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rWFVi,
n
and FINANCIAL
Reg. U. S. Pat. Off.
THE
INFORMATIVE PUBLICATION IN THE FINANCIAL FIELD
MOST
New York
Number 6284
198
Volume
AND
LEADING
EDITORIAL
Cents
Glance at Some
Copy
a
t
Municipal Bond Financing Trends
failure. This
By Alan K. Browne/'
movement" in this country has been so suc¬
that it must be described as a
paradoxical conclusion was brought force¬
thoughtful observers the other
day by the announcement from Washington that weekly
earnings of factory workers have now passed the pre¬
dicted $100 per week—an announcement accompanied
by a reminder of the extent of unemployment and a
warning of even greater want of employment as the
fully to the attention of
labor
increases,
force
first notss record
sion
rent
threats to
ers
were
government
—
figures cited do not differ very much from the
immediately preceding. In May of this year, just
before the period for which the Washington authorities
are now rather boastfully handing
out record figures,
but the
sale
is the primary source
ernment
exceptional figure of $^.45 per hour.
sales
a
unions.
But
union member
he
or
would
just
be
naive
that
in
I
This
indeed,
calls
U. S. Government,
Public
are
afforded
Municipal
MULLANEY,WELLS & COMPANY
fiscal
—
on
to the
and
continuing
usage
pressures
state
on* our
Likewise, there is
—
their taxpayers.
the
area
in the
to
the
tax
revenues
no
doubt
and debt
units and
the
Thus, President Eisen¬
Congress,
of public
Jan.
the Presi¬
18,
1961,
action: "The expected increase
demand for public
corporate
Street, Los Angeles 17,
So. Hope
California
(Continued on page 20)
State,
Municipal
Members
New
A
Offices in Corona del Mar, Encino, Glen-
Securities
dale, Hollywood, Long Beach, Oceanside,
Pasadena, Pomona, Redlands, Riverside,
BOND DEPARTMENT
San
members
Santa
Ana,
Santa Monica,
Inquiries Invited on Southern
California Securities
135 So. La Salle Street
New York
TWX: 212-571-1414
Correspondent
—
Municipal Bona Division
THE
MANHATTAN
Pershing & Co.
BANK
Chicago 3, III, FRanklin 2-1166
w
Notes
CHASE
Whittier
J|||midwest stock exchangeJtz^
770-2661
Diego,
Agency
York Stock
Corporate & Municipal
CHEMICAL BANK NEW YORK TRUST COMPANY
Housing
Bonds and
Exchange
Stock Exchange
Members Pacific Coast Exchange
Dealers
•
as
capacities
Associate .Member American
•
ownership
of these governmental
Lester, Ryons & Co.
623
York 8, N. Y.
sur¬
the complex and multi¬
mass
governments.
with the SEO and poten¬
Underwriters
Distributors -•
770-2541
and their
and Public
fCffiC
P. O. Box 710, New
in
problems
urgent
city
respqnsibilitiek placed
Section, starting on page 24.
Securities
phones:
area,
doubt
no
Housing,
State and
growth
regarding the role of state and local units within
dealers and investors in
complete picture of issues now registered
with
central
from
transmitted
dent
credit
to
and
children
of
hower stated in the Economic Report of
banking functions of my
Registration"
the
burden
as
rates
automobiles, and necessary emphasis^
expanded
positions
judgment
school
country, the rapid growth
areas,
the
our
par¬
to the strains which these demands have placed
on
quality and bond market appraisal as an investor.<•
an investment banker credit quality and bond
tial undertakings in our "Securities in
demands
of
different
of the
of
population and
total
number
for
alike
and local
Alan K. Browne
in
The
unitfe stem from
foundations
very
of
one
times.
our
health and sanitation.
and
As
a
the
the
sections
There is
as
SECURITIES NOW IN REGISTRATION—Underwriters,
securities
governmental
in
metropolitan
our
on
the
for
in
of
problems
the
gov¬
pal bonds and also am respon¬
institution.
these
of houses and
somewhat
represent a
for the investment
on
persons,
plying
substantial investor in munici¬
sible
important
rounding suburban
prescribed by law.
is
of the remarks of Presi¬
state and local governments
our
ticularly
of
charged with the re¬
position
unique
(Continued on page 17)
a
as
My
compared with 3.7 million in 1949.
entrenched
of
some
growth
created
sponsibility of scheduling bond
In any
event, unemployment probably had not—and has not
now—greatly affected members of the larger and well
whether
units
the
active daily par¬
an
in his Annual Report, I would
society—the
various
of funds
in carrying out
of
on
changes
older
This
municipal bonds.
decisions
Employment has about kept pace with the rise in the
labor force. Unemployment in May stood at about 4.3
as
of
necessary
factory workers were earning almost $100 per week,
million
officers
trends
long term public improvements
is consummated through the
years
and had reached the
basic
market where the financing of
hourly earnings stood at slightly less than $1.47. This,
of course, was a year of not altogether booming business,
most
demands
depicted in the bond
are
on
against their fiscal capacities constitute
the
complex
of vital concern to the executive
are
sympathy with
bilities placed
as
as
local
that
averaging less than $55 a week. Their average
general and
a
based
are
i
I hope
being ob¬
as
also like to emphasize that the pressing responsi¬
city finances, it is my intention to deal
recent trends in municipal finance—trends
that
of
such
they
as
institution.
will be interpreted
dent Lee contained
Cur¬
tax-immunity and to tax-debt limits.
tackle
than
subject
work¬
In
growth and accompanying financing
warning not to repeat past's errors, to current
a
as
ticipation in the financing of local government.
developments probed range from trend toward revenue
bonds with
analy¬
issue
first-hand knowledge of potential investor
as
jective
Discus¬
problems, and conjectures on future borrowing costs.
an
given bond
a
that my remarks
with
1949, the year before Korea, factory
combined with
competition for
interest other than that of my
apprises state and local officials of significant pitfalls in
'
the
of
well
largest investors and investment bankers in municipals
less
as
sis
Cali/.
Leading municipal financing expert who represents one of
Rather
As late
Francisco,
tax-exempt financing, including advance refunding.
and of the consequences of the
presented.
San
the
glowing account of the progress of the wage earner
during the past decade or two, and for the members
of many, if not all of the unions, the picture is more or
as
market appraisal must be
Vice-President, Bank of America
N. TV & S. A.,
:
i.
'■
high degree of worklessness among the less skilled. Cer¬
tainly on the surface the current figures seem to give a
v
50
cessful in recent years
The "labor
\
Price
7, N. Y., Thursday, July 25, 1963
A Questioning
As We See It
ESTABLISHED 1839
...
Net Active Markets Maintained
To
T.L. Watson&Co.
ESTABLISHED
Dealers, Banks and Brokers
Block
New York Stock Exchange
Stock
Exchange
Inquiries Invited
BROAD
STREET
NEW YORK
'•'J
4, N. Y.
•
PERTH AMBOY
Tourism-
Canadian Exchanges
CANADIAN
DIRECT wires TO
Dominion Securities
MONTREAL AND TORONTO
NEW YORK STOCK
2 BROADWAY
NEW YORK
•
Disneyland
DEPARTMENT
Goodbody 8e Co.
MEMBERS
BRIDGEPORT
california
BONDS & STOCKS
Commission Orders Executed On All
Teletype 212-571-1213
25
diversified
CANADIAN
1832
Members
American
'
Canadian Securities
EXCHANGE
(orporation
40
Exchange Place, New York 5, N. Y.
1 NORTH LA SALLE ST.
Teletype 571-0880
CHICAGO
Area Code 212
MUNICIPAL BOND DEPARTMENT
bank of america
WHitehall 4-8161
N.T.&S.A.
SAN
FRANCISCO
•
LOS ANGELES
2
(342)
Where
You
The Security
find Banks,
you
Brokers
Dealers
or
usually find
.
I Like Best...
A continuous forum in
which, each week,
in the investment and
advisory field from all sections qf the country
different group of experts
a
participate and give their reasons for favoring a particular security.
trying
are
buy
to
yon
r>nt.nm.
nationwide
reliable
service
to
t
„
Members New
and fast
contacts
RIC
the advent
Since
J
ance
Dec. 31,
to
these
well
as
insurance
Corporation), /-has
substantial progress.in
Insurance
HANSEATIC
increased
1961
CORPORATION
Member
Associate
60 Broad
Exchange
Stock
American
"V.
;
;
•
St., New York 4
pro,ac-
Teletype: 212-S71
Boston~.
'World
Wire Service
Wide
••
furnishes, similar, services
Earnings
uted
$40,000
in
taxes to
the
RIC
team
of
:
approximately $6,-
|n ;its.
>
RIC's
provides.
$20,000,000.
n
With results such as those cited
-
:
after, less
thaq
year..
one
of. new -management tenure, RIC
headed for another year
seems
For the
of
ancHn iorce^touia
BONDS
MUNICIPAL
Quarters of
-/'.y
...
rtp'o
nf
WEST VIRGINIA
organization
S"
VIRGINIA
CAROLINA^—*
tion
CAROLINi
acquisition
the
the
should
policies
bring
net worth
of
year
In
opera-
that
its affiliates with the
results of
increasing business without caus-drain on surplus. It is arecognized fact that it takes six
to seven years of consistently high
an
its
an^
crn«,th
put
an'
"
"
'
.
American,: which converted
.'7?,
the
life
net
a
and
Jholding com- ^on Ljfe? which in the same peextensive interests in rfod reduced a net loss of $253,000
•
field.
insurance
Its
pri-
to
$29,000
into'
nrvnorviirWrx
consolidate under
™r bankers bond
Incorporated
rate structure
co:
§fe^ompanieJ1SS^
V
420 W.» Jefferson St.
584-0226
nrofit'abfe
502 589-1123
ing
and .informational
and
the
of
hem
access
immediate
to
capital-arid
facilities
business
at
under the
Effective Distribution
■,
Northern Ohio
Hanna
CH 1-5671
fimptinn*
functions
Exchange
&
to
-
„
Hamilton
L. F. Rothschild
pany
Co., N.Y.C.
required
to
i„a
the
service
com-
in
surplus
Life Insurance
1963.;
Dec.
31,
1961
to -Dec.
the
its
pany
in
increased its
force
from
life
$46.2
market.
For
position,
_
companies
Group provide
administratively
in
this
such
,
as
,
.
insurance
.
sound
to
;
ume
"
,
ol-
to
°
"
business without the penalty
Qf high priced staffing and
/
i? 7.
"
,
train-
'
.
majority
in
six
southern
states
and
spe-
cializing in ordinary life, wholesale term and accident and
health,
Loyal, with its subsidiary Sover-
McKelvy & Company
New
York
Stock
Stock
Union Trust
GRant
^
Exchange
(Associate)
.
States
Insurance,
is
cur-
rently listed
200
among the countries
largest life companies. Loyal
Bidg., Pittsburgh 19, Pa.
1-8700
Private
5gn
Exchange
Pittsburgh Stock Exchange
American
Wire
Teletype 412 642-3080
to
New
York
and the opportunity
young
a
insurance
proven
>
,
Company (51.4% owned), licensed
Securities
book- value,
a
and
Cttg
as
a
an
offer
to
,
$11
market
price
of
$14 would
ap-
two months RIC has been selling
in
the
market within
It should
be
this
range,
pointed out, how-
that this valuation tends to
eVer,
APPEAL
be static, and gives no considera-
PRINTING
180 Cedar
CO., INC.
St, New York 6, N. Y.
Telephone: WOrth 4-8081
74th
Year—1963
WALTER
t.'
!
.n
' f? >'
J
RIZZUTI
.*
.
.
■
of
Colgate-Palmolive
Colgate is attractive for the fol-
lowing
reasons:
Here is
'
-n
for talented
management
that
approaches
W^hile
RIC's
or-
it
to
invest-
include life insurance
-n-
other
•
American
in
free
the
buy,
i
Droductc
Nicies?
Raw
security referred
to
to
sell,
or
herein.)
—
Refined
—
every
world.
Its
Liquid
Exports—Imports—Futures
growth'and
enjoyed
excellent
usually
are
sold
at
nrofit marrnins '
rnTcfntp'c in
.
"DIgby 4-2727
determents and toilet
have
excellent
<2) But Colgate
v^r
rpnnra
s 10-year record
®
J ®
.
.
National
]
good—1962 foreign sales
almost
two-and-one-half
what they were in
over
were
times
Quotation
1853 and for-
eign earnings have kept
tailing
$20 million
to-
pace,
in
Bureau
1962.
At home, however there has been
.
•
4
,
nemlimible sales mrowth and
mUUon
any
SUGAR
.
com-
holding'company,
offer
5, N. Y.
and
American corporations ana
country
Ten
an
STREET
op-
rornorations
it is firmly entrenched iin
is it precisely
as
WALL
•
tween domestic and foreign
panies, RIC is not itself a life
insurance,company. Nor, however,
a
99
that this
fati°nS'
Colgate long
beganbefore
expioiting
foreign markets
most
very
unique
so
traditional
Valuation.
ments
is
®
LAMB0RN & CO., Inc.
r
,
NEW YORK
team.
i
.
ganization
,
comoanv
a
executives
RIC, the character of the
defies
City
brand names are known to milof lions of consumers and its
princi-
With reference to the valuation
circumstances.to be construed
solicitation of
,
to be justified. Over the last
pear
earn-
Incorporated
'1
'
Established 1913
downward.
vears
earned
no
Telephone: BEekman 3-3622-3
company per
in
amo
Colmate
did
domesticbusiness
S257
and
v
(This h under
NEW YORK OFFICE:
149 Broadway, New York 6,N.Y.
is increased to $3.60.
between
solu-
as capital for expansion cenVxuce"ui.e&» dI1 VJ:
Loyal American Life Insurance
Corporate and Municipal
Securities Co.9 Ltd.
intrinsic
an
Applying to this adjusted book
Kj^pS'stST a^n-
join
.
.
DA I WA
RIC's percentage of holdings, the
fiscally
a
1962,- insurance .coverage, top .management knowledge and techniques
,
2,659,-
on
the RIC companies, ascribing to
RIC only that proportion of the'
life insurance which represents
long
competitive
organizations
the RIC
*nd
the
over
the
$102.5 million.
Distributors
SECURITIES
value of life insurance in force in
New York
.
million
j.
company
holdings at cost. Based
under RIC management, the com-
Underwriters-Dealers
, r
$5,913,907,
was
insurance
___
ab-
in- mg or the, subsidization of agents,
^ inter-company reinsurance that
Com- tends to retain
31,
.'.v
JAPANESE
corn-
1889—~Our
:owned), : dealing, premiums within the group, a
mainly in ordinary life, term and strong national agency organiza-.
group life insurance. In the period tion, a more competitive line of
.
...
May> 31, 1963, RIC's net
0
go
(50.1%.
-
:.
our^branch offices
^faced poiicy pursued by the company.,
and
highly
a-
xi
,ys.EICl primary holdings
Ohio
Tele. 216-574-9180-81
Private Wire
has
T?TP'C
npnv
,
15,
corporation
total needs of the small life
Building
Cleveland
holding
a
vea^under^new^managpmfmt^tn
incTude f«T op:ratiLal
murch & co., inc.
Member New York Stock
1956
Reinsurance In-
purely
as
the
company,
,
.
of
to
calendar
is
»hault
vestpent Corporation. Originally
conceived
i*''
name
ln
;ba.'"f
if it
to succeed
«
incorporated in
to
Security Analyst, Shields & Co.>
low-
^
of
taking
-V-
.
was
As
heavy volumes
x
level acquisition.costs.,
RIC
certain
«
administrative, account-
company
Mobile, Ala..
^
this for-,
up
tions' RIC has been foll°wing an tion .'to the substantial growth
active acquisition policy, concen-,; rate of the life insurance in force
trating on the smaller Ute com-' nor > the active acquisitions
as
movide
black
top-level management, big-
r.
LOUISVILLE, KENTUCKY
corpo-
of small
ffrnims
gressive and DOtentiallv
with
4
single
a
the
is
and
..In addition to these above func-
•
n
i
:'
'
nrr*
management*
..
212 571-1425
life in-
at market value.
company
floss
$49,429. to a net gain of
Tpe RIC Group
operating $200,386 in one1 year, and Hamilmu
companies. In setting
the RIC share
even
new
Exchange
Exchange
value the standard ratios and
'
fnder'RIC, lead time for prof- proportions that suggest that a
Ability, has been-cut from six young insurance company would
to seven years t0 two or three be' conservatively selling at from
years. as witness the case of Loyal three to four times its adjusted
specu^
attractive
fr,
int° the blaCk'
view
us to
the
business plus belt-tight adjusted value of the
aggressive
;
t
Direct wires
The RIC GrouP believes in the book value per share of $2.24.
of low cost insurance for
If we add to this figure the
this
organization
voung
as
in
exists
of
company
$100,000.
administration -to
impressive results lead
thJTtock
busi-
Stock
Stock
surance,in force in its underlying
training
a
York
surplus, and add thereto
give ' the
4CO
latirvn
RICs 'proportion
net about.
most*
relatively
as
American
cap-
outstanding, this would
-
vestment risk
various
515 shares
~
RICHMOND, VIRGINIA
isurance
New
New Orleans, La. - Birmingham, Ala.
of. pany holdings at cost rather than
£0r new g^gg ideas.
than just a small increase to
more
its
in
be
ital and
(100%
source
a
A
take the per RIC
to
earnings
A
19 Rector. StM Hew York 6> IU Y.
valid approach would
one
appear to be to
In
eSmla^^a
(^mnanvTaffgressive
NORTH
SOUTH
call
should
these
fj0n, RIC Planning is expected to;
and
dollars
factors,
Members
Members
HAnover 2-0700
equity in its life insurance
as
Hamilton,
area
!
STEINER, ROUSE & CO.
its
manages
-Corp.-
1963, its first full
reach three-
billion
a
tiro
of
^ Notwithstanding
ground for agents and as a test- capital and surplus
^ng
CJ
above
since it operates and
mula. for valuation, we take RIC's
life
volume
for
nesg
,
contrib-
net
^planning
rjq
subsidiarieshas
;
Security
Security Analyst,
Analyst, Shields
Shields
r.ilv (Page
IPaae 2)
Co.,.New York City.
RIC Group.- :
owne(j)} functions
market value in-excess
a
zuti,
zuli,
.
companies,. share value of the company's
ig62, ' Data'. Processing
after
urisen to
v
:
ancj
Life
Group
outside organizations, as well.
the, excellent manage-
of
690,000
Los Angeles
•
San Francisco
•
RIC
effects
investments of
1231, 32, 33, 34
—
Chicago
•
Philadelphia
in
1962,: an
the
of its subsidiaries have shown the
ment
Telephone: 363-2000
has
million
from, $192
$416-million in
increase of $224 million.
"
Eitabli8hed 1920
to
>
RIC
of
Riz-
wholly owned life insurance holdings. "
a
fcounting ahd billing services for
force
Palmolive—Walter
of
outside" accounts is Data Process-
,
NEW YORK
rr
af-
.number
a'
as
Insuiv iubsidiary.„^Pata,vProcessing
shown yi^es
centralized, machine
Reinvestment
(formerly
filiates'
Incorporated ing- Bureau, Inc.,
RIC l Group
r
Bought—Sold—Quoted
Colgate
&
A
Servicing
new. man-
a
1961
31,
Co., New York City. (Page 2)
Jgg2
y
of
Dec.
Louisiana Securities
Heischuber,
Dept., D. J. Singer &
million
$78.5
million in the 12 month
period
bxclumge
in ^-the--middle
agement team
1962,
^
r
Stock
in force from
ance
.,
Alabama &
'i;'riU,
•
•
.
American increased its life insur-
;
Cn
c'„aor
York
vantage.
Just Call "HANSEATIC'
t
Group Incorporated
ad¬
your
n
.
Dept., D. - J. £wger &r
6ell,
or
will find "HanseaticV
you
n
,
Research
••
Selections
RIC Group Inc.—Paul
Research
PAUL HEISCHUBER
small, if
or
'
Participants and
Their
"HANSEATIC"
Large block
This Week's
«
Forum
$8.5 million.
company earned
Over-the-Counter Quotations
Services for 49 Years
Last year the
only $2.4 million
Continued
46 Front Street, New York 4, N. Y.
CHICAGO
on
page
25
SAN FRANCISCO
,~H
'
^irr r-'
The Commercial and Financial Chronicle
Number 6284
Volume 198
What Is
(343)
3
CONTENTS
Sound Dollar?
a
xr;rzr:™~r,,r^n.
Thursday, July 25, 1963
Consulting Mining Engineer, New
City; Former Assistant Secretary oj the Interior; Director,
Chamber of Commerce; Former Vice-President, St. Joseph
By Felix Edgar Wormser,*
York
U. S.
BiLlCHTMir
AND
Company; Consultant to Economists' National Committee
Lead
A
A former
mining executive finds it almost too incredulous that de¬
spite the
passage
should
What Is
monetary fundamentals, and the reasons and cure for the dollar's
constitutes
what
sound dollar, and its importance,
a
has
Reserve Chairman
Federal
with
"sound dollar" goal.
Roosevelt's
D.
of
of
one
had
"sound dollar."
term
which
He
refer
William
people
ernment could
co m-
preva-
that
the
note
sound
welfare
a
in
in which
one
as
the value
cal and other government
that individuals
is
confidence
in
it.
difference
in
that
fis¬
I
policies
banker's
30
some
that the objective of
to
own
it
it
could
now.
purchasing
of
turbances
look
govern¬
would
power
be
be
purchasing
value
not
time went
as
of
power
would "not
be
as one
said
when
be
the
impaired
injured by
our
in
cloaking
economy
that
price
level
prosperity?
You know
what happened in 1929.
I hope the
great
prosperity
eventual
7
Ahead of the News
is
hardship
i
Indications of Current Business Activity
33
Market
15
.
.
and You
.
(The)
at
the
Curtis Mathes
i
Funds
Mutual
17
-
__
News About Banks and Bankers
16
5
Singer, Bean
11
sMackie, Inc.
Observations
Our Reporter on
Public
Utility
Governments
31
cause
in
our
shout
to
Is
about?
of
the
dollar
is
simple.
which
it
bank
can
and
is
It
be
a
we
(The)
is only
1934
measured by
the index
sale
Life insurance hold¬
prices).
pensioners
acutely
of
aware
has
persons.
and
But
water
are~ pecially
damage "new?"
the
to
even worse,
in
has
the
was
longer
Security
Salesman's
over
the
right
was
gone
Washington
The
to
•
,
•*.'
'
j
.
Los Angeles
2
20
Corner
or
Keynesian
as
a
:Continued
some
of
Twice
San Francisco
r
St. Louis ^
Washington
14
(The)__
6
36
You
economics
page
Weekly
WILLIAM
25
Park Place,
CLAUDE
D.
24
|
FINANCIAL CHRONICLE
DANA
B.
New York
7, N.
S. Patent Office
ReS-
'
,
COMPANY, PUBLISHER
REctor 2-9570 to 9576
Y.
SEIBERT, President
WILLIAM
DANA
Treasurer
SEIBERT,
GEORGE
Thursday, July 25,
the
"barbarous
on
and
COMMERCIAL and
Published
possess.
development
classifying gold
thrifty
^.
coin
came
savers
done
been
-
Philadelphia
taken away from us during a pe¬
riod of depression emergency, es¬
whole¬
or
It
dam since that property
(as
■
Cleveland
local
gold
had before the New Deal
Much
in
to
right
dollar's purchasing power
was
the
to
a
to power but we no
it
dollar
paper
converted
whenever desired.
been
■
sound dollar
a
taken
eroded drastically until today the
of what
-
Defines Sound Dollar
i
The
has
Direct Wires
'
Chicago
Security I Like Best
txchange Place, N. Y.
J 26
Offerings.
Security
40
Teletype 212 571-0610
Securities Now in Registration
Prospective
HA 2-9000
19
Securities
State of Trade and Industry
say:
record."
Marrud, Inc.
not
would
A1 Smith used to
as
look
SavAStop
4
Tax-Exempt Bond Market
power
which
8
nation, if not corrected promptly.
tragic fact is that the purchasing
ers,
1923-1929
seemingly
much
the
Do
and
depreciated
a
surface.
concealing defects that may
dollar
and
stable
may
exceptionally
an
36
Recommendations
Late?"
and Too
From Washington
a
dis¬
period
the
had
Investment Field
Investment
J.F.Reilly&Co.,Inc.
Einzig: "Is the Administration's Plan too Little
be
can
or
the
on
1
18
your mone¬
Everything
My definition of
anything
41%
GAS
35
-
(Editorial)
Dealer-Broker
citi¬
any
imbalances
in
we
,
Well,
"Let's
..
Coming Events in the
succeed
prices
deceptive
when
current
the
on,
of your investments
dollar.
&
23
Bank and Insurance Stocks
in¬
Incidentally
stable
alright
unbounded
ac¬
insurance policies and
that,
sure
in
could invest
you
and
OIL
19
t
As We See It
gold coin, "haven't
a
recall
you
terms
government bonds, savings
counts
18
the
But,
banker
fundamental
years
cjollar whose value in
of
Efforts
Regular Features
con¬
enormous
confidence in
devilishly
con¬
an
managers?"'
period
ment policy was to give the peo¬
a
Unemployment-Reduction
Prospects
more
At any rate,
think
nor can
tary
find little
can
not
you. any
full
have
for
price
or
the market place.
Roosevelt
ple
TAYLOR
Sanwa Bank Analyzes Japanese Industry's 1963
of the
Delano
that
13
...Arthur A. Smith 14
us
ultimately should be corrected in
stable,
DELHI
Thomas Johnson
Gov¬
give
declaration of President Franklin
ago
*
Kelly 12
regard¬
destroyed the right of
zen
sound dollar and the
a
D.
Investment Possibilities in Japan Cited by
of government intervention
distinguished
we
and foreign gov¬
everywhere
ception of
then,
through stable prices,
and which is so supported by
ernments
4-6551
Northern Trust Co. Sees Natural Gas Industry
national and local economy.
our
did
I
that he thought of a sound dol¬
lar
WHitehall
gullible
manipulation,
implied
crease
Felix Edgar Vvormsi-
neg¬
maintained
Mars
anticipate that
they
spending,
policy
lected to define the term. He wrote
me
seri¬
be used to
perhaps?
trols,
dollar,
he
but
mo¬
a
many
Washington,
on
sure
that
have
must
Dept.
Arthur Burns Says Failure to List Job Vacancies
less of the constant political pres¬
on
nation
the
Did
monetary
virtuous,
ending
Securities
STREET, NEW YORK
the Government would merely use
deficits
and
a
to
the Federal
of
power
dollar?
govern¬
are
in
us
stable purchasing power
a
notion
ment
WALL
Martin, Jr. 10
Hon. J. L. Robertson
thought that the
actually
vast
lent
Obsolete
99
Why Discount Rate Rise Is Not Worth the Cost
Growing by 50% by 1972
how
wonder
I
in g
monly
McC.
dollar
to
brought
speech attacka
9
crisis.
ous
in
excellent
an
shall
I
It has
ment.
the
used
expression
4
MacRae
by Desperately Trying
confidence in the dollar abroad of
greatest
our
largest banks what he meant
the
Cobleigh
Robert
respects, is the appalling lack of
Recently, I asked the Chairman of
by
Ira U.
Proposed Tax Reductions and the Gold Outflow
Silver Futures Trading
Board
3
sound dollar for ourselves and future generations.
a
and
..Felix Wormer
Bidding
Telephone:
Hon.
statutory gold reserves, and urges adoption of swift steps to r.slore
the
1
Robert M.
The writer disagrees
Martin's statement that the
in
Browne
Rat$ Rise Will Aid Our Payments
Problem
good store of value and with the CED's recent proposal to end
a
Day of Decision...
Short-Term
ratio, pace and extent of Federal spending and powers, and
Franklin
Sound Dollar?..
a
prior to that year, and what
happened to our more managed dollar's purchasing power, gold
reserve
is
A
questions as whether Federal Reserve notes
raises and answers such
since 1933 have been better than those
Alan K.
Farewell to Firemen
In examining fallacious and correct concept of
Mr. Wormser
growing predicament.
Questioning Glance at Some Municipal Bond
Financing Trends
of 30 years so many more rather than loss win
better are uninformed and/or apathetic about basic
know
How to Succeed
PAGE
Monetary Policy, Netv York City
on
COMPANY
Articles and News
J.
Trap Rock
V
MORRISSEY,
Editor
1963
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4
The Commercial and Financial Chronicle
(344)
lines,
Farewell to Firemen
the
There
carriers,
water
Lawrence
ticular.
further
mas¬
a
definite
some
for
needs
Ahead of the News
tighter
...
and
operations, earnings and prospects in
light ot correction of outmoded work rules, and a political and legis¬
lative climate favorable to mergers and minimum rate legislation.
topical comment on railway
A
Over
fireman.
century ago he
a
and,
in
logs
lated
to fire crinoline-age locomotives.
Occasionally a stray spark would ing
was
busy stoking wood
very
by
unregu¬
truck and barge lines offer¬
rates
and
greater shipping and service con¬
inverted cone shaped
veniences.
engine smoke stack of those days,
To offset this erosive competi¬
sometimes starting a* fire in hayfields or wood lots alongside the tion the effective railway man¬
track. Later, and for decades, the agements have eome forward with
•
of
out
fly
locomotive fireman was kept busy
trains Hwhich
unit
of
have" reduced
Western,
most
is
Saunders
earning
Mr.
railroad
talented
brilliant
a
for maintenance and
of
CARLISLE BARGERON
>
and
significant.
•
a
with
operator
BY
Saunders,
Norfolk
of
President of Pennsyl¬
as
is
vania
Mr.
President
former
captured by private carriers
manp.ge-
Along these lines the recent
appointment
been
largest part,
cost conscious
more
ment.
railroad impressive during this period, has
going to miss the
We're
Thursday, July 25, 1963
.
FROM WASHINGTON
Seaway in par¬
is
.
duplication of facilities, and
sive
By Dr. Ira U. Cobleigh, Economist
from
and
St.
.
N
at
power
record
development
W
and
and'his competence in and zeal
for, mergers are well known and
Governor
fort
the
Rockefeller's
drive
to
John
ef¬
latest
rating
the
cleavage between
a
Birch
critic
Society and Sen¬
ator Gold water has not caused the
camp.
These
Society
group,
too conservative from the
attacks
*
the
upon
most
with
tongue.
slightest ripple in the Gold water
Birch
the
of
critic
severe
Kennedy Administration—the
the
most
President
cutting
is
getting help from the Republican
liberals,
represented
by
Gov.
Kennedy
in Rockefeller, in the polical picture,
If indeed the reality
to
weaken
Republican just as the President- says he
Pennsy and "Central" are on their
strength as it is a conservative needs such aid now to get some
designed
are
highly respected.
to
way
marriage, the "best man"
a
This
well qualified!
seems
of
his-
New
Frontier
"measures
merger
nurturing the dramatically the costs of coal might create savings of over $75 viewpoint of the liberal Repub¬ through Congress.
licans and Democrats. That Sen¬
In his attack on Senator Goldwhile, a burning ambition to be¬ hauling, special bars for special million a
year or $3.50 a share on ator
Goldwater will not repudiate
come an engineer. Still later came
purposes,
faster
schedules and
water, Gov. Rockefeller also un¬
Pennsylvania common.
them gets under their skin.
dertook to picture himself as a
the automatic stoker, and the fire¬ piggy-back trains for truck trail¬
Southern Pacific is another road
Senator Goldwater
is
of
the conservative—but a good kind of
man's task became more supervi¬ ers, designed to recapture over-
coal,
soft
stoking
He is the victim
and
the
"choo-
technology
of
the-road
diesels, his
and today with
sory;
job is mythical.
whose fortune and
trucking tonnage.
Further,. the
railway .industry
-
has sought permission to make its
choo" named expire!
point up
to
with
do
37,000 firemen
some
costing
the
million
a
little
a
■
<
j
of
traffic
subsidy,
not
be
and
direct
sort
some
Addition of Western Pacific
and
Rock
.
of
earlier fact
the
out"-
"phasing
elimination
the
mergers
legal
the
In
"feather-
of
railway "earning
recovery
power
seems
number of projected
a
in
are,
due
course,
ap¬
proved and not impeded by wooly
jobs
needless
of
significant
a
possible if
it was
Obviously,
for
silly
Finally
bedding."
In fact the railway labor prob-
labor arguments
or
Idgic
Island
could
much
do
particular,
we
are
against
Southern Paci¬
holdings
well increase its
might
$1.20
opinion that there is
for
son
there
is
for
cans
Democratic
far
and
Action,
Society.
This
is
group
attention
In
with importance as a long estab¬
in
lished political party.
future
if these mergers
years,
"jell"!
The
like
We'd
also
to
words
sav
Southern
the
about
few
a
Goldwater
They
do
believe
not
Rockefeller tirade.
to
has
a
simple
very
theory, that if railroads cut costs
and
lower
rates
they
raise
can
business volume and make higher
profits.
So
bigger
cars
The
impressed
gan
first
he'sand
■
unitized
.
unitized
running
exponent
an
trains.
coal trains
the
on
of
be¬
Southern
by the gains-already recorded by
three
the merger of Norfolk- and West¬
covered a lot of lost tonnage, at¬
years, ago,
.and they've
re¬
make
Birch
it
the
over
made
attempt,
about
Republican
is
strength,
which,
with
able: reason, they say
stampeded
harsh
charges; against
making
into
A
ator
equal." No
one
take
the
over
con¬
wing of the party, and
been
supporting
the
<
Governor's
blast
at
Sen¬
mention
him
by
name
;—•;
is
just the first step, it is reported,
in; the Rockefeller strategy; to re¬
gain
York Governor in retaliation. Nor.
"through
Goldwater—although he did
not
/.
New
the
to
has
The
consider-'
is far-flung
been
about
Arizona Senator.
the counttv. They have not
across
or
initia¬
' cannot
men
principles
same
that
Party—has
dent in the Goldwater
any
individual
subversion from the radical right"
■—the radical right which he said
servative
take
to
really free
very
.
that the John
is
Society
his
—
appear
of
"without which
principles. But Gov. Rockefeller,
in his statement, leaned heavily
on
the growing danger to these
the
that
con¬
firm believer in these elemental
a
treated
not alarmed.
are
point of its President, Mr. D. W.
He
is
financial
doubts that Senator Goldwater is
supporters
while not amused
Railway and the optimistic view¬
Brosnan.
it
newspapers
A conservative who
sound
freedom
be
deserves.
dividend this year, and be able to
the
of
tive
Birch
given far
it
than
a
effective
more
in
duct of government, who believes
in the free enterprise
system, and
Ameri¬
Democratic group than the
more
' believes
than
them
to repudiate the
radical
conservative.
no more rea¬
repudiating
make -expanded regular payments
necessity.
economic
of
fic
kind
Mergers
-
the
mineral
indirect,
or
appropriate.
seems
finding group to be invoked when
the clear cut requirements are a
land
should
seems
by
solution.
mate
railroads
The
commuter
to have
been
Administration's
latest proposal to place the problem in the lap of the ICC for ulti¬
averted
one
overall
is
asked to take the total burden of
railroads, some $600
in needless ex¬
year
29,
July
is
regulation
needful
treatment of the commuter prob¬
lem.
are
this was written a
originally scheduled for
strike,
rate
solution, -Also
As
penses.
}
that
rules
work
outmoded
)
minimum
no
correct
longer needed, and how to
:
ger.
rates more flexible, and in par¬
for the well rounded SP with its
will ticular to recover and attract bulk
trucking
pipelines, land
and
the acute rail¬ tonnage. Freeing the roads from
problem of the day—what to
way
mer¬
nostalgic introduction
This
serve
stock¬
common
holders should benefit from
strong position to win thb
a
Presidential
n ex t
nomination
bbTmore pminous for year. Other * steps included his Ef¬
1 unremitting one.
As fast afctfail- the indicated operating and finan¬ money.; Ip,;. May, of this-year, the Rockefeller, campaign for the * fort, aborted by his Democratic
l roads
have; improved -operating cial advantages inherent in the Southern .introduced, a. 60% ,cut Presidential nomination.
counterparts,, to. put the' Gover^
".' '
I
efficiency by dieselization in post Chesapeake and Ohio and the in grain rates in five car lots,
One point they do make: that nors Conference on record on civil
I war years, centralized traffic con- Baltimore and Ohio.
using Southern's new 100 ton hop¬ no Such tirade would have come « rights with the conference as a
y *
i lem
has
been
and
ern
and
continuous
a
the
Virginian;
and
by tracted.
vqluihe
new.
and
.
made
do
they
intend
do
to
Their
so.
silehce may
.
.
I £rols,\ Welded
i mated
and
tracks
The
auto-
:
Line
freight yards, the increased
of
merger
and-
Atlantic
Coast
Seaboard-might
-
well
price ofJabor has managed to ab- double, within five
:
the
sorb
!
removal
I
have
savings;
of
in
not
years, report¬
earnings for 1962, "namely
$5.40 and $3.21 rrespectively. This
merger is certainly sensible as it
ed ICC
definitive
a.
arbitrary costs which
instances
made
non-competitive,
seems
many
.
(railroads
:
So
eliminates
only desirable, but inevitable;
lot
a
of
per
called
cars
Southern's
big ton high ca^
new
pacityt cars-.are,
made
of
of .them
many,
weight
haul, and
to
easy
tain.
light
Johns."
"Big
aluminum,
main¬
-to
easy
duplicated
Mr.
roads
not
been
the
for
race
used
rail¬
believes that
Brosnan
aggressive
merchan¬
who
\ understandable, can
with
ler's
Southern
In
; tolerated.
long haul.rates.,?
The
t
big one,
.
much discussed
Competitive Problems
Since
;
i
the
end
of World
sylvania
War II
These
the railroad slice of the freight
transportation business has faded
the
.steadily from two-thirds to twofifths.
The growth in total freight
volume,
which
has
been
light
quite
share
problems
traffic
senger
York
Central.
(Pennsylvania
largest)
same
is the
marriage of Penn¬
New
and
roads
nation's
of course,
—
trafficked
many
lethal
losses,
costly
branch
competition for
the
of
pas¬
and
mileage,
East-West
gone
-
(now
of
Names
of
Persons
Unclaimed
THE
TITLE
176
The
persons
from
appear
entitled
to
whose
the
AMOUNTS
and
names
of
HELD
NEGOTIABLE
last
the
property
York
known
amounts
OWING
share
the
INSTRUMENTS
OR
dividend
Corrigan, George M.
Egan, Thomas J.
Unknown
E.
66tli
Unknown
Reynolds, James A.
Schuessler, Elizabeth R.
Smith, John
Warren, Lewis
Webber, Charles Milton
Weller, Joseph W.
1206-60th
2411
2<M>
16
such
Such
persons
abandoned
is
1
Street, Brooklyn, N. Y.
to
its
file
on
located
yellow
ahead"
To¬
the
of
progressive lines at least in
a
for
their
dividend
in certain instances
yields,
now
take
growth characteristics particur 1 y
if
"featherbedding"
is
achieved,
mergers
managements
are
less
and
defensive.-
Brooklyn, N. Y.
Avenue, Brooklyn, N. Y.
Street,
N.
will be paid
Wall
made
to
the
State
Comptroller
names
cease,
be
to
and on
paid
be
on
or
or
before
right
before
to
October
receive
the
to Arthur Levitt
liable therefor.
31st
tenth
the
next
to
same.
State
day
thereof,
Comptroller
Street,
members
of
New
the
American
Stock
announced
that
all,
Jr.,
is
now
York
New
Yorker
the
City,
bitter,
and
& R. L.
'*v1
Dayv.
~
..formerly
"
i"
-
*»
■">
elected
of
Supervised
as
Vice-President
administration
Investors
La
The
party.
in
close
for
E1e ctronics
Fund, Inc.
with the corrupt
their
forts to build
dedicated
John
dent of Super¬
vised Investors
bureaucratic Federal Government,
their
country's
The
attack
Republican
the
first
death
on
the
at
the
And
in
between
a
the
wings
•
The
the .Republican
Clarence A. Mohr
bility
Rocke¬
war
to
as
tive
the
was
conservative
-
director
Shares
Democrats
time
he
-
and
see
office
shareholder
of
the
administra¬
firm,
as
which
Television
1960.-Prior to
served-for
that
26. years
in
various managerial capacities with
a
be^
di¬
Management Corporation,
March,
great -state- undermining
and
formerly known
since
of
responsi¬
personnel,
of the Repub¬
Governor-
have
rect
Mr. Mohr has been
whole
is hailed
will
relations.
Why
the
for
administration,
champion of
maneuver
step
.Party.
6
chuckling
are
Inc.,
said Mr. Mohr
and
conservatives.
they?
liberal
finances
economy,
Democrats
appreciation
feller
Services,
irresponsible handling of
Government's
Haw-
kinson, Presi¬
ef¬
bigger and bigger-
a
ent
serving
Te 1 evision-
their eyes
big city political machines, at the
liberals
St.,
managem
firm
ad¬
that
Salle
inve stment
the.
at
for
Services,
Inc., 120 South
Republican
the
leaders
do business
lican
was
been
charge
aimed entirely at the
Democratic
Rockefeller
Tucker,. Anthony
in
New
the
Administration,
has
Darnall
has
in
advertised
the
of
CHICAGO, 111.—Clarence A. Mohr
States. He did
Rockefeller
ministration who
ment.
with
•
the govern¬
although
of
were
Kennedy
Exchanges
with
;
Mohr V.-P. of
Goldwater charges, and they were
shouldn't
associated
;
liberals
the
at
Gov.
wing
and
Darn-
Goldwater's-
over
widely
York
Thomas S'.
fire
leader
and
Mr.
is
liberal
at
As' it
Arizonian has
ment of the United
them in their Institutional Depart-^
associated
his
have taken
with
Maxwell, Franklin & Co., Inc., 45
to public inspection at the
Broadway, New York 38. N. Y.,
their
With Maxwell, Franklin
Y.
Brooklyn, N. Y.
'''
open
176
directed
who
the
Street.
Hampshire.
the South.
must
.
recent speeches the
the
Property Law. A list of the
and
at
satisfaction
Pr°Perty
thereupon
a
"go
some
v
Senator
of
charges,
clear signal.
a
might view
stopped,
property is payable.
abandoned property
on
Y.
is
two
his
"yellow" light. Railway shares,
respected
principally
in
recent
may
York, N. Y.
language
qualified
New
East, than in those of the West and
nom¬
a
who
man ."
rocks.
latger
present $2.80.
in
candidate- stands.today. Gov. Rockefeller ap¬
power
andf pears stronger in the States of the
stopped. Hence Gov. Rockefel¬
include
a
years-
OF
Unknown
notice
establishing
shall
be
more.
CHECKS
New
Boulevard, Pelham.
Court
Abandoned
uIn toe ®u«ceedin* November,
.and It
below
to
V
Yocrhees
property has been
the
principal office of the bank,
where
forth
Street, Brooklyn, N.
Unknown
report of unclaimed
such
a
the
not
Unknown
pursuant to Section 301 of
in
PAYMENT
Street,
Fulton
Entegart, Bernard
Nugent, Florence
contained
set
Unknown
Mc
A
are
Unknown
2572
is
we
716 President
Gulick, James C,
Heath, Albert
Hemphill, Mattie B.
railway
is
iest
Presiden¬
1964
Any
in the lead for such
ination
set
trucks
Certain
banking: organization
twenty-five dollars or
the
a
of
per
and
year
possibly
than
day
CERTIFIED
45
for
stage
more
THE
Brown, Mary J.
reported last
COMPANY
addresses
East
States
ginia) should exceed the $4.78
38, N. Y.
of
FOR
Southern
serv¬
all
green
above-named
in
OR
New
mile system
Mississippi except West Vir¬
light
of
on
ing
and
GUARANTEE
Broadway,
records
unclaimed
Appearing as Owners
Property Held by
10,391
a
business
new
.Earnings,
the
In
Notice
after
"vigor.",.
GOP
gain wide
book
shows. running
seems
be
longer be
the
-
out in front ; Presidential primaries next year,
on
the ; probably beginning with the earl¬
way
summer
nomination.
j and the -King Canute attitude of reductions achieved, should make dising as well as efficient rolling
| railway labor unions, however possible
extremely
competitive stock operation, and his line has
no
was
1963
to
Senator publicity—and his* entry into the
apparent; that
Goldwater;
-in
tial
r
service and trackage -and,- by cost
from Governor Rockefeller had it. forum fibm Which
-
Montgomery Word &rCo.—- —
Volume
Number
198
§284
.
.
The Commercial and Financial Chronicle
.
(345)
cal business
services
commission
BY
A.
WILFRED MAY
the
on
of
Commission's
rates;
and
evolving
role.
staff's
report
ATTITUDE
REFORM
TOWARD
sion holds that the
disadvantages
The early reactions to the newly
sections
of
the
Special
Study of Securities Markets have
been
giving
ranted
impression
sion,
the; basic
of
The Commis¬
attitude of the SEC.
represented in
as
carried
many, scare
headlines, has allegedly brought in
out,
delivered
will
unwar- / in
false and
a
and
the
in
and
the
right
Commission's
both
vj Although,
dustry and supposedly has accused
all-over
of
Furthermore,
voiced
being
is
concern
:
fraud.
and
the fact that the Com¬
over
mission
abuse
can
*
legally
effectuate
.
most of its conclusions and
recom¬
of
the
without
power
Congres¬
the
not
and
receipt
after
report, it
complete
conceivable
"that
is
will
study,
the
the
is
sion
to
see
in
its
ac¬
toward
such, illusions
carries
—
forestalling
Certainly emi¬
"As
stated
in
first
our
letter
that the determination
is
rates
ment in
pair public confidence in the
Study Group's letter
of transmittal to the Commission,
curities
market,
particularly in the context of the
strengthen
2100 pages of supporting data con¬
raising
tained in the 12 pounds of accom¬
practice."
that
out
it
open
the
performed,
the
yond
mere
is
made
to
iyith
rates
cover
Investigation, via the
Securities Exchange Act with the
"Exchanges investment coniinunity:
vanced by
80%
*'Jf; oui*
years
maintain
a
are to
quality
tance
to
tind the
the
American
Fear
;
(its 1934 base
The
.
..
arbitrary
to
as
'
.
:■.
was
Fullbright
action
to
rise
powers
largely unwarranted.
Hearings.
in
the
Stock Exchanges once again high¬
.Mr. Cary
letters
any pro¬
of
lights another basic
spells this out in his
Tuesday
Chairman
importance
Harris
(July .23)
the
of
f
to
House
of
the Commission has glossed
fundamental
a
there is grave
question.
the
follows:. to speak of the. high
installment
of
the4 of the
proceeds of
"The
second
Report contains recommendations
which
over
wide
tion
designed to be carried out by the
holders
Commission under its rule
the
power and
agencies.
bv the self-regulatory,
Accordingly, it is inap¬
propriate for
tively
making
us
to speak
defini¬
various of the questions
on
of
of
industry.
of
no
most
cases
we
are
the economy with
believe that the
sible
action
of
course
discussions
with
respon¬
calls
the
for
securities
industry before definitive actions
are
We
taken.
and
that
note
closed
In
in
,
the
the
the
second
problems -dis¬
Report
complex;
place,
are
many
subtle
are
just
emerging and many call for fur¬
The House Committee's Comment
And
that
the
merce
tion
it
is
quite
House
inconceivable
Interstate
Com¬
Committee, at whose direc¬
the
Study,
was
initiated and
N. Y. Appellate Div.
decision
;.
determinations
Tax Case Decision
;
missions for
It
On
July
of
the
.
Appellate
the
1963,
15,
Division
New
is. not
its
rendered
decision
brought
in
the
Co.
&
resident
at
and
The
of
New
York
business
brought
the
nonresident
tax,
come
capital gains
ners'
to
individual
the
in¬
the
from
Court
of
*
&
and
Co.,
Incorporated,
as¬
Marache
67
Wall
Street, New York City, members
of the New York Stock
pursuant
Research.
requirements of Rule 325
Exchange,
Vice-President and Director of
as
A,..,/;,....;,
.
(
of Growth in
.MEBfiES
re¬
Connecticut
between
order
solicitor-
cilent—arising
pay."
no
Should
potential transac¬
a
broker
gets
commission-loss
with
.
'
in
industry¬
an
the order
scope,
leads
system
rately,
sion
of
inordinate
fee
a
JUNE 30, 1963
advice
a
order
technique),
counsel
sepa¬
the commis¬
and perhaps
being
con¬
against
charged
RESOURCES
the in¬
for
not it leads to
or
Condition
of
Statement
remunera¬
to
the
J "
counselling fee.
In
en¬
capital invest¬
■'
■ *'■
the
of
should
for
event
any
text
market,
Cash and Due
from Banks
...
.
U. S. Government Securities
.
.
.
.
...
State, Municipal and Other
Securities
Loans
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
,
.
.
,
.
.
,
$108,034,572
74,419,780
67,075,385
%
.
...
.
....
Accrued Income Receivable
Banking Premises and Equipment
Other Assets
•
«
t,
•.
•
271,603,520
o
0
2,215,970
.
......
#
o
I
•
8,021,694
1,033,286
•
be
surely, this
commission
con¬
$532,404,207
system
LIABILITIES
brought to cognizance
action
by the
preservation
SEC and self-
investing
the
by
Deposits
,
.
>
•'
•
.
.
.
.
.
.
.
.
«
.
.
.
Deferred Credit due Federal Reserve Bank
.
»
»
•
•
•
»
,
.
.
.
.
*
$460,282,098
12,995,382
,
Treatment of Remuneration
ramified
It is
handling of, the Street's
remuneration
Report
Appeals.
which
accounts
have been subordinated
appeal the decision to the
York
sociated With Granbery,
securities in part¬
on
time
Richard W. Child has become
of
case
partner,
income
to
this
at
Of Granbery Co.
to
unincorporated
and, in the
known
Com¬
1952-1954.
Child Named V.-P.
non¬
applicability of the
State
tax
Tax
Win¬
Farwell
was
case
its
the
years
of
instance
one
partners,
New
test
the
of
the
whether the Tax Commission will
Su¬
York
Third Department;
Court,
unanimously in fa¬
was
of the taxpayers and reversed
vor
.
problem.
does
process,
overlook
On
the
the
*
entire
the
basic
real
routine
of commission rates—the fees
to
be
hoped, at least, that
$473,277,480
5,349,548
Reserve for Unearned Income
this situation will be importantly
Reserve for Federal and State Taxes on
included
Dividend Payable
with
the
broader
com¬
mission questions which are to be
explored at
some
future time in
other areas of the SEC.
paid
*
*
*
Income
.
.
,
:
in July 1963
............
i
Capital Stock (Par Value $12.50)
'
Surplus
2,031,468
602,044
6,455,937
Other Liabilities
Capital Funds:
*
,
-
$13,682,813
•
•
»
•
•
•••••
22,000,000
..
'
to
a
of
member
an
exchange for
effecting transactions—the
has
come
up
observations
It delves
ther study."
business. The Appellate Division's
repre¬
Likewise in its voluminous and
making any final decisions. More¬
accounts
connected with their New York
community.
quired to solicit and consider the
we
■:
•
the
with the commission billed
matter how liquid, is providing
re-* ment.-
views of interested persons before
over,
secondary
of
interest
advising
(investment
highly
senting ownership in existing
a
individual
not
real¬
The
integrity.
whether
enhance
outstanding certificates
tive changes in our rules and the
In
issues
is
the
currence
questionable whether the trading
terprises in
cies.
surely
It
their
income
and
execu¬
Helpful to remedying such
capital needs
new
in
non¬
maximum
-
flict of interest would be
existing
indispensably
—
supply
presented which involve substan¬
rules of the self-regulatory agen¬
ized
as
business-pressuring down the line.
proportion
to buying-out
go
of
Furthermore,
Surely
new
gains
to
have
But it fails-to c'ome to
regarding
for his
doubt whether the
as
reported
and
who
-
order,
penalized
Committee and ^Chairman. Robert-- super-liquid trading markets in
son
of the Senate Banking and stocks which are outstanding—not
Currency Comipittee,.
firms
partners
services
services).
treatment
conflict
tion,
in' which
area
member
resident
the proper decision be a negative
to
bow
-
parties to be affected by
v
to
further study of
they professional
one
economic
all
adviser and the lay
-the
~
it goes.
as
OVER
Officialdom's,, current
Commission has
grips with the underlying abuse;
"excesses,"
ings, for, nnd ^discussion* with those
posals.
this
from "no
;
Tax
ing to tax such income and gains
a
■
muneration situation is fine as far
the next 18 months.
The Chair¬
has formally promised hear¬
man
minimum
approves
Now
.
FUNDAMENTALS GLOSSED-
also
are
(order
The Neglected Problem
already
be taken under the Commission's
rule-making
at
State
number of years been seek¬
a
Another Year
followed by a 40%. market
over
the
to
sepa¬
a
ancillary
this proposal.
in 1934.
March,, 1955, with their,, airing of
were
to
Agency
the next two
over
American public"[Em-r;
proceeding' market
phasis Added.]
,
economy;,
1961.
stpck market ad¬
double that of the 1932 low).
compaensurate with their> import
be¬
reserved
schedule of maximum
a
the
the
market institutions
natively,
sensa¬
or
Pecora
serv¬
been
additionally performed (or alter¬
legisla¬
the
for
rates,
Thereafter
and
from
and
tional damning abuses revealed by
of the
achieve
enactment
following- establishment of the SEC
remedies,
endeared claim
the
Nov. 2,
matter
no
establish
tion,
ing ; needed
Stocks
where
rate schedule of rates for the basic
of the New Deal's reform
stemming
pay¬
research,
order,
ties
the
existing
mechanical
-
execution of the
tion
following
the
-
as
the basic integrity of. the securi¬
seeking alternative-ways of treat¬
sell
example "Valuing Common
Here and Abroad," Observations,
ston.
commission
tion)
broach the propriety of
common
not
for
cf.,
capital
for how
originated
and
otherwise
into handled. The logical recommenda¬
put
are
ices
se¬
suggestions
as
standards
the.
of
brokerage function
goes on to
enun¬
ment without allowance for
should
but
into
rigidity
cedents
It then
do
higher yield basis than here.
★
had
The
shown,*
abroad
rities
tax.
the Exchange by Shearson, Ham-
Fortunately, the Report brings
throughly justified by major pre¬
permit of complacency."
stocks
stand-, mill
by the Commission.
do not call for public alarm as to
they
frequently
and
accounts
the income and gains on the secu¬
this column has. for
as
complex
clearly
more
and defects disclosed in the Study
do
15%
Incidentally,
income
capital
'
-
equities, which individual partners.
case
objective
This constructive expectation is
neither
flat
a
commis¬
extremely
an
and
panying five volumes. "The fay Its
but
of
*
of
transmittal this report should im¬
markets
its
of
mutual
Adjustment for Ancillary Services
Chairman Cary in his letter in
behalf of the Commission's trans¬
nently fair is the following state¬
the
incurs
determine the
of
the
four
additional
assuming that it T mittal
chapters to the Congress, stated:
scare
head-line writers.
of
such
in
seek to
ciated
responsibility for
no
the
on
Performance*
companying, statements could have
more
maturity
-
"
done
to
gains
bonds, it surely does not apply to
preme
matter
Confidence, and Market
difficult
Study Group
with
consideration
absence
of "reasonable"
Commission's
yields
to
and
adjusting
approval, further
with
It holds
hands.
to
of
reci¬
recommending,
ards should be
it
Actually,
and
funds.
sional action.
how
and
walk
implementation and disposition
in
Commission
competition
current
from the" project," and leave
away
the
Commission
surely in¬
they
to
discount,
the
of
by
It cites the question of a volume
his
going to get
are
mem¬
Exchanges, with special refer¬
ence
clear
yet
advantages and
associate
procity.
act, beyond the holding
hearings
its
studied
the
commission.
Harris
of
tax
adequately de¬
may
technique
tax acquisition of
subse¬
as
the
this
its
scribe
commission rates should be jointly
interest
review
to
is
it
mendations through its pwn: rules-- entirely
making
the
berships and special non-member
instance,
from
and
Chairman
into
is
it
implementations, for
omission
how
first
foresworn
be
whom
to
an'indictment of the securities in-' House Committee
it
lot
-
quently endorsed by the Commis¬
CONSTRUCTIVE
released
odd
determination
rates;
level
The
While
arrangements; special
arrangeinents;
•
•
5
with
and
into
and
mission
on
wealth
member
N.
Tax
on
Y.
com¬
Stock
We
regional exchanges; the statutory
background for
mission rate
regulations; recipro¬
com¬
constrained
to
add
.
,
.
Funds
.
*.
.
.
.
*
i
•
•
9,004,917
dent
Kennedy's
vestment
in
plan
to
tax
to
in¬
in
its
THE
CONNECTICUT
foreign securities by
pointing out the fallacy involved
official name,
Equalization Tax."
44,687,730
$532,404,207
the controversy raging over Presi¬
Exchange, and the American and
and business
feel
Undivided Profits
Total Capital
Foreign Investment
of
conclusions.
the
and -the
Study
the schedules for
non-member
rates
a
Nomenclature
AMD
TRUST
32 OFFICES... SERVING 23
"Interest
MAIN
Member F.D.I.Gi
BANK
COMPANY
CONNECTICUT COMMUNITIES
OFFICE: HARTFORD 15, CONNECTICUT
-'--Member-Federal ReserveSystem
6
The Commercial and
(346)
fXl
m
~X f
1
i
1
headed
syndicate
i
John
by
Nu-
Inc.
-
A.
and
C.
& Co.
Allyn
July 25 (Thursday)
has
within
opinion
Board,
serve
in
testimony
Banking
Federal
the
as
1,645,000
1966-1994
1964-1972
July 24,
Index
re-
out
averages
one-half point general market
a
House; rise.
the
before
Committee,
the
negotiating this advance
the Board's
about Aug. 7 is
significance to Authority bonds. As
Bay County,
with previous
increasing the rediscount; be found in the yield decline in issues,
the underwriting group
from 3% to 3Vz%. and.raising that the
bond offerings utilized; will be headed by Phelps, Fenn
the' maximum
rate
interest
that
are
time
and
for
the
most
& Co.
shopworn
part
*
pay
on
such
as
do
deposits :ahd certificates..with; ina-
tutional interest
tunties Jrom
„ew
to
90
days
to
a
year
.4%, has loosed.a market vigor
r°i
exr,;'nence
,
bond circles
since
The level of
new
®
e.
and
.points
.
point
issue
is
had
- ;
v
and
.
inve„tories Pared
mu
v
.
,,
investors
giderably improved in price dur-
past. the rediscount confusion, the Com-
,,
,
,
ffradmllv
gradually
down
down..
sold
sold
of payments and a
all
Thp.
Then
stifled'activity
'but
bond
mar-
reduced
were
to
al-
an
most pathetic extent as dealers at-
to -bid- without
tempted
.high,; excepting iin
cumstances7
J
cir-
week
wees
a
of
ot
that
mat
us
there
ineie
ago
ago,
bein«
time
'
notion
This
was
!"*?lcUj!,;0 comei
blanket
^
$550,000,000- to
months,
some
i
rnt^
increase
J.
"
itself
,
.,
. 7
awarded
.
available
to
favorable
banks
the
rate.
This
resulting
little
and for it the state and
i,
right
A
to here
up
market
week
.
{„
j
Up
i
.
.
,
.
'•/
,
.
.
Substantially
indication
Some
.were,
in all kinds of
trouble.
Market
they
of
>
ket's rather spectacular
the
-mar-
improve-
ment during the past few days is to
be
in
found
Financial
the
Commercial
Chronicle's,
high
and
grade
20-year bond yield Index. A.week
ago
.the preselected
ferings used
in
of -of-
group
competitive
state-and
qnmp
f ,nkpr,,.j
t+
August 1 (Thursday)
deriving this In-
dex.'averaged, out at 3.10%. As of
New
Hampshire (State of)_
nf
vnn
hv
1n<3t
c.11m
<
vear
A^^i?reS?
totals
ahead
August.
As noted further below,*
1966-1993
9:00 a.m.
Peru, Ausable, etc., S. D., 1, N. Y.
2,260,000
1964-1992
11:00 a.m.
University of Alaska
West Seneca, N. Y.—j
1,106,000
3,736,000
1964-1992
2:00 p.m.
Wichita Falls Various G. O.. Texas
3,000,000
1964-1988:
10:30 a.m.
Wichita Falls W & S Rev.,
5,585,000
1964h1988
10:30 a.m.
1964-1983
10:00 a.m.
1966-1993
1964-1987
1964-1990
8:00 p.m.
2:00 p.m.
2:00 p.m.
Washoe County,
1,250,000
Nev
August 6 (Tuesday)
Golden Valley,
1,090,000
N. J.3,093,000
(Houston)
(1963-1983), lim-
s. Smithers & Co.
wRr a ne| interest cost * bid * of
3 068%. The First Boston Corp.
& q0
and ]?
gr0Up
was
Under
the
heading
negotiated
wjtha '3.092%
bid*.
interest
net
$200,000,000
County, Washington
not
were
(Wanapum
On Monday of the present week,
Grant
$3,100,000 San Bernardino School
P, U. D. .#2-
bonds
reoffered
District," California
bonds
on
likely
appear
to
Tuesday (7/30),
be-
Authority, N. Y:
[Negotiated sale to be underwritten by Phelps,
the Bank of America N. T. & S. A.
a"'net
on
interest
cost
of
bid
'
Asked
"
1982
.
3.20%
1981-1982
3.05%
2.95%
2.80%
2.70%
^
•No apparent
Inoi
*
1980<•.
3.15%
3.00%
3.30%
3.20%
3 20%
3 10%
The
bonds-'were
vifro^-l
reoffered
3!l5%
•
3.33%
* 3.25%"
3.35%
3.21%
y
R/S t/
s
inT
Also
-on
'
St. Joseph S. D.,
Continued
syndicate
on
8:00 p.m.
1965-2002
10:00 a.m.
1964-1992
8:00 p.m.
2,800,000
1,390,000
25,000,000
2,000,000
1964-1970
1964-1933
1:00 p.m.
10:00 a.m.
1964-1988
11:00 a.m.
Calif.
2,000,000
1964-1987
10:30 a.m.
Ind.
4,000,000
1967-1981
10:00 a.m.
1964-1978
1965-1981
11:00 a.m.
8:00 p.m.
(Saturday)
3,550,000
—_—
1,425,000
Mich
August 13 (Tuesday)
Columbus
Park
Franklin
&
Met.
Cos.
District, Ohio
Genesee
Johnson
Co.
Drain.
—
Mich.
Dist. 2,
County W. D. 1, Kan
Fla.
Naples,
Sweetwater
Jr.
Dist.,
Coll.
Wayne Twp. Sch. Bldg. Corp.,
August 14
Local
(Wednesday)
116,160,000
4,935,000
D., N. J._—4,300,000
Housing Authorities
Maryland Roads Commission—__
Woodbridge Twp. S.
August 19 (Monday)
«
/
1, Tex.3,000,000
~
—
Dallas County Rd. Dist. No.
,
Virgenes Municipal Water
tricts,
3,500,000
.
Sacramento Redev. Agency,
•
*
10:00 a.m.
Dis-
Calif...
Calif.
,
_____—
———
11:00 a.m.
2,800,000
"
August 20
Alexandria, La.
—-
August 21
San Jose,
(Tuesday)
11,350,000
1965-1993
11:00 a.m.
1965-1984
11:00 a.m.
1967-1993
7:00 p.m.
page
12
(Wednesday)
4,200,000
Calif.__
August 22 (Thursday)
Slidell, La.
-
-'trict, California (1964-1988) bonds
were awarded to the
,
11:00 a.m.
August 12 (Monday)
3.25%, Santa Barbara High School Dis3.14%
11:00 a.m.
1964-1988
August 10
Utah State University
At
$5,368,000
Monday,
10:00 a.m.
Noon
to
i
^
3.10%., At
Presen^ $1,550,000 ■ remains in ac3lo5%'count-
July 24, 1963 Index=3.07%
availability.
o%
3.20% "'3.10%
10:00 a.m.
1964-19922:00 p.m.
1966-1992 11:00 a.m.
1,000,000
3,450,000
Township S. D., N. J.__
Jefferson
.
Other members of the winning
314%.
*
10:00 a.m.
10:00 a.m.
August 8 (Thursday)
Arlington Ind. Sch. Dist., Texas—
Las
: V
SrouP include Kalman
& Co.,
Kenower, McArthur & Co. and
Lawson, Levy, Williams & Stern.
•Pennsylvania, State,,,.,
33/8%
1974-1975
•Delaware, State
•_:2,.9'0%' 1981-1982
New Housing Auth.
(N. Y„ N. Y.) 3%%
1981-1982
Los^ Angeles. California
3%%
1981-1982
^Baltimore, Maryland
3(14%
1981
•Cincinnati, Ohio
3%>-%
1981
Philadelphia, Pennsylvania
3V2%
1981
3%
r\Aci
3.05"%
J.10%
Npufv^rir ntvS"——
c>
3.00%
3.15%
1981-1982
——
^
3.10%
'r
—
1,200,000
The, 2.9526%, The second bidder was
^at«CX^ne?atote^? c^st
Noon
Fenn & Co. syndicate.]
5.000,000
Dist., Mo.
Beach, Fla.
were
Hydro-Electric, Reve-; awarded to the group headed by
Refunding 1971-1988,1998 and
New, York Transit
1965-1993
2,500,000
39,000,000
Comm., Ind!
Co. Met.
Howard
cost
Other members of the win-
issue
1981-1982
New York City
1984-1973
1969-1990
6,400,000
12,000.000
ing & Boy's School
the runner-up bidder
.
*
*
1934-1983.
,/
Phcenix, Ariz.
headed by Morgan
syndicate
Quaranty Trust Co,, White, Weld
.
•
State.-.,—;
.
________
Mexico, State Capital Build- ;•
New
awarded to
were
of wate^. -hph^S;. & Co., Inc. The bonds
originally scheduled to be sold, reoffered.- •
- • -. >
5s?1?.
-
York
1,800.000
3,131,000
9,330,009
—
Minn
Newark, N. J
Vero
Awards
nin.g group are Carl M. Loeb,
general obligation offering for the, Rhoades & Co. and Clark Dodge
California, State
31/2%
•Connecticut, State__
3%%
New Jersey Hwy. Auth., Gtd.__-_^ 3% *
•New
Texas.-
_—_—
IAugust 5 (Monday)
St. Louis Co. Met. Sew.
■
,
■'California decided to substitute, a
MA,?KET ON REPRESENTATIVE
SERIAL ISSUES
*
"
Eate
Maturity
Bid
,
'
9,600,000
Education
Keeent Awards
Last Thursday.-$6,000,000 Harris
'
than
State
California bonds are scheduled
to be sold,: is $23,435,000, State ofNew Hampshire bonds selling ;on,
Aug.
;: >
Recent
..
e ited tax bonds
calendar between now and
2009)
'
"
point to better prices as we move
trict
less
to
now seem.»
County; Texas Flood Control Dis-
"
•
nue
10:00 a.m.
11:00 a.m.
1975-1982
1964-1993
' 1
Oregon State Board of Higher
•
\
5,000,000
23,435,000
Mississippi (State of)
—
technical- factors
con-
nu^enmrv^ 5
m
montb
municipal
ago
the fact
^425,QQ0,000j-kThe largest item on
gimmick
bond boys should be expressively.
reverent.
•
T
,
____
mer's .state
:
really the activating "zinger",
was
under
i?1J
from the liberalization of the time
deposit
3,470,000
betterment observed by last sum-
municipal
•
8:00 p.m.
1:00 p.m.
July 31 (Wednesday)
Clearwater, Fla.
Forecast
Good
;
pn
,
return
,
of
financing has been less this
of slow market attrition and from
obviously
;
ditions. Relatively, the volume of
neBotiated
climactic change itself after weeks
the
view
that most of this volume has been
from-the
derives
in
particularly
"
1964-1983
1964-19188
Peabody, Mass.
Camden County,
to be working out,-The market's
the favorable market
However
development
Virginia (State of)_________
K
ft those who^-looked
2.120.000
: 4,000,000
,
Shreveport, La.
;
4,119,000 1968-1983^
and, municipal bond
Sine? the price levels d
August 7 (Wednesday)
volume of new issues has year .ago are comparable, this ap- California
(State of)
100,000,009 1964-1990
vpiume ux: new issues nas
likPlv eventuCincinnati/ Ohio
_______
9,000,000 1965-1998;
^ub far thi guess
Howard County, Ind._
:
1,200,000 1964-1983
finally let out of the
T
;
West
Boyertowri, Pa.
market.
The
D., Calif.
Canaan, Conn._
4n§ May °f this year.
000,000 level ($475,728,000 . . .
J
--^1
' ; ) Business on the Horizon,
gloomS°monegrethWos:
-
Kern Co. Jt. Union H. S.
that 27.375'more vehicles traveled
on the turnpike in June than dur-
K
conditions could hardly,-
1:00 p.m.
11:00 a.m.
11:00 a.m.
1,190,000
~
\n5*®ase<? W°. over June of 19fi2.
At the same time it was imported
unoe" Ine ratner sympouc j>ouu,,
have gotten worse and the cat had
been
u
w
-
notion was
r
;
™
•
..
,
perhaps been reached at least for
the
+i~
late'March tbe Blue List total has
In early June, as some of you
^
readers may recall, we surmised
necimect tcl i nae.
^ouu,uuuuuu.
marl?**
micrht
ctUia
hv
Wednesday's (July 24) total was
1 ,'P ^
rather svmbolic $500
about 10% and then follow the
apap
bottoms
ootioms had
naa.
the
tre
T"
'
.
average of; offerings has been reduced. For the first ,time since
obscure hope among
some
.
there is recent indication that the
Catalyst
Although the' state and munici-
peared
s.
1
r om
$650,000,000*, for
pal bond market touched its low
fori 1963
im-ijoa
.
> The greatest gam was reported
long. with the imbal-( by
the Florida Turnpike Au-
di
.
running/: f
•
-
TJnside
The
some
fci
i Whereas the dealer,offerings as
shown in the Blue List have been
being
unusual
.
rediscount rate and other interest for-this. popular issue.- At-least
rate changes, inventory , and vol- part of the advance can be at"mf P™blems have to some, ex- tnbuted to the favorable June
tent been fav°rably ameliorated, report of the Authority. Traffic
and bids for secondary, blocks
bonds
rmuch as one-haIf to one^
ance.-of payments crisis,, tp.-.uft-, th ir ty 43,s which »e quoted
dernune. general- bond -market- I;ll%-lll7/s as we go to press,
conditions. .With.the-change Imthe .This marks a new high quotation
SSSiSSt
of
a
heavy, new 4 issuer .calendar • have^t
^
rediscount rate
within the municipal
up.
to
6,930,000
1964-1983
1964-1983
1964-1973
1,679,900
Easton, Mass.
,„ow
Xelatory sltua 10n and;a relatively p»mt.
surrounding the imbalance
increase
went
Index
bond
revenue
.
•
July 30 (Tuesday)
Eastlake, Ohio
New
.
in
during the past month/the market
had
had
In the midst 0f
ing the past week
up-
rumors
St.
issues .were con-
,.evenue
no
active ,-. The three major. factors • that 3.472% .average yield a week ago.
the-weeks-hav.e fecently been working Currently the Index is 3.445%.
institutional huvers agalnst the market are now tend- There were no spectacular price
drained the mar*° become more favorable to rises, although several issues were
shown
While
before
:
minted
where
developed
interest
indi- utility
as
the
bidding- during
dollar
lonj*-term
The-
*
;V
:'2,000.000 :
r"" 7:30 p.m.
Louis Co. Unorg. Terr. SD, Minn. " 1,290,000
1965-1970
2.00 p.m.
Richmond,, Ky.
V- Week.' Iv.";
secondary market blocks*of bonds
has
the
as
Dollar Issues Move Up
.
1971-2009
.one-halfpublic
in the level of new
or more
,as.ls
.
.interest
wide
a
bidding
?
.,
:
cated before connotes a rise of a
■aoo'oipa
*n
The
point rise in this Index
December 1962.
issue
readily
as
blocks.
issue
insti-
attract
not
Wash.^ 200,000,000
Syndicate managed by Jchn Nuveen & Co., B. J. Van Ingen & Co., Inc.,
Blyth & Co., Inc., Kidder, Peabcdy & Co., Merrill Lynch, Pierce, Fenner &
Smith, Inc.. and A. C. Allyn & Co.
'i
i
•
may
Dist., Texas
Grant County PUD No. 2,
"
banks
member
V 1,305,000> ,1 '■-iirJL —- 2:30 p.ih^
4,290,000
1964-1989/' 2:00 p.m.
MichL
Creek Sch.
Goose
action in
rate
2:00 p.m.
11:00 a.m.
July 29 (Monday)
000,000 of New York City Transit
'
further
There is
issue of $39,-
an
2:00 p.m.
.
1984-1987
-
Re-
brought .out
was
Corp., Ind.
Brownstown Sch. Bldg.
Kingston Sch. Disk, N. Y._,1,045,000
funding issue for some months,
2,333,000
at 3.07% which translates to about
Also scheduled via negotiation Winchester, Ky.
been
of
Thursday, July 25, 1963
.
the following tabulations we list the bond issues of
$1,000,000 or more for which specific sale dates have been set.
'
cleavage
.
In
DONALD D.BY
MACKEY
a
.
Larger Issues Scheduled For Sale
Tax-Exempt Bond Market
Notwithstanding
Financial Chronicle
Houston, Texas
South
Co.
Jt.
Jr.
——
"1,100,000
September 3 (Tuesday)
-——
11,070,000
Col Dist.,
Calif.
8,250,000
—
Volume
198
Number 6284
.
.
The Commercial and Financial Chronicle
.
(347)
in
Is the Administration's Plan
order
Roberts,
Rutter
it
reserve.,Unless
The. merger is subject to approval
of
cured,
is in
are
with
of foreign
The rediscount rate rise,
stocks and bonds
are
balbe
can
the
gold
to
to
resort
is
reserve
erate
them
Stock
ment
devaluation.
age
LONDON, England—The first reaction in London to the
taken
measures
authorities to reinforce the
States
was
of
or^e
houses,
will
Federal
Reserve
seem
There is
sufficient.
ing
pending
under
the
should
Franpe during the 'thirties in de¬
fense of the franc, that they were
t
-
„...
v..
,
.
.
//too late and too little,", applies
to the present
They
American
too late ih the
are
measures.
that
sense
they could and should have been
the
before
taken
losses
of
gold
suffered in recent years. And they
too
are
little,
they
because
are
$12,090,000
T,a^e
increase of the FedJ?GSx,r^e ^lsc0"n^ r.a^e ky half
of 1%. It is less than
impressive,
In order to produce a noteworthy
material and
been
needed.
inspired
the
to
which
profitable
trage.
It
checked
have
might
have
confidence
result
in
have
would
transfer
to
York
New
would
That
sufficient
dollar
rates
1%
by
5,350,000
1969
In the first
place, full
use
for
resources
would
the
have
rise
in
effectively
cost
of
pro-
benefit
of
I
ments.
the
balance
suppose
sooner
J
goid
The
reserve.
increase.
But
why
do
should
be
of
balance* of
the
The
coins
should
in 'he
^he
:
2.7° ;
vr
for the
reserve
1972
2.90
1973
2.95
Sell
Bonds
Backed
1,700,000
1976 y
3.10
1977
3.10
1978
3.15
/ 3.05
'
United
claims
1,700,000 •
•
;
1'
3.20
'1,700,000
1980
/
3.25
1,700,000
1981
'%•
3.25
1979:
,
1982
r
States
'
i
the
consent
of
■ *
t
to
paper
over
instead of effectively
them.
the
of
the
ernment
and
of
the
on
■•j.'.
■
r.i
States
make
of
the
it
Gov¬
Government
possible
to
reaj
.
property
taxes to pay
Lazard Freres & Co.
•/ ?
1
*'*'
Barr Brothers & Co.
R. W. Pressprich &
i
*':> 'Wf-.
The
Hornblower & Weeks
Philadelphia National Bank
Wertheim &
fact that in
but
more
-
loss
than
effect
place
the
re-
would
offset
of
be
by
the*
reinforced
a
The First Western Bank & Trust Company
Los Angeles
A. C. Aliyn &
Co.
£
ill afford to
export capital. But again it is only
half-measure.
Even
after
its
adoption there will be
if
left
open
many
chan-
for U. S. residents
they wish to transfer their
money
It
is
abroad.
understandable
Administration
is
that
reluctant
adopt exchange control
the
measures,
_
_
Force
.
Paribas
Paribas Corporation
_
„
,
United
States
f
Wm. E. Pollock & Co., inc.
Baxter & Company
.
B. J. Van
Ingen & Co. Inc.
United California Bank
Hartford
Federation Bank and Trust Company
.f
Hirsch&Co.
.
Adams, McEntee & Co., inc.
Swiss American Corporation
Fahnestock & Co. ~ Gregory & Sons
Reynolds & Co., Inc.
F. S. Moseley & Co.
E. F. Hutton & Company Inc.
J. A. Hogle & Co.
requisition
Or the
holdings
of
interna-
for raising funds abroad.
are
measures
only
a
few instances
that could be adopted
'
'
'
■
The First National Bank
'
.
of
Lebenthal & Co., Inc.
•
at
f Rauscher, Pierce & Co., Inc.
Memphis
Mercantile National Bank
Incorporated
State Street Bank and Trust Company
Dallas
Stern Brothers & Co.
of Boston
Trust Company of Georgia
f
Incorporated
Chas. E. Weigold & Co.
Auchincloss, Parker & Redpath
American National Bank
Incorporated
The Citizens and Southern National Bank
of St. Paul
The Fort Worth National Bank
Dewar, Robertson & Pancoast
Cooley & Company
Atlanta
J. B. Hanauer & Co.
Halle & Stieglitz
Green, Ellis & Anderson
Harkness & Hill
could
tionally marketable securities and
use them in the same way as the
British Government did at the beginning of the second World War
These
'
Kenower, Mac Arthur & Co.
Henry Harris & Sons
}
Hayden, Miller & Co.
National Boulevard Bank
of Chicago
Incorporated
The
Robinson-Humphrey Company, Inc.
Scudder & German
Sterling National Bank & Trust Company
■
/- _/ '
^
Walston & Co., Inc.
;'
"r
'*v-
*
f
Wells & Christensen
-
>
„
,,
Wood, Gundy & Co., Inc.
Inco
Incorporated
Granbery, Marache & Co.
.
Herzig, McKenna & Co.
of New York
»
-
*V
■
* ■(
■■
Freeman & Company
\
Moore, Leonard & Lynch
Lyons, Hannahs & Lee, Inc.
...
John Small & Co., Inc.
ToUner & Bean, Inc.
Courts & Co.
Incorporated
Singer, Deane & Scribner
■
American Securities Corporation 1
_
Dempsey-Tegeler & Co., Inc.
Banco de Ponce
Ponce, P. R.
in St. Louis
(
.
The Marine Trust Company
of Western New York
Newark
First National Bank
-t
Los Angeles
Incorporated
The Connecticut Bank & Trust Company
..
Ernst & Company
National State Bank
„
authorities
*
v
Ladenburg, Thalmann & Co.
Weeden & Co.
..
in Dallas
Blair & Co.
Incorporated
of American Held
of such securities abroad.
of
■■
reserve,
_
to
n * *+-:■ f
Drexel & Co.
Paine, Webber, Jackson & Curtis
Hemphill, Noyes & Co.
Goodbody & Co.
ht
nels
••
,
Carl M. Loeb, Rhoades & Co.
First National Bank
|
Bache & Co.
result would be further re-sales
can
Goldman, Sachs & Co. ^
incorporated
Equitable Securities Corporation
Hallgarten & Co.
existing circumstances
the United States
of
*
.This
to existing American holdings. The
realization
„
Blyth & Co., Inc. ;
Lehman Brothers
;
Merrill Lynch, Pierce, Fenner & Smith
Co.
,v €i *$ .•?
/'■
the
situation
.
^
rate or amount.
Hanufacfurers Hanover Trust Company
m•;/:•" j'-y.y
Stroud & Company
fundamental
j
within which wilj be .subject to the levy of ad valorem
the.Bonds, ancf {hg,interest thereon, without limitation
are offered when, as and if issued and received by us, and subject to
prior sale and approval of legality by Messrs. Wood, King, Dawson & Logan, Attor¬
neys, New York, N. Y. .r
' * [" ''f-
The Northern Trust Company
plied not only to future acquisition of foreign securities but also
tax
totally
yw'-wy
The above Bonds
Chemical Bank New York Trust Company
and
a
•
The Chase Manhattan Bank
New York Hanseatic Corporation
does .indicate
a
financial
Foreign Securities
different matter. It does deal with
the
gold
cracks
equalization
1"-''*;
constitute, in the opinion of counsel, valid and legally
binding general obligations of the. City of New York, all the taxable
■ r
as to
If the worst came to the worst,
the equalization tax could be ap-
proposed
J
With
joint guar-
States
concerned.
Government,
beneficial
dealing with
foreign borrowing is
$
.
r.hrt
These Bonds will
of
some
Such bonds
the
United
country
'
The
on
Exempt From Present
Principal and semi-annual interest (January 15 jind July 15) payable in New
York City at;the office of the City Comptrollef. Cqupon
pon bonds in denomination
of '*5,000, convertible into
denomination of %1,000 or
fully registered bonds in ider
'
?•> 1,
■' .
multiples thereof, but riot inteiihangeable,
,i ft j.
(Accrued Interest to be added)
Governments
the
against those claims.
much
arrangements, it is merely
f
against
concerned, bonds should be issued
technical measures,
credit
July 15, 1964-83, incl.
Legal Investment for Savings Banks and Life Insurance Companies
in the State of New York and for Executors, Administrators,
(:
Guardians and others holding Trust Funds for Invest- ?
L
,ment under the Laws of the State of New York:
M
v
3.30
-
.,•••
meant
Due
Government
in advance of their maturity.
suiting
the reciprocal
'
mm
3.30
1983
.1,700,000
foreign Gov¬
ernments which cannot be repaid
Moreover, together with the other
arrangements and short-term
as,
Interest
■*
swap
eco-
Government Debt to U. S.
The
than that received by the United
impressive.
associate
was -
nomics director of the National
Association of Home Builders.
Federal and New York State Income Taxes
r
Foreign
by
in
But
Gillogly
of
Associates.
July 24, 1963
3.00 /
>.
-
the same, the Bonds are offered at par.
amount
direction.
Newcomb
*Where the yields and coupon rates are
the
not
Mr.
head
$32,500,000 VA% Bonds, due: $6,740,000 1964-66
ex-/
f' and $6,140,000 1967-68, incl./
1
t.
V
next two
step
is
Mr.
son
formerly
was
$34,500,000 2.90% Bonds, due: $3,450,000 1964-73, incl.
5
2.80
1,700,000 ;;
1,700,000
three years at any rate.
or
sibly the interest might be higher
right
Npwcomb
O; Robinson
continue
as economic
counsel1 and market analysts.
$36,000,000 3.10% Bonds, due: $1,900,000 1964-73
;
and $1,700,000 1974-83, ind.ffff.yfyfy
1975
T
fairly large amounts abroad. Pos¬
the
N Street, N. W. to act
as
General partners
2.60
;
/ 1974
1,700,000
re-'
be
In¬
the
with
formed Newcomb, Gillogly
& Associates with offices at 2015
2-5°
1,700,000
v
with t'he defensive measures,'
WOuld be sufficient to safeguard
should
arrangement
i
V
:t,700,ooo
This step alone, together
market.
anteo
two
l
'
\
payments defi-
ternational Monetary Fund was a
j
:
port the dollar against the effects
would be based
in
1LTTI
r
Serial Bond?
5,350,000
States'
United
gradually unloaded in
pay-
it
Roberts
will
"
5,350,000
>
the
the silver market in order to sup-
later
instalments?
'
i
'
or
cent
/
yOURl RP1
Dated July 15, 1963
:
Treasury's substantial silver stock
of
there will be another half per
V
^
(
founded in 1919
was
.
should
supplementing
the
through interest arbi¬
The
2.25
1971
5,350,000
be made of the considerable silver7:
made
to
Pill/^rvLr
WASHINGTON, D. C.—Robinson
American Newcomb and David K. Gillogly
the
Dudley
"2.40
1970
5,350,000
f
v.,
Dollars N/.V :>■:£
could and should mobilize
funds
\TATTrr>r\vv\L
IN Gl^COIHU. vjlllO^lV
Company in 1939, and
firms
A.
have
;
;
Suggests We Sell Silver
forward
duction and cost of living, to the
.
of the United States in
be
resources
in
it
1.85% i;
2.10
1968
psychological effect,
increase
an
ffj.
$103,000,000
1965
11,490,000
sho"ld a's° be. un,»aded
,
„
:
Yield*;
1964
full- effect, steps
taken to mobilize the
their
placed and the metal thus acquired
Impressive Cure
;
12,090,000
1966
cit.; Silver
j'
both
of
Due
1967
only likely to slow down the out-
Less Than
V
Amount
12,090,000
flow instead of arresting it.
m
&
Rutter &
Madison Ave-
member
one
SCALE
11,490,000
more
in Y't//////;For
■
adopted
measures
by
Roberts
488
*
naud's verdict condemning the in¬
adequate
floor/of
formed
at
t
Exchange.
of the founder.
form
OFFERING
here that M. Paul Rey-Kfa*;:;%;.:/V^
over
a
will; be
New Issues
strong feel-, order to reinforce the gold reserve,
a
to
merge
effective, and,
be made much
the
impression that half-measures are
the
wh^n it would
years
tween
and
Administration
the
now
a
Cady
resigned,
:pf:4he-.New£York
floor
be confronted with the choice be-
pects and are,beginning to raise strong temptation fo defer them.-"
their heads which were until now
But in order to justify the delay,
comfortably buried in the sand, the defensive measures ought to
The second. reaction was that even
to
Exchange, and
Rutter & Co.
advisory firms and broker-
exchange restrictions and
relief. At long last, official circles devaluation. But so long as there
in Washington are beginning tor is hope tb "check the drain without
realize the gravity of the pros- such extreme measures there is a
defenses of the dollar
op-
advisors
with the
W.
nue, New York City.
sur-
and to conduct
firm
new
Everett
It is true, if the gold drain should
continue a stage would be reached^
proposed by the United before many
or
investment
of
The office of Roberts
Co.
Cady, Roberts & Company and. by J. Wood Rutter; Joseph
Rutter &" Co., New York invest- Rutter of Rutter & Co. is the
tion such holdings and sell them abroad.. Concludes our halfway
will in due time lead to exchange control or.
regulatory
Cady, Roberts & Company wals
Forming in NYC
'American holdings of foreign securities to foster re-satevor requisi¬
who has
firm will have two members
new
f
Partners of the
exception
.
general brokerage business.
government debt with coinciding maturity dates to be jointly guar¬
and the foreign country concerned at attractive interest
rates; and, if need be, (3) extend the equalization tax to existing
'
select, clientele,
still at
Roberts, Rutter
anteed by us
measures
as
Stock
internationally to support the dollar; (2) issue bonds against foreign
appropriate
i
effective
announced,
Roberts, Rutter & Co., the
on
/
(1) sell silver
Co.,
has'been
viving firm, will continue to
^Ule in;stead of
vanced further.
.
•
Kwaitmg until its decline has ad-f^ the/
IMF standby
we:
the
bodies.
stongly chastized for being "too
Instead, Dr. Einzig suggests
1,
by
such
some
whether it wpuld not
is
Am^ress.1.Ye..
alternative,
an
drawing, and equalization tax proposal to curb Americans' purchases
little and too late."
deficit
later
or
wlsGr
while
last week's announced
our
plan to curb the payments-deficit, and to recommend
superior set of proposals.
chronic
P*ce. }h}s *s reahzed, the only
better position than Dr. Einzig to know how
a
unimpressed European bankers
^
payments
sooner
question
anyone
the
will have to be resorted
By Paul Einzig
Hardly
anxiety about
Aug.
ance
"Too Little and Too Late"?
relieve
to
the prospects of the American gold
7
Starkweather & Co.
*
*
Sutro Bros. & Co.
8
(348)
The Commercial and Financial Chronicle
_t
ing—Courts
DEALER-BROKER
S.
U.
INVESTMENT LITERATURE
ures
AND RECOMMENDATIONS
WILL
MENTIONED
FIRMS
PARTIES
INTERESTED
SEND
TO
THE
THAT
UNDERSTOOD
IS
15
largest
Trust
Company, 16 Wall
lar
Lockheed
and
&
Heller
Stanley
view
including
Construction,
Co.,
Wall
44
New
;
&
Co.,
Street,
York, N. Y., 10004.
Goodbody
New
Broadway,
2
10004.
N.' Y.,
York,
available
Co.,
&
*
comments
are
Also
the
on
Retail Trade Industry and a bulle-
1 tin
the Municipal Market.
on
ment,
U.
and
and
S.
quarterly
Industry—Bulletin—
Smith
Zuckerman,
Broad
•
York,
New
Street,
Co.,
&
30
Y.,
N.
10004.
Analysis
—
Electric
Utilities—Study—Jas. H.
Oliphant
New
&
Co.,
61
Broadway,
York, N. Y., 10006.
Fire
and
Company
Casualty
Stocks—11th
annual
edition of brochure of data
on
32
; companies—First Boston Corpo.'■) ration, 20 Broad Street, New York
annual edition of data
:
tions
&
Industries
articles
I
tries,
on
and
Index
—
corporations,
indus-
business
general
of
Tool
Reynolds
New
&
j
jects taken from
publications-, 350 ^broker's reports,
i
and
speeches
v
i societies—
200 financial
over
?
1962
before
analysts
:
Annual
Cumula-
texts
of
indexed
copy
request
on
Reprints
brokers'
reports,
Issued
—
on
New
York,
Also available
are
Wall
—
.
&
Y.,
N.
report
a
Rubber
Also
10005.
on
Central Industries and Chicago &
North Western.
Co., In-
225 East Mason Street,
Kollmorgen
Milwaukee, Wis., 53202;
C.
Salle
La
Co.,
Street,
122
are
a
McDonnell
111.,
analy-
■
York
New
City
Wor
—
York
New
Cty
Stock
Bank
Broad
Boston
Corporation,
b
Also
Also
ments
American
on
nancial,
Oils—Review—L. F. Rothschild &
Co.,
available!
v
com-
are
Commercial
" : Barge Line Co., First Charter Fi-
10005.
N.
Gas—Com-
1
*
fnnm
10007.
20
N. Y.,
Street, New York,
120
Wesco
York,
New
Broadway,
Y., 10005.
San
Diego
Financial,
Imperial,
Pan
American
between the
in
used
listed
the
industrial
Dow
-
Street"
Broad
New
tive Volume $30. Further informa¬
tion
I issues
:
the
on
weekly
available
monthly
or
on
request—In-
120
^
ReP°rt—H'1 !> Thompson & Co. Interstate Life
Inc
37203°
>
70 Wall street, New York 5,
Denver
Rio
Grande
Western
Templetoh,- Inc^y 640 South5
Jones
k-CIothes Rental-
o r
Analysis—Hornblower
;
Also available is
tional Biscult
_.
-
analysis
an
on
Na-
tional Stores
Company.
,
,
Nnrondo
.
Mine.
of,,Av
Noranda Mines
„
®,sc' InT°;-^n
Study — Green-
*eleshields
s>E~s}syt*a Incorporated, 507 Place
£lng- Llba'^, Stout & Co., 50 d'Armes, Montreal, Que, Canada.
an analysis of
Hayes Steel Products, Ltd.
^irefto?e
^ Rubber Co.—
^
^ Street, Bos ton, Mass:,
^vaUaMe is ap analy-
^ring'
—Hannaford &
New
York,
Inc.,
York, N. Y., 10005.
New
York,
N.
anese
are
studies
I
the
Jap-
Industries.
is
Broadway,
—
Review
Co.,
New
available
York
is
&
Co.,
Ltd.,
61
6,
Y.
N.
City Bank Stocks.
New
Also available
Ohio State Life Insurance Com*
1 r s f Columbus
Corporation, 52' East Gay Streef,
Columbus, Ohio, 143215.
Als o
.
A.,
San
Sanwa Bank Limited.-
the
on
area—Bank
S.
Metropolitan
300
of
Area—
J.
Montgomery
way,
Street,
McLean
Our
<
■
•.,«
2
k
«
%
>
'
••
.1-.
...
»«'•..
'
brochure:'
; ~
*
*•
r
i
commenls
The Cosmetics
briefly
Industry " '
11 OTC companies in this industry, which
is expected to double its volume
in the next
is
■„
a
Co.,
V
at
120
Broad-
iDnnc
Aierx
_H„muon
memorandum
Trucking.
Copies
''
'
-I'
'■
-
on
Request
!'.
'."-Vy-
.
Members New York
Security Dealers Association
74
Paper
port
Francis I
Wall
street
Industries—Re-
du Pont & Co.
New
York
1
Y.
N.
10005
General Waterworks Corporation
sherrerd
fen^rrerQ'
1500
fouu
Philadelphia,
ayailable
Duriron
Rhoades & Co., 42 Wall
peopjes Ljfe insurance Company
—Analytical brochure—Butcher &
Walnut
wainui
Pa.,
Street
.
19102.
is -anu analysis
.
Also
of
the
S'unlee
studv
Yeatman
Mos-
upiee, 'Y(jatman, .ivjlos
J?
ley Co., Incorporated, 1500 Walnut
PhiladelDhia
ctrppt
Pa
19102
Street' PhlladelPhia' P^., 19102.
Piedmont, Mo.—Combined Water¬
Company.
works and Sewerage System Rev¬
^reat Northern Paper—Memoran-
American
Oil' Company,
Bonds
enue
—
Bulletin
—
Stern
Reading and Bates Offshore Drill-
10017*'
Corporation,
Holiday Inn s—Memorandum-
Limited,
244
: *
Leasing Co.
Madison Avenue, New York, N. Y., I
Ltd.—Analysis—Royal- Securities
St.
•*.
J.
ing
Company—Analysis—Powell,
A
\
Street,
Que., Canada.
West,
Montreal,
Also available
are
C.
Bradford
&
Co.,.
414
Union
Continued
on
13
page
Street, Nashville, Tenn., 37203.
Trinity Place, New York 6, N.Y.
Teletype 212 571-1780; 1781; 1782
BROKERS REPORTS
WANTED
presently with N. Y. S. E. firm, and a
member of New York Society of Security
Analysts, seven
years' Wall Street experience with member firms.
Seeks a challenging situation requiring drive, intelligence
and creative ability.
1
'
Wharton School grad. with an M. B. A. from N. Y. U. and
near
Ph.
D., combines strong theoretical background with
practical experience in all phases of investment banking and
brokerage.
Interests
would
Analyst,
not
consider
financial
Write
Park
!
Philadelphia 2,
Streets,
pak.Well
10 years.
Troster, Singer & Co,
HAnover 2-2400
&
Pennsylvania.
POSITION
:::
15th
Company—Review—Carl
General
'
Inc.,
l^^roaHway j New '.York • N. Y./Way' NeWiYprk,.N.Y.f 16004;
^ n. YyAlao-available is an analysis
available; is a chart C.v F. Hathaway—•Memorandum-—''" Mead^^Johnson and Company
analysis' of Merck & Co. ^
: ? ? %m, rH; Rosenbaiihi: &" Cb*y 331 ; and:' a memorandum on ' Berman
James
on
Co.,
1
1000^.. " Also
British
t €
&
of
tCorp.
»
'
'
current
Chestnut
Financial
on
Santa Barbara.
interest-
appear
'
<'••••
v^L-
.c
M. Loeb,
Selected Stocks—Issues in various
tv/tory^nyonriiiryi
&
New York, N. Y., 10005. Also
Borden
For Banks, Brokers and 'Financial Institutions
only
•
t or,cine
Leasing—Memorandum—
Sparks
available
&
Francisco, Calif., 94120.
categories which
W.
TVTcxxzr
growth of the
America, N. T.
Calif.,
—Robinson
randum>
94104
r.
Berman
Diego
Talbot, 111 Sutter
Francisco,
San
Maytag Company and Pabst
Brewing Company.
pany,
General Public Utilities—Analysis
America—Memorandum
of
Street,
analysis of the market out¬
an
San
analysis of
an
Broadway,
of
look.
No¬
—
120
on
Motorola, Goodyear and New York
Distribution—Analysis
Brochure
Securities
mura
I Also
of
Also
Shipbuilding, Iron and Steel
Japanese Market
i
Broadway,
10006.
Retail
memoranda
are
jen
) and Gas
i
available
study—Yamaichi Securities Co. of
Ill
Weeks,
.
Bank
Y.,
&
l Chase Manhattan Plaza, New
York, N. Y., 10005. Also available
Street' New York' N- Y- 10005' is * memorandum on First Na-
Street, Los Angeles, Cklif.- 90014.
growth prospects—Emanuel, Deet-
available
of
Co.
surance
National W
&
analysis
an
Averages and the 35 over - ifter Also available is-an analysis of sls -ofv
?es* »
r
available is a report on West Ohio
counter industrial -stocks used>in Standard Brands.Paint
Company...FirstsCharter Financial Corpora- Gas Company. '
* \
ihe .National Qitbftation Bureau
American Telephone
Teie^apR ^
rV i s, . Brothers .^acific- Lighting-r-Analysis—Dean
Averages, both, M to yield and
—Memorandum—Paine, " Webber, & Co., 36 Broad Street, New York, fitter & Co.,; 45 s Montgomery
market performance over a 25Jackson & Curtis, 25 Broad Street, N. Y., 10004.
Also available are street,' San Francisco, C a 1 i f.,
year period — National Quotation
New York, N. Y., 10004.
Also analyses of Howard Johnson Com- 94106; Also .available is a memoBureau,
Inc., 46 * Front
Street
Japanese
y—Quarterly
■"
and Accident In-
10004.
New York 4, N. Y.
Econom
Y
s"durities Corporation S^Unton
Broadway, New York, N.
Broadway, New York, N.-Y, Also available is
vestment Index Co., 206 F Colon¬
nade Building, Cleveland
6, Ohio.
N
-
.
t
York
10005
Distilling.
Folder, American Pipe &. Construction Co.
showing an. up-to-date 1 compari¬ --AnMysis^Mitchtim, [Jones f&
stocks
Dexter-Analvsis-
BteS"
Sulphur, Hiram Walker, American
Oy^-tiie-Coiiiiter Index
son
-
Miehle i Goss
New York.
u r a
Y.
ChmnXme26 Ka"™a«J C °m p a n y-Anaiysispfik pjce Ned tZ
Glore' Forgan & Co' 45 Wal1
Ho,
s—
Comparative figures at mid-year
—First
t
61
'
York, ' N.
Cove Vitamin & Pharmaceutical— Also available is
irways.
a
New
10005
N°" y' 10°05'
York
H^rtfrwntndp,„
AmerhTn
Hertz Corp. and Pan American
120 American N
Meeds,
&
nrt
on
10
of
stocks
bank
Bissell
Laird,
analysis
and
Memoran-
National Life and Accident Insur-
Corp.—Report
innna
City Bank Stocks-
—
79 Pine Street, New York, N. Y.
* '
'
<
'
Co.; ,65 -.Broadway,. Company, ,1001 East Main Street,
N; Y„ 10006.
Also Richmond. Va., 23219. •
'
Trfnt" Sa^ew
AnalyCentral
Pictures
AnalysisSecurities
Cement
Corporation,
Hancock
&
Express
6
10006.
i
'
Aircraft
Broadway,
Bowmar Instruments and Medallion
Inc.
Co.,
dum—Tessel, Paturick & Co.
of Edgerton, Germeshausen &
Robins,
&
Row, Hartford 4, Conn.
South
Chicago,
Also available
60603.
ses
Allyn &
Corporation
sis—Putnam
Chemetron Corporation—Analysis
Grier
.
&
1
®
and Aggregates
'Products,-,Inc.-^Anal- and a . memorandum, on Hewitt
York,
American
on
World Airways.
Comparison
Power
&
Memorandum—Loewi
Ron?rbBearinVeVieW °f
Goodyear
comments
and
Light
W. A. Brown Manufacturing Co.-
A.
Street
V
Control
New
Broadway,
120
Electric
land, Delaware & Hudson, Illinois
ways.
weekly
subscription—Sample
Fahnestock
Industry—Report—
Co.,
York,
available is
sub-
t
Broadway,
Ralph B. Leonard & Sons, Inc., 50 Broadway, New York, N;y., 10006.; Chesapeake .Corporation of VirBroadway, New York, N.Y., 10004. Allied Chemical Cbrp.^-Review;— ginia-Analysis-J. C. Wheat &
surance
Funk & Scott Index of Corpora¬
26
corpora ted,
.
—
ysis—Bruns, Nordeman & Co., 115
Life In-
on
Company stocks covering
; 24 issues.
Market.
available
a-
5, N. Y. Also available is the 11th
l
full
149
Ltd.,
Broadway, New York 5, N. Y.
Insurance
Bond
Life Insurance Stocks—Bulletin—
New York
Place, New York 6, N. Y.
the
bulletin
a
Transcript, 54 Wall St., New York
re¬
Delta Airlines and Pan American
Troster, Singer & Co., 74 Trinity
Also available is
Dai- 5, New York.
—
-
Corporation,
Street, New York, N. Y.,
Air
Tire
Cosmetic Industry
Co.,
Power—Memo-
com-
Broadway, New York- 6y N.: Y.'
.
t
of
trading
Memoran-
N. Y., 10004.
consecutive
cross
Instru¬
Statutes
Japanese
securities
to
Columbia
Vision, Inc.
Company,
111
East Wisconsin Avenue, Milwaukee, Wis., 53202.
Co., arid Simpsons, Ltd.
British
of
U. S. Banks & Trust Companies—
of
Toyota
comparison
a
House
|dum—IVIarshall
Report—H. Hentz & Co., 72 Wall
Street, New York, N. Y., 10005.
Wall Street Transcript
Sew¬
Tsu,
Musical
Securities
*
wa
Nippon
Machine
' '
• -••••.
Automotive
I
Yashica,
lating
Industry—Review—
Automobile
r
Broad
25
Fuji
Industries,
Iowa
on
Ka-
on
Ricar
Canadian
Ltd., Nova Scotia Light & Power
Inc.,
10004.
re¬
Motor, Toyo Kogyo, Honda Motor,
'
Hirsch
Machine,
ing
details
of
Thursday, July 25, 1963
memoranda on Fifth Avenue Also available are comments on
parison of leading institutions— Coach Lines and Pittsburgh Rail- Soo Line Railroad, Western Mary-
Monthly
—
jima
Equities—R e p o r t—
Aerospace
Market
Air¬
Street, New York, N. Y., 10005.
•
Japanese
Aircraft—
McDonnell
to
reference
craft
particu^
analyses
.
Street, New York, N. Y., 10015.
60 Broad
with
fig-
institutions—
New York Hanseatic
Aerospace—Report
Marietta
11
.
randum—Edward A. Viner & Co.,
125th
PLEASED
BE
LITERATURE'
FOLLOWING
THE
Co.,
Banks—Comparative
on
Bankers
IT
&
Street, N. ^V., Atlanta, Ga., 30304.
.
necessarily limited
position
with
to
bank,
N.
Y.
fund,
S.
E.
advisor
firm,
or
but
other
community institution.
Box
B
725,
Commercial
Place, New York 7, N. Y.
&
Financial
Chronicle,
25
Complete Text
A
subscription to the WALL STREET
TRANSCRIPT puts the FULL, ORIG¬
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.
N. Y.
•:
Volume
Number 6284
198
.
.
The Commercial and Financial Chronicle
.
American
A Day
of Decision
such
Let
Seattle^ Washington
us
owned
dian
Mr. MacRae
securities by Americans contains a Pandora's box of un¬
of foreign
foreseen
charges that the President's proposal to tax purchases
dangerous consequences bound to bring about the opposite
of the intent to slow down our gold
In
charge
ample,
equity capital in certain instances, fosters
on
issue
this
stock.
too,
the
to
ation—this is
a
Penalizes
could well be a
important date in American
most
date the Presi¬
United States, in a
The
request made
no
simple message.
history.
On this
is
dent
the
in
detail
of
application
of
to
message
the
regarding
...
proposed tax..
of
gated
ica's
remit
cial
World.
the
restriction
charge
a
den
President
dence
and
distrust in
and
the
all
but
jlhe Ameri¬
on
New
Zea¬
Swe¬
This
—
list
stamp
"postage
Liechtenstein,
San
and
aco
changes.
'emergency
.
Marino.
But
foreign bonds when ac¬
of
value
of the
15%
quired by
foreign
U. S. citizen from a
a
in
Transactions
owner.
foreign security between two
American citizens are completely
any
exempt from this proposed taxa¬
tion.
a;
hardly
surface
the
On
innocent
rather
be
down
The stated pur¬
ever,
to
method
certain
claims that direct capital
controls
inappropriate and con-
be
principles of a
trary to the basic
restriction
this
is
restriction has ever been
imposed. Let it not be forgotten
such
—or
a
a
our
re¬
unlisted
foreign securities and to Aug. 16,
securities
for
1963
stock
exchange.
between
the United
States
discretion
a
modified
and
certain
new
on
is
seeking
his office the
issue.
new
further
announcement
•
that has
dates
due
the,.United
Rates Abroad
v-
raised
order
of
to
from
the
3%
gold
once
that
shows
History so
restrictions
imposed are seldom removed
—rather they are
once
sesses
free
multiplied until
unit
currency
only that value
the
and
is¬
sued forms number 3625 and 3626
in
capital
to
eign
financing
—if
not
for
capital
Canada,
etc.,
for
by
Australia,
the
past,
The
rope.
vastly
higher
interest
where
increased
will
created
so
in
rates
de¬
confidence in Amer¬
United
States.
As
Europe increase, will not
interest
to
"rediscount
eign
will again
conditions
however,
rate,
can
supply
may
decline
further
invest¬
of
living
within
have
Do
these
clear
no
withdrawal
of
wealth
wholesome
more
finan¬
securities
wishes
to
reach,
by
increase
prove
equities
15%
for¬
Government
keep beyond
a
of
seem
The very
our
to .be among
sessions.
or
corporations
best solution.
rate
still
land,
managed
that
we
S. Investors Can
tangibles,
our
this
$20
over
billion
States,
some
If
further
of
$3V2
cial climate, investment in dollars
rate" in order to protect our gold.
we
of
America.
of
means
well
If
not
type
our
we,
United
in
change.
in
Since
the United States have to further
same
gold
What U.
increase the domestic
we
will
this
If
claims
against
privilege
ment
Europe
rates of
follow,
holding
"free"
capital is not readily avail¬
do not
behavior
recover.
de¬
quantities of the
we
financial
the
force
able in the vast
the
proposal.
done and the
billion
funds, will be directed to Eu¬
mands
misconceived
however, has been
now
Italy,
have
likely that
cial wisdom, the foreign nationals
as
the New York market
on
most
seems
proposal is the scope of our finan¬
demand
nations
be¬
within
damage,
quickly
costly
more
such
Japan,
who, in
pended
here
impossible—the
It
and
ican
If America is to make for¬
rope.
mischief
of
conceived
up
Ivory Towers of theoretical
The
higher rates available in Eu¬
in
have opened
box
anything
a
pur¬
Congress will defeat this fool¬
ish
outflow
stock
■,
tax,
our
easy
may
also
best
pos¬
our
'
'
This
announcement is
neither
offer to sell nor a solicitation of an offer to buy these
offer is made only by the Prospectus.
an
securities. The
Burroughs Corporation
assisting
been
its
in
States
VJ.V-
scheduled
of
$25,000,000
present
other
the
On
hand, this Presi¬
dential proposal
suggests no taxes
restrictions at all against secu¬
or
rities
such
of
countries
4Vz%Sinking Fund Debentures, due July 1, 1988
Price 9 9 V2 % and Accrued Interest
India,
as
Indonesia or
the Congo, to name but a few.
This, not withstanding the fact
Argentina,
Brazil,
that
aid
foreign
more
has
been
742,144 Shares
given to India than to any other
one
nation and the possibilities
of
Common Stock
repayment at all are ex¬
any
(Par Value $5)
tremely remote. For some strange
continue
we
reason
spend
to
these
billions
on
sponsible
nations
yet propose to
that
the
billions
pour
annually into countries like
and Brazil is not damaging
India
-to
fiscal
our
whereas
dollars
of
and
we
position
gold
lent
money
solvent
to
Subscription Price $23.75
irre¬
countless
per
Share
The
Company is offering these shares for subscription by its Common
Stockholders, subject to the terms and conditions set forth in the
Prospectus. Subscription Warrants will expire at 3:30 P.M., E.D.S.T.,
on
August 5, 1963. The several Underwriters may offer Common
Stock pursuant to the terms and conditions set forth in the Prospectus.
Copies of the Prospectus may be obtained in any State only from such of the
several Underwriters, including the undersigned, as may
lawfully offer the securities in such State.
nations must be curtailed.
A
of
this
tax
new
Lehman Brothers
on
of the 22 nations can best be
any
shown
by
taking
a
hypothetical
Blyth & Co., Inc.
pos¬
posed taxation, an American buys
ternal
A
he might
same
price
Eastman
1
currency
is
a
nation without lib¬
erty: at home, i or respect
abroad.
or
would
this
during
change
all
at
receive
months
few
period
took
back
the
Harriman
Goldman, Sachs & Co.
Lafcard Freres & Co.
Kidder, Peabody €s? Co.
Incorporated
Merrill
Lynch, Pierce, Fenner & Smith
-5
" f4
*
v
<<
>*
Smith, Barney & Co.
Incorporated
Incorporated
Stone & Webster Securities
White, |Weld & Co.
Corporation
no
place,
Dean Witter & Co.
same
$10,000 he invested but he would
regain the $1,500 "purchase
A. G. Becker & Co.
Paribas Corporation
Incorporated
July 23,1963.
-
;
<
not
tax"
he paid. It
is clear that
no.
•jt
f'-'f -'fs
Ripley & Co.
Incorporated
there¬
jAssume, further,
a
Glore, Forgan 6s? Co.
of
$1,500. His
would,
Dillon, Union Securities £/ Co.
decide to sell back these
securities
and
15%
Service
"investment"
fore, be $11,500.
later
nation with a restricted
Revenue
purchase price
total
give
so
The First Boston Corporation
example. If, under this new pro¬
he
it.
Change on Capital
effect
The
that Gov¬
to
ernment of issue cares
'
3%%
to
discourage
American
the
.
as
Administration
may
Pandora's
finance.
was
foreign
on
our
yond
Last week the "rediscount rate"
the recent rediscount
already
tax
their
forced
has
chase,
1
proposal that
Department
ap¬
Higher Interest
this date is not law) the Treas¬
ury
15%
a
Still
the
a
the
Washington
Predicts
gold problem.
the
1
be
can
create
(again concerning
on
major
to the worthiness of
O&bh Canadian
In
a
Canada
President
as
-
the
In
agreement
the
on
proposal
of
action
an
In
the promptly remit to the U. S. In¬
depreciates
currency
clearly
to
all
on
merit
•/
innocent
so
it has been the actual
lightly—that to $10,000 worth of Canadian held
restriction on the use stocks, the American must
value of that currency.
a
1963
passed over
impose any
of
cases,
of
investment
the first time
history of our country that
conditions,
in the
the
on
capital. Except in War
American
,
18,
the
on
By
market, this tax is clearly a
free
•
bring
Kennedy
President
Although
-
opposite result.
about the directly
would
action
internal
our
are
its practical
more
sional
for
necessary
prosperity.
it
foreign nations.
penalize the few worthy countries
application, how¬ who maintain order and
dignity.
it is difficult to imagine a
It seems unreasonable to believe
of gold—to
form
-
of
and ease the flow
capital—largely in the
American
In
to
suggested tax is to
this
of
slow
and
disastrous
so
America's future.
pose
seems
that could, in its ap¬
one
plication,
this
proposal
repayments
them,
prepayments ahead
/
value of foreign
2%%- to
and
■
suggested- a
President Kennedy
tax of 15% of the
stocks
•>.'
-
..
v
July
Mon¬
promptly* forthcoming.
some
:
Opposite Effect
Resultant
to
being
Vy[
.
.
made
v.
Av A-'' * i
Sees
to
po¬
measures
pattern"
a
islative proposals should not need
v
has
such
considered
rate
included
world
the
even
countries"
Only three days later
by
take effect.
Kennedy
Italy,
Sunday) the Treasury clearly noted, however, that these
Department announced that cer¬ 22 nations have not been the
tain provisions affecting new se¬ burdening and
troublesome na¬
curity issues by Canada would be tions
requiring
endless foreign
modified.
Carefully written leg¬ relief. Where loans have been
(and
President
Yet,
can
authority and
take
"moderate
interest
so
respectable leaders of the
non-communist
confi-
between
balance
Dollar.
can
Kennedy may
destroyed the
passed
Kong,
of appears to have been most care¬
for¬ fully compiled—for not only are
by
held
securities
eigners,
be
must
issues,
Americans
by
it
Congress before it
authority to allow
Switzerland.
and
ahd
Can¬
Netherlands,
capital,
on
affront to liberty.
West
Hong
to the
the movement of
on
France,
San Marino, Spain,
Africa,
Robert M. MacRae
on
upset
Australia,
land, Norway, Republic of South
foreign
delicate
—
Britain,
Belgium,
Denmark,
Monaco,
purchase
have,
nations
is
specif¬
Leichtenstein, Japan, Luxembourg,
By
tax
a
It
22
Germany,
of
recommend¬
ing
aim.
against
ada,
Free
the
general
Austria,
finan¬
gold
the
Amer¬
leader
of
directed
listed
$1,500
quested that the effective date of
outflow
to
as
9
maintain the cherished
these well before any Congres¬
as
would
this taxation be made retroactive
inci¬
to
the
ex¬
the
by
Its stated purpose
.
on
affected
only
ically
position
those
to
raising
abro¬
the
as
only
methods
exempted
i
revenue
dental
may
It outlines
sition
Washington
an
The present proposal is not law
Congress
to
expected
the
deter
with
have unknow-
ingly
to
is
ayments"
problem,
the
those
to
and
the
"Balance
P
..........
Congress
Countries
Worthy
certain of its
so
result
this
American
currency and an
1963,
in
a
Revenue Service. This is not tax¬
foreign investments here.
18,
drain
But
by
only
case,
physical
forced
be
which we will have to meet despite
professed objective to keep rates low here, and discourages further
July
held
exchange of dollars would
rather than unworthy ones,
the collection of this tax.
Government in
proved.
no
a
Cana¬
a
our
Presidential
foreign
Gold
higher interest rates abroad
already
cover
Is
another
U. S.
imposes
further.
to
change" this for $10,000 worth of
with
worthy countries
step
one
security but wished to "ex¬
precedented step for us in the direction of exchange control abro¬
penalizes
any
lightly.
$10,000 worth of
gates our Free World financial leadership position, depreciates our
currency,
into
enter
very
American
go
this
foreigner.
He holds that this un¬
outflow.
could
transaction
Assume
By Robert M. MacRae,
(349)
.
">•.!•>
'
V.j
: S3. £.4pj.fe-
*. V...'.
t
!
•
J =5
10
The Commercial and Financial Chronicle
(350)
this
the
/
United
Bank
Reserve
But
;'/!;•/
of
by
for
point
of increase
not
daT. announcement
of
these
ae-
j..Qns
By
of introduction, let me
way
first express a
the
Seventh,
William Mc C. Martin
offi-
Board's
policy.
"Federal
and
personal view as to
In
•
policy has
Reserve
be
been
and
easy
less
stimulative—moderately
was
so
earlier, but still quite
positively balanced
on
the scale.
We are, of course,
dealing in
however, various
in
facts
Cites Eight
support
of
my
..
,
First, bank credit has continued
credit
of
rate of
additional
an
in
of
the
in
investments.
the
$11
year,
first;; six
cent
;,vv:
similarly.
periods,
a
-
As in other
of
.
14%.
grew
At
narrowly
at
the
defined
deposits
that
the
and
the
supplv
currency)
at
an
annual
the
i?7
fn.
y
Third,
and
consumer
we
that ^consumers borrowed
purchase
billion
of
to
rapidly,
homes,
chases of
than
credit
to
highs,
estimate
an
addi-
finance
other durable goods.
Fourth,
the
autos
and
'
finance
pur-
equity shares has risen
a
billion dollars in less
than;a year.
Fifth, member bank
and
active
than alarmed later.
now
international
The
oh
with
banks
foreign
mestic
is
us
deposits
Only
paper.
tistics
not
earlier
were
period *of
present
and
in
the
and
recovery
|0
up
a
to
seems
situation
me
in
to
a
the
tight
as
restrictive.
or
S.
money
tistics
as
flow
in
a
have
been
omy;
decides
to
if
it
is
handled
institution
that report
foreign
ones
transactions
;
the
"errors
omissions"
and
,t in
j
domestic
SQme
excess
re-
actions
areag
without
their
for
uses
funds,
it would be neither wise nor.
safe
to
do
so.
ex-
the
With
when
1957,
crisis
single
exception
U.
exports
S.
in and
liabilities
to
paid out $8 billion
counts. In
not
$3V2
it reached
perhaps
large
as
excluding
billion,
is
In the first
growing smaller.
annual rate
it
and
six months of this year,
con-
Government",
pro-
flows
;
short-term
?of
-
1957-59
one
fourth
-
ticipated at the turn of the
in
the
is
pressing
.
deficit;
;;v
limit
,
"■ \
,
Where
na-
Action Taken May
'
■
the ^upper
con¬
tributing materially to this year's
hard
of
the
These
range projected by the Council of
of
Economic Advisers in its
are
January
Economic Report.
While still
sufficient to make
inroads
foreign
Helpful
•
Be
t
Not
responsive
all
to
S.
U.
only
of
them
moderate
that
ers
eign
currencies
million
in
(3)
to
finance
trade
lion from February
It
is
\
volume
such
of
question
are
larger
than
These
are;
c
.
.
-
likely
changes.
e
the
less
or
other
h
w
credit.-in
ing
whether,
the
seek
States
■
than
and
likely
is
U.
or
S.
or
not
funds,
banker
will
.
in
also
than
interest
risks
his
as
rate
the
decision
financing
re¬
of
case
C;m
k
a r
e
t
determining' factdf is
:•
differential,i.e.,
between
adjusted
premium
or
dollar.
■
;./
for
interest
the
forward
on
the U. S.
discount
j',
■>
Doubts Offsetting Rate Moves
S.
in
U.
if
foreign
rates
change
a
could be weakened
short-term
rates
(in¬
cluding Euro-dollar rates) moved
with
U.
S.
rates.
market
money
In
the
funds,
of
case
moreover,
the effects could also be weakened
if the forward rates
dollar
declined
rates
here.
rose
the U.
on
when
But
ting movements
S.
short-term
fully offset¬
unlikely.
appear
Increased confidence in the dol¬
lar
in
well
itself,
rate
result
quite
from
apart
relationships,
in
may
reflux
some
of
funds previously invested abroad.
Hence, the gains for
balance
out
to
of
be
occasioned
term
;
over-all
our
payments
might
larger i-than
the
by
short-
recent
our
capital outflows.
-
turn
losses
^
;
As Secretary Dillon pointed out
in his
testimony before the Joint
Committee,
the
effect
higher U. S. short-term interest
rates will not be confined to those
to
flows that influence the U. S. pay¬
ments balance. The
short-term
make
and
factors
ex¬
an
the
dollar
convert
also
likely to
willing to
receipts "Invested in
more,
States
them
currencies.
higher level of
is
rather
into
This
their
means
than
to
domestic
that
the
remaining U. S. payments deficit
could
be financed
tent than hitherto
to
lation
home
or
in
abroad will be influenced at least
rates
foreigners
United
whether
at
money
difference
rates
of
consid¬
But
these
of
frequently, if not exclusively^ the
in
resort
weighing the
involved.
S.
es¬
exports
reflect
imports
of
"covered" interest
keep
for
U.
primarily to rate
.
Economic
market.
payments
sensitivity
the
-is'
foreign
a
Changes in the "leads
lags"
other
the
decisive role in determin¬
a
and
re¬
rate
acceptance
e r
United
expensive
play
to
t'h
London,
in
the
obviously
financial; centers,
pecially
in
acceptances
differentials." But
importer's
and
through May.
other "t than
flect; influences
to
are
foreign
variations
that
true
term
rate
acceptances
between
perhaps
was
over-all
Moreover, in the
technical
countries have increased $150 mil¬
gains
to
Feb¬
from
the
of
rate
levels.
$70
rose
7
bankers'
S.
U.
unemployment
sensitive
in for¬
'
change
capital movements
months
the
Still,
foreign¬
on
alone
through May.
ruary
these
of
denominated
are
erations, such
be
largely, if
institutions.
bank-reported claims
est rates. But four kinds of short-
substantial
in¬
likely to go through
changes in U. S. short-term inter¬
percentage, ..the
employment have been
market
fraction
a
financial
(4)
flows reflect many types
transactions.
Again,
movements is
the
in
or
exclusively, by higher yields.
not
February
This
Plainly, the effects of
Canadian,
money
months,
May.
movements
coun¬
the flow of dol¬
British,
rea¬
lationships rather than to absolute
-*;■
en¬
on
other
seems
interest-rate-sensi¬
of
flows refers
lesser extent,
a
with
Patently,
merchant
year.
gross
(2)
more
to
same
-'V
,
was par¬
ticularly directed, have been
and
average,
Out¬
capital,
„
•
to
as
special
transactions.
another record which the Board's action
well above the level
generally an-
against
persists,
,
year;
product
con¬
1963, that deficit in our
still
accounts
Improving Economic Conditions
expansion
gold in
of the perennial deficit
sequence
an
tional
on
in-our international payments ac¬
.
The
Cumula¬
foreigners.
to $17 billion—even after we have
hapHs and other;financial
ns <are /Actively urging
come in for loans to exPan" their operations.
the
of its short-term
em- tively, this build-up has amounted
.
above
out for a dozen
year
sistent build-up
engaged in both
:sniall, r enterprises, i tell
-
bur¬
w^rld
has been witnessing a per¬
years,
busmessr*jen,
mid
of
Suez, the United States,
over
year
Pl°ymeht^pr their funds. In every
£ar!
country, individual
at
tries.
trans¬
many
struments is motivated
econ-
.
,...
is. true,
transactions
other
Smaller
also supported by the obser-
F..nftnil
of
countries,
both
that
busi¬
unrecorded,1 The
are
lars,. into
Chronic Deficit Is Not Growing
The statistics I have just cited
.
.certain
are
thing
;
geoned in the wake of the
are
re¬
companies ;do
regularly in
we
overstimulat-
even
ness
small
adding to their balances
and
are-
tively
atti¬
Weighing
You will understand that the in¬
in
compara-
market
rough indicator of the
a
four
terest
balance-of-payments statistics. In
and the fact that many
in
payments deficit in that period..
the
item
not
attrib¬
opposing considerations
one-fourth
each
increase
to
serves
as
through
Otherwise, the transac¬
only
does
tive flows of short-term funds in
if
or
it
considerations,
changes
magnitude
a
atively few large
quarter.
figure
sta¬
by
other
to
as
On
interest-sensi¬
against each other, it
bank, his
in U. S.
appears
can¬
sonable to regard the $300 million
short-term capital out¬
a
the
because
those movements
these two
put
of the rel¬
indefinitely,
it
capital out¬
interest-rate
to
tudes toward the dollar.
a
the corporation is one
their
such
sta¬
of
outflow
utable
deposit with, say,
financial
to '.keep
important -role in
very
perhaps
and
others
on
one
hand, the reported fig¬
overstates
exclude
move¬
treasurer
other
ure
these
the
commercial
only
S.
of
capital
the
on
Canadian
U.
fraction
corporation
with
alternative
On
contrary,- credit-financed
penditures
count
not
gard to their own cash needs and
which
credit conditions could be characterized
could
world
responsive
tive
money market
or
appear
When
the
do¬
on
biggest and best bank in the
state
the
on
not include unrecorded flows.
deposits
than
recorded
on
ments.
dollar
a
transactions
tion
payments
confronting
problem
press¬
will do better to be
we
flow
S.
The
they>
high
and are,-of course, at record
tional, $22
corporations
U.
to
than
38 3 duction made still
mortgage
credit have both expanded
In the last 12 months
it to the
pass
available
patiently for it to disappear.
a'nd
bonds,
Economic conditions have
tinued to improve. Industrial
91/0/
whole
more
first
time,
money
increased
simply
can
every
American
the
yield
will
sav-
annual rate'
an
(demand
rnt„
in
same
has
also
re-
large part of the
deposits, which
half year
primarily motivated by the
higher
Euro-dollar/
wait
corporate
been so aggressively seeking
:
increase has been-in? time and
ings
ing
annual
an
Second, bank deposits have increased
ket is
transaction
bearing
us
conveniently can; Time is
vations of both lenders and borgrowth of 10%. About half rowers. I cannot recall a time in
gain was in loans and half recent years when lenders have
this
of
to
■
discount others to solve—if and when they
vigorously. Commercial
banks extended
mar¬
the
municipal issues—are lower today
stimulating -the
Supporting Facts
....
to expand
problem for
a
this
interest-rate
Thus,
states the short-term
S.
transitional thing- that, view .of our close financial and
shortly'go away if we only economic relations with Canada,
playing
months
to
people
Eighth, many longer-term rates
an
view.
billion
relation
high in
All this hardly
and do differ from my
There are,
relevant
3%% discount rate is
a
that side-of expansion.
of judgment, and other judg-
own.
But this is
111
;
of
hand,; the reported figure; uiid^r-r
infer
into
U.
American, and none of
'
ments may
deficit.
,
treasonably
may
attributed, .to
considerations.
:do yjkrbw^»and.
we*
No doubt,
interest-sensitive funds should be
solely
sketch
funds
a
Switzerland) have lower rates,
.
area
nearly 3%.--
Consequently, I
'jAway By Itself
we
to
February to May.
were also large.
*
'
y.f.'v£fc T.
Of course, not Ull, movements of
of
U.
some
V
be helpful
may
reasonably
type
do not know
flows
a
amounted i to
unreported;; movements
judgment^—espeqially thos£*j>n, mortgages, passing,
my
continues^to
than it
payments
from
would like; to know;-
we,
extent,
there¬
reasonably
nearly $300 million in the months
f
Clearly, the flow of
Payments Problem Will Not Go t
rates prevailing elsewhere in the
world. Only two important financ*a* markets^(G ermany and
present posture of Federal Re-
serve
of
output
broad front to reduce
a
on
responsibilities
a
the
of
copy
the
$265 million, an annual rate
was
at
factors, the
seasonal
of
pleased that the Administra¬
the first half of 1963
in
increase
in
record
for
lowance
>
achievement
levels
higher
economy.
gram
rise. After al¬
continued to
have
like
inclusion
this
but
■
tion has launched a vigorous pro¬
total reserves
of
member banks, which provide the
-base for bank credit expansion,
the
Sixth,
deposits.
submit
the
international relations
also has impeded the
am
certain
to
damaging
$150 million.
should
I
has not only been
and resource utilization in our do¬
rate
it
■(1)
to
position today, with free reserves
currently in the neighborhood of
memberbanks
time
now
mestic
.
and'i
a
basis and to
complete
of
.;
on
changes because it' obviously
convinced
am
failure to solve it up
increas¬
payable
on
vital, and I
our
even
y
*;
institutions
reported
current
or
debts
of
is
fore
pay-, about them.
of
the balance
that
our
as
what"
all know, I regard the
you
as
lags"
collection
we
that part of the in¬
up,
financial
about. "I these
..
briefly what
rowings and it continues in that
m
u
m
by short-term capital
rates
ing the maxi-
much
as
occasioned
to
than bor-
more excess reserves
_
Unfortunately;
payments,
sum
through
and
Flows. ?'
States1 ..effort ~tq
of
discount
and
are
the
or
fi¬
such
countries;
payment
exports.
of
through U. S. banks.
goes
from
February
...?
■.
To
What We Know About Short Run
funds
ments
still substantial, and
primary purpose of your hearing member bank
borrowings are
is to discuss the recent actions by moderate., ^For more tha" th^e®
the Board approving changes in years, the banking system has had
understanding that the serves
my
imports,
problem, particularly that portion
As
j
May.
payments, i.e., the
the
essential to aid
international
ouftlows.
"leads
fraction
a
this
on
incomplete be¬
terest-sensitive short-term capital
outflow that goes
through U. S.
tendency of merchants to delay
up
only
million
the
the Board's announce¬
its
meet
made to end the
So-called
statistics
again
are
Still, "collections outstanding" as
reported by U. S. banks rose $60
finance
to
foreign
commercial
debts "for
problem
is
(4)
in
for;
international confidence in the U. S.
It
considera¬
in which every
were
cause
(mainly
credits for
foreigners
between
point of view was developed and
in
harmful impact upon our economy and the
dollar.
-
world-deficit-gap and its
care¬
of
weighed. In the end it was deter¬
as
subject
nancing
abroad
Acceptance
account
trade
speed
cific actions
doubts if dollar forward rate or foreign short-term
move to offset our rate change; and states that the Fed's
market, i.e.,
sterling and Canadian dollars);
(3)
ment;'pointed but, that these, spe¬
through Mayj
part of the total effort being
in
time de¬
long,
markets
part by relative interest costs.
Unfortunately,
(2) The flow of U. S. funds into
money
raising to 4%
on
dollar
-
in
so-
foreign banks;
aspect of the question and every
mined,
of money flows to international interest rate differentialsat $300 million for the past four months of February
recent action is but a
Re¬
the Board and, indeed, by
the entire System,
estimated
rates will
bor¬
conscientious
tion by
Suez year of 1957, aggre¬
taxing our gold supply by $8 billion; and
warns that the deficit still persists and "it is not growing smaller."
Presents details on what we do and do not know, about the response
on
Federal
taken only after
and
ful
of persistent deficits, except for
years
the
Banks and in
were
gating $17 billion and
•
from
Euro
Thursday, July 25, 1963
.
funds
the
in
.
interest-bearing dollar deposits
with
posits of 3 to 12 months' duration,
paid to itj reminds us that we have had 12
cord if no attention is
banks must pay
their customers
pay
payments' position will whither away of its own ac-
balance of
-the
'
in
increase from 3%
an
the rates that member banks may
supporting facts justifying discount rate judgment position
Admonishes critics of Fed's majority policy to cease believing
eight
taken.
3V2% in the discount rates that
liquid
of
corporations
S.
called
week,
approving
serve
tight or restrictive and cites
be characterized as
last
to
rowings
of recent Bank discount increase denies credit
Chairman's defense
actions
in
member
Placement
by U.
Board's
The
By "William McC. Martin, Jr.,* Chairman, Board of Governors,
Federal Reserve System, Washington, D.C.
conditions could
point.
'
Aid Our Payments Problem
(1)
expected to be realized by
many
Short-Term Rate Rise Will
.
of
foreign
private
hands
to
a
larger
ex¬
by the
accumu¬
dollar
balances
rather
the hands of central
than
in
banks, which
Volume
might
198
Number 6284
.
.
The Commercial and Financial Chronicle
.
their dollar holdings to
use
a
Our Reporter on
buy gold.'
Thus,
in
conclusion,
doubt
no
that
there
rise
a
in
V<:\ (35i)
>■*■
a.-
11
An Initial Sale of TVA Power Notes
Conclusion
be
aa;
can
S.
U.
short-term interest rates will have
significant
a
national
United
this
upon
States.
the
on
inter¬
The
BY JOHN
magnitude
psychological
reaction
The
markets
at
home
and
the
of
further
ex¬
taxes
Kennedy
in
abroad,
proposed
by President
changes
1965. to
cut down
of
the
outflow
in
with
-modest
k
on
other steps being taken* to help re¬
abroad, together with the
duce the present payments deficit.
the
recent
actions
are
ently the
to bring to an, end the U. S. pay¬
ments deficit, with its harmful ef¬
fects
to
the domestic economy as
on the international stand¬
as
ing
of. the
United
States.
this process is underway,
sential
that
monetary
this
of
■
There is
dollar
policy
re¬
and uncommitted-
either
to
F
Inter¬
d
u n
are
check
the
appar¬
and inappropriate
tightening of credit, should it de¬
velop, or to defend more aggres¬
difficult
problem;
very
payments
question but what the
no
will
be
defended
in
in the future
way
Ad
o
11
a
should
r,
^ A-•A ' ;'/A•/
necessary.
that
before
the
by
House
and
Currency's
rate
and
D.
with
more
tify
our
Rer.
problem
trict.
rec¬
balance
in
of
shorter
a
Nevertheless,
markets
an
hearings on Rediscount
Q changes, Washington,
and
far
so
long-term
air
taken
these
developments
without
too
effect
the
money
have
Demand
members
of
in
the
Exchange
was pretty
before hand many
pressed
.
"itvlftAV*'
"
A
the
is
news;
demand
is
of
the
and
ever
America^
ciable
effect
Mr."' Mul-
;
•
~
A'"
it
out
i
c
t
t
o
;
large* as
as
available to the buyers of
now
securities does
from
these- issues.
with
not distract
•'
and
is
eastern"
Group of the IAB..A.; past
member
-
of..I the
Board
of
;
Gov¬
of the National'Association
ernors
of J Securities:
V
' •,
is
that
issues ; should
high
.^Dealers
and ;
a
give
General Counsel TVA;
ant
the
of
involving
Treasury
of
via
ket
rates
here
the
mar¬
in Eng¬
those
and
Vice-President
the
care
straight exchange offer,
President ."of" the
Stock
mond
Exchange.
Rich¬
new
refunding issue to bear
33/4%
interest and maturing in
months.
Books
will
be
15
CLEVELAND, Ohio
Atmosphere Clouded
markets
have
the
in
taken
Central
time
the
before
the
in¬
Bank
this
rise
abrupt
rates
the
and
full
tax
Adds to Staff
effects
near
on
foreign
of
term
-
se¬
curities
purchases will be known.
There
are
too
change
in
brought
about
question
many
marks involved
in
this
important
monetary
the
discount
the
by
rate
as
otherv nieasures
to
raising
.well
,
be
the-results to Jbe
is still
there
because
around
to
fathom
this time.
taken
for
accepted
cut and dried fashion.
ly,
the
&
in
120
&
Co.,
Broadway,
this
the
-
members
ures
are
tion
in
a
have
'
Lawrence
President
and
be
Stock
to
eliminate
election of Maurice J. Ferris
with
Kuno Laren,
Laren
has
ment,
and
Daniel
W.
M.
been
tual
James
Thomas
T.
have
depart¬
Beckman,
been
H.
dential Capital
are
of the Mu¬
office.
in
rate
a
the leading regional
dictated
re¬
is
a
our
holdings
very
having
different
the
gold
matter
discount
lowered
or
of
based
rate
on
which
from
raised
cial
S. Lawrence Goldstein
Merrill,
rate
from
The price action
maturities
3%
or
also very
to
3%%'-.
of the most dis¬
of
Chairman
committee.
who
the
of
Claude
F.
Turben is Chairman of the Board.
or¬
full member
Williams
C.
Lewis
The company
and
exchange
is
President.
maintains offices in
in the Severance Center
center,
Turben
has
been
a
open
Cleveland
shopping
Heights,
will
later this year.
wL
.<
-*u
r; l v
'
This advertisement is neither
buy
New Issue
"
any
and
Common Stock
($5 Par Value)
j
1
Stock pursuant to
the terms set forth in the Prospectus.
Subscription Price $7
I
.
'
.
'
Copies of the Prospectus
may
be obtained in
including the undersigned,
as may
per Share
'
7..". A A' A A
any state from
,
A. G. Becker & Co.
Incorporated
Governments,
,A
July 24,1963
addition
nu¬
on commer¬
$2,000,000
Interstate Securities
conducted
courses
operations
niques
New
at
in
commercial
and
York
School.
year
he
Subordinated Notes, Due May, 1, 1978
University
During the
has
conducted
Company
tech¬
Private
New
Commercial
of
Junior
at
the
placement of these Notes has^bygyyitegotiated
by the undersigned, and ffus notice
moderated
as a matter
appears
of record only.
Insti¬
Financing
—
the education division of the Na¬
tional
Commercial
ference,
Inc.,
Finance
sociation
finance
national
A. G. Becker & Co.
Con¬
for
industry.
the
trade
as¬
commercial
Incorporated
July 24, 1963
AAA'
such of the several Underwriters,
lawfully offer the securities in such state.
financing, Mr. Goldstein has
the
'
being offered by the Company to the holders of its Common Stock fdP]
subscription, subject to the terms and conditions set forth in the Prospectus. The
Subscription Offer will expire at 3:30 p.m., C.S.T., on August 6, 1963. During
j
and after the subscription period, the several Underwriters may offer Common
are
Vice-
Finan¬
<
Company
of
au-
financing
and
h
.
Co.
merous
articles he has written
cial
>
offer to Jell nor the solicitation of art offer to
of these securities. The offering is made only by the Prospectus.
an
173,433 Shares
prepared for the rise in the
discount
founded in
Merrill
t h oritat ive
tute
long term bond market
was
as
was
B.
1
the
to
seminars
capital market
serves
Charles
Corp.
In
current
Capital Market Calm
tant
formerly
Jones
domestic
economic conditions.
The
now
City.
and
entirely
by the need to protect the dollar
and
by
executive
(Midwest).
President of
our
trend in the Central
was
on
1924
Ashland, Canton, Columbus, Day¬
com¬
g e n e r a
■
Jones
order
monetary policy very much
cent upward
the
E.
seat
a
American)
and
New
partner
meas¬
monetary developments. This
well
Joseph
account executives in
Avenue
term
-
make
and
first allowed to pur¬
seats.
%
has
department.
and
it
were
Stock
corpo¬
ton and Youngstown. A new office
York
Pru¬
Goldstein
Mr.
problem,
eventually
York
Corp., commercial
less dependent upon international
named
Noland
manager
Keller
Park
executive
Gardiner, and Ronald
named
fund
an
research
Robert
Allen
the
the
Stillman,
analysts.
Corporation,
appointed
in
future
iBank
,
formerly President
Securities
been
assistant
a
Co., Inc. in
charge of the Newark office.
of
as
formerly
was
A. M: Kidder &
the
taken
York.
(New
These shares
Executive Vice-
Director* of
basic action will have
more
to
New
of both major national exchanges
Goldstein, C. P. A.,
this' menacing
payments
City,
York
announced
Vice-President; He
much
of
New
Merrill, Turben
Commerce
inability
Elects Goldstein
step in the right direc¬
attacking
chase
locally owned investment
Prudential Capital
.
of the New York
Exchange,
short
the
of
Interstate Securities
was
rates and the other
rations
Merrill,
things out clearly at
A AAA:;AA" A' Ar:'A
country.
Necessary
higher
Although
money
Incorporated,
New
—
Co., Union
ganizations to be
a
confusion
some
of
important trans¬
from
of
Exchange since 1955 when
The company is now one of the
According¬
York
funds
Bank
of
as
ably not be
of
Reserve
member
the American Stock Exchange.
policy
pany,
balance
McDonnell
Federal
rate
in
a
&:Co.;
the
Building, has purchased
and capi¬
money
finance
More Action
McDonnell
of
A. S. E. Member
Turben
centers is in line there will prob¬
fer
•
Vice-President
opened
during the period July 29-31.
land, Canada and other free world
any
Financing Officer; C. J. McCarthy,
S. S. Marsh, Jr., Assistant
Merrill, Turben
■
former
Power
some
a
S.
money
TVA
,
$6,600,000,000 will be taken
has been elected
between
of
The August refunding operation
payments problem.
differential
offering
of the Federal Reserve Bank of New York; and F. T. Davis, Assist¬
some
as
first
August Refunding Terms
needed support to our balance of
As long
the
G. O. Wessenauer, TVA's Power
most
now
submitted at
with the rate of- return obtainable
Joseph J. Muldowney
1948,
past Chairman of the South¬
a
yield
a
term
partner
a
since
fore¬
the
bid
E. Morse of Lehman Brothers, Financial Adviser to the Authority;
obligations
in other free money centers short
y 1929,'
e
The
Government
enough to make them competitive
&
Stringfellow
sine
for
A
is
higher income that
these
liquid
who 1
has been with
S
it
on
seeable future.
'
downey,
near-term rates
a
ex¬
times
it-
short-term
for
Treasury obligations is
Bankers
A*
well anticipated.
very
A The
.
4 V*
that when
usually
elected
Association
to give substance
appear
to the opinions that have been
and
Invest- A
ment
in
few
discount
made in both of these
were
markets
the
exchanges has. ;
the
the rise
crease
A
Obligations
increase
which
'"fK
of
with
not expected to have any appre¬
tal
kets. The very minor adjustments
leading.
governor
will be in good shape again soon,
much
for Short-
rate from 3% to 3%.%
RICHMOND, Va.—Joseph, J. Muldowney, a partner of Scott &
a
Notes of the Tennessee Valley Authority are, left to right, Walter
them.
on
The
I
A
been;
Inspecting
market
pretty much in stride, it will take
...
Stock
these
new
Named I.B.A. Gov. ;,e" !Aen int0 co"side"ti,on by
A':>'Aboth the money and capital mar¬
York
publicly
of
most
Although the
Muldowney
other
been
because
ih
new
It appears as though the
,
Term
New
have
that
the
obligations have been overpriced,
in
of confidence in the financial dis¬
be
|
Mr. Wm. McC. Martin
Committee on Banking
Stringfellow,
of digesting
an
as
vigorous efforts to
Increased
*
issues
offered
rates, along
unfavorable
payments
;A
C., July 22, 1963.
increase
rate.
Awaited
near-term
♦Statement
the
Bank
capital market is still
process
past.
sively the international position of period of time, has created
e
are
attempt
our
Higher short-term
an
unwanted
t h
and
which
new measures
orthodox
free
move
Monetary
of
use
the
The
the
important
no
^following
Central
obli¬
corporate
es¬
main flexible
to
of
overcome
balance
While
it is
facilities
going to be used in
on
well
of our spending
high short-term rates
essential part of a total effort
an
credit
national
along
.
some
the
and
showed
eign securities by Americans thru
dollars,
changes in
Board's
municipals
the purchase of for-. gations
on
pansion of the U. S. economy, and
especially
the
effectiveness
of
The
CHIPPENDALE, JR.
of
money
pace
T.
the
of
effect, however, will depend
many
imponderables, such
the
as
effect
financial position
12
The Commercial and Financial Chronicle
(352)
the
Proposed Tax Reductions
And the Gold Outflow
By Robert Duff Kelly, Member of the Los Angeles Society of
Security Analysts, Los Angeles, Calif.
of
balance
and gold reserves. Threefold
payments
itive
beneficial
ropean
producers,
are
The
two
of
the
of
U.
major
day
S.
proposed
'gold
y^'ars,
reduc¬
tax
period
a
ability
of industry
levels
States
of
op¬
is
production
a
Under present
j
intoler¬
high
capacity,
level of unemployment
ex¬
and down¬
high¬
ward trend of wholesale and com¬
ly 'dangerous
modity prices, it is not likely that
in
adventure
fiscal
any
man¬
t
significantly
time,
the
could
be
in
I economy.
This
believe
that
be
without
and
accom¬
by
meaning¬
any
balance
gold
worth
payments
will
reserves
is
of
influ¬
be
examination.
A
economists
reduction
tax
certain
salutary
stimulating
an
could
govern¬
the
actually
position.
would
effects
that
economy
improve
,
..
have
besides
our
gold
spending would lead to in¬
buying
by
the public
distrust of the dollar.
resources
were
maximum
woujd
If,.our
(1)
investment in the I). S. would
'A
be
American institutional
in¬
the
this
The
posture
best interests of
country. In the past six
in
years,
wage-price
also
are
buyers,
but
Dollars converted
Central
Bank
create
outflow.
in
into
As
as
at the
inflation
HOURLY EARNINGS
IN
in
the
economical
widens.
U.
more
interest
gap
1955
France
79
1956
Italy
reductions
tax
attractive
73
U.S.A.
in
in
will
U.
the
and
foreign
courage
ital to
S.
turn
en¬
investment
85
88
90
93
82
93
91
96
97
98
1958
100
100
100
100
100
104
104
-
1959
105
106
>;
102
would
make
funds
more
ex¬
The Joint Economic Committee
estimated
that
reductions
crease
Congress has
the
would
proposed
tax
eventually
in¬
annual Gross
our
Product by $40
National
billion. This sort
the
interest rates
important
The
basis for higher
the
—
of
cause
expanding
business
en¬
Hi',
Long
term
-
ments
of
more
capital
industry
readily
internal
earnings
the
be
from
7 7
,;
and
available
short-term
those
interest
of
1962
and
................
other
Foreign
political
,V...
businesses
Other
All
banks,
able
100.0
3,851
69.0
143
2.6
867
15.5
international
institutions
348
6.2
41
0.7
335
6.0
«....'"
foreign
%
5,584
subdivisions
governments,-central
financial
other
Board
of
Governors
of
the
Federal
Reserve
by
STEEL COMPANY
(In
1957
Uet
Income
Preferred
Retained
$419.4
&
com.
Depr., deple.,
Debt
dividends
earnings
increase
St
amort.
(decrease)
Total
■1958
$301.5
-
System
CASH
of
stood
at
ital
1959
1960
1961
$304.2
$190.2
$1,46978
187.0
187.2
$117.0
276.0
204.9
189.9
208.4
210.5
1,089.7
(28.5)
271.1
(33.2)
(31.7)
470.G
648.3
$683.8
$2,273.0
$293.7
535.0
S.
$448.1
$366.1
$492.4
$326.8
lion
&
repairs
498.6
377,1
408.5
477.3
412.0
The
The runner-up bid was
the
Blyth
net
a
,
debt,
from
or
good
a
which
capital
$535
with
internal
cap¬
not
at
all.
in poirit.
case
improvements
million
through
was
of
gener¬
retained
earnings;
through
deprecia¬
$2,148.3
million
a
gold
the
not dealt with
are
President's
without
to
the
reduc¬
tax
other consid¬
are
monetary
point
to
from
benefits
accrue
plan,
reduced
with
spending,
or'
out¬
weigh the disadvantages. 7. :
Finally,; the
most
ment
spending, by
where
7"
satisfactory
plan would be to reduce
govern-*
amount
an
to
receipts equalized expendi¬
tures.
But
substantial
in the present
phere is
reduction
Washington atmos¬
remote possibility.
a
&
Co.,
interest
bid
tion, depletion, and amortization;
members
group include
Co.
and
1.80%
to
members
of the
winning
Boston Corp.,
with
in
yield from
000.
1.80%
to
is
3.20%.
3.20%.
about
(1964-1983)
on
net
a
bonds
interest
The
the
to
cost bid of
bid
runner-up
was
by the C. J, Devine & Co.
3.112%
a
7
-
Other members
of
Phelps,
are
interest
net
cost bid.
group
the
$2,425,000
re¬
issue
remaining
More
California
on
meet
we
the
Switch
deadline,
the
$2,543,-
$3,000,000 Akron, Ohio Limited
Tax
from
Favorable
State of California
to,; $100,000,000
Water bond issue scheduled for
The
August 7 has been cancelled and
Monday also witnessed the sale
of
Co.
accorded
was
winning
reoffered
were
about
As
^;7,,:;;,7/;77 :..7;7777. 7 7-V';V
..
&
reoffered
were
balance
present
the
Kidder, Peabody &
account.777;'; ;;:77'r 7;'7;.\.-;7 7
Dillon, Union Securities
L
of 3.11%.
of
Estabrook
The bonds
Inc.
cost
interest cost bid
Other
ception
bonds
7.
the winning
Fenn
&
Co.,
$100,000,000 of general obligation
bonds
of
have
the
been
The
State
of
California
substituted
State
Treasurer
for
sale.
noted
that
certain questions have been raised
concerning
require
eral
the water bonds
clarification.
obligation bonds
ized
in
would
the
same
seem
stitution.
ifornia
.
as
an
that
Since
gen¬
author¬
are
amount,
these
opportune sub¬
Subsequent to the Cal¬
sale, the only large issue
White, Weld & Co., Blair & Co.,
scheduled for award is the $116,-
Inc.
160,000
and
J.
B.
77
The
Van
bonds
remaining
Ingen" & Co.,
77"1'7, j7'
-
,v7■;7\77'
to
balance
3.25%,
is
The
about
$1,-
7;7.,.SV':7V-.:
Monday's largest sale involved
$13,600,000
Dallas,
Works
Sanitary
and
2.959%
to
Carroll Joins
CHICAGO,
Carroll
staff
111.
has
of
William
—
joined
ing
reoffered.
from
offered
to
3.10%.
The
1974
bonds
to
yield
Balance
1983
from
at
135
s
to
California
tion
general
:(1964-1983)
awarded
Halsey,
the
to
2.957%
bid
Co.,
Inc.
on
made
was
a
The
the
by
Bankers Trust Co. group naming a
2.963%
interest
net
Other members
syndicate
cost.
Marine Trust Co. of Western New
Hayden, Stone
&
Co.
and
E. F. Hutton & Co.
The
bonds
prices
to
3.10%.
about
yield
from
present
;to
balance- is
Wisconsin
Water
and Mortgage revenue
bonds
were
Stuart
awarded
&
Barney & Co.
terest
cost
runner-up
Co.,
group
bid
bid
the
stock,
and
dity
firm.
William Lang Carroll
Prior
joining
was
Fahnestock,
manager
stitutional
Hutton &
of the
Mr.
of
was
Glore, Forgan & Co.
Works
(1964-1990)
to
the
Inc.,
on
to
Carroll
Chicago
department
of
in¬
F.
E.
Co., Inc.
Ira
Haupt .Co.
Appointments
Haupt
New
York
New
York
announced
& Co.,
;
Ill Broadway,
City, members of the
Stock
Exchange,
the^ following
a
Hal¬
Smith,
net in¬
3.106%.
made
group
by
The
nicipal
mer
Auster,
Robert
a
W.
department:
in
partner
Sharp
and
mu¬
Morti¬
charge;
Harry
J.
Peiser, syndicate: Byron J. Sayre,
trading;
and
Edward
Leonard
bond
the- Doyle,
with
bond
has
man¬
agerial appointments in their
Wednesday, $5,000,000 Mil¬
waukee,
sey,
1.80%
at
$649,000.
On
York-
brokerage
Ira
reoffered
were
The
New
-;
of the winning
White, Weld & Co.,
are
t ional
u
for
headed by
interest cost bid.
net
second
&
were
in-
sales
c o m m o
obliga¬
bonds
group
Stuart
t i t
be
in
bond
On Tuesday, $4,500,000 Los An¬
geles,
will
based
is
about $1,375,000.
La
Street.
active
re¬
firm,
South
He
were
time
New
Stock
Salle
matur¬
press
Co.,
member
the
2.75%
&
Exchange
The
are
Lang
Chicago
York
Corp. group on a net
interest cost bid of 3.024%.
Tl>e bonds due 1964-1973
the
Fahnestock
figuring
by
-
Fahnestock Co.:
First Boston
not
Authority
Housing
First
cost.
made
was
The
the
its bid
interest
bid
runner-up
rev¬
bonds.
on
net
Water
Sewer
awarded
Southwest Co.
a
Texas
(1964-1983)
were
New
(P. H. A.) offering set for Aug; 14,
reoffered 7 to
were
yield from 2.00%
York,
companies
period 1957-1961, inclusive,
expended $2,148 mil¬
on
$1,090
.Maintenance
$4
Steel
ated
$514.9
almost
pressure on
requiring substantial
through
In the
U.
busi¬
improvements have had to do
934.8
$
the
versus
other
for
funds
U. S. Steel is
$67.5
2.7
(see
interest rates.
those
so
186.6
187.5
cor¬
outstanding
and
accounted
5-Year
$114.9
$224.2
5,
$5J/2 billion
over
Totals
186.5
$590.9
Dec.
certificates
corporations
sources
ACCRUALS
$254.5
negoti¬
1962,
At
II).
total
was
banks
domestic
to
billion, thus relieving
dollars)
$
commercial
Table
inadequate
EXPENDITURES
This situation
1961
by
$232.9
$480.4
Capital expenditures
of
applying
:
$2 billion in early 1962. Purchases
III
CAPITAL
millions
with
porations beginning in
Second,
UNITED STATES
this
short-term
interest-bearing
short-term
TABLE
capital im¬
thereby
certificates
nesses
Source:
insuffi¬
recently
sought
rates.
mitigated
total)
Individuals
and
are
invest¬
have
companies
excesses
issuing
Corporate
which
downward pressure on short-term
Amount
States
Some companies
Until
from
Co., Kidder, Peabody & Co. and
bonds
others
but
view,
net
net interest cost bid
a
Drexel & Co.
re¬
double edged problem.
a
First,
Review,
large
DECEMBERj5,
&
of " these
investments,
purchasers
As
cient funds to finance
1963.
percent
Other
practical
for
has been
in
improve
of 3.036%.
a
while
ment
provements.
and
eventually
310,000. 7 7
depreciation
excesses
113
dollars
on
distribution
uneven.
110
of
group
enue
large
107
millions
by
•
adequate to finance
are
124
(In
made
require¬
would
available
sources.
120
ON
on
inc.
113
DEPOSIT OUTSTANDING
S. A.
group with
losses.
,..77 '
107
OF
&
made
vironment.
125
CERTIFICATES
effec¬
more
Continued from page 6
single most
find themselves hard-put
justify low interest rates in a
rapidly
of
headed by Bank of America N. T.
would
have
II
regard
con¬
of
TAX-EXEMPT BOND MARKET
gold
proponents of "easy money"
115
TABLE
enabling( in-"
compete
3.094%.
134
,
mod-,
cate
provide
124
February,
needed
the
greatly expand the need for credit
126
Research
badly
and
from
facilitate
and
114;
Social
tively
profits
will
programs
to
vast
Halsey, Stuart & Co., Inc. syndi¬
139
&
proposed
with
here
capital.
of stimulus to the economy would
1961
Institute, Economic
dustry
pensive to foreign borrowers.
Mid-1962
National
corporate
reduction
of
the
are
investment
group include First
Increased.demand for credit
115
Source:
tax
Eastman
(2)
matter
'
1960
tions
been
has
examination
an
President's
are- the
of ; attracting
of
'
where
equipment
needed
capable
Increased
cap¬
gravitate to the U. S.
funds is
85
91
86
1957
least
-
accounts
U.K.
urgently
real¬
a
industries
plant and
of 2.969%.
v
investment
more
bor¬
even
:7
capital spending.
Germany
mod¬
to
gold
make
S.
the
as
Corporate
make
will
which
rowing
signalling
(1958=100)
markets,
and oxygen steel-
basic
amounts,
to administer credit
pressures
tained
MANUFACTURING
The
most
Europe, theije will be increas¬
ing
spiral
i
pro¬
foregoing
fined
the
of
progresses
Nationally, cash-flows from
I
steel
payments
national
the
potential
a
the
from U. S.
sources.
Europe has been heralded by
in this country
ity.
modern
vestors
(3)
current
many
TABLE
All
of
purchasers
ready
attractive to foreign
more
'investors.
being employed at
capacity,
serve
these
require¬
capital
bulk of capital derives
to
;77 7'
world
ef¬
compete
foreign
process
ernization
reduc¬
a
in
forthcoming
without
our
enced
reduc¬
tax
some
in expenditures. To what
cut
extent
the
tax cut without
a
reduction
flationary
the
could
or
ful
gold
impairing
conservative
equivalent
ment
the
government expenditures.
Many
their
of the United States
be
may
year-end
measures
halt
to
Realistically,
for
foreign dollar bonds. Foreign in¬
economic
' hasten
dismal failure.
tions
economic
which
without
plished with
tion in
the
•
to
ducers
with
financing
growth—a practice that has been
a
abort
reduction
tax
>
taken
outflow
Europe today is
turning to the U. S.
are
secure
long-term
Increasingly
exception.
government
greater
spending
the
the pres¬
probably
A
provide
•
framework
'and
ening the argument of those who
supply
money
increasing
would
economy.
would
-
Kelly
advocate
level of interest rates, at
ent
economy
the
toward
would have the benefit of weak¬
Robert Duff
substan¬
tially reducing the
or
the
to
brought about by lower tax rates
o
stem the flow
b y
stimulus
The
agement.
However,
serious inflation will develop.
fectively
to
The
erations which
controls
conditions of
productive
cess
going
are
of
States.
making must first become
corollary to inflation is
currency
reach
to
profit margins since 1957.
banks
able and
This in¬
major factor in the lower trend of
the
by
an
in
If U. S. and the other steel com¬
panies
balance
casting
The
-
declined.
have
of
80%
recession
which plant
non
timum
.central
is
in
the
United
tion.
increasing faster than
vestors'are
business has
than
less
of
foreign
to
at
capacity
contin-
ued'loss
^United
•
operated
additions
The
*
American
plant
the
and
reserves
tions.
1
however,
the sustained loss
are
gold
President's
issues
economic
in
wages
debt-in¬
by
(See Table III).
Thursday, July 25, 1963
productivity, with resultant infla¬
ments.
preferable to reduce Government spending to level of receipts.
be
Eu¬
million
$648
crease.
labor
cost
but
and
.
problem. There
to
Adds it would
I).
.
ernization through the continuous
countries
expensive for foreigners to borrow here, and generate internal
low
of
advantage
Europe
no
corporate capital for expansion and modernization.
increasing
bond market and
impact depicted contends it would attract foreign investors, make it
more
the
pay¬
Table
(See
would eliminate the compet¬
anathema
Analyst examines extent to which a meaningful tax-cut could affect
of
balance
our
problem.
Eventually
costs
our
of
end
ments
.
F.
Wrightsman
Hanauer,
originations;
institutional
revenue
Thomas
sales;
Stephen Kovacs, bank service.
F.
and
Volume
198
Number
6284
.
.
The Commercial and Financial Chronicle
.
v
jr.
tive
internationally.
-
Why Discount
have
we
est
the
companying
By J. L. Robertson,* Member, Board of Governors, Federal
Reserve
-
Robertson's
Governor
System, W ashington, D:C.
dissent
from
Bank
recent
*
kept ample."
or
is
reduce,
flows
not
from
payments problem
our
of the U.
S.
as
fanciful
tistics, but rather the underlying
strength of the American econ-
few
a
both
domestic
a
Hence,
omy«
inter-,
and
ling- need
<
there is
for
and
Fed has not been
the
doing so in the past two years.
policy
tary
oriented
I
voted
against
last
increase
it
think
not
Stated
discount
a
fully,
view
my
There is not any
U.
S.
we
balance
of
some
the
payments
re¬
rate
small
be,,
as
cation
to be
rather
,
t
our
-
eco-
by
its
tia l
domestic
nomic
arid
James
eco¬
,
*r
.
V.
~
I
activity;
tal
I—Rpberfson
its
,
sdme'
what
in
and
'k.r--'''?
*
to
serve
dampening
to
needs
be
home, given
•
experience,
with
agree
of
who;that action.;-
those
cannot
we
"push
is
increasing
the
string."
ing
availability
banks
of funds
r-
;
ate
duce
thekv fates
re-
been
siwould
-of| interestvin
10005..;
F;
adopted,
however,- the
the most
achieved
cannot*,
have
rendered
less
attractive
bemight-well
if
-s-
it
is
increase
effects
will
only
;
all
must
capital
'
and
Reserve's
Ampleness
Defeats Discount Rate
it
the
is
short-term
quite
largely
U.
S.
offset
adjustments
market-
rates
by
in
rates
volve
the
and
be
S.
the
amounts
of
have
rpvprcpH
pvpn
large
market
funds
element
the
abroad,
these
in
the
past has
and .1
be
to
discount
short-term
flows
been
loans
bank
would
curtailed
not
expect
much
rate ^increase
'■
by
alone
the basic
as
is
reserves
of
area
a.
larger
,
drain
count
kept
ample.
In
and
on, our
we
of
the
have
rate increase
will
not
deal
cur¬
policy is to minimize
long-term
interest
the differentials
idle
"growth—all
-
are
will
gether,
rise
any
rates,
and
existing between
credit
and
equity
great as to far
so
range
of
any
ex¬
moderate
adjustment.
In
pointing
ited
on
the
very
lim¬
international
capital flows to be expected from
adjustments
in
U.
market
interest
want
be misunderstood.
not
rates,
I
do
of
payments
but only the efficacy of
S.
not
I
discounting the existence
balance
gorically
forts
at
my
cur-
interestdeposits
or
most
growth. If such credit flows from
short
adjustments,
J
;
'
rates
that
drags
market
divert the focus
of
■
.
from
the
basic
prob-
lems, and create a later backwash
of reactions
that
can
,
conceivably
availabie
fund
up
markets
d«and
d
„
would
be
in
an
&
Save
(1957)
Limited—v
RoadhouseBay
Toronto, Ont., Canada,
Soo Line
any
human
and
an
of
the
appear
lists of stocks which i.,
are
interesting and
S.
stock
0
California
Water
Francisco, Calif., 94104.
Union
Inc.,
115
Broadway,
Bank
Building,
offer to sell
nor a
solicitation of
an
offer to buy
-
Livestock Financial Corporation
con¬
(An Insurance Holding Company)
Foster
In
Domestic
domestic
for
am
of
problem,
a
moder¬
Expansion
other words, we
economic
external
in
the
will
S.
U.
gain
by
in
appropriate.
I
say
know, from
at
some
expansion,
for
in
U.
would
it
S.
credit
be
entirely
this
because
past
Share
econ¬
impelled
strength,
moderation
Price $5 per
If
tax reduction, grad¬
a
availability
that
be
have
encouraging.
expansive tendencies in the
in part
Par Value)
Economic
reduced.
been
($1
so
S. funds
of U.
placement
significantly
Common Stock
must foster
expansion
Copies of the Prospectus
signed
may
may
be obtained from the undersigned only in those States in which the under¬
legally offer these securities in compliance with the Securities Laws of the respective States.
experience
stage, of
becomes
Charles Plohn & Co.
business
necessary
monetary policy to resist
Members
pos¬
sible future speculative and infla¬
New York Stock
Exchange
American Stock Exchange
tionary tendencies with the view
of
maintaining
of
economic growth as well as
keeping
U.
S.
a
sustainable pace
industry
to
competi¬
Pan Am
New
Company—Analy¬
geles, Calif., 90014.
a ^consequence,
200,000 Shares
ditions.
&
Co., Inc;, 155 Sansome Street, San
of these securities. The offer is made only by the Prospectus.
;
&
Com-
,pany—Analysis—Birr,Wilson
July 19, 1963
:
list of 2D-
dividends.
Southern
as- a
early tax cut and gen¬
an
a
candidates for stock splits or large
NEW ISSUE
the. basic
U.
v>j:?r
Railroad—Report—
we
This announcement is neither
Street;;;
t
sis—Stern, Frank, Meyer
adequate level of
As
performance.
f
211..
Philadelphia,!
Street,
Weyerhaeuser
that has still
economy
not attained
Co.,
&
—
York, N. Y., 10006.
ratt?s would ba. pufed upwar,d'
an
Sunstein
{if'
f.-
Analysis
i
u
on
-
—
—Carreau, Smith, McDowell, Di-
with corresponding depressive effec^s
■
-j,-,v'v'■' '
Ltd.
McCuaig I Bros., '335
mond,
re-
interest
long.term
,
: yr
i,'...:
&
Savan—*
Standard Oil of Indiana—Analysis
abruptly cut back, the
were
Chisholm
Street,
Analysis—Doherty
available
has led banks to substantially expand thelr investments in mortconsumer loans, ami state
and local securities, thus Stimulatbanks
/
;
j
During the past two years,
faPld expansion of time deposits
I believe unnatural eftwisting
fundamental
attention
cate-
New..
.
ris, Upham & Co., 120 Broadway,"1'
New York, N. Y., 10005.:> AI so*
Rise
ing business activity and economic
.
views
delay
erally stimulative monetary
we
to
Bull
place to invest. These call, above
'all, for
ual
out
influence
moderate
a,
as
is
.
,
enriching
enhance
attractiveness
omy
rate
Inc.," 1
Shop
i;v
f
;
,,
Pa., 19107.
investments,
Q
t
Sugar Refining Corp.—
South Broad
time
halted
•
p
1.,
Inc.,
Plaza,
which,' taken to¬
of
recently
the
.
state
employing
both
resources,
Manhattan
material, accelerating our rate of
developments
long-term
ceed
po-
-
"
can
ef¬
Company,
domestic
•
incentive,
opportunities,
on
a
increase
to
foreign and U. S. rates of return
capital
tailed
economy
full
importantly,
-
the
domestic
help, too, in this
that the attraction
in
policy
monetary
create
already
&
hands. But the dis¬
With this. An evident aim of
rent
of
can
v.'
business
a
persistent
more
and the full
so
availability
long-term capital,
can
more
try
profit
.
long
Even
must
major
a
high-
they should be for stimu-
purposes,
tential
The
are
many
promotion
Export
hdme
our
,
Gerstley,
av reincrease
bank
been
Regulation
to
seeks,
long-term rates.
"stimulant to
To
competitive
have
we
to
the
respect.!
foreign
which
flow.) Furthermore,
can
in
money
unre¬
so
us
real
the
achieved.
forts at
in
exist
that
strength
and
barriers
denying
of
fruits
experience
chief:
to
in¬
harder to
even
the
that
countries,
ex¬
short rates
two
markets
money
lative
the
and
essentially
are
down
exports
those in the United Kingdom and
Canada,
objectives,
down
than
er
foreign aid
our
which they have to
must strive
knock
money
forward
general historical
between U.
"agoniz¬
through- an
what
We
compensating
foreign
it
result is that both rates
we
_
may
other
government,
quited dollar transfers abroad.
area,
that
the
on
hold
'
change quotations. (This has been
the
of
military
extent to
Rise
capital
conceivable
increase' in
as
levels
while
Administration.
ing reappraisal" of
Available
In
the
carry
and
in -Congress
here
:
throughout
At
trivial
international
on
flows.
have
mented,
time,
same
judgment that the rate
my
i* **
*
-
'
Hutton
Co.,
'
unemployment. At the
'
Analysis—Varnedoe,
he
steps
8
System—Memorandum—E.
Savannah
appropri-
an
stimulativeimpact
would The
growth of the more
have ben: felt> This ^ sort of stimu— *
sensitive forms * of' time
o we v.e r^
|
Co., 110 Old Street, Fay--:
York, N. Y., 10005.;
deposits at the prevailing ceiling
monetary policy is.
ad¬ -designed to hold up short-term
resolutely imple¬ -interest rates, on the one hand,
applicable
Kistler &
Ryder
changc.in the maximum in-
order to put idle funds to work;
<rates
h
,
Recommendations;
Continued from page
Chase
caused suit of the discount rate
"to
'
much elation,
contained
Thursday
dis^-
'
;
necessity of making
to
as
lenders
concurred.
Dealer-Broker;
policy 1 had
-.other
and
this
&
Co.,;
Broadway, New York, N. Y.,
The discount rate increase hav-
on
The the,
;;
which I
etteville, N. C.
^economy, by providing such an - short-term market- • ratesv as
this score
on
in
been "terest rates* payable by commernah, Ga.
used to its full .power over- the
cjaj banks on time deposits wasv
Schlumberger,
past twcH>years in stimulating the:* clear;
Any significant advance in
permit
deficits.
message
vocated must be
high level of
our
will
that gave me heart. But
stimu¬
a
not
past
in
investible funds.; This
Reliance Electric & Engineering—
count -rate at this time was different from that of my associates.
*and I was obliged to dissent from
.
last
influences, in
do
of
If; monetary
as
What
'sirability
.'
Attacks "Nudging"
with the persist¬
the
of
causes
lative monetary environment here "directly
at
to
or
which
areas
President's
will create
basis
the
remedies
palliatives.
effective dealing
concerned
am
consequences
still
a
private policies, at levels
and
arj ihcpease4 discount rate- ing
that
effects
of the most
warding off recessions.
maintain that
a thoughtful bqt deter¬
mined adjustment of governmen¬
our
be effective not
competitive
for
In ;the light of these views* my Memorandum—Pershing
judgment with respect to the de- 120
good-
pervasive. It
I
^needed is
adverse
on
its
in
country,
can
^o exercise its role of leadership
^e ref w
'
0f
one'
economic
one
On
to
designed
is
all
part because it is
through the appli¬
devices
than
temporary
poten-
effects
with
needs
this
but also in
proportions,
that
one
in
of
only in dampening down booms,
payments situa¬
crisis
of
policy
potent
ceilings to allow banks
compel-
a
invigorating
primarily-co^espoqdmg^ strengthening of
objec- J
caPapd;y of the United States
be
..
by Mr." Robertson before
the House Banking and Currency Com¬
mittee hearings on Rediscount rate ami*
Reg. Q changes, Washington, D. C.f July "
22, 1963.
%
stimulative
a
Monetary
most
forces
doubt but that
ofappropriate
mask
ighed
w e
of
still
dealt
be
so
considerably
o u
the
time, at least. It is not
a
is
it
but
increase
would
balance
problem
a
discount
a
tive.
living through a trouble¬
are
tion, for
from
sulting
a
Attractiveness
v:
benefit
able
as
Investment
Domestic
Increasing
was
that the prob¬
to
rate
for dealing* with it.
weapon
worth the cost.
was
more
did
discount
higher
ately
rate
because I
week
should
to
respect .to
to raise permis¬
*Statement
-
they should be, and argues that we can "push on a string" and that
was
is the action that the Board took
eco+nomf Put^g our people, our
nomic conditions-in this country,-"P18' anc* °Vr money t° work
with
high
rates
of
unutilized ln
.aJ}1 expanding, competitive,
manpower and machinery, more- ; nonmflationary environment* with
rates higher than
13
with
course
remain
market
or the balance of payments sta-
only
But in the present state of
He flays "nudging" in
charging it has kept both long- and short-term
to
short
in
national point of view
i.e., increasing the basic attrac¬
—
place to invest.
a
a
There is no question but that
the real basis of the world's con-
-
wise
Regulation Q
sible rate
Real Basis for
Confidence
.
might have been entirely in order
be the
•
.
fundsifidence in the soundness of the
to ex- dollar is not the gold in Fort Knox
of
,
kernal of
cur-
■
,
,
Establishing
ac-
of domestic
to
the
payments
discount rate increase
that,
a
an
supplies of funds
help
It
with
pressure
reverse
months,
He proposes, however, generally stimulative mone¬
tary conditions and tax-cut to tackle what he believes to
tiveness
tail,
pect
rise
rate
questions its efficacy "so long as the basic avaiiabiiity of reserves
is
would
balance of
our
would*
country
up,
upon
that
abroad;
discount
move
demands
This means V worsen
prospect that inter-. statistics in future months.
in'this
rates
naturally
Is Not Worth the Cost
(353)
Building, 200 Park Avenue, New York 17, N. Y.
Telephone TN 7-9000
& Fox,
Los
An¬
-
14
The Commercial and Financial Chronicle
(354)
countries
Silver Futures Trading
■'"
■'
of
lapse
traded
being
years,
silver
of
contracts
future
again
30
some
are
York Commodity Exchange,
islation
the
Treasury
out
of buying
selling
and
of time
silver at fixed
tax
128.9
the
moved
buillion
lar
This
Dr. Arthur
establishment of
opened
Which
is
lot).
futures markets,
is
year
a
A full contract trading
contracts.
lot
of the
10,000 troy ounces
(round-
Commission
"round-
on
a
turn" (in and out of a
contract) is
tection
silver
silver bullion
risk
of
V.;'
■»Our
'
:
National
Gross
the
of
average
June
a
.
...
...
•
•»-
.
construction
Sectio^ ^
(public
of
enced
the
be
W.
+
3.2
7.0
7th
Marks
39.0% Above Year-Ago Week
A
According to data compiled by
Dodge had
increase
to
forecas^
that
the American Iron and Steel In-
from
tractg jn
1963 would reach
Qrd
construction
kjuion
«^43 4
(*104.1%)
con-
(*111.5%)
rec_
tons
ending week.
July
the
in
.
2,077,000
13
The week to week
6.6%,
dropped
output
2
against
as
1962
a
topping
the
Section
is
F.
GNP
+
602,092
$544 bmion in 1962 to $580 billion stitute, production for the week
in 1963, a 4.5% increase. It had also ended July 20 was 1,939,000 tons
influ-
of
Secretary
Here
Treasury.
-;VVi- A.''
might
silver
by
October
predicted
Decline
913,421
in Past 8 Weeks But Stays
Drop
billion for
contracts."
,1,182,000 + 4.7
942,986
644,187
6.6%
+11.3
+. 5.8
$16,847,426
1,432,026
1,237,000
City
Steel's
,
about $43.5
and
year,
88-36; 77
88-36,
7 Stat. 54) sheds
e sconcon-
price
slower rate of expan,
$18,759,885
.1,515,721
Boston
%
1962
1963
York__
Chicago
Kansas
,u
__(000 omitted)__
Philadelphia
■
s*mewhat
Last
u
principal money cen
„
July 20—
New
.
Ones.
'slon i ln the ^ond. half of this
_
19(
4,
of the principal money cen„
Week End
predictions, and slightly ahead of
^=1+
at
against $31,498,same week in 1962.
Our comparative summary for
some
7
well ;ahead
ning
stand
preliminary ^totals
$34,344,766,756
784,030 for the
'
Produc'i and construction are run- fers follows:
siderable light on how the market
himself
loss due to
change.
>f
ILaw
insure
can
the
against
price
he
the Treas-
as
.
price fluctuations. Through
hedging
'+
Price Factors
company
a
both
year,
Careful reading of Sc
producing silverware) against the
risk of
fast
as
Saturday,
ended
week
the United States for which it is
its
forecasts made last Fall, So far
j Federal
is to afford pro¬
example,
(for
reasserted
Dodge senior economist, referring
Ai
like ury retires silver certificates.
legitimate user of
the
to
market,
a^i
^
with
the
for
con-
According to George A. Christie,
All
ounces.
today
cities of the country, indicate that
-p. W. Dodge, July 20 clearings for all cities of
nonresidentiai building.
notes, which will release
other commodity
served by
that
1963.
12,
month for silver futures
trading
dol¬
Failures
reacjjUsting the construction mix ings were 9.0% above those of
,- to 5^^ gajns in residential and the corresponding week last year.
current
certificates
silver
Production
/
op^mis^c forecast for 1963 while possible to obtain weekly clear-
however, "Congress
Now,
Reserve
futures
silver
new
futures market,
a
June
month
-Every
A. Smith
the
for
way
a
corporation
yearj
_
the
'
a
Principal function served by the
the
cleared
in
pure
and of construction
mjd
which
10n S °
of
tracts,
figures
Treasury o ds $
nnn
trend
(by Act of June 4, 1963) has pro-4>pt»wu»»e,
"This should put the year's total
vMed
for
the
replaeement
the market.
on
omcial
the
economy,
deceiving because it
our >
bills.
131.35. This
silver
silver dollar becomes worth
trad¬
ing.
the
which
at
made in silver
of silver
rechecking
of this bullion is held as
mostly
that the
day
same
In
security back
back of
of silver
silver certificates,
certificates
security
with $1.2929, the price
compares
gains
on
the
on
June contract reached
Federal
Auto
Business
t
Index
Price
-
might
influenced by Government
ounces)
Trade
Food
Commodity Price Index
conclusion,
supply
1,658,000,000
marketvwas
(cash)
spot
TRADE and INDUSTRY
that
excent a
a small amount
except
s
all amou t (124 , 210 , 000
129.60 ($1,296). Silver
was
the
in
prices and re¬
50%
be
nlean,s J do
about
June, 1964, contract. Low on the
June contract in the same period
Retail
develop-
valued at $1.2929 per ounce
($1.3135) per ounce for the
131.35
in
143,300,000 worth of silver bullion
highest futures price has been
the
this year took
exceeded
I
Carloadings
means
one
bullish
very
action.^ Latest
month's | trading
almosta
;
this,
but the
nnn
June
in
sed
a
that
note
to
interesting
is
It
after
The State of
t
t
year on
50%
industrial
From
be quite
can
Leg¬
has
over
f
Output
continue to increase
of
indeed,
can
pas¬
by
a
This
/
Steel Production
Electric
Most reports indicate that
ments.
draw
Thursday, July 25, 1963
production by
consumption
because
Factors
Price
exceeded
demand will
least $500
$750 a contract and at
must be maintained.
the New
on
100 million ounces
period.
practical effects of
last June 4th's law permitting silver certificates' demonetization are
explained by Mr, Smith. Note is taken that the law prevents site
from going much above $1.2929 — at least for some years.
a
over
that
Workings of the now freed silver market and
After
has
production
■*
■
.,
showing that consump¬
tion
the average since 1955.
By Arthur A. Smith, Vice-President and Economist,
First National Bank in Dallas
.
the
for
year's second sharpest drop, cornquoted word for word:
construction is standing up well, pared to the 11.6% drop in the
Changes
in
futures
prices are
Consumption Exceeds
The Secretary of the Treasury there have been a few
surprises July 4-holiday week, and it marks
registered in multiples of l/20th
Production
shall maintain the ownership and -within the individual
of a cent per ounce.
On a full
categories, the seventh weekly decline out of
No one can say with absolute
the
possession or control within a^d jt's necessary to adjust the the past eight weeks. Last week's
lot a change of 1 cent in price
certainty what will happen to the the United States of an amount of
$35
each
on
Would
10,000
100
mean
Under Exchange
in
any
trading day is limited to 5 cents
above
Close.
below the previous day's
or
Minimum initial margin is
pieces
price of silver from now on.
do
know
for
that
sure
We
silver
silver
is
for
available
Data
produced.
being
non
-
monetary value equal
a
amount
face
the
are
market
Ho
price
to
dered
by
rates
a
on
to
are
attract
United
against
reserves
certificates,
excess
silver may be sold to other
growing
may
by the enlarged federal deficit and the
absorption of money by the mortgage
market and states and
long-term credit
and
of
;
points
but he
ounce
in
our
easily accessible and highly efficient money
capital markets have attracted more foreign
borrowings than our balance of payments, already
burdened
can
that
the
the
market
to
help relieve the balance-ofpayments problem."—First National City Bank.
We
those
!or
some
years.
Treasury
induced
low
interest
the outflow of investment funds
arbitrary taxes.
"growth"
rates
or
by
curtail
by the imposition
and
register
a
3%
.,
buildi
There was a sustained decline of
26
•' 9
>«
1-rweeks
evoetin
aearcrow.from
„j
June l
to
contracts
25«
a
net ~ tons):
c 1,958,000
to
502,000
ital
,Ho
7 ?
.
the autumn of 1954 beginning with Sept. 5 until Dec 6,
^el output rose to 30.4% (1,-
total
to
gain.
»
about
aiiv
any.
Remember; the
silver.
sumntion
-sumption
of
or
110
silver
silver
million
amounts
amounts
ounces
*
to
to
annu-
We
oroduce aoout
about 66
33 million
million
we produce
ainnua!1l^d.have;b,e.en ^porting
million
165
million
ounces
in
a
year
in
the ' latest
xne aaxesz
preliminary iigures compiled
ago
'
Jl
f
hi
■
.
.
of
ample
an
in
supply
of
bullion for subsidiary silver coins
The Treasury has indicated that
silver, certificates will be
gradually, perhaps
of
as
long
as
10
over
years.
retired
a
period
The law
not
specify
merely
amends
that
and
$1
notes
ury
can
$2
that
the
they
shall
statutes
Federal
It
so
Reserve
be issued, but the Treas-
ostensibly has wanted to
be
steelAabor-
in end of last Ma^ in anticipaamicable Cnon-strikp^
"pn 01 an amicaDie inon striKe;
agreement became more marked,
thoughts
course
h
,
posed the legislation passed June
caDacitv
Treasury
of silver certificates.
rid
as
the
subsidiary silver coins
to
as
wag
hnvine
demand
will
bQosted
re-
strike.
b
Furonean
also
serve
excess
to
rising"™ til
So far
th
are con-
high percentage of silver
real
will
hike
in the Feb.-May period
get
cerned, they do not have to contain
buvers'
just past. Total steel demand then,
of
enabling
until
surges, as
(dimes, quarters, halves) and pro4
rPturninff
f
-d
market: is
apparent
and
dampen any further price
f
graphlC advices fr0m the Chief
assured
Demonitized?
21
Lviaence ot a returning buyers
by the GJircnicle, based upon tele-
(about
1962).
Completely
June
^
a year
Preliminarv figures comniled
,
70
in
statement forged ahead of
d^
since 1950 between 50 million and
the
Since
CleariDgsv9J1%VAbove 1962 management contract -settlemerit,
../-" week's Volume
the output decline which had set
Bank
holds. Domestic^'jcon-^.o^^ciearmgs
A>658i pillion . B k ' clearings
^
of
ounces
.
be retired at any rate or time.
stimulate
billion
utilities)
price ^bf silveri from ;
who
either
aned
works
$la6
.above $1.2929=.
does
would
Uc
sell it when the
can
heartily recommend this able analysis to all
artificially
of
.
by heavy governmental outlays abroad,
comfortably. Many experts feel
somewhat higher interest rates are needed in
States
m
,
rises-
Nonbuilding construction (pub-
^
accommodate
United
.0ad^ance.
to 2,548,000 net tons). Not since
Ahe fal1 of 1954 has the industry
experienced such a long sustained
.sequence of consecutive weekly
.
.
and
quite clear
;
T„
•:+;■%■>.>
above 1962.
certificates."
Secretary cannot
maAet price- goes
Reserve, while pursuing an over- all policy of credit ease to
encourage domestic eco- "
nomic
expansion, to sustain short-term interest-
accumulating U. S. dollar investments in lieu of
gold. Even so, the intere$t rates that have prevailed
„
.
seem
The July 20-
*
revised upward, while contracts
Out of .the 29 weeks of this
*0 ^,.non " building construction year s steel output, production de(Pubhc works and utilities), al- clmed in 9 of those weeks and
th°ugb
the r plus rose for 13 consecutive weeks
slde' have been revised down- from the week ending Feb. 2
wardthrough April 27 ou of 20 weekly
■Tbe highlights of the F. W. periods of steel output advances
DodSe readiusted forecast are:
in 1963. During those 13 weeks
Residential contracts to reach a of consecutive weekly increases,
v.
and the Federal
foreigners of
the
was
ending Week's output exceeded,,
year's week by 33.7%.
he
as
high
weekly
mid-March, 1961.
the October fore-
nonresidential buildings have been
sell silver at less than $1.2929 per
"Third, there has been the chronic balance-of-. j
deficits This has forced the A Treasury;5
rates and hence the attractiveness to
over
Contracts for residential and
cast.
coins.
Silver
exchangeable
•
.
the law: (1) The
by business
sluggish, a financial counterpart of the
lagging rate of plant and equipment spending and
the inadequacy under the tax laws of
profit incentive to investment. "
V
;
: •
U
of
amount
Two
remains
payments
a
face
municipalities; demand for
money
slight gain
of the
such places
year's
2,626,000 net tons achieved May
option of the Secretary of
_
equity
The
contracts
record $19 billion, a gain of 5.5%
over last year.
designate, for silver bullion"
Nonresidential contracts to total
monetary value equal to the almost $14 billion, a 7% increase
at the
"Second, increased amounts of funds have been
fore¬
Past two years and last equaled In
United States for silver dollars, or
the highest in
construction
total
for the first time since
mark
Feb. 2 of this year, 23 weeks ago.
Ac
25-ending week unequalled in the
of standard silver dollars and
silver
Dodge
above
used for the coin-
the Treasury, at
up
agencies
and
or
ton
E^very
such
any
decline edged below the 2 million
added
increase of 5 3%
demand at the Treasury of the
on
generation.
taken
but
readjusted
Million
outstanding
silver
whole "
the
the record 1962 volume and
of that required to be held
certificates shall be
funds;
States
fit
predicted to amount to $43.5
are
value, the Sec-
in
age
the heavy interest costs shoul¬
institutions
the
cast,
ex-
or
the
by
subsidiary
savings deposits
T
coo
owned
Government
paid by borrowers to
is attributable to three main factors:
financial
paid
silver
o1no
^L°LtheoIre:m
tf,
dispose
of any
silver held
departments
are
out-
Communist
as
"First, there
of
rv.Ana49mr
ceeds its monetary
*1
more
all
standing silver certificates. Unless
excess
"The failure of interest rates
of
to
Dodge's senior economist.
In
being consumed much faster than
it
the
to
is
of
Vvfrr
decline
"Although the forecast of total
$100.
or
rules the maxi¬
fluctuation
price
mum
points
ounces.
-n the
.,
keeo
GNP
ECM countries
„revious
re-
noteworthv
^es us Prevlous noiewonny
'
of
Junes steel output came to 10,700,000 ingot tons— down from
time silver will be completely de-
nearly,11,500,000 in May but 60%
as
they do
(90%).
Could it be that in the
monetized
in
this
course
country?
Continued on page 34
Number 6284
198
Volume
—all
The Market... And You
top of its own operating
on
results.
National Distillers,
time
its
to
prices in this week's market and,
as
a
matter of fact, among the
chilling aspects was a sharp drop
price of New York Stock
the
in
this is
Exchange membership;
market influence.
new
thorities
government - au¬
of
efforts
The
floor traders,
outlaw
to
that has cropped
aim
an
a
up
re¬
peatedly over the last ■ generation,
was
reflected
swiftly
in
seat
eign investments, or for investors
to learn to live with such a de¬
there
Meanwhile,
velopment.
is
considerable doubt that Congress
would
been
a
which
without
name
stirring
chemical
of
some¬
issues,
up
has
neglected item and shows
a
yield running well into the 4%
bracket which is well above aver¬
age.
along with suggestions
that such a tax be made retro¬
stems from the fact that its earn¬
active. In additiohr the market has
ings
go
and
the
already reacted to the plan
isn't
In
to
climate
neglect
market
the
part,
hasn't been overly
National has yet
the benefits of much of
picture
since
cheering
reap
expansion and diversification
its
investment
the
Unlike
:
discount
to
supposed
thing twice.
same
earnings, in
slight dip. The in¬
has
seat.
a
been
trated
Controversial
The
The
to
made
were
serious
(efforts
floor
traders
end
from operating for
counts
was
various
when
opments offered an excuse.
regulations
^yere
plenty of secondary to good-grade
issues around, offering solid value
Light offers a 3^%
re¬
turn which is above average
and
Electric
'
_
As long ago
action
1934, legislative
as
sought
-r was
to
the
end
with
price tag that is less than
a
this
times
anticipated
year's
face of
heated protests, the securities au¬
thorities
have
long maintained
18
that
ac¬
ily for the last five years,
centuate price swings either way.
split the shares and has
since,
"practice
floor
graders
This
is
the
industry's
floor
the
in
to
tend
diametrically
Unfavorable Outside Factors
to
the
in
less
proposed
investments,
still
strike
lurking
plus
ground,
and
back¬
unfavorable
some
bu^jness news from the steel mills
housing
andthe
market
resistance
on
the
process
age
swept
to
was
industry,
path
the
downside.
industrial
the
through the
have
of
shift
A
four-point
range
utilities generally
as
authorities
Commerce Commission
risdiction earlier this month.
utilities, the con¬
To students of
in its profit in re¬
increase
year^ will continue this
cent
Two
18%
of
it merged with
ago
years
and
Brass
Bridgeport
last
year
of titanium and zir¬
in the fields
racking
in
running
wider
in
ones
the
give
year
ample
has
It
Electric.
Iowa
for
more,
or
Pont
du
some
helping
exaggerated
average
losses.
the markets not
low and
excessively broad.
strike
decline
cumulative
the
against
matched
had
points. But
stretched to two score
that,
140
points this index had soared be¬
tween October and May, was still
a
moderate reaction after
ited
was
and, even, occasional
the
during
Sentiment
was
earnings
were
advance.
hopeful for the
since the first
reach¬
most, particularly
half
that
sessions,
million
recorded
holding inside the
bracket against the
million
four million
,
spir¬
that
reports are
ing flood tide and are well dotted
with record second-quarter oper¬
the
should
unions
and
rail
resolved
one
railroads
be
the other within a week
to remove one major element of
way
or
'
uncertainty from
the scene.
Foreign Investment
will
It
holder of any
that
take-longer; either
a
veto
pf plans to
to
Shares
were
fact
yields.
stock of
a
the largest and most
Pacific
Northern
these
all
still
in
unconvinced
[The views expressed in
do
not
cide
although
certain.
the payoff seems
time
this article
necessarily at any time coin¬
those of the "Chronicle.**
with
They
are
presented
only.]
as
Chase Bank Heads
N. Y. C. Bond
a
Two Join
a
Co.,
Inc.;
July 15, 1964 to 1983
Sowers
ment
joined
have
Steele
and
consutlant
Theodore
inclusive.
k
the
firm
manage¬
of
Henry
Golightly & Co., Inc., New York
C i t y,
as
Vice-Presidents.
was
formerly
Mr.
Assistant
at
line
that
consolidation
mated
curities at
bid
of
an
of
of
by
the
coupons
3.10%, 2.90% and 21/2%, setting
annual
net
interest cost of
reoffering
On
scaled
to
yield
the
bonds
from
are
1.85%
in
1964 out
Among
offering
to 3.30%
in 1983.
those associated
Trust
Harris
are:
Chemical Bank New York
Trust
&
Savings
This advertisement is
any
Loeb, Rhoades & Co.; Laden-
burg, Thalmann & Co.;
&
Hallgarten
Co.;
&
Paine, Webber, Jackson & Cur¬
tis; B. J. Van Ingen & Co., Inc.;
John
Nuveen
&
Co., Inc.; The
First
Western Bank
&
is
been
Co.,
Paribas Corp.; Weeden
Inc.;
United
than
more
end
of
$40
Los Angeles; A. C.
& Co.;
Bache & Co.
July 23, 1963
National Central Life Insurance Company
($1.00 par value)
Common Stock
five-year
a
Copies of the Prospectus may be
than
better
$6
profitability,
by
income
million from
of
the
Burlington Line dividends, nearly
million
timber
from
and
million
iron
its oil
and gas,
resources,
from
Share
mil¬
Pacific's history is one
importantly
,
a
Price $10.00 per
bonds
of
an¬
the
tax for- . Spokane, Portland & Seattle road
and others
as may
California
Allyn
Bank,
NEW ISSUE
esti¬
& Trust Co.,
Angeles; First National Bank
of an offer to buy
made only by the Prospectus.
125,000 Shares
Wertheim
Glore,
Co.;
Forgan & Co.;
neither an offer to sell nor a solicitation
of these securities. The offering is
Bank;
Drexel
& Co.; The Philadelphia National
Bank; Hornblower & Weeks; Carl
in Dallas;
in the
Merrill Lynch,
&
Smith Inc.;
Sachs
&
Co.;
The
Fenner
Equitable Securities Corp.;
Los
proposes
has
demonstrated
aided
other
for
100,0729999%
of
2.94254%.
producing economies to
tune
lion
awarded the se¬
competitive sale on its
The group was
M.
Co.; R. W. Press-
Co.;
&
Northern Trust Co.;
on
$103,090,000
various
York
July 23 pur¬
City of New
purpose bonds, due
which
group
chased
Henry Golightly
Lehman
Goldman,
heads
The Chase Manhattan Bank
Trust
Brothers; Blyth &
Lazard Freres & Co.;
Co.;
Pierce,
Underwriting
.
Co.; Manufacturers Hanover
prich
good play earlier
The
year.
the
in Japan.
Barr Brothers &
those of the
to
get together with Great Northern
and a couple of other lines in a
this
enterprise and
ventures, investors
new
seem
those in this
"merger" road and
category had
of
Hitachi,
diversified manufacturer of electrical equip¬
ment and industrial machinery
participation in a
York,
mining machinery,
Japan's largest privately owned industrial
now
better
high return is despite the
that
jointly by
Japanese company in the United States to date.
Ltd., which began in 1910 as a repair shop for
is
profits from
return.
5%
than
of
of the largest offerings ever made
one
still far
offers
lands,
Co.
offered publicly July 9 at
share through an underwriting group headed
railroad, and a line
important
gets
mineral
its
are
Koike,
value 50 Japanese yen per share.
Pacific, largest land
Northern
$6
Uncertainties
'
see
rails
income
the list for handsome
assorted
by
between
short-lived. And
up
companies. period.
Then, too, the fate of the dispute
Northern
ations
nationwide
be
the
is little
rail
there
but
any
would
This
Turnover
five
a
par
is¬
rail
for
run.
three
interest in
of
right is Konosuke
At
understandable under the
is
doubt
an
with volume
correction,
The
lack
The
sues
orderly
basically
was
per
This offering was
Inc.
President.
sibly before this year is out.
circumstances,
it
But
$22.25
So it
firmly in the nonferrous metal
row,
point
stock,
The American Depositary
up
a
a
the company's common
conium—the space-age ones.
half a score of generating capacity and doesn't
Vice-President,
Methods and
the industrials anticipate any need for new gen¬
Standards, at American Airlines;
went through more of a downhill erating facilities for three or four
Mr. Steele is the founder and Ex¬
flutter
than any urgent .retreat. years.
The company raised its
ecutive Director of Midtown Man¬
On any particular session, the 30 dividend
a
year ago and
is, in
agement Center.
William G.
stocks in the industrial average some
quarters, a candidate for
Kouwenhaven was elected a Viceproduced from two to six losses dividend improvement again, pos¬
In
Inc.
Committee of Yamaichi Securities
positary Shares of Hitachi, Ltd., representing 75,000,000 shares
completed its sole ownership of
a metals subsidiary that operates
Sowers
declines
Co.,
&
The shares consisted of 937,500 American De¬
of New York, Inc.
total.
is
Read
M.
stant
Downhill Flutter
the chem¬
has lifted
around
sales to
Dillon,
Brandi (center), Chair¬
Dillon, Read & Co., Inc. and Yamaichi Securities Co. of New
James
Utility Item
that
support
chemical
it
far
so
of
man
of his company's
issue
an
shares in the United States, by Frederic H.
controls
the Iowa
municipalities to
from
field,
author
utility rate
in
aver¬
area
generated
In
690.
around
a
the probably accounts for its downhill
drift since the assumption of ju¬
least
the
found
than
ignored.
rail
a
the
in
the
year
on
were
foreign
recently
downside. Prior
mild easiness, it had held
on
recently
ical
covering sale of
final papers,
of
stead¬ joint aluminum venture. Despite
held in
range this
for the
tax
new
Iowa Electric has grown
that it has been
years
field, including
to an extremely narrow
that year which it has been expanding
stabilizing influence.
a
"
opposed
contention
trading tends to serve as a
With
earnings.
dozen
busy spreading through
are
promulgated that, at least ^tem¬
porarily, brought a Iruce between and mot overpriced when meas¬
exchange authorities and the Se¬ ured against the market leaders.
curities
and
Exchange Commis- Even in the utility section, Iowa
sion.
National
the
there
that
means
is still the mainstay
Distillers income. In
liquors
ing
of
Around
Values
Solid
That
ago
years
company's old line of lead¬
The
ing
Chairman of the Finance
year—less than three points.
and
devel¬
where
specialties
random
concen¬
items
quality
on
their own ac¬
dozen
a
Traders
Floor
time
last
much
pretty
(left), Chairman of Hitachi, Ltd., witnesses sign¬
Chikari Kurata
First quarter
steps.
two years ago, there aren't many fact, showed a
prices, which tumbled from $205,- evident excesses around that de¬ vestor disinterest is best illus¬
000
to
$160,000, and after the mand correction as did at that trated by the range the. .price of
trade, saw only a bid of $95,000 time. The demand since last fall the shares has carvedv out this
for
Hitachi Receives Payment in Stock Sale
Chemical"
"&
added
back
fanciers
Attrition continued to shade stock
15
Neglected Item
WALLACE STREETE
BY
(355)
The Commercial and Financial Chronicle
...
obtained in any State only from such of the
lawfully offer these securities in such State.
undersigned
16
The Commercial and Financial
Chronicle
(356)
operating in its
'
NEWS ABOUT
and
BANKS AND BANKERS
Consolidations
New Branches
•
New Officers, etc.
•
Constituton
Plaza,
cording
Lester
to
July
office
It
four
was
22,
E.
Chairman of the bank.
Revised Capitalizations
•
main
new
The
headquarters building at One
years
San Fran¬
of America,
Bank
Shippee,
cisco, Calif, announced that Law¬
H.
rence
section, has been
in
bank in
to
joined
1928 and
London
in
bank's
branch
Klein,
a
in June,
ago,
Initial capitalization of the
build
new
former
bank
election
Nov.
offices
the
Street,
will
public relations and business de¬
international,
George
and
G.
v
..
Vice
appointed
Glenn N.
i
•
5 v
*
■
President,
-
and
A.
un¬
advances to Assistant Vice-Presi¬
and
of
Executive Vice-President
Manhattan
Chase
the
Bank,
New
York,
Bank
Operations Department was
in
announced
David
Trust Company,
He
banking
career
as
working in the auditing, account¬
ing, cashier's and operations
he
partments,
Assistant
appointed
was
in
Treasurer
Controller
1947,
in, 1952.
the
When
Manhattan
National
in
Bank
Company
Bank
Agemian
1951,
he
Sinclair
appointed
was
Controller,
of
promotion
J.
Herman
also
was
P.
is
mestic
Mr.
of
all
for
audit
overseas
in the
the
Company
in
as
He
1925.
1948.
j
He
ap¬
in
in
until
1951
with
Company, which
the
Chase
National
Chase Manhat¬
In that year he
Assistant
appointed
Con¬
troller in
charge of the audit and
controls
division
of
troller's department,
until
his
r
*
a,position he
the
r*Elected'
don
The
announced.
been
New
j,
of
and
Gen¬
Manufacturers
bank
J/ondon
announced
July
Vice-Presidents
are
V. -Hoffmire >of -the Lon¬
office
and
Harold
F.
Klein,
the age of
The
until
The
J.
Saxon
that
*
:!:
The
has
17
an¬
given
to
pre¬
organize
a
Huntsville, Ala.
new
$500,000 and
American
Bank
National
Bank
of
Huntsville.
of
; ;
&
Co.
Advisory
Council.
attended
meetings
He then be¬
the
Directors
Mr.
Whitney
that
of
!!:
*
'•
K.
://: H:
H:
Texas,
Hoverstock,
:/-'//
.
of
Director.
a
H:
Newton
H:
The
group
regularly until recently.
in
1919,
came
Director
a
Inc.,
Co.,
1950
when the
and
firm
He
and
be¬
its
Morgan
first
*
Pres¬
O.
East
River
Savings
Si:
Charles
,
C.
as
Bank,
Joyce
Vice-President,
He will continue
23
of
31.
member of
a
Joyce
Reserve
East
of
the
*
■"
■
*
tional
N.
lyn,
Sessa
.
''
■
,3..
■
Anthony
its Board of Trustees,
*
The
-f
elected
$
■
J.
Saxon
*
■.
1934
York
the
proved
application to
the
Sel-
Bank
of
Troy, N. Y., effective
on
its
liabilities
deposit
Trust
by
Company,
July 23.
V
*
CONNECTICUT
The
appointment
as
Treasurer
Total
Cash
resources.—
and
banks
U.sS.
due
lard
I.
new
.'__.__.ji_
holdings
,Troy,
after
TRUST
CONN.
Dec. 31, '62
$
$
532,404,207 560,219,898
460,282,098 481,921,307
,
■■■
■
{
given
pre¬
organize
a
Cheyenne, Wyo.
new
W.
of
dutes
John
Assistant
on
A.
111.,
35th
assume
offices
cott
with
in
will
First
*
Angeles,
Calif,
his
anni¬
35th
as
a
Vice-President,
Savings
recently
with
bank.
He
has
spent most
in
the
trust
business
is
he
became
a
an
the
He
P.
ward
the
of his
department,
A.
and
J.
offices
at
August, 1961.
The
*
Continental
.
Los
An¬
geles,
Calif.,
Kozlowsky
'
{
*
' '■
Comptroller
J.
Edward
H.
O.
Towell,
and
Edward
O.
B.
D.
Unter-
Lansing,
Shepard
and
limited
part¬
be
interests
number
a
would
not
Cedar
other
be
in¬
trans¬
to Prescott & Co. but
would
retained
for
in
of
by
The
First
Corporation, which
as
the
Cleve¬
will
con¬
investment company
an
benefit
shareholders.
of
-
its
existing
W.
Z
V
~
^
;
Vice-President.
a
'
.
elected
Lloyd
A.
Mr. Legros announced that First
tinue
Bank,
E.
Jr.,
ners.
land
H:
David
Prescott,
Rosewater,
Charles
myer
department, in ferred
pres¬
P.
Kruse,
Talbott,
Harry N. LePan, Corwin L. Liston, David J. Barhyte, general
vestments
May, 1961, and assumed his
the
San¬
are:
Bernard
dent, head office branch and of¬
fice administration
Pres¬
operate
Gotschall,
Edward
Point and
James
development
Prescott branch
cities
Prescott,
Vice-Presi¬
*,
*
of
*
the
member of the
Saxon
on
di¬
nounced that he has
vision.
Toledo.
Morton J. Stone, John A.
Cleveland's
appointed
was
Square,
The continuing
partners of
Prescott & Co., in addition to Ed¬
Assistant
Bank.
celebrated
the
these
Cleveland
Robert
through
Manager in 1942.
❖
anniversary
now
ranks,
Rising
/
and
continue to
partners,
with the bank.
*
and
Shaker
dusky and Youngstown.
$255,000, and
joined Security in 1928
ent post in
/career
where he
his
Aug. 1.
Kuhn,
Trust
Chicago,
trust
Wil-
at
Currency
July
18
an¬
given prelim¬
F. I. duPont To
:
Admit Partner
r
^
150,002,771
The Manufacturers National Bank
.
74,419.780
84,564,138
Loans & discounts
271,603,520 245,887,577
Undivided
profits.
9,004,917
8,390,425
T!7"
Director
an
as
will
Jackson
Harris
.
108,034,572
*.•
Edward
announced by
♦
his
AND
an¬
Manager of Security First Na¬
He
the
Cleveland's Canton, Colum¬
and Toledo offices will be
Kreid,
versary
Mid¬
and
Harvey
Wil¬
Webb, Jr., President.
Mr.
ap¬
Jun. 30, '63
from
Government
security
BANK
of
Personnel
was
*
HARTFORD,
17
to
Los
the
The
Exchange,
East Cheyenne National Bank.
Wil¬
Toledo, Ohio, and
merge
or
has
marked
of
Exchange,
John G. Butler, Nelson S.
Bank,
Na¬
Building.
it will be operated under the title
recently
been
also organized
Columbus',
tional
of
of
was
700
Exchange,
offices
of Baltimore Trust Company,
assets
The Ohio Citizens Trust Company,
National Bank of Cohoes,
Cohoes, N. Y., into the Manufac¬
National
National Bank in
Stock
Stock
west
Birchard,
The
turers
he
has
at
member
a
Stock
American
Harold
the
<
f
'
16
July
approval
and
was
is
and
Joseph E. Hulbert, Vice-President
of
J.
/•':
July
on
that
1934
located
Prescott & Co.
and
Jackson
Comptroller of the Currency
James
Saxon,
mington,Dela.
Savings Bank of Brook¬
Y.,
to
•
*
/.
J.
member
a
Exchange,
Citv—East Sixth
merged
bookkeeper.
>•
-
"£
Company
approval of the
Savings Bank in 1920.
The City
Trust
Comptroller of the Currency
James
in
continuously
Camden; (Delaware) branch office
of
River
and
Initial capitalization of the
System on July
its
\Vyo.
Cheyenne,
bank will amount to
*
Governors
of
announced
mington
joined
:|i
byville, Dela., and the assumption
the Board of Trustees.
Mr.
.Board
acquisition
as
July
The
and after July 23.
on
the retire¬
announces
Chambers¬
of
A.
Prescott & Co. will continue its
":-'v//;
liminary
Bank
Emile
Chicago Board of Trade.
Wyoming.
nounced
Federal
President
Chambersburg,
Bank
Cook, Secretary-
Cleveland,
organized
*
...
Chambersburg, Pa., and the Val¬
The
Nodyne,
of
the
merge
of
Bank
ley National
from
*
:
Bank
to
burg, Chambersburg, Pa., effective
1955.
>
Senior
P.
Chairman
was
until
J.
of
application
National
corporation in 1940 he be¬
a
the
16
Mr. Whitney was made a partner
came
Comptroller of the Currency
James J. Saxon approved on July
Cheyenne,
W.
First
.
.'•///'■'•/„■ New
/
Commerce,
elected
&
*
Prescott
City
are:
the Midwest Stock
bus,
of
&
the
Treasurer.
tional
Chairman
came
Morgan
Cleveland
Richard
First
P.
at
National
E.
Bulkley, Richard N.
Edgar E. Legros, Edmund
Orrell, Vice-Presidents,
and
changed its title to The First Na¬
J.
of the two firms
name
900
First
at
in
The National Bank
'.T
National
Mellon
July
on
he
bank will amount to
Houston,
>\i
&
The
seven
new
partners
of
Prescott and their officer
positions
Comptroller of the Currency A.
Initial capitalization of the
r'/y
■:
of First
Prescott
Building.
H:
National Bank in
J., has-
*
join
-
Robert
H:
liminary approval
R.
Treasurer
-
will
Kapp,
62.
-■
First
*
nounced
New Jersey, died July 20 at
pany,
of
was
Legros, President; Clarence F. Da¬
National vis,
(Executive Vice - President;
Bank.
.
Gunkel,
Bank
it will be operated under the title
*
*
-A
,
Sylvester
of
l
Lauderdale, West Fort
Plantation
National
of Newark, N.
cott
office,
J. Couch Vice-Presidents.
been
1963.
Thomas
Bank
State
of
National
being
was
will be continued under the Pres¬
anty Trust Company.
COMPANY,
Hanover Trust Company's
24,
■
Board
I
Hi
by
Exchange
Exchanges
banking business
_
of
Canton,
THE
has
Fidelity
4'
*
Stock
partners and the investment
as
Charles H. Fletcher, Jr. and Earl
as
\
Davidson
Manager
office,
visory
y
jy
age
Director
a
of
Deposits
eral
This de¬
Edward
■"./
Co.
Co.', Inc., in 1959 with the Guar¬
*
*
Vice-President
elected
Inc.,
con¬
appointment
Controller.
Raymond
the
':///;•
re¬
approval
principal executives
branch
Auditor of the Bank
was
to form the
held
to
•'.."/v..
of
/
;'
York
Cleveland
of
He be¬
tan Bank in 1955.
was
appointment
seven
of
Bank
Prescott
formal
obtained and that the
merger
scheduled for Aug. 1. At that
The Stock Growers National I$ank
of
was
Treasurer
From
of the Manhattan
Bank
*
*
'
Mr.
and
banking
announcement,
Lauderdale, Fla. changed its title
Eberle, to the Federal Trust Ad¬
joined J. P. Mor¬
remained
merger
ment
Assistant Vice-Presi¬
an
in
merged
;
"*
the
time,
its
Bank
P.
Pres¬
reported
investment
joint
that
Trust Co., Pittsburgh, Pa., elected
the
York,
Manhattan
the
of
Assistant
1945 and
1955 he
The
Officers
*
of
changed
National
■>)*
James
Chairman of the Board in 1955.
New
Assistant Manager
an
an
dent
Street.
'
to Capital National Bank of
West Fort
building in Constitu¬
new
*
Co. Inc. in 1915 and retired
the
auditing department
the branch system in 1934.
came
Co.,
&
Mr. Whitney
gan &
and
began his banking
Bank
pointed
the
to
Secretaries, have
Trust
Fla.,
Bank
have
a
Legros
ported
-."v/V.
^••/ •'
National
Springs
The
tion Plaza.
Wolff,
July 22 at the
do¬
functions of the bank.
Wacker
career
F.
:;■}„');.
*
Morgan
George
responsible
and
control
1954,
the Carteret Bank and Trust Com¬
an¬
nounced July 22.
He
*
York, died
&
Wacker to Controller
City
*
National
Miami,
to
partment has already been moved
George Whitney, former head- of
ident.
The
with
are
Beckert, Howard J.
elected
been
Con¬
made
was
troller General.
«.
All
Theodore
and
-A
Vice-
Controller.
and
he
1959
1955,
named
was
later
Chase
in
merged
Vice-President
of/the
and
President and Deputy
in
at 60 Arch
time
H.
Metropolitan Division.
Herbert A.
an
1944. yHe
Vice-Presi¬
Assistant
an
de¬
and Vice-President and Controller
and
Harold
Industrial
'7,'-';''
has been operating for some
area i
Mr.
$500,000, and
In
other
Tampa.
•
Messenger at the Bank
1927.
year
Chairman.
_
the bank's
J.
his
the Manhattan Company. After
A
Helm,
Con¬
of
Mr.
and
V
will also be moved.
New York,
by
—Corporate Trust Department
1;,^
in
Trust Company by merger in
firms.
new
New
"
also
in
dent
announced
was
former Assistant
been
Bank
Co.,
based
the
name
""
started
became
it
President
r
Connecticut
The
land
a
Tampa* Tampa, Fla., changed its
part
a
.The bank's; entire bookkeeping
Chairman
;
Street, which became
organize
&
of
proposed merger of the two Cleve¬
and
The
operation for the greater Hartford
appointed
_
by
had
branch bank.
a
to
cott
an¬
pre¬
Miami.-VAvAr
and
AssistantVice-
new
a
General of the bank since
1959..
Rod¬
as
18
given
Corporation, and Edward
Prescott, Senior Partner
Hays National Bank.
title
1 banking
however,
land
it will be operated under the title
Miami,
Constitution
v e
has
/;«;//*'. /:
Row,
Presidents of Chemical Bank New
been
and
19
Agemian
troller
y:
July
Rockefeller.
Mr.
:
of
charge
Champion
George
W.
of
>■
Appointment of Charles A. Age¬
as
Ness,
to
remain
will
Main
Harvey Y. Tegge, Jr., h a v e
York
mian
Graham
approval
he
/
A. Le-
gros, President of The First Cleve¬
v
July
on
liminary
The
The entire Phoenix office at 803
X
Robinson, Charles J. Schildt
man
Cremer, in charge of
derwriting for the last two years,
dent.-.,'"- A.:'. V'. V"'
phy,
Central
Saxon
that
bank will amount to
Main
760
J.
.
Clarence C. Hunt, Gerald J. Mur¬
Glenn Cremer
ai*
<:;.
and
The street he
will be used
-
f/to*
A,
L. H. Prager
"
H.
floor
Bank.
H:
National Bank in Hays, Kan.
Initial capitalization of the
new
All
at
moved
be
floor
;
y
the
bulding.
first
of
corner
Plaza.'.
Goldsmith,
Koehn, 18th Street office,
the
above
present/building
lyn Trust offee; Hugh J. Breiman,
in
Plaza
"v
-
nounced
"safe deposit department in the
the
Vice-Presi¬
Bohn, Brook¬
J.
locations
downtown
Constituton
in 1930.
career
Myron
on
opened., Mr.
Assistant
velopment;
"topped out"
was
*
Merge With
CLEVELAND, Ohio—Emile
Comptroller of the Currency
James
1961.
15,
'
*
The
18, 1961
The Connecticut Bank and Trust
announced
dents of Vincent A.
began July
Company will consolidate several
newspaperman,
also
as
of steel
$350,000, and
London National
■
Erec¬
the
when
New
/
Prescott & Co.
new
bank will amount to
to
To
Na¬
a
it will be operated under the title
intention
First Cleveland
an¬
1959, that Shippee announced the
and the steel
transferred
1938
was
bank
joined the
was
began his banking
The
the
Mr. Hoffmire
1958.
16
Thursday, July 25, 1963
.
given prelim¬
bank's
tion
Davidson
Mr.
Prager, head of the in¬
vestment bankng
July
tional Bank in New London, Wis.
ing occurred April 15, 1960.
velopment.
Saxon
inary approval to organize
1
Constitution Plaza. Ground-break¬
public relations and business de¬
J.
nounced that he has
headquarters in the then unnamed
The
Comptroller of the Currency
James
ac¬
.'.
-
of
Detroit, Mich., made Howard C.
Tomes, Vice-President, effective
Aug./15. * Mr. Tomes had been a
The
Connecticut -Bank -and Trust Vice-President of the bank
until
Company, Hartford, Conn., began four
years ago.
inary approval to organize
tional
Bank
in
a
Na¬
Oceanside, Calif.
Initial capitalization of the new
bank will amount to
$750,000, and
Andrew I. Namm will be admitted
to
partnership
Pont
&
York
City,
Co.,
it will be operated under the title
York Stock
First National Bank of Oceanside.
1, 1963.
1
in
Francis
Wall
members
I„
du
Street, New
of
Exchange,
the
as
New
of Aug.
Number 6284
198
Volume
.
.
^
As We See It
*
-
time has come when
The
i:
-
Continued from page 1
(357)
Financial Chronicle
The Commercial and
.
"
must
we
17
MUTUAL FUNDS
give all these things
careful and realistic
BY JOSEPH C. POTTER
plain everyday citizen with ment in the population, and thought if we are to avoid
the good of his country at has done even that at the cost serjous consequences in the
heart, who left the matter of most othdr elements there- years aliead. It will not do
there. A situation in which in. It could hardly have ex- merely to talk about the apIt's Tough All Over
there are substantially over pected to do more by the proaching increases in the
four million people unable to tactics it has pursued in the labor force and about the ef- To an Easterner, especially one
(3) A conservative but
find
work
at
all while
a general circumstances
m fect of unempi0yment upon wall Street an extended visit in nroach
favored eiernent
element m
in xne
the popu
popu- which it operates. It has
unfortunates who all hut
an be
extended
visit in proach*
tavored
the unfortunates
who all but the West can
refreshing as
.
more
j
.
~
w
+
since the start of the fiscal year
,
lation
down tailed to do more ior tne urea
drawing
are
-
nearly $2.50
40 hours of
hour for some son that it has not been
work—or at least obliged to face day to day
not
a
Nor
the
are
—
employment—is
wb}cb
has
mention
^mess
nu^ face^os, of must besave
Iaid
course, a iact tnat wnen any jng
well as educational.
-■
-
of vestment
been
°muS
-and
holding"
healthy state of affairs,
us from the mis- their prime interest is land.
The stock boom of the 1950's
is the often overlooked kind of business is protected takes of the past,
that
pales by
large number of
a
with
suffer
producers
unon
thus
js
plain
rising staff that the
from
forced
nrieps
legitimately expected of it.
the
with
along
unemployed
income
dollar
fixed
a
must
ennnenrpri
sort of programs
lation.
^0C11T]X10S ^OlCl
West
about
The
fact
building
that
much desirable land
is
boosted
stocks
its
holdings
from
58.9%
of
to
common
63.3%
of
the total net assets amounting to
$106.3 million,
so
both sides
to
of the current fiscal year, it had
can
over
specu-
there
on
bonds3 and pit
from > 16.7%
•
15.3%. By the end of the first half
fortunes
the
of otoer
stocks
& So,
while
Loomis-Sayles
rea-
of the Colorado River serves to
sons these are tough times for the
of $25,- make for a brisk market and a investment fraternity,
it also
.
„.0f.
offering to the public
>w
Far
made in land and
TJ]
Q
you
ferred
^ h it
f
•
{ 000>000 Burroughs Corp. 41/2% fresh battalion of customers is calculates that more, rather than
ancJ ap the professional sinking fund debentures due July drawn daily from the East, Mid- less, equity issues are advisable
matter of no importance.,This
politicians regardless of h 1988 is being made by an un- west and South.
a shrewd
California investor
aspect
of the situation- is party, can not hope to cope derwriting group managed by
After listening to stories about noting that his state accounted
made the more disturbing by with the situation
by which
'nrWH \Tqqv^ pe°Ple ,wh° d™bled iheir m0iie/ for abou* 25% of all fund purthe
twin
facts that idigc
iiie
twin
idtib
large au.
ad- we
we are conirontea.
confronted The
favor1
s _a e p ced at 99/2% five-fold
sometimes inthea claims run to chases summed it up this way:
ine iavorpius accrued interest.
thp
W
PfEt
of
cost ot
;
q
pike-
a
as
if
comparison,
believe the stories related an
the
Loomis-Saytes
cash
frotn
1962,
1,
minded folks in New has trimmed its position in
Arizona and Southern and u. S. Government bonds
out in attempt- funds-and you soon discover that
salaried
Nov.
on
~
Mexico>
from the rigor of competition,
persons and other it invariably fails to make
elements
in
the population the sort of progress that is jDUITOUgnS bOTp.
fact
Talk to
in-r
neScourse
^ ™ Xty
of the sort that
spent at competition
vie---■
main
conciitions
an
of
cite
the
inevitably
sj
,
that amount of time
alert
h\0h
by the high
labor "
a
labor
a any
_
doctrine
all
of
these
At the
ti
same
Burroughs
is
few
a
dutifully asks
reporter
yearV a
of
span
—
ditipns to the labor force are ite
+u
nr
the
/'
,
Z
H£d
offing and the powers gentlemen is that rising un- offering its common stockholders whether bargains still abound. market
'a specific property
that
be
are
determined
to
employment and all the other the right to subscribe for 742,144 The respondent, after noting that
the factors that eo
take steps allegedly in relief economic ills from which we additional shares of common *be
3?"^
into making a decision in these
of the situation which must suffer will
yield to an adehigto tough times is a job for the'pro.,."
m the
very nature of the case quate rate of growth. All we
^ "9 1903 The subscription levels will be attained because of
m
sntLt
osI"Teten
Lul£ce"l!Zi°sl^\en%
make
matters
of better,
The.
:
1
j
.
led
the
•
studies
one
the
add
has
year
anomalous
hs-
some
of
the
most
able
progress in
knoWn to'modern
•
main
•
a
decade
by
1963- A group headed by Lehman
become
Brotbers is als0 underwriting the
•»
•
product. Now, it
lished
,
,.
tvt
fact
ployment
is
rate
estab-
an
the
unem-
and
—
The
man.
•.i:
cerned
ao
d.
not
not
or
good things of life. And
same
and
are
talking about
the
and
time
now
like.
At
have
we
had
experiencing
an
the labor force. Yet in the
face of this potential relative
shrinking in the need of
and
earners
sharp
wage
increases
0lfiV3PayiEnrZmtnnd
l"
fing, a labor monopoly
o
succeeded
keeping
in
has
wages
an
other costs of their
ices
rising,
serv-
the hours of work
tending to decline and varitypes
ous
of
tiiG
inisnC""
ing will be appiied to the reduction of current bank indebtedness,
with
the
$54,000,000
May
on
31,
auto
.uto-
—
pany> ansing
restrictions
production increasing!
on
-
^
f -!►
in-
prlmariiy from
*
of creased receivables and invenwith tories and increased fixed assets
rate
o r
representing
equipment leased to
customers.
.
As
an
,
provisions
1,
1968 and
things have been going
to
retire
increase in the volume of
all
has
but
in-
variably been accompanied or
demand
by the unions for this
that
which
add
materially to the cost of
pro-
duction
benefit
L
and
Pressure UP°W
search
what
out
On
Now
say
we
must
they 'have to
]ess
labor.
This
one
which
the
that
mrnt"
the
could
in
with
apparently been trying to
resist> but its efforts haye
brought
real
undue
been
ground
as
trol in
a
regarded
only
and
if
to
did
burden
as
so
upon
the dady
real benefit
to
a
-
based
1
Fund
Coast office.
A
the
on
'
Aug". 1 will become a partner in
.
the
member
Exchange
firm
of
S'STSS'SfaSfS
y
fellow
Maurice
of
sense
measure
of
limited ele-
T.
-land-
in
deals
man
creases
the
it
and to con-
were
the
measure
move-
who reads
anyone
press can
that
are
Freeman, President
says
flatly "the
period ahead is going to be 'tough'
conscien.
,nvestor an(J
investment
hav£
manager.
u wiu be
dQubt Qf tha(
n£)
extremely
difficult
to
/
We
protect
£e "he compart?
at its election to
o*' •:
to an additional $1,000,-
up
deemable
at
And
hag
Loomis_
accrued
securities area, with the same
kind
of conflicting forcesWell,
that Mr.
beset the land lovers?
am
a"rue
what
Sayles been doing to cope, in the
ophonaHy
preeman says his company.g in.
decreasing prices there
a?fr'
Jeem
^ust
t.^P(! ^"replus
100%
fnteTes? They^ SS
pne s o
s oc
"J,
000 of debentures ln eac^ of the
slI\kl^g
sH*-
sid%a"d thf f.eal nsks lnnherte.n'
vestment
poiicy
comprises' three
A mutual fund
owning stocks selected
quality and income
possibilities. Sold only through registered
investment dealers. Ask your dealer for
free prospectus or mail this ad to
for
ma^no^re-
ifrtoJnH t^CnJ
4.54%.
Burroughs; and
its subsidmnes
in
the oroduct on.
investment
CALVIN BULLOCK, LTD.
Established 1894
?ne^wall jtreet.^newjtork
Name
Address.
indent
in^arg^
ernmeni ouna nuiaings.
•
•
Affiliated
•
accessories and supplies, and production
of military products
-Fund
for
employes
any
A Common Stock Investment
the field of computation and con-
of
smaller
th^re
is
end to them.
no
are
Fund
seeking
possibilities
of
long-term
growth of capital
and a reasonable current income.
hardly fail trol. General offices of Burroughs
being granted
enterprises. And
sign of
also
in stocks.
Loomis-Sayles,
July
jequire^the company
$1,000,000 debentures
^
who
worries the
distribution and servicing of a
They have wide variety of business machines,
drive wage in- the manufacture and distribution
the like under of a line of business forms, office
popula- to note the unending inthat to
only in the
to
and
tries. But
cessful
a
a
it ment of wages in the larger the Armed Services of the United
all and more conspicuous indus- States Government, primarily in
sue-
brought
able
move-
the remainder of the
has
tn
of
success.
"labor
U'on. To date it has been
it
member
^ more at most than
creases
benefits
earners,
without
a
would
"successful"
wage
•
man
be
11
elements spelled out in its Janpressure is
the debentures prior to July uary reP°rt They are:
present Ad- 1, 1968 through a refunding hav(I) A basic common stock posiWashington ing an interest cost lower than tion of 60% to 65%.
do
has
mediocre
that
assume
thoughtful
any
Ford,
Exchange,
an5?ualp^'^n ^nl?Lln^ calcu^a?'e5 ^ capital against the possibility of
maturity "the provisions Author- inflationary damage on the one
doing and at
of
'
"Successful"9
Is
Boston
M
maintains/west
pro
What
SivIpq
-
S.
I OrCl
bustling Wil-
Angeles'
Boulevard,
T nomi«?
Ml
Arlvv-nf
J-0 AClffllX
James
Los
shire
employers to redeemable at 104% to July 1,1964
ways
ministration
the
increase
,,
of the
debentures become operative
production
ancj
fund
Sinking
.
"Good Times" and
Wage Costs
extraordinarily rapid increase quickly followed by increased retire
in
West-
,,
trom
,
required in the production of
the
proceeas
•
matically
to reduce the amount of labor
tire of
,
,
JNGt
quite totaling
move
'
r•
automation
AT
Tr*
the land prices ....
in the ,booming
er
possibly other phenomena
workine Passer-by. PiekinS UP a c°Py of Mitchel, Sehreiber, Watts & Co.,
technology with which we are here con- curred t0 meet lncreajecl work ng +u
—
objective of all this,
we never
inflation. However, further prob- u?i 11
QpViy»oi Vim*
almost, invariably elicits an lVlILL'IIt/Ij Ov>IlIoly"X
remark-
csrtainly one of the chief ob- total production
jectives, has all along been changes therein.
the
offering to stockholders,
1
j
that
The
share.
per
year
has
the gross national
as
1
$23.75
right to subscribe expires Aug. 5, *ng
we
,,
t
1
We have here
two
or
what
to
is'
price
that
sure
substantially
t
_
pects of the course of affairs
seem.
is to make
existing situation, known
1;
more
have to do, so these wise men
say,
events- which
the
to
:
-
-
■
more
of
trend
•ji
:-
instead
worse
An
investment
for
its
Prospectus
in Detroit.
company
shareholders
upon
request
Consolidated net sales, rentals
and
other
revenues
in
1962
taled $424,681,000 and net
was
$9,493,000.
to-
income
Lord, Abbett & Co,
.
New York
—
Atlanta
—
Chicago
—
Los Angeles
—
San Francisco
18
The Commercial and Financial Chronicle
(358)
trated in
BANK AND INSURANCE
municipal bonds and preferred and common stocks.
chases of
rate of interest earned
4.28% in
This Week
Insurance Stocks
—
COMPANY
LIFE INSURANCE
earnings
reported
for
Company, which was formed
in
writes both participating and non-participating or¬
and health
coverages through 49 states and the District of Columbia in this
country, Canada, Puerto Rico, Virgin Islands, Philippines, Guam
in the
dinary life and group life insurance as well as accident
1962 exceeded
of
end
Total life insurance in force at the
$12 billion.
the
has established an excellent reputation
company
This field has been consistently profit¬
able to the company.
195680
maining 22%
pany
has nearly doubled.
In addition to the
operating affiliates
Reliance
Life
the
life
Insurance
such
ent
premium of 76%
Company
which
duction efforts. Dr. Arthur F, Burns insists
the
insurance
industry
into
the
'
considerable factor in•
a
with
the
purchase
of
A
new
Company of New
York
ization
had
market
itself
previously
to
formed
was
million to operate solely
the
not
restrictions
underwriting and investing.
upon
ations.
'
-;/
•
Late
A-
last
in
year,
line
towards all-line insurance
90%
A
-VV
of the stock
of
with
entered
the
New
York
state
imposes
States
Insurance
affiliates is
1962
53
branch offices arid
exceeded
$52.5
over
Company.
The
well-managed fire and
a
casualty unuerwnter with ap excellent
record. Premium volume
milliojfi, obtained through th^t'company's
3,000 agents in 11 midwestern states.
It is
•anticipated that operations of the new fire and casualty affiliate
and
the
parent organization
will
become
more
closely linked in
future years.
Total
bond
holdings of $820.7 million represented 49.3%
Lincoln National's assets at
year-end 1962.
25.6%
and
additional
stocks, both
11.9%.
common
During the
and
year
SELECTED
Mortgages
preferred,
new
account for
account
purchases
of
were
for
an
concen-
explanation;
of full
criticizes
current,
and
offers
Assets
STATISTICS
_
$7,601
fringe benefits and work rules in increasing overtime rathar
than number
employed
as
well
as
and calls for
Premium
Capital
Income
Funds
Total
$1,584
$9,185
$198
$159
1.418
8,107
1,723
9,830
207
175
1,491
8,571
1,999
10,570
223
1193
1961--!
1,594
1962
8,989
1,666
9,357
PER
2,465
2,659
SHARE
Reported
Adjusted*
Earnings
Earnings
11,454
232
12,016
248
214
235
Dividends
Book
Price
Paid
Value
Range
$0.78
$31.85
$102-68
6.65
.80
35.09
102-77
.80
38.75
102-76
5.89
6.29
8.01
1962.
6.35
7.65
job
vacancies,
F.
Burns,
from
statistics
national
lack of
7.56
'
:
.85
42.73
189-90
1.00
47.08
192-105
n
o
of
i
m
Eco-
search,
dis
existed,
Re¬
c
and
a
i
o n
published
of
statistics
on
job va¬
cancies
"a
are
10 NEW YOs?iK
CITY BANKS
missing
link
in
entire
ADEN
KENYA
•
&
22368-9
Analysis
ZANZIBAR
Branches in
INDIA
•
PAKISTAN
• CEYLON •
BURMA
SOMALIA • EAST AFRICA
AND THE RHODESIAS -
ADEN
-
Dr.
Arihur
F.
Burns
individual
communities.
and
he
intelligence,
Burns, declared in
appearing
to
to what degree aggregate
or
New
Members
American
York
deficient."
of
Stock
Stock
BROADWAY. NEW
Rell
Exchange
Exchange
YORK
BArclay
Teletype
:Specialists
in
of
in
a
policy makers
to
several
unemployment,
recent
Among
years.
system
the follow¬
are
be
workers
jobs."
new
that
so
would
unemployed
ef¬
given
to
in
finding
V'
T
;
the
more
if so,
"Economics
Entitled
ment," the text
lecture
a
question
aggregate demand at
what action the government
as
in
April but has not been previously
on
ment,
job openings and setting
Dr.
says
unemploy¬
is it
Burns,
pos¬
the
provide
is failing
economy
"sufficient
to
employment
opportunities to permit, in princir
job
a
for
all
who
are
able,
lack
the
of
such
5.
212
T-X.Mio
\.
Y
571-1170
Bank
Stocks
job
vacancies,
employment
referred
not
in
might
exchange
a
of
matter
minutes, to
employee.
ployers could be served in
lar
availability
determining
unemployment
employment"
at
number
prevailing
meaning
as
of
wages
vacant
is
as
or
labor
and
market
job
search
"exnansion-
some
training."
the
causes:
to
chronic shortage
mand";
who
"the
and
attach
"more
a
of
the
less
aggregate de¬
"structuralists,"
chief
rapid piling
or
importance
u.p
to
of economic
ment,
of
ing
as
more
this
some
\
can
be
filled
in
occupations and communities
or
the
willing,
one
after
after
a
as
shortages,
well
concept
healthy
as on
on
as
well
employ¬
unemployment,
should
and
finding
trade."
own
Increases
Jobs
as
Decline
also
cites,
,-r;
deserving
as
attention, the prevalence of
time
work
dustry.
in
The
manufacturing
proportion
today is
the
great
as
of
year
of
over¬
in¬
over¬
in
as
1956, he
number
of
the
notes, al¬
of
manufac¬
As
refers
possible
to
benefit
the
tendency of fringe-
costs
to
the
total
hours
greater
rules
with
vary
number of employees
with
by
explanations he
worked,
frequency
disputes
the
rather than
when
to
and
of
work-
men
are
added and
jobs rearranged. "These
other
hypotheses require the
and
careful
most
mists," he
study
that
collective
of
some
by
econo¬
"For if it is really
says.
our
bargaining
social
legislation
tending to complicate the
un¬
employment problem, it would ibe
side
of
at
to
once
reducing
the
exoloring
dangerous
effects."
The
sion
turn
to
ways
is
text
of
to
Dr.
coming
book,
nomic
Objectives:
Problems
published
Burns'
appear
of
The
in
Nation'-;
the
Chicago Press.
forth¬
Eco¬
Roots
Achievement,
by
discus¬
the
and
to
be
University
of
.
,
.
Thomson & McKinr.on
the
To Admit to Firm
"By focus¬
opportunities
job
of
contends, would
positive assistance to policy
job
insurance
retraining
undergoing
concept of full employ¬
Dr. Burns
on
on
ment
t^an
a
can
makers in many ways.
changes, which have been creating
jobs
or
Such
be
organized
so
obtain
brief
the
that
seeking to work already has
of thought
a
is
jobs
large as
the number unemployed, and
it. He cites
to
He
well
the proper remedy for
schools
simi¬
in his article, defines
two
opposing
a
way."
the
hope
'^y
are
own
that everyone who is able,
cf
little
Overtime
Em¬
that type of
the
the
use
enlarge
ployment in their
true
need
to
to
Jean
and
in his
none
Dr.
causes
need
em¬
who
are
cause
accept
to
have
employers (outside his community
the
to
be
hours, if
list of potential
a
unwilling
opportunities for workers who
if there
"full
view,
the
unem¬
officer of an
an
against joblessness is essential, in
Burns'
"A
statistics
Structuralists
matching of job
Burns
for
their aid, an
preference to
Dr. Burns,
vs.
Dr.
ployed worker expressing his need
or
strictly
suitable work."
8%.
possibilities
With
would
turing workers has decreased
notes: "Electronic computers open
exciting
are
though
of
urging development of statis¬
on
future.
sible to know whether and to what
extent
In
tics
up
published.
List
Electronic
Job Openings
Employ¬
University
who
or
boom
Predicts
that
quit their jobs without good
time
wisely take."
and
delivered
was
Rice
at
ministration
withhold benefits from those who
in
particular time is deficient and,
can
"A need to devise ways of ad¬
identi¬
He
generation"
our
of "whether
a
current
whether,
economic sohere the
copyrighted
Public Policy of Full
our
*'
f Telephone:
policy
attention
aid
"perhaps the major policy
as
the
a
in
Dr.
determine
is
problem
Guaranty Trust Company of New
York.
as
Laird, Bissell 8 Mjeeds
Members
misinter¬
obstacle to
an
serious need to revamp
"has system
renjiarks
needed
the
system
principally
Ml
openings
when,
ists," who attribute unemployment
Available
the Government in
UGANDA
sup¬
were
job
on
equipping itself with the facts
fies
our
economic
the
Quarter Comparison
Report
to
they
data
nation,"
demand
vital
of
if over-all
job vacancies
thus far failed to take the trouble
"that
2nd
in
insurance
factual
a
on
unemployment in
"Our
re¬
Comprehen¬
sive
by
occupations
cently.
■}
if
and
ported
in
c u s s
Expansionists
MINERVA LONDON
Bankers
structuralists
and
resolved
be
on
A
Telex Nos.
expansionists
says,
willing, and seeking to work." He
Grindlays
Bank Limited
Telegraphic Address
em¬
would agree has been "exces¬
fective
Much of the debate between the
basis, Dr. Burns
Bu¬
and
BISHOPSGATE, LONDON, E.C.2
unemployment
being created in others."
could
"deplorable."
16
substantial
national statistics
calls
Head Office
full
ing:
National
pie,
"'Adjusted for increase in life insurance in
force.
National
is
on
Dr.-Arthur
stated
while
of
easily
points he mentions
compilation and dissemination of
President of
ures
$5.80
1960.
suffer
States
them against those for
4.99
1961.
unemployment
Only by having dependable fig¬
$4.65
19.9.
United
the
the
DATA
'
1958.
in
reduce
to
occa¬
it has been made
economic
aspects
"A
Efforts
many
goal
be
can
greater
sive"
comprehensive job vacancy list.
,
is
experi¬
changing world."
zens
study of
a
in
on
says.
figure
difficulty is rather that
once
rational
figure
which he says most informed citi¬
employment; recommends technical unemployment
July issue of The Morgan Guar¬
Group
useful
The
other
anty Survey, published by Morgan
-Life Insurance in Force-
Ordinary
1,357
this
grounded
be
numerical
give
his,
effect of
article
(000,000)
Admitted
contrary,
to
4%
arbitrary," he
that economists and
will not know whether
we
changes and training programs;
reau
industry's trend
underwriting, Lincoln purchased
American
latter organization with its
in
oper¬
•!.//.
insurance
Council's
pres¬
weak¬
'
that
affiliate has attained
new
i
the
$5
The parent organ¬
which
The
capital of
$46 million in life insurance in force in its two years of
over
'
with
1960
in New York State.
deliberately
avoid
in
the
the
crucial
In addition to better
job-open¬
ing statistics, Dr. Burns suggests
re¬
benefits
a
subsidiary, Lincoln National Life Insurance
the
official,
majority interest in Dominion Life Insurance Company of Water¬
loo, Ontario.
of
ployment,
"expansionist" or the "structuralist" schools offer the correct
definition
acquired
merged
was
availability data for marring unemployment
Ad¬
unemployment,
used by
"The
sufficiently
uncertain terms, former Council of Economic Advisers Chairman
no
Chairman
Economic
of
Council.
"On
com¬
parent company, Lincoln National has four
company
level
the 4%
as
ness
Unemployment-Reduction Efforts
In
Fall
was
of
preted and become
causal-solutional
In 1951, the
who
is not that it is
Failure to List Job Vacancies Mars
the books.
on
In 1957, Lincoln became
Canadian
Life
the stock is selling at approximately 20 times
blames lack of job
policy
define/full
any
500% while the ordinary busi¬
subsidiaries.
Insurance
parent in 1953.
i
or
National
Present
Council
sions.
Non-participating business accounts for
88.7% of the total life insurance
of public
visers from 1953 to 1956, criticizes
the approach that
em¬
ployment in terms of a given per¬
ence
period, the amount of group business
the books has increased nearly
ness
•
that 10 year
Burns,
the
centage
Lincoln
per¬
economy."
Dr.
year-end 1962 adjusted book value of $95.82.
over
life lines until the past
major writer of group
a
Over
The
industrial life insurance is written.
as no
not
was
decade.
on
present price,
Group insurance accounts for the re¬
ordinary business.
the
estimated adjusted earnings for the year and at a
Approximately 78% of the company's insurance in force rep¬
resents
of
our
of
single
a
for individuals previously consid¬
new coverages
many
ered to be non-insurable.
by
In the latter area, Lincoln National
suring of sub-standard risks.
pioneered
pre¬
The pre¬
Company is currently selling at $163 V2 bid in the over-the-counter
market, near the top of its range for the year of $165 V2-146. At
within
the life insurance industry with a long record of growth and
profitability over the years. In addition to regular coverages, the
company is a leader in the field of life reinsurance and the in¬
The
stock
common
in
Employment Concept
present .year.
The
students
Criticizes
It is expected that the company's
earnings, both adjusted and non-adjusted, «will reach new highs
The company
and the Panama Canal Zone.
inflated
was
life
alert to structural problems
due to
large group inurance policy..
writers of life insurance.
1905, is one of the, nation's largest
life insurance business
of
economic
Moreover, it should help
make
during the
Total adjusted earnings actually trailed those of the
vious year's new
to
only
were
of
Rising invest¬
year.
vious year because of a decline in new business written.
The Lincoln National Life Insurance
Thursday, July 25, 1963
more
earnings were offset by lower underwriting results
year.
|
1962
.
aspects
to'
rose
.
spective.
year.
higher mortality rate experienced by the company
a
LINCOLN NATIONAL
National's
in the previous
Pur¬
The net
investment portfolio
entire
slightly higher than those of the previous
ment
THE
the
on
1962 compared with 4.15%
Lincoln
STOCKS
stocks exceeded sales by $8.4 million.
common
.
hsln to keep
Effective Aug.
diville
will
Thomson &
way.
1, Robert A. Prin-
become
a
partner in
McKinnon,
2 Broad¬
New York City, mem ers of
pathological The New York Stock Exehcnge." *
Volume
Number
198
6284
,
.The Commercial and Financial Chronicle
.
19
(359)
improved
507° Natural Gas Growth
ciation,
spend
Over 1962 Seen
by 1972
is taken that the veil of
gas-burning
unc:rtainty beclouding the industry's pric¬
healthy
unworried
for
in the natural gas indus¬
the
since
system,
Trust
months
when
heating
is
its
current
monthly publication.
According
Bank's
Comment
"total sales
July,
distribution
Chicago
the
to
Business
for
natural
of
companies
gas
reached
new
record levels in 1962, con¬
tinuing the steady postwar growth
in
natural
utilization. Meas¬
gas
ured in units of
timate
heat, sales to ul¬
while
1961,
advanced
6.1 %
rose
consumers
operating
7.3%
to
from
revenues
$6.1
billion.
Last year's gains were somewhat
below
the past
over
and
annual
decade, when
revenues
7%
and
large
12%, respectively.
rapid
though
of
distribution
in
gas
also
was
charged.
customers
reached
a
The
primarily
gains
there
trend in rates
gas
in
revenues
company
ber
usage
expanded at rates of
expansion
flects
increases
average
major
On
ers.
last
winter,
ter
of
all
customers
ground
age
areas
coal
1962 the
pools
and
of
also
several
dustry— producing,
distribution
benefited
natural
factor
been
the
this
ade,
An
rapid
increasing
of
important
growth
has
number
of
for
gas
heating. Over the past dec¬
the
number
of
million
while
to
the
dential
house-
gas
heating customers has
11
have
—
custbmersi using natural
home
and
expansion
usage.
gas
the
pipeline
companies
from
in
of the in¬
grown from
nearly
23
proportion
of
million,
all
resi¬
customers
using
gas
risen
from
47%
heating
has
for
to
72%.
To provide for the growing
demand for gas from all types of
customers, pipeline and distribu¬
tion
companies
billion
ment
for
1962
construction
totaled
has
provided
expansion
In
usage.
proven
creased
by
6
trillion
natural
feet.
The
brought total
273.8 trillion cubic
in¬
cubic^feet,
production
cubic
1962
for
were
trillion
despite record
in
basis
1962, for example,
reserves
of
13.7
increase
reserves
feet,
a new
to
all-
time high.
Relating this figure to
production indicates"" a 20-
.1962
supply.
year
fields
gas
revisions
of
of
reserves
gest
Discoveries
and
that
periodic
previous
in
known
estimates
gas
supply
will last many more
years.
supplies of
from
ing
gas
are
Canada and
drawn
to
upon
Large
also available
are
already be¬
supplement
domestic production. Research ef¬
forts
gas
to
produce
from
promise
coal
of
pipeline-quality
or
oil
being
shale
and
of
lines
vested
give
economically
In
tlement
pending for
of
in
1962
"The
Vise
of
Important
industry is expanding the
underground
gas
storage
pools
near
kets.
Storage pools permit maxi¬
major consuming
mar¬
position to
provide
portion
the
of
nues and
and in
the
these
1962,
involving
revenues,
most
be
in
more
of
expected
are
the
to
in
preme
Court
May
when
majority
"disagreement
The
gas sold by
in
development
1963
FPC method of
wellhead.
with
on
graphic basis,
rather
an
individual
cost
of
In
the
new
for
and
FPC
to
cases, l as
well
fectively
with
sets
calator
tracts
clauses
in
between
yet
indefinite
producers
are
insurance
mals,
"With
most
by
natural
placing
of
areas
gas,
greater
the
in
to
be
the
on
lives
horses,
race horses and
pedigreed
■
cattle.
-f'v ^
The
company
use
served
industry .is
Electric
El
in
this
capital
stock
offering
investment
subsidiary, Livestock &
Co.,
New
a
its;
in
Casualty
York
cor¬
poration.
The
offerings
v
Paso
18
of
and
company
are
James
and
-
N.
irector,
President,
Director,
long.
El
the
on
Paso,
the
Mexican
in Texas,
and
economy
but also has diversified
to
Latin
America
million dollar
for
multi-
a
export-import busi¬
ness,
it is
a
lines
and
other transportation.
is also
with
the
New
and
Year's)
thousands
of
international
Paso has
maker
of
U.
and
S.
the
largest
clothing
the
in
has
area
Paso
which
the
large
cotton, prorlucaver¬
including the world-
is
the
of El
staple
SuPima.
operating
head¬
Paso Natural
supplies gas to
11
Gas,
western
southwest's
largest
well
as
smelters.
re¬
large
copper
ranches,
stock¬
as
Cattle
oil
of
tee,
Vice
Monroe
-
vide
for
substantial
Smaller firms
Joel
their
Schenker,
T.
and
are
payrolls.
making the city
home, increasing the diver¬
sification
of
industry.
The
com¬
36%
resi¬
P.
Sullivan,
pany's
Executive
Commit¬
dential, 31% commercial, 10% in¬
President
Director,
Chapin,
\
Direc¬
and
Secretary
Edward
Arcaro,
revenues
dustrial
and
are
23%
public agencies
miscellaneous.
and
Summer
conditioning and irrigation
ing loads
air-
pump¬
important.
are
Extensive
are
Davis,
Kline,
Director,
Ray
Director, I Albert
W.
Parker,
Hendricks Young,
favorable
tors.
The
It
area.
is
Sands
40-mile
a
centration
completion
of the
offer¬
fac¬
Missile
of
the
wide
most
con¬
accurate
world, and while operated by the
Army is also
ing, it is expected that the follow¬
ernment
dustrial
addi.ional
will
persons
be
to
the
board
Elizabeth
directors:
of
Whitney
Tip-
Herbert
Palestine,
Charles
de¬
Plohn, Bruce R. Tuttle, and Theo¬
new
and
dore
Goodman.
-
;
"
generating
fuel
only
with
one
about
the
67%
cost.
virtually
requirements,
power
to
now
required).
hydro
Federal
conditions,
Grande
Government's
Development.
pany's
two
steam
plants
capability of 431,000
ing
a
90,000
kw
being
completed.
Construction
outlays
Will
approximate
cur¬
this
year
million
$3
a
includ¬
unit
new
budgeted at $6.3
com¬
have
kw,
rently
are
Rio
The
and
million
in
1964, $10 million in 1965, $8 mil¬
in
1966
million
in
interest
(when
be
may
1967.
The
in
1965,
$4
credit
for
is
approximate
this year, $31,000
new
and
construction
on
to
another
installed)
ex¬
$273,000
in 1964, $256,000
$341,000
in
1966
and
$30,000 in 1967. The
company
not
permanent fi¬
plan to do
nancing in
it
sold
any
1963
1964.
or
does
In June
privately 40,000 shares
of
$4.56 preferred stock to retire the
amount
same
shares,
higher dividend
about
$33,000
a
annually.
year
El
of
saving
Electric's
Paso
have
share
earnings
per
than doubled
more
in
the past decade, from 46 cents in
1952
to
95
1962
and
for 1963. If
should
summer
would
in
cents
estimated $1.05
increase
prevail,
demands
ing giving
to
common
The
stock
cently
ket
in
further
some
stock
has
the
around
26
this
for
conditioning and irrigation
an
hot
a
air-
pump¬
impetus
earnings.
been
quoted
over-counter
bid.
At
this
re¬
mar¬
price,
the 66 cents current dividend rate
Based
the 12
afford
on
yield
a
of
the earnings of
months ended
2.5%,
$1.01 for
May 31, the
price-earnings ratio is 25.7.
is
the
agencies
them.
site
in
but
it
and
It
the
is
the
is
their
in¬
Historically,
(established in 1945)
birthplace
and
Burns V.-P. of
E. F. Hutton Co.
used by other gov¬
contractors.
White Sands
arms
pett,
load-building
White
while
increased
in
an
required
were
are
of
by
Range is in the company's service
ing
Miry
military installations
data-gathering instruments in the
Director.
Upon
the
would
Director, Melville Alexander, Jr.,
cost
own
pected
become
cotton
extra-long
quarters
the
11,000
around
efficiency
kwh,
one
subject
unit
ing three times the national
El
but
lion
across
to
decade, this
additional power is available from
at¬
bridge.
fuel
as
offset
compared
as
its
persons.
also interested in the
are
mcf
past
The company produces
Carnival 1 (between
Sun
Christmas
El
It
guide¬
gas
generatng
than
all
central point for air¬
weUrknown resort center
a
uses
plants,
partially
in
increase
is the
thriving ranch and farm
and
uses
the
generate
less
largest
border
a
Pollock, Presi¬
Treasurer
Joseph
Chairman
True
to
along the Rio Grande
di¬
as
been
28%
miles
account
depreciation,
credit
(in 1954, 14,000 btu
as
belt about 224
plant
company
rapid
per
in
three-quarters is in metro¬
fineries
the
cents
cents
about
the
officers
Jay B. Rappaport, Chairman of
dent
18
the
a
rate
result¬
a
and
while the cost has increased from
has
Valley, in
the
as
generating
Thus
located
favor¬
a
accounting with tax
company
its
increase
yards, and packing facilities pro¬
-Vice
The
in
kwh
River
a
a
being normalized.
has
area
net
from
which
of
has
and
annually.
enjoys
The
investment
lines
states, and it also contains two of
executive
Board,
savings
the
400,000
served
million
on
conservative
some
is
firings
It
15,000
value
7-7Vi%.
elec¬
of
over
fair
return
of
other
serves
and
test
year.
permitted, with
'1
the business is in Texas and 20%
in New Mexico. A population of
famed
a
divi¬
communities in Texas, as well
22 in New Mexico. About
80%
proceeds from
on
emphasis
Paso
age per acre,
con¬
nation's
now
El
tricity
approximately $800,000 of the net
as
2-for-l
is
ing
1947
stock
"rights"
fields of irrigated
to
proposes
$100
30
ani¬
of
thoroughbred
Uses
the
veloping and promoting
expected
are
particularly
elected
metropolitan
or
Director, John
have judicial approval.
New
laws
es¬
and
four
payroll
general,
of
into
in
three
6%%
a
1
insurance tracting
an
rector, Sol W. Canto, Director, W.
purchase
for
State
as
In
pipelines, although this step does
not
York
ef¬
has pro¬
of
organized
was
1961,
Piatt
more
the cost of gas, the FPC
use
a
cases.
stabilize
been
splits,
the fifth largest
Director, George C. Boddiger, Di¬
to
hibited' the
of
and
rate
have
public
stock.
city
engaged principally in the writing
all
cur¬
the
of
base
7^%
decade.
came
city of Juarez, Mexico,
al¬
the
of
first
aries
in
deal
effort
an
hands
and
is
gain
past
Tourists
should
gas
future
York,
of 26
basis.
producer
as
recent
on
stock
personnel
of
of
each
regulatory climate, with mu¬
nicipal regulation in ~ TeX-as. In
be¬
Earnings
average
the
holding company, and its subsidi¬
tor,
reduce
of
geo¬
policy
prices
backlog
now
or
than
areas;
another
will
service
producing
the
price of
through
Financial
New
follows:
area
maximum
rent
under
the
wholesale
commerce
New
rectors
new
stock
ELY
able
gain
politan El Paso. The service
share.
indicated
independent producers
interstate
low
oc¬
Su¬
a
priving gas at the
be determined
effect,
the
offering of 200,000 shares
a
Insurance
future.
near
of
an
in
the
dend
annual
thousands
missions
El Paso Electric
stocks
company
revenues.
8%
Since
growth
in kwh sales and
in
shown
nearly
far
underwriter, is making the light industry. Being the gateway
November
the
approximately
recent
curred
no
of
industry.
gas to
Of
consumer.
$150 million of contingent annual
A
for healthy
segments
common
$5
St.,
im¬
firm basis
on a
have
not
average
9%
and
potential
require¬
energy
all
Livestock
reve¬
pending at the end
settled
a
significant
a
prospects
of
sole
at
Set¬
was
reducing the cost of
still
in
regulatory climate in¬
the
public
that
cases
eases
earnings
ultimate
cases
is
gas
of our growing
economy.
addition, the recent improve¬
Corp.
the
years.
placing pipeline
Research
Pools
natural
new
initial sale of Livestock Financial
in
feasible when needed.
Storage
year,
prices "charged
gas
backlog of pipeline rate
portant
higher
to
being made stock
reserves
OWEN
Company
many
of
decade
past
The
area.
one
over-counter
other
an
more
there
as
made
considerable
reducing the large
in
been
50%
8
the
growth
this
of
that
annual
utilities, but its
market status
a
that
or
in
further
hub of
Commission.
pipelines.
(Commission
had
sales
Charles Plohn & Co., New York,
interstate
is
Power
over
progress
than
Common Offered
Supreme Court ruling in
new
u.p\vard
fields sug¬
nation's
the
of
supervision
control
interstate
phys¬
State
au¬
low
with
$2,2 million is
given
stock
is
by independent producers to the
finding
of
by
of
growth
its
have
of
Financial Corp.
are
Electric
showing
problems.
municipal
and
plies presently available, and
1954, the FPC also has had juris¬
diction
gas
Livestock
im¬
the
by
in
the
while
Federal
a
and
rapid
the
creases
solution
companies
or
transmission
Since
com¬
in
ment in the
reserves
the
primarily
regulatory
the
experi¬
several
engines
gas
more
growth
regulatory
thorities,
by
as
than in 1962. With the large sup¬
In
of
Paso
the smaller Texas
ments
states
21
industry's
distribution
expen¬
achieved
companies
continued
In
$1.7 billion.
success
producing
net
$15.6
plant and equip¬
new
alone
"The
gas
spent
during the past decade.
ditures
gas
have
with
be
each
of
capacity
in
the
of
regulated
and
source,
work
gas
Regulatory Problems
on
Commissions
three segments
in
reservoir
being made
Local
Three Major Segments of Industry
energy
using natural
additions to
storage capacity, progress is
portant
"All
com¬
end
the
Along with growth in
num¬
earlier.
the
natural gas
Progress
gain
year
At
operation
total
of
a
some
El
in¬
area
gas
3.5 billion cubic feet.
natural
33.1
fuel cells
will
industry had 258 storage
in
with
mines.
this
Other
estimates that by 1971 the
ical volume of natural
demand
oil and gas fields, and even aban¬
doned
industry.
in
E! Paso Electric
both
Optimistic Prognosis
located in natural
are
for
BY
air
"The American Gas Association
panies the proportion was much
higher, for others less. These stor¬
million at the end of 1962, a 2.5%
over
for
equipment
and
on
heating custom¬
storage;
heating and
as
SECURITIES
ap¬
pipeline
drawn from under¬
was
gas
electricity.
to
much as one-quar¬
supplied to utility
as
gas
on
turbines for on-site generation of
additional
of peak
days
yaer
revenues
during periods of heavy de¬
mand from space
PUBLIC UTILITY
These include
existing
activities
panies
space
available
normal
the
to
industry-sponsored research
mental
re¬
rising
The
high
new
flow
then
is
summer
for
These
low.
supplement
the
demand
are
pipeline
storage
usage,
a
using
supplies
for
during
transported
in
the
of
gas
try id confirmed by The Northern
Company
home
clude
utilization
mum
programs.
of
plans
this
conditioning units, as well as the
development of completely new
Note
supplying country's energy needs.
growth
product.
industry
pliances su'clr
ing procedure has been lifted and that there has been no letup in
Prospects
its
million
improvement
industry covers growth of, and prospects for, sales, revenues, proven
and economically feasible coal and oil derived gas.
the
$3.5
research
incisive, complata yet brief review of all segments of the natural gas
reserves,
for
uses
Through the American Gas Asso¬
of
not
only
western
also
our
missiles
the
nuclear
that
the
carry
largest
hemisphere,
busiest,
with
Effective
III
will
of
E. F.
1
Chase
York
Aug. 1, James F. Burns
a
Vice-President
Hutton &
Company, Inc.,
become
Manhattan
City, members
Plaza,
York Stock Exchange.
is
in charge
partment.
New"
of the New
Mr. Burns
of the Syndcate De¬
'
20
The Commercial and Financial Chronicle
(360)
to set up
SECURITY SALESMAN'S
ability
.
.
at
insure
you''
Municipal Bond Trends
future.
Duome V.-P. of
"You Owe It to Yourself"
that have a quality record of past
salesman who makes
that
costly
are
to build a sue-
But the only way
set
clientele
investment
cessful
unavoidable,
are
is to
plan of procedure that will
a
avoidable
errors,
The investment business is
rapidly
eliminate
Teaching
many
point where investment
a
will
than
sell
most
successful
rather
clients
counsel
men
securities.
In
registered
in
Arrive at an understanding with
take your clients. Let them know that
make
recommendation
a
to
this objective has many turns and
a
rela¬
executive.
served
as
manager
of
chemical pub¬
Joseph J. Duome
relations
lic
Pfizer
chas.
for
&
also
He
Co.
with the Journal
years
and
in
of
problems
area
efforts
the
on
part
authorities and
and local
citizens
to
general
render
effective the instruments
more
of
people. When this is the prime
vw
objective,
help clients to
V. When you
their portfolios in such
age
that
ner
they
well
are
it
that
man-
a man-
are
satisfied
help
is
will
become
in building
factor
Here
are
.income
Steps
that
the
in
be helpful
can
clients
positive
,
ac-
sired
responsibility
may
strengthening
of
state
and
their
emerging
local
a
capacity
entities
and
to
meet
increasingly
President
nomic
Kennedy
report
has
1963,
fiscal
in the
the
of
transmitted to the
eco¬
President
of
state
a
in doubt
garding the intermediate,
not
are
as
for. granted.
re-
Go
Take nothing
client's
over your
long
objectives regularly. Restate them
term outlook for the stock market
when you are discussing the pur-
the
(or
market)
bond
caution.
or
Do not go
out
on a
advise
chase
limb—
talk
but counsel your
clients to take
waiting position.
There cannot be
definite
a
ters.
a
approach to such mat-
But if you are
sincerely
con-
thpP^flm,terr
+'
your client,
sale of
or
down
make
to
too
appear
"The
security.
a
(or
anyone;
try
to
to
that
what
is
you
also
is
often
dear
to
'clients.
Your
own
is
success
dependent
Sometimes, it
investment
advisable to sug-
or
^
(2)
r ger
Never
recommend
a
new
customers
in
achieving
goals.
You
studied
the
company s
Federal
budget
is
defense
requirements laid
ord of the stock.
fied
that
both
counts
their
portfolio.
the
cities,
school districts,
of
local
vestment
.
even
.
to
cus-
praisal
your
make
be
statements
docs
not
an in-
meet
the
.
keep
.
financing, direct lending to con-
refrain from
impulsive decisions
.
.
.
capital.
other
your eyes and ear*
to
all
remember
sumers on
„
that
credit
income
stocks
(3)
.
are
the
income
business.
the
on
of the
part
are
If
wrong
trains.
invest-
(4)
Be
you
track—change
L.
w-'..'
selective
be
truths
taken
and
liter-
ally.
think
you
half
sometimes cannot
Correct mistakes promptly.
Mistakes
ment
for
the formula.
is
only
real world.
not
playing
regulations in
you
book
hard
by
considering
are
common
Be
hard
boiled
stocks for inclusion in the invest-
ent's capital.
ment portfolios of clients.
to
iness
who
in
is
no
run
better
it.
than
the
Sometimes
management
A bus-
a
men
change
remake
can
■
a
•
company.
Be
aware
of
this
pos-r
a
the
states,
and
other
are
situation, and
a
poor
tinue
how
business that has had
record in the past will
to
drag its ■ feet,
many
excuses
no
con-
matter
management
Will make to stockholders.
(5) Recommend
common stocks
you
like
you
believe
But
worjj
your
at
y0ur
clients.
job
and
Those who
intelligent will work with
your
you
want
are
and
results should be gratifying
to you both over the years.
waste
your
time
on
Don't
clients
something for nothing,
pect too miich, or who
general.
summer
new
de¬
and better educa¬
ancient
problems
of
of
xxt
of
responsibilities,
state
has
ex¬
panded 243% since 1948—in
con¬
and
expenditures
to
166%
for
Federal
the
—in contrast to
18% for the Fed¬
are
who
ex-
Volume
Record
Tremendous
of
types
have
of
public
necessitated
last
the
new
of
Financing
demands
municipal
for
all
improvements
record
volumes
financing.
During
decade
total
long
term
issues of state and local gov¬
have
ranged
between
$5,400,000,000 in 1956 and $8,500,in
amount
of bonds
risen from
to
unable
of
down
Yields
tend¬
are
selec¬
are more
price
cutting
a
is
Could this be the usual
Is it the law
the level of the market?
concern
tax cut?
over a
beginning
tighten?.
to
Is there
Is money
Probably
all of these factors and others
have
bearing
some
Future
too,
the market.
on
in
over
sold
through
If
new
bonds
this
were
throughout
would produce a record
in
it
1963,
breaking
of
excess
$10
A.
G.
-t
p
has
produced
some
inter¬
W 3,0.6 & 00
rr»
111
i
The
Officers
of
are
Roose
&
George A.
bond
dealers
breaking
handling of the
1962-63
volume
municipal bond issues
new
the
relatively
tion of
at
attractive borrow¬
ing rates accorded the issuers
been due
formerly
Mr.
Vice-Presi-
dent of Stranahan, Harris & Com-
indicate,
so
$13%
some
ing back to prior bond
of
the
of
the
market
will
plus
billion
elections,
a
largely to the
has
liberaliza¬
regulation by the Federal
reflect
uncertainties
tending to rise.
some
with
Should
rates
there be
quickening of the business pulse
if
and
sion
should be in
money
supply
rest assured the
—
of bank
particularly
to meet
1963
short
expan¬
holdings of munici¬
will slow to
pal bonds
if funds
a
halt
—
needed
are
rising loan demand and
a
cease
to gro\ir
as
they have in the 1962-
period to date.
As many banks
have
increased
their holdings of municipal bonds
the
in
10
creased
to
20
year
demands
necessitate
the sale of government
some
obligations
this I would
pressure
could
liquidation
some
Obviously,
in¬
range,
for funds
funds could not be raised
if
through
securities,
and
cash.
result
in
the market for
on
longer maturities, giving effect to
higher yields.
Having
some
established
financing
government,
there
that
problems
reviewed
of
the
growth in total debt and the in¬
creasing
annual
volume
of
new
issues and conjectured on relative
future costs
of
discuss
of the current devel¬
some
in
opments
which
many
cials.
borrowing,
municipal
nancing which
are
should
state
bond
us
fi¬
significant and
touch
and
let
base
municipal
with
offi¬
The subjects are net neces¬
Reserve
System
raising the per¬
sarily in the order of importance,
missible
interest
payment ceiling
but
are
Roose, Chairman of the Board, and by commercial banks on time de¬
George S. Wade, President.
con¬
authorized, but unsold bonds, dat¬
to
orderly secondary mar¬
successful
record
.
investment business
municipal
kets for outstanding bond issues.
n
OlGflO
l
Suffice to say it has
discuss later.
maintain
r\
that
will
record pace. Bond
a
results
fact
maturing
esting developments which I will
°
election
So
continues
pace
May.
volume
tinue to be at
Probably the
issues
new
as
$4,500,000,000
continue
to
of
rapidly
the
with
volume
the
look forward to in
ahead?
the months
outstanding has
$32,400,000,000 in 1953
1963,
Borrowing Conjectures
can we
deposits
®
has 136611 formed to continue the
pany.
3.16%.
offerings show about
if time
the
$80,000,000,000 in 1962.
over
far
1962,
issues
Company, Toledo Trust Building,
was
to
slowing
a
total
while
000,000
of
Wade
a
Currently
remain unsold. However, the level
eral Government."
announced
through
.
Company.
be
adjustment?
What
This heavy volume of new bond
'
,
a
to
supply and demand equalizing
society.
total
billion.
your
work
has
r-
acceptance,
age
gov¬
■
Inc.
£ OriHGQ
February
climbed
50%
mushrooming
meet these
physical
Never TOLEDO, Ohio—Roose, Wade &
^ep°Jerr£?Si^V®'
Never.°Ye1r"s1f111,
Never try to pose
as
mfallable.
.
a
When
has
new
local
XvOOSG,
index
in April.
tive,
pact of new items being added to
the bond
sale calendar and
to
cli-
in
ing to rise, buyers
are
your
3.18%
to
the utmost, to meet the daily im¬
-p
the
So
interesting to note that the
pears
taxed
1978,
When in doubt take
sidelines.
urban
annual
ad sold Prlvately $2,000,-
& Co.
1963,
to
rose
stable, ranging from
investor interest.
due
Becker
1962, to
In the last few weeks there ap¬
000 of junior subordinated notes
timing is right, then act.
ability but remember than only with
too often
with
of
combat
and
•
1,
January,
yield (percent) (highest price)
not
vestigation of the available facts,
you
accident
and* automobile
May
bond
20
since mid-1958.
will
very
"Leopards
your
It is
tha
to make sound decisions
Buyer's
in
during
the
seldom change their spots," when
recommendations.
in
far
you
-
that "net
3.05% by the end of the year.
All
if you accept statements literally
without a thorough study and in-
very
3.37%
line
games.
the
writes
it
ThTVn^TnvLi™
When you
put your money on the
help
v
a
credit
life,
,.
.
commercial fi-
addition
.
,
This is
are
health,
~
,
cured notes' a
stocks for those who
are
both securecl and unse-
.
In
from
index
government
more
ernments
Chicago
Inc
wnib^ added to wo*-
ranitai
naming.
minded; this
1963.
6,
expire Aug.
Interstate, a Kansas City-based
firm, is engaged primarily in sales
ap-
by
pleadings of
or
0
that many statements are released
them,
of record July 22.
group
Proceeds
;
in¬
during
municipal bonds declined
the
local
share,
per
the
objective
an
it.
objective of the customer. Growth
can use
shares, at $7
the basis of one new share for
determi-
own
side-tracked
placfe.£or it.in PeopleKfeP
open.
try
Never offer
that
more
dur¬
of
continued
evidence
Bond
of 3.06%
to
right
& Co
lot of hard work
a
mands for
additional 173,433
an
Becker
It takes
to
it
the
stockholders
times.
nation
offer
Estate Securities Co. is offer-
will
The
index of
low
Government; their debts by 334%
V
V-
-
:
a
If you are satis-
then
v
.
ten
allow
on
TV) StOOkhOlClSTS
Rights
rate
tinue to be made.
and
more
trast
Th! byoffering is" being
underwritheaded by A. G.
Never
qualifies
to
t0 be Very Careful °f the
rec-
stock
it
is
of
and
upon our
units
ernment
-Pnvn rire
each four held
there
high
vital tasks at home, but, the fiscal
the
lXl§niS Ullvpling
on
not
the
1862-63 level represented the low¬
World
Free
"To
recommendations you make at all
.
performance, and the market
realistic
owe
wf-XudlerrSoWs Dya°sUt
investmey
past t0 bUildHan
and
to
have
i
common
While
has
crease
recreational and cultural needs of
^vLUI lUC/O
its
than $4,400,000,000
est
QppilT»l'Hpc; P.D
in
1962.
pressed by urgent responsibilities
an
1
were
physical and mental health; of the
.
subscribe for
Up0n the Pr°Sress made by y°ur
oteSaf "la
larger Accounts
accounts.
y
-
.
Interstate
Never
place the facts before
n
T
pur¬
for
to
—
well. informed)a but
certain
obvious
your
vmced that there may be a better
is
a
.
professional
as
security salesmen.
are
of this.
group
informed
Island Advertising
Lcmg
more
ing
the
local governments in this manner:
Duome is a member of cities; of continuing shift to
Fjnancial Writers' Association modes of transportation; of
the
ing
more
emphasized
yearg#
and
into
heavy
municipal bonds
been
Congress, Janu¬
requirements
three distribution;
for
program
deposits
2.98% during October and
capital and Long Island Public Relations tion; of problems of crime and
Many Associations,
delinquency; of new opportunities
for
growth.
aware
as
out-r
radio
Extra
of
time
system,
made by commercial banks total¬
of
burdens."
heavy
ary,
require
the
associate editor of the Sports especially at both ends of the
an
traders, large security buyers, and
objective.
(1) When you
»'
not
are
wen
also
opportunity
Investors
complishing this much to be de-
realize
securities
and
enhancement and
business,
your
of
some
seldom
very
generous,
important
an
to
available that offer steady and
with results, referrals to other ac- standing
counts
them
chases
of
1963,
pressing.
It is here
client to do?" If it is, then a temporary shrinkage in assets of Commerce as assistant to the
If not, don't advise it. may be unavoidable.
Income is chemical editor and then techni- that the first impacts fall — of
That is step number one.
often of major importance to some caj e(jjtor Prior to that he -ivas rapidly expanding populations,
linger, view
banking
additions of municipal bonds con¬
sharing of governmental
ahead.
T.
influx
A proper
even
for my
go
the
the
government located close to home.
Previously, he
detours. There will be times when spent six
customer, "Is this the best thing
state
1
the emergence
a
as
account
tions
you
ever
1956
public
want them to increase their
suggested to a client that is not capital as much as they desire it,
thoroughly considered from the but you must also confer with
standpoint of his welfare. If you them regularly. Help them to unwant to avoid mistakes, ask your- derstand that the road you both
self this question every time you must take in order to accomplish
is
Nothing
approach.
this
regional
require
of
joined AF-GL
,
repre-
sentatives and salesmen now
new
will
of
Work With Clients
the
fact,
AF-GL Agency
a
others, but also to his own future,
mistakes
investment and
likely position to continue im- Eiection of Joseph J. Duome as
proving disbursements to stock- Vice-President of Albert Frankholders because of aggressive Guenther Law, Inc., has been anmanagement policies. As a gen- n0unced by John V. McAdams,
President of
eral rule, avoid non-dividend paythe national
ers, unless it is an ultra special
a d v ertising
situation, with other affirmative
and public re¬
factors that indicate a possible,
lations agency.
and very near term, change in the
Mr.
Duome
outlook,
clients, will find that those mistakes can be harmful not only to
Some
that are in
his income production, and
to
Thursday, July 25, 1963
you
will
will
you
If
business
Continued from page
mistakes
.
are rea¬
them.
your
.
and
grow
DUTTON
achieve
to
this
own
The security
.
sonable and in keeping with their
do
BY JOHN
objectives that
.
Current Developments in
posits to 4%.
Banks'
nni)
Municipal Bond Financing
Heavy
To meet the
tn
presented at random.
Purchases
(A)
QzlortHO+olw OTVCnln\7
Credit Trends
I think
higher cost of time
a
it appropriate to repeat
portion of
an
article appearing
198
Volume
in the Bond Buyer,
Number
6284
Bond
Potential
the
of
lems
Financing
Sixties"
Soaring
which I stated:
"The
attention
in
great deal more
a
the
on
bankers
conceivably
invest¬
of
part
which
and
number
the
become
could
problem of the sixties, is the
one
local
of such
officials
little
A
of
long period of
had
taken
r
payment,
of
the
sting
that
a
so
precedented
long
an
almost un¬
of
municipal
crop
defaults, has taught municipal of¬
FOr the last two
little
cern
as
was
of
the
and
a
weakness
such
ward
swing of the business cycle
able
been
States
tax
finance
undue
and
of
subdivisions
to
without
their
strain
revenue
financ¬
in little evidence.
bond
them
made
perience."
It is
happen again.
strengthened
of
about
the
local
growing
debt
will
volume
disclose
that
for
well
a
may
and
playing
affairs
placement of antiquated and out¬
and
the
moded
button"
borrowers.
facilities, public improve¬
of
needs
lation,
increased
services
new
popu¬
and
the
creation of many new taxing and
revenue
producing public entities
cannot
continue
and
a
during
do
of
source
state
and
which
revenues
the
bridge the
recessionary
and
property taxes
periods.
capacity
to
the
not
are
Let
"While several
provide
states have had
revenue
new
raise others
balanced
in
nating
anticipated
units
of
order to pro¬
an
or
elimi¬
surpluses.
government
available
have
sources
budgets—demands
continue high, reducing
enue
sources
even
more
with
of
"Pressures
for
the
on
disapproval
one
which
weakness.
tend
hand
other
toward
Forms
of
lease-pur¬
non-
and
Federal loans outside of local debt
typical methods of cir¬
are
cumventing normal bond financ¬
ing procedures."
Having
banking
career
my
in
investment
1929,
my
ex¬
periences during the 30's in deal¬
ing with municipal defaults have
left
some
vivid memories.
very
illustrate this
from
quote
A.
I
M.
would
like
Hillhouse's
book entitled Municipal Bonds
A Century
of
Experience,
lished
in
—
pub¬
1936:
"Until
the
the
to
railroad
past.
subsidies
Defaults
and
somehow
had
become inseparably connected,
and
assigned together to the
were
realm
of
present
bond
with
plicit
forgotten
generation
men
a
and
limbos.
of
The
municipal
investors grew up
genuinely honest and im¬
faith
in
the
Gibraltar-ljike
character of 'municipals.' Pre-de-
pression
bond
literature
of
left
to
cities
our
to
trine
good look where
a
that
think
so
seriously
not
repeat
of
impact there will be
V
I
am
are
all
decision
heads
aware
handed
reaches
case
Company
highest court. At
our
best the market could be unsettled
the
be
worst
subjected
by
those
their
to
market
severe
attempting
holdings
in
could
pressure
to
liquidate
anticipation
of
adverse decision.
an
What
-
the
a
be
done
to
are
many
in
example,
two years
avenues
open.
California
of
Life
Insurance
contesting
of
the
certain
Life
Company
interpretations
Insurance
the
pealed
to
Appeals
decision
the
It is
will
Circuit
and
be
be
Supreme
States.
Court
of
there would
of
tax-exemp¬
by devisive action.
or
ap¬
for
of
United
the
that
Last year's resolution even called
the
to
so
elimination
asking
amending
ment to
to
possible
any
16th
the
removal
tax-
of
immunity.
in
the
of
one
Probably the best method in
Con¬ addition to the United States Con¬
proposed
resolutions.
ference of Mayors
resolution,
con¬
Without going into the technical
sidering the need for expediency
details of the suit, it has generally
is for each member to organize a
been
campaign
interpreted that the Life In¬
surance
Company Income Tax Act
results
in
interest
decision
similar
the
lead
treatment
earned
by
short
time
a
offices
the
of
device
feel
Some
could
tax-exempt
on
through
proration.
come
tax
a
that
of
this
the way to
in¬
certain
of
banks.
ago
It
that
Internal
a
was
some
Revenue
Service attempted to disallow tax-
to "communicate
members
the
of
the
to
were
pal bonds.
extent
that
Life
The theory being that
interest paid to depositors
effect
ings
a
cost of
borrowing the
deposits.
practice
was
after wire
guaranty
munity
waived,
-
Those
they
bonds
another
poses
Income
Act of 1959 be amended to
procedurally
with
interest
bonds
on
must
fighting
a
tax-im¬
benefit
of
the
clearly
the
Depart¬
Treasury
ment that Congress did not intend
the
act
to
impose
tax
a
tax-
on
exempt income either directly
by
pro-ration
—
time
is
or
of
the
essence.
ers
of states
and
spring
infinitum.. This is
is
no
are
of
pending
tax-exemption to the
municipal
Not
to
a
up
to
—
ad
tedious, dis¬
process.
there
tax-immunity.
moderate
a
level
bond
there
as
of
will
adjust¬
tax-
the
market.
'
;
■
aid
and
merous
programs
varied.
are
nu¬
un¬
general headings of "Com¬
munity
Development
and
when such
tion
be
will
difficult
bankers
have
actively
opposed
the passage of certain Federal aid
legislation
which
is unnecessary
private
sector
of
care
they
have
felt
because either the
is
capably
community
taking
needs,
the
through
money
formula
establishing
the
cost
of
the
Treasury
with the. several Federal
their
and
subsidiary
administra¬
tions carrying out the acts as
they
interpret the1 intent of Congress, I
convinced that every effort is
am
being made to do
the country.
good job for
a
While
we can oppose
Federal aid programs, in theory, in
they
when
they become
They should not displace private
establish
rates.
and
I
should
they
artificially
believe
low
is
there
not
interest
say
it is
really
(D)
aid
Improving the Physical Form
of Bonds
The
volume of municipal
very
financing has necessitated
look
the
at
of bonds.
quate in
physical
a
new
appearance
Vaults have been inade¬
many
to house the
cases
holdings of institutional investors.
As
result
a
of
and
more
will
Individual
be
bond
have
been
permitting bidders to request $5,$1,000.
saving
in
There is
engraving
graphing costs.
u
There
has
an
obvious
and
litho¬
|
been
to
if
all,
at
possible
area
of ad¬
term
holders
nating
ac¬
cept
will
on
The
and
kept
files
most
by
elimi¬
legal
of
investors
old issues.
lithographing
printing industry is tackling
the problem of
counterfeiting. The
is
under
a
reproduction
study
—
better and
this
more
acceptable product for the inves¬
their
tion
individual
similar
and
reach
a
to the most attractive
medium
to
according
needs.
letting
nation's
have
to
the
(Sec.
been
Statutes,
National
5136
the
of
paragraph
"seventh", 12 U. S. C. IP 24)
as
to authorize commercial
to
engage
ties
dealers
in
as
those
so
banks
in the business
derwriting and trading
of
un¬
securi¬
revenue
bonds of states and municipalities
in which they are permitted
by
law to invest.
of
The 10% limitation
capital, surplus and undivided
profits
on
individual investments
would
also
apply to underwriting
commitments.
Banks
take
the
position
that
authority to underwrite and deal
in the subject revenue bonds will
provide
terest
competition,
reduce
in¬
costs, broaden investor
ac¬
ceptance, enhance secondary trad¬
ing markets
and
afford
closer
bank-customer
the
issuers
of
relationships with
municipal
revenue
bonds..
Opposing
the
ganization
who
of
take
banks
is
non-bank
different
a
an
or¬
dealers
viewpoint.
However, it is not appropriate to
into detailed discussion of the
go
points of controversy.
Legislation
desired
the
to
accomplish
amendment
banks
in
position
troduced
(H.R.
sentative
Vanik
has
2060)
been
by
in¬
Repre¬
Ohio
of
the
support of
and
has
been referred to the House Bank¬
ing and
Currency
Committee.
It
has the support of the Comptroller
of the
Currency.
Advance Refunding
(F)
There is
pose
nothing
about ad¬
pur¬
of clarification it is generally
considered
the
outstanding
its
new
refunding, but for the
vance
refunding
bond
of
an
prior
issue
ta
maturity and, if callable prior
maturity, prior to such optional
date
of
redemption.
This
A
air
to
situa¬
into
a
the issuance and sale of
and
a
better
"advertisement"
to pay
so
Plan" for
bonds is
called
"Philadelphia
registered, exchangeable
attracting
either
or
a
entails
more
and more
refund¬
a
with
deposited
fiduciary sufficient
the interest when due and
to redeem the bonds
at
maturity
at the prior redemption date
at
the call price. The funds deposited
in
invested
be
may
Treasury
bonds, the interest accruing being
to pay interest on
be
through
redemption
or
either
sale
the
funds
the princi¬
provide
Treasury
bonds
which
used to pay
are
the bonds
and
redeemed
pal including call premiums of the
redeemed bonds.
for the issuer.
The
are
the issuer
to
the
tor
as
Mu¬
of
the
years
banks
Act
Revised
used
and
paper
the
investment
Underwriting
many
Banking
of
tax-exempt yields available under
decision
Bank
amendment
an
general up-grading of the quality
should result in
schedules
ac¬
growing
seeking Congressional support for
or
engraving,
turns
taxable income with the
bonds,
investment dealers alike; ex¬
process
new
investor
nation's
nicipal Revenue Bonds
to
universal
on
massive
opinions
and
can
we
attorneys
have to compare the after-tax re¬
on
continued
ing bond issue, the proceeds from
short
in
(E)
issuers
more
bonds
municipal
all
and have made pos¬
—
matter of degree.
a
old
are
municipal debt.
need
a
forms of Federal
some
They
which
able
the
that the principal
the
years
bond
effective,
predict
sible
many
for
and
how
of
changing.
are
few
a
indicative
are
ceptance of the
law,
be effective and useful.
can
debt
All of these developments, not
r
seriously considered
De¬
agencies
simplifica¬
for
debt service.
For
investment
S.
respective
degree of reduction, it is
to
accounting
commercial
However, I would like
U.
a
the legal opinion of the approving
tax-reduc¬
a
of
Development."
ate to discuss in detail the several
or
This will open up
opportunities for
Public
do not believe it is appropri¬
I
the fully reg¬
tion
Housing," "Education and Health"
and "Resource
will
bond
appearance much
certificate
for the good
Programs of
some
change
new
ago,
'
pur¬
in
coupon
way to
bond, in
stock
a
big
on
ceptance of the practice to print
being
Anticipate
bonds
ink
de¬
bonds
their
upon
tax-bracket.
and the
income
proportionately change
the value of
holder
Federal
rates, that is raising rates.
many who feel
threat
taxes will
of
that
rights put out "brush
other
couraging but necessary
There
Reduction
feel
seem
the
usual
Tax Reduction
justment
be the order of business—defend¬
fires"
(2)
and
"Alarums and excursions"
^autious when
000 denominations rather than the
state
"cold'war."
be
in
Tax
for
impact. However, I think
concerned
are
local
transit if tax im¬
.
of
municipal
this
The proposed
of
mass
munity
sav¬
Fortunately
to finance
threat.
in
quickly discontinued
protest.
is
was
be
issues of municipal
market
probably
Congress asking that
Insurance
indicate
saving
invested in munici¬
to
ment
with
exempt interest earned by certain
banks
to
new
enterprise
I note that this is referred
ference
time
a
Amend-- practice
effectively close the door
finally gives
Savings Bond.
It will
Having worked closely
and
of
favor
the
anticipate the effect and improve
partment.
ex¬
Court
ultimately
problem
action
no
Company tion directly
Income Tax Act of 1959.
pected
lative
the
the
when
their investment positions.
by
Congress to take corrective' legis¬
to
Probably
come
like
financing
the governors by means
for
istered
President,
joint resolution calling atten¬
a
market
in interest rates below the cost of
of
Atlas
bond
running the state legis¬
gress and
the
municipal
borrowing is unrealistic resulting
Vice-President, members of Con¬
size
magnetic
finding
brought about by those seeking to
for
adyerse
involving
the
unsettlement
some
ing unnecessary projects and the
tion
Okla.,
be
may
Federal aid would lead to financ¬
1963, by the U. S. District Court
Tulsa,
areas.
prevent
can
munici¬
2,
legislation is
successful" conclusion,
condition from developing?
of
May
that when tax
temptation of easy
of the
down
mind
to mention that many
Insurance
lature memorialized the
sure
palities
poses
of
use
is
must keep in
programs.
Life
avail¬
one
Atlas
For
duction
the
on
the
accounting
yields
However,
to how
as
in
tabulation
attractive
offer
to
the
able.
market for municipal bonds as the
such
Tayc Re-
reciprocal tax-immunity.
follow.
Reduction
most
continue
interest to municipalities fall
only conjecture
can
much
municipal
do
we
We
will
broader
a
the
Federal
stake in the doc¬
a
inter-
spreads,
permitting easier
exces¬
Stake
invest
of
interest coupons
will
(C) Federal Aid Programs
their
>
market
habits
would
meet
investors,
many
and
practice
changeability
lowering of Federal
a
issuers
the
bonds
exempt
through other meth¬
or
We all have
—at
depression?
(B) Tax Exemption and
the
present century was replete with
ask—
respective
so
Federal
present
depression,
it was
generally believed that mu¬
nicipal defaults belonged irrevo¬
cably
we may well
better
our
deposits
Will the Present Repeat the Past?
To
government
financing.
There
only
started
busi¬
(1) Threat to Tax Exemption
credit
chase financing, creatioh of
voted
tax
supported
debt
limits
had
credits
hand and voter
the
on
a
the errors of the past.
to
public improve¬
bring about methods of public fi¬
nance
less-se¬
Doctrine of Reciprocity at
rev¬
difficult
time to make ends meet.
ments
and
to
from
As
pal
der the
"panic
going; and, while doing
are
about
pay
licenses.
and
the
have
we
be
take
us
of
Federal aid pro¬
real
a
same
taxes and various
consumer
of
ods
communities
gap
criteria for the payment of income
to
had
we
Willingness
fewer
of
hard-pressed
sive costs
with
debt,
our
to push
would
we
not
not be sufficient to
Local
iunits
cure
governments
pressing
if
While property taxa¬
sources
of
what
tied to the business cycle may
and
cities and their
state
recession,
ness
if
tending to be less impor¬
as
vide
Small
mean
fori
appropriate
interest
tors.
and
bonds
Obviously, higher
higher taxes.
pressure
21
income taxes, tax-exempt munici¬
bringing
capital
would
after
be
the cost
on
term
the 30's which
each time
grams
we
revenue
pace.
is
indefinitely
municipal funds,
to
long
improvements?
larger role in the finan¬
a
cial
fees
financing
which
revenue
Re¬
individual
taxes,
immunity
marking
Federal
are
of
*
qf revenue, with the ear¬
of various special rev¬
source
ahead?
years
and
tant
of tax
that
even
in
What would be the effect of the
loss
ex**
probably
state
there
>
community heeds except at
the road
follow
to
30's
Any analysis of the trend of state
tion
income tax-immunity.
interest rates
our
of
having eliminated
as
is
reaching
estab¬
problems. However, with so much
reliance on the "business cycle"
and
debt incurrence.
keep
effect
deterrent to most historical
20's
the
enues
tax
in
Many changes have
place since
dealing
are
be
"What
ment
'
*
rest.
no
philosophy
that
Constitution
to argue that it can't
easy
taken
government
be
can
we
Federal
lishes the 16th Amendment to the
pres¬
new
a
from
different
a
As
effort to elimi¬
an
realize
must
with
debt-conscious;
generation this is
there is
as
"exemptions"
We
down¬
and, for the majority of the
ent
tax-immunity.
income taxes-there
investors
The
It
nothing will be
ability to meet the impact of debt
of
borrowers,
strain
and
men
tieW~ lesson.
that
result with
equalizing after the initial rush.
can't take it
one
will
vacuum
Con¬
and
are
Lessons
easy
has
on
sources.
promotional
ing have been
a
alike "
political
Elements
still
ficials,
con¬
prior two decades.
needs
their
have
for
in evidence during periods
their
have
we
reason
credit
to
as
decades,
no
or
opinion
done to disturb
nate
no
up
legislatures
granted
un¬
1929-1936, with
era
for
The depression
reckoning conjured
the
In my
borrower's day
pleasant thoughts.
matter for the
a
decide, others, that it is
gress.
debt
from
to
up
prosperity
business
preservation of municipal credit.
had
courts to
past
rising prices, increasing revenues
general
(361)
Some believe it is
faith; likewise,
knew
default troubles.
and
^
segment which I be-
one
lieve.vj*equires
ment
Prob¬
The Commercial and Financial Chronicle
.
evidences
Nov. 28, 1960,
entitled "A Review of Some of the
.
.
fiduciary
of
funds
may
On occasion the
secure
with
the deposit
Treasury
Continued
on
bonds
page
22
22
to
dangerous
Questioning Glance at Some
(3)
it is
Municipal Bond Trends
21
rather than investing
the deposit,
Also rather than
-
.
(2)
time certificate of deposit may
be
some
refunding
Advance
aspects of gambling
the
bonds
In
past
bond
revenue
certain
precluded
■V/-:
fVv.
market is presently "favorable"
rates,
easing of and tha* interest rates will be
indentures which higher if the sale is delayed until
interest
lower
advantage of
necessary
or
of i the
Much
.
.
,
,
.
.j
,
v
u
a
have
rule
.
on
One
rates.
lower
rent
point
when
course,
.
,
in
»
.
.
,
,,
,
i
euaranteed
Contract Rights
legal
not
or.
question
the
held
and
original bonds and to
in
of
period is being extended to five
of some re10 years
and we hear
years
impairment
bonds.
inal
be
to
made.
fundings that might be
W;
in
-'4'■
Study Grave
,
IBA
all
consider
To
of
The
clear
far
law
case
that
a
chairman.
we
can
so
abuse
of
financing device.
to
indebtedness, to
interest
lower
a
also
method
rowing
has
money
vestment
to
aspects
of
bor-
feeling that advance refundmay
to be
seems
a
Such
in
would
assets
In connection with legal prob¬
lems we suggest the following:
This
(l)
subjective question
Advance
probably legal
refunding
under most
utes permitting
is
stat-
the refunding
of
which
of
some
of
advance
n/r
.
.
.
get
refunding
advance
up
at
ai*e
ferentials
guarantee
over
a
what
the issue
properly
limitation
time when rate dif-
a
favorable
lie
will
be
would
never
were
the
if
cost
Most
refunded.
legal problem
a
will
the
we
would
,,
.
do
excep-
situation.
„
.
an
:
have no
exception. Thus, these courts
hold
that
the
percentage limita-
^on *s n°t violated even though
there may be a brief period of
refunding bonds would be exempt time during which both issues are
from Federal income taxes under technically
outstanding and the
the existing Federal statutes,
a total of the two (but not either
widespread use
of this device one taken alone) would exceed
doubt that the interest on advance
might lead Congress to create an
the limit. However,
we
know of
exception which in turn might be no case where a court has applied
another "foot in the door
leading sucb
implied exception to a case
to more general invasions of the
,
exemption. The argument here is
similar to the one which has been
made against
tains
and
eimo
aid
nicipal
benefit
of
modern
dustry)
plan
the
of
aid
the
In
W.
A.
usually
distorts
the
take
may
the form of direct leasing between
the issuer and the investor or may
use
the non-profit corporation
of bond issues for necessary pub-
less
by
there
is
bond
expect
market
broad
a
un¬
participation
banks
adding
to
their investment portfolios. Many
banks
limit
their purchases
to
1-10 year maturities while
others
extend to 15-20 years. When banks
have investment
funds which
are
directed towards purchase of mu¬
nicipal
exert
bonds,
buying
strong
a
pressures
influence
in¬
on
terest rates in these years and in
turn
affect
start
the
longer
on
has
been
par¬
since
the
1962.
Looking
vious
yields
This
noticeable
of
back
that
the
it
is
during
quite
1960
ob¬
banks
"tightness" of money causing
banks
credit
to
to
liquidate
security
their
meet
normal
demands.
by referendum and that the con-
could
tract must be capitalized and be
posits, aggravated the banks fund
subject
would- be
contracts
to
competitive bidding if practical,
legally be paid
time de¬
on
I.
Government
Metropolitan
growing
t
j
govern_
under financing
^
,
government?
Being
subject
industrial
of
of
of
municipal
services
to-,
gether under a form of Metro is
not
the
necessarily
jective
It
and
be
often
can
to
answer
more
accomplish its obrequire endless cor-
rective legislative efforts,
curtail the
must
credit
because
they serve.1 It
in
home
reflected
and
mean
needs,
and
in the
fees,
from
much
fluenced
of
the
by
area
decline
a
household
goods
local
comes
ex¬
lack
and
business needs.
even
of
usually
can
purchases,
equipment
So
of
government
tax
revenue,
which is in¬
business
cycle.
jit follows that needed munici¬
pal revenues
tailment
of
reflect the
can
bank
cur¬
credit.
From time to time I have noted
items
wherein
cities
many
point with justifiable pride to the
Strengthening the Credit Base
we
feel that
in
a
income
form of metro-
government
politan
a
for
being and growth of the
news
,
If
responsible
funds, this is
well
Support
ber
feel
they
tension
area-wide problems. As
our
rentals.
do
can
a
job for our municipalities
single
or
restricted
public service,
posed this method of financing, merit
support.
including the Investment Bankers services of an
have
govern-
opinion, metropolitan
matter of fact, to lump a num-
a
! > .v;;
::
ihentioning
am
community and their trade areas.,
services
all of
;
I
meeting the credit needs of their
government is not the answer to
con-
revenue
state's
our
metropolitan
of
ment. In my
bankers
When
member of
a
Commission on Metropolitan
Area Problems, I have listened to
many learned discussions on the
usually
facilities
plant
' ■ :y;'
reason
this problem is to point out that
of metroDOlitan
subject
costly? fail to
a
dating securities but also curbing
loans.
The
n\
growth.
op-
area
of
thru
earned
their
on
funds
investment. It might be ap¬
propriate
discuss
Even
for
this
as
public
with
banks
officials
their
to
bankers.
try to meet their
then it should community responsibility, public
Some
single officials must also accept a meas¬
area-wide need ure of responsibility to insure the
after state
might include air-pollution, recre-
economic well
enabling legislation to
ation, mass transit, water supply
and
water - pollution.
Certainly
munity.
Yet state
powers"
jority approving vote, such as
Decline in deposits either thru
66%% but records a 60% lapprovfrom
institutions
inS v°te, have some reason for competition
other than banks, paying
higher
seeking other methods of financrates on time money or the with¬
iu£. To be objective, it has been
drawal
of
money by customers
suggested that
lease-purchase
contracts might be subjected to seeking a higher return on short
term government securities than
approval by a majority vote or
better
Association.
of
cannot
we
commercial
most
has
organizations
so-called
made
bonds being secured by the lease
Many
perform
a
Public Deposits
Normally,
ticularly
Mississippi
industry,
an
(J)
competitive bidding. It
In-
municipal bonds issued
private
exercise
maturities.
With
the municipalities'
cern,
mu-
for
B.
proto-type of
volume of
to
con-
enterprise.
Agriculture
has passed
permit various forms of industrial
being of their
from the standpoint of financing
through municipal bonds — the
IBA has not prevented some of stronger the issuer from a credit
its members acting as consultants analysis, the lower the potential
believe that
that
com¬
commercial banks by
ties
bonds.
and
as
The
opposition
of
the
underwriters of municipal
industrial
aid
bonds.
I
it represents a
pal
credit,
it is
a
threat to
immunity, it tends to weaken
nicipal
credit,
to
am
a
great
which
other
befliever
in
local
municipali¬
public bodies, but
invested in
are
securities
loanable
nor¬
with
short term
restricts the
contributes
supply
investment
and
to
a
business
of
funds,
decline
government organiza- and tends to reduce sources of
financing are that tion joined together to discuss and municipal revenue.
misuse of munici- plan how to deal with area probRecommendations such as iriade
The arguments in opposition to
this method of
borrowing costs,
and
would
deposited
be
of
cerns
of some
mally
Funds
promotion, including the issuance
equitable
we
...
.
programs
private
history
(Balance
standing for a
period
.
.
long record of early
a
where both lssues would be out-
industrial municipal years and
.
is
costly than normal bond fj-
statements
to
—
.
a normal
refunding most courts will imply
; The arguments con as we see
While
limits
express
However, in the case of
"
follows:
debt
any
tion for the refunding
j.
as
percentage
contain
nof
RAfiinriinjr
"iU
(1)
applicable to the pub-
saving of interest cost refunding bonds exceed the limit,
*
are
problems.
percentage debt
arise if the original issue plus
Argument Against Advance
them
_
agency,
It
suspect.
debt
"joint
units
services
credit of the issuer. It is usually
negotiated and not subject to
refundings,
nancing
leasing to
An
evade debt limits, it is
nancing and when not included
represent
Municipal financial history
construction
legal
a
,
T
and
collateral
(2) if there is
improvements.
form of financing is
One might ask why should the
interesting analy-
an
by
cause
obvious.
acquir)ng
used to circumvent voter approval
,
distort banking figures
lead to
problems.
of
The arguments pro are
.
.
increase
been the
view
of
.
Municipal Industrial Aid Fi-
(G)
discussions,
point
in-
agonal
point might be
the substantial
objective refunding the refunding bonds
arguments pro and con and from may be authorized and sold. Howthe point of view of possible legal ever,
advance
refunding
may
the
issue
the invest-
on
,
gov¬
exceed¬
within the debt limit. For voter position. In other words many
commercial banks were faced not
consideration, relative costs of
only with the problem of liqui¬
is financing would be presented and
presently
only by future
but
Metro
in-
^
Collateral Legal Problems
tempted to judge.
been
bonds,
certificates of deposit issued by
may
have not at- outstanding debt because most reRather we have funding statutes put no limit on
discussing the matter from how far in advance of the actual
our
5.
'
One
may
cer-
improper,
seem
lease-
mpnfc
in
Governments,
S.
original
by
to
works
question
stressed
greater profit from
U.
applies
sls
political philosophy which we,
of
be-
practice the next
extension
an
tainly
step beyond proper
activities.
and
the
hand,
the
empts
serious
terest to be earned
be advance refunding of
even
to
as
rule
if the intervening
not
proceeds
ing
a
may
refunding
ma-
contract,
Government
more
on
ob- the differential between tax-ex-
the
be
standard
this
not
S.
arise
banks,
profit and it
people have
a
many
governmental
1
cost,
Mf'f
advance
If
to gain
an
even
in
advance refunding bonds in order
for purposes of in-
gain
that
appears
refunding
of
that
outstanding
step
legitimate public
a
An
U.
covered,
(4)
is
in
may
up
normal jefundings,
even
of
arise
may
or
but
terest
comes
refunding
question
ing,
or
to
of original rights is
impairment
making further advance refund¬
impractical.
Here are some
advance
purpose,
no
thoughts:
preliminary
connected
be
municipal
revived
this
While
will
there
itself drive interest rates
future
a
interest
where the fund is not held in cash
spread use of advance refunding
may
at
same
plus
away
an
whether
I
trust
to the call date, then the
or
ply of tax-exempts is doubled dur-
It is our hope that
that
date)
A
provide constructive com-
ments
tain
of which
committee
special
(or to call the
not
Bankers Association has
am
number
the
of
capital
When this
in
specified
lie projects, or if the bond issue
holdings
sufficient fails to secure the required ma-
to pay bonds at maturity
taking
is concerned. To
use
Investment ing the period until the call of
appointed the original bonds. Hence wide-
the
bonds
nicipal
future
growing
method
term
long
a
issuing
moneys
call
off-set
which
relatively minor additions
device in lieu of the issuer,
Municipalities that are faced to, their investment accounts on
balance. This can be related to
orig- with continued voter disapproval
seems
the
if
in
Gov¬
contract
the
holds
the extent used the market sup-
aspects of admu-
as
is
the
agency
turity
if
Refunding,
widely used, may defeat itself as
■
refunding of state and
vance
Advance
(3)
advance.
pay
for
rights of the. holders of the
funding had been delayed until
the b°nds are cana"eV an fven
greater saving might have been-
months-the
few
a
to
the interim
substitute
,
-instead
financing of
Capihq.1 Improve¬
sar,cti0ning
hase
more
is
consist-
fund
securities
Another
ernment
good municipal
are
states
and t°
,
ro
^
There
rf
certainly
sufficient
of
the
but
orig-
.
the
so,
(South¬
Associated
method.
original rights to avoid any claim
for a much sa™°
1S g"
^ef
;,
gambling against a future market
longer period prior to the lenresent because
if the redemption date of specified issues 's fV.
"
,
today
accomplished
-
.
interest thereon
a
what
,
inal bond issue.
call the
properly
set up undera
rate
differentials
particular is noteworthy and that ln§ 1SK1
un^ct
favorable
is that advance refunding is being
f
be
location,
ments
to take away from the
ernment
all
resuli be?
the end
Long Term
,
may
ing bonds invested in U. S. Gov-
advance refund-
an
.,
it
ing of the proceeds of the refund-
&
if
or/inducements
Lease-Purchase
covenant
other rights held under the
•.
ques-
attention,
plant
secure
would
property, rights to taxes or as¬
liens on revenues or
on
whether
agency
to
additional
holders of the original bonds liens
If
should sell bonds when the money
,g
nee<Jed
^
M be{ore
Q{
'"gs
s®
bonds
order to
a
of
eases,
sessments,
obvious
very
expanding the list
refunding
.,
other
In
Impairment of
' a'
public
a
,,
™
based
are
p °p e t0
,
general
unxrr>
.
which
or
accomplished
been
8
„rVl.
j
considered
If the orig-
violate
_
necessary
The
later.
made
®
today but the preponderance
advance refundings currently
being
been
feeflin/
that Public, agencies should
not gamble on a future market
.
,
,
conditions
same
exist
of
had
sale
culties.
.
..,,
debt.
num-
a
revenue
creation
a
merits
that
"SCAG"
California
ern
ingly well is contracting between
advance
to
is
There
counties, called
ernments).
such cases.
tion
terned after ABAG,
embracing 10
governmental
be necessary, in
the
issue
than it would have paid if the
diffi-
financial
future
in
to
which might
developments
correct debt problems
result
ihe money is needed. If the prediction proves to be wrong (as it
has in some cases) the public
agency will pay a higher rate
ac-
in keeping with
tions being taken
subsequent
|that the
P1 oceeds because it feels
refundings
such
years
to either take
were
it may
are
rental payments in
of
deduction
the tax
concern
Thursday, July 25, 1963
peted for industry, extending and
inal
bonds
industrial
an
.
states and all municipalities com-
the
on
.
originally
arise in
can
the
of
.
of the rights
were
ber of different ways.
sells its bonds far in advance of bonds,
the time when it will use the against
of the advance re-
or some
funding bonds.
some
has
who, in turn, may future market. In this it is similar
deposit in
treasury to the case where a public agency
wher^
cases
holders
they
entitled. This
isued by a bank
invest
which
to
also
desired to take
or
the
from
original bonds
speak later.
a
cash deposit,
a
necessary
away
financing of which we will
; aid
Continued from page
those
will
Chronicle
lation offered in Congress to deny
to
problem
in
present
our
hold.
so
legal
A
that
assume
courts would
be
v
Financial1
The Commercial and
(362)
all
located-in
and
it
is
industrial
the
same
tax
mu-
not
conmu-
it is nicipality. There has been legis-
voluntary
lems such as ABAG
(Association
of Bay Area Governments)
serv-
ing the San Francisco Bay Area,
1
understand that, at present
southern
California
sociation. is
being
a
new
formed
in
as-
pat¬
by the Advisory
Commission
Intergovernmental
one
Relations
on
in
of their reports on the invest¬
ment,
of
state
and
should be
idle
1
cash
o c a
related
I
to
balances
by
governments
their
effect
Volume
198
Number
6284
.
The Commercial and Financial Chronicle
.
.
(363)
I
■
the
on
banking fraternity
community
and
continue
buy bonds
the
to
credit
(K)
their
of
needs
damages suffered by the
in the
ability
the
While
there
prevent
area.
of
Municipal
Bonds
is
responsible
any
with
the
the issuer must
The
last
2%
have
years
seen
of
This
has
when
when
been
large
particularly
issues
million
or
reach
bidders
and
relatively
small groups of dealers have maae
frequent bids for these large is¬
often buying them in.con-r
sues,
trast
the
to
that
groups
ditional
large
have
nationwide
been
competitors.
the
This
tra¬
mani¬
festation is not unusual and is in¬
dicative
market level,
of the
dealers,
banks
particularly
who
seek
mensurate
the
municipal bond
emergence of new
commercial
identity
com¬
banking
position, not available in existing
Syndicates. The
Small bidding
some
the
industry
profitable
business
to
without
of.
small
comment
the
in
One
and
that
the
be
not
the
is
to
his
under
the bonds
pay
ment
of
have
not
municipal
articles,
spread.
alike,
should
provide
will
worth
Fund
the
the
and
in
While
the
sell
adequate
the
to
of
support
why
switches
can
panied by
cial
stating
the
and
be
plus
if
is
bidding
sale is
matter of individual de¬
a
termination.
accom¬
is
June
apd
bidder
has
market
The
which
usually
method
Order."
have
I
subject
a
entitled
"Law
desegregation
or
relations have been frequent
press
of
nation
our
in recent weeks. It is not my invtention
responsibility,
enclosed in
a
dressed
the
If
to
the
paid
the
no
right in
covery
of
is
the
not
so
bonds,
shall
have
to said bonds or by
or
bid,
or
to the
re¬
of said deposit accompany¬
credit
the
of
bidder
said
ing said bid,
posit
price
tender
upon
successful
reason
or
(Public-Official).
purchase
by
unless
bonds
or
to any allowance
reason
it
of
shall
would
appear
not
issued
if
delivered
chaser
in
the
form
such
to
be
to
discuss
cantto, point
manner
proposed, provided, however, that
in the event of such non-payment
the
and
(issuing
all
maintaining law and order and
the funding
impact
in
any
add' up .to
which
Yamaichi
of
Securities, Ltd., Tokyo.
Mr. Johnson
was
(Q)
Thus,
costs.
community suffers,
suggestions
of
some
time,
there
advanced
are
change
to
time-honored
our
Thomas
Johnson, Vice
earning
the upswing from the recent
Howard, Inc., Boston-based in-
vote,
bond
a
applicable,
if
issue.
The
60%
a
firm, feels that
cession.
timing
point
probably be wise to avoid most of,;
a
to
rising
ence
ma-
service
debt
or
as
a
bonds
obligation
is
the
in
beginning
debt
incurring
1 d
.
the industrials for the time being.
there
However,
that
offer
shares^
some
are
safer
a
broader
and
participation in the economy, particularly
insurance,
utilities,
the
,
and bank stocks."
Mr. Johnson, whose firm sponand
sors
manages
&
Eaton
tour
bined net assets of over $400,000,-
000, had the opportunity not only
companies
agencies
recent
a
and
sponsored
government
by
Yamaichi
Securities, Ltd., Tokyo. He
of
a
w o u
Howard Balanced Fund and Eaton
returning from
trial
its
critics.
Transfer
of
newcomer
0f Japanese business firms, indus-
on
an-
is
offset by the
are
The
Mr. Johnson made the statement & Howard Stock Fund, with corn-
per-
has
which
limitation
other
corpo-
cyclical upturn."
centage of assessed valuations for
general
of
prices, depend-
exports and high
on
which
•'
,
Debt
though,
problems
are
and
wages
industry
Even
earning potential in the economy,
solution to this prob-
a
there
view,
of
Japanese
sense.
rate debt, these
jority approving vote is frequently
as
in
makes
currently,
66%%
simple
or a
re-
counsel
approying vote being difficult to
achieve,
in
seen
"from
now
approving
should be
power
vestment
con-
recom-
President less, the true potential of business
&
investment
the
-
•-vV
r
and director of research for Eaton
Quite
is
Richard, L»
are:
Kazuo Tsukuno, Manager, Foreign Dept.; and Teiiclii llshioda,
son;
cepts of debt and tax limitations,
prevalent
table
right behind
Managing Director.
_
to
to
Industrial Specialist/ Massachusetts Investors Trust; Thomas John¬
."
i.
ions
a
time
Left
■
the
Constitutional Debt and Tax
From
possibilities.
Bowser, Partner, State .Street Investment Corp.; Richard B. Bailey,
credit '
a
reflected
be
may
borrowing
whole
ment
of property. damage.
All of which
sponsibility
to
member
re-
of
a
of
group
was a
mutual
of discussing key
with
problems
of
top management
more
than
a *-
leading
Japanese compa-,
nies, but also visited several im-
dozen
the
by eligible voters with a decision
left to a simple majority of the
another
is
voters
rowing
governments
local
of
to
reference
the
bor-
term
not
"Based
has
advanced
regulate long
to
been
"Japanese
are
suggestion.
idea
Another
shares
cheap,"
on
whole
a
leading stock index,
a
current
as
Mr.'Johnson said!
multiple
is
18
about
times current earning." Neverthe-
government's Economic Planning
Agency regarding its position on
many problems affecting business
and investors. He was also interviewed by a large body of the
Japanese press.
by
cost
the net interest
related
issuers
individual
"In
to
of selected mu¬
rates
interest costs have
bonds.
,
At least by exposure, new
produce study
action.
,
..
,
no
bearing
on
....
6an fj^tors°that
ideas
enter
into
the
S/"SaT^£wh^
comment and oc-
effective '
casional
there
there
tainly
review the
Cer-
is
is
mieht
resuit
\n
an
incorrect
con-
many
requirements of voter
on
would
added
elections." "The
and
expense
campaigns
bond
repetitive
thru
,
bond issues. A 60%
much
save
j
majority has
the
ways
ago,
when the broad base of our
«,,,'
S.
economy
40
to 50
of
future
U.
Japan reminds
one
was
being
years
laid,
»
Mr' Johnson said- "Its government
ZZZZ\l~n
with businessmen
£ *
dominated>
•
highly respected and influential. ,
The people and the economy are
vigorous.
There is a sense of
to
reason
every
approving vote is reasonable and
Investors
;
of law
have
not
At
bonds.
make
able
any
to
the
and
of
other
total
a
wwiua,. Xiu
of
limited taxes^ act. a, a
!a^! °Ptimism in tbe air and a confi~ '
wher} the lirmtatl0n includes debt dence in the free enterprise sysservice
on general obligation tem which contrasts with the
;
^s' fr 5%
c
*be V?" skepticism and doubt often found *
with
bonds, they
are
of
oppose
a
The
—such
as
propriate
attractive
purpose,
interest
rate,
a
used
is
because
derived
revenue
or
market
municipal
I
bonds
many
many
believe
to
public bodies
yield,
ap¬
maturity
and
sufficient amount,
would
such
be
can
debt,
dangerous
authority,
even
if subject to a referendum, to
governing
be
things
it
transfer
to
,
all
bodies.
i.
,
.
,
.
Regulating long term borrowing
by
interest
and
could
cost
is
not
realistic
conceivably
growth. The market place
,
best
.
from
_
take effective action to incur
state
^
dollar.
Pr°Perty
business-cycle type taxes
the removal of debt limi- and tees is more than adequate
as
a
percentage of
asto finance government. Investors
valuation.
are "individuals
and they I°ok
While
competing for the
attractive, must offer
Personal
under attack when it hasn't been
Ratio
It is for this reason that I would
From
to
comes
issues
new
and
real
/
p
.
,
limit
is the
-!*•
judge of values and relative
Among
Johnson
.
one time—can-:
I have noted that long standing
debt liftiit.
"
~ ' taxing authority based on taxable
Assessed Value
supply
Unfavorable Publicity
municipality
x.*"
debt
out-;c?nt'y done for
Opposes Removing Debt to
sessed
Away
when
the
exceed
tation
Consequently,
"j
ejitninatea suui as XArtWrt"
Common¬
dollars.
Shy
YY11?1;
standing—at any
not
of
into hundreds of millions
Creditors
Iiianci
approved bond issues for..
given community the total
avail¬
wealth of Puerto Rico. The
run
or
they
representative
states
50
X
buy
time
given
selection from
a
offerings
our
can
•
.
particular municipal bond
any
can
do
order
and
- •
,
bonds, and in addition
staff
American mutual fund representatives, to study Japanese invest¬
of
any
agreed purchase price
Howard, Inc., Boston-based investment counsel firm, addresses
the
effect
collateral
the
municipal credit.
investor
reserves
rights granted by law to
recover the
of the
body)
on
that
pur¬
indirect
subjects
these
out
tial breakdown
validly
the
and
de¬
the
effects of violence and the poten¬
be
must
sealed envelope ad¬
Thomas Johnson, Vice-President and Director of Research, Eaton
&
acts.
overt
such; but, I think it is signifi¬
as
of fi¬
certificate
to
—
emphasize
-
Such
lead
also
approval
topics in the
dhe!; hprids therein bffered for; sale/
^ach bid, ;together With, bidders :
and
re¬
dustry location, the. increased cost
that
note
on
like to
would
I
which
■
check
is
nicipal
to
Kennedy in his speech
Integration,
io % of these principal"' amount, "bf
nancial
that
prevailing
commented
and
race
sur-:
similar accounts)
WW
serves
interest.
and
(and
undivided T profits : or
of not less than
/
negotiated
vs.
interesting
9,
which
the
by
can
f&sssfe:
—«»v
.
invited by Yamaichi Securities to Japan, along with several other
Com¬
(N) Law and. Order
It
to. include
deemed
important.
quite
any," par¬
such bid
in
be
must
against the market and
petitive
aggregate capital (which
an
may
be
such
that
associates,
ticipating
have)
However,
Protection
signed
responsibility
bidder
made.
be
the
certificate of finan¬
a
investment
f
penalty by
a
.
discouraging business and in¬
of
also
shall
of
such funds,
of
liquidation
sizable
President
bid
bonds
timing
might be appropriate:
Each
been
net
suggested wording
some
have
by
because
indicates
Cautionary
Here is
There
pro¬
treasury
'
municipal
usually
measured
rede¬
and
pick-up
the
or
may
purchased
any
successful
evidence
there
case
governing fund specialists that were invited portant plants. In addition, he was
limitations, there is; no need for bodies of local governments sub- to take a look at
Japanese invest- briefed by and had the opportutax-exemption so very attractive4 ject to a permissive referendum ment
possibilities.
nity^bf questioning officials of the
sale
of
there
reasons
banking fra¬
an
reinvesting
corporate
the public
that
several
of
bonds.
livery of the bonds.
Suggested
interest
pass
action
recent
ceeds
to
a
market
Thus, the bond market
Iem-
and
the
on
flect its concern over conflicts of
liquidating holdings of municipal
funds
having
buyer who is satisfied with the
pur¬
margin requirement necessary in
financing
Pension
Investments
In passing, I should like to men¬
being that the
effect
sell his
may
action
bonds but he exacts
for his
for
sufficient
a
he
or
such
mended reduction of the required
(M) Municipal Employe
tion
it earth¬
be, in addition to the seller,
offered
notices
some
and
municipal
and
Investment Possibilities in Japan
problems. An investor
away
the bonds. In each
must
municipal employe pension funds
the
against
bidder and
hall
being
the interest,
state
shy
holdings,
class¬
is
..
and in the current case—violence
and related
imi
town
and
message
in
is
of
be
bonds,
23
■
un¬
of
issuer
news
support.
good faith deposit, additional re¬
course
It
worthy,
potential
to
television,
the
bonds
investment
re¬
suc¬
like
the
virtues
the
advertising,
radio,
meetings,
protect the issuers, investors
ternity
banking
bonds
By
lectures
room
were
the
and
train¬
as
don't
.
quake, hurricanes, floods, past de¬
faults, unsavory political history
may
able
been
com¬
informing
bonds,
extolling
investors.
bonds.
To
and
when
have
do
such
ways
they
v-.
peculiar
surrounding
on
cessful financing of local govern¬
him—
bidders
This
to the investment
to
reason
education
not
are
lowering his bid.
municipal bonds
municipal
contract,
the obvious
Invest¬
quirements necessary to the
possibility
tendered
are
the
pos¬
publicity
bidder
successful
able
chase
variety of
a
of "splintering."
that
complete
people of their role in municipal
aspect, however, is of con¬
cern
be
securities.
for
but
depressing
financing local
and
local tax-advantage.
investors
people
for
finance, educating public officials
larger
the
for
Bonds
public
market
sell
smaller through
groups may grow
the process
time
while
larger
grow
in
groups
Market
status,
favorable
may
ing investment personnel how to
that
is
syndicate
mittee is dedicated to broadening
cannot take advantage
usual
My
such
the
would
for
municipal
traditional syndi¬
dealers tied to
sale,
contract.
mentioning
mittee
being enjoyed by the few, which
cate groups
of
the im¬
ment Bankers Association's Com¬
has caused
groups
sees
of these
success
concern
which
government
as
their
with
their
No discussion of
competitive bidding block.
Single
honor
Municipal
the
ac¬
business
successful
(L) Broadening
amounting to
more
notice
measure
banking
the
cannot
true
in
the investing public and
on
investment
issues of municipal bonds.
new
$50
pact
interesting developments in
some
the underwriting and syndication
bidder
bid
a
credit
some
Now
to
reason
no
submitting
cordance
*
adequate
sibly
body).
to
and meet
from
Marketing
(issuing
'
the
c. o.m p a n
visited
ie
Mr."
s
"in Tokyo were!
Hitachi Ltd., major manufacturer
electrical
Co., the country's'
Electric
Power
iargest
electric
jrQn
steel
&
struction
Co.;
,
equipment;' Tokyo"
utility;
Co.*
Yawata
Kajima
Tokio
Con-
Marine
&
p-re insurance Company;
Shin
Mitsubishi Heavy Industries; Kirin
Brewery Co.; Nippon
Electric Co.,
basic security foi* the credit a leading manufacturer of cornbackl"S of+municipal b°nds re- mUnications equipment; and the
moyal °f the taxing power on Industrial Bank of Japan.
.
Sfrega
d
I" Osaka, the group met with
materially atiect maimer regara
management of Kubota Iron &
for such bonds even iLZZ Machinery Co.; Takeda Chemical
revenue sources appear adequate
*;
th
j
alwavs the fear of re- Industnes Ltd., a pharmaceutical
"rs^of the business cycle:
manufacturing company; and
.
i
■
*From an address by Mr. Browne
before the 30th
Annual Conference of
Mayors. Honolulu, Hawaii.
T
Matsushita Electric Industries Co.,
manufacturers of electrical appli^
ances*
J
24
The Commercial and Financial Chronicle
(364)
Thirty
.
a
Yet in order to bolster confidence
Continued jrom page 3
lost
causes
antedeluvian
or
eco¬
nomics which is implied when you
only
from
from
our
advocate the redemption of a dol¬
in
lar
gold.
look at
our
boundless
our
detect
prosperity.
But
appearances
among
coins
bullion.
or
for
example,
offen¬
cious
norant
of
as
pre¬
idea, and I
if
the
destruction
present
impetus
West
and
where,
not
from
come
from
Wall
making
nations
can
cannot
in the
can
gold, but
own
legally do
to' thd borders
banks
of the
nation:
governments
can
and
all the
own
wish
and, believe me,
point
out; shortly, tbey
Eu¬
through
illegal
decorate
gold
them
bracelets,
brooches
were
bullion
with
with
other
and
bar,
look
out,
The
in
Not
so
ad¬
page
Wall
"The U.
Street
S. Gov¬
prosper¬
become exercised
legislators.
that
money
hand.
a
a
law
when
he
rooster from
eler
for
display
Revenue
in
before
Service
otnament.
his
the
enough
to
of
persons,
rising costs of liv¬
deterioration
in
of their
power
quickly
as
lifetime,
in.
know
pate
of
the
legal
should
the
become
golden
size
in
present
have
we
South
lieu
wish
4.
bulk
to
dollar
not
seen
one
currency
na¬
1
'
gally
gold
own
them at their
I cannot.
It
coins
*
odd to
bring
through
that
unsound.
about
you
and
me
that
resulted
national monetary
our
example,
the end
and
as
ing hat in hand
row
crisis
of
much
gold
inter¬
expediency
Germans,
even
to
had
War
said
at
II, that 18
powerful
in
the
now, would be
to its late
to
go¬
enemies,
borrow
tiny Austria
schillings, I
considered
I
marks,
to
bor¬
would have been
slightly
best
can
question
the
bur
unbalanced.
had
Federal
the
of
of
the
an
oppor¬
profit
paper
claims
paper
dollar.
their
they
themselves.
far they
by
,
Re¬
was
an
ir¬
one
but
the
you
answers
may
be
you
re¬
ceive when this question is
posed
to a favorite banker.
Deceptive
Federal
Reserve
Note
amount
term
-
gold" rather
After
the
have read
many
inscription in extremely fine
type which
eral
appears on every
Reserve
note:
"This
of
than
interest
The
not to
sum
is
reason
be
sneezed
lack
a
of
con¬
fidence in the dollar—memory of
previous repudiation of govern¬
a
ment
promises to
suspicion
a
similar
a
the future
in
occur
may
in gold and
pay
that
event
.1
'
large
rency.
tion.
The
today
is
Federal
Reserve
redeemable
in
na¬
note
nothing
else
by
this
be
interesting to
the
correct
curtailment
as
barriers
to redeem it were to
other note and
type
so
of monetary
using today.'
give him
on?
an¬
That is the
system
we
are
than
trade
reducing the
that has
is, to
store of value. In other
a
a' dollar that
words,
in
some
be
can
con¬
verted into gold of the same fine¬
and
ness
quantity
Chairman
Martin
of
Board
the
McChesney
Federal
recently
the
United
Commerce,
the
Chamber
accepting
of
dis—„
its
tinguished citizenship award, that.
must
we
protect
the dollar and
value.
is
It
value
the
integrity of
it
make
not
store
of
store
of
today.
Essentially what I
about in
is
a
good
a
the
discussing
freedom
order their
of
sound dollar
the
citizens
lives with
own
of government
mum
speaking
am
a
interference.
Unfortunately the present
tary system based
able
the
establish
itself
andmore
more
control
admi¬
those, "who-
of
use
mone¬
irredeem¬
upon
lends
currency
to
mini¬
a
' over
every
phase of human activity in creat-,
a
welfare state.
All socialists,
commuhi§t$i anid totalitarian"'gov¬
ernments
that
use
■
currencies
paper
irredeemable
are
in
gold.
I.
ployed
its
redeemable
a
in
currency
monetary system.
There
days
is
large
a
against
outcry
lavish
nowa¬
government
expenditures domestically and in¬
ternationally. The
"write
is
your
Senators"
in
this
common answer
Congressman
that
or
expenditure.
Congressman
average
and
demanding curtailment
or
The
Senator
however, in
ernment
re¬
expenditures
welfare.
He
can
in. public
evidently
rely
Congress to raise the debt limit
on
Committee for Economic Develop¬
monetary unit such
ment, have advocated doing away
the simple truth is that the road
with a statutory reserve
require¬ to
public
office
is
apparently
ment for the Reserve banks. Bills
based upon promises of more gov¬
have been introduced in Congress
ernment paternalism.
to that effect without,
however,
1934
by
$20.67
to
term
Yet it is
clipping,
condemn
ron's
did in
we
changing the basis from
$35, this step is given
scientific
coin
as
practice,
magazine
has
than
more
Rarely does
the
editorially
flationary
"devalua¬
of
nothing
anyone
Bar¬
but
pointed
out
"Devaluation, and in¬
from which it
excesses
invariably springs,
of course,
tantamount to legalized theft."
I
cannot
improve
are,
that
on
tion.
So
term
"devaluation" fool
don't
we
may
let
have
to anyone
as
the
of
use
the
you.
.
In¬
success
report.
Federal
told
At
this
of
Reserve
tragic
episodes
nancial
means
the
kind
the
last
it
30
po¬
been
living beyond its
because
billion in short-term
ultimate
recommend
the
a
means
use
claims.
The
of settling interna¬
of the metal
behind
many
doing
monetary capacity.
reserve
have
we
away
with
altogether in
As
Federal
notes and deposits is
well-
our
gold
Reserve
roughly $15.7
billion, and inasmuch
as
foreign
is ' not
had
over
which has wit¬
years
decline in its purchasing
since
1934,
seriously affecting all holders
of
its
importance,
the purse."
than
the
victims
popularly
of
inflation,
known,
deterioration
in
it is
really
or
the
as
a
"the
-of
power
possess
the
power
which is nothing
more
opportunity to register
disapproval of extravagant gov¬
ernment expenditures
ing
paper
providing
ful
and
is
an
icies, pensioners, annuitants,
They have been
seem¬
People do not realize
longer
no
of the purse
tors that
generally.
Writing
phrase often used and
government bonds, insurance pol¬
sayers
consequently
foreign nations some $25
owes
that
of nearly 60%
has
fi¬
A
Than
Congress
ingly little understood, especially
they
dollar
sound
a
dollar
most
history.
Clearly'a
power
Ratio
C.E.D.
the
American
nessed
point I think I should
and
in
To
director
of
one
Effective
More
respected
Bank
the practice is
Gold
a
from year to year as required. For
pleased
am
he considered the
me
devalua¬
more
concerned with the in¬
the
far, I
so
One friend,
recommendation
observa¬
tegrity of the dollar.
Today's Low
any
to
by redeem¬
dollars in gold thereby
signal to the legisla¬
a
they had better be
before
they
credit of the United States
a
is
lowering of its gold
infinitely
purchasing writing
In¬
your
care¬
undermine
more
the
through
reserve.
effective
This
than
Congressman.
of the monetary unit.
a
Persons
subtle drug which has
in
high Administration
endeavoring to tell the
seriously advocated by some
distihguished economists in small
spots
doses.
be educated to the virtues of defi¬
been
How
small,
One
you
may
ask?
American
people
that they
must
distinguished economist, high cit financing. In other words, edu¬
cated to living beyond their means.
circles
today,
some
was
reduced his
years
that
ago
with
5%
inflation
not only
tolerable,
but beneficial.
He has since
measure
then
and I under¬
I
stand that he is
per
annum.
the
action
now
So
of
down to lVz%
devilishly
inflation
subtle
and
so
have
never
stand why a
not
be
been able to under¬
principle which
affairs
can
with impunity by
don't
believe
I wonder
a
is
can¬
violated with impunity
private
I
is
are
Administration
out
•
statement
a
States
in
Reserve
emphasized
point when he made
to
after year.
year
William
has little to lose,
the
>
mind, one
my
sponding favorably to greater gov¬
*
business¬
numerous
year
time
aid, stimu¬
raising
particularly
men,
per
came
to
such
Tragic C.E.D. Advice
to
note, and when it
steps
custom allowance of tourists.
statement
a
sound dollar
a
will
expenditures
or
or
other
is
on
take
may
of
exports,
it
situation
abroad for defense
lating
it
so
what
see
serious
a
the
sign
cur¬
effect
Hence
Administration
started
banker,
a
correct
can
have,
activities.
despite the efforts of
local
we
dampening
intentioned economists and others
our
create
experts V have
might
a
governments, and international in¬
stitutions. Wouldn't it be fine if
to
re¬
25%
in Vain
Award
simple step—raising interest don't know of a single nation that,
rates, the cost of hiring money, has been socialized : which, em¬
in
go
An
a
tional obligations is the use of gold
could
to
■.
that
than other nongold
money
except for foreign central banks,
we
ultimately brings about ruin.
Moreover, and highly important,
ing
out
nation has been
great
of
present imbalance of payments
flation is
a
billion, it
reserve
financial
power
deceptive state¬
gold
our
.
r
Some
brought about largely because the
worthy of
on
some
nation alters the gold basis of its
is
Federal Re¬
credit
expansion of the
new
Treasury,
at any
paper
though
even
Notice that
a
tion
>
point out that the unfortunate
This
enormous
although
during periods of defla—;
would
sition
or
for
person uneasy
deflation
true^
instinc—'
an
tion, and history shows that infla—
This ought to make
despite
might point out that when
occurred
government
lawful money at the United States
bank."
equaled 8.6%.
has
greatest industrial progress-
our
deposits,. sufficient
legal tender for all debts, public
and private, and is redeemable in
serve
re¬
ratio
of
to
*
■
the
historically
history shows that
behind Federal Reserve notes and
official disclaimers. Can you blame
them?
fear
rably
business
would amount to $360 million an¬
at.
1941
statutory
hoard' yields
the
to the
is about $3.5 billion above the
quired
thought,
Fed¬
note
in
is down to $15.7
reserve
but
all,
halt.
a
decreasing amount of gold. Odd¬
interest
3%
r
other
or
call
declining gold
our
informed
bonds
return
the; gold
nothing?
much
so
government
might
whereas
keep
in
billion.
go
The ratio for May 29, 1963 is now
down to the extraordinarily low
pointed
tion, abhorrent
I wonder how
of
erage for 1915-1932
our
they
how
to
the high point of 24.6%
(average monthly ratio).'The av¬
else¬
or
$12
loans
and deposits
Back
where in the United States which
over
knows
.
inclined
they
money
has
deed
Statement
possess
gold earmarked at the Federal Re¬
the
note
I refer to
today foreign govern¬
to
one
currency
before
paper
a
This brings me to an important
grown
use
tive
of
is
businessman
part of
They, are watching regularly the
steady erosion in the ratio of our
Interest-Free Gold
Bank in New York
them
as
helping support the dolla
ly enough,
serve
of
structure that has been erected
Why Foreigners Hold
tion."
Reserve
No
it shows the
ments and central banks
Some
would be
point of 4.6%.
;
nations
they would be injuring
every
clauses.
these
to
That
economic
monetary reserves. If
deliberately weakened our
dollar
in
care
initially that personsv
loathe to see it;:
generally
are
own
of all
descriptions containing gold
is
the nongold U. S. dollar
means
history.
fact
in gold rather than in paper bonds
gold, is better
dollar is better than
surprised at
.
The
cared
deep interest in the strength
a
through
fineness
financial
so?
gold
our
if they
Why don't they
so.
to
dark stain
a
they placed their
pockets today,
in
Federal
ment is not
on
nation, the wealthi¬
most
world, then
and
loss
in
if
of World
years later our
the
helped
part.
For
est
It has
monetary
national
a
has
a
in
I
the
obtain
monetary system based upon the
destruction of a
property right is
considered sound. I think it is
to
simple
whether
the
comprises
*
a
thoroughly
that type
we
currency?
this
le¬
can
and
banks, but
seems
our
redeemable
or
Canadians Can Own Gold Coins
Our Canadian
neighbors
ques¬
are
r.
■
which
redeemable
paper
'/ " ;
f'
The
redeemable at will in the precious
metal?
Obviously, a redeemable
profit from any prospec¬
**
the best.
possessed prior to 1933 which
a
to do
completely
to
which would have been obtainable
assets
cur¬
American
arises, have
note
than
crisis'
cause
gold from those who
.«>»
■
of
asking
coin
losing confidence in the dollar,
tive devaluation?
to be
note
serve
don't
of
This is
reap
do
that thousands of
money
roosters
serious-and
more
rush for
in
to
Why
of human experience have
serve
traffic
a
had
previously
same
deprived
being
tunity
of money today in the Federal Re¬
how'big a golden
legal. May-we antici¬
is
of
tion then
today
rooster
it
obligations
gold of the
the
1 possible. In
as
European
some
answer
strangely
But
won.'
the
it for they were caught at the time
by
which
take
we
he
raise
this
do
nation's
our
by getting rid of their paper
shown
the
enough,
on
short
years
But the tavern keeper
courageous
to
solemn
quality.
money,
kind
Internal
the matter to court
and,
To
ounce.
repudiate
taking steps to protect themselves
on
It
confiscated
per
their
golden
hotel.
authori¬
price of gold from $20.67 to $35.00
debauched after another. It's goingj
nually—a
a
afoul of the
a
motive
Government
decided
generally appreciated.
you
ordered
Federal
eventually
re¬
the fact remains
the fact that
is replete with
instances
and the
our
San Francisco jew¬
a
wasn't" long
was
ran
the
the
monetary
may; tions this
very, minute.
jail. Indeed, only recently
I think many will agree that we
enterprising tavern owner in
Americans ought to have the finest
Sparks, Nevada,
what
However,
land in
ah
that
would
level
animated
ties at that time,
the
over
from hand
passes
History
inflationary
but
to
full
a
don't have to be
rency
rings,
down
uneasiness
Hopelessly Insolvent."
purchasing
heavy
jewelry
have
our
prosperity would
Regardless of
may
backed
the, price
increase and
turn.
which
gold
and
high
ing
can
reserve
do
unemployment, why should
many
it.. We
necklaces,
,
to melt it all
we
still
we
wives
our
furnish
can
but
for
alarmed at the
subterfuge,
some
not,
or
gold, they could wipe out
have
of
page
though it is coupled with
to
piling
bootleg gold there is in the United
States or held abroad by Ameri¬
cans
uni¬
some
stimulating
The
approximately $17 billion, into
price
issued in
even
the
plenty. I don't know how much
up
a
claim¬
desire, convert
so
to
versity circles that by raising the
redeem its dollar bonds
"No Longer the
in
was
widely advanced in
was
year
expert to ascertain the quality of
shall
I
double
a
country
At
serious depression and the theory
Life,
ity in the nation today,
you
gold they
are
as
unknown group, or a
an
most of our
central'
as
while
a
the
time
in sight.
yet
plight of the dollar? Money is a element in the current predica¬
mystery to most people—even to ment of the dollar which is not
bition obviously has to be confined
ropean
such
considerable
paid
anyone
we
Our prohi¬
so.
Once in
Considering the great
Afri¬
new
dol¬
the
that
not
they
curbed.
reached
rate of
The hottentot
others,
thoughtful readers.
ernment Is
integrity.
;
Thursday, July 25, 1963
.
their claims against us, amounting
created
game
regardless of its
money
of
aware
Journal entitled
Street,
the rules of the
once
to
and even widely-cir¬
vertisement
the
set, the emphasis is apparently
<are
on
may
and
is
which
end
international
and
ants can, if
serve.
person,
property right is to be corrected,
the
happened
officials
carried
long ago
the
of
has
of
the
official
Almighty Dollar" which must have Foreign nations haven't forgotten
among
be wrong, that
may
ig¬
generally
magazines
Life
developing the entire West. I have
an
what
editorial entitled
important role in
an
nation
manipulation,
currency,
say
American
attempt to alert the people. A
metal, and where gold has
played such
the
yet
as
becoming
ago
the
of
source
a
Stirrings
dollar, businessmen, bankers,
culated
great
-
State of Colorado which is rich in
tradition
are
newspapers,
the
to
of
lar's predicament.
think
prohibition would be
sive,
well.
as
mass
people
are
gold
should
I
the
government
enemies
become
of the people when we hold
this
that
I
under¬
we
but
Although I think it safe to
persons.
-Nowadays
allies
enemies
say,
the
thoughtful
late
our
Some Worrisome
national product,
uneasiness
grave
neath surface
V
all, they
After
gross
dollar we are doing that
thing—borrowing heavily not
very
not interested in
are
the
in
Some "modern" economists
they
the
ago
years
drifted away from gold and started
monetary
relic."
.
*1.
...
tell you
.
citizen
it
be
the government.
can.
Moreover,
why it is that as soon
obtains
in
violated
as
public office he
supposed to speak with a wis-
Volume
198
Number
6284
.
.
The Commercial and Financial Chronicle
.
(365)
*■
dom over, above, and beyond that
these
of
will be pleased to help.
most
people.
suppose,
is that the
essarily
speak
he
speaks
am
the
wisdom
numerous
this
against
return to
a
'argument against
gold
:
a
reflection
gold
lack
money into gold would
of confidence in the
desire to protect
a
one¬
self against a further deterioration
its purchasing
French
peasants
inflation.
r
did in
Otherwise
it
as
In
people
something
early
nations
in
1930's
'went
off'
our
action
governmental
or
we
the
number of
a
the
gold
many
Past and prospective
debasement is
see
many
or¬
citizens
more
well-organized minorities
or
concur-
5'
rently
trying to persuade the
are
government
to
spend
public welfare
,on
grams.
funds
more
other
or
pro-
7/7777:777777777777777
.
"
World Is Loaded With Gold
I,may
now
and
in¬
government... It
complicates
upon,
and
all business, saving, invest¬
warps
ing, wage and tax decisions. It has
'
v
injus¬
•
'
-
"
observe, too, that
there
is plenty of gold in the world toY day.
Billions of it are in hiding.
;■
Any competent mining engineer
./••J. knows that vast quantities of, gold
-; -
of
National
ified.
.Headquartered at
.
St.,
Kansas
City,
incorporated
was
addition,
some
2632
Mo.,
McGee
on
April
17,
and - is authorized to write
1961,
life,
accident
and
health
insur¬
The company
ance.
to
the
as
adopt
resolution such
a
Greenwich,
ber did
recently
"Dollar
Conn.,
integrity
Nothing
—
is
sound
the
of
progress
nation
the
mails,
with
and
another
has
firm
ar¬
to
act
its agent in the. solicitation of
in
depression
of
in¬
pay
...
-
able
profits
with envi-
so
arid
Of
reserves.
in gold mining, as in cop¬
lead, and zinc, marginal mines
course,
.
per,
bp found that cannot make
/77 a go of it at today's prices. Better
times
for
the
gold miners/in the
United States would involve either
another devaluation of the
7
a
subsidy,
or
'^purchasing
7 through
power
in
the
the7dollar
of
deflation
some
dollar,
increase
an
of
had
20
for
do
•
be
nation from
.
continuation of the
a
critical
-present
dollar
situation
■';HJ which is apt to affect his future?
"He
decide to do nothing/leav¬
can
ing the field to
*1 believe
that
These
•
come
Or he
are
and
the
well
on
repaid.
bankers
nies
in
the
saddle
better acquainted with
etary., history
his
contin¬
endeavor to be-
can
7 time spent
'-be
the
firmly
inflated currency.
an
persons
today.
need
we
ued opiate of
•
many who
as
theory.
Any
subject should
One
can
insurance
or
to what
mon¬
they
are
needle
compa¬
doing, if
^anything, to protect him. One
hbe surprised
^ knowledge
_As
at
a. source
of
their indifference.
or
of first-rate informa-
htion I would suggest communicat•
,ing with the Economists' National
Committee
the
on
Monetary Policy,
American
Institute
nomic
Research
cently
published
booklet
-urge
"Why
everyone
which
a
to read.
for
of
fared
Street,
New
York
Brown
has
an¬
marketing.
1962.
is
action
has
ration
of
that
long since passed
stronglv
now
for
reason
recommend
the
former
and
resto¬
redeemabil¬
ity of the paper dollai* niaking^it
a
store of value and
thereby
the New York office
Clifford
of
Clark
A.
an
as
we
assistant
in
manager
office.
the
Boston
7':-;' Mr. Bartlett, who has beeh with
the
firm
expenditures
is
since
1956,
has
(4)
and
in
dence
World
international
monetary
our
history, and
confi¬
standard.
our
has
own,
repeatedly demonstrated the fact
that the
of irredeemable paper
use
by
currency
nation
a
removes
of the purse from the
power
the
ment
in
spending, promotes
the
purchasing
decline
a
of
power
monetary unit, and
the
the road
paves
credit
firm
department,
in
1956.
the
with
the
firm
in
with the
came
Mr.
investment
ment.
Zedren1955
is
and
research
in
depart-
7/777'?7vv7>/
advisory department of the Boston
office
having joined
1960. He
&
was
cult for
a
came
'/Mr. Clark is in the investment
peo¬
ple, leads to profligacy in govern¬
who is in charge of the bank's
in
the firm
formerly with Blyth
Co., Inc.
one
turn
in
of
the
some
confidence
dollar
by
redeemable
result
in
dling gold
of
reserve
dollars
in
in
gold
is
re¬
once
products that are possible out of
the research laboratories for
dwin¬
without practical limit;
the
tional
:
from
the
the
$12
Federal
Can
drawing
now
arise
upon
governmental
a
nouncement that
has
increased
our
rather
ished
through
eign
governments
mending
To
is
a
will;
our
the
gold
reserve
than
dimin¬
action
who
for¬
see
distribution
a
dollar redeemable
in
I
Either of
appointed the follow¬
;
Activating:
Don
.
Schuhmann,
Bache & Co.
Constitution:
A1
Elsesser, Kid¬
Education:
&
Alan
Gage,
Parrish
rights. It is
a
of
our
Employment:
Gordon
Price,
dollar that is
a
good
It is
or
communize
loved country.
such
a
It is
a
our
Entertainment: A1 Frank,
Grievance:
Stearns
dollar with
high moral standard
it is worth
fighting for
no
.
that
matter
how long the struggle or how in¬
All
Ajax
Colgate's
wrappers.
once
the number-one
toothpaste
United
the
Al
Gross,
Co.
&
..
Bear,
77
7,
Legal:
Leo
Larkin,
Carl ^M.
-
Chapters:
Tom
Meek,
Gamble's
the
from
Relations:
Joseph
Bit¬
terly, Dean Witter & Co.
Managers:
Leon
Tooth¬
recovering
now
reached
1962).
in
products help boost 1962
new
domestic
sales
biggest
the
&
Procter
(Colgate
are
lows
effective
as
as
Crest.
sales
15%
dollar
company's 156
new
1961—
above
lower
hoped
keep
expected
Colgate
domestic
that
in
Her¬
bert, Hayden, Stone & Co., Inc.
earnings
It now
will
the
share
on
tion.
(Colgate
common
mil¬
but
growth
enough to
earnings even.
earned $2.02 a share
in
be
1961, and $2.18
looks like 1963
around
present
$2.30
a
capitaliza¬
recently
five-for-four
more
from the banks.
be
to
Colgate is known
looking
at
of
number
a
smaller companies for possible ac¬
approval has quickened the tend¬
of
ency
smaller companies want¬
be
taken
companies.
Cash
ing
to
would make
course,
7s
The
possibilities
of
im¬
and a higher
those earnings give
earnings
proving
evaluation of
special-situation
Colgate
teristics.
The
charac¬
has /
company
opportunity
magnificent
its margins on
a
hike
to
its established do¬
business,
non-existent,
practically
now
to
a
competitors'
respect¬
more
able and credible 3%
with
of
direct con¬
a
reported earnings. *
twin
mestic
large
by
over
acquisitions,
In line
net.
Col¬
margins,
should also be able to take
down 5% net on future new busi¬
gate
continue to
make
also
grow
should
creditable
at a
cash ? acquisitions
and
rate
earnings
Foreign
ness.
a
tion.
could
significant contribu¬
;
//7://;
/';
.
v'7:7;:>7
Colgate's past policy was timid
and
clearly appears to have
now
been
a
1965-67.
could
generate
of $4 a
share Ipy
it
itsplans,
earning power
pose,
the
If
is completely successful
company
in
mistake.
serious
Given
more
a
aggressive
it is difficult to see how Col¬
gate will not be at least partially
successful in improving sales
earnings.
■
and
In time/this could re¬
sult in substantially higher
pricks
1
for the common.
Stuart Haupt Co.
split
and
To Be Formed
report
earnings
would be great
I960,-$2.13
prob¬
expend¬
to
continued
consolidated
can
substantially
company
borrow
history.
year
itures from $8 million to $32
lion,
the
and
*
shows;
in
gain
sales
marketing
product
last year.
Harris, Upham & Co.
Uptown
supposedly
cavities
The company
Co.
National
Public
is
overseas
Membership: David Bell, Gruss
&
it
that
in
(5) In quadrupling research and
Loeb, Rhoades & Co.
a
be¬
include
bath, and Baggies dispos¬
plastic
toothpaste,
the
Laird & Co., Corp.
property
store of value at all times.
socialize
able
The
Co.
a
fabric
which
of
paste
der, Peabody & Co.
.
the
number
a
products, the most impor¬
against
dollar, therefore, pos¬
Insurance; John Howatt, Harris,
sessing integrity and closely woven Upham & Co.
into
1961
selling
year:
ably
Purpose Cleaner, Soaky children's
Customers'
/
Since
States, has also been improved so
dollar
gold at
new
77'' tant
Ladenburg, Thalmann & Co.
sound
demand through na¬
ing Committee Chairmen for the
us
ways?
recapitulate,
It is
of
of
into na¬
andv building
products
new
coming
an¬
dollar that makes it extraordinar¬
which
Brokers has
not picture
you
the surge of confidence that would
Association
The real
the field—get¬
advertising.
bubble
The
bank, and owned by for¬
interest.
7/'.'77 ?
Committee Chairmen
com¬
panies like; Colgate are therefore
of
should
our
to duplicate
Colgate has introduced
Customers' ^Brokers
integrity ''''7:':•'/''• 7/^7V
gold
at
eign nations but not
any
a
of many billions
earmarked
Reserve
and
transfer to
a
reserve
making it
again
billion
gold
our
$15.7 billion,
lents
sheet
balance
tribution to
feature, and the number of "new"
tional
though
$70 million in cash equiva¬
it.
competitor's product, feature for
ting
cash-rich-
latest
jtear-to-
breakthroughs
battle is fought in
*
/
also
over
half-way
detergents
company
up consumer
to socialism."
at
and
It is not too diffi¬
toilet articles.
son,
is
1965
Colgate
greater
in
occur
be revised
may
1965.
$31-? stringent Food & Drug Adminis¬
tration policies for new product
of
year.
about
Research
cleai; pattern of
a
this
year dollar increases behind
general
to strengthen
necessary
national
the
Given
1963.
The
through its higher spending pro¬
with
Thus,.
$28-$30 quisition and would prefer to ac¬
The more
year quire them for cash.
of
:
for
shouldJlevel off
therefore
gram
.
.
pro¬
ily difficult, if hot impossible, to
re¬
planned
and in 1964.
(6)- 'Colgate
in
$25 million in
An 7 increase
million
con¬
earnings could be 10% ahead
upward before
upped to $15 million in 1961
and upped again to
heaviest
the
earnings multiple
budget
the amount spent in 1964.
the
As
new-
with
growing earnings, Colgate's price-
preceding
The
1962
earn¬
pro¬
of
$8 million
product
ahead of 1961
were
late this year
new
obviously
in
further
are
completed, should also start
more
In 1960, Colgate spent only
on research and new
years.
Co., 59 Wall
City,
well
too
earnings
but / esti¬
products,
1964
business
managers in
gold.
or
has
Colgate's
earnings
1965,
tributing to the earnings column
two 4 critical
in
Eco¬
magnificent
Gold?"
marketing,
is
ings. Some of Colgate's older
ma¬
research/. and
on
-
ex¬
motional expenses at introduction
translated into
was
ending -substantially
was
of
A
in ;mid-1960
valued and declared irredeemable
may
their lack
This
1963
earnings
with the express purpose of over¬
not
Harriman Appts.
firm
mated
Colgate's foreign activ¬
domestic
is
'ahead of 1962 earnings than
profit margin should
entire
prod¬
new
As noted, the tar¬
improvement
&
the
av¬
recent
home
at
get date for significant
ities/was .installed
money
developed
coming years).
George^ H./ Lesch, formerly' Di¬
sp
in
com¬
inordinately
has
overseas
million
pected to continue at that rate in
-
Brown Brothers
banking
ucts
management team headed by
rector of
$1.5
times
now
in¬
gains,,
offsetting the in¬
now
and bolstered by
years
approximately
temporary phenomenon.
a
'new.
earnings
as
Colgate's
trans¬
expenditures, should also
showing up more clearly ir*
eraged
Gamble, General
Foods, and Bristol-Myers.
(3)
be
30
Procter
ex¬
earnings
earnings
1962
to
should
good"
gain in earnings
records.
and still another increase
Even
can the interested citizen
protect his family and the
to
for
Once
domestic
approximately
times
pared
growth
$1.12).
off,
Foreign
are
equivalent of
consolidated share earnings.' (The
en¬
same
but which
consumers
good
$33 million for next
the
■■
creased
brand-name
Bartlett, Neil A. Morrison, and
Gerald F. Zedren, Jr. as assistant
down to
7 ,7' What
selling
sells
our
greatly expanded credit. 7
of
are
the
nounced the appointment of Peter
During
to
are
essentially
level
into
competi¬ 'start
B.
will.
the 30's the paper dollar, was de¬
"*
marketing
increases
which
they
as
the
from
and
creases.
willing to
number of its
a
in
responsibilities in the commercial
remain to be mined in the world. viding it with the
quality of in¬
rarely
banking department. Mr. Morri¬
77/ South Africa, the world's leading tegrity so
//annually and doing
have;not been
much, for Colgate
as
Colgate
;
producer, is breaking all records
a
which the company had
as
at
performance,
product
;7//
.
Brothers Harriman &
gold
earnings
areas
a
dollar, which is defined
dollar' redeemable
flat
chinery,
The
than
lated
through
important to the welfare and
more
a
Cham¬
this
hauling
follows:
as
and
Given
solicits appli¬
cations for'insurance entirely
prod their local Chamber of Com¬
merce
share
$2.18.
$1.94
to
share
a
penditures
earn¬
earnings
equalled
low domestic
National
want to
may
qual¬
companies in Missouri.
surance
1953
1962
ings
legal investments for in¬
as
business.
In
Life
Central
basis,
sales
products to
common
will be invested in securities
as
7
consolidated
business
Co., Inc., Chicago. Net proceeds
ranged
Redeemability Now
Urges
V
&
dollar,
continuing—
a
research
gaged
being made by Cantor, Fitzgerald
his¬
often- overriding—concern of
and
:;/7\ /..v/;//////?;
or
its
tice."
to cut out spending and
balance the budget.
Probably
as
of
7
Insurance Co., at $10 per share is
of
nations,
introduced. immeasurable
re-
gressmen
'just
excursions
offering of 125,000
shares
of the great in¬
one
on
actual
continuing to appeal
the people to write their Con-
-•'to
with many other
common
tory.
Public
and
dependability
legislators
ganizations
-•to
the
a
have
ex¬
the dividend
$1.20
domestic sales of $327 million,
net margin of less than 1%. On
tors—companies " which.
Common Offered
basis
time
Continued from page 2
on
vestors
7/
-
Life Insurance
Since then this nation, in
flationary
gold
are
have for
buying
invaluable/discipline
an
of
of
bring
us
by Mr. Wormser before
Club, Denver, Colorado, July
Nat. Central
agree
Federal Reserve
paper
expect to
may
has
insuring
money.
Until that discipline is restored
t
_
the
time
into gold coin today,
disciplinary
demption of
.
is
most
of which does riot change
has been
cannot convert
you
motes is lacking.
f
but
it
trudes
But
through threatened
-
that
terest.
on
v
"Dependable money is variously
as
be
and
Many of
this to say:
defined,
•
THE SECURITY I LIKE BEST...
a
1963.
j ust
would
foster
address
Rotary
business
"'the
:t
a
is
it
glad to help.
the
downright silly to pile up gold in
a safe deposit
box, or at home, for
the gold would not draw any in¬
paper money
•
power,
West to
25,
again is
paper
the
The U. S. Steel
money.
ing
a
short,
25
P.
:
good citizens of Colorado
Corporation's Report for 1960 has
proven
show
In
peculiarly well suited
into being again.
*An
perience'
should
the
and
corpo¬
that the only reason for convert-
7 77 in
"
American
eheckrein that
7'-/ dollar and
:
great
one
and .thus lost a
be
.
Report
paper dollars"
terrific and greatly over modest spans of time.
hand to satisfy the demand.: A
moment's
1960
effort.
ration is alert to the importance of
re¬
common
77v\ there would not be enough
t
least
Steel's
the
something
-
encouraging to note that at
power
be
would
ad¬
return is that
a
^^:^;^e',;rush;'to^ convert
7r into
at
now
deemable paper dollar. A
^on
S.
U.
It is
the
surprised
arguments
tense
organizations
for
but
And
possesses
much
very
vanced
e
exempt
coupled with wisdom. ///;77.- dependable
I
.
he
tax
nec¬
lead him to think that
power may
it is
not
power.
that
I
answer,
may
with
with
fact
very
J/
The
"s.
the
raised
Stuart Haupt &
way,
of the
New
City,
members
New' York Stock Exchange,
has been formed
Partners/are
Ira
Co., Ill Broad¬
York
effective July 26-
Stuart
Haupt
Haupt II, both members
Exchange.
merly
a
and
of the
Ira Haupt II was for¬
partner in Ira Haupt
&
?6
The Commercial and Financial
Chronicle
(366)
Atlas
NOTE
—
Registration statements filed with
are
carried
now
shown in
tion." Dates
the
company's
name,
loan
separately at the end
of this section "Securities Now in
writer—None.
7
parenthesis alongside
not, in general, firm offering dates.
Also
shown
Registrations"
effective
licly.
under
are
the
7
J
caption "Effective
those issues which became
this week
and
offered
were
filed
1963
10,000
$1
capital shares
to
pub¬
be
not
be
Lindell
&
Fund
expects
Airway Hotels, Inc.
Beneficial
V'.v.v
April 1, 1963 filed 200,000
Price—$5. Business
common.
—Company owns and operates a chain of motor hotels,
apartment buildings and a shopping center. Proceeds—
rFor
loan
purposes.
repayment, expansion and other corporate
Office — 901 Fuhrmann Blvd., Buffalo, N. Y.
Underwriter—None.
.be offered for subscription by stockholders of Allegheny
jCorp., parent, on the basis of one Ventura share for
,each 25 Allegheny shares held. Price—By amendment
(max. $10). Business—Car rental. Proceeds—Allegheny
will
receive
the
proceeds
Address—Washington
D.
•
C.
loan
and
National
them
to /Ventura.
Airport,
Washington,
Underwriter—None.
All-State
Properties, Inc.
April 24, 1962 filed $5,000,000 of conv. subord. deben¬
tures due 1977. Price—At par. Business—Company and
subsidiaries conduct
general real estate business with
development and home construction
in Fla., Md., N. Y., and Ky. Proceeds—For
repayment
of debt.
Office—230 Park Ave., N. Y. Underwriters—
emphasis
on
a
land
To be named. Note—This registration was withdrawn.
Amerel Mining Co. Ltd.
July 31, 1961 filed 400,000 common shares.
Price—500.
Business—The
company is engaged in exploration, de¬
velopment and mining.: Proceeds—For diamond drilling,
construction^ exploration and general corporate ex¬
penses.
Office—80 Richmond St., W., Toronto.
Under¬
writer—E. A.
American
Manning, Ltd., Toronto.
Greetings Corp. (7/30)
>
July 1, 1963 filed $7,500,000 of con. subord. debentures
due Aug.
1, 1983. Price—By amendment. Business:—
Manufacture of greeting
cards, gift wrappings, and re¬
lated
items.
Proceeds—For expansion, debt
repayment,
working capital, and other corporate purposes. Office—
1300 West 78th
St., Cleveland. Underwriters—Goldman,
Sachs & Co., New York, and McDonald &
Co., Cleveland.
American Mortgage Insurance Co.
Jan.. 10, 1963 filed 31,070 common to be offered for
subscription by stockholders on the basis of one share
for each five shares held.
Price—$18. Business—A
§l^,§? insurance company.
Proceeds
mort-
For investments.
Office—300 St. Salisbury
St., Raleigh, N. C. Underwriter
—None.
7
■
—
.
7* J
Atlantis International
Corp. 7
April 30, 1963 filed 100,000 common.
Price—$4. Business
—A real
debt
estate
development
company.
Proceeds—For
^payment, property .improvement,"-and
working
capital. Office—700 Park Ave.,
Plainfield, N.. J; Under¬
writer— S. Schramm &
Co., Inc., New York. Offering—
Expected in early August.
of
N.
Burns
(William J.)
Inr>
International Detective
( ft /1 9m1 £% V
None.
class A common. Price—By
(max. $28). Business — Company furnishes1
protective services to industrial and commercial clients,
princpally by means of uniformed guards. Proceeds—For
selling stockholders. Office—235 E. 42nd St., New York.
of
BOUGHT
SOLD
QUOTED
for Banks, Brokers, Institutions
-
-
ytdneuStf. SIEGEE V%*Jna.
ESTABLISHED 1942
'
Members of New York
Security Dealers Association
39
Direct Wires
Price-r-At
HENDERSON & CO., INC., Los
Angeles
WOODCOCK, MOYER, FRICKE & FRENCH, INC.,
PhiladelphU
Office—114:
'
(7/30)
18, 1963 filed 150,000 cumulative convertible pre¬
Insurance Co.
($1,000).
par
Business—Company
plans
to
.'
1973
and
30,000
common
to be
shares
offered in units consisting of one $10 debenture and two
common.
sale
of
growth
tion
Diversified
Collateral Corp.
13, 1962 filed 77,050 common. Price—By amend¬
(max. $11.75). Business—A real estate investment:
company. Proceeds—For investment. Office—8397 N. ESecond Ave., Miami, Fla. Underwriter—None.
Price—$12
per unit. Business—Production and
designed to control odors, bacterial
chemicals
and
and
air
sale
pollutants;
of
June
ment
and
development, produc¬
vaporizing unit for dis¬
electronic
an
$22.25. Business—Com¬
plans to erect a small size production and experi¬
mental plant for the limited manufacture of deuteriumi
and deuterium oxide, and to establish and equip a gen¬
eral research laboratory. Proceeds—For working capital,,
construction, equipment and other corporate purposes..
Office—360 Lexington Ave., N. Y. Underwriter—None.
Corp.
(8/5-9)
28, 1962 filed $150,000 of 6% subordinated income
due
subscribers, $20; to public,
pany
Chemair
debentures
units for each $1,200 face amount of non-interest bearliig subordinated debentures held. At the same time, the r
company will offer the securities to the public. Price—
To
corporate. purposes. : Officerel068 S. Ocean Blvd., Pom^
pano Beach, Fla.
Underwriter—None.
'•!•" 7/
Dec.
basis of 3 units for each 5% prior preferred share held,
unit for each, 5% preferred A stock held and 40'
one
Offer management and consultant services to motels and
furnish them with equipment.
Proceeds—For general
pensing such chemicals.
Proceeds—For debt repayment,
equipment, sales promotion and working capital. Office
N. La Salle St., Chicago. Underwriter—Price In¬
vesting Co., New York."Note—This company/formerly
Doman
stockholders.
Helicopters, Inc.
19, 1962 filed 418,680 common to be offered for
subscription by stockholders on the basis of two new*
shares for each three held. Price—By amendment (max..
$1.25). Business—Research, development and construc¬
tion of experimental helicopters. Proceeds — To obtaini
certification of models, train service personnel, repay
debt, etc. Address—Municipal Airport, Danbury, Conn-
facture
Underwriter—None.
—221
named
was
Chemair Electronics
Corp. 7 7 -' 77'
:
*
April
7
Industries, Inc.
of
Price—$5. Business—Design and manu¬
women's, misses' and junior sportswear, co¬
ordinates, and dresses. Proceeds—-For debt repayment,
equipment and working capital. Office—2025 McKinley
St., Hollywood, Fla.
Underwriter—Clayton Securities
Corp., Boston, Mass.:- Offering—-Indefinite.
•
Life
Insurance Co.
of
New
order
subscription
by
stockholders
shares for each
three
on
the
basis
—Alex.
Brown &
two
issued
stop«
a
absorb
odors
and moisture);
■—
held.
Sons, Baltimore. Offering—Indefinite.
has
115,056 common. Price—$2.50..
(a home product used!
a cleaner for oven and!
barbeque grills; and a diaper garment for infants. Pro¬
ceeds
For expansion, inventory and debt repaymentOffice—2 Ryland St., Reno, Nev. Underwriter — First:
Nevada Securities Corp., Reno, Nev.
to
of
SEC
Business—Manufacturer of dri-zit
York
Price—By amendment
(max. $26). Business—Writing of life, accident, health
and disability insurance, and annuities. Proceeds—For
expansion. Office—444 Madison Ave., N. Y. Underwriter
Note—The
suspending this registration statement.
Dri-Zit Corp. 1
May 29, 1963 ("Reg. A")
,
?
Duval
June
Corp.
18,
1963 filed
of convertiblebeing offered,
the basis of one $100'
$10,000,000 of 4%%
subordinated debentures due Aug. 1, 1983
Coastal Chemical Corp.
June 26, 1963 filed 40,000 class
for
class D
Business—Min¬
ing, milling and marketing of copper, molybdenum, and!
potash and the mining and marketing of crude sulphur..
A common; also 40,000
by Mississippi Chemical
Corp., parent. Price—For class A, $35; for class D, $30.
Business—Manufacture of a variety of high analysis
fertilizers, anhydrous ammonia, and other fertilizer ma¬
terials and components.
Proceeds—For working capital
common
other
to
corporate
be
offered
purposes.
Address
—
Yazoo
City,
•
Coleridge Press Inc.
June
to
subsidiaries.
fered for subscription by holders of its stock and deben¬
•
Miss. Underwriter—None.
7WX: 212-571-0320
For investment in
St., New York. Underwriter—None.
tures in. units (of one share and one warrant) on the*
Castle Hospitality Services, Inc.
Pec. 14, 1962 filed $500,000 of 8% debentures due. 1969-
and
Broadway, New York 6, N. Y.
Dlgby 4-2370
—
1
7.
new
1
7
Cape Canaveral,Fla., and develop real estate, 7j> Deuterium Corp. / 7
v-::^V.-:.jVv77V/^7j''7:/; 77/
Sept. 28, 1962 filed 120,000 common with attached war¬
homes, apartment houses, motels, etc. Proceeds—
rants to purchase an additional 120,000 shares to be of¬
debt- repayment and expansion. Office—309 Ainsley
March 26, 1963 filed 40,000 capital shares to be offered
*
v;;
—
Bldg., Miami, Fla. Underwriter—Willis E. Burnside &
Co., Inc., "New York. Offering^M- early August.- .7 -
•for
«//NEW
;
30, 1963 filed 100,000 common. Price—$12.50. Busi¬
ness
Company plans to write automobile insuranceProceeds—For general corporate, purposes. Office—146'
Old Country Rd., Mineola, N. Y. Underwriter—None.
erect
Citadel
in
Proceeds
Defenders
29, 1961 filed 300,000 class A common, of which
225,000 are to be offered by the company and 75,000 by
in
'7(7 '.*••/ .77,*7:77..:/.
Jan.
Nov.
over-the-counter securities:
.7 .'7
& Smith Inc.
Hills
Chestnut Hill
<3^
■,
lay, Ohio. Underwriter—Merrill Lynch, Pierce, Fenner
computation and control. Proceeds—For
Office—6071 Second Ave., Detroit. Un¬
Enterprises, Inc.
May 10, 1962 filed .100,000 common. Price—$5. Business
—Company was formed to own and operate a country
club and golf course, swimming pool and cabana
club,
•
77/J:;7
—
derwriter—Lehman Brothers, New York.
For-
&
Cabot
dustrial rubber products. Proceeds — For debt repay¬
ment, inventories and working capital. Address—Find-
debt repayment.
near
Wilshire Blvd.,,
ferred shares (par $20). Price—By amendment. Business;
—Manufacture of automobile and truck tires, and in¬
accessories; also military products, primarily
field
mutual fundi
new
Office—9465
Cooper Tire & Rubber Co.
for each nine held of record July 19.
Rights
expire Aug. 5. Price—$23.75. Business—Production
wide variety of business machines, business forms,
in the
■:7;
Business
June
share
office
8.5%, Business—A
be
East 40th
Burroughs Corp. _•. 7 ^77
June 28, 1963 filed 742,144 common being offered for
subscription by stockholders on the basis of one new
a
plus
May 13, 1963 filed 45,000 class B common. Price — $40..
Company plans to acquire, organize, and!
manage life, accident and health insurance concerns-
•
and
Price—Net.
7, 1963 filed 2,000,000 capital shares.
Continental Reserve Corp.
Underwriter—Smith, Barney & Co., Inc., New York.
of
,
1963 filed 150,000 common, of which 100,000'
offered by company and 50,000 by Harry E,
Wilson, President. Price—$15. Business—Sale of hospital
and surgical insurance contracts. ^Proceeds—For invest¬
ment, sales promotion, and other corporate purposesOffice—4000 Aurora Ave., Seattle, Wash. Underwriter—
amendment
will
<•
12,
to
are
1963'filed" 150,000
July 17,
;
Fund, Inc.
Community Health Associations, Inc.
April
Office—122 East 42nd St., New York. Underwriter
,7 j'
poses.
Blvd., St. Louis, Underwriter—Edward D. Jones;
.
Y.
—None.
Canaveral
-
Co.
life and hospital in¬
capital.
Office—3570'
Beverly Hills, Calif. Underwriter—Kennedy,
Co. (same address)
Offering—Indefinite.
health insurance. Proceeds—For general corporate pur¬
A oonM/
shares to
Insurance
working
Proceeds—For investment.
1963 filed 200,000 common. Price—By amend¬
(max. $4). Business—Writing of life, accident and
ment
7
common
Life
of health, accident,
specializing in securities of foreign and American com¬
panies operating in the European Common Market-
(
June 28,
7
Allegheny Ventura Corp.
^July 12, 1963 filed 37,231 outstanding
Standard
Missouri
of
Co.
Insurance
Proceeds—For
value
asset
to issue
shares. Offering—Indefinite.
7
Proceeds—For
Co., St. Louis. Offering—Indefinite.
March
unless $25,000,000 of securi¬
accepted. This means that the
a minimum of 1,000,000
capital
and
Life
Common Market
consummated
deposited
mining.
Commercial
surance.
growth of capital and income. Proceeds — For invest¬
ment.
Office—35 Congress St., Boston. Underwriter—
Kidder, Peabody & Co., New York. Note—The exchange
are
filed 200,000 common.
1962
20,
Business—Sale
be tax-free for Federal income tax purposes. Business—
closed-end ! investment company seeking long-term
ties
ISSUE
ITEMS REVISED
for each 3.36 common shares held. Price—At-the-market,
A
will
7;0v■
•
ADDITIONS
PREVIOUS
Nov. 26, 1962 ("Reg. A") 46,000 common to be offered
for subscription by stockholders on the basis of one share
Inc.
par
Thursday, July 25, 1963
Colorado Imperial Mining Co.
'
.
offered in exchange for certain acceptable securities on
the basis of one share for each $25 of deposited securi¬
ties. Exchange is believed by counsel for the Fund to
flect the expectations of the underwriter but
are
Bay State Exchange Fund,
May 29,
re¬
77/;/7;;w
•
(
''■
.
Price—$1. Busi¬
exploration and
operating expenses. Office—Creede, Colo. Underwriter
—None..
7:7; ■ ::'7 -7 v;. 77; 7*; 77 7; 7 vy.; -...;
.
investment,. and advances to sub¬
Ave., Reno, Nev. Under¬
repayment,
SINCE
ness—General
sidiaries. Office—112 California
Registra¬
and in the index,
7
Sept.
for two insurance subsidiaries. Proceeds—For
company
the SEC since the last issue of the "Chron¬
icle"
Management Co.
.
★ INDICATES
Securities Now in Registration
March 28, 1963 filed $1,500,000 of 6% conv. subord. de¬
bentures due 1978. Price—At par. Business—A holding
.
19, 1963 ("Reg. A") 50,000 common. Price — $5.
General book publishing.
Proceeds — For
working capital and purchase of equipment. Office—60
Business
—
subscription by stockholders on
debenture
for
each
13
shares
held
of
record
July
18.
Rights will expire Aug. 9. Price—At par.
Proceeds—For
construction,
and
other
corporate
pur¬
Address — 1906 First National City Bank Bldg.,.
Houston, Tex. Underwriter—None.
poses.
Dynapower Systems Corp.
Sept. 28, 1962 filed 750,000 common. Price—$1 Busi¬
ness—Manufacture
of electro-mechanical vehicles and.
electronic
medical and marine purposescapital, equipment and debt re¬
Office—2222 S. Centinela Ave., Los Angelesdevices
for
Proceeds—For working
East 42nd St., New York. Underwriter—Hannibal Secu¬
payment.
rities, Inc., New York. Offering—In late August.
Underwriter—None.
Volume
198
Number 6284
.
.
The Commercial and Financial Chronicle
.
(367)
Eagle's Nest Mountain Estates, Inc.
26, 1963 filed $400,000 of 8% subord. conv. debs,
1983; also 400,000 common, of which 300,000 are to
offered by the company and
100,000 by stockholders.
vorking capital. Office—5150 Wilshire Blvd., Los An¬
geles. Underwriter—To be named. Offering—Indefinite.
June
due
*
be
The
securities
will be
offered in
benture and 100 shares.
units
Price—$350
of
one
Educational & Co-operative Union of
America
de¬
$100
N.
the
restaurant
and an amusement
complex. Proceeds—For
construction, debt repayment, working capital and other
corporate purposes. Office—2042 South Atlantic Ave.,
Daytona Beach, Fla. Underwriter — Alpha Investment
Securities, Inc., Atlanta, Ga.
-
v
•
Eastern
and
7-777:7//*
Income
Fund,
Inc.
--r'-vLv-Z
'
;
v
June 11, 1963 filed 403,000
common, of which 140,000 are
/ to be offered by
,company and 263,000 shares by stock-'
holders. Price—By amendment
Federal
working capital. Office—300 N.
St., Pasadena, Calif. Underwriters
White,
Weld & Co., Inc., and
Kidder, Peabody & Co., Inc., N. .Y.
•
—
.L
First American Israel Mutual
Fund
15, 1962 filed 2,750,000 shares of
Co., New York. Of¬
fering—Postponed.. ;/; LL-'V/'//7 /7"
Enzyme Corp. of America (8/5-9)
in¬
ment
7772/
77777/'
28,
1962 filed 300,000 common.
Price—$5. Busi¬
ness
Operation of Jai Alai games and pari-mutuel
betting. Proceeds—For rent, purchase of leased
quarters,
building improvements/working capital. Office
Fern
Park, Fla. Underwriter—Consolidated Securities
Corp.,
Pompano Beach, Fla. Offering—Indefinite.*
—For
sales
new
i
vi;sr
offices,
advances
'J-y■: ■.'/v
funds
to
Proceedt
subsidiaries
•••v.v
7-"•
and
—
: I:j Vkc 7"
7';v7 L/7/
11, 1963 filed 800,000 common.
Price—By amend¬
(max. $3). Business—Company
plans to engage in
the writing of
life, accident and health insurance. Pro¬
June
ment
August 6
(Thursday)
;
(Bids
12
United
Equip. Trust Ctfs.
EDST)
$6,525,000
7i/"7
NuTone, Inc.
July 26
"
75,000 shares
Corp
(Kuhn, Loeb
July 29
Co.,
Inc.)
Mutual
Finance
Stabell)
(Shearson,
&
July 30 (Tuesday)
Goldman,
,,
Greetings
Corp
and
Co.
(Merrill Lynch,
Pierce,
Power
&
*
;
12
Bonds
Co
;
EDST)
Boston
Corp.;
Cullom
Nikko Securities
Davis
&
Co.)
Trailer Train Co
Ltd.;
and
Shelby
/7
a.m.
(Bids
Inc.»
&
mon.
12
Continued
Read
(Friday)
&
Co.,
Barney
Inc.;
&
/
-
noon
(V.
/•'■".
7
7,
' (Bids
'
12
noon
7
Ripley
September 5
Bonds
Boston
Inc)
Corp.; and
$20,000,000
7
"
Smith,
(New
E.
'
September 9
Norfolk
Co
Plohn
August 13
&
(Bids
'
.
7
150,000
12
noon
Securities
12
noon
(Bids
/
12
7
7 7.
October 3
•
11
166,376
Eastern
(Price
C.
2——
Investing
Co.)
&
(Bristol Securities
$180,000
Co.)
(Charles
Jim's
&
Service
(Keon
Inc.)
7
Class
Co.)
t—-Common
$240,000
200,000
Co.)
A
Shares
$4,575,000
/
,-i*
:
Equip. Trust Ctfs.
be
; ■
••
(Bids
Plohn
&
;C:'
■
'
Securities
;
r
'
^
,
'
Tr. Ctfs.
7.;• 7Y
Bonds
—
7
$18,525,000
;
received)
/
Debentures /
$25,000,000
7
Service
be
Co.)
$731,250
'
-.
...
October 15
;
1
.
Corp
received)
'
.
Bonds
$15,000,000
7.7-7
(Tuesday) 7.V777/77:./77
.
Jersey Central Power
___CIass A
(Bids
7
October 22
Capital Stock
&
Co.)
201,150
shares
11
&
a.m.
Electro-Optical Systems, Inc.—
(White,
Weld
&
Co.,
& Co.,
Inc.,
and
t
Peabody
Co.,
Natural Gas & Oil
Inc.)
November
Inc.) 403,000 shares
Peabody
Debentures
&
Co.,
Inc.)
&
Co.)
7
$4,000,000
Producing Co
<Peter. Morgan
$900,000
,
;
Corp.
(Bids
£
(Tuesday)
New
Units
Co.)
August 27
$875,000
-
7-
*' ' 7
,,
■'
v.*.;
New England
(Offering
to
11
a.m.
Debentures
EDST)
'
$40,000,000
V
2
;
Bonds
received)
$30,000,000
22—
be
to
received)
7.
,
.
—Preferred
S7.000.000
underwriting) 2,099,858
Com.
Northern
.*>
shares
.
(Tuesday)
Power
to
(Bids
be
to
December 10
$35,000,000
Telephone & Telegraph Co
stockholders—no
EDST)
Co
Bonds
received)
$10,000,000
England Power Co.—
-
Co..
7;
Debentures
—
be
19
(Bids
(Tuesday)
Gas
(Bids
Common
N
Star
England
$1,000,000
New
Lone
$9,000,000
7 7
of Missouri
Warren
to
/,/:
.Debentures
^
(Thursday)
(Bids
Units
L.
7
a.m.
Power Co
November
August 20
Resort
11
Georgia Power Co
Common
Warwick Fund
EDST)
(Tuesday)
(Bids
,
2„Common
Kidder,
Light Co
Public Service Electric & Gas Co
'
.
Common
(Van Alstyne, Noel & Co.)
$1,200,000
'
EDST)
.
'•
,
to
7
(Monday)
(R.
$100,000
Top Dollar Stores. Inc.--—
.
7
(Tuesday)
7
•.
.■
Wisconsin Public
-
./'7//
Brooks, Inc
shares
Inc
National Fence Manufacturing
Co., Inc—.Common
(Netherlands
'
(Thursday)
October 8
(Wellington Co., Inc.) 300,000 units
Capital
Systems,
&
August 19
$400,000
Trading Co.
(Nemio,va
Lord
—Units
•
Kimball
Enzyme Corp. of America
Investors
7
$5,000,000
& Light Co
a.m.
(Bids to
7
./'•^;^v:p
(Thursday)
(Kidder,
Investors, Inc
(Paul
Bonds
—
shares
Mohawk Rubber Co
Corp. 2—
.
CDST)
Columbia Gas System, Inc
$300,000
*
,/';7^7
77.
EDST) $15,000,000
noon
Jersey Central Power
(Bids
Common
EDST)
7
(Tuesday)
Common
Co.)
$6,900,000
Chicago Burlington & Quincy RR.„Equip.
'77;/:
Common
$450,000
Co.)
/
Equip. Trust Ctfs.
EDST)
(Wednesday)
a.m.
7
,
Co.)
&
v
(Monday)
(Bids 11
sharps
7
—Bonds 7
Northern States Power Co.
(Minn.)
October 1
&
77
$12,000,000
Western RR
Debens.
(Tuesday)
t-Dids
$7,50u,uud
$30,OCO,OCO
100,000 shares
Anaerson
"sork
/"""/*•'
August 5. (Monday)
Chemair
ED3P)
Iowa Public Service Co.—
V 7
(Bids to be received)
CDST) ;$3,900,000
Ohio Co.)
(Bache
.
.
28
page
(Thursday)
Common
*
Bobbie
;;
First
Co.,
on
September 4 (Wednesday)
Southern Pacific Co.—
Equip. Trust Ctfs. '
-•
—Equip. Trust Ctfs.
rnc.)
(The
Debens.
Nippon Tel. & Tel. Public Corp.——.
'f
subordinated
July 1, 1973; also 37,500 com¬
debentures, $10; for common, $4. Busi¬
Price—For
ness
Operation of
self-service, drive-in restaurants.
Proceeds—For
expansion, and working capital. Office—
1901 Sunset
Ave., Rocky Mount, N. C. UnderwritersPowell, Kistler & Co.,
Fayettville, N..C.; Allied Securi-
$325,000
Co.)
Global Construction
Devices, Inc.;
;
.
•
gen¬
Securities
•
'
(Dillon,
Price—$2. Busi¬
EDST) $4,800,000
(Wednesday)
August 1
Plaza
iy
common.
Hardee's Food
Systems, Inc.
June 21, 1963
("Reg. A") $150,000 of QV2%
convertible debentures due
September 18
Atlantic Coast Line RR
shares
Southern Bell Telephone &
Telegraph Co.
; /
(Bids 11 a.m. EDST) $70,000,000
7
For
—
duPont
Building, Lincoln, Neb.
Underwriter—None.
(Monday)
August 15
July 31
-
Hart.
Regulator
«S-th
Equip. Trust Ctfs.
(Bids 10:30
■
v
Co.
400,000
&
Rollings Broadcasting, Inc
Preferred
100,000 shares
Tokio Marine & Fire Insurance
Co., Ltd.—A. D. S.
(First
Bishop
(Charles
<7-
,
noon
Proceeds
eral corporate
purposes. Office—1107 Federal
Common
Juniper Spur Ranch, Inc.-
•
EDST) $30,000,000
a.m.
estate.
Office—811
ness—Company plans to operate subsidiaries in the
fields
of banking,
insurance, finance, etc. Proceeds—For
v
.
Heck's, Inc.
150,000 shares
Co
Pacific Power & Light
(Bids
Inc.)
Business—Acqui¬
of real
purposes.
Greater Nebraska
Corp.
20, 1963, filed 3,000,000
(Thursday)
;777
$7,500,000
Preferred
Fenner & Smith
-
Carolina Freight Carriers
Corp
Debentures
Co.)
7
7
,
&
development
corporate
Feb.
Burns (Wm. J.) Int'l Detective
Agency Inc.—CI. A
7
.
McDonald
i.
-
Harriman
$42,884,000
Dillon, Union Securities
August 12
shares
Co
Light
(Bids 11
Common
200,000
-Jy-
Cooper Tire & Rubber
Pacific
Co.)
Sachs
&
7
$300,000
2—
Hammill
Inc.)
Gulf, Mobile & Ohio RR
.
V.
:.*J
L.
August 8
shares
Debentures
(Earl), Inc
American
800,000
Co
(Donald
Scheib
Inc.)
of
beneficial interest.
Proceeds—For invest¬
Office—530 St. Paul PL, Baltimore.
Underwriter
—To be named.
Note—This firm formerly was
known
as Continental
Real Estate Investment
Trust. /
Greater Miami Industrial
Park, Inc.
Feb. 25, 1963, filed
136,094 common to be offered for
subscription by stockholders on the basis of
one share
for each \Vz shares held.
Price—$5.50.
Debentures
by
—
(Baseman
Murphy
Co.,
Minneapolis-Honeywell
Founders Life Assurance Co. of Florida—Common
Wulbern,
Aug. 3, 1961 filed 300,000 shares
Price—$10. Business—Real estate.
ment.
Bond*
$45,000,000
Corp...
(Parker,
50,000 shares "
(Monday)
(Pierce,
EDST)
stockholders—underwritten
&
Inc.
.Common
&
a.m.
August 7 /(Wednesday)
Independent Shoe Discounters Association,
(Friday)
Uris Buildings
to
7"";
7
11
Aircraft
(Offering
.Common
(Lehman Brothers)
"
-
Great Continental Real Estate Investment
Trust
;
'
Lane, Teaneck, N. J. Underwriter—Charles
Plohn
Co., New York.
(Tuesday)
(Bids
no->n
&
7-*V5
.•
Indiana & Michigan Electric Co.—
Chesapeake & Ohio Ry
Cedar
—
Founders Life Insurance Co. of Florida
'■(7/29)
NEW ISSUE CALENDAR
July 25
1962 filed
ness—Manufacture,
—
•
(max. $6.50)s
Business—A
selling life insurance and mutual
firms
Construction
Devices, Inc. (8/15)
225,000 class A. Price—$3.25 Busi¬
sale and lease of steel supports and
beams used in
construction. Proceeds—For debt
repay¬
ment, expansion, research,1: and
inventory. 10ff ice—545
29,
Center, Miami, Fla. Underwriter—None.
Florida Jai Alai, Inc.
-
Global
to
.
Price—By amend
holding company foj
•
general
June
"Clinizyne"
Equity Fundng Corp. of America
/March 29, 1962 filed 240,000 common..
Offering—Postponed.
June
sition and
beneficial
Price—$10. Business—A mutual fund which
plans
invest primarily in
equity type securities of Israeli
Postponed.
1963, filed 120,000 common. Price—$2. Business
plans to market a new drug known as
;;—Company
N|ew York. '
discount
a
Garden
terest.
companies. Proceeds—For investment. Office—141 Milk
St., Boston. Underwriter—Paine,
Webber, Jackson &
Curtis, Boston. Offering—Indefinitely
27
to be used for treatment of a
variety of
tumor related diseases.
Proceeds—For equipment, sales
promotion, research and development, and
working cap¬
ital. Office—727 Land Title
Bldg., Philadelphia. Under¬
writer—Bristol Securities Inc.,
of
Aug.
operating expenses, equipment, inadvertising.; Office—118 E. 28th St. New
York. Underwriter—L. D. Brown &
'
of
State Small Business
Investment Co.
/
Oct. 27, 1961 filed
330,000 common. Price—$3. Business
—A small business
investment company. Proceeds—For
investment. Office—1180
Raymond Blvd., Newark, N. J7
Underwriter—Godfrey, Hamilton, .Taylor & Co., N. ¥.
,
.
v
7 rials. Proceeds—For
7
Corp.
outstanding second preferred .stock,
working capital, and other corporate purposes.2 Office—
1701 Pennsylvania
Ave., N. W„ Washington, D. C. Underwrlter—Mackall & Cqe,
Washington, D. C.
common. Price—$2. Business
>—Manufacture of the SAFER Butter Chipping
machine,
and processing of
tray-forming and chip-covering mate-
Feb. 21,
Finance
engaged in the sales finance business and the
writing of marine and credit life insurance.:
Proceeds—For
/redemption
//Jan. 29, 1963, filea o0,00o
/ventory and
Services
are
For debt repayment and
y# Electronic Dispenser Corp.
Price
July 1, 1963 filed 64,000 common to be offered for sub¬
scription by. stockholders. Price—By amendment
(max.
$20)i Business—A holding company whose
subsidiaries
(max. $10). Business—
and*manufacture of
optical systems for the Defense Department and for
private industry; Proceeds—
$ Design
Halstead
Business—Operation
—
tc
are
erties. Proceeds—For general
corporate purposes. Office
/—62/Richmond St., Toronto. Underwriter-^. V.
Kirby
Associates, Ltd., Toronto. r
"
//
•
*'
//■
Fidelity Mining Investments Ltd.
Nov. 30, 1961 filed 800,000 common.
Price—By amend¬
ment. Business—Exploration and
testing of mining prop¬
fice—65 Broadway, New York. Distributor-—F.
Eberstadt
"& Co., Managers & Distributors,
Inc., New York.
(8/19-23)
unit.
per
type department store in the Greater
Kansas City area*
Proceeds—For working
capital, and other corporate pur¬
poses. Address
95th & Metcalf
Sts., Overland Park,,
Kansas. Underwriter
Midland Securities
Co., Inc.,
Kansas City, Mo.'
777/7777 277
and reduction of accounts
payable.: Office—3600 W
•Pratt Ave., Chicago.
Underwriter—None..
May 31, 1963 filed 2,000,000 capital shares.: Price—Net
value plus 8%%./Business—A new mutual fund
L seeking current income. Proceeds—For investment. Of-
Electro-Optical Systems, Inc.
Price—$500
ers
v;
asset
•
mem¬
—By amendment (max. $15).
Business—Design ano
manufacture of tools, dies,
molds, beryllium castings and
:he distribution of
plastic, metal and glass products foi
aome use.
Proceeds—For a recession offer to stockhold¬
*
•
its
of
24,
—
7;7:/
7
betterment
debt
repayment, working capital
advances to subsidiaries.
Office—1575 Sherman St.,
Fedco Corp.
Land working capital. Office — 147 Northeast Main
St.,
Rocky Mount, N, C. Underwriter—Paul C. Kimball & Co.,
/
Chicago. 7 ::r
Eberstadt
educational
For
—
0ct.'29, 1962 filed 20,000 common, of which 17,500
oe offered
by company and 2,500 by a shareholder.
For expansion
—
and
Proceeds
Market
Shopping Center, Inc.
1963 /("Reg.: A") $300,000 of 6%
subordinated
debentures due Aug. 1,
1978, and 30,000 common to be
offered in units of one
$500 debenture and 50 common.
June
Denver. Underwriter—None.
Investors, Inc.
ness—A small loan company. Proceeds
economic
bers.
(8/5-9)
4, 1963 filed 100,000 class A shares. Price—$4. Busi¬
June
French
April 1, 1963 filed $5,500,000 of 5Vz-6% serial deben¬
tures, series E and F, due 1974-83. Price—At par. Busi¬
ness—A non-profit
organization of farmers devoted to
unit. Business—
per
general
corporate purposes. Office—Marine
Bldg. Plaza, Tampa.
Underwriter—Pierce, Carrison, Murphey Inc., Jacksonville. 0
'
v
>
Bank
Farmers'
Company owns a 781 acre i tract in Haywood County,
C., on which it plans to build houses, a motor lodge,
-
ceeds—For
27
Pacific
•
(Bids
be
received)
Preferred
$10,000,000
(Tuesday)
Ry
12
noon
-Equip.
EST)
W.-U.
.
.
"f.
$4,800,000
Trust
Ctfs.
A
The Commercial and
medical
Diversified Fund, Inc.
April 22, 1963 filed 550,000 common. Price—Net asset
value plus 8%%. Business—A new mutual fund special¬
izing in Israeli and American securities. Proceeds—For
investment. Office—54 Wall St., New York. DistributorIsrael Fund Distributors, Inc. (same address).
"Isras" Israel-Rassco Investment Co., Ltd.
June 28, 1963 filed 60,000 ordinary shares. Price—$55.
Business
A real estate development company which
also owns citrus plantations. Proceeds—For general cor¬
Israel American
27
Continued jrom page
ties Corp., Greensboro, N.
Ashville, N. C.; Strader &
Willis Kenny & Ayres, Inc.,
C;; McCarley & Co., Inc.,
Co, Inc. Lynchburg Va^.
Richmond, Va., and Clark,
Kirkpatnck, Inc.,
Landstreet &
Nashville, Tenn. Offer¬
ing—Imminent.
(8/12-16)
Heck's, Inc.
.
„
MacCorkle Ave., S. W.,
Underwriter—Charles Plohn & Co.,
W. Va.
Albans,
Street Co.
Hill
„
-
.
2,265,138 common to be offered .for
subscription by stockholders of Union Bank of Califor¬
nia on a share-for-share basis. Price—$3. Business—A
management investment company.
Proceeds—For in¬
vestment. Office—760 S. Hill St., Los Angeles. Under1961 filed
16,
; Oct.
Inc.
Home Resorts,
Holiday Mobile
j
^
Business—Development and operation of
U. S. Proceeds—For
debt repayment, construction, and other corporate pur-,
poses. Office — 4344 East Indian School
phoemx.
Underwriters—Boettcher & Co., Denver, and J R. Wil-;
liston & Beane, New York. Note—This registration will
be
resorts throughout
withdrawn.
J
.
^
filed 5,000 shares of
March 13, 1963
•
.
Life Insurance Co.
1963 filed 200,000 common, of
1.
stockholders.
accident and
.health insurance. Proceeds—For general corporate pur-'poses. Office—216 E. Monroe St., Springfield, 111. Under'
be
•
Independent Shoe
address).
Discounters Association,
filed 325,000 common.
Krasnow
Inc.
Price—$1. Business
Electric Co. (8/6)
£>
Ave., Fort Wayne,
June 24, 1963 filed 66,500 common.
ment (max. $4.50). Business—Sale of
Price—By amend¬
encyclopedias, dic¬
sesame
seed.
Co., Chicago.
Equity
J
1,605,100 shares of beneficial interest.
Business—A real estate investment
company. Proceeds—For investment. Office—450 Seventh
Ave., N. Y. Underwriter—Van Alstyne, Noel & Co., N. Y.
543
Interstate Securities Co.
Co., Inc., Chicago.
1000 Roanoke
invest in securities throughout
Proceeds—For investment/ Address—
Bldg., Minneapolis. Distributor—Investors
(same address).
Diversified Services, Inc.
Investors Realty
&
-
Office
Investors Trading
—
3315
Underwriter—None.
postponed.
Underwriters
Funds
Co.,
Investment Trust Fund, Series
Municipal
B
April 28, 1961 filed $15,000,000 (15,000 units) of interests.
Price—To be supplied by amendment.
Business—The
fund will invest in tax-exempt bonds of states, counties
municipalities and territories of the U. S. Proceeds—For
—
Ira Haupt & Co., Ill Broadway,
New York. Offering—Indefinite.
'i
investment. Sponsor
Music
,
Royalty Corp.
July 27, 1962 filed 150,000 common. Price — $1. Business
—Company acts as representative of artists, musicians
etc. and plans to engage in the music publishing busi¬
ness.
Proceeds—For debt repayment, public relations,
acquisition of musical properties, and working capital..
Office—545 Fifth Ave,, N. Y. Underwriter—Associated
•
Mutual Finance Co.
June
10,
(7/29-8/2)
("Reg. A")
1963
convertible-,
$300,000 of 6%
series D, due July 1, 1978.
Business—Engaged in various activities
loan and discount fields. Proceeds—For working:
debentures,
subordinated
Price—At
in the
par.
capital and other corporate purposes. Office
Bldg., Tampa. Underwriter — Donald V.
Petersburg, Fla.
ated
This
Price—$5. Business.
cleaning and pressing plant and affili¬
Proceeds—For debt repayment, store ex¬
stores.
a
working capital.
registration
National
— Wallace
Stabell, St..
Equipment & Plastics Corp.
pansion and
•
Address
Investing
—
Corp.,
Portage, Pa..
N. Y. Note—
will be withdrawn.
Fence
Manufacturing Co.,
Inc.
(8/5-9)
Corp.
ance
penses,
(8/5-9)
writer—Lincoln Securities Corp. (same address). ,
Jan. 17, 1963 filed 200,000 capital shares. Price — Net
Medical Industries Fund, Inc. <
asset value (max; $5), plus 8% sales charge. Business—~
Oct. 23, 1961 filed 25,000 common. Price—$10. Business
A mutual fund. Proceeds—For investment. Office—460
-—Aclosed-end investment company; which plans to
Denver Club Building, Denver. Distributor—Nemrava & /
Co. (same address).
For investment in the
\
; j*. \r become open - end. Proceeds
Co.
Morton
Underwriter—Cortlandt
working capital.
firms. Proceeds—For loan repayment, operating ex¬
and investment in other insurance concerns.
Address—714 Medical Arts Bldg., Oklahoma City. Under¬
investment.
C.
staff
Connecticut
and
Se¬
(same address)
Sept. 28, 1961 filed 105,000 common.
Press, Inc.
Feb. 28, 1963, filed 1,000,000 class B common. Price—
$1.25. Business—A holding company for three life insur¬
struction
At¬
;.'y'yyV.V
•
•
Realty Trust
—Operation of
and
-
Securities Co., 545 Fifth Ave., N. Y.
May 31, 1962 filed 200,000 shares. Price — $10. Business
—A real estate investment trust. Proceeds — For con¬
Ave., N. W., Washington, D. C.
- •
May 29, 1962 filed 60,000 common. Price—$3.75. Business—Graphic design and printing. Proceeds—For pub¬
lishing a sales catalogue, developing a national sales
Medic
Trust
(B. C.)
Underwriter—B.
c
Office—812 Greenwich St.,
N. Y. Underwriter—To be named. Offering—Indefinitely
•
.,
21, 1963 filed 1,000,000 shares of beneficial inter¬
Business—A real estate investment trust.
Proceeds—For investment. Office—-141 Milk St., Boston.
(8/5-9)
AveyNew York. Underwriter — Ingram,
Stephen, Inc., 50 Broad St., New York.
■.
-
est. Price—$10.
National
Marshall
Canadian Fund Ltd., and
World.
Morton
None.
Inc.
1963 filed 3,000,000 capital shares. Price—Net
asset value plus 7 % %. Business—A new mutual fund
which will
succeed to
business of Investors Group
3,
Free
r
Inc.
.Management Investment Corp.
:*;,//
Aug. 29, 1962 filed 2,000 common (with attached war¬
rants). Price—$500. Business—Company plans to fur¬
nish equity capital to firms in the atomic, space and
missile fields, and provide advisory and management
counseling services on a fee basis.
Proceeds—For re¬
payment of loans, and general corporate purposes. Office
—130
Fulton Federal Bldg.,
Atlanta.
Underwriter—
ing credit life, health and accident insurance, and auto¬
mobile physical damage insurance. Proceeds—For loan
the
Systems,
Offering—Indefinite.
repayment, advances to subsidiaries, and working capital.
Office—3430 Broadway, Kansas City, Mo. Underwriter—
July
Service
Co., Los Angeles.
Madison
Lambert
Rights will expire Aug. 6. Price—$7. Business—Company
is engaged in consumer and commercial financing; writ¬
Inter-Continental Fund,
ville, Spain.
Inc.
Inc.
Aug. 31, 1961 filed 125,000 common. Price—$5.75, Bus!-,
nessr—The production of television filmsi Proceeds-^-For
filming and production and working capital. Office—
May 13, 1963 filed 173,433 common being offered for
subscription by common stockholders on the basis of
one
new
share for 'each fout held of record July 22.
Investors
general corporate purposes. Office—82 Baker St.,
lanta. Underwriter—Overseas Investment Service,
Lunar Films,
registration was withdrawn.
A. G. Becker &
1963 filed 1,250,000 common. Price—$2.50. Busi¬
ness—Company plans to develop mobile home parks and
residential and commercial real estate. Proceeds—For
Underwriter—Filor, Bullard &
Smyth, N. Y. Note—This company formerly was named
Logos Financial, Ltd. Offering—Indefinite.
—Keon &
Price—(max. $10).
•
Mobile Home Parks Development Corp.
June
Jini's
Address-LTokyo, Japan.
Jan. 28,
Offering—Indefinite.
Fla.
Interstate
trading in a broad range of goods
(Proceeds—For expansion of trading
commodities.
Underwriter—None.
Proceeds—For accounts receiv¬
Jam 14, 1963 ("Reg. A") 100,000 common. Price — $1.
Business—Operation of drive-in restaurants. Proceeds—
For leases, equipment
and working capital.
Office—
1601 Mandeville Canyon Rd., Los Angeles. Underwriter
Note—This
and
activities, and new investments.
•
•
Price—$2.78 per A.' D. S. Business—
of record July 20.:
I
tionaries, atlases, etc. Proceeds—For
March 30,1962 filed
1963
9,
Domestic and foreign
Logos Options, Ltd.
April 11, 1962 filed 250,000 capital shares. Price — By
amendment (max. $10). Business—A diversified closedend investment company. Proceeds—For investment. Of¬
Lord
&
Co., Ltd.
filed 10,000,000 common (represented by
500,000 A. D. S.) to be offered for subscription by stock¬
holders on the basis of one new share for each two held,
July
fice—26 Broadway, N. Y.
working capital and
sales promotion. Office—6660 Biscayne Blvd., Miami,
Fla. Underwriter—Roman & Johnson, Fort Lauderdale,
York.
New
Mitsui
Sesame Corp.
—John A. Dawson &
Inc.
International Book Distributors,
Minneapolis-Honeywell Regulator Co. (8/7)
July 16, filed $30,000,000 s. f. debentures due 1988. Price
—By amendment. Business—Manufacture of automatic:
control
instruments,
and
electronic data processing
systems.
Proceeds—For loan repayment and working:
calpital. Office—2747 Fourth Ave., South Minneapolis.
Underwriter—Eastman Dillon, Union Securities & Co.*
—
Lynch, Pierce, Fenner & Smith Inc.-Blyth
Brothers-Salomon Brothers & Hutzler
(jointly). Bids—Aug. 6 (11 a.m. EDST) at American
Electric Power Service Corp., 2 Broadway, N. Y. Infor¬
mation Meeting—Aug. 1 (3 p.m. EDST), same address
refiled 100,000 common/Price—$4. Business.
Imminent.
able-inventories, plant expansion and working capital.
Office
2301 N. Main St., Paris, Texas.
Underwriter
Co.-Lehman
National Corp.
Mil
-^Distribution of commercial dry cleaning and laundry
equipment. Proceeds—For general corporate purposes.
Office—1101
East
Tremont Ave.,
Bronx, New York.
Underwriter—Herbert Young & Co., Inc., New York.
Note—This registration has become effective. Offering—
Industries, Inc.
(John)
bution of
Union Secu¬
First Boston
Corp.; Merrill
&
•
—
Jan. 28, 1963
"y-,
—
Probable bidders:
Halsey, Stuart & Co. Inc.; Eastman Dillon,
rities & Co.; Harriman Ripley & Co. Inc.;
Office
May 24, 1962 filed $225,000 of 6% conv. subord. deben¬
tures, due 1972, and 150,000 common to be offered in
units consisting of a $300 debenture and 200 shares.
Price
$800 per unit. Business — Processing and distri¬
14,
porate purposes. Office—2101 Spy Run
Ind. Underwriters — (Competitive).
company.
1963 filed 125,000 common. Price—By amend¬
(max. $5). Business—Volume manufacture of in-
Kraft
1963 filed $45,000,000 of first mortgage bonds
1993. Proceeds—For loan repayment, and other cor¬
due
Business -— A closed-end management investment
Proceeds — For general corporate purposes.
2615 First National Bank Bldg., Minneapolis.
Underwriter—None.
\
'
I
$7).
$1.
New York.
j #
Indiana & Michigan
r-
gasoline and diesel oil fill¬
—For
Welsh, Inc., Okla¬
homa City.
June
(same address).
expensively; -pricedmen's and children's belts. Proceeds
debt repayment; sales promotion, and other cor¬
porate purposes. Office—33-00 Northern Blvd., Long
Island City, N. Y.
Underwriter—T. W. Lewis & Co., Inc.,
.
plans to distribute, shoes and related itenas
to franchised discount shoe stores. Proceeds—For work¬
ing capital. Office—519 West California Ave., Oklahoma
Underwriter—Parker, Bishop &
a
Development Cof p.
26, 1962 filed 561,500 common to be offered for
subscription by stockholder^ on the basis of one sharefor each two shares held.. Price-^-By amendment (max,
June 28,
—Company
City.
Midwest Technical
Feb.
7,
ment
8(,81963
.May
„
Investors Inc., (same
writer—Horace Mann
mutual fund
expansion and other corporate purposes. Address—Rio
Piedras, Puerto Rico. Underwriters — Morris Cohon &
Co., and Street & Co., Inc., New York. Offering—In¬
definite.
; ;
>; ;
-V-'V".
v-/', //
y;
:
Office—52 Main St., Woodbridge, N. J.
Underwriter—Kidder, Peabody & Co., Inc., New York.
Offering—Indefinitely postponed.
Net
—
1963 filed 80,000 common. Price—By amend¬
ment
(max. $5). Business—Operation of a small loan
business in Puerto Rico. Proceeds—For loan repayment,
which 80,000 are
offered by company and 120,000 by
Price — $12.50. Business—Writing of life,
to
27,
June
Water Co.
5, 1963 filed 35,000 common. Price—By amend¬
(max. $36). Business—Collecting and distributing
certain areas of New Jersey. Proceeds — For
June
ment
Key Finance Corp.
Horace Mann
Feb.
Middlesex
("Reg. A") 90,000 common. Price—$2.75.
Business—Retail sale of major household appliances at
discount prices. Proceeds—For working capital, expan¬
sion and debt repayment. Office — 3772 William Penn
Highway, Monroeville, Pa.
Underwriter — Amsbary,
Allen & Morton, Inc., Pittsburgh. Offering—Imminent.
Underwriter—None.
dress—Beatrice, Nebr.
—
V^
search Corp., (same address).
May 17j 1963
1
!
Price
(8/12-16) ;
.1963. (."Reg. A") 300,000 common/ Price
Kelly & Cohen, Inc.
"preferred stock, and 5,000 common, to be offered for sale
in units of one common and one preferred share. Price
$150 per unit. Business—Company plans to construct
and operate a beef and pork packing plant. Proceeds—
For construction, equipment, and working capital. Ad¬
Price
electronic
—
ing station, a restaurant and allied facilities. Proceeds—
For general corporate purposes. Underwriter ;— V. E.
Anderson & Co., Newhouse Bldg., Salt Lake City,
j
6% n??-0"™/13*1™;
medical
4,
debt repayment.
•.Business—Construction of
.
of
For
—
Fund, Inc.
1963 filed 500,000 capital shares. Price—Net
asset value plus 5%. Business—A new mutual fund to be
offered initially to members of the medical profession.
Proceeds—For investment. Office
714 Boston Bldg.,
Denver. Underwriter—Centennial Management & Re¬
March
Spur Ranch, Jnc.
Juniper
i May
Manufacture
Meridian
Underwriter
...
—Mutual Fund Distributors, Inc.
~
Inc.
Homestead Packers,
'
13, 1961 filed 250,000 common.
—
Proceeds
seeking capital appreciation. Proceeds—For investment.
Office—467 Hamilton Ave,, Palo Alto, Calif. Underwriter
—$68 per unit.
home
$1. Busi¬
equipment.
general corporate purposes.
Office—•
Studio City,
Calif. ;/Underwriter — Financial Equity
Corp., Los Angeles.
ness
Inc.
Fund,
April 10, 1963 filed 500,000 capital shares.
asset value plus 8^2%. Business—A new
filed $1,250,000 of 6%% conv. subord. de¬
bentures due 1978, and 75,000 common to be offered in
units consisting of $50 of debentures and. 3 shares. Price
mobile
Thursday, July 25, 1963
water in
Janus
March 27, 1963
i
.
Medical Video Corp.
Nov.
Jaap Penraat
poned.
writer—None.
..
.
Lafayette St., Denver.
sociates, Inc. Denver.
Associates, Inc.
Jan. 30, 1962 filed 100,000 common. Price—$3. Business
—industrial designing, the design of teaching machines
and the production of teaching programs. Proceeds—
For expansion, new facilities and working capital. Office
—315 Central Park W., N. Y. Underwriter—R. F. Dowd
& Co., Inc., New York.
Offering — Indefinitely post¬
*
/•<>.
New York.
'
porate purposes. Address—Tel-Aviv, Israel.
—Rassco of Delaware Inc., New York.
:
capital. Office—6400
for working
St
.
industry and capital growth situations. Office
Underwriter — Medical As¬
—677
—
A common. Price—
$2.50. Business—Operation of discount stores. Proceeds
—To provide fixtures and inventory for a new store, and
refiled 180,000 class
12, 1963
June
Financial Chronicle
(368)
28
—
Nov. 29,
ness
—
welded
1962 filed 100,000 common. Price—$8.75. Busi¬
Manufacture of galvanized chain link fence
concrete reinforcing fabric, gates and related
products.
Proceeds—For construction of a plant in Ire¬
Office—4301 46th St., BladUnderwriter—Netherlands Securities Co.,
land, and working capital.
ensburg, Md.
Inc., New York.
National Memorial Estates
1962 filed 4,750,000 common.
—Company plans to engage in
Oct. 11,
ness
Price — $1. Busi¬
cemetery develop-
Volume
Number 6284
198
.
.
,
*
insurance concern.
Office—13 S. Broadway, Red Lodge, Mont.
poses;
"
Un-
June
the basis of
$8,000,000 face amount certificates
(series 20) and 300,000 common shares. Price—For cer¬
tificates, $762; for stock, $1.15. Business—A mortgage
loan company.
Proceeds — For general corporate pur¬
poses. Office — 113 S. Hydraulic, Wichita, Kan. Underwriter—National Mortgage Agency, Inc., (same address).
Note—This offering will be made! only in the State of
28, 1962 refiied
Dec.
■
Sept. 7, 1962 filed 180,000 class
Business—Production of natural
A common.
gas
other cor¬
Campbell Island Mines Ltd.
New
holder. Price—50 cents.
Bonifant
—to
-
2 A. C. McPherson & Co., Toronto. ;
New World Fund,
Feb. 21, 1963, filed" 250,000 common. Price—Net asset
value-plus 8^2%; Business—A new mutual fund. Pro¬
ceeds—For investment. Office—4680 Wilshire Blvd., Los
-
New World Distributing Co.
—
i
Nippon Telegraph & Telephone
Public Corp.
Princeton
wholly-owned by the Government, furnishes
telephone, telegraph and related communication services
in
construction. Address—Tokyo,
Underwriters—Dillon, Read & Co., Inc., First
Corp., and Smith, Barney & Co., Inc., New York.
Professional
1963 filed 280,000 common to be offered for
subscription by stockholders on the basis of one new
for each iy2 held.
Price—By amendment .(max.
share
Business—Writing
$2.50).
Proceeds—For
expansion.
of general life insurance.
Office-—1840 North Farwell
March 29, 1962
filed 100,000 common. Price—By amend-
(max. $15). Business—Research and development
contracts using radioactive tracers; precision radio¬
on
#(same address).,
activity measurement; production of radioactive isotopes
and the furnishing of consulting and radiation measurejnent services.
Proceeds—For equipment, debt repay¬
r
:
Qix.
Co.;/Washington, D. C.
r.
withdrawn.^
r
•
t
-
For
J;
writer— McDonald
Insurance
Inc.
Sierra
.
*
*
4
f
Rights
repay
Nev.
Underwriter—None.
Fund Inc.
I
June 14,1963 filed 100,000 shares of preferred (par $100).
Proceeds—To redeem outstanding 6.16% preferred, and
to repay bank loans. Office—920 S. W. Sixth Ave., Portland, .Ore. IJnderwriters-—(Competitive). Probable bidbers: Blyth & Co., Inc.-Smith, Barney & Co .-White, Weld
& Ca,- (jointly); Kidder; Peabbdy & Co .-Eastman Dillon,
Union Securities & Co. (jointly). -Bfcte—July 30 <12 nooh
EDST ) at'Ebasco^Serviees,*Inc., 2 Rector* St:, New York.
(7/30)
and
Meetingr—July 25-(3:30 p.m.) at same ad••'••••*- V
dress.:
r
rPacific Power & Light Co. (7/30)
\
June 14, 1963 filed $30,000,000 of first mortgage bonds
due 1993. Proceeds—To repay bank loans. Office—920
S.
W.
Sixth
Ave., Portland, Ore. Underwriters—(Com¬
Probable bidders: Lehman Brothers - Bear,
petitive).
Stearns
1
t
••
&
Co.-Salomon
Brothers
&
Hutzler
(jointly)j
Halsey, Stuart & Co. Inc.; Blyth & Co.-White, Weld &
Co. (jointly); Eastman Dillon, Union Securities & Co.Kidder, Peabody & Co. (jointly). Bids—July 30 (11 a.m.
EDST) at Ebasco Services, Inc., 2 Rector St., New York.
Information Meeting—July 25 (3:30 p.m.) at same ad¬
dress.
•
other
Pan American
Richmond Corp.
K
Price—$5. Business
—Company plans to mine for beryl ore in Argentina.
Proceeds
For debt repayment, equipment, and other
corporate purposes. Office—39 Broadway, N. Y. Under¬
—
writer—To be named.
Pension Securities Fund, Inc.
April 24, 1963 filed 500,000 common. Price—$100 ini¬
tially; thereafter, at net asset value. Business—A new
mutual fund designed to provide an investment program
for pension
trusts.
Proceeds—For
investment.
Address
For
areas.
.
>
York. Note—This registration has become
Royaltone Photo Corp.
toov. 29, 1961 filed 300,000
are
to be offered
effective.
&
Farnham
Foreign Fund,
by the company
of which
Inc.
Mortgage Investment Trust
1,
Angeles. Underwriter—None.
Teaching Machines, Inc.
April 1, 1963 filed 150,000 common. Price—$5 Business—
Company develops and sells teaching: machines ex¬
clusively for Grolier Inc. Proceeds—For loan repayment
and other corporate purposes. Office—221 San Pedro,
N.
E.
Albuquerque. Underwriter—S. D. Fuller &
Offering—Expected in late August."/
Co.,
New York.
*.
Tecumseh Investment
;V
Co*, Inc.
Price—$100. Businet#
td organize a life in¬
Proceeds—For investment in U. S.
Jan.;21,.1963 /filed 48,500 common.
-—A holding company which plans
surance
.
company.
Government Bonds and
in
new
subsidiary. Office—801
Lafayette Life Bldg., Lafayette, Ind.
sand
Inc.
Underwriter—Amo-
(same address).
Texas pigsties
Inc.
July 27, 1962 filed'313,108 common. Price—$3.50. Busi¬
ness—Operation of a plant producing plastic film and
packaging products.
Proceeds—For working capital.
Address—Elsa, Texas. Underwriter—To be named. Of¬
fering—Indefinite.
Tokio
Co., Ltd. (7/30)
American Depositary Shares.
Marine & Fire Insurance
1963 filed 400,000
Price—By amendment (max. $25 per A.
—Writing of marine, fire and casualty
D. S.) Business
and allied lines
of insurance. Proceeds—For
investment. Address—Tokyo,
Japan. Underwriters—First
ties Co., Ltd., and Shelby
Boston Corp., Nikko Securi¬
Cullom Davis & Co., N. Y.
•
Top Dollar Stores, Inc.
(8/5-9)
™
May 1, 1962 filed 200,000 common, of which 100,000 are
to be offered by company and 100,000 by stockholders.
Price—$6. Business—Operation
100,001
and 200,000 by stock¬
common,
S.
Office—135 S. LaSalle
Proceeds—For investment.
June 28.
Lee Corp.
Office—328
•
June 24, 1963 filed 100,000 common. Price—$12. Business
—Manufacture of mobile -homes and office trailers and
Rona
working capital.
1963 filed 30,000 shares of beneficial interest.
Price—$100. Business — A real estate investment trust.
Proceeds—For investment. Office—4900 Wilshire Blvd.,
Office—220
C./Underwriter—Hirschel
Sept. 26, 1962 filed $250,000 of 6%% debentures due June
30, 1973 and 50,000 common. Price—For debentures, par;
for stock, $4. Business—Design, manufacture, and dis¬
tribution of girl's blouses, sportswear, and coordinates.
Proceeds—For debt repayment. Office—112 W. 34th St.,
New York. Underwriter—Reuben Rose & Co., Inc., New
Roe
Sutro
Feb.
Price—$7. Buslne*
Proceeds—For debt
the leasing- of Triobile office trailers. Proceeds; — For
J working capital, inventory, sales promotion, and expan¬
sion; Office—139 W: Walnut Ave., Gardena, .Calif. Un¬
/
derwriter—Rutner, Jackson & Gray, Inc., and Morgan
6 Co., Los Angeles. Offering—Expected in mid-August.
• Rollins Broadcasting, Inc.
(8/12-16)
July 15, 1963 filed 166,376' common. Price—By amend¬
ment (max. $20). Business—Company and subsidiaries
own seven AM radio stations, three VHF television sta¬
tions and an outdoor advertising company. Proceeds—
For selling stockholders. Office—414 French St., Wil.mington, Del. Underwriter—New York Securities Co.,
and
St., Chicago. Underwriter—None.
Dover,
ALeasingCorp.
debentures
corporation. It will provide investors a means of in¬
vesting in Canada, Western Europe and other foreign
'
Roadcraft Manufacturing
products
new
Stein
Lockerman
iSEC has
of 5%
July 1, 1963 filed 1,000,000 capital shares. Price—Net as¬
set value. Business—Company was recently formed and
will succeed to New York Capital Fund, Ltd., a Canadian
Spring,* Md. Offering—Indefinite. Note— '<
challenged the accuracy and' adequacy *
ofthis! registration- statement; j
* < .
: :
The
.
amount
Beverly Dr., Beverly Hills, Calif. Underwriter—Samuel
B. Franklin & Co., Los Angeles.
'
Co,, Silvef
;
like
—
Los
St., N.. W., Washington, D.
a
,
Squire For Men,'Jnc;-/p/ '/V.p
-'P -'VV'b; :
July 9, 1963 ("Reg/A") 1f>135,000 of 8% convertible de¬
bentures due 19697 Price — At par ($100). Business—Manufacture and sale of custom hair pieces. Proceeds—•
repayment and general corporate purposes.
-
refund
1, 1986. Office—67 Edgewood Ave., S. Ei Afcj
lanta. Underwriters
(Competitive.) Probable bidders;
Morgan Stanley & Co.; Halsey, Stuart & Co/ Bids-^
July 31 (11 a.m. EDST) in Room 2315, 195 Broadway,
New York.
•
\7
,/
i/.'•'
t
•
■
Dec. 21, 1961 filed 142,858 common.
—A real estate investment company.
•
Beryllium Corp.
v'
three-
New York.
Feb. 28, 1962 filed 100,000 common.
due June
:•
Telegraph Co. (7/31):
1963 filed $70,000,000 of debentures due 2003.
Proceeds—To
class A shares to be
Office—235
In¬
will expire July 29. Price—$31. Proceeds—To
bank loans. Office—220 South Virginia St., Reno,
r
v
Foundation, Inc.
purposes.
—
Power Co.
Southern Bell Telephone &
$32^ per
corporate
Offering
Underwriter—None.
July 10,
(8/20)
St., Dover, Del. Underwriter—John D. Ferguson,
Del. Offering—Indefinite.
'
-
,•
~*
—
Pacific
'
April 8, 1963 filed 100,000 memberships in the Founda¬
tion. Price—$10 per membership. Business — Company
will operate retirement centers for the use of rent-free
private homes and apartments by members upon their
retirement. Proceeds—For working capital, construction
April 8, 1963 filed 200,000 common. Price — Net asset j
value plus 4%. Business—A new mutual fund specializ¬
ing in insurance stocks. Proceeds—For investment. Ad¬
dress
Plankington Bldg., Milwaukee. Underwriter—
Fund Management Inc. (same address).
information
Corp. of Missouri
Cleveland.
Co.,
7, 1963 filed 172,341 common being offered for
subscription by stockholders on the basis of one' new
share for each 10 common shares held of record July 9.
Beyefrly/fiiils, Calif. Offering—Indefinite.
27, 1962 filed 125,000 class A common and
Retirement
:Pacific Power & Light Co.
*
Resort
&
June
shares and one war¬
unit. Business — Company will
erect and operate a luxury hotel and resort facilities,
and sell 80 acres of land for home sites. Proceeds—For
construction.
Office—3615 Olive St., St. Louis. Under¬
writer—R. L. Warren Co.. St. Louis.
—
v
investment, and' working capital. Office—
St., Los Angeles. Underwriter—Costello,
—
definite.
:
7th
rant.' Price
;
filed 900,000 common. Price—$1. Business
Proceeds—For equipment and working capi¬
Address—Creede, Colo.
;
1
year warrants to purchase 1,250
offered in units consisting of four
Feb. 28, 1962
PMA
•
Nov.
—
tal.
'
shares of beneficial interest.
A real estate investment trust.
Proceeds—For investment and working capital. Office
—1956 Union Commerce Bldg., Cleveland, Ohio. Under¬
Price—$15. Business
Provident Management Co.
Industries, Inc.
Ru s sotto & -Co.,
,lnc. (7/25)
!
>
July 3, 1963 filed 75,000 common. Price—By amendment
(max. $25) 7 Business—Manufacture of a wide variety of
built-in household appliances including. exhaust fans,
electric heaters, - kitchen appliances, door chimes, etc.
Proceeds
For selling stockholders. Address — Madison
and Red Bank Roads, Cincinnati. Underwriter—Lehman
Brothers, New York.
—Mining.
capital
West
411
Note—This registration wilL be
NuTone
Outlet Mining Co.,
Recreation
Underwriter—None.
Shaker Properties
Oct. 19, 1962 filed 215,000
Inc.
Nov. 23, 1962 ("Reg.* A") 75,000 common. Price — $2't
Business—Sale of travel and entertainment.. Proceeds—
ment, .expansion and working capital. Address—P. O..
Box 10901, Pittsburgh. Underwriter—Johnston, Lemon &
*
/
.
—
C share of
—
Underwriter—None.
marck, N. D. Underwriter
two-thirds share for each class
$6; to stockholders, $5. Business—Company plans to en¬
gage in the consumer finance, mortgage,
general fi¬
nance and related
businesses. Proceeds
For general
corporate purposes. Office—830 N. Central Ave., Phoe-
*
ment
Corp.
1962 filed 500,000 common, of which 405,000
are to be offered for subscription by holders of the
A,
B and C stock of Selective Life Insurance
Co., an affili¬
ate, on the basis of 4 company shares for each class A or
Life held.. Remaining 94,822 and any unsub¬
scribed shares will be offered publicly. Price—To public,
Provident Stock Fund, Inc.
April 11, 1963 filed 1,000,000 common. Price—Net asset
value plus 8V2%. Business—A new mutual fund. Pro¬
ceeds—For investment. Office—316 North Fifth St., Bis¬
Nuclear Science & Engineering Corp.
,
Financial
28,
B share and
Underwriter—None.
Underwriter—None.
Ave., Milwaukee.
.
Feb.
Selective
8, 1963 filed 40,000 comipon. Price—$5. Business
—Company specializes in financial consulting, and serv¬
icing patients' accounts of member hospitals, physicians
and dentists. Proceeds—For debt repayment and work¬
ing capital. Address—100 W* Tenth St., Wilmington, Del.
March 26,
-
'
Jan.
Insurance Corp.
Northern States Life
-
J.
Men's Association,
Scheib
Selective
s
Research
St., Princeton, N.
& Weeks, N. Y.
Note — This, company
called Russell Manufacturing Co. Offering
Co., New York.
improved land. Proceeds—For debt repayment, and ac¬
quisition of additional properties.
Office—195 Nassau
Japan. Proceeds—For
Boston
was
E. A. Scheib, President. Office—8737 Wilshire Blvd.,
Beverly Hills, Calif. Underwriter—Shearson, Hammill &
ness—Purchase and sale of real property, chiefly un¬
company,
Japan.
;
Lands, Inc.
March 28, 1963 filed 40,000 common. Price—$25. Busi¬
July 3, 1963 filed $20,000,000 of 5V2% guaranteed dollar
bonds due 1978. Price—By amendment. Business—The
Inc.
(Earl), Inc. (7/29-8/2)
1963 filed 200,000 common. Price—By amend¬
ment (max. $12). Business—Company operates (through
wholly-owned subsidiaries) a national chain of auto¬
mobile paint shops.
Proceeds—For selling stockholder,
Corp.
V//A.7
Jan. 28, 1963, filed: 200,000 capital-shares. Price—$4.75.
5 Business—Company plans to manufacture a new type ol
brake unit for heavy duty automotive vehicles. Proceeds
—For equipment, and working capital.
Office — 2604
Leith St., Flint, Mich. Underwriter—Farrell Securities
Co., New York.
(8/1)
~
•
and
operate oil wells/ Office—418 Market St.y Shreveport, La. Underwriter—None.
/pb';!
*
and
June 28,
St., Silver Spring, Md. Underwriter—None.
drill for
black
—Indefinite.
Power Cam
Inc.
Angeles.
Underwriter
(same address).
formerly
Powell Petroleum, Inc.
Sept. 28, 1962 filed 100,000 common. Price—$5. Proceeds
Business—Exploration, develop-
1 merit and mining. Proceeds—General corporate purposes.
Office—90 Industry St., Toronto, Canada. Underwriter—
Mills,
—Hornblower
July 6, 1962 filed 1,000,000 shares of beneficial interest.
Price—By amendment (max. $5). Business—A real estate
investment trust. Proceeds—For investment. Office—880
Oct. 13, 1961 filed 475,000 common, of which 400,000 are
to be offered by the company and 75,000 by a stock¬
amendment.
and
For
Price—By amend¬
(max. $12).
Business—Manufacture of athletic
clothing, knitted underwear, children's sleepwear and
cotton cloth.
Proceeds—For bond retirement and plant
expansion. Address—Alexander City, Ala. Underwriter
Potomac Real Estate Investment Trust
Office—Tekoil Bldg., Oklahoma City
By
—
ment
75,000 common. Price — $4
films, and the
processing of colored kodachrome film. Proceeds—Foi
equipment, and working capital. Office — 56 Bennett
Bldg., Wilkes-Barre, Pa. Underwriter—G. K. Shields &
Co., New York. Offering—Indefinite.
Underwriter—Peter Morgan & Co., N. Y.
•
Russell
Pictronics, Inc.
27, 1963 ("Reg. A")
Proceeds
—
color,
Proceeds
Sept. 28, 1962 filed 312,500 common.
Feb.
Price—$5.
and oil.
prints
withdrawn.
cent). Business—Exploration for oil
and gas in the Philippines. Proceeds—For debt repay¬
ment, and operating expenses. Address — Manila, The
Philippines. Underwriter—None.
I
(8/19-23)
drilling expenses, working capital and
porate purposes.
*
new
one
Business—Production of TV documentary
Natural Gas & Oil Producing Co.
.
to be of¬
resident stockholders on
share for each two held. Price—By
amendment (max. 1
Kansas.
—For
1963 filed 325,000,000 capital shares
11,
fered for subscription by U. S.
National Mortgage Corp., Inc.
Price
29
Business — Develops
white' photographic
equipment and working capital.
Office—245 7th Ave., N. Y. Underwriter — Federrhan,
Stonehill & Co., N. Y.
Note—This registration will be
and
film.
Philippine Oil Development Co., Inc.
derwriter—Security Brokerage Co., Billings, Mont.
'
holders.
St., New York. Underwriter—None. Adviser
—Smith, Barney & Co., New York. Offering—Indefinite.
—20 Broad
establish and operate a life and disability
Proceeds—For general corporate pur-
ment and to
'
(369)
The Commercial and Financial Chronicle
of
a
chain of self-serv-
Continued
on
page
30
Financial Chronicle
The Commercial and
American Diversified
Israel
Continued from page
27
Greensboro, N. C.; McCarley & Co., Inc.,
Ashville, N. C.; Strader & Co. Inc., L$^hburg,
Willis, Kenny & Ayres, Inc., Richmond, Va^ and Clark,
Landstreet & Kirkpatnck, Inc., Nashville, Tenn. Offer¬
ing—Imminent.
i
;
V<l,
"Isras" Israel-Rassco
(8/12-16)
p .
180,000 class A common Price—
$2.50. Business—Operation of discount stores. Proceeds
—To provide fixtures and inventory for a new store, and
for working capital. Office—6400 MacCorkle Ave., S. W.,
1963 refiled
12,
W. Va.
Albans,
St
common
Proceeds—For in¬
investment company.
Los Angeles. Under-
Office—760 S. Hill St.,
:
Home Resorts, Inc.
_ filed $1,250,000 of 6V2% cony, subord. de¬
bentures due 1978, and 75,000 common to be offered in
units consisting of $50 of debentures and 3
Holiday Mobile
Business—Development and operation of
I mobile home resorts throughout U. S. Proceeds—F or
debt reDavment, construction, and other corporate purposes OfHce - 4344 East Indian School Rd
Phoenix.
Underwriters—Boettcher & Co., Denver, and J R. WilNew York. Note—This registration will
liston & Beane,
be withdrawn.
non-cumulative
preferred stock, and 5,000 common, to be offered for sale
in units of one common and one preferred share. Price
of 6%
plans to construct
unit. Business—Company
—$150 per
and pork packing plant. Proceeds—
construction, equipment, and working capital. Ad¬
operate a beef
and
For
Life Insurance Co.
1963 filed 200,000 common, of
1,
Qftftnn
which 80,000 are
stockholders,
price
accident and
health insurance. Proceeds—For general corporate pur¬
poses. Office—216 E. Monroe St., Springfield, 111. Under¬
by company and 120,000 by
$12.50. Business—Writing, of life,
be offered
to
—
Independent Shoe
•
May
address).
Discounters Association, Inc.
Investors Inc., (same
writer—Horace Mann
8,81963
filed 325,000 common.
Price—$1. Business
plans to distribute shoes and related^iteips
to franchised discount shoe stores. Proceeds—For,workCing capital. Office—519 West California Ave., Oklahoma
Underwriter—Parker, Bishop &
City.
Welsh, Inc., Okla¬
homa City.
%
Electric Co. (8/6)
1963 filed $45,000,000 of first mortgage
14,
«
^
Indiana & Michigan
June
bonds
repayment, and other (Cor¬
porate purposes. Office—2191 Spy Run Ave., Fort Wayne,
Ind. Underwriters — (Competitive). Probable bidders:
Halsey, Stuart & Co. Inc.; Eastman Dillon, Union Secu¬
rities & Co.; Harriman Ripley & Co. Inc.; First Boston
Corp.; Merrill Lynch, Pierce, Fenner & Smith Inc.-Blyth
& Co.-Lehman Brothers-Salomon Brothers & Hutzler
(jointly). Bids—Aug. 6 (11 a.m. EDST) at American
Electric Power Service Corp., 2 Broadway, N. Y. Infor¬
mation Meeting—Aug. 1 (3 p.m. EDST), same address
due 1993.
Proceeds—For loan
International Book
Office
—
Distributors, Inc.
Imminent.
(8/7)
1988. PHce
—By amendment. Business—Manufacture of automatic:
control
instruments,
and
electronic
data processing
systems.
Proceeds—For loan repayment and working:
capital. Office—2747 Fourth Ave., South Minneapolis.
Underwriter—Eastman Dillon, Union Securities & Co.*
expensively.-priced, men's and children's belts. Proceeds
—For'debt repayments sales promotion, and other corpurposes. Office—33-00 Northern Blvd., Long
Island City, N. Y. Underwriter—T. W. Lewis & Co., Inc.,
New York. /'?;■
:
Z porate
i
May 24, 1962 filed $225,000 of 6% conv. subord. deben¬
tures, due 1972, and 150,000 common to be offered in
.
debenture and 200 shares.
$800 per unit. Business — Processing and distri¬
of sesame seed.
Proceeds—For accounts receiv¬
of
consisting
units
Price
Sesame Corp.
$300
a
—
bution
able-inventories, plant expansion and working capital.
Office
2301 N. Main St., Paris, Texas.
Underwriter
—
—John A. Dawson &
Co., Chicago,-*
Y. Underwriter—Filor, Bullard &
Lord
J
beneficial interest.
estate investment
company. Proceeds—For investment. Office—450 Seventh
Ave., N. Y. Underwriter—Van Alstyne, Noel & Co., N. Y.
filed 1,605,100 shares of
Price—(max. $10). Business—A real
Service
Systems,
Inc.
(8/5-9)
14, 1963 ("Reg. A") 100,000 common. Price — $1.
Business—Operation of drive-in restaurants. Proceeds—
Jan.
For
March 30,1962
Jim's
leases,
,
July
equipment
&
Co., Ltd.
10,000,000 common
1963 filed
9,
(represented by
500,000 A. D. S.) to be offered for subscription by stock¬
holders on the basis of one new share for each two held,
20.
of record July
Price—$2.78 per A. D. S. Business—
trading in a broad range of goods
Proceeds—For expansion of trading
Domestic and foreign
and
commodities.
activities, and new investments.
Underwriter—None.
/'■/
Address—Tokyo, Japan.
..
';Z:ZV;^
Mobile Home Parks Development Corp.
28, 1963 filed 1,250,000 common. Price—$2.50. Busi¬
ness—Company plans to develop mobile home parks and
residential and commercial real estate, Proceeds—For
Jan.
general corporate purposes. Office—82 Baker St.,
lanta. Underwriter—Overseas Investment Service,
At-jSe¬
ville, Spain.
Realty Trust
(B. C.)
Morton
21, 1963 filed 1,000,000 shares of beneficial inter¬
est. Price—$10. Business—A real estate investment trust.
Proceeds—For investment. Office—141 Milk St., Boston.
Underwriter—B. C. Morton Funds Underwriters Co.*
June
Int.
named
and working capital.
Office—
1601 Mandeville Canyon Rd., Los Angeles. Underwriter
—Keon & Co., Los Angeles.
•
~
York.
New
Offering—Indefinite.
Logos Options, Ltd.
April 11, 1962 filed 250,000 capital shares. Price — By
amendment (max. $10). Business—A diversified closedend investment company. Proceeds—For investment. Of¬
Regulator Co.
July 16, filed $30,000,000 s. f. debentures due
Mitsui
28, 1963 filed 125,000 common. Price—By amend¬
(max. $5). Business—Volume manufacture of in¬
(John)
Tremont
East
Office—1101
-
Fia.
Equity
corporate purposes.
Ave., Bronx, New York.
Underwriter—Herbert Young & Co., Inc., New York.
Note—This registration has become effective.. Offering—
Proceeds—For general
equipment.
Inc.
Krasnow Industries,
Kraft
;
Corp.
Minneapolis-Honeywell
definite.
June
Mil National
Jan. 28,1963 refiled 100,000 common. Price—$4. Business
—Distribution of commercial dry cleaning and laundry
-
1963 filed 80,000 common. Price—By amend¬
ment
(max. $5). Business—Operation of a small loan
business in Puerto Rico. Proceeds—For loan repayment,
expansion and other corporate purposes. Address—Rio
Piedras, Puerto Rico. Underwriters — Morris Cohon &
Co., and Street & Co., Inc., New York. Offering—In¬
fice—26 Broadway, N.
24,
Interstate
•
3772 William Penn
Smyth, N. Y. Note—This company formerly was
Logos Financial, Ltd. Offering—Indefinite.
•
—
Underwriter—None.
working capital, expan¬
1963 filed 66,500 common. Price—By amend¬
ment (max. $4.50). Business—Sale of encyclopedias, dic¬
tionaries, atlases, etc. Proceeds—For working capital and
sales promotion. Office—6660 Biscayne Blvd., Miami,
Fla. Underwriter—Roman & Johnson, Fort Lauderdale,
June
Business — A closed-end management investment:
Proceeds — For general corporate purposes.
Office
2615 First National Bank Bldg., Minneapolis.
company.
7,
ment
Company
„
debt repayment.
26,
$7).
Highway, Monroeville, Pa.
Underwriter — Amsbary,
Allen & Morton, Inc., Pittsburgh. Offering—Imminent.
June
Horace Mann
Feb.
1962 filed 561,500 common to be offered for
subscription by stockholders on the basis of one share
for each two shares held.
Price—By amendment (max.
Key Finance Corp.
Underwriter—None.
dress—Beatrice, Nebr.
discount prices. Proceeds—For
J.
York.
Development Corp.
Midwest Technical
f
("Reg. A") 90,000 common. Price—$2.75.
Business—Retail sale of major household appliances at
repayment. Office—52 Main St., Woodbridge, N.
Feb.
(same address).
1963
sion and
5, 1963 filed 35,000 common. Price—By amend(max. $36). Business—Collecting and distributing
water in certain areas of New Jersey. Proceeds — For
ment
Offering—Indefinitely postponed.
mutual fund
Spur Ranch,
Kelly & Cohen, Inc.
address).
Underwriter—Kidder, Peabody & Co., Inc., New
Net
•
May 17,
4,
June
i
Inc. (8/12-16) if
May 27, 1963 ("Reg. A") 300,000 common.'Price — $1.
Business—Construction of a gasoline and diesel oil fill¬
ing station, a restaurant and allied facilities. Proceeds—
/For general corporate purposes. Underwriter — V. E.
Anderson & Co., Newhouse Bldg., Salt Lake City.
:■
<
Inc.
filed 5,000 shares
Homestead Packers,
March 13, 1963
Mutual Fund Distributors, Inc.
/•Juniper
$1. Busi¬
equipment.
Middlesex Water Co.
seeking capital appreciation. Proceeds—For investment.
Office—467 Hamilton Ave., Palo Alto, Calif. Underwriter
.March 27, 1963
—$68 per unit.
—
—
general corporate purposes.
Office—•
Calif.
Underwriter — Financial Equity
search Corp., (same
debt
Price
Price
electronic
Fund, Inc.
'
1963 filed 500,000 capital shares. Price—Net
asset value plus 5%. Business—A new mutual fund to be
offered initially to members of the medical profession.
Proceeds—For investment: Office — 714 Boston Bldg.*
Denver. Underwriter—Centennial Management
& Re¬
Inc.
Fund,
April 10, 1963 filed 500,000 capital shares.
asset value plus 8V2%. Business—A new
medical
Meridian
-
Janus
of
For
—
City,
March
30, 1962 filed
poned.
Manufacture
Corp., Los Angeles.
plantations. Proceeds—For general cor¬
Associates, Inc.
100,000 common. Price—$3. Business
design of teaching machines
and the production of teaching programs. Proceeds—
For expansion, new facilities and working capital. Office
—315 Central Park W., N. Y. Underwriter—R. F. Dowd
& Co., Inc., New York.
Offering — Indefinitely post-
writer—None.
4
Studio
Jaap Penraat
Jan.
13, 1961 filed 250,000 common.
—
Proceeds
Investment Co., Ltd.
—Industrial designing, the
management
.;
ness
Address—Tel-Aviv, Israel. Underwriter
Delaware Inc., New York.
•
' ' - , , I
—Rassco of
to be offered for
subscription by stockholders of Union Bank of Califor¬
nia on a share-for-share basis. Price—$3. Business
A
vestment.
Medical.Video Corp.:
Nov.
porate purposes.
Underwriter—Charles Plohp & Co.,
OctHli6,S196ietfiled" 2,265,138
,
sociates, Inc. Denver.
28,
also owns citrus
New York.
•
Thursday, July 25, 1963
.
industry and capital growth situations. Office
Lafayette St., Denver. Underwriter — Medical As¬
—677
1963 filed 60,000 ordinary shares. Price—$55.
Business — A real estate development company which
June
Heck's, Inc.
;
June
.
medical
Fund, Inc.
1963 filed 550,000 common. Price—Net asset
value plus 8V2%. Business—A new mutual fund special¬
izing in Israeli and American securities. Proceeds—For
investment. Office—54 Wall St., New York. DistributorIsrael Fund Distributors, Inc. (same address).
April 22,
Corp.,
ties
.
(368)
28
(same address)
Municipal
Investment Trust Fund, Series B
April 28, 1961 filed $15,000,000 (15,000 units) of interests.
Price—To be supplied by amendment.
Business—The
fund will invest in tax-exempt bonds of states, counties
municipalities and territories of the U. S. Proceeds—For
investment. Sponsor — Ira Haupt & Co., Ill Broadway*
New York. Offering—Indefinite.
Music
/
Royalty Corp.
Inc.
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. Office—
543 Madison Ave., New York.
Underwriter — Ingram,
Lambert
&
Stephen, Inc., 50 Broad St., New York.
July 27, 1962 filed 150,000 common. Price —$1. Business
—Company acts as representative of artists, musicians
etc. and plans to engage in the music publishing busi¬
ness.
Proceeds—For debt repayment, public relations*
Offering—Indefinite.
Securities Co., 545
Management Investment Corp.
Aug. 29, 1962 filed 2,000 common (with attached war¬
rants). Price—$500. Business—Company plans to fur¬
•
June
ing credit life, health and accident insurance, and auto¬
mobile physical damage insurance. Proceeds—For loan
nish
Price—At
missile
in the
repayment, advances to subsidiaries, and working capital.
Office—3430 Broadway, Kansas City, Mo. Underwriter—
counseling services on a fee basis.
Proceeds—For re¬
payment of loans, and general corporate purposes. Office
—130
Fulton
Federal Bldg.,
Atlanta.
Underwriter—
capital and other corporate purposes. Office — Wallace
Bldg., Tampa. Underwriter — Donald V. Stabell, St.
Petersburg, Fla.
:
~
Note—This registration
•
was
withdrawn.
>
•
•
.
Interstate Securities Co.
13, 1963 filed 173,433 common being offered for
subscription by common stockholders on the basis of
one
new
share for'each foiu; held of record July 22.
May
Rights will expire Aug. 6. Price—$7. Business—Company
is engaged in consumer and commercial financing; writ¬
A. G. Becker &
Investors
July 3,
Co., Inc., Chicago.
Inter-Continental Fund,
which
1963 filed 3,000,000 capital shares. Price—Net
plus 7%%. Business—A new mutual fund
will
succeed
to business
of Investors Group
Canadian Fund Ltd., and
the
Free
World.
1000 Roanoke
invest in securities throughout
investment. Address—
Proceeds—For
Bldg., Minneapolis. Distributor—Investors
(same address).
I
Diversified Services, Inc.
Investors Realty
Ave., N. W., Washington, D. C.
Jan.
A
Trading Co.
Underwriter—None.
(8/5-9)
mutual
fund. Proceeds—For
investment.
Office—460
Building, Denver. Distributor—Nemrava &
Co. (same addres^).
' '
.
;' ^
Denver Club
Press, Inc.
lishing
staff
a
and
sales catalogue, developing a national sales
working capital. Office—812 Greenwich St.,
N. Y. Underwriter—To be named.
Offering—Indefinitely
penses,
and
insurance concerns.
City. Under¬
Securities Corp. (same address).
investment
in
other
Address—714 Medical Arts Bldg., Oklahoma
Medical Industries
Fund, Inc.
V
r.
Oct. 23, 1961 filed 25,000 common. Price—$10. Business
closed-end investment
company
which plans to
-
become open
-
(7/29-8/2)
("Reg. A")
1963
$300,000 of 6%
convertible
series D, due July 1, 1978..
Business—Engaged in various activities
loan and discount fields. Proceeds—For working:
debentures,
par.
;
Equipment & Plastics Corp.
Sept. 28, 1961 filed 105,000 common. Price—$5. Business
—Operation of a cleaning and pressing plant and affili¬
ated stores.
Proceeds—For debt repayment, store ex¬
working capital. Address — Portage, Pa..
Investing Corp., N. Y. Note—
registration will be withdrawn.
pansion and
Underwriter—Cortlandt
This
National
Fence
Manufacturing Co.,
Inc.
(8/5-9)
Corp.
Feb. 28, 1963, filed 1,000,000 class B common. Price—
$1.25. Business—A holding company for three life insur¬
ance firms. Proceeds—For loan repayment, operating ex¬
—A
10,
subordinated
•
j
postponed.
writer—Lincoln
Price — Net
(max. $5), plus 8% sales charge. Business
17, 1963 filed 200,000 capital shares.
asset value
Marshall
May 29, 1962 filed 60,000 common. Price—$3.75. Busi¬
ness—Graphic design and printing. Proceeds—For pub¬
Fifth Ave., N. Y.
Mutual Finance Co.
National
Medic
Trust
May 31, 1962 filed 200,000 shares. Price — $10. Business
—A real estate investment trust. Proceeds — For con¬
struction and investment.
Office — 3315 Connecticut
Investors
equity capital to firms in the atomic, space and
fields, and provide advisory and management
acquisition of musical properties, and working capital.
Office—545 Fifth Ave., N. Y. Underwriter—Associated!
None.
Inc.
value
asset
Lunar Films,
end.
Proceeds
—
For investment in the
29, 1962 filed 100,000 common. Price—$8.75. Busi¬
Manufacture of galvanized
chain link fence
welded concrete reinforcing fabric, gates and related-
Nov.
ness
—
products. Proceeds—For construction of a plant in Ire¬
land, and working capital. Office—4301 46th St., Bladensburg, Md. Underwriter—Netherlands Securities Co.*
Inc., New York.
National Memorial Estates
Oct.
ness
>
II, 1962 filed 4,750,000 common. Price — $1. Busi¬
Company plans to engage in cemetery develop- "
—
Volume
Number 6284
198
.
.
.
ment and to
establish and operate a life and
;
Office—13 S. Broadway, Red Lodge, Mont.
Mont.
poses.
*
amount certificates
(series 20) and 300,000 common shares. Price—For certificates, $762; for stock, $1.15.
Business—A mortgage
loan company.
Proceeds — For general corporate pur¬
poses." Qffice — 113 S. Hydraulic, Wichita, Kan. Underwriter—National Mortgage Agency, Inc., (same address).
Note—This offering will be made only in the State of
*
.
1962 refiied $8,000,000 face
28,
amendment (max. 1 cent). Business—Exploration
arid gas in the Philippines. Proceeds—For debt
operating expenses. Address
Philippines. Underwriter—None.
ment, and
Pictronics, Inc.
27, 1963 ("Reg. A")
Natural Gas & Oil Producing Co.
drilling expenses,
—For
; porate purposes.
Price—$5.
Proceeds
working capital and other cor-
Campbell
New
Island Mines Ltd.
13, 1961 filed 475,000 common, of which 400,000 are
to be offered by the company and 75,000 by a stock¬
holder. Price—50 cents. Business—Exploration, developmerit and mining. Proceeds—General corporate purposes.
Office—90 Industry St., Toronto, Canada. Underwriter—
Bonifant St.,
—to
World Fund,
ket
Corp.
Jan. 28, 1963, filed 200,000 capital shares. Price—$4.75.
Business—Company plans to manufacture a new type ol
brake unit for heavy duty automotive vehicles. Proceeds
—For equipment, and working capital.
Office — 2604
Leith St., Flint, Mich. Underwriter—Farrell Securities
Co., New York.
>■
21, 1963, filed 250,000 common. Price—Net asset
value -plus 8y2%'. Business—A new mutual fund. Pro¬
ceeds—For investment. Office—4680 Wilshire Blvd., Los
Underwater
Angeles.
—
New World Distributing Co.
(same address).
Nippon Telegraph & Telephone
(8/1)
•
Public Corp.
Princeton
March 28,
wholly-owned by the Government, furnishes
telephone, telegraph and related communication services
in Japan. Proceeds—For construction. Address—Tokyo,
Japan. Underwriters—Dillon, Read & Co., Inc., First
Boston Corp., and Smith, Barney & Co., Inc., New York.
Northern States Life Insurance Corp.
improved land.
Business—Writing
Proceeds—For
Ave.,
.
'
expansion.
general
of
life
Professional Men's Association,
Nuclear Science &
r
"
/activity measurement; production of radioactive isotopes
and the furnishing of consulting and - radiation measure.ment services.
Proceeds—For equipment, debt repay¬
ment, expansion and working capital. Address—P. O.
Box 10901, Pittsburgh. Underwriter—Johnston, Lemon &
Co.j .Washington, D. C. Note—This registration will/ be
withdrawn.* •. «
*
L
• £.
;
<
v ■
,'Vy.V
*
r
-
-r
•
NuTone
,lnc.
(7/25);/J
v
•
_
Underwriter—Lehman
other
corporate
purposes.
Del. Offering—Indefinite.
—
Light Co.
Foundation, Inc.
capital, construction
Office—235 Lockerman
St., Dover, Del. Underwriter—John D. Ferguson, Dover,
and
Price—$7. Buaine*
Proceeds—For debt
14, 1963 filed 100,000 shares of preferred (par $100').
redeem outstanding 6.16% preferred, and
repayment and general corporate purposes. Office—220
K St., N..W., Washington, D. C.; Underwriter—Hirschel
bank loans. Office—920 S. W. Sixth Ave., Portdo,, Silvef Spring, Md. Offering—Indefinite. Not*—
land, Ore. Underwriters^— (Competitive). Probable bid- •
Th* SEC has challenged the accuracy' and' adequacy
bers: Blyth & Co., Inc.-Smith, Barney & Co .-White, Weld
&Co.( jointly); Kidder, Peabhdy & Co .-Eastman Dillon, : of this registration.statement. •r.'/'L-* y ;; \
; Urnon "Securities & Co. (jointly). Bids—July 30 <12 nooh ; 'y- Roadcraft Manufacturing & Leasing Corp. /
EDST) ; at 'Ebaseo* Services,* Inc., 2 Rector* St.', New York. !; Jurie'24, 1963 filed 100,600 common. Price—$12. Business
«"■ information
Meetingr—July 25- (3:30 p.m.) at same ad- «■ —Manufacture "of mobile /homes and office trailers and
the leasing of mobile office trailers./Proceeds — For
>dress.::-::
t."r'r.-v.-.
working capital, inventory, sales promotion, and expan¬
Pacific Power & Light Co. (7/30)
sion. Office—139 W. Walnut Ave., Gardena, Calif. Un¬
June 14, 1963 filed $30,000,000 of first mortgage bonds
derwriter—Rutner, Jackson & Gray, Inc., and Morgan
c
due 1993. Proceeds—To repay bank loans. Office—920
& Co., Los Angeles. Offering—Expected in mid-August.
S. W. Sixth Ave., Portland, Ore. Underwriters—(Com¬
June
-
Proceeds—To
to repay
.
.
J
.
*
petitive).
r
,
Probable
bidders:
Lehman
Brothers
-
Bear,
Stearns & Co.-Salomon Brothers & Hutzler (jointly);
Halsey, Stuart & Co. Inc.; Blyth & Co.-White, Weld &
Co. (jointly); Eastman
Dillon, Union Securities & Co.Kidder, Peabody & Co. (jointly). Bids—July 30 (11 a.m^
EDST) at Ebasco Services, Inc., 2 Rector St., New York.
Information Meeting—July 25 (3:30 p.m.) at same ad¬
dress.
■
,
•
Rollins
For
writer—To be named.
Pension Securities Fund, Inc.
for
pension
trusts.
Proceeds—For
investment.
Address
stockholders. Office—414 French St.,
Del. Underwriter—New York Securities
Wil¬
Co.,
York.
Rona
York.
24, 1963 filed 500,000 common. Price—$100 initially; thereafter, at net asset value. Business—A new
mutual fund designed to provide an investment program
(8/12-16)
Lee Corp.
Note—This registration has become
effective.
Royaltone Photo Corp.
29, 1961 filed 300,000 common, of which 100,001
are to be offered by the company and 200,000 by stock¬
Nov.
Power Co.
repay
Nev.
will expire July 29. Price—$31. Proceedsi—To
bank loans. Office—220 South Virginia St., Reno,
Underwriter—None.
Southern Bell Telephone &
Telegraph Co.
(7/31)
July 10, 1963 filed $70,000,000 of debentures due 2003.
Proceeds—To
v
«•
:
lanta.
refund
like
a
amount
of 5%
debentures
1, 1986. Office—67 Edgewood Ave., S. E. At-(Competitive.) "Probable bidders:
& Co.; Halsey, Stuart & Co. Bids^-
Underwriters
Morgan
Stanley
July 31
(11
New York.
a.m.
/
—
EDST) in Room 2315, 195 Broadway,
\
/
'
;
*
•
Squire For Men, Inc.
V
V
'
July 9, 1963 ("Reg. A") "$135,000 of 8% convertible de:
bentures due 1969.r Price —At par ($100). Business —
Manufacture and sale of custom hair pieces. Proceeds—
For
new
products
working capital.
and
Office—328
S.
Beverly Dr., Beverly Hills, Calif. Underwriter—Samuel
B. Franklin & Co., Los Angeles.
Stein
Roe &
Farnham Foreign
Fund, Inc.
July 1, 1963 filed 1,000,000 capital shares. Price—Net as¬
set value. Business—Company was recently formed and
will succeed to New York Capital Fund, Ltd., a Canadian
corporation. It will provide investors a means of in¬
vesting in Canada, Western Europe and other foreign
areas.
Office—135 S. LaSalle
Proceeds—For investment.
St., Chicago. Underwriter—None.
Sutro
Mortgage Investment Trust
1, 1963 filed 30,000 shares of beneficial interest.
Price—$100. Business — A real estate investment trust.
Proceeds—For investment. Office—4900 Wilshire Blvd.,
Feb.
Underwriter—None.
•
Teaching Machines, Inc.
April 1, 1963 filed 150,000 common. Price—$5 BusinessCompany develops and sells teaching machines ex¬
clusively for Grolier Inc. Proceeds—For loan repayment
and other corporate purposes. Office—221 San. Pedro,
N. E. Albuquerque.v Underwriter—S.
Fuller & Co.,
New York. Offering—Expected in late August. '
Tecumseh Investment Co.,
/ ~
Inc.
.
Price—$100. Business
—A holding company, which plans to organize a life in¬
surance
company. Proceeds—For investment in U. S.
Jan. 21,1963 filed 48,500 common.
Government
Bonds
and
in
new
subsidiary. Office—801
Lafayette Life Bldg.; Lafayette, Ind.
sand Inc. (same address).
Texas
Underwriter—Amo-
Plastics, Inc.
July 27, 1962 filed 313,108 common. Price—$3.50. Busi¬
ness—Operation of a plant producing plastic film and
packaging products.
Proceeds—For working capital.
Address—Elsa, Texas. Underwriter—To be named. Of¬
fering—Indefinite.
Ltd. (7/30)
Depositary Shares.
Price—By amendment (max. $25 per A. D. S.) Business
—Writing of marine, fire and casualty and allied lines
Tokio
Marine &
June 28. 1963 filed
Sept. 26, 1962 filed $250,000 of 6%% debentures due June
30, 1973 and 50,000 common. Price—For debentures, par;
for stock, $4. Business—Design, manufacture, and dis¬
tribution of girl's blouses, sportswear, and coordinates.
Proceeds—For debt repayment. Office—112 W. 34th St.,
New York. Underwriter—Reuben Rose & Co., Inc., New
April
1
Inc.
selling
mington,
•
Pan American Beryllium Corp.
Feb. 28, 1962 filed 100,000 common. Price—$5. Business
—Company plans to mine for beryl ore in Argentina.
Proceeds
For debt repayment, equipment, and other
corporate purposes. Office—39 Broadway, N. Y. Under¬
Broadcasting,
July 15, 1963 filed 166,376 common. Price—By amend¬
ment (max. $20). Business—Company and subsidiaries
own seven AM radio stations, three VHF television sta¬
tions and an outdoor advertising company. Proceeds—
New
v
—
,
Rights
-
.
Bldg., Cleveland, Ohio. Under¬
Co., Cleveland. Offering — In¬
7, 1963 filed 172,341 common being offered for
subscription by stockholders on the basis of one new
share for each 10 common shares held of record July 9.
Los Angeles.
Richmond Corp.
Dec. 21, 1961 filed 142,858 common.
—A real estate investment company.
(7/30)
Pacific
Sierra
retirement. Proceeds—For working
Fund Management Inc." (same address).
Power &
—
&
June
(8/20)
Corp. of Missouri
Retirement
Insurance Fund Inc.
Pacific
7th
Resort
McDonald
—
definite.
due June
April 8, 1963 filed 100,000 memberships in the Founda¬
tion. Price—$10 per membership. Business — Company
will operate retirement centers for the use of rent-free
private homes and apartments by members upon their
April 8, 1963 filed 200,000 common. Price — Net asset
value plus 4%. Business—A new mutual fund specializ¬
ing in insurance stocks. Proceeds—For investment. Ad¬
dress
Plankington Bldg., Milwaukee. Underwriter—
r
writer
: ;
$32 per unit. Business — Company will
erect and operate a luxury hotel and resort facilities,
and sell 80 acres of land for home sites. Proceeds—For
construction.
Office—3615 Olive St., St. Louis. Under¬
writer—R. L. Warren Co.. St. Louis.
Mining Co., Inc.
28, 1962 filed 900,000 common. Price—$1. Business
■—Mining. Proceeds—For equipment and working capi¬
tal. Address—Creede, Colo. / Underwriter—None.
*
s
capital
West
rant." Price
Outlet
*
19, 1962 filed 215,000 shares of beneficial interest.
Price—$15. Business — A real estate investment trust.
investment and working capital. Office
Proceeds—For
Industries, Inc.
27, 1962 filed 125,000 class A common and threeyear warrants to purchase 1,250 class A shares to be
offered in units consisting of four shares and one war¬
Feb.
PMA
*
—
Underwriter—None.
Shaker Properties
Provident Management Co.
Nov.
■
—
Roads, Cincinnati.
Brothers, New York.
-
Co., an affili¬
shares for each class A or
company
Oct.
Del.
investment, and working capital. Office—
St., Los Angeles. Underwriter—Costello,
Russotto & Co., Beverly. Hills, Calif. Offering—Indefinite.
For
411
V*
and Red Bank
Recreation
the basis of 4
—1956 Union Commerce
Nov. 23, 1962 ("Reg. A") 75,000 common. Price — $2
Business—Sale of travel and entertainment. Proceeds—
July 3, 1963 filed 75,000 common. Price—By amendment
(max. $25). Business—Manufacture of a wide variety of
built-in household appliances including > exhaust fans,
electric heaters, - kitchen appliances, door chimes, etc.
Proceeds
For selling stockholders. Address — Madison
*
nix.
,
—
on
$6; to stockholders, $5. Business—Company plans to en¬
gage in the consumer finance, mortgage, general fi¬
and related businesses. Proceeds
For general'
corporate purposes. Office—830 N. Central Ave., Phoe¬
Provident Stock Fund, Inc.
April 11, 1963 filed 1,000,000 common. Price—Net asset
value plus 8Y2%. Business—A new mutual fund. Pro¬
ceeds—For investment. Office—316 North Fifth St., Bis¬
Engineering Corp.
Corp.
500,000 common,, of which 405,000
subscription by holders of the A,
nance
Inc.
Underwriter—None.
29, 1962 filed 100,000 common. Price—By amendment (max. $15). Business—Research and development
marck, N. D. Underwriter
on
contracts using radioactive tracers; precision radio- '. /(same address).. ;
Financial
1962 filed
to be offered for
Selective Life held. Remaining 94,822 and any unsub¬
scribed shares will be offered publicly. Price—To public,
chiefly un¬
ing capital. Address—100 W. Tenth St., Wilmington,
insurance.
Office—1840 North Farwell
_
>B share and two-thirds share for each class C share of
8, 1963 filed 40,000 common. Price—$5. Business
—Company specializes in financial consulting, and serv¬
icing patients' accounts of member hospitals, physicians
and dentists. Proceeds—For debt repayment and work¬
March
*
ate,
'
Price—$25. Busi¬
1963 filed 40,000 common.
and sale of real property,
,
and C stock of Selective Life Insurance
■
Jan.
Underwriter—None.
Milwaukee.
Inc.
Feb. 28,
are
Proceeds—For debt repayment, and ac¬
quisition of additional properties. Office—195 Nassau
St., Princeton, N. J. Underwriter—None.
share
$2.50).
Lands,
ness—Purchase
1963 filed 280,000 common to be offered for
subscription by stockholders on the basis of one new
for each 1% held.
Price—By amendment (max.
*
Research
July 3, 1963 filed $20,000,000 of 5V2% guaranteed dollar
bonds due 1978. Price—By amendment. Business—The
March 26,
-
Selective
>
.
company,
*
•
Power Cam
Inc.
Feb.
:
Proceeds
operate oil wells.: Office—418 Mar¬
St.y Shreveport, La. Under writer^None.
drill for" and
„
Scheib
(Earl), Inc. (7/29-8/2)
June 28, 1963 filed 200,000 common. Price—By amend¬
ment (max. $12). Business—Company operates (through!
wholly-owned subsidiaries) a national chain of auto¬
mobile paint shops.
Proceeds—For selling stockholder^
E. A. Scheib, President. Office—8737 Wilshire
Blvd.,
Beverly Hills, Calif. Underwriter—Shearson, Hammill &
Co., New York.
Silver Spring, Md. Underwriter—None.
Powell Petroleum, Inc.
Sept. 28,: 1962 filed 100,000 common. Price—$5.
2 A. C. McPherson & Co., Toronto. 7
New
•
July 6, 1962 filed 1,000,000 shares of beneficial interest.
Price—By amendment (max. $5). Business—A real estate
investment trust. Proceeds—For investment. Office—880
Oct.
*
—Indefinite.
Investment Trust
Potomac Real Estate
Office—Tekoil Bldg., Oklahoma City
Underwriter—Peter Morgan & Co., N. Y.
~
Price—By amend¬
(max. $12).
Business—Manufacture of athletic
clothing, knitted underwear, children's sleepwear and
cotton cloth.
Proceeds—For bond retirement and plant
expansion. Address—Alexander City, Ala. Underwriter
—Hornblower & Weeks, N. Y.
Note — This company
formerly was called Russell Manufacturing Co. Offering
processing of colored kodachrome film. Proceeds—For
equipment, and working capital. Office — 56 Bennett
Bldg., Wilkes-Barre, Pa. Underwriter—G. K. Shields &
Co., New York. Offering—Indefinite.
(8/19-23)
Sept. 7, 1962 filed 180,000 class A common.
Business—Production of natural gas and oil.
withdrawn.
ment
75,000 common. Price — $4
films, and the
Feb.
By
—
color,
Russell Mills, Inc.
Sept. 28, 1962 filed 312,500 common.
repay¬
Business—Production of TV documentary
Kansas.
■v,
:
for oil
Manila, The
—
prints
—
June
National Mortgage Corp., Inc.
Dec.
and
Philippine Oil Development Co., Inc.
11, 1963 filed 325,000,000 capital shares to be of¬
fered for subscription by U. S. resident stockholders on
the basis of one new share for each two held. Price—By
Un-
derwriter—Security Brokerage Co., Billings,
Price
29
amendment.
Business — Developg
and black and white photographic"
film. Proceeds
For equipment and working capital.
Office—245 7th Ave., N. Y. Underwriter — Federman,
Stonehill & Co., N. Y.
Note—This registration will be
—20 Broad
disability
Proceeds—For general corporate pur-
insurance concern.
holders.
St., New York. Underwriter—None. Adviser •
—Smith/Barney & Co., New York. Offering—Indefinite.
*
'
(369)
The Commercial and Financial Chronicle
of insurance.
Fire Insurance Co.,
400,000 American
Proceeds—For investment.
Address—Tokyo,
Underwriters—First Boston Corp., Nikko Securi¬
Co., Ltd., and Shelby Cullom Davis & Co., N. Y.
Japan.
ties
•
Top Dollar Stores,
Inc. (8/5-9)
May 1, 1962 filed 200,000 common, of which 100,000 are
to be offered by company and 100,000 by stockholders.
Price—$6. Business—Operation
of
a
chain of self-serv-
Continued
on
page
30
The Commercial and Financial Chronicle
Continued from
Western Steel, Inc.
29
page
17, 1963 ("Reg. A") 245,000 common.
Price — $1.
Business—Company plans to erect a mill to produce cer¬
Jan.
1
clothing, housewares, etc. Pro
jeeeds—For expansion, equipment and working capital
Office—2220 Florida Ave., Jasper, Ala. _ Underwriter—
! Van Alstyne, Noel & Co., New York.
ice
retail
stores
selling
Development Corp., Ltd.
29, 1963 filed $5,000,000 of 7% senior debentures
due 1983. Price—At par. Business—Financing of tourist
enterprises in Israel. Proceeds — For general corporate
tain types
American-Israel
pending this issue.
-
-
equipment trust certi¬
and furnish¬
ing of flat cars to railroads. Proceeds — Purchase of
additional equipment.
Office — 6 Penn Center Plaza,
Philadelphia.
Underwriters — (Competitive). Probable
'bidders: Halsey, Stuart & Co. Inc.; Salomon Brothers &
Hutzler; R. W. Pressprich & Co.,Bids—Expected July 30
(10:30 a.m. EDST) at the company's office.
ficates
1964-68. Business—Acquisition
1963
filed
Inc.
.
.
due
,
William
1983,
subordinated
and
Penn Racing
Thursday, July 25, 1963
if Israel Fund, Inc.
July 18, 1963 filed 500,000
common. Price—$12.50. Busi¬
closed-end investment company which plans to
ness—A
invest in Israeli firms. Proceeds—For investment.
Office
—4200
Hayward Ave., Baltimore. Underwriter—Inves¬
tors Planning Corp. of America, New York.
if Lewis Business Forms, Inc.
July 22, 1963 filed $1,250,000 of convertible subordi¬
nated debentures due 1973. Price—By amendment. Busi¬
ness
Manufacture of a diversified line of business
■—
$4,000,000 of 614%
400,000 common. Price—For
debentures, at par; for stock $3.50. Business—Company
will take over and operate Western Union Telegraph's
International telegraph operations. Proceeds—For sell¬
ing stockholder, Western Union Telegraph Co.,/parent.
Office—60 Hudson St., New York. Underwriters—Ameri¬
ca^ Securities Corp., and Glore, Forgan & Co., New
York. Offering—Indefinite.
'
^
i
1963 filed $4,800,000 of
due
29,
debentures
(7/30)
Trailer Train Co.
Union International,
Western
March
—
fering—Expected in August.
June 20,
Process." Proceeds
construction and general corporate pur¬
poses. Address—Suite 412-413 Hynds Bldg., Cheyenne,
Wyo. Underwriter—C. B. Hoke Agency, Cheyenne, Wyo.
\ote—The SEC has issued an order temporarily sus-
Jerusalem, Israel. * Underwriter—
Basic Economy Corp., New York. Of¬
Address
of iron by the new "Taylor
"plant
—For
Tourist Industry
March
purposes.
.
(370)
30
Proceeds—For plant expansion, loan repayment
working capital. Office—243 Lane Ave., North, Jack¬
sonville, Fla. Underwriters^—Reynolds & Co., Inc., New
York, and Saunders, Stiver & Co., Cleveland. OfferingExpected in late August. : ■V;'•;j
■ /': y.
-y,;V;V,
forms.
and
if Mohawk Rubber Co. (8/19-23) /:■''//
'-//V/,
July 19, 1963 filed $4,000,000 of convertible subordinated
debentures due 1983. Price — By amendment. Business
—Manufacture of tires for passenger cars, trucks, buses
moving equipment. Proceeds—For loan repay¬
working capital and other corporate purposes.
Second Ave., Akron, Ohio. Underwriter—
and earth
Association
8,1963 filed $1,000,000 of 6%% sinking fund de¬
bentures due 1978 and 100,000 class A non-voting com¬
mon shares to be offered in units of one $100 debenture
and 10 shares. Price—$220 per unit. Business—Company
has been licensed to conduct harness racing with parimutual betting. Proceeds/— For debt repayment and
working capital.. Office—3 Penn Center Plaza*. Philadel¬
phia. Underwriter—Stroud &" Co;, Inc., .Philadelphia
March
ment,
Office—1235
Kidder, Peabody & Co., Inc., New York. '
"
Tratisarizona
Resources,
Inc.
May 28, 1962 filed 500,000 capital shares.; Price—$1.50
Business—Exploration, development and production o 1
the Lake Shore copper deposit near Casa Grande, Ariz
/ Proceeds—For equipment, exploration and working cap¬
ital.Office—201 E.;4th St., Casa Grande, Ariz. Under¬
'
writer—None.
•
Tri-Nite
■
V
Winslow
due
on
a
mill, and Construction. Address—405
Fidelity Bldg., Spokane, Wash. Underwriter — Mutual
Funds Co., Inc., Spokane. Note — This registration has
become effective. Offering—Imminent.: ? :*
^ UMC Electronics Co.
due
be offered for subscription by
1971 to
stockholders of record June 15, 1963. Rights
will expire
July 31, 1963. Price—At par ($200). Business—A holding
ing devices and torque motors. Proceeds—For equipment,
debt repayment and working capital. Office—41 HaiglSt.,
Camden, Conn.v Underwriter—Wtn. H. Hybeck & Co.,
Meriden, Conn.;-v* V;/
Wolf Corp.
i
(8/6)
<
(with attached warrants.
to be offered for subscription; by stockholders of clas*
A stock on .the basis of $500 debentures for each UK
held./tPrice—$500. per unit. Business—
debt repayment and realtj
acquisitions. Office—10 East 40th St., N. Y. UnderwTitei
—S. E. Securities, Inc.; i0 East 40th Street, New York
Note—This registration will be withdrawn.
class
A
Real
estate.; Proceeds—For
shares
Wyomont Petroleum Co.
May 10, 1963 ("Reg. A")? 120,000 common. Price—$2.50.
Business—Production: and sale of petroleum products.:
construction and work¬
670, Thermopolis, Wyo.
Underwriters-North west Investors Service, Inc. Billings,
ing capital. Address—P.7 O. Box
July, 10,, 1963 filed $42,884,000 subord. debentures due
Aug. 15,-1988 ;to be offered for subscription, by stock¬
holders on the basis of $100 of. debentures for each/15
common shares/held of record Aug. 5. Rights will expire
Aug. 20. Business—Manufacture of aeronautical engines,
propellers, and aircraft..Proceeds—For loan repayment.
Montana. Note—The SEC has issued an order temporar¬
ily suspending this letter;
11
1i«
1 J
1,
■
* mm
*.■> 7:; ,;r
>.
United
Saran
Plastic
&
!i:
Issues Filed With SEC
25, ? 1963, filed $330,Q00 of 7% convertible deben¬
tures due 1975 and 16,500 shares of 8% /preferred ordi¬
nary
shares to be.offered,in units consisting of two
$100 debentures arid lb shares. Pri'Oe
$305 per unit.
Manufacture
Proceeds
United Variable
For
Annuities Fund,. Inc.
Ajril
11, 1961 filed 2,500,000.shares of.-stock.,Price—$Hr
new mutual fundv,Ptuceeds—Foi
Investment. Office—20: W,;9th Street,, Kansas City, Mo
Per share. Business—A
Underwriter—Waddell
&. Reed,
Kansas
Inc.,
City, Mo
Urethane of Texas, Inc.
Feb. 14
l>e
1962 filed 250,000 class A and 250,000 common tc
offered in units hf one share of each class.
Price—
85-05
per
loams.
unit
Business—Manufacture
Proceeds—For
equipment,
Of': Urethane
working
capital
leasehold expenses and other, corporate purposes. Office
—2300
Republic National Bank Bldg.; Dallas
Under
writer
-
.
—
First Nebraska Securities Corp., Lincoln, Neb
Offering—Temporarily postponed. '
•
Uris
June
Building Corp.
.
(7/26 )
18,
1963 filed, 50,000 common. Price—By amend¬
(max, $30)^Business—Construction and operation
of office buildings. Proceeds—For selling stockholders.
Office—850 3rd Ave., New York. Underwriter—Kuhn,
ment
-Loeb & Co., Inc., New York.
Valley Investors, Inc.
Jan. 23, 1963, filed 328,858
—A
new
mutual
fund.
"
common.
'
June
'1
"
<
.
Price—$1. Business
Proceeds—For
investment.
dress—Sidney, Montana. Underwriter—To
Warwick Fund
•
Ad¬
be named.
(8/19-23)
17, 1963 filed 300,000 units of participation in the
to be offered in exchange for certain
acceptable
Fund
securities
posited
mutual
the basis of one"unit for each $100 of de¬
securities. Business — A new exchange type
fund which "plans to
continue
on
indefinitely
to
exchange its units for additional contributions of secu¬
rities, and to seek long term growth of capital and in¬
come
Office
3001"
Philadelphia Pike* Claymont, Del.
Distributor—Wellington Co., Inc., Philadelphia.
:
.
—
Waterman Steamship Corp.
Aug. 29, 1961 filed 1,743,000
Price—By amend¬
Carrying of liner-type cargoes
Proceeds—For the purchase of vessels, and
working cap¬
ment.
ital^
common.
Business—The
Offiee—71 Saint Joseph St., Mobile, Ala.
Underwriter—Shields & Co., Inc., N. Y. Note—This registra¬
tion will be withdrawn.
deOffering
details, where available, will be carried in the
Monday issue of the "Chronicle."/
'J: •
The following
registration statements
were
clared effective this week by the SEC.
$25,000,000 of 4V2%
sinking fund debentures, due July
1,1988 offered at 99V2% and accrued interest; also 741,144
common
being offered to ,stockholders at-$23.75 per
the basis of one new5 share for each nine held
19. 'Rights will expire Aug. 5. Lehman
on
of fecord July
Brothers, New York, is underwriting both offerings.
Community Public Service Co.
of
light household and office
general corporate purposes
Address—Rehovoth/ Israel; Underwriter—Brager & Co.,
New York; Offering—Indefinite.
'
r v":V '*r
—
Effective Registrations
share,
This Week
—
Business
v"';' •'
Burroughs Corp.
Feb.
furniture.
4V'/v-"
—None.
.
Ltd.
Corp.
i- Vermont Circ'e Corp.
July 11, 1963 ("Reg. A") 25,100 common. Price — $10.
Business—Operation of a year round resort. Proceeds^Fo'r construction, equipment, and operating expenses.
Office—150 Old Country Rd., Mineola, N. Y. Underwriter
."
Office—400 Main
St., East Hartford, Conn. Underwriter
—Harriman Ripley & Co.,
Inc.^ New. York.
^ Recording Industries Corp.
July 19, 1963 filed 297,000 common. Price—$5. Business
—Company plans to engage in the recording and man¬
ufacture of phonograph records, and the publishing of
sheet music. Proceeds—For construction of offices, work¬
ing capital," andJ other corporate purposes. Office-—801
Sixteenth Ave., South Nashville, Tenn.
UnderwriterTennessee Securities Inc., Nashville. j
:
^ •,
;
:,
26, 1962 filed $4,500,000 of 6.5% convertible sud
Proceeds—For debt repayment,
United, Aircraft -Corp.
:
Inc.
28, 1961 filed 125,000 common. Price—$4. Busines,
—Design and manufacture of pension electrical anc
alectronic measuring devices.; arid .testk equipment ,Pro
seeds—For debt repayment and other corporate pur
aoses
Office—1005 First Ave., Asbury Park, N. J. Under
writer—To be named. •
"/ "
'V.
Jan.
promotion and expansion. Office—9999 N. E; GliSt., Portland, Ore. Underwriter—None.
sales
san
ordinated debentures due 1977
lJune 19, 1963 ("Reg ,A"); $250,000 of 7 % subprd. cpnv.
/debentures
Electronics,
r
;
Dec.
Mining Co.
April 26, 1963 filed 800,000 common. Price—40c. Business
—Company plans to engage in exploratory mining for
zinc ore.-Proceeds—For advance royalties, payment of
balance
Offering—Indefinite.
if Northwest Craftsmen, Inc.
July 12, 1963 ("Reg. A") 150,000 common. Price — $1.
Business—Design, manufacture and installation of store
fixtures. Proceeds — For debt repayment, equipment,
it Bede Aircraft, Inc.
July' 16,'1963 filed 600,000 common. Price—By amend¬
ment (max. $3). Business—Company is engaged in the
design and development of several airplanes, including
a
light sports plane. Proceeds — For debt repayment,
product development, working capital and other cor¬
porate purposes. Office — 350 South Fountain Ave.,
Springfield, Ohio., Underwriter—Consolidated Securities
Corp., Pompano Beach, Fla.
' / : t.
/ J
if Biandy Corp.
July 12,1963 ("Reg. A") 240,000 class A common. Price—
$1. Business—Manufacture of ice cream and other dairy
products. Proceeds—For equipment, inventory, working
capital, and other corporate purposes. Office—4650 Idlewild Rd., Salt Lake City. Underwriter—None.
if Bobbie Brooks, Inc. (8/19-23)
July 18, 1963 filed 201,150 capital shares. Price — By
amendment
(max. $28).
Business — Manufacture of
fashion apparel, primarily for girls and women. Pro¬
ceeds
Fpr. selling stockholders. Office — 3830 Kelley
Ave., Cleveland. Underwriter—Bache & Co., New York.
—
if Bradford Speed Packaging & Development Corp.
July 22,:. 1963: filed 819,024 common to be offered to1
stockholders of Atlas General Industries, Inc., parent,
on the basis, of one Bradford share for each two Atlas
shares held. Price^—About $9.44 per share.. Business—
Company holds a 40% stock interest in ^aryland Log¬
ging Corp., which conducts logging operations in Liberia
and .will acquire from Atlas, Kliklok Automated Pack¬
aging Division, engaged in the manufacture and leading
of
packaging machinery." Bradfbrd also owns 69,509
shares (9.59%) of Foster Wheeler Corp. Proceeds—For
selling stockholder, Atlas General; Office—62 William
St.," New York. Underwriter — Burnham & Co., New
York/
J
v
-
•
if Iowa Public Service Co. (9/5)
July 19, 1963 filed $12,000,000 of first mortgage bonds
due 1993, Proceeds—For loan repayment and other cor¬
Address — Orpheum - Electric Bidg.,
Iowa. Underwriters—(Competitive).. Prob¬
able bidders: Kidder,, Peabody & Co.-Blyth & Co., Inc.
porate
Sioux
purposes.
City,
(jointly); Eastman Dillon, Union Securities & Co.; Equi¬
table
Securities Corp.; White, Weld & Co.; First Boston
Corpf; Merrill Lynch, Pierce, Fenner & Smith Inc. Bids
—Expected Sept. 5. Information Meeting—Aug. 28 (3:30
p.m EDST) at 20 Pine St., New York.
of 414% first mortgage bonds due July/1,
at, 101.656% and accrued interest, to yield
$13,000,000
offered
1993
4.40%, by Salomon Brothers & Hutzler, New York.
Continental Telephone
Co.
> ./
400,000 common offered at $11 per share by E. F. Hutton
&
Co., Inc., and Allen & Co., New York.
Faton
Manufacturing
Co.
$25,000,600
fered
by
of 4%% debentures due July 15, 1988 of¬
99%% plus accrued interest, to yield 4.40%,
at
Merrill Lynch, Pierce,
Fenner & Smith Inc., New
York.
International
Seaway Trading Corp.
6V4% convertible subordinated debentures
15, 1975 offered at par plus accrued interest;
also 140,000 common offered at $10 per share, by Hayden, Miller & Co., Cleveland.
$750,000
due
of
June
Interstate Securities Co.
173,433 common being offered to stockholders at $7 per
share, on the basis of one new share for each four held
of record July 22.?
Rights will expire Aug. 6.' A. G,
Becker & Co., Inc., Chicago, is the principal underwriter.
Lease
Plan
139,044
Stone &
Leeds
International Corp.
offered at $33 per
Co., Inc., New York. : •
common
share by Hayden,
Inc.
Shoes,
90,000 common offered at $3.50 per share by Strathmore
Securities, Inc., Pittsburgh.
7
/ '
^
'
.
Financial Corp.
Livestock
200,000
& Co.,
common offered at $5 per share by Charles Plohn
New Y'ork. -
Central
National
Life
Insurance
125,000 common offered at $10
Fitzgerald & Co., Inc., Chicago.
Northern
Illinois
Gas
Co.
per
share by Cantor,
Co.
first mortgage bonds due July 1,
1988 offered at 100.378% and accrued interest, to yield
4.35%, by Blyth & Co., Inc., New York.
$20,000,000
Northwest
100,000
of
4%%
Natural
common
Gas
Co.
offered at $34.50 per share by Lehman
Brothers, New York.
/
Therm-O-Dtsc, Inc.
124,072 common offered at $28.50 per share by Goldman,
Sachs &
Co., and McDonald & Co., New York.
Number 6284
198
Volume
.
.
.
have an issue you'r^ planning to register?
Corporation News Department would like
Do you
Our
that
know about it so
write
writer who
'
telephone us at REctor 2-9570 or
at 25 Park Place, New York 7, N. Y.:.7/
you
us
wants
bonds
the
$70-$80,000,000 plant. Office—441 Stuart St.,
of the
Underwriters—To be named.
ton.
Consolidated Edison Co.
(8/13)
Atlantic Ccast Line RR.
-
EDST) at above address.
Bethlehem
Feb.
26,
"•
'
announced plans to sell $4,575,b00 of 1-15 year equipment i trust certificates in
August. Office—220 E. 42nd St., New York. Underwriters
—(Competitive). Probable bidders: Salomon Brothers &
Hutzler; Halsey, * Stuart- & Co. Inc. Bids—Aug. 13 . (12i
noon
'
-
1963, Arthur B. Homer, Chairman, announced
embark on a 5750,000,000 capital
to be completed by 1965.
He
said that approximately two-thirds of the financing for
the program will be generated internally and the bal¬
ance secured
externally.
Mr. Homer added* that this
would not be required until at least 1964. Office — 25
Broadway, New York. Underwriters—To be named. The
last public sale of securities in May,51955, was handled
by Kuhn, Loeb & Co., and Smith, Barney & Co., New
program
ness—A motor vehicle
Chesapeake & Ohio Ry.
♦
•
24,000
(7/25)
Chesapeake & Ohio Ry.//'//*
Address—Toms
Office—247
be
(10/3)
98%
munications
no
more
be
half
approved by Interhandel stockholders, also
approved by the U. S. District Court at Wash¬
ington, D. C. Business—Company is a leading domestic
producer of dyestuffs, chemicals and photographic ma¬
terials. Office—111 W. 50th St., New York. Underwriters
recently
Georgia Power Co.
that
be
by these carriers, and no individual or group may
of the remaining 50%. Price—Maximum
$100 per share. Business—Congress has authorized
bonds
hold over 10%
the company to provide satellites and
for the
international transmission
of
graph,
3029
television
/and
other
«
"
*'a
.
1./.7/
Light & Power Co.
June 4, 1963 it was reported that the company is con¬
sidering the issuance of about $25,000,000 of bonds in
,
den
last
1963.
Proceeds—For
construction.
Address—Sel-
St, Berlin, Conn. Underwriters—To be named. The
public offering of bonds on Jan. 20,„ 1960 was
handled by Morgan Stanley & Co.-Putnam &
W. Scranton & Co.-Estabrook & Co. (jointly).
Co.-Chas
Connecticut Yankee Atomic Power Co.
April 23, 1963 it
jointly
own
this
was
new
reported that the 12 utilities which
firm, have petitioned the SEC for
subsidiary of The
of first mortgage
$7,000,000 of preferred stock in November..
and
Atlanta.
Underwriters
—
Office—270 Peacntree Bldg.,,
(Competitive). Probable bid¬
(Bonds): Equitable Securities Corp.-Lastman Dil¬
lon, Union Securities & Co. (jointly); Blyth & Co.-Kidder, Peabody & Co.-Shields & Co. (jointly); Halsey.
Stuart & Co. Inc.; First Boston Corp.; Harriman Ripley
& Co.; Morgan Stanley & Co.; Lehman Brothers. (Pre¬
ferred): First Boston Corp.; Lehman Brothers; Blyth &
Co.; Eastman Dillon, Union Securities & Co.-Equitable
Securities Corp. (jointly); Morgan Stanley & Co. Bids
—Expected Nov. 7, 1963.
Connecticut
late
&
ders:
Office—
Klingle Rd., N. W., Washington, D. C. Underwriters
—To be named. —*
Blyth & Co.-First
(11/7)
Proceeds—For construction.
ground facilities
telephone, tele¬
communications.
bidders:
Jan. 22, 1963 it was reported that this
Southern Co., plans to sell $30,000,000
can
held
of
Probable
Corp. (jointly); Lehman Brothers-Kuhn, Loeb
Co.-Glore, Forgan & Co. (jointly); Bache & Co/ .
'
com¬
provision
shares
—(Competitive).
Boston
con¬
FCC-approved
the
company.-Mr. Kennedy
mil-,
1
Gulf, Mobile & Ohio RR. (8/8)
June 12, 1963 it was reported that this road plans to sell
$3,900,000 of equipment trust certificates. Office—104
St. Francis St., Mobile, Ala. Underwriters—(Competi¬
tive). Probable bidders: Salomon Brothers & Hutzler;
Halsey, Stuart & Co. Inc. Bids—Aug. 8 (12 noon CDST)
at the company's Chicago office.
bonds
31, 1964.
by Dec*
Boston Corp., New York.
;
Jersey Central Power &
Light Co.
(10/15)
June-12/1963 company announced plans to sell $9,000,000
of debentures due 1988. Proceeds—For construction. Ad¬
dress—Madison Ave.,'at Punch Bowl Rd.,- Morristown*
(Competitive). Probable bidders:
Inc.; White/ Weld & Co.; First
Corp.; Eastman Dillon, Union Securities & Co.Salomon Brothers & Hutzler-Merrill Lynch, Pierce, Fen¬
N/J. Underwriters
Halsey,
Stuart
—
& Co.
Boston
■
Kidder, Peabody & Co.;
Harriman Ripley & Co. Bids—Expected Oct. 15 (11 a.m*
EDST) at 80 Pine St., New York. Information Meeting—
Oct- 10 (10 a.m. EDST) at same address.
v
: .'
ner
&
Inc.1 (jointly);
Smith
Star Gas Co.
Lone
(8/27)
1963 the company announced plans to file a
registration statement covering $35,000,000 of sinking
fund debentures due 1988.
Business — Production and
distribution of natural gas in Texas and Oklahoma. Of¬
fice— 301, South Harwood
St., Dallas. Underwriters—
July
2,
(Competitive).
Probable bidders:
First Boston Corp.*
Halsey, Stuart & Co., Inc., Salomon Bros. & Hutzler.
Bids—Expected Aug. 27. (11 a.m. EDST) at Chemical
Bank New York Trust Co., 20 Pine St., N. Y. Informa¬
tion Meeting—Aug. 22 (11 a.m. EDST), same address.
must be
carriers, with the
company's total
common
than
to
of the voting control of the
lion, the Government would receive about $140 million
and Interhandel about $60 million. The settlement terms,
Corp.
non-communications
issued
with Merrill
said that if General Aniline should be sold for $200
/7;:
other
and
will
reported that negotiations are
General Aniline & Film Corp.
20, 1963 it was reported that papers of incorpora¬
tion have been filed for this company, in Washington,
D. C. Company's common voting shares, without par
value, will be divided into two series. Series I will be
issued to the public, firms that produce space explora¬
II
York;'; Underwriter—To
being
Lynch, Pierce, Fenner & Smith
Ave.,'4 New
was
April 3, 1963 Attorney General Robert F. Kennedy an¬
nounced that the Justice Department had reached an
out-of-court agreement with Interhandel, a Swiss hold¬
ing company, designed to settle the 20-year old/dispute
over control of the 540,894 class A and 2,050,000 class B
shares of General Aniline seized by the U. S. Govern¬
ment in 1942 as a German asset. The stock represents
Feb.
Series
Park
It
Inc., New York.
Morgan Stanley & Co.-First Boston Corp. (joint¬
ly); Merrill Lynch, Pierce, Fenner & Smith Inc.-White,
Weld & Co. (jointly); Halsey, Stuart & Co. Inc.: Blyth
& Co.-Lehman Brothers-Salomon Brothers & Hutzler
equipment
named.
conducted
ders:
tion
//A"
18, 1963 it was reported that the company is con¬
sidering the public sale of about 25% of its stock. Busi¬
ness—Company is one of the leading advertising agencies in the U. S. with 1962 billings of about $130,000,000
May 6, 1963 the company stated that it plans to sell
$25,000,000 of debentures in October to raise money
for construction. Office — 120 East 41st Street, New
York.
Underwriters — (Competitive).
Probable bid¬
cerns.
Lynch
June
(Competitive). Probable bidders: Salomon Brothers &
Halsey, Stuart & Co. Inc.
Bids—Expected
(12 noon CDST) at above address. \
Satellite
Flar Underwriters—To 7 be
offering in May 1959 was under¬
Foote, Cone & Be'ding, Inc.
October 1
Communications
Petersburg,
Pierce, Fenner & Smith, Irtc.,- New York ;T-'77.'
Hutzler;
Bids—Expected Oct. 3..
additional common shares on a l-for-2C
repayment. Office—101 Fifth
Kidder, Peabody & Co., and Merrill
written by
Chicago Burlington & Quincy RR. (10/1)
May 20, 1963 the company announced tentative plans to
sell $5,000,000 of equipment trust certificates in October.
Office—547 W. Jackson Blvd., Chicago. Underwriters—
Inc.
Corp.
named; The last rights
.
Columbia Gas System,
capital funds.
Proceeds—For loan
SoUthy St.
3t.,
.7.\7;/;
1963 it was reported that the company plans,
to sell about $3,780,000 of equipment trust certificates in
late September, This will be the second instalment of
a
total $10,305,000 issue. Address "— Terminal Tower,
Cleveland, Or Underwriters — (Competitive). Probable
bidders: Salomon Brothers & Hutzler; Halsey, Stuart &
the fiscal year ending March
the majority would be sold
Light Co. (10/1)
announced plan3 to sell $18,525,000 of first mortgage bonds due 1993. Proceeds—For
construction and refunding of outstanding 5%% bonds
due 1990. Address —Madison Avenue, at Punch Bowl
Rd., Morristown, N. J. Underwriters — (Competitive).
Probable bidders: Halsey, Stuart & Co. Inc.; White, Weld
& Co.; First Boston Corp.; Eastman Dillon, Union Secu¬
rities & Co.-Salomon Brothers & Hutzler-Merrill Lynch,
Pierce, Fenner & Smith Inc. (jointly); Kidder, Peabody
& Co.; Harriman Ripley & Co. Bids—Expected Oct. 1
(11 a.m. EDST) at 80 Pine St.,/New York. Information
Meeting—Sept. 26 (10 a.m. EDST)' at same address. ■
12, 1963 the company announced plans to offei
stockholders, sometime in 1963, the right to subscribe
for about 457,265
It is expected that
July 16, 1963 the company
March
basis.
in the U. S. during
plans
Jersey Central Power &
River, N. J. Underwriter—None. 1
Power
Florida
'
(Government of)
May 1, 1963 it was reported that the Government
to sell an additional $35,000,000 of external loan
31, 1963. Underwriter—First
common
Aug. 26. Price—$24. Proceeds—To increase
16,
co. inc.
N. J./
shares on the basis of one new share
for each 19 Vz held of record June 26. Rights will expire
.
1963 it was
Japan
Virginia. Proceeds—For
1963 it was reported that the bank is offering
its stockholders the right to subscribe for an additional
16,
July
Probable bid¬
carrier operating in nine
First National Bank of Toms River,
'
Light Co.
Iowa Power &
reported that the company plans
to sell $10,000,000 of bonds in the first half of 1964. Ofrice—823 Walnut St., Des Moines. Underwriters—(Com¬
petitive). Probable bidders:; First Boston Corp.; White*
Weld & Co.; Halsey, Stuart & Co. Inc.; Equitable Securi¬
ties'? Corp.; Kidder, Peabody ;& Co.; Eastman Dillon*
Union Securities & Co.; Lehman Brothers; Blyth & Co*
July 24,
1963 it was reported that the company plans
to sell $6,525,000 of equipment trust certificates due
:Aug. 1, 1964-78. This is the first instalment of a total
$10,305,000 issue. Address—2813 Terminal Tower, Cleve¬
land. Underwriters — (Competitive).- Probable bidders:
Salomon Brothers & Hutzler; Halsey, Stuart & Co. Inc.
Bids—July 25 (12 noon EDST) at above address.
July
•
working capital, debt repayment and advances to sub¬
sidiaries. Office — Moonachie Ave., Carlstadt, N. J
rni**rwriter—Allen & Co -New York
7''■■■ 7-V7:
Address—Cherryvijde, N, C. Un¬
derwriter—The Ohio Co., Columbus.
common
eastern states from Vermont to
it expects to
first public
sale will include both a
primary and a secondary distribution. Business—Com¬
pany is one of the world's largest flour millers with op¬
erations in five countries. Proceeds—For expansion, re¬
search and debt repayment. Address —1200 Investors
Bldg./Minneapolis. Underwriter — Kidder, Peabody» &
offering of common stock. The
Jan./16,
9, 1962 the ICC authorized the company to
100,000 common. Price—By amendment (min. $5);
^Carolina Freight Carriers Corp. (8/12-16)
July 5, 1963 the company applied to the ICC for permis¬
sion to offer 100,000 common. Of the total, 24,000 will
be sold by the company and 76,000 by stockholders. Price
—By amendment. Business — A motor freight carrier
operating in 13 states from Mass. to Florida. Proceeds—1
7.-V;V77Y'
Milling Co.
Co., Inc., New York.
77 77^,,//. >/;,//.■ 'rU'X
issut
Busi¬
Freight Ways, Inc.
St., Honolulu.
July 8, 1963 the company announced that
file a registration statement covering its
Halsey/: Stuart & Co. Inc.;j First Boston • Corp.;
Morgan Stanley & Co.; Stone & Webster Securities Corp.
Eastern
Alakea
International
»*"< ^
Oct.
of common stock. Office—1130
Underwriter—Kidder, Peabody &
additional $8,000,000
an
Co., New York.
Co.
Mew York. Underwriters—(Competitive).
Telephone Co..
2, 1963 it was reported that the company plans to
offer stockholders in October the right to subscribe for
ders:
equipment. Proceeds—For expansion. Address—Tokyo,
Japan. Underwriter — Yamaichi Securities Co. of New
York, Inc.
:7-;/,///■> /.7:7. 7
capital.
Hawaiian
June
Power Co.
Duke Power Co.
26, 1963 it was reported that the company plans
$5,000,000 of convertible bonds in the U. S. Busi¬
— Manufacture
of cameras, and other photographic
working
000,000 construction program.
Ave., Wethersfield, Conn. Underwriters — First Boston
Corp.,' New York; Putnam & Co., Hartford; Chas., W.
Scranton & Co., New Haven.
Corp.;/1;•;/ 7|7/ i 777//':// /7/:777/:
&
/
Light Co.
$15,$26,Office—176 Cumberland
it
Consumers
Electric
April 30, 1963 the company announced plans to sell
$20,000,000 of securities in 1964 to help finance its
April 22, 1963 it was reported that the company has ten¬
tative plans to issue $50,000,000 of first mortgage bonds
(n the first quarter of 1964. Office—30 Rockefeller Plaza,
to sell
For
Inc.
Lehman
(jointly); Glore, Forgan &
Corp.
Hartford
of New York,
Inc.; White, Weld &> Co.-Shields & -Co \
(jointly); Harriman Ripley & Co/lnc.-First Boston Corp
(jointly); Morgan Stanley & Co/, Salomon Brothers &
Hutzler-Blyth & Co.-Lehman Brothers-Merrill Lynch,
Pierce, Fenner & Smith Inc. (jointly).
Canon Camera Co.
ness
addition,
Stuart
York.
June
Bos¬
April 24, 1963 it was reported that the company plans to
sell $20,000,000 of straight debentures in the 3rd quarter
of ,1963. Office—212 W. Michigan Ave., Jackson, Mich
Underwriters—(Competitive). Probable bidders: Halsey.
Steel Co.
that the company will
improvements
;
Boston
':'//;7-// 7/7
^
Brothers-Equitable
Co.-W. C.
Langley & Co. (jointly); Lee Higginson Corp.
Securities
"
:
of preferred
& Webster Securities Corp.;
will have to refinance $52,000,000 of
maturing bonds in the period ending 1967. Office—4
Irving Place, New York. Underwriters—To be named.
The last public bond issue, in December, 1962, was won
at competitive bidding by Halsey, Stuart
& Co. Inc.
Other bidders were Morgan Stanley & Co., and First
In
July 16, 1963 the company
?
.
announced plans to sell 100,-
stock (par $100) t in the second
half of 1963. Office—285 Liberty Ave., Beaumont, Tex.
Underwriters—(Competitive). Probable bidders:/ Stone
May 22, 1963 the company stated that* it will have to
raise approximately
$800,000,000 through the i sale of
securities, to finande its five-year construction program.
i
//;■; Prospective Offerings
•
1963 the company
shares
300
at competitive
be sold
to
31
(
Utilities Co.
States
Jan. 29,
bidding. Business—Company was formed in December,
1962, to own and operate a 500,000 kw. atomic power
plant at Haddam Neck, Conn. Proceeds—For construction
item
an
those you'll find hereunder.
similar to
Would
can prepare
we
Gulf
exemption from the Public Utility Holding Company Act
to permit the negotiated sale of $55,000,000 of the firm's
bonds. The request has been opposed by a major under¬
ATTENTION UNDERWRITERS!
to
(371)
The Commercial and Financial Chronicle
Power &
Louisiana
Light Co.
it was reported that this subsidiary of
Middle South Utilities, Inc., may issue $25-$30,000,00tt
of bonds early in 1964. Proceeds—For construction. Of¬
fice—142 Delaronde St., New Orleans. Underwriters—
Feb.
20/' 1963
(Competitive.) Probable bidders: Merrill Lynch, Pierce/
Kidder, Peabody & Co -Harriman
Fenner & Smith Inc.-
Ripley & Co., Inc. (jointly); White, Weld & Co.-Blytk
Co., Inc.- Shields & Co. (jointly); Halsey, Stuart & •
Co./Inc.;
First Boston Corp.-Glore, Forgan
& Co»-
&
(jointly); Salomon Brothers &
Union
Securities
(jointly).
' &
v
Hutzler-Eastman.Dillon*
Co.-Equitable
Securities
Corp.
/va•■/«
Massachusetts Electric Co.
Jan.-16,. 1963 it was reported that this company plans to.
sell $10,000,000 of bonds in the fourth quarter. Office—/;
441 Stuart St., Boston.; Underwriters —
(Competitive).
Inc.; First Bos¬
Fennep & Smith Inc.*
& Co.; Kidder, Pea¬
body & Co.; Blyth & Co.-White, Weld & Co. (jointly)Probable bidders:
Halsey, Stuart & Co.
Corp.; Merrill Lynch, Pierce,
Eastman Dillon, Union Securities
ton
Mexico
(Government of)
July 16, 1963 following the public offering of $40,000,000 of external bonds, it was reported that the Govern¬
ment
is
authorized to sell an additional $65,000 000
of bonds in the U.
Loeb
& Co.,
S. and abroad.
Inc., and First Boston
Underwriters—Kuhn*
Corp., N. Y.
Continued on page
32
The Commercial and Financial Chronicle
(372X
32
Continued from page
Sts., Allentown, Pa.
31
sale
latjt
Nevada Power Co.
Weld
White,
&
Co.;
Philadelphia
(jointly);
& Smith Inc.
April 16, 1963 the company announced plans to sell about
$4,000,000 of common stock in September. Transaction
is subject to approval by State and Federal regulatory
authorities. Address — Fourth and Stewart Ave., Las
Vegas. Underwriter—White, Weld & Co., New
Power *Co. (11/19)
England Telephone & Telegraph Co.
&
—
—
Tokyo (City of)
May 1, 1963 it was reported that the Diet had authorized
the sale of $20*000,000 City of Tokyo bonds in the U. S.
during the fiscal year ending March 31, 1964.
Under¬
writer—To be named. The last issue of Tokyo bonds in
March, 1927, was handled by Kuhn, Loeb & CJq, Offer¬
ing—Indefinite.
Transcontinental Gas Pipe Line Co.
May 6, 1963 it was reported that the company plans to
$30,000,000 of debt securities in September. Pro¬
ceeds—For expansion. Office—3100 Travis St., Houston.
Underwriters—White, Weld & Co., and Stone & Webster
Securities Corp., New York.
'
;
*
•
'—
1
^ Piedmont Natural Gas Co., Inc.
1963 the company announced .plans to»offer'
this^fall, the: right to subscribe - f6r about'
shares on a,l-for-10 basis. Business-^
Distribution of natural gas/iri North and South Carolina.
Proceeds—For construction. ; Office-^-4301
Yancey R.t,
July 22,
.
/ stockholders
140,000
common
Ultronic Systems Corp.
May 28, 1963 it was reported that a registration will be ;
filed shortly covering the first public sale of this firm's
Charlotte, N. C. Underwriter—-White; Weld & Co., Inc.,
common >stock. While the size of the offering has mot.
New York.
" •
been determined, it is said to be a relatively small deal, >
Potomac Edison Co.
involving over 50,000 shares. Business — Manufacture,
rental and service of the "Ultronic Stockmaster," a-desk May 14, 1963 it was reported that this subsidiary of
unit used to provide stock brokers with instantaneous
Allegheny Power System, Inc., plans to raise $12,000,000
information on stock and commodity market, action of
in 1964, but has riot determined the type of security to
selected issues. Proceeds—For working capital. Address
be sold. Office—200 East Patrick St., Frederick, Md. 7
—Pennsauken, N. J, Underwriter—Bache & Co., N. Y.
Underwriter—To be named. The last sale of bonds on*
-
(8/27)
Elecjtric & Gas Corp.
May 8, 1957 was to ai group headed by W. C. Langley &
Co., and First Boston Corp. Other bidders were: Halsey,
Stuart & Co. Inc.; Equitable Securities Corp.; White,
Weld & Co.-Shields & Co. (jointly); Lehman BrothersEastman Dillon, Union Securities & Co.-Harriman Rip¬
ley & Co.-Merrill Lynch, Pierce, Fenner & Smith, Inc.
(jointly).
;
.
..
sell
Utah Power & Light Co.
July 2, 1963 it was reported that this utility plans to sell
about $20,000,000 of bonds and $10,000,000 of preferred
stock in the second quarter of 1964.
Office—1407 West
North Temple St., Salt Lake City. Underwriters—(Com-,
petitive). Probable bidders (bonds): Salomon Bros. .&
/
Denver, Colo. Underwriters — (Competitive). Probable
Halsey, Stuart & Co. Inc.; Harriman, Ripley &
Co., Inc.-Eastman Dillon, Union Securities & Co.-Mer¬
rill Lynch, Pierce, Fenner & Smith Inc.-Dean Witter &
; Co.
(jointly); First Boston Corp.; Lehman BrothersKidder, Peabody-& -Co.-White, Weld & Co. (jointly);
Blyth & Co., Inc.-Smith, Barney & Co. (jointly).
bidders:
(9/9)
reported that this road has scheduled
$6,900,000 of 1-15 year equipment trust
September.
Office—8 North Jefferson
was
Hutzler; Halsey, Stuart & Co., Inc.; Kidder, Peabody &
Co,; Merrill Lynch,\ Pierce, Fenner & Smith. Inc.(jointly); White, Weld & Co.-Stone & Webster Securi¬
ties Cprp, (jointly); First Boston <Corp.-Blyth &; Co.
(jointly); Eastman Dillon, Union Securities & Co.Smith, Barney & Co. (jointly);. Lehman Brothers-Bear,
Stearns & Co. (jointly). (Preferred Stock) -White, Weld
& Co.-Stone & Webster Securities Corp.* - (jointly); First
Boston Corp.-Blyth & Co. (jointly);: Kidder, Peabody &
Co.; Eastman Dillon, Union Securities & Co.-Smith, Bar¬
ney & Co.-Salomon Brothers & Hutzler (jointly); Leh¬
St., Roanoke, Va. Underwriters—(Competitive).;;Prob¬
^ Public Service Electric & Gas Co. (10/22)
able bidders: Halsey, Stuart & Co., Inc.; Salomon Bros.
& -Hutzler.
Bids—Expected Sept. 9 or 10 (12 noon, n July 23, 1963 the company announced plans to issue. $40
EDST) at the cOmpany.'s' Philadelphia office.
:•
to $50,000*000 of debentures due 1982 in October. Pro¬
-I'-."'*•
•'
.-v.
ceeds—To redeem $36,00.0,000 of outstanding 3% deben¬
Northern Pacific .Ry; (12/10)
tures maturing Nov. 1, 1963 and for construction; Office
July 2, 1963 it was reported that this road plans to sell : —80 Park Place,
Newark; N. J. Underwriters—(Com¬
about $4,800,000 of equipment trust certificates in De¬
petitive). Probable bidders: Halsey, Stuart & Co. Inc.;
cember. Office—120 Broadway, New York. Underwrit¬
Merrill Lynch, Pierce, Fenner & Smith Inc.-Lehman
ers—(Competitive). Probable bidders: Halsey, S'tuart &
Brothers-Salomon Brothers & Hutzler (jointly); Blyth
Co., Inc.; Salomon Bros. & Hutzler.. Bids—Expected
& Co.; Goldman, Sachs & Co.-Harriman Ripley & Co.
Dec. 10 (12 noon EST).
:
(jointly); First Boston Corp. Bids—Expected Oct. 22 (11
a.m. EDST) at above address.
' ■
V
Northern States Power Co. (Minn.)
"
-
-
,
„
>
-
.
man
Rochester Telephone Co.
May 14, 1963 it was reported that the company plans to
offer about 771,110 additional shares to stockholders on
aT-for-20 basis in 1964r to raise an estimated $25,000,000. ;
>:
Office—15 South Fifth St., Minneapolis. Underwriter—
To be named. The last rights offering in July 1959 was
underwritten by Merrill Lynch, Pierce, Fenner & Smith
Inc., New York.
Northern States Power Co.
(Minn.)
■'
(jointly); White, Weld & Co.
Pacific Telephone & Telegraph Co.
June 19, 1963 the company stated that it will need $650
million of new money in the years 1964
through 1966 to
help finance its $1.3 billion construction program.: This
that the company must sell about $217 million of
securities a year, it was stated. Office—140 New Mont-*
means
,
gomery St., San Francisco. Underwriters—To be named.
The last issue of debentures on Feb.
16, 1960 was under¬
written by Halsey, Stuart & Co. Inc. One other bid
on
the issue was tendered
by Morgan Stanley & Co.
Pennsylvania Power & Light Co.
March 18, 1963 the
company stated that it expects to sell
$7o,000,000 of bonds in the period 1963 through 1967.
For construction and the retirement of
~~
000,000
$8,-
of
maturing
bonds.
Office—9th
and
Hamilton
,"
Co. Inc.
Western Transmission Corp.
April 17, 1963 it
natural
tion
was reported that this newly-formed
pipeline company plans to file a registra¬
covering an undetermined number of
shares to be offered initially to stockholders of
gas
statement
common
U.
mutual
.
S. Natural Gas Corp. Address—9601 Wilshire Blvd.,
Beverly Hills, Calif.-Underwriter—None.
1963, Allstate Enterprises, Inc., subsidiary, an¬
that it had delayed its plans to form a new
fund
until
it received
clarification
of
an
SEC
Western
ruling which "has been construed by some to mean that
registered ; investment companies could not purchase
Sears' stock or would be required to divest themselves
of it, if Sears' itself owned a mutual fund." Earlier, Allstate said that the fund would be in operation late in
1963 on a "very small
scale," and would be started on
a state-by-state basis as
approval was granted. Office—
925 So. Homan Ave., Chicago. Distributor—Allstate En¬
terprises, Inc., Chicago.
Southern
California
Edison
new
A
money to finance its 1963-64 construction program.
spokesman said that the company is considering the
sale of
minimum of
$50,000,000 of debt securities in the
St^,, Los Angeles: Under¬
writers—(Competitive). Probable bidders: Halsey* Stuart
fall.
a
Office—601
West Fifth
&
Co. Inc.; First" Boston Corp>Deam Witter: & Co.
(jointly); Blyth & Co.-LehmanfBrothers-Merrill Lynch,
Pierce, Fenner & Smithlnc.-Salomon Brothers &
Hutzler (jointly).
Wisconsin Public Service Corp.
(10/8)
it. was reported that this company
plans to sell $15,000,0.00 of bonds later this year. Office
—1029 North Marshall St., Milwaukee. Underwriters—
(Competitive). Probable bidders: Halsey, Stuart & Co.
Inc.; Merrill Lynch, Pierce, Fenner & Smith Inc.; East¬
man Dillon, Union Securities & Co.-Salomon Brothers
& Hutzler (jointly); First Boston Corp.; White, Weld &
; Co.; Kidder, Peabody & Co. Bidsr—Expected Oct. 8.
• •„
,
19,
1963
• Yale Express Systemf lnc.
.
J
«''
;
.
July 22, 1963 it was reported that the company had filed
an application with the ICC for permission to sell $6,500,000 of convertible subordinated debentures and 400,000 class A shares. Business—A holding company for
Southern Counties Gas Co. of Calif.
subsidiaries engaged in motor vehicle
freight transporta¬
tion, nationwide freight forwarding, truck leasing, etc.
loan repayment. Office—460 12th Aye.,
New York. Underwriters—Eastman Dillon, Union Se-
Jan. 2, 1963 it was reported that this subsidiary of Paci¬
fic Lighting Corp., plans to sell $27,000,000 of first mort¬
gage bonds in the fourth quarter. Address—P. O. Boi
Proceeds—For
& Co., and Hemphill, Noyes & Co.,
Offering—Expected in mid-August.
curites
2736,
Terminal-Annex, Los Angeles 54, Calif. Under¬
writers—(Competitive) Probable bidders: White, Weld
Telegraph Co.
1963 the company announced that it had ar¬
ranged to borrow a total of $100,000,000 by sale of notes
maturing serially, one-third at the end of each of the
years 1964, 1965 and 1966. It plans to refinance the serial
notes by issuance of long-term debt securities, but has
not determined the terms or timing of the action. Office
—6u Hudson St., New York. Underwriters—Kuhn, Loeb
& Co., Inc., and Lehman Brothers, New York.
March
May 22, 1963, following the sale of $60,000,000 of first
and refunding mortgage bonds due
May 15, 1988, the
company stated that it will need about $66,000,000 of
Union
March 6,
Co.
.
& Co.
&
Sears, Roebuck & Co.
Feb. 19,
nounced
Otter Tail Power Co.
man
;C:;:.*
—
:
'Jan. 16, -1963 it was reported that this company plans
to sell $10,000,000 of bonds in the fourth quarter. Office
r-215 South Cascade St., Fergus Falls, Minn. Under¬
writers—(Competitive) Probable bidders: Halsey, Stuart
& Co. Inc.; Blyth & Co. Inc.; Glore,
Forgan & Co.-Kal-
.
July 2, 1963 it was reported that this utility plans to
sell $20,000,000 of bonds in the second quarter of 1964.
Office—1100 H. St., N. W., Washington, D. C. Underwrit¬
ers
(Competitive).Probable bidders: Eastman ; Dillon,
Union Securities & Co.; Equitable Securities Corp.; Kid¬
der, Peabody & Co.; First Boston Corp.; Halsey, Stuart
May 7, 1963 the company announceid plans to sell $16,000,000 of debentures in the first quarter of 1964, but
may do so earlier if market conditions are favorable.
Proceeds
For construction. Office:—10 Franklin St.,
Rochester, N. Y. Underwriters—(Competitive). Probable
bidders: First Boston Corp.; Eastman Dillon, Union Se¬
curities & Co.-Kidder, Peabody & Co. (jointly); Kuhn,
Loeb & Co.; Halsey, Stuart & Co. Inc.
(9/18)
May 14, 1963, it was reported that this company plans
to sell $15,000,000 of first mortgage bonds due 1993 in
the last half of the year. Proceeds — For construction
Office—15 South Fifth St., Minneapolis. Underwriters—
(Competitive). Probable bidders: Halsey, Stuart & Co
Inc.; First Boston Corp.-Blyth & Co. (jointly); Merrill
Lynch, Pierce, Fenner & Smith Inc.-Kidder, Peabody &
Co.-White, Weld & Co. (jointly); Equitable Securities
Corp.-Eastman Dillon, Union Securities & Co. (jointly):
Lehman Brothers-Riter & Co. (jointly). Bids—Expected
Sept. 18 (11 a.m. EDST).
Brothers.
Washington Gas Light Co.
'
f
Electric Co.
by the end of 1964. Office—315 N. 12th Blvd.* St. Louis.
Underwriters—(Competitive). Probable bidders: (Pre¬
ferred): First Boston Corp.; Dillon, Read & Co., Inc.;
Lehman Brothers; White, Weld & Co.; Blyth & Co.,
Inc. (Bonds): Halsey, Stuart & Co. Inc.; Lehman Brothers-Blyth & Co., Inc. (jointly); White, Weld &.Co.Shields & Co. (jointly); First Boston Corp.
Public Service Co. of Colorado
4, 1963 it was reported that the company plans to
$35,000,000 of 30-year first mortgage bonds in April,
1964. Proceeds—For construction. Office—900 15th St.,
Union
March 19, 1963 the company stated that it plans to issue.
$20,000,000 of preferred stock and $40,000,000 of bonds
June
the sale of about
.
Thursday, July 25, 1963
issue
April 3, 1963 it was reported that the company plans to
sell $20,000,000 of debt securities to finance its construc¬
tion program for 1964 and 1965. Office—108 East Green
St., Ithaca, New York. Underwriters — (Competitive),
Probable bidders: Kidder, Peabody & Co. - Salomon
Brothers & Hutzler (jointly); First Boston Corp.-Glore,
Forgan & Co. (jointly); Halsey, Stuart & Co.; Harriman
Ripley & Co.; Blyth & Co.
'■« Norfolk & Western RR
.
.
★ Southern Pacific Co. (9/4)
July 23, 1963 it was reported that the company plans to
sell about $7,500,000 of 1-15 year equipment trust cer¬
tificates. Office
165 Broadway, New York.
Under¬
writers
(Competitive).
Probable
bidders:
Salomon
Brothers & Hutzler; Halsey, Stuart & Co. Inc. Bids—
Sept. 4 (12 noon EDST) at above address.
and-Morgan
,
.
Co.; Blyth & Co. Inc.; Merrill Lynch, Pierce, Fenner
Smith Inc.; Halsey, Stuart & Co. Inc.; First Boston
Corp.
Electric Co.
2, 19$9,: under written . by Drexel & Co.,
Stanley & Co.
-
None.
for
&
5,
June
.
July 17, 1963 the company, 69.32% owned by A. T. & T.,
announced plans to offer stockholders the right to sub¬
scribe for about 2,099,858 common shares on the basis
of one new share for each 12 held of record Aug. 27.
Rights would expire about Sept. 23. Proceeds—To repay
advances from A. T. & T., and for other corporate pur¬
poses. Office—185 Franklin St., Boston. Underwriter—
certificates
won
was
.
(Bonds) Halsey, Stuart & Co. Inc.; Lehman BrothersEquitable Securities Corp. (jointly); Kuhn, Loeb & Co.;
Meirill Lynch, Pierce, Fenner
& Smith Inc.-Kidder,
Peaoody & Co.-White, Weld & Co. (jointly); First Bos¬
ton Corp. (Preferred) First Boston Corp.; Dean Wittei
& Co.-Smith, Barney & Co.-Wertheim & Co. (jointly).
Equitable Securities Corp.-Kidder, Peabody & Co.-Lee
Higgmson Corp.-White, Weld & Co. (jointly): Lehman
Brothers; Merrill Lynch, Pierce, Fenner & Smith Inc.
Bids—Expected Nov. 19.
July 2, 1963 it
1961
phia. Underwriters-^-Tp be named. The last sale of bonds
on
Oct. 15, 1959 was handled by Morgan Stanley &
Co, and Drexel & Co. /Other bidders were: Halsey,<
Stuart & Co. Inc.; First Boston Corp.; White, Weld &
Co.
The last sale of common was a rights offering, on
York.
July 10, 1963 it was reported that this utility plans to
sell $10,000,000 of "bonds and $10,000,000 of preferred
stock in the fourth quarter. Office—441 Stuart St., Bos¬
ton. Underwriters — (Competitive). Probable bidders:
New York State
29,
1963 the company reported that it plans to
spend $478,000,000 for construction dining the five-yeai
period 1963-67. It added that about half the money re¬
quired will be generated internally, and the balance
obtained by bank loans to be converted into permanent
financing/ from time to time, through the sale of bonds
and common stock. Office—1000 Chestnut St., Philadel¬
March
Nevada Power Co.
New
Nov.
bidding by White, Weld &' Co., and Kidder,
Peabody & Co.
Other bidders were Halsey, Stuart &
First Boston Corp.-Drexel & Co, (jointly).
Halsey, Stuart & Co. Inc.; Merrill Lynch, Pierce, Fen-
New England
The
at com¬
Underwriters—To be named.
on
Co. Inc.;
Dillon,
Eastman
Union Securities & Co.-Kidder, Peabody & Co.
ner
bonds
petitive
April 16,1963 the company announced plans to sell about
$10,000,000 of first mortgage bonds in Sept. Address—
Fourth and Stewart Avenue, Las Vegas. Underwriters—
(Competitive):
of
.
•v
New York,
,H'i
198
Volume
Number 6284
;
.
The Commercial and Financial Chronicle
.
(373)
Indications of Current
The
following statistical tabulations
latest week
Business Activity
Week
Latest
IRON
AMERICAN
Steel
,
of
castings (net
based on
and
ingots
Index
INSTITUTE:
STEEL
AND
Week
tons)
production
July 20
weekly
average
July 20
The
indicated steel operations (per cent capacity).
Anfrerican Iron & Steel Institute discontinued issuing
this
data
that date,
on
oil
Crude
Vv
.i.'v
1960
1,398,000
104.1
111.5
130.2
75.C
0.63
0.675
0.790
48.C
AMERICAN
gallons each)
Crude runs to stills—daily
Gasoline
July 12
(bbls.)
average
fuel
Distillate
oil
oil
fuel
(bbls.)
output
(bbls.)
output
gasoline
Kerosene
(bbls.)
(bbls.)
at
oils
ASSOCIATION
Revenue
•
'•
8.802,000
8,749,000
30.840,000
30,737,000
31,604,000
July 12
3,146,000
2,966.000
2,545,000
July 12
July 12
14,407,000
13.898,000
14,711.000
5,384,000
5,412,000
July 12
192.181,000
194,473,000
195,352.000
32,876,000
31,668,000
29,996,000
COAL
OUTPUT
Bituminous
(U.
coal
ADVANCE
NEWS-RECORD—NEW SERIES
Total
'
advance
Private -
V
127,972,000
46,239.000
48,005,030
juiy 12
89,958,000
90,686,000
90,319,030
86,678,000
July 13
cars)—July 13
507,725
.440,795
616,261
497,660
454,750
516,632
415,495
SYSTEM—1957-59
EDISON
ELECTRIC
Electric
FAILURES
(COMMERCIAL
BRADSTREET,
2,505,000
1,990,000
9,775,000
146,000
187,000
465,000
July 18
Jrdy 18
IRON
$596,900
V,
Pig
steel
iron
Scrap
(per
steel
METAL
PRICES
Electrolytic
$648,300
353,800
356,000
288,200
95,700
292,300
222,500
198.50u
183,500
259,300
184.300
196,400
59,600
33,030
38,200
BANK
INDUSTRIAL)
—
DUN
DEBITS
THE
OF
NEW
100
93
17,369,000
16,759,000
—July 18
230
273
274
286
Domestic
warehouse
Dollar
&
July 15
ton)
J
;
6.279c
6.279c
$63.33
$63.33
$63.33
$66.44
July 15
$25.50
$25.17
$25.83
$25.83
10.550c
9.300c
Additions
12.500c
12.000c
12.000c
July 19
12.000c
12.000c
11.50DC
11.500c
July 19
july 19
22.500c
22.500c
22.500c
24.000c
115.375c
115.625c
117.125c
111.125c
U. S. Government Bonds——•
July 23
88.97
89.36
88.04
Average
juiy 23
88.81
88.95
91.77
92.06
at—
;
at
at)
at
.-
(primary pig, 99.5%)
(New York) at
PRICES
at
DAILY
Private
Group
Utilities Group
.
88.71
89.23
.92.79
.
j
Government Bonds
Other
90.34
90.34
90.91
89.23
89.37 c
89.51
87.05
84.30
84.30
81.90
87.05
87.18
87.32
83.53
July 23
89.78
89.92
July 23
89.64
89.78
90.20
July 23
!—
July 23
July 23
Railroad
Group
'
Utilities Group
1
;
;
:
COMMODITY
^
INDEX
(tons)-
Percentage
of
Farm
"
,
i
4.29
4.27
4.39
4.39
4.47
4.46
4.84
V4.84
July 23
July 23
4.43
July 23
4.44
July 23
371.3
—July 13
(tons)
PRICE
3.88
■.
3.93
4.47;
4.63
4.22
4.35
4.35
■
'
'
,
4.84
4.63
4.62
Total
TRANSACTIONS
Short
sales
sales
Total
Other
FOR
ACCOUNT
OF
rV-
.
Short
sales
Other
sales
Other
initiated
off
the
j.
•
•
373.9
•
\
V"
-
303,004
V
/
243,439
.243,508
97
506,033
July 19
99.26
♦99.04
112.36
99.06
.
<372,869
initiated
the
on
-V
^
•
2,692,710
!
sales
2,745,880
Number
Dollar
of
SECURITIES
dealers
EXCHANGE
(customers'
shares
Z
short
other
2,233,550
Number
Short
Other
Round-lot
FOR
North
Europe
June 28
2,670,630
2,738,160
2,093,270
4,229,730
To
South
To
Asia
To
Australia
.463,570
564,400
476,020
682,500
June 28
48,050
62,300
39,200
140,800
June 28
537,850
493,700
402,000
502,200
june 28
585,900
556,000
441,200
643,000
June 28
864,060
1,032,160
865,760
1,168,400
;
160,000
94,320
225,980
963,436
809,898
1,011,667
June 28
961,070
1,123,436
904,218
1,237,647
June 28
4.020,340
4,342,440
3,575,330
5,993,870
June 28
721,480
749,900
ON
THE
STOCK
MEMBERS
572,250
1,305,960
June 28
3,496.120
3,667,696
2.866,438
4,804,417
June 28
4,217,600
4,417,596
3,438,688
6,110,377
1.304,436
1,121,641
2,361,514
$60,125,974
$107,232,327
-June 28
1,638.244
1,648.781
1,475,226
2,003,386
June 28
17,817
11,358
11,673
119.886
June 28
1,620,427
1,637,423
1,463.553
1,883,500
June 28
$81,951,450
$77,951,924
$72,621,023
$99,232,327
June 28
697,830
638,150;
606,370
537,490
All
shares
N.
Y.
;
other
of
25
.
'
79
*449
472
69
64
61
♦59
Not avail.-
''h
23
1,714
*39
:
■
'•*68
40
171
401
*
,*1,493
*41
Not avail.
OF
44
265 it
34
«
62
67"'
157-"'
*488
618
♦163
159
:
*99
98
;)
*64
•
61
41
40
44
Not avail.
♦141
151
..
"36
•36
34
"
339,699
MINES)—
(net
tons)
tons)—
(net
194,986
112,437
35,051
-24,930
>62,968
287,450
169,216
47,313
11,366
632
168
1,988
5,325
507
tons)
lignite
(net
(net
tons)
tons)—:
41,210,000
37,673,000
1,783,000
1,682,000
1,339,000
5,056,197
♦4,827,536
4,510,377
4,963,844
*4,740,933
4,453,176
92,353
*86,603
57,201
end of month (net tons)
2,791,516
*3,185,614
3,774,885
$2,049,000
$2,084,000
$1,878,000
tons)
tons)
(net
at
PAPER
OUTSTANDING—FED¬
BOARD
YORK
NEW
OF
(000's. omitted)
30
39,250.000
.
tons)
(net
RESERVE
June
INDUSTRIAL PRODUCTION—BOARD OF
of
FEDERAL
THE
OF
ERNORS
GOV¬
RESERVE
Avcrage=l00—Month
1957-59
—
June:
adjusted
Seasonally
125
124
118
127
'125
120
$4,930,000
$4,762,000
32,000
24,000
$3,637,000
32,000
1,152,000
:
Unadjusted
STOCK
YORK
As
of
June
537,490
Total
-June 28
304,860
315,660,
261,200
878,380
Credit
EXCHANGE—
(000's
30
firms
60~6~370
omitted):
margin
carrying
customers
Total
debit
net
extended
to
accounts—
balances
customers
customers
of
value
of
free
credit
balances—
shares
listed
U.
:
S.
925,560
1.026,760
733,820
*2,218.400
June 28
19,420,200
19,959,430
16,693,980
24,802,200
June 28
20,345,760
20,986,190
17,427,800
27,020,600
borrowings of U. S. Govt, issues—
Member
borrowings on other collateral
CEMENT
PORTLAND
of
Month
DEPT. OP
298,969,472
547,000
482,000
v
4,218,000
3,909,000
2,325,000
...
—
and
foods
1
100.5
*97.1
94.3
96.4
July 16
102.3
♦102.5
100.6
100.7
95.1
.*94.3
,90.6
97.5
100.6
100.6
100.6
100.7
July 16
96.8
*100.6
99.9
100.3
Stocks
.
AND
RECT
S.
•Net/' sstles
Net
29.314,000
33,719,000
34,913,000
29.918,000
33,398,000
40,704,000
*41,416.000
40,076.000
86
75
88
4————
$8,718,000
34,497,000
(barrels)—;
month
(per
MARKET
TREASURY
MINES)—
——
mills
of
used
Capacity
U.
end
at
OF
'•!
May:
(barrels)
from
Shipments
July 16
July 16
(BUREAU
J
1,374,000
1,166,000
382,082,000
687,000
382,998.000
j.
'
figure. .fNumber. of orders not reported-.since in roduction of Monthly-Investment .Plan.. JPrime. Western Zinc
delivered"basis at centers where freight from East St. Louis
exceeds one-half-cfent a pound.- (ia) Not' available.:
-
.
MINES)—Month of May:
OF
(net
COMMERCIAL
OF
on
1,689
88
*393
"
\J.-
*246
tons)
and
Oven coke stocks
638 T 50
♦Revised
sold
137
489
-S
"
(net
coke
Production
farm
-■
-
20 v*
•
130
*489
*96
-
Not avail.
'
development
anthracite
coke
Beehive
Market
;
than
68
24
265
tons)
coal
Production
697\830
TRANSACTIONS
commodities
commodities
50
20
(BUREAU OF MINES)—Month
(BUREAU
June 28
—June 28
products—
Processed
foods—
54
24
STOCK
sales
Farm
All
COKE
Member
LABOR—(1957-59=100):
Commodity Group—
*
79
Not avail.
Member
—
50
81
-
;
208
June:
ERAL
(SHARES):
Total sales
•
of
As
sales—
WHOLESALE PRICES. NEW SERIES
;
systems
America
(net
SYSTEM
Short sales—.
Other
82
49
-
-
and
(net
Pennsylvania
NEW
dealers—Number of
ROUND-LOT
OF
74
'.
———
Central America
and
COAL OUTPUT
Oven
June 28
AND
ACCOUNT
round-lot
'•
-
tons)
To
$65,215,399
sales
EXCHANGE
Total
service.-.
and
(BUREAU
To
1.325.022
by dealers—
shares—Total sales
SALES
79
476
May:
939,180
■
$70,615,112
sales
STOCK
of
(net
4,142,970
June 28
sales—
ROUND-LOT
303
exports of Pennsylvania anthracite
3,290,550
—June 28
sales
purchases by
EXPORT
438,730
sales
of
V..
public
1,654,540
—
Dollar value————
Round-lot
other
527,600
COMMISSION
value
Customers'
274
purchases)—t
Odd-lot purchases by dealers (customers' sales)
Number of orders—customers' total sales
Customers'
225
295
67
2,210,560
STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODDLOT
DEALERS AND SPECIALISTS ON N. Y. STOCK
by
161
enterprises
Conservation
Bituminous
purchases
sales
372
211
183
104
526,220
Total round-lot transactions for account of members—
Odd-lot
402
67 "
1
2,144,410
813,860
—
433
109
-
219
404
jc
i_<_
water
June 28
June 28
EXCHANGE
235
91
facilities
June 28
sales.l
sales
225
institutional
and
service
Public
Month
floor—
sales
Other
971
226
Water
71
U. S.
Other
Total
871
140
Sewer
COAL
147,210
sales
923
495
•—
686
100
!—
<
1,697
102
85
—
2,492
-
'
375,530
,
♦720
53
:
and
Sewer
'
518,102
263,443
701
nonresidential buildings——
Military
369.1
69
;
*1,635
—
Highways
'
510,204
June 28
TOTAL
Hospital
.
.
1,844
—
Administrative
-
4,112
*2,455
buildings
Other
,
5,826
*3,970
2,647
garages
telegraph
Industrial
'
*
*5,463
4,225
buildings
4.52
63
sales__
Short
144, 690,000:
857.128.00Q
5,914
warehouses—
and
construction
4.48
547,283
Short
Total
:
>i,
:
•
;
and
utilities
private
4.40
369.9
-
276,350
floor—
purchases
Total
751, 011,000 :
.
public
4.40
229,828
.—June 28
transactions
or-
■
$472, 814,000
OF
millions):
:—
.
4.43
"
sales
Total
148,515,000
1,141,525,000
recreational
4.42
MEM-
purchases
Total
129,985,000
1,158,222,000
-
and
Nonresidential
All
sales
Total
91, 817,000,
institutional—
and
Educational
4.90
v
July 13
July 13
June 28
transactions
56,193,000
1
purchases
Other
24, 783,000:
45,607,000
'
utilities
Residential
4.65
BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS
Transactions of specialists in stocks in which
registered-
-
Public
5.03
4.61
:
restaurants
and
All other
/•••
4.49
4.45
; •
INDEX—
,;„1959 AVERAGE—100
ROUND-LOT
15,688,000
alterations—
construction
Public
88.54
-
July 13
of period
end
at
OIL, PAINT AND DRUG REPORTER
r
3.99
4.49
....
activity.:
orders
808,398,000
inonfarm)
buildings
Social
->
Unfilled
"
:
3.95 ;
4.50
NATIONAL PAPERBOARD ASSOCIATION:
(tons)
$525,297,000
Miscellaneous
"
Group-
Production
'
20,832,000
—
Hospital
89.09
90.20
„
(in
DEPT.
Educational
88.9o
86.71
84.30
July 23
:
received
,
806,908,000
nonresidential buildings
Other
—~,
.
Orders
4
$291,800,000 'rX
$2,697,327,000$2,695,616,000$2,342,243,006
S.
Religious
•
July 23
July 23
—
corporate—
MOODY'S
6,451,632 .„,j;
;
<-Zi).
$318,100,000
A
'r,r
$535,773,000
units
and
Telephone
Baa
f
6,568,545
-
between
-
June
housing
Stores,
90.9..
,
of
Commercial
-
Group
11
Public
shipped
,
Industrial
./ MOODY'S BOND YIELD DAILY AVERAGES:
Industrials
and
buildings
Office
-
_
—-
Nonhousekeeping
Nonresidential
buildings
'
!
<
V
■
.
OUT-
construction
Residential
AVERAGES:
corporate
A
'
:■'
..
'/.V''
construction
new
10.800c
'Aaa/-";
/
"
©
:
stored
LABOR—Month
10.80 Jc
S.
■
BANK
1-1
12.500c
U.
■
j-
30:
CONSTRUCTION—U.
New
Avferage
-'■
• '
■
,
;)
13,274
.
credits
-
BUILDING
9.500c
Public
«
f
SYSTEM
RESERVE
June
countries
Total
6.196c
6.279c
July 15
QUOTATIONS):
J.
■Railroad
v-
goods
on
foreign
10.750c
Industrials
of
exchange
Based
11.000c
BOND
'■/
GOVERNORS
ACCEPTANCES
shipments
11.000c
MOODY'S
OF
FEDERAL
Domestic
July 19
July 19
July 19
tin
23,364
343
—
28.525c
Aluminum
by
RESERVE
YORK—As
30.600c
Straits
21,959
Exports
96
126
Total
Louis)
3,911
undelivered
transport
BOARD
—
28.400c
St.
3,411
2,405
6,843,446
DOLLAR
STANDING
;
30.600c
(East
6,074
20,547
1■
BANKERS
2,000
17,437,000
at
Louis)
&
tT
3,701
,
/
FEDERAL
28.400c
(St.
'
49,701
2,349
K
'•
s?,
70,248
46.815
23,400
ASSOCIATION, INC.—
freight
—
30.600c
(delivered
:
tons)
28.450c
Zinc
■
(in
30.600c
Lead
♦\
general
July 19
rZinc
70,215
59,375
31,654
.
May:,
July 19
(New York)
2,491
$299,600,000
copper—
Domestic
refinery
Export refinery at
Lead
1,455
PRICES:
M.
&
2,597
„
INSTITUTE—
cars_
Imports
•
•
18,501,000
ton)
gross
(E.
freight.
$294,200
$510,700
July 20
lb.)
(per
gross
(per
1,954,000
85,000
243,100
July 13
_
of
intercity
RESERVE
INC.
COMPOSITE
AGE
Finished
.iv.
INDEX—FEDERAL
AND
62,184
June:
new
TRUCKING
Month
OF
kwh.)—
000
56,115
91,029
freight cars delivered
Backlog of cars on order and
(end
of month)
INSTITUTE:
(in
output
334,864
267,345
67,519
—
f; New
(000's omitted):
AVERAGE—100
—
407,603
310.979
—
RAILWAY CAR
of
of
carriers
-—July 18
—July 18
SALES
others
382.649
248,795
'
Orders
ENGINEERING
Municipal—
STORE
AMERICAN
AMERICAN
.
411,343
U-..
DEPARTMENT
452,240
358,614
302,499
'*
(no. of
—
and
State
30,948,00
108,949.000
——-
Public
'
6,010.000
46,966,000
planning by ownership
'■
I'-
—
unit
Gas
184,480,000
123,258,000
July 13
July 13
PLANNING
factory
-f"
Electric
MINES):
OF
Ago
13,248,000
:
48,714,000
lignite (tons)
anthracite
(tons)—
Pennsylvania
12
Month
2,751.00
128,666,000
and
CONSTRUCTION
.
Year
Month
MANUFACTUR¬
appliance
washer-dryers
Dryers
8,591,03C
31,200.00,.
RAILROADS:
BUREAU
S.
5,210,000
7,252,960
-
July 12
July 12
at
AMERICAN
OF
7,512.160
8.845,000
uly 12
>ujy
freight loaded (number of cars)
freight received from connections
Revenue
>
(bbls.)
and
Month
at
-••"*„-/Distillate fuel oil (bbls.) at
/ Residual fuel oil (bbls.) at
Unfinished
7,583,310
July 12
Stocks at refineries, bulk terminals, in transit, in pipe lines
Finished
7.567,760
of that date:
Previous
semi-automatic
and
Combination
output (bbls.)
output
(bbls.)
Residual
laundry
(domestic)
Wringers
42
Kerosene
home
sales
of
(bbls.
average
LAUNDRY
are as
Latest
Washers
Automatic
output—daily
condensate
and
Total
July 20
HOME
either for the
are
of quotations,
cases
ERS ASSOCIATION—Month of June:
INSTITUTE:
PETROLEUM
AMERICAN
•/f''1"VJ>
in
in
or,
Abo
2,426,000
Unofficial
late
production and other figures for the
cover
Dates shown in first column
Year
Abo
2,077,000
production
1957-1959
for
Month
Week
1,939,000
month available.
month ended
or
Previous
or
33
cent)—
——
TRANSACTIONS
GUARANTEED
•
IN
Di-
!
v
*
*
.
SECURITIES
A.—Month of June:
purchases **
.
(barrels)——
i'_—_—_I—I
'f
•
r
$73,860,400
$656,202,5Q0^
.
r
<■
; '
V-
....
:
The Commercial and Financial Chronicle
34
frobi
Continued
INDUSTRY
due to
14
page
P*ants ior va~atl?nf'
™
shipments to Eastern ports as
59,600,000 tons or
porters try to accumulate carg
than
Tanuarv-June
1962.
Prior to a possible rail tieup at
For the eighth week in a row
monthend, and indicates that
this
year,
the cumulative total steelmaking operations will inoutput of ingots and castings since crease soon.
>
"
Jan. 1 topped the year-ago period
Business in the metalworkmg
with
total
of
65,462,000 net industry is so active this month
tons- (*121.2%)
which is 12.1% that it may be tops for any July
above the Jan.
1-July 21, 1962 on record, Steel said. Its index
production of 58,419,000 net tons, of industrial production is soaring
almost
5,509,000 more
motive
only
story—in
»did
Production lor
pSsbursU'IIIIIIY—
■
'
July 20
East coast——
93
91
96
127
ce?coigo
io?
n?
126
89
117
106
Cincinnati
Louis
St.
southern
western
104.1I
industry
Total
weekly
The threat of
started
action
tive
steel
by
MiR shipments of finished steel
this month are expected to fall
an°ther / mllhon ton drop' to 5
mlUl0n tons'
asked for faster de-
users
that
requested
Others
liveries.
-Even so, 1963 .still shapes up as
the best steel shipments year since
^957 when mills shipped nearly
.
.
million tons in another good
auto year- And " is certain to
top the 71 million tons shipped
in I960, the best year since then,
shipments be rerouted from rail to
truck.
East
the
On
there
Coast,
concern—especially
shipments were for export,
genuine
was
where
ships
with
in
already
port
strike would force
rail
A
shut
to
some
shipments need reach only 30 mil-
im-
down
the switching lines
materials
the
that
But
move raw
inside
metal
hot
and
reach
this
Sometime
1,625
1963
the
week
'
but
corresponding
;
-
Ward
noied
s
reported
revenu2
(which were
14.2% above the cor¬
or
1961
46.5% / above- the
or
piggyback loadings
Cumulative
for
it characterized
1963
of
weeks
27
first
the
for an increase
gradual phaseout, of model mak¬ of 47,929 cars or 13.5% above the
corresponding period of 1962, and
ing this year.
JDespite "runouts'* reached by 108,966 cars• or 36.9% above the
period
in
1961.
several car makes, industry output corresponding
rather
"rush-out,"
a
as
week
than
There
at
programmed
was
totaled 404,202 cars
a
158
it
Corp.,
Motors
which
put,
also
was
which
Chevy,
has
at a high.
already ac¬
its
of
14
ended
ahead
of
Output
Over
and
plants.
13
July
in the cor¬
of 1962, the
Trucking Associations
con¬
truck tonnage has
gain
a
fourth
the
For
secutive week,
shown
(
electric
of
energy
light
electric
industry for the week
power
„Saturday, July 20, was es¬
timated at
18,501,000,000 kwh. ac¬
Electric
Edison
the
to
-
1,064,000,000
the
previous
Institute. Output was
kwh.
more
week's
/than
total
kwh.,
17,437,000
of
1,742,000,000 kwh. above the
total cutput' of the comparable
and
_
week
1962
increase, over
an
or
week, of 10.4%.
the year ago
year-to-year
reflected
a
on
Price Index
WTiolesale Commodity
Fractional
Remains Low Despite
Rise in Latest Week
Continuing
drift,
commodity
Tuesday last
downward
a
general wholesale
to reg¬
basis. These reports have
week-to-week rise
first
the
since
trough
lowest
the
to
ister
in the
was
2.5%
week
announced.
Level
Record High
a
amount
ended
10.4%
Soars
Year's
Last
To
The
207,504
__
197,588
203,800
218,953
March but then inched up
Row
a
the volume
American
its
to
cars
week
responding
'63 production, added
6,200
in
truck tonnage
Intercity
weekly
program and last Saturday's over¬
time operations took place in 10
about
orders
Electric
week
Fourth
Marks
Weekly Rise
counted for over 2.1 million units
of industry
181,399
186,471
price level ebbed on
Above
2.5%
Tonnage
1962-Week
Chevrolet division out¬
in
crease
199,315
the
^/
\
history, reflecting a sharp in¬
in
Shipment
in
in the corresponding week
Truck
biggest production week
the
146,777
pared with 60 one year ago and
1961.
General
For
was
this
in
traffic
last year.
week
originating this typ e
year's week com¬
road systems
158,642 units, less than a 2%
1962
1963
1963
173,282
Class I U. S. rail¬
61
were
July 14
July 6
July 13
cording
week, f
in output
surge
a
last week which
in the weak
1963
6,
the
for
feet
Production.
New
cars
more
(piggyback)
July
cars
cars
7,130,000 cars made in the record
1955 model period,
I
or
one
of
decrease
a
responding week of 1962 and 4,153
the
overtake
will
count
model
steel
is
there
Ford
Saturday slate
to
voted
Ford
de¬
was
elsewhere,
car;
the
com¬
this
of
week
the
months,
reported Dun &
Bradstreet, Inc.
Most of the up¬
in
two
movement
ward
tions
and
invento¬
to,
and from higher
rubber and hogs.
for
quotations
steady
in
resulted
demand,
good
increase
over-all commodity
The
collec¬
scrap
low carryover
have
ries
steel
from
came
slow
where
scrap,
is
current
cotton—the
in
and
crop
most favorable
in
flourishing
growing conditions.
sharp
increase
tonnage
week-to-week
previous
The
year.
„
year.
ahead
16.6%
for
volume
the
of
assembly of the regular
this
of
week
second
the
entirely, Truck tonnage was
Almost,
strike.
May
the
chance the
every
industry will be able to top
after production losses in
cepted
a
lion tons to match 1960.
Trainmen on some of
mediately.
the
1962
board
Ford Motor Co. had eight as¬
steady increases 'over the 1962 was fractional, however, since the
The magazine estimated firstsembly plants working last Sat¬ level, and the latest report shows advances were counter-balanced
half shipments totaled 41: million
urday, continuing a schedule in¬ the most substantial gain since
by continuing declines in grains
tons.
This
means
second-half
or
scheduled for early arrival.
steelmakers
""If"
to 6t)milli10n t°ns'
last
users
weekly.
metalworking
national
Bad
week, Steel magazine said.
Some
JlmC, reported Iron Age, the
railroad strike
a
and August
over
of
model term— included in that week's over-all
distributed, .by the
such a level. total); This was an uncreasa of
1955
the
de¬
cline from 161,854 cars made last
sharply from the year's high of
week and comparing with 148,308
8 million tons shipped in May and
cars
made in the corresponding
average
as
July
in
Sharply
ended
before in industry his-
output
last
July steel shipments will drop
minor flurry of protec-
a
output, freight carloadings,
steei shipments win Drop
Originally Feared
Steel
As
Not
Adjustments
Market
cruise 20%
to
and guto assemblies.
in.5
production based on
production for 1957-1959.
of
♦Index
power
v
133
104
118
113
*
continue
should
above July, 1962. .The index components:
bteel
output/ electric
103
96
114
———
ft
July 13
103-
C ere a.id
Youngstown
and
tainers
statistical service said that
once
thousands
weeks indicated:
highway trailers or highway con¬
Reports.
The
*
a
well above any other July,
of
loaded with
Auto¬
according to Ward's
week
-
aindex of ingot
6.6%
week
increase
an
'7,000,000th 1963 model pas¬
2.4% below 1961.
senger car was produced in U. S.
There were 13,084
assembly operations end of last
year's first half being
.
of
The
billion,
10.8
mately
1955
Xn
widespread shutdowns of
Before
Once
Only
Exceeded
1962's total output for
above June,
Nrrth
Thursday, July 25, 1963
.
13, 1963, are estimated at approxi¬
Year's Auto Output to Date
District—
.
(374)
STATE of TRADE and
ti.e
.
wholesale commodity
The daily
Monday,
week ear¬
would cease even if raw materials would raise total steel shipments
lier, but remained appreciably be¬
week,
and plants at -Metuchen
were
abundant.
'• ^
y
*\VS for the year to 73 million tons, a (N. J.) and San Jose were closed ence Da^ holiday which occurred low. its month-ago level of 269.75
on
Thursday
of the A preceding and fell considerably short of the
For many metalworking firms, level exceeded only 4
times in
last Friday only.
i
week of this year. This tonnage
Steel said the immediate impact the past 13 years/
271.74 on the comparable Monday
plants
Result:
out.
probably
would
Steel
walk
that figure by
production
"
lion
tons,
much
as
Iron
2 mil-
as
said.
Age
-
This
(N. J.) and Kan¬
pany's Mahwah
due largely to a return to
following the Independ¬
wa$
City lines were closed for the
sas
.
edged to 268.11 on
index
July 22, from 268.09 a
normal
'
would be
felt
Plants
mostly in outgoing
Optimism is based
on
the gen-
completing
last
during
1963
output
included
week
the
with
consistent
is
i( increase
that.
last
comparable
f g'pm
s rf .e^ kan.
in obtain- eral strength of the economy and Buick Special line at Flint periods in past years../ ./'A'A'/
raw materials.
Most of them the
continuing high level of steel
(Mich.), Ford's Lincoln-Thunder- ■v; These findings, are based on the
have 30 to 60 day raw material
consumption,
bird plant at Wixom (Mich.) and weekly survey of 34 metropolitan
inventories.
*
—
.
*
Strike fears didn't
tional
buying
mills
reported
sales
but
of
attributed
climbing
and
Chicago
it
in
automakers
normally
late
July
be-
tapering
are
off
starting
are
to
buy steel for delivery after model
Steelmakers have absorbed most
the
they
and
and
setbacks
.to
receive,
destined
were
.
the adjustments haven't been
quite
-
cancellations
bad
as
as
they feared.
July will probably be the,year's
low
month
for
order
entry, with
bookings 25 to 40%. less than last
month's.
Shipments
bottom
in
will
probably
August.
Since
hit
July
shipments of finished steel products
will
be
roughly
to consumption
tons),
equivalent
(around 6 million
liquidation
of \
consumer
stocks won't start until August.
.
Ingot output this week will be
less
than
Steel
the
2,020,000
estimated
poured last week.
close
to
65%
the1
tons
that
industry
Operations
of unofficial
are
capac-
Scrap
t»
•
Prices
™
Move
TT
Up
No.
1
cents
first
Steel's
price composite
-
,,
,
rates .ranSe from 20% to 50% of
^aPacRy* The large drop-off or-
ders.is dlie to seasonal factors and
COI^Unued liquidation of inventories built up as a hedge against
a stee* strike earlier,
on
of
the
estimates
about returned to
to
steel products.
$25.67
gain
since
in
a
gross
May
ton,
the
1, reflecting
Pittsburgh and Chi-
strength
curtailed
is
generation
attributed
of
day
to
material
have
normal
for
example,
Of
But
pected to
be
all products
back
to
are
ex-
normal
Lark-Hawk out¬
up
output
last
58.5%;
planned
terminal
The
a
with 12
Loadings Up
Row
Over
Mi
11 Weeks in
Year-Ago
Loading
of
freight
revenue
the
coal
miners'
totaled
This
66,930
the
of
crease
holiday
1962,
above
week.
cars
an
registered ton¬
row
1962's
but
weeks,
counterpart
below
the
1963
the
in
Ton-miles
September.
»•
.
■
<'"! -••I
-
>'«
'
Compared with the
is
i
*
"
t
■
-4
l-r
immediately
preceding week, 33 metropolitan
areas
nage,
down
Lumber Production
Lumber
Plunges 12.3%
production
the
in
week ended
United States in the
13 totaled
173,282,000 board
to
and
1962
by
the
197,588,000
in
according
to
week
Compared with 1962 levels,
dropped
fell 5.2% and
Following
12.3%;
new
out- '
orders
shipments fell 2.2%.
are
the
figures
in
for lard, eggs,
As well, bar¬
and hogs.
currants
wholesale
in
increases
Sizable
cost wer chalked up
bellies, butter, sugar
were quoted slightly higher.
The
combined price gains held an edge
over
the
total
of 10 foodstuffs
ley,
hams,
quoted
at wholesale mar¬
lower
flour, wheat, rye, oats, cot¬
tonseed
cocd)a, potatoes, rais¬
oil,
ins, steers and lambs.
Inc.
Bradstreet
&
Dun
The
Wholesale Food Price Index rep¬
per
sum
a
is
foodstuffs
raw
general use. It is not
cost-of-living
function
total of the price
of 31
pound
to
trend of food
Its chief
index.
the
show
general
prices at the whole¬
sale level.
Business
Slide in
Failures
Latest Week
reports from regional associations.
put
car-
year-ago
for two months.
and meat in
Week
1962
Below
comparable
levels has now persisted
year-ago
resents the
0.9%.
1962. An up¬
of
from
trend
ward
ton¬
registered ...increased
while one area, Los Angeles,
date
similar
the
kets:
respectively.
compared
week ended July
in the
loading
•
generated
decreases—off
largest
feet
weeks but not the 1961 week.
by
the
July
affected
vacation
annual
loadings
enced
65,581
sponding week in 1961. The coal
miners'
and
experi¬
terminals
corre¬
of
decrease
a
11.4%
or.
Omaha
respectively.
22.8 and 13.9%,
corresponding week in
over
and
Jacksonville
was
2.0%
or
gains of 17.9, and 17.7,
bouhced
Inc.,
street,
Truck ter¬
level.
1962
in¬
gain for the 11th week in
oa
cars
an¬
increase
an
represented
10,065
the
above
vacation,
the Associa¬
15.2%
or
preceding
the
Railroads
was
cars
The loading
a
cars,
American
of
of
week
annual
507,725
nounced.
of
second
points reflecting decreases
Birmingham
10.1%,
in
the week ended July 13, which in¬
cluded
at 22 localities,
Oklahoma City,
nage
Ton
and
tonnage
a
6.6% Over Last Year
es
last
for
minals at Detroit,
and
Rail
ago
year
the
from
survey
increased
showed
GM from
22.3%;
put was nil.
Brad-
compiled by Dun &
dex,
back after
port Economics, • The report re¬
slipping a week ago to reach a
flects tonnage handled at more
new
1963 peak of $5.98 on July
than 400 truck terminals of com¬
23. Up
0.8% from $5.93 in the
mon
carriers of general freight
prior week, the index exceeded
throughout the country.,
by 1.4% the $5.90 registered on
week
Studebaker out¬
Price In¬
Food
Wholesale
The
-
week,
Ford
Motors 6.4%.
can
for all
the
worked
Studebaker
After
week,
upspurt
fell
back
ended
July
failures
week
an
in
the
prior
commercial and industrial
to
230
18 from
in
the
273 a
w
|
1963 High
New
to
Rebounds
conducted by the ATA De¬
areas
partment of Research and Trans¬
Chrysler Corp. 12.8% and Ameri¬
just
on
(Wis.)
put in the final week of June.
This varies from
depending
fBig 3" assembly
programs.
Corp,,wound
3 to 5 weeks for cold-rolled sheets,
district.
ca£°'
Price
at
lived off inventories,
Delivery
other
Kenosha
tors
five
and
market
of
source
plants, along with American Mo¬
tion
Ikere are indications the
rate of inventory liquidation will
not h.e ?s severe as a year ago.
Nor is
expected* to be spread
over. as lonS a Period,
Mll.ls are getting reports from
the field that miscellaneous cusout
All
cars.
Mill reports yary widely re¬
yarding incoming orders
the
heavy melting advanced 84
increases
'
es„ma ^
By October-;.: the auto , plants
s^°uld . be;. rolling in high a gear
a? ^.e induslry begins to . fill its
pi^j es wlBl '64 models. And
?roductlon usually 'remains good
early December, Iron Age
n°™?'
dropped
Scrap prices moved upward last
week.
facility, exclusive
Chrysler, Imperial and Dodge 880
tomers are continuing to buy steel.
A year ag° many of them just
ity.
c,,™5
Chrysler Corp.'s Detroit Jefferson
Ave.
Index
Food "Price
Wholesale
,
iL
changeovers.
of
t
.
simply to
Orders
vacations
cause
steel.
slight pickup in
a
seasonal trends.
start
_
Particularly encouraging is the
°r
® auto • industr7*
aie beginning to raise their
estimates, .of the amount of steel
auto plants will consume this
year« One mill has added 400,000
as
earBer auto estimate
an,.
million tons to its overall
trigger addi-
year.
during
experienced
i.V-. A
\
.b'-.L'Vi
-JiiMP
'3(ft -L-l
week
I reports
earlier,
brought casualties
.
The Commercial and Financial Chronicle
.
(375)
Slow
&
Dun
This
Inc.
Bradstreet,
Number 6284
198
Volume
An
downturn
low
almost as
Declining
be¬
and 343 occurring in
low the 286
and
the comparable weeks of 1962
1961.
of
8%
Some
1939
when
the
stood ' at 251.
toll
pre-war
\
swing
trade "where
toll
the
152
week
a
ago. Mean¬
while,; casualties aihong mariufac-
tufersjheld steady ;at 40;.The
struction
inched
toll
to
con¬
from
32
every
in¬
to face
ad¬
and
tures
the
!, As
a
and varied
liberalization.
many
of trade
influences
result, industry suffered se¬
verely from
stagnation of sales,.
a
diversified,
of
(6)
depending
the
on
business.
The
in
demand
for
International
competing
market, ahd
reorganization and
establish¬
ment
of ' sT cooperafive
s^stehi
among
forced
in all functions.
levels
1962
and (371 in
tries.
the
similar
week
of
1962. •'
enterprises is needed.
Minor
industries
;
facing
competition.
In ortfer
lems
to overcdrhe these prob¬
strong movement
a
ini¬
was
tiated toward the establishment of
a
enlightened
more
policy,
;
Bradstreet Weekly Round
&
Up of/Consumer Buying Unavailable, This Week
Next
management
strengthening
a
Will
Be
Period
Ending
:.
.
,Y
=
Y,
V
(9) The big influence effected
/
by the liberalization of trade for
miscellaneous goods, copper,
and wool.
sugiar
(10)..Manufacturers as well, as
improvement in the merchants should be
prepared to
enterprises.
1962," reorganize and rationalize the dis¬
Sales
Rise
Department
store
up
13-ending
4%
on
a
taken from
Reserve
the
Board's
in¬
(adjusted)
week
This impressive leveling out
gain
the
over
week market the
for
(last
July
four-week
13,
1963
yeaf-ago
gained
YY'YY?;
/
According
to
the
System,
sales -in
week
the
over
week's
Federal
York
Citv
comparable
figure.
New
for
the
Re¬
store
for
the
year-ago
York
sales
four
City's
were
flash
week-period
Z ;
New
York
City's sales for the July 20-ending
sales
week
increase.
June
the
revealed
In,
1, there has been
N.
Y.
C.
sales
tax
plus
a
week
every
/
trial
/machinery will
gain for
a
the
hike
N.
from
stores
Y.
3%
City
4%
to
commencing last June 1. No
one
surmise, however, how much
higher it might have been in the
plus
So
e
i
6yer-supply expected to C6n*
tinb^id^ch|e^(&l feriJlizerJ paper
tVA
.
;■
Dividend
Although
exist
industries
these
is
there
that
this
future
to
each
favorable
is
still
will
be
Nonetheless,
year.
resin industries due to
improvements,
and
far
9%
over
a
de¬
spite
the fact that the
peak
has
been
reached.
the
1963
districts'
creased
retail
4%
rung up for-
(Jan.
Both
demand
growth
at
will
wards the latter
year
of
a
low rate, but
part of the
to¬
The
Directors
on
capital
on
tomobile,
and
will
goods
becoming
active.
getting
chinery,
petro 1 eum
.
^
other hand, steel,
rubber,*
paper
and
ma¬
pulp
-m
r*
il.y
,
..
Y.'Y ";
Y'
'
'
1 ■*?<■
.
■
v,
'Y'
CENTRAL
ELECTRIC
Louisiana
Company
has
of
Stock
Company have declared
DIVIDEND
one
The Board of Directors has authorized
the payment of
of
on
record
at
the
close
dividend of fifty cents
a
($.50)
per share payable September 6,
1963, to holders of Common Stock of
August 16, 1963.
of
Stock
cents
ord
One
1955
•
■'
'
/*"'
'V V
.-
i'
»;*.
'
•
•
•.
\
//
.
:/ /'
dustrial rationalization.
COMMON
quarterly dividends:
-
STOCK-$-65
per
J 963
15
1958
ful
industries
will
result
STOCK-$1.10
in
per
share
share
STOCK— $.56Va per share
The above dividends
are
to stockholders of record
to
ago./*;.
SERIFS
'
set
total
for
period
less
the
same
the
two
than
for the
The
showed
5%—or
20
0,v»h|e
S-nt—1
of
fr«
rpmrrl
business
ch^ohoM.
tt,0
on
1 q
—
"
10^8
T
P
10*3
^tre«t
'
,
Secoterv
August 9, 1963.
Franklin K. Foster,
Vice President & Secretary
in¬
Southern
data
encom¬
Railway
above
Dividend No. 102
Company
alone,
week
DIVIDEND NOTICE
554 per
■
■
latest
Common Share
New York, July 23, 1963.
the
ending
year-to-year
SERVES THE SOUTH
a
gain registered
stores
con¬
■
four-week
Payable Sept. 15, 1963
Record
Aug. 30, 1963
Declared
July 22, 1963
*■
'
•
gain
of
almost
percentage
store
period.
Serving M1DWEST/V.S.A.
points
sales
WILLIAM C. KEEFE,
Vice President & Secretary
''
**
'
T
■
■
•
^
A
t
^
A dividend of Seventy Cents (70*) per
share on the Common Stock without par
value of Southern Railway
today
of
net
fiscal
a
department
same
NO
that
over
4%
statement
13.
ppcFFRdED
nf
_
of
sales
department
trast
of
Business
payable September 9,1963
July 23,1963
Department of Commerce, put the
July
of
np^ chfl-o On the
Orf,^rro^
cfor((,
SOUTHERN
latest
shareholders
close
by the Bureau of the Census, U. S.
by
Series
Seotem-
1963.
passing total retail sales, compiled
year ago,
1955
corresponding period
broader
week's
of
4.5%
rponi,,
ers
$2.25 CUMULATIVE CONVERTIBLE PREFERENCE
tre¬
the
$1.1 3437^
CONVERTIBLE PREFERRED
$4.40 CUMULATIVE
success¬
dividend
on
oavable
DIVIDFND
The
1
.
NO.J 33
and
of ,tho
as
,
PREFERRED
share
Sfock.
?
rec¬
business
DIVIDEND
.
Quarterly
Preferred
Series
;.•/ (5) Strong thirst for investment
SERIES
Stock
pv.
...
cO
Preferred
1
28
ot
August
ot
NO.. 50
per
The Board of Directors has authorized the payment
of the following
c'ose
DIVIDEND
record
invest¬
amount
88
Com¬
1963.
requiar
ber
the
on
payable
PKtr
August
NOTICE
DIVIDEND
Inc.,
NO.
shareholders ot
the
V
Broadway, New York 4, N. Y.
Service Com
;
to
29,
4.5%
the
share,
of
as
July
on
in
per
1963.
THOMAS R. CAMPBELL, Secretary
GERARD J. EGER, Secretary
DIVIDEND
quarterly dividend
mon
record
August 5, 1963.
Company,
declared:
15..
seventy-five cents ($1.75)
on the preferred stock,
share
A
Z
INC.
Directors ot Central
fclecjtric
COMMON
Common
International
NOTICE
LOUISIANA
COMPANY,
The Board ot
The
plants and in the price of
fundamental and
and Secretary
July 19, 1963.
$1,125
material is set off against the in¬
among
Balgooyen,
Z
chemistry
personnel
capital
J
1963.
be
United States Lines
Cities
in
W.
9,
synthetic fiber industries.
by the over-investment in capital
on
at
August
■
in petroleum, electricity, au¬
actively is oppressed
expenditures,
iZ
;
payable September 3, 1963 to stock¬
goods.
ment
the clhse
business
t
payment
DIVIDEND NOTICES
quarterly dividend No. 180 of
dollar and
however, is
in
holders of record
of
t
the
on
to share¬
Capital Goods
Z
Harvester
business
increase
pef share
H.
HARVESTER
production control.
The
cents
Common Stock for
September 10, 1963
DIVIDEND
holders
(4)
/
Executive Vice President
'r1
year.
(2) Continuous over-production
be avoided, even through
and
at a meeting held
dayj, declared a dividend
16
ing slowly.
'•**:.
cannot
Market
of
industries will be slowed.
rayon.
oi
produc¬
evident
Company,
this
•'
over
COMPANY
and
be
increase
an
"The Board of Directors of the
electric tool and drug industries,
although profit ratios are declin¬
DIVIDEND NOTICES
per
(3)
spite
100 CHURCH STREET, NEW YORK
7, N.Y.
T
in¬
last year.;. The increase of demand
>/ On the
Unfavorable: Coal, chemical fer¬
tilizer,
COMPANY INCL
the
too remote from prof¬
forecast, shared by most
tion will grow
this
are
to
1
dollar- volume
(adjusted)
tools, synthetic resin,
industries in general.
(1)
its, in
INTERNATIONAL
a summary
to
Steel and nonferrous metal
dustries
seen
synthetic fiber.
ago.
year
this •year.
electric
POWER
operational
due
.
market recovery, soda, cotton and
wool industries will be profitable.
ment
Trend of Production
.
brighter
1963
following is
arid
a
predicted for
The
summarized
a
Favorable: Automobile, domes¬
tic
FOREIGN
Profit is seen improving-in the
petroleum, chemical and synthetic
machinery):
Y The
not
confidence
every
solutions
found
problems
-
is
Notice
AMERICAN &
•/•;/; YzY/'Y/A
Tremendous increase in invest¬
July 13), the 12 department store
A
hard
Investment
absence of the sales tax rise., The
four-week N. Y. C.' flash figure
was
have
time for a while.
andi
5%
since
department
notwithstanding
a
products.
Steel/:horifeffpUS'
industry and the decline of steel
help ..develop
those
Competition,
figure, for
.
would
The following
Foundry Compant
and
JOHNW. BRENNAN. Secretary & Treasurer
brings profits to cement, domestic
ing characteristic, is the upward
promoting trend of the chemical
and textile
esjoeci^Jly strong in international
competition. :./^ v.- /--v; Y./--V;.///;
keener
A
the^ Govern¬
consumers.
breakdown by industry (outstand¬
up
ending July 13.
can
bolster
,
July 13, gained 16%
department/store
15%
A;.;;
department
New
ended
which
and
turers to
trend
A
success.
tribution systems from manufac¬
7%
period for the country's
leading department .} store dis¬
serve
of self-ex-
year
towards
moves
bills
com¬
parable
tricts/.
enjoying
slightly
en¬
oyer last year's level for the
12
a
towards the merging of enterprises
row.
period ended
sales
tries
rate of in¬
same
crease) marked the eighth
couraging weekly trend in a
In the
was
com¬
pared with the like period in 1962.
week's
therefore,
industry and in the preparation of
sales
as
dex' were
July
of
such amalgamations in the marine
Level
country-wide basis
Federal
stability
ment
4% Above Last
Year's
•,
functions and
is clearly evident as
Nationwide Department Store
the
The transfer books will remain
open.
United States Pipe
Recovering: Textile and chemi¬
a
sales
of
amination—even for those indus¬
for
Week
But
July 24
-
3, 1963.
pictures.
Demand and Supply
.
cal
,
Dun
.•••
motion
:£)■'■.':y. ..//Profit
(8)
:
The
per
■
38 frojn 35 in the preceding week
-
and
New York, N. V., July 19, 1963
,,
a
(because of decrease
27 and service to 20 from ever-widening
gap between
the critical stage due to influence of
fVy
Mortality remained" well* be¬ Successful and unsuccessful indus¬
increasing f salaries and keener
1Canadian failures.edged up.to
:
silk
J
Foundry Company
Board of Directors this day declared
quarterly dividend of thirty cents (30tf)
share on the outstanding Common Stock
of this Company,
payable September 16,
1963, to stockholders of record on September
Industrial
demand): Soap, oil paint, rein¬
for, operating
a
serious; declines in profit and an
V
(because of decrease
investment):
Declining
in
/
Preparation
the
-
United States Pipe and
~
'
expansion of production.
(7)
DIVIDEND NOTICES
deep
metals,
machinery, heavy machinery. r
investment,
plant capital
capital will increase according to
the
plant
textile.
pulp industries.
from
low
virtually
year,
in Japan had
dustry
in
in
from
nonferrous
and
30/ atid wholesaling slipped to 23
24. '
Last
is
increase
the demand for
kind
justment problems, drastic capital
-off to cost increases, personnel expendi¬
was
mendous
commented in part as follows:
recent
concentrated in retail
was
115 from
Bank, Ltd., Tokyo, in
but
■
Nearly all of the week's down¬
Sanwa
analysis of the economic
outlook for Japan's industries,
a
week
similar
the
The
businesses
fewer
in
than
failed
Japanese Industries—1963
substantially
them
Steel,
cotton, wool,
in the July 4 holiday week and
as
dropped
upward climb
botton:
35
Company has
been declared out of the surplus
profits of the Company for the
year
payable
ended
on
stockholders
business
on
December
September
of
record
August 15,
31,
15,
at
1962,
1963,
the
close
to
of.
1963.
1
Pioneer Long Distance Transporter
and Producer of Natural Gas
J.
J.
MAHER,
Secretary.
The Commercial and Financial Chronicle
.
.
Thursday, July 25, 1963
.
Association Annual Convention at
the Shamrock Hilton Hotel.
MR.CACKLES
WASHINGTON AND YOU
Special Pictorial
CHRONICLE'S
Section April 39.
BEHIND-THE-SCENES INTERPRETATIONS
(N.Y.City)
May 16-24, 1964
NATION'S CAPITAL
FROM THE
Association
National
Mutual
of
Savings Banks 44th Annual Meet¬
ing at the Commodore Hotel.
WASHINGTON,
is
man
that
occasions
numerous
on
privately
publicly and
said
been
enough
big
really
has
C.—It
D.
winds
no
Dec. 7-8,
Defense
of
Department
the
for
Year
to be
from ti. a
percentage
standpoint not / many citizens of
cause the problems and responsi¬
this
country
realize
that
our
bilities are so great.
i
Army today is composed of 16
The past two weeks has clearly
divisions. Eight of those divisions
emphasized some of the responsi¬
are overseas—five in Europe, two
Perhaps
Chief Executive of
bilities of the
this country.
In
effort to avoid the possi¬
an
bility of
crisis
great monetary
a
somewhere down the road,
Presi¬
taken
some
dent
has
Kennedy
proposing that the
bold action by
dollars
to
Government levy a
United States
a
tax
foreign securities because
on
is
There
expected
be
to
other
steps taken that will curb the out¬
flow if the double-barreled action
in
taken
Washington
not
does
job.
the
do
adequately
discount
its
in
crease
expected
to
de¬
at
dollars
tra¬
home is clearly a break with
ditional policy.
Washington
Qualified
maintain
there
while
that
to suspect that our
reason
is immediately faced
is
strength
definite
a
crisis is building up unless some¬
thing is done to stop the outflow.
May 22-23-24,1967 (Boston,Mass.)
ing at the Hotel America.
officers
"These
1963 phone numbers have so many
new
digits
by the time I get a customer I've forgotten what
that
surprising that
gets
picture
world
the
wanted
you
to tell him about his stock!"
me
Patman Poised for Battle
action
the
Meantime,
the
by
Federal Reserve Board is going
repercussions
&
to
Representative Wright Pat-
was
the
of
expected,
SEC's
but
por-
special
22-26,
Sept.
(Colorado
1963
Springs, Colo.)
study
United
National
ciation Annual Convention at the
Frederick D.
Broadmoor Hotel.
the Division.
somewhat
his
In
surprising.
letter
of the
behalf
was
/a• :y.;
-
transmittal
of
SEC, which
on
Security Traders Asso-
CHRONICLE'S Special Pictorial
the
House panied
/the report to Congress,
Commit¬ despite the criticism of some of Sept. 27, 1963 (Philadelphia, Pa.)
tee, a critic of /Wall St. and a the alleged undesirable practices Bond Club of
The worst possible thing that
Philadelphia 38th
proponent of low interest rates, that have been taking place at the annual
could happen to the economies of
outing and field day at the
plans to do some /verbal jabbing various markets, Chairman Cary
this
Outgoing
Many
country and
Banking
Dollars
Allies would
our
be for the! world to lose confidence
in
the
dollar.
American
gold
reserves
the time.
more
dwindling
loss
last
all
was
year
ident told
Congress that the
is
below last
Even
and his
Com¬
Chairman
Patman
mittee.
"/;•
the
so
of payments
The
long-range picture
the
balance
position is improved.
is to keep the United
States from
living beyond its income overseas
at
and
For
home.
Federal
in
foreigners
much
as
United
providing
are
we
foreign assistance
are
States
income
like
would
we
as
the
in
for them to spend.
.
proposed
no
tax
action
partment
the gold
of
the floating of bonds
in this
try by other countries.
action
sult
in
some
foreign
For
coun¬
The bold
President
re¬
may
apprehension
from
the
by
countries
might
feel
country while they can
on—one
year or
from now—they
to
do
short-term
with
it
five
might not
been
at
designed
to
the
Pentagon
other
stop
actions
the
that
taken
outflow
of
U. S. dollars.
For
amount
Congress
the
it
as
but
gestions for raising standards are
CV}-C:\C-'C:'
put into practice."
[This column is intended to
the "behind the
subsequent
pressures
on/
in
following
Washington
rely on his wisdom.
ago
have
reiterated
he
said
other
on
who
A few days
what
has
he
occasions:
The
Scarborough
Club,
New York.
in
may or
K
America
at the
Bronx
in
(Pebble
Beach,
Calif.)
Board
of
-
Hudson,
of
Bank
Hotel.
ance
of
way
to solve
payments
improve
our
our
situation
(Hollywood Beach,
Bankers
Association
Annual
Convention
CHRONICLE'S Special
Bankers
2-3, 1963/ (New York City)
Association
Savings Banks
of
Mutual
at
Group Investment Bankers
is
past
give to the medically
will
in
Mr.
standpoint
in
with
the
a
billions
appropriates
substantial
of
dollars
was
each
year
study
Exchange
with
the
a
broad
three
rough
field
of
separate
Securities
Commission
Congress.
Woman's
is
He
also a Trustee
Bank and Di¬
of Excelsior Savings
rector
Winkle-
Hanson-Van
of
Munning Company.
Brokers and Dealers
TRADING MARKETS
Botany Industries
Head Mills
Indian
Electronics
Maxson
Official
Films
Waste King
Our
New
telephone
York
number
is
Cflnal 6-4592
LERNER & CO., Inc.
Securities
Square, Boston 9, Mass.
Teletype
Telephone
617
2-1990
451-3438
Cove Vitamin &
Pharmaceutical
Carl Marks & Ho. Inc.
FOREIGN
SECURITIES
20 BROAD STREET
TEL: HANOVER 2-0050
by
and
Treausrer
and Warrants
The
Bought—Sold—Quoted
Washington
actions.
ket
is
Halsey
Trustee of St. Luke's and
Report
official
securities,
n^edy
1963.
Common
week
an
79 vol¬
to
unemployment, Mr. Key¬
from
of
bal¬
rates and tighter
"SEC"
the Fund's
Investment
serling contends.
one
to
10 Post Office
economic conditions.
Latest
share
untary hospitals in proportion to
the free and below-cost care they
April 8-9-10, 1964 (Houston, Tex.)
Texas
the Del Monte Lodge.
The
and
their
17th Mid-Year
Association
Meeting
Mr.
hospital
$3,000,000 campaign
The money raised will be
(
meeting at the Commodore Hotel.
Governors
assist
700
Pictorial
stifle economic growth and
increase
raising
Attention
Supplement Dec. 19.
FIELD
Kuhn,
Fund's
the
Hollywood Beach Hotel.
National
Investment
on
Association
Investment
IN INVESTMENT
1963
New
will
Manhattan
in
trustees
Fla.)
EVENTS
of
Women 41st annual convention at
the Americana
COMING
11-13,
of
Sports Out¬
Miami Beach, Fla.)
National
Forsch is with
firm
.
Dec. 1-6, 1963
Sept.
-
Mr.
leading
Hospitals.
Dec.
economics
and
Club
reflect Oct. 20-24, 1963 (Bal Harbour,
coincide with the "Chronicle's"
views.]
Bond
York 2nd Annual Fall
scene" interpretation
from the nation's Capital and
may not
Municipal
ing at the Sleepy Hollow Country
sug¬
long
interest rates for
The second segment of the mar¬
instance,
of
strengthen
in¬
challenged before, but he has
The
and
markets,
Keyserling's philosophy in
complete
There is speculation on Capitol
Hill
securities
the
interest rates.
monetary
a
public confidence
of
freedom.
there will be
impair the
Sept. 27,1963 (New York City)
cut
to
economist
Washington
The
money
able
rates
should
transmittal, this report
not
sists that it is not feasible to raise
Higher interest
be
the
outflow "ignores a decade
out of the
years
De¬
further
interest
that they better take their money
because later
that
Treasury
raise
to
paramount
instance, foreign individuals
as
Advisers.
first letter
our
Forsch, Chairman of
Halsey
HUbbard
countries.
well
as
the
of
curb
H.
experience."
Mr.
foreign
on
would
ac¬
President
was
of
own
the
without
doubt
of
Leon
Keyserling I maintains
Mr.
Frightening Dollar Holders
The
been
who
Economic
of
all
securities
has
critics
Board's
Reserve
Keyserling,
not spending nearly
their
of
and
sharpest
far
thus
short-term
example,
billions
the
Mr.
Forsch
goal.
Huntingdon Valley, Pa.
;
stated in
by
announcement
to
distributed
we
should
Truman's chairman of the Council
to improve the position
way
of
One
CC'y
"As
in
Keyserling's Blast
the
unless
•■"-•;■;/'•
1963
year.
disturbing
said:
before
tion
is
Board.
Martin is invited to appear
substantially
rubbing
Huntingdon Valley Country Club,
McChesney
William
Chairman
$875,000,000. The Pres¬
than
outflow
our
are
are
The
at the Federal Reserve
Never¬
theless, the simple facts
Currency
and
1963
campaign,
Fund
investment
the
Hospital
the
of
Loeb & Co.
Supplement Oct. 17.
accom¬
according
named
been
ofl the
Hospital
of
exchange .markets
firm of Carlisle
has
Division
Trustees
of
chairman
man,
Too
Jacquelin,
group's criticisms of some aspects
the
-
Halsey, partner in the in¬
Vice-Chairman
Capitol
on
In Fund Drive
vestment banking
course,
the United States.
Halsey Appointed
Van R.
no
tions
Hill.
Mutual
of
Savings Banks 47th Annual meet¬
darker, will bring at least one or
two divisions and their families
have
Association
National
the Pentagon before long, assum¬
sev¬
a
ing at the BellevueStratford Hotel.
960,000.
about
is
It would not be
no
Mutual
of
Savings Banks 46th Annual meet¬
but our present actual
men,
back to
Association
National
scattered
country
with
crisis,
monetary
ere
sources
it is
units, but it all
Our current authorized
counts up.
ing
(Philadelphia,
small
are
and
Hilton
Washington
Pa.)
It is true that
around the world.
the
at
May 16-17-18, 1966
support¬
missions
Army
42
they
but the
Tax,"
S.
U.
keep
had
rate
days,
Equalization
"Interest
signed
for
ing
perhaps not many people
Army strength is 975,000
The Federal Reserve Board's in¬
.been
ing
Mutual
of
Hotel.
of
realize it but we are also
Association
Savings Banks 45th Annual meet¬
big drain and outflow.
Also
outflow of capital.
of the alarming
(Washington,
C.)
National
millions of
support them. This is
hundreds
17-18-19, 1965
D.
in those
eight divisions have their famil¬
ies living with them overseas. Be¬
they are living abroad,
meeting at the Commodore
May
Many of those soldiers
taking
Mutual
of
Hotel.
Okinawa.
in Korea and one on
cause
Association
Savings Banks 18th Annual Mid-
Financing G. I.'s Abroad
President of the United States be¬
1964 (New York City)
National
overseas.
up
was
and
,filed
report,
of
•
SPECIALISTS
NEW YORK 5, N. Y.
Annual Report
on
available
request.
TELETYPE 212-571-1685
1ILL, THOMPSON & CO.,
70 Wall Street,
Tel. WH 4-4540
INCi
New York 5, N. Y.
Tele. 212 571-1708
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