Full text of Commercial and Financial Chronicle : July 26, 1962, Vol. 196, No. 6180

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The COMMERCIAL and FINANCIAL

Established 1839

Volume

196

Reg. U. S. Pat. Off.

Number

6180

New York 7, N. Y„

Thursday, July 26, 1962

Price 50 Cents

The End of

There is a familiar bit of ancient mythological thera¬
peutics (not included in the President's catalogue) which
suggests the treatment of a dog-bite with a hair of the
dog that did the biting. An observer from Mars would,
we are
certain, sometimes wonder if the economic physi¬

The

fit the facts

Washington and elsewhere on the political scene
adopted a similar notion for application to eco¬
nomic illnesses, real and imaginary. A strong case for
believing that they have could certainly be found in the
developments during recent weeks. And the facts seem
to us to point very clearly to the conclusion that an
economy directed, guided, nudged or otherwise under
the thumb of government, however well intentioned and
however ardent, must come off a poor second to one
which is left to make its

own

with

political suggestions
may be.

or

decisions

as

board for

situation

and

outlook

sound,

notes

the

by no means has

run

its course.

By every test, the writer submits, today's market does not
portend

tify

a

a

favorable market climate, and

yield trend of

a

more

doubts

stocks

can

than 4 per cent.

around

visualized

Christmas

time

1961,

market fairly high,

it by no
wrote off

sharp decline or
prospects of gradual gains during the first half of
1962. The steady erosion since
the December high could still
be interpreted as a rolling ad¬
justment within the market and
in

a

pessw

which

during

stock
R. G. Wertheimer

the

trading range" (then 684).
Little forewarned except by the unusual length
of the bull market since 1949, and by stock-below-

fortunately Administration

bond yields

on page

26)

SECURITIES

U. S.

afforded

Government,

Public

are

explained as
typical of any year.
We face here, for the first time in the postwar
period, panic selling, an apparently entrenched
bear market and a basic reappraisal of market
values

investments.

and

a

revising their customary ratios,

stock

prices

Municipal

Securities

many

Registration" Section, starting

MULLANEY, WELLS & COMPANY

STATE

Underwriters

MUNICIPAL

and

a

or even

minimum regard to changes in earn¬
their existence. The government in-,
new

on page

29.

So. Hope Street, Los Angeles 17,
California!

623

Members New York Stock

BONDS

Members Pacific Coast

Corporate & Municipal

MEMBERS

MIDWEST STOCK EXCHANGE

FIRST NATIONAL CITY BANK

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

Inquiries Invited

770-1234

NY 1-457

w

Bond Dept. Teletype: NY 1-708

Municipal

New York

Correspondent

Net

To

t. l.WATSON&co.

D EALiER

Active

Markets

Block Inquiries

Commission Orders

Exchange

Stock

25 BROAD

company

—

Pershing & Co.

CANADIAN

Invited

BONDS & STOCKS

DIVERSIFIED

Executed On AH

Exchanges

CALIFORNIA

Teletype NY 1-2270

STREET

DIMCT

VIRES TO MONTREAL AND

TORONTO

Dominion Securities:

Goodbody & Co.

•rporation

<9]

MEMBERS NEW YORK STOCK EXCHANGE

DAXIXJAS
»'•

MANHATTAN

CANADIAN DEPARTMENT

NEW YORK 4, N. Y.

BRIDGEPORT

THE

Maintained

Canadian Securities

Exchange

American

Municipal Bond Division

'

Canadian

New York Stock

Notes

Dealers, Banks and Brokers
*

ESTABLISHED 1832

Members

Bonds and

BANK

*

DISTRIBUTOR

Housing
Agency

Southern

Chicago 3, III. FRaeklin 2-1166

UNDERWRITER,




on

California Securities

135 So. LaSalle Street

4>outfwe4t

Exchange

Offices

Securities

BOND DEPARTMENT

first

State,

Exchange

Associate Member American Stock Exchange

CHEMICAL BANK NEW YORK TRUST COMPANY

NY 1-1246,

to many seasoned
controls over the market econ¬

omy dealing
directly with the ability to make
profits, might be at hand. The imposition of such
a managed economy, disregarding
the essence of
free enterprise would depress stock .prices any¬
where at any time.
We are being told, on the one hand, that inflation
was the maker and mover of the bull market and,
on the other hand, that its forces have been stopped
by the government intervention in steel. Neither
of these two assumptions nor a third one, namely,
that the collapse of inflation had to be accom¬
panied by the market
(Continued on page 24)

Lester, Ryons & Co.

Distributors • Dealers

Chemical
NewYork

teletype:

little

an

.

telephone:

be

and Public

"(A'fl'C

P.O. Box 710, New York 8, N. Y.

can

This

Housing,

State and

there

immediate reaction to the profit
explanation fails to explain, how¬
ever, the tremendous preference consistently shown
by the public for the appreciation prospects of

climate.

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

tial undertakings in our "Securities in

As

doubt that the action of the government will add
to the profit squeeze in the steel industry, it con¬
firmed the views of those who saw in the changed

REGISTRATION—Underwriters, dealers and investors in corporate

NOW IN

securities

were

tervention, however, signalled

a

prices mill around endlessly in

losses

of those larger fluctuations

investors that

sell¬
ing panic, what they gloomily
expect is month after tedious

month

widely fluctuating
total

Finds Explanation Unsatisfactory

Time Magazine, in its

analysis of the trading range by

man¬

a

of

The break in the market cannot be

ings

issue of April 27, (p. 81) cap¬
tured the prevailing mood in an

saying that "not even
mists, however, predict

In

one-quarter

over

recovered since then.

stocks with

age to give longer lives to the upward movement in the
business cycle—if not make it virtually perpetual. Un¬

(Continued

market,

spite of further sluggishness

spotted.

inventories, alas, are no longer being ac¬
they were some months ago, and the rate
which new plant and equipment are being constructed
installed is disappointing to those who had supposed

econo-

average to a

below the December high).

after tax selling in April, no
basic chang ement de toeur was

as

Administration could

public,

considered the stock

Business

a new

the

means

15% below the already reduced D-J industrial
low of 534 by June 1962 (200 points

or

one

Background
While

ernment has no mandate to set prices—was the
big event. This intervention, based on general
misunderstanding
[see footnote*]
apparently
started the subsequent panic at the end of May,
cutting down market values by another 100 points

bearish future. He suggests the Government for¬

command

as

offing, so it is said, the upward movement
fading much sooner than it should—if indeed it should
be permitted to fade at any time—and in consequence
it appears almost certain that the
politicians will push
more
vigorously for some of the commonly suggested
lines of treatment. It appears distressingly likely that
enough agreement can be found among the mjany attend¬
ing physicians and surgeons to assure measures in the
early future that are of more than passing importance.

other

¬

end-of-the-year advance. The writer finds the

the attraction of the market

immediate

or

an

undiminished long run appeal of stocks, and concludes that

is

or

according to the Massachusetts professor who

economic

current

The powers that be are apparently now fully convinced
that the recent course of industry and trade is not what
it should be. Even if no downturn of importance is in the

that somehow

advanced for the recent market debacle do not

causes

offers his explanation for the break and sanguinely antici
pates a non-vulnerable D-J base of 600 serving as a spring¬

little troubled

political manipulations

could not time the events to their advantage. The
request of the Administration to cancel the rise
in steel prices—an act of dissuasion as the gov-*

By Robert G. Wertheimer, Professor of Economics,

have not

Upward Trend

an

Babson Institute and Northeastern University, Mass.

cians at

at

Copy

Mean

EDITORIAL

cumulated

a

'PERTH AMBOY

2

BROADWAY' "

^EW-Y.0RK;.

1 NORTH LA SALLE ST.
-

.

CHICAGO

40

Exchange Place, New York 5, N. Y.

Teletype NY 1-702-3

WHitehaU 4-8161

Food

Processing"
MUNICIPAL BOND DEPARTMENT

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

SAN FRANCISCO

•

LOS ANGELES

The Commercial and Financial Chronicle

2

The Security

Dealers only

Banks, Brokers,

For

,

.

.

(374)

*

A continuous forum in which,

Specialists for over
35 years

in the investment and

in

I Like Best...

This
Forum

each week, a different group of experts

Week's

Participants

Their

Alabama &

and

Selections

advisory field from all sections of the country

participate and give their reasons for favoring a

Thursday, July 26, 1962

Louisiana Securities

particular security.
British Petroleum Company, Lim¬

Creighton Hartill, Secu¬
basis, however,
rity Analyst, W. C. Langley &
is engaged in an ex- J
Analyst, W. C. Langley & Co.,
•Co., New York City. (Page 2)
tensive program of forward inte¬
New York City
gration, and last year "refineries Loblaw Inc.—C. J. Ivory Jr., Viceaccounted for 19% of total capital
President, ; Simpson, Emery &
British Petroleum Company, Limited
expenditures versus an industry
Co., Inc. Pittsburgh Pa. (Page 2)
This company, better known in
average
of less than half this
Europe, Africa and Asia by its
figure.
.
•
\
"BP"
marketing
insignia, is
a
In terms of volume BP has in¬
major factor in the international creased its sales by 53% in the for common stock 39 Century Food

Bank Stocks

On

crei|ghton hartill

Quarterly

Banks

Comparison of Leading

Companies of the

and Trust

long-term

a

—

the company

Security

Our 121st Consecutive

ited

Bought—Sold—Quoted

Co!

Steiner, Rouse &
Members

,

York

Members

Stqck

Exchange

Stock

American

Exchange

.

United States

business.

oil

Available

on

1909, BP to-.,
day "operates

NEW YORK

on

Established 1920

Independent
a u

•

PHILADELPHIA

CHICAGO
SAN FRANCISCO

Private

Nationwide

t h orities

BP's

proved

net-

crude

at

IN JAPAN
Monthly Stock

not

is

orders

concentrated

any

the

reserves are

in

heavily

Middle East.

the

petroleum demand will grow at a
compound rate of 5% per year.
British Petroleum, with its large

and extensive marketing
facilities,
appearswell able to
capitalize on this trendy We be¬
lieve that at current prices the
stock offers an attractive partici¬
resources

pation

Ltd.

9-2895

costs of finding and

oil

developing

compared with other parts
of the world. A leading authority

cents per barrel
versus
$1.73 per barrel in the
United States, $3.10 per barrel in
Canada, 51 cents per barrel in
Venezuela, and 82 cents per barrel
in the Far East. Second, these dis¬
decade

past

MUNICIPAL BONDS
of

WEST VIRGINIA
,

CAROLINA^—*

16

and development costs are
rough index of comparative pro¬

covery
a

SOUTH CAROLINi

duction costs as well.

&co

RICHMOND, VIRGINIA

are

worth about five cents

in

Northern Ohio
4

York Stock Exchange

Building

Private Wire to
&

net

current

assets,

about $10 per ordinary (common)
share, on the 261 million outstand¬
ing shares, or twice, its present
market price. Moreover, this valu¬
ation makes no provision for the

book value this would increase the

appraisal per ordinary share to
$15. Contrarywise, at pres¬
ent prices the buyer pays about

Ohio

about

Teletype CV 1098-99

CH 1-5671

from

company's $1.2 billion net invest¬
ment in transportation, marketing
and refining facilities. Taken at

murch & co., inc.

15,

barrel.

stock

Effective Distribution

Cleveland

L. F. Rothschild

book

Co., N.Y.C.

If!

Member National Stock Exchange

all

for

assets

except
which he
receives in effect for nothing.
On

fhlogh 4 Company, he.

value

production and

a

an

reserves,

operating basis BP, with

volume last year of 587 million

WOODWARD BLDG.

Tel. STerling 3-1677
*

304

'

i*

Arlington Trust Bldg.

ARLINGTON, VA.




D. C.
TWX:
t

with

ple, the equity shares being pre¬
ceded by $10,000,000 of 5% notes

JAPANESE

SECURITIES

WA 661

,

at

$3.3

billion.

The

discrepancy
and revenue

(This is under
a

circumstances

to

Securities Co., Ltd•

should continue to gain in earning
power.

YORK OFFICE:

NEW

For

comparison, the price/earn¬
of the three largest
chains in the U. S. are A & P (17)

149 Broadway, New York 6, N.Y.

ings vratios

Telephone:

BEekman 3-3622-3

times, Safeway (15) times, Kroger
(17) times.
v
Loblaw, Inc. at its current price
of

is selling at less than

$9V2

10
Underwriters-Dealers

dend

Distributors

better than 4%.

yield

stock in my

rent ;

indome

Securities

well defined
capital enhancement potential.
c. j.

ivory, jr.

;

c

Vice-President, Simpson, Emery &
,

.

Co., Inc., Pittsburgh, Pa.

Loblaw Inc.

with

Inc.

Loblaw,

is

the

on

Stock

Toronto

Ex-

1961-62 price range, high
15V2, low 8%.

change

<

supermarkets
nation. Its record of growth

in the

in

sales

chains
and

A

earnings

outstanding.
From

of

has

been

\

Exchange

Union Trust

Exchange

■

,

"

„

(Associate)

Bldg., Pittsburgh 19, Pa.

1-8700

Wire

Teletype PG 587
to

New

York

City

.

Added Nominees
Edwin

.

Article

7(f) and 11
amended,
commission
broker with Hay den, Stone & Co.,
Inc., was nominated by indepen¬
dent petition to run as a candidate
III, Sections
cbqstitution,

the

of

for

.

to

in¬

A

held
24
C. J. Ivory,

Jr.

creased to the

the board
until

serve

special

on

1963.

payout
b e en

to

election

ernors

steadily

as

William F. Bohner, a

.

Con¬

idend

Board

announced that in accordance with

,

34c to 98c per

servative div-

Stock
Chairman, has

American

Posner,

Exchange

from

share.

as

Stock

American

Private

ASE Receives

Stock

Pittsburgh .Stock Exchange

-

194# to

1961, stores/
operated in-

h

York

Nev:

GRant

Loblaw, Inc. is one of the fastest

growing

&

the

in

traded

Over-the-Counter Market and also
listed

...

Corporate and Municipal

-

of gov¬

February

August

it

will

election

be

7, 1962. On July
announced
that five

was

regular members, Joseph L. Kauf¬

LAMB0RN & CO., Inc.

done to

bring full consolidation of

Seiden

and

New

York

the various businesses within two

securities

to three years."

Melvin

be construed

as an

offer to sell,

or

solicitation of an offer to
buy, any security referred to herein.)

de

Cuevas

hag

City,

R.

SUGAR
Raw

were

engage
and

John

Refined

Liquid

—

DIgby 4-2727

Over-the-Counter

St.,

in

—

Exports—Im ports—Futures

been

Partners

Seiden

Cuevas. Both
ners

to

business.

STREET

NEW YORK 5, N. Y.

Seideri & de Cuevas Formed
formed with offices at 63 Wall

WALL

99

Joseph E. Petta; James T.
present annual rate of 40c per
Tobin; Anthony J. Shields, Edr
share. Book value has grown from
wards & Hanly; and John A. Lud¬
$0.94 a common share in 1947 to
low, J, A.. Ludlow & Co., were
$8.20 a common share at 1961 fisr
nominated by independent peti¬
cal year-end giving effect to 10r
tion as board candidates and three
for-1 stock split in December, 1959,
members, Michael J. Pascuma,
Loblaw Groceterias, a Canadian
Arthur B. Behal and Reginal H.
grocery chain, owns a controlling
Morgan, as candidates for the
stock interest (63%) in Loblaw,
nominating committee. A slate of
Inc.
The Canadian company also
28 candidates headed by Mr, Pos¬
owns 34% of National Tea's out¬
ner was named on July 16 by th$
standing common stock. Loblaw
exchange's, nominating committee
Groceterias, in turn, is part of th$
for election to the board of gov¬
WestonA food empire in Canada.
ernors, and seven members were
Weston's subsidiary and affiliated
named
for
election to the next
food companies account for well
nominating committee.
over $2 billion in volume
annually.
man;

Quotation Services

a

are

for 49 Years

de

formerly part¬

in Treibick, Seiden & Forsyth.

Robt. Krieger Forms Co.
Robert

E.

Krieger

has

formed

National Quotation Bureau
•

,

(

,

City,

at

42

to

business.

Broadway, New York

engage,

in,

a.

securities

..

Incorporated
Established

Robert E. Krieger & Co. with of¬

fices
no

D A I WA

enter¬

prise; aggressively managed,, and

,

on

Should this con¬
between
operating
ranking is due to the fact that BP solidation take place, the combined
currently sells a high percentage companies would then rank fourth
in volume; among all food chains.
of its production as crude oil for
Strongly entrenched in the West¬
a
much lower price
per barrel
ern New
York area, Loblaw, Inc.
then refined products command.
acquired in July, 1961 in exchange

as

conservative

a

The
opinion offers consid¬
erable : appeal as- a commitment
for those seeking reasonable cur-r

trade

4925 Fairmont Ave.

BETHESDA, MD.

t'This is

times 1961 earnings and little more

barrels, ranks third behind Stand¬
ard Oil of New Jersey and the
On April 30," 1962; at the Wdston
Royal Dutch-Shell Group. Sales 5
?annual meeting, the Chairman of
in 1961 were $2.8 billion," placing
George Weston Ltd. said that "Ac¬
the company on a revenue basis
between
Standard
Oil
of
Cali¬ counting and legal work is being
fornia at $2.6 billion and Gulf Oil

Direct wire to Ira Haupt & Company, New York City

WASHINGTON,

branch offices

strong. Capitaliza¬
sim¬

are

the

creased

Using this figure the
stock is now worth, after deduct¬
ing long-term debt and preferred
per

Hanna

our

tion of the company is quite

of

growth

together

Receipts

pository

Apart from economic considera¬ 128 to .252;
tions, there are always political, sales advanced
risks involving any natural re¬ -from $72 mil- .
lion to $30.6 \
source in the ground. Nonetheless,
an informed consensus is that on a
million; earn¬
present discounted basis BP's re¬ ings rose from
serves

Member New

-Direct wires ! to.

•

than.its book value of $8.20, divi¬

as

estimates them to average for the
the

*

/ Finances

:•

~

British Petroleum American De¬

government-company 1 profitsharing. arrangements inherent in
any
one
area., Foremost
in the
er

NORTH

oil

or

particular securities

VIRGINIA

1

limited downside risk.

Middle East arc the radically low¬

for

future

the

in

international

However, there are economic ad-, American
Stock
Exchange
and
vantages offsetting the political
currently pays a dividend at the
risks such as increased royalties

solicitation for

offer or

an

for

organizations,

York 6, N.Y.

Telephone: BOwling Green
This

barrels,

billion

50

,

greater geographic diversifica¬
tion characteristic of most similar

whole.

he Nomura Securities Co.,

/

.

estimate total Free World

sources

the

picture of the Japanese

61 Broadway, New

re-

Hartitl

other countries 2%. In contrast to

Digest, and our other reports
that give you a pretty clear
economy as a

Creighton

largest of any one organization in¬
cluding such giants as Standard
Oil of New Jersey and the Royal
Dutch-Shell
Group.
These
are
located approximately as follows:
Kuwait 60%, Iran 26%, Iraq 12%,

Opportunities Unlimited
our

'

Pennsylvania.

,

next decade industry

Over, the

and

oil

serves

for

geographic service

to Eastern Ohio and Western

area

,

Wire System

condensate

Write

*

estimate

to extend their

NY 1-1557

La.-Birmingham, Ala.
Mobile,Ala.
'

to insurance companies due Oct. 1, 1961 earn¬ 1978* amortized each year at an
ings for the four American com¬ average rate of $500,000 and other
panies. Moreover, in this group mortgages
payable of approxi¬
only BP
and .Texaco reported mately $3,000,000.
The ratio of
earnings per share last year above, current assets to current liabilities
those of 1957.."
;
I
is 2.15 to 1.
;
;

markets.

•

BOSTON

HAnover 2-0700

New Orleans,

Market Stores which enabled them

of 12.6 times

average

European

New York 5

Teletype NY 1-40

WOrth 4-2300

of

1y going to

American Stock Exchange

120 Broadway,

40%

present price of $5 the stock is
selling at 7.8 times 1961 earnings
of 64 cents per share versus1 an

current-

sales

.

Member

Associate

with

tinent,
about

.

in-"

every

habited con¬

CORPORATION
...

companies to which it is most
comparable;
namely
Gulf
Oil,
Socony Mobil, Standard Oil ? of
California and Texaco.. Yet at its

oil

.

Hanseatic
...

in

Founded

request

past five years versus an average
of 32% for the four international

19 Rector St., New York 6, N. Y.

46 Front Street
CHICAGO

<

1913

t
,

New York 4, N. Y.
SAN

FRANCISCO

Volume

Number 6180

196

.

The Commercial and Financial Chronicle

.

.

'

(375)

3

CONTEN.TS

of

Thursday, July 26, 1962

jcHTcnsTtin

u

AND

By Lawrence R. Kahn,* Senior Vice-President, Investments,

*

i

Articles and News

National Securities & Research Corp.: {Sponsors and Managers
of the National Securities Series of Mutual Funds) and Professor
,

of Finance, Pace College, New York City

.

ASK

PAGE

COMPANY

ABOUT

OUR

OUTGOING
Market Decline Does Not Mean End of Upward
Trend
—....w...—...Robert G. Wertheimer

j

ORDER

•

One

of

New

investment

York's,top

investment analysts

discusses the

basic

Changing Patterns of Portfolio Management

the light of today's changing
patterns. The former President of the New York Society of

market

approach he favors in

After

definite

a

trend.

V

explaining the causes of the

to

investment

selection.

a

is

of

Chairman

modern

other endeavors in-

the Admissions

world,

investment

continuous. business.
sometime

the astute

not

as

many

in

tress

investor has

his

made

.

first half of this year.

t
fe w
months, it is
"do

yourself" busi¬
for

ness

think

one

term trends. While

can

shouldn't

of

tinction

investments as

or a

pattern
set of pat-

terns.
when

on

portfolios

R. Kahn

Lawrence

-

and those who

selling the securities, must con¬
stantly keep in mind that our field
is an ever changing one. Yesterday
and today, both in security selec¬
tion and security sales, can only

v.

'

-

In

stepping stone for

a

tomorrow.

•

■

<

I.

our ever

at

we

National

*

r.

,

changing world with

its constantly expanding economy

all

are

human,

Securities

and

&

the

for

selection of securities.

As We

fads and

were

markets,

our

-•

styles

in

,.

'

7;

,

,r ^ .J
'

market

break

has

and

must

what

underlie

is

what

real

is

-

formulas.,

We

here, but they

the

basic

vey any
our

is

not

our

believe

me,

should

I

like

to

*

use

as

offer
a

fundamental

con¬

dated

one

of

or
or

In

the

the

1961

had the

we

excesses

of

"growth

on

excesses

are^ not

as

far

a

per¬

in last

a success¬

behind

the

drastically

parade as the purchaser of last
year's stocks "because they are

,

,

.

and You (The)...—

17
'20

News About Banks and Bankers—.,

21

\;:;;NSTA.Notes_._i.-.;_._-L-..r-——...

specialized in

!

4

Our Reporter on Governments.—L—~—

Kinney Systems
Monroe Auto Equipment

19

Singer, Bean

27

Securities Now in Registration

j.

29

—

42

Security I Like Best (The).

-,

;

&

mackie,

HA 2-9000

inc.

40 Exchange Place, N. Y.

Teletype NY 1-1825 & 14844

*•
•t.

*
-

Direct Wires to

2

—■--.->

Security Salesman's Corner_i__^_i_iU—w__—...

18

State of Trade and Industry

16

Chicago

Cleveland

Philadelphia
(The)...

St. Louis

..

Los Angeles

San Francisco
Washington

Tax-Exempt Bond Market.—6

Washington and You

">*

48

—

the

investment
have

corrected.
Continued

now

Published

1

!

.

Twice Weekly
WILLIAM

25

.

.

'

•'

D." SEIBERT,

Y.

U. S. Patent Office

REctor 2-9570 to 9576

,

President

WILLIAM

DANA

!

,

!

L F. MacDonald

'

SEIBERT, Treasurer
GEORGE

J.

MORRISSEY,

Editor

Thursday, July 26, 1962

been

Every

Thursday

(general news and advertising issue) ,and every
Monday
(complete
statistical
issue — market
quotation
records,
corporation news, tank clearings, state and city news, etc.). Other
Officp: 135 South La Salle St., Chicago 3, 111. (Phone STate 2-0613).

26

by

1962

class

William

postage paid

B.

Dana

States,- U. S. Possessions

$65.00

per

year:

in

of

THURSDAY EDITION

of

Canada

countries $72.00 per year.

other

....

ONLY

Y.

(104 issues

and members

Dominion

N.

RATES

MONDAY AND THURSDAY EDITIONS
United

Company

at New York,

SUBSCRIPTION

Union

1868

Reg.

COMPANY, PUBLISHER

Park Place, New York 7, N.

"CLAUDE

PREFERRED STOCKS

Founded

DANA

^

■

scene.

page

Spencer Trask & Co.

B.

FINANCIAL CHRONICLE

' '<

•

*

Actually,
on

COMMERCIAL and

The

In

per

Pan

$68.00

year)

American
per

year;

r:

(52 issues

per

year)

L, In United States, U. S. Possessions and members of Pan American

7

.Union

$20.00

per

countries

other

year;

$23.50

in

per

Dominion

of

Canada

$21.50

per

year;

year.

_

BROAD

Nashville

Newark

and

Chicago

Schenectady

Glens Falls

Worcester

Quotation

for

$45.00

per

year

(Foreign

39 BROADWAY, NEW YORK 6

-

account

remittances
made

Reoord—Monthly,

extra).

lNote—On
,

Boston

OTHER PUBLICATIONS

.

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i

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/
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INCORPORATED

Members New York Stock Exchange




Control Data

21

Dbservations r.

Second

25

.

Activity......... 28

Fi*nds

Copyright

For many years we

have

Elco Corp.

-.
.

future, coupled with
that dynamic vitality which dis¬
tinguishes the above-average com¬
pany
and
the
above - average
showing.
,\.
;.

These

mistakes

to do

Market

Prospective Security Offerings..—

con-

panies

you

nor

7

12

cept, values in securities as based
upon earnings
now
and in the

on

business

be

make is to invest

year's leaders;

9

•

approach.;. We. intend
our

of investment trends. Here, while

can

Del Webb

8

the News

Indications of Current Business

Mutual

j

basic

ful job can one even be a follower

son

;

7

them

had

never

stocks," - real' and
phony; "hot issues" and the brief
and, to many, costly emergence of
the small, new, unseasoned com¬

worst investment

.

foreseeable

the real and

should

,

investment

of

intended to

idea that

attitudes

stodgy;

on

Dlgby 4-4970

Dollar's

Public Utility Securities...

were

Dynamic Fundamentals a£
to

Basic Values

My emphasis

Broadway, New York 5

18

b

influence in financial

intelligent

Appraisal

39

47

Recommendations

From'Washington Ahead of

'>'!

out most of these trick investment

portfolio management.
Non-Emotional

...1.

J.F.Reilly&Co.,Inc.

48

Einzig: "Britain's Reflation and the
'
Prospects"-' _____JL'l
LSI—-1IJ1

.

washed

mulas,

between

1

Dealer-Broker Investment

r...: ;•

but

discrimination

Bookshelf

1
20

Commentary'

"""

rival the rag business on Seventh
Ave. with our changing favorites,

we

.(Editorial)
iJ

Coming Events in the Investment Field

•

certainly an
thinking as
a whole. In the place of glib rationalizations and elaborate for-

them. Sometimes I think that

1
Stocks.:.......

-

..1

Fundamentals

fre^-

fads

and

•

7

The

scientific

and

See It

V Businessman's

V

evolved."

Concept of Dynamic

styles and basic

business

have

what

45

Bank and Insurance

year,

moment.

successful

Knowledge

present carries with it the
ability
to
distinguish
between

ephemeral

CONTROL DATA

all

of the

is

27

Regular Features

it?) They were long-term, 7right, too—in some instances ; v
extending to the maturity of our * '
grandchildren. We heard about 0
growth with a capital "G" and
this title was applied to anything
that :• was\ moving
upat
the «•

success¬

knowledge of the present and /a
feeling for the future is and must

And

KANE MILLER

27

on

vi

Re¬

evaluate them.

investment formulas

potentialities. The combination "of

trends.

CORPORATION

Jan Popper 17

.

Association

the financial com-; ";
munity as a whole, and. we, too,/f,
although to a lesser .degree than' .^
many,
attempted *to rationalize
an
emotional
surge.
When,<,thei
"Street" no longer had a sound' '
reason for buying
securities, trick

forces and sensitive to the future

quently

,

Municipal Gas Entities Form Own Trade

-

isn't

notwithstanding)

economic

KINNEY SERVICE

Hokanson 15

.

Last

ful portfolio management must be
attuned
to the current business

market

15

.

an

tuations

key

...

Hedge Against

a

Fast Tax Cut.....

between

We heard about extrapolated longterm trends. (That's a mouthful,

the

BECTON DICKINSON

\

Continued Good Growth Seen for Paper Industry...

and

(interim dips and frightening fluc¬

be

$6.2

Multicurrency Bond?

.

Chase National Bank Warns

are
trying very, hard- to V
eliminate the emotional and to get\ '
to
basic
values, appraise these

values

are

as

made

With

on U. S. Economy
>
Analyzed by U. S. Chamber of Commerce.....^ 21

dis-

market,

E. F. MacDONALD

Common Market and Impact

search

are

used :

While

values.
we

we

be

be

YORK

4-6551

understanding and choice of basic

We,

working
our

must

can't

one

the

rationalization of emotions and

set

a

fight

U. S.

a

.

,

analysis of the medium and longer

ama¬

teurs. Nor

1962

Inflation_iL_i.__^_b_.—!____Maynard

-

Why Not Market

tates anticipation- through careful

,.

ai

not

Dept.

WHitehall

Ray F. Myers 13

Future..i.Rev. William T. Hogan 14

Office Building Real Estate As
•

To put;it more directly, intelligent investment selection necessi-

it

pas

Telephone:

11

Roger W. Babson 12

-.

.......

the

and

.

Securities

STREET, NEW

E. Sherman Adams

Government Ended Fiscal
Billion Deficit..

dis¬

their

to

a

is

It

Steel Industry's

r

purchases, and are frequently left v"
holding the bag, as many of our
v
"hot issue" boys learned in the

business,

learned

have

Ira U. Cobleigh

\

a

is

,

,

Bond Styles Must Change—_

cheap now," you are simply the
boy who buys them higher, when

our

.

.

WALL

99

Growth Companies for Diversified Holdings

Committee of the Financial Analysts' Federation.
Like many

Obsolete

Spencer

Japan Cuts Foreign Investment Holding Period___

"dynamic fundamentals" approach

Kahn

Mr

L.

Developments in Banking._..__t_iGeorge H. Ellis 10

the trick investment formulas and, thence,

proceeds to outline what he calls

'

..

The Economics of Survival

changing market patterns, Mr. Kahn points out that the market break
has washed away most of

Lawrence B. Kahn

;

Keynes.:.....—t_H.

Grinnell Corporation: Distinguished
Extinguisher

of even ihough the market has yet

to re-establish

V

.

.

The Calamity of

Security Analysts finds that real values are again becoming, apparent
and should be taken advantage

SERVICE

of

the

foreign

fluctuations

subscriptions

in New York funds.

In

and

the

rate

of

exchange,
advertisements must be
'

WHitehall 3-6633

Teletype NY 1-4040 & 1-3540

The Commercial and Financial Chronicle
4

Government supervision of
does not change his

game.

OBSERVATIONS...

The Calamity of

croupier

a

occupation!

WILFRED MAY
A.

BY

MORE ON THE

("CONSUMER CREDIT"

SINCE "1929"?

STREET BEEN CLEANED-UP

STOCK MARKET

Administration —that the country
Other than

vs.

CREDIT)

to

reading penings on the American Stock
In an article, "Bad News For
ever
to
be found is the -actual Exchange. A full measure of space The Consumer Economy—Includ¬
is devoted to the Re case, "clearly
text of a Congressional Commit¬
ing Mrs. Tinnen's Super-Market",
tee's scandal hearings.
But their the most significant Wall Street in this space on July 5 we sug¬
scandal
since
Richard
Whitney
customary excessive length makes
gested the increased susceptibility
this impractical, and emphasizes was sent to Sing Sing in 1938," of the consumer economy to dam¬
and exposed in 1961 by the SEC
the
importance of an adequate
age from Stock Market declines
which ordered the expulsion from
summary.
by reason of the increased num¬
AmEx, of two of its most promi¬ ber of deflated shareholders (to
A score of years ago such in¬
nent specialists, Jerry Re, a mem¬
which Stock Exchange President
terpretative digest was " happily
ber
since
1920,
and
his
son,
Funston
communicated a rebut¬
brought
about by
Ferdinand
Gerard.

of a volume
Oath* cap¬

authorship

tal.

graphic
detail
how
they peddled more
suling the important portions of
than a million shares on the floor
the 12,000 pages of testimony of
of the Exchange, via market "rig¬
the sensational
Senate Hearings
ging" which cost the public more
on the
epochal post-Crash Inves¬
than $10 million and gained for
tigation
which
has
popularly themselves well over a million.
Under

Street

his

borne

name.

business"

"funny

the

and

Gutermas

and

SEC's files

the

from

restrainedly interpreted, Wall

and

were

Shady Side, by FRANK
CORMIER, with an Introduction
Street's

Af¬

by Ferdinand Pecora (Public
Press,
Washington, D.

become

the

front

Pecora's Past Qualms
'

The

choice
of

of Judge

Pecora as

the

present .volume's
introduction is highly appropriate.

writer

In

preface to his own volume
which covered pre-SEC excesses,
published in 1939 he stated:
surface of the gov¬

"Under the

ernmental regulation of

rities market, the same

the secu¬
forces that

of the 'wild bull market'

excesses

of 1929 still

give evidence of their
influence.
Though

and

existence

Market

Biggest

fascinatingly and seriously
treating " the
other
abuse area,
Also

cited

by Mr. Cormier, the Overthe

ing not only from its exemption
from much of the statute, but also

Worries

tion

this

of

pessimistic forecast,
asks, "Shall we
today refuse to heed the rum¬
blings which Mr. Cormier calls
Mr.

to

Pecora

our

now

The specialist on our Stock Ex¬
changes, and the Over-the- Coun¬
ter
Market, are the two main
activities prompting Pecora's pres¬
ent conclusion that the Street has
not been cleaned up.
In

stressing the Specialist's

and

dual

dealer,

role

he

maintenance

as

a

the

that

agrees

of

broker

liquid market
"whether
some
definite precautions should
not be adopted to guard against
the creation of a liquidity which
could subtly drain the customer's
money into the specialist's pock¬

is

desirable,

et?"

And

cretely,

a

but

he

asks

asks

more

con¬

"Might

it not be more
advantageous to the public, if the
specialist's daily
operations
be
subjected
to
a
closer
scrutiny
than they seem
received
from

supervisory

at times to have
those
possessing

powers over

him?"

over

not

of

number

the

in

issues

and
in the population of salesmen —
from 28,794 to 93,351—registered
traded—from

with

wholly

re¬

even

Mr.

Cormier's

report¬

ing of the recent dramatic
*PubI.

1939; 313

by

Simon

&

pp.




hap-

Schuster, N.

Y.,

he

said

Association

National

the

1

'

:

'

R,

of

f*
1

.

'

Dealers,
with
their
proclivity to engage in
touting."

"glib

York

*■

f

*

f<

1

# ?

as

(8) Dependence

of

the

of

out

early
gave

luck

when

was

Deal ac¬
respecta¬

New
wide

corrosive

the

to

of

one

socialist

Fabian

John

prolific

and

au¬

this man's
twisted thinking upon uncertain
nations deeply disturbed and dis¬
illusioned by events which fol¬
The

thor.

impact

of

first

war,

the

lowed

calamitous

and

been

has

persist

effects

its

today.

Covering many other facets of
abuse, including "insiders," "big
name
bait," "boiler room tech¬
niques" and "tipsters and
ad¬
visers," the author concludes with
a plea to refrain from future com¬
placency (such as he thinks was
shared by the
SEC during the
1950's bull market).
with

Pecora's

Mr.

"The

Street"

cleaned

effect

in

Cormier

Mr.

up

has

that
been

not

much above the pre-

SEC days.

of the

self-purging,

today's

and

of

yesteryear.

In any

*

*

valuable

event,
as

as

interesting and

Mr. Cormier's volume

in its coverage

practice
portance

it

of Exchange mal¬

blows

unduly,

the chronic honest

up

thus

their

obscuring

excesses

of that

almost succeeded
the

in tearing

constructive

and

political

of

it-

i

Hill,

This
a

the

at

firm

name

Co.

Charles Stein Opens
Stein-is

engaging

in

a

securities business from offices at

may

now

be

to spend has become
carpet upon which too
politicians have crowded in
urge

belief it will

the

insure

their

re¬

Keynesism has produced

election.
a

popular political philosophy

of

"liberalism"

is

so-called

which

just
as
phony
as
pre-election
promises and a whole generation
delin¬ of our young people have been

The eco¬
in a stupendous rejection infected with its virus.
of responsibility everywhere, and
nomics
department at Harvard
the confusions thereby produced was the focus of infection. From
quency

have

beyond

doubt

helped

a fertile seed bed for
munism all over the world.

pare

It

Keynes

was

pre¬

Com¬

and his diciples

promoted our latest venture
sold their
economic ideas to Roosevelt as the

there,
that

of
to
so

due to the great prestige
institution, it has spread

every

that

a

that contributed to the
decline in British power and pres¬
failure

tige. The various books by Keynes
and his followers, including his

Employment,
Interest and Money, have estab¬
lished what they believe is a
system of New Economics.
The
fallacies set out therein are de¬
fended on the ground that prob¬
Theory

General

lems

are

of

discussed

in

such com¬

college in the country
conservative teacher of
now finds it almost im¬

to

secure

employment

anywhere.
1

a

30-24

TRIL¬

a

magic

many

formerly a,
Darlington &

offices

from

Pri¬

and

than

more

DOLLARS

possible

was

of

marking that limit.

accom¬

educationist

measure

a

present Public

Debt

into inflation when they

LAWN, N. J.—Jay A. Horo¬
conducting a securities

Out to Destroy, Not Save,'

Capitalism
A

few

courageous

writers and

teachers, however, have
shown
that Keynesism is more of a poli¬
tical conviction than an economic
science—a line of thinking and a

prescribed

course

of action that

socialism and ulti¬
In later years

leads

toward

mate

communism.

it

has

been

presented in

a

more

than Marxism: as a
means of saving capitalism rather
than
of
destroying
it.
Saving
American Capitalism, edited by
subtle

way

plicated terms that no one oyer
50
is
capable of understanding Professor Seymour Harris, head
what it is all about.
A common of the economics department at
Stanley Forbes Opens
sense
interpretation
in
simple Harvard, is a good example of
BRONX, N. Y.—Stanley Forbes is non-technical language, however, this tongue in
the cheek and
engaging in a securities business indicates the following are some cynical approach.

15 West 44th

St., New York City.

from offices at 2556 Fish Avenue.

of their

principal beliefs and rec¬

ommendations:

American Plan Corp.
MINNEAPOLIS, Minn.
American

im¬

the

and

LION

who

is

Charles

by the American Exchange,

doc¬

together with
brother Fabian socialism,

is

,

helped to promote Britain's exper¬
iment in socialism, which proved

of Harvey &

as

fallacious

the misleading and
misnamed
.Gross

Product

business

Forms Harvey & Co.

emphasis is the welcome contrast
between

the

Product

welfare.

spending rather than production,
it follows that, if the fallacies of
the New Economics are jto be cov¬
ered up in an illusion of success,
we must be beguiled into
believ¬
ing that the more we can spend,
squander and throw away ,;the
better
off we are,"'regardless
of
a
huge and probably unpayable
debt piled up in the process, all
charged
to
our
grandchildren.
There must be a limit, however,
to the insanity of such profligacy

many

years,

validity of Broadway under

deserving greater

this conclusion,

from

National

for

:

witz

that

of national

But, since
intentionally

economics

Grimm.

FAIR

doubt

of

This is the heart of the New Eco¬

ment

Wilbur R. Wittich

business

Irrespective

in

been

em¬

nomics.

vate

the- invest-

it
in

who

agrees

verdict

has

de¬

Mr.

Wittich,

:

partner

little

is

There

Keynesism, fundamentally a dis¬
ruptive philosophy that has de¬

down

partment.

long

the statis¬
National In¬

and Gross National

indicators

its blood

new

which
as

upon

come

trines of Karl Marx,

business

Complacency the Devil

fear

aggregates

as

economic
Maynard
Keynes, famous British economist,

City,

debt

to

need

tical

the point where the

that

and

bility

manager

national

no

(7) High national income to be

plishments of 200 years of Ameri¬
Wittich has
become can effort. Together with its off¬
associated shoots,
phony
"liberalism" and
with Demp- progressive education, it is basic¬
ally responsible for revolt of the
sey - Tegeler
&
Company, West against authority, discipline
This
Inc., 80 Pine and most of our traditions.
Street, New has manifested itself in juvenile,

W

is

high consumption and full
ployment are maintained.

in¬

ran

cepted

have

Wilbur

gold stand¬

through government "investment."

Roosevelt's

Dempsey-Tegeler

a

as

followed
period of

world

more

saw

-

promoted by expansion of demand

scended

salutary reforms already is, we believe that in concentrat¬
projected—are strikingly docu¬ ing on the "rules of the game,"
in

the

of

y

sec-

a

fantastic

Wilbur Wittich at

after the

mented

'

•

Big

(6)

flation, it can
be

.

world

ond

a

"•

.

,.

Opposition to

there

it

In the after¬

math of

faces in his shop than at any
October, 1929, mar¬
ket crash.
'

7,500;

to

5,200

Floor

resolved

.

owner

sharpest,

Securities

tion

the

Specialist system—possibly to
main

greater-than-Exchange
growth rates during the past dec¬

*

qualms

the

the

from

throughout the Pecora Investiga¬

Documentation

Levy,

■;

(5)

lin Roosevelt.

by

.

ard.

elected Frank¬

war,

save.

ment.

the

when

was

difficulties aris¬

regulatory

the Street's intransigeance shown

Cormier's Dramatic

Such

Herbert

alleged

attention?"

anomalous

basic

ade

Convinced of current confirma¬

'»

»

and

more than we tax.

(4) Maintenance of full employ¬

out of luck

ran

time since the

able

Present

iii.j

to

new

the

On

the-Counter Market points out

Pecora's

c.y i r

was

closed.

repressed for the present, it can¬
not be doubted that given a suit¬

opportunity,
they
would
spring back into pernicious ac¬
tivity."

i

still possess;

we

States

doctrines

[Sic.] New Faces Seen
i

ConsolidatedaLpan0 Corripany at
134
Fulton Street? in ■ the
Wall
Street area, said his business defi¬
expulsion notification by the SEC
by an official who flew to New nitely has picked up because of
York arriving
on the
Exchange the stock market skid. He noted
floor minutes before the market that during May, when the drop

riotous speculative

produced the

the

"painting

and

men;

tape" by illegally exploiting dis¬
cretionary
accounts.
Furthering
the qrama of the Re's case is the
author's detailed account of their

the

United

needed it for

gave

agencies since 1954 and the SEC's

day-to-day activities since 1958.

their businesses after
regular lines of credit had been
stretched as far as they would go...

the way to

as

Garrett,
well
(2) Cheap money, low interest
perceptive edi¬ rates, high wages.
(3) Encouragement of the pro¬
the illusions of pensity to spend (consume) and
discouragement of the propensity

point

where

gained the Specializing
privilege and subsequently

strength

long spending

said

that the

cash

needed

not continue for

but¬

has

ter,

cash and hocked their dia¬
rings, watches, furs, cam¬
eras, typewriters — anything of
value—to get it.
Some

dis¬

credits our 200 years of pre-Keynesian

maintained;

knife

hot

mond

Re's

Floor

through

cut

his day like a

for margin
calls in the stock market. Others

the

covered

ing

fast

Exquisite Form Brassiere,

same

tor of the 1920s whose keen think¬

York Times of

the stock the "A-l" manipu¬
lating treatment. This included
use
of dummy accounts and

$4.50). The author is a
association reporter who has
Washington's
economic

pp.,

press

syndicate purchas¬

a

expanded its line to

later

which

C.,

fairs
198

part of

ing control of I. Rokeach & Sons,
a
kosher
food
manufacturer

Garet

late

The

of the

more

He quotes Keynes' disparaging views of business

can

known writer and

shops.
Loan
volume
has been
higher. More persons have needed

while they

The author shows how,

be

warns we

brought smiles to the faces of at
least one group of New Yorkers—
the
owners
of the city's pawn¬

available the floor, were the shenanigans
thoroughl}' practiced in the Rokeach case.

volume,

summary

documented

drag

averring it promises

economics for whatever unexpected

in the stock market and
in the. economy have

The sag

of

disagrees with Keynes' thesis that permanent quasi-

1933;

booms can

SEA OF
TROUBLES

ECONOMIC

to "the edge

Keynes' writings the end to capitalism disguised

made in

PROSPEROUS

A

nation

spending policies. Mr. Spencer finds businessmen refuse to

capitalism.

save

ISLAND IN A VAST

the

in

see

in

address

mencement

through

PAWNSHOPS

Exchange, there is now
a

report by Clyde

economics for bringing the

Keynesian

credited

July 1.

listings by promising
them their subsequent handling on

the American Stock

on

;

Farnsworth subsequently pub¬

lished in the New

stock

new

;

v

thesis we sub¬

our

mit the following
H.

the Re's rigging
of
stocks,
following
the
long
embroiled policy of the Exchange
to encourage specialists to solicit

now

■.'

•

Relevant to

Highlighting

again follow¬
ing the revelations of the past
decade's swindles by the Birrells
Fortunately,

in

shows

Cormier

Mr.

faces profound economic problems.

that, Mr. Spencer bitterly blames past 30 years' adherence

bankruptcy." He abhors the President's recent Yale University com¬

About the most absorbing

Pecora's

■

Only on one point does the West Coast contributor agree with the

AND-THE ECONOMY
HAS THE

Keynes

By H. L. Spencer, Pasedena, Calif.

MARKET BREAK-

Wall

Thursday, July 26, 1962

.

(376)

tion

is

business

Plan

Service

conducting
from

Line Building.

offices

—

Keynesian Precepts

The

Corpora¬

securities

a

in

the

Soo

Continued deficit spending

(1)
to

provide

power.
worn

additional purchasing

Balanced budgets are "out¬

dogma."

But, prior to the modern de¬
ception of "saving capitalism," Mr.
Keynes spoke out in the Yale
Review of 1933, when he said:
"The

alist

decadent but internation¬

capitalism,

which

we

the war,

found

in the hands of
ourselves after

is not a success. It is not

Volume

196

intelligent, it is

Number 6180

not

well

ginning to despise it."
One
of

strong feature of the
Keynesism has been

<

believe.

normal

based

home

to

the

growth

on

of

sound

the

based

and

abroad

than

effort.

r

-

he

playing

heard

of

sounded

old

this

like

records

left

This
of

growth, with its

Gross

huge

on

National

increase

comes

debt

that

repayment becomes

records
designed to "save
capitalism" by moving us toward
bankrupt socialism — the ones
urging continued "liberal" spend¬
ing with a vast increase in debt

afforded

in¬

an

there is

sight into that brand of forced
growth by an excerpt from page
322 of Keynes' General Theory:

"we

of

lower rate

of

interest!

For

for

the

found

trade

cycle

is

not

to

advising

day

Post

March

of

1962, claims that democratic

30

the

rather

years

Keynes
w e

than

a common sense

those

and

con¬

r<

exhortation

Presidential

kicks

in

the

d

one

teeth

the
next will never restore
a
badly
damaged confidence in his policies
day

motion, even though Dr,
Schlesinger in the Satur¬

Evening

last

been

retreads.

Deal

perpetual boom
improbable as per¬

a

the

recommendations

probability is that
such policies today are too young
to realize that all they are offer¬
ing us now are old worn out New

Unfortunately,

Arthur

in
has

and

advisors.

his

and

19,

will

Nor

it

bring

about

the

par¬

"growth" he advocates. For the
ties have learned how to control
-"moving ahead" now being pro¬
the business cycle.
It is well to moted in
Washington is toward a
remember that this man has said:
destination no prophet today can
"There

the
in

is

inherent obstacle

no

gradual advance
United

the

through

series of New Deals." As

a

Cruttenden,

Special
he

a

Assistant to President Kennedy
now has a unique
opportunity

to

But

the

whatever

happen

may

CHICAGO, 111.—Frank J. Horrell
appointed national man¬
ager of the mutual fund depart¬
ment
at
Cruttenden, Podesta &

that point at the moment, there is
basic error in Keynes' thinking
when he preaches that the more

rapidly
the

spend

we

less

have,

we

the

will be and the richer

we

That

come.,

is

we

\r

be¬

poses

the

dream

land

other

past

but

major

investment

this

now

are

ers

seem

the
Ernest A.

Frank J. Horrell

ment

taken

has announced.

on

Mr. Horrell

is

the

over

ager.
was

for

pants.

ST.

The United

fortunate

,

States has been the

possessor

economic system.
abused too long

of

a

stalwarl

But it has been

by

self-seeking




mutual

was

Waddell

&

1956, he

fund

other

there

is

watchman^ anT

com-

for

the

growth

subsidiaries,

equity

power-

and

cPrpnp

may prove

rpwarrlins Inng-fprm

the

in

the

of

at
the

T7

/nY*Y*£l~H

parent.

constant

faster

T

jyiGlllll

Second,

rise

undistributed

in

the

earnings

T*

V

-

I?

OT

r

*

investment

much

a

n

^

continued

stockholders'

^uper-

*

XT-r»/VU

C*r\

AjyUCfl V^O.

Donald L. Curran has j been elected
a

Vice-President of Merrill Lynch,

of these* Thirdly, there is the de- Pierce, Fenner
preciation plowback. On
flow"
ADT

basis,
are

annual

now

over

& Smith Incorpo"cash rated, 70 Pine Street, New York

a

earnings

$20

per

of

share,

City, members of the New York
Stock Exchange.

of Grinnell it self, around $17

share. All of which has made

nine

including
and

ADT

Montreal,

To-

Vancouver.

has

been

Pef

vestors

earner,

doubling its gross revenues in the
past ten years, and increasing its
per share net from $2.90 in 1953
$6.76 in 1959 (and in that range
the
past
two
years). ADT
sold

is

and

high
currently
as

137

as

quoted

in

at

about

$150

Electric

some

provides

burglar

alarm

protection

in

Fire

Alarm

share.
Split

PHILADELPHIA, Pa.—Everett S.

considering the matter for
Grinnell

years,

'

J

„

Corp.

.

]?T
XvUUlIlOUlI 06 v^U.
Clymer

....

.

has

been

elected

Vice-

has President of Robinson & Co., Inc.,

common

,

0

.

e.

^

This

stock,

will

effective July the

increase

the

out-

and

Stock

New

York

other

exchanges.

and

(in

York, Boston

Reed,

Inc.

From

was

Co.

bank

York,

( HORNFM-QWER. AMD

WE6K6

which

j

and Philadel¬

business

engaging in
from

offices

Cove, under the firm
bot Investment

a

securities
at

name

Company.

also

owns

44%

a

Clarks
of Tal¬

in¬

Hajoca Corp. of Phila¬
Hajoca is a wholesale

distributor

of plumbing, heating,
refrigeration and air conditioning
supplies.
The
company
handles
over

it

30,000 separate items, which

distributes

within

territory.

nine

a

Grinnell's

40,000

of

a

out

current

93,600

book

state

interest

is

From Coast to Coast You

can

depend

shares, with

value

of

over

on

$90

the

People, the Ideas,, the Facilities of...

share.

per

Diversified
From the

that
-

MICHAELS, Md.—Harold B.
is

in

delphia.

■

Form Talbot Inv* Co*

Clark

Grinnell
terest

Earning

foregoing,

Grinnell has

Power

you can see

two

sources

expansion

of

HORNBLOWER & WEEKS

of
"

earning

power- and

net

worth—its

and

dividends

own

and

1 CHASE MANHATTAN PLAZA, NEW

operations,
equity

posi¬

tions in these investment affiliates.
Holmes Protection and Automatic

-

Exchange

central

New

Co.

of

r*

qJ

Just announced a 2-for-l split in 15th & Chestnut Sts., members of
25.

Protective

owned)

per

quotations

t\

y _JJ

J

attractive to in-

recent

Two-for-One

its

Investments

appear

at

After

.

tt

.

Grinnell

fine

a

man¬

vice-president
of Matisa
Equip¬
Corp., in Chicago Heights.

treasurer

ment

.

he

Before joining Reynolds, he
Chicago divisional manager

1951 to
and

while manage¬
institution has been
occu¬

to the coast-

Chicago office of Reynolds & Co.,
where

that the keep¬

by its deranged

comes

to-coast investment firm from the

direction

of

anS

property

phia.

ington have lost their minds and
of

a

can
District Telegraph Co: ADT,
through its subsidiaries, furnishes

New

Mayer

pro¬

of the madhouse that is Wash¬

sense

of

controlling interest is held) sup¬
plies automatic fire alarm and
sprinkler supervision systems in

destroying
tlm confidence, ' not
only of our own people but of
other nations as well, in the in¬
tegrity of our government and
the stability of our economy.
It
would almost

interested both in

a

following the economic Miller, La Salle-Jackson Building,
signposts of Keynesism in the last members of the New York and
30 years has brought us to an un¬ Midwest Stock Exchanges, Ernest
stable way of life in which we A. Mayer, general partner (sales),
the

for those

the split, at around 78,

than

matic

re¬

practicing brinkmanship
edge of bankruptcy. This

oasis,

_

rate

found. For

are

in

Philadelphia and Pittsburgh. Auto¬

ulti¬

Congress

administration

basis

over an

is

vault

that

an

burglar alarms. Grinnell acquired,
some
years
ago,
(from Western
Union) a 76% interest in Ameri-

Holmes

disaster.

facing

over-all

an

on

expansion in I
equity. First there

whole

of

on

Grinnell Corp. does not evidence

fully

(100%

produce

Directors'

Pr°tected investments Grincomm°n, selling, after

Growth

panies engaged in kindred lines
of
business—automatic
fire
and

station

the

While

of

steadily and

Other

ex¬

next

Aug. 22.

on

thf protect^

was $170 a share.

here working

It has

result

admitted

be

problems

to

with

collapse and

must

it

economics.

inevitable

and

action,

and

of

the

booms

mate

that
of his

fallacy

in

worked

It

income,

more

the

^ Outstanding ^cpess of Grinnell „,the characteristics of a "growth" holding.
in fire prdtection systems led to
stock, there are three elements

1961,

experience, and so
capitalist con¬
saving and investing to

of

District
i
•,*.

"

leiegrapn

in .conflict with the

cept

American

TWffranh

95.

in. everyone's

create

in

•)

common

obviously false

so

at

shares,
policy will

new

.

for

off

better

Investment
'

-Vr.

to

income and

our

meeting

cities,

has been

defined

the

on

dividend

in 1961, on the
standing.

Elements

ronto

cycle, and there ap¬
to be considerable doubt on

be

5wil-IarnfLP^°nVJidand
services in
Canadian

to

business

pears

in-

even

warehouses and value

offices

these

Podesta Names

translate his beliefs into action.

plugs, spaced at

sprinkler
vision to over 75,000 subscribers
(banks, factories, stores, etc.) in
some
2,250
cities
and
towns.

predict.

socialism

of

States

to

$2 rate

go

The tragic
those making

abolishing booms and
thus keeping us permanently in
a
semi-slump; but in abolishing
slumps and thus keeping us per¬
manently in a quasi-boom."

petual

because

servative fiscal policy.

be

in

is just about

it

followed

have

fear

Anyone
understanding

faintest

events

"liberal"

may
enable
the
so-called
boom to last.
The right remedy

to

it to ourselves."

the

knows

that

need

no

owe

with

"Thus the remedy for the boom
not a higher rate of interest
a

we

the old, cracked
recorded by

ones

—the

of national welfare that should be

but

ones

improb¬ Keynes and his New Deal disciples

more

actuaully a deadly dan¬
But it has been considered by
this administration as a measure

is

are

out

worn

The

a

official

property.

tervals in (or on pipes just
the ceilings of plants,

been lis¬

guidance

old

common then outOn
these
standards
of
value,
Grinnell
Corp.
makes
a
most
below)
logical appeal. It has paid diviwarehouses,
$200 Million in Sales
dends continuously since 1935 and
stores, etc. These plug tips melt
On the financial side, Grinnell increased them thrice in the last
at a certain
temperature, and ac- is a most impressive company. Net decade. Moreover, it has the cash
tivate a water spray on the imme- sales crossed
$200 million for the resources, and the disposition, to
diate areas below, which retards first time in
1959
and
reached acquire
other companies, which
or
extinguishes a fire—even if $208 million in 1960.
Last year, fit in well
with its long-range
there is no one on the premises, sales dipped
somewhat, to $198.5 corporate plans.
This is but one of the corporate
million, but net earnings were
Finallv
Grinnell <mnnlie<? nuite
facets at Grinnell. The company
only $215,000 below I960. On a
indispensable and almost utilityalso makes
pipe
pipes,
hangers per share basis, the figures were
nke services
The savings in inand valves; heaters,
plumbing and $11.92 for 1961 and $12.87 for 1960 surance
premiums it creates for
heating
materials; prefabricated (not counting the undistributed jts
customers
by
its
warning
piping
and
specially — designed earnings mentioned above). For
alarm and sprinkler services may
high pressure pipe installations; the past decade, reported
earnings run to 50% or 60% below the
plus, grey and malleable iron, on Grinnell common have averpremiums charged for plants and
brass, bronze and aluminum cast- aged above $15 per share.
structures
not
thus
protected,
ings. Grinnell has developed, over
Balance sheet position
at the Since these installations pay for
the years, a unique
pipe line to
iggi
year
end was
a
banker's themselves, they provide a builtproms,
sales,
in
the
United dream—with
only $1V4 million in in sales appeal; and subscribing
States, Ganaaa and Mexico, are
long-term debt, a net working companies are extremely unlikely
made through the subsidiary comcapital of $64V2 million; and a to cancel.
panies and implemented by 63 recurrent ratio of cover 4 to 1. Book

work of

set of rec¬
whose
advise

and

institutional

them dozens of times—a net-

seen

the
over

The trouble

followed.

direction

the

on

After the market first,
roaringly
acclaimed, and then savagely rehundred
and
twelve years Fire figures are not
available, but jected, a spate of electronic and
ago,
the Grinnell enterprise of we do know that each
year, Grin- scientific shares in the past three
Providence, R. I., began "business nell is the beneficiary of a sub- 'years; it seems now
willing to
as a
plumbing supply company. It stantial equity in undistributed return to the old fashioned criteria
still is,
and Grinnell Corp., to- earnings of unconsolidated com- of investment
appraisal—demonday, is especially renowned, all panies. For Grinnell
stockholders, strated profit margins, solid balover North
America, for its auto- these retained increments totalled ance
sheets,
durable
earning
matic sprinkling systems. You've
$5.35 per share in 1960, and $4.84 power and dependable dividends,

wrong

records

never

and

ger.

One is

the

have followed

be¬

is

increased.

to

whose

a

evil each day that its

more

able,

and

and

deliberately misleading

ords—the
we

illusions

Product

in

tening

rate

$4 in cash, and 5% in
annually. This would sug¬

was

One

.

from the middle 30s.
with

Claiming
Perpetuated

Booms Can Be

we

-

statement is that he has
Finds Keynes Errs

this major corporation profitably
supplying
extensive protective and detective services and devices for
business

painted an optimistic
picture of more and more spend¬
ing. He spoke of the myths about
money
and said some conversa¬
tions

dividend

gest

By Dr. Ira U. Cobleigh, Enterprise Economist

President

and

vious
stock

stock,

A compact comment on

In his recent speech at Yale the

economy

substantially broaden the invest¬
ment following in this issue. Pre¬

but

than

more

more

*

*

inflation.

on

face of

willing to raise in taxes with¬
wonderfully
productive edifice we have built
here, (by 2Q0 years of laborious

principles which has given us such
great
rewards,
the
spendthrift
dynamism of Keynes has pro¬
duced a rapid and cancerous type
of growth

In the

5

standing number of shares from
638,142 to 1,276,284, and should

Distinguished Extinguisher

some

as

out tearing down the

time-tested

and

proven

remote

as

are

woltto guard the sheep.

a

contrast

be

ply not possible that we can con¬
tinue
indefinitely to
spend
at

has sought to promote is an end
to private enterprise and erection
of a new system of socialism on
the
ashes
of
our
freedom.
It

In

of such

trillion dollars of debt it is sim¬

a

Keynes

trusting

not

may

head in the sand attitude of
many
businessmen who refuse to
recog¬
nize the fact that what

should be obvious by now
that,
in accepting Keynes, as the saviour
of capitalism, we have been en¬

it has in the face

as

(377)

Grinnell Corporation,,

mistreatment; a day of reckon¬
ing is inevitable, however, and it

suc¬

the

The Commercial and Financial Chronicle

,

politicians and poisoned by their
dangerous nostrums. It is remark¬
able the economy has stood us as

beautiful, it

is not just, it is not
virtuous—and
it does not deliver the
goods.
In
short, we dislike it and are be¬

cess

.

.

ESTABLISHED 1888

YORK 5-DI 4-6600

'*

The Commercial and Financial Chronicle

..

6

(378)

No

dating has been set as yet. It
likely be competitive busi-„
ness.
•' .'.'/ • J
will

Tax-Exempt Bond Market
By DONALD D. MACKEY

- <

.

New

,
This

'

•*

_

notable

most

than

it

has

divided

a

been

issue of-

west via celestial media on Mon-

pretty
new

terest

..

Activity

ago.

between

as

well

Promise and Performa ce
In^the strict political sphere the
President's pronouncements to the

little better

a

week

recently

was

York

various

The

cost.

issues

ponerit

.

July 26 (Thursday)
Hammond

com-;

reoffered > at
from 1.75% - to

prices- to

yield

3.70%.

-

•

1964-2001

l,00u,000

noted in some areas. Gold, stock
prices sold off in London and New
moving out of the market only York and then'seemed-to'-steady,
after price cutting of drastic pro- Most of the European currencies
portions. The less recent new is- weakened in relation to the dollar
market stuff has been slowly

National

First

City

Bank

4:30 p.m.

1963-1981

'

1964-1990

net

a

interest

group

cost

_

In three short months,

.

_

.

short

these

before

institutional

quick

even

look at

interested

an

investor

his

will

basis

take

a

book.

However,
large
blocks
of
offerings have quietly
out

of

the

weeks

as

is substantiated

advent

of

cent
the

in

market

shorter

re-

by

dealer

In this

of-

fering

sheets and the lesser volume
of
offerings shown in the
Blue List. Current (July 25) Blue

bidding

unless

buttressed

•

-

of the hat and the

'"■

Some

average

> '

J/ :

Sales

Prominent

Other

On Monday

of., the' European

.report

managers

:

~

*;";/•

(July 23); the City

August 3 (Friday)

.;■//.; 5'

-

of. Dallas, Texas awarded $12',have
already
409,000 water works and samitary,
an embarassing
sewer
system revenue bonds to
/
i - the
group
managed 1 by
Smith,
v
vT '
^
:
Barney & Co, and Eastman Dillon,
Index Unchanged

financial writers
been heckling to

Pacific Lutheran
V

Wash.

*
•/
//
L '; ^
: /
1,100,000; 1964-2001; 10:00 a.m.

University. Assn., •-/ 7"
—

,,

—

.

.\

,

extent.

..

,

August 4 (Saturday)

-

T

^

Yield

This

,

the

week

offering side

Securities

Union

of

Co.'

&

the

on

high bid which offered a net in¬

high the state and municipal bond mar-

for

/

has become more critical and less
cordial.

offerings.

The

by

audience

(6MY years)

terest

of

cost

Universities
f

and

State

College

of

;

Arizona

;/
\
/ ;
./
V- /!/"/•
": /
1,500,000;. 1965-2002
10:00 a.m.;
/ '

well

as

for

as

grade

good

/■•'■'^/

.

issues

has

been

along

within
period. '
V
Most

of

a

last

week's

actually

than

50%

called
been

not

sold

order

good

extent

that

exempt

bond

market

has

-

lan-

issues

new

much

during

^me-

better

their

so-

periods. Sales have
enough, however, to

*

'
■■"
/.'/••'.
Temporarily, at least, the forces

effectively

off-set

simple factors of bond market,
maintain
a
tolerable
inventory supply and demand. This situabalance while a moderately light tion,
we allow,
is precariously,
issue calendar has been coin-

new

cidentally

helpful

very

respect.

.

J

in

this

Treasury Terms Awaited

on

•-v-s

Housings

Bolster

factors

changed
week.

but

The

have

snap
.

on

short

terest

..

to

reoffered

were

-

*3.85%.' The

bid- of

cost

bonds

yield

2.25% in 1964 to 4% in 1981. The

Prospective

1982

Business

Financial, economic and politi- /
cal

slim reed of impon-

a

derables that might
notice.
/
.

.

.

perched

and

maturity bore

a

1%

Federal

issue calendar is very
though the
Public

Four

awarded

to

the- John

Nuveen

&

.

without doubt

closely watched the bond

market

while

preparing the terms of the
Treasury financing
to
be
announced today. While the
91-day
rate allotments

were

made

at

an

average rate of 2.892%
this
week as compared with 2.983% a
week

long-term

ago,

Treasury

bonds

have been quiet and

what

easier

bond

proffer

some-.

as

some
long-term
by the Treasury is
not ruled out
by the experts.
However, the overall bond mar-

ket

reflects

bond

the

that

men

confidence
the

been

.

The

,

„

V

•

$40,000,000

Co.-Alex

factors

industry.

may

per

be.

se

A

The bonds

$94,000,000

con-

from

by

to

at

MARKET

ON

REPRESENTATIVE
Rate

California (State)
Connecticut (State)

Brown

Sons-Harri-

SERIAL ISSUES

1982

1.70%

3.05%

,/;.

;

1977, rwere reoffered at
100.50 to yield 3.157%. These term

bonas

met

the

with

.serial

fair

;

3.20%
3.15%

3.15%

3%%

1974-1975

1

2.85%

3.00% <Drexel & Co., Kidder, Peabody &
3.00% : Co., Goldman, Sachs & Co. and
2.70% R.L W.
Pressprich &
Co.
The

2.90%

1981-1982

3.15%

3.00%

•

Housing Auth. (N.Y., N.Y.)__ 3.1/2%
Angeles, Calif.,.
3%%
Baltimore, Md
3y4%

1981-1982

3.15%

3.00%

«

.1981-1982

3.40%

3.30%

:

Pennsylvania (State)
Delaware (State)
New
Los

3 MJ %

h-

_____

3%%^

3.15%

3.00%

1981

3.15%

3.05%

3.35%

3.25%

3V4%

1981

3%

„

i93o

July 25, 1962 Index=3.09%
♦No apparent

availability.




,

•

1931

1981
'

3.30%

3.50%

^

-

>

second

terest

Eastman
&

.

'

bid
cost

Co.

of
was

a

3.2195%

and

//

'

^

——

-

3:00 p.m.
10:00
11:00
11:00
11:00

a.m.
a.m.

a.m.
a.m.

1:00 p.m.
11:00 a.m.

11:00 a.m.

$20,000,000

State

Continued

on

of

2,150,000
7,650,000

4,400,000

Jose, Calif.

Sept. 25 (Tuesday)
Eugene,

Ore.

j

m

Co.
^
Los

Angeies

„

r

.

2,500,000

-

Oct. 2. (Tuesday)

County Flood Control
District, Calif.

*

15,000,000

in¬
Oct.

Lou-

page

47

1985-1991

10:00 a.m.

;

106,000,000

—

—

issue

3,500,000

—

'—

Sept* 12 (Wednesday)

the bal/.•

largest

..

Sept. 1 (Saturday)

.

in-

bonds is reported as

Wednesday's

3,550,000v 1963-1988

August 22 (Wednesday)

Housing Authorities—_

" J

San

by the

Halsey, Stuart &

of term

volved

net

Dillon, Union Securities

3.15% I
$8,509,000.

3.375%

.

submitted

group. As we go to press
ance

■

August 21 (Tuesday)

immediately.
.Grandville Sch. Dist., Mich
prominent members of
Jacksonville, Fla.
3.25% the winning group were The First
3.05% 'Boston Corp.y Lehman. Brothers,

1981-1982

York, N. Y

r:

August 20 (Monday)

Other

1981-1982

3%

;

Local

acceptance
sold out

bonds

1981-1982

New

August 15 (Wednesday)

Lafayette, La.

in

,

111-----

*

/.

1963

3.20s

to

3y4%

Phiil^f
o0 (U' T )
ladeiphia, Pa.......

7
1964-1991 "11:00 a.m.

reoffered to yield

from

due

Asked

3.40%

33/4%

New Jersey
Highway Auth., Gtd._
York State

New

Pfa

1,400,000 "

2:00 p.m.
11:00 a.m.*
10:00 a.m.'
10:00 a.m.

—

Florida Development Commission.

of the account almost

Bid

3y2%

were

1S76 and the tenn bonds,

while
Maturity

&

State ;man Ripley & Co., Inc. group on
help to a •a net interest cost bid of 3.1948%.

issue is contemplated
the Grant and Kittitas Coun- i
least favorable
to
the ties Public
Utility District for conk°nu market.
Although economic struction of a large steam generat;
conditions do not necessarily preing plant at Cie Elum, Washington.
Economic

tinue

•

.

Garden

has' caper wasn't of 'much
successful
generally distraught

a

.

-

market

shaped up for
ofiermg whatever it

9 (Thursday)

i__.2,000,000 .
^
group was- awarded $400,000 .Ldmorids School District 15,-Wash.
1,100,000
1984-1977
to be included in the offering. At sewer,' general - obligations bonds Jacksonville, Fla.
__1._
7,650,000
present the total of advertised
maturing 1963-1967 which were Jacksonville, Fla.
7,650,000
new issue items through' August
reoffered at prices. to yield from Maryland State Roads. Commission
6,639,000
1963-1977
is about $285,000,000. 'Even for
2.00% to 3.00%. "
"V-:;'
Outagamie County, Wis..
2,800,000
1963-1982
vacation ridden August this is a
On Wednesday a large issue of
skimpy schedule A red hot,, pe-.
-note*- $15,009,009 Marylandj State
August 16 (Thursdav)
gotiated issue is no doubt the :Roads Commission Highway ConHillsdale Sch. Dist., Ohio...
1,100,000 .1964-1985
market's sorely required antidote 1 struction / revenue ; bonds,
was
4,000,000
1963-1992
but none appears ready for mar- ; awarded- to the Smith, Barney & Washington Sub. San. • Dist., Md— *

ket-

—

Eugene, Oregon,
-"*3,100,000-; 1963-1982 -10:00 a.m.
Oklahoma-City, Okla.—11—• 10,195,000. /
J- 9:00 a.m."
Pennsylvania General State Auth. ; 40,000,000
——
5

of

a.m.

a .hi.
p:m.

August 14 (Tuesday)

«

Housing Administration is; going Co.
group on interest
cost ,* bids
to call for bids on $106,210,000
ranging
to - 4:152 %"/''Reof fering."
focal housing authority bonds to
yields ran as high as 4.20% on the
be opened Aug. 22. Large Chicago, revenue bond issues. The
Byth & Beverly, Mass. *
New York and Boston issues are Co:

and

even

a.m."

coupon

reoffered to yield 4,75%.
smaller bond
issues
were

was

The
light

Reserve

little

the Treasury have

bill

;
';;
I
August
Somerset County,- Pa.___,_—

seemingly
in
the* past

new

^ '•

11:00
11:00
10:00
8:00

•

the

by

1982

to

•

for higher long-term bond yields
seem

1963

from

*

7

at Annapolis, Md.
2,700,000 "1963-1,987 ;
prices to yield '; from
1.60% to Dickson^ County, Tenn
2,000,000
1963-1982
3.25%/ The issue has gone rather- Fort Worth; Texas..J.:— !. 11,600,000 - 1963-1987
well
with
about
$5,000,000 ' re¬ Franklin Township; N. JiJ___-1,160,000
1964-1980"
-West Allis,- Wis.J.:.—_ r 2,880,000 * '• J._f
maining in account.
;
On Tuesday the City of Anchor¬
age, Alaska awarded $7,310,000 of
•'/'r/.• •' JAugust 8 (Wednesday)
/
various - purpose
bonds to three Paducah, Ky.
,
2,400,000
1967-1988
separate bidding groups. The $4,-. St. Anselm's
College, N.,H.__1
1,000,000
1964-2001"
250,000 school district issue was Sari Antonio, Texas—.—————
20,000,000
1964-1983
awarded to the group headed by
Wichita Sch. Dist. No. 1, Kansas—
1,086,000
1963-1982
Smith, Barney & Co. on a met in¬

maturing

generally
well guished in this general area for
short offering several weeks now and may show
'
'
/out little change for some little

are

placed

were

the

to

issues

•/v
8:00 p.m.
1965-1974 }•'. 2:00 p.m.

: 1964-1987

„

new

.

3.04)6%: The run¬

ket has shown but little change,
Jj-."/-//''/August 6 (Monday)
ner-up
bid- was
made
by the /'
developing
a The
Commercial■ and Financial
1,125,000
Phelps, Fenn & Co: group which, Bridgeton School District, N. J.5..
pattern down from 10 to 25 basis Chronicle's
20-year high grade
offered
a
net
interest
cost
of Yiima Co': Jr. College Dist., Ariz.^J « 1,555,000
points from the May highs, in- bond yield Index averaged out at
3.0469%. The Smith, Barney & Co.
vestor interest has not as yet fol- 3.09% again on July 25. The tax«•
/:.,/'
group
is/reof fering
the
bonds
/August"7 (Tuesday);
lowed
grade

1:00 p.m.
Noonlj:00a.m.
Noon - v

. ; , I ■,v/ ''■; August 2 (Thursday)
better Grafton, Mass.'lJ—" 1,200,000
1963-1982 Tl:00a.m.
than half of the current large re- Lincoln' Airpart Authority, Neb._. ;
2,500,000 -1964-1986 • 11:00 a.m.
offering has already been placed.: Stocktbri5 Redevelopment- Agency, *
; \
■/'•'
j/
'/ Calif."—_Jl_—*
1,205,000 ~ ' 1992 :/>11:00 a.m.
life

be

soon

may

meaningful' action. Most.of
the rabbits have now been pulled

out

No Quick "Sell-Outs"

the

words

some

List total is $456,570,000.

While

connection, however, the

President's

forgotten

secondary
moved

•

■

p.m.

1964-2001
a.m.
1963-2000" 11:00 a.m.
1964-1983/ 10:30 a.m.
1963-1987/ 11:00a.m.
1963-1978 11:00 a.m.

.

points

.

2:00
11:00

of 2.578%.y '.t." h* /••..//.
(,■ August 1 (Wednesday)
figuratively 7 Hempstead Union Free Sch. Dist.
/: :
1
sue
remnants which have
been in the New York market, Dollar
contemplated, the bid had been- \ No; 14, N.. Y._
:
1,075,000V 1963-1982
dogging around the market for quoted bond issues were fraction- reduced
by about 53 basis points Newark Special Sch, Dist., Del.__ 1 1,230,000/ 1963-1986
the past several weeks and even ally better and the general bond
which
figures to be about 2%* St.*LOuis, Mo.l__l_:_.__._._/:/_^_'10,000,000
1966 1995.
months have been cut in many market tone seemed to improve
points in rough calculation ; for Scraiiton School District, Pa.______ '
1,000,000
1964-1983
instances
from
25
to
60
basis somewhat..'
^
"////y- /"/>/••
at

"

/'•.

July 31 (Tuesday)

v

-

Corning School District, N. Y._—,
Murray State College, Ky._._„___
Ohio State Univ., Bd, of Trustees

a.m.

:

': 1,996,000

City, Texas^^

4,859,000 "
k 1,469,000 *
; 5,300,000 *
San Diego Unified Sch. Dist.; Calif. / 14,827,000 '
Santa Ana,Sch. Dist., Calif.l-._5_~/-4,000,000;
New York awarded a' similar of-/
Union County, N. J.
1 2,035,000
fering totaling $108,530,000 to the

bidding circumstances, the second-

10:00

July 30 (Monday)

^

Texas

</" /

•

•

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

July 27 (Friday)

•

r..

Joseph Hospital, Chicago, 111...

-

•

1964-1988
1963-1987
1984-1987

3,750,000
2,557,000
3,500,000

■

St.

were

day blatantly advised the Euro- ':' This sale pertinently discloses
ferings. While the new issues con- pean states that the United States what has actually happened to the
tinue to command relatively fancy would not devalue the dollar. This
tax-exempt bond market during
prices
under
very
competitive flat statement seemed / seriously the
past few months. In late April,
ferings and secondary market of-

ary

the following tabulations we list the bond issues of
$1,000,000 or more for which specific sale dates have been set.

new

$103,725,000 City
serial (1963-1992)

do partly spell out a forceful case
for the..careful .continuance of Manhattan Bank nosed' out' its
monetary ease . in the months traditional, rival, the First Na?
ahead, barring dangerous, symp- tional City Bank group,, in fairly*
were to be passed on the fnarket's
close bidding. The winning .bid
toms of inflation,
status
a
reporter would
fairly
•
V was the equivalent of a 3.0278 in¬
municipal bond business transacted during the last week, yet
the tax-exempt bond market held
its
level
and
if
any
judgment

state that the tone is

Larger Issues Scheduled For Sale

.

In

Sanitary District, Ind.
general
obligation
bonds. f The. Hudson County, N. J.J
group
managed
by~ The.. Chase Iowa State Board of Regents

they

apparent diet a recession, in the whole

little

but

week's
involved

New

of-

was

City Award

York

Significant
issue

There

.

Thursday, July 26, 1962

.

.

.

Lexington, Ky.

10

(Wednesday)
1,025,000

1963-1982

11:00 a.m.

Volume 196

Number 6180

.

.

.

The Commercial and Financial Chronicle

'

(379)

New Issues

i

,

3%%, 3% and 1V%% Serial Bonds
Interest Exempt From Present

,

.

"AMOUNTS, MATURITIES
AND YIELDS*

*

$12,785,000
12,785,000
12,785,000
12,385,000
12,385,000
5,885,000
4,135,000
4,135,000
4,135,000
4,135,000
1,805,000
1,805,000
1,805,000
1,805,000
\ 1,805,000
1,570,000
1,570,000
1,570,000
1,570,000
1,570,000
.130,000
130,000
130,000
130,000
130,000
; 130,000
130,000
130,000
130,000
130,000

July 25,1962

•

,

Federal and New York State Income Taxes

Dated August 15, 1962
-

i

Due August 15,1963-92,

ind.

-

1963 4

1.75%

1964

2.00

$32,700,000 m% Bonds, due: $1,570,000 1963-82
and $130,000 1983-92, ind.

1965

2.20

1966

2.35

.

1967

,

2.50

~

$26,825,000 3

2.60

1969;.

2.70

1970

2.80

1971

2.90

1972

3.00 -V<

1973

.

$44,200,000 2Vi% Bonds, due: $8,650,000 1963-65, ind.;
$8,250,000 1966-67 and $1,750,000 1968.

3.05

19.74

,

3.10

.

1975

3.15

1976

3.25

1978

3.30

1979

3.35

Principal and semi-annual interest (February 15 and August 15) payable in New York
City at the office of the City Comptroller. Coupon bonds in denomination of
$5,000, convertible into fully registered bonds in denomination, of
;
'V ■ $1,000 or multiples thereof, but not interchangeable.

3.20

1977

.

1980

.

:

Legal Investment for Savings Banks and Life Insurance Companies in the
State of New York and for Executors,
Administrators, Guardians and

3.40

1981

3.45

other$ holding Trust Funds for Investment under the Laws

1982

5.50

-

1983

i

3.50

<

v

J5.il.>-

v.

;.'ad3i

V"

•

.

'

Bonds, due: $2,565,000 1963-72
$235,000 1973-77, ind.

and

1968

-

•'

■

*

of the State of New York.
1. .'

h'-nY'''1

.

Y'

?

'
.

iii'S ir-.

T~

1984

3.55
3.55

1986

3.60

general obligations of the City of New York, all the taxable real

1987

3.60

which will be

interest

1988

3.65

1989

constitute, in the opinion of counsel, valid and legally binding

subject

to

the levy of ad valorem taxes

to pay

property

within

the Bonds and the

3.65

1990

These Bonds will

:

3.70

1991

3.70

thereon, without limitation

as to rate or amount.

3.70

1992

The above Bonds

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 &,
-

;

,

Where the
the same,

yields and
the Bonds

coupon rates are
are

offered at

.

-

Chemical Bank New York Trust

Company

R. W.

Barr Brothers & Co.

•

Manufacturers Hanover Trust Company

Pressprich & Co.
■

j.-

■

Lehman Brothers

Merrill Lynch, Pierce, Fenner & Smith

••••-•

Incorporated

The Northern Trust Company

Carl M. Loeb, Rhoades & Co.

Hornblower & Weeks

Paine, Webber, Jackson & Curtis
-

-

Equitable Securities Corporation

.

••

Paribas

'

*.

.

t

>

Blylh & Co., Inc.

Goldman, Sachs & Co.
■'

1

•

Drexel & Co.

:

Bear, Steams & Co.
i

The Philadelphia National Bank

Wertheim & Co.

Los Angeles

*

-

Hallgarten & Co.

.

The first Western Bank & Trust Company

..

/

Lazard Freres & Co.

•'

Ladenburg, Thalmann & Co..

B. J. Van Ingen & Co. Inc.

:

•

The Chase Manhattan Bank

-

■

Logan, Attorneys, New York, N. Y.

.

par.

First National Bank
in Dallas

-

•

"

•

Corporation Weeden & Co. Bache & Co. A. 6. Becker & Co. Blair & Co. The Connecticut Bank & Trust Company Goodbody&Co.
Incorporated

^

Incorporated

{

Incorporated-

Hartford

MemphHI, Noyes & Co. Hirsch & Co. The Marine Trust Company F. S. Moseley & Co. Wm. E. Pollock & Co., Inc. Swiss American Corporation
of Western New York

•

Adams, McEnteeA Co., Inc.

Baxter & Company

Ernst & Company

Gregory & Sons

National State Bank Reynolds & Co. Dempsey-Tegeler & Co., Inc. Fahnestock & Co.

E. F. Hutton & Co.
Incorporated

Newark

'

*

,

The First National Bank

First National Bank

of Memphis

in St. Louis

V

"

-

American Securities Corporation

New York Hanseafic
■»

Henry Harris & Sons

*

•

i

J. A. Hogle & Co.

Federation Bank and Trust Company

.....

Kenower, MacArfhur & Co.

v Incorporated

Mercantile National Bank

'

at Dallas

Corporation Rauscher, Pierce A Co., Inc. State Street Bank and Trust Company Stern Brothers & Co. Stroud & Company
Boston
Incorporated

Trust Company of Georgia

;

Chas. E. Weigold & Co.:

R. D. White & Company

Incorporated
£
i

+

•" '
r,

The Boatmen's National Bank
•




-

Incorporated

Hayden, Miller A Co.:
+

«

Lebenthal A Co., Inc.

Robert Garrett & Sons

•

CruHenden, Podesta & Miller

Green, Ellis & Anderson

National Boulevard Bank

J. B. Hanauer & Co.

Newburger, Loeb & Co.

Park, Ryan, Inc.

of Chicago

,

The Robinson-Humphrey Company, Inc.

Cooley & Company

.

The Fori Worth National Bank

Dewar, Robertson & Pancoasl

J. BarihACo.

"

Atlanta

Harkness A Hill

Auchincloss, Parker A Redpath

' The Citizens and Southern National Bank

:

of St. Louis

Sterling National Bank & Trust Company

Tollner & Bean, Inc.

Tuller & Zucker

Wells & Christensen

of New York

Wood, Gundy & Co., Inc.

Courts A Co.

Lyons, Hannahs & Lee, Inc.
-

Starkweather A Co.

Moore, Leonard A Lynch
'

Incorporated

Emanuel, Deetjen & Co.
Schwabacher A Co.

Sutro Bros. A Co.

Freeman & Company

Singer, Deane A Scribner

Talmage A

.V, v

j.

.

-s.W .'J

•

1985

.

j

7

.

(Accrued interest to be added)

*

-

Granbery, Marache & Co.
John Small A Co., Inc.

Walling, Lerchen A Co.

"I'M*

8

The Commercial and Financial Chronicle

(380)

Broadway,

DEALER-BROKER

New

available

Also

is

York 5, N. Y.
an
analysis of

The Economics of Survival

Jefferson Lake Sulphur Co.

INVESTMENT LITERATURE

THE

THAT

UNDERSTOOD

IS

FIRMS

WILL

MENTIONED

&

New York

Co., 37 Wall Street, New York

5, N. Y.
Small

PLEASED

BE

By E. Sherman Adams,* Vice-President, First National City Bank,

panies—Statistical Study—Greene

AND RECOMMENDATIONS
IT

Com¬

Investment

Business

Small

Thursday, July 26,-1962

...

Strongly warning of the imminence—not
Com¬

Investment

Business

believed—of the

USSR

economic

the remoteness generally
threat, Dr. Adams importunes de¬

LITERATURE:

FOLLOWING

THE

panies—Analysis—W. E. Hutton &

voting the highest priority to

Co., 14 Wall Street, New York 5,

PARTIES

INTERESTED

SEND

TO

he says, not a master plan but the

setting

economic

Dr. Adams suggests three major

N.Y.

Savings &

California

Loan Asso¬

ciations—Report—Hooker & Fay,
Inc., 221 Montgomery Street, San
Canadian Food Chains—Bulletin—

Ltd., 25
Toronto,

Knowles & Co.,
Adelaide
Street, West,
Ross,

Ont., Canada.

reports on the Confectionery
Food Seasonings Industries,
and comments on Kansai Electric
are

York 6,

New

Broadway,

King &

Y.

List—

Stocks—Selected

Watt & Watt Ltd., 6 Jordan Street,
Toronto

1, Ont., Canada.
S t

Common

ck

o

more—Data

or

Yielding

s

Rhoades

&

4.4%

29 issues which

on

attractive—Carl

appear

M.

Loeb,
Street,

Wall
5, N. Y. Also available

New York

Co.,

42

reviews of Calgary Power Ltd.,

are

Lockheed, and P. Lorillard.
Corporate

Market—Discus¬

Bond

sion—Salomon Brothers & Hutzler,
60 Wall

Street, New York 5, N. Y.
Utilities

Electric

down

Review

—

with particular reference to Avco

North¬

Corp.,

Corp. and Thiokol Chemical—

rop

H.

Giannini

Wright,

Curtiss

Hentz

&

New York 5,

data

are

Co., 72 Wall Street,
N. Y. Also available
Illinois Pub¬

Central

on

lic Service, Kansas Power & Light

and Public Service Electric & Gas
and

memorandum

a

on

Common

Favored

terly Review

Dura Corp.

Stocks—Quar¬

Dillon,
Union Securities & Co., 1 Chase
Manhattan Plaza,
New York 5,
Eastman

—

New

Broadway,

N.Y.

New

—

Corp., 120
5, N. Y.

Hanseatic

York

Broadway,

New York

John C. Legg &
Baltimore 3, Md.

Memorandum

—

N.

Y.

of

Utility Common Stocks

61

Co., 22 Light St.,

.

Hornblower
Manhattan

Securities Co., Ltd., 149 Broadway,
New York 6, N. Y.
New

Depreciation Rules—Discus¬

sion—Goodbody & Co., 2

Broad¬

New

York

City

Stocks

Bank

Review

—

ternational

Bond

N.

Y.

sions of Winn Dixie
lic

Service

—

In¬

&

Share, Inc.,
International Building, San Fran¬
cisco 8, Calif.

son

stocks

used

Averages
counter

the

in

and

industrial

National

Dow-Jones

the

the

compari¬
industrial

listed

the

over-the-

35

stocks

used

Quotation

in

Bureau

Market?

Street,

Stocks—Com¬

ness

Briefs"

—

Chase

1

Chase

Manhattan

Manhattan

Plaza,

New York 15, N. Y.

Economy

Review

Yamaichi Securities Co.

—

—

Quarterly

of

current

issues with at¬

*

Vending

Weston

Smith

Associates,

Broadway, New York
A.

J.

4,

N.

Y.

Sincere

and

Company, 208 South
Chicago 4, 111.

La Salle .Street,

Memorandum^

—

Blunt, Ellis & Simmons, 111 West
Monroe Street, Chicago 3, 111. Also
is

memorandum

a

&

Alden's

Inc.

on

gram

Safety

Periodical

Apliances,

Pub¬

Estabrook

Memorandum

—

&

Co., 15 State Street,
Boston 9, Mass.
Allied

Radio—Discussion

Transo-

York

issue

are

Can,

Amsted

of

selected

stocks

of

companies likely to purchase their
shares during periods of mar¬

ket

weakness—Gerstley, Sunstein
Co., 211 South Broad Street,
Philadelphia 7, Pa.
&

Public Bonds

—

Review

—

Wm. J.

merce

Building,

Ohio.

"

Cleveland

Fabricating
—

Industry

Reynolds

&

Co.,

14,

—

120

in

cur¬

Lynch, Pierce, Fenner &
Inc., 70 Pine Street, New

Co.,. and Oil Recovery Cor¬

banks, brokers and financial institutions,

5,

N.

Y.

Also

Aroostook,

Our latest brochure:

scrutiny at the present time. Earnings for 1962 have been estimated

following companies,* along with brief comments:

Cola.

the

same

is

equally

Soviet

clear

what

the

leaders

plan to do with
expanding economic might.

their

One, they will continue to increase
military
strength.
Two,
they will step up their economic
penetration of underde veloped

their

countries.

Three, they

,

demonstrate

cope

This

the

nations

the

to

intend to

uncommitted

superior performance

of

of

short, they will utilize their added
economic strength to steadily in¬
tensify their military, economic

course,

facets—

many

p o-

economic.

the

system.

and political pressures

Free

World

in

In

against the

way
they
They are determined event¬
ually to bury us by building up
every

can.

All

their

To

ask

which

is

the

economic

This

most

which

power.

be like asking
chair is most es¬

a

We

recent

Threat

Some

cannot

neglect

any

them.

of

In

E. Sherman Adams

would

leg of

sential.
one

years,

we

Is

people

little
it

need

concerned

this

about

output of the Soviet econ¬
is not likely to surpass ours

omy

and

that

that there is

and

be

They have heard that the

now.

for

to

Imminent

assume

threat is remote

total

have been
largely - preoccupied
with
the
military and political aspects of
this
challenge. : The military
-

Communist

important.

something like 20 to 30 years
this seems a long way off.

But this is not the point at all.
Long before Russia exceeds us in

ent, and the

total

answer

to

building

up

necessary

our

own

yet

as

Railroads,

United

R-*yal

Home

Life

have not

we

agreed

upon

the necessary answers to it.

in

nomic

the

side

struggle

long
this

of

eco¬

life-or-death

themselves

recognize this fact and

are

randum—Joseph, Mellen & Miller,
East Ohio Building, Cleve¬
land 14, Ohio.

Inc.,

American Cynamid

Review

—

—

Colby & Co., Inc., 85 State Street,
Boston 9, Mass. Also available is
a

review of Xerox Corp.

Ampex —Memorandum—Stewart,

Hill

Jergens

Richards

Calif.

Co.—Analysis—

&
Co., Inc., 621
Street, Los Angeles

Also

available

is

an

World

economics

clearly
basing

than

Indeed, the

responded

so

survival?

of

To

this, let

answer

us

threat which confronts

sians

first

the
are

us.

ex¬

In this

objectives of the Rus¬
unmistakably
clear.

Under ' totalitarian

Co., Inc., 150 Broadway, New York
38, N. Y.

controls, their
economy has achieved a remark¬
able rate of growth. The Soviet
leaders will make every effort to
continue

Anglo Canadian Telephone —
Memorandum
Amott, Baker &
—

Stationers

Supply

—

&

N.

—

Memo¬

Y.

Broad Street Trust—Memorandum

Hallowell, Sulzberger, Jenks,

Teletype NY 1-376; 377; 378

Kirkland & Co., Philadelphia Na¬
tional Bank Building, Philadelphia

7, Pa.
Charter

Company

Mortgage

&

Investment

Survey — Johnson,
Lane, Space & Co., Inc., 16 North
Laura Street, Jacksonville 2, Fla.
Also

—

available

are

Continued

surveys
on

page

build

to

—

randum—Walcott, Thomsen & Co.,
500 Fifth Avenue, New York 36,

Trinity Place, New York 6, N. Y.

today is only about

far

a

do.

the Russians

larger

portion of
military purposes

output to
we

Indeed, it is estimated

that in terms of U. S.

of
47

military
large as

Soviets

Offensive

amine the nature of the economic

area,

TRANSOGRAM

Troster, Singer & Co.

devote

their

most

Russia's

growth. Although the Rus¬

economy

The

the

of

half the size of ours,

prime
sion.

Company

"

has

Soviet Economic

The

analysis of Title Insurance & Trust

OIL

Members New York Security Dealers Association

not

prices, their
already as

vigorously to the Soviet challenge
already reached the point where,
on
the
military
and
political with its totalitarian
controls, it can
fronts that Soviet policy has now
more
readily increase its arma¬
shifted to even greater emphasis
ments than we can. Five years, ten
on
long-range economic warfare. years from
now,
there is every
It is therefore high time for us
reason
to believe that the Soviet
to face up to the implications of
Union's military outlays will be
this
economic
offensive.
What
very
much larger than they are
kinds of objectives and policies
today.
must we adopt to deal with it?
This also applies to Russia's po¬
What are the imperatives of the
tential for economic warfare. The

ANIIE USE It-B USC/J

COMPANY

is

aspect

Alloys & Chemicals Corp.—Memo¬

NATIONAL PERIODICAL PUB.

RECOVERY CORP.

this

their strategy upon it.

Belding Heminway Co.

WORKS

even

rapid
sian

the

decisive.

be

may

Communists

run,

But

significant

Free

YARDNEY ELECTRIC

DIST.

of

Industries, Bangor
International Shoe,

MINE SAFETY APPLIANCES

TEL.

it has been clear—the

Yet

Doyle, O'Connor
Co., Inc., 135 South La Salle
Street, Chicago 3, 111.

WHITIN MACHINE




It

growth-rate.

a

drew Jergens Co.

Memorandum

SWANK, INC.

"

the

Associated

highlights ten companies which by reason of attractive Price/Earn¬
ings ratio, yield, book value or historic
price attractiveness, deserve

HAnover 2-2400

to

Insurance, White Motors and An¬

14,

"Some Attractive Over-The-Counter Values"

74

Com¬

We

it.

of American

Industries,

Crown

in

discussions

South Spring

INTERSTATE

is

threat has been obvious and urg¬

Porter.
—

opines,

and has seemed less imminent. And

Telephone,
and Distri¬

Publishing

National

Cali¬

Andrew

UNIVERSAL PUBLISHING &

The

become

choice

important

Industries—Memorandum—

he

problem, has

52

Eubanks,
Myerson
&
Co.,
216
Montgomery Street, San Francisco
4, Calif.
.7

CALIFORNIA

has

*

Corp.—Analysis—

problem,

Smith

Review

the

to

are

ABC

Our

Merrill

Rubber

on

to

lications, Anheuser-Busch, Whitin

buting,

of New York, Inc., Ill

For

aid

fundamental

Machine Works, Yardney Electric,

Inc.,

Interstate

New York

Broadway,
6, N. Y. Also available

"a

as

rent issue of "Investor's Reader"—

Swank,

on

fornia

Mericka & Co., Inc., Union Com¬

Japanese

economic

our

to

production, the annual in¬
crement to its output will exceed
military power.' The ours. This more critical
point may
economic
threat, on
the
other be
only about five years away.
hand, has been much less obvious

ments

own

Bank,

Chain

tractive yield—Walston & Co., Inc.
74 Wall Street, New York 5, N. Y.

Portfolio

Dis¬

refers

we

the

f

Yield—List of ten

analysis—David L. Babson & Co.,
Inc., 89 Broad Street, Boston 10,

—

time.
no

not,
with

or

litical, ideo¬
logical, cultur¬
al, s p i ritual,
and
finally,

MSL

Really Over?

our

have

it

ing
o

military,

New York.

Inflation

problem

New

Co., Inc., 20 Broad
Street, New York 5, N. Y.

Is Inflation Really Dead?—Market

cussion in current issue of "Busi¬

Review

—

Roberts

Counter

e r r

v

trends—Blair &

available

Front

New York 4, N. Y.
the

i d

What Does It Mean For The Stock

Bureau,
Over

Tool,

survival."

own

survival.

menace

Belt, Dow Chemical and Celanese.

Albee Homes

46

Gas,

Gas, Niagara

our

ourselves

o

with

Pneumatic

both as to yield, and
market performance • over a 23year period — National Quotation

Averages,

Inc.,

&

to

munist

discus¬

Folder

—

up-to-date

an

between

1

are

in

like

we

concern

essentials

Stores, Pub¬

Electric

i|:

Over-the-Counter Index

showing

Chase
York 5,

Whether
must

but

&

Is

available

York State Electric &

poration—Troster, Singer & Co.,
74
Trinity Place, New York 6,

Mass.

&
Weeks,
Plaza, New

Also

Review

—

—

Laird, Bissell & Meeds, 120 Broad¬
way, New York 5, N. Y.

he

government

Chicago

Comparison and analysis of ten
leading New York City banks —

which

spending and the arbitrary fixing of

Mohawk Power, Stone & Webster,

New York 4, N. Y.

way,

countries

investment

Japanese Market—Survey—Daiwa

Mine

Insurance Slocks

6,

analysis

an

capital and credit outflow but not

accelerate growth through sound measures which will
strengthen our
free economy. This, he adds, would rule out unsound

Mitsukoshi Ltd.

Universal
Federal Reserve Credit Policies—
Review

Ltd.,

Co.,

York

is

available

—

—

Electronics Space Stocks—Bulletin

Controls, Hazeltine

Securities

Nomura

Review

—

our

Street, San Diego 1, Calif.
figures
on
the
15
largest banks in the
United States—Bond Department,
Bankers Trust Co., 16 Wall Street,
New York 15, N. Y.

\

•:

Market

Japanese

A

233

Inc.,

our

U. S. Banks—Comparative

Survey — Daiwa Securities Co.,
Ltd., 149 Broadway, New York 6,
,

Portfolios—Sugges¬
Carlsen

&

entails,

our

underdeveloped

Investment

—

This

and full pursuit of

up

economy healthy, employing our resources to
offensive, and accelerating our economic growth
rate—and carefully explains their
importance.- In discussing ways
to achieve these imperatives, the author envisions the need to
slow

—Currier

Market

Japanese

economic survival.

combat the Soviet

tions for various investment goals

Overseas Markets

Hemphill, Noyes & Co., 8 Han¬
over
Street, New York 4, N. Y.

Corp.,

goals—keeping

Co., Inc., 99 Wall Street, New
5, N. Y.

York

Three Growth

Also
Canadian

Market—Report—Lamborn

Co. and Tokyo Electric Power Co.

Canadian Gold Mining Companies

—Memorandum—Charles

61

&

and

N. Y.

Co.,

Sugar

our

objectives and policies.

Power Co., Kyushu Electric Power

Francisco 4, Calif.

N.

'

nomic

sible

power

over

as

the

up

their

ours.

utilize

gaining
of

us

a

as

other nations,
that lead to

power over

bondage,
years

foreign trade

of political aggres¬
it is a means of

use

forging

for

Russia has therefore

weapon

They

are

bonds

and

and

making

of

allies.

our

trouble

In

recent

their foreign trade has been

expanding rapidly and its pattern
clearly reflects their sinister ob¬
jectives.

>
'
ahead there is

*

the

Over

eco¬

1

rapidly as pos¬
ahead. They

years

Continued

on

page

46

years

have carefully laid plans for
so.

outlays

doing

/

Some
reasons

slow

to

Soviet
the

it

will,

but

experts

are

give

you

growth may
years ahead.

over

Perhaps
The

like

people

why

down

how much?
in
complete

that even if there is
slow-down, the Soviet econ¬
omy will in all probability con¬
tinue to grow at a rapid rate for
many years to come. And surely
the lessons of recent years should
agreement

OTC SECURITIES
LARGE MIDWEST CITY
Successful
wishes

to

OTC
merge

securities

with

or

dealer

be acquired

some

have

that we
will be better off overestimating
Soviet potentials than underesti¬
mating them.
taught

us

by

now

by

large

firm.

research
reg.

in

national

N.Y.S.E.

member

Complete internal, trading, office

reps.

staff

plus

Mcdern

12

main

high

floor.

strictest confidence. Box

mercial & Financial

caliber

Reply

719, Com¬

Chronicle, 25 Park

Place, New York 7, N. Y.

Volume

196

Number

6180

.

The

.

.

Commercial and

Financial Chronicle

(381)

the

cause

Britain's Reflation and

need

fectively

for them

camouflaged

short-term

was

ef¬

by -these

arrangements.

When

the

The Dollar's

mitigate

of the

Bank

ment

plight of

states that the

rather than

and

acquired here during the gold

hour

an

cause

in

Wall

This

Street.

and

investors

means

that

in
Britain don't expect the change to
be followed by an expansionary
monetary policy. No doubt Minis¬
terial spokesmen will go out of
their way in the course of the
next few months to pay lip serv¬
ice

speculators

inflation. Al¬

to

resistance

to

declared
on
the
highest authority that Mr. Lloyd's
policies—especially the wage re¬
it

ready

was ;

sheer

folly to

floodgates

for

wage

plunder

Paris.

The

be

dollar's

the

method

with

the

United States authorities

are try¬
ing to support the dollar with the

aid

of

cured

short-term
from

facilities

from

London.

This

during
Bank

the
of

over

the

was

a growing
sterling they papered

cracks

in

the wall

with

aid of facilities obtained first

are

from
from

Central

the

Banks

International

and

later

Monetary

and

French

amount.

about the

The

be

even

as

successful

Lloyd remains to

and
sus¬

the

drastic steps were de¬
by some six months be¬

aid

of

Central

Bank

credits—deceived nobody.

the

absence

have

can

Day

after

of

rumor-

"wonderful

a

day it

is

stated

in newspapers that both the Cen¬
tral Bank gold pool and the
swap

facilities
States

granted

to

authorities

hausted.

It

authentic

the

are

would

now

be

information

United

worst.

It

should

rule

that

be

scare

is

endeavor

be

the

is

ac¬

Export-Import

excellent

an

idea.

The

principle should be carried

same

further

and

the

United

States

should unload much of the foreign
securities
and
claims
acquired

during the long

of gold in¬

years

flux and balance of payments sur¬

pluses. What the
support by

dollar

of

means

tive

with

the

Thomson &

Duluth

McKinnon,

firm of the New

York

eight

Earlier

years.
a

he

Peters, Writer
Names Exec. V.-P.

needs

such

DENVER, Colo.—John F. Coughenour, Jr. has been elected
ecutive
Vice-President
of

is

long-

term arrangements.

bers of the New York

is not what Min¬

nor'even whether they
really in favor of holding
down wages,
but whether their
policies will create an economic

true,

the present position
of the United States, with the gold
reserve standing
at the still for¬
midable
figure
of
$16
billion,
bears
no
comparison with
the
British position of 1931. The lesson
nevertheless

This announcement is neither
V

a

worth

wave

situation
will

unions

trade

which

in
in

be

Not

a

an

The

t

firm

and

is

also

would

light

mean

demands.
to

-rk

i

pi

i

i

an

Istel, Lepercq & Co., Inc., 63 Wall

i

Broad Street Sales

Street, New York City, investment
managers

remember¬

of distrust de¬

and

announce

financial
that

better wage
government tries

of its lost
handing
out

some

larity

by

service

benefits

lower

to

and that George J. Bradford and
Raphael Yavneh have joined the

district

firm's Research Department.

Street

sales
Sales

announced

Jr.,

by

of

Broad

it

was

Robert H.

President.

Mr.

investment

serve

in

manager

Corporation,

Brown,
Barnes will

dealer

accounts

Northern

California, Oregon,
and Washington, under the direc-

Rothman Opens N. Y. Br.
Noel

N.

opened

Rothman
a

branch

&

Broadway, New York City.

quo

organized

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

any

of these Shares,

Common Stock

without securing any quid
for it, the resulting re¬
vival of consumer demand would
further encourage the attempts of
groups

pro

offer to sell

($1%

par

value)

labor to increase their

share of the cake without bother¬

ing

themselves

exert

to

the

crease

to

in¬

Price $495/s

itself.

cake

a

Share

By the look of things, reflation
in Britain will assume mainly this
of

form

increasing public expen¬

diture rather than relaxing mone¬

control. A lower Bank rate

tary

would

withdrawals

mean

of

Copies of the Prospectus may be obtained in any State from only such of the
undersigned as may legally offer these Shares in compliance
with the securities laws of such State,
:
:

hot

time when the
seasonal factor is beginning to go
at

just

money

a

against sterling. Admittedly the
letting loose of an orgy of wage
increases through stimulating con¬
sumption would produce a similar

effect,-but its effect might be de¬
until
the
turn
of
the
seasonal
tide
early next year,
when sterling could better afford
to face the additional pressure.

MORGAN STANLEY & CO.

ferred

DILLON, READ & CO. INC.

THE FIRST BOSTON CORPORATION

KUHN, LOEB & CO.
Incorporated

Overstated by I. M. F.

U. K. Gold

MERRILL LYNCH, PIERCE, FENNER & SMITH

Credit
■

point of view of

Incorporated

crease

the

not strong

full

without
spare

gold reserve,

sterling are still

will
>

have

defending

having

any

both

reserve

is

figure of the gold

grossly misleading, be¬




HARRIMAN RIPLEY &

CO.

GLORE, FORGAN&CO.

HORNBLOWER &

WEEKS

Incorporated

KIDDER, PEABODY & CO.

LAZARD FRERES &

CO.

LEHMAN BROTHERS

Incorporated

CARL M. LOEB, RHOADES & CO.

PAINE, WEBBER, JACKSON & CURTIS

SMITH, BARNEY & CO.
Incorporated

STONE & WEBSTER SECURITIES CORPORATION

WHITE, WELD & CO.
Incorporated

to

for the defense of the dol¬

lar. The actual

GOLDMAN, SACHS & CO.

DREXEL & CO.

„

EASTMAN DILLON, UNION SECURITIES & CO.

its

sterling

resources

FRANCIS I. duPONT&CO.

in¬

enough and the British

Government
hands

of

preferable.

site of the

in

of the British

defenses

the

assisting the dol¬
of a lower

lar, reflation by means
Bank rate would be

Unfortunately

from

that,

arguable

is

It

BLYTH & CO., INC.

July 26, 1962.

Co.

office

social
income

A.

LOS ANGELES, Calif. — William
A. Barnes has been appointed a

General Motors Corporation

popu--

consult¬

Eugene

De Lutio has been appointed VicePresident in charge of Research

1,589,680 Shares

if

and

of

Names Vice Pres.

expanded,
it
showing the green

If the

regain

and

the

Istel, Lepercq Co.

be

bigger

to

reduced

be

should

Ex¬
was

Peters, Writer & Christensen, Inc.

a

should

rate

the

officer

an

New Issue

position to enforce
their wage demands. If the Bank
credit

Ex¬

Stock

change.
Mr.
Coughenour
formerly Vice-President of

as

are

worked

brokerage house in Denver,

seen.

What matters

Ex¬

served for

Colorado.

be

isters say,

of

member

Stock

change, with which he
with

office
a

Peters,
Writer
&
Christensen
part Corp., 724 Seventeenth St. mem¬

mobilize

to

of the assets of the

Bank

Barnes, who will begin his
new duties
immediately, was until
recently a registered representa¬

governments

Appoints Barnes

Information
It

The

west

Mr.

if

to

were

everybody is inclined to imagine
the

Joseph F. Lynam,
Vice-President.

ex¬

better

published because in time of

cepted

of

coast

ants,

Recommends Authentic

ing. When

Mr.

time.

In

information

tion

figure at which it stood

the

ferred

of

similar

a

beginning of the crisis.
camouflaging of its decline

with

claims, but whether its ef¬

will

of

pended. Yet the gold reserve was
published
week
after
week
at

wage

that

credits

exhausted
gold standard had to be

is

fort

the

reserve

By Sept 21 those credits

necessary

effort to resist excessive

gold

practically

were

an

that

sterling

on

ported with the aid of American

make

was

it.

mongers

end? In 1931

unchanged around £ 130
million, because sterling was sup¬

Fund.

result

run

an

England's

structed government will no doubt

The

to

come

ning of 1961. In face of

the

and

expense

remained

precisely the mistake made by the
British authorities at the begin¬
pressure on

own

before the

se¬

other

monetary au¬
thorities is viewed with growing
concern

that

arrangements is liable to
accentuate the distrust rather than

eight

dollar had

the

gain.

which

remarkable

credit

should publish figures of their net
successive weeks, gold reserves, that is, gold reserves
the U. S. gold reserve showed no' less
the
outstanding amount of
further loss the pressure on the external short-term credit.

Frankfort,
Zurich
and
Sterling's loss would not

therefore

recon¬

The

open.

be

that the

announce

thrown

now

indeed

would

It

substance.

in

maintained

be

straint—would

to

but

the

allowed

They have to be taught

for

cause

or so, the London Stock exchange
ternational Monetary Fund credit
responded to the dismissal of Mr.* is still outstanding.
In
Lloyd from the Treasury withifa
any
case,
amidst existing
firm tendency in equities. But a conditions the chances are that a
reaction soon set in, and before lower Bank rate in London would
the week was over equities came drive hot money not to New York

under the influence of the decline

only

short-term

seriously imagine that, merely be¬

sur-

substantial amount of In¬

a

If

been

that of their country. Can
anybody

plus and dollar shortage period.

LONDON, England—For

indeed

lessons at their

He praises the plan to sell Ex-lm-Bk notes

recommends, further, other long-term arrangements to

.

is

ernments.

gold data be released not only by ourselves

sell foreign securities and claims

had

need

governments
hardly ever learn
from the mistakes of other gov¬

mitigates the problem. The noted foreign exchange expert

but, also, by England.

\

It

and

concern

of short-term credit arrangements accentuates

screen

rcommends authentic net

abroad

for higher wages. Turning

scene

dollar, Dr. Einzig reports London

our

public the

measures.

reserve

concealed

to decline, public opinion would
have been better prepared for the
bitter medicine.

It may, however, increase govern¬

spending which could set the

the

to

effectively

British

such

gold

usher in a lowering

rate nor, on the surface, lower the government's resis¬

to excessive wage claims.

the

of

screen

authentic

from
for

tance

a

camouflage

Prospects

cabinet in England is not expected to

new

behind

long - overdue
steps
were
they were thoroughly un¬
popular,
precisely
because
the
taken

By Paul Einzig
The

velops then the fact that its effect
on
the gold reserve is
disguised

9

DEAN WITTER & CO.

at

has
11

The Commercial and Financial Chronicle

(382)

10

"the present form of capital stock maturity range have been reiathe * Federal
Reserye-banks^tiveiy stable despite ah expansion

Bank of Boston y ~

vival of foreign exchange opera¬

•

should:

H. Ellis,* President, Federal Reserve

Thursday, July 26, 1962

.

tions, and raising interest rate
•
''
"
sharp rise ceilings.
To paraphrase the dilemma. I
bership in the System should be ; in demand for funds in the capital
evidenced* by_a/ honearrarig cet* markets. We have continued ease noted earlier, the difficulty of rec¬
tificate of,'say, $500, the same for further into the cycle, as. con- onciling
domestic, stability and
6f

Developments in
fly George

..

"

be'retired..instead,^mem- .of bank.credit and

a

.

Boston central

and diverse views

banker examines serious questions

eaeirmember bank."
^

wrapped Intimately tnto the

Reg. Q ceiling on time

applaud the initiative, efficiency
and profit oerformance of indi¬
banks.

vidual

other

the

On

e

com¬

mercial bank¬

ing system as
whole must

a

be operated in
the

public in¬
is

Here

a

issue

which

tinuously con¬
state

fronts

George H. Ellis

Federal

and

;

3

v

Reserve:' System../ Quite- in

Federal

the: first; half^ of 1^1 tban 10

banking
autnorities. Healthy
banking competition must be en¬
couraged and supported to insure
the welfare and progress of the

time, banking

nation. At the same

York,
banks involved open new branches;
instead.
The
Opening ; of
such;

practices which infringe the pub¬
lic
interest must tie restrained.

proposals, questions and
many more
like

decisions—and
them—serve

the

underscore

to

changing character of - -our
economy and, even more specifi¬
ever

callypur

banking

tern members

/

• #

<

sbkkswk'

J.

L.

wSwcal policy acted

J?

-

f ^

♦wJ?

said
>

to the Tennessee Bankers Associa¬
tion that
we

must decide whether

we

want

of' many

continuance

a

In

his

President

first

in^titu*.

^

.

_i_xVir?

tv/iw

aji

concept of

.

as fortunate suppietncAts both in promoting recoyery ^nd,defending the dollar.

j-____

-.in

i*„r>

-f**

fenc«nendmg

low, enougn

greater

^

central

and

inaugural

Woodrow

address

Wilson

drew

attention to the characteristics of
our

country. He. said: "We shall
units, a rapid de¬ deal with our economic system as
velopment of branch banking, or it is and as it may ,be modified,
perhaps a rapid development of not as it might be if we had a
holding company banking. "We clean sheet of paper to write upon,
must detide whether, in view of and
step by step we Shall make'
the changing size of business units it what it
should be." It seems
in this country, we wish to have
entirely appropriate that those
a
few large banks with many memorable words are
engraved
branches, with a relatively few on the marble walls of the Federal
men dominating the entire bank¬
Reserve Building in Washington.
ing system
or to continue the
Of course the formulation and
existing system of numerous in¬
implementation of monetary
stitutions
We need a super¬
policy is a matter of constant
visory structure that will make it
evolution. And of course changes
possible
to
face
these
issues
in the structure of the Federal
squarely, reach decisions coura¬
Reserve are constantly under con¬
geously,
and
implementv then!
sideration
in
Washington
and
equitably." He went on to suggest
elsewhere, Let me call to your.at¬
a
consolidation
of
all
bank
tention just one of the suggestions
supervisory functions in a new for
change that would affect most
Commission that would

independent

...

.

.

of

you

regulatory

functions of
the Comptroller of the
Currency,
the

Federal

the

Reserve

Federal

Recommendations

Insurance

I

Corporation.!
Governor

raised
when

G e orge
Mitchell
question of structure
he spoke to the Independent

the

Bankers Association. He suggested
that if the trend in
is

banking today

to

size, we might be wise to
accept the inevitable and make it
as

fast

banks

and

to

easy

as

achieve

possible for

size:

But, he
continued, "The enormously dif¬
ficult problem of finding out how
big a bank has to be to be efficient
enough, and how many banks are
needed

to maintain
competition
enough, are not problems that can
be solved by armchair logic."

indirectly.

or

to for-

^es with maturities exceeding 12
central bank to the needs of the m°ijths^ A second step was taken
commercial banks. A post office ^ ^^ruary of 1961, when the
type of centralization is not an .Federal Open Market Committee
acceptable substitute for the pres- suspended the operating; policies
sensitive

from

response

presume

with
year

bankers

are

the

'

-

which had indicated Federal Open
Market Committee preference for

ent system.

Three Highlights of Federal
,

Reserye Actions in Past Year

Turning to Federal Reserve responsibilities in the field of monetary policy I propose to discuss
three innovations:

report published last
by the Commission on Money

surdly asserted that
confine

its

and suggestions for

situations

"it has tried

recommendations

where

change only to
the

present

structure

has
not. worked
out
well." The Commission then
pro¬
ceeded
to
present
a
series
of
.

recommendations that would have
the effect of

reducing the "mem¬

bership" aspect of the Federal

Re¬

System
and
centralizing
monetary controls in. a smaller
Board of Governors
wrapped In¬

//..

-

,

a

:

-

>

;

Second, the pool of' intemation-"
al "hot money"* has become very:

large - and highly volatile. In the
last three years, convertibility has •
encouraged : the
resumption of
large scale interest arbitrage be-•
tween -countries
and •> signifleant:
speculation in the exchange mar¬
kets; These operations have in¬
volved - the -key currencies partly
because these currencies, by defi- <
nition, are the ones most widely '
held by. foreigners, and partly be-:
cause a large imbalance in pay- :
nients unfavorable to the key cur-:
reneies
has
developed.
Under
adverse; - economic
and -political;

circumstances,

sue

Could result in

the' United States':

h

movements:

(2) RCvlvalof foreign exchange
operations
:

incipient trouble1 and

gain, time while; basic
are Worked

relatively
can

say

out.

a.^ustpiepts

On'the

basis of

brief; experience,* one*
that .they are slowing1
,

down the snowballing effect which,
temporary distortions in the world.
exchange rate system can have.1
Let

me emphasize here that the1
actions, taken; are not expected to

do any more than this.

:

^BaSle Agreement"

V

Helped England

;

,

-

'

»

/

Wtfchout

*

going into substantial *
detail, the first of the innovations
-^possibly of historic significance •»
.

—was

•

the sorcalled "Basle

ihents"

which

central

Agree-,

bank

resulted

in

inter-;

tben the five to 10 year rdnge

the

tions, resulted in a vicious attack
on sterling. The Bank of England

limited

operation

was

and time.

Last Dec. 19,

mittee

moved

in

scope

the Com¬

decisively

scind the "bills

(3) Relief under Regulation Q
raising interest ceilings

to

preferably"

re¬

oper-

ating policies.

But let

or

to ward off

until it had effectively shaken off
the market
suspicions that the

German

arid Dutch

revalua-;

had to put up something like $500
to

$600 million within a two week,
period to defend the pounds-sell¬
ing dollars against sterling atrates .gradually raising the pound
above its post-German apprecia-

only"

me

spend

ting the stage

on"

a

moment set-

which to parade

these innovations. Otherwise
relevance may be
In

broad

obscured.

termination of the "bills
policy has been popularly tiOnJoW-of 279%, and by sellingfoferredHo as "operation1 nUdge." gold to other European cerrtral
This

>

their, It has been inaccurately described
«
by some who charge that; the pri-

outline, the economic

events of the last 18 months have

the

passage
from
the
trough of a moderate business recession,
which
occurred
about
February of 1961, to a generally

levels. While the change in jpolicy
obviously affects the pattern of

rates, it is a perversion of fact to
substitute this result—for; the real
objectives — as I have outlined
rising "activity them,
T %
"
/

based recovery. Although
vigorous in its early, stages, the
over-all

has

course

of

beem supported

bv. forces

of

For

.

the- future, the important
is that the Federal ; Open

only moderate -strength. At this result
writing the prospects continue tb Market Committee has increased
gains, We
.Bfexibilfty in .exercising the
should, note as a characteristic of
broadening range of SyStein rethe business revival,-that
uncer—sponsibilities
!
|
tainties regarding the strength and
course

of the

recovery

prevailed

.

.Revival of Foreign .Exchange

during rnUcti of the past year, and.
Operations
1
the unemployment rate has con¬
The termination of "bills only"
tinued at a higher level -than in
leads rrlearly to the increased im¬
past periods:*
* •
"
*
,

Our policy

throughout the recent recovery has been one- of
monetary ease.
Reflecting this,

banks

for

-

dollars;

Under

the

agreements, the "central banks, re-.
mary objective was to move and ceiving large inflows loaned themto hold!" long and intermediate back to the Bank of England—to
term
rates
at artificially low the extent of about $900 million—

.

serve

;*»

co-operation during;
operations in bills. Following this the sterling strain in* early 1961.
action, the Committee moved into The huge flow of funds within
the one to five year maturities, Europe,.which was touched off by:

(1) Termination of "bills only"

familiar broadly

and Credit. It will be remembered
that .the Committee somewhat ab¬

to

,

the

by

-

marked

Criticizes C. E. D/s

System and

Deposit

directly

First, 4 the United States.' inter-.
national
reserve position, /While

to encourage*8fl GV:0ii7

outflow of funds

^ eigii markets in search of higher
?ates 9ut lf 7?e.
.supplyS
tn10s® cnara5erJstlcs °t ing reserves to the banking sysFederal Reserve System that
te®
because
of
intetnational

.

absorb the

present

Three

prompt transmission of the effects
^jaf ?UF . dilemma. If we gold losses runnihg /to several '
nfLfft&Ptarv noiirv in making re continued to bolster bank reserves hundred million dollars Within a:
**-.
of monetary policy i«
by buying bills, we realized that
serves more or less readily avail
single week.
we might drive
short-term rates
able.
Several moves have been made

draw the line

Robertson

potential. 5 : v :
factors accoimt/for; this..

4

development;

.bwomeqUmeZersanofC^00central

Governor

of payments

ance

cliired to characteristic low levels. position, would accelerate such

■<.

banking systems. Also, "'th'^y1 "point
up the fact that while they are
fu
j
troubles many of us.
greatly needed, we do not pres¬ the
Several members of the Reserve
ently have clearly v defined, na¬ stem from the basic concept ef pTObiems, We would be shrugging
System's
Bbard
of * Governors tionally
accepted
policies
and
have recently discussed some of criteria
d°"
in * important
fields Of
these problems of banking struc¬ commercial
banking. This is cer¬ banking system which assists com¬
The first step in meeting this
ture and regulation. Directly and tainly a matter to be considered mercial banks to meet the needs
indirectly they raise such funda¬ by the President's recently-ap¬ of a large and growing economy. dilemma was taken in October of
mental issues as: What kind of a
when the Federal ; Open
pointed cabinet-level committee In my view,-abandonment of the 1960,
banking system do we want? Or on the country's financial institu¬ "membership" character of the Market Committee began modest
indeed, what kind do we need?
tions.
System would be a move away Purchases of short-term securi-

Where and how you

.

.

'

in;
suggesting that the.

These

,

obviously this is "a very: different ; ,earl?er: «omparable periods. At the still strong, canftot be "permitted
approach from that of the\Com-lo"
P0™* to ; weaken -Withbut .risking a
mission on
Money and Credit, • an(1 capital markets had not eased- ;major Crisis.: Continued large pay¬
which-urges that all commercial; aS >»"<* as in previbus postwar ments - deficits,
and
continued
banks be required to become Sysdeclines- in our absolute reserve",

•

con¬

prosperity with international bal¬
ance has become the core of the
foreign exchange problem today.
Thus, for; an unforeseeable pe¬
riod of time it win undoubtedly
be necessary to weigh carefully
every maj or monetary and fiscal
"decision "hot: only;for its domestic
implications * but also for it^ bal¬

•

prominent' merger applications
New

Pressures; or* Spe<^ative^Oila up;

€owm«wtf*wnfc- liquidity ■ post- •
Committee study whether to dis-; tions-had improved only moder-continue
the
requwemertt • that! atel,y during ther down swing and
national banksbemembees of the?an£s ;^r® tD®ewhat les&iwtuid,

.

terest.

critical

,wef® ^

said the Board, would ,
the prospects of ex-j
Meanwhile, in the interest Of -Terminations • of "Bills Only"
isting small banks nor threaten; First District fehcemending, ;Fye; - -fn iP6a, while the United States
"the preservation of. a banking; been studying System- member-;
was' sliding into recession, Euro-'
structure
offering a variety of ship trends. Over the pastlO years p^ah ^economies were
expanding
banks of different sizes." And you. the assets
of/member. banks' .TOto new higlls. - As the Federal
will further remember that both Massachusetts.; dropped;itcttnWo ;•
open Market - Committee - moved
of these proposed mergers, as^ well- to. 89%. of. .totalcojnmemal_ bank,
to sirpply Reserves' to stimulate
as
the
proposed Morgan New assets m the ; .state. This,, small the: domestic * economy, interest
York State holding company ap¬ change is understandable
Jn view rates moved downward.. Overseas
plication, had been approved by of the mergers and consolidations; tfce burgeoning economies of our
New
York
Bank Commissioner. ofrecent years,, The Mussachusetts
West European Allies presented
Orin Root as being in the public ratio of 89%.
.of,aU, assets is, stjll., jpyestmehf opportunities and ininterest. 5 percentage points above the naterest T^tes that grew increasingly
tional average, and both are well
attractive'for. domestic' investors,Lack of Clearly Defined Policies above the level needed to ensure'

m e mo e r

the

•

not endanger

continually to
r

>

branches,

hand, we have

that

;

denied, as .con¬
public interest, two

trary to the

risks of maintaining
considerably smaller
than in earlier periods since there

the Comptroller of the Currertty
- has suggested that.'.hiS; Advisory-

recently

ernors

*

Oh somewhat the sathe theme,

deposits to 4% are, also, discussed#

Banking in a democracy is a twosided coin. On the one hand, we

.

membership.

tern

Exscutive-slde Of Government in Wash-

.

,

eliminate present dividends arid; trough-. The
reduce the attractiveness Of Sys- ease
yvere

k

ington." Moreover, he opposes reducing the sensitiveness. of. the r.:
Central Bank to the heeds of commercial banks. Turning to the new •. :
"nudging" policy, Mr. Ellis states it is inaccurate to say the primary
objective is to keep'long term rates at artificially low levels. Steps
taken in forward contracts Jn foreign Currencies and the lifting of

trasted with' the year 1958 when

,

Federal Reserve

recent innovations in monetary policy} and
reviews the objectives of the Federal Beserye System now affected so
much by balance of payments considerations. Mr# Ellis Criticizes the
CED Money and Credit Commission's findings vvbioh would abandon
the membership-ownership aspect of the Fe^arhl Reserve System and;,
centralize monetary coutrots «iii a smaller Board of Governors
criteria} discusses three

.

-

retirement of the; the System, moved toward reBank stock would straint within four months of the

Of, course,

commercial .banking policies, and

pointing to a lack of clearly defined

;

;. • -

.

portance

of

the

United

States

so

that the United Kingdom
its dollar, holdings;

rebuild

important: to.v note. that

in

could
It is
these

movements of funds -and specula-.
tive attacks on a particular cur¬

rency, the U. S. dollar, is likely
to be involved regardless of the

strength of our payments position."
European banks typically hold al¬
most rall * of * their
non-gold re¬
serves in U. S.s dollars, and theysupport their own countries'- ex¬
change rates against all - converti¬
ble
currencies - by operating in;
dollars*
This special role of the,
dollar is, based on the assumption
that.the United States will con¬
.

tinue to be the one country in the
world ready to convert its cur--

balance - of - payments • problems. rency into gold in transactions
with foreign, nationals.
These problems bear central re¬
Executive-side member bank
member that the Board of Gov- of
It is against .this,
reserves
have in¬
background,
Government in Washington.
sponsibility for the other two that the U. S.
creased, both bank and non-bank
Treasury and more
Perhaps it will be recalled the
liquidity have greatly improved, highlights of recent Federal Re- recently the Federal Reserve Sys¬
JulyC5~'aI and financial C^nicte, Commission recommended
that and interest rates
throughout the. serve System operations; the re¬ tem itself,, for the, first time since.
,

On the other

hand,




you will re¬

timately into the

r

Volume

Number 6180

196

.

.

The Commercial and Financial Chronicle

.

(383)

the

have the primary purpose of help- .free of

1930's, revived operations in

foreign currencies

in

cooperation

with foreign authorities.

ulative
*

•

German

,

I'm
of

Revaluation

all remember the events

sure

substitutes

in

German

relation

pating

mark

to

the dollar.

further

a

basic

more

objective

as

Federal

action

is

measure

■"/

•

-

•

-

that

ensure

Bank

of

^

the

Boston

yt

The third

innovation "in

,

Board's

action

in

Annual

„

.

of

•

,

.

these

out

of

Association,

Ellis

the

before

Manchester,

Vt.

*

raising the

r

1 ■

TTT

V

•

""JL

the

large

marks.

„.

This

borrowing further
added to the supply of dollars in
Germany. Dollars were also used
to

convert

marks.

other

The

currencies

The

vestors

percent

above

buy marks.

below

or

^-H e-i

reasons;

s ~a

r

vv

^

a

period

was

of

to

buy hundreds

of

short-term

Govern

m e n

authorities

drive

down

in

the

m an

lar

$350

over

once

marks

dollars

contracts

or
:

twice.

chase

less

the

one"

cial

banks

practices had

between

to

move

and

other

stitutions.

banks

1946
.

law

purchased

rates
next

riod.

>

that 45%
or

had raised

intended to do

About cine third had

to the

gone

Walston & Co.

Inv- Planning Branch
Investment Planning Group,
has opened

York

under the management of Morton
Feren. '

McQuade Branch
office

new

He

law

in

r

Japanese

•"

•

•

•

secu¬

31,

'1962X totaled
$67.8
This
figure- compared

foreign investreaching about $100 million

manage-

Foreign

investors

(^pcqfitiea^t^^ied
close

the

of

in

1961

fiscal

Broad

Street

under

1

Palm Beach Inv. Branch

JACKSONVILLE, Fla.
Beach Investment

—

already

>'

v

September, 1961, 13,361.
In April, last year, Japan's For-

England has become affiliated eign Investment Law
Kistler

membms
memoers

&

of
ot

Midwest
*

Co

the
tne

Stock

110
New
JNew

Ex-

*

v

>

-

; The

.

.

_•

'

•

Seaboard Sees. Office
cP«hMrd
.

w^1Ti

from

a

was

foreign

offw

Operations
The

cooperative

governments
in
,

relieving,

had

v

operation
of

thus

of

White & Co., Inc. has
branch office at 52 Wall
Street, New York City, under ;the
a

direction of Gerald Kasten.

|ur

wjicnb-

•

Re- ENGLEWOOD, Fla.-K. McKinley

securities

six-years-and'
-

Smith is conducting a securities
business from offices here. Mail
address is Box 490, Manasota Key.

an
offer to sell rwr a solicitation of an offer to- buy any of these securities.
offering is made only by the Prospectus. This is published an behalf of only such of the
undersigned as are qualified to act as dealers in securities in the respective States.

a

on

into

the

conducted when the
in

war

Berlin, placed

a

neutral

Switzerland.

For

roughly similar reasons; compa¬
rable operations in Italian lira and
Dutch guilders were undertaken
early in 1962.
All in all, total
Treasury operations in forward
contracts in these foreign curren¬
cies, including roll-over of matur¬
ing contracts, have amounted to
about.'$1% billion in the 14 months
following March, 1961. ?■ !
■
'

These incidents illustrate

graph¬

ically that monetary policy can no
longer be considered a strictly
domestic issue.
Federal

to

similar

high premium on the Swiss franc
and drove large amounts of dollars

In these

cases

the

Reserve

Bank ..of
New
York acted in the market as fiscal

'

compete

on

world's largest money market, the
Reserve System is strengthening

ment.;

.-V

•

As banks raise their rates
will

be confronted; with

to offset rising costs.
gree to which

set

the

•

"tiiey

L,

'

r

-

the need
•

rising costs will off¬

benefits

of

increased

$4.80 Dividend Preferred Stock

de¬

posits will be directly related to
quality of the decisions as to

„

redistribution

of

assets

and

the

efficiency of bank operations.

: ■, \ •
The Reserve System has tried to

broaden»the

5

of. choice

range

■

Price

of

interest rates—to make them more

responsive to market forces.
there is

are,

system.

our

•

banking

„

The

sole

objective

of

Federal

Reserve System is service.*

'

mechanism.

confidence

Merrill Lynch, Pierce, Fenner & Smith

port a stable growing economy
with full employment of resources.

able

to

act

lessen the

But

deficit

is

problem.
the
not

in

our

the

dollar.

balance
an

of

payments

extremely

Government

complex
action

in

foreign exchange market will
solve

stated the

it.
case

Chairman

Martin

when he explained

to

Congress that "These System
operations, along with those con¬
ducted by the (Treasury), would




Copies of the Prospectus may be obtained from only such of the undersigned
as are qualified to act as dealers in the respective States,

.

exchange system and
possibility that a future
crisis might threaten international

be

Share

Conclusion

ternational

will

so

per

They have

and will continue to be,

the dominant need of

banks, to provide a smootMy func¬
tioning international exchange

it

position

$100

Plus accrued dividends from August 1,1962

substitute for rational

no

management decisions.

been,

■v

But

tively in cooperation with the
Treasury to maintain a viable in¬

that

exchange

(Cumulative, $100 Par)

.

the

-

26,, 1962

300,000 Shares

-1'

Audi the.de-

effec¬

foreign

Ju ly

more

(1) In world economy: through
foreign currency operations; in
cooperation with foreign central

its

New Issue

effectively, But \
^opportunity in this case, as in most
* ^
others, carries with it a challenge,
—a challenge now directed
prima¬
rily to commercial bank manage- - •

agent for the Treasury.

Building
its established position in the

J
.

(2)

In

a

buttress of

a

...

,

Kuhn, Loeb & Co.
Incorporated

Eastman Dillon, Union Securities & Co.

BIyth & Co., Inc.

„

Glore, Forgan & Co.

Goldman, Sachs & Co.

economy:

Harriman Ripley & Co.

sup¬

(3) In the business of banking:
through operations and supervision, to ensure a sound privately
owned competitive
banking sys¬
as

Stone & Webster Securities Corporation

.

The First Boston Corporation

:

domestic

through monetary policy, to

tem

Incorporated

.

Lazard Freres & Co*

Kidder, Peabody & Co.
Incorporated

.

Lehman Brothers

Carl M* Loeb, Rhoades & Co.

-

Paine, Webber, Jackson & Curtis

free enter¬

prise system.
,.
,
»
Unfettered pursuit of these objectives requires an organization

Hornblower & Weeks

Incorporated

,

/-

-L

V'

Wertheim & Co.

.

.....

.

Salomon Brothers & Hutzler

"<

Smith, Barney & Co.
'

.

White, Weld & Co.

an

1in

J,

opened

New England's commercial banks

two.

succeeded,

strain

a severe

was

•;

efforts

dollar. ~ Since that time,

threat

The raise in maximum permis-;:
sible rate9, we hope, has enabled

S. Forward Exchange

al

Vnrfc

A. J. White Branch
Allen,

revised

holding P«riod to two-years.
was

1

ctrpp*

-

four-year-and-one-day

patria^on
prior to this
one-day,
" •

Gnrnnnrtnn

■

nnprip_i

-

Other U.

Inc.

agement of Duane H. Kunde.

This advertisement is neither

,

• r -

Palm

Company,

has opened a branch office at 2503
Arlex Drive, West under the man-

.

..

the

Ozol.

year,

in

-

•

Co. has opened a branch office at

the

at

(special to the financial chronicle)

and

"

Ozol Opens Branch

,

Japanese-

15,032

March

FAYETTEVILLE, N. C.—Sanford

changes.

'

St.

Charles A.

WESTFIELD, N. J.—R. J. Ozol &

"

31, 1962, A year ago for¬
eign, inve^ors totaled 10,946; and

York

Marshall

.,•••

Joins Powell,! Kistler

St
St.,

North

envisioned

ments

Frederick,,}?. Spach.
\
V
>

Powell

420

management of Ida H.

branch office in the Nis-

with

Floyd.

$21.9 million in fiscal 1960 and
only $9.55 million in 1959.

ment of

P.

at

225- East

v

Building under the
_

40

Exchange Place,; New York City,

to

e

a

Inc.

at

of¬

eastern Securities Corporation has "1963.
sen

branch office

a

.under the direction of

Man¬

WINSTON-SALEM, N. C.—South- in fiscal 1962, ending March 31,

pe-

ceiling/

new

New

predicted that the

million.

.

.

.

ce president m 1951.

opened

formerly manager
department for

their

succeeding interest rate
-

Walter B. Horn

an

Q

by the

so

;

eign investments in Japanese se¬
curities on the Tokyo Stock Ex:
change ; at -the close of fiscal 1961

southeastern Securities

....

1. When we surveyed New
England banks in February we

effective date.

Xshida,- General

•

„

Old
uia

savings in¬

The action went into effect Jan¬

found

and

&

Mr.

"

also includes

securities

Nomura's

(March

St.

clause

Mr. Ishida pointed out that for¬

a

Bond

,

the

raise

uary

anxious to buy

•

six

was

become

Hutton

research

eign interest
rities.
V

Department in

maxi-

signed to encourage saving and to
redress to some extent the balance
of competition between commer¬

rolled

the

would accelerate and broaden for¬

was

D1S^r,rl-

rates under the regulation was de-

As the supply

abated, the premium declined.

agreements

Finally the

As the demand for marks

them.

Other

the

growing
volume of "link financing."

increased,! holders" of

were

Q.

above

andi corporations and the

about

were

agen¬

and

partly as a result of the
repressive ceiling, such as repur-

in mid-June,
and
considerably mere as

initial

some

'

grown up,

million

aggregated

of

of

peak

rates

on

ment

European
accepting dollar time
behalf of their parent

on

at

mum

Germany. The United States
Treasury began supplying forward
marks on the New York exchange
markets. The Treasury's outstand¬
ing commitments in f o r w a r d
a

rapidly
particu¬

-

Canadian

were

hanks

mark and stem the flow of dollars

reached

of

banks

into

marks

mobilized

Domestically, New York
cies

to

on

be

currencies.

deposits

premium

to

Finance Ministry's act as a "truly
epoch-making and significant

Govern¬

could

He

of

ager

age r in

the

re¬

effort

an

1927.

appointed,

for speculative attacks -on

equiva¬

of

F.

waiving the _CASA GRANDE, Ariz.—R. K. Mc¬
deferment
or
holding Quade & Co. has opened a branch

for

Tadasbi

t

that

mil¬

Blackburn

fices, 61 Broadway, in hailing the

flow

added to the pool of "hot money"

Fortunately Germany didn't re¬
deem her large supply of dollars
with United States gold, as she
might have. Instead, the German
central bank joined with Ameri¬
can

reduced

charge
of
United States

outward

Eur©-dollar market. Some of these.

mark; and
requirement, as specula¬
tion drove the premium on the
mark increasingly higher and de¬
pressed the value of the dollar,

Montgomery

160

E.

•

,

Ed¬

—

Aug.L.

prior to the

.

dollar par value of the

lions of dollars by selling
lent amounts of marks.

retroactive

two-year,

;

,

foreign
balance^ * sought • higher'', P°nd Sales. -;
yield than those permissible, under % ■
0 rn
Regulation Q and some were at- joined the
traeted -into
corporation in.
investment
in the.

to fill this

quired

been

has

Co.,

" to

member of the
National Sales
Department in

dollar balances, thus aggravating,
the nation's gold problem. Private

the

the German central bank

revision

the

into

the rules of the European Mone¬
tary Agreement, to hold the mark
within a range of three-quarters of
one

several

/

had

The amended

Blackburn

with

t0rLhe !?.Tura«®.e„c^.;
Ltd.,
was
officially

months effective

G.

associated

Japan's Foreign Investment Law,

Co.,

FRANCISCO, Calif.

mund

.

loilg-aWaited

-(Special to The Financial Chronicle)

SAN

i

most " important was
the fact that inflexibility of time.
deposit rates was contributing to

pbligated, under,

was

ceijing New. .York City.,..~

Among the

buyer would sell ster¬

Germany

•

Ministry's
announcement that the two-year
holding period for Japanese secu¬
rities purchased
by foreign in¬

.

..

lift the

to

made'for

was

ling, for example, to buy dollars,
and then sell dollars to

decision

•/*"

made with- the Finance

•

•

them
earnings hecause of
premium on forward

tV

1'

rities

-

payable on time deposits
under Regulation Q last December' /VP
Rncf nVi
to 4%; an action in which we were
v/JL ,*iMI O t DUo Uilr ; : jouied by the Federal Deposit In% V
;
surance Corporation.
I personally Walter B. Horn has been elected
think that action on this front was - a vice-president Of The First Boslong overdue. ■
;■
>T
v"u
/;
ton Corporation, 20 Exchange Pi.,

borrowed

1

The

>

terest

repay

With E. F. Hutton Co.

TnVPQt

luvcot.

o

Japan has opened its door wider
for increased foreign investments,

the

Massachusetts

was.

permissible maximum rates of ;in-

of future

Edmund G. Blackburn

1X0x0.111^ Jt 61*10(1

three

»

by Mr.

Convention

Bankers

mone¬

tary policy in recent months
the

^

each

:*An addres*

;

;

responsibilities in full

in

,

dollars, expecting to

,4-q *
v^/LlLo

|

___

Relief Under Regulation Q

Others, to

.

areas.

1

in the

mark, import¬
ers
and exporters
dealing withGermany hastened to buy marks
with dollars before the price of
marks
went
any
higher., Some
bought marks with dollars looking
for the profit which further re¬

to

Reserve

fulfills its

dollar value of the

valuation would bring.
secure
forward cover,

for

They

serve

ments."

Antici¬

increase

funds.

CljJclll
.

to correct the deficit in this coup-

increased

was

of

Ty*

men

seeking to make decisions in the
best public interest. My personal /H
OTV^lOTl

try's balance of international pay¬

March, 1961,: when the value of

the

flows

would not and could, not

political opportunism, able

to attract and hold dedicated

ing to safeguard the international
position of the dollar against spec¬

.

11

jheoivoatBd

Dean Witter & Co.

Chronicle

The Commercial and Financial

the human factor of man¬
agement which cannot be forecast.
I feel, however, that some of the
15 will turn out to be great dis¬
upon

Growth Companies for

Diversified Holdings

<

should

that

This leads

distinct growth possibilities

companies believed to possess

stocks is

not

is

This

endorsement of
not recom¬
stocks
in
this

an

over

and

Although Corning Glass Works
is
best
known
for its "Pyrex"
specific
column; I will, however, discuss glassware, its great growth should
ten companies whose stocks are come from new modern buildings.
listed
on
the New York Stock More glass is continually being
in
new
office
buildings;
Exchange that I believe have a used
while factories will appear as be¬
bright future.

stocks

above will some day

ing built of all glass.
Owing to social

security, retire¬

pensions, etc. many men and
women who are now doing office
work will retire within the next
ment

This

ments.

chines "to

by these people—es¬

done

being

work.
Among such companies I might
especially mention the Addressograph Multigraph Corp. and In¬
pecially speeding up said

include

also

will

This

ucts.

hopes to get one million of
TV cabinets into the public

schools,
hospitals,
and
office
buildings. I believe that TV will
revolutionize
teaching
in
our
schools. Zenith Radio is also

lead¬

ing in color TV.

is known

company

as

"Three M's."

the

and "Home

more

money

chemicals which
may provide living cells. My first
choice is American Cyanamid.Co.
and

two

RNA;

Hopedale, 111.,

of

town

BARGERON

simply

ties

J.

Jackson, Lockett
& Gieselmann

speak

decided

he

that

facilities

of

Building to engage in a
are

Principals of
Donald L. Jackson,

E.

Lockett

business.

securities
firm

the

William

Paul

and

Jackson

Mr.

Gieselmann.

Knoxville

was

for

manager

associated.

also

T. King Jr.

With

A

meeting

—

this
of

Federal

held at the town

the

weeks later

and two

selling

busy

was

build

to

decision

a

in

hospital

a

and

18

recrea¬

four

are

single

room

has

been

done

Hopedale

by the

without

any

state aid.

or

SBIC Data

committee

for

bonds

its

construction. Within 16 months the

hospital

with

completed

was

20

beds and six bassinets. It has gen¬

facilities, including
surgery,
maternity, emergency
room,
X-ray,
laboratory, blood
bank, pharmacy with a full time
pharmacist, etc. At present, the
hospital has eight staff physicians

eral

hospital

40 consultant

of

ment

four

20

discounts

substantial

estimated

largest pub¬

business invest¬
are
selling at

small

companies

to

a

by

Greene

firm also

in

share,

per

statistical

according

their

from

value

cash

published
The

has

the

licly held

tually

area

hospital had been in

the

Nine

and

the

nearby large cities.

After

Given in Study

specialists from

from

attendance

the
hospital
always operated in the black.

Calif.

FRANCISCO,

All
town

Financially,

(Special to The Financial Chronicle)

outside

There

units.

to

attended. This resulted

leaders

over

SAN

apartments

.

was

and

facilities.

hall at which about 100 community

in

Henry F. Swift Co.

director

tion

and then

mind freely

his

close his office.

Burwell

not

pletely fire-proof and of brick and
masonry construction, it has many
a
hospital, a nursing horne and features such as private entrances,
a home
for retired folks. All are aid conditioning, wall-to-wall car¬
operated
on
a
non-profit basis peting, tiled bath and shower,
emergency intercom to the hospi¬
which makes it possible to take
care
of the needy at no cost or tal, large parlor and dining room,
barber shop, beauty shop, hobby
little cost,, as the case may be.
and crafts room, a full time activi¬
The mainspring was Dr. Law¬

Rossi, who had opened a
office in Hopedale but
became so discouraged at the lack

KNOXVILLE, Tenn. — Jackson.
Lockett and Gieselmann, Inc. has
been formed with offices in the

place to live. It is a resi¬
an
institution. Com¬

a

dence,

population 500, has worked out its
own
medicare
problem. Within
less than five years, it has built

part-time

research

on

any

little

The

rence

probably

other group. Further¬
more, they are on the verge
of
making some very wonderful dis¬
coveries in connection with DNA
than

$1,000.

were

companies

sell for over

McCarley & Co., Inc., with which
Mr. Lockett and Mr. Gieselmann

Products"

drug

In

discussed

those

among

formerly

Companies

Drug

The
Machines. I
Zenith Radio spend

which

its

ing, and ventilation systems the
products of Minneapolis-Honey¬
well Regulator may be in great
demand.. I
could
also
include
Minnesota
Mining
&
Manufac¬

Business

ternational

buildings

new

there will be
demand for ma¬ turing in this general growth due
office work now to their ingenuity and new prod¬

means

increasing
do

an

replace¬

fewer

years—with

few

of all kinds
will need automatic heating, cool¬
As

back.

hop

should

prices

fact, I believe that the combined
average price of the ten "lucky"

Building Companies

"Growth Stocks." I do

Equipment Companies

CARLISLE

BY

large

a

established companies

of

mend

Office

Ahead of the News

...

to emphasize once

during the recent great stock mar¬
ket decline have nothing to fear.
The
dividends need not be cut

favored are not

New

me

distributed

number

stressed with the admonition that some of the companies
necessarily invulnerable to disappointment. None of
endorsed or recommended — but merely discussed.

tages are

five

the

money

They are in office equipment, camera,
building, drug and home products areas. Diversification's advan¬

the

Thursday, July 26, 1962

great importance of di¬
versification. Those who had their

ticked-off by Mr. Babson.

new

.

FROM WASHINGTON

soul

the

which are
be avoided.

tell

now

more

Fifteen

but no living

appointments,
can

By Roger W. Babson

are

.

.

(384)

12

report

and

Co.

reveals that vir¬

of

the

SBIC's

covered

study

are

selling

at

all

the

even

sharper discounts from estimated
asset

value

Those

share.

per

companies selling at dis¬

counts from cash value are South¬
Lederle Labora¬ Thomas EWKMg, Jr. haS'^become
operation about a year, it was
I also think that Bristol- associated Mth Henry F: Swift & noted that a nurses' residence was eastern Capital (37%.),",,Wc(ter'tIn¬
dus tries
These companies not only make Myers Co. has good growth possi¬ Co.V 4'53 1 Montgomery St„ mem¬
Corp.
(34%), Westland
needed. Adequate housing for the
a
Capital (26%), St. Louis Capital,
profit on the sale of their bilities; and also Plough, Inc. of bers of the Pacific Coast Stock nurses
just didn't exist in this
Memphis. However, perhaps the Exchange. Mr. King was formerly
cameras
and films to the public;
(23%),
Gulf-Southwest
(19%),

but
to

also

are

the

ilies

S.

U.

not

are

(which
tories)'.

Companies

Camera

making large sales
Government. Fam¬
content

to

the

but each member of

camera,

family wants one. The family also

models

latest

buys

the

come

they

out.

as

best of all is the
of

one

own

Among these the Eastman Ko¬
Co. stands out most promi¬

dak

owns

great duPont Co.

Wilmington.

Evans

My mention of "Home Products''
in

the

heading is

above

little

because

C.

Walter

with

thereto

he

business

was

in

&

and

Co.

Gorey

MacCormick

Prior

Co.

in the investment

a

Cantor, Fitzgerald Adds

handling some products ordinarily
sold by Proctor & Gamble which
could

also

listed

be

companies

two

These

here.

should

that

(Special to The Financial Chronicle)

Lee
Soble has been added to the staff

nently. The Polaroid Corp. is very

are

profit by inflation—toward which
we are surely headed. Let me add
the
steels,
coppers,
oils
and

formerly

natural

Calif.

HILLS,

—

& Co.

royalties

if

want

they

to

hold

Co. has

some plans along
using part of the huge
made from
their razor

Gillette

business.
should

All

of

three

the

growing population of the U.
which

in

should

reach

230

S.,

million

North

Drive.

Canon

with

He

Raymond

With Shearson,
Rely

This
all

on

makes

which

was

Moore

corporations
have

believe

1

readers would

like

me

in

distinct

to boil the

list down to ten companies. I
do

this

as

much

so

Hammill

(Special to The Financial Chronicle)

Averages

15

growth possibilities. I suppose my

not

1975.

most

Cantor, Fitzgerald & Co., Inc.,

232

sources.

above

profit from the constantly

yes,

of

companies with great natural re¬

these lines,

profits

companies;

gas

will

depends

from

a

some

people donated labor
financing supplied the

remainder.

The

donated

BEVERLY HILLS,

Calif.

—

Glen

Highman has become affiliated
with Shearson,
Hammill & Co.,

H.

9609

Wilshire

Blvd.

He

by

furnishings

were

lady.

grateful

a

six

accommodates

residence

The

BEVERLY

progressive and has many valu¬
able patents for the use of which
other camera companies must pay
their trade. It is rumored that the

Money was borrowed
savings and loan associa¬

and private

force

sales

large

very

a

done.

tion,

Chicago.

the American Home Products Co.
has

job

It was rela¬
simple matter to get the

country town.

tively

the

of

end

a

it

year

was

that

the patients were not
They stayed and stayed
and stayed. Doctors were com¬
plaining that beds were not avail¬
able. The ancillary facilities
—
noted

leaving.

the

beds

hospital

almost

were

It developed that patients with
illness had finally filled
the beds. These patients needed

Merrill
Lynch,
Pierce, Fenner & Smith Inc.

nursing
of

cided

but not the facili¬
hospital. So it was de¬
build a 40-bed nursing

care,
a

to

home. Private financing built the

securities. No

State

an

offering is made

offer

to

by

except

sell
a

nor a

solicitation of

an

offer to buy

any

of these

Prospectus filed with the Department of Law of the

of New York. Such filing does not constitute approval of the issue or the sale thereof by
the

Department of Law

or

the Attorney General of the State of New York.

NEW ISSUE

July 23, 1962

nursing

home,

sold

were

Certificates

too.

for $750,

and

Capital
I. C. of
Business

(8%).

Total

shares

underwriters,

assets,

outstanding offering price,
market

current

price

and

per¬

centage of assets invested are also
in

the

Greene

Greene and Company
its

companies

report.

maintains

37 Wall St.,
New York City. Copies of the re¬
port
are
available
for general
at

headquarters

distribution.

General Motors
Common Offered
Morgan Stanley & Co., New York

City, heads an underwriting group
which is offering for public sale
1,589,680 outstanding common
shares of General Motors Corp. at
$49%

each redeem¬

share.

per

purchased from
a
stipulated
four stockholders: Christiana Se¬
certificate, or
curities Co,, Delaware Trust Co.
payable in cash at face value in
as trustee of certain trusts for the
20
years.
This method supplied
for

able

$1,000

monthly

rate

half

about

struction.

! lio,ooo,«oo

B.

S.

(11%)

always occupied.

ties

This advertisement is neither

Funds

(18%),

(14%),

York

X-ray

chronic

with

New

and pharmacy
all showed declines in income, yet
laboratory,

was

formerly

Capital

Southwest

listed for each of the 24

nurses.

At

Sierra

from

at

per

the

money

The rest

benefit of members of the duPont

for

con¬

borrowed

was

and

savings

a

The shares were

loan

asso¬

ciation.

family, Longwood Foundation, Inc.
and William du Pont, Jr. None of
the

of the

proceeds

sale will go

to General Motors.

Not

GULF AMERICAN LAND CORPORATION
6/4% Convertible Subordinated Debentures, Due 1977
Convertible into

initially at $7,875

per

common

stock, par value $1.00,

Share, unless redeemed prior to maturity.

long after this building was
completed, it was noted that some
of the patients did not need nurs¬
ing care but were in the nursing
home because they were lonely.
It
rate
to

of

at

par

decided

residence

remove

from such dealers

as

may

be obtained from the undersigned and

lawfully offer these securities in this state.

nursing home

came

cover

tion.

plied

STREET &




CO., INC.

MORRIS COHON & COMPANY

a

and

I.

to

its

the

moving

enough

a

Pont

de Nemours

common

& Co.

the

stockholders,

taken by du Pont in
compliance with the Final Judg¬
ment entered by the U. S. District
Court in Chicago.

first

step

money

savings
The

■

entire

Now With Marache

spirits

money

was

and

job

sup¬

loan
was

accomplished with private funds.
The residence for the elderly is

,

(Special to The Financial Chronicle)

to

the entire cost of construc¬

Again the

by

du

was

with

association.

selling

approximately 23 million General
shares on July 9, 1962 by
E.

care.

the

Motors

sepa¬

be

offered include

by

stockholders in the distribution of

simple. All the
properties
were
refi¬

up

received

elderly people

them from the nursing

Financing
nanced

may

for

build

resident is only about half that

complex

Copies of the Prospectus

a

home atmosphere. The cost to
a

Priced

was

The shares being

stock

LOS

ANGELES,

Calif.—Ray

W.

Caldwell is now with Marache &

Co., 210 West Seventh St., mem¬
bers

of

the

Exchange.

formerly
Xt

Cn

cjnrl

Pacific

Mr.

with

Coast

Stock

Caldwell
was
Bateman, Eichler

"nnmr^cmr-Tpcrplpr Xr

Cn

Volume

196

Number

6180

.

.

The Commercial and Financial

.

Chronicle

(385)

13

"V

pieces,

Bond Styles Must

Change

Igonds;

indenture

stressed,

are

The

and

(3)

advantages

of

welcome

acknowledgement is
Association's independent effort to achieve

made of the American Bar
a

provisions.

and

model

corporate indenture.

Just three years ago, in an articlei
on
the
new
look
in
municipal

bonds, I had the temerity to
that

the

volume of

greatly

sug-

increased

mu¬

of

New

later
the

York

State

sitated

Federal

Felix

a

streamlining

of

dling

new

Since

that

have

of

to

separate

accompanying

ment.

docu-

-

During this
steps

have

establish

of

period,

same

also

$25,-

estimate

is

been

many

taken

to

uniformity among
For example, last year the
City of Pawtucket, R. I., in cooperation with the First National
some

bonds.

credit is

for

due

in

of

excess

sorting
idea

magnetic ink

each

of

but

in
this

required special

it

one-

electronic equipment

purpose

which

aid

since

abandoned

have

the

on

to

coupon

and processing,

was

would

would

have

been

prohibi-

tively expensive.
bond
oona

more
More

recently
a
new
recently,
a
new
has
been
developed

form

the

on

for

used

be

can

bank

is

which

Why,

For

checks.

6"

a

2%"

x

ex-

coupon

magnetic

banks

all

do

equipment,
bank's

of

states

and

not

by purchasing $5,000
denomination bonds.
It
wasn't

js

But

before

associations

of

the Life

as

even

ertia

behind

aiso

overcome

this

Association

ance

needed.

and

in-

reporting.

are

move-

savings

a

mi

.

agent

is

that

reporting

some

within

two

5-"

4-u-

*

i

a

obvious. Coupon count-

is

that
in

bonds
will

fully

As
the

the

probably

large

volume

which

can

be

standard

larger issues,
always be a

of coupon bonds
efficiently handled
check

bank

equip-

ment.

*
^

.

„

..

_

■

.

$5,000. Denomination Bonds

enthusiastic

new

these

are

denomination

-.

to the Town of Greenwich, Conn.,
which has two issues in this form

outstanding.

In

February of this year, the
State of New Jersey made history
with its $42 million bonds in denominations
to

new

an

be

familiar

all

with

LIVINGSTON, N.

of

Feren

is

of

that

have

$5,000, the largest
date.

been

Since

several

then
other

large issues including $79 million
1 The

The

1959,

New

Trust
pages

—

a

goal.

I

business from offices at 244 West
Hobart Gap Road under the firm

ting

and

reduced.

steadily
a

printing
Other

factors

increasing costs
new

name

in

of

the

Co.

Arthur Flowers

mar¬

issue might be

Opens

LIVONIA, Mich.—Arthur Flowers
is conducting a securities business

ar¬

rested.

an

of Feren &

costs might be

from offices at 35451 Minton St.

offer to sell

nor a

solicitation of

an

offer to buy these securities.

by the Prospectus.

Fifteen Year 5*/2% External Loan Bonds of 1962

course, to a wider
registered bonds,

>

Price 96V2%

of

use

of

fully

already related2 my own
amusing tangle with one
of the financial columnists, which
triggered'a -detailed discussion of

(in

the

same

manner

Copies of the Prospectus

dividends), thus avoiding
the problem of mislaid, mutilated,
or lost coupons.
Let

illustrate

me

dollars

and

has

$25

million

amount of coupon

;

obtainable in any State from only such of the undersigned
as may lawfully offer these securities in such State.

-

Harriman Ripley & Co.

Kuhn, Loeb & Co.

Incorporated

Incorporated

The First Boston Corporation

Drexel & Co.

Lazard Freres & Co.

Blyth & Co., Inc.

Smith, Barney & Co.
Incorporated

The Dominion Securities Corporation

principal
bonds in $1,000

Eastman

Dillon, Union Securities & Co.

Kidder, Peabody & Co.
Incorporated

Ladenburg, Thalmann & Co.

savings
Suppose an

insurance company, pension plan,
or
other
large institutional investor

.

these

cents.

are

and such other dealers

as

stock

in

payable February 1 and August 1 in New York City

bonds; t

j've

check

Due August 1, 1977

August 1, 1962

with

refer,

Dominick & Dominick

Look

in

R. W.

Bulletin,

Municipal Bonds,
Volume
38,
May,

24-28.




2 "What's

The

Trust

ber, 1961,

New

in

Bulletin,
pages

Corporate
Volume

36-42.

41,

Trusts,"

Pressprich & Co.

Decem-

July 25,1962.

Beverly
securities

provisions, multiple proof-read¬
ings would be avoided. Typeset¬

Hallgarten & Co.
Swiss American Corporation

White, Weld & Co.
Wood, Gundy & Co., Inc.

Bell, Gouinlock & Company
Incorporated

.

J.
in

engaging

-

Dated

He

Forms Feren Co.

appendix to
Since

securities business.

a

w.

sec¬
section

standard
as

indenture.

in

formerly with Bear, Stearns

& Co.

these

but interim steps toward

are

ultimate

the

we

bond forms and

coupon

larger

as

develop? the advantages of fully registered
ment
has
been
the
enthusiasm bonds.
Very briefly, registered
with which municipal finance of- bonds, unlike coupon
bonds, can
ficers have embraced the $5,000 be
replaced if lost or stolen, re¬
denomination bond. The pioneerquire much less vault space, and
ing in this movement is credited interest payments are made by

issue

was

$20,000,000

bank's

there

gage

are

pay¬
could be

HILLS, Calif.—Robert

Boorstin has opened offices at
North Bedford Drive to en¬

New Issue

the

.Another..encouraging

now

702

etc.,
"definitions''

the

The offer is made only

Fully Registered Bonds

chore which
Though it

exacting

the

-

indentures

rates,

in. the

would

us

This announcement is neither

Interest

mechanization.

AAA

dates,
'Tnen

could be added

each

some

•

£esg

registered

on

weeks

L.

ened distribution. Apparently, the

hoped

pon

tion.

at the elos- keting

*ully registered

$1,000 bond has now been broken
and
another
archaic
financial
prac^ce has given way to prog-

bonds will eventually replace couthere

ment

handled

graph's recent $300 million issue
was

subsequent

the

(Special to The Financial Chronicle)

BEVERLY

printed, variations in interest

but the
lr\& momentum. Only about 25%
American Telephone & Tele-

inertia of strict adherence_to the

tedious,

needed

As

to

of

R. L. Boorstin Opens

plates at the prin¬
financial
printing houses.

cipal

Bruce A.

—

added

fice, 44921 North Cedar.

have

and

been

Company, Inc. has named
Charles O. Schaub registered rep¬
resentative in their Lancaster of¬

do

as

has

&

officers

to standardize

provisions

common

The

LANCASTER, Calif.—Christensen

them set up on

.

ing and processing has long been
a

the

spon¬

of

Norfolk,

With Christensen Co.

mat¬

we were

Division

Fulton, Reid & Co., Inc.,
East Ohio Building, members of
the Midwest Stock Exchange.

rem¬

miscellaneous

these pages,

Conference

Association,

large denominations have broad-

number

route

and

significance of this devel-

opment

Suppose

1S a" S°lr)§ to take time,
movement is clearly gain-

of

>£„s"e.. Tims amounts to almost a
5»% reduction in costs simply by
changing from $1 000 denominaMon.®
$5,000. Other cities report
similar savings of from 30% to
50%, depending on the size of the
lssl|c
the larger the issue the
greater the savings, of course,
Underwriters, too, are enthusi-

electronic

paying

tvnp
•

iThe

staff

attorneys, attorneys
buyer and seller, and
the staff of the SEC
a bevy of
rather
high-priced proofreaders!

derwriters must encourage investors
by apprising them
of the

large

The City of

realized

Blackie

and

through

Trust

Trust

Bankers

CLEVELAND, Ohio

holders'

our

by Mr. Myers before the

half

as

provisions,

Time after time

talk

the

(Special to The Financial Chronicle)

...

ment has snowballed.
Now
a
further advantage is
coming to the forefront—the substantial savings which municipal-

ities

debenture

lan¬

With Fulton, Reid

in

for both the

Insur-

the

on

other

the

standard

seeking.

Virginia.

underwriters'

un-

of

point

merger

wade

Companies, all were encour- #ie barrier caused by the tradiaging
finance
officers to issue tional premiums at which coupon
bonds
in $5,000 denominations, bonds are sold,
that

that

a

by

American

typical inden¬
much

as

the

are

Southern

sored

in event of default, trustee's

ters.

Education

Brokers

a

discover

duties,
rights,

ty

From

will

we

*From
Fifth

indentures

of

become

has

It

by the trustee and company,

long-standing

anachronism.

guage

think

language, large parts of it re¬
quired by the Trust Indenture Act.
These provisions deal with reports

will

the

will

I

ard

revised,

legislation

new

completely

financial

space

investors such

be

proof

several

the storage of $1,000 bonds, were
alerted to the possibility of saving as much as 80% of this stor-

long

must

another

the pages are more or less stand¬

exchanged
later for registered pieces. These
state statutes

progress

propose

instances

many

of

number

be

after

you

thes^
edies

may

to

project which
special attention.

ture,

municipalities, out-

bonds

coupon

institutional investors,
literally miles and miles of
shelves in their vaults devoted to

age

matter
a

like

will examine

you

dated statutes permit the original
issuance of only coupon bondA
though in many instances

Banks

space.

would

development,

other things, of a model
corporate indenture.
Perhaps
portions of this model indenture

among

Standardized?

containing page after page of vir¬
tually standard boiler plate.
If

then,

To some extent it's a
needed legislation. In

$380

the face of each coupon

name

appear on
larcm

have

not

the

.

bond

me that our of¬
ficers spend hours on end reading

have we seen less
here than with the $5,000
denomination
bond
movement?

large

with

ink characters.
The coupons are three to a page
in book form and perforated to
assure
uniformity in size. Since
bearing

a
system might even go
reducing the burdens of the

SEC. ;,

processed

ample,
the
City
of
Worcester,
Mass, has issued a bond which
measures 8.5"
x
6", and attached
to

Such
far in

always appalled

progress

ew IJnnn ■
f a savings oi
?ver $20,000 m the costs of printequipment presently being *n£ and signing their $89 million
which

coupons

fully

qnthusi-*
insurance com¬

Indentures Be

needs

Such

line of

a

been

the

important

.

back

had
as

Encouraged by all this
I

holders.

of this developinteresting.
The
began with an effort
vault

Can

convenience, economy, and safety
America, the jn holding registered 'bonds. IsBank
of Boston,
issued a bond American Life Convention (which cUPro must follow the lead of the
8.2" x 4.7"
in
size
attached
to together are composed of over 420
u.
S.
Treasury
and
American
which
are
books
of
perforated insurance
companies), the Na- Telephone & Telegraph Company
coupons 3.4" x 1.5" each. On the tional Board of Fire Underwriters
in allowing a purchaser of
regisreverse
side
,of
each
bond
is (212 fire underwriters), and an- tered
bonds at least one free cona
reproduction of the legal opin- other 140 firms represented in the version to bonds, in counon form ion.
Originally
there
was "to Association of Casuaty and Surewilldo
to break down
be

issue

JUst

nomination

advantage is that the company has
proof
an up-to-date record of its bond-

New

with

back of each bond, rather than in
a

Bank

most

conserve

and

Ray F. Myers

the

on

is-

history
is

movement

counsel

printed

Reserve

totaling

ment

ap¬

the opinion

has

area,

The

with

peared

this

.

million have been marketed.

is¬

new

Connecticut

to whom

sues

time,

many
sues

this

han-

issues.

issued

recently,

been accomplished in
has just completed a
study of these new issues. He reports that in the period from Jan.
1
to April 10, 1962, some 23 is-

mechan¬

ics

of

both

More

much that's

cumber¬

some

approximately

that

coupon bonds,
Issuers, too have much to gain
{jjf issuing fully registered bonds,
e. lnl^ial costs oi printing and
1SSU11J£ ar? smaller, and subseQuent clerical and handling costs
a^e greatly reduced. A further

$53,680,000 in this form. Mr.
T.
Davis, Vice-President,

York,

of

the

bonds

that month.

sued

some

total

Note

handling the

in Public Housing Administration
bonds and over $89 million City

nicipal financing neces¬

of

the

of

the

11' i <

gest

44%

The

When I posed this
possibility to
movement, so two of my lawyer friends a few
based on costs—just the basic ex¬ would
a
carefully guided cam¬ months ago, I learned that a Com¬
penses involved in rental of vault paign among
brokers, underwrit¬ mittee of the American Bar Asso¬
space and the cost of clipping a
ers, and investors accelerate the ciation is
pursuing a similar pos¬
half million coupons over a 10- inevitable
acceptance of fully sibility.
Mr. Leonard Adkins, a
year period.
By way of contrast, registered bonds. Before too long New York
lawyer long recognized
a
single $25 million registered I expect to see some economy- as an
expert in this field, has been
bond, on which interest would be minded company team up with a asked
by a blue-ribbon
commit¬
paid by check, would entail cus¬ farsighted underwriter and
pio¬ tee
of
lawyers
and
corporate
todian
expenses
of
the
only about neer
first
fully
registered counsel from all over the country
$420, only about 2% of the cost of corporate bond!
to
assist
in

banker details the pressing need tors (t) streamlining
cumbersome, nonuniform bonds; (2) revising outmoded statutes to
permit issuance of registered instead of coupon
common

all.

astic
support of
panies helped pace the $5,000 de¬

000.

Chicago

bonds

in

ing the 10-year life of these bonds

Myers,* Vice-President, Continental Illinois

National Bank and Trust Company,
Chicago, III.

registered

units

registered.

would

By Ray F.

standardizing

25,000

cost of the custodian services dur¬

14

The Commercial and Financial Chronicle

(386)

These

Future

Steel Industry's

two

had

will continue

and

bearing

Professor of Economics and
of the Industrial Economics Program, Fordham University,

By Rev. William T. Hogan/SJ.,*
Director

New York

the early

the.

.

changes

happened, for that is already,; his-, ^f steel by 1965.
~
toryy but what may well happen
Xn the past two

.

vplurfle in the next. few

Such

years.
•

with

attempt is fraught
and * pitfalls,

an

difficulties

it must be

However,

:

undertaken

:

are

we

to

run

our

begin ning."
report

went'

amount of

that
would

be
t i

1 .increase

a

in

steel

.

1 Qnl

in

in

for

±or.

shipped

tons

ap-

was

.

.

&958

duction

1859°

and

industry

i_,

n

or'two

transmission

.

has

made

a

line

drastic reduc-

•

,

pend

the

in

on

the

-

/

steel

^ is a

has been compelled , to make a

considerable investment in facil-

w

ev.

projection,
at

g

i

.

optimistic

an

years

of

paradox

the

iron

the

United

in

and

indus¬

steel

^^
we

comnanies
companies,

need

of
,

in.vot

xo
to

1970,

total

States

the

of

additional tons

4 million

for

LK

capacitv

every

so that by
that

up

year

tons.

,,

was

These

facts.

the

are

-^

W6

nniv

fVint

r

thoight°out
"T6"'
wen
weji

as

How

can

the

economic

j^at w; 1962

should

industry
be

to

thep

concerned

d

the

cause

is

possible

economic

steel

means

ence,

noit only

the

be¬

survival

continued

of

exist¬

of the industry on

profitable basis, but of the com¬
panies that comprise the indus¬
try, for the industry is a compos¬

a

.

-t

hp
Tn

hp

will

,

..

„

• • •

is

f

trv

to

not

if

unfounded

old

professor

to

"He

sav

to

try

ttiat

economic

system

industry is in essence a union
private citizens, it must be able
from the resources they command

a'lwavs

who

stood

cento™

extreme

an

used

in

the

'

-

No

•

Longer Unchallenged

it

in

.

.

sustain

itself,, provide

for

growthjand development and
just reward to all who

sure a

both

by the taxes of the citi¬
according to a political deci¬
Government.

industry, therefore,
it

must

assure

its

If

an

is to survive
by its

survival

economic power. This means,
to be blunt about it. that it must
make a profit.
Thus, profits are
own

the
of

key to the economic survival
industry.

If

we

an

find

low
and

and

States

.

1

and

they

some

we

tend¬

time. Last

considerably be¬
those
posted in 1958, 1959
1960.
Further, the $692 mil¬
were

lion recorded in 1961

was

substan¬

tially below the profits recorded
for the 1955-1957 period when the




cars,

but

more! than

likely it will be lower. Furthermore, almost one third of these
almost may well be compact cars which

of
insatiable.
ravages

As

.

the

steel

In

the

it

duced

recovered

greatly,

the

57%

we.

of

United

of the

than

been estimated that the corn-

Puct-car requires about 1.8 tons of

to

competition.

world

steel

exex

began

States

less

the ®0i«?lled .standard mo^ts.. It

their

then
then

and
and

pressure

1947

and Japanese

considerably

use

-

European
capacitv
capacity

panded
feel

seemed

war,

industries

former

restoring the

was

However, the. rate of-growth wilUand here again the price , is lower
be slower, and the fact of growth, thanhave going market price.,Thus
the
serious situation here
can,by no means be taken for as the
» epnnnr
price structure comes un¬
granted.
. ;
r,
der '
we

steel

while

a

standard

model

re¬

quires from 1.8 to 2 tons of,steel.
Thus

we

see

that there

is

a

con-

steel*

in

a

and 7 anything that
price of oil will

pressure

Oil

Gas

and

V

will

oil arid gas industry is an¬
principal consumer of steel.
However, here we see that during
the past few years there has been
The

other

definite

a

in

decline

the

fact

peak

of, 58*000
has

the .number

47,000 in 1961.
.

More
of

drilled
more

wells
come

of

in

1956,
down t°:
:

*

'

important than the num¬
is the total footage

wells

since

this

accurate

effect

the amount that

on

in the United States.

This, in turn, will affect the, demand that the oil industry has for
steel.'
Thus

:

"

'

"

not

does

it

"

appear—al¬

pessimistic—
is going to
be a substantially growing, market
for steel in the years ahead.
It
should maintain, however, a de¬
mand for tonnage which is close
to the average of the last three

fallen

five years.

an

is produced

though again I want to stress the

has

last

have

the

sharply
From

number

the

affect

oil

the

drilled

wells

ber

is due to

that

within
a

amount

the

of steel consumed. This

pro¬

cline in our-share in the interna-"

basis,

million

throughout the rest of the world,
which

'• Rather1 stringent mandatory
quotas on ^ imports have been
maintained, and to, some ; extent
this has kept the situation in balance. However, whether this will
continue remains to be seen, for
o*» r*nort.s, srp ver-v- often tied to

ana.

the consumption of steel.This .also made barter deals with the
should ft remain so in /the future. Italians for steel in place of oil

car

products'output, at best, at an average of

its

United

industry-wide

ing downward for
year

steel
the

look at the record of steel

that profits have been

10 million

If such a prophecy was realized,
unquestionably it would have ereated a growing demand-for isteel.
However, since -1955 there has

1950, this share fell to 44%; and
in 1*961, dropped to 25%. 'These
figures indicate the drastic de-

an

on

for

much of

financed

of'the

a

War

in

_

.

duction. However, there are some "war Their production is now alsigns, , such as the aluminum end most half of that of the United
beer can, which, indicate that the^ States, and/ in. some instances,
statement :raayr well have: adhey have, shipped- it abroad to
foundation in fact.. On balance, countries in the free.world for as
however, the.: container industry .much as $1.00 a barrel less than
has been a growth industry for., the going price." The Soviets have

in the not too distant future

this country had

mand

as-

can

million

growing'industry -this area, for beer cans represent The Soviets have begun to use oil
increSing about one-sixth of total can pro;, as a . weapon in the economic cold

its. foreign steel producers. ' The de- for the next few years plaqe- the

its operation.
An in¬
dustry, .in other words, is not a
department of a socialist state

sion

a

.

con¬

transport

one-half

provide-an

H, -the steel industry output in the last four years has
little, if any- been considerably less than 6 milthing, to fear, from competition by lion passenger cars. * Projections

tribute to

zens

will

year

•

held

World

,

.

during and immediately after World War II.: For a b.een very little talk of a 10 milperiod of almost 10 years after*'Won car year;, in fact, .average

of

than

more

to

bulk carriers

of the

some-

spoke in terms of

»

an

xo

.

market for steel as it did in' the
1920 s and again in the 1950's?
The ' industry - has produced as
many, as 7,900,000 passenger cars
in one year. This was in 1955, and
at r that time many responsible
people , in the automobile ' world

de-

emulate

mine

of

take

used

tankers

the

it. Some

.f

Question;.-Is-it

steer

and

unwarranted

or

Ishall

gree.

of

a
production becomes a
part of rtotal output.

the

Another factor
sWPraents' and ™ 1981- diction, to. be so majiy others, re- political considerations. is somelike .verified,' and ;it is,-. Anoxner-lacxor which is
'i, mains'
wnicn
- In regard to-the automobiie in-'Quite certain that the steel indus- -what ominou^ in the oil picture
dustry we might well ask the fry will put up a stiff battle m is the activity of Soviet Russia.

on the other
pessimistic to an

be

to

time

rthe automobile industry: Iby a representative of one of the
has long been the principal: large
container ' manufacturers
consumer of steel. The high point when ho stated that there was a
was reached in 1955 when it ab- strong possibility in the next few
sorbed 18,700,000-tons of steel, of years that most, if-not all, of the
22.% of;the industry's shipments, beer- can, production- would be
In 1960 it absorbed 20.5% of-the switched to aluminum. This pre-

optimistic and

tion

Profits' Trend

ex-

other Significant

,

,

our

declin- hundred million dollars by the
t.imp
ihp
nrnrhintinn
hpfnmpc

r

In the first place, the United
individually if the indus¬ States no
longer has the complete
try is to prosper as a whole;
<
dominance in world steel produc-

in

or

to *TrV.n +
what

substituted

o

--f

prosper

Downward

see

us

a^av^a

ite of its members and they must

Since

can

110

have

products. I will have this * investment
, investment
is
uivmuuts. i wiu nave
is not. geared barrels of oil. As a consequence,
make gCllCi ell ftUUlIIlCIltS laWlcr t-Mreuj' for expanding production in a number of instances, crude
XUciX\.C genb/alcomments rather chiefly JUUJ.
CAjjanuiHg
xn
uumoci \ja. lujuuiccu,
ulAlthan" present a detailed ..analysis but ; rather to ward off compe-. ;ofl has been put down at .eastern,
of each situation,1 for that^^ would tition and-simply maintain ex-> seaport refineries for 70 cents to
Ua vtavravi j
IViVv
>vi!
L-inlinrf -mattlral^
Uti HD 1ac«0 o Kovrdl
Alt aoa Ka
be beyond the scope of this paper, • isting markets.,
*..$1.00 less a barrel than oil can be
'Recently, ominous.. words for delivered to these same iefineries
All fam nh il
Tnrliicii'tr
» /'
' -.xi.'
x.'1
•
-i
.
:
_i'_
_'
.1
tti_
rt1.1«U»,~,» .
Automobile.Industry
-' ' the steel industry c were., spoken
from Texas, Oklahoma and Louisi-

My puirose .is to tr;y and i5 wl

its

survival?

concern

we

it

.

,

.p *

h

nuroosp

hand

Such

abund¬

.to
'lU

its economic surftval de-

mv

have

about

Then let

materials for steel in the fabriea- ft., gives us pause; to think that

nnnn

l roduct.

national

it be

remaiping lot
stationary,
Than

j-;

been and still nf «tppi and in the 19-0%.
are involved
nrnfitahilitv

Gros^^^tionaT^hoduct1 w^ch
Dgncjg
bross

steel

cause

plannedTnUthe

and

X

■ f

"

^

'3

f
n

'

.

Anft

mav

^PVptnWmpnt?

nm

jL

of

are

or

nf what

miipVi

tnn

iney

tbp

n«?

nronSed

-have

mnlctofj

Do

;

consideration

the

warrant

idle

no

If

Lhpn

fnnr

w

rrrr

f»n

.

XbaX Xime
that time the

This

-VH-Ffi

,mA„

onmQ

vZZ! enlist*
lucir
proriis
their profits nave DGcIX SUUcCZcQ
atomst to extinction,

ingot, capacity would be; 185

million

.

This

tnat-J^1(5ri

<xr«iT

VidfTQ

1 OF;7

r>

that

see
see

fWo

rvf

nmo

+^0*7nn^n
+

niprmint?

in

try

discovered, in

been

principal consuming'industries to: volved rin'

they

dividual

paradoxical
subject iishould
Survival

1 ofii

r^corded_in

downward -trend in pTOlitS

»

seems
our

The

imports

steel's metal.--The

can take a look at some of

»

is heightby the fact that only five
ago there was considerable

ened

JhifISri 1
those

than

excess

"

Economic

"The

Steel."

talk

n,

■*«e

tons.

it

that

least

be

s

hnvan

,

In the face of such

.

t

...

1972
output should be in

of 700 million

in:

i

so

by

ingot

industry

by

total investment in- United States at a cost considerthe industry in con- - ably less than .it can be produced
-determine- whether. these Indus- vfiectidri VwithVTight weight tin domestically. The reason for this
fabulous
^ tr>i6s themselvesare -expanding," platewill be in excess of several is^ ttte countries iihiin'danne of. oil in
is the fabulous abundance of ml in
these
as well as the size
-

_

wprA

„_Qr

a™

R

that

,haf

-

cl.nwpnfo

next

the

affected

be

oil, for the most part,
is produced and delivered to the

World

years

oil

the

of

from South America, Canada and
the Middle East, where deposits
ance.

fact, would be
doubled
dur¬
12

future

tionably

have

production, in

ing

continuing

a

in the United States will unques¬

during the
coming dec¬
ade.

but there is

demand here, for more and more
people would use natural gas if
it were made available to them.
The

industry de- coverage and to complicate • the
activity and pros- picture further, the steel industry

has-been laid for gas
during
the
last

pipe

decade,

.

,

Sales

A

areas.*

x_

-

in the large metropolitan
tremendous amount of

centers

has

jook briefiy ~
at

x

find Ti beea^e <he dema"d lor

we

steel

the

gradually reduced the weight- of
tin plate, and during the last year

operations., Thus we tion in weight with the introducthese two basic tion vx thin tin plate. The result
of
_
v-.w
1
V
factors: income and costs. Income has. been that much less tonnage
js provided by. sales:
^
C
will go ^into the same surface
"

x<

orperity of the industry's customers

pro-

petition

lines to bring it from the point
of production to the consuming

0f

cost

can

—...

TnP

proximately 6% less than that
shipped in I960, while profits de¬
clined by 13%.
If

substan-

a

-

.

lmrnlirpH
involved

factors

to

on

a

-

fQr>trvrc

there

by

drop in volume, there were other

The

predict

..

,

for

these
scaled

years,

affairs

average profits were in excess of planning.
.
•
$1.1 billion a year. The trend in,
The profit rate in any; irtdusly scientific experts have stated profits has been downward ever try is governed by the total inthat the iron and steel age is just since 1957, and although much of come from which it must deduct

Jan. 17, 1961, a Dutch trade
report observed:
; . only recent¬

On

accounted

date. However; such an operation
would require a great deal of de-

on the
in packaging; secondly, the fact
basis of intelligent and reasonable that under the pressure of com-

if
,

depths than have been reached to

velopment in the tools we have
and will be much more expensive,
predictions
have ' been
There is orife imrfiediate bright
down. There., are several reasons spot in i;his picture, .and that is
for this: first aggressive promo-* the increasing demand -for natural
tion of other materials to be used gas which will require more; pipe

,

to.steel

financing arrangements.

be

permanent one be¬
they feel that the amount
of sedimentary land containing oil
deposits that has not been ex¬
plored is dwindling rapidly. There
are
two probable exceptions
to
this: first, the off-shore oil de¬
cause

affected volume and gently as- 1957 predictions were
costs, and here it is fitting for us made that the-container industry
to examine not so much what has would-absorb some 10 million tons

.

could

relatively

a

I'Another customer, which is of
great importance as a consumer
of steel, is the container industry,
During the past 10 years it has
taken between 8 and li% of the
steel industry's shipments, princi¬
pally in. the form of tin plate,
Last year the tonnage supplied to

have

which

.

improved productivity, im¬
proved prospects for continued non-inflationary wage bargaining,
mergers by small companies, scrapping economically Obsolete equip¬
ment, and determined cultivation of foreign markets with an assist

this

geologists

look upon the present situation as

Container Industry

..-

.

Some reputable

goods.

years,

posits in the Gulf of Mexico pre¬
sent an
opportunity for greater
explained by
the international growth of the industry, the entire container industry was discoveries; and secondly, there is
It-is due also to changes»in the 6.6 million or 18% of the steel speculation on the possibility of
structure of the domestic economy industry's shipments, and as re- drilling for; oil at much greater;,

development of new products and of

attractive

of

tially

Nevertheless, much can be done in the
way of steel's economic survival and progress. Father Hogan follows
his analysis of steal's reverses and difficulties with a suggested
strategy to put stedl back on its feet.. The difficult problems now
facing steel are expected to continue in the next few years and, then,
to turn for the better with tax and depreciation reform, research

from

v

for

Thursday, July 26, 1962

.

•

of

*

volume

tons

/

a

pal two years.. This is only par•»;

constantly, and will, occur.

and

.million

under .100

competition, and sluggish economic growth),

True, situations are never the same as

4930's.

Furthermore,, total

,

lasc three

production has declined from a
peak of 117 million tons of ingots
in. 1955, to > an average
of ; just

City

steel is tteld not to be as grave as the crisis of

the situation facing

have

profitability

the

on

to

.

figures-it represented during the steel in the form of oil country

now

are

American steel companies.

today's steel industry problems (profits, costs,

Without minimizing

substitute and foreign

developments

economic facts of life which have

.

represents a
of the de-

fact

that

I

that

the

oil

am

not

industry
,

or

four years.

-

'

'

-■

\

gage

Machinery

.

>

siderable reduction in the amount mand for steel,, and this has fallen
The machinery industry in all
from a
of
steel, needed to produce1 the frr»m « peak .-nf 234 million, feet of its
9.24 millinn fppt
in 1956 to 192 million feet in 1961.
phases is another significant
compact car.
In the production - of automo- The activity in the peak year was* consumer, of steel. Here there is a
biles there has been some tendency unquestionably due, ? in part,. to , considerable; market in - tlie.'.-ra¬

placement of obsolete equipment,
fac*> in the.next-few years it
be much larger than the maryear period. Not onlv have foreign reached
serious proportions as to represent a cyclical decline so ket for expansion. American inproducers reduced the portion-of yet, but the threat is constantly that the,oil industry would,rtn the; dustry in general has a substantial
the world market available to
us/there.- Thus it is difficult to see next few years, come .back with degree, of
obsolete plant, and
they have also captured a portion the automobile market for-steel a. rapidly accelerated drilling pro- • equipment that should, in fact, one
tional market

o'ther nations to* substitute
other
materials,
production such as aluminum and plastics for
great. rapidity over the 15- steel.
This.. tendency
has ' not

increased

with

of

our

as

the

their, steel

own

domestic

market,

increasing

appreciably above the

the Suez crisis.
-<■

Unfortunately,

downward-"trend

gram

and

thus

„

however,- the
does not seem'

consume

more

Continued on page 22

Volume

196

Number

6180

.

.

The Commercial and Financial Chronicle

.

(387)
i

loss

in

real

our

against .inflation

add/

a
'

ket
;

estate

"hedge"

economy has been following cer¬

tainly ha? its signposts of caution!
By the same token, it seems in¬
evitable that in the long run an
office, building that is soundly
financed, well maintained, com¬
petently managed
and
with
a

might

less active real estate
"

'*

Inflation,

mar¬
/

/

the other hand, has
the effect ©f defeating the normal
on

of depreciation, -not only
office buildings but for' all

usage

By Maynard Hokanson,* Former President of the National

for

v

Association of Building Owners and Managers, President
of
Indianapolis Assn., and President of His Own Company,
-

-

'

'

Indianapolis, Ind.

j,

/

,

;

J,

.

.

-

-

■;

..

•

j

practices pursued. He

that inflations

warns

(t)

stability and puts "cash flow" ahead of "net earnings" consideration,
and encourages speculative
building; and (3) is the factor re¬

schedules/

sponsible for successful syndication and public real estate
corpora¬
eliminating or reducing debt to manageable
deflation

Concludes

occurs.

sound

management is the best protection against
This

subiect

of

Inflation

complex that not
economists

even

reach

can

ment rf its effect

I

don't

our

a

so

;

i

agree¬

our

industry do to face
inflationary trend?"

economy;

t-/.

to this

up

x

.

v

been

ef

the

accept¬

has

been

(reallv cash

for the fiscal year

able.

*

argued: that

;•

The

flow)

other

becomes

side

of

however,

is that: he
purchaser who, then,
new

start

depreciation

the

cycle all

tax¬

the

1962,

coin,

find

can

o o s e

.the

supply

tures

again.

over

you

"After all, if inflation has become

of

money and
credit without
a

a

the stock

can

market go any way but up?"

Well,
have seen very recently the
gyrations of the stock market. I

correspond¬

we

ing increase in
goods and ser-v
:vices available
for

of life, how

way

at

purchase,

turn
for

created

what

pretty

the

feeling that if

of

some

our

we

office

own

look

build¬

much

of the dollar or other mone¬
tary unit, ' There- have been dis¬

have

cussions

struction not
in

that

agree

credit, together with

one

rather

cept

owners

more

suburbs"

Being
raises

earning

of

inflation

estate

..with-which

we

promote discussion.

to

be

"No",

power

as

when

are

on

dollars.

■

One

•

'

'

witnessed

-* ■•

v.

of

!/

the

•

in

we

have

successful office
building syndications and public
real estate corporatons has been
this inflatonary factor. These pur¬
chases

inflation. It is most often associa¬

this

ted

with

;creases

II,

when

mand

the

we

for

galloping price

had

we

after

had

goods

World

inWor

pent-up. de¬
and the normal

are

debt

can

be

>

,

eliminated

or

a

One

Government

has

realized

earn¬

the

have

would

placed

substantial

a

fiscal

surplus

in

1962.

year

..

position of obtain-*
$5.7

easily than in

more

•.»./

v

,

/;

On

,.;7

Billion

consolidated

a

cash

basis—

same

more

fiscal
year.1962iwas $5..7: billion/ Federal

fpr
new:
construction, - perhaps
over-building. It has created rising
prices for commercial real estate,
perhaps too high.:. Some in the
estate

real

the

is

market

feel

field

us

1933

tures
cash

on

receipts

an

and expendi¬
accrual, rather than a

basis—preliminary estimates

for a deficit in fiscal year 1962 of
$2 billion, compared with the esti¬
mate
of $0.5
billion made last

January. This change is almost
entirely accounted for by a re¬
duction in receipts compared with

an

estimate.

Estimated

1963—

Estimated

1962_._

office

'The

results

following table shows the.

Jbrji^qal

year 1962 as com-!
previous years since.!

pared 'with

1

Net

receipts

receipts

expenditures

,

surplus ( + )
deficit (—)

or

$92,999,879,000

$92,536,633,000

104,910,000,000

82,099,716,000

89,075,469,000

—6,975,753,000
—6,307,612.363

87,667,980,122

year •61

103,786,301,777
99,491,341,346

81,360,367,259

fiscal

77,659,424,905

81,515,167,453

Actual

fiscal year '60

months)__.

96,962,198.070

77,763,460,220
67,915,348,624

+

76,539,412,798

(12

Actual fiscal year '59.

offer

an

The

to

sell

nor a

83,904,266,060

solicitation of

offer

an

buy

to

offer is made only by the Prospectus.

any

80,342,335,375

of

the'aids

to

such .asset

preservation is the accelerated de¬
tax

—3,855,^42,548
+

'

v

•

$787,500

Clark Cable Corporation
6*/2% Convertible Subordinated
%;/+/J/;,/...

■-/•

J

■,

.

+

Sinking Fund Debentures

:v;

J ;;

-

Convertible after October 3, 1962

"

) /'•//■,,

+/.:

,w:jjDue June 30, 1972 ■;'ji:C
\

z into Common Stock at $6.60 per share

/•

j >•"j

|
"

\

'

V

The Company has offered to holders of Common Slock rights to sub¬
scribe at the rate of $150.00 face amount of Debentures for each 100
shares held of record

at

scription offer expired
now.

the c'ose of business
at

July 5, 1962. The sub¬
July 23, 1962. The
unsubscribed Debentures.
on

3:30 P.M. (DST)

propose

to,

offer the

on

■

Initial

Offering Price 100%

Copies of the Prospectus

■

may

be obtained only in mch States

where the securities may

be legally offered.

•

•must

recognize Jhec ever present
danger that would result with a
booming type of economy such as
our
national
government
has
promised
us
and" is
trying
to
create. Whether they are success¬

ful, I believe, is pretty much be-

ordinary income rather than as
capital gain when the property
is sold. One of the effects

legislation

would

in

price of

the sale

the

market

important

be
a

place, for

Robert L. Ferman 8C

of such

reduction

a

building in
one

considerations

of the
in

side, the point. It certainly

J. R. Williston 8C Beane

Peters, Wiiler & Christensen, Inc.

de¬

appears

termining the price of

a

buyer is

that the long range trend will be

willing to pay is this tax shelter.

persistently inflationary.

This




could

not

help but create

a

Company

Incorporated

•

/

1,224,047,421

July 26, 1962,..

Underwriters

$463,246,000

—12,426,036,751

of these securities.

'

V' NEW ISSUE

/

-

$118,581,000,000

„_

Actual

neither

/

are

Actual fiscal, year >62

investments due/to va¬
cutting.^ 1 ; '
7
The inflationary route that our

announcement is

(These

preliminary
estimates
and
are
subject; to change when the offi¬
cial Department of Commerce fig¬
ures are released.)

Budget

building

This

including only trans*

—

directly affecting current
production and incomes, and

Net
Gross

Year

cancy and price
'

January

Budget receipts and expenditures

recall

in

the

actions

payments, to the public in fiscal July 1, 1958.

who

in

loss

than

In terms of the national income

accounts

shake-

a

possible. Those of
in, this

tremendous

lower

the January

Deficit

Cash

deflationary trend develops.

preciation available under today's
laws. This permits a rather
aware
of inflation then. For the rapid
tax free recover*of the
past two or three years, it has not equity investment, as well as funds
amortize, the debt. This has a
been as spectacular—nevertheless
prices, on the average, have crept beneficial- effect on recovery of
slowly and steadily upward. We funds, particularly for those in a
might call1 this "creeping infla¬ relatively high tax bracket. The
tion"; with a rise of 1V2 to 2% Trea ury refers to- it as a tax
shelter.
One
of
the. President's
per year-. • This doesn't sound like
much but it adds up /to 15% to recommendations:; has • been V to
.20% in a ten year period. If we eliminate a substantial part of tbis
have that much inflation when tax shelter by taxing all or part
business has some slack in it, we of the depreciation recovery as
was

which

billion

estimates.

reduced to manageable limits be*
fore

a

upward.- Everyone

Federal

con¬

the

...

,

law of supply and demand forced

prices

the

"net

the

1962 totaled $107.6 billion,
$3.6 billion less that the Janu¬
ary estimate.
Receipts from the
public were $101.9 billion, $0.8
or

many

always leveraged and
of course, it pays to go in debt
during periods of -inflation; The
real
gamble is * whether or. not

even

1960-1961, If the economy had

operated at its full potential,

answer

■.

reasons

:

.

before

year

purchasing power of
profit from such investments
hand, the

Hokanson

the $5th annual convention
of National
Association
of
Building
Owners
and
Managers, San Francisco, Calif.

related to

though there is sometimes a
dispute over just when we have

■

of

It

it

of the investment

the other

.

Mr,

indicate expenditures of $106 bil¬
lion and receipts of $104 billion,

retention of the actual

a

by

measuring

could be "Yes" when you consider
the
preservation
of /investment

primarily concerned, namely; of¬
fice'buildings. I certainly do not
pose as an expert in this field. My
remarks, therefore, are primarily
to

squeeze

queston

and

on

-First of all, I ani assuming that
we
can
all agree that we. have
been
in
an
inflationary period

this
a

the

as

estate, primarily the type of

real

in

mind

could

answer

commensurately, higher
prices cannot help but result./.
Our purpose in this paper is to
effect

mv

erty is, in fact, what, we have al¬
ways
thought, a hedge against
inflation. It is possible that the

•

the

caught

in

/ /:

.*.

to whether this type of real prop¬

money crea¬

"cash flow"

less than estimated in

were

It has created opportunities, receipts from the-public

gers.

were

from 1 approximately
.

involved

address

January estimate of $7 billion.
~z
Budget receipts were signifi¬
cantly affected b.y the recession

market

asset;

ending June 30,

were

time, this has re¬ including the transactions of Fed¬
eral trust funds and Governmentspeculation by in¬
vestors ; in : the
office
building sponsored enterprises—the excess
iield lyfth all of .its ^inherent dan¬ of payments to the public.'over

out

ratio

creased

discuss

Needless

all

comes

real

well.

as

with the

tion. Unless production can be in¬

.

con¬

only downtown but

55% to its present 75%.

results from
deficit gov e r n m e n t financing
■which requires the government to
finance its higher outlays by bor¬
rowing,
such
borrowing ■>. being
to

substantial
new

*An

January of this year—receipts by
$0.7 billion, and expenditures by
$1.4 billion. The budget deficit
was
$0.7 billion less than the

7 considered

t frozen

than

ing liquidity
the past...

ting

of the principal in¬

a

ings'" concept,

of years an increase in our opera¬

pressures

•tantamount

rather

because / of

properties have been
disconcerting cost
spiral, our Experience Exchange
Reports indicating over a span

decision to invest or
that brings about such
prices. I do feel -we can

flationary

say,

faced

.consume,

higher

the

to

tity of money and credit is the
major determinant of total spend¬
ing and resulting higher prices or
whether it is the availability/of
money and
the public's

suffered

vacancies

as."to whether the quan¬

once

has created the

ings, we will find that similar
resulting in a
gyratons have been gong on here,
/
At the
rise in the price level and a corr
primarily in some of the older
sulted in
responding fall in the purchasing and
marginal
buildings
which
Maynard Hokanson

power

active

an

was

budget expenditures

.

have

problem

a

.

ly
is

the

office

billion. Budget
$81.4 billion, leaving
budget deficit of $6.3 billion.
Both budget receipts and expendi¬

set up
schedule and
can

yourself aganst -the
"Gash Flow" Concept; Instead
disadvantages -of
inflation
and
of "Earnings";
v
reap its rewards by buying real
estate or- common ,stoeks. A .1/; Unfortunately; this has not add¬
ed to. what we formerly considered
recent editorial in the Wall Street
Journal stated, I think cynically: stability of ownership but has in

increase in;

an

have

of

on

$87.7

were

receipts

a

protect

can

some

.The monthly statement of receipts
and expenditures for June shows

exhausted,1 the

property finds that

that Federal

a

Is Real Estate A Hedge?

;

It.

gen¬

defined,, it

out

effects

though we may
not reach
conclusions, will come
a
better
understanding of the
even

.3

.

But 1

point

.

hope that from these dis¬

cussions,

•'•'-'•J;; V;'£ : J.vJ/Vi.V, " T

has

owner

question I would like to
is this: "-What ean we in

raise

definition

•

The

expert

Inflation.

of

to

he is stuck in that all the income

that

there is

ed

an

is

tion

even

know

erally

on

our

what may.

tried

inflationary

dilemma with at least two horns.
On the one hand, when deprecia¬

/financingand

come

strong position

a

This item of depreciation and its
attendant 7 tax -shelter- presents a

tions which gamble on

before

In

<;

in

what may.
these few remarks,. I

subject

It is my

over
a
ratherlong
period of time but has been miti¬
gated Jo some extent by the per¬
missive accelerated depreciation

depreciation usage and compel re-sale cycle to set up
depreciation schedules; (I) does not contribute to ownership

limits

remain

come

buildings with the hope that they
would provoke some pointed com¬
ments
from
anyone
who would
like to comment on the

'recovered,

may

outrun normal
new

Will

ticularly true under straight- line
depreciation where it has been

.Former two-term head of national trade
association expresses mis¬
givings as to office building real estate as a hedge against inflation,
and to certain

knowledgeable ownership is and

capital equipment. As prices rise,
depreciaton reserves- become in¬
sufficient -to- cover replacement of
capital assets.- This has been par¬

the

15

»

I

and

—

*

H. I.

Josey & Company

16

The Commercial and Financial Chronicle

(388)

Steel Production
Electric

The State of

tunely, just as the dollar is being
subjected to new pressure inter¬

Retail

Trade

Food
Auto

TRADE and INDUSTRY

Price

Production

Business

Index

restraint

nationally,
as
evidenced
by
a
strengthening of European cur¬
rencies
in
the foreign-exchange

Output

Carloadings

and other

markets.

Failures

Commodity Price Index

development

This

in

rise

this

to

indicators

'leading'

country

coincident

so-called

the

has slowed, while the
indicators as a
group

have slipped

slightly.

"These signs of fatigue,
with

the

in

sentiment

investor

and

coupled

deterioration

marked

business

maintained

paring of programs laid out
lier.

Nevertheless,
seems

negative

ear¬
psy¬

to characterize the

NOTICES

general mood,
business

of

United States Pipe and
New

the

through

vigor

mid-year; and a new sampling of
plans for capital-goods spending
by business indicates no over-all

chology
DIVIDEND

is

Foundry Company

York, N. Y., July 20,

tinct

1962

and

peaking-out

a

before

the

a

as

dis¬

books

United, States Pipe

will

and

BIS Advice to U. S. A.

remain

"The

resistancy apparent in the
comes,

economy

open.

most

inoppor-

Foundry Company

DIVIDEND

JOHN W. BRENNAN, Secretary & Treasurer

scription calls for a more restric¬
tive monetary policy to put the
dollar on a better footing interna¬

accompanied by a more
expansive fiscal policy to stimu¬

tionally,

"

that

on

requirements, which has
to

be

to

convertibility.' The

since

necessary

ample European experience to
the

that

internal

possible

NOTICES

M^
COMMON STOCK

HARVESTER

DIVIDEND No. 127

COMPANY

terly dividend of 50 cents per

July 18, 1962

share

a meeting held
declared a dividend
cents per share on the

Company, at
this day,

a

declared

was

on

payment

on

holders of record at the close

quarterly dividend No. 176 of one
dollar and seventy-five cents ($1.75)

the

per share on the preferred stock,
payable September 1,1962, to stock¬

holders of record at the close of

August

business

10, 1962.

August 10, 1962.

Company have declared

Harvester

stockholders of record at the
clcse of business

of International

Directors

The

quar¬

Corporation's Common Stock,
payable September 10,1962 to

,

September 10, 1962 to share¬

August 3, 1962.

on

GERARD

J. EGER, Secretary

Executive Vice President

OIL

and Secretary

New York 20, N.

TEXAS GULF
Y.

that

fear

a

The

of

Board

dividend

of

Directors

10

cents

has

per

1962,

15,

declared

share

on

a

the

business August
B.

17,

taxes

POWER COMPANY, Inc.

2Uth and 211th Consecutive Cash
Dividends

on

Common Mock

A

AMERICAN

VISCOSE

CORPORATION

Directors of the American Viscose

meeting

dividend of

on

July

fifty cents (50c)

stock, payable

on

11,
per

Corporation, at their
1962,

share

on

declared
the

common

August 1, 1962, to shareholders

record at close of business

on

a

of

Vice President and Treasurer

regular-quarterly dividend of Forty-.
_r\ nine cents (49c) per share on the
Common Capital Stock of the Company,
issued and outstanding in the hands of
the public, has been declared payable
September 10, 1962, to the holders of
record at the close of business August
10,
1962, and a regular quarterly dividend of
Fifty-four cents (54c) per share on the
Common Capital Stock of the Company,
presently issued and outstanding in the
hands of the public, has been declared
payable December 10,1962. to the hold¬
ers

of record

at

the close of business No¬

the

shaping

July 25, 1962.
RAYON

•

ACETATE




•

CELLOPHANE

•

AVISTRAP®

•

AVICEL®

ROSE, Secretary

directors

and

have

agreed

;

of

the

with

the

underwriters to exercise, or cause
to
be
exercised,
subscription,

rights with respect to 40% of the
debentures, or $315,000 face

in
one

on

Net proceeds

does

not

yet

financing

will

derived from this
be

approximately

notes

to

and

would

up.

the

at

company

redemption

a

points can be made on price of 105% prior to July 5,
both sides.
If, on the basis of its 1964, and thereafter at premiums
assessment
of
the
state
of
the ranging downward to par.
Re¬
through the
sinking
economy,
the Administration demptions
All redemp¬
should recommend—and Congress fund will be at par.
Strong

logical implications of

re¬

would

the

of

taken

be

tax

still

cognizance

to

of

form

enact—a

psycho¬

substan¬

a

tion

+

accrued

include

will

prices

interest.

,

Cleveland,and its' sub-ci
sidiaries manufacture and develop
in

Headquartered

Ohio,

the

company

tially increased deficit. In such
circumstances, a meaningful re¬ electronic, electrical and mechani¬
duction in government spending, cal systems and components
to offset at least a part of the rev¬ principally for use by the U. S.
enue loss resulting from lower tax
Government, and wholesale dis¬
rates, would be essential to dispel tribution of electrical components
any
doubt as to the continuing to the construction industry, in¬
U. S. commitment to fiscal respon¬
dustrial and commercial users, as
sibility. One of the most persua¬ well as the U. S. Government.

principle Among the items made are: spe¬
counter¬ cialty cable assemblies for elec¬
cyclical measure is that the vir¬ tronic and electrical applications
tually certain alternative, if re¬ and replacement parts for missiles,
sive
of

arguments

cutting

be

the

for

taxes

a

as

massive

government spending.

accepted

consistent

as

dollar

sound

a

much

more

accompanied

if

by
a
toward greater

move

in

such a move would be the
most
convincing way to affirm

U. S. determination to defend the

dollar."

Clearings

Now Ritten Co.

clearings
increase

an

this week will
compared with

Preliminary figures
compiled by the Chronicle, based
on
telegraphic advices from the
chief
cities
of
the
country .in¬
ago.

year

dicate

that

cities

the

of

which

it

the

for

is

year.
Our preliminary
stand
at
$31,242,975,310

against

$30,121,310,996

for

the

week in 1961. Our compara¬

same

tive

to

last

totals

for some of the
principal money centers follows:

York—

000's Omitted

,

July 21

1962

Kansas

,

%

1961

$16,847,426 $16,231,238
1,432,026
1,406,405

New

Co., Inc. has been
Wall St.,

York

City,

to

securities business;

in

engage
,

j

.

.

*

a

-

L. Noonan

Opens

SEATTLE, Wat. — Lawrence
Noonan is. conducting a securities
business
from
offices
at
11726
Fourth
Avenue,
Northwest.
He
was

Pont
&

formerly with Francis I. du
& Co. and Hill, Darlington

Grimm.

.

+3.8

+1.8

Williston, Beane Branch
HUNTINGTON, N. Y.—J. R. Wil¬
liston
&
Beane
has
opened
a
branch

office

1,168,000

+1.2

Avenue,

913.421

850,762

+7.4

574,602

417

the

New

York

direction

of

Mayer Prior.

602,092

+4.8

City

Steel's

at

under

1,182,000

Philadelphia

Output

Preceding

2%

Up

Week

Shaw, Darr Branch

From
Down

and

32.9% From Last Year's Week
According to data compiled by
the

&

summary

Week Ended
New

Hood

formed with offices at 54

all

obtain
weekly
figures
will
be
4.9%
above those for the corresponding
week

John Hood Co. Formed
John

from

States

possible

to The Ritten Com¬

ended

week

14, data from

United

has

Building,

Exchange

pany.

Above 1961 Week

a

Chronicle)

t.n The Financial

MINNEAPOLIS, Minn.—The firm
name
of Louis N. Ritten & Co.,
been changed

3.7%

Increase

sys¬

tems.

Grain

Bank

handling

missile

hydraulic

In

policy.

monetary

naval
vessels,
tanks,
control devices and other
military and defense applications.
The company also makes multifuel heaters and electronic
and
aircraft,

trucks,

fact,

split of

W. J.

Officers
company

business

to

Boston

the Common Capital Stock is
authorized by the shareowners and the
Securities and Exchange Commission and

of

be
a
as
inventory purchases, research
sentiment and development costs, engineer¬
and to the standing of the dollar. ing and sales promotion.
Obviously there are fundamental
The debentures are convertible
cleavages between the pro and after Oct. 3, 1962, into common
con positions on cutting taxes now,
stock at the rate of $6.60 a share,
and a sharp debate appears to be and are callable at any time by

jolt

vember 13, 1962, which dividend will
be payable, if a proposed two for one

1962, at the rate of Twenty-seven cents
(27c), in lieu of Fifty-four cents (54c), per
share on the shares outstanding after the
split.

\*L

based

deficit

Federal

rude

Chicago

becomes effective prior to November 13,

July 23, 1962.

be

to

Saturday, July

r r

basis

the

on

used to retire
$184,000 in serial
repay short - term
clearly warrant added stimulus, bank borrowings incurred in 1962
and that the resulting increase in for such working capital purposes

KLINE,

AEP

NOTICE

to

and

reduction

a

situation

business

show

DIVIDEND

to

seems

Bank

AVICEL®

blow

both of two premises: that the

or

1962.

AMEIKH AV ELECTRIC

debentures

the

amount.

Opposition

Secretary.

•

of

short

a

home

at

abroad.

firmness

of

HAROLD

AVISTRAP®

deal

both

stockholders of record at

to

the close of

•

well

still

would

confidence

simultaneous

the Company's
capital stock outstanding and entitled
to receive dividends, payable September
shares

10,020,000

be

interruption of busi¬
this early, when

is

resources

capacity,

could

Consecutive

164th

CELLOPHANE

rates

utilization of human and material

with

Quarterly Dividend

regular

The unsubscribed portion of the
$787,500
issue
of
Clark
Cable
Corp. 6V2% convertible subordi¬

spur

a

expansion

ness

readily

•

as

"A policy of fiscal stimulus in¬
volving a bigger budget deficit

SULPHUR

COMPANY

ACETATE

Reserve

to the $150 principal amount for each 100
shares held. The subscription offer
economy.
Proposals for tax relief
(EDST) on
reflect not only the instinctive de¬ expired at 3:30 p.m.
sire to head off recession but also July 23, 1962. ' V

increase in

CORPORATION

£00 Fifth Avenue

July 20, 1962.

•

indi¬

banks

Federal

cession in fact comes, is a

SINCLAIR

H. W. Balgooyen,

RAYON

Debens. Offered

View

in the free

income-tax

promptly

have

INTERNATIONAL

The Board of Directors of the

business

of

member

Federal

that
cut

should

On

of

em¬

monetary measures

DIVIDEND

FOREIGN

for

Clark Cable Corp.

.

duction,

COMPANY INC.

Stock

major

not put

has

seen

Notice

100 CHURCH STREET, NEW YORK 7, N.Y.

16

observes

document notes further that 'there

NOTICES

POWER

Common

States,'

return

been

the

Sinclair t

of

United

'The

the BIS report, 'is the only coun¬

is

AMERICAN &
,

domestic economy.

the

late

show

Dividend

This BIS pre¬

tional Settlements.

external

August 31,1962.

for Interna¬

the Bank

of

phasis in

quarterly dividend of thirty cents (30£)
per share on the outstanding Common Stock
of this Company, payable September 14, 1962,
transfer

report

try

possibility.

The Board of Directors this day declared

The

United States in the recent annual

year's end

being discussed

now

a

to stockholders of record on

Points

the

that

cates

Thursday, July 26, 1962

policy means.'

of

reserves

.

System has begun to move mod¬
nated
sinking
fund
debentures,
higher interest rates in estly in the direction of tighter due
1972, is being publicly of¬
the United States money market money, although not nearly far
fered
today
(July 26)
at
par
to
discourage
the
outflow
of enough to have significantly fa¬ by an
underwriting group headed
funds.
Awkwardly,
this
need vorable impact on the balance of by Robert L. Ferman &
Co., Inc.,
The fiscal theme in
arises at the very time the domes¬ payments.
Miami, Fla.
tic economy would appear more the BIS counterpoint harmonizes
The company recently offered
with a mounting chorus of sug¬
receptive to stimulation -than-to
its stockholders of record July 5
gestions — from an impressive
restraint.
the right to subscribe, at par, to
"Faced
with these
conflicting diversity of sources in the U. S.—

the

on

be alleviated by fiscal

Cut

Tax

monetary

tighter

a

.

for

recent which has occurred during the
contained past three months, deepen the un¬
in the annual report of the Bank certainty of the outlook. There is
for International Settlements, The not sufficient evidence to support
Morgan Guaranty Trust Company a prediction that recession is com¬
of New York, suggested how we ing, especially when it is recalled
should go about meeting our in¬ that indicators of the foreshadow¬
ternational payments and sluggish ing variety have at times in the
pulls, the Administration and the
domestic economic growth prob¬ past given false signals of trouble.
monetary
authorities
obviously
The
lems."-.'
.■+
"' :.
present cyclical expansion,
are
engaged at the present time
Sizing up our problems in this moreover, does not appear to have in an assessment of various policy
the
sort
of
excesses
month's
issue
of
the
Morgan produced
alternatives.
President Kennedy
(such as too-rapid inventory ac¬
Guaranty Survey, the Bank re¬
has indicated on several occasions
cumulation) that typically gener¬
ported: '"Business statistics con¬
that he is weighing the merits of
tinue to show little luster.
The ate downturns. Automobile sales
an
approach commended to the
and residential construction have
commenting

advice

of

can

"The recent decline

em¬

phasizes anew this country's con¬
tinuing balance-of-payments dif¬
ficulties and clearly
signals the
need

In

policy

.

American

Iron

and

Continued

Steel

on

In-

page

44

Shaw, Darr & Co., Incorporated
has opened a branch office at .239
East 58th Street, New York City,
under the direction of George Z.

Sekely.

Volume

196

Number 6180

.

.

The Commercial and Financial Chronicle

.

took such
•

•

drubbing in the

For

WALLACE STREETE

before the general list broke.
one,

what

Why Not Market

.

The

action

cated
is

of

little

the
far

as

the

as

concerned, and

tion

indi¬

averages

air

an

future

of

cau¬

pervaded Wall Street.

The inaction

the

heightened by

was

announcements

cut

decisions

the

economic

had

been

poned-

will

that

be

could

be termed

conserv¬

a

Multicurrency Bond?

for

July

which

post¬

until

mid-

any

August.
■

Business

type

wasn't

news

the

of

harden

to

sentiment, the
various indicators showing mostly
a

mixed performance by the vari¬

sectors

ous

of

the

nation's

econ¬

.■/,•>■£,;■ ij ;y ■ "
\-y.f.;-.
In fact, even some news that in
happier day might have con¬

omy.
;

a

tributed
fell

to

flat.

A

Warner

nounced.

had

pyrotechnics

somewhat

between

merger

and

market

surprising

American Chicle

Lambert

Chicle,

reported

was

an¬

simultaneously,

mild

price-earnings
ratio. - Its
dividend return is miniscule, at
less than 1 %. However, the shares
rates, being maintained by the
have shown a good rebound abil¬
leading duo,, already have decided
ity, back some six dozen points
to hold their payments and have
from its low at recent standings
acted accordingly.
Moreover, the and
continuing to show the supe¬
steel business generally seems to
rior
growth capability that at¬
havfe hit bottom with no way to
tracted all the attention to it in
go
but up.
And with the new
the first place.
Results for this
model auto
year
starting early
year's first half reached new rec¬
this year, good fall business from
ord levels.
Weighing all the fac¬
this

increase

in

quarter

For

until

made

indicators

scanned,
action

tax

no

in prospect/

seems

specific issues, the hunt

was

still centering off the beaten track
to find issues that have been neg¬

both

in

600

to

the

issue

candidate

a

for

some

dividend

improvement this year.
Projections of 1962 earnings,
which

borne

were

the

in

first

when increases
those of

out

by results
quarters

second

and

ran

a

300

at

a

year ago,

to

leave

do

not

cide

necessarily

with

They
author

are

those

at

of

any

room,

for

some

largesse.

Trading interest, in short,
definitely subdued.

presented

as

of the

those

only.]

While

the

waiting

was

sion

was

next

would

decisive

continuing

a

whether

over

seemingly

the tax cut deci¬

on

its

for

there

market

not

or

provide

such

and

of it would have

to be to

give the market
strength.

tained

action

stimulant

a

what the nature

move,

debate

any sus¬

,

There

was

a

considerable

body

of

opinion holding that unless any
realignment
was > definitely
aimed
at
bolstering
corporate
profits, it would be futile both as
a market support
and as a move
to bolster the general economy.
The reasoning was that there-is
plenty of consumer buying power
around, as increasing bank de¬
posits indicate, but no disposition
to do much with the ready cash
tax

.

,

at the moment.
•

What

is

needed
to
promote
well-being is both in¬
vestment by individuals and in¬
vestment by business to make jobs
and new opportunities, and, the
logic goes, it is only business that
is obviously in a profit pinch at
the moment. But with politics in¬
evitably involved, any measures
to lighten the business tax load
economic

would have

to be

offset by relief

to wage earners as

well.

Meanwhile, there

Neglected

was

so

bereft

of

action.

About the best in the way

any

clues

of hopeful sentiment
do-nothing
market,

future

to

that a
technically
called a consolidation phase, was
the type that over a long enough
period can build up a base for a
advance

new

when

was

various

eco¬

nomic factors warrant it.
»

The

rally from the June lows
sufficiently
sharp so that

was

many

the
more

individual issues, as well as
averages
themselves,
need
rest

to

consolidate

their

gains before it would be logical to
look for additional price improve¬
ment

on

the prospects

than-expected

of
general

betterbusiness

a

outlook for the fall and winter.

Waiting Game in Steels
•

In steels,

were

particularly, investors
playing a waiting game to

what

see

dividend

be taken by

action

would

the top two—Bethle¬
The Bethle¬

Glass

Issue

was

Morgan to BeV.-P.
Of Amott, Baker

meeting is today (Thursday),
that of U. S. Steel next Tuesday.
of
other
companies,
seemingly betting on the present
A

couple




will

become

a

Amott, Baker &

To Be Officer of

allowing

U.S.

bondholder

dollars,

Swiss

re¬

francs,

favorable

outflow
U.

S.

in

foreign exchange

the

and

balance

of

un¬
pay¬

have
been invested abroad,
not
only in foreign affiliations, plants,
of U.

commercial

also quite

industrial

S.

enterprises,

but
simply by the purchase

of foreign stocks and bonds. These
"investments"—clearly of a spec¬
ulative nature, though frequently
(rationalizingly) termed "hedging
against (a devaluation of)
the

dollar"—account for

substantial

a

flight from the dollar.
Some of these funds, plus new
American, as well as European
money, would
presumably flow
into the vaults of the Treasury if

U.

a

S. bond

currency

issue

clause

with

a

multi¬

offered
These 4y2%,

were

(here and abroad).

date

were

widely and successfully
Europe
(England,

in

offered

France and other countries) before
the

War,

and are again, though
frequently used in this post-

less

World War II
:

As

to

country

period.

the ability

to

meet

of the debtor
the-

currency

clauses, the influx of new money
would permit the acquisition of a
fraction of the

in

later

due much

moneys

foreign hard

currencies,
thereby demonstrating, not only
the pledged willingness, but also
the ability of the U. S. Treasury
to

the

redeem

in any of the

cies.

coupons

Additionally,
show

would

up

bonds

or

contractual

these

curren¬

moneys

under "Gold and

Foreign Exchange" in the figures
the

of

International

Fund, and constitute
additional

a

Monetary
permanent

backing of the dollar.

Wedbush & Co.

Admits Partner
SAN

FRANCISCO, Calif.—Julius

Feldhorn is

B.
a

being admitted as
partner of Wedbush & Company,

157 Santa Barbara Plaza.

Mr. Feldhorn has been a regis¬
or 5% bonds should carry a
solemn pledge of redemption (or tered representative of the firm
Projections still give it the
premature call) at par in dollars, and, prior thereto was an officer
prospect of showing a sizable in¬
of a nationally known manufac¬
crease over last year's results.
equivalent in Swiss
It On Aug. 2, William J. Mandel- or at the
is conservatively priced, available baum
(at about $2,300.—Swiss turing company.
will
become
Executive Francs
lately around 11 times earnings Vice-President of Reuben Rose & Francs per $1,000.) or in Deutsch
Mark (at about DM 2,500. — per
and offering a definitely aboveProgrammed Estates
Co.,
Inc.,
115
Broadway,
New
average yield of better than 6V2%. York City, members of the New $1,000.) or in Dutch currency (at
BROOKLYN, N. Y.—Programmed
about Fl. 2,780 per $1,000), en¬
The
payment
was
adequately York Stock Exchange.
.
Estates, Inc. is engaging in a se¬
tirely at the option of the bond¬
covered
by last year's earnings

with

son

the

first

half

of

4%%

last

Reuben Rose Co.

year.

,

and

the

this

year

anticipated improvement
will make the payment

holder.

curities

be

Form Petroleum In v.

885 Flatbush Ave.

The coupons should also
payable at fixed rates in for¬

BISMARCK, N. Dak.—Petroleum eign exchange, if so desired by the
bondholder.
companies, Investment Company is engaging
which
This
device
is
appear
to
have
nothing new;
finally in a securities business from of¬
emerged from their own private fices in the Provident Life Build¬ multicurrency bonds, giving the
recession, were culling out new ing. Clyde W. Jones is president bondholder the choice of the most
favorable
currency
at payment
friends, at least among the stock of the firm.
even

more

The

analysts.

troubles

Their

This

announcement is

neither

an

Big Diversifier

Mathieson,

reached

tions.

when

there

It

sold

as

low

as

its

Its

sales.

26

It

the

the

was

metals

work,

and

in connection
with it, that kept Olin backward
so long.
There is still some of this
interest

charges

and

the

amortization

writeoffs.

July 25, 1962

Common Stock

to

(Par Value $.25 Per Share)
*Of the 80,000
served for sale

On

shares offered hereby 10,000 shares have been
the

at

re¬

public offering price to employees of, and such

other

persons

extent

that such persons make such purchases, the number of shares

as

available for sale

may

to

be designated

by, the Company.

To the

the general public will be reduced accordingly*

be

absorbed, but the charges will end
next year and in the meanwhile
the aluminum work is starting to
contribute
to
earnings to help
minimize

speculation.

of

which

heavy

a

of these

Mobile Estates, Inc.

in

19%

percentage matches
its work in the packaging field.
sales,

as

any

this

work

some

from

Price $6.00 per

Share

the

earnings potential, once the heavy
expenses
end, the- current price
is less than 10 times the expected

Copies of the Prospectus
own

may

be obtained from the undersigned

from your
offered.

or

dealer in such States where the securities may be legally

results for this year,

indicate

that

it

is

which would
conservatively

priced.

ROBERT A. MARTIN ASSOCIATES, INC.

Ambivalence Toward IBM

Investment sentiment

was

blow¬

ing hot and cold around Interna¬
tional

Business

Machines

which

680 FIFTH AVENUE

NEW YORK

offices

St., New York City.

80,000 Shares*

accounting for from 11 to

metals accounts for

securities business

opera¬

Fitting Olin into any specific
industrial category is hard to do,
however, since it is important in
chemicals, packaging, drugs and
arms
and ammunition, these ac¬
of

at

Shapiro Opens

at 60 East 42nd

,

year.

tivities

offices

Shapiro is engaging in

NEW ISSUE

de¬

was

well-diversified

for

a

S.

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

Offered

i

which

half a
dozen years ago began to develop
as a
major, integrated aluminum
producer, is far under the 64 peak

26%

M. S.
Milton

offer

securities. The

Olin

from

were

similar, but came far earlier, to
those currently worrying the steel
industry.
A

business

secure.

aluminum

hem and U. S. Steel.
hem

Morgan

Vice-President of

not

than made up in the' second quar¬
ter to give it a favorable compari¬

mand

moaning

was

because the market action

of

*

•

branch offices

only a Co.,
Inc.,
150
Broadway,
New
slow-moving, neglected item but York City, members of the New
was
held back by a poor first York
Stock
Exchange, effective
quarter. To those students of the Aug. 2.
company who keep
up with its
affairs, this setback will be more

it

Consolidation Phase?

clause

amount

D-marks, or Dutch florins with coupons, also, payable at fixed rates

and

Matthew
A

Thatcher

•

multicurrency
fixed

in

option

time coin¬ outflow is due to the fact that
many
millions of U. S. money

retreat.

Skepticism Over Tax Cut

with

abroad

"Chronicle."

the

fourth above

payout

was

bonds

demption

hard The' gold

its

that

above

Foreign exchange expert recommends that the Treasury float U. S,

,

halved

before trading ended,
while Warner Lambert beat a fast

granting

from

New York City

the

earnings. The latter carved out
a temporary
gain that was about
even

decline

By Jan Popper, Research Division, Carl Marks & Co., Inc.,

proposed
the low has gone a long way to ments, as well as the
chill new investment sentiment, plan to sell $100 million of Ex¬
long demand
port-Import
Bank
participation
IBM at best merely works out in
for
promising issues, and when
certificates in Europe, are forcing
the
selling
struck.
Continental most market letters ' as "not a the
financially-experienced
ob¬
Can is a mundane item that has statistical
to
a
bargain."
Institutional server
suggestion
which
done little, holding in a 10-point
should be evident to those of our
investors feel
otherwise, appar¬
range this year and showing no
Treasury money managers with a
disposition to attempt to reach its ently, and have been busy increas¬ reasonable degree of imagination,
1958 peak despite a good increase ing their holdings.
audacity and experience.
in earnings this year that makes
[The vieivs expressed in this article
Historically, some of our gold
lected

give the com¬
pany a good chance to earn nearly
double the $1.80 indicated current

a

and

tors,

U. S.

a

it is still not selling at

ative

Stocks dawdled
through largelymeaningless trading this week and
turnover dropped to the slowest
pace
since thev late May break.

17

mar¬

ket break and, as a matter of fact,

•

even

BY

a

(389)

19, N. X.

The Commercial and Financial Chronicle

for

Pause

COMMENTARY..,

sider

R. LEFKOE

M.

BY

leveled

"Sometimes, the President telephones a reporter to criticize a
story. Quite a few correspondents
have been called into his. off ice
for a lecture fiorn. Mr,.Kennedy
himself. .
"Another reporter asked the
White House aides for information. He got this response:'Maybe
if, you had co-operated with us
more On your previous stories we
would help you now. But-you
haven't, so , all ,vwe can; say is:,
Sorry/"" (Italics mine.)
:
How many journalists and. publishers have been coerced into
submission is not known.- Never-

view.
American

Soviet

"Au

newspaperman

should learn all
he can to give an honest and balanced report and that truth requires
the
reporting • of * what
that he

believes

,

transpired.
The Soviet
journalist's job is that
he should inform the people of
'official' truth only, and that if
what actually transpired does not
reflect the official truth then it is
actually
of

View

his
fit

a

,

things to

duty to rearrange
truth."
-

Mr.

underlvins

nrinrinle

Tup

States.

speech, and its corrollary

icras, ST.
guardians of

rights
of its
No matter what mjustices

citizens.

the

f,r/„/ttTc «,ens I
upon its citizens, as
vocal

and

ten

..v

chell,

possible, there is still hope for red

come

podium for

[the editor
Magazine \?

who

most

There

when

time

a

was

PresU

,

Kennedy

that every

attitude

his

understand

nomenon,

•.

principles: they are just
they sanction his own
words and actions: they must be
dispensed with if they do not.
Immediately following his election, when estimates of his Administration
predominantly took
the form Of praise, Mr. 'Kennedy
regarded the right to criticize him
as
an
unassailable right of the
-

with

them '

his

months

tn

that

r

!*?

Tfe

startling

mg

'

tz

ii).

? J5- Kennedy Adfntm
fofmJ
desired form are found to
in

trie

i velude

the

following:

■'( arret and stick'

f»r

reporters.

The

approach is used

The

invitation for

...

'carrot'

is

an

private talk with

a

trie President, the gift
elusive story, or favors

of an exof various

kinds,'The 'carrot' is.held out for
tbose
the

who

s

the

way

T'-ces.

•

write

The

metimes

a

or

broadcast

White

House

is

the President himself.

.

.

.

in

Newsmen whose papers are
of the President sometimes

Jet

the

silent

dential

questions
•them.

)

treatment.

aides
or

refuse

give

will

the

guage

Presianswer

information

to

'

"For others,

.then

to

Everyone has

limited amount
of energy.' We must replenish this
reserve every day. Some people go
to a routine

per-

a

job arid the monotony

this

William

between
Jr

.

Symposium at
^

ha^

a*,

vet

been

told

of

Eaton & How-

ten

*

is

i

n v e

stment'

-

paper,

hlS
at)d

t0

0f£ice

o£ten

he

The

*'

held

Cam

isn't too

that

your




l

iu.

A.

_.

most

your
Thomas Johfison

of

ground

nrnpnrl nil! !h

aspects

investment

of

growing

the

^Jc-

•

i

Officials

of

>

the

integration
of

the

World

rJr

i

o

European Coal &

Community of the Common

Market, Commission *and
ward
wara

h

back-

caoital markets of the fre-

.Steel

of

the

the

rack

Sill!

time

thoughts

I

once

had

So'emot"ohaI

a

We

client

he bought

arid looked

pack

at

the market;

and

sit at

on

brain

you can't turn

and off at will,
doesn't operate

.

rin^nciat bee-

In conclusion, I believe you
must first understand the nature
of the business in which you are
eneaeed. Selling is a challenging

primarily because you
dealing with, and motivating

activity,
are

endeavor. Now you see it, and now
dont. It is an ever-changing
rium, that too is a normal reactions emotional experience. So live with
ifryou find that interrupto jar your equilib-

tions^ begin

you

When you get home at night it. Don't expect anyone who isn't
after a try*ng day^ when markets in the business to understand this.
bav^ beeri touch and go, while the Don't feel sorry for yourself —
-

news

and

has

been

coming, in

you

your

fast,

clients

most

thick
wish the

could be digging ditches and
of us don't have the back

to their problems* and for it. Never accept Undeserved
concerns,' and-possibly you have guilt when things go wrong, proalso

tried

to.do-three .things et

once-when you-should have been

working

~

lating American public.

people. But investment selling is
mysteriously self-gen- also a volatile and Up and down

the

-

&Why didn't you keep me from
doing this, or that?" So has everyone who is actively engaged in
servicing the investing and specu-

Ed-' answers

Boyle Bart
tfayie,. mrt., Financial< Sec-

speakers.

Sell the entire lot. I have had customers "second-guess" me and ask,

more motivation, and the creative

mternational^^j.^jng.

internatidnalization

and

on

process

of

against
a

hat

that1 way. One thought leads to
another. Stimulation provides

~

ThP

Amerirfl

got there Until you put

The human

mmmnnitiM

financial

IQ
various

driving

When you work with your mind

fs

ai_

are

retary to the Treasury are among
-

4

and

your desk, don't be alarmed. This
is
also an occupational disease,

at¬

•

T3

He put a finger under

-•

morning,

the office and you don't know

how you

bridge,
Week

the

at once or we Will throw a suit
inquiring about a very peculiar

r

them all

cheery when he .says

If you find that you are becom-

to

College,

being

he said, -'I am fed
with this Winchell and stop it

-

see

at the

Cr

ing tense, or that you

Pem»f

at

this

his-nose and

M,

down

With a smile on
hundred shares of stock at
his face and he is already at the; two in the afternoon, went out
office. If her highness gets a per- f0r a walk.around the block, came

A

on

one

l
*

telephone, but

slt

break£ast .table

.-

symposi¬
being

um,

,

an

*

fr0m facin.g ,t0 tional and-, difficult, I think

his

wiu

,

symposium at
Cambridge
U n iversity;

tended by top
members
of

"This is blackmail!

nig

up

bought four hundred more, then,
goodbye to the children, he isn't slept ori It overnight and came
inconsiderate of his family—he's into the Office the next day all in
already under pressure.
t- ;
' a dither and gave me an, order to

international

kld brother.' Not the Attorney
General of the United States, but

up

.

he may be writings about which you must be,entirely new set of; informed,
accounts' to
analyze,1
a^e vital to his
new people
you must meet, new
clients, his career, and his family.* iaw^ rules, regulations, and those
Maybe he has.the strength of will who invest are often very emo-

he

an

broke

...

picks

functory kiss

at-v

•

ding

The President said, after one
hour artd twenty minutes with our
hero, William Randolph- Hearst,
1 want you to go in and see

man.

Eaton

Stock

ard
F und

as ,.S yet metl t01ci'
(irJ^CC0£
to Mr. /Winchell,
.

Vino

Vice-Prewdent

& Howard, Inc., managers of Eaton
&
Howard
Balanced
Fund' and

Randolph

A

Johnson,

and Director of Research of

shocking an indictment of President Kennedy's totalitarian methods

Tphnenn

TUnrmoc
Thomas

aide now and merger on the West Coast.' . . .
suggest the, exact lan- Already the Department of JusPresident would like to tice has filed a suit [under 'the
story.. If the language Sherman Antitrust Act]
at the

•

.

faced with att

11

the Hearst newspapers, and President Kennedy. Allowing for even
the grossest exaggeration (and it
is interesting to bote that no one
bas 1
attempted to refute his

jare likely to be telephone calls
»

inat hiehlv geared mind vou have

Circumstances that

Hearst Corporation....

1

/or ihem

fee!
may he
greater than ever before,.but untttyou can throw some ice-water on

to bed one night must keep up with an ever changaftd all is serene. If he goes out
ing pattern of events. New indus-,
on his porch the riext morning and;
tries come along, thare are under-

Attending Inv.

accusa-

m editor-in-chief

isee in a
idoes not appear as dictated, there

^

and^affec?

?io^o'u

/eee wtkin^'o't^ a'll day/?'

.

accusa-

mV k'd brother. . , ►
"Now, when the President said,
'I- want you to go in and see my
kid brother,'' -he
[Robert Kencrit- nedy] wasted no time with this

jcal

-

journalists

jr-.;rYou may come fhome^ walk into

Spend Your Energy Wisely

go

staff
criticism,
caustic going-over by
'stick'

/
of

intimidation

story or sue him for libel>> his
ah" description of the meeting is. as

thp

would-he a fore:Lgn la^nguage.

of

alleged

^ your office,

to

and a IuU.mvestlga-.

t/orfhefd

tWwh

rhiipj'n«H hv'

securIties men talk shop
wberi they get together; th'ejrcaiVt; mind may continue working long:

Winchell

OpporkinTty

We

s0 many

accusations

true

the

for

dictatorial

his charges at a Congres-sional hearing. His request should

asked, "Do you feel

substantiating

H|arst

at

w

Winchell's

ask/d

in-

nnmpmiK

Kennedv's

prove

tion, he told of an alleged meet-

Kennedy

afbout the right
CHofcviu a1C^6'o f re+
nrfipinrJnKUcUoriHf rrinc
GIi
n

n?

of

are part

business.

easily *' be

could

Administration has been

the

jn

™nd

World

week, your daily papers, financial
papers, watch the "News Tape",»
make - calculations regarding the:
technical aspects of the stock market, follow individual stocks, be a
perpetually calm and happy , "nice
fellow", and also correct a number,
of complaints that always arise in
servicing investment clients, without draining your store of energy.
You can't do this day after day
without speeding your mental
processes up to a point where your

of this volatile.
understood , each
bthef and we didn't have to labor
the P°int- 1 suppose this is why

markets",

.

j

j.

President

iy> to accomplish all these things
in their entirety is impossible. You
can't read = several publications a

v

abuse

putting pressure oh the Hearst
Press?," he replied, "I don't feel
it, I know it!"
<

Stick"

-r,

some

When

tiohs.

individual

"Carrot and the

».

.

been, critical

but a few of the

are

trimxr

methods

has

flagrant

who have

ago

stances

recent television interview;

a

chell made

rights and dictatorial in nature.

suddenly

,

Then he spoke about the normal
frustrations that are part of it.

examples.

many

KFBM-TV in San Diego, Win-

on

proposals, branding
of

riot/'

or y°u are

:

exam-

*

in

became disenhim.
They, started

violations

with

have it and some don't. Either

-

journalists

attack

.

current * Ad-

filled

account, then you not only must'
they ' need but you
aiso
keep abreast of the'
news an(j economic changes that
affect their investments.. Obvious-

know r what

start, you are cut out for this business

,

However, as he proceeded
in his attempt to gain more and
more power over the economy and
the lives of each American citizen,
chanted

men

are

must

.

press.

■to

Time
.

always'

advising in-'
vestors and you must work out •
many problems .concerning their»

Z-

if

many

of
and

must

man

shoulderi> If you

that some un-named people at
King Features (the Hearst sub-,
may be di«icu,t ,to "en? but they;
aot/ifc?
sidiary
which syndicates his guardians of a free society—are can pace themselves. During the; something like this may come out;
week-ends, or ill spare time, they 0f vour mouth—"Grmnh Grrrh "
column) are censoring his criti- in grave jeopardy in.the United can rest or follow a
hobby. This LTweT"How mvou "
cism of the Administration..- Fur^ States today. And remember, when is constructive. But an investment
thermore, Winchell has publicly freedom in America has been de- mmv works
mentally most of the
Time for Study
charged that this, censorship is the^ stroyed, there is ho place left time. The facts
upon which he
You can't be a successful in¬
result of coercion by.-President, to go.., '
"
"
relies, and that must be analyzed vestment salesman; .and advisor
Kennedy and his , brother, Atand
acted
upon
change
every unless "you study a great deal. You,
torney General Robert Kennedy.,
minute. He can

toward

fine

has

..

conscientious
-

of this demand. The pessimism that
accompanies "bear markets", mob
of him, and his totalitarian tactics psychology, and
the cumulative
with
the steel industry
several phases of both "bull and bear

»

Winchell

chief

of the
is

stories, " his
newsmen

one of his major speech writers,
Soon after he started his attack,
in
many
other
instances,
our on Schlesinger and other members
President does not always practice of the President's staff, Winchell's;
What he preaches. To fully under- readers
found that his columns
stand the President's changing at- were
becoming shorter and
titude in matters of this kind, one shorter.- In explaining this phemust

then have the double respon- •
sibHity of keeping tip with intri- '!
cate market changes, news, technicalities,'arid the burdens that a
you

pies of Kennedy's abuse of Presi- People want to invest in common
dential power.- His personal use stocks when they are popular with
of FBI agents to awaken reporters other investors, forcing the indusin the dead of night to Check their try to provide securities to meet

contro¬

America

.

-

Go ahead
' ' '

record

The

ministration

vehement in his censuie
Arthur Schlesinger Ji., a Close
advisor to President Kennedy and,

loudly proclaimed
American had the right
—in fact, the duty—to criticize his
government if he disagreed with
its policies. But, as has .happened

dent

,

,

in

-

.

advisors.

- 0| managing other people's capital,

San

been a salesman for years before
he became a salesmanager. We
were talking about certain phases
of security salesmanship arid • we
because apparently sofh eb o d y. understood €»acb other completely.
down there said—'you have five He. made the statement, "I don't
TV stations haven't you Mr. Luce know exactly
what- it is, some

Winchell has been particu-

Mr.

counts and you have the obligation'

that his charges against
Kennedy and the President "can't get in print anywhere
/.-.-Time-won't even print it * .

attack on some of

an

the President's

~

Then and Now*

that is in-

Robert

something!' "

.

.

,

planr and concentrate,

alleged

govern-

dictatorship.

a

t

bed-room, take a shower, lie down
find many people who understand and nap for an hour before dinner, V
the nalture of the demands made It is a wise family that will grant
upon your emotional stability and you this privilege.
....
y
the. need for time to study, think,,
jf yOU are handling trading ac- '
representative, I doubt if you will

,

Diego day 1 was talking with the salestfelevisiori interview,'Wincheir of- manager of a large national secufered an answer to this question rity .firm,. \vho
had " come, up
for .at
least
one. magazine.
He. through the sales force, and had

^ancTindividual protests Te today. His columns, previously,silenced bv
filled Predominantly with tidbits,
SS'ThVSi'v ST,- a- JSSS^tsls*
show
business, have become a
a

— •

Journalistic herent in this business. The other

media.

press

effectively

'

.

Family Might Read This

4
/
J
- .1
•
•
•,
'f
Unless you are an investment se- don t be surprised if you would
'curity salesman, or a registered like .to go to your den, or your,

/ r-

,

••

T

i

in", any of the
In the' same

tions

.

in

columnist

JOHN DTJTTON

^

journalists

the

perhaps

versial

Journalistic

'
Inspired Silence.

*

Your

these charges

any

Since/news is Usually reported
in newspapers and magazines and
on the air, the question now arises
as to why there has been virtually
no mention of Winchell's accusa-

has continued his criticism of the
A jminiqtration
Walter
WinAdministration is , water wi

ionc
long as writas writare
still

dissent

by

.

,

The Winchell Approach

those

BY

in

keeping

Even

standard.

— White House pressur

country's political

a

and

freedom

news

are

^iehfto
Le flcts anV their inter-:

J

they are
Attorney

exaggerations and inac¬

of

curacies in the past,

theless,

of
freedom

Royster's distinction is freedom

ordinary"

mind that Winchell has been ac¬
cused

.

that

SECURITY SALESMAN'S

v

charges

the

at

Mr.

-

the President of the

and

United

from Russia, It-,, is. not unusual, for. a. White
Vermont Royster, editor of The House aide to ask to see a story
Wati
Street
Journal, made the before it is printed,
recent story filed

the

Thursday, July 26, 1962

.

.

con¬

of

hoodlums and racketeers;

General

following distinction between the
American view of journalism and

and

the

■

being

a

moment

a

implications
Winchell's story.These
are not being leveled at

"

In

.

(390)

18

mi

rO r)'> >

VJV

VX-s>

i-

*

'Z ' v,;

task

at

a

time,

viding you. have been conscientious and you made the best decision for the client as you saw it

Volume

at the time.

196

Number 6180

;

.

The Commercial and Financial Chronicle

.

(391)

Don't expect to turn

mind on and off like a water
spigot; have
a
hobby
instead.
Read entertaining books, look at
T.V., listen to good music, garden,
golf, fish,-play with the-children,
go to church, become interested
in community affairs if you have
the physical energy for it. Restore
your energy! not by loafing, but'

Wellington Mangement Names

your

CHANGING

bv
'This

is

at the

YOUR

rest

you

time.,

same

PACE:

create

and

-

-

with

Names Three Executives
BY

fartiily/* spend time

your

PHILADELPHIA^ Pa.r—Wellington Management Co., 1630 Locust St.,
announced

Chairman

•

<

Illinois

.

,

^

Public

scratch In 4959 ! it:now

Service;

residential. and:

;

87 '

has

737,,

commercial

..

space-heating: customers. Of the
residential installations," 581 were
important: segments jmade in-mew homes and 156 in

electric

and

gas

.

;

.

compa-,

lt

in-a while, visit with nies
serving
friends,' evidence an »interest in of that state.' It supplies electri-i
your
children's" lives, " but at a'city and gas to a population of
time when you can give them your some
650,000 in an area of 20,000
attention. An understanding fam- -square miles in central
and south- *
ily will appreciate that you often ern Illinois,: electricity accounting,

'nervonce

*

r

existing homes-.C."A - :V.
V- y; \
? The: company
recently> made voluntary rate cuts-totaling about$1. million per /anrtum,' effective
j^y p this, year, as follows: -resi-ir/
need several hours to yourself in. for
88% of revenues and gas 12%.' dential
$485,000, commercial $394,the evening for-further study and Electric revenues are
.obtained as
*000, and industrial $121,000. Thd - .
reading,- and they will know that 'follows:' 35% * residential, yT.22%"i nevir rates are
'promotional,''and'-"
,you must do this: in-order to be
-commercial, 30%/industrial and with any normal increase in sales7,
successful and provide them with :10% sales to
REAs.y

ythe good things of life.
Correction:

;

.

* In

'

-

the

The

July

19th

such

resources

;' .'

*

excellent

has

area

natural

as

•<

"> coal

and

the lost

revenues

recovered

should

'the

over

■

Walter L. Morgan

be fully

12-15

next

President.

months.

the

t

weekend the election of Walter L.
Morgan as
Board, Joseph E. Welch as^Eresident and Chief
Officer, and John C. Bbgle as AdnunistratiVe Vicethe

.

of the three "Central

one

Illinois"

Company

the

over

of

Executive

Central Illinois Public Service

:

Central

lion, is

them, take them out to din-

OWEN ELY

=

with annual revenues, of $66 mil--

.

.

'

Enjoy

;,'A

^

how

19

Joseph E. Welch.

The

John C. Bogle

with

investment

column, the time of
In Tulip Bulbs

tion
was

incorrectly stated'

It should have read

stabilizing Tactor."Industry

is

M^wiJhAnfv

offering
of
$103,725,000
City bf New York 3%%, 3% and
21/2 % various purpose serial bonds
made

wa^

-Bank.'.
The

July

.

.

.

being offered at

'

maturity.
offering consists of $32,700,-

■'The

bonds due 1963-1992;

$26,825,000 of 3% bonds due 1963-

*

The

bonds

CIPS

is

are;

property within the City will
be subject to the levy of unlim¬
ited ad valorem -taxes to pay the
interest

and

on

them.

;

well

situated

with

rer

.

1^e"P^i12,^e5e.s^i,n

....

80%.it The

.

company

.

pyppsq

pnprffv

nrnHnppH

hv

,

.

„

relations, and promotional activities. He is
presently serving on vaCompa«yf'Institute, including the

rious committees of the Investment

Institutional Studies Committee, of which-she is
Vice-Chairman.

v,

,

.

19 rural cooperatives, 16 of
which'obtain power under Iong~:,

'

EEI

and nor required by^the Atomic term -contracts.

The

remaining:

loan to build a 99,000 kw generat^v

which'

should

a,,u

xui..

construction
lows:

:

Revenue

4

-

uuriH

fol-

as

rT

the

'

-•

.

t

wuuia,icidiu

year *

-

the

•

uy

duuui

forecasted

CIPS.-• However,

-

the

Iidii

<x

'growth

$66

$10

T/^-rkpc Pa

71

14

140'

75..,
.

79./

;i.

84
89

28

.16

•

that

the

REAs

obtain

190.

.

CIPS

future

be

financed

by

sale

]lon in

year

of

$10

Based

on

the

.

,

Mr

Jones

•,

*

.

.

.

THIS

D.

Jones

&

Co., which

ing to make way for the $40 mil-

^ion Mansion House^Center devel-r

'th'12?

r

tures/ due 1977, at par, plus ac->

°;n

"11S

FaU18 In moving
moving;
*

bl°cks south

"It

The

;

1

-

debentures

new

\

^

are

con-

hardly seem probable^1
that common stock would be is-

a-

arch

t,

Inc.j

ments>

Enterprise

Building,

is continuing the investment business

of Ed Kennedy Investments,

Edward

j

M

B.

Kennedy is President;

Kennedy,

Secretary

and

Treasurer and Gail K. Woodley,
two,
two

on Fourth Street, the

Vice-President.

/

,

announcement

Name to Be

would

symbolic

>

-

-,.

arc

Saarfnen 's

•

This

eiety of Security Analysts, stated;

interest.

their nearness to

will» "in the years to come, be a
source- of pride not^only to St.
Louis, but to the nation,

offering

crued

redevelop¬
'
<
'»

.

has been in the downtown finanr
cial district for 91 years, is mov-

Co.* New York City, are in 1965. No
publicly
$10,000,000 of planned before 1966 at the earliest: shown' a- 'fair rate of growth since
Gulf American Land Corp., 6V2%
and President Luthringer,.. ih* ^ 1953 when 481 was reported:
convertible''subordinated deben- recent talk to the New York So-.—
-•
Cohon &

downtown

■

be-

company's estimate

PhAcfniit in

nnrT

announcement

Edward

been selling recently

.21, the range this

Fnnrth

Eero

1

19®2" (W"b
$10^15 million weather) ^ price earnings ratio
the
equity financing is would be, 18.8. Earnings have

1964: and

the

threshold of an important new
■**■■■•■?
*development and his firm wants "Now Kennedy Investments
to be a part of it.
:
TULSA, Okla-.—Kennedy Invest-

financing, if ing 25-17. The dividend rate; is
big new unit' 76£ and the - yield about 3.6%.

°f

underwriting-group'headed by

has

""

nf

stressed his
firm's
belief " that
.Downtown St. Louis is on the

electricity-from CIPs at low rates
i so that the contribution "to share
earnings is correspondingly small-.

1,350

•

;

of

In addition to

the;

,>

295"

.965.

33

mind

in

"f

£he

plant

riew

$90

1962_j__

>;

*

only staying in the fi¬
nancial' district, but is in the cen¬

U,UIlC/0 .kV^U.

.

'

firm is not

ment area.

rnrn(ir

of

^

(Mill

)MQ

-

■

ter

Constn

(Mill.)

1961

^

wiiciwt

projected.

are

-

r

obviate

is estimated that the

and" Morris

-»

•

'

ities

'

-

;

-1-^U.W

can

Co.;' Inc./

..

Southern Illinois Power Cooperative and have obtained an REA

Regarding

Debs. Offered

■,

three have combined to form thb

r,

<<

lA*

':

,

.

Energy Commission. The company
also
has
excellent
pooling
arr
rangements with neighboring util-

1966—'

Amer. Land

&

will continue to hold

^

,

.
, Central Illinois Public Service

around

Street

^

administrative, public

■

An

1948. He also has been Executive Viee-

** f°r

Bogle has been with the Wellington Management organization since his graduation from Princeton University, in 1951. He was

serves

:F.F.T

energy produced by

excess

1963____

\

v

a corresponding claim on any

1964——;.

•

^

.

I.

The

is neither an offer to sell nor a solicitation of
offer to buy any of these securities.
offering is to be made only by the Prospectus, r

an

■:

\

'

vertible

initially into the company's $1 par common stock at

}$7.875
listed

per

share. The

is

common

the American Stock Ex-

on

nhnnup

Gulf American of 557 N. E. 81st

our common equity

.three-year, period

in the two or
following, the

of the
of the" next unit ih
next unit in
The equity ratio at the

1965."

Street, Miami, Fla., is engaged in
the development of unimproved

end °f 1961 was 37% and is expected to remain at that percent-

land

age m 1965-despite lack of equity

will

as

use

planned communities.

Tt

the proceeds from the salfe

NEW ISSUE

sued within five years of ,that
date because of the build-up of A

comoletion
completion

change.

financing.

7

Oppenheimer,
r

.

VVrMVX&

Neu

$800,000

t

N PWhnW <V>
The

firm

UO

of

name

N

pll

-

RAM TOOL CORPORATION

Oppenheimer,

&

Co.," 120 Broadway, New
York. City, members- -of .the N«w
York Stock Exchange, on Aug.

7% Subordinated Debentures due Xury 15r 19T2
(Ihierest'" payable quarterly dn October lrf, January lo,
*

**

1

April

to Oppehheimer,
The company has shown good
growth, with revenues more than ;Newboi*g & 'Neif: v On- /^he same;
Cape Coral, one of its doubling in the years 1951-61. Be- date Frank J. C.
Weinberg will<
communities in Florida; to make suits in the first quarter of 1962
b
both I a
general
and
down payments on land
subject to were excellent with revenues 'up f.
®
a general ana
options owned by the Company or 1°% and net income 14%. In the limited partner in. the firm; Her-

repay bank loans; to complete
the second nine holes of a
golf

♦

Vice-Pres. of F. Cole Co.
George

M.

elected

Yeager
i

Vice

-

has

first five months- of 1962, addi^
tional industrial loads were comnected, and contracts were .either
signed or are currently under ne»
gotiation, all of which; should re^
suit in additional

revenues

of

been

President

D".

Hill

will

become

A

'

"

>/•„

,

,

75

each

$500

Warrants

Stocfc

at

and

$3.33 Va

entitling
per

Warrants

the
i;share.

will

'

i

Debentures

of

will

'

receive,

purchaser

immediately

to

purchase

be separately

»
'

without

'

additional
75

shares

transferable.

gen-

Price: 100%

eral partners, and Ruth Weinberg,
Janet K.. Buschman, F. A. Morgan

$l,r Easton, and Melvin T. Kafka will
;

become limited pkrtiters."

-

■

-

furtterTductfon'rate'

Company, Ineorporated, 2 WaH Street, New- York electric
space-heating to 1.5c per
City, investment counsellors.
kwh:
Starting practically from
,

Common

f

-

of

The'Debentures

Marx, Herbert Buschman,

Robert

;

consideration,
of

and

1

1

of the Prospectus may be obtained Jrom the undersigned or other
or
brokers
only in States iri which such dealers or brokers are
Qualified to act, and in which, the Prospectus may be legally distributed.

Copies

dealers
•'

of

Franklin Cole &




bert J.

f

of each yea#)

120,000 Warrants Expiring July 15, 1972

The> purchaser

.,

porate purposes.

15, and Jultf 15

v

^,

/'

at

which the company has contracted
to purchase; and for general cor-

July 24, 1962

will be charfged

to

course

rv

.

b|g JopP9 lties^,.,

Plant of Electric Energy Inc., and

^as

1965—

; Gulf

indus

is hopeful of
^obtaining-a substany.
Hal-additional amouiit of gas from
named Assistant'to the President in 1955 and
Secretary in 1959, and
Panhandle -which, .together with was elected
to the Board of Directors in 1960. In the
newly-created
ing Capacity tO'.be prOT nositian. Mr "Rnfflf* An/ill Hirppt t.hp pnmnanv'c drlrnini-fVci+JTro n<>Min
new peaking., capacity to- be pro-? position, Mr. Bogle will direct the company's,

a

...

able

,

.r

years.

general obliga¬
tions of the City, and all real tax¬

bonds

\

,

lulw

maturity is 6%

age

Chemical, etc.

approximate

^'compared with the 1961 peak load project, will «permit extending
of 598.000. ; The • company has a service to 15.additional commun-

,

000 of 31/4%

°f b°th

Gardner-Denver,the

bid 1100.039999% fbr

are

Fund

.

prices to yield'from 175% for the
1968 maturities ^to 3.70% for the
1992

When all residential customers on
..Executive Vice-President in

Manhattan

;the bonds,- an'annual net interest
cost of 3.0278% to the City.
"
The bonds

Can, U; S.

General Chemical Division of Al¬
lied
Chemical,
Olin: Mathieson

.

group

•

groun

Mutual

Wellington Equity Fund

-i.C^,^eutivtOriicer, Joined

3pect
to
sPe.ct; to- generating " capability
generating - capability
whlcb totals about 776,000 kw vided *by--the ,-Ashmore r Storage

•headed by The Chase
*

on

underwriting

an

Se

of

Foundry,

Harvester,

Public

1963-1992

inception? is' one 'rf the'^S

i{s

He founded Wellington Fund in! 1928 and

turing,
Central Soya, American

Publicly

by

the

rerecotntevd t^lssrvrs

Of New York City

due

on

^P?ty r^c.eiv.ed from Panhandle

$103,725,000 Bds.

',24

business by limitations

gas

1634-37.

,

so

>

in Newborg & Co. which wiH be
dissolved;* ; *
>
•.
/ r

AETNA SECURITIES CORPORATION

CANTOR, FITZGERALD & CO., INC.

The Commercial and Financial Chronicle

,

20

.

.

Thursday, July 26, 1962

.

(392)

has added these new issues: Pola¬

roid, Tonka Toys, Time Trie., Im¬
perial Land Co.,-Worldwide Fund
Ltd., Aluminum Co. of America,
Smelting & Refining,

American

JOSEPH C. POTTER

BY

Bethlehem

Bad Bear?

Who's Afraid of the Big
While

market

bull

next

when the
will be born,
say

can

one

no

history probably will record that
it was sired by the fundman. In¬

though the

deed, he is talking as

period of gestation already were
underway. Listen:
Albert M. Sheldon, Jr., Presi¬
dent
of Imperial Capital Fund,

his company has invested all
stocks and

says

of its cash in common

to

bonds

government

selling

is

in

considerable hesitancy in the early

part of 1962, there, was .no wide¬
spread belief that disaster im¬
pended. So in the wake of the
grim tidings, it will be especially
significant to learn whether the
backers of the funds are as ebul¬

880,

purchases are down 25%, at
least it is comforting to note re¬

bargains for years."
M. Templeton, President

demption of shares is off too, on
a month-to-month basis. In June,

Fund, con¬
tends the best investment oppor¬
tunities in more than five years

redemptions ran to $107 million,
against $121.7 million in May. But
it is worth recalling that redemp¬
tions in June of 1961 totaled only

John

of Research Investing

not be too far ahead and his
firm is "well prepared" to exploit
may

the

Banker Cornelius C. Van

Patten,

President of Institutional Investors
Mutual

Fund,

the

that

reasons

sharp drop in common stocks pro¬

opportunities

unusual

vides

for

fund members

mutual

Company Insti¬
redemptions for the

of the Investment

tute reported

months

six

first

with

pared

of

this

year

$602.4 million, com¬
$649 million during

amounted to

months of last year.

making new commitments in equi¬
ties.
And
he has been backing

the first

his beliefs with action: During the

next several months will also bear

his fund

June 30

ended

quarter

increased investments in 31

com¬

stocks while reducing owner¬

mon

"The Wellington

Newslet¬

ter" reaches back nearly 200 years

quote Charles Dickens' lines:
"It was the best of times, it was
the worst of times." It translates
to

this

redemption

trend

the

over

watching.

Although
tinue

to

decline

ship of only four.
And

The

six

purchases con¬
redemptions, the

fund

outrun
in

stock

the

totaled

has

market

combined

their

reduced

more

thought
into ~ present-day
terms as meaning "that.even when

over

folks

fund

But

of

is

adversity, it fexigts side
by'side with opportunity." ^ Hru

was

redemp¬

during the latest
announced. ;•£
?
*

*

in the first half of 1962 amounted

$8,867,227, or $6.10 per share*
compared
with
$8,471,357,
or
to

per share, for the like 1961
period, according to W. Grady
Clark, President. Net gains of 4
cents per share were realized from

sales

seemed

never

the

1962

cents

*

*

of

owners

the

funds

have

not

rushed to sell, nor are they storm¬

ing the counter to buy.

Thus,

investors

purchased

less

than $219 million worth of shares
in June, according to the Invest¬
ment Company Institute. That's a
sizable investment, to be sure, but

it's

a

long

$292
made
when

million
in

the

the

showing
next

way

from the
of

fund

like

old

months

than

purchases

month

bull

of

1961,

market

considerable

six

more

vigor.

should

be

was

American

Schering. At the
creased holdings

June

amounted

30

to

and

time it in¬
ACF Indus¬

ings of Firemen's Fund Insurance,
New

York,

Chicago & St. Louis,

Texas Gulf Sulphur and U. S. Steel

*

$17.17

June 30, 1961.

on

'

*

*

*

Investors

Chemical

Fund

especial interest. In the first six

$219,435,837,

months of this year, purchases of
fund shares toted up to $1.7 biW

share,

at

Corp. has

ac¬

reports

end

to
of

$8.69
the

lines.

Caldor

eliminated

It

Whitehall

share

value

asset

assets

at

the

latest

stock

$12.38

a

were

wich Pharmacal,

share,

General

j

Capital

—

fund

■./**

HAA

Motors

or

it

Steel

were

of Shamrock

were

Oil

eliminated.

Sc

An

for
•

of

•

NATIONAL SECURITIES &

investment
its

*

a

growth

reasonable

Prospectus

seeking
possibilities

company

shareholders

long-term

and

of

capital

current

income.

upon

request

RESEARCH CORPORATION
Established 1930

120

Lord, Abbett & Co.

Broadway/ New York 5, N. Y.

hi10'




Gas

Fund
•

New York

—

Atlanta

—

Chicago

Los Angeles

—

for

time,

the

was

tax

well

DRIVER

did

or

not

Washington

for the insurance

originally

was

of

an

estimated

from the law.

,■

5

n

passage

by the Senate with no

debate

purposes

as

group

of 2% of the premium income on
accident and health policies. Under

*

*

*

'■ *

'

PLAN ABOLISHED

■'

$

:..i1 ' ^

*

San Francisco

IN TEXAS

Effective Aug. 1, the Safe Driver Plan which
in Texas since Jan. 1, 1960, will be abolished.
Texas

Board

had been in effect
The action by the
of Insurance Commissioners came as a surprise de¬

spite the constant criticism of the plan and the fact that it became
a political issue in the state. The plan was
generally favored by
the participating insurance companies but was objected

because

enforcement

of the mixing
the

and

of insurance

confusion

regarding

premiums

to by the

also complained that drivers with

with

law

demerit/system.

the
a

large number of

demerits, and therefore high premiums, were dropping their lia¬
bility insurance.

,

A reduction in automobile

to

$10 million was

ance
who

■!

premiums for Texas motorists equal

anpOynced ooipcidentalty with the discontinudriyers;

of the Safe Driver,: Plan. Ironically, it will be the
have

in¬

reduced

were

A Common Stock Investment Fund

•

take

es¬

Affiliated

*

securities selected prima¬

tive literature.

not

to permit life and fire and casualty insurance to claim

,•

SAFE

credits

Holdings

in

interest

revenue

attained

Interna¬

and

creased.

with

rily for income possibili¬
ties. Send today for Free
Prospectus and descrip¬

did

greater significance to the insurance industry in the

as

Some agents

were

tional Business Machines

SERIES...
mutual

who

veterans

tion, taxation and regulation in recent years.

new

while Dow Chemical and Republic

Fund reports

strong

The three areas of political interest concerning the insurance
industry at the same time clearly point out the problem of the
private insurance industry with increasing government interven¬

Pepsi-Cola and

of

*

deduction

the most

by sale
*

brought

to

per

second

$313,698,314,

has

present law, the 2% deduction applies only to the group life and
group accident and health policies of life insurance companies.

Newport News Shipbuilding, Nor¬

share.
*

Imperial

a

a

•

quarter

positions

first

taxation

individual

$11,874,201, down from the $13,246,934 at Dec. 31, 1961.

the

a measure

public

INCOME

is

of

year.

amounted

June

of

area

Federal

even

of

area

with $13.56 at March 31

$13.57 at the start of the

Net

Of

i

tablished by the purchase of Ford,

1961. At the end

30,

assets

War

of smaller mutual organizations
•

per

of

June

that

move

expected to produce
$40 million. Amend¬
have reduced this figure somewhat through the exemption

ments

$11.81 at midyear. This

was

compares

and

Fund

769,781, equal to $12.26
1961

age

paid^lpty-jnutol fire and casualty insurance companies.
bill, which will tax the underwriting income of

for

additional

Gulf American Land and Marrud.

Royal Dutch Petroleum. Holdings

on

65

proposed

mutuals

v

per

providing

over

Inc.,

quarter. This compares with $297,-

NATIONAL

The

.

of

assets

the

_

Administration

Korean

third

the taxes

Electric
Ltd.,
National
Rolling Mills Co., Season All In¬
dustry, Tastee Freez Industries,
Toyota Motors Ltd. The fund also
increased holdings of Delta Air¬

common

*

equal

the

.

During

*

The

sushita

eliminated.

were

organizations

of those in

industry has been the Senate Finance Committee's attempt to
complete its own version of the tax revision bill already passed
by the House of Representatives.1 At/' the present writing the bill
has bogged down over the complexities oh a provision to increase

quired the assets of General Capi¬
tal Corp., a $15.5 million publicly-

same

of

53%

portion of their present private coverages.

a

$92,172,285,
$12.90 per share. This compares
with $16.40 a share on March 31

Trucking,

Aviation

insurance

450

estimated

*

or

tries, American Telephone & Tele¬
graph,
Central Hudson Gas
&
Electric, Ford, General Motors,
Pepsi-Cola, Royal Dutch Petro¬
leum, Shell Transport & Trading,
Standard Oil of California, Stand¬
ard Oil (New Jersey) and Texaco.
Holding were reduced by sale of
National Cash Register and hold¬

The
of

Chicago

Denver

over

an

accept the lower priced government insurance and drop at least

.

cial,

to

second

and

II

War

Net assets of the Lazard Fund on

'V.

Report

now

keep National Service Life Insurance be given an opportunity to
obtain $10,000 coverage. Approximately 16 million former and
present servicemen would be eligible for coverage under the pro¬
posal. National Service Life Insurance is now carried by an esti¬
mated six million. No doubt a number of those eligible would

period.
■

the

opposition from the insurance industry is the proposal that World

pared with $6.05 in the like 1961

National

North

The

in the first half of this year, com¬

'v'

are

benefits

health insurance.

whereas net gains of 23
per share were realized in
the comparable six months last
year. Total net earnings, includ¬
ing net gains on sales of invest¬
ments, amounted to $6.14 per share
period,

and

confident than right now.

The Funds

in

investments

of

in

been

Omaha Insurance Co.
specialize in this area. The company itself now covers over 1.3 mil¬
lion insured over 65 years of age. Mutual of Omaha, as well as
others such as Continental Casualty Co. and Fireman's Fund In¬
surance
Co., in recent' years have introduced low cost health
insurance plans for elderly persons for a limited period of time.
These plans which are sold on a group basis without the standard
application forms or physical examinations through mass enroll¬
ments, have proven to be immediately successful. More may be
expected in the immediate future as politics has made the Ameri¬
can
public increasingly aware of the needs and advantages of

wholly-owned subsidiaries

and its

have

insurance

concerning

bracket. Many companies such as Mutual of

Investors Diversified Services, Inc.

The foregoing is but a tiny sam¬ Broad Street Investing Corp. re¬ owned mutual fund headquartered
ple of the kind of talk, combined ports that net assets per share at in Boston:
*
*
*
*
with action, that prevails in fund June 30 amounted to $11.36, com¬
circles only a couple of months pared with $14.27 at March 31 and Research Investing Corp. reports
after Wall Street became recon¬
$14.59 at the start, of the year. changes in its portfolio during the
ciled to the demise of the old Net
assets
were
$216,695,566 at first half of 1962. It made new
post-war bull market. It could be¬ June 30, against $263,849,030 at investments in Agricultural In¬
come
surance
contagious, especially in a the beginning of 1962.
~
Co.,
Bomar Instrument
The company reports that dur¬ Corp.*, Carrols Inc., C F M Co-.,
community which as accustomed
itself to asking tirelessly: "What ing the second quarter it made Dresdner
Bank
ADR, Hitachi
are
the funds doing?"
new investments in C. I. T. Finan¬
Ltd., Jaguar Cars Ltd. ADI, Mat¬

Well, what the funds do will
depend, in the final analysis, on
what the little lady from Skokie
and the big man from Dallas do
about buying their wares. And the
latest
report
indicates
that
if

•There,
health

*

Combined net operating income of

-

there

shares

quarter, it
.

$261.82

or

no

were

has

Senate of President

assets.

$20 billion in
June of 1961. A year later it was
down to around $18.4 billion.
These

There

weeks

the

$5.82

$91.2 million.
172

$64,113,148,

were

share.

a

If

The

opportunities.

or.

tions

buy more common stocks. Says he:
"We have not seen such invest¬
ment

sets

recent

First, and of greatest importance, was last week's defeat in the
Kennedy's health care plan for the aged under
Soeial Security System. The setback for the Administration
may well be only temporary, but it will enable private insurance
firms to expand their rapidly-growing coverages in the hospital,
surgical and medical lines to persons 65 and over, thereby reducing
the need for government participation in this area.. »'

$208.58 per share.. This
with assets of $74,323,396, equal to $268.91 per share, at
March 31. On June 30, 1961, as¬
*

Administration

in

industry

Washington, D. C.-where significant proposals of the

headlines.

$61,423,-

compares

their stewards.

as

insurance

the

on

present

Fund, Inc. reports net assets at the
end of June amounted to

lient

of

focused

that
showed

market

stock

attention

*

Institutional Investors Mutual

But it must be remembered

the

Insurance Stocks

—

THE U. S. GOVERNMENT AND THE INSURANCE INDUSTRY

The
*

*

half of last year.

the first

while

Southern

and

Edison

California

billion Railway.

with $1.4

compared

lion,

This Week

Steel, Dallas Power &

Light, - General:: Mills,' General
Motors, Northern States Power,
Pacific Gas & Electric, Southern

thus be

a

large number of demerits that will benefit

by the rate changes.

on

their

Drivers that have been receiving

premium rates will revert to

required to

pay

more.

normal rates

and

Volume

196

6180

Number

.

The Commercial and Financial Chronicle

.

.

Herzikoff

(393)

made

was

Senior

21

Re¬

Vice-President, Beverly
Hills-West Los Angeles regional
gional

office.

head

Heineman

Warner

.

Edwin

arid

Ziegler

Home
Consolidations

New

Branches

New

•

Officers,

Revised

etc.

President

Capitalizations

Martineau
J.

charge

of

Lee, Vice-President in
First
National
City

Bank's North
Western

He

22.

died

'f.l

division

and

District

the

and

Ohio, Michigan
in

he

when

1942

Air

the

."Upon

his

left

for

Force.

■/

return

;

First

to

OHIO

405,580,618

348,790,306

364,836,937

—L__—

81,397,043

discounts

186,916,842

190,166,896

5,275,048

4,677,413

&

profits—
*

*

The

Na- '

tional

City in 1945, Mr. Lee was
reassigned to the Central Atlantic

State Bank

*

North

Central

District

of

Salem,

Salem,

"The

acquire the assets and assume
liability to pay deposits made in
State Bank of Hardinshurg, Hard-

District in

1959.

Lee

appointed

was

*

*

Arthur J.

the

of

*

.

.

Chairman,

.

Bank

New

York

Jones
a

Trust

Company, New York,
July 19 at the age of 59.

on

Mr. Meuche became the

*

Birmingham

pension

elected

bank

He

elected

1958, and it, wasndater*
d£iifancl Cashier.
merged with the New York Trust;. ;ff>
' i *
A
*
Company,,Ne^ York«,
'•

■

* '•

President

elected

has

Jantzen

J.

and

been
Director

a

Aug. 1, when he joins the bank.
Jantzen

Mr.

•

Chemical

the

where

York,

■

Trust

York

New

New

Company,

he

regional Vice-President in

a

was

from

.comes

Bank

T.

midtown Manhattan.
■'

:

'■
.

The

.*

*

*

Lafayette

Brooklyn,

*

N.

lyn,

Yassky

of

Board

E.

L.

H.

'

'

-

.

Governors

of

Bank

the

of

N. Y., Perry, N. Y.

James
16

J,

and

Locks

and

Maryland

-

con¬

Locks,

Conn.,

Bank

of

Conn., under the
of the Windsor

The consolidation is

cisco,; Calif.,

..

National

si-

Bank,

Balti-

formerly President of the Montgromery County National Bank of
Rockville,
Md.,
which
recently

*

*

The

Comptroller of the Currency
James J. Saxon approved the ap¬

plication to merge The Montgom¬
National

County

Bank

of

Rockville, Rockville, Md., into the
Maryland
more,

National

Md., effective July 20.
*

*

,

The

Bank,

Balti¬

plication to
Bank

approved the

merge

Director

San

Fran¬

his banking

began

He

1899.

to

came

California, N. A. with the
Trust Company of Ta-

Vice-President

in

,

The. Board

He

1946.
.

;>

of

of

into

United

California

Bank, Los Angeles, Calif.
*

ap¬

Baltimore, Balti¬
with the Catonsville

One

Board

of

Governors

Federal Reserve System
the

of

the

approved

application of the United Cali¬

fornia Bank, Los Angeles, Califor¬

to

merge

with

Farmers

and

keep things
neither

but

United

California
*

Union

Bank,

*

Los

Bank.

Angeles,

be

the

He

members of the
Cincinnati Stock
was

Inc.

On Which

Have Been Paid From

5 to 133 Years

'

*'

«

f.

i

■

-

*

virtues

its

28 PAGE

and

its

1 to
-

.

BOOKLET

COST OF THESE;

200

—

BOOKLETS
25

/

cents each

_15

199
up

cents each

*

Now Corporation

;

GARDEN

GROVE, Calif.—Diver¬
sified Church Financing & Build¬
ing Service, 12112 Brookhurst, is
conducting
its
investment
as a corporation. Officers
are
Charles
L. McClain, Presi¬

dent; Gabriel R. Guedj and Wil¬
C. Sawers,. Vice-Presidents;
and William C. Bryant, Treasurer.
liam

Hecht to Admit
& Co., 14 Wall St., New
City, members of the New
York Stock Exchange, on July 26

On orders of 100 or more, a
cover

three-line imprint on the front

is included without extra cost.

Commercial & Financial Chronicle
Wm. B. Dana Co.,

Publishers
York 7, N. Y.

25 Park Place, New

Please

enter

Canadian

our

order

Common

for

Stocks

with

Copies of booklet on
accompanying dividend

tables.
Firm Name
Address

*

By

—

York

Calif.,

previously

with J. N. Russell & Co.,

CONSECUTIVE CASH DIVIDENDS

mo¬

more,
Md.,
elected
Louis
Siegel, Executive will admit John J. Grandefeld to
^National Bank, Cantonsville, Md.; Vice-President of loans. Harry N/ limited partnership.




Winston, Exchanges.

K.

—

Hecht

*

and

Common Stocks

as

need. it

drawbacks." "*

Calif., under the charter and title
of

Street,

York

op¬

business
The

New

CANADIAN

the job of mak¬

us

now

*

*

(Special to The Financial Chronicle)

CINCINNATI, Ohio — Robert L.
Anderson has joined the staff of
Westheimer
and
Company,
322

1962 EDITION

nopoly of others. Every alternative
will have its supporters and its

the

chants

merger

D.

and

Vice-President and Secretary.

and that is
they have been.
The initiative is not our monopoly,
to

.

July 20
approval
of the
of the Farmers and Mer¬
Bank, of Blythe, Blythe,

Treasurer;

tion is not open to us,

in

System

with which Mr.

also associated.

was

for

alternative.

the best

its

announced

Mr. Oftring

Joins Westheimer Staff

Walnut

report concluded that, "To
nothing is also a choice, but

do

opponents,,

Governors

Reserve

Officers are

President and

Edward M. Ladden,

The

and

.

to engage in

securities business.

internal ad¬
justments courageously and
smoothly."'

*

*

Oftring,

Bagdis,

formerly Vice-President of S.

was

Romancff Co. Inc.,

teenth Street, N. W.,
a

substantial

ing

as

retired

Treasurer and Clerk.

A.

J.

trade
greater degree
and better use

resulting

time leaves to

member of the Board of

*

Federal

1936

Cashier

and

July, 1950.

The First Na¬

of

a

in

Bernard

Ladden Winston Securities

resources."

not

Francisco

San

Frank

are

President;

Rog^r H. B.
Wat¬

WASHINGTON, D. C. — LaddenWinston Securities, Inc. has been
formed with offices
at 905 Fif¬

tariff walls, the
report
said,
"leads
under
the
pressure pf competition to lower
costs, to gains in productivity, and
to higher income, but at the same

The

joined the bank's Head Of¬
in

be

a

s

The lowering of

ca¬

Portland Office.
He

Treasurer;

in

engage

Officers

Robert Alker, Presi¬

are

and

with offices at

to

business.

securities

a

W.,

has

Oftring^'Inc.,

Bagdis

levels of produc¬
reached [by U. S.

partners from a
of specialization

Wash., which was pur¬
chased by the bank in 1919. After
serving as Assistant Manager of
the Tacoma Office until 1925, he
served as Joint Manager of the
bank's Seattle Office until 1927,
when he became Manager of the

fice

in

N.

Avenue,

Davis, Vice-President; and
son Andrews, Secretary.

ing to the report, "would limit the

July 19 at the

died

can

advantages

The

of

Merchants Bank of Blythe, Blythe,

Comptroller of the Currency

James J. Saxon

tional

in

reer

nia,

•

*

dent

Maintaining tariff walls, accord¬

Calif.,

Maryland* Na<

tional.

ery

*

of

Alward

became

*

Officers

com¬

ductivity would occur in a United
States unprotected by tariffs."

of 82.

Directors

:[!

San Francisco,

California,

after July 20.

the

,

*

and

of

"

with

••

Herbert V. Alward, former Vice-

or

Md* elected Reuben Riggs,

merged

v

America,

*

on
,

: more,*

July

National

title

bank.

effective

First

National

Thompsonville,
charter

announced

Windsor
First

the

Currency

approved the
the

of

of

Bank

*

the

Saxon

that he has

solidation

-I-

,

coma,

#.

engage

..

v

r

*

Fidelity

of

and

our

"But if higher

the

Vice-President.

a

Bank of

*

/
*

Bank

..

Connecticut

industry] in comfortable seclusion
behind a tariff wall, it is certain
that at least equal gains in pro¬

President

Citizens Bank

•'

productivity
costs sufficiently to be
-

tivity

of Perry,

•

economically feasible
States only if we

United

Bagdis &
been farmed
507-Main Street, to
securities business.

WORCESTER, Mass.

WASHINGTON, D. C.—First Co¬
lumbia Securities Corporation has
been formed with offices at 1028

pean

of

&

Form, Bagdis Qffripg

Form First Columbia Sees.

two

ton, Texas.

tional Bank of Perry, Perry, N. Y.,

Comptroller

into

market because of its tariff
wall. The report added:

*

Vice-President

Brook¬

Harold

Reserve

The

*

Fenner

Birkenmeyer & Co.

Credentials: Wilson Birkenmeyer,

petitive," the report $aid. Other¬
wise, the United States would lose
much of its present large Euro¬

Garringer, has been elected

Executive

age

into

lower

4

<
*

System
an¬
nounced its approval on July 24
of the merger of The First Na¬

Federal

•

Pierce,

Lynch,

Merrill

Milliken,

Sam

Smith Incorporated.

would

States

World

Free

"is

the

increase

Calif., elected Mario F. Franches-

Director.

a

ton, Texas.

chini

Bank,

...Hs

Tthe

A.

'

elected

Y.,

the

This
for

Reckling, III has been
named to the Advisory Board of
the North Side State Bank, Hous¬

Bank,

elected

*

State

Central

The

•

Director.

a

*

•

*

has

Y.,

N.

Publicity:

S.

Harrisburg National Bank, Hous¬
*

National

Miller Corwen

divide

R.

>

-.

Special Events: Robert Powell and George Coughlin, CoughCo., Inc.

Committee
Robert

Inc.

..

..

United

the

and

City,
Knipmeyer

J.

Sullivan & Com¬

Rummy; Bernard Kennedy, Bosworth,

Gin

report said that maintain¬
tariff walls between Europe

ing

*

*

effective

of New York,

Transportation: James Lee, J. A. Hogle & Co.

The

Executive Vice-President.

of Sterling National Bank & Trust

Company

/

man.

^

W..

elected

Mo.,

William.

F.

,

Lippitt, Hornblower & Weeks.

lin &

l/niversityL; Bank,j Kansas

(iJ..

Phillips, Eosworth, Sul¬

Prizes: Victor Gerali and Brock

blocs.

;L,„

y

Bank,

Campbell, President,
Donald H. Parsons, Chairman, and
S..Tenney McGraw, Vice-Presi-

in

Reservations: Henry Perry and E. L.
& Company Inc.

Macfarlane, Chairman, Northern
Pacific Railway Co., Saint Paul,
Minnesota, is Committee Chair-

*

Mich.,

Sommer, Boettcher and

pany,

Douglas

the

Vice-President

a

*

James Harris and James

Invitations:

titled "The

sued by the Chamber's
on
Economic
Policy.

named

was

Ron Moore, Kircher & Co., and Ber¬

Company.

Impact of the Common Market on
the American Economy," was is¬

...

Bloomf ield

-

Birmingham,

was

of

1950.

'

,

died

trust officer of the Chemical Corn

Exchange Bank in

President and

as

Director.

Jr.,

Woody, Peters, Writer & Christensen, Inc.

livan

The 50-page report,

•

Hill, Boettcher and Company.
and George Van der Veer,

Owen

Golf and Players Pool:

lowered

be

P.

Mullen Investment Co. and
Phillips, Merrill Lynch, Pierce, Fenner & Smith Incorporated.

nard

tended to other countries.

Richard
C.
Rugen,
who ,was named Vice-Chairman.
Joseph P. Gaffigan succeeds Mr.

*

the

listed them as:

won't

States

Thomas

Entertainment: Louis Gnam, J. K.
Alan

(2) Tariffs will be lowered sig¬
nificantly and the tariff cuts ex¬

succeeding

Meuche, Vice-President

Chemical

Re¬

Glenview,

-

*

United

General Chairman: James

Peters, Writer & Christensen, Inc.

significantly.

•

State Bank,
sistant Cashier in 1937, an Assist- '
ant Vice-President
in. 1945
and - 111., elected Paul Jones,
Glenview

Vice-President in 1951.

Thursday, Aug. 9, and on

on

$30; and for guests $30.

Tickets:

(1) Western Europe will be or¬
ganized as a Common Market but
tariffs
between Europe and the

As¬

an

-

really

is

alternatives,"

two

Chamber said and

System, effective July 13.
*

Mr.

Federal

the

of

Governors

serve

States

United

with

left

to

of

the

and

Club

Members,of the Outing Committees are:

problems,'; whatever
on the foreign

fail to do

or

of Commerce of the United States.

insburg, Ind., under the charter
Indiana, "•
and title of The
State Bank of
Ohio, Michigan District in 1947.
Salem was approved by the Board
He was placed in charge of the '
Western

party

of town guests may make reservations through Henry
Perry, Bosworth, Sullivan & Company, Inc.

re¬

front," according to a re¬
port just issued by the Chamber

District and moved to the

Middle

summer

A cocktail party and buffet

Out

trade

Ind., application for prior consent

,

do

we

substantial

"face

will

adjustment

89,915,213

'Government

*

.

States

104,111,842

93,d26,632

impact of the Euro¬

Common Market the United

pean

from

due

Undivided

'

bers
Under the

$

389,508,951

_____

and

Loans

golf tournament Aug. 9 and 10.

Aug. 10 the annual outing will be held at the Coiumoine Country
Club.
Tariff for non-golfing members is $23; for golfing mem¬

Dec. 31/61

Jim. 30/62

security' holdings

service
%

and

AndU. S: Economy

TRUST

UNION

$

banks

-

-

with the Central Atlantic District

with

Common Market '

effective

CINCINNATI,

resources--—

; U.-. S.

Indiana,
He was

District.

The Bond Club of Denver will hold its 28th annual

-

THIRD

,

Total

CLUB OF DENVER

BOND

Montgomery

Md.,

'1

Cash

He worked with the South-

ern

Fairfax

will be held at the Petroleum
*

ti

.I

FIFTH

Deposits

ferred to the National Division in

1931.

James A.'

Robert E.

and

Banking

of

Rockville,

COMPANY,

trans¬

was

It'll'

THE

;•

.

Mr. Lee joined First National
City in September, 1929. He was
assigned to the bank's domestic-

branch

Company

County,

of

years

...

Farmers

H. Rauch,

and

July 20.

suddenly

54

was

age.-

the

Trust

Central and Middle

Districts,

June

on

and

Frank H.\

also made Vice-Presidents.

were

Burton

Cashier.

and

John

Rave,

NOTES

Arthur R.

Senior 'Vice-

elected

was

elected

were

Senior Vice-Presidents.

Date.——

22

Steel Industry's Future
been

could say, must be replaced in the
future if we are to increase

efficiency
in
with foreign
producers. Up until the present
time,depreciation reserves have
not been adequate to take care of
the full replacement requirements

five

which

appear

market, although heavy construc7

present an optimis¬

tion programs
tic note.

-

/

,;

.

;

to the standard es¬

In addition

steel can look

tablished markets,
for

expansion of volume from

an

Here there has
been a change of philosophy in
for. steel by. the machinery indus¬ the
Industry as it has taken ag¬
try. However, without deprecia¬ gressive
steps to develop cam¬
tion
reform we can look to- a
paigns for new uses and new
steady market for, steel in the applications .of. steel. A few ex-r
machinery
industry but. by no amples will -suffice: to indicate
means a rapidly expanding one.
this trend. The Industry has been
most
active
in
its
attempt to
;
Construction
*'
v
capture the soft drink market for
.

products.

new

want
are

the

ranks close to the

tin

the

the

not wish to

econ-

whole

mini-

borrows merely to replace
equipment, and has to do so
continually, he will soon borrow
himself into bankruptcy. Further,
if stock is issued to replace plant
.and equipment and not for purIf

wherever

reduction

determined

On-an

only when all of

have

costs

subtracted

been

one

his

take place, but I merely
to ,stress the fact that profits

from gross

income.

ing expanded in the development
of direct reduction of iron ore, as

Genuine

throughs

of expansion, it will dilute

In
as

technological
break¬
few and far between.

are

fact, we may have to look back
far as the continuous hot strip

.

>

an
average which crease the-..number of
correspond to the "ex-' be rewarded through

perforce is
not

,

.

If this

can.'

*

Cos'is

are .a

„

.

„

s^ry *°-r a
!

matter of great con-

period,

Another

for

where

area

point
costs

can

be

must

stressed

that

re-

•

search and development is of lit-

can

management, particu¬
be kept in line or possibly re¬
larly since it feels that this area
duced is at the bargaining, table
is to a great extent undef its control. Speaking;,broadly the total;
^ab0r and ^management
cost picture can be improved if;
era Progress in the steel
productivity is increased. Here I mdustry- has been made in the
speak of productivity in the fulir*3^ negotiations, where the lnsense
of the
term, namely,..:the. crease—inflationary
or mon-inbe done, *
cern

*

tie value if the fruits are not ap- /

plied through capital investment.
the

Thus

program

which the

zation,

;

of moderni¬

steef industry
time,

has had underway for some

>
must be accelerated and expanded.;

Here,

mentioned

before,

is

as

insufficient)

difficulty

ratio between all the input factors'

expansion in tin plate demand

the

as

may

the equity of stockholders and in-

poses

industry-wide basis, and

better rolling techniques,
likewise bear fruit.

well

flationary, and this point can be
of production' and the resultant~ argued—was closer to the advance
consumer of steel. In fact, in some
would
be •' truly -enormous.'; It
post war years it was the prin¬ would at least rival, if not sur¬ output. Thus. a. true increase' in m productivity, than it had been
cipal
consumer.
This. industry pass, the beer can. However, the productivity in all of its respects *ln Previous negotiations,, and this
would mean an increase in effi-"'1S
significant* Perhaps^ we are
covers a wide variety of projects,
contest here will not be an easy
ciency in regard- to manpower,*entering an era in which an attiincluding
commercial ^construe-, one.:.' ' :
1
raw materials and capital equiptude of statesmanship will prevail
tion, such as office buildings; resiautomotive industry as the prime

Thursday, July 26, 1962

.

shares to mill, the eold reduction mill and ;
dividends, .electrolytic tin plating for the."
perience, of some individual'com-v However, if it is a matter of eco- more important ones, in the past •
century.
However,
re- ;
the nomic survival, companies may quarter
• panies,'. we see that, costs in
past few years have tended to have to borrow or issue stock, as search and imaginative planning
can speed .the realization of these )
go up. This intensifies the probindeed some haye, to put, their
lem in the steel industry, particu-* plants
and equipment in first developments, and likewise will;
larly when we relate it to what class operating condition.
This do much, if coupled with aggres-'[
sive promotion, to adapt steel for
has been previously said about, cannot go on for any length of
the volume of production.
time but may be absolutely neces- use in new products. Yet, the ;
this

may

,

,

Construction

where

for

.

.

,

New Products ;

demand for
new
machinery and this will be
reflected in an increased demand

areas

do

cost

they

that

to

I

structure.

mize

.

at present, however,
that it will be a greatly expanding

tremendous

a

•

•

in the past. It does

has

it

equal

quite

years

not

Congress have recognized this fact
and a bill is presently under con¬
sideration to grant tax incentives
for investment in plant and equip¬
ment. If this is passed it should
create

*

balance, the construction in¬
dustry should continue to .offer
a
market for steel for the;next

gap
.and

a

Administration

The

exists.-

•

•

.

On

for" ma¬

Consequently,

chinery.

-

certain

consideration

due

aluminum, glass,
pre-cast slabs have

market.

a

,

omies have been effected without

as

the

entered

productivity
and
order
to
compete

industry

keen,
concrete

and

near

American

gives
about

petition from other materials has

14

Continued from page

down at the excapital costs. Thus it
false impression to talk

of

pense

.

advance that costs of production
strenuously.
I
have
gone
on
record in other, pronouncements, can be reduced substantially and
This is
against borrowing and the issu- steel greatly improved.
evident in the recent application
ance of stock for the replacement,
of
oxygen
in the
steelmaking
and again the word replacement
is stressed, of capital equipment, process. Further efforts now be¬

have gone

costs

of

Chronicle

The Commercial and Financial

(394)

one,

of

the

capital .to replace,; not worn out, ;
economically obsolete equip¬

but

ment
a.

and, surprisingly enough in ;
instances, this equip¬

number of

ment

obsolete

now

is

no

more

>

-

d

e n

t i

both

a

construction

1

*

considerable

heights

consists

of

an

highways,

the
branches of
construction industry. This is

the

deal
is

structural

heavy

-of

in

used

these

projects,

particularly for bridges, elevated
structures
on
highways,
over¬
passes, clover-leaves, etc. vast

in
large cities through¬

projects

of the

most

out. the

underway

•

requires new structures, and
it looks as if this will be a con¬

ance

operation

However, many of
apartment' houses are

new

of reinforced

built

rather

concrete

steel.
will

the

decade.

next

the

for

least

at

prestressed

or

than structural

bars rather

this

bers.* and

is

be-sufficient, however, to
sustain an ingot rate of about 100

has

mem¬

felt

been

by

would

steelmakers

rather

steel

structural

crete

sell

-

Structural steel has

tage
that

reinforced

over

it

can

be

and

allows

rent

the

mough it will be
fore

the

million

get

concrete

the

in

shorter

a

builder

to

and
more

rapidly.
An

example of the fierce

petition
forced
hotel

between
concrete

in

New

steel
is

and

com¬

rein¬

the

York

49-story
City which

has been built of concrete. When
this

contract

was

awarded

it

was

great shock to the structural
steel
peoplefor
they
never
a

collective bargaining.

.

-

Merger Prospects

.

_

are

the

some

time be¬

1957 rate of

to

per

115

been

The

made.

would

.

is reached.

year

v

•

.

Costs
in

in

must

the

In

corporate

there

area

both

management

small

are

integrated

companies,

and

non-inxe-

.

experienced

(

considerable difficulties in recent

'

graced,

have

iiiat

in raising capital for mod¬

years

ernization of

„

1

steel

:

be

one

most

>

effective

which would

as

keep them
continuing
in which energy

is

one

allow

be.expended and ingenuity

due

to

the

hope

other enterprise, fall into lution of this problem. It will progeneral
categories of
em-1 vide a tax credit of 7% or 8% on
ployment costs which cover wages the total expenditures .made for;
and
salaries
as
well
as
fringe plant and equipment in any one
benefits, material,costs which in¬ year. The credit will be taken
clude
the
cost
of
goods
and against the following year's taxes,
services;
capital
costs ' which, - This plan, as I have said, will be
broadly speaking, cover a num¬ of help, although it is not by any*
ber of items such as* investment,
means the best type
of deprecia- :
any

the-

are bound to be better.

not

.

simply

count

on

We can-

considerable,

<a

one

totals

whem

state

proposes some

and' Bulletin

F

minor revisions of

which

sets

forth

the^

is

*

/

companies should not do so, ;
the only means for
survival.

economic

their

Since J

the same type':
those which took place in the '

such
as

mergers

are

automobile

industry, they would.
in1 violation of our anti-.
trust laws, r'-1
V\ V
,r'.
not

be

The type of smaller

companies

to which I have referred have the
.

labor costs

same

exceptions)

as

(with some few ;
the

larger

com-

',

but Ao a greater extent it has the
cost factor under its control, and

industry has recognized .and has
turned ; to' and is currently performing. I can only suggest ex-

abroad—recently

built'

oj

in

planning' stage—will have
hour output figures of 12
hours

our

to

13

ton in the production
products). Very few of

per

steel

of

the '

man-J

plants

in

this

country

-

can

match

that record. The

tion is

going to be severe, and it •
to
see? any
respite. }

is

-

competi¬

difficult

taxes.
^
length of life of an asset for tax >
Therefore, if we wish to face the
Again it is not the purpose of ! purposes. New plants and modern tension as well as an intensifica- situation
realistically,
combina¬
skel-. this paper to make a minute and
tions of companies are a means of
equipment are necessary for eco- tion of effort,
eton of structural steel.
■.
detailed study of the cost picture I nomic
•.
survival; they are the most'
One field in particular, namely, .survival.
In c o m m e r c i a 1 construction
in the steel industry. However, we effective means
The economy in Europe i3 sub- I
by which costs * research and development, must
such as office buildings, there has
can
look
at- the
total
picture can be reduced. Jf depreciation; receive particular attention. Vig- stantial and solid at the present
been
a
tremendous
boom
since somewhat
briefly, and I empha-. s reform is passed by Congress, f ofous: effort here can produce : time and is growing much as ours *
World War II. This appears to be size the
term, total picture. This- their installation will be facili-: those improvements which will did in the 192Q's,; but if there are
tapering off slightly. However, it is significant, for it is-of small; tated.
However, if this is not done, result in a reduction of costs of two or three years of depressed

dreamed that such

a

tall

local

figure

federal,

up

compa- 1

statement

befalling us. The industry can panics; they have to face the same
have some influence on volume, foreign competition (many plants ;

here a plan of action is necessary,
Any complete plan of strategy de¬
mands not only long run but short
depreciation and interest charges;; tion reform.
"
*
—-'rub tactics, in the short run there
and finally, taxes, which amount
Fur then, the Administration. are :a number of things that the
to

,

since it may be

that

prosperity

'

,

ter one may wish to state things

so-

'

not

steel

them today, will beserious one. .The current situation demands action and
n°t ^wishful thinking. We cannot
with

'

tempting to merge, as well as the •.
two
largest railroads. So, there !•
to be no reason why smaller ;

inflation,

which would contribute to the

•

seems

as we- know
come a very

satisfied

this

made

about costs, the question of economic survival of the steel industry with its constituent companies,

be

'

lightly. At the present time
two of the largest airlines are at¬

nies—and

a

-

survival for these

nomic

to

made

This

things will improve in .the fourth
the present time an alternaquarter of this -year, or the first
proposal is before Congress quarter of next, or whatever quar-

capital erosion
tive

industry,

not

>

TJ

applied. If something is not done

a

in Steelmaking

the

line.

in

corporation to recover the purTherefore, one of the elements in; chasing power of its original inthe profit equation, namely, vol¬
vestment, so that in the replaceume
is relatively
constant, and , ment of its plant and equipment
thus it remains for us to examine some allowance can be made for

costs,,

is

effort

not'suffi¬

job.

Tax Reform Proposals

vary

may

do

struggle and

At

quicker
money
back

his

1955
tons

Costs

quarters

thus

cient funds to

t

advan¬

one

raised in

time

con¬

.

-

reinforcing bars.

shapes than

:ih

,

•-

A number of proposals for reslightly, but
given the present;
r state
of the economy, it seems as form of the tax structure have

the steel industry.
Concrete
reinforcing
structures
are
cheaper in many instances,"
although
they
take
longer
to
complete. This turn of events has
not been particularly felicitous for
the
steel
industry
since
most
severely

This

tons.'

million

instance

one

substitution

where

past few .years. Their demand maintained if there

.should

reinforcing

concrete

this

production facilities.
itai
investment,! it is truly in- services which . enter
into the Due
principally (although not ex¬
creasing productivity, and will, as production
of steel cannot be
furniture
formerly " made—en¬ a
clusively)
to
lack
of
capital,
consequence,, reduce its costs.of^casually* passedby. The meqhaniy
these companies have had a num¬
tirely of wood. Here there is a',
production.. If, on the other hand,za^10^ of/the coal mines has conber of lean years. It appears that
distinct possibility for an increase the
yield on one of these ,ele-r> ^ributed much to hold down the
in «steeU market. However, if we ■
ments increases at the,expense of costs of coal, and substantial iron ;uftder the present volume" of op¬
erations this experience may con¬
wish to be realistic,, there is at
the others, productivity is not im- -or® reserves of high quality, or
the present time no development'
proving.'
/
~
* lower quality ores that are easily tinue, since there do not seem to
be means available for overcomon the horizon that will bring an '
In.the matter of cost reduction'" beneficiated have been developed
increased demand
for hundreds > there are
many approaches that throughout
the world. Further, ing their major difficulties. Thus,
of thousands or perhaps millions ;
it would be most logical and incan be followed. However, it is of
in the transportation of ores from
deed almost inevitable that one
of tons of steel. Such a market prime importance to have modern, abroad, large bulk Carriers have
could develop over a period of
of the long range considerations
efficient equipment and machin- done much to reduce costs.
that should suggest itself to the
time, and in great part this will
ery. Much has been said at the
T
,,
depend upon research programs, meetings of American Iron and
management of such companies
Long-Term Problems
would
be a
careful pooling of
'the skill with which funds are in-.
Steel
Institute
during the last ' ' 9n balance the steei industry is
their resources around a strong
vested in fostering them, and ag¬ three or four
years on this sub- facing some difficult problems at
gressive promotion of products ject of capital replacement and present and will continue to do nucleus. I am talking now about
once
they have been developed.
depreciation allowances, and so in the next few years. Volume mergers of smaller companies, inThe industries I have covered
there is great concern over it, for' Wdl probably
not fluctuate too tegrated or non-integrated in the
will not present a much greater it is; difficult to see how. modern much,
and costs of production industry. Such mergers may very
.well be the means for future eco¬
market for steel than they have in,; equipment can be installed and
the

Therefore, the market here
require

-

Wjy continue to rise; if a constant

structural

than

possibilities,

in

,

country. Here slum clear¬
.

tinual

4

,

.

instance, *
third element in producmust include every one involved tion, namely; raw materials, has
in the task of production from the- received
much consideration in
president of the firm on down. If the. last 10 years in the steel ina
company or a firm can get a -dustry. Iron ore and coal are the
higher- yield
on
its
manpower
principal materials, although
.
input, its raw materials and cap-.limestone, scrap and the attendant
Manpower,

.

In residential construction there
are

other

are

-

:'v.,

ment.

old.

..

par¬

ticularly true in heavy construc ¬
tion as highways and othoj^ facil¬
ities are to be expanded, and a
steel

1

;.

,

perhaps less spectacular, such as
the development in the applica¬
tion of steel in certain types of

Turing the next few years there
will be considerable activity v in

great

one.

easy

There

of

construction.

Again the potential is significant.
However, the task ahead is not

urban

bridges, tunnels, etc.

many

the

in

inroads

residential

small

construction

and. heavy

centers;
which

in

make

to

reach

which

houses

apartment

attempt
field of

Steel has also made an

including

single family dwellings and

than 10 years

(

,

building

would be erected without

a

,

■

has presented a

new

market to the

steel

industry in the form of

tain

wall

steel.

Here

cur¬

stainless

steel has, in many instances, dis¬
placed brick. However, the com¬




consolation

to

tioris "in

area

one

have

.

cost

reduc-

if

they are more
than balanced by increases in ann
other.

This has been true where
material costs and often unit labor

■

economic"

.survival; and I: stress
term, may require the application of two means of raising

activity
production, and it is precisely. in -economic
this area that major technological Wonders what the

this

capital
among

which

heretofore,,

others, have opposed

-

breakthroughs

I,- hoped

very^

mainly

for

be
actually
achieved. It is

can

and

through

a

technological

abroad
foreign

^one

steel

will
do
with
their
production. The answer seems to
be simple: they will try to dispose
companies

•

Volume

196

Number

of it in the most

liquid market in

the

world—^the

United

and

at

*

States—

bargain prices of 30 to 40

dollars

ton below

a

our

price. How

companies in financial diffi-

can

culties

hope to survive such an
onslaught?
Mergers would also give the
new entity or entities the advan.

tage of size and product diversification.

This

for

if

company

one

or

a

two

important,

sphere. Admittedly, during the
the past five ;■ years our exports
have' declined and our imports
have increased.
This trend has
continued up to the present/ for
in the first quarter of 1962 imports
of
steel
were
virtually
double exports. Nevertheless, ,the
broadest and best opportunity of,
increased sales of steel in the
future will be in.foreign markets,

produces only

products and business

in

declines

most

is

these

lines, there are
no others to take up the slack, so
a
severe strain is placed op that

.

/

The United States at the present

time has a much higher per capita
consumption *ef steel -than any
other country .in the world; Thus,
it will be- more difficult to • m-;.

consumption here than it
low those
will: be in those countries where,
obsolete equipment and facilities it is significantly lower;-If, for
as well as cut overhead costs Subexample-,-the people in India and
firm.

merger will alinvolved .to eliminate

Further,

stantially

a

crease

plus accrued interest in both

IN UI W <Xj :

The

^

give

nrhceeds* from

bo^s

ingotjtfns,

will

cases.

bonds, which are non-callable
for a period of ten years, will have

communicate to others what is I Iciticfrl OTY1 OTI
not clearly understood. Further,
V17
communication- must be- main- jy
n
J
tained continually, not merely in JjOIIClS Vjll 01*6(1
times of strife. Since time, effort
and-funds are not unlimited, it
underwriting * group
jointly
would seem that the target of the 'managed by Harriman Ripley
educational effort, .in great part, Uo-Inc.; Kuhn, Loeb & Co. Inc.:
should be the thought leaders and Lazard'Freres & Co., and Smith
opinion formers,: for one \ cannot Barney & Co Inc New York City
expect the men in the Street to have announced the public offer'give time and study to a complex ing ;of $20 000 000 " Kingdom of
is3ue; If those who write the edi- Norway : 5%'%] "External ' Loan
torials and teach in the university Bonds due; Aug. I, 1977, at 96%%.
class rooms have the facts and The Kingdom will'make applicahave them clearly,'they will ap- tion to list the Bonds on the New
-predate the problems- and diffi- York Stdck Exchange ' -

possibly 7 or 8

size,

23

XTrvPIXTXl'v

understanding of these prob-

an

lems within the industry itself,
for it i$ virtually impossible 16

:a)com« China were to use one can per. culties * that the - steel 'industry
person per .week, a
for tin faees. /
v
Y' the
mqre, access to plate would-be establi^ed which ^ : ' /
Eummary
<_• ;;;

and will

pany ofdhis
milhon

(395)

The Commercial and Financial Chronicle

6180

the benefit of a semi-annual sink¬

ing fund commencing Feb. 1> 1966,
designed to retire all of the bonds
by maturity.
.

is

Norway

member

a

of

The

European Free Trade Association
and, on May"2, '1962, applied'for
membership in The European Eco—

nomic Community^Common Mar-

iet>. It expects shortly to

corn-

inence-negotiating the terms of its
admission with the six member

countries (Belgium, France, Italy,
Luxembourg, The Netherlands and
Western Germany). Jp addition;
.Norway is a member of the In.ternational Bank for Beconstrucr

'the' sale''of '&Qn./aii4 ,..Pev40^W»eot", (World
added Bank),
International •. Monetary

inibTllv L

^0?^^ fordgn exchanged- 'and International Finance Corp.
Fund, International Development
5

5

y

,

maintain that we face the, greatest Hvill be applied to the acquisition
.'crisis, in. the history of the indusr- and importation of capital equip-

to other products.
Obsolete Facilities

Norway
mated population of 3,626,000, and

jstwnated 1961 gross national

...
,
,
j Must Cultivate Foreign Markets), try. would be an overstatement of ment required for the developan
Further,-it Would be highly dethe case Who smonfi vou would ment'of the Norwegian economv
product at current prices of 33,v
and econcmiiCal if the• in-/ ■ In spite of the fact that we in trade today's situation for that of
V
252,000,000 kroner ($5,355,280,000
dustry in the near future would the United .States are at: a disr >he earlv 1930's9 It is true nrofits * ; The bonds will be direct, uneon- in U. S. Dollars),
cmues
wmcn
are. ecoscrap
facilities which are eco- aavantage in cosis ox Steel pro- are dmim and competition is severe ir.
advantage in costs Qf steel
Or0 down
««««.« ditional and &
ri*
,
general obligations ^
i Z?
of
obsolete and,<in many ductipn in comparison.with other:vbutthWfe are still profits; Whereas
'
L.
'■
,■quite aneient. In basic countries,
we
cannot
abandonin I932vthe industry lost over $300 f^k equally with all other loan ,
^
■>
here" are
steel
Kingdom;-In(&»m totwb
CHjwwq*)
production . there are be- .foreign -markets. W- foreign com- million. '
be- foreign markets to foreign'
"* ■
-' " wvcx - ,,'?'vv indebtedness of the Kingdom. In- .
tween 20 and 25 million tons of petition. .These new and expandThe struggle, for economic sur- 'te*est °ip* and pruicipal and pre.- .CLEVELAND, Ohio—Virginia B.
.u

,

,

,,

.

u

Sirable

^hSPSSfiHS

:vival we face today will continue.
capture, but Jt can be done. More -x^re is no answer to it In fact
than half a centqry ago in the *We will never reach a point where
189(ys we faced the same problern
have solved all our difficulties.

statement is not
lightly, but is~ the result of
survey of the industry s faeili-

made
a

-any °d?he bonds will be MacAUister has joined the staff
|?y®ble ^ currency of the United of L B Schwinn & Co., Union

-m-lu™v

whichjshould.be ing markets will not be. easy to

capacity

Scrapped. This

:^eg-

••

.

and. were- able tq. capture many: ^^ nm sure-all Jof.

\

us

stateg-

'

The

bonds

»

Commerce Building, members of

; i
are

at the Midwest Stock Exchange.

redeemable

realize that, the option of the Kingdom at re-

Further, many of these. facilities, foreign markets, and- held .them,, an(j know that the effort must be
are' poorly located in respect to for many years. The situation -to*":What
bothers
most

■

demption

from Paine, Webber, Jackson & Curtis
and prior thereto was with John

ranging

prices

the pew
,opgen^onyer(te^
will provide all the steel that we,
here in the,.United-States,; will
as

next

the

circumstances m
few years. In fact, the

under

need

le easy^.Nev.ertheless.v with the proper appn-

as;.-the task will not'

.existing furpaces

oxygen, un

any

cation. of manpower, equipment
:ahd materials; accompanied by
• deliberate"' planning r arid skillful
financing of

wls

u

the

>

nor

in^^1920, 1930^

came

in

1965

Changes

P. Witt & Co.
-department,

■

'

in the trading

rf*

1962 EDITION

1960, and it will not be

will'

take Place,-so that sheer resistance •
is not a nractical nhilos-

- to. them

exports, we can re-

1890^

hi

0r even

Miss

MaeAllister was formerly with

101% beginning in 1972, to par in

markets, and to attempt to mam- day differs from that of 60 years .people is the. trend that events ,1976 and thereafter to maturity;
tain mem in-a stand-by capacity ago. insofar .as ^ the; cpmpotitdon ;jiave been taking during the. last and for the sinking fund at par;
pending an emergency or a very abroad not only has lower labor few decades
There have ; been *
sharp increase in demand is a de- irates, but also has a high percent- changes
and
most of us fear '
luslen; The new equipment that age of .capital equipment which is 'change. But one myst realize that
has been installed and the use of every bit as good gs oprsThus, the economy is not the same as
well

B. Schwinn Co.

With

OVER-THE-COUNTER

■

bphy. We must move out to meet

.Potential of. oxygen in steelmak-. gain; the position that has been the change and take it, if possible,'
ing is not yet fully comprenended. tost. We might make immediate ^ 0UE own- terms, - rather - than
When it is, we will find that even gains if exports • were properly> have |t:'-pv'er^whelm us. - when" it.
with-20 to -25 million tons, of ob- financed, because our competitors 'C0mes to pass," Such an approach
solete
facilities
scrapped,
there abroad very often get orders for - will
considerably in develop- ■
will be niore than adequate steel steel, not so much on quality and
jng confidence..
, \
;
melting capacity in the country to ; pricey but on' attractive ; financial - ; "The industry can and must sur- '
meet' peak loads and emergencies.- terms
and vigorous sales -cam- : vive profits mav not be as sub-'
The maintenance, of,obsolete fa- paigns.- ;
':
- stanti5 as they were a few years'
•cilities,. eyenr in stand-by
conThe' foreign." market ^ is
the agp, yet ways and means must be
dition is a costly proposition and,
iargest growing market for steel found to maintain them if we are
in some instances, scrapping these ^
WOrld and we cannot let- going to have economic survival...
facilities - could
even
generate it.go
by default. This Ig,defeatism- I.believe we will. Despite alumin-.
'cash-...;;.
.!
;
:^ia sentiment we cannot afford.\ ' um, plasties, foreign competition,

;
4

-

',t-'On Which

...

CONSECUTIVE CASH DIVIDENDS
Have Been'Paid From

•

It,is possible that

•

■ate"
ate

the-elimina-.

j.

a(jdition

the

5 to 178 Years

and adverse economic trends, the

aforemen-

oSb?e fcf'in TommLiSes tioned strategy I wouldwhich to ; survive economically.survive and
-like: is steel industry will
m. communixies
item
It may be

»

p r o b l e ms

—

neneri

comnanies
companies

Included
.

^

5"^' £

>hut down hand- sheet mills and
strinmills

lioiishnt

—

ftk

c0US?v

It Is

the steel indiistiy will

survive.''

andcold re-

■

-

-

-mh.*

.

^

an

are

of

number

years

December 31, 1961, percentage

tion, also

•.

consecutive

dividends have

the twelve months to
yield, and December 31 quota'

paid, cash dividends paid during

been

atmosphere or climate. in which v *An address, by Father Hogan before
industry .operates. • This"; may the Annual, Convention -ff the! American
rtnetion
TTiiliR Toclte^ iri
laree -an -industry:operates. ^, This - may ~
•;
LS Seem to be ihtangible ,at first but ;iro„ & :$teel Institute,. New -York City.r
hW Whlrfi^lo?t^'t^
hand mills'in le&ty it is highly significant.
_ _ *
;
'
'were to ^^Spi^e^i^ corn-: 1 woaW submit thatmost.inj-i:: Ebm,
,;-;
munities, economically speaking. •
™i3
WNNMPOUS, Minn.-James L,.
Thcrp
waV not enoueh business mosp-re
; chmate-A* not an f.Bergtold has "been, named man4

BOOKLET

PAGE

48

more

in® the^ 930?s®whra manV -of utmost importance to the • eco- changed somewhat but as long
wlro xorcea to nomlc survival of::the steel in- as .energy ingenuity society,, the
forcS xo
and vision
were
frv
for that matter anv inare apolied in a free

'

■&eef
steel

to

analysis of the difference between

an

,

>

counter

:

listed markets.

and

the over-the~

; '

'

Robertson Names

COST OF THESE BOOKLETS

;

■

1

;

•

■

•

to

™more

the

than two te

/
.

with'the

change.: ;

The. same

r

a^eTy-'

situation, may well

cover

affairs

'

petuate forlorn

more, a

three-line imprint on the front

is included without extra cost.

joined Ebip,. Robertson & :Com-:

hea'd

n

•

•

1

cashier..*

.

w

"Wm. B. Dana Co.,

v.

socialPnndpah of the firm, which-

of

—,.-^-20 cents each

^ * ' feaSQnable'Craig^ljum, Kinnard, Inc.,.has-'
and security,;.-

safety

of

•ever, it is better economically and and here j want to stress the word
t>
^socially to make the adjustment,, j-^sonable. There must be confi-".
for it will result in a healthier denqe in the: political and

-state

200 up--—

*

On orders of 100 or

^d'aeW
htiw*Sh&m
.Investors-Diversi-;

.~:V

iL^rannPd I?iwe where
amount

Pre^al1

*steel

;_>.__^30 cents each

-

■

:off

50 qents each

25 to 199

economic factor but a psychofog -. agerB oi the trading department of
'three davs work a' week "in the ca
°he- Men who are in business,
reCently ;organized firm of
long rub despite som^^immediate or' who' Prov de ^d allocate the. Ebs
Roberts0n & Company, Ine.,
harhsto^ thf ploX were better ■ capital «r,mate
decisions, that ,.Rand, Tower,' Mr; Bergtold was.

gfve

■

to 24i_—

rather than per- 'institutions under which they
hopes which can erate In Qrder for such confi-

Commercial

-

securities,( particularly bank and'
insurance stocks, are John P. Ebin,r

materialize;
>
:•
% deuce to .exist there has to be un- formerly with the trust investucxsiauuxiig
f
j
f
f
f
fup
Nnrlh-'
J
Part of the strategy for eco- derstanding - mm respect amopg
and. xcojycw
nomic survival in steel must deal the elements of society -directly;
-L~~'
x J--1 41
1
A
^
J
timSl Rank and Rob-'

&

Publishers

Chronicle

Financial

"

25 Park Place, New

York 7, N. V.

.

J

r

; never

xui

cw-

is

a

our

export market, and this concerned

with .the operation.Of;

im- the economy, that is business, la-,
short-run ..approach, bor and government.;, ,V . ;,'i

Jong-run rather than an

mediate, or.

Unquestionably steel markets
throughout the world will
in¬
crease. Under-developed countries

^ertsenVpreviously

wdth:

Northwest BaJror™ratiZ and^he:

V Please
.

!
order for—booklets on "Over-the;

t

enter our

Counter Common

,

'

•

Stocks" and accompanying

'

be gen-,
reckless aggres-J. J -.-J. Named Director
:
sion nor apologetic defensiveness..
.
; :
A
.
•
are in need
of all types of steel It can only be brought about as a* Rex Reno, partner in Cruttenden
products, and although the ca- result of an educational effort and & Co., Inc.,, member of the" Pa-„
paeity outside the United States this effort must be a continuous cifih Coast and Midwest Stock Exhas increased
considerably dur-; one jn which the problems of the changes,. has been elected to the
ing the last 10 years, there is no industry are stated with force and Board of Directors of Mackenzie
reason why we
should not think skill and without hesitation. It is & Co., manufacturers of Kalani
of foreign markets as part of our
therefore necessary that there be Wines.




.;

-

.

: with
'

•

Such understanding can

erated neither by

Address

——-—

—

Firm Name

By

Date

dividend tables.

The Commercial and Financial Chronicle . , . Thursday, July 26, 1962

(396)

24

>

.

of 4% encourage the switching of stocks,
for both late in 1958 in opposite and the regular buying of Mutual
directions to 3.3% stock and 4.6% Funds, Pension Funds, etc., created

ductions in personal and corporate
-Lit/llvl income taxes should not take

High of the market. This situation was not strong enough to resist
called for an adjustment and as panic selling. In further support

little damage. Take for example
the argument that a weak stock
market will not be able to raise
sufficient equity capital to finance
expansion. In recent years, not
more than $2 billion on the average, were raised annually in this
way. On the other hand, corporations can continue to count on
internal cash flows' (amortization
and undistributed profits) of $3637 billion for 1962 being immediately available - for investment
spending. As the latter will not
exceed $38 billion and newly issued corporate bonds'find sufficient buyers, it does not appear as

profits sufficiently rose to bring moves, the floating supply of
up the yield from stocks, the ad- many stocks remained thin, withjustment had to come from a out substantial addition of new
decline in the market. Today, equities (net new equity sales of
stocks are back to or exceed long- $2 billion annually against $24
term average yields of bonds at billion new debt instruments fi4.3%. The argument that larger nanced by he public regularly),
stock yields than the current ones The long-term investor, holding
are necessary to attract buyers income-earning stocks also prefers
and that in a normal market situ- to stay locked in for various reaation they should-always exceed sons. Even if sales were to bring
bond yields, is not borne out by large profits, the 25% capital gains
facts.. Over long pre-war periods tax had to be paid and wealth
they continued at equal levels and was irrevocably lost. Then, too^
fell below 4% during one of the,the almost insolvable question
most dynamic phases of our eco- arose as to what to do with ,the
nonm! Expansion from 1890 to 1905 cash in a period * of a slowly

-it

-

the inevitable rise in

j_

I iD^TnD I InPQ [V Af
iYLdi xVt/ U JLyC/Vyllll vv JL/VyvI/O 1 wb
l\/l

In all these sectors of the econif the much heralded re- bond yields at the December,

"

T Tvittto T»rl
rjlld 01 U UVVcA/JLvi.

Ti\,^ J

VI P£l

M

new

the

use

*1

against inflation, simply because
we
had
only moderately rising
wholesale
prices as
they have

98%

hold
,

*

of all

public

common

foreign deficit caused

Q

.

an(j

marginai

.

panicked the American

1

to protect themselves

recent years

$

ex^g^r1f^

*

invesmarket in

of old and

not

did

tors

facts.

by

supported

are

Millions

large

private capital out-

*
should Jbe
considered an
ejeme'n+ 0f strength of the U. S.
again and again moved over time donar the stock market and the
in the past.
Significantly, prices Amerj'can economy instead of a
of

materials and intermediate

raw

■

stagnant

remained

products

f alarm

that

during

far

most infla-

our

highly undervalued. Inflation fears

ifpr»fivp

am^fthe^*

eood

a

ex-

fryfng

of

dead

now.

whv

with

When

assess

we

&

rrmqt rplate

wp

ris°nk leZnd

-

XT

"What will happen to the con-

employed, he faithfully will spend
his income on consumption. It
does not look either as though
he based much of his consumption
spending on realized market
profits now grown thin or mot

tage ^rners

many

and had first

an/j
*»icind
0*nlH
pIsityi for oil pxtro funds instGod
and rising gold stocks, private claim tor an extra iunas insteaa
capital spending continues at his- of current consumption. When-

1

the deep-seated

of inflation

fnrppq

j.

i

tin

funds.

sperialp^bKym^ts iSTlMl).
PriveitB1

SKe comee^l ^

torically high rates and both wage ever these investors sold at profits,
income and consumer spending they ploughed back the entire
growing poDulation, and to fast continue to rise at favorable rates, receipts to remain fully engaged
rising wages paid for a shorter While
profits .are under some m the market. Under these cira

snendine

of

Dower

We must allow

productivity

tncreasing

too

e^xpenS'tures

pubhc

expanding de- cumstances, typical consumption

adjusted prices spending wil be well maintained

of $350
travels,
bring and the purchase of luxury boats
and houses, and so on, are bound

and the full utilization of exist- at the present annual level
ing capacities assist in the lower- billion, though expensive

large

for

deficits*

without

even

pressure, steadily
mand at upward

large gains in

work week without

for

outUyS for investment ing of unit costs and should
research and development that are an early improvement.
not necessarily cost-reducing; and
In spite of all these favorable
for
the general experience that aspects, German common stocks
rapid economic growth, in terms have been declining since 1960
of specialized labor and material from an average high of 800 (Jan.
use, will increase costs. All these
1
1954=100), to 600 before the
forces in our economy are suprecent panic and by another 120
ported by a credit system that points since then. Today, the marstimulates
spending
and,
thus, ket value of all German stocks has
there will be more sail than an- been reduced to a paltry $20 bil-

business

the
long-

chor in the price structure of
future. Even an unexpected,

spell of table prices must not
as a market depressant

er

be feared

because it would

permit a lowerbond
yields
which, today, require an extra
premium as protection of the investor against the erosion of purchasing power. Obviously, such a
ing

stock

of

situation
able

and

would

create

favor-

a

price climate for stocks.
The Foreign Deficit

References

to

budcet

Federal

nnhalmeeH

an

the

and

the balance of navmenfq

market

orable

fiscal

the

of

amounted

to

of

1.4%

enough

nrices

outflows
as

a

international
liauiditv

to

not

qtock
deficit

gold

and

internreted

wronelv

is

Gross

the

annearq

influence

to

The

related

as

ended

iust

National Product and
large

deficit

Federal

vear

But

signoost to devaluation

even

in

hvnothetical

the

devaluation

question

which

we

is

would

former

operates
In

as

case

of

caqe

out

deal

bullish market factor

inflation.

in

nnfav-

nreqent

at

forces

The

absurd

are

deficit
aq

of

the

with

a

because the

pacemaker
of

of

dominant

devaluation fears,

stock selling by
foreigners to convert their market
profits into their own currencies

to suffer.

Fvalnaf^ Slork«

**ow to Evaluate Stocks

w

^

prices eroding dollar. Late in May, how•

ever, panic overtook many

inves-*

tors who sold to save much or

■

,

SETSaW menaCed'

...
_

Drofits

oorDorate

while gross corporate profits
?bould be expected to rls®>_ ^ven
3*
1 th! rvr!^ kT
.Jfcted growth of the Gross National Product, their translation
">to stock prices should not be

■ uToday- we face many impoverlshed lnvestors, at least paper

value-wise, who bought "appreciation values", uncertain long-term
investors who continue to hold
gtockg of rigi
ield and
other inve,.tors and liquid ..asset

ggg*ed- No relrablt^ correlation holders amply supplied with idle
sTuaton remains favwauTwhite
a"dCcilcu ntc. stondords of be used fhoriIrlJt months far bSto yields
earnings that could mmkGt
Xrs o^o AltoPpthpT*
o fpuv

^
,

Prpqentlv

*/'.montns ago. Altogether,
the attraction of the market has
equ v- .n0,
its
has a new
1
enthusiasm arisen for different

thp D-T indus-

yaiues. rresenuy, tne uj maus

™ earnmgs average $36

and

ranidlv

a

declined nor of the upward pattern of price

might have with .sharply rising - stock
of lack of at the end of the period.

Iback,ed bysm-p uses m the ™WbIe

evidence is forth- sound

no

do neither bond yields

to be curtailed because

to

houffht for lont?-

he

investment

term

can

pi" down stock declines on any sumer?" appears as another freof the economic factors already quent question. As long as he stays

most

fn

ac

>

mentioned, or many others. The
conseauent Germany economy remains full
illation of marketdemand and employed and continues . to grow
of Ttock n?iceJ^ While we should under the incentives of low persvmoathize
w i t h
^o^rrfment- sonal income and corporation
expressed hopes that inflation is taxes. Her currency is extremely
should

storks

'

ar«„mpnt

If investment spending

-

Experience

furnishes

s^rLZllweaUhWquira
as a

^

.

The German

total

our

in 1961.

1948,

tionary period from 1945 to

serving

exceeding

deficjt 0f $2.5 billion

stocks did not move and remained

different factor

and a warning

bey0nd our means

j.

is striking when we re-

inflation
call

that
Only
a
prosperous America
could af£0rdr $4
billion private foreign
.

|

or
declined since 1957. The indifference of the investor to real price

the market slump

place,

S-exchanee rates would

at cui:rent ?

1

Continued from page

break,

ri

±

at rurrent

1

™no

1961 a strong market which, however,

omy, even

-

TVfl"

total public it moved from an average

spending.

aJe™

a V..

,

lu

at thei traditional earnmgs-pnce- types of investment outlets outratio ot 15. 1hese ratios however^ slde the market. The younger seg^
:havetluctuatem. between ^ in .ment of investors too, who joined
anc\
•
mTo
I
the booming market only recently
were o« «II148 when
„ s0 b
t
™ey oiierea no mgger oargains losses, is not going to quit as that
than at a ratio of 12 m 1954 or wouId mean surrendering; their
at
^... '• .r.
#
.invested savings and also their
. With a min ipaql economic far more important expectations

'

-

.v» °^'^nd---'C.on^denPec

th^.future of

GNP should reach $700 billion by America. . v ; ^. . . . *
1967. Under more favorable tax
,
«*iii !nrArwai.iAii»'' •
conditions, we should expect that f : Are Stocks Still Overvalued? .
by then ,D-J industrial earnings , While the .stock market makes
-might rise to $70. When we apply its own prices related to its specia price-earnings ratio nf -18 in fic demand-supply situation, and

While we can safely reject the
fear: of recession or the concept
of "no more inflation", or foreign
deficits as the real causes of the
market losses, two crucial, questions remain to be answered., dine with our past boom experi- to competing investment instrulion
Obviously, ! the
financial Firstly, has a basic, re-orientation ence, we register a market level ments,-yields and availability of
community has a stronger world- and re-appraisal in the determin- .of 1260, or more than double ou.r investable funds and wealth, we
wide
pattern
than any other ation of stock values taken place, present . one. No such rapid ad- should look for normative standbrotherhood and when Wall Street and second, how much should the vance was ever before accom- ards that could tell us how much
catches the flue, the European fi- aggregate
of stocks be really .plished in ..the post-war period stocks are really worth today. At
nancial markets still get pneumo- worth according to prudent stand- though the years from 1954 to 1959 . a D-J IA of 5501 the listed stocks
nia.
ards?
came close to it. This projection are valued at about $350 billion
Frnnnmist
There can be no doubt that shows that a mechanical aplica- or 60% of the current GNP. Corviews OI d
stocks since the advances of the tion of price-earnings ratios, not porate assets underlying this marUnder these circumstances, the recent bull market that started in allowing either for the major part ket value will produce $52-54
task of the economist seeking to October 1960, have been high by
internal cash flows and re- billion gross profits and $37 bilgive sense to sudden stock moves any standard and that no "new search ;out!ays as supplemental lion internal cash flows in 1962.
and
to
pinpoint
stock
trends era» jn any situation has ever ftock value guides, must be used The present net worth of all cortranscends strictly economic mat- arisen where the past could be with great scrutiny to give satis- porations is $140 billion, and from
ters- °ne assertion should be disregarded and discarded as a fnctory results for any one year., 1946 to the end of this year, cormade before any other, namely guide. While dividend payments
What happened to stock values porations have received-over $400
that the market decline does not doubled since 1948, the market in recent years has a fairly simple billion internal ; cash flows and
Pr^dict any recession in 1963- vaiue 0f stocks increased four- explanation: as an increasing spent $470 billion on new plant
Equally important, the market f0id
jggj High and still is number of. investors, entered and and equipment the replacement
break will not become the prime three-times the former level participated in the market, de- • costs of which would be much
mover
a ckain reaction forcmg (though stocks were badly under- mand for stocks was sufficiently higher today. During the same
economy down, because the vaiued in 1948). As the return in increased to create a price raising - peried, corporations will also have
latter is too strong, sound and in- dividends remains the best ; ob- momentum of its... own. Until we : earned $350 billion net profits
dependent. Even if our famly good jective measure of the value of have proofs to the contrary, stocks (after taxes), paid out $180 billion
recovery should end right now, stocks, the question arises whether have not been down-graded in in dividends and $330 billion in
freezing industrial production at ^ investing public has become the public esteem. They will con-. Federal corporation taxes alone,
*ev€d)' Sross pn- wniing to go below historic stock tinue to rate high as media of This balance sheet does not invate domestic spending at an an- yieids (averaging 4.9%) as income" holding rapidly expanding wealth elude billions spent on research
nua*. ra*e
$80 billion, total from this most popular wealth- which cannot find other equally and .development, systematically
publ*c sPendin2 at ^14a billion, Elding instrument.
attractive forms of asset preser-f- applied to improve profit-making,
gross c?rP0I"ate^
The capital gains tax makes the vation. We must not forget, either,
When one analyzes these flows
bon. without turtner expansion ui ghift Qf assetg> either within the that the opportunities of genuine of incomes and growth of assets,
thiq
market or into other financial in- risk-taking offered by apprecia- one must pay great homage to the
to V?
^. c+nMr marw struments, sufficiently expensive tion greatly appeals to the average shrewdness of those who try buywould not warrant a stock maimer to impose on the invegtor greategt American. While most investors ing and selling stocks determine
reactlon 01 Panlcrestraint in switching even if deal- realize that money can be lost in their market prices. The economist
^

f

v.

*

instead of a slow- ing with far more attractive yields, the stock market, they also pa- cannot say that the present market
should expect a resump- Furthermore, the vast amounts of tiently believe in the liklihood of value of all stocks at $350 billion

Actually,

♦These

misunderstandings, partly

down, we

™isthakeVdea\ 7ere<> theue: fion of faster economic growth
even6 whhinthe limksof later in the year not 0 y becaus®
gains
in
productivity.
The
major efforts of the government
Fri^^!str|tion\tak»iniffQctiie cue fr
lhe ln that direction. The relatively
rise *in
ste^i would^eadTo^anoJheJ low level of inves.tment spending

Labodr
steei

did

round"

prospective

a

round

of

prevented

general inflation that had to be

if

our

export

position

and

plant and equipment, not yet
geared to the cutting of produc-

™

public issues provided in. the last recovery
of institutionalized

savings are
created

a
abundance

new

and

business

and wealth. In this
situation it could be argued

WJu'ie"bothCarguments°might^havetion unit-costs, cannot last much that
plied

previously

they

appeared

far

less

longer.

Moreover,

the

size

and

because of the unlimited appears as a bad appraisal. Corporate earning nower and avail-

promise of economic development,
expanding markets and needs of
regularly added, have a rapidly rising population which
climate of liquidity, has remained real enough. These

twenty years, to which large sums

a 3.5%-4% yield might represent a more normalized if not

able assets seem to be worth at

least these amounts.i The return
0f favorable psychological con-

the reasons why the ditions to the stock market could
attachment of millions of invesare some of

tors to the market buying chiefly
with their own funds is bound to

l it is interesting to observe that our

^kldchtaci'!payi^

ability

Bigmftcance of idle capacities has sufficient income from stock as- continue.
annually', should about e?uai !n value
during negotiaUons ?hitTny^wlge iSI been exaggerated
and inventory sets made attractive by rising
ThSimnlv v.
\
S D,"J
5fh0) the tCFtaI
l«sarpaXldfr5r.n,°i be ."T d- at
"g
1" COrP°rate Pr0fits and net W0*hPrice
The least
a« ""crease in prices, looks as if the strength of COn#
f"Ce ATena
lafter furnishes no further active conbadly^timed price"ncria"on"e taken
SUm^ demand baSed °n. rlsing BlamCS Market Plunge On Yields
On the demand Side for stocks, tribution to the economy though it reinevitable necessity, should not have
employment and wages will once
Concerning the ratio between the selling skills of 150,000 or servkine'^that eouli total dividend Dav-

i£ bas?c mufa J 6 ste,eI inM 8trr. m,ade

th

?ep."Cf deba L7eerrL's0dme0^erout!:i, ^

K

t

as

an

een

ca"ceied.




more

turn

the

tide,

apart

from

stock

and

corporate bond

yields,

more

representatives

who

also

ments.

Volume

lead to

an

100

add

or

Number 6180

196

ing control aspects of stock own- =
ership and should be modified,
of forced stock The taxing of earnings of Ameri-

enormous pressure
sales
originating
from . margin
calls in a declining market lead-

•

of the GNP

The Role

can-owned enterprises abroad
without regard to the use of these

declines, earnings,, would not improve the
u- s- economy nor that of our
raise the D-J
Conclusion
Allies, not to speak of its retardlevels.
Over the last 20 years,
The precipitous market selling ing impact on corporate growth,
the stock market increased at the at the end of May appeared preConcerning the reward for savlargest percentages whenever the dominantly as a reaction to an ing, the current rate of 4% perGNP
achieved a sizable
dollar incidental, unplanned and sporad- haps exceeds what can be profitgain. For example, when the GNP ic utterance
about prices and ahly maintained in our economy
moved up by $27 billion in 1950, hence profit levels in the steel in- where large institutionalized and
stocks gained $25 billion in Value; dustry. The realization that short- business saving become regularly
the. advance of the GNP by $35 run inflationary forces
are
not available while the demand for
billion in 1955
(followed up by -advancing presently, as a kind investable funds-.is not pressing. ,
another $23 billion in 1956), was 0f sequel to the steel case, might For .the
time being, corporate
accompanied by gains in stocks also have contributed to the very profits do not run sufficiently
amounting
to
$70
billion;
the obvious change in mood of - the high to encourage a fast expansion
growth in the' GNP by- $40 ;bil- Volatile part of the investing pub- of production facilities that might ;
lion in 1959 (followed by $22 bil- lic> The decline was the result require large borrowing of funds .
lion the next year), precipitated not so much of forced liquidation at premium costs. In this connecstock rise of $80 billion the same due to speculation; as of fear on tion, it should be mentioned that
year. On the other hand, the weak the part - of many investors that the largest percentage-wise gains advance in the GNP by less than declines would continue.
In view hi the stock market,, in recent

vGf-G° E£%4/

ing to cumulative further

Any major advance in the Gross-

;

25

rate that was reached in 1929.
Hence, we are not faced by an

early reappraisal and
more
points to the

former low.

(397)

Financial Chronicle

The Commercial and

.

»

.

too, is bound to
average to higher

National Product,

.

.

~

❖

.

c/

In

s>

September

^

a

years, came about whenever the
Federal Reserve discount rate was
preserved set at 2% or below.
^

$15 billion in 1961 was not suf- -of the still high market, decisions
ficient to maintain the very large were taken to sell while ample
stock

that profits

$86 'billion

of

gains

could' still

be

brought on the December high.-without regard to tax costs.
InRelatively small dollar gains in "vestors
who
sold, on balance,
the GNP in any year, or large most likely gained more than they
spread

advances

in

several lost because

over

provided no pulling power

years

and

market

stock

the

some-

accompanied by moddeclines. The recent stock

times were
erate

high could not mostlv have been
maintained, if the dollar gains in
the GNP's for 1961 and 1962 to-

acquired

had

many

their assets far below the even reduced market prices of May and
:jUne.
Today, the public is well
.supplied with cash and marks
time at 4% drawn in savings accounts
The continued strength of
Mutual and Pension Funds per-

When it exceeded 3%, stock
prices frequently declined. To sum
UP> even a minor reduction in the
interest rate would -move back
large amounts of cash into the ;'
market, again looking for reason- able yields and tangible appreciation opportunities. All these developments are bound to create a
more firm and positive attitude of
the investing public and provide

gether were to show a magnitude mits them, too, to accumulate cash
$80 billion. As the Gross f0r buying selective stocks with
National Product for 1962 will not good vields and realistic annre-

of $70 or

1960

.exceed

by

$40

than

more

consequences.

.•

.

market

The

•iu

+u

the

with

,aloi

As

an

■

5 the profit-making ability of our Cit y' ic manager of an underwritmarket economv have been transmanageroian unaerwrii
.

nf.
ot

continuation

.

of

two

years

•

public of-

Sf^deslgnafed bv^aradef"
P
-

"

orocSeds

toSether with
Proceeas,. together witn

The
^

corporate
profits
literally ens-ing-downof gold - outflows, will
appeared. Today, we cannot easily restore a favorable market clithink of a type of recession .that mateA
For the millions of new-

•

shares of
pr

at $13 ner

OOO^hares are
tne total 7b,uuu snares are

eco-

27%), Within nomic growth Into 1963, a decline
"after.''the;-1929 crash,.in the foreign deficit and slow-

j (45% against

-

offeTg pub:

gr?£P,^hlch

bakicallv changed and ■
18
JH + consequently, stocks continue llcl 263,000 common
oasicaiiy cnangea ana Ma;adel products Inc
that, ■
to nro vide-the most active oar ti-1 ,■
!• i
cipation
in
all - values steadily I
re'
e
created by the American economy.
totV°76
or

equalled GNP.-

GNP

•

rl0r Hornblower & Weeks, New York

of

in con-

•

:

will realize that

Se foyc.es

Rf

Corporate
long-term debt,, too, was then al•most twice as high a today -cal•culated as a percentage of the ■ The' likely

•stocks

,

after.thought to panic sell-

ing,. investors

value
value

when the
wnentne

^4-^

&&&££&£Maradel Products
COlllIllOIl Offered

line

(64%

now

D-J of 550)

a

1Q2Q
lyzy

tn
to

•tract
trast

of

'•

mLii

1929

out

not

economy

(at

.GNP)

is

'

.

industrial average at 600 . from
which advances later in the year
offer realistic prospects,

Taking the lpvel of the D-T I A

.

Excursion Back to
•"

:

ciation prospects.

billion, the recent stock rise overdiscounted, for the first time since

non-vulnerable base for the D-J

a

tn

in

'

annual gross profits comers to the market, the mixed
below $40 billion.
Most impor- results So far achieved should not
tantly, it was the lack of credit be interpreted as "never again,"
that choked off the stock market while for, seasoned investors the
could depress

•

J*ase
TonWavlt TW
°r£»+p v,'wPn™ and
C3 ®fai

rin 1929. In contrast the ampleness Return of stock yield levels to
of
private funds and of sound that of bonds indicates normaliza-.
remains

lm-

tion

justify

the

ties

could

and

pressive
<

today

credit

bank

-

dictum that "there can

be no .bear

market" with plenty of cash.
In
;

of

terms

the

and

market opportuni-

new

should bond yields decline
an easing of credit, a furfavorable mar-

ket climate will have been

j

Today, the aggregate
private consumption and publie spending is soundly anchored
and very large. Private and public
wages, and salaries, public spending on goods and services and
transfer payments together now
amount to 91% of the total annual
personaMncome against- a, mere
1929. This enormous inin self-sustaining spending

it considers a prosperous stock
market a reflection of a prosper-

of

1

60%

*

in

crease

power shows the new strength of
maintainable demand to which the

-

,

'

-

-,

-

-

,

;

•

nonsense

.

of -such

statements as
anti-

"The government has turned

anti-profit."
It also
should let the public know that

business

0us,
0ne

,

when we have a look
large private debt,

Finally
at

the

very,

though comprising a smaller percentage of the GNP in comparison
find

less),; we
lesser threat from it to ecostability than in the past.

1929

with
a

(one-third

vestment spending already under
way, have first call. Proposals for
dividend tax withholding deductions at the source inject disturbcapital
outflows will decline in response to pre2 As

it

is

sells

and

make-up, hair coloring, wav¬

and

preparations for the care and con¬
ditioning of fingernails.

Ram Tool Corp.
v

n

n

SppiiritlPR S() (1
A

.

Comi

„

...

c,

~

■,

_

T

rnfl

"

tS?,)aia & _co,, i:nC;,iiNew
^ ^ S ^pnn oon Ar p

unus, j.ouu,uuu oi itam 1001
,
io^o° i^onnnn
due July 15, 1972 and 120,000 warr{*nts to Purchase a like number
reduction in personal °*. c5mY1S?nn:sharerts/ .

growing economy and that
not maintainable without
other. Looking at specific

is

dependent on profits, should be and corporate income taxes and
added.
•
■
various incentives for business ift-

-

eye

Avenue
York City,

at Rin

New

manufactures

or

important investment the
spending, and incomes directly measures, a

,

Americas,

Maradel

ing and rinsing preparations,

■«*'
Government Action
a

i11 strengthening ihe stock mar-

vitally
t

of

ket, the government can play a
considerable role; Concerning the
psychological
climate, it could
clear the° air still more by a repeated rejection, and ridicule as

the

was

ployment.

'

added to working at 510
capital.
Headquartered

pro-

vided.3

1929

•

J
Lianno wiTi v!p
debtedness. The balance will be

due to

collapse of demand in
partly due to an insufficient amount of spending power
from
wages
inspite of full emomy,

■

^aseii Iiic and in part to

ther stimulus for a

general econ-

'

likely

that

private

9orp;'

priced at $500, consists of $500 of
debentures and 75 warrants. The

debentures and the warrants are
immediately separately transferThe
mont

company,

of 411 N. Clare-

in
elechand

Ave., Chicago, is engaged

the manufacture and sale of
trically powered tools and

vpa^fnts^mSTevS'show at^Tus foJ garden tools. It will use the net
JTie distributed and contains many could be stopped at gold time by co-oper- proceeds inrrf*n<?p wnrkinP ranital
debt is more broadly and bet- 1962 Concerning any outflows, they dpj-,f ond from this sale to repay
ter

nomic

safeguards against rapid or forced

ative action of the Central Banks

liquidation. To mention only one
typG of debt that could be dan-

S°3Cted cln^imagine^wha't'level

gerous

in

excesses,

mercial

period of stock market
the financial and com-

a

,

debt

obligations amount-

ing to 7% of the GNP today indicate a far lesser involvement in
the

stock

market

than




the

22%

would

reach,

if

bond and

of the

the D-J

.

here financially and gold reserve-wise and
were similar to those in Switzerland
Swiss
stocks

bonds
1.23%

...

one^third 'SSk
stocks

did

not

above

1.50%.

with

.

in a securities business. Part-

George B. Berk and

LOUIS B. Deist.

of the

following outing
of the Municipal Bond Club of Chicago, Sept. 13-14,
will be covered by our representatives, who will take
photographs, to be published in a special pictorial
11-12 and the

section.

Your

advertisement in this

your

firm with the

active Chicago

mercial
York

&

markets.

information contact Edwin
Financial

7, N. Y.

identify
field and the

special section will

important municipal

Bert-

offices at 8035 Broadway, to enare

climb

,

,

Municipal Conference

proceedings of the

I. B. A. to be held Sept.

For further

SAN ANTONIO, been formed
Texas
Deist & Co; haS

early in 1962- Even after the Market gage
of

Berk-Deist Opens

stock yields

—a

extremely sound country.
earned 3% and blue chip

debt and increase working capital,

The

L. Beck, Com¬

New
Code 212)

Chronicle, 25 Park Place,

(REctor 2-9570)—(Area

|

The Commercial and Financial Chronicle

to

seem

As We See It

Continued from page

to

time

have

definite

a

particular meaning.
Businessmen evidently are in

control the

large labor unions
if it had the disposition ;

even

a

doubt about the rate at

to

an

politically
undertaking. It is

obvious, of course, that the
operations will continue
great rank and file of new
in the months immediately
labor contracts being written
ahead, and so are finding it
can not in any event be super¬
the part
of wisdom to be
vised by the authorities at
rather more cautious in build¬
Washington. There is some
ing inventories than some ob¬
servers
had thought
they question whether the powers
that
be
can
really control
might be. We must always re¬
prices, though it is obvious
member, whether the politi¬
that even if they can not con¬
cians do or not, that it is the
trol them fully, they can give
businessman and not the out¬
side observer, least of all the plenty of trouble to the busi-

whose

politician,

judgment

must formulate or direct such

to

who defies them

nessman

tries

evade their

to

Of

course

all the

these. The same is
factors which have
said, of course, of the

be

as

businessmen

in

been

&

Sons, Ine.,

announced
•

or

directors

named

Dexter

Mr.

David

by

President.-

of

Q,

H.

it has been

Coffin,

L.

<

Graham

is

partner of
75-year-old
investment bank¬
a

for

ness

any

the

member

and

firm;

retired

he

recently

committee

Company

of

_

the

he has held since

William P.
ner

Oil

Standard
1952.

-

Frankeuhbff/a part¬

in William

E. Hill and Com-'

pahy, has! Worked for more than1
15 years

long range
so plagued
years

in the management con¬

sulting field.
Pomeroy
the

Connecticut

is

President
and

Bank

of

Trust

varying types of s©r
greatest importance,

of which $12.4 billion are in coipr
tripling in the prices of the mon and preferred shares. Only
; 10 years ago, the .total value of
market as a whole.. I can, quote
these funds was only $8 billion,
Jots of other examples,/ such as
the peaks made by the air trans¬ of which about $1.7 billion was ih
common
and. preferred
stocks.
ports in 1955 and 1956 or by the
aircraft manufacturers in 1956 and Here,, again, we see a tremendous
1957,
or
by
the heating,
air- pressure for securities. This has
have not been witnessed since, de¬

spite

a

had

conditioning and plumbing stocks

and will

continue

.

.

when

they were 15% above their
present levels although the mar?ket as a whole is mow some 14%
the peak

of that year.

these

do

things

various

indicate?

Simply that ours is a
constantly changing field and that
intelligent portfolio; management
must not only, stay on top of these
changes, but to be successful must
be slightly ahead of them. This is
what

intend to do.

we

'

; •,

/

-

Causes for Changing Market

the

In
as

..Patterns

title

of

\

t

patterns

It is

currently estimated that there

are

how 'some

in

holders

fundamentals, you buy for tomojv
while having confidence in
today. Under na / circumstances,
can you buy for yesterday.
>
row

of

confidence

The

this

at

obvious

most

time?

factor

of

Uncle

must

with

Sam

—

weigh

fact

a

rather

which;

heavily

corporate managers

when they are drawing their
origin is the cost-price
plans for the future. They are
real and threatening.
Across the country from coast aware, too, of the enormously
to coast come dispatches daily expensive records which must
be kept to
of
comply with the.
increases in wages and
laws of the land in this day
other forms of remuneration
and time: And, of course, they
often accompanied by other

recent

squeeze,

concessions
which

to

the

unions

to suppose
that the "take" of the Federal
can

see

no

reason

hardly give much
Government will be reduced
assurance
o f
corresponding in
any substantial degree at
increases
in
output of the
worker. The accumulation of any time in the foreseeable
the

can

vast

ments

number

of

What

are

do

the changing patterns.
we

.

country

pared with only 6,490,000

a

decade

What does this mean from the
point of view of portfolio manage¬
ment pr security sales? Well, for
one
thing, it means not only a

ago.

s e n

t

e

d

attract

and

but with no great pressure
correction; as< unlike the
stock market,, business has built
up little in the way of excesses.

covery

in

the

"We see a market in which

combatted

at

vigorously

as

this

now

political
must

as

feel to be almost

must.

And

what

a

is

the nature of the remedies be¬

weigh heavily when matters ing proposed? Do




politically
hoped

-minded officialdom had
and

Vital Factors

Such factors

securities

a

above

as

itself, but in which, at the present
again be¬
coming apparent and should be
taken advantage of. Without going

.levels, real values-are

details I

into

should

Stock

500

Poor's

is.

Index' of

ferent.
are

The

more

of

the

be

importantly it
are
dif¬

younger

stockholders

interested in the longer

used

.

F. W. Watts Opens
SOUTHFIELD, Mich.
Watts is

business

from

—

conducting

Northwestern,
name

of

Frank

a

offices

under
W.

-

Frank W.
securities
at

21125

firm

the

Watts

As¬

&

selling, at

now

is

in

York

a

Americas, New

City.

r

to satisfy both. When J
return, I mean total return
without distinction between, the
sources from which it is obtained.
say

rapid

growth

MINEOLA, N. Y.—Cyrus J. Fromconducting a securities busi¬
ness from offices at 25
Roslyn Rd,

kin is

name

in

an

we
ex¬

of Thunder-

bird International Investment Co,

LITTLE NECK, N. Y.—Malvina H.
a

stocks
ascompared
with
197,000 in 1959. Again we have a

own

dif ferent

that,

can

objective with this
we

group,

find the value

be obtained

from

a

well

planned diversi tied portfolio.Other changes can be mentioned
such

as

whole
of

the

rise

in

income

as

of them

a

1961.

Furthermore

price/earnings ratio js

than the average for any
since 1957 and the yield is
better than the average for the
past three years and approximates
lower
year

that of 1957 and 1958.
We

,

securi¬

can

shareholders ' has

*An
Bankers

July

25,

jumped

to

the

need

renders

Little Neck Parkway.

capable of understanding the dif¬

stockholders

Mr.

■

Kahn

at

the

.

.

R. I.—First Mu¬
tual Investors Corp. is now con¬
ducting a securities business from
offices

'

in

-

the

Industrial

Bank

Building. Arthur Lefevre, Jr. is
principal.
f

a

Forms Rubin Newman Co.
Rubin Newman is engaging in a
securities business from offices at

more

Broadway,

under

an

for better information and which

the

by

Club of America, New York Ciiy,
1962.
.
*

First Mutual Investors

man

for

address

PROVIDENCE,

401

calls

preservation

principal, and participation in
our economic expansion.
.
.

$8,600 from $7,000 in 1959) and the
higher educational levels of share¬
which

with

commensurate

of

a

(the median family income

ties business from offices at 40-01

any

of

the present

holders

In Securities Business
Seligman is engaging in

end

the

and

compared with
yield of 2.86%

stock¬

estimated that 450,000 minors now

and, again here,

Thunderbird International

under the firm

at

holders by minors. It is currently

securities business from offices at
1270 Avenue of the

times and

20.13

times

la.7
as

achieved by constantly adjusting
the older to the changing investment picture
shareholders are more interested'. and that we cannot permit, out¬
in the immediate return/ Different dated ^yardsticks ' to hamper
the
over-all
stocks and different funds must
objectives
of ; income,

tremely

Business

engaging

about

of

yielding 3.97%

P/E

economy; while

notice that there has been

Tamir

ratio

&

a

participation in the growth

Carrying this a little further,

sociates.

M.

call

Standard

as long, as they are defined intelligentlv and rationally rather than
emotionally. We feel that the ob¬
jectives. of our funds can best be

more

objectives

that

Piatt Street.

-

like to

attention to the fact that the broad

nothing wrong with the
market "growth" or, "long-term'"

term

;

defi¬

a

nite trend has still to re-establish

three years ago. While this means
that securities will be held some¬

business from offices at 4115 West

Max

a

Washington.

,

conducting

Tamir in Sees.
Hairs of the Dogs!

Now these are some, al¬
great deal though by no means all, of
of individual attention
must, the
current
factors
which
of course, be increasingly de¬
must be in
large part respon¬
pressing to the thoughtful and sible for the failure of busi¬
observant man of business,
ness—so far as there has been
especially when
price ad¬ any failure — to
proceed as
justments are so violently reto

is

number of people

below) is now 48 as against 49 only

means

TAMPA, Fla.—Charles G. Roudabush

same

immediately

see

■

what longer,

C.' G. Roudabush Opens

future.
agree¬

covering

groups and
individual businesses too
small

& Forsyth, 63 Wall St., New York
City, has been changed to Treibick
& Forsyth.

Outlook 7

Short Run

These

-

stock¬ .ahead? We see a mixed economy,
with a slowing down of, the re¬
as com¬

,

for this lack

to be the

million

17

the

are

objectives of pur Funds. Basic faer
torg here, whiph, must be ascer*-tained, "relate to earnings, yield,
financial position, .'and above' -all,
managerial 'skills: - and : strength.
.The dynamic factorsoall for domi¬
nant positions in the proper in¬
dustry and the satisfactory capi^talizatibn; financial position/ and
management that'permit them to
capitalize on these* factors.
Through application of dynamic

paper,

it, I have laid considerable stress
on the changing market patterns.
What has made for these changes?
First, we have had a tremendous
rise in the number of stockholders.

call

investment for- the 1 Dynamic

Fundamentals which

and
I have been trying to develop
my

These changes in the

,

reasons

a

were

disappointing (to the political
remain for the most part. The Company of Hartford.
managers) rate at which funds
individual businessman must
are
being poured into new
Form Western Diversified much broader interest in securi¬
always.« bear in mind .the
ties on the part of the public and,
plant and equipment. <
MINNEAPOLIS, Minn. — Western
troubling fact that, should he
Diversified Investments, Inc. has incidentally, a much wider market
proceed in what seems to him been formed with offices at 3424 for our shares, but also a con¬
Why?
siderably greater demand for se¬
to be promising business ven¬ East Lake
It is, accordingly, in order
Street, to engage in a
curities as a whole. As a result
securities business.
Officers are
to inquire what it seems to be tures, he may have to pay up.
of this latter factor,
slocks will
to 90% and more of all his Timothy K. Roe, President; Dennis
that has led businessmen gen¬
R. Neutzling, Vice-President and probably command higher price/
erally to take a long look at profits to the government Treasurer, and John P. Karos, earnings ratios than were wit¬
nessed in the '40s or the early '50s.
the future of their business, which, of course, is not fond Secretary.
Mr. Karos -was for¬
There is nothing sacred about any
of helping bear any losses he! merly
an
officer
of, York
&
and to adopt a certain degree
P/E ratio, only sometimes it is too
Mavroulis /with which Mr. Roe
suffer in the project.,
of caution in these matters of may
high and sometimes too lpw — all
was also associated.
Even corporations must for
you have to be able to do is figure
inventory and plant construc¬
out which is which.
the most part pay more than
tion and improvement.
Now Treibick Forsyth
-Second, shareholders are getting
half of their profits out to
In very brief what are the
The median age
(the
The firm name of Treibick, Seiden younger.
obvious

to have

higher in 1936 and .material effect on the, evaluation
1937 than they are now. Let's take of the earnings of the better types
of .-companies which we are all
a more major group: the oils made
„
:
:
their peak in 1957, five years ago, striving to obtain.
which

•

>

Day

the

and

huge rise in 1945 and 1946 when
some
issues reached levels that

as

(Indiana); which posts

1936

Of

however, in the changes that have
occurred in regard to portfolio
management is the development of
the corporate pension funds. Curr
rently, it is estimated that these
funds have a value of $32.4 billion

of time re¬

glory of the liquor
and

in

curities.

new

length

1935

in

stocks

•-

ing

Financial Vice-President, director
and
member
of
the
executive

ference

3

page

about this.
Those who have been in our busi¬

Hornblower & Weeks,

brokerage

from

nothing

is

above

David Graham, William P. Frankenhoff and -Pomeroy
Day have

edicts.

recent

Elected Directors

Continued

there

What

launch upon so

which risky

their

policies

Thursday, July 26, 1962

.

The

sort?

-

and

.

promise relief from

difficulties of this

1

reply must, of course, be def¬
of inventory policy are being
mists
initely in the negative. The
permitted themselves
and,
of course, fact is that they tend on the
the luxury of making quite considered
even more so when decisions whole
to increase them.
optimistic forecasts of gross
national product for this year must be reached about in¬ Changes in the rules and reg¬
about
—which now appear to be def¬ creasing capacity or investing ulations
depreciation
in newer equipment to re¬
accounting come more nearly
initely beyond the < realm of
probability. And so the popu¬ place still relatively new and filling that bill, than the
lar modern philosophy insists efficient plant. Decisions such others—although, of course, it
as
these, particularly., those is not altogether on the credit
that
"something be done
which have to do with new side of the ledger. Tax reduc¬
about it."
:
"
tion which, of course, would
Now let us turn to some of plant and equipment, have to
be made well in advance of of
necessity be temporary and
the more obvious reasons for
consummation. It 4s essential followed by still higher rates
the failure of industry and
that businessmen take a long, than at present—without any
trade to keep surging upward
serious effort to reduce ex¬
as
the politicians had been long look at what they must
expect, not today or even to¬ penditures—hardly strikes at
hoping. (We can hardly as
morrow, but next year and the roots of present difficul¬
yet talk about the reasons for
perhaps even the next decade ties. Hairs of the dogs that did
a recession which as yet does
in some instances. It is all but the
biting seem now to be the
not exist.) The popular, often
most favored remedies.
rather meaningless, complaint universally doubted whether
the Administration can really
of "lack of confidence" seems
this

.

(398)

26

Co.

the

firm

New

York

City,

name

of R.

New¬

& Company. He was

officer
Inc.

partner

of

and

in

Programs.

Newman,

formerly
Blume &

prior thereto was a
Diversified Financial

Volume

196

Number 6180

.

.

The Commercial and Financial Chronicle

.

Continued Good Growth
Seen for Paper

Chase Bank Warns

Industry

to

July 25 that

fundamental

tional

cate the

"output, of the paper industry

as a

whole has generally paralleled the
.postwar growth trend as well as
shorter term fluctuations in total

1 million tons
the two years

capacity
5%

industrial

production,; reflecting
the ;widespread use and importanqe of paper,and paper products

U'uS;^lnduS?[y;uFr0m

*?47

through 1957 both the paper industry and total industrial output
grew at the same over-all rate

about

4 4%

per

producers

as

moathl.y

oJSrau^

24%; higher
months
contrast

to

in

15%

:

1957,

increase

in
in

industrial, production, over
this; period. This better performance
in recent years reflects the
of

.the

output

de-

'

.

'

•

.

industry

:

lrigh. degree of
in the form of deand
interest
Conse
a

expense

preciation

i957_6i

in

pretax profit

years

io r%

of

aee

mar-

an aver1947-56 to 9 7%

in

Important factors also

adversely affecting profit margins were rising employment costs
which were not fully offset by
higher prices or growth in proFurther

better
has

have

been

(<M

,l

a

|

packaging segment, ran

tissues,: toilet
tissues, and table napkins, which
are
little affected by. relatively

than

cateWnr

of
OI

category

vear

a

®

prihtfng
priming

r^a^a7ine

'

the

largely

on

ticina

On

tba

papers

are

nthpr

dustry

nf

thp

the'

V

is

more

paper-based
for

in/

governments,

Research is progressing

en-

disposable

on

The

forms.

demand

for,

is

Problems in Capacity and High
Fixed

ities

ship

war

added at-a rather mod-

were

est rate

during the immediate post

years,

but

as

the

industry

continued

95%

to operate at close to
of capacity, more aggressive

expansion
was
undertaken
begining in 1955.
During the,following six years over 7 million
tons

of

bringing
to

39.7

new

million

plant

was

the

supply - demand relationin the next few years for

confronts

a

num-

to the bank,

Restoring

do^n

that

so

Achieving
capital
for

ones,

so that they are better than
competitive with those in other

world money centers. Also, there
must be a decided change in our

looked upon
as
being a major
problem to be contended with.

international balance of payments
if we are to remove the basic

On tiie other handythere is the

question

to whether

as

not the

or

money and capital markets here
will tend to harden if the economy

should slump. The dollar, our gold

holdings,

and

balance

of

points

of

uncertainty

far

as

near-term

and long-term
concerned.

are

still

are

as

interest

The

future

business pattern holds the key as
to whether or not there will be
a

in

cut

which

income

would

deficit

and

taxes

enlarge

add

this

the

year

budget
to

pressure

the

an

Investors

the

The

trend in yields of
bearing obligations

upward

fixed

income

has created

a

cautious attitude in

the minds of many

though
change

there
yet

investors,

has

been 1

even

in

monetary policy.
And the existing yields available
in

governments, tax-exempts and
corporate bonds still keeps the re¬

turn

that

can
be obtained from
these securities pretty much with¬
in the plateau range that had been

expected by most capital market
experts.

the

uncertainty which has re¬
from the sharp setback in

a

is

stock

common

sponsible in

market

small

no

is

measure

being found in

now

market.

In

the

first

the

place,

*

v-

<.

•

Avoiamg

*
miiation, wrucn

monetary policies plus greater
'
^ f *
,
strainx on tne wage iront.

Righting the - imbalance in

:

can

off

international payments, which

higher

measure,

do much to take the pressure
dollar and our gold hold¬

the

ings.

This

talk of higher
brings with it the

term rates

tion
on

near- •

ques¬
to what effect it will have

as

long-term rates. A rising shortwill result

rate

in

should
term

and

the

in

an

higher

a

upward

Central

Bank

designed to strengthen

our

unless

this

action

PALO
is

Current Bond Yields Attractive

issues

down

to

levels

that

make

them attractive to certain types t>f
investors. And this, in the opinion

of

capital

some

market

means

that in

have

discounted
have

much

will,

re¬

been

talked

if

it

as

adverse

predicting.

about

goes

bonds:

developments

which may not be
some

experts^

some measure

in

cut

through,

from

Elsinore

taxes

further

unbalance the budget. In addition,
this must be financed and the new

for

money
raising by
will
most
likely

bond

the

Treasury
confined

be

largely to the near-term and in¬

the

future

trend

of

of

severe

place in prices
equities. This is most important

to

the

bond
course

a

market

since

the

of the economy will

very

definite influence

goes on in the market
fixed income bearing issues.

There could be
bonds

issue

Dollar Must Be Defended

To

be

thorities

now

past

far

that they had

in the

in
or

10

rate

Sure, the monetary au¬
do not have the same

This

the

govern¬

would

at

■,

..

penetration

'

existing

of

together with rising
,

,

,

,

-

pop^

this

some

12

or

which

short-term
since

program

issues with

new

years

would

money

These

would

meet

competi¬

raising
meet

of

Commerce

the

paper

industry.

-

-

Walcowich.

for

used

purposes.

the

needs

of

_

rere-

as

terest rates
there

is

a

as

fluctuations

are

in

great

care

in-" investors who do not want

concerned because

very

delicate situation

iwhich must be handled with
our

since

it

entails

very

the

long-term

bond.

Terms

a

real

of

the

August refunding operations are
expected to be made known today

(July 26).

can

com-

HELP

YOUR

POST OFFICE

TO

SERVE YOU

BETTER

972

branch office in the National

Bank

an

maturity up
with a coupon
a

tive conditions could be

BY

MAILING

EARLY

IN

NATIONWIDE

THE

DAY

IMPROVED

MAIL SERVICE

Guerin & Turner, Inc. has opened
a

fol¬

be

lowing the established practice of
the
administration. However, it
would not add to the supply of
long-term bonds.
>
7

on

for

of

areas

ment market.

de¬

Court.

offices

as

The

termediate

to

Building

!

The upward movement in yields
of bonds has taken some of these

happen

leeway

ALTO, Calif.—Douglas G.
conducting
a
securities

business

has

pretty well discounted ahead
by the capital market.

of time

(Special to The Financial Ohronicle)

Aid

re¬

rate

bring about higher long-

rates

been

to

profRs

on

stop-gap

a

is the big question as to what will

high rate of busi-

removal of the squeeze

a

As

there

what

which

measures

bring

short-term rates along with inter- '
national cooperation with the va- '
rious free nations Central Banks

great deal of the caution which

current

investment,

to

about such a
change cannot be done overnight,'

real

no

reversed.

a

needed

the

gold holdings. This

will take time since the

vision

Wary

about

concern

our

discount rate

have

economic slow-

dollar and

term

money and capital markets.

the

of

cause

international

our

payments

rates

of

on an(^ standards of living, uncjer the management of Albert
generally declined. Whereas suggest continued good growth for g. Engelke, Jr. and Bobby- l.




side,

market has been both¬

a

*

markets

aver-

as to our gold
holdings'is by keep¬
ing short-term rates on the high

.

tensive

industry's operating rate

our gold
It is believed that the
way in which protection can be
given to our monetary unit as well

holdings.

.

ready just

de-

in

future of the dollar and

bit by the ^higher rates of
interest in Canada but this is not

money

ered

future

•

the vital element

be

can

are:

most paper products is expected
Now With Birr & Co.
to be; more favorable than that
•<; (Special to The Financial Chronicle)
of the past five years, suggesting
that operating rates should hn- "SAN
FRANCISCO, Calif.—Robert
prove. Moreover, tho paper indus^ H. Wilson has become connected
try is one of the few basic indus- wRh Birr & Co., Inc., 155 Sansome
tries where the raw material can
members of the Pacific Stock
be
continuously replaced, < thus Exchange. He was formerly with
providing relative stability to its Reynolds & Company
.supply and cost.
In addition to

tons. Much of the
as

concerned

to what is going
to be the future trend of business.

business because of the

nation

these basically favorable factors,
r„A^n p„_nrL '
capacity-^ were
added,' the development of. new useo for
,
^PPieh vxuertn orancn
total industry* facilities paper and prospects for more in-. SAN ANTGNIO, Tex. — Eppler,

mand slackened in 1958 and again
in 1960, so that operating rates

have

still not utilized.

"The

Costs

"Reflecting growth in demand,
capacity in all categories has been
increased significantly. New facil-

still
as

cline that has taken

the

laboratories. Paper companies are petitive position in world markets,
continuing their , active develop- '
D. G. Aid Opens
of wood base chemicals re-

fleeting the potential of finding
building paper and board closely » by-product uses for the
follows new construction activity, chemrcal content of a tree which
business

show

clothing be best accomplished by policies

in hospitals and scientific

use

is

measure

said it is important to remember

resis-

x Pat-Kagmg proiecwon, is en.
3°yiing
excellent initial acceptance in grocery bags and shipping

demand' from schools,,
'and
for ' general

in

growth

show 8 of the

declining,
appraising any proposals to
stimulate the economy, the bank

ness

.

sacks.

reflecting the jnore stead

year, now

jn

findinff

better nackaeine nrotection

writ-

naner

a~®^

district

The

tant characteristics affording quires responsible budgetary and

adver-

hand

of

one

<;pfnnpntq

qtahip

of

are

Plasl4C®

able paper, which has water

the

deoends

naDers

volume

®

cial

sulted

Four of the most important

strength

income

than passing signs of un¬
certainty since much of the finan¬

since

recovery

12 leaders

confidence,

°

fixed

continues to

more

is .the

recovery

nar>ers" ber of basic economic problems,

treatment of

;bipping ^acks, milk cartons, and
m other packaging areas. Stretch-

writ ng
wnuug

and
aiiu

J

•

for

that

s'

ia ^

ier in tlle

®calls

the demand for newsprint

papers,
and

In

.

trend towards

ava

economic
steady gains,
in

a<*o

.

" to date in this
tne smanest in any

^ r^hJn c?

s

CHIPPENDALE, JR.

.

>y,
The rise in industrial production
.

iffr

J*®velopmj-nts, w<et
an3 ^ther nlaSics

activity, recorded
with output higher by about 4 4%
during the first quarter of this
vear

..

Surveys; reveal a decline in consumer confidence, and a cut on
hiiure buying plans for, durable.

P£°

facial

changes

m

increase in

,

Pete successfully against metals,
w0°a> +ana textiles in numerous

.comparable months of 1961.
On the other hand, sanitary prod-

mqderate

to

business investment needed for
general prosperity seems to have
been ruled out.

abSocfniiJaccording

in the

as

..

grow in

II'

f

24% ahead of the depressed.levels

ucts. such

*

tne

®stry leading to higher harvesting
Y'e ds and greater utilization of
r^e *n ™anafacturiug opera-

segments of the paper industry.
During the first quarter of 1962,
production
of
container
board,
whiqh is included in the highly
responsive

and in

year

some relief from"
- result.
' Alsbt
so
far
this vear

...

01

appears

PaP.er, ">dustry ;m.. the postwar 1919 .
y e ove y s
P®, a<? basJ?'SV<5~
Leading indicators, which began
^afpHak
^ w** t0 disPlay signs of weakness earl-

variations in dewithin the various

occur

this

Tbe kmd of strong

some

,

iviucn

Substantial

mand

permitted

-Industrial production

a

should

demand

•

.

month-old economic advance may
be near. The bank's report lists
these signs of weakness:
"
\

selective price
increases in various paper grades

products, which account for approximately 62%; sanitary papers,
accounting for 6%;- and building
paper and board, accounting for
8%.

^

'

,

Demands for action to stimulate
the economy are growing as signs
aPPear that the end of the 17-

inPi-

pvnpnspc;

machines

added

*aT:"

'uppaper have leveled off

tostartag

thege

which account for ab^ut
24% of industry volume; packaging

an

bc-vc!"d
tax cutting, and
would cal1 for a new sense of disciP^kie and national purpose in
achieving a balanced budget, spurrmg investment and real economic
advance and assuring full confidence in the integrity of the dol-

involves

the near future,

papers,

the report said. "Such

the

try

fixed

capacity

may

of

approach may .well involve tax
reductions. But it would go far

making

be
divided into four broad groups of
products, .-printing
and
writing
paper

times,

invest-

challenges

equipment, the
cost structure of the paper indus-

dent

WideRamre
,W»de Range of Products
of Products

"The

ing

substantial

industry, .emphasizing regular
year-to-year
charge
diversity of use of paper against
earnings.
With less new

products.

?.gains,! .*he

industries

paper

the great

will bring the truly great potential strengths of America to bear

ment in plant and

di,Ptivitv

cWn^pei-ienced in the 1957-58
and T960-61 business recessions by

the

7

"What is wanted is a realistic
and well-rounded approach which

gins have declined from

total

moderateness

reauire

T.

-

Thus

about

than

a

which

basic

deficits,

and the balance of payments problehis winch has characterized recent years."

be increased by only

most

whole, with last five

a

'

gro>*h,. heavy: Federal

in these three-years.

«Like

basic task of break-

market

bearing issues

inS the. U. S. economy, out of the
Pattern of low-investment, stow- The

for

ga^s

ex-

during the first four

1962

of

thereafter.

more

The

some

over

quently, profit margins' respond
quickly to changes in the rate of
industry. operations during the

since 1957^ the industry. has
perienced. somewhat better

than

of

However,

year.

may

slightly

scheduled

..are

tax

a

BY JOHN

prob¬

cut, the bank said
in its bi-monthly report entitled
Business in Brief, "could compli¬

July issue of Business Com- aged 93% in the above 1947-56
ment, - a monthly publication of period,- in the five years - since
the Northern Trust
Co., Chicago, 1956 the rate has averaged slight111., offers an encouraging outlook ly under 89% of capacity. Only 1
for the paper industry.
s.
,
;
million tons of new capacity will
be added in 1962 and

economic

economy.

Such

The

out that the:

Bank

a

lems, might provide no more than
a
"fleeting stimulus" for the na¬

suggest continued good growth for the industry.

The Bank pointed

Manhattan

Chase

The

of

mitigated by reduced capitar spending and technological ad¬
vances. Foresees new favorable
supply-demand relationship, grow¬
ing market penetration, relative stability in supply and cost—all of
which

Our Reporter on

quick tax
cut, which failed to take account

be

27

On Fast Tax Cut
warned

Chicago bank's analysis of the paper industry notes that its
output
in the first four months «f this
year was 24% higher than corre¬
sponding 1951 period as against 15% gain in total industrial output.
Problems of diminishing operating rates and
high costs are expected

■I

(399)

PROGRAM

28

The Commercial and Financial Chronicle

(400)

Indications of Current

The

Business Activity

week

following statistical tabulations

latest week

month available.

or

month ended

or

Latest

Month

Ago

that date,

42

7,229,910

July 13
13
13

8,591,000

8,632,000

8,645,000

,30,627,000
2,477,000

30,622,000

2,411,000

29,558,000
2,184,000

13
13

13,248,000

13,974,000

13,465,000

of

of

5,541,000

5,799,000

5,757,000

13

184,480,000

186,478,000

189,965,000

30,948,000

30,257,000

28,346,000

30,284,000

127,972,000

123,367,000

112,671,000

121,380,000

48,005,000

46,020,000

43,406,000

48,647,000

497,660

419,584

590,332

573,306

416,474

446,027

495,941

420,340

CAR

Year

Month

Ago

June:

freight

new

cars

3,411

3,292

1,214

3,911

3,758

3,142

13,274

13,778

11,821

$292,500,000

$295,600,000

$271,800,000

delivered

cars
cars

order

on

and

month)

of

Previous

INSTITUTE—

undelivered

183,448,000

13
13
13

(end

12,922,000

6,010,000

7,237,210

6,971,210

7,267,660

BANK

DEBITS—BOARD

of

June

BUSINESS

(000's

OF

GOVERNORS

OF

Retail

omitted)—-

FAILURES—DUN

INC.—Month

of

Manufacturing
Wholesale

July 14
of cars)—July 14

._

THE FEDERAL RESERVE SYSTEM—Month

-

&

June;

BRADSTREET

-

i

number

number

Construction

237

;_1

number

229

218

131

146

,144

606

;

___

I

number

Commercial

CONSTRUCTION—ENGINEERING

ENGINEERING

of that date:

8,167,000

31,200,000
2,878,000

RAILROADS:

OF AMERICAN

freight loaoeu (iiuUioer oi cars)_—
freight received from connections (no.

Revenue

1,858,000

1,563,000

July 13

(bbls.)
July
Kerosene output (bbls.)..
July
Distillate fuel oil output (bbls.)
July
Residual fuel oil output (bbls.July
Stocks at refineries, bulk terminals, in transit, in pipe lines
Finished gasoline
(bbl.) at
July
Kerosene
(bbls.)
at
July
Distillate fuel oil (bbls.) at
:
July
Residual fuel oil (bbls.) at
July

CIVIL

1,370,000

Orders

freight
Backlog of

output

ASSOCIATION

RAILWAY

New

to

runs

Gasoline

Revenue

1,398,000

July 21

either for the

are as

Month
AMERICAN

(bbls. of

output—uaily average

each)
stills—daily average (bbls.)

gallons

Crude

(net tons)

coiiaexisate

and

of quotations,

cases

are

Latest
63.6

53.5

PETROLEUM INSTITUTE:

oil

Crude

in

or,

Ago

47.0

Equivalent

AMERICAN

production and other figures for the

cover

Dates shown in first column

Month

to—
Steel Ingots and castings

Thursday, July 26, 1962

.

Year

Week

48.0

July 21

steel operations

Indicated

Previous

Week

STEEL INSTITUTE:
(per cent capacity)

IRON AND

AMERICAN

on

.

.

664

696
222

194

237

113

102

123

1,281

service

1,378

1,403

$29,659,000

$26,590,000

number

NEWS-RECORD:

July 19

$428,300,000

.July 19
State

$506,800,000
235,700,000

July 19
July 19
July 19

271,100,000
239,800,000

138,500,000

municipal

and

Federal

$509,500,000

228,600,000

175,100,000

202,500,000

Manufacturing

199,700,000

233,700,000
172,200,000

307,000,000
220,800,000

Wholesale

31,300,000

61,200,000

61,500,000

2,215,000

*1,620,000

8,965,000

Construction

86,200,000

7,534,000

July 14

85,000

112,000

304,000

July 14

133

*118

156

123

July 21

16,759,000

16,749,000

16,628,000

15,829,000

July 19

286

253

265

A »lot)—

BRADSTKEEX.
IRON

INDUSTRIAL)

AND

DUN

—

July 16

6.196c

6.196c

6.196c

July 16

$66.44

$66.44

$66.44

$66.44

July 16

$25.83

$25.17

$24.50

$36.67

ton)

'

All

(E.

PRICES

Leau
Lead

at—

refinery

at
(New York) at

at

(St. Louis)

.—

at
Zinc (East St. Louis)

U.

S.

at

York)

(New

tin

Government

at

July 18

at

PRICE

28.525C

28.500c

9.500c
9.300c

9.300C

10.800c

12.000c

12.000c

12.000c

11.500c

11.500c

11.500c

11.500c

24.000c

24.000c

24.000c

112.375c

111.625c

-

July 24

-

July 24
July 24
July 24

Group

Industrials

Group

L_;

Group,.,

S.

U.

July 24
July 24

87.94

|

87.83

86.91

87.05

89.02

Aa

July 24

—

A

■:

,88.95.

■,

86.78
•

K.-ivfi1

Group

Utilities

Industrials

received

of

orders

Unfilled

87.05

erbF

81.90

83.53

83.66

83.91

89.09

89.37

87.45

88.54

88.67

89.37

3.95

3.95

4.64

t
;

81.29

3.80
.

,

:

4.33

4.50

4.49

4.65

.

4.65
5.03

Total

of

ACCOUNT

FOR

4.90

-

X

4.89

4.45

5.03

4.76

Total

Other

4.87

__

4.46

Other

Total

369.8

367.2

371.7

July 14
July 14

351,171 '
361,534

63

98

73

506,033

506,838

Total

480,196

All

4,229,730

2,708,270

3,359,020

8,268,030

2,003,060

—

_

140,800

120,800

502,200

605,230

558,250

244,530

643,000

726,030

671,150

258,630

1,168,400-:

963,721

1,458,408

for

of

115.6

v:

110.9

H3.9

y*

:•/111.0

.

„

104.0

,

'1

103.0

~

106.3
'

'•

104.4

105.1

;

*..

109.4

107.0

105.1

.

104.5

',

HOURS—WEEKLY
DEPT;

S.

OF

June:

$97.03

*$96.80

104.81

*105.22

87.02

*86.15

83,56

40.6

goods
goods

40.5

40.1

41.1

40.6

,

manufacturing
goods

$93.03
101.09

v

41.1

—_______

'

40.1

,_

$2.39

—;—_—

\

../

*39.7

39.6

*$2.39

$2.32

2.55

*2.56

2.49

2.17

*2.17

2.11

118

118

110

118

117

111

$3,637,000

$4,034,000

$4,076,000

;____—

account

NEW

of

._.

STOCK

carrying margin accounts—

225,980

193,570

256,400

112,850

Total

1,117,070

1,489,288

588,489

Credit

1,310,640

1,745,688

701,339

Cash

on

of

5,993,870

4,629,921

9,274,568

965.120

1,908,060

439,840

4,804,417

4,430,570

8,686,808

6,110,377

5,395,690

10,684,868

2,361,514

June 29

$107,232,327

1,981,342
$95,423,688

•

hand
value

of

value

of

balances

banks

35,000

436,000

426,000

415,000

balances-

1,374,000
105,512,686

1,205,000

1,283,000

listed
listed

in

credit

free

U.

bonds..
shares

borrowings of U.

298,969,472

._

Member borrowings

on

482,000

issues-

Govt.

S.

51,000

32,000
S.___

customers
in

customers'

Market

debit

net

to

and

'

2,963,029

June 29

extended

Member

2,523,189

June 2l9

customers'

Market

2,955,380

1.305,960

omitted):

29

1,011,667

June 29

EXCHANGE—

(000's

June

firms

of

1,237,647

June 29

-

RESERVE

109—Month

-—

YORK

As

Member

June 29

June 29

r-'-t-—-

=

14,100

Total

:

FEDERAL

Average

Seasonally adjusted

members—

of

THE

OF

June:

June 29

—

___:—

services

ESTIMATE —U.

SYSTEM—1957

650,490

June 29

sales

sales—-,

106.0

'109.5

recreation
and

Unadjusted

June 29

—

sales

100.8

v-V.

107.2

106.4

.

and

goods

ERNORS

1,690,170

496,630
112,900

June 29

—

purchases—

Other

107.4

100.3

218,140

r

312,890

610,330

—

Short

Total

2,086,750

682,500

—

sales

Total

3,290,550

7,319,530
1,628,760
6,639,270

June 29

sales

transactions

^

f

INDUSTRIAL PRODUCTION—BOARD OF GOV-

June 29

sales

round-lot

100.0

109.2

114.1

goods
Hourly earnings—
All
manufacturing
Durable
goods
Nondurable
goods

113.91

June 29

—

102.8

100.3

107.3

—

Nondurable

the floor—

on

102.9

^

100.0

100.6

care

Durable
-

478,598

115.39

650,750

.

initiated

purchases

Other

Total

117.25

2,055,870

sales

Short

Total

116.01

939,180

—'.

sales

102.2

•103.1

;

1

care

Durable

:

:—

transactions

105.8

102.7

109.1

LABOR—Month

245,221

71

June 29

Other
Total

boys'—.1

Weekly earnings—
All
manufacturing

274,741

243,508

294,844
238,444

4,142,970

i-

sales

Other

99.4

107.1

99.0

106.0

AVERAGE

372.4

June 29

the floor—•

purchases—

Short

99.3

107.4

FACTORY EARNINGS AND

4.59

June 29

sales--—*-,——;
off

100.1

&

4.60

4.46

243,439

—

initiated

108.2

102.4
*

and

Reading

4.90

4.48

June 29

transactions

104.3

107.8

115.0

5.08

-

4.51

•

105.4
--

100.1

_

AND SPECIALISTS

:

sales

oil

MEM¬

OF

sales

Other

103.7

4.54

4.63

•'

V

in stocks in which registered—

purchases

Short

107.4

104.6

4.41

4.49

July 20

__

specialists

95.7

109.9

107.7

fuel

Private

4.70

4.52

July 14
_

period

end of

BERS, EXCEPT ODu-noX DE/uuEKS
Transactions

95.1

110.1

100)

operation

Transportation

,3.85

4.60

4.29

4.63
>

98.5

94.4
=

87.59

81.90

105.4
!

Hours—

—_—_

TRANSACTIONS

and

Nondurable

—

1

AVERAGE—1:1)0

1949

107.0

Footwear
Other
apparel

„

OIL, PAINT AN,D DRUG REPORTER PRICE INDEX—

ROUND-LOT

108.6

home

at

Women's and girls'*..

:.

83.53

88.95

July 14

at

103.8

109.4

;

Men's

,vj

85.33
''OJ

July 24

_

—

(tons)

103.7

102.7

Household

ASSOCIATION:

activity

100.1

r

INDEX—

(tons)

Percentage

107.3

99.6

103.0

electricity

fuels

Apparel

it'L 88.27

July 24

(tons)

Production

107.5

105.5

Solid

90.06

89.51

July 24

PAPERBOARD

NATIONAL

Orders

July 24
Group

Group

COMMODITY

MOODY'S

101.3

104.7

and

Gas

-86T1

91.77
.v

86.78- '

5.04

-July 24

Public

102.3

!

:

;

Rent

87.90

"4 87T45iJL^"-.

>•

91-19
•5.

4.35

corporate

Railroad

103.8

102.1

.

*

...

from home (Jan. 1958

away

Personal

Bonds

Government

Average

products.,

food

Food

DAILY AVERAGES:

YIELD

BOND

bakery

poultry and fish

products
and vegetables..

Medical

MOODY'S

and

Housing

115.250C

81.78

Utilities

105.2
103.4

101.9

103.2 v

Housefurnishings

July 24

"

105.2

.

:

*'

26.000c

111.625c

"

Public

$1,460,000

100-

=

home

at

Other

11.000c

9.500c
•'

9.300s
12.000c

88.81

Railroad

$1,869,000

...

Fruits

27.650c

90.91

A&

1957-59

—

Dairy

30.600c

28.625c

July 24

do.ju5

corporate

Average

30.600c

9.500c

INDEX

Meats,

30.600c

AVERAGES:

DAILY

PRICES

BOND

MOODY'S

:

(primary pig, 99.5%)

Aluminum
Straits

$1,878,000

omitted)

of May:

Cereal

30.600c

July 18
July 18
July 18
July 18
July 18
July 18
July 18

—:

(delivered)

JZinc

8,762,000
$83,828,000

Food

QUOTATIONS):

M. J.

&

Electrolytic copper—
Domestic refinery

Export

8,270,000

$91,512,000

OUTSTANDING—FED-

(000's

30

items

Food

METAL

PAPER

June

of

M'onth

6.196c

(per gross

Pig iron

5,445,000

$88,493,000

ERAL RESERVE BOARD OF NEW YORK—
As

CONSUMER

steer

Finisiieu

27,192,000
12,500,000

&

»

COMPOSITE PRICES:

AGE

COMMERCIAL
.

avvii.»

uuu

(COMMERCIAL

FAILURES

15,798,000

liabilities

340,000

EDISON ELECTRIC INSTITUTE:

output'(in

8,784,000

13,627,000

SALES INDEX—FEDERAL RESERVE

STORE

S V STe-iVi—1:»4i -<*.>

Electric

service

10,216,000
27,569,000

343

Pennsylvania anthracite (tons)
DEPARTMENT

:

9,535,000

27,065,000

liabilities

Total

"

$32,821,000

liabilities

Commercial

July 14

liabilities

liabilities

liabilities

Retail

OF MINES):

BUREAU

S.

(U.

OUTPUT

COAL

number

Total

$408,800,000

other collateral*—

;

2,325,000

106,736,847

109,297,021

326,781,550384,000

348,858,603
441,000

-

,

2,915,000

2,963,000

6TOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODDLOT

sales

Number

—

SECURITIES

dealers

by

of

SPECIALISTS

AND

DEALERS

EXCHANGE
Odd-lot

ON

N.

EXCHANGE

(customers'

Y.

STOCK

purchases

Number of

by

dealers

(customers'

orders—customers'

total

5,218,796

$260,055,556

sales)—

sales

June 29

2,003,386

1,744,680

Customers'

short

sales

June 29

Customers'

other

sales

jUne 29

119,886
1,883,500

112,929
1,631,751

June 29

$99,991,713

$92,073,594

sales

by dealers—

CLASS

I

1,464,249
$75,586,252

3,835,266
1

3,743,255
$201,400,479

Quarter:

Net

operating income...

railway

Other

deductions

Income

,

from

income______

fixed

after

15,168,833

15,323,408

J 91,718,298

167,988,427-

for fixed charges.*

charges...*-

fixed

Total

183,311,835

.___.

,_

Income available

$68,634,032

$23,354,922
83,532,209
106,887,131

$112,621,163

70,690,672

income

Miscellaneous

1,360,038

—__—

income

Total

1,370,685
10,647

92,011

.

(Interstate Commerce Commission)—

First

Dollar value—

Round-lot

S.

RYS.

shares

Dollar value

Odd-lot

SELECTED INCOME ITEMS OF U.

COMMISSION

purchases)—t

—

92,364,606

.91,698,625

—646,308

76,289,802.

chaiges:—

'

Number

of

shares—Total

sales

June 29

Short sales.,
Other

sales

—I—HI

Round-lot purchases by
TOTAL

ROUND-LOT

EXCHANGE
FOR

Total

ACCOUNT

SALES

ROUND-LOT

Other

LABOR

OF

MEMBERS

ON

THE

N.

Y.

June 29

537~490

4891320

935,120

4171660

878,380

665,330

2,067,430

484,430

STOCK

PRICES,

U.

S.

DEPT.

2,218,400

1,771,720

24,802,200

20,253,500

June 29

SERIES

27,020,600

22,025,220

2,881,820
39,501,190
42,383,010

14,088,600

products

Processed foods
v

commodities other than farm and

stock.—:

preferred

July 17

~

_

100.3

*100.3

100.2

july 17

96.5

*96.2

95.5

100.7

100.4

100.2

T„iv

17

—17
foods

97.5

*97.3

95.9

—July 17

100.7

►100.8

of

income

100.7

nrf delivered basis at centers where freight from East
u#>rph"ho*i0f °f'ders not ,rfP°rted since introduction of Monthly
on




St.

Investment Plan.

Lquis exceeds one^half cent

a

pound,

a

tPrime Western Zinc

Not available.

159,558,470

67,320,418

to

fixed

—

38,957,793

;

73,704,934

12,049,879
0.99

charges

TIN—CONSUMPTION OF PRIMARY AND SEC¬
ONDARY

TIN
OF

in

UNITED

____'

of

STATES

May

(in

33,575

at

of period

processed

Intercompany

Primary
Secondary

in

7,250

40,620

35,955

32,055

33,575

28,995

7,380

7,045

5,985
"

:

end

29,970

33,370

5,860

39,435

——

____*

Stocks
Total

THE

beginning of period

Receipts
Supply

IN

MINES—Month

tons):

Consumed
sold
Id

160,856,480

1.83

stock—

Stocks

Meats
All

common

long

IIII™

—12,253,962

appropriations:

BUREAU

OF

(1947-49=100):

commodities

Farm

66,020,151

11,674,927

—

11,607,654

72,216,776

taxes—...

10,269,651

548,120
13,540,480

Commodity Group—
All

Dividend

—_—

(way & structure & equipment)

income

Federal

____.

—___——:—

On

June 29

NEW

income

Depreciation

Ratio
June 29

_

Net

;

On

TRANSACTIONS
(SHARES):

sales

—

417,060

sales—

sales

WHOLESALE

935,120

STOCK

Short sales

Total

489,320

June 29

dealers—Number of shares

STOCK

AND

round-lot

537,490

June 29

deductions

Other

—

.

1_:

i...*:.—*—_*

150

—1'.——:.

6,920

5,170

—

1—...—-

t

6,960

125

7,230

transactions.
manufacturing

scrap

2,060

.

2,070 '

100

6,860

4,850
•

,

4,380
•
.

h2,480

.

Volume

Number 6180

196

.

The Commercial and Financial Chronicle

.

.

(401)

Now
shares
NOTE

—

the

index

and

items reflect the

but

not, in

are

amendment.

Business—Produc¬

23,

Industries, Inc.

1962

("Reg.

A")

Business—Manufacture

offering dates.

Office—1000

73,500

common. Price — $3.
distribution of a variety' of

and

air-supported structures, radar antennae, and solar

L.

Steel

S.

Corp.

—Fred F. Sessler & Co., Inc., N. Y.

—For

debt repayment, equipment; and working
Northern Blvd., Corona, N. Y.

Nov.

Business—A
tion

'

Business—Manufacture
and

component

debt repayment

parts.

ment

Office—

White Plains Rd., N. Y,
Underwriter—Paisley
Co., Inc., 120 Broadway, N. Y.

2435

•

Accurate

&

stockholders.

—Manufacture

ment,

Office—1313

S.

Proceeds

Jay

—

circuits,

and

Bald Hill Rd.,

other

electronic

("Reg. A") 60,000

America, Inc.

common.

phonograph

under

capital.

records; managing of recording
contract, and ; the development and pro¬

Office—551

Bache &

Fifth

Ave.,

N.

Y.

repayment, equipment, and

Underwriter—Equity Securities Co., N. Y.
interest.

formerly named American First Mortgage

Options Corp.
11, 1962 ("Reg. A") 60,000 common. Price—$5.
Business—Company plans to sell "puts and calls" and
may act as a broker-dealer. Proceeds—For general cor¬
porate purposes. Office—120 Broadway, N. Y. Under¬
writer—Provost Securities, Inc., N. Y.

,

Insurance Corp.

American

Pacific

Fund, Inc.

July 9, 1962 filed 94,500
Business—An

open-end

izing

health,

common.

special¬
insurance.
Proceeds—For investment. Office—1523 Kalakaua Ave.,
Honolulu. Underwriter—American Pacific Management
Corp. (same address).
in

life,

casualty

Corp.
filed 315,000 class A

Business—General real estate.

Teutonia Ave., Milwaukee. Underwriter—None.

Properties, Inc.
1962 filed $5,000,000 of conv. subord. deben¬
1977. Price—At par. Business—Company and

subsidiaries conduct

components.

on

land

a general real estate business with
development and home construction

in

Fla., Md., N. Y., and Ky. Proceeds—For repayment1
of debt. Office—230 Park Ave., N. Y. Underwriters—
Bear, Stearns & Co., and Allen & Co., N. Y.

Office—

24,

1962

company

accident

shares.

Price—$10.

Proceeds—For corporate

Office—320 Park Ave., N. Y.
Securities Corp., N. Y.

purposes.

V

All-State

emphasis

and

American Phoenix

Jan.

due

Price—Net asset value.

management

—insuring of buildings against fire, lightning and other
perils. Proceeds—For working capital. Office—3882 N.

Underwriter—

Interamerica
American

Plan

Corp.
filed $2,480,000 of convertible deben¬
248,000 common shares (of which
218,000 will be sold for the company and 30,000 for
stockholders). The securities will be offered in units of
one $10 debenture and one share. Price—By amendment
March

tures

30,

due

1962

1982

and

Continued

on

page

Alsco

Electronics, Inc. (9/4-7)
March 28, 1962
("Reg. A") 100,000 class A common.
Price
$3. Business — Wholesaling and distributing of
electronic parts, kits, components, etc. Proceeds — For
inventory and working capital. Office—2520 N. Broad St.,
Philadelphia. Underwriters—Albert Teller & Co., Inc.,
and H. A. Riecke & Co., Inc., Philadelphia.
—

Underwriter

Aerial Control Geotronics

,

YOUR PRIME SOURCE FOR
r'

...

ment. Business—Manufacture of standard and special in¬
dustrial aircraft and missile fasteners. Proceeds — For

BOUGHT

repayment, equipment and other corporate pur¬
Office — Lawson Blvd., Oceanside, L. I., N. Y.
D. Fuller & Co., N. Y. Offering—In¬
definitely postponed.

-

SOLD

-

QUOTED

for Banks, Brokers, Institutions

debt

poses.

Underwriter—S.

Co., N. Y.
Corp.

May 26, 1961 filed 180,000 common, of which 90,000 will
be sold for company and 90,000 for stockholders. Price—
By amendment. Business — Manufacture of aluminum
storm windows and doors, and other aluminum products.
Proceeds—For working capital, and other corporate pur¬

Office—20th Street and Allegheny Avenue, Phila¬
delphia, Pa. Underwriter — Clayton Securities Corp.,
Boston. Note—This offering has been postponed.

poses.

Air

debt

Office—4950 71st Ave., North, Pinellas

April

Underwriter—

May 28, 1962. ("Reg, A") 100,000 common. Price—$3. ,
/
Amerel Mining Co. Ltd.1;
.-.''•J *
Business—Application of electronic and air photography
July 31, 1961 filed 400,000 common shares. Price—500.
developments in the field of geodetic surveying and re¬
Business—The company is engaged in exploration, de¬
gional mapping. Proceeds—For debt repayment, equip¬
velopment and mining. Proceeds—For diamond drilling,
ment
and working
capital.
Office—2412 S. Garfield
construction, exploration and general corporate ex¬
Ave., Monterey Park, Calif. Underwriter—Pacific Coast
penses.
Office — 80 Richmond St., W., Toronto. Under¬
Securities Co., San Francisco.
writer—E. A. Manning, Ltd., Toronto.
Aerodyne Controls Corp.
• American Bolt & Screw
Mfg. Corp.
Jan. 29, 1962
("Reg. A") 90,000 common. Price—$2.
Dec. 15, 1961 filed 150,000 common. Price—By amendBusiness—Design, manufacture and sale of systems, con¬

•

Proceeds—For

Mar. 30, 1962 filed 1,000,000 common. Price—$3. Business

—Shields & Co., N. Y.

Master

(8/1)

American

Proceeds—For debt

Co., N. Y. Offering—Indefinitely postponed.

All-Star

Mortgage Corp. ;
April 27, 1962 filed 200,000 common. Price—By amend-.
ment. Business—The making and servicing of real estate
first mortgage loans. ] Proceeds—For debt repayment.

Air

Manufacturing Corp.

Beach, Fla.

tors' books. Proceeds—For debt repayment and working

micro¬

equipment, debt repayment,
expansion and working capital. Office—90 Gazza Blvd.,
Farmingdale, N. Y.
Underwriter—Robbins, Clark &

Modular

American Mortgage Investors
Feb. 8, 1962 filed 1,300,000 shares of beneficial

„

Price—$4.

Proceeds—For

—

American

Park, Fla.

equip¬

Arts, Inc.
27, 1962 filed 180,000 common, of which 60,000 will,
and 120,000 for a stockholder.
Price—By amendment. Business—Publication of mass
circulation catalogues (for department stores and mail
order firms), a semi-annual magazine and stamp collec-

Advance

industries.

and work¬

Brae, Los Angeles.
California Investors, Los Angeles. Offer¬

working capital.

Price—$3. Business

sold for the company

tures

trols and assemblies for the missile, rockets and aircraft

repayment

company was
Investors.

be

Underwriter—None.

Bldg., Detroit.

debt

Bonnie

Underwriter—Hayden, Stone & Co., N,; Y. Note—This

April 24,

working capital.

Providence, R. I.

Office—First National Bank

•

Allied Graphic

Offering—Expected in late August.

diode

S.

Nov. 27, 1961 filed 200,000 common. Price—$2.50. Busi¬
ness—Manufacture of a type of component constructed

Mar.

—

and

Office—660

ing—Indefinitely postponed.

and

repayment, expansion, sales promotion and working
capital.
Office—1697 Broadway, N. Y. Underwriter—
Reuben Rose & Co., N. Y.

Adtek, Inc.
May 21, 1962 ("Reg. A") 100,000 common. Price—$1.15.
Business—A general advertising and technical publishing
service.
Proceeds
For salaries, sales promotion and
working capital. Office—Statler Bldg., Park Sq., Boston.
Underwriter—Paisley & Co., Inc., 120 Broadway, N. Y.

transistor

Proceeds—For

capital.

Underwriter

fiberglass awnings

Proceeds—For

duction of jingles for TV and radio.

Inn, Inc.
July 11, 1962 ("Reg. A") $300,000 of 6% convertible
debentures.
P r i c e—At
par.
Business—Operation of
restaurants, motels and hotels. Proceeds—For general
corporate purposes. Office—29 S. Bellevue Blvd., Mem¬
phis. Underwriter—James N. Reddoch & Co., Memphis,

Proceeds—For equipment and

ing

Price—$2.50.

11, 1962

artists

Products, Inc.

of

dolls.

debt

tributing

Benbow

Business—Manufacture

of

For

Business—Mq^q, .publishing,, recording, selling and dis¬

St., Kokomo,

^ Advanced
Micro-Electronics, Inc.
July 13, 1962 ("Reg. A") 75,000 common.

sale

—

Laboratories, Inc.

laboratories.

advertising, and working capital. Office — 4116
Ave., Brooklyn, N. Y. Underwriter — Theodore
& Co., Inc., N. Y.

Allied Entertainment Corp. of

(8/1-3)
Jan. 11, 1962 filed 100,000 common. Price—$4. Business
—A warehouse distributor of automobile equipment ac¬
cessories and supplies.
Proceeds — For expansion and
working capital. Office—3294 Steinway St., Astoria, N. Y.
Underwriter—Baruch Brothers & Co., Inc., N. Y.
Admiral

and

Proceeds

28, 1962 filed 200,000 common. Price—By amend(max. $6). Business—Operation of hospitals and medical

home.

common.

products.
and

Price—$15. Business — A newly-formed business trust
which plans to invest in first mortgages. Proceeds—For
investment. Office—305 S. County Rd., Palm

June

For

Ind. Underwriters—McDonnell & Co., N. Y. and Raffensperger, Hughes & Co., Indianapolis.

99

27, 1962 filed 133,333

Arrin

devices for automobiles.

Admiral Automotive

American

Busi¬

windows

meat

expansion

Feb.

Allied Doll & Toy Corp.
Feb.

Inc.

selling

and

and

Price—$5. Business
variety of kosher and non-

common.
a

working capital. Office—
Ave., Brooklyn, N. Y. Underwriter—Willard
Securities, Inc., N. Y.

Rd., Baltimore.
Under¬
Sons, Baltimore. Offering—In¬

storm-screen

meat

repayment,

—
For an acquisition, debt repayment
general corporate purposes. Office—5007 Lytle St.,
Pittsburgh, Pa. Underwriter—First Madison Corp., N. Y.

30, 1962 filed 100,000 common. Price — By amend¬
(max. $13). Business — Rebuilding and sale of
drive

kosher

Price—$4.25.

Provisions, Inc.

39 Norman

Fairfield

combination

Kosher

.

doors/Proceeds

First

starter

-

.

and

withdrawn.

electronic

aluminum

and

ment, advertising and other corporate purposes. Office
—651 Third St., Newark, N. J.
Underwriter—Baruch ;
Bros. & Co., Inc., N. Y. Note—This registration was

ment

Office—3440

ness—Manufacture of aluminum

Packaging Corp.

Parts

-

American

June 25, 1962 filed 130,000
—Manufacture and sale of

Allegheny Aluminum Industries, Inc.

28, 1962 filed 80,000 common. Price—By amend¬
ment. (max. $3). Business—Design and manufacture of
folding paperboard cartons. Proceeds—For debt repay¬

Accurate

$6).

Dec. 21, 1961 filed 100,000 common.

*•

Feb.

March

- ■

definitely postponed.

products,

and other corporate purposes.

fice—546

Price—By amend¬
Business—Manufacture of specialty

writer—Robert Garrett &

instruments

new

Proceeds—For construc¬
Office—614 Equitable Bldg.,

,

(max.

Price—By amendment (max.

Business—Transportation, distribution

and sale of
Proceeds—For debt repayment and expansion. Of¬
S. 24th Ave., Omaha.' Underwriter—Cruttenden, Podesta & Miller, Chicago.
"

$5.75.

—

chemical products. Proceeds—For general corporate
pur¬

Price—$2.50.

test

Price

common.

company.

capital.

Underwriter—

gas.

250,000

Chemical Corp.
23," 1962 filed 50,000 common.

poses.

Proceeds—For

$5).

Alcolac
March

Inc.

electronic

of

shares for each share held.

Offering—Postponed.

postponed.

Morris Cohon & Co. and Street & Co., Inc., N. Y.

April 24, 1962 ("Reg. A") 80,000 common.

lumber

working

Clifton, N. J.

Gas Co.
(8/6)
1962 filed 548,532 common to be offered for
subscription by stockholders on the basis of 3.6 new

Portland, Ore. Underwriter—Dempsey-Tegeler & Co.,
Inc., St. Louis. Note—This registration was temporarily

Realty Fund, Inc.
June 29, 1962 filed 380,000 class A common. Price—$10.
Business—Real estate ownership and management. Pro¬
ceeds—For debt repayment and general corporate pur¬
poses.
Office—292 Madison Ave., N. Y. UnderwritersInstrument Co.

and

Ave.,

March 26,

Lumber Co.

filed

1961

Under¬

Abbott

Accurate

17,

Pacific

capital. "

Office—126—02

writer—Bernard L. Madoff, N. Y.

Alaska

Main

American

re¬

Proceeds—For expansion and working capital.
Office—30 Garden St., New Rochelle, N. Y. Underwriter

A.

ISSUE

K-Pac Securities Corp., N. Y.

flectors.

March 29, 1962 filed 100,000 common. Price—$4.50. Busi¬
ness—Sale of processed flat rolled strip steel. Proceeds

REVISED

American Flag & Banner Co. of New
Jersey
May 1, 1962 filed 100,000 common. Price—$3.25. Busi¬
ness—Production of flags, banners and accessories. Pro¬
ceeds—For taxes, debt repayment and
working capital.

—

Air-Tech

Mar.

ITEMS

•

PREVIOUS

& Co., Inc., N. Y., and Cruttenden, Podesta & Miller, Chicago.

expansion. Office—150 E. 42nd St., New York. Un¬
Kidder, Peabody & Co. and Dean Witter
& Co., New York.
derwriters

ADDITIONS

SINCE

Underwriters—Reynolds

and

firm

as

Price—By

repayment

in the accompanying detailed
expectations of the underwriter

general, to be considered

held.

Registration

tion of oxygen, acetylene and other
gases, welding tools
and related equipment. Proceeds—For debt

Because of the large number of issues

awaiting processing by the SEC, it is becoming
increasingly difficult to predict offering dates
with a high degree of accuracy. The dates shown
in

* INDICATES

in

29

Reduction

Co.,

Inc.

(8/29)

April 27, 1962 filed $44,546,300 of conv. subord. deben¬
due 1987 to be offered for subscription by stock¬
holders on the basis of $100 of debentures for each 10

tures




•

American

Jan.

Cardboard

5, 1962 filed 150,000

—Manufacture

boards, etc.

sale

and

Proceeds

&

Packaging Corp.

common.

of

Price—$3.50. Business

cardboard

boxes,

For general corporate purposes.
Office—1101 W. Cambria St., Philadelphia. Underwriters
—Milton D. Blauner & Co., Inc., M. L. Lee & Co., Inc.,
N. Y., and Hallowell, Sulzberger, Jenks, Kirkland & Co.,
Philadelphia. Offering—Temporarily postponed.
—

American
June

Fidelity Corp.
4, 1962 filed 500,000 common. Price—$11. Business

—A small business

investment.

investment company. Proceeds—For
E. Market
St., Indianapolis.

Office—423

f$clnw^ sd. SIEGEE
Established 1942.

TIC.

display
Members

of New York Security Dealers Association
39

Broadway, New York 6, N. Y.

DIgby 4-2370

TWX: N.Y. 1-5237
Direct Wire to

BOLTON, HENDERSON & CO., Loa Angeles

30

30

The Commercial and Financial Chronicle

(402)

Co. Office—American Plan
Bldg., Westbury, N. Y. Underwriter—Bear, Stearns &
Co., N. Y.
a
v
American Safety Table Co., Inc. *
May 23, 1962 filed $100,000 common. Price-—By amend¬
ment
(max. $7).
Business—Design, manufacture and
-marketing of equipment used in the sewing industry.
Proceeds—For expansion, debt repayment and working
capital. ' -Address—Mbhnton, Pa. ' Underwrite*—Reuben
Rose & Co., Inc., N. Y.
■■./
<• ;•;/* .//•;*;
■

Assembly Products,

American

^

&

_

Rauscher,
Co., Inc., Dallas. Offering—Temporarily post¬

&

Pierce

Co., N. Y. and

-

•

Department Stores, Inc.
April 27, 1962 filed 100,000 common.

Price—By amend¬

$5).
Business—Operation of self-service
discount department stores. Proceeds—For debt repay¬
ment, expansion and working capital. Office—Mill St.,
Southbridge, Mass. Underwriter—Kahn & Peck, Cohn
& Co., N. Y.
(max.

stockholders.

N.

Office—34

Proceeds*—For

Main

St.,

Hudson,

selling

;■

Automatic Controls, Inc.

Ohio.

Industries Corp.

Anchor

24, 1961 filed 38,500 common, Price—$8. Business
—Design and fabrication of precision sheet metal prod¬
ucts. Proceeds — For machinery research, sales promo¬
Nov.

Dec.

Berne
Oct.

(8/20-24)

e

.

•

Price^-By amendment. Brisiness—iSale arid dis¬

•—18

relocation, and working capital.

July' 16, 1962 filed
starch

Irvington St., Boston. Underwriter—None.

Note—This statement has become effective.

Imminent.

Bank "Adanim"

Mortgages & Loan Ltd.

Dec# 29, 1961 filed $550,000 of 6% cumulative
dividend participating dollar-linked shares.

amendment#
108

Achad

—

At

par,

Business-r A holding

Haam

Tel-AviV,

St.,

N.

I,

1961

("Reg.

Y. Underwriter

—

Gfanis &

Co,, N. Y.

Postponed.

f

Barker Bros. Corp.

^

Pricer-^$4.

Busi¬

tures

s.

f. subord. deben¬
100,000

due 1974;. also 109,990 common, of which

by the company and 9,990 by Stockholders.
Price—For debentures, at par; for stock, by amendment
(max. $9). Business—Manufacture of automotive pa^ts,
lock nuts and certain aluminum products. Proceeds—
For debt repayment, working, capital" and ' purchase" of

will be sold

-

<

preference ;
Price—By

leased

office

Detroit;

Underwriter.—
Co., Inc.
*

common.

100,000 common.

liquid stajrch/ a rinse, arid spray
household" use/ "ProCeeds^-For equipment,

Engineering Co.

Braun

Israel.

Inc.
A") 50,000

for,

May 11, 1962 filed $400,000 of 6Vz%

Business —A mortgage lending, company.
general corporate purposes.
Address—

Baristi Associates,

Sept.

and

plant".

•

Office—19001 Glendale Ave.,

Underwriter—Watling, Lerehrin & Go#,- Detroit.

Instruments, Inc.
1962 filed 100,000 common, of which 77,420
shares are to be offered by the. company arid 22,580
shares by stockholders.
Price — By amendment' (inax.
$7:75). Business — Importing and distribution of scien¬
tific instruments. Proceeds—For research and" develop¬
Brinkmann

March 26,

Price—$4.

ment, equipment, debt repayment and Other corporate
purposes. Office—IIS1 Cutter Mill Rd., Great Neck, N. Y.
Underwriter—D. B: Marrbri & Cb.,rN. Y.
—
*
1
s-

Offering-

|

;

Bruce

(Michael^ Distributors, Inc. (8/20-24):
Price—$5. Busi¬
ness — Operation
commercial and institutional furnishing®. Proceeds—For
of self-service .discount department
expansion and debt repayment. Office—018 W. Seventh * store®.' Proceeds—Tb rCtire outstariding debentures, s^nd
for working capital. Office—1101 Albany Ave.,, Hartford,
St.,-Los Angeles. Underwriter—William R. Staats & Co.,
Conn. Undenvriter—Gianis & Co., Inc./N. Y.
Los Angeles. Offering—Postponed.
-

March lS, 1962 filed 200,000 common. Price—By amend¬
ment (approx. $12). Business—Merchandising, of hoMe, •

March 29, 1962 filed 100,000 common.

"

_

•
Buddy L. Corp.
Barogenicsy Inc. " * ~ T- J"-"
March 30, 1962 filed 100,000 common.
Price — $7.50.' April 2, 1962 filed 225,000 common. Price—By amend¬
ment (max. $10). Business — Design, manufacture and
Business—Research and development in ultra high pres¬
sale of various type toys. Proceeds—For a proposed ac¬
sure technology and the design and sale,Of ultra highquisition of another" toy company.. Office—200 Fifth Ave.,
pressure equipment. Proceeds—For inventories, research,
N. Y; Underwriter—Milton D. Blauner & Co., Inc., N. Y.
and sales promotion. Office — 51 E. 42nd St.,. N. Y.
-Offering—Temporarily postponed.
Underwriter—-Globus, Inc., H. Y.
•

Proceeds
corporate purposes. Office—14 w. 55th
St., N. Y, Underwriter—Dana Securities Co., Inc., 80
Wall St., N. Y. Note—This offering has been
temporarily
postponed#
.......
general

Basic

Ascot Textile Corp.




.

plant expansion and working capital.' Office—901 Flor¬
ence Ave., Lima, Ohio#
Underwriter—Haiiowell, Sulz¬
berger, Jenks, Kirkland & Co., Philadelphia.

Proceeds—For

Price—$2.

interfacings used in the manufacture of clothings Pro¬
ceeds—For expansion/debt repayment and working capi¬

■

ness—Manufacture of

Office

Babs, Inc.
• /./':••
V*
*
Nov. 27, 1961 filed 150,000 common# Price—$4. Business
—Sale of dairy products, through "Dairy Drive-ins."
Proceeds—For debt repayment and working capital. Of¬
fice— 32550 Pulaski Dr., Hayward, Calif. Underwriter—
Pacific Coast Securities Co#, San Francisco. < Offering— -

bowling magazine.

Feb. 23, 1962 filed 100,000 common. Price—By amend¬
ment. (max# $7.50). Business—Converter" of linings and

^

Avisr Inc.

construction and

Publishing^ Co., Inc.
103,000 common.

'

(Ernest E.)

June 22,

at par; for common, $5. Business—Rental and leasing of
^automobiles and' trucks. Proceeds—For debt repayment,

Artlin Mills, Inc.
Sept. 28,1961 filed 135,000 class A common shares. Price■—$5#
Business—The purchase, conversion, decoration,
gift packaging and distribution1 of terrycloth towels mid
cotton pillow cases. Proceeds—For inventory, repayment *
of loan® and working, capitals Office—1030 Pearl
St.,
Long Branch, N. J. Underwriter—Mortimer B# Burnside & Co., Inc., N. Y:

a

Price—$3,'

Business—Application of electronic and mechanical data
processing techniques to solution of problems for gov¬
ernment and industry. Proceeds—For equipment/ sales
promotion and expansion# Office—10419 Fawcette St.,
Kensington, Md. Underwriters—Jones, Kreeger & Co.,
and First Investment Planning Co.. Washington, D. C.
Note-^-This statement has become effective.
/ ^

Business—Aeronautical research and development. Pro- ;■
ceeds—For working capital. Office—224 E. 38th St.,

Business—Publishing of

Blanche

;1977. Price

programming, applications engineering, and
operation® analysis. Proceeds—For working capital. Of¬
fice—7722 Morgan Ave., So.,, Minneapolis. Underwriter
—Bratter & Co., Inc., Minneapolis.«

—For

common.

handbags and related items.

(8/27-31)
;
<;/''/'
'V company for i6 subsidiaries in the real-estatev and gen¬
1962 filed $1,497;300 of subordinated convertible } eral contracting business. Proceeds—For general cor¬
debentures due 1972 rind 499,101 common to be offered
porate purposes.; Office-^-2600 Popular Ave^ ' Memphis,
for subscription by stockholders on the basis of $100 y Tenn. / Underwriters^-Liebetbaum & Co.,; and Morris
of debentures for each 100 shares: held and one new
Cohon & Co., N. Y; ;
share for each- three shares • held.- Price—For debentures,
Blue Magic Co. of Ohio; Inc.
' V ;; • •
•

v

of

29M902 ("Reg. A")

Manufacture of

—

■

'1/ '•

& Associates, Inc.
March 15, 1962 filed 80,000 class A common. Price-^$3.

»

the

Ascot

■■
•

—Adams & Co., Los Angeles.

Adanim American Israel Investment

Jam

L

California, 'Iibo^
1961 ("Reg. A.") 85,000

Proceeds—For debt repayment and working capital. Of¬
fice—1621 S. San Pedro St., Los Angeles. Underwriter

ArfesCorp.
I
June 27, 1902 filed 200,000 common. Price—$1.15. Busi¬
ness—Company plans to provide consulting services in
area*

27,

Business

'

/ ;;

of

r

Argus Financial Fund, Inc.
Feb..12,, 1962. filed. 800,000- capital shares to be offered in
exchange for certain securities acceptable to the Fund.
Price—Net asset value (expected at $12.50 per share).
Business—A diversified open-end investment company
which; plans to* participate in the long-term progress of
savings and loan associations, and allied financial busi¬
nesses;
Proceeds—For investment. Office—1118 Torrey
Pines Road,; La Jolla, C&lif. Dealer-Manager—Argus Fi¬
nancial Sales .Corp. (same address).
•*

#

'

-

Note—This letter is being with¬

Co., Inc.- N. Y.

drawn.'

.

<:&7-

subord. de¬
bentures due 1990 to be offered in $100 units; also 49,993
shares of $3 cumulative prof erred stock and 205; 105
common shares to be offered for subscription by stock¬
holders of the respective classes on the basis of one
new share for each 10 held.
Price—For debentures, at
par; for stock, by amendment. Business—Manufacture,
purchase and sale of ice cream and other dairy products.
Proceeds—For debt repayment. Office—1900 W. Slauson Ave., Los Angeles. Underwriter—None.
conv#

stein &

.

Inc.

'

advertising, expansion: and equipment. Office—9821
Avri#, Brooklyn, N; Yv; Underwriter—Amber, Bur-

Foster

Blankenship, Ostberg, Inc.
May 29, 1962 ("Reg. A") 100,000 common. .Price—$3.
Business—Furnishing of market research and consulting
services.
Proceeds—For working capital/and general
corporate purposes. Office—95 Madison Ave., N. Y. Unoperates; owns, services and leases coin-operated auto- /- dcrwriters-—Kenneth- Kass and J. J. Krieger & Co., Inc.,
: mafic
vending machines.
Proceeds—For debt repayNew York.];
y.-.*;.
■/
:
ment, inventories;; equipment and working, capital. OfBloomfield Building Industries:, Inc.'
fice—217 N; Willow Ave., Tampa. Underwriter—A. C.
Mar/ 26, 1962 filed $2,000,000 of conv. suborid. deben¬
Allyn & Co., Chicago.
tures due

30, 1962 filed 100;000 common, of which 80,000
by the company arid120,000 by stockhold¬
ers. Price—By amendment (max. $8.50). Business-r-Research, development and engineering tinder defense con¬
tracts. Proceeds—Repayment of bank loans, equipment,
plant expansion and working capital. Office—Paramus,
N. J. Underwriter—McDonnell & Co.r N
-

r*'"1

Automatic Merchandising, Inc.
■
May 24, 1962 filed 225,000" common, of which 125,000 are
to be offered by company and 100,000 by stockholders.'
Price—By amendment (max. $6). Business—Company

to be riold

Arden Farms Co--

for

photbcofpy'Machine' arid supplies. Proceeds
equipment, expansion, and working capital. Office
W. 36th -St., N. Y. Underwriter—None.

—153

March

May 23, 1962 filed $6,000,000 Of 6%

•

tribution of a
—For

Itic*

A") 70,000 common. Price—$2,625.
Business—Design; manufacture and installation of photo¬
graphic processing and cOritrol equipment. Proceeds,—

Corp.
'
1, 1961 filed 150,000 class^shares^of-which 125,000

holders.

•

March 7, 1962 ("Reg.
,

to be offered' by the company and 25,000 by stock¬

are

Angler Industries, Inc.
June 15, 1962 ("Reg. A") 120,000 common. Price—$2.50.
Business—Manufacture of electronic hardware, and the
assembly of products for th,e electronics industry.
Proceeds—For debt repayment, equipment, advertising
and working capital. Office—107 Trumbull St., Elizabeth,
N. J. Underwriter—Edward H. Stern & Co., Inc., N. Y.
Arde

.t

Automatic Marker Photo

tion, and working capital. Office—26 Essex St., Hackensack, N. J. Underwriter — Amber, Burstein & Co., Inc.,
New York. Note—This registration is being withdrawn.

are

;■ ■ -Betid' .^osmetics,' ;• Inc./y ■'■;,.
.. ,v ■
March 2, 1962 ("Reg. A"). 100,000 common. Price — $3.
Business—Importation, sale and distribution of Italian
cosmetics. Proceeds — For advertising, inventory and
working, capital., Office—114 W. 13th SU, N. Y. Under¬
writer—Granite Securities, Inc., N. Y.
.
/
Bernalen

28, 1961 filed 50,000 Common. Price—$4. Business
—Design, manufacture and installation of electrical,
pneumatic, hydraulic and mechanical systems, controls
and devices to control and automatically operate indus¬
trial machinery and processes. .Proceeds —For general
corporate purposes. Office—3601 Merrick Rd., Seaford,
N. Y.
Underwriter— S. Schramm & Co., Inc., N. Y

U n der writer—N one.
.

.

.

Dec.

<•

■?

Proceeds—For, debt repayment;; equip¬
ari acquisition and Working capital/ Office—330
Chancellor Ave., Newark, N. J. Underwriter—Seymour
Blauner Co., N. Y.
/
^
;

plant expansion, equipment, debt- repayment and
working capital.1 Office—South Main St., Union, III.
Underwriters—Pierce; Carrison, Wulbern, Inc., Jackson¬
ville, Fla. and A. M. Kidder & Co., Inc., N. Y.
V

Inc.

Un¬

Co., Inc.; N. Y. <

beauty salons.

•

Design, manufacture and sale of kitchen range hoods,exhaust fans and kitchen cabinet hardware. "Proceeds—

1962 filed 5,900 common. Price—At-the-marBusiness—Design and development of sterile dis¬

ampoules.

#

I ment;

For

March 28,

hypodermic

V

Beauty Industries/' Irtc#"jC."XT '/r'.'X'X
*\
r-.* April 19, 1962. ('.'Reg.: A/'). 99,990. common., Price—$3.
; t Business--Ownership,
operation • and: franchising .of

Aubrey Manufacturing, Inc. (8/27-31)
March 28, 1962 filed 140,004 common, of which 100,000
shares are to be offered by company and 40,004 by stock¬
holders.
Price—By amendment (max. $7)". . Business—1

ket.

*[.'I' •v'

-

-equipment, inventories and working capital.
Office—668 *JerikS Ave., St Paul, Minn.,
Underwriter—Pewters, Donnelly; & ' Jansen, T Inc., St..
Paul, Minn.
'

Ames

posable

.

Office—367 Main St., Wareham/ Mass#

derwriter—Baruch Brothers &

Proceeds—For

fiers.

Ampoules,

"v

,

(John J.)

ing capital.

Business—Manufacture and sale of Misti-Cone. humidi-

Minerals Corp.

1962 filed 400,000 common. Price—By amend¬
ment
(max. $3). Business—Company plans to explore
for strategic minerals. Proceeds—For debt repayment,
exploration and working capital. Office — 527 Failing
Bldg., Portland, Ore. Underwriter—To be named.

ment

Beaton

k

Co., lnc. (8/1-3)
•*,"
V
May 28,1962 filed 150^000* common. Price—$5. Business
—Company plans to process and can cranberries, and dis-

^ "
Price—$1.50.

July 9,

■

„

Offering—Indefinitely postponed.-

*

Atmosphere Control, Inc.
■'
May 28, 1962 ("Reg. A") 200,000 common.

''

American Strategic

Bowling Corp.

rights for each share held). Price—At par.* Business—
Operation of bowling centers iii Rhode Island arid Massachusetts. Proceeds — For debt repayment, expansion
and working capital. Office — 100 Medway St., Providence. Underwriter—None. Offering—Imminent, /
y

12, 1962 filed 1,000,000 common. Price—$11. Busi¬
investment company. Proceeds—For
investment. Office—800 Hartford Bldg., Dallas. Under¬

poned.

.

by common stockholders at the rate of; $100 of deben¬
tures for each 200 rights acquired (on the basis of three

...

ness—A real estate

&

—For product development .and
working„capital., Office
—43
Lfeon
St., Boston. Underwriter ^— To be named.

June 18, 1962 filed $810,000 of 6% subordinated convert- ■/, tribute frozen -cranberries and4 canned cranberry sauce."
Proceeds—For plant expansion, equipmeSnt, and1 work- ;
ible' debentures due 1972 to be offered for subscription

Feb.

writers—Kidder, Peabody

Atlantic

-

Co., Inc., Cleveland. Offering—Indefinitely postponed.

•

Realty Trust

Southwest

Bay State Electronics Corp.
27, 1961 filed 160,000 common. Price—By amend¬
ment. Business — Development of products and tech¬
niques, for use in the field, of oceanography, meteor¬
ology, seismology and ionospheric phenomena. Proceeds

Inc.

1962 filed $1,250,000 of 5%% conv. subord. de¬
bentures due 1972. Price—At par. Business—Manufacture of electromechanical and electronic devices.
Pro¬
ceeds—For debt repayment, equipment and working
capital.
Office—Wilson - Mills Rd., Chesterland, Ohio.
Underwriters—Prescott & Co. and William T. Robbfns

•

Thursday, July 26, 1962

.

Oct.

March 29,

Fidelity Fire T"c"rance

.

Underwriter—To be

Offering—Temporarily postponed.

named.

(max. $22.50 per unit). Business—Production and serv¬
icing of physical damage insurance on automobiles,
trucks and mobile homes. Proceeds—To purchase Ameri¬
can

Office—335 W. 35th -St., N. Y,

tal#

Continued from page 29

.

.

r

Cable

Properties, Inc.

June 29, 1962 filed 400,000 class A common^ Price—By
amendment (max; $12). Business—Real estate invest-ment#

Proceeds—For

debt

repayment,: acquisition .^ a

building and other corporate purposes^ Office—521 Fifth
Ave., N. Y. Underwriter—Hornblower & Weeks, N. Y.

-

Carriers, Inc.
1,015,564 capital shares to be offered
subscription by stockholders on the basis of four new

June 22, 1962 filed
for

sharbS fbr each share held on Feb. 14; 1962. Price—25
cents.. Business—Manufacture arid sale of overhead trbU

ley conveyers, vertical tray lift systems,"floor and'

over-

Volume

head

tow

Office

*

The Commercial and Financial Chronicle

Number 6180

- yr

.

Caldwell

; -

•

•

_

Price-—$3.50. Busi¬

common.

Calvert

March
are
ers,

Electronics,

distribution

and

working

tory;

'

Office—220E.
Rosen &

23rd
St.,
Appel, N. Y.

purposes.

^

-

,

.

guidance systems. Proceeds—For general corporate pur¬
poses.
Office—88-06 Van Wyck Expressway, Jamaica,
N, Y. Underwriter—To be named.
Computer Concepts Inc. (8/8)
1961 filed lu0,000 class a common. Price — $5.
Business—Development and sale of advanced program¬
ming systems, for solution of business problems by the '
use of digital computers. Proceeds — For
geheral cor- '
porate purposes. Office—1012 14th St., N. W., Washing^
ton, D. C. Underwriter—Doft & Co., N. Y.
~
I.

Dec. 29,

Coating Corp.
June 29,-1962 filed 70,000 common. Price—$5. Business
—Company plans to operate a painting contracting busi¬
ness and manufacture paints. Proceeds—For general cor¬
porate purposes. Office—Santurce, P. R. Underwriter—'
Arnold Malkan Investment Growth of Puerto Rico, Inc.,
Santurce, P. R.
'/
'

Underwriter—Philips,

Y.

N.

corporate

Computer Control Co., Inc.
Jan. 24, 1962 filed 157,500 common, of which 62,500 are "
to be offered by the company and 95,000 by stockhoid- k

'

Chestnut Hill Industries, Inc.
Nov. 29, 1961 filed 300,000 class A

'

Cambridge Fund of California, Inc.
'•
Sept. 28, 1961 filed 280,000 common. Price—By amend--'
ment. Business—General real estate. Proceeds—Debt
payment and Working capital. Office—324

E. Bixby Rd.,1

Lbng Beach, Calif. Underwriter—To be named.
Cameo

common, of which
225,000 are to be offered by the company and 75,000 by
stockholders.1 Price—$7.50. Business—Design and manu-*

re-

i'l

"
of which 120,000 are
80,000 by stockhold¬
ers.
Price—$5.: Business—Manufactuer of women's and
children's' tailored panties. - Proceeds—For debt repay¬
ment, inventory and working capital. Office—Fajardo,
Puerto * Rico." Underwriter — Schweickart & Co., N. Y.
Feb. 12, 1962 filed 200,000 common,
to be offered by the company and

'

Canale Chemical

nated

and

warrants

1962

N*

Bronx,
New
•

York.

working capital. Office—1125 Close Ave.,
Y. Underwriter—J. R. Williston & Beane,
;/• 1 <''..V1'.

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,
near
Cape Canaveral, Fla., andk develop real estate,;
erect homes, apartment houses, motels, etc.- Proceeds—
For debt repayment and expansion. .Office—309 AinsleyBldg.y Miami, Fla. Underwriter—Willis E. Burnside &
Co., Inc., N. Y.

—

writer—M. G. Davis, 150 Broadway, N. Y.
•

April 27,

due

tures

velopment, and working capital. Office—341 Vassar St.,;
Cambridge, Mass. Underwriter—Gianis & Co., Inc., N. Y
Offering—Indefinitely postponed.
Church

Consolidated

Leasing Corp. of America
1962 filed $l,lu0,000 of 6^% subord. deben¬
1977 (with warrants); .also 305,000 common
shares, of which 285,000 will be sold by company and
20,000 by stockholders. Price—For debentures, at par;
for stock, by amendment (max. $9). Business—Renting
of cars, trucks and equipment. Proceeds—For debt re¬
payment, an acquisition and other corporate purposes.
Office—1012 Baltimore Ave., Kansas Citv. Mo.
Under
writer—Blair & Co., N. Y. Offering—In the Fall.

•<

Chomerics, Inc.

•

28,

facture of cosmetics, toiletries, cleaning chemicals, jewelery, etc. Proceeds — For general corporate purposes.
Office
525-535 E. 137th St., New York City.
Under¬

April 27, 1962 ("Reg. A") 36,000 common. Price — $5.
Business—Development, manufacture and sale of plastic
specialties. Proceeds—For equipment, research and de¬

"

Hills

23,

ceeds—For

to' purchase'

26,000 common shares, to be offered in units of one $100
debenture and 10 warrants to purchase one share.'Price
—$100 per uhit. Business — Manufacture of industrial
chemicals for sale primarily to the graphic arts indus¬
try. Proceeds—For plant expansion, inventory, sales pro¬
motion, research and development. Office—37 Cottage
Row, Glen Cove, N. Y. Underwriter—None. *
Canaveral

Inc.
1961 filed 120,000 common (with attached 3year warrants to purchase an additional 60,000 shares
at $2 per share) to be offered in units of one share and
one-half warrant. Price—$2 per unit. Business—Manu¬

Inc.
filed 100,000 common, of which 70,000are to be offered by company and 30,000 by stockholders.
Price—By amendment (max. $12.50). Business—Design,
manufacture and sale of plastic educational toys. Pro¬
May

,

1970

due

debentures

Concord Products,

Nov.

Guidance Toys,

Child

/

Corp.
;
;
12, 1962 filed $250,000 of 6% convertible subordK

June

facture

of women's, misses' and junior sportswear, co¬
ordinates, and dresses. Proceeds—For debt repayment,
equipment and working capital. Office—2025 McKirtley
St., Hollywood, Fla. Underwriter — Clayton Securities
Corp., Boston, Mass. Offering—Expected in September.

(9/4-7)

Lingerie, Inc.

Price—By amendment. Business—Design and manu*
of digital equipment. Proceeds—For debt re-*
payment. Office—983 Concord St.v Framingham, - Mass.
4
Underwriter—Kidder, Peabody & Co., N. Y.
'

ers.

facture

a

Inc.

ers.
Price—$3. Business — Manufacture of miniature
coils for relays used in computers, aircraft, missiles and

Chemical

Proceeds—Inven¬

tubes.

and•: other

Co.

Office—2651 E. 21st St., Tulsa, Okla. Underwriter—DeWitt, Herndon & Co., 720 Enterprise Bldg., Tulsa.

Inc.

electronic

of

capital

Mortgage

Investment Trust

Estate

4, 1962 filed 200,000 shares of beneficial interest.
Price—$10. Business — A real estate investment trust*

filed

1962

&

Computer Components,

31

Dec. 6, 1961 filed 120,000 common, of which 90,000 are
to be offered by the company and 30,000 by stockhold¬

June

80,000: common, of which 40,000
to be offered by company and 40,000 by stockhoid- *;
Price—By amendment (max. $5). Business—Sale
30,

Real

Century

ness—Company plans to publish classics. Proceeds—For
general corporate purposes. Office—339 W. 51st St., N. Y.
Underwriter—S. B. Cantor Co., N. Y.

Investment

Continental

named

Publishing Corp.

Julne 13, 1962 filed 100,000

(403)

St., N. W., Atlanta, Ga. Underwriters—Joseph Walker &
Sons, N. Y. and Clark, Landstreet & Kirkpatrick, Inc.,
Nashville, Tenn. Note — This company formerly was

systems, etc. Proceeds—For working capital.
Kirk Blvd., Greenville, S. C. Underwriter—

—

Ncfne.

196

Builders, Inc.

Consolidated Vending Corp.
April 2, 1962 filed 70,000 common. Price—$5.75. Business
—Operation of vending machines* Proceeds—For debt
repayment working capital and other corporate purposes.

Feb.

6, 1961 filed 50,000 shares of common stock, series 2.
Price—$5*50 per share. 'Business—A closed-end diver
sified management investment company.: Proceeds—For
investment. Office—501 Bailey Ave., Fort Worth, Texas.
Distributor—Associates Management, Inc., Fort Worth.

Office—129 S. State

St., Dover, Del. Underwriter—Dana

Securities Co., Inc., N. Y,

Cinerama, Inc.

Consumers Mart of America,

Inc.

Capital Investments, Inc.
lyiay.21,4962 filed 86,370 common to be offered for sub¬
scription by stockholders on the basis of one new share

June

ment

Jan. 8, 1962 filed 72,000 common* Price—By amendment.

for each two

—For

Business—Operation of discount department stores. Pro¬
ceeds—For expansion and working capital. Office—4701
N. Harlem
Ave., Chicago.
Underwriters—Rittmaster,

1, 1962 4iled ,50,000,..common. Price—By amend¬
(max. $20).
Business—Production, distribution
and exhibition of wide angle( motion, pictures. Proceeds

.

shares held.

Price—By amendment

(max.

Proceeds—For debt repayment and investment. Office—
743 N. Fourth St., Milwaukee. Underwriters—Marshall

College Publishing Corp. (8/20-24)
16, 1962 ("Reg. A") 155,000 common. Price—$L
Business—Composition, publication and distribution of
study manuals for examination preparation. Proceeds—
For equipment, expansion and other corporate purposes.
Office—142 Livingston St,. Brooklyn, N. Y. Underwriter

27, 1961 ("Reg. A") 60,000 common. Price—$5. Busi¬
An investment company which will hold rrfbrt-

—James & Co., New York.

ness—

land contracts, etc. Proceeds — For investment.
Office—44 E. Indian School Rd., Scottsdale, Ariz. Under¬

Colonial

gages,

writer

—•

Pacific.

Note—The

SEC

Underwriters,

has

issued

pending this issue.; .'7 :
1 Career Academy, Inc.

an

Inc.,
order

Scottsdale,

sus-.

v
-

-

*

f

29; 1962 filed 100,000 commoni Price—By amend¬
(max.„$3.25).eBusiness r— Operation of technical
sphools. Proceeds—For, debt repayment, expansion~and
ment

corporate

Milwaukee.
-

i

purposes..

Office—135 W.

Underwriter—Divine

&

March 20, 1962 filed 9,964 common.
—

Company plans to

furnish

water

and

sewage

as

a

Ind. Proceeds — To construe!; a
sewage disposal system. Address — R.R. N. 3, Box 28,
Cedar Lake, Ind. Underwriter—None.
around

Cedar

Lake,

(8/L-3) *
j ^
of 7% conv* subord. dehen-*
by the company and 65&00
common shares by stockholders.
The securities wilLhe
offered in units consisting of $100 of debentures and.43
shares.
Price—$178 per unit, "Business—Operatioia&aof
•

Cemeteries of America, Inc.

March 27, 1962 filed $500,000
tures due 1974 to be offered

cemeteries

five
of

mausoleums

in

Proceeds—For

Kansas.

and

working

construction

Office—r3Q96

capital.

Hutchings St., Kansas City, Kan. Underwriter—Bernard
M. Kahn & Co., Inc., N. Y.
•

Centco

-±x,

.

Industries Corp.

(8/27-31)'
•
April 30, 1962 filed 120,000 common; Price—$5; Busi¬
ness—Manufacture of plastic and rubber film laminates,
a line of casting,
laminating and embossing machinery.
Proceeds—For. new- products,
debt repayment, inven¬
tories and working capital,, Office—11-17 ClintonMLle

St., Whitestone, N. Y.

Underwriter—Arnold MalkanL &

Co., Inc., New York.
Center

Star

Gold

to

stock

acquire

Mines, Inc.

•

,

—

Control Dyne,

;

Commercial Trust Co.

■

of mineral

deposits. Proceeds — For mining expenses.
469, Wallace; Idaho; Underwriters—^en^
& ;Co. and Standard Securities, Inc., Spokane,

tion

paluna

'•

Wash.

Central
Jan.
are

Investment &

Mortgage Co.

,

-'X

filed 60,000 common, of which 50J)00
to be offered by the company and 10,000 by stock¬
26," 1962

holders; also $1,200,000 of 6%% convertible subordinated
debentures due 1974, Price;—For stock! $5; for deben¬
tures: at par. Business—Company was formed to hold
the stocks of a mortgage company, an insurance agency
and a real estate development company. Proceed%*-For
debt repayment and working capital. Office—44 Forsyth
-■■MS

r*

x'"•••{?




V' vTV.-i;5

St., N. E., Atlanta.

;

\

Inc.

apolis. Underwriter—E. Bruce Co., Minneapolis. Note—
This firm formerly was named Control Dynamics, Inc.
Offering—Indefinitely postponed.
Cooke

(F. L.), Inc.

.

125,000 common. Price—$3.75. Busi¬
of high vacuum systems and elec¬
tronic equipment. Proceeds — For debt repayment and
general corporate purposes. Office—145 Water St*, South
Norwalk* Conn. Underwriter*—Tohn
Mal-wr AiwnM.

Dec. 29, 1961 filed
ness—Manufacture

ates and Bull &

Low, N. Y. Offering—Expected in early

Fall*

April 26, 1962 ("Reg. A") 75,000 class A common. Price
$4. Business — A financial investment and holding

Inc.,

company.
office—39

(same

&

i
^v

Proceeds—For expansion and working capital,
Bro»dwav* N Y
TTtirterwriter—R. F Dowd

Co., Inc., N. Y. Offering—Indefinitely postponed.
Cosnat

Corp.

May 26, 1962 filed 190,000 common, of which 178,000 are
to be offered for public sale by the company and 12,000
outstanding by the present holders thereof. Price—To be

v t

for institutional investors. Com¬

supplied by amendment. Business — The manufacture
and distribution of phonograph records. Proceeds—For-

also is engaged in the consumer loan business and
acts as an insurance agent or broker in connection there¬
with. Proceeds—For debt repayment, Office—66 Pryor
Boston and

>

training devices. Proceeds — For expansion and
working capital. Office—9340 James Ave., S., Minne¬

pany

of mortgage loans

>

and

ment

Address—Box

»

24, 1961 filed 150,000 common. Price—$1*15. Busi¬
ness—Development and production of electronic testing

May 16, 1962 filed 150,000 common. Price — By amend¬
(max. $13). Business—Acquisition or administra¬

Price—2^0.
producflbn

April 10, 1962 ("Reg. A") 1,200,000 common.
exploration, development and

Business—For

St* Paul*

Oct.

and investment.
D. C.. Under¬

Securities,

Bernstein

Norman

Co..

&

the repayment of

W.

Underwriters—F. S. Moseley & Co.,

47th

St.. N.

debt, and working capital. Office-—315
Underwriter—Van Alstyne, Noel &

Y.

Co., N. Y. Note—This firm was known
Cosnat Record Distributing Corp.

Courts & Co., Atlanta.

Applications Inc#
filed 87,000 common. Price—By amend¬
(max, $5), Business—Furnishing of .services re¬
lated to use of electronic data processing equipment.
Proceeds—For expansion and working capital. .Office—
30 E. 42nd St., N. Y. Underwriter—L M
Rosenthal &
Co., Inc., N. Y.
;
•.

March 23, 1962

Cost-Pius, Inc.
May 14, 1962 filed 157,000 common, of

ment

formerly as the

to

^

*

Computer

_

i.■*.

!y

■<

4 J A

*!| ->V', Jl-

-i

Telephone Co*

E. F. Hutton & Co.. N. Y.

recently

A shares of beneficial

company. Proceeds—For debt repayment
Office—1415 K St., N. W., Washington,
writer

Price—$5.65.,

oxygen

(9/10-14)
V
' - s
March 30, 1962 filed 475,008 eommori. - Price—By amend¬
ment (max. $15).
Business—A telephone holding * com* * '
pany.
Proceeds—For debt repayment.
Office—111 S.
Bemiston St., St. Louis/Underwriters—Allen & Co. and

Price—$10. Business—A real estate investment

address).

:

*

Corporate Funding Corp.

18, 1962 filed 420,000 class

interest.

of

general corporate purposes.

Continental

Columbia Realty Trust
June

sale

Underwriter—Harold E. Wood

First

of

and

* dispensers. Office—6500
Olson Memorial Highway, Golden Valley, Minneapolis.

Proceeds—For

Western Bank &
Trust Co., Los Angeles. Proceeds—For acquisition of
First Western stock, and working capital. Office—1000
Vermont Ave., N. W., Washington, D. C. Underwriters—
Bear, Stearns & Co., and Allen & Co., N. Y.
• Columbia Gas System, Inc.
(8/1)
m/*.
June 22, 1962 filed $20,000,000 of debentures due 1987,
Proceeds—To refund $17,560,000 of Outstanding 5%%
series H debentures, due June
1, 1982, and increase
working capital. Office—120 E. 41st St., N. Y.—Under¬
writers—(Competitive) Probable bidders: Merrill Lynch,
Pierce;. Fenner
& Smith Inc.-White, Weld &
Co.
(jointly); Morgan Stanley & Co.-First Boston Corn,
(jointly); Halsey, Stuart & Co. Inc. Bids—Aug. 1, 1962
(11 a.m. EDST) at company's office. Information Meet¬
ing—July 27 (during business hours) at same address.
formed

public utility;jjpd
disposal services in,

qualify

in units of

Ind*

April 19, 1962 ("Reg* A") 50,000 common.

-

r

Research,

Business—Production

filed $30-,000,000 of convertible subordinated
due 1987 and 1,500,000 common to be offered
one $20 debenture and one share. Price—By

amendment. Business—A bank holding company

Price—$100. Business

200,000 common.

.

Continental

28, 1962 filed 164,000 common,of which 115,000
are to be offered by the company and 49,000 by stock¬
holders. Price—By amendment (max* $15)* BusinessManufacture of shoeboard and boxboard. Proceeds—For

debentures

t

r

*

Investment Corp.

("Reg. A")

Price—$1.50.
Proceeds
—For working capital. Office—Scottsdale Savings Bldg.,
Scottsdale, Ariz.
Underwriter—Continental
Securities
Corp., Scottsdale, Ariz.
'
r

Feb. 23,1962

Fishman, , Inc.,'Chi,

Cedar Lake Public Service Corp*

Co., Inc.,

Business—Investment in real estate mortgages.

\

Columbia BancorporaUon

WellsvSt.,

Co., N. Y. and Midland Securities
City, Mo.

Continental

Co.

Board

&

May 9, 1962

expansion, equipment and debt repayment. Office—615
Parker St., Manchester, Conn; Underwriter—Putnam &
Co., Hartford, Conn.✓
; v ;
,V
\4/
J'"-

• ■*

June

general

Kansas

March

Ariz.

temporarily

Voisin

•

Capital Management Corp.

Dec.

Office—575 Lexington Ave.,

March

Co., and Loewi & Co., Inc., Milwaukee. Offering—Tem¬
porarily postponed.
.

selling stockholders.

N. Y. Underwriter-—To be named.

Business—A small business investment company.

$10).

.

which 127.000 are

be offered by company and 30,000 by stockholders.
Price—By amendment (max; $5). Business—Importing
and marketing furniture, household and art goods at dis¬

continued

on

page

33

.

.

v

; •**

i /•: t

i"<t

.

.1 jJ -i

•

•

a t

a

*

32

The Commercial and Financial Chronicle

(404)

Proceeds—For

start-up

for a laboratory and
Lexington Ave., New York.

expenses

count

prices. Proceeds—For working capital. Office—
460 Bay St., San Francisco. Underwriter—Stewart, Eubanks, Meyerson & Co., San Francisco.

plant. Office—360
Underwriter—None.

Country Set Inc.
Mar. 2, 1962 filed 150,000 common. Price—By amend¬
ment (max. $8). Business—Design and manufacture of
sports and casual wear for girls and women. Proceeds
—For selling stockholders. Office — 1136 Washington

Feb. 27, 1962 filed 102,000 common. Price—$3. Business
—Production of graded diamond powder and compound

Ave., St. Louis. Underwriter—Goodbody & Co., N. Y.
Offering—Temporarily postponed.
•

Courtesy Products Corp.

May 16, 1962 filed 150,000 common. Price—By amend¬
ment
(max. $5). Business—Manufacture, and sale or
lease to hotels and motels of electric wall units for the

preparation of coffee, and the sale of coffee, tea, cream,
Proceeds—For debt repayment, advances to a sub¬

etc.

small

•

Diamond

Dust Co.,

Proceeds—For

advertising

debt

Inc.

repayment,

additional personnel,
Office—77 Searing

Ave., Mineola, N. Y. Underwriter—Magnus & Co., N. Y.
Offering—Indefinitely postponed.

Jan. 23, 1962 filed 200,000 common, of which 120,000 are
to be offered by the company and 80,000 by stockhold¬

Price—By

amendment.

Business—Manufacture

of

women's nylon hosiery. Proceeds^-For debt repayment
and working capital.
Office—417 Fifth Ave., N. Y. Un¬
derwriter—Drexel & Co., Philadelphia. Offering—In¬

sidiary and general corporate purposes.
Office—1411
St., San Diego, Calif Underwriter—Pacific Coast

definitely postponed.

Securities Co., San

June 13,

Palm

Cousins

Francisco.

•

>

•

■

'

' 7

Properties Inc.

29,

other corporate purposes.

Office—905 Fifteen Peachtree

Bldg., Atlanta, Ga. Underwriters—McDonnell & Co., Inc.,
N. Y., and Wyatt, Neal & Waggoner, Atlanta.
Creative

Ventures

Corp.

May 28, 1962 filed 150,000 common and warrants to pur¬
chase 30,000 additional shares, to be offered in units of
one share and one warrant. Price—$2.25 per unit. Busi¬

guidance and interim financing con¬
Company may also act as a broker-dealer and un¬

ness—A corporate
cern.

derwriter. Proceeds—For investment. Office—733

N. Y.

Ave.,

Underwriter—Hampstead Investing

Third

Corp.,

New York.
•

Credit

Jan.

Department, Inc.
26, 1962 filed $1,200,320 of 7%

bentures

and

1974

d"*>

54,560

conv. subord.
common
shares to

de¬
be

offered In 2,728
tures

and

units, each consisting of $440 of deben¬
common
shares.
Price—$550 per unit.

20

Business—A consumer sales finance company. Proceeds
—For debt repayment.
Office—1775 Broadway, N. Y.

Underwriter

—

Bernard

M,

Kahn

&

Co., Inc., N. Y.

Offering—Expected in September.

Price—$4. Business
—Design,1 sale, fabrication and installation of acoustical
ceilings. Proceeds—For debt repayment and expansion.
Office—1925 Euclid Ave., San Diego. Underwriter —
Holton, Henderson & Co., Los Angeles.
C-Thru

Products, Inc.
("Reg. A") 90,000 common. Price—$1.50.
Business—Design and manufacture of flexible, re-usable
vinyl packages. Proceeds—For debt repayment, sales
promotion, equipment, research and development, and
working capital. Office — 2401 Pacific St., Brooklyn,
N.Y. Underwriter—Broadwall Securities, Brooklyn, N.Y.
22, 1962

D. C. Transit Systems, Inc.
April 30, 1962 filed $6,250,000 of 6Vz% conv. subord. de¬
bentures due 1977 and five-year warrants to purchase
an aggregate of 187,500 class A shares, to be offered for
subscription by holders of class A and class B stock in
units consisting of $100 of debentures and three war¬
rants.
Price—$100 per unit. Business—Operation of a
public transit system in Washington, D. C.j a new sub¬
sidiary to construct housing projects in Washington,
D. C. Proceeds—For construction and general corporate
purposes. Office—3600 M St., N. W., Washington, D. C.

Underwriter—None.
Data Systems Devices of Boston, Inc.
April 26,1962 filed 200,000 common. Price—$5. Business
—Company plans to design, develop and produce elec¬
tronic and electro-mechanical devices, including printers
for electronic computers. Proceeds—For product devel¬
opment, new plant and equipment and working capital

Office—342

Western

Ave.,
Boston.
Underwriter—
Schmidt, Sharp, McCabe & Co., Inc., Denver.
Davos, Inc.
May 28, 1962 ("Reg, A") 35,000 common. Price—$6.50;
Business—Development and operation of a ski resort.
Proceeds—For debt repayment and working capital.
Office—232 Madison Ave., N. Y. Underwriter—Oxford
Securities Corp., N. Y.

Decorel Corp.
Dec. 29, 1961 filed
are

to be offered

120,000 common, of which 90,000
by the public and 30,000 by a stock¬

holder. Price—By amendment. Business—Production and
sale of wood and metal framed pictures, wood utility

frames, etc. Proceeds—For debt repayment, inventory,
and working capital. Office—444 Courtland
St., Mundelein, 111. Underwriter—To be named.
DeLuxe

Homes, Inc.
Dec. 11, 1961 ("Reg. A*) 60,000
Business

common.

Price

—

$5

Construction and financing of shell homes
Proceeds—For working capital. Address—Allendale. S. C
—

Underwriter—Alessandrini & Co., Inc., N. Y. Offering—

Indefinitely postponed.
Deuterium Corp.
Sept. 28, 1961 Bled 140,000 common with attached war¬
rants to purchase an additional 140,000 shares to be
offered for subscription by stockholders in units (of one
share and

Diversified Collateral Corp.

1962 filed 77,050 common. Price—By amend¬
(max. $11.75). Business—A real estate investment
company. Proceeds—For investment. Office—8397 N. E.
Second Ave., Miami, Fla. Underwriter—Karen Securities
Corp., N. Y.
•

March

8, 1962 filed 1,000,000 shares of beneficial inter¬
est.
Price—$10.
Business—A real estate investment
trust. Proceeds—For investment. 'Office—500 Fifth Ave.,
N. Y.

Underwriter—Bacon, Johnson Realty Management
Co., Inc., (same address). Offering—Expected in Oct.

Eastern Camera & Photo

—$1

per

trust.

1,900,000 certificates of interest. Price
Business—A real estate investment

interest.

Proceeds—For

investment.

Office—19

E.

First

South, Salt Lake City. Underwriter—Realty Securities,
Inc., Salt Lake City.
Doman Helicopters,

Inc.
April 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 obtain
certification of models, train service personnel, repay
debt, etc. Address—Municipal Airport, Danbury, Conn.
Underwriter—None.

Donmoor-lsaacson, Inc.
Feb. 26, 1962 filed 150,000 common, of which 50,000 are
to be offered by the company and 100,000 by stock¬

on#>

warrants

on,

the basis of 3 units for each

8% preferred share held, 2 units for each 5% preferred
A stock held and one unit for each 10 class B shares
held. Price—$20 per unit. Business—Company plans to




Price—By amendment (max. $12). Business—
Design and manufacture of boys knit shirts, sweaters,
pajamas. Proceeds—For working capital. Office—
1115 Broadway, N. Y. Underwriter—Goodbody & Co.,
N. Y. Note—This offering has been temporarily post¬
poned.

and

Drever Co.

r..

March 9, 1962 filed 122,700 common, bf which 42,500 are
to be offered by company and 80,200 by stockholders.

Price—By

amendment

$12).
Business—Design
and manufacture of industrial metallurgical furnaces.
Proceeds—For debt repayment, equipment and general
corporate purposes. Address — Red Lion Rd., and Philmont Ave., Bethayres, Pa.
Underwriters—Janney, Bat¬
tles & E. W. Clark, Inc. and Stroud & Co., Philadelphia.

(max.

Drew Properties Corp.

March 6, 1962 filed 173,000 class A. Price—$10. Business
—General real estate.
Proceeds—For debt repayment.
Office—50 Broad

St., N. Y. Underwriter—Jackson Capi¬
Ave., New York.

tal Corp., 400 Madison
Duke Power Co.

(8/16)
11, 1962 filed $50,000,000 of first and refunding
mortgage bonds due 1992. Proceeds—To refund a like
amount of 5y8% first and refunding
mortgage bonds due
1990. Office—30 Rockefeller Plaza, N. Y. Underwriters
—(Competitive). Probable bidders: First Boston Corp.;
Stone & Webster Securities Corp.; Halsey, Stuart & Co.
Inc.; Morgan Stanley & Co. Bids—Aug. 16, 1962 (11
a. m. EDST) in Room 5400.
One Chase Manhattan Plaza,
N. Y. Information Meeting—Aug. 9 (3:30 p.m. EDST) at
Morgan Guaranty Trust Co., (Mezzanine B) 60 Liberty
St., N. Y.

July

Dunhill

Food

Equipment Corp.

Dec. 29, 1961 filed 100,000 common. Price—$2.50. Busi¬
ness—Manufacture of food service equipment/Proceeds
—For development and working capital. Office—79 Wal¬
worth St., Brooklyn, Underwriters — Carroll Co. and

Paul Eisenberg Co.,

Inc., N. Y, Note—This registration is

50,000 common shares (of which 25,will be sold by the company and 25,000 by stock¬
holders). The securities are to be offered in units of one
$100 debenture and 10 shares. Price—By amendment.
Business—Operation of retail camera stores and department store concessions.
Company also processes black
and white film and repairs photographic equipment.
Proceeds—For debt repayment and working capital. Of¬
fice—68 W. Columbia St., Hempstead, N. Y, Underwrit¬
ers—Edwards & Hanley, Hempstead, L. I., and Street &
Co., Inc., N. Y. Offering—Indefinitely postponed.
Eastern

Duro Pen Co., Inc.
Jan. 5, 1962 filed 125,000

.

Pennsylvania Investment Co.
Price—By amend¬

March 16, 1962 filed 450,000 common.

ment (max. $16). Business—A small business investment

Proceeds—For

company.

3

—

Penn

writers—Drexel

&

general

Center

Plaza,

corporate

purposes.

Philadelhia.

Under¬
Co., Philadelphia and Kidder, Pea-

body & Co., N. Y.
Eastern Properties Improvement Corp.

June

15,

1962

debentures due
Price

—

$150

Proceeds—For

filed $1,400,000 of 6Vz% subord. conv.
1977, and 70,000 common shares to be
one $100 debenture and five common.

Corp. of America, N. Y.
Echlin Manufacturing Co.
May 24, 1962 filed 210,000 common. Price—By amend¬
ment (max. $25). Business—Manufacture of replacement
parts for electrical and braking systems of automatic

equipment. Proceeds—For selling stockholders. Address
—Echlin Rd. & U. S. 1, Branford, Conn. Underwriter—
To be named.

Econ-O-Pay,
Oct.

Price—$4. Business
—Manufacture of inexpensive ball point pens. Proceeds
—For debt repayment, equpiment and working capital.
Office—573 Broadway, N. Y. Underwriter — Godfrey,
Hamilton, Taylor & Co., N. Y. Offering—Temporarily
postponed.
Dyna Mfg. Co.

(8/6)
2, 1962 ("Reg. A") 60,000 common of which 40,000
will be sold by company and 20,000 by stockholders.
Price—$5. Business—Manufacture, installation and sale
of kitchen ventilating hoods and exhaust fans. Proceeds
—Expansion, new products and working capital. Office—
4865 Exposition Blvd., Los Angeles. Underwriter—Ray¬
mond Moore & Co., Los Angeles.

April

Dyna-Mod Electronics Corp.
22, 1962 ("Reg. A") 143,000 common. Price—$2.
Business—Design, development and production of
"packaged" electronic circuits and subsystems. Pro¬
ceeds—For new products and working capital.
OfficeSi? Main St., East Rochester, N. Y. Underwriters—Gen¬
esee Valley Securities Co.,
Inc., Rochester, and H. B.
Vesey & Co., Inc., Glens Falls, N. Y.

Inc.

26, 1961 filed 1,000,000

common.
Price—$3. Busi¬
ness—A dealer recourse finance business.
Proceeds

General

corporate purposes. Office—164 E. Main St.,
Valley City, N. D. Underwriter—Reserve Funds, Inc.,
Valley City, N. D.
Ekco

Products Co.

(8/8)

July 19, 1962 filed $15,000,000 of s. f. debentures due
Aug. 1, 1987. Price—By amendment. Business—Manu¬
facture of housewares, bakers pans,
byihjers hardware
and rigid aluminum foil containers. Proceeds—For debt
repayment, working capital and other corporate pur¬
poses.
Office—1949 No. Cicero Ave., Chicago. Under¬
writer—Lehman

Brothers, N. Y.
V

...

•

Electromagnetic Industries, Inc. (8/1-3)
March 30, 1962 filed $250,000 of 6*£% conv. subord. de¬
bentures due 1987, also 70,000 common shares, of which
45,000 are to be offered by company and 25,000 by
stockholders. Price—By amendment (max. $1 per com¬
mon share). Business — Design, production, assembly,
distribution and sale of transformers, magnetic com¬
ponents and electronic instrumentation and control de¬
vices. Proceeds—For equipment, debt repayment, a new
plant and working capital. Office—Sayville Industrial
Park, Greeley Ave., Sayville, L. I., N. Y. Underwriter—
Pierce, Carrison, Wulbern, Inc., Jacksonville, Fla.
•

Electromagnetics Corp.
17, 1961 filed 75,000 common. Price—$5. Business
—Design and manufacture of precision nuclear magnetic
Instrumentation. Proceeds—For general corporate pur¬
poses. Office—Sawyer Lane, Hudson, Mass. Underwriter
—Gianis & Co., Inc., N. Y. Offering—Indefinitely post¬
poned.
;
Nov.

Electronic Transmission
March

22, 1962 filed 125,000

Corp.

(7/31)
Price—$3. Busi¬

common.

ness—Manufacture and distribution of components for
background music; design, construction and installation
of specialized closed circut TV system. Proceeds—For
debt repayment, expansion, sales promotion and work¬
ing capital. Office^— 103 E. Hawthorne Aye., Valley

Stream, N, Y. Underwriters—V. S. Wickett & Co., Inc.,
Thomas, Williams & Lee, Inc., and Crosse & Co., Inc.,
N. Y.

June
common.

unit. Business — General real estate.
general corporate purposes. Office—261

per

Madison Ave., N. Y. Underwriter—Fleetwood Securities

Electronic

being withdrawn.

Jan.

Corp.

tures due 1972 and

offered in units of

Diversified Realty Investors
June 28, 1962 filed

;

March 28 1962 filed $500,000 of 6% conv. subord. deben¬

Office

Estate Trust

Diversified Real

•

New York.

holders.

Crowneo
Mar. 26, 1962 filed 115,000 common.

June

1962 filed 75,000 common/ Price—$4. Business
—manufacturing, labeling and packaging of long playing
stereophonic and monaural phonograph records for label
record companies. Proceeds—For equipment and work¬
ing capital. Office — 900 Passaic Ave., East Newark,
N. J, Underwriter—Mortimer B. Burnside & Co., Inc.,

ment

1962 filed $1,000,000 of 6%% subordinated
debentures due 1972, 60,000 common shares, and war¬
rants to purchase 20,000 common shares. The securities
will be offered in units of one $100 debenture, 6 shares
and a warrant to purchase 2 shares. Price—By amend¬
ment (max. $140). Business—Engaged in residential real
estate development. Proceeds—For debt repayment and
March

Thursday, July 26, 1962

000

Diamond Mills Corp.

ers.

.

June 21,

capital.

working

and

.

Dynamic L. P. Industries, Inc.

manufacture and utilize all kinds of chemical materials.

Continued from page 31

.

Wholesalers,

18, 1962 filed 75,000

Inc.

Price—By amend¬
(max. $15.50). Business—A distributor of electronic
supplies, TV replacement parts, and hi-fi and stereophonic
sound reproduction equipment. Proceeds—For debt re¬
payment, inventory, expansion and working capital.
Office—2345 Sherman Ave., N. W., Washington, D, C.
Underwriter—Auchincloss, Parker & Redpath, Washing¬
ton, D. C.
common.

ment

• El I tier &
Pike, Inc.
May 25, 1962 ("Reg. A") 50,000 common. Price — $6.
Business—Operation of supermarkets. Proceeds—For ex¬
pansion and working capital. Office—896 Old Country

Rd., Westbury, N. Y. Underwriter
Stonehill, Inc., Hempstead, N. Y.
Emcee

—

Reed, Whitney &

Electronics, Inc.

June 4, 1962 filed $200,000 of 6%% conv. debentures due

1974, and $50,000 common, to be offered in units of
$200 of debentures and 50 shares. Price—$400 per unit.
Business—Manufacture of precision instruments,
and
electronic

devices for

measurement

and

control.

Pro¬

ceeds—For plant expansion, inventory, and equipment.
Office—1202 Arnold Ave., New Castle, Del.
Under¬
writer—Weil & Co., Inc., Washington, D. C.

*

Volume

196

Number

6180

(405)

The Commercial and Financial Chronicle

.

.

.

Equity Funding Corp. of America
Price—By amend¬
ment
(max. $6.50). Business—A holding company for
firms selling life insurance and mutual funds. Proceeds
March 29, 1962 filed 240,000 common.

—For

Fairlane Finance Co.,

Price—$500

Inc.

June

13, 1962 ("Reg. A") $300,000 of 6V2% sinking fund
junior subordinated debentures due 1977. Price—At par.
automobile

Business—An

and

finance

consumer

com¬

Proceeds—For debt repayment, working capital
expansion. Office — Greenville, Rd., Easley, S. C.

new
sales offices, advances to subsidiaries and
working capital. Office—5150 Wilshire Blvd., Los An¬
geles.
Underwriter—Wisconsin-Continental, Inc., Mil¬

waukee.

S. C.

•

Esslinger's

industries of

Philadelphia,

Inc.

March 28, 1962 filed $850,000 of 6Y2% conv. subord. de¬
bentures due 1977 and 112,500 common shares.
Price—

Debentures, $1,000; stock, $8. Business—Brewing of malt
beverages, the processing, cleaning and testing of metals
and the sale of galvanized iron and steel products. Pro¬
ceeds—For

debt

repayment. Office—10th & Callowhill
Sts., Philadelphia.
Underwriter—Woodcock, Moyer,
Fricke & French, Inc., Philadelphia.

Evans, Inc.

G.

Underwriter—Alester

Furman

Inc.,

Co.,

Greenville,

Fairway Mart, Inc.
19, 1962 ("Reg. A") 100,000 common. Price—$3.
Business—Operation of five discount merchandise cen¬
ters. Proceeds—For expansion, advertising, inventories,
working capital and other corporate purposes. Office—

March

801

Market

Carno

St., Youngstown, Ohio. Underwriter—A. J.
Co., Inc., N. Y. Offering—Postponed.
Life Insurance Co.

Falcon National

June 25, 1962 filed 300,000 common to be offered for
subscription by stockholders on the basis of one new
share for each three shares held. Price—$1.20. Business

Jan. 23, 1962 filed 130,000 common, of which 20,000 are

—Life insurance. Proceeds

to be offered by the company and

1330 Leyden

St.* Denver. Underwriter—None.

•

Inc.

110,000 by stockhold¬
Price—By amendment. Business — Retail sale of
wearing apparel. Proceeds—For working capital. Office
—36 S. State St., Chicago. Underwriter—Allen & Co..
N. Y. Offering—Postponed.
ers.

Everbest Engineering Corp.

April 2, 1962 filed 100,000 class A shares. Price—$2.40.
Business—Manufacture

and

of

sale

working

capital.

Office—41

Twelfth

E.

(8/28-31)

Nov.

30, 1961 filed 125,000 common. Price—$5. Business
distribution of nuts, bolts and other fastening
devices
manufactured
by others. Proceeds—For debt
repayment and general corporate purposes. Office—8
Benson Place, Freeport, N. Y. Underwriter — Arnold
Malkan & Co., Inc., N. Y.

N. Y.

St.,

Underwriter—Planned Investing Corp., N. Y.

Federal Realty
June 5, 1962 filed

Investment Trust
500,000 shares of beneficial interest
with attached three-year stock purchase warrants to be
offered in units consisting of 100 shares and 50 warrants.

July 30

(Monday)

(Fabricant

Houston Lighting & Power Co
(Bids

International

Noon

12

&

Co..

&

Co.,

Puerto

Rico

(Merrill

Wickett

S.

V.

&

Pierce,

Fenner

Inc.)

Securities

Co.,

Inc.)

Electronic

United

$4,500,000

&

Co.,

Markets,

•

First Connecticut Small Business

'.

'Crosse

(Bids

&

11:30

Co.,

ment

Gaslight Club, Inc.

$375,000

Inc.)

Proceeds—For investment. Office—955
Bridgeport, Conn. Underwriter—P. W. Brooks
Co., N. Y.

(Myron

A.

:

Main St.,
&

Continued

Centco

Co.)

&

Lewis

(D.

-

•

(Bids

(Doft

Ekco

Debentures

New

Brothers

(Baruch

&

Inc.—

Air

—.Debentures

Securities

$15,000,000

Brothers)

York, Chicago & St. Louis RR.
Equip. Trust Ctfs.
(Bids

Beaton

$500,000

Co.)

12

CDST)

noon

$2,600,000

-—Common

(John J.) Co., Inc
(Baruch

Cemeteries of

Kahn

M.

Columbia Gas System,
(Bids

11:00

&

EDST)

a.m.

Carrison,

Lesco

$20,000,000

(Boettcher

Wulbern,

Carrison.

(Pierce,

(Finkle

General Realty Income
(King

Hart's
(Merrill

Merritt

Food
Lynch,

Fenner

Pierce,

Smith,

&

Kapner, Inc.

Wilkens

(Arnold,

n,

&

Co.,

Grumet

(Brand,

Norfolk

Western

&

(Bids

Oceana
Orion

Gilhart

(Bids

Common

—*—

Automatic

Stephens

Capital

Bruce

Schein & Co.)

Thermogas Co
(A.

(Packer-Wilbur Co.,

Gas

Halsey

Drug

•

Corp.)

30,000

"

'

(

'

"

'

Co.,

&

Inc.)

.Bonds

Co. of Chicago.

(Bids

Instromech
*

12

noon

CDST)

(Street

(Stone,

Co.)

Gas Co
(Offering to stockholders—underwritten
Podesta

Dyna

Mfg.

&

Miller)

Common

Co., Inc.

and Alessandrini &

548.532

Industries,

Common

Inc

by

Cruttenden,

&

Co.)

(Magnus & Co., Inc.) $309,000




&

Co.,

and

Morris

Common
Cohon & Co.)

Common

Common

shares

Common

F. Dowd & Co., Inc.)

$300,000

(Tuesday)

Pacific Northwest Bell Telephone Co
(Bids to be received) $50,000,000
12

-..Bonds

Equip. Trust Ctfs.
$9,450,000

EDST)

noon

(Monday)

September 17
(Divine

&

Fishman,

Inc.——...Common

Inc.)

270,000 shares

(Tuesday)
Debentures

Shin Mitsubishi Jukogyo,

K. K._

Securities Co., Ltd.) $10,000,000

Steel Plant

Common

Ackerman-&-Co., Ujic. and Heritage Equity Corp.)

August 21

11

a.m.

(P.

W.

Brooks

&

Co.,

Inc.)

1,200 units

November 7

(Wednesday)

Bonds

Georgia Power Co

(Bids

EDST)

Securities,

Units

Corp

received) $23,000,000

Preferred

Georgia Power Co

& Gas Co

Bonds

$40,000,000

Common

Cycle Corp
(Lloyd

(Monday)

September 24
Lyntex

(Bids to be

(Tuesday)

(Bids

Stelber

Common

Equipment Corp
(Joseph W. Hurley & Co.) $208,980

160,000 shares

Inc.

Public Service Electric

$300,000

Inc

250,000

Co.)

475,000 shares

Co., Ltd

$300,000

shares

Common

Moore

Co., Inc.)

Common

Co.—.
'Raymond

Four Star Sportswear,

Common

$155,000

$480,000

American

&

September 18

$37,250,000

(Monday)

Common

Hutton & Co.)

Playboy Clubs International,

$500,000

Montebello Liquors, Inc

Optech,

August 6

(R.

Common

Corp......

(Price Investing Co.)

Belt Railway

and E. F.

'Allen

$318,000

shares
\

-

Common

Co

(Packer-Wilbur &

(Thursday)

(Monday)

(First Boston Corp. and Nomura

..Common

Inc.) $360,000

'

■

-

Publishing

Common

Securities

Nebraska

(First

August 2

—.Bonds

....

$12,000,000

received)

Southern Railway Co

$200,000

(Michael) Distributors, Inc

College

Co.

be

Jaap Penratt Associates, Inc

$50,000,000

Inc....

(James

Service Co

to

(Monday)

800,000 shares

Thompson Manufacturing Co., Inc
Utah

$3,540,000

—-Bonds

(Gianis

—Common

—

& Co.)

C. Allyn

(Wednesday)

September 10

—Bonds

EDST)

a.m.

Controls,

$300,000

—Capital

Continental Telephone Co
(Allen & Co.

(S. Schramm & Co., Inc.)

(M.) Mfg., Inc

(Thomas Jay, Winston & Co., Inc. and I. J.

$6,500,000

104,000 shares

Winston & Co., Inc.)

5

(Bids

August 20

Co.)

&

:

Jay,

Common
Inc.) $250,000

& Co.,

Ben. Int.

Stout

Libaire,

King,

11:30 a.m.) $5,000,000

11

(Bids

—Common
$2,450,000

Co.)

&

Grand Bahama Development

Duke Power Co..

(Morgan Stanley & Co.) 700,000 shares

■

&

Equip. Trust Ctfs.

EDST)

noon

$485,000

Co.)

Corp

Hammill

September 11

$825,000

Inc.)

(Eisele

(Thomas

(Thursday)

August 16

Common
Co.,

Financial
(Shearson,

(Bids

Worcester Gas Light Co

$7,950,000

Inc
&

12

&

Moore

Pennsylvania Power

shares

Eouin. Trust Ctfs,
EDST)

Ltd.-

Schlumberger

(Bids

Common

'Raymond

September

$562,500

Coast Line RR.—

$1,500,000

Inc.)

Corp

Electronics
(A. D.

-

noon

Brothers

(Baruch

Atlantic

.—Debentures

International,

•>*

-

34,200

Inc.)

Siegel,

'&

Ry

12

>

-——Common

.

Grumet

(Brand,

Siegel,

&

Met Food Corp
.

$250,000

Inc.)

—

$1,000,000

$150,000

(Wednesday)

August 15

Common

-Common
Co.)

Moskatel's, Inc.

72,000 shares

—

Met Food Corp

Common

$375,000

New York State Electric & Gas Corp...Debentures
(Bids 11 a.m. EDST) $15,000,000

235,550 shares

—Common

(Pacific Coast Securities Co.)

-

Inc.)

Films Corp

•

Class A
Riecke & Co., Inc.)

and H. A.

Lingeries, Inc.—*

Common

Inc.)

320,468 shares

EDST)

a.m.

Hydro-Swarf, Inc.

Common

Co.,

Common
11

$300,000

Livestock

Corp

&

$44,546,300

(Tuesday)

Alsco Electronics, Inc
(Albert Teller & Co., Inc.

(Tuesday)

August 14

—Common

& Co.)

by Kidder, Peabody &

Metropolitan Realty Trust

Inc

(White

Ben. Int.
1,000,000 shares

Stores, Inc

Lomasney

Aviation,

Debentures

Co., Inc

Iowa Public Service Co
(Offering to stockholders—Bids

Ben. Ints.

$5,000,000

Stock & Bond, Inc.)

(Gateway

Walston

Trust

Co., Inc.)

&

$300,000

—

A.

Electronics

Debentures

$750,000

Co.)

&

Unison

75,009 shares

Co.)

Inc.

(Myron

Capital

Federation, Inc

(Kidder, Peabody & Co. and McDonald & Co.)

Florida Water & Utilities Co.:

Jayark

Regulators,

$250,000

Inc.)

Reduction

(Offering to stockholders—underwritten
Co.
and Dean Witter & Co.)

Cameo

Common

&

$1,000,000

Cc.)

(Schweickarrt &

Midwestern Mortgage Investors

Electromagnetic Industries, Inc.__Conv. Debentures
Financial

$500,000

Meyerson & Co., Inc.)

(M. H.

shares

70,000

Inc.)

Inc.)

Corp

Automotive

Common

Inc

Wulburn,

Co.,

(Monday)

August 13

Debentures

Inc.-

Industries,

Electromagnetic

$890,000

Inc.)

Common

Inc

Lewis

(Edward

Units

—

Co.,

Industries,

Universal

$750,000

America, Inc

(Bernard

(Pierce,

Inc.)

Brothers & Co.,

—Units

(Wednesday)

September 4

(Thursday)

August 9

-

.

Inc

.

American Modular Manufacturing Corp.—Common
(Equity

Brooks &

$625,000'

Inc.)

& Co.,

Raceways,

W.

August 29

Common

—

Common

$400,000

Inc.)

Co.,

Common
Malkan

Lewiston-Gorham

$500,000

——-

(Lehman

(Wednesday)

August 1

Admiral Automotive Products,

$300,000

Co.)

Inc. /
(Arnold

"

>

Common
&

'

Co.)

&

Co

Products

$7,500,000

EDST)

noon

Russotto

(Tuesday)

August 28
Fastpak,

.

$100,000,000

Computer Concepts Inc....

..Common

—Bonds
Preferred

Co

;

Common

Co

$4,000,000

Co.)

EDST) $60,000,000

noon

12

&

Co

Industries, Inc

(P.

$305,000

Co.)

&

„

shares

200,000

(Tuesday)

August 8

shares

150,000
—_—

Bruce

A.

Co.)

a.m.)

11

12

Debentures

l

Noel

Electric

(Costello.
;

Common
$600,000

Inc.)

Co.,

&

Electric

(Bids

shares

:—Preferred

:

Worth Financial Corp

(Bids

Malkan

Alstyne,

Massachusetts

$1,497,300

Corp

Foods, Inc

(Tillie)

Massachusetts

$500,000

underwriting)

stockholders—no

to

Industries

Common

Brooks &

W.

Common

100,000

Curtis)

Jackson &

Debentures

Inc

(Van

—

(P.

34

Wulbern, Inc. and A. M. Kidder & Co., Inc.)

(Arnold

Inc
Co.)

page

Common

Manufacturing, Inc

Carrison,

(Pierce,

on

(Monday)

August 27
Aubrey

Capital

Southwestern Bell Telephone

.

Lomasney

Webber,

company.

Common

Co.

Bonds
$25,000,000

Western Power & Gas Co.—
(Paine,

(max.

ment

Avis,

First Connecticut Small Business Investment

Williams & Lee, Inc. and

EDST)

a.m.

filed 200,000 common. Price—By amend¬
$15).
Business—A small business invest¬

March 9, 1962

140,004 shares

_.

&

Investment Co.

(8/7-10)

(Tuesday)

August 7

Common

Corp

Thomas,

Inc.;

^Florida Power & Light Co

„

writer—Bosworth, Sullivan & Co., Inc., Denver.

Tabach

Transmission

Wickett

,

29, 1962 filed 37,000 common. Price—By amend¬
ment (max. $15). Business—A bank holding company.
Proceeds—For capital funds, reserves and working cap¬
ital. Office—3311 S. Broadway, Englewood, Colo. Under¬

$375,000

Inc

Inc.

Bankshares

Colorado

First

$500,000

(Moran

S.

•

June

(Offering

Co.,

By

selling stockholders. Office — 615 S. Flower St., Los
Angeles. Underwriters—Kidder, Peabody & Co. and Mc¬
N. Y.

Common

:

—

Donnell & Co.,

(Tuesday)

July 31
(V.

Inc

Price

(max. $105). Business — Ownership of 11
California savings and loan associations. Proceeds—For

amendment

$200,000

Co.),

&

(8/1)

Inc.

Federation,

1962 filed 78,500 capital shares.

(Blair & Co.) 230,000 shares

Units
Smith Inc.)

&

Financial

$280,000

)

&

Malkan

Sperti Products,

Brewing Co., Inc

Lynch,

Malkan

Industries,

(General

Thomas,

and

Corp

Servotronics, Inc.

Common

Co., Inc.
$256,500

&

Inc.)

Lee,

River
(Arnold

,

Inc.,;

Williams

Mill

$450,000

Inc.)

Prosper-Way, Inc
(Crosse

Saw

Common

•

March 30,

Common

(Arnold

Corp

Malkan

'Arnold

Securities

RF Interonics, Inc

Bonds
$25,000,000

EDST)

Protein

& Associates, Ltd.,

Common

—

St., Toronto. Underwriter—G. V. Kirby
Toronto.

Richmond

—62

Stonehill & Co.) 125,000 shares

(Federman,

Laminetics Inc.

30, 1961 filed 800,000 common. Price—By amend¬

ment. Business—Exploration and testing of mining prop¬
erties. Proceeds—For general corporate purposes. Office

Common

Goldsmith Bros—

NEW ISSUE CALENDAR

Inc.,

Fidelity Mining Investments Ltd.
Nov.

—The

electrc

long-lived

lamps. Proceeds—New product development, inventories
and

Fastpak,

For investments. Office—

—

Securities

Service

Washington, D. C.

pany.

and

Office—729

Underwriter—Investor

C.

D.

Business—A real estate invest15th St., N. W., Washington,

unit.

per

trust.

ment

33

Inc.)

$600,000

November

to be

28

Southern Electric

received) $7,000,000

(Wednesday)

Generating Co

(Bids to be received)

$6,500 ono

Bonds

u

34

The Commercial and Financial Chronicle

(406)

Continued from page

33

/

Fund Investments, Inc.

.

Girard

-

June

First Income Realty Trust
Nov. 9, 1961 meet ouu,uOU snares

28, 1962 filed 80,000 class B common. Price—$5.
Business—Retailing of mutual fund shares. Proceeds-—
Far working capital and debt repayment
Offiee—1301

Price—(For

E. Morehead

of beneficial interest.
10,000 shares) $10.80 per share.
(For the balance) Net asset value plus 8% commission.
the

first

Business—A real estate investment trust.

investment.
D.

Office—1613

Washington, D. C. Note
known

Z.

27,

W.,

Mensh

Washington,

Securities

Co..

This company formerly was

—

Perpetual Investment Trust.

as

Business—A

business

small

investment.

Manhasset, N. Y.

investment

Office—1295

company.- Pro¬
Northern Blvd.,

Underwriter—None.

15, 1962 filed 600,000 shares of beneficial interest.
$5. Business — A real estate investment trust.

Price

—

Proceeds—For

Underwriter—To
Florida

Address—Little

investment.

M.

S.

Rock,

Ark.

be named.

Bancgrowth, Inc.

March 16, 1962 filed 200,000 common.

Stores Inc.

April 30, 1962 filed 14u,000 common. Price—$4. Busi¬
ness—Operation of discount centers., Proceeds—For ex¬

34th

Office—19 W.

pansion.

St..' N. Y.

Underwriter—

Preiss, Cinder & Hoffman, Inc., N. Y. Note—This state¬
Industries, Inc.

'

'

,

1962 filed 100,000 class A common shares.
amendment (max. $11). Business—Design,
manufacture and distribution of toys and sporting goods.
Proceeds—For debt repayment Office—184/Fifth Ave.,
N. Y. Underwriter—Hemphill, Noyes & Co./N. Y. •
30,
Price—By

Gamma

Corp.
29, 1962 filed 80,000

~

~T

,

a new plant, sales promotion
working capital. Office—288 Plymouth Ave., Fall
River, Mass. Underwriter—Hampstead Investing Corp.,

Office—3356 Atlantic Blvd.,

New York.

Florida

Jai

Alai, Inc.
June 28, 1962 filed 400,000 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—To be named.

Florida Power & Light Co. (7/31)
June 26, 1962 filed $25,000,000 first mortgage

bonds, due

lated items. Proceeds—For
and

27,

Underwriter—Godfrey, Hamilton, Taylor
Offering—Temporarily postponed.

the

interest,
Miami, Fla. Underwriters—(Competitive). Probable bid¬
ders: Merrill Lynch, Pierce, Fenner & Smith Inc.-Kidder, Peabody & Co. (jointly); Halsey, Stuart & Co. Inc.;
White, Weld & Co.; First Boston Corp.; Blyth & Co., Inc.

Bids—Expected July 31 (11.30 a.m. EDST). Information
Meeting—July 30 at 2 Rector St., N. Y.
•

Florida Water & Utilities Co.

May 29,
bentures

(8/1)
1962 filed $750,000 of 5x/2% conv. subord. de¬
due

Operation
systems.

of

Price—By

amendment.

distribution

water

and

Business—

collection

sewage

Proceeds—For

debt repayment, plant expan¬
working capital. Office—1491 N. W. 20th St.,

and

sion

1982.

Miami. Underwriter—Finkle &

pected in August.

C6,£N. Y. Offering-—Ex¬
^ j
:

Fioseal Corp.

May 10, 1962 filed 169,420 common to be offered for
subscription by
stockholders.
amendment
Price—By
(max. $2). Business—Company owns and licenses carton
pouring spout patents and die patents. Proceeds—For
debt repayment and
100 W. 10th St.,

other corporate purposes.

Wilmington, DeJ.

Office—

Underwriter—None.

Food &

May

Drug Research Laboratories, Inc.
1962 filed 107,500 common, of which

24,

to

are

be

by company and 7,500 by stockhold¬
Price—By amendment (max. $5). Business—Chem¬
ical and biological research and
testing for the food, drug,
cosmetics, chemical and related industries. Proceeds—
For expansion,
equipment and debt repayment.
Ad¬
dress—Maurice Ave. at 58th St.,
Maspeth, N. Y. Under¬
and Rittmaster, Voisin

writers—Maltz, Greenwald & Co.
Co., N. Y.
Forst

.

(Alex)

&

Sons,

Inc.

March 23, 1962 filed 100,000

common.
Price—By amend¬
$15). Business—Wholesale distribution of
toys and games. Proceeds—For selling stockholders. Of¬
fice—2885 Jerome Ave., Bronx, N. Y. Underwriter—Mc-;

ment

(max.

Donnell & Co., N. Y.
"A2"

Products

Offering—Temporarily postponed.
Ltd

lnr»

April 18, 1962 ("Reg. A")' 100,000 class A common. Price
Business—Manufacture and sale of cosmetics. Pro¬

—$3.

ceeds—For

advertising, and equipment. Office—163418th St., Santa
Monica, Calif. Underwriter
Rutner,
Jackson & Gray, Inc., Los Angeles.
—

Four Star

Sportswear, Inc.

March 27, 1962

filed

(8/6)

103,000 common.

ness—Design, manufacture
outerwear, sportswear and

and

Price—$3.

distribution

of

men's

,

Price—By amend¬

ment.

Business—Company plans to produce its Gyrojet
FW-4, a four-passenger amphibious
autogiro. Proceeds
—To produce
prototype
overhead and
N.

Y.

models, and finance general

operating expenses.
Underwriter—None,

Frederick's of

Office—10 E. 52nd St.,

Hollywood, Inc.-

March 26, 1962 filed 150,000
capital shares, of which 70,000 are to be offered
by company and 80,000 by a stock¬
holder. Price—$5.
business

Business—Operation

and

a

chain

of

women's

ceeds—For expansion and
Office—6608 Hollywood

other

of

apparel

mail

order

stores.

Pro¬

a

corporate

mjrpocPS

Blvd., Los Angeles. Underwriter
—Garat &
Polonitza, Inc., Los Angeles.
•

Frouge Corp.
26, 1962 filed 200,000

Jan.

ment.

N. Y.
/

•

gasoline and oil marketing industries. Proceeds—
a
selling stockholder.
Office—4045 Merrick Rd.,

Seaford,

L. I.,

N.

Underwriter—Theodore Arrin

Y.

&

Co., Inc., N. Y.
Gaslight Club, Inc. (7/31)
1962 filed 100,000 common. Price—By amend¬
ment (max. $7) Business—Company operates four "key
clubs." Proceeds—For expansion, debt reduction, and
working capital. Office—13 E. Huron St., Chicago. Un¬
derwriter—Myron A. Lomasney & Co., N. Y.
Feb. 28,

Gemco-Ware

Corp.
filed 146,000 common. Price—By amend¬
ment (max. $8).
Business—A holding company for a
restaurant equipment manufacturer, a wholesale distrib¬
utor of houseware products and a company operating
leased discount departments dealing in hard goods. Pro¬
ceeds—For
debt
repayment, expansion and working
capital.
Office—134-01 Atlantic Ave., Jamaica, N. Y.
March 9, 1962

Underwriter—J. R. Williston &

Beane, N. Y. Offering—

Temporarily postponed.
Classics

General

Inc.

March 23,

1962 filed 105,000 common. Price—$3. Busi¬
ness—Design, assembly and distribution of trophies,
plaques and awards.
Proceeds—For debt repayment,

products, expansion and working capital. Office—
W. Diversey Ave., Chicago. Underwriter—Michael
G. Kletz & Co., N. Y. "
' '
2555

and

Price—By

operation

Hempstead, N. Y,

amend¬
of various

type apartment, industrial and office
buildings. Proceeds
PrePayment of debt and reduction of bank
loans
Office—141 North Ave..
Bridgeport. Conn
Underwriter
—Van
Alstyne, Noel .& Co., N. Y. Note—This registra¬
tion is
being withdrawn.

t

1

■

shares to be offered in units of

clsas A and

one

share.

mon

■

•

Pacific, Inc.
July 12, 1962 filed 250,000 class A and 250,000

common
one

com¬

Price—$5.05 per unit. Business—Company
manufacture .flat glass mirrors and sliding
wardrobe mirror doors.,and. related products* Proceeds
—For equipment, inventory and
working capital. Office

plans

.

to

N. First St., San Jose, Calif. Underwriter—Wil¬
Johnson & Higgins, San;Francisco,
t
'*•

son,

Glensder Corp.

*

March

23, 1962 filed 150,000 common, of which 60,000
by the company and 90,000 by the com¬
pany's parent, Glen Modes, Inc. Price—By amendment
(max. $7).
Business—Design, production and sale of

are

to be offered

-

women's

fashion

accessories, and sportswear.

Proceeds

general corporate purposes.
Office—417
Fifth
Ave., N. Y. Underwriter—Sprayregen, Haft & Co., N. Y,
Offering—Indefinitely postponed.
" ;
1
Global Construction
June

Design Corp;
25, 1962 ("Reg. A") 65,000 common. Price—$3.
Business—Design and development of new products for
various

industries.

Proceeds—For

debt

repayment,

equipment and working capital. Office—-1252 W. Peach-tree St., N. W., Atlanta, Ga. Underwriter — Robert M.
Harris & Co., Inc., Philadelphia. Note—The SEC has is¬
sued an order temporarily suspending this issue.
General

Economics

Syndicate,

April 11, 1962 filed 400,000 class A
Business—An insurance holding
For

investment

in

subsidiaries,

Office—625 Madison Ave., N. Y.

Securities.
•

Inc.,

General

Mar.

Inc.

common.

company.

Price

$10.
Proceeds—
—

and working capital.
Underwriter—G. E. C.

(same address)*

Investment Co.

14, 1962 filed 200,000

of

beams used

common.

Price-—$7.50. Busi¬

ness—A small business investment

company. Proceeds—
For debt repayment and investment. Office—348
Orange

St.,. New Haven, Conn/ Underwriters—Ingram; Lambert
& Stephen, Inc., and Reuben Rose & Co.*
Inc., N. Y.
•

General

Realty Income Trust (8/1-3)
April 27, 1962 filed 1,000,000 shares. Price—A maximum
$10. Business—A real estate investment trust. Pro--

of

ceeds—For

investment.

Offiee—111

Broadway,
Underwriter—King Merritt & Co., Inc., N. Y.

*

N.

Y.

mail

order.

Proceeds

—

For

debt

repayment,

new

products, sales promotion and working capital. Office—
88 Cutter Mill
Rd., Great Neck, L. I., N. Y. Underwriter
—J. J. Krieger & Co., Inc., N. Y.
•
Geriatric
Feb.

Research, Inc.
12, 1962 filed 162,500 common, of which 12,500

are

to be offered by the
company and 150,000

by stockhold¬
Price—By amendment (max. $8.50). Business—Di¬
rect mail selling of vitamin mineral
products to eld¬
erly customers. Proceeds—For working capital. Office
—179 N. Michigan Ave., Chicago.
Underwriters—Bacon,
Whipple & Co. and Freehling, Meyerhoff & Co., Chicago.
ers.

Gilfillan Corp.

April 4, 1962 filed 254,000 common. Price—By amend¬
(max. $18). Business—Development and produc¬
tion of radar and other
specialized electronic systems.
Proceeds—For selling stockholders. Office—1815 Venice
Blvd., Los Angeles. Underwriter—Blyth & Co., Inc., Los
ment

Angeles.

construction.

Proceeds—For

debt

repay¬

and inventory.- Office—545
J.
Underwriters—Winslow,
Cohu & Stetson and Laird, Bissell &
Meeds, N. Y.
Gold

Leaf Pharmacal

Co., Inc.
80,000 common. Price—$4. Busi¬
ness—Manufacture, development and sale of pharmaceu¬
March

1962

13,

filed

tical and veterinarian products, rroceeds—For advertis¬

ing,

research,/ debt repayment and working capital.
Office—36 Lawton St., New Rochelle, N. Y. Underwriter
—Droulia & Co.,, N., Y.
•
/
.■<-/
I >
—Van Alstyne, Noel & Co., N.- Y. •"
•
'
.

•

Goldsmith

Bros.

(8/6)

.

Jupe 29, 1962 filed 125,000 common, of which 62,500 are
to be offered by company and 62,500
by stockholders.
Price—By amendment (max. $8). Business—Retail sale
of stationery office supplies and department store mer¬
,

chandise.

Proceeds—For expansion and working

Office—77

Stonehill

&

Nassau.St.,
Co., N. Y.

N.

capital.
Underwriter—Federman,

Y.

7

*

.:

.

.

.•

1

/ Vv
.'

-

-

*\

Vt "

-

•

/

••

.o

*:

■>

1

Good-Era

Realty & Construction Corp. <
April 2, 1962 filed 550,000 class A shares. Price—$10.
Business—Company plans to develop, operate, construct
and manage real estate. Proceeds—For general
corporate
purposes. Office—151 N. Dean St., Englewood, N. J. Un¬
derwriters—Leiberbaum & Co. and Morris Cohon & Co..
New York.
Gotham Investment

Nov. 21, 1961 filed
—Real
tal

Corp.

100,000

other

corporate

Price—$6.

common.

investment.

estate

and

Business

Proceeds—For

working capi¬
Office—1707 H St.,

purposes.

N.W., Washington, D. C.

Underwriter—Rouse. Brewer.

Becker &

Bryant, Inc., Washington, D. C. Offering—Ex¬
in September. /

pected

Gould Paper Co.
1
Sept. 28, 1961 filed 140,000

Price—$11. Busi¬
Proceeds—Expansion and
working capital. Office—Lyons Falls, N. Y. Underwriter
ness—Manufacture

of

common.

paper*

-Gourmet Food Products, Inc. :\ /
May 25, 1962 filed 100,000 comjnony Price—$4.50. Busi¬
ness
Growing, purchasing,'distributing and selling
—

whole

potatoes- and processing and selling of prepared
potato products. Proceeds—For a new plant and equip¬
Office—915

Southeast'10th

Ave.y Portland, Ore.

Gourmet Restaurants,- Inc.-

*

'

'

-

•/.

y

v

,

>

April 30, 1962 ("Reg; A") 28,213 capital shares.
Price
—$3.50. < Business—Operation of restaurants in Disney¬
land Hotel;
1445

S.

Proceeds—For selling stockholders.

Office—
St.,: Anaheim, Calif.V Underwriter—CrutCo., Inc., 618 S. Spring St., Los Angeles.

West

tenden &

Granco, Inc.-'-- < •../**;'y
"
23, 1962 filed $600,000 of 6% conv* subord. de¬

March

bentures due

1977-to be Offered

in 1,200 units. Price—
Business—Operation of jewelry stores,
jewelry concessions and a liquor concession in discount
department stores. Proceeds—For debt repayment and
wprking capital. Office—182 Second Ave., San Fran¬

$500

General Vitamin & Drug Corp.
April 3, 1962 ("Reg. A") 78,000 common. Price—$2.75.
Business—Sale of vitamins through department stores
and

in

expansion, researcn,
Cedar Lane,
Teaneck, N.

Underwriter—Darius Inc., N. Y.

.

Busi¬

ment,

ment;

Connecticut, Inc.

Devices, Inc.
common.
Price—$10.

29,-1962 filed. 100,000

ness—Manufacture, sale and lease of steel supports and

General

April

Offering—Indefinitely postponed.
common.

Business—Construction




Co.,

.

Busi¬

rainwear..
Proceeds—For
plant expansion, equipment and working
capital. Office
—665
Broadway, N. Y. Underwriter—Magnus & Co.,
Inc., New York.
Frazier-Waiker Aircraft
Corp.
Jan. 26, 1962 filed
140,000 common.

dealers in Puerto Rico.
Proceeds—For equipment and
general corporate purposes. Address—San Juan, Puerto
Rico. Underwriter—Edwards & Hanley,

new

100,000

offered

ers.

&

&

it Garsite Products, Inc.
July 13, 1962 ("Reg. A") 15,000 common. Price—$3.33.
Business—Manufacture of machinery and equipment for
For

outstanding 5^4% first
premium and accrued
Office — Ingraham Bldg.,

Investment Co.

1961 filed 330,000 common. Price—$3. Business
—A small business investment company. Proceeds—For
investment. Office—1180 Raymond Blvd., Newark, N. J.

1992. Proceeds—For retirement of

plus

units consisting of a $T00 debenture and 36 ghares. Price
—By amendment. Business—Manufacture of restaurant
other type furniture which it sells
principally to

and

—For

Garden State Small Business
Oct.

mortgage

bonds, due 1989,
and construction.

Industries Corp.

March 28, 1962 fled $250,000 of 6% conv. subord. deben¬
tures due 1972 and 90,000 common shares to be sold
by
certain stockholders. The securities are to be offered in

—1299

and 80,000 five-year
warrants to be offered in units consisting of one share
and one warrant.
Price—$4.50 per unit. Business—De¬
sign, manufacture and sale of ladies' handbags and re¬
common

Price—By amend¬
ment
(max. $15).
Business—An investment company
specializing in bank stocks. Proceeds—For investment.
Pompano Beach, Fla. Un¬
derwriter—Dempsey-Tegeler & Co., Inc., St. Louis.

Thursday, July 26, 1902

.

Glasco

March

June

*

Offering—Indefinitely postponed.

become effective.

Gabriel

Price—$1.

First Southern Realty Trust

June

G.

ment has

Inc.
capital shares.

2,770,000

filed

1961

ceeds—For

•

York Capital Fund,

First New

Oct.

N.

St.,

Eye

Underwriter—Sidnev

C.

Proceeds--For

.

St., Charlotte* N. C/ Underwriter—None.

*

cisco.

per

unit.

Underwriter—Midland Securities Co., Inc., Kansas

City, Mo.

"

Grand Bahama

,

Development Co., Ltd.

•

(9/10-14)
Jan. 23, 1,962 filed 250,000
ment. Business—Sale and

common. Price — By amend¬
development of land on Grand

Bahama Island for residential and resort purposes. Pro¬
ceeds—For general corporate purposes* Office—250 Park

Ave., N. Y. Underwriter—Allen & Cp., N. Y.
Great

Continental

Real

Estate

Investment

Trust

Aug. 3,

1961 filed 300,000 shares of beneficial interest.
Price—$10. Business—Real estate. Proceeds—For invest¬

ment. Office—530 St. Paul

Place, Baltimore. Underwriter

—To be named. Note—This firm formerly, was known as
Continental Real Estate Investment Trust.
.

Great

Eastern

.

Insurance Co.

April 13, 1962 filed 381,600 common. Price—By amend¬
ment (max. $5). Business—Company plans to write cer¬
tain types of fire and casualty insurance. Proceeds—For
general corporate

purposes.

Office—116 John St., N. Y.

Volume

196

Number 6180

.

.

Underwriters—Emanuel, Deetjen & Co., and Zuckerman,

$10

consisting of one share and one warrant

units

Smith & Co., N. Y.

28, 1962 filed 23,300 shares of 5% convertible
preference stock to be offered for subscription by stock¬
holders on basis of one preferred share for each 10 com¬
mon
held. Price—$12. Business—Real estate. Proceeds
March

insurance agency.

an

Denver.

Corp.

Heartland Development

'

Proceeds—For working
capital, debt repayment and expansion. Office—368 Main
St„ Longmont, Colo. Underwriter—Birkenmayer & Co.,
and

.

—For general corporate purposes and debt repayment
McCoy's Markets, Inc.
Office—40 Beaver St., Albany, N. Y. Underwriter—None.
219,150 class A common. Price—By
Heck's Discount Centers, Inc.
amendment - (max.
$14). . Business—Operation of 16 /
supermarkets in the Los Angeles area.
Proceeds—For - June 7,- 1962 filed 125,000 common. Price—By amend¬
ment (max. $5). .Business—Operation of discount stores.
selling stockholders.
Office—17602 Bellflower Blvd.,

28

Hydro-Swarf, Inc. (9/4)
30, 1962 filed 97,000 common, of which 80,000
will be sold by company and 17,000 by certain stock- :
holders. Price—$5. Business—Manufacture, assembly and .
sale of aircraft and missile components on a sub-contract
basis. Proceeds—For debt repayment and working capital.
Office—7050 Valley View St., Buena Park, Calif. Under¬
writer—Raymond Moore & Co., Los Angeles.

1962 filed

Underwriter—Morris

Calif.

Bdllflower,
Ndw York.

v

-

29, 1961 filed 100,000 common. Price—By amend¬
($7 max.). Business—Manufacture of corrugated
and containers. Proceeds—For general corporate
purposes. Office—149 Eritin Rd., Clifton. N. J. Under¬
-

"

.

v

Herlin

.

& Sand Co.
.■«
r
$250,000 of 8% subordinated deben¬

1962 filed 300,000
sold

;

of which

common,

100,000

•

and

company

.

.

•

(8/20-24)
filed 79j500 common. Price—$4. Business
—Manufacture, packaging and sale of proprietary drug
products. Proceeds^-For debt repayment, expansion and
other corporate purposes. Office—1827 Pacific St., Brook- )
lyn, N. Y. Underwriters—Packer-Wilbur & Co., Inc., and
Alessandrini & Co., Inc.. N. Y.
• <
Drug Co.

Halsey

Industry Capital Corp.

Offering—Indefinite.

Dec.

March 30, 1962

•

■

Hanna-Barbara

29,

1961

filed

Productions, Inc.
200,000 capital shares. Price

:
—

*;

Engineering Corp.
filed 120,000 common. Price—By amend¬
ment (max. $14). Business—Development and produc¬
tion of equipment for use in testing the physical char¬
Instron

March 26, 1962

1962 filed $250,000 of 6V2% subordinated sink¬
furid convertible debentures due 1977 and 25,650
common shares to be offered in units consisting of one

acteristics

11, 1962. ("Reg. A") 135,000 common. Price — $1.
Business — Manufacture and distribution of electro¬
mechanical rotating devices. Proceeds—For debt repay¬

corrimercials.

and

Proceeds

For

—

new

a

Office—312

N.

Y--_r'::'-v' •:■•••;7 _' / ■' f
i Happy House, Inc.

V:

:
•

,'

-

/ ■'V:

,\y-

.

700,000 common shares. Price—$1.
Business—The marketing of giits, candies and greeting
cards through franchised dealers. Proceeds—For equipJuly

28,

1961

>

filed

,

(

'5 Hardlanes

Distributors, Inc.
;
f v
Jan. 26, 1962 filed 200,000 common, of which 100,000
are to be offered by the company and 100,000 by a stock¬
holder. Price—By amendment: Business—Retail sale of
housewares,
hardware, / lighting
fixtures,
automotive
accessories, etc. Proceeds—For debt repayment, expan-/
sion
and
working v capital."
Office—1416 .Providence

Norwood.:/Mass.

Highway,
•

Harley

Price—$4. Busi¬
ness—Design, production and distribution of belts and
related products. Proceeds—For sales promotion, expan
sion, inventory, and debt repayment,- Office-—476 Broad¬
way, N. Y. Underwriter—To be named.
/'
:

Harris

Stores, Inc.

.

'»

•.Hart's Food Stores, Inc. (8/1-3)
March 28, 1962 filed 235,550 common. Price—By amend¬
ment (max. $16).
Business—Operation of supermarkets
>

and

small

Proceeds—For

food : stores.

selling

Office—175 Humboldt St., Rochester,

derwriter—Merrill

New York.

stock¬

N. Y. Un¬

Lynch, Pierce, Fenner & Smith Inc.,

...

...

w*

;

'■

...

.

'

'

Harwyn Publishing Corp.

,

pharmaceutical and medical instruments. Proceeds—For
working capital and other corporate purposes. Office—
375 Park Ave., N. Y. Underwriters—Seymour Blauner
Co., and Wnu Stix Wasserman & Co., Inc., N. Y.
International Plastic Container Corp.
March
26, 1962-filed 200,000 common.
Price—$2.50.
Business—Manufacture of plastic products produced by
extrusion
and
thermoforming.
Proceeds—For equipment, rent, salaries and working capital. Office—818—

-

*•

-

Jan. 29, 1962 filed 300,000 class A common. Price — Byl
amendment. Business — Publishes illustrated encyclo-'

works- for-children and operates an advertising
agency for sale of TV and radio spot time. Proceeds—
For working capital. Office—170 Varick St., N. Y. Un-

17th

•

derwriter—Van Alstyne,
Indefinite.
,
.

-

Hawaii

,

Real Estate

Noel & Co., N. Y. Offering;

.

.

-

Investment Trust

May 18, 1962 filed 1,000,000 shares of beneficial interest
eight-year stock purchase warrants to be offered in

and




Offering—Expected in August.

International Protein Corp.

(7/30)

corporate purposes. Office—42

1962 filed 90,000 common. Price—$5. Business
—Distributes fishmeal and animal by-product proteins.
Proceeds—For expansion, machinery, and working cap¬
ital. Office—233 Broadway, N. Y. Underwriter—Arnold
Malkan & Co.,

("Reg. A") 76,500 common. Price—$3.75.
Business—Purchase of cultured pearls in Japan and

Jan. 26,

29, 1961

their

distribution

House of

Proceeds—For general
W. 48th St., N. Y. Under¬
Securities, Inc., Rego Park, N. Y.
in

.

U.

the

S.

capital. Office—129 S. State St., Dover,
:—-To be named.

International Realty Corp.

V

,

and working
Del. Underwriter

.

Inc.
March 29, 1962 filed 150,000 common. Price—By amend¬
ment (max. $17). Business—A dispensing optician and a
manufacturer and distributor of optical equipment. Pro¬
House

Vision,

of

ceeds—For selling

Ave.,
Chicago.
Chicago.
Hunsaker
March
nated

stockholders.

unit). Business—Real estate investment.
debt repayment, construction, and other
poses.

Office—137 N. Wabash

Underwriter—Hornblower

&

International

30, 1962 filed $1,600,000 of convertible subordi¬
1977 and 250,000 common shares.

shai

and

has acquired in Southern Calif. Proceeds
and other corporate purposes.
Edna PI., Irwindale, Calif. Underwriter—

repayment

Corp.

Lighting & Power Co. (7/30)
July 9, 1962 filed $25,000,000 of first mortgage bonds due
1992. Proceeds—For'repayment of bank loans and con¬
struction. Office^-900 Fannin St., Houston, Tex. Under¬

writers—(Competitive). Probale bidders:

Lehman Broth¬

in units, each consisting of one share

unit. Business—Design,
of mechanical, electroelectronic equipment for government

warrant. Price—$4 per

mec:ianical

and. manufacture

and

and the military. Proceeds—For equipment,
debi repayment and working capital. Office—Engineer's
Hill. Plainview. L/I„ N. Y. Underwriter—International
agencies

•
-

Angeles.

Houston

to be offered
one

development

which company

Bateman, Eichler & Co., Los

Systems Research

filed 110,000 class A common and 9-month
war-ants to purchase 110,000 class A shares at $4 per

debentures due

Office—15855

Chicago. Under¬

Mai dh 30, 1962

Corp.

—

debt

Office—919 N. Michigan Ave.,
N. Y.

Proceeds—For
corporate pur¬

writer—-Kidder, Peabody & Co.,

Weeks,

By amendment (max. $6 per common share).
Business—Construction of homes and apartments on land
—For

Note—This firm formerly was

Animal By-Products Corp.

April 27, 1962 filed $18,000,000 of s. f. debentures due
1977, 360,000 common shares and five year warrants to
purchase 540,000 common shares to be offered in 180,000
units, each unit consisting of - $100 of debentures, two
common shares
and warrants to purchase three addi¬
tional shares.
Price—By amendment (max. $110 per

inventory

advertising,

repayment,

Inc., N. Y.

named Marine &

Koshu, Inc.

,

>

Underwriter—Amos C. Sudler & Co.,

St., Denver.

Denver.

Honora, Ltd.
Nov.

Price

pedic

•

ing—Temporarily postponed.

debt
¬

See Paul, Harris Stores, Inc.

holders.

23, 1962 filed
Business—Imparting,
March

March 29, 1962 filed 75,000 class A common. Price—$5.
Business—Importing of Japanese liquors. Proceeds—For

1962 filed 75,000 common.

(Paul)

-

Surgical Corp.
150,000 class A shares. Price—$4.
licensing, and manufacturing of

International Drug &
;

Hollingsworth Solderiess Terminal Co.
27, 1962 ("Reg. A") 75,000 common. Price — $4.
Business—Manufacture, sale and development of solderless terminals and other wire terminating products. Pro-t
ceeds—For debt repayment, equipment, advertising and
working capital. Address—P/O. Box 430, Phoenixville,
Pa. Underwriter—Harrison & Co., Philadelphia. Offer¬

•

Inc.

Products,

28,

•

and othei corporate purposes.
Newark, N. J. Under¬

Pleasant Ave.,

writer—Sunshine

Underwriter—McDonnell &

Co., N. Y. Offering—Temporarily postponed.'.
March

units

Feb.

ment, inventory and working capital. Office—11. Tenth
Ave.'. S Hopkins, Minn. Underwriter—None.
!
•

and 5-year war¬

Busi¬
ness—Development and operation of mohue home re¬
sorts. Proceeds — For debt repayment, expansion
and
working capital. Office—4344 E. Indian School RoadL
Phoenix. Underwriter—None.

promotion
Mt.

writer—Gold-Slovin Co., Inc., N. Y.

to purchase 700,000 shares, to be ofiered in
of 5 shares and one warrant. Price—$50 peu unit.

building and j

working capital. Office—3501 Cahuega Blvd., Los Angeles. Underwriter—Carl M. Loeb, Rhoades & Co.,' Inc.,*

sales

ment,

,

Holiday Mobile Home Resorts, Inc.

1962 filed 3,500,000 common

Components, Inc.

Instrument
June

,

Proceeds—For debt
repayment and expansion. Office—109 S. Webster St.,
Madison, Wis.-Underwriter—Milwaukee Co., Milwaukee,

salad dressings and specialty sauces.

31,

of

Underwriter—None.

$500 debenture and 50 common shares. Price—$1,000 per
unit/ Business — Manufacture of liquid and semi-solid

rants

amendment. Business—Production of television cartoons

various materials. Proceeds—For selling
Office—2500 Washington St., Canton, Mass.

stockholders.

postponed.

(8/20-24)

1962

ing

Jan.

By

30,

ment, inventory and other corporate purposes. Office—
4 Broadway Plaza, Huntington
Station, N. Y. Underwritfei1—Price Investing Co., N. Y.

Hoffman House Sauce Co.^ Inc.

.

Inc.

("Reg. A") 100,000 comimm. Price—$3.
Business—A contract manufacturer of precision products.
Proceeds—For acquisition of land and building, equip¬

.

Dec.

Instromech Industries,

March

Feb. 28,

.

Proceeds—

purposes.

Offering—Indefinite.

writer-^None.; "

Wis. Offering—Indefinitely

Price—$15. Busi¬

Office—208 S. La Salle
St., Chicago. Underwriter—A. C. Allyn & Co., Chicago.

For general corporate

management investment company.
Proceeds—For in-,
vestments 'Office—760 S. Hill St., Los Angeles. Under- .

K

filed 500,000 common.

26, 1961

ness—A small business investment company.

Oct. 16, 1961 filed 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

i

'

/

which plans to become open-end in 1963. Pro¬
investment. Office—505 Fifth Ave., N. Y.
(same address).

ceeds—For

Distributor—Industrial Incomes Inc.

Street Co.

Hill

200,000 by a stock¬
holder* Price—By amendment. Business—Manufacture
of recessed incandescent lighting fixtures.
Proceeds—
For
general corporate purposes, Office—Chicago, III. ^
Underwriter—R. W. Pressprich & Co., N. Y. Offering— ;
Temporarily postponed..
;
"• 1 A"; '..
. ' \
* '' /;,"•
by the

^company

repayment of debt and
capital. Office—130 Lincoln St., Brighton, Mass.

Underwriter—To be named.

North America, Inc.

April 20, 1962 filed 100,000 common. Price — Net asset *
value (max. $11.50). Business—A closed-end investment

opment, leasehold improvements,

laridale, Fla. Underwriter—Mutch, Khanbegian, Flynn &
Green, Inc.. 115 Broadway, N. Y.
/"
:
'V]

Proceeds—For equipment,

and abstracts.

postponed.

High Temperature Materials, Inc.
Sept. 28, 1961 filed 120,000 common. Price—By amend¬
ment.
Business—Manufacture of products from test
models.
Proceeds—For equipment, research and devel¬
* working

processing and sale of rock arid sand* Proceeds—For a
new plant and other corporate purposes. Address—Hal-

indexes

Industrial Growth Fund of

Associates, Inc., N. Y.

'

promotion, office relocation, and working capital. Office
—19 River St., Woodstock, Vt.
Underwriter—Sebright,
Ahalt & O'Connor, Inc., N. Y.
Offering—Indefinitely

stues

1977, 20.0,000 common and 6-year warrants to";
purchase 25,000 common at $1 per share to be offered in
units consisting of a $10 debenture, 8 common shares and .'
one warrant. Price—$18 per unit. Business—Extraction,

be

other

Hickory Industries, Inc.
31, 1961 '("Reg. A") 40,000 common.
Price—$5.
Business—The • manufacture of barbecue machines and
equipment. Proceeds—For equipment, inventory,
promotion, expansion and working capital. Office
-10-20 47th Rd., Long Island City, N. Y. Underwriter—

,,

ment.

Aug.

amed

"

*

Systems, Inc.

29, 1962 filed 125,000 common. Price—By amend¬
Business—Publishes "The Financial Index" and

Jan.

.

tures due

will

Index & Retrieval

Proceeds—For working capital.
St. Louis/

J. B. Coburn

Mar.. • 27,

.White, Weld & Co., Inc., N. Y.

Louis.

St.

Business—Wholesale and retail distribution
of toys, hobby lines and sporting equipment. Proceeds
—For debt repayment, inventory and working capital.
Office—35 Engel St., Hicksville, N. Y. Underwriter—J.
R. Williston & Beane, N. Y.;
-

".">•,,/■//

.

:

Office—2046 Bell
Underwriter—Newhard, Cook & Co.,

tapes.

Price—$10.

.Halo Lighting,: Inc.

toys and related products. Proceeds — For debt repayment and general corporate purposes. Office — 184-10
Jamaica Ave., Hollis, Long Island, N. Y. Underwriter-?-

.

Ave.,

April 25, 1962 filed 150,000 common, of which 75,000 are
to be offered by company and 75,000 by stockholders.

/
Hallandale Rock
March 30, 1962 filed

.

Price—By amendment (max. $12.50). Business—Sale of
wrist watches to holders of food chain, cash register

Inc.

Bros.,

&

which 250,000 will
stockholders. Price

Business—Manufacture of

—By amendment (max. $20),

*

Co., Inc.
*v,
May 29, 1962 filed 100,000 common, of which 80,000 are
to'be offered by company and 20,000 by stockholders.

(Henry J.) Instruments Inc.
April 30, 1962 filed 150,000 common. Price—$2.25. Busi- :
ne'ss—Manufacture of precision instruments for measufing atmospheric conditions. Proceeds—For debt repay- 'A
mfent, equipment and working1 capital.
Office—2500 *
Shames Dr., Westbury, "L." II, N. Y. Underwriter—None.
Greenman

.V'*/.;

filed 586,000 capital shares. Price—By
amendment (max. ;$5)v Business—General real estate.
Proceeds—For general corporate purposes. Office—4265
Summit Dr., La Mesa, Calif. Underwriter—None.

N. Y. Offering—Temporarily

Ideal Toy Corp.

May 1, 1962 filed 490,000 common, of
be offered by company and 240,000 by

1962

April 27,

board

.Green

.

Land Co., Inc.

Helix

ment

postponed.

///.;-•/

Inc., N. Y,*

Dec.

writer—D. H. Blair & Co./

,

expansion, debt repayment and
working capital. Office—6400 MacCorkle Ave., S. W.,.
St.
Albans, W. Va.
Underwriter—Willard Securities,

Greater New York Box Co., Inc.

»*.'

,

.

Proceeds—For inventory,

Co.,

&

Cohon

Dillon, Union Securities & Co. - Salomon
(jointly); Kidder, Peabody & Co.-

Hutzler

March

Greater

June

&

Equitable Securities Corp. (jointly); Halsey, Stuart &
Co. inc.; Blyth & Co., Inc.-First Boston Corp.-Lazard
Freres & Co. (jointly).
Bids—July 30, 1962 (12 noon
EDST) at 2 Rector St., N. Y. Information Meeting—July
27 in Room 2044, same address.

working
capital.
Address—Honolulu,
Underwriter—White, Weld & Co., Inc., N. Y.

Hawaii.

Eastman

-

Brothers

Proceeds—For

Great Plains Corp.
March 26, 1962 ("Reg. A") 60,000 class A common. Price
—$5. Business—Company plans to establish an industrial

bank

ers

Price—

Business—A real estate investment trust.

unit.

per

35

(407)

Financial Chronicle

The Commercial and

.

Services Corp.,

Clifton, N. J.

International

Terrazzo

15, 1962 ("Reg. A")
Business—Manufacture and

May

Co., Inc.

75,000 common. Price—$2.
installation of tturazzo floorContinued

on

page

36

36

The Commercial and Financial Chronicle

(408)

Jarcho

Continued from page 35

Bros., Inc.

.Thursday, July 26, 1962

.

—For general corporate purposes. Office—912 Sycamore

March 23, 1962 filed 240,000 common.

ing, and the installation of marble and tile. Proceeds—
equipment, debt repayment, working capital and

For

lyn, N. Y.

Underwriter—Drourr,

York.

New
•

Office—826 62nd St., Brook¬
Lampert & Co., Inc.,

corporate purposes.

otner

International

Vending Corp.

June 27, 1962

("Reg. A") 60,000 class A common. Price—
Business—Installation and servicing of coin-operated

S>5.

Proceeds—For debt repayment, con¬
and working capital.
Office—1028
Mass. Underwriter—Gianis

vending machines.
solidation

offices

of

Commonwealth Ave., Boston,

&

Offering—Indefinitely postponed.

Co., Inc., N. Yi
Interstate

1,605,100 shares of beneficial interest,
price—(max. $10). Business—A real estate investment
company. Proceeds—For investment. Office—450 Seventh
Ave., N. Y. Underwriter—Van Alstyne, Noel & Co., N. Y.
Mai eh 30, 1962 filed

Film

Distributors, Inc.

Sept. 29, 1961 filed 106,250 common. Price—;p*. Business
Theatrical
distribution
and
co-production of foreign
and domestic feature films. Proceeds—For acquisition,
co-production, dubbing, adaptation and distribution of
films, and working capital. Office—1776 B'way, N. Y.
Underwriters—General
dan &

Securities Co..

Inc.. and

Kas-

S.

Co., Inc., N. Y. Offering—Indefinitely postponed.

Investment Management Corp.

May 10, 1962 filed 100,000 common to be offered for sub¬
scription by stockholders on a 2-for-l share basis.
Unsubscribed shares will be offered to the public. Price
—To stockholders, $2.50; to the public, $3.50.
Business
•—Manager and distributor for Western Industrial Shares,
Inc., a mutual fund. Proceeds—For debt repayment and
general corporate purposes. Office—818 17th St., Denver.
Underwriter—None.
Investment Securities

March

16,

to

be

are

Co.

1962 filed 250,00U common,
offered

by

the

the

of wlilch 125,000
and 125,000 by a

company

stockholder. Price—By amendment
—A

(max. $20). Business

management investment company specializing in
insurance field. Proceeds — For debt repayment,

working capital and possible expansion.
Washington Ave., St. Louis. Underwriters

Office—901
Scherck,

—

Richter

Co., and Dempsey-Tegeler & Co., Inc., St. Louis.
Offering—Indefinitely postponed.
★ Investors Real Estate Trust
July 23, 1962 filed 300,000 shares.
•—A

real

30

Price—$10.

Business

Proceeds—For

State

St., Boston.
Empire Planning Corp., N. Y. • *
;investors Realty Trust
May 31, 1962 filed 200,000 shares. Price

—

invest¬

■

•—A

real

—

estate

struction

investment trust.

and

investment.

Underwriter—

$10. Business

Proceeds

Office

3315

—

For

—

con¬

Connecticut

household

electric

ceeds—For

Business—Manufacture

of

appliances and electric motors. Pro¬

products

new

and working capital. Office
—Regent St., Manchester, Conn. Underwriters—Richard
Bruce & Co., Inc., and Reuben Rose &
Co., Inc., N. Y.
Iowa

Public

Service

Co.

3, 1962 filed 320,468 common to be offered
subscription by stockholders on the basis of one
for

each

amendment.

struction.
Iowa.

10

held

of

record

Proceeds—For

debt

Aug.

28.

Underwriters—(Competitive).

for
new

Price—By

repayment,

Office—Orpheum-Electric

and

con¬

Bldg., Sioux City,
Probable bidders:

Blyth & Co.; Carl M. Loeb, Rhoades & Co.; Ladenburg,
Thalmann

&

Co.-Wertheim

&

Co.

(jointly); Merrill
Lynch, Pierce, Fenner & Smith Inc.-Kidder, Peabody &
Co.-White, Weld & Co. (jointly). Bids—Aug. 29 (11 a.m.
EDST), Second Floor 44 Wall St., N. Y. Information
Meeting—Aug. 23 (11 a.m. EDST) at same address.
iaap

Penraat Associates, Inc. (9/10)
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
Jan.

—315 Central Park

&

W., N. Y. Underwriter—R. F. Dowd

Co., Inc., N. Y.

Jackson's/Byrons Enterprises Inc.
March 13, 1962 filed $750,000 convertible subordinated
debentures

due

1977;

also

120,000

class

A

common,

of

which

66,666 shares are to be offered by the company
and 53,334 by stockholders.
Price—By amendment (max,
$12.50 for common). Business—Operation of a chain oI
retail department stores. Proceeds—For
debt repayment
and working capital. Office—29 N. W.
10th St., Miami,.
Fla.

Underwriter—Clayton Securities Corp., Boston. Of¬
fering—Indefinitely postponed.
Jamaica Public Service Ltd.
March 30, 1962 filed 215,000
common, of which 100,000
shares are to be offered by
company and 115,000 shares
by stockholders. Price
By amendment
—

Business—A

(max.

holding company for

a

Jamaican

utility. Proceeds—For acquisition of additional
subsidiary. Office—507 Place D'Armes,
Underwriters

Stone & Webster Securities

Greenshields & Co., Inc., N. Y.
Jamoco
Feb.

28,

Air

1962

$25).

stock

in

Corp. and

Conditioning Corp.
("Reg. A")

40,000

common.

Price

—

$3.

Business—Design, installation and maintenance of heat¬
ing, plumbing and air
conditioning systems. Proceeds—

Xl, mventory, equipment
Office
—

954

Jamaica

and other corporate
Ave., Brooklvn, N. Y.

writer—Martin-Warren Co., Ltd., N. Y.




,

.

count

stores.
Proceeds—For expansion. Address—R. D.
2, North Lebanon Township, Lebanon, Pa. Under¬
writers—Suplee, Yeatman, Mosley Co., Inc. and Wood¬
cock, Moyer, Fricke & French, Inc., Philadelphia.
No.

^Keystone-Universal Industries Inc.
July 24, 1962 filed 100,000 common. Price—$3.50. Busi¬
ness—Retail sale of carpets. Proceeds — For expansion
and working capital. Office—4042-54 Sawmill Run
Blvd.,
Pittsburgh. Underwriter — Strathmore Securities, Inc.,
Pittsburgh.

18,

filed

1961

150,000

class A

common.

Price—$8.

Business—Manufactures patented traversing screens for
use as window coverings,
room dividers, folding doors,
Proceeds—For

etc.
rate

debt

repayment

and

general

corpo¬

Office—514 W. Olympic Blvd., Los An¬
geles. Underwriter—D. E. Liederman & Co., Inc., N. Y.
Offering—Temporarily postponed.
purposes.

Jays

Creations, Inc.
30, 1962 filed 80,000 common. Price—$4. Business
—Design, manufacture and sale of young women's wear.
March

Proceeds—For working capital and possible acquisitions.
Office—254 W. 35th St., N. Y. Underwriters—Seymour
Blauner

Co.,

Jerlee

and

Wm.

Products

Stix

Wasserman

&

Co.,

N.

Y.

Corp.

May 1, 1962 filed 75,000 common. Price—$4.25. Business
—Processing and distribution of vinyl roll plastic fabric
and

vinyl tablecloths, and various foam rubber items.
Proceeds—For equipment, raw materials, debt repay¬
ment and working capital. Office—596-612 Berriman St.,
Brooklyn, N. Y. Underwriter—R. P. Raymond & Co„
Inc., 26 Broadway, N. Y.
Jiffy Steak Co.
Feb. 5, 1962 filed 65,000 common.
Price—By amend¬
ment.
Business—Processing,
packaging and sale
of
frozen meat and meat products. Proceeds—For redemp¬
tion of 2,910 $50 par preferred shares, expansion, and
working capital. Address — Route 286, Saltsburg, Pa.
Underwriter—Arthurs, Lestrange & Co., Pittsburgh.

Kine Camera Co., Inc.
Nov. 21,

1961 filed 75,000 common. Price—$5. Business
—Importing and distribution of cameras, binoculars and
photographic equipment. Proceeds—For debt repayment
and working capital. Office—889 Broadway, N. Y.
Un¬
derwriter—Underhill Securities

of capital stock of
100,000 will be offered by company and 40,000
by stockholders. Price—By amendment (max. $17.50).
Business—Manufacture of prefabricated homes. Proceeds
—For a new plant. Office—1725 S. Gault
Ave., Ft. Payne,
which

Ala. Underwriters—The Robinson
Humphrey Co., Inc.,
Atlanta, and J. C. Bradford & Co., Nashville. Offering—
Indefinitely postponed.
-

(H.)

are
ers.

Reclamation of metallics from steel slag; mining of sand

gravel; and dismantling and salvage of industrial
buildings. Proceeds—For new plants, debt repayment
and working capital.
Office—6272 Canal Rd., Cleve¬
land.

Underwriter—Robert

L.

Ferman

&

Co.,

Inc.,

Miami, Fla.

1977 to

be

basis

offered, for

of

,

writer—None.
•

drugs

sale

of

Price—$5.

common.

merchandise.

Busi¬

Kaufman Carpet Co.,

Inc.
1962 filed 250,000 common. Price—$5. Busi¬
ness—Operation of a chain of retail stores selling carpets
March 29,

Proceeds—For expansion, inventory, debt re¬

payment and working capital. Office—1800 Boston Rd.,
Bronx, N. Y. Underwriter—Michael G. Kletz & Co., N. Y.
Kavanau Corp.
March

29, 1962 filed 50,000 shares 6%
and four-year common stock purchase
offered

in

preferred

cum.

warrants

to

be

units

consisting of one preferred and one
Price—By amendment (max. $101 per unit).

warrant.

Business—Real

estate

investment.

Proceeds—For

debt

repayment and working capital.
N. Y.

Underwriter—Hayden,

Office—30 E. 42nd St.,
Stone & Co., N. Y.

Kay Foods Corp.
Dec. 29, 1961 filed 88,000 class A common
shares, of
which 44,000 are to be offered by the
company and 44,000
by stockholders. Price—$7. Business—Packing and sale
of fruit juice products. Proceeds—For
general corporate
Office—241

purposes.

Underwriter

N.

Franklintown

Auchincloss,

—

Parker

&

Rd.,

Keene

2,

Wash¬

filed

165,000

other

—

For

corporate

of

common,

repayment, working capital and
purposes. Office — 947 Newark Ave.,

Kelley Realty Corp.
By

16,

1962 filed 250,000

class A

common.

Price

—

amendment

(max. $10). Business—Company owns
and operates apartment and office
buildings. Proceeds—
For debt repayment. Office—1620 S. Elwood
St., Tulsa,
Okla. Underwriters—Fulton, Reid & Co.. Tnc.. Cleveland
and Walston &

Co., Inc., N. Y. Offering—Postponed.

Kenner Products Co.
March 30, 1962 filed 542,000

purposes.

are

Under¬

ers.

flavors

for

chemicals.

9, 1961 filed 100,000 common, of which 40,000 are
sold by the company and 60,000 by stockholders.
Price—By amendment.
Business—Manufacture of op¬
to be

tical equipment.
—347

Proceeds—For debt repayment. Office
Underwriter—Put¬

King St., Northampton. Mass.

&

Co., Hartford. Offering—Temporarily postponed.

Kraft

(John) Sesame Corp.
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"iftd'fes.

Price—$900

unit.

Business—Processing and distri¬
Proceeds—For accounts receiv¬
able, inventories, plant expansion and working capital.
Office—2301 N. Main St., Paris, Texas. Underwriters—
John A. Dawson & Co., and Leason & Co., Inc., Chicago.
bution of

per

seed.

sesame

April

Realty & Construction Corp.
1962 filed $5,000,000 of conv,. subord. deben¬

19,

tures due 1982 and 200,000

shares to be offered

common

in units consisting of $25 of debentures and one common

share.

Price—By

amendment

(max.

$27).

Business—

Construction and operation of office buildings. Proceeds
—For
debt
repayment.
Office—9350 Wilshire Blvd.,

Beverly Hills. Calif.

Kwik-Kold,
March

Underwriter—Lee Higginson Corp.,

Offering—Indefinitely postponed.

29.

1962

Inc.
("Reg.

A")

65,000 will be sold for
holders.

Price

—

100,000

of

common

which

and 35,000 for stock¬
Manufacture of certain

company

$3. Business

—

cooling packages. Proceeds—For debt repay¬
ment and working capital. Office—Jennings Bldg., P. O.
Box
638, Moberly, Mo. Underwriter—John W. Flynn
& Co., Santa Barbara, Calif.
patented

Lab-Line

Instruments, Inc.

Feb. 23, 1962 filed 142,860 common, of which 122,168 are
to be offered by the company and 20,692 by stockhold¬

Price—By amendment

ers.

(max. $9). Business—Manu¬
of industrial, hospital and
clinical laboratory instruments. Proceeds—For debt re¬
payment, construction, and working capital. Office—
3070-82 W. Grand Ave., Chicago
Underwriter—R. W.
facture

of

extensive

an

line

,

Pressprich & Co., N. Y. Note—This
porarily postponed.
Laminetics

Inc.

offering

was

tem¬

(8/6-10)

March 22, 1962 filed 80,000 common.

Price—$3.50.

Busi¬

ness—Production and sale of gift sets, linens, place
etc.
Proceeds—For equipment, moving expenses,
-

promotion
W.

27th St., N.
Corp., N. Y. I

Lee
Dec.

mats,
sales
corporate purposes. Office — 20
Underwriter—Fabrikant Securities

other

and

Y.

Fashions, Inc.

27,

1961 filed 163,667 common. Price—By amend¬
Business—Importing of low priced ladies' scarfs

blouses.

ing

capital.

Proceeds—For

Underwriters—Godfrev.
and

debt

repayment and work¬

Office—2529 Washington

Penzell

&

Blvd., Baltimore.

Hamilton. Tavlor fc

Co..

N.. Y,

Co., Miami Beach. Note—This registra¬

tion will be withdrawn.

.

debt

Elizabeth, N. J. Underwriter—Hardy & Co., N. Y.
March

By amend¬

Kollmorgan Corp.

and

which 100,000
are to be offered
by company and 65,000 by stockholders.
?rice—$4. Business—Design and manufacture of semi¬
rigid vinyl plastic cases and containers for packaging.
Proceeds

—

and

industrial

Nov.

ment.

Packaging Associates
1962

Price

colors

of

also

—

Baltimore.

Redpath,

ington, D. C. Offering—Indefinitely postponed.
April

cosmetics;

Peabody & Co., Inc. Offering—Temporarily postponed.

Proceeds—For

equipment and working capital. Office—1924 Washing¬
ton Ave., Bronx, N. Y.
Underwriter—Arnold, Wilkens &
Co., Inc., N. Y.

and rugs.

and

Proceeds—For general corporate purposes. Office—161
Avenue of the Americas. N. Y. Underwriter
Kidder,

New York.

order

Inc.

common.

food,

Kapner,

Inc. (8/1-3)
March 29, 1962 filed 50,000

160,000

Business—Manufacture

Kreedman

subord. debentures

conv.

subscription by stockholders
$100 of debentures for each 100 shares
held.
Price—At par.
Business—Operation of a whole¬
sale drug business. Proceeds—For debt
repayment and
working capital. Office—425 Park Ave., N. Y. Under¬
the

on

1962 filed

ment.

(D.)

& Co., Inc.
filed $1,650,000 of

Kohnstamm & Co.,

Feb. 21

nam

Corp.
29, 1962 filed 140,000 common, of which 70,000
to be offered by company and 70,000 by stockhold¬
Price—By
amendment
(max.
$10).
Business—

Corp., N. Y,

Kingsberry Homes Corp.
April 9, 1962 filed 140,000 shares

Kaiser-Nelson

Electric

Montreal, Canada.

—

Oct.

ness—Mail

(8/29)

July

share

..

,

Keystone Discount Stores, Inc. May 24, 1962 filed 110,000 common. Price—By amend¬
ment ($5.25).
Business—Operation of three retail dis¬

Jaylis Industries, Inc.

due

$6.

—

Francisco

Kaltman

Manufacturing Co.

Price

St., N. Y. Underwriter—Pacific Coast Securities Co.,

San

June 28, 1962

Jan. 26, 1962 filed 140,000 common, of which
125,000 are
to be offered by the company and
15,000 shares by a

stockholder.

Jayark Films Corp. (8/1-3)
Aug'. 24, 1961 filed 72,000 common of which 50,000 are
to be offered by the company and 22,000 by stockhold¬
ers.
Price—By amendment. Business—The distribution
of motion picture and television films. Proceeds—For
production of films and working capital. Office—15 E.

and

Ave., N. W., Washington, D. C. Underwriter—None.
lona

•

March

estate investment trust.

Office

ment.

New York.

48th

Equity

Interworld

St., Cincinnati, Ohio. Underwriter—Kuhn, Loeb & Co.,

ment
(max. $12).
heating, ventilation and air-conditioning systems. Pro¬
ceeds—For selling stockholders. Office—38-18 33rd St.,
Long Island City, N. Y. Underwriter—Shearson, Hammill & Co., N. Y. Note—This offering was temporarily
postponed.

Price—By amend¬
Business—Installation of plumbing,

common,

of which

to be offered
by company and 317,000 by

205,000
stockhold¬

Price—By amendment (max. $24). Business—Manu¬
facture, design, and distribution of plastic toys. Proceeds

Lee-Norse

Co.

May 25, 1962 filed 272,000 common. Price—By amend¬
ment (max. $20).
Business—Production of a coal min¬
ing machine. Proceeds—For selling stockholders. Office
—751 Lincoln

Leonard
•

Lehigh

Dec.

Ave., Charleroi, Pa.
Pittsburgh.

Underwriter—Moore,

& Lynch,

Industries

&

Investment Corp.

29, 1961 filed 2,000,000 class A cornmon. Price—By
Business—A
holding company for three

amendment.

subsidiaries which operate utilities, engage in construc¬
tion, and distribute electronic parts. Proceeds—For debt
repayment, construction and working capital. Office—
800

71st

vestors

St., Miami Beach, Fla. Underwriter—Leeco In¬
Corp. (a newly-formed subsidiary). Note—This

statement has become

effective.

Number 6180

Volume 196

.

.

The Commercial and Financial Chronicle

.

Lembo Corp.

filming and production and working capital. Office—
Madison Ave., N. Y. Underwriter—Fred F, Sessler
& Co., Inc., N. Y. Note—This firm formerly was named
Lunar Enterprises, Inc. Offering—Postponed.
543

Dec. 21, 1961 Hied 100,000 common. Price—$3.50. Busi¬
ness—Manufactures steel reinforced concrete utilities,

sanitary structures, fallout shelters and play sculptures.
Proceeds—For debt repayment, sales promotion and

Lustig Food Industries, Inc.
filed 100,000 common. Price—$6. Business
—Processing and packaging of frozen foods and the can¬
ning and bottling of fruits and vegetables. Proceeds—
For debt repayment and working capital. Office—48
High St., Brockport, N. Y. Underwriter—None.

working capital. Office—145 W. 11th St., * Huntington
Station, L. L,.'N. Y. Underwriter—Blank, Lieberman &
Co., Inc., New York.
Lesco Automotive
June

Corp.

Dec. 29, 1961

(8/13-17)

1962 ("Reg. A") 50,000 common. Price—$6.
Business
Company buys and sells automotive parts.
Proceeds — For debt repayment and general corporate
purposes. Office — 430 Hegeman Ave., Brooklyn, N. ¥.
Underwriter—M. H. Meyerson & Co., Inc., New York.
28,

—

•

(Louis) Enterprises,. Inc.
30, 1962 filed 1,000,000 class A common. Price—
$10. Business—Real estate management and construction.
Proceeds—For debt repayment and general corporate
purposes. Office—6737 Wilshire Blvd., Beverly Hills,
Underwriters—Morris

Cohon & Co.

and Leiber-

Mac-Allan Co.,

"

Inc. '■

stockholders.

•

Office

8908

—

..

McGrath

( John W.) Corp.
June 28, 1962 filed 253,875 common. Price^-By amend¬
ment (max. $15).
Business—Contract stevedoring and
related operations.
Proceeds—For selling stockholders.
Office—39
&

(8/28-31)

14, 1962 filed $1,600,000 of 6%% first mortgage
and 200,000 common to be offered in
units consisting of a $500 bond and 100 shares. Price—
$500 per unit. Business—Conducting commercial parimutuel harness racing meets in Lewiston and Gorham,
Maine. Proceeds— For debt repayment, property im¬
provements and working capital. Office—33 Court St.,
Auburn, Maine. Underwriter—P. W. Brooks & Co., N. Y.
Lilli Ann Corp.

Business—Design,
high fashion

manufacture and distribution of women's

suits and coats. Proceeds—Net proceeds from the deben¬
ture sale' 'wm be added to the general funds of the

—Production of educational and recreational devices and

games. Proceeds—For general corporate purposes. Office
—130 E. 40th St., N. Y.
Underwriter—Darius Inc., N. Y.

company, a portion of which may be used to retire shortterm loans, Office—2701 16th St., San Francisco. Under¬
writers—Sutro & Co., San Francisco and F. S. Smithers

& Co., New

York.

Offering—Temporarily postponed.
Dec. 29, 1961 filed 75,000 common.

Lily Lynn; Inc.
Feb. 23,1962 filed 150,000 common, of which 86,000 are to
be offered by the company and 64,000 by the stockhold¬
ers. Price—By amendment (max. $12). Business—Design,
.

.

women's

casual dresses. Pro¬

New Bedford, Mass. Underwriter — J. R. Williston &
Beane, N. Y. Offering—Temporarily postponed.
•

Livestock Financial Corp. (9/4-7)
Feb 23, 1962 filed 245,000 common. Price—$10. Business
—An insurance holding company whose subsidiaries in¬
sure the lives of all types of animals. Proceeds—To form
subsidiaries. Office—26 Piatt St., N. Y.

Business—Manufacture

new product
Office—179 Westmoreland

furniture

hardware

Proceeds—For

—

• Mail
Assembly Service, Inc.
April 27, 1962 filed 100,000 common. Price—$2.25. Business—Assembling of packages for shipment to post of¬
fices. Proceeds—For general corporate purposes. Office
—145 Ave. of the Americas, N. Y. Underwriter—Globus,
Inc., N. Y.

$3.50
sale

for

debt repay¬

ment, steel inventories nad plant expansion. Office—
3006 Boarman Ave., Baltimore. Underwriter—R & D
Investors Corp., Port Washington,
Y. Offering—Ex¬
pected sometime in August.
•

Lockwood Grader Corp.

Mammoth

i

Logos Financial, Ltd.
April 11, 1962 filed 250,000 capital shares. Price — By
amendment (max. $10). Business—A diversified closedend investment company. Proceeds—For investment. Of¬
fice—26 Broadway, N. Y. Underwriter—Filor, Bullard &
Smyth, N. Y.
Lordhill

Corp.
March 30, 1962 filed 63,000 common. Price—$5. Business
—Company provides optometric services and dispenses
optical items. Proceeds—For expansion, a laboratory and
working capital. Office—130 W, 57th St., N. Y. Under¬
writers—J. R. Williston & Beane and Doft & Co., Inc.,
N. Y. Offering—Temporarily postponed.

Lucks, Inc.
28, 1962 filed 282,496 common, of which 142,500

Feb.

to be offered by

the company and 139,996 by stock¬
holders. Price—By amendment (max. $5). Business—
Canning and marketing of vegetables and meats. Proceeds—For expansion and debt repayment. Address—
Seagrove, N. C. Underwriter—J. C. Wheat & Co., Rich¬
mond, Va. Offering—Indefinitely postponed.
are

Lunar

Films, Inc.
Aug. 31, 1961 filed 125,000 common. Price—$5.75. Busi¬
ness—The production of television films. Proceeds—Fox




Mart

Underwriter—R.

P.

Raymond

&

Co.,

Inc.,

26

Martin

(L. P.)

Maintenance Corp.

March 23, 1962 filed 100,000 common, of which
20,000
are to be offered by company
and 80,000 by a stock¬
holder. Price—$5. Business—Cleaning and maintenance
of

buildings and the ■* sale of janitorial supplies and
equipment. Proceeds—For debt repayment and work¬
ing capital. Office—840 DeKalb Ave., N. E., Atlanta.

Underwriter—Johnson, Lane, Space Corp., Atlanta. Of¬
fering—Indefinitely postponed.
Masters, Inc.

March 22, 1962 filed $1,500,000 of 6% conv. subord. de¬
bentures

due
1972; also 150,000 common shares, of
which 80,000 will be offered by the company and
70,000
by a stockholder. The securities will be offered in units
of one $100 debenture and 10 common

shares, except

that up to $700,000 of debentures and 70,000 shares
may
offered separately.
Price—For debentures, at par;

be

for

common, $10.
Business—Operation of discount de¬
partment stores selling a wide variety of merchandise.
Proceeds—For
expansion.
Office—135-21
38th
Ave.,
Flushing, N. Y. Underwriters—Sterling, Grace & Co.,
and Norton, Fox & Co., Inc., N. Y. Offering—Indefin¬
itely postponed.

Maxwell

Industries,

Inc.

June 7, 1962 filed $750,000 of 6%% subord. sinking fund
debentures due 1972, 75,000 common and 10-year war¬
rants to be offered in units
one

consisting of a $10 debenture,
Price—By amend¬

common share and one warrant.

ment

(max. $21.50 per unit). Business—Contract fin¬
isher of fabrics used in the manufacture of wearing ap¬

parel.

Proceeds—For debt repayment.

Office—70 Wall

St., N. Y. Underwriter—H. M. Frumkes & Co., N. Y.

New York
Manhattan Drug Co.,
•

Inc.

which 58,000 are
by stockholders.
Price—$3.50.
Business—Manufacture, packaging and
sale of various proprietary drug products. Proceeds—
For equipment, new products, debt repayment and work¬
ing capital. Office—156 Tillary St., Brooklyn, N. Y.

March 29, 1962 filed 72,000 common; of
to be offered by company and 14,000

Underwriter—Dana

May 28, 1962 filed 150,000 shares of 8% convertible cu¬
mulative preferred stock. Price—$3. Business—Design
and manufacture of miniature metal bellows and

other

miniature products. Proceeds—For debt repayment, re12

and_4ftv,elopment and working capital. Office—
Ave,, Rochelle Park, N. J. Underwriter-

Rochelle

Charles Plohn & Co., New York.
Medical

Industries

s

Fund, Inc.

Oct, 23, 1961 filed 25,000 common. Price—$10.
—A closed-end investment company which

open-end.

Proceeds—For

Business
plans to
investment in the

medical

industry and capital growth situations. Office
Lafayette St., Denver. Underwriter—Medical As¬
sociates, Inc., Denver.

—677

Medical Video Corp.

Nov. 13, 1961 filed 250,000 common. Price—$10. Busi¬
ness—Manufacture
of
medical
electronic equipment.
Proceeds—For
Studio

general

corporate purposes.

Office-

City, Calif. Underwriter—Financial Equity Corp.,

Los Angeles.

Memorial Services, Inc.
April 30, 1962 filed 1,200,000 common. Price—$1. Busi¬
ness—Company plans to acquire and operate funeral

homes. Proceeds—For acquisitions, debt repayment

and

working capital.
Office—315 E. Sixth Ave., Helena,
Mont. Underwriter—Memorial Securities, Inc., Helena.
Mercantile Stores Co., Inc.
May 24, 1962 filed 169,302 common. Price—By amend¬
(max. $26). Business—Operation of a chain of
department stores. Proceeds—For selling stockholders.

ment

Office—100 W.

10th

St., Wilmington, Del.

Underwriter

—Clark, Dodge & Co., Inc., N. Y.

Inc.

April 5, 1962 filed 200,000 common, of which 100,000 are
to be sold by company and 100,000 by stockholders. Price
—By amendment (max. $15). Business—Operation of
self-service discount department stores. Proceeds — For
debt repayment and working capital. Office—106 Main
St., Brockton, Mass. Underwriter—McDonnell & Co.,

Feb. 20, 1962 filed $900,000 of 6% sinking fund deben¬
tures series B, (with warrants). Price—$1,000 per deben¬
ture. Business—Design, manufacture, sale and repair of
machinery and equipment used in agriculture. Proceeds
—For debt repayment, equipment, and general corporate
purposes. Office—7th & S Sts., Gering, Neb. Underwriter
—First Nebraska Securities Corp., Lincoln, Neb. Note
—This registration was withdrawn.!

development and equipment.

Ave., White Plains, N. Y. Un¬
derwriter—T. W. Lewis & Co., Inc., N. Y,

Underwriter

85,000 common. Price

of

to furniture manufacturers.

new

engineering,

—Shearson, Hammill & Co., N. Y.
Lockfast Mfg. Co.
Jan. 11, 1962 ("Reg. A")

a

Magnetics Research Co. Inc.
April 30, 1962 filed 100,000 common. Price—$3. Business
—Design and marketing of magnetic memory units.
Company also plans to market transistor logic units and
subsystems for use in computers, business machines and
data handling systems. Proceeds—Expansion of sales and

ceeds—For debt repayment, working capital and expan¬
sion. Office—Herman L. Bishins Bldg., Riverside Ave.,

new

Price—$4. Business

electrically powered device for
massaging a person" in bed. Proceeds — For general cor¬
porate purposes. Office—Route 17, Rochelle Park, N. J.
Underwriter—Stanley R. Ketcham & Co., Inc., N. Y.
—Production of

•

manufacture and sale of

Y.

Broadway, N. Y.

become

Magic Fingers, Inc.

''V" ""/"'v

'

.

N.

Mechmetal-Tronics Inc.

Magellan Sounds Corp.
filed 60,000 common (with attached oneyear class A warrants to purchase 60,000 common shares
at $4 per share and two-year class B warrants to pur¬
chase 60,000 shares at $4.50 per share) to be offered in
units (each consisting of one share, one class A warrant
and one class B warrant). Price—$4 per unit. Business
Feb. 28, 1962

March 29, 1962 filed $750,000 of conv. subord. debentures
due 1977, also 100,000 common shares to be offered by

Price—By amendment.

Broadway, N. Y. Underwriter—Bear, Stearns
Co., N. Y.

Magazines For Industry, Inc.
Aug. 2, 1961 filed 100,000 common, of which 80,000 will
be offered by the company and 20,000 by stockholders.
Price—$5. Business—The publishing of business period¬
icals. Proceeds—For promotion, a new publication and
working capital. Office—660 Madison Ave.; New York.
Underwriter—Arnold, Wilkens & Co., Inc., N. Y. Offer¬
ing—Temporarily postponed.

due 1977

stockholders.

accesso¬

—
1650
Broadway* Kansas City, Mo. Underwriter—George K.
& Co., Kansas City. Offering—Indefinitely post¬
poned.

March

bonds

which

Baum

Lewis

Lewiston-Gorham Raceways, Inc.

common, of

tion of costume jewelry, ladies' handbags, and
ries. Proceeds — For working capital. Office

—

Ambassador

(Tillie) Foods, Inc. (8/27-31)
April 9, 1962 filed $4,000,000 of 5^% convertible sub¬
ordinated debentures due 1977. Price—At par. Business
—Processing, canning, bottling and selling of fruits and
vegetables. Proceeds—For debt repayment and working
capital. Office—Fresno Ave. & Charter Way, Stockton,
Calif. Underwriter—Van Alstyne, Noel & Co., N. Y.
•

A

65,130 are to be offered by the company and 65,130
by stockholders. Price—$5. Business—Sale and distribu¬

For selling
Row, Dallas.
Underwriter—Kidder, Peabody & Co., N. Y. Offering—
Indefinitely postponed.
clothing and dry goods stores. Proceeds

Marshall Press, Inc.
May 29, 1962 filed 60,000 common. Price—$3.75. Busi¬
ness—Graphic design and printing. Proceeds—For pub¬
lishing a sales catalogue, developing a national sales
staff and working capital.
Office—812 Greenwich St.,

•

Inc.

Feb. 23, 1962 filed 130,260 of class

%
March 19, 1962 filed 80,000 common. Price—By amend¬
ment (max. $17.50). Business — Operation of a chain of
Levine's

s.

37

153-16 Tenth Ave.,
Whitestone, N. Y. UnderwritersRoss, Lyon & Co.. Inc. (mgr.), Glass & Ross, Inc., and
Globus, Inc., N. Y. C. Offering—Postponed.

•

f. debentures due
1977 and 120,000 common to be offered in units consist¬
ing of $500 of debentures and 100 common. Price—By
amendment (max. $720 per unit). Business—Manufac¬
ture of light gauge vinyl plastic film and sheeting.
Proceeds—For acquisition of predecessor's business and
working capital. Office—40 E. 34th St., N. Y. Under¬
writer—P. W. Brooks & Co., Inc., N. Y.

Lesser

Calif.

Lyntex Corp. (9/24-28)
29, 1962 filed $600,000 of 6V2 %

June

March

baum & Co., N. Y.

(409)

Securities Co., Inc., N. Y.

Merco Enterprises, Inc.
April 20, 1962 filed 104,000 common, of which 33,000 are
to be offered by company and 71,000 by stockholders.
Price—By amendment (max. $7.50). Business—Sale of
phonograph records through leased record departments.
Proceeds—For moving expenses, working capital and
general corporate purposes. Office—1692 Utica Ave.,
Brooklyn, N. Y, Underwriter—D, J. Singer & Co., N. Y.

Mercury Books, Inc.
14, 1962 filed 55,000 common.- Price—$4.50. Busi¬
ness—Publishing of newly written popular biographies.
Proceeds—For working
capital.
Office—1512 Walnut
St, Philadelphia. Underwriter — Meade & Co., N. Y.
Offering—Temporarily postponed.

Feb.

Met Food Corp.

Marin County

Financial Corp.
May 2, 1962 filed 102,050 capital shares, of which 27,790
are to be offered by company and 74,260 by stockhold¬
ers.
Price—By amendment (max. $18). Business—A
holding company for a savings and loan association.

(8/1-3)

March 30, 1962 filed $1,500,000 of convertible subordi¬
nated debentures due 1977 to be offered by company
and 34,200 common by stockholders. Price—By
ment (max. $10). Business—Distribution of food

amend¬

at

and re¬
lated products to supermarkets and other retail stores in
the New York Metropolitan area. Proceeds—For general

Court, San Rafael, Calif. Underwriter—Dean Witter &
Co., San Francisco. Offering—Indefinitely postponed.

corporate purposes. Office—345 Underhill Blvd., Syosset,
N. Y. Underwriter—Brand, Grumet & Siegel, Inc., N. Y.

Proceeds—For

investment.

Marine Development

Office—990

Fifth

Ave.

Corp.

Metropolitan Acceptance Corp.

March 30, 1962 ("Reg. A") 15,000 units consisting of one
share of 8% cumulative preferred and two shares of

Oct. 2, 1961 filed $300,000 of 6% subordinated convert¬
ibles due 1967 and 60,000 common shares to be offered

Price—$20 per unit. Business—Operation of a
—
For construction, equipment and
working capital. —Address—Cummings, Ga. Underwriter
—First Fidelity Securities Corp., Atlanta.

in units consisting of $100 of debentures and 20 common
shares. Price—$150 per unit. Business—Financing of re¬
tail sales. Proceeds—For working capital. Office—5422

common.

marina.

Proceeds

Marks
June

27, 1961

filed 95,000 common shares.

Price—By

amendment. Business—Conducts research and
ment in

develop¬

electronics, optics, electro-optics, quantum elec¬
tronics, etc. Proceeds — For expansion, acquisition of
new facilities
and other corporate purposes.
Office—
-

Western

Ave., Chevy Chase, Md. Underwriter—To be

named.

Polarized Corp.

Metropolitan Realty Trust (9/4)
1,000,000 shares of beneficial interest
Price—$6.50. Business—A real estate investment trust.

Dec. 20, 1961 filed

,

Continued on

page

38

38 :

The Commercial and Financial Chronicle

(410)

Continued from page

Moskatel*s

37

Proceeds—For general

corporate purposes. Office—1700

Underwriter—Eisele &

St., N. W., Washington, D. C.

K

King, Libaire, Stout & Co., N. Y.
Micro-Dine

Corp.

•

13, 1962 filed 200,000 common. Price—$3.50. Busi¬
ness—Manufacture, sale and operation of vending ma¬
chines. Proceeds—For debt repayment, inventories and
Feb.

,

loo

(4*^7)

Mosler Safe

•

New

April

Price—At

1977.

due

Business—Design,-

par.

Midwest

Farm Market, Inc.
13, 1962 ("Reg. A") 2,750 common. Price—$100.
Business—Operation of an auction market for agricul¬
tural products and other merchandise. Proceeds — For
general corporate purposes. Address—Geneseo, 111. Un¬

derwriter—None.

writer—G. K. Scott & Co., Inc., N.

Midwest Planned Investments, Inc.
May 28, 1962 filed 250,000 common. Price—By amend¬
ment (max. $7). Business—Company is engaged in Ihe
distribution of shares on contractual plan of other mutual
funds, in trading in over-the-counter market, and in
underwriting. Proceeds—For hiring and training of per¬
Office—1300 First National Bank

rarily postponed.

Proceeds
2615

For

—

general

First National
Underwriter—None.
Midwestern

Mortgage

corporate

Bank

investment.

Feb. 26,

*

1962 filed 500,000 shares of beneficial interests.
Price—$10. Business — A real estate investment com¬

Proceeds—For investment and operating expenses.
Welton St., Denver. Underwriter—Boettcher & Co., Denver.

pany.

Office—1630

Milmanco Corp.
v
May 2, 1962 ("Reg. A") 75,000-eomrfton, of'Wfcfth 64,200
•will be sold by company and 10,800 by stockholders.
Price—$4.
Business—Company
writes,
prepares
and
prints technical manuals for armed forces and industry.
Proceeds—For debt repayment and expansion. Office—
620 7th Ave., Renton, Wash.
Underwriter—Cruttenden
& Co., Inc., 618 S. Spring St., Los Angeles.
(i

,

Sponsor—Ira Haupt & Co.,

V;

..

Nordon

,

Corp., Ltd.
t
March 29, 1962 filed 375,000 capital
shares, of which
100,000 are to be offered by company and 275,000 by
stockholders.
Price—By amendment (max. $6). Busi¬
ness—Acquisition and development of oil and natural

-

Proceeds—For

working capital. Office
geles.

..

.

properties.

gas

—

drilling, expenses and
5455,Wilshrre Blvd., Los An¬
-Inc.,
Beverly

Underwriter—Gregory-Massari,

Hills, Calif/ " '

V.

Oil & Gas Corp.

/

>

1962 filed $5,000,000 of 6% conv, subord de¬
due 1977, .Price—By,
amendment.;. Business-

bentures

Carreau &
North

Co., N. Y.

r

A

Battieford

Brewing Co., Ltd.... \
>
June 21, 1962 filed 443,565 common.
Price—$1. Business;,
—Company intends to equip and operate a brewery.
Proceeds—For

.

construction,and debt repayment/Office-

—North Battieford,

Saskatchewan,. Canada.

Underwriter

—None,;

,

Northwest Securities
June 25, 1962 ("Reg. A")

Investors, Inc.
80,G00

common.

Business—Acquisition of second-trust
real
-

New York.

Price—$3.75.

notes

estate

secured* by

property.
Proceeds—For general corporate
Office—922 You St., N. W.,
Washington, Dr. C.
Underwriter—Clarence E. Shaw & Co.,
purposes.

Washington, D.C.

Nuclear Science &

Engineering Corp.

March 29, 1962 filed 100,000 common.
Price—By amend¬
ment (max. $15). Business—Research and
development
contracts using radioactive
tracers/precision radio¬
activity measurement; production of radioactive isotopes
and the furnishing of consulting and radiation
measure¬
on

National Bank of Israel Ltd.
June 22, 1962 filed 1,050,008 ordinary shares and 3,190,000 "A" ordinary shares.
Price—By amendment (max.

Business—A general banking business. Proceeds—
general corporate purposes.
Office — Tel-Aviv,

Israel.

definitely postponed.

Production of crude oil and natural
gas.
Proceeds—For
debt repayment, working
capital and other corporate
purposes. Office—1.900 Life
Bldg., Dallas. Underwriter—

Ill Broadway,

Bag-O-Tunes, Inc.
May 11, 1962 ("Reg. A") 50,000 common. Price—$5.
Business—Distribution of phonograph records. Proceeds
—For expansion of warehouse space, equipment and in¬
ventories. Office—224-09 Linden Blvd., Cambria Heights,
.(Queens), N. Y* Underwriter—Harrison Securities, Inc.,

For

—

April 27,

National

75e>.

Proceeds

_

New York.

(8/13-17)

distribution of natural and synthetic essential
flavor, essences, etc., to food and drug industries.
For debt repayment,
working capital and
other corporate purposes. Office—601 W. 26th
St., N Y.
Underwriter—S. D. Fuller & Co., N. Y. Offering—In¬
and

oils,

Mortex

—

purposes.

.

Co., Inc.

1962 filed 200,000 class A shares. Price—By
(max. $15). Businesa-^Manufaeture, process¬

•

Municipal Investment Trust Fund, Series B
April 28, 1961 filed $12,750,000 (12,500 units) of interests.
Price
To be supplied by amendment. Business — The
fund will invest in tax-exempt bonds of states, counties,
municipalities and territories of the U. S. Proceeds—For

Bldg., Minneapolis.

Investors

Y. Offering—Tempo¬

:

engineering field. Proceeds—For debt repayment, equip¬
ment, and working capital. Office—2000 P St., N. Wv
Washington, D. C. Underwriter — Switzer & Co., Inc.i
Silver Spring, Md.

Bldg., Minne¬

offered for
subscription by stockholders on the basis of one share
for each two shares held. Price—By amendment (max.
$7). Business — A closed-end management investment
—

•

Business—Production of electronic parts and components
and the furnishing of consulting services in the radio-

Midwest Technical Development Corp.
Feb. 26, 1962 filed 561,500 common to be

Office

ing

Multronics, Inc.
Jan. 5, 1962 ("Reg. A") 100,000 capital shares. Price—$3.

apolis. Underwriter—None.

company.

/

Essential Oil & Chemical

March 20,

Multi State Industries, Inc;
April 6, 1962 ("Reg. A") 80,000 common. Price—$3."■
Business—Design, fabrication and marketing of plastic
toys, games and novelties.
Proceeds—For equipment,
working capital and other corporate purposes. Office—
275 New Jersey Railroad Ave., Newark, N. J.
Under¬

July

Norda

amendment

Super Markets," Inc.
•
March 29, 1962 filed 75,000 common. Price—By amend- *
ment (max. $8>.
Business—Operation of a chain of su- <
permarkets. Proceeds—For debt repayment, equipment,
and working capital. Office—59 Leggett St., East Hart¬
ford, Conn. Underwriter—D. H. Blair & Co., Inc., N. Y."
Offering—Indefinitely postponed.
*

repayment and working capital. Office—220 Pasadena
Ave., South Pasadena, Calif. Underwriter—White, Weld
& Co., N. Y. Offering—Imminent.

sonnel.

•

Mott's

development, manufacture and sale of components, in¬
struments and systems used in missiles and satellites,
radar and communications systems. Proceeds—For debt

York

,

260,000 common. Price—By amend¬

(max. $20). Business—Manufacture of safes, bank

vaults, security systems and office equipment. Proceeds
selling stockholders. Office—320 Park Ave., N. Y.
Underwriter—Blyth & Co., Inc., N. Y.
*
/
>

convertible subordinate

1962 filed $2,500,000

30,

debentures

Thursday, July 26, 1962

Testing Laboratories, Inc.
filed 50,uu0 Common. Price—$5. Business—
Analyzing and testing of electronic, chemical and other
materials.
Proceeds—For plant relocation;
'equipment,
and working capital. Office—47 West
St., N. Y. Under¬
writer—Robbins, Clark & Co., Inc., N.. Y.:
:
,

—For

Microdot Inc.

.

Jan. 29, 1962

Co.

March 23, 1962 filed
ment

.

(jointly). Bids—Aug. 14, 1962 (11 a.m. EDST) atr 61
Broadway (Room 2017), New York City. - Information
Meeting—Expected Aug. 9 at same address.

May 28, 1962 filed 104,000 capital shares, of which 20,000
are to be offered by the company and 84,000 by stock¬
holders. Price—By amendment (max. $8.50). BusinessSale of artificial flowers and florists' supplies. Proceeds
—For payment of income taxes. Office—738 S. Wall St.,
Los Angeles, Calif. Underwriter—Thomas Jay, Winston
& Co., Inc., Beverly Hills, Calif..
;
V ' " V

general corporate purposes. Office—6425 Oxford St., St.
Louis Park, Minn. Underwriter—Irving J. Rice & Co.,
Inc., St. Paul.

.

Underwriter—None.

ment

services.

Proceeds—For equipment;- debt
repay¬
ment, expansion and working capitaL Address-^-F.' O.
Box 10901, Pittsburgh.
Underwriter—Johnston, Lemon &
Co., Washington, D. C.
/
;
j
>

,

,

Nuveen

Stamp & Publishing Co., Inc.
April 27, 1962 filed 150,000 common. Price—By amend¬
ment (max. -$6).
Business—Operation of leased stamp

March

Tax-Exempt Bond Fund, Series 3 :
Oct. 17, 1961 filed $15,300,000 of units
representing frac-.

and coin departments in department stores, and the pub¬
lishing of stamp albums and catalogues. Proceeds—For
expansion and working capital.
Office—116 W. 32nd
St., N. Y. Underwriters — H. Hentz & Co. and Herzfeld
& Stern, N. Y. Offering—Expected in August.

Rental of vehicles and related activities.

Proceeds—For

tiopal interests in the. Fund. Price ,.—,, By amendment.
Business—The Fund will invest in interest bearing obli¬
gations of states, counties and municipalities '• of the

expansion. Office

Jackson, Miss.

Minkus

Minichrome
June

ordinated

convertible

Business

of

$50,000 of five

debentures

$500 due

Processes

—

Nov.

1,

to

be

1967;

Kodachrome

year

7% sub¬

offered in

de¬

Price—At

film:

par.

Proceeds—

For

working capital. Office—980 W. 79th St., Minne¬
apolis. Underwriter—Continental Securities, Inc., Min¬
neapolis.
Miracle

which 140,000
by stockhold¬

ers. Price—By amendment
(max. $14). Business—Opera¬
tion of self-service discount department stores. Proceeds

debt

repayment, expansion and working capital.
Office—370 W. 35th St., N. Y. Underwriter—McDonnell
& Co.* N. Y.
Missile Valve Corp.
Nov. 24, 1961 ..("Reg. A")
Business
valve.

—

3QQ,QOO

common.,

Production and sale of

Proceeds—For

purchase

of

the

Price

—

$1.

type butterfly

new

patent

duction and

and

pro¬

development of the valve.
Office
5909
Hollywood Blvd., Hollywood, Calif. Underwriter—Brown
& Co., Phoenix, Ariz.
Monarch

—

Plastics

Corp.

sign faces, quantity signs and boat windshields.

Proceeds—For

purchase of land and building, moving
expenses, equipment and working capital. Office—5606
Stuebner

Sauve

Airline

Rd.,

Houston.

Underwriter—W.

R.

Co., N. Y.

Montebetto

Liquors,

Inc.

(8/20-24)

April 5, 1962 filed' 160,000 common. Price—By amend¬
(max. $5). Business—Blending, bottling and mar¬
keting of alcoholic beverages. Proceeds—For
ment

equipment,

inventories,

advertising and working capital. Office—
Central Ave., Baltimore. Underwriters—
Street & Co., and Morris Cohon &
Co., N. Y.

Bank

St.

&

Morse

Electro Products Corp.
29, 1961 filed $1,250,000 o£ &%% convertible sub¬
ordinated debentures due March, 1977. Price — At
par.
Business—Operates retail stores selling, sewing machines
Dec.

and

vacuum

cleaners.

Proceeds

—

For

expansion

and

working capitaL Office—122 W. 26th St., N. Y. Under*
writer—Standard Securities Corp., N. Y.




Inc.

-

—

Milner Bldg;,

1000

Underwriter—None.7-*
National

Directories/ Inc.

Business—Compilation and publication of regional classi¬
fied

telephone directories.

Proceeds—For

general

cor¬

porate purposes.

phia.

Office—3306 Lancaster Ave., Philadel¬
Underwriter—Crichton, Cherashore, Cundy, Inc.,

New York.

Note—This

letter

will be withdrawn.

National Equipment & Plastics Corp.
Sept. 28, 1961 filed 105,000 common. Price—$5.

Business

cleaning and pressing plant and affili¬
stores.
Proceeds—For debt repayment, store ex¬
pansion and working capital. Address, — Portage. Pa
Underwriter—Cortlandt Investing Corp., N. Y. Offering
—Indefinitely postponed.
a

National

U.

S,, and. political subdivisions thereof which are be¬
lieved, to be exempted from Federal income taxes. Pro¬
ceeds—For

investments Office—Chicago, 111. Sponsor-

John Nuveen

&

Co., 135 So. La Salle St., Chicago.

Nuveen

Tax-Exempt Bond Fund, Series 4
1 '
Oct. 17,
1961 filed $15,000,000 of units representing
fractional interests in the Fund.
Price—By amendment.
Business—The Fund will invest in
interest-bearing obli¬
gations of states, counties, and municipalities of the U. S.,
and political subdivisions thereof " which
are believed
to be exempted from Federal income taxes. Proceeds—
For

investment.

Office—Chicago,

111.

Sponsor—John

Nuveen & Co., 135 So. La Salle St.,
Chicago.
Oceana International, Inc. (8/1-3)
-

,/

March

29, 1962 filed 150,000 common.
Price—$5.50.
Business—Manufacture and sale of synthetic pearl but¬

tons.

Proceeds—For

equipment

and. working

capital.
Underwriter—

Security Life Insurance Co.
March 23, 1962 filed 100,000 eommon, of which 80,000
are
to be offered by company and 20,000
by stock¬
holders. Price—$17.50. Business—A life, aecldent and
health * insurance company. Proceeds—For investment.

Office—1331 Halsey St., Brooklyn, N. Y.
Baruch Brothers & Co., Inc., N. Y.

Office
130 Alvarado,
N. E. Albuquerque, N.: M.
Underwriter—To be named.'Note—The SEC has ques¬

Business—Wholesale distribution of phonograph records
and albums.
Proceeds—For debt repayment,

tioned

product expansion and working capital. Office—614 W.
51st St., N. Y.
Underwriters—Gianis & Co..; Inc. and
Jed L. Hamburg Co., N. Y
Offering—Indefinitely post¬
poned.
-

—

the

accuracy

and

adequacy

of this registration

statement.

National

Semiconductor

Corp.

May 11, 1961 filed 75,000 shares of capital stock. Price

May 28, 1962 ("Reg. A") 140,000 common.
Price—$2.
Business—Manufacture and sale of plastic letters, em¬
bossed

System

ated

common, of
to be offered by company and 155,000

—For

Rental

19, 1962 filed 1200,000 common being offered for
subscription by stockholders of record June 13 with
rights to expire Sept. 11, 1962. Price—$10. Business—

—Operation of

Mart,

Inc.
April 20, 1962 filed 295,000
are

Car

March 29, 1962 ("Reg. A") 100,000 common. Price—$2.75.

Co.

18, 1962 ("Reg. A")

nominations

National

—To be supplied by amendment.

Business—The design,

development, manufacture and sale of quality transistors
for military and industrial use.
Proceeds
For new
equipment, plant expansion, working capital, and other
corporate purposes. Office—Mallory Plaza Bldg., Danbury, Conn. Underwriters—Lee Higginson Corp., N. Y. C.
and Piper* Jaffray & Hopwood,
Minneapolis (mgr.).
—

Now Campbell Island Mines Ltd.
Oct. 13, 1961 filed 475*00,0 common, of which 400,000 are
to be offered by the company and
75,00,0 by a stock¬

holder.

Price—50c,

Business—Exploration,
develop¬
mining. Proceeds—General corporate purposes.
Office—9Q Industry SL* Toronto, Canada. Underwriter—

ment and

A. C. MacPherson & Co.* Toronto.
New York State Electric & Gas

Corp. (8/14)
July 17, 1962 filed $15,000,000 of sinking fund dedentures, due June 1, 1992. Proceeds — For construction.
Office—108 E. Green St., Ithaca, N. Y. Underwriters—
(Competitive) Probable bidders: Kidder, Peahody &
Co.-Salomon
Brothers
&
Hutzler
(jointly); Halsey,
Stuart & Co. Inc.; Blyth & Co., Inc.; Harriman Ripley
& Co., Inc.; First Boston
Corp.-Glore, Forgan & Co.

•
Olympia Record Industries, Inc.
May 29, 1962 filed 66,000 class A shares.

Price—$4.

inventory,

Optech, Inc. (8/20-24)
26, 1961 filed 160,000 common. Price—$3. Business
—Research, development and fabrication of materials
used in
optical electronics. Proceeds—For equipment
Dec.

and

N.

working

capital.

Office—246

Main

J. Underwriters,—Stone, Ackerman &

St., Chatham,
Co., Inc., and

Heritage Equity Corp., N. Y.
Orbit Stores, Inc.
May 28, 1962 filed 100,000 common. Price—By amend¬
ment (max. $6).
Business—Operation of two discount
type department stores. Proceeds—For equipment, in¬

ventory,

expansion and working capital.
Office—725
T.
Morrissey Blvd., Boston.
Underwriter—

William
None.
•

•

Orion

Electronics Corp.

Aug. 28, 1961 filed 50,000
ness—The
tems

for

quencies
For

Price — $5. Busi¬
precision electronic sub-sys¬
generation, detection and control of fre¬
through the microwave region. Proceeds—

manufacture
the

up

.

(8/1-3)

common.

of

expansion equipment and working capital. Address
Tuekahoe, N. Y. Underwriter—A. B. Gilhart & Co.,
Inc., N. Y. C.
-

Volume

rOrr

Number

196

6180

.

.

.

The Commercial and Financial Chronicle

for working

Enterprises, Inc.

(J. Herbert)

Port

May 1, 1962 filed 285,000 common. Price-—$10.50. Busi¬
ness—Company's subsidiaries manufacture cartridge tape
recorders and programs therefor and men's and boys'
dress

Proceeds—For

trousers.

tising

capital.

working

and

debt

j

adver¬

repayment,

Ala.,

Address—Opelika,

Underwriter—None.

&

-

Outlet

Mining Co., Inc. *
B'eb. 28, 1962 filed 900,000 common. Price—$1. Business
—Mining- Proceeds—For equipment and working capital. Address—Creede, Colo. Underwriter—None.
.Pacific..States

Steel

Corp.
June 21, 1961 filed 100,000 outstanding shares of capital
stock (par 50 cents) to be sold by stockholders. Price—
$8. Business—The manufacture of steel products. Proceeds—For the selling stockholder. Office—35124 Alvarado-Niles Road, Union City, Calif. Underwriters—Flrsi
California Co., Inc., and Schwabacher & Co., San Fran¬
cisco (mgr.).

-

Offering—Indefinitely postponed.

Land Development Corp.
t. 28, 1961 filed $1,500,000 of-7%. convertible subord.
debentures due 1976 and 300,000, common Shares to be
.Pacific Westates

_

offered in units, each consisting of $100 of debentures"
and 20 common shares., Price-—$200 per unit.. Business—,
General real estate. Proceeds—rFor . debt repayment and

working. capital. Office

—

Hills,. Calif; Underwriter

9412 Wilshire Blvd., Beverly
Morris Cohon & Co., N. Y..

—

Note—This company was formerly named Westates

Development Corp.

_■

Electronics

Packard-Bell

..

.

Land

.

Corp.

...

n

May 4, 1962 filed $5,023,800 of conv.-subord. debentures;
due 1977 to be offered for subscription by stockholders
on

the

held.

basis

of

17 shares r
Business—Design, manufacture and
and defense electronic products. Com¬

$100

of debentures for each

Price—At par.

sale of

consumer

also installs and services its TV receivers and
stereophonic units, and manufactures plywood doors.
Proceeds—For
debtr repayment.'
Office—12333
W.
Olympic Blvd.,
Los
Angeles.
Underwriter—Kidder,,
Peabody & Co., Inc., N. Y.
: * "
"
■
;

pany

.

Co., Inc., N. Y. Offering—Temporarily postponed.

Pennsylvania Mutual Fund, Inc.
March 21, 1962 filed 1,000,000 capital shares. Price—By
amendment (max. $10.29). Business — A mutual fund.
Proceeds—For investment. Office—60 Wall St., N. Y.
Underwriter—Sackville-Pickard & Co., Inc. (same ad¬

Pak-Well

Paper Industries, Inc.
30, 1962 filed 150,000 class A common* Price—By
$13). Business—Manufacture of en¬
velopes, packaging materials of various kinds, wrapping
paper, stationery,-and school supplies. Proceeds — Forselling stockholders. Office—198 W. Alameda, Denver.
Underwriter—Francis I. duPoht & Co., N. Y."
March

amendment ;(max.

1 Palmetto State Life Insurance Co.
March

28,

...

ic Pennsylvania Power Co. (9/5)
July 19, 1962 filed $12,000,000 of first mortgage bonds
due 1992.
Proceeds—For redemption of $8,000,000 of
outstanding 5% first mortgage bonds due 1987, and con¬
struction. Office—19 East Washington St., New Castle,Pa; Underwriters — (Competitive). Probable bidders:
Halsey, Stuart & Co. Inc.; Kidder, Peabody & Co.-White,
Weld& Co.-Equitable Securities Corp-Shields & Co.

(jointly); Lehman Brothers-Eastman Dillon, Union Se¬
curities & Co.-Salomon Brothers & Hutzler-Ladenburg,
Thalman

Co.

&

(jointly); First Boston Corp.-Blyth &
Bids—Expected Sept. 5, 1962 at First Na¬
tional
City Bank, 55 Wall St., N.. Y.
Information
Meeting—Aug. 29 (3:45 p.m.) at 15 William St., N. Y.
Co.

(jointly).

Penta Laboratories, Inc.
April 23, 1962 filed 85,920 common. Price—By amend¬
ment
(max. $4.25)* Business—Development, manufac¬
ture and marketing of electron vacuum tubes. Proceeds
—For selling stockholders.
Office—312 N. Nopal St.,
Santa Barbara, Calif. Underwriter—Francis J. Mitchell
& Co., Newport Beach, Calif.
J Perfect

Photo, Inc.

Feb* 14, 1962 filed 154,800 common. Price—By
ment (max. $20). Business—Photofinishing and

amend¬
the dis¬
tribution of photographic equipment and supplies. Pro¬
ceeds—For selling stockholders. Office—4747 N. Broad
St., Philadelphia. Underwriter—Bear, Stearns & Co.,
N. Y.
Perma-Bilt

,

>

capital. Office—Woodbridge-Carte ret Road,

Reading, N. J. Underwriter—Mortimer B. Burnside

dress).
-

•

Enterprises,

Inc.

May 28, 1962 filed 230,000 common. Price—By amend¬
ment (max. $8). Business—Merchandising, sale and con¬
struction of homes. Proceeds—For acquisition and devel¬
opment of land, and other corporate purposes. Office—
319 MacArthur Blvd., San Leandro, Calif. UnderwriterRobert

A.

Martin

Associates, Inc., N. Y. Offering—Ex¬

pected in late Fall.

39

working capital. Office—18 Lancaster Rd., Union, N. J.
Underwriter—Jacey Securities Co., N. Y.
Product Research of Rhode Island, Inc.
July 28, 1961 filed 83u,UU0 common snares. Price—$2.05.
Business
The manufacture of vinyl plastic products
used in the automotive, marine and household fields.
—

Proceeds—For

of debt, new

repayment

equipment

and

working capital. Office —184 Woonasquatucket Avenue,
North Providence, R, I. Underwriter—Fred F. Sessler &
Co., Inc., N. Y. Offering—Postponed.
Promistora Qold Mines,

Ltd.

April 24, 1962 filed 750,000 capital shares, of which 500,000 are to be offered by company and 250,000
by stock¬
holders. Price—50 cents. Business—Acquisition and ex-'
ploration of mining claims in Canada. Proceeds—For;
general corporate purposes. Office—36 Yonge St., To¬
ronto, Ontario, Canada. Underwriter—A. C. MacPherson & Co., Toronto.
•

Prosper-Way, Inc. (7/30-8/3)
7, 1962 filed 85,500 common. Price—$3. Business '.
—Development and promotion of "one stop dry cleaning
and laundry" establishments, and the sale 'and main*:
tenance of dry cleaning and laundry equipment. Pro¬
ceeds—For real estate, sales promotion,
acquisitions, and
working capital. Office—2484 W. Washington Blvd., Los
Angeles, Calif. Underwriters—Crosse & Co., Inc., V. S.
Wickett & Co., Inc. and Thomas, Williams & Lee, Inc.,
Feb.

N. Y.

Prosperity Cleaners & Laundries, Inc.
May 15, 1962 filed 100,000 common. Price — By amend¬
ment (max. $5.50). Business—Operation of a chain of
dry-cleaning and laundry stores. Proceeds—For selling
stockholders. Office
48-12 25th St., Astoria, N. Y.
Underwriter—Edwards & Hanly, Hempstead, L. I., N. Y.
—

Offering—Indefinitely postponed.
Prudent Realty Investment Trust
May 21, 1962 filed 100,000 shares of beneficial interest.
Price—$10.
Business—A real estate investment trust.
Proceeds—For

Philadelphia.

investment.

Office—1324

Walnut

St.,

Underwriter—None.

Public Loan Co.,

Inc.

March 28, 1962 filed 170,000 common. Price—By amend¬
ment

(max. $17). Business—Operation of small loan of¬
fices. Proceeds — Far general corporate purposes. Office
—41 Chenango St., Binghamton, N. Y.
Underwriter—■

Permeator

May

18,

1962

subscription

1962 filed 100,000 capital shares. Price—By
: (max.
$19).
Business—Writing of life,,

(411)

Corp.
A^p. Becker & Co., Inc., Chicago. Offering—Indefinitefiled 300,000 common to be offered for /JyYjbstponed.
by stockholders of National PetroleumJj* publishers Co. Inc.

amendment

Ffl?*
PurenV^th« basis of one share for eacji; Nov.
15 National shares held. Price—$5. Business—Manufac-

health, accident and hospitalization insurance. Proceeds
—For working capital. Office—-1310 Lady St., Columbia,-

ture, use and sale of a patented tool,
Permeator,
used
in completion of oil and gas wells.
Proceeds—For gen-

S. C.

Underwriter—R. S. Dickson & Co.,

Charlotte, N. C.

American

Pan

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-,
—

writer—To be

named. '

PanAm

Papert, Koenig, Lois, Inc.
May 10,- 1962- filed 100,000 class A shares. Price—By
amendment (max. $8). Business—An advertising agency.
Proceeds—For selling stockholders.
Office—9 Rocke¬

Underwriters—Andresen & Co. and
Oppenheimer & Co., N. Y. Offering—Expected in Aug.

feller Plaza, N. Y.

-

Paragon

Pro-Cut. Homes,

corporate purposes. Office—445 Park Ave., N, Y.
Underwriters—Irving Weis & Co., and Godfrey, Hamil¬
ton, Taylor & Co., Inc., N. Y.

eral

Petro-Capital Corp.
28,
1962 filed

March

Business—A

Inc.

-

Aug. 25, 1961 filed 112,500 common. Price—By amend¬
ment. Business—Sale of pre-cut (finished) homes. Pro¬
ceeds—For working capital.-Office—499 Jericho Turn¬

Sherry

N. Y. Offering—Postponed.

-

.-Parkway Laboratories, Inc.

-

Jan.

Tibbs, Indianapolis. Underwriters—Kiser, Cbhn
Shumaker,' Indianapolis and Cruttenden, Podesja &
Miller, Chicago. Offering—Indefinitely postponed. ^

2920 *N.

&

!

deben¬

offered
Price—By amendment (max. $17; for

by stockholders.
common.). Business—Operation of hardware, drugstore
and
nurseries
businesses.
Proceeds—For
expansion,

working capital and other corporate purposes. Office—
514-524 Pike St., Seattle. Underwriter—Dean Witter &

postpone^.

Peerless Radio Corp.

22, 1962 filed 120,000 common, of which 100,000
to be offered by the company and 20,000 by stock¬

March

$4.. Business

—

Distribution of electric

Proceeds
repayment, inventory and working capital.

parts and components to industrial customers.
—For

debt

Office—19

Wilbur

Kordan

N. Y. Underwriter—

Co., Inc., N. Y*

&

St., Lynbrook,

Pellegrino Aggregate Technico, Inc.
Aug. 10,1961 filed 130,000 class A common shares. Price
—$5. Business—The manufacture of building materials.
Proceeds—For payment of income taxes and loans and




,

Pioneer Restaurants, Inc.
Dec.

Paul, Harris Stores^ Inc.
\
V
April 2, 1962 ("Reg. A") .26,000 class A common. Price
—$7.50. Business—Operation of wearing apparel stores.
Proceeds—For equipment and working capital. Office—

—

■

Piggyback Transport Corp.
April 30, 1962 ("Reg. A") 40,000 common. Price—$5.
Business—Loading and unloading of trailers and autos
from freight cars, and freight consolidation and forward¬
ing. Proceeds—For equipment, expansion and general
corporate purposes. Office—1200 Seaboard Dr., Hialeah,
Fla. Underwriter—Willard Co., Ill Broadway, N. Y.
-

21, 1961 filed 125,000 common, of which 75,000 are
offered by the company and 50,000 by a selling
stockholder.
Price—By amendment. Business—Opera¬
be

tion

of

six

restaurants

in

Sacramento.

Playboy Clubs International, Inc. (9/17*21)
May 28, 1962 filed 270,000 common. Price—By amend¬
ment. (max. $7). Business—Company is engaged in the
ownership and franchising of Playboy Clubs. Proceeds—
For debt repayment and general corporate purposes. Of¬
fice—232 E. Ohio St., Chicago. Underwriter—Divine &
Fishman, Inc., Chicago.
Polytronic Research, Inc.
June 7, 1961 filed 193,750 common shares, of which 150,000 will be sold for the company and 43,750 for stock¬
holders. Price—By amendment. Business—Research and

electronic

engineering

devices

for

and production of certain
aircraft, missiles, oscilloscopes,

electronic vending machines and language teaching ma¬
chines. Proceeds—For expansion, repayment of debt and

working capital. Office—7326 Westmore Rd., Rockville,
Md. Underwriters—Jones, Kreeger & Co., and Balogh &

Co., Washington, D.
poned indefinitely.

C.

Note—This

offering

was

post¬

investment trust.

Proceeds—For investment. Offiee—880

Spring, Md. Underwriter—None.

Prescott-Lancaster

Corp.

March 30,1962 filed 150,000 common. Price—$5. Business
—Real estate. Proceeds—For purchase of mortgages, and

(7/30)

shares.

Price—$18 per unit. Business—Company plans
produce beer and natural malta
(a non-alcholic
beverage). Proceeds—For construction and operation of
a
brewery and working capital. Address—San Juan,
Puerto Rico. Underwriter—Merrill Lynch, Pierce, Fenner
to

&

Smith, Inc., N. Y.

■

-

Queensway Mines Ltd.
March

15, 1962 filed 150,000 capital shares. Price—$1.
Business—Mining. Proceeds—For debt repayment, sur¬
and general corporate purposes. Office—Suite
1212, 55 York St., Toronto. Underwriter—Asta Corpora¬
Ltd., Toronto.

veying
tion

R

E D

M Corp.

June

29, 1962 filed 125,000 common, of which 50,000 will
and 75,000 for certain stock¬
holders. Price—By amendment (max. $6). Business—En¬

be offered for the company

gaged in manufacturing, engineering and research under
Defense Department contracts; also manufactures ball
point pens, points, mechanical pencils and desk sets.
Proceeds—For equipment and working capital. Office—
Little Falls, Passaic County, N. J. Underwriter—Meade
& Co., Inc., N. Y.
RF Interonics,

Inc.

(8/6-19)

1961 filed 40,000 common. Price—$5. Business
—Manufacture of radio frequency interference filters

Oct.

30,

capacitors. Proceeds—For equipment, working cap¬
Office—15 Neil Court,
Oceanside, N. Y. Underwriter—Arnold Malkan & Co-

and

ital and other corporate purposes.
N. Y.
•

Electric

Radio

Service

Co.

of

New Jersey,

Inc.

Jan. 23, 1962 ("Reg. A") 55,000 common, of which 50,000
will be offered by the company and 5,000 by stockhold¬
ers.

Price—$5. Business—Wholesaling of electronic parts,

supplies and equipment and the retailing of high-fidel¬
ity and stereophonic equipment and components. Pro¬
ceeds—For debt repayment, expansion, moving expenses
and working capital. Office—513-15 Cooper St.. Camden,
N. J. Underwriter—Lee-Mosson & Co., Inc., N. Y. Of¬

fering—Temporarily postponed.
Real

Properties Corp. of America

April 27,

1962 filed 300,000 class A shares. Price—By
(max. $16). Business—Company owns cer¬

amendment

estate, general insurance agency and a mort¬
servicing company. Proceeds—For debt repayment.
Office —745 Fifth Ave., N. Y. Underwriter — Stanley

tain

real

gage

Heller & Co.,

Potomac Real Estate Investment Trust

July 6, 1962 filed 1,000,000 shares of beneficial interest.
Price—By amendment (max. $5). Business—A real estate
Bonifant St., Silver

Puerto Rico Brewing Co., Inc.

March 23, 1962 filed $2,500,000 of sinking fund deben¬
tures due 1977 and 500,000 common shares to be offered
in units consisting of a $10 debenture and two common

Proceeds—For

expansion, debt repayment and working capital. Office
—1626 J St., Sacramento.
Underwriter—Stewart. Eubanks, Myerson & Co., San Francisco. Offering—Tem¬
porarily postponed.
■
•

development,

•

of

being withdrawn.

to

6, 1961 filed 160,000 common. Price—$5. Business
of drugs and pharmaceuticals. Proceeds
vjfor an acquisition, research and other corporate pur¬
poses. Office — 2301 Pennsylvania Ave., Philadelphia.
Underwriter—Arnold Malkan & Co., Inc., N. Y.
^

Co., San Francisco. Offering—Indefinitely

«

80,000 common. Price—$5. Business
professional audio visual and sound
recording equipment. Proceeds—Debt repayment, equip¬
ment and working capital. Office—236 E. 46th St.. N. Y
Underwriter—'To be named. Note—This registration is
18, 1962 filed

—Manufacture

~

Dec.

Pay'n Save Corp.
-.4
April 27, 1962 filed $1,200,000 of conv. subord.
tures due 1977, also 40,576 common shares to be

*

Pictronics Corp.

.t

,

4

<

—Manufacture

are

common.
Price—$11.
investment company.
Pro¬

556,700

business

general corporate purposes.
Office—-6130
Lane, Dallas. Underwriter—McDonnell & Co.,

New York.

pike, -Mineola, N. Y. Underwriter—A. L. Stamm & Co.,

holders. Price

small

ceeds—For

Realty - & Development Corp.
March 12, 1962 filed 400,000 class A stock. - Price—$10. >
Business—A real estate holding and development com¬
pany. Proceeds—For general corporate purposes. Office
4-70 N. Main St., Freeport, L. L, N. Y. Underwriter—
Underbill Securities Corp., N. Y.
-

.

28, 1961 filed 541,000 common. Price—By amendBusiness—Book publishing. Proceeds—For an acquisition and other corporate purposes. Office—1106 Connecticut Ave., N. W., Washington, D. C. Underwriter—
Roth & Co., Inc., Philadelphia.

jhent.

•

N. Y. Offering—Temporarily postponed.

Regulators,

Inc.

(8/13-17)

1962 filed 75,000 common, of which 50,000 are
to be offered by the company and 25,000 by Electronic

Jan. 29,

Specialty Co., parent. Price—$5. Business—Design and
and control devices used in
the electric and electronic fields.
Proceeds—For debt

manufacture of regulating

Continued

on

page

40

The Commercial and Financial Chronicle
40

real estate concern, motor

39

Continued from page

repayment and working capital. Office—455 W. Main
St
Wyckoff, N. J. Underwriter—Myron A. Lomasney &
Co., N. Y.

ness

1962 filed 105,000 common.
Operation of a laboratory

—

Price—$3.50. Busi¬
for contractual re¬

development and engineering in the chemical
field. Proceeds—For expansion of facilities, debt repay¬
ment and working capital. Office—396-406 Adams St.,
Newark, N. J. Underwriter—Keene & Co., Inc., N. Y.
search,

Inc.

& Co.,

Richard Gray

—

W.

237

Underwriter—Richard Gray Co.,

St., N. Y.

51st

New York.

Price—$7. Business
Proceeds—For debt

~20

corporate purposes.

repayment and general

St., N. W., Washington, D. C. Underwriter—Hirschel
Co., Silver Spring, Md. Offering—Indefinite.

&

Ridgerock of America, Inc.
Dec.
29,
1961
filed
100,000 common.

.

Price—$2.50.

for buildings. Pro¬
reduction and general corporate pur¬

Business—Production of stone facing
ceeds—For

debt

Address—Sebring, O. Underwriter—To be named.
Ridgewood Financial Corp.
March 30, 1962 filed 60,000 common, of which 11,250 are
to be offered by company and 48,750 by stockholders.
Price—By amendment (max. $9.75). Business—Owner¬
ship of stock of Ridgewood Savings Loan Co. of Parma,
in Cleveland. Proceeds—For organizational expenses and
investment. Office—1717 E. 9th St., Cleveland. Under¬
writer—Fulton, Reid & Co., Inc., Cleveland. Offering
poses.

Indefinitely postponed.

Ridgway (L. L.) Enterprises, Inc.
June 27, 1962 filed 155,000 common, of

which 130,000

and 25,000 by a stock¬
holder.
Price—By amendment
(max. $10). Business
—Company furnishes commercial reproductions, manu¬
factures sensitized papers, cloths and films for blueprint¬
be

to

are

offered

by

printing,

ing

and

and

commercial

company

architectural,

sells

and

reproduction

engineering

equipment and supplies.

expansion, equipment and

Proceeds—For plant

working
Under¬
Rotan,

capital. Office—5711 Hillcroft Ave.. Houston.
writers—Underwood, Neuhaus & Co., Inc. and
Mosle & Co., Houston.
Delaware

Riker

Price—$30

per

one

Business—A real estate

unit.

development and management company. Proceeds—For
construction, acquisitions, debt repayment and working
capital. Office—LaGorce Sq., Burlington, N. J. Under¬
writer—H. Neuwirth & Co., Inc., N. Y.
Rite Electronics,

29,

—Sale

1962 filed 62,000 common. Price—$6. Business
distribution of receiving tubes, television

and

Inc., New York.
Roadcraft

Corp.

26, 1961 filed 400,000 common. Price—By amend¬
ment. Business—Design, manufacture and sale of mobile
homes and office trailers. Proceeds—For general cor¬
Dec.

porate purposes. Office—139 W. Walnut Ave.,
Calif. Underwriter — Vickers. MacPherson &
Inc.,
•

N.

Y.

Offering—Expected

Gardena,
Warwick,

sometime in August.

Photo Corp.
Nov. 29, 1961 filed 300,000 common, of which 100,000
are to be offered by the company and 200,000 by stock¬
and

film.

Price

prints

—

color,

Proceeds

—

By

— Develops
white photographic
equipment and working capital.

amendment.

and
For

black

Business

and

Office—245

7th Ave..

—

Federman.

Stonehill &

Co., N. Y. Offering—Indefinitely

postponed.

N

Y.

Underwriter

Royalty Stores, Inc.
May 29, 1962 filed 75,000 common. Price—$3.75. Busi¬
ness—Operation of discount stores and wholesale distri¬
bution of general merchandise.
Proceeds—For expan¬
sion, advertising, and other corporate purposes. Office
—10 Charles St., Floral Park, N. Y. Underwriter—R. P.
Raymond & Co., Inc., 26 Broadway, N. Y.

Ruby Silver Mines, Inc.
Jan. 2, 1962 ("Reg. A") 2,400,000 common. Price—12%
cents. Business—Exploration and development of mineral
deposits. Proceeds—For debt repayment and general
corporate purposes. Address—Box 1088, Wallace, Idaho.
Underwriter—Pennaluna & Co., Spokane, Wash.
Sage International Inc.
April 30, 1962 filed 150,000

Salant &

Salant, Inc.
March 23, 1962 filed 150,000 class A shares. Price—By
amendment (max. $35). Business—Manufacture of men's
utility and sports' clothes. Proceeds—For selling stock¬
holders. Office—330 Fifth Ave., N. Y.—Underwriters—
Kidder, Peabody & Co., and Jessup &
Note—This registration was withdrawn.
•

Lamont, N. Y.

Enterprises, Inc.
Feb. 28, 1962 filed 450,000 common. Price — By amend¬
ment (max. $8). Business—A holding company for a
Sampson




to be offered by company

are

which 100,000

and 60,000 by stockholders.

Price—By amendment (max. $33). Business—Furnishes
labor and equipment to major oil companies and drills
for oil. Proceeds—For debt repayment and equipment..

Ave., Santa Fe Springs, Calif.

Underwriter—Dean Witter & Co., Los

—Expected in late
•

Save-Mor

*

•'

Inc.

28, 1961 ("Reg. A") $300,000 of 6% 15-year subord.
conv. debentures. Price—At par. Business—Operation of
a chain of drug stores. Proceeds—For general corporate
purposes. Office—3310 New York Ave., N. E., Washing¬
ton. D. C. Underwriter—C. A. Taggart, Inc., Towson, Md.
•

letter

Mill

Saw

was

River

withdrawn.

Industries,

Inc.

(8/6-10)

29, 1962 filed 100,000 common. Price—$5. "Busi¬
ness—Design, development and manufacture of steel
products for home use. Proceeds—For working capital.
Office—1051 Saw Mill River Rd., Yonkers, N. Y. Under¬
writer—Arnold Malkan & Co., Inc., N. Y.
March

e

Security Aluminum Corp.
26, 1962 filed 200,000 common. Price—By amend¬
of alumnium sliding win¬

ment. Business—Manufacture
dows

Proceeds—For equipment, moving ex¬
working capital. Office—503 E. Pine Ave.,
Calif. Underwriter—Vickers. MacPherson &
Inc., N. Y. Offering—Expected sometime in

and

doors.

and

penses

Compton,
Warwick,
August.

Selective

Financial

26, 1962 filed 240,000 capital shares, of which
140,000 are to be offered by company and 100,000 by
stockholders. Price—By amendment (max. $9). Business
—Manufacture and distribution of stereo photographs
Mar.

viewers. Proceeds—For working

capital. Address—

Portland, Ore. Underwriter — Straus, Blosser & Mc¬
Dowell, Chicago. Offering—Expected in late August.
Saxon

Paper Corp.

30, 1962 filed 200,000 common. Price—By amend¬

March
ment

(max. $9). Business

—

1962

Schaevitz

Engineering

13, 1962 filed 150,000 common, of which 100,000
offered by company and 50,000 by a selling
stockholder. Price—By amendment (max. $10). Business
—Design and manufacture of measuring, indicating,
recording, testing and controlling devices used in air¬
craft and missile systems. Proceeds — For expansion.
Address
U. S. Route 130, Pennsauken, N. J. Under¬
writer—Bear, Stearns & Co., N. Y. r
to

be

—

Schlitz

(Jos.)

Brewing Co.

ment

"Old

(max.

Price

—

By amend¬

$35). Business—Brewing of "Schlitz" and
beers. Proceeds—For selling stock¬

Milwaukee"

holders. Office—235 W.

writer—Glore, Forgan
definitely postponed.

Galena St., Milwaukee.

Co.,

&

Chicago.

Under¬

Offering—In¬

on the basis of 4 company shares for each class A or
share and two-thirds share for each class C share of

Selective

Life

Southwest Bldg., Houston.
ley & Co., N. Y.

Schneider

Underwriter—Morgan Stan¬

purchase a like amount of class A common.
The
plans to offer the securities in 5,500 units (each
consisting of $1,000 of debentures and warrants to pur¬
chase 20 shares) for subscription by holders of its class
A stock and 10% debentures due 1976. Price—By amend¬
to

real estate.

Business—General

Proceeds—For

ac¬

quisition of property. Office—67 W. 44th St., N. Y. Un¬
derwriter—None.
School Pictures,

Feb.

Inc.

-

June

(Sidney)

Realty Corp.

13, 1962 filed 500,000 class A shares. Price—$10.

Business

—

Real

Estate

investment.

Proceeds

—

For

ac¬

quisitions and working capital. Office—560 Fifth Ave.,
N.

Y.

Underwriters—Morris

baum &

Cohon

&

Co.

and

Lieber-

Co., N. Y.

Scientific

Equipment Manufacturing Corp.
April 30, 1962 filed 83,500 common.
Price—$6.
Busi¬
ness—Manufacture

of
sterilizers, multi-dose jet vac¬
injectors,
operating
lights
and
other medical
equipment.
Proceeds—For inventories, new products
and moving expenses.
Office—20 North Ave., Larch-

cine

mont,

N.

Ernest M.

Underwriters—Coggeshall
Fuller & Co., N. Y.

Y.

Scripps-Howard

&

Hicks

and

Broadcasting Co.
March 20, 1962 filed 375,000 common. Price—By amend¬
ment (max. $20). Business—Company owns and oper¬

unsub¬
public,

Properties Corp.

May 1, 1962 filed 200,000 class A common.
struction

of

a

building.

Price—$10.

Proceeds—For

investment.

estate

Fifth Ave.,

Office—565

con¬

N. Y.

Underwriter—None.

(8/6-10)

Servotronics, Inc.

March 30, 1962 filed 125,000 capital shares. Price — $3.
Business—Design, development and manufacture of pre¬
cision control components and associated products. Pro¬
ceeds
For debt repayment, equipment and working
capital. Office — 190 Gruner Rd., Cheektowaga, N. Y.
Underwriter—General Securities Co., Inc., N. Y.
—

Shainberg

(Sam)

Co.

March 30, 1962 filed 236,000 common. Price—By amend¬
ment (max. $13). Business — Operation of a chain of

junior department stores and self-service discount stores.
Proceeds—For selling stockholders. Office—1325 Warford St., Memphis. Underwriter—New York Securities
Co
•

62 Wall St.. N. Y.

.

Shin Mitsubishi

Jukogyo K. K.

(9/18)

June

29, 1962 filed $10,000,000 of convertible debentures
due Sept. 30,1977. Price—By amendment. Business—Man¬
of pulp and paper equipment, ships, aircraft,
automobiles, trucks, construction and industrial machin¬
ery, etc. Proceeds — For general corporate purposes.
Office—Tokyo, Japan. Underwriters—First Boston Corp.,
and Nomura Securities Co., Ltd., N. Y.

ufacture

•

Signalite Inc.
29, 1962 filed 126,000 common. Price—$4.50. Busi¬
ness—Manufacture, sale and development of glow lamps
for use as indicators and circuit components. Proceeds—■
Jan.

debt

repayment, equipment and working capital.
Heck Ave., Neptune, N. J. Underwriter—
Blauner & Co., N. Y. Offering—Postponed.

Office—1933
Milton

D.

Simplex Lock Corp.
April 20, 1962 filed 20,000 common to be offered for sub¬
scription by stockholders of the company and of Associ¬
ated Development and Research Corp., parent, on the
basis of one new share for each 10 company shares held,
and one share for each 30 shares of Associated held.
amendment
a

new

(max. $20). Business—Develop¬
type combination lock. Proceeds

—For

equipment, research and development and work¬
ing capital. Office—150 Broadway, N. Y. Underwriters—
Charles Plohn & Co. and B. W. Pizzini & Co., N. Y.

Site-Fab, Inc.
Feb. 27, 1962 filed 135,000 common. Price

—

By amend¬

ment

(max. $4). Business—Construction of homes. Proreeds — For debt repayment, acquisition of land and
working capital. Office — 1093 Frank Rd., Columbus,
Ohio. Underwriter—H. P. Black & Co., Inc., Washington,
D. C. Offering—Expected in early Fall.
•

1962 filed 60,000 common and 40,000 class A
common, of which 41,864 common are to be offered by
the company; the entire class A and 18,136 common
will be offered by stockholders. Price—By amendment
($35 max.). Business—Company develops, prints, and
finishes "school pictures." Proceeds — For plant and
equipment, acquisitions, and working capital. Office—
1610 N. Mill St., Jackson,, Miss. Underwriters—Equi¬
table Securities Corp., Nashville, and Kroeze, McLarty
& Duddleston, Jackson, Miss. Offering—Postponed.
7,

any

Underwriter—None.

Sentinel

company

ment.

and

corporate purposes. Office—830 N. Central Ave., Phoe¬
nix.

ment and sale of

Feb. 28, 1962 filed $5,500,000 of 61/2% subordinated con¬
vertible debentures due 1977 and 110,000 5-year warrants

Remaining 94,822

$6; to stockholders, $5. Business—Company plans to en¬
gage in the consumer finance, mortgage,
general fi¬
nance
and related businesses. Proceeds — For general

Price—By

Corp.

(Walter J.)

held.

scribed shares will be offered publicly. Price—To

For

Schlumberger Ltd. (8/1)
May 11, 1962 filed 700,000 common. Price—By amend¬
ment
(max. $80).
Business—Furnishing of electrical
logging and related services to oil well drillers, and the
design and manufacture of electronic and electro¬
mechanical equipment, components and systems.
Pro¬
ceeds—For selling stockholders. Office—408 Bank of the

filed

ate,
B

Wholesale distribution of

printing paper and paper products. Proceeds—For debt
repayment and expansion. Office—240 W. 18th St., N. Y.
Underwriter—Bear, Stearns & Co., N. Y.

Corp.

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¬

28,

Business—Real

Sawyer's Inc.

and

of America

Business—Writing of life, accident and
Proceeds—For purchase of a building,
debt repayment, reserves and other corporate purposes.
Office—1451 N. Bayshore Dr., Miami. Underwriter—None.

Feb.

Dec.

Note—This

Co.

health insurance.

Angeles. Offering

1962.

Drugs,

Insurance

By amendment.

•

30, 1962 filed 160,000 common, of

March

Life

Seaboard

Jan.

Fe Drilling Co.

Schwartz

capital shares. Price—By
amendment (max. $13).
Business—Operation of mem¬
bership discount department stores. Proceeds—For ex¬
pansion and inventories.
Office—315 S. Beverly Dr.,
Beverly Hills, Calif. Underwriters—First California Co.
Inc., San Francisco and Allen & Co., N. Y.
•

Underwriter—Cantor, Fitzgerald & Co., Inc.,

Beverly Hills, Calif.

Royaltone

holders.

Corp.

March 2, 1962 filed 347,543 common.

Inc.

picture tubes, and electroinc components, parts and
equipment. Proceeds—For an acquisition, equipment and
Working capital. Office—1927 New York Ave., Hunting¬
ton Station, N. Y. Underwriter—Robbins, Clark & Co.,
•

San Francisco Capital

Francisco.

TV, radio and FM broadcasting stations. Proceeds
selling stockholders. Office—1121 Union Central
Bldg., Cincinnati. Underwriter—First Boston Corp., N. Y.
Offering—Indefinitely postponed.
ates

—For

29, 1962 filed 256,097 common to be offered for
subscription by stockholders on l-for-5 basis. Price—•

April 23, 1962 filed 60,000 common. Price—$12.50. Busi¬
ness—A small business investment company.
Proceeds
—For
investment.
Office—400 Montgomery St., San,

are

50,000

Jan.

Thursday, July 26, 1962

.

.

June

March

Corp.

March 29, 1962 filed 200,000 class A common and
warrants to be offered in units of four shares and
warrant.

postponed.

Office—11015 Bloomfield

Richmond Corp.
Dec. 21, 1961 filed 142,858 common.
—A real estate investment company.

K

—

Santa

("Reg.

1962

21,

repayment
Milwaukee.
Underwriters
Straus, Blosser & McDowell, Chicago
and Dempsey-Tegeler & Co., Inc., St. Louis. Offering

.

A") 60,000 common. Price—$5.
Business
A securities broker-dealer.
Proceeds — For
working capital and other corporate purposes. Office
June

inn, shopping centers, bowl¬

ing establishments, etc. Proceeds—For debt
and working capital. Office—222 E. Erie St.,

—Temporarily

Laboratories, Inc.

Resin Research

Feb. 27,

.

(412)

Skiers

Service Corp.

Oct.

30, 1961 filed 550,000 common. Price—By amend¬
ment.
Business—Distribution of coin-operated insur¬
ance

vending machines to brokers at

sporting centers.

Proceeds—For

inventory, advertising and working capi¬
tal.
Office—420 Lexington Ave., N. Y.
Underwriter—
Pacific Coast Securities Co., San Francisco. Note — This
firm formerly was named National Vending Ski Insur¬
ance Corp.
Sokol

Brothers

Furniture

Co.,

Inc.

Sept. 28, 1961 filed 160,000 common. Price—$2.50. Busi¬
ness—The instalment retailing of furniture, appliances
and other household

goods. Proceeds — For expansion
buildings, repayment of debt and
Office—253 Columbia St., Brooklyn,
N. Y. Underwriter—Albion Securities Co., Inc., and Price
Investing Co., N. Y.
and modernization of

working

capital.

Southeastern Real Estate Trust

April 2, 1962 filed 700,000 common. Price—By amend¬
ment (max. $13.80). Business—A real estate investment
trust.

Proceeds—For

investment.

Office—600

E.

Wash¬

ington St., Orlando, Fla. Underwriter—None.
Southeastern Towing & Transportation Co.,

Inc.
100,000 common. Price—$3.
operation of towing boats.
Proceeds—For debt repayment, conversion of a boat, and
working capital. Office—3300 N. W. North River Drive,
Nov.

29,

1961

("Reg. A")

Business—Construction

and

Volume

Miami,

196

Number

6180

.

.

Fla. Underwriter—Irwin Karp

William

.

& Co.,

of baked

corporate purposes. Address—New York & Drexel
Aves., Atlantic City, N. J. Note—This registration was
Tabach

(8/27-31)

Industries, Inc.

A") 50,000 common. Price

—

and sale of women's wear.

$6.

Pro¬

ceeds—For debt repayment,

leasehold improvements and
expansion. Office—217 E. Eight St., Los Angeles, Calif.
Underwriter
Costello, Russotto & Co., 9301 Wilshire
Blvd., Beverly Hills, Calif.

EDST) in Room 2315, 195 Broadway, N. Y.

—

(L. B.), Inc.
1961 filed 65,000 common. Price—$5. Business—
Operation of retail furniture stores. Proceeds — For
working capital. Office—2212 Third Ave., N. Y. Underwriter—Arnold Malkan & Co., Inc., N. Y. Note—This
registration will be withdrawn.
Oct. 30,

Fluid Controls, Corp.
1962 filed 90,000 common. Price—By amend¬
ment (max. $7.50). Business—Manufacture of fluid con¬
trol equipment used in missiles, helicopters and aircraft.
Proceeds—For
selling stockholders
Address—Bridge¬
Tactair

March 29,

Spee Dee Service Systems, Inc.

>

100,000

("Reg. A")

29, 1962

common.

Price

port, Conn. Underwriters—Stroud & Co., Inc. and Penlngton, Colket & Co., Philadelphia.

$3.

—

Business—A messenger and parcel delivery service. Pro¬
ceeds

&
•

—
309
Underwriter—Franke, Joseph

Pittsburgh.
Co., Inc., N. Y.
Ave.,

Dec.

Teaching Systems, Inc.
1, 1962 ("Reg. A") 50,000 common. Price—$2. Busi¬

June

ness—Production

Inc.

May 28, 1962 filed 100,000 capital shares, of which 75,000
are to be offered by company and 25,000 by stockholders.
Price—By amendment (max. $10). Business—Design, de¬

Third
•

business

Ten-Tex

investment

29, 1962 filed 230,000 common. Price—By amend¬
(max. $12). Business—Writing of life, accident and
health insurance. Proceeds—For investment and other
June

Oct.

1962
filed
300,000
common.
Price—By
(max. $5). Business—Writing of life, health
and accident insurance.
Proceeds—For investment and
27,

working capital. Office—1760 High St., Denver. Under¬

120,000 common. Price—$2.30.
a
machine for production of

products.

Technical

Steel' Plant

Oct.

-

(9/18-20)

•*>,

-

;

equipment and working capital.^ Address—
Norristown, Pa. Underwriter—Joseph W. Hurley &. Co.,
ceeds—For

Norristown, Pa.

Corp. (8/21)
filed 105,000 common. Price—$3. Business
—Manufacture of bicycles, tricycles and toy automobiles.
Proceeds—For debt repayment, moving expenses and a
new
product line. Office—744 Berriman St.. Brooklyn,
N. Y. Underwriter—Lloyd Securities, Inc., New York.
•

Stelber Cycle

Jan.

1962

5,

1961 filed 275,000 common. Price—By amend¬
ment (max. $20). Business—A small business investment
company. Proceeds—General corporate purposes. Office
—1947 W. Gray Ave., Houston. Underwriters — F. S.
Smithers & Co., N. Y., and Moroney, Beissner & Co.,
16,

Inc., Houston. Note—This company formerly was named
Texas Electro-Dynamics Capital, Inc.
Tfcermogas Co. 8/1-3)
,
May 25, 1962 filed 800,000 common. Price—By amend¬
ment
(max. $15).
Business—Distribution of LP gas,
tanks

Stephens Mfg. Co.,

(M.)

Inc.

(8/1-3)

Co., Inc., Beverly Hills, Calif., and I. J. Schein

Co., N. Y.
Stratford
March

Financial Corp.

1962 filed 315,000 class A shares of which
to be offered by the company and 97,000 by
Price—$6. Business—Commercial fi¬

29,

218,000

are

stockholders.

the

nance

—95

company.

Madison

Proceeds—For debt repayment. Office
Underwriter—Mortimer B.

Ave., N. Y.
Burnside & Co., Inc., N. Y.

Realty & Construction Fund,

Stratton

March 20,

Inc.

1962 filed 500,000 common. Price—$20. Busi¬

Proceeds—For
investment. Office—50 E. 40th St., N. Y. Underwriter—

ness—A real estate investment company.
To

be

named.

*•

;

Office—4509 E. 14th St., Des Moines.
C. Allyn & Co., Chicago.

equipment.

Un¬

derwriter—A.
•

Thompson Manufacturing Co., Inc. (8/1)
Dec. 22, 1961 filed 90,000 common, of which 80,000 shares
are to be offered by the company and 10,000 by stock¬
holders.
Price—$4. Business—Design and manufacture
special

machinery for

the

construction of bowling alleys.

("Reg. A") 75,000 capital shares. Price—

$4. Business—Manufacture and distribution of electrical
fittings and connectors. Proceeds—For debt repayment,
inventory, equipment and working capital. Office—814
E. 29th St., Los Angeles. Underwriters — Thomas Jay,
Winston &

accessories, and gas fueled household appli¬
Proceeds—For acquisitions, debt repayment and

and

ances.

of
•

March 28, 1962

paper industry and the
Proceeds—For expansion

general corporate purposes. Office—Canal St., Lan¬
caster, N. H. Underwriter—Packer-Wilbur Co., Inc., N. Y.

and

Thunderbird

International

Hotel

Corp.

filed 175,000 common. Price—By amend¬
ment ($10 max.). Business—Hotel ownership and man¬
agement. Proceeds — For construction. Office — 525 N.
Sepulveda Blvd., El Segundo, Calif. Underwriter—Vickers, MacPherson & Warwick, Inc., N. Y. Note—This reg¬
Jan.

2,

1962

istration will be withdrawn.

June 29,

Water

Service

1962 filed 30,000 preferred and 30,000 common
publicly; also 3,398 preferred shares
to be offered for subscription by common

$16)

stockholders
amendment

on

a

(max.

share-for-share

$*17):

basis.

Price

Business—A holding

—

By

company

for water supply

firms. Proceeds—For advances to sub¬
sidiaries. Office—Clinton, Conn. Underwriter—Putnam
& Co., Hartford.
Summit

Gear

Co.,

Inc.

May 29, .1962 filed 167,000 common. Price—$3.50. Busi¬
ness—Development, design and manufacture - of gears
and gear assemblies, precision instruments and appli¬
ances.
Proceeds—For equipment, working capital and
research and development. Office—5960 Main St., North¬
east, Minneapolis.
Inc., St. Paul.
•

Sun

Oct. 27,

City

Dairy Products,

Business—Through

Time

Controls,

Inc.

1961 filed 110,000

&

Co., and Magnus & Co., N. Y. Offering—Postponed.
Towers

Marts

International,

Inc.

-

550,000 capital shares. Price — By
amendment. Business — Company builds and operates
retail discfOunt department stores. Proceeds—For expan¬
sion. Office—41 E. 42nd St., N. Y. Underwriter—W. C.
Feb.

1,

1962 filed

Langley & Co., N. Y.
Trailer

Train

Co.

Price—$4. Business
corporate

purposes. Office—3601 N.
derwriter—Finkle & Co.,

repayment, expan¬

Plaza, Philadelphia. Underwriters—(Competitive). Prob¬
able bidders: Halsey, Stuart & Co. Inc.; Salomon Broth¬
ers & Hutzler;-R. W.^Pressprich & Co.

Inc.

common.

trolled switches. Proceeds—For debt

sion, and working capital. Office—1 Grove St., Mount
Vernon, N. Y. Underwriters—Godfrey. Hamilton. Taylor

W. 50th St.. Miami. Fla Un¬
N. Y. Offering—Postponed.

Superior Bakers, Inc.
Feb. 28, 1962 filed 325,000 common, of which 294,000
are to be offered by the company and
31,000 shares by a

June 29,

Trans-Western

Service industries

subsidiaries

Reuben Rose & Co., Inc., N. Y.
Tull

May

(J. M.)

17,

1962

Metal & Supply Co., Inc.
A") 25,000 common.

("Reg.

Business—Wholesale
ferrous

metals

working

distribution

industrial

and

capital.

Office—285

lanta.

of

Price—$12.

ferrous

and

non-

supplies. Proceeds—For
Marietta St., N. W., At¬
Neal & Waggoner, and

Underwriters—Wyatt,
Robinson-Humphrey Co., Inc., Atlanta.
Turbodyne Corp.

March 2, 1962 filed 127,500 common. Price—$5. Business

—Research, development and production and overhaul¬
ing of gas turbine engines. Proceeds—For debt repay¬
ment, research and development, a new plant and work¬
ing capital. Office — 1346 Connecticut Avenue, N. W.t
Washington, D. C. Underwriter—Sandkuhl & Co., Inc.,
N. Y.
Turner

(J. L.)

& Son,

Inc.

Mar. 27, 1962 filed 120,000 common, of which 60,000 are
to be offered by company and 60,000 by a stockholder.

Price—By
retail

amendment

merchandise.

For

—

of

Business—Sale

$15)

(max.

Proceeds

general

corporate

purposes. Office—East Main St., Scottsville. Ky. Under¬
writer—Bear, Stearns & Co., N. Y. Note—This statement

withdrawn.

was

June

12,

Inc.
1962 filed 40,000

Business—Production

class A

shares.

Price—$10.

of

electronic flash systems for
Proceeds—For equipment, sales pro¬
^

photography, etc.
motion, research and' development, and other corporate
purposes.
Office—120 Liberty St.,'N/ Y. ^ Uhderwritfer—
None.

Electronics

Unison

Corp.

(8/13)

March

30, 1962 ("Reg. A") 100,000 common. Price—$1.J0.
Business
Manufacture of high-precision instrument
—

aircraft and missile guidance systems.
repayment, equipment and working
capital. Office — 1634 Marion St., Grand Haven, Mich.
Underwriter—Gateway Stock & Bond, Inc., Pittsburgh.

components

for

Proceeds—For debt

United

Markets

Inc.

(8/6-10)

15, 1962 filed 100,000 common. Price—$5. Busi¬
ness—Operation of "Foodtown" supermarkets. Proceeds
March

corporate purposes. Office—531 Ferry St.,
Newark, N. J. Underwriter—Moran & Co., Newark, N. J.
—For general

United

National

Insurance

Co.

May 29, 1962 filed 77,000 common. Price—$15. Business
—Sale of automobile insurance, and the writing of fire
and extended
coverage insurance.
Proceeds—For ex¬
pansion. Office—225 S. 15th St., Philadelphia. Under¬
writer—Suplee, Yeatman, Mosley Co., Inc.. Philadelphia.
United-Overton Corp.
Mar. 26, 1962 filed 450,000 common, of which
to be offered by the company and 359,103

Price—By

amendment

(max.

90,897 are
by stock¬

$18). Business—

Operates hard goods' departments in discount depart¬
ment stores. Proceeds—For debt repayment. Office—19

Nov.

Tork

its

is engaged in the wholesale distribution
supplies and equipment. Proceeds — For

debt repayment and working capital. Office—514 E. 73rd
St., N. Y. Underwriters—Richard Bruce & Co., Inc., and

Needham

Co.,

&

—Distribution of eggs and dairy products in Florida and
other southeastern states. Proceeds—General




Price—$8.

company

electrical

Business—Operation of a chain of self-serv¬
ice retail stores selling clothing, housewares, etc.
Pro¬
ceeds—For expansion, equipment and working capital.
Office—2220 Florida Ave., Jasper, Ala.
Underwriter—
Philips, Rosen, Appel and Walden, N. Y.
Price—$5.

1962 filed $4,000,000 of serial equipment trust
certificates, series 1, due 1963-82. Business—Acquisition
and furnishing of flat cars to railroads. Proceeds—Pur¬
chase of additional flat cars. Office — 6 Penn Center

Underwriter—Irving J. Rice

•

the

May 1, 1962 filed 200,000 common, of which 100,000 are
to be offered by company and 100,000 by stockholders.

12, 1961 filed 150,000 common. Price—By amend¬
ment. Business—Design and manufacture of time con¬

Co.

shares to be offered

(par

holders.

holders.

Top Dollar Stores, Inc.

Dec.

Suburban

Tujax Industries, Inc.
Mar. 23, 1962 filed 150,000 class A shares, of which 100,000 are to be offered by company and 50,000 by stock¬

,

Equipment Corp.

("Reg. A") 69,660 common. Price—$3. Pro¬

2, 1961

Manufacturing Co.
I
150,000 class A common. Price — By
amendment (max. $15). Business—Producer of protective
coatings, sealants, mastics, paints, etc. Proceeds — Fo*
selling stockholders. Office—10701 Shaker Blvd., Cleve¬
land. Underwriter—McDonald & Co., Cleveland. Offer¬
ing—Temporarily postponed.

Unilux,

Capital, Inc.

•

•

Tremco

Feb. 26, 1962 filed

•

Proceeds—For debt repayment
and working capital. Office—4813 Tennessee Ave., Chat¬
tanooga. Underwriter—Irving J. Rice & Co., Inc., St.
Paul. Offering—Expected in August.

Under¬

amendment

Under¬

Corp.

textile

Texas

Co. of Colorado

Price—$10. Busi¬
Proceeds

company.

Office—235 E. 42nd St., N. Y.

Jan. 31, 1962 ("Reg. A")
Business—Manufacture of

Insurance Co. of

.,

audio-visual

Blosser &* McDowell, Chicago.

writer—Straus,

ment

writer—None.

small

—For investment.

New York

March

educational

Ave., N. Y.

tufted

State Life Insurance

of

Technical

ness—A

cisco.

corporate purposes. Office—111 Fifth Ave., N. Y.
writer—Ira Haupt & Co., N. Y.

sale

Capital Corp.
April 30, 1962 filed 500,00U common.

velopment and manufacture of high pressure, high tem¬
perature ducting systems for use in aircraft and missiles.
Proceeds—For plant expansion, equipment and working
capital. Office—2980 N. San Fernando Blvd., Burbank,
Calif. Underwriter—First California Co., Inc., San Fran¬
Security Life

and

teaching aids. Proceeds—For equipment, promotion and
advertising and working capital. Office—1650 Broad¬
way, N. Y.
Underwriter—Creative Ventures Corp., 733

;

Standard

amend¬

Production and distribution of school

—

year-books and commercial printing. Proceeds—For sell¬
ing stockholders. Office—6320 Denton Dr., Dallas. Un¬
derwriters—Merrill Lynch, Pierce, Fenner & Smith Inc.,
N. Y., and Dallas Rupe & Son, Inc., Dallas, Tex. Offer¬
ing—Indefinitely postponed.

precision machinery. Proceeds—For the purchase of cer¬
tain patents, repayment of debt, and working capital.
Office—730 Grand St., Hoboken, N. J. Underwriter—
Blair & Co., N. Y.
, / :
Stainless Steel Products,

J 52,000 common. Price—By

1961 filed

21,

ment. Business

Sperti Products, Inc. (8/6-10)
Nov. 29, 1961 filed 230,000 common of which 200,000 are
to be offered by the company ana 30.000 by stockholders.
Price—By amendment. Business—Manufacture of drug
and food products, electrical and electronic devices and

•

shares. Price—$1.50.

writer—None.

of

Taylor Publishing Co.

general corporate purposes. Office

For

—

Fourth

Resources, Inc.

filed 500,000 capital

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¬

March 29, 1962 ("Reg.
Business—Manufacture

Spears

June

1962

withdrawn.

Bell

T., parent company, and for other
corporate purposes. Office — 1010 Pine St., St. Louis.
Underwriters—(Competitive). Probable bidders: Halsey,
Stuart & Co. Inc.; Morgan Stanley & Co. Bids—Aug. 7
•

Transarizona

May 28,

Business—Exploration, development and production of

advances from A. T. &

a.m.

goods. Proceeds—For debt repayment and gen¬

41

eral

Telephone Co. (8/7)
July 13, 1962 filed $100,000,000 of debentures due 1997.
Price—By amendment (max. 103%). Proceeds—To repay

(11

(413)

stockholder. Price—$3. Business—Manufacture and sale

Inc., 68

St., N. Y.

Southwestern

Financial Chronicle

The Commercial and

St., Nugent Highlands, Mass. Underwriters& Co., Inc., and Oppenheimer & Co., N. Y.

McDonnell

United Packaging Co.,

Inc.

29, 1961 filed 102,000 common.

Price—$3. Business

general packaging business. Proceeds — For new
machinery, debt repayment and working capital. Office
—4511
Wayne Ave., Philadelphia.
Underwriter—God¬

—A

frey, Hamilton, Taylor & Co., Inc.,

N. Y. Note

—

This

registration will be withdrawn.
United Telephone

Services, Inc.

1962 filed 150,000 class A common. Price—By
amendment (max. $5). Business—A telephone holding
company. Proceeds—For debt repayment, equipment and
working capital. Office—645 First Ave.. N. Y. Under¬
writer—J. R. Williston & Beane, N. Y. Offering—Post¬

March 30,

poned.
United Variable Annuities Fund,

Inc.

April 11, 1961 filed 2,500,000 shares of stock. Price—$10
per share. Business—A new mutual fund. Proceeds—For
investment. Office—20 W. 9th Street, Kansas City, Mo.
Underwriter—Waddell & Reed, Inc., Kansas City, Mo.
Offering—Expected in August.
Universal

Industries, Inc.

(8/9)

filed 100,000 common shares. Price—$5.
importation and distribution of Italian
marble and mosaic tiles.
Proceeds — For the purchase
and installation of new moulds, machinery and equip¬

Aug.

7,

Business

1961

—

The

April 2, 1962 filed TOG,000 common, of which 20,000 are
to be offered by 'company and 80,000 by stockholders.

ment, research and general corporate purposes. Office—
250 Goffle Road, Hawthorne, N. J. Underwriter—Edward

Price--By amendment

(max. $10). Business—Operation
cleaning and laundry plants. Proceeds—For debt
repayment. Office—1167-65th St., Oakland, Calif. Under¬
writer—Granbery. Marache & Co., N. Y.

Lewis

of dry

was

&

Co., Inc., N. Y. Note—This company
Aero-Dynamics Corp.

formerly

named

Continued

on

page

42

42

The Commercial and Financial Chronicle

(414)

•

Continued from page 41

Walston

Oct.

March

Redevelopment Corp.
29, 1962 filed 100,000 common.

ment.

Business—Company operates the "Kellogg Plan''

Urban

Aviation, Inc. (8/13-17)
30, 1961 filed 90,uuu common, oi wnich 60,000 are to

plies; also repairs and services various

v

Wolf

Corp.
Jan. 26, 1962 filed $4,500,000 of 6.5%

airplanes.

type

Proceeds

working capital. Office — 1959 S. LaCienega Blvd., Los
Angeles.
Underwriter—Holton, Henderson & Co., Los
Angeles.

Inc.

Feb. 14. 1962 filed 250,000 class
be offered in units

of

A and 250,000 common to

share of each class.

one

Price—

Business—Manufacture of urethane
equipment,
working
capital,
leasehold expenses and other corporate purposes. Office
—2300 Republic National Bank Bldg., Dallas.
Under¬
writer
First Nebraska Securities Corp., Lincoln, Neb.
$5.05

unit.

per

Proceeds—For

foams.

—

Offering—Temporarily postponed.'

(with attached warrants)
subscription by stocknoiders of class
A stock on the basis of $500 debentures for each 100
class A shares held. Price—$500 per'unit. ■ Business1—
Real estate. Proceeds—For debt repayment, and realty
acquisitions. Office—10. E. 40th St.* N. Y. Underwriter

Utah Concrete

Pipe Co.

1962 filed 110,000 common. Price — By amend¬
ment (max. $10). Business — Manufacture and sale of
concrete pipe, masonry products, corrugated metal pipe,
telephone conduit-and miscellaneous concrete products.
Proceeds—For debt repayment and working capital. Of¬
fice—379 17th St., Ogden, Utah.
Underwriter—Schwabacher & Co., San Francisco. Offering — Indefinitely
postponed.
Utah

June

Service

Gas

Co.

(8/1-3)

30,000 class A common. Price—By
(max. $10). Business—A public utility en¬

gaged in the purchase, distribution and sale of natural
in eastern Utah. Proceeds—For selling stockholders.

gas

Office—511 Deseret

Bldg., Salt Lake City. Underwriter—
Corp., Lincoln, Neb.

writer—Shields & Co., Inc.,
Temporarily postponed.

due 1982, of which up to $800,000 will be offered in
exchange for an equal amount of outstanding 6% first

mortgage bonds due 1975, and the balance, together with
any unchanged bonds, will be offered for public sale.
Price—At par. Business—A public utility engaged in the

purchase, distribution and sale of natural gas in eastern
Utah. Proceeds—For general corporate purposes. Office
—511 Deseret
Bldg., Salt Lake City. Underwriter—First
Corp., Lincoln, Neb.

U-Tell

Corp.
Sept. 18, 1961 ("Reg. A")
Business
Operation of
—

^3,(ft?"chmmon. Price
$5.
a discount department store.
—

Office—3629Teirtohi# Ave., Milwaukee, Wis.
Continental Securities

—

Under¬

Corp., Milwaukee, Wis.

Offering—Temporarily postponed.
Valu-Rack, Inc.
May 4, 1962 tiled 200,000 common, of which 100,000 are
to be offered by company and
100,000 by stockholders.
Price
$5. Business — Wholesale distribution and retail
merchandising of health and beauty aids, housewares,
—

kitchenwares, wearing apparel and other goods.
Office—2925

repayment.

St., Los Angeles.

Pro¬

S. San

Pedro

Underwriter—Garat & Polonitza, Inc.,

Los Angeles.
•

.

acquisition and general cor¬
purposes. Office—1290 Bayshore Blvd., Burlingame, Calif.
Underwriter—Pacific Coast Securities Co.,
an

porate

30,

1962 filed

100,000

common.

Manufacture, design and sale

Price—$4. Busi¬
of

metal

valves,

mixers, taps, etc., for vending machines. Proceeds—For
expansion, new products and other corporate purposes.
Office—204

Railroad Ave., Hackensack,
writer—Keene & Co., Inc., N. Y.
Verlan
March

1962

Worcester Gas

(max. $9). Business—Company processes plywood
into factory finished wall panelling. Proceeds—
Equipment, inventories and working capital. Address—
sheets

P. O. Box 329 Panel

Way, Longview, Wash. Underwriter
Co., Miami, Fla.

—Ferman &

N. J.

Under¬

Western

Pioneer

Work

1768
&

Co.

.'c

tubes.

Proceeds—For

equipment,

inventories

and

working capital. Office—729 Centinela Blvd., Inglewood,
Calif. Underwriter—Naftalin &
Co., Inc., Minneapolis.
Voron Electronics Corp.
filed 100.000 class A shares. Price
Business—The manufacture of electronic test

July 28, 1961

•

of

Ursula

small

business

St.,

Aurora,

Colo.

*

investment

Corp.,

......

indefinitely postponed.
Inc.

equipment

ment,

Price—$3.50. Busi—

working capital. Office—142 W.
26th St., N. Y. Underwriter — K-Pac Securities Corp.,

<•

•

e

sale,

installation

and

Feb.

12,

ment

real

Investments, Inc.

1962 filed

(max. $22).

400,000

common.

Price—By amend¬

Business—Company makes short-term

estate

loans, acquires, develops and sells land, and
engages in the mortgage loan correspondent business.
Proceeds—For selling stockholders. Office—1111 Hart¬
ford

Bldg..

Dallas.

Underwriter—Harriman

Ripley

Co., N. Y. Note—This registration is being withdrawn.




&

general

New York.

Zero

? '

corporate

purposes

Office—383

,

Madison

Note—This ^registration wsa withdrawn;

Mountain,

Zestee

June

industrial, commercial and household applica¬

Offering—Temporarily postponed."

,

Property Corp.

Inc.

r.

writer—Don D. Anderson &

selling stockholders. Office—7500
Thomas Blvd., Pittsburgh. Underwriters—Eastman Dil¬
lon, Union Securities & Co., N. Y., Moore, Leonard &
Lynch, Pittsburgh and Reinholdt & Gardner, St. Louis.

Underwriter—Lehman

<

7.7" 7'

,

30, 1962 ("Reg. A") 100,000 common. Price—$3.
Business—Operation of underground cold, storage facil¬
ities. Proceeds—Expansion, debt repayment and working
capital.
Address—Box 594, Fayetteville, Ark.
Under¬

Co.

Proceeds—For

E.

Office—114

purposes.

D. A. Bruce & Co., N, Y.

March

Co., N. Y.

Foods, Inc.

1962: ("Reg.

8,

Co., Inc.; Oklahoma City.

*

,

A")

85,700

Price—$3.50.

common.

Business—Manufacture and sale of jellies and preserves.
1

Proceeds—For

equipment, advertising, plant expansipn
inventory. Office—2808 S. Western Ave^/Oklahoma
CRy, Underwriter—F. R. Burns & Co., Oklahoma City.

and

7*7

Wiener Shoes Inc.

stores.

Proceeds—For

debt

expansion and
working capital. Office — 808 Dakin St., New Orleans.
Underwriter
Howard, Weil, Labouisse, Friedrichs &
Co., New Orleans.
—

20,

1961

("Reg.

Business—Custom

molding

of

payment

materials.

general

Do you have
•

-

Our

Price—$3.

common.

transfer

and

Proceeds—For

corporate

purposes.

prepare

can

an

item

issue

Atlantic

.

Winslow Electronics, Inc.
Dec. 28, 1961 filed 125,000 common. Price—$4. Business
of

repayment

electrical and
equipment. Pro¬

precision

and

test

other

us

at

REctor

or4

at 25 Park Place, New York 7, N. Y.

Prospective Offerings
June

manufacture

telephone

:

:

re¬

of

measuring devices and

you

us

7

.

Office—180

common.
Price—$1.25.
full-length motion pictures.
Proceeds—For new films, debt repayment and working
capital.
Office—1025 Connecticut Ave., N. W., Wash¬
ington, D. C. Underwriter—To tee named. '

debt

we

.

like;

would

2-9570

write

Business—Production

ceeds—For

Department

/

Willpat Productions, Inc.
May 9, 1962 ("Reg. A") 160,000

and

News

injection
debt

•

—Design

issue you're planning to register?

similar to those you'll find hereunder.

Kingsland Rd., Clifton, N. J. Underwriters—Leib, Skloot
& Co., Inc., Clifton, N. J.
7

electronic

an

Corporation

to know about it-so that

Would

100,000

compression,

plastic

and

A")

ATTENTION UNDERWRITERS!

*
-

repayment,

Wiggins Plasties, Inc.
$3.

—

Wallace

tions.

—

Ave., N. Y. Underwriter—Harriman -Riplev &■ Co / Inc.,

drug stores. Proceeds—Expansion, equipment and work¬
ing capital. Office—738 Bellefonte Ave., Lock Haven, Pa.

ments for

Zeckendorf

—For

Inc.

(Edwin L.)

corporate

March 30, 1962 filed 100,000' class B common., Price—By
amendment (max. $16). Business—Real estate. Proceeds

Oct. 27, 1961 filed 162,000 common, of which 102,000 are
to be offered by
the company and 60,000 by stock- holders. Price—$3. Business—Operates a chain of retail

Underwriter—Godfrey, Hamilton, Taylor &
Offering—Temporarily postponed.

,

Brothers, N. Y. Offering—Temporarily postponed.-,

New York.

(L. F.,)

general

St., N, Y. Underwriter

—One Mercer Rd.. Natick, Mass.

•

For debt repay¬

and

'

475,000 common, of which 175,000
are to be offered by company and 300,000
by stockhold¬
ers.
Price—By amendment (max. $20). Business—Op¬
eration
of self-service department stores and apparel
specialty stores. Proceeds—For. working capital. Office

appliances.
Proceeds — For selling stockholder
(Radio Corp. of America). Address — Benton Harbor,
Mich. Underwriter—Lehman Brothers, N. Y. Note—This

common.

/

.

Zayre Corp.
April 20, 1962 filed

home

100,000

<

(7/31)

Corp.

Wulpa Parking "§y$tems^ Inc.
7 > 77-y
,77 1962 ("Reg7 A ) So,(JOG common.
Price—$4.
Business—Company plans to manufacture and operate in
the U. S. a parking device called the "Wulpa Lift."
Proceeds—For manufacture, purchase or lease of loca¬
tions and working capital.
Office—370 Seventh Ave.,
N. Y. Underwriter—-I. R. E. Investors Corp., Levittown,
New York. !
7 v
"
.'
' '

Whirlpool Corp.K
April 25, 1962 filed 1,000,000 common. Price—By amend¬
(max. $30,125). Business—Manufacture and sale of

July 13, 1962 filed

Financial

June

ment

ness—Photo-offset printing. Proceeds

subord. debentures due 1972. Price—

registration will be withdrawn.

ceeds—For

Aurora, Colo.

was

conv.

Mar. 22, -1962 filed 61,000-common. Price—$5. Business
—Financing of commercial accounts receivable/ Pro¬
40th

Office—403

Underwriter—Westco

Underwriter—Hornblower

Scope Publishers, Inc. ; y :
1961 filed 100,000 common shares and $350,000

Worth

filed 32,000 shares of beneficial interest
Business—A

Cleveland.

$6;, for debentures $90. Business—Publishing
encyclopedias and other reference books. Proceeds

This

Western States Real Investment Trust

Proceeds—For investment.

St.,

debt repayment, working capital and other cor¬
porate purposes. Office—290 Broadway, Lyribrook. N Y.
Underwriter—Standard Securities Corp., N. Y. Note—

Office—144 S. 12th St., Lincoln, Neb. Underwriter
—Paine, Webber, Jackson & Curtis, N. Y.

Price—$6.25.

25th

—For

poses.

1961

Corp.

For; stocks:

Power & Gas Co.
(7/31)
12, 1962 filed 150,000 cumulative preferred (no
par). Price—By amendment (max. $50). Proceeds—For
prepayment of bank loans, redemption of 4Y4% debentures due 1970, construction and other
corporate pur¬

13,

E.

of 6% senior

Western

Nov.

Wear

World

June

Oct.
—

equipment,
servicing of industrial and
commercial communications equipment and the
furnish¬
ing of background music. Proceeds—For
tooling, pro¬
duction, engineering, inventory and sales promotion of
its products and for
working capital.
Office — 1230 E.
Mermaid Lane, Wyndmoor, Pa. Underwriters
John
Joshua & Co., Inc., and
Reuben, Rose & Co., Inc., N. Y.
ti

^

Weeks, N. Y. Offering—Temporarily postponed.

July 31,

to be offered

April 2, 1962 filed 80,000 common. Price— By amendment (max. $11). Business—Operation of a chain of shoe

—

ture

*

rv

1962 filed 130,000 common. Price1—By amend—
ment (max. $27). Business — Manufacture and sale of
work clothing. Company is also engaged < in industrial
laundering and garment rental. Proceeds—For debt re¬
payment, acquisitions and working capital. Office —

by the company and 196,750 by stock¬
holders. Price—By amendment (max. $42). Business—
The making of loans secured by first liens on real estate.
Proceeds—For debt repayment. Office — 3243 Wilshire
Blvd., Los Angeles. Underwriter — Kidder, Peabody &
Co., N. Y.
......
are

Wiegand
common,

—

.

•

f

Mar. 26,

Lithographers, Inc.
'
March 30, 1962 ("Reg. A") 120,000 common." Price—
$2.50, Business—General printing and lithography. Pro¬
ceeds—For equipment, debt repayment, and inventory.
Office—3407 N. El Paso, Colorado Springs, Colo. Under¬
writer—Copley & Co., Colorado Springs, Colo.

Video Color Corp.
April 6, 1962 filed 1,000,000 common. Price—$1.15. Busi¬
ness—Development, manufacture and distribution of pic¬

■

( 8/15)

Kidder.

March 30, 1962 filed 606,450 common. Price—By amend¬
ment. Business—Manufacture of electrical heating ele¬

89,500

Light Co.

bidders:

March 30, 1962 filed 135,000 common. Price—By amend¬

of which 80,000
are
to be offered by
company and 9,500 by a stock¬
holder.
Price
By amendment (max. $5.50).
Busi¬
ness
Preparation and production of books; catalogues
and
other
printed material.
A
subsidiary publishes
photography books. Proceeds—For expansion, debt re¬
payment and other corporate purposes. Office
915
Broadway. N. Y. Underwriter—Searight. Ahalt & O'Con¬
nor, Inc., N. Y. Offering—Indefinitely
postponed.

filed

} v;

—

bridge, Mass. Underwriters — (Competitive).; Probable
First Boston Corp.; Halsey, Stuart & Co. Inc.;
Peabody & Co.-White, Weld & Co. (jointly).
Bids—Aug. 15, (11:30 a.m. EDST) at above address. In¬
formation Meeting—Aug. 9, 1962 (10:30 a.m.'EDST) at
60 School St., Boston.

Co.

ment

Publications, Inc.

30,

-J

•:

-

payment and construction. Office—130 Austin St., Cam¬

Panel

Welsh

Widman

Vending Components, Inc.
—

-

side, N. Y. Underwriter—First Philadelphia Corp., N. Y.

San Francisco.

ness

Corp.

June 29, 1962 filed $5,000,000 of first mortgage sinking
fund bonds, series D, due 1982. Proceeds—For debt re¬

White Photo Offset,

12, 1962 ("Reg. A") 300,000 common. Price — $1.
Business—Manufacture of coin operated vending ma¬

March

Securities, Inc., 10 East 40th St.;, New York.

Wolverine Aluminum

By amend¬
ment (max. $6.50). Business—Processing ahd manufac¬
turing of aluminum building products/Proceeds—For a
new building and equipment. Office—1650
Howard St.,
Lincoln Park. Miqh. Underwriter—F¥ J. Winckler & Co.,
Detroit. Offering—Expected in mid-August.
x'\. ';7 7 "V

Baby, Inc.' •
28, 1961 filed 75,0G0 common. Price—$2. Business
—Company renders direct mail public relations, sales
promotion and advertising services to mothers on behalf >

offering

Proceeds—For

Y.

for

March 5, 1962 filed 100,000 common.-Price

Welcome

Vendex, Inc.

Jan.

chines.

'

Dec.

company.

ceeds—For debt

N.

offered

be

—S. E.

cargoes.

working cap¬
Ala. Under¬
(mgr.). Offering—

Feb. 19, 1962 filed 371,750 capital shares of which 175,000

Utah Gas Service Co.

June 18, 1962 filed $1,100,000 of 6% first mortgage bonds

Securities

111.

Proceeds—For the purchase of vessels, and
ital. Office—71 Saint Joseph St., Mobile,

First Nebraska Securities

Nebraska

liner-type

of

carrying

to

Western

1962 filed

18,

amendment

writer

Business—The

Alton,

'

of retail stores. Proceeds—For debt repayment and gen¬
eral corporate purposes. Office—210-07 48th Ave., Bay-

Feb. 8,

•

Office—Civic Memorial Airport, E.
Underwriter—White & Co., Inc., St. Louis.

poses.

ment.

Urethane of Texas,

and general corporate pur-

expansion

convertible sub¬

ordinated debentures due 1977

Waterman Steamship Corp.
Aug. 29, 1961 filed 1,743,000 common. Price—By amend¬

For

—

Thursday, July 26, 1962

writer—Amos Treat &

by the company and 30,000 by a stockholder.
Price—$6.25. Business—Sells Cessna Airplanes and sup¬

provides 100% financing and construction through
a single source for renewing older residential properties.
Proceeds—For
debt
repayment,
sales financing and
which

.

Office—1005 First Ave., Asbury Park, N. J; Under¬
Co., Inc., N. Y.
v

poses.

be offered

Price—By amend¬

.

.

corporate

pur¬

Coast Line

RR.

;

(8/15)

13, 1962 it was reported that company plans to
approximately $3,540,000 of 1-15 year equipment

certificates. Office—220 E. 42nd .Stv, New York.
Underwriters—(Competitive). Probable bidders: Halsey,
Stuart & Co. Inc.; Salomon Brothers & Hutzler. Bids—
Expected Aug. 15 (12 noon EDST).
trust

.

t

-

.

.

,

Belt

Railway Co. of Chicago (8/2)
^
July 18, 1962 it was reported that this company plans to
sell $37,250,000 of first mortgage sinking fund bonds,
series

A,

due Aug. 15, 1987.

Office—Dearborn Station,

Volume 196

Number 6180

.

.

The Commercial and Financial

.

Chronicle

(415)

43

v

Chicago. Underwriters — (Competitive). Probable bid¬
ders: Kidder, Peabody & Co.-New York Hanseatic Corp.
(jointly); Salomon Brothers & Hutzler; Halsey, Stuart
& Co. Inc.; First Boston Corp. Bids—Aug.
2, 1962 (12
noon CDST) at the company's offices.
Central

Illinois

July 10, 1962 it
to

issue

1963.

about

Public

Service

Co.

'

reported that this company plans
$10,000,000 of first mortgage bonds in
was

Proceeds—For

bidders:

construction. Office—607

Eastman

E. Adams

Dillon, Union Securities & Co.-

Equitable

Securities Corp. (jointly); Blyth & Co.-KidPeabody & Co.-Merrill Lynch, Pierce, Fenner &
Smith Inc. (jointly); Halsey, Stuart & Co. Inc.* Salomon
Brothers & Hutzler; First Boston Corp.; Lehman Brothers-Bear, Stearns & Co." (jointly).
? 1- •.0'
f
Columbus

1961

11,

Small

Capital Corp.
it was reported

v

•

-

that this /newly formed
Co., plans to sell $10 to $20
in the late spring. Office—297

Business Investment

million of

South

named.'

stock

common

High

Columbus,

St.,

O.

Underwriter—To be
1 [
V; '

-

-

Consumers

June

reported that this company plans to
sell about $40,000;000 of securities; probably first mort- '
gage bonds in the 4th quarter. Proceeds—For construction..
Office;—212 West Michigan Ave., Jackson, Mich. Under¬
writers^ (Competitive)^Probable bidders: Halsey, Stuart
& Co. Inc.; White, Weld & Co.-Shields & Co. (jointly); \
Harriman Ripley &rCo. tnc;-First Boston Corp. (jointly); •
Morgan Stanley & Co.
; '
;
^
was

Delaware Power & Light Co.
March 9, 1962 it was reported that the company

10 shares held. Based

on

standing on Dec. 31,^1961, the
418,536 shafes: Proceeds—For
Market St., Wilmington, Del.
tive). Probable bidders:^ Carl

Florida Power

March 19,

the number of shares out¬

sale would involve about

"

'

'

-

'

'

was

—

About $20 per

share. Proceeds—To repay a $4,500,000 demand loan, and
other corporate purposes. Office—Miami International

Inc., N. Y? Offering—Expected in October, 1962.

Pierce, Fenner & Smith Inc., New York.

May

11,

stockholders

1962

issue 756,000 shares of

the

company

to

rights on a l-for-10 basis. Price—By amendment.
Business—Development ahd operation of shopping cen¬
ters. Proceeds—>Tp retire outstanding 6% preferred stock

.

/■

-.

-

Georgia Power Co.
On Jan. 12. 1962

it

two

.

to the

Nevada Northern Gas Co.

was reported that this subsidiary of
Corp., plans to sell $2,000,000 of common
Las Vegas Blvd., South, Las Vegas,
,Nev, Underwriter—Eastman Dillon, Union Securities &
Co., N. Y.
\

Feb,

it

1962

28,

Southwest Gas

stock.

(11/7)

bonds in November.
Office—27Q Peachtree
Bldg.. Atlanta, Ga. Underwriters—(Competitive). Prob¬
able bidders: Halsey, Stuart & Co., Inc.: Harriman Rip¬
ley & Co.. Inc.: Blyth & Co.. Inc.; Kidder, Peabody &

mortgage

Cq.-Shields & Co. (jointly); Equitable Securities Corp.Eastman

Dillon, Union Securities'& Co.

Boston Corp.; Lehman

Bids—Expected
Oct. 5.

Nov.

(jointly): First
Brothers: Morgan Stanley & Co.
7. • Registration—Scheduled * for

i:

;

Office—2011

(11/7)

-

.

,

Illinois

Power

of debt

reported that this utility expects to
securities in late 1962 or early
1963. Office—500 South 27th St., Decatur, 111. Under¬
writers—To be named. The last sale of bonds on May 21,
1958 was made through First Boston Corp. Other bidders
were:
Halsey. Stuart & Co. Inc.; White, Weld & Co.$25,000,000

Merrill

Lvnch,

Pierce, Fenner & Smith, Inc.

Co.

Vk-Norfolk & Western Ry. (8/1)
July 24, 1962 it was reported that this road plans to
sell $7,950,000 of 1-15 year equipment trust certificates.
Office—8 North Jefferson St., Roanoke, Va. Underwrit¬
ers—(Competitive). Probable bidders: Salomon Broth¬
ers & Hutzler; Halsey, Stuart & Co. Inc. Bids—Aug. 1,
1962 (12 noon EDST)
in Room 1015, 6 Penn Center,

ley & Co., Inc.-Glore, Forgan & Co. (jointly),
Jamaica

Water

March

20,

to

$3,000,000

sell

lu62

it

Supply Co.
was

of

reported

that

this

mortgage bonds and

utility ■plans
$2,000,000 of

preferred and common stocks. Proceeds—For debt re¬
payment, and construction. Office
161-20 89th Ave.,
Jamaica, N. Y, Underwriters—To be named. The last

World Airways,

de¬

Inc.

holdings of
However, it said Pan Am must

Airlines, Inc.

selling the stock within one year and complete the
15, 1964. The stock was originally obtained
a
Sept. 9r 1958 agreement under which the two '
carriers agreed to a share-for-share exchange of 400,000
shares and lease of each other's jet planes
during their
respective busiest seasons. The CAB later disapproved
this plan and ordered the airlines to divest themselves
the

of

stock.

Office—135

East 42nd

St, N. Y. Under¬

writer—Merrill Lynch, Pierce, Fenner & Smith Inc.
Panhandle Eastern
March

*

8,

1961

it

Pipe Line Go.
reported' that this

was

company

ex¬

pects to sell about $72,000,000 of debentures sometime in
1962, subject to FPC approval of its construction program.
Office—120 Broadway, New York City. UnderwritersMerrill Lynch, Pierce, Fenner & Smith
Ine., and Kkider
Peabody & Co., both of New York City (mgr.). Offering
—Expected in the fourth quarter of 1962.

Pennsylvania Power A Light Co.
Feb. 20, 1962 Jack K. Busby, President and C. E.
Chairman, stated that the company will require

Oakes,
about
$93,000,000 in debt financing in the period 1962 to 1970.
Proceeds—For construction

000,000

and

the

retirement of $17,-

of

maturing bonds. Office—9th and Hamilton
Sts„ Allentown, Pa. Underwriters—To be named. The
last

sale

of

bonds

Nov. 29.

on

1961

was

won

at

com¬

petitive bidding by Whiter-Weld & Co., and Kidder,
Peabody & Co. Other bidders were Halsey, Stuart &
Co.

Inc.; First Boston

Public

Coip.-Dre^el ^Cb. (jointly)..

Service Co.

1962 it

of

^

Colorado

reported that this company plans

was

through subscription rights during the fourth

ers

ter of 1962

or

quar¬

the first quarter of 1963. Office—900

15th

St.,

Denver, Colo. Underwriters — First Boston Corp.,
Blyth & Co., Inc., and Smith, Barney & Co.. Inc.
Public

Service Electric & Gas Co.

(8/21)
1962 it was reported that this comnany is
considering a public offering of $40,000,000 of first and
refunding mortgage bonds, due Aug. I, 1992. Proceeds—
For construction.
Underwriters—(Competitive). Probable
bidders: First Boston Corp.; Halsey, Stuart & Co. Inc.;
White, Weld & Co.-Blyth & Co., Inc.-Goldman, Sachs
& Co.-Harriman Ripley & Co., Inc.
(jointly). Bids—
Aug. 21, 1962 (11 a.m. EDST) in Newark, N. J.
'
On

June 26,

„

San

Diego Gas & Electric Co.

March 39,
sell

to

1962

San
•

1962 it

about

to

raise

was

500,000
some

reported that this company plans

stockholders

to

common

$17,500,000.

Office—861

late

in

Sixth

Ave„

Diego, Calif. Underwriter—Blvth & Co., Inc., N. Y

Southern California Edison Co.

July

3,

to sell

1962

it

was

reported

that

this

company

plans

$50,000,000 of first and refunding mortgage bonds,

P, due 1987. Proceeds—For debt repayment and
construction. Office—601 W. 5th St., Los Angeles. Under¬

writers—(Competitive). Probable
First Boston Corp.-Dean Witter &
Stuart & Co. Inc.; Kuhn, Loeb &
ties Corp. (jointly). Note — The

bidders: Blyth & Co.,
Co. (jointly); Halsey,

Co.-Equitable Securi¬
bnod sale, previously

scheduled for Aug. 28, has been postponed.

Southern

the

Jan.

Electric

Generating Co. (11/28)
reported that this subsidiary of
plans to offer $6,500,000 30-year first

12, 1962 it

Southern Co.

mortgage

bond3

was

in November.

Office—600

N.

18th

St.

Birmingham, Ala. Underwriters—(Competitive) Prob¬
able bidders: First Boston Corp.; Halsey Stuart & Co.,
Inc.; White, Weld & Co.-Kidder, Peabody & Co. (jointly)
Merrill Lynch, Pierce, Fenner & Smith Ine.-Blyth &
Co., Inc. (jointly); Eastman Dillon, Union Securities &
Co.-Equitable Securities Corp.-Drexel & Co. (jointly);
Morgan Stanley & Co. Bids—Expected Nov. 28. Regis¬
tration—Scheduled

for

Nov.

Southern Railway Co.

(jointly);

Eastman Dillon. Union. Securities & Co.; Harriman Rip¬

of

negotiated

start

On

Nippon Telegraph & Telephone Public Corp.
July 3, 1962 it was reported that the Japanese Finance
Ministry has authorized the company to issue an addi¬
tional $20,000,000 of bonds in the U. S., by the end of
1962. Business—The company was formed in 1952 to take
over from the Government the furnishing of public tele¬
phone, telegraph and related communication services in
Japan, and is the only company furnishing such services
in Japan; Office—Tokyo, Japan. Underwriters—Dillon,
Read & Co., Inc.; First Boston Corp.; Smith, Barney &

was

sell

York, Chicago & St. Louis RR. (8/8)
On July 17, 1962 it was reported that this road plans to
sell $2,600,000 of equipment trust certificates. Office—
Terminal Tower Bldg.,' Cleveland,
O. Underwriters—
(Competitive). Probable bidders: Salomon Brothers &
Hutzler; Halsey, Stuart & Co. Inc. Bids—Aug. 8, 1962
(12 noon CDST) at 905 Terminal Tower Bldg., Cleve¬
land.

Co.

Fefe. 28. 1962 it

sale
a

series

New

On Jan. 12, 1962 it was reported that this subsidiary of
the Southern Co. plans to offer $7,000,000 of preferred
stock in November.
Office—270 Peachtree Bldg., At¬

lanta, Ga. Underwriters—(Competitive). Probable biddels:
Blyth & -Co.; Inc.: First Boston Corp.; Morgan
Stanley & Co.; Eastman Dillon, Union Securities & Co;Equitable Securities Corp. (jointly); Lehman Brothers.
Bids—Expected Nov. 7.
Registration—Scheduled for
Oct. 5. •
'• ' •"
•

England Power Co.
May 8, 1962 it was reported that this utility plans to sell
$12,000,000 of 30-year first mortgage bonds in Novem¬
ber, 1962. Proceeds—For debt repayment and construc¬
tion.
Office^-441
Stuart
St.* Boston. Underwriters—
(Competitive). Probable bidders: Halsey, Stuart & Co..
Kidder, Peabody & Co.-White, Weld & Co. (jointly);
Inc.; Merrill Lynch, Pierce, Fenner & Smith Inc.Lehman Brothers-Equitable Securities Corp. (jointly);
First Boston Corp.; Kuhn. Loeb & Co.

;i-

Georgia Power Co.

National

New

reported that this subsidiary of
the Southern Co. plans to offer $23,000,000 30-year first
was

on

to sell abbut $30,000,000 of common stock to stockhold¬

,

.

Pan American

March 9,

*

Underwriter—Dillon, Read & Co. Inc., New York City.

■?'

last

Pacific Northwest Bell Telephone Co. (9/11)
July 3, 1962 it was reported that this A. T. & T. sub¬
sidiary plans to sell $50,000,000 of debentures due Sept.
1, 2002. Proceeds — For reduction of debt due Pacific
Telephone & Telegraph Co. Office — 1200 Third Ave.,
Seattle, Wash. Underwriters — (Competitive). Probable
bidders: Morgan Stanley & Co.;
Halsey, Stuart & Co.
Inc. Bids—Expected Sept. 11,

Lynch,

.

purchase up to $6,000,000 convertible, debentures of
Major Realty Corp., an affiliate. Office—223 East Alleg¬
hany Ave., Philadelphia. Underwriter—To be named.
The last rights offering in December 1957. was- under¬
written- by Eastman Dillon, Union Securities
Co.,
■

Underwriter—Merrill

natural gas pipeline systems extending from
Chicago metropolitan area. Proceeds—For
expansion.
Office — 122 So. Michigan Ave., Chicago.

of

Texas

and

?,

Fla.

June. 12, 1963 it was reported that this subsidiary of
Peoples Gas Light & Coke Co., plans to sell $35,000,000
of senior securities later this year. Business—Operatioh

.

new

tion

New York.

59,

Natural Gas Pipeline Co. of America

^

authorized

Miami

Airport.

convertible preferred stock
which will be offered to Stockholders through subscrip¬
a

The

under

The last rights Offering of com¬
May 4, 1959 was Vo^^titten ^by Kidder,'.Pea¬
body & Co», and Merrill Lynch, Pierce, Fenner & Smith

Food Fair Properties, Inc.v

named.

sale by July

.

on

be

Nov. 16>

1960 was handled
basis by Blyth & Co., Inc.» N. Y.

25, 1962 it was reported that New England Electric

divest themselves of the stock. Price

writers—To be named.
mon

on

Oct. 30, 1961 it was reported that the CAB had
approved
the* company's plan to sell its 400,000 share

National Airlines, Inc.
May 8, 1961, it was reported lhat the CAB had approved
the company's plan to sell publicly 400,000 shares ol
Pan American World Airway's lnc.» subject to final approval of the Board and the SEC. The stock was or¬
iginally obtained under a'Sept. 9, 1958 agreement under
which the two carriers agreed to a share-for-share ex¬
change of 400,000 shares and the lease of each others jet
planes during their respective busiest seasons. The CAB
later disapproved this plan and ordered the airlines to

'

Co.•"

Underwriter—To

bentures

?
(8/27)

merging companies. Office—441 Stuart St., Boston.. Un¬
derwriters—(Competitive). Probable bidders: (Bonds)—
Merrill Lynch, Pierce, Fenner & Smith Inc.-Eastman
Dillon, Union Securities & Co. (jointly); Halsey, Stuart
& Co. Inc.; First Boston Corp.-Kidder, Peabody & Co.Blyth & Co. Inc.-White, Weld & Co. (jointly).
(Pre¬
ferred)—Merrill Lynch, Pierce, Fenner & Smith Inc.Eastman Dillon, Union Securities & Co. (jointly); Kidden, Peabody & Co.-White,Weld & Co. (jointly). Bids—
Aug. 27, 1962 (12 noon EDST).

reported that this company plans
to offer* stockholders the right to subscribe for about
457,26? additional- common shares on a l-for-20 basis.*
Office—101 Fifth-St?,"South, St. Petersburg, Fla. Under- *

1962 it

Neb.

System, parent, plansr to merge Lynn Electric Co., .Merri¬
Electric Co., Suburban Electric Co., and
The latter, as survivor, would
then issue up to $60,000,000 of first mortgage bonds, and
$7,500,000 of preferred stock. Proceeds—To redeem cer¬
tain outstanding bonds, notes and preferred stock of

has post¬

bonds

Boston

28, 1962 it was reported that the company's 1962
expansion program will require about $40,000,000 of
external financing to be obtained entirely from
long
or short term borrowing. Office—2223
Dodge St., Omaha,

Massachusetts Electric Co.

construction. Office—600
Underwriters—(Competi¬
M. Loeb, Rhoades & Co.;
W^ C. Langley •& Co.-Union Securities Co. (jointly);
Lehman- Brothers;^ First Boston Corp.; White, Weld &
Co.-Shields & Co.,',(jointly)Kidder, Peabody & Co.Merrill Lynch, Pierce, Fenner & Smith Inc. (jointly).
r'

1

.

of

on
July 14. 1960, was
Corp. Other bidders were:
Halsey, Stuart & Co., Inc.; Blyth & Co., Inc-Equitable
Securities Corp. (jointly); Glore, Forgan & Co.

mack-Essex

poned until early Spring of 1963 its plan to issue addi¬
tional common stock;
The offering would be made to *
common stockholders first on the basis of one share for
each

/'

,

Massachusetts Electric Co.

K'.JrK*•' '-\

Power Co.. 1

Juiie 14, 1962 it

Weld & Co.
•

sale

First

Northern Natural Gas Co,

6, 1962 it was reported that this company plans to
sell $11,000,000 of first, mortgage bonds due 1992 in the
fourth quarter. Address—Madison Ave., at Punch Bowl ♦,
Rd., Morristown, N. J.; Underwriters — (Competitive).
Probable bidders: Firist Boston Corp.; Halsey, Stuart &
Co. Inc.; Eastman Dillon, Union Securities & Co.-Salomon Brothers & Hutzler-Merrill Lynch, Pierce,
Fenner
& Smith Inc. (jointly}; Kidder, Peabody & Co.; White,

-

last

by

Feb.

June

,.

Dec.

-

<

Jersey Central Power & Light Co.

der,

The

handled

supply long-term funds to Japanese industry for the
promotion of economic reconstruction and industrial de¬
velopment. Office—Tokyo, Japan. Underwriters — First
Boston Corp.; Dillon, Head & Co. Inc.; Smith, Barney &
Co., Inc., N. Y;

St., Springfield, 111. Underwriters—(Competitive). Prob¬
able

named.

Japan Development Bank
July 3, 1962 it was reported that the Japanese Finance
Ministry has authorized the bank to issue an additional
$22,500,000 of bonds in the U. S.
It is expected that a
major portion of this financing will be completed by the
end of 1962. Business—The bank was incorporated in
1951 as a Japanese Government financial institution to

-

1.

(9/11)

June 12, 1962 it was reported

i

that this road plans to sell

$9,450,000 of 1-15 year equipment trust certificates in
September. This is the second instalment of a total $18,900,000 issue. Office—70 Pine St., New York. Underwrit¬

ers—(Competitive). Probable bidders: Halsey, Stuart &
Co. Inc.; Salomon Brothers & Hutzler. Bids—Sept. 11,
1962 (12 noon EDST).

—

sale of bonds

May 3. 1956 was made by Blyth & Co.
Other bidders were: Halsey, Stuart & Co. Inc.; Kidder,
Peabody & Co.; White, Weld & Co. ...The last several
issues
of

.

of

preferred

common

Philadelphia.
Northern Illinois Gas Co.

on

on

were

sold

May 9, 1956

Co., Inc.




privately. The last sale
made through Blyth &

was

.

Feb. 28,
to raise

1962 it was reported that the company expects
$125,000,000 to finance its 1962-66 construction

program.

About $25,000,000 of this, in the form of a debt
be sold in the second half of 1962. Office—

issue, will
615

Eastern

Ave.,

Bellwood,

111.

Underwriters—To

be

Windjammer Cruises, Ltd.
April 18, 1962 it was reported that the company plans
to register 90,000 ordinary shares. Price—$4. Business—
Operation of "Windjammer" sailing ship cruises. Pro¬
ceeds
For acquisition of additional vessels. Office —
P. O. Box 918, Nassau, Bahamas. Underwriter — J. X.
—

Magaril Coi. Inc.. N. Y,

.

Chronicle

The Commercial and Financial
44

quantities. Base prices of the ton-

16

Continued from page

production for the week

tons

July

I/, making a week-to-week

rlSmu°

jja|e are^inhngToncessioAs

by

91

Tnlv

onriori

1

P! tn??i a J■ ono

1,858,000 tons

7*qq7<A
(
this

Products

noTSf

of

rfl41qJL
above

nr

neriod

1961

concedes

Institute

The

h

y

Jh eS rinir.dv '22
Index

follows:

as

with

in

♦

July 21,

Index of

Ingot

Production for

59

.

—

Youngstown
Cleveland

Detroit

—

St. Louis

Southern

With

strong

a

on

79

weekly

of

Most producers

75.0

Total
Index

production

production

based

average

on

1957-1959.

for

Tax Reform Expects to Strengthen

.

Steel Demand

i
'

„r..u

,u

,

.

,

,1

,

-

.

.

With the steel industry at dead

I

slow season,
*ii

steelmakers

are

hope-

^fPrecJa^101} *ax reform

^

'

traditionally

this

during

center

j

will strengthen fourth quarter de-

;

said this

Steel magazine

[mand,

look for a defi¬
nite pickup in new orders and
shipments for August. But, with
the market still slack, late July

or?frs are, trjckRnS *n
Many steelmakers still

have

only about 50 to 60% of the orders
they expect to receive for August
delivery. In the case of cold-rolled

faf

1

alread+y feelfng

,s

of the

The

nation's

steelmaking

rate

tufned d(T^ard 1ft Tfk fl

I

^

sales lagged. Steel estimated ingot

3

output dropped

10,000 tons from
week's total. Output

the previous

i slightly higher +^XPe+K
1
nnn
than the 1,360,000
!

*°?s Pou^ed last week.
In contrast
Steel's price
posite

com-

the key grade of steel-

on

making scrap, No. 1

J5I 5°J£

heavy melt-

WlS-IP f67. cents *°

mid-

gross t°n, highest since

•

J**
analysts. see. steelfs ?s
bellwether of
upturn in
a

an

malting.

increasing

said.
for

1

means

ground-

the

expect only gradual improvement in sales. Now they're

makers

only

running

slightly

Construction

is

the

;

,

<

Demand for

plates, struc-

;,
All that's needed to get the market off center is a resurgence of

demand

for

sheets
next

c°me

Price

will

n-

It

when

delivery.

,

asked

t ton_

&

nage

the

However,

others are reducing
purchases, in some cases

August

497,660

of

This

was

on

firmed

auto
steel

up

„

_

,

Association

the

increase of 78,076 cars

an

de¬
crease of 75,646 cars or 13.2% be¬
low the
corresponding week in
1961, and a decrease of 109,154
cars

represented

18.0%

or

sponding

below

week

comparisons

weeks of
There

the

loaded with

These
as the

Overall, auto steel orders have
Plcke£ UP some momentum. Severa* buyers have already given
rnills orders for September dellveryshowing

are

figure

Compared with 1961 levels, out¬

conditions

have

com-

reduction in their sales,

ordering

lightly

for

August

a

are
de-

some cases, warehouse
are

still heavv. As

a

some have postponed plans
in Aupgust.

Sheet? and plates.
sheets anqriUnfotArS
Steel
on

said

some

line

0n




sold

-

Auto

i Jan- 1
and^
last

of

in

cut
high

large

Auto

Model

Changeover

Now Taking Place

output in the u<

g

gince

a list brief spurt
receding into its annual

changeover,

beginning

in

force this week, Ward's Automotive Reports said in its latest

weekly

survey.

May 10 of this year.,

216,339

to 271.74 from

Orders

218,953

the

1962

bv

energy

electric

the

reported

more

revenue

month-ago level of 270.92, the
index
remained slightly
lower than on the similar day last
current

light

industry for the week
July 21, was esti¬
mated at 16,759,000,000 kwh., ac¬
cording to the Edison Electric
Institute.
Output was 10,000,000
kwh.

than that of

more

week's

vious

kwh.

000

total

and

of

the

that

pre¬

16,749,000,-

kwh.,

930,000,000

above

5.9%

or

when it stood at 271.85.

year

power

Wholesale Food Price Index

ended Saturday,

the

of

com¬

parable 1961 week.

Edges Above Prior Week
The wholesale food

price index,

&

Bradstreet,

compiled

in I960.:

and industrial
286 in tjiq wqek

commercial
to

rose

•

wheat,

flour,

were

failures

Dun

Moving higher in wholesale cost

Latest Week

cline,

by

Inc., inched up 0.5% to $5.90 on
July 24 but continued below com¬
parable year-ago levels.
It was
off 0.9% from $5.95 on the similar
date last year and close to the
$5.91

Business Failures Rebound in

Recovering from last week's de¬

cars

or

electric

of

amount

The

and

271.63 in the prior

ble

in 1961 Week

Than

distributed

Higher

above the compara¬

While

week.

Output 5.9%

Electric

corresponding

11,459

one

in

1960.

barley,

rye,

hams, - bellies, beans, peas, and
hogs.
These increases, however,
w&rdRahftbist offset by price de¬

in the pre¬ clines in
corn, oats, sugar, cotton¬
week,
reported
Dun
& seed
oil, cocoa, and potatoes.' 11
Bradstreet, Inc. However, casual¬
The
Dun
&
Bradstreet, Inc.
included in that week's over-all ties remained considerably below
wholesale food price index repre¬
total). This was an increase of the 343 occurring in the similar
sents the sum total of the price
2,528 cars or 28.3% above the cor¬ week last year although they ex¬
per pound
of, 31 raw foodstuffs
responding week of 1961 and 2,933 ceeded the 259 in 1960 and the
and meats in general use. It is not
cars or 34.4% above the 1960 week.
pre-war level of 251 in the com¬
a
cost-of-living index.
Its chief
Cumulative piggyback loadings parable week of 1939.
function is to show the general
for the
There was
no
first 27 weeks of 1962
change in the
trend of food prices at the whole¬
totaled 356,273 cars fdr an increase failures
involving
liabilities
of

highway trailers or highway con¬
tainers (piggyback) in the week
ended July 7, 1962, (which were

of

61,037

cars

or

20.7%

above the

corresponding period of 1961, and
71,409 cars or 25.1% above -the
corresponding

period

There

Class I

were

60

traffic

in

this

pared with

in

U.

1960.

S.

rail¬

originating this type
year's

58

week

com¬

and
in the corresponding week in
one

year

ago

ended July 19 from 253

ceding

$100,000
this

to

Last

size

225

of

51

American

in

Trucking

announced.

Truck

the

cor¬

1961,
the
Associations

tonnage

was

14.0% ahead of the volume for the

previous

of

week

this

The

year.

sharp week-to-week

tonnage in¬
largely to a return
to normal following the Independ¬
due

crease was

Day holiday which occured
Wednesday of the preceding
of

this

increase

is

This

year.

consistent

during

tonnage
that

with

comparable

survey

of 34 metropolitan

areas conducted
by the ATA De¬
partment of Research and Trans¬

port

Economics.

flects

tonnage

than 400

of

at

to

toll

The

terminal

showed

general

survey

increased

from

1961

terminals

tonnage
and

of

among

The only week-

retailers

decline occurred

to-week

struction,

down

con¬

More wholesalers and service
failed

substantial
levels

than

last year,

decreases

45.
con¬

while

from

1961

States

from

41

rose

the

Bureau

were

to

other

re¬

Pacific States held

casualties

almost

steady,

totalling 54 as against 53. Six of
the nine regions suffered notice¬

mates

Canadian

last

tonnage
localities,

levels,

while

casualties in the West North Cen¬
States

to

37

and

were

even

failures

with

edged

1961.

down

in the prior week,
off from 45 in the simi¬

from

lar week

held

a

esti¬
first
week in January 1962 are avail¬
able upon request to the Bureau
of the Census.

and Richmond

year-to-year-

New Business

Below

earlier.

10.3%.

Compared with the immediately

Incorporations Fall

Botk Previous; Month

-

and

fifth consecutive
month-to-month decline, new
business
incorporations
eased
Marking

down

2.3%

the

to

based

are

about 2,000

firms whose reports in

total cover

approximately 40,000 retail stores
United

the

in

which

firms

The

States.

14,904 in June, re¬

cooperating

are

weekly
larger

survey

this

in

of

part

are

survey

a

panel which later

furnishes

figures

basis. The

weekly figures are sub¬

trade
As
for

will

be
a

year

of
the

anticipated

is

1V2%.

exceed

are

years,

made

from

for total retail

seldom

previous

not available

comparisons

with

the

same

ago.

[Ed: Note: Dun. & Bradstreet's

nationally
tail
in

later

It

weekly data

week
>

panel.

basis

the

on

derived

the revisions

that

monthly

on k a

revision

monthly

cannot

Year-Ago Levels

of

estimates

sales

the weekly sales of

on

39

year

provide

week. Weekly sales
beginning .with the

exceed

tral

series pub¬
of
esti¬

new

a

which

of retail sales for the pre¬

ceding

com¬

year-ago

of

one

Commerce

not sizeable.

Atlantic

Middle

is

vey

at

of

lished by the U. S. Department

The

South At¬

45 from 37. In

to

gions, changes
While

considerably
in

and

stores

during the

States

July 14, 1962, were
$4.4 billion, by the
the
Census,
in its
Weekly Retail Trade release. This
represented about a 4% increase
from the previous week. This sur¬
estimated

prevailed in other lines.

The toll in the East North Cen¬

retail

all

of

ended

week

mates

from

39

to

in

United

estimates

experienced the largest

decrease—off

and
119.

sales

the

in

ject to

freight
for

4% Over Previous Week

and South Atlantic States did tolls

25.7, 18.4, 12.2,
11.3%, respectively. Baltimore

terminals

46

level. Jacksonville,

reflected

gains

increases lifted
manufacturers to

from

lantic

Gain

Total

re¬

a
year ago at 21
while 13 points reflected decreases

from the

milder

among

from
129

cerns

Weekly Sales of Retail Stores

more

throughout the country.
week

ap¬

of 1961.

while

the

level.

ably fewer failures than last year.
Only in the East North Central

report

handled

truck terminals

carriers

mon

The

remained

but

numerous

dipped to 82 from 88, those in the

years.

These findings are based on the

weekly

from

Wholesaling failures jumped to

ahead

of

week

258

to

38 from 22 and service to 29 from

Week

volume

climbed

than the
recorded in the corresponding

307

sale

of

36

year

toll

last

21,

week

a

preciably less

week

the

the

was

whose

truck tonnage in the
ended
July 14 was 2.5%

responding

below

ago. The week's
concentrated in cas¬
ualties with losses under $100,000

upturn

2.5% Compared

Year's

which held at 28

or more

continued

and

week

Truck Tonnage Up

Passed the 4,000,000 mark Louisville, Omaha,

week, taking

stalnless model
before

they've

grades

pipe

Annual

prices, helped to lift the
the highest level since

to

On July 23, the daily wholesale
commodity price index edged up

periods in past

seeing

rye,

186,335

is

centers,

1961

1962

and

in butter, hog

173,930
185,439

experienced

service

July 15,

July 7,

silver

for

203,800

The machinery market

steel

wholesale

and moderate rises

and steer

quotations

higher

Substantially

Shipments

building.

tural shapes,

Although the general wholesale

commodity price level slipped on
most days last week it turned up
again last Monday to register the
sixth straight week-to-week rise,
reported Dun & Bradstreet, Inc.

181,855

week

Reduced freight car building has
depressed the market for struc-

Continues Slow Weekly Climb

140,518

62

strong.

Wholesale Commodity Price Index

index

July 14,

to

Compared

197,588

tral

too

the

indicated:

weeks

on

not

for

feet

board

in

figures

Cen¬

South

West

Mountain.

May, the only increase in new in¬
corporations was registered in the
New England States.

at

the

are

of

thousands

ence

forced

u

9.4%

gained 1.2%.
Following

Construction steels, while moving fairly well, are hurt by the
slowdown
in
heavy
industrial
also

8.7%,
shipments
higher, and
orders

advanced

put

quantities.

steel

board

181,855,000

was

miners'

coal

fell

or

were

corre¬

distorted

of

1961

the

1960.

in

are

a

Intercity

Other steel buvers

the
feet.

of

announced.

Railroads

The loadings

of

.

,

regional associations. A year ago.

14

1960.

not

197,588,000 board feet com¬
pared with 140,518,000 in the prior
week according to reports from

freight in
totaled

July

day week.

53

have

14,

totaled

a

18.6% above the preceding holi¬

or

their usual needs.

some

LumberWoduction in the United
States in the week ended July

England,
and

tral

Output Rises 8.7%
Above 1961 Level

Lumber

only

major regions:

nine

the

of

in

occurred

1961

June,

New

during the latest week;

1962

revenue

cars,

American

taking only about one-quarter of
Also,

in

three

shippers cut into volume

some

from

charters filed

new

Production

ended

week

road systems

Pressure for heavier buying

weeks, sharply

^nU3ayand cold finished bars,
S^ee
r™ I!*??? °n
rolled

strength

suppliers

inventories

.

steel-makers to cut prices on sec-

Now

steel

of its normal A

for 70%

nomie"up ™Pthe'pressure fesu"'

recent

petitive

One of the major auto-

livery. In

Pressure Continues

j

be

prices

Some auto companies are makjng fajriy heavy buys for August

flrst.blg July

shipment.

prices

In

bars.

and

month

wr|»nlacev,
September

orders for

on

another factor clouding the

August outi0ok, the national
metalworking ^ekly rep0rts.

maker/has

terminals that vacation shutdowns
for

for

demands.

TT_i'i

steel buyi"g Plan« of automakerg are

cerned about their rising factory
inventories, are reducing order

line

should

thes0

strongest

galvanized
sheets,
wire
pipe, and reinforcing
bars is relatively good. Tin plate
releases
are
improving as canmakers prepare for peak seasonal
mesh,

meet

t

some hesitation about placing new
orders.
Appliance makers, con-

Uturals,
i

able

schedules

deiiverv

of

ahead

June's.
market.

Generally,

August.
tm

are

get.

on

down

Freight Data Distorted by

1963 models.

This

anticipated pickup
in production in late August and
September
is not materializing.
For the next few weeks, steel;

throughout
m

stin count

users

J:r?r s*ee* are
soecifications for production
had been expected,

as

Steel
work

I

Many

plants

* aew 0

.

close

week but not in the

rapid delivery exists

same

^ng steei in one to four weeks

depreciation changes-some

will

week

plants

staggered basis.

vacation

haven't increased from June lows.

orders he hadn't counted on ''

new

assembly

Corp.

week

The

begun to

taper output, expecting to end its
'62
model
making by July 27.

annual

An
us

tells

Motors has

American

second

weeks>

four

effect

manufacturer

I equipment

said.

the number of

rise

the

Geographically,

week-to-week gains were achieved

were

where six-week lead times

in

ghiD

*j.

a major steel company.

|

(Wise.) will show a 2.2% rise in
output from a week ago, Ward's

have been normal, mills can now

l^eek.
for mafty other products. An Iron
|j. Lastweek, toere.werejjpdica- }^e.;i monthly check of steel mill;,
| jtions it would.-Sai^l ftle sMes chief d^ve;ry jead times shows they
...

St. Louis and Janesville

Loading

days

few

a

The Iron Age reported

*

Motors,
with
three
Chevrolet division plants, at Wil¬

area,

one

Change in Coal Miners Vacation

steelmakers still can't count
upturn next month,
yesterday.

away,

91

—

Western

only

August

since

General

Buying Detected

87

last

work

resumed

June 30.

Rail

Weakening in August Steel

Two

tomorrow.

St. Louis and Wix-

week after vacationing

this

56

—

Cincinnati

(Mich.),

om

and more fabricating,
hurting independent fab¬
ricating shops.
more

84

.

overtime

Ford plants, at

Chrysler

89

.

Chicago

into

only

while

despite reports from a number of

Seven

have

meeting the import price

are

ing

57

.

half

a

which is

64

.

least

independent Texas produc¬

dozen

week

this week over last
of 16 Ford plants
worked daily overtime all
and will extend operations

its output

major American producers are do¬

69

Pittsburgh

Pt

reinforcing bars.
To counter import competition,

80

Buffalo

^^eal price?

ofj»

Motor

Ford

that

said

low Run,

on

July 21, 1962

North East Coast__

concentrated

ers

Week Ended

;;

The reason: The Soviet Bloc has
been flooding Western Europe
wfith steel at "bargain" prices.
Also mills in Belgium and Luxembourg, which have traditionally
on exports, have
been striving for a bigger piece

by

production

Ingot

Districts for week ended

1962,

tons

Ward's

Co. has scheduled a 5.5% increase
week.

Products include
reinforcing bars, slabs,

ending the ten-month margin held
over comparable year-ago
levels.

nage,

cars

1.7% from 146,392 assemblies two
44.6% above 102,875 passenger cars made in the
corresponding week of a year ago.

Steel reported.

99

/*-.

Thursday, July 26, 1962

New

148,806

Eu^setl^ ^etP as * ell.

iqJo16 If
r^frnHnrtirm derline concrete
?
Q^Tomnarpd to last year's structural shapes, and wire rods.

f

.

Orleans, showed a small decrease.
Both
the
year-to-year
and

preceding week, 33 metropolitan
areas
registered increased ton¬

said auto

production of
last week, a rise of

weeks ago and

1,398,000 users are »mnin| concessions ny
(*75.0%), as against 1,370,000 having extra waived Jfreight ab
(*73.5%), in the week ended sorted, and qiuaty upg
•
21, 1962, was

ended July
tons

.

ported Dun & Bradstreet, Inc. As
a result, new charters sank to the
lowest
level
since
March, 1961

makers programmed

The statistical agency

TRADE and INDUSTRY

The State of
stitute,

.

(416)

known

purchases
this

space

of

survey

regularly
will

this week. The data,

not

re¬

carried

be

made

however, will

Volume

196

Number

6180

.

.

The Commercial and Financial Chronicle

.

(417)

again be reported next week with
the survey covering
the period
ending July 25, 1962.]

ginning

store

country-wide basis
the

Federal

dex

sales

Reserve

reported

"At this time there
a

a

Newly formed association of municipal

in¬

form for itself what the American

8% advance for
the
week
ended July
14, 1962,
compared with the like period in
1961. For the week ended July 7,
sales were similarly ahead by 4%
a

members.

Though there is

utilities is set

favor

to per¬

up

ended

over'the

corresponding

period in 1961.
According

System

serve

sales

'

in

week

the

to

department
York

New

ended

July

Re-

Federal

City

14,

store

for

were

of the American Public Power As-

APGA plans to cooperate with the APPA. One by-product effect

new

sought is the encouragement and growth of government in
,

.

.

.

....

.

A~~A

gas.

vice

the

6%

"amed the American Public Gas
Association. With headquarters in

to the APGA's
convention in October, it

Washington, D. C., this new or+2 become

pected that

}*e

acco?ding

with

to

"Pri0r

a

mLn

,

activities'

to

of

if

?

Congress

™

kas keen changed

ru

o0

n

i

riarris, Logan Branch
FLINT" Mich-

gWing

axess,

f

Morton Planning Co.

its

these

should ACSU11 A11 Federal
result in pe(iei.HI
or

,

A*? West 24th Street,

~

,IUJIJlli

giving

-uiinj.,

the

matter

would become

be-

systems, in

government-owned

then

permanent, executive
a

behalf

on

However,

T

w

ivncn.

Harris,

Logan

of

'Ideology'

academic.

In

the

Sill

a branch °ffice
Building under the

management of Charles

this

E.

Bow-

man.

,

statementTs-

a

simeepe^dninC°196Tred ^

sued'Association, New York City.
recently by the American
Gas

Virginia Electric

came

"The

of

& Power Company
Tb

i

r*

i

r\ or

Ferterred Uttered
Merrill
Smith

Lynch, Pierce, Fenner &
Inc.

and

Stone

&

Webster

Securities

Corp., New York City,
are
joint managers of a group
that ;is7 offering publicly
today
(July 26) 300,000 shares of Virginia Electric & Power Co. $4.80
dividend

preferred

stock.

The stock is redeemable at $105
through July 31, 1967 (except for
refunding through indebtedness or
a lower cost of
money), at $104 thereafter through
July 31, 1972, at $102.50 through

preferred stock at

APGA, it

into

1961.

cently
got

pointed out,

was

existence

in

under

formal

re¬

organization

At

way.

SERVICE YOUR ACCOUNTS

December

However, it is only

that

present

QUICKLY BY USING OUR

the

membership consists of about 40
municipal utilities, and more are
applying for membership, according to Charles Wheatley of the
Washington Law firm of McCarty
& Wheatley. Mr. Wheatley, an
aggressive young attorney in his
thirties, is in effect the one-man
staff of this new 'trade association.'
His firm represents clients before
the FPC; one of them is the Seat-

BANK & QUOTATION

RECORD

tie Eight Department,

WE GIVE

_

October Convention Scheduled
"The first

win

be

convention

held

in

New

of APGA

Orleans

in

STOCK

EXCHANGE

QUOTATIONS

October

July 31, 1977, and at $101 there-

according
to
present
plans. At that time, formal policies

after.

of the association will

a

-

>

The net proceeds frorp

thes&Le

»of the stock will be

rvide for construction expenditures
term

note

indebtedness

incurred

AMERICAN

•

BOSTON STOCK
DETROIT STOCK

•

MIDWEST

•

^

able:

(including the retirement of short4therefor)
or
to reimburse
the
treasury
therefor.
Construction
expenditures for 1962 are esti¬
mated at $82,500,000.
y Headquartered in Richmond, the
: company, which was incorporated
in 1909, is an electric utility operating in most of Virginia and
in parts of North Carolina and
West Virginia. The company also
has joined with three other utili-'
ties in sponsoring the construetion of an experimental
atomic
reactor
to
produce
steam
for
power generation. The reactor, to
be completed this year at a cost
estimated at $20,000,000, is of the
pressure tube heavy water type.

•

•

probably be

NEW

STOCK

EXCHANGE

•

NEW YORK

•

PACIFIC

•

PHILADELPHIA-BALTIMORE STOCK

STOCK

EXCHANGE—STOCKS

set.'

However; some indication of
used«tovPTQ- 'future policies " is already avail"(1)

The

c06r>eiate
deavor

to

^eTmerlcan

perform

tions. (There
connection

no

between

The

EXCHANGE
EXCHANGE

func¬

the

STOCK

YORK

EXCHANGE

will

EXCHANGE

•

PITTSBURGH

QUOTATIONS

•

•

BANKS AND TRUST COMPANIES-

MUNICIPAL BONDS-

DOMESTIC

DOMESTIC

CANADIAN

CANADIAN

PUBLIC

UTILITY BONDS

EXCHANGE SEATS

•

PUBLIC

UTILITY STOCKS

"(3)
The association is quite
likely to interest itself in legisla¬

•

FEDERAL LAND

•

RAILROAD

•

FOREIGN

•

RAILROAD STOCKS

•

REAL ESTATE BONDS

make available

"(4)
in

•

EQUIPMENT TRUSTS

•

BANK

(RR.)

BONDS

GOVERNMENT

BONDS

its

as

regulatory

INDUSTRIAL

INDUSTRIAL AND MISCELLANEOUS STOCKS

•

REAL ESTATE STOCKS

•

INSURANCE STOCKS

•

UNITED

•

member

INVESTING COMPANIES SECURITIES

gas

BONDS

amicus curiae

judicial

and

Robert A. Martin

City.

and

rate

sales

do

cases.

The

of 26 Dalbert,
N. J., plans to engage
in the development of real propercompany,

ty

into

communities

mobile home

suitable

for

sites, and sell mobile

Whether

as

intervene

Carteret,

-

STATES GOVERNMENT

SECURITIES

" "It appears likely that the new

proceeds,
estimated
at
$396,000, will be used for the purchase of real property, construetion and development of mobile
home sites, and the formation of
agencies.

'

•

organization may seek to intervene in FPC pipeline certificate

Net

BONDS

•

to

It may act

both

low cost

more

proceedings.

Associates, Inc.,

Y

STOCK EXCHANGE

•

Public

New York

i

concern

relations. This would include ConSress, the Federal Power Cornmission, the Communities Facili¬
ties Administration of the Housing
and Home Finance Agency and
any other Federal agency with
which its members' interests may
be invloved.

financing
systems.

offering of 80,000 common
shares of Mobile Estates, Inc. at
$6 per share is being made by

v

two

i^lf mainly with governmental

may

Common Offered

Yo

direct

tion and Federal programs which

Mobile Estates

b

EXCHANGE

STOCK EXCHANGE—BONDS

GENERAL

APGA

COAST STOCK

will
Pnh

similar

is, however,

nr^iXViinni ^
8
*'
"(2)

association

new

with

association

an

it

the coal interests have done

whether

it

will

assistance to

its

as

—

Mr.

UNITED

STATES TERRITORIAL BONDS

OTHER

STATISTICAL

INFORMATION

or

simply provide
municipal mem-

bers is not clear. It may possibly
both.

•

will
—

Wheatley, however,

BANKERS' ACCEPTANCES

CALL LOAN RATES

•

PRIME

•

DOW, JONES STOCK AVERAGES

•

SECURITIES CALLED FOR REDEMPTION

•

FOREIGN

•

TIME LOAN

•

MONEY

•

VOLUME OF TRADING

•
:

\

confirms that the APGA will interest itself in pipeline rate cases,
His inference was clear that the

organization will resist
to its members,

rate

in-

EXCHANGE

MARKET

RATES

creases

homes.

.

w

Hope to Encourage Government

Bioren Adds to Staff

Ownership

PHILADELPHIA, Pa.—Bioren &
Co., 1424 Walnut Street, members
of

New

the

York

phia-Baltimore
have
with

announced

them

of

Philadel-

and

Exchanges

Stock

association

the

Allison to ?ssist municipalities in their
Registered various activities, both regulatory
and legislative, should act as a

George J.

and A. James Weiss

as

Representatives.

stimulus

hi

with

offices

in

the

persuade

new

towns

ownership. The present potential
membership of the Association

MINNEAPOLIS, Minn. — The
Minnetonka Corporation has been includes
formed

to

Soo

more

than

600

SUBSCRIBE
TODAY

I

o

YORK

wish

to

Record for

7, N. Y.
subscribe

one year

to

the

Bank

&

for the sum of $45.

Name

pally owned gas systems or county
gas
districts. Mr. Wheatley has

advisers.

expressed

,

the

opinion

Address

munici-

Line Building to act as investment




NEW

CO.

PLACE

PARK

25

and cities to embrace government

Arlvisnrv Finn
u
y

WILLIAM B. DANA

"A side effect of the formation
APGA is likely to be the encouragement and further growth
government m gas. The very
tact that an organization exists

that

the

&

preference in gas supply or rates Co' has opened

initial
is ex-

director will be chosen and

Now Morton Planning

investor

vs.

membership.

,.

,

sociation."

in

ownership of gas
ownership.
Wheatley has indicated that
the new organization will be almost entirely concerned with 'ser-

direct connection between the two, the

no

platform

Mr.

In

vanced 6%

indi-

no

of public

utilities

Power Assn. does for its

the

week.

.

gas

Public

ideological

strong

corresponding
1961 A number of municipal gas utili- APGA can,count on enlisting
'services'
the"four-week'period ties have banded together to form,large number of these among its Agencies
Tulv
14
1962
sales
ad- a new association which has been membership.
5
s

from

is

cation that APGA is going to adopt

on

Board's

tion that has obtained in the electrie industry since the formation

counsel.

taken from

as

event, the gas industry could find
itself faced with the same situa-

a

staff.
Mr.
Wheatley is
scheduled to remain as general

8% From 1961 Week

Department

organizing

on

regular

Nationwide Department Store
Sales Up

made

45

City.

Zone

State.

Quotation

46

The Commercial and Financial Chronicle

(418)

The Economics of Survival
Continued from

in

a sub¬
continuing increase
that the Rus¬

and

stantial
the

expect

resources

to
their economic offensive against
the Free World. At the same time,
will

sians

able

be

devote

to

rapid growth will greatly enhance
Russia's ability to absorb products

thereby

countries,

other

from

her.
economic threat

making them dependent upon

So, the Soviet
is not

far

It confronts
will rapidly be¬

at all.

remote

today and

us

come

it

formidable

more

over

that lie ahead.

the years

When

what

question
should do about this

we

of

the

to

turn

we

we
find considerable
For
many
years we

problem,
confusion.

largely

been

have

Americans

preoccupied with other types of
economic problems, focused
largely on the material well-being
of the American public. We are

primarily

accustomed to thinking

achieving

of

terms

in

ever-

higher standards of living. It is
very difficult to break this habit
and to think in terms of survival.
Take, for example, the efforts
that
certain labor unions
have

making

been

of

reduction

to gain a further
working hours. Ba¬

sically, this reflects an ingrained
way
of thinking that is funda¬
mentally
inconsistent with our

problem of survival. Certainly we
cannot counter the Russian chal¬
lenge by working less
mention

I

particular

this

to

adopt

attempt,
the

of

kinds

the

chief

bear

in

with

achieve them.
Let us
therefore to summarize
considerations we must
if

mind

the

should be and
we should

policies

Soviet

we

are

to

economic

cope

offen¬

sive.
Three

These

Major

Objectives

considerations

can

be

believe, in three
major propositions, as follows:
summed

up,

I

(1) We must keep our economy
healthy.
'

of

balance
would

a
smaller proportion of our na¬
Not tional income than they did five

in the world

freedom

be

upset.

perilously

this

find

us

sort

of

lose ;their

,

nomic

health of

our

economy.

of

Balance

Our

other than defense, we
of

Problem

A

survival,

of the most

one

cial is how much

of concern is our
balance of international payments.
If we fail to defend the dollar,
we
will be in deep trouble. And
it would be equally serious if this
major

area

adopt policies which

should

us
to
would slow

down

weaken our

problem
our

cause

economy or

One

encounter

controversy. From the standpoint

Payments

for combating the Com¬

cate

economic

to

cru¬

should allo¬

we

aid

for

under¬

developed countries. These nations

—containing
one-third
population—will

of

world's

tionably

be

the

chief

Russia's

trade-and-aid

This

an

is

in

area

struggle for survival
or

the

unques¬

target

of

offensive.
which

our

be

won

may

lost.

offensive.

part

of

At the present

time the Amer¬

ican

people allocate less than half
of one percent of their national
output to this purpose. I submit
that

the

facts

we

have

clearly suggest that
doing more.

we

reviewed

should be
-

the

more we

should

plan

developed nations
approximately double their

more

should

should accelerate
nomic

a

if these

are

about

indeed

them.

Using Our Resources Effectively
Our

second

to

utilize

in

ways

our

First, why is it imperative and
what

is

involved

in

keeping

major

which

a

jected to
Some

a

objective

economic

an

emergency

will

is

resources

operation; it will be a long
continuing process which will re¬
quire
intelligent
handling
and

effectively patience

well

money.
But
be one of the
subject on which the best investments we can make of
public has been sub¬ a tiny fraction of our resources
fundamental
great deal of nonsense. —a
investment
in

combat the Soviet

This is

Maintaining Economic Health

hopeless. This is not
rescue

American
~

•

•.*

•/

-%

Fostering

for

Reasons

Growth

Another

rate of

our

to conceive what the world would

eco¬

be like if this

will

You

economics of survival. Let
sider how

There
not

are

us con¬

seek

with

idea

the

nation

that

earth

on

salvation

the

should

by

the

Russians.

unless

accelerates, it

many

years

before

bpt ^absolutely, not only in spurts
but steadily. This could have pro¬
found

that, if

we

could

It

consequences.

greatly increase the appeal of the
Communist system for the uncom¬

mitted

countries.

upon

could

It

other nations about

own

fear

Others

be

not

longer true.
seen,

,

ridicule

richest

of growth

rate

may

have

a

think much of this, objective.

Some

our

were no

we

as

priority this goal the Soviet economy becomes gen¬
erally reco^hi^ed as growing faster
^
than ours not only in percentages
many people who do

high

deserves.

Yet,

worry

their reliance

It could undermine our

us.

morale.

con¬

few

i

then certain other
goals may have to be subordinated
to them. In any event, let us con¬
sider each of these general ob¬
jectives and see what we can say

•

More

recall
that I postulated this goal as the
third
overall
objective
of
the
growth?

force.
We must
increase business
and
profits.
We
and economic aid.
We may also opportunities
grow faster
if we are to
need to spend much more for edu¬ must
achieve continuing social progress.
cation and research and for other
And these reasons, too, all relate
types of public as well as private
directly to the problem of sur¬
investment.
eventually
stantially

to increase sub¬
outlays for defense

need

our

glance, they may States. We must therefore restore of trained people, overpopulation
How can these outlays be fi¬
even
seem
platitudinous, almost the health of the American dol¬ and high birth rates enormously nanced? In the case of public ex¬
lar and again achieve a position
too obvious to be mentioned.
complicate the problems. Indeed, penditures, there are only two
But I suggest that these gen¬ of such strength that we can do in
many areas, unless a solution possibilities:
inflation and taxa¬
eralities may be worth analyzing. whatever circumstances may re¬ can
be
found
to
the
difficult tion. Inflation would be the height
You will note that they are word¬ quire us to do to defend the civ¬
problem of checking population of folly;
What about taxation?
ed as imperatives—as things we ilized world.
growth, the task seems all but Tax rates are already high and if
And

economy

years

,

first

imperatives,

the

to

within

(2) We must see to it that our
are
employed in ways pect nations whose per capita in¬ the tab for mutual defense, the
the comes are lower than ours to pay United States could do even more
Soviet menace.
their full pro-rata shares. Also, for the
underdeveloped nations.
of our
(3)
We must accelerate our despite the importance
The task of helping these coun¬
rate of economic growth.
allies, the primary responsibility tries
to
achieve
self-sustaining
There
is
admittedly
nothing for the common defense will con¬ growth is not one to be mini¬
tinue
to
rest
with
the
United
novel about any of these objec¬
mized.
Poverty, ignorance, lack

must do.

our

Still another major point is that
underdeveloped
areas sciously try to accelerate growth,
rapid growth in the U. S. would
years time. This is we may do more harm than good.
help the emergent nations to 'de¬
a program that-we and the
other Efforts to speed up growth may
sufficiently to solve our balance
be
rich
nations
of
the
self-defeating,
inflationary, velop strong, free economies. To
world
can
of payments problem. We already
easily afford, especially when you inconsistent with the freedom we develop, they must, expand their
have a large export surplus and
exports must
consider that it could make all prize. Faster growth will involve exports and these
there are limits
to
its
have
a
destination.
A- rapidly
possible
the
difference, literally, in the costs and if one of these costs is
enlargement. To correct our pay¬
growing U. S. economy can far
loss
of freedom,
world.
then this cost
ments deficit, therefore, we may
more readily provide a market for
;
Perhaps we should digress fpr a would be excessive.
need to slow down the outflow
these exports, than one which is
moment to
clear up a common
of
capital and credit from the
Why Faster Growth Is Needed
growing slowly. Indeed, the great¬
misconception.
It is widely as¬
U. S. to other nations. Also, over
est help we can give these coun¬
All of these criticisms dissolve
sumed that most of our foreign
the past three years, our military
tries would be to consume more
aid expenditures are made abroad when we analyze the case for ac¬
of their goods.
expenditures
abroad
have
And if they can¬
and that therefore
any
increase celerating growth, the methods
amounted to almost 80%
not find markets for their prod¬
of the
in them would threaten our bal¬ we could employ without under¬
overall deficit in our balance of
ucts in the Free World, they must
ance
of payments position.
This mining our freedom, and the con¬
payments.
This suggests that it is
inevitably turn to the Communist
not so.
Roughly two-thirds of sequences we may face if we re¬
bloc—which will be aggressively
may be necessary to persuade our
our
outlays for foreign economic frain from using them.
stronger allies to pay a large aid are
seeking to entice them.
spent here in the United
First, it should be emphasized
share of the common defense and
One
could
easily "cite
other
States to pay for exports of Amer¬ that the big argument for faster
aid to underdeveloped countries.
ican products.
We could expand growth is that it will help us to cogent reasons for assigning high
However, even if our allies do this type of aid without affecting do the things we will need to do priority to the acceleration of
shoulder a somewhat larger share our balance of
economic growth. We must grow
payments. And if to cope with the Soviet onslaught.
of these costs, we can hardly ex¬ our allies would
pick up more of As we have already seen, we may faster to provide jobs for our ex¬
aid

resources

At

other

words, if the growth
is sluggish over
ahead, we may not be
able indefinitely to counter
the
ever-mounting pressures of the
Communist bloc.
Briefly, unless
We grow faster,rwe may find it
increasingly difficult to survive.
of

important factor is the
matter
of American
prestige
The answers must be worked out throughout the world. This is not
over time by democratic methods.
something to be lightly dismissed
Nevertheless, the answers that we as being "merely psychological."
do evolve will enormously affect As one observer has put it, all
our
future destiny.
peoples everywhere are
deeply
affected
by
the
vision - of the
In considering these, questions,
United States as being by far the
one
of the fundamental problems
with which we are confronted is richest and economically strongest
It is hard
this: How important is it that we country in the world.

concentrating
on becoming
richer. It would be
to
do
over
the
years
ahead, I
would not presume to say. Some tragic, they say, if we were to
experts have recommended that engage in a mere statistical race
How much

which will effectively combat

tives.

In

outlays we
must make for defense necessitate
enormous

plan for our
whether even the best policies we
economy. Democracies do not have
can hope for along these lines will
master plans. They do, however,
enable us to expand our exports
have
economic
objectives
and

economic objectives

to

of our resources can we least af¬
resources
are put.
ford?
Should some governmental
Outlays for defense are the most
programs be cut back or elimi¬
obvious
example and the
least
nated? Should others be expanded?
burdensome taxation and make it
controversial. O c c a s i o nally we
doubly difficult for us to finance hear
These questions cannot be an¬
people criticize our vast mil¬
other needed programs. And over
itary
expenditures,
but
most swered simply, by the interplay
the years ahead, we may be forced
Americans
have
long ago con¬ of supply and demand in the mar¬
to spend much more for defense
cluded
that
we
can
and
must ket place; they will require con¬
and foreign aid as the Soviets step
spend whatever it may cost to tinuing study and debate. No one
up their pressures against us. This
person can answer them for the
defend our freedom.
may
require more basic adjust¬
American people. We have no in¬
ments
than
we
have
thus
far
Aid to Underdeveloped Nations
tention
of
answering
them by
made if we are to maintain the
But as soon as we turn to areas adopting a regimented economy.

de¬

extraordinary

to

The

mands.

a

print for the future of our econ¬
but it clearly behooves us to
reconsider
carefully
what
our

of

Most

this problem is
the
necessity of keeping U. S.
products competitive in our own
plenty >» more in many different
world markets. To do so, we must
areas:,
Most of
still think in
pursue
conservative
fiscal
and
terms of group interests as usual
credit policies and
avoid infla¬
and cornucopian welfare as usual.
tionary policies in other areas as
We have not yet reoriented our
well. We must avoid reactivating
thinking to the problem of selfthe wage-price spiral and keep our
preservation.
production costs and prices un¬
Perhaps I should reassure at der
control.
this point that I am not going to
But it is at least questionable
suggest
master

omy

be

Thursday, July 26, 1962

totalitarian methods.

S.

ex¬

policies. It would be ridiculous
to try to draw a detailed blue¬

resort

-

munist

ample only because it is such an
obvious
one.
One
could
cite

this is to

how

without

.

'

programs

and less.

U.

the

of

subjected

Reorient Our Thinking

Need to

us

accomplished

.

"
only would the emergent peoples years ago.
In contrast, it is surely reason¬
liberty, the West itself
economy
is
thing irritating, naturally, chiefly might suffer a breakdown of con¬ able to believe that the American
essential to the security of the
because
it
confuses people
public would allocate more re¬
and fidence and loss of nerve.
entire Free World.
sources to needed public programs
distracts
their
attention
from
The concept of economic health
Other Vital Problems
if its income should grow at a
basic problems. Nevertheless, we
is familiar enough and I shall not
In this case, no
There is a great deal more that faster rate.
must not jump to the conclusion
cut¬
labor
it.
We
must
avoid wide
be j said, of course,
that the qualitative aspects of our could
about back in private consumption
swings in prices, production and
economy are unimportant.
It is the effective use of our resources. would be required; Rapid growth
employment. Either inflation or
proportionate
perfectly true that we cannot win What kind of growth would help has a more- than
severe depression could be disas¬
the struggle for freedom simply most to strengthen our world po¬ effect upon tax revenues, as more
trous. Also, a high rate of chronic
sition? How much should be spend taxpayers
with rising
incomes
by producing more: luxuries for
unemployment would be a serious ourselves—more
swimming pools, for training and education? How move into higher tax brackets and
matter—an evil in itself, a symp¬
more lavish
TV shows, more ex¬ much for scientific research? What as corporate profits expand.
This
tom of poor health and a threat
should be would automatically enable us to
pensive vacations. Survival is not types of investment
to sensible policies.
to ' be
achieved
by
prosperity particularly encouraged? '* Should increase our outlays- for national
It
is
to recognize alone. We must concern ourselves certain types of consumption be security and for other needed pro¬
important
that our economy is already being with the uses to which our eco¬ discouraged? What types of waste grams as well.
v
health

8

page

to

reason

every

tell

not

do

.

popular

menace.

writers, and

it

even

may

our

own

as

prove

to

survival.

as

panding labor
faster to

grow

vival.

<

|

-

complacent
about the growth prospects of the
U. S. economy because they de¬
Some

rive

so

persons

much

are

comfort

the

from

vigorous economic progress of our

The revival of
is encouraging,
no cause for
increase in tax rates might jeop¬
ardize the health of our economy. complacence. It will be most help¬
ful to have economically strong
What
is
more,
higher
taxes
allies but we
obviously cannot
would
be
strenuously
resisted.
rely upon other nations to do all
possible,

should

be

reduced., An

European
Western

certainly,

There

are

to" which

limits

the

to

the

American

allies.
Europe
but

it is

extent

public is
willing to be taxed even for de¬
fense
and
economic
aid during
"peacetime." Indeed, we may be

that

will

counter

sive.

to

need

Russia's

Primary

this 'will

be

done

economic

responsibility

continue

to

rest

to

offen¬

for
with

some
the United States no matter how
The western nations do not seem
economists, delight in crit¬
at or near these limits already,
prosperous other nations may be¬
icizing
our
allegedly
wasteful, to be fully aware of how much is
especially in the case of economic
affluent society. They imply that at stake in this area.
come.
If another
aid.
Despite the ominous devel¬
the path to salvation lies in some¬ third of the human race
peril, it would seem axiomatic
In short, we can ignore the need
despairs
that we must keep our economy how
eliminating private expendi¬ of a free society and chooses in¬ opments of recent years, our out- for rapid economic growth only
strong at all times. Indeed, the tures for luxuries—though they stead the path of Communism, the
at our peril.
It deserves a top

economy
-

our

healthy?

Confronted with the Communist




Volume

Number 6180

196

.

.

The Commercial and Financial Chronicle

.

(419)

47

"it

priority among
jectives,

not

but

means

a

as

end

an

it that

essential ends,

to

rn A V^T^VTTIMPT
±rXJ.\. XJ^YXJJXLX X

national obThis means that we must keep
in itself our economy healthy and see to

our

as

resources

our

are

the Growth

to

Problem

should

It

will

we

rate

to

need

Continued from page 6
isiana

We

1987) bonds. This issue is the first
installment of a $60,000,000 authorization to fund the states
1981-1962 general fund deficit,
The bonds
are. secured
by
a
pledge of 7% of the proceeds from
the state sales tax.
This issue was awarded to the
group managed by Blyth & Co.C. J. Devine & Co. and Ira Haupt
& Co., Only one bid was received
and it designated a 4.2715% net
interest cost. Results of the reof-

growth.

be

emphasized, how- must be careful how we go about
this but it clearly can be done
this prob- without sacrificing our basic freelem. The methods we employ are doms.
Unless we grow faster, all
just as important as the objective, of our freedoms will be in greater
Ill-advised measures may in the jeopardy.
•
long run be harmful to growth
Stated in these simple terms,
and may be highly objectionable these
points
certainly
do
not
on
other grounds as well.
sound like great new discoveries
For example, it would be both and indeed they are not. But they
self-defeating and highly danger- deserve reiteration and reemphapus to.tr.y.to stimulate; growth by. sis, Ilbelieve, because their mean^
means
of
massive
government ing has not sunk in. We have not
that

ever,

ful

how

must be very care-

we

approach

we

..

.

Fiscal

fering

•

-

MAPTTTTT

^ T<>P Products Company—An

1V11XXVIY.IJ X

alysis—Butcher
Walnut Street

speeding.
Such, p .course could, yet really faced up to their imto economic instability, in-• plications. We have not reset our
and dollar crises.'It is also • sights and recognized the neces-

not available

are

to press.

load

Authority

■■■■■,

(1965-

as

we

The toll road, toll bridge and
utility revenue term bond issues
have been inactive and steady in
the last week. Although fluctuations have occurred daily, the

__7

.

Sherrerd

"77

'

'

*

*

Western Union Memorandum—
?fnm+ St1' Colket & Co. 70 Pine
street> New York 5, N. Y.

World

revenue

Toy

bond Index unchanged at a 3.88%

Irving J.

yield.

Pioneer
Minn.

.

The Indiana Toll Road Commis-

House Inc.—Analysis
Rice & Company Inc.,
Building,
St.
Paul
lg
;

sion reports a banner month for
June. While the total number of
vehicles

using

1962

the road in
increased 3.5%
over

1961,

the

was

1

Pa

v

and Financial Chronicle's

go

1500
9

^

Npw VnrV

week ended with the Commercial

;
The Morgan Guaranty Trust Co.
of New York and associates were

flation

I
c+rppt

&

Philadelnhin

\ Pnuadelphia 2, Fa.

Dollar Bonds Steady

our

accelerate

economic

of

XJYyi>| XJ
4

effectively. To achieve these goals,
Our Approach

RfYNTD

utilized

net

28.6%
The

ago....

coverage

■-

income

June

1962

1.859

-

a

,s

\

-

*

n

^Ublllcoolllclll S

June
tolls

.

1

.

T5iicn*n/"*cici-rv\

June

from

ahead of June
of

.

v

„

"

;

•

year

interest

times

r

was

important to recognize that many sity of subordinating some of our
types
of
government" spending other cherished goals to these im-

the successful bidders for $3,- 35.5% higher than the year ago
'
000,000
Charlottsville,
Virginia coverage of 1.372 times. This toll
impede growth ,by adding to the peratives for our survival.
water improvement bonds (1963- road project, although slow in ap- 5
sss
tax burden and by diverting our
1 So what are we to do?
The 1982) at a net_ interest cost of proaching its toll potential, seems
resources .from
more ^productive, temptation is to turn our backs
2.87%. The bonds were reoffered well on the way to investment Adaptive Program for Agricullises.
j-'-r
on these problems and to immerse to yield 1.60% in 1963 to 3.10% status.
Loose
talk
concerning ture: A Statement on National
Moreover, we do not want too ourselves—or stay immersed—in in 1982. A few of the underwriters west-end competition with a free Policy by the Research and Policymuch tinkering with our private our own day-to-day business and in the winning group are Bache highway would seem to be short- Committee of the Committee for
enterprise system in order to get personal affairs. This is what the & Co., Weeden & Co. and Johns- sighted criticism. The cogent cor- Economic
Development — Cornsome
arbitrarily selected rate of citizens of Rome did before the ton, Lemon & Co. of Washington, relation and projection of popula- mittee
for
Economic
Developgrowth. ,We are determined, not great Roman Empire was engulfed D. C. The Chase Manhattan Bank tion, automobile production and ment,
711
Fifth
Avenue, New
to regiment our economy. We re- by the barbarians.
The world is group was the second bidder at traffic density with highway sys- York 22, N. Y. (paper), $1.
fuse to sell our birthright of free- strewn with the wreckage of once a net interest cost of 2.89%. As tern
mileage and its relatively Billion Dollars at Your Fingertips
dorp for a mess.of production.
/mighty civilizations which ne- we go to press the balance is slow construction pace shows us Frank Russell A new
philosophy
On the other hand, these words glected the essentials for their about $1,485,000.
short of highways real soon.
of hard selling, with
techniquesor warning definitely do not imply, survival.
15 action tested sales procedures
we
should not seek to accelerate
No, .we
cannot
ignore
these
and
for
developing
a
winning
growth by sound methods.' There problems
We have a clear re
;
sales
personality, how to find
are
admittedly hazards involved sponsibility to contribute to their
evaluate and sell prospects, how
in trying
to grow too fast but solution both by helping to create
TjP^lpV-Rl^nKPT' lvuOUIIlIIlt/IXUd/tllJIlb
riPPOTYllTIPTlftaflfYTIQ
to demonstrate products dramatithere
are
far
greater risks in a broader public understanding of
X/Cd-it;! X>1 UxVC'l
cany to win appointments over¬
growing too slowly. Nor is there them and by helping in whatever
International
Shoo
mm„3nv
come' objections and develop courany need to choose between rapid ways we can to shape public and
conunuea ]rom page s
international shoe
Company —
self-confidence
resourcefulgrowth and freedom. Our problem private policies to deal with them. Jackson's Miitft Markets and
v
^ a
Br°ad ness a n d
is to work out policies which will This calls for continuing effort on Savannah Sugar Refining Corp.
street, New York 4, N. Y.
rnn
Fnglewood Cliffs N J
accelerate growth in ways which the part of all citizens who occupy Connecticut General Life Insur- Kay
Windsor, Inc.—Analysis— (cloth), $5.95.
will strengthen our free economy, positions of leadership in our so- ance—Memorandum—Paine, Web- Filor,
Bullard
&
Smyth,
26 uanatka—s'tat'istipni
; There
is
no
valid reason for ciety.
v
"
ber, Jackson & Curtis, 25 Broad Broadway, New York 4, N. Y. ■
of
£ J'
assuming that this cannot be done.
We stand today at the turning street, New York 4, N. Y. Also mehle-Go s
s-Dexter~BulMin---/.search
.

.

.

.

•

.

.

eXusiasm

SenUce

c„mmQvv

i^-Bank

,

DenaSment^

.

The United States has
a

experienced point in history. Difficult deci- available are memoranda on Na- Purcell & Co., 59 Broadway, New,
prolonged penodsTof sioris'hnd difficult tasks confront tional Dairy, Consolidation Coal York 4, N. Y.
•
W

number of

rapid expansion and
free

have other

so

With

us.

faith^ntelligence and and Idaho Power.

economies.'Indeed, many

Miehle-Goss-bexter

—

Memoran-

_of courage, we can^cope with all of control-Data-Report—The Rob- dum-Smith, Barney & Co., 39
faster, these problems. With
inson Humphrey Company, South La Salle
Street, Chicago 3,
than we are right now.
-turn, we can help to build a.nation
Rhodes-Haverty Building, Atlanta Illinois.
We do not have space here to and a world of human well-being
i
r«a
infllvze
the snecific methods we and
dignity in which the finest
'
*
<
Minneapolis Honeywell Regulator
them

are

much

growing

~

.

should
,

This

employ.

complex qualities of

a

renuire

will

tVint

mihiont

f -1
ful,

care—

J
continuing

; ,,Hv
Wp
must
study.
We must
obstacles to growth and

remove

incentives to

strengthen

Adams

Mr.

at

of the South> Louisiana
state University, Baton Rou*e. Louisiana,

business June 20, 1962.

lip-service to. growth but who refuse to face up to what needs to

,

...

_

.

..

.

,,

A

c

KobblllS AcluS to OtatT

..

(speeiai to the Wtocm

CLEVELAND, Ohio —Wallace T.

d^one To achieve it.reducing the Donovan: has been added to the
We cannot
sta££

work

week,, by
featherbedding
practices, by piling up farm surpluses, or by squeezing business
profits. There is need for frank

Co., Inc., Terminal Tower..

recognition of the realities of the
sources of growth and the importahce oL profits ta stimulate and
fmance it. This is essential if we

J
'V j
SAN DIEGO, CWif. -j George

are

unleash

to

•'

creative,

the

How much faster can

I do

not pretend

to

like

economists

by

pressed

in

volvedf

Some are im-

others

by

should

difficulties

the

not

the
be

in-

potentialities..

We

unrealistic

our

in

expectations, of course, but
should clearly concentrate,on

Co.] has

in| the

/

done.

Since the

war

great
deal
miracle and

-

the

the

have heard a

we

the

about
more

European

recently

miracle.

American miracle

German

Roanoke

o

is

overdue.

«.

us

summarize

determhied

an

all-out

against

us.

-W

at 120

M^n&omery

this attack will become more and

Street.

.

pjitt

adft pitta

p«

Crirhtnn

SVhoreTcunde7 Inc

123

powerful. We face a pro- gouth Broad
Street, has
been
tracted struggle for survival. In formed to continue the investment
these
circumstances,
it
plainly business of Crichton, Cherashore
makes sense for us to give first &
Go^ jnc
fjrm maintains a
more

priority
enable

us

to

policies

which

to survive.




a

4

N

Y

M

will branch

office

New York

at

City.--

170

lQfil

iJS

IhSitSe

49nS

oteei institute, lou Last 42nd
hew
York
17,
N.
Y.

Street,

Current Issues in Conunoditv Pol-

Sweri^

icv—BorisC

I-

XT

review of Cross

r

Interna

Depreciation

XT

m o-

Finance

Rules~~U-

Guidelines

s-

Treasury

and

Depart-

-

I^tern^TI Revenue Service
Publication No. 456 (7/62)-Supenntendent of Documents, U. S:

x

Northern Ontario Natural Gas— Government
Memorandum—G W. Nicholson Washington
and Company Ltd., 67 Richmond

Engineering —M e

™

rn-Mpmnmn

Pinanpp

.

dum—Piper, Jaffray & Hopwood"*
115 South Seventh Street, Minneapolis 2, Minn. Vv
r

Street, West, Toronto, Ont., Can-

Fact

Printing

25,

Off,ice,

D.

C.

IT

c

(paper),

25c.
sheets

on

^ ? P?0jects-4th
e

Pittsburgh 19, Pa.

122 South La Salle Street)> Chi- p,anet
Gas

Corporation

—

^nd 'a Buildin& Detroit

—

Analysis

_

26' Mich'

Broadway,

New York 17, N. Y. (paper),

$2 00.
nataW?Rimta?StlT1p1K| Fmp,lCAal
?aMeS( and other Pertinent0"^

Revlon—Memorandum—J. W. formation)

International Life InsurMemorandum

_

Roney & Company, Buhl

,

%

nue,

CorporaUon

Dea^MUk^Company

portfolio for attractive income.

g

Saunders,

N

'

Committee

on

Public

PptrrSpiim
eroaaway, wew AHa rs American Petroleum

Sparks & Co., 120 Broadway, New
y

Affairs

Amcriran

t«

suture, iz a Avenue ot the Amer-

•

Tower, Reynolds Metals—Memorandum— was, New York 20, N, Y. (paper),
E. F. Hutton & Company, 7616 Housing and Home Finance
Bank—An- Girard Avenue, La Jolla, Calif.
Agency: What it is what it does

stiver & Co > Terminal
Cleveland 13, Ohio.
Golden Gate National

alysis—Birr & Co., Inc., 155 San- Richardson Company — Analysis
some
street,
San Francisco 4, Chace, Whiteside & Winslow, Inc.,
Cali(24 Federal Street, Boston 10,
^
_
...
Mass.
„

J

T

J«nn«on Co.—Analysis
S. Moseley & Co., 50 Congress Security Life and Accident ComInland

New Firm Name

offensive

in

the

on

and steel industry—American Iron
and Steel
150 F»st

tional

Western

Loan

&

VSLhJmi

Finance

—Memorandum—Lewis E. Offer-

Snion
a'

slreel> "asnvine J, lenn.

man

Co., 1807 North Central Ave- See's Candy Shops, Inc.—Bulletin

able

mounting

Over the years ahead

York

New

Street, Boston 2, Mass.

,

_

Sees. Research Branch

We

'to ensZVmeM
economic

Co.

ties Research Corporation has

briefly.

that they are

We -know

formerly

sAN FRANCISCO'Calif—Securi

Conclusions
Let

^

was

Progress

Papercraft Corporation—Analysis Electric Companies Public InforFirst Western Financial Corpora- —Reed, Lear & Co., Grant Bldg., mation Program, 230 Park Ave-

ance

management^/ Griffin S. Fal-

i0n, Jr. Mr. Fallon
with Goodbody &

about

Another

Broadway

opened a

lng
what we can to ■ promote & Co., Inc. has opkned a branch
growth, not on trying to prove it office at 140 Federal Street under
cannot be

A.

ward

Hemp- analyses of

1
Branc^I in ooston
Mass.—Stewart, Miller
•

Steel's

graphic facts book

11 Broadway» New York 4» N* Y'

\

r%

BOSTON,

Fran-

tion—Report—A> q. Allyn & Co.,

—

Charting

I-S

Co.—Analysis—

Products

randum__Alessandrini & Co., Inc., ada.

Stewart. Milled OoenS

we

do-

San

industries—Report—EdViner & Co., Inc., 26

Dresser

Building, under t$e management
>
0f John G. Grams.i
Georgia

-

Street,'

cisco 4, Calif.

L
;

MINNEAPOLIS, Minn.

-

Moore

rnmnanv

Edwards

j

;.

of

T

Hemphill, Na>es Branch

growth;,

accelerating

-

•

TVnct

analvsis

an

..

Fifth

1956

^

»

*

is

Company.

.

c®^^nias invSt^s,

T

Also available is

w

_

know+ Some branch office
hiU, Noyes &
set targets,

to

others abhor them.

.

^,

#

dy-

we'grow?

&

Bobbins

T

With California InV.

potential of our fitee

taanuc growth

William

of

T^'r

CanadaD-(paper),. $25A ($3.t per

bweriing InternaSection, Departirving xrusi
y.
Suplee, Yeatman, Mosley Co., In- ment
of Economics, Princeton
Di Giorgio Fruit—Memorandum— corporated, 1500 Walnut Street, University, Princeton, N. J.
Hutton & Company, 160 Philadelphia 2, Pa.
(paper), 25c. ^
available

A1qo

Montgomery

chsohicls)

accelerate growth by

Laird, Bissell & Meeds, Inc., 1 Wall Street, New York 5,
120 Broadway, New York 5, N. Y. New York.

Analysis
the

SchooI of Banking

expansion and increased productivity. There are many .who pay

be

by

addr...

rmt

Crown Zellerba^h Corporation- Co.-Report-A. M Kidder & Co., (paper), 50c.

will flourish.

man

——

'An

.

Ottawa

Canadarr-fnanpr!

!s Tmemo^andum on^al

Inm

HrnXdn® 'a°i

^
fRnd J sL,
SLi
r-St,reet'
WWashington, D. C. (paper).

»

,

s

w

r,

Industry
^

Wage

Motels

Latr

U

Bulletin

intendent

Survey:
S

Hotels

Department

of

No^S-s'upe^

of Documents, U. S.
Government Printing Office,
Washington 25, D. C. (paper), 30c.

tr'souTh^^inrStreeC iXafH^me^an B^k °Bol5d
fpfrTLSs^^x"^

Los Angeles 14, Calif.

tional Securities, Inc.

Intercoast Companies, Inc.—An- Soss Manufacturing Co.—Memo- ings before a Subcommittee of the
alysis—Schwabacher & Co., 100 randum—First of Michigan Cor- Committee on Government OperaMontgomery Street, San Francisco poration, Buhl Building, Detroit tions, House of Representatives—
4' Calif'
26' Mlch'
Superintendent of Docu ment s,
Interstate Vending C o m p a n y—
Analysis—Straus, Blosser & Mc-

Suburban Propane Gas Corp. —
Data—Herzfeld & Stern, 30 Broad

wnQhinStnn1^6?!
®

p

^1Ce>

Dowellr 39 South La Salle Street^ Street, New York 4, N. Y. Also Life Insurance Companies in the
Chicago 3, 111. Also available is available are data on Green Shoe Capital Market—Andrew F. Briman analysis of Champion Parts Re- Manufacturing Co. and Thatcher mer—Michigan
State University,
builders, Inc.
Glass Manufacturing Co.
East Lansing, Mich, (cloth), $7.50.
•

48

The Commercial and Financial Chronicle

(420)

•.

.

Thursday, July 26, 1962

.

the

next

few

WASHINGTON AND YOU
from the nation's capital

nedy Administration is hopeful of

preventing
Estes type of

another
Billie
Sol
thing from happen-

ing.
Therefore, there is going to be
more
scrutinizing and investiga¬

House

own

headed
A.

by

of

Blatnik
in

collusion

Minnesota

land

of

EVENTS

speculation.

gotten wealthy off the rights-ofway.
' <• ':■...
i
In the case
of the super di¬
tions where money is involved
multi-laned
expressways
than at any time in the history of vided,
known as the Interstate System,
the Federal Government
The

Roads

Public

of

Bureau

1963 fiscal year
which began on July 1 will have
more
than $1,000,000,000 as Fed¬
the

during

new

spend. Congress

eral aid funds to

going to authorize at this ses¬

is

takes

it

of land

acres

mile of these stop

build

to

IN INVESTMENT FIELD

Aug. 9-10, 1962

a

outing at the Columbine
Country Club.

summer

ways.

.

The

Office

new

of

Rights-of-

Sept. 7-8, 1962

Way and Location will be respon¬
sible to curb any irregularities and

Pacific

the

on

of this country.

economy

sion, and numerous other

fraud

alleged

in at least
a
half a dozen states since the
accelerated highway program be¬
in 1957.

Some
This
tion

be

in this country
and it appears to
growing bigger. Many people

in

building

big business

life

of

walks

various

are

in¬

volved in the construction of local,
state
>

tion

of

directed reorganiza¬

the Bureau

which

Bureau,

Luther

Commerce

of

has

Hodges

highways.

Federal

and

Secretary

of Roads. The

works

with

various
two

powers.

Office

cation,

with

offices

new

the

of
the
to have

departments
states, is going

highways

police

They are going to be the
Right-of-Way and Lo¬

of

the

and

Office

of

that

bad

are

about

Municipal Bond

tubes,

taken in the world.

taxes

motorists probably

the

of

the

realize

plus

signs

for

these

multi-laned
high¬
ways. But many of them do not
realize that these roads are taking
faster

safer,

hundreds

of

thousands

valuable

of

farm,

of

acres

and

forestry

grazing lands forever out of pro¬
duction.
They also probably do
not realize that tens
of

persons

each

year

are

of thousands

being

uprooted

from their homes

and

farms.

comes
from higher
gasoline, oil, tires, inner

on

the

Federal

the

completed,
be

to

Miami

using

Seattle

Growth

it

Marine

Capital Southwest Corp.

Midland

Central Investment

Corp.

Narragansett Capital

Capital Corp.

St. Louis

Drug & Food Capital Corp.

was

Science

Capital, Inc.

Texas

Write for Circular
on

most

thing about
has not been
While

con¬

1956

There

the

many

Westland

1962

(Ponte

Vedra

Security Dealers Associa¬

are

about 12,000

miles of
highways
now

to the public.

Highway Administrator
assets of

paramount

terstate System.

These

are

the In¬

are:

lives are being saved and
injuries prevented, and truckers
—and the number is growing all
time—are

vehicles

their

able

well

to

stabilized.

stabilize

despite

the

the

The

While

the

actual

increase

the

about

and

in

American

Profit
Road

Squeeze
Builders

Association

(Cincinnati, ;

Ohio)

Municipal Bond Dealers Group of
Cincinnati, annual fall party, with
a

field day to be held Sept. 21, at
Losantville Country Club.

the

Sept. 23-26, 1962
N.

J.).

(Atlantic City,
...

.

,

American Bankers Association

an¬

Sept. 28, 1962
Club

Bond

(Philadelphia, Pa.)

of

Philadelphia - 37th
outing and field day at
Huntingdon Valley Country
Club, Huntingdon Valley, Pa.

able'

to

operate

efficiently.

more

Oct. 3, 1962
New

truckers

(New York City)

York

Bankers

Group

Oct. 4-5,

1962

(Cleveland, Ohio)

Northern Ohio

Bankers

Investment

Association Meeting.

Group Investment

Association Meeting.

Oct. 8, 1962 (Detroit, Mich.)
Michigan
Group
Investment
Bankers Association Meeting.

program,

gravel

in

this

day, according to

they

Sept. 20-21, 1962

many,

many

the

Bankers

Board of Governors Fall Meeting.

the

Rex Whitton insists that there
two

(Santa Barbara,

annual

Railroads Hurt
Federal

Calif.)
Investment

nual convention.

carry

little

a

country.

To¬

Attention Brokers and Dealers

TRADING

than

MARKETS

American Cement

Botany Industries
Maxson Electronics
Official

recent report,

more

Waste

11%.

Films

King

is being placed on the

cost

accountants

this

dwindling

at

the

ICC

short-haul

for

busi¬

/
.
'
..
Association, a trade organization
in Washington headed, by Major
Under the Highway Trust Fund
General Louis W. ^ Prentiss,
(re¬ legislation, there is no fixed in¬
tired) maintains that1 an over- come, but it appears a certainty
supply of construction capacity unless there is a war or a na¬

Our New

York

telephone number is

CAnal 6-4592

..

Capital
Capital Corp.

has

forced

construction

prices to
go down, and despite the techno¬
logical advances made
possible

Capital Corp.

tional

is

calamity,

going

to

get

the Trust Fund
billions and bil¬

lions of dollars from the motorists

LERNER & CO., Inc.
Investment Securities

10 Post Office

Square, Boston 9, Mass.

Telephone
HUbbard

Teletype

2-1990

BS

69

containing statistical data

of these

companies

H
i£:

Cove Vitamin & Pharmaceutical

I

&reeue<m£cjmpan\i
Tretnhl! ehotl
Established 1930

37 Wall

of

'

multi-laned

open

cost of the program has

fairly

labor, material and equipment.

The

Capital Corp.

Water Industries

Washington Ind. Inv.

interstate roads.

of

one

that

to

it costs more
than $1,000,000 to build a mile of

is

amount

clearer

why

now

The blame

Capital Co.

Florida Capital

Greater

them

ness.

Southeastern

Corp..

program

accelerated under the

Contractors

Capital Corp.

Electro-Science Investors

Franklin

having
light.

publicized.

construction

in

S.B.I.C. of N.Y.

Electronics Capital

without

traffic

is

It

roads.

from

or

no

market

and

program

been

Capital Corp.

Developers Small Business Inv.

finds

are
happy
the railroads
high
cost
of
right-of way
has are
continuing to charge and re¬
been
described
as
a
primary charge that they are being regu¬
reason
why the urban express¬ lated out of business by the In¬
ways
are
costing many millions terstate
Commerce
Commission,
of dollars per mile to construct.
the regulatory body.
Contractors, taking advantage
For
instance, the railroads in
of technological advantages, have 1946
hauled about 40%
of sand

Capital Inc.

Capital For Tech. Ind.

Corp.

a

New

concrete, sand and
gravel, and all types
of road
building
equipment
and
ma¬
chinery.

been

Sierra

Francisco

tremendous

a

asphalt

When

from

construction

The

Act, the

Capital

drive

to

San

to

met.

motorist is supposed

a

stop for

be

can

able

York

of 26,000

highway officials believe

schedule

to

a

excess

struction costs have gone up since

following SBIC'S
Gulf Southwest Capital

taxable

profit." He calls today's
"profitless prosperity."
Meantime, many motorists who
have been driving on links of the
1972 Target Date
divided interstate highways like
Original
plans
set
forth
by them and are helping the high¬
Congress calls for completion of way
industry
people
beat the
the
Interstate
System by 1972. drums
for
more
and
better
in

There has been

trading list

13-15,

Beach, Fla.)

higher by improvements, the "contractor

and

with

trucks

on

weight
pounds.

only

our

rubber,

tread

gross

share of the high¬

funds

taxes

have added to

Electronics Int'l

Sept.

Sept. 19-21, 1962

to

Federal

The

we

Corp.

our

tion annual convention.

generally

Corp.

only

Florida

this

Capital Corp.

invite

customers."

place many people are
realize that this program
is the biggest single construction
program
that has been under¬

For Banks, Brokers & Dealers

Business Funds, Inc.

small—we'll

party

our

In

TxJ

Boston

keep

of

it.

Meeting.

(Chicago, 111.)
Club of Chicago

outing.
"Let's

first

Most

Hotel.

Sept. 13-14, 1962

series

Association

ment Bankers Association

-

to

way

Many reports have reached the

a

(Chicago, 111.)

Bankers

(Denver, Colo.)
Mountain Group Invest¬

Rocky

Signs

are

Invest¬
Meeting

Sept. 12, 1962

is not all good, of

There

things

Audit

and Investigations.

Minus

program

course.

the

Big Business

is

Congress

of

1

Group

Municipal Conference at the Pick-

mighty highway construc¬

yet
Road

'

'

■

Investment

irregu¬

other

larities.

larities have sprung up

gan

investigations
and

Sept. 11-12, 1962

al¬

collu¬
irregu¬

speculation,

fraud

leged

of

instances

of

number

A

all

direct

will

(Gearhart, Ore.)

Northwest

ment Bankers Association

appropriations of more than help to oversee the purchase of
$1,100,000,000 for each of the 1964 rights-of-way with the aim of
and
1965 fiscal years.
stamping out, if possible, specula¬
This
is a tremendous amount tion and collusion.
of money to be spent. When the
The offce to be known as the
Federal
funds
are
matched in Office of Audit and Investigations

■irv

(Denver, Colo.)

Bond Club of Denver 28th annual

light-free high¬

sion

part by the State funds, obviously
the outlays will have a bearing

views.1

speculators reportedly have

Some

reflect

to

interpretation

COMING

Subcommit¬
Representative

Investigating

tee,
John

scene"

from the nation's Capital and may or
may not coincide with the "Chronicle'**

behind-the-scenes interpretations

WASHINGTON, D. C.—The Ken¬

on

carry

[This column is intended
the "behind the

1

to

years

the mighty program.

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I

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and

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FOREIGN

SECURITIES

&

Co. Inc.

Common

and

Warrants

Bought—Sold—Quoted

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