$540 billion, may reach or exceed

now

come,

1962. Personal inrecord annual rate

billion

$560

W;
■

$425 billion, should achieve furether highs.
'
of

WMmmm

Reports of business plans to mod¬
stations, with a combined capacity of 595,000 kilowatts.
ernizeplant,
expand - production
The Helena Station constructed by Arkansas Power & '
capacity and
lower, costs provide ;
Light Company at a cost of about $45'million, has the
'further, evidence that the economy/
world's largest single-shaft turbine generator.
The $27
will continue to move forward ac¬
million Little Gypsy Station, which was constructed by
tively in the year ahead. Government
Louisiana Power & Light Company, is the world's first /expenditures for both defense, and./
station capable of completely automatic operation,
non-defense
purposes
haveJin-;
We believe these two new plants demonstrate"our
.creased.
Unemployment, on a seafaith that the Middle • South's dynamic growth * of,I the ,
sonaliy >' adjusted
basis// is
now "
past decade will continue in 1962 and for a number of
declining, and total employment is// Frederic G. Donner
years to come.
,
: at a record level. With; demand for

advances,
expanded
education,
leisure time and
competitive mass merchandising economy. ^
Harris-Intertype

continues favorable.

growth trends in the company's two principal

The strong

Thursday, January. 18, 1962

$62,4 million. ■ .//7> 7' '
;
.
•
Most significant additions to the Middle South System
in 1961 were the Helena and Little Gypsy generating

broader interest in world affairs, more

The outlook for Harris-Intertype

FREDERIC G. DONNER

;

The year 1962 gives every promise
one for business.
'
/ 7'/ .■•■/.'■ 7.7 •

eted at

technological

rapid

;

construction is budg¬

residential customers. In 1962 new

enlarged defense expenditures, but in the commercial
broadcasting and other communications equipment areas,
stimulation is also coming from such factors as more

the highly

;

and petroleum; fourth in salt; and

gas,

Continued jrom page
twice

Chronicle

The Commercial and Financial

(310)

fields, printing equipment and electronic products, con¬
tinue to provide expanding markets. Increasing emphasis
on

product development has resulted in a number of new
improved products. Included are such items as im¬

and

proved sheet-fed offset presses, a new high speed auto¬
matic typesetter, a broader line of roll-fed offset printing

''Wrap-Around" rotary letterpress,

presses, a new process
a

new

"Harris Electrostatic"

method of printing,

new

The

50,000-watt short-wave transmitter, a variety of micro*
wave test instruments and a mobile microwave labora¬
tory for testing check-out and guidance systems at

nation

providing

now

complete customer services. The company's heavy re¬
search and development program is expected to continue

the third quarter,

South

when the 90

^aBsence

panded plants are in production will
approximate 11,190 with an annual

into

may

significant industrial ex¬

was

will

and

1962.

rate in
,

pansion announcement to come dur¬
ing the last six months was made
by
the
National
Aeronautics and
Space Administration. In September

unit

lion
Doherty

benefited

during

dominated by

value

our

local

economy

from

one

•

selection

Houston

location

the

In addition to

the

into production, about

first

rank

bauxite; second

the

barite,

resources.

domestic

importance

greater

over

bentonite; sulphur,

countries overseas must

their facilities: for the

production'of

of their

meet the needs

trucks to

expanding

In 1962 it is probable that production outside

this country.

For the Free W.Qrld_as.a wJhole, 1961 sales of passenger
cars

and trucks reached

total of

over

13.5 million units.

one

as! this

un¬

business-: life of
tinued

future

community which'will insure

our

progress

keeping the splendid

con¬

gains

achieved in the past and expected to continue during the

natural

has the - most" comprehensive lines • qf

high quality vehicles

ever

offered.

With continued low

characteristically , reflecting the' intensely Com¬
petitive conditions of the automobile market, Tt has

prices

every reason-

this

to foresee further improvement in its sales

country and new opportunities

its markers

overseas.

Continued

' /

coming year.

exceed! 16

high in the history of the industry.

new

■'General Motors

of scientific and technically
group such

World sales in 196# are, expected to

million units—a

Form E. J.

Samp Associates

MILWAUKEE, Wis. — Edward J.
Samp & Associates, Inc. has been
formed with offices at 3882

UNDERWRITERS

DISTRIBUTORS

•

DEALERS

Teutonia

securities ' business.

Officers

are

STOCKS-BONDS

President; David
Goodman, Vice-President; and
F..* Goldmann, • Secretary-,:

Peter

distribution

Treasurer....

Upstate
New

York

ROCHESTER'S

OLDEST

INVESTMENT

ESTABLISHED

«■'/; v'.

lOO
r

POWERS

LOcust

•

business

B AT A V I A

engage

from

939 Arthur

RO 180
OLEAN

in New York

been

formed

securities;?
.

at 'i

CHARLES KING & CO.
Members:

Stodh

Toronto

Fulton

offices

has'
at

engage

250

securiies business. David Z. Rubin
is

principal.

Canadian

....

Stock
Stock

•/,\y;

WHitehall

PRIVATE

WITH

Exctange

Teletype

4-8980

Royal Bank Bldg.,
DIRECT

Exchange

New York 6, N. Y.

•

Telephone:

Variable;

Corporation

Avenue,

American

Exchange

Montreal Stock Exchange

Programming

with

<**-■[

States funds.

61 Broadway

Programming

traded

Corp.

Godfrey Road.

—

in United

''V/£?•«

headquarters

HEMPSTEAD, N. Y..

all Canadian Exchanges at

MIAMI BEACH, Fla.—The Rich¬
ard Bruce Corporation has been

Variable

ROCHESTER, NEW YORK

BINGHAMTON.

■'

regular commission rates

FIRM

Exchange

2-5200 • BELL TELETYPE

SYRACUSE*

BLDG.

vvasr,

Form Richard Bruce

1903

Members New fork Stock

Samp

Orders executed

Department of Securities../' ;/7

formed

George D.B.Bonbtight & Co.

Mr.

for¬
merly associated with the Wisconsin

CANADIAN

North

Avenue, to engage in a;;

Edward J. Samp,

effective

although advances. have not been uni¬
consuming coun¬

the United States will equal that in

the

lohgeri term is

the

development will bring with; it

largest concentrations

trained: talent in the world. A

The three

production

and

cars

Administration Manned

doubtedly will make contributions.' to the cultural and

South's abundant natural
now

' '

total Free

even

the

The area's rapid development has, to a great extent,
about by the increasing utilization of the

states

which Gen¬

/ / / :v

outside the United States

^automobiles

continue to expand

h^en expe¬
similar period of time. Additionally, and

the fact that this

been brought

Middle

With economic conditions favorable to continued growth,

technicians.
i

•

rienced over

year.

Michoud plant,, the government is

acres

only by 1955. Nineteen sixty-

It is evident that .many

tries.

Space Flight Laboratory may represent the largest single

southern Mississippi- as a
testing site.
This will provide employment for up to
1,000 additional workers, mostly skilled engineers" and
142,000

mil¬

good year for' appliance and/other

continues strong,,

which

for

one

stimulus .to the local economy that lias ever

The plant, idle since

1954, is expected to provide employment for about 6,000

acquiring

for

economies.

and

form among the/major, producing and

will also be

Demand

has become highly integrated

National Aeronautics and Space

demand

trucks.. This would represent the industry's

durable and semi-durable goods markets in

commodities having high volume low

to one which

1962

than 7 million will be passenger cars

eral Motors competes.

periods

annual

units./

and trucks will exceed 8 million units, of which

or more

two

particularly gratifying to withess; the' rapidly

The

E. H. Dixon
selected the
big Michoud Ordnance plant in New
Orleans for the production and assembly of the multi-

workers when it gets

of 1.1 million

second best year, exceeded

R, P,

and well balanced.

this government agency

billion dollar Saturn moon-rocket.

cars

excess

With favorable business, conditions for
for

relative to the nation as a whole. This pattern
be expected to continue during the coming year.

changing character of

The most

has also been at high levels and is currently at an
•

recovery

continue

1961

and-has

adjusted arinuaL'

.'dhits.^- jSemancl-' for • .^rucfes

rate i.n excess of 7.0 million

recession

last two .months

have been at;' a' • seasonally

.deliveries

tan

available, early reports indicate that
this growth within the three-state
area was accelerated in the last six
of

the pres- :•

recovery

vigorously with the introduction

million units, they rose

Traditionally1; the economy of the Houston ^metropoli¬
area has,suffered'less
during periods' bf: national

payroll in excess of $42 million.
While actual figures are not yet

months

excessive

any; one.

While passenger car

;o£ the mew models,in the fall.., In the

the duration

upon

new passenger

//.-,;////^^-d- •/.-.////r,7:*
sales for the first mine months of
•/

1961,. including imports, were at an annual rate of 5.6

recovery following
previous recessions of the
postwar period, the rise which is
being experienced now may be ex¬
pected to continue well into the new
year.
This feeling is reinforced by
the widespread participation of most
important industry segments and the

new

5;;

During

three

the

plants and 106 ex¬

new

Based

variety of finely styled

models available.-

business

each

states

had 90

time.

ent

H. DIXON

of Arkansas, Louisiana, and
plants announced in the first
six months of 1961. In additions-plans were announced
to expand 106 existing plants in the three-state area.
New " job
opportunities
available
Middle

been the record

Houston-Gulf Coast

the peak levels of

the trend has continued to

President, Middle South Utilities, Inc.

Mississippi

the

for

18 months earlier were exceeded and

diversification.

The

whole and

An important. contributing factor has

ing retail sales.

particular.

recession low of last winter.

producing new and improved products and the aggres¬
sive
acquisition program should provide
additional

industryr-has already stimulated ris¬

to the automobile

The recession which began in mid1960 was moderate and short,: :Gen- >(
eral economic activity began to in- ,
crease sharply in February from the
in

area

decentralized operating divisions
closer customer contact and more

The company's seven

are

•

in the past has the outlook for a hew. year been
satisfactory as it appears to be now. This is true for

the

world-wide missile sites.
•

"4-wV/a V
/>: Renewed;: consumer."- ;eohfi(|entcet—of- /basic /importance;

Seldom
as

increasing,

inventories

and

these.trends should eontinue. 7

President,'t V'*

Chairman- of the- Board and

National Bank of Commerce* Houston, ^exas

rising

services

and

goods

R. P. DOHERTY
••

NY 1-142

Toronto? Oqt.,,Canada

WIRES

TORONTO

CONNECT

AND

NEW

MONTREAL

YORK

page

Volume 195

Number 6126

....

The Commercial and Financial Chronicle

Continued from page 42

Outlook for

(311)

e'"\':* '' ' ;;

The

" '

•

j Augusta,'Georgia .\; \

\ f -p v;

Continued from page 21
turned

out

business

this; is

whole.

as, a.

under

population

course,

erably from
does

the

average. But it
roughly how much

indicate

portion
for

of the increase in

planned capital
spending may be due to price in¬
creases.

does

ness

not

suggest that

Historically,, capital
have

risen

other prices during an

1962,

well

augurs

for the economy as a whole.
Reasons for Expansion
Emphasis

Why with companies operating
below their preferred levels of ca¬
pacity and the lack of inflationary
pressure

the

over

Sherman Drawdy

inflationary

period. Thus, if the capital goods
level is held down to less
than

nancial

short-run

are

end: of

community

the increase to 4%

than

price

the

Near

prices

rate

rather

income

year

■

:
-

fi-

! It

'
•

was startled by
in the maximum

The

Administration has shown

companies planning to increase in¬
vestment

funds

silver

market.

year?

I think the most

son

that

have

still

rea¬

huge

backlog of over-aged and ineffi¬
cient

facilities.

intensive

With

competition both here and abroad,
investment
in
cost-cutting
ma¬
chinery will represent
an
im¬
portant part of capital budgets.
; For the past; fourj years manu¬
facturers have devoted over % of

their

capital

outlays

modern¬

replacement, less than

% to expansion and
Last

new

facilities.

spring,

companies told us
that 70% of 1961's capital invest¬
ment would be for

only

30%

This

modernization;
plant expansion.

for
that

machinery,
building, fab¬
sorbed the major share of their
mm
budgets. -: And this has been the
means

rather

than

new

new :

persistent pattern in recent
But with

years.

existing
facilities expected to increase, the
need for new plant--construction
will

also

pressures

increase.

result, I
expect that a greater portion of
this year's capital spending will
go for expansion than has been
the

in recent years.

case

This need for additions to plant

capacity will

come on top of other
requiring substantial plant
construction outlays.
The one I

forces

should
flow

emphasize

industry's

ties

programs.

1955, R&D expenditures have
plants have been built and will be
built to manufacture products that

short time ago

merely

were

idea.

New

fects

product

development
the

than

af¬

volume

plant construction. Plant design is
also

showing the influence of
A

growing

manufactured

new

proportion

products

are

electrical or electronic; their pro¬
duction is free from objectionable

characteristics, such
smoke,

noise and

associated with manufac¬

turing traditional

products.

result, aesthetic qualities are get¬
ting more attention in new indus¬
trial plant construction. Plants are
now
lighter, brighter and pleasanter

places

work.

air-conditioned

and

Many
have

are

well

landscaped surroundings. In many
instances the net result of all these
improvements is

greater dollar

outlay per unit of plant construc¬
tion. This influence too will boost

plant construction
higher level.

outlays

90% of Capital From Internal
Sources

this time would be

new

reservations

line

plant construction

v'r Continued

on page

time during the decade.

any

industry, although I still
about it, in my opinion
the
our

further the present trend toward
package selling, including mutual

may

and

variable annuities.

mutual funds at this time.

As for

been

operating costs, computer technology has already
major factor in improving service and holding
Continued

page

thorough revamping of the Federal
tax structure, not only as related to commercial banks
their

and

competitors but also

of capital reinvestment and
tion of corporate profits.
The

are

1962 and

year

rather

rapid

changes

habits

suggested

related to stimulation

reasons

to removal of double taxa¬

*"v':

for trading
with

those that follow might see
in the economy, as regards

and

areas

montary

both

policies., The. following

in which banking might well

\v.,;-

some

Kidder, I'eabody

assume

leadership during this period: Close attention to con¬
sumer spending and saving trends with the resultant of¬
fering of appropriate banking, services, more effective
competition for

excess

-corporate

funds

and

:;vK;'v-

individual

A major name

investment

accounts as contrasted to "rainy day" time
deposits, aggressive retailing of personal trust services,
increasing reentry into the home financing field so

and

long ago abandoned to other institutions, y

-i ,r>

Barring some type of: crisis -due to*^continued lmbalance ^ payments and outflow
of. gold reserves,- 1962

■

•

:; V: -v;vy■ i'y;

in the underwriting field

y-;:':;v■,

,,
i

A
-

witness an increase in all phases of economic;, :
activity. The Southeastern region, which we serve, hasyr
not experienced >a great deal, of tbe dislocatipn seen in.Vdistressed areas in other parts of-the; country.-Despite.
occasional evidence of hostility on the part of the Ad¬
ministration, industry: continues to move, south to take
«
advantage of generally favorable conditions, including a
stable and industrious population and the absence Of the
potentially paralyzing power of mass unionism. "We ex¬
pect this region to lead the way in the broadening prosperity that will become increasingly evident in other
parts of the country throughout 1962.
A '

large,

•:f:

■

expe-

rienced; Trading

Department

*
«;•••

should

„

•.•V;; Active primary

„

wide

trading markets in
of

range

bonds,

corporate

stocks,,

common

stocks

preferred

and convertible securities

v:w

GUILFORD DUDLEY,

JR.

President, Life & Casualty Insurance Co.

the insurance industry forged
ahead to record sales despite various recessions and
readjustments and certainly should have one of its best
years in 1962 now that the business upturn is gathering
momentum. Certainly this is true of
Life & Casualty, which more than
During the

last

decade

doubled its size in the last

seven

A wire

system to 31 offices and

correspondents

coast

for broad dealer and

coast

institution¬

al coverage—at less cost

and

increasing its insurance
in force from $1 billion in 1953 to

blocks

$2 billion during 1961."

street markets

;

Some economic observers

are

experience

Long

half years,

without

handling

disturbing

large

existing

still

restrained in their optimism for the

view of continuing
profit margins, sharp
competition, and the dampening ef¬
fect
of
unused
plant capacity on
capital spending. But the reduction
in
unemployment,
the
somewhat
ahead

year

pressures

industry,

orders to steel mills all

expanding

stimulate
of

policies
In

Buenos

economy

insurance
now

Aires

and

Hong Kong

sales

and

Guilford Dudley, Jr.

encourage

the

retention

matter

experience

what
can

your

help.

trading
Call

problem
write

ahead we can expect continuation of the
long-term trends that have benefited the insurance in¬

dustry over the past decade.
increase its insurance

The average family will
protection both in terms of dollar

amounts and in number of months of guaranteed income.
More Americans in actual numbers and as a percentage
of the total population will come to own life insurance
protection. More wormen will become insured as their

importance in the home and at work is recog¬
size of Ordinary Life policies, as well
as Weekly
Premium, should continue to increase, thereby
reducing acquisition costs.
The average

may

David

in force.

the year

nized.

Paris,

London,

the

and

flow of
point to
that should

offices

Overseas

favorable outlook for the auto¬

mobile
new

economic

Another important aspect of the
outlook for

the needs of the Treas¬

rates will not prompt a move in this direction.
The most constructive step that could be taken

products.

possibility for

misguided zeal for lower interest

the

research and
Since

vast

subservient

It is hoped that

ury.

products—the result

new

development

only

Federal Reserve

will

This could come about, of
through the holding-company route. There are
still some very strong arguments in favor of specialized
selling as opposed to multiple line and at the present
our
company is steering a
middle-of-the-road course
offering Ordinary, MDO, Weekly Premium, Group and
Reinsurance but no Fire and Casualty, variable annui¬

time, it has not fallen into the error of previous
administrations in attempting to make the

consumer

ization and

as a

•

important

course,

thoroughgoing will¬
as evidenced by

free

some

multiple

Democratic

this

same

exists

As for future trends

market demands

monetary policy,

our

reestablishment of

the

;

was

ingness to rethink
recent

•

have

; by FDIC insured banks on time deinterpreted as being unfavorable to the
savings and loan associations, and especially to the pub¬
licly held units on the West Coast. However, this step
alone does nothing to remove the basic inequity in tax
structure whereby these and other quasi-banking in¬
stitutions are accorded privileges dating back to the
early experimental days of the New Deal.
; *
'

the

ence,

This

if they had not been introduced
through a group policy, would

insure themselves at all.'

impossible to predict the exact time of any
break-through in medical research on our major remain¬
ing health problems, heart and circulatory disease, and
cancer.
But significant progress in both areas or either
area, with major consequence for our mortality experi¬

permissible rate of interest payable

posits.

is healthy enough to provide them with
jobs, they
be a significant factor in the insurance outlook.

spent

the

reluctant

Looking farther ahead, many of the youngsters bornafter the war are now
approaching the age when they
will enter
theylabor market and commence families of
their own. About half again as
many young people will
be reaching working age in mid-decade as reached that
age at the beginning of the 60's. Assuming the economy

than

the

have become prospects for addi¬

women

higher education, which is now
financed on an installment
basis by leading commercial banks.

;

busi¬

goods

faster

have been

being

whole expects inflation.

been

t;*■ A price increase of this magnirtude

consumer-

goods.
A
major item among these services has

>',

—

services

and

tional life coverage who,
to insurance protection

variety of new services
available through tradi¬

banking channels.
V Commercial banks, to operate suecessfully, must continue to adapt to
the changing needs of the popula¬
tion. For instance, a trend apparent
recently has been the increased pro¬

■

tion.-Men

tional commerical

for

average

•

the

becoming

for

all types
of facilities,, and the price for
an;,
individual item may vary consid¬
an

and

■

people with the importance of insurance protec¬

many

The year 1961 saw increasing recognition in the market- ; ■
place of banking as a growth industry. This recognition V,;
was
based primarily on two factors—the projected in,
crease

existing master contracts as well
extensions to additional groups,
particularly those of
smaller size.. One unmeasurable but
significant effect of
this increase in group coverage is its indoctrination of

DRAWDY

President, Georgia Railroad Bank & Trust Company,
.

rapid growth of Group insurance should continue,

with upward revisions in

SHERMAN

be,

our

Lynch,

Manager, Dealer Relations Department.

Kidder, Peabody & Co.
Founded 1865 • Members New York, American, Boston,
Philadelphia-Baltimore, Midwest and Pacific Coast
Stock Exchanges • 20 Exchange PI., NewYork 5 • Boston
Philadelphia
Chicago
Los Angeles
San Francisco

Tfte Commercial and Financial

'■'•

■„.

V7."''

<312>

"»

Continued from page

'.•;;.

•

■

■•••''■"'

" '■

computer techniques are

For

operating

and

income

increase
investment
gain while passing the $2 billion

pers for

greater increases and higher

even

operating

•

j. dwyer

;dward

Battery Company

results re¬

Battery Company's 1961

flect the uncertain and
as

stable and have
trial

conflicting trends in the economy

relatively
areas. Indus¬

improved slightly in some

•

J. A.

now

the

The

Electric

Storage

and

with

demand

people,

for

crease.

tions

Edward J. Dwyer

available to

move

ing

the year

Russell

is "get the sale at

market

The

months

applica*.rp

rThe

ago.

distributors

;

have

their

fortunes

invested

foresee

Battery Company has

any

one

pioneer in

packaged power industry. During 1962 and beyond,
will continue

our

and develop new
our

efforts

the

may

extent

remain ab¬

the

of dollars

labels.

the

•

improve existing products

products which could further diversify

operations in the packaged power and related fields.

•

their

curtail

the

economy

our

which grow in scope and seriousness

Many experts now

within

and

without the

United States.

They

-see

dis-

Continued outage

CITY, No. Dak. —Re¬
Funds,. Inc. has opened

offices "in
the
State
of
Iowa: at 915 Harold
Drive, Cedar

Underwriters and Distributors of

STATE

AND

MUNICIPAL

BONDS

Municipal Bond Department
*

Street, South¬

west, Mason City, under Stanley
C. Ford; at 108 West Cass
Street,
Osceola, under William H. Myers;
and
at
200
East
Fifth < Street,
Waterloo, under Robert C. Kenny.

Elected Director
Eugene H. Catron has been elected

BANK OF

RHODE ISLAND
Main Office, Providence

•

Second Oldest Bank in America

director

Waldbaum,

Inc.,

Fuji, the geisha and Kabuki is
opportunity today. And
you needn't know how to speak Japanese to take ad¬
vantage of an economy that continues to grow... and
of industries flourishing
substantially... indeed the land of investment

This is where

in. Complete information on
particular company or special
studies tailored to your needs is
yours for the asking
in a
language you will understand... Call or write.
The pleasure is all....

partner in the law

come

Nomura Securities Co., Ltd.
Japan's Leading Investment and Brokerage Firm
! y

to the Waldbaum board was Ben¬

Lewis, Durante & Bartel.

specific security,

change member firm. Also elected

firm of

Opportunity

True. The land of Mt.

operator of 34 supermarkets in
the New York metropolitan area.
Mr. Catron is a partner in Shields
& Company, New York Stock
Ex7

jamin Bartel,

Land of L

NATIONAL

•

Arcade*

Delaware and First

INDUSTRIAL

JAPAN

•

eight

Rapids, under the management of
Fred L. Bjornson; at 309 Union
Bldg.; Davenport,' under!
Charles K. Peart; at 5731 Urbandale, Des Moines, under Gorman
H. King; at 1303 Sixth
Avenue,
North, Ft. Dodge, under the direc¬
tion of Harvey R.
Leavitt; at 515
Plymouth Street, Southwest, Le
Mars, under Robert C. Kass; at

that

government spending will continue at a very high rate
which translates into little hope for tax relief. The rate
of government spending probably will determine the
degree of inflation we will experience.
These factors will tend to perpetuate through 1962
and beyond the same problems which have -prevailed
for some time. In general, the battle against narrowing
profit margins will continue. Business and industry will
need better controls in manufacturing and marketing.
These costs have skyrocketed in recent years. • There will
be a need for more reliable reporting on conditions and

Reserve Funds in Iowa

industry is that business in gencontinues
to
have
problems

VALLEY
serve

foreseeable future.

■
;;yyy:,;;y.;:yyV;
watching the basic indices say that
we are approaching a period rarely seen in recent years
—prosperity with little inflation. They also note that
competition will become even more intense, both from
>

that is dependent on
: ;
"yy'

efforts

v;;.;-omy.

for 1962 that the Federal and State

increase

fast

regardless of the state of our econ-

Ray R. Eppert

promotion placed behind nationally
how they can develop a

I would also urge

prosperous

'eral

predict the continued growth of the straight
category and a growing importance of age in premium
bourbons. I believe also that we will witness a
growth
of interest in quality and
that, as wages and business
improve, the quality premium straight category will en¬
joy a greater share of both package store and on-premise
business.
v
ry^ v.
yyy
Governments

EPPERT a

this rate of growth.
r-: Principal reason for the growth of

Show them

price promotion to the next.

and

would recommend to
be that they establish a

one

the

and

get their salesmen to educate

potentials

y;'.

1962 for all business
industry in the United States
throughout the free world is
bound to have a bullish effect on
A

In 1962 I

century, The Electric

been

1962, it would

drive to

advertised

accelerated in all divisions.

nearly three-quarters of

thing

one

solid growing business and not

major capital outlays. Also, marketing programs will be

For

was

■

whole during the

retailers to the advantages of selling nationally adver¬
Teach them to take advantage of the mil¬
lions

now

there

■

times

tised brands.

plant improvement and cost control programs will
not

concerted

these activties.

Storage

it.

distributors

United States, suggests that 1962 will be satisfactory for

the

data processing
and computation
equipment and systems has been
growing steadily for a number of
years, even through the recent reces¬
sion.
Economists
agree
that this
market will continue to grow several

for

communications,

of the foreign manufacturing opera¬

vigorously, but we

Except for the big "if" provided by the international
political situation, all of the economic trends now indi¬
cate an excellent 1962 for our industry.

enjoy more profit per sale. This private label problem
is nurtured
by the problem we were talking about
earlier—the desire to make a sale at any cost. Many
retailers have not been educated to realize the steady,
profitable, predictable business they can enjoy in push¬
ing nationaly advertised labels.

tions, which, we conduct in eleven countries outside the

continue

pressures

earnings

RAY

Our

President, Burroughs Corporation

present and future health of the nationally advertised
brands they represent. This is the portion of their busi¬
ydiesel starting, and car*1 lighting and'hit- conditioning;
ness that allows
opportunity for solid growth—that
should expand as the general economy moves higher. represents business they can depend on to grow with
During 1962 we will be making deliveries on a sub- / the
expanding economy. But this portion of the distribu¬
stantial order for submarine batteries, under a contract
tor's business cannot and will not grow unless they work
The present level

well

selling prices

dustry.

Erickson

support nationally advertised brands that can help him

automotive batteries,

switchgear,

received from the Navy a few

However, surplus capacity in

creasing share of the total market being taken by pri¬
vate labels and the apathy on the part of the retailer to

favorable rate and perhaps in¬

motive: power,

than

hew high in de¬

normally low, thus adversely affect¬

consequent soft first quarter of the new calendar year.
Another growing and disturbing condition is the in¬

Orders for industrial batteries for such
as

good—better

America

that

cutting, ill-will on the part of the retailer in blaming
distributor salesman for over-loading him and the

dry cell batteries, flashlights and other consumer prod¬
ucts should continue at

possibly

competitive

the

time

replacement

will

and

volume

industry

Scandinaviancountries will maintain

to unload at give-away
We must establish more uni¬

cost—even at a loss."
"
The result is the abnormal flow of merchandise, ab¬
normal retailer inventories, wholesaler and retail price

Battery

leisure

1962

market; pulp

North

any

Company's own operations in 1962,
we
are
optimistic. With disposable
personal income climbing to new
highs,

expect;: that " the

the

cannot pro-

just

attitude at the distributor sales level

sales and earnings.
For

duce

mand.

offering the greatest opportunity
premium quality goods on a product, yet the

time of

the

appear.that the general out¬
for moderate increases in

look

Englehard

learn that we

1961

market are utterly ridiculous. Extra cost of
Christmas packaging, extra expenditure for advertising,

some

it would

holiday

segments of industry.
Some of this improvement may be
due to forward buying. Nevertheless,
ment in

realized that to keep up with this
expanding market we must also keep
pace with other businesses in competition for the consumer's dollar.

prices.

showing signs of response
gradual betterment in new
orders and production. More intense
competition has been experienced in
virtually every area of business.
As we enter the new year, there
are indications of material improve¬
to

level

formity in our pricing structure so that we maintain
the confidence of the consumer instead of his wrath.
Some conditions that arise in the immediate pre-

markets, on the other hand, are

only

Briefly,

W":V -V

•

We must

been

have

markets

Consumer

whole.

by."

•

The Electric Storage

potential market to pass
V'. "
First, I don't believe we have yet
this

cause

President, The Electric Storage

assured, 'y..";.

1962 seem pretty well

income in

„

milestone during 1961, the pros¬

life insurance in force

in force, premium income:,

In life insurance

Co.' ;

President, .Oleiuiiore Distf Heries

sixty-two holds• out great promise; for. the :
spirits industry. Continuing population growth,
increasing employment, rising Gross National Product,
concerned. '
\
\
further rise in disposable income, and further broaden;
I want to take this opportunity to thank all our dis¬
pig of leisure time for fhe American
tributors, and retailers both oh and'•off-premise 'for their
worker*—- all offer opportunities to
expand, consumption. as
America: interest in Glenmore and its products during this past
continues its pursuit of a better life
year and wish them every success in this year ahead,
for everyone. Thepiarket is Ours for^
v •
,' v
V
' /!'■!!: ; 4:
\
the .developingbut there: are dis-. ^.v:
J.J'. RUSSELL F. ERICKSON
/ - - ^
turbing, persistent conditions within
^
•
President, Rayonier, Inc...' v..'*
our own industry that can. very well

which has hit new highs in

company,

turbirig. growth, of the marketing, of illegitimate; distillatiqri.; The loss in tax revenues to .Federal Vand State
Goyernmepts increases daily.. Efforts in"this Idirectibn
and .toward freeing, up -the' enterprising Jatinosphere o£
legitimate marketing would, in my estimate, go a long
way toward
making for a healthier climate for .all

•

distilled

;/*.•

our

'•

Nineteen

extended to new areas of-

policyholders' service in the field as Well as in the home
office and applied to the broad area of management
decisions.

J- A. ENGELHARD

V' / V

;

Further advances will undoubtedly be made

costs in line;
as

Chronicle—. Thursday, January 18, 1962

'">■!■■.

' •■'

61 Broadway, New York 6, N. Y.
Telephone: BOwling Green 9-2895

Volume 195

Number 6126

;

The' Commercial and Financial Chronicle

(313)

-Continued from page 44
•?} ^
trends.

/ a

?•' <*V

This calls for rapid

improve efficiency.//.

*>'•-

<■

•./

•

-5
•

V-

;

It is my view that 1962 will be a
good yeaf for those - y
companies which are equipped 7o manufacture, market .'/
--.-and service reliable equipment and systems for all kinds '7
•/ of business and industry, from the smallest-to the largest,—
throughout the free world. Y.«
'' ./•'' A« * 7/
r'L
;
• ••/.;/
-

.*>

availability of funds

nance

such

investment;

fi-

/metals

out

relatively "free from
tight money market.

surveys

one

ital spending programs

ERB

President, Melville Shoe Corp.

;

entirely possible that

y./I:!;,

1962 will be

a-record-breaking
retail. Certainly there. '
ever before. Thus; the

7^'1961, 'however,
the

reach

earn¬

and

levels

sales

failed

confidently

in 7

also true

was

//PJ71961

dustry last January., The basis for

1962./-7 ^7;

better result in

funds will be
growing in

Retained earnings;

have

shown

since

the

•will

sharp

tion of

particulars7.7
improvement

$6
:

■JV

continue

improve

ahead.

factors

these

sulted

percentage

-//
//

1962

capital

goods

Formation

As I understand my
of

capital

segment

follow
I

these

areas

capital

the

do,

have

their

borrowed

findings/"

not

but

residential

construction

record

disappointing/The
homebuilding business has moped along
despite Washington's vigorous ef¬
a

homes construction

use

means

•

reversing the recession

earlier this year.

predict moderately bet¬
days
ahead
for
residential

production

which, of

housing starts will show

construction

lion in 1962. The number of starts

about 1.35

1962.

peak of

very

much
of

activity

higher

There is

recent

many

construction

act will

stimulate home construe-

volume

requirements
loans

will

spective
market.
for

1962.

for

And

the

encouraging

ments

and

•

doubtedly will lead
owners

spruce

1962
.

<•

have

sumers

their
I

desire

suspect

will

year or

•

own

able to

last.

///

new

•

un¬

con¬

Inventories

wilL

clearly

be/

a 1

of this
:

year
'

resulting in
Continued

abso-

page

Sam M.

Fleming

to 2J/2%
year.

the

and

Yields

bank prime rate
intermediate and

very slightly and ample funds
available for long term mortgage
slightly reduced rates. The reason that interest
rates have not followed upward the
recovery movement

are

is that they fell only slightly during the recession
period
and, therefore, started from a rather high base. Further¬
more, the Federal Reserve felt justified in keeping credit

I
J

and plentiful because of inflationary ntendencies
being tempered by unused plant capacity, high unem¬
ployment and vigorous competition in the market place.
It is expected as the recovery broadens there will be
easy

mild

upward pressure on interest rates because of
increase in consumer borrowing and enlarged de¬
mands from business. However, the principal upward
a

some

Continued

•

page

popu¬

OUTLOOK

second

PLUS

ever

the

expect

increase,

one

the
in

first

but

Outlook which includes—
A

reflected

the

six

original

much

which

In the rubber
tract

months

are

expenses

The

year.

Highlights of Goodbody & Co.'s weekly
on various segments
of the tax-

exempt bond market. These

are so arranged
be used conveniently as a
guide to selection by individual investors.

that

slow

increase

R. C. Firestone

over

particularly favorable at this time

they

can

Tax-Equivalent chart of Tax-Exempt Yields

Taxable
Returns

Yields, showing the figures

well

industry

Name.

CF-18

Address.

.Tel.
(Please Print)

believe the three-year con¬
with the United. Rubber

favorably

'••'

designed for both in¬

stitutional and individual investors. For
your
free copy simply mail this advertisement.

CREATIVE
RESEARCH

throughout* T 962/

our

contribute

Single Returns.

This Annual Review is

year

stability

vs.

for Joint

are

provide- labor

major toll roads and bridges of the U. S.

reports

industry has made over the past few
modernization, mechanization and .control-of.>
will

complete analysis and recommendations

the

equipment

1962

lively and informative discussion of the

Tax-Exempt Market in 1961, and some
thought provoking predictions for 1962.

largest

rather

negotiated last
will

progress

REVIEW

Municipal Bond Department of Goodbody
completed its Annual Review and

the/total

period.

-Workers

YEAR-END

new

greatest

corresponding 1961

TAX-EXEMPTS

6? Co. has

increase

FOR

Rubber Company

The

still

to 30%

years?

plus factor this year, after a sub.-st'antial drop in thOfirst quarter

range

will

The

,7 iV

reserves

credit at

FIRESTONE

and transportation.

home.

Inventories * v->*

the

have been and still

increasing number of automobiles per
to suburban living and the location of
new
plants in
rural areas, (2) increased use of
automobiles as people
have, and use, additional leisure time, (3) improved
roads and highways, new
freeways and turnpikes, with
corresponding transportation growth, and (4) the in¬
creased standard of
living in many previously less-de¬
veloped countries, requiring more vehicles for travel

Americans

•

free

net

long term bonds fluctuated

(1) the
family unit due

than did this

to both the automotive and rubber
industries

satisfy this desire
more

Trends

the

expressed

many

movement.

•

first half of 1961. This

pro¬

home¬

survey

which

cautious attitude of business towards inventory
and capital expenditures. At the same time,

Basic

year.

than does the

per person

tires, in contrast to the

the

their living

strongly

til at

year—far

"•

after

survey

in retail sales but

with

recovery

remaining at 472% all

and

units, an increase of about 6 %'
emphasize, however, that in spite of

expect
to

could

quarters.
In:

the

growths

improve¬

many

the

banks

reserves,

funds

need for short term bank credit.
Interest rates were remarkably stable
during 1961,
7 with the Treasury bill rate
fluctuating most of the year

equipment,

Act's provisions

home

re¬

ample

industry took advantage of favorable security markets to
float large issues of long term
bonds, thus having less

'•

FHA-insured

modernization

the

replacement and export. /7 :

Liberalized

bring additional
homeowners
into

and

in every major division of tires —
whether it be
passenger, truck, trac ¬
tor or
retreads, and in every channel
.of distribution—original

standard quality—especially those
occupied by lower income groups.
Undoubtedly this year's* housing
tion

start, 1961
industry's

expect

of the country. Many
homes
are
of
sub¬

areas

today's

Let

only do
shipments

tire

construction ;

genuine need for ad¬

home

pairs

Not

dollar volume.

ditional

this

by the Federal
during the year in

hand, demand has not
vigorous as might have been

build-up

importance for the footwear industry-

year.

measured by starts or

for

127 million

over

slow

rubber

not

are

than

residential

reflected

are

RAYMOND

1961.

over
a

However, it is important to

rates

reason

1962, as we see it, will be the biggest year
tires, with total new tire shipments reaching a

million during

that six years' totals

note

necessarily of leather

The year

of private non-farm dwelling units
will increase from 1.25 million last

One

production.

whole.

outlays will rise 7% to $22.5 bil¬

year

not

President, The Firestone Tire

residential

but

of
re-

larger portion of

was
due to consumers' reticence to
increase their personal indebtedness

con¬

not be accompanied by

or may

groups which

•

nice rise for the year
1962, and so
will the volume of home construc¬

Private

dollar

was

has been the fact that the greatest population in¬
crease is
occurring in the younger customer

lation

;

increase

This

cause

normally buy

expenditures.

sales.

substantial

savings deposits.
build-up in •

other

expected

the past five years, while the
population growth has been
at the rate of somewhat less than 2%

tion

retail

rather

early spring
increase ip bank

member banks averaged around $500
million during most of 1961. The less
than expected demand for bank loans

lower/

record.

course,

domestic

building contractors. The volume
new

that

per

But we

ter

fact

is the fact of continuing population growth. This
fa9i Yi'.v/
justifies the designation of footwear as a growth indus¬
try. Actually, total footwear sold during the past five
years
(including millions, of pairs of "sneakers" and
/other casual types) has exceeded the over-all rate of
population growth in the country. Footwear sales (in
pairs) have averaged an expansion of 3% per year for

year's

was

forts to

and

member

had

the

been

5%, while leather shoe production
3%—which would not quite equal

Of fundamental

liberally

Last

1959

/ wear

closely

and

time

continued

Board

finance

greatly increased importance of rubber footwear; another
is the volume of imports of both leather and rubber foot-

capital

investment,

may

records,

rising only 2%

other members of my department
from

the

of the consumer's

into

new

happens, it

production

new

"is

the

and

will set

sales

tail to increase 4%

formation. I must confess that I do
not

7-7

footwear. It would be possible for footwear sales at

areas

formation—residential

other"

■

•

assignment,

construction, inventories
"all

Areas

the other

cover

* /-•-/

If this

I must also

• :7

siderably lower than the percentage
7.7'
in 1958, a recession year. If in 1962
consumers spend their dollars at merely the 1958 rate—7
certainly not an unusual or extravagant rate—total foot-/
wear

Capital

from

went

industries.
Other

expectation.

."1 The failure of retail sales to rise as
sharply as personal income during
most of 1961 prior to December re¬

77/

programs.

point

the

required

retail/

of the last few weeks lend
support

of relatively high level

activity

Reserve

Robert C. Erb

financing investment
year

consumer,

sold

small

crease and a reduction

expecta¬

for

gcods

FLEMING

such savings.; Due to the deposit in-

this

cellent that business firms in 1962
be free from worries about

in¬

will

All

•

and operating rates rise,
corporate
profits
and
retained
earnings are likely to rise at a
•rapid clip; Chances ere thus ex¬

system to obtain
h'.'j

the

output

efforts

have

creases,

the

such

the nation's savings and the
vigorous
of the < commercial
banking

including shoes, i The improved sales

beginning of 1961, and

months

deposits

billion

flection

increased rate of

spending

1962

fields

Third National Bank, Nashville, Tenn.

accompanied/by

was

demand

dicted by many members of the* in¬

internal 7/7

sources

non-rubber

fibers, textiles and
anticipate healthy growth in 1962

The recovery movement which
began in the

ft/;

pre¬

Both

the

synthetic

■

ings and depreciation allowances.
these

where

,1.77- President,

for the sale of-, footwear at
"wilLbe more feet to be shod than
basis for a new record will exist. This

<•••"

from

came

internal/ sources—retained*

It is

ROBERT

-year,

fully 90% of the money
to carry out planned
cap-

needed

7;:

our

well

SAM
/

According to

plastics,

"J; '

suggest
that
this
'
year's capital expenditures will be 7

carried

products

chemicals,

Current

"circumstances

pressures of

are

rubber
-

is the

'Continued from page 43

•
Y ';'.
;
■
optimistic about the tire phase of our industry
because we are optimistic
concerning the automotive
industry. We are also optimistic in regard to the other

V:'• -

/transportation needs and this should be reflected in in-

creased sales volume.

cations to enable executives to make keener and. faster
decisions;" There will be a greater need- to cut costs and

industry continues to add- plants and increased facilities
abroad, to take care -of the ever expanding worldwide

;

gatherihg, assimilatidn" and.J'7
processing of facts and figures, plus improved communi- " '

during the

iGOODBODY &
Members of

coming

•

When appraising the rubber
industry, I think we must1
also consider the*
outstanding performance and: the steadygrowth that has been experienced
by many of tne major
rubber companies in the
international field. The rubber

HOME

ESTABLISHED

1891

OFFICE

BROADWAY.

NEW

investing

u-it

•

leading Stock and Commodity Exchanges

to sound

CO.
*

OFFICES- IN

^40 CITIES

YORK

***«-*

The Commercial and Financial
46

influence

rates

and flexible use of monetary and
accomplish much in our efforts to re¬

Installment

that we bypass the possible trouble spots
in the general economy, the outlook for automobile sales

our

other

ahead.

country. The wise

fiscal policy
We

can

problem.
face the New Year in the

this

solve

can

knowledge tha.t the

expansive phase and in a strong and
healthy condition. This presents the best possible climate
in which to work out a solution of our unresolved prob¬
lems of an unbalanced
domestic budget, a deficit in
international balance of payments,

structural unemploy¬

antiquated tax systems. It is important that
we devote our best efforts
to this end if we are to be
able to meet the challenge of the future.

and

ment

HENRY FORD II

market at an annual
7 million units. If this rate continues
for the remainder of the year, sales
would be about 16% higher than in
in the domestic

flect

1962

•

at an

prices

rate of nearly

sales
:

falling prices.

up.

-i

by franchised

the

have

Consumers

financial

position

recoveries.

than

Incomes

come

much

were

MERVIN

The

out

stronger

previous
generally

maintained, and consumers put
of
incomes into liquid, sayings than in previous re¬
cessions. During the recovery, paychecks have continued
to increase.
We expect disposable personal income in
1962 to average $387 billion, which is $23 billion—or
61/2%—higher than the 1961 level.
" ;
substantially larger proportion

their

over

equipment spending will increase in
high-as $38 billion—an increase of
1961 outlays.
7yV;V;77 y .,7

Inventory accumulation already has been stepped
and

further

The

acceleration

acceleration
can

With

the

expected
a

'' ' 77,<

the

first

continuing to recover, consumer
buying attitudes are improving.
An expected further
reduction in the number of unemployed will put even
more people with money into the
marketplace.

7 steel

conditions, failure to prevent wage and other cost pres¬
from pushing domestic prices up
sharply, or ah

sures

abrupt cutback in Federal spending for defense.

The

sharpest

billion.

economic

prolonged

IndustriaL production'

from
In

1961.

Gross

$519 billion to

summary,

business with

National

new

1962 should be
a

faster

and

(2)

ment;

Business

(3)

move higher in 1962,
Our troublesome balance 7
payments problem may help to cause increases in •
short-term rates.
In fact, the only dark .cloud over the
.bright prospects .is .the balance, of payments deficit,;
which keeps pressure
on
the-'dollar and ' carries the f
threat of serious gold losses..
If gold losses become ex- 7;
ceedingly large, harshly restrictive measures may be !/
irriposed on- the1 country' l?y -the. Federal Government/.;
Fortunately the new spirit of international monetary '*
coooeration may work out a solution to this disturbing

.will, increase

boom

year

It is expected that

investment

con¬

reviving.

$234 billion in

and

problem.

1961

consumer

personal

to $442

,7.7-

•

' /

vyf' *

KERRY,H. FISK
Chairman

7 ,7,

Board, Allied Chemical Corporation

the

in-

equip-'-;

They will, show

1962,

will rise from $416 billion in

Optimism regarding

(1) Consumer 'spend-

new' plant

for

Government expenditures at all levels.,"

increase of

this year.

$63.6 billion, and ]

registered in the three basic factors

Retail sales already are

come

by rising 1.5%.' Interest rates will,

longer-lasting recovery than

that control the trend of business:

ing;

about

but changes will not be sharp.

high -Of $560 -billion.

had after the.last recession.

tinued gains will be

Product

record

No major change is anticipated in Federal taxes. ;

home buildings costs will increase approximately 2%.
//.y
k The cost of living will proceed to another new high

equal to 100, will average 118 in 1062, a gain of

from

the total- unemployment figure

see

Construction will, rise

ievlr:

1§57
8%

Over $8 billion of »
sold to the public in 1961 by state and local •

by increasing 6% to $15.1 billion.
Corporate earningswill be uo from $45.6 billion before taxes in 1961 to $51.8

will

strike, the second, half of 1962 should also -realize
i

;

a 4,700,000 average to 4,100,000 in 1962 in "i
spite of over 1,000,000 workers being added to the work- >
ing force next year.
,
;■
Dividend income will maintain its long-term trend

ex-

by the Federal Reserve Board index,, based

;

decrease from

progress-

denced

7
7,

stimulus to the. economy as

were

another

ass

mid-year approaches, inventory accu- 17'
rise, especially in industries that rely uoon

sufficient amount to

unforeseen

some

nature such

serious

produced,

governments, only a portion of which has-already been
spent.
'
r
"
'
'
'
f
'
The flow of capital into new facilities will be of a i

-7"

gains

forces

another

will

cars

expenditures will be one of the most
in the economy this year. President
Kennedy's budget calls for a considerable increase in
Federal purchases of goods and services during the first
half of the year, arid the. trend will still be moving upward although more slowly for the balance of the year.
Expenditures by. state and local governments will continue to go up at a steady pace. This will result in yet

increasing momentum and

1962.

million

Government

buoyant

of Cleveland,

will

6.5

new

for production of their products.
Otherwise it is
difficult to appraise changes in business inventories.

in the first six months of .the year. How¬

good .econpmic' growth.;

There are,

of course, some situations that could block
continuing vigorous recovery—unsettled world political

with the exception of

ever,

half.

economy

FRANCE

1961 with strong intensity. The

year

come

difficulties of

up,

primarily to steel
possible steel strike.
■■ 7,

that

production schedules for the

As the

mulation will

8.8:

';.

sales.

steel

,Usedfcar":
reach

retail

reflects not only the good tone of retail demand
the relatively low level of dealer inventories.

recession.

pushed

9 million if new-car sales

commenced' l$st. February

throughout

vigor

probably

attributed

stockpiling in anticipation of

expected

Cleveland, Ohio7;.7; 7 ,77-

;

has picked

the

pansiori that

plant and

and could go as

$4 billion

economy

:7 with
Henry Ford, II

New

concluded

well

1962

are

•

President, Society National Bank

preliminary estimates in¬

recession

dealers

boost

liquidated, with

also

bonds

dicated.

has

•

approach the 7 million mark.

annual

mild
and
the
recovery
is
stronger and proceeding more rap¬

idly than

demand

recent

buying of consumer durable goods becomes particu¬
heavy in 1962, it appears that consumer credit 7
could exhibit an expansion of approximately $2.5 billion.
This will bring total consumer debt up to $57.5 billion.
Business outlays for plant and equipment will rise at
least 5%. Much of the gain will come in machinery and
equipment, which means a healthy recovery will be
experienced by many of the hardest hit lines in the past

Used-near./stocks,/jnow are;

rising

the
well

larly

mdllicm:^units~:at'Jeastv50d,000;''-more -thatf. the ^estimated 7

billion. This would re¬
strong business year.
'*
1960-61
recession was rela¬

and

normal

new-car

total for 1961—and to exceed

but

The used-car sales outlook in 1962 is good/

tively

than

lower

of $560

The

and

ventories

National

Gross

the

expect

Product
rate

■

which

sales, also is favorable. • A~
ago, the used-car market suffered from rising in¬

year

expect 1962 to be a solid, prosperous year for the gen¬
eral economy and the automotive industry.
For the first half of 1962, we expect sales of passenger

1961.

Thursday, January 18, 1962

from

debt

indicate

year

promising.
A very important factor in new car sales is credit
availability.. Normally, more than 60% of the persons
who buy new cars use instalment credit.
Prospective
buyers who seek credit in 1962 should have little diffi¬
culty in obtaining it. The amount of outstanding credit;
declined in the last year; More buyers paid cash in 1961,
and the average loan was smaller than in I960; As con-,
sumer confidence rises,
credit sales of automobiles are
expected to increase.
•
.
The condition of the used-car market, which'has an
important effect

Motor Company

Board, The Ford

of the

Chairman

cars

Domestic automobile

Assuming

is in an

economy

repayments
exceeding new extensions for 1961,' and at the same time
a substantial increase took place in the
holdings of liquid
assets by consumers. These developments predict, a good
year for the
automobile market and other big item
durable
goods, especially against the background of
mediocre sales for these goods, during most, of 1961.

products and marketing techniques. .We must also main¬
tain price stability.
Failure in these efforts will jeop¬
ardise our internatiional economic position in the year

rates

partially arises

An important national problem we face is our balanceof-payments deficit. In a world in which other nations
are
making rapid economic strides, we must maintain
and even accelerate our progress in developing new

-7,;; y/ Jy 77 77■
undoubtedly will come from the ne¬

bring our rate structure more in line wth
countries in order to stop the flow of
dollars from this country. Such flow has contributed
to
our
critical imbalance of international payments,
which continues to be one of the greatest problems facing
cessity

Chronicle

(314)1

Continued from page

♦0(^^Spi«nr^*Df^#^^^W^^W^U^ *£ Ml?*.** J:,'.

¥*ins»«-s»^J»^^ni«n^,WHttiWv«ILK»JarWvM^^

H^hMWiMiMnwkMMMviw^^

The
the

billion

chemical
most

business

■i

turing

one

competitive periods in its /

history and there is

spending only

is in

capacity

manufac-

excess

almost

;

every;;

product line. 'However, the prospect
for industrial

■A#'': %
•

tomers

Aiding Banks, Brokers

and/the
which

>7.77

industry

LOUIS

7'-/

A.
..

■

•

SPECIAL SITUATIONS

maintain

chemical/

the

its traditional

(GALENA

year.

Co.,

7
'

;

/.;7.

; -. * ,::'-v

During the year which has just passed, the savings and
lean industry, again set new growth' records. Preliminary,
figures indicate that about 44% nf "all the- new mortgage;
loans under $20,000 were made by savings and loan
associations
during. 1961, up from

•41% during I960.

ORIGINAL UNDERWRITES

market through

enable

Los-Angeles, Calif.
'y.
v.;.

•
.

NEW ISSUE PARTICIPATION

i962, 1

products,

new

President, Trans*WorId Financial

•

'7':

cus-:7

rubbers-

industries in

from

come

will

our

auto,

growth rate of about 7%

Kerby H. Fisk

BLOCK! DISTRIBUTIONS

gains

will

research,

m
•

steel,

textile and other
;

and Institutions

INVESTMENT RESEARCH

expansion by

in; the

Savings

rose

about-

'14.2% last year while mortgage loans
'

outstanding increased 14.5%. Assets
for the industry rose 14.4% in set¬
ting a new high at $81 billion.
>
;
Although we in the industry as¬
sume
a
continuation of this growth
trend

there are many
are beginning
our ability to
continue the spectacular growth pat¬
tern We have
been setting.
These
people have two primary reasons for
their fears,, viz., the possibility of a
change in our tax status during the
current session of Congress and the
problems which they expect will
during

1962,

outside observers who
to
-

dltdm. gftennebt', V 9dc.
INCORPORATED

have doubts

arise

due

about

the increase

the

rate

Louis J. Galen

paid for savings

deposits by

commercial banks.
/While I dp not share these fears and think that they
are groundless, I will deal briefly with each of them and
attempt to give reasons for my position.
There is good reasan to believe that the tax issue will
*

New

York, N. Y.

Richmond, Va.

Continued

page

•

Volume

195

Number

61.26

The Commercial 'tnd Financial Chronicle

(315)

Continued from page 46

Outlook for

again be raised in Congress this

and hearings will

year

most likely be held by the House Ways and Means Com¬
mittee. Nevertheless, the arguments that the
industry
// has presented in the past have been sufficient to con-,
/ vince Congress that no action should be taken to change
:

Continued from

45,

page

lute cut in the fate of business in* Jr'
ventories. Since then, the rate has

•

Because steel contracts will■]??

year.

coming

expect

bit

higher in

inventories

over

the rate to be

high

With

regard

all

The

need.

incomes

are

greater2^ purchases

equipment

and

farm

building.

shows that there is

withstand

X/XXX

■

-J

••••*

..."

to execute orders

stock exchanges,

-•

cities provide fast

promptly

en-

all Canadian

prices in United Stales

or at net

funds if desired.

ill/ Wood, Ouiuly & Co.,
40 Wall New
Street,

given in

York 5,

V. Y.

Telephone DIgby 4-0633
Affiliated

with

;

,//>'' \////// /\

Wood, Gundy & Company

/ /.•

The

'///

Toronto

■ •" Members
of
a
Exchange
Montreal Stock

Stock

Canadian

/'•///:;

Stock

Exchange

",/'■/

Exchange

•••/■/''■ /'and

■

0 -X XI/X ;•*•••'/'i

..'r-X/.'".'

•/

.-'il* '

X'-'-X'/n'T

'•

•

0i' Wood, Gundy & Company
Limited
:

issue deals with the recent announcement

Head

Office

36 King St., JFest, Toronto 1, Canada

—

that commercial banks will be allowed to raise the rate

capital goods in¬

pay

least

;/X

principal Canadian

accurate service in Canadian securities, and

./ able

case,

great extent,
position we

and

X//XX
/.

fourteen

/ /

law will be minimal.

bonus

savers

l/z%

from

paid

3%%,

with

Branches in the principal cities of Canada and in London, England

extra

savings kept on deposit for at
year. The question has arisen as to whether the

one

/savings

and loan industry will be able to continue to
savings at the same 15% compounded annual rate
/ it has shown since .the war, This issue can easily be
'answered by merely looking at the record; when the
//commercial bank dividend rate on savings was raised
from a maximum of 2%%' to 3% in 1957, savings growth
in our industry fell only to 13% that year, a drop of 2%
from the: 15% it had reported the previous year. Then,
;
in 1958, savings growth returned to almost 15% again.
The amount of the drop was almost inconsequential dur/
ing the first year after the commercial banks changed.
// their.rate and returned -to normal the following year./,
A similar pattern has been exhibited following other
rate increases in the/pastV *We have" been able to- con¬
tinue to prosper following rate increases in the past and

Second, private i-n s titu t-i o n
building will undoubtedly con-'

attract

to be'

seems

,«''*•

exces-a

■*

reserve

question cannot

second

and

to rise? There

this

new

they

tinue

The

Experience

vestment by farmers.

serv-

investing institutions,

hanks and dealers. '

reserves.

reserves

tween increase in farmers' income

increases in

readily available

are

Direct private wire connections with affiliated offices

efforts to change our tax status are successful, the amount
of our earnings which will be subject to taxation under

time lag be¬

serve

We must, therefore, continue to build
high as possible beforehand so that we
depression of any conceivable magni¬
tude.
I think that Congress has realized this and I
am,
therefore, confident that even if the Administration's

farm

and

in Congress have,
just how large a

answer

can

eon-/

vehicles

The

our

siderably,, and this should result

around

building

do¬

investment

First, farm

organization is well prepared to

our

ices

advance. lt is only after a depression strikes that we will }
know just how many foreclosures and losses we will
have and then it will be too late to start a
program of

category we
expect a significant increase this X
year.
There are several reasons.

ments,

investors interested in Canadian securities. Our

industry must : '

/;///|?/

hearings

centered

the first

other

Our

foreclosures

half of 1959.

mestic

experience in Canadian invest-

must have sufficient reserves to withstand the
many
which .might.
occur.-///// /,/'/•//. /

do not expect

of age.

come

br depression bits oiir economy and brings with it

the first half of the year.
But because there appears to be
trend
toward
tighter control

babies'!;

;sive unemployment and land deflation. In such

;the rate of inventory v-!
a

50 years of

//.

again next summer, •'

accumulation to be

the/'war

as.

lsst

Experience

;

over

///be in a position to provide funds for the housing these '
//families will need. Secondly, since "predominantly all of /
/ eur loans are on: one "to four family houses, we need to
'{ keep a large reserve position in case a severe recession /

inventory to be about $5.6 billion"
billion

throughout/ new r year, f
expect 'the' net additions to/,
$2.3

•

cient funds to provide the loans /needed to keep the"/
/...housing industry flourishing. Family formations Will be /
./ . hitting new
peaks during the middle/of this decade

ventories/

with

•

With

essence,, our

around, - and ; we ; 'expect0
business to continue to add to/in-/'

compared

■

Century

turned

„

"!<

: /
,'/.
;
/ ;
/".'
position .is that the savings and loan
industry is the bulwark of the nation's home mortgage
./lending program, and .that increased taxation of the X
associations will, hinder them in accumulating suffi-

of Investment
«.

current tax status.

our

Over Half

•

insatiable

need

for

schools, hospitals, churches and
recreational facilities- Both Engi,

neering News Record and F; W»
Dodge contract awards indicate
continued rise in this

•

area.///

Outlays by professional i£en and
by business firms—mostly auto
and

oil

companies—for

durable

items

certain

charged to current

as
a
group,
generally
widely, but with the eximprovement in business,

expenses,

fluctuate

pected

with

and

auto

increasing

oil

and

companies

I firmly believe that there is nothing in the foreseeable
future which will serve to hinder our growth and our

•

capital
invest-:
ment, this sector should also show -

summary,

outlook5, for
investment th's

the

growing. /,
•*/
*' '•"/

il llil/lfl;
/ l

f ||f

EARL A, GARBER

Chairman and Chief Executive,/

//■

Harbison-Walker Refractories Co.

In the present

.period of rising business activity the re¬
industry is no /exception./ Harbison-Walker //
Refractories Company, the leading factor in this funda-y :
mental industry, has benefitted from'this steady pickup •.

fractories

capital vf bjTlfi'artlTTH

amount

our

•

•/

private business
year is
bright. Adding/-up the
various parts I have just covered,
total

//"excellent record in/providing homes for

Xi:population... .'r:/;'.///r*

improvement * next;

year////|//■ ■ X >X;'/X'• /I/X
...;/ ;= * •, 001 Summary v'v/X'// XX X,

be no different.,

prove to

their

considerable

..../the current increase should

$76.5 billion this year
compared with $69.5 billion. Here

•in demand

during the past

"-/the advent

is how these numbers break down:

of the

With

year.

fiS

//v>: X

year and the
operating rates
furnaces, the growing
new

continued increase in
Billions of S

Hi-xZ
Plant and

--:1961

19«3

35.8

Equipment-- 34.5

Residential

Construct'n 21.0

Inventories

///XiX 2.3

•

12.6

Total
*An

22.5

this

old

Ex¬

has

Nielsen.

line

fractories

Vice-

in
...

the

Markets

cpen

(Special to The Financial.Chronicle)

are

devel- / - •' *.

newly

vital to the rapidly

hearth

with

increasing
steelmaking process.

the

Walker

lining-and
through.
/ ■
•

**■ •<•*•••

Research

Unlisted

Primary

•

Securities

ever

use

represents
^

1|
II

Members

use

Stock

Exchange
Midwest

Corporate Teletype:

•/ly.

WHitehall

1-865

Cable

•

Address:

*•

3-7600

Municipal Teletype:

1-1691

GREGSONS

II
y

have

direct

wires

II
in the following cities:

Correspondents

re-

ALBUQUERQUE

improving tar

BIRMINGHAM

ASHEVILLE

ANAHEIM
BOSTON

CLEVELAND

CINCINNATI

BURLINGTON
COLUMBUS

DETROIT

FULLERTON

GRAND RAPIDS

INDIANAPOLIS

PASO

type of Harbisonmajor product break¬

JOPLIN

MALONE

BEVERLY HILLS

DENVER

NASHVILLE

CHICAGO

DE3

MOINES

FAYETTEVILLE, ARK.

HERKIMER, N. Y.

KILMARNOCK, VA.

HOUSTON

LOS ANGELES

PHILADELPHIA

NEW ORLEANS

PITTSBURGH

PIKESVILLE, MD.

HARRISBURG

KANSAS CITY

MINNEAPOLIS

BALTIMORE

CHARLOTTESVILLE

DALLAS

FARMINGTON,

new

Exchange

,y/r

Telephone

•

American Stock Exchange

•

Stock

//' &/,ee/

7#
/

of oxygen

Constant

York

New

PORTLAND, ORE.

I
1

POTSDAM

the

marketing function Harbison-Walker also is
//adapting fo new customer needs. New types of products
.

300

over

Earl A. Garber

REDLANDS,

Complete Brokerage Service

Comprehensive

high temperature lining for the basic oxygen vessel. In
this rapidly growing method of
steelmaking a unit has
V recently produced a new operating
record.'This, in turn,
attained

refrac- "

bonded basic product. This is the
type that provides the

Stephens Securities

products

Bonds

search work also has produced

was

DENVER; Colo.—Earl C. BoWard*
has joined
the staff of Stephen
Securities Corporation, American
National Bank Building.
He was
formerly with Wode & Co. -

Stocks; and

fundamental

the "demands

There

keeping with this business pattern, Harbison-Walker
maintains the largest technical research function in the
refractories industry. From these laboratories have come
many improved forms of basic brick. These are the re-

President, trading; C. O. Ritch, Jr.,
Vice-President,-sales; William E.
Johnson,; Vice-President, munici¬
pals;/ Ralph
E.
Stevens,
Jr.,
Secretary.* //

Joins

produced,„

Correspondent Network

Underwriters of Corporate Securities * Underwriters of State,

•

Municipal and Revenue Bonds

officers;- Frederic
C.
Beil,
Jr.,
President; William R. Hough, Ex¬
D.

and superior brands;* Silica brick continues to be
replaced by basic brick. Fireclay brick likewise is dis¬
placed by fireclay monolithic materials. Such a period of
rapid change puts a premium on the ability to plan for
and make available both improved and new
products.

change, at a recent stockholders'
meeting, i elected / the
following

ecutive Vice-President and Treas¬

oped

PETERSBURG, Fla.—Beil &
Hough, Inc., 350 First Ave. North,

Soren

///•/>• X/* ,/•/*/ /*•'

'changes in

ST.

Stock

Coast-to-Coast

;

refractories industry, '-along
industries, is going X
a
period involving■*'rapid.'
The - technology of V steel.rnaking and of -other metallurgical. •
processes, is evolving rapidly. In turn,/

Name Officers5 /-

urer;

1962

a/general/move do
X' higher temperature and higher qual/■/ity products. Replacing many of the

Rough

Midwest

The

ries.

refractories

through
change.

by Miss Matulis at the
University of Michigan Conference on the
Economic
Outlook.
Ann
Arbor,
Mich.

members

with its customed

address

Beil &

for

assured;,/
,

76.5

69.5

industrial

demand
/

5.6

-—11.7

All Other

;

CAL.

SAN ANTONIO
SARASOTA

SEATTLE

often require special knowledge and care
during their
installation. To meet this need the company provides a
Continued

page

ROME,

•

...

ST.

LOUIS

SAN FRANCISCO

TORONTO

WASHINGTON

.•

RENO

SAN DIEGO

TULSA

WESTWOOD

SALT LAKE CITY

SANTA ANA
,

UTICA

WHITTIER

SANTA FE

VICTORIA, TEX.

of service men who supervise proper
customer's plant. It is becoming more
important to have refractories inventories available at
the local level. The growth of the warehousing function
confirms this. In recognition of this trend HarbisonWalker in the past year added units to its existing multilocation warehouse system. On the subject of geographic
diversification, Harbison continues to add to its growing
commitments in foreign operations and world markets.
Several new current projects represent ithe part of the,
growing number

"} installation in the

■<

with the
high operating rate in steel in

general business activity,
it is foreseen that a correspondingly high level of ship¬
ments for refractories and also of Harbison-Walker sales

the first half of 1:962 and .also in

;

GERSTELL

this

for

For

1960.

for

example, the United States Bureau
of 1961, the latest available

Pennsylvania and Maryland shipments were
3%. We have two plants there. In. Illinois where we

have

plant

one

shipments

were

; however, that we have kept pace
the markets which

accountable

increased

There
»'

will be

'^centage increase

are

ning of

sales

were

for

slowing

serve

1962.

down

.'6%

commercial

primarily

industry volume of

areas.

moment -the

^prospects for

our

marketing

areas

stronger demand

are

-nation's

im¬

proving steadily. Our backlog of unshipped contracts is

Rated

areas

not

many

and

potential" have been
industries and labor
by all Americans in

increased

awareness

techniques/'77>; "3*fy
7The rtoy' industry • particularly Seemjs laced / Witft:many.
changes. V/In "the- past /decade," it has grov/rf.faster thhh'/
any other segment of comparable age. Yet, it is obvi¬

7 *"

ously

well

we at; the

A. C. Gilbert Company

past

equipped

year

and

ready

has already lent credence to this theory.

Recently formed business associations, will also be

&/ Co.,. Inc.,

Rennert

;

Beaver

1886
V\

■

*.
.

■

•;
^

"7-

•

Stl," New York. City, * is 7
offering publicly; 144,000 common/'
shares of Dixie Dinettes, Inc.,. at/.

.
.

"I"

"■

A-

V ;

$5 per share. The shares are being

''"r "■

Y-'
...

■"

:*-•

' -■: ■/: V:": •
\
c:' . .
'v--—*. ,'i •

sold

-f't,

the

for

stockholders

thereof

Over Three

•

account
and

will

Century

of Experience in Undenvriting

tables

and

chairs

for

Rd., 7
variety

Over 100 Selected Stocks

quahtitymf commercial restaurant 7
furniture. Sales for the year ended
June
30, 1961, totaled $4,179,758
,

and

•

earnings $337,008 against
$3,784,719 and $121,945 in 1960. •

Kessler, Stanley Formed

been

Evans

W. E. HUTTON &
.

with

Building

securities

offices

engage

business.

Officers

;

W. E. HUTTON INTERNATIONAL INC.

•

(calculated

free copy,

list of

currently ranging

com¬

up to

1961 dividends). If you would *'<

just write or call for

FC76.

7;.

are -

President; BruTreasurer;
and
'Vice
President
and Secretary. All were formerly
with R. Baruch & Co.
7

•
Bhiladelphia • Baltimore • Dayton • Columbus • Mansfield,
Lexington • Easton • Hartford * Portland • Lewiston • Bangor
Biddeford • Burlington • Washington * Hackensack • Wayne

Rome, Italy

discussion of

Kessler,
nell
Whitledge,
Stanley Berger,

CINCINNATI

•

and

stocks with returns

or more

;•

Monte Carlo, Monaco

Hornblower
Members New York Stock

Boston

London, England

than 100

mon

the

Isadore
•

and other leading exchanges

NEW YORK

formed

Our first 1962 Market Letter contains
business prospects

net

WASHINGTON, D. C. — Kessler,Stanley, Whitledge & Co. Inc. has

Exchange

1962?

use

kitchensmnd dinettes, and a small

Corporate and Municipal Securities

Members New York Stock

Outlook for

the. ;

Dabney

Richmond, Va., produces
of

;«,

certain

proceeds :

7'77,7.7:-;7

Dinettes

Dixie

accrue

company,/'

Quarters of

-.no

NEWARK,
Si:

Mautner
in

securities

business

from

of^

Lustgarten,

and Paul J. " Mautner,1
Secretary;and'Treasurer.^
7
President;

5/;

York 17

320 Park Avenue, New York 22

Dl 4-6600

PL 1-1900

PL 2-4200

fices at 1186 Raymond Boulevard.

Officers 7are 5 Robert

Plaza, New York 5

*400 Madison Avenue, New

N. J. — Lustgarten,
Company is engaging

Weeks

Exchange and other Principal Stock Exchanges

One Chase Manhattan

Lustgarten, Mautner Opens

Offices Coast to Coast

"Open Thursdays

until -9

They 7

major factor in achieving the goals we have set.

Common Offered
Rubin,

" 7

to attain a better than
average share of this industry expansion, through more
aggressive marketing of new and exciting toys, as well
as those of proven value, j The introduction and enthu¬
siastic reception of two new product lines within the
are

Dixie Dinettes
m

3j
-

the threshold of even further progress.

7;; I firmly believe that

jet engine-powered electric generator.
10,000 kilowatts, it will be able to reach full

the

few moment's notice, supplying additional
electricity to the system during peak load hours. Plans

power

Some

1961

trend

first

and

.'"7/'--7

' •
: ■
7i& : al-^^.T^"^
7
ready demonstrable ih more: discrim- 7, •. / 7
\ -J 7
<
mating consumer demands; There is a growing market for better made products. = This, We feel/niust; bring/ 7
aboiitidyiiamie and f ar^eaehirig/ehahgOs 'irr;ma£Meting/ *7 -

under construction at our South Meadow Station is the

at the

are

and

This

,vv';
many reasons to believe that this situation
;;7~" In order to meet growing power demands, the Com¬
reversed for the coming year. In 1962 I expect
pany continued to expand its electric facilities.
Now

predict dor "the industry. In

upward

lives'.

are

Alpha's increase in <b.usiness to be better than the 4%

;;7
7.
-.
"coming of age", will un-. ;
.doubtedly serve to better equip us
for larger and more profitable, and 7'
responsible- roles,, both in the field
of economics, and in our
<personal/,/m

residential 7

output

customers,

GILBERT, JR.

evident in

been

general.-,

heaviest7 relative

the

economy.

nation

7 Such

industrial 7
higher.
business 3ein--y

portionately higher.

has

groups,

gains,- ,
R. A. Gibson
with MCF sales up. 18%,. while in-: :
dusfrial MCF sales rose 14% an4;77';77
CT'
(
residential 9%. Revenues, from these sources were projoyed

abilities

and

gas

in a spirit of optimism, we at the A. C.
truly look toward 1962 as the begin¬
growth era.
.
.
r' ■ ■/ 7 ■ 7;'
"/

made

in Con¬
.V 77

kilowatt-hour sales were 4%

Our

growth industry and once

yet rid of the
effects of the 1960 recession period,
but a realistic assessment of their,

are

(8%)

President, A. C. Gilbert Company,

There

or.

/•

whole in the 1960s is favor-

as a

Gilbert Company

Commercial sales of

12%.

ment of purpose

electricity registered the largest per- .7.

3%. rWeVbelieve,

The losses

indicate

great

new

Light Company

both active,,
expanding in- V
dustries are adding to employment.
/
Both electric and gas sales for the ;
year 1961 reached record .levelsla's-,
kilowatt-hour sales of electricity rose 77
by 6 % over 1860, and gas /send, out' 7 •
several

?./

to require about :$45 to .$50

records

new

;

"While the New Year is traditionally a time for restate¬

consumption that

favorable

looks

area

the

expansion, of

normal

for

V./* -7/7:7/ •77-'-77-- 7'" •'
A.

is bright.

vitality in; a
Residential and .;

economy.

commercial building

with the competitioh in

of lessened

reason

.7 business in those

serve.

off

shows

growing
and

set

national

seem,

industry

continuation of the upward trend of

necticut

will

again

revenues.

the

and

It will continue to be

able.

the end is

dark clouds on

some

are

the rate of growth, most of the area

10, months

In Eastern

there

service

our

estimates

the

addition, to

new

;

financing in the period 1962. to 1965.

new

and the utility

R A. GIBSON

business in

figures, show that District shipments in New York and
Maine were off 13%. We have two plants in New York.
off

the

The outlook for The Hartford Electric

Hartford- Electric Light Company

The outlook for

Mines

steady/ solid

President, The

the prior year.

1961

million in

;

■

the next decade

over

J;v:||I||

picture

than

outlook

only when earned by in¬

greater per capita

the expected

and

must always'- bear in mind the industry
in the area where the company, markets its
product. Comparing the performance to the national pic¬
ture can be misleading. Unfortunately many Alpha plants
are located in areas where industry's shipments were less
ance,

for

expenditures

Station

Middletown

population, the many new uses found for our product,

Alpha's shipments will be approximately 7%^
less than in 1960.
In using industry performance as
a
criterion
for
evaluating
a
company's
perform¬
For

center

Construction

Would that future wage agreements

sight.

high speed computer will be located.7
v
is being, cleared in the Glenbrook-varea. of
for construction of a new electric and • gas

designed to handle operations in Stamford and Darien. ; Completion is expected .late in 1962.

horizon, I firmly believe in view of the explosive

the

word about the industry's performance.
By
19bl it should ship approximately 322,000,000
barrels—the second best year in history. This represents
a 3%
increase over 1960.
Our own long range planning
department believe that for the coming year the indus¬
try will sell 335,000,000 barrels, roughly a 4% improve¬
over

consecutive years, and

sixteen

Ground

service

granted increases to its hourly

has

While at the moment

year.

First, a
the end of

ment

Alpha

creased production.

confidence than in the past two
years.
It should be a better year volumewise not only
for the Alpha Company but for the industry as well.
Over-production, higher wages coupled with extremely
savage competition may hold earnings to approximately
same

electric system are expected

Stamford

continue to plague

demands of labor

would call for increased pay

1962

with considerably more

the

for

not in

still

cement shipments in

made for

can

fact,

workers

President, Alpha Portland Cement Company
Predictions

advisable.

show it. is

studies

-..

GE 225

existing facilities; enlarging sarhe where

our

inordinate

The
us.

market

our

will be attained.

ROBERT

the station's present capacity. Cost of the
about $25 million., : - 7
-7.7 \\
'
'
In other construction, a separate accounting building
adjacent:to vthe Company's general office building .in
Wethersfield -is /nearing
completion,
All . accounting.:
functions will be handled in the new-addition where-a

the

7 certain

a 220,000
1964, mote

construction of

Returning to vthe domestic business outlook:
general expectation of .a

plant's capacity. ' Due/ to certain legal;
measures, it will probably be mid-summer before ac-;
quisition 'can be had. This is the first step in Alpha'slong range plan for growth/ For the immediate future *
our
efforts
Will probably be confined to improving

growing

leading refractory company in the United .States
involvement in the world picture;

the

to Middletown Station for

unit will be

new

located near Orange, Texas. The 7
company ris
now; in receivership.
It- has an annual'
capacity of approximately 680,000 barrels; An exhaustive
study is being currently made by an outside firm of •
consultants of the Texas and Louisiana markets'which. /
it serves. If it confirms our own estimates, we plan to
land Cement Company

enlarge

Thursday, January 18, 1962

than doubling

acquire the Texas Port¬

recently made an offer to

kilowatt addition

of last year.
^

announced for

also

were

similar period

encouraging, in fact, better than for the

47 7

Continued from page

•

Commercial and Financial Chronicle

The

(316)

Volume

195

Number

6126

The Commercial and Financial Chronicle

(317)
will

enable

and

experience

call

upon

hitherto

unavailable talent

increase in the average size of
families, more and more
families are adding a second and third bathroom to
their homes, thereby increasing the demand
for pipe.
A third factor is the
increasing number of

allied recreation-industry fields for
powerful, well-rounded merchandising
policies in keeping with the consumer needs now taking
shape.
the

creation

At the
of

With

time

same

product
items

which

homes

intend to pursue a vigorous course

expansion

those

and

will

acquisition,

complement

our

view, we believe that 1962 holds every
beginning of a whole new era for the
A. C; Gilbert Company.
We also believe, that in plan¬
ning for the coming New Year,; others will see in it as
bring all

aims to fruition.

our

because

GONDELMAN

nature

of
in

large

fast

All

families

modernize

and

The vigor with
the

ated

for

reason;1

the

increased

house

the nation's
families

come

for

rate

low

and

soil pipe this
the entire

middle

1962.

Business

importance,

Sidney Gondelman

can be realized
with
maintenance

apartment
systems, con¬

the

decided impact

creasing

with

new

reflected

are

level

orders

With the continuing

JACKSONVILLE, Fla.
Charles
been

CO.

Exchange

and

Other

Paul T.

—

York

Exchanges

MIAMI BEACH

Newark

consumer

undue

strain
are

can
on

spending and
be absorbed in the
industrial capacity.

now

operating at an esti¬
capacity which is not high at this
business cycle.
It compares with 92% capac¬
ity use in 1955 when the economy was
similarly in a
strong upward phase. By mid-1962, the
economy should
be operating at somewhat in excess
of 85% of
capacity.
No business expansion
proceeds far without expansion
in the capital goods sectors.
Looking ahead to mid1962, I believe we have the fortunate circumstance of
mated

82%

of plant

coming need for expanding capacity and that capital
spending at that time will provide the stimulation to
the overall rate of activity higher.
The last major
boom
in
plant
and
equipment expenditures, which
occurred in 1956-57, was from a base of
92% capacity
use in 1955 and 86% in 1956.
As

compared

with

earlier

business

cycles, however,
insuring that we will, in
fact, fulfill the requirements for continued rapid growth.
The level of unemployment is still over
6% seasonally
adjusted which is near the post-war high.
This rate
will undoubtedly decline
during the first half of 1962
but to bring it down to reasonable levels will
require
there is

greater need

stimulation

Thus, the key to

remove

now

capital

for

expenditures.

some
are

obsolescence.

tax

There

need

policy, particularly

for
recognition of
relating to depreciation

generally

Continued

Fund

page

Underwriters

Management Companies

Dealers

Corp.,

LONDON

elected

AMSTERDAM

Service:

Fort Pierce

MARKETS
Christiana Securities Co.

•

Vice-President.

Burris

became

Vice-President,
Wilson,
Jr.,

As¬

and

Unlisted Securities

Assistant

Laird, Bis sell & Meeds

City,

New

Beach

York
York

Stock

Lake Worth

and

members

William

the

Exchange, have

Edward

Members New York and American Stock Exchanges

120

Co., 70 Pine St.,

New
Miami

Admits Two
Kean, Taylor &

Washington

PRIMARY
Bank and Insurance Stocks

Corporate & Municipal

Treasurer.

PALM BEACH

GENEVA

Investment Companies

St., members of

Stock Exchange.
Murphy, III has also

Distributors

Small Business

York
R.

Erdman

Wulbern

Adams

admitted
Palm Beach

Mutual

Kean, Taylor

New

without

Manufacturing industries

this

Teletype: N.Y. 1-210

;

Direct Wire

half

ment

Peter Grace

Vice-Presidents

Carrison,

New

John

STREET, NEW YORK 4, N. Y.

LAKE WORTH

of the dis-incentives to capital
expen¬
living in an age of rapid technological
change characterized by higher rates of plant and equip¬

Thompson, formerly
Vice-Presidents, have

West

sistant

FORT PIERCE

increasing levels of output could

sectors,

first

ditures.

elected

Pierce,

been

H I R SC H

NEWARK

that

in 1962 without much
price inflation. Look¬
capabilities of the economy, it appears rea¬

Nielsen, Edward R. Wulbern and

David

WASHINGTON

ing at the

will

Pierce, Carrison
Appoints Officers

the

in¬

orders,
''Inonths

increasing rate of output.*.> In
addition, inventories can be regarded

222

Telephone: HAnover 2-0600

the

recent

Corporate and Municipal Securities

BROAD

unfilled
in

Assistant

above

healthy level of growth is a higher
rate
of plant and
equipment expenditures, not in a
vacuum
of depressed demand but in consonance with
continuing expansion of consumption.
These require¬
ments can be met, I am
confident, by legislation which

running approximately 3% ahead of
shipments.
This, of course, implies

Stock

noted

sonable to expect that increased
demands from the public

manufacturing sector, favorable

prospects

Underwriters, Distributors and Dealers

York

be attained

the

now picked up and is
reinforcing the business upturn.
In

Since

■'

New

ex¬

at least through the first
1962, are compelling.
Con¬
spending, after some earlier

hesitation, has

in¬

Complementing the increase in apartment .building
activity, is a growing trend among home owners to

Members

that "

believe

sumer

cost,

modernize and enlarge their homes.

half of 1962, the level of
activity in the
will likewise be favorably affected
by higher
levels of government
expenditures as the defense pro¬
gram hits its full stride.

excellent

pansion,

which the economy has recovered from
is encouraging for the business

half

housing

moderate

first

Co.

recession

price stability.
Currently the factors favoring

upswing should have

industry.

pipe
in 1962.

GRACE

thisy expansion

pf the biggest single markets for cast iron

one

soil

reasonable

buildings, with their .extensive plumbing

stitute

iron

cast

its best years

conjunction

acceler¬

construction

the 'demand

meet

one

and the economy generally
position to attain increasing levels
output throughout 1962.
Of par¬

ticular

cast

for

••'apartment
"for

thereby swelling the de¬
iron soil pipe.
The

pace,,

mand

1960-61

outlook
are

last Autumn, gives every indi¬

continuing at

that the

mean

look forward to

the

carry

a higher level of business
industry in 1962.
First, the'increase in apartment
house construction, which got under¬

should

thereby stimulating the demand

pace,

recoveries.

economy

phase of

pipe.

these factors
can

of. research
personnel
because, of the number and

PETER

the

cation

number

President, W. R. Grace

expecting

way

healthy state.
Inventories in relation to sales are at
the lowest level in almost two
years and compare favor¬
ably with trends in previous postwar

additional

have

expand their living quarters;;s
Basically, there are five reasons for
for

forecast, but from the general

desire

build

projects undertaken.
building construction in 1962

office

continue at

industry

which'

research

moving into a peak construction period, the cast iron
pipe industry will benefit not only from the higher level
of residential,
commercial and in¬
construction

continuing

quarters and

of the

Finally,

Company

the

for cast iron soil

dustrial

•

improving

The outlook for the cast iron soil pipe
industry for 1962
is possibly the best in its
history.
With the country

been

Research laboratories usually have
extensive plumbing and sanitary
disposal facilities, both

President, Central Foundry

means

competitive position.

housed

SIDNEY

This also

plant and research facilities and to expand those
pres¬
ently in existence.
Companies are aware that research
provides the key to cost reduction and

do, and share in the constructive efforts to

one-family
two-family occu¬
bathrooms, kitchens and

being converted

are

plumbing fixtures.
Fourth, industry

this

which

pancy.

providing for
existing line.

promise for the

much

tttvtffyIWSr

Burnett

Cobden

nership in the firm. Mr.

part¬
Cobden

BROADWAY, NEW YORK 5, N. Y.

Telephone BArclay 7-3500
WILMINGTON, DEL.

Bell Teletype NY 1-1248-49

PHILADELPHIA, PA.

SALISBURY, MD.

NEW

SALEM, N. J.

DALLAS, TEX.

HAVEN, CONN.

DOVER, DEL.
ZURICH, SWITZERLAND

is manager of the firms

municipal
department; Mr. Burnett is
municipal bond trader.
bond

STOCK

BOND

BROKERAGE

Form J. W.
As of Jan.

SERVICE

members

the

Exchange

Toomey Co.

J. W.

Toomey & Co.,

New

York

formed

was

Stock

with

fices at

120 Broadway, New York
City. Partners will be John W.
Toomey,
general
partner,
and
Mary H. Toomey, limited partner.
Mr. Toomey was formerly a part¬
ner in
Vaughan & Co.

for Banks, Brokers and Dealers
UNDERWRITERS and DISTRIBUTORS
of CORPORATE SECURITIES

Schweickart Co. Admits
Schweickart

Hardy & Co.
Members

American

Stock

New

Exchange

Broad Street

MAIN

ST.

MEETINGHOUSE

&
543

MADISON

CLINTON

LANE,

AVENUE,

Teletype NY 1-733

SOUTHAMPTON,

NEW

YORK

22,

Stock

L.
Y.

AVENUE SOUTH, ROCHESTER, N. Y.

I.,

Benjamin

will

AMERICAN STOCK EXCHANGE

41 e. 42nd street. new york 17. n.

admit

Exchange
Arthur

Smoler

YUKON 6-6700

Smoler

limited

partnership.

Lee

MEMBERS
NEW YORK STOCK EXCHANGE

Co., 29 Broadway,
City, members of the

and

New York 4

Telephone DIgby 4-7800

York

Ross, LYON & Co., INC.

Jan.

Members New York Stock Exchange

York

New

p:>:

of¬

Brokers

•

Dealers

Underwriters

Higginson Names

HARTFORD, Conn.—Lee Higgin¬
son
Corporation has announced
the-appointment of Raymond E.
Humiston, Jr. as manager of the
Hartford

office,

Pearl

Street.

lYwsS

«"■

The Commercial and Financial Chronicle

(318)

Continued from page

49;.

If business is permitted to charge

charges.

off capital

foreign and domestic, research has been given much new

expenditure for tax purposes in a realistic manner,^ex¬
pansion can continue at a rapid pace well into 1963.

emphasis, with the result

have, in the last two or three years particularly,
been faced with the fact that economic development m
this

extent and should

be considered apart from what is
the world generally. The problem of the'
of payments is now a familiar one and
be considered in any appraisal of the 1962 outlook.

•

balance

must

prosperity in this country, demand for imports is
to increase.
At the same time with a possible
lower rate of economic growth in Europe, we may be
With

in expanding our exports.
As a consequence, we may be hard pressed to maintain
the kind of favorable balance ;in our trade which is
essential
if
we
are
to meet our responsibilities vfor
foreign military and economic aid.
We are faced with
a pressing challenge.
It is one which is shared by busi¬
ness
and labor alike.
Demands for wage increases in
excess of
the rise in productivity that would lead to a
renewal of inflationary pressure, could defeat our goals
of economic growth and affect the ability of this coun¬
try to provide free world leadership.
Thus, at the same
time that we are expanding our output internally, we
with

must

greater difficulty

improve our competitive
sectors

the

with

of years

short
<

will

/ ■'

-*•

-a. *v

;

On the basis ,of such activity noted

see

••

con¬

industry, together with many other segments
of American business, is finding itself in a cost-price
squeeze that is having a serious effect on its profits, This
is

represented by months
is clear that progress has

provided

of our

for

1961

show

that

'62.:Early estimates
consumption rtotaled about
compared with 1960's barrelage of

million

total

the

coming

somewhat.
r

President, E. I. tlu Pont de Nemours & Company
Short of

some

American economy
the

to successively greater heights over

past few years should fail .or diminish substantially
the immediate future.
We have

demonstrated,

think,

only

not

well

capacity for continuous enlargement
of

economic horizons but

our

defense

sistent
trends.

The

against

and Toledo

linas

began, for
example, with a recession, which
hacpily' proved to be one of the

mildest in
end

was

our

the

every

have entered

demand

our

has

inventory in South Chicago to

assure a

mium

quality source of brewing's prime ingredient,
barley. While our financial position is strong, this
accelerated expansion and acquisition
program has made
some inroads into our
working capital. As a result, we
have bolstered our cash and
working capital position
through an extension of a loan with Mutual of New York
malted

the scope of
competition has been
in 'the number of

greatly extended both
competitive products and in the en¬
competitive activities. We have, for 'ex-

from

$5.9 million to $10.9 million,

yv.Y-Y..

There's optimism at Falstaff. We're

Now

enlarging

Kaufer, Raff & Co. and offices

Corporate

located at

now

19 North

material
or

-and

SAN

Auchindoss, Parker & Redpath

Investment

Executive 3*5900

Jr.

Bethlehem
Newark

our

re¬

New Canaan

pottstown

six

months

normal

when

with

levels.

year,,

The

offices

not.

opinion, if American industry is going
force,

and

requires

going to provide the taxes

its budget, it is imperative that
prolonged period of stable costs, free

additional

any

those

government

maintain

industry have
from

the

which

have

cost

increases, in which to digest

already occurred.

continuation

Active Markets in all Local Securities

are

CHRISTIANA

including

SECURITIES
'

Syndicate Dept.-—Duncan Miller, Mgr.

has

Trading Dept.-—Harold A. Clouser, Mgr:
Municipal Bond Dept.—O. Chester Jones, Mgr.

111

firrh.

of the

Commerce
a

;

Alan

Falls Church

MEMBERS

Exchange

Midwest Stock Exchange

WILMINGTON

Nemours Bldg.

:~'t; Bassior Branch

RIVERDALE, N. Y. —Bassior'
Company has opened a branch of¬
v. r.-

American Stock Exchange

Chicago Boartl of Trade

Commodity Exchange, Inc.

principal of the firm.

fice at -217 West 231st St.

Wilkes-Barrf
Montclair

•

New York Stock

Street.

Company

CORPORATION

NEWARK, N. J.—Sponsor Secu¬
rities Corporation is conducting a
securities business from offices at

99,

DELAWARE
Delaware Trust Bldg.

•

Bell

increases, be it in .the form of hourly wages,
fringe benefits or any other type of increased cost, will

to engage in a se¬
business.- Thomas Cordry,.,

principal

are

economic

to retain its competitive position at home and abroad, if
it is going to provide jobs for our
expanding work

Harrison

Company

raw

customers

LISTED and UNLISTED SECURITIES

;

last

inventories

Laird

Segal is
Baltimore

during the first six months of the
the

In my humble

Form Sponsor Sees.

1705 H Street, NYW.

HA no ver 2-7430

Philadelphia

Street

curities

principal exchanges

Washington

Broadway

boom

bust,

strike is averted at the last minute

Members New York Stock
Exchange

York

phenomenon

new

effects on the industry, its employees and stockholders,
.and the country as a whole, will be serious whether a

FRANCISCO, CaL—Retire¬
formed

Sutter

New

injects

Form Retirement In v.

been

Tvve

squeeze and

DELAWARE BANK STOCKS

ment

and other

profit

hand to last one, two and even three months
If allowed to run its course this situation will

reducing

Street.

Securities

''■

more.

assure

Municipal

and

<■

!•

pur¬

Grunberg, Bellomo

ORANGE, N. J.—The firm
name of
Grunberg & Co. -has been
changed
to
Grunberg, Bellomo,

annual, cost

EAST

Underwriters and Distributors

prices of goods and services

instances customers expect to have sufficient

many

constant and pre¬

others.

The present labor contract expires June 30th, 1962. In
anticipation large and small users of steel mill products
are in the process of
building up sufficient inventories to
outlast the possibility of another prolonged '.strike. In

adversely

into the economic picture of our country.

product in increasing quantities.

malting business now, tco. Just this past summer we
purChased tf)e Albert Schwill, & Co malting plant and its

from

tuated the

made

anatomy.
r-.
Competition in all sections of in¬
dustry remains brisk and aggressive
C. H. Greenewalt
and
will
undoubtedly continue to
V
increase, with commensurate benefit to the consumer.
Not only is there intense
rivalry between producers but

but has

These facts, together with the request of the President
of the United States addressed to the twelve largest steel
producers to refrain from increasing prices, has accen¬

Florida's east coast, and in the Caro-.

calling for

has not only

excess

inflation

necessary a major V
and
program which is adding to our
production facilities at a number, of plants: In
Galveston,
for example, a
soon-to-be-completed expansion program
will double the
.capacity of our plant there. Other expan¬
sion projects are on the
drawing boards. We're in the

It
was
a
heartening performance,
emphasizing once again the basic
vitality of the national economic

largement of

have occurred in /the
chased

costly,.Y'. expansion.

history. By the'
business activity

index at record levels.

are

This

entire

year,

the demands of the markets

domestic

our

resulting from the settlement of the 1959 strike, during
1960 and 1961 have totalled approximately 390 per hour
exclusive of cost of living. These increased costs have
been absorbed together with the increased costs which

the past year. Already our brand hew markets in
Detroit

per¬

downward

1961

year

Prices of steel mill products have not been- increased
.since 1958. However, wage and- fringe benefit increases

consider the bumper crop of young
people coming of voting
; and beer- *
drinking age each year.
;
.
:
Bright as the brewing picture is, it

ing and highly competitive selling job.
'Joseph Griesedieck
For -Falstaff,
consumption has been Y
Tising somewhat faster, in our 28-state sales-area than
that of the total national average
during recent years.
We see this trend
continuing next year,-too, and are get¬
ting set to handle an overall expected sales increase as

major international upset, I see no reason
the confidence which has carried the

substantial margin. The

ability of the industry to compete in for¬
eign markets. It has also been a factor in disrupting the
.economic balance between competing products and has
opened the way to a steadily increasing importation of
.foreign steel products.
/Y^-<-'Yy7

is not without problems. -Like some
..other industries, -the
brewing indus- i
try is faced yfith an overcapacity sit- V
uaticn which makes for a continu-v

that

believe

the steel industry is concerned, the increase

tivity by

Findley Griffiths

influenced the

year

group,:

In employment costs has outstripped the -gains in producf•

trend

should

.;a

contributed

continues,'Ameri¬
quaffing about 92,-;;
000,000 barrels annually by .1965.
These estimates are based
purely
on
industry trends, and do not even

hemisphere.

CRAWFORD -H. GREENEWALT

f
•

Insofar

y,
.

barrels will be added to the

and, if the

cans

riencing

its gains

ni|ll

Ydustry ranked 32nd among the 41 manufacturing industries
returns on net. assets.
;itripc in I960 -returns on net assets,
YY-Y ' J
- "
s

national

88,00.0,000 barrels,
87,469,000. We estimate that another Y

in Europe, conditions should be reasonably
favorable although the rate of growth may be somewhat
rapid as that continent is now, in the main, expe¬
labor shortages and may have to consolidate

•

according to- the -.First
National City Bank of New York, the iron and steel in-

America's brewers have closed out another banner
year,
and expect to sell even more brew in

Likewise,
less

•

per hour in 194Q. tp;/:
over-.the^>^^-Per_^°^r'•
• *n ipcJe^se
;
or quarters.
On this
322%; puring the same period, the
been excellent and, >/ Bureau of Labor Statistics wholesale

President, Falstaff Brewing Corporation i

with the leadership
by the Alliance for

half

southern

the

vital

every

to our

Progress program, it can be expected that more favorr
able conditions for investment and profitable operations
develop

........

.:.individu)al, -ana.v
particularly to our government, if
our country is to retain its leadership <
*

we can

national

assistance

should

that

matter

ih theu*> c°hcem(- to.

1961.

increased

President, Acme Steel Company

;

howeverj

area,

The steel

the most important YvYSte^
prospective economic behavior over, a period Y Gf oS
or decades, rather than that recorded

business,

GRIFFITHS

business

substantial rise in the use of

Latin American businesses,

•

FINDLEY

avoid war or unwarranted actions undermining *v price index of steel mill products in¬
creased from 67.6 to
187.9—an in¬
confidence, should continue to be satisfactory.
crease of X78%. Steel company prof¬
This applies to both the private and public sectors of
its
the
during this same period have/
economy," neither
of which
would
seem
to
be
;•:*
fluctuated between a low of 2.7% of ;
neglected in the apportionment of national attention.
sales in 1944 and a high of 8.1% in
1950. In 1960, the figure was 5.7%.
JOSEPH GRIESEDIECK
if

1962 at the same high level attained in

Agriculture in
our

....

term

basis, it

capacities and thus anticipate favor¬
profit trends.
In the fertilizer business, we would
expect demand to approximate the favorable level of
1961.
Farm income is estimated by the Department of

will

-the

factor

chemical plant

and

advance.

Yin

able

' j

predictions indicate that 1962 will show

outpace

generally, we
our

V /

continuing goad to effort in

anticipate that the chemical industry will
the rest of the economy and that
kind of growth anticipated in the economy

spot in sales.

one

quarter of 1961, spread rather; broadly across
•
product lines, the outlook for a high-level year in 1962
is bright.■ <■':
Y'Y -°f the Western World.- /;

position abroad—this is
1962.

of special -interest

economy

provide

number

Closing

company,

continue

the

Most

perhaps the greatest economic challenge of
In

en¬

tinuing rise, perhaps to the highest; levels of all time.
Our own experience in recent months would seem to
substantiate an optimistic view of the year ahead. Sales
in the chemical industry often serve to reflect the state
of the general economic welfare, usually some months

fikely

faced

field.

every

cannot

country

happening

that the lead time once

and development program, and
our -plans
are
complete for an aggressive marketing program for the
coming year. We are shooting for the kind of future in¬
creases in sales and service which
will carry us to our
ultimate goal
national distribution and the nation's

joyed by innovators has been sharply reduced. It would
appear that competition will be with us to an increasing

ample, .exceedingly vigorous competition irom .-foreign
manufacturers, and in most, phases of industry, both

Y.'•

Thursday, January 18, 1962

Telephone OLympia 6-7741

Teletype-WL 89 & WL 486—Private Telephone
Direct Wire to
New

~
to

Philadelphia—SAratoga 7-4733

York Office 61

Broadway—Telephone BO 9-4900

New York

Office

Volume

only

195

Number

6126

The Commercial and Financial Chronicle

to weaken the ability of American

serve

Government

industry :

(319)

treatment.

The year

1961

saw

great deal

to compete abroad and at home. The ultimate result will

of activity by the railroads themselves along these

especially in the East, but little in the

further

Weakening of industry in general, greater,
unemployment,';and lower government income.
■
.v
a

the

ALLEN

GKEENOUGH

Rail

carloadings

for

the

continuing

recovery from the nationwide reces¬
sion of 1958, which hitvthe Eastern

railroads especially hard.-Another Is
the

need

for

adequate user charges, the unfair and dis¬
state .and'local taxation of railroads, the
carriage and the agricultural and bulk

criminatory

commodity ^exemptions,

continuing/growth of
piggyback/ which has been bringing

service. The session

considerable

national and

expected

business * back

rails. The third is

press;

the

hopeful

are

local

it will

levels;-'

bear results both

;

affirmative
and
practical
by the, railroads to help them¬
/
'

■

sum

1961

up:

for the

industry generally. But-,any permanent ^nd

significant gain
ment

come only from tangible improve¬
climate, from relief in the matter of

can

in regulatory

featherbedding, and from progress toward constructive,
efficiency-producing mergers. Only jafter. these have been
accomplished can the rails resume their rightful .place

in the nation's

and- the problems of suburban"
widely reported in the nation's/;

was

somewhat better business in-the first six
;months of the year should make .1962 a better
year than

effect Of private

take

these efforts

selves.

This put

causes.

should

attitude in

situa-.
clearly into the
record,-with complete supporting data,' the -; economics*of the situation,-the effectmf subsidized competition and,
tion in the-East-and its

the first half of 1962 should be
modestly better than for the corresponding period of
1961.
Three forces are expected to contribute to this
^

welcome but limited improvement. One is the

companies. ,Here .again the Govern¬

ment

by Government, the rail-^
clearly what needs to be done. Last,

October, for instance, the governors of Eastern states,
invited-and ,sponsored a - presentation by the Eastern?
Railroad Presidents Conference on the serious rail

of results.

way

West, and directors of the Pennsyl¬
..are studying the
possibility

vania and New York Central
of merging the two

matter of treatment

roads have outlined

President, Pennsylvania Railroad

and the other in the

lines,,

economy.//

the;

;

:-■■

GEORGE 'GUND

•

y'..y
President, The-Cleveland Trust ,Company,
;
Meanwhile, it is only accurate to note that the industry,
Cleveland, Ohio
/
is still being studied to -death and
reported to death;; -The year 1961 has witnessed a/vigorous
recovery from
what is needed is action/One ^hopeful
the recession in 1960/Business
sign that such
activity, as measured by
action is near was the growing
recognition during 1961/ -industrial production, turned
.up^ last March and is now
of the need for public support for
around 12% above the low point.
money-losing com¬
^Recovery has been
muter and. suburban, passenger services that
communities
widespread and is apparent in conwant continued. Solution of this
problem -alone would
struction, employment, retail sales,
save ,',the
Pennsylvania the very substantial amounts
and
other barometers. ; One

probable build¬

in steel inventories,

anticipatory

of the -labor negotiations in the steel

industry, where the present contract
expires on June: 30. '
•
1 :
1"
Beyond the first half of. the year,
the business outlook for the railroad

industry

extremelydifficult

forecast. The
the

dramatic

expansion

national/economy predicted

the 1960's has

Allen J. Greenough
yet to materialize, and
there appears to be enough
produc•
tive capacity in most industries to meet foreseeable con¬
sumer

needs without any substantial

spending for

increase in capital

of the present

picture, and
means

problem of "featherbedding"
which cost the Pennsylvania

that

can

labor

and

solution
;

;

■

;

this

long-standing
>

/ •

and

were

each

hearings

concluded

the

East, the South and the

are

in progress

West.

exceed
the

-imv,..

a- 'jcn-

Inc.,

formulator

ucts,, has

billion

and

mark,

wilb be

all-

whole.

may

major

mental

pass

compared
1961.

The

shared

by all three of
components
of
GNP—

consumer

spending,
outlays.

The outlook

business

George Gund

investment,

is favorable .'for sizable

and

govern¬

advances

con-

Continued

on,page

manufacturer

aerosol

prod¬

Pisti/ll.Inc.

an¬

nounced

that

Duncan Miller
and

■;Members American Stock Exchange

Richard

IN ALL

set
as

Conn.: — H. R.
president
of
Aerosol

Shepherd,
and

DEALERS

billion

$550

$560

/the

one

year-end,
in the East

two others, one

should

BRIDGEPORT,
Techniques,

BROKERAGE SERVICE/FOR

year

with about $520 billion in

complex

transactions,

remained

Named Directors
-tntihiO-j

GOLD, WEISSMAN & FRANKEL, INC.

new

record for business

'•rise

major

has

'Gross National Product for 1962 will

three

The
time

sion

the .ratio

earlier months.
::

management, it is logical to expect
findings will lay the groundwork

since

virtually unchanged throughout the

mergers, the industry itself moved forward in
1961. Hearings before the Interstate Commerce
Commis¬

big hope of the industry for 1962 is that it will
bring tangible progress toward mergers and reform in

•

note,

idles

million

States

problem.

The

—

work

$50

investigated the problem during much of
is to report early in 1962.
Composed as it is
distinguished- representatives of- the public and of

for"

highway, water and air transport.

BANKS

nearly

and

railroad

genuinely compete for business with

—

outmoded

alone

/that the Commission's

discriminatory tax and regulation

BROKERS

—

A commission appointed by the President of-the

year.

United

*1961

of mergers,

systems

recent

businesslike reshaping of the industry,' by
.into a small number of efficient rail

forced to spend

now5

yearly subsidizing such i evidence /of improvement was the
public services in the New York, Philadelphia and Pitts¬
marked drop
in November in/.the
burgh areas.
/ratio of unemployment to the total
*
// Tangible-progress is-also hoped for in 1962 on the
labor force. This provided a cheering

new

construction/However, the year as a
whole should show .some
improvement over 1961.
Meanwhile, it must be recognized that even a con¬
siderable pickup in business cannot by itself restore the
industry to full financial vigor. That can be accomplished
only by a combination of improved business, a complete
reform

whioh it is

of
for

;Schneller

have

been

named direc-

tors

UNLISTED SECURITIES

Mr.
who

BROADWAY

•

NEW

WHITEHALL 4-1800

YORK

4, N. Y.

the

Brokers—Dealers

company.

Miller,
is

TELETYPE NY 1-3751

charge

Urider writings

vice-

president

and Private Placements

the

Primary markets in Special Situations

underwriting
syndicate
departments
and

///////////////////////////////////////^^^^^

Laird

Co.,

also

Duncan Miller

director of the Oklahoma Cement

1930

1962

Co.

50 Broadway, New York 4, N. .Y.

Communica¬

Electronic

and

tions.

TRADING

Mr. Schneller is president of the
Verplex Co. of Essex, Connecticut,

MARKETS

He is also

Telephone: WHitehall 4-4000

Teletype: NY 1-4479

Cable Address:

Ricpistell

trustee of the Univer¬

sity of Connecticut.
in

New Boenning Office

OVER-THE-COUNTER
j»'i

Is-.'iK'fc >vi-

Pa.—Boenning

NEWTON,

Co.'*

has opened a branch office at 27
South State-Street under the man¬

SECURITIES

Than

Years

agement of Carl A.F. Corts, Jn
■

Economical

oj Ejjicient and
Service

Boenning Opens Branch
AS TRANSFER AGENT

YARDLEY, Pa.—Boenning & Co.
has opened a branch office at 21
South

sreeneanagomponij

Members New York Security Dealers Association

37 Wall

PALOS

Teletype NY 1-1126-7

has

Jones

opened

56509

Miami

VERDES

—Grant,

Branch Office:

Street

John

under

the

;

Drive

office
under

WIRE

JACKSON, Miss.—American Lib¬
erty Planning (Corporation is en¬
gaging in a securities business

SAN

from

Chicago

FRANCISCO—Mitchum, Jones & Templeton

their

and

LOS ANGELES—Mitchum, Jones &r Templeton

Direct private telephone:

advantages to

stockholders.

Write for our free booklet setting forth the Current Federal
State

Stock

Original Issue

and Transfer Tax

Rates.

American iLiberty Planning

SYSTEM

CHICAGO—First Securities Company of

afford economies and other

the
and

PRIVATE

York, N. Y. and Jersey City, N. J.

underwriters, distributors, corporations

Company, Inc.

management of Donald J. Seed.

Beach, Fla.

New

ESTATES, Cal.

branch

Mazur

di¬

Wintersteen.

Grant, Jones Branch

Street, New York 5, N. Y.

Tel. HA 2-4850

Main

rection

Philadelphia-WAlnut

2-1514

offices

at 308

Northwest St.

Registrar
50 CHURCH

Transfer Company

STREET

Officers

are
DorseY. Barefield,
president; Arnold Hammond, ex¬
ecutive vice-president; Carroll W.
Haralson, secretary; and George
;D. Harrison,.;treasurer.
;

and

15 EXCHANGE PLACE
Established

New York 7, N. Y.
BEekman 3-2170

1899

Jersey City 2, N. J.
HEnderson

2-2211

'
•

Y-

•:

Employment, will increase

spending.

incomes and

the

and

number of hours worked per week In
likely to rise. The same is true of average

average

factories

and weekly wage earnings in manufacturing.
spending for services and nondurable goods
should continue to advance at a steady pace. Purchases
hourly

Consumer

durable

will show

goods

bigger percentage gain,

the auto¬
since the
performance of 1955. New passenger car produc¬
1962 will probably run between 6V2 and 7 million

in their home

inadequate opportunities for study

have
town.

•'

■

•

the field of programmed
important teaching tool. We
hope to play a substantial role in its development.
Americans are reading more than ever before. Book
sales have been going up steadily and we expect they
will continue to rise, possibly at an accelerated rate. ;We
have
an
increasingly well-educated citizenry. People
Crowell-Coliier has entered

potentially

instruction,

Foreign distrust of the dollar and the absolute neces¬

record

our

the

and

higher interest rates to prevent a more rapid
working against the long range and
basically sound improvement in business. In the mean¬
time, until wages and prices catch up with the money

sity

outflow of gold are

against 5V2 million in 1961.

CYY",vY-y.YY Y;>-.will show a moderate gain,

construction

Residential

amounting to around "6 %" in terms of the number of
housing units started.
Business expenditures for
new plant and equipment will rise by at least 5%.
The
increase
here could be considerably larger
if a real

new

allowances becomes effec¬
further accumulation of inventories

liberalization of depreciation
tive.

There will be

by business firms, notably during the first half of 1962
when steel users will be adding to their stockpiles as

possible steel strike at mid-year.Y
Purchases of goods and services by the Federal Govern¬
hedge

ment

against

certain

are

also

are

expected

Demand

for

bank

State

rise.

will

credit

and

governments

local

their

increase

level

interest

rates

1962,

likely

The gen¬

move

mod¬

erately.

This too, is normal in periods of rising business.
Also, at some point the monetary authorities might
tighten their credit policy which so far has been one of
ease.
Higher rates in the money market will probably
be most noticeable at the short-end, due to the desir¬
ability of discouraging short-term capital outflows seek¬
ing more attractive rates abroad.
RAYMOND

IIAGEL

President, The Crowell-Coliier Publishing Company

enrollment
stagger the imagination. Between 1960 and 1970 the per¬
centage increase in population is expected to be 17% in the

elementary
and 57%

age group,

43% in the high school age group

These

projections have particular
significance lor The Crowell-Coliier

Publishing Company whose primary
lie

field

the

educa¬

broad

range

The

grow.

1962

continues

edition

contains

sales of
the

this

1961

One

many

exciting

the

publisher.
school

1962.

and

many

college
we

Another

Macmillan

are

exceed

volumes

hopeful that
the

total

for

levels,

showed substantial increases
expect this upward trend to continue in
subsidiary, Free Press of Glencoe, Inc.,

1961 Crowell-Coliier began
participating in
important phase
of
education—home study.
30, 1961 we have acquired about 92% of the

stock of LaSalle Extension

promise of reaching record

inspired

largely

deficit financing

inflationary back¬

and

substantial

increase

in the money supply have been made
which already are causing a business

University,

one

of the

coun¬

leading correspondence schools. Prospects for our
growth in the home study field are
highly encouraging.
LaSalle courses in
law, accounting, business and other
s

related subjects are well

respected. Through the Wayne
-School division it acquired in
I960, LaSalle is now also
offering courses at the high school level, a
growing factor
in the home
study market. These courses are of particular
value to the hundreds of
thousands of youngsters who
drop out of school each year as well as to
students who

Federal

additional

and

credit.

States

H. F.

Hagemann, Jr.

gold

has shrunk

result of the

creeping

40%

some

inflation.

long

of the

the

serious international consequences. Today, how¬
the situation has changed dramatically.
Other

demand

and

have

exists

there

doubt

some

put

minds

the

our

States

has

had

the

exception

adverse

Hickman, Inc.

Dallas
&

Company, Inc.

Denver

Underwood, Neuhaus

certainly look forward

which

the world

the

stem

confidence

worldwide

outflow

the

dollar

and

gold, fiscal sanity, including credit
restraint, higher interest rates, and less "welfare" spend¬
ing is essential. The wage-price spiral must ultimately

stock promises to become an important factor in
motive
exhaust systems.
Our high alloy and

specialty

will

steels

materials—space,

are

in Europe,

auto¬
other
as
the markets for these
nuclear applications, etc.—

grow

missiles,

continue to grow.
envision great marketing opportunities before us
Allegheny Ludlum and we have geared up our mar¬

keting organization
growth.

sales

and

The Hallierafters

The

expected

climate

and

fact that makes highly inconsistent
sweeping reduction in
cutting of expenses and curtailment of sub¬
gifts, both foreign and domestic, are also ab¬

particularly

products,
Color

basic

Y;;.YYY

problem

ing,

remains

increase

the

com¬

fields.

television, short wave listen¬
industrial two-way com¬

and

should

products

show

greater gains than those in the

even

unsolved.

leisure-time

and

munications

Y'':\YYYY Y:'Y V;Y Y'Y-Y;:?

inflation

economic

strong

population

comprise enough evidence to predict
a
peak year for consumer electronic
munications

The

Company

outlook, both for the electronics industry and for
Hallierafters, appears to be one of continuing growth.
In fact, I believe it will take a major, and unforeseen,
economic setback to prevent 1962 from being the best
year
in history for the industry.

our

The

the present proposal for overall

solutely essential.

enhance

Chairman of the Board,

tariffs. Some

sidies and

effort

HALLIGAN

WILLIAM

be broken if the dollar is to be stabilized. Today, wages
in the United States are roughly three times higher than

they

improving

Our MF1 muffler

product for the automotive industry.

1957, the

economics.

secure

continually

have instituted.

payments
have lost some

a result, we
since the high point of our
holdings in 1949, and about one billion in the last year
which serves as a warning that we are out of step with

dollars

be higher than those of
even suggest that steel

growing benefit of the substantial cost-control pro¬

of gold

billion

prophets

Throughout history, a substantial and prolonged outflow
of gold indicates a distrust of the country's currency.

last six months of 1S61.

This problem cannot be separated into an external prob¬
lem and an internal problem as they are one and the

industry market is supplied by gov¬
ernmental agencies and since record

same.

to
we

say

Until

nation

what is necessary to

actually live within

our

are

willing to do

well

Since

funds

this

William J. Halligan

correct this situation, until
income and begin to retire

the

bulk

have

purpose,

been

the

electronics

appropriated

further

growth

for

seems

inevitable. The demand for improved

"N
SPECIALISTS in
FINANCIAL MAILINGS to

G. A.Saxton&Co., Inc
h

Brokers, Banks, Analysts,
Advisers, Funds, etc.

Teletype NY 1-1605-1606-1607

Serving Wall Street since 1927

& Co.

Houston

Crowell, Weedon & Co.
Los Angeles
Hess, Grant & Remington, Inc.

SEND

52 Wall St., New York 5, N. Y.

FOR

SHOWING

FREE

LISTS

BOOKLET
and

RATES.

tSTABllSHtO 10S7

WHitehall 4-4970

Philadelphia

~7&e E-Z

Reinholdt & Gardner
St. Louis

Stewart, Eubanks, Meyerson & Co.

Trading Markets in

San Francisco

Public Utility, Natural Gas and Industrial Securities

Some

balance of

1951. As

7!/2

that will

year

half.

Edward J. Hartley

second-half

In the long-run, however, Allegheny Ludlum has- ex¬
pectations of growth in all of its major product fields.
We were first with the new Bright Anneal stainless strip

financing and the enormous expansion in the
supply have made the United States the world's

highest cost producer. With

looking

quarter of 1962.

allies

to its future value.

Deficit
money

are

Cleveland

Bosworth, Sullivan

curJ

deteriorating, there

nations

pro¬

forthcoming negotiations in the steel industry
undoubtedly will cast a cloud over prospective opera¬
tions for the third
quarter and possibly the fourth

power

and

cost-reduction

new

The

the

and

first

grams

United

prices

selling

products, made the
difficult
one.

capital equipment
helped us accomplish our goals.
I told the New York Security An¬
alysts in August:
Y-

the

lower

our

especially

effective

But

dollar

operations at Allegheny Ludlum over the next sixmonth period.
Further, we expect to continue to have

Glore, Forgan & Co.
Chicago
Gunn, Carey & Roulston, Inc.
&

the like period of

over

with

some

task

These decisions should give business
1962

10%

1960—although sales were off about
7%.
Increases in employment costs
and
in
prices
of
raw
materials,

—tonnage wise—the steel industry has ever had."

increase

Bank

Reserve

For the

production between July 1, 1961 and July 1,-1962 will
equal the total tonnage produced in 1955, the best year

PRIVATE WIRES TO

Schneider, Bernet

mately

the

life, but will continue to live
beyond our means and finance the
deficit through an outflow of gold
probable

the

times

1960.

first nine months of 1961, Allegheny
Ludlurn's earnings were up approxi¬

operations this

three

than

"We

upswing
throughout
the
country.
Once again, as a nation, we are not
planning to face the economic reali¬

in each year since

The Macmillan
leading textbook
textbooks, both at the
a

Since June

try

Decisions

ground

were

level of third quarter

grams

and creditors

During

Business in 1962 gives every

get glimpses of what we could accomplish almost
time we get a little volume and begin to flex
muscles.
Y
Y
Not long ago we reported that earnings of Allegheny
Ludlum for the thrid quarter of 1961

every
our

for

levels.

and

President, Allegheny Ludlum Steel Corporation
We

coupled

HAGEMANN, JR.

President, State Street Bank and Trust Co., Boston, Mass.

Raymond C. Hagel

acquired last year, publishes graduate school textbooks
and books of special interest to
scholars and researchers.
In these fields,
too, we are experiencing an increased
-.demand.
YY^YYy- ^ x
■;

another

their financial houses
in order. The mark, the lira and the French franc are
now
hard currency and in demand. The dollar is less

been

beyond with considerable

years

FREDERICK

major trading

subsidiaries,

years

and the

1962

optimism.

United

company's

Sales

and

1961

set will

We view

ever,

edition.

Company, has for

new

op¬

confident that Crowell-Coliier will continue to grow.

are

were

Collier's

features.

new

our

further, principally in the education market, and

rencies of other countries were also

Encyclopedia, one of our principal
publications, has been expanded from
and

looking for opportunities to diversify

are

dollar at home

The importance of reference books
tool

erations

YYYY.;,.Y-Y:Y';;Y YVYYYY;*"^-Y ;s,-;YY

YY Y

persistent

cation.

instructional

backs.

supply. Since World War II, the purchasing

educational

schools, and reaching into the fields
of industrial
training and adult edu¬

\Y;
••
Collier Books, which issued its first books last fall, has
marketed nearly 200 titles covering a wide range of sub¬
jects. Response has been good and we have already found
it necessary to reprint about a dozen titles. We are en¬
thusiastic about the long-term prospects for our paper¬

question

needs,
starting
at
the
pre-school
level, extending into elementary and
high schools, colleges and graduate

yYivy- Y

American

tion. The company's reference books,
textbooks and home study courses
meet

and

inflationary upsurge.
Overhanging
the
prospect
that
1962 will be a year of record activity
for
the United States
economy,
is
the
continuing concern about the

in the college age group.

interests

Macmillan

EDWARD J. HANLEY

Collier Books, our new paperback

form by

unit.

ties

The statistics of growth in school and college

before. These factors

ever

books

cloth-bound

standard

paperback

stronger in

time than

leisure

outlays.

normally happens during business upswings.
eral

have

supply, strong business activity should prevail.

should benefit sales of fiction and non-fiction published

Thursday, January 18, 1962

obligations instead of just talking sound
will continue to have the dollar problem
gold problem.
' "

some

money,

chiefly due to larger automobile sales. In fact
mobile industry is anticipating its best year
tion in

...

(320)

Continued from page
sumer

Chronicle

The Commercial and Financial

83 WASHINGTON ST.

•

NEW YORK 6

•

HAnover 2-9448

Volume

airborne and ground support
for

military and peacetime

For

Hallicrafters,

sales

1961.

and

Our

25%

6126

Number

195

will certainly rise.'

sales should

following factors will,

$66,000,000 in 1962.

exceed

The

believe, make this possible:

tronic

warfare

should

assume

greater responsibilities as military

even

spending increases;

Hallicrafters

aircraft,

for

equipment

use

hOS

(■r

developments

communications;

(4)

•

With

field

growing

the

Ki-J i

aggressive

research

HBK

||||H|

program, tied in with, our university consulting program,
we

are

and

studying

general

new

products

communications

well

Henry Harnischfeger

those

(5) New markets

are

Hallicrafters' have

mqnths

and

successful,

which

give

introduced
every

indication

being

(2)
some
can

(6) Since communications equipment is

critical

assume

that the

company

may

wide

consumer

interest

in; short

wave

listening.

With the expansion

leisure-time

for

market, the electronic organ industry is anticipating

bcth

substantial rate of growth for many years to come.

Khrushchev

Mr.

Equipment Industry
of

offset in

the

overseas.

on.

are

American

heavy equipment industry

Increased

contractors

quality is built
are

into

taking better

the

effect

care

today's machines,
of old machines.

of medical advances

which

tends to hold down purchase of new

equipment. Never¬
theless, it appears that domestic buying of heavy ma¬
chinery will pick up somewhat in 1962.

(2)

assist Ameri¬

-■

management

the

and

labor at

the millstones of competition of

between

•

difficult

large
to

1S61

home.

our

the foreign

lies, of course, in

of the answer

anticipated
market.
A

ability

our

the

with

gram."
ducing

cheap

our

Cur

waste

and

continues

market

This

have

taken

improving
as

excellent

Appreciation Pro¬
interest in re¬
craftsmanship.
If this

"Customer

employee

people

program
to be in

management can well hope to avoid in

labor ahd

part

hold

predict the extent to which

expansion will affect

labor-price line while we continue to im¬
prove the quality of our machinery.
We have made
great strides along this line at Harnischfeger during

hand, and the requirements of

one

domestic

Increased competition in the foreign markets,
foreign labor costs, competitive pricing and the
European common market arrangements make it

new

it has started, I think we

position

program,

initiated

are

going

compete in anybody's

our

production op-

Continued

1962.

page

Named Director
JUAN, Puerto Rico.

SAN

election

Emanuel, Deetjen & Co.
ESTABLISHED 1929

merican

Stock Exchange

Commodity Exchange, Inc.

—

The

Everett' G. Juds'oi^j las'
6f -Conihionwealth' Oil

Refining Company, Inc., was an¬
nounced
here
AUUSam

john j.

Presi¬

Casey,

MEMBERS

Midwest Stock Exchange

cirector

New York Stock Exchange.

meyersf&ico.

dent.
Mr. Judson's

election

Brokers and Dealers

in¬

Com¬

creases

monwealth's

UNDERWRITERS—BROKERS—DEALERS

board to

CORPORATE, MUNICIPAL fc FOREIGN SECURITIES

Mr.
is

13.

Judson

Vice-

President of

The

•••;': F i r s t
Corpo¬

Eoston

120

■

New York

Teletype: NY1-197J
'

5, N. Y.

A w- ;.
Telephone DIgby 9-0777

J'r

']■ A-)';

• >

he
of

AND RAILROAD SECURITIES

A Boston

mid

EMANSTOCK

INDUSTRIAL, PUBLIC UTILITY

joining

First

.Cable Address;.
.

Prior

ration.

Broadway.

Everett G. Judson

1961,
Vice-President in

was

charge

Life Insurance

The New York

Broad

Company.
Mr. Judscn is also a director of
Emanuel, Deetjen S.A.

Emanuel. Deetjen S.A.

10 Avenue De La Garc

Via Durini 28

Lausanne, Switzerland

Emanuel, Deetjen & Co. Ltd.
Roots

Milan, Italy

Bldg.

■

Nassau, Bahamas

Street, New York 4, New

WHitehall 3-2850—teletype, New

York

York 1-809

the Louisiana Land and Explora¬
tion

and

Company

Treasurer

the

trustee and
Children's Aid
a

Society of New York City.
operates

Commonwealth

major oil refinery

Bay,

near

at Guayanilla

Ponce, Puerto Rico.

;

Now Bellmark Co.
WAYNE, N. J.—The firm name

Associates, 100
Ave., has been changed

Financial Planning

Overlook

Underwriters

Distributors

and

Bellmark

Company.

Foreign Securities

Now Robt. Sheridan Co.
Y. — The firm
of Financial Planning Com¬

SYRACUSE,
name

pany,

Investment Securities

been
dan

William

Officers

PINE

STREET

inc.

NEW YORK

5, N. Y.

offices

100

New

«j&mhold anrl£P.0dleic/tAoe<lek
tfne.
•

Rakofsky, treas¬
and Julian Banner, secretary.Max

Kclb-Lawrence Branch
LAS

Telephone: HA 5-7550

are

president;
urer

has

York City,
securities business.
Herbert
N.
Zack,

Street,

engage

Corporation

v/ith

formed

been

E. Liederman

Alpha Planning

Planning

Foreign Investments

i A

Company, Inc.

Form

State Tower Building, has
changed to Robert P. Sheri-.

Alpha

the

economic expansion

general

some¬
on

tend, to prolong life. We have a much higher percentage
of productive "senior citizen" machines. This, of course,

high standard of living, on the other. The 52% tax
only serves; to increase the pressure. This; is a prospect

activity

effects

This is similar to

new

of the available foreign aid funds to

foreign labor,

the

may

(1)
and

cur

overtaking

give

that he is committed
reconomy in the '70s.

now

by the following:

industry

Both

ought to

lower

placed

expect this interest to increase;

(8)

period

(3) A straight 38% Federal corporate tax rate on for¬

share in this market;

This

headache,

Heavy

eign income. To apply the domestic rate of 52% not
only can critically handicap American industry over¬
seas; it can also add to the already intolerable burdens

(7) The international situation has already stimulated

Some

re¬

quirement in the Civil Defense program, it is reasonable
to

thing of

Let. qualified U. S. banks administer and! invest

to the

whole, I think American industry is now in
fighting trim to enter a new phase of dynamic

record

Shift a larger portion of our foreign aid funds
Export-Import Bank and expanding its operation.

(1)

past few

product line;

new

There

markets

foreign

lems are:

products

—

the

'lack

Government.

Federal

the

expansion.

enterprise; the main prob¬
lem is pricing, and even more important, ability to fi¬
nance.
Three measures to ease overseas finance prob¬

being uncovered in business and

industry for Citizens Band two-way radio
which

On
better

American

mentioned above;
•

tools.

the understanding and support of

on
the

electro-medical

the

fields,

would stimulate employment, make the U. S. more
competitive abroad, put us in better shape to meet na¬
tional emergencies and increase productivity.
We can't
compete against foreign labor with 20-year-old machine

programs.

passed,

well, both at home and abroad, in
c°ming years.
In general; the strength of Ameri¬
can
industry's competitive position
overseas depends, to a
large extent,

;

development

and

rapid as

things stand now, there is a good

space

•

|H deal more muscle in the production
I
jr '"-*8 33H and marketing operations of Ameri1LJ'"
.''Vii.can industry. This will serve us

(3) The company confidently expects to benefit from
new

not quite

military aircraft will inevitably be adapted for

missiles;-.feu.

was

fat-trimming

Electronic warfare equipment now being used on

(2)

recovery

depreciaton tax schedule is a must in 1962.
this will provide an important measure of
aid to those companies which are in need of moderniz¬
ing or expanding capital equipment.
This makes sense!

expected in some quarters, it was fairly steady, and this
may be an advantage in 1962.
The absence of an "easy '
market forced many companies to continue pressure for
greater efficiency in order to maintain
a
competitive position.
Had
-'there been a real boom, there might
have been a tendency to slack off

With proven performance and capability in elec¬

(1)

1961

Although the

year

A revised

President, Harnischfeger Corp.

predicting increases of 20%

are

(321)

HARNISCHFEGER

HENRY

electronic equipment, both

uses,

earnings from our record

Financial Chronicle

The Commercial and

;

Lawrence

130 Las Vegas

under

the

Boulevard
management of

Maurice Litchenberg.

SECURITIES

Associate Members American Stock

•

30 Broad

VEGAS,

office at

South

Nev. — Kolb and
Inc. has opened a branch

INVESTMENT

Telephone
WHitehall 3-9200

Exchange

Street, New York 4, N. Y..
Teletype
NY 1-515

(322)

The Commercial and Financial Chronicle

Continued from page 53

orations, is-

-i

;

Thin

;

ing., distribution and service

Ilarnischfeger

utilizes .various elec¬

The

with

specific electronic characteristics.
These materials are evaporated in minute quantities on
thin insulating materials called substrates?
On one sub¬

areas.

Fcr the fourth year out of the past

microminiaturization

film

materials

tronic

being carried forward into our market¬

now

strate the size of

'.V,;'

ponents of

five, Harnischfeger:
of $80 million. This

layer is

this

tion

and

then

third

and

possibly

Thursday, January 18,1962

alternative

the

dollar.

involves

unfortunately

dilemmas, the threat of

among

international devalua¬

Realizing lhat it is politically difficult to control the

thumbnail,;five or six separate com¬
can be deposited and often a second

circuit

built

latter

other

wage-spiral,
future

of
in
immediate danger in predicting rising
therefore

and

balanced

budgets

assuming

uttered

are

that promises
with "tongue

cheek", I see no
prosperity during the next year or two.
Turning more specifically to the hotel business, there
what has been a period of adverse business conditions in
size of a
has been in recent years a tendency for the rate of
the
industries that we serve.
It
is
firm; proof " that
duced no
growth of hotel chains to slacken. This tendency will
the company has successfully broadened its base of op¬
Microcircuits
offer
many
advantages over; circuits
probably continue during early 1962 as the larger hotel
erations, and is serving an expanded group of customers.
currently being used in these applications, Microcircuits>: systems adjust to the changing demand of travellers
Other milestones of progress in the fiscal year ended
are
much smaller, with the accompanying reduction in
arriving in automobiles who are demanding, free conOct. 31J 1961, included:
weight. In addition,, they offer increased reliability and
venience parking...
(1) a continuing research apd" development, pro¬
require a much lower power input. "trs/i.
; ..To the extent that these and other problems >0f the
gram of the pioneering' type that has :kept:Harnischfegex >
in addition to selling • thin film circuits to other com- ■<
industry are being dealt with, optimism in- the ipdustry
a
growing.enterprise throughout its 77 year history.
panies, Lear has been using these products in- its? own ^is becoming visible.
' * V'
(2) A'cquisitlon of 'Iong-term funds that both iiicreased^
proprietary products, For example, we have been using
On the favorable side, Sheraton's backlog of forward
cur working capitaT andwenabled the retirement of
shorty .thin film signal amplifiers in our new linfe of automatic
group bookings of $111,000,000 exceeds that of a year
term debt.
pilots for tiie aircraft industry. Wfi expect that there- will; ago by 10%. This Sheraton all-time backlog record sug(3): Development'5 of a shoulder-tor shoulder forward
be-growing applications for microcircuits dn major mis-?, gests that the hotel industry will share with, other s eg attitude among, the employees of the company, as ex¬
sile-and spacecraft projects.;
ments of ;the economy the; expected;'upturn1 in business.
emplified: by? two successive million-man-hour, no lost-.
While the aerospace field undoubtedly, will .utilize ^the .
timev safety records* established at our -West Milwaukee
lion's, share ,of the. initial production of.. microcircuits
J; DIAZ HERNANDEZ
J.
plant? >
•
; mere is every reason; t6: believe,tfet^tifctimie is: not?too?:
? ;
Executive Director, Economic, Development
Net' shipmentsiamounted to $80,253,330, compared with
,? far off, when commercial and even consumer products *
Administration," Continental Qperations Branch
.5 ;
$85,691,652 in I960. The reduced shipments can largely
will benefit from microcircuits.
Undoubtedly 'sometime^
be attributed to completion of a large military contract
•Puerto
Rico's dynamic, economy spearheaded
within .the. next, decade or. so, it will be possible to"" use
by the
in the previous year.
m icrocircuits
to. reduce * the? size • of radios- to that of a
"Operation Bootstrap" program, which President Ken?
In the face of this* decline in sales, Harnischfeger's net ^silver
dollar; produced-so: inexpensivelyjthat? itvwill ^be ? nedy hopes can successfully be ;adapt#d ' to? use^n - the?
*•
income' amounted to> $1,701,348, art .increase' of 41 %
U.CiS? :"Alliance; for Progress!'* Program f6r Latin America:;
cheaper! to',throw- one away rather. than repair it. '
/
compared with; the
259 earned in 1960—added
Television, hearing aids*, household appliance, and con?-* : expanded by 9.5% in 1961.
; evidence that we have been successful
in our "fatAt the same time the Caribbean
; sumer vehicles, and many, many more product areas-are
Corporation achieved sales in

consistent record of

excess

•

fourth.

shipments has been accomplished in:

this

way,

complicated'.circuit

such

amplifier,-which

in transistorized form would be "the
king-sized package of cigarettes, -can be pro¬
bigger and hardly as thick as a thumbnail.

•

„

•

§|

„

trimming" program.
Summary
There is

petitive

nature

the

free

However, we have
the competition we
world

against,

President, Sheraton Corporation; of America

and

My forecast,

has been the
basedj'on two assumptions:

HANDSCHUMACHER
■

During the coming months, the electronics industry will
"Witness increasing competitive pressure from, the new

company,

for

example,

lower

than

our

has

expects

that

the field of

Handschumacher

Our

by 1965. It is our opinion that the
field offers the prospect of the same kind
of. sales growth
that accompanied the birth of the transistor business
eight or ten years ago.
a year

our

liquid

the

market

general
trend of .the
has been inflationary'

the

stock

market

specialists
in

INSURANCE

>-:.

•

higher, price
v?

•••■

Fidelity Securities

Inc.

business

conducting
from

formerly

with

Investors,
with

Inc.

offices

been

securities

are

Jack

business.

BALTIMORE / PIKESVILLE / NEW YORK

ciated

MEMBERS:

Co.,: 120

City,

with

Exchange,
representative, it
nounced.

qow

New

of the
as

and

during the next
investments, amounting

new records

Outside

than $58 million, will expand hotel accomoda¬
by 2 000 rooms iri,1902, -- V. 1
Trade figures < reflected the overall growth pattern
that has made the: 3,400-square^mile island: Common¬
wealth the largest overseas buyer of U; S* goods, on a
per
capita basis. Purchases from the United States
reached $800 million, as against, $763 million in 1960,
while sales to the States rose from $674 million to over
$700 million. The Commonwealth's more than 700 "OpT
eration" Bootstrap'-' plants, increased: their
]'ship'mehts^ to
the mainland by 20%, to a record $450 million.

;

Specifically, several important trends

were

set during

1961.

Economic

The

Development

Administration,

Puerto

Rico's "Bootstrap" agency, promoted 160 new U. S. and
■

Puerto Rican manufacturing plants. Included among the
U. S..: firms starting
operations - in Puerto Rico were:

Kayser Roth; Johnson and Johnson; Kelvinator; Bruns¬
wick Balke Collender; Shell Oil; B. F. Goodrich; Daystrom; Reichhold Chemicals; and Stepan Chemicals. Most
of the-newly promoted plants should be in operation
by inrd?-1962, joining companies such as Americah Can;
General Electric; Hickock Manufacturing; International

DEALERS'

on Special Over-the-Counter
Studies Prepared for Dealers

[Capitalize
•

Our Dealers' Service

Reports

business for dealers

■

throughout the country. For

are

developing important
com¬

plete details write to Mr. WHHam P. Green.

and

h. HBisrrz & co.

as so-'

Members Hew York Stock Exchange and Other

Rothschild" &

Broadway,

members

Stock

more'

Rothschild; :

Bohrer

:S:|fjDEPARtMEN;'y§||g

Officers

Einiger,

With l, F;

■

attained

also

SERVICE

Einiger,.' President;""
Einiger, Vice-President;

Morton

J. Diaz Hernandez

engage'

Secretary
Barbara Einiger, Treasurer.

Exchange

Local

Irwin

Sondra

Wall

Street, New York City,-to

years.

the,"-'v

has

;

Form Einiger Investors
Einiger

diversified

Fundamental' Sev?-: ?

curities Inc.

got

resources,

in 1961, is expected to set'

Joseph B. Cantey, vice-president,
secretary and treasurer. Both were.
•

natural
start

•

securi-

offices

Barringer' Building.
Officers are
I! Eugene F. Janquart,; president;

formed

Leading Exchanges

established'■

contrary to the

course

for accommodating an economy at an even

level.

ties

and other

new highs and
construction projects
reached $160 million;\as-opposed to $83,-million, in i960?
Puerto:^ Rico's tourism income, estimated at $54 million

the unbalanced budgets of World War II- have been
"caught up" with. Fifteen years of prices wage: spirals
have used .up this war-generated excess liquidity. From
here on, a price and profits squeeze seems
likely to de¬
velop unless: (a) the price wage spiral can be controlled^
or
(b) further compensating, unbalanced budgets are
he.rmitted in order to;proyide;the. monetary, framework-

rities

New York Stock

net..

tions

result

Form

before

Agricultural production

two

5 COLUMBIA, S. C.—Fidelity Secu- ;?

aIO-HN c. LEGG

billion,
and

the value of completed and started

Albert- G.

marketing forecast indicates that
microminiaturization will be doing in excess.

$400,000,000'

year,

newly developed automated produc¬

for microcircuits?

1960

tinued{tOv expand rapidly.

The greatest hazard facing the
economy, iri the" coming
it seems: to me, lies in the fact that price levels have
now risen to a point where the excess cash
generated

its

petrochemical industrj1" by attracting
$48 million in new investments. The ;
island's
electronics
industry
con-

ever

excellent

with business
rising, and ap- v
Ernest Henderson
parently heading, for higher levels; it
would seem safe to predict an ex- >
;
•;
cellent business year for 1962. Basing this forecast on the
trend

tion system should be able to reduce
costs anywhere from 50%
to 75%.
What is the extent of the market

than

paucity in

generally accepted theory that the stock market predicts
rather than causes- changes in the- trend of " business i
.indices.
•
'
'

comparable

record

1960; climbed to-$550 million.
More U. S. <"blue chip", corpora¬

tions

the past year, and

indices

the

company

factor in the total of

Since

over

price of similar
traditional circuits. By the middle of
1962,

stock

a
traditional 50 component
circuit costs anywhere from $1,500 to

billion

pff^s;«in, Puertq Rico;.The;i3Jan<L
which
up
to, now, suffered from

purchasing'power.

replace

This

in
1

power

fore

the

him microcircuits, quot¬

dozen.

stocks,,are readily inter-:,
changeable for cash, and"' are' there- i

ing a delivery time of six weeks. At
present, a thin film unit which can

common

begun taking orders for multi-com¬

$2,000

;

This-added potential purchas-vderives from the fact that

power.

ing

techniques of microminiaturization.

ponent thin

for several decades, is^
■ - 7 _v* ' *•. -v.
'■

case

President, Lear, Incorporated

Our

rose

$1.8

•

years to. come.

were

Product

National

Gross

profits in private business, which ex¬
ceeded $500 million for the first time

(1) That inflation, (as, the term 'is generally accepted)
creates temporarily—at! least ■ until- prices* catch up-~
added purchasing power" which in*' ■
;
"t':; - '
turn stimulates business activity.
(2) That. rising
security
prices?
during the past year have created an
equivalent of "inflation" by prcn
viding added potential purchasing

forward." American enter¬
prisers going to be the heavyweight champion for many

In
1962, most of these developments
laboratory stage. During the coming
year, they will be applied" on the
production line.

;

ERNEST HENDERSON

recognized^ the
are

production', breaks

Commonwealth's
from

turn to take the "great Teap

current

com¬

against the communists.
From our production workers to our people in the field
at home* and abroad, we feel we are pretty close to
fighting weight. With" famine sapping the communist
economies, it would appear that it is now America's

ALBERT

front- the

throughs in microcircuitry. ?

"sure thing!' for any company in

industry;

intense
both

-to.-benefit,

sure

York

New York

Leading Stock and Commodity Exchanges

STREET; NEW

YORK

N. Y. ^

registered

has; been an¬
Vr;
.»

WALL
*

* BO

9-8420

•

Offices in
'

OUR

105TH

TWX

NY1-1454*

Principal Cities

YEAR

SERVICE

Volume 195

;

.Number 6126

The Commercial and Financial Chronicle

...

Paper; Kimberly Clark; National Video; Parke Davis;
Rand; Starkist; Stokely Van Camp; Sunbeam;
and

Weller Electric.

Puerto

Rico's "already

huge

Sperry

;

$107 million petro¬
chemicals industry added $48 million in new capital in¬
vestments, producing one of the year's most important
of

contracted

abundant

resources haV acted as a
drag on the attraction
industries.. "Bootstrap" has had to depend;
upon,
other assets—such as tax.
exemption and the availability
of highly productive workers—to
attract industry. There

telling

Puerto

what

Rico

might

have

endowed

were

been

accomplished

with .mineral- wealth.

growth of the island's petrochemical

another

Rico

DR.

Chemicals has
plant to produce

Chemicals
caustic

and

started

soda

As' 1961

work

plant.

Y;"■ :'YY';::

YV^'Y-'-Y

industry, however,

nrovide Puerco Rico with tne material
it has lacked and, by
attracting companies in
chemical and allied fields, should contribute sub¬

Ponce,

are

$77

refinery pro¬
vides raw materials to Union Carbide's
$30 million ethy¬
lene glycol plant. In 1962 Union Carbide will break

$30

million

Stepan

Chemicals

polyethylene plant with

shipments to the mainland.

will

also

start

construction

pthalic anhydride plant, which will use part of
Conrmonwealth's naphthalene output. Pthalic anhydride

is used to produce: polyester and vinly
plastics,
and coatings.
•
.
Y;
,

fects

Puerto

paints,

YU'V-

Y Da tin

■■»; £.

"/*7

;•

v-.

»v

rsv.

*"•«■

Y. T"

*1
v
\
•
'" .
•*
'" '• v.„ -,y.;i i-V'.- .»♦

*•**

£,*•*' v " **
"«
»•
'
•'•••;>*«»•' •.'• vV*. :Yr^YY;«

work-for

was

State

Moscoso,

Puerto

♦'.

set

having re-attained its historical
growth.
Towards the end of
generally recognized that the econoiby

fact

was

from

passed

to expansion..
broadYstrength and it

Eco¬

recovery

evidence

assume

American

seems

that expansion of general business

insurance

life

for

the

Total

records in 1961.

new

continued

establish

be done

can

Inter

The total in force is esti¬

billion,

increase of nearly

than 8% during the year, an increase
moreover, which exceeds the total coverage in force in

$50 billion

architect

or more

the United States 40 years ago.
y pany

apace

but those of

beneficiaries,
•

who

might be said

that

the

«■'.

economy

goes,

Continued

SHAK"Ek TJEIGHTS-; Ohio^-Robhas

beep

promoted

■

Central

Group; InO.i

Mr.:Smith has been with Distribu-,'-:
tora ;Groap

since 1556, Yand was '.
-previously;, rResident; Vios-Presi-

Local Securities

YY ••<£$: >• .'•: >.:•; YY' rV'l;::if *-#Y. V
r-';i\#s• >•

v--.?'-

-$5Cfc
-y

vf.:t'yy

'"y.'yy

«d'ent.v-^cOhio Valleyr "Tiirhislifew
••

;

pcslticn he will direct" sales ' and

dealer service .in

Indiana,^ Michir-"
Ohio, Western* Pennsylvania,^';
Wheeling,- Wv-Vsr.j; lUinpis,iIpwa',r; *
Minnesota^ "Ne'b r a sk av; North-Y.
Dakota, South Dakota;' Colorado"'
ancf- Wy oming..--; :0;
i *?
gan-

Mead, Miller

■■

"'*

"'*■

Members

—-

y;>.V'V-Y-

New

York1

■'

>',•

Stock'Exchange
.

- ,.4

• •

Co.

&
'

—-

..»•

•

Philadelphia-Baltimore

Stock'' Exchange

Direct Private 'Wire
Carl M.

.•

f:;

New York—Wttitehall 3-4000

BallSystem Teletype—BA 270

;

(•.»-

HeW York Correspondent'

Loah, Rluiadas. & Co.-

Liberty

GoiAdds

TELETYPE

Edmund.T?iet^. Hastibined thetstaffOf Hafdy .& Co:,; 30 Broad Street,
r

New ,York

City, members of the
New'York" Stoek ^xchangeA,

tDeVdre Elected by
Y
i
FIF Management

•BOSTON
TELEPHONE

CHARLES & CHASE STREETS, BALTIMORE t, MD.
;
Telephones: Baltimore—LExington 9-0210

• »,'

7 American Stock Exchange (Associate)

DENVER,

Col.—Don

C, DeVore,,

Senior ^investment s research

^11-

alyst. of FIF Management Corpo¬

ration,
*..•.

#•-■*)«>-:.W

950

Broadway,

has

been
of

named assistant vice-president

'»r;

the- firm, it was announced.
The
election
of
Mr.
DeVore,
who
ver

in NEW ENGLAND
f

•.

•

'' 1

'',4

is also president of the Den¬
Society of Security- Analysts,

post
at
place at

Textiles

Management,; took

FIF
a

Primary Markets in

Vice-President's

assistant

the

for

sb-'iS':-''

■

}■

than 100 YEARS

:v-;'v% I'-."'•:"r..^ f/v.r' •> "r.,n

directors, according to JV
William
Tempest,
the
Denverbased fund firm's president.

New Beckman Branch
x

:.v.-r"^'

•

Boston Telephone Lx\fayette 3-2400

New York

Bank & Insurance Stocks

& Co.,
office at
underY the

Hartford*

Pouchkeepsie

Members New York and Boston Stock

Providence

Exchanges

5th

Street

New,England Electronic Securities

•management of George M. Venard. • -w'Ym
^

SCHIRMER,^ ATHERTON & CO.
*

Now First Alabama

MONTGOMERY,
hame

Boston Teletype B3-288

Springfield<

1Y y';

Calif.—Beekman

215 '.West

1.5 STATE STREET, BOSTON

g,-x'v:-

Co.fii

ESTABROOK £/
tiK

1:::

CHICO,
v

Industrials

Utilities

Inc. has opened a branch
t*>v^?' •'*!

v••

•

recent meeting of FIF's

board of

OdeW

Ala.

The

Martin,

firm;

GuarantyB0BhSn8?C',has°Utbcen
changed to
lities, Inc.

Members New York and Boston Stock Exchanges

Sellers,50 CONGRESS STREET, BOSTON

9, MASS.

TELEPHONES: New York - CAnal 6-7000

7007

Albania Secu-Connections to Branches
The firm maintains
porUand, Me.—Manchester, N. II.—Lynn, Northampton and Worcester,
branches •..in
Birmingham
and
First

Mobile.

goes

page 56

Hames Smith

,Y':.

cora-

contract, exceeded $11
new record by a sub¬

-Distributors Group

'.Li

guaranteed by
time, again

billion for the first

stantial margin.

upon

The volume of life

accident and health" insurance continued to grow
alsOi Total payments to policy owners and their

iri 1962.

•States for Distributors

^Active Markets

new

sales of $80 billion were 7%

higher than the year before.
mated to have reached $635

Rico's; "Operation

?to ^Viee-Pr.esid'ent—North

^ l

any

small recession, the econ-

named

"Bootstrap" and -the Commonwealth look

-;ert * E/ Smith

had

omy

indicators

Y reasonable to

what' has been, accomplished as only a promise of what

•

program. Yes, 1961 was a good year,

" '•>••*-*V-v*. VV -

'•

nomic

activity will continue without serious interruption in
1962, in- the absence of extended labor disputes and
in Y major international crisis, political or financial.

recalled from- his ambassadorial post in

was

DEALERS

•

had

Venezuela-to head the $20 billion Alliance for Progress

jV:;3 % «f i -:h\ ^^£ <•1

,:.r.^>4? -v-.< ;\ ,/r,

Administratbr

Bootstrap*',

Secretary of
physically located

DISTRIBUTORS

•

showcase
camp

services

bottomed

declared his

"our

Under-Secretary

Affairs And: Teodoro

•

first

arid'

applying for sub-zone status,

Assistant

American

looking ahead to the day when the

UNDERWRITERS-

year,

R,icq'sb.inceritiyea for manufacturers. And, under

V;v; ■*

Puerto, Rico

recession

third: quarter, full, recovery
made from what was by

line

the

•

politics of the Americas.

jCommonweatth's Secretary of State,

Deputy

the terms of the grant signed
by the U. S.

Union Carbide "is

the

criterion

the island arid Dr. Arturo Morales Carrion, former-

ly th^

establishing plants in the zone are eligible for all .the
tax exemptions, financial
aids, and services that are part

Commerce,: companies need not be

using

President Kennedy

year.

output of

in¬

and

set up

with in the zone's. limits. In

role

new

was

(FRB)
goods and

been

Dr. Bishop c. Hunt

the people. Another sign

'America,*'; A - Peace 'Corps *■ training-

up-on

outside the continental limits, is unique
in several, respects. It is the first
Foreign Trade Zone
to
emphasize ^manufacturing. In addition,
companies

of Puerto

Rico's

intention

Incidentally, Union Carbide has filed, an official re¬
quest that its new polyethylene plant be granted per¬
mission- toY bperate ^as Ypart - of the
Mayagu.ez: Foreign
Trade Zone. This zone, the firstYD. SAv Foreign Trade
ever

that progress

During the past

Zone

in terms

production

(GNP),

the

encouraging,: The $50. rise in. the island's per capita
income, to a new high of $550, reflects, in part, the ef¬

«.

been

"evidence of

Hhere that the point of maximum

and

million

was

both

measured

total

;Y:

had

excesses

organic forces at work to stem further decline and return the economy
As

Puerto Rico's progress during 1961 was both satisfying

the
polyethylene production capacity.

suggested

was

already have been

Various

dustrial

ground

world's largest initial

was

to. a reasonable line pf growth.'! rY.

that may

for $62 million in

large and it

passed.

;

prece¬

been

not

adjusted and there

stimulate still further growth in this all
important manual-precision field that last year accounted

•

economy

year, in contrast,
declining for some months. But the decline had

•

that joint" ventures will become an important feature in
island's industrial progress. - Y ;• Y". .
'
Y YV
' f
Y Puerto Rico's electronics
industry—which for the past

dent

million

national

Mutual

strongly. At the begin¬
general business activity

momentum might

Y'"'V

Y dollar U. S. defense production market and set

Commonwealth Oil and Union

Commonwealth's

HUNT
John

the
and

the

stantially to the '.'Bootstrap" goals of 2,500 plants and the
two years has grown faster than any other industry on
elimination of mass
unemployment by 1975.
;;Y YYV.j-Y' ) the island—also contributed an important chapter to the
story for. 1961. In securing the island's first major miliForming the nucleus of this burgeoning petrochemicals
complex, situated on Puerto Rico's southwest coast near Ytary contract,Y the industry entered the multi-billion
Carbide.

close,

Fourteen joint ventures were set urn last year and, as
Puerto Rico's economy continues to grqw, it is expected

will, in effect,

the port city of

The

Hancock
Life Insurance Company

drew

hau been

capital, and therefore are part
major trends established in Puerto

Economist,

thrusting upward broadly
ning of

Both

BISHOP

and

and pplyY

urea

has

Vice-President

local

and

of• the

during" 1961.

jointly financed ventures, utilizing

are

;

island,;. Reichhold

establishment

chlorine

onerations

both stateside
of

polyethylene.

plasticizerSj alkyd resins,

million,

these

resources.1

the

vinyl acetate- and. Morton

new

for

compounds for
f

natural

distribution

Elsewhere

thriving

trends. For many years Puerto Rico's lack

plant in Puerto Rico: will be the heart of its

new

world-wide

;

(323)

The Commercial and

(324)

Continued from page 55
life

insurance.

also

that

fact

although at

one

The

for the electronic industry—and all other industries

that

are

the

ahead

year

the

nomic

security

advance

nation's

the

significantly

families

1962—more

people will

administer by far the

companies

largest

single

represent, .broadly speaking,

assets—which

increase

of nearly $7 billion and an
ratio greater than the year before.
A com¬

Last

rates of interest on new long term invest¬
on average near the highest levels in a
quarter century—their decline during the recession of
li/0U-61 was comparatively small. The maintenance and
year,

possibly

in the

likely

year.

rate

course

return

are

invested

are

reinvested.

and

the

increments of

4.11%

LESLIE

H.
President,
electronic

new

those

easy

companies that

are

well

siduously,
developing

must

There

and
a

chal¬

use

counter

it, both at home

to eliminate tariffs must recognize the dif¬

move

wages and salaries paid in the United States
tied to productivity, as they are in Western

passed by the directors of the Electronic
Industry Asso¬
ciation, saying: "All international trade agreements'
resulting in reduction or removal of U. S. tariffs should
be truly reciprocal in
all respects .so that American
exporters
markets

will

have

equal

opportunities to sell in foreign
those provided foreign producers in

U. S. markets."

deceleration

H. Leslie

rate of technological
change that has been the outstanding
the electronic industry since its birth.

indication that such
increasing rate as we move

every

the

changes
on

Hoffman

In fact, there is
at

come

HUNT
of

into the Space Age. This

ideas

of electronic companies
enough of the profit dollar for
research and development to keep in step with or ahead
managements

to the maximum.

Proper utilization of these

new

scientific discoveries for

new products that will increase
profits of individual companies and the
industry will be
key requirement upon top management in 1962.

must continue to earmark

the

Board,

Florida is setting

the

her sister States at the

pace among

beginning of the Atomic Age!
According to the U. S.
Bureau of the Census Report of 1960, Florida is the most
rapidly growing of all 50 Stales, and is second only to.
California m absolute growth. Dur¬

ing the period 1950-1960, the popu¬
50%,

times.

ing the same time increased 297.9%,'
making it the fastest growing county
in the entire country, excluding two
whose
growth is solely dependent

installations and

military
penditures.
upon

This- factual

since
two

World

ex¬

picture
of
growth
II
helps- answer

War

questions put to me: "Is the
'boom'; slowing down,'' and
do these people come from and

James S. Hunt

Florida

"Where
do?"
?

what do

they

The

to the second

answer

all

question is easy.-They come
country and from all Walks of life.

over

the

the solid upper middle class whose children
have grown up, and who now find it easier to retire a
They

are

good 10 vears before they thought they could and move
Florida; they are the children of those retired couples

who

are

young

family people wanting to be

near

their

parents, and whose sense in Florida the great opportun¬
ities on every hand with the added pleasure of living
and working in the only sub-tropical
climate in the
country; they

Electronics, which has already provided such wonders
television, computers, space communications and
radio-astronomy, will continue to explode technologi¬
cally, showering many new inventions and break¬
throughs down upon the industry. However, hard work
and intelligent
management will be needed to a greater
degree than ever before to exploit and market these

characteristic of

will

Chairman

and

Properties, Inc., Fort Lauderdale, Fla.

Coral Ridge

from

will

JAMES
President

of the

electronic industry on the matter
of tariff reduction is well-exnre^sed in a recent
resolution

ideas.

that

th,e

The attitude

the astonishing

means

industry with both " opportunities
industrial electronics, there is

Europe.

Companies that are not capable of
doing these things, or simply fail to
do them, will find the going more
difficult this year than ever before.
There will be heavier penalties for
sloppy planning, loose administra¬
tion, lackadaisical marketing, lack of
imagination
and
unwillingness
to
new

earnings, provided the gains are not offset by unreason¬
and costly demands as the price of peace
with

while Florida increased 2V2
During the same period, the
population of Ft. Lauderdale, county
seat of Broward
County, increased
over 40 times! Broward County dur¬

appreciablyj

new
products and new
applications of existing products and
plan soundly for the future.

try

1962

This will present the

ference between American wages and salaries and those
paid abroad. If we are to change the tariff structure

man¬

imagination

apply

greater factor in

business.

know their costs, know their
markets
and
cultivate - them
as¬

1962

better

lation of the United States increased

Any

aged,

bring

and

able

abroad.
Any across-the-board reduction of tariff
structures, or granting of life-and-death power in this
respect to the executive branch of the Federal Govern¬
ment, would produce chaos and disaster in American
industry.
1

good year in

business

our

growing

The rewards will go to

year.

improve

the labor union.

and

1962, with factory sales somewhere near the $10.8 billion
mark foreseen by the Electronic Industries Association,
an

before for all

and will have to work hard to

Hoffman Electronics Corporation

but it will not be

should

of electronics as a tool to cut costs
and automate processes and operations so that American
companies can better compete with foreign industries
enjoying lower labor rates and other advantages. How¬
ever, the electronic industry itself will encounter similar
foreign competition in the consumer and industrial fields

increased sub¬

ever

market for

HOFFMAN

industry will experience

lenges.

estimated 4.25%.

Sales

Arthur B. Homer

that the space program is to be controlled
small number of large companies. This pattern is

electronic

funds

benefit

the

had

liberal

depreciation poli¬
cies in building their modern plants.
of

beyond.

year progresses.

Foreign competition will be

proceeds of maturing investments

The average earned rate

1961—from

stantially in

The

to rise

the

have

who

makers

that there

significant breakthroughs that will expand

appears

than

increase in such rates is implicit
of business activity over the coming

continue

years

however,

collaboration with other industries.

be expected, therefore, that the average
(before taxes) earned on life company

may

will

assets

some

indicates,

develop¬

in 1962. In
seme instances, non-electronic companies will direct the
projects but they will have to work very closely with
other
companies in the electronic industry; in other
cases,
electronic companies will head the effort, in

remained

quite

experience

through

best possible

with the

.favorable--

electronics would

space

1962 and the

already evident and will become more

parable increase should be realized in the year ahead.
ment

foreseen,

now

rapidly

accu¬

increase

are

past

this field

savings

billion,

$126

than

with im¬
methods, with

met

customers.
Also, more
depreciation' or - tax " al¬
lowances, now under consideration
by our government may, if enacted,
assist in improving facilities and in
competing
against
foreign
steel¬
service

the leading role in

no more

competition,
foreign, and the

strong
and

and better steel products

research and

functions and become

vast and growing area in

will be many

of policy owners held to guarantee
future contractual payments—rose in 1961 to more than
mulated

Recent

component of the nation's institutional pool of savings.
Their

new

vehicles and this content will continue to rise as

ments

but also against the costs of hospital and medical
care, and against the loss of income because of disability.

will
be
production

proved

Electronic systems and'

sophisticated. Even if there were to be

age,

Life

to play

will

domestic

challenge

research.

programs.

space

such products perform more

come

protection than ever before, not only
against the hazards of untimely death or dependent old
have

continue

will

expanding

space

again

will

both

components constitute the major portion of missiles and

through life companies for the financial and eco¬

made

There

government the

upon

profit depends upon new products

ideas coming out of

new

Electronics

provision

the

that

confidently expect

therefore

profit, just

upon

and

promises

higher levels of individual and corporate incomes.
may

During 1962, I would expect a continuation of the mod¬
erate recovery which began several months ago unless
steel labor negotiations in the first half of the year
create a retardant for the latter half.

fact that research and development progress is dependent

both minor and brief.

was

impress

Bethlehem

for our nation's

large measure responsible

technological future—to

of higher levels of general business ac¬

employment

and

profits, this should be the

year

growth phenomenon. Since

interruption and that

prospect

tivity

this matter of restricted

Chief Executive Officer;
Steel Corporation

Chairman and

yield

Life insurance in the United

beginning of the century, at least, it has experienced

only

spent

States is truly an outstanding
the

selectively

continues,

nevertheless

growth

slower rate.

and

maximum results.

even

wisely

have

But it is

periods of lesesr budyancy

depression ' its.

severe

Thursday, January 18, 1962

the research dollar Will

will continue to be held down,

periods of economic expansion, the

growth of life insurance naturally accelerates.

ARTHUR B. HOMER

competitors. Also, with the prospect that profits

of their

Financial Chronicle

bachelors of
Florida

the widows, widowers, divercees and
who have found the way to live in

are

means

prestige location among others they enjoy
being with, and yet without the responsibility or upkeep
of

and

large establishment—where they
"jet" off without a care!

For

these,

and

for

can

lock the door

the additional millions who take

their place every day of every year, Florida will never
lose its lustre, because the same things which have at¬
tracted

people here in the first dawn of tourism are still
sun, sand and water, easily accessible, with
any type of recreation from the most lavish

here—the

resorts

for

Beckman Opens Branch
GRASS
man

V"
I

'■}

iH&l

•<,

VALLEY, Calif.—BeckCo., Inc. has cparsed a

branch

office

under the

'-yt>

They

live

big

129

Mill

Street

direction cf Carlton G.

':"Y

Thomas.

Butler,Wick & Company

cities, in towns and vil¬

IN OHIO

lages,
few

farms. Quite
customers

are

ours.

VpP

Personal contact with

are

our

eighteen

sales offices and

everywhere

our

newly constructed main
office

fice .at

—-

237

branch of¬
West Yosemite Street

been

opened

Co., Inc.
Mai:ager.

Aldea

by Eeckman
R.

helps build dis¬

New York Stock
American Stock

&
is

Houbein

Exchange

Exchange (Associate)

Midwest Stock

Exchange

Ajax Magnethermic

Howell Opens Office
CETIRE, N. Y.—J
P. Howell & Co., Inc. has cpened
branch

Highway
of

office

under

180

Ohio Water Service

At antic Business Forms

ROCKVILLE

}

Ohio Leather

Automatic Sprinkler

investors—

through

MEMBERS

MANTECA, Calif.—A
has

these

investors

(Established 1926)
New Branch for Beckman

Sunrise

the management

Charles Hcfur.an.

Sawhill Tubular Products

Atlantic Register

Union National Bank

Bessemer Limestone & Cement
C-F-M Co.

Valley Mould & Iron

Commercial Shearing & Stamping

Youngstown Fdry. & Machine

Dollar Savings & Trust Co.

Youngstown Research &
Development

Mahoning National Bank

tribution.
6th Floor Union National Bank

Paul Nichols Branch

THE OHIO COMPANY
Member of the Midwest Stock Exchange

51 N. High St.

investments
Columbus 15, Ohio

FAIRBANKS, Alaska—Paul N'chcls
Securities
Company
has
opened a branch office in the
Northward ;B .Tiding
under
the
management
Thomas.

of
"

Donald

Bldg.,

Youngstown 1, Ohio
TELEPHONE
BRANCH OFFICES:

4-4351

Alliance, Salem, "Warren, Ohio;

Franklin, Sharon, Pa.

Volume

Number

195

6126

The Commercial and Financial Chronicle

to the modest.

People

then

permanent residents—here

return

to Florida first

come

tourists,

.the

Broward

has

County at the rate of 800 families per month, net. With
this population growth, a whole range of services must
be provided — from
shopping centers to homes, from
lawn

services

and
new

State.

These

not—to

are

borrow

placed

persons

ties

community with

This

last statement

helps

ment of

'boom'

slowing down?"' The answer is,
But the word ''boom"
is wrong.
Florida's growth, unlike the unfortunate days
of the '20s,' is based on solid ground—not
paper profits,
although a few companies have yet to learn and benefit
from

bitter lessons of the

the

'20s.

and

growth

new

investments form

this

the

built at the

rate

our

recurring -income

day,

per

60%

some

The

end

second

Plaza

Ridge Properties, Inc. terms of

unit

with

sales are either for all cash, or half cash,

topped $28

ance

two

equal annual instalments

We do not consider sales of land under any

Under

these

sound

only

economy can go

financial

principles,

Florida,

building homes and

businesses, with the increasing
into

the

In Broward

this

County,

have planned for, and

are

continuing growth and development, on

Those

own

the

sold

for

already

home

open;

this

with

year,

August Ihlefeld

that

these

future

stimulated

moves

confidence

holding

these

and

return

companies who

inventories

1962 will be

attract

funds
How¬

the possible adoption of with¬
interest will hurt depositary institu¬

taxes

savings, mutual savings banks will

year.

Mutual

The mortgage ratio

their powder

dry,

land

not

ernment

marketable
the

but

end

can

expected

rise

savings banks will also continue their efforts

securities

coupon

on bond holdings
municipal and U. S. Gov¬

into

corporate bonds. The upward
trend of the economy and the larger demand for funds
that will result, should provide
opportunities to secure
higher yields on both the bond and the mortgage invest¬
ments to be made this year.

their

carrying charges, and

readily

their

to step up the average yield obtained

by switches from low

keep

press

further in 1962.

banner year.

also

may

efforts to increase earnings. The most effective way to
do this has been to increase the ratio of
mortgages to
deposits. This ratio rose above 75% in 1961 as the net
increase in mortgages exceeded the gain in deposits for

and

projects

the

In any event, competition for savings will become
intense as a result of interest rate warfare.
To maintain their ability to pay a competitive rate of"

the boards, our

the

additional

underway and

now

because

tions.

growth and development of South¬

With

savings will register
1962

ever,

construction

80% ;being

considerably
$2.4 billion

from investment in securities.

out

made

was

heavily taxed will find that the profits at

of Coral Ridge Properties, Inc.—not

company

application

and

were

trend

institutions

90%

record

personal, disposable
income. The higher rates of interest
to be paid by deposit-type savings

the grindstone, who do not burden themselves with

large

far-

reaching but prudent basis.
Our

Towers

excessive interest payments, heavy

geared

point:

our

the

increase

rising

shop¬

our

than

Total personal

companies have been forging ahead full-steam to

noses

own.

Manor,

in 1961, a sub¬
over the $1.3

improvement

1958.

apartments; Coral Ridge Shopping
442,000 sq. ft. under construction

stores

companies

local

of new industries

move

State, land utilization is coming into its

areas.

the

make 1962

new

337

Florida.

other

earth is still earth itself, and with the increasing flow
new

east

Florida

the

The best investment

of;

residents

feel

faith

one way—up..

less

all its

million here

Ridge

other terms

proved
Coral Ridge

months,
of

several

Coral

interest.

being bona fide sales.

by about $2 billion

provide additional
our other two hotels,

for

billion gain in 1960 but

and

year

has

now

sale, which have been unchanged for 20 years—all land

with the bal¬

the

seven

This follows

Coral

apartments

within

transactions, with the balance conventionally financed.
our

addition

Company,

result

stantial

ping centers, apartments and business properties.

all cash

are

business

the Gait Ocean Mile Hotel and Ocean

Coral

330

Ridge Hotel

Trust

banks in the United States increased

dividend; the

Corp., chartered under the SBIC, to

further5 diversify

the

Gait Ocean Mile in Fort Lauderdale; the formation

foundation

the

cne

Coral

115-room

IHLEFELD
Banks

deposit-type savings will be
of the higher interest rate
ceilings permitted commercial and mutual savings banks
in New York State.
However, mutual savings banks
expectto meet this challenge by
intensifying their efforts to serve the
savings public.
Deposits
in
all
mutual
savings
1962

wholly-owned subsidiaries—Coral Ridge of Cali¬
fornia, Inc. to handle land acquisitions in that State; and

Ridge
subdivisions, for example, and it is not the exception
but the rule, with homes in the $17,000 to $35,000 being
area.

keener

of two

People who have put solid equities into their homes,
businesses

Competition

new

the First Financial

the

New York, N. Y.

much

homes

purchase

fifth consecutive semi-annual

our

construction

have not yet begun to grow!

the

Savings

y< ■

early in 1960

in the $40,000 and up
4,000 acres of land in the
direct line of development in Broward County; the pay¬

category;

■

waterfront

> program

the first question-^-

answer

national economic atmosphere

the

"Is the Florida

AUGUST
President,

baili¬

our own

Company, shopping center building special¬
ists; the sale of 277 acres of land for $4.8 million, and
immediate start of a $40 million home construction

interests, instead they become staunch members
community, with social and economic ties.
■"»

oldest in years and experience—
capabilities to meet the challenge

J. A. Cantor

nor

the

who settle down

our

a "wait and see" attitude, Coral
Ridge announced the $9,000,000 Coral Ridge Towers co¬
operative apartment building—largest in Florida; the
$8,000,000 Coral Ridge Shopping Plaza jointly with the

term—dis¬

the

tinged with caution and

new

the

but

within

future, and start the ball rolling in

wick.

banks, from jet airports to schools.
residents provide new capital for investment
construction, strengthen community action, and add
blood to the cultural, social and economic lifestream

These

largest,
tried

of the

(325)

At the

same

time, savings banks will seek relief

gratifying.

Continued

from

page

L. C. Whitaker Branch
DANIA, Fla—L. C. Whitaker Se¬
curities Corporation has opened
y

y'--

-y y

' V

-ix'

branch office at 225 East Dania

'':>Vyy y;y

■

Beach

Boulevard under the

R. J. Baker Co.

Saunders, Stiver &Co.
-

{Established 1932)

MENLO

PARK,

Baker

Co.

■

•'

■

•

>*,

Underwriters and Dealers in

Corporate and, Municipal

<*„

-•

• i

Crane

1108
John

Street.

Baker

Baker.

Partners
Roland

and

S. S. Mintz Opens

y
-

The First Cleveland

(Special to The Financial Chronicle)

NORTH

securities business from
1647

CV 283

PRospect 1-4500

LAS

VEGAS, Nev.—
Samson S. Mintz is engaging in a

Cleveland 13, Ohio

North

offices at

X C HANG E

National City E. 6th

Main.

Opens Office

Telephone PRospect 1-1571

BROOKLYN, N. Y.—Bernard
Most is engaging in a securities

Canton

Corporation

Member Midwest Stock

CLEVELAND

r% Most
STOCK

MIDWEST

Municipal and Corporation Securities

Securities
■

MEMBER

Distributors

are

One Terminal Tower

Dealers

1 i f.—R.

is engaging in a se¬
business from offices at

curities
/.«

Underwriters

Opens

(Special to The Financial Chronicle)

;,yV;

man¬

of Vince A. Bruce.

agement

Columbus

Exchange

Building

14, OHIO
Teletype: CV 443

Sandusky

CV 444

Toledo

business from offices at 1661 East
28th

Street.

•,

E. Patnod Co. Formed
RUTLAND,
is

nod

Vt.—Evelyn

conducting

F. Patsecurities

business from offices at 158 River
Street

Joseph, Mellen & Miller, Inc.

nod
der

Cleveland

14, Ohio

firm

name

SECURITY

DEALERS

Patformerly with A. M. Kid¬
&

Co.

Mr.

Co., Inc. and Reynolds

SPECIALIZED—PROMPT
CLEARINGS

Jack

Building

the

Patnod

was

Co.

INVESTMENT SECURITIES

East Ohio

under

Evelyn

Riggs Forms In v. Co.

We clear for dealers in

(Special to The Financial Chronicle)
J

...,

.;/

r .

Telephone—TOwer 1-5565

Teletype—CV 365

SALINAS, Calif.—Jack Riggs In¬
vestment
Company has been
.

~v",

•

<7*

? *-

.■-

ry.v--y;

Street

vestment

continue

business

the

Jack

in¬

Riggs

Officers
are
Jack
R.
Riggs, President; M.
C. Riggs,
Secretary; and H. Buttner, Treas¬

Agency.

Broad St.,

427 Glessner

Cleveland

Pittsburgh
-

Toledo

Chicago

Cincinnati

formed with offices at 1101 North
Main

New York

Address Loans

partment.

and Securities

Teletype: CV 240.

Bank Wire: NCLV.

urer.

New York, N. Y.

Ave., Mansfield, Ohio

OHIO'S LARGEST

BANK

Sigesmund Opens Office
PITTSBURGH, Pa.—Raymond H.

Sigesmund is conducting a secu¬
rities business from offices at 601
Grant

Street.

formerly
with Francis I., du Pont & Co.
was-

Assets Over One Billion Dollars

De¬

Financial Chronicle

The Commercial and

Continued from page

that

restrictions

ability to serve

hampered their

have

look for
•

off, which should improve

worked

Our

steady

FRANK

vpgS

W. JENKS

AS; we begin the 1962^ fiscal year, we hope; to attain,
provement in all categories of sales.
'

to?,:

;

In summary,

there will
United - States,

general upturn in business in the

particularly in the first six months
of the 1962 calendar year. If these
forecasts are correct, they should be
reflected particularly in our motor
truck sales, which are especially sen-.;
sitive to the level of general business. ;

5 and

;
'

for

Government

the

and

[

which

market

.for

will

sustained; and hope

It appears that the recovery

•

mously

trends

sales, which would favorably affect : ; Frank w. Jenks
both sales and earnings. - %.- W /-*><•'
1 - - -

the border.

;

needs de-

qualities.

taking place in this

healthy affect north of

of
'*

•»

.•

• -

' "

;

jthroughout free Europe.cThe outlook there is

confidence. ^

one

;V '

;

Aeroquip's •: licensees ate

of the world where

area

Great Britain to France to Italy to Japan; :

Australia, broad gains are in prospect.
The

American

economy

momentum

The

front.

•

;

...

things seem to be going well in every indus-

In fact,

trial

located. From

This total view is borne out by *
Aeroquip's current experience, which
;
Our farm equipment, business around the world, we
is from the vantage point of a com- .
believe, should be somewhat improved during 1962, arid vpany serving capital goods industries.this improvement should include the United States niarThe rate of inquiries from customers..
and prospects has gone up impres¬
'ket. Here we anticipate increased sales of tractors and

Hanri^Mueriden,- Germany-adds'still further,v;

Baden and

eyident

•

;

optimistic.

United States. Our

cojifirmation .to the already /well-established prosperity

•

unani-

'almost

are

]^The;;prbgressJteirig;maao

v.- 'v

Canada is doing better now than a year

country has concurrently had a

•

Production, employment,. construction, capital," ex- penditures, personal income
to
name
only a few—are pointing to *
increases in 1962.
Z
J ■ ^
.

•

nH|
^JgSgt

used>/ to

economy

opinion outside of the

business

subsidiary in

the'

indicators

primary

forecast

weighing all

.'.r> The ;

heavy-duty truck

increase in

PETER F. HURST ;

evidence^ as' it relates;, to"* the
economy in general aridtoAeroquipC^
I cast my vote with the large majority of economists who:
are anticipating a continued business; recovery in 1962.:

After

been

£s-tyeir£s;riffensiv€i^^ap^Wlitiesi

a
-

gLMU 'Jpk
,jJmm

of
:

far as sales are concerned. v

President, Aeroquip Corporation : ;;

<•

QKI
;•?.

production will be substantially accelerated early in 1962.
We believe the
light-duty truck

between

1961,

have

Reports reaching my desk also reflect a cross-section

ago.

sales
will;; also ; be ;
substantial order for
6-wheel-drive tactical

trucks; which" are now- being;, produced

'■

perhaps somewhere

percent,

there

this,

prise system has amply demonstrated these

show an

;

truck

Motor

helped by
military

enduring and successful an

Yensiye

it1 seems likely that 1962 will

improvement over

-To

are

foreign business will equal or exceed that of 1961.

Fearful

ability to remedy and recoup in times of setback.

the

/those ' abroad/
generally somewhat optimistic. aind-^

Most economic forecasts seem to agree ^that

the first half of

including

Subsidiary ! cdrripanieg,

;

of 'gloom" warning us that when America's
economy, shifted into reverse, the downward slide, would
be disastrous. Events have exposed the falseneis of this
theory. While there can never be a bright side to any
degree of depression, we should nevertheless give cognizance to the proven fact that our economic system has

experiencing

1962.

International JBaryester Company,

President,

diminution.

even

'{"prophets

in orders, and this improvement is,

increase

expected to continue at least .through

icf economic prosperity,-to sustain a constant upward
"movement without an occasional pause or adjustment or

sales ..prospects;..-

has been

Steel Division

Wisconsin

opinion that some of the current

contractors is now beginning to be

V ment in the hands of

mutual savings
successfully the

competition;

challenge of intensified

construction

program,

could be utilized, in the expectation that the program would develop even more
rapidly than it has: We think that inventory of equip-

personal loan service to depositors are changes that are
likely to be sought actively.
\
Through their efforts to increase earnings and
to
obtain relief from obsolete restrictions to which other
institutions are not subject, the
confident that they will meet

highway

Federal

equipment was bought than

are

at the start of the.

We believe that several years ago,

•! huge

limit, equalization of branch privileges with
of competing institutions and authority to provide

thrift

some

deposit

banks

Thursday, January 18, 1962

.optimism is a justifiably favorable reaction to the way
the economy behaved during the recent recession. ..The
ability of our economic system to recover the way it did
was
quite significant,; being indicative of an inherent
strength and durability.
'
.'
. ?
;
It is not realistic to expect any force, especially that

favorable factor. In addition, we
increase in highway construction. >

products should be a

savings

those

would venture the

improved

States. Again, new and

in sales in the United

public, and that have become both in¬
equitable and obsolete in this increasingly competitive
area.
In New York State, the raising of the $10,000
the

(326)

advancing

along

business

accelerated

wide

activity

;;

should carry through
'

half 'appear^ceriairi. At Aeroquip, • for

inventories' 6fv machines, and

partly

pected increase in gross farm

and

to be

This is more than
thinking. It has been

and

does

enterprise require?

Smith

the

15TH

TELETYPE:

661

Vidaver -has

BUILDING

WOODWARD

STREETS.

3-1677

Road,

ARLINGTON, VIRGINIA
303

ARLINGTON

TRUST

Telephone: JAckion

& Co.

BETHESDA, MARYLAND

BLDG.

4925

4-1266

•

19,

PA.

engage

J.
&

at
in

Municipal and Corporate

Vidaver

Mr.

Securities

with Renyx, Field-J

formerly

was

business.

securities

Vidaver

offices

with

Inc.

Freeman

N.W.

J.—Sidney

formed

Company

TELEPHONE:.STERLING

•

••

Vidaver Co. Formed
L'AKEWOOD,

WASHINGTON,

LOBBY

increasing

BUILDING

PORTER

;;

pany.

Ilaupt & Company, New York City

•

greater -incentive

What

THOMAS&COWIPANY

Com-,

PITTSBURGH
Direct tvire to Ira

energies:

business.

available

ai securities-:

Street ; under

name

■

FAIRMONT AVENUE

Telephone:

OLiver 2-2769

Benj. Werner Forms Co.
BROOKLYN, N. Y. — Benjamin
Werner is engaging in a securities,
busiriess from: qffices>^; 96 Byl^L
wer Place under the firm name; of; ^

1877

—

EIGHTY-FIVE

YEARS

LEADERSHIP

—

Benjamin Werner

1962

Weil & Doyle to Admit
Weil

Underwriters, Distributors, Dealers in"V

:Corporate and Municipal Securities

Z. Van

Thomas

NEW

New York Stock

Exchange

CITY,

Walker

branch
v

American Stock

Exchange

•

Sons-

office

—

Joseph

New

ATlantic
York

1-0358

—

North

Main

Street, under the management of
Robert G. Shaw. t
Z "

Teletype

(Special to The Financial Chronicle)

397

Telephone DIgby 9-3650

Pittsburgh, New York"

•

-•

v, >w

r'p a.'. i»» ; ,/

"i>« ftA

DENVER,
and

Colo.—John D. Manes
C:
Shelley -have;
connected ;r with v Crut^t

Ransford

Greensburg, New Kensington, Washington, Pa.

Podesta^

become

&• Co., 524 17th,
VStreet.- Both have recently}been
with Currier & Carlsen, Inc.
tenden,

Podesta

SECURITIES

INVESTMENT
2 25

Offices:

INCORPORATED

has- opened /a't

With Cruttenden,

TRUST BUILDING, PITTSBURGH 19, PA.

Telephone

Pittsburgh Stock Exchange

UNION

New Walker Branch

complex jI?

investment facilities!

Raalte to limited

partnership.

MEMBERS:

.with

Feb.
1, will admit Susan V. -R.:.:
Klauber, James H. Van Raalte arid

MOORE, LEONARD & LYNCH

ffes;

THROUGHOUT WISCONSIN

Doyle, 30 Bread Street,
New York City, .members of the
New
York Stock
Exchange,, on

AT YOUR SERVICE

&- Co*
;

challenging motivation that'

offices Vat'' TC50-;

from

Point

North
firm

free

resources

our

Calif.^Anna-J

FRANCISCO,;

J. Smith is conducting

Investment Securities

Inv. Co;,};;

(Special to-THE Financial Chronicle)

business

made very clear. There ;is abso- :

mobilizes
volume

SAN

September 30. "

^eeri^ou^Or:. But there is

incoriiing.

time-now.

good, and we believe there will be an improvement

end

orders chart which has beeri quite, handsome for/some

rConstruction equipment sales abroad should continue

;

tangibly,; substantiated in the -profile .of- our

Income. "

wishful

we are

-lately no complacenc^rMtt our putlwk because every daiy,
% all day long, .wp are.jeminde$; that competition has never

Peter F. Hurst

high hopes.

just

will

One point should be

out in the field is one of enthusiasm

result of an ex¬

as a

sively and our sales engineers and
representatives tell us that the mood

[farmers, partlyjas a. result of. new and improved products
to be introduced, partly as a result of rebuilding dealer

example;

looking for record results in our 1962 fiscal year which

equipment for industrial use and an increase in sales to

for some time to come. A good first

Mason

E.
.

St.,
"

Members: New York Stock

Milwaukee 2, Wis.

•
«

Exchange*Other Principal Exchanges

teletype:^
Phones:

Milwaukee:

6-8040-A

405

Chicago: st 2-0933

11-v^crtc'i.i!

miiiiuiadsr

Volume

195

Number 6126

\
ROBERT S. INGERSOLL

Both Norge and York
in appliance sales for

Chairman, Borg-Warner Corporation
Durable goods
spending should
the
of

months
1962

ahead, hit

and

qualify

continue

record

high

the major

better business
year than

the

;

behind

now

goods business turned up last March
has

made

October

available
orders

(the

this

the

were,

steady

orders

highest

June,

comeback.

latest

forecast

since

1959,

steel strike.

figures

prior

of the 2,000

the

specializing

better

increase

construction

polymers,

range confidence

be. up

severe

diversified

because

squeeze

cost

the

and

pressures

forecasting a slightly
Supporting Marbon's long-

volume.

in current

plans

for

lion

automotive

made

cars

are

encouraging

and

are

esti¬

mates from overseas, where
Berg-Warner has automotive

parts plants in England, Australia and Brazil.

Borg-Warner

also

increasing

sees

volume

and

new

products

are

new

1962

the

with

ahead

Gross

Parker

Corp. Branch
-

Pa.—The

Frank-Street Branch;

Parker

Frank-Street & Co. has opened

George C. Johnson

annual

expected
billion

Corporation has,peeped a branch branch office at 99 Wall Street,
office at 408 Clair Drive under New York
City, under the manthe management of Ala WD. Plessf" agetoeiit bf Charles J. DeFede.
:'i v !"•:

securities

at 2030

business

from

offices

Elmwood Avenue.

Mokhiber is

business,

the

interna-

deteriorates

New

economy

reach

$540

now

billion

rate

with

by the middle of 1962.

Amiel

Co.

from

ness

offices

Building under the firm

For

example, The Dime of Brooklyn closed some
$95
new
mortgages during 1961. Of this, over $88
million covered 4,889
mortgages to home owners in the
State of
At

New

York.

present, the bank has outstanding $130 million in
-

Continued

■

page 60

Frost, Read Office

JOLLA, Calif.—Deneen
A.
Watson is conducting a securities
business from offices at 7946 Ivan-

SUMTER, S. C. — Frost, Read &
Simons,, Inc. has opened a branch

hoe

office at Law Range, under the
management of Harold Moise, II.

Avenue.

RETAIL IS OUR BUSINESS

busi¬
Life

name

INVESTMENT SECURITIES

Lone Star Securities.

,v.'

Members

Underwriters and

SAN

Exchange

Listed and

Exchange
(Associate)

;
'

•-

"h':

••

;

"•7:

\
h'K

engage
-

Paul

securities

Blinkinsop

vvV-

•

Trading Markets

Princire¬

MIDLAND SECURITIES CO., INC.

united Financial Planning

Ground Floor, 15 W. 10th Street
KANSAS CITY 5, MISSOURI

nancial

Planning Corporation is
engaging in a Securities business

OLIVE

SAINT LOUIS

from

offices

Street.

Telephone CEntral 1-5585

146

Teletype KC 175

Grand 1-2424

Westminster

Martin Miller is President

BRANCHES

and

Treasurer.

was

formerly
& Co., H. Hentz
& Co. and United
Guaranty Corp.

with Westheimer
Private Wire to

Underwriters

iv--:.:-v-a

PROVIDENCE,' R. I.—United Fi¬

Exchange
AND

-V'i'V

business.

Midwest Stock

FOURTH

;

L-.V

Broadway, to

pai.

Municipal Bonds

;

Fund Associates has been formed
with offices at 5108

American Stock

Unlisted Securities

ANTONIO, " Texas.—Mutual

Retail Distributors

Mutual Fund Associates

New York Stock

Distributors

Clark, Dodge & Co., New York

Oklahoma City, Oklahoma
St.

Orlando, Florida

Joseph, Missouri

Leesburg, Florida

Robt. Baird Branch
RACINE,

Wis.—Robert W. Baird
Co. has opened a branch office
524
Main
Street
under
the
direction
of
Charles
E.
Lan¬

&
.

I"£

J V "S ift '•

» s »j»,t

t\f*

''77:

•

"•:*

•

••

•

at
< I

f7.?

Jul,

caster, Jr.

MUNICIPALS

Dreyfus Branch

We Specialize

WELLESLEY, Mass.—The Drey¬
fus

making close and sizeable position

Corporation

issues

and

wide

branch

variety of unlisted

office

under

markets in

the

purchasing blocks for

our own

retail

Wildon Road

direction

vestment

are

and

muti'm m> MEMBER, MIDWEST. STOCK EXCMNGE

Colo.—Karlad

business from

Holland

Street.

Texas

offices

Officers

Dean L.

Morrison, President;
Glynn, Vice-President;
Arthur Flannelly,
Jr., Secre¬

PARKER

N/ SIEI
E WAECKERLE /

ADAMS
Member

1012

Two With Dean Witter

Oklahoma

Bank and Insurance Stocks

In¬

tary-Treasurer.

SCHERCk, RICHTER COMPANY

—

Company is conducting

securities

John

New Mexico

Industrial, Public Utility and Railroad Securities

(Special to The Financial Chronicle)

1485

—

CORPORATES

LAKEWOOD,
a

Kansas

Felix

—

and Other Midwestern States

Form Karlad In v.

distribution.

opened

Missouri

Ehren.

always interested in

are

has

PURCELL,

Midwest

BALTIMORE AVE.,

Stock

Inc.

Exchange

KANSAS CITY 5, MO.

'■

320

N. FOURTH

ST.

;

ST. LOUIS 2, MO.

(Special to The Financial Chronicle)

PORTLAND,
Davidson

and

Ore.—George
Donald

ser¬

home

Lern

the

and

$565

million in

pLone Star Sees. Opens

Newhard, Cook

near

A sub¬

firm.

Tex.—Julian A.
engaging in a securities

its

the

production in the four Long Island coun¬
ties, together with Richmond, Rockland and
Westchester
Counties where The Dime
Savings Bank of Brooklyn
concentrates
its mortgage
lending activity, showed a
modest gain in volume
during the year just ended. A
rising production curve is expected in 1962.

Principal of the

DALLAS,

fur¬

"U'V" ."Yv'

rate

will

during

D. A. Watson
Opens

Y.—American

Management Funds is conducting

;nr

stantial portion of this amount
paid for goods and
vices will find its
way into new home construction.

American Mgmt. Funds
ROCHESTER,

note

optimism

peak in history,
National Product

PITTSBURGH,

year

unless

situation

domestic

highest

Start-up of these new facilities and normal
capital
spending of about $20 million in 1962 will help
improve
Borg-Warner earnings in the coming year.

approximately another third of annual sales.

year

The

$40 million
expansion program completed and several new
or
ex¬
panded plants in operation. These new facilities
include
the 1,100,000 sq. ft.
Norge refrigerator and freezer plant
at Fort Smith, Ark. and
expanded automotive trans¬
mission plants by Warner
Gear at Muncie, Ind. and
-Borg-Warner Limited at Letchworth,

its

lines

ther;;;;'''*1.-:; *• "

record

the

strong

this

appears

national

1962;;,

England.

for

all

Borg-Warner-enters

Norge, York and other home equipment divisions, which
account for

and

start,

continue, and perhaps grow,

Overseas business continues to
grow in volume and
profitability, with the - strongest markets in automobile
parts and air conditioning.
:

most

field, accounting for about oner
sales, Borg-Warner expects sales to be sub¬
stantially higher than 1961 and to-surpass 1955, the
previous high year. Detroit forecasts of some 6.7 mil¬

third

finished
optimism for

sions look for improvements in line
with that
industry's
forecasts of 10% higher production levels.

avail¬

meet

Board,
Brooklyn

slow

1961

■

substantially increased sales.
Earnings
considerably but continue to be subject to

of adequate capacity nationally
of the foreseeable
product needs.
-

•

plants at Baytown, Texas
Edinburgh, Scotland.
Borg-Warner divisions serving the farm and
industrial
equipment industries expect to share in
predicted 5%
increases in business.
Similarly, the three steel divi¬

durable goods field, estimates
its own performance in
1962

ability

the

indicators

After
•

and near

generate

will

Savings Bank

economic

(acrylonitrile-

butadiene-styrene)

in the

that
will

broadly

the

Borg-Warner's Marbon Chemical
Division, r'
in the faster-growing ABS

Borg-Warner,
Ingersoll

Chairman

and.

offices, hotels, apart¬

buildings and manufacturing plants.
•
plastics industry looks for an overall
growth of

10% in 1962.

mobile and appliance production.
S.

Most

The

•-;
.V,/ '
•■7;,
Pointing to continuing strength in
durable
goods are predicted
1962
increases in new plants and equip¬
ment, new homes, and steel, auto¬

Robert

and

Dime

ment

The

mar¬

used

establishments, such

made)

wave

GEORGE C. JOHNSON
President

point to a healthy
active year ahead for
the mutual
laundry and dry cleaning installations
savings banks of
New York.
This, in turn, means a healthy and active
operation and is expected to be used in
another
year for the home
building industry. The mutual savings
3,000 in 1962.
7/
7-k'. • '7
banks will continue to finance
York forecasts increases both
in home air conditioner
more
homes in New York State
sales (with more and more
than all
new homes
including central "v
other
types
of
systems) and in the sale of air
mortgage
lenders
conditioning systems for
combined.
commercial
/
75%

;

soft

goods,
service
and
government spending
during 1960 and into 1961, durable
and

are

Norge is expanding in the commerical
equipment
ket
through its introduction of Norge
Laundry
Cleaning Village stores., Norge equipment is

half

being
/

lagging

first
1962

(327)

forecasting 5% improvements
1962.7
increasing its sales of home
equipment,

In addition to

increase

for

reason

1961.

After

The Commercial and Financial Chronicle

"wm

Telephone BAltimore
E.

Kunesh

have*, joined the
staff of
Dean
Witter- & Co.j Equitable
Building.

Municipal Department

KC 42

1-4090

Trading Department

KC 552

#*7'

(328)

Continued from page

builders

other mortgage

and

home

applicants. Of this amount, $113,509,000 is for 6.600

mortgages.
In

other

New York

money

home mortgage business in the
from the
in 1960 caused by tight

words, the

has shown gratifying recovery

area

uncertainties

and

recession

and the Presi¬

policies of the Federal government

dential election.

present indications point to an adequate supply
of funds for mortgage investment during 1962. An im¬
All

portant factor in increasing the supply is the recent
permission given savings banks to pay higher dividends
to their depositors. The ability to pay 4%, or more, un¬
doubtedly will attract funds that might otherwise go.
into the stock market or other investments.
Increasing numbers of mortgages

will be written dur¬

on a

Brooklyn took the lead in using

since 1947, the bulk

lending activity of The Dime of

of the mortgage

Brook¬

and Suffolk Counties.
As 1962 began, the face amount of the mortgages in
those two eastern Long Island counties held by The
Dime
totaled $555,271,930, or 62.84%
of the dollar
amount of the bank's total mortgage portfolio. These
mortgages covered 52,483 properties or 69.01 % of the
76,052 mortgages held by the bank at year-end.
In addition to its home loans in Nassau and Suffolk,
The Dime of Brooklyn has financed, several million
dollars of commercial, industrial and institutional con¬
lyn during 1961 was in Nassau

Mortgage
from

been the

for the year $201 million.
we
expect to have
a
net income in 1962 of about $13
million.
An increase in carloadings

investment
comes

new

There

The Dime of Brooklyn

were

"97

total of five blocks between

•

about

29.3

production in 1962 may be
about 3%; likewise, a small gain
in pork production is fore¬

cast;

veal production will remain
steady and a slightly lower

about

level of lamb and mutton processing
is anticipated.
Production of broilers

point to

for development of the local
the bulk of our deposits has

optioned six blocks of air rights over our tracks at
Chicago north of Randolph Street between Stetson Ave¬
the Illinois

Center

turkey outlook is clouded by marketing orders
are
under
consideration.
However, indications

107

modest reduction compared to the

million

turkeys.

Agricultural Chemical
associated in

Cor¬

option is fully exercised the Illinois Central

new

BOSTON

v-b W!

NEW YORK

EASTERN

-v''

MARKETS

the

has

System

re¬

gage

Partners

Kilby Street to en¬
securities business.
James

are

Lane,

ANGELES, Calif. — Bertram

Hames

with

has

become

Walston

Wilshire

Blvd.

associated

Co.,

Mr.

Inc.,

Hames

yf m

has been in the investment busi¬

Brown & Co.

was

City,

his

Chair-

Equitable Names Desmond

the

man

the coast for many years

ness

formerly with Lester, Ryons
& Co.
In the past he conducted

York

New

Di¬

Board

rectors

HARTFORD, Conn.
Desmond

the

with

Re¬

Federal

investment

own

business

year

1 9 6 2.

has

ernors

re-

BEVERLY HILLS,

De-

Philip D. Reed

Chairman

the

Board,

Bigelow-Sanford, Inc., New York
City,

class C director of the
of

Bank

Reserve

Federal

Sickel

with

Camp Wise,
former

Kidder, Peabody

(Special to The Financial Chronicle)

SAN

FRANCISCO, Calif.—Robert
the,staff of
Kidder,
Peabody
&
Co.,
140
Montgomery Street. He was for¬
merly with McDonnell & Co. Inc.
H. Gorham has joined

(Special to The Financial Chronicle)

ppointed

James

Joins

Corpo¬

Assistant Vice-President

Sickel Joins Bache

The

Board of Gov¬

the Hartford of¬
fice, 75 Pearl Street.

Re¬

the

for

associated

Agent

serve

York for the three-year

New

has

Bache

with

G. C.

John

—

445

Mr.

Sickel

North
was

Dempsey-Tegeler

Avery Opens

(Special to The Financial Chronicle)

associated

Co.,

Roxbury Drive.

formerly

Calif.

become

Mass.—Gor d on

MARION,
business

offices

from

the

firm

Gordon C. Avery

& Co. and J. A. Hogle & Co.

the

Chairman

BROADER MARKETS.

Board

the

for

& Co.

under

Road

term be¬

The

Reserve

year

Board

Bank's

1962.
has

Governors

THE

also

BETTER EXECUTIONS

reappointed Whitworth Fer¬
guson, President of the Ferguson
Electric
Construction
Co.,
Inc.,
Buffalo, New York, a director of

Member

the Buffalo Branch of the Federal

extensive

private

wire

Reserve

system

the

for

quotes,

broader

markets,

up-to-the-minute

and faster execution of orders.

Jan.
of

Any

1,1962.

the

New

Equitable

office

will

put

you

immediate

New

term

York

for

has

Reserve

Bank

designated

Bell

Olson,
President
of
Instrument.
Companies,

Wire to Dempsey-Tegeler

rectors

Securities Corporation
ATLANTA

•

HARTFORD

BIRMINGHAM
•

GREENSBORO

322 Union Street

Nashville 3, Tennessee

•

JACKSON
•

•

MEMPHIS

PHILADELPHIA

•

NEW

Anson

The

BOSTON
ORLEANS

Two Wall Street

New York 5, New York

& Co., Chicago

Kentucky Municipal Bonds
Local Securities

The Reserve Bank's Board of Di¬
>

has

directors

•

Taylor

EQUITABLE
HOUSTON

Exchange

JUniper 4-0226

Teletype LS 186

Direct

Buffalo Branch for the year 1962.

•

Stock

Ray¬

Rochester, N. Y., as Chairman of
the
Board
of
Directors of the

DALLAS

Midwest

Kentucky Home Life Bldg.

LOUISVILLE 2, KENTUCKY

beginning

The board of directors

Federal

York

mond

touch with the entire network.

Bank

three-year

1st Floor,

also

appointed
as
Branch,
Sherman,- President of

Citizens

its

V INVESTMENT DEPARTMENT

Buffalo

Central

Bank, Ar¬
cade, New York, and Elmer B.
Milliman, President of the Cen¬
tral Trust Co., - Rochester, N. Y.
Both will serve a three-year term
beginning Jan. 1, 1962.
_...

TYRUS
HECTOR
Mrs.

CLARENCE G. TAYLOR

DAVIS

CHARLES H. GARTRELL

W. BOHNERT

ELINORE SEDLEY

CHARLES
JAMES
ARVIL

M.
L.

KING

J.
---

PAT HALL

FREDERIC C, PARK

BUNK GARDNER, JR. ^

FETTER
SHORT

Avery is engaging in a securities

ginning Jan. 1, 1962, and has re¬
appointed Mr. Wise as Deputy

makes

Los Angeles.

Thomas E.

and manager of

New York and

Federal

—

become

has

Equitable Securities

ration

Bank of

serve

Equitable's

731
who

David C. Lourie, and Richard C.
Wolff.
All were formerly with

A»f

•

AND

SOUTHERN
'/•

offices

Governors

LOS

slightly.
farms is

Electric Co.,

Vy/-... rM

LINKING

Wolff & Co. has been formed with
at

increase

designated Philip D. Reed, former
Chairman of the Board, General

Reserve

Federal

PHILADELPHIA

PRIVATE WIRE SYSTEM '•

7.7 7.-•

Board

The

EQUITABLE'S

■

Appoints

'HARTFORD

be
ex¬

(Special to The Financial Chronicle)

BOSTON, Mass.—Lane, Lourie,

Board

the

It is

Hames With Walston

Lane, Lourie & Wolff

Federal Reserve

IRE,

f-A-s /?

crop

years,

Division of the business will

•s

[ahou

1961

During the next two

projects totaling $30,000,000.
pected that use of plant food by farmers will
during 1962 as farm income is expected to rise
The trend towards greater use of pesticides on

poration. This organization plans a $500 million hotelapartment-office building complex on the property.
When the

103 years.

The

P. M. Jarvis

mately 2 billion head.

•'

Drive

levels, al¬

reduction is likely from
the all-time peak of 1961—approxi¬
some

plants is $104 million.

Shore

undoubtedly

will continue at very high

Central

Lake

pounds, compared

of 3-4%

which

and

billion

Beef
up

during 1961. These industries are
estimated to produce $5% million annually in additional
revenues for the railroad. Value of construction of these

nue

to the record 28.6 billion pounds for
1961.

expanded industries located on

Randolph Street and

Chicago River to be developed.

though

new

Interstate

industry, 1962 promises to be a year of good
supply of raw materials. Meat production should set a
high. This will permit the expanding American
population with higher disposable income, to continue
emphasis on quality, protein diets.
Government figures forecast total •
meat
production for 1962 will be

service.

Illinois

sold

was

new

air

these

In the meat

equipment program provides for the purchase
of 2,414 freight cars of various types.
diesel locomotives will be acquired for use in

passenger

the

primary policy of the bank for

Drive

M, JARVIS

predicted for 1962. Carload¬

million.

for

President, Swift & Company

construction

Two

metropolitan area.

which

the

and

million,

The 1962

primarily a mortgage lending institution. An aggre¬
gate of $883,000,000, of our $1,275,000,000 total assets is
invested in 76,052 real estate mortgages. Virtually all of
these are residential properties in nine counties of New

area

leave

revenues

our

$259

Shore

Lake

this'basis

York State in the

east

expenses

than $415

struction in the two counties.
Like all mutual savings banks,

will

million

$35

•*[:'.

railroad will receive

Wayne A. Johnston
working ; capital
ratio
of
2.07 %.
Capital expenditures for 1961 will
amount to about $20 million.
For 1962 such planned
expenditures will amount td approximately $23 million,
of which nearly $6 million, will be for roadway im¬
provements and $17 million for equipment.
Capital
improvements since World War II, including expendi¬
tures made in 1961 and planned for 1962 add up to more

financing tool.
As has been the case every year

that

estimated

approximately

When the transaction is completed the
$2,751,000. This company also has
entered into option or other arrangements with us for
the eventual acquisition of the remaining 3y2 blocks in
this immediate area. It is proposed to develop the area
with hotels and high rise apartments.
These two
air-right • developments when completed

ings in 1961 will total about 1,645,000
cars.
Carloadings in 1962 are esti¬
mated
at
1,693,000 cars. Working
capital at the close of 1961 is now
estimated
to be
$46^ million, a'

backing. The Dime Savings Bank
this new and liberal

without government

1962

of 3% is

conventional basis with a 6% interest rate.
This is a trend which began in 1958, following enact¬
ment of a New York law permitting state-chartered
savings banks to make long-term 90% mortgage loans
ing 1962

Thursday, January 18, 1962

Investment, Inc.

$12,631,000, or $4.04 per share. This
compares with net income for 1960
of $11,093,000, or
$3.56 a share. Operating revenues for 1961 are estimated
at $251 million, compared with $260
million in 1960. Operating expenses
for the year will be $197 million, as
compared with $211 million in 1960.
will

for'1961

One-half block of air rights north of Randolph Street
and

that Illinois Central net income

Present indications are

•.

rights.;

Railroad

President, Illinois Central

receive

will

JOHNSTON

WAYNE A.

commitments

advance

Financial Chronicle

The Commercial and

County

name

Volume 195

Number 6126

The Commercial and

Financial Chronicle

expected to continue.
Likewise, improved overall busi¬
ness conditions are
expected to have a favorable

effect
sales of plant foods for
home gardens and lawns. We anticipate substantial
progress during 1962 toward
the long-term

LOGAN

in the manufacture of
resin plasticizers and
epoxidized
oil
derivatives, (both used in making various films and
in

synthetic

and

waxes,

emulsifiers

which

and

are;

based chemicals.

oils, such as margarines,
and cooking oils, record
supplies and more
costs are forecast.
Soybean and cottonseed oil mills may well face another
definite squeeze on
margins. The 1961 soybean crop was

against
This

The outlook

near

capacity,

and

likely

affilated

with

Swift

three

are

Logan T. Johnston

Insurance

Company,

Company.

Prospects

and
for

Security
their

Mutual

continued

offset

the

national

outlook,

Casualty

novation,

full attention to

our

year

However, there
ernment suits

into
in

and

unproductive

are

American economic

and

These

unwarranted

Securities

cannot

engaging in

"New

steel

out.

man

hours

1959

has

into

come

Steadily rising
of

the

and

wages

President; Mary C. Liebell,
Lie-

bell, Secretary and Treasurer.

country

Durkee

terms

TORONTO, Canada.—Thomson
McKinnon
office

has opened
a
second
Toronto at 99 Avenue

Road, under the management of
Albert Waxer.

mutual

During the coming

;

the

Dwight P. Joyce

example of

Pa.

Dealers and Brokers in

Industrial

Glenn

New Jersey and General Market
Municipal Bonds

Stocks

moted

v-'

Co., Inc.

7 Member

Philadelphia-Baltimore* Stock -Exchange
J"' Boston Stock Exchange
(Associate)
>
Pittsburgh Stock Exchange (Associate) '
,

1516

Locust

Street, Philadelphia 2, Pa.

Teletype PH 677

New York Phone

recent

page

block

for

our

offerings

account

own

listed
for

and

unlisted

distribution

organization.

our

■

WOrth 4-7333

and

Presi-

and

Arvid

Presidents

Sholley

and

are

Will

York

Co., Inc. is

securities

City.

LOcust 8-0900
Bell

§
|
£

Reisch

Ltd.

offices

has

Officers

the; M

are-

formed

with

T*. Building.

Raymond

Bernhardt

were

formerly

haber
T.

was

Co.,

and

S/ Bern¬

Darby

officers, of. R,
Inc.

formerly

Boasberg

Mr.

Miss.

market

GENERAL

municipal bonds
•

£
£

for

DEPT.

WOODCOCK, MOYER, FRICKE & FRENCH, INC.

f
|

Fidelity-Philadelphia Trust Building

)oodcock

tfoyer
%

TPricke

(Pre

123 South Broad Street, Philadelphia
9, Pa.

} [BRANCH OFFICE: 105 Coulter Ave.
J

'■

•-

l-Yt :*,%
'
r

;

•[*'
*

Telephones Philp.: {(Ingsley 5-7200
; j1 - • "'Ardmore: Midway 9-4900
T" 4
*

**.

■

'J. Ill

Teletype PH-160 V'."
>.»«'*

Members-N.w York Stock Exchange,-™
■■

•*.

•

American Stock'Exchange (Associate)

Business Founded 1842

Nev*York: WAIker 5-0312

■"r

Ardmore, Pa. /*1

Phitu."-Balto. Slock Exchange

Faul-

Cashier

Company.

PENNSYLVANIA AND

CORPORATE FINANCING

hardt,
President} * Clementv. H.r
Darby,r Vice-President; Ruth L.
Bernhardt, Secretary; and Mildred;.
C. Faulhaber> Assistant
Secretary.;
Mr.

preferred shares
•

.•/•.;

Boasberg Ltd.
been

and

common

firm;

I. R. E. Investors Inc.

Form H. T.

INDUSTRIAL AND UTILITY

Place, New

£
Murray £
Goldman is Vice-President.
Mr.
|
Reisch was formerly in the in|
vestment
business
in
Flushing,. £
N.
Y.
Mr.
Gold
was
with
£
the

engag-

Leonard

NEW YORK
7-1200

System Teletype
PH

business from

Trinity

COrtlandt

New

Cloney.

W. R. Reisch Co. Formed
a

Broadway

NEW YORK 6,

named

Leon

111

PHILADELPHIA 3, PA.

Monsen

Comptroller.

W. R. Reisch &

offices

Exchange

Building
Rittenhouse Square

•

Comptroller, has been

Stock

The Alison

;

over

Members

7:'^'-.American

from;
-

1914

Philadelphia-Baltimore Stock Exchange

pro-';

Bernhardt
KIngsley 6-0900

either

dent to Executive Vice-President.
Edgar M. .Brister, Vice-President

Co.,

the
on

BOENINNG & CO

BUFFALO, N. Y.—H. T. Boasberg

Investment Securities■>••.•■/

the

reur

has been

Fresident

Securities

interested

are

President,

ing in

-*•

Continued

ESTABLISHED

Vice

are

laying

achieve

diversification aims is

our

through

Treasur ef,'V
him -

Lavallee

Charles A. Taggart &

been

by stepping up our research efforts, expanding
modernizing our plant facilities, and enlarging our
distribution system.

securities

takes

have

and

God¬

Treasurer

Mutual Funds

groundwork

former

with

frey,
Vice-?;
/President andr<;

Vice

Incorporated "■

Bank and Insurance

active.

Wilfred

RAEV2BO, CLOSE & KERNER

diversify

allied to those in which

now

intend

present
further into
our

SECURITIES

has

Lempe

Railroad

and

named

Board

and

year we

to deepen penetration of

markets

Utility

and

Public Utility and Industrial

succeeds

Public

sales

Directors.

MUNICIPAL and AUTHORITY BONDS

Philadelphia

Group made

both in

organi¬

the

Street

Foods

gains,

—

Chairman

Locust

en¬

UNLISTED

BOSTON,
Mass.
Sidney
L.
Sholley, President of Keystone
Custodian Funds,
Inc., 50 Congress
St., since 1932 when he founded

been

1518

Foods,

profits.

than

Sholley C'h. Hi I. of
Keystone Funds

zation,

CORPORATE SECURITIES

Famous

International—is

Famous

substantial

benefits, which
are the

even

and

couraging. Total sales of our Coat¬
ings and Resins Group reached an
all-time high in fiscal 1961, and our

During 1962 the steel industry will continue to stress
marketing methods, increased research and de¬

tn e

record

Durkee

Chemicals

areas

fund

T,.

We anticipate
a
continuation of
this upward trend during the balance
of the year and the outlook for our
four major
groups — Coatings
and

foreign competition,

JOYCE

being written the Glidden Company's earnings

will still be the fourth straight

can
industry to compete
foreign producers.

overlooked

our 1962 fiscal year are being re¬
ported to shareholders and it is gratifying that sales are
up 13% for the period and profits are up 15%.

that in 1962 the Government will establish
more realistic
depreciation allowances which will permit
faster modernization and
improvement and allow Ameri¬

McKinnon Branch

securities business

Vice-President, and Edward

As this is

they currently enjoy. Any
threatened sees imports
the

both

for the first quarter of

reach

producers

six

users

not

may
year

much above those

Thompson &

Corporation is

from offices at 38 Park
Row, New
York City. Officers are Paul
Lie-

stocks

strike

steel

Chairman and President, The Glidden Company

better

Form Leehell Securities

bell,

DWIGHT

is
can

•

principal contributing factors.

nation.

Leebell

that

other

Resins,

steel

from

mill

steel

our

and government in the second half,
that there will be enough demand to

While

has gone
are

Gov¬

forecasting the long-time and short-time growth

our

and

abroad.

We hope

investigations that divert
effort.

in which

up.

year

growth, expansion and in¬

numerous

materials
and

inventory cuts.

they
4.3 million tons, this

welcome the challenge,

here

will undoubtedly cut
during the second half
shipments during that period will be
Even with increased
spending by con¬

steel

the 3.3 million ton level which

are

supremacy in the world is being constantly
challenged.
Given the freedom to
operate and the encouragement
to direct

the

will

year

products are expected to rise
only slightly in 1962, while imports will
go higher than

overall

and

Exports

encouraging.
In

1962

somewhat lower.

com¬

growth

/demand

and

throughout

other

•

Steel

their

sumers, industry,
it is not expected

panies—Globe Life Insurance
Company, Globe Security

rate

will

insurance

sieei

production,

months.

benefit from the record shoe
manufacture which is fore¬
cast for 1962;.
Also

stimulation

vigoious

The

expansion of

summer.

expect steel orders to continue

high

Swift,

operating

abnormal

already
spurring

cottonseed depends largely on the
government pro¬
gram for purchase and export of oil.
In the leather
business, future appears favorable. The
A. C. Lawrence Leather
Company, a division of
been

possible strike next

product line.

our

We are already
beginning to benefit from new facilities
completed last year, and by the end of 1962 we will be
in an even stronger position to meet
competition from

ap¬

Our

for

has

efficiency and broaden

also mark the completion of the 100%
research center.

customer^ are beginning to
build up their steel stocks as
a,hedge

all-time high, and with a 45-cent-a-bushel
increase
in support prices, farmers
probably will put more beans

before.

machinery

We expect 1962 output to
proach 110 million tons,

ever

and

: --/V*;

tons.

material

under government loans than

Armco Steel will continue its plant
improvement pro¬
1962, with a number of high-performance facili¬
ties coming into operation.
We expect to spend in the
vicinity of $100 million for new facilities to increase
gram in

Steel production will be well above
the 1961 figure of about 97.5 million

shortenings
raw

construction

industries.

been added to the basic list of
fatty-

In the field of edible
fats and

stable

are

con¬

appliances, and greater activity

the

velopment of new products and processes, and greater
economy of operation. Specialty steels, tailored to rigid
requirements, will continue their rise to prominence in
the industry.

confidence and buying, especially of automobiles

sumer

mixing insecticide preparations for agriculture.

All of these have

JOHNSTON

The
generally improved business conditions we
seeing now will continue into 1962,
Supporting this quicker pace will be increased

goal of developing and selling of a wider
variety of industrial chemicals. Swift is
moving ahead

used

President, Armco Steel Corporation

plastics),

(329)

*•*

-..

v..

,,.u-„m-'~

'.v-w'tw

"* V"**

wwrf

!»;,»»v/w ..-'i»

w
,

';>'

'I'Wn,,

>'+**

*"-/

-■

(330)

Continued jrom
into
producer of

The Commercial and Financial Chronicle

page

Glidden

merger

,1;'•'■■^!.',.S

ha^e improved

•■'V'::

Corporation, a leading
porcelain enamel frits, ceramic frits and
inorganic colors. This merger not only enables Glidden
to offer a full line of
coating materials to meet varying

•

Federal

training
h

■

Government's

great

better

citizens

expansion

understand

Rural

and

will

drive

that

such

Electric

slow

costs

with increasing competition on all
sides, busi¬
spending will probably be channeled largely into
cost-cutting and labor saving devices if" competition is to
be met and profit
margins held. More money will also be
spent in research to develop new products and improve
and make more salable
present ones. This will be par¬
ticularly true if special tax allowances for depreciation

Co¬
as

not

charged against the taxpayers—the investor-owned util¬
ities are meeting all requirements and are
planning
;

Citizens,

and

realize that

government

the

electric

utilities

are

accelerated rate

capital improvements

given

are

favorable consideration.

beginning to
owned by millions
are

Banks

finishing

are

good year in 1961 with profits
1960.
However, 1962 should
rising costs in salaries, supplies
insurance companies or mutual funds which are
large
and interest paid on savings as many will go to the new
investors in utilities.^• '
;
authorized rate of 4%.
;r>"-A-;"' •'
:'r
Perhaps increased business ac¬
^. Managements
of utilities have great challenge and' a ". tivity and. the higher rate on sayings will produce larger,
£ mo^t*;serious responsibility to-protect the investments of
deposits and a higher prime rate to^borrowers which will
shareholders who have* their savings in utility securities.
help defray the increased expense and overhead. -V.;v
It is hard to see how the Treasury Department can
They must provide a well trained employee organization of

citizens who have invested their savings in

average

the securities of the

officials,

January 18, 1962

ness

down

need

Thursday,"

Faced

well for the future.

Other examples are the acquisition of a firm which
produces ferrous and other metal powders and purchase
of a
manufacturer of fiber glass reinforced paneling,
which gives us our first entry into the building products
'

The

operatives'

organizations to investigate the fields of high-tempera¬
ture coatings, ceramic-metal combinations and the
ap¬
plication of ceramics in electronics.

of personnel

customer needs but combines the talents of two research

field.

their program

meet future needs.

Pemco

utilities,

indirectly through their

generally

find

equal

banks

above

faced

with

Coatings and Resins Group we have intensified research efforts and marketing on
coatings of various
kinds—acrylic, water-reducible, steel coil, paper and
others—and have stepped up\production, of polyester
;
resins and polyurethane foam.
hold
V-:„ with fair wages—reasonable electric ratea for their cus¬
present rates onshorty term governments and
Early this year we will open a ne\v coatings plant; near
tomers—and a fair return to those'who-furnish the capi-*-' Treasury Bills with banks
paying 4% on one-year cer¬
Dallas to supply the expanding markets in the' South'-* * tal
tificates and savings accounts,: also government guaran¬
needs":-of the electric utilities^
'X' •;:''
west.
We have also inaugurated major - improvement
'There is a great need'-for
teed. This, of course, will undoubtedly add to the gov-*
more,utility support for the
g programs at our Chicago, Atlanta and Toronto plants.#:7;d organization^ that are working for the
"ernment's-debt burden. The past year, has probably set
'industry.; ;
Our Durkee Famous. Foods Group: has
T'op. utility executives need to devote more of their .' a- recGrd by corporations in the sale of securities^-State;
,ex;pand0d
time to making plans and to
bofatory facilities at all five plant locations and is plac¬
leadership of customer and / and local government spending; has' been increasingly
ing increased emphasis on research to develop new
public relations, including a better information program
large which necessitates more borrowing: by these units and improved food
for Congress and government officials.
products.
" ."t
^' which will undoubtedly carry over to the New Year:;
In our Chemicals
With
Electric utility executives and their employee organan
unbalanced
budget and huge governmental
Group, sales of titanium dioxide and
izations are working for a better
other pigments improved
spending, Federal, borrowing must, be larger so nearly
understanding by the
during fiscal 1861 and we ex¬
.1
general public,-which will fcnng ;about ; greatef actio'n *: everything points-to an upward -trend iri interest rates!'*
pect a considerable increase in the coming year. " Several
and support by the investors in utility securities and deWith .stocks; selling. on ,a very high level relative to
improved pigments introduced during the past year are
-r,
mands from
already gaining excellent customer acceptance. Vtaxpayers that all unnecessary expenditures A 1962 earnings and dividend expectations, more money
must be stopped.
will probably be channeled into fixed income securities
I
a '
r.; 7
Glidden's International Group, founded in fiscal 1961,
Our American business system must have
in 1962. This is particularly true because of the unusual
complete
is responsible for all activities outside the United States
cooperation of management, labor, and government if -' spread between bond and stock yields.
;
1.
and Canada. This group is
developing, long range plans. the United States is to continue to be a world leader.
1962 promises' good-: results - for most- lines of business
~",r'Ior expansion throughout the Free
and barring war, which .few anticipate, we should see all
World, and we are
RUFUS CROSBY'"KEMPER
business on a rising trend with increased spending power
examining each opportunity carefully as we want to
builaing a higher general economy.
Chairman of the Board, City National Bank & Trust
A
move only into countries which offer
,A.J
Co.,
political stability,
\
Kansas City, Mb.
and which we can enter on terms favorable to our com¬
^
^
"
DONALD S.
our

We already have made our first direct entry into
European Common Market with the purchase of a

pany.

the

one-third interest in
in West

leading paint companies

market

common

year.

ourselves

during the coming

area

••

the

Germany. We expect to establish

firmly in the

■:t;

one

KAPP

President, Interstate Power Company

Business volume of our American business
system will,
increase during 1962 and net

profits::^lT^fe''j|r^ter'\duej'

primarily, to added investment in
system.

Payrolls

will

creased

rates

pay.;

for

the

good

The

American business

our

increased

due

mostly

in¬

outlook

utility industry is
though there will be some

problems.
increase

There will be
in

the

use

electric

Utilities

equipment.
and

continue

Atomic

mission lines will further

strengthen

mum

rate

With

Utility

increases.

increased

maintained

large

June

; 30.

Since

the

agements are making better plans for the

future, and

trend

have

kept

pace

number

the "automobile

manufacturers

their, three-year

disastrous strike.

dustry which should have a modest increase in volume
for the year.
Perhaps too, these increases could lead to
increased foreign competition. Profit
squeezes should be
very.evident in most lines during 1962.

r:,r

'A-v'i A-:

.-.

>7X' >.!

past yeajr. .: A
established^iridus-

also expanding their facilSome of -these plants are as
/'

;,'
s
.A" v
Corporation of

•

Chemical

branch plant in

Shawnee,:Okla. At
manu¬

handling equip¬
ment and accessories for guided mis¬
siles. They have a large backlog of
ground

orders and
s^ff

able.

fast

employing

are

branch

piston

technical

present they have
at

Donald S.

these people are avail-v

Lear Inc. of
a

Santa Monica,

Ardmore,

engines

under

200

employees.
California has established

Okla.,
a

Kennedy

.A;..

for

contract

overhauling jet
with

the

Air

and

Force.

Employment potential is from 300 to 500.
:■

Rogers Industries of Detroit, Michigan has established
aluminum

the

fabricating plant at

manufacture

the housetrailer

aluminum

Ardmore,

doors

and

Okla., for

windows

for

industry in the Southwest.

United Welders of Bay City, Michigan has established

Joins Richard Buck
Jack

W. Patton is now associated
with Richard J. Buck &
Co., Four

Albany

Street,

members

COND CET/y
*

—

New

York

the New-York

City,

WHEN

Steck

Exchange,' as' a registered repre¬
sentative, it has been announced.

:.v

YOU
THINK

f.t{ fx? ■

*■

With Shearson, Hammill f

(Special to The Financial Chronicle)

PALM
J.

✓

since

1858

SPRINGS, Calif, V-Albert

Quist has

become

representative for

JUO6^

sutro&co.
Investment Dealers and Brokers

•

Underwriters

MEMBERS: New York Stock
Exchange
American Slock
460

Montgomery Street

•

Noys Building

New York

•

Berkeley

Pacific Coast Stock

Exchange (Associate)

San Francisco A,
California

TELETYPE: S. F. 308
Van

—

San Jose

•

Exchange

EXbrook 2-0900

•

MAdison 5-7311

•

Beverly Hills • Hayward • Fresno*
CORRESPONDENT OFFICES:
HONOLULU, HAWAII; MANILA P I
DIRECT

PRIVATE WIRES TO ALL
PRINCIPAL

MARKETs'

registered

Co., 120 North Indian Ave.

SALT LAKE CITY

Shearaon, Hammiil Adds

SAN

FRANCISCO, Calif.
H.

ard

McCart

to the staff of

has

—

been

Rich¬

THINK

added

Shearson, Hammill

& Co., 340 Sutter Street. -He
was
previously wiih Brush, .Slocumb

S. F. 309

Los Angeles 14, California
•

Industrial Brokers

•

mill &

Shearson, Ham-

zions

Co., Inc.

N. W. Francis Forms'

ANDOVER, Mas s.—Norman W.
Francis, Jc. is conducting a secu¬

r"-v

business from offices at 93
Main Street under the firm name
of Andover Investment Services.

Mr. Francis
of

was formerly an offi¬
Chapman & Co./ Inc.
_,

pioneer in Western banking since 1873

rities

cer

first national bank

Andover Inv. Services

is. considerably

wnn

are

facturing
Rufus C. Kemper

>-kV:vA

present the Shawnee plant is

point

continues at

A'aH'A."."A
industries have ,y.
Oklahoma
or"' Westerii '
new

Bristol, Pennsylvania has established
a

•

area

average.;-; Manufacturing output in
doubled within the past decade. A- Sales

has

Thiokol

in¬

man¬

growth

The

.'V.;- "/■

£';•

service

national

follows:

somewhat

settled

rate.

our

Arkansas,; within, the

This should mean increased
automobiles which should have an excellent
year and increased building costs in the
construction
Kapp

the

moved

greatly in¬
ft":*.;

at low

are

A--'•*>

A.*."-. ..4,;*^.

01-electricity

companies will ex¬
sales, it is -doubtful

•>

this growth.
:;A Several

alarming since
three-year steelworkers contract

above

.-ities.

can

♦.

.1 satisfactory

tries

many

profits'

prices

M. L.

.;r

prices

cost,

President, Oklahoma Gas and Electric Company
'♦•V.A*
*

higher over-all arid everi

should be

though

labor

•

The level of business in

Oklahoma

without

mini¬

approximately forty cents an hour over: a three-year
period, it is doubtful if steelworkers will settle for less

natiqn.

some

than

wage contract with the
United Auto Workers which will cost the
manufacturers

More
efficient
operations
and
modern equipment will
help to hold
the line against increased
expenses.

been, better

should look for prosperity in the
New'Year. ;
/
'

have

trans¬

the investor-owned transmission
grid
system which covers the

However, there will

have

expires

plants

power

interconnection

sales

'activity such as large govern¬
ment
spending, increased employ¬
ment,' a build-up of inventories and
excellent crop and livestock
prices,

the

plant"

for

ness

Steel inventories

spend

improved power

Christmas

of higher costs and
creased competition. /

en¬

year

last year.. Taking into consideration
the elements
favoring increased busi¬

which

will

for

months.

face

ergy.

millions

recent

-if

continued

good

business., Spurred by increased consumer expenditures,
activity seems to be gaining new momentum in-

business

perience higher

electric

even

Nineteen Hundred Sixty-Two should be

Salt Lake

Gity, Utah

<' ? T

;nwr

Volume

195

•

Number

6r26

The Commercial and Financial Chronicle

(331)

a new plant in
Fort Smith, Ark,, to manufacture weld,'ing machines. Present employment about 100.
*

Invest. Courses

ing costs will continue to increase. Thus, pressed on one
by continually rising costs and on the other by

hand

Two

courses will be offered in

the

13.

all

170

inter¬

vV"

the
will

courses

//;

total of fifteen
.

Who

„„

phone equipment, has announced

%.'"'/. '//for 300 additional

Whitehead,

ceeai; 3,GOO.

will

teach

;

Norge

Whitehead

1936.

has

and

Exchanges.

American

Successful

who

sons

vestors.
of

course

needs

will

investing,

appeals

and

mutual

fund

in¬

the

various

el9.328

securities

p.m.),
for

course

generally .familiar with the
investment fi^ld. It will help, per-

how prudent individuals

•v!

•

the

Based

pace.

this

favorable

forecast

V v. V;;,

;

•

f or * either *

"Applicants,.

of''householdUappii- f,
J.,

operation in its

economic conditions, it
*'. does not appear unduly optimistic to
7' State that the food industry should
' State that the food

;

plant
feet for

new

square

" h; /

section

records

also

being

moved

has

and

with

contracts

/"//

1962.

ll*i

ATnf

+V1/1

vi/iiiT

the

that

Not

new

members of the food field must
v.

con¬

tinually seek better methods of ob¬
taining
an
improved
sales-profit
ratio. Attaining this goal entails a

constant
crease

sales,

for

devices

coupled

with

in¬

equally

conscientious efforts to control costs
and achieve

higher productivity and

operating efficiency. In the retailing
segment of the industry, the success¬

1 nilO

won't bring problems. It always
does.
Like
many
other industries,

year

•:S--

S. M. Kennedy

ful implementation of these programs

the

ill

nvi

horizons

has taken

Space

the

added

Holding

greater urgency for some operators due to

discount houses.

competition

the

food

line

another

prices will prove
Continued

page

1962-/ 7// C

fi¬

general

"/V-':--*'>V'i-',V.v:V':''r^"c0n^^ri1Lie to I°rSe ahead to brighter

previous three-year period.,. The; program includes G
completion of the 235,000. ^ kilowatt. addition -to the .
Station near Oklahoma City,
which is scheduled for completion in May, 1963. The,

/v f

business- and

world.v

building is up over
Our company's three-year construction program;

.:
>

;

completion of this addition in 1963 will bring the corn-

the

1 he

--rV; -i" '

Horseshoe Lake Generating
:

nancial

moderate

and residential

discussion of current devel¬

opments

*;u64; will amount to approximately $60,000,000. This com-v -;
pares with construction expenditures of- $47,000,000 for . -;

meet¬

are

ing current problems. It will pro¬
vide
guidance
in
contemporary
investment, problems
and
hold
open

//for

Figures released by .the Bureau -of Business-Research,
University of - Oklahoma, show that wholesale/ trade in
Oklahoma last year was running about 5% above I960- ?
and 14% above 1959// Retail sales were up about 5%un v ;//;.,
both periods. Total construction: expenditures in Oklahoma for 1961 are about 25% above-; the previous year ;.

per¬

sons
*

look forward to another
in. 1962, with over-all expansion taking place

plant at Medford, Okla. This is a natural gasoline plant
using the absorption process. - J-?•
• v''•,

and

programs,

(7:30-9:10

advanced

national economy can

year

Employment about 350 at present.
Continental Oil Company is building a million dollar

"What Investors Should Do To¬

day",

our

good

Agency.

types

indicate important sources of in¬
vestment information,

Smith, Ark, containing 230,000

facilities

principles

describe

.....

per¬

become

outline

and

that

Oklahoma
City. Present employment exceeds 3,000 with a plant
value in excess of $30,000,000.
' ,;;Aj
Dorsett Electronics, "Norman, Okla., is expanding its

intended to meet

inexperienced

expect

Fort

The

Investing," e!9.327(5:45-7:25p.m.),
basic

'Generally speaking, current business barometers indicate

;•;/

Muskogee, Okla. for the manufacture of laboratory
equipment and coffeemakers.
Federal
Aviation
Agency, Oklahoma
City, is con¬
structing three new buildings at a cost, of approximately
$8,000,000. The new-buildings will house the Federal
Aero-Medical Research
Group "-and additional, school
facilities for training pilots and control tower operators.

Stock

"Fundamentals
a

the

President, Consolidated Foods Corporation

«/. iivil'

Corning Glass Works has doubled the size of its plant

a part¬
Nye and Whitehead, invest¬

New -York

the

'S./M. KENNEDY

;

ment advisers and members of
the

.t*-.

the manufacture of molded rubber products.

Institute of Banking. He is
of

$35,-

Borg-Warner Corporation, has complant of 1,100,000 square .feet in Fort

Ohio Rubber Company is in

since

and has lectured for the
American
ner

changes

re¬

Division,

taught at the New York Institute
of Finance, Syracuse
University,

employees.

efficient

and

Foods anticipates no radical
trend patterns of the food industry.

;

$3,000,000 expansion
Present employment ex-

anceu.

Louis

counselling in
York

universally

and

Beatrice

,;^pleted its new
Smith, Ark. for the manufacture

investment

New

completed

for

the

courses,
has
been engaged
in

which

industry

processes.

Barring unpredictable developments in industry and
or changes
in the international situation,

000,009. plant in Oklahoma City in May, I960* containing 1,300,000 square feet for the manufacture of tele-

Louis

Company,

for

food

government
•

Smith, Ark., for electro plating and porcelain

Western. Electric

sessions.

Fort

its

ideas.

new

enameling and manufacturing wire containers
frigerators. About 100 employees at present.. -

Canning Company, Van Buren, Arkansas
plant for canning fruit and vegetables grown
Valley. Present employment about 150.
Southern Steel and Wire Company has a new plant

ested men and

and

the

accelerate

Mrs. Shopper will be wooed ardently with
improved convenience foods, better and more
attractive packages and barrages of new promotional

in the Arkansas

Open

women,

Mr.

people.

competition,

have

methods

HLII Parade
is

consist of

will

sey

evenings
Feb.

intensified

Locke-Joint Pipe Company of East Orange, New Jer¬
has a new plant at Ada, Okla. Now employing about;

Adult Education division of the
Hunter College School of General
Studies, Park Avenue, oh Tuesday

starting

Farley Machine Works of Wichita, Kansas has a new
plant in Fort Smith, Ark., to manufacture and service
machinery and tools for the oil and gas industry.

Given at Hunter

course

mav
v

see

the Adult,

Education

—telephone BU 8-7210.

First

Bulletin*
i

Investors '

rV„-i mately 9%

WILLIAM

The

office will be

Herbert D.

■" v

Office

There will be

MINNEAPOLIS, Minn.—First Incestors
Corporation will open a
Twin
City office in the Baker
Building, its 27th branch, on Jan,
15, it was announced by John D.
Case; President.
<•*.

■

managed by

—Continued

;

fice

New

Times

Sauare

of¬
'

joined First Investors in 1953. He
was appointed a Sales Supervisor
in 1956, and promoted to Group
Manager in 1960. -

for
.

His

frozen

—Improvements
more

in packaging

for

attractive display and

/.
William G. Karnes

>/{■'/

expenditures throughout the industry for
and development, new plants, processing
and equipment. <
/r
v/
—Decrease in the percentage of disposal income spent
by the-average consumer.
Dollarwise, consumers
will spend more for food as their income increases.
However, the record of the last decade shows that
retail prices do not increase as fast as disposable
income per person.
Last year, for example, con¬
sumers
spent about 20% of disposable income for
foods compared to 26%
in the 194*7-1949 period.

—Greater

Growing Wings

research

grand¬

Take
never

Ford

bright industrious

man,

train him

investment bankers have

been trained before in the Southwest, and you
man.

Through

Binkley

House,

have

unique seminar

Parker,

curriculum,

Parker, Ford fledglings learn the mechanics and philosophy of invest¬
ment

banking. It's part of the picture

typical of Parker, Ford. It's
.

.typical of

attitude. It's

Parker, Ford builds Retail Power

one way

Retail Power that's translated into action.

Diet foods will continue to boom.

president.

now

Looking ahead to 1962, there seemingly is little pros" pect of change in the trends in the food industry. Feed
grain supplies—the raw materials of livestock, dairy,
poultry and egg production—appear to be sufficient to

Julius Gold Opens

|
-

dehydro

.;i products. V/:/;:
"
<
\
;
-^More. and larger multiple packs.

life.

father, John N. Trainer, formed
the organization in 1924 and his
father, John N. Trainer, Jr., is

_more-i:new'^ «
conn:v

longer shelf or refrigerated case

has

joined
Trainer, Wortham • & Company,
New York investment counselling
firm, it was announced by Howard
F.
Wortham,
Chairman
of
the
Board. Mr. Trainer, who recently
completed active duty in the U. S.
Army Reserve, is the third gen¬
eration of his family to be asso¬
with the firm.

example,

both
*

ciated

of- ^all /v:

Counselling Firm
Trainer

venience. foods .;-;4
J
—More foods in;* package form, as

//*
,

abundance

products; -particularly;-the

Edward

commodities;. :? r.
^G;"..-h-r.^i/.-/-^7
—Increase in the nutritional vahtes /1/' of foodC^
:
—Introductiqn-:of v.

•

York, Mr. Freedland

Third Generation Joins

most significant of the major trends in the food
industry which will carry through from the past decade
through the year ahead. QiheF.-trend#^
'/' .; ///
/ that can be */ expected to-- extend, *} \
/ /- through the year /ahead are: '

sales executive from

company's

appreciable increase in the cost of food
1962. To the general public,, that is

consumer

/ ■'the

the

Freedland.

A veteran

•'

G. KARNES

President, Beatrice Foods Co.-V

Twin City

the previous/year

over.

(Special to The Financial Chronicle)

DALY

Gold

CITY, C a 1 i f.—Julius J.
is engaging in a securities

/business from

offices at

gories, clear back to the farm,

This,

East--

gate

Drive.

with

First

the

past

creases

was
,

Continental

and Lamontagne &

Securities

Pierce,

>■--

Parker, Ford & Company, Inc. Investment Bankers
Members Midwest Stock

"lassure continuation of the abundance of food in all cate-

that characterized 1961.

clourse, precludes probabilities
since
ample supplies' obviously

in''foster rmbre
competition rather than serving as price-inof

price

stringent
crease stepping stones.
Yet

labor, production, distribution and other market-

DALLAS:
AMARILLO

Downtown

LUBBOCK

SHERMAN. PARIS
Facts:

over

Exchange Bank

WICHITA

FALLS

Exchange

FORT WORTH

ABILENE

LAWTON

EL PASO
TEMPLE

TULSA
DENTON

HENDERSON

100 full time salesmen in 15 offices / 9-man trading room with inter¬

connected wire system

between all offices and all major security markets

t^wriuftufttalukmlfom

.The Commercial and Financial Chronicle .'.

(332)

Diebold

Continued from page 63

industry problem in the year ahead, as there is an ap¬

program of crop supports and by its
food for various governmental projects.

new

convenience
In

stepped

foods,

sales

plus

numerous

Another

the

fancy, frozen, and
non-food products.

the

economies

mankind

countries

the

world

and

The U. S; utility business is due for
considerable ex¬
pansion to keep pace with this country's
growing popular
tion, but it will take at least a decade to determine if

n*vV

over,

■

engineering ^firms, represent-

existing and
tain

applications

in the form

of engineering contracts
licensing of processes 'we;

the

and

develop.

foregoing comments, the new year
offers all segments of the food field many exciting chal¬
lenges and opportunities for increased growth. Alert,
aggressive operators will thrive in this environment and
will move ahead to record accomplishment during 1962.

■

Foster

Wheeler's

S.% engineering
this demand.

countries—in

North

John E.

Kenney

Total

America,

»+**:

equipment

sory

attention

attracting

While

sold

aid

system,
'

Diebold

future

Strong emphasis is still placed on new product devel¬
and improvement. During 1961 a new line of
teller counter equipment was introduced and
improvements were made in mechanized files, open
and

drive-in

current

projects

that

illustrate

activity around -the? world included

Last
■

banking windows.

Foster

month,

Foster

some

Wheeler

Limited

Limited,

improving and

four

500

and

John

jointly awarded

were

megawatt

steam

Zilka, Smither Adds
■

"}\

;

(Special to TU'e Financial Chronicle)

PORTLAND, Ore.—Robert A. Bogardus

and

Floyd Maxwell have

become

connected

Smither

west

Alder

with

Zilka,

Go., Inc., 813 South¬
Street, members 'of

the Pacific Coast Stock

Exchange.

Co.

Incorporated

mont

office

has
the

Building under the

ment of Norman A.

opened

Hotel

that the initial

equipment. To keep abreast of develop¬
in machine accounting
systems, continuous study
is being made of
many types of systems,
computers, and
related equipment. In this
way NSP will be ready to
take advantage of improved machines

among

increase and

gains,

second

big states in

Now, with

the

stands
new

proposed
on

percentage

population

only to California in total population

Florida continues

Florida
create

the ten

the

growing at
moonshot

threshold

phenomenal

from
a

Cape Canaveral,

future

markets and expanded income.

pace.

destined

Industry will find

der the

Branch

,announced

Manager

Street

vestors

Hannon

find

ample

projects

power—now and in the future.

now under construction will add

by 1966, virtually doubling present capacity.

P.O. BOX

1*3100

•

MIAMI, FLORIDA

York

American
admitted

joined

First

In¬

Louis

ship.

un¬

Firm

Stock

Exchange,

have

Gerstein

and

Jacob,

Selden

limited

partner¬

7- 7a.

Trading Markets Maintained

71777717777

opened

branch

office

bers.

18th

Street

FLORIDA

Underwriting and distribution

under

:,r-

•

throughout Florida

115

-the

Cham¬

v.?V'"
E .w.

STEWART & CO.

Allan Feldman Co. Formed
Allan

Feldman

formed

with

Co.

offices

has
342

Madison Avenue, New York City,
to engage in a securities business.

Partners

are

Allan

S.,vFeldman;-

and Gilbert Gertner> " "

\V'."

AINSLEY

BUILDING

FRanklin

7-4951

•

MIAMI

32,

TELETYPE:

Co., 29 Broadway,
City, members of the

Schmidt, Sharp Office

been

FLORIDA POWER & LIGHT COMPANY

New

of¬

ap¬

FP&L expansion

1,875,000 kilowatts

local

Pasternack

Corporation in April, 1955,

CHEYENNE, W y o.—S c h m i d t,
Sharp, McCabe & Co., Inc. has

management of Gerald

Florida's famed natural climate.
And, it will

its

Pasternack Partners

pro¬

OVER-THE-COUNTER SECURITIES

transportation facilities, and political and business climates
as

the

Hannon

Shainker.

West-

favorable

was

Supervisor iri 1956
Group Manager in 1958.
v

management of Charles J.

abundant markets, industrial
sites, skilled manpower, superb

and

Representative

office.- He

Sales

manage¬

Shupeck.

Peachtree

pointed

-largest distributors
of
-plans *and * mutual
Vincent

Registered

in its Newark

Alta-

ATLANTA, Ga.—Reuben Rose &
Co., Inc. has opened a branch
office

First

contractual

suppliers of electric energy to coordinate their
planning

■

motion

and techniques
economically feasible.

and

In operations, 1961 saw the
formation of the Upper
Mississippi Valley Power Pool by NSP and four other

New Reuben Rose Branch

Markets... Money... and the Moon

available

HACKENSACKjCN. JA-FirstV
vestors; Corporation;: .due; of the

funds 7 has

¥7

ments

Named- Branch Mgr. A

nation's

Allen S. King

preparation, cus¬
formerly done at 13

this

they become

equip—

Mr.

HAZLETON, Pa.—H. A. Riecke
branch

billing,

fice, 10 Banta Place.

New Riecke Branch

centralized computer
several years of

one

Jqnuary,. 1961, But
change in billing was being made, the
company was preparing for the latest
developments in
computers. The vacuum-tube computer was
replaced in
November, -1961 with .the newest transistorized com¬
puter, and the original high-speed printers have been
replaced by newer machines. The new equipment not
only performs better but has a lower over-all rental
even

Boilers

other

saw the completion
projects which had

90,000

and

1961

gas

divisional locations using three different
types of billing
machines, was transferred to the computer over a 19month period from, Jul^,<* 1959 t6

$54-million contract for

generators

revenue,

accounting, monthly billings of
735,000 accounts are now being

tomer

subsidiary,

Land

reaching

revenues,
All
gas

1960.

Following
programming and

huge petro¬

Brown

year

Gas

of total

over

center.

Foster

English

Wheeler's

8.6%

prepared at

revenue

years.

same

....

trend.

16%

number

average

Dounreay Submarine and other, craft; and
chemical complex in Turkey.

opment

business conditions appear to be

the

Electric

undergoing planning, study, re¬
search, and negotiation for a number

60,000-ton-per-year ammonia plant for W. R. Grace in
Texas; a 16,000-ton-per-year polystyrene plant for Dow 7
Chemical in Italy; the world's largest condenser for
the
TVA Paradise, Kentucky
plant; a refinery for British Pe¬
troleum in Australia; a nuclear
power plant for England's '

modular

Basic

The

oil refinery in Rio de Janeiro; a $23million plant in the Philippines to turn out
high-quality
copper from low-grade ore without a
melting step in
between; a butyl rubber complex-for Esso in England; a

sales efforts.

shelf files

than

1960.

over

been

barrel-per-day

as
part of a new filing
periodically in the future, v

substantial

Wheeler's
Raymond Koontz

indexing

Diebold has just completed a new
$250,000 showroom
in Canton for its wide lines of bank
protection and
office systems equipment.
The new showroom is ex¬

pected

better

was

initially

reordered

1961

Some

cards and other forms. Most of these
will

ac¬

during the past
ten-year period, we are constantly developing refine¬
ments in our industry which will
prove profitable for us
and our customers, 'f

Super
Elevator Files, Diebold produces and

forms,

increased

every

20% higher at the start of 1962 compared to the
period in 1961.

upward

representing

the finished unit-

emerges

them—of

7.1%

$163,000,000, up 6.8% over
1960, continued in the main its long-

During 1961 the billings of the parent corporation and*

Power Shelf Files and Diebold

guides,

800

its foreign subsidiaries are expected to show an increase
of around 20% over 1960. Foster Wheeler's
backlog, the
barometer for the coming year, is
expected to be almost

(DANS), by national, state and local
governments, as well as big cor¬
porations handling large quantities
of paperwork, not only have added
to
current
sales
growth but have
provided for future stability through
repeat sales. In addition to record
housing equipment, such as Diebold

actual

than

represented

total of

tries and for utility and marine installations.

systems,
notably
the
Alpha - Numeric
System

the

properties operated on natural
throughout the year 1961.

years

type known to the
petroleum, refining, chemical and petrochemical indus¬

office

sells

term

moved

processing structures of

and

Diebold

increase

connected,

wide

contributing to the
growth of sales. Adaptation of Diebold

of
Northern
States
Power
Company
upward in 1961 as they have for 28 consecutive
to a total of $196,500,000, which

cording to plan until there

meet

revenues

many shapes and sizes.
Thousands of pieces of equipment of
many classifica¬
tions have been
positioned, arranged and

equipment, fire resistive equipment and office systems
equipment. Diebold's expanding line of mechanical files
and electronic data processing acces¬

KING

into

a very successful year for our
manufacturer of cash protection

was

leading

America, Europe, Asia, Africa and Australia.
Thousands of material and equipment
specifications have
been calculated and purchase orders
placed at selected
sources all over the world. Construction crews
at many
different sites, have converted
steel, stone and cement

KOONTZ

President, Diebold, Inc.

company,

"-v

'President^ Northern States Power Company

South

Nineteen-sixty-one

know-how and it's up to

ALLEN

morq and more on

world-

vwide network, millions of detailed
mechanical
drawings have moved
from drafting tables to site locations
in

depending

of metals that frieet the requirements of
new industries. We at Foster Wheeler mainconstant surveillance for better and new
products

in the general field of our
activity;
-The entire free-world is

the.-.... ■..'Office's ;;r.';va^nLd;(i^!c^faftin'g.;;

rooms

"
^

;

the

RAYMOND

successfully with fossil-fuels,
f
The advancement in metallurgy will require continued
development Of new engineering techniques to find

technology that sells U. S. products

against the distortions which arise from many of these
investigations.

nuclear power can compete

part of the "bulge" in exports over
imports—the foundation of which ,isr-

which may expand in 1962 is
investigations of the food industry. While
some good can come from these hearings, it is time for
the industry to conduct a more vigorous countercampaign
development

government

To summarize

Corporation

greatly during
equality in the stand-

benefit

market.

KENNEY

helping to bring about more
living of peoples at home and abroad. ; .- : v7'The growing reliance on technology, which is impor¬
tant in the development of much'
needed fuels, ; chemicals, and many -<•
other products, aids both to improve;

addition, competition will be more acute-tban ever
we can expect a continuation
of the flood of new
introduced

ment, by the Central Electricity Generating Board. The
Central Electricity
Generating Board owns and operates
power stations in England arid Wales.1'"
"7"1' \
The coming year,
like; 1961, will be one of stiff com¬
petition with selective buying based: on payoff
analysis.1
Among the industries where competition yvould be
very
keen, are chemical-arid petrochemical. Many important *
costs, such as wages, will increasingly determine man-,
agement's decision on areas of expansion. \

S, engineering know-how contributed

ards

and

Items

considerable

:;j,' :v.''".J,

1961 in

need for

year

will

these

with

1962

should produce further acceleration of
several broad trends in the food industry. Chief among
The

President, Foster Wheeler

;

disturbances may be caused by the govern¬

ment's

forward

JOHN

parent possibility that prices may creep upward. Con¬
tributing to this situation are such factors as expected
cost increases in some packaging materials and labor.
Further price

looks

optimism.

Thursday, January 18, 1962

FLORIDA
MM30

iNC.

;

Volume 195

and

operations

Number -6126

The Commercial and Financial Chronicle

from

extending

area

results

northern

Minnesota south into eastern Iowa and western Wiscon¬
sin. The pool will 'make.; possible reductions in generat¬

is carrying

operation

ing capability requirements arid in "spinning reserves"

continuous

of the

company

control costs, and

with

and

each member of the pool to install larger
efficient generating units which will help re¬
duce capital costs and operating expenses in the future.

the

pool

agreement;

will

NSJ?

purchasing

Also

part

this

pooling; operation,

connect Minnesota Power and
NSP

Minneapolis.

designing this
pole

locations

usual

than

computer

permitted

pole

heights,
have

would

been

engineering design methods. It
economical

puter will

choices

about

save

1961

adopted

courage

the

after

use

house heating.

house

and

heating.

house

NSP

will

all-electric

These

has

now

further

encourage

water

Officers

Moss,
tary.

Street,

offices

New

384

York

East

City, to

the

•

general

economy
an

', \ '

this

most

im¬

The willingness of

to spend and make term-

payment commitments usually fore¬
shadows a material rise in the level
economic

rne

wellbeing

the

From

acceptance of the
mobiles.

sales

ward

electric

Maxwell C. King

1962

1962 model auto¬

Detroit estimates point to¬

passenger

electric

the

6V2

around

million

which

cars,

could make
best year in auto¬

second

mobile history.

With
credit

the

viewpoint, another im¬

our

portant factor in the improved outiook
is
the
encouraging consumer

and

w^ll-rbeing in the field of

agriculture, per capita personal in-»
come
has forged steadily ahead in
the State in recent years and shows
signs of abatement.
Colorado ranks tenth among states

•*

1962 should bring

consider

consumers

the

anticipated growth in the

during 1962,

service

of consumer

use

with

improved

and

varied

being offered to the industry's customers.

...

in the rate of increase in per capita
income during the past decade, a re¬
cent survey of 1950-1960 census

fig¬
further
discloses that Colorado is the only
state in the first ten with per capita
personal income above the national
average. Colorado also ranks sixth
Roger D. Knight, Jr.
in its gain in total personal income
in the 1950-1960 period.
One of the most dynamic aspects of this upsurge in
per capita personal income is the fact that it is growing
faster than the population. Population growth in the
discloses.

ures

This

study

Denver
years

metropolitan area and in Colorado in the past ten
is rated as "phenomenal" by a U. S. Department

of Commerce official.

Agriculture remains a keystone of Colorado's economy.
Recently the state was tied in fifth position among states
in the percentage of its farms rated Class I (any farm
which sold more than $40,000 worth of products).

expect keener competition among

but

grantors

significant factor in the sustained high level of the

state's economy is the low level of unemployment, which
7,.:

Continued

on page

I. R. E. Investors Name

«W?«e in a securities business.

formed

encouraging sign is the apparent
step up m the pace of consumer
spending. We in the consumer-credit

rate

4C0

than

dent

'v-

most

en¬

for

development

Form Royal Syndications
with

the

com¬

heating
out

representative

are

•

port barometer.

credit

developments

country.

works

•

credit.

consumer

under

designed to

Royal Syndications, Inc. has been
149th

Perhaps

kilowatt-hour

per

•

business

home.

1961

use

cent per kilowatt-hour for water

one

cents

•

■

Major economic indices point to a good year ahead for
practically all segments of-Colorado's economy\ More
particularly is the outlook bright in the Denver metro¬
politan area.
Paced by the influx of research
and engineering groups which have
settled in Colorado, and bolstered by

heating customers, and it is anticipated that this

rate

new

1.5

for

schedule

new

KING

upswing and

and '

by the

indications that

many

entering into

*'•

of experimentation,

years

electricity

The

that goes down to

heating

several

low rate schedule

new

are

'"•'**

estimated that

out

Late

$100,000 in the line construction

costs.

NSP

possible

was

worked

many

lengths,

span

increased'

used

was

exploring

•

There

Light Company at Duluth

which

combinations

the

line,

with

sound basis, NSP looks

of growth and achievement.

KNIGHT, JR.

continued
.r

mile,

147

ROGER D.

President, Denver United States National Bank,
Denver, Colo.
''

President, Pacific Finance Corporation

230 KV transmission line will be built in 1962 to inter¬

area on a

vear

.MAXWELL

capacity in 1963 to permit it to install in 1964 a~ 200,000
kilowatt unit, which is larger than any unit now on its
lines.
v;
..:;7. 7. :v

;

its service
another

Under

sound basis for confidence in its future. With the

forward

enable

and

improve earnings. They provide NSP

economy of

study and research that the

continuously in many^areas of
better service, stimulate sales,

provide

for the five power
suppliers Os well as permit transfer

surplus capacity among the systems, reduce present:
generating costs through exchange of economy energy,

(333)

Morris Kaplan, PresiTreasurer, and Philip

are

and

Vice-President

De Sim one Exec. V.-P.

Secre-

and

LEVITTOWN, L I., N. Y.—Gerald
De
Simone
has been
appointed
Executive Vice-President of I.R.E.
Investors

Corp., 3000 Hempstead
Turnpike, it has been announced,
by Peter J. Comerford, President.
Mr.

HARBISON & HENDERSON

Members Pacific Coast Stock Exchange

Established 1923

DISTRIBUTORS

•

sales¬

Reasons to

was

TRADE PACIFIC COAST

DEALERS

•

7-;7-77,/77''

::'V''77'77/7

'77/77 .:'77 :77/777 '

1960

affili¬

became

appointed
Vice-President.
In his new posi¬
tion, he will remain a member
of
the
Executive
Committee,
policy making body of I.R.E.
man.

UNDERWRITERS

Simone

ated with I.R.E. in 1958

Wood, Struthers Co.

...

Names Branch Manager

Specializing in

...

Machinery

Federal Street.

PACIFIC COAST SECURITIES

the United

Building

14Q

Thomas L. Regan.

the

office.;
has
also

new

Announcement
Direct Private Wire to A. G. Becker & Co.

made of the
W.

•

CLOCK

—

Two

hours of

tinuing opportunity to capitalize

;

bser

appointment of David

Donahue

BEAT THE

after the close of Eastern markets

Jr., has been appointed resident
manager of

removal

office to

Boston

Shoe

the

announced

Co.

their

and

for the customer

BOSTON, Mass.—Wood, Struthers

RETAIL DISTRIBUTION
7

for the dealer

other

registered rep-,

-developments.

:ry

trading time

provides

on news

con-

breaks and

;VS

;.y

resentative.
210 W. 7th STREET

TELEPHONE

LOS ANGELES 14, CALIF.

MAdison 7-2571

Manley, Bennett Appoints

TWX LA 658

SAVE

than

DETROIT, Mich. —Manley, Ben¬
nett & Co., members of the New
York Stock Exchange, have an¬

THE

TAX —Pacific

one-half

having to

milliorf

pay any

customers

dollars

last

saved

NOT

year

—

state transfer tax.

nounced that Bernard R. Cohen of
the

Bloomfield

Ronald

Underwriters and

\S^

)•

Bennett's Research De¬
partment last spring.
Mr. Spence who has had five
years
experience
invarious

Brokers -Dealers

FIRST

CALIFORNIA

are

extended: to approved members of

other Exchanges and members of the NASD.

ENJOY WIDE SELECTION

—

600 issues of Eastern,

Western, and Hawaiian companies
world's

phases of the business is with the
firm's Trading Department. 1

ENJOY PREFERRED RATES— Preferred rates of
commission

Manley,

Distributors

^ST

and

Spence of the Buhl
Building office are now registered
representatives. Mr. Cohen taught
at the City and Country School
of Bloomfield Hills before joining

ST Af

nJ J

office

Hills

are

traded

the

only Exchange combining two major trading

floors in

one.

With Shearson, Hammill
(Special to The Financial Chronicle)

COMPANY

INCORPORATED

•

ANGELES, Calif.

LOS

Carl

and

Durow

—

Fred S.

Moran

have

COAST

PACIFIC

STOCK

EXCHANGE

MEMBERS:

become

Pacific Coast Stock Exchange
Midwest Stock

Exchange
Exchange (Associate)

American Stock

SAN
300

offices

WIRES

serving

NEW

YORK

investors

AND

ALL

throughout

DIVISION

OFFICES

california

formerly

Los

San Francisco

Angeles Division

Division

618 South Spring Street

301 Pine Street

Los Angeles 14, California

San Francisco 4, California

MAdison 7-8741

Mr.

EXbrook 2-6533

Halden Co. Admits-

Spring Street
r

PRIVATE

Wilshire

was

Paine,

Curtis;

ANGELES
South

3324

Co.,
Durow

Webber, Jackson &
Moran
was
with
Dempsey-Tegeler & Co.

Teletype LA 533

Teletype SF 885

Mr.

with

,
,

647

Montgomery Street

Hammill

Blvd.

LOS

FRANCISCO

associated with Shearson,

Halderi & Co., 123 Greenwich
New York City, members of

American

Stock

Exchange,

admitted Anthony
to partnership.
-

St.,
the

have

Rocca

J., La
-

•

Market hours

—

7:00

2:30

(Pacific Coast Time)

'
•

Monday through Friday <

The Commercial and Financial Chronicle

Continued from page
the

1961

October,

Fort Worth,

compared to the national average
The

generally affluent condition, agriculture
the largest employer in Colorado; both
manufacturing and retail trade today employ more

Product

Despite its
is no longer

corporate profits.
Tim
.'latter factor is particularly disturbing
/to business and.it is significant that

profits,

Employment in retail trade has kept pace
expanding population; Growth in retail trade
undoubtedly will be spurred by the increasing number. •
of tourists visiting Colorado.
/
Mixed trends are currently observed in the mining,

-■

strong gains in Denver business activity in 1961
compared with 1960 are highlighted by bank clearings
for the first eleven months of 1961 for Denver

which

Clearing

Banks

House
of

ahead

10.5%

year

than $1

were

.!//.

ago.

billion or
/;/■ ////

in 1960.

the

Southwest

"With

con¬

Banking in the Eleventh Federal Reserve District has

closes, brisk activity is being found
in Colorado including construction,

1961

industries

in other
finance,

insurance and real estate.
.

slackening

the general

for

pace

economy

opening months of 1962.

Colorado is envisioned over the

economy

MICHEL

1961

KOUNDADZE

and it is

maintain the distinct
styling coupled with the engineering advancements their
cars are known for, if they are to continue to maintain

European car manufacturers should

of the U. S. market.

also export manager

I'm

Since

the

parent company, S. A. Andre
Citroen, I can optimistically say that
recent developments which I have
witnessed in the European Common
and

Market

increased

the

interna¬

potential will benefit both
U. S. and foreign car manufacturers.
The
U.
S.
economy,
which , has
thrived on competition at home and
abroad, certainly: will continue to be
an- important; market: for^imported
cars, i Citroen,
which Is the second?"
leading manufacturer in France/has
a clearly-drawn market in this coun¬
try as is evidenced by the fact that
car

leading

car

tinue to increase.

imports and

them

have

can overcome

incorporate

cost factors that will enable

of Citroen's features which
accepted as standard equipment on its
/://V/*
/. ::/■//•
/',/>'
many

to be

come

cars.

Citroen's

line

competes successfully in several U. S
(1) in the family car field, with

best-selling markets:
the

and

sedans

and

station wagons; (2) the
sports sedan with the DS 19 Super 83; and
(3) the con¬
and the chauffer-driven
Prestige, designed to

vertible
attract

the

personal

buyer for the different,

the exclusive, the

car.

This

coming spring, Citroen will introduce in the U S
C071Sje£jly new> low-priced economy car, the AMI-6.

Tlle.,AIVyri6' which j.s in the
of the

$16°0 class, embodies

Citroen's

engine

and

formance

many

unique features. Its 600 cc air-cooled
front-wheel drive gives the maximum
per¬

and

low

gas

consumption. Like all Citroen
cars, the AMI-6 is designed and
engineered to provide
the

maximum

The

1962

expected

of comfort and

production of
reach

over

economy.

Citroen

plants in France is
400,000 vehicles. This will in¬

clude the production at the new

factory in Rennes, Brit¬

tany. The factory, the largest and most modern
in Eu¬
rope, began limited production in
October, 1961, and is
currently employing 3,000 workers. It will
eventually
employ over 10,000 workers and will

help make

available

cars

for

export.

Citroen has expanded its
facilities in many other

areas

including Mexico,
and

has

gentina,
10,000

1965;
has

where it is now assembling the ID
established dealer service
network; in Ar¬
where its production of the 2 CV will
reach
an

units

been

and

expected

Switzerland, where

formed; and in the U.

Corp. will step
its dealer

1962

network

its overall sales
before

the

hit

international
S.

end

should

the

year

which

almost

30,000

network

where Citroen Cars
programs and double

1962.

all

highs, and

new

the

Foundries, Ltd., Canada,: will continue
///>;/,
/•///. :/
.

en¬

de¬

HARRY LEIDERMAN

Meter

manufacturing,/a ~$160-million industry will ex¬
pand its market by $20 million or more by the end of
1963. This prediction is prompted by increased demands
for

our

we-

// "

own

for

and

company

the

ing signs of

pickup.

sales

sectors

the

lines, the result of

strike
could

the

undermine

nomic recovery.
In ASF's 1961

nation's

fiscal

income

$2.07

363,

year

$5,909,342,

products

...

were

the

major

factors

causing the decline.
However, the volume of
non-railroad business and effective cost controls mini¬
mized the impact of the overall sales decline
upon

profits.

Despite the recession, 1961

was

Dividends

$1.60

year

of continuing

a
a

were

paid

in fiscal

new

1961,

were

Co.

for

a new

subsidiary in the past nine

years.

In fiscal 1962, capital expenditures for
existing product
lines and for acquisitions are expected to be about $10

million.

Working capital and cash flow will provide the

funds for

Under

these expenditures.
a

license agreement signed in

United States

meters and other indicators
automobile dashboards to give drivers

are

^necessity

meters

in the

chemical

and

industry, where strict tolerances must

petrobe

ad¬

has multinlied in the 'ast few years. Complete
plants which turn out chemicals, lubricating oils

plastics

well

"push

button"
are an

other products, are being operated
control

centers, where numerous
integral part of the control panels.

Complicated test apparatus is in great demand by the
military services to check radar, missile and rocket com¬
ponents. Highly sensitive meters are required in all
phases "Of -/research and development programs being
carried out by and for the government as well as
private
industry.
;
-

The

aviation

industry

increasingly

important
equipment is constantly being
developed to provide safer flights and improved ground

field

where

new

meter

maintenance.
On the

1961

share in 1960.

plant and equipment amounted
12% from a year earlier. The
pipe coating and wrapping
plant in Youngstown, Ohio,, and a steel railroad wheel
plant in BensenvilJe, Illinois. Th« Bensenville plant is
the sixth
steel
wheel
plant built by the company's
Griffin Wheel

basis for most all industrial

level, meters have found new anplir
do-it-yourself field. Kits for making stereo
radios, multimeters and other units, make up a
growing $50 million industry, and reoresent a sizable
consumer

cations in the

sets,

Expenditures for

largest outlays

are

compared with $1.50
to $9.6 million in

types of meters

progress for ASF.

data

knowledge

units

.from

had

railroad

Harry Leiderman

volts, ohms, decibels, radiation, tempera¬

being used

process

share, compared with $7,793,-

company

hered to,

some

test- equipwell as in

■,// '■

operations.

The

$2.66 a share in fiscal 1960.
Joseph B. Lanterman
Sales decreased to $106,712,95.2 from
$120,141,812. The business recession and lagging demand
for

check amperes,
and other

chemical

ended

equal

the

of their auto's performance.
On the
level, a wide-variety of meter-equipped
employed in checking everything from
sparkplugs to wheel balance.

eco¬

company

and

products. Today, meters td

ture

and

September 30, 1961, the
net

test

mid-year
steel
industry

the

consumer

maintenance

major

basic

•

better

However, it should be noted that
a

are

ex¬

diversification
program,
place the company in an excellent
position to take advantage of this
improving business climate.
of

equipmehtt both, the tools /

production

ment to maintain them

Z Inf the automotive field,

ASF's varied

tensive

effects

In
an
age
of increasing, instru¬
mentation, .the./demand for- meters
of every description is steadily rising. /
They are used in roughly 90% of all •/.

capital goods field
and' earnings will

the closing months of
1961, some
nation's economy were already show¬

the

B.t.LANTERMANv^J^|-p^1 industrial

general, we expect 1962
improve from 1961 levels, y:

product-

President, American Steel Foundries

recognized as pace setters in engineering and design,
meet this requirement. It will be some time
before other

Steel

interesting that 22% of the civilian labor force 1
is engaged in manufacturing while the/

T*/v/-,

Griffin

to operate as subsidiaries.

Worth

looking forward to participating in this growth;

For

con¬

President, Ideal Precision Meter Company, Inc/

was up
approximately 15% in '
growth in construction activities in
The growth of the labor force continues

JOSEPH.

The market will expand for the
importers of the "dif¬
ferent kind of car". Citroen
cars, which have long been

manufacturers

Fort

/,•,/:v: //:/.•'

value

national figure is 23%. This further indicates the
degree *
of importance of rriSMfactttring in Fort

are

Michel Koundadze

substantial commercial

meters, primarily in the automotive, chemical, mili-/
tary and aviation fields; ////_
;
:
/
/
Any; expansion will require some
Worth.,.'' Bank/':;
adjustment of production "facilities
debits, considered/#/ good measure of economic activity, v'V
by the 12 firms that make/up the
were ll.%: higfre# and bank
deposits were approximately ; meter
industry,: but: the /existing
14% highefc iri t^Sf: The latter two factors should
con-// firms were
well-equipped to handle
tinue to help the growth of the
economy in Fort Worth.
:
the
added
business without losing
For all of,
11962, bank loans to business should be/ • product quality. In fact, in most cases
moderately higher, unemployment should drop appre¬
me / need, 'for/: new,
higher .quality
ciably,, and interest rates should fluctuate on a higher
meters, with closer, tolerances than
level with probably less
stability than in 1961. The year/-: previously
possible, is paramount.
in

1962

sales this year reversed the trend

our

the

preserve

company's prospects for the long-term are
couraging, Continued diversification and product

continued
%

meeting of stockholders, January 23, 1962..

/The

Worth

Fort

the

rname.

velopment is being pursued vigorously. Recent capital
,' ■%>'■;/ •" additions should also add to the company's earning power.

prospect.

change in the corporate

is expected to participate in the

area

economic indicators continue toward

of most

and

1952 is indicated.

President, Citroen Cars Corporation

tional

The Fort Worth

permits

activity.

their

return to moder- :

that continued general well-being of the r growth of the economy in 1962 as new industry moves"/
into our metropolitan community. The value of building
will be reflected- at all levels of banking

It is expected
area

growth to deposit growth is further indicative of
the underlying strength of business activity in this area.
We should expect an increasing loan demand in 1962 as

upswing continues and
ately tighter monetary conditions is

was

American / Steel Foundries name, established over a:
period of 60 years, the Transportation Equipment Divi-,

and

loan

the economic

1961

selected is AMSTED Industries Incorpo-.
submitted for consideration and vote,

will

sion and the Hammond Division will be operated as
American Steel Foundries Incorporated. The company's
other entities—Diamond Chain Co., Inc., Pipe Line Serv¬
ice Corp., South Bend Lathe, Inc., Griffin Wheel Co.,:

for

progressed in 1961 with a growth in deposits and loans
of about 11% and 8% respectively. This relationship of

name

""•'/

milestone

company's diversification program has made the:
American Steel Foundries name inappropriate when ap¬
plied to the entire range of product lines. Acquisitions
and new product development during the past 11 years
have taken the 'company into production of-roller chains
and sprockets, small precision machine
tools, cast iron
pressure pipe for water mains, and the application of
protective coatings tp steel/pipe for the oil and gas
industries; ' /
V/v >'////,:/:' / •'/;■'
,// :• - '

our

industrial and com-

with the experience of

common

cerns

' company:

The

highly beneficial and should provide an excellent
continued expansion in the Southwest.
/

base

new

at the annual

f However, the trend of growth in industry has

omy.

been

The

/ rated.

population
growth. A wider degree of diversification of industry in
the Southwest has occurred in the past 10 years, and,
as a result, our economic area is now much more effected..
by the cyclical swings that occur in the national econgrow

major

Con¬

enterprise across the country, local business con¬
report difficulty in maintaining or increasing op¬
erating profit margins.

mercial

'"ac-

4.5%

1955 to

Business

tinues

The
as

Gross

.■

with the production of

holding steady,
the increase.

to
gas

5.8%

Murray Kyger

the

natural

percentage

*/■;.'• ///"/

/■■■ JA

Another

decision to recommend
v

tinuing higher employment costs and
increasing competition from abroad
make it extremely difficult to reverse
the
trend
of
the
declining profit
margin.
•f;' •': /:: • / • v ' •»

appears

pouring,
'

National Product, have declined from

the

field, with the production of gold and coal slowing per¬
ceptibly. Molybdenum production is accelerating with
upturn in the economy. Production of petroleum

formance

state's

in importance in the

growing

com¬

Some of these disturbing
the lagging volume of bank

spots are

economy.

with

Thursday, January 18, 1962

loans, the persistently high level of.,unemployment, and the overall per-

Industrial

business

the

concern

munity.

ployment in manufacturing has occurred within the past
three years/
Continued industrialization of the state
seems indicated.
,7'; •
trade

Gross National

are

Colorado has risen

Employment in manufacturing in

Index of

impressive as we enter 1962. In the
total economic picture, however, there are some areas
Production

people.

sharply in recent years with the ordnance industry, in¬
cluding the Martin Company/ accounting for a 'third
of the increase. More than half of the increase of em-

Reserve's

Federal

the

and

Texas

performances

statistical

strong

of Fort Worth,

First National Bank

President,

3.1% of; the

some

was

of 6%.

Retail

Direct casting of such semi-finished mill products as
slabs, blooms, billets and tube rounds would eliminate
ingot casting, soaking pits, initial rolling mill operations,
and certain surface conditioning. These steps are now a
vital part of basic steelmaking.
In
1961, four more steel companies signed license
agreements for rights to use Controlled Pressure Pour¬
ing. They are Washington Steel Corp., Michigan Seam¬
less Tube Co., McLouth Steel Corp., and Carpenter Steel
Co. Washington Steel recently announced plans to build
a steel plant near
Washington, Pennsylvania, where the
company will produce stain less steel slabs with pressure5

KYGER

MURRAY

labor force,

Colorado

(324)

Steel

September, 1959,

Corp. continued to explore the

ap¬

plication of ASF's Controlled Pressure Pouring process

outlet for the meter manufacturer.

longer
of the
can

Tube testers

are

equipment found only in the hands
local television repairman. Today, almost anyone
piece

remove

the

tubes from

the family TV

radio

and

personally check them out in the corner drug store.
These meters, though not demanding the sensitivity or
accuracy
of industrial applications, represent another
large market for the meter manufacturer.
Where a customer used to order one specific
type of
meter, he now may order forty or more different types
—many of which must be designed to meet special re¬
quirements. This is the market that meter manufac¬
turers will spend more on research and
development in
meeting increased demands of all industries.

to production of semi-finished steel mill
products.
-

T_.

_Continued

on page

'."rtv

Volume

195

Number

6126

The Commercial and Financial Chronicle

(335)

: -

—viivxi.,;r
"i

/•

'**•'11;

•*?!

The Periodic Table lists all the known elements of the world

live in

.,.

than half of them used by Union Carbide

-i- v-«t#

This is the world of Union Carbide
..

bringing

You're
Carbide

teries,

products

steady stream of better products from the basic elements of nature

you a

probably

one

Learn

of the millions who have used such Union

materials, employed by

Carbide

and

atomic

Prestone anti-freeze, Eveready flashlights and bat¬
Pyrofax bottled gas. But the major part of Union Carbide's output

is in basic

about the

Union

energy.

Visit

exhibit at 270

York,

than 50,000 industrial customers to

"The

Park

write

for

products of
its

work

the

Avenue, New

booklet P-21,

Exciting Universe of Union

CarbideUnion Carbide

fill your life with useful things.

science

Corpora¬

tion, 270 Park Avenue, New York

The 70,000

people of Union Carbide operate

17, N.

than 400

of 35,000

carbons,

suppliers, they create

It is

men

and

women

go on

the necessities and conveniences that will

help keep

the highest in the world.

■'

-»

are

new

and

AADDinC

cS 1U fc»

•

J-

•

•.

bringing

you

standard of living
...a

@Wolch_Chicaeo

trade marks of Union Carbide

Corporation.

band

things to come

.V-

our

Periodic Chart

"Eveready " "Prestone," "Pyrofax," and "Union Carbide"

jfi'"'

Canada, Union

UNION

working together to provide

better materials that gives full meaning to Union Carbide, And the
people
of Union Carbide, backed by 128,000 stockholders, will

The terms

variety of products in the fields of metals,

plastics, and chemicals.

gases,

Carbide Canada Limited, Toronto.

plants, mines, mills, laboratories, warehouses, and offices in the United States,
Canada, and Puerto Rico. With these vast resources and skills, and the help

i i

,t\. 4.

; .1„

;

•' ~

•

•'

"•

' )

»*;

;

^
•

•

■

■;

»• •"

■

■»

r'WKMJil'gftSft'"

!ir
<>

The Commercial and Financial

(336)

Chronicle

Thursday, January 18, 1962

ai,
t

Continued

from

River

page

JAMES
Chairman of the

LING

turbine-generator unit i3 nearing completion. This unit,
scheduled for service in the summer of 1962, will raise
station's capacity to 822,000 kilowatts, largest in

Committee,

Executive

that

Ling-Temco-Vouffht, Inc.

generating station has begun on property adjacent to
the existing Marion generating station in Jersey City.
This plant is planned for operation in 1965 and will
have, initially, one 400,000 kilowatt generator which will
then be the system's largest single generator. Upon com¬
pletion of these new installations, the total installed
capacity of the Public Service steam generating stations
will be 4,487,500 kilowatts, 29% more than the capacity
at the beginning of 1961.
In addition to
its present network of high-tension

industry.
electronics

The

ally

separated

industry is gener¬
from the aerospace

inex¬

cult

best to

transmission facilities, the company

diffi¬

industry, but the two are so
associated that it is

tricably

stage or under construction major additions to and rein¬

separate certain sta¬

tistics.

forcement

the past decade full
given to susbtantial

for

James J. Ling
research
and
development in
1960, compared with factory sales of
approximately $10 billion.
This compares with Ameri¬
can
industries as a whole expending only 2xk % on re¬
search and development compared to total sales.
The
military requirement for electronics was approximately
$500 million in 1950.
It has since expanded to $5.6

$9 billion

increase to

than

by 1970.

The year just concluded was a good one generally
the firms principally identified with the aerospace

for
in¬
dustry, as profits rose from $184 million to $240 million
while sales increased by $500 million to $13.5 billion.
It is extremely difficult to project the expenditures re¬
quired five to 10 years hence in the aircraft, missile
and space exploration programs. Reliable sources have
estimated that it may cost up to $20 billion to place a
man on the moon.
The challenging prospects of probing
even deeper into space could represent hundreds of bil¬
lions of dollars in the next 10 to 25 years.
Our ability to develop these capabilities

proportional to
solutions to

directly

our

A constant challenge is the har¬

day.

every

nessing of thermonuclear energy for peaceful purposes,
such as the theoretical development of converting one
mile

cubic
to

water

ocean

supply all of the

power

provide sufficient energy

needed by our planet for 10,-

000 years.

The mandatory business as well as technical
marriage of electronics-aerospace and the nuclear energy
companies is becoming more apparent.
outlook

for 1962 as well as the years beyond is
only to the creativeness and imagination of the
management of American industries, as electronics and
The

limited

aerospace offer the sound base and technological chal¬
lenge that should stimulate continued growth.

major blur

the horizon is that the resolvement

of the world political situation

major

ideological

the

East

and

differences

West

require

is nowhere in sight. The
between the cultures of

"technological" discovery,

is my sincere hope that this breakthrough is not

public's preference for gas heating was shown by
of about 28,000 gas heating installations in
company's service area during 1961, and it is ex¬
pected that about the same number will be added to the
company's system in 1962. The increasing demands for
gas service will require the installation during 1962 of

The

year

and

progress

1962 promises to be another year of growth
for Public Service Electric and Gas Com¬

pany, with demands upon the company's services
tinuing to mount. During 1961 expenditures for
plant and equipment averaged more
than $2% million a week, and the
present construction program * calls

for

approximately

con¬
new

approximately
throughout
1962.
need

and

for
gas

the

same

195

concerns,

mately 11,300
The

past

established

persons

;;

year

for

saw

new

demand

records

record. On Feb.
set

new

send-out of 6,552,968 therms of gas
24-hour record, 8% above that of 1960.
a

K
p»

\t>

1961, sales of electricity totaled more than 13 billion
kilowatt-hours, 8V2% greater than in 1960. Notwith¬
standing the adverse effect upon sales of gas for heating
of the milder weather during the Fall of
1961,
gas sales rose to 920 million therms, more than
1H%
over the 1960 sales. In the
past five years, kilowatt-hour

purposes

;

electricity

grew

compound

rate

.than 7%

per year and therm sales of
gas at a compound
rate of about 9% per year and it is
expected that about
the same compound rates of

growth

the

few

years.

will

prevail-over

'■*<."

Expansion of the company's generating facilities con¬
tinued during 1961. In
June, the second 320,000-kilowatt
turbine-generator was placed in service at the new
Mercer

generating

s?.

station,

located

MacDONALD

the

Delaware

movement

would

general

before

occur

the

and that unem¬
ployment would decline within three
to

six

months

thereafter.

The improvement

conditions

ness

beginning

normally
of

business

earlier

lags

upturn

after

consumers

are

ment,

demand
and

growth

haltingly, and at

demand

for

months

production

services

and

supply
people

the

need.

treatment for all forms

transpor¬

tation, the railroads will be able to
bring their competitive capabilities
into full play.
Given this opportunity, I am confident
the industry will thrive and prosper.
Robert S. Macfarlane

MACHLIN

President, The Armstrong Rubber
While demand for tires in the original

Company

equipment mar¬

ket;; dipped- somewhat. last year, as a result ' of the re¬
cession's effect On the automobile industry, the marketfor

automotive

replacement

strong derives 84%

—experienced
Again
ward

its., seventh

growth.
reflecting the
t

trend

tires

—

which

from

Arm¬

of its total sales

consecutive

year

steady

up¬

motor vehicle regis¬

trations, replacement passenger and
truck tire sales rose to a new peak
of more than 80 million units during
1961,
gain

2.2

77.8

79%

44.6

two-thrids of total
This represents a
million units over the

or
about
shipments.

tire

million sold in

advance

million

1951.

only

1960, and

unit

over

sales

ago,

decade

V>-4

From all

indications, the

year

1962
Frederick Machlin

is going to be an

excellent sales year
industry as a whole,

tire

the

With

best.

its

even

year

6.7

produced

the automotive industry
good or better than 1960,

million

passenger

cars

and

1.2

trucks, deliveries by original equipment tire
are
expected to improve sharply to about 39.2

million in 1961. In the replace¬
to be headed for another
high, with unit sales estimated at 83 million.
segment, business
of the

the

steady

Economists

services

important factors favoring these forecasts
improvement in the general economy.

are

year

possibility that prices will firm somewhat, although,'75^-;
competitive conditions almost certainly will continue

severe.

•,

■

Through aggressive selling and strong promotion pro¬

until- they

grams,^ The

proceeded

appears

predicting new high levels during the
gross national product, industrial pro¬
duction, personal spending by consumers and other eco¬
nomic indices.
Within the tire industry itself, there is
current

H. E. MacDonald

high level of unemploy-*
our

the

If, as anticipated, Con¬
gress implements a national trans¬
portation policy guaranteeing equal

One

disappointing rate during the first
In the last quarter, all signs indicated a:
a

transportation

goods

will

of their ability to repay debts,'--..*

three quarters.

for

the

new

make future -payments

result of 4he continued

traffic

the longer term, the rail¬
industry should share in the
continuing prosperity of the nation
—barring all-out war. The rapidly
growing population will create a

the

profoundly affected by the level of

themselves to

sure

spending and stepped-up de¬
should
generate
an

Over

ment

unemployment among those with whom they come in
daily contact;'their neighbors, friends and fellow workr
men-.
Thus, J consumers are reluctant to borrow and tocommit

Co.

million units, up from 34

general
This is the result

Railway

road

makers

than

activity.
of the fact that unemployment does
not immediately decline, when busi¬
ness
conditions improve. - The attitude of

Pacific

ahead.

million

increase in

consumers

MACFARLANE

increase

when

in general busi¬

came

pro¬

higher

fense.. outlays

looking forward to

generally anticipated. However,
borrowing activity by

was

sumer

perhaps

and

general economic recovery, which appears to be
under way, the railroads will carry more freight. Higher
capital expenditures by heavy industry, increased con¬

for

of the year;

diversification

growth

In the

middle

sales

ROBERT

record

business
Donald C. Luce

in a record electric peak load on
Sept. 5 of
3,128,000 kilowatts, 12% higher than the 1960 peak load,
and a record day's output of
54,844,200 kilowatt-hours
of electricity on Sept. 13 was 11% above the
prior year's

Philadelphia. Here are located a high conf
centration of research centers, widely diversified' dhduS-yr
tries, extensive transportation facilities—air, sea, higll-^
way and rail—and many fine residential communities.
Because of these and other advantages, we are confident
of the continued growth of the company. Public Service
Electric
and, Gas Company is planning far into the
future to provide the facilities which will be required
to meet the future demands for electric and gas services
in this rapidly growing area.
■■
,:

direction

and

future

FREDERICK

largely by the course of general business ac-"
tivity. It was recognized that general business activity
was then declining, and that the level
of
unemployment would probably
also increase; that a reversal of the

resulted

4".

300

for

President, Northern

termined

located in this

potential

earnings.

beginning of 1961, it was apparent that the rate
of growth in demand for services of HFC would be de¬

output
of both electricity and gas. The un¬
usually hot weather of late summer

and

At the

area.

meters,

President, Household Finance Corporation

served by the company.

f
r.'

26,000

and

such

During 1961,
employing.. approxi-

great

by Public Service Electric and
Company is uniquely located between New York

The
continuing
expansion of electric
facilities reflects the gen¬

We believe that HFC's program of

vides

territory served

-level

erally healthy condition of the econ¬
omy
in
the area of New Jersey
:1

services,

24,000

the continuation of expenditures

tion

miles of mains.

City

President, Public Service Electric & Gas Company

-i.')

general busi¬
activity thrpughout 1962, with the increase in out¬
put amounting to 7-8%.
Household's rate of growth
should be at an equal or greater rate. To contribute to
that growth 45 new offices were opened during 1961, in¬
cluding new hranches in 31 cities not previously served.
Today, 1,182 HFC offices effectively serve families in 923
cities in 46 states and in all ten provinces of Canada.
During -1962, we expect the benefits of the diversifica¬

increase

the

The

DONALD C. LUCE /.. > >

We look forward to continued growth in

ness

The

Gas
_

consumer

process

ville, and Bridgewater.
Expansion plans for 1962 also include the installation
of 2,COO miles of overhead and underground wires, 6,000
additional distribution transformers,
6,000 new street
lights, more than 11,000 poles, and 22,000 electric meters.
About 50,000 additional meters will be used to replace
customers' present meters with meters of larger capacity
to provide for increasing demands.
In the southern portion of Hudson County, the gas
appliances of approximately 120,000 customers will be
converted
from mixed
gas
operation to the use of
straight natural gas during 1962 as natural gas is intro¬
duced in new areas. By the end of 1962, well over 800,000 or about 70% of all gas customers will be served
with straight natural, gqs^AJdw additional .natural
gas
regulating stationj; and enlarged capacity at existing
regulating stations will serve the customers ih the newly
convertedareas,- ^TO iprdvide^fcustomera iryjthe "natural
gas
areas
with adequate gas service during times of
peak demand, the company has converted some of its
production facilities to make a high-BTU oil-gas to
augment the supply of natural gas and additional oil-gas
facilities are now being construed.

beyond the state of the art of the future.

;

increased

breakthroughs in technology.
The
the multitude of technological problems are

being sought

improvement

program of recent years to become apparent.
The
acquisition during the fourth quarter of Coast-to-CoastStores, Inc., as a wholly owned, non-consolidated sub¬
sidiary,, has provided HFC-with a soundly managed,
circuits, some entirely internal to the Public Service < profitable
organization-supplying merchandise; to 938
system and others to link the Public Service system
franchised Stores
in
20
midwestern
and
far western
with neighboring large electric systems to
the south " states. It will contribute to Household's
growth through
and west. Together, these systems form the vast power
the opening of additional Coast-to-Coast-Stores in other
pool known as the Pennsylvania-New Jersey-Maryland 1 states.
,v "
"
Interconnection which has a tojtal generating capacity
Household Acceptance Corporation was formed to take
of more than 15 million kilowatts. Such pooling of power
over
receivables arising from the sale of products and
increases economy of operation and dependability of
services of nationally know companies. Education Funds
service, r
Inc., established early in 1960, is showing growth in
Recently placed in service were new switching sta¬
making longer term, low cost loans for educational pur¬
tions in Cranford, and in Hopewell and Lawrence Town¬
poses.
This is expected to be one of the most rapidly
ships and other new switching stations are either
growing areas of consumer credit.
planned
in
of construction in Bayonne, Belle¬

credit must be
sums spent in

billion in 1960 and is expected to

high-voltage lines—those "Turnpikes
possible the most effective use

which make

Power"
the

has in the planning

unemployment, which was
spending, and in im¬
proved consumer attitudes generally. This was also re¬
flected in a sharp increase in the volume of loans on the
books, in November and December. At the end of the
year loans receivable were close to $740 million, as com¬
pared with $693 million at the beginning of the year.
The number of families being served—over 1,700,000—
attained a
new
high mark;
Loan balances averaged
$425 each.
rV,
:
significant

reflected .in

generating capacity of the company's
eight steam generating stations. Already in operation
are
more
than 135 miles of 230,000 volt transmission

research and development programs.
An estimated $1 billion was spent

its

•

First, in analyzing the substantial
growth in the electronics industry in
If.

company's system. Construction of the new Hudson

the

again destined
to make substantial gains in 1962.
There will be a com¬
pounded effect of greater government requirements,
particularly in the defense areas and space exploration
programs. This growth will be aided
by another significant increase of
the
rapidly expanding electronics

The electronics-aerospace industry is once

Trenton. At the Sewaren generating station,

near

Perth Amboy, installation of a new 342,000-kilowatt

near

Rubber; Company

Armstrong

participated

good measure in the replacement industry's 1961
growth. During the fiscal year ended Sept. 30, sales of
.

Armstrong and its subsidiaries climbed to
.

new

Continued

high of
page

•":« I
•-i

•

Volume

195

Number

6126

The Commercial and Financial Chronicle

(337)

NEW
8NU<~
SIZE

aJ
V

"• V

;

•

Just what is the
/,.

•

.•

•/..'■

•

:'J';

'• "V';

' i\.

•;"'

v*
'
t

'V-'*,

•'

•

' ' V

V '

V.v>

''
*

•'

'•

(

.V';

"right size"
SHORT QyERHHWBj

.'.-5^:^J

are

the

industry today about the

hearing

Are

lot of noise in

"right size,"

they

Since
you

;

can

When you stop to
is

car

such

for

there

thing

the

get?

size

easy

7,. ;;V
-j • '
Xs'--.'.V .• * ' /.'"•> •y.y
./ '•• •
•
*
'.V **''V " '* ••
f"'< '

know that the

park-the car^the 1962 line in¬

models of

by all the 288 different
available this year

family, your garage, and your pocketbook, we offer the following "Right Car
Chart" to better transportation.
Just see your dealer and tell him we

tive road machine which rides and handles

sent

beautifully.

without

engineers call "fat-

free performance" which

means

for a "try-it-for-size" drive,
obligation, of course.

you

on a

lot less gas.

qualities which get

U1X

zca

All have the easy

0>-

action

5
ce

Right-Car Chart

a
tit

lot

Sc.

t-LJ

<ul

-U

§5

:z>

si
-

K
a.O

cnid

h-z

ex¬

(not
counting the foreign makes), maybe we
can help you out.
To provide you with a quick and easy
guide to selecting the "right car" for your

long distances in busi¬
ness or for long vacation
trips? Or is it to
be used mainly by your wife for normal
family errands, involving a lot of park¬
ing? This may determine whether or not
you want power steering.
In either case Chrysler Corporation
offers you in every price class a superla¬

cars

our

you

excepting only our own luxury
Imperial?
If you're feeling bewitched, bothered,

comfort.
All have what

Plymouth, for

cars,

Do you drive it

Chrysler Corporation offers six differ¬
cars and a total of 84 body
styles.
None is the right size, the right price,
the right car for everybody.
Each is the right size, the right price,
the right car for somebody.
Except for the sports jobs with bucket
seats, all give you traditional six-passenger

mainly for long trips

1962

U.U

OPT.

2
(A
,

8
(A

g
1

handling and riding

rave

notices from the

106.5

VALIANT

52.7-

184.2

101-

8.2-1

REG.

8.2-1
9-1

REG. OR

2021.5

8.2-1

REG.

OPT.

$1951*

8.2-1
9-1

REG. OR
PREM.

20-

OPT.

$2241*

21.5

9-1
10.1-1

REG. OR
PREM.

2123

OPT.

380

70.4

53.4

340

10.1*1

PREM.

8TD.

$1930*

145

automotive writers.

All, in

every

price class, have

116

53.754.5

202-

52.753.4

53.7-

76.5

54.5

214.9

145.

305

72.3

202-

75.6

209.9

PLYMOUTH

some¬

210

thing extra built into them which is the

only

way we can

PREM..

OPT

$2206*

Rj-f,

expect to compete with

106.5

LANCER

188.8

101.

145

General Motors and Ford.
The

right size is

one

thing. That de¬

on the size of your
whether this is to be your

pends naturally

"main

116

6
or

145.
305

family

—and

DODGE DART

car"

Other

second

things

interested in

are

122126

55.256.1

227.1

56.8.

79.4-

220.4

129

CHRYSLER

81.7

265-

STD.
AND

$2964*

OPT.

car.

you

IMPERIAL

will naturally be

these:

STD.

$4920*

'Manufacturers Suggested Retail list price, exclusive of destination charges.

The

PLYMOUTH

Where

•

VALIANT

people at

Engineering puts something extra into

DODGE

DART

•

LANCER

•

every car

CHRYSLER

•

IMPERIAL

•

DODGE TRUCKS

•

V,.'
*.'

you

ample, gives front seat passengers more
legroom than the most expensive American

and bewildered

ent makes of

for

car

you'll be interested in legroom. Did

Who drives the car?

for

everybody.

•

If it's to be used

to park?

than

shoe

length, or less. And while these cars are
more parkable, they still offer full sixpassenger comfort.

the right size

any more

right

cludes 51 models of 202 inches of overall

think of it there

everybody

you

Chrysler Corporation holds that
shouldn't have to struggle every

time you

How ridiculous

■

•'*

and your

irnBSMh

You

•

•/. V'!

The Corririiereial and

Continued

from page 68

$119,388,888,

$4,960,987 in fiscal 1960 to $4,849,829 last year.
To
take
full
advantage of the substantial

completion this coming March.
a
potential capacity of 10,000

future

■

tires daily, the

;

be a supplement to

Ernest S. Marsh

President, Niagara Mohawk Corporation

Niagara Mohawk will go forward in 1962 with a fivepoint program that we are confident will benefit our
customers and the communities we serve.

ample

service

area.

trades

This will include expanded

company

in the missile and space
ents

There is every

increase

the

number

Last year, there

Atomic
when

power

best

can

was

benefit

available' at

items

planes and

areas

for the

closer

program

goal.

now

otlier

has

advantages that Upstate, N. Y.

system of

super

highways,

great

international seaway, and electric power and
natural gas
to meet.all,tfce growing needs of homes and

factories.

Few other

regions anywhere

They certainly

assure

New York State.

plants,

power

and

degrees

purity

has

become

the

ion exchange systems developed

here has created opportunities on an

Present

•

cannot

day

methods,

and

international scale.

commercial,

well

frequently, requires ultra-pure water that

uses,

industrial

obtained

the

and

through

old

for

demand

fashioned

systems

new

can

match these

advantages!

the future growth and progress of
'
7 )
.

In this

the

huge,

England,

world-spanning
to

use

our

water

Head

treatment

Ltd.,

techniques

coming

million tons.

Similarly, estimates for investment in plant and equip¬
1962 indicate an increase of some 5 to 6%, or
little more than $750,000,000 for that purpose.

ment in

Profit trends

for the industry in the third quarter of
brighter than in the first half of the year,
although the industrywide earnings were still lower for
1961

of
and

the

great and continuing growth in engineer¬

year

and for many years thereafter.

were

first nine months of the

Paper

confidence and
new
-

annual average.

1961, the industry operated at about 90%
[, of capacity, and while this is high compared with other
industries, paper companies, because of high fixed costs
and relatively low prices, must run at near capacity if
they are to make a profit. In 1962, it is expected that
the operating rate will exceed the 1961 figure, even
though
capacity will be increased
by nearly one

ing, design and installation of water treatment systems
in the

Thomas B. McCabe

unusual

In most of

Scott
a

prediction of industry leaders a
ago.- \ ■„' .' j,-;?

methods.
We foresee

1961

somewhat better than the 3 to 4%

have recently licensed

Wrightson,

developments,
I
believe that paper and paperboard production will reach
37 to 37.5 million tons this year, which is an increase

respect, for example,

.: /

paper

The outlook for 1962 is even better.

distillation

the

II,

output

paperboard

Barring

now

world-wide

War

World

[[,,.[;•

year

was

United States know-how for modern purifica¬

of water through

military

them by

to market

and

expected to reach nearly 35.5 million,
tons* * a total that slightly exceeds

have

plant

that

industry has averaged a 3 to 4% an¬
nual increase in production.
Paper

As an item

of these systems

means

scientific methods.

universal.

top of all the

possesses,

nomically,

The need for tremendous amounts of treated water in

varying

nuclear engineering

power

and

safe

This

industry must continue to expand
research programs, intensity efforts
to make better products more eco¬

our

being installed by the Navy.

department and assigned selected engineers to research

to their

set the stage

tinue to be intense.

first

can

industry's performance in the second half of
for optimistic results in 1962.
industry's favorable trend in production, sales
and earnings during most of the last six months of the
year appears to have set a pattern
for 1962.
But competition will con-

with

in this field. In 1962, we

THOMAS B. McCABE

The

one

imported

paper

1961

serve

participating not only

nuclear

important

devices

military establishment,

in fine,

President, Scott Paper Company

The

One of these developments

conventional

interest

and

v:.."[[:

;
,

contributes tremendously

heartening

adapted for nuclear power plant use.

tion

centers for special experience

somewhat.

developed from

use.

consumer's

American

al-

it is expected that 1962 will
show a healthy increase in this division as well, although
the sharp price rises in French wines may curtail this

of the equipment of large military jet

.bridge failures

been

7 V'

comparable

The
wines

Continuous power supply systems, produced primarily ,

problem.

our

ing to lead the industry's growth percentage-wise,
though not in number of cases,
c' "7" [

of the most extensive nuclear
power programs
in the nation. Niagara Mohawk is
a

been

efficient operation.

was

one

toward

during the past year,

hand,

have

part

hawk and the other investor-owned utilities of this
State.

this

accomplished

the miniature clear water demineralizer that

carried

co¬

areas

other

the

It is

advance

spirits bottled in this country. It is reach¬
ing significant proportions and apparently has a future
because the saving to the consumer is considerable and
the quality quite acceptable to the American palate.
7 Cordials and brandy give every indication of continu¬
for imported

supplied for the South Polar nuclear

the

costs

financially, but has also organized

[high level.,
V
>
■
1
'
interesting development is the increased demand

Since

as¬

development program undertaken by Niagara Mo¬

expect to

much in gallonage.
*
indication of any lessening of its upfward trend. The growth of Canadian whisky appears to
have levelled off but it is expected to hold to its present
in dollars if not

•

produced for industrial

present methods. That is the goal of the nuclear research
and

category fohns a

As an example, commercial models
been developed of the precise
ultrasonic
indicators
produced for
measuring liquid fuel loads in mis¬
siles.
Industrial applications, origi¬
Don Marshall
nally
instituted
in
the
oil
and
chemical industries, are now being expanded into the

opera¬

.:v'7<''■/*'£[[;[

becomes

equals the

•

Bonded whiskey

fields pres¬

products.

defense

expanding

tions which had been eagerly sought
by other

country.

or^even

surpasses

7
[[;.7 ■.
continues slowing down although this
very-important segment of the market

volume of gin sales. ''

have

new

serve.

locating in Upstate, N. Y., including three large
the

[some time before vodka

challenge which must be ac¬

fense

gas

indication that this

industries

Although sales of vodka are still increasing, the rate
growth has slowed from former years, and it will be

commercial applications of their de¬

;

national advertising program directed to

operative effort is bringing results.
an

brewery, distillery, food processing and other industries.

industry to the communities

business leaders.

blends.
of all

[: distilled spirits sold.

companies also must seek to develop,
possible,; industrial
and

personnel.

organizations to provide them every possible

sistance, and

probably continue to gain slowly on the
two categories account for a good 60%

will

[These

wherever

in the past, this will consist of extensive work with local

civic

1,000% more than the cost of distilled spirits.
As to the trends within the industry, straight whiskies

cepted by the entire industry in 1962,
For their own economic health,

advertising

assistance to the electric and

development program, designed to attract

area

business and

v One situation which we must all recognize whether as
[ producers, distributors, at the retail level, or as citizens
and taxpayers, is that bootlegging is not on the wane.
It will not be, either, so long as the tax on whiskey is

depends upon engineering

arising every day. These companies have
much during the past year.
But. the tense international situa¬
tion and our country's urgent need
for further scientific developments

Niagara Mohawk will also go ahead vigorously with
its

not follow accurately the

companies in this field for, the solution of new problems

equipment. .We- will;*complete the
conversion of all billing operations
Earle J. Machold
to an electronic data processing sys¬
tem, and expand the use of computer
equipment in many aspects of the business. In the latter
connection, we now can determine faster than ever be-.,
fore, and from hour to hour, available sources of the
lowest cost power. New types of compact service trucks,
especially designed for our use, are being put into service.
Niagara Mohawk engineers are working vigorously on
new techniques to reduce interruptions from any cause.
Thirdly, we are launching a new sales promotion pro¬
gram designed to provide greater support and assistance
to retail appliance dealers and distributors throughout

programs, and greater

they do

defense establishment, particularly in the [/[[One

missiles and space programs,

growth.
In 1962, Niagara Mohawk will take
further steps to save time and money
through the use of new methods and

our

Manufacturing; Co*/ .7*[

Preside^^
nation's

The

for future

resources

Scotch gives no

added facilities assure every area we
serve

the prosperity of our
They do not climb as high
rapidly as our business booms.

either.
v
anticipated prosperity of the nation in 1962
should benefit us overall but the exact extent is open
to conjecture. There will be some more or less predict¬
able trends within
our
industry, however, and they
should generally follow fairly recognizable patterns.

pressures

portunity in the field of rate making-and to remedy
grossly unrealistic tax laws with respect to depreciation
of railroad equipment
and other facilities. Fair and
reasonable treatment in' these important areas would
contribute much to the health and vigor of the industry.

high-volt-

under construction
across our System. This huge power
grid will feed greater amounts of
electricity into the Niagara Mohawk
area
networks. It will also provide
much larger connections for econom¬
ical
interchange
of
power
with
neighboring utility systems.-These

/The much

system. Congress should not delay legislative action to
afford the railroads more nearly equal competitive op¬

now

lower

country.

other hand,

the

threat

in combination with long existing in¬
equities in the areas of regulation and taxation work an
undeserved hardship on an industry that is recognized
as most vital to the Nation's production and distribution
These

MACHOLD

is completion of the extensive

present inflationary pressures remain a most
to the railroads and their employes.

ever

actually means

downward pattern

industry in the West, and keepihg the Santa Fe on
competitive basis among railroads and other modes
transportation.;
"

The

McCarthy

and
a

few

greater extent.
The sales
spirits should never be
an index of the relative minor

swings

rising costs. It is also aimed at meeting transportation
generated by continuing growth of population

constant

circuits

used

Thomais F.

demands

.7, ' !'•

past

of wines and

looks forward to a more modern high-

This program

the

during

even

capacity plant capable of efficient service and more eco¬
nomical operations to help keep abreast of constantly

thereafter.

The first step

•

signaling, microwave communi¬
installations, and many other
"

do not ac-

capita consumption.
j
- I;
The general economic pattern of
the American economy is ignored to

cation

improved facilities.

per

line

trol

only

liquor• which

ment, completion of a 39 mile re¬
alignment of track on the Phoenix
in Arizona, further traffic con¬

age

and improve¬

cars,

•

place,

that our volume has roughly
paralleled the adult population in¬
creases and this has brought us just
to the 1946 level of consumption of

238 miles of new continuously
/welded rail for main track replace¬

Co., Inc.

•

duty diesel locomotives, ap¬
proximately 1200 new freight cars
7 of various types, 25 new baggage

the Armstrong

years

heavy

will have no im¬
portant effect on fiscal 1962 sales, we expect it to figure
largely in the overall results of the company in the
years beyond.
7 ■■■
It "
Other expansion steps in our program include a onethird increase in production capacity at the Natches,
Miss., plant of Armstrong Tire & Rubber Company,
while our 28.6% owned affiliate, Copolymer Rubber &
Chemical Corporation, is now expanding its facilities by
40%. During 1961, we also put into operation a new
multi-million dollar warehouse at corporate headquar¬
ters in West Haven, Conn., and established new and
larger quarters for our test fleet in Pecos, Texas.
We believe that these steps, together with the high
efficiency of production and material handling opera¬
tions at all our plants, place Armstrong in a very ad¬
vantageous [marketposition for ther current year and
J.

such.'

programmed gross capital',expenditures
of $65-million to include ;43.

•

first

the

during 1962, the Santa Fe has

ment

plants in the East, South and Midwest.
Although the new West Coast facility

EARLE

modernization

For

plant not only will

operations will

last 10 years.

of the

Nichols

curately follow population growth, as

but still somewhat below the average

f. McCarthy

Austin,

Any-effort to interpret the outlook of the Wines and
Spirits industry for 1962 must, as always, take into ac¬
count the fact that this industry ignores to a large extent
two of the bench marks so
important to economists.

showing
in general business
activity, and this trend is expected to continue into 1962
when modestly higher levels of gross receipts are anticipated. The System's net income for
1961 will be up moderately over 1960

expand Armstrong's total
capacity to 50,000 tires per day, but will enable us to
meet more efficiently the rapidly increasing needs of
our Pacific Coast and
Rocky Mountain area customers.
Its

Santa\Fe

improvement from the recent upturn

foreseen for the replacement industry, Arm¬
strong has undertaken a major expansion program at
each of its various plant facilities. The major item is a
new tire manufacturing plant in Hanford, Calif., sched¬
With

Thursday, January 18, 1962

President,

Santa Fe Railway System are

of the

Revenues

growth

Hanford

thomas

marsh

President, The Atchison, Topeka and
Railway System

1960. Operat¬

2.2% over $116,784,382 in

ernest

ing profits were also up; however, higher non-operating
cnarges resulted in a small decrease in net income from

uled for

Financial Chronicle

(338)

Company

year

looks

compared with 1960.

the

new

year

with

enthusiasm. The company established

high in 1960 when the net sales total reached
-

Continued

page

Volume

195

• •« 1'.- •-

-'<•

6126

Number

.'.

The Commercial and

(339)

Financial Chronicle

i"
'?>.<•■ 7

■»?•.

.?*»'

.»•>;•

steels has grown

..^Progress is more than a word. / Progress is

fii-

vv.

•id

vastly in number, in com¬

schools for on-the-grow children >., modern

position, and in structure; and through the

medical facilities for the entire

community

wonders of research the members of this

worship. /

remarkably useful family of materials have

.civic centers and centers of

Progress is buildings going up, aspirations

been almost

going up, too. / Progress is the steel industry
of the Nineteen Sixties, as different from the

But, most of all, progress is people con¬

steel

stantly on the go toward tomorrow and
tomorrow and tomorrow. U.S. Steel, now in

industry of the Twenties as the futuristic

its 61st year,

in the automobile show is from the surrey

car

-v

i .V

s'JX'ifi 'V

.v,- ; i-,+..*»o

y-.*•

%•.;.V".X -vr*•V

fK-V:
-■

,:v.

• v..

...

4->

;•••

•'

" :

•' V*;

•j',

is proud of the part it is playing

-and will continue to

with the fringe on top. The numerous family of
|

completely revolutionized. /

•*-:

play-in this progress.

||gS) United States Steel

V.-*-

Continued

from

greater than 30%

were

page

largely

$313,000,000.
exceeded

wet weather.

the same period.
'
,•
particularly gratified by these figures, and
1961 has been a historic year for the company in several
areas.
In October the Board of directors authorized a
4.6%

over

Scott

will

decade

split of Scott's common shares and an
increase in the quarterly dividend on the pre-split shares
from 55 cents to 60 cents per share.
Scott expects the
stock split to attract additional investors.
three-for-one

other

share
1961

developments, the Brunswick Pulp & Paper

extensive expansion program to
increase
the
firm's
production of bleached sulphate
pulp from 500 tons daily to 1,000 tons.
In March 1961, Scott started production on a new,
high-precision paper machine at its Mobile, Alabama
plant. The new machine produces a number of papers
including grades such as those for lightweight printing
by the offset press.
* •" *
Still another expansion program of the company was
completed in 1961—a new plant for the manufacture of
Scott Apparel Foam and Scott Industrial Foam, both
polyurethanes, and other allied products. Plastic cups
are also produced at this new facility.
On the foreign scene, Scott was fortunate in 1961 to
form new affiliates
in partnership with outstanding
paper companies in Japan and the Philippines, and to
began

—

participate

still

another

Denmark

through

its

tions, or; both, in 10 foreign countries.
In September of this year the dedication of the com¬
pany's new executive offices and research and engineering
center

Scott

marked

has

milestone

yet another

Scott

history.

rapidly in the past 20 years, and the
new
complex, located adjacent to
Philadelphia International Airport, now makes it pos¬
grown

construction

this

sible to house all of

staff personnel at one site.

our

The company is particularly pleased
research and engineering facilities
which,
second to

with its new
I believe, are

in the

none

pulp and paper industry. Research
development surely will play an increasingly impor¬

and

tant

role in the future

Scott

has

research,

consistently

Scott

the entire

and

increased

industry.
investment
in

its

a trend that will be continued.
before has the demand been so

Never
and

better

products

paper

combination with

great for

new

for paper items used in

and

other materials.

Not

only is the do¬
bright, but the potential
particularly inviting: as other

mestic market for these articles
of foreign
markets is
nations

lift

their

standards

living, the demand
there will increase proportionately.

paper

for

the average fell below this

McCLANAHAN

Barring

in the

coming

which reduced air

summer

than

average

for

sales

were

1961's

below

The

conditioning load and the less

in industrial
the principal reasons for
should

resume

least its past five year growth trend

assuming
and

the

normal

73%

sales of the

billion new financing in 1962. Higher
debt money costs would result in a greater share being
raised by equity issues.
The number of electric utility rate increases granted
in
1961
(nine) and those pending at year-end 1961
(nine) were the lowest since 1956 and 1955 respectively.
Rate increases in 1962 would appear to be dependent
on whether the present general price level of all business
is

substantially maintained. Any important breakthrough
present price levels will force electric utility rate
increases.
on

Gas Utility Industry
Sales

and

lion

kilowatt-hours

Growth

1961

trends,

average

fell

sales

below

highs in 1961 and

new

1965.

Specific year-to-year increases
are
dependent
the extent of space-heating sales.
New spaceheating sales are mainly dependent on new house starts.
upon

Assuming

conditions

average

old

for

and

new

space-

heating, gas sales in 1962 should exceed 100 billion
therms, half of which will be to industrial customers.
the

10%

utility

gas

Association estimates

Gas

ending 1965,

utility

gas

billion

for

industry

1961

annual growth rate recorded since

that

fell
1955.

over

industry

should total approximately $6y2
of which about $3.7 billion, or 57%

1962,

will be from residential

customers.

Preliminary reported earnings per share of a repre¬
sentative group of gas utility holding and distribution

established

the

over

regulatory

agencies

will

be
gas

companies in the coming

Distribution

principal

factor

pipeline and dis¬

year.

companies will show

earnings growth in states where automatic adjustment

the

clauses

permit increased cost of pipeline gas to be

flected

R. McCIanahan
especially adverse to
air
conditioning load.
Residential
I
use
per customer for the total electric
utility industry
slightly exceeded 4,000 kilowatt-hours in 1961, or about
4V2% higher than 1960. Over the 1955 to 1960
period,
the annual increase averaged 6.8%.
Assuming weather
for good air conditioning load, residential use
per cus¬
was

1962

residential

use

hours.

should

average

Another cool

approximately 4,400 kilo-

summer

slightly

would reduce average

than

4,200

kilowatt-

utility

and

industry

1960.

and

summer

past
1961

the

gain

of the

the

1960

summer

was

irrigation

cool

summer,

summer

peak.

also

the

total

electric

approximately the-same in

were

The

Southwest

peak loads

Above

factor

pumping

peak

however,
to

only 6.1%

average

The

over

rainfall in the

reducing the

declined.

1959

reduced

summer

peak

December,

1961

rates.

ings

New

;

househeating

Approximately
1961.

were

approximately

only 10

years

million

1.2

househeating

The gas

industry
1962

should

again

under normal

approximately

conditions and

provide

were

added

househeating customers

all

residential

customers.

customers

should

con¬

Another

added

for

utility industry is expected to spend $2.1 billion

construction in

1962

1961.

total

utility industry.

during 1962, bringing househeating saturation to 73%.

$0.95 billion in 1961.

the

gas

The East North Central States

ago.

144.1.million kilowatts, or

same

continue

provide the greatest absolute growth.

Winter and

for

the

1961,

71%

compared to

$1.9 billion in

Outside financing should exceed $1.0 billion versus

Although outside financing is

planned, to consist of

new

ex¬

75%

pected to increase approximately 8% to 156 million KW.

1962

may

debt issues

now

the extent of

raised by equity issues.

air

peaks

are

conditioning becomes
are

South.•

more widespread, summer
increasingly occurring in states outside the

•;

-'"'v.

Excess reserves of the electric

averaged

about 30%

utility industry in 1961

of peak loads,

but in many

cases

the

There

total, possible higher debt money costs in

prompt

are

ing

more
on

greater share of

indications

that is producer,

tion

that

the

gas

new

to be

money

industry in total,

pipeline and distributor,

stabilized periods.

years

some

domestic demand has increased at

average annual rate of 2.1% per annum, or about onethird the 6% annual growth rate which prevailed during

the preceding decade. While some slowdown from the
unusually large increments of the early postwar years
was to be expected, this slackening also directly reflects
some broad developments in our society such as improved

efficiency in the generation of power, inroads of natural

in markets formerly served by fuel oils and growing
popularity of compact cars. Under this set of conditions,
it behooves the industry to channel a greater proportion
gas

of its

expenditures back into research to develop more
improved products from petroleum. An in¬
creased rate of new product innovation is also an effec¬
tive means of lessening the impact of the substantial
and

new

with which the industry has been faced
in a row.
.
According to a study conducted by the National
Petroleum Council, the domestic industry now has well
over three million barrels daily of excess crude oil pro¬
overcapacity

for

the

four years

last

ductive

reported in
now
is
some two
million barrels daily above annual through¬
put requirements. Too high a utilization of this capacity
in
1961, together with larger imports, brought about
an increase in the new supply of petroleum of some 85
capacity. U. S. refinery capacity,
American

recent

million

barrels

great

over

Institute

Petroleum

This

1960.

study,

four

nearly

was

times

the increase in demand of 22 million barrels.

result

the

industry's failure to gear supply to
were built up to an all-time high,
refined products' wholesale prices declined sharply and
currently are below a year ago. This, in. turn, reduced
a

demand,

oil

inventories

company

earnings

during

the

latter

half

below the corresponding period in 1960.
It is estimated that domestic; demand

1961

1^62 will

slightly, over 10.million barrels daily, or 2.5%
higher than in 1961. As in the past, demand in
some
areas
of the country will increase at a faster
rate than the national average (such as on the West
Coast last year) while in other areas it will grow more
slowly. The extent to which individual refiners maintain
their runs at realistic levels for the particular markets
they serve will largely determine whether or not the
entire industry's prices and earnings return to more
average
to

reasonable levels in 1962.

During

•:

•

period of overcapacity, such as is now
being experienced in the oil business and a great many
other industries, it is imperative that oil company man¬
agements face up to reality, further reduce costs and,
in general, begin making more hard-headed economic
decisions
regarding the conduct of their day-to-day
operations and future capital investment policies. Proper

they exist, and not

wish they might be, will go a long way towards

ensuring

maximum

the short and

profits for stockholders

over

both

long term.

ROBERT

earn¬

greatest rate of customer growth appears to be in

reached approximately

the

re¬

the New England area where natural gas was introduced

above December,

peaks

five

last

in use
about

growth
liquids was

1960.

McCULLOCH

President and Chairman, McCulloch Oil Corporation

customers

end

peak

summer

increased

million such customers

1.2

the

tinue to

the

over

production of
5%, and
of natural gas
4.5%. Over the

contrast, marketed
gas increased

natural

industry generally in 1962

higher, sales and earnings to

L. F. McColium

share of about 5%.

per

U.3%

1960.

The

should continue its past performance of

The

Winter

retail

gradual improvement

1961 demand showed

recognition of industry conditions
consistent

summer

tomer

On this basis, revenues of the

South and Southwest where the cool

watt-hcurs.

the

should increase at

revenues

annual rate of about 8%.

per

are

5.9% average annual increase for the five years ended

recent

principally

Distribution

expenditures rose in 1961 and are expected to do So
again in 1962.
Gas sales during the past year increased to approxi¬
mately 95 billion therms from 93 billion in 1960, for a
2% gain which was below the 6.9% average annual
increase over the 1956 to 1960 five year period.
The
greater proportion of the increase came from residential
and commercial customers, while industrial sales were
little changed.
The American Gas Association projects

tribution

residential

—

gas

determining earnings trends of

720 billion in 1961.

customer

the

utility industry again
expected to surpass
those achievements in the coming year.
Expansion of
gas facilities continued at record rates as construction
reached

State

compared

revenues

increase of only about

$2.0

Promptness of compensatory rate relief by Federal and

utility industry should in¬
approximately 8% to 780 bil¬

crease

entire year

debt, 9% was preferred and 18% was common
About the same breakdown is expected for the

estimated

although

has occurred since that time, for the

same

was

stock.

States, and
of growth

rate

and

$3.5 billion
amount is

record

five-year period ended 1960.
Earnings of gas utility companies are adversely affected
by increased cost of natural gas purchased in the field.

electric

refining capacity in the
a
slowdown in
in demand for
petroleum products in this country.
In 1961, the low tempo of domestic
business activity in the early part
of the year held oil demand down,
excess

United

Permanent new financing

expected to be spent in 1962.

;

and the

the existence of substan¬

producing capacity world¬

the

by electric utilities in 1961 totalled $1.65 billion, which
was the lowest
Since 1956. Of the total $1.65 billion,

rate

cooling weather
higher industrial

expected
On this basis,

output.

spent

1961,

excess

wide,

Preliminary

companies showed only moderate increases in 1961, while
average
earnings for a group of pipeline companies
showed earnings increases comparable to the 5% annual

growth.

average

1962

year

difficult by

tial

utilities

construction in

new

five years

pick-up

year.

industry

any

abnormal rise in operating costs and.
conditioning load, per share earnings
again show an increase of 5%

.Investor-owned

The American

Kilowatt-hour sales of the electric utility
industry were
up only 5% in 1961 as compared to the 7.3%
average
annual increase in the prior five
years. Last year's cool

an.

unfavorable air

belcw the

President, Middle West Service Company
Electric Utility Industry

trend.

virtually

its ability to keep supply con¬
sistently in line with demand. Insofar as the petroleum
industry is concerned, maintenance of sound operating
rates in recent years has been made
on

of electric utilities should

Revenues

well-being

dependent

have

rate

1960.
an

affiliate Bowater Scott Corporation, Ltd. Scott now has
interests in paper manufacturing or converting opera¬

of electric utility companies over the past
rather consistently shown an average per
of increase of 5% annually.
Earnings for

financial

The

McCOLLUM

President, Continental Oil Company

reported earnings for 85 investor-owned electric utilities
showed 1961 earnings per share to be about SVz% over

Company—owned jointly by Scott and The Mead Cor¬
poration

investor-owned companies.

be by

Earnings

Thursday, January 18, 1962

L.
:

normal

achieve

where summer peaks

areas

r1962 despite the planned addition of approximately 11.5
million KW to industry generating capability.
Of the
added 11.5 million KW, approximately 8.0 million KW

For the first nine months of 1961
$246,800,000, an increase of 5.3% over
the corresponding period in 1960, while earnings were
than

growth because of cool and
Excess reserves should decline sligntly in

failed

sales

Commercial and Financial Chronicle

The

(340)

may be reach¬

The effect of this stabiliza¬

net income is not yet predictable.

From

ducing

historical

assets

and

standpoint, the principal income
present operating methods of

pro¬

Mc¬
Culloch Oil Corporation have resulted from exploratory
activities commenced in 1956; As of January 1, 1960, the

formerly designated McCulloch Oil
Corporation of California exchanged
its stock for properties which were
developed as a result of the 1956,
1957, 1958 and part of the 1959 Oil
Exploration Programs (some 75 in¬
vestor

Participants exchanged their
properties for stock). On November

23, 1960, the company merged into
Cuban American Oil Co., whose name
then changed to McCulloch Oil
Corporation of California (a Dela¬

was

corporation).
The
resultant
corporation has approximately 7,000
stockholders, cash flow in excess of
$1 million per year, reserves located
ware

California, Texas, Louisiana, Okla¬
R. P. McCulloch
homa, New Mexico, Colorado, Arkan¬
sas and
Canada (through, its
wholly owned subsidiary
McCulloch Oil Corporation of
Canada). The business
and executive
Los

offices of the oil company are
located in
the company has .district
offices in
Texas and Bakersfield,,

Angeles

Midland,
^

and

California, and

-v

Continued

geo-

page

74'

Volume

195

Number

6126

The Commercial and Financial Chronicle

mmmmm
m

.'JiPp '

\U
feK¥:&S&\x«W«$5

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are

use

of time and space, because both

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Diebold office equipment

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V.."

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ADDRESS

ZONE

STATE

The Commercial and, Financial Chronicle.

/(342)

Continued from page 71

Indicative of the

spiraling demands for natural gas,
listed a 12.4% increase in
total gas sales for the 12 months ending Oct. 31, 1961.
Sales volume for that period totaled 354.6 billion cubic
feet of gas, compared with 315.5 billion for the previous

26,000 ways that, natural, gas
home and in industry.
Y

the American Natural,system

i. logical

offices

Wyoming,

Casper,

and

Lafayette,

Louisiana.
The company's exploration activities are facilitated*
by annual joint venture Programs through which McCulloch Oil Corporation earns a one-third carried inter¬
est in substantial leasehold interests in 15 to 20 Explora¬

tory Wells each year at no cash outlay to

Oil to

use

During 1961, the joint venture Program has pro/ vided $1,700,000 for exploration and a similar amount is
anticipated as a result of the planned 1962 Program.
Thus, management believes the annual joint venture
Programs provide the company with an exploration
/ budget of sufficient proportion to provide the carefully
balanced exposure needed to assure continued dynamic
growth. Selection of the company's prospects range from
smaller semi-proven plays to large blocks holding the
potential for major discoveries. Thus, it can be noted
that the significance of the annual Programs is the fact
that the company does not endure exploratory risks but

is able to conserve

Well

miles

east

such

pany.
; "

if*:
{?*

than

cubic

feet,

reservoirs

plus

classified

increased

has

for

and

military items

not

in the

Duarte wells,

centrates

United

the

States.

North

textile
and

:•

,/>•,.

'..-a-.,

•Ift'' v' '

'♦

...

**• *"1-,

h*'

Carolina.

continues

designs and broader usage of hard metal in one area will
advancement of the hard
carbide industry

generally throughout the Western World. /v,,

-The

strong,
k

mar-

":y/y

':/y///Y-Y y Y/YY//

to aggressive indus¬
development/ activity,
Duke

While tools for metalworking arid

be major markets for tungsten

company has a training program for home builders in /
the installation of electric space heaters and offers
pro¬

motional

rates to home

have

of natural gas in our
during 1962. The 1962 model passenger cars

received

ception.

very

The United

favorable
States

re¬

has
30

compared with 5.5 million manu¬
in 1961.
Outstanding lead¬

the

§Y

industry have predicted
substantially greater sales of auto¬
If these predictions

hicle

ft
■

A,*

•

■

the area served

by the American Natural system. Ordersreceived, by the steel companies have been
picking'
sharply and there is substantial indication that the first
half of; 1962 will see an accelerated steel

opening and expansion of the St. Lawrence Sea¬
alsc offers great opportunity for increased trade

and commerce.1

for

Gas Pipe

utilities

gas

have

customers

added

during the

heating.

.The
the

utility customers
Y: V ■'

forming of

normal

growth. But

r;
1
if.

system.

Our distribution companies
expect thm- industrial and
residential heating gas sales to rise
substantially over
the record levels experienced in 1961.

For

example, our subsidiary Michigan Consolidated
Gas Company in June, 1962, will
complete the first year
of a new contract calling for deliveries of
up to 25 bil¬
lion cubic feet of gas annually to the Great Lakes Steel
Corporation. The steel firm is using expanded gas

sup¬

plies for the operation, of a new rolling mill ana- for an
improved new production process in its blast furnaces

ti
4
-I

„

million

/\Y:"/v./i

solid

need

bases

uses

much

four-and-one-half

gas

and

the

new

power

well

Y ;,,

■Y"v

Chas. Pfizer & Co., Inc."
the

economic

barometers

signs

1962/The sluggish and be¬

faced by business early in
1961 has
to brisk activity in the closing months with

for

production, buying and seiung oY me 1 Y
throughout the U. S. economy-;
Although 1962 may not go down as a,

for

'■

forecast

climate

clouded

way

rise

"boom"

yeaiy it apparently will see
wholesome level of economic prosr-

perity..

//.../ .r', //-'
According to the U. S Department

times

did

Commerce, Gross National Product. '
year's end was close to $540 bil¬
lion, compared with about $500 bilat

Clyde McGraw

use
of
gas for
the gas distributing companies

lion for I960. In the

equipped with

sources,

•

given

would undoubtedly Show sub¬
stantial gains. The average customer
as

McKEEN

for

if population fig¬
to remain constant, natural
even

all

business weather for

good

population

continuing

JOHN E.

uYY Y Chairman of the Board and President,

Almost

apparatus

gas

today

Michigan and Wisconsin

than

gas

thirty years
ago. Considering the new develop^
ments in gas-using
appliances and

our

Corporation

families and

increase - in

which create

ures were

new

use

All this augurs well for
vigorous continuing growth of
the economy in metropolitan Detroit and
Milwaukee and
other large industrial areas in

./Y

Line

served

Exposition of Chemical Industries several
made of Kennametal tungsten
less than a gram to nearly 400
pounds .indicated the expanding application of these '
metals as components in machines and processing equip- :
ment. Generally, such parts wear 10 to 100 times longer
than the hardest steel when subjected to heavy
pressures,
localized abrasion, or combinations of corrosion, abra¬
sion, and heat.
\
•
•
ago, components
carbides weighing from

; E-' CLYDE McGRAW

dential gas

output.

;<• 'v

At the 28th

weeks

//Nearly 21 milli6h/ 6r/70%, of all resi¬
Ralph T. McElvenny

The

■

ness,. strength, a rigidity three times that - of f heUiardest
steel, plus exceptional resistance: to abrasion, erosion,
corrosion,, and high temperatures qualify these carbides /
for countless industrial, military, and Space Age applications.'-.. V"
' •/
/Y

/ past ten years, an increase of 138%.

cal, pharmaceutical and; tool and die
manufacturing, there is extensive steel production

way

The

ve^.

and numerous other'
activities such as chemi¬

highest saturation of electric water heaters

Y house-heating

industry

industrial

YYY/YYY;//////

;"///;:

realized, it will make 1962 the
best year in the automobile
industry's history.
./•<///'
1 /
second

large motor

special all-electric

All indications point to a continuation in 1962 of the in¬
fluences which have contributed to the rapid
expansion
of the natural gas industry for more than a decade.

are

In addition to the

and

Y:-Y\

President, Transcontinental

the

mobiles in 1962;

builders

gallons and above in the naLtiori.^-v/V

factured
ers

owners.

than

to at least 6.5 million autos this year
as

allowances

Average annual use by residential customers is better
40% above the national average, and the system

De¬

partment
of
Commerce predicted
recently that the nation's total pas¬
senger car production will increase

♦,

Iminini Continue to
carbides<;thbse hard'Com¬
positions are gaining wider usage^ach': year as a mate¬
rial oLconstruction for making machine cqhiponents arid
wear parts. Many unique properties'such as h'gh hard¬

* and- commercial establishments. The

„

are

Gross

new devices to attract the consumer
dollar. Use of gas for air
conditioning is growing rapidly
of office buildings, hotels,
hospitals, res¬

run

coming

year,

the

National Product is expected
above

and thousands

predictions

taurants and factories, as well as homes, are now air
conditioned by gas equipment. Gas
lights, once consid¬
ered a thing of the
past, are now manufactured by more

$560 billion. Moreover

ment

than 40 companies and are in use in more than
300,000
homes. Gas broilers which cook steaks on both sides at

plug-in appliances such as steak grills, gas coffee
makers, and toasters are examples of the more than

once,

addition

service

blanking, and extrusion.of .nqetalsyhas. been, almost uni¬
versal.
Recently, tungsten carbide dies and rams/have
into articles
for machin¬
ing. This is/called ''Chipless machining"-. By this tech¬
nique the recovery, of steel in the form of .finished articles
is practically 100% instead of a large percentage being /
lost in chips by conventional machining.
Thus, whether
made it possible to, cold work, slugs of steel
of sufficient precision to eliminate the need

Generally improved business conditions* particularly in
the automobile industry, are expected to result in - a
area

Y/.Y///Y//

-During the past 30 years the acceptance of cemented
hard carbides for metalcutting tools and dies, for drawing,

continued record increase in sales

'■I-:..:, r"...S..

Europe under

stimulate

going all out in the pro¬
motion of all-electric homes, offices

William B. McGuire

President, American Natural Gas Company

■

accelerate the

ket, good business climate, and ex- ;
are attracting a widely
diversified range of new industriesamounting to over $600/million in/ articles/ are. machined^^ with carbide ' cutting tools or
formed: with dies and ranis made of carbide,fthe. funda-4
new ;plantsv and; expansion, in
the
/Duke service area for the past three / mental fact remains that tungsten
canl^des-prqyide the

Power

South

cellent labor

years.

and

which /

in the Piedmont section

industry

markets

the Common Market should continue
adoption of better tools on both sides
of the Atlantic with consequent improvement in products
YYYYY" and' standards of living. Advancement of . better tool

combination of favorable

world

grinding, wheels and prospec¬
supplies of diamonds made by
ultrahigh pressure techniques should
lower costs of precision grinding,* a
major factor in the production of
tungsten carbide articles...
yY'/Y
The revival of industrial activity

Philip M. McKenita

changes, the sharp pickup in
in the Piedmont Carolinas, begin¬
ning in August 1961 and accelerating through December,
should continue during 1962.
The past six months re¬
flect
a
sustained industrial upturn
throughout our
20,000-square-mile
area

tive

industrial power sales

service

mond

McGUIRE

President, Duke Power Company

the J

Also,

In the absence of unforseen

to indicate 1962

seem

capable of supporting a larger
industry. The improvement in dia¬

continuing program of expansion,/ the
system looks forward with confidence
opportunities at hand and ahead to serve everincreasing demands for natural gas.
B.

into

are

spread

coming year. Current needs for
also expected to increase' with the
expanding defense, program. /' //)
The necessity, for lower costs to
meet competition by more efficient

Fortunately, there are plentiful sup¬
plies of raw tungsten mineral con¬

the

but: will also be drilled to

propitious for continued advance¬
ment of the hard carbide industry.

million to $950
have grown from approximately
-

continue

yYY/YYY.'

compositions

metal

carbide

should

methods would

approximately $360

revenues

//In
trial

are

most

are

hard

and

during the

research programs being conducted by the
industry are expected to develop important new uses
gas fuel in the near future.
/

Through

exploration/throughout

/>■*■;

196.1

Intensive
gas

We believe this growth pattern should prevail :
1962, through development of existing properties, Con- '■£
tinuation of the company's extensive drilling activities
in the annual Exploration Programs, as well as through
acquisitions of productive. properties. As previously
noted, according to the-Preliminary Prospectus now
available (through McCulloch Oil Management Company
of Hartford Building of Dallas,
Texas) on the 1962
McCulloch Oil Exploration Program, a fund similar to
the $1,700,000. amount of the 1961 Program will be made
available to the company during 1962 for. oil and gas

v ? :

areas

new

uses

producing

oil

vast

$100 million to $275 million.

depletion

nearing

are

from

million, while

incurred.

il.

broadened

Pointing up a period of great growth* in the past 10
years American Natural Gas Company's plant account

(30%) and profit (115%). Projected
figures for 1961 are: Sales $2,200,000; Cash Flow $1,300,000; and a Profit of approximately $30Q$Q0; even though
all intangible drilling costs hrd written-off in; the year

Commercial

day at present.

promising for conversion to gas storage.

(22%), cash flow

rights

storage

which

McKENNA

•/';President, Kennametal Inc.

yet undeveloped for storage with a capacity of 45 billion

8,000 feet to test for deeper production possibilities.
During 1961 the company increased its reserves, sales

Y Y-:

Michigan, American Natural subsidi¬
aries have developed vast underground storage facilities
with a working capacity of approximately 120 billion
cubic feet. In addition* we have depleted gas fields as

Presently, in the same area, Mc¬
drilling its Ginochio No. 3 Well which
only test those zones which have proved pro¬

Oil

ductive

American

central

will

American Natural

Culloch

lY-

PHILIP

billion cubic feet per

one

In west

is now

of the United States and the

less than six months.

"V*

available in practically all
conversion from old
gas. service is largely accomplished, the
era of mushrooming new natural gas pipeline systems is
about over. Neverthelesss, the requirement; of additional
service in existing gas service areas will continue, and I
expect a constant and substantial growth, of; the natural
gas industry,, not only into
1962, but for many years
beyond.
■'.- "
-;./YSince natural gas

areas

manufactured

our average

possibly the largest gas well in California's history.
After completion of its 30-day production test, this well
had sold over $383,000 worth of gas to the Pacific Gas &
Electric Company — a new record for the state.
The
Duarte No. 1 Well was completed last June and a simi¬
larly successful well, the Duarte No. 2 went on pro¬
duction during November. Collectively, these wells have
already produced over $1,000,000 of gas in a period of

Y-

//v

modern home.

daily natural gas supply since
increased from 127 million cubic feet per day to

result,

1949 has
.

sales

expansion
program.
This included Construction and expansion of
two large interstate pipelines, Michigan Wisconsin Pipe
Line Company and American Louisiana Pipe Line Com-

...

and residential heating

21.7%

the 12 months ending'Oct. 31, 1960.

meet the soaring market requirements,
Natural has engaged for a decade in a record

company as

of San Francisco which

over

4 To

Program have
well as; to the
other members of the joint venture arrangement.
The company has gained particular recent notoriety
due to its completion of gas wells in California and New
Mexico and its exploratory activities which have taken
it into Mississippi, Colorado, Wyoming, and Utah. Earlier
in the year, the company completed the Duarte No. 1
results to date

The

drilling.

climbed

in 1961 of 2.24 billion cubic feet,

its entire cash flow for development

been most successful for the

period, American Natural's total indus¬

same

During the coming year, the American Natural system
anticipates its one-day gas deliveries will reach a peak
of 2:6 billion cubic feet, compared with a peak day total

exploratory drilling which permits McCulloch
its dash flow for less risky development drill¬

ing.

the

sales

4.4%

the company.

finance the entire

Other members of the joint venture
cost of the

For

the

is being put to use, in

V
;
Qneofthe more - interesting of the experimental ap¬
plications for natural gas is the fuel cell which uses gas
and oxygen to make electricity. The fuel cell, using
natural gas, as a chemical fuel, may provide the home of
the future with all the electric" power- needed in the

12 months.

trial

Thursday, January, 18, 1962

for greater consumer
income and spending, more govern¬

spending, and higher produc¬
greater capital investment
by,industry.1"-.-■. Y
v ^
tion

are.

and

For the chemical

John E. McKeen

industry, intimately associated as it
is the kind of activity
a matter of fact, the

is with the nation's economy, this
which spells out a good year. As

Volume

Number 6126

195

chemical

and allied industries

The Commercial and Financial Chronicle

usually a step or two
general industrial
mounting for industrial

are

ahead of the economy as a whole. As

production increases, orders
chemicals

well

for

drugs.

/bales

chemical

10%

are

synthetic fibers, plastics and

allied

and

climb

should

products

billion,

according to McGraw-Hill's
annual survey, and production will be up at least 9%.
Spending for research and for new plants and equipment
will also be greater this year than last in the chemical
'•industry.
■
.<./.
v:,Y•
•''
some

$33

the

pects

pharmaceutical segment of the industry, pros¬
for a moderate rise in sales volume. While in—

are

dustry
-

well yield an/ effective measles
improved therapeutic agents this year,
competition is likely to affect the industry's

research

vaccine

intensive

well

overall dollar

may

gain^'Y^y

'%"r,

For most companies profit increases will not come
'.easily. Any easing of the" cost-price squeeze will be a
temporary one at best. If cost'reduction programs -have
•' had
the effect of increasing profit margins in the past
year; shaving of: prices oh many drugs and chemicals has
Y had the .opposite^ effect/At^the same./time, eostpressures
/ continue and competition grows;strqnger. >
', ,V'
,ir
■'
-

•

Y Y*-■If£ arty things dost h^hetioik failHbehoilie! oft th^bfrincipal;

factors; in determining; the placeof TJ? SY chemical- in-

dustry in world competition. Here at home, the chemical ;
industry faces increased competition from foreign chem-;

icals with estimated "imports approaching $400 million
in 1962, a rise of more than 10% over 1961. In inter¬
U. S. exporters lace- the growing economic
power of the European Gommon Market and the possible
entry of Great Britain into tm^ eisantic economic al¬
liances American/ companies"fed
ilt /plants
Y abroad; will be / in a betterr comp6.ti,tive ;position J thah
those which .bave/depended solely/ on -export/ Nonetheless; all- U. S: industry will' be hafd-pfessed 4o meet the
aggressive competition • from; welbequipped firms- over¬
seas operating1 with' lower-cost labor. Thus,- U. ;Si .indus¬
try- will? have- to make a conti numg^ effort- not only to
develop economical production methods, but to pare
;

national trade

down the cdst of

packaging, handling,/ warehousing and

Y distribution.

Y / There

...

;

signs that U. S. industry has awakened to

are

this-challenge and is doing something about it. McGrawthat

Hill

reoorts

1962

will be

the

emphasis

spending in

capital

modernization of

facilities; and that

chemical, '^companies, are

number

ment *in

advanced^ equipment for - lower Operating, costs

investing in auto¬
matic devices, to improve control/of; processing opera¬
tions. This is a sign of the times; /Ya;YY-.:/' Yv/YY/
Hhe-^yeaV 'ahead,- there is likely to. be radically new
emphasis- pn better processes, and an increasing invest¬

y as

j.'frjl.'A/fjl/.l

the price of survival in world competition.

donald hi .Mclaughlin
'

•

Chairman-of the Board, HomcstakeMining. Company

Ship and

spite of; efforts to belittle its importance, gold is ;
r still the.monetary commodity'upon which the key cur': rency "of-the world is based and with which all others
are compared.
This function gives gold a^ unique status
In

/; /v//:

;

among meta7s though to some

Travel

extent

Y' own special qualities are in demand
for a-wide variety of uses in science

Santa Fe

and technology and in both the prac¬

/■

tical

Indeed in

fine arts.

and

gold-has gained

years,

recent

place as an

a it conceals the degre to which its Y/
essential

element, that

industrial

commensurate

with

Gold

coins

money. -

than

its

worth

are

far

->' Y

between

Chicago and

tokens.

They have in¬
trinsic
value
that
has - persisted
through the ages and has survived
mere

v.,

;

;•/

■

California

the mcst

D. H.

profound changes in human
i-social organizations. Under existing
; *
policies and laws, however, the wel- //;/'>•'•
fare of a gold mining enterprise is

McLaughlin

largely dependent on monetary
Indeed, there seems
policies of governments that restrict the freedom of citi¬

and Texas.,.

very

way

has

zens

own

almost

for

centuries.

gold and to

it" has

way
'

served

it in trade in the traditional

use

for

served

•

centuries.

Indeed

there

seems

•

intent to discredit gold as money and to escape
from the needed discipline it alone can exert upon fiscal
an

behavior

governments.

Consequently, in/the appraisal of-a gold mining
tidn the
'•'•must

operaYY*'Y#Y

prevailing ideas of the current money managers'

into

taken

account

well

that determine the value of

the

mine, such

usual factors

•{'•and- prospects for ore, technical procedures and cost of
plants and operations. •' Y/'Y/':Y"
//;- Y/Y /Y.YY
.

./■;

The geological and

are

familiar

-.vagaries

•

but

us,

economists

must

be; admitted

the

that

and

create

new

risks

and

uncertainties

but

which

the end

may

who

can

•

unintentially result in substantial rewards

to those

the

survive the

mistaken

present

tinued without

current

hardships.

monetary

significant-change for

policies
a

the

costs

fixed

depreciating
from

price of $35

pre-war

returns

the

other

hand,

the dollar-^-or- in other
is

almost

abroad

certain

persists

monetizaticn
.

of
•

with

debt,

sale

per

paper

are

•

Y'i

approach

gold to the mint

oz.

•y/

con-

few years longer,

dollars

/ "

gold miring in the United States will become practically
extinct. Technical improvements have lessened the rate
at which profits are disappearing but the end is all too

clear;,

engineering hazards of gold mining

politicians in the field of
theory and practice add speculative elements

monetary
which

•

ore reserves

at the

change in the gold content of
a higher price for gold—
forced if spending at home and

words,

continued

our
-

deficits
adverse

New York

and

.financed

international

Continued

page

•

;

For

service,

call

write:

Freight Office: 233 Broadway; Phone: DIgby 9-1100

]New York Passenger Office: 500 Fifth Ave.; Phone: Pennsylvania 6-4400

eweki

tovMw

>ii

against our gold checked or

President, Garlock, Inc.

resulting

extent relieve
high authorities
but
our
leaders show more courage in implementing
recommendations and imposing a measure of dis¬

Corrective measures that would to some

situation

this
until
.their

recognized

are

"leads"

cipline upon the country that is bound to be unpopular,
expected that the easier course of deficits and
inflation will be followed with the inevitable deteriora¬
is

one

pattern, a devaluation will certainly be
that it will not be under humiliating

the

of the dollar. If this

international position

the

f;
,5,

requirement that at least 25% of
Federal Reserve System
must be held in sold certificates still stands. It will
at least serve as a warning signal that danger is neai,
when our gold stocks approach this point in their de¬
cline. To ignore it by those in responsible positions would
be as fatally negligent as a pilot who disregarded the
red flashes in his cockpit that alert him to trouble before
it

P
f.

\
*

ft'.

and deposits of the

outlook

our

tion

and

sales

ing. to

The
for

least

the

1959

year

RUDY
President,

Generally

was

level in

every

hind the

1960

the

month and

a. j. McMuiien.

•

be¬

out of the

months through

November. However, we now believe that

we are finally
positive evidence of the long-heralded
business upturn and we anticipate that this strength
will continue through the first half of 1962 at least.

experiencing

some

MINARD

not the dollar.

dollar

The

Trane

Company

permit reestablishment of the gold standard with
convertibility, is clearly called for as an

then

stable international mone¬

struction market activity will prob¬

unrestricted

indispensible step toward

Trane

spite of the technical difficulties of accomplishing

and means can certainly be found and
they will be by others if we do not provide the leader¬
ship.

such ends, ways

D. c. Minard

and

the stability thev must

have if trade is to

These

processes.

prosper

1960-61

recession

during 1961.
to
<

by a further gain in the

economy.

are

fore¬

the

higher

terns

the

$520

billion

cur¬

•

io^o

Consistent with the gains in general

year-end

easing

consumer

motor gasoline

trilutions

this

make

over-all

but both diesel oil and

oil

sales

also

are

amount

though

their

still

rapid

auite

small

The

prices

tion

Al¬

refinery

runs.

domestic

O. N. Miller

make

,ii

only small

industry to produce and

A*
_

!!tr'
s?

the

It is

anticipated

areas

!!
Ill
*
h

will

and

oil

the

large

process

markets

by offering

new

produc¬

foreign

another

casting
of

areas

large
an

Indications

gain

oil

9%.

manpower

and

in 1961,

foreign

tending to restrain economic expansion in
smaller

rate

Consequently,

gain in petroleum

We
on

wants

and

to find

needs

new

and

mutual

our

are

factors
The

some

better ways

"boss," the

foresee

consumption

slightly
than

new

$100

million.

For

that

enjoy.,,

for

with

which

1962

under the
ance

industry

and
;

our

own

company

will

major factor in gauging the national economic out¬

look

the

' /;..

•

and

beyond, however, will be the speed
new "normalcy" of living

adjust to the

continuing threat of

the

years-ahead

war.

reality

Widespread accept¬
the

cold

war

will

help stabilize the consumer's attitude toward all buying
which, in turn, will greatly affect our national rate cf
growth and over-all economic strength.

and ground

sup¬

categories look strong for 1862
indicating production runs of hard¬
extensive developmental requirements.

used

market

the

markets.

the

The

electronics

entertainment

industry.

market

rapidly replacing monaural playback devices. Multi¬
plexed stereo FM may create an entirely new bonanza

market

for

radio

manufacturers.

ground, but should shew

our

31, 1962, our capital ex¬
running at,a rate in excess of $50 mil¬
outlays signify our faith in the future

These

Mucher

will add impetus to its growth for all companies. Stereo

and bet¬

are

growth

are

European

totaled

Victor

includes radio, television,
Hi-Fi, stereo, auto radio, intercoms, and the many other
electronic devices that have had such an impact oh our
lives. Color television is accelerating in sales. The recent
entry of several major set manufacturers in this field

spurs

radio

economy.
■

It is
barely off the
rapid acceleration in growth.

a
firm prop under the industries
gains in auto sales point to a good
1962, with the ensuing increase in auto 'radio sales: The

Auto

current year which ends March

fore¬

payments

Foods, development—finding

investments

penditures,

availability

the two preceding years of booming economic
growth.

the

penditures

lion.

Limitations

improved products and services as well
as new items—is a
significant management concern. For
example, in the last three fiscal years, our capital ex¬

be aggressive and prices

consumption.

ter ways to offer

products to their customers.

problems

countries and Japan.

fill

At General

are.

of the Free World the outlook is for

increase

consumer.

continue under pressure.
In

Charles G. Mortimer

spend
income on

processors and distributors

expanding into additional

Competition-unquestionably will

1952

Americans, in fact,

■

These

industrial

not

equioment

competition for the homemaker's food dollar that

oil.

improvement

some

with

the

includes all electronic equip¬
military or entertainment-type
expectations for this ma-ket
are
high for 1962. Capital spend ng has b:en guesstim a ted
to be up 10 to 15% over 1961. In this electronic
age, industrial capital spending includes a large degree
of electronic computation and control.
Additionally, new
industrial equipment in the form of servicing tools for
the automotive, appliance, aircraft, and other equipment
maintenance areas will grow in variations- and usage.
One of the largest industrial markets will be com¬
munications with major growths in
microwave and
2-way radio systems for business services. FPr the long
pull, this market may well represent one of the strongest
ment

Today's

level

are:

areas

others,

The

Americans

products.

about

some

ware,

billion, almost
And

markets

industrial; the enter¬
equipment; and the re-:

equipment.

with

Competition continues to see to it that the consumer
gets the breaks when it comes to paying for
food, the
prime requisite in any standard of living.
And it is

capacity

excess

companies will endeavor,

many

enlarge their

if-

there

crude

product prices in the domestic market.

however, that

•'

inroads

food

income.

con¬

increases, however, will

$78

These

the

communications and warning systems,

port

only 20% of after-tax
iced, although the food costs of people in most other
free world nations run as
high.as 50% of disposable

industry.

Such

and

about

are

averages.

large increase in demand foreseen for 1962 will

permit modest increases

venience

show

tribution to the income of the

and

ponents and equipment. The vast majority of electronics
military- is; represented by the, control and guidance
equipment for both manned and unmanned vehicles,

cost-cf-living index

volume

views

in the last decade has not
materially

relative to petroleum fuels, sales of
petrochemicals are making a substantial and rising

our

xne military market should be up. Recent
program
releases should reach the hardware stage before the
year is too far along, .with ensuing purchases of com¬

particularly

changed the prices which consumers
are
paying for high quality con¬

growth.

base

placement market.

jet

good gains. Petrochemical sales will
continue

tainment

demon¬

consistently upward over the
In 1961, for example, they

years.

increase,
to

not change
consumption expenditures have

moved

residual fuel

expected

historical performance»'source

industry for
1962,
should
classify the activities expected into
specific categories representing

con¬

con-

and

major

which

equipment.

buying pat¬
rapidly, total

spent for food 20 years ago.
12% rise in the

military;

fooa

increase by 4%, a better performance
than in any year since 1955. Con¬
fuels will

industry

tronics

steady growth

optimistically,
of

Lve times the $16 billion

sumption

the

opinions of the state of the industry.
An educated statement, before the
fact, on the pulsebeat of the elec¬

for the food industry

reason

year

production,
employment
and
in¬
comes, domestic demand for petro¬
leum products in 1962 is expected to

aircraft

the end markets for components and

buying sluggishness.

While

rently estimated for 1961.

There is sound

regard the coming

with
sumer

than

background

ing

MORTIMER

America's biggest business—food—continued

expected to be followed

the

strate its recession resistance and showed

general business activity

1962

manufacturer of
of electronics—

a
area

cn
procurements
electronics industry,pH'

entire

small

product lines will help lead Trane

new

every

four

casting that the gross national product will expand to
$560 billion for the year—almost 8 %

and

Inc.,

dates back to the' ea:rly '20s, provid¬

Chairman, General Foods Corporation

from

If.:

residential

Company,

read-out

the

Our

1962.

prosperous

MILLER

The strong recovery to date in

accurate

early in
announcing important new products and designs in large
building equipment and in products for manufacturing

President, Standard Oil Company of California

Mfg.

components used

industrial, military and entertainment type equipment.
Our balance between military and commercial business
is very favorable, providing a broad,

conditioning products
December. We will also be

CHARLES

prime

equilibrium established between competing nations.
OTTO

Clarostat

sup¬

student

commercial air

safely per¬
mit full and unrestricted convertibility.
No other step
is likely to be as effective in giving the currencies of the
world

opments

announced

were

national currencies fixed at levels that would

substantial

MUCHER

con¬

grow

two

antici¬

preferences

VICTOR

products will continue to
provide impetus for success.
Four
new lines
offering significant devel-

fully restored with the gold content of the

meeting and

President, Clarostat Mfg. Co., Inc.

New

postponed, for the economy of the country and the free
world would be most substantially improved if the gold
were

from

beer

training classes which start training
in February and July.
We will also
strengthen and expand our network
of packaged equipment dealers.

proper

standard

U. S. A. Inc.

packaging; and
RudyA.Moritz
aggressive promotional and market¬
ing activity. Our company is confident it has. developed
sound planning and programming in all phases of its
operation that will enable it to take fullest advantage
of the potential uptrend in the brewing industry for 1962.

with well-

year

able

history, and will
in 1962—largely

company

plied

MORITZ
Limited

and

capitalize
increasing construction ac¬

tinue

our

provide

economic

consumer

product

tivities. Our sales force is the largest

long as present monetary 'restrictions
function of gold are maintained. When
the present attempt to tie gold to a depreciated dollar,
breaks, however, as it eveptw^ly^ust^r tho patience of
those who have faith in gold and who still'lhayfe are. in ,v
their mines will be rewarded. It should not'be-fSo long
the

the

plants

these

In the meantime, those who have invested in gold
mining enterprises must face the risk of loss, as their
ore reserves are consumed with diminishing profits, as

they will be

enters

equipped

efficiency;

ably continue through 1962.

tary system.

Drewrys

improved

pating current

is anticipating a successful busi¬
ness year in
1662. Our quota dons are already on the
rise.
Economic studies show present increases in con¬

rencies

tion

President, The Trane Company

and other major cur¬
of the free world in terms of gold, which will
the

redefinition

acceleration—of

even

plays a tra¬
ditional role in many forms of rec¬
reation, from active participation to
watching television — the boom in
recreational activity, which has been
underway for
several
years,
will
provide an expanding market op¬
portunity for the brewing industry.
To take fullest advantage of this
opportunity for increased profitable
sales will, as with any mass market
product, require maximum produc¬

twelve

even

more
specifically the food
leadership role in contribut¬

behind the 1959

level in 8

sumption in 1962.

banner year

were

increase

conditions, and a > con¬
tinued accelerating increase in the population entering
the adult market taeer-dripking age should have a favor¬
able effect on per capita beer con' •/, ■
«■»

Ten

months in 1960

one-fifth

spending would produce.;:

and

expansion—and

Also —because

Garlock.

the

trustworthy

take

country's economic growth by continuing
ever-greater values for the consumer.

were

for

consumer

business,

industry, must maintain

business and

our

indicators,

of gold that will be preserved,

value

the

to be

boost in

major change

ito would

that

American

that

9 months.

currencies
to gold is already over due.. Under our present policy,
we are attempting to make
gold itself; accompany the
paper dollar in its decline. If this could be accomplished,
the importance of gold as a stable monetary base might
well be questioned. In such a contest, however, it is
certain

based solely
would expect
fairly steep acceleration in oroduc-

adjustment of the depreciated

The time for

signaling

the

spending or one-sixth rise in business spending
equal the acceleration of the economy that only a

3V2%

about 9 months in advance.

these

late.

too

indicator

that may be

the direction

doing

the

Fortunately,
notes

least in

circumstances.

the

computed

our

forced. Let us hope

'W:

business

underscoring the impact
economy,
it has been

are

Federal

operating performance
but we have
been
watching those
that are available rather closely to
gain experience and confidence iii

it must be

tion

reliable

spending

consumer

We, like most companies, run our business based on a
budget established at the end of one year for the year
ahead, and this budget is watched monthly, reviewed
quarterly and recast at mid-year. We have not yet found

reduced.

| Thursday/ January 18, 1962

Increasingly, economists

McMULLEN
of

payments is not corrected and the

balance

Continued from page 75

claims

Chronicle ;

The Commercial and Financial

(344)

remains

Recent

entertainment

market

should

better-in

1962

than

in 1981,

though not attaining the magnitude of the boom
years of '49 through '53 when television manufacturers
could barely meet the buying demands. However, .the

present
tinued
The

market represents
growth in this area,
replacement

market

firm

foundation
>

electronics

for*

;

con¬
.

as,

cate¬

is limited to electronic components. As the
supplier of potentiometers to this market, we
strong year in 1962. This is a natural phenomenon,
based on the ever-increasing number of home radios,

gorize. it

major
see

•XtWWW^^UHWWWI WWtWWWWwMWKKM»

6126

Number

195

Volume

The Commercial and

outfits, television sets and auto radios—which do-,
forever, and require replacement components.
;
Our views and opinions for 1962 are backed by the "
concrete actions and acquisitions of our .company. We

hi-fi

last

not

have

seems

largely

inflation

occurred
rate

has

continued

have

The Korean War added some more fuel -to the flames,
but

now

off

worn

behind

important

anticipated growth in volume. New equipment has been
added to our plant production facilities to meet the grow¬
ing demand for shorter delivery schedules.
We look forward
to
1962 as a year of

<345)

that the effects of these events

the worst

and
The

us.

the

public

general

postwar
to

seems

increasingly aware of the fact that in the long run in¬
flation is damaging not just1 to a few people, but to
the whole economy. In this connection.it is particularly

number of research and devel-,
opment programs designed to create what we believe
will be the components needed in the overall increasing
market of 1962. We have acquired additional personnel
to extend our sales and service facilities to meet the
embarked upon

have

Financial Chronicle

to
in

realize

world

the

of e'conomic

created

that

far-reaching

competitive

has

change

situation.

The

high

growth in Western Europe and Japan'

foreign

competition

for

the

United

not

only

world

markets,

but

our

own

domestic

market. This has caused price stability to take an addi¬
tional significance as something vital to employment and

jobs in American industry.
With favorable business conditions in prospect I think
insurance
and

sales

expect

will

insurance

higher this year than in 1961,.
in force to continue to rise.

never dies an easy death. For better
living in a world economy, and our
prices cannot be maintained above the world level. The

However, inflation
or

worse

are

Continued

States

page 78

planned

growth
of
accordingly.

industry,
: V,:

the

and

v"; v.;

...

MURPHY

IT
-

I
f:

of modernization and improvement of recent
years even though
1961 was a difficult year for the
railroads and required utmost ingenuity and resource¬
fulness by management to keep op-

program

I
I

MAN I
■VIItII

expects to continue, in 1962, its extensive

The Burlington

I
I

President, Chicago, Burlington & Quincy Railroad Co.

well be determined by the level

may

aThe measure of;the year's suc es
H. C.

billions

Murphy

dollars

technological
plant im¬

other

and

advancements

provements in order to offer the public the many trans¬
portation benefits possible if our modern railroads were
permitted to operate within a framework of modern,
public interest regulation. Fullest realization of these
potential benefits will accrue only when national policies
place the railroads on an equal basis with their com¬
petitors.
-.v'"C-T :v..4'
'v*
I
am
hopeful, that 1962 will be the year in which
railroads* are* freed of much of the handicap of over-

;

•'

«*»>»»

•-

THE WORK

•

%VSSv¥j,svvJ.s'

THOSE

&&&<<?

Vwmv

MHIPOWEr GIRLS
OUT!

regulation that denies fullest use of the efficiency which
been attained at a cost of billions of dollars spent

has

capital improvement programs. A-i<; t.

the

require

and

Americansdeserve

best

trans¬

The railroads are in position to pro¬
vide it—they ask only the opportunity. Not only should
they be permitted to pass on to the public the benefits
of their inherent adventages as modern mass carriers,
but Government policy and regulations should encourage
and promote their ability to do so.
portation service.

CLARENCE
of

Chairman

MYERS

Board and

the

President,
jj^vWWWWWWOW^^

Life Insurance Company

New York

statistics in life insurance rose
estimated at $635 bil¬
lion, an increase of nearly $49 billion or 8% over 1980.
Insurance sales totaled
nearly $80 billion, about 7%
major business

the

All

1961. Insurance in force is now

level, and assets rose

above the 1960

by 5% to over $126 billion. The net
investment return of the companies,

HpF

also increased again,
4.25%, and this was an
increase of 14 basis points over 1960.
Benefit payments exceeded $11 bil-

IMBfV T
KlP

lion, which was an increase of nearly
7%. Insurance in force has risen by

|L
jjlL* .1 IfjL

before

taxes,

averaging

111

during the last decade; it will

150%

trillion in about five years
if the growth rate of the last two
years persists. Naturally, the managements of the
companies hope this
reach $1

•

J||J^

growth will be maintained. For dewhat has been achieved .the
life insurance coverage of the aver-

spite

Investment Houses Call

Clarence J. Myers

American family is still far be¬
qualified insurance advisers consider a needed
level of protection. Insurance in force is now equivalent
to 21 months of after-tax income for the average family.

age

from

for Temporary Office Workers

Manpower, Inc. to

Help with Paperwork!

low what

What

are

surance

in force

that

the

excellent.

are

the first $100

second

The
than

Across

growth of in¬
the next several years? It seems

over

record
took

ing firms. Capable,

speaks for itself—the prospects
than 170 years to produce

with

billion of insurance coverage in the U. S.

$100 billion required 19 years. It took less
years
to produce the last $100

you

checks, filing, bookkeeping,

need extra help—call Manpower for

receptionists,
the

insurance

and investment bank¬

most

serious

since the end

problem

of the

that
has

war

has

faced

and insurance

been infla¬

experienced office workers from Manpower help

confirmation-slip typing, statement

notices and

two-and-a-half

Probably

world "Manpower, Inc." has

household word in brokerage offices

prospects for continued

billion.

life

the nation and around the

become

general office workers.

—

preparation, dividend

mailing work, etc. When

typists, stenos, file clerks,
We pay all salaries, taxes

keep all records. You pay one

low hourly rate.

tion, and for that reason I would like to take advantage
of this dppbijtunity to write a few words about it.

lnfiationJti.as

been with us for so many years
we
tend to''-forgetMdt it originated to a considerable
extent in the enormous military requirements of World
Because

II and the wartime fiscal and monetary policies
pursued. We borrowed more than we taxed, but we
consumption by rationing and stabilized prices

War
we

manpower

WALL STREET OFFICE: BE 3-6355

limited

with

direct

ferred

the

controls.

demands

The

the

result

one

was

hand

build-up of de¬

and

liquid

quickly developed
been

with

into the wage-price spiral that has

since the end of the

war.

14 OTHER

resources

other, and when the controls

were lifted prices
began to rise. The inflationary forces thus set in motion
on

inc*

NEW YORK AREA OFFICES AND

THROUGHOUT THE WORLD ARE READY
Chteck the white pages

250 OFFICES

TO SERVE YOU NOW.

of your phone book for local Manpower

number.

Continued jrom page 77

inflation

measure

least

wartime

military

requirements

10 years since the turn of the cen¬
production: has increased, costs have de¬
clined. In 1929 the average American home used about
500 kilowatt-hours per year at a cost of 6.33 cents per

fiscal

and

policy. There is no excuse for us to go through more of
it now, and I do not believe we will.

eight-fold

President, The Babcock & Wilcox Co.
1962 will be another good year for B &

We believe

W.
1962 prospects in
the broad market areas we serve, including the electric
utility, petroleum, chemical, pulp and paper, primary
metals, transportation and machinery
This

reflects

overall appraisal of

our

industries.

such

information

steam

systems

monitors;
and

vessels

and

nuclear

heat

year

;

and

serve

scheduled

economies of each
The

♦

portions of this long-range

area.

requirements of
never-ending search for

civilization necessi¬
tate a
new resources to supply
these needs. The nation's electric utility companies are
actively engaged in a broad and diversified industry
research program including a program for the develop¬
ment of economically competitive nuclear power. How¬
ever, vindications are that competitive nuclear power
plants will not be achieved in 1962.
energy

Growth

technical

and

our

excellence

the

electric

in¬

dustry foretell an even more remarkable future, barring,
of course, world catastrophe. We stand on the threshold
of exciting and exotic new power source developments.
More than 60

challenge in sight is the cost-price
Our continuing efforts to offset this

important research projects

are

under

the conversion of chemical energy directly into

during

1961.

remainder

the

will

Demand

the

year.

3-percent increase

somewhat

lower

than the probable rate of growth for
U. S. economy as a whole. One

the

Albert L. Nickerson

factor

petition

this

oil

lag will be the
from

faces

com¬

natural

gas
and from other fuels. Another will be the increasing effi¬

ciency with which oil products are used.
Demand for automotive gasoline in the United States
should be slightly less than 3 percent greater in 1962
than in 1961. Other increases include:

Distillates, 2 per¬
cent, and residual fuels, 4 percent. Reflecting the com¬
mercial airline's continuing switch-over to jet engines,
a drop of about 7 percent in demand for aviation
gaso¬
line will be accompanied by an increase of > about 11
percent for jet fuels. Most of the gain will be in kerosine-type jet fuels; other

uses

of kerosine will decline by

about 5 percent.

Oil demand in the

way

elec¬

than

^Ki^iBj^^MixxTheoil demand
anticipated

pro-

construction program planned, by the way, on
practical basis taking into account the local

gram—a
sound

above, although 1962 shipments of steam gen¬
erating equipment may be slightly lower than in 1961.
Activity in the markets for our steel tubular products
and refractories historically follows the pattern of the
steel
industry.
Here,
most
predictions
indicate
a
brightening outlook.
Consequently, we see improved
prospects for 1962 in these areas.
serious

struction

electric

and

profits.

higher

gen¬

them. Our electric companies
have programmed future
interconnections and power
pools. Nineteen sixty-two will see the inaugural con¬
erating plants to

listed

most

probably rise significantly during the
first half, then taper off somewhat

utilization and
construction of

transmission lines to interconnect load centers and

sys-

the prospect for steam
generating equipment is bright. We hope to supply a
substantial share of the industry's needs for the products

squeeze on

,
*
' 4 ,
.
;
United States demand for oil prod¬

erally.

over

ucts is expected to be about 3 percent

erating

steam-electric equipment and

residential customer of

per

seems

sales

use

'.and in greater production and move¬
ment
of manufactured
goods gen¬

facilities to obtain maximum
greatest efficiency. This has required

JLikely to
m. Nielsen
production
capacity every 10 years for at least the next two decades.
Most of this capacity increase will be for conventional
its

fleeted in larger sales of automobiles

new

kilowatt-hour

nual

P r e s s u r e

exchangers;

industry,

The

good

4,30Q jr kilowatt-hours.
For years the nation's electric power companies have
interconnected and pooled their transmission and gen¬

perform-

power

components;

and

utility

NICKERSON

Socony Mobil Oil Company, Inc.
A

highs in output and generating capability.
Some experts predict an increase in electric energy sales
of almost 10% above those in 1961 and an average an¬

& W

generators

chemical recovery systems.
Our
major market, the

double

Chairman of the Board and Chief Executive Officer,

our

reach

alloy, stain¬
less, and carbon steel tubular prod¬
ucts; extrusions; welding fittings and
flanges;
refractories;
automatic
process control systems; power plant

terns

;

is in prospect for business in the United
health, safety, national strength and standard of V States and abroad...-v-r:*':
Indications are that vigorous
living. Today investor-owned electric utilities have al¬
^business recovery in the
United States will continue through at least the first
ii most $50 billion invested in electric plant and equipment
half of 1962.
to serve people in a tremendous variety of ways. To-;,
Heightened economic
■■■■Uiiii " activity in this country will be,iremorrow—1962—we expect the electric power industry to
•;

and their appurtenances;

ance

years

ALBERT

per

tion, electricity has become available in abundance and
at low cost for use in countless ways that contribute to

large

are

of heat energy, and of B

products

has increased

use

industries

Most of these
users

the

this annual

cost has dropped to an average of
kilowatt-hour.
^
since Edison's epoch-making inven¬

the

and

2xk -cents

about
■

kilowatt-hour. Since then

NIELSEN

and,

mation. Automation has not yet reached the point in the
banking field where-a reduction in operating costs can
be expected. . The end result should be a modest im¬
provement in net earnings.
:»

doubled every

tury

have been through can be ascribed in large

mated

at about

foreign Free World in 1962 is esti¬

9 percent more

than in 1961. Economic

research • and development ac¬
tivity directed not only to the development of new
products but also. to the improvement of operating

tricity by

of fuel cells. A breakthrough in direct
conversion is possible in the near future. There is con¬
siderable evidence that newly developed magnetohydro-

activity

efficiency.

dynamic generators have at least three advantages over
the conventional turbogenerators—efficiency, versatility
and simplicity. We will see, perhaps in 1962, some suc¬
cess
in the practical conversion of heat energy from
the decay of radioisotopes into electric energy.

Here and abroad, competition—both within the oil in¬
dustry and from other sources of energy—will be at least
as rigorous as it has even. been.
Excess paroducibility of

will

include *stepped-up

The

growing impact

efforts will be

example,

seen

of
1962

major B

one

increased

industry

& W sales patterns.
For
product made possible by

& W

research is the Universal Pressure Boiler system,

represents

which

Even

major breakthrough in the art of steam
To develop it, our engineers and researchers

generation.
had

to conduct basic investigations in many fields such
metallurgy, fluid flow, heat transfer, water chemistry
and control equipment. Eighteen UP boilers — some
towering over 20 stories high—are now on order or

installed and

from generation in thermal electric plants burning

come

coal, ,oil and gas. The electric utility industry foresees
a

expect it to receive increasing accept¬

record year in'1962 and &-continuation of the efficient

operation and management
dustry to date.

by the electric utility industry.

Another interesting example of successful results from
research and development is our equipment for .auto¬
mated control of power plants arid industrial

characteristic

in¬

the

of this equipment began in
volume to grow steadily in
B

orders

will enter

higher

than

1962

1960

and

we«expect

with
at

the

The

sales

effect

basic

our

industries

economy

such

steel,

developments

astic

80 years ago

tical

incandescent-lamp the electric

been

characterized

rapid

and

electric

utility industry

continue during 1962.
are
-that
we
have

Indications

ready

just

ment

—

use

made

industrial develop-

possible

national

(3)

LJL''

the

universal

United -States

K
.

jfl

multiply in 1962,

additional

coun¬

supply risks inherent in

that

competition

concern

budget,

the

over

dwindling

is
and

are

jww*
George A. Newbury

reserve

and

creeping

see

such

over

that in

1961.

any startling advance. However, we
population. Personal income continues

foreseen, this favorable situation should permit

Banking

will

this

higher level in 1962 than

likely
various

seem

plentiful, and extra
plant capacity for additional output '
in

are

some

instances.

Moreover,
from foreign

competition

also

may

prices

continue

here

the

-wE*

Bp
Bill

W&||

United

JHb4'

this

year,

while
a

exports are
little. Conse-

favorable balance of
imports may lessen.
highly significant to
the
our

Jp|

exports .over
This

United

States'

balance

payments,

outflow of

and

inter-

the

recent

Cecil J. North

gold from this country.

Obviously the effects Of the international situation
price and monetary structure are of prime im¬
portance to the life insurance business, which has long
waged war against inflation and for a sound dollar.
During 1961 alone, payments made to policyholders and
beneficiaries in the United States reached $11 Vz billion,
under life, annuity, and health policies. This year, these
payments will rise even further.
Xxp, ivXipk;.:;
■
Payments made in settlement of death claims on life
insurance policies in 1961 ran about $3V2 billion. How¬

.likely

upward

business

trend.

up
a
bit .by mid-year.
Operating
higher despite the trend toward auto¬

move

expenses will .be

"living" benefits more than double this at $8 bil¬
They include disbursements for matured endow¬
ments,
disability and- annuity
payments,
surrender
values, policy dividends, and health insurance benefits.

ever,
lion.

By the end of 1961 fully 120 million people, or about

,;two
life

Loan demand should be
substantially higher during most"
of 1962 than in 1961.
This will assure a firm interest
rate structure. In
fact, interest rates should harden and
very

Supplies

1962.

national

Unfortunately, it is hard to

the economy to push ahead to
that prevailing in 1961.

during

quently,
MUiijiiii

flook for

growing

only mild price increases

cantly

Our middle income group is
expanding
rapidly. Inventories are moderate in relation to sales.
Outstanding credit seems well within capacity to pay.
Barring some extraordinary developments that cannot
now

still trouble spots and some are more pressing
Inflation is still a troublesome threat, but

are

others.

than

upon our

difficulties.

not

there

1962, the economy is on its way to new
from the recent recession. However,

recovery

expected to rise only

from

gold

highs, after

Imports of go'ods and services from
abroad are likely to increase signifi-

continuous unbalanced Fed¬

J. NORTH

Stales.

would

America

At the start of

dampen

at record levels.

involved.

Soviet oil.

on.

countries

improvement

has

volumes

Russian oil will

increased

concern

affairs
in

;

find.

overall business in the Nation in 1962

world,

productivity,

electricity

the

substantial correction in the immediate future.
General economic factors favor an

grow¬

prices out of all propor¬
expect the Russians
will increase their volumes of oil exports. There is evi¬
dence, however, that both apprehension and resistance
to

exists

Looking to the future any broad scale improvement
be largely dependent on substantial correction of

by year.

use

kets, with disruptive effects

tion

commodities

will

In manufacturing industries the
average worker
the use of electric power
equivalent to the
muscle power of about '400 men and that
figure is

...The

students

deep-rooted

increasing

these

has

year

enthusi¬

inflation.

pftT'

power.

ing

most

international

eral

and our national
security and sprvival. Virtually every industry in the
nation is depend¬
ent upon electric power ;to some
degree. Some vital in¬
dustries would never'have been
developed without elec¬
trical
equipment
and
abundant
supplies of electric
now

politically

Soviet oil. The Soviet Union will almost unquestionably
continue its multi-purpose courting of Free World mar¬

HPI^P||9|^^h

much

not hard to

are

abroad; (4)

■

Today electricity is essential for
continuing gains .-'a in our American
standard
of
living,
progress
and
our

has

and
his
customers;
(2)
mounting costs (especially
labor
costs), high taxes, and the
progressive squeeze on net earnings;

-I

growth in

economy

steadily

through the

delighted—the

The

1950s.

nessman
•

electricity—since Edison first

lighted—and

well it has not.

the

late

dampens the spirits of both the busi¬

prac¬

barely^ entered the Age

remarkable

seen

the

conservative expectations.

them

almost

vides

nology will

bust"

the

(1)

over

pro-

every
assurance 'that 'great
strides forward in growth and tech-

name

industry has
technological

yet lived

for

Nevertheless, performance to date
disappointing even to those

advances. The record of the investorowned

Among

power

not

has been

Age Of Electricity

growth

has

predictions

and

Reasons for it

with his invention of the first

prices will probably be. ag¬
motivated competition of

pressure on

the

CECIL

to recommend it.

and (2) the
in the inter¬

NAUGHTON

Since Thomas lEdison ushered in the

con¬

President, Metropolitan Life Insurance Company

certainly suggested a bit of
psychology.
orderly and less spectacular
■■■■■

with

those

"boom

advance

'President and 'General Manager,
Utah Power & Light Company

some

the

national situation.

IE.

products is expected to persist and to
pfessure^ori^pnees.'^ ''

Overseas, this
gravated

reliance

made

1960s

predictions

Perhaps it is just

backlog of unfilled
beginning of 1961.

of the

decade

extravagant

a good one for overall indus¬
This supports an optimism that is tempered mainly
(1) the possible effect of labor negotiations and

strikes

crude oil and

tinue, to exert

fBuffalo, N. Y.

It appears that 1962 will be

try.

may

brisk; nevertheles.

^President, New York State Bankers Association

1962 and beyond.

had

show a growth somewhat
spirited rate of 1961, but should remain
area

[President, Manufacturers and Traders Trust Company,

subsidiary, the Bailey Meter
Company.
This equipment includes electronic digital
systems for data processing, performance computing,
fault monitoring, and program control. Active
marketing
our

this

tries < become'familiar with the

GEORGE A. NEWBURY

processes,

marketed

slower than the

unexpected degree of success in exotic power

source development will have no immediate effect
upon
electric power generation this year. About three-quarters
of the total electric generation in the United States will

ance

means

out of every three United States' residents,- had
insurance in legal reserve companies. The amount

of insurance in force

rose

to $635

billion, which provides

'protection equivalent' to mote than'; 18 months of the
people's yearly income. Although this coverage has been
growing, people are still far from adequately insured
and there is unlimited
our

opportunity for future growth in
should be

business. By the:end of this year inforce

Volume

pressing

195

Number 6126

$700 .billion

the

.>The Commercial and Financial Chronicle

with more than $130
obligations to policy¬

mark,

billion of assets to help meet future

Life

holders.

could reach
Health

insurance

the

force

the

exhibited

has

also

Metropolitan

dramatic

most

devleopment during recent years, not only in number
of persons insured, but possibly of even greater importance, in the direction of broader coverage. It may be
confidently anticipated that this marked trend will con¬
tinue without let-up during 1962.
; ! ' ?
,

part in this dramatic development
in providing health
insurance for out older population, those over age 65,
The relative growth in recent years in .numbers covered
has been far more rapid for our Senior Citizens than
Playing

small

has been the striking progress made
,

other age group. To insure this very important
segment of our population, many pioneering insuring

for

any

approaches have been embarked upon. New techniques
have been developed by the ^providers of this kind of

at record levels in

1961, according to latest indus¬

annuitants,
of

estimates, with individual issues up almost 2% to
$61 billion in face amount, and group reaching $18
billion, a 26% increase. There should be new records set
try

$100 billion mark in 1962.;

insurance

were

(347)

1962.:"..',
The

' ;'

:v '

'•

purchases brought aggregate life insurance
the 120 million Insured • Americans to
an estimated $635 billion, $410 billion of it in individual
policies. That impressive sum loses some of its impact
when broken
down to average
ownership of $13,700
per insured family, still only about two years' earnings
for the average family. While this represents a substan¬
tial gain, it poses a clear challenge for our business to
continue

sights of

increase

payments

tinuing

invest about $25 billion in
$1.4 billion from 1961, con¬
significant role in the provision of

vital

our

Among the problems faced by the insurance industry
need to improve the life
companies' competitive
position in providing insured pension plans. Significant
progress

made

was

departments

benefi¬

and

7% to nearly $9 billion, and a further

including

year; Some 60%" of these
^'living benefits" to policyholders and

1961

consider

fund";4or ""separate

anticipated this

were

business will

economy,'

is the

try to raise; the life * insurance ownership
the nation's breadwinners.
;
1 * : - .» - - ~

rose

our

growth capital through thrift. Total life
company assets,
$126.3 billion at year-end, should top $130 billion in 1962.

Payments to life insurance policyholders and

1962

the American

ciaries in 1961

the other 40% going to beneficiaries
policyholders. In addition, $2.7 billion in
paid by life companies under health in¬
policies issued by them.
was

surance

1961

ownership

with

deceased

benefits

progress

and

account"

getting state insurance
recommend

in this field,
is hoped for in 1962. Several States

Massachusetts

and; Connecticut

v;—

Insurance

During
life

Industry during 1962.

at Ideal

people paid about $18 billion in
premiums and annuity con¬
commercial life insurance companies. That

1961,

the

health insurance

and

siderations to

■represents

than 4 % .of personal

income, and the

CEMENT TERMINALS

ratio is growing mainly because of the recent expansion
in health insurance. However, one of the biggest oppor¬
tunities facing our

busines is to get peope to allocate a

IMPROVED

MEANT

HAVE

SERVICE

larger share of their income for protection against pre¬
mature death and old age. For almost 20 years now, the
ratio of life insurance

premiums and annuity considera¬

tions to personal income has held relatively steady at

lor

little more; and the

ments ranges

net amount after

about 1Vi%.

return pay¬

v;v;y':NV';

Competition is keen and gets keener as the variety of
goods and services available to consumers increases. It
is

dfificult to get people to

very

larger proportion

save

of their earnings.- Our greatest challenge for the future

;

to get a

.which

better share of the market for our products,
so
basic to'the financial planning of each

are

family regardless of its income status.
F.

JAMES

■-1\';j
■>

OATES,

Society of the United States

The Equitable Life Assurance
?v.;

JR.

yChairman and President,

' ,r:v.

b.'iO

".:V. ;

■Vf-'r,-;

last

year's Review and Outlook Issue I was more
optimistic than many others in forecasting the level of
general economic expansion for 1961, and later events
•justified this optimism. For 1962, I am again optimistic,
and look for the strong recovery to
v
accelerate throughout the year. Equitable economists back up this confidence with a prediction of an annual
lip <■*

.Gross i National

Product

$570

jfp-h'.

billion

;

||~

compared to 1961's probable
GNP of $521 billion. True, there are

newed

outflows,

gold

But they are
;

for

Wm?
A number

lll|
||B
JBm
|9r Jjp M

example.

outweighed by several

The key ones are
expected $11.5 billion increase in

■*

provide better service out of existing

plants to more customers.

government spending at all levels, a
James F. Oates, Jr.
jump in capital spending which may
total 7%, a probable
build-up in inventory accumulation

of years ago, Ideal Cement

began establishing terminals at important locations

JHSE

favorable factors.
an

pflw

III JlMjp-

'cost-price squeeze facing many key
industries, and the possibility of- re■

sbme

powerful forces working
against - expansion:
the
continuing
■high level
of
unemployment, the
.

partly resulting from fear of a steel strike, and vigorous
spending by the American consumer which could jump
•by $28 billion to $368 billion for the year.

;;
'

The outlook for prices
number of

influencing
;
•

some

in 1962 also is hazy. There
productive of inflation, others

stability.

the

ome

former, the

Administration has

presented
consideration by the

long list

of spending plans for
Congress. There is no solution in sight to the costly
agriculture support program, and a new plan for Fed-

aid

for

fallout

shelter

construction

storage

>'* recently; Even the Federal Reserve System held an in:
flationary position as the new year dawned, still main¬
taining its policy of easy money after 10 months of

defend

are

led

the

Free

perative

that we
the dollar.
To do
accounts

market locations,

.remaining

also
so

competitive

our

which make it im¬
the exchange value
of

balance

must

expert
with

international commit¬

World,

defend

expanding

the

sales,

our

and

production at all times
can

■

be satisfied

periods of peak cement

usage.

system is a Company
guarantee that it will protect
its customers as well as meet

addition, by making cement avail¬

both foreign and other

able closer to marketing

international
this

Ideal
The Ideal cement terminal

cement

that customer needs

Stability forces

served by

has been able to maintain maximum

recovery.

ments

are

transportation. By building cement

announced

was

of these terminals have been

deep water and

barge and others are served by ground

new

eral

for

factors,

competition in the markets

customer,

service

has

locations,

been

means

greatly

serves.

improved.

vigorously expanding
including Europe and

economies
of
our
competitors,
Japan. For continued access to these markets it is vital

that

our

protective tariffs be reduced, and this will
price increases at home. The rapid growth of
the labor force, the effects of automation
and a con¬
tinuing shift from blue to white collar work, all should
restrain

help to keep
.

wage

M E

rises at anti-inflatio-ary levels.

This leaves the future, as usual, speculative. Neverthe¬
less, Ipredict that prices will continue to creep upward
1962

Consumer
of

between

promises

but

not

good

business

year,

the

Index probably will show an increase
!%.% to 2% in the next 12 months.

industry, 1961

another good
the face of in¬

was

spectacular year of growth in
competition for protection and investment dol¬

lars. I think that 1962 will continue this
trend.

;individual^and

group

life

insurance

purchases

COMPANY

DENVER, COLORADO

Price

For the life insurance

creased

IDEAL CEMENT

oyer the next decade at an average annual rate of lVz%.
Since

LISTED
15

SERVING

SOME

THE

NEW

THE

MOST

YORK

AND

RAPIDLY

PACIFIC

GROWING

COAST

STOCK

MARKETS

EXCHANGES

THE

(strongholds

Continued

possible for older people to obtain
coverage for themselves, or for their sons and daughters
to obtain it for them. Also, group health insurance plans
in increasing numbers make provision for continuance of
health
insurance after retirement.
Again, it may be

the

"segregated

legislation

insurance to make it

anticipated that this challenge to provide health insur¬
ance
for our Senior Citizens will have top priority in

UNITED STATES

page 80

Continued from page

magnitude

sheer

the

But

record-keeping

the

job

insurance), have enacted remedial legislation. We
life insurance companies generally should be al¬

feel

accounts with

keep pension Tunds in separate

during the accumulation period
before
retirement,'^enabling us' to take advantage of
higher current returns and; growth possibilities.
investment

flexibility

should be per¬
mitted to compete on ,equal terms, so far as investment
powers curing accumulation are concerned, with trus¬
tees, including banks, and with the insurance companies
organized in states such as Massachusetts and Connecti¬
cut which have provided relief.
companies in -all states certainly

Life

There

and

need

vast

market

potential for in¬

pensions, particularly in the medium and smallsized corporations which employ two-thirds of the work
force, and it is important that life companies be allowed
to compete fairly for this business.

For

performance marked the 11th consecutive year we
a new record
high sales peak and attained
earnings second only to 1959, our all-time high.

Charles

President,

NOYES

Noyes Company

Inc.

course

advances

of construction have satis¬

"big business" con¬
the West and
branches or main of¬

coming

cerns

abroad to open
fices
in
New
York
creased

(b)

business

City,

and
profits.

and

SELLING:

active

all

Most

of the

ments

products to
should be one of the strongest

industry
1962

but

higher than

few

Charles F. Noyes

ago

years

income greater.

The forward and upward

MORTGAGES—FINANCING: All the large insti¬
tutions—Life Insurance companies, Savings Banks, etc.

actively in market

for loans.
money for conventional loans
Not difficult to obtain

large

Abundance
at

from

5V2

rate.

at slightly higher rates

sums

for

special loans and deals involving the special features
but known to the skillful negotiator.

Personally,
prosperous

think

will

1962

than

year

the last decade.

active

1981

and may be the top
Plans and Foundations

Pension

and

One

—

increased

and

wages

all

"twenty hour week" with

the

benefits included,

is LABOR itself

well

the public as

prices, including

commodities and the general cost of
living, keep moving
up with Mr. Inflation looking over each shoulder.

ROBERT

President,

The

National

For the business machine

industry 1962 should be a year
exceptional opportunity and general growth,
j-v

One
nature

the

recent
at

for this expectation

reason

faster

market

for

rate

than

is the highly dynamic

modern

this market has

years

business systems.

grown

the

Also,

the

new

many
ment

resulting

research

generally

factors

should

result

The

rising

flood

ma-

due

enter

our

which

last

people

1962.

month

mean

passed

the

records,

The

185

Robert S. Oelman

million

all

types,

mark.

and

each

other records.

ployment.

indicated

The

by these countless reams
the steady rise in clerical em¬

latest

available

figures,

for

example,

report an increase of 140,000 clerical workers during the
year.
At the same time, the number of office

past

workers of all

Modern

types increased by

than 400,000.

data-handling systems offer the only practical

solution to this problem.

over

needed

capital

Wm. J. O'Neill

kinds.

many

ago,

Through

forecasts

total

million
the

tire

units,

1961

production

the

Rubber

today

are

the

than

vehicle

than

M. G.O'Neil

Still

million

than

with

new

than

counts

outlook

will

two

for

hit

million

tires

for

lion

the

1962

passenger

production
and

cars

the

setting

new

travel records,

The
new

demand
cars

for

should

with slightly

compared

original equipment
total

less

32.5

over

than

that

truck

production

mil¬

million

trucks

new

his

and

tonnage hauled, the demand for
is expected to be
only slightly better

nature

affect

the

truck

some

the

truck

tire

benefits

One,

his

1959.

Products

become

the

total

tion

greater

penetration

for

synthetic
rubber consumption picture.
In

rubber

even

the

reviewing the General Tire picture
specifically,

total

knows in advance precisely what

budget

can

his

second

growing in popularity because for a
permits the lessee to benefit from the

besides

a third major
service. This
carriage. In this activity, we pro¬

vehicles

on his own business
by
relieving him of distribution problems, yet assuring him
the highest degree of mobility.
.

v" The many and rapid

dustry in recent
ness

strides taken by the

leasing in¬

attest to the acceptance by busi¬
generally of the lease as a highly useful financing
years

tool. Leasing has established itself
as

evidenced by its record in

the

financial

firmament

that of the U. S. economy
our

and

that lets the customer concentrate

new

Europe, also, is going to bring with it

and all other aspects of
operating
trucks, the drivers, dispatchers dnd management super¬
vision. This is the entire transportation
package—one

rubber/consumed, 73% will be
synthetic. The inroads of synthetic rubber will
not only
continue in the tire
field,/but the development of spe¬
cialized synthetic rubbed suitable for
use
in non-tire
products has increased the amount
being utilized in
that area, too. The
expanding synthetic rubber produc¬

types

full-service

receptive market for still

vide

has

user

is the field of contract

industry's

non-tire

depend

basic
or

Leaseway Transportation Corp., in addition to register¬
ing advances in the two basic types of leasing, is finding
a

in¬

maintenance

leasing company's purchasing power and re-sale skills
being assured prompt replacement of equipment
later models as they become available.

total
rubber
consumption,
long tons in 1961, will hit 1,610,000
1962, the second highest in the

number

lessee

two

while

Oddly enough, the rubber consumed for tires and tire
products will represent only 62% of the total. The
creasing

the

are

with

1,505,000

was

There

vehicular

arrangement

demand.

year

available

lease.

known

reasonable fee it

Industry's

history. The record

depreciation is concerned.

type of lease, applying to fixed as well
equipment, is the so-called finance or "net"
lease. Here, the leasing company provides the
equipment
for a monthly fee, but the user assumes
responsibility
for supplies, repairs, insurance and similar items.
This

tire

areas,

Rubber

truck

The

1961.
factors

far

operating costs will be
transportation costs accordingly.

increased
tires

are

monthly fee. The
increased

and

such

1961.

Despite

lease, usually is restricted to mobile equipment. Under
a
lease, covering, say, the long-term use of trucks,
the customer typically is furnished the
vehicles, operat¬
ing supplies, maintenance, and other essentials including
licensing and insurance; only the drivers are -not sup¬
plied. For all of this, the leasing company charges a flat

replacement tires in the passenger car
74 million units, an increase of

1962

important to lessors.

other

Additional

peak of

units.

the

units

uses.

fees.

lease

auto¬

leases.

demand

companies found they
interest costs and leav¬

shared with the lessee and
help offset
Similarly, leasing concerns normally are
skilled at disposing of used equipment at best
prices
obtainable in re-sale markets, thus reducing the lessee's
equipment costs financed by lease.

the

are

75-million

million'new trucks:

advantages accrue to equipment lessees.
For one thing, they benefit because
leasing companies
ordinarily buy equipment in volume, obtaining price dis¬

131

Industry's

population

6.5

later than 1965.

purchasing
similar equipment outright is entitled, by
law, to recap¬
ture the net investment through depreciation deductions.
Leases, however, can be tailored to the specific needs of

mobiles, trucks and busses in the nation's transportation
service, and that the automotive industry expects to
swell

Lease payments are deductible from taxable income
business expense. To
be sure, a company

saving

Tax considerations have also been

approximately five million
output.

there

that

point

and

ing credit free for other

total

Important
facts

leasing,

could avoid debt, thus

important factor in the industry/s overall
growth picture.

processing job created

data

project

production

projections

long tons in

part, this is
mushrooming population

these records in turn affects

record

down

uses

headache-free

the individual lessee

Current

The

facing business, industry, and gov¬
ernment, shows no signs of abateent

Industry.

fected

paperwork

other

times, leas¬

The

also, the efficiency of competing rail
service has reduced the
length of hauls in what formerly
was
almost exclusively
trucking service. This has af¬

record

high volumes for most business
ch;ne manufacturers.

sti'l

the annual volume of capital-goods leasing
about $10 million.
Currently, the yearly
leasing volume is in excess of $500 million and at the

ices, will reflect strongly in the de¬
mand
for products of
the Rubber

conditions, these

for

industry
obtaining

amounted

picture. The re¬
markable improvement in the tires
is
providing in¬
creasingly longer tire life. Important, too, is the greater
mileage per tire being developed as a result of scientif¬
ically-controlled recapping methods being used.

develop¬

backdrop

business

decade

from

and

fxnd in
to replace out¬

Despite the mixed complexion of the economy in 1961,
leasing of motor vehicles and stationary equipment grew
at a continuing rate of about 20% for the
year. Only a

prevails throughout the year.
an
upward trend
in these
basic
industries, which necessarily
requires greater transportation serv¬

Several

the

go^ds of

Rubber Company

And

than

bring
of

programs.

Against
favorable
two

date

products

new

accelerated

should

year

Impact

and

declining

way

capital

otters

way

sumer

new

heaviest

defense industry

Their

trailers

overall

economy.

the

sizes

Company

quick

working

seg¬

might
well
prove to be conservative if the cur¬
rent buoyant psychology of the con¬

the

favorable

cutting machines. By the same token,
in
a
quickening
economy,
leas¬
ing permits companies to conserve

record

With the nation's motorists

OELMAN
Cash

well

cannot

help thinking that this may hurt "big business" invest¬
ments much more
than real estate investments.
Un¬
fortunately, however, the one who may be a great loser

subse¬

appeal of leasing to the equipment user in 1961
went well beyond the benefits of
conserving capital and
releasing cash for other income-producing purposes.

1961.

dark spot to remember in
making investment
plans for the future is Unionism
most
unions are
powerful, well organized, have unusually able leader¬
ship and great resources, and in most instances a politi¬
cally strong influence in nation, state and city. Let us
all hope that their demands
may be reasonable but when

and

present rate should reach $1 billion by

have it in the future to greater extent than.at the
present
time.

recession

moded equipment with modern, cost-

trend in business in the United

ebb

automotive, food and construction

seem

less

business

leasing

O'NEIL

low

demand for their goods and services.
Such
basic
industries
as
steel,

improvements

investment and good hedge against serious inflation if

looms

now

switching in certain cases to prime New York City
mortgages where they can be pbta!ined"at 5 ¥2 to 6% rate,
with a real 50-60% appraisal for 3 to 5
years.
No better

think of such demands

what

year

meet

both

when

States, launched midway in 1961, will advance substan¬
tially in 1962 as all basic industries—and particularly
the Rubber Industry—step up their production pace to

mortgage

was

both the

to increase profits. At all

President, The General Tire &

(c)

proof in'
versatility in financing busi¬
particularly, suited to the test since

favorable

ing

Corp.

gave furtner

conditions, leasing
proved equally adept at its function
of providing
industry with the use
of equipment without capital
outlay.
Companies
squeezed
for
profits

economy.

recent years. All' types of properties
in demand and at excellent prices.
Values

Under

all-time high, and
offer, the business

better

and

year

machine

O'NEILL

Transportation

quent upturn in economic activity.

systems ..handle

with

The

ness.

With the need for its products at an

in¬

Leaseway

of its effectiveness and

it witnessed

reports.

from

past business upswings, the current trend

fast-growing leasing industry

1961

retailing, banking, industry, and government.
automatically an entire dataprccessing operation, from the creation of the original
record to the printing
out of the final management

enlargement

The

fields

indicate

WILLIAM

now

lines

Such

Reason—Economy and prosperity of
the
country; increased earnings of
tenants;

are

broadened

some

not

President,

expenditures associated with these
beginning to pay dividends in greatly
equipment. NCR, for example, has
invested $75 million during the past five years to bring
to the market completely integrated
systems for the

both

The heavy research

All of the new buildings

will bring improvements

year

the characteristics of a
tremendous
boom. But by this very fact, it promises a better
stability
in growth, which the violent boom
precludes.

business machine to another.

one

factory advance rentals represented
by
signed leases for
large areas.

important
personnel;

Unlike
does

of equal importance has been the
development of various "common languages" which link

In all buildings Uptown as well as
very favorable situation exists and it is at

good and possibly better than

year ago.

new

earnings.

Greatly aided with its late 1961 surge, the soaring 60's
become a reality in 1962,
marking the beginning
of what now looms as the greatest
long-range economic
expansion in this nation's history.

and

breakthrough

(a) RENTAL:

the

and

will

technology has made possible entirely
new
approaches to automation in the store and office.
Electronic
computers
represented
a
relatively
early

thoughts regarding the New York City real estate
market at the close of 1961 and the outlook for 1962:

sales

Fortunately,

A few

least

increasing

that

are

methods.

CHARLES

We have strengthened all our divisions—in
rubber,
especially in tire distribution; rocket propulsion, plas¬
tics, chemicals and entertainment—to meet the challenge
of expanding business during
1962, and all indications

to this problem, too, they are turning
frequency to advanced data-handling

solution

with

Downtown

value.

Thursday, January 18, 1962

established

management by guesswork is rapidly becoming obsolete.
They need and demand more operating information than
ever
before, and they want it faster than ever before.
They know that tomorrow's successful enterprise will
have to use every available management tool to provide
this information while it is still fresh enough to be of

sured

1961

the picture. The other half involves the
present profit squeeze—between rising costs on the one
hand and stiffening competition on the other. By saving
labor and tightening control, the modern business sys¬
tem can remove some of this pressure and actually pay
for itself in a relatively short time.
To
an
increasing
extent,
however,
costcutting
is
often a secondary factor in decisions to automate clerical
functions.
Alert business men today are
aware
that
is only half of

of life

lowed

Chronicle

The Commercial and Financial

(348)

'j.

firm

foundation,

1961. It has become

with

future

star

bright

itself.

as
,

Continued

on page

;

Volume 195

Number 6126

...

The Commercial and Financial

which

corporations

1962 Loeb. Awards

the

manufacture

are
and

engaged

popularly priced brassieres and
and girdles. Such
products are

J udges Announced

sold to retail
outlets, including
Judges for the fifth annual Uni-r'
national
chain
variety
stores,
versity of C o n n e c t i c- u t LOeb
Awards for.distinguished business throughout the U. S., and to a
and
financial journalism VhaVe minor extent foreign countries.
been announced by Laurence J.
'
Ackerman,
Chairman - of., the:
With Eastman Dillon
i
Awards Advisory Board and Dean:
(Special to The Financial Chronicle)
of
the " University's
School
of

(349)

Chicago Analysts
1962 Program

sale

Chronicle

CHICAGO, 111.—The Investment
Analysts Society of Chicago will
have W. Clement Stone, President
of the Combined
Insurance Co.,
as guest speaker at their luncheon
meeting Jan. 4 at the Midland

•

Hotel.

■

•"'

■

Business
"The

Administration.

Loeb Awards

lished

1957

SAN

estab¬

were

under;"

•S, Williams is now with Eastman

grant to

FRANCISCO, Calif.—Daniel

Dillon, Union Securities &
University * of
Connecticut:,
He was
from the Sidney S. Loeb Memorial {>01 California St.
the

Foundation:
stowed

upon

cial writers

The

honors

are

.be¬

Co.,
for¬

Other subjects
scheduled for
the Association's bi-weekly meet¬
ings

are:

Jan.

\.>;V '■

11—Beckman Instruments,

"Inc.
25

—

International

Tele¬

Feb.

—

American

Hospital

Supply .Corp.
March 1—Burroughs Corp.
March 8—Midwest. Forum.

April-12-—Eli Lilly & Co.
April 26-—American Metal Cli¬
Inc.

max

Stewart, Eubanks
To Admit Partners

March 22-—Clark Equipment Co.

; v

•

SAN

FRANCISCO,

Calif.

ward "

•

Burke

and

Larry

contribute

fornia.

;

7—Chicago Mu¬

May 31

or June
Instrument,

sical

Thompson
Wooldridge Inc.
—^

Ra mo
-•

members
Pacific

changes.
cated

June 21—Golf Outing.

St.,
and

> ^

of the
Coast

Mr. Hatlett will
the

firm's

serve

office.

the best interests of

/ •," The
judges,: representing the
fields of journalism, business and
business education, are:

Newspaper Panel—Osborn El¬
liott, editor, Newsweek: Dr. Roger
Murray,
professor
of
Finance,
ColumbiaUniversity
Graduate
School of Business, and J. Harry
Wood,
President,-; Home
Life
Insurance Company.

;

Magazine Panel—rReese Harris,
Vice-President, Manu¬

Executive

facturers Hanover Trust Company;
Dr.

"Eugene 1 Kelley, ". Associate
Dean,
Ne w • York, Univerity
Graduate
S chooLof Business
1

Administration,-; and William F.
Kerby, Vice-President and Edito¬
rial Director, Wall. Street Journal.
Members of the Advisory Board,
in addition to Dr. Ackerman, are:

Qovernor ? John NY Dempsey. of

^Connecticut; Honorary Chairman;'
Vernon E. Alden,

President, :Ohio

ribiversi^

Baftholo-

Irnew,. President, Unite d Press In ternat'oria 1;
Herbt !E.I 'Dbugall,
of v Finance,
Stanford
University Graduate ' School of
Business; 1 Frank
M.
Folsom,
•Chairman, Executive Committee,
Board of Directors, Radio
Cor¬
poration of America;: Gerald M.
Loeb, partner, E. -F.: Button &
Company, and Elmer M. Shankland, 1961 President, New ' York

professor

•

Financial Writers Association,

;

Winchell .Donut ■.'

House, Inc.

: :;

Common Offered Z
r

A A*' A A

.A'-:,A'' A -;-U

McDonnell & Co., Inc., 120 Broad-

New York City, and associates
offering publicly .90,000 out¬
standing common • shares of Winchell Donut House, Inc., at $14 per*
share. Net proceeds from the sale
will go to i Verne
H, - Winchell,
President, and the company will
receive no portion thereof. >'■ ^
f :
way,

are

•

The company of 1140 W. Main
St.; Alhambra, Calif;, -is engaged
In the sale of donut mixes, paper
products, soft drink mixes and
other item sv to approximately 85
( franchised -a operators r of : donut
shops in California, Colorado, and

Arizona.

sists

Authorized

500,000 no
shares, : of
which
outstanding.

stock
par

con¬

common

400,014

are

Planned Growth through Chemical Research
Self education through research has been the indispen¬

Wm. Gluckin Co.:
Common Offered

sable factor in

amount of money

Public offering of 175,000 common

of Wm. Gluckin Co., Ltd.,
$10 \ per share is being made
by Globus, Inc., 660 Madison Ave.,
New York
City, and associates.
Net proceeds will be used by the
at

poses. :

for

the

general

repayment
corporate

""'/''

pur¬

the nation's top ten

—

and

energy on

research,

our

average

chemical

currently, one-quarter billion dollars per year

have been increasing at a

higher than

Our chemical homework has

broad spectrum of results.

istry

than the

range

from

average

produced

—

rate.

satisfyingly

End-products of Grace chem¬

shrink-plastic packaging, film to jet

engine lubricants, from fertilizers and feed additives to
furniture

Grace chemistry is a world-wide enterprise. In the
United

States, Canada, Latin America, Europe, Aus¬

tralia and New

ton, Bermuda, has entered into a
contract
withEssex
.Universal
Corp., to aequire all the issued and
outstanding shares of eight other

Zealand,

total of 59 plants, seven labora¬

tories, and 81 sales offices provide

optimism about continuing
More
our

Facts

and

successes.

Figures? Write to

Public Relations

Dept., 8 Hanover

Square,NewYork4,N.Y., for the brochure
"W.R. GRACE &

CO., Now One-Quarter

Billion in Chemical Sales."

finishes, from polyfibron printing-blankets to

■■

The company, whose address is
Bank of Bermuda Bldg., Hamil¬

among

chemical producers. By spending more

sales

company
debt and

putting Grace

GRACE

sealing compounds securing the containers of hundreds

w. r.

of domestic and industrial

Executive Offices: 7 Hanover Square,New York 5

products.

& co.

Ex¬

lo¬

Burlingame

American business and the Amer¬

York

New
Stock

public understanding and
appreciation of the American free
enterprise economy, and whose

ican people.

better

efforts

business and finan¬
who

—

Jan.-25, Willis- B. Berblinger, Ed¬

May 3—First Charter Financial Hatlett will be admitted to part¬
Corp.nership
in
S.tewart,
Eubanks,
May 10-—Union Oil Co. of Cali¬
•Meyerson .& Co., .216 Montgomery

phone & Telegraph Corp.

merly with First California Co.

Feb, 1—Shell Oil Co.

June

Jan.

broad; base for

(350)

"V i

Continued

WILLIAM

from page 80

Thursday, January 18, 1962

;

appearing but indications

PATTERSON

President, United Air Lines

PAMPLIN

number of problems for the forest

The year 1961 posed a

over

products industry. Production in plywood, lumber, and
pulp, paper and container-board, as well as other prod■\ ucts, generally exceeded demand. The unsettled state of
.-world affairs
proved a dampening
influence on consumer spending and

miles, and 7% in express ton miles.
Benefits of the merger of Capital
Airlines into United will enlarge in
coming months.: Outmoded equip¬

r porary
^

situation and that conditions
definitely improve in 1962. The

will

"n.
fat
V
r4

not

tl>

The

for

demand

fjV

Robt. B. Pamplin

latter

the

For

■■

had

be excellent.

PARSHALL

opinion, most undeservedly has.

;

pronounced

is in

;.
:
.*

the

home

costs

has

revived. We

been

"f>

to offset the fare reductions.

not

were
>,

'We

time

when

profit ctishion; Qur
than
Howard P, Parshall

the-best, service

the

position

theories which

Operationally, .the

'
.

area should

enjoy

re-

government has

might

you

thirty-three years of

enced

council

replaced with

members,

Several of

age.

three

cline

remain

carriers

incumbents. What this

new

tration will do for the

factors

about

continue,

million.

will

years

adminis-

we do
appointment made by the new mayor, our
City Controller, is applauded on all sides. It appears to

that

will

close with

SOCIALISM.

Detroit, but of
this ROAD. TO

THE

ROAD*

not

speaking now in regard to
whole country. It seems to me that
SOCIALISM is paved in sections.
Many

already completed, and I will

are

built in

.over

name,

Thomas F. Patton

Social Security,
Farm subsidies,

(3)

Slum housing,

(5)

Federal aid to education,

(6)

Legislation favoring minority
of the majority,

(7)

million

not

three

million

tons

goods

segment

cellent

groups

the

ex¬

Unemployment benefits.,

of the

market

creases

economy promises to be an
1962. Add to these three areas

ex¬

in¬

not here

arguing the merits of Socialism,

so-called Capitalism. I do know for

arrived

our

certainty how

position of preeminence,

is high time that
want

continue

our

souls and

this so-called

vs. our

and
if

see

because

impact on it of consumer psychology, which may
influenced both by rising production and the labor
situation. We anticipate a policy of
be

really

inventory accumula¬

tion by steel consumers in the first half of the
year and
a decrease in the second half.

ism." I DO NOT THINK THAT THE STRONG
SHOULD
THE WEAK; BUT I DO FIRMLY

THAT

ATMOSPHERE

COME

The

BELIEVE

SHOULD

CREATE

THAT

STRONG.

ALL

SUCH

WHO

ECONOMIC

CHOOSE

MAY

BE¬

Moreover, during the next: vear we should be in a
stronger position to gain significantly from our compre¬
hensive physical rebuilding, our continued
heavy pro¬
gram of maintenance and our tight' control over ex-;
penses.
■ 1o/■ Y'Y: 'i. Y'■
Jv:"<''■ ••,
'

Throughput .1961,
Traffic Control

were

lion modernization

Street in New York
'

use

has been

many 'more ' miles Aof ; Centralized
added to Central lines; the $4.5 mil¬

of the

made

City
of

big freight yard at West 60th
was

oux

completed;

real

industries

new

receive

our

located plants
services. ' ■'

estate

economic

holdings and 277

sites where they will

Armed with these
.

new facilities, we are now
devoting
developing new and better ways to
changing conditions and improving our services so

ourselves
meet

that

towards

can

continue to attract

customers and meet

new

their needs in every way possible.

of the

"soft road to social-,

CARRY

1961, particularly in the transportation of
ore—through the application
modern
equipment, heavier train loads and

over

•

think

consumption for appliances, containers
;
In this connection, we have expanded our high-speed
and the farm market and we
begin to get an idea of1:
1962's level of steel operations.
Super-Van service to many large midwestern cities, such
"
■■
as
Cincinnati, Dayton and Columbus. In addition, our
A major question on the horizon is the
inventory situ¬
^Flexi-Van rail-highway container service as well as our
ation. This is an area that is difficult to forecast
,

a
reasonable profit for the year.
five to ten per cent increase in car-

earn

faster turnaround time.

con¬

steel

bulk commodities—coal and

cars

sumption for this industry alone. A gain of between 5
and 10 per cent in construction has been
predicted for
1962. Capital expenditures are
rising and the capital

(4)

pense

than

traffic

loadings

in¬

;

Employment;-

slump, but will not regain its position

Our outlook is for

the .1961
total.
With
higher
production also predicted, it is h
hard to project an increase of

two

Progressive income tax,

(2)

year,

certainly ;stimu~

increase

ficient

early 1959;

coming

output, rising by

our key industries—.steel and
automobiles—accelerate, the Central should receive suf¬

truck

them:

(1)

crease

the

Steel

optimistic about 1962. As

nine

The automotive industry estimates
that more\than §Vz million cars will

our

of these sections
some

the paragraph entitled

a prime factor in the growth of Gross National Pro¬
duct until the latter stages of the decade.;.;': fY Y"
Insofar as the New York Central is
concerned, we are

million

best levels since

should proceed cautiously in the future.

rise

good

activity in - most steelconsuming industries is expected to
follow an upward trend during the
entire year 1962. Improvement has
already started and order intake at
Republic currently is running at the

City of Detroit, of course,

1962

;

off its prolonged

Business

young

not know. One

105

gradual economic

making

through February and
March, with a corresponding rise in
Alfred E. Perlman
personal
income
and
consumer
{L* -1
spending. The construction industry will-likewise shake

ingot tons in the
coming twelve months.

say,

a gradual rise
business -level.

late the entire economy.

evident

now

eight

some

seen

expected 20 %, will

above the 97 million ingot tons poured in 1961.
This would mean production
of

rise

have

contracted

fact, practically every industry
output, with auto¬
mobile production climbing close to i
7

per cent

will

the

industry in 1962 is clouded by

production

OYY;Y

will reach record

provide

that

experi¬
have been

new

temporary. For the past few Y

expect this

proved.

equipped

are

for most of 1961 resulted in

are

from

our

exact,

PERLMAN

business year.

indicate

a prosperous

major upheaval. Our mayor with more than ten
our city government has
been replaced by a

man

undergone,

local

x",~
E.

months

experi¬
industry lacks an adequate
is based on the record;'Tather^

uncertainties but measurable

some

1962.
Our

Yr';,:

serious lag in rail carloadings.
Y, y,
The^ factors which caused this'de- -

their

The outlook for the steel

markable figure. Retail sales should increase about
3V2%.

So, all in all, the Detroit

agree¬

.-V.Y'

around

solve them.

economy

miles "flown by trunk carriers.
opposed to. any additional low-fare

are

ments

approximately $3.15, truly

current

ALFRED

good exr
ample of growth attained by reducing fares. The largest
part of coach growth, however, has come at the Expense
of first-class travel. This trend has depressed' revenues. *
In 1961 coach traffic accounted for 57% .of- the -total,

8V2%. Hourly wages in 1961 averaged $2.99. We expect
this to be increased

the

well. It is becoming increasing¬
than cost control will' be required

government and labor

ly apoarent that

large enough

sometimes isA considered

Coach traffic

;

V''.r

■

under

ductivity and reduce costs
Rising costs and increased competition-—both foreign and
domestic—do present problems which must be recognized
and confronted not only by steel management but by

explored this theory in the past

and the resultant traffic increases

;

time

efforts to improve pro¬
will continue to be made.

passenger

1962

third

the

In the coming year, vigorous

Civil Aeronautics

history. The transition from
me: that they are
predicting a pro- > piston-engine to jet aircraft has gone well and the an¬
duction of automobiles of 6,500,000,
up almost 1,000,000
ticipated" passenger preference for jets has been over¬
cars
over
1961.
Industrial
employment presently is ;: whelmingly attested.
averaging 1,306,000, and we expect this average to be"
increased by about 50,000 in 1962.:
Presently,' approxi- ^ .V
THOMAS F. PATTON ' mately 11% of the Detroit pool of labor is unemployed;
President, Republic Steel Corporation
We look for a substantial reduction in

for

rose

ment with the United Steelworkers.

of Commerce informs

•

about

run

„,

approximately
3,500,000 people. We have undergone
a
great change in industry, decen- tralization and
to 'a** large
extent, '
automation;^ and this transition is

coming year, capital expenditures are expected
$70 million as we continue our $375 million
modernization and improvement program started in 1960.
There was continued pressure on profits in the steel
industry in 1961. For the third year in a row, the general
level of steel prices remained unchanged as employment

our

y practically successfully concluded.
For next year, the Detroit Board

additional

In the

effects, had not the carriers been

the air and the

werdacc^rated to provide
to meet today's competition.
;
*

programs

manpower

travel,

President, New-York Central System <-•■. • •
subsidy. The preferable type of merger.'would be that
which reduces excessive competition; without creating
The nature of the railroad industry is such that its ac¬
financial problems for other carriers.
•
'
' >
% i tivity is closely bound to the
pace of industrial produc¬
•
The. notion-'that fare reductions will create new mar¬
tion and -the beat of the national economy.
Thus, in the
kets and attract such, volume that profits will improve,
northeastern section" of the country, the • state; of the

troit

The

year.

than two-thirds of

ing
the

business

companies would merely create greater weakness. Mer- ;>
ger of two strong companies could force weaker com¬
petitors into bankruptcy, or else produce requests* for

-fi

Atlanta, Ga., to care for ex-:
panding needs in the fast-growing South, and sales train¬

indicated it regards mergers with a friendly
of this date, however, no criteria have been
established to guide the industry in merger programs.
Such direction and leadership must be provided."
What kind of mergers would be in the best interest
of the public and the industry? Merger of two weak
Board

reputa¬
tion within the United States and in large foreign centers
of being a depressed area with high unemployment. I
have a deep, abiding faith and love for my native city,
Detroit. On Nov. 26th, I flew in from :
>
;'
London, England; and it was a very
clear night, a Sunday evening. We
flew in from the north, covering the****
whole City of Detroit, on our way to;
Metropolitan Airport—a truly magnificent and satisfying
v
It is a vital, thriving
metropolis,
possessing a manufacturing potential,
J probably the greatest of any indusj" trial city in the world. Greater Demy

sales district Was opened in

W.A.Patterson

by overcompetition resulting from multiple
awards, particularly in 1955-'56. This is the basic
of the industry's problems.

Merger talk
eye.

reduction

considerable

normally produces

less

cause

President, Bank of the Commonwealth,
Detroit, Mich.

Detroit, in

into produc¬

the very "high-powered 56-inch strip
Warren, Ohio, formally dedicated in September.Many, other facilities were modernized and improved to
provide better quality, improved product and faster de¬
livery as the company continued to give heavy emphasis
to customer requirements for quality and service. Con¬
tinued emphasis was placed on research, in 1961 and ex-;
penditures will be increased further in 1962. A new

squeezed

forest

came

mill at

volume.
When recovery occurred, it lagged in
reaching the air transport industry.
The fiat spot in the airline growth curve would have

route

HOWARD

construction' costs:

our

unit which

tion in the year was

•

traffic

products producers who have natural
resources,
modern and efficient plants, research and
marketing know-how, 1962 and the years ahead should
■

led

which

each acre of forest
land; further integration of manufacturing facilities im¬
proves yield from each tree harvested; advanced research
develops better products; and expanded and improved
distribution facilities bring these products to the right
markets, at the right price, and at the right time.
practices brings greater yield from

,k»

The largest single new

Capital system and many im-;
provements in service already have
been v accomplished. - Over-all
the
merger has progressed as originally
planned.
U
Air transportation was adversely
influenced in 1961 by historic factors
and the recession in the early part of

Georgia-Pacific

products continues to grow. Develop¬
ment
of
new
forest
management

(}

considerable economies in

mer

servative of indicators.

vigorously."

program

expenditures inthat "period totaled approxi¬
mately $85 million. By continuing our program without
reduction during the past year," we were able to effect

Capital

withdrawn from for^-

ment has been

changed. Use of
forest products, whether in plywood,
lumber, j paper, ■ or chemicals from
wood fiber, will continue a steady
rise according to even the most con¬
have

continued to push its

During the past year, Republip
and
improvement

modernization

•

patterns for growth which have been
predicted for the forest products

^industry

industry's

the

impetus to
air travel. For our company, we fore¬
cast increases of aproximately 10%
in revenue passenger miles, 11 %• in
freight ton miles, 11% in mail ton*

We believe that this is only a tem-

•>

improved

has

give

will

also

economy

commercial and
•,
V.' : •;:

residential,

industrial growth.

period

Renewed momentum of the general

'slowed

six-month

the

ventory

prospects for 1962.

•.<

last half year there may be considerable in¬
liquidation. Should steel users decide in this
period to maintain inventory levels higher than we now
expect, the total steel output for 1962 will also be higher
than we have predicted.
In

Recently expressed willingness of the Civil Aeronautics
Board to approve tariff filings for fare increases of 3%

Corporation

President, Georgia-Pacific

part of

that the largest

are

quarter.

in the second

will fall

ROBERT B.

Chronicle

The Commercial and Financial

'v.;

-'v,'

buildup

may

finished steel

would

1962.

about

first

This

half

add

consumer

put

much

inventories

million
in

the

their total inventory

tons

first

half-

holdings

percent below the peak levels reached in the
of 1959. Signs of this accumulation are now

multi-level auto rack carriers have been growing almost
in geometric progression, and we expect these two ser¬

vices

make

continue

tSHharvest

new

business

substantial contribution to net.
are

tax and

given the

necessary

for

and

freedom from outmoded

regulatory policies which have for

so long ham¬
pered our growth, I feel that with the upsurge of the
national economy in 1962, combined wtih our own im¬

provements, the future of the New York Central will be
V

■»'

Continued

page' 84-

Number 6126

Volume 195

...

The Commercial and Financial Chronicle

Joins

S.O.S. Photo-

Marache Adds

Hayden, Stone

Cine-Optics
Units Offered

LOS

LOS ANGELES, Calif.—Robert T.
Orman has become affiliated with

Hayden, Stone. & Co., 611 Wilshire
Blvd.
He
was
formerly
with

ture

due

Feb.

and

1969

15,

•

Ore

Grahara -has' been

added

the

the
purchase of
additional
equipment, advertising and sales

for

Washington Street.
,

•

Ktrvi.

-.r

York

TULSA, Okla.

—

Kandley

Chairman of the board;

studio

-M. x

martno

oAn

Tan

2fi

Tnhn F

0f the New York

will

become

Pr..Wpn,.

Ke** R.n Fitzgerald, .President

Sir
StoJk Fv>h^mrp

Vice-President

ington

Drive,

and. the

" t

firm,

.\ o

New York ExofIlcets

Blalack,

"
-

are;

President;

♦

Charles M.

Thomas

/V »1

office at 208 East Wisconsin Ave,
V™"1*3 "J™*'
a**d Jack B. Bailey, Secretary and under the management of R. B. Treasurer, and Joseph G. Hattersley, Secretary.

Walbert.

;

-v

•

Waterproofing
Stock/All Sold

American United Life

Corp.,

Long

Beach, N. Y., and
&
Co., Inc., East
report that their //
recent-offering of 60,009 common •
shares of Universal Waterproofing
Corp., at-$3 .per share-has been -/
all sold. Net proceeds will be used
J.

•' Now in the top 3% of tfie nation's

;

Professional & Executive Planning

'■

Life insurance Companies

•

Roberts

Orange,

SifSS-a
vN<X»>1

by the company for the repayment
of
debt, salaries, additional in-//

ventories,

and

other

corporate f

\.V

purposes;" /;
-

The-company. of 613 E.. 12th St, / J
N$.\v ;. Ybrk City is primarily engaged in the/bti'sfriess of applicat- *
.

ing

waterproofing.; materials

to •/.

buildings and. structures ,1 under /
contract. It also engages' in {res- >:*/
toratipn and-remedial work to the
efcterior

||^f§|lt

"buildings. Authotized

s|oqk consists, di 350,000 L0 cent
shares,of which -/
.

par,,'common

137,000
;

now

are

outstanding.

"./

Boro Electronics; /■./ f
Common Offered
An

offering

■

Boro

100,000

common

Electronics/ Inc.,

at $3 per shdre is being made by McLaughlin, Kaufman' & Co.,: 52'; ;
Wall' St.,
New York City. "Net
>
proceeds will be used by the com/*
pany • for the/ purchase ,.of.: add!-/;/}
tional: equipment; and
inventory, - '
advertising,:.* sales pro m 61 i o n,
.;
working capital and the repay- •..
,

ment

The

velt

loans.

company

Ave.,

engaged/ in- the
electronic

69-18

Woodside,

Roose¬

Y/,: is

distribution

'■

products manufactured

by ' others.

." v/■

•

^/;//

C'/:;>'//
J// /■;./
.//;,///
/
Now Durum Securities
The

firm

mame

Securities

,of-Manufacturers

Corporation,

511 Fifth
Avenue, New York City, is being
changed
to/ Durum / Securities/-- /
Corporation.- U ; % /
• /;v •• / /;
..

With Beckman Co. ^

"Our

NCR Computer is proving to be a highly-profitable investment!"

'^/W';j;

//U-'/'■

-AMERICAN UNITED LIFE INSURANCE COMPANY,

(Special to The Financial Chronicle)

LODI,' Calif.—Carlton G. Thomas
has

joined the staff of

Beckman

Co., Inc.j 11 South Churcn St.
He Was formerly with Walter C.
Gorey Co. and prior thereto con¬
ducted
in

ness

/,
>

his

own

Grass

investment

busi¬

Valley.

Boettcher Adcjs

(Special

;

The-FinAncial Chronicle)

;

DENVER-

Colo.—-John C. DeJong

has

added

been

Boettcher

•

Seventeenth
New
was

York;

the

and

NCR Data Processing

better

serve

the respective reporting

and record-keeping
vidual salesmen, as

needs of the indi¬
well as all levels
of sales management. And, we can pre¬
pare customer premium notices in
l/25th of the time previously required.
"At this stage our NCR System is in¬
stalled on about one-half of the jobs

when

Indianapolis, Indiana

highly profitable investment
chose to install an NCR Com¬

puter System."

it. However,

Clarence A/Jacksort

already have daily-working-experi¬
ence to back up our conviction that we

President & Chairman of the Board

for which

intend to

use

American United Life Insurance

Company

Stock- Exchange.

San

our

System is the answer to insurance rec¬
ord-keeping and processing needs. For
all intents and purposes, it has taken
the term 'delayed-processing, out of
our vocabulary. We now process today's
data toddy, and obtain today's reports
today.
fiSpecifically out NCR Computer
System has cut eight to ten days off
reporting time. We are now able to

made

Company,
828
St, members of the

formerly with the

America

staff

"We believe

Bank

Francisco.

He
of

NCRT

PROVIDES TOTAL

SYSTEMS —FROM

ORIGINAL

through Accounting Machines, Ca$ir Register* or
The

National

Cash

Joiytil orancn
Wells III, Executive Vice-PresiMILWAUKEE, Wis. — Blyth & dent; William F. Stainton III,
Co, Inc. has opened a branch vice-President- Thomas Hirsch
/ '•'

- -

member of the Pacific Coast Stock
Exchange, will also become a

—/■;

Blalack & Wells, Inc., 2477 Hunt-

offices at 1900 Main Street.
di

x lj. in

r-niif

and

newsreel cameras, lenses and view
finders, lighting equipment, optical and magnetic sound recording
equipment, / editing and cutting
room
supplies, camera recorder
motors, 4 and generators. -- '. '"

Universal

Ernest

are

Treasurer.

President and Treasurer."

Wplls

^
Tn hp NYSF Firm

Secretary and
Rosalind Rose,

Buildingto conduct a securities

Handley Invest- SARASOTA, Fla.—Ezra J. Regen
is conducting a securities business

Officers

R]q]ao k

Martin

ment Company has been formed

business;

such

tzra Regen Opens

orm YV Olper Lire /Yulliates

motion picture and TV production

equipment

»t

Wolper Life .Affiliates, Inc. is
conducting a securities business
of 602 W. 52nd from offices at 92 Fulton Street,
City, distributes New York City. Ben Wolper is

company

New

•

with of£lces, i„ the Jamestown

promotion, new product development, and working capital.
St.,

rlandley
nancuey m iuisa
111 Illisa

sj.a£j c| wa]ston & Co., Inc., 901

cS5fwmbTu™e°Jby°the company ; Southwest

The

Richard

—

Warren Co., Ltd. is engaging in a

Pacific Coast Stock Exchange. Harvey Golub,
Mr. McGurk: was formerly with Treasurer; and
Gregory-Massari, Inc. •
Vice-President.

(Special to The Financial Chronicle)

PORTLAND "

Calit—John L,

ANGELESr

has been added to the securities business from offices at
staff of Marache & Co., 210 West 264 Washington Boulevard. OffiSeventh Street, members of the cers are Beula B. Kass, President;

Walston Adds to Staff

LONG BEACH

McGurk

Adams-Fastnow Company.
.

Martin-Warren Co. Opens

(Special to The Financial Chronicle)

William
William, Tiavid Rr Mntti Inc., New
David & Motti, Inr New
York
City, is offering publicly
5,000 units of S.O.S. Photo-CineOptics, Inc., at $40 per unit. Each
urjit consists of one $10 principal
amount 6%
subordinated deben-

(351)

—

1039 Offices in

ENTRY

FINAL

REPORT-

Adding Machines, and Data Processing

121 Countries r-78 Years of Helping Business Save Money

NCR

The Commercial and Financial Chronicle

(C52)

Continued from page 82

•

mine

years

-X

While
the basic

'/XV V""V

from -restrictive

freedom

laws

/xx:

and

policies

for the many problems which confront

answer

not

only the Central but the entire railroad industry, the
railroads themselves must use every means at hand to
better their ability to compete more effectively in the
transportation field and assure maintenance of rail trans¬
portation

private industry.

Towards

railroads will be

one

of the most beneficial results if

is given to

reinforce

this

unique

-V'

,•

\.'V

underground

by government"'
policies that will make it possible for industry here in
the United States to meet that competition in this, coun- •'
try and abroad, V. ' .-/•

-V,~.'J'.,'-'.";:Vv

Research and Development Continues

the

Scientific research continues to. be

company

•

a barometer of the
Colorado. The merger

is, indeed,

industrial and economic growth of

Company and Colorado Central Power

/Company is another step in providing this
ever improving gas and electric service.
.

area

with

President, Public Service Company of Colorado
The merger of Public Service

Colorado

Central

Power

Company,

consummated

of gas

electric utility services in the booming
metropolitan area.
With a

Denver

and

population
Colorado

growth

the

past

with

pared
nation

two

have added in the
S292

million

ecjuipment to

34.2%

decade—as

18.5%

the

—

for

com¬

the

entire

utility companies
period

same

property,

pace

some

plant and

the dramatic

Colorado
in

the

Denver.

south,

try

Robert T. Person

Company and its subsidiaries served
end

total

335,000

natural gas customers.

the company has a generating

capability of 887,000 kilo¬
threefold increase in 10 years.
^

alone,

industrial

7.593 to 8,721

industrial
lion

customers

during the last 10
of

use

have

years.

than

905

million

business
total

the

of Pacific

with

and

gas

electric

five-year period ahead, 1962-1966,
penditure

constantly

million

$236

some

increasing

service

facilities.

the

anticipate the

ex¬

order

the

pace

requirements

our

territory.
Under the 1962 construction
program, expenditures for
electric generation, transmission and distribution facili¬
ties

will

come

$33 million.

Another

million will

$17

be required for natural gas

storage facilities.

transmission, distribution and
Expenditures for office buildings and

other

common plant will
require $3 million.
Approximately $3 million is allocated during 1962 for

completion

the

third

generating

unit

New York Stock
more

The Pacific Coast Stock Exchange had

with

1961

and

since 1928.^ The importance of
nized

Cherokee

the

With

electrical manufacturing will

capability

will

when

new

this

Also
start

exceed

the

unit goes

included

company's electric

construction

this
on

one

million

$6.3

■

Public Service

Company's electric operations are only
for the company also distributes natural
large portion of the state.

half the story,

from

Company's requirements for natural

extensive fields in Kansas,

gas

are

met

Oklahoma, Texas, New
Company
subsidiaries,

Mexico and Colorado. Although Public Service
is a distributor of natural
gas, two of its

Western

Slope

Gas

Company,
through which

are

Company and Colorado-Wyoming
pipeline transmission companies,
gas is delivered to many Public Service
Company distribution points.
Gas

Western

Slope Gas has just completed a new 24.0 mile
line from the
Ignacio gas field on the
southwest border of the state to eight communities in
the San Luis Valley that will be served
by Public Serv¬
ice.
This transmission line has -the distinction of
being
the highest natural gas line in the
country, crossing the
Divide at approximately
12,000 feet above sea level.
It is planned to extend this line from Del Norte to
Leadtransmission

ville

1962.

This

extension

will

serve

the

towns

Salida, Buena Vista and Saguache.
Public Service Company's unique experiment in under¬

terms

new

Tariff

and

Trade

of the United States in the

and new
use

that

units;

corporate structure

] /

established

has

one

well

been

crucial

reduce

that

their trade barriers

the

other
the

nations

same

division

emphasize

the

growth.

which

planning

This

division

•

execute

our

current

plan

our

term

planning—that

workloads

future activities.

and,
in

just

this

important,

last

we
can

area—long-

have given formal recognition to
the future development of Lehn &
Fink.
V,X X""

change at Lehn & Fink was the establishing of
marketing services department.. It was set-up to
pro¬

vide

services

divisions

President

must

-i

and

counsel

such

areas

our
company's marketing
marketing strategy, market

product development. We have also allied
this new department with
laboratory

coordinated

can

sary

channel the various activities that

company such as ours,

are

neces¬

which is basically

mar¬

keting-oriented.
Third phase was the development of

facturing staff that

was

to direct and coordinate

central

manu¬

increased in size and reorganized
production planning, purchasing,

manufacturing, engineering, warehousing and inventory
control.
With

also

commodities

research, purchasing and packaging engineering in its
product development function. Through this
department,

problems of international trade, but if the United States

protection,

corporate

administrative organization, we believe
have allocated sufficient
corporate manpower so

important

tariff

With this

and closer ties with our allies.
We do not
think that protective tariffs are the best solution to the

its

augmented

the following
principal staff functions—short
long-term planning, corporate secretarial and
legal,
accounting and control, data
processing and customer
service.,
.XXX
,-XX':VXXXXV:* ;
X'V/VXV.V• •

tional trade

reduces

planning and finance

since

Walter N. Plaut

Second

"V--;'

VX'-V

contains

homes,

of the largest

:--V->'X>

and

employers in the United States,
factor in international trade,
the General Electric Company is of course
very directly
concerned with this issue.
Generally speaking, we have
taken the position that it is wise to encourage interna¬
as

product

our

•

corporate changes.in¬
administrative operations.

function

our

and

■■

even

vari¬

development...

expand both

First of
volved

broader powers to cut tariffs and encourage closer ties
with the European Common Market, the British Com¬

monwealth, and Japan. X;V'V''■:■

can

research and

the

product

and corporate base.

period ahead is the question

granting

us
our

effectively meet day-to-day
problems and at the same-time per-

Policy Position

Congress,

management tech¬

policy

new

series

structure.

sales

us a

of tariff and trade policy. The Administration has an¬
nounced that it plans to press for a more liberal trade

the

antici¬

changing business conditions

increased

Corporation*.

ahead,: ' we 'have: madd

these

niques gives

has made them

commitments

Products

markets with

The

;:■% One of ihe most important questions facing the citizens

the

for

year

goal

our

egy

fifth

plants.

The

Philiippe

the

generating unit at Valmont Station, near Boulder. This
unit, to be completed
in 1964, will have a
nameplate rating of 150,000 kilowatts.
On
the
Public Service Company's system are nine
steam-electric generating stations and six hydro-electric

gas over a

depend, to

strengthened, then 1962 can be
a
year
of
great
opportunity
for
everyone in the United States, in¬
cluding the business community.

mark

for

in the

Fink

cosmetics, proprie¬
tary drugs and sanitation chemicals.
Through our new structure, we'
have been able to
strengthen our
planning concepts, marketing strat¬

G. L.

million

continue

earnings and to give
greater strength in serving
ous

appliances, and other durable
goods.
If consumer confidence can

generating

kilowatt

future

will

& Fink Products Corp. for its

growth and

realize

new

the line.

budget
a

the

make

order of :

same

organizational changes in our corporate
These
changes were created to

large degree, on business conditions throughout the econ¬
omy. Our best estimate of the situation is that over-all
economic activity will continue to rise through ~1962.
Industrial production will be stimu¬
lated by the sharply increased levels
of defense spending and some im¬
provement in business expenditures
for new plant and equipment.
The
big imponderable is the consumer.
Consumers have plenty to spend; and
their disposable income is increas¬
ing, but perhaps all the talk of war

time, the

pated

expected

President, General Electric Co.
Business

and fall-out shelters

first

To prepare Lehn

L. PHILLIPPE

hesitant

the

year

active securities market being predicted, 1962

GERALD

of the
nature

WALTER N. PLAUT

exceedingly bright for the Pacific Coast.

appears

are

this

and

This unit,.which
$23 million, will be the first 150,000
kilowatt generating unit to be placed in
operation in the
Rocky Mountain region. It is scheduled to go into
operation this spring.
For

any

made, together with

President, Lehn

year

area

Steam Electric Station, north of Denver.
total

banner

by many nationally*known corporations

will cost

and

exceeding

volume

research and

cities of California.

various

others important to

many

*
high level of expenditures
development activities, so that the com¬
pany can stay out ahead of its competitors, produce bet¬
ter values; and serve nevv^markets In ;th0 years/aheadV.VX
be

Thcmas P. Phelan

opening

firms

such

Investments

member firms

130

offices in the

During the past five-year period, 1957 through 1961,
company has sf>ent approximately $201 million for
of

the

magnitude.

of the
country.

Coast Stock Exchange, 42

the

construction

power,

Preliminary estimates for 1962

isthe

12%

of such firms are also members of the

branch

445 mil¬

hours per year.
Every indication points to a continued
expansion of the area's industrial development.

the

coun¬

California

excess

Capital Investment Continues

great consumer
of capital.
Fig¬

•

spite of the increasing levels of business, General V
Electric still has ample capacity to
produce more goods v
than it is now
producing.. Nevertheless, the company
invested about $150 million in. new and modernized
facilities in 1961, compared with $137 million in 1960.

stockholders.

kilowatt-

.features, and

from

same

electricity has increased from

kilowatt-hours

that

securities

new

flight propulsion, vacuum interrupters, magnetohydrodynamics, fuel cells, : optical
masers,
thin-film electronics; water desalting, extra-

With the con¬
explosion of the
eyes of the nation

source

show

1962—as evidenced by our current pro-

in nuclear

grams

the future.

time,

increased

At the

the

knowl-

continuous

new

customers.

our

be continued in

has been recog¬
not only
listing their securities on the Pacific Coast Stock Ex¬
change but in establishing transfer facilities on the West
Coast as a service to their expanding number of western

Contributing to the demand has been the industrial
development of the state. In PSCo's consolidated service
area

Exchange

1950, Public Service Company had an
electric generating capability of 296,000 kilowatts.
In
five years, this capability was
nearly doubled. Today,
watts,

but

products,

serve

area.

this section of the

not only

-origin

additional 280,000 electric customers and 267,000 natural
gas
customers.
Prior to
the
merger,
Public Service

the

Coast

ures

electric generating requirements
of Colorado Central
Power, serves an

every

area

the

new

nesses

population

focused

county
metropolitan
area,
Public
Service
Company, which also furnished all

electric customers and 338,000

West

and

west

the search for

our'way> of assuring

course,

high-voltage transmission, and

tinued

five

the

new busiSimple arithmetic will
indicate that the company's' research and deveiopment
over the past ten years have
averaged $287,000,000 per
year. A high level has been maintained in 1961 and will

1962 should be one in which it will be determined
whether inflationary forces will dominate the economy
with higher security prices or more conservative meas¬
ures will be adopted by government to counteract such
forces.
An erratic market may well
develop as the year progresses, tax
measures versus
spending programs
shall play a vital role in the out¬

dent

is,

stream

The year

viewing the Pacific Coast, con¬
tinued interest and expansion is evi¬

Power Company
42,000 electric customers

area

north

edge

Exchange

Central

over

This large expenditure

PHELAN

come.

eco¬

nomic expansion of Colorado and the
Greater Denver area.
/
served

President, Pacific Coast Stock

December 29, 1961, culminates a long anticipated unifica¬
tion

THOMAS

Company of Colorado and

;

According to a
1
Senate Judiciary Committee, on the subject of Patent Practices of the Defense Department, it. appears
<
that our company in the past ten years- has conducted the most extensive research and development activities
of any company in the United States, and presumably in •>,the world. In the years from 1950 through 1959, General Electric spent $1,370,000,000" of company funds for re- '
search and development activities} and in that same period it also performed $1,500,000,000 worth of research and development work for the government,
V- ;
rX.

Leadville, Colorado.

Public Service Company

by the

Also, the company has been actively pursuing research
the field of high altitude ultra-high voltage trans¬

mission of electricity at
•

major activity in
study recently released

General Electric.

VrV V''

;

is continuing its support to the
research and development of nuclear power which also
includes direct conversion of nuclear heat to electricity.
project,

of Public Service

PERSON

United States must also be accompanied

storage

gas

do not yet know what specific- proposals,-^
government will make with respect to .trade policy, - ,

but the point is that any, proposal which would vmake it/.,
easier for foreign concerns to sell their goods in the J

Much of 1961's gas storage is being
Denver area's • gas supply- this

Thursday, January 10, 1962

Of course, we
the

the

'•

■

addition

...In

this

decision to proceed is reached and authority
affect a merger.
\V:V.:
'

been

satisfactory results.
used

winter.

end, we
have resumed merger studies with the Pennsylvania
Railroad. We are encouraged by the previous findings
which indicate that savings of at least $100 million might
be obtained through the affiliation of the two
companies.
I believe that better service to the
public by the merged
as

of natural gas in-an abandoned coal
highly successful. Development of this

storage

has

project will continued in 1962. The ultimate goal of the
project is to store some three billion cubic feet of gas
in the mine at 300 pounds pressure,. More than one
billion cubic feet have been injected thus far with

come:

ground

f \

considerably brighter next year'and for the

done

these

zational

Atlantic

Community can in fact move toward
development of a-great common market.
Then the government must make it possible for United

three

corporate

than reassign names

chart.

reality;

developments,;
on

have

have,

executive organi-

recognized

that

modern management needs talented top level personnel
can devote time to
planning and coordinating a com¬

the-eventual

who

States industry to compete more
plex company such as ours, with domestic and inter¬
effectively with over¬
producers by adopting policies, .that will not feed X national manufacturing and marketing operations.
vln addition, we feel that pur approach (and we recog- :*
inflation, that will encourage higher productivity^and
seas

•

that will reduce the costs of
making and
States products.
-

selling United

nize

that

similar

staff

alignments exist inXother
Continued

corn-

page

Number. 612ft

Volume 195.

j.; The Commercial and Financial Chronicle

(353) s85

QOO,OQO); appropriations from an¬
- -revenues
(approximately
$4,650,000) ; and additional charges

stantial

registration fees

DETROIT, -Mich.

necessary .to position itself
for
f uture expansion and that-.a sub¬

to members for floor facilities and;

needed, for whatever
Exchange takes.

($1,660,000).

The difference between the cash

The .Detroit
result of its fund and' the total cost of a new
the building-project,1 estimated at be¬

—

Stock Exchange as a
election

anticipated future volume make it

nual

DetrQitS.E.

following, officers • for 1962; ' «
: President,I Walter A. Bayer,

tween $50 million and
would be financed.

cash fund

will likely be

Funston

Henry W. Norton, Jr., head of
firm's, Research Department,

the

Manhattan.

Mr. Funston

Exchange's

However,

pointed out that the
space

problems

and

Philip M. Daniels and Anthony R.
Talarico have

joined the staff of

Wood, Walker & Co., 28 North St.

elected

was

Thomas

director

was

Felt, - resident mana¬
ger of the Dain office in Casper,
Wyoming.
*
.•
\
...

...

Mr, Norton has been with Dain
Seven
was

one-half

and

elected

and

years

Vice-President last

September. He is President of the
Twin Cities Society of Security
Analysts.
.

downtown

been

by J. M. Dain & Co.,
Inc.,, 110 South: Sixth St. '
*

that

noted

has

directors

new

announced

Schwabacher Office

$78 million,

named

Vice-President.

MINNEAPOLIS, Minn, — Election

REDDING, Calif..— Schwabacher
plans & Co. has opened a sales office
for the. $29 million fund, along in
the •Crocker-Anglo
National
wvith further studies which will be Bank Building, , in charge of Wil¬
made of'possible sites and types
liam O. Pauly, a registered rep¬
of buildipgs,, do, not tie the Ex¬
resentative' of the firm.
;; /' change
to any
one
course
of
action. He said the Exchange will
continue to study with interest
Join Wood, Walker
proposals submitted to it, such as
.(Special to The Financial Chronicle)
those calling for including possible
Stock
Exchange' facilities in a PITTSFIELD, Mass. — Benjamin
projected World Trade Center in R. Bookless, Edward J. Cristiano,
Mr.

Two Directors

J. M. Dain office in
Casper, Wyo.,
and three years later Felt was

the

move

of., two

J an. <9 announced

In August of 1956 he Opened the

J. M. Dain

Mr. Felt

1955

and

two

started

was

sentative

with

Dain

registered

Billings,

repre¬

Mont.,

for

AM A Trade

Practice Course
The American Management Asso¬
ciation has announced its new oneweek
course
in
Regulations will

New
the

York

Trade

Hotel

Astor

instead

This

course

executives

designed

involved

making in such

areas

Vice-President,

and

Secretary

elected

Governors

(for

were

term):
Minton
M.
Clute, Straus, Blosser & McDowell;
Peter M. Macpherson (re-elected);
Roy W. Neil, Andrew C. Reid &
three-year

Co.; (re-elected), and Mr. Parcells.
The other governors making up
the 11-man board

are:

Mr. Bayer;

William P. Brown, Baker,
&
B..

Simonds

Co., Inc; Mr. Delaney, Richard
King, Merrill Lynch, Pierce,

Fenner
&
Smith
Inc.; Paul D.
Richmond, Watling, Lerchen &
Co.; .Herbert
Schollenberger,"
Campbellj McCarty & Co., Inc.;;.
Henry
VanderVoort,-Nauman,
McFawn &

The
were

Co.

following, reappointments

made: William A. Walker of

Dickinson,
Wright, * McKean
&
Cudlip as Counsel and Edwin H.
Bower, C. P. A., of White, Bower
.

& Prevo as auditor.

Members'

NYSE

ApprovePlan
Members of the New York Stock

Exchange have voted to increase
their

dues

.part of

initiation

and

fees,

financing plan for new
Stock Exchange building facilities,
Exchange President Keith Funston
a

has announced.

The vote,
the

amendment to

Exchange

Constitution, was
against, with 1,226
the Exchange's 1,366 members

843 for and 376
of

voting.

ballots

Seven

were

defective.

The

(1)

increases

maximum annual dues,

from

$1,000 to $1,500; (2) raises
initiation fees paid by persons be¬
coming members from $4,000 to

$7,500; and
ing

Retirement

started

capital investment

ac¬

Account

1953 to the

count of the

Exchange at the end
of the present membership retire¬
ment program on March 31, 1963.
The last change in annual mem¬
bership dues was a downward
revision
have

1942.

been

Initiation

fees

unchanged since 1920.

Mr. Funston said that the vote
enables the Exchange to begin
raising the $29 million cash fund
which will

various

continuing and well known American

suc¬

story. Just as real, but even more striking, is the

growth of the industry that fuels industrial progress
the natural

doubled its sales in

years.

this

just

few

gas

Striking

—

industry has
.

because

able indicators for the next ten years

increase in

our

tional average.

service

land the essential fuel to go on

Panhandle

Eastern is

over

record in natural gas. As you

500

1951

'52

'53

'55

*55

'57

'58

'59

'60

'61

450

subsidiary, Trunkline Gas Company,
to

increase system

This $125,000,000

are

working rapidly

capacity by 500,000 MCF per day.

expansion will bring total daily

400

350

capac¬
300

ity to

over two

billion cubic feet.

oI LLt UNb

than double

Lir UUtHL

ret T

■U

250

that of ten years ago.
200

The sales chart at the

Trunkline

right shows the Panhandle—

System's growth

over

the past decade. All reli¬

PANHANDLE EASTERN PIPE LINE COMPANY
120

Broadway, New York 5, N. Y.

Subsidiary:

TRUNKLINE GAS COMPANY

through
approved
by the
membership. The/balance of the

3000 Bissonnet, Houston 5, Texas

in 1963—will be. generated

changes

^ome

from

appro¬

from Exchange surplus
($5,500,000); sale of prese n t

priation

properties

'54

read this, Panhandle and its

five-year

$7.6 million of the $29
fund—including $4,-

will

growing.

Ten-Year Record of Consolidated Sales

part and parcel of the growth

100,000 from the seat retirement
fund which will become available

fund

population

Small wonder Panhandle people are pro-;

million cash

gressively busier, bringing industry in the nation's heart-;

Board of Governors.

the

point to

substantially above the na¬

accumulated from

sources

period for initial financing of new
facilities. The financing plan was
recommended by a special Ex¬
change financing committee and
endorsed in late November by the
About

area

dynamic performance has been achieved even during

periods of slackening business activity.

(3) authorizes credit¬
Membership
(Seat)

the

natural gas. Real... because

amendment

members'

Growth is
cess

(approximately

$10,-

for

decision¬

pricing,

advertising, marketing, and

Co.; Treasurer, Charles A. Parcells, Jr., Charles A. Parcells & Co.
M.
Edward
Denny was reap¬
Examiner.

N. Y.

Roy F. Delaney, Hudson White &

pointed Executive

originally announced—Feb. 12-16,
AMA
Academy, Saranac Lake,

C. A. Parcells, Jr.

Roy F. Delaney

F. S. Winckler Co.;

held

City, March 26-30, at

chasing.

years.

Practice

now

pur¬

•V "This

Continued from page 84
-

panies, too) enables key executives to devote more time
to long-range planning, rather than day-to-day operating

the

'OV7~

•"

■

7..';:

economy

was

the

Pacific Northwest.-

of the

introduction

Weekly
rose by about 5%, and the majority
of
this increase was registered in
December.

The government

banks

member

influence

the

this

ated.

Long-term

somewhat

moder-

was

moved

rates

;

jjpw*

higher levels in the second

Frederic A. Potts

the

1961, and after mid-November
rate on 91-day Treasury Bills edged above 2 V2 %.

Credit prospects for 1962

should, of course, be assessed
business activity. Current in¬
dications are that the upswing in business, which got
underway early in 1961 and was proceeding briskly at
year end, will continue this year. Spurred by the sus¬
tained rise in personal income, consumer spending should
reach favorable levels. The growth of business sales may
be expected to induce further inventory accumulation,
and this, in turn, should contribute to continued growth
in industrial production. Also, increased outlays for new
plant and equipment and a higher volume of Government
expenditures will further economic expansion hi. the year

over

in light of the outlook for

requirements

ence

the part of

business

cumulation of steel by users in anticipation

the

transporting

in the

Milwaukee's

in the

Thus,
on

sales

continue

demand

interest rates

forces

the

closing months of last

suggest

in 1962.

lively

pace

achieved

some

upward

freight

pressure

to the supply of
funds, the future course of Federal Reserve policy is of
key importance. There are reasons for concluding that
the

Federal

Reserve

will

seek

maintain

•

vided

conditions in the money market. Industrial and com¬
modity prices have remained generally stable, excess
plant capacity exists in various industries, and unem¬
ployment continues relatively high despite recent im¬
provement. Furthermore, an adequate, sustained rate of
economic

growth is

annunciated objective of

tary policy.

v'.'T"

by the Milwaukee. This service

and
~

and then put into service at the
nearby Titan missile
base. It has since met with great success at the
Big Bend
Dam above Chamberlain, S. D., on the Missouri

the "discipline" of its balance of
payments. The
in our balance of payments and

Montana and

addition

•

domestic

River,

deficits

accompanying losses of
monetary gold have been worsened at times by the out¬
flow of short-term capital in pursuit of
higher interest
rates abroad. Therefore, Federal Reserve
policy must be
formulated with a view toward maintaining short-term
interest rates here at levels which

are

money centers. This is only one facet of the
balance of payments problem. More
broadly, it is urgent
that fiscal and monetary policies be devoted to combat¬

ting inflation while stimulating economic growth.

WILLIAM

Pacific
railroad

Railroad

industry enters

1962

Co.

with

prospects for

better year than in 1961. This outlook rests on
expecta¬
tions that the national
economy will be stronger than last
year.

After the

rose

service

The bright future for the railroads in

piggybacking and

tri-level hauling of automobiles could be
adversely af¬

by legislation of the type which

was

introduced

expected to be revived in the next session. This legisla¬
tion, embodied in Senate Bill 1197 and backed by com¬
peting forms of transportation
sters

well

Union, jeopardizes the combined rate and service

Northern, Northern Pacific,

Burlington, and Pacific Coast railroads,

Spokane, Portland and Seattle Railroad

extending into

the new year and most
published
forecasts of economists
agree that a
good business year is in store with

This

would

have

far-reaching effects

well

the

lease basis.

public

trans¬

portation in the northern tier of states stretching from
the Great Lakes to the Pacific Coast.

National

Because of the

implications of such

confidence

* nearly 1,200 million. This will estab¬
lish a new company

■'

1957Very substantial levels of capital
investment are constantly needed to

'
'ti

|g|'

,
flaa*,

maintain the efficiency of operations
and for modern facilities in support

mk
'

oj^

ig»

exPanding markets for products.

Moreover, by these expenditures,

nMfe

JhHHHI

improve

performance

the

quality and
existing prod-

our

ucts> provide for the entry of Jersey
affiliates
into
new
markets,
and

M. J. Rathbone

expand the number and variety of products. In addition
to these capital
expenditures, a further $200 million will
be spent and charged to income in 1962 in the search
for oil and

half

and

gas reserves, about half in the United States
abroad.. Plans for 1962 also contemplate re¬

search expenditures of some $80 million;

•

Jersey's earnings gain in 1961 resulted from a com¬
of operating efficiency improvements and an

bination

increase in sales volumes of
of natural

gas

products, especially abroad,
in the United States.
,

Quite significant

the

earnings gain for T961 has
been an increase of more than 8% for Jersey's world¬
wide crude production. In late 1961 the fir^t crude from
Jersey's wholly-owned Libyan producing affiliate began
to flow to world markets.

Looking ahead to prospects for the oil industry, gen¬
erally, we see continuing expansion of total demand for
crude oil and products in the free world. Based on the
expected development of transportation, heating,' basic
energy and other markets served by the industry, the
growth rate in the United States is forecast to be at a
of between

rate

and

years.

annually

over

Demand abroad is

the next few

expected to improve at

rate aver¬

aging between 6 and 7%, while for the whole free world,
the rate of increase in the next few years is anticipated

picture in 1962. One of the most significant of these

would consolidate the Great

our

record, exceed¬
ing the previous peak high outlay of
$1,131 million spent by Jersey in

by the Team¬

Indicative of

earnings outlook, the company plans
capital expenditures in <-1962 of

gJm
Mmm

and

cement,
equipment, from the shipper to the con¬

the construction location.

road

of $540 billion in the final
quarter of
the year, resulting in a total of about
$522 billion for the entire year.
This momentum is

Gross

and construction

Merger proposals again will be important in the rail¬

estimated annual rate

prospects that the
Product will be at

big Minuteman missile complex
projects around Rapid City, S. D.

advantage in these highly efficent types of handling.

economy's slow start in

early 1961 the Gross National Prod¬
uct

the

and failed in the last session of congress, but which is

President, Chicago, Milwaukee, St. Paul and
The

tractor. The materials and supplies are unloaded at railheads and then carried across rough terrain
by truck to

fected

QUINN

The system provides one-package
rail-highway
in the transporting of materials such as steel and

competitive with

foreign

well

optimism in regard to the Jersey

originated and

considerations, however, the
United States is subject to what has aptly been called

Henry H. Rand

history, and earnings improved for

This new concept was started by the Milwaukee Road;
about two years ago in. the state of
Washington at the
site of the Wanapum Dam across the Columbia River

buy

;

the third consecutive year.

was

spending last October marked the

slow shoe year.

in Jersey Standard's

loads,

broadened in response to the needs of the railroad's cus¬
tomers and presages a new era in railroad transportation.

mone¬

IPRW' w

'•

starts

consumer

Worldwide volumes of product
sales, production of crude
oil and refinery crude runs for 1961 were the
highest

Franklin

A new concept in transportation which is
adding to the
railroad's traffic volume is the rail-highway service pro¬

rather easy

the

M. J. RATHBONE

1961

alone.

Ml"l

total

President, Standard Oil Company (New Jersey)

of the Pacific

an expenditure that will be more than
recovered each year in the tri-level movement of autos

With respect

HMfcmm/Kprnt

particularly

curate forecasts.

demands.
in

are

consumer's

recent years almost all forecasts have carried a
"if." Everyone hedges with "if no war" and "if
not long strikes." It is the nature of our world which
makes us recognize that forces
beyond our control can
upset the most carefully laid plans and the most ac¬

spent approximately $800,000
on a unique project of
lowering 31 tunnels in five moun¬
tain ranges to provide clearance for higher and wider

year.

the

summer.

automobile

retailers
to

big

hauling of automobiles and piggybacking
have been growing steadily on the Milwaukee Road and
other railroads and these gains are expected to continue
at
an
accelerated
rate
during 1962. Because of
growth the Milwaukee has obtained more equipment to
The Milwaukee

J|^H

relatively free from the boom and bust aspects of other
expansions. Eventually problems will develop
that we have to be met, however. At the moment it
looks as though this will not occur before 1963.

The tri-level

meet the

not

postwar

favorable influ¬

out

has

economy

Almost anyone sees a growing
economy for 1962. For
the first six months growth should be
rapid with few
hazards of over-expansion.
The full year should' be

Park, 111., In¬
dustrial District by several forest products companies.

of the pos¬

Shoe

end of

much larger carry¬
crop than in 1960. The

of lumber

sudden return to free

importance of the lumber industry's current and
future use of Milwaukee Road facilities is pointed up by
the fact that new warehouses are being or have been

sibility of a work stoppage in the steel industry this
Stepped-up consumer purchases will be ac¬
companied by a rise in consumer credit, particularly if

did

building is expected to increase 4% to 8% in
a fairly good year is in store for non-residential

total

cars, homes and TV sets does the
shoe retailer feel that the total economy is sound
enough
to rebuild inventories. For these reasons the consumer's

The

enterprises.

his

when

Northwest.

rising demand for credit

„

construction. These gains should have

extent inventory borrowing will reflect the ac¬

some

expected from the 1961

Home

to be in the offing' GTO'Wth of sales, inventories,
investment expenditures indicates enlarged finan¬

cing

1962 and

appears

and

good movement later although

buying mood, they are cautious even
during periods when shoes and other
soft>goods are selling well. Only-

the states served

constructed

prospects,

ices.

amount of small grains in storage for movement is below
that of a year ago.

ahead.

%
In view of these

re¬

flHMMHHHi

get excited
need for goods and serv-.

sensitive

Domestic demand for soybeans is good and soybean
exports are expected to increase sharply so there should

half of

major difference is

the

consumer

about

by the Milwaukee there was still
in storage on October 1 a large surplus of corn available
for future movement. Seventy per cent of this corn in
storage was owned by the Commodity Credit Corpora¬
tion, indicating that future
movement will depend
largely on the government's policy in selling corn.

the

environment

the rise in interest rates

has in storage in this country

The

Although

the

grain into the market.- Domestic sales have been
increasing and this could have a favorable effect on grain
carloadings of the Milwaukee Road.

neighborhood of $500 million. Under

levels.

advancing since last February
of
1961
retail
activity was
sluggish. In spite of record incomes

moderately easy mone¬
tary
policy as
evidenced by the
maintenance of aggregate net free
reserves

many

most

than 2 billion bushels of corn, grain sorghums, barley,
and oats. With prices advancing, surplus managers ship

Reserve

Federal

The

adhered to

ported in the Milwaukee Road area,

to Dec. 20, total loans of
Reporting Member banks

year

1962.

been

Grains and lumber are important commodities trans¬

models. From the beginning of

1962

the

before

good

turing reached its previous peak in

new

sales

1960

freight cars. Among other advances planned are
the use of television in yard operations and expansion of
its radio communications network.
:v
for

industry expects

that the retailer went against record
1960 figures whereas shoe manufac-

ture, is showing its confidence in the year ahead by
budgeting $1914 million for capital improvements during
1962. This total includes the expenditure of $8V2 million

Philadelphia, Pa.

shoe

1961 was a disappointment. So, the prospect of
improved sales is particularly welcome. Retail shoe sales
and
production last year were almost identical with

Road, as an example of the progressiveness of the railroad industry in building for the fu-.

most

The

The Milwaukee

POTTS

RAND

spects

expanding economy such as is in store

moving upward through
1961, the demand for credit in the private
These are improvements adopted with the aim of getsector was not vigorous. Outstanding consumer install¬
L ting and retaining more business in the area served by its
ment debt leveled off, in large part reflecting the dis¬
10,600-mile system stretching from the Midwest to the
appointing
volume
of automobile
the

Although

public in

Thursday, January 18, 1962

HENRY H.

which have spent $17 billion since World
their plant, are well equipped to meet
demands that will be put upon them by shippers and

in 1962.

President, International Shoe Co.

of substantial improvement over 1960.

the

President, The Philadelphia National Bank,
;

Road earnings
than in 1961, a

Milwaukee

War II to improve

thinking management, when furnished with modern

The railroads,

corporate tools, will find success in the year to come.

FREDERIC

reflected

will

which in 1962 should be as good or better
year

problems. Without a doubt, it is the company that can
plan
product
development, improved manufacturing
methods, new marketing techniques and streamlined ad¬
ministrative approaches that will move ahead in 1962.
We at Lehn & Fink Products Corp. maintain that for¬
ward

Commercial and Financial Chronicle

The

(354)

between

and

5%—a

growth

which

Jersey

expects to participate fully.
In functional terms,
itures

crude oil and gas;

chemical

for capital expend¬

our program

is apportioned as follows:

43%

for production of

25% for refining petroleum and petro¬

facilities;

20%

transportation and other
Our research efforts to

for

marketing;

uses.

and

12%

for

develop

new uses

of oil mate¬

$565 billion to
$570 billion level by the end of 1962.
The railroads
will share in this
business upswing.

waukee Road has intervened in the hearings on the
pro¬

by Jersey's scientific

posal, asking that certain conditions to insure free rail

gineering Company, for the

plosive expansion

competition be laid

making blast furnaces is being widely adopted in Eu¬

Although

pated

merger,

the Mil¬

ex¬

boom is antici¬

for the railroads, the outlook
general and steady improve¬
ment in the
industry during 1962.
is for

William J. Quinn

down

by the Interstate Commerce

Commission in any approval of such

merger. The Mil¬

waukee will oppose the merger if the conditions
met.

are

not

rials continue to be productive.

rope,
now

the

A technique developed

affiliate, Esso Research and En¬
use

of oil

Asia, North and South America.
under way

uses

could result in

petroleum products.

fuel in iron-

Research projects

further broadening of
-

Volume

Number 6126

195

The Commercial and Financial Chronicle

are.

President, General Mills, Inc.
The

nation's

achievements

and

stronger. Economists agree that it will be more robust
in 1962 than in 1961. When they disagree, they reflect

when

indicators

1961,
point

their

such

With

course.

yjHr**

Sales of REO

both

inventories

during the
wrap

films.

One

the

nitro¬

year.

major
meats.

to the

;V:v

rapid sales gains of this superior product is due
bloom

excellent

retention

which

enhances

sales

can

be attributed to the

success

of this product.

Rapidly Growing

New Use of Cellophane by the Coffee Market

During the year, the company has worked closely with
package fabricators and coffee marketers to develop
various uses of Avisco cellophane for the coffee industry.
Cellophane is now being applied in three different ways
to give packaged coffee added freshness and to lock in
coffee flavor and aroma. Not only does this improve the
product for consumer use, but it adds shelf life for the

V/.

retailer,

-•

•:*

J •.;• >

•

Developments in this new market include a cellophane

successful" packaging of red
'Vv ?
v
*.■

;

Continued

new

to continue its increase with acceler¬

speed.;* Government spending
passed by Congress last

ating

programs

will push the economy forward

year

Gen. E. W. Rawlings

well into 1962.

behind

during

„

„V

problem. It is normal, how¬
the number of jobless to, lag
recovery. We can therefore expect un^:

Unemployment lingers
ever, for a reduction in
a

as a

KMplif fan wlH

'employment to recede as we move ahead in 1962.^
Like

tries

economic

most

not

was

uniform

the

advances,

in all

excellent

offer

recovery

1961

The food and feed

areas.

indus¬

which were reflected in
Though extremely competitive,

examples

General-Mills' operations.

foods-business during 1961 was
:godd;r armed -with 'growing Incomes, American families
the- convenience package
demanded

iiw Jitiif t

convenience, quality and variety in their

foods, and they demonstrated their confidence in General
Mills products. In contrast, the feed industry has been
hard hit by severe overproduction of turkeys and broil¬
ers. Although'Consumers; have benefited from favorable
prices, for- poultry products, the. profit squeeze- has been
so
severe that
turkey and broiler producers and those
faced substantial losses.

them have
Mills is no exception.
financing

the economy advances

htin..

flafi Mils Strata!

General

in 1962, the food industry
Grow¬

General Mills should share in that advance.

and

each year more mouths to feed.
Busy homemakers, some working outside the home and
all with more varied activities than ever before, con¬
tinue'to demand foods of endless variety with built-in
ing population gives

convenience.
the

High and growing incomes give consumers

to buy the products that meet their wants

ability

and'needs,

•

Other phases of the company's operations should bene¬

fit

from

generally

expanding

economy.

the -General Mills Electronics Group'
to

In addition,

will be in a'position

gain from government spending for defense.

;. -

Clearly, then, 1962 comes in as a vigorous infant. From
visible indicators, given freedom frpm war, it will mature
-

in health and

Chairman

|;j; A;w-.c-;c

''•

vigor.:'

dr.

frank h.

the

reichel
Chief Executive Officer,

and

Board

American Viscose Corporation

Sales of Avisco cellophane were slightly ahead of 1960,
making 1961 another record-breaking year?- despite heavy

competition
.

from other type films for packaging

poses,

pur-

Higher

sales

are

attributed

to }

..American Viscose's continuing im¬
provements in existing films and the
-development of. new ones.... Cello•phanes advantages, as a transparent ;
packaging ;film'; are.- its
superior
ability- to. protect .flavor and aroma ,
of food items; its attractive sparklergloss and clarity; ease of printing;
-its. durability
and its trouble-free
machine performance.
r
Further growth of self-service re- ;
tail merchandising also accounts for ,.
a major part of
cellophane's growth-;
in the packaging field, as does the •
growing use of cellophane as a base

material

combination

with

other

Reichel

Dr. Frank H.

type films.

Sale of RS Film Up

film, American Viscose's polymer resin
cellophane, found increasing use by customers
RS

coated
during

machineability advantages over

1961. Avisco RS film has

One

reason

New

Jersey is such

increase

in demands

With the

great state is that it is continually

for

power.

responsibility of serv¬

competing film of this type, a major cause of the jump
in sales. Compared with standard lacquer coated cello¬
'

growing. Its industry is growing.

phane types,, this premium performance wrap offers su-

ing nearly 80% of New Jersey's

Its business is

population with electricity and

perior moistureproofness, stronger heat seals, and excel¬
gasproofness and dimensional stability. RS film is
finding growing uses for wrapping baked goods, candy,
snack items and tobacco products.

lent

;v.,-"T" Films Gain Markets
Avisco

these

"T"

films,

introduced

commercially in

1960,

1962.

•

growing. Its

popu¬

growing. And to meet the

demands

this

gas,

Public Service must

•>

the

anticipated

past year
invest

million to

always be pre¬

saw

Public

than $120

expand its facilities.

Without

trying to count the pro¬
verbial eggs, Public Service sees no

bring. That's why Public Service
planning boards are always gear¬
ed

the

Service

growth trend

pared for what the future might

gain sales increases during the year and
increased markets are expected to grow during

continued

lation is

reason

continued

why New Jersey's growth

should change in 1962.

pattern

special combinations of two light gauge
cellulose base sheets with a thin polymer resin inner
"T" films

•

are

ply and their constructions give them extra package
durability, improved moistureproofness and gasproofness,
and strong heat sealing characteristics. "T" films are

I being

used in many food and non-food applications.
New

High

Yield Films Introduced

During 1961, the company announced the availability
high yield Avisco cellophanes which offer greater

of new,

meat

for

This outstanding, premium performance

contribution

its

displays and its durability which eliminates costly rewrapping. Much of American Viscose's high celophane

is widely accepted by food retailers and it made a

plants and equipment will
climb.1 Consumer spending is likely
and

m&i

for

spending

ness

coated

designed

REO, the Avisco film especially coated for the super¬
market wrapping of meats, increased sales considerably,

economic health oi the nation
1962

start, the
during
should be extremely good. Busi¬
.running

films

products.

upward in the spring, and they have
maintained

yield increases—a new, polymer coated,

nitrocellulose

turning

began

were

film because of its high grease re¬
sistance and anti-cockling properties is recommended for
packaged baked goods, chips and snacks, and similar

recession. Almost all

1960-61

the

its

reached

economic

early

weakest

since

strength

gaining

;;

film categories

Three

field.

The polymer coated

C--.

^HK

The
to

packaging bread and
baked foods, while the other is ideal for tobacco products.

only differing opinions on the amount of improvement.
Actually, the economy has been
•>!

two

cellulose

this

involved in the

and growing

hearty

healthy,

economy

per pound at no increase in price. The new films
indicative of American Viscose's continual technical

yield

e« w. rawlings

general

(355)

PUBLIC

SERVICE

AND

ELECTRIC
.

GAS

COMPANY

Newark, New Jersey

page

The Commercial and Financial Chronicle

(356)

to meet the

Continued from page 87

duplex (two-ply) bag
completely of cellophane,;
developments
are; highly

a-special

drastically and reversed the profit decline

which

pected for the coming year,

j; 4

Interest

overwrapping

the

;

cartons

egg

•

field for the

new

continued

retailers

and

this

use

momentum

add

I:*

competitor in its ten-state operating territory and build
solid base for continuing growth in the years ahead.
S.

REYNOLDS, JR.

the Avisco cellophane egg overwraps are
to gain increased application. Overwrapping

1962,

expected
■

accompanied by

ers,

fresh longer and is the basis
aggresive promotion efforts by egg packers.

the United States aluminum industry
in 1961 from the

f;
■II

Films

7:,New
Several

Stage

Development

ments

major cellulosic-type films are currently

new

development in American Viscose's film

under

10%

research

they arise and the improvement of

existing films,

transparent packaging film, the company

pressure

13%

improved

rate

produces
For

decline

also manu¬

casings and amino plastic

gain

foreign shipments

HENRY

tons,

basic chemicals for

the

chemical

and

CARL

priced

1962

can

such

Europe

and

expect to

obstable to the cheaply

produced

estimated

smaller, less conspicuous and
technological
advances
are
being made in perfecting tiny, cam¬
ouflaged
electronic
hearing
aids,
such

Otarion's

model

These

ear.

$60 million in

or government

dime-size,

that fits flush
will

over-50

help

selfwith

push

the

-7:7:4747
hearing aids is in¬

of aluminum in the United States. This

well.

can

JOHN

New

Products

such

Corn

dustry.

company

Stores Incorporated

one or

news.

big

unusually

products.

year

importance

two

this

then,41961

Corn by

ranked

clearly

was

Year of New Products: For the

This

and

agriculture,
significant,

new,

The

(1)

of the

than

continuing upward
costs

curve

with

and

deal with
of

such

the

opera¬

•

specific

took

use,

and

the

tition.

area

quality foods

twelve

real

months

challenge to

will
man¬
t

agements

of
supermarket
chains,
particularly the larger chains such

Carl J. Reith
*.

Colonial Stores. Productivity in all areas of
opera¬
tions, from warehousing to stenographic pools, will be
exposed to new -tests. Merchandising and promotional
as

will

subject to

new

profit yardsticks. The

efficiency of managerial, supervisory and staff personnel
will have tp exceed-the highest levels of
preceding years
if operators are to achieve a reasonable return on
sales,
capital invested.
At Colonial Stores, we
011

think

are

good

shape

American

created

market.

seven

flavors

believe

they

advantage the prized gourmet flavor
product

with

manded

incidentally,

the

John R. Rhamstine

meet

hearing are learning that hearing aids, a
application of electronics, are designed to
specific needs and to contribute to their

their

comfort

Knorr

combine
of the

for

the

best

any

and

well-being without setting them apart in
:;

way.

They

are

learning that the hearing

aid industry has

come a
long way from the era of the ear trumpet and
speaking tube. Before a person is fitted with an aid

today,

for

example,

an audiotician carefully tests for
hearing loss involved, and its type. Some
may hear very well at the middle frequencies
at the higher ones, where "s" sounds are
formed.

the amount of

homemade

being produced at a new automated
plant in Argo, Illinois. Full-time
production got under¬
way in July.
Heightened interest on nutritional values in food, due
in part to the medical
profession's investigations and its
,

fitted

most intimate

characteristics de¬
homemaker.
These soupsr

are

of the hard of

easy-to-prepare

American

persons

Education is receiving close attention from the
indus¬
try in general and Otarion in particular. More and more

dehydrated Knorr soups. Though new to this
country,
Knorr, a Corn Products subsidiary, has been making
quality soup for over a hundred years. Today they rank
as
Europe's best seller. Capitalizing on our European

experience,

progress has been

hearing improve substantially after
with hearing aids.
This is a
market with great
potential; it is just beginning to be
tapped.
.; . ■■ ■ ■.
;;\ 7 7' 7:<•'

coming

followed by "all-in-one" aids that eliminated

was

of the hard of

ance

major

impetus

new

tubes to hear¬

a growing real¬
hearing aids in many areas, such
as in business and industry. It is a fact that the morale,
efficiency and over-all business and industrial perform¬

these

toward

step ahead with the
very successful national introduction

discount house compe¬

convenient

(2)
more
products
with
built-in
nutrition values. This past year saw
Corn
Products
emphasis : on both
trends.

involving
473
stores,
place last year. And we

mergers,

prepared

a mounting trend toward
high quality products which

1933.

industry received
application of vacuum

Accompanying this

witnessing
are

examples:

ization of the value of

products

industry is currently

grocery

offer good

and it, too, was incorpo¬
hearing aids.
1955, Otarion introduced the eyeglass hearing aid,
adding a new dimension to hearing aid design, and
that was followed by behind-the-ear
and ear level aids.

put into national distribution.

competing

years

hearing aids, which amplify sound
through the bone behind the ear to the

and

believe

rated into

the

were

hearing loss,

separate battery packs.
Then came the
transistor,

home,

be¬

chances

ing aids.

business

year, the
successful
items would be important

for

the

conduction

with the successful

any

new

regard,

year

mil¬

person

middle ear, were introduced in
Six years later the

More than any other time,

history,

our

critical

are

The last 30

Bone

RHAMSTINE

Products.

introduction of

REITH

are

by 10

that more and more people in this
Leland E. Rosemond
older segment of the
population will
be seeking the
hearing comfort an aid gives. Technologi¬
cal and engineering
progress
and education are two
other major factors in the
growth of the hearing aid in¬

-;;

President, Corn Products Company

aggressive merchan¬

result

greater

that he will suffer

be done

grew

The older

and transmit it

studies, we
approximately 800

supermarkets

population
the

comes

dustry and phase of daily living in the United States.
Today the metal's potential is just beginning to be real¬
ized in many foreign nations, while its use in
highvolume applications is continuing to increase in the U. S.

recent

see

comfortable.

1961.

The market for

During the past 15 years, aluminum has grown from
limited applications to uses in virtually every in¬

acceptance.

industry's volume to $70 million in
1962, compared with an estimated

very

many uses

10 million Ameri¬

who

Great

home.

overseas as

for the American food dollar during
the coming year. We can anticipate

activities

ROSEMOND

even

additional

pose

growing percentage of

cans

Japan, although compara¬
effect on domestic markets.

some

believe

successful year.

can
benefit by wearing
hearing aids will be
turning to them for assistance in 1962 as the aids grow

prices below the domestic market. Low tariffs
ingot and 2.5c on semi-fabricated items have

industry

According

and

that

ance

higher quality,

products

course, are not the sole reason

lion persons.

decade.

thus

alone, of

LELAND

Aggressive merchandising programs of
the three older producers have created a
great accept¬

intense competition in the food distribution industry,
continuing the pattern that has persisted for more than

The

supplemental

President, Otarion Electronics, Inc.

foreign producers have been able to de¬
semi-fabricated metal to any part of the United

the

creasing steadily. In the last decade
alone, for example, the country's

problems

for

grinding operations.

The aluminum industry has gone abroad to manufac¬
ture products for the foreign markets, and we are doing
what we can to stimulate markets Overseas as we did

Henry H. Reichhold

Nineteen-Sixty-Two will undoubtedly be another

ting

believe

now

been

consumer

President, Colonial

took

was

the

growth pattern of larger sales and better profits.

1961

subsidized metal from abroad;

Chemicals, Inc. has contracted to purchase
from several
petroleum companies, the much-needed
better basic chemicals, such as naphthalene and benzol,
at lower prices.
With the steady availability of new
petroleum-based products, RCI expects to continue its

that

Some

of 1.25c

industry is capable of finding

products that will find

must

market

our

vitality and growth prospects. On this
score,

>•••■■

States at

Reichhold

here

The chemical

stronger,
dising as

shipped

1959 when 2,480,-

contained

in¬

for all available basic materials to develop

1,4

tons

2,332,000

liver

items.

can

the

our optimism at Corn
Products. We also have a most
successful world-wide sales effort in behalf of
our many
established brands. New
products, however, are an im¬
portant yardstick by which to measure a
company's

Reynolds, Jr.

In many cases,

Currently there is a surplus of several raw materials
in the industry but chemical manufacturers will find new
uses
for
this
surplus
as
prices
are
lowered.
The
petroleum industry should not fear going into new fields
even if the products they are to make are in
over-supply.

broaden

New products

improve,
vigorously.

Imports from

certainly be keen. The end result,
though,
will
be
higher
quality,
reasonably

new

shipped.

tively small, have had

dustry relies more on products made
by petroleum companies, competi¬
tion
among
these companies will

new

the

over

year.

petroleum

chemical

the

consumer.

R. S.

the aluminum industry should move
In the year the automotive industry
returns again to producing 7,000,000 cars, new housing
starts once more number about 1,500,000 and 30,000,000
or more major appliances are sold, the U. S. aluminum
industry's overcapacity problem should be substantially

industries, but of equal importance,
the

newly established Feed Products

Prairie, Gold

markets

This development will benefit not

only

our

introduced

In 1962, if the general business recovery in the U. S.
continues as many economists expect and international

industry.

our

increase

Aluminum's record year was

corrected.

;

„

for

000 tons were

ahead

because its brilliance; and clarity vr.
attractive and taste appealing confections.

agriculture,

derived from

shipments, both domes¬

in 1960.

is rapidly shifting to the chemi¬
cally purer products being produced by petroleum com¬
panies and this will result in better materials for the
upgrading of consumer items including many plastics.
This is a very healthy sign for the
industry which for a long time had
to rely on raw materials that are
by-products of another process. This
week, for example, RCI is using its
last naphthalene produced as a by¬
product of coal tar. We at Reichhold
hope that the petroleum companies

Products

meal,, a high protein
major ingredient in poultry feeds.
Prairie Gold is the first
produf^born of a new program

tic and export, will be about 2,400,000

The chemical industry

•4">

product,

industry

concentrate used

sales volume.

REICHHOLD

New

Division

was

Total 1961

Year

fectionery

largely fabricated
and semi-fabricated products. Pres¬
sure on prices of a number of prod¬
ucts tended to retard gains in dollar

will continue research in developing

tf?

the

the greatest killer of
v.
» r'
- ;
\
" •*[
certainly applies to our
industrial business. Among the
major innovations.were"..
Mor-Sweet corn syrup, a; high maltose
syrup
with a
variety of uses. It's particularly favored by the con-iThe

mainly in ingot, while the do¬

mestic

President, Reichhold Chemicals, Inc.

it?

1961

puppies.

15 to 20% above comparable

The
was

molding compounds.

roundworms,

about

Exports, which rep¬
of 1960's total ship¬

1960.

And

ration made available to veterinarians for the
prevention
and treatment, of

periods in 1960.

Viscose, the second largest producer of
the world, has an annual rated capacityof 150 million pounds. Its plant at Fredericksburg
Va.,
is the largest cellophane plant in the world. In addition
factures cellulose bands, meat

modest recovery

ship¬

show

should

customers

shipments
much

American

—

Two other household products introduced during the
were Shinola Scuff Armor, especially designed to
and protect the cuts and
scrapes7 of; children's
shoes
and Kasco Mom'n 'Pup dog food, a medicated

ments, will be about 50% lower. In
the latter months of 1961, domestic

cellophane in

spread

cover

generally lower business levels of 1960.

figures

over

resented

and after careful field evaluation, it is expected
they will be intrduced to packaging men in early 1962.
In addition, the coming year should see the development
of other new film to meet specific market opportunities

Products.

Final

program

table

year

sharp decline in exports, netted

for new,

r';i

in shipments to domestic custom¬

A substantial increase

with cellophane keeps eggs
^■'i i

Colonial

firm

under the
name
of Mazola margarine, was introduced nationally."
The same
patented process used
in our premium
Mazola margarine was also adopted in 1961 for an old
favorite, popular priced Nucoa margarine. Over half the
vegetable oil in new Nucoa is now in liquid form making
it the only popular priced margarine with
significant
polyunsaturated benefits. •
.,7.'*

increasingly successful

President, Reynolds Metals Company

for manufacturing margarine. This
which permits the incorporation of liquid corn

thereby preserving the
polyunsaturated benefits of the oil -— was patented by
Corn

in which

•

But several years ago we developed a revolu¬

new process

process,
oil into

7 ;

year

will establish itself as an

«4;:%

should

1962

brief,

Stores

of Avisco cellophane. This new

tionary

'» **

1 4

fractionally

declined

sarily merely to build sales volume.

packing idea was introduced by,.Amengan yispose in
1960 and, in addition to egg packers who are already
finding egg overwrapping nignly encouraging to sales,
several
large egg marketers
are
market-testing its

possibilities.

is to build sales volume,'
last year, and we propose

soundly, rather than impulsively, in this direc¬
We are determined not to sacrifice profits unneces¬

tion.

•

among

■

packers

rated fats.

ceding three years. *
7
Our immediate
objective

Egg Overwrap Pioneered by Avisco

M
(

of the pre¬

to move

;dS?

the

months,

." 4,.
:
exciting to coffee
packagers and additional commercial application is ex¬
These

Thursday, January 18, 1962

concern over the amount and type of fats in
diet, led to the national introduction of two new
margarine products. More emphasis is now being placed
on
increasing the intake of polyunsaturated. over satu-,

under what is virtually a completely
management team, we have streamlined operations

new

resulting

sixteen

made

competitive threats of 1962. During the past

•

outer-wall, and
construction which is

inner-liner for coffee bags, a celophane

persons

and not

Others may not hear low frequencies.
A

scientifically-prepared phonetically-balanced list of

:•

words,

comprising all sounds in English speech, is
played from a recording, and the person
undergoing the
6

Continued

page

89 s

Volume

Number 6126

195

Continued from page

88*"

•

The Commercial and

- <»

■

repeats them;

Trenton

ROERLING

Chairman

and

Trenton* N. J.

;

our

Product

IflRHp

I am amazed at the diversity
opinion

prominent

among

and

two

over

enter

1962. Banks

1961

sales hit

and

the billion

profile

—

year, up

last

year's

frigid

homes

1961

the close of the year. We look

to 238,000 jobs at

growing economy to add about 10,000 jobs dur¬
ing 1962. Unemployment last year hit its high at 7.5%
of the work force in January and February when job¬
less totaled about 21,500. By November the jobless had
been worked down to 5.1%. For the first half of 1962

1961,

1962 would result from

'hy

Continued

figures

certain, the tax structure must be
overhauled, and another item is the

played

Part

which

the

by
be

must

profit squeeze,
present

avoided and

corrected.

tendencies

To this end Congress is mine! iu of
burdens that are throttling the

Mary g.Roebiing

tax

efforts

the

economy

to adjust itself into

orderly

progressive unit of usefulness. The profit squeeze is seri¬
ous. Business must trim its costs as price increases will
help, in as much as inflationary forces must be kept
creeping category.

not

the

salvation of some businesses
the advent of labor-saving proc¬
discovery of new and profitable items that ap¬

Research may well be the
that

can

prosper upon

esses

peal to the consumer with additional income to spend on
these things he or she wants or needs.
>
'
The year 1962 will be a year of moderate gains. Plant
payrolls are indicative of more money for workers than
in any previous year's beginning, but the deductions are
many and the net contents-of pay-envelopes may not
make extreme spending possible.
The American people
are
saving more directly and ,also placing increasing
amounts in variousV media—the stock market, mutual

funds, etc—all of which, along with ,emphasiston current

reduction, naturally removes vast sums from the
free spending reservoir that would otherwise be used to
:purchase-goods^and services and thus make 1982 far
more exciting in sales. I agree With Dr. Nadler, consult¬
ing economist to the Manufacturers Hanover Trust Com¬

of a plant-site move, take
good look at Long Island. Open land for ground-up
building, tailored space in new Industrial Parks is
here—and available. Highway, rail, air-freight facilities
If

you're toying with the idea

and the Port of New York are at your

cated in the nation's 4th largest
ter of the

door. You're lo¬

market-in the cen¬

world's largest Metropolitan

Belt. Skilled

-debt

whose article recently headlined—"No Significant

pany

Upturn Expected; Excess Capacity Cited." This item of
excess capacity is important, as in the case of many prod¬
ucts wherein the demand is soon filled and the export
market

use

barred by

competitive production abroad

tariffs.

HAROLD

last

free

enterprise, capital¬
the excesses
from the previ¬
ous
expansion phase had been cor-,
rected, the economy demonstrated

istic

our

society.

which

had

Once

resulted

.: the same resilience that we

the

had

seen

recoveries
of '49, '54 and '58. In contrast to last
year, virtually all major indices of
economic activity are now in an up¬
ward trend, indicating that 1962 will
previous

new

see

the

crease

•seems

postwar

records

this nation's
i

the

measure

economic output.

field

banking,

in¬

in earning assets and deposits

assured. In recent years bank¬

have

Harold e. Rider
capably handled the prob¬
personnel
and equipment. Now they are faced with the prospect
of increased costs in the form of savings interest. We
are
confident that this will not restrict the prospects

ers

lems of increased costs for

;;

for a record year, but, to the contrary, will allow the
banking fraternity to be competitive with other thrift
institutions in obtaining savings deposits. As the rate
of economic activity increases, we look for slightly high¬
er
interest rates on the earning assets, a factor which
when combined with increased deposit levels indicates
that this year's earnings will compare favorably with
1961.
As

will

the

previous postwar recoveries,

the

consumer

provide the largest upward thrust through in¬
spending for goods and services, but business¬

creased
men

will

make

an
important contribution in the form
spending for plant and equipment as well

increased

inventories.

economy

addition

these

positive factors the

will be further stimulated by increased spend¬

ing by the Federal, state and

local governments.

spite of all this, our economy is faced with some
serious problems. A prolonged work stoppage in the
steel

industry could have serious implications and give

rise to

For information

painful slowdown for the

By the-same token,

too much

put, because it likes to live

Plentiful power-both gas

-is available for all

and electric

industrial needs.

concerning selected Nassau

and Suffolk County

telephone Industrial Development
Road, Mineola, L. I. Inquiries are confi¬

plant-sites, please write, wire, or

LONG

quarter of 1961 is particularly noteworthy. It is further
evidence of the effectiveness of the self-correcting de¬
vices in

and work here.

dential, of course.

RIDER

vigor with which the economy rebounded from the
short recessionary movement ending in the first

The

and unskilled labor stays

Division, 250 Old Country

President, The Fairfield County Trust Cok,
Stamford, Conn.

economy

whole.

activity resulting solely

the

from 4,500 last year,
in Fairfield County to 222,880.

that the layman's opinion may
good as theirs. One thing is

pears

the

construction
this
bringing the total number

weather,

in
the
banking
world. All cannot be right and it ap¬
sentative

over

for our

retail

first time.

record of $960-million in

dollar mark for

consumer

total.

•

freer

It stood at $975-million at year-end

Barring

in manufacturing—might well go

new

and

industry should add some 5,100 new dwelling units

Fairfield County's economy is bright,

components of the economic

incomes

■'v. Total.employment in the County rose to a new high

'■ ://

total

$1.902-$1.934-billion level, between 4% to 6%

believe that the prob¬

interrupt the long-term up

the billion dollar mark for the

Retail

econo-

not

the economy.

sales and value added

'-mists and even those who are repre-

will

above

The outlook for

and

increase,

1962.

added

enterprise system and the inventiveness of the

noted

trend

increase.

mal

economy

American businessman lead us to

Gross National
will keep pace with the pop-'

ulation

free

lems

look forward to a nor-

can

our

needed

opinion there will be no fabulous sixties, nor roar¬
ing seventies. This Nation is settling into a series of
stabilizing eras with occasional adjustment plateaus and,
perhaps, minor recessions/ For the foreseeable future,
business

higher

manufacturing should rise about 4%
1961.
Population by year-end will be close to 700,000, some
22,000 more than last year.
,
Households will increase about 1,300 and around 207,300 families will call the County home by the year-end.
Incomes of Fairfield County families should rise to the
Value

again demonstrate their ability to supply the credit
for sound economic growth. The flexibility of

will

In my

rooted

well

President,

Trust Company,

cause

Also, we must not lose sight of the fact that in
of record personal income and economic activity
generally, we still have a large number of persons un¬
employed. On the international side, we are still plagued
by an unfavorable baljance of payments. Additionally
foreign business will become increasingly competitive.
We feel that the forces of expansion are strong and

corresponding broadening of the hearing aid
market, augur continued prosperity for the industry.
MARY

expected

spending.

could

spite

■

distortions

disappointing last half for this

strike
a

year.

with

(357)

the

which would result in

From

•

anticipation

this, the audiotician prepares
a chart showing the exact hearing loss and the hearing
aid is adjusted to amplify in the needed range.
Further advancement of the state-of-the-art, coupled
test

Financial Chronicle

ISLAND
An

LIGHTING COMPANY

Investor-Owned, Taxpaying Company

on page

}

•

the

County, with the exception of Bridgeport,
should average 5% or below; The last six months may
see
the jobless down around 4.5%. Bridgeport's unem¬
ployment will hover around 6% and keep total County
unemployment close to the 5.5% level.
All aspects
considered, Fairfield1 County's economy
appears healthy and vigorous for 1962.

vocational training we also expect improved power tool

tain competitive

Since 1962 is

Automatic

our

should

mean

device

and

additional sales of

our

Drivotron driver

new

President, Bangor and Aroostook Railroad Company

tester.

year.

''"y'

of the Maine potato in¬
dustry is less than good. - Since pota¬
toes account for 28 cents of the.-/
Bangor and Aroostook's income dol¬
lar, a depressed potato market is a
; condition

considerable

factor

y/'■

earnings.The

■.;/;;;:>////•/:.•

difficulties

the

industry

has

area

that

/;./

■
beset

the

are

1962 has

signs of

been

not

result

•

long as potato over¬
production exists. Commodities other than potatoes show
improvement but little growth potential. Revenue pro¬

jections over a five-year period do not appear to indi¬
cate a large growth situation..
Realizing that large scale growth in railroad earnings
is not likely, Bangor & Aroostook Corporation is step¬
ping up its plans to diversify its interests.
During the
past yegrv

national

finance

which has been

company,

Railroad stock.

But with the most recent exchange offer

acquisitions during

1962.

have read the signs and portents correctly, and
believe that we have, the Bangor & Aroostook Rail¬
will

find

difficult0 to

protect

itself

against the
unregulated highway transportation of potatoes.
v
It will require increased public awareness, which must
be reflected in Congress and in state legislatures, of the
unfairness and economic unsoundness of present policies
before we can expect growth in potato revenues.
Mean¬

while, until these changes
.

sion

bolster

fields

WILLARD

President, Rockwell

St,')

be made,

can

railroad

our

additional

into

deter¬

are

earnings thorugh expan-Z
business.

'/■/////Z;./;;/;

sales

Manufacturing Company

should

buttress

1962.

tracted

likely

products

and

than

history.

ever
.

dicators,

1962

product
before

six

sharply in 1961, it seems
that the trucking industry

months.

with

downturn

one

means

W. F.

enues

midyear, industry rev¬
should easily rise above 1961

levels

with

resultant

meansmore

in 1962

benefit

and for power tools which

gas

demand for

utilities and distribution

our

gas

asfmore

and

our

DAVID

James A. Ryder

result of economies

measuring and regu¬

growing

relatively low
buyers for our

ebb.

Thus

power

there

consumer

will

tools for the home.

credit

per¬

is at

potential
,

Affecting our industrial power tool sales favorably
will be a* predicted 10%
rise in industrial production.
With school

construction

and

SARNOFF

during the lean months of early 1961, the
trucking industry is in a strong position to translate in¬
business into profits.

creased

If business continues

;Z
Radio Corporation of America

1962

could

the

one

the motor carrier

best

years

creased
-

■

PETER RYAN

President,. Royal McBee Corporation
The past year has seen the business

>' $

' ;

machines

restore

reasonable

■

whole

the

decade

ahead;

Royal McBee

of the most efficient

realignment

new

our

;;

National

products

s'./■>'

;

—

color

/V;

Broadcasting

Arctic

massive-

installations

Com¬

at'

Radar

Greenland,*.
•David Samoff
and Clear,.Alaska—were placed
in
:./"Z;/'^yr/yZ.
full-scale operatiomori schedule iri11961 by the U. S. Air
Force and RCA, the prime contractor.-/'
j ,// '/"/«"//; /"v;

equipment/
marketings

Against the backdrop of these and other corporate ac-

business. However, we believe that the year 1961 has
brought these costs to. a peak. We expect that our 19b2
losses,in data processing Will be approximately/ifalf o'f

ma¬

what they were in 1961. Each dollar

from

Thule,

complishments, the fact that RCA's profits for 1961 will
not change appreciably from a year earlier, is due pri¬
marily to the costs of launching our. newest important
;
business—electronic data processing.
// Since we entered the data processing field, RCA has
incurred progressively heavier annual expenditures in
this new and highly competitive, but rapidly growing

;

over

office

continue

•

products had. their

consumer

attack—the

will be introduced by Royal McBee in the business
chines field during 1962. -

the

achieved' in 1961 the highest
profit in its thirty-five-year history.
y The first two units, of the'-, nation's
front line of defense against miSeile

selling costs. These efforts began
to show material results by the mid-.;
die of 1961, and we expect this - to
Fortune Peter Ryan
continue during the year ahead,
/"-'}'
We have continued our vigorous program of product
research and development. Five major new
products

maintain

currents

pany

;

this

Our

The

meet

economic

the

profitable year since 1955. Th<ri?
were stimulated by substantial*;
increases in one* one of the-, nation's

have geared "
challenge;
through extensive modernization of
our production facilities, installation
/
ourselves

rode

1961

most

margins without sacrifice in product

quality or customer-service/*-This
goal, . in-fact, must be •• given high
priority in long-range planning for

vOiume.^drP^o^^ihty- ^//•"/":- "

RCA

dynamic growth
/television. /;\"M

profit

economy in the latter
judgment, .continue into

"sales

performance under current economic conditions.
The year ahead will be marked by

my.

with conspicuous success
its established businesses.

industry
facing a problein common to many other major indus¬
tries in the U. S.: that of achieving satisfactory profit

efforts

1962, promising for industry generally and for the Radio
Corporation of America specifically a new year- of. in¬

industry.

FORTUNE

the- American

1961; should,

months

■

of improvement,
in the history of

rebound

The

its present rate

Chairman of the Board,

V'_

fectj be

dollar added^jo' the

new

: gained will/, in efyear's profits. '/:,/ /

growing emphasis

;/^this. pqt^ntfai/prpfit/swihgi/plus/fh^ ;^ddi^^
/ that the RCA. earnings picture in 1962,: and the yearsahead, can improve: markedly^
.//;, //'#/'
With data processing now established as a basic ele¬

•

profit momentum
by

ment
to

number of

RCA's

assure

believe
the

have established

electronic

sound

computation and

Data

growth

data

computer

among

Our

sophisticated electronic data processor, the
which was introduced more recently/ now
approximately 30 installations and we have
substantial backlog of orders which should account for

tures.

year.

every

At the

believe, will continue to grow at a
fast rate because of the universal value of
compact elec¬
tronic data processing machines, not
only to large

them

decentralized

see

justification for

extravagant

"boom"

its
the nation's fastest growing major industry.

industry, RCA must be

to meet- increasing and formidable competition in

segment* of its business, both at home and abroad.
same

time, it must also be in

position to meet

the challenge of rising costs of doing business that faces
American industry- in general. The magnitude of this

con¬

operations, but also

As the leader in the* electronics
gearea

equipment;
disproportionately

using

Similarly, I expect electronics again to hold

position

The demand for such small-scale electronic

cerns

new electronics business that will
it develops and matures. As the na¬

relatively

ahead, I believe new records will be
achieved by American industry, in the sale of goods and
services, in consumer income and in consumer expendi¬

accounts for

during the coming

claims for the year

It is

While

low-priced general

business and scientific organ¬

about 100 additional installations

all-electronics company, RCA has the
research,, engineering, production and service experience,
well as other resources, to enable ,it to make important
contributions to, this evolutionary process, and to estab-;
lish a profitable business in this field.
y.-f'i?//'■. ''

RPC-4000,
a

processing is fundamentally electronic in charac¬

We are maintaining a satisfactory share in the indus¬
try's growth in our electronic computing and data pro¬
cessing business. Our Royal Precision LGP-30 computer
purpose

operations, it is our firm determination
an important position in this vital and

tion's .foremost

proc¬

essing field and intend to continue to focus our efforts
on equipment in the low-priced—under
$300,000—range.

continues to be the most widely used

being: generated by-color TV, and
traditional businesses, we believe

for RCA

change greatly

now

our

expanding field.?
ter.

water meters should broaden

income and the facts that

profitability.
(

tor carriers. As

instituted

izations and the government.

the market for

toward improving its markets and

that year

the '

financial position of the nation's mo¬

potential in

communities realize the value
of metering in water conservation efforts.
Consumer buying should pick up, due to
sonal

plex problems at the close of 1962, in my opinion the
industry will have made substantial progress during

•

poration,

Rockwell, Jr.

expanding market for

gas and water meters

And

seasonal

greatly improving its competitive opportunities,
While coal will continue to be confronted with com¬
is

and

Through Royal Precision Corporation, a subsidiary
jointly owned with General Precision Equipment Cor¬

by one:

lating equipment.
V

usual

efficiencies and productivity

in the interest of increased

surge ahead.
Continued expansion of

will

the

•;

R/E./Saivati,
/
/> "? ;
industry has completed its capital expenditure programs

Industry statistics show that in recent months one out
every three portable typewriters sold in the U.
S.,
including both foreign and domestic makes, was a Royal.

our

produce for the construction industry.
There is every reason to expect that the chemical in¬
dustry, a growing market for our valves, will continue
to

cbrir

were

single busi¬
quarter's sales of portable typewriters in our his¬
tory. Also October portable sales were the largest for
any single month in our record.
•;■•;■'■/;'/■/ ".lyrK;

refine¬

Housing starts will be up from
1,300,000 in 1961 to 1,375,000 in 1962.
This

ing program in an attempt to recoup
portions of its markets .previously
lost to competing fuels.. Much of the

inventories

considerably -ex-4

ness

look at the business in¬

/'^\v;.:///':

beyond improved prere¬
duction
and
sales,/> 1962 will play
an
important part in coal's future.,;

foreign machines. /•:•"* ;
-:
In the first quarter of our 1962 fiscal
year, which ended
October 31, 1961, we experienced the largest

i9.eo^%.://'-^v^-;r

%l Over and

will record a steady1 rise in intercity freight during the next four to

which

have introduced this past quarter

To take

one

typewriter market, we have continued
leading position despite intensive com¬
petition from other domestic manufacturers and inroads

our

and will, announce during

our

Because

optimism,
our
backlog off orders is 65% bigger now
than it was a year ago. In addition,

ments

•

Research/will

set last year and our earnings should
exceed the 1969 peak of $9,734,000,

new

'is; anticipated in the
utility, metallurgical; export,
•and
general, industrial markets
throughout: • the firstv half of; 1962,
with a leveling off in the second half Z
to a rate just slightly in excess, of V
■the second half of 1961, which is ah
\
■improvement over the same period
■.!

our

substantially
higher than the $125 million record

consumer

force to maintain better control

ROCKWELL, JR.

studies, reports and trends of the many
industries which we serve, we believe the nation is
headed fon a very good year in 1962.
At Rockwell, we are budgeting record sales and earn¬
ings for the next twelve months. Our

of
6%;

panded and the coal: industry, is pre-/::;
pared to launch a vigorous market-.;

and

On the basis of

1962

ated K demand

during the last few months of
gives every indication of con¬
tinuing well into the first half of /:

System, Inc.

good

sales

to; reflect

•electric

which expired Jan. 10, some 98% of Railroad stock has
been exchanged for Corporation stock.
The Corpora¬
tion management has set itself a goal of at least two

mined

expected

improvement over 1961, or an annual demand..for all
approximating 425 million tons. ; This acceler¬

A pro¬

suc¬

Further, diversification .efforts have been slowed some¬
what during the exchange offer oc Corporation stock for

;

should be

are

markets

RYDER

spend-

cessful,^ first:venture into- non-railroad fields.

road

coal in. 1962

forecasts,

economic

present-day

upon

bituminous

economy

Officer,

Island Creek Coal Co.

•

Based

the .Corporation acquired-Goal Credit Corp.,

industrial

generally to Continue its
swing, upwards, more nearly approaching the levels
originally forecast for the start1 of the so-called "Golden

Even

solicit

up, as

expect "the

improvement in overall earnings

1961

of a hold-fast period with no
indicated until; the new crop is planted

in the spring.

government

far as we at Rockwell are concerned, we
look for expanding markets for all our products. We also
sum

nounced increase in

the appearance

recovery

added/a

during the first half of 1961.

beneficial

//■ "y\\

ing

/.
The drop in revenues from shipment of potatoes has
been somewhat offset by increased pulpwood production
and manufacture of paper; but there is little chance for

have

.we

SALVATI

Chairman and Chief Executive

for the economy
and the nation,, with most key business indicators, show¬
ing almost complete recovery from the lows established

the

The year ahead

this year because
of 1961's overproduction.
There is//
no
immediate
prospect of a price
W.Gordon Robertson
upsurge during the spring of 1962;
stocks on hand of both processed and
fresh potatoes are at high levels.
The first quarter of

line,

JAMES

expected

was

this

President^ Ryder

oft
national overproduction. ; The effect
of new potato processing plants in
potato

Along

Sixties.

the railroad's

/'"/"•',

I/1

•

ably up: However, because of additional plant capacity,
will be more competition for this business in all

government business.

economy of Northern Maine,, the area served by
Bangor and Aroostook railroad; is principally in¬
fluenced by the prosperity of its potato industry and of
the pulp and paper industry.
"While the position of the
area s
paper industry is sound, the*

the

ment, continued to show a steady rise. We expect these
lines to continue their growth pattern during the coming

Drivofrainer training

services department through which we intend

/ The

The trend of government spending seems to be inalter-

fields.

efficiency;

•■/ During 1961, sales of our other data processing prod¬
ucts, punched cards and accounting forms- and equip¬

election year,

it will be a. good year
Voting Machine division; And the
growing interest in traffic safety and driver education

for

1962

companies which must main¬

to the thousands of smaller

area..

there

GORDON ROBERTSON

;

Thursday,, January 18,

sales in that

Continued from page 89*
all

*4;.

The Commercial and Financial Chronicle

(358)

problem is enlarged for companies such as RCA which
maintain their leadership and advance their future
pros-

Volume

Number 6126 V.

195

pects by devoting

Except

a substantial portion of their earnings
in research, development and the intro¬
duction of new products.
/
V
•
In a technological age where changes in products and
services occur with unprecedented speed, there is no
security for any company that fails to advance with the
march of science. But in RCA, as in many other large
and diversified business organizations, there are oppor-

pioneering

turities for

this

efficiency.
The

.v./;.'.

;

should

direction

result

; :

than

lasted

well

year

our economy is stronger today
at this time. The recession that,

ago

into

1961 is now a thing of the
past, and
improved substantially, with the prospect
that
for

1962

the

will

is welcome

ness

railroads,

news

for the nation's

which suffered

sharp de¬
earnings dur¬
ing the recession. Moreover, there is
increasing evidence that unlike in
the past, when basic inequalities in
the regulation of the railroads were
forgotten as business improved, sig¬
nificant

governmental

How, then, with prospects for continued improvement in
general business conditions, can savings banks look for-

leviate.: the

have

banks
After

among the principal benefi¬
of recovery, began to assert

been
as

in the second quarter of 1961—r

spending and corporate profits began to

consumer

"rise,

relatively less attractive^-mutual

forces

the

and interest rates generally began to stiffen—the
of deposits into savings banks began to tail off.

/ward

with

The

optimism through the year
lies not in

answer

may now

ruptcy of

•ahead?.;';']/;/J/'

the

examination of short-term

good year

very

economy.

The present improvement in busi¬

and

plight

action

the

al¬

railroads

be forthcoming. The bank¬
one Eastern railroad and

serious

financial

condition

number of other railroads in this

Stnart T. Saunders

cyclical movements, but, rather in longer term secular
trends. A decade ago, equities were rather obviously
underpriced, and the inflationary forces loosed by

re¬

gion have brought home" the fact that
railroads

the

must

relieved

some

the

onerous

burdens of excessive

regulation, unfair taxation and sub¬
sidization of competitors; A number of proposals toward
this end have been made, and we are hopeful that some

war-time government deficits had not yet spent
-much of the work will be performed
their force. Moreover, savings banks were laden heavily
-by the Corps of Engineers with their/ with low
yielding long-term investments acquired dur¬
own equipment and forces.also, on
ing the depression and war years when public policy
how much dredging will be offered;; ;
required interest rates to be kept at very low levels.
by private industry — airport and
But today, the scene has changed rather dramatically.
highway
fills,: land
reclamation, ? The past eight years have witnessed a remarkable degree
other miscellaneous work.
V ;• of
price stability which—barring adoption of an irre¬
There is deep concern in our in¬
sponsible Federal fiscal policy—should continue into the
dustry,, among barge operators, and
years- ahead. Stock prices- have risen, so rapidly that the
huge

action will be taken this year.

the

Despite
railroads

are

handicaps under which they labor, the
continuing their efforts to increase their

efficiency and adapt their services to the changing needs
of shippers. Since the end of World War II, the Norfolk

•

question that

was

business has

inflow

and

There is

cursory

themselves strongly
•

dredging industry for'1962'is proble¬
matical. While the appropriation for- sueh work by the
last Congress would be sufficient to keep the industry
fairly active on federal work, it remains to be seen how
•

SAUNDERS

revenues

ciaries.

The outlook for the

clines in

savings

A"-.
;

turn elsewhere became

SCHOON

Pacific Co.;

1962

—and people

;

President, Atlantic; Gulf

year
"

cally in recent years when the economy has slowed down
became reluctant to spend, and rates of re¬

.//.

management of RCA has

World War. The

STUART

President, Norfolk & Western Railway Company

particularly true in New' York City where almost onehalf of the industry's deposits are domiciled. This fact
should not be particularly surprising since characteristi¬

1958", this was

view of savings bank deposit behavior
in 1961 reveals that the bulk of the gains in new money
■occurred in the first half of the year, and that this was
Even

undertaken a vigorous
program for reducing the cost of operations all along the
line, and we are firmly resolved to achieve the goals we
have set for ourselves. This program, along with the sub¬
stantial progress being made in data processing,; in color
TV and in our other businesses, gives us confidence that
the years ahead will bring higher profits for RCA and a
greater return for our shareholders.'/ 'V.:.. T;

billion during the year.
the best annual dollar gain

of $38 billion—up $2

for

promises gains almost as large.

increased

excess

(359)

since the close of the Second

effecting economies in operations. Successful

efforts

Chronicle

The Commercial and Financial

and

Western has spent over $651

million

capital

im¬

industries

that

have

located

along

-notion

that yields on

provements, including $38 million last
these

stock in the years ahead
is hardly credible.
In addition, interest rates generally have been at more
/
normal levels long enough to become substantially and
increasingly reflected in dividend rates paid by savings
of public policy, established by the
v banks—which, after all, with their very low operating
/. Northwest Ordinance in 1787 that—
: costs
are an extremely efficient financial intermediary.
"The navigable waters
H. F. Schoon
v
shall be
All of which means that the savings account has* become*
v.
common highways and forever free
and is becoming an
even more attractive investment
without any tax, impost or duty therefor."
■
.V/ /'medium—a fact which the savings public, with the ef¬
In a recent
publication, The National Waterways Con¬ forts of the savings banks, will become increasingly
:
ference, Inc. said in part—
appreciative of in the years ahead including 1962.
-'

the

inland waterways

owing to low
cost water transportation, about the
threat of tolls or user charges. Such
charges would be a drastic reversal

will match

common

flat

which will be devoted to the continuation of
of

payable

folk

Through cooperation and
than hampering tactics, the

rather

advance

decline

interest

rates.

Western

lines

tween the

tial

merger

paralleled

our

program

hopper

the

with the

Virginian

Norfolk

and

lines

favorable

posed

of the two

railroads. As

experience

;///-

result

the Virginia

merger of the N&W

•

our

merger,

weL pro¬

Continued

on page 92

;4 It does not

seem credible that after the expenditure of
hundreds- of. millions of dollars to develop our harbors
waterways, new of vast benefit to the nation,

and inland
that

legislation will be voted which would largely nullify
of these great national assets.
:Down through the years harbors and
channels, have
value

been vital contributors to the growth of America. Their
usefulness and continuing development should not be
curtailed through/the; influence of selfish interests and

misguided legislation.

EARL B. SCHWULST
President, The

Bowery

Savings Bank;//

-/If•■/// New York, N. Y.?
The upward momentum

of the economy—augmented so
by- expanded retail purchases in the fourth
quarter of the past year—seems certain to carry the

strongly

economy to
of

new high ground throughout the first half
Moreover, I see nothing in *
history of business cycles since • -

1962/

the

World

War II—nor - in any of the
broad aggregates of spending—which

should

•

not

continue

-at

least

through the end of-.that
a

banks?

V/hat

mortgage
tions

bankers

will

market?

prime

These

interest

are

books

are

banks

will be

reports

are-.in

...

of the

rapidly growing complexes in America.

OG&E's Industrial Development Depart¬

ment is

telling this persuasive industrial story

to business leaders-like

centrated

national
/

yourself through

advertising and

y-j/;- :t";// 'v ; '

con¬

personal

includes OG&E's

con¬

235,000 kilowatt combined cycle

largest installation of its type in the

world.

During 1962 alone, OG&E will invest

than: 19 million dollars in construction

projects/ •'•>*•«';****/

the

ques¬

savings

Get

and

the

full

facts.

Write

complete

confidence to

Don

H. Anderson, Manager,

Industrial

De¬

velopment Dept. • Oklahoma Gas and Electric Company • P. O. Box T498 • Oklahoma City, Okla.
Earl B. Schwulst

ELECTRIC CO.

the

closed, savings deposits in all mutual savings
recorded as of year-end 1961 at slightly

one

be the

fledgling 1962 begins its
fateful flight through maturity and
old age .in 12 -short months .ahead'. ''
all

mile service

Company

steam-gas turbine which, when completed, will

When

most

J./ V

struction of
,

sayings

happen

square

where the industrial climate makes it

Part of this story

year. In such
setting,, how-will savings behave?particular*. what will happen to

savings/ deposits. in? mutual

the 30,000

of Oklahoma Gas and Electric

visitation.

suggests that the prosperity so con¬
fidently- expected for the first half of
19£2

Here you see
area

n^nnU

Pr.cirlant

n n

fhnirmnn

the.

RnnrH

very

and the Nickel Plate and

handling the type of business for which it is .best fitted.
Lowering bridge clearances, also a threat; would work
against waterway improvements and the dredging in¬
dustry. ' '
• .V 7v";. •///';
'/'/■. J' C

;

ser¬

other shippers

various components of the nation's transportation system
can benefit both themselves and the
public through each

the

be¬

This merger has made possible substan¬

economies in operations and improvements

vice, which have benefited coal and
the

Railway,

Western's

Virginia' and West Virginia coal fields and the

Port of Norfolk.

of waterways.

and

whose

together,

roller-bearing

last three years. This trend began in 1959 when the Nor¬

is the business

constructing 85-ton

cars-—the
only such cars in use in the railroad industry. '/
It is now apparent that the most promising develop/
ment in the railroad industry since dieselization is the
merger movement which has swept the industry in the

working

for

cars

coiled

Together with the general advance in anticipated rates
on savings accounts in 1962 has come (1) the
: fear that some or many banks may sacrifice quality of
and introduces competitive-dislocatibiis! between ^hallowassets for higher earnings; and:/ (2): the expectation that
draft and deep-water transportation-which woifld^cbfri-'
while other rates stiffen/ mortgage rates; will fail to
pel extension of the toll systems to the Great Lakes and ■V
regain the ground lost during the recent recession due
ocean harbors." k
j - ; u. *
4 * > .
to a combination of heavy savings inflow into savings
The disruptive impact of user charges would fall most / institutions ahd a residential construction sector still
severe! v upon industries most basic to the nation's econ¬
lacking-in much vigor. It is my conviction that both of
omy: steel, petroleum, minerals, electric power, alumi¬
.these notions are wrong. My confidence in the judgment
num, coal and others similarly vital. The public service
and-integrity of bank lending officers generally simply
values of much existing Federal investment in a vast
does not permit me to believe they could lend impru¬
natural: resource would be largely destroyed.
Further
dently merely for the sake of increases in yield. This
development and expansion of our Federal waterway
is obvious folly. Moreover, barring mass Federal subsisystem would slacken tremendously; the dredging in¬
dization, - the shiftability of funds within the capital
dustry would be seriously affected. 1
u,
%
^; market is sufficiently great to preclude anything more
Certain tonnage is the business of trucks—other ton¬
than partial isolation of any segment of that market—
nage is the business of railways—and still other tonnage
including the urban mortgage market—from a general
^

modern fleet of 561

some

gondola and covered hopper

...

"Any waterway toll charge, imposed by the Federal
on
any part of our domestic" waterways,
breaks a precedent coming down from our earliest origins

have

result of

handling pulpwood and plasterboard, and
cars equipped for handling
steel, bulk flour, lime and other specialty ship¬
ments. During 1962, we expect to make capital expendi¬
tures of approximately $40 million, a substantial part of

Government

we now

locomotives and

80,000 freight cars, which
is more freight cars per mile of line than any other
major American railroad. Last year we acquired thirty
new
diesel locomotives and over 1600 freight cars, in¬
cluding, in addition to open-top hopper cars, many spe¬
cial-purpose cars, such as boxcars with DF equipment,,

expenditures,

diesel

the past decade

•

those

year.

h/w) ^Vriy'^'W'

'i')

The Commercial and Financial Chronicle

(360)

Continued from page

for business success in the United States will
required for success in international markets.

necessary

N&W of the Wabash and acquisition of
the Sandusky Line of the Pennsylvania Railroad.
The
N&W-Nickel Plate-Wabash unification,
which
would result in annual savings conservatively estimated
the lease by the

service between the

$27 million and afford single-line

Port

Norfolk

and

important

many

producing

and

in the Middle West, was overwhelming¬
ly approved by the stockholders of the roads involved,
and is now being considered by the Interstate Commerce
Commission. We are confident that Commission approval
marketing

areas

of this unification will be

obtained, and

company's operation. Competition will
become more severe in the electronics industry, forcing
companies to rely more heavily on their innovative skills.
failures

MONROE

hope that the
before

prise.

give added impetus to a movement

help the railroads to survive as private enter¬

that should

' 7

■

" •

DUDLEY

•<,<♦>•••-

;T','

confident that favorable trends which developed

are

during the second half of 1961 will
continue, resulting in increased ac¬
tivity for 1962.
•*> :■
The creation of larger, highly di¬
versified
companies will
continue
this year. The diversified company,
composed of counter-cyclical units,
is in a position to withstand extreme
fluctuation in any given industry. It
also possesses the elements required
for continued growth and profitabil¬
ity. Our own company, as an example,
was
until a few years ago engaged

scientific

trical equipment industries will

marked

feel

better

witness expanding

mar¬

innovative

has

Recognizing this, our company
than doubled its research budget in the last
and undoubtedly will make further increases

two

years

given

New

orders

and

year.

product development is only one element, albeit
one, of a company's innovative skills. In¬

important

competition in 1962 will require stronger, more
aggressive marketing organizations. Moreover, manu¬
facturing and engineering departments will become more

customer-oriented, constantly striving to provide better
products at lower prices on shorter delivery schedules..
We in the electronics and electrical
equipment indus¬
tries should recognize that we are functioning in a critical

oratories.

not

does

private, or captive,
which,
while
very
substantial,
impossible to estimate.

two.

That

was

the

and electrical industries

shake-out in

1962.

number

million.

practical

way,

lion

feet

the

was

the

tially the

number

companies

That's less air than
It

the

was

participating

these

major activity of our com¬
pany. Two factors make us optimistic about future beer
consumption, to which malting is closely related. First,
the number of persons in the 20 to
40-year age group,
the highest beer consuming group, is
beginning to in¬
crease

tion

boom.

this age

delayed result of the World War
The

full

effect

the

popula¬

increased numbers

will be felt later in this decade. Second,
is pursuing a highly aggressive
promotional program to attract more beer drinkers. The
the

group

brewing

industry

combined effect of these two factors is
expected to
an
increase in beer consumption,

bring
resulting in an

about

increased

demand

for

malt.

Finally, and perhaps most important,

becoming

apparent that we in the United States must place
greater emphasis on the international dimension of our
bus mess. The unqualified past success of
the European
Common
the
a

Market—a

group

inclusion of Great

mand

strengthened by

Britain—establishes that union

most powerful economic

common

soon

trading force. Other possible

markets, in Latin America and elsewhere, de¬
we
adopt a global concept of business. Vast

that

opportunities exist for American firms to increase sales
and

profits

must

Those

through

planned

same

international

thoroughly

innovative

year

than

activities,

but they

and executed efficiently.
capabilities, moreover, which are

the

sink," for true simulation
utter

blackness

cold

achieved,

into

space.

was

the

of the
complete,

year

first space simulators large enough to place a
six-foot payload under test.
It was the year

which

practical low temperatures for this type of application
dived from minus 120 degrees Fahrenheit to minus 400
'

degrees.
its

Acoustic noise is

environment that will

into

come

This is

1962.

simulating jet engine noise, un¬
der controlled conditions, of such intensity that it will
tear metal to pieces. It is on the order of a billion times
the power of the violin string that will break a glass.
own

In
new,

1962

for

1962

based

the

concessionaires

and

turn

im¬

the

proved batteries of vending machines
to • provide hot meals in
industrial

office
buildings,
shopping
places of amusement.
Vending machines serve the public
through many conveniences, result¬
ing in lower costs and saving time,
not
only during the lunch hours,
Benjamin Sherman
but 24 hours a day, seven days a
week, in strategic locations.-- These factors have given
>
automatic merchandising a growth rate far in excess of
that of the population and the American economy.
b',rThbJ automatic vending service industry has been ex¬
panding at an annual rate of 12% during the past 20
years to the present sales volume of $2.5 billion. An
plants,

centers

and

sales volume of $6 billion by 1968.
data-processing machine recently preABC Vending Corporation is well prepared to participate
in this indicated growth.

dieted

engineers will also emphasize
combined environments, involving

devices, plasma propulsion systems and radia¬

annual

electronic

IBM

environmental

sophisticated

nuclear

optimism

continuing
progress
in
automatic feeding and refreshment
service through coin-operated ma¬
chines, as more and more retailers

space.

"shroud," or "thermal heat
the absorbability of the

i°

upon

today, the industry
greatest growth ahead

its

has

Our

equivalent of two mil¬

nearly 400 miles
the point of a pin.

1961, the automatic vending machine

it.

Monroe Seligman

which

SHERMAN

million

still

1981

normal

industry establishes another record year in its history.
Despite the sharp expansion in the number of vending
machines in use, from some 50,000 units in 1925 to more

year

„

tion.

JAMES
NORMAN

SCHWARTZ

the

was

increased.

successive

7th

True,

this

year

increase

oid

which

Bank

meet

ambitions of the Cigar Industry. However,
traditionally,
increases in cigar volume have always been of a rela¬
j

industries face

tion.

boom

1959-60

growth

that

day there

some

comes

time

this

tensions

moment

every

past decade.

hectic

modern

industry wide

life.

indication

that

fine

cigars

Industry

increase in demand focused

these sizes.

This is

healthy indication that the trend toward cigar
smoking
is
broadening, since our research indicates that the
smaller cigars are the first to be
approached by the neo¬
the

practice of cigar smoking. Statistics also
show that many men who are
initiated into the pleasures
of cigar smoking.via the .**~alJ
ci^ar, graduate in time
to the large
cigar for the ultimate in smoking
pleasure.
There has been a further

healthy development in the

of 17%

1961

Defense

increasingly

prosperous

record expansion

1960, and should show

over

levels,

to new all-time highs dur¬

move

significant

activity in Hawaii reached the record peace¬

million in 1961 with the prospect of a
level in 1962 (and if the servicing of
submarines comes to Hawaii, as is proposed, it

continuing high
Polaris
may

rise to considerably higher levels).

These

factors

ness

confidence.

sons

now

encouraging this
development. During the last year, the greatest numeri¬

should

James H. Shoemaker

advance

time level of $408

offers to the consumer, it should
not be difficult for him to
integrate this type of smokin<*
into
his general daily pattern.
The small cigar, the
Cigarillo and the Cigarito, are certainly

1962

(if less pronounced) advance to new highs this year.

vast poten¬

are

during

ing 1962.
Manufacturing in Hawaii achieved

'I'Yri'-.

fact

visitor arrivals

smoker will sense the need for
relaxation and will have at hand the

will take time to educate this

factors

But with the clear,

business

Mainland

expect,

efforts, to achieve

of individual well-being than
any other smoking practice.
With the full range of
sizes, shapes, and prices that

phyte to

growth of 20.3%

average

growth

the

tourism

the

longer
expensive, that they are, in fact, the least expensive form
of relaxation, and that they contribute a
greater sense

cal

of
i

the

large ambition and is one which can be
realized. And, in the realization, will
considerably broad¬
en the base of those who use our
product.

the Cigar

year

offer

can

every

the

that

recorded de¬
cided moderation in growth—an in¬
crease
of 2.9%
in comparison with

Of course, it
tial market to

light

Last

moment when the

cigar of his choice.
This is not

pros¬

feeling
which is not justified

him the true relaxation and
smoking
enjoyment that is necessary to re¬

continued
where

the

smoking enjoyment.
is just beginning to

cigar, and only the cigar,

situation

marked

the

and

•'

pro¬

that lie ahead.

realize

through

year

to be engendering

appears

of uncertainty

The, smoker

the

this

pect

impress

,'v

fluctuating

non-cigar smokers with the idea that
cigars can and should be a part of

lieve

due to

year

between

contrast

their pattern of

Norman Schwartz

uphill

"J:.V

The

nounced

beginning

gradually moder¬

continuing trend in Hawaii

rising costs and increasing competi¬

slowly

now

boom

throughout 1962, because (1) the rate of construction of
housing is in a period of moderate over-all decline,
and
(2)
the sugar and pineapple<
; •
'

associations have had only a relatively

only

from

new

short period
of time in which to
make their effects felt. These efforts
are

Hawaii, Honolulu, Hawaii

ating rate of growth will be

the

tively slow albeit steady nature. The
vigorous promotion and advertising
efforts of individual companies and
the
extensive public relations and
advertising campaigns of our trade

transition

1961

The

cigar sales

ouite

not

SHOEMAKER

Vice-President, Director of Business Research,

President, DWG Cigar Corporation
1961

attempt

industries.
The nroduction of malt is

With the close of

only

pressure

altitude,

electronics

Moreover, the

year

the low

year.
These
combinations and failures will reduce substan¬

business

BENJAMIN

spiralling breakthroughs in the
state of our art, bringing it to a point
hardly envisioned
in the "oven and ice-box" days of only a few years ago,
when the entire industry was measured by only
$10

realize operating economies of scale will increase the
of mergers and
acquisitions this

tells

the

above

Chairmana, ABC Vending Corporation

conservative, in¬

but dollar volume
of the story.
The

will have

and

over

and indus¬

aerospace

Many companies will fail to recognize the rapid
changes taking place in this industry. As a result of this
failure, or through poor financial management, we fore¬
acceleration

the

testing at
laboratories

include

today at. the threshold of a sub¬
leisure time and leisure time activities.

further stimulant to cigar
growth factors of
personal income and population increase. We do not
know whether this influence will be significant as early
as 1962, but we have
every hope that it can be counted
on to add additional
vigor to the steady expansion of a
growing industry.
smoking

environmental

stand

As this occurs, we

lab¬

test

that

stantial growth in

buyer's market, and that in order to maintain satisfactory
sales, profits and return on investment, we shall have
to react quickly to the changes in our business environ¬

see

stated

rose

million

$225

environmental

volume

creased

ment.

placed

and the activities

in 1961

commercial

the future.

program

triple that predicted when the year
The figure represents equip¬

built

process

part

from product obsolescence are to be overcome. New
products and major redesigns of existing products will
comprise more than half of an electronics company's
any

space

estimate at

saw

capability. Research and
product development programs must be planned and im¬
plemented aggressively if the serious problems arising

sales in

nation's

the

level

order of growth

deed,

fqi^pur products, although competition will become

sharply in 1961 to

evep morfe intense. Industry today is operating in an
environment of declining profit margins./Tn order to
groW, and prosper, therefore, a company must demon¬
strate

Industry will operate without these two burdens.

Our continued growtn prospects are lurther improved
by the favorable trend in our economy. Employment is
increasing and discretionary income is growing. In longer

terms, it is significant tnat cigar smoKing is also
closely related to leisure time. Many authorities have

down to earth to help

space

testing was estimated at $150
million, and growth of $25 million
was projected for the
following year

equipped to maintain long term strength by calling upon
capabilities in many fields to satisfy any specific market
requirements.
Those of us participating in the electronics and elec¬
kets

}*
V

trial

Thus

markets.

At the end of 1960, environmental

solely in the production of malt for
brewing, distilling and food in¬
dustries. Currently it realizes more
than half its sales and profits from a
Dudley G. Seay
range
of products
serving, among
others, the electronic, electrical, metallurgical, utility,
and

that brings

succesd

the

simulation for

the

consumer

insure

began.

extremely diversified, com¬
pany, its performance must be related to many industries
rather than any single industry. In general, however,
Products is

SELIGMAN

1962 the

range

The industry

ment

President, Basic Products Corporation

Since Basic

accelerate, re¬

President, Tenney Engineering, Inc.

—an

SEAY

combinations will

and

uni¬

formly high product quality. The only real increases in
cigar prices in recent years have been due to the imposi¬
tion of emergency taxes on cigars in some states. Last
year, the unfair emergency taxes on cigars in New York
and Michigan expired without renewal. These taxes were
repressive on sales in two very important markets. In

sulting in the formation of larger, more highly diversi¬
fied companies.
And American businessmen will give
greater attention to international markets. \
.'ii-/'..;'!.

consummation of this and other unifications now
the Commission will

in the development of new techniques in cigar
manufacturing which have allowed us to maintain the

reasonable retail cost of cigars while still retaining

all phases of our

/Business

Thursday, January 18, 1962

Industry,

In summary, we expect business to increase in 1962 in

for

are

good

for busi¬
rea¬

future.

great opportunity to create new industries in

based

the

rapid

advance

coveries and of
of

reasons

not, however, the only

regarding Hawaii's

optimism

There is

Hawaii,

strength

They

new

of scientific disIn the fields

production techniques.

industrial chemistry,
pharmaceuticals,
there are prospective possibilities for
range of by-products of Hawaiian
industries,, together with the capacity to grow almost
any type of tropical plant, will increase Hawaii's poten¬
tials.. particularly in plastics, chemicals, and pharmaceuAticalS.
;%
,_v
*..$•
"
automation,

and atomic energy,

Hawaii.

-A widening

Another
rent

major

growth

developments

factor

throughout
.

the

be found

Pacific

cur¬

hemisphere.

Continued

page

Volume

Number 6126 V

195T

■

of 107 Sylvester
Westbury, N. Y., is en¬
gaged in the compounding and
packaging of cosmetic, household,
pharmaceutical
and
industrial
aerosol
products for other con¬
company,

ucts

their

under

also

its

under

brand

own

prod¬
Such

name.

cleaners,

include

creams,
mold releases.

omy

and

NORFOLK, Va.—Powell, Kistler
& Co., members of the New York
Stock Exchange, on Jan. 25 will
admit
George E. Powell, Jr. to
partnership. Mr. Powell will make
his
headquarters
in
the
firm's

,,/*■'_

•

the

and

■.

>ux

the Sugar Act have made

duction and

York and Pacific Coast Stock Ex¬

the

changes, will admit ' Claude
Rosenberg, Jr., to partnership.

ducers has

competitive

intelligent

the

been

for

there is

expansion of

domestic

Merrill E.

the

United

Stephens have be¬

associated with Pacific Coast

Mont¬

Mr. Gedanken and

Co.

NEW

BRUNSWICK, N. J.—Scott

Planning Company has opened a
branch office at 103 Bayard Street
under the direction of Donald T.
Baltrus, Sr.

practically indispensable materials of
result, what

metal" 23 years ago

industry.

was

considered

the basis of

now

-'.AV;

■

"wonder

entirely

new

Through the early pioneering of Kennametal in the metalworking and mining industries, the ability of these hard

forward-looking research and
many new uses

use as a

and markets

material of construction

expanded into

many

and wear-spot applications

facets of industry.

and

States

There

upon

in¬

In the

development and production of carbides, Kenna¬

metal has unified control

over

the entire process, which per¬

mits the maintenance of the most

from

ore

domestic

to finished

exacting standards

products. Some outstanding properties
are:

times longer than steel.

Rigidity of 2 to 3 times that of

hardened steel. Heat resistance to

and 1961 marketings are not yet available, it
beet
■

sugar

and

replace the

Australia and others. The long supply lines be¬

tween these nations and the U.

S. could be

operation and

withstand

2200°

to 5000° F under

spe¬

Our

disrupted at

Continued

page

product development

group,

by working in close

co¬

operation with research and design engineers and custom¬

keeps coming

up with new products and new applica¬
engineered to help customers increase production,
improve their products, and reduce costs.

ers,

tions

...

If you
our

than 3,000,000 tons of

formerly imported from Cuba prior to the cut-off
of sugar trade with the Caribbean
nation, the United
States has reached half-way around the world for some
of its supplies, to such remote producers as
India, For-

.mosa,

Wear resistance up to 100

cific conditions.

expansion, but
counsels that it should be accomplished in a
careful,
reasonable progression in order to avoid the dangers in¬
herent in too-rapid growth.
The industry is well prepared to assume a
larger re¬
sponsibility for supplying the home market and thus
guaranteeing adequate sugar supplies, come what may
internationally in these days of crises and tensions be¬
tween nations. To

under continuous

the

sugar

New Scott Planning Office

pro¬

production,

Demand among farmers in many states to be permitted
to grow more sugar beets is at probably an all-time
high.
Bulk of the existing industry favors

FRANCISCO, Cal.—Bernard
Gedanken, Pauline R. G. Nielson

Knowlton

of Kennametal carbides

of sugar beets and
quantity of sugar marketed.

(Special to The Financial Chronicle)

with Frank

considered

Shoup

legislation to

sugar

marriage with communism.

reliance

production

SAN

was

are

construction. As

is known that all past records are being smashed in both

Three With Pac. Coast

formerly with
Mr. Stephens

Today, Kennametal tungsten and titanium hard carbides

tion year

partnership.

were

weighing several hundred pounds.

of supply, and by far the greatest potential for
production expansion is found in the beet sugar industry.
While official figures on the results of the 1961 produc¬

Feb. 1 will admit Walter M. Giblin'

Waldron & Co., Inc.

compo¬

IS I

sources

Miss Nielson

machine

considerable general support for this point of

government's

City, members of the

240

variety of shapes and sizes—

view.

Glore, Forgan & Co., 45 Wall St.,

Company,

processed

are now

almost endless

signs that the immediate
holds significant promise for

creasing

Securities

some

has

clear-cut position on the
both the Congress and the
a

To Admit Giblin

gomery Street.

for vital machine components

Glore, Forgan

come

nents in

domestic sugar pro¬
clouded by the ab¬

during the period in which the sugar world has been in
near turmoil,
internationally, as a result of the Cuban

and Edward H.

these hard carbides

for Kennametal. And its

An outstanding record in both production and market¬
ing of sugar has been achieved by the beet producers

pro¬

thumbnail-size wafers, weighing only a few grams,

beet

vide

Cohen,

Exchange,

super-

industry. Originally

engineering have developed

visions in the law. The Secretary of
Agriculture has indicated he favors

Simonson & Co.

Stock

every

sands of times. Consistent,

sugar
industry, now the
largest single supplier of sugar in the
U.S. market, through anticipated re¬

Stock Exchange. Mr. Sapir in the

York

duced

virtually

mounting
future

31, Louis Sapir will be-1
come a
partner in Gartman, Rose
& Feuer, 1 Wall St., New York
City, members of the New York

New

hard carbides to

Administration regarding badlyneeded new legislation. But there are

Jan.

York

carbide to cut steel successfully, imagi¬

expanded the usefulness of these

carbides to outlast the hardest steel alloys was proven thou¬

marketing in this coun¬
months,

outlook for

sence

Gartman, Rose to
Admit L. Sapir

New

cemented tungsten
native research has

SHOUP

are conducted. For many

part

forward planning all but impossible.
The Sugar Act is the
regulatory
national law under which sugar pro¬

try

partner

United States beet sugar industry looks forward
hopefully to 1962 as the year in which new and reason¬
ably long-term sugar legislation may be enacted, thus
ending a period during which short-term extensions of

New

The

FRANCISCO, Calif. — On
Feb. 1 J. Barth & Co., 404 Mont¬

was

toward

inevitably

MERRILL

SAN

past

■

President, Holly Sugar Corporation

J. Barth Co.

■

the first

James H. Murphy Vice-Presidents.

of the

" ■

Most important of all, it provides a
period for plan¬
ning for the next major advance—in order to take full
advantage of the potentials that lie ahead and to make
certain-that future growth will be sound and permanent.

Exchange,v has
elected
Murdoch, Raymond E.
Kubitschek, Robert Higgins and

member

1938

'jiyojK,

Donald

St.,

; A-

■

Since the invention of Kennametal in

any maladjustments that may have developed in
supply
relative to demand into balance.
: -

Stock

gomery

trend

follows a pronounced boom.
A temporary moderation in business
activity is no
basis for pessimsm.
On the contrary, it provides a use¬
ful breathing spell—to consolidate
gains, to reappraise
the conditions resulting from the
boom, and to bring

LOUIS, Mo. — Dempsey-N,
Tegeler & Co., Inc., ,1000 LocustAN
St., members of the New York

To Admit Partner

1961

normally

ST.

/■''

con¬

far eastern

practically all fields—including retailing,
construction, manufacturing, and service enterprises. In
short, Hawaii faces a year of readjustment, which quite

lui.ix*

conditions

Dempsey-Tegeler
Names Officers.,

Hawaii has

aid with

■'

a broadening of the base of the econ¬
due to the diversification of agriculture, industry,
service enterprises;
(2)
continued modernization
urbanization; (3) expanding sea and air transport

tinuation

Norfolk office, 217 Main St.
-

University

KENNAMETAL Carbides

defense

To Admit Partner

The

educational and technical

facilities; (4) high levels of investment in Hawaii; (5)
increasing strength as the operating center for American
throughout the Pacific; and (6) continued uni¬
fication and integration within the Islands.
During 1962, however, business in Hawaii faces a con¬

Powell, Kistler

..*»'*,* A*v.'

Australia.

basic industry pioneered by

ative, including (1)
and

s•*

a new

Within the Islands, the underlying factors that have
contributed to growth and strength continue to be
oper¬

shaving
silicone

hair
sprays,
deodorants and

are

countries, and is currently establishing a new center for
cultural and technical interchange with them.
In addition, Hawaii's
relationships with the Mainland
will continue to >grow, and added to this
growth will
be a rise in travel, trade,
contractual, technical, and
financial relationships with other parts of the Pacific.

paints, insecti¬
cides, furniture polishes, window

products

tracts for

names.

sells

and

packages

tion

Street,

V,":

increasing and diversifying their agricul¬
tural output; they are planning and implementing pro-,
grams for mew-industrial development; they are increas¬
ing their trade relationships throughout the ♦Pacific; and
they are planning for, and achieving, a remarkable rise
in travel and tourism by expanding air services and
building tourist facilities.
Hawaii, as the only central
/Pacific economy, is already benefiting from this growth
—particularly in the field of tourism.
A special aspect of this growth is Hawaii's increasing
participation in research, trading,', and technical' aid
programs. Island firms are already assisting in the devel¬
opment of sugar production in foreign countries.
A
Hawaiian firm is participating in dredging operations in
;the Philippines and in Japan.
Another is engaged in
the development of a large area for agrcultural
produc¬
They

mon:

Street, New York City, is offering
publicly, 70,000 common .-shares *'
of Consolidated Aerosol Corp., at
$3 per share. Net. proceeds will
be used by the company for the
repayment of debt, purchase of ■
additional equipment and inven¬
tory, and for working capital, v

cerns

(361)

Countries bordering the Pacific have four things in com-

Bayard & Co., Inc., 80 Wall

The

The Commercial and Financial Chronicle

;

Aerosol Corp. ,'
Stock Offered'
E.

'Continued from page 92

Consolidated

...

would like to know how you might profitably use
company's expanding facilities, services, and products
please write Kennametal Inc., Latrobe, Pennsylvania.

♦Trademark

41141

INDUSTRY

AND

KENNAMETAL
...

(Pcv£tw%4 in, (PtJCXfAeM

1
■

(362)

The Commercial and Financial Chronicle

Thursday, January 18, ,1962

u
Li{■

Continued from page

„•

■

-and most

growth of commercial financing and factoring. That is
clients who do

The beet sugar

industry is at an all-time peak of ef-

ficiency and productivity, ready to accept larger demands
upon its abilities. During 1960, the last year for which
complete figures are now available, the industry's out-

2,465,000 short tons, raw value, from
960,000 harvested acres. In 1933, the year before the
first Sugar Act was written, production was, 1,757,000,
'* tons-of sugar from 983,000 harvested acres,
Thus, in 1960 as compared to 1933, the industry pro¬
duced better than 40% more sugar on about 2% fewer

-*/

...

rt.

■

■■*■

f »V'

1962

trend is

country's fastest growing area, but one that is of primary
importance to the welfare and the advancement of free

acres.

services to business extend
funds.
,
it is reasonable to project
of our industry into the
coming year. We foresee moderate growth in the general
economy in the immediate future, and increasing op¬
portunities to utilize the resources that our company

.«

■

'■

v-} \.

■

V
'

V! •

i.*.'

S. beet sugar processors
upswing to higher levels of output,
Through technological improvements, capacities have
been very substantially increased in comparatively re¬
Factory capacities of the U.
on

are

steady

Aside from the necessity for a long-term law spelling
out the ground

rules under which the industry

can

ex¬

the future, the biggest need of the
domestic beet sugar producers is strengthening of price
operate in

pect to

for the product,

and the facts indicate such

increase

Sugar today is the biggest food bargain in the nation.
Its

price has increased since 1934 one-fourth less than

the

I if.

prices of all foods and
capita disposal income.

average

much

per

terms

United

only

one-third

while

liv

I if''.'

;

so
,

SLOCUM

WALTER W.

about

Company

does

enters

our

far

1962

buying power, sugar is cheaper in the
than in any other country in the world.

States

production costs

are

many

times higher.

the electronics industry

national economy,

and

shakeout

the

must

dustry
with

generally
a

reduced

still

higher

that

a con¬

perienced

industrial

mild pickup is underway. It will

far to produce

been ex¬
really decisive expansion

is clearly

outlays in 1962, but the trend
;

Since the

sector accounts for

approximately
two-thirds of total spending, a relatively small percent¬
age increase in consumer outlays is equivalent to a much
larger rise in other sectors. But even with this leverage,
the contribution to the business recovery made by con¬

Walter W. Slocum

same

meeting these condi¬

government survey of capital spending

upward.

Smith,: Jr.

evidence

some

stronger recovery in profits than has

of investment

industry has ex¬
growth of approximately

21%,

The latest

perienced

•

time, total manufacturing capacity in the United States
has increased just 80%, while our Gross National Prod¬
uct has increased only about 40%.
The industry represented a $10 billion market in 1960.
Of this, military sales represented about 52%, consumer
about

provide

start has been made toward

take

electronics

The

John F.

have

plans indicates that

overhead,

product reliability prevailing.

along

come

already

tions.

pricing

degree

now

products. The in¬
generally enters 1962 with
closely controlled inventories,

with

expand,

added stimulation.

structure of many

sales-volumes

government spending will prob-

increase. However, if the mo¬
of the business upswing is
to be sustained, larger business out¬
lays for new plant and equipment,
and
increased
consumer
spending'

Exceptionally keen competition
among
electronics
producers
was

1961, and there was

Inventory

mentum

foreign development.

siderable

this growth is not as¬
building
should

course,

ably

continuing to gain ground/:
after turning upward around mid¬
year; and we look for 1962 to show
a
continuing improvement in the
business climate, barring any serious

this time, the economy is now

unforeseen

output

billion for the year or
8% increase over 1961.

continue

optimistically than it did in 1961.
activity was declining a year ago at

Whereas industrial

$560

national

total

sured.
As

JOHN F. SMITH, JR.

President, International Resistance

sales

are

mean

250% in the last decade. In that

Records show that the wholesale refined price of sugar
in 1960 was less than one hundred years earlier in 1860,

ahead. It represents not onty the

With spending in all major sectors of the economy—
consumer,-business, and government—now expanding at
the same time, the current moderate upswing is likely to
continue through 1962. On this basis, I think we can
reasonably
expect
Gross
National
'
:
Product to rise steadily to a level of *
$575 billion by year end. This would
around

and

is needed and would be well deserved.

dustry.

evident in

cent years.

r
if

can

years

President, Inland Steel Company

of his

been made.

that it

confidence

the

;
<

look to 1962 with
productive one for our in¬

promising, that

everywhere.

men

great, and the prospects of increasingly freer internatlonal trade are

grower's efficiency in pro¬
crop has shown a 30% improvement in
just the brief period since 1948, and the end is not in
sight with new hybrid sugar beet varieties already pro¬
ducing yield gains of from 15 to 25% over older varieties.
The agricultural scientists say this is only a beginning
with these new hybrids. Mechanization on the farm is a
major factor in the stellar efficiency gains which have
duction

demands

"normal"

The

and

American industry. •
of our own economy

make available to

can

The individual sugar beet

"jy

significant because it dramatizes the unique role

companies like ours whose
far beyond merely advancing
.i». To summarize, we believe
the recent growth patterns
of

of sugar was

turn

•

require financing but who retain the credit guarantee
facilities of major factoring companies like Talcott. This

of domestic producers'

looks

not

enlargement

1962...,

Generally speaking, however, the electronics industry
forward to continued technological advances in

the substantial increase in the number of

doubt that there should and
quotas
under provisions of a new Sugar Act expected to be
written by the Congress during its forthcoming session in

•/*••

international problems to worsen,
people realize this.
there seems

Hence,

will

moment's notice, were

spending

sumer

The

him

far has been disappointing.

give the economy and the steel in¬
substantial boost by increasing his purchases of
goods, and I think there are good reasons to expect
consumer

dustry
hard

consumer

can

The

so.

essential

conditions

for

increase

sales

about 18%, and re¬
The outlook for the future of the domestic beet sugar
in durables buying
Resent today—incomes and em¬
placement parts sales about 9%; For 1961, total sales
industry, assuming no revolutionary changes in the na¬
ployment are rising, instalment debt is low, supplies of
were in the neighborhood of $10.7 billion; and
prelimi¬
tional sugar program, which has worked outstandingly
goods are adequate, price competition is keen, the connary estimates indicate that this will rise to the heighbdr- ' ;
well for some 21 years, is excellent, in my opinion:
suiher lias attractive new ^miodels of automobiles 1 and
hood of $12 billion in 1962, then continuing to move up¬
appliances to tempt him, and his confidence is returning
ward by about $1 billion for each of the next several
despite lingering concern over unemployment 'and; the
HERBERT R. SILVERMAN
years at least.
cold war. Retail sales have finally moved up off their
It is anticipated that the market for industrial elec¬
Chairman and President, James Talcott, Inc.
plateau, and I think the odds are high that consumer
tronic products will have the most rapid growth -of all
For the commercial finance and
spending will play its usual role in the current recovery
factoring industry, Ninein the current decade. After 1965, as a matter of fact, this
teen Sixty Two should be a
and rise further to support the upswing in 1962.
year of continuing growth U
growth rate should be further increased due in part to
and increased service to American business and
/' What does all this mean for the steel industry? I think
industry.
•conversion to automatic manufacturing control equipOur business, which is
essentially that of providing in"it. almost goes without saying that a broad-based up¬
ment.
terim financing to companies with,.."':
r-;':/
/■ The electronics industry, however, faces a very serious: 9 swing in the economy means increased activity in the
growth potential, will naturally be
problem: the regulation and control of foreign * trade. - construction, durable goods, and containermarkets, and
affected by general economic trends.
this in. turn means greater steel consumption. In addi¬
This has become big business for the United States. In
But our unique capacity to custom
1960, imports totaled nearly $15 billion. Exports, for the •'?. tion, our customers are expected to be buying more steel
tailor finance plans, the flexibility of
to rebuild their relatively low inventories. Based on the
same period, totaled just under
$20 billion.
'
\
our financing arrangements and the
;
improved outlook I for steel demand and assuming no
This foreign trade is vital to the well-being of the
mobility with which we can move-to
United States electronics industry, too. In 1960, we ex- / significant interference with operations, my current esti¬
the support of the strongest sections
mate is that steel ingot production in 1962 will fall with¬
ported nearly $500 million worth of electronic goods,
of the economy all
combine, as we
in the 110 to 115 million ton range, as compared with
compared with imports of about $150 million.
see it, to
give us certain special op¬
last year's total of about 98 million tons. The steel in¬
Yet, a part of this industry today faces a very real
portunities.
threat from low-wage countries. These imports were
dustry's all-time high ingot output was 117 million tons,
There are specific reasons support¬
reached in 1955.
tiny, insignificant clouds on the horizon back in 1955;
ing this optimism.
but today they have become ominous for
The commercial finance and fac¬
many firms,
and particularly for the small ones whose lack of diversi¬
C. B. SMYTIIE
toring industry has grown consistent¬
fied lines makes it difficult for them to ride out extended
ly and impressively since World War
President, The Thew Shovel Company
v
spells of rough weather.
II, discounting periods of both boom
Herbert R. Silverman
Prospects for manufacturers in the Power Crane1 and
In 1955, for instance, the value of Japanese radio im¬
and recession. Industry volume in
Shovel Industry seem to be for very moderate sales in¬
ports into the United States totaled little more than
1940, for example, was $1.3 billion. Last year, we esti¬
.

•

■

•

;

•

•^9

■'

mate, it

was

$15 billion,

increase of

1960. Our business itself is

over

more than 10%
growth business, by all

standards of measurement.

Secondly,
broadened
r

the

degree

industry

today

acceptance

enjoys
the

greatly

business

and

60%

financial
.

community. We are clearly recognized as a
"third force" in financing—bridging the crucial

vital

gap between bank

financing and long-term equity financ¬
are becoming increasingly aware that
we have
the resources, the specialized
manpower, the
experience and the techniques to provide funds that

ing.

can

Businessmen

support sound growth and maximize profits in vir¬

tually

any

industry.

Thirdly, and perhaps the most significant development
in recent years, has been the
working relationship that
companies like Talcott have established with commercial
bankers. In the past three or four years there has been
a
sharp increase in the volume of our new business re¬
ferrals that come directly from banks. The number of

States

transistor

are

portable radios
Japanese. :////' <.-9

This import problem

sold

the

and

companies

banks
their

benefit because they can

customers—retaining

when they may be unable to
needs.

him

benefit,

of course, by
on a larger scale. The
retain the goodwill of

depositor—even

satisfy immediate financing

(In the case of bank-finance company participa¬
tions, the benefits are, of course, even more direct.) And
business managers benefit because
they now are able to
obtain the funds they
need, in the amounts needed and
at the times when

they are most needed. *
Few financial analysts are aware of a fourth
important
element
supporting
our
expectations for
continued

ditions"'are
tinue

level, such a course of action would
searching scrutiny.

seem

demand

Another

major need today is for the leaders of our
electronics industry to become far more
aggressive in
keeping abreast of world-wide developments. We can
no longer afford to
sit back complacently
ignoring what
goes on beyond our shore lines.
Industrialization in for¬
eign

countries

forward to
as

developing rapidly and we
greatly increased competition from

these countries do their
best to close off

kets to

us.

;

can

look

time to

and

mar¬

sales

probably- will
for quite

severe

con¬
some

come.

off

1962

which

have

been

the

boom

conditions

prevailing in Eu¬
rope taper off to any degree. The es¬
tablishment of the European Com¬

mon

•

Market will also Rave its effect.

Canadian purchases of this industry's
American made products are at a low

C. B. Smyth.e

point due to economic and agricultural conditions in the

country

well

to tariff increases resulting from

cent manufacture of like products in the Dominion.

latter situation of

The U. S.

course

highway

will continue

in the future.

help sustain

crane

and

struction, both public and private. Even
in the

shovel

which

output.

looks

the future of the
as

crane

much to mining,

.con¬

generous rise

highway bracket could not be accounted

influence

re¬

The

program has been of assistance and

However, highway construction is but 10% of all

overseas

foreign

earnings

Export sales have been good, par¬
ticularly in ratio to domestic ship¬
ments, but there may be some falling

by the depression, the Trade
passed to lower tariffs on our goods

lagging growth rate
unemployment level hovering at a disturbing

ratio

should improve but competitive con¬
'

entering foreign ports by promising reciprocal tariff re¬
ductions on merchandise
entering our market. That Act
has been extended 11
times, and will be up for renewal
in Congress in the near future.

Commercial

finance

contractors.
The

financing arrangements in which banks participate with
us has also risen
substantially.
We think that this is a
healthy trend for all concerned.

imd,

over-supply of generously equipped

is not unique to the electronics

It is expected that the Administration will
propose still
lower tariffs, despite the fact that
America is already
among the low tariff countries in the world with the
end not in sight. In a nation
with a

being able to put funds to work

excessive buying during the post war years
in the construction field, there is an

Just what is the problem here? In
1934, because of an
economic emergency caused
was

saturation " due

some

to the

United

industry. Today there are sOme 65 other American industries sharing the common
problem of import damage.
They include steel, watches, textiles, sewing machines,
sporting goods, and scores of others.

Agreement Act

in 1962. There still remains

creases

$230,000. By the end of 1960, that little white cloud had
billowed into a startling $70 million. The
figure has con¬
tinued to grow rapidly since
then, until today more than

and shovel

major

industry

logging and industrial
Continued

page

Volume

Number 6126

195

.The Commercial and Financial Chronicle

Continued from page

Louisiana XaaAA'A:

Co., Inc. and John Nu& Co. are joint managers of
&

in the immediate future may

Jan.-.15

1, 2001, to yield 4.50% to
maturity. The group was awarded
the issue at competitive sale on a
bonds

•.industry. "A/'A ;

coupon,

of financing the cost
of .construction:and acquisition of

iwith

terminus

St. James

terminus

western

.near

Parish, and a
just south of

will 'be

payable as -to
interest from
and secured by m 'lien on and -a
pledge of the net revenues derived
from the operation of the Bridge
and, to the extent necessary, from
certain contributions to "be paid
by the Louisiana Department of
Highways. .A AAA A
They

•both

principal

They
option

and

•

I. Melville Stein

xfi HjAA

the

after Nov.

1, 1996.

•

balance

our

pay-f

blocs,

but

notably the European Economic Com¬
including important new trade groupings
elsewhere. As enabling legislation for Reciprocal Trade
comes before
Congress again this year, the traditional
debate between protectionists and free traders assumes
a
renewed importance as the formation of these vital

•■•'

'*■) si

'A'"*
r

announced

AAA'v

if;

<"•-

•'

:/•'

These examples of major economic issues which will
in

the

spotlight

1962

altered environment in which

rently.\

The

ately, in

illustrate
our

profoundly

operates cur¬

involved will be debated, fortun¬

issues

of general prosperity.

a year

the

economy

AA jAaA AA: 'A.:.'-A

While I have

Continued

*'A ;AA

on page

'y:r -v':. "a: a :
av a-y; •;,';a AA'B"
It is possible that Congress may
provide another tax incentive to en¬
courage .'capital
investment in .the

off.Av

'form

graduated

tax 'credits

for

strong, continuing competition from Western Euro¬
manufacturers, many of whom have equipped their
plants with ;modern, cost-cutting 1 acilities.^
;
One negative factor on plant expansion and moderniza¬
tion. Is the excess plant capacity that exists in some
Industries, but this is far outweighed Iby the continuing
need for more precise and economical 'controls—a de¬
mand that grows as our space "and defense technology
Increases. AAVA" •' A'>A -A :KA '••Ay Ay''" A-J .. AA'iA
■ •. / •;

Kidder, Peabody A
...•

•

Kidder, Peabody & Co., Inc., 20
Exchange Place, New York 'City,.A
corporate affiliate of Kidder, Pea- y
Uody, & .Co., members of the New
:York - S t o c k
Exchange;
have
elected
Robert
H.
Austin,
Jr.,
Robert.Ghaut-, Richard F. Coons,
•E.
Merrill
Darling
of
Boston,
Joseph C. .Glasgow, of Altoona,
and Norval H. King, Jr. of Balti¬
more,
Vice - Presidents
of
the

Leeds.& Northrup expects a new record of more than
$40 million in shipments during 1962. Much of this will
•rr/4

electronic

recorders

and

controllers.

1962

New

models will mark the start of-L&N's second half-century
in this

field, which began with the world's first practical
in 1912 and was followed by the
Company's introduction of the world's first electronic
null-balance recorder

recorder in 1932. The

improved 1962 models present the
developments in the state of the art.
They have broad applications for research laboratories,
colleges and technical institutes, and such key industries
as
power utilities, steel
and ;metalworking, glass and
other ceramics, motor cars and aircraft, communications,

most

company.

advanced

chemicals and petroleum.

Bache .& Co. to

Admit Partners

Chairman

SNYDER, JR.

President, Blaw-Knox Company

This year marks another step dn The transition from
post-war boom to a more normal economic environment,
if normal conditions can ever be said to prevail .in -our

Bache

&
Co., 36 Wall St., New
City, members of the New
York Stock Exchange, on Feb. 1
•will
admit
Joseph v R. -Dorsey,
-Charles Mattey, Howard G. Lindquist, and Iver M. Brook to general
•partnership,
*a n d
Wallace
G.
"Franklin; Jr., :Gertrude E./Con- ;way,
and Broderick Haskell to V
limited partnership.

CORDES
and

York

•

Mr.

will

Lindquist

make

and

their

Mr.

the

firm's y Chicago
South Dearborn St.

economy,1 which was character¬
ized by boom and inflation, I would
war

;

office,

pick 1957.

Until then defererd

broad

sections

Now.

than

140

able

less,

Exchanges,
JECevin

York
;on

Co.,

still

Feb.

operative,,

tion

.1962

before.;

4
,

office, 924 J St.

Metropolitan Sees. Branch

ping

post-war

boom
now

frame

new

must operate.

are

♦terstate
W.Cordes Snyder, Jr.

ano¬

reference

perhaps

•

•"

out the

road

mands

vital

within

which

our

importance

than

ever

set by steel this year

could point
satisfactory adjustment of labor's de¬

Metropolitan

contemporary economic realities, or could
impose,a further debilitating burden on the steel indus¬
try and on the economy as a whole.
As the pattern of ever rising wage rates seems incon¬
sistent in a period of over capacity, labor surplus, and
profit -squeeze, so, too, is our tax structure out-dated
and

need

of reform.

present tax laws

man¬

States

held

were

Many of the provisions of

enacted at

position

our

fabulous system

time when the United

of.in-

'highways, including the

Thru.way.antl the

Empire State way... linking every
corner

of the

Lawrence

state.

J lie

mew

St.

Seaway provides in¬

outlet to domestic and

dustry

world

markets.

vast

modern

network of air and rail facilities
is second

Our

to none

labor

in the country.

force is 'skilled and

steady. Our water supply is plen¬
tiful, raw materials are abundant
and

varied, and of

course

there is

Almost 200

plant expansions
in (he

down to

plants

new

.the rfirst six

With Harris,

Upharn

•

•SAN
P.

FRANCISCO,

Calif.—Harry

Ziegler, Jr. has become affili-

ated

with

Harris,

Upham

area

reasons, too.

to answer

area

Maybe
need

Tart of

&. Co.,

.merly with York,.& Co^y

was

: -

Tor-,
- ; <.

Archaic depreciation methods which
■

account

inflation ' and" cbsoleriscehe

we can

excessively

help

you.

about

area

you
the

just write

Torrey, Director *of

MohaWk Tower

Corporation,

Dept. CF-1,.300 Erie Blvd., West,
.Syracuse 2, N. ¥.

Your One Best Source of information

about the EMPIRE UPSTATE, ask

NIAGARA

INVESTOR

good

business

"Development, Niagara

MOHAWK

fail to take .into
arid

our

questions about (the

information

Richard

was

for

-serve.

Empire Upstate
Area

and

serve

540 California.Street. .He

of "1961.

months

Mudh of this construction
the

cases.

major

completed

were

international trade and finance.

(Special to The Financial Chronicle)

pres¬

Empire State during just

unquestioned dominance in
In struggling to estab¬
lish stronger positions for their own economies, many
foreign governments have provided tax advantages .and
incentives^ intended
to
capital
formation.
encourage
These have been successful and today the U. S. faces
--competition from European and Japanese producers
enjoying not only lower. wage rates but also equally
"'efficient and equally modern plants and equipment.
a

and Canada. Our

NewTork State

■•

Renewed crisis in the steel in¬

The pattern

clay's ship¬

from the prime markets

U. S.

We have

jus¬

progress.

transportation system is superb.

conditions

areas

away

of the

world

Neverthe¬

Securities Corporation has opened
■a
Ibranch
office
in "the Union
Center Building,-under the
agement of Howard Thach.

the

And now, Jet's get

dustry is again in prospect with the basic issues at stake
?

Wall

quarters in the firm's Sacramento A

—

Europe

the

although
impeding

.and

^economy

St. Mr. Witter will make his head-

-WICHITA, Kansas

while
on

in full force.

the

both

and future needs.

ent

heartland... less than

needs

own

continuing .increase in the price
of labor while other prices have leveled out in reflec¬

will admit

York.office,

miles of it. We're smack in

plenty of low cost electric power
and natural gas to meet

the middle of America's economic

Among these is the

Stock

Bradley and Robert W.

New

its

square

great..."all 22,000

economy.

which prevailed and found their

members-of

and Pacific

partnership. Mr. Bradley
will make his headquarters at the

firm's

our

meet

several

tification

"Witter to

•

scene

malous
Witter

New

however, the U. S. is

practically all areas,
and Japan are back

Dean Witter to; /,. ;
Admit 2 Partners
Dean

Our location is

coupled with wide open world mar¬
kets, ^provided powerful impetus to

trade

the

do¬

mestic demand and The buying pow¬
er accumulated during the war years,

Brook

headquarters

If 1 were asked to-date the lend of the post¬

economy.

■

trade blocs threatens to isolate the United States.

new

A
1

:. ...j, .1

pean

-A:--

Names V-Ps.

look

can

the

1, 1972, at iredemption
prices ranging from 104 to 100%
on

higher-than-average-equipment purchased 'during the
^coming year.
Another incentive for modernizing plant "facilities Is

redeemable at the
Authority on or

are

Nov.

'after

is reversed

deficits

ing recognition In 'Congress that the
rapid pace of technological advances
may make -equipment -obsolete long
before "present laws and regulations
permit it to be -completely -charged

wDonaldsrinville in Ascension RarJsh,

•*»

Department's
review of 'de¬
preciation rates in six major indus- *
tries. • "• '"'A :'•••':••'- AA' - A Ac A>' 'A. •
There also appears to be a grow¬

Donaldsonville,' La.,

eastern

vided by the Treasury

recently

toll bridge across the Mississippi

•River tnear

trading

has received encour¬
agement by the accelerated deprecia¬
tion rates now being widely adopted,
and further encouragement Is pro¬

the purpose

Union

1962.

further

re-emergence
of major competitors in world
markets is being buttressed by the formation of vast new

Modernization of plant facilities

being issued for-

are

The

STEIN

MELVILLE

situation

this

increasing difficulty in competing for world

ments.

Several factors in the economy indicate that 1962 will be
a favorable year for the process controls and instruments

Nov.

bid of 97.28 for the 4.45%

and

seem

President, Leeds & Northrup Company

•Ferry Authority, La., 4.45% bridge
bonds, .series>1961; due

be somewhat delib¬
to be prospects

munity

revenue

The

betterment in the latter part of

some

publicly offered4
issue of $30,750,000
James Bridge
and

Ascension-St.

time there

same

Unless

forward

markets

"that

group

At the

erate.
for

duction.

output will be benefited, but the rate of such in¬

crane
crease

the

As capital

Publicly Offered
veen

high rates of income tax which destroy incentives are
seriously impeding the formation of new capital in the
•U. S. and, hence, slowing our efforts to keep abreast of
the competition in terms of
efficiency and low cost pro¬

the construction industry for its

'
outlay tends to pick up among the manu¬
facturers and operators in all these markets, shovel and

Authority Bonds
Blyth

material handling as to
markets.

(363)

OWNED

•

TAXPAYING

rather

of neither boom

year

striving to increase their share
gasoline and fuel oil
markets

in the
cent

inoustry in

the

mixed one.
hand, in a buyers' market, many
operations
.have
been running at
frighteningly
1 o w
occupancy
rates.

But

years.

and earnings
19t>2, reversing the trend in re¬

potential for improved income

hotel

one

prognosis is

the

Too

been

real

ket

the

operators.
rush

meet

petition,

rate

many

apparently

John J. Bergen

and

where there is

vacuum

attractive

for

and

well-serviced

con¬

being not merely newer and more im¬
pressive, but competitively so. Management has become
sharply aware of the need to be distinctive, to realistic¬
ally gauge its market in order to attract maximum traf¬

finally competing successfully
with the best independent dining
installations, and the
market is being expanded beyond normal transient hotel

result

are

important

attention

•

■

Another
a

the

costs

area

for

need

1he

coming

all

will

year

greater efficiency
hotel operations.

and careful
The public

not averse to

seems

paying for newer and better accom¬
modations, but there is increasing insistence on topquality service.
There is a tendency on the part of
operators to offer special discounts

some

induce¬

ment to increased occupancy.
an

answer,

nor

This is not proving to be
healthy sign. Careful planning,

realistic placement of facilities and accurate market

alysis

an¬

the keys to successful operations. * ribRegional and local sales meetings are taking an in¬
creasingly important role in the American business com¬
munity and hotels and motels across the country are
"being offered an opportunity to cater to an important
segment of the business community that heretofore con¬
are

ducted

its

business

The

areas.

mark

ability

the

coming

only

and in

year,

Showmanship

the

satisfy

successful

this

local
years

hotel

largest

metropolitan

executive

operation

trade

will

during

the

come.

being

increasingly emploved as a
Special holiday functions,
distinctive and specialized services, an
atmosphere of
"custom innkeeping," all offer a healthier market
for

sales tool to attract travelers.

those hotel operations who can adapt to
changing trends.
These techniques should also attract manv transients
who have not used hotel
facilities, and should mean

additional

business for the industry as a whole.

"'-'It is too

•.

soon

attract

foreign

ment

Commerce efforts

America"

tourist

encouraging.

are

boom

abroad

are

of service

general

look

S. Depart¬

encourage

praise-worthy,

"See

for

food

and

grading
picture
*

demands

remain

European

that

they

offer

one

bounded

travelers

the

will be
at

Demand
1 %

much

overseas

inducements

industry
that

can

and

Ohio.

This

in 1961

contrast

only IV2 %

was

re¬

hotels

should

also

can

increased

also

serve

tourism

other

capacity in all phases
exert

some

prices

least

order

for

1962

looks

better

year

electronics

will

offered.

take

advantage

the

opportunities

component

about

was

billion,
$2.6 billion the year
approximately "$1 "billion of this represented

before;
replacement parts for the ever-growing quantity of elec¬
tronic equipment already in operation.
.
A

deal

great

has been said in the past year of the
of "integrated circuitry and molecular elec-?
tronics," and there is no doubt that much progress can

coming

age

be looked for in this field

over the next few
years. How¬
I believe the electcronics industry as a whole muat
keep in mind some of the problems that remain to be
solved before these techniques can be
adopted. For exam:
pie, drastic further reductions in the size of today's al¬
ready minaturized circuits is largely incompatible with

ever,

the achievement of the higher
reliability needed in comr
plex systems, while size and cost are also a trade-off pro¬
position in many applications. Provided that these limi¬
tations

are

circuits
its

•
.

look forward

to the new year, I believe there
to expect that the total value of electronic end

reason

products

the

proximately

factory will increase

$11.5

billion.

should

oper¬

80%

ample

alert to

business
new

performances

the

entire

economy,

one

JULIEN
President,

that

1961.

and

ucts

home

The

shipped
here

demand

the
the

our

second

drop from being

will

was

year

with

Robert C.

million

pared

Sprague

black

5.5

prod¬

but

many

and

segment, 1961

satisfactory balance,

inventories under good control
at all levels, thanks to careful
plan¬
ning of production in relation to
sales.
A total of approximately 5.9
white

million

the

sets

were

year.

produced
•

V,'

rise

1962.

Department has pre¬
about 5%
to record
The

com¬

manufacture

machinery and equipment for the
construction, mining, and quarrying
industries currently constitutes about

60-65% of Koehring's business. How¬
ever, we

believe that (1) in 1961

struction

machinery

normal—even
levels

con¬
were

replace?
(2) the ris¬

that

and

—

sales

below

level of construction

Highway

activity in
increased demand

machinery. The Fed¬
is a huge

Program

component of total construction. The

total

recovery in
half kept the

sharp

In the entertainment

company

Company

for construction

industry,

strong

any

they develop in

STEELMAN

Commerce

high

the

entertainment

for
as

1962 will generate

fairly high and
steady level of military electronics
procurement.
As anticipated a
year
ago, there was a slight drop in the
value

available

Koehring

construction

factory shipments of end products
reaching about $10.6
billion, compared to $10.1 billion in 1960.
This good
showing resulted largely from con¬
tinued strong growth in the indus¬
market

ap¬

this

Construction activity, one of the largest segments of our
economy, represented about 11% of our Gross National
dicted

with

why

reason

ahead.

years

Product

about

ing

see

opportunities

eral

turned

pattern should mot continue well beyond 1962,
although there will doubtless be shifts in importance
among
our
major markets from year to year, there

ment

1961

industry

our

and

products.

kept clearly in view, I believe

forward soundly in the perfection of integrated
other improved techniques of assembling

move

refinery

profits to

make^vjl am particularly happy to
valuqjof components shipped in 1961

$2.8

SPRAGUE

industry in

whole, and especially for those operations

.Chairman of the Board and
Treasurer,
Sprague Electric Company

up¬

for the

report that the total

the

product prices.

1962

below

The

military

$1.9 billion industrial electronics
generally favorable, but the level
depend largely upon the rate of increase

will

high as in 1961. There will, of
course, be a num¬
ber of organizations which will
do better than average.
The year will
challenge the managements of individual
companies to exercise initiative and
imagination in order
to be in the
above-average group.
C.

industry's

our

for the

1962

ROBERT

equipment spending,' about which economists differ
considerably.
In computers, however, further growth
is almost certain, to at least the $700 million level.

profits
strengthening of prod¬

is needed

gain

which

The level of product
prices will determine 1962
of oil companies.
Only a moderate
uct

four

growth

sources, and continuing excess
of the industry's operations will

downward pressures

than

and

energy

fine

the

attained

petroleum de¬
about

industry's refining capacity.
Higher demand could result in higher profits. The
big
question is the price structure.
Competition, internally
from

less

1.', V|.

further

domestic

and

military

upward

I960;
gain in
spending

War.

outlook

1960.

Ohio, demand for gasoline was down about. lk of
the 1960 level, although the last few months

sig¬

ef¬

The

1961.

over

from

only

the

large,

for gasoline

have showed improvement.
Satisfying the
mand in 1962 will require an increase in
ations but will continue to utilize

States.

By and

has

had feared.

These showcases abroad

industry

industry's principal product, gasoline, demand
nearly 3% in 1962 in the entire country and

anticipated

revised

further

budget, being
$3 billion greater than the peak reached during the

market

can

least

and in

ity to create truly international hotels, combining
mod¬
ern
techniques, architecture and services with traditional

United

industry's

adversity many times in the past. Tne
look forward to demand for all petroleum
products in 1962 about 2Vg% to 3% above the 1961 level.
For

look for

increased

use

pillion

to $6.5 billion in 1962, resulting riot • only
higher defense spending to which our govern^
ment is committed, but also from the
steadily increasing
dependence of modern weaponry on electronics for
intelligence and control. :^

can

those

for

salutory effect

blocks

from

industry

American hotel interests have
developed the abil¬

fectively

the

tunities for economic improvement.
This sounds gloomy. But the
oil

well.

innkeeping.

em¬

despite the fact
greatest oppor¬

even

have

Department of Justice will continue to put road
in the way of acquisitions and mergers

operations and will benefit the local tourist

our
as

American-operated

well.

could

tend

respite in the restrictions placed upon
by the government. Gas regulations willproblem. Import quotas will be continued. The

Efforts by American hotels to meet the

service

will

trial

and

see

sophisticated

industries

economy.

hotels that take advantage of the expected
foreign tour¬
ism—and participate in encouraging it—should

nificant results.

the domestic economy. The

industry

better

what effect the Federal program
tourists to America will have on the
say

industry, but the signs

than

managed ineffectively will suffer.

are

hostel-

ities. ^Renovation and redecoration have been undertaken

clientele.

growth

the

Hotel restaurants

slower

being streamlined and automated. Some companies an¬
ticipated current conditions and have already accom¬
plished a great deal. Companies that react too slowly or

Many hotels, especially these owned by the large
chains, have already made significant strides toward
attracting more guests for their rooms and dining facil¬

fic.

market will be

competitive situation has caused the oil industry
more cost conscious. Narrowing
margins have
improvements in efficiency. Uneconomic
operations are being weeded out. Refinery operations are

ries.

with the aim

total energy

necessitated

Some of the industry has faced up to the problem of
glut of virtually identical facilities at the major trans¬
demand

of the

to become

mistic signs.

sumer

Vry:

The

to outdo others, rather than with a businesslike
appraisal of what would realize a profit.
On the other hand, however, there are several opti¬

portation centers, and

•

phasize this disparity in growth rates between petroleum
Adm.

desire

somewhat

greater

with

concerned

improved. In view of this, we anticipate that the future
demand for liquid petroleum will probably grow at a

t h e
com-

operators have been
A. M. Sonnabend

its share

doubt that

hotel

part

been

$5.4

shipments

•

analysis and

greater restraint

reason

military

from

from the

Charles E. Spahr

addition, the oil industry's share of the total energy
market is being challenged by competing energy sources.
Natural gas continues to be a strong competitor for some
of the markets of liquid petroleum. Also, we expect the
consumption of coal to turn upward, even though we

mar¬

has

for

billion

government's

y'T expect

for,

need

careful

This

products.

$5.8

for expenditures by the Department of Defense of
$46.8
billion in the fiscal year
ending next June.
This is an
increase of $3.6 billion from the 1961 fiscal
year, and
represents a record peacetime military

results in
excessive supplies of petroleum prod¬
ucts.
In
turn, this leads to price
weaknesses and to sharply competi¬
tive marketing.
y.:' ir;:;:
,•/

There

in auto

times since the last budget was
presented by the Eisen-rhower administration ;last
January, and currently calls

into

oil

crude

is every

The

some

petroleum

improp¬

erly placed.

there

and

Korean

convert the

of electronics

again in .1961

ply of crude oil puts pressure on re¬

hotel

recovery

level.

Procurement

finers

rooms

many

have

billion

program

the past five years,
have grown at half the rate experi¬
enced during the previous five years.
This is principally the result of the
world-wide oversupply of crude oil
and refining capacity. The oversup¬

of America

Chairman of the Board, Hotel Corporation

million, as well as a modest
gain in home radios. I therefore, expect con¬
electronics volume to recover to
the $1.9-$2.0

sumer

1962.

during

which,

BERGEN

I look for an increase of TV set
to about 6million sets, and a good

gain in total radio volume reflecting

been
of

JOHN

industry.

radio shipments to at least 6

operations, but in the recent past there
has been increasingly strenuous ef¬
forts
by oil
companies to obtain
markets. Individual companies have

President, and

ADMIRAL

the

further

all phases of its

SONNABEND

ment

production of 6%

(Ohio)

Company

Oil

Standard

petroleum industry is not escaping the narrowing
profit margins that has confronted industry generally.
Ours has always been a highly competitive industry in

as a

There

Thursday, January 18, 1962

The

whole and by the Blaw-Knox Com¬
pany as well.1, But our primary concern at this point
should be with those fundamental issues now at stake
which will shape our destiny for many years to come,
by the economy

bust, but

nor

which will record another healthy advance

one

The

President,

SPAHR

CHARLES

ball which enables me to predict the statistics
which will be added to economic history this year, 1962
crystal

shaping

Continued from page

Chronicle

The Commercial and Financial

(364)

Federal

thorized
Julien Steelman

volve

Highway
a

Act

$11.5

1961

which

program

billion

au¬

will

in¬

additional

interstate highway funds to ensure
the successful execution of the program. Already in 1961

highway contracts awarded

are

running 9%

above

the

record year of 1960, and further increases are expected
for 1962. Although highway construction constitutes

about
road

10%

of total

building

new

contains

only
construction, money spent on
greater ingredient of con¬

struction

machinery expenditures than money spent for
construction, and thus road building becomes
relatively more important for construction machinery
manufacturers than its position in the total construction
picture would indicate.
residential

have

We
our

been

experiencing

gratifying

increases

construction machinery orders in the closing months
1961 over comparable year ago levels. This fact is

our

best

direct

evidence

that

1962

should

better

for the construction machinery industry.
Approximately 20 to 25% of our business consists

year

the manufacture of metal and plastics forming machinery.

In radio, 1961

was a generally good year, thanks to
sets which nearly offset adrop in the automobile radio market. \ Total
dollar

Spending

greased demand for home

volume in home
entertainment products came to
approx¬
imately $1.8 billion against $1.9 billion in 1960. The
year ahead should be a
good one fot the consumer

ward

for

new

machinery by industry

usually

lags

behind

20%

seg-

a general upturn in the
economy, and the trend
in sales for this portion of our business has been down¬

during 1961.

This, trend

is:

now

reversing,

strength of the recovery of this, portion of
,

;

our

Continued

The

business
page

Volume

Number 6126

195

annual

dinner

arid
the-

association.
Mr.

About 8%

Co.,
term

expired.
Other

officers

elected

were:

William A.
Webb

&
Phillips B. Street

Clement

Drexel

John P.

and

Co.,

McCoy of

Thayer, Baker & Co., Secretary.
Mr.

Keen

Board
one

elected

was

Governors

the
for

serve

Although the petroleum

cation in. the

still

elected Governors to

mass

opened, bringing the total to 38.
for

discount

this

with

planned

minimum of

for two

serve

7 7

777;|:(V:

Henry McK. Ingersoll of

Street Fund, Inc., 1
York

•

William Street,
-

•

City,

it77was;7
7 announced- 'byO:
'Allan B. Hun*-1;,

ter,; President
of the Fuhd.7;
;>.f;Mr. Strauss:.
is

director

Coastal 6 from Florida's

Gateway City, Jacksonville
Put your new

ysis
I

of:'

for

the ;

w. thomas rice

advisor

southeastern

■

for

the

are

rapidly

transportation,

forward

and

another

that

year

for

1960.

;

during the coming

year

the

Congress find,

77,.

traffic for 1961

777 77:-77"

'V';;

T>.,

Wish & Co.

.'Formed

;

industry

whole

;

unless the Administration and

has
919

been

Hollywood

offices

Way

to
business.

engage in a
securities
Officers are Robert J. Wish, Pres¬

ident; Robert E. Foley and James
R.
Beardsley,
Vice - Presidents;;
and

Sheldon

Treasurer.;
Haas

Haas,

becreiary-.

Mr.

were ;

Foley and Mr.
formerly , with Cos-

tello, Russotto & Co.

for

merce

Coast

formed with

North

report

many

legislative relief

several

realistic,depreciation
tion

relief

reserve,

either

the

removal

agricultural
merce

Act.

measures

)

discriminatory

extension

clause

the

investment
Seidel

Co.,

458

Street/ Officers

President;
President

continue

business

are

Arnold

the

Morton

South

Spring

Morton Seidel,

Seidel,

Peter

and:

Treasurer.

and

of the

Interstate

Com¬

f " "

President, Food Fair Stores, Inc.

7 louis stein

The retail food

ANGELES, C a 1 i f.—Morton
& Company, Incorporated

Seidel

taxation,

the railroads

;

'Special to The Financial Chronicle)

formed

equipment and plant, construc¬

from
or

exemption
:

7 7

been

ViceMeyer,

1961.

the

industry continued its consistent growth'

estimated

that

total

food

store

sales

for

will approximate $54.9 billion, as against the
$53.8 billion achieved the previous year.
This repre¬
sents a gain of 2%.
The greatest
beneficiary of the retail food indus¬
try's progress last year, as in pre¬
year

*
mSEm:

vious years, was the American con¬
sumer.
While food purchases were

food expenditures as a percent¬
of disposable income continued
uninterrupted decline.
Since
1953, the share of the consumer
dollar spent
on
food has dropped

up,

age

Form

Metco

their

Syndications

Metco Syndications, Inc is engag¬
ing in a securities business from

almost

offices

This

Building,
ficers

ident;
dent;

are

David

Time

New

and

Life

Louis

York

City.
Of¬
Gettinger, Pres¬
Berk, Vice-Presi¬
Lacher,
Secretary;

Grill, Treasurer; Samuel

Assistant

Shapiro,

Treasurer;
-

and

Assistant* Secre¬

tary.

four cents to about 21

reflects

cents.

the

steadily improving
efficiency of the retail food- industry, particularly the supermarket, in
approaching its goal of mass distri-

Edward

Arthur

Bernard

Pam,

the

bution

maximum

value

least »

possible COSt.
It is especially noteworthy that
Secretary of Agriculture -Orville L. Freeman has under¬
taken a campaign to inform housewives that food is a
bargain.'
7 77.
7
:,
Louis Siein

7.-.;

•

that have been sought

Prominent among these would be

years.

Inquiries held confidential.
Direct Inquiries to:
R. P. Jobb

Department B-132

'7.:/'-Atlantic Coast Line Railroad

will recommend to the Congress that railroads be given

for

facilities

this and other good sites

Assistant Vice President

during the latter

transportation

has

in the Southeast Coastal 6,

7 "

•-.

part of 1961, it is sincerely hoped that the Administration

Seidel Firm7 Incorporates
LOS

Since President Kennedy asked the Secretary Of Com¬

BURBANK, Calif.—R. J.; Wish &
Co.

•

Varied recreation, sports, urban

For details

our

triple

was

taxes and regulations on the industry.

some

Jacksonville's navigable St. Johns River

to relieve some of the burden¬

ways

•

City, U. S., State and Interstate highways

industrial site at Jacksonville, Flu.

W. Thomas Rice

s.,

The One William Street Fund, Inc.

•

overall standpoint, I foresee very

■

•

.777.

However, from

•>
"

•

look
that will at least double

little improvement for the railroad
_.

•

And good,

the spot.

Other advantages include:. \

Peter'Strauss
.

Industrial labor is available—

estimated 6,000 workers.

with Coast Line oq

;

graded and subdivided

varying sizes. Provision has been

economical transportation is assured,

Piggyback

volume.

present

un¬

derwriter

states

growing ones in the
industrially, and Coast Line
;has invested many millions of dol¬
lars in valuable -real estate adjacent
to many of the larger cities we serve.
:
>This will enable us to offer desirable,
plant si.es for any type of industry
-•moving,into the Southeast, Accordingly, we expect stepped-up indus¬
trial development during the next
twelve months.; 777'v7, 77: V
V We believe that piggyback service
is one of the greatest areas of rail-;

and:;

.national

into lots of

nation

tmen.t

n v e s

290-acre site has been

natural gas.

The

Brothers, k

man

park that's been

carefully planned by Coast Line. This

coming

:•

Leh-

Lane Avenue

subdivision—the industrial

Advisory Service

manufacturing

new

made for municipal water, electricity and

road

stment

n v e

warehouse

plant in Jacksonville's

•

Security Anal•

marketing

elected

Strauss, has been

page

corresponding increase in
transportation needs in this area. ;
cause

.Vice President of The One William

»V''r

Canaveral area, will unquestionably

Street .Fund 7:77777

■

predicted for the

Continued

program for the Southeast

is good. Increased industrial activity in the sout iveastern states, in addition to the contemplated expansion
.of
the
Government
missile
program
in
the Cape

Of One William

activate your

President, Atlantic Coast Line Railroad Company

P. Strauss V.-P.

new

•*»

year

operation

and possibly 20

increase in sales.

The economic outlook for Coast Line during the

;

Continued expan¬
store

the expanding national economy

Smith, Barney & Co.

department

units to be added in 1962.

expect other segments of our business to approxi¬

Barney & Co.; George J.
Ourbacker of Yarnall, Biddle &

Peter

distribution of general merchandise.

sion

Smith,

and

been

should produce substantially greater
profits in response to firmer pricing, the continuing
benefits of reduced expense levels, and a likely 5 to 10%

Robert T. Arnold of White,

Weld & Co.; Edwin J. Pearson

Co.

10-state

Since acquiring the Fields chain, five new units have

Nine teen-sixty-two

the following were

and

year

years:

business results from the manufacture

our

machinery manufacturers
during the past
several years have been working out'TRcir individual
responses to below average markets. For manyXincluding
our
company,
1961 was a year of further decline in
heavy machinery sales even though we began to "bottom
out" in incoming orders by the third quarter. However,
plant consolidations, close cost control and overhead
reduction
programs
instituted during 1960 and 1961
helped effect sizable profit improvement.

Bodine, Vice President; Frederick
J.

Heavy

Crouter&

Treasurer

period.

significant step taken by Food Fair during the past
was its entry into the discount department store
field with acquisition of the Enterprise - J. M. Fields
chain. We believe that the highly efficient supermarket
system of food distribution will find increasing appli¬

mate 1961 levels.

Townsend,

fiscal

De-

Haven

present, Food Fair operates 457 units in

chain from Rhode Island to Florida,

apparently faced with ah oversuppiy
problem and vigorous price competition, sales of our
products to this industry have held up reasonably well
in 1961. In the closing months of 1961 we have experi¬
enced a slight increase in drilling activity. Sales of oil
well hardware for 1962 should be comparable to 1961.
industry

o s e

and sale of oil field hardware.

R. W. Press.-

prich

year

Gordon

Keen

constructed in

Current sales are
at an annual rate of approximately $95Q million.
On
this basis, Food Fair now moves up to fifth largest
retail food chain in the nation.
>.

Street: suc¬

ceeds

year,

they go into effect, could serve to stimulate new ma¬
chinery purchases in. 1962.

elected President of The Phil¬

encouraging modernization Of plant and equipment
by revision of "Bulletin F" lives for depreciation pur¬
poses of all industrial machinery (as was done recently
in the case of textile machinery) and for providing a
tax credit for investment in new equipment, which, if

First Boston Corp.

The

meeting-

depend

for

adelphia Securities Association at
the

the

several factors and influences, one of
the most important of which is the level to which gen¬
eral industrial production will rise in the current re¬
covery. Other factors include the government's programs

PHILADELPHIA, Pa —Phillips B.
was

expansion program was stepped up during
By the end of tne company's current fiscal
year, next April, we anticipate adding approximately
45 new supermarkets, the largest number of new units

Continued from page 96

will

Elects Officers
of

Food Fair's

SGCS ASS'll

Street

(365)

The Commercial arid Financial Chronicle

Jacksonville, Florida

write
;;

call.

(366)

The Commercial and Financial Chronicle

Continued from page 97

that there

several

are

laboratories—including our own—
of perfecting several in¬
teresting developments when the old year ended. Arkla
and its subsidiaries are well
along with design and test
on various
products in air conditioning, heating, outdoor
lighting, refrigeration and power generation to supple¬
which

ahead, the food distribution industry will be con¬
fronted by a three-fold challenge:
(1) To continue to provide the public's food needs
in the most efficient and least costly manner.
year

were

the

white

threshold

Thursday, January 18, 1962

paperboard for cartons, Glamakote finishes, and
through the gamut of packaging and container

technology.
All

these

trends

present an opportunity to bring
improvement in business profits which is es¬
sential to the future growth of our economy.

about the

gain its share of the increase in the Gross
ment our work in this area in 1961.
Product; and
The gas industry will react more aggressively
and
(3) To maintain its profit level.
more
affirmatively to the competition of other energy
We anticipate a greater drive for volume concurrent
sources in 1962 than ever before.
It made a great start
with greater utilization of our ingenuity, imagination,
and skill in developing improved efficiencies and new ;; in 1960, picked up momentum in 1961 and will really

(2)

National

•

■

•

of profit.

While

expect to see height¬
ened interest in perfecting variances of the traditional
avenues,

we may

supermarket form, by far the preponderance of volume
will continue to be done through the highly developed;
conventional supermarket. -

roll "in

1962.

This will

the

g;I;

best

'-„V

that free world petroleum demand out¬
will rise about 6%; The increased crude

are

and

the

new

production

in Libya will start ltd become significant .in the world
crude oil supply picture in 1962.
More1 important to the oil
industry than volume in

price.

The

industry's price realizations during
were

relative to costs, were

century.

Refiners

maintain

not

adequate

prices

Even

probably the lowest in

healthy

quarter
can¬

business
which their

upon

hope, therefore, for

the lowest in years,
and,

beginning to realize that they

are

some

unless
they obtain
earnings depend. I
price improvement in 1962.

beyond the refiner, the whole industry cannot
indefinitely based on the 1961 price structure.

continue

Each major segment of the

industry—production, trans¬
portation, manufacturing and particularly
marketing-—
generate earnings commensurate with its invested
capital, sales volume and public services rendered.
Upon
better prices,
therefore, the welfare of thousands of small
as

1962.

well

of the so-called majors,
depends for

STEPHENS
Board

and

feeling is that the cost of money
probably is the'
important factor to be considered in 1962 in con¬
nection with developments and
expansion in the natural
gas
industry and the segments of the
manufacturing
industry
serving
the
natural
gas
companies.
.

^■|§|i||HP
"

lig i
/l§M
;;:JlpF
^W

portions of the

goods

manufacturing industry,
but
they are
being held
abeyance to see when and whether
lower
interest rates are
going to

the

lower

will

President of the United

HHpKY

committed to the
interest

taken

principle
feel that steps

///

cheaper. If this

occurs

Stephens

time, 1962 will

rapid and extensive developments in the natural
gas
industry and its kindred consumer goods production. '
see

Research,
natural gas

rather

production

development,

the

industry is booming and spectacular
develop¬

ments in this field

product

take

well

could

care

William c. stolk

\/,,V

occur

1962.

has

been

We know

year

design.

demand for credit will undoubtedly

increase as long as
upward trend, and interest rates should
be firm. Deposit totals should remain at least as
strong

•

business is in

ated

willing to

for it in

pay

package.

We used to think that
opening

can

was

pretty

easy

compared to all the work of
preparing and cooking your
own dinner.
But today customers will
pay more for a
package they can open without an opener. In the

making

Another is

can

consumer

demand

pies include

"large economy" size. Examhalf-gallon plastic-coated milk car¬

24-ounce pressure

convenience,

pouring feature than any
the market. Another is the
giants
can

just being introduced for
paints and insecticides/

To meet the profits
squeeze, our customers want
help in cutting their manufacturing costs.
This gives us/
the opportunity to
design materials handling and pack¬
aging machinery to meet their needs. For several
metal cans have been stacked
for

pallets, with large savings in

years,

shipping in huge bulk

space and

successfully adapting this method

weight. Now we"'
for both composite

for

vending. At

the

service is
answering the question of
costs
in
large

institutional

schools, and hospitals.
Finally, the profits
than

ket

ever

same

time

paper

keeping down labor

restaurants

for

industry,

selling. And here, the package is the
salesman, put¬
an equal premium on the
attractiveness of the litho- ;
graphed can, the
see-through glass or

ting

plastic,

Hi-Fi,.

better insofar

SUTHERLAND

gains and rising consumption of
expected during 1962 in Northern and Cen¬

average for the

period will be $165

{/■

million..

Contributing
be

the-increase

for gas and electricity will
.estimated 3M>%
growth in

population,

|
j

272,000 persons, in the
47 counties in which the Company'
provides service.
By year's end the
population of ,this area will have
passed 8 million.
We look for a 5%
increase
new

home

our

record

for

building over last
estimated 86,600/

service

hours

Preliminary
the start of

area.

set

rouce

2-billion

$300

sendout
200 cubic

gas

million

Alberta-

pipeline began Dec. 4 just 14 months
construction.

One

compressor

station

Pass, British Columbia,

under construction
along the 1,400of the line. As they are
completed, deliveries

Canadian

an average

N.R.Sutherland
//

all-time

than

the

is in operation in the Crowsnest
and three others

/ /

new

testing

California 36-inch

During December

mile

single.family homes and apart-

ment units'in

feet.

[

demand

from

squeeze makes more
important
the trend of the
past generation to supermar¬

business

are

year; producing

vending machine business
is another trend
being accelerated by the profits squeeze 1
There is a growing market for
all kinds of food and bev¬

good

Pacific Gas and Electric Company will
estimated $221 million for construction of new
facilities. ^
This/will be the third
*' /,/////;.1//./1:" " V
/time in 17 postwar years that PG&E's
annual / construction
expenditures
have
exceeded .,$200
million.
The

spend

(4)

tral California.

for the

new

containers

energy

also being introduced to meet,

are

ton. To make this meet the
requirement of
we also had to
develop a better

are

Continued

slide-out tray, and
opens and recloses

(3); New packages

should be

President, Pacific Gas and Electric Company

for frozen juices with
a

1962

NORMAN

key-opening ham

new

easily.
"

that

pears

bank earnings are concerned.

coming
variety of containers with new

One is

aluminum

their present

these favorable factors must be offset the

by a cost-conscious economy. Career housewives
don't want to lug returnable
bottles to work in order to
do their
shopping on the way home. More and more
people demand time- and labor-saving convenience and
are

relatively high levels. However, agairist
higher interest
rates
paid/on savings and time deposits. The longer
term implications of the higher charges which the banks
must meet
could reduce liquidity and loan standards
in some areas of the banking system at a time when
these factors might be of importance. On
balance/it ap¬
as

convenience is actually acceler¬

were

is about to be obsoleted
by major changes

(2) The trend to

developments in 1962.
Assuming a strong economic background, the banking
industry should have a good year in ,1962. The total

years

has been

ago

for any; short .term favorable

•

measure

in materials or

enacted.

creases,

of the pace of
change in the tech¬
nology and economics of materials. Every one of the
billions of containers and
packages we made five
a

•

to succeed in curbing inflationary wage in¬
these questions will require determination and
hard work before they are solved. If the
economy were
to lose its vigor in the second half of
1962, persistent
high unemployment would still be with us. These serious
long term problems tend to temper one's enthusiasm

halted.

most large-volume can cus¬
opportunity to convert to light¬
weight tin plate. This should give both them and us the
opportunity to keep costs down while improving profit¬

Here is

expenditures for goods

projection for'the second half of the year involves
guesswork but it is generally expected that the economy
will be operating at new high levels by the end of 1962.
I Capital expenditures for plant and
equipment,by- busi¬
ness, particularly as overall production exceeds 85% *of
capacity; a moderate increase in
residential construction;
and an expansion of commercial
building should all be
supporting factors in the / economy. Improvement and
modernizing of facilities could be stepped up in 1962,
especially if special • depreciation allowances and rates

Some of the chronic problems which we face, such/as
inflation, a declining gold stock and unfavorable balance
of payments position, and an
increasingly competitive
European economy could all be unfavorably influenced
by the pattern set in the steel wage negotiations. /Even

the

ability.

Robert e. Straus-

are

result, the spiral of cost

container materials

have

expected to accele-'

/..

(1) The new competition between materials and com¬
binations of materials is typified
by the battle between
aluminum and tin plate. As a

will

six major trends which give
an:hler^cbmhany
packaging and container fields an opportunity to
meet tne challenge of the
squeeze
on
profits in the
period ahead.

During the coming

the economy will be government
and services.
'•
'

in the

tomers

- •

a mid-year steel strike;
is already discernible and this is es-

both

metal

</;

...

inventory accumulation "in

with

fl|

manufacturing equipment and dairy-fabricat¬
ing equipment Ifor?our new' plastic-Coated paper milk

increases in

as well as the poslong/term consequences.' /

probably continue to rise in the first six months of 1962,
this emphasis on durable goods. Also
supporting

>■
.

future

see

encouraged by steadily rising income and a liquidatipn
of a portion of installment debt. Total retail sales
will

Naheola, Ala.; addi¬
manufacturing facilities for Dixie Cup home
products; a new Midwestern plant for Bradley-Sun Divi¬
sion's plastic tube; and plastic-blown bottles
operation;

,$1,"

pecially true in steel itself. Building

im¬

containers.

'
/ ; .'"'l' ,.•/
; second quarter. The: consumer, who was somewhat be¬
hind times in displaying his confidence
during the mdst
recent cyclical recovery/ is now spending at record
rates,

growth. These include expansion of the Marathon Divi¬
sion's Southern pulp operations at

and

be-

time

economy,

of inventories

Our
company
has a number of /
maj or programs under consideration

1962

this

rate between now and the end of the''

divi- /.

to contribute to

shortest .of

par¬

anticipation of

earnings by substantial im¬
provements in the efficiency of their
operations.

for

tne

sibility

proved

erage
w.R

by the Administration

to make money

major

our

able

containers and glass jars and
bottles.
(5) The rapid growth of the

materialize.
is

were

forecasting is

difficult-'at

Business

was

particularly pleased.

we were

all

sions

variety of products such

long-term expansion
plans. I know of quite a few
expansion plans on the boards in
the gas

Since

this,

that

size

encourage

some

circles

how to offset the squeeze on profits
in the face of higher costs. In view

previously available

Presently there appears to be an
ample supply of money available but
the cost is higher than it
should be

ticularly

"Flip-Top1"' Which

industry, and in

business

a pull-off
top. Bacon packages have
ice cream cartons a

President,

most

States

cause the steel wage
negotiations at
mid-year will have short term effects

Wmt:i

heard

pronounced

to /

Despite the rising level of business
activity in 1961, the complaint most
often

expected

The problem of

HSMflMBHItt

can.

Arkansas Louisiana Gas Company

consumer

for

.vis

extend for the full year.-

may

fore-/.

company

easier-opening features.

Chairman of the

our

opportunity

/
a

measured

throughout the first half of

Chicago, 111.

is in the midst of

for the current month. This favorable

•

continuing
improvement in both sales and earnings in the coming year.
an

year we will be

Chicago,

economy,

; snowii a fairly
from 102 to an estimated rate of 11

Barring these,
sees

must

businesses,

tional

taining the good will of the exporting nations.- The out¬
put of natural gas and condensate may increase as much
as 5%. Overall, drilling
activity can be expected to show
only a slight increase. Refinery capacity, now in fairly
large surplus, should only sho v primarily the changes at¬
tendant
the replacement of obsolete
equipment.

•

tion to the beneficial trade and security effects of main¬

1962

the

trend

STOLK

STRAUS

March, 1961, in¬
by the FRB Index has
consistent ' advance'

ject to the usual qualifications concerning a worsening of
the cold war crises or disruptive industry-wide strikes
on the domestic front.
.•
I,
;

specifics, crude oil production in 1962 will
probably remain at just about the present rate, assum¬
ing no change in the present level of crude imports.
My guess js that there will be little downward change
in import quotas if the Administration
gives considera¬

the last six months of 1961

nation's

dustrial production

Forecasts of business activity for }962 are of course sub¬

I look, however,

As to some

side the U. S.

one

Chairman, American Can Company V

tial increase in gasoline demand.

5oil production in the Sahara

see

business recovery following the mildest and
the post-war, recessions. Beginning in

for the natural gas industry in 1962—if the
is stabilized reasonably..
//%///■;- / ;
;

WILLIAM

for domestic demand for pertroleum products to increase
,by only a modest 2.5%. This rela¬
tively small expected increase re¬
sults in part from the stability
of
oil product consumption during the
recession months, when many heavy
goods industries were sustaining sub¬
stantial
percentage
decreases.
In
other words, petroleum opens 1962
with a relatively higher base than
many other industries, and its ability
to show a high percentage gain for
the year is thereby lessened.
During the recession months, sales
of gasoline and heating oil actually
increased. Heavy fuel oil, which is
geared closely to industrial activity,
was the only major
Edward L. Steiniger
product to lose
volume in 1961.
Admittedly, auto¬
motive gasoline faces a challenge in 1962. The growing
use of compact cars has resulted in a lower
consumption
rate per mile.
On the other hand, if the GNP rises as
predicted, we may be agreeably surprised by a substan¬

Indications

The

ROBERT

research,

'//

not an incurable optimist but I

years

7% rise in the Gross National Product.

cost of money

it faces the new year
of economists in predicting a

unanimity

near

fields

product development, improved industrial tools and probut more especially in the area of sales and

pricing.

President, Sinclair Oil Corporation',

is heartened

the

./ cedures,

E.. L. STEINIGER

The oil industry

occur

President, American National Bank and Trust Co.

are

natural gas to California will build
up to
415 million cubic feet a day. This large addi-

Volume

Number

195

'.r:

6126

■

■'

The Commercial and Financial Chronicle
'
' ' I •'
'
•
'•»
•

tional supply of natural gas will stimulate further eco¬
nomic development of the PG&E service area.
The
market provided for the gas'will be of mutual benefit
to

Canada,

mand will increase about

producing income

constitutes

PG&E
America

one

result

broad

that

already reached the proportion of about
Continuing Communist activity

expected.

■* '
• "■..
■
Economic integration of

Europe is moving ahead at a
steady pace, and the already rapidly rising demand in
European
nations
for
petroleum
products
will
be
strengthened materially through the influence of the
European Common Market.
"":C

'•

•■i;-' S,
agree

of
-

•

there
■>.

•

all

will be augmented.

between them

.The

split of the common stock.
The consequent
reduction in market price should result in a broadening
of public interest in the stock of the Company, an in¬
in

the

stockholders,-and

number

greater

availability of shares of. common stock for purchase and
sale. Such improved and expanded market for the stock
.

the- Company

should benefit the stockholders, the
general investing public and the Company.
r7 £•; ;

LEE GALLEY

President
<

Sales

the

Board, i-

"
i

]

earnings of the Coca-Cola Co. .for the first
three quarters of 1961 indicate that this will be the most

successful year, in our seventy-five year history;
: ;
.The improvements in the economy of this country
.

which have been experienced in re¬

frOm

covering

the

which

products

our

can

the fact
of

1961,
in-selling

cars,

»,

The

slowdown

recent

1962 outlook.

—manufacturers

have

has also continued to

cars

now

use

60 million,
\

According to

recent

compared

as
\

grow.

in the United

with

survey,

57%

all

are

sold
of

J-

; v, r

the

course

ap¬

much reduced rate
spring and summer.
>
The continued rise in economic activity should create
sufficient demand to warrant a substantial increase in
although

E. D. Tull

from

privately

shipments

that

ing 1962.

in this country are five years old
older. In 1957 only 47% were in that age group. These
facts indicate a very substantial number of car owners

heavy

duty

diesel-powered

are

•

—

LeeTalley

;

particularly . in the light of possible
political realignments—we are "' encouraged by
experiences of our own business. To dwell on the

abrupt
the

occasional economic slowdowns which crop up here and
there would be to ignore a generally active and im¬

proving economic standard throughout the Free World.

The Plastic Wire & Cable Corporation
Jewett

JOHN

President,

SWEARINGEN

Standard

The year 1962 looks like

industry, and
The

national

crease

10%

gain

1961

over

of " 7%.
use

and

Growth

show

Domestic

the

petroleum

5%- to

been

expenditures
the

1961

prices

will

tinue through most of 1962.
First-half earnings will

the

year

some

about

the

whole,
same

429,018

1.62

12,311,796

499,619

1.93

10,093,714

332,629

1.62

12,302,916

780,692

3.82

11,427,775

700,471

3.80

8,512,565

331,021

1.84

6,202,502

251,944

1.57

1956.

1955—.---

con¬
,

;

probably

1954
John E.

—.

NOTE:

other

however, industry
in" 1962 as in 1961

The

products.

earnings
or

show

Foreign Free World (outside U. S.), petroleum
continue rapid growth in 1962. Production and de-

Swearingen

improvement.

In the
will

$379,931

13,142,463

1957.

lower for most oil companies be¬
cause
of lower prices on gasoline and

For

$1.40

$12,002,898

1958——

should, be

Per

1959

esti¬

adopted

gasoline

Net

Income

I960—

by
rise

by several
major companies, and introduction of
these practices has
brought severe
price repercussions. It is likely that
unsettled

Net
Sales

1961

•

have

Income

Sept. 30

mated total of about $5 billion.
New practices of marketing gaso¬
line

Net

Year

above

Cord Sets

Fiscal

Ended

industry should

.Electrical Wires, Cables &

domestic

1962 v/ill be

capital

City, Connecticut

Manufacturers of

the Gross

should

modest—about 3%.
:

(Indiana)

Industrial Production in 1962 should in¬

Product

petroleum

Company

good year for the petroleum

better year for the economy as a whole.
economy
should show stronger gains

than oil in 1962.

National

Oil
a

income

share is calculated on the basis of the number >-f
shares outstanding at the clcse of the fiscal years, adjusted to reflect the
10% stock dividend in 1954 and 10% stock dividend in 1960.
The net
income for prior years is restated on a basis consistent
with a revised
depreciation policy effected in 1961.
net

per

trucks

dur¬
_

Continued

eco¬

conditions

reflect

cycle thus far this year.
beginning of last fall the
of business was still upward,

Although it is prudent to take a
generally conservative view of
economic

influences and the

world-wide

How¬

economic
At

million

continued

have

both the seasonal

■

steadily highej\

moved

the ingredients are lacking for
full-fledged boom in 1962.
Factory shipments of heavy duty

trucks

The total

States

orders and in¬

ever,

car

new

dustrial-commercial building awards

reasons

one

view of the

is still to come. Capital
spending is bound to be accelerated
in response to the market gains al¬
ready recorded in corporate profits.
Two very solid leading indicators

million, and the number of households owning

than

evident

basic

our

programs

for expecting passenger-car sales
to continue at the present level are the many indications
of a permanently higher level of need for personal trans¬
portation. Qver the past few years, for example, the
number of car-owning households has
increased by
several

expansion,

Much of the impact of stepped up military

0-,v

business

weeks, has not changed

1,000,000-unit level for the first time since the years
following World War II when private industry was
rebuilding its truck fleets. The million-unit total was

achievedjn 1951.,,,

TULL

President, Cummins Engine Company, Inc.

the

iAmong the

the part of businessmen and consumers,

with

be sustained in the

coming year.\

1955.

Expressions

1955

and wane,

degree

some

progress.

that this rate

available.

than 110 countries

experiencing
nomic

wax

cars

high levels of personal income and
savings, should result in sustained and stable prosperity
in 1962—provided there is no prolonged interruption of
industrial activity arising from strikes and no serious
blow to confidence resulting from further disturbances
in world political conditions.

throughout the
Free World, in fact, shows many en¬
couraging signs. In spite of interna¬
tional tensions which

Confidence
combined

imports, have been
seasonably adjusted annual rate
million—with every indication

were

made in

owned passenger cars

activity

most of the

of- passenger

Survey Research Center.

likely to

cars

close to 250,000 units. If the present rate of sales is sus¬
tained during the next 12 months, truck sales may reach

in 1951.

Business

of this favorable attitude toward the buy¬

frequent as they were in similar
and 1956—when consumer con¬
fidence reached the highest level ever recorded by the

market

quarter

assortment

Truck sales in the fourth quarter are expected to total

proximately

generally throughout the soft

sales

sold in the fourth quarter of

flected

industry which appears to re¬
fairly rapidly.

fourth

that there

and

attractive

surveys

7-million-unit

solidly based

the

of people expressed

favorable,

are

consumers

ing of

of automobiles in the fourth quarter of
expected to equal and possibly exceed the
record total of 1,701,000, which is the number of units

number of

act to economic trends

The

1962.

survey great numbers

conditions

the number of automobiles,
are

same

now

are

"recession" of 1960-61 have been re¬

drink

retail

In the

that credit

sales

Retail

1961

analyzed

much

his

the view that current automobile prices are reasonable,

concerning

eluding

;
■

Lynn A. Townsend

last

and

the

sold

retail

Coca-Cola Company

The

Chairman

and

that

,3-for-l

crease

■

On Dec. 20 the stockholders of the Company approved
a

estimate is

use

■:.: ■'■. •"

size

recent weeks

including imports, that

in the most economical manner

resources

through the Power Pool will produce far-reaching public
benefits,

including the coordination in the future of
expansion programs.
Existing inter¬

system

for passenger cars has cited 7 million

individual

connections

forecast

units

their

coricert

to buy cars, con¬
apparently also in the right mood to buy.

are

improvement in the consumer's confidence
future, which normally has a strong bearing
willingness to spend—especially his willingness to
spend for major items like housing and automobiles.

opinion with
regard to prospects for a coming year.
^ In
the automobile industry there
is the same kind of agreement. Vir¬
tually everyone who has made a

■

largest power pools in
complete integration of its

such

been

ago.

year

marked

almost universally in expecting 1962 to be a year
stable prosperity. At no time in the past
has

used

for

about the

sound and

decade

cars

The latest survey of consumer intentions by the Survey
Research Center of the University of Michigan showed

Businessmen and economists in all parts of the country

The California Power Pool
which we have just formed with the three other prin¬
cipal electric utility companies of the state is a further
advance.
It provides for the continuous interconnected
and coordinated
operation of the member companies'
systems,

sumers

;

new

younger

Along with their financial ability

'. V-4'V

-•

•' President, Chrysler Corporation

years.

many

•

was

.'; LYNN A. TOWNSEND

the

for

-V

unusually widespread regional system.
Additionally we
have been interconnected with our neighboring power
systems

10%
can

market.

are

savings increased steadily. Installment debt has remained
stable, and there has actually been a slight decline in the
ratio of installment debt to disposable income.
Automotive installment debt-rafter dropping steadily
in the earlier months of 1961—is now rising in line with
increasing sales. However, the amount of automotive
installment debt outstanding is still well b£low what it

Europe.
•
'
*
Communist bloc cut-price exports to Western Europe

the

than those they now own.
Consumers are in a good position to buy the cars they
need. During the short and mild recession of 1960-61
personal incomes remained relatively high and liquid

ern

have

potential customers for

are

which

cars

one

v'!

>•

who

major hostilities.
foreign considerations, one negative and
positive, concern the spread of Russian bloc oil and
products and the growing economic unification of West¬
Two

creating

but there will be

continue

are

be started in 1963.

and

10%, with earnings up some¬
5%. I expect that the cold war will

what less—perhaps

jobs there.
continuing to connect new gas producing
areas in California to our system.
A total of 128 new
wells in nearly 30 fields of the San Joaquin and Sacra¬
mento Valleys is included in the authorized program
of connections during 1961 and extending into 1962.
These connecting systems require a total of 112 miles
of pipeline.
In 1962 we will build an additional 127
miles of transmission main in sizes up to 36 inches
diameter.
Our natural gas service area will be extended
further in the northern Sacramento Valley.
Eleven
electric
generating units totaling 2,025,000
kilowatts capacity are included in our currently autho¬
rized construction program. Six of these are in progress,
of which five, with 532,500 kilowatts capacity, will be
completed in 1962, bringing the capacity of all PG&E
plants at the end of this year to more than 6V2 million
kilowatts.
The
completions will include the 60,000
kilowatt nuclear unit at Humboldt Bay Power Plant.
Construction is scheduled to start during 1962 on four
units totaling 997,500 kilowatts,' including the 325,000
kilowatt Bodega Bay Atomic Park.
The eleventh unit
in. the current program, of. 165,000 kilowatts, is planned
We also

(367)

■

page

100

The Commercial and Financial

(368)

100

financially-pressed Baltimore and Ohio Railroad as the
initial step leading to full merger.
Lengthy hearings
during 1961 in Washington and Other cities were held
on C&O's application. The Examiner's report is awaited.

Continued from page

der WAAG

WALTER E. VAN

•

;

Meadow Brook National Bank,
Hempstead, New York

The

President,

West

Chronicle

continue in

Thursday, January 18, 1962

1962. If

problems which

citizens,

our

I We believe the Commission will agree that the proposal
is uniquely in the public interest,' and will decide by

realistic: and face up to the.
positions; impose upon us as
hope to reap the rewards » of

many

gooa

then

are

our

efforts>, v," '*

TA.'rVV''.

r -v •

The

1961

WILLIAM

steady recovery in the economy evidenced early in
and increasing in pace gives promise to continue
into 1962
The Federal Reserve industrial index rose to

at the beginning of the year.
moved up sharply
annual rate of $425

seasonal

billion,

indicators

The impor¬
the
economic

the exception of,
business failures and unemployment,
which
continued
to
be naggingly
negative,

gains

showed

all

the

certainties

un¬

The
Federal Reserve obviously is taking
full cognizance of the
inflationary
forces
that tend to develop
when
level

the

banking industry.

1962

(

C&O

stands

started in

share in

ready

the

expected

moving forward at an increasing tempo. The psychol¬
ogy of consumers with personal disposable income in¬
of

creasing can shift from a mood of saving to a mood of
spending rather quickly. This has happened before. The
producer is not immune to the shift and buying for in¬
ventory accumulation or borrowing for plant expansion
to be ready for the consumer buying splurge usually
follows on the heels of the consumer shift from saving

But

through Centralized

most

all,

the

threat

the

•*■

v'V:-'

And,

government

in
deficits

always

by cold war expenditures with resultant in¬
creases in borrowing and an expanding money supply.
,
The Federal Reserve has done an excellent job in 1961
in supplying reserves to the banking system to help it
term

interest rate has remained remarkably

this in turn has had its effect

and

the short-

dollars

foreign

tation.

stable and

operating

President, American Crystal

Against this background, we look for 1962 to be a year
of increasing economic recovery. To
support it, credit
demands will undoubtedly increase. When this happens
we can expect the Federal Reserve to
operate with re¬
straint, first with open market operations and then with
adjustments in the discount rate.
Should the Federal

ance

mands

remain

for

natural

forces

passive

credit

face of increasing de¬
rise in business activity,
marketplace will force interest,

the

control,
and

rates to respond upward. We
look*
in banking in 1962 of increased

therefore, to

demand for credit, a
higher rate pattern and an increase of deposits in the
banking system as a whole.

WALTER J.
President, Chesapeake
That

the

railroads

tion

forecasting a better business
a
hoped - for improved
regulatory climate for railroads, our
industry should show improvement.
A

study

that

the

prospects

railroads
of

eve

their

were

history
for

often

the

nation's

the

business
passage

climate

well

Interest
firm

business

earlier years.

railroads

many

excessive

continue

disadvantages in the

areas

Walter

Tuohy

railroads

bulk

commodities

each

Our

under

create

become
more

effect

to the railroads of

burdened

and waste, the wage
earners
in their endeavor to buy more

they

spending

agricultural commodities exemptions.
(5) Imposition of adequate user charges for
publicly
provided transportation facilities. (6) Removal of arti¬
ficial obstacles to diversification of
transport.
A

primary necessity in helping to

and

consolidations.

The

cure

railroads

ills

realize

are

the

wave

prevails

imports

of this approach, evidenced bv the fact
that many
already engaged in studies leading to merger or con¬
solidation.
Certainly there is nothing the industry can
do in the way of self-help right now that offers
so much
are

tion

•-

prise

»■

as a

merce

program

C&O

itself

Commission

of unification.
has
for

petitioned

authority

the

Interstate

affiliate

Com¬

with

the

steel

and

many

ship in shape before
would like
I

see

there

no
a

other
can

again

;

the

closer

areas

fea¬

relocation
to

the

confidence

and expectation
officers and top

directors,

result of its financial

success

sales

earnings in 1961. We have the conviction Diamond
is approaching an important
stage that will carry it to
higher pinnacles of accomplishment in the new fiscal

year.

HARRIS WARD

Chairman

and

Commonwealth
At
to

Commonwealth
another

business
Our

President,

Edison Company

Edison

Company,

of good growth in
during 1962.
year

look

forward

electric

our

service

customers

Chicago and northern Illinois

using

electricity,

and

number

are

their

is increasing- steadily.
kilowatthcur
output
is

Our
currently

averaging around 9%

figures,
levels

reflecting

industrial

over

the
*

year-ago

improved

and

business

activity enjoyed in our service area
since last spring.
v
Though not yet available, I believe

find

through

pay

items
we

engi¬

take-home

carefully controlling

here, I firmly believe

Diamond

self-service

new

and

shopping

Diamond's

the

unnecessary

will

the

our

less

too

numerous

must

move

get our own
forward 'as we

to do in this great
country of ours.
immediate big boom or
bust, but, as I see it,
better business climate ahead
which should

revenues

and

effects from
the

further deterioration in

international

.expect

our

uptrend.

•

J. Harris Ward

situation, I would

1962 ; sales

similar

kilowatthour sales

for the year 1961 will be up between
5% and 6%y-from 1960. Barring any

things '

cannot

mention

for the continuation of the railroads under
private enter¬

and

stock

stand idly by with our minds
occupied
thinking because something real must be
done about it
promptly if we are to bolster our economy
...and improve, or retain the present business climate
through 1962. Because of the detrimental effects of in¬
flation, imports, unemployment, curtailment in produc-

mergers

tremendous

among

management

healthy

the

establishments

with wishful

a nee

The

now

supervision

department is

Yn the past year, Diamond continued to move aggres¬
sively in the direction of diversifying its retail lumber
operations. The program of streamlining its 86 buildingsupply stores and widening their buying appeal - was

need and would like to have.

the

new

methods

increase

our

consolidated

point of sale.

governments

(3) Depreciation reform, through reduction of maximum
depreciable life and creation of construction reserve
funds. (4) Repeal from other carriers or full
extension

also

many

not pay taxes in the United States. We should, therefore,
make a good appraisal of our
high cost of production
and large profits from sales and endeavor to
compete

reduction of taxes by

have

its

for American-made merchandise.
If
our
Federal, state and local

exemptions.

46 plants that comprise
We

leading to the development of

the

research

more closely with the
price of foreign merchandise by
maintaining quality and service to the best extent pos¬
sible, to be more competitive and retain our employment
at a high level which will create more
purchasing power

the full

operations in the

and- subsidiaries.

stepped-up, with the addition of
tures, retraining of sales staffs

clothing, toys, steel, automobiles, plywood, heavy indus¬
trial equipment, etc. produced with
foreign labor who do

extent of their
capabilities
(1) Relief from unduly burdensome state and local
taxation. (2) Repeal from other carriers or full
extension

the

H. Von Bergen

should

its

knit

our corporate efforts have
increasing productivity and integrating

eye-appeal that help promote their sale,
.

gripping paralysis gradually attacking our wellbeing. I am concerned about our seasonal unemployment
which continues to be adversely affected
by such things
as
imports to the United States, with emphasis on

are:

have

closely

Diamond's
Research
and
Development staffs work
closely with 'customers in providing packaging cartons
high quality and functional value. Our engineers des¬
ign and build equipment for filling and shipping
pack¬
ages more efficiently. Our high
speed, multi-color print¬
ing presses produce labels, wrappers and cartons with

loans grows with increased

should

serious problems is the threat of further inflation

our

and

suffer

Kennedy
contains recommendations
which, enacted into legisla¬
tion, should let the railroads do the better job of which
they are capable.
Six
principal legislative goals which the railroads
attain

This

which v/ill

and

our
sales. We are cutting
deeply into the packaging
market, which has a tremendous potential for
growth,
through an
aggressive merchandising -' program
that
stresses the "complete" integrated
package.
\ : *

loans

new

centralized

National's 500,000 acres of timberland
pro¬
important source of raw materials for our lum¬
ber, match, woodenware and paperboard operations.
Packaging products, however, account for two-thirds of
vide

prime

production, achieved better quality
its far-flung activities; here

Diamond

and
the national
economy.
There, of course,
always is that word of caution and in my opinion, one

regulation, discrimina¬

market

tory taxation and subsidization of
competitors that legislative relief remains
long overdue.
It is confidently expected that
Secretary of Commerce
Luther Hodges'
recent
report to
President

must reach

activity.

market

money

and

rates

the demand for

interpretation of
remedial legislation, such as the
Transportation
Acts
of
1958
and
The

balance of that year.

on-the

change for the better. This
has been due to cyclical
changes in
a

the

i n ;.

program

depression

designing new ma¬
chinery to provide these plants with higher quality and
more efficiently manufactured
products. :
•"

inflation.
We have now experienced about six
months of a
relatively good business climate which I expect to con¬
tinue until about mid-summer 1962, after which there
should be a gradual and further improvement for the

reveals

darkest

sudden

the

neers.

fury and little or no
In recent years, we have,

against

William H. Walters

re-

transformed
into

research facilities

million

;

run-away

and

the

products, modernization of machinery, and expansion of
our existing line of
products.

however, developed better ways and
means of stabilizing our economv to
a
more
closely and better suited1
pattern which lends added protec¬

cators

year,

divisions
our

much

warning.

1961 suffered from the
pinch in
greater degree than any other service
industry, is common knowledge.
The outlook for 1962,
however, is encouraging.
With all the economic indi¬
the economy

with

Railway Company

The

the^st year, however,

the many

interesting and is a map of pros¬
perity, recessions and depressions.
Many of us have vivid memories of
the 1930 depression which came upon

TUOHY

Ohio

areas

and

been directed to

carefully geared into motion.
history of our economy
is

The

concentrated

abroad

For

must be

climate

earnings

1960.

administrative structure.
■>;.

expansion

operation,
expenditures. Also the sales

organization and consolidation of its corporate and divi¬
sion operations, resulting in
many changes and savings.
Among others, Diamond had eliminated waste and dupli¬

therefore, have the usual problem of .inventory control,

Fiscal

excess

for

has

years,

Sugar Company

activity of the winter Holiday Season everywhere, many executives are now trying to analyze what
the New Year will hold'for tWem and their company. We,

the

supply

1962, therefore, is quite
favorable.
:/*"•';
Diamond National, in the past two

sales, credits, budgA-*:^
or
curtailment
of
capital and maintenance

by ap¬
$2.09 per share,
industry's perform¬

whole.

outlook

increased

present
time, Diamond
is
expanding
its
molded-pulp operations with the construction of new
plants in Middletown, Ohio, and
Elsfelth, West Ger¬
many.
These are being built at a cost of more than $6

With the

ets,

should

manufacturing,

income

proximately 3%,

country—and

well ahead of the

granted

paY

Improvement continued
1961. In the first nine months net

BERGEN

von

sales, earnings and,

rise of 16%.

fork which the roads

1962,

■

interest rates.

Reserve

■

centers in search of higher

money

hopefully will take in

in slowing down the flow
.

direction of the right

That is the
can

diver¬

1958-1960, net income in¬
34%
(excluding non¬
recurring income in*1960) on a sales

one

the
in¬

paper-

other

years.

cation in all

to meet demands for credit. At the same time

background

itself.

upon

the

Between

industry
and government statesmanship is demonstrated, to pre¬
serve the precious right of free
enterprise in transpor¬

feeds

ahead

creased,

general

fluenced

spending.
Confidence

CorjL

National

molded pulp products and
in which Diamond has:

productive capacityj during the
two

especially of the East—are at a fork in the road. And
of those roads is the high road. Mergers, voluntarily
negotiated and in the public interest, can do as much for
the industry as dieselization did a decade or so past.

lines

forged

Traffic Control.

railroads

WALTERS
Diamond

packaging,

and

sified

network and added to its electronic supervision of train
movements

President,

business outlook for 1962 at the* Diamond National
Corporation is one of considerable optimism.
We fore¬
see
continued growth for consumer
board

Physically, its property is in good
shape. There is no deferred maintenance. C&O is ex¬
panding its coal car fleet and has added to its piggy-back:,
and other specialized freight car fleet. It is enlarging its
coal terminal at Toledo, O., and increasing the capacity*,
of a coal pier at its Newport News, Va., ocean shipping
port. C&O has improved its electronics communications

W. E. Van der Waag

and

The

business improvement.

whole shows signs

economy as a

Chairman

below the year before,
reflecting the generally lower levls of businss in the
first half, C&O paid its 90,000 shareowners the regular
$4 a year dividend—for the fifth consecutive year. C&O
maintained its strong financial position, with working
capital at year's end expected to be $53 million, and
cash and short-term investments of about $55 million.

making

decision

the

several

come

economy

year drew to a close.
But with the return of confidence

While the year's earnings fell

the

August, and
business continued to climb encouragingly.
As an indi¬
cation of this upturn, C&O earned more in the last five
months of the year ($18.5 million, with December earn¬
ings estimated) than it did in the previous seven months
of 1961 ($11.3 million).
V'-.

with

scoreboard,

.♦.

The turn for the better in 1961

billion

$22

Vi:.

generally bullish,'C&O expects "its eearnings
substantially better than in 1961.
•••',.•

February low;

from the
tant

increase

.....

to be

income

Personal

On C&O itself the outlook for 1962 is promising. With
forecasts for the steel, automobile and coal industries

in October—it was 102

113

mid-1962.

see

least

show

three basic

and

continuing reasons for this optimism:
(1) improvement in general business and economic con¬
ditions,. (2) population growth, particularly in our fastgrowing suburban areas, which means more electric
customers, and (3) new and enlarged uses of electricity
by our customers.J
v
There

has been

noticeable pick-up in

home building in recent months.

Chicago land

During 1962,

should

add

45,000

some

Number 6126

195

Volume

The CommerciaUand Financial

[

bf Our customers are-"living better
electrically,"/fostered :by our coordinated sales and ad¬
vertising programs on electric ranges, clothes dryers,
food freezers, air conditioning and, in recent years, electrie heating,
j Stores, ofifces and factories continue to
install better lighting and air conditioning.. , Some of
the new high-rise apartment buildings in our service
'

well

customers, including about 4,000

new:,

formerly served by a municipal electric plant. *. Most of
those added will be residential customers; as they were
in" 1961 when our new customers totaled about 35,000.

More and more

/-,■■ ,V.- ' / / '
- ;• /••V—
,
Ceramics, glass, soaps,, detergents, and food are pri¬
: < marily "consumer" goods, consumed and purchased in
about the same amount every day. The outlook for 1962
and for every year, is for moderately higher sales of
these products, with little regard to the business cycle.
..
However, the sales of convenience foods will continue to
increase much more rapidly than the consumer goods

average.\
.

developed from

outlook

good

structed
the

are

nitrogen in

Farm

economic

;

indicators

that

rate

far

exceeds

motels,

versus

big city hotels such

Many

Hotels

Distinguished
work

motels

but

group,

time of national

our

now

have
the
/renovation of facilities, the addition
this

threat

aimed

than

Bureau

Jr,

point

deduction.

Such
cause

<f-;

resort

disallowing conversion at¬
legitimate business expense

■■

//;/

•

'-./

;■ '

Resorts

such

areas

the

well
some

crop

equal to

year

Caribbean,

1962.

forward with

a program

ago.

HERE WE GROW AGAIN!

(name

changed

from

Central

"
•
The fertilizer industry has shown a consistent upward

average.

•

★

WESTERN POWER & GAS COMPANY

cuts, which kept the increase below the 10-year

acreage

Electric &

Gas Company)

;

and

postwar years, growing at a rate 20% greater
than the Gross National Product and undisturbed by the
trend in the

Subsidiary Companies Consolidated

cycle. One reason for this is the setting of new
"norms" in crop yields. A farm getting 55-60 bushels

business

to 70 bushels an acre with the use of
practices.
The 70 bushels
then becomes the norm, or average. This does not fall

acre

may

12 Months Ended

—September 30,—
1961

1961

Electric

1, 1961. A moderate increase in total live stock
production is expected in the next 12 months. The crop
of pigs, layers, chickens, and broilers, is expected to
increase, although a decrease in turkeys is anticipated.
We therefore calculate a 4% increase in formula feed

20,692,232

21,232,866

8,478,941

8,235,399

1,010,744

$69,859,406

$65,896,582

$51,535,098

$11,893,158

$10,808,266

$ 7,833,505

$ 8,329,809

8,060,140

7,302,963

$ 5,819,227

$ 4,842,861

—

$40,688,233

$12,236,456

21,235,027

$71,302,912

4,672,232

4,293,795

$ 4,296,592

4,125,964

3,747,235

$ 3,022,113

1,852,750

October

Total

Net

annual

Operating Income

Net

Income

Net

Income'for Westgas

before

Minority Interest

Earnings Balance for Common Stock of Westgas

for the past 10 years.

Common

Among other products. IMC supplies bentonite to the
foundry and oil well drilling industries, feldspar to the

Shares Outstanding (2)—

end

Average

industries; Ac'cent brand monosodium

period

2,740,329

—

during period

Indicated earnings per

„—

share on average basis__

portation equipment and industrial machinery, which
are notably cyclical.
Durable goods production is cur¬
rently about 7% above a year ago, but companies/are
planning only minor increases in plant and equipment;
and
railroad
outlays continue to decline, reflecting

(1)

For properties owned at September 30,
Pueblo)

was

2,575,141

2,652,559

2,544,892

$1.60

$1.55

$1.47

ended

revenues

•

Southern Colorado Power Company (headquarters at
Nevada Telephone Co. was merged

subsidiary, Central Telephone Company, on September 21,1961.

April 30, 1961, Southern Colorado Power Company

"For the

(2)

1961.

merged into Westgas on May 1, 1961 and Southern

into the Westgas

sagging revenues. On balance, therefore, the foundry
industry will probably operate at the current level of
business. /".'/
'•
.//'/v.'" "\
i
r Oil well bentonite sales have been at depressed levels

the low-operating level in oil

2,733,109

2,676,920

—NOTES—

due to

3,314,673

glutamate to the food industry, and industrial grades
of potash for soaps and detergents.
' . .* • * :
•
Foundries supply the "hard goods" lines such as trans¬

throughout 1961

1960

$29,291,488

$41,495,821

Gas

industry is favorable for the feeding year which began

ceramics and glass

I960
$36,428,317

8,572,064

Telephone

agriculture, IMC supplies phosphate suppleoutlook for this

rate of increase of 3% per year

September 30,

Operating Revenues:

ments to the formula feed industry. The

tonnage in 1961-62, compared with the average

Ended

Fiscal Year Ended

November 30,,

fertilization

back; it is self-perpetuating. Of course abnormal weather
will always be a factor limiting crop production.
Also

Fiscal Year

-Pro Forma (1 )-

advanced

12 months ended August 31,

of $8,335,813.

to in¬

depressed areas, and they find it difficult to move.
;//;,
f
Continued on page 102

was

★

to¬

our

year

optimistic indications are reinforced by the prob¬
ability of an increase in corn acreage which will more
than offset possible losses in acreage of other crops.
Wheat acreage reduction is already a fact, but is un¬
important in terms of fertilizer sales. And while 1962/
cotton acreage allotments have been shaved 2%
this"
could be increased by planting time,
■
Although official reports are not in, our surveys in¬
dicate fertilizer sales increased last year in spite of

progress

and

Hawaii, Bermuda and the Bahamas justifiably are look¬
ing forward to and can expect an upswing in business in

These

ap¬

concerted effort to in¬

farm

become

employment has been slightly reduced, it is still high,
the problem remains. Unfortunately, many of our
unemployed are not able to do much to help themselves.
Their lack of needed skills is compounded by residence

ruling could affect all of the resort areas, and
chaotic situation in the domestic resort, industry.

Off-Shore

the'
in<;

may

make

export earnings. We must

crease our

press

that the threat of a serious recession is over.

cope

negotiating power on tariffs or else we may
soon find our goods at a serious disadvantage in a Com¬
mon Market that includes Britain and other new mem¬
bers. Finally, we must exercise enough self-discipline to
prevent a dangerous round of wage and price increases.
Y Aside from the problem of adverse balance of pay¬
ments and the danger of inflation, we are also confronted
with excessive unemployment. Although the rate of un¬
crease

of Internal Revenue

tendance

must

must make

by the afore-mentioned

major threat continues to mar the resort horizon,
none-the-less, namely a possible future ruling of the

solving our balance of pay¬
problem before it begins to
take on the aspects of a crisis. Our
gold reserves are providing us with
valuable time for doing so, but that
time must not be squandered. We

T. J. Watson,

now

failure

our

ments

transient travel, which is being
increase in motel

ward

belief that the economy and occupancy of our

our

live

parent.

large-scale, stepped-up sales
attract1 meeting and convention

with the changed economic world we

city .hotels,

American

great

counteracted

Robert F. Warner

success

our

net¬

independently-operated

up
substantiallyfarmerschalked up a new recordin the yield of corn per acre; all
crops together
also reached a new/u
Ware
record in yields
per acre; overall
prices are up 3%, and live stock prices are--

1961"

'last

Corp.

less, I view the months ahead as a
testing during which

/.,;

One

.Here's a sampling of some of

Machines

placency. I believe 1962 is going to be a prosperous year,
marked by new peaks of activity and
reduced
unemployment. Neverthe¬

demand. The competi¬
longer confined to hotels

motels.

again,

economic indicators: farm income

Thomas M.

Resorts, in turn, can look forward to a better
than they had in 1961. The trend for reservations
indicates that more people are taking resort vacations

/with

;

WATSON, JR.

International Business

Domestic

plan to be basic.

plants,.

Chairman of the Board,

Although it is easy at this time to be optimistic about
the general economic outlook, we should not let the
economic expansion going on about us lull us into com¬

year

good year for fertilizer nutrients,
gains perhaps as high as 10%;
this would/about double the 5.2%
annual increase in the linear trend *
from 1950 to 1961.
•
to

THOMAS
;/

building.

the near future. We

lizer product at 31

versus

•

ness, rather
thinned out

industries

manufacture the finished ferti¬

also

business.

basic producers of phosphate and potash—
two of the three principal ingredients
in

and Far East,

present

tion

campaign

Chemical Corp.

in fertilizer—and we

of drive-in entrances, and a

The fertilizer
ness.

1962

overbuilding of
motels in many major U. S. cities.
These latter facilities are being con¬

by International Minerals & Chemical Corp.
industry represents the bulk of our busi¬

served

1962 can already be forecast. This is based on advance
bookings, the general business climate,: and the more
active promotion campaigns presently being sponsored
by all organizations concerned with attracting travel
abroad, not only to Europe, but also to the Middle East

;

city hotels will depend largely on their convention busi¬

for the

;•/'

considerable increase in business for such hotels in

City Hotels, to begin with, are still

generating units will add

travel abroad.

threatened with the

It is

business

dip in business from the U. S. in

1961, due again to the recession and untimely announcegovernment officials last spring discouraging

international in scope.

THOMAS M. WARE

1962

ments from

Warner, Inc. acts
as
consultants, must fall into four
different categories to be valid and

680,000 kilowatts, or double the capacity installed last
year.
These new units will be needed to help generate
the 25 billion kilowatthours we expect to sell in 1962.

President, International Minerals &

ever

hotels and resorts for which Robert F.

particularly gas.
We
have no intention, howeverj of losing this battle.
j
To meet growth demands, we expect to spend around -V
$570 million lor new construction over the next four
years, bringing our total construction expenditures since
World War II to about $2.3 billion. When this four-year
program is completed,
our net generating capability,
now
5,507,000 kilowatts, will be increased to 7,660,000.

The

time,

same

active' than

Foreign Hotels had
•

analysis of both prospects and prob¬
lems facing the 165 leading and independently-operated

sources,

During 1962 alone, two new

have carired on a hard-hititng program to cut
efficiency. These efforts are contin¬
uing unabated.
Finaly lw,e are facing strong competi¬
energy

■

President, Robert F. Warner, Inc.

costs and improve

other

;

ROBERT F. WARNER

A forecast on the outlook for the hotel business in

101

competition for such business is
before, and these resorts must
seriously ^concern themselves with ■ over-building in
many of these holiday areas; with high rates; and with
the increased competition of more cruise ships scheduled
than ever before, many of whom are offering unusuallv
low prices.
'
.
j
1
' ■
*
1
;
•

;

the

1962.

from

drilling activity. Improvement is expected by/the
industry in the number of wells drilled in

years we

tion

(369)

petroleum

the 60-story Marina City project in Chicago, are going allrelectric,. including cooking, water
heating, air conditioning and space heating.
-All things considered, we think that 1962 should see
an
increase of perhaps 7% in our kilowatthour sales,
and a gain of 5%
or 6% in total revenues.
If these
estimates prove valid, we should show a modest increase
in earnings per share over the $2.00 expected for 1961.
-'We have some real and challenging problems though.
Taxes continue to rise.>.In 1960, our provision for taxes
was nearly $128 million or more than 27%
of our reve¬
nues.
For 1961, this figure will be nearer 28%, with
no end in sight.
Our operating expenses also are likely
to continue their rise, despite the fact that for many
such

area,

Chronicle

...

Reflecting 6 for 5 stock split April 28, 1961. "

For the 12 months

had electric operating revenues of $8,312,028.
telephone operating

1961, Southern Nevada Telephone Co. had
*

•

102

The Commercial and Financial Chronicle '.

(370)

Continued from page
As

result, they

the

rest

101

tain that Commercial Solvents

•

U. S. leadership

left untouched by the vigor of the

are

in doing so, we

SAMUEL W.

Farm and construction

Though these economic realities must be faced along

1962

the

lieve

that

are

up,

line

favorable

the

with

in the

economy

outlook

for

national

the

ahead, prospects for the industry

year

;

processing
and factory use is growing rapidly,
backlogs and new orders for this equipment should
continue at a high level in 1962.
I believe that growth will be reflected primarily in
the machines themselves and in the ways they are used.
One significant trend in IBM is that our more recently
developed computers are coming more into balance
systems for office

with

the

and

commercial

needs

technologies

customers

who

have

are

bring

the benefits of electronics to small

Computers

situations in
solutions

order

without

materials

can

used

well

large

stimulate

com¬

business

to develop a number of alternative
actually committing men, money or

advance.

also

computers

being
applied to the numerical control of machine tools. An¬
other new area of application has been uncovered with
the development of computers for control of continuous
see

industrial processes in the petroleum,
chemical, papermaking, steel and other industries.
Research and development activities in character and
voice recognition by
machine, language translation, and
advanced

information

ing. While

investment

our

retrieval

not

techniques are continu¬
an immediate return on

expect

these

fields to

new

areas, they
in the future.

All of these factors point to

will

open

even

industry contributing
significantly to the strength of our nation's economy in
the coming year.
M.

our

WHEELER

President, Commercial Solvents Corporation
The

challenges

wisdom

and

agement.

1962 promise to test sharply the
judgment of American business man¬

On the

hand

one

people

expanding

the

faced with

are

range

business to meet the

our

and

almost

without

hand,

precedent.

are

the

of growth and expansion.

The

basis

our

opportunities
contributes ' to

that

strengthening of the national

return

the

business

continue

econ¬

M. C. Wheeler

consumer

buying

and

power

to steady
employment for more people in this
expanding population and increasing automation.

al-

Samuel W.

White, Jr.

Hemisphere as well
the efficiency

in most

cases

are

of U.

better

control

better

than the

of about 8%.

1960

because

and

level

*' 4"

■.:

net farm income

Realized
over

industry

both

equipment sales in 1962, with

was

farmers

era

are

and

for

new

with

natural

fuel

a better job for them, we believe
fair share of their increased income will go into equip¬
ment. Oliver is stressing to its dealers the need to help

to help the farmer or the contractor select
equipment designed to save on work costs.. With
equipment competition tougher than ever before, we
expect to improve our percentage of the farm and con¬
struction markets by doing a better selling job right
down at the grassroots5 buyer leveh>:v
Mi
Mr..
construction
even

equipment

better year

industry probably
than farm equipment in

will

match

the

question,

equipment

have had

growth

and

will

challenging all the time.

bedome

iS:#

have

ever

world

had.

business

In the

tradition that

leadership,

must

developing product innovations
home, and
must

abroad

need

further

and

develop

business management and
even
better job in

that

want.

and

our

the

gap

customers

Equally

perfect

control

this country

gave

widen

that

important,
systems

our
we

can

meeting changing conditions rapidly
effectively. This calls for the welding of
company
organizations
into
dynamic,
efficient
groups
which
and

possess

unity of purpose and a capacity for
getting
things done which is second to none. It calls for facing
to facts, for realistic thinking, and for
just
a

hard

plain

work.

are saying that 1962 is
going
volume, at least in the first half. In
good year for earnings, at least in the first
half. In
period of real opportunity, it
hardly seems enough

Whiteford, Board Chairman of
expect an increase of approxi¬

mately 10%

trial

sales and

This should

even

time

profts

which

last year's

use

our

op¬

portunities to build solidly for long
range growth and
competitive ability, as well as for immediate return.
At

Commercial

Solvents

thinking about the
U. S. economy's place in the
international business world
of,the 1970s and 1980s. We are giving more and more
thought to where
years
as

from

well

now.

want
a

our

are

company to be 10,
matter of national

15, 20

well-being,

of company
progress, we intend to make

cer¬

pipeline

fit

seen

businesses

too

now

there

are

have

climate will continue.-

While

things

look

;

promising indeed, both Tor
this area and for our industry, I must also state my
personal conviction that this country faces its most
critical period in all history, both on the international
level

and

with

index

year.

Gulf

Oil

the

domestic

formidable

very

foe

scene.

face

are

Communism

—

face

our

and

own

economy must be strong and the moral fibre
people must be great if we are to properly meet
the challenge.

which

level

will

carry

to concentrate

about

120

demand

similar basis, the domes¬
for

petroleum

products

will increase between 2% and 3% in

for

gasoline

and

residual,
distillate.

mand

will

decline

1962.

commercial

is the

The

gives
On

the

can

basis for improved
other

result
oum

into

go
W. K. Whiteford

opment

natural gas for home heating. Weather

only factor which

refer to

alter the short-term trend

hand,

is that of tax reform.

area

con¬

our

new

result would be

normal, next

year

sales.

improved business conditions in

unleash

and

the

war

must

reaffirming
framed

the

stitution.

products
more

have

through

Declaration

once

must

convictions

our

The

end
pay-

run.
can

presently engaged in, but to do

are

the

research.

employment and the actual

in conclusion, that I believe

strong.

And

people must
the

that

money

7'ment of MORE taxes in the long

win

chains

thus freed would
purchases, plant expansion and devel¬

consumer

would

economy

Suffice it to say,

heating oils and, if forescast

...

people to work
invest, then our economy will be stifled. This
doing through harsh taxation.

bound

Distillate, which includes heating oils and diesel fuels,
is not faring nearly as well as kerosene due to the in¬

for

area

are

The

rate.

made by

one

concentrate

bills, already presented in Wash¬
ington, should be supported.
This bi-partisan legisla¬
calls for a step-by-step cut-back of all income tax
rates, personal and corporate, over ,a five year period.

jet fuels has appreciably altered
patterns of aviation gasoline and kerosene.
The
trend
should continue in 1962, but
at a more

roads

tion

the demand

moderate

only

The Herlong-Baker

auto¬
It is

airlines

-The

1961

followed

issues, I would like

many

afford

strengthen our domestic economy.
And in so
strengthening our own American economy I believe we
will
also
strengthen
our
leadership
and
influence
throughout the Free World.
;

and

currently is esti¬
Compared with other
major products, kerosene demand is
expected to show the largest in¬
motive

could

tinue to take away the incentive of

mated at 1.4%.

crease

moment

...

1962, and possibly could rise, slight¬
ly higher. In contracst, the increased
demand

effort

the

for

believe

where

tic

our

While I could comment

Corp.

have

establish plants here.
expanded in our area.
There is every reason to believe that this
healthy indus¬

Regional

in the Federal Reserve

index

rates.

miles

have

manufacturers

WHITEFORD

switchover

400

domestic

to be good for sales
a

had

S. D. Whiteman.

anticipated that aviation gasoline de¬

The business forecasters

our

Along with the growth of our own company has come
growth in the industrial atmosphere of the area :we
serve.
No longer are the plains of Kansas and Nebraska
and
eastern Colorado strictly^ an agricultural
region.
During the past several years, a number of national

manufacture
and industrial

Chairman of the Board, Gulf Oil Corp.

Board

imagination, ingenuity and flexibility they

year

almost 900. :-M

demand for petroleum products in
1962, like
general economy of the nation, is expected to ex¬
perience its best advance since 1959, in the opinion of

est

reflect

past

6,000. That first year saw 37 towns on our service
lines and Kansas-Nebraska had but 75 employees. Today,
we
serve
234 communities and our family numbers

Domestic

competitive forces of communist
production, with
lack of regard for the welfare
of the
individual
worker, adds to the magniture of the competitive factor.
To measure up, U. S.
companies in the chemical in¬
dustry and in other fields are going to need the healthi¬
blend

great
pros¬

over

the

its

occasion

this

1936

prevalent in 1962 — and
Oliver is predicating its outlook for rising sales on a
strong program of retail selling.

make

limitless

too, as we
marked our 25th anniversary.
Our
humble beginnings were in Phillipsburg. Kansas, in 1936. : In that year
our
plant investment was slightly
under $2 million
today it ap¬
proaches the $80 million mark.
In

Everybody talks about helping the buyer buy, but not
enough is being done about it. We believe this approach
must

are

per¬

sales in 1962.

beginning

The Kansas-Nebraska Natural Gas

anticipated industry rise in

construction equipment

conditioning
the source of

Company is proud to be a part of
this
vital, growing industry.
We

1961.

over

:
Inc.

turbine.

centage rise in 1962, with retail sales likely to go up 5 to
10%

;

pects for the years ahead in such
things as the fuel cell and the gas

the

The

air

gas.

strides and there

the buyer buy,

American

The

Year-round

user.

have

level..

WHITEMAN

It is difficult to be anything but enthusiastic and opti¬
mistic about the future of the natural gas industry. On
every hand there is evidence of the increased use of
natural gas and in the-sale of appliances for its further

increase
-

eager

Chairman of the Board, 1
Kansas-Nebraska Natural Gas Co.,

appreciably in 1961

still

capacity

equipment that will do

To achieve this

prime goal isn't going to be easy. As
businessmen, we are confronted with a brand
of competition from
companies in other countries which
is getting tougher and more

approximate the 1961
S.

increase in the

Exploration expenditures in the U. S. and world-wide
will

in the

retail
an

petrochemicals, and to im¬
existing refineries in the

refineries.

industry this winter and wholesale farm
equipment sales should follow retail sales patterns more
closely. Oliver is especially conscious of keeping inven¬
tories attuned to retail sales and we fully expect to do
wholesale farm

our

farm equipment

even

United States. There will

Inventories

for

prove

applications, that the buyer today must be sold on the
efficiencies, the cost-savings, the production increases,
and the manpower reductions he can accomplish with
new equipment.

investment in

contribute

There

weather.

While Gulf's capital expenditures in 1962 will approach
$400 million, slightly in excess of 1961, the increase will
go toward our refinery building program in the Eastern

some

kind

earnings from the. United States during the first
of 1961. Back- in 1958, 61% of its earnings
the Eastern Hemisphere.
>" \
»

from

percentages to dollars, Gulf's 1961 earnings
operations are expected to exceed $200
million, which again is approximately the same amount
as that
earned from the Eastern Hemisphere
in 1958.
The transition in earnings is the result of a highly suc¬
cessful exploration and production program, increased
sales of natural gas and natural gas liquids,
greater
emphasis to the petrochemical segment of Gulf's busi¬
ness during the past five years, and
improved efficiency
in conducting domestic operations.
: •-;>••• 'v."
•
;

is the unpredictability of the weather in farming ~
and nowadays there also is the unpredictability of the federal farm program and the effect it will have on
farmers.
•
>
*
■
,
*

There

dividends to
stockholders and funds available for
capital investment
will

the

sales

any

demand.

To convert

and

whether for farming or for construction

that

retail

with

total

from- domestic

ways

the

higher

for

1961,

from

break

retail

and to a speed-up of the U. S.
economic growth rate. This calls for
more
than greater volume of sales
and
profits.
It demands a
U.

look

can

over

omy

rate

1962

its

came

contractors

one-third

only minor

nine months

construction

Oliver should

prime goal is to make maxi¬
use

equipment in 1962 and beyond. The
incorporation of Oliver's crawler tractor production into
the company's wheel tractor facilities at Charles City,
Iowa, early this year will improve our crawlers and our
earnings.

of rising costs and inten¬
sifying competition which can seri¬
ously interfere with results in many
areas

case

railroads,

flexibility of Gulf's operations is reflected in the
that, the corporation received approximately 61%

fact

tractors and allied

confronted with

problems

mum

the

demand

as diesel fuel still accounts
of total distillate volume, its

The

;

Oliver expects to be a stronger factor in the construe-;
tion and industrial markets for light and medium crawler

throughout the free world which is
other

equipment users,
the need is for new, efficient ma¬
chinery to replace the
excessive
amount of old, worn-out, expensiveto-operate equipment still in use in
the industry.
!
\ ■>.
The farm equipment industry in

the

of opportunities for

needs

processing requirements. New
beginning to erase the distinction be¬

tween computers developed primarily for solving scien¬
tific problems and those for processing business data.
New products and applications are helping to

panies.

other

scientific

both

data

equipment industries should find

year

and

than

diesel

However,

1961, residual demand should
be up approximately 2% in 1962 as a result of the in¬
creased industrialr activity.
•
-

The acceptance of computers and other data

buses.

Reversing the trend of

help them light the cost-price squeeze and improve their
profits. In the case of farmers, the
need is for bigger,, technologicallyimproved equipment \ that can ac¬
complish more work with less man¬
power on the same acreages, resulting
in lower unit costs and higher pro¬
duction capacities.
*•.
I -'

and my own company are also good.

good

Thursday, January 18, 1962

stimulate

less

effect

because so many farmers and contrac¬
tors alike have need for replacement -machinery that will

international politics, I be¬
the challenge. We have great
economic and moral resources, and we need only resolve,
as a nation, to use them effectively.
*:
>
;
uncertainties

with

WHITE, JR.

President, Oliver Corporation

should not shrink from methods merely

because they are new.
•

will

1962

trucks and

as now.

for

devise

We must set ourselves to

economy.

to help these people find useful employment, and

ways

contributes effectively to

in business then,

strong

our

morally

forefathers

Independence and

economy

must

strong

again have the incentive to

greatness that lies still ahead for America.

who

the
.

so
.

Con¬
.

carve

;our

out

Volume

Number 6126

195

The Commercial and Financial Chronicle

...

(371)

BEN

WILLINGHAM

President, Genesco

KENDRICK

the

will

six

nuclear

outbreak

months

reflect

about

the
six

level

same

war,

tries,

expect

defense and space indus¬

1961

was

committed

ernment

exploration
these

extensive

•

Y 'Y

for

Manpower, Inc. during the calendar

year of
1962.
With the optimism prevalent
among

space

industry's leaders

Corporation, which has approximately 65%

The

million pair which would

electronic

•

the

.of

crease

roughly

over

radiotelevision

Y;-v'Y VY'

■

believe

the

should

felt

patrY

general

same

other

Ben

;. rv
department store business, which is

; Total

good ba¬

sales

sary

there

should

make

the

research

a v

capital and management effort

to accelerate the development of

quired

that with the possibility of record Christ¬

during December of 1961

1 "»

over

large

staff,

investment—some

house,

equip

and

$25

orders received by manufacturers sup¬

new

neces¬

business
their

plying the department store trade for delivery in early
Spring: of 1962. YY.Y' Y YYYY\Y,:Y\Y

alignment

Avco's

resulted

from

this

direction

corporate

basic

re¬

evidenced

•

Because of the great pressure of profits during the last
few
of

months

effort

the

has

apparel

'59

and

been

during all of 1960,

by most manufacturers in
industries" towards reducing

costs, towards improving profit margins
eral inclination

deal

extended

and

great

is to

that

gen¬

feel that not

only will there be a
strong level of business during the first six months of
1962 but that this business will provide improving profit
margins to the manufacturers.
v
' V.'.'T YYY'.
Considering the outlook for retail business for the
'

first six months of 1962, I would be inclined to estimate
an increase of
roughly 5% over the corresponding pe¬
riod

of '1961.
7'v,'v Y. ,VYYY" YYY.YYYj
I My feeling is that the consumers have been

Y*'"'

somewhat

conservative in their spending during the course of the
last 18 months because of the continued war threat, The
war threat stays with
us, but apparently the consumers
are
getting somewhat accustomed to the idea so that
recently there has seemed to be a beter attitude on the
part of the consumer relative to spending. Perhaps the

of increase in

news

These

factors

employment is reassuring.

coupled

with

the

repeated

coming out of Detroit that 1962 models
would

that

could

perts who

the

above, I think

selling well

count

background

predicting

are

assumption

mean

that

highest

year

July 31, 1961.
We expect

profit

should

nose

wide

mentioned

cones,

federal

and

development

„

The results of Avco's 1956 decision

but also in

than

per

20%

Today

year

the

.the

five

participates in

of the company's defense

Europe.

per

tr;.

believe

than

addition,

different

1961

the

company

and

told

Avco's

production consists of material

which is receiv¬

orders at November

total

backlog

share in

our

Looking ahead into 1970, we can see tremendous short¬
of skilled workers. The population explosion that
place in the 60's will expand the number of

30, 1961, had increased by

employed in America from 73,000,000 in 1961 to 87,000,000 in 1970. There will, however, be an acute shortage

than

With this broad

base for continuing

growth,

of key

look

workers between 35 and 40, since the population

explosion will be in the age groups which

earnings of Avco

;

will

Board
|

Murphy Corporation is pleased

Common Stock

the

York Stock Exchange

iiiiiiiiiiiiiuiiiiiiiiiiiiiiiiiiiiiiiiiimiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii|

vigorous

industrial production late in the year.
Increases in defense outlays and per¬
sonal

rise

construction
tant

factors

this

are

will

This

assumes

MURPHY

continuation

shore

outlook for the office equip¬
industry is, I believe, some¬

oil and gas

of the world. The

economy

generally. Total industry sales will
Joseph C. Wilson
probably increase by 10-12% in 1962.
Some companies heavily involved in
computers and office copiers will fare better than indus¬
try average,,, Primarily because of the strong demand
growth
rates

high volume copying devices,
for Xerox

projecting
both sales and profits in 1962 at
we

fully integrated oil

company en¬

gaged in both domestic and inter¬

(including substantial activity in off¬

duction of
24 states,

is carried

in these

areas

and in other parts

Company has two refineries for the

petroleum products which

are

pro¬

marketed in

Canada, the United Kingdom and Sweden.
MURPHY

are

significantly greater than those anticipated for the
industry as a whole.

office equipment

El Dorado, Arkansas, is

Louisiana), Canada and Venezuela. Exploration for

better

the

•

what

our

operations. Hydrocarbon production is centered

;
The
ment

for-

quarters in

CORPORATION

Dorado, Arkansas

December 4, 1961. The ticker

Murphy Corporation, with head¬

"Y.

than

trading

MUR

in the United States

contribute

forecast,

peace.

national

total

which

to announce that its

the New

.Y'Y;,,/ symbol is

TniiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiniiiiUIliiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii

outlays for
among the impor¬

growth.

course,
world

admitted

was

consumption expenditures, and

modest

page 104

WILSON

year

generally

sUiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiimiiiiniiiiioHiiiiimiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiiii^

better

history.

fiscal

President, Xerox Corporation

1962

are

Continued

the year ending

stockholders

will take

1961, this should provide for

formation

ages

government

50% from the figure of a year earlier.

our

the

announced

many major metropolitan areas and offer travel services
primarily to businessmen traveling domestically and to
foreign countries. Manpower will offer to these traveling
executives "an office away from home".

large portion

Corporation in fiscal 1962.

though not
spectacular expansion for our economy.
Although its
rate of growth, as measured by Gross National
Product,
will probably continue at a somewhat slower
pace than
was true during the last three
quar¬
ters of
1961, I expect to see new
highs in both GNP and the index of

for

year

12% higher than

was

valleys in

a wholly owned subsidiary of Manpower,
Inc. This company will expand its travel
program into

in "limited warfare," a concept

planning.

peaks and

America, Australia and the Far East. Manpower has
recently appointed a European Director to develop its
operations in the European market areas.

ing increased emphasis in the government's current de¬
fense

the

-The company expects to expand its operation into South

YY '

missile and space programs. In

use

over

eliminate

two to three new offices a month until it reaches
its goal of 445 offices. Additional offices will be
opened
in America and Canada as well as throughout

■

pre-tax earnings increase of

compounded

can

According to Manpower's expansion timetable, it will

■

reflected not

were

firms

Travelpower,

Y
Avco

open

re¬

numbpr^f new. ^rodvjcts and services

average

/period. Y

branches
'

for further increases in both sales and

basing'

JOSEPH

various
.

of contract

ex¬

in 1962.
are

this increase in volume to produce

picture

earnings

for

government.

only in this large

other

of aircraft

of electronic and electro-me¬

range

chanical gear and a substantial volume

minimum of $2.70 per share which would be the
highest

advanced types

figure

and

Plan

These factors

expect

some

record, which

annual meeting on Dec. 4,
a

these assumptions.

lion in net sales which would be

aircraft, missile

structures,

engines for helicopters

turbine

gas

Overhead

employment.

ending July 31, 1962 to produce roughly $375 mil¬

year

our

includes

Controlled

national or international sales distribution.
Saiespower,
Inc., the world's largest selling organization, will expand
its services in the following areas,
namely: Salesmen,
Demonstrating, Survey Interviewing, Store Detailing,
Telephone Merchandising, Convention Services, Circular
and Sample Distribution
Services, etc.

was

and services growing out of Avco research

increase in the level of the

company's outlook,,

our

plans generally

seem

good

would agree with those economic

Thinking about

our

than 65%

and development efforts over the past decade. This

for

statements

Gross National Product of approximately 5%
.

in products

during the first six months of 1962.

Reflecting

indicate

seem

business

are

by tangible results. Of 1961 sales,

customers

Manpower has just announced the merger of its Mer¬
chandising Services with Saiespower, inc., a wholly
owned subsidiary of Manpower. This
merger will pro¬
vide an expanded service to those firms
seeking regional,

capability.

Important progress has

its

100,000 firms that :
Manpower in 1961.\
!
Manpower will continue to stress

its

good level of

business leaders who are concerned with shrinking
profit margins. Under the Manpower Controlled Over¬
head Plan, business firms can control their
personnel
costs by obtaining Manpower services on an "as when
needed" basis. Through proper planning with
Manpower,

first rate

number

and above the

many

million—re¬

operate

used
Elmer L. Winter

products and

new

help

the

crease

^ '

five years ago that Avco management"

over

of 1956 freed the

in effect that retail sales are continuing at a very
high rate. During The last part of 1960 and continuing
through early 1961 the stores were reducing their in¬
ventory, commitments but this trend seems to have

mas

r.-'V.

highly unprofitable in the years 1953 to 1956. The sale
and liquidation of Avco's appliance businesses in the fall

means

just

was

r!i

the difficult but highly significant decision to go
out of the appliance business, which then accounted for
up to 75% of the company's sales but which had become

Willingham

rometer of the total retail trade exclusive of automobiles,
has indicated Some slight increase during 1961. This

levelled off

Y It

broadcastingYYY

temporary

pected increased demands from the business community for skilled
help, v
Manpower should substantially in-

a wide variety of aerospace and 1
specialized farm equipment and",

made

areas

of the apparel industry.

systems

upon by
organiza¬

Manpower employs over 130,000
people annually and with the ex¬

broad areas

tions today range from

in¬

10.%

about

Y'-Y Y Y: Y; Y'

last year.,
tern

research, development

their

meet

and production in
of its scientific competence contributed
greatly to this record of success. Its diversified opera¬

emphasis

time, Man¬

called

needs—whether it be in the field of
office or factory
work, as well as ;
sales promotions"
'
< '

at this

increasing number

tions

1962,. however,
should see shoe production increas¬
ing to a record high rate.
\
; Shoe production should reach 325

Inc. will

power,

its sales .in. government business and 35% in industrial
and commercial operations,
substantially improved its
fiscal results again in 1961. The company's
continuing

months 'of

WINTER

Manpower's 250 offices located
Canada, Tokyo and 12 European
clearly an upswing in sales and profits

the next decade, it would appear that
business conditions will prevail
during the

year.

Avco

program

countries indicates

over

same

coming

A recent survey
among
in America, Mexico,

generally a year of intensified activity
a
climate of ever-increasing competition. With the
world situation continuing unsettled and with our
gov-^

gen¬

1960.

ELMER

President, Manpower, Inc.

erally good business conditions.
The shoe industry which hit an all
time high in production in 1959 de¬
clined during 1960 and while 1961
figures are not yet available the
production for 1961 < should be at
first

WILSON, JR.

For companies in the nation's

Assuming a background economy in which the level of
Federal
expenditures will continue in the next six
months at about its present level and assuming that
there

Chairman, Avco Corporation

103

104

The Commercial and

(372)

Continued from page

Financial Chronicle

exposition hall, and the 30-story Blaustein Building. Each
these structures is scheduled for completion in 1962.
Our own construction program calls for the expenditure

103

non-producers—those under 18 and over 65. It is
expected that an increasingly greater number of business
firms will call upon Manpower in the years ahead to
help meet the emergencies and peaks created by short¬
the

of industry and

increased

its network of sales offices will be
accelerated rate to ornvide local, re¬

with

Inc.

power,
called

upon

gional, national

international distribution of products

services.

and

The

tion. As

life

insurance

since

year

matter of

insurance

periods

when

United

the

business

general

for

life

insurance

over-all

has

been

trend

generally

earned

(before
2.88%

their

Federal
in

to"

favorable

factors

not

taxes

scramble

itself,
training

and

that

the

there

companies

must

volume's

for

guard

life

The

outlook

for

mid-Maryland
The

business

served

general

level

clear

lines

the

sponding

Electric

the

prospects

continuation

growth in

our

alone

the

additional

doubling
more

the

car

broadly

facilities

Company

which

diversified

Baltimore

and

the

steel

this

normal

swollen

demand

will

hand at the end of June.

and the United Steelworkers to

possible and take immediate steps to¬
equitable settlement well in advance of the

soon

deadline.

resulted

from

unbalanced

steel

inventories

/''V

all

seri¬

prices cannot

of most

other

to the point where the steel

Balti¬

faced

are

with

strenous

J. Theodore Wolfe

vere

building materials, and

cover
we

Westinghouse, Bendix, Aircraft Armaments among other
—have received substantial
government contracts which
point to accelerated business for 1962.
\
: %

were

spect

As far

cently

break-in

scale residential

mills.

territory, and building operations

several

begun

new
or
expanding medical centers have
have been announced. In downtown Baltimore

the first office

building unit' of Charles Center—a major

redevelooment project—is well under
way, as are Balti¬
more's Civic Center, a multi-purpose auditorium and

industry

can re¬

our laws were liberalized so that
competitive with foreign steel producers in re¬
depreciation, the industry could do much to¬

;
as

been

expected to continue to accelerate in 1962.

Some largerhave announced stepped-up

out and before the

wears

maintaining and improving its competitive

position.

The pace

activity, and the construction of new apartment houses
is
exuanding rapidly.
The establishment of regional
shopping centers continues to dominate the retail con¬

present steelmaking equipment becomes obso¬

its investment. If

wards

of new Home construction in the Baltimore
quickened during the second half of 1961 and is

lete before it

/,' /•'.;

Alan Wood

showing

costs

However,

for

our

are

Steel is

concerned,

considerable

loss

cost

;■

have

due

re¬

high
blooming and wide plate
pleased that steady progress is

new

being made and are confident that in the next few
months these facilities will make
major contributions to
...

the company's earnings.

any

can

realized from

equipment.
to

will

mills have enabled Alan Wood to enter
new
markets for wider widths and heavier
gauges of steel
plate. This has strengthened our position in the
new

plate
already has been felt through re¬
ceipt of large plate orders both from
existing, as well

market and the effect
as

new

customers.

•'

of the

use

Nevertheless,

automation

the

continue

shift

but

relatively high cost during the

similation period.
The recent action

at
as¬
Paul H. Woods

the

Federal

Reserve Board in
will

intensify

raising the savings interest rate ceiling
for the savings dollar and
willing to avail themselves of the higher

competition

will place banks
allowable
ether

rates

favorable

savings institutions.

tinued

competitive basis

The net result will be

growth of savings deposits

to the banks.

but
-.

Weighing these factors, it would
remain steady.

;

with
con¬

higher cost

a
"

that earnings

appear

will

Chairman of

the

WORTHINGTON

Board, Home Life Insurance Company

The past twelve months have been

vigor

for

the

American

Product at annual rates

from

rose

period of renewed

The

economy.

Gross

National'

$500.8 billion in the-

first quarter of 1961 to $526.0 billion in the third

Bui, perhaps
life

the

insurance

purchasing

families

rose

quarter.;
important to the

business,

income

personal

the

wide

soundness

billion

same

period,

1961

about

chased

cations

likely

that

the

those

from
a

life

Home

Life

record.

insurance

pur¬

1961

5% gain over the previous
•

there

are

favorable

present
and

1960

a new

year.

continue

protec¬
families, purchases

exceeded

showed
Worthington

the

insurance

2%, establishing

New ^individual

W. P.

-v.

progress

recognition

life

individual life insurance dur¬

new

ing

American

$354.3

economic

tion by American
of

constitutes

power

from

Reflecting this
and

disposable

which

$367.8 billion in the

strong indi¬
economic climate is
now

well improve during the
coming twelve months, the life insurance business looks
to 1962 as potentially another record-breaking
year. *
1
By the same token, the Home Life Insurance Company,
which specializes in "Planned Estates," a service
geared
may

needs of families with better than
average in¬
anticipates another gain in new business in 1962.
Not only is Home Life serving one of the fastest
growing
segments of our population
(families whose annual
earnings are upward of $7,500), but the career of client
building through Planned Estates continues to attract a
growing number of highly qualified men to the com¬

the

comes,

pany's field organization.
Estates

This in

ever-increasing

families.

The

the

assets

nation's

brings
of

Planned
American

economic, expansion

during

undoubtedly produce rising demands for capital

finance

tivities

turn

number

•

continued

nation's

1962 will

.The

substantial costs

Since

that somehow the American steel indus¬

in¬

and shifting
equipment tend to
immediate
economies

competition to the industry.;

It is necessary

automation

exceed

The

competition

foreign producers and in the domestic market,
materials, such as nonferrous metals, plastics and
cement for structural
applications, also are offering se¬

bank

installing

industries, which makes it difficult

laws.

for

other

are

our

incurred

from

a number
in the process of expanding their
production capacity. Important factors in the electronics
and space hardware industries in the Baltimore
area—

struction field in

to automation.

employment, raw material and capital in¬
put costs are rising is obvious. However, it is quite evi¬
dent that competition from several sources is
effectively
regulating — or depressing — the price of steel in the
States.

rates,

rising operating expense, due in part

The fact that

United

demand

upward. This
instances be offset by

the industry to compete in the market
place for
financing. Finally, this has the effect of reducing the
steel industry's ability to
purchase equipment for im¬
proved productivity and cost reduction.
There is no single answer to any of these
problems.

are

Wichita,

continue

many

much higher without endangering

for the manufacture of

developers

for

1962

appears

WILLIAM P.

try find means of financing modernization of its produc¬
tion facilities. One of the
major avenues which might be
opened up would be liberalization of our depreciation tax

area

increase

plex, the Western Electric Company has under construc¬
tion a new ocean-cable plant which is
scheduled to go
operation shortly,
the
United
States
Gypsum
Company will complete later in the year its new plant
companies

what

industry's marketing position. This, in turn, results
squeezing the industry's profit level to a point below

that

into

of other

will

increase

and

should

come

that

to this problem is for the leaders of

answer

Wichita, Kansas -•';

the

re¬

segments of our
industrial com¬

schedule

industry's market position is jeopardized by both foreign
competition ar.d competition from other materials. Thus,

assembly plant—
largest in the Chevrolet
other

result

prices have been forced

healthy

capacity of its

are

besetting the steel industry at present
include the cost-price-financing squeeze. Costs have been
going up too fast and are too high. At the same time,

many

that

There

increasing number of
the labor contract expiration date creeps

net

With

loans

Other problems

and truck

second

division.

operation

exam¬

ously affected the steel industry, as well as business in
general, and were a major factor in causing the ensuing

Point—the

have

requested

For

of Alan Wood Steel's prin¬

one

steel industry

which

largest in the
world, and General Motors Corpora¬
will

WOODS

increasing
bank credit.
Currently there is nothing in
picture to reverse the recent
stiffening of short-term government

gradual

orderly settlement is important to our company, as
well as the steel industry. Even though Alan Wood Steel
Company worked throughout' the long steel strike in
1959, we feel that in the long run we would have been
better off financially if there had been no strike.
This
is because the disruptions in the national
economy and
the
maladjustments both before and after the strike

Company is continuing to ex¬
pand its steel-making facilities at

tion

Harleston R. Wood

Steel

Sparrows

strike

the

The Bethlehem

area.

the

ward

2,300 square miles of
Company is favorable.

that

only

meet

the

activity are
to the forces

equally

recovery,
indicate

The

recession.

business

moment

industrial

requests

both

surrounding counties has been rising steadily since the
early months of 1961. While it is
not

customers

The

WOLFE

our

the

of the outcome of steel industry

huge inventories of steel

Nevertheless, the unique values provided by life
insurance in the fields of protection and saving's assure
a bright future for this business.

demand for

build

of orders already is apparent.

rush

closer.

ment.

Gas

anticipate

can

inventory

for

such

regard to the soundness and profitability of in¬

Chairman, Baltimore

..VP.

•.

of transition for Alar**-'

year

The commercial banking outlook for 1962
may be char¬
acterized as modestly optimistic. The
recovery in busi¬
ness will in all likelihood be reflected in
an

rates.

cipal

contracts. Competition in the business continues
intense not only among life insurance companies them¬
selves but also with other forms of savings and invest¬

THEODORE

our

;■'

the

nine months of steel deliveries to reach him in the first

against

sake

after

and

increasing

five months of 1962.

surance

1961 has been

PAUL

Unless positive action is

situation,

ever

Such

constant

manpower.

before

ple, in early November

Federal In¬

volume

sales

sell

not

growth,

overemphasis
without

does

recruiting

for

President, First National Bank

in the year regardless
labor negotiations.'

are

insurance

pressure

time.,;

cabinet, locker and shelving;
profit improvement through

shown

earnings picture has been, an admitted
disappointment. However, we feel that we are entering
1962 in a much stronger position and that our
earnings
for the year will show a substantial
improvement. This,
we
are
certain, will be reflected in greatly increased
earnings for at least the first six months and we are very
optimistic regarding the entire year.

stagnation in the steel industry later

taking a substantially larger bite thanin years past. Increasing costs of operation are a con¬
tinuing problem despite the spreading use of more
sophisticated computers and other office machines. Since
life

and

that

expect will be accelerated in the year to.

up,

products

new

least

/%%%

sum

en¬

for the first six months of 1962,
which could be followed by virtual

all-time low of

mean

situation

same

James H.Windsor

insurance business is without its problems.
come

fear

until

July 1, 1962. Un¬

immediately to avert this dis¬

astrous
an

the

strike.

1959

figure approximating
4.25%. in 1961. As general business continues to expand
the pressures will be in the direction of higher rather
than lower interest rates in 1962. Although any increases
will probably be modest in scope, it will permit a con¬
tinuation this year of the gradually rising trend in the
rate of return on insurance company investments.
These

widespread

both

countered

estimated

with

taken

from

has

fortunately, this probably means that
steel
industry will shortly be

funds

taxes)

based

also

which

advantage of these

laboratories

fabricated

the

since

invested

disproportionate increase will
to attempts to build inven¬

steel strike

faced

rates

upward

Income

1947

operations.

1947, permitting life insurance com¬
panies to increase the average net
rate

tories

com¬

interest

due

■

favorable environ¬

ment for their investment

The

This
be

sales.

life

addition,

panies will have

1961

Wood

low

weeks and months of 1962.

1962 of the current

insurance

Wood's

indications

production./, There are, however,
that
production mayj outrun con¬
sumption
as
we
enter the
early

research

our

come.

very

and.

phase of improving general business
and
growing personal income, the
stage is set for a very good year

operating at 100% of capacity. Additional capacity cant!
brought into operation until mid-1962, so we will.,

all,;.of us connected with the steel industry
have been hopefully anticipating over almost a year of
situation

personal income have been expand¬
ing. Since indicators are pointing to
continuation in

business

in the steel operating rate is a

recent improvement

The

of the past 10 years,
shown a gain in each

accelerated

are
pleased that our diversified operations, too, '
showing considerable improvement, In the iron,
powder field, a number of new powders with unique/
properties have been developed, so that this division is

WOOD

President, Alan Wood Steel Company

fact, the growth

has

are

Alan

one

has

force

purchased

every

than this amount.

process

not be

with these higher cost levels.

HARLESTON R.

The coining year should be no excep¬

1932.

able to

not

were

not be able to take full

WINDSOR

insurance

life

increased

has

the

and

amount

Slates

mills

will be to cope

JAMES

operation, Alan Wood Steel is
position to utilize its full capacity
produce ingots. In the past, our company's annual,
capacity has been listed at 800,000 tons, since our rolling
a

Our capacity rating will now be increased to reflect an
additional ten per cent of ingots, which we can now pro¬
duce and roll into finished products on our new facilities,

President, Equitable Life Insurance Co. of Iowa

mills in

new

generating unit.
... - .
In keeping with the continuing growth of mid-Mary¬
land, we too expect higher volumes of business in 1962,
and our present estimates indicate an increase of about
5% in our revenues. Our expenses will be affected by
the continuing rise in wage and tax rates, and by the •
non-recurrence of some factors which
were helpful in
1960 and 1961.
One of our principal problems for 1962 .

population explosion will also mean the expansion
service organizations to take care of the
demands which will be created. Again Sales-

The

the

for the first time in

the

skilled permanent workers.

ages of

nearly $45 million Of which a considerable part is for :
completion by early 1963 of another 191,000 kw

With

Thursday, January 18, 1962

business

federal,
of

life

and

insurance

largest single
•

industry, housing and the ac-^

state

source
'

local

governments.

companies

Since

represent

of long-term

Continued

the

'capital, the
on

page

105

YVolume

195

Number 6126 .The Commercial and Financial Chronicle

;

The

first

public sale of

v.*

common;

tion

:-';Y

z'y'y

initial proauc- y
Y

inventories

and

affiliates,

the-proceeds

trade accounts receivable and in-

,'Y

engaged

;

some:

missile

; ;

products ••Include.

The

and such color

„

Semiconductors

1961,

„

which

lion

major strikes

YY/YYIYY;'

for the greater gains which I feel lie
housing and community development in¬
Florida, as compared with the nation as a

the

residents,

it has gained nearly

80%

in population

ifr'the past 'decade.;. Through the remainder of the 1960s,
it will increase its population by another 60%, which
-ti.iiHiV:
means another three
millipn new people by 1970. There
will be

corresponding increases in industrial investment,
jobs, payroll—and housing.
•
i^ YY-YY'Y'Y,/
;
%//</'>

Even this bright outlook

may prove

too conservative,

because of the recent announcement that Cape Canaveral
will be the nation's Port of Embarkation for the explora¬
tion

Space.

added

future

outlook.

40,000

one

fell

swoop,

multi-billion-dollar

new

that
factor

plus

announcement
to the state's

The Apollo

Project will result in some
jobs in Florida—besides which it will stimu¬

late untold other industrial

growth.

The conquest of Space will be to Florida like oil was

than

already is starting to be felt.

Florida's

traditional home-builders,
community developers will reap the benefits of this
precipitous growth. And the soundly operated develop¬
ment
companies are not just sitting by waiting for
more

the
;

pro¬

of.

Continued

page

106

Inc., in
un-Y

was

•

Despite

the price "collapse- in the semiconductor industry, this
subsidiary's order backlog

substantially

rose

advanced, and its sales outlook improved.

in
t

-nation's fastest-growing area. With more than five mil¬

Even

reinstated

was

somewhat lower level.

•

reason

new

; By the introduction of

as.

the

year

products of advanced de-

new

sign, other- segments/of TRW's "electronic'operations' "have
"been, achieving greater sales volume in both the mili-

of Pacific

the. third quarter at

scarcity

any

whole, is the fact that Florida is without challenge the

Its

the^ feasibility

for

•

space.

expectedly cut bnck early in

YCoiorstats" and ;

determine

the Minuteman ballistic missile
program,

prints as dye-trans-

ferS, "Coloroids",
Y related items',
l

participation

It is based, of course, on the assumption that
1962 improvement in the remainder of

to Texas. The impact

significant

look
'

/ '

ahead

late in 1961 to design, iabricate and
to

increase

anticipated

Chief

among new contracts was

detecting nuclear explosions in

transparenciesy slldeS; filrcY stripsj :

has-acquired

The purpose is

gram.

the U. S. economy is not deflected by war,
other disruptive factors. Y

Atlas, Titan and Minuteman ballistic

to STL

Nor

and

program,*

test the spacecraft: for the Air Force Vela Hotel

duplicate

the

engineering and technical

Qutstanding

of the industry
Y -:- YyY.'.*•

may

impact.

progress.

engaged in

programs^ STL

award

an;

Of 525 Lexington
Ave,, New- York City; furnishes a

the

same

This outlook is not explosive. But I regard it as highly
favorable
from
the
standpoint of solid and lasting

in addition to continuing its contractual

business for 1962.

] variety Of cOlor photographic'ser-"
I vices for - the professional niarket.

buildings of'

military communication satellite
of

H. A. Yoars

segment

15%.

sales volumes

see

specialized

much

serious

direction

"either respect.
j. d. Wright

scientists,

Air Force for systems

the

development
industry
larger gains in the

instance—will advance somewhat in 1962. And it appears

relationship, to NASA for OGO, to the Army Advent
Management Agency for systems engineering in the

;

Florida,; the land and

year,
than will the tradi¬
home-building industry.
We

dustry

Authenticolor, Inc.> at
$3.25 per share is being made by:
General Economics Corp., 101 W.
57th St;, New Yorlf CityY Of- the
total, 136,800 shares are being sold
by the company and 11,400 by cer-y
tain stockholders.*,Net proceeds to
the company .will be added to
working Capital,
,

i Its

5,000

personnel

likely that the cost of mortgage and construction money
will inch upward. But I do not see these as having a

center at Redondo Beach,

the past - year,

■

short

National Aeronautics ahd Space Administration. During

The company-

fall

ing Geophysical Laboratory) series of spacecraft for the

Public offering of 148,200 common

indicate

will

1961

manned and unmanned space missions.
Y-.
•**/''.;
The new space center will produce OGO (the Orbit¬

•

Stock Offered.
;

and

estimates

1961
units.

hold true—though I believe to a lesser
degree—in other U. S. areas of rapid growth and swift
economic expansion, notably the Southwest.Y'Ylt is likely that some material prices — steel, for

Advent

Europe

topping

—

run

rate

much

expect

The

Calif., designed to
engineers, administrative
research, development, Y
manufacture, integration and test of spacecraft, subsysYterns, components ahd ground support equipment for)

Authenticolor

affiliates

•

for

can

will

national

in terms of new

score

tional

recently occupied the f irst two

other

and

firms.

■

1962

within

coming

elec¬

new

and Y automotive

space

house

number of foreign

ments with,, a

•

and

billion

$24
y

the

community

affected by the slowdown in the automotive indus¬

STL

entered into »agr ee-

and

markets,

results

new

several prototypes of
xerographic -machines,-;
otherwise known as '-dry" or; electrostatic photocopiers, » Savin - in-r
tends to market;' its xerographic
products throughout the" eWorld
and, to that end/ has acquired

;r licenses

And

Y will

affiliated with TRW.

conjunction with- Minox G.m.b.H.
of Giessenv West Germany, is de¬

•

in
7%

;

try, price weakness in the semi-conductor business, and
rescheduling of certain military contracts. Other factors
were heavy expenditures for research and
development
and effects of the transfer of
part of the business of TRW's
subsidiary, Space Technology Laboratories, Inc.\.(STL),
to a government-sponsored, non-profit
organization not

veloping.
.desk-top

•

gain

company

established

were

fields, the

ahead

.; 6

pro- v

$400 million, somewhat lower
$420* million of 1960.
Operations'-: earlier in the year.

the sale of photo

nearly

construction

residential-

exceed

•

year.

well

27,000 employees in the U. S., engaged

than the record

principally in
sensitized paper,
developing fluid and other supplies and accessories in the opera; tion of diffusion- transfer pnotor
copy machines, and- the sale of
these machines. The company, in
been

the

This would

of residential

dollar volume

V./ Yin Florida, I believe the increase in

(

1960, temporarily interrupting the
growth
pattern evident in
recent
years. Sales for 1961 are expected to

The company of 161 Avenue of
the Americas, New York, -N. ;Y.,
has

the

Preliminary

Officer,//y

proceeds will be added
working capital, of which a

main office.

for

?..

that

of the

new

than

Latin America.

portion may be used for moving,
expenses and the establishment of
a

this

were

branch office and warehouse
facilities; for research and de¬
velopment; and for magazine and
direct mail advertising. The bal¬
to

mean

tronic

to,

residential building rate.

domestic

•

furnishing
of,
and
leasehold improvements <if. any)

ance

«v..* v

•

the

1961
effected further penetration of these

ventories;
;

Development Corporation

economy,

construction

^.--iCy.

appears

American

WRIGHT

research," development and

motive

,v-.-

used to finance increases

were

YOARS

General

case with most segments of the
the nation's home-building and
community development industry can look forward to
substantial increases during 1962. I anticipate that new
housing starts in the coming year
Y
will number approximately 1,350,000,
a
gain of about 4% from the 1961

precision parts and sys¬
missile, space, electronics, aircraft, ordnance and auto-

which

1962.

eduction

tems

able; payment of demand notes to "
>

With

.' /in

receiv¬

accounts

Thompson Ramo Wooldridge Inc.

areas

desk-top

President,

Thompson Ramo Wooldridge Inc. looks for substantial ;
Y improvement in sales and earnings in all major product

-v-;.V.>

••

Chairman of the Board and Chief Executive

approximately, - ,500
xerographic machines;;
purchase ' of ; xerographic;" paper;''
sales staff expenses; fihancirig pf C
run

•

proceeds from the financing

will be used for

►YY.---•_

being made through the
150,000 shares, at $10 •
per
share, by an5 underwriting g
group managed by Ira Haupt &
Co., New York City. The securi¬
ties are being offered as a specu- %
lation.
Y-Y
y; Y yyYyy- Y,Y:
Net

---

Corp. is
offering

;

105

stock of Savin-Business Macnines

■

industry will play an increasing role in the dynamic"
growth of our nation's economy.
y'
; ;:
A major question which will go hand in hand with
:
continued economic expansion will be whether infla¬
tionary forces will build up to destroy the fruits of ; :
economic progress. These forces can be held in check
if wise fiscal, monetary and wage policies are followed.
Y But
increasingly the highest order of economic statesY
manship will be required of our government, labor and;
Y,. business leaders.yyY;
Y
;.Y' '• S
Y.--'Y::Y:'Y.
.

Common Offered Y;
;-

Continued from page 104 '

; Y

;Savin Business Y
Machines Corp.

(373)

;

tary -and. industrial

markets,

.Y;.; improved results in 1962.>

bearing

the

* y

;•

»-

promise

|I/Y Sales!6f/componehfs ;to'jei:ejOL^itie*^ aircfaff/builders

Rainbow Photo r;

in *
aboW; earlier expectation&," exceeding the levels Y

1961

ran

•

1'.'

year (ago.

Industries;:§®
Stock Offered

The sales backlog in this1

'•

major programs^ No" significant
the

market

for manned

aircraft

syndicate jointly managed by
Rodetsky, Walker
& - Co., -Inc.,
Richter & Co." and William, David
& Motti,-Inc'.. is offering 112,000
commom

new
v

;

this
A

Shares of Rainbow Photo

Industries, Inc., at $6 per ..share. Y ;
Net proceeds will be used by the
company
for
moving expenses,
expansion of its color processing
facilities, sales promotion, repay- •
men! of loans, and working capital.
The.company of 29-14 Northern
Blvd., Long Island City, N. Y., is
primarily a processor of photo¬
graphic film, servicing some 1.200 ;
and

other retail stores

the Metropolitan area. It is

also

year

parts

in possession of

finds TRW

highlight of recent operations
third

major

Army's M-14

ent;

Rainbow also

for

source

rifle.; The

test of the weapon.

After

getting off

retail

camera

shops.

I
)

■

solid

block

Over

was

production

the

slow

start,
a

TRW's
good

Gas

ahead

^comparable

1960

day cooked

with

appliance manufacturer and distributor
Gas

LP-Gas

extracting plant under construction

producer

late

levels.- By continued market penetration and the intro-.

running

meals

Propane

Natural

automotive

recovery

year,

million

the

Suburban

TRW's selection

•Y

sales

63 CONSECUTIVE QUARTERLY DIVIDENDS
'

duction
-

group

new

products, units of the TRW automotive

increased

showed

their

the

are

now

indications that 1962

appreciable improvement in

Yv output over 1961.

;

YS^'

original equipment

1961, and automotive replacement parts sales

steady gains. There

will show
Y

company was awarded a multi-

original equipment business made

market in

operates- three

IN LP-GAS INDUSTRY

but the

million dollar contract for the production-, assembly and

•

photographic equip- y

in 1962,

continuing and desirable business.

asf a

;

•

franchise'd distributor of cameras,
film and other

remains

upswing is expected in

•

camera

area

strong, with prospects of slightly higher levels for two

passenger

car

Suburban Propane Gas Corporation
General Offices
New York Office

Whippany, N.J.
20 Exchange Place

106

Continued

from

page

vested

105

and

going out with aggressive
merchandising to create additional markets for Florida
living—among the nation's huge retirement and pre¬
retirement groups, for instance.
As a result of Florida forces like these, my own Com¬
pany, which will have sold nearly 2,000 new homes and
some
40,000 homesites in 1961, expects to develop and
market 2,500 homes and 45,000 building sites in the
people

The Commercial and Financial Chronicle

(374)

arrive..

are

in equities all of their capital funds and surplus

some

There

even

are

more.

some

who say that

decade

has

grown

the present chaotic

than

rate of eight times faster,

the population.

•

1962

Thursday, January 18,

.....

•

;

Frequently today we hear alarmists point to Russia s
8% to 10% annual economic ^growth-, as contrasted to this

con¬

ditions in the insurance business, with the ruthless com¬

petition and ever pressing desire to increase premium
country's recent rate of 2% to 3%, But such a comparison
volume to develop funds for investment, will only be
needs some perspective. For example, the United States
corrected if and when we have an important deteriora¬
is today producing about 100% more per capita than in
tion in equity values.
Russia. And there are scores of United States industries
This would seem to be a heavy
price to pay to bring order into the business. However,
that consistently show growth rate of 8% to 10%, or
it does not seem improper to ask how long the insurance
more. Life insurance is one.
:•
;
^
year ahead.
\ business can be considered to be
soundly operated when
•.
:.u.: MILES F. YORK
^ Since 1950, assets of the private life insurance companies
; " year after year it fails to turn in the underwriting profit /.have
grown at a rate of better than 8% per year. Owner¬
President, Atlantic Mutual Insurance Company and : Y
the-rates are supposed to
generate.::t7t'y•"Y^^,;;^v:■^^,:^;; Y ship of life insurance in private companies has averaged
j •" i
Centennial Insurance Company
>
*
Having said all this, the question then is what kind
an annual gain of
15%!
; ;
• .
;
; /
It now seems evident that the property and casualty
of a year may be expected in the insurance business in
:
There are a combination of reasons why life insurance
1962.
industry in the United States will have poorer under¬
Certainly with the improvement in the economy
ownership will continue to grow, entirely apart from
and the build up of inventories, amounts to be insured
writing results in 1961 than in the year before when they,
reasons' of
rising population' and incomes.
First, life
were none too good.
will be increased but it seems doubtful that the
At this writing, figures are avail¬
pre--' /' insurance is still the
only way most men can be sure
able only for the first nine months
miums will increase in proportion due to the continuing
of guaranteeing financial security to their families and
but these indicate that the principal
erosion of rates.: It follows-that I would not expect an
then^elves.'1 ;SecOndb ^ost, famihesb today: ^re 1 undeifr/
stock companies as a group had a
improvement in the loss ratio unless, of course, the
insured. Average holdings ;among .insured, families now
loss ratio, including loss adjustment
industry is fortunate enough to have a year free of hur¬
approach* $13,000, or barely enough to continue family
expenses, of 64% as against 62% in
ricanes, severe tornadoes or other catastrophes, which
income for two years. Financial planners often recomthe same period in 1960, with an ex¬
would appear to be a little too much to hope for.;- There
mend family ownership of four to five times
annual
is another factor with which the industry has to contend
pense ratio of 37% to written pre¬
income. ;"'.yd
*'.••'d'-S'dy
: •
d'
and that is the increase in the amount of business which
miums, which was the same as the
Additionally, this year will see continued great gains
is being siphoned off by foreign underwriters who are
year before. This would give a trade
in the use of life insurance to solve business problems,
underwriting loss of 1% as against
relatively free of regulation and taxation.
Any sub¬
for example—to, fund" pension plans, to ; guarantee con¬
a
profit of 1%-, or a swing of two
stantial improvement in expense ratios also would ap¬
tinuation of a business, to-help, compensate, for the- loss
points. With the heavy losses sus¬
pear unlikely unless something can be done to reduce
of a key man, to provide sound deferred income invest¬
tained
in the
Southern California
acquisition expense and competitive pressures would
ments.
y
'■§,
•.
seem to foredoom any such step.
fires, which occurred in November,
While new. purchases of group will likely grow faster
it seems unlikely that the remain¬
than other types of life insurance, there will remain 'a
ing quarter of the year could bring
CHARLES J. ZIMMERMAN
great, increasing market for individual (ordinary) pol¬
Miles F. York
about any material improvement; in
icies mainly permanent or cash value insurance. - For per¬
President, The Connecticut Mutual Life Insurance Co.
fact, it might be assumed that the
manent life insurance continues to be the best possible
results will have deteriorated. Despite these
Do we detect spreading skepticism of economic foreresults, in¬
;
investment for the man who needs protection and who,
surance stocks have
generally been quite strong in the
casts? Someone reportedly checked back on several
at the h same time, desires to build guaranteed
dollar
marketplace and we find the equities of the leading com¬
thousand predictions by well-known organizations and
savings for. himself. Many, new types of individual poli¬
panies in wide demand even in the most conservative
found the majority—wrong. Then there was the
warning
cies will be issued, designed to help families
obtain
circles. It is not difficult to find the answer which should
given recently by a
Wall Street
,
more
protection at lower costs than formerly."
" *
be a cause for concern to
any student of the insurance
analyst: "Beware of year-end fore./Presumably most of my colleagues.: in this special
business. In the nine months period when the
companies
casts.
Men who run corporations
edition are anticipating a:' general - rise in:: prosperitywere sustaining a one
point trade loss in underwriting
are
always the worst judges of the ,;
levels for 1962. While this is my own belief, I also see
operations, their surpluses were increasing about 11%,
market performances of their stocks."
the possibility of danger ahdad. This
or
is, the daniger .that
something over five hundred million dollars.
In spite of such gibes, crystal-ball
inflation may start to creep again. We cannot afford
This comes about, of
course,, by reason of the large
gazing is now in full swing. One
to condone inflation, for it can rob- all of us of part of
holdings of equities in insurance company portfolios and,
thing we can be sure of: All ecoour earnings and savings, and it can
endanger our freewhile for the most part it is a
paper gain and does, pot,
dom and the place of our economy in competitive world^pomk results for 1962 will depend
reflect the; capital gains tax
less
on
what
businessmen
liability,, nevertheless, the
see
in
markets.
" ' '
increase in book value is apnarent. v
>
t
the ball;' and more on what busiGovernment can, if it will, do much to prevent infla¬
In the writer's
opinion, the insurance business will
men have on the ball. Here are
my ^
tion by practicing sound monetary discipline
at?(every
never be on a
completely sound basis so long as it de¬
predictions for 1962, to be taken at /"
'level. Each citizen can also help by living within his
pends upon an appreciation in equity values to offset
one's own risk. Americans will con¬
own means and by saving a
reasonable, regular amount
losses in the underwriting
operation.
tinue to increase their ownership of
Security values
;K out of every paycheck.
can go down as well as
up, as we have seen in the bond
life insurance, perhaps by as much
This year it looks as if consumers will earn more—
market, and, if we were to have any substantial break
as 10%. Last
year's increase was 8%,
C. J. Zimmerman
and spend more—than in 1961.
in the stock
Hopefully they will also
market, not a few companies would feel
with the total amount in force reach¬
save more! For spending without saving can be ruinous
the pinch of heavy
underwriting losses and deteriorat¬
ing $635 billion by Dec. 31. Not generally appreciated is
to a country, as well as to an individual.
ing security yalues^, A number of companies have inthe fact that life insurance
It was encouraging to see* the old year close with
ownership during the last
-

•

■

Si
?■

if
f

'I
#■

£
'f;

If
.Af

Hirsch

County Bonds

Admit Partners

J. H. Anderson Opens

;

As of Feb. 1 Adelaide Meyer and
William Meyer will become lim¬

SAN

ited

Anderson

in the New York
Exchange firm of Hirsch &
25 Broad Street, New York
partners

(Special to The Financial
>

PEDRO,
is

Chronicle),:—/

Calif.—Joseph

conducting

secu¬

Stock
An

underwriting group headed by
Ripley & Co. Incorpo¬

Harriman
rated

Lehman

and

Jan. 16 purchased

Brothers

bonds, due Feb. 1, 1963 to
inclusive.
The
group
bid
for

the

Stephen

White

Drive.

was

formerly, with Haas, Lidster & Co.

purpose

100.02798

Co.,
City.

issue of $13,-

150,000
Montgomery
County,
Maryland, 5%, 4.10%, 3%, 314%,
3.30%, 3.40% and 1/10% various

1987,

rities business from offices at 3729

bonds, setting

net interest cost of 3.2535%

to the

Filling, Land Reclamation,

borrower.
On-

reoffebing, the bonds
to yield from
1.75%
4.50%, according to maturity.

priced

Other

members

the

are

group

are:
1

Canals and Port Works

River and Harbor

Smith,-

Barney
&
Co.;
Alex.
Brown & Sons; Blyth &
Co., Inc.;
Goldman,. Sachs & Co.; Kidder,
Peabody & Co.; Salomon Brothers
&

are

Hutzler;

Equitable Securities
Corporation; Hornblower &
Weeks, Paine, Webber, Jackson &
Curtis; B. J. Van Ingen & Co. Inc.

equipped to execute

tion and port

••

Improvements, Deep Waterways

and Ship Channels

Ys.Y//.'-•

all

kinds

/ V

': /./■

of dredging,

;'/'i. V-V-

reclama¬

work anywhere in the United States

Contractors

the Federal

Government

;

Lee

Higginson Corporation;
Braun, Bosworth & Co. Incorpo¬
rated; Hemphill, Noyes' & Co.;
Hallgarten & Co.;, Francis I. du-

Correspondence invited from Corporate and Private
.

Interests Everywhere

Y'7v

Pont &

Co.; Eldredge & Co. Incor¬
porated; Stein Bros. & Boyce; Wm.

Pollock

Brothers

Co.

&
Co., Inc.: -Stern
Co.; G. H. Walker &

" ■
';: /// ;
'
Hayden, Miller & Co.;-Mullaney,

Wells

New

Avenue,
York
17, N. Y.

Company; Robert W.
Incorporated; McDon¬
ald-Moore & Co.; The Weil, Ro.th
&
Irving
Company; Townsend,
Dabney & Tyson; Nongard, Show¬
ers
&
Murray, Inc.; Herbert J.
Sims & Co., Inc.; W. H. Newbold's
Son & Co.; Burns, Corbett & Pickard, Inc.

Longest Experience

•;;

•.;

•

Atlantic, Gulf and Pacific Co.

Baird & Co.

535 Fifth

•'

.•

NEW YORK 38, N. Y.
•

V
i

HOUSTON 2, TEXAS

15 Park Row

BArclay 7-8370
Cable

Address:

Citizens
;

State Bank

CApital

4-6091

"Dredging," New York

Bldg.
f.j

Volume

Number

195

record-high savings

6126

;

The Commercial and Financial Chronicle

during the first three quarters of last year led to doubts
concerning the length and breadth of the recovery. The

the country, including record-

across

high ownership of permanent life insurance. This trend
toward individual thrift must continue, if the promise
of

truly prosperous New Year is to be fulfilled.

KENNETH V. ZWIENER

/•.

warm

reception of the 1962 auto models by

eliminated this fear

1 A;

end.

President, Harris Trust and Savings Bank, Chicago, iii.

of: the

the mildest

1957

1958

was

held

labor

force

low

last

the

increased

point in

the

require

gains-;*Despite: ai

first

AS WE SEE IT

dollar

crisis

the

and

outflow

continue

this

year.

cause

..and.

move

the

nancial

steel

of -face

such

Rut

did

not

inspire

international

to mamtain full

fi-

fidence in
When

con-

are

increases

cost

the

much

dangers

about it.rThe

^ ^

necessarv

-the

and the dollar,

steps
^

nlace

sari/lfooUng

mainder of

our

the:

the

coming year

balance

payments

for

the

to- result 4n*

continuing

'* AAA;

;

v: ;

least

Outlook

expected

for Banking

that banking

will share in. the :rl962
broadly based ^business expansion. Business loan totals

will
/

expand significantly
receivable

accounts

deposits

recession

may

expensive
factors
in

<['

/. /

to inventory and

response

financing; -Total " hank ^"assets

increase less than in

monetary

policy.

Both

1961

due

demand

and

early 1961. There¬

MpWolp fp VkP
"jt/

xvxvv/

the present excellent state of Asst. Vice-Pres. //
the economy without the de.
*11
t
i
velopment of serious prob- UI Merrill LyilCll /
lems would be less good were
men

h%y>me In

and for various
•v

•

other

care,

causes
i

obviously not essential,

—-are

•/;:

Three;; Clieers ».for Congress
As

needed

and

President

and

persuade

his
.

MOCiel, KOianCl
;A

AuHllt

";':

*j_

artllGr

the

so-called
i

liberal advisers to go along,

VJ. rSve,mpm°
mem-

Broadway, New York City,
bers

the New

York

Stock

Ex-

But all

j-j-y

aj*e

periods of prosper- change, on Feb. 1, will admit
hedged about with Sidney Rydell to partnership.

practical matter, it is hazards

of one sort or anc
ji
a jj
quite an open question as to;,other.. What a good thing it
Amos oudler Adds
how much . of all this the would be if in this instance DENVER, Colo.—Robert M. Kin-

President can; with the mostwe were to take them to heart -y, Jr. h* been « to toe
vigorous and . skillful of efand move^ boldly and con- American National Bank Building!

re-

economic sys-

Preferred

are

f^posito%,;

given4;effect.>7In

cjepressingly. evident,

;

thaCwe

have

done.little

this consideration

have

been

particular4/
;to
■'?'

■k,

s e e m s

effective

pre-

nothing to correct the under- venting the Administration
lying situation out of which from trying to force unduly
our
dollar difficulties arise,
eaSy credit conditions to help
the
President's soothing
this, that, and the other ele-

Pioneers

•

Urban

Redevelopment

the

contrary not- ment in the population which
None of the Was thought to be in need of
steps necessary to enable our
help.
; v
,
.
.
producers to : become more
*-v* '5
' :.
competitive has been taken in Message Reflects Little of It
Washington, and nowhere
It must be said, however,

withstanding.

;

else

can

they be taken. It is in

also

far

from

clear

whether

all-candor

that

there

;

little in the State of the ;
or
not such
faltering meas- Union Message that the Presiures
as
the
Administration dent
has
just delivered to
has taken will be adequate to
Congress which gives evimeet situations quite likely to dence
of full awareness of
arise
during this year, this problem or rather group '
Whether or not we are to wit- of problems. The Chief Execuness
another outrageous de- tive is
obviously still obsessed
mand by the steel workers with the notion that
governfor

less

supply

fore, bank profits should be sustained in the coming year.

words

and"5

point to firm interest rates in the months ahead

contrast to moderate weakness

unessential
ele- tern * The
President has on forts* obtain,from Congress, structively to
repair the He was formerly with
■.5, \
stripped off. such more than' one occasion whose cooperation at several foundations of our well being. Securities, Inc.
steps as these are too much.;spoken of the
necessity; of
0:
tlike a-bank, finding
itself*ih*bearing our international sit-"'-:A--'
some
difficulty and fearful of u a t i o n carefully in-mind v ;
r
: a
loss of confidence in it, were
whenever b r da d * economic 4 ^44
to ask
large ..loans from impolicies; are • 5 formulated ^or
-A
ments

little

unemploy-A

large addi-tit not for the fact that

education, for health

our

substantial

problem.;, '

to pass upon such a question. vequalljTable to' p'rbceed in a
But the.-funds he wishes to constructive
way to lay out
lay out in other directions
programs that are obviously1

per-

as are
them: ori
^

capacity. Rising imports in the;

likely

are

very

due

1962

econ¬

advance

tions now evidently in view of good sense and independ- Assistant Vice-President, of Merfor defense may or may not ence of mind are present in rill Lynch, Pierce, Fenner & Smith
be essential in any and all our national legislative body. Inc. with headquarters in the
senses of the word. We It is unfortunate that mem- Board 01 irade Building,
should hardly feel competent bers of Congress are not

unwillingness of the authorities to take such

half

will

Prices

year.

ment and unusual plant

high that industrial output

have

first

the

mirnnco

The

ours.

that

the

extraordinary authority f o r key points is essential. The
the purpose nf onaklinrf viityy m1flaai/ fnv a continuation of
of enabling him outlook for

turbation.

confi-

organizations
could
hardly do very much to re-;

store

late

until

omy

All business:re-

upwaid during coming months.

prosperity, or at least to its
;solidity and lasting qualities,
been suggested for stemming;are not
confined to the be¬
any such tide through opera- -havior of labor unions and the
devices-

year.

have lasted for

deal with -the inevitable
of any managed
He is still a spender
using industries must no matter what may be said

convention

many

lose further

various

General inflation is unlikely to be a threat to the

With most leading indicators showing favor¬

will

international; labor leaders very

dence

••

great deal of confidence. If problems
the steel industry and the economy.

weakness of

and

Automobile sales are expected to be excellent in
;
1962, second only to 1955. Federal, state and local governments promise to boost aggregate demand in 1962.

the

likely

are

evidence, suggestive

trends, expectations

gold at else a prolonged strike during
least in fairly moderate
quan- the year, many bets will have
titles -would of itself,
of to be - cancelled. Evidently,
course, be no particular trag- rather
gentle slaps on,the
edy but it would very defi--wrists Jdo not cause enhitely tend to dramatize the. trenched labor unions or
our

past 30 years

able

rates' in

throqgh the coming

provide/ little

ness

K. V. Zwiener

gold. The loss of

abroad

tures.

two years. Current economic indicators of future busi¬

ontinued from page 1

i n g international conditions
could and very p r o b ab
ly
would tend very positively

position

output

employees.

.-coveries in. the

;

dominant'partem the expansion..A hesitancy on the
part of consumers to spend their rising incomes on goods

the highest

1965:; High Level Economic Expansion

showing

poor

shift from inventory liquidation to accumulation
played

one

sales.

Surveys of buying plans suggest that rising personal
incomes will be translated into larger consumer
expendi¬

b; The present upward trend in the economy is expected

renewal

further gains in

years,

,vl,

succeeding quar-- •
year-end
practically all >

toward

economic

.*-v-vU

with ' Gross
setting new highs

quarter, Gross National Product for
1961 was $520 billion, 3% above 1960.
In the early stages of the
recovery,
a

five

past

first

sectors of-the economy were

■\ notable

unemployment rate fell ..ta 6%Since the workweek is

currently running

;

second and

indicator

year,

National. Product

ters.

From

quarter of
activity; expanded i

1961; economic
throughout the
in the

of. 1958.

another

was

two-hour

compared -to

year*

summer

consumers

close. Retail

which showed little improvement in the
half-year of expansion. Productivity gains and a
increase in the workweek of production em¬
ployees in manufacturing during 1961 enabled business
to increase output without hiring many additional work¬
ers.: In the last two months of the year higher output
was finally reflected in additional employment and the

over,

.recession. Unemployment
under 7% of the-civilian

71/2 %

first

with total spending on goods and
services receding only 1% from peak to trough. Indus¬
trial production dropped only 8% in
contrast
to
a
15%
decline 4n the j
was

for goods and services will be
buoyed by
building during the first half of the year
in response to rising business sales and the
possibility
of a later steel strike. In contrast to
possible fluctuation
in inventory demand, capital
spending by business will
rise throughout 1962 as corporate
profits climb with

performance

postwar declines. By February; of"1961 the

four

decline

1961 drew to

33emand

Unemployment
The recession which began in June, 1960, was

107

inventory

sales,
largely expenditures on goods by consumers, were set¬
ting records along with other economic series by year-

(375)

"benefits"

which

inevi-

very

ment

through some sort of
tably raise the cost of steel legerdemain, work the econand thus render not
only the omy to its will.-He is, moresteel industry itself but steel over,
evidently convinced
users as well less
competitive that legislation is too slow a
abroad remains ;to be seen, process for modern times and
Certainly/the. apparent tern- that the Chief Executive must
.per at.-the
recent AFL-CIO be given.temporary grants of

AA A

;

HELPING TO REBUILD CITIES ACROSS
THE UNITED STATES AND CANADA
Subsidiaries and Affiliates
'

•

;

4
' ;

•

webb & knapp

zeckendorf property corp.

roosevelt field inc.

•

gulf states land & industries, inc.
international recreation

can

zeckendorf hotels corp.

corp./.
.]/ "'•< a;-

(canada) ltd.
*

„

■»* tv

108

BANK AND INSURANCE

STOCKS:

Continued from page

20.4%

the

below

corre¬

1961

included

weeks

holiday, but there
holiday in the 1960 week.

EARNINGS AND THE EARNINGS OUTLOOK FOR

City banks showed an

earnings

which
the

indicates

past

reversal

average

the

total). This

earnings'; trend tof

downward

trends

large

have

within

bank

showed

1960,

deposit increase for

the

past

deposit increase of 17.1%

with

compared

York

banks

now

favorable

loan

It is

ratio is

average
sion

what

exceeded

expected

generally

the

prime rate

represent

5%, this would
on

recovery

originating this type traffic

increase

10%

stock

bank

prices

week

move

banks'

higher

will

rates

earnings. On the other hand,

garded

within

the

equity

past two years, this advantage

over

(Bid)

Bankers

Chase

Trust

National

Irving

City Bank_____,
Company—-/-,

Trust

Manufacturers-Hanover

Trust

Co._

AVERAGE

2.54
3.13

mon" carriers

3.08

■

;

7 7

4.00

BANK

Chase

Trust

Manhattan

Chemical

Empire
First

Company-

Bank-New

Trust

National

Irving

Bank

York Trust

Over

Average

—

4%*

—

—_

■

-Percent Increase in

New

York

5%.

Trust

Bankers

Company—,
Manhattan
Bank_—

——

12/31/60

9
12

York

Co.

—1

Guaranty Trust Company— 13
Company—-—..
3

Co.—

Trust

Average
Average

—

Ratio——

to 39 from

$100,000,

280

and
pre¬

from

198

the

with

which
week

302

comparable week

price

level

last

January,/. I960,
off

51!

the

275.66

but

then

Monday,

preceding week, however,
largely by
price
in¬
in oats and

creases

NATIONAL AND GRINDLAYS

livestock,
ticularly steers and lambs.
On

Annual

BANK LIMITED

Comparison
•

Head

NEW YORK CITY

26,

Office:

the

BISHOPSGATE, LONDON, E.C.3.
Branches

PARLIAMENT

STREET, S.W.I.

ST. JAMES'S

Laird, Bissell 8 Meeds
Members American

Stock

Telephone:

BArclay

7-3600

Teletype NY 1-1248-4V

Specialist is in Bank Stacks'

the

daily

the
and

and appreciably
month-ago
level
of

the

year-ago

level of

Week

1961

Department

the

Federal

sales

Board's

Reserve

dex reported a 2%

KEOTYA,IDGANDA, • ZANZIBAR
•

•,

NORTHERN AND

-/.

Steady in Latest Weeki

RHODE8IA

•/•

Jan.

the

in¬

1962, :

same

was

the

$5.93,

preceding

the

week

down 3.6% from the $6.15

Law

$8,566,431.13
7
•
XX-

and

_X——__

States-

XXXXC-:X./

in;

Government

XX'X

other-

items

direct

pursuant

18,088,874.03

and

.XX,

political

Other

com¬

bonds,

X bentures1

f olid-week

1960.

Loads and

(including $480,- X.

1961.
X

x'-V

sales

the

New

week

ended

lower

York

when

bank

Other

"pherrifses/X^UixXXi'-- V

TOTAL

235,352.64

.assetsXX-X^.x.—X

225,527.11

ASSETS

$54,923,015.70

store',
for the* 7 ■' '7:;:liabilities;
Demand deposits of individu¬
were
4%
.

City

Jan.

with

compared

als, partnerships, and cor-;

the

A_7X $23,482,105.57

porations

period in 1961. In the pre¬
ceding week ended Dec. 30, 1961,
sales were 7%
higher than the
same

Time and savings-deposits of

individuals,

partnerships,
corporations. X/XXA

and '

Deposits

period in 1960. For the four

same

24,570,253.55

premises owned, none,.*7
furniture, and: fixturesX-i'7
252,371.87
Real estate owned other than 7
>■ /

Federal, Re-,

/System-(.department
in

i*> XX'-.

Bank

7X*/'V::X/;.;' u:;7XX;':;;Xx

According

serve

discounts ■(includ-

ing $122.14 0VferdraftS>/X

...

period ended Jan.;

1962, sales advanced 9% over,
the corresponding period in 1960-

United

States

6,615,658.96

States

X tlXXA

Goveynment

weeks ending Jan. 6, 1962, a 10%
Deposits
litical
increase was reported above the/

and

subdivisions

275,712.52

po¬

16,545,808.19

banksX«;r-XXi

__X—

1,449.01-1.92

Certified, and officers'xhecks,

2,122,378.22
TOTAL

Family Circle
Associates

(a)

deposits

7/F---X

Other

shares at $8 per share by

CAPITAL ACCOUNTS

Capital: Common stock, total.
par
value XlXx.xAX

Family Circle

Associates,
Inc.
is
being
through the
offering, of

353,442.01

LIABILITIES- $50,844,117.39

;

X--—23,746.272.36

liabilities-- XXX

TOTAL

The initial public sale of the class
A common stock of

DEPOSITS$50,490,675.38

Total demand deposits- /26,744,403.02
Total time and savings

tb)

Class A Sold

Surplus

fund

made

Undivided

50,000
Russell

TOTAL

$2,000,000.00

X__._X__X~i-

1,000.000.00

profits

1,078,898.31

CAPITAL.

ACCOUNTS

______

$4,078,898.31

Saxe, Inc., New York City. The

offered

are

tion.

'•

•

•/".

•

used

by the

certain

repay

loans.

TOTAL

specula-.

' X.

Net proceeds from the

will

the

financing

company

The

proceeds

will

MEMORANDA

;

other

Loans

assigned to.

liabilities

secure

;

ACCOUNTS-1U$54,923,015.70

Assets pledged-or

balance

used

LIABILITIES AND

CAPITAL

,■"'/.//

The company was organized on

* -

for

and

purposes—:_i,X^I/_ $14,891,287.30
shown

after

deduction

above
of

are

reserves

164,033.80

Securities-

are.after

shown

deduction

above

re-

7./

serves

X'--V-»D.X

179,710.00

September 16, *1960 .and acquired -7 I,'"NICHOLAS. Ft-PIOMBINO.' Auditor, of
all the outstanding stock of
Family \ the ^above-named institution, hereby'certify
this report of condition is true and
Circle Stores, a New Jersey, cor¬ that
correct-to
the best of my
knowledge- and
poration. Family Circle Stores, an belief/.-V
~

■*»

;..

operating
ment

but

Banks

ASSETS

with-

States

•

Obligations

16,

held

tod

index

XX-..-~'X.

collection_xX

obligations,

decline for the

corresponding period in

for thel7th straight week. On Jan.

the

York,

and. cash

•

the .Banking

New

guaranteed

■

OF*

siibdivisions--:
•
.2,503,247.34
notes and -deX'.X'// /;///././
* '/X "
pared with the like period in 1961.
X
For the week ended Dec. 30, 1961, t, 958.03 securities of Federal
X agencies and corporations
7 X-X ;>
not
sales were 8% higher than in the
guaranteed by .U. S.)
480,958.03
ended

week

■

SOUTHERN 1 ' :" !

United

taken from

balances

banks,

,/;

stare

CONDITION

Superintendent

provisions

State

Cash,

working capital, particularly for
carrying additional inventories.

change... occurred- in
the
>;»'•
»
'
V
'■
--Wholesale Food Price Index, com¬
Branches in:
'
r
:
piled by Dun & Bradstreet, Inc.,
INDIA, PAKI8TAN, CEYLON, BURMA, :
in the latest
week, but it remained
KENYA, TANGANYIKA. ZANZIBAR,/,
moderately lower than a year ago
UGANDA, ADEN, SOMALI REPUBLIC

Exchange

BROADWAY, NEW YORK 5, N.

Bell

•*

■

the
the

267.26.

Bankers to the Government
in:, ADEN,

Store

From

Nationwide Department

/•;■

admit

Broadway, New York 4, N. Y., at the
close
of- business -on' December
30, '1961,
published in accordance with a call made

-fl to -f 5; and South

(will

Company
of

+3 to -f7. 7X

Down

Underwriters/Trust

—4; Middle)

Wholesale Food Price Index Holds

Members New York Stock Exchange

120

15,

■

SQUARE, S.WJ. :

Now Available

REPORT

the

prior week

above

273.48

London

BANK EARNINGS

(

Monday, Jan.

par¬

wholesale commodity price index
stood at 275.66, up from 275.40 in

+2; West South Central 0 to

Atlantic

City,
Stock

Regional

-f-1; East North Central

+ 4; Pacific

York

Commodity Price Index

bolstered

Our

—2 to

York

New

Feb.

Atlantic —4 to 0; East South Cen¬
tral —3 to

(

St.,/New
of the

Exchange,

New England —12 to
Mountain —10 to —6; West
to

(•

John H. Sehwieger to partnership.

Deposits

Jan. 15, reports Dun &
Bradstreet,
Inc.
It remained above the level

—.

busi¬

casualties

eased

10%

Increase
Loan/Deposit

rose

since

,•

58
.

al¬

Wednesday
reached 275.80, the highest
point

Trust

size

ity

fewer

Broad

members

comparable period in 1960-1961.

../•A" 3

Manufacturers-Hanover

Morgan

Trust

Company—

335

The general wholesale commod¬

Bank-New

Trust

Edges to Two-Year High

Empire

the

1961.

16
First National City Bank——.—_ 10
Irving Trust Company-Xtx------- 13

Chase

week

but did not reach the

Wholesale

Chemical

48%

16%

among

this

Ratio ; •/.
12/31/61

/XX.

the

231

level

under

•ago

Inc.

country-wide basis

the prior week
sharper increase

vailed

surged

•

Loan/Deposit

Loans 12/31/61
Over

both

losses

319

from

$100,000

last year. A

6.40

Over 12/31/60
Bank

—

33
X

2/.-

—

Deposits 12/31/61

Bradstreet,

■

review

under

below

North Central —8

Year Ago

involving liabilities in

excess

—

Some

Failures

+ 12

'•

process

succumbed than in pre-war
when the toll was 380.

1939

1
1

—10

3 55

Decrease,—-—

7.,:'

—

Jan.

1960.

week

•

Paine, Webber, Jackson & Curtis,

centages:

nesses

+ 11

—

■/".

"J~

6.53

Company

Increase

•

■<

—

rl'

3.03

Co.__

Trust

Guaranty Trust

Trust

5.18

year-ago

—

9/30/61

—

5.84

Company----.

Trust

Morgan

Co.

X/X

though they exceeded slightly the
292 occurring in the similar week

12/31/61 Over

—

5.05

—.

•

1960

21.05

Company
City Bank

Manufacturers-Hanover

11.7

% Change NOE/Sh.

/••• '

3.81

—*

15.0 X

_/X

$22.96

York

New

their

the

from

Sales
Rise

V(x : 77

••

Admit Sehwieger

estimates varied from comparable
1961 levels by the following per¬

—8;

Purcell & Co.

Paine, Webber to

some

higher than a year ago, according
spot
estimates
collected ' by

freight

preceding week, reports Dun &
Bradstreet, Inc. Despite this up¬
turn, casualties remained below

STOCKS

1957.

12/31/61
Bank

17.8

22.5

1958.

ended

19.4

•

Continue

climbed

ures

17.5

V 3.15

Net Open Earns./Sh.

general

Commercial and industrial fail¬

17.7

X 2.80

Yeer Ended

Bankers

3.17

4.00

18.3 X

—

3.02

2.00

OF NEW YORK CITY

I960

2.91

1.60

16.7

Current

■X

3.00

127

by the ATA De¬

Below

11.5

Christmas

Second Week of 1962 but Still

17.6

0.81

144

—

Failures

16.4

3.00

ranged

throughout the country.

18.6

•

2.80

Co.

P/E RATIOS

:7';

Trust Co.____—

Guaranty

Morgan
U.

1.80
2.60

But,

„

18.2 X

370
103
53

X-.
—X

Trust

the

partment of Research and Trans¬

(1961 Earns.)

3.10%

Company,

week.

P/E Ratio

Yield

Bank——

Bank-New York Trust Co.

Chemical

First

$13.00

Co.„

Trust

Manhattan

Empire

$418

X—-X—X7

York

port Economics. The report re¬
flects tonnage handled at more
.than. 400 truck terminals of com¬

Current

New

trade

week

ap¬

The total dollar volume of retail

Dun

conducted

areas

men's

and

210

McKinney,

formerly a partner

was

in Neary,

findings are based on the
weekly survey of 34 metropolitan

but

women's

Exchange,

same

Activity,

earlier.

offices

from

business

member of the Pacific Coast Stock

over-all

and

10,

held to about the
year

& Co. to engage in the securi¬

West Seventh St. Mr.

surpris¬
ing advances were chalked up in
appliances, autos, and furniture.

the previous week of
This week-to-week gain

These

corresponding rise in price earnings ratio. Although the outlook
earnings appears certain, any institutional switching fromfKew
York City bank stocks into higher yielding investment media
(bonds) could produce a depressed.market for these bank stocks
in the coming year; 7
Dividend

truck

of the

consistent with the pattern in pre¬
vious years. -

re¬

yield,

that

ahead

Charles

—

was

second

corre¬

holiday to that of New Year's is

any

for

the

for

this year.
from the

Bank

11.7%

was

volume

York

New

proyide

Rate

volume

sponding week of 1961. Data pub¬
lished by the American Trucking

has disappeared with

Price

tonnage

these banks have been

which will

investment

the

affect

adversely

not

ended

Jan.

both

combined

hampered considerably
by the weather, and white sales
made only fair progress in their

tonnage in the
Jan.
6, was 4.8%

Associations; showed

With time deposits relatively insignificant,

was
as

parel

truck

ahead

ruling which permits commercial banks to pay up to 4%

time deposits.

trade
level

4.8% Over 1961 Week

past several weeks. This is due in part to the Federal Reserve

Board

compared
and

ago

corresponding week of 1959. 7

Intercity

return

appreciable declines

had

have

week

year

decline in earnings for these banks in 1962.

Most

than

one

Truck Tonnage Volume Gains

Should the rate rise again to

away.

current

ANGELES, Calif.

McKinney has formed McKin¬

ties

purchases in the week

ended'last

(Special to The Financial Chronicle)

ney

rain

and

Bradstreet reported that

snow

the

Consumer

Buying

...

retail

year.

Dun &

ice,

the

prime rate loans. With these factors present, it is difficult to

expect

the

not far

was

(.pX''.'V

There

1959.

LOS

Retail

(>,(•.

Forms Own Co.

the

wholesale level.
Weather Cuts

its

and

company

Charles McKinney

general trend of food prices at the

cut

with

The

banks that an increase in

York City

above

the

show

bookkeeping

general
the

buying

Index

total

and

for

subsidiaries.

pound

chief function

Its

58 class I U. S. railroad sys¬

addition, there have been pronouncements within the past week
by two of the major New

corre¬

591,246. This was an
37,131 cars or 6.7%
with 1960, and 174,738

42%

offices

Inc.

to be used

are

headquarters,

offices

Price

sum

which

J:,

of 31 raw food¬
stuffs and meats in general use.
It is not a
cost-of-living index.

20 to 25% loan expan¬

(7x7;

the

offices in Keyport,

new

executive

„

Bradstreet,

Food

per

tems

deposit ratio.

price

were

position.

loan

51%, which allows

now

60%

■

Wholesale

represents

compared

period of "tight money" in 1957-1958, New York

usually

banks

x 7/-'

19, 1961. The com¬

October

has

hogs

cocoa,
"

Dun

cars

in
In the recent

City

The

over-all

the

above

cheese,

lambs. %
.«

increase of 854

was an

■■■

increase

result that New

the

week's

since
pany

higher

oats,; butter
and

totaled

1961

1956-

year.

revenue

Piggyback loadings for the year

Manhattan

loan demand did not

deposits, with

increase in

are

the last

increase for

week.

they

the period

over

important to note that over the year 1961
approximate the

Chase

the

example,

For

year.

period

year

one

reported

sponding week of 1960 and 2,338
cars
or
35.1%
above
the
1959

deposits and loans. New York City banks have seldom

that

"or'10.5%

cars

end figures are the

shown

included

quarter, earnings were up 3%,

significant in the year

Also

year.

one

highway trailers or highway con¬
tainers (piggyback) in the week
ended Dec. 30, 1961 (which were

share for 1961 of 4%. It is interesting to

per

note, however, that for the final

cars
more

8,999

were

/loaded with

shown, the major New York

decline

There

BANKS

was

N.( J.,

Laurelton, Brick Township,

in
wholesale
flour, barley,
beef,
hams,
bellies,
eggs
and
steers. On the other hand, lower
prices were quoted for wheat, rye,

Moving

store

department

discount

corresponding

the

cost this week were

New

Year's Day

YORK

recorded, on
day last year.

sponding week in 1960. Both 1962

NEW

Thursday, January 18,-1962

Stores* Inc., an operating subsidi¬
has operated a self-service

cars

This Week — Bank Stocks

ary,

and

1961

Chronicle

The Commercial and Financial

(376)

subsidiary,4 has*

opera- ,'■■■

"X:* '

V X-NICHOLAS

self-service discount depart¬ ^Correct—Attest:..
store

Keyport,- Raritan
Township, N. J., since October 31,
1957.
Laurelton
Family*"1 Circle

CHRISTIAN
SUMNER

JOSEPH

W-

FORD
B.

...

PIOMBINO

;_.X

■■

X-.-'
[Directors

KORELL1

TAMNEY.J

7-7

Volume

195

Number:-6126

(377?

Chronicle

The Commercial and Financial

tabulations

The* following statistical
latest week
week

Business
Indicated :,Bteel - .operations:

'
>i

Equivalent

40*-* ».-Y
?, • - * a •*. :
'•
Steel ingots and castings (net tons)-.

gallons .each
■—Y_——YY
runs'tostills—rdaily * average

75.5

50.5

2,300,000

2,294;000

2,200,000

7,445,210

3,085,000

14,866,000
6,743,000

14,722,000
6,508,000

199,901,000-

J- J ah.
output, (bbls.):————_—.—Jan.
Residual fuel oil output, (bbls.)i_—
•——————— Jan.
:1 Stocks at refineries; bulk terminals, in transit, in pipe lines—'''
\
Finished end! unfinished- gasoline (bbls.) at————-Jan.
5

194,640,000
32,531,000
151,880,000
45,745,000

Distillate "fuel Oil

Kerosene

Distillate

(bbls.)
fuel

oil

Residual* fuel

(bbls.)

at——.

(bbls.)

oil

•■'.

45,053,000

: ;

6
6

469,467

437,852

;

422,237
■412,503

560,602..

Increase

425,770

124,500,000
256,600,000
164,300,000
92,300,000

•

—

Slab zinc

Bituminous coal and lignite

(tons).—_____
—— Jan.
(tons)*---:-.—————~—_— Jan.

anthracite

7,395,000
319,000

AVERAGE=100

SYSTEM—J 947-49

Electric

output

•

INDUSTRIAL)

INC._^

BRADSTREET,
steel

Finished

lb.)i

(per

125

DUN &
,____Jan. 11
-Y YY'-

Total

6.196c

$66.44

Jan-

Electrolytic

(E.

M. J. QUOTATIONS) £

Farm

;x Domestic
refinery at—.
Export - refinery at
Y Lead (New York) at_

;

yY-yyy-y-Y^''

(St. Louis)

tZinc

at—

(delivered)

Lead

at————.

Zinp (East St. Louis) at

■v.

Aluminum

Straits

MOODY'S
U.
:

at——.—

30.600c

28.025c

27.875c

28.175c

26.500c

10.000c

10.250c

11.000c

9.800c

Bonds

•

10.050c

10:050c

10.800c

12.500C

•; 24.000C

corporate—_1 j

85.90:

86.37

85.75

Jan. 16

—i

86.11

86:U

85t85..

86.78

89.78

89:64

89:02
88.27

Public- Utilities

Industrials

80.93

81.05

Public

Y" 83.28

84.04

87.32

Jan. 16

87.66

87.86

•'Gloup^.^i.^i^k----^_Ut-r--

Jan. 16

Group__—_
Group———

4.54

Jan. 16

>4.72

•

Y 4.66

5,08
4,02

Y>'. 4.33

v ■

4.62

East"

5.10

4.57

4.61-

4';61

Y: 4.5-7 :

4.57

Jan. 16

375.5

378.2

216,099
162,543

291,340

351,763

241,355

338,958
95

493,023

444,764

1497,784

408,384

116.75

115.57

114.04

109.70

—

•

;

activity:
(tons) at

Unfilled' orders

•

end

——Jan.

—._—_.

.—_Jan.

Jan.

Percentage

■

period.

396

'Y/

•

*418

36
240

INC.—217

•'*

*32

*167.

<j;

472

*603

121

•■'*;

—

DUN

112

.*.'■■ 64

■

■'

106

122
470

;

*76'',M

■

'■

*130

;

31
44

■

*45

—

V:"•■234

*57

;
,

391

*40

244

:-y>

—;

VALUATION

■

Y.Y;"'■

*118

>•••;{ V'-*32,-.,

> '

CITIES—Month

,..4.61
-:

373.1

4.53

V:'

;

Jan.

$30;738,954
196,723,273
52,783,530

•

_y—:

Central—l-__'_—

—____"
——~__Z

___t

Pacific.

360.2

207,300
167,049

86,535,012
81,954,945
49,506,901:
37,471,912

135,394,846

Total United States.

New

(tons)——.—
(tons) —•
Y

351

'59

—

West: Central:
Mountain

NATIONAL PAPERBOARD ASSOCIATION: 1

Production

388
-

♦80

'■

development—

South Central

4.86

Jan. 16

—

—_.—

received

1,312

Atlantic

4.69

5:11 Y
4.92-

4,92

South

4.48*

4.75
v

Y 5.09
■

Jan. 16

Publit Utilities

Orders

437

New England
v._v.—
Middle. Atlantic..—-_Y—___

4.65

4.44

YY:

4.54
4.74

4.74

Jan. 16

—

Railroad

■

4.43

4.42
.

—-Jan. 16

Baa

PERMIT

of November:

3.94

4.15 '

4.70

Jan. 16'

—

Jan. 16

j, MOCWY'sr COMMODITir INDEX-.-

BUILDING

4.08

4.15

—Jan. 16
—.

Groups

V*,'.'

BRADSTREET,

! Y

corporate.—
AaaL_"-L——-——

Industrials

88.40

87.32

*1,588

enterprises—

public-.

1,332

sy'stemsiL—l_—v.—;;

and

60
.

Average

All/other

.87.86

„

service

.'Y 17

Conservation

26
*113
*472

81.17

87.18

353

——_

274

,Y"Y. "* '

;.*;

83.28
s,

telegraph-

186

430

Water

Y- 25

Sewer

8*1.29

Grbupi_^i^_ii.-._d-.^-L_--_—

MOODY'S. BOND YIELD. DAILY AVERAGES:
U, S. Government-Bonds___"——i

./•;■

83.28

Jan. 16 Y

—

Jan* 16

_________

_Li___f

;

-Sewer and water

■

86.24

85.46.

85.59

—

Military facilities.-*.-,—
Highways'

91.19
Y 89 09

87.99

?■

88.2.7

303

other

—Jan. 16

-Baa

Groups

201

228

•—

387

196

289

Hospital and institutional..
Administrative and service—
Other nonresidential buildings

86.57

85.59-

100.250c

264

424

195

100

public utilities
private—.
construction——

925

221

203

—___

utilities

948

398

—

and warehouses—__

1,698

102

221

Educational

Aaa;—^^.^——'Jam ~16

Railroad

11.500c

Jan. 16

-—

—

340

buildings.
Y_ ^__
Nonresidential buildings
Industrial.—_________________

i 26.000c

121.375c

120.375c

—

Residential

12.000c

Y 24.000c

24.000c;

All

Public

12.000c

12.500c

12.000c

1,267

*389

908

Other

————

DAILY AVERAGES:

PRICES

Government

Average

■

York)

(New

BOND

-—

—_______—i

—,

(primary pig, 99.5% )

tin

30.600c

Jan- *0
Jan. 10
Jan. 10
Jan. 10
Jan- 10
__ Jan. 10
Jan. io
Jan- 10

—-

3,170

*2,062
*1,571

^___

Telephone and

29.600c

.———
..

4,482

*3,613

construction

Public

..v:,;'-•••vY'VY

y y.";

copper—

♦5,201

i.—

Social and recreational—
Miscellaneous __*
♦

METAL PRICES

72,933
64,272

3,409

Hospital and institutional

$31.17

$34.17

$37.83

4,741

379

restaurants, and garages.
Other nonresidential buildings
Religious—

$66.44

$37.83

190.810

Stores,

6.196c

$66.44

85,563

146,381

—

Educational

$66;44

8
8
8

81,861

151,189

alternations

Office buildings

335

30b

and

Commercial

shannon

14,810,000

1,954
1,477

—

Industrial—

15,030,000

one'

85,261
80,453

—

buildings (nonfarm)—
housing units—

Nonhousekeeping
Y____
Nonresidential buildings

16,695,000

231

319

nnn

283,056,000

12,047,000

(tons of

—

construction—

Additions

118

.299
r^

'
..

output all grades

Residential

;
.

280,696,000

■

construction—

new

Private

369,000

•

16,021,000<

295,657,000
12,583,000

BUILDING CONSTRUCTION — U. S, DEPT. OF
LABOR—Month of December (in millions):

6,830,000

•.c

16,957,000

Jan. 13

;—___—— Jan.
—.——i————Jan.

(per gross ton)______I—
steel (per gross ton)

Scrap

—

Y: •.yjj'

Pig iron

„

r
<—

IRON AGE COMPOSITE PRICES:

;

116

Jan.

AND

(COMMERCIAL

FAILURES

—

INSTITUTE:
(in 000 kwh.)

ELECTRIC

263,800,000
177,100,000
86,700,000

8,425,000

;•

258,000

DEPARTMENT STORE SALES INDEX—FEDERAL RESERVE

EDISON

360,100,000
!

363,000

?6,555;000

(barrels)——

INSTITUTE, INC.—Month of

smelter

New

(U. 8. BUREAU OF MINES):

Pennsylvania

$623,900,000

$393,000,000
206,000,000
187,000,000
145,000,000
42,000,000

$381,100,000

———

COAL OUTPUT

stocks

2,000 pounds)

<■

all

export

December:'-.:-"

439,193

511,289

161,208

257,061

237,845,000
245,419,000
209,848,000
215,687,000
27,984,000
Y 29,715,000
13,000
17,000
33,147,000. '
31,458,000
21,751,000
20.989,000

30,379,000
15,000

Shipments (tons of 2,000 pounds)—
Stocks at end of period (tons)——

.—.

133,975,000
45,262,000

AMERICAN ZINC

CONSTRUCTION—ENGINEERING
i "
NEWS-RECORD:
Y.
\
Y . ,''
v. •
; :'Y • '.!
;
$430,300,000
Total U. 8. construction.———
—;——Jan. 11
>
202,700,000
Private
construction.
————________ Jan.
11
227,600,000
"Public
construction-.
————-Jan. 11.
State and municipal——
Jan. 11 -195,500,000
32,100,000

167,295
255,650

;
-

33,585,000
23,319,000

••

ENGINEERING

CIVIL

30,714,000

RevenUe freight

Benzol output (barrels)
Crude oil imports, (barrels)——
Refined product imports (barrels)—
Indicated consumption domestic and
(barrels ).^

6,668,000
199,770,000

-.!■

freight loaded (number of cars)
————- Jan.
received from connections (no. of cars) —Jan.

Revenue

5
5

—,—______——

ASSOCIATION: OF AMERICAN RAILROADS: Yy

31,358,000
147,269,000

—TJan.
Jan.

—

at—

251,336,000
220,942,000

—

Jan.

at—.—

6,265,000

Ago

production (barrels of 42 gal¬
—

13,272,000

187,466,000
35,084,000
169,118,000
47,524,000

INSTITUTE—Month

lons each)
u_—:
'.
Domestic crude oil output (barrels)——_
Natural gasoline output (barrels)—:
1

3,351,000

3,031,000
V
14,735,000
'K

164,125
240,343

(short tons) end of Nov.

PETROLEUM

Total domestic

8,167,000:
29,333,000

Year

Month

of October:

7,152,310

7,397,060
8,291,000
29,766,000

7,384,210

8,429,000
30,732,000
-3,266,000

outpiit. (bbls.)

Kerosene

(in -short-tons)—Month of NovemberStocks of aluminum

8,508,000
31,018,000

Jan.
..Jan.

—-

' .Previous

(BUREAU OF MINES):
.Y. .'
Production of primary aluminum in the U, S.

AMERICAN

:output(bbteY),——_—___———.————-r—..Jan.

Gasoline

of that date:

are as

ALUMINUM

1,482,000

(bbls. of

—;

(bbls.)_—:

Crude-'

•

either for the

are

Month

78,5

Jan. 13

-rr—

of quotations,

cases

Latest..

78:5

.•

american petroleum institute:
Crude oil and: condensate output—daily average

or,

Ago

Week

Week
Jan. 13

capacity)

(per cent

that date,

Year

Month.

Latest

STEEL' INSTITUTE:

AMERICAN IRON AND
:•

month ended

production and other figures for the

coyer

month available; Dates shown in first column

109

York City

$671,109,373$1,216;133,939

—

$589,937,505

164,132.991

132,424,463

$601,030,120

$457,513,042

$54,570
13,670
27,710

$54,230
13,760
*27,001

$54,220

$95,950

*$95,000

*$95,930

33,815,000
1,404,000

37,305.000

33,091,000

*1,532,000

1,794,000

128.3

-YY Total outside New York City___

615,103,819

$506,976,382

_i___;

—

$39,117,142
$22,362,141
664,303.002
171,051,571
68,104,051 "
56,247,556
90,208,254
119,249,488
102,597,720
97,280,869
39,043,846
32,749,853
33,258,087'
21,350,150
150,460,603
98,687,111

BUSINESS

INVENTORIES — DEPT. OF COM¬
MERCE NEW SERIES—Month of November
(Millions of dollars):
*
.
,

oil, paint and drug reporter price index—
AVERAGE^rlOO-

1949

ROUND-LOT

FOR

TRANSACTIONS

,Jan. 12

—

ACCOUNT

Retail

'Short

Y;v>'

'sales—

2,768,130
428,050

1,994,330
2,549,350

2,059,970

3,147,740

393,700

470,340
31,200

2,748,360

3,454,650

Dec. 22

Other- sales—

332,000
2,241,890
2,573,890

514,510
2,633,230

—Dec. 22-

sales—

Total

Dec. 22

Other transactions
Total

sales

'YYYY'; Other sales
Total
Other

transactions

the

initiated, oh

sales

366,240

326,660
357,860

993,702
141,300

951,513
144,540

813,439

1.016.021

954,739

1,160,561

account of

sales

:Y; Total

sales—

1,103,419

975,445
87,850
979i030
1,066,880

Dec. 22
;

PRICE

INDEX —1947-49=100—

of November:

All items——i

128.4

127.4

120.3

120.9

121.1

116.8

117.6

126,610

118.4

Cereal and bakery products—^
Meats, poultry and fish._
_J__—
Dairy products
—^
_Lv
Fruits and vegetables—

140.9

140.2

138.6

108.6

109.7

1,986,345
2,112,955

109.9

119.0

118.9

121.6

122.9

126.2

108.2

109.8

Dec, 22

441,050
3,559^790
4,000,840

•

Dec. 22
Dec. 22

.__

.___

5,095,889

4,039,705

-Vi 702,420
5,08-7,465

5,789,885

4,009,492
i> 1766,520

122.7

122.4

3,103,809;.
3,870,329

4,189,983
603,790

3,402,651

—

Food———

members—

sales

Other

Month

—

Other food at home—

purchases

Short

,; 29Q040

529,190

Dec. 22
Dec, 22
Dec. 22

Total round-lot transactions for

467,890

CONSUMER

Food

sales

Total

338,870
360,070

Dec. 22

sales

Other
Total

70,200

Bituminous coal and lignite (net tons)—
Pennsylvania anthracite (net tons)
—

floor—

purchases

Short

61,300

Dec. 22

sales-

Total

21,200

Dec. 22

;

315,900

Dec. 22

—

Food

—

home————

from home

away

Housing-

•■Y;

——__

STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODD-

1958—100)

(Jan.

_v_Y—:

————

Rent-.;

4,006,441

Gas

and

electricity

DEALERS

SPECIALISTS

AND

STOCK

-r-

SECURITIES EXCHANGE COMMISSION

Number

(customers'

shares.
:

Dec. 22

—

Odd-lot purchases by dealers (customers' sales)—
Number of orders—customers' total sales
Customers'

short

Customers'

other

Dec. 22

Dee. 22
Dec. 22

sales—

sales——

Dollar

.1—

value

Round-lot

sales

—Dec. 22

—

dealers;—
Number of' shares—Total; sales-

Dec. 22

::::::

Short

sales

Other

Dec. 22

sales—___L—__.

total round-lot stock
ACCOUNT

Total round-lot

shares.

sales on the n. y.

EXCHANGE AND ROUND-LOT STOCK
FOR

.—

Total

saies—

—

1,889,420

2,226,482

1,886,869
10.222

1,876,647

1,972,710
$90,520,319

1,882,171
$95,232,244

2,216,745
$110,190,295

$95,968,582

722,710

653,520

653~,520

722~,710

491,730

712,390

591,230

59L230
474,540

Farm
Meats

—

715~i30
382,890

goods and services.

....

—

110.7

112.3

112.2

112.0

101.7

102.4

101.4

141.7

140.3

93.1

150.3

146.5

137.9

134.4

209.5

209.4

202.9

162.3
134.0

133.9

125.4

122.5

133.8

132.7

$843,342,938

$756,581,458

601.095,542

623,858,041

603,120,900

91,282,488
71,492,167

138.3

111.4

97,436,049
89,660,204

47.202,804

58,000,000

73,000,000

34,000,000

$1,304,059

139.2

111.2

$1,248,103
101,364.

$1,052,511
105,861

94.1

157.9

EARNINGS CLASS I ROADS (AS¬
SOCIATION OF AMERICAN RRs.)~~Month

RAILROAD

of November:

operating
operating

Total
.

Dec. 22

544,530
18,037,740
18,582,270

867,140

22,043,450

22,910,590

909,970
17,292,430
18,202,400

735,780
18,748,160

19,483,940

Taxes

—

revenues

;

expenses
—

—

Net

railway operating before charges—
Net income after charges (estimated)-:

REAL

<J947^49==100)>

u. s. dept. of

;

FINANCING

BOARD—Month
Jan.

119.5

119.1

U9-

Jan.

68.3

♦88.6

87.6

89.

.Jan.

110.3

i09.8

108:9

—

-Jan.

'.All; commodities other than farm and foods.

Jan.-

97 A'

127.8

95.7

127-8

93.8
127.7

.introduction of ;Monthly Investment Plan,- iPrinie Western
Ylsold'on delivered basis* at centers'where freight from*-East St. Louis exceeds one-half cent a pound.- NA. Not available.
tNumber of orders not reported since

Banks

Zinc

HOME

Oct.

75.903,260

NONFARM

LOAN

(000's

BANK

omitted):

and

109,217
—i

Individuals
*

Miscellaneous
Total-

lending: institutions——
—_t

467,568

trust

companies
Mutual savings banks
;

98
128,

—

Savings and loan associations—
Y Insurance companies-.
:

109,

——

ESTATE

AREAS

foods—

♦Revised figure.

recreation—;

104.0

139.5

——-

products,

Processed

Other

Total

Dec. 22

All ^commodities

Reading and

TRANSACTIONS

Commodity. Group—*•
,

715,430

——

103.6

125.2

—

care

136.3

103.4

$799,611,458

■Public.————
Medical care

125.7

138.4

134.3

—

•

Private

Personal

142.7

125.7

162.4

—

132.1

125.7

138.0

apparel
Transportation

7.313

Footwear.
Other

1,980,023

9.737

Dec. 22

—

sales—c

$80,123,202

7.249

Dec. 22

sales-

1,618,289

MEMBERS' (SHARES):

WHOLESALE'PRICES, NEW SERIES
LABOR

$94,277,057:

;
1,788,886
$100,161,226

stock

Short aales—_—

Other

1,745,386

2,182,048
$116,310,161
:

119.6

1 144.1

150.5

—

Dec. 22

Round-lot purchases by dealers—^Number of

Dec. 22

value—

Dollar

;

purchases)—t

111.6

93.0

—

EXCHANGE

Odd-lot sales by dealers

'"*'132;7

•

142.3

.•

Housefurnishlngs
Household operation—
Apparel——
i
■.
Men's and boys'—.——j...... ■'
Women's and girls'-

;

132.9

139.2

;

—

LOT

119.4

144.2

....

Solid fuels and fuel oil——
«'■

13,630

28,080

(BUREAU OF MINES)—Month

of December:

2.488.020

537,820

COAL OUTPUT

initiated off the floor—

purchases

Short

_______-.i.--

Total

;Y
2,622,090
555,020

Dec. 22

purchases

;:f V* V

MEM-

Y BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS
Transactions of specialists in stocks in which registered—
Total

■Manufacturing
Wholesale.

—

447,200

371,560

174,254
332,322
573,780

173,561

302,558
509,768

146,475
328,578

$2,961,200

$2,776,554

520,161
$2,525,140

110

The Commercial and Financial Chronicle

(378)

Thursday, January 18, 1962

if INDICATES

Securities

Now
the

NOTE

Because of the large

—

number of issues

aluminum

awaiting processing by the SEC, it is becoming

»'.

Price—To be supplied by

Business— The

windows

storm

manufacture

and

doors,

sale

and

Business—Manufacture of

minum

products.
Proceeds—For working capital, and
other corporate purposes. Office—20th Street,' and Alle¬

increasingly difficult to predict offering dates
with a high degree of accuracy. 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

Airtechnology Corp. (1/23-27) .y
Nov. 15, 1961
("Reg. A") 60,000 common.

chain

gheny Avenue, Philadelphia, Pa. Underwriter—Francis I.
du Pont & Co., N. Y. Note—This offering has been tem¬
porarily postponed.
'
V
'

offering dates.

•

Air

Inc.

Freight Co.,

vestment

25, 1961 filed 105,000 common. Price—By amend¬
Business—Furnishing of : air freight
services

capital.

ment.

—467 Tenth

•

ABC

("Reg. A")
converter

Business—A

75,000 common.

Price

(1/29-2/2)

$4.

—

produc¬

packaging material,

ing polyethylene and cellophane bags and sheets. Pro¬
For a new plant and equipment and working

ceeds

—

capital.

Office—1368-72

writer—Havener

Ave., Brooklyn. Under¬
Corp., and D. A. Bruce &

Utica

Securities

Co., Inc., N. Y.

Corp.

'VV:,,.

Florida

./,://

;■;£££#';

Alan-Randal

(1/29-2/2)

Co., Inc.

•

Oct. 27, 1961

lnc«

Accuracy

International

Dec. 8, 1961

("Reg. A") 120,000 common. Price—$2.50.
Business—Distributor of pens and other advertising ma¬

ness

terial. Proceeds

("Reg. A") 60,000 common. Price—$5. Busi¬
Research, design and manufacture of precision
potentiometers. Proceeds—For general corporate pur¬
poses. Office—223 Crescent St., Waltham, Mass. Under¬
writer—Mann & Creesy. Salem, Mass.
Aceto

Chemical

(1/29-2/2)
Sept. 27, 1961 filed 88,000 common. Price—$5.
Co.,

Aero

•

(1/29-2/2)

electronic and electrical equipment. Proceeds—
relocating to and equipping a new plant, purchase of
inventory, research and development, advertising, promo¬
tion and merchandising, repayment of debt and other
corporate purposes. Office—369 Shurs Lane, Philadel¬
phia. Underwriter—Roth & Co., Inc., Philadelphia.
for

Acrylic Optics Corp.

28, 1961

subordinated
at.

lenses and

$1.50

Bank, Detroit. Underwriter—A. D.

Gilhard & Co., Inc., N. Y.

■

Price

•

—

For

the

Tenth

ratus.

Proceeds—For

electronic

and

electro-mechanical

appa¬

working capital, new product de¬
equipment and other corporate purposes.

velopment,
Office—2036

Broadway,

Santa

writer—Walter Security Co.,

Monica, Calif.
Under¬
320 Northern Blvd., Great

Neck, N. Y.;

combination

Star

Business—Importing, marketing and distributing ceramic
tiles.

-—

Manning, Ltd., Toronto.

American

Bolt

Screw

storm-screen

acquisition,

windows

debt

and

repayment

Office—5007 Lytle St.,
Underwriter—First Madison Corp., N. Y.

World

debentures

due

1971

and

convertible subordi¬
150,000 common shares.

St., Wilmington, Del. Underwriters—Alessandrini
Hardy & Hardy, New York (managing).

All-State Auto

Rental

Sept. 28, 1961 filed 50,000

dustrial

aircraft

missile

and

Office

—

31-04 Northern

Underwriter—None.

repayment, equipment and other corporate pur¬
poses. Office—Lawson Blvd., Oceanside, L. I., N. Y. Un¬
derwriter—S. D. Fuller & Co., N. Y./
/
^
Book-Stratford Press, Inc. (2/19-23)
27, 1961 filed 430,000 common.? Price—By amend¬

American

•

American

Cardboard

5, 1962 filed 150,000

—Manufacture

and

sale

Allied

Capital Corp.

Price—$3.50. Business

bdxesp' display
Proceeds—For general corporate purposes.
Office—1101 W. Cambria St., Philadelphia. Underwriters
—-Milton D. Blauner & Co., Inc., M. L. Lee & Co., Inc.,
N. Y., and Hallowell, Sulzberger, Jenks, Kirkland & Co.,
Philadelphia. Offering—Expected in March.
/
of

cardboard

boards, etc.

Nov.

29, 1961 filed 60,000 common. Price—$6. Business
—Development and sale of vacant land. Proceeds—Debt
repayment and other corporate purposes. Office—1068
Broad St., Newark, N. J. Underwriter—To be named.
American

Diversified, Inc.
1961 filed 110,000 common. Price—$7.50. Busi¬
ness—A holding company whose three subsidiaries are
Dec. 21,

life insurance

company, a. broker-dealer-underwriter,
and finance company.
Proceeds—For gen¬

and

eral

corporate

loan

purposes.;

Office—930 Grant St., Denver.

Underwriter—Nation-Wide

(a subsidiary),.
■American

April

Underwriters,

y.\

■

Finance

Co.,

Inc.

(1/29-2/2)

shares, of which 100,000
by the company and 100,000 by the
Price—$10.
Business—Manufacture
of
men's and boys' underwear and
pajamas. Proceeds—For
expansion, inventory and working capital. Office—350
offered

Fifth Ave., N. Y.
Inc., N. Y;

Air Master

Underwriter—Richard

Bruce
'

Co.,

' •*'

Corp.

May 26, 1901 filed 200,000 shares of class A common
stock, of which 50,000 shares are to be offered for public
sale by the company and
150,000 outstanding shares by

1961

stock, and 25,000 common stock purchase warrants to
;be offered for public sale in units consisting of one $200
debenture, 30 common shares and 10 warrants. Price—
$500 per unit. Business—The company and its subsidi¬
aries are primarily engaged in the automobile sale fi¬
nance

business. One additional

savings

and

loan; association

subsidiary is
and

two

Maryland

automobile

are

insurance'brokers. Proceeds—For the retirement of de¬
1472

—

Broadway,

YOUR PRIME SOURCE FOR

Proceeds—For in¬

Ave., Bethesda,

Md.

Co., N. Y.

Alloys & Chemicals Corp.
Dec. 27,'1961 filed 225,000 common.

Price—By amend¬
Business—An aluminum smelter and refiner en¬
gaged in the production of aluminum alloys. Proceeds

ment.

Cleveland.

Denver

' <v.0y

filed $500,000 of 6% convertible sub¬
ordinated debentures due 1971; 75,000 shares of common
21,

selling stockholders.

Cleveland.

Office—4365 Bradley Road,
& Miller Inc.,

Underwriter—Joseph, Mellen

BOUGHT

Inc.,

Blvd., Long Island City, N. Y.

small business investment
company.
vestment.
Office—7720 Wisconsin

—For

stockholders.

American Development Corp.

Price—$4. Business—

(1/29-2/2)

Almo Industrial Electronics Inc.
Nov. 27, 1961 filed 155,000 class A

Co., Philadelphia.

SOLD

QUOTED

for Banks, Brokers, Institutions

shares.

Price—By

amendment.
Business—Wholesaler and distributor of
electronic parts manufactured by others.
Proceeds—For
working capital. Office — 412 N. 6th St., Philadelphia.
Underwriters—C .C. Collings &
Co., Inc. and Harrison
*

tane

SIEGEL
0.
'»>

Alson

Mfg. Co. (2/13-16)
Aug. 28, 1901 ("Reg. A") 75,000 common. Price—$4. Pro¬
ceeds—For equipment, repayment of loans and
working

capital. Office—2690 N. E. 191st St.,
Miami, Fla; Under¬
writer—Albion Securities Co., Inc„ N. Y. '
'

for

Packaging Corp.

common.

bentures, and capital funds. Office

Corp.. (2/5-9)

common.

Business—Manufacture of hard-bound books

Oct. 20, 1961 filed 213,427
common, of which 200,000 will
be offered to the public and
13,427 to stockholders on
a
l-for-10 basis.
Price—By amendment. Business—A

writer—International Services Corp., Paterson, N. J.

are

Proceeds—For

fasteners.

debt

Leases motor vehicles. Proceeds—For working capital.

Proceeds—Debt payment, new products, sales pro¬
motion and advertising, new office and warehouse and
working capital. Office—522 W. 29th St., N. Y. Under¬
Ainsbrooke Corp. (3/26-30)
Jan. 8, 1962 filed 200,000
capital

•

Mfg.

Corp, (2/26-3/2)
Dec. 15, 1961 filed 150,000 common. Price — By amend¬
ment. Business—Manufacture of standard and special in¬

Jan.

By amend¬

corporate purposes.

Underwriter—Allen

Agency Tile Industries, Inc. (1/29-2/2)
Sept. 6, 1961 ("Reg. A") 120,000 common. Price—$2.50.

Offering—Imminent.

used

Price

& Co., Inc. and

installation of new moulds, machinery and equip¬
ment, research and general corporate purposes. Office—
250 Goffle Road,
Hawthorne, N. J. Underwriters—Cam¬
bridge Securities, Inc. and Edward Lewis Co., Inc., N. Y.

nents

common.

operate bowling centers in Europe. Proceeds—For ex¬
pansion and general corporate purposes. Office—100 W.

and

Electronics, Inc.
r
22, 1961 ("Reg. A") 80,000 common. Price — $3.
Business—Design and production of electronic compo¬

Vivy

Price—For debentures, at par; for
stock, $5. Business—
Joint venture with Brunswick
Corp. to establish and

purchase

Dec.

All

nated

if Aero Space

••

Wide, Inc.
July 7, 1961 filed $250,000 of 5%

—

Proceeds

Underwriter—Dempsey-Tegeler &

Proceeds—For

Pittsburgh, Pa.

Aero-Dynamics Corp. (1/29-2/2)
Aug. 7, 1961 filed 100,000 common shares. Price—$5.
Business
The importation and distribution of Italian
tiles.

aluminum

and general

equipment ac¬
cessories and supplies. Proceeds — For expansion and
working capital. Office—3294 Steinway St., Astoria, N. Y.

mosaic

writer—E.

doors.

warehouse distributor of automobile

marble and

development and mining. Proceeds—For diamond drill¬
ing, construction, exploration and general corporate ex¬
penses.
Office—80 Richmond St., W., Toronto. Under¬

Building Maintenance Industries
(1/29-2/2)
:
capital shares, of which 30,000
by the company and 111,000
shares by stockholders.
Price—By amendment. Busi¬
ness—Providing of building maintenance services. Pro¬
ceeds—For general corporate purposes. Office—335 Fell
St.,
San- Francisco.
Underwriters—Carl
M.
Loeb,
Rhoades & Co., N. Y. and Sutro & Co., San Francisco.

Albert

and

★ Admiral Automotive Products, Inc.
11, 1962 filed 100,000 common. Price—$4. Business

Co., Inc., N. Y.

//.yyy

Oct. 19, 1961 filed 141,000
shares are to be offered

Allegheny Aluminum Industries, Inc. "'•*
r
100,000 common. Price—$4.25. Busi¬
ness—Manufacture of aluminum and fiberglass
awnings

Jan.

Brothers &

(1/29-2/2)

400,000

American

Dec. 21, 1961 filed

and hardware. Proceeds—For debt

Underwriter—Baruch

filed

££>;■■

ety of building products. Proceeds—For construction of
a
new plant.
Office—4800 Baltimore Ave., Hyattsville,
Md. Underwriter—Whitehall Securities
Corp., Pittsburgh.

repayment, equipment and working capital. Office—
12806 Bradley Ave., Sylmar, Calif. Underwriter—B. B.
George Securities, Ltd., N. Y.

—A

Price—By amend¬

Business—Design, manufacture and installation of elec¬
tronic cable systems

(2/13-16)

common.

Al-Crete Corp. (2/5-9)-*
^
^ >
Sept. 20, 1961 filed 127,000 class A common. Price—$3.
Business—Development and manufacture of a new vari-

$4.

—

1961

Proceeds—For selling stockholders. -Office
—75 Varick St., N. Y.
Underwriter—Bear Stearns &
Co., N. Y.

■

Advance Cable Systems Corp.
Nov. 30, 1961' ("Reg. A") 55,000 common.

Co.

yy1

N. Y

share);

accessories. Proceeds—For expansion. Office

—1928 Firth National

Lumber

Calif.

toiletry preparations, particularly in the hair care field.
Proceeds—For selling stockholders. Office—2525 Armitage Ave., Melrose Park, 111. Underwriter—Shields & Co.,

debentures

per

H. Tegtmeyer & Co., Chicago
Malloy, Inc., St. Petersburg.

common shares. Price—50
cents. Business—The company is engaged in exploration,

•

ment. Business—Manufacture and sale of cosmetics and

(1/29-2/2)

$240,000 of 15-year 6% con¬
(convertible
into
and
40,000 -common
shares. Price—For debentures at par; for stock, $1.25.
Business—Research, design and manufacture of contact
vertible

Francisco,

17, 1961 filed 250,000

if Alberto-Culver Co.
Jan. 12, 1962 filed 68,000

("Reg. A")

common

Pacific

San

Voigt Industries, Inc. (2/1)
Aug. 29, 1961 filed 80,000 common. Price—$4. Business—
The manufacture of metal store
fixtures, show cases and
related items. Proceeds—For repayment of loans, work¬
ing capital, a leasehold improvement and moving expenses. Office—14-20 Dunham PI., Brooklyn, N. Y. Un¬
derwriter—David Barnes & Co., Inc., N. Y. C.

For

Nov.

Alaska

Co.,

Co., Inc., St. Louis.

July 17, 1961 filed 100,000 class A common shares. Price
—By amendment. Business—Manufacture of transform¬
ers

Securities

Bldg., Portland, Ore.

Corp., N. Y

Products Co.

Electronic

July 31,

Oct.

For

—

ment.
Business—A
lumber
company.Proceeds—For
construction and working capital. Office—614 Equitable

capital. Office—40-40 Lawrence St., Flushing, N. Y. Un¬

publishers.

•

Business

•

Underwriters—Wm.

ment.

Nov.

—Purchase and sale of chemicals and by-products. Pro¬
ceeds—For
expansion, sales promotion, and working
derwriter—Karen Securities

Fla.

Coast

Inc.

13, 1961 filed 73,000 common. Price—$7. Business
—Company plans to construct special type homes, and
engage in the general contracting business.
Proceeds—
For general corporate purposes. Office—St. Petersburg,

working capital. Office — 11608
Ventura Blvd., Studio City, Calif. Underwriter—Pacific

—

International,

Amerel Mining Co. Ltd.

July 29, 1961 filed 199,000 common, of which 110,000 are
to be offered by the company and 89,000 by stockhold-v
ers.
Price—By amendment. Business—Manufacture 'of
electronic,- mechanical and components. Proceeds—Re-;
payment of loans, expansion and working capital. Office is
—6900 West Road 84, Fort Lauderdale, Fla; Underwriters
—Stein Bros. & Boyce, Baltimore and Vickers, McPher-i
son &
Warwick, Inc., N. Y.<
-

(2/5-9)

Cellophane Corp.

•

Price—$2.25.

color anodized aluminum

derwriter—Amber, Burstein & Co.; Inc., N. Y.

and B. C.

companies,: and working
Memorial Dr.,Cambridge, Mass.

Office—640

Airframes

Co., N. Y. Offering—In early March.

Sept. 7, 1961

other

and

own

Underwriter—Schirmer, Atherton & Co.,; Boston,

Proceeds—For expansion. Office
Ave., N. Y. Underwriter—Flomenhaft, Seid-

throughout the U. S.
ler &

new

Nov.

Business—Electronic research, development and manu-1:
under U. S. Govt, contract.
Proceeds—For in¬

ABC

ISSUE

fencing. Proceeds—For inventory and plant
Office—44 Passaic Ave., Kearny, N. J. Un¬

Alumatron

facture
Oct.

link

expansion.
:

Price—$5.

REVISED

Aluma-Rail, Inc. (1/29-2/2)
Sept. 28, 1961 ("Reg. A") 100,OUU common.

alu-

other

ITEMS

•

present holders thereof.

amendments

ADDITIONS

SINCE

Broadway, Hew York 6, N. Y.
Dlgby 4-2370

Direct

Wire

•

established 1942

Teletype No.: N.Y. 1-5237

Holton, Henderson & Co., Los Angeles

Volume

Number 6126

195

.The Commercial and, Financial Chronicle

tures precision

Underwriter—Myron .A. Lomasney & Co., N. Y.
SEC has instituted "stop order" proceedings

challenging
•

and

the accuracy
■

■'

k-,_

For

this state¬

adequacy

.. ■

13, 1961 filed 150,000 common, of which 50,000 are
the company and 100,000 by stockhold¬

•

American

Offering—Imminent.

Investment Corp.
filed 590*000 7% non-cumulative convert¬
Business—A management in¬
company which plans to acquire firms in the
Management &

Aronoff &
Nov.

ible preferred. Price—$10.

D. C. Underwriter—None.

Devices, Inc. (2/5-9)
•;.?•
1961 filed 1,500,000 ^class A common shares.
Price
$1.15. Business—The manufacture of electronic
"components. Proceeds—The purchase of equipment and
materials, operational expenses, working capital and rewriter—Naftalin & Co.,.Inc., Minneapolis. 7
7-T-Kif.!
Aug.

/7-7

Modular Manufacturing Corp.

Price—$2.50. Busi¬
ness—Manufacture of a type of component constructed
home.
Proceeds—For debt repayment, equipment, and
working capital. Office—4950 71st Ave., North, Pinellas'
Park, Fla. Underwriter—Equity Securities Co., N. Y.
American

Pioneer Life

Dec.

holders.

Underwriter—Dean Witter

and

purposes.

automatically operate indus¬
processes.
Proceeds—For general
Office—3601 Merrick Rd., Seaford,

Underwriter—S. Schramm & Co., Inc., N. Y.

Automatic Marker Photo Corp.
Dec. 1, 1961 filed 150,000 class A shares, of which 125,000 are to be offered by the company and 25,000 by
stockholders.

Price—By amendment. Business—Sale and

distribution of

photocopy machine and supplies.

Pro¬

ceeds—For equipment,
Office—153 W. 36th

expansion, and working capitaL
St., N. Y. Underwriter—None.

common,

company

debt repayment, expansion and working capital. Office
Fifth Ave., N. Y.
Underwriter—Drexel & Co.,

—404

Corp.

(2/13-16)

Philadelphia. Offering—Expected in February.

of which 110,000 are
120,000 by the stock¬
Business—Manufacture

Price—By amendment.

Babs, Inc.
27, 1961 filed 150,000 common. Price—$4. Business
—Sale of dairy products, through "Dairy Drive-ins."
Proceeds—For debt repayment and working capital. Of¬

Office—321 W. 44th St., N. Y.
Bear, Stearns & Co., N. Y.
•

Underwriter—

fice—32550 Pulaski Dr.,

Hayward, Calif. Underwriter—
Co., San Francisco. Offering—
Expected in late February.
v

Pacific

Astro-Science

Sept.

f*ark,

are

Co., San Franqisco.

Nov.

Proceeds—For plant improve¬

ment. ;■

27,

1961

Corp. (2/26-3/2)
filed 232,500 common, of which

be offered

holders.

150,000

Securities

Coast

Bacharach Industrial

by the company and 82,500 by stock¬

Instrument Co.

(2/26-3/2)

amendment. Business—Design and
manufacture of ground systems and equipment for the

bentures, due 1971.

Price—At par.
and also the oil and gas business.

Nov.

support and servicing of electronic systems* aircraft and

American

Realty & Petroleum Corp. (1/29-2/2)
Sept. 28, 1961 filed $2,000,000 of #%% conv. suborcU de¬

oSc.

150,000

of custom made castings.

construction of water mains, sewers and ;sCorm
drains. Proceeds—For property improvements and work¬
Calif.

N. Y.

to be offered by the company and

ing capital. Office—390 S.lAtlantic Blvd., Monterey

machinery

corporate

Nov. 21, 1961 filed 230,000 common,

Jan! 15, 1962 filed 300,000 common. Price — By amend¬
ment. Business—Manufacture of reinforced concrete%)ipe
used

filed

Inc.

and devices to control and

trial

7:7;:'

Arwood

Co/7777777M7•'&

ir American Pipe. & Construction

1961

Controls,

1961 filed 50*000 common. Price—$4. Business
—Design, manufacture and installation of electrical,
pneumatic, hydraulic and mechanical systems, controls

stockholder.

N. Y.

-§■ For

expansion,and legal reserves. Office—307 S. Orange^Ave.,
"Orlando, Fla. Underwriters—Goodbody & Co., N.
and
A. C. Allyn & Co., Chicago.
; 7^ 7
v

Automatic

Materials Corp.

to be offered by the

ing

Insurance Co.

Proceeds

20,

and

Office—1

purposes.

of which 100,000
B. V. D. Co., Inc.
and 50,000 by a sell- 7
Dec. 28, 1961 filed 600,000 common, of which 400,000 are
Price—By amendment. Business—Im¬
to be offered by the company and 200,000 by stock¬
porting and sale of arts and crafts materials. Proceeds—
holders. Price—By amendment. Business—Manufacture
For general corporate purposes. Office—321 Park Ave.,
of men's underwear, ties and accessories. Proceeds—For
Baltimore.
Underwriter—Federman, Stonehill & Co.,

are

20, 1961 filed 400,000 common.'Price—$5.50. Busi-;

ness—Writes life insurance in Florida.

& Crafts

corporate

materials

research

Dec. 28,

common.

Arts

equipment,

St., N. Y. Underwriter—Arthur J. Rosenwasser
Co., 95 Broad St, N. Y.

Artlin

Nov. 27, 1961 filed 200,000 common.

Dec.

—

other

Price—$10.

self-instructional

W. 58th

gift packaging and distribution of terry cloth towels and
cotton pillow cases. Proceeds—For inventory, repayment
of loans and working capital.
Office—1030 Pearl St.,
Long Branch, N. J. Underwriter—Mortimer B. Burnside & Co; Inc.; N. Y. V

•

—

American

Proceeds—For

development and

Inc.

54,000

Teaching: Systems, Inc.
("Reg. A") 30,000 common.

1961

devices.

and

Price—By. amend¬
Design and manufacture of women's

filed

18,

Business—Manufacture

Mills, Inc. (1/29-2/2)
7/7'
; 777,:.77:7;"
Sept. 28, 1961 filed 135,000 class A common shares. Price
—$5.
Business—The purchase, conversion, decoration,

American-Micro

Richling,

1961

Business

ment.

Warner'Bldg., Washington,
<-:77//'7,'7^7;7-v77 7;;VV'N.: 77

—

Automated

Sept.

Junior sizes. Proceeds—For selling stockholders. Office
—1400 B'way, N. Y. Underwriter—Carreau & Co., N. Y.

insurance and finance fields. Proceeds—For general cor¬

porate purposes.Office

27,

(1 /24)

bonds due Jan. 15, 1982.
Price—By amendment. Proceeds—To refund outstand¬
ing 3%% bonds due Feb. 1,1962. Underwriter—Morgan
Stanley & Co., N. Y.

(3/12-16)

Industries, Inc.

(Commonwealth of)

Jan. 4, 1962 filed $30,000,000 of

hydraulic system devices and
parts for the aircraft and missile industries, etc. Pro¬
ceeds—For debt repayment and the purchase of additional equipment.
Office — 32 Industrial Ave., Little
Ferry, N. J. Underwriter—Gianis & Co., Inc., N. Y." 7

Dec. 20, .1961
vestment

Australia

N. Y. Note—This registration

Business—Manufacture of

Arnav

Raymond Moore & Co., Los Angeles.

29, 1961 filed $600,000 of 6% convertible subordi¬
nated debentures
and 36,000 common
stock purchase
warrants to be offered for sale in units of one $1,000
debenture and 60 warrants.
Price — By amendment.

;
,

Main

Underwriters—Sterling, Grace &

Dec.

Price—By amendment. Business—The operation of
three savings and loan associations, an equipment, auto¬
mobile and truck leasing system and a general contract¬
ing business.
Proceeds—For leasing program, to in¬
crease holdings in a subsidiary and for working capital.
Office—3955 Montgomery Rd„ Norwood, Ohio.
Under-,
writers—Shearson, Hammill & Co.,- N. Y. and West-

ers.

heimer & Co.* Cincinnati.

indefinitely postponed.

was

to be offered by

expansion. Office—648

sales

and

Co. and D. H. Blair & Co.,

American Financial Corp.

Nov.

equipment

Westbury,

St.,

-v

111

Proceeds—For debt repayment and a new product.1 Of¬
fice—4873 W. Armitage Ave., Chicago.
Underwriter—

hydraulic, pneumatic and fuel valves and

control mechanisms for aircraft missiles, etc. Proceeds—

Note—The

ment.

(379)

ment. Business—Development and

Price—By

15; 1961

filed 60,000 common. Price—By amend¬
manufacture of chem¬

Business—ReaLfiState
ical, electrical and mechanical instruments, precision
missiles.
Proceeds—Repay debt and increase working
Proceeds—For repay¬
products and special purpose tools. Proceeds—For sell¬
7 capital. Office—9449 W. Jefferson Blvd., Culver City,
debt, sales and advertising, property improve¬
ing stockholders. Office—200 N. Braddock Ave., Pitts¬
; Calif.
Underwriter—W. C. Langley & Co., N. Y.
ments and possible acquisitions. Office—16 W. 61st St.,
burgh. Underwriter—Arthurs, Lestrange & Co., Pitts• Astronetics,
Inc.
V;
'7;y 7 •'•V-7:y
N. Y. Underwriter—Troster, Singer & Co., N. Y.
7'
.
Nov. 21, 1961 ("Reg. A") 110,000 common. Price — $2. 7. burgh.
Bal Harbour Diagnostic Service, Inc.
:
American Sports Plan, Inc.. .
.
Business
Engaged in the purchasing, adaptation and
June 29, 1961 filed 200,000 common shares.
Oct. 18, 1961 filed 2,000,000 common.
Price—$6.
Price—$1. Busi¬
distribution of specialized electronic component parts.
.Business—The operation of bowling centers. Proceeds
ness—Company will operate a medical examination
Proceeds—For inventory, working capital and expansion
—For expansionr; Office—473 Winter Street, Waltham,
center. Proceeds—For a hotel acquisition and working
of sales force. Address—Central and Hillside Aves., At¬
.Mass., .Underwriter—None.. 7/7./<\ •//;,• ::/•■;/777 v" 7;K
capital. Office—10101 Collins Ave., Bal Harbour, Fla.
lantic Highlands, N. J. Underwriter—None. Offering—
Underwriter—J. R. Holt & Co., Denver.
Anaconda Real Estate Investment Trust
Expected in early February.
y,
ment

—

Oct.

3, 1961 filed 163,636 shares of beneficial interests. 7.$ Atlantic
Price—$10. Business-—Real/estate investing. Proceeds—
'For

purchase of real estate/in Florida.

Office—1776 E.

Anchor Alloys, Inc. ■/ 77/777'/7

Oct.

Bank "Adanim"

:7in;7' 7ny7r7^7'r77/

Corp.

77'

amendment.

27,

1961

("Reg.

A">

50,000

common.

Price—$6.
as

components for the semi-conductor industry.-'Proceeds
—For general corporate purposes.
Office—968 Meeker

Curtis, N. Y. C. Offering—Expected sometime in Feb.

Barish

Oct.

30, 1961 filed 150,000 common. Price—$10. Business
—Operation of motels. Proceeds — For expansion and
—

—

A mortgage

lending

company.

general corporate purposes. Address—108
Achad Haam St., Tel-Aviv, Israel. Underwriter—Adanim
American Israel Investment Co., Inc.
•

777 Atlanta Motor Lodges, Inc. 7rV/;y

/Ave., Brooklyn, N. Y. Underwriters—Charles Plohn & 7 working capital. Office—120 North Ave., N. W., Atlanta,
Co., B. W. Pizzini & Co., Inc. and Atlas Securities Corp.,
Ga. Underwriter
The Robinson-Humphrey Co., Inc.,
New York. Offering—Expected sometime in March.
'
Atlanta, Ga.

Business

preference
Price—By

Proceeds—For
-

Business—Purifying, alloying, and fabricating metals

Mortgages & Loan Ltd.

Dec. 29, 1961 filed $556,000 of 6% cumulative
dividend participating dollar-linked shares.

Aug. 29, 1963 filed 500,000 common! Price—$12.50. Business—A small business investment company. Proceeds—
For general corporate purposes. Office—744 Broad St..
Newark. N. J. Underwriter—Paine, Webber. Jackson &

*•;

/Bunrise.Blvd./ Fort Lauderdale, Fla, Underwriterr-^None.
V

Capital

•.

v",v7

Associates, Inc.

Sept. 1, 1961 ("Reg. A") 50,000 common.
Price—$4.
Business—Aeronautical research and development. Pro-

/ ceeds—For working capital.
N. Y. Underwriter—Gianis &

E. 38th

Office—224
Co, N.

St,

Barren River Petroleum Corp.

Anchor.

Industries Corp.
• Atlas Electronics Inc.
. ;'::777■:/
(2/5-9)
Nov. 24, 1961 filed 38,500 common. Price—$8. Business 7 Sept. 28, 1961 filed 185.000 common. Price—$2.10. Busi_—Design and fabrication of precision sheet metal prod¬
ness—Distribution of electronic components, parts and
ucts.
Proceeds—For machinery research, sales " promo¬
equipment. Proceeds—To repay debt, purchase inven¬

23, 1961 ("Reg. A") 200,000 class B common and
100,000 class A common to be offered in units consisting
of one class A and two class B shares. Price—$3, per

tion, and working capital. Office—26 Essex St., Hacken"sack, N. J. Underwriter—Amber, Burstein & Co.,1 Inc.,

oil

Oct.

7 "New York.i :';

7.7.;7 77 77 \

/7# Anoroc Products,

Inc.

77/77v -777/77777•
(1/24)'777

Blvd., Perth Amboy, N. J. Underwriters—Hay, Fales &
Co. and McLaughlin, Kaufman & Co., N. Y.
-

77 :

Oct. 6,
1961 ("Reg. A") 100,000 common.
Price—$3.
Business—Fabrication, manufacture and assembly of
,glass .enclosures for bathtubs. Proceeds—For debt re¬
payment and general corporate purposes. Office—181-14
Jamaica Ave., Jamaica, N..Y. Underwriters—G. Everett

Nov. 28,

1961 ("Reg. A") 30,000 common. Price — $10.
Operation of motor hotels. Proceeds — For
working capital. Office—500 Hotel Circle, San Diego.
Underwriter—J. A. Hogle & Co., Salt Lake City.

Business
*

Parks

Co., Inc. and Parker Co., N. Y.7

Business—Production, refining and marketing of
gas. Proceeds—For debt repayment and other
corporate purposes. Office—8 E. Charleston Blvd., Las
Vegas, Nev. Underwriter—John A. Oja & Associates,
Las Vegas, Nev.
unit.

tory, and increase working capital. Office—774 Pfeiffer

7-,.y7 7.777.

• Barry
(R. G.) Corp. (2/5-9)
Sept. 21, 1961 filed 100,000 common. Price—$5. Business
—Manufacture of slippers, robes, cushions, pillows, autoseat covers, and other specialty items. Proceeds—To re¬

—

Atmospheric Controls, Inc.

(1/29-2/2) ;

increase inventory and for other corporate
Office—78 E. Chestnut St, Columbus, Ohio.
Underwriter—Arnold Malkan & Co, N. Y.

Anscott Chemical

purposes.

Industries, lite; >'
; v
' V-" :
Price—$2. Business—
Development, sale and distribution of specialty chemi-;
cals and detergents. Proceeds—For sales promotion, hew.
;; ington, D. C.
- ,!; -yv'' •XyV.''.
''■'■'-7 7/
.product development and' general corporate purposes.
Audio Products Associates, Inc. •
Office—Industrial West, Allwood-Clifton, N. J.' UnderDec. 29, 1961 filed 135,000 class A shares. Price — $4,
writers—Glass & Ross. Inc. and Globus, Inc., N. YV
Business—Creation, testing, and refinement of facilities
'
Arizona Biochemical Co.
for the production of low-cost polyvinyl chloride flex¬
Nov. 14, 1961 filed 200,000 common.
ible plastic phonograph records. Proceeds—For equip¬
Price—$4.
Busi¬
ment and working capital. Office—11 E. 74th St., N. Y.
ness—Company plans to construct and operate: refuse
Underwriter
International Services Corp., Paterson,
disposal plants. Proceeds—For general corporate purN. J.
7 "
poses.
Office—1001 N. Central Ave., Phoenix. Under7 ;' 77/ '
Jan. 5, 1962 filed 95,000 common.

debt,

pay

("Reg. A") 40,000 common. Price—$3.50
Proceeds —- For repayment of loans, acquisition and
working capital: Office—715 N. Fayette St., Alexandria,
Va. Underwriter—First Investment Planning Co., WashAug. 22, 1961

and

Basic Inc.

(1/29-2/2)

Dec. 27, 1961 filed 70,000 cumulative convertible prefer¬
ence shares
(par $50). Price—By amendment. Business
—The

production of basic granular and brick refractory
Proceeds—For plant expansion. Office—845

materials.

Hanna

Bldg,
Corp, N. Y.

Cleveland. Underwriter

Bay State Electronics Corp.
Oct. 27,

—

ment.

—

First Boston

(1/29-2/2)

1961 filed 160,000 common. Price—By amend¬
Business—Development of products and tech¬

...

writer—Globus, Inc., N. Y. Offering—In late February.
ir Arizona-New Mexico Development Corp.

Jan.

—

1962 ("Reg. A") 300,000 common.
Business —;-Development of underground
3,

Price

caverns

Oct.

Inc. (1/29-2/2)
12, 1961 filed 110,000 common. Price—$3. Business

—Design, development, and manufacture of high pres¬

$1.

sure

aircraft

and

missile

valves.

Proceeds—For

engi-

—Suite No. 9—4344 E. Indian School Rd, Phoenix. Underwriter-^-Preferred Securities, Inc., Phoenix. 7.. • 7 v. y N. Y. Underwriter—Pearson, Murphy & Co., Inc., N. Y.

Arkwin

Industries, Inc.'

Nov,,28. 1961 filed
to

offered

80,000 Common* of which 25,000 are
by the company and 55,000 by a selling

stockholder. Price—$5. Business—Designs-and manufac-

New York.

neering, product development, inventories, advertising,
expansion and working capital. Office—17 W. 60th St.,

tourist attraction. Proceeds—For debt repayment. Office

niques for use in the fields of oceanography, meteor¬
ology, seismology and ionospheric phenomena. Proceeds
—For product development and working capital. Office
—43 Leon St, Boston. Underwriter—S. D. Fuller & Co.,

Ausco,

Austin Continental Industries, Inc. X2/13-16)
Nov. 14,:1961 filed 103,000 common. Price—$7. Business
'—Manufacture of specifications of aircraft, guided missiles and electronic components, and fastening devices.

Beacon
>

Investing Corp.
300,000 shares of capital stock. Price
Business—A mutual fund. Proceeds
investment Office—22 The Fenway, Boston. Un¬

Dec. 20, 1961 filed
—Net asset value.
—For

derwriter—None.
.

Continued

page

112

Continued

The Commercial and Financial Chronicle

(380)

from

111

page

•

Bolar

Pharmaceutical Co.,

Inc. (1/22-26)
("Reg. A") 50,000 class A common. Price—

Oct. 18, 1961
Bechtold

Engineering Co.

$2..

offered

by the

ture

and 40,000 by a selling
amendment. Business—Manufac¬

company

specially designed thermosetting plastic fabri¬
machinery. Proceeds—For debt repayment and

cating

New

Office—631 N. E. 45th St., Fort
Lauderdale, Fla. Underwriter—Roman & Johnson, Fort
Lauderdale, Fla.
Bell

Electronic Corp.

manufactured

debt

Proceeds—For

Oct.

Office—

June

Brentwood
Dec.

Proceeds—For debt repayment and working capital. Of¬
S. San Pedro St., Los Angeles.
Underwriter

•

Bernz

(Otto)

San

are

stockholders.
facture

sion.

Co.,

sprinklers and hose accessories.
and

payment

general

cylinders,

steel

Berry Door Corp. (2/13-16)
18, 1961 ("Reg. A") 40,000 common.

Office—2400

purposes.

Mich.

working

Lincoln

Underwriter—Raymond

Rd.,

Moore

Birmingham,
Co.,
Los

Angeles.
Besco

Oct.

27,

Enterprises, Inc.
1961 filed 150,000 capital

payment and expansion.
Office—1328 Washington St.,
Oakland, Calif.
Underwriters—Kleiner,
Bell
&
Co.,
Beverly Hills, Calif, and Rittmaster, Voisin & Co., N. Y.
•

Best Plastics

Corp. (2/6-8)
filed 125,000 common, of which 100,000
will be sold by the company and
25,000 by stockholders.
Price—$3. Business—Manufacture of plastic novelties
and party favors. Proceeds—New
plant and equipment
working capital. Office—945 39th St., Brooklyn,
N. Y. Underwriter—S. B. Cantor &
Co., N. Y.
Big Drum, Inc.

29,

1961

filed
Business —

ment.

100,000

equipment to producers of
—For debt repayment and
Essex Ave.,

Price—By amend¬
packaging materials and

common.

Furnishes

frozen

confections.

Proceeds

working capital. Office—1183

Columbus,

ben &

O. Underwriters—Merrill, TurCo., Inc., Cleveland and The Ohio Co., Columbus*

Bilnor
Jan. 8,

Corp.

1962 filed

amendment

wading

100,000 class A capital shares. Price—
($11 max.). Business—Manufacture of

pools.

Proceeds—For the selling stockholders.
Morgan Ave., Brooklyn, N. Y. Underwriter
C. Allyn & Co., N. Y.
^
/•

Office—300
—A.
•

Biackman-Uhler

Chemical Co.
(1/22-26)
("Reg. A") 5,600 common. Price
$8,875.
Business—Manufacture of napthols, pigments, tints and
intermediates. Proceeds—For selling
stockholders. Ad¬
dress—Spartanburg, S. C Underwriter—Dargan & Co.,
Dec. 5,

1961

—

Spartanburg, S. C.
Bloch

Brothers Tobacco Co.

July 3, 1961 ("Reg. A") 4,000 common shares (par $12.50).
Price—By amendment. Proceeds—For the selling stock¬
holders.

Office—4000 Water St., Wheeling, W. Va.

Un¬

derwriter—Fulton, Reid & Co., Inc., Cleveland. Offering
—Expected sometime in February.
•

Block

(H.

R.), Inc. (2/5-9)
("Reg. A") 75,000 common, of which 25,000 shares are to be offered
by the company and 50,000
shares by selling stockholders.
Price—$4. Business—
Preparation of Federal and State income tax returns.
Nov.

16,

1961

Proceeds—For working
Kansas

City, Mo.
Kansas City.
Blue

capital.

Office—3937

Main

St.,
Underwriter—George K. Baum & Co.,

Haven Pools

(1/29-2/2)
Nov. 1, 1961 ("Reg. A") 75,000
capital shares, of which
40,000 are to be offered by the
company and 35,000 by
stockholders. Price—$4.
Business—Design, construction
^nd installation of swimming pools and equipment. Pro¬
ceeds—For debt repayment and general corporate
pur¬
poses.
Office—11933 Vose St., North Hollywood, Calif.

Underwriter—Pacific

cisco.

Coast

—

San

Vincente

Securities

Co.,

San

Fran¬
,,

1961 filed 280,000

Price—By amend¬

common.

payment and working capital. Office—324 E.
Bixby
Long Beach, Calif. Underwriter—To be named.

re¬

Rd.,

Cameo-Parkway Records, Inc.

Business—Recording and

12001

Sept. 28,

gen¬

corporate purposes. Office—1405 Locust St., Phila¬
delphia. Underwriter—Godfrey, Hamilton, Taylor &
Co.,
Inc., N. Y. Offering—Expected sometime in March.

Campbell-Lurie

Plastics,

Inc.

Oct. 27, 1961 filed 574,250
common, of which 500,000 are
be offered by the
company and 74,250 by a stock¬
holder. Price—$2.50.
to

Business—Company is engaged in

Blvd., Los Angeles.

the

Proceeds—For

plastic

business

debt

converter

repayment

■

; raw

materials.

and

working capital.
Highway Ave., Jacksonville, Fla. Under¬
writer—Florida Growth Securities, Inc., Jacksonville.
Office—5440

are

Campus Casuals of California
Oct.

11,

1961

(1/29-2/2)

filed

140,000 common. Price—By amend¬
Business—Manufactures ladies' apparel. Proceeds

ment.

—For

selling stockholders. Office—719 S. Los Angeles
St., Los Angeles, Calif. Underwriter—William R. Staats
& Co., Los Angeles.

(1/29-2/2)
Nov. 27, 1961 filed
368,700 common, of which 150,000
are to
be offered by the
company and 218,700 by the
stockholders. Price—By amendment. Business—Devel¬
opment, importation and distribution of sporting fire¬

Capital

Management Corp.

Dec. 27 .1961

ness—An

("Reg. A") 60,000

investment

Price—$5. Busi¬

common.

purposes.

which will hold mort¬
gages, land contracts, etc. Proceeds—For investment. Of¬
fice—44 E. Indian School
Rd., Scottsdale, Ariz. Under¬

Utah.

writer—Pacific

arms.

Proceeds—For construction and general
corporate
Office — First Security Bank

Bldg., Ogden,
Underwriter—Harriman Ripley & Co., Inc., N. Y.
★ Brunswig Drug Co.
Jan. 15, 1962 filed
85,000 common. Price
By amend¬
ment. Business—A wholesale
drug distributor. Proceeds
—For selling stockholders.
Address—Vernon, Calif. Un¬
derwriter—William R. Staats & Co., Los
Angeles.
Building Ventures, Inc. (1/29-2/2)
Oct 27, 1961
("Reg. A") 100,000 common. Price—$3.
Business—Real estate, Proceeds—For
working capital.
Office—309 Main St.,
Islip, N. Y. Underwriter—Albion
Securities Co. Inc., N. Y.
>./•
r:
:

1961

and

Dec.

Office

capital,

eral

filed

offered

working

ment. Business—General real estate. Proceeds—Debt

•

Capital

June

•

Burnham

Oct.

Morrill

Co.

for

warrants, 20 cents. Business—The manufacture of
X-ray film processing machines. Proceeds—For repay¬

Ave.,

(2/13-16)

•

tion

Nov. 7, 1961 filed 92,320
holders on
a
l-for-10

common

Office—2147

Nov.

VJ'.

are

to be offered to stock¬

Business

Cable

Carriers, Inc.

use

ceeds—For

working

based

Office—Kirk

Business—Manufacturer
and conduits

45,583

steel

enclose electrical wires.

146,667

distribu¬

Proceeds—Gen¬

women.

Industries, Inc.

(2/26-3/2)

1961

filed 185,000 common, of which
135,000
to be offered by the
company and 50,000 by a stock¬

(2/13-16)

Price.—$10. Business

Bank

S. Dickson &

Bldg., Charlotte, N. C. Underwriter—R.
Co., Charlotte.
:
:

Casavan Industries, Inc.
Aug. 21, 1961 filed 350,000 capital shares. Price
$7.
Business—Production of plastics, marble and ceramics
—

•

: y

Price—$6*
tubing, cables

Proceeds—For

for
For

the

packaging and building industries. Proceeds—
expansion, leasehold improvements, repayment of

loans
'

Boulevard,

.common..

flexible

and

company. Proceeds—For
general corporate purposes. Office—1200 North Carolina

Price

Greenville, S. C. Underwriter—Capital Securities
Corp.,
Greenville, S. C.vy.,. >
,
Cadillac Conduit
Corp.
Nov. 30, 1961
("Reg. A")

28,

National

company-owned patents. Pro¬

capital.

shoes for

Carohnas Capital Corp.

(1/22-26)

made

Nov. 22, 1961 filed 500,000 common.
—A small business investment

$1.15. Business—The company which
began operations
in 1954, is engaged in the
research and
development of
special material handling systems for
industrial and

commercial

which

common,

holder. Business—Conversion of raw
plastics to basic
shapes such as rods, tubes and sheets. Proceeds—For a
new
plant, repayment of debt, and working capital.
Office—22 N. 26th St.,
Kenilworth, N. J. Underwriter—
Godfrey, Hamilton, Taylor & Co., Inc., N. Y.

Growth Funding
Corp.
Sept. 20, 1961 filed 100,000 common.
Price—$4. Business
—Making of loans to small business
concerns, purchase
of machinery for
lease, and the providing of manage¬
ment counseling. Proceeds—For
working capital. Office
—527 Lexington
Ave., N. Y. Underwriter—Morton Klein
& Co., Inc., N. Y.

March 23, 1961 filed
196,109 shares of capital stock.

149,794

purposes] Office — 253 S.' W. 8th St.,
Miami, Fla. Underwriter—Robert L. Ferman &
Co., Inc.,
Miami.. Offering—Imminent. ;

basis.
Price—By amendment.'
Business—Operation
of
warehouses,
manufacturing
buildings, piers and railroad facilities. Proceeds-^-For
working capital. Office—48 43rd
St., Brooklyn, N. Y.
Underwriter—None.

Corp.

filed

of custom

Carmer

(1/29-2/2)

Shoe

1961

eral corporate

Co., N. Y.
Co.

18,

Price—$6. Business—Design, manufacture

Turnpike, New Hyde Park, N. Y. Underwriter&

Caribbean

Oct.

Jamaica.

will be sold by the
company and 3,127 by a stockholder.

Sept. 22, 1961 filed 100,000 common.
Price—$6. Business
—Importation and distribution of
copying machines and
supplies. Proceeds—Repayment of debt,
inventory, sales

Terminal

'/v 't

Shares,
ordinary share. Price—By

—For selling stockholders.
Office—Kingston,
Underwriter—Paribas Corp., N. Y.

Underwriter—Rodetsky,

Bush

Fernando

—

amendment. Business—Manufacture of cement. Proceeds

Walker & Co., Inc., N. Y.
Offering—In early March.
Burton Mount Corp.
(2/5-9)

Reiner, Linburn

Note—This

Caribbean Cement Co., Ltd.
18, 1961 filed 272,000 American Depositary
each share representing one

—For repayment of debt and
general corporate purposes.
Office—111 W. 19th St., N. Y.

purposes.

Office—4206 Wheeler

withdrawn.

Oct.

corporate

Underwirter—None.

Boulevard, Burbank, Calif. Under¬
Rutner, Jackson & Gray, Inc., Los Angeles.
Offering—Expected in early February.

other

San

writer

70,000 common, of which 40,000 are
to be offered
by the company and 30,000 by stockhold¬
ers.
Price—By amendment. Business—Designs, manufac¬
tures, imports and distributes artificial flowers. Proceeds

and

was

Va.

Card Key Systems, Inc.
July 28, 1961 ("Reg. A") 60,000 common shares
(no par).
Price —$5.
Proceeds — For research and
development,
advertising equipment and working capital. Office—923

St., Portland, Me. Underwrit¬

promotion

Alexandria,

registration

—

Jericho

filed

ment of loans and working capital

filed 187,250 common.
Price—By amend¬
ment. Business
Manufacture of canned
foods, frozen
dinners and baked beans. Proceeds—For
selling stock¬
holders. Office—45 Water
Burros Corp.
Oct. 30, 1961 filed

Underwriters, Inc., Scottsdale, Ariz.

Research

1961

common

25, 1961

er-—Hornblower & Weeks, N. Y.

company

Industries, Inc.
165,000 common shares and 75,000
stock purchase warrants. Price—For
stock, $2;

28,

—

shares.

Price—By
amendment.
Business—A holding company whose sub¬
sidiaries operate jewelry and photography
departments
in discount department stores.
Proceeds—For debt re¬

Sept. 26,

(2/13-16)

and

distributing of phonograph records. Proceeds—For

Browning Arms Co.

Price—$7.50.

1961

Corp.

repayment

Dec. 29, 1961 filed 200,000 class A
common, of which 40,r
000 are to be offered
by company and 160,000 by a stock¬
holder. Price—By amendment.

St., Beverly, N. J. Underwriters—Roth & Co., Inc.,
Philadelphia and Amos Treat & Co., Inc., N. Y.

distribution of doors.
and general corporate

capital

shares. Price—$5.
acquisition of a chain

debt

Salle
St., / Chicago. /. Underwriter—
Cruttenden, Podesta & Co., Chicago.:
: I'yVS'V;."
Cambridge Fund of California, Inc. (1/29-2/2) '

common

rel

Underwriter—Rey¬

Dec.

Business—Manufacture, sale and

re¬

Office—740

purposes.

Driving Park Ave., Rochester, N. Y.
nolds & Co., Inc., N. Y.

Proceeds—For

garden

Proceeds—For debt

corporate

Office—10

to be offered by the
company, and 25,000 by the stock¬
holders. Price—$4. Business—Design and manufacture of
electronic equipment and communication
systems. Pro¬
ceeds—For general corporate purposes. Office—201 Lau¬

by the company and 50,000 by
Price—By amendment. Business—Manu¬
propane-filled

1982

each consisting-'.'of $1,000 of debentures
Price—$1,032.50 per unit. Business—Mar-;
keting of lubricating and fuel oils and asphalt products.

•

Inc.
$1,550,000 of 6'%%'s. f. subord. deben-*
and 100,750 common shares to be of¬

units,

Bridge Electronics Co.f Inc. (2/26-3/2)
Nov. 29, 1961 filed 225.000 common, of which
200,000

Francisco,

offered

small

Underwriter—Hayden, Stone & Co., N. Y.

Inc.
(1/22-26)
Oct. 16, 1961 filed 150,UOO class A snares, of which 100,000

13,

Financial

Industries,

Proceeds—For

St., N. Y. Underwriter—S. B. Can¬

and 65 shares.

150,000 common, of which 30,000
the company and 120,000 by the
stockholders. Price—By amendment. Business—A hold¬
ing company for a savings and loan association. Proceeds
—For acquisition of two insurance
agencies and expan¬

fice—1621

Co.,

200,000

(2/5-9)

filed

Co., N. Y.

fered

Underwriter—

Underwriter—P. J. Gruber & Co., Inc., N. Y.

—

Securities

filed

1961

Calumet

bowling centers principally in Italy, and for expansion
working capital. Office—80 Wall St., New York.

are

Coast

1961

27,

tures-due

and

California, Inc. (2/13-16)
1961
("Reg. A") 85,00u common.
Price—$3
Manufacture of handbags and related items.

—Pacific

30,

Vernon,

Jan. 8, 1962 filed

(1/29-2/2)

Proceeds—For the construction

Mt.

—

27,

tor

8,500 for the

Caldwell Publishing Corp.

Office—339 W.-51st

and supplies powders, syrups, flavorings, etc.,
industry. Proceeds—For repayment of debt and
working capital. Office—679 N. Orleans St., Chicago, 111.
Underwriter
Cruttenden, Podesta & Co., Chicago.
Bowling Internazionale, Ltd.
.'/''X;

Price—$2.62
Business—Design,
manufacture
and
installation
of
photographic equipment. Proceeds—For general corpo¬
rate purposes. Office—9821 Foster Ave., Brooklyn, N. Y.
Underwriter—Amber. Burstein & Co., Inc., N. Y.

Business

and

company

PL,

tional works. Proceeds—For general
corporate purposes.

food

it Bernalen, Inc. ^
Jan. 12, 1962 ("Reg. A") 70,000 common.

Berne

for the

Office—19'Warren

137,500 capital shares.
Price—$5.
Business—Publishing of text books and general educa¬

processes

Price—By amend¬

books.
Proceeds—For
working capital.
Broadway, N. Y. Underwriter—None.

ence

■

•

Oct., 30, 1961 filed 80,000 common, of which 40,000 are
to be offered by the company and 40,000
by a stock¬
holder. Price—By amendment.
Business—Manufactures,

ment. Business—Publication of scientific texts and refer¬
2465

sold

Bowey's, Inc.

re¬

Benjamin
15,

Arlington Ave., Brooklyn 8, N..Y.
T. M. Kirsch Co., Inc., N. Y.
<

chum, Jones & Templeton, Los Angeles and Walston &
Co., N. Y.
;
Nov.

will

—365

payment and other corporate purposes. Office—306 E.
Aldondra
Blvd.,
Gardenia, Calif. Underwriters—Mit-

(W. A.), Inc.
1961 filed 50,000 common.

;•

capital;

•Oct.

underwriter.
Price—$2. Business—Fabrication, assem¬
bly and sale of tools powered by compressed air. Pro¬
ceeds—For debt repayment and working capital. Office

convertible subordinated

others.

Thursday-, January 18, 1962

Underwriter-—J. B. Coburn Associates, Inc., N. Y.
Offering—Expected in late March.
"

Pneumatics, Inc. (1/22-26)
13, 1961 ("Reg. A") 93,500 class A shares of which

Nov.

debentures due 1977; also 75,000 common shares. Price—
For debentures:
At
par.
For stock: By amendment.
Business—A distributor of electronic parts and equip¬
ment

York.

85,000

Dec. 20, 1961 filed $1,250,000 of

Boston

other corporate purposes.

;

Business—Compounds,

manufactures and packages
private label drugs and vitamins. Proceeds—For an ac¬
quisition and equipment.
Office—54 McKibben St.;
Brooklyn, N. Y. Underwriter—Natale, Miller & Co., Inc.,

Nov. 30, 1961 filed 135,000 common, of which 95,000 are
stockholder. Price—By

working

and

other

corporate

purposes.

Office—250

land

Vree-

Ave., Paterson, N. J. Underwriter—Foundation
curities, Inc., N. Y.

Se¬

Cavalier Radio
•

Electronics Corp.; (1/22-26)

Oct. 27; 1961 ("Reg. A")60,000 common.
ness

—

Manufacture

specialized

Price—$5. Busi¬

raidos

and phonographs. Proceeds—New products, equipment and work¬
ing capital, Office—66-02 Austin St., Forest
Hills, N. Y.
Underwriter—General Securities Co./
Inc., N. Y^

-Volume"195

•

Number

6126-.

The Commercial and Financial Chronicle

.-.

Ceco

Steel Products Corp.
l3,''1961'filed ;IH,0U0 comrtion. Price—By amend¬
ment. -Business—Manufacture of
products for the con¬

;and

Nov.

working

capital;

Address—Santurce,

Underwriter—To be named.

Puerto

;

Rico.

buisness in Maryland. Proceeds—For general cor¬
purposes. Office—307 N. Eutaw St., Baltimore.
Underwriter—Stein Bros. & Boyce, Baltimore.

porate

Chestnut Hill

industry, r Proceeds—For selling stockholders.
Office—5601 W., 26th St.1; Chicago. Underwriter—Horn*

113

nance

Industries, Inc.
29, 1961 filed 300,000 class A common, of which
*225,000 are to be offered by the company and 75,000 by
blower & .Weeks,' N. Y. Note V— This
registration was ; stockholders. Price—$7.50.
Business—Design and manu¬
withdrawn.
,* "
V'.'ifc*'/, y/.:'
7
7,\'i•
facture of women's, misses' and junior
sportswear, co¬
• Central
Acceptance Corp. of Delaware
^
ordinates, and dresses. Proceeds—For debt repayment,
'■-■•.V-V (2/5-9)-v-:^:r;',;v-M
equipment and working capital. Office—2025 McKinley
; •.>./
\
Nov., 29, 1961 filed 150,000 class A common. Price—$5.
St., Hollywood, Fla. Underwriter — Clayton Securities
Business—A sales finance
company.'Proceeds—For ex¬
Corp., Boston, Mass. ..V v,,.XX it\: X.X;;X7;/ - X.v.y„:
pansion. Office—526 North Ave*. East,
1
Church Builders, Inc.
Westfield, N. j.
^
Underwriter—Armstrong & Co., Inc., N. Y. X /.X//'/A/;/ Feb. 6, 1961 filed 50,000 shares of common
stock, series
-Central American Mining &
2. Price—$5.50 per share. Business—A closed-end divefOil, Inc. 3;VX
Oct.1 30, 1961 filed 494,250 common.
sified management investment company. Proceeds—For
Price—$5. Business
—Exploration for oil, gas and other minerals: Proceeds
"investment. Office—501 Bailey Ave., Fort Worth, Tex.
—For general corporate purposes. Office—Edificio Banco
Distributor—Associates Management, Inc.,1 Fort Worth.
Atlantida, Tegucigalpa, D. C., Honduras. Underwriter—
Offering—Expected in late February.
.y"X''. X:
None.
/X/yy' X':7y XrtXX
7-:> XX7XX
AX'* XXX •X
Cinema Studios Inc.
struction

(381)

Nov.

Ciute

(Francis H.)

& Son,

July 3, 1961 filed 1,000,000
Business

The

—

Inc.
shares. Price—$1.50.
industrial

common

manufacture

farm-and

equipment. Proceeds—For materials and inventory, re¬
search and development and
working capital. Office—
1303 Elm St., Rocky Ford, Colo. Underwriter —
Stone,
Altman & Co., Inc., Denver. Offering—In late
February.
Coastal

Acceptance Corp;
>
/
11, 1961 filed 80,000 class A common, of which 68,000 are to be offered by the
company and 12,000 by
stockholders. Price—$12.50. Business—A small loan fi¬

Dec.

•

nance

company. Proceeds—For debt repayment. Office—
Lowell St., Manchester, N. H. Underwriter—Eastern
Investment Corp., Manchester, N. H.

•

Century Brick Corp. of America

(1/29-2/2)

Nov. 9, 1961 ("Reg. A") 75,000 common.
Price—$4. Busi¬
ness—Company has developed a process for producing
simulated brick facing for buildings. Proceeds—For
gen¬

corporate purposes. Office—4506 W. 12th St., Erie,
Pa. Underwriter—Sandkuhl &
Co., Inc., N. Y.,,
•

Certified

Industries, Inc.

;XX;

(2/19-23)

X;Xy

debentures

due

1976

with

attached

warrants

purchase 15,000 class A shares to be offered in units (of
one $250
.debenture^and a Warrant to purchase 5 shares)
for

unit for each

one

Eisenberg Co., N. Y.

held. Price—

dinary life,

working capital. Office—344 Duffy Ave., Hicksville,

Y.,«Underwriter—Singer,' Bean & Mackie, Inc., N. Y.

•

chines.

Proceeds—For working capital. Office—560 W.
St., Chicago. Underwriter—Straus, Blosser & Mc¬
Dowell, Chicago (mgr.).
X'X
:
Lake

.4 \

■

Columbus Plastic Products, Inc.
Nov. 22, 1961 filed 163,600 common,

investment

income

January

(.Otto)

(Monday)

;

•;

—Class A

Co., Inc.)

Bolar

(Dargan

150,000

C<&^$49,706<

Pharmaceutical -Co.;

Inc..—

.(Natale, Miller. & Co.,

Inc.)

X. Common

$100,000

;

CpaP|tal!/Securities? Coryu)1 $225,525

Bayliss.i Inc.)

X'Xa

■

Grant

—-A

(Sehwabtxcher

XX.

January 24
iG;

y...

»(Lee

■*

National

Bruce

fir

Co.;> Tnc.)

$300,000

Investment. Corp. i

' ;

Higginson

Corp.)

(Prank

Karasik

Co.,

$15,000,000'

Inc.)

Personal

Library,

uo.,

Co.)

•

Southern

<te

California

.>•/(J.* C.

Southern

127,500

$500,000

3.V'

Equipment Corp

-(Joseph

10.000

Cofp.)

W. -Hurley

■
•

"•

i'-CHirsch

■

Tripoli

Co.,

•<

;

Co.,

Inc. )

(Hess,

Vic

Westland

and

(Bear,

January 23

Airtechnology
•

Inc.)

Corp.)

(Paul

Co.)

Securities,

4',

Eisenberg

Co.)

f.,

Co.)

DeLuxe

Inc.)

$150,000

Inc.

and

Herbert Young

Common

$400,000

....Common

Florida

.Common
j

'/ 1 " ' 'J :/\;
—..Debentures

Common
Lewis

Co.,

(Pacific

Capital

& Warwick,

A
:

(Amber,

Co.)

213,427

Amerel Mining

(Carl M.

Co.,

«•

Inc.)

Ltd.)

Securities

Co.,

Inc.)

$500,000

Common
$224,001

Common

Corp
$620,000

Hardy

■v

-' -

Common
7, ".

underwriting); $330,000 7

Common

Treat

Inc.)

Co.,

$1,540,000;

„

Common

underwriting)"' $600,000.

(No

(Brand,

Inc.)

Seigel,

Common

$283,088

Westmore, Inc

Grumet &

•

Common

(Patterson Securities & Investment Co.,

House

Inc.)

^7■'

Corp

Co.)

77,

;,:•

.7 :
.7
(L. F. Rothschild & Co.) 120,000 shares
Hoosier Soil Service, Inc
,.l\

Hydra-Loc,
Hygiene
Inpak

Inc.

Common

Inc.

and

Kesselman & Co., Inc.)

$120,000

—Common

Co.)

$1,000,000

and

Common

Joseph

Nadler &

Co.)

$382,500

Distributors, Inc

(General Securities

$200,000-

Co.)

—

Inc

Co.

Interworld Film

Inc
Blauner

Systems,

(Steams

„

.Common

Kaufman

Industries
(Milton

$225,000

Common

—

(McLaughlinj

Building Maintenance Industries-.__Cap.

Loeb, Rhoades & Co.

and-Sutro &

Co.,

Inc.

and

Common

Kasdan

Co.,

King Louie Bowling Corp

Co.) T41,000 shares

(George

Co;r Inc._;_

Units

(Myron

Lomasney & Co.)'"$1,250,000

*•

Baum

Inc.)

Common
&

Co.)

$975,000

Common

Kollmorgen Corp.

$300,000

Common

$425,000

American Finance

Common

$460,000

High Temperature Materials, Inc

Manning,

Inc.)

(Hardy &.Co.) $306,000

(Amos

$300,000

Co. Ltd
A.

Co.,

Paper Co.

■>

Common

Burstein

—■—___-Units

Burstein & Co., Inc.)

(No

Common

Co.)

Corp

(Allen

100,000

$600,000

Aluma-Rail, Inc.

/.•;
'

Common
Securities

$300,000

Redpath)

Parks

Inc

Coast

Common

Inc.)

Harleysville Life Insurance Co

Inc.)

I//;;.7
Common

Co.,

Vending - Co., Inc.—>_^L.___i—__i____Common

••

Gould

Inc.) $50,000
Edward

$325,000

stockholders—underwritten

Folz

7777

$240,000

and Vickers, McPherson

Allied

7^7/-..;,
*

——Common

and

Everett

:
Palm-Aire

Florida
—Common

Inc.

Inc.)

Common

Palm-Aire

V-.vv77

•

$400,000

Inc.)

Co.,

Cards, Inc

(Offering

Co.,

Parker

(Amber,

Common
Arrin

Inc.___.-__-

(Netherlands

Flair

Common
$147,500

(G.

125,000

200,000

Kemper & Co.)

(Theodore

Auchincloss,

__C.ass A
&-Stieglitz)

Fidelity America Financial Corp

./ / 7

Fastline Inc
■

100,000

$300,000

Bowling Corp._

Homes,

? ,•

;

—

Halle

and

Co,

(Alessandrini

...Common

140.000

District Photo, Inc..

..—Common

—

(Doolittle & Co. )

Corp.)

■...$500,000

(Stein Bros. & Boyce

$300,000

Laboratories, Inc

Inc.)

Gilhard

Alan-Randal Co.,

Common
&

Investors

Aero-Dynamics Corp.

American

Corp.
Atlierton

Corp.——

(E.

Coiorfilm

I." R.

199,000

92,320

Dale Systems, Inc

;

Agency Tile Industries, Inc
,:U.H/v-7.Xyv// .(International Services Corn.i $3nnnoo
Airtronics International Corp. of Florida..Common

$10,840,000

200,000

Class A

and

(A. D. Gilhard & Co.,

Common

Co.)

Consolidated

•

Common

Corp

Acrylic Optics

$1,250,000

280,000

Co.,

Corp.

(McDonnell

110;000

Products Co.——:

Co.,

$300,000

Inc.)

underwriting)

named >

Staats

(Roth

;:v.

$300,000

Inc.)

oRoth- & Co./ Inc.)

Optics

7
•

(Tuesday)

(Schirmer,

Cineque

v •

(Cambridge

Class

Higginsop

'/> vr.

$■£ Acrylic-

: •

(John

Co.)

Co., Inc.—

;

Corp.__^

Stearns

Co.,

(Sandkuhl & Co., Inc.)

Co.,

(Monday)

Arthurs,

(Key), Inc
v(Lee

'•••'

.Debentures

368,700 shares

——X—-XiCommon

Supply Co., Inc

Conductron

(Karen Securities Corp.) $440,000

Common

Ross, Lyon

Capital
,

Windsor

$300,000

Tanny Enterprises, Inc.
Inc.

....

Common

& Remington,
Inc. and
Lestrange & Co.) $600,000

(Globus,

v/"

7>y*/7 'c;y

——.Bonds

(Friday) ■/

Chemical

'v.

Corp.—Com.

Grant

■

^United Aero Products Corp.
,

Inc.

Aero Electronic

:Comihon

150,000

Greenbaum & Co.)

(A.

Inc.-.;—_'
(D.

•

Common
Inc.)

Century Brick Corp,_________—____——Common

$45,000,000

Securities

(Netherlands Securities Co.,

Aceto

•

V'
Common

$300,000

Struthers Scientific. & International

■

Co.,

January 26

units

$600,000

Co.)

received)

Coast

January 29
y

;

137,500

(Thursday)

7Co.,

Industries, lnc.___i__^_Common

'.(Capital .Securities

Steel Plant

;VY;

/X /Concors

.—-Common

Knickerbocker Toy Co., Inc.^
vy

$150,000

Co.)

Securities

,(To

Common

stockholders—no

(William R.

•-

V Campus Casuals of California.

•

Edison' Co.

$607,500

Authority.

Hamilton,' Taylor

Kirsch

:.:j0

Inc.)

Beane)

Co.,- Inc. )

-.'/y

Jorn's Greeting Card Co., Inc

(T.

Common

Co.,

Wheat

Growth
;

./• ;;
"7:/■,

-.—Common
&

(Offering

-—Common

Milo Components, Inc.

^<,First\Bostoi\ Corpc.T and Dean ,Witter, & Do. ), 1,500.000. shares
Southern Frontier Finance Co.__^i.yi/_;___lr^cUnits

•

Jones &. Templeton)

$2,000,000

Inc.__—

^Keene

Valley

(Godfrey,

Debentures

Inc.)

•

(Pacific
>

Capital

-$1,675,800*

Systems,

i' "

_ _ -—-

80.000

Cambridge Fund of California, Inc

.Bonds

/ v

"rw.

Common

Co.)

(Harriman Ripley & Co.,

$300,000

Co.): $30,000,000

Co.) ,.$300,000

—

Podesta

^.^Capital

^4.-

'Building Ventures, Inc.

Cromwell Business Machines, Inc.____—.Common
-

—Capital;

Co..

(Fialkov

January 25

Corp. of New York——_iUnits

Sonic

Co.)

Common

160,000

Coyle's Voting Machine Co

(Offering to stockholders—underwritten by Sutro Bros. & Co.)

•>;

Parker

of)_.

Stanley' &

Williston

(Bids

(Gianis

Equities

(J.

yTennessee

Raritan Plastics Corp.^_^L_^i/___L*_i_'_i._CommAn

Realty

and

Communications; Inc.-

$405,000

lne

iSutro Brothers

•

Inc.

Co.)

Browning Arms Co.———
X7V;

—.—Common

„——

Co.,

$330,000

Corp.—I--——

Securities

Coast

(Cruttenden,

70,000 shares

Corp.)

Poo1s_l—

(Pacific

Inc.)

Preference

/ Bowey's, Inc
V

Deer Park Baking Co.*.

Common

Property Leasing Co.__

Popular

n*-.

$200,000

•/. Paramount Foam Industries

;

Corn.,

(Dempsey-'iegeler

(Morgan

•

$399,000

Olympia Mines, lne.__
Gaumont-

Blue Haven

•

$300,000

Tel-Tronics "Corp.f/____'___.
-

Parks

'$750,000

/i_•!________Shares

.*(Richard

Boston

Fuller

/Bush Terminal Co.—

(D. E. Liederman & Co., Inc. and Mitchum,

National Real Estate Investment Trust-—Common

_______Common
Inc.)

■

(Guardian

$10,000,000

a.m.)

(Commonwealth
1

"Gorrigan

NfatioriaI-.CapitaL Acceptance Cofp./__^_^..Common

$5,565,000

(Wednesday)

Products, Inc.

Everett

3'- Australia

iX'XXXyXX-!

;:^(R/ Barucn & Co".,' inc.) S>3,u00,,000
Marshall- Electronics Co._/L/_:_-i_i____-.Common
'

11:30

(First

(S.

Co.,

Bay State Electronics

114

page

.Common
&

_--_

(Albion

CpntinentaL;iteaI JEstate.;to

/Trust

;

(Bids

Anoroc

$575,000

Co.); ?00,000

(W; T.): Co.—XX xxX_„L_ _-Debentures
'CUehman. Brothers)" $35,000,000"
:
" "X -'i

*;' /

Preat

Inc,

—

Murphy

(Pearson,

Basic

Ausco, Inc.

..Equip, Trust Ctfs.

Co.,

AxxX/X7y,/X-7/.A
Continued

Common

Heller &

Columbus, O. Underwriter—W. E.

Co., Cincinnati,
-

-..Common
X/yX.'v-

Hutton &

Texa's"Power..& Light Co.—-----——-Debentures

(general Securities Co., Inc.) ,$300,000

Gomputron Corp. .iX
XX X .(Btjmdijeia '&

(Rothenberg,

••

Cayaliet /Radio &r /Electronics jCorpi^^.JCoiqmon;
'•

by Glore, Forgan
Inc.) $2,550,000 - '

Co.,

100,000

purchase machinery, expand facil¬
increase working capital. Office—

repay debt, and
W. Mound St..

1625

Shamrock Oil & Gas Corp
—.Debentures
■lyy/
(First Boston Corp.) $25,000,000
»

Carriers,^tnc.^-v--4.Capital

X5" 77

ities,

Debentures

Byllesby

Seaboard Air Line RR./.
f.r Y...\ •
(Bids 12 noon EST)
Servonuclear Corp.

Cable

■

Boston Pneumatics,'.'A..'
'
(T. .M,-'KirsCh Co.,Iilc.)$187,000
< XA
•

Proceeds—To

wares.

-(White, Weld & Co., Inc. and J. A. Hogle & Co.) 350,091 shares

Blackrftan-Uhler.ChemicaLX^;_Xjw—iu ^/Common
O**-

Inc

stockholders—underwritten

and

San Diego Imperial Corp

Co., Inc.—

(Reynolds &

Hosts,

Co.

which

and 63,600 by stock¬

company

Price—By amendment. Business—Design and
manufacture of injection and blow molded plastic house¬

(Offering

offered by the

(2/5-9)

holders.

producing securi-

{Interstate

are

life and group credit life insurance.

group

Proceeds—For

NEW ISSUE CALENDAR
Bernz'

offered

•

ties; Office—33 Maiden Lane, N. Y. Underwriter—A. G.
Becker & Co., N. Y. (mgr.).
/Chemical Coatings Corp.
.
;X
Dec. 27, 1961 filed 75,000 common.
Price—$5 Business—
Citv Finance Co., Inc.
Manufacture of paints particularly for use in tropical
.'Dec. 21, 1961 filed 110,000 common. Price—By amendand
semi-tropical climates. Proceeds—for equipment & ment.
Business—Engaged in the consumer loan and fi¬
%

Cole Vending Industries, Inc.
(1/30)
Aug. 28, 1961 filed 115,000 common. Price—$5. Business
—The manufacture, sale and servicing of vending ma¬

Citizens Life Ins. Co. of New York (2/5-9)
Sept. 8, 1961 filed 147,000 common, of which 100,000 will
be sold by the company and 47,000 by a stockholder.
Price—By amendment. Business—The writing of or-

per unit. Business—Production of concrete for con¬
struction purposes. Proceeds—For expansion,
equipment

and

are

writer—Meade & Co., N. Y.

$250

1961/filed

105,000 "common,, of which 50,000
by the company and 55,000
stockholders. Price—$10. Business—Manufac¬
ture of women's apparel. Proceeds—For
general corpo¬
rate purposes.
Office—113 Fourth Ave., N. Y.
Under¬
shares

("Reg. A") 75,000 capital shares. Price—$1.

shares by

subscription by holders, of class A and class B shares

at the rate

19,

(2/5-9)

Business—Production of motion pictures. Proceeds—For
working capital. Office—309 Ainsley Bldg., Miami, Fla.
Underwriter—Dalen Investments & Funds. Inc., Miami,

Proceeds—For equipment, sales promotion and advertis¬
ing. Office—424 E. :89th St., N. Y. Underwriter—Paul

Sept. 28, 1961 filed $750,000 of 6% convertible subordi¬
nated

14; 1961

(Jane), Inc.

•
Cineque Coiorfilm Laboratories, Inc. (1/23-24)
Aug. 29, 1961 ("Reg. A") 120,000 common. Price—$2.50.
Business—The production of slides and color film strips.

eral

(

Dec.

Co.'by

Oct.

•

(Putnam & Co.>

100,000 shares

•

Electrosolids
(J.

Empire

Corp.

Williston

Fund,

..-(A.

fit

Honig's-Parkway, Inc.
y'V"".'

Beane)

100,000

(Troster,

Inc.—_^:V—_Capital

Becker

Co.,

Inc.)

___l__

1,250.000

Artlin

Mills,

•

—Common

-(Richafd Bruce & Co., Inc.) $300,000

.American Realty & Petroleum Corp.—.Debentures

-^....Preference

Singer

Co.)

$2,006,000

Inc.—1

(Mortimer

Burnside

Co.,

Inc.)

(First

Investment

Planning

$675,000

.—Common
Co.)

$140,000

Krylon,

Common

Inc.

(Eastman Dillon,

Common

Atmospheric Controls, Inc
;

Union Securities

& Co.)

250,000

Capital

Laboratory Procedures, Inc.
(Pacific Coast Securities Co.) $250,000
'

Continued

page

114

■

114

Continued from page 113

•

jV r/

«...

Mortgage Co.
Jan. 2, 1962 filed 2,000,000 common. Price—At net asset
value. Business—A mutual fund. Proceds—For invest¬
Office—New Ulm, Minn.

ment.

Underwriter—State Bond

Co. of New Ulm, Minn.

and Mortgage
•

(1/30-31)
1961 filed 430,556 shares. Price—$10. Business

Commonwealth Realty

Nov. 22,

Trust

trust. Proceeds—For general

real estate investment

—A

Road, Philadel¬

corporate purposes. Office—8201 Fenton
■>«,

phia. Underwriters—Woodcock, Moyer, Fricke & French,
Inc., and Gerstley, Sunstein & Co., Philadelphia.
•

Community Charge Plan

Sept. 22,1961 filed $3,600,000 of 6% subordinated deben¬
tures due
1976
(with attached warrants to purchase

and 216,000 common, to be of¬
upits consisting of a $100 debenture (and a
warrant to purchase two shares) and six common shares.?
Price—By amendment. Business—The purchase at a
discount from merchant-members, their accounts receiv¬
72,000 common shares)
in

fered

'X:'

who hold credit cards issued
by these members. Proceeds—To repay debt and increase
working capital. Office—10* Banta Place, Hackensack, •
N. J. Underwriter—Troster, Singer & Co., N. Y. Offer¬
able arising from customers

ing—Imminent.

Computer Components, Inc.

6, 1961 filed 120,000 common, of which 90,000 are
to be offered by the company and 30,000 by stockhold¬
ers.
Price—$3. Business — Manufacture of miniature
coils for relays used in computers, aircraft, missiles and

Dec.

guidance systems. Proceeds—For general corporate pur¬
Office—88-06 Van Wyck Expressway, Jamaica,
N. Y. Underwriter—Jay W. Kaufmann & Co., N. Y.

poses.

4,-■

Concord

Products,

Nov.

warrants

xT,

be named.

V'7 'I. 77/- :.W-

■

Inc.

Securities Co., Inc.,
' • 7/
Continental
'
■* -J"
Nov. 21, 1961 filed 200,000 common. Price—$2.50. Busi¬
ness—Development and manufacture of television pic¬
ture .tubes.
Proceeds—For debt repayment; and other
corporate purposes. Off ice—2724 Leonis Blvd., Los Angeles. Underwriter — Amos Treat & .Con ine;, N. Y,
.7;,\7'7.
Voisin

1961 filed 120,000 common (with attached 3to purchase an additional 60,000 shares
at $2 per share) to be offered in units of one share and
one-half warrant. Price—$2 per unit. Business—Manu¬
facture of cosmetics, toiletries, cleaning chemicals,-jewelery, etc. Proceeds — For general corporate purposes.
Office—525-535 E. 137th St., New York City.
Under¬
writer—To

Y, Under¬
Ex¬

72,000 common. Price—By amendment.
Business—Operation of discount department stores. *roceeds—For expansion and working capital. Office
4701
N
Harlem
Ave., Chicago.-. Underwriters—Rittmaster,

28,

year

Proceed^For

Jan. 8, 1962 filed

working capital. Office—

Inc.

18, 1962

and government

pected in late March.:
• Consumers Mart of America,

Ave., South, Minneapolis. Underwriter—
Brandtjen & Bayliss, Inc., St. Paul, Minn.
..
•

•

Thursday, January

selling stockholders. Office—650 11thAve.,,N.
writer—Shearson, Hammill & Co., N, Y. Offering

James

9330

personnel to industry

•

Sept. 15, 1961 filed 500,000 common.; Price—$1.15. Busi¬
ness—Research, development, design and production of
electronic automation devices. Proceeds—For equipment,
research and development and

and Midland

Co., N. Y.
Mo. ■ .• ■

Kansas. City,

\\\>-r /'•
Industrial Electronics Corp.
/

w■,

.♦

Offering—Expected sometime in February. 7
?. 7 *x.1.
Supply Co., Inc. (1 /29-2/2)
V;7
>
:V• '■"•rV"'-M'
Oct. 19, 1961 filed 100,000 class A common.; Price—$4. 7 O Continental Investment Corp.
Business—Sale of food service and kitchen equipment. 7 Dec. 29, 1961 filed 2,000,000 common. Price—By amend¬
ment ($3 max.). Business—A mortgage and real estate
Proceeds
For equipment, debt repayment and other
investment company. Proceeds —r For working capital.
corporate purposes. Office—110 "A" St., Wilmington, Del.
Underwriter—Roth & Co., Inc., Philadelphia, y i Office—Scottsdale Savings Bldg.; Scottsdale, Ariz. Un¬
Concors

—

Conductron
Dec. 20,

(1/29-2/2)

Corp.

derwriter—To be named.

•

Mich.

Underwriters

McDonnell

—

77X7 7XX

7-. 'v

Continental Leasing Corp.

125,000 class A ^common. Price—By
amendment. Business—Research and development in the
general field of electromagnetic radiation for the U. S.
Government. Proceeds—For debt repayment and other
corporate purposes. Office—343 S. Main St., Ann Arbor,
1961 filed

:-X;

("Reg. A") 75,000 common.
Price — $4.
purchase of new automobiles, advertising
and promotion, arid-working capital. Officer--4 Gateway*
Center, Pittsburgh; Pa. Underwriter —. Cambridge Secu¬
rities, Inc., N,7 Y.' - ...»< 7;• - *' •«• •. .V ' > 7* / • '-■
VJune 19, 1961
Proceeds—For

Co., and Halle &

Stieglitz, N.

v; r

Dynamics,Inc. (3/5-9) ■«"
.
i - «
/ Consolidated Bowling Corp. (1/29-2/2) 7;7X77'>7 'X Oct. 24, '1961 filed 500,000 Jcommon. Price—$1.15. Bustness—Development and production of electronic testing
Sept. 28, 1961 filed 200,000 common/ Price—By amend*
rand training devices. Proceeds —■ For expansion and
ment. Business—Operation of bowling centers. Proceeds
working capital. Office—9340 James Ave., S., Minneapo¬
—For expansion and working capital. Office—880 Mil¬
^.Control

Inc.

Computer Concepts

•

29, 1961 filed 100,000 class A common. Price — $5.
Business—Development and sale of advanced program¬
Dec.

(1/22-26)

>«X

ton, D. C. Underwriter—Doft & Co., N. Y.
Computron Corp.

Stock Fund of State Bond and

Common

Financial Chronicle

The Commercial and

(382)

ming systems, for solution of business problems by

the

digital computers. Proceeds — For general cor¬
porate purposes. Office—1012 14th St., N. W., Washing¬
use

itary Rd., Niagara Falls, N. Y/
&

Co., Buffalo, N. Y.

„

■

•( F.

■

-Dec.

•

Consultants and Designers, Inc. X
'-\j 7
Dec. 29, 1961 filed 180,000 common; Price—By arneiidment ($12 max.). Business—Furnishes technically skilled

•

J.),. Inc.
4.7"
r'
.-i ■
.<**..
29, 1961,filed .125,000 common. Price—$3.75. Business—Manufacture-;of high .vacuum..systems, and elec*Cooke

■

Underwriter-"^Bayliss,?-Inc^xSt. Paul.

lis.

Underwriter—Doolittle

•

„

Continued

115

page

■

vv:

xf/x
Continued

from

U-Tell

113

page

Corp

Lido

Inc.)

DuBoff,

Bernard

Corp.

Sefdler & Co.,

underwriting)

(Terrio

Markite

Common

(C.

(Stearns

(Francis
r

Metalfab,

duPont

Co.

Mobile

Co.

and

Splaine

Frederic,

(Mortimer

Rentals

Burnside

Co.)

(Warner,

Oceanic

Co.) 215,000

& Co.,

Instruments,

Inc.)

Sunstein

7"'/:"7
;•

Co.)

Rothchild

Airlines

(Raymond

7-/ '7

$575,000

;'•

•

Moore

(Suplee,

Co.,

Lewis

Albert Voigt

Co.,

Inc.

Coast Securities

(M.

& Co.,

Inc.)

ABC

•

Co.;

Inc.)

(Thursday)•;
Barnes

Inc.)

—Common

Co.,

Stevens

$320,000

Corp. )> $375,000

Co.)

(Amber, Burstein & Co., Inc.)
(Amos

Treat

$800,000

Seg Electronics Co., Inc.
&

$500,000

215,000 shares

Centers, Inc
165,000

;

Industries, Inc.
&

210,000

Texas Tennessee Industries,

(A.

(S. D. Fuller &

Co.)

(Rubin,

Rennert

Common

Inc.—
175,000

Co.,

Inc.)

Colby

(Arthurs, Lestrange & Co.)

Co.)

-fe

;

'-'•w.- - '.vX*' '
—Capital

$650,000 7.-7

Cantor

Co.)

(Rodetsky, Walker &,CoM Inc.

Co.)

Cosnat Record

Co.)

(Smith,

;

Co.)

Eastern

Properties

(Woodcock,

Westates

Moyer,

Corp.)

Improvement
Fricke

French,

(Kuhn,

Wiatt

Ltd.)

Corp.—.Com.
$300,000

Common
>.7

..Common

Polonitza, Inc.)

IWjriter

$840,000

...

;

Loeb

Christensen,

Inc.)

$229,500

Development Corp.—.——..-.Units

(Morris

Common
Co.

..Common

Land

Cohon

Co.)

$3,000,000

Telegraph Co......

(Norman)

Co. ,and

Lehman

Brothers)

Debentures
$50,000,000

Common

Co.——

(Schwabacher & Co.;

J. Barth & Co. and Bear/Stearns &
135,000 shares

Co.)

World

Corp.—Common
$2,500,000

-r

Toy

House.
(Laren

Co.)

150,000 Shares

Inc.—7

(Ehrlich, Irwin & Co., Inc.)
'

.Common

Inc.————>

Wulpa Parking Systems,

$243,000

Inc.)

Automation

Securities Co.,. Inc.)

i' 7V- ;■ ;7.'X'7

Corp. of Delaware......

Western Union
.

Common
Securities

■

^ ^

;7;

Securities

Distributors, Inc

(Peters,
,

$325,000

Voldale, Inc.,

Common

Nomura

30,000,000 shares

(Garat &

$1,050,000

150,000

__ ...

(Mayo & Co., Inc.) $500,000-7.

Venus Drug

end

Co.

Forge

Common

Co., Inc.)

Engineering &
(Valley

■7..,■•>...

$750,000

163,600

Barney

Val-U-Homes

^.Capital

147.000

Co.)

Harvey

Turner

$600,000

Toy, Inc
(Hancock

(Scott;

■X."7;"'

Developers Small Business Investment Corp._Com.
Dynamic

7.72V'

Cov, rDc.2.77i747i-7i7_277-X_Commoii

Tech-Torch

7
&

7.7V 7;.

Stokely-Van Camp7lncXx72.2.L/_._xaX_Debeiitures
77: 'V; .'/-'(R^yh°ids^& can ine.) $15,000,000
^7.7.7

Distributing Corp.__.x__—Common
Treat

■fH
.

and.Boenning & Co.) $900,000

7; Tokyo Shibura Electric Co., Ltd. 77.:V7
7
("Toshiba")

Products, Inc.—.....Common-

Hutton

$300,000

.Common
&

French, ^Inc-.)

(Paine, Webber, Jackson & Curtis and S. D; Lunt. & Co.)

X X

$687,500

Inc.)

Co.,

Moyer,, Fripke; &,

(Woodcock,

7/X 7-7'7X''>/>7'7
;: v;7 :■ $8,000,000
;• 777' xv.,. 'x-xx
;7 Stokely-Van Camp,. Inc... x_ x
Common
7.,
7;X
v(Reynolds &, Co., Inc.;) 100,000 shares; ;"7[ 7 '. ' '

$300,000
•
...Common

(Lieberbaum & Co. and Morris Cohon & Co.) $3,000,000.,

Common
70,000

;

777-7 777777 7 7 ,(Lieberbaum; & Co.) $325,000
Shenk Industries, Inc..
—_____..Common

7 f

X- ."X'X

(Jane), Inc

$1,000,000

Tyson Metal Products, Inc

(BalOgh & Co.,, Inc.)

Kaufman & Co.) $388,500

Corp.__x.

Becker

(Amos

Common
<fe

Columbus Plastic

Lumber Co.

and E." J.

Planning- Corp.

' " '

Common

Linburn

Publishing

(W.

Common

Co.)

-:'7

Co.-, Inc.)."$450,000

(Scott. Harvey &

Paper Corp^1.7——.7^_i_^XCommon X -:77

.77^7 77.7-';.> 77. (Armstrong A:. Cp»,- Inc.) $600,000- ' :7
77 S. M. S. Instruments, In.c.x.,..—....—..-Common

Common

(Meade

Common

Capital ;7 ' xX
■ 7 7'

..Common -v

x—

Citizens Life Insurance Co. of New York

—

(Allen

Inc

(Armstrong

(McLaughlin, Kaufman & Co.) $270,000

Tidewater

7.;

166,667 shares;

Lanes, Inc.x

$1,725,000

Acceptance Corp. of Delaware

Common

(Boenning & Co. and Rodetsky, Walker & Co., Inc.)

Spandex Corp.

Inc.)

Co.,

Corp.—

(S.

Common

(Shields & Co.)

(Reiner.

Caldwell
Central

Shatterproof Glass Corp

*'+■

7
\:X7;.,X'7-

—Common * ^

Devices, Inc

(George K. Baum
Mount Corp..

.Common
underwriting)

(H. R.), Inc

/•.;

Burton

100,000

Inc.)

G.)

(Arnold Malkan & Co.) $500,000

..Common

O'Connor,

Corp.(No

(R.

Block

Common
Co.)

Common

Inc.'* $300,000

—.—Lx.Common

$200,000

(Hay, Fales & Co. and McLaughlin,

Barry
r.

$230,000

Sea-Wide Electronics, Inc

:7Rubber & Fibre Chemical Corp.—l._x.x7Common

$381,0QQ ".

Corp.)

underwriting)

Atlas - Electronics

$300,000

..—^..Common

Inc.)

& Co..

Marron

(Professional «& • Executive

;
& Co.,

^———-Common,,

Securities

(Naftalin

Common
&

Corp

Ahalt

American Micro

Plohn

(No

Common

$200,000

•

■■■7vX

■

D. A. Bruce

a.Au

All-State Auto Rental Corp..x.

k
Malkan

Electronics, Inc

Standard

(Edward Lewis & Co., Incv)/;$825,000X "". X

'7.:

(Whitehall

.Common

—

Investment

(Charles

$718,750

77 Sheratoh Corp. of America.._x—x_x.—Debentures

(Monday)

Al-Crete Corp

$300,000

Inc

(Arnold

Recco, Inc./—_x_x_.—
Class A
v^/77.,77./, (Midland Securities Co., Inc.) 75;000 shares 3 : ;;v
77; Roto Cylinders^ Irjc,
...Common

.....Common x./'
120,000 shares 'x;7;'v

Cellophane Corp

——Common

Posey Associates, Ltd.)

.'.,7,

W.,X;7;;
■

[

...

Mosley

(Havener Securities Corp.

160,000 shares

Corp.—

Interonics, Inc

Silo Discount

•

;

7—*xxCommon 7

77..X.7 '''777'7;7:'Roberts & Co.) ,$200,000 .
Policy-Mhtic Affiliates,/ Inc....—

;, 7

Industries, Ina

February5

Common
Common

Industries,

(Searight.

Nigeria ;ChemicaL,Gorp;^xi74(x7-7477x77iXCom]rteOn->7f,;.' 'X,

Co.)

Pacific

and

(Wednesday)

v(David

$300,000

Inc.)

Corp.
Discount

Servotron

Co., Inc.)

Irwin &

$1,387,500

Inc.)

(D. B.

•

^.i_Common

Co.,

Yeatman,

February

Common

(Blair

$450,000 7"'X

Inc.x.—_—.—.Common

;7>

shares r>/--i\X.v

133,333

Co.)

100,000 shares

$140,000

Inc.

Oil

.-...L^-Common

,7 (Ross, Lyon & Co., Inc^ v Glass & Ross, 'Inc. and
5- " i
" ^Globus; Inc.) .95,000.' shares ,
7 7 7 >•"

> > Orlando

—

January 31

Sav-Mor

.Common

(Edward

Rodale

(Ehrlich,

National Bowling

7' 7r

$4,305,560

$300,000

Capital

Inc.
Inc.)

McDowell)

Dougherty Brothers Co.

Common

(L.

Common

(Dempsey-Tegeler &

•

Sxifx

Common

»•

$452,008". ;

—•

Drug Co.t Inc..

Corp.

Futura

$400,000

Originala, Inc.

Pride

$990,000

Inc.)

$700,000

7: Marks Polarized Corp.—
7

■

Eon

120,000

Co.„ Inc.)

(Globus..

Plymouth

;

underwriting)

(Stevens Investment CU)^)

..Common
X
—Common

300.000 shares

Commonwealth Realty Trust—-Shares
" '"(Woodcock,
Moyer, Fricke & French, Inc. and Gerstley,
X-X'X

Common

Corp

Murphy

(Tuesday)

Class A

Bowling Corp

Plasticrete

Jennings, Mandel & Longstreth)

Papekote,

Co.,

Taylor &

stockholder^—no
(No

7Lunar Enterprises,

Vending Industries, Inc.._._^.^_wi.„Common

$840,000

Co.)

Bell

Premium
(Pearson,

Nationwide

Class A

Co.) $10,000,000

(Straus, Blosser &

Common
Odzer

Industries, Inc

(Street

Narrows

Cole

$435,000

Corp

(Kleiner,

Motor Parts

(Offering'to
.X*

$300,000

Ltd

Co.)-200,000

Happy House, Inc.———

Inc.)

Co.-,

<Burnham

Inc.)

___i.Class A":-

Estates, Inc.

Mobile

f "'X3.'

January 30

•* 100.000

■

(Harry

Common

Podesta

and

Metallurgical International, Inc.—
.

154,000
.....

Scope Publishers, Inc..

Worldwide Fund

bplaine & Frederic, Inc.)
$600,000
'V:;-'

■

■s••

Brothers)

Joshua

$300,000

(Standard Securities Corp.)

152,500

Co.)

(John

500.000

Co.)

^...Debentures

Podesta

(Cruttenden,

World

—ii-.._„_.CommoD

Metalfab, Inc.
v

Sachs-

Goldman,

Hamilton,

(Godfrey,

..Common

Electronics Corp

iXVXX:

.Gulf American Fire & Casualty Co.——Common

Common
Co.)

7./. Garden State Small Business Investment Cox.Com.

Elmaleh

and

Inc...
&

(VanitAlstyne, <Hoel

Porges

90,250

—Units

Co.); $1,100,000

Corp.——.XiWiX— ^Common

Gardv.(Andy)

$287,500

Weinstock

Inc.)

Samitas

(Lehman

Voron

$9,983,000

Inc.

(Cruttenden,
:

Co.)

Inc.—

Co.,

(Dean

Debentures

stockholders—underwritten

Melnor Industries,

Clark,

Uropa International,

200,000 shares
:

Kureen Co.)

Virginia Dare Stores Corp

Common

(McDonnell & Co., Inc.)

McCall Corp.
(Olfering

Co.;

Common

Securities & Co.) 250,000 shares

Union

Maxam, Inc.

Common

Towbin Co.y 100,000 shares

Unterberg,

(Putnam

$1,125,000

Corp.

Common

Dillon,

underwriting)

Kimball

First Hartford Realty Corp^-.^i.^X-,.—.Comm in

Universal Electronics Laboratories Corp...Common

$220,000

Maust Coal & Coke Corp

(Paul

$600,000

Capital

(Ezra

Corp.

(Eastman

Univend

Fricke & French,'Inc.) $1,500,000

Moyer,

Equitable Credit & Discount Co

Common

(No
tmmon

Improvement Corp.—.Debens.

Properties

(Woodcock,

*,,,

$273,000

Inc.)

Co.,

Title

$500,000

Marit Design & Mfg. Cbrp./l/

•■v

Union

Eastern

•

Corp.), $165,485.

(Amos Treat & Co.)

Common

Lortfart Perfected Devices, lncl™'r—
<No

Securities

Ultra Plastics "Inc

$550,000

(Flomenhaft,

Common

(Joyce), Inc
(Seymour,

Common

...

(Continental

Leslie

Common

$300,000

Continued

page

115

Volume

Number

195

Continued from page

114

6126

tronic equipment. Proceeds

The Commercial and Financial Chronicle

Office—830

■

general corporate purposes.
ates and Bull & Low, N. Y.

and the distribution of office copy machines,
photographic laboratory equipment, etc. Proceeds—For
general corporate purposes.. Office—5642-50 N. Western
Ave., Chicago, Underwriter—Kenneth Kass, N. Y.

Securities Co., San Francisco.

9, 1962

Funding Corp.

Price ;
holding

and

Proceeds—For expansion and working capital.
Office—39 Broadway, N. Y. Underwriter—R. F. Dowd
& Co. Inc., N. Y.
.'j(

;

David

—

Custom

hardware

•

Corrigan Communications, Inc. (1/24).
;;•>
Sept. 28, 1961 filed 375,000 common. Price—$2. Business
—Development and , sale > of tutorial electronics ..com--,

to'

precise tolerances.

Proceeds—For

Atkins

filed

1961

150,000 shares of

stock, of,

common

holders thereof. t Price—To

ent

ment.;; Business—The

phonograph

supplied

manufacture

Proceeds—For

records.

Ave.,

Brooklyn,/N.

Cybernetic

repayment

—71

;

Coyle's Voting Machine Co. (1/29-2/2)
;
Aug. 31, 1961 ("Reg. A") 10,000 common; Price—$14.75."
.

Business—The sale of punch card type voting machines.

Continued

from

Corp

■
-

(S.

-"•*

'•

repay¬

Elizabethtown

Water

<Bids

retail

11' a m.-

EST)

$9,000,000

•

(Herbert

Ytmng & C0./ Tnc.f' $280,000*'

Southern Pacific
:i

Co.__

(Bids

< McDonnell St

February 7

$6,840,000

February 8

(Ems'

February 13

(Tuesday)

Securities

Co.,

Inc.)

$300,000

Stearns

Austin Continental.
v

Co.)

230,000

(Raymond .Moore & • Co.)

Berne of California, Inc.,—
i;.
.(Pacific Coast Securities

.Common

$721,000

y y'

Berry

(Hayden,

Burnham

Carolines

(R.

,■>

Family

Filon

Co.)

200,000

Inc.__>__„^_

(F.

■'

North

Atlantic
(G.

Orion

Co.)

Electronics

Co.,

Inc.)

131,500

Delford

Blauner & Co., Inc.)

Spiral Metal Co., Inc
v../--;
(Flomenhaft, Seldler
Sportsmen, Inc.

115,000

Fields

David

Co.)

First

$250,000,

Trans-Alaska Telephone
(Milton

Blauner

tnc.)

$1,590,000

Co.,

Common

(Hill,

Darlington

Grimm)

160.000

Vitamin

Co.,

Inc.)

(Woodcock,. Moyer,. Fricke- & French,

Widmann
1

___^__Capital
T-^-

V $300,000

(L. F.),_ Inc,/-v—

Creations, Inc.^.-^_.'

.-,"•(Paine," Webber.,

Jackson,

•

-v

shares ^

D.
.

150,000

232.500

Co.)

(White,

(Sunshine

(Horizon
V

^
i;--

Lithoid,

Inc.- i

(Godfrey,

Woodhill,

Inc.)

$700,000

Bonds

—:r,—-

12 noon EST) $30,000,000

Co.,

Inc.)

Inc.;

Haft

Plohn

Co.)

Co.,

and

Inc.

May 22

June

•

Lee

$1,800,000

Co.,

Inc.)

$286,875

_—-—-i

Corp.)

951,799

Hamilton, .Taylor

Co.,

Employees

•

$360,000

Co.,

Inc.)

^
$2,000,000

Debentures

Corp
no

underwriting) $2,675,000

(Thursday)
to

Bonds
received)

$b,U00,l/U0

(Tuesday)
Light Co
••■be

received)

Bonds
$2u,000,oo0

Light Co
ro

received)

—Common
$10,000,000

(Thursday)

•

-..w-*

,—Bonds
$17,00o,000

(Wednesday)

<Bidf=

»o

Preferred
be

received)

$7,000,000

Bonds

(Bids to be received) $23,000,000

November

Inc.)

•-.«

(Wednesday)

Southern Electric Generating
1

---Capital
Bruce

Georgia Power Co

_Common
&

;

284,586

Georgia Power Co

Common

j*,

Co.)

(Friday)

V. November

Inc.)

2-^—-

McDonald &

(Bids to be received)

Common

Securities,

Units

Alabama Power Co

Common

--—Common
M.

and

(Monday)

(Bids

and

Common

Systems, Inc

Corp

Utah Power &

$600,000

$400,000

», imfc

Class

Co.

(Bids

Utah Power &

Common

Seymour Blauner Co.
Co.)

;

Robinson-Humphrey Co., inc.) 17,000 units

(Bids

$332,500

220,000

Mississippi Power Co

185,000

Class

Co.,

April 12

$900,000

..Common
Corp.)

Co.)

Units
Jnr

(Offering to stockholders,

Co.,

Weld

April 6

Common

Management
*

(Bids to be

—Common

(Thursday)

Government

Common

—*

Fund, Inc

Common

$7,500,000

Co.—

Ainsbrooke

Common
&

and

Ridge Tool

60,000

Treat

& Co.

(Richard

Inc

$575,000

March 12 (Monday)

Products, Inc.
-

(Bids

March 26*

Corp

Blauner
.

Co.)

West Penn Power Co.

(Bache

Dillon,

Inc

Investors

(Charles

Inc.)

Allyn

(Giams

.7-5

Chemicals, Inc

Bros.

——Common

Bayliss,

Arnay Industries, Inc

200,000

Industries, Inc

Lincoln

r",-

—-^.uClass

Curtis), 130,000

Honora, Ltd.

Common

fGodfrey. Hamilton.'Taylor & Co.) $486,000

Youthcraft

(Milton

$2,100,000

Specialties Co._____—

Hillside Metal

Common

(Hodgdon

(M.

March 15

Eas man

(Hemphill, Noyes & Co.) 185,000 shares

...

Van-Pak, Inc.

•

150,000

Hartman Marine Electronics Corp

Common

•

Glass-Tite

Co.
&

Co.)

,.■>

Co.)

Amos

Sprayregen,

$300,000

Tri-Point Industries, Inc

/
T//

Common

Taylor

(Netherlands Securities

Inc.)

(A.-C.

Common

Co.)

Lestrange

Scientific

___Units

Motti,

Langlev &

(Sutro

(William,

Fuller

Industries,

-Common

(Monday)

//.r'-X- 'V

Corp.

Plastics

•

Common

;

&,^ Curtis >and

and

(Monday)

Hamilton,

Units

Spartan International Inc

$50,000,000

Co.)

and

$306,000

$444,000

Industry Capital Corp.

Bonds

Co., Inc.

,(I.

Publications,

(Milton D

Common

Industries, Inc

(Godfrey,

Class A

(S. D. Fuller & Co.) *160,000 shares :
Inc..Common

Pyramid

Carmer

'U.

Inc.)

International Airport Hotel

EST)

Bridge Electronics Co.,
(Roth

Co.,

'Control Dynamics, Inc

..Common

(Arthurs,

Inc.)

stockholders—underwritten by Merrill Lynch,.
Inc.) 328,912 shares
•

(Brandtjen

$1,700,000

Curtis

Co..

«&•

Co.)

..Common

(Thursday)

Ben. Int.

Bacharach Industrial Instrument Co.—

$350,000

Inc.)

Securities

Union

March 5

«„•'

..Common

Inc.)

Co.,

Jackson

Astro-Science

Common
Co..

Webber,

(W.

v..

:'C'

(Tuesday)
»

Magnus

Pierce, Fenner & Smith

American Bolt & Screw Mfg. Corp..——.Common

Common
.

(S.

(Offering

■;

$25,000,000

Estabrook

and

Taylor

Hamilton.

and

Units
&

Corp.

Co.

February 26

Corp

Gilhart

(Bids

Zvyy ■/,*

.....Common

shares,-v;

Jackson

Ltd.)

Co.,

Co.

Inc.—

Oklahoma Gas & Electric Co

Int.

Craig-Hallum,

General Acceptance Corp..

100,000 shares

200,000

and

Co. ).,.-796,716

Webber,

Liederman

Power

•

Co.J $200,000

Co,_.

Co.)

Noyes

(Paine,

Power Industrial Products Co

Duke

^......Common

Industries, Inc.

Saxton

(A.

Mills

(Drexel

Paine,

Securities

February 20

..Common

Rossman

Rolling
•yy

(Hemphill,

V
~
Common

Elliette, Inc

National

Manufacturing Corp._
(Frank Karasik

Miss

(D.

--..Common
shares

Co.;

Common
Common

150,000

(Hodgdon

Ben.

Pneumo Dynamics

Common

Taylor &

Hamilton,

March

$750,000

150.000

Capita^

1-*.—

Shopping Center Limited
Partnership

Common

Jaylis Industries, Inc

Common

$5,000,000

Co.)

200,000

(Bache

Inc.)

Inc..^

Nikko

(Stan-Bee & Co.)' $150,000

.''v'

187,250

Inc
Co.)

Weld

Optical,

Metatronics

;

Fund,

...-*

Corp._^.

(White,

Jackson

150,000

Weeks)

Plan,

Plastics

Corp..-...,;..

(Bache

Japan

^.Common

Co.)

Dickson

Record
-

Co
&

Capital

Co.) $300,000

Corp.

Stone

Morrill

(Hornblower

$255,000

^.-i^Common

(Raymond Moore

Co.)

Door \Corp.iU*—
Financial

Graniteville Co.____-.__.^____.Commonr:
Shearsoti;-^ H'ammill

—Common
'

Controls, Inc

United Packaging Co.,

(A. G. Becker & Co.. Inc.) $10,000,000
-M <

Time

430,000

Curtis

$6,375,000

Inc

—

(Godfrey,

Common

Units

Inc.)

Co.)

(Blair & Co., Inc.) 230,000 shares

Tork

$525,000

Realty Trust of Philadelphia

;

Common

•

Brentwood

Franklin

Cos.,

(Blair & Co., Inp.) 200,000 shares
Instrument "Co.____

West Falls

Mackie,

Jackson

Kinnard,

Industries, Inc

Webber,

(Goldman, Sachs & Co.) 454,000 share6e

Common

Mortgage Investors.——

(Paine,

103,000

Seashore Food Products, Inc.
ix
1
(Terrio & Co., Inc.) $300,000

Arwood Corp. u-w.-„,^.J.^.T.^^^„Common
(Bear,

116

page

(Lehman Brothers and J. Barth & Co.) 125,000 shares

(Hemphill, Noyes & Ca. and Paine, Webber, Jackson & Curtis),
v•"
1,700.000 shares
.•/;/
?. •
First Midwest Capital Corp.-^_^-—
..Common

(Albion

Beane

Co.)

Sperti Products, Incil

Corp.)

Co.)

Printing Corp. of America

(Monday)

Stearns

(Singer.

Federal

Haupt

Precision

Debentures

Certified Industries, Inc..

Alaska Pacific Lumber Co.—/
-.._.^,".,(!Qmmon
i
(Dempsey-Tegeler & Co., inc.) 250,000 shares/
Alson Manufacturing Co.——-j^—Commoa
v.;

(Ira

Units

American Book-Stratford Press, Inc
(Bear,

Common

Rothschild

Finance

Oxford

(L.

(Godfrey

//February 19

Common

offered

Municipal Investment Trust Fund, Pa. Series—Ints.

(Offering to stockholders underwritten by Dean Witter & Co.)
v/..:
H"* ■84,000 shares

(White, Weld & Co.) 170,000 shares

;

$300,000

Western California Telephone Co.

$6,450,000

Continued

$5,500,000

Investing

filed

(Thursday)

(Cortlandt

__-.Bonds

(John) Mfg. Co., Inc

February IS

Co.)

1961

Michaels (J.), Inc.

National Equipment & Plastics Corp

CoT;

noon

Inc.)

29,

gen¬

$300,000,000

Co.,

Price—

and one warrant.

120,000 common, of which 90,000
by the public and 30,000 by a stock¬
holder. Price—By amendment. Business—Production and
are

.—

(Bache

$.10,500,000

(Thursday)

Vornado, Inc.

Chicago, Burlington & Quincy RR—Equ. Tr. Ctfs.
Fluke

Decorel Corp.
Dec.

Common

Young

Common

—_

EST)

a.m.

received)

one

Proceeds—Expansion and

in units of

St., Brooklyn, N. Y. -Underwriters—
Hampstead Investing Corp., Aetna Securities Corp., and
Atlas Securities Corp., N. Y.

^Wednesday)
to

(H.)

Toy Corp.
filed 100,000 capital shares (with attached
warrants to purchase an additional 100,000 shares), to be

•

-1.

Co.—

(Bids

employees.

Davis

Nov. 27, 1961

Webber, Jackson & Curtis and American Securities
!
;u
.'i Corp.) 100,000 units

"Co., Inc.) 70,000 shares

(Wednesday)

El Paso Electric

(Paine,

•

—Equip. Trust Ctfs.

noon, EST)

Valley Metallurgical Processing Co.—
\

sales

Office—794 Union

Office

purposes.

Ripley Industries, Inc., and
/- Jomar
Plastics. Inc.____

Rapid-Film Technique, Inc.—-^:..Common
.

corporate

(Herbert

•

:1'J.

$3.25 per unit. Business—Manufactures educational toys.
Proceeds—To repay debt and increase working capital.

Price—$4. Busi¬

Cryplex Industries, Inc

JilLDebentures

St., N. Y. Underwriter—Jay W. Kaufmann
;
\

:v-(Bids

Common

St. Louis. Offering—Imminent.
v

Dale Systems, Inc. (1/29-2/2)
Aug. 9, 1961 filed 100,000 common. Price—$3.25. Business
—A
shopping service which checks the efficiency of

$375,000 '

'''

■);,

Inc.

Christensen, Inc., Denver; Midland Securities
Co., Inc., Kansas City. Mo.: and Dempsey-Tegeler & Co.,

American Telephone & Telegraph Co.—Deb. Bonds

Co.)

David's

offered

Corp.

general

February 14

Cd'.T/

Writer

Cantor

W. 23rd

Co., N. Y.

114

page

February 6- (Tuesday)
Best Plastics

Proceeds—For

Inc., 50 Broadway, N. Y:
Nov. 29*1961 ("Reg. A") 60,000 common. Price — $5.
Business—Operation of a membership department store.

—

ing.

debt, and working capital. Office—315 W. 47th St., N. Y.
Underwriter—Amos Treat & Co., N. Y.
-

Price—$5. Business
importing and distributing of

Proceeds—For

debt repayment and
general corporate purposes. Office—2445 N. Miami Ave.,
Miami, Fla.
Underwriter—Stirling, Linder & Prigal,

•

Company plans to operate a service to furnish
advice, assistance and skill in the field of data process¬

the

Systems

ness

of.

fabrics.

Proceeds—For working capital. Office—11000 E, Kel¬
Office—626 /
logg St., Wichita, Kan. Underwriters—Quinn & Co., A1-:
Underwriter—B lank,
buquerque; A. G. Edwards & Sons, St. Louis; Peters,

Dec. 5, 1961 filed 100,000 class A shares.

amend¬

distribution

and

decorative

•*

systems for use in individual class rooms.V Lieberha^^Co^'.
Proceeds—To repay loans, purchase machinery, and in-",
Cut & Curl, Inc.
crease working capital. Office—1111 E. Ash Ave., FullerDec. 20, 1961 filed 100,000 common.
Price—$4. Business
ton, Calif. Underwriters—D. E.X Liederman & Co., Inc. ■
—Operation of beauty salons. Proceeds—For expansion,
N. Y. and Mitchum, Jones & Templeton, Los Angeles./
Office—67-11 Main St.,
Flushing, N. Y. Underwriter—M.
J, Merritt & Co., Inc., N. Y.
•/ v
Cosnat Record Distributing Corp.
(2/5-9)
which 105,556 shares are to be offered for public sale by.
the company and 44,444 outstanding shares by the pres¬

';v-/''

Inc.

of debt and other
corporate purpose?.

ment

munications

May 26,

Dash,

—Designing, converting,

Metal Products,* Inc. /"-v,
Nov. 20, 1961 filed 100,000 common.
Price—$4. Business
—Manufacture
of
metal
components
and
electronic
,

Oct. 25, 1961 filed 108,000 common.

Busi- V
dress accessories

—

company.

: /

Manufactures plastic jewelry,
and novelties. Proceeds—For
product development, mov¬
ing expenses and working capital. Office—37 E. 18th St.,
N. Y; Underwriter
Herbert Young & Co., Inc., N. Y. /
ness

•

investment

•

Cryplex Industries, Inc. (2/14-16)
Oct. 10, 1961 filed
80,000 common. Price—$3.75.

("Reg. A ') 75,000 class A /common.-

—$2." Business—A- 'financial

Data-Design Laboratories, Inc.
9, 1961 filed 100,000 capital shares.
Price—By
amendment.
Business—Publishing of technical reports
and manuals covering electronic equipment.
Proceeds
—For debt repayment and working capital. Office—945
E. California St., Ontario, Calif. Underwriter—Morgan
& Co., Los Angeles.
/y,
xv//.

•

Office—1790 B'way, N. Y. Un¬
Inc., N. Y.

purposes.

Oct.

leasehold improvements, advertising and
working capital. Office—7451 Cold water Canyon Ave¬
nue, North Hollywood, Calif. Underwriter—Pacific Coast

machines

115

derwriter—Theodore Arrin & Co.,

machinery,

Inc./•,
60,000 common. Price—by amendment
maximum) Business—manufacture of photo-copy

Corporate

eral corporate

•

Copymation,

Jan.

O. Underwriter—John

Cromwell Business Machines, Inc. (1/25)
Aug. 1, 1961 ("Reg. A") 100,000 common shares (par 50
cents): Price—$3.
Proceeds—For repayment of loans,

Associ¬

Maher

Dec. 28, 1961 filed

($15

High St., Hamilton,
Lima, O.

A. Kemper & Co.,

For debt repayment and
Office—145 Water St., South
—

Norwalk, Conn. Underwriters—John R.

;

(383)

received)

-Bonds

Co
$6,500,000

...

•

The Commercial and Financial Chronicle

(384)

116

Continued from page

Rock Bldg.,

115

Underwriter—Stan-Bee & Co.,

Atlanta, Ga.

utility

wood

•

frames, etc. Proceeds—For debt repayment, inventory,
and working capital. Office—444 Courtland St., Munde-

lein, 111. Underwriter—Clayton Securities Corp.,
IVTass.
•

Boston,

(1/24)

Price—$6.75.

Dec.

Proceeds—For investment.

Price

—

Dec.

11,

Business

Construction

and

Real

Price—$3.30.

Office—1011 N. Hill

—

$5.

Duro

Co., Inc., N. Y.

Jan.

con.

filed

10,000

subord.

•

plans to

Business

General

dealer

recourse

corporate

Dialight Corp.
22, 1961 filed 367,000 common. Price—By amend¬
ment.
Business—Design and manufacture of precisionengineered indicator lights for aircraft, missile and elec¬
tronic

Business—Sale and

—Burnham &
District
Nov.
to

Proceeds—For selling

Stewart Ave.,

Brooklyn, N. Y.

stockholders.

eral

Inc.

(1/29-2/2)

Nov.

Dec.

Collateral

By amend¬
Pro¬
ceeds—For general corporate purposes. Office—420 Lin¬
coln Road, Miami Beach, Fla.
Underwriter — To be
named.

Dec.

13,

ness—A

Discount &

1961 filed
small

pany

125,000

teaching

Price—$4.50. Busi¬

1961

filed

plans to
machines.

Inc.

(1/22-26)

200,000

of which

common,

100,000
stockholders.
of

elec-

Electric Co* (2/7)
28? J961 ^filed^$lOij5O0,000^ of first ^mortgage/ bonds
due* 1992. Proceeds—'To refund $3,500,000 of the* com
pany's outstanding 5?/s% bonds due 1989, and for con¬
Office—215

North

Stanton

St., El Paso, Tex.
Probable bidders: Stone

Corp.; JMerrill Lynch, Pierce, FenSmith, Inc.; Halsey, Stuart & Co., Inc!; Kidder,
Peabody & Co. Inc.—White, Weld & Co.—Shields & Co.
(jointly); Equitable Securities Corp.—R. W. Pressprich
ner

Proceeds—For gen¬

owners.

Co.

(jointly). Bids—Expected Feb. 7 (11 a.m. EST)
(19th floor), N. Y. Information Meeting(11 a.m.) at 90 Broad St., N. Y.

at 90 Broad St.

Scheduled for Feb. 2
•

Empire Fund, Inc.

of capital stock tb be
designated securities.
Business—A "centennial-type" fund which plans to offer
a

tax free

securities

exchange of its shares for blocks of corporate
having a market ■ value of $20,000 or more.
School

A. G. Becker &

Price—$4.

common.

manufacture

and

Proceeds—For
purposes.

sell

(1/23)

June 28, 1961 filed 1,250,000 shares
offered in exchange for-blocks of

A")

Business

•

Com¬

Empire

Underwriter—

Inc. ,
100,000 class A. Price—$2.60.

("Reg. A")

Business—Manufacture

product
develop¬
Office—136-05 35th

Mass.

Street, Boston,

Co., Inc., Chicago.

Precision Components,

Aug. 29, 1961

electronic

metal

components

parts

for

electronic connectors. Proceeds—For moving
expenses, a new plant, equipment, repayment of loans
and working capital. Office—574 President St.; Brook¬
lyn, N. Y. Underwriter—Ezra Kureen Co., N. Y. Offer*
precision

Aids Co., Inc.
26, 1961 filed 100,000 common. Price—$5. Business
—Sale of school
supplies, toys and notions. Proceeds—
For equipment, inventories and
working capital. Office
—1125 Okie St., N. E.,
Washington, D. C. Underwriter—
Wright, Myers & Bessell, Inc.

1,600.000

are

filed

& Webster Securities

ing—Imminent.
•

Ecn

Oct.

Corp.

1961

.(1/30)

filed

133,333

common.

Price—By amend¬

equipment for radiation
detection and measurements. Proceeds—For equipment,,
ment. Business—Manufacture of

capital shares, of which 1,by the company and
Educator & Executive Co.
400,000 shares by stockholders. Price—50c. Business— /
NoV. 30, 1961 filed 174,900 common. Price—By amend¬
The exploration and production of ores. Proceeds—For
ment. Business—An holding
company for insurance con¬
salaries and general corporate purposes. Office
— 25
cerns. Proceeds—For
general, corporate purposes. Office V:
Adelaide St., W.y Toronto, Canada. Underwriter—^-Brewis
—3857 N." High St.,
Columbus, Ohio. Underwriter—Mc4
& White Ltd., Toronto.
->\'*
//.
^
\
Donald & Co., Cleveland. .*.
Don Mills, Inc.
.■
•'•/// • •
7*:
Electro-Mec Instrument'CorpilS/ Y t
'
Sept. 27,. 1961.:* (1'Reg. A") 60,000 common. ; Price—$5.
Sept. 15, 1961 filed 176,480 common. Price—$6. Business
Business—Financing of shipments of business machines.
—The design, manufacture and sale of
potentiometers,,
Proceeds—General
corporate
purposes.
Office—Red
digitometers and goniometers- used in airborne comput-'
200,000

Se¬

Dec>

struction.

Dec.

Dolphin-Miller Mines Ltd.
3,

Funds,

St, v
Inc.,

Educational

loan

neapolis. Underwriter—Bratter & Co., Inc., Minneapolis.
Oct.

Proceeds

Ave., Flushing, N. Y. Underwriters—Packer-Wilbur &
Co., Inc. (mgr.). and Earle Securities Co., Inc., N .Y.

investment company. Proceeds—For
expansion. Office—707 Northwestern Federal Bldg., Min¬

Busi¬

Office—180 Babylon Turnpike,

ment and other corporate

Acceptance Corp.
common.

also

Country

Francisco.

Price—$3.
servicing of home food freezers and

80,000

Old

.expansion and working capital. Office—140 Eleventh St.,
Oakland, Calif. Underwriter—Sehwabachier & Co., .San

>•

E.1 Main

—Distribution of electronic parts and equipment.

—

Diversified

Electronics

29, 1961

Office—44

company.

Office—896

Underwriters—(Competitive).

("Reg.

filed

capital.

Price-—By amendment. Business-r-Distribution

Edu-tronics, Inc.
1961

Inc.

tronic parts and. equipment./ Proceeds-r^Debt repayment,

Proceeds—Rental of units, new distributorships and
Office—36 Densley Ave., Toronto. Under¬
writer—S. I. Emrich Associates, Inc.; N. Y.**"

27,

Pike,

will be sold by the compa ny and 100,000 by

expansion.

Oct.

common. Price
mortgage investment

Business—A

Elmar

Sept.

ers.

Corp.

28, 1961 filed 78,000

ment.

1961

Westbury, N. Y. Underwriter—Meadowbrook
curities, Inc., Hempstead, N. Y. "

100,000 common. Priced—$3.
Business—Sale of water conditioning units to home own¬

prints
photographic film
and
distributes
wholesale
photographic equipment. Proceeds—For repayment of
debt, plant expansion, and working capital. Office—3306
Wisconsin, Ave.,.N,< W., Washington, D. C.* Underwriter
—Auchincloss, Parker & Redpath, Washington, D. C.
Diversified

21,

(2/6)

Rd.,

Economy Water Conditioners of Canada Ltd.

holder.

27,

pansion and working

Roosevelt, L. I., N. Y. Underwriter—Sentinel Securities
Planning Corp., Long Island City, N. Y.

16, 1961 filed 100,000 common, of which 80,000 are
offered by the company and 20,000 by a stock¬
Price—By amendment. Business—Processes and

Office—164

Underwriter—Reserve

corporate purposes.

corporate

("Reg*. A") 30,000 common. Price—$10
Business—Operation of supermarkets. Proceeds—For ex¬

•

Price—$3.

finance business.

sale of bulk food to freezer

Underwriter

Co., N. Y.

Photo,

Ellner
Dec.

Economy Food Enterprises Corp.
29, 1961 ("Reg. A") 100,000 common.

Nov.

other

and

repayment

Office—12740 San

-El JPaso

common.

purposes.

Valley City, N. D.
Valley City, N. D.

Dec.

current for aircraft/missiles and

Debt

21, 1961 filed $9,000,000 of debentures due 1992.
repayment. Office—22 VWest Jersey
St., Elizabeth, N. J. Underwriters—(Competitive). Prob¬
able bidders: W. C. LangJey & Co.-Paine, Webber, Jack¬
son
& Curtis
(jointly); Salomon Brothers & HutzlerEastman Dillon, Union Securities & Co. (jointly); White,
Weld & Co.: Halsey, Stuart & Co. Inc. Bids—Expected
fFeb;' 6;' (WtfAi JEST) 7'*r

Properties Improvement Corp.
(2/5-9)

ness—A

& Co., N. Y. Note—This company formerly
named Diversified Small Business Investment Corp.

—

Proceeds—For debt

Eastern

Inc.
Oct. 26, 1961 filed 1,000,000

Cohon

(1/23)

Elizabethtown Water Co.

Econ-O-Pay,

Underwriters—Lieberbaum & Co. and Mor¬

Corp.

Dec.

shares and $625,000
1972. Price—-For

cock, Moyer, Fricke & French, Inc., Philadelphia.

Proceeds-^-For

general corporate purposes. Office—214 Engle St., Engle-

Proceeds—For debt repayment

purposes.

Fernando Rd., N., Sylmar,
Calif. Underwriter—J. R. Williston & Beane, N. Y.

due

real properties, repayment of debt and engineering,, etc;
Office—10 E. 40th St., New Yorkl Underwriter»rrWood-.

Proceeds

purposes.

Aug. 22, 1961 filed $1,500,000 of subordinated debenture?
due 1981 and 250,000 common shares. Price—For deben¬
tures, $1,000; for stock, $10. Business—General real es¬
tate. Proceeds—For the acquisition and development of

Developers Small Business Investment Corp.
(2/5-9)

instruments.

Electrosolids

ships.

working capital. Office—147 Northeast Main St.,
Rocky Mount, N. C. Underwriter—Arnold Malkan & Co.,
Inc.; N. Y.

small. plant.
Underwriter—None.

Office—60

common

debentures

corporate

for converting AC-DC

and

kinds of chemical materials.

—A small business investment company.

inexpensive ball point pens. Proceeds

stock, $2.50: For debentures, at par. Business—A hold¬
ing company for small loan and credit accident insurance
Proceeds—For investment in a subsidiary

start-up expenses for a laboratory and
Office—360 Lexington Ave., New York.

SepC 27," 1961 filed 600,000 common. Price—$5.

1961

other

Price—$3.
testing of.

Oct. 30, 1961 filed 100,000 cum. conv. preference shares.
Price—By amendment. Business—Production of devices

subsidiaries.

the basis of 3 units for each

Price—$20 per unit. Business—Company

27,

6*2%

Office—103 Hawthorne
Ave., Valley Stream, N. Y. Underwriters—V. S. Wickett & Co., Inc. and Thomas, Williams & Lee, Inc., N.:Y.
Offering—Expected in late March.

Dynamic Toy/Inc. (2/5-9)
1961 ("Reg. A") 81,000 common. Price
$3.
of toys. Proceeds—Advertising,
development of new products, expansion and working
capital. Address—109 Ainslie St., Brooklyn, N. Y. Under¬
writer—Hancock Securities Corp., N. Y.
Eastern Investors, Inc.
Dec.

1961 ("Reg. A") 100,000 common.
Manufacture, design and field

—

closed-circuit television.
and

Price—$4. Business

common.

27,

Business

•

Co., Inc.
125,000

—

Electronic Transmissioit Corp,
Oct.

Business—Manufacture

Proceeds—For

was

Seymour, Bernard & DeBoff, Inc., N
Offering—Expected sometime in March.

June 30,

5% preferred share held, 2 units for each 5% preferred
A stock held and one unit for each 10 class B shares

ris

derwriter

repayment, equpiment and working capital.
Office—573 Broadway, N. Y. Underwriter —- Godfrey,
Hamilton, Taylor & Co., N. Y.

Sept. 28, 1961 filed 140,000 common with attached war¬
rants to purchase an additional 140,000 shares to be
offered for subscription by stockholders in units (of one

wood, N. J.

Pen

—Manufacture of

Deuterium Corp.

manufacture and utilize all

check-out, flight control and landing control systems and
relays: and' switches; Proceeds—-For debt
repayment, working capital and other corporate purposse. Office—67 Southfield Ave., Stamford, Conn. Un¬
multi-contact

Equipment Corp.

1962 filed

Controls, Inc.

Nov. 29, 1961 filed 100,000 common. Price—$3. Business
—Design and manufacture of automatic electronic and
computer
controlled
drives
and
systems,
helicopter

Stuart & Co. Die.; First Boston

—For debt

held.

Underwriters—(Competitive).

Co., Inc., N. Y.

Electronic

Inc., N. Y.

man

financing of shell homes.

100,000 shares of beneficial interest.
Business—A real estate investment com¬
pany.
Officer 90' Stdte Street;Albany, N,' Y. Under¬
writer—None.
io ^

—Gianis &

Co., Inc.
Nov. 29, 1961 filed 128,000 common. Price—$4. Business
—Design and manufacture of aluminum-frame outdoor
and porch furniture. Proceeds — For product develop¬
ment, equipment and working capital. Office—2 Barbour
Ave., Passaic, N. J. Underwriter—Preiss, Cinder & Hoff¬

Estate Investment Trust

warrant)

(2/20)

Duralite

Price—$100.

one

17, 1961 filed 75,000 commqn; Price—$5. Business
—Design and manufacture of precision nuclear magnetic
instrumentation. Proceeds-—For general corporate pur¬
poses. Office—Sawyer Lane, Hudson, Mass. Underwriter

capital.* Office—79 Wal¬
St., Brooklyn, Underwriters — Carroll Co. and
Paul Eisenberg Co., Inc., N. Y.

July 24, 1961 filed

share and

Food

Corp.

Nov.

filed

Plaza, N. Y.

(mgr.). Offering—Expected in February, ./:/

Electromagnetics

worth

Price—By amend¬
ment.
Business—Purchase, manufacture and sale of
various building materials.
Proceeds—For debt repay¬
ment and working capital.
Office—373 Adams Ave.,
Memphis, Tenn.
Underwriter—M. A. Saunders & Co.,
Iric., Memphis.
Dennis

working capital.

—For development and working

A.) Sons Co.
200,000 common.

it Denie's
(John
Jan. 15, 1962 filed

Hackensack, N. J. Underwriter—Harriman Ripley & Co.,

Inc., N. Y.

of homes.

Dec, 29,1961 filed 100,000 common. Price—$2.50. Busi¬
ness—Manufacture of food service' equipment. Proceeds

Un¬

capital. Address—Allendale, S. C.

Underwriter—Alessandrini

1962

Dunhill

Office—610 Na¬

60,000 common. Price

("Reg. A")

1961
—

Proceeds—For working

sale

Corp.; Stone & Webster Securities Corp.; Morgan Stan¬
ley & Co. Bids—Expected Feb. 20 (11 a.m. EST).

(1/29-2/2)

Inc.

Rockefeller

St., Hopkins, Minn. Underwriter—None,
Homes,

and

repayment

Probable bidders: Halsey,

Capital Corp.

Business—An investment company.

DeLuxe

debt

and

$50,000,000 of first and refunding
mortgage bonds due 1992.
Proceeds—For construction.
Offices—422 So. Church St., Charlotte, N. C., and 30

investment

Building, New Orleans.

July 13, 1961 filed 520,000 common shares.

—

Duke Power Co.

derwriters—Blair & Co., New York and Howard, Weil,
Labouisse, Friedrichs & Co., New Orleans (managing).
Offering—Expected sometime in March.
Delta Venture

For

Jan.

Corp.

1961 filed 500,000 common shares.
amendment.
Business — A small business
of Commerce

Business—Construction

Rd., Cleveland. Underwriter—Mer¬
rill, Turben & Cq., Inc., Cleveland. '.
/ /.

Aug. 9,

Bank

relays, and precious metal products. Proceeds—For the
selling stockholders. Office — 10 Romanelli Ave., South
*

Office—2120 Green

(2/26-3/2)

equipment, debt repayment and
working capital. Office—82-88 Washington St., Middletown, N. Y. Underwriter—I. R. E. Investors Corp.,
Levittown, N. Y.

tional

due

Proceeds

ceeds—Plant expansion,

company.

slip rings and brush block assemblies, switching devices,

filed $750,000 convertible subordinated
1972, and 100,000 common/Price — By

amendment.

Sept. 28, 1961 filed 95,000 common. Price—$3.50. Busi¬
ness—Manufacture of precision rubber extrusions. Pro¬

Delta Capital

1961

debentures

Williston & Beane, N. Y.

Delford Industries, Inc.

21,

;"/-/•■ 7

Corp.

July 28, 1961 filed 91,000 common shares (par 10 cents).
Price—By amendment.
Business—The manufacture of

Dover Construction Co.

Business—Manufacture of
Danish-style and ice-box cookies. Proceeds—For work¬
ing capital and general corporate purposes.
OfficeSouth Egg Harbor Rd., Hammonton, N. J. Underwriter
—J. R.

Electro-Tec

corporate purposes. Address—Buena, N. J. Underwriters
■—Suplee, Yeatman, Mosley Co., Inc., Philadelphia.

to be offered by the company

stockholders.

components and glass cartridges for the pharmaceutical
industry. Proceeds — For debt repayment and general

filed 90,000 common, of which 10,000 shares
and 80,000 shares by

Oct. 27, 1961
are

St., Long Island City, N. Y. Underwriter—Sterling, Grace
& Co., N. Yk Note — This registration was indefinitely
postponed. •
'/, j -

(1/31)

120,000 common. Price—By amend¬
Business—Manufacture of medicine droppers and
1961 filed

24,

ment.

•'

Park Baking Co.

Deer

Dougherty Brothers Co.

Oct.

Thursday, January 18, 1962 *

ing devices. Proceeds—For the selling: stockholder, Wal.tham Precision Instrument Co., Inc. Office—47-51* 33rd

Washington, D, C. Offering—Expected in February./,/

pictures,

metal framed

and

of wood

sale

offered

leasehold

improvements

and

working

capital.

Office—

Pearl

St., Brooklyn. Underwriter—L. H, Rothchild
& Co., N. Y.
~
" y 175

•

Equitable Credit & Discount Co.:; (2/5-9) ;,
1961. filed $1,000,000 *of 6V?% ir.' subord. conv.
debentures due 1977 and 50,000 common, shares do. be
offered in units consisting of- $500 of debentures, and 25
Oct: 27,

shares. ^Price—$550 >per :
insurance;

N. Broad
ball

unit.;vBusinesF^Leading^an<L

Proceeds—For working capital.; Office—674

St., Philadelphia.
Co., Chicago.

Underwriter—Paul C. Kim¬
::_■■■

Volume

195 ' Number 6126

The Commercial and Financial Chronicle

.ceeds—For

?'Equity GapitaUCo/;<"vrv.y
;.<:•. *7
*•*.
29,: 1961 .filed $3,000,000 of 8% subordinate deben- :

Nov'.

(385);

investment;

Office—1295

Northern

Blvd.,

Underwriters—Raymond Moore & Co., Los Angeles and
Pacific Coast Securities
Co., San Francisco.
Gard
(Andy) Corp. (2/5-9)

Manhasset, N. Y. Underwriter-^None. ''Vv

1
;
'tures due 1965. Price—At par/Business—The investment
First Real Estate Investment Trust of
.in mortgages and the making of construction loans to
New Jersey
•<.'
c
builders and. property owners.' Proceeds—For repay¬
Jan.. 4, 1962 filed 67,750 common. Price—$10. Business
ment of debt and working capital. Office—430 First Ave,,—Real estate investment trust. Proceeds—For general
.»North, Minneapolis. Underwriter—None,
////'; ■i corporate purposes. Office—477 Main
St., Hackensack,
■■*-1 Extrin Foods, Inc.
'!7R N. J. Underwriter—None.
■'/■
Nov. 29, 1961 filed 100,000 common. Price—$3.25. Busi¬
First Republic Corp. of America
•
ness—Creation, and manufacture of flavors for the bak¬
Dec. 19, 1961 filed $9,400,000 of 6Vz% convertible subing and confectionary industries. Proceeds—For addi¬
ordinated debentures due 1982 and 188,000 class A shares
tional personnel, new products and possible acquisitions.
to be offered for subscription
by class A stockholders
Office—70 Barclay St., N.' Y.
in 47,000 units, each consisting of $200 of debentures !
Underwriters-Hay, Fales
&:-Co.i hiid ^Laughlin,^/Kduiniaiv
and 4 class A shares. One right will be issued for each
—Expected sometime in March.
f
% class A share held, and 40 rights will be needed to pur¬
Fairbanks Wire Co., Inc. -'iC;'
chase one unit. Price—Ey amendment. Business—Gen¬
eral real estate. Proceeds—For debt
Oct. 30, 1961 filed 54,000 common. Price—$3. Business—
repayment and other
Manufactures
specialized machinery
corporate purposes. Office—375 Fifth Ave., N. Y. Under¬
and
equipment.?
writers—Morris Cohon & Co. and Lieberhaum &
'.Proceedsi-*-■ For debt repayment:and general Corporate
Co.,

Dec.

ment.

•

First Scientific

investment.

Blauner Co., and Sprayregen, Haft &
Co., N. Y,

1961

Fiair

Nov.

Cards, Inc. (1/29-2/2)
1961 ("Reg. A") 74,667

and

components, .including dielectric and electro¬
lytic capacitors and precision tungsten wire forms. Pro¬

N. Y.

ceeds—For the

Aug. 8, 1961 filed 70,000

named.

tuted
and

Fastline Inc.
due

1971

conv.

subord. deben¬

and 40,000 common shares

Fastpak, Inc.

•.

—The

distribution

devices
Benson

and

nuts,
by

Proceeds—For

general

bolts
others.

Florida

Oct.

debt

purposes.

Malkan &

Federal

investment.

Office—50

State

—Commercial

finance

Proceeds — Gen¬
Office—42 S. 15th St., Phila.
Underwriter—Netherlands Securities Co., Inc.,, N. Y.
corporate

Proceeds—For
purposes.

real
debt

Office

1790

—

and
and

property
repayment
N.

ufacture of voting machines and toll collection
devices.
Proceeds—For selling shareholders.
Office—Reading, Pa.

Underwriter—Dempsey-Tegeler
y

Associates, Ltd., Toronto.

& Chemicals/ Inc.

(2/26-3/2)
Nov. 29, 1961 filed 220,000 common. Price—By amend¬
ment. Business—Manufacture of vinyl plastic sheeting.
Proceeds—For selling stockholders. Office—199 Garibal¬
di Ave., Lodi, N. J. Underwriter—Sutro Bros. &
Co., N. Y.

Price—By amendment.

glass-to-metal

hermetic

Proceeds—For

pur¬

equipment, investment in a subsidiary, research
development, moving expenses, and working capital.
Office—725 Branch Ave.,
Providence, R. I. Underwriter
—Hemphill, Noyes & Co., N. Y.
fr ;
i-'-.

Industries, Inc.

and

Global

Williams, N. Y.

Nov.

(John)

Food Corp. of America

Price-—$2.50. Business
acquisition of enterprises engaged in the food
processing industry. Proceeds—For repayment of debt
—The

/ and working capital.

Office—1207 Foshay Tower, Min¬
neapolis, Minn.; Underwriter—None.
^

ment.

Steel

Products Corp.
filed 68,000 common.

1961

Price—By

amend¬

Business—Manufacture

of
prefabricated metal
compartments.
Proceeds—Debt repayment and
general corporate purposes.
Office—10014 Avenue

toilet

Brooklyn, N. Y. Underwriter
;

syth, N. Y.
Globe

—

Treibick, Seiden & For-

>'/.;/■

.'-v.y

•

.//

Industries,

Inc.
Oct. 30, 1961 filed 200,000
common, of which 100,000 are
to be offered
by the company and 100,000 by stock¬
holders. Price—By amendment. Business—Manufacture

J of miniature electric motors, powdered metal products
j and devices for the missile and aircraft industries. Pro¬
ceeds—For debt repayment and
working capital.
—1784 Stanley Ave.,

Dayton,

Donald &

Office
Underwriter—Mc¬

Ohio.

Co., Cleveland.

•

greeting card stores. Proceeds—Debt repayment,
working capital and expansion. Office—18 W. 34th St.,
N. Y.

Underwriters—Hardy & Co. and Filor, Bullard &
Smyth, N. Y. Offering—Imminent.
"

Golf

Folz Vending Co., Inc.

(1/29-2/2)
Sept 26, 1961 filed 55,000 common. Price—$6. Business
| —The distribution of novelties, candy, etc. through vend¬
ing machines. Proceeds—To repay loans] purchase ma¬
chines, and increase working capital. Office—990 Long
Beach Rd., Oceanside, N. Y. Underwriter—None.
;
■

retail

Forrest

Aug.

Courses, Inc.

28,

1961

filed

100,000

capital shares.
Price—$6.
plans to operate a public golf
course and a
private country club.
Proceeds—For pur¬
chase of land, construction and
general corporate pur¬
poses. / Office—1352
Easton
Rd.,
Warrington, Bucks
County, Pa. Underwriter-—Metropolitan Securities, Inc.,

Business—The

company

Dec. 4,

Electronics Corp.
21, 1961 ("Reg. A") 130,000 common. Price—$2.
Business—Research, design/ manufacture, sale and dis¬

—Real estate investment.

purposes.

ponents. Proceeds—For debt repayment, equipment and
general corporate purposes.
Office — 425 Las Vegas
Blvd., S.,
Las
Vegas, Nev. Underwriter—Elmer
K.

Aagaard, Salt Lake City.

Becker &

Filon

Plastics Corp. (2/13-17)
1961 filed 200,000 common, of which 50,000 are
to be offered by the
company and 150,000 by stock-/
holders. Price—By amendment. Business—Manufactures
translucent fiberglas panels for building and decorative
North

Van

Ness

Ave., Hawthorne,
Underwriter—White, Weld & Co., N. Y.
First Hartford Realty Corp. (2/5-9)
Oct. 30, 1961 filed 500,000 common. Price—By
ment.

tribution

Business—Real

estate

investment.

Calif.

amend¬

Proceeds—For

Manchester, Conn. Underwriter—Putnam & Co., Hartford.

/ Dec. 22,

1961 filed 349,590

com¬

common.

Price—By amend¬

Business—Design, manufacture and sale of housefreezers, refrigerators, automatic
washers
and
driers. Proceeds—For a selling stockholder. Office—6522nd Ave., N. E., Minneapolis. Underwriter — Lehman
Brothers, N. Y. Offering—In late February. ,

Price—$12.50

Business—A small business investment company,
Proceeds—General corporate purposes.
Office—512

ment
_

Ave., Minneapolis.

Underwriters-*—Paine, Web¬
N. Y., and Craig-Hallum, Kin-

•

First New York Capital Fund, Inc.
Oct. 27, 1961 filed 2,770,000 capital shares;

trust.

per

shares of beneficial

interest.
share. Business—A real estate invest¬

Proceeds—For

investment.

Office

—

1616

St., Philadelphia, Pa. Underwriter—A. G. Beck¬
Co., Inc., Chicago.
V.'

Future

Airlines

Philadelphia. Offering—Expected in February.
Gotham
Nov.

tal

Investment Corp.
21, 1961 filed 100,000 common.

and

(1/30-31)

Oct. 20, 1961 ("Reg. A") 60,000 common.
Price — $5.
Business — Furnishing of scheduled air transportation
service. Proceeds—For debt repayment and general cor-

porate purposes. Office—8170 Beverly Rd., Los Angeles.

Price—$6.

Business

Proceeds—For working capi¬

other

corporate purposes.
Office—1707 H St.,
W., Washington, D. C. Underwriter—Rouse, Brewer,
Bryant, Inc., Washington, D. C.

Gould Paper Co. (1/29-2/2)
Sept. 28, 1961 filed 140,000 common.

Price—$11. Busi¬
Proceeds—Expansion and
Office—Lyons Falls, N. Y. Underwriter

ness—Manufacture of paper.

working capital.

—Amos Treat & Co., Inc., N. Y.
•

Government Employees Corp.

Jan. 8, 1962 filed

(2/19-21)

Walnut
er

nard, Inc-> Minneanolis.

mechanical

Manufacturing Co.

Franklin Realty Trust
Jan. 3, 1962 filed 800,000

ment.

Price—$1.
Business—A" small -business investment company. Pro-F

and

hold

;

Midwest

ber, Jackson & Curtis,

precision electronic

ment.

Capital Corp. <(2/19-23)
Sept. 28, 1961 filed 150.000 common. Price—By amend¬

Nicollet

Franklin

property acquisitions, debt repayment and other corr
porate purposes/ Office—380-390 W. Middle Turnpike,

First

Dec.

Proceeds—For expansion and working capital.

Office—333

Business—Manufacture

seals.

chase of

Oct. 5, 1961 filed 50,000 commoh.

• Fifth Avenue
Cards, Inc.
Sept. 28, 1961 filed 115,000 class A capital shares. Price
—By amendment.
Business—Operation of a chain of

135,000

to be offered by the
company and 50,000 by a stock¬

holder.

Nov. 29, 1961 filed 100,000 common. Price—$3.25. Busi¬
ness.
Design and manufacture of plastic
artificial
foliage and flowers. Proceeds — For general corporate
purposes. Address—St. Thomas, Virgin Islands. Underwriter—Seidman &

& Co., Inc., St. Louis.

• Glass-Title Industries/ Inc. (2/26-3/2)
Sept. 27, 1961 filed 185,000 common, of which
are

Federal

Mfg. Co., Inc. (2/8)
11, 1961 filed 170,000 common, of which 135,000
are to be offered
by the company and 35,000 by stock¬
holders. Price—By amendment. Business—Design and
manufacture of precision electronic instruments, poten¬
tiometers, and related components. Proceeds—For debt
repayment and working capital. Office—7100-220th St.,
S. W., Mountlake Terrace, Wash.
Underwriter—White,
Weld & Co., N. Y.

Proceeds—For general corporate purposes. Office
Richmond St., Toronto. Underwriter—-G. V. Kirby

Plastics

Flower City

Fluke

erties.

Fields

corporate

undeveloped

Office

purposes.

spark plugs; design and production of subminiature
hermetically sealed relays and glass-to-metaljseals;,man-

Dec.

Fidelity Mining Investments Ltd.
30, 1961 filed 800,000 common. Price—By amend¬
ment. Business—Exploration and testing of mining prop¬

activities.

company.

purposes.

Nov.

—62

sale

general corporate

Bldg., Cleveland, O. Underwriter—Merrill,
Co., Inc., Cleveland. ;
-.v

and

(1/29-2/2)
common,

Hanna

• General Battery & Ceramic Corp./i
Jan. 11, 1962 filed 200,000 common. Price —
By amend¬
ment. Business1—Manufacture of
Replacement "batteries

—

Fidelity America Financial Corp. (1/29)
Oct. 3, 1961 filed 100,000 common. Price—$5. Business
■

eral

and

general

■*

Boston.

St.,

463,000

Proceeds—For

Turben &

Highway, Pompano Beach, Fla. Underwriter—Hardy &
Co., N. Y.

Underwriters—Hemphill, Noyes & Co., N. Y. and Paine,

J Webber, Jackson & Curtis, Boston.

filed

Corp. of America
7, 1961 filed 266,000 common. Price—By amend¬
Business—A holding company for an insurance

firm.

100,000 common. Price—$3.
one piece
disposable plastic

Palm-Aire Corp.

1961

(2/19-21)

Dec. 21, 1961 filed 1,700,000 shares of beneficial interest.
Price—By amendment. Business—A business trust which
plans to qualify as a real estate investment trust. Pro¬
ceeds—For

19,

opment

Mortgage Investors

which 310,000
shares are to be offered for subscription by the stock¬
holders on a l-for-3 basis, and 153,000 shares will be
said to the public. Price—$2. Business—Purchase, devel¬

Office—8
Underwriter — Arnold

corporate

Place, Freeport, N.
Co., Inc., N. Y.

General

Dec.
ment.

writer—Meadowbrook Securities, Inc., Hempstead, N. Y.

common.

Acceptance Corp. (2/20-22)
29, 1961 filed 200,000 common. Price—By

Allentown, Pa. Underwriters—Paine,
Webber, Jackson & Curtis and Eastman Dillon, Union
Securities & Co., N.
Y,:y/:V;/'/
%';>■

toothbrushes. Proceeds—For general corporate purposes.
Office—7400 N. W. Seventh Ave., Miami, Fla. Under¬

Price—$5. Business
and other fastening

manufactured

repayment

General

—672

Business-—Manufacture of

Flex-I-Brush, Inc.
Nov. 27, 1961 ("Reg. A")

Stone-

amend¬
Business—The making of instalment loans to in¬
dividuals, etc. Proceeds—For working capital. Office—
1105 Hamilton
St.,

Electronics Investment Corp., Contractual Plans
broker-dealer registered with NASD. Proceeds—

Office—8136

Ave., Chicago. Underwriter—Federman,
Co., N. Y.

ment.

common

N. Y. Offering—Imminent.

to be offered

^a^lnc., -N. Y.

•

Dec.

increase net capital and for investment. Office—44
Wall St., N. Y. Underwriter—General Securities
Co., Inc.,

publicly in units of one $500 debenture and 50 common.
Price—$575 per unit. Business—Manufacture of con¬
cealed zippers. Proceeds—Debt repayment, advertising
and working capital. Office—8 Washington Place, N. Y.
Underwriter—G, Eyeret^rks
/Nov. 30, 1961 filed 125,000

and

Business—Compounding
primarily deter¬

of chemical products,
Proceeds—For working capital.

hill &

Underwriter—Amber, Btirstein & Co., Inc., N. Y.

Inc.

Dobson

(1/29-2/2)

Sept. 28, 1961 filed $400,000 of 6%
tures

tor

Uranium Co.

packaging

gents.

shares, of which 56,000
shares are to be offered by the
company and 14,000
shares by stockholders. Price—$10. Business—Distribu¬

Cortlandt

common.

Fleetwood Securities Corp. of America

Street,V Belleville, N. J. Under¬
Note—July 11, the SEC insti¬
"Stop Order" proceedings challenging the accuracy
adequacy of this statement.

writer—To

Hills

Gateway Chemicals,

Price—$3.

electronic

payment of debts and for working capital.

Office—1180 Raymond
Blvd., Newark, N. J.
& Co., N. Y.

Nov. 22, 1961 filed 100,000
common, of which 50,000 are
to be offered by the
company and 50,000 by a stock¬
holder. Price—By amendment.

Business—Manufactures greeting
cards, greeting card
trays, dishes, note paper, etc. Proceeds — For debt re¬
payment and working capital. Office—537 W. 53rd St.,

Office—471

filed

14,

$2,000,000 of 6% convertible sub¬
ordinated debentures. Price—100% of principal amount.
Business—The company is engaged in the manufacture
and distribution of high reliability materials and basic
30,

Co.

a mill. Proceeds—For
repayment of loans, ac¬
quisitions and working capital. Office—224 Ivinson
St.,
Laramie, Wyo. Underwriter—None. Note—This regis¬
tration may be withdrawn.

(2/26-3/2)

Gas

general corporate purposes. Office—375 Park Ave., N. Y,
Underwriters—Netherlands Securities Co., Inc., Seymour

Jan.

Investment

Aug. 29, 1961 filed 847,035 common to be offered for
subscription by stockholders on a l-for-10 basis. Price
—By amendment. Business—The operation of uranium

Dec. 6, 1961 filed 200,000 class A stock. Price—$3. Busi¬
ness—Company plans to acquire, invest in, and finance
patents and new scientific technology. Proceeds—For

Co., N. Y.

Business

mines and

Corp.

Family Record Plan, Inc. (2/13-16)
Nov. 20, 1961 filed 200,000 common. Price—By amend¬
ment. BusinessrrrSale of photographic portraits and al¬
bums.
Proceeds—For selling stockholders/ Office—2015
W. Olympic Blvd., Los Angeles.
Underwriter—Bache

/Paradyne Electronics Corp/

Small

Underwriter—Godfrey, Hamilton, Taylor

/N. Y.

State

Oct.

...

Maclisp^ Corp.] N*, Y.

Garden

—

of molded

27, 1961 filed 330,000 common. Price—$3. Business
—A small business investment
company. Proceeds—For

•

Office-~Walnut St., M D 23, Newburg, N; Y.

Price

common.

Business—Manufacture

(2/5-9)

...

Underwriter—First

15, 1961 filed 200,000

By amend¬
plastic toys and
housewares, and the custom molding of other plastic
products. Proceeds—For general corporate
purposes. Ad¬
dress—Leetsdale, Pa. Underwriter—Van Alstyne, Noel
& Co., N. Y.
•
'
1

purposes.

117

(4/6)

$2,675,000 of 4Y2%

conv. capital deben¬
subscription by common
the basis of $100 of debentures for each

tures due 1977 to be offered for

stockholders
7

held

of record Apr. 6 with
rights to expire
April 30.
Price — At par.
Business — Com¬
pany and its subsidiary provide automobile and mobile
home financing service on a nationwide basis to
gov¬
ernment employees and military officers. Office—GovL
Employees Insurance Bldg., Washington, D. C. Under¬

about

writer—None.
*r-

v "V

Continued

page

118

Chronicle

The Commercial and Financial
118

Continued
•

fire and casualty

from page 117

Ala.

Sept. 27, 1961 filed 77,250 common. Price—$4. Business
—Manufacture of graphic arts equipment, chemicals and

Haltone Rental

rate purposes.

Underwriter
Offering—Imminent.

writer—B. G. Harris & Co., Inc.,

(2/19-23),i

Graniteville Co.

796,710 common. Price — By amend¬
Business—Manufacture of cotton fabrics. Proceeds
acquisition of McCampbell & Co., Inc., a textile

Hannett

Inc.
Jan. 2, 1962 filed $5,230,000 of 5% convertible subordi¬
nated debentures due 1982, to be offered for subscription
by common stockholders on the basis of $100 of deben¬
tures for each 12 shares held. Price—By amendment.
Business—Operation of a retail drug chain. Proceeds—
For expansion and working capital. Office—2400 Superior
Ave., Cleveland. Underwriter—McDonald & Co., Cleve¬
Gray Drug Stores,

Real Estate Investment

Great Continental

•

Trust

30, 1961 filed 320,000 shares .of beneficial interest.
Price—By amendment..] Business—Real estate invest¬
ment. Proceeds—For general purposes of the Trust. Of¬

National

First

Bank

Annex,

Bldg.

Atlanta.

Box Co., Inc.

29, 1961 filed 100,000 common. Price—By amend¬
($7 max.). Business—Manufacture of corrugated
board and containers. Proceeds—For general corporate,

Office—149 Entin Rd., Clifton, N. J. Under¬
writer—D. H. Blair & Co., N. Y.
purposes.

Price—$11. Busi¬

ness—A small business investment company.
For

Union

Office—952

investment.

ger,
•

Proceeds—
Pitts¬

Trust Bldg.,

burgh. Underwriters—Moore, Leonard &

43rd

Instrument Co.

(Henry J.)

Green

Proceeds—For

struments.

Green

Construction

Griesedieck

Corp.

N. Y.

Offering—Expected

St.
Louis.

Boston

Underwriter—None.

ment.

36,000

Price

and working capital.

nia

•

Gulf American

Sept. 28,

1961

$5.

Casualty Co. (2/5-9) 226,004 common to be offered for

subscription by stockholders on the basis of three new
shares for each 10 held. Price—$2. Business—Writing of

machines

Finance

& Thrift Corp.

Office-^339

Carondelet

of debt and ex¬

St., New Orleans, La.

Industrial Gauge & Instrument Co., Inc.

ment

thermometers, etc. Proceeds—For debt repay¬
working capital. Office—1403-07 E. 180* St.,
Underwriter—R. F. Dowd & Co., Inc., N. Y.

and

Bronx, N. Y.

and

Offering—Imminently

Proceeds—For equipment, inventory;;

products

v'v-

N. Y.

15,

Business—A
Proceeds—For in¬

Price—$3.

company.

Office—760 S. Hill St., Los Angeles.

Hillside
Dec.

investment

,wp'_

Metal

Products, Inc.

1961 "filed

are

Under¬

(2/26-3/2)

■

200,000
100,000
Business—Manufac¬

300,000 common, of which
by the company and

offered

stockholders.

Price—$6.

ture of steel office furniture. Proceeds—For debt repay¬
'

ment, plant expansion and working capital. Office—300
Passaic St., Newark, N. J. Underwriters — Milton D.
Blauner & Co. and M. L. Lee & Co., Inc., N. Y.
•

Honig's-Parkway, Inc.

Dec.

1961

("Reg.

A")

(1/23) 100,000 common.

Price—$3.

Industry Capital Corp.
Dec.

26,

1961

(3/5-9)

<;!!

filed 500,000 common. Price—$15. Busi¬

ness—A small business investment company. Proceeds—•

corporate purposes. Office—208 S. La Salle
St., Chicago. Underwriter—A. C. Allyn & Co., Chicago.

For general
.

Information

Systems, Inc.

13, 1961 filed 1,266,000 common to be offered to
preferred and common stockholders of ; Ling-Temco-

Nov.

Vought, Inc. (parent) of record Nov. 30, 1961. Price—By
amendment. Business—Furnishes industrial information,
handling and

share-for-share basis.

vestment..

Fire &

filed

of barbecue

and advances to subsidiaries. Office—
Dryden, N. Y. Underwriter—Burnham

Nov.
9,| 1961 ("Reg. A") 95,250 common.
Price—$3.
Business—Purchase, distribution and sale of industrial

Price—$5.

Proceeds—For equipment, research and

management

Address—Guayanille, Puerto Rico.
Corp., Levittown, N. Y.
*

Co., N. Y.

gauges,

common.

16, 1961 filed 2,265,138 common to be offered for
subscription by stockholders of Union Bank of Califor¬

Underwriter—I. R. E. Investors
»

Underwriter—None. :vv•\;yV:/7:'y,..

St.,

Oct.

Business—Manufacture and sale of hassocks, bench seats
and leg rests. Proceeds—For debt repayment, equipment

Offering—Imminent.

Court

Underwriter—L. F. Rothschild & Co.,

Bldg.,

—

finance firm. Proceeds—For repayment

from test
devel¬
opment, leasehold improvements, repayment of debt and
working capital. Office—130 Lincoln St., Brighton, Mass.

common.

_..

Oct. 30, 1961 filed $2,000,000 of 6% subordinated deben¬
tures due 1974. Price—At par. Business—A consumer

Associates, Inc., N. Y. Offering—Indefinite.

writer—None.

("Reg. A")

Office—16

Business—Manufacture

models.

Guayaco Corp.

1961

...

1961 filed 400,000 common. Price—By amend¬
telephone holding company. Proceeds

Industrial

High Temperature Materials, Inc. (1/29-2/2)
Sept. 28, 1961 filed 120,000 common. Price—By amend¬

11, 1962 filed 1,000,000 shares of capital stock. Price
—Net asset value (for first 30 days, thereafter an addi¬
tional 8V2%
sales charge). Business—A mutual fund.

29,

investment.

J. B. Coburn

Jan.

Nov.

promotion, expansion and working capital. Office
—10-20 47th Rd., Long Island City, N. Y. Underwriter—

N.. B'way,

714

22,

—For repayment
25-27 South St.,

Hill Street Co.

—

•

ir Gryphon Fund, Inc.

Denver.

Dec.

7'V

allied equipment.

derwriter—Growth Issuers, Inc., (same address).

Office

Independent Telephone Corp.

sales

mid-February.

investment.

($1,000). Business—Purchase and sale
mortgages. Proceeds—For investment. Of¬

Co., Brighton, Mass.

;■

A common. Price—By
Business—General real estate.. Proceeds—

Business—The manufacture

1961

Proceeds—For

fice—630 Fifth Ave., N. Y. Underwriter—None.

pansion.

Hickory Industries, Inc.
31, 1961 ("Reg. A") 40,000

("Reg. A") 198,250 common (with war¬
rants). Price—$1,155. Business—A holding company for
a
broker-dealer, farm equipment manufacturer and a
finance company. Proceeds — For an acquisition and
working capital. Office—33 N. LaSalle St., Chicago. Un¬
29,

Corp.

ment. Business—A

Aug.

Growth Consulting & Financing Co., Inc.
Dec.

C. Collateral

of real estate

Brooklyn, N. Y.
Underwriter—Arnold, Wilkens & Co., N. Y.

—

corporate purposes. Office—314

1970. Price—At par

Underwriter—Michael G. Kletz & Co.,

St., N. Y.

For

Co.

Underwriter—Edward D. Jones & Co., St.

Hygiene Industries,ilneui41/29*2/2)

amendment.

1961 filed 100,000 common to be offered for
subscription by stockholders on the basis of one new
share for each three held.- Price—By amendment. Busi¬
ness
A closed-end investment company. Proceeds —
General

Dec. 22, 1961 filed $1,500,000 of 10% registered subordi¬
nated debentures to be offered in five series due 1966 to

Herman & Appley, Inc.
Oct. 27, 1961 filed 100,000 class

11,

Louis.

•

20,000 are
stockhold¬
ers.
Price—By amendment. Business—Publishes "Elec¬
tronic Design," a trade magazine in the electronic field.
Proceeds—For debt repayment. Office—850-3rd Ave.,
N. Y. Underwriter—Carl M.. Loeb, Rhoades & Co., N. Y.
Offering—Expected sometime in February. •

29, 1961 filed 80,000 common. Price—$5.25. Busi¬
ness—General contracting for landscaping and construc¬
tion work. Proceeds—For debt repayment and other cor¬
porate purposes. Office—97-36 50th Ave., Corona,
Underwriter—Williamson Securities Corp., N. Y.

Office-r-101 Park Ave., Hudson,
Underwriter—McLaughlin, Kaufman & Co., N. Y.

eral corporate purposes.

Nov. 29, 1961 filed 150,000 common, of which
to be offered by the company and 130,000 by

Nov.

Sept.

Hydra-Loc, Inc.
(1/29-2/2)
10, 1961 ("Reg. A") 60,000 common.
Price—$2.
Business—Design, development and manufacture of a
brake control. Proceeds—For debt repayment and gen¬
Oct.

Hayden Publishing Co., Inc.

meteorological in¬
of loans, equip¬

repayment

later date.

Valley

—

New York.

Price—$2.25. Busi¬

ment, salaries and general corporate purposes. Office—•
2500 Shames Dr., Westbury, N. Y. Underwriter—To be
named. Note—This registration may be withdrawn and
refiled

Silver

television parts and equipment. Proceeds—For working
capital and general corporate purposes. Office—103 W.

Lynch and Sin¬

Dean & Scribner, Pittsburgh.

Aug. 24, 1961 filed 140,000 common.
ness—The manufacture of precision

....

Hyatt Corp.
Oct. 20,- 1961 filed 350,000 capital shares./ Price f- /$10.
Business—Operates a chain of motor hotels. Proceeds—
For debt repayment and
general corporate purposes.
Office
1290
Bayshore Highway, Burlingame, Calif.
Underwriters—J. Barth & Co., San Francisco and Shearson, Hammill & Co., N; Y.

Imac Food Systems, Inc.
Harvey Radio Co., Inc.
,
'
'
Oct. 27, 1961 filed 200,000 common, of which 100,000 are
J Nov. 17, 1961 ("Reg. A") 100,000 common. Price —. $3.
to be offered by the company and 100,000 by a selling
Business—Operation of restaurants. Proceeds—For debt
stockholder. Price—$5. Business—Distribution of elec¬
repayment, expansion and working capital. Office-^-711
tronic components including'high fidelity, radio and
Branch AveV Providence, R. I. Underwriter—Freeman &

Pittsburgh Capital Corp.

1961 filed 250,000 common.

14,

Diego. Underwriter—J. A.

Hogle & Co., Salt Lake City.

Business—Manufacture of ma¬
electronic equip¬
ment and military transmitter-receivers. Proceeds—For
general corporate purposes.
Office—30-30 Northern
Blvd., Long Island City, N. Y. Underwriter—Charles
Plohn & Co., N. Y.
•
r
.

Dec.

Greater

Office—621 Fourth Ave., San

rine and mobile communications and

ment

Nov.

systems. Proceeds—For equipment and working capital.

Price—$4.

stockholder.

Underwriter—Courts & Co., Atlanta.
Greater New York

instruments used in missile control and instrumentation

Sept. 20, 1961 filed 200,000 common. Price—$5. Business
Hartman Marine Electronics Corp. (2/26-29^
—Manufacturer of shower and window curtains. Pro¬
5th Ave.,
Oct. 27, 1961 filed 100,000 common, of which 75,000 are s'* ceeds—For selling stockholders. Office—261
N. Y. Underwriter—Milton D. Blauner & Co., N; Y.
to be offered by the company and 25,000 by a selling

Nov.

fice—200

•

21, 1961 ("Reg. A")'40,000 capital shares. Price—
$7.50. Business—Design and manufacture of precision

—

Humphrey, Inc.

it Harper Vending, Inc.
Jan. 12, 1962 filed 100,000 common. Price—$3.25. Busi¬
ness—Operation of automatic vending machines. Pro¬
ceeds
For expansion, debt repayment,' and working
capital. Office—498 Seventh Ave., N. Y. Underwriter—
Greenman Co., N. Y.
,
•' ' " • * -

Milwaukee.

Co., Inc., N. Y.

Dec.

Underwriter—None.

Pa.

Business

Proceeds—For sell¬

Harleysville Life Insurance Co. (1/29-2/2)
Sept. 21, 1961 filed 40,000 common. Price—$15. Business
—The writing of all types of life insurance and an¬
nuities. Proceeds—Working capital. Office—Harleysville,

Inc.

(1/29-2/2)
Price—$4.

Inc.

ing stockholders.* Office—120 E. 16th St., N. Y. Under¬
writers—Brand, Grumet & Seigel, Inc. and Kesselman

Tenth

Switzer & Co., Inc.,

—

Westmore,

Sale and distribution of cosmetics.

;'v

park. Proceeds—For property development, advertising,
and working capital. Office—3100 Tremont Ave., Cheverly, Md. Underwriter
Springs, Md.

House

Oct. 27, 1961 filed 150,000 common.

8, 1961 filed 160,000 common. Price—$5. Business
—Company plans to own and operate an • amusement

26,1961 filed 93,000 common. Price—By amendment.
Business—Manufacture of custom-designed, factory built
"house
packages" consisting of basic carpentry for
houses, and construction of shell homes. Proceeds—For
ddbt repayment and for working capital. Office—She¬
boygan Falls, Wis. Underwriter—The Milwaukee Co.,
Great Southern Real Estate

Dec.

stockholders

tion of preferred stock and working capital. Address—
Bluffton, Ind., Underwriter—Patterson Securities & Investment Co., Inc., Fort Wayne, Ind. /
;
'

Fabrication of components for missiles,

Hargrove Enterprises, Inc.

Aug. 3, 1961 filed 300,000 shares of beneficial interest.
Price—$10. Business—Real estate. Proceeds—For invest¬
ment. Office—530 St. Paul Place, Baltimore. Underwriter
—R. Baruch & Co., Inc., Washington, D. C.
(mgr.).
Note—This firm formerly was known as Continental
Real Estate Investment Trust;
'

■■.•■>.
which 11,939

(1/29-2/2)"

Inc.

Service,

30,000 to the public. Price—$6.75. Business—Process¬
ing and marketing of fertilizers. Proceeds—For redemp¬

("Reg. A")

ment, inventory and working capital. Office—11
Ave., S., Hopkins, Minn. Underwriter—None.

Trust

Soil

Nov. 28, 1961 (''Reg. A") 41,939 common, of
are to be offered to preferred and common

Happy House, Inftr (2/5-9)
July 28, 1961 filed 700,000 common shares .Price—$1.
Business—The marketing of gifts, candies and greeting
cards through franchised dealers. Proceeds—For equip¬

(1/22-26)

Great Lakes Homes,

Hoosier

•

Offering—Sometime in February.

48th St, N. Y. UnderRego Park, N. Y.

—

„

corporate purposes. Office—42 W.
writer—Sunshine Securities, Inc.,

Inc.

Industries,

1961

—

•

and

100,000 common. Price—$3.
jet
engines, aircraft landing gears and precision machines.
Proceeds
Machinery, research and development and
working capital. Office—$0 Sea Cliff Ave., Glen Cove,
N. Y. Underwriter-*-Albion Securities Co., Inc., N, Y*
11,

Business

Underwriter—Lehman Brothers,

land.

:•

Aug.

«■'*.! >.-yv;(>:

Honora, Ltd. (2/26-3/2) '
i';-;..--•
Nov. 29, 1961 ("Reg. A") 76,500 common. Price—$3.75.
Business—Purchase of cultured pearls in Japan sand
•their distribution in the U. S. Proceeds-^For general

appliances,

■

Loeb,Rhoades & Co,, Inc.,

geles. Underwriter-4-Carl M..

Co.

Broadway, N. Y.

—1441

1962

Thursday, January 18,

purposes.

York.

New

29,

N. Y.

(1/22-26)
Dec. 28, 1961 filed $35,000,000 of sinking fund debentures
due 1987. Price—By amendment. Business—Retail sale
of popular priced merchandise for individuals and the
home. Proceeds—For general corporate purposes. Office
<W. T.)

Grant

Price—$2.

1961 filed 200,000 capital shares/Price — By
amendment. Business—Production of television cartoons
and commercials. Proceeds — For a new building and
working capital. Office—3501 Cahuega Blvd.* Los An¬
Dec.

S. C. Under¬

agent. Address—Graniteville,
writer—Shearson, Hammill & Co., N. Y.
commission

N. Y.

Hanna-Barbara Productions, Inc.

Dec. 15, 1961 filed
—For

porate

Proceeds—
For inventory, equipment, advertising and leasehold im¬
provements. Office—350 Seventh Ave., N.. Y. Under¬

Office—291 Third Ave.. N. Y.

—Philips, Rosen and Appel, N. Y.

ment.

etc. Proceeds—For general cor¬
Office — 2717-25 "White Plains Rd.,
Bronx, N. Y. Underwriter—Richard Bruce & Co., Inc.

household

Corp.

Dec. 18, 1961
("Reg. A") 150,000 common.
Business—Rental of furs and fur garments.

supplies. Proceeds—For the operation of a subsidiary,
new product development, equipment and other corpo¬

•

Business—Company owns and operates three discount
stores in the Bronx selling bicycles, electric trains, toys,

insurance. Proceeds—To increase capi¬
S. Perry St., Montgomery,

surplus. Office—25
Underwriter—None.

and

tal

Inc.

Industries,

Grafco

(386)

control

systems. Proceeds

—

For selling

stockholders. Office—10131 National Blvd., Los Angeles.
Underwriter—None.
Inland

Underground Facilities, Inc.

7, 1961 filed 100,000 common. Price —
ness—Mining of limestone and the operation

Dec.

$10; Busi¬
of under¬

ground freezer and dry warehousing facilities. Proceeds
—For debt repayment, equipment and other corporate
purposes.

Office—6500 Inland Dr., Kansas City, Kafisas.

Underwriter—Scherck, Richter Co., St. Louis.

Inpak Systems, Inc. (1/29-2/2 )
1961 filed 90,000 common'.- Price—$4.25.v Busi¬
ness—Designs,
develops, sells
and leases automatic
Oct. 25,

packaging machines. Proceeds—For debt repayment
and general corporate purposes. Office—441 Lexington
-Ave., N. Y. Underwriters—Stearns & Co. and Joseph
Nadler & Co., N. Y.

Volume

International

•
.

Number 6126

1951

Airport Hotel

The Commercial and Financial Chronicle

Inc.

Systems,

Jan.

Unaerwriter

V'-;//,/
4, 1962 filed $1,700,000 of convertible subordinated

goffered

1977

due

debentures

in units of

Price—By

and
one

amendment.

„;■■ For

1961

•

filed 300,000

braided

and

Rd., Baltimore.
Redpath, Wash¬

Office—800
To

Kiddie

elastics. Proceeds—For

debt

general

corporate

St.,
Co., Denver.

Denver.

St., Miami Beach, Fla. Underwriter—.
(a newly-formed subsidiary).
^

Nov. 3, 1961 filed 155,000
common, of which 45,000 are
to be offered by the
company and 110,000 by stockhold¬
ers.
Price—By amendment.
Business—A commercial
printer.
Proceeds—For a new plant, moving expenses

Underwriter—Amos

purposes.

and

equipment. Office—2400 E. Huntingdon St., Phila¬
delphia. Underwriter—Harrison & Co., Philadelphia,

• Leighton Mobile Homes, Inc.
11, 1962 50,000 class A shares. Price

Rides, Inc.

Jan.

ness

and

Sale of mobile homes and

—

30,000 common to be of¬
fered in units of $1,000 debentures and 30 of common.

property for lease to

Price—By amendment. Business—The operation of coin/-

repay-:

119

71st

named

Lehigh Press, Inc.

and

nated debentures due .1971

ment. Business—Production and sale of extruded runber >

thread

Parker

Sept. 12, 1961 filed $1,000,000 of 7% convertible subordi¬

Price—By amend-

common.

debt

C. Sudler &

International Stretch Products Inc.

27,

./•/;-"/

repayment
Office—4970 Jackson

Atlanta./;; .////
Nov.

Franklintown

Keeko, Inc.
Dec. 1, 1961 ("Reg. A") 100,000 common. Price—$3. Busi¬
ness—Company plans to establish service stations and
vending machine outlets ,in the Denver area. Proceeds—

and

Establishment

—

operation of hotels located in/or near airports. Proceeds
—For debt repayment and working capital. Address—
Miami International Airport, Miami/Fla. Underwriters
y—Bache & Co., N. Y. and Robinson-Humphrey Co., Inc.,

Auchincloss,

—

ington, D. C.

170,000 common shares to be
$100 debenture and 10 shares.

Business

Office—241

purposes.

(3/12-16)

(387)

$5. Busi¬
development of real
—

fice—Route 25

For debt

owners

of mobile homes. Proceeds—

repayment, expansion, and working capital. Of-

Lake Grove, Brookhaven, L. I. N. Y, Un«
children's amusement ' equipment. Proceeds—
derwriter—George M. Curtis Co., N. Y.
son Ave., N. Y.
Underwriter — Burnham & Co., N. Y.
For repayment of loans, equipment and general corpo-5.
/ Lembo Corp. /';// v//;//
Offering—Expected in early February.
rate purposes. Office—2557 W. North Ave., Chicago. Un-4y
(
Dec. 21, 1961 filed 100,000 common.
• Interstate Hosts/ Inc.
Price—$3.50. Busi¬
derwriter—Paul C. Kimball & Co., Chicago. Offerings(1/23-25)
' '0+ */ ,,
ness—Manufactures steel re-inforced concrete utilities,
'
*
'
1
4
'
'Oct. 2, 1961 filed $2,550,000 of con. subord. debentures " Imminent.
\
/'
■
sanitary structures, fallout shelters and play sculptures.
due .1981 to; be offered for subscription by stockholders
/■" Kin© Camera Co..Inc.
/
Proceeds—For debt
repayment, sales promotion and
on
the basis of $100 of debentures for" each 33 shares /' Nov.
21, 1961 filed 75,000 common. Price—$5. Business/
working capital. Office—145 W. 11th St., Huntington //
held. Price—At par. Business—The operation of restau¬
—Importing and distribution of cameras, binoculars and
Station, L. I., N. Y. Underwriter—Blank, Lieberman &
rants, other food establishments and gift shops. Pro¬
photographic equipment. Proceeds—For debt repayment
Co., Inc., N. Y.
ceeds—For expansion. Office—11255 W. Olympic Blvd.,
and working capital.
Office—889 Broadway, N. Y. UnLeslie (Joyce), Inc.
Los Angeles. ;Underwriters--^Glore/F6rgari & Co., N. Y.
(1/29-2/2)
derwriter—Under hill Securities Corp., N. Y,
Offering
Sept. 28, 1961 filed 100,000 common. Price—$5.50. Busi¬
and H. M. Bylleshy & Co.; Inc., Chicago;
'
—Expected in February.
ness—Retailing of women's apparel. Proceeds—For ex¬
+ Interstate Vending Co.
King Louie Bowling Corp. (1/29-2/2)
pansion, inventories and working capital. Office—850
Jan. 10, ,1962* filed 53,829. common. PriceByamendSept. 27, 1961 filed 325,000 commbn. Price—$3. Business
Flatbush Ave., Brooklyn.
Underwriter—Seymour, Ber¬
'ttient. Business—Sale of products through coin-opeirated
—Operates a chain of bowling centers. Proceeds—Repay
nard & DuBoff, Inc., N. Y.
vending' machines, and operation of industrial catering
debt
and
for
other corporate
purposes.
Office—8788
Lido Corp.
facilities in the' New England area and Brass Rail res¬
(1/29-2/2)
Metcalfe Rd., Overland Park, Kan. Underwriter—George
taurants in New York City. Proceeds—For selling stock¬
Aug. 20, 1961 ("Reg. A") 84,000 common. Price—$3.25.
K. Baum & Co., Kansas City, Mo.
holders. Office—251 East Grand Ave., Chicago. UnderBusiness—The manufacture of toys, games and novelties.
:: 9 Knickerbocker Toy Co., Inc^ (1726)
Proceeds—For new equipment, advertising, and
writer—Bear, ■ Stearns''& Co,', N. Y/ *
*
' • - ; w
'"
repay¬
Sept. 27/ 1^61 filed 100,000 cpmmon. Price—By amend¬
ment of loans. Office—349 Rider
Inter world Film Distributors, Inc. (1/29^2/2)
Ave., Bronx 51/ N. Y.
ment. Business—-Design and manufacture of toys. Pro¬
Underwriter
Flomenhaft, Seidler & Co., Inc., N. Y.
Sept. 29, 1961 filed 106,250 Common. Price-^-$4; Business
ceeds—For
working capital.
Office—401
Butler
St.,
• Lincoln
/Theatrical distribution and co-prOductidh of foreign
Fund, Inc. (2/26-3/2)
Brooklyn, N. Y. Underwriters — Netherlands Securities
March 30, 1961 filed 951,799 shares of common stock
and domestic feature films.. Proceeds—For acquisition,
ment and

general corporate purposes. Office—148 Madi¬

operated

i;;//p/v;,:''/:r/.//■•/:/.■

■'

•

—

Co., Inc., ahd Herbert Young & Co., Inc., N. Y.

co-production, dubbing, adaptation and distribution of
films, and working capital. Office—1776 B'way, N. Y.
Underwriters—General Securities Co., Inc., and S. Kas'dari & Co.,. Inc., N. Y.«
-

Dec. 8, 1961

Oct,

30,

1961

Business—Wholesale

distribution of optical

expansion

and

working

capital.

N. Park Ave., Rockville Centre; N.• Y.

Stan-Bee
•

(The)

Oct.

19,

holding company for three subsidiaries in the wall
floor coating business. Proceeds—For product de¬
advertising, and working capital. Office—
26-32 Second St., Long Island
City, N. Y. Underwriter—
Globus, Inc. Offerhig—Expected in late March.

goods. Pro¬
Office—64

Kollmorgen Corp.

Broad St., N.

cdthtyar^.'TOffice—25%

Y. Proceeds—For investment in Japanese

nam

securities. Underwriters—Bache & Co., and

Paine, Web/ber, Jackson & Curtis, N. Yy arid t Nikko Securities Co.,

'Ltd., Tokyo/Japan.

Dec.

•

—A

•

Jayark Films Corp.
Aug. 24, 1961 filed 72,000 common, of which 50,000 are
to be offered by the company and 22,000 w stockholdeis.
rrice—By amendment; Business—The 'distribution
of

Krylon, Inc.
Nov.

Japlts Industries,■ Inc. (2/19-23) //// '0 /Z/Z/fZ
Dec. 18. 1961 filed $850,000 of 6V2,% sUborL. debentures

1S71

fered
'

•

dividers, folding doors, etc. Proceeds—For debt repay¬
and general corporate purposes. Office—514 W.
-Olympic Blvd., Los Angeles; Underwriter—Di E. Liederman & Co., Imy N. Y.
*
■.
'
C
ment

;

JoarretI

Laboratories, Inc.

ers.

Price —By amendment. Business

Development of
for; U; S. Armed
i Forces rincl the manufacture rif electronic cohtroL equip¬
ment. Proceeds—For general corporate purposes. Office
•simulated

weapons

Drug Co.,

vertising,

—

Stocker

training' devices

Co., N. Y.

due

28,

Co.,

San
.

•'

Francisco.
-V-

•

■:

due

1977.

(with

attached

1987

outstanding

,/;/'■■//

f. subord. debentures
warrants). Price—At par.

hill

Rd.,

Beverly
and

—Expected
•

Kann-Ellert Electronics, Inc.
Oct. 24. 1961 filed 108,000 common.

Dec.

1961

filed

166,667

of vertical

Price—By amend¬
ment. Business—Importing of low priced ladies' scarfs
and blouses. Proceeds—For debt repayment and working
capital. Office—2529 Washington Blvd., Baltimore. Un¬
derwriters—Godfrey, Hamilton, Taylor & Co., N. Y.

Price—$6.50. Business—Wholesaling of electronic parts and components
and equipment. Proceeds—For debt
repayment and gen¬

/ and Penzell &

common.

Clark, Dodge & Co., Inc., N. Y. Offering
time in late March.
; /
/
n

Devices, Inc.

manufacture

common.

(1/29-2/2) /

Price—$5. Business

pool filters and

accessories

and

Lowell

Toy Manufacturing Corp.
27, 1961 filed 120,000 common, of which 100,000 are
by the company and 20,000 by the stock- Z
holders. Price—$5. Business—Design, manufacture and :
sale of toys and games. Proceeds—For
equipment, ad¬
vertising and working capital. Office—1074 Brook Ave.,

Dec.
to

be offered

N. Y. Underwriters—H. M. Frumkes & Co. and Batchker.
Eaton & Co., N. Y.

Lunar Enterprises, Inc. (2/5-9)
Aug. 31, 1961 filed 125,000 common. Price—$5.75. Busi¬
ness—The production of television films/ Proceeds—For

filming

and production and working capital. Offiee—
Broadway, N. Y. Underwriter—Ehrlich, Irwin &
Co., Inc., 50 Broadway, N. Y.?

Co., Miami Beach. Offering—In March.

1501

Offering—Expected sometime in February. .-•/,
_

Lehigh Industries & Investing Corp.
MRM Co., Inc.
29r 1961 filed 2,000,000 class A common. Price—By
Nov. 29, 1961 ("Reg. A") 150,000 common. Price—$2.
shares, • of > amendment ($4 est.). Business—A holding company for
which 44,000 are to be offered by the
//three subsidiaries
which operate utilities, engage in
company and 44,000
Business—Design and manufacture of automatic filling
./ by stockholders. Price—$7. Business—Packing and sale
construction, and distribute electronic parts. Proceeds—
•//of fruit juice products. Proceeds—For general corporate -For debt'repayment; construction, and working capital. /
;
/
v
Continued on ptage 120
■

r.y -v

Kay Foods Corp. /y;;/

Dec.

29,

1961

filed

88,000

..rZ

class

/*;?.:

y•/

common

'7-,/./ V

•/ Dec.
'

<•

..7

■

■:/? u" .<•'

/ •'

•'

■'

tools, dies, metal stampings, etc. Proceeds—For moving
expenses, purchase of equipment, promotion of a new
product and working capital. Office—199 Bleecker Stf
Brooklyn, N. Y. Underwriter—None.

Fashions, Inc.

27,

some

Lomart Perfected

—The

Lee

into

working capital. Offiee—336 Foot¬
Hills, Calif. Underwriters—Lehman

Sept. 14, 1961 filed 100,000

—

convertible

the

Brothers

equipment manufactured by a subsidiary. Proceeds—
For selling stockholders.
Office—2943 Vail Ave., Los
Angeles. Underwriter—Crowell, Weeden & Co., Los
Angeles.
/ /

.Underwriter—Godfrey Hamilton, Taylor & Co., Inc., N. Y.

eral corporate purposes. Office — 2050 Rockrose
Ave.,
Baltimore. Underwriter—Rubin, Rennert & Co.,
Inc., N.Y.

and sale

subscription by holders
securities

debt repayment and

turbine pumps and the sale of a domestic water system

Sept. 28/1961 filed 110,000 common. Price—By amendment. Business—Manufacture and sale of
greeting cards.
Proceeds—For repayment of loans, expansion and work¬
ing capital.
Office—106-11
157th St., Jamaica,/N. Y.

shares. Price

amendment. Business—Manufacture

for

and

10 shares held.

/ / Layne & Bowler Pump Co. •
Dec.; 22, 1961 filed 108,666 capital

V'7 /•'Z
4
tr '

offered

common

basis of $100 of debentures for each
Price—By amendment. Business—Manufacture of electronic systems and components, business
machines, commercial electronic equipment, nuclearpowered submarines and other vessels. Proceeds—For
common

•

children's

Ross, Inc. and Samson, Graber & Co., Inc., N. Y. /

Greeting Card Co., Inc.v (1/25-26)

:*ment

Jorn's

sale

Littlefield, Adams & Co. ■-/'/>

Dec.

Inc. -(2/5-9)

JohnsoifElecironics/tric.
"
v.: y
Business—Manufacture of gas and electric water heaters,
SepL; 8,-; 1961 Hied 1^5,000'capital shares.; Prlce-^-By'
pluming fixtures,/water softeners; sugar cane agricul¬
amendment; Business-^The design arid prbductiori of*
tural equipment; aluminum doors, storm windows and
special electronic ^comporients/ for the commercial and
related aluminum products. Proceeds—For debt repay; military market.;
Proceedsy^For dihe fepaymfeht of debt, / ment, plant expansion and working capital. Office—500
and working capital.. Address—Box 7,
Casselberry, Fla. / Edward Lamb Bldg., Toledo. Underwriter—Blair & Co.,
; Underwriter^-T-Wamer, Jennings.H Maridel &- Lorigstretiy
N. Y.
/:
Philadelphia;.Offering-^mnairient. '
: *',

•

and

For debt repayment and working
W. 34th St., N. Y. Underwriters-

—

Office—112

working capital. Office — 2701
Angeles. Underwriter—Pacific Coast

Los

'■

•

"/Jdmiar Plastics, lnc.
///Z*'"/7/"
See Ripley Industries, Inc., below. . "
" "
" ;
"

Manufacture

—

Glass &

„

Office—232

capital.

purposes.

leases, and

St.,

•Securities
/•

Dorsa

Business

clothing. Proceeds

/Sept. 29, 1961 ("Reg. A") 100,000 capital shares. Price—
$2.50/ Proceeds—For debt repayment, equipment, ad¬

Price—By amend¬

of aerosol

Lamb Industries, Inc.
:
Ave.,- Livingston/N.. J. Underwriter—Sea/Dec. 28,1961 filed $2,200,000 of
rignt, Ahalt & O'Connor. Inc., N. Y;;.
^
ZyZ

.—102

corporate

Dec. 21, 1361 filed 114,500 comriion, of which 82,500 are
to be offered by the company and 32,000 by stockhold¬

ment.

common.

Manufacture

—

general

Ave., Highland Park, N. J. Underwriter—
Godfrey, Hamilton, Taylor & Co., Inc., N. Y.
Little Ruffy Togs, Inc.
Nov. 29, 1961 filed 165,000 common. Price—By amend¬

;
1961 filed 150,000 common. Price—By amend($5 maximum). Business—Publication and sale of
July 26, 1961 filed 100,000 common shares. Price—$4.50. / paperback school books/ manufacture of stuffed novel- /
Business —- The manufacture of pharmaceuticals. Pro¬
ties, college pennants, etc.; and distribution of medical,
ceeds—For repayment of a loan, purchase of equipment,
nursing and law books. Proceeds—For debt repayment /
research
and
and working capital. Office—128 Oliver
development, advertising and working
St., Paterson, /
/capital. Office—1 Bala Ave., Bala-Cynwyd, Pa. Under¬
N. J. Underwriter—Andresen &
Co., N. Y. ; ////;/
writer—Stevens Investment Co., Bala-Cynwyd, Pa.
• Litton
Industries, Inc.
;
Jan. 8, 1962 filed $50,748,100 of conv. subord. debentures
Laboratory Procedures, Inc. (1/29-2/2)

and

units

Proceeds—For
Cleveland

(1/29-2/2)

15, 1961 filed 250,000
Business

(2/26-3/2)

1961 filed 120,000 common. Price—$3. Business
—Development and manufacture of equipment and sys¬
tems for the photographic
data processing industry.

Homes, Inc.

derwriter—Eastman Dillon, Union Securities &

212,500 class A common shades to be of¬
of one $100 debenture anu 25 class A
shares.
Price—$200. Business—Manufactures patented
traversing screens for use as window coverings, room

cue

Lithoid, Inc.
Nov. 22,

spray paints,
protective coatings and other aerosol products. Proceeds
i—For selling stockholders. Office—Norristown, Pa. Un¬

•

derwriters—J. C. Bradford & Co., Nashville, Tenn. and
W. L. Lyons &
Co./Louisville, Ky.

14, 1961 filed 200,000 common. Price—$5. Business
holding company in "shell homes" field. Proceeds—

ment.

common. Price — By amend¬
ment. Business—A life insurance
company. Proceeds—
For the selling stockholder.
Office—Louisville/ Ky. Un¬

Best & Garey & Co., Inc., Washington, D. C. Offering—
Expected sometime in March,

motion

income

Oct. 31, 1961 filed 45,000

For debt repayment and general corporate purposes. Of¬
fice—126
W.
Broadway, Girard, Ohio. Underwriter—

picture and television films. Proceeds—For
production of films and working capital. Office—15 E.
48th St., N. Y. Underwriter—Pacific Coast Securities Co.,
.San- Francisco-. Offering—.Expected in March.
*
'i
■

capital appreciation and, secondary,

Lincoln Income Life Insurance Co.

(1/29-2/2)

Co., Hartford.

Kraft Planned

Distributor—Horizon Management Corp., New York.

sold

—

derived from the sale of put and call
options. Proceeds—
For investment. Office—300 Main
St., New Britain, Conn.

1961 filed 100,000 common, of whicn 40,000 are
by the company and 60,000 by stockholders.
Price—-By amendment. Business—Manufacture of op¬
tical equipment. Proceeds—For debt repayment. Office
—347 King St., Northampton, Mass.
Underwriter—Put¬
to be

Japan Fund, Inc. (2/19-23)7
/
1961 filed 2,000,000fcommon.; Price— $12.50.

"Business—A diversified investhidnt

jective

Nov. 9,

selling commission.

non-diversified, open-end, managementtype investment company whose primary investment ob¬

Price—$1. Business

common.

velopment,

Underwriter—

Co>,. Washington,

filed 100,000

and

Inc/ (2/13-16)
("Reg. A") 75,000. common. " Price-—$2.

Net asset value plus a 7%

—

Business

—A

Jackson Optical,

ceeds—For

Price

Kogel, Inc.

■

•••

•.

k'':4

■>-

■

•

■

120

Continued

from page

working capital. Office—111 South 15th St.,
Underwriter—Kidder, Peabody & Co., N.

119

N. J.

Proceeds—For debt re¬
payment and working capital. Office— 191 Berry St.,
Brooklyn, N. Y. Underwriter—A. J< Gabriel Co., N. Y.
machines and related equipment.

filed $4,000,000 of conv. subord. debentures
due
1977;
also-150,000: common
shares.
Price—By
amendment.
Business—Construction and sale of homes.
Proceeds—For debt repayment and general corporate

"j a6u,uu0 common shares (par one
Business—The distribution of health,

ricg. A

Price—S2.

cent).

Proceeds—For re¬
products, sales pro¬
motion and advertising, plant removal and working cap¬
ital. Office—189 Lexington Ave., N. Y. 16, N. Y. Under¬
writer—Continental Bond & Share Corp., Maplewood, N.J.
slenderizing equipment.

exercise and

ol loans, equipment,

payment

•

Macoid

Industries,

new

of which 100,000
are
200,000 by stock¬
holders. Price—$5. Business—Molding of plastic prod¬
ucts for the automobile, electrical utility and telephone
industries.
Proceeds—For
working capital.
Office—
12340 Cloverdaie. Detroit
Underwriter—Charles Plohn
& Co., N, Y. Offering—Imminent.
Inc.
Dec. 29, 1961 filed 75,000 common.
Fingers,

Magic

—Production

new

Price—$4. Business

electrically powered device for

in bed. Proceeds—For general cor¬
porate purposes. Office—Route 17, Rochelle Park, N. J.
Underwriter—Stanley R. Ketcham & Co., Inc., N. Y.
messaging

•

Laboratories,

Matin Research

Inc.

Proceeds—For new

pharmaceuticals.

quarters, equip¬

inventories and working capital.

ment, a laboratory

Co., N. Y. Offering—Imminent.

Manufacture of waste

water filters and filtering

Proceeds — For debt repayment an'd working
capital. Office—610 W. 18th St., Hialeah, Fla. Under¬
writers—Terrio & Co., Inc., Washington, D. C.
,

•

Markite Corp.

(1/29-2/2)

filed

1961

26,

100,000

Price—By amend¬

precision electromechanical devices. Proceeds—
repayment and working capital.
Office—155

sale of

•

Marks

June

Polarized

E. Unterberg,

Underwriter—C.

Waverly Place, N. Y.
Towbin Co., N. Y.

19, 1961 ("Reg. A") 150,000 common. Price—$1.
Business—Engineering, design, development, repair and
manufacture of mechanical, electronic parts and rniscellaneous commercial products for automotive and aircraft
industries and missile projects. Proceeds — For general

corporate purposes. Office—9150 Highway 85, Henderson,
Colo. Underwriter—Insurance Stocks, Inc., Denver.

Corp.

(2/5-9)

facilities and other corporate purposes.

Office—15316 Tenth Ave., Whitestone. N. Y. Underwriters—Ross,
Lyon & Co., Inc. (mgr.), Glass & Ross, Inc., and Globus,
Inc., N. Y. C.
new

•

Marlene

Industries

Corp.

Aug. 29, 1961 filed 225,000 common, of which 150.000 are
to be offered by the company and 75,000 by stockholders.
Price—$7. Business—The manufacture of ladies' wear.
Proceeds—For working capital. Office—141
N.Y.C. Underwriter—Bernard M.Kahn&Co.,

W. 36th St.,
Inc., N.Y.C.

Offering—Imminent.
Zvv

Marquette Capital Co.

Dec.

1961

filed

250.000

Business—A

ment.

Proceeds—For
South

small

general

Seventh

St.,

Price—By

corporate

purposes.

Minneapolis,

Minn.

amend¬

company.

Office—91

Underwriter—

None.
•

Marshall

Nov.

Electronics

Co.

("Reg. A")

1961

common.

Price

—

Business—Manufacture of rectifiers, regulators, thermo¬

couple tubes, and thyratrons. Proceeds—For expansion,
research and development, and working capital. Office
—54 Summer

Ave., Newark, N. J. Underwriter—Richard

Bruce & Co., Inc.. N. Y.
•

Maryland Cup Corp.
28, 1961 filed 240.000

ment.

matches,

etc.

Proceeds—For

selling stockholders.
Address—Owings
Mills,
Md.
Underwriter—Lehman
Brothers, N. Y. Offering—Expected in February.

Masury-Young Co.
Dec. 4, 1961 filed

Manufactures

100,000

commercial

products.

nance

equipment,
Roland

Proceeds

and

other

and
—

Price—$6. Business—

industrial

For

corporate

floor

repayment
purposes.

mainte¬

debt,

Office—76

St., Boston. Underwriter—Townsend, Dabney &
Boston.
- •
.
..

Tyson,

Mathias
Nov.

common.

30,

(A.

1961

L.)

filed

Co.

to be offered by

—25

Lee St., Baltimore. Underwriter—Stein
Bros.
Boyce, Baltimore. Offering—Expected in March.

it Maul Bros. Inc.
Jan.

15, ,1962

filed

100,000 common, of which 60,000
by the connpany and 40,000 by share¬
holders. Price—By amendment. Business—Manufacture
of component parts and accessory equipment for ma¬
are

to be offered

chines

used

—For

debt

production of glass containers.- Proceeds
repayment, construction, equipment, and

Smith

Underwriter-^

Brooklyn, N. Y.
\ /<;;Z/:

St.,

Investment Trust Z,

Midwest Medical

Dec.

11, 1961 ("Reg. A"), 15,000 shares of beneficial in¬
terests. Price—$20. Business—A real estate investment
trust which plans
to own interests in medical office
buildings, hospitals, etc. Proceeds—For working capital.
Address—Van West, Ohio. Underwriter—JZ Allen; McMeen & Co., Fort Wayne, Ind.
•
'
/>

Investment Corp.

filed 200,000

Price—$2. Busi¬
in the commercial fi¬
nance and factoring business.
Proceeds—General corpo¬
rate purposes.
Office—1730 K St., N. W., Washington,
D. C.
Underwriter—Affiliated Underwriters, Inc.
1961

16,

ness—Company plans to

common.

engage

Milgray Electronics, Inc. (2/5-9
Sept.- 26, 1961 filed 166,667 common.. Price—By amend¬
ment. Business—Wholesaler and distributor of electronic

of men's

Medical Fund, Inc.

Price—$10.

1961 filed 2,000,000 capital shares.

Oct. 26,

investment

firms

modern

serving

York, N. Y. Underwriter-rFleetwood Securities Corp. of America, 44 Wall St., N. Y.
Address

medicine.

—

New

Price—$10. Business
which plans to
become
open-end.
Proceeds—For investment in the
medical industry and capital growth situations.
Office
—677 Lafayette St., Denver. Underwriter—Medical As¬
sociates, Inc., Denver.

Oct. 23, 1961 filed 25,000 common.

closed-end

—A

investment

company

Medical Video Corp.
Nov. 13, 1961 filed 250,000 common.

Studio

general

medical

Busi¬

Price—$10,

electronic

corporate

Miller

Co., Inc., N.

equipment.

purposes/

Office—

City, Calif. Underwriter—Financial Equity Corp.,

Los Angeles.

Y.V;/

Brothers Hat

Co., Inc.

18, 1961 filed 126,000 > common, of which 100,000
will be sold by the company and 26,000 by certain stock¬

holders.

Price—By amendment. Business—Manufacture
and boy's hats. Proceeds — For purchase of a
building, plant equipment, and working capital. Address
—2700 Canton St., Dallas. Underwriter—Eppler, Guerin
& Turner, Inc., Dallas.

Milli-Switch Corp.
20, 1961 ("Reg. A") 100,000 capital shares. Price—»

.Dec.

Business—Manufacture of switches and

$3.

tronic components.

Medical Industries Fund, inc./

Proceeds

Office—1400

purposes.

Creek

Mill

Underwriter—Seymour Blauner
•

other elec¬

For general corporate

—

Rd.,

Co., N.

Gladwyne,
Y.

Pa.

Milo

Components, Inc. (1/25) :
("Reg. A") 150,000 class A shares. Price—
Business—Manufacturer of precision metal com¬

Nov. 17, 1961

$1.

ponents, assemblies and sub-assemblies. Proceeds—For
debt
repayment
and
working
capital.
Office—9-11
Cleveland

St., Valley Stream, N. Y. Underwriters—T,
Co., Inc., N. Y. and I. R. E. Investors Corp.,
Levittown, N. Y.
M. Kirsch

Miss Elliette,

Oct.

(2/13-16)

Inc.

1961 filed 100,000 common. Price—By amend¬
ment. Business
Design, manufacture and distribution
of women's dresses. Proceeds—For debt repayment, in¬
ventory and expansion. Office—1919 S. Los Angeles St.,
Los Angeles. Underwriter—F. L. Rossmann & Co., N. Y.
10,

—

Melnor

Industries,

Inc.

(1/29-2/2)

Nov. 15, 1961 filed 152,500 common, of which 52,500 are
to be offered by the company and 100,000 by stock¬
holders.
Price — $11.
Business — Manufacture of/
lawn

and

equipment.
Proceeds—
Office—Moonachie, N. J.
Underwriter—Francis I. duPont & Co., N. Y.
garden

sprinkling

For general corporate purposes.

Metalfab, Inc.

(1/29-2/2)

Oct. 27, 1961 filed $600,000 of 6% s. f. conv. debentures
due 1976 and 100,000 common (of which 20,000 shares
to

offered by the company and

80,000 by stock¬
Price—By amendment.
Business—Manufac¬
tures products and parts of ? the automotive and elec¬

holders).

industries.

trical

working

capital.

Proceeds—For

Office—First

debt

and

and
Beaver

repayment

Elm

Sts.,

Co.,

■

•

Manufacturing Corp. (2/13-16)
18, 1961 filed 100,000 common. Price—$2. Business

—Manufacture

of electronic cases and containers, and
precision sheet metal products. Proceeds—For debt re¬
payment, and other corporate purposes. Office — I'll
Bloomingdale Rd., Hicksville, N. Y. Underwriter—Prank
Karasik & Co., N. Y.
*
'
'
;
.

Meteor

Oct.

31,

Enterprises, Inc.
("Reg. A") 100,000

1961

Business

—

Manufacture

igniters, etc.
eral

Proceeds—For

corporate

North
rence,

purposes.

Price—$3

barbecue

repayment

Office—5356

motors,

and

Riverton

Hollywood, Calif. Underwriter—Kolb
Inc., Las Vegas, Nev.

gen¬

Ave.,

Law¬

due

1967

and

60,000

common

shares to be offered

in units consisting of $100 of debentures and 20 common
shares. Price—$150 per unit. Business—Financing of re¬
tail

sales.

Western
Barueh

Proceeds—For

working

capital. Office—5422

Ave.,
&

—

Production

and

Mitron

Research & Development Corp./
1961 filed 130,000 common. Price—$3. Business
—Research cand development of new products for the

Nov. 21,

electronic

general corporate
Office—899 Main St., Waltham,
Underwriter—Stanley Heller & Co., N. Y.

Mass.

industry.

new

purposes,

Proceeds—For

products.

(1/29-2/2)

Estates, Inc.

June

27, 1961 filed 140,000 common shares. Price—$6.
Proceeds—To purchase land, construct and develop about
250 mobile home sites, form sales agencies and for work¬

ing capital. Office—26 Dalbert, Carteret,
writer—Harry Odzer Co., N. Y.
Mobile

Rentals

Corp.

N. J.

Under¬

(1/29-2/2)

1961 filed 215,000 common, of which 165,000 are
to be offered by the company and 50,000 by a stock¬
holder.
Price—By
amendment.
Business—Sale
and
leasing
ment

of (trailers. Z Proceeds—For expansion, repay¬
debt, and working capital.
Office—8472 S.

Figueroa St., Los Angeles.

Underwriters—Kleiner, Bell

Co., Beverly Hills, Calif, and Hardy & Co., N. Y.,

•

Molecular

are

to be

Dielectrics,} Inc.

filed 150,000 common,, of which 135.000
offered by the company and 15,000 by Cardia

1961

Co.

Price—$5. Business—The manufacture of high-tem¬
electronic and electrical insulation materials.
equipment, a new product and working
capital. Office—101 Clifton Blvd., Clifton, N. J. Under¬
perature

Proceeds—For

writers—Street & Co.. Inc. and Irving Weis & Co.. N. Y.

Metropolitan Acceptance Corp.
"
Oct. 2, 1961 filed $300,000 of 6% subordinated convert¬
ibles

300,000 common. Price — $1.
sale of new type butterfly
valve. Proceeds—For purchase of the patent and pro¬
duction and development of the valve.
Office — 5909
Hollywood Blvd., Hollywood, Calif. Underwriter—Pre¬
ferred Securities, Inc., Phoenix,
y
Z
Z
Business

Sept.
common.

electric

debt

Corp.

24, 1961r ("Reg. A")

Oct. 13,

Metatronics

Oct.

Missile Valve
Nov.

Mobile

Metallurgical International, Inc. (1/29-2/2)
Sept. 26, 1961 filed 145,000 class A. Price—$3. Business
—Reprocessing and manufacturing of rare refractory
metals. Proceeds—Repay debt, taxes, purchase equip¬
ment, and working capital. Office—174 Main Ave., Well¬
ington, N. J. Underwriter—Mortimer B. Burnside & Co.,

200,000

common, of which 125,000
the company and 75,000 by a selling
stockholder. Price—By amendment. Business—Operates
private cafeterias and public restaurants. Proceeds—For
debt repayment and general corporate purposes. Office
are

/ /.•"•''/

Price—By amendment/ Business—Retail sale of furr
niture, major appliances, bedding, etc., through a chain
of four stores. Proceeds—For construction of a new store.

derwriter—Globus, Inc., N. Y. Offering—In February.

common.

Business—Manufacture

book

Price—By amend¬
paper
cups,
straws,

•

(2/26-3/2^;

Dec.

N. Y.

Dec.

Co., Inc., Miami, Fla. '

(J.), Inc.

ers.

supplies. Proceeds
construction, inventory, research and working cap¬
ital. Office—1488 Grandview Ave.. Columbus. Ohio. Un¬

—For

Dam, Wis. Underwriters—Cruttenden, Podesta &
Chicago and Splaine & Frederic, Inc., Milwaukee.

(1/22-26)

100,000

be offered

Marron &

are

common.

business investment

repay^

20, 1961 filed 103,060 common, of which 20,600 are
by the company and 82,400 by stockhold¬

Dec.

Sept. 27, 1961 filed 110,000 common. Price—By amend¬
ment.
Business—Development and manufacture of* a

Proceeds—For

27, 1961 filed 95,000 common shares. Price — By
Proceeds — For expansion, acquisition of

;

customers by

parts. Office—136 Liberty St., N. Y. Underwriter—D. B.

Inc.

ness—Manufacture

amendment.

Stewart

Michaels

Midwestern

Dec.

Medex,

;

Price—$3. Busi¬
to

ment, leasehold improvements and working capital. Of¬
fice—7750 N. W. 7th Ave., Miami, Fla: Underwriter—E.

Oct.

Inc.

Industries,

Mech-Tron

debt

For

•

common.

Business—Development, design, manufacture and

ment.

and working
Underwriter-

expansion and diversification,
Office—230 Park Ave., N. Y.
Goldman, Sachs & Co.

Inc.

information

using data processing equipment/Proceeds—Debt

convertible subordinated

to be offered for subscrip¬
tion by common stockholders, at the irate of $100 of
debentures for each 13 shares: held. ;Price—JBy amend¬
ment. Business — Magazine publishing. Proceeds — For
capital.

statistical

L. F. Rothschild & Co.. N. Y.

debentures due Feb. 1, 1992,

systems.

Oct.

1, 1961 filed $9,983,000 of

Dec.

■

2, 1962 ("Reg. A") 70,000 common.

Office—182

(1/29- 2/2)

Corp.

Proceeds—For

A") 55,000 common. Pirce—$4. Busi¬

Nov. 14,1961 ("Reg.
ness—

McCall

Business—A closed-end diversified investment company.

(1/29-2/2)

Design & Mfg. Corp.

Marie

Mass. Un¬

UtaL Office—525 Hyde Park Ave., Roslindale,
derwriter—McDonnell & Co., Inc., N. Y.

Of¬

St., N. Y. Underwriter—L. D. Sherman

fice—136 Liberty

100,000

limited line of hospital and surgical

("Reg. A") 100,000 common. Price—$3.
Business—Sale of scientifically tested biochemicals and
1961

21,

Sept.

are

Jan.

100,000

1961

stockholders. Price—By amendment. Busi¬
ness—Operation of
self-service discount department
stores. Proceeds—For debt repayment and working cap-

person

26,

Underwriter—Eisele &

Processing Center,

Data

ness—Furnishes

Inc. (1/29-2/2)
filed 2uu,uuu common, of which
to be offered by the company and

Maxam,
Oct.

/possible

Inc.

1961 filed 3UU.U00 common,
to be offered by the company and
28,

Sept.

equipment. Office

and purchase of

Miami

;

Ave., N. Y. Underwriter—Eastman Dillon,
Union Securities & Co., N. Y.
•
■'
////.;
•/'

Inc.

MacLevy Associates,

July zu, lt*ol

(1/29-2/2)

Corp.

Thursday,^January 18, 1962

King, Libaire, Stout & Co., N. Y.*

•

Fifth

—530

1961 filed 25u,uuu common. Price—By amend¬
of bituminous coal.. Proceeds

13,

N._Y, and

Angeles. Offering—

Mitchum, Jones & Templeton, Los
Expected sometime in February.
V
•

Coke

St., N. W., Washington, D.i C.

Millville,

ment.- Business—Mining

Paramount,

Office—7844 E. Rosecrans Ave.,

Underwriters—Kidder, Peabody & Co.,

Calif.

Nov.

Coal

Maust

—For debt repayment

Macco Realty Co." /
Dec. 21, 1961

purposes.

Financial Chronicle

The Commercial and

(388)

Wlrt'W^

UJWfl WS ttWJl. i

Chevy Chase, Md. Underwriter — R.:
Co., Washington, D. C. Offering—In Feb.
/
,

Offering—Sometime in late February.
Molecular

Systems

Corp.

Dec.

12, 1961 filed 140,000 common. Price—$3. Business
-—Production
of
polyethylene
materials
of
varying
grades. Proceeds — For equipment, research and de¬
velopment and working capital. Office — 420 Bergen

Blvd., Palisades Park, N. J. Underwriters—Stone, Acker& Co., Inc., (mgr.) and Heritage Equity Corp., N. Y.

man

Metropolitan Realty Trust
Morse Electro Products Corp. ..
Dec. 20, 1961 filed 1,000,000 shares of beneficial interest.
Dec. 29, 1961 filed $1,250,000 of 6%% convertible subPrice—$6.50. Business—A real estate investment trust., ^ ordin^t,ed . debentures due March,. 1977. Price, — At par.
Proceeds—For general corporate purposes. Office—1700- "Business—Operates retail stores selling sewing machines

Volume

195

Number

and vacuum5 cleaners. Proceeds
For .expansion arid
working capital.- Office—122 W: 26th St., N. Y. Under¬

•

Corp., N. Y.

Industries, Inc.. (1/29-2/2)
Oct. 30, 1961 filed 120,000 class A shares. Price

•
Originate Inc. (1/29-2/2)
Aug. 29, 1961 filed 150,U00 common. Price—$9.25. Busi¬

ness—The manufacture of women's coats. Proceeds—For

Nebraska Boiler

■/

Motor Parts

-Dec.

29,

Co., Inc.
.
.
$400,000 of first mortgage sinking
1977 (with warrants) and 15,000 shares

1961

filed

the selling stockholders. Office—512 Seventh Ave,,

►'

fund bonds due
By
of 6% series A convertible preferred (par $10). Price—
amendment. Business—Distribution of automobile parts.*
At par. Business-v-Design and manufacture of steam and
Proceeds
For debt, repayment and working capital.
Office—900-908 S. Oyster Bay Rd., Hicksville, N. Y. TJn-: >hot water boilers. Proceeds—For construction and debt
derwriter—Street & Co., Inc., N. Y. 1/! 7"-7;7 ry\ '.J;/77:77''7 / repayment. Office—235 N. 9th St.-; Lincoln, Nebr. Under—

—

• Mountain Electronics Co., Inc.

•

Price—$3.50. Business
distribution of-radios, television sets and

other electronic products and parts. Proceeds—for debt
repayment and working capital, Office—708 Bigley Ave.,

Charleston* W.. ;Va.^Underwriters—Maltz, Greenwald
Co,. N.' Y. abd Clayton* Securities Corp.; Boston. . '

writer—A. C. MacPherson & Co., Toronto.

;

•
.

Corp.
("Reg. A") $300,000 of 6V2 % convertible
debentures, due 1971, Price—At par. Business

World

13,

1961

•

Capital Acceptance /Corp. / (1/22-26)
Oct. 20, 1961 ("Reg, A") 150,000 class A common. Price

■

—$2. Business—Purchase of second trust notes and other

Plastics Corp

and

Price

hair

Office

ers.

Inc., N.Y.

.piroceieds-^Fpr debt repayment, store ex-/
capitpl^ Addres3 — Portage, Pa.

Proceeds—For

agency.

general

corporate purposes. .Office—4539 Ponce de Leon Blvd.,

Miami, Fla;
Note—The

Underwriter-^Armstrong & Co., Inc.. N. Y7
SEC

has

issued

order

temporarily

Real

—

291

Underwriter

offered

ment, expansion and working capital.
N. Y. Underwriters—Harry Odzer

Oct.

Business

•

S., and political

P. &

investment.

Note

—

Office

—

135

South

formerly

was

known

H. Tube Corp.

1961 filed 120,000 common (with attached warpurchase 60,000 additional shares) to be offered
shares and one warrant. Price

in units consisting of two

—$12 per unit.
welded
and

Bossier

Business—Manufacture of electric resist¬
tubing./ Proceeds—For debt repay¬

steel

working

capital.

Hamilton Rd.,
d, Weil, LaOrleans and Clark,

Office—413

Underwriters—H o

City, La.

bouisse,
•

w a r

Friedrichs & Co., New
& Kirkpatrick, Inc., Nashville.

Landstreet

Pacific

Big Wheel
Oct. 26, 1961 filed 100,000 common. /Price—By amendment. Business—Sale and installation of automobile ac¬

working capital.
Office—6125 El Cajon Blvd.; San Diego. Underwriter—
N". C. Roberts & Co., Inc., San Diego
7 ;
Proceeds—For expansion and

cessories.

•

Pacific

Nutrient

Chemical

Co.

Sept. 15, 1961 filed 120,000 common. Price—$4. Business
—The manufacture and sale of chemical fertilizers, ani¬

Pro¬

seeds, insecticides, etc. Proceeds—•
equipment, a new plant and working
North Oak and Hazel St.. Burlington.
Wash. Underwriter
Paul Eisenburg & Co., Inc., and
mal

nutrients,

For

Salle

Sponsor—John Nuveen & Co., Chicago.

This fund

For debt repayment,

—

/ rants to

be¬

are

110,055 common. Price—By amend¬
appliance replacement

Oct. 25,

lieved to be exempted from Federal income taxes.

Street, Chicago.

Estate/Investment Trust

subdivisions thereof which

„

expansion and working capital. Office—230 E. 162nd St.,
N. Y. Underwriters—Kahn & Peck, Cohn & Co., N. Y..

Vickers, McPhefson & /Warwick;
'

•

Manufactures

—

parts and accessories. Proceeds

ment

Offering—Ex¬
7'/,
V
*

Manufacturing Co., Inc.

1961 filed

10,

ment.

Price—$5. Business
vitamins, minerals and die¬

Proceeds—For selling stockhold¬
Cienega Blvd., Beverly Hills,

Products

P-G

common.

Office—75 W. St.,

Co., N. Y., and Lench-

ner, Covato & Co., Inc., Pittsburgh, Pa.
pected sometime in February.*
•

•—

ceeds— For

sus¬

pending this proposed offering.
National

sale

Inc.

1961 filed 100,000 common of which 50,000 are to
by/the company and 50,000 by stockholders.
Price—$3.75. Business—Furnishing of statistical infor¬
mation.
Proceeds—For training personnel, new equip¬

(2/13-16)

Tax-Exempt Bond Fund, Series 2
Feb. 23, 1961 filed $10,000,000 (100,000 units) ownership
certificates. Price—To be filed by amendment. Business
—The fund will invest in
interest bearing obligations of
states, counties, municipalities and territories of the

Clearing House, Inc.
A-');.. 75,000 common. Price—$4.

("Reg.

and

Data Processing,

FCS

Nuveen

National Mercantile

collection

-7

Oct. 6,

Products

tary food supplements.

and Working.

1961

Industries, Inc.

17, 1961 filed 1,200,000

■—Distribution

ated. stores.

23,

Inc.

of debt and working capital.
St., Brooklyn. N.-Y Underwriter

Wallabout

minent.

77.

instruments.

electronic

Calif.

Business-rrA

Finance Cos.,*

Office—50

Nutri-Bio Corp.

Oct.

(2/15)

N. Y.;

additional

capital. Office

Tax-Exempt

crop

—

Public

(1/22-26)
Nov. 9,

1961 filed 1,000,000 i common. Price—$15. Busi¬
ness—A real estate investment company.
Proceeds—
For investment.

National

Oct.

Sept. 27, 1961

ness—Operates
ceeds—For

the

filed 337,500 common. Price—$8. Busi¬
a national chain of bowling centers. Pro¬
acquisition of new centers, repayment

of debt and for

working capital. Office—Time and Life
Bldg., N. Y. Underwriter — Berger-Derman, Inc., N. Y.
Note—This registration

was

Fund,

Series 2.

early March.

Tax-Exempt

Offering

—

late

Magnus & Co., Inc., N. Y.

Pacific

Bond

Fund, Series 3
17, 1961 filed $15,300,000 of units representing frac¬
interests

tional

Recreation Corp.

Nuveen

Office—20 Broad St.^ New York City.

Trust

Bond

February

Underwriter—Lee Higginson Corp., N. Y.
•

the

Fund.

Price

—

June

gations
U.

(par 50 cents) to be sold by stockholders. Price—
Business—The manufacture of steel products. Pro¬
the selling stockholder. Office—35124 Alvarado-Niles Road, Union City, Calif. Underwriters—First
California Co., Inc., and Schwabacher & Co., San Fran¬

amendment.

states,

counties

and

municipalities

S., and political subdivisions thereof which

of
are

$6.

ceeds—For

the
be¬

lieved to be exempted from Federal income taxes. Pro¬
ceeds—For investment. Office—Chicago, 111. Sponsor—
John

withdrawn.

Nuveen

cisco

28, 1961 filed 100,000 common. Price—$4. Business
—Design, assembly and manufacture of toys. Proceeds—
For debt repayment and working capital. Office—179-30
93rd Ave., Jamaica, N. Y. Underwriter—Tyche Securi¬
ties, Inc., N. Y.

Rolling Mills Co. (2/13-16)
Oct.
17, 1961 filed
22, 1961 filed 200,000 common, of which 120,000 are
fractional interests in the Fund. Price—By amendment.
by the company and 80,000 by stockhold¬
Business—The Fund will invest in interest-bearing obli-,
ers.
Price—By amendment. Business—Manufacture of 7 gations of states, counties, and municipalities of the U. S.,
steel
suspension systems,
and other
and political subdivisions thereof which are believed
specialized roll
be offered

formed

metal

and other

products.

Proceeds—For

corporate purposes. Office

—

debt

repayment
Morehall Road,

Malvern, Pa. Underwriter^—Drexel & Co., Philadelphia.
.

National Tel-Tronics Corp.

(1/22-26)

Sept. 11, 1961 filed 133,000 common.
w

ing capital and general corporate
Casimer Ave., Yonkers, N. Y.
& Co., Inc., N. Y. (mgr.).

purposes.

Business

Office—52

Underwriter—Frank

Karasik

National
Oct.

Ski

Insurance Corp.

30, 1961 filed 550,000

ment.
ance

Vended

common.
Price—By amend¬
Business—Distribution
of
coin-operated insur¬

vending

machines to

brokers at sporting centers.
inventory, advertising and working capi¬
Lexington Ave., N. Y. Underwriter—
Pacific Coast Securities Co., San Francisco. Offering—
Proceeds—For
tal.

Office—420

Expected sometime in February.
Nationwide

Bowling Corp. (1/29-2/2)
Oct.-19, 1961 filed 100,000 capital shares (with attached
warrants). Price—By amendment. Business—The oper¬
ation of bowling centers. Proceeds—For a realty
acqui¬
sition and working capital.
Office — 11 Commerce St.,

be exempted

For

investment.

Palmetto

from Federal income taxes. Proceeds—

Office—Chicago,

Nuveen & Co., 135 So. La Salle St.,

ness—The growth of timber.
and the possible purchase of

111. Sponsor—John
Chicago.

Business
—The company plans to manufacture scientific marine
instruments and provide consultation services. Proceeds
—For organizational expenses and purchase of equip¬
ment. Office—1515 Norton Bldg., Seattle. Underwriter—
Globus, Inc., N. Y.

Pan-Video

Production

R. J.

.•

•

Heritage

Equity

Corp.,

Proceeds

—

Price—$3. Business-

For

general corporate

Office—200 W. 57th St., N. Y. Underwriter—
Curylo Co., 2166 Broadway, N. Y.

Papekote, Inc. (1/29-2/2)
1961 ("Reg. A") 60,000 common. Price—$5. Busi¬
ness—Development and sale of chemical processes used
in the field of paper coating. Proceeds—For general cor¬
porate purposes. Office—443 W. 15th St., N. Y. Under¬
writer—Edward Lewis Co., Inc., N. Y.
7"

Optech,

—Research, development and fabrication of materials
used
in
optical electronics. Proceeds—For equipment
and
working capital. Office—246 Main St., Chatham,
N. J. Underwriters—Stone, Ackerman & Co., Inc., and

of films.

Dec. 1,

Ltd.,

Inc.
Dec. 26, 1961 filed 160,000 common^ P.riee—$3. Business

Inc.

purposes.

.Toronto.
■7

Productions,

Dec. 15, 1961 filed 100,000 common.

GSympia Mines, Inc. (1/22-26)
Sept. 1, 1961 filed 300.000 capital shares. Price—$1.35
Business—The exploration and development of mines
Proceeds—For mining operations.
Office—44 Court St.,

N. Y.'Underwriter— Gaumont Corp.,

Proceeds—Working capital
a mill. Address—Box 199,

Orangeburg, S. C. Underwriter — Stone & Co. c/o E.
Lowitz & Co., 29 Broadway, N. Y
/777777'/77'"

Oceanic Instruments, Inc.
(1/29-2/2)
Aug. 24, 1961 filed 140,000 common. Price—$1.

Brooklyn,

Pulp & Paper Corp.
1,000,000 common. Price—$3.45, Busi¬

June 28, 1961 filed

•

Price—$3.

—The manufacture of electronic components. Proceeds—
For repayment of'aToan,
expansion, new products, work¬
St.

Inc.

Nov.

Bond

Fund, Series 4
$15,000,000 of units representing

National

(mgr.). Offering—Indefinitely postponed.

Pal-Ptaywell

Co., 135 So. La Salle St., Chicago.

Tax-Exempt

Corp.7777777*H7v//77777'

Steel

States

21, 1961 filed 100,000 outstanding shares of capital

stock

Business—The Fund will invest in interest bearing obli¬

Nov.
to

•

ment. Business—Manufacture of toiletries and cosmetics.

26,

l05,OOQicpmmph;/ Price—$5. Business
^-Operation* of k. cleahirig Jaijd pressing plant and affili¬

Underwriter^Ch^

$3.

—

prepara¬

Corp.
Nov. 29, 1961 filed 78,000 common. Price—$5. Business
—r-Manufacture-'iofcwooden kitchen cabinets and related
appliances. Proceeds — For debt repayment, expansion,
and working capital. Office—201-221 Gpdwin Ave., Paterson, N. J. Underwriter—United Planning Corp., Newark, N. J.
;

Sept. 28,496L14ed

pansioft

7*'

(2/26-3/2)
/ ■ •
/
Nov. 28, 1961 filed 200,000 common. Price—By amend7
ment. Business—A finance company. Proceeds—For ex¬
pansion and debt repayment. Office—6701 N. Broad St., p/;,
Philadelphia. Underwriter—Blair & Co., Inc., N. Y,
• Ozon
products, Inc. 77Sept. 28, 1961 filed 105,000 common. Pirce—By amend¬

ance

capital. Office—8719
Md.
Underwriter—

puardian Investment, Corp./ Washington, D. C.

Atlantic

Northern Wood

National

Equipment

./•

Y., and E. J. Roberts & Co., East Orange, N. J.
Oxford

•

Proceeds—Repayment of
debt, new product development, inventory and working
capital. Office—Terminal Dr., Plainview, N. Y. Under¬
writer—G. A. Saxton & Co., Inc., N. Y.

Bowling Lanes, Inc. (2/5-9)
July 21, 1961 filed 150,000 capital shares. Price—$5.50.
Business—The operation of bowling centers. Proceeds—
For expansion, repayment of loans, and working capi¬
tal.
Office —220 S: 16th Street, Philadelphia.
Under¬
writer—Edward Dewis & Co., Inc., N, Y.,

National

North

cision

National

Oct..

cosmetics

1961 filed 131,500 common, of which 120,000
will be sold by the company and 11,500 by a stockholder.
Price—By amendment. Business—Manufacture of pre¬

State.

Spring,

/•"

—Carter, Berlind, Potoma & Weill, N. Y. Offering—Im¬

Sept.

Proceeds—General corporate purposes. Of¬
fice—9805 Fourth Ave., Brooklyn, N. Y. UnderwriterPearson, Murphy & Co., Inc., N. Y.

•

Rd./ .Silver

•;

;

Proceeds—For repayment

•

Premium

Corp. (1/29-2/2)
Sept; 25, 1961. filed 100,000 common. Price—$4. Business
—Financing; of, casualty insurance premiums in New

Laboratories, Inc.
("Reg. A") 100,000 common.

Business
—Company plans to construct a plant for production
of ethyl alcohol and deiivatives and to distill and sell
industrial and potable alcohol in Nigeria. Proceeds—For
equipment, debt repayment, and working capital. Office—1060 Broad St., Newark, N. J. Underwriter—Scott,
Harvey & Co., Inc., Fairlawn, N. J. '
- v

minent.

-r-Cplesville

.•

Chemical Corp. (2 5-9)
Dec. 7, 1961 filed 90,000 common. Price—$5.

Credit

Proceeds-^For working

•

Professional

Nigeria

1961

securities.

Washington, D. C. Offering—Expected in February.

Proceeds—-For general corporate
purposes.
Address—Keene, N. H. Underwriter-*—Chilson, Newbery & Co., Inc., Kingston, N. Y. Offering—Im¬

•

Office—Oceanside, L. I., N. Y. Underwriter& Executive Planning Corp., Long Beach,

purposes.

Proceeds—For debt repayment and general eorporate purposes. Office—1610 14th St., N. W., Washing¬
ton, D. C. Underwriter—T. J. McDonald & Co., Inc.,

—A finance company.

Business—Manufacturer of miscellaneous paper product*'.
Proceeds—For debt repayment and general corporate

•:<

tions.
/

Sponsor—Ira Haupt & Co., Ill Broadway,
N. Y. C. Offering—Expected in early 1962.

York

./V

Corp.

Business—Manufacture

investment.

Narrows

'/Orion Electronics Corp.

June 30, 1961 ("Reg. A") 200,000 common shares (par
$1). Price—$1.50. Proceeds—For repayment of notes and
acquisition of real estate interests. Office—3252 Broad¬
way, Kansas City, Mo.
Underwriter — Barret, Fitch, /
North & Co., Kansas City, Mo. Offering—Imminent.
New

fund will invest in tax-exempt bonds of states,
counties,
municipalities and territories of the U. S. Proceeds—For

New West Land

Nov.

—

Nov.

N. Y.

Louis,

Municipal Investment Trust Fund, Series B
April 28, 1961 filed $12,750,000 (12,500 units) of interests.
Price
To be supplied by amendment. Business — Tne

subord.

Mo.

Inc., St.
7/ *'•./''. •'

&. Co.,

7:7 Municipal Investment Trust Fund, First Pa.-7''-7
7; /Series (2/26-3/2) 777;v777v;>7777
April 28, 1961 filed $6,375,000 (6,250 units) of interests.
Price—To be^' supplied vby/amendment:
Business—The
fund will invest in tax-exempt bonds of the Comrtionwea th of Pennsylvania arid its .political
sub-division^.
Proceeds—For investment.
Sponsor—Ira Haupt & Co.;
Ill Broadway,

Mutual

Underwriter—Dempsey-Tegeler

(2/13-16)
Aug. 28, 1961 filed 100,000 commons Price—$3.50. Busi• > ness—The manufacture of precision electronic sub-sys¬
/ writer—First Nebraska Securities Corp.; Lincoln.
tems for the generation, detection and control of fre¬
/ New Campbell Island Mines Ltd. /'/7.:.77
quencies up through the microwave region. Proceeds—
For expansion, equipment and working capital. Address 7
Oct. 13, 1961 filed 475,000 common, of which 400,000 are
'..to be offered by the company and 75,000 by a stock¬
-r-Tuckahoe, N. Y. Underwriter—A. D. Gilhart & Co.,
holder.. Price—50c.
Business—Exploration, / develop-- ;" Inc., N.-Y. C.
;/■'-VV7'V7^-:4*';. 7: 7
ment and mining.
Proceeds—General i corporate purOr/ando / Paper Corp./ (2/5-9)
.-7'7 .7/7-T/ j /7-7
Oct." 11, 1961' ("Reg. A") 80,000 common. Price—$2.50.
poses.
Office—90 Industry St., Toronto, Canada. Under-

Jan. 16, 1962 filed 140,000 common.

7-Wholesale

121

(389)

Newark, N. J. Underwriter—Warner, Jennings, Mandel
& Longstreth, Philadelphia. /
•/.."77\ ,v,

—

writer—Standard Securities

Financial Chronicle

The Commercial and

6126

•. v

••••»'

Paramount

Foam

•

Industries

.1.7''

(1/24-25)

Sept. 25, 1961 filed 137,500 common. Price—By amendBusiness—The manufacture of polyester foams.
Proceeds
Additional equipment, debt repayment and
ment.

—

working

capital.

Office—Mercer and Arnot Sts.,
& Co., Inc., N. Y.

Lodi,

N. J. Underwriter—Fialkov
7

Continued

page

\122

122

Parker Finance

Corp.

1961 filed 135,OuO common. Price—$6. Business
—Financing of commercial accounts receivable. Pro¬
ceeds—For debt repayment.
Office—8650 Cameron St.,

Underwriter—D. E. Liederman
Offering—Expected in February.

Md.

Spring,

Parkway Laboratories, Inc.

6, 1961 filed 160,000 common. Price—$5. Business
i—Manufacture of drugs and pharmaceuticals. Proceeds
For an acquisition, research and other corporate pur¬
poses. Office — 2301 Pennsylvania Ave., Philadelphia.
Underwriter—Arnbld Malkan .St C6., Inc., N. Y. *
v

7=
Patent. MerchandisingC^or|iiLv;A
NoVi 22, 1961 filed 100,000 common
to

purposes.

(with attached five-

warrants to purchase an additional 100,000 shares)
one share and one warrant. Price

be sold in units of

market

plans to

Business—Company

unit.

per

Office—521 5th Ave., N. Y. C.

Investing Corp., N .Y,
Pennon Electronics

Underwriter—Hampstead

Corp.

Sept. 28, 1961 ("Reg. A") 135,000 common.
Business—Manufacture

Price—$2.20

electronic devices.

of solid state

•

Perpetual

Investment Trust

Nov.

9, 1961 filed 500,000 shares of
Price—(For the first 10,000 shares)

beneficial interest.
$10.80

(For the balance) Net asset value plus 8%

share.

per

commission.

Proceeds--For
investment.
Office—1613 Eye St., N. ]W., Washington,
D. C.
Underwriter—Sidney Z. Mensh Securities Co.,
Business—A real estate investment trust.

Washington, D. C.
•

Personal Property

(1/22-23)
debentures
due 1976.
Price—By amendment. Business—Leasing of
equipment to industrial and commercial firms. Proceeds
—For purchase of equipment and collateral for bank
credit. Office—6381 Hollywood Blvd., Los Angeles. Un¬
derwriter—Dempsey-Tegeler & Co., Inc., St. Louis.
Leasing Co.

Restaurants, Inc.
1961 filed 125,000 common, of which 75,000 are
to be offered by the company and 50,000 by a selling
stockholder. Price—By amendment. Business—Opera¬
tion of six restaurants in Sacramento.
Proceeds-^-For

Pir-O-Wood

Industries, Inc.
1961 filed 62,000 common. Price—$5. Business
—Sale of prefabricated wood and plastic specialized
components. Proceeds—For general corporate purposes.

Nov. 28,

Office

1182

—

Malkan

Broadway, N. Y. Underwriter — Arnold
Co., Inc., N. Y. Offering—In February.

P asticrete

Nov.

15,

ment.

Corp.

1961 filed

Business

—

(1/29-2/2)

160,000

Price—By amend¬

common.

Manufactures masonry units

for the
corporate

construction

industry. Proceeds—For general
Office — 1883 Dixwell Ave., Hamden, Conn.
Underwriter—Blair & Co., Inc., N. Y.
purposes.

Plymouth Discount Corp. (1/29-2/2)
Aug. 28, 1961 ("Reg. A") 100,000 common.

payment of notes and working capital. Office — 2211
Church Ave., Brooklyn, N. Y. Underwriter—M. Posey
Associates, Ltd., 50 Broadway, N. Y.
Pneumo

Dynamics Corp. (2/19-21)
Dec. 22, 1961 filed 150,000 common, of which 100,000 are
to be offered by the company and 50,000 by stockholders.
amendment.

Business—Manufacture

pre¬

cision

hydraulic, pneumatic and mechanical equipment
for marine, aircraft, ordnance and industrial use. Pro¬
ceeds—For acquisition of a company and working cap¬
ital.

Office—3781

77th

St., Cleveland. Underwriter—
Hemphill, Noyes & Co., N. Y. and Estabrook & Co., Bos¬
ton.

Policy-Matic Affiliates, Inc. (2/5-9)
16, 1961 filed 200,000 capital shares. Price—$3.25.
Business—Leasing of insurance vending machines. Pro¬
Oct

ceeds—General corporate purposes. Office—1001 15th
N. W., Washington, D. C. Underwriter—Balogh &

Inc., Washington, D. C.
•

•

'•

Popular Library, Inc. (1/22-26)
17, 1961 filed 127,500 capital shares. Price

and

Business—Publishing

magazines.

Proceeds—General

Office—355

Lexington Ave.,
Bros. & Co., N. Y.

St.,
Co.,

small business investment company.

Office—485 Fifth Ave., N.

By
books

—

paperback

corporate

purposes.

N. Y. Underwriter—Sutro

Power

Industrial Products Co. (2/13-16)
22, 1961 filed 160,000 class A common, of which
133,333 are to be offered by the company and 26,667 by

present stockholders. Price—By amendment. Business—
Warehouse distribution of corrosion resistant stainless
steel pipe, tubing, valves, etc.
of
debt, expansion, and

St., Passaic, N.

Proceeds—For repayment
working capital. Office—352
J. Underwriter—S. D. Fuller

Precision Automotive
Components Co.
Dec. 28, 1961 filed
100,000 common. Price—By
ment. Business—Manufacture

of carburetor

amend¬

replacement

Proceeds — For debt repayment, retirement of
pfd., and working capital.
Address — Ballwin Mo.
Underwriter—G. H. Walker & Co., Inc., N. Y. >
V <
6%

Precision

Instrument

Co.

(2/26-3/2)

Dec. 28, 1961 filed 125,000 capital shares of which
111,000
are to be offered
by the company and 14,000 by stock¬
Price-—By amendment. Business—Development

holders.

Realty Equities

Publishers Co., Inc.

V.y'.vVf. '

Mo.

Research Products,

Inc.

Price—$9. /Business
-used in. prihtihg|
working 'capital.
Puerto Rico. Underwriters—Gross

Dec. 28, 1961 filed 250,000 common.

—Manufacture of lithographic blankets
Proceeds—For
debt repayment, and.
Address—Hato
&

Rey, Co., N. Y. and Elmaleh & Co., Inc.
Rex Craft

•

Associates, Inc.
>
,
Dec. 27, 1961 ("Reg. A") 100,600 common. Price' — $3/
Business—Design, installing and ,constructing packaged
commercial interiors and exteriors for building's/ Pro-*
ceeds—For generalcorporate purposes. Office—Route 315

Programming and Systems, Inc.
Oct. 11, 1961 filed 40,000 common. Price-r-$3.50. Busi¬
ness—Instructs classes in computer programming and
the operation of electronic data processing machines;;
Proceeds—For expansion. Office-—45 W. 35th St., N. Y.
Underwriter—D. M. Stuart & Co., Inc., N. Y.

St., Avoca, Pa. Underwriter-^M. G; Davis & Co.;

& Vine

Inc., N. Y.

Price—By amend¬
ment. Business—Book publishing. Proceeds^-For an ac-f
quisition and other corporate purposes. Offiee^—1106 Con¬
necticut Ave., N. W., Washington, D. C. Underwriters-^
Amos Treat & Co., Inc., N: Y. and Roth & Co., Inc.,
Philadelphia. Offering—Expected sometime in Feb.

■-

Nov. 28, 1961 filed 541,000 common.

Puerto

Rcco

Dec/

repayment and general
K

Rico.

Underwriter—Hill,

corporate purposeS. 'Oifice^—220

St., N< W., Washiligton, D. C. Underwriter—Hirschel
Co., Silver Spring, Md, Offering—Expected in April.

tools and machines. Proceeds—For selling

A'ddress^Sam^uan, Buerto
Grimm, NV Y./

Weld &

/Puerto Rico Land and Development Corp.
Nov. 24, 1961 filed $4,000,000 of 5% conv. subord. de¬
bentures due 1971 and 200,000 class A shares to be of¬
fered in 25,000 units, each consisting of $160 of deben¬
tures and eight shares.
Price-^$200 per unit. Business
—Real estate and construction. Proceeds

Ridgerock of America, Inc.
29,
1961
filed
100,000
common.
Price—$2.50".
buildings. Pro»
ceeds—For debt reduction and general corporate pur?

Dec.

Business—Production of stone facing for

poses.

Office-r-San Juan, Puerto Rico. Un*
derwriters—Lieberbaum & Co., and Morris Cohon & Co.,

corporate purposes.

—

Sebring, O. Underwriter.
Y.

—

Baruch
•

;

Ripley Industries, Inc., and Jomar Plastics, Inc.
:7
■ (2/14-16)
; ' . /7 ,77.:,
7
. ^ •
L
Oct. 27, 1961 filed 100,000 common shares of Ripley and
100,000 Of Jorriar to, be offered in/units consisting of .One
•

,.
,

Address

Brothers & Co., Inc., N.

For general

New York.

stockholders.

Ohio. Underwriters—White;
Co., N. Y.,0nd McDonald & Co., Cleveland.

Off!cerrr400 Clark St., Elyria,

Darlingtoir &

Offering—Imminent."

;

Dec. 28, 7961 filed; 284,586 class A common. -Price—By
amendment. Business—Manufacture
of pipe working

small business investme

general corporate purposes.

corhpah3/.';P^

r;7' RidgC;ToolCCZ/tS/lS)^'/* "\

Sept. 13,1961 filed 750,000 common. Price-/<-$10. Business
—A

Bdisihess

2r; 1961 filed -142,858;eomm

—& rehl^'estate.Inyfestmeht

Capital Corp.

Pu p Processes Corp.
share of each company. Price—By amendment; Business
Sept. 20, 1961 filed 140,000 common. Price—$57 Business
—Development of pulping and bleaching devices. Pro- / —Manufacture 'Of ;WOod; and -plastic: heels for 7yomen?^
ceeds—General corporate purposes... Office—Hoge-Bldg.,
shoes, metal molds' and dies, ' bowling'pins, bowling
shoes and related- products. Proceeds-r-For- general cor¬
Seattle, Wash. Underwriter—Wilson, Johnson & Higgins,
San Francisco.
1
porate purposes.. Office—4067 Folsom Ave. St. Louis and
Rio Piedras, Puerto Rico. Underwritersr^Paine; .Webber,
Pyramid Publications, Inc. (2/13-16)
Jackson & Curtis and American Securities Ddrpl, N. Y>
Nov. 24, 1961 filed 115,000 common. Price-r-By amende
Roadcraft Corp.
ment.
'
Business—Publication and sale of pocket-size
/
'
*
7
"
.

ipan's magazine.

Underwriter

Calif.

Creative

—For

research,

Corp.

tures

Shell

Associates.

furnishing products. Proceeds
products and working capital.- Of¬

:'V>r,7>i'

;■

7■

Interonics, Inc. (1/29-2/2)
Oct. 30, 1961 filed 40,000 common. Price—$5. Business
—Manufacture of radio frequency interference filters
and capacitors. Proceeds—For
equipment, working cap¬
ital and other corporate purposes. Office—15 Neil Court,
Oceanside, N. Y. Underwriter—Arnold Malkan & Co.,
N. Y.
V
7
:-;7V- • ,
.

•

Rapid Film Technique, Inc.

(2/6-8)
Sept. 19, 1961 filed 70,000 common. Price—$4. Business
—The rejuvenating and repairing of motion picture film.
Proceeds—For

debt

repayment

and

general

corporate

debentures

and

eight shares. Price—$90 per unit. Business—
of furniture, equipment, and sup¬

plies to schools, hotels, hospitals and industrial com¬
panies. Proceeds—For working capital. Office—8 Jay
St., Rochester, N. Y. Underwriter—Saunders, Stiver &
Co., Cleveland. " ;*/;'V / '77;
/■' 7Rodale

Sept.

fice—34-24 Collins

Co., N. Y. Offering—Imminent.

30,

Manufacture and sale

Price—$5.. Business

Place, Flushing, N. Y. UnderwritersInc. and Godfrey, Hamilton, Taylor &

Capital Leasing Corp.

1961 filed $625,000 of 6% convertible subordi¬
due 1972 and 100,000 class A to be
offered in 12,500 units each consisting of $50 of deben¬

home

new

amendment.

nated

r;/7;^777/

common.

Price—By

Rochester

Oct.

Quality Brake Rebuilders, Inc.
3, 1962
("Reg. A") 300,000 common;4 Price—$1.
Business—Rebuilding and reconditioning of automotive
brake shoes. Proceeds—For general corporate purposes.
Office—94 Gazza Blvd., Farmingdale, N. Y. Underwriter
—Meadowbrook Securities, Inc., Hempstead, N. Y.
Jan

Quartite

of which 16,680 are
63,520 by stockhold¬
Business—Sale of special¬
ized photographic, plate making and press room sup-?
plies and equipment to the graphic arts industry. Pro¬
ceeds—For working capital.
Office—4140 W. Victoria
Ave., Chicago, 111. Underwriters—Blunt Ellis & Simr
mons, Chicago., and Schmidt, Roberts & Parke, Phila¬
delphia. 7 7'
'* '/
'' ;
ers.

28, 1961 filed 87,500 common. Price—$4. Business
—Design and manufacture of metal cabinets, boxes,
boiler and radiator
enclosures. . Proceeds—For equips/
ment, aadvertising and working capital. Office — 234
Russell St., Brooklyn, N. Y. Underwriter—M. J. Merrit*
& Co., Inc., N. Y.
:
/
'
-

Sept. 27, 1961 filed 100,000

Roberts & Porter, Inc.

Nov. 20, 1961 filed 80,200 common,
to be offered by the company and

Quaker City Industries, Inc.

—Manufacture

Gardena,

Vickers, MacPherson & Warwick,

—

Inc., N. Y.
v

Nov.

„

porate purposes. Office—139 W. Walnut Ave.,

Pyroil Co., Inc.
Jan. 2, 1962 ("Reg. A") 30,000 common. Price—$5. Busi¬
ness—Manufacture of additives for gasoline, motor oils,
etc. Proceeds—For debt repayment and general corpor¬
ate purposes. Address—La Crosse, Wis. Underwriters—
Loewi & Co., Inc. and J. M. Dain & Co., Inc., Milwaukee.

26, 1861 filed 400,000 common. Price—By amend¬
ment. Business—Design, manufacture and sale of mobile
homes and office trailers. Proceeds—For general cor?

Dec.

Proceeds—For
expansion, debt repayment, and working capital. Office
—444
Madison Ave., N.
Y." Underwriter—Milton D.
Blauner & Co., Inc., N. Y.
paperback books and

Parts.

•

Corp.

Sept. 28, 1961 filed $1,675,800 of

July 28, 1961 filed 330,000 common shares. Price—$2.05.
Business
The manufacture of vinyl plastic products
used in the automotive, marine and household fields.
Proceeds—For repayment of debt, new equipment and
working capital. Office r—184 Woonasquatucket Avenue,
Nort Providence, R. I. Underwriter—Continental Bond
& Share Corp., Maplewood, N. J.

Nov.

Harrison

Plastics

Oct.

amendment.

Raritan

Price—$3.

Business—Consumer sales financing. Proceeds—For re¬

Price—By

N,.Y.,

Dec. 21,

expansion,, debt repayment and working capital. Office
—1626 J ;/St., Sacramento. Underwriter—^Stewart, Eubanks, Myerson & Co., San Francisco.

Office—37-02 27th St., Long Island City,
Young & Co., Inc., N. Y.

Corp/ of New York (1/22-26):' subord. debentures: due
1971 (with warrants attached) to be offered fof 'subscnp• Pride Industries, Inc.
(1 /29-2/2).,£.!>£.77 7 •
/tion by stockholders in 16,758 : units,reach. consisting of.
$100 of debentures and a warrant to purchase 12;5 shares
Aug. 29, 1961 filed 75,000 common. Price—$5. Business
on the basis of one unit for each 20 shares held./.Price
—The sale of pet foods. .Pjrbceeds-r-Fqr inventory, repayment of a loan, machinery, new products,' advertising,
$100 per unit.;' Business—G eneral Tea 1 estate and con¬
struction. Proceeds-^Genetal corporate purposes. Office
Office—r4408 Fairmount Aye., Philadelphia. Underwrite*
—Steven Investment Corp., Bala Cynwyd,
Pa.-{^:>;yr/r5v, —666 Fifth Ave., N. Y,> Underwriter—Sutro Bros, & Co.,
Printing Corp. of America^ (2/26-3/2> 7
"> V
Dec. 28, 1961 filed 454,0uQ corrimon. Price—By anrend-;"
Recco, Inc. (2/5-9)
ment. .Business—Printing of trade and business periodi¬
Oct. 19,1961 filed 75,000 class A.shares. Price — By;,
cals, and textbooks by lithography. Proceeds—^For selling
amendment. Business—Operates record, card and sta¬
stockholders. Office—71 W. 35th St., N. Y. Underwriter
tionery departments in discount stores. Proceeds—For
expansion. Off ice—1211 Walnut St., Kansas City, Mo.
—Goldman, Sachs & Co., N. Y.
Underwriter—Midland Securities Co.,. Inc„ Kansas City,
Product Research of Rhode Island, Inc.:

Oct. 13, 1961 filed $2,000,000 of conv. subord.

Pioneer

18, 1962

Thursday, January

Inc., N. Y.

Proceeds—For
Y7 Underwriters
—D. Gleich & Co., N. Y., and Laird, Bissell &\ Meeds,
Wilmington, Del.:;
v
;

—A

—

Proceeds—For working capital. Office—7500 S. Garfield
Ave., Bellgardens, Calif. Underwriter—Darius 1 nc., N. Y.

Underwriter—Herbert

—$3.50

patented products, or products which it considers to be
patentable. Proceeds—For general corporate purposes.

(1/22-26)
7
•
Sept. 28, 1961 filed 100,000 class A Common. Price—$5.,
St., San Carlos, Calif. Underwriters—Lehman Brothers,
N. Y. and J. Barth & Co., San Francisco.
Business—Extrusion of plastic sheets. Proceeds
Equip¬
Prestige Capital Corp.
777*
7". V'v-77'': ment, debt repayment and working capital/ Office—-L
7Raritan Rd:, Oakland, N. J. Underwriter—Giams & Co.,
Oct. 19, 1961 filed 200,000 common. Price—$5. Business
investment.

Dec.

year

magnetic tape re¬

cording equipment. Proceeds—For debt repayment, con¬
struction and working capital. Office—1011 Commercial

Oct. 27,

Silver

instrumentation

manufacture

and

Continued from page 121

Co., Inc., N. Y.

Chronicle

The Commercial and Financial

(390)

29,

Electronics, Inc. ,(1/29-2/2).77.;;

1961

("Reg,

Business—Manufacture
•

ceeds—Debt

A")
of

60,000

common.

electronic

Price—$5.

equipment.

Pro¬

repayment, new products, equipment, sales

promotion and

advertising.

Office

—

562 Grand Blvd!,

Westbury, N.Y. Underwriter—Charles Plohn & Co., N.Y.

(John)'-Co.
"7. . 7..;,'/
filed $600,000 of 6% conv, subord. deben¬
tures due 1976 and 120,000 common shares to be offered
in units consisting of one debenture and two shares.
Price—$25 per unit. Business—Sale of rebuilt automobile
engines .and reground crankshafts to automobile parts
jobbers. Proceeds—For working capital and general cor¬
porate purposes. Office-^-1060 Huff Rd., N.- WM Atlanta,
Ga. Underwriters—Robinson-Humphrey- Co., Inc.,
and
Courts & Co., Atlanta.
*
•/- > •
Rogers

Oct. 24, 1961

Volume

Rona

Dec.

195

Plastic

Number

6126

The Commercial and Financial Chronicle

Corp.

other

plastic items. Proceeds—For debt repayment and 1
corporate purposes. Office-—1517 Jarrett Place, Bronx, N. Y. Underwriter—Arnold Malkan & Co., Inc.,
other

•'

/ ?,.*..

Rooke

Engineering Corp.

•

Dec. 29, 1961 ("Reg. A") 120,000 common. Price
$2.50.
Business
Design and manufacture of fasteners and
related parts for the aircraft and missile industries. Pro¬
ceeds—For debt repayment and

;

—

Adams & Co., Los Angeles,

-'a V.:v

v. •.:1

•;

Roth

Greeting Cards
Dec. 26, 1961 ("Reg. A"), 100,000

and

Security Acceptance Corp.
7, 1961 filed 100,000 shares of class A common
stock and $400,000 of 7^% 10-year debenture bonds, to
be offered in units consisting of $100 of debentures and
25 shares of stock/ Price—$200 per unit. Business—The
purchase of conditional sales contracts on home appli¬
ances. Proceeds
For working capital and expansion.
Office—724 9th St!, N. W.,
Washington, D. C.
Under¬

Towing & Transportation Co., Inc.
("Reg. A") 100,000 common. Price—$3.
and operation of towing boats.
Proceeds—For debt repayment, conversion of a boat, and
working capital. Office—3300 N. W. North River Drive,
Miami, Fla. Underwriter—Irwin Karp & Co., Inc., 68
William St., N. y.
•-/:•/

Southeastern

Nov.

■;

%: -;.' <■

Southern California Edison Co.

Fund, Inc.
1961 filed 400,000 capital shares. Price—Net
asset value plus 6%: Business—A mutual fund/Proceeds
14,

—For

greeting card line: and working capital.- Office v
Broadway, Glendale, • Calif. Underwriters—;
R; E. Bernhard & Co., Beverly
Hills, Calif./Sehaefer, /
Lowe. & i McGamant, Inc., San
Francisco; vGostello; ;Rus- '
sotto & Co:, Los Angeles; Amos
Sudler,&'Co., Denver; '
G. H> Musekamp &
Co.,-Cincinnati: and Y/.-E. Anderson *
& Co., Salt Lake
City.,
.' ' * * • r /• *
new

—504

•

Roto

Nov.

16;

Cylinders, Inc./(2/5-9)
1961 ("Reg. A") 60,000

•Business—Custom
debt

repayment

niyr'a, N. J.

;

Price—$5.

common.

engraving; ^Proeeeds^—For
working .capitals -Address—Pal-

gravure*

and

French, Inc., Philadelphia.

t'l; :/

ital.

Bank

prepayment
Office—First National

loans

and

1961 filed: 100,000 common. Price—$3.25. Busi¬
and maintenance of aircraft instruments!
and accessories; Proceeds—For equipment, debt repay¬
-

Meridian

working

•

Sabre, Inc.

Sept.

ment.

equipment and working capital.
Denver.

Sharp, McCabe
Offering—Imminent.

Inc., Denver.

Saladmaster Corp.
Jan. 3, 1962 filed $700,000 of 6% subord.
tures due 1972 and 126,030 common (of

common

the

are

conv.

deben¬

San
Dec.

Diego Imperial Corp.

1961

filed

350,091

Business—A

ment.

Corp. of America (2/5-9)
Oct. 30, 1961 filed $8,000,000 of 1V2% capital income
sinking fund debentures due 1989. Price—By amend¬
ment. Business—Operates hotels and other real estate
properties.

Si'o

Nov.

Sokol

and

Sav-O-Stores, Inc.

distribution

Wis.

filed 160,000 common, of which 75,000 are

and

expansion.

operation

supermarkets.

Office—2215

Union

Proceeds

Food

other

instalment

household

—Meadowbrook

Cairo

Sea-Wide Electronics,

Lane,

Opa

Locka,

Washington, D. C.

(1/29-2/2)
* > /
Sept. 26, 1961 filed 200,000 common. Price—$4. Business
—Importing of goods from Japan. Proceeds—For debt

Inc.

Inc.
Price—$2.50

Busi¬

retailing of furniture, appliances
goods. Proceeds — For expansion

devices using sound or fluids as a source of
energy.-Proceceds—-For general corporate purposes/ Of¬
fice—260 Hawthorne Ave.,
Yonkers, N. Y. Underwriter
•

Sonic

For

Insurance

Co. v

100,000

business

small

common.

investment

corppany.

Spandex Corp. (1/29-2/2)
("Reg. A") 90,000 common. Price—$3. Busi¬
ness—Manufacture of a synthetic elastic yarn and other
synthetic fibres. Proceeds—For general corporate pur¬
Oct. 25, 1961

Office—186 Grand St., N. y.
Laughlin, Kaufman & Co., N. y,

Underwriter—Mc¬

poses.

Spartan International Inc.
Dec.

22, 1961 filed 175,000

—Manufacture

metal

(3/5)

Price—$4. Business
receptors, precast con¬

common.

shower

rceptors, prefabricated

metal

showers,

baseboard
plant
N. y.

radiators and rope and twine. Proceeds—For a new
in Canada. Office—52-55 74th Ave., Maspeth, L. I.,

Underwriter—M. H. Woodhill, Inc., N. y.

(L.

B.), Inc.

Oct. 30, 1961 filed 65,000 common.

Price—$5. Business—•
Operation of retail furniture stores. Proceeds — For
working capital. Office—2212 Third Ave., N. y. Under¬
writer—Arnold Malkan & Co., Inc., N. y.
Sperti Products,

(2/26-3/2)

Inc.

Price—By

filed 230,000 common of which 200,000 are
by the company and 30,000 by stockholders.
amendment. Business—Manufacture of drug

and food

products, electrical and electronic devices and
precision machinery. Proceeds—For the purchase of cer¬
tain patents, repayment of debt, and working capital.
Office—730

Grand

St.,

Hoboken,

Underwriter—

Blair & Co., N. Y

Spiral Metal Co., Inc.

(2/13-16)

Dec.

food

Office—13480

Co.,

common.

Development Corp. of America
Oct.'27, 1961 filed 56,000^ common, of which 30,000 are
to be offered by the company and
26,000 by stockhold-;
ers. Price—$5.
Business—Design, development and man-'
ufacture

products.

$500.

of bowling

Nov. 29, 1961
to be offered

and modernization of buildings, repayment of debt and
working capital. Office—253 Columbia St., Brooklyn,
N. Y. Underwriter—Continental Bond & Share
Corp.,
Maplewood,.N. J.

Products, Inc. (2/26-3/2)
'
•
Aug. 29, 1961 ("Reg. A") 75,000 common.
Price — $4.
Business—The manufacturing and processing of assorted
Fla. Underwriters—Terrio & Co.,

Furniture

debentures:

Price—$2.
Pro¬
ceeds—For working capital. Office—113 W. 2nd St., Casa
Grande, Ariz. Underwriters—Preferred Securities, Inc.,
and Brown & Co. Investment Securities, Phoenix. /■!

Spears

Price—By amend¬

Sonic

Ave., Sheboygan,

Underwriter—Blunt Ellis & Simmons, Chicago.'

Seashore

Brothers

ness—The

offered by the company and 85,000 by stockhold¬
Price—By amendment.
Business—Wholesale food

—For

common.

'■••/;%/r// -•/•".

Sept. 28, 1961 filed 240,000

to be

165,000

(1/29-2/2)

Business—Operation of retail discount stores. Pro¬

N. Y.

ton, D. C,Underwriter—C. A. Taggart, Inc., Towson, Md.

ers.

filed

Inc.

ceeds—Fpr general corporate purposes. Office—2514 N.
St.1, Philadelphia, Pa. Underwriters—Boenning &
Philadelphia, and Rodetsky, Walker & Co., Inc.,

Proceeds—For general corporate
purposes. Office—3310 New York Ave., N. E./ Washing¬

13, 1961

1961

Centers,

the

Business—A

Co.,

debentures. Price—At par. Business—Operation of

Schultz

purposes.

Broad

Burstein & Co., Inc., N. Y.

chain of drug stores.

Nov.

15,

ment.

Drugs, Inc.
Dec: 28, 1961 ("Reg. A") $300,0G0 of 6% 15-year subord.
conv.

Discount

Price—For

Business—Operation

Space Financial Corp.
24, 1961 ("Reg. A")

crete

corporate

Ave., Boston. Underwriters—Paine,
Webber, Jackson & Curtis, Boston and S. D. Lunt & Co.,
Buffalo, N. Y
/
-

Save-Mor

general

Office—470 Atlantic

Oil

Underwriter—Amber,

Proceeds—For

$5.

Nov.

and 15,000 by

Sheraton

Corp. (1/29-2/2)
July 5, 1961 ("Reg. A") 92,000 common shares (par one
cent). Price—$2.50. Business—Wholesale distribution ol
gasoline and oil to service stations. Proceeds—For ex¬
pansion. Office—151 Dirchwood Park Dr., JerichO. L. L,
N. Y.

company

working capital. Office—2101 S. High St.,^ Columbus, Ohio. Underwriters—Rodetsky, Walker & Co., Inc.,
Y. and Boenning & Co., Philadelphia.

Price—By amend¬
for 14 savings and

Associates, Inc.

Ave., Oklahoma City. Underwriters—Eppler,
Turner, Inc., Dallas and R. J. Edwards, Inc.,
Oklahoma City.

holding company
loan associations, and other firms. Proceeds — For the
selling stockholders. Office—1400 Fifth Ave., San Diego,
Calif. Underwriters—White, Weld &
Co., Inc., N. Y., and
J. A. Hogle & Co., Salt Lake City.
Sav-Mor

be offered by the

and

(1/23)

common.

shares.

stocks:

Guerin

for

stockholder. Price—$6. Business—Manufacturer of re¬
built automobile parts. Proceeds—For debt repayment

St., Dallas. Underwriter—Parker, Ford &
Co., Inc., Dallas.

Proceeds—For

26, 1961 filed 220,000 common. Price—By amend¬
ment. Business—Writes automobile casualty insurance in
Oklahoma and Arkansas. Proceeds—For redemption of
surplus fund certificates and expansion. Office—5620 N.

Howell

—131

are

investment.

estate

and

Western

equipment

and a food cutting machine.
Proceeds—For
repayment and general corporate purposes. Office

loans

Southwestern

Underwriter—George, O'Neill & Co., Inc., N. Y, / >
Shenk Industries, Inc. (2/5-9)*
Nov;. 28, 1961 filed 150,000 common, of which 135,000

offered

Dec.

expansion.

automatic

—

Fla.

tablewear
debt

Underwriters
Corp., N. y.

alleys.
Proceeds
For debt repayment and working capital.
Office—2711 N. 24th St., Phoenix. Underwriter—A. G.
Edwards & Sons, St. Louis.
-

handling
packaged foods, and various food serving devices. Pro¬
ceeds—For equipment, advertising, plant expansion and
working capital. Office—3800 N. W., 32nd Ave., Miami,

which 15,399
by the company and 110,631
shares by stockholders). Price—For debentures, at par;
for stock, by amendment. Business—Sale of
kitehenware,
shcres

Proceeds—For

—Manufacture

■

Business—Real

Southwest Recreation

//Shelley Manufacturing Co.

Co.,

Beach, Fla.

Nov. 29, 1961 ("Reg. A") $150,000 6% convertible sub¬
ordinated sinking fund debentures due 1973; and 30,000

Dec. 29, 1961 filed 55,000 common. Price—$6.50. Business

Office—4990 E. Asbury,

Underwriter—Schmidt.

•

working capital. Office—2501
Bank of Georgia Bldg., Atlanta. Underwriter—Johnson,
Lane, Space Corp., Savannah. Offering—Imminent.

Office—139 S.
40th St., Omaha/ Neb. Underwriters—-J. Cliff Rahel &
Co., and Storz-Wachob-Berider Co., Omaha.

("Reg. A") 50,000 common. Price—$2.
Business-^Mamifacture of pre-pairited, aluminum siding
and accessories. Proceeds^-For inventory/dies,
inventory

Avenue, Miami

repayment

Shaver Food Marts, Inc. ;
Dec. 19, 1961 filed 170,000 class

Pro¬

Building,
Underwriter—Capital Securities Corp.,

area,

company.

Office—Poinsett Hotel

Southern Syndicate, Inc.
Sept. 13, 1961 filed 300,000 common. Price—By amend¬

cap¬

Shatterproof Glass Corp. (1/29-2/2)
27, 1961 filed 215,000 common. Price—By amend¬
ment.
Business-^-Manufaptures and distributes lamin¬
ated safety glass.
Proceeds—For selling stockholders.
Office—4815 Cabot Ave., Detroit. Underwriters-Shields
■& Co., N. Y.
A
■; w
■

Bluffs

25, .1961

investment

business

Hirsch & Co., and Lee Higginson

small

ment of unimproved land in Florida. Proceeds—For the
repayment of debt, the development of property, work¬
ing capital and other corporate purposes. Office—1674

ment, and other - corporate purposes. Office —. Idlewild
International' Airport, Jamaica, N. Y. Underwriter—
Lieberbaurri & "Co:, N.: Y.
v -

purcnase

debentures and warrants for five common shares. Price
—At 100% of principal amount. Business—The develop¬

A common, of which
30,000 will be sold by the company and 140,000 by cer¬
tain stockholders. Price — By amendment. BusinessOperation of seven supermarkets in the Omaha-Council

ness— Repair

Realty & Utilities Corp.
May 26, 1961 filed $4,140,000 of 6% convertible deben¬
tures due 1976, with warrants to purchase 41,000 common
shares, to be offered for public sale in units of $500 of ;

•

Nov. 28,

warrants

Southern

Oct.

///

with

1976

due

ceeds—For investment.

Greenville,

Bldg., Amarillo, Tex.

Underwriter—First Boston Corp., N. Y.

debentures

Greenville, S. C.

(1/23)

Proceeds—For

deposits. Proceeds—For debt repayment and general
corporate purposes.' Address—Box 1088, Wallace, Idaho.
Underwriter—Pennaluna & Co:, Spokane, Wash; -<"> .
?

;

13, 1961 filed $25,000,000 of sinking fund debentures
due Jan. 1, 1987. Price—By amendment. Business—Pro¬
duction of natural gas, natural gasoline and petroleum.

Inc.
2,400,000 common. Price—12V2
Business—Exploration and development of mineral

jS.^M. Sw Instruments, Inc./(^/5-9)/:

equipment,

Shamrock Oil and Gas Corp.

Ruby Silver Mines,
2; 1962 ("Reg, A")

nated

Business—A

electronic products.

medical

Dec.

cents.

relocation,

ment, and working capital. Office—29503 West Nine Mile
Rd., Farmington, Mich. Underwriter—None.

capital. Office^—300 Butler St., Brooklyn, N. Y. Under¬
writers—Armstrong & Co.K Inc., N. Y.
Jan.

plant

common.; Price—$5. Business
processing machines and other
electronic v products. Proceeds—Purchase of equipment
arid inventory, sales promotion, research and develop¬

'Rubber & Fibre Chemical Corp. (2/5-9)
•;/■
Sept. 25, 1961 filed 120,000 common. Price—$5. Business
—Exploitation of a new profcess for reclaiming unvulcanized rubber. Proceeds—Purchase of equipment and
existing plant building, repayment of debt, and working

(1/22)

Sept. 25, 1961 filed 100,000

equipment and working capital.
Office—245 7th* Ave., N. Y. Underwriter' — Federman.
Stonehill & Co., N. Y.

Southern Frontier Finance Co.

etc. Proceeds—Repayment fo debt, investments and other
ment/research and development, repayment of loans and
working capital/ OffiOe—12 Hinsdale St., Brooklyn/! Un-. 7 corporate purposes. Office—615 Hillsboro St., Raleigh,
N. C. Underwriter—J. C. Wheat & Co., Richmond, Va.
derwriter—Searight, Ahalt & O'Connor, Inc., N. Y. ^//T/
Southern Growth Industries, Inc.
• Servonuclear
(1/22-26)
Corp. (1/23-24)
June 28, 1961 filed 100,000 common shares.
Price—$6.
Sept. 12, 1961 ("Reg. A*') 100,00U common. Price—$2.

—Sale of automatic" film

For

•

Sept. 22, 1961 filed $1,000,000 of sinking fund subordi¬

common.

inventory,,
new products, debt repayment and
working capital. Of¬
fice—28-21 Astoria Blvd., Astoria, L. I., N. Y. Under¬
writer— Rothenberg, Heller & Co., Inc., N. Y.
;
H Servotron Corp. (1/29-2/2)

preferred. Office—601 W. Fifth St.,
Underwriters—First Boston Corp., N. y.
and Dean Witter & Co., San Francisco.
Angeles.

200,000 shares of common stock, to be offered in units
Price—By amend¬
ment.
Business—Design and manufacture of networks r" consisting of $100 of debentures with a warrant to pur¬
for data and program transmission,
filters, transceivers // chase 20 common shares. Price—By amendment. Busi¬
and related electronic equipment. Proceeds—For equip¬
ness—Repurchase of mortgage notes, contracts, leases,

Proceeds—For

Royaltone Photo Corp.
*. V
Nov. 29, 1961 filed 300,000 common, of which 100,000
are to be offered by the
company and 200,000 by stock¬
holders.
Price —r By: amendment;
Business — Develops
and prints color, and black and white
photographic
—

Sept. Z8, 1961 filed 110,000

Business—Manufacture

Underwriter—Woodcock, Moyer, Fricke &

fHm: Proceeds

—

Kan.

Price—$1.50.

(1/22)

outstanding 4.88%

Los

investment. Office
700 Harrison St., Topeka,
Underwriter—Security Management Co., Inc., To¬
.'. •';/•
"contemporary"/■ peka.' \
•'v; • /;'/// y ,'1 ■7•' /"?'Vu!.?'' ;.//*
greeting cards. Proceeds—For design and introduction % ;/
Seg Electronics Co., Inc. (1/29-2/2) ' ';
common.

Business—Design, production and sale

1961

Dec. 11, 1961 filed 1,500,000 common. Price—By amend¬
ment.. Proceeds—For debt repayment and redemption of

■

Security Equity

Dec.

29,

Business—Construction

—

,•;

working capital. Office—1250 Shames Dr., Westbury,
Co., Inc., N. y.

N. y. Underwriter—Keene &

March

writer—None.

working capital/ Office
Tujunga Ave., Sun Valley, Calif. Underwriter—/

—8560

123

repayment. Office—Stokely St., and Roberts Ave., Phila¬
delphia, Pa. Underwriter—Amos Treat & Co., N. Y.

15,; 1961 filed 200,000 common. Price—$5. Business
plastic housewares, baby products and

—Manufactures

N. Y.- :

(391)

Securities

Inc.,

Hempstead,

N. Y.

7, 1961 ("Reg. A") 100,000 common. Price — $2.50.
Business—Broker and dealer in gold and silver bullion
and other non-ferrous metals. It also does processing and

smelting. Proceeds—For a new refinery, debt repayment
and working capital. Office—E. William St., Hopelawn

(Woodbridge), N. J; Underwriter—Flomenhaft,
&
•

Co., n. y."<* <

Sportsmen, Inc. (2/13-16)
29, 1961 filed $100,000 of 6%

Nov.

Systems^ Inc.

(1/22-26)

Seidler

subordinated

con¬

vertible debentures due 1977 and 50,000 common to be
1961 ("Reg. A") 75,000 common/ Price — $2. '
.offered in units, each consisting of $20 of debentures and
Business—Manufacture of
ultrasonic
cleaning equip¬
ment, systems and transducers. Proceeds—For expansion "
*.. >
Continued on page 124
Oct

30,

124

■V>-.v

The Commercial and, Financial Chronicle

("92)

Continued from page

and

123

■

manufacture

animated

shares.

Price—$60 per unit. Business—Designand
fishing and archery equipment and fiber
glass household items. Proceeds—For general corporate
purpose.
Office—131 Saw Mill River Rd., Yonkers, N. Y.
•Underwriter—William, David & Motti, Inc., N. Y.
manufacture of

Standard

Industries,

Inc.

(1/29-2/2)

holder.

Price—By amendment.
Business—Production
crushed limestone, gravel, and ready-mix concrete

and

construction

highways,

Proceeds—General
Bldg., Tulsa,

etc.

corporate
purposes.
Office—731
Mayo
Okla. Underwriter—Allen & Co., N. Y.

Price—$4. Business
—Design, manufacture and sale of heavy-duty stainless
steel
equipment.
Proceeds—For debt repayment and
corporate

Office—454

purposes.

Livonia

Ave.,

Brooklyn, N.Y. Underwriter—Edwards & Hanly, Hemp¬
stead, N. Y.
,

Star

Home and

Shelter Corp.

June 28, 1961 filed 133,000 commn and 133,000 warrants
to be offered in
units, each unit consisting of one com¬
share

mon

and

warrant.

one

Price—$3

unit. Busi¬

per

ness—The construction and sale of shell homes. Proceeds
—For repayment of loans, advances to a subsidiary, es¬
tablishment of branch sales offices and working capital.
Office—336 S. Salisbury Street, Raleigh, N. C. Under¬
writer—D.

E. Liederman & Co., Inc., N. Y.

(mgr.). Note
formerly was known as Star Homes, Inc.
Offering—Expected sometime in February.

—This firm
•

StarmaUc

Nov.

1961 filed

Business

ment.

Inc.

100,000 common.
Manufacture

i*T

—For

•

debt

and

repayment

Office —252
'

—

Price—By

amend-

30th

St.,

corporate

general

purposes.

Underwriter

N. Y.

—

named.

Equipment Corp. (1 22-26)

Oct. 2, 1961 ("Reg. A") 100,000 common. Price—$3. Pro¬
ceeds—For equipment and working capital. Address—
Norristown, Pa. Underwriter-^-Joseph W. Hurley & Co.,
Norristown, Pa.
Stelber Cycle
Jan. 5, 1962 filed

Corp.
$240,000 of 8% convertible debentures
due 1972 and 60,000 common shares to be offered in
units, each consisting of one $200 debenture and 50
shares.

Price—$500

bicycles, tricycles

unit.

per

and

toy automobiles.
moving expenses and

debt

repayment,

line.

Office—744 Berriman

writers—Lloyd
Co., Inc., N.Y.
Sterner
Jan.

Business—Manufacture of

Proceeds—For
a

new

product

St., Brooklyn, N. Y. Under¬
Inc. and Richard Bruce &

Securities,

Lighting, Inc.

1962

("Reg. A")

Business—Manufacture

common.

ventory.

Address—Winsted, Minn. Underwriter—Mid¬
Planned Investments, Inc., Minneapolis.

west

Cfavone

Mili'ka'i'c

In**

{'h

selling stockholders.

Miami, Fla.
Chicago.

il-.

Office—5701

N. W.

35th

Ave.,

Underwriter—Floyd D. Cerf Jr., Co., Inc.,

Stokely-Van Camp, Inc. (2/5-9)
29, 1961 filed $15,000,000 of convertible subordi¬
debentures due 1982 to be offered by the com¬

Nov.

nated

and

pany,

100,000

commcn

Price —By amendment.

Business

—

stockholder.

Processing and dis¬

tributing of various cannfid

i,r

and frozen food products.
Proceeds—For debt repayment and
working capital. Of¬
fice—941 N. Meridian St.,
Indianapolis. Underwriter—

■'i j-

Reynolds & Co., Inc., N. Y.

Struthers

$(<:
*i i",
i
f!t y

Oct. 23,

1961

filed

International

Corp.

150,000 class A

common.

Price—By

amendment.

Business—Company was recently formed
by Struthers Wells Corp., to take over latter's recent de¬
velopments in saline water conversion and certain man¬

(1/22-26)

vS tk

Scientific

i\.

ufacturing, international engineering and sales activities.
Proceeds—For general corporate
purpose. Office—111 W.
50th St., N. Y. Underwriter—Hirsch & Co.
Inc., N. Y.
Suburban
Dec.

28,

1961

Directory Publishers, Inc.
filed

90,000

Price—$3. Business
•—Publishing and distributing telephone directories. Pro¬

Hi
'h

common.

ceeds—For

repayment of bank loans, additional equip¬
ment, expansion and working capital. Office—60 N. State
St., Wilkes-Barre, Pa. Underwriter—G. K. Shields &

Co., N. Y.

|i:

working capital.

Taylor Publishing Co.
Dec.

21,

1961

filed 152,000 common. Price—By amend¬
ment. Business
Production and distribution of school

Office

•

repayment

other

and

corporate

expansion, working cap¬
ital, and possible acquisitions. Office —r Pacific National
Bank Bldg., Bellevue, Wash. Underwriter—Hill,^Dar¬
lington & Grimm, N. Y. Offering—In mid-February.
Tri-Point Industries,

Office—1017

purposes.

Sept.

Jersey Ave., S. E., Washington, D. C. Underwriter
—Turnbuil, Deter & Sullivan, Inc.; Charlottesville, Va.
Texas

Electro-Dynamic Capital, Inc.
16, 1961 filed 250,000 common. Price—By amend¬

ment.

Business—A small business

investment

Gray Ave., Houston.
& Co., Inc.; Houston.
Texas

Power &

company.

Office—1947 W.

Underwriter—Moroney,

due

1987.

Tripoli Co., Inc. (1/22-26)
Oct;/ 20,~ 1961 ("Reg. A") 60,000
Business

Light Co.

and construc¬
Bryan St., Dallas. Underwriters—
(Competitive). Probable bidders: Halsey, Stuart & Co.

22, 1961 filed 100,000 common, of which 52,000 are
by the company sand.48,000 by stockhold¬
ers. Price—$6. Business—Design, manufacture and sale
of power supplies. Proceeds—For debt repayment and
working capital. Office—111 Pleasant Ave., Roosevelt,
L. I., N. Y. Underwriter—William, Dav'd & Motti,
Inc.,
N. Y; Offering—Expected sometime in March, ;; /; •$

(jointly); Lehman Brothers; White, Weld & Co.; First
Corp.; Eastman Dillon, Union Securities & Co.Brothers & Hutzler (jointly). Bids—Expected
Jan. 23, 1962 at 11:30 a.m. Information Meeting—Jan. 19
at 11:00 a.m. (EST) at 2 Rector St., N.Y.
26,

1961

are

filed

common,

(1/29-2/2)
which 150,000

Turbodyne Corp.
May 10, 1961 filed 127,500 shares of common stock. Price
—$5 per share. Business — The research, development,
manufacturing and marketing of space and rocket en¬
gines, and related activities. Proceeds—For research and
development, and working capital. Office—1346 Con¬
necticut Ave., N. W., Washington, D. C. Underwriter—
Sandkuhl & Co., Inc., Newark. N. J
and N, Y. C. Offer¬
ing—Expected sometime in March.

to be offered

by the company and 25,000 by
Price—By amendment. Business—Manu¬

stockholders.
facture

Industries, Inc.

175,000

water

coolers,

water

cans

and

portable

hot

beverage dispensers.
Proceeds—For
debt
repayment
and general corporate purposes. Office—6502 Rusk Ave.,
Underwriter

—

S. D. Fuller &

Co., N. Y.

^ Thomasvilte Furniture Industries, Inc.
Jan. 16, 1962 filed 343,551 common.
Price—By amend¬
ment.

Business—Manufacture

Proceeds—For

Main St.,

the

selling

household

shareholders.

Thomasville, N. C.

Weeks, N. Y.

Turner Engineering &
(2/5-9)

furniture.

Office—401

Nov. 28,

1961 filed

150,000

common.

Price—$4. Business

—Manufacture of shopping carts and related
products.
Proceeds—For debt repayment, equipment and
working
capital. Office—905 Air Way, Glendale, Calif. Under¬
writer—Frank Karasik &

Technical
"w.

...

Co., N. Y. Offering—March.

Animations, Inc.

Sept.

Underwriter-—Hornblower

tures

due

1972

(with warrants)

conv.

subord. deben¬

to be offered for sub¬

scription by holders of class A and class B common at
$100 of debentures for each 280 shares held.
Price—$100 per unit ($100 of debentures and one war¬
the rate of

■^i
U

rant

purchase

class

27,

1961

("Reg.

A")

Business—Manufactures

ponents.

Thompson Manufacturing Co., Inc.

derwriter

Dec.

Automation Corp.
75,000

electronic

common.

devices

Price—$4.
and

com¬

Office—209 Glenside Ave., Wyncote, Pa. Un*
Valley Forge Securities Co., Inc., Phila.
—

22, 1961 filed 90,000 common, of which 80,000 shares
Twentieth Century Capital Corp.
be offered by the company and
10,000 by stock- - Nov. 24, 1961. filed 250,000 common.
Price—By amend¬
holders.
Price—$4. Business—Design and manufacture//
ment. Business—A small business investment company.
of
special machinery for bowling alleys and related -- Proceeds—For
general corporate purposes.' Office—134
equipment.
Proceeds—For expansion and general eor- * Sr La Salle
St., Chicago. Underwriter—Bacon, Whipple
porate purposes. Office — Canal St., Lancaster, N. H.
& Co., Chicago.
Underwriter—Packer-Wilbur Co., Inc., N. Y.
21 Brands, Inc.
Thunderbird International Hotel Corp.
Dec. 22, 1961 filed 800,000 common, of which 550,000
Jan. 2, 1962 filed 175,000 common. Price—By amend¬
are to be offered by the
company and 250,000 by stock¬
ment ($10 max.). Business—Hotel
ownership and man¬
holders. Price—By amendment.
Business—Distribution
agement. Proceeds — For construction. Office
525 N.
of imported and American wines and whiskies. Proceeds
/
Sepulveda Blvd., El Segundo, Calif. Underwriter—Vick—For debt repayment, expansion and working caoital.
ers, MacPherson & Warwick, Inc., N. Y.
Office—23 W. 52nd St., N. Y. Underwriters—A. C. Allyn
/Tidewater Lumber Co. (1/29-2/2)
& Co., and Hornblower & Weeks. Offering-^-In March.
Oct. 23, 1961 filed 200,000 common.
Price—$5. Business
Tyson Metal
are

—

—Wholesale

Products, Inc.

lumber

company. Proceeds—For debt re¬
working capital. Office — 1600 Hillside
Ave., New Hyde Park, N. Y. Underwriter—Rubin, Rennert & Co., Inc., N. Y.

payment

•

Tokyo

Shibaura
(2/5-9)

Electric

Co.,

Ltd.

are

holders.

Business—Manufacture
beverage service equipment.
Proceeds—
caiptal. Office—6815 Hamilton Ave., Pitts¬
burgh. Underwriter — Arthurs, Lestrange & Co., Pitts¬

("Toshiba")

broad line of electrical and electronic

equip¬

ment

including home appliances, radio and TV, heavy
duty equipment, tubes and semi-conductors. Proceeds—
the

account

stockholders

the

basis

Proceeds

line
—

For

expansion.

and. elec¬

Tork Time

12,

1961

Controls, Inc.
filed

150,000

shares). Business—Design

additional
Treat

personnel,
&

Co.,

advertising
Y..;

Vending Service, Inc.
("Reg. A") 73,500 common.

1961
—

Purchase

new

and

used

Price

—

and

$3.

coin-operated

lyn, N. Y. Underwriter—Capital Consultants Corp., N. Y.
•

Union Title Co.

(1/29-2/2)

filed 282,000 capital shares. Price—$7.50.
Business—The insuring of real estate titles. Proceeds—

Aug. 26,

Office—

Tokyo, Japan. Underwriters—None.
Dee.

(1/29-2/2)

vending and recreational machines. Proceeds—For gen¬
eral corporate purposes. Office—166 Clymer St., Brook¬

electrical

broad

14,

Business

Price—$0,125. Busi-

new

Inc.

filed 150,OUU class A

inventory,

Uneeda

for each two held of record Dec. 30.

one

1961

common. Price—$4.
manufacture of outdoor plastic signs and
urethane foam. Proceeds—For equipment, repayment of

Dec.

Plasties

Business—The

debt,

tronic equipment.

Ultra

Sept. 19,

Tokyo Shibaura Electric Co., Ltd. ("Toshiba")
Dec. 8, 1961 filed 50,000,000 common shares to be of¬
to

burgh.

Underwriter—Amos

subsidiary. Office—Tokyo, Japan.
Underwriters—Smith, Barney & Co., and the Nomura Se¬
curities Co. Ltd., N. Y

fered

and

food

For working

5, 1961 filed 30,000,000 common to be offered for
public sale in the U. S., in the form of 600,000 American
Depositary Shares, each representing 50 common shares '
of the company.
Price—By amendment. Business—Manu¬
a

Price—By amendment.

Dec.

factures

(1/29-2/2)

Oct. 26, 1961 filed 70,000 common, of which 21,000 shares
to be offered by the company and 49,000 by stock¬

and

1961

For

working capital and expansion.

tral

(2/26-3/2)

Ave., Phoenix.

Office—222 N. Cen- !

Underwriter—None.

Price—By amend- J
United Aero Products'Corp.
(1/22-26) / •
Business—Design and manufacture of time con-/;
Sept. 28, 1961 filed $600,000 of 6% conv. subord. debenrepayment^ expan- * tures due 1971. Price—At par. Business—Manufacture of
./
sion, and working capital. Office—1
Grove St., Mount
precision machined parts for the aircraft, missile, elec- !
Vernon, N. Y. Underwriters—Godfrey; Hamilton, Taylor
tronics and nuclear industries/ Proceeds—Debt repay- &• Co., and Magnus &
Co*, N. Y.
;.» ment. research and development,
common.

ment.

trolled switches. Proceeds—For debt

Nov. 30, 1961 filed $211,400 of 7%

to be offered

Salomon

Price — $5.
variety/of cosmetics.

common..

wide

Dec.

Boston

Texas Tennessee

•; Trygon Electronics Inc.

Inc.; Kuhn, Loeb & Co.-Blyth & Co., Inc.-Kidder, Peabody & Co.-Merrill Lynch, Pierce, Fenner & Smith Inc.

Oct.

Manufacture of

equipment, inventory and working cap¬
ital. Office—1215 Walnut St., Philadelphia. Underwriter
—D. L. Greenbaum & Co., Philadelphia.

1511

—

—-

Grimm, N. Y.

Proceeds—For

Proceeds—For debt repayment

Office

(2/13-16)

Inc.

1961

N. Y. Underwriter—Hill, Darlington &

Beissner

(123)
13, 1961 filed $10,000,00 of sinking fund debentures

Dec.

28,

filed 160,000 common, of which 80,000
are to be offered by the company/and 80,000 shares
by
stockholders. Price—By amendment. Business—Manu¬
facture of precision, plastic components. Proceeds—For
repayment of loans, advertising, equipment and work¬
ing capital. Office—175 I. U. Willets Rd., Albertson, L. I.,

New

Oct.

•

and accessories. Proceeds—For

ness—Manufactures

Technibiit Corp.

;
-

Capita Vine.
Nov, 27, 1961/ filed 47,000 common;- JPrice-~-By amend¬
ment. Business
Manufacture Of high; pressure valves

3401 W. 47th St., Chicago.

—

year-books and commercial printing. Proceeds—For sell¬
ing stockholders. Office—6320 Denton
Dr., Dallas. Un¬
derwriter-Dallas Rupe & Son, Inc.,
Dallas, Tex.

Inc.

1961 filed 100,000 common. Price—$5. Business
—Research/ and development in the /data and image

of 6% 5-year subordinated debentures. Price—For stock*
$1; for debentures, at par ($100). Business—Production
of television programs. Proceeds—For equipment, debt

For

Trans data,

Nov. 29,

„

Underwriter—Clayton Securities Corp., Boston,
Tele-Cine, Inc.
Dec. 29, 1961 ("Reg. A") 100,000 common and $100,000

Dec. 8, 1961 ("Reg. A") 13,559 class A common. Price—
S7.37. Business—Operation of supermarkets. Proceeds—
For

Inc.,

processing and ' transmission field.
debt
$100 of debentures and 20 common, f repayment and other corporate purposes/ Office—1000
N. Johnson Ave., El Cajon, Calif. Underwriter—N. C.
Price—By amendment.
Business — Manufactures illu¬
minated and non-illuminated signs and other advertis¬
Roberts & Co., Inc., San Diego. '
/
ing material/
Proceeds — For debt repayment and
Trans-Pacific Research &

Houston.

260,000

Price—$1.15.
outdoor fluorescent lighting
devices. Proceeds—For working
capital, equipment, in¬

in units consisting of

tion.

Steel Plant

Co.,

•"/

poses.

Tel-A-Sign, Inc.
'
Oct. 30, 1961 filed $900,000 of convertible subordinated
debentures due 1974 and 180,000 common to be offered

Proceeds—General corporate purposes.

boxes, brochures,
packaging materials and packaging machines. Proceeds

&
MS.

Industries,

quisition, repayment of debt, and other corporate purOffice—110 E. 6th "Ave., Anchorage/ Alaska. Un¬
derwriter—Milton D. Blauner & Co., Inc., N./YJ;///J-

working capital. Office—153 Union Ave., East Ruth¬

Stanley Industries Corp.
Oct. 26, 1961 filed 80,000 common.

general

—

Harvey

J-V ■-/;?//.' •

Trans-Alaska Telephone Co. (2/13-16) \'.v?
Nov. 29, 1961 filed 265,000 common, of which 250,000 are >
to be offered by the compa"ny and 15,000 ,by a stock- <
holder. Price—$6. Proceeds—For construction, and ac- ;

Co., Inc. (2/5-9)
28, 1961 filed 100,000 common. Price—$3.25. Busi- /
ness
Design and manufacture, of inert gas welding'{
equipment/ Proceeds—For debt repayment, expansion

erford, N. J. Underwriter—Scott,
Fairlawn, N. J.

Proceeds—For' debt;-repay- :

•

and

February.

Tec-Torch

and

18,-1962

general corporate purposes: 'Office-^-18033 S.
Santa Fe Ave., Long Beach, Calif. Underwriter—Adams
&
Co., Los Angeles. Offering —/Expected in mid-

ment

Nov.

Oct. 13, 1961 filed 210,000 common, of which 183,000 are
to be offered by the company and 27,000 by a stock¬

Thursday, January

truck- trailers.

commercial

transparencies and other
displays.'Proceeds—For debt '
repayment,v expansion, research, and working capital.
Office—11 Sintsink Dr., East Port Washington, • N; Y;
Underwriters—Bull & Low; John R. Maher Associates; ■
and R. Topik & Co., Inc., N. Y.
technical training aids and

Trait-Aire, Inc.
Dec. 27, 1961

Business

—

,/■

C'Reg. A") 55,000 capital shares. Price—$5;
Manufacturing, servicing and repairing of

expansion and working
capital. Office—Columbus Rd., Burlington, N. J. Underwriters—Hess, Grant & Remington, ^nc., Philadelphia
and

Arthurs, Lestrange & Co., Pittsburgh.

;

Volume

Number 6126

195

The Commercial mid: Financial Chronicle

United Investors Life Insurance .Co,

Dec.

..,

Sons

the

associated with

parent

its

company. or

sub-

Proceeds—For debt repayment

sidianes. Pric^By amendment, Business—A legal reacC/nH

f|ce—45th St.

K/2«
■5'

manufacture

The

ness

working

capital, umce

Underwriter

(

Busi-

4iu

rourtn Ave.,

Publications, Inc.

Business—Publishing

and

■

U. S. Realty Investments

i
i

Distributors, Inc.

(2/5-9)

® West Fails Shopping Center Limited Partnership

(2/26-3/2)

ests to be offered in 444 units. Price—$1,000. Business—
Development of a shopping center at Falls Church, Va.
Proceeds—For general corporate purposes. Office—1411
K St., N. W., Washington, D. C. Underwriter—Hodgdon
& Co., Inc., Washington, D. C.

company and 48,000 by stockholders,
cosmet-

vie

Tanny Enterprises, Inc.

(1/22-26)-

May 11, 1961 filed 200,000 shares of class A

to be sold by Mr. Vic Tanny,

Offering—Expected in early March.
Univend Corp.
(1/29-2/2)
•
Sept. 29, 1961 ("Reg. A") 115,000 common. Price—$2.50.
Business—Operates coin-vending machines for food and

• Virginia Bare Stores Corp. (1/29-2/2)
Oct. 27, 1961 filed 154,000 common, of which 100,000
shares are to be offered by the company and 54,000

drink. Proceeds
Office—28

—

O'Brien

For expansion

and

working capital.

Universal

Place, Brooklyn, N. Y. Underwriter
" *
,

—Ezra Kureen Co., N. Y.

Laboratories

Electronics

Corp.

*
*■'v
Sept. 28, 1961 filed 90,250 common, of which 76,250 will
be sold by the company and 14,000 by stockholders. Price
—By amendment. Business—Design, development and
production of teaching machines. Proceeds—For produc(1/29-2/2)

•

etc. Office—510.
Hudson St., Hackensack, N. J. Underwriters—Stearns & •
Co., Clark, Weinstock & Porges, and Elmaleh & Co., Inc.,
tion

;

advertising,

expenses,

N; Y.

-•

marketing

Universal Ughting Products, Inc.

—Manufacturer

:
.

by stockholders.

Uropa International, Inc. (1/29-2/2)
Sept, 28, 1961 filed 120,000 common. Price—$2.50. Busi-

ness—Importing of compact appliances and stereophonic
radio and phonograph consoles. Proceeds—For working
capital.
Office—16 W. 32nd St., N. Y.
Underwriter—
Dean Samitas & Co., N. Y.

•

Specialties Co.

(2/13-16)

Nov. 0, 1961 ("Reg. A") 100,000 capital shares. Price—$3.
Business — Sale of vitamin products and proprietary
drugs. Proceeds—For debt repayment and working capW.
ital. Office—3610-14 N. 15th St., Philadelphia. Underwriter—Woodcock, Moyer, Fricke & French, Inc., Phil•

Voldaie, Inc. (2/5-9)
20, 1961 ("Reg. A") 54,000 common. Price—$4.25.
Business—Acquisition and development of new patents,
Proceeds—For debt repayment and working capital. Office—35-10 Astoria Blvd., Long Island City, N. Y. Underwriter—Peters, Writer & Christensen, Inc., Denver.
Volume Distributors, Inc.

24, 1961 filed 90,000

common.

Price—By amend-

U-Tell Corp.

(1/29-2/2)
("Reg. A") 33,097

Sept. 18, 1961
Business
Operation of
—

Office—3629 N. Teutonia
writer—Continental
•

VaS-U

common.

Price

$5.

—

discount department store,

Ave., Milwaukee, Wis. Under-

Securities Corp., Milwaukee, Wis.

Hemes Corp.

of Delaware (2/5)
Aug. 28, 1961 filed 100,000 common. Price—$5. Business
—The manufacture of prefabricated buildings and building components. Proceeds—For working capital. Office
•—765 River St., Paterson, N. J. Underwriter—Mayo &
Co., Inc., Philadelphia.
,

Wage's

Steak House

■■

which 55,736 are to
the company and 23,076 shares by a stockPrice-—By amendment.
Business—The opera-

be offered by

holder.

tion of four restaurants in Maine and Mass.

Proceeds—

For

expansion, debt repayment and general corporate
purposes. Office-646 Forest Ave., Portland Maine. Underwnters—H. M. Payson & Co., Portland, and R. W.
Pressprich & Co., N. Y.
-

•

Valley Metallurgical Processing Co. (2/6-8)
23, 1961 filed 70,000 common. Price—By amendBusiness—Production of metal powders for the

Oct.

ment.

rocket, munitions and pyrotechnics industries.
•—For debt repayment

Office—Essex,
Inc., N. Y. •

Conn.

Proceeds

general corporate purposes.
Underwriter—McDonnell & Co.
and

•

Van-Pak, Inc. (2/13-16) " \
Sept. 15, 1961 filed 140,000 common. Price—$15. Business
—A nation-wide and overseas non-regulated freight forwarder engaged in the forwarding of household goods,
Proceeds—To repay debt, purchase metal containers, and
increase working capital. Office — 542 Insurance Exchange Bldg., Des Moines, Iowa. Underwriter—Hodgdon
& Co., Inc., Washington, D. C.
-

Van Der Hout Associates Ltd.

Nov. 29,
:
,

1961 filed 100,000.common. Price—By amend-,
ment. Business-r-National distributor of automotive parts.

ment. Business—Operation of a self-service family shoe
store chain and shoe departments in discount department stores. Proceeds—For debt repayment and other
corporate purposes. Office—115 W. Crane St., Topeka,
Kan. Underwriter—Stern Brothers & Co., Kansas City,

MoVornado, Inc.

(2/14)

1961 filed $5,500,000 of convertible subordinated
debentures due 1982, to be offered to common stockholders at the rate of $100 of debentures for each 25
shares held. Price—By amendment. Business—Operates

chain

retail

"discount"

stores

and

manufactures

electric appliances. Proceeds—For expansion. Office—
174 Passaic St., Garfield, N. J. Underwriter—Bache &
Co., N. Y.
.

Voron Electronics Corp.

jujy 28

1961

Busines^-The
the

sale,

share held and two-fifths of a right for each preferred
share held. Two rights will be required to purchase one
new snare. Price—By amendment. Proceeds—For consj^cuon^ Office — 15900 San Jose-Los Gatos Kd^ Los
Gatos, Calif. Underwriter—Dean Witter & Co., San FranC1SC0.'•".\
';i':
Western Reserve Life Assurance Co. of Ohio
l^ec' 29, 1961 filed 213,734 common to be offered for

subscription by stockholders on the basis of two new
shares for each 3 held. Price—By amendment. Procee^
~FPr expansion. Office—335 Euclid Ave., Cleveland,
Underwriters — McDonald & Co., and Ball, Burge &
Kraus, Cleveland.
■:
Western States Real Investment Trust
Nov. 13, 1961 filed 32,000 shares of beneficial interest.
Price—$6.25. Business—A^ small business investment
company. Proceeds—For i n v e s t m e n t. Office—403
Ursula St., Aurora, Colo. Underwriter—Westco Corp.,
Aurora, Colo.
• Western Union Telegraph Co.

(2/5)

Jan. 10, 1962 filed $50,000,000 of sinking fund debentures
due 198?- Price—By amendment. Business—Furnishes

Dec. 7,

Dec. 22, 1961 filed 78,812 common, of
■

Western California Telephone Co. (2/15)
V
Dec. 18, 1961 filed 84,000 common to be offered for subscription by preferred and common stockholders of record Feb. 15, on the basis of one right for each common

...

Vitamin

Nov.

(2/5-9)

offered in tfhits, each consisting of $100 of debentures
and 20 common shares. Price—$200 per unit/.Businfess—
General real estate. Proceeds—For debt repayment and
working capital. Office — 9412 Wilshire Blvd., Beverly
Hnls, Calif. Underwriter—Morris Cohon & Co., N. Y.

repayment. Office—68 Thirty-third St., Brooklyn, N. Y.
Underwriters—Ross, Lyon & Co., and Globus, Inc., N. Y. ;
Offering—Expected in late March.
J
;

Oct.

Westates Land Development Corp.

Busi-

adelphia.

•

Bids—Expected March 5 (at 12 noon EST). Information
Meeting—March 2 (10:30 a.m., EST) at 55 Wall St., (5th
floor), N. Y. .

• Visual Arts Inrustries, Inc.,
.
.
Dec. 26, 1961 filed 95,000 common. Price—$2. Business
—Design, assembly, production and sale of creative arts,
crafts, hobbies and educational toys. Proceeds—For debt

capital. - Office—55 Bergenline Ave., Westwood, N. J.
Underwriter—Globus, Inc., N. Y. Offering—Sometime in
>

Price—By amendment.

Co.-First Boston Corp. (jointly); Harriman Ripley & Co.;
Kidder, Peabody & Co.-White, Weld & Co. (jointly).

fice^l:n : Eighth Ave., N. ; Y. .Underwriter—Lehman
Brothers, N, Y. * .»,<«,p.-

February.

ness^Qpei$tipp qf ^tqj^^Uing women's, misses and / Sept. 28, 1961 filed $1,500,000 of 7% convertible subord.
^ children's ,kpparel.
Proceeds--For working capital. Ofdebentures due 1976 and 300,000 common shares to be

•

Sept. 21, 1961 filed 175,000-common. Price—$1. Business
of lighting. fixtures and display and
merchandising equipment for use in gasoline service
stations..Proceeds
Repayment of debt and workingt

12, 1962 filed $30,000,000 of first mortgage bonds,

series S, due March 1, 1992. Proceeds—For debt repayment and construction. Address—Cabin Hill, Greensburg, Pa. Underwriters—(Competitive). Probable bidbers: Halsey, Stuart & Co. Inc.; W. C. Langley & Co.;
Lehman Brothers; Eastman Dillon, Union Securities &

common

stockholder, who will
use proceeds to repay debt to company. Price—$6.25.
Business—The operation of a national chain of gymnasiums and health centers for men and women. Office—
375 Park Ave., N. Y. Underwriters—Globus, Inc., and
Ross, Lyon & Co., Inc., N. Y.

April 11, 1961 filed 2,500,000 shares of stock. Price—$10
share. Business—A new mutual fund. Proceeds—For
investment. Office—20 W. 9th Street, Kansas City, Mo,
Underwriter—Waddell & Reed, Inc., Kansas City, Mo.

Jan.

(3/5)

* West Penn Power Co.

per

Price—$2. Business

Nov. 14, 1961 filed $444,000 of limited partnership inter-

United Variable Annuities Fund, Inc.

common.

promotion and advertising services to mothers on behalf
of retail stores. Proceeds—For debt repayment and general corporate purposes. Office—210-07 48th Ave., Bayside, N. Y. Underwriters—Globus, Inc., and First Philadelphia Corp., N. Y. Offering—In late February.

ics. Proceeds—For new product development, advertising and working capital.
Office — 4206 W. Jefferson
Blvd., Los Angeles, Calif. Underwriter—Garat & Polonitza, Inc., Los Angeles.

blower & Weeks, N. Y.
i

Inc.

75,000

to be sold by

Drug

filed'

—Company renders direct mail public relations, sales

amendment.

price—$5. Business—Wholesale distribution of

21, 1961 filed 600,000 shares of beneficial interests,
Price—By amendment. Business—A real estate investment trust. Proceeds — For general corporate purposes,
Office—720 EucHd Ave., Cleveland. Underwriter—Horn_

# Welcome Baby

Oct. 2, 1961 filed 168,000 common, of wnicn 120,000 are

Dec.

Venus

N. W. 12th Ave., Miami, Fla. Underwriter—
Charles Plohn & Co., N. Y. Offering—In April.

of which 55,000 areV Dec. 28, 1961

liston & Beane, N. Y. Offering—Expected in March.;

hand-

Douglas Enterprises, 8856 18th Ave., Brooklyn,

writer

'"■■■■
common,

Business—Design, manufacture
and distribution of aids for hair styling, and the proauction of eyebrow pencils, lip liners, etc. Proceeds—
jror debt repayment, equipment and working capital,
Office—585 Gerard Ave., N. Y. Underwriter—J. R. Wil-

Brooklyn.

industrial

cap-

—2305
■

be offered by the company and 69,900 by stockholders.

books. Process—Debt repayment, expansion and workmg: capital. Office—480 Lexington Ave., N. Y Under-

of military

cargoes.

Price—$4.50. Business—Retail saie of liquor in and
about Miami, Fla. Proceeds—For working capital. Office

Adams & Co., Los

—

Corp.

27f 1961 filed 124,900

price—By

Sept. 26, 1961 ("Reg. A") 100,000 common Price—$3.

;

Vassar

Dec

^automatic control systems.

liner-type

ers.

named.

Electronic

Weinkles Liquor Stores, Inc.

Angeles. Offering—Expected in late January.

ling program, research and development, equipment and

carrying

Dec. 27, 1961 filed 165,000 common, of which 80,000 are
to be offered by the company and 85,000 by stockhold-

Ave., Reseda, Calif. Underwriter

For repayment of debt, a sales and advertis-

Proceeds

•{.

The

matter. Proceeds—For debt repayment, equipment, plant

Controls, ;lnc.
Sept. 28, 196L filed 120,000 common. Price—$2.25.

—

ness—Supplies publishing and technical services to industrial and commercial firms for publishing of printed

125

ital. Office—71 Saint Joseph St., Mobile, Ala. Underwriter-Shields & Co. Inc., JN. Y. (mgr.). Offering-Expected sometime in March.
-

;

(393)

Proceeds—For the purchase of vessels, and working

Dec- 26> 1961 ("Reg- A'"> 50'000 comm<>n- Price-$4. Busl- '

Philadelphia. Underwnter—God-

Hamilton, TaylorCo., inc., JN. Y.

Inc.

Business

ment.

ArfroayShno> improvements and working capital. Office—7133 Darby

7-4511 Wayne ^ Ave.,

OfN. J.

^ov. 29, 1961, filed 102,000 common. Price $3. Business
general packaging business. Proceeds

and working capital.

and Crescent Blvd., PennsaUken,

Varigraphics,

3/24 •

Underwriter—Mayo & Co., Inc., Philadelphia. Offering
_imminent. • •.
:
?

Sf Waddell & Reed Ottfce—20 W. 9th St., Karaas City,
.J®0* Underwriter—Kidder, Peabody & Co., N. Y. Offer-

(

;

Varicraft Industries, Inc.
Nov. 7, 1961 ("Reg. A") 120,009 common. Price—$2.25.
Business—Custom design and manufacture of furniture.

plies; also repairs and services various type airplanes
Proceeds — For expansion and general corporate purposes. Officer-Civic Memorial Airport,
E. Alton, 11L
Underwriter—White & Co., Inc., St. Louis.
Waterman Steamship Corp.
Aug. 29, 1961 filed 1,743,000 common. Price—By amend-

Underwriter—Rosmar

Corp., Ltd., Toronto.

in Canada. Proceeds—For selling stockholders. Office—

1480 Lake Shore Rd., Toronto.

filed 562,500 common, of which 472,100
shares are to beoffered for subscription by stockholders
i of Waddell & Reed, Inc., parent, on the basis of one
K v United .share for each two Waddell shares held.
The
remaining 90,400 shares will be offered to certain per1961

15,

V/,

(1/29-2/2)

filed

100 000 class A shares Price
manufacture of electronic test

equipment!

installation

and servicing of industrial and
commercial communications equipment and the furnish-

ing of background music. Proceeds—For tooling, production, engineering, inventory and sales promotion of
its products and for working capital. Office — 1230 E.
Mermaid Lane, Wyndmoor, Pa.
Underwriter — John
Joshua & Co., Inc., N. Y.
Wacle, Wenger ServiceMASTER Co.
Dec. 28, 1961 filed 140,000 Capital shares.

Price—By

amendment. Business—Sale of franchises for on-location

cleaning and moth-proofing of rugs, furniture, etc. Comalso manufactures and sells cleaning equipment
and supplies to franchise holders. Proceeds—For debt
repayment, new building and equipment arid other corporate purposes. Office — 2117-29 N. Wayne, Chicago,
Underwriter—-Laren Co., N. Y.
:
pany

communications service by wire telegraph and microwave
radl? in U. S., and by ocean cable^between U. S. and
foreign countries. Proceeds For debt repayment and ex-

Hudson St^, N. Y. Underwriters

PaIi5*or^.•

Kuhn, Loeb & Co., and Lehman Brothers, N. Y*
v
• Westland Capital Corp. (1/22-26)
Sept. 21, 1961 filed 985,500 common. Price—$11. Business
—A small business investment company. Proceeds—For

Working capital. Office—9229 Sunset Blvd., Los Angeles,
Calif. Underwriter—Bear, Stearns & Co., N. Y, *
Wham-O Mfg. Co.
Dec. 26, 1961 filed 145,000 common, of which 72,500 are
to be offered by the company and 72,500 by stockholders. Price—By amendment. Business—Design, manufacture and sale of toys and games, sporting goods and
housewares. Proceeds—For working capitaL Office-^83o
E. El Monte St., San Gabriel, Calif. Underwriter—Lester,

Ryons & Co., Los Angeles.'
White Electromagnetics, Inc.
Oct. 5, 1961 filed 65,000 common. Price—$3.75. Business
—-Rendering of consulting services pertaining to electronic system analysis. Proceeds—For expansion, publication of technical papers, marketing, product development and working capital. Office—4903 Auburn Ave.,
Bethesda, Md. Underwriter—Weil & Co., Inc., Washington, D. C.
Wiatt

(Norman)

Co.

(2/5-9)

Walston Aviation, Inc.
Oct. 30, 1961 filed 90,000 common, of which 60,000 are to

Nov. 28, 1961 filed 135*000 common, of which 45,000
shares are to be offered by the company and 90,000 by

be offered by the company and 30,000 by a stockholder,
Price—$6.25. Business—Sells Cessna Airplanes and sup-

stockholders. Price—By amendment. Business—Design
Continued on page 126
v

...

126

Continued from page
and

eral

manufacture

125

Do you have an issue you're
Our

that

planning to register?
would like
can prepare an item

Department

News

know about it

.;v:'

Corporation

similar to those you'll find hereunder.
•

Wtdmann

(L.

F.)»

(2/13-16)

Inc.

Would

162,000 common, of which 102,000 are
the company and 60,000 by stock¬
holders. Price—$3. Business—Operates a chain of retail
drug stores. Proceeds—Expansion, equipment and working capital. Office—738 Bellefonte Ave., Lock Haven, Pa.
'Underwriter—Godfrey, Hamilton, Taylor & Co., N. Y,

write

Oct. 27, 1961 filed
to
be offered by

•

Thursday, January 18, 1962

Japan Development Bank

;

that the Japanese Finance
bank to issue $30,000,000
of Guaranteed External Loan Bonds, preferably in the
U. S., in fiscal 1962. Business—The bank was incorpor¬
ated in 1951 as a Japanese Government financial insti¬
tution to supply long-term funds to Japanese industry
for promotion of economic reconstruction and industrial

UNDERWRITERS!

ATTENTION

Office—124 E. Olympic Blvd.,
Underwriters—Schwabacher & Co., and J.
Co., San Francisco; and Bear, Stearns & Co.,

N. Y.

10, 1962 it was reported
Ministry had authorized the

corporate purposes.
&

;

Jan.

dresses. Proceeds—For gen¬

of ladies'

Los Angeles.
Barth

Chronicle

The Commercial and Financial

(394)

telephone

you

2-9570
7, N. Y.

REctor

at 25 Park Place, New York

000,000)

John's Bargain Stores

Offerings

/ Prospective

($20,-

underwritten by First Boston Corp., Dillon,
Inc., and Smith, Barney & Co., Inc.'
/ *;

was

Read & Co.

„

Underwriters—To
Oct. 3, 1961

The last sale of bonds on

named.

Japan.

Office-—Tokyo,

development.

Corp.

July 27, 1961 it was reported that this company plans; toy
file
a
registration
statement
covering
an
undis¬
closed number of common shares. Business—The opera¬
tion7: of a chain of discount stores selling household

ic Alabama Power Co. (6/7)
On Jan. 12, 1962 it was reported that this subsidiary of r
the Southern Co. plans to offer $17,000,000 30-year first
goods. Office—1200 Zerega Ave.. Bronx. N Y Under¬
mortgage bonds in June. Office—600 N. 18th St.; Bir- :
writer—Hayden, Stone & Cq.,*N. Y. Offering—Expected
mingham, Ala. Underwriters—(Competitive)
Probable
in early 1962.
*'„"/•••. /;;/
bidders:
Blyth & Co. Inc.'-Kidder, Peabody'; &
Co.
it La Salle National Bank (Chicago)
'• W
C
(jointly); Morgan Stanley & Co.; First Boston Corp.;
Jan. 16, 1962 it was reported .that stockholders are to
Eastman Dillon, Union Securities & Co.-Equitable Secu¬
vote Jan. 25 on a proposed 2 Vi -for-1 split, a 1-for-11
rities Corp.-Drexel & Co. (jointly); Lehman Brothers,
stock dividend and sale of 50,000 new $10 par shares to
Halsey, Stuart & Co., Inc.
Bids—Expected June 7.
stockholders on the basis of one share for each nine held
Registration—Scheduled for May 10. '
1
"
of record Jan. 24. Price—$50.
Office—135 So. La Salle
• American
Telephone .& Telegraph Co. <2/14)
St., Chicago/ Underwriters—McCormick & Co.; A. C.
Dec. 20, 1961 it was reported that the company plans
Allyn & Co., and A. G. Becker & Co., Chicago. :-//:/
to sell $300,000,000 of debenture bonds due Feb. 1, 1994.
Maryland National Bank >
Proceeds—For expansion. Office—195 Broadway, N. Y.
Jan. 17, 1962 it was reported that this bank is offering
Underwriters—(Competitive). Probable bidders: Morgan
stockholders the right to subscribe for 88,554 additional
Stanley & Co.; First Boston Corp., and Halsey, Stuart &
$10 par shares on the basis of one new share for each
Co. Inc. (jointly). Bids—Expected Feb. 14. Registration
10 held of record Jan. 16 with rights to expire Feb. 5.
—Scheduled for Jan. 19.
Price—$75. Office—Baltimore and Light Sts., Baltimore
^Atlantic Coast Line RR.
3, Md. Underwriters — Robert Garrett & Sons, Alex.
Jan. 16, 1962 it was reported that this road expects to /
Brown & Sons and John C. Legg & Co., Baltimore.
r
sell $4,155,000 of equipment trust certificates in late
Masters Inc.
'
February or early March. Offices—500 Water St., Jack¬
Jan. 6, 1961'it was reported that this corporation is
sonville, Fla., and 220 E. 42nd St., N. Y. Underwriters—
contemplating its first public financing. Business—The
(Competitive). Probable bidders: Salomon Brothers &

Wiggins Plastics, Inc.

„

("Reg. A") 100,000 common. Price—$3.
compression, transfer and injection
molding of plastic materials. Proceeds—For debt re¬
payment and general corporate purposes.
Office—180
Kingsland Rd., Clifton, N. J. Underwriter—Investment •
Planning Group, Inc., East Orange, N. J. Offering—Ex¬
pected in mid-February.
Oct.

1961

20,

Business—Custom

•

Windsor

(Kay),

(1/22-26)

Inc.

Sept. 28, 1961 filed 200,000 class A common. Price—By
amendment. Business—Manufacture and sale of women's
dresses. Proceeds—For a selling stockholder. Office—
St., New Bedford, Mass. Underwriter—Lee Higginson Corp., N.Y.
Deane

Windsor Texprint, Inc.

Aug. 25, 1961 filed 265,000 common, of which 250,000 are
to be offered by the company and 15,000 by stockholders.

Price—$2. Business—The printing of towels and other
products.
Proceeds—For repayment of loans.
Office—2357 S. Michigan Ave., Chicago. Underwriter—
textile

D. E. Liederman &
•

Co., Inc., N. Y. Offering—In Feb.

Winslow Electronics, Inc.

38th

1961 filed 125,000 common. Price—$4. Business
—Design and manufacture of precision electrical and
electronic measuring devices and test equipment. Pro¬
ceeds—For debt repayment and other corporate pur¬
poses. Office—1005 First Ave., Asbury Park, N. J. Under¬
writer—Amos Treat & Co., Inc., N. Y. Offering—In Mar.
J* Wonderland Motel,

it Chicago, Burlington & Qunicy RR.

(2/8) «
Jan. 17, 1962 it was reported that this road plans to sell
$6,450,000 of equipment trust certificates due Sept. 1,
1962-77
in
February.
Two additional issues totaling
about $6,500,000 also will be sold in the late Spring and
Fall. Office—547 West Jackson Blvd., Chicago. Under¬
writers—(Competitive).
Probable bidders/Salomon;
Brothers & Hutzler, Halsey7'Stuart & Co* Inc./ Bids—:
Feb. 8 (12 noon CST), at above address.

Inc.

1962 ("Reg. A") 18,000 common. Price—$5. Busi¬
ness—Operation of a motel. Proceeds—For debt repay¬
ment, furnishings and working capital. Office—2021
Central Ave., Hot Springs, Ark. Underwriter—None.

Jan. 2,

World Scope Publishers, Inc.

Business—The

amendment.

and other reference books.

(1/29-2/2)

shares. Price—By
publishing of encyclopedias

common

Proceeds—For repayment of

Standard Securities Corp., N. Y.

company

10,

vote

(2/5-9)

Feb.

for sale

the sale of toys, hobby goods and related items. Proceeds
—For general corporate purposes. Office—408 St. Peter

Feb.

St., St. Paul, Minn. Underwriter—Laren Co., N. Y.

1962

reported that stockholders are to
increasing authorized stock to provide
49,875 additional shares to stockholders on

was

writer

Worldwide

Fund

Ltd.

Sept. 19, 1961 filed 100,000
curities

common.

Price—$100. Busi¬

plans to invest primarily in equity se¬
foreign issuers. Office—Bank of Bermuda.

£ Bldg.,

Hamilton, Bermuda. Underwriter
Co., N. Y.
Wulpa Parking Systems, Inc.
Oct.

13,

1961

("Reg.

—

Burnham

(2/5-9)

A")

75,000 common.
Price—$4.
Business—Company plans to manufacture a parking de¬
vice called the "Wulpa Lift." Proceeds—To open loca¬
tions and increase working capital. Office—370 Seventh
Ave., N. Y. Underwriter—Ehrlich, Irwin & Co., Inc., N. Y.
Wynlit Pharmaceuticals, Inc.?
28, 1961 filed 125,000 common. Price—By amend¬
ment. Business—Development and manufacture of phar¬
maceuticals and medical products. Proceeds—For general
corporate purposes. Office—91 Main St., Madison, N. J.
Underwriter—Andresen & Co., N. Y.

new

share for each 11 held

of record

Price—$40. Proceeds—To increase capital and
surplus. Office—300 Main St., Stamford, Conn. Under¬

None.
: v'v'
'
■
v' r
it Georgia Power Co. (11/7)
On Jan. 12, 1962 it was reported that this subsidiary of
the Southern Co. plans to offer $23,000,000 30-year first '

bonds in November.
Office—270 Peachtree
Bldg'., Atlanta, Ga. Underwriters—(Competitive). Prob¬

Plastics, Inc.
("Reg. A")

common.

Price

—

$3.

Bids—Expected
Oct.

5.,

Nov.

Registration—Scheduled

for

stock in November.
Office—270 Peachtree Bldg.,/At¬
lanta, Ga. Underwriters—(Competitive). Probable bid¬
ders: Blyth & Co., Inc.; First > Boston Corp.; Morgan
Stanley & Co.; Eastman Dillon, Union Securities & Co.Equitable Securities Corp. (jointly); Lehman Brothers.
Bids—Expected Nov.
7.
Registration—Scheduled
for
Oct. 5.
•
•
;•...r '
■
; -

10, 1962 it

vote

Feb.

holders

Youthcraft

manufacture

Inc.

(2/13-16)

vertible

foundation garments for "juniors" and
women. Proceeds — To finance increased
accounts re¬
ceivable and for other corporate purposes. Office—21-09
Borden

Ave., Long Island City, N. Y.
Paine, Webber, Jackson & Curtis, N. Y.

Underwriter—

Inc.

Nov.

22, 1961 filed 120,000 common. Price—$4.50. Busi-'
ness—Development and manufacture of ethical pharma¬
ceuticals, non-prescription drugs, vitamins, etc. Proceeds

debentures
on

pro

stockholders

are

vote

Jan.
sale
of

which

would

offered

stock¬

rata basis. Underwriters—Morris Cohon

National

10, 1962 it

Bank & Trust Co.

that stockholders are to
increasing authorized stock tq provide
170,000 new shares to stockholders on the

was

reported

of
one

new

porate

Proceeds—For

debt, repayment and other cor¬
Office—San Diego, Calif. Underwriter

purposes.

—California Investors, Los Angeles.
MercantaileNational

Jan.

Dallas

Bank at

(Texas)

reported that this bank is offering
stockholders the right to subscribe for an additional
100,000 shares on the basis of one new share for each 15
held of record Jan. 16 with rights to expire Jan. .26.

17, 1962 it

was

Office—1704 Main

St., Dallas. Underwriters—Rauscher,
Co., and First Southwest Co., Dallas.
1

Pierce &

^ Mississippi Power Co. (4/12) >7
On Jan. 12, 1962 it was reported that this subsidiary- of
the Southern Co. plans to offer $6,000,000 30-year first
mortgage bonds in April. Office—2500 14th St., Gulfport,
Miss. Underwriters —(Competitive). Probable bidders:
Eastman Dillon,! Union Securities & Co.-Equitable Se¬
curities Corp. (jointly); Halsey, Stuart & Co. Inc.; Mer¬
rill Lynch, Pierce, Fenner & Smith Inc. Bids—Expected
April 12. Registration—Scheduled for Mar. 16.
*
National

Dec.

27,

Steel

1961 it

Corp.

reported that stockholders are to
proposed 2-for-l split of the common.
If approved, directors will consider offering 1,500,000 of
was

vote Jan.

new

stockholders

through

subscription

Inc., and First Boston Corp., N. Y.

for

each

seven

held

record

date. Price—$45. Proceeds—JTo increase capital and
surplus. Office—300 Main St., Stamford, Conn. UnderUnderwriter—None.

Jan.

17, 1962 it was reported that this closely held com¬
had postponed until at least the second quarter
of 1962 its original plan to make a public
offering, of
its stock, due to the inability to obtain a favorable tax
ruling from the IRS. Business—Manufacture of various
abrasives and cutting machines. Office—New Bond
St.,
Worcester, Mass. Underwriter—To be named.
Oceania

International, Inc.

Dec. 27, 1961 it was reported that this
company plans to
file a registration covering about
150,000 common shares.
Price—$5.50. Business—Manufacture of simulated pearl

buttons.

Proceeds—For

new

* Ohio Oil Co.
Jan.
to

16,

1962

was

reported that

Securities, Inc., N. Y.

F. Dowd & Co.

subsidiary,

Office—315

designing and
Proceeds—To

and

Central

for

other

Inc., N. Y.

the production

expand teaching ma¬
corporate purposes.

Park West, N.

company

plans

$80,000,000 of 25-year straight debentures
to help finance the
proposed acquisition of Plymouth Oil
Co., on April 2. The sale is subject to receipt of a
favorable tax ruling from the IRS
asset sale by

—539

So.

and approval of the

Plymouth stockholders

Main

St.,

Findlay,

Boston Corp.-Lehman Brothers

March 28.

Office

Underwriters—First

(jointly).

•

Oklahoma Gas & Electric Co. (3/1)
Dec. 13, 1961 it was reported that the
company plans to
offer stockholders the right to subscribe for
for

Price—$3.

teaching machines.

this

issue about

additional

Dec. 12, 1961 it was reported that a full
registration will
be filed shortly covering
100,000 common.

Business—Industrial

plant, Office—Brooklyn,
Co., Inc., N. Y.

N. Y. Underwriter—Baruch Brothers &

328,912

Jaap Penraat Associates, Inc.
(and Visual Education, Inc.)

chine

pany

same

—For repayment of debt and working capital. Office—
150 S. Dean St.,
Englewood, N. J. Underwriter—Sulco

that

Street & Co., New YTork City.

Hartford

basis

Corp.

reported

Jan.
for

Land

was

increasing authorized stock to provide,
300% stock dividend and sale of $12,000,000 of con¬

.& Co., and

Creations,

Laboratories.

American

Jan.

working capital. Office—29 W. 34th St., N. Y. Under¬
writer—Sunshine Securities Inc., Rego Park, N. Y. Of¬

Dec. 6, 1961 filed 130,000 class A shares, of which 20,0001
are to be offered by the
company and 110,000 by stock¬
holders. Price—By amendment. Business—Design and

houses.

★ Norton Co.

ic Georgia Power Co. (11/7)
On Jan. 12, 1962 it was reported that this
subsidiary of
Co. plans to offer $7,000,000 of preferred,

for

fering—Imminent.

•
y »Inc.
;
Dec. 20, 1961 it was reported that this
company plans to
file shortly on 100,000 common shares. Price—$3. Busi¬
ness—The sale, servicing and installation of laundry and
dry cleaning equipment and the operation of such cen¬
ters
at
military bases, trailer parks and apartment

rights on a l-for-10 basis. Business—Company is one of
Co., Inc.; Harriman Rip¬
the major U. S. isteel producers. Proceeds—For expan¬
ley & Co., Inc.; Blyth & Co., Inc.; Kidder, Peabody &
Co.-Shields & Co. (jointly); Equitable Securities Corp.sion. Office—Grant Bldg., Pittsburgh, Pa. Underwriters
Eastman Dillon, Union Securities & Co. (jointly); First * —To be named. The last financing for the
company was
Boston Corp.; Lehman Brothers; Morgan Stanley & Co.
handled by Kuhn, Loeb & Co., Harriman, Ripley & Co.,

Business—Manufactures plastic hangers and forms. Pro¬
ceeds
For acquisition of manufacturing facilities and
—

Office—135-21

able bidders: Halsey, Stuart &

Gulf

100,000

of discount houses.

Equipment,

the

mortgage

Sept. 8, 1961

Zenith

one

20.

the Southern

Dec.

Yankee

the basis of

(1/29-2/2)

ness—The Fund

chain

Avenue, Flushing 54, L. I., N. Y.

McDaniel

•

plans to

Fairfield County Trust Co.

Nov. 24, 1961 filed 150,000 common. Price—By amend¬
ment. Business—A manufacturers' broker specializing in
/

this

about

Jan.

Inc.

'$^3,*"'.j,.*

■ <,

9, 1962 if was""reported 'thai

$40,000,000 of securities, probably first mort¬
gage bonds, about mid-year. Proceeds—For construction.
Office—212 West Michigan Ave., Jackson, Mich. Under¬
writers—(Competitive). Probable bidders: Halsey, Stuart
& Co. Inc.; White, Weld & Co.-Shields & Co. (jointly);
Harriman Ripley & Co. Inc.-First Boston Corp. (jointly);
Morgan Stanley & Co.
t " ?
'
/

debt, working capital and general corporate purposes.
Office—290 Broadway, Lynbrook, N. Y. Underwriter—

World Toy House,

frowerio/'::

Constimer£4
Jan.
sell

July 31, 1961 filed 300,000

operation of

Hutzler; Halsey, Stuart & Co. Inc.

Dec. 28,

Underwriter—R.

each

For

City.
1956

common

20 held

construction.

record

Office—321

was

March

one

new

Proceeds—

North

Harvey St., Okla.
offering in March,
underwritten by Merrill Lynch, Pierce, Fenner

Underwriter—The last

& Smith

the basis of

about

rights

Inc., N. Y.
it Oklahoma Gas & Electric Co. (3/1)
Jan. 17, 1962 it was reported that this
company plans to
offer stockholders the right to subscribe for an addi-

Volume

tional

6126

Number

195

The Commercial find Financial Chronicle

Resin

Research Laboratories, Inc.
1961 it was reported that a full filing will be
made covering 105,000 common. Price—$3.50. Business
—Company is engaged in applied research and develop¬

328,912 common shares on the basis of one new
each 20 held of record about March 1. Pro¬

ceeds-—For

Oklahoma

St.,

Harvey

City. / Underwriter—Merrill Lynch, Pierce,
Smith ' Inc., N. Y.
Registration—Expected

Fenner

Oriice—32,1

construction.

ment

Pacific
Dec.

Electric Co.

Gas &

1961 it was reported that the company plans
to sell some $100,000,000 of securities, probably bonds,
in 1962 to help finance its proposed $221,000,000 con¬
struction program. Office—245 Market St., San Fran¬
cisco. Underwriters — (Competitive). Probable bidders:
27,

First

Boston

Corp.-Halsey, Stuart & Co. Inc.

National

Pacific

Bank

San

1962

(jointly);

San

the

basis

one

Feb.

Price—$45.

new

Proceeds—To

each

for

increase capital

1961 it

12,

—For

mining

•

Pan

American

World

Airways,

<of

stock.

the

Office—135

East

42nd

St., N. Y.

Panhandle Eastern
March

1961

was

Pipe Line Co.
reported that this

the

Public

Service

1961

Co.

-P\

that

Southern

Jan.

bonds in

rities

business

from

Union

Co.-Smith, Barney & Co. (jointly);
Stearns & Co. (jointly). The
last issue of common on Sept. 17, 1957 was underwritten
by Blyth & Co., Inc.-Kidder, Peabody & Co.-Merrill
Lynch, Pierce, Fenner & Smith, Inc. (jointly). Other
bidders were First Boston Corp., and Lehman Brothers.
; Bids—Expected May 22.
"

United States Lines

The

$50

Company

NOTICES

Common

the

Board

$5.

Room

the payment

($.50)
to

DIVIDEND

COMMON

(9tf)

Record

of a dividend of fifty cents
share payable March 9, 1962,
of Common Stock of record
f

has

Directors

fixed

and

declared

on Class "A" Deben¬
(Payment No. 66), and a dividend

be
be

amount

the capital stock, and
payable on Class "B"

No. 42), out of
the year 1961, payable at
No. 20 Exchange Place, New

(Payment

been

3400,

New

paid

to
W.

New

the close of busi¬

York,

and

February

after

York,

the
W.

holders.
COX, Secretary

New York,

January

Forms Dana Securities
Dana

Securities

ducting

President

1962

Co.,

Inc.

share on the
Stock, payable

15, 1962 to stock¬
holders of record at the
close of business February

and

Secretary

QUARTERLY DIVIDEND

Tobacco

Tha

•

Secretary
•

*.'*>■

•

Record February 28,

•

Makers tof

Payable March 15, 1962

•

Goodyear lire & Rubber Ci.

By R. L. Miller,

16, N.Y.

504 per Common Share

Company

15, 1962.

375 FIFTH AVENUE

Declared January 15, 1962

1962

Camel, Winston, Saicm & Cavalier

•

January 16, 1962

WILLIAM

cigarettes

KEEFE,

Vice President & Secretary

y_:

Prince

THE GREATEST NAME IN RUBBER

Albert, George Washington
Pioneer Long-Distance

Carter Hall
•

ACETATE

CELLOPHANE

•

AVISTRAP®

•

AVICEL®

Transporter and Producer of Natural Gas

smoking tobacco

—ME
DIVIDEND

QUARTERLY DIVIDEND

NOTICE
•"

quarterly

•

per

AMERICAN.

VISCOSE

;

CORPORATION

dividend

has

been

the Common

of 40c

declared

Directors of the American Viscose Corporation, at their
dividend of

stock,

January

fifty cents (50c)

payable

per

1962,

declared
the

quarterly dividend of
37 V2 cents per share on the
outstanding shares of common
stock of the Company, payable
on March 6, 1962 to holders of

>A C£ T ATE

•

and

the

payable

January 17, 1962.

Treasurer

CELLOPHANE

Feb-

15, 1962.
R.

LYBROOK,
Secretary

Winston-Salem, N. C.
5

\*L M

March

of business

WILLIAM
.

January 11, 1962

clared

Sixty-two Consecutive Years of

AVISTRAP®

•

AViCEL®

Alabama Power Company

Georgia Power Company
Gulf Power Company
Mississippi Power Company

record at the close of business
on

Serving the Southeast through:

February 5, 1962.

Vice President and Treasurer

MBBBcaa

L. H. Jaeger,

Cash Dividend Payments
•

THE SOUTHERN COMPANY SYSTEM

The Board of Directors has de¬

Company;

ruary

common

Vice President

R AY O

February 1.1962, to shareholders

of record at close of business

(INCOR PORATED)

1962 to stockholders of record

•

meeting

THE SOUTHERN COMPANY

Stock of the

regular

con¬

securities business from
offices
at
258
Broadway, New
York City. William A. Sempier is
a

Pipe Line Company

22 i/z cents per

Common

of the Board

A PUBLICLY OWNED REAL ESTATE COMPANY

firm.

I!. J.

March

Ira Sands

Chairman

Ga.—B.

earnings for

No.

payable
the

Coupons

;

Phillip Gor¬
don and Everette L. Hodge, Jr.,
have joined the staff of Francis
I. du Pont & Co., Trust Company
of Georgia Building.
'
;
ATLANTA,

Panhandle Eastern

day declared the following
y ivy' Jy

January 31,1962, pay¬
February 20, 1962.

RAYON

WESTERN

DIVIDEND

dividend:

NEW YORK

The Board of Directors to¬

per share on the Class A
Stock to Shareholders of

able

per

holders

BAY

No. 115

cash divi¬

dend of nine cents

ness,

Two With du Pont

THOMAS R. CAMPBELL, Secretary
One Broadway, New York 4, N. Y.

The Board of Directors
a

prospectus

—

February 16, 1962.

CONSECUTIVE

declared

company^

bank

Office

6th, 1962.
The dividend on the stock will be
paid to stockholders of record
at the close
of business January 22, 1962. Also, there should
be presented
all prior coupons on Class "a"
and Class "B" Debentures which have not yet

The Board of Directors has authorized

OF AMERICA v

to
to

net

York

CORPORATION

has

loans incurred for property addi¬
Sheridan Springs Road, Lake Geneva,
Wis. Underwriter—The Milwaukee Co., Milwaukee. Wi*.

tions.

the amount payable

Debenture

Stock

MONTHLY

short-term

COMPANY

ture Coupons

DIVIDEND

reported in

RAILROAD

THE FIRST REPUBLIC

was

undetermined amount of capital stock or bonds
will be sold in 1961-1962. Proceeds—For the repayment

GREEN

$7.50

DIVIDEND

12, 1960 it

that

DIVIDEND NOTICES

Wisconsin Southern Gas Co.
Dec.

(Special to Tins Financial Chronicle)

;

offering

additional

Brothers-Bear,

a secu¬

offices

for

Securities &

Lehman

noon

DIVIDEND NOTICES

1270
Sixth
Avenue, New York
City, under the firm name of Dietz

Securities.

right to subscribe
shares on the basis of

Salomon Brothers & Hutzler; White, Weld & Co.-Stone
& Webster Securities Corp. (jointly); Eastman Dillon,

engaging in

reported that the bank is

was

the

(5/22)
Jan. 17, 1962 it was reported that subject to approval of
directors, the company plans to sell about $20,000,000
of mortgage bonds and $10,000,000 of common stock in
May. Office—1407 W. North Temple St., Salt Lake City.
Underwriters—(Competitive). Probable bidders on the
bonds: First Boston Corp.-Blyth & Co., Inc. (jointly);
Kidder, Peabody & Co.; Halsey, Stuart & Co., Inc.;

16, 1962 it

★ Utah Power & Light Co.

EST) in' Room

Dietz Securities Formed

61 Madison Ave., Memphis,,

—

writers—Dean Witter & Co., San Francisco; Evans MacCormack & Co., and Crowell, Weedon & Co., Los Angeles.

■

Halsey, Stuart, & Co. Inc. Bids—Feb. 6 (12
217,,i:l65 Broadway, N. Y.

par
one new share for
each 19 held of record Jan. 9, with rights to expire Jan.
30.
Price—$47.50. Address—San Diego, Calif. Under¬

offer $6,500,000 30-year first
November. Office—600 N. 18th St.,

Vyyy y:'Cyy::'■

$40. Address

—

23,750 $10

Hutzler:

Freda Dietz is

Underwriters—(Competitive)

stockholders

* Southern Pacific Co. (2/6)
Jan. 17, 1962 it was reported that this
company plans
to sell $6,840,000 of 1.-15 year
equipment trust certificates
in February. Office—165
Broadway, N. Y. Underwriters
—(Competitive). Probable bidders: Salomon Brothers &

the previously an¬

NOTICES

Authority plans

Co., Memphis.
★ U. S. National Bank of San Diego

nounced plan to sell about $20,000,000 of common stock
Subway Bowling & Recreation Enterprises, Inc.
to stockholders through subscription*- rights had1 been
Aug. 22, 1961 it was reported that this company plans
to sell about $1,200,000 of common stock. Business—The
postponed until about June 1962. Office—900 15th St.,
Denver, Colo.. Underwriter. — To be named. The last
company has an exclusive franchise from the City of
New York to build bowling and recreation centers in
equity financing was handled on a negotiated basis by
*
First Boston Corp.
y the subways. Proceeds—To build the first three centers

DIVIDEND

the

York City at competi¬
Proceeds — For construction.

Tenn. Underwriter—M. A. Saunders &

Co. plans to

ex¬

of Colorado

reported

was

Bank

1. Price

Birmingham, Ala. Underwriters—.(Competitive) Prob¬
able bidders: First Boston Corp.; Halsey Stuart &
Co.,
Inc.; White, Weld & Co.-Kidder, Peabody & Co. (jointly);
Merrill Lynch, Pierce, Fenner & Smith Inc.-Blyth &
Co., Inc. (jointly); Eastman Dillon, Union Securities &
Co.-Equitable Securities Corp.-Drexel & Co. (jointly);Morgan Stanley & Co. Bids—Expected Nov. 28. Regis¬

Merrill Lynch, Pierce, Fenner & Smith Inc., and Kidder
Peabody & Co., both of New York City (managing).

Aug. 22,

that

100,000 $10 par shares on the basis of one new share for
each 10 held of record Jan.
10, with rights to expire Feb.

mortgage
t

pects to sell about $72,000,000 of debentures sometime in
-1962, subject to FPC approval of its construction program.
Office—120 Broadway, New York City. Underwriters—
.

office

tration—Scheduled for Nov. 1.
company

^Southern Electric Generating Co, (11/28)
On Jan. 12, 1962 it was reported that this subsidiary

Under.

& Hutzler. Bids—Jan. 23 (12 noon EST)
Wilkie, Farr, Gallagher, Walton & Fitzgib<
;bon, 15 Broad St., N. Y.
at

writer-^Merrill Lynch, Pierce, Fenner & Smith Inc.

(1/23)

Brothers

mon

Inc.

the

;

RR.

January. This is the first installment of a total issue
$11,130,000 which will help finance the purchase of
$13,929,533 of additional rail equipment. Office--3600 W.
Broad St., Richmond, Va. Underwriters—(Competitive)
Probable bidders: Halsey, Stuart & Co.
Inc., and Salo¬

National

reported

Trust Co. of Chicago (jointly);
Blyth &
Co., Inc.-J. C. Bradford & Co. (jointly); Halsey, Stuart &
Co. Inc.-Equitable Securities
Corp.-Smith, Barney & Co.First National City Bank of New York
(jointly); First
Boston Corp.-Lazard Freres & Co.-Eastman
Dillon,
Union Securities & Co.-Salomon Brothers '& Hutzler
(jointly). Bids—Expected Jan. 24.

Oct. 30, 1961 it was reported

tional

Sixth Ave.,

that the CAB had approved
company's plan to sell its 400,000 share holdings of
Airlines, Inc. However; it said Pan Am must
start selling the stock within one year and complete the
sale by July 15, 1964. The stock was originally obtained
under a Sept. 9, 1958 agreement under which the two
carriers agreed to a share-for-share exchange of 400,000
shares and lease of each other's jet planes during their
respective busiest seasons. The CAB'later disapproved
this plan and ordered the airlines to divest themselves

was

$45,000,000 of bonds in New

Probable bidders: Chase Manhattan
Bank-Morgan Guar¬
anty Trust Co. of New York-Chemical Bank New York
Trust Co.-C. J. Devine & Co.-Continental Illinois Na¬

Jan. 9, 1962 It was reported that this company plans to
sell $5,565,000 of 1-15 year equipment trust certificates

expenses. ;

Valley Authority (1/24)

—

Seaboard Air Line

was

Offices—39 Broadway,
Underwriter—R. F. Dowd & Co. Inc., N. Yv-;>

1962

bidding in January.
Office—Knoxville, Tenn.

Diego, Calif. Underwriter—Blyth & Co., Inc., N. Y.

.■

Pan American

,Dec.

Office—861

of beer. Proceeds
For the selling stockholders. ★ Union Planters National Bank of Memphis
Office—Milwaukee, Wis. Underwriter—Glore, Forgan &
Jan. 16, 1962 it was reported that this bank is
offering
Co., Chicago. Registration-—Expected in January. ..->*■•■//< stockholders the right to subscribe for an additional
Vf

Beryllium Corp. - •!????
reported that a full filing will be
made covering 100,000 common. Price—$3.
Business—
Operation of beryllium mines in Argentina. Proceeds
•/.'

$17,500,000.

tion

and

;i/V-v£

^Francisco.

some

Underwriter—Rodetsky, Walke*

tive

Schlitz Brewing Co.
1961 it was reported that a full filing will be
made covering about 692,000 outstanding common shares.
Price—About $31.75. Business—Production and distribu¬

surplus. Office—333 Montgomery St., San Francisco. Underwriters—Blyth & Co., N. Y., and Elworthy & Co., San

raise

to sell

Dec. 20,

with the rights to expire *'

shares held of record Jan. 9

Tennessee

(Jos.)

Francisco

1962 stockholders voted to increase capital stock
to provide for the sale of 119,220 additional shares to
stockholders

127

Co., Inc., Jersey City

Jan.

resin's polymer

Sept. 12, 1961 it was reported that this company plans
to sell about 500,000 common to stockholders in mid-

Jan. 9,

San Diego Gas & Electric Co.

Blyth & Co., Inc.
'•

in field

chemistry and plastics
technology. Proceeds — For expansion, diversification
and working capital. Office—400-06 Adams
St., Newark,
N. J. Underwriter—Keene & Co., Inc., N. Y.

■' <"•

Feb. 8.

Office—New York City.

Dec. 20,

for

(395)

Southern Electric
Generating Company

Southern Services, Inc.

the

mii' in 1.11-ir-

win

^ ..nuiiorm AUHMK! >

•''''••,

128

"ft"**

nipiiirirnTwnrttrn'fflr^tt1

'•

■

The Commercial and Financial

(396)

•

■*•*',:*■

Chronicle

...

■

•

1962

Thursday, January 18,

WASHINGTON AND YOU

Tex.)

Investment Bank¬
of America, an¬
meeting at the St. Anthony

Texas Group of

Association

ers

nual

BEHIND-THE-SCENES INTERPRET A TIONS

Hotel.
FROM THE NATION'S

(San Antonio,1

1962

April 8-10,

CAPITAL

•

City)
Association of

(New York

April 27, 1962

Traders

Security

the Waldorf-

New York Dinner at

Astoria.

WASHINGTON, D. C.

Federal

—

the
great depression were a little less
than $3 billion. Today that sum
would not pay the interest on the
expenditures

national

six

for

debt

before

1929

months.

come

Mr.

$450

of that spending.

some

Therefore, the Treasury Depart¬
is paving the way to get an

ment

increase in the national debt limit
of

$3 billion. The debt limit

some

now

The highest

ceiling of all time was
Tokyo. Bay,

surrendered : in

Japanese

the

when

billion

$300

thereabouts, in 1945..
Our

S285

The

vert to that staggering

figure auto¬

about

June 30 of this year,
does something
it. Congress will do some¬

thing

about

matically

Congress

unless

■§■ Spring.
As

before

probably

it,

» »

week is tremendous.

well

that we

mean

now.

There

the

raise

the

raising

Seeking Quick

Action

Administration

Kennedy

would

action

have

quick

some

the

increasing

present

temporary ceiling of $298

billion.

efforts are going to
.be made to raise it beyond the
all-time high mark of $300 billion.
It appears that the national def¬
icit is going to be about $7 billion
come July 1. In his State-of-theUnion
message,
President Ken¬
Apparently

nedy outlined a whole new series
of spending plans. At the same
time
he
talked
about reducing

balancing the budget.

taxes and
The

cold, hard facts

will be

that there

reduction in taxes this

next. If we have a bal¬
budget, Congress is going

year

anced

postal
rates, extend all the existing taxes,
such
a>»
excise and corporation
taxes, and pass laws to withhold
taxes for dividends and interest.
forced

;

are

tax

The
an

raise

burden

all-time

the

not only at

in this country,

high

but it is

going higher. It will con¬
tinue to go up and up until there
is
a
peaceful "revolution." Not
the Federal

only

local

but

peak,

continue

rise,

the

local,

State

cents of every dollar

about 30

at a
taxes

tax bill amounts

and Federal, the
to

state

is to be ex¬

Between

pected.

taxes are

and

Nation's total annual pro¬

duction.

'v';" '

■"

Staggering

'1'

Commitments

Future Federal

in Amount

Maurice

Stans, who served as
Director under President
Eisenhower, said a study by him
shows that besides the direct debt,

Budget

For Distribution in

expert

Centra! New England
Boston

Telephone
CAnal 6-8481

S.ROMANOFFCO.,Inc.
Members:

American

Stock

If it is so much
the tax income it

than

and does create inflation.

EVENTS

old

social

so-called
benefits, and bil¬

security

lions in interest
It

the debt.
that

estimated

been

has

year

other

and

age

each

ap¬

The

agriculture

tremendous

program
in

item

the

total

seven

for

the

commodities

accounted

of the

total

bulk

loan

the end of the 1961 calendar year.
In the warehouses and

of the country were;

286,603,972

wheat,

403.350,-

other

some

Byrd

Senator

Although

advocates

Budget Bureau

and
sound

fiscal

spending policy for our Gov¬
ernment, do not agree, the Ken¬
nedy Administration's Bureau of
the Budget weeks ago defended
expenditures over tax receipts in
this

manner:

"The
tures

of calendar

fleeted

accounts,

impact
and

exert

fluence

the

and

items

were

62,727,733

Association-

Jan.

Kansas City

sociation

Jan.

numerous

other

Commodity

nuts and dry edible beans.
It
is
obvious
that
our

Feb.

estimated

fiscal

getting more and more
expensive to maintain. Neverthe¬
are

less, it is doubtful if there will be
any
substantial changes in the
program this year.
'

may
own

not coincide

may or

ciation

Annual

to:

Fitchburg, Mass.

Traders

than

$3.5

lected

Winter

Dinner

1962

Street.

this

source

the

expected

new

of Houston

annual

With

Champions

outing
Golf Club.;
March 9, 1962

the
•"

Board

GREEN

(Philadelphia, Pa.)

Citizens

Asselin

Wis.

BAY,
is

with

now

Citizens

curities Co., Adaihs ;&
Mr.

Rellevue-Stratford.

Security

Dealers

Annual

M._ Kidder

Qherr^ St.

formerly

was

F.
Se¬

Co.,

with

Inc,

Atlanta, Ga.

1962 (New York City)
36th

Asselin

Urgel

—

Philadelphia annual dinner at the

York

First

Securities

Investment Traders Association of

30,

Incorporated.

As¬

Dinner

Attention

Brokers and Dealers

the Waldorf Astoria Hotel.

MARKETS

TRADING

American Cement
::

Botany Industries
Maxson

Electronics

Official
Waste

Films

King

Our

Carl Marks & Co. Inc.
FOREIGN

expenditure for the

fiscal year which

New

York

tetephone number

CAnal 6-4592

with $402

billion for the 1960 calendar year.

it is

the

(Special to The Financial Chronicle);

1961.

record

endar year as compared

1962

(Houston, Tex.)

Stock and Bond Club

country

continue to rise
levels, averaging
$417 billion during the 1961 cal¬
to

Co., 436 Fourteenth
was formerly

California Company,

from individual in¬
going to be more
billion than was col¬

incomes

Adolph

—

Bleiler

Mr.

Chairman

from

Personal

Bleiler

Calif.

C. N. White &

Asso¬

the Statler Hilton Hotel.

with the "Chronicle'sw sociation

views.]

Adolph

OAKLAND,

(Boston, Mass.)

Securities

ends June

SECURITIES

20 BROAD STREET

TEL:

•

estimated that

expendi¬

down,
the outlay will include
unajor national- security,-the for¬
eign assistance program, and the

SPECIALISTS

NEW YORK 5, N. Y.

HANOVER 2-0050

TELETYPE NY 1-971

tures will total $89 billion. Broken

phones

(Chicago, 111.)

1962

Tel.: PLeasant 4-3295
Direct

Dinner

yield
taxes

the

that

30,

Woohsocket, R. I.

Winter

mildly restraining in¬
the economy."

340 Main St., Worcester 8, Mass.
Tele.: WO 395

Security Traders As¬

Annual

9, 1962

Boston

New

activities

Federal

Bleiler has become associated with

from the nation's Capital and

meet¬

at the Ambassador West.

March 2,

farm

•.

Exchange

Governors

Chicago annual midwinter dinner

March

With

Stock

29, 1962

the "behind the scene" interpretation

early

(Special to The Financial Chronicle)

at the Hotel Continental.

[This column is intended to reflect

year.

C. N. White Co.. ,;

25, 1962 (Kansas City, Mo.)

economy

at Hollywood

Hotel.

(Washington,D.C.)

Board

smaller inventories of shelled pea¬

policies

Convention

Annual

Investment Traders Association of

Credit
Corporation
inventory
such, as
199,610,965 pounds of butter, 57,627,324 pounds of cheese, to name
but
two
items,
and
numerous
the

-'(%??<■

(Hollywood, Fla.)
Bankers
Association

Southern Hotel

There

at the

Jan. 22-23,1962

economy

surplus

1962,

income

stpnulative

private

the

during

shift

calendar
may

had

contributed

recovery

in all four
1961, as re-

national

the
has

has

the

receipts

over

Quarters

of Federal expendi¬

excess

grain sorghum,

bushels of barley.

Spending Defended by

ner

ing at the Statler Hilton Hotel,

bushels

•/

Asso¬

•

A. M. Bleiler With ■

grain bins Firms

? 911.524 bales of cotton,

Traders

IN INVESTMENT FIELD

Department of Agriculture's
investment
of
Commodity

for

(Boca Raton, Fla.)

Security

budget.

proximately one-sixth of our total*
091 bushels
of corn, 514,046,933
output of goods and services are
pounds of tobacco, 70,146,933 bush¬
absorbed by the Central govern¬
els of soybeans, 62,181,667
(cwt)
ment.
Deficit

meet¬

Governors

1962

Investment

Beach

Corporation in price sup¬ Jan. 17, 1962
(Philadelphia, Pa.)
port loans and i n ven torles Philadelphia Securities Associa¬
torily, nevertheless the budget has
amounted to $7,647,236,000. Total
tion Annual Meeting and Dinner
served as a guideline for both the
investment
included
loans
out¬
at the Barclay Hotel.
executive and legislative branches standing of $2,206,223,000 and in¬
of our Federal government..,
•/
ventories amounting to
$5,441,- Jan. 19, 1962 (Baltimore, Md.)
Indicative of how the Federal Baltimore Security Traders Asso¬
013,000.
budget and Federal expenditures
ciation Annual Mid Winter Din¬
Price support loans outstanding
affect all our people is the fact
dollars

Exchange

Nov. 25-30, 1962

Credit

Angeles)

(Los

Stock

Convention.

ciation

Program

The

billions

Board

National

COMING

Cost of Farm Price Support

spending. While the controls have
never
worked entirely satisfac¬

that the Federal government pays

1962

11-12,

Nov. 4,

$55.4 billion; fixed
interest charges $9 billion, agri¬
culture $6.2 billion; veterans $5.3
billion, and all others $10.6 billion.

space program

by Congress to control the White
House in its recommendations for

out

Mark

ing at the Ambassador Hotel.

the

budgetary producers have resulted
down through the years of efforts

Of the total

Exchange (Assoc.)

Students of the budget say

are

Richmond 2-0420

budget

Exchange

Meeting at the

Association

fiscal

economy.

our

greater

Oct.

make up your mind!"

economist to realize

National

the

that

and for all,

;

Stock

Fall

Firms

One does not have to be a

come

Firms

(San Francisco)

1962

Hopkins Hotel.

said BUY—today you say SELL—now,

"Last week you

Impact

Budget's

8-9,

Association

workers.

New York

Oct.

postal

all

pay

can

The

nual convention.

income, by

would offset the postal

"Senate Finance Committee.

;

N. J.)

Congress

that

chance

the

also

■

American Bankers Association an¬
a

But there

rates.

postal

'.Association
'V

Sept; 23-26, 1962 (Atlantic City,

from

•

'Bankers

Governors Meeting/ !

Board

chance—that Congress will

50-50

Calif.)
Investment

It could very
will have an¬

:A:;:
chance—perhaps

the

(Santa Barbara,

19-21, 1961

Sept.

Securities u.

spring party.

annual

large that it can affect all phases

Administration

Dealers

once

The Secretary of the

Tenn.)

May 17-18, 1962 (Nashville,
Nashville Association of

this

Hill

Capitol

sent

Capitol
Treas¬
ury, Douglas Dillon,, had an early
huddle with Senator Harry Flood
Byrd of Virginia, Chairman of the
quickly,

raised

Hill.

meeting at the Dearborn Inn.

that President Ken¬

The budget

nedy

annual budget balancing question
was

spring

Governors

Firms Board of

reconvened,

Congress

Exchange

Stock

Association-

present promises under the
social security system."

other deficit facing us a year

debt ceiling is
limit will re¬

permanent

billion.

(Detroit, Mich.)

May 14-15, 1962

the

on our

billion.

stands at close to $297

Association
meeting of Board of Governors.
Bankers

Investment

current debt brings our

(White Sulphur

Springs)

total
incredible
total
of
$750 billion. And even
this stratospheric amount doesn't
include another $300 billion we
will need to collect to make good

This sum

billion.

Olympic Hotel.

May 9-12, 1962

about
added to

peacetime or cold war history,
government is going to have
to borrow some money to pay for

our

the

ference

Stans, "and it came to

commitments

annual con¬

Savings Banks 42nd

that

biggest spending session in either
our

Association

National

said

due in the future,"

will

com¬

obligations

list

Director,

Budget

"As

(Seattle, Wash.)
of Mutual

May 6-9, 1962

commitments for future
expenses that amount to more than
the present National debt.
many

piled

because the first ses¬
sion of the 87th Congress was the

Partially

piled

Federal government has

the
up

LERNER &

CO., Inc.

Investment Securities

10 Post Office Square, Boston 9, Mass.

Telephone, /

HUbbard "'2-1990

—
>

U,',_
\

' Te|etyp$
BS 69

Full text of Commercial and Financial Chronicle : January 18, 1962, Vol. 195, No. 6126, Section 1

FRASER