Full text of Commercial and Financial Chronicle : June 15, 1961, Vol. 193, No. 6064

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The COMMERCIAL and FINANCIAL

CHRONICLE

ESTABLISHED 1839

Volume

Number

193

New

6064

AS WE SEE IT

Editorial

York 7,

g;

Price

N. Y., Thursday, June 15, 1961

Reg. U. S. Pat. Office

Cents

50

Copy

a

Present Outlook for the Arrival

topic of conversation wherever two or three business
analysts are gathered together is now not how much
worse business will get before it gets better but rather
how much further the recovery will go, how much better
The

the second half of this year

Of

there

course

are

Of Competitive Atomic Power

and the year, 1962, will be.
always

being made to peer into the economic
change in general sentiment is clear.

when attempts are

future, but the
The

change is significant for several important reasons,

them the fact that the actual effect of the antidepression programs of the Administration is still to be
felt. There can be little or no doubt now that the pro¬
among

posals of the Administration will become law in suf¬
quite substantially to the Federal

ficient number to add

Such

situation

a

always

is

a

stability of

threat to

prices and normal, healthy development of business. It
is especially so at the present time in view of the weight
the powers that be evidently assign to a reduction in
unemployment and .to the inducement of greater eco¬
nomic growth at almost any price. The outlook is cer¬
tainly not conducive for success in the marketing of

large additional amounts of Federal debt among bona
investors rather than directly or indirectly in the
commercial banks. Revival of business on an important

fide

scale

regularly stimulates demand for investment funds

where better

yields

to be had than on government

are

Bailing Holders Out

banks into the longgovernments market is already giving broad hints

about what may

happen if and when there is a vigorous

The Reserve banks have suc¬
ceeded chiefly in providing an opportunity to holders
of long-term governments to unload in preparation for

upturn in general business.

to

1968

AEC's

predicts competitive atomic

invade the 25-35 cents

it will

timistic"

medium-cost fuel

per

million Btu or

in the early 1970s —about half of

areas

other

types

of invest-

(Continued, on page 32)

a

marily in the New England and California areas,
there are more than 15 million kilowatts of power
generated with fuel costs of 35c or over per million
This high fuel price as compared to the rest

Btu.

of the country is due to

the distance of these

areas

good sources of fossil fuel and the resulting
transportation. Of this large

from

Nichols' survey describes beneficial factors

block of power more

General

affecting

and urges

industry as well

ment's

as

of the govern¬

participation in the program.

comparing atomic power plants with fossilI have considered annual fixed charges
at 14% and the use factor at 80%.
I recognize that
some will consider a use factor of 80% as too high,
but that figure seems to have general acceptance
for comparative purposes and I have assumed it
In

fuel plants

plan to discuss the prospects, both short-range
and long-range, for atomic power.
From a short-

I

range

point of view I plan to discuss how soon we
to having atomic plants in the

look forward

300-400

megawatt

range

on

a

for this discussion.

competitive basis with fossilfuel power stations in high-cost
fuel areas of the United States.

Experience Abroad

considering the three types of reactors for
which extensive experience is available, let us first
In

plan to discuss some of
the factors that affect both the
also

look at the

short-range and the long-range

actors

-

cooled graphite re¬
be considered.

will

have

that

point where sufficient data are
available now,
both from a
construction and operation

plant consists of two units and will produce 330
megawatts gross —300 megawatts net — when in

Gen. K. D. Nichols

full
is

operation in mid-1962. The cost of this plant
set at $162 million which represents a cost

now

of

$490.00

per

kilowatt

for

the

gross

installed

capacity, or $540.00 per kilowatt net installed
capacity. These high capital costs, even with antic¬
ipated future reductions,
(Continued on page 36)

in general terms, the basis for say¬

ing whether atomic power is or

which

of

point of view, to base sound estimates of cost for
producing power.
Prior to discussing these three types I would
like to define,

pertain to the Bradwell Station, the first unit
is due to go critical this month.
This

data

the only
reached the

These three types are
ones

This type

experience for the Calder Hall type of plant since
1956.
Moreover, the program has been of suffi¬
cient size to acquire reasonable cost data for con¬
struction of large plants.
The most up-to-date

reactors,

cooled

-

gas-cooled natural uranium.

plant has been developed primarily in England
and in France.
In England we have had operating
of

prospects for atomic power.
Looking at the short-range
gas

than 10 million kilowatts are

produced in plants of 300 megawatts or over.
Hence, if atomic power plants of this size can
compete in these areas there would be a sizable
market for such plants.

the detrimental
private utilities to support atomic power if

atomic

the

they are to influence the extent and nature

can

For

areas.

increased cost due to

tions.

I

in high-cost fuel

utility market, and offers other longer ranging projec¬

the

and water

change in Federal Reserve

policy which has led the Reserve

turn

manager

in our high-cost fuel areas prior to
target date.
Moreover, he is "reasonably op¬

power's achievement

reactors,

The fact is that the recent

a

general

power

high-cost fuel area I refer to fuel costs of 35c
or over per million Btu.
In the United States, pri¬

prospects first, only the water

obligations.

term

AEC

Former

ones,

budget and the Federal deficit.

with fossil

By Major General K. D. Nichols,* U.S.A., Retired
Consulting Engineer, Washington, D. C.

differences of opinion now as

is not competitive

—

Underwriters and distributors of

STATE, MUNICIPAL AND

PUBLIC UTILITY INDUSTRY ISSUE

U. S. Government,
Public

Federal Intermediate Credit Banks

JAPANESE

STATE add MUNICIPAL

Lester, Ryons & Co.
623

DIgby

Office:

Head

New York 15

•

•

Affiliate:

THE FIRST NATIONAL CITY BANK

Inquiries Invited
California

Securities Co.

Bond Dept.

Net Active

To Dealers,

t. l.Watson &Co.
ESTABLISHED

1832

Members
New York Stock Exchange

first

American

Cooperatives

Association

United States Government Insured Merchant
Marine Bonds and

Southern

Teletype: NY 1-708

New

York

Correspondent

—

Pershing & Co.

and

Development (World Bank)

Municipal Bond

Division

O

THE

MANHATTAN
BANK

LOS ANGELES

The Consumers' Gas Company

Markets Maintained

Banks and Brokers

Stock

Exchange

Rights

LOBLAW, INC.
Orders Executed
Exchanges

Commission

On

CALIFORNIA

We offer to buy the above

rights which
expire on July 7, 1961, at the

Invited

Block Inquiries

DIVERSIFIED

(Toronto, Canada)

ONDBRWRIinB

BBALBR

on

Securities

•

SAN FRANCISCO

DISTRIBUTOR.

del Mar,

Riverside, San Diego, Santa Ana,
Santa Monica, Whittier

OF NEW YORK

TOKYO

Kasai

Nikko

Corona

Claremont,

Oceanside, Pasadena, Pomona, Redlands,

NT 1-2759 U

4-7710

in

Encino, Glendale, Hollywood, Long Beach,

Y.

Teletype:

Telephone:

DEPARTMENT

30 Broad Street

Banks for

Federal National Mortgage

on
International Bank for Reconstruction

25 BROAD STREET
New York 4, N.

Federal Home Loan Banks

Members Pacific Coast Exchange

Offices

Securities Co., Ltd.

Chemical Bank
NewlbrkTrast Company

17,

Associate Member American Stock Exchange

BONDS

The Nikko
1824

Hope Street, Los Angeles

Members New York Stock Exchange

HAnover 2-3700
Founded

So.

California

SECURITIES

BOND

of

Federal Land Banks

Municipal

Securities

NOTES

Dealers in and Distributors of Securities

Housing,

State and

TELEPHONE:

PUBLIC HOUSING AGENCY
BONDS AND

current

All

market.

Direct Private Wires to

Canadian

Toronto, Montreal, Winnipeg, Calgary,

Automobile

Vancouver, Victoria and Halifax

Assembly

CANADIAN DEPARTMENT
Teletype NY 1-2270

goutfuoedt
company




25 BROAD

STREET

NEW YORK 4, N. Y.

DIRECT VIRES TO

goodbody &
MEMBERS

BRIDGEPORT

„

•

PERTH AMBOY

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NEW YORK

LA SALLE ST.
CHICAGO
- <•*

1 NORTH
,

■;

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-

,=

Grporatiom

CO.

NEW YORK STOCK EXCHANGE

2 BROADWAY

Dominion Securibbs
Associate Member American Stock

40

Exchange

MUNICIPAL BOND

Exchange Place, NeW York 5, N. Y.

Tel. WHitehall 4-8161

Tele. NY 1-702-3

DEPARTMENT

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

FRANCISCO

»

LOS ANGELES

2

The Commercial and Financial Chronicle

(2598)

The

Security I Like Best,..

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

Public

Utility

This
Forum

of experts

.

.

.

Thursday, June 15, 1961

Week's

Alabama &

Participants and

Their

Selections

advisory field from all sections of the country

in the investment and

participate and give their reasons for favoring a particular security.

De hi-Taylor

Oil

Corp.

Edward

-—

Louisiana Securities

H.

Bonds and Stocks
&

costs

which

•
.

"

'•;

*

'

'

'i'

"

'*

,5

New York Hanseatic

longer

ate

Associate Member
American Stock Exchange

WOrth

1-40

Wire

Gulf

65%

Digest, and
that

give

picture

our

you a

as

a

H.

E.

Stock

not

orders

an

for

offer

,of

natural

Co., Ltd.

any

solicitation

is

five-year

a

largely

Oil

for

been

brands.

as

service

book-length manuscripts of all

seeking
types—

financial

subjects. Special attention to

writers.

new

For

more

fend for booklet CN—it's

information,

free. Vantage

the

to

up

Private

were

in

Texas

and

the

and

New

'56

are

rr<
*

is

gas

the

San

bits

El

develop

Natural

96,000

Juan

some

Gas

of

wells

"Down

Exports—Imports—Futures

every

number

of

field

prices

Delhi's

raised

were

applications
a

in

for

the
last

other

better sales trend.

stock,

traded

Over-the-Counter

in

Market,

the

will

is

pot

associated with cash dividends

nor

they desirable to the type of

are

investor who should be interested
in

feet

the

shares.

building

up

The

company

is

and thereby

reserves

stock

final

er's value without

Nat¬

the constant drain of income taxes

States

recoverable

cubic

million

Gas

increases and

to

the

cubic

believed

including

Liquid

the

on

deal.

with

year

at its

Company and its

trillion

Refined

in

The

type.

completed

without

Delhi

this

outstanding since the Three

McAllen

constantly adds to the stockhold¬

on

prop¬

to

have
of

reserves

feet

of

natural

cash

and

,

gas

business

While

promise

the

potash

strong

with

gas

possibilities of

lative

oil

steady

long-term
a

project

potential

real specu¬

break-through in Australia.

Paso, Dakota Sands deal.

The

stock

30%

below 1957 highs and, whis¬

Under"
acres

tremendous

consisting

play

of

129

pering

in the Great Artesian

Basin of Australia.

As in the

trillions

case

in
of

at

about

the

17 3A

is

some

background,

cubic

DAI W A

the

interest

nancial

t. e

dustry,

j.ju

fad

Unfor¬

disregard

values

has

will

which

believe

I

BOUGHT

re¬

stock

common

many

in¬

and

unhealthy

an

fundamental

for

<.

it

Has

introduced

Line

of

New

a

Display

Discount Houses

and

feet

of

are

natural

Since

the

present

control

assumed

Potential

management

four

Electrolux has had

the

following results:

in

earned $1.28

company

ago,.

years

Special Catalog

outstanding
indicated by

an

record of earnings as

the

1957

share; in

a

First

quarter
75

were

earnings

cents

in

share

a

.increase

was

higher prices
troduced
an

on

unit

level,

sales

an

$3.25

to $3.50

stock

at

ing

at

times

which

WOodward

a

in

1961

DE

City,

Bay

75

Mich. '

1960

should

TAX SHELTERED

INVESTMENTS

share.

a

Thus, the
price is sell¬

current

modest

estimated

1961

10

to

11

earnings.

$11.2 million, compared favorably
current
liabilities
of

r<\yith. total

million.

—

Even

equal to the

very

.

26, MICH.

2-3855

Office

Branch

all-time high of between
its

Exchange

has

now

In ..addition to increasing earn¬
ings, Electrolux has a very strong
financial position. As of Dec. 31,
I960,,total current assets of $40.2
million, including cash items of

$11.4

DETROIT

This

cord-winder.

earnings

reach

corre¬

year.

Stock

Penobscot Building

largely
due
to
the recently in¬

model

automatic

with

last

1501

com¬

pared with 61 cents in the

sponding period

Members

Midwest Stock Exchange
Detroit

1961

as

Request

on

M0RELAND & CO.

1958—$1.79 in 1959—$2.47; and in
1960—$2.66 (excluding 25 cents a
sh^re from the sale of real estate).

The

has

company

IN
Send

OIL AND

free

for

1,-

230,000 common shares outstand¬
ing. Although Electrolux expects

GAS

information

on

the

tax

shelter and other economic advantages
to be
found in oil and gas interests.
This

is

such

interests which

not

offer

an

for

the

sale

of

can
only be made
offering sheet filed
with
the
Securities
and
Exchange
Commission.
A copy of the offering
sheet on the latest offering of inter¬

by

of

an

also

be

means

ests

will

furnished.

ADMIRAL OILS,
600A

$5 million long term debt and

Bettes

Oklahoma

City

Inc.

Building
6,

Oklahoma

diversify its operations through
acquisitions, there are no plans

for

any

public

foreseeable

higher

to

financing

future.

earnings
the

be

a

in

the

Because

and

indicated

idend of $1.20

of

fi¬

sound
annual

div¬

share is expected
sometime
this

increased

year.

The

key to the company's

cessful

operations

method

of

Companies

has

which

sell

basis

variations

suc¬

been

door-to-door

door^-to-door

price

gas.

Quotation Services
for 48 Years

selling.

only

on

tolerate

from

its

Over-the-Counter

their

a
no

National Quotation Bureau
Incorporated

list

1913

price, while companies which sell

4-2727




for

Super Mar¬

Tremendous

with

Product

Equipment

Established

Dlgby

SOLD

L A. DARLING CO.

kets

deserves.

—

a

eventually receive the recog¬

nition

OFFICE:

space-

stocks.

tunately,

YORK

Telephone: BEekman 3-3622-3

and

puoLc

age,

NEW

149 Broadway, New York 6, N. Y.

com¬

heavy
Keith Wentz

Securities Co.9 Ltd.

by
fi¬

the

munity

nances

has

gas to be gained

the

has

a

for

sons

to

exposing him to

dividends.

improvement,

million barrels of oil and 2.1

in the El

of

regularity

no-cash

a

Three

is

surprising

based

States

Dakota

Paso

300

billion

has

Delhi

proven,
39.4

El

to

On

Delhi

of

Delhi

to

com¬

'61 of $100 million, net of
million or about 85 cents per

shares

in

is

in

72 cents which topped every
except 1957's 75 cents. In the

share

major
deal vnth

signed

has since

600.000

year,

$5

west

Paso

acres

600

reserves.

ural

—

to which

some

tion of last year and the manage¬
ment predicts sales for the full

and Delhi expects to

expense

erties.

El

.Basin.
150

acquisition

Gas

which

belonging

deal,

Raw

stock

some
a

of

rea¬

was

first quarter of '61, earnings were
37% better than the similar por¬

build-up is un¬
prohibitively
high-cost

under

latter

1958,
year throughout the indus¬
In 1960, per-share earnings

were

reserve

Paso

1960

of

SUGAR

the

long term
with equity

$45 million
million.
The

added

a

year

and

Manage¬

on

partnership with
companies. Typical is

gain

5, N. Y.

for

situa¬

stock's neglect
is the current

security

included

year

of

try.

of

acquisition
an
expected

"explosion"

limit.

to

bad

a

Basin

Juan

with

into

own

STREET

in¬

hard

refinery has made money in
year with the exception of

and, consequently, Delhi has gone

San

WALL

a

emphasizing

drill from

NEW YORK

under

is

SECURITIES

an

One

apparent

this

pletion of the Three States acqui¬
sition.
Earnings have moved for¬

varying
importance
Southwestern
and

reserves

A

Sand

LAMBORN & CO., Inc.

which

JAPANESE

in

of

growth
tion.

$20 million

develop

can

common

ex¬

Field

for

offices

undervalued

in
$2

to

research

$25

been

properties

gas

McAllen

Mexico

of

usually

^

teristics

$17 million

extent

branch

our

to have

all the charac¬

With¬

to

to

manu¬

appears

to

represented by 5,316,842 shares of

sales

brand

in

zero

Domestic oil

coast.

9 9

of

pected to reach $50 million in '61.

demand

WSsOfeS

States,

an¬

sales
only

wires

V

cleaners

vacuum

further

were

set

are

The

Mobile, Ala.

both

Delhi.

rose

business

ment

C/>

and

debt

New

with'

outlets

new

'61.

present

south.

central

Rocky Mountain States.

%

of

sulted qdn

Billups

the

in

'60

'57

for

1960.

center

NY 1-1557

Orleans, La. - Birmingham, Ala.

Direct

Perhaps^ ip, is sufficient $o>gqy that
^prices rising to levels winch have
it is steady and should
be pro¬
very little relationship with past
longed.
or
possible
future earnings.
The
company's
finances
are
Electrolux, however, stands out as
orderly and are well manage!. an excellent
example of an over¬
Capitalization at the start of the looked

Southern

in

in

business

Company with

stations

throughout

^

muriate

add

which

field

ing

which

Exchange'

Electrolux

largest

pe¬

increasing

details,

with

of

the

the life

potash

ward

of

facturer

the United

of

stock

common

Corporation,

interest

to

tensive

gains have been achieved

pieces

Press, 120 W. 31 St., New York 1.

of

45% gain in refined products dur¬

fiction, non-fiction, poetry, business and

The

Texas Gulf's fa¬

luster
going into

in

Utica, Rochester and Syracuse and
leased facilities in Albany. Spec¬
tacular

Stock

St., New York 6, N. Y.

Corporation

one-half million.

and

in

also acquired

interest

swing

through

is

Pacific Coast Stock Exchange
Electrolux

to

over

New

Fay, Inc., San Francisco, Calif.

are

25%

to

gradually

a

private

to

acquired

stock

a

American

Exchange

Members: New York Stock Exchange,

are

tons

this

State, Delhi has recently
completed terminal facilities in

York, N. Y.—One of the nation's

publishers

upped

out

York

BY N. Y. PUBLISHER

the

These

"growth"

Former tanker

changed

Delhi

35%

With

AUTHORS WANTED

deposits.

million

result of

a

In 1960 the company

particular securities

15%

Petrochemicals

n

Company of Fort Lauderdale

150

book

jump

with 45 service stations in Florida.

a

largest

be

1965.

the

lion

re¬

sales in the spot cargo market

have

York Stock

HAnover *-0700

WENTZ

Manager, Research Dept., Hooker

"lively sparkle" of regular

Eastern Petroleum

New

and

gas

complete change in the company's

York 6, N. Y.

or

to

in

profits extending

nually,

achieved

Telephone: BOwling Green 9-2895
is

rate

a

\

expected
to
be
on
stream in '63, producing one mil¬

sales from $52 million to $98 mil¬

lot

This

with

cilities

lion, and in net from $1.6 million
to
$3.7 million,
a
doubling

Japanese
whole.

ex¬

received $500,000

Delhi

in

Bradtord

exploration,

Australian

marketing policy.

61 Broadway, New

a capital
million by

$25

of

sparkle

business

Nomura Securities

The

of

million

one

other reports
pretty clear

the

of

economy

Sulphur with

riod

a

serves.

IN JAPAN

KEITH

Co!

Steinir Rouse &
19 Rector

developed under

guaranteed minimums for the

The

Monthly

be

busi¬

with

development

our

to

annual

an

punch lies in potash, petrochemi¬

Opportunities Unlimited

,

Members

&

high

largest,

oil

cals,

Bought—Sold—Quoted

Keith

—

Members New

vv

the

in

in
1960 for signing the contract and
$1,000,000 in January of this year,

but its terrific

for

analyst A to

$2.2

an

Corporation

z

stock

from

ness

System

e n

bring out

Delhi

an

'A.i:\

are

latter.

present

lively

Write

even-for

penditure

company

its

t

Manager,
Research
Dept., Hooker & Fay, Inc., San
Francisco, Calif. '(Page 2):
-

seismic

income

SAN FRANCISCO

•

Private

of

W

If

Hill.

favorable agreement with Texas

a

rise.

derives

CHICAGO

•

PHILADELPHIA
Nationwide

NY

Teletype

4-2300

BOSTON

The

York 5

120 Broadway, New

States

minor

market

dome,

Electrolux

with

grade potash deposit in the United

basis

a

studies

surface

Interests

prospects

of

Broken

suppress.

immedi¬

1920

and

hard

a

calcu¬

with

Ltd.

is

leap like a startled kangaroo.
thought, though speculative,

The

is

to

on

lated

Corporation

instance

conclusive

a

term

growth

this

or

will

is

company

in

airo-magnetometers,

tests

'

—

medium

well

Established

Delhi-

the

this

of

stock

suited

best
'

■

the

Taylor Oil Corporation and char¬
acterize the investment interest to

Distributors

deal

exchange
discoveries.

participation V in

Santos

Dalhi-Taylor Oil Corp.
dominate

development,

to be shared in

The

Company, Inc., Boston, Mass.

Murchisons

Juan

San

are

for

Underwriters
Dealers

the

of

H. BRADFORD

EDWARD

Vice-President, Research, F. L. Putnam

Bradford,
Vice-Fresident,
Research,
F. L. Putnam
Co.,
Inc., Boston, Mass. (Page 2)

(This is under
as

a

4

no

circumstances

solicitation of

an

offer

to

to

he construed

buy,

as

an

offer

to

sell,

or

through

normal

retail

channels

46 Front Street
CHICAGO

any

security referred

to

herein.)

Continued

on

page

41

•

New York 4, N. Y.
SAN

FRANCISCO

Volume

Number 6064

193

.

The Commercial and Financial Chronicle

.

(2599)

CONTENTS

Aiming for the Future and
Thwarting Nationalization
Sherman

By

Knapp,*

R.

Retiring

President, Edison

,<•

-

plans

nationaliza electric

to

the

powzr,

-

of

combination

a

continued doubling

electric

and

gas

appeals

company,

The

President

education

for greater '

Outlook

—William

of

private

and

power

7

_

__

———14

Obsolete Securities Dept.

H.

Staring, Jr.__^___

WALL

99

_'

:__

STREET, NEW YORK

Telephone:

'

16

__

WHitehall 4-6551

18

New Plant Financing—Richard'F. Torrey

greater alertness

often

so

Credit and Investment Markets

for

of the "Live Batter Electrically Program"; forecasts
benefits

it

get

13

Pennsylvania Authority Bonds and the Investor

'

of loads in this decade; and calls for more public

the

on

—we

11

—

Deflation Ahead?—James J. 0'Leary__

or

—Eugene C. Zorn, Jr

-

member support

:__

every

Inflation

of power pooling are some

Knapp. " The trade association's spokesman, who also is

"OVERBIDITIES"

5

—_

-

Thirsty Stocks—Ira U. Cobleigh___

of the
urgent problems facing the industry, according to retiring President
and the enlargement

pansion,

Ahead

__

-

acquisition of ample private financing for industry's continuing exr

Schmidt

P.

C'OMPANY

AND

Page

Analysis of Political and Economic Climate
—Emerson

Administration's

Reported

cumin

U.S.
7

Articles and News

Electric

Institute, and President, The Connecticut Light & Power Company

3

'

On June 4,1 had the

ilege

honor

and

Alva Edison

It

distinct priv¬

participating

of

in the ceremony by
Hall

which Thomas

inducted into the

was

pressive
mony

notable

Edison

be

ap¬

for

to

me

R.

Sherman

Knapp

repeat

of

some

the

com¬

the presentation.
thousands

"For

Edison developed

electric

the first electric

( In

has given us.

energy

century, electricity has

a

which

changes

great

wrought

deserves

of

Compensating
,—Edward

.

a

full

Electric

__

r._„_

Lindy Hydro. Products*
3

_

Singer, Bean

23

&

enterprise economy

White___

;

v__

Utility Issues

as

24

Investment Medium

tous

—Philip Sporn

26

Factors

Some

—Frank

Consider in Electric

to

Utility

'*

Financing
34

vr'*»)

f

•.

••vtvf**''.

.

'■

.'••

&
■

'h.

'"

•
.

'

complished by the waving of a
no matter how magical the

wand,

then

between

contrast

and

now

undoubtedly

would

slowed

his progress

,

#

7'

#

Ely

42

•

•

»

st. louis capital
.

*

'

'•MI-

,

.

PICTURES

1

IN

ISSUE:

THIS

Candid

taken at the

photographs

tower design, inc.*

the Municipal Bond Club of New York ap¬

Annual Outing of

of

this

electricity.
progress

What
phases

enough.

marvelous

succeeding

in

come

in the first

seen

electrical

of

phases

have

we

king kullen

is

may

ity

THE

Edison

in

A

IT

OR

While un¬

SUCCESS

importantly

other

that

believe

utility

Thomas Edison were

ly

responsible for the develop¬
growth of this great in¬

of

ity
Edison's Business Vision

son's

biography
the

mind

from

whole

system

tribution

tricity

Mr. Edi¬

was

that he had in
beginning
the

important and,

than

have

specialized in

enterprises

by

Salesman's

Security

have

from
been

The Market

governmental

the

The

.

.

.

Best

Security I Like

page

38

Boston

Newark




Chicago
Schenectady

Glens Falls
Worcester

Issues

Place,

CLAUDE
WILLIAM

D.

to

June

15,

Pan-American

Treasurer

SEIBERT,

Chicago

news,

Office:

3,

111.

matter

Febru¬

135

(Telephone

per

year;

S.

of
in

year;

Bank

$45.00

St.,

STate 2-0613).

and

Note—On
rate

foreign
must

be

Quotation

year.

per

Record

(Foreign

account

of

the

39
—

extra).

fluctuations

New

York

funds.

WHitehall 3-6633

in

exchange,
remittances
for
subscriptions
and
advertisements
in

BROADWAY, NEW YORK 6

Monthly,

Postage

of

made

W? V. FRANKEL & CO.
INCORPORATED

Other Publications

the

Salle

$65.00

of
Canada,
$68.00
per
Countries, $72.00 per year.

1961

La

Union,

Dominion
Other

Editor

etc.)

South

In
United
States,
U.
Territories and Members

Possessions,

SEIBERT, President

Thursday (general news and ad¬
issue) and every Monday (com¬
statistical issue — market quotation
records, corporation news, bank clearings,
Other

second-class

Subscription Rates

Every

city

request

at

Subscriptions

plete

and

as

1942,

25,

Y.

9576

vertising

state

on

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

New York 7, N.

2-9570

DANA

*Prospectus

COMPANY, Publisher#

DANA

B.

Park

Reentered
ary

U. S. Patent Office

Thursday,

TELETYPE NY 1-5

Corp.

Company

CHRONICLE

FINANCIAL

Members New York Stock Exchange

Copyright 1961 by William B. Dana

Twice Weekly

COMMERCIAL and

->

ST., NEW YORK 4, N. Y.

■

64

—

GEORGE J. MORRISSEY,

Nashville

Land

6

.1—

All

REctor

Spencer Trask & Co.

t

-

Reg.

Albany-

10

beginning,
have

on

■

2

—:

—

Industry

Tax-Exempt Bond Market—Donald D. Mackey

PREFERRED STOCKS

1868

Gulf
t, M

17

and You—By Wallace Streete

The State of Trade and

The

TELEPHONE HAnover 2-4300

60

22

Corner

those who

Continued

in

48

—

—

.

25

25 BROAD

42

Prospective Security Offerings

WILLIAM

,

15

—

Washington and You

Almost

there

Founded

;__——

Securities Now in Registration

Published

For many years we

DIgby 4-4970

one

dustry.

complete business. The
the incandescent
an

more

public interest was protected
against the basically monopolistic
character of the public utility in¬

development of
lamp

by

authority became the most widely
used
means
of
seeing that the

of generation, dis¬
utilization of elec¬

and

as a

served

capital investment to revenue.
this country, regulation of util¬

In

[

Broadway, New York 5

4

Securities--

Public Utility

supplier because of the high ratio

the light

Governments

39

was

be

to

ment and

It is clear from reading

11

Our Reporter on

recognized early in the
industry's history that it would
be uneconomical for a given area
It

activities of
more direct¬

itself.

7

Observations—A. Wilfred May___

industry, I

dustry of ours than was

IN A COTTON THREAD"

Role of Regulation

development

the

to

electric

the

20

NSTA Notes

J.F.Reilly&Co.,Inc.

45

News About Banks and Bankers

FLAME, CHEAPER THAN OIL

Request

47

LIGHT WITHOUT GAS

A

MAKES

on

12

of the News—Carlisle Bargeron

OF PAPER

SCRAP

*Prospectus

Crisis in Sterling This Autumn". 12

Mutual Funds

doubtedly the invention of a prac¬
tical
electric
lamp
contributed
of

From Washington Ahead

a

ELECTRICAL ILLUMINATION

of

particularly

the incandescent lamp.

Einzig: "The Prospects for

capital

8

Investment Recommendations

Dealer-Broker

electronic intl.

64

Events in the Investment Field

Coming

GREAT INVENTOR'S TRIUMPH

19

46

Indications of Current Business Activity

his

with

connection

inventions,

various

think

frequently

IN

Cover
J

Stocks

Bookshelf

Businessman's

LIGHT

"EDISON'S

grocery

(Editorial)-

Bank and Insurance

the

may

be

most

Electrically Program which
"flameless." • In
connection I would like to

headlines from
the
front-page story in the New York
Herald for Sunday, Dec. 21, 1879.

to

We

See It

As We

features the word

beyond our present abil¬
comprehend, but it is not
beyond man's power to create."

well

Features

Regular

Better

quote

panacolor, inc.

materially, or

perhaps stopped it altogether be¬
cause
of utter frustration..
Inci¬
dentally, I think Mr. Edison would
have been thrilled by today's Live

"What

in today's Pictorial Section.

pear

have

Human imagination,
thought, and effort on the part of
millions of people brought about
the benefits from the mighty force
appear.

may

St. Louis

San Francisco

How Serious Is the Public Power Threat?—Owen
'

Philadelphia

31

____•

Chutter

D.

Cleveland

Los Angeles

Strengthening Economy

a

—George W. McKinney, Jr.:

owe

Chicago

26

_____;

Utility Financing in

problems of Federal Govern¬
competition and harassment

which

inc.

40 Exchange Place, N. Y.

Teletype NY 1-1825 & 1-4844

!__

ment

But these momen¬
developments were not ac¬

mackie,

HA 2-9000

Direct Wires to

operate.

to

Agencies

Regulatory

Prerequisites to Assure Electric Power's Future

the

of

request

21

Balances and

B.

on

of Utility Industry's Needs

measure

The early
days of the formation of the Edi¬
son
Electric Light Company.; involved
many
discouragements,
but at least he was not faced with
the

Thwarting Nationalization

and

Knapp

—Roger W. Babson

great deal to the form of gov¬
ernment under which they were

kind of living.

Amer. Int'l Bowling

Cover

_

Distribution—Vital for the Utility Industry—J. A. Hutcheson_

a

have advanced our whole life and

Atomic

*Prospectus

$14

about

founder

the

as

permitted

of Competitive

—Charles C. Glavin__

utility industry.
But he
others who contributed
to the industry's subsequent suc¬
cess
as
an
important element of
free

Future

R.

Elements in Financing

busi¬

electric

our

before

of years

light system, men had lived with¬
out
the
countless
conveniences
less than4

a

and many

ments which I made in connection

with

nothing to

facilities

credit

of

Electronic Capital

investment in equip¬

an

Edison

it

propriate

would

—Sherman

Now, 30 years after his
the investment of the in¬
companies in our
industry has more than tripled to
a
total of over $46 billion.

bust,

think

I

and

the Arrival

for

Aiming for the

October, 1931, just

vestor-owned

the

of

UTILITY INDUSTRY

Power—Major General K. D. Nichols

from
At the time

death,

Insti¬

Outlook

PUBLIC

am sure

billion.

of the presen¬

tation

long

a

now.

are

and

ment

consisted

tute

we

with

ness

a

Edison

the

of

Present

way

would be

we

had grown from

representative
Electric

I

Elec. Int'l Capital
ABOUT THE

•

after the invention of the
incandescent lamp,
our industry

took
as

and

52 years

part. My brief
role

concept

of his death in

in which

people

the

of

-

realization
economic potential of the

over-all

where

cere¬

many

an

that

im¬

an

was

White Shield

essential part of the complete system, but without Edison's

fact,

electric power business,

Fame.

of

5'^",

to attracting new investors.

-■

-

-.

Teletype

NY 1-4040 & 1-3540

4

The Commercial and Financial Chronicle

(2600)

strated

OBSERVATIONS...
A.

BY

WILFRED

York

in

the

ex¬

for

order

bridge

New

the

clusively
In

the
over

River, which is used

Harlem

MAY

of

case

Central's

service.

passenger
have

to

the

Major

level.

published

4)

pro¬

a

posal that in view of the punctu¬
ality and efficiency of Europe's
railroads, we should bring their
technicians

operators how
our

our

properly to run

This

railroad.

here to show

over

would

local

the

with

Westchester

the

New York Central's President the

ment of the New York Times last

(June

at

Riding down to New York

from

City

DOG-HOUSE
The Letters to the Editor Depart¬
week

appreciated

clearly

INTO

tied

be

foreign aid program, on

a

a

to

sort

of "reverse Lend Lease" arrange¬

other

shown the
striking evidence. The $300 mil¬
lion worth of bridges and tunnels
night

were

we

built

by

aegis

of Robert

the Triborough Bridge
and Tunnel Authority under the

nificent

and

sity; but
in

million

Furthermore

taxes.

tax

of

neces¬

not charged a penny

are

income

mag¬

are

communal

a

property

no

Moses

is

the $25
annual earnings.
paid

their

on

ment!

Insult Added to

Injury

Unfortunately this represents
too

widespread

the

a

deep-seated

misconception

of

and long-lasting
plight of our rail¬
road
system.
Specifically over¬
looked is its stemming from the
nature

the

of

structure

pressure-group

of

our

no

property taxes And likewise
Authority's income from

various
are

easy

On

is

frequently
pointed
out
without
result, abusive taxation including
discriminatory depreciation rules;
the ICC's hampering (as in pre¬

minimum

scribing
maximum

and

maximum

have

The

on

rough

rail

transportation,

their

subsidy
feather

-

terminal

erty
the

serv¬

policies;
bedding

treatment

carriers

can

more

not

was

which

tax-free.

is

only

of

pays

the

on

Central,

Federal

Gov¬

which

had

been

no

companies do not
operating
the

originally

For

truck

per

year,

Port

charged with

re¬

in the area,
hands

The

it has always washed
of any responsibilities

transportation.

taxes is demon-

New

Jersey,

for

tral's

taxes

are

example, Cen¬
approximately

NEW YORK

tax

assessed

at

ended

York,

in

New

action

been

(This

recently

via legisla¬

stimulated

Rockefeller

nor

in

substan¬

a

percentage.
has

tive

levied

by Gover¬

and Mayor

economic

organized

Favored

Thruway

The

state

new

com¬

of the

for

New

York

example,

collected

State

the

from

gross

its

parcels
when
In

they

up

were

of

case

less

are

Connecticut

the

effects

"Wages

and

labor
two

from

to

five

labor

not

only

undermines

BROADWAY, NEW YORK 6




Thus,
draws

world

well

as

domestic

as

government

recog¬

the

for the

of

they

put

and

taxes,

other

some¬

before.

they had

on

same

property

they lost when the Thruway
erty became exempt.
In
the

New

Haven

prop¬

legislation which

passes

adequately deals with it, as it has
business, there is, in my

is

highest burden of the tax load
for a facility which is to be used
in direct competition with it.

Unfair,

is

too,

the

policy

tax

when railroad property is sold or
tracks
retired.
In
many
cases
where

it

has

property
a

owned

was

been

the

on

certain value when

by the railroad, the

when

nonrailroad

it

is

owned

company

by

indi¬

or

vidual is cut substantially. When
tracks are retired from the right-

.<

not

much

chance

the
national
goals which it seeks."

economic

would

$500 billion economy

our

be

per year,

mammoth

a

$20

billion

gigantic $200 billion in

a

ten years.

practical
matter, this
simply not going to be
the Congress or the people

"As

a

policy

is

sold to
the

of

United

States

in

prosperity in spite of
serious unemployment prob¬

(And, significantly, Mr. Theo¬
Yntema, economist of the

Ford

wish

Motor
to

Eccles'

Co.,

be

high, prudent men will not adopt
a
policy that argues for addi¬
tional

registered

associated

his

with

Mr.

comment:)

Far

views

toward

good

as

things

tions,

to

confining such inde¬
legislative delibera¬

the

free-economy

now

is

protagonist

carrying

even

Deal

Mr. Eccles'

same

labor

Years

and

section

Times,

of

the

New

York

with

Professor Alvin Hansen, a dean of

business

the

compensatory-fiscal boys and

during his New Deal Association,
was his support publicly given to
John L. Lewis, President of the

his

former

United
his

Mine

plea for

Workers

Union,

in

reduction through¬

a

out all
of

industry in the daily hours
labor, and for a shorter work

Senator

teacher

practically
cluded

at

Proxmire's

full

a

with

this

Also

recalled

be

may

epochal debate with the
tive Senator Byrd, in

his

conserva¬

1938, during

which his widely publicized letter
demanded "a higher standard of

living for the

merely spread over the remain¬
ing parcels of railroad property

con¬

vigorous

free-

enterprise paragraph: "The steady,
relentless

climb

especially

panied

by

constitutes

in

government

if

ever-larger
a

accom¬

deficits,

growing challenge to

freedom in this nation."

Will

perhaps

our

young

new

Continued

working man."

on

page

WE

ARE

sabotaging

both

in

to

of

state

the

the

pyra¬

the

THE

FOLLOWING

"make

the

trains

run

be

to

number

and

individuals

by

and

social

THAT

cited

case

shift

a

the

FIRM:

VICE

PRESIDENT

of

BRIGGS

PRESIDENT

credos

MR.

EDWARD L.
VICE

MADDEN, JR.

PRESIDENT

that of the
Often, too

below), it

in

OUR

■-.,/•■

VICE

this reflects merely their positions
relative to the community, whose
individual has altered.

1

MR. LORING T.

increasing, both in
degree.
Sometimes

ideology rather than

JOINED

MR. JAMES G. WILSON
EXECUTIVE

on

DISILLUSIONED

economic

sec¬

results

individual's

SECOND DISTRICT SECURITIES
CO., INC.

from

proverb:

giebt,

ANNOUNCE

Federal

and

;v.;j

seems

from

TO

HAVE

roads

time?"

ond

PLEASED

taxing district.
must

"Wenn

dann

giebt

Gott
er

ein

also

Dealers in
United States Government

amt
ver-

State and

dienst").

In any event, two in¬
particularly drastic ide¬
ological-switching have just been
highlighted in the economic area.
One of these changes in philos¬
ophy is reflected in a formal com¬
stances of

ment by

Marriner S. Eccles in the

ONE

CHASE

JUNE

15,

1961.

Obligations

Municipal Securities
MANHATTAN

NEW YORK 5,

of

column

spending,

week.

Harvard.

letter

be the decline in railroad liability

ask:

the

there

mixing-it-up

is

we

in

controversy to the letters-to-the-

the New and Fair

Typical of the

from

pendence

editor
In

deficits

of-way, the amount which should

that

time

a

relative

themselves."

political opposition to
responsibility
(viz. the German

COrtlandt 7-5900

of

dore

many

Railroad

"Comparable Federal deficits to¬

our

and

the amount of taxes which

owners

present

lem. When the country is at peac.e
and incomes are at a near record

naturally

at least the

total

the

rolls,

^communities

wanted tcrTaise

So

tak

local

the

tion

meeting

off

used

un¬

reduced

nizes the seriousness of this situa¬

Thruway

be

14%—twice

day with

of

the

/'Until

not

was

level—during the entire ten-year
period.

productivity, but
ability to compete

our

through

averaged 4%

national product. But

below

markets.

opinion,

career

JAPAN

of

the economy benefits in ex¬

proper¬

Railroad, when the

to

(as perhaps applicable to the

YAMAICHI SECURITIES CO., LTD.

of

deficits

These

employment

are

with

their

Affiliate of

our

heavy deficits for ten

ran

of gross

of

that

countries.

1940.

ex¬

country

times

sistently

consecutive years from '31

its

benefits

this

spending

of increased

cess

in

fringe

in

industrial

Thruway which parallels the New

THE

111

of

growth, and the deficiency in

Haven

Switching

TOKYO,

unrealistic

is

international balance of payments.

the various

the Thruway
privately owned.

making

the

revenues

users

than the taxes paid on

case

Thruway,

ing

the

on
prices, imports,
employment,
rate

ports,

organized

thruways

It

the

over

actions

other

Competitors

in

weakness

labor.

gloss

union

The

special

unstabilizing effects of the
monopolistic power exercised by

from

at

Brokers and Investment Bankers

national

it seeks.

is that it fails to
give
adequate consideration and weight

Wag¬

ner.)

which

goals

levels ultimately lead to national¬
ization— with a Mussolini thrown

YORK, INC.

the

lower

the

discrimination

mided

of NEW

(as

of

tially

So

YAMAICHI SECURITIES COMPANY

said

to

in

Japanese Securities

he

target

"liberals," the N.A.M.) the follow¬

is

a

14 WALL STREET

report,
reviled

that

his dis¬

Economic

others

assessment

York, American & Toronto Stock Exchanges

Committee's
would

In

Joint

the

from

percentage of gross national prod¬
uct, the Federal Government con¬

tax rolls for

Members New

sent

to the

throughout the United States and Canqda

Dominick

pro-

states; but railroad property
is
assessed
at
100%
of
value,
whereas
property
owned by

than

the

&

the

a

the

Committee.

Economic

have
prove

at

from

dissent

Report

higher

the
main
property owner in a
community; so it is saddled with

Dominick

Report. However, I
that it will

adequate to achieve

I

general,

arrived

registering

Not only is this many times

way.

cases

OF INVESTMENT SECURITIES

economic

doubts

grave

of

bearing on the government
taxing - compensatory
fiscal philosophy: "Expressed as a

on

times more than

UNDERWRITERS AND DISTRIBUTORS

the

of

he

spending majority opinion of his
Democratic colleagues on the Joint

The following statement reveals

"In

has

then

formal

Statement in 1961

thus:

and

"The

amount

Correspondents inprincipal cities

the

present

"liberalism"

position

Since

Development).

Eccles'

Fair

vigorous

Convention last July.

Economic

for

His

the right-of-

various

1870

Committee

-

"frontier-manship" certainly car¬
ried through
to the Democratic

cooperation with the liberal C.E.D.

(The

much

so

enthusiasm.

articulate

and

Ford Foun¬

a

with

scene

Dealish

member of the Commis¬

a

which, aided by

philosophy

came

©

lative

1936 Ito

subscribe to the recommendations

ties

EST.

from

the

-

who

Fed¬

Equally devastating to the Easy
Target also at the State level, is
taxation on the right-of-way. In

discrimination in the levy¬

ing of property

1948, is
sion

Board

of

-

junior Senator from

Wisconsin,
William
Proxmire;
swooped down on the legis¬

and

of the

Discriminatory Property Taxation

pound the tax abuses. In the

sponsibility for all transportation

Reserve

Mr.

even pay

Authority

Roosevelt

Chairman

as

Switcher

Times is the

were

prop¬

costs.

eral

immedi¬
ately raised to $490,000 when the
bridge was turned back to it.

$70,000

kind, but also
levied on the

any

charges

Although

accorded
be

user

in rail

Level

Lower

of

out-of-pocket

its

the

some

Authority's

the

taxes

truck

as

resulted.

Collisions

our

well

as

prices for

injurious

ices);

sources,

directly competitive with rail

example,

the nation-wide level, as

the

by

ernment, the property taxes levied

the Port

democracy. On both tthe local and

litical dog-house.

paid

were

bridge's construction

other

national levels,

the carriers supply
meat for the friendless po¬

the

ble, namely the George Washing¬
ton and Hell Gate Bridges and the
Holland Tunnel, are operated by

the Port

New Arrival

other

Our

under

served

Presidents

Thursday, June 15, 1961

.

dation grant, has been working in

of

$10,000 per mile

Authority. They also pay

aggressively

costs

bridges
and tunnels for
which the Triborough Bridge and
Tunnel Authority is not responsi¬

The

who
both

Highway
built
under¬
neath, at the request of the gov¬
the Central's bridge was
rebuilt.
Although most of the
ernment

DEMOCRACY'S

.

forthcoming' report by the top¬
flight Commission on Money and
Credit.
Mr. Eccles, Utah banker

Truman

Deegan

FURTHER

.

PLAZA

NEW YORK

PHONE: WH

3-1900

46

193

Volume

Number 6064

.

(2601)

The Commercial and Financial Chronicle *

.

.

ket

matters, with
Eisenhower's
national commission on goals.
It

elusions

on
key
President

„

former

Analysis of Political and
Economic Climate Ahead

line

the

draws

goals

goals.
all eco¬
re-enforce

P. Schmidt*, Director, Economic Research
Department, Chamber of Commerce of the United States
Dr.

Emerson

of

nomic goals;

By

clear

to engage in the

of the total-state issue is sounded by Dr.
the

income by

In predicting that

Schmidt.

national

absorb 40% of our

unless curbed, will

Government,

1970, the business group's economist equates the achieve¬
aroused, articulate and well informed

ment of limited government to

Carefully spelled

out

problems of government power, and the work that has been

where

by his group and others to generate national interest in preserv¬

done

climate.

ing our freedom and improving our political and economic
Although

ing

exports or our im¬

our

trends

ports amount to less than 5% of
our
Gross National Product and
we

have

al affairs

been

into

If

national

en-

tan

dominate

will

and

litical

po¬

national

of

Dr. E. P. Schmidt

posi¬

far

more

sumed.
with

is commonly

than

dangerous

as¬

sel

climate ahead must
with both domestic

climate

of

economic

deteriorating

and

lead

to

for

least

at

Economic Pol¬

on

The Goals of Economic Policy

and

was

able to reduce these eco¬

goals to five in number:

(1) Economic freedom

>

Over-all

(2)

(1) Trends rarely persist in one
direction indefinitely; they may

economic

(3)

effi¬

Economic growth

(4)

Economtc stability

(5) Economic security
This

part of those oppos¬

to the opposite con-

comes

perior,
even

Asia,

vestor

(it should have such
Concentration

threat

great

this

goals,

If

we

to have a sound

are

economic

and

monopoly).
is

power

become

has

ernment

limits

body,

the

the

tyrant.

of

bill

individual

reduce the dangers

is

rights

For

If

you

.this reason we need to have

NEW

YORK 5,

N.

not

do

ited government.

to

Governments now absorb about

one-third of

our

rests

ment finance

now

levies

on

and

such

a

offerfds,
If

is

no

there

much

so

state

another.

income. Govern¬

multitude

of

or

tive.

indirect taxation (excises,
payroll, corporate and withheld
personal income taxes) that the
taxpayer hasn't the vaguest idea
of what he is paying (nor does the

check

a

one

move

can

taxpayer

average

freedom

are

really

open

are

by

to preserve

improve the

and

the

The

indirect

Continued

politi¬

We

are

pleased to

announce

easily add up to the other
of our
income.
By

will

governments
40% of
a

our

that

now

associated with

us.

absorb

income unless we

firm concept of limited

will pass through

articulate

WERTHEIM

&

Co.

Members New York Stock Exchange

much tra¬

120

interim. Authoritarian

■

New \brk

Broadway

government (with wage, price, in¬
vestment and personal spending

Y.

5-6600

control) .is not to be ruled out.
The major function of govern¬
ment should be the protection of
individual freedom both from for¬
eign ! and

domestic

enemies,

to

law and order, to pro¬
tect property and help to foster
competition and economic stability
through a sound credit and money
policy.
If government did these
few things and did them well (and
wasn't overloaded with side and
preserve

SECOND DISTRICT SECURITIES CO./INC.

minor
f

,r,'

*•'...

PLEASURE

TAKES

/'■«.■•©

'

issues),

we

would

better
»•

off than

we

are

JUNE

12.

1961

NEW

--J'




YORK 5,

N.

Y.

PLAZA
V"

•

TELEPHONE

robert

that

j. basel

and

joseph f. scheidecker

trol,

'

announce

WH

juvenile

delinquency,

etc.)

national problems which
can only
be handled by the cen*
tral government."
Beyond these basic functions;
government may at times enable
us
to
accomplish jointly things

have been

appointed

and truly

'

V'

;

pleased to

government has lost all
sense
of the distinction between
nation-wide problems (fire con¬

ITS OFFICE TO

ONE CHASE MANHATTAN

is

government intervene on count¬
less fronts as it now does.
Our

IN ANNOUNCING THE

OF

Lomasney, Loving 8c Co.

far

be

by having

central

REMOVAL

on

JOHN W. HANES, JR.

is

5-1900

which

need

cannot do

doing

but which

we

through the free mar¬

Co-Managers
of the

Trading Department

...

.

~

' >

a

big

page

40

as

new

MR.

devious

and

government,

the

But

importantly,

him¬

concern

makes it easy to get
public support (or even just pub¬
lic apathy—which is just as good
from
the
politicians' viewpoint)

support for this view. The polit¬
climate of busi¬

HA

government

This

self).

by

government

coercion.

more

even

subtle,

ways,

of

power

perhaps

alterna¬

we

By

multiplied.

has

offends,

Thus, if

threaten,

even

the " citizen.

of

to

Washington

or

its

becoming unduly big, the dangers

arbi¬

on

of

bigness and power,
the economic and other freedoms

trary government. If a community

as

compel,

virtue

even

sibility acts

legitimate objec¬
bigness—whether

culture—is

move

will

and

undue

to

business, labor unions or agri¬
its power to coerce,

in

like

ture, nature and function of gov¬
ernment. We need strong but lim¬

are on the outside looking in
fhey survive.

One basic

tion

to another com¬
though few citizens
take this step, the mere pos¬
can

ical and economic

PLAZA

TELEPHONE

1961

JUNE 12.

they

local community does,

munity;

vail in the

>

you

so

—if

it is better that it be

better by the state than in
your

is that

often led by men

to. denounce its consequences, once

firmly in mind the proper struc¬

ness

ONE CHASE MANHATTAN

it is

at hand at the local commu¬

what

toward

abroad,

and

here

the centralization of power

government

if

near

'

tomorrow.

great tragedy to the pell-mell

drive,

power

state,

'<V'/

of cater¬

scoundrels

worse

or

The

nity level than at the county level,
better
in
the
county than
the

to

of what is now

|

one

additional compul¬

Washington.
:■'

any

good to

seems

furthermore, may be evil to
your neighbor.
Those who wield
the power and authority today
may be replaced with scoundrels,

bi¬

sory

"Strong but Limited Government"
•;

a

What

harm.

do

retarding legislation.

and

exercise

must

gripping the entire planet.

t

of

for

of good¬
will, but who do not know what
good is, and who will be the first

Furthermore,

written.constitution with

a

of

power

argument

This

you,

judiciary which interprets

gesting

most, parts of the world. The pur¬
a

to

infant-like, to the whims of
politicians and an executive who
has
some
independence in sug¬

great

develop

ITS OFFICE TO

OF

the

ing,

overly

pose

a

the

Constitution instead

the

enemy of mankind is
concentrated government,
a
lesson which is being lost here
and never learned in many, if not

The

on

with
and

country

has
two sides: the power and author¬
ity to "do good" is also the power

constitutional

cameral legislature,

conditions

large

a

divergent

situations.

politi¬

balances should be built-in:

in

greatly

Suitable checks and

and diffused.

put

myriad of state and local

a

larly

dispersed

be

to

centralized government power

climate,

should

power

easier

governments.
Such a uniform,
monolithic approach, however, is
wasteful
and
arbitrary, particu¬

larger personal freedom.

cal

freedom.
Where
has failed, gov¬

to

freedom

human

a

of

government and evolve
REMOVAL

with

of

counterpart

indispensable

is

level

through and enforce than to deal

two-thirds

ANNOUNCING THE

IN

by-passing local and
state
government—a single law at the

national

(private property, occupa¬
choice, consumer choice, in¬
choice, etc.) is an essential

and

a

for

(and too late) that economic free¬
tional

ment

1970,
PLEASURE

in

su¬

government is potentially
dangerous because it has the pow¬
er to tax
(wring from the citizen
involuntary contributions) and it
has a monopoly of the use of force

over

TAKES

credits

for the

more

want to
earn
popularity contest)

who

have, of course,,a strong argument

else¬

and

Europe

(or

next broad anchor is that govern¬

would

INC.

SCHAPIRO 8c CO.,

people

to economic freedom,
though
many
people
in

spending programs and
intervention, regardless of their
merits. The alleged unmet gov¬
ernment
needs
in
our
society

A.

Those who want bigger govern¬

even

Eastern

dom

But

for

M.

should be,

readily reversible.

ment which will do

where have learned the hard way

useful in attaining

be

—

which are, or

dom

more

Monolithic Approach

speech, religion and
goals of political free¬

upon

ciency

plateau or even reverse;
(2) In some cases, conscious ac¬
tion of
a
smart and intelligent
nature on the

fashion.

wrestling with the problem
targets, developed a report

nomic

two

good reasons:

experi¬

place in
Then confu¬

our

on

de¬

the disease may not
Such pessimism need not

despair

socio-political

Committee

icy,

conclude

to

and

generating,
be fatal.

general but precise

prevails.
a specific
example, recently

our

were

one

political
is

In the absence

As

and foreign factors.

if

are

sion takes over and divided coun¬

discussion of the political

the

or

orderly

an

concerned

Even

as

menter, fails to fall into

do¬

and economic

that

bemused

today.

such

some

official

Nor have we been blessed

unusually high-quality
statesmanship.

Any

u,s

and

put forward by a politician, union

mestic

be

the

principles—some basic goals and
methods—every new idea, whether

tion is weaker
and

of

most

of

they wanted; they were

not confused

Our in-

mate.

what

of

cli¬

and

Rights had clear-cut ideas

Bill of

and

economic

and

Independence,

of

Constitution

the

of

our

domestic,

Declaration

the

thought

national security; govern¬

may

mized and

then

that goal and others.

The authors of

recommendations.

con¬

inate

general

both

test

to

specific trends and current policy

dom-

tinue to

the political
climate, it is im¬

to improve

or

which

gl ements

now

alter

to

non-economic

other,
as

ment

portant to have basic bench marks,
criteria or anchors by means of

inter¬

our

determined

is

economic

and

foreign affairs
and

a near-

can

of

freedom

pre¬

economic goals we also

Besides
have

one

trends

which

under

have reached

we

Public Policy Criteria

position

a

change

even

or

we

ciety will act as a check on the
powers of government and pro¬
vide
an
effective
guarantee
of

cohesive and well-di¬

a

approach mistakes will be small,
major catastrophes will be mini¬

for

be certain
that the private sectors of our so¬

aggressive minority makes
policy.
The politician, long on
promises
and
always
adept
at
looking at only one or at most
two
goals at a time, can make
himself out to be a hero, even
though in the process he is weak¬
ening our society and deteriorat¬
ing our international position.

such

vered

we

pause

impasse.

nations,

maneu

to

cause

may

direction, although in internation¬

of the more self-suffi¬

one

are

cient

forces

current

confusion

dispersing the power of
government is obvious and this

informed

eration,

rected

the when, how, what and

are

such anchors,

vails and

ticipate in public debate they as well as limited government will be

vanquished.

five

some

He warns that unless the latter arise and par¬

freedom-proponents.

the

climate,

for

danger.

undoubted

and

consensus

issues, a thorough grasp of
goals, their harmony
and their conflict, may lead to an
improved
resolution
of
differ¬
ences
and an improved political
and
economic
climate;
without

these

public debate

.economic

and

doing so. By leaving
the great bulk of activities to pri¬
vate effort and voluntary co-op¬

another, but to some extent
they are in conflict.
On contro¬
one

versial
A clarion call to devotees of freedom

cal
need

not depart from the

These five goals embrace

they may

effort.

is

potentially
We should '• point has been well set forth by
basic function Felix Morley in his book, Free¬
government unless there is a dom and Federalism. Under this

with

fraught

government

and

functions

ernment

"public"

between

private

voluntary

or

But any such enlargement of gov¬

5

*

•
.

6

DONALD

BY

sell-off.

bond
has done remarkably well
and

market

Danger Ahead

municipal

The

during the past week in view of
the perplexing circumstances that
govern its movements. Although

long-term rates as the economy
be heading for a sharp rise
js

engender an inflationary
explosion, the likes of
which
we've
not
recently
ex-

Chronicle's tax-exempt bond yield
indicates

Iadex

average

an

of

decline

lower

for

may

Financial

and

Commercial

the

present pushing

mar-

likely

to

the

and

perienced,

about

few

notable

of

effects

The

Smith,

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

to

June

&

Barney

economic paradox could be in the

making.

June 16

juvenation begins

public office, that at least recog-

.

,

.

.

,

Mseks la1rg^ issues,

of

County

State

(.00

all

met

reception.

The

bonds

Connecticut

New

issues

is

lssue

10

bad

25

basis

a

for

comparable

stimulated

bank

of-

and

trust

likelihood

interest

The money

This

p0liticai to

would

heavier

sequent

perhaps
obligation
as

policies,

have

to

been

some

tors.

However,

tivity
the

bond

pear

market

,,

in

,

New

level

would

York

last

,u

banks

week.
,.

,

Thus

,

$500,000,000.

This economic

seriously

ap-

inevitable.

REPRESENTATIVE

the

road

SERIAL

favorable
how-

revenues

California

(State)

Connecticut

Maturity.

3V2%

(State)

Bid

1978-1980

3.75%

1980-1982

3.50%

3.40%

Jersey Highway Auth., Gtd.__ 3%
(State)
3%
Pennsylvania (State)_J___
3%%

1978-1980

3.45%

3.35%

1978-1979

3.35%

3.20%

1974-1975

3.25%

3.10%

New

York

Vermont

(State)

3V8%

Housing Auth.
Los Angeles, Calif
Baltimore,

1978-1979

3.35%

3.20%

3V->%

1977-1980

3%%

1978-1980

3V4%

New

1980

3.30%
3,60%
3.35%
3.30%

3l/2%

____

Md

Cincinnati, Ohio
New Orleans, La
Chicago, 111
New York City, N. Y

__

June

14,

1961

1980

33/4%

1979

3.70%

sphere

of

stitutional

investment

give

prices

to,

■

■'<!

>■

.JV'

The

••

issue

new

number

sizable

of

3.70%

3.55%

1980

3.60%

3.55%

ligation

was

1962-1981

Noon

1,040,000

1962-1990

11:00

a.m.

4,000,000

7:30

p.m.

11:00

a.m.

7,000,000

1963-1990
1962-1986

3,600,000

1981-1939

11:00

5,220,000
1,325,000

1962-1981
1962-1936

11:00

a.m.

10:00

a.m.

12:30

p.m.

Tenn.

Pa.
Francisco U.S.D.,

San

issue.

National

York

2,855,500

19S2-1976

4,577,000

1952-1990

County, Md

1,000,090

1968-1986

Service

1,200,000

1965-1691

8:00

p.m.

3,500,000

1963-2000

11:00

a.m.

Ohio

2,400,000
1,997,000

1962-1935
1962-1931

Noon

1,000,000

1963-2000

Virginia
Antqnio, Texas-

2,600,000

1,500,090

1962-1981
1962-1985

Noon
10:00

a.m.

Antonio, Texas____

2,000,000

1966-1939

10:00

a.m.

2,000,000 ,1962-1981

Noon

Niles

District, Calif.
University, Ohio

State

City

Bedford

School

Loudoun County, Va._

Lehman

Co.,
Inc.

Bank

Bexar
.

and

of

among

Harriman

and Blyth &

Co.,

V

1.70%

priced

was

to 3.80%

and

coupon

■

June 23

County,

3.p0%

a

oversubscribed

was

have

traded

with

priced

week

the
'

•

a

and
■

..

awarded $20,-

obligation

managed

Included

National

/

Exchange

Boston

Exchange

American

Bankers

Stock

Midwest

Canadian Stock
Exchange

New

Association
Investment

ties
Exchange

Stock

York

National

Bankers

&

high¬
syn¬

which

outbid

majors in the winning

as

were

Georgia State Highway Authority
Marshfield, Wisconsin
Newport, Ky.
San

Bloomfield, N. J.

Washington, D. C.




•

•

a.m.

vlLOOa.m.

1962-1991

3:00

[Offering

Smith,

&

A.

10:00

a.m.

1967-2001

.10:00

a.m.

1964-1935
1963-1985

1,100,000

7:00 p.m.
11:00

a.m.

11:30

a.m.

i_

29,500,000

1962-2001

120,000,000

"

_

date approximate.

million

Co.,

C.

term, due
B. J. Van

Allyn

&

Co.,

Issue may include $20 million serials, 1967-1985,
1, 2000.
Syndicate managers: Allen & Co., John
Ingen & Co., Inc., Merrill Lynch, Pierce, Fenner &
Inc., and The Kentucky Company.]

July

Maryland State Roads Comm., Md.
New

1963-1992

(Wednesday)

Columbia Hgts. Ind. S. D. 13, Minn.

$100

p.m.

1,500,000
28

Harris County, Texas

Nuveen

a.m.

2:00

1,400,000

June

Castle

&

Mt.

Pleasant

June

15,000,000

1962-1976

1,2 65,000
50,000,000
29

the

Crocker-Anglo

,

1962-1991

'

2:00 p.m.

________

1,000,000

July 3

1962-1986

7:30

2,520,000

1962-1985

9:30 a.m.

State

Stock

Bankers

&

Assn.

Exchange

Co., A. C.

Allyn

and

•

Co.,

&

Princeton, N. J.

Oil City, Pa.

•

•

1962 to

yield

Montreal, Que.

Toronto, Ont.

&

Co.

1.60%

coupons.
were

^

also

The
1984

bonds

maturing

7:30 p.m.

4,300,000

STATE AND

were

LOCAL STOCKS

Roisms^Hamphreij Company,Inc.

priced to

to 3.60%

$600,000

MUNICIPAL BONDS

CORPORATE BONDS

Th&

for various

bends

reoffered

at

Continued

in

par

1985

for

on page

a

16

First

July 6 (Thursday)

Co.; Inc.,

L. F. RothschiM & Co., and Good-

Association

p.m.

(Monday)

Massachusetts Turnpike Authority
177,000,000
2001
fOffering date approximate. Syndicate managers: F. S. Moseley
Boston Corp., Blyth &
Co., Inc., and Tripp & Co., Inc.]

Corp., Shields & Co., Laden-

a.m.

(Thursday)

Altoona Sch. Dist., Pa
El Paso, Texas

Jackson U. S. D., Mich

11:00

Cent.

School District 4, N. Y
Tennessee Valley Auth., Tenn

burg, Thalmann & Co., Wertheim

Exchange

p.m.

11:00

1963-1987

42,500,000

Ariz.

Stanley County, N. C

and

30,000,000
2,000,000
3,000,000

Diego, Calif

Scottsdale,

Bank, Equitable Securi¬

from
•

3,160,000

Salomon

by

Hutzler

body
Boston, Mass.

1 962-1981

June 27 (Tuesday)

-

MEMBERS
Stock

10:30

1962-1979

10,63 0,000

large dealer bank group headed

account

Stock

a.m.

by the Bank of America NT & SA.

DEALERS IN MUNICIPAL SECURITIES

York

a.m.

11:30

(Monday)

City, Iowa_

Clara

(1962-1986) bonds to the

Brothers

2:00 p.m.

10:00

'

2,200,000
_____•

June 26
Sioux

resultant

Santa

ago,

general

000,000

realis¬

buyer
«■

County, California

small

at

were

for

deal

a

a.m.

5:00 p.m.

25,000,000 -1966-1991
:
2,850,000
1967-1999

(Friday)

Texas_^i__.

Delaware (State of)__

yield

to

for

initial reoffering. Since the

Also,

11:30

1,111,0001962-1981

Kentucky Turnpike Authority-:.__

issue

The

from

dicate

New

____

;

were

Brothers,

Co.,

&

'

Noon

(Thursday)

1, New York
of)___L

Trust Co., Morgan Guaranty Trust

way

American

Dist.,

Mass.__

Warren, Ohio

Chemical
Bank
New
York
Trust
Co.,
Bankers Trust Co., Manufacturers

Ripley

2:00 p.m.

Dorchester

Texas (State

The

City Bank

included

and

majors

many

(Wednesday)

School District

of
under¬
managed jointly by
Manhattan

Chase
First

New

the

Calif.
21

a.m.

group

was

The

the

for

made

The

Co.

BROKERS

a.m.

1,460,000

public bids, only one merged

bid

seller.

PRIVATE BANKERS

11:00

Riga, Ogden, Chili & Sweden Cent.

for

(1962-1986) bonds, came
Although advertised

favorable

25 Broad Street, New York 4, N. Y.

1962-1990

ban

Thurs¬
largest

for

tically

1842

a.m.

1,440,001

N. Y.

7:30 p.m.

Roanoke,

market.

maturities

Established

11:00

p.m.

Presbyterian-St. Luke's Hosp., 111.

a

to

premiums. The bonds

&

1962-1981
1982-1991

New

offering, bonds in the 1970 to 1986

Laidlaw

p.m.

$60,400,000

upon

Index = 3.388%

8:00

Kettering

was/

up

Last

week's

the

8,

p.m.

1,500,000
1,000,000
1,784,000

Dist., M.ch

San

with

issues

competitive bidding.
day,-June

2:00

7:30

June 22

week,

,

1962-1981

Kent

in7

calendar

heavy- this

again

(Tuesday)

1963-1981
1663-1986

Awards

Recent

p.m.

1,285,000

Va-T»'T

<<«>-;' lit ~-.r

;

8:00

East

,

•

1962-1990

Babylon Unified Sch. Dist. 3, N. Y.
.

bond

even
further
calculated risk.:

a

p.m.

1,500,000

Albany, New York

securities of

justified/with
fiat.on

,

-

June

further, as tuey
purchases .see n

way

likely

are

p.m.

1:00

3,214,000

South

,

Should

p.m.

8:00

Pittsburgh,

F.

individual, than do

quality.

2:30

1964-1981
1962-1931

Oyster Bay, New York.

an

of

municipals,

taxable fixed income

1931-1990

1,000,000

.

Islip Unified S. D. 9, N. Y._____..__

to

or

p.m.

Norfolk, Va

by

point out that
tax-exempt bonds still make more
sense
to the heavy taxpayer, in¬

3.55%

1977

3%

Y.)

3.40%
3.75%
3.45%
3.40%

3V4%

(N. Y., N.

the

continue

Asked

3.60%

3%%

New

In
we

1:00

a.m.

Nashville,

This

2001.-

handled

1962-1981

1,500,000

Minn.

June 20

Greer burgh Unified S. D. 6,
Hamilton Countv,
Ohio

Co., First Boston
Corp.,
Blyth
&
Co., Inc., and
Tripp & Co., Inc.

writers

«

Rate.

.

be

2:00
10:00

p.m.

1964-1983

5,000,000

Fullerton, Calif.
Garden City, New York___

&

consolidated

ISSUES

-

Ken¬

the direction

1964-2001

F'ar.i. ington ten.

City
of New
York various purpose general ob¬

lethargy has not

effected

of toll

trend

Moseley

•issue,

Toll Road Issues Imminent

in

will

a.m.

Noon

Cudahy, Wisconsin

$177,000,000

in

a.m.

3,000.000

.

,

e decline has been

year

over

ac-

ease

again

...

ar

re-

business

ON

large

of

a.m.

(Monday)

Branford, Conn.

Turnpike Authority

under

the

deciined

market fac-

further

MARKET
i,

ground

as

increases,

Despite

the

by

the bond market has

been

to traditional

.

,

easy money
aggressively situation commercial loans made

sues, even as

sponse

,

.seerns

sales.

its

further

participating in the bidding for
high grade general obligation isgiving

,

,,

the

mature

to

financing

in. ?5:ae
business
activity, there is little evidence as
ye*
any sharp business rise,
Retail sales continue to be below
a year, ago, likewise automobile

tration. The dealer banks,

members

the

<^een noted

the
low
interest
rate
policies exhorted by the Adminis-

support

Reserve

should
possible

worthy of observation
that while substantial gains have

credit .demands,

their

of

aware

,,

the Federal Reserve will doubtless

recognizing

more

"

issue

disturb-

a

conseqUences.

be generally easy and, until business
further improves with con-

Massachusetts

S.

policy

is

horizon

the

operandi

bR

these issues.
market continues to

Commonwealth

the

of

11:00
11:00
11:30

(Saturday)

Union Co. Regional H. S. D. 1, N. J.

tucky and the bonds will be pay¬
able solely from lease rentals or
o her
revenues.
Also lcoming on

modus

degree and the public

in

is

a.m.

1,867,000
1,600,000

Columbus, Ga.
St. Louis Park Ind. SD #233,
Tate County, Miss..

•

account

to be

geem

com-

O/

a.m.

10:00

(Friday)

Tennessee

Ingen

Van

serial

attention

official

J.

Authority
of
Kentucky
(7/1/1967-1985) and term
a/zOuu) oonas. Tins Authority
an
agency .and instrumentality

pike

actual

the

B.

Co.,

County,

June 19

Co., Inc., Merrill Lynch, Pierce,
& Smith, A. C. Allyn &

divert

ing
pany

of

m0netary inflation perpetrated
b

&

to

is

effect

from

particularly

concessions

prrce

the.

These

or more ago.

0f

ferences

theme
public's

future, the group
Allen &
Co., John

by

Nuveen

a

inflation,
with
inpublic responsibility,

wage_price

These

the

to

attention

better than

points

week

immediFrancisco

out.

this

on

headed

&

Hamilton

immediate

the

17

June

offering later this month. In

road

economic

recentiv" By directing the

to yield from

priced

obtained

fermgs

sold

almost

were

to

._,an

basic

the

played

p0;ntedly

and

York

were

ate sellouts and the

issues

enthusiastic

with

At

probiem
facing
the
nation
is
wage-price inflation. Others have

serial

Connecticut

of

possibility.

a

that

stateci

and $41,425,-

bonds;

as

meeting of the Advertising CounTreasury
Secretary
Dillon

Call-

Francisco,

San

serial

this

nize

.1.00,400,000 New York City serial
bonds;
$11,275,000
City
and
forma

as

policy

fiscal

sound

up

There are many, some in high

Sellouts

■

,

loom

to

re-

be able to support. A mighty

may

within the corporate bond market,

Early

than

greater

being

economic

9:00

1962-1991

toll

new

a

1972-1991

1962-1981
1964-2000
1961-1989
24,957,000- 1982-1991

Universityw-uz----'
Greenwood, Miss.

Co., Inc., and The Kentucky Co.
plans to offer $120,000,000 Turn¬

this

for

There will likely be

V

3,250,000
20,000,000
4,525,000

Colorado State

Fenner

the

and

The

higher price

progressively
exacted

avoid.

to

3,000,000
7,000,000

Philadelphia, Pa.

point while the
municipal bond average, based on
shorter maturities, was off more
than one-half of a point.
a

unsettlement

market

trying

carefully

(Thursday)

Metropolitan St. Louis S. D., Mo.
Metropolitan Seattle, Wash.
North Hempstead UFSD. 10, N. Y.

yield was 3.73%.
This represents a decline of about

which the last Administration was

15

Honolulu City & County, Hawaii-Lake Charles Har. & Ter. Dist., La.

date. The week be¬

%ths/6f a
point for selected 20-year general
obligations,
this
performance
seems highly
respectable in light
of the heavy state and municipal
new
issue volume, the nervously
high long-term government bond
ket

Thursday, June 15, 1961

Larger Issues Scheduled For Sale

fore the average

one-quarter of

.

In

Company Toll Road bopd yield
Index averaged 3.75% on June 8,
last reporting

.

.

ex¬

resistance

marked

show

to

state

but

ceptions the bond obligations of
these projects improve with age.
During this period of market un¬
certainty toll road bonds continue

MACKEY

D.

With

ever.

TAX-EXEMPT BOND MARKET

The

'

The Commercial and Financial Chronicle

(2602)

RHODES-HAVERTY BLDG.
JAckson

ATLANTA 3,
1-0316

GEORGIA

Volume 193

Number 6064

.

.

.

The Commercial and Financial Chronicle

(2603)

7

Palace of Fine Arts

$11,275,000 City and County of San Francisco
CALIFORNIA

sPurposes Bonds
uoiraV%aV

5%, 2V2%, 2%%, 3% and 3
Dated

JOlyi; 1962-76, Incl.

Due

July 1, 1961
Payment and Registration

ISSUES, AMOUNTS, RATES,

and July I) payable, at the option of the-holder, at the office of the

Principal-and semi-annual interest (January,!

MATURITIES AND YIELDS OR PRICES

Treasurer, of. the City and County of San

Francisco, California,

Tax

$250,000 Firehouse Bonds—1952, Series E
20,000 July

1,

1962-66,

incl.

15,000 July

$

Due:

1,

1967-76,

incl.

In

as

City'•and County in New*

to both principal and interest.

Exemption

of counsel, interest payable by the City and County upon its bonds is exempt

the opinion
and

at the fiscal agency of-the

or

registrable only

York, N. Y. Coupon bonds in denomination of $1,000

(Accrued interest to be added)

of

State

from all present Federal-

personal income taxes under existing statutes, regulations and court decisions.*

California

$2,500,000 School Bonds—1956, Series F
Due:

$170,000 July

1,

1962-66,

incl.

Legality for Investment

>1 V

'

-,165,000 July 1, 1967-76, incl.

We believe that these bonds

0 f.rV.

n

A

a

i

'

Due:

$500,000 July

1,

1962-76,

incl.

investment, and

are

bonds which

are

for

for savings banks, subject to the legal limitations upon the amount of a bank's
likewise legal investments in California for trust funds and for other funds which may be invested
"California

in

legal investments for savings banks and

eligible

are

as

security for deposits of public moneys in

California.

incl.

20,000 July

1,

1962-71,

15,000 July

$

in

Series B

$275,000 Recreation and Park Bonds—1958,
Due:

and

banks,

savings

$7,500,000 Airport Bonds—1956, Series D

legal investments in New York for savings banks and trust funds, in Connecticut

are

1,

1972-76, incl.

Purpose and Security
$750,000 Civic Center Auditorium Improvement

Due:

$ 50,000 July

1,

1962-76, incl.

of California
and

Yield

Coupon

or

Price

1962

1.55%

Rate

760,000

5

1963

2%

1964

V/i

1965

2%

1966

100

750,000

2V2

1968

2.60%

750,000

2VA

1969

2.70%

750,000

2%

1970

2.80%

3

1971

2.90%

745,000

3 t:V

1972

3

1973

3.10%

745,000

3%

1974

3.15%

745,000

3'A

1975

3.20%

745,000

3'/4

1976

3.20%

750,000

750,000

.

limited

rates), without limitation of rate

Tax

These

taxable gain may accrue on

,

underwriters

not

are

offered when,

shown whose

and if issued and received by the underwriters listed below, as well as other

as

names

will be furnished

Dahlquist, Herrington & Sutcliffe, Attorneys,

-

~

"

A. M. Kidder & Co, Inc.

Kean, Taylor & Co.

Fitzpatrick, Sullivan & Co.

First Southwest Company

Seattle-First National Bank

Inc.

Thornton Mohr 1 Farish
1

The National Bank of Commerce
Seattle
Kenower, MacArthur & Co.

& Gauntt, Inc.

of Dallas

Sutro & Co.

State Street Bank and Trust Company

1961




R. D. White & Company
A

circular relating to

Stone & Youngherg

Model, Roland & Stone

J. A. Hogle & Co.

The Provident Bank
-

'

Lawson, Levy, Williams & Stern

J. R. Williston & Beane
-

Rodman & Renshaw

Reynolds & Co.

:

R.

W.Pressprich&Co.

Shearson, Hammill & Co.

J. Barth & Co.

Schwabacher & Co.

William Blair &

Company

James A. Andrews & Co.

Trust Company of Georgia

Northwestern National Bank

A. G. Edwards & Sons

Incorporated

Wm. E. Pollock & Co, Inc.

Industrial National Bank of Providence

of Chicago
of

Hutchinson, Shockey & Co.

Incorporated

New York Hanseatic Corporation

Republic National Bank

Incorporated

Kalman & Company,

V

City National Bank and Trust Company

Brush, Slocumb & Co, Inc.

Wells & Christensen

Stern Brothers & Co.

Crocker-Anglo National Bank

Incorporated

Incorporated

Dempsey-Tegeler & Co.

Wells Fargo Bank

AmeHCan TlllSt Company

Shields & Company

F. S. Moseley & Co.

Clark, Dodge & Co.

The Illinois Company

Incorporated

each bond.

Weeden & Co.

R. H. Moulton & Company

Paine, Webber, Jackson & Curtis

William R. Staats & Co.

of St. Louis

Eldredge & Co.

on

Harriman Ripley & Co.

Lehman Brothers

A

Merrill Lynch, Pierce, Fenner & Smith

The Boatmen's National Bank

Bacon, Whipple & Co.

request, and subject to approval of legality by Messrs.

on

San Francisco, California, a copy of whose legal opinion will be

Incorporated

Incorporated

Ladenburg, Thalmann & Co.

discount. Investors are required-under
paid thereon.

Legal Opinion
The above bonds

The First National City Bank ,:Blyth & Co, Inc.

Phelps, Fenn & Co.

a

existing regulations to amortize any premium

of New York

C. J. Devine & Co.

amount.

named political subdivision at not less than their par value, and a

bonds purchased at

printed

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

or

Gain, Amortization of Premium

bonds will be initially issued by the above

Orrick,

June 13,

of"San Fran¬

(except certain intangible personal property, which is taxable at

100

745,000

bonds.and the interest thereon upon all property within said City and County

subject to taxation by said City and County

2.35%

2V2

19 67

payment of said

valid and legally binding obligations of the City

Board of Supervisors thereof has power and is obligated to levy ad valorem taxes

2.20%

760,000

in the opinion of counsel constitute

2.00%

760,000

cisco

1.80%

760,000

for various purposes,

County of San Francisco and the

for the

Due

5%~

Amount

$760,000

of the Charter of the City and County of San Francisco and the laws of the State

These bonds, issued under provisions

Bonds—1959, Series A

Dittmar & Company, Inc.

Ginther & Company

Irving Lundborg & Co.

Seasongood & Mayer

The Continental Bank and Trust Company
Salt Lake City
of

Underwood, Neuhaus & Co.
Incorporated

Arthur L. Wright & Co, Inc.
these bonds may be obtained from any of

Granbery, Marache & Co.

Davis, Skaggs & Co.

Cavalier & Otto

Hill Richards & Co.
Incorporated

Elkins, Morris, Stokes & Co.

the above underwriters, as well as other

G. C. Haas & Co.

,

Shuman, Agnew & Co.

Hooker & Fay, Inc.
Stern, Lauer & Co.

Mid-South Securities Co.

Irving J.Incorporated
Rice & Company

Schaffer, Necker & Co.

Walter Stokes & Company

Wagenseller & Durst, Inc.

C. N. White & Co.

underwriters not shown whose names will be furnished on request.

8

(2604)

orandum.—Schwabacher

&
Co.,
Montgomery Street, San Fran¬
cisco 4, Calif.
Also available are

THAT

UNDERSTOOD

IS

THE

FIRMS

PARTIES

INTERESTED

SEND

TO

MENTIONED

THE

WILL

FOLLOWING

BE

Engi¬

situation

Sexton

Interstate

on

Corp.

John

and

Hills Power &

available

Also

of the

current

entitled

to
Dana
Goodyear
Illinois Central

reference
Dow Chemical,

particular
Corp.,
Tire

Rubber,

&

Joseph

St.

Oil,

Ohio

Railroad,

Union Securities & Co., 15
Street, New York 5, N. Y.

lon,

Broad

Municipal

Industrial

Report of

a

Financing—

special committee to

Borne

California

Gas.

Investment Bankers Association of

fornia

America,

300 Montgomery

Coal

United

and

Hutton

&

—E.

F.

way,

New York 6, N. Y.

Co., 61 Broad¬

Companies—Memo¬

Canadian Oil

randum—McLeod, Young, Weir &
Co.

Ltd.,

Toronto

King

50

West,

Street,

1, Ont., Canada.

Canadian

Scotia, Toron¬

Cyclical Stocks—Survey with par¬
reference

Caterpillar

to

Tractor, Chicago Pneumatic Tool,

Ingersoll Rand, Link Belt and Na¬
tional Acme—Thomson & McKin-

N.

New York

Broadway,

2

non,

4,

Stocks-

Casualty Insurance

Survey of first-quarter underwrit¬
ing operations.—Kidder, Peabody
& Co., 17 Wall Street, New York
5, N. Y. Also available is a memo¬
randum

on

surance

Fireman's

Fund

In¬

Co.

Investment

Companies Fact Book

background.

Association

—

with
National
Com¬

Investment

of

Y.—25c

Securities

Co., Ltd., 25 Broad St.,
York 4, N. Y. Also available
special report on Citizen

a

market

Bureau,

Watch

Ltd.

Co.

over-the-

35

stocks

used

—

in

Bureau

yield

to

as

performance

period

industrial

Dow-Junes

Quotation

both

Folder

over

and
23-

a

National Quotation

Inc.,

Front

46

Street,

New York 4, N. Y.

Packaging Industry—Report with
reference

Standard

to

Packaging.—Hill,
Darlington
&
Grimm, 2 Broadway, New York
4, N. Y.
Preferred

Stocks

Bulletin.

—

—

Paine, Webber, Jackson & Curtis,
25 Broad Street, New York 4, N. Y.
data

are

sylvania Railroad,

Co.,

W.

eral Public Utilities
cal Bank

Hoe

&

Co.,

Gen¬

Corp., Chemi¬

New York Trust Co.,

Co.

&

Roebuck

Sears

Grace

R.

Penn¬

on

Thatcher

and

Manufacturing.
Sheltered Investments in

Gas—Data

Admiral

—

Oil

Oils,

Inc., 600A Bettes Building, Okla¬
homa

Tobacco

Stocks

Analysis with
particular reference to American

and

Inc., 64 Wall
5, N. Y.

Cohu

&

Canadian Pacific

Japanese

Market

YaYork,
Inc., Ill Broadway, New York 6,
—

Report

—

Also

available

N.

Y.

on

Also

available

Electric, Tidewater

Sangamo
Standard

Brands

and

Morinaga

Confectionery

Kao

Soap Co. Ltd.

Ltd.

and

Japanese

Stock

—Nomura

Broadway,
Also

Market

Securities

New

available

Steel;

Hitachi

Chemical
hama

Y.
of

N.

analyses

Limited

(elec¬
Sumi¬

Breweries;

Chemical;

Toanenryo

6,

Steel; Fuji Iron &

tronics); Kirin
tomo

Survey

Co., Ltd., 61

York
are

Yawata Iron &

—

Co.

Oil

T

Rayon;

o y o

Company; Sekisui

Co.

(plastics);

Yoko¬

Rubber Co.; and Showa Oil

Co.

Chase
—J.

Manhattan

A.

Hogle

available

are

American

Insurance

Petroleum

reviews

Co.,

Sunray

Corp.,

Cities

Co.,

Co.

Chemical
Co.

Mid
and

Life

Insurance

Stocks

—

Bulletin

Life

Insurance

Co.,

Connecticut

General Life Insurance
tinental Assurance

Co., Con¬

Co. and Trav¬

B.

Oil

Barth

*

American Express—Review.

—

Ira

Haupt & Co., Ill Broadway, New
York
6, N. Y.
Anaconda

Co.

Kidder &

Co.

New York
Anheuser

—

Report.

—

A.

M.

Wall Street,

5, N. Y.
Busch

Memorandum.

Dreyfus & Co., 2 Broadway, New
York

4, N. Y.

memoranda

Plastics,

E.

Breweries,

Also available

on

Armour,

W.

Bliss,

Hebrew

are

Aurora

Canadian

National,

In¬

ternational Minerals & Chemicals,

Manufacturing

and

U.

S.

Topeka

&

Santa

Fe—

Report.—Purcell & Co., 50 Broad¬
way,

interest¬

Corporation—

Organ¬

120

Belco Petroleum Cor¬

n a

City

Bank

1 y s i s

—

of

Cleveland

Hornblower

Peabody

Co.

&

Inc.—Re¬

For Banks, Brokers and Financial Institutions

Corp.,

Tank

reviews

are

Car

Koehring

Co.

and

Co.,

United

&

ner

of

New

in

Pierce, FenInc., 70 Pine Street,

Lynch,

Smith

N.i Y.

5,

issue

Gladding

Carbon

Corp.—Report

issue of "Investor's Read¬

York

same

Union

M.

Wall

Loeb.

Also

in

the

discussions

are

of

McBean

Standard

Street,

New

available

Also

&

phur,

York

5,

Co., 42
N. Y.

&

Packaging

Company,

Corp.,

Giant

tional

Co.,

&

Hammermill

Steel

and

Eastern

Na¬

Oklahoma Gas

reviews

of

Gas

Also available

Gulf

Co., Interstate

Pan

Insur¬

Life

Life

and

30

Co., Life and Cas¬

American

World

Broad

Airways—

ical

Inc.,

Moore-Handley, National Life and

&

Stern,

St., New York 4, N. Y.

Pneumodynamics

Co.

Com¬

Electric

and

ualty Insurance Co. of Tennessee,

Shipping

Electric

Memorandum—Herzfeld

Acci¬

&

Inc.—•

report—Oklahoma
Co., 321 North
Harvey, Oklahoma City 1, Okla.

brochure.—Equitable
Corp., 322 Union Street,

Corp.—Analyt¬
Bissell &

brochure— Laird,

of the

and

Accident

Insurance

Co.

and School Pictures Inc.

Darling Company

ger

York

trade

Ill

&. Co.,

6, N. Y.

—

Data—

-

Dojbbs Houses
son,

^igma Instruments, Inc.

da

Nedick's Stores, Inc.

Fla.

Coastal Publications Corp.
Coastal Publishers Co., Inc.
Welch Scientific

Broadway,
—

Also available is

a

Dun

&

i

Co.

The Warner Brothers Co.

Inc.

bulletin

same

request

Troster, Singer & Co.
74

New

York

Security

Dealers

Association

Trinity Place, New York 6, N. Y.

HAnover 2-2400




Review.

—

available

Container
Oil

Co.,

reports

Teletype NY 1-376; 377; 378

are

Gas

Equitable

;

.

.:,4•;

.

Pneumodynamics Corp.—Report—

on

Socony
Shoe Ma¬

Westinghouse

and

Chemical Co.

Monsanto

States

Southwestern

Telephone

Company—Annual report—South¬
western States Telephone Co., 300

Montgomery St., San Francisco 4,
Calif.
Stewart

Warner—Report—Good-

body

Co.,

&

York

New

Broadway,

2

4, N. Y. Also available is a
Merchants

on

—

&

Memorandum

Co.,

45

Mont¬

St., San Francisco 4, Calif.
in

Chest

Treasure
West

Corp.

Witter

—Dean

Growing

the

28 page

brochure describ¬
ing industrial opportunities in the
area served—Utah Power & Light
—

Co., D. H. White, Mgr. Sales and
Marketing, Dept A-5, Salt Lake
City 10, Utah.
Servateria

S.

Corp.—Report—

Co., Inc., 225 East Mason

St., Milwaukee 2, Wis.

—Doherty

& Co., 335
Ont., Canada.

Roadhouse

Bay St., Toronto,
Van

Waters

&

52

Wall

Inc.—An¬

Rogers

Co., Inc.,

Saxton &

alysis—G. A,

St., New York 5, N. Y.
Manufacturing—Report—

Vector

Robinson

&

Co.,

15th

Inc.,

Sts., Philadelphia 2, Pa.
Also available is a report on Rese
Engineering.
—

Nordeman

Memorandum — Bruns,
&

Co.,

Broadway,

115

New York 6, N. Y.
Wallace

Properties Inc.—Analysis

—Parker, Ford & Company, Inc.,

Vaughn Bldg., Dallas 1, Tex.
West 'Coast
nual

Telephone

West

report

phone

Co.,

300

San Francisco 4,

Grace Canadian
Members: New York

--

25

Co.—An¬

Coast Tele¬

Montgomery
Calif.

as

Principal for

•

of

HAnoyer 2-0433-45

Stores

_

.

Inc.

Corp.—Review.—L.

Rothschild

&

New

5,

Fedders

regular commission rates

—

through and confirmed by

'

Electrolux

York

NY 1-4722

Corp.

Analysis.—A. G. Edwards & Sons,
409 North Eighth Street, St. Louis
Mo.

Securities, Inc.

Security Dealers Association

Broadway, New York 4, N. Y.

TELEX 015-220

F.

Co.,

120 Broadway,
N. Y.

Corp.?—Analysis.—Bache

Members:

The

Principal

National

25

&

Chestnut

Brokers, 'Dealers and Financial Institutions

Orders Executed at
Brothers

Fast

Lines.

Motor

Specialists in Canadian Securities

"

reviews

Mission

and

the

on

Industry,

United

Corp.,

Co., 120
5, N. Y.

York

are

—

New

upon

tries Corp.

review of

Penington, Colket & Co., 70 Pine Street,
York 5, N. Y.
Also in the

Inc.

Edison

Members

Co.

—

Co.—An¬

&

Bradstreet—Memorandum.

Duriron

Panacolor, Inc.

of the above

New

Broadway,
Also

Water

&

Reynolds

Lewis Business Forms.

Street, New York 4, N. Y.

on any

Mining Co., Arthur

McKee and Co., Kaiser Indus¬

_

Howard Johnson

Power Designs

G.

Building, Jacksonville 2,

—Hay.den, Stone & Co., 25 Broad

Prospectus

Gas

—

John¬

Charles of the Ritz, Inc.

Nat Nast,

alysis

/'

'
.Review.

Memorandum

—

Co., 72 Wall St., New'

New

Lane, Space & Co.The,, Flori¬

Title

struction and

.

Gran^

—

...

r

Construction Industry with

particular reference to Utah Con¬

.

Dynamic Instrument Corp.

We

&

York 5, N. Y.

Vornado

Meeds, 120 Broadway, New York
5, N. Y. Also available is a review

Dekcraft—Memorandum.

Aqua-Chem, Inc.

Airways

H. Hentz

pany—Annual

—Analytical

dent Insurance

Lines

Freight

Memorandum—Peters, Writer &
Christensen, Inc., 724 Seventeenth
St., Denver 2, Colo.

Resistoflex.

Nashville 3, Tenn.

Inc.—

Upper Canada Mines Ltd.—Report

Navajo

Commonwealth Life Insurance Co.

Securities

Dry" Foods

Transmission

Corp.

Fairchild

Paper,

Products

Ohio.
Slick

U.

Texas

of

reviews

are

Armour

Camera,

Adler Electronics, Inc.

Daffin Corporation

Tubular

Loewi &

and

Co., Penobscot Build¬
ing, Detroit 26, Mich. V

ISSUES-

Sawhill

Analysis—McDonald & Co., Union
Commerce
Bldg., Cleveland 14,

tics Industry, "Freeze

Co.—Review—

Rhoades

Horsey
Ltd.—
C. Christopher

Co., Board of Trade Bldg., KanCity 5, Mo.

Food Inc., DWG Cigar Corp., Plas¬

Colgate-Palmolive

Moreland &

NEW

&

gomery

Steel

er"—Merrill

Co.

L. A.

RECENT

Shirriff

Salada

Memorandum—B.

Sundstrand

current

&

Co.,
1401
Street, Philadelphia 2, Pa.

available

Also

Ltd.—An¬

St., N. W, Atlanta 1, Ga.

National

Cluett,

Horsey

&

Accident Insurance Co., Provident

Babcock Electronics Corp.—Mem¬

Shirriff

alysis—Courts & Co., 11 Marietta

Weeks, 40 Wall St.; New York 5,
N, Y.
' >■.

Life

elers Insurance Co.—Eastman Dil¬

Orange Twp., Iowa, and Indepen¬
dence, Mo. School District Bonds.

memorandum

Mississippi

New York 4, N. Y.

of

Company.

—A

Jones & Templeton,
Spring Street, Los An¬
geles 14, Calif.

ance

Atchison,

Hone

on

National

Memorandum.

South

are

Rubber.

5,

ance

Marquette Corp., Texas Gulf Sul¬

—

list

poration and International Resist¬

—Mitchum,

Carl

Inc., 1

a

Broadway, New
N. Y. Also available are

bulletins

Co., 3323 Wilshire
Blvd., Los Angeles 5, Calif.

ucts

:Ji

Co-

bulletins

are

chinery

ization, Inc.,

Eurofund, Fibreboard Paper Prod¬

Wis.

available

Electric Corp. and a memorandum

Bulletin—DeWitt Conklin

Corp.—Analysis.—

Walnut

Co.,
207
East
Milwaukee
2,

Street,

Also

Consolidated School District of

Mobil

Micromatic

Oil

Dow

&

—

Mo.

Glass

York

Citizens Utilities

Tobacco

ing Convertible Bonds.

-./.W'

Christiana

Myers

&

Paramount and

Goodrich

F.

N. Y.

Logan,

Basket—Review—Cooley
Company, 100 Pearl St., Hart¬
4, Conn. Also available is a
review of American Broadcasting-

Steel

Co.,

Stover Candies, Inc.—An¬

alysis—Stern Brothers & Co., 1009
Baltimore
Ave., Kansas City 5,

Market

Great

Continent

Service

Broadway,

War¬

Brothers.

Russell

sis

120

5,
studies

and

&

Phillips

Republic

Co.,

York

are

ford

Wall
Also

of

Co.,

&

New

Petroleum

Amerada

Analysis—Edward D. Jones & Co.,
300 North Fourth
St., St. ,,Louis
2, Mo.

Oil,

Bank—Review.

Co., 40
Street, New York 5, N. Y.

Machine

St.,

available

Also

Southern

Liggett

on

Ply¬

&

an

Corp.

—

Milwaukee

Singer
with particular reference to Aetna

S.

U.

is

Inc.—Analysis—
Willi,ston & Beane, 2 Broad¬
way,
New York 4, N.| Y. Also
available is an analysis of Ronson

wood.

The

reports

are

memoranda

are

available

44

Y.

Salada

J. R.

Y.

N.

—Oppenheimer, Neu & Co., 120
Broadway, New York 5, N. Y.

view.— Newburger

Michigan

4,

40

Rand—Memorandum—

&

Jonathan

26

Inc.,

—

Transportation

Also

New York 5,

Wins-

—

Memorandum.

—

111.

3,

Pershing

Stetson

New York

Broadway,

American

Ingersoll

York

Inc.—Survey—Shields &

on

analysis of McNeil
Engineering Co.

.

Javelin—Data.

Canadian

low,

}

on

Corp.—Analysis—A. C. Allyn &
Co., 122 South La Salle St., Chi¬

(N. Y.)

New
.

Tobacco Co. and P. Lorillard Co.—

maichi Securities Co. of New

General

Memoran¬

Street,

bulletin

a

Corp.

Corporation—Analysis
Alstyne,
Noel
&
Co.,
Wall St., New York 5, N. Y.

Telephone

—

t—

Co., 29
6, N. Y.

York
is

Co.

&

Van

St., San Francis¬

Celanese

New

available

cago

Canadian

Rubber

Ci

Frouge

report—Cali¬
Telephone Co.,

dum.—Greenshields & Co.

650

City 6, Okla.

and

Tire

Broadway,

4, Calif.

co

J.

and

Water

R.

Glass

Tax

copy.

per

Japanese Market.—Review—Nikko

is

National

year

the

the

and

Averages,

—

compari¬

listed

in

industrial

counter

serv¬

panies, 61 Broadway, New York 6,

New

Averages

&

ices of investment companies,
historical

the

used

Also available

—Describing operations and

N.

between

son

Index

up-to-date

an

particular

Y.

Fire

showing

the

to, Ont., Canada.
ticular

over-ihe-Counter

stocks

Review—Monthly bulle¬

tin—Bank of Nova

Thirteenth

425

Street,
W., Washington 4, D. C.

N.

Water

Company—Annual

Co.

Co.

Wall

Street, Baltimore 2,

Garrett

study industrial aid financing by
states and political subdivision—

Tappan

on

Products

Co.,

ren

Also

reports

are

Bowman

and

of

Analysis—Schweickart

—Auchincloss, Parker & Redpath,
2 Broadway, New York 4, N. Y.

able

Boyce, 6

&

Firestone

analysis.

Shearson, Hammill & Co., 14 Wall
St., New York 5, N. Y. Also avail¬

N.

Bros.

Corp.—Analysis.-—
L. H. Rothschild & Co., 52 Wall
Street, New York 5, N. Y.
Chemical—Chart

the

Md.

Cascade

Lead, Texas Gulf Sulphur, United
Electric

From

Thursday, June 15, 1961

..

Pullman

Boise

with

an

Corp.—Memo¬

Rapid City, S. Dak.

Attractive Laggards—Survey

is

economic

"Up

General

South Calvert.

report—Black Hills Pow¬
Light Co., 621 Sixth Street,

&

Y.

randum.—Stein

Light Co.—

Annual
er

N.

Financial

Black

PLEASED

Co., 36 Wall Street, New York

analysis

Co.

&

LITERATURE:

.

Depths."

neering

AND RECOMMENDATIONS

IT

5,

memoranda

INVESTMENT LITERATURE

&

100

DEALER-BROKER

<

The Commercial and Financial Chronicle

■I

Stock

Association

Exchanges
of

oj

Securi'.y

Canada

Dealers

Broadway, New York 4, N. Y.

St.,

Volume

193

Number

6064

.

.

.

The Commercial and Financial Chronicle

(2605)

New Issue

June 9,1961

$60,400,000

City of New York
3.60% Serial Bonds

AMOUNT DUE EACH YEAR
AND

YIELDS

OR

PRICES

Dated

July 1, 1961

Due July 1, 1962-86, incl.

$4,460,000

1962

1.70%

4,460,000

1963

2.00

4,460,000

1964

2.30

Principal and semi-annual interest (January 1 and July 1) payable in New York City at
the office of the City Comptroller. Coupon bonds in denomination of $1,000, convertible into

4,460,000

1965

2.60

fully registered bonds in denomination of $1,000

4,460,000

1966

2.75

2,860,000

1967

2.90

Legal Investment for Savings Banks and Life Insurance Companies in the State

2,860,000

1968

3.00

of New York and for Executors, Administrators, Guardians and

2,860,000

1969

3.10

2,860,000

1970

3.20

2,860,000

1971

3.30

2,360,000

1972

3.40

2,360,000

1973

3.50

2,360,000

1974

3.55

2,360,000

1975-76

1,200,000

1977-78

3.65%

1,200,000

1979-80

3.70

1,200,000

1981-82

3.75

1,200,000

1983-86

3.80

others

or

multiples thereof, but

holding Trust Funds for Investment under
the Laws of the State of New

,

'

•

■

\

t

...

interchangeable.

not

York

UTi

I

'

be issued for Rapid Transit Railroads, Sewage Treatment

These Bonds, to

Works, Construction of Schools and Various Municipal Purposes, in the

opinion of counsel will constitute valid and legally binding general obliga¬
tions of the City of New York, all the taxable real property within which
will be subject to the levy of ad valorem taxes to pay the Bonds and interest
thereon, without limitation as to rate or amount.

@ 100

The above Bonds

(Accrued interest to be added)

offered when,

are

as

and if issued and received by

and subject to

us,

prior sale and approval of legality by Messrs. Wood, King, Dawson
&

The First National

The Chase Manhattan Bank

Chemical Bank New York Trust Company

Logan, Attorneys, New York, N. Y.

City Bank of New York

Manufacturers Trust

Bankers Trust Company

<

Company

Morgan Guaranty Trust Company
of New York

Lehman Brothers

Harriman

Lazard Freres 4 Co.

Smith, Barney 4 Co.

Blyth 4 Co., Inc.

Ripley 4 Co.

The First Boston Corporation

Barr Brothers 4 Co.

Incorporated

R. W.

Eastman Dillon, Union Securities & Co.'

C. J. Devine 4 Co.

Merrill Lynch, Pierce, Fenner 4 Smith

Pressprich 4 Co.

Salomon Brothers 4 Hutzler

Incorporated

The Philadelphia National Bank

W. H. Morton & Co.

Drexel & Co.

...

Phelps, Fenn & Co.

Kidder, Peabody & Co.

The Northern Trust Company

Bear, Stearns & Co.

Equitable Securities Corporation

Shields & Company

Hornblower & Weeks

White, Weld & Co.

Carl M. Loeb, Rhoades & Co.

Incorporated

Ladenburg, Thalmann & Co.

A. C. Allyn and Company

Mercantile Trust Company

Hallgarten & Co.

Wertheim & Co.

*

Federation Bank and Trust Company

Dean Witter & Co.

The First National Bank

First of Michigan Corporation

of

The Marine Trust Company

Kean, Taylor & Co.

Incorporated

.

Ira Haupt & Co.

Oregon

Blair & Co.
Incorporated

Hemphill, Noyes & Co.

.

Paine, Webber, Jackson & Curtis

F. S. Moseley & Co.

A. G. Becker & Co.

Incorporated

\

Wm. E. Pollock & Co., Inc.

L. F. Rothschild & Co.

of Western New York

Swiss American

Adams, McEntee & Co., Inc.

Weeden & Co.

B. J. Van Ingen & Co. Inc.

Corporation

American Securities Corporation

Bache & Co.

Incorporated

C. F. Childs and Company

Braun, Bosworth & Co.

Baxter & Company

Bacon, Stevenson & Co.
First National Bank

Estabrook & Co.

Francis I. du Pont & Co.

Dominick & Dominick

Coffin & Burr

Incorporated

Geo. B. Gibbons & Company

Incorporated

Gregory & Sons

Hayden, Stone & Co.

Incorporated

in Dallas

Hirsch & Co.

Clark, Dodge & Co.

Incorporated

Incorporated

J. A. Hogle & Co.

Newark

Incorporated

F. S. Smithers & Co.

Robert Winthrop & Co.

Spencer Trask & Co.

Reynolds & Co.

Paribas Corporation

National State Bank

E. F. Hutton & Co.

,

Wood, Struthers & Co.

Roosevelt & Cross

v

*

Dick & Merle-Smith

Shearson, Hammill & Co.

Incorporated

R. S. Dickson & Company
Incorporated

Fitzpatrick, Sullivan 4 Co. Laidlaw 4 Co. Tucker, Anthony 4 R. L. Day James A. Andrews 4 Co.
Incorporated

Goodbody 4 Co.

Ernst 4 Company

Model, Roland & Stone Stern, Lauer & Co. J. Barth & Co.

Stroud 4 Company

Chas. E. Weigold & Co.

Dreyfus 4 Co.

Incorporated

Hannahs, Ballin 4 Lee

Incorporated

Sterling National Bank 4 Trust Company Tuller 4 Zucker Wells 4 Christensen R. D. White 4 Company Wood, Gundy & Co., Inc.
Incorporated

of New York

Baker, Weeks & Co.

Fabricand 4 Co.

Dempsey-Tegeler & Co. Fahnestock & Co. Green, Ellis & Anderson Henry Harris & Sons Park, Ryan, Inc.
,■

D. A. Pincus 4 Co. Scudder 4 German

Incorporated

Bacon, Whipple 4 Co. Boiand, Saffin, Gordon 4 Sautter Rand & Co.

Incorporated

G. H. Walker 4 Co.

Eldredge & Co.

Shelby Cullom Davis & Co.

A. G. Edwards & Sons

T0ney& Company

Robert K. Wallace & Co.

Winslow,Cohu& Stetson

Byrd Brothers

Incorporated

Courts & Co.




Cruttenden, Podesta

Co.

G. C.Haas & Co.
&

McDonnell & Co.

Moore, Leonard & Lynch

Newburger, Loeb & Co.

Incorporated

Schwabacher 4 Co.

Singer, Deane 4 Scribner

John Small 4 Co., Inc.

Talmage4Co.

VanAlstyne, Noel 4Co.

9

10

The Commercial and Financial Chronicle

(2606)

Steel

Production

Electric

The State of '

Retail

ment

Production

Index

will

June

issued

Survey

the

by

provide "evidence
-that
business
improvement has
continued to accumulate, confirm¬
tions

aate

to

,

ing that a solidly grounded and
"broadly
based upturn is under
way.

have

With February appearing to
marked
the
low
point in

general economic activity, the de¬
of

gree

since that time
favorably, on the whole,

recovery

compares

with

that

initial

the

in

of

stages

previous postwar revivals.

Price Index

rent dollar terms
to

have

the

already appears
than regained all

more

ground lost during the
Its

sion.

rebound

reces¬

resulted

has

increase

in

latter

governmental

dications

GNP

that

are

the

in

the

up

only

Federal

14 of them

and

February

holding steady, and
declining.
More than

one
one

anything

else-, this fact of broad
diffusion
gives
the
upturn
its

solid

look.

half

"Underpinning

the

recovery

in

industrial activity have been three
successive

monthly

in

increases

order

placements. In April, the
third month of increase, the total
of

ihese

orders received

new

by manu¬
to $30.7 billion, up

rose

than

more

billion

$2

from

the

the

economy

catch-up

strike.

steel

one

to

following

to

be

over¬

is the fact that

of order increases

wave

third,

a

Not

course,

generate

Once

flushed

was

activity

a

and

tends

the second
third a fourth.

second,
the

established,

it

as

now

seems

be

self

data

on

manufacturers' inventories

before the recession began.

also

are

encouraging. They clearly

be,

industrial

is

the

-

at

strength

this

was

the

during

time,

and

in

available

as

low

a

judging

May,

weekly

for

lation
the

have made
amination

Other

many

"These

indus¬

contribution.

a

of

16

one

are

indi¬

already have

may

for

GNP

nificant

emerging

strengths

suggest the

in

ex¬

ning

view

cf the gath¬

in

drop

no

sig¬

level d of

the

of recovery.

stages

in

provement

the

Normally im¬
labor

market

shows up first in a lengthening of
the wcrrk

week, 4md this has been

occurring since the start of the
year.
There" have also
been
a
moderate

rise

in

employment and

nonagricultural
decrease

some

in

weekly volume of claims for
unemployment benefits. Tee labor
the

compared with a year
ago. Preliminary figures compiled
by the Chronicle based upon tele¬
graphic advices from the chief
cities of the country, indicate chat
for
the
week
ended
Saturday,
June
the

ficial

unemployment
the

summer

there is

rate

•

period,

high.

how¬

good prospect that
unemployment will drop consider¬
ever,

a

of

of the year and on into 1962. Con¬

clear¬

above those of

the corresponding week last year.
Our preliminary totals stand at

$27,230,7.10,099
100,342 for the

against

.

leading

for the
the

for

June 10New

1960

$14,859,045

York__

Chicago

$13,605,972

_1

1,355,594
1,068,000

1,014,000

777,989

I

1,151,807

Philadelphia

733,436

Boston

Major

Steel

6.1

to

in

Their

Purchases

Major; steel

buyers are using
in the purchaser's

device

book, plus some new ones, to
wring cost concessions out of steel
companies, the Iron Age
Neither

buyers

reports.

nor

the

steel

as

to call

cur¬

rent

metalworking

year,

cline likely

less

by the

with further de¬

cutting. Nor,
weekly com¬
are base prices of bread-

ments,

and-butter

thereafter.

"The recovery now in the mak¬

ing, in other words, should

to

be

the economy to a general state of
prosperity
and
high-level
em¬
ployment during 1962. Viewed as

are

next

are

gains

this

likely to be

year

modes},

comparison with those follow¬

Thus

will

be

reaffirmed

in

all

probability the axiom that "mild
recessions

are

followed

in

from

automakers

says

obtaining

the

steel

price1 ""diits.

conces¬

companies.

automakers

even

don't

their part.

on

Not

only

buyers

.

to

every

get

.

cost

ounce

of

concessions

by

mild

steel companies, but are ac¬
tively looking for more ways to
less

use

expensive stock.

steel

admit

of

most

cial

companies

major

involved

are

in

quality prices.

How

Company

mill

will

offer

concessions,

ing competitive,

losing

or

and

of stay¬

the

over-all

steel

market

June

says

bread

100%

product

show

base.

will

July

dip, but looks better than

a

expected.
One

-

•

•

factor

proved
new

offer to sell nor a solicitation
buy these securities. The offering is made only by the Pro¬
from such of
may lawfully offer these securities in such Slate.

rate

behind

continued

of

auto

sales.

U.

S.

sales in May totaled 540,-

car

an

000 cars, substantially better than
had been expected at the first of
the
month.
These sales

spectus, copies of which may be obtained in any Stale
the undersigned as

brought

new

stocks

car

down

to

about

902,000 at the end of May, a drop
from 913,000 during the month.

Smith, Barney & Co.

More

Blunt Ellis & Simmons

Eastman

of

Corporation

Dillon, Union Securities

Blyth & Co., Inc.
& Co.

Goldman, Sachs & Co.

Glore, Forgan & Co.
Elarriman

Ripley & Co.

Lazard Freres & Co.

July

While

Lynch, Pierce, Fenner & Smith
Incorporated

Stone & Webster Securities
t

.

*

s.

■

'

.

It

\

June 9, 1961




• J

!

•

I « i *

t

Corporation
A

•

White, Weld & Co.
,

...

'»•••.

»»'

a

this

running ahead

comparable

tonnage

is

point.
still too

conclusive, it indicates
many users are relatively firm on
their steel needs
through the sum¬
mer
and are not
likely to drop
out

of

the

market.

Some steel service centers which

expect their

during the
back

Merrill

at

small to be

Incorporated

Kidder, Peabody & Co.
Lehman Brothers

important, August tonnage
the books is

now on

Incorporated

The First Boston

fare

may

usual

this

a

sum¬

Steel

plants,

magazine

reasoning:

are

of

re¬

'U;

Y

.

consumers

are

so

depleted they'll have to maintain
intake at a fairly respectable level
right along, especially if mill de¬

liveries show signs of

month

may

lengthening.

requirements

heavier

prove

this

than

recently anticipated.
What happens in the automobile

industry the next few weeks will
exert

tremendous

third

influence

quarter steel output

on

(tradi¬

tionally poor).
With

Big

Three

wage

agree¬

ments

expiring Aug. 31, new labor
contract parleys open June 28 at
General Motors, June 29

at Ford,
Chrysler. Peaceful

settlements

are
expected
as
of
with the union possibly win¬
ning a package increase of 8 to 10

now,

cents

hour

an

in

two-year

a

contract.
i

Until

the

matter

tain

large

is disposed of;"
probably main¬
finished car stocks in
will

negotiations / misfire

case

strike

and

a

results.

Steelmen

think

their industry's
is solid.

recovery since last March

operations

above

are
hovering
capacity mark
1960 ratings) compared

the

(based

71%

on

with around

55

of

in

March.

Light, flat rolled steel .(includ¬
ing tin plate, sheets, and strip)

refrigeration equipment,
other light durables.
' '
; '

will
a

also
a

to

fall off

use

the

cutting
buying. Instead, they

steel

slow

increase

sheet, and

sales

own

summer are not

on

mild

some

period to make

in. stocks

of

plate sizes.

suggests they

are

bar,
This

hopeful of

strong autumn market. Automo¬

tive,
ment

and
r

Steel estimates last week's out¬

22,000 tons under the total

was

recorded in

the week ended June

3—2,052,000 tons. Demand is level¬
ing off now (the rate of order in¬
has slowed), and some eas¬
ing in production can be expected!
crease

from

now

through August.

No early relief in the steel price
bind is sighted. The Bureau of La¬
bor Statistics'
steel
/

strength of the market is the im¬

to

than

despite vacation shutdowns in

Stocks

put
On

(plus accrued interest)

offer

production

better

Steelmen

share

a

sl^ape up better than
May for represehtative mills with

an

Be

continue in most active demand of

they have the alternative

Due August 1, 1986

constitutes neither

May

on

continues to

of

Steel

little

of the order.

announcement

Dip

Shallow1

—

Sinking Fund Debentures

Price

Summer

long this situation will

depends

strength, the Iron Age

This

Steel's

go
all the major products. Buying is
the strength of the'
being sustained by a diversity of
market. Few mills will admit
they orders
for shipping containers,,
initiate
concessions
themselves. tubing and
conduit, office furni¬
But
they comment that another ture, shelving and
cabinets, stoves,,

on

June 1, 1961

They
point, justify *a
in
steeimaKing

operations.

Ingot

the

overgrading, such
as
supplying
drawing quality steel at commer¬

Dated

gain

automakers

cost-conscious

are

exerting

pressure

talk

They 'rfefer to
"analytical buy¬

present buying as

ing"

likely

The Iron Age says Detroit sales

5%

this

at

but

up,

summer.

from

recoveries," which is the inverse

$40,000,000

not,

this

and June 30 at

leaders

sions
But

products

magazine

about

the

steel

cut.

The

carry

far

go so

would

building

are

off

radical

practices price

the

offices

Union Tank Car

do

fall

Automotive
every

that

by mill location and prod¬

Bacxlogs
will

5.3

+.

run¬

mix.

uct

9.2

I

Resorting

Buyers

levels

from

caused

-1-17.7

Every Device to Achieve Lower
Prices

varied

ported.

1961

under 7% of the labor force, prob¬
or

better

year ago.-

justify operating rates of from 68
to 78% of capacity. Variations are

user

(000 omitted)—

—

ably falling to 6%
the

a

"balancing" has been going on.
Depending on the mill, May orders

mer

week follows:
Week End.

ably from its present level of just

of

much

consumption and
minor inventory building or

$25,126,-

centers

money

companies

end

like

of

week in 196 ).

same

Cur comparative summary

the

After

weekly

obtain

to

ings will .be 8.4%

sum¬

growing
teen-age population, and this will
undoubtedly tend to keep the of¬

10, clearings for all cities of
States for which it is

United

possible

ahead

some

clearings last week showed

increase

an

months by an especially large
number of temporary
job-seekers,

chiefly

Week,

8.4% Above 1980 Week
Bank

mer

reflecting

look

this fall lhan

Actually, orders nave been

ing sharper recessions in the past.

the

prospect

a

group¬

in

unemployment, but this is fre¬
the
case
in
the
early

in

tendencies, together with

considerable further rise in gen¬
eral activity over the remainder

also

An

industry

steel, there

Prospects

from

lines

conservative

and

economy,

but

of

third

indices.

automobile

of

who

users

Bank Clearings for June 19

percentages,

other

tries,

the

of

begun.

the

and

brunt

be not far distant. In

may

case

cations that

may

made

begins to Iook

ering forces of expansion.
"As yet there has. been

the

The
pacesetters in this rise have been
steel

the

to

beginning of a re¬
period, a phase of accumu¬

covery

it

slightly in

sharply in April,

be assumed to have scored

advance

the

greatest

just

rose

that

likely

Meanwhile,

is over; and, with inventory-to-sales ratios generally

of greatest weakness
recession. Industrial

area

the

production, which
March

of

is

extending.

liquidation

of

sector

area

expansion

an

indicate

"The

widely

GNP level cf $520-25 billion by

the fourth quarter

force will be swelled in

to

economy

some

interact

will

another.1 The

when

quarter will approximate
billion, which would be $5
billion
above
its
best
reading

Industry

one

the

Thursday, June 15, 1961

markets

in

the

$510

in

To

year.

forces

reinforce

projection being
a

uptrend in

the

January low and higher than in
any month since December, 1959,

current

Strength

of

the

farther

"the

.

tall, the higher the bounce."

construction, and it is
an

saying

of

way

.

improve¬

occurring

quently

looked, of

and (3) some rise in
outlays. Preliminary in¬

consumer

make

between

April,

the

chiefly from (1) a slowing in the
of inventory liquidation, (2)
an

rising

with

rate

spending,

that

Reserve's index shows

facturers

national product in cur¬

"Gross

ings

be

commence

and

Morgan Guaranty Trust Co. states
that business and financial condi¬

rise,

expected that business investment

extent

The

the

on

moderate
to

seems

residential

Failures

Commodity

least

at

ing,

Trade
Price

Auto

TRADE and INDUSTRY

are

governmental spending is advanc¬

Food

Business

incomes

sumer

Output

Carloadings

.

appliance,
makers

farm

imple¬

among

major

and
are

price

last

week

since

fell

to

index

185.6,

lowest

August, 1958.

Steelmen say prices must even¬

tually rise. Steel
increased

more

wage

than

costs have

40

cents

hour since mid-1958. Another
cent-an-hour
for Oct.

hike

1.

boost

($4.50

ton)

a

revisions

the

down

$18

a

scheduled

The last general price
was

There have been

price

is

an

12-

side.

ton

a

Since,
Most

reduction

in 1958.'

few

product

mostly
recent:
on

on

An

certain

types and sizes of seamless black
line pipe.
Most

marketmen

cant upward

think signifi¬
price adjustments are

unlikely

long

strips

as

demand.

as
supply out¬
Competition with

other materials also weighs heav¬

ily against a broad rise. On top of
that, it was reported in Washing¬
ton last
week, that the Adminis¬
tration will seek to discourage
any

contemplated increase at this time.
Third quarter export orders for
600 000 tons is

bolstering the

market. Steel's composite

Continued

on

scrap

price

on

page

44

I

Volume

193

Number

6064

.

.

The Commercial and Financial Chronicle

.

to

Thirsty Stocks

\

$3.15,

(2607)

plenty

indicated

the

of

ularly inflated.

By Dr. Ira U. Cobleigh, Enterprise Economist
swift

review

margins

of

the

profit

of

liquor industry outlining prefsrenc* trends,

and

certain

companies/that.!

The

\

currently

appear

B.

James

Co. is the leader

attractive.

bons. Through

What'll

liquor business differs from
in that, although it is a very

most

ancient

line

of

industrial

it suspended operations
entirely (officially, that is) be¬

deavor,

1920

tween

December

and

-

those 13 hectic years, when
the liquor was cut but the prices
ing

After Repeal,

not.

old

drink

blended

sold
is

(27.62 million

moving

cases

with 22.5
(30% of
Scotch whiskey

rapidly

up

sold in 1960

cases

all

liquor sales).
a long term growth trend. Its
earlier popularity in the East and
along the Atlantic Coast has now
spread inland. It is expected that
is in

million

8

com¬

Scotch

of

cases

will

sold

three

king-size market for Scotch. Last
year we accounted for 54% of the
world's consumption.
/ /,
'

soared

to

production
million gallons in

whiskey

years

250

in

1936.

1961, against 4 million

The

United

is

States

in
the

industrial

alcohol

was

r

Vodka,

which
everybody
thought was just a fad a few
years back, has caught on in a big
way. In 1953 certain people slyly

great

so

that actual distilling capacity was

switched

much so,
that in 1951, at the time of the
Korean War, (and in anticipation
of another possible period of gov¬
ernment
liquor control)
a
400
million gallon production flowed

notion

greatly

enlarged

—

so

to

from

been

in

elements

business

the

and moonshining particu¬
The taxation per proof gal¬
lon was $4 in 1942, and raised, in
two stages, to its present rate of
$10.50 in 1951. This works out to
tax of about $21.50 on each case

a

86

of
tax

whiskey.

proof
low

was

there

the

When

was

no

incen¬

.

.

.

Gin

in

made

will

billion

the

cluding
The

a

This

-

spend

taxes

largest

does

year

about $5.3
waters, in¬

paid

company,

on

same.

Seagrams,

of $300 million

business

a

year.
The

Consumption Picture

consumption? Long

What about

in a slowly
rising trend.
It is believed, how¬
ever, this upcurve will steepen as
the bumper baby crop of the war
and post-war era reaches matur¬
ity in the 1960s and follows the
expanding pattern of social drink¬
ing set by its elders. Great leisure
this

term,

and

more

tertaining
our

has

been

time and money for en¬

certain to increase
guzzling. We're now

seem

sociable

those attending the convention will
in Palm Springs by motor coach.

cases

1953

be taken to the Rivera Hotel

October 21 the group will be taken to the Ambassador Hotel,
Angeles, and on Sunday a visit to Disneyland is planned. The
special train leaves Monday night at 11 p.m. for Yosemite National

year,

a

Park, where Tuesday and Wednesday morning will be spent, with
arrival at the Mark Hopkins Hotel, San Francisco, Wednesday
afternoon. The special train will leave San Francisco Oct. 27 and

high of 120Y4
that
earnings

arrive in

per

a

will

in 1960-61. Belief
may
continue to

to

year.

climb

provides
for these

siasm

arrive

The

enthu¬

shares.

shares
solid
not

appear

today

although

necessarily

liquor

that

the

bedroom

they

attract

cost

the special train for the round

trip,
Springs, but sharing a
Angeles, Yosemite and San Fraricisco, and
on

exception of the hotel at Palm

sharing

a

Los

at

double bedroom

on

the train will be approximately

$460 each from Chicago; $625 each from New York; and $610 each
from Philadelphia.

generally

represent

values,

all expense

with
twin

market

also

would

It

in Chicago Sunday Morning.
The through cars will
Philadelphia and New York Monday morning, Oct. 30.

may

Reservations should be made with Allen L.

spirited

ers

&

Oliver, Jr., Sand¬
Registration fee for members is $50; for

Company, Dallas.

non-members, $65; commercial, $65; ladies, $40.

buying.

has

there

but

ade

in

increase

has

the

sharp

a

martini

is

the

now

This advertisement is not

of

IpqicJeptally, the gin

Britisji Grip.,
laden

been

importation

most,

4

of

out

would

the

new

be

best

selling

company

inroads

make

to

of

5

A

brands.

against

trying
these

against fierce com¬
a
combined adver¬
of $67 million a
year. Certain established smaller
companies, such as Brown Forman and
James Beam, have done
and,

jin general, the indus¬

the investment

sound climate for
of capital.
Profit

margins

been

try presents

a

have

V. I i.iJ

♦bom

-

Such

c><

filing does not'eonstitute approval of the issue orJhe $ale thereof

■•4'f

by the Department of Law

8%

company

and

or

the Attorney General

of the State of New York.
New Issue

^ 500,000 Shares

Real Estate Investment Trust

14%

dis¬

converts between
sales

of

of America
^ Beneficial Interest
Share)
(Par

into

net

Value

$1

per

■

consistently

favorable. The well managed

tillery

offering. No offering is made

up

petition, and
tising budget

well,

an

except by a Prospectus filed with the Department of Law of the State of New York.

A

'

'

■

.*

1

'*

'

'

■

1

.

'

■

■

■.

'•

1'

'

■.

.

1

f

Price $20

per

Share

With product demand
steady and quite comparable to
that
of
food
companies, liquor
earnings.

You

on
the
their net
Moreover, there

produce,
least twice

corporations
average,

at

are

invited to ask for

a

Prospectus

describing these shares and the Company's business.

drinking 230 'million gallons of profit margins.
are
not
encountered
here I high
liquor a year, which works,
costs for plant changeover, heavy
out to about 2 gallons a year for
costs in research and development
each American adult.
of new products; and sales of es¬
Not only is this demand for ani¬

Any of the underwriters, including the undersigned,

hard

expanding

for

mated

beverage

reasons

cited above but it is being

encouraged

aggressive adver¬

by

The
$100
million a year on advertising, and
is constantly thinking up ways of
promoting
its
brands in bars,
hotels, clubs and restaurants. The
trick is to get the .bartender al¬
ways to reach for a certain brand,
tising,
liquor

unless

and merchandising.
trade spends about

customer

the

attractive

specifies

Counter displays, and

otherwise.

bottle

and package de¬

sign all help with the persuading.
Seventeen states distribute alco¬

through their own
state-run
outlets.
There,
state
store salesmen are less aggressive
holic beverages

merchants
ate

their

So advertising

publications
brands
cial

those

than

shops

own

who

oper¬

elsewhere.

campaigns in local
used to promote

are

in those states where spe¬

point

of

sale

taboo.




displays

are

trip to

Los

are

.

distilled

for

500,000

a

total demand during the past dec¬

the

Kentucky.

Americans

Sales

After

Hoover Dam, cocktails and dinner will be served, and the special
train will leave at 3:15 a.m. Oct. 16 for
Riverside, Calif, where

share net has risen dra¬
matically from
60c
in
1958 to
$3.02 for 1960. Stock now at 95
has ranged from a low of 517/8 to

and

Now, however, popular
cocktail
from
coast tdK
hill-billy !;still »coast.
operators you see captured on TV,
50 million gallons of moonshine
Competition and Profit Margins
booze are still (no pun intended)
The industry is extremely com¬
being illegally produced.
petitive and virtually dominated
The
magnitude of the
liquor by four big companies, Schenley,
business today is not sufficiently
Distillers-Seagram, National Dis¬
appreciated.
Altogether,
there tillers and Hiram Walker.
To¬
are 375 producing companies, and
gether these account for about
over
200,000 retail outlets. Sev¬ 78% of all domestic production
enty percent of our whiskey is (except mountain-dew!) and for
all

stop-over in Salt Lake City Oct. 14 for sightseeing, cocktails and
dinner, and the special will arrive in Las Vegas Oct. 15. Head¬
quarters in Las Vegas will be the Rivera Hotel.

preference.

Through cars

a

ing of J & B Rare Scotch, a light
brand that has surged ahead in
over

a.m.

will leave New York and Philadelphia on the Broadway Limited
Oct. 12 connecting with the special train at Chicago. There will be

Paddington has moved forward

tive to moonshine.

despite

7c

quarterly, plus a stock
Earnings for 1961

consumer

a

going on its merry
not gained much in

keeps
It

way.

Springs, Calif., leaving Chicago, Oct. 13 at 11

39

is

were

this

for

at

rapidly with its smart merchandis¬

if sales of tomato juice
jumped due to popularity of the
Bloody Mary?)

tax¬

ation,
larly.

million

7

in

cases

quoted
Dividend

ASSOCIATION, INC.

Association has announced that

special train will be operated to the Annual Convention in Palm.

Paddington Corporation

<

(Wonder

disturbing
—

million

one

is

SECURITY TRADERS

The National Security Traders

should be above $2.10.

and in spite of
its failure to pass the no-detection
test,
vodka
sales have
zoomed
around

have

wives

NATIONAL

dividend of 2%.

alco¬

Few

Stock

$1.88,
share

a

naive

in

and has been

year

over-the-counter..

however,

fooled,

from the distilleries.

There

it

breath.

holic

the

neutralized

vodka

to

that

management
sells over 1.7

showing a pleasing advance in net
earnings.
Giving allowance for
the recent 3 for 2 stock split, per
share earnings rose 11% in 1960

now

During World War II whiskey
production was suspended for al¬
most 2 years, but our need for

now
a

be

panies came back to life, nevt
companies emerged and
within

1951.

of straight bour¬

—

na¬

in'I960) but straight bourbon

million

cases

NOTES

smart merchandis¬

company

million

still the

are

and

this

Have?

preferences

whiskies

tional favorite

1933.

Bootlegging did, however, deliver
perhaps as high as 200 million
gallons of "hootch" annually to
thirsty and furtive drinkers dur¬

were

About

en¬

You

NSTA

.

Distilling

Beam

competent

ing
The

At

partic¬

seem

James B. Beam

A

for

coverage

$1.75 dividend.

does not

52 the stock

11

who

can

legally offer these shares in compliance
with the securities laws of your state

will be

tablished brands have proven ex¬

consistent
over a period of time. Since whis¬
kies
are
purchased in greatest
volume by the more affluent sec¬
tor of the population, a consider¬
able
insulation
against business
durable

tremely

recession

is

:

of

Kidder, Peabody & Co.
Incorporated

certain

quite

is

liquor
$176

in 1960 this

is

a

carried $25 million down to

major

factor

whiskies

in

Scotch and

with

its

Bal-

Canadian Club.
Its
leading lower price.
its Imperial one of
the most accepted blends.
Hiram
Walker earned $2.91 per share for
fiscal year ended Aug, 31,
1960.
This year the figure should run
and
Ten-High is

Higginson Corporation

com¬

net, achieving thus better than a
14% profit margin.
The company
Canadian

Lee

impressive.
With

Walker.

Hiram

million in sales
pany

'

Paine, Webber, Jackson & Curtis

afforded.

record

companies
Take

you a copy.

•

Hiram Walker

The

glad to give

and

Smith, Barney & Co.

Hornblower&Weeks

Johnston, Lemon & Co.

Alex. Brown & Sons

Francis I. duPont & Co.

Incorporated

G. H. Walker & Co.

lantine,

bourbon

and

a

Walston & Co. Inc.
June

15, 1961.

Hayden, Miller & Co.

'•vt\\

12

The Commercial and Financial Chronicle

(2608)

the

from

The Prospects for a Crisis
In Sterling This Autumn

International

Fund, is

For

year.

the

Swiss

Thursday, June 15, 1961

this

thing, provided that

one

Bundesbank

the

and

National Bank

Deutsche

.

FROM WASHINGTON

than

more

the attack

resist

to

.

Monetary

certain to be

sufficient

.

are

...Ahead of the News

pre¬

pared to buy and hold all sterling

By

Paul

Einzig

sold

Swiss

on

account,
Foremost

expert's gloomy appraisal

foreign exchange

of sterling's

international

autumn—with
to

cooperation.

However,

is

he

unwilling

taxes in

voiced

is

of 1961.

was

in 1949

is

the

sterling
in

cern

that

the

tent

of

terially

the

under

Basle

which

the

Banks

are

and

Since

other's

each

hold

arrangement

such

constitute

holdings

unconfirmed

the

reports

have

concerned

covered the Forward
such

sterling

amount

that

the

of

in

idea

gold

which

year

to

of

give

a

real

the

British

as

pursue

the

Economics

order to conceal the effects of the

adverse
is

of

balance

payments.

It

sudden outflow of gold
would cause alarm
and despon¬
dency. But some such shock is
badly needed in order to make
the country realize the gravity of
true,

the

a

situation. If Britain lost hun¬

dreds of millions of dollars month

month

after

it

might

to

government

face

situation and call

stop

increase

would

conceding
another
each

trade

they

It

in

might

unions

to

It
in

demand after
against

bidding
the

for

and

scarce

bring

even

their

man¬

senses

might induce them to keep

the
and

their

of

of
deficit

effects

The

payments

hot

of

withdrawals

the

of

acquire

write
face

while

hold

the

slight uneasiness about

possibility of

autumn sterl¬

an

unions are
cheerfully pressing forward with
crisis,

ing

their claims
conceded
the

cheerfully

after the

other. Yet

situation

ways

it

more

1949

in

was

it was

as

infinitely

in

is

today

unsound

as

and

than

sound

are

which

one

basic

1931

trade

the

un¬

in

or

1957.

medicine

would

be

the

in

but

be

to

adverse

in
bal¬

become

most

to

be

the

repeated

of 1962,

Banks

sterling

prepared

speculative attack

in the late

the

for

long

it

run

the

summer

The

is

question

chances

of

such

future.

near

weak

weaker

early

in

it is

to
the

autumn.

be

the

the

early

usually strong
a
great deal

late

A

in

sterling f is

during

when

the

are

crisis

a

Since

even

likely

what

and

summer

speculative

at¬

avoid

facilities

Britain

should
for

be
and

another

and

to

come

the

realize

de¬

country

the

continental

Banks

Central

from

and

ask

need

Self-Deception

Unfortunately
is

billion

produced

moment
of

any

gov¬

lessly,

continues to spend reck¬

and

its

chief

concern

is

Conservative

Parliament

who

Members

of

trying
to
revive Parliamentary control over
the

Public

ing

Purse.

of

regree

does

the

not

call

drastic

ures

of

months

we

that
for

the

a

in

the
pur-

repetition

shall probably witness
new

no

circumstances to he construed

buy
New

any

or

a

solicitation of

an

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

On

mates

proposals,
lion.

Kennedy

and

time

by

bil¬

$1.6

billion
billion for

will be needed:
the Commodity

$2

Corporation and $500 mil¬

for

the

Temporary
Compensation.
the

of

may

he

getting

on

figures in¬
portion of the

a

recent

a

to the

man

Kennedy

moon

stresses.

now

television

pro¬

ties

in

compliance

with

the

securities

laws

of

the

States.

and

Space

Administration, mentioned from
billion to $40 billion as the

cost

the next 10 years.

over

Shearson, Hammill & Co.

Reinholdt & Gardner

Albert Teller & Co.

June 12, 1961




there

But

bills.

tion

assistance

of

for

and

rooms

aid for
class¬

provides

construction

the

college

college

student

grants.

Education

fense

Act, has been in

effect for three years and expires
June

1962.

30,

This

is

it

year

it to make

to broaden

hoped

as¬

sistance possible to private schools
is

to remove the
private school aid in
general education bill.

the

designed

for

s{s

t|:

Fritz

play

the

I

devices

in to

Kreisler

listen

and

when

one day,
finished playing

me

had

third

the

Mendelssohn

the

of

movement

Violin Concerto, my
of

surcharges

and

father turned

taxes

to Kreisler and said:

'How do you

It

seriously
circles
fect

payroll

like

the

such

to
of

official
would

measures

the

is

psychological ef¬

that

why

of

Bank

that

rate.

in¬

replied:

Steel

Celler

has

violation

psychological

in

favor

would

the United

Corporation,
hounded
the

of

whom
alleged

for

anti-trust

laws,

with Kreisler.

agree

it tends to produce

is that

which

to

am

and

Motors

General

States

the

of

'I

of it.' "

the

Yet

increase

execution?'

his

Kreisler

be

drastic

a

rate produces

effects

tax.

in

expected

that

of

indirect

on

small

a

$

>1?

JjJ

material effects in the right direc¬
On the other hand,

effects

likely

the

of

to

be

the

in

the

wrong

are

and
is

there
those

likely

the rising trend of
prices. If that is so,
earthly reason why

no

should

measures

President

ma¬

devices

new

accentuate

wages

produce

to send

of

a

to

the

in

be

It is

the

Bank

rate

weapon,

Vannevar

Dr.

Chairman

the

before

policy

will

futility
sterling
with

not

will

the

aid

disinflationary
aid

the

crisis

conceal

on

the

but

de¬

effec¬

measures

devices

to

that

position.
is

ster¬

about

sterling's
defense in the wrong way. While
I am prepared to predict firmly
goes

sterling will not be devalued

this year I would hate to make a
the

about

seriousness

tion is realized in
of

next

determination

of

time,
to

year.

the
no

Un¬

situa¬

amount

defend

ster¬

ling would be sufficient to save it
(long run from its doom.

in the

of

of

and

the Carnegie

said:

Washington,

damn. We might

a

of

out

data

get
this

thing, but it would be
incommensurate with the

We

might better be invest¬

in

more
or

for

finding

try saving

a

a

Or

we

cure

for

water
might even

converting

sea

little money for the

benefit of the

taxpayers."

Now With Dean Witter
(Special to The Financial Chronicle)

ST.

genuinely

devalue

of

Honorary
Massachusetts

Technology

to fresh water.

effect >of the

reserve

of

scientific

utterly

ing

comment

Bush,

the

President

Institute

cancer

ahead

aroused

but

of

not

it

be
of

the

government

determined

the new
be realized.

of

to

come

,

little time

a

of

"Not worth
some

moon

scientists.

among

cost.

direction.

wrong

bound to take

proposed

has

critical

considerable

kind

to the

man

Russians

the

former

On

Kennedy's

$20 to $40 billion "crash" program

Institute

less

Draper, Sears & Co.

two other educa¬

are

One

to

prediction

Boenning & Co.

well

as

invited

of

$5,509 million recommended
Eisenhower to $7,661 million;

that

Taggart & Co., Inc.

It provides

construction.

by

department

every

government.

ling,

Cruttenden, Podesta & Co.

already passed

salaries

Congressman

Kennedy has increased

The

J. C. Bradford & Co.

the

For example, the Department of
Agriculture
has
been
boosted

Mr.

nearly

with

Walston & Co., Inc.

in

it

"Manny" Celler,
of New York, veteran Chairman
of the House Judiciary Commit¬
tee, tells this story on himself:
"When I was a little fellow, I
used to play the violin. My father

merely

Warren W. York & Co., Inc.

as

has

teachers'

to

$20

tive

Van Alstyne, Noel & Co.

Charles A.

aid

clamor

resort

respective

the bill and the

good margin.

a

and

fended

Straus, Blosser & McDowell

by

Aeronautic

Meanwhile

Sutro & Co.

Senate

The
it

National

effects in the right
the contrary, since
their application is likely to be
interpreted as an indication of the
government's
unwillingness
to

offer these securi¬

the

on

Education

on

against

solidly

Hugh L. Dryden, of the

obtained from the undersigned only

those States in which the undersigned may legally

to

elimi¬

Republicans are expected to vote

gram, Dr.

to

Copies of the Prospectus

aid

has

and labor opposed

have

The third bill, the National De¬

above

major

any

Unem¬

their psychological effect is likely

in

to

particularly

it,

controversial

schools

private

direction.

share

expected

pass

the

because

psychological

share)

is

to

votes

the

Ad¬

March

above the

direction, in that they

Class A Stock

Price $13,125 per

week

ministration

Now, it is learned, still an¬

None

to

per

$2.8

a

became

a

in the House next week
following. The Ad¬

up

the

or

Committee

in

soon

the

this

ployment

are

(Par Value $1

25,

over

terial

The Futterman Corporation

three

over

come

nated.

too low.

were

May

tion.

1,000,000 Shares

reach

The general aid
costing $2.5 billion
years is
expected to

House

ministration again upped the esti¬

as

Issue

to

education

pretty

reason

offer to

expects

House.

Bank

offering of these securities for sale

Education

National

harvest this year.

clear, however, that Mr. Kennedy's

crease

This advertisement is not and is under

of lobbying and
Federal aid to the

years

for
the

Association

estimates

similar

an

agitation
schools

have

of

meas¬

During the next few

the application of the

40

Eisen¬

situation

disinflationary

1957.

amaz¬

self-deception

succeeded

itself

an

million.

$5,505
After

been
All 12 Republicans

are

With

to

from

not to restrain its expenditure but
to frustrate the effort of a handful
of

This
$1.5

the

would

It

fis¬

1.

out

resulted

and

more

which Mr.

deficit.

he

the

for

July

wiped

proposals

which Mr.

change of attitude. The

such

billion

$5.1

surplus

hower's

But

at "the

indication

no

for

have

clude

Techniques

there

indicated

which

starting

year

billion

budget messages

Eisenhower

Mr.

cost of

Bewails

two

would

fundamental change in their

a

the

obtain

can

cal

Department of Health, Education
and Welfare from $4,026 million

to

March, President Kennedy

would
than

lion

government

last

of

estimates

Congress

the

suading

and

to

valuation, unless long before then

however,

their operations, for the gold
dollar reserve, together with

Last

Credit

tack is bound to develop. It seems,

those
who
will
speculate against sterling are not
likely to gain anything through

final

transmitted

$1.5

to

government

that

his

difficult

ernment

patient.

in

January.

other

un¬

of

benefit

proposed for the same year

early autumn of 1962 it would be

The

most

hower

will

they are
to hold.

as

than President Eisen¬

more

re¬

considerably

summer

Central

much

as

the gold

pressure

will

Should

it

shake

complacency.

would

pleasant

is

the

likely

perpetuity

in

depleated by the

needs

public

crisis

its

from

up

British

the

first-rate

a

and speculative pres¬
unlikely to under¬

easy-going attitude.

What

is

of

payments. At the present

of

serve

in

outflow

perennial

a

of

ance

rate

willing

sterling

the

Bureau

announced

billion

pay¬

are

sterling
of

of the
it, the
Kennedy Administration's budget
proposals for fiscal 1962 will total
about
$90 billion.
This is $10
Although the
Budget hasn't

Central

hold

and

money

there is

are

a

of

International

the

with

they

ma¬

reserve

continental

and

connection

tactfully
concealed
from
the
British
public by the
arrangement with Central Banks
referred
to
above.
Although
money

it

firms

not safe

are

paradise.

summer

non¬

expenditure.

one wage

and

other

power.

halt to its

to

are,

balance

the

to

industrial

make
that

realize

a

of

fool's

the

induce
up

While

sure,

the

net

balance

adverse

Banks

hot

a

An¬

further

Monetary Fund might be

Unsound

Situation

of

result of the persis¬

a

ments.

flow, Britain continues to live in

au¬

to

encouraged last
of hot money in

they

Basic

things

emerge

crisis

a

the

weaken

thanks to the
relative smallness of the gold out¬

in

the

Paradise

the influx

As

many

reserves.

continue

Fool's

and

gold

order

Unfortunately,
thorities

by

on

their

—

published

accurate

strength

same

Central
actually

Exchange

balances

reserve

more

a

ought to be deducted from

of

dollar

currencies.

liability—according to

short-term

Banks

by

Central
acquire

participating
prepared to

in

growth

ex¬

outflow is due
received
from
European Central Banks
gold
support

Western

the

of

within the limits
productivity.

demands

wage

Terms

relatively moderate
the

the

to

is

to

question.

would

tently

Eng. — The weakness
causing much con¬
London.
It
is
realized

LONDON,
of

neu¬

coming crisis

from

position

in 1957,"

or

also

Economics

unsound as it was in 1931 and infinitely more

unsound than it

be

other 12 months of Fool's Paradise

basic situation

Dr. Einzig. The writer opines today's

by

CARLISLE BARGERON

BY

from

Will it be able to emerge

That

1962?

the

from

victorious

and payroll

place of the Bank rate weapon as a disinflationary measure

"is in many ways as

would

certain

is

Sterling
victorious

Definite disapproval of the intended

of the new devices of surcharges on indirect taxes

use

German

coming

tralized.

predict sterling will not be devalued in 1962 if Britain continues

its "Fool's Paradise Economics."

directions

other

position concedes sterling will withstand speculative onslaught this

West

and

pressure

LOUIS, Mo.—Harry S. Backer
has
joined
the
staff
of
Dean
Witter & Co., 422 Locust St., He
was

formerly

Tegeler

&

with

Dempsey-

Co.

Form A & T Funding
VALLEY STREAM, N.

Y.—A & T

Funding Co. has been formed with
offices at

107 South

to engage

in

Partners

a

are

Erwin Anhalt.

Central Ave.,

securities business.
Milton
Track and

Volume

193

Number

6064

.

.

The Commercial and Financial Chronicle

.

(2609)
substantial cash surplus prior to
the onset of inflationary pressures

Some Reasons for
Believing That

a

Inflation or Deflation Ahead?

thus

and

safeguard

By Dr. James J. O'Leary*, Director of Economic Research, Life
Insurance Association

if

of America.

not

brake

Probability of price inflation forces' renewal is advanced by wellknown life insurance industry's economist.
Viewed minimally, it is
lying not far below the

seen

breaking

through

the government

surface

moderately—because

posits this monition

thesis that

we

O'Leary indicates how
growth

the

notes

in

afflicted with

are

the

of

few

next

foreign

rejecting

The

neo-stagnationist's

that

Dr.

ernment

without

advancing

the

price

and

level,

go

matter the business-cycle

no

up

that
the

that

stage.

objective

My

is

the

for

prospects

appraise the
general price

to

level in the early 1960's.
flation
What

deflation

or

Does in¬

lie

ahead?

the

are

chances

of

achieving

a

stable

bly
price

level?

This

reasona

vital

a

the

ques-

eral

v

closely

to

as

James J.

O'Leary

such
is pertinent to observe

It

the

there

that

outset

fashions

economics

in

are

just

in

as

high rate of unem¬
a low rate of utili¬
zation
of piant capacity is not a
likely breeding ground for infla¬
tion.

It

the

clear

seems

conditions

of

that

is

it

chronic

in

slack

econ¬

our

if not-actual deflation. Fash¬
tend

to

repeat

that

suspect

by

themselves,
next year

with

creeping

be back

in vogue.

preoccupation
flation will

in¬

My presentation is divided into
parts:
(1) a discussion of
several
reasons
that
are
being
advanced for believing that infla¬

difficult

inflation

of

resurgence

crucial to the question
inflation

in

1960's;

pressures

may

few

years;

conclusions

the

several reasons
that
inflationary
reappear
in the
and (3) my own

(2)

believing

next

in

prospect

about

the

prospects.

Reasons

Further

for

Believing That

Inflation

Not

Is

in

Prospect in the Early 1969's

the

us

reasons

for

vanced

tion is
in

consider some of
that
are
being ad¬

let

not

believing

that

likely to be

a

infla¬

problem

earl^ 1960's.

the

One is the
view
now
being
advanced
by
many influential economists that
we
have reached a stage in the
of
the
American
which chronic slack
real problem.
It is argued

development

in

economy

is

our

unsatisfactory
of
the
American
economy in the past several years,
there
is a pronounced
tendency
for Unemployment
of labor and
plant to remain at an abnormally
high rate even at peaks in the
business cycle.
It is further ar¬
gued that at full employment of

that,

due
to
growth
rate

our

labor

an

force

the

American

achieve

economy

could

National

Product

todav

a

of

Gross
$550

the current rate
of GNP is nearly $50 billion be¬

billion,
low

:

whereas

this

potential.
Evidence to
support the idea of chronic slack
is found in the high rate of un¬
employment of our labor force
and in the comparatively low rate
>at which industrial plant capacity
is

utilized.
The sea¬
sonally adjusted rate of unem¬
ployment in April was 6.8% of
our
labor force,
and the recent
being

now

McGraw
that

at

turing
at

Survey

companies

77%

with

Hill

indicated
the end of 1960 manufac¬
-

a

Those

of

were

capacity,

preferred
who

are

as

slack

whether

or

merely

now

Pent-Up

Absent

Demands

Another argument advanced

the

let

to

situation

price
and

out

us

thus

Moreover,

afford

to

the

permit

in

inflation

further

threat
U.

liquid
that

of

of

balance

to

Federal

in

Government

the

who

those

flation

early
War

ahead

not

of

since

the

in

us

the

of

so

ended
dis¬

some

employment.

that

there

is

a

of

by

1958-60

the

than

"neo-stagna-

This

explanation

three

1959

1959

the

first

third

the

and

the

Federal

cash

annual

quarter

quarter of

rate

it also
of

and

1960

by

there

annual

deficit

fell

year,

the

second

quarter

surplus at

a

was

an

rate of $7

period

a

billion; thus, in
little more than a

of

had

we

Federal

turnaround in
$24 billion,

a

finances

chronic slack in our
economy as evidenced by a high
rate of unemployment and a com¬

of

the

war;

use

fiscal

and

60

lion

in

World

the

over

half

1959

of

significantly

to

the

here

not

that

nation" theory.

1958-1960

of

and

1 Commercial

of

April

27,

in

Financial

several
Chronicle

chronic

only

the

to

argument

is

structural,
general, in that it is

than

concentrated

in

certain

able

as pointed out
by Federal Reserve Board Chair¬

William

man

in

McChesney

testimony

before

several

theyJoint

built

cline

appreciably

increase

employed
we

in

suggests
may

the

the

in

that

backlog of demands stored up as
the
result
of the
war,
and the

accompanying
accumulation
of
liquid assets in the form of cash,
deposits, savings deposits,
savings bonds, and so forth,
have been Dart of the explanation

demand

U.

S.

the

for

inflation

rienced.

household

his

loses

job,

ment

and

both

I

the
as

enumerators

would1': say,

there

are

of

therefore,

at least

chronic

slack

will

afford

For

very

believing
sures

may

important reason for
inflationary pres¬

that

in

reappear

few

eral

Government

the first time in

tial

15 years

objectives

of

on

full

pursuing the
employment

Continued

1961.

on

Pipe Line Bones, 5Vi% Series due 1981
Due

June 15, 1981

Price 101.828% and accrued interest

residen¬
easily

cannot be

construction

readily available
mortgage credit on liberal terms.
stimulated

Pockets

higher

by

of

suggest

fac+or

is

ability

of

general
in

public has obviously be¬

the

more

purchase of automobiles as

disappeared.

advanced bv
who minimize the danger of

recurrence

next
now

few

of

years

and

fectively

to

is

that

how

learned

monetary

inflation
to

an

offer to buy these securities. The offering is male

is circulated from
in such State.

I. duPONT &.

FRANCIS

R. S. DICKSON

in

the

have
employ

&

L. F. ROTHSCHILD &, CO.

CO.

.

~

WEEDEN & CO. >

GREGORY & SONS

•

GOODBODY & CO.

IRA HAUPT & CO.

INCORPORATED

INCORPORATED

&

SHIELDS & COMPANY

F. S. SMITHERS & CO.

COMPANY

STROUD & COMPANY
HIRSCH

DICK &. MERLE-SMITH

BEAR, STEARNS &. CO.

CO.

&

INCORPORATED

Another argument

a

BACHE

discriminating

unsatisfied backlog demands have

those

solicitation of

HALSEY, STUART & CO. INC.

avail¬

not

Similarly, the

credit.

much

come

and

demand

or a

be obtained in any State in which this announcement
'only such of the undersigned'and other dealers as may lawfully offer these securities

rates for apart¬
that the limiting

vacancy

ments

offer to sell

only by the Prospectus which may

and

houses

unsold

This announcement is not an

NEW YORK HANSEATIC CORPORATION

CO.

we

fiscal policies ef¬
prevent
any
new

Great emphasis

BURNHAM

&

CO., INC.

AND COMPANY

BALL, BURGE &. KRAUS

COURTS & CO.

J. BARTH &. CO.

SHELBY CULLOM DAVIS & CO.

buildup of inflationary pressures.

compared

WM. E. POLLOCK

impressed with

the

view

system is

that
now

is being placed on
our

Federal

tax

geared to produce

JOHNSTON, LEMON &. CO.
June 15, 1961.

next

is the great emphasis
which is being placed by the Fed¬

apparent that for

more

the

years

becoming

is

it

example,
and

assur¬

against the resurgence of
inflationary pressures in the next
period of business expansion.
ance

for the time being.

more

that

good grounds for. being

skeptical about the argument that

June 15, 1961

demand

backlogs

then

unemployed.

expe¬

well satisfied,

pretty

are

another

member of his family not hitherto
in the labor force seeks employ¬

Moreover, it seems clear

certain

that

have

we

Dated

some

picture of the rate of un¬
employment. It may be, for ex¬
ample, that when the head of a

MichiganWisconsin Pipe Line Company
First Mortgage

to

ficial

$30,000,000

satisfied.

well

pretty

of
of

be getting an arti¬

be little doubt that the

can

face

number

war,

been

There

ago

Com¬

mittee. Beyond this, the failure of
the rate of unemployment to de¬

up

along with a cor¬
responding buildup of liquid asset
headings by individuals, and that
bv now this backlog of demands

Martin

weeks

Economic

huge pent-

goods

consumer

of

areas

unskilled workers,

demands for housing and dur¬

up

slack

repeated in the next

unemployment

rather

con¬

in¬

to

special factors that

addition, some economists
skeptical about the figures on
unemployment of labor. I refer

had

steel strike

to

man¬

In

$500 mil¬

supply

not

to

be

not

A

protracted

second

pansion

of

of

of

money

completeness of the business ex¬

impres¬

an

the

The

tributed

due

rather

count

reserves

and

(3)

arguments even if
is skeptical of the "neo-stagarray

business

in

are

stopped growing;

discipline of foreign competi¬

This is undoubtedly

a

many

proceeded

economies

period of expansion.

time

same

rowed

tion.

on

when

incomplete expansion of 1958-

need

mid-1959 the commer¬
cial banking system had net bor¬

policies effectively as a brake on
inflationary
pressures;
and
(4)

sive

exerted

concerns
new

was

but

that by

so

monetary

were

Burns concludes, therefore, that

proceeded vigor¬
ously to restrict credit expansion,

assets built up during the
(3)
greater knowledge of

to

expansion; and
>
finally ended,'

strike

the

(2) The monetary authorities at
the

backlogs of consumer demand and

how

community

hesitation in plac¬
investment goods;

being imposed by government

expansion;

undoubtedly

strong braking effect on

paratively low rate of plant util¬
ization; (2) the exhaustion of the

confu¬

and monetary restraints that

extent

of

of

it

on,

and

obscured early recognition
magnitude
of
the
fiscal

the

lion,

fore¬

which

liquid

drag

business

some

ing orders for

an

an

inflationary pressures will recur
in the early 1960's; (1) the devel¬
opment

to

"concern

the

and led to

(seasonally
adjusted) of $17 billion to $2 bil¬

economists to the effect
is little prospect that

one

to

still

full

Between

from

there

of the

end

II is traceable

expansion

was

theory.

(1)

These, then, are some of the
important reasons advanced

much

is that

1960's

inflation

convinced that in¬

are

is

excep¬

developments which
during
the
expansion
phase, as follows:

seeable future.

many

was

incomplete

occurred

the

by

the

given

lies in

payments

policies

and

recovery

that

our

inflationary

to

1958-60

suggests

tion"

responsibilities
the free world preclude resort
and

of

when

plete

holdings of foreign¬
it is argued forcefully

our

situation

both

in

economic

recovery

better explanation for the incom¬

S.—

strike

aging their inventories.

Burns

short-term

of

a

or

sion"

practice

economy
tance
from

asset

Thus,

ers.

outflow

new

business

our

accompanying fear of de¬
valuation of the dollar—precipi¬
a

face

slack,

caused

business

that

and the

tate

does

chronic

tionally short

cannot

the

the

,

expansion

in

of for¬
improve

we

will

gap," is subjected to analysis, the
evidence rests fundamentally on
one
fact, namely, that the cyclical

we

inflation

further

it

the

As Arthur F. Burns pointed out
recently,1
when
the
theory of
chronic slack, or the "production

kept
must

competitive position of for¬
producers in the American

eign

markets.

the

by

operating

rate of 94%.




ahead

lies

in the early
up turn of a mild business cycle
with1 the prospect of a vigorous
recovery.
I shall examine this
question presently.
are

we

has

First,

the

today plagued

are

we

chronic

with

during the
Some

of

of whether

deflation

or

three

not

visualize

ot

demand-pull -wariety.T, Therefore,

economists is to worry ;is whether

with many

for

we

infla¬

reappear

First,

of

sharp

pressures.

so

steps necessary

payments

markets

that

a

early

be

that

means

country

eign

.by

Today inflation fears are out of
style. The "creeping inflationists"
have been displaced by the "neo^stagnationists"
and
the
fashion

is

this

position of organized labor. Simi¬
sources

tion

under

high unemployment

wage-push is not encouraged
weaker bargaining

ing inflation" and the "cost push."

I

a

afford

larly, with substantial unused re¬

economists

for

the

ions

economy

must

continued

a

starting
will., be * strong
enough to regenerate inflationary

experienced in recent years.
Of prime importance, we cannot

worry

to

and

be

become

world

the

now

and

to

buildup of
inventories and boom psychology *
in the
Spring and early Summer
of 1959; once the strike arrived

the

whether

ask

economy

of

that

may

1960's.

to

whether

have

inevitability of "creep¬

ionable

omy,

can

has

early

useful

of

some

believing

problem

reason¬

free

the

consider

American

another

more

fash¬

was

about

an

more

the

basic

of

ance

pressures

be

for

This

for

tionary

to
correct the large unfavorable bal¬

because of the

women's hats. In 1959 it

about

econ¬

ployment and

free

ours.

at

that

doubt

plagued by

a

sly

economy

our

There

presently.

little

es¬

i g o r o u

growing

in

tion I would like to examine

price

sential

slack

at the present time—a ques¬

omy

gen¬

stability is

chronic

wtih

mainten¬
of

gap" or "neostagnation"theory
argue
with
some
force that our economy is
certainly not vulnerable today to
a
renewed
rise
in
the
general
price level.
They would go be¬
yond this and contend that, in
the
absence
of
rather
powerful
expansionary fiscal and monetary
policies by the Federal Govern¬
ment, our problem is more likely
to be deflation. The big question,
of course, is whether we are faced

is

t i o n,
in my
view,
espe¬
cially because

ance

"production

reasons

in

The

too compla¬
danger of further
however,
it
will
be

led

the

to

is

dollar

the

take

about

anticipations

ways;

first

Years

helpful

foreign

tolerate

May

become

we

inflation,

a

their powers
inflation.

use

the U. S.

banker

the

strong.
the

demonstrated

inflation.

of

ing is

ha

cent

monetary

combat

can

round

persistency with which the cost of services continues to

the

Before

argued that the
competition
provides a strong guarantee
no
responsible U. S. Gov¬

now

the

to
to

Finally, it
discipline of

competition—if

chronic siack in the economy.

have

vigorously

Few

a

argued,

willingness

achieve full employment and a faster

we can

rate

a

is

Pressures

Reappear in the Next

deflationary
economy.
More¬

the

on

authorities

and

years

expansionary fiscal monetary policies.

pursues

economist

economic

in

actually

it

over,

Inflationary

provides
a
powerful
against rising prices—

13

THE MILWAUKEE COMPANY

THE OHIO COMPANY

page

46

14

The Commercial and Financial Chronicle

(2610)
'

'

.'

'

.

■

,:.I;.

.

'

...

.

■

.■

.

tinue to influence domestic

The Outlook for Credit

(4)

Despite

that

with

As

indicates a

available evidence

moderate

and

rushing into
Zorn would
ward

with

recovery

first want to

a

see

not

restraint

the

stronger confirmation of recent up¬

This, in turn, is

since

evaluation

short-run

of

much less

markets currently poses
oi;

than

dilemma

a

credit

attempt to

an

project far ahead into the future.
broad

The

shaping, the
current
spending decisions of business or

consumers.

v

seriously

financial

growth

role

for
long-range

Eugene C. Zcr:i, Jr.

markets.

It

dismiss

able

to

brief

discussion.

therefore/to

is

nice

them
Let

be
my

proceed,
frame of

a

with

here

us

which

and

kind

ments

is

(3)

must

regarding the

outlook

in

credit

the

in
how¬

impelled

making.
of

on

stabilized

be

a

in

payments

short-run basis,

lines

the

perienced

somewhat

we

It

would

clude

be

that
in

a

It

when

the

time

to

our

the

bottom

already
we

the

cycle. I would

view

with

economists.
in

the

distinctly

take

of

markets

our

that

will

not

this

balance

year.

hind
Since the end of the steel strike
Os/er

a

year

flation

in

gage

tics

in

the

have

re¬
en¬

a

economy

long session of

regarding
existence
in

ments

the forces of in¬

ago,

quiescent: One could

mained

the

position

merely
purpose

the

how
of

determine

inflationary ele¬

economy,

the

express

that

to

seman¬

the

let

so

view

fear

for

me

my

antici¬

or

pation of inflation is not likely—
for

least

the
—

balance
to

of

become

this
a

at

year

significant

of

us.

that

our

payments problem be¬

Nevertheless,

holders

of

dollar

I

believe

claims

in

countries

have

their

lost

fears—at least for the present and
near

future

those claims
The

of

the

value

of

might be in jeopardy.

Administration

intention

have
our

that

particular pains taken by the

new

its

—

been

to

to

defend

effective

in

the

the
eyes

balance

prestige of

of
our

cern

over

emphasize
the

as

stabilizing

gold position. The significance
for

payments

Nation

in the

of other countries will

con¬

.

inflation

flation,"

the

and

"sustainable
and

so

economists'

derive much

.

on.

that
and

as

If

.

rates

of

dreams,

to

increase in

an

the

:

can

the

Federal

reach

low

so

an

Reserve

let

not

shortlevel

a

outward

move¬

foreign balances.

not

be

forestall

protracted

tended

anticipations
and

rates

long

that

a

period

might

1958

announcement appears as a matter

and

the

growth

of

their

they

counts;
less
ties.

-

to

have

extend

had

maturi¬

■

All
.

therefore

incentive

of

these

factors

tended

to

prevent rates from declining dur¬
ing the recession as much as if
the

tone

had

of

been

investor

anticipations

a




Investors

compulsion to rush to

under

are

will

25,000 Shares

not

ness

Company

■.?

it

(05 Par Value)

z

Wood, Struthers 8C Co.

:

brakes.

necessary

A

moderate

and

busi¬

as

we

recession,

week

of

further

I

May 31

to

comments

discussed

have

on

in

are

First, without going into details
the
compartments
of
the capital and money markets,

regarding
it is

reasonable to expect that the
for credit will increase

demand

generally
tal

creased

goods
in

still

seeking

later
be

liquidated
inventory
expected to shift,

be

can

to

in

but
of

one

the

accumula¬

This

year.

result

a

in¬

Stocks of

being

sectors,

balance,

tion

governmen¬

be

accommodation.
are

policy

not

and

will

all

some

on

the board. Busi¬

across

consumers

units

will

of

scare-buying,
refilling
of the economy

but the consequence of a
of

the

pipelines

necessitated

by higher
production and trade.
Capital

A

the

on

reversal

trend

of

expenditures may
to exert a similar

expected
fluence

levels

demand

the

of

be
in¬

for funds.

downward

is

anticipated later in the
year,
and its impact will begin
to be felt in the capital markets.
to The

instalment

gage credit

demand

forces

operating
past
chases of
but

will

be

strongly than in
Increased
pur¬

year.

autos, homes, and con¬
are taking
place,
I suggested before, I would

to

before

see

few

a

figures
strong an

more

prejudging how

influence the
the

mort¬

durables

as

like

likewise

more

the

and

markets, I believe the

will be in

consumer

business

recovery.

of

sector

the

certain

seems

credit

to

be

de¬

strong,

b"wr"«r. and that is Government.
For

the past

local
of

few years, state and

governments have been

the

most

investment
mand

can

important

funds

one

users

their

and

be expected to

of
de¬

continue

unabated this year.

Lining up be¬
hind them
(or in front, if you
please) in the second haif of the
year will be Uncle Sam, who is
expected to incur a cash deficit of
from $8 billion to $10 billion, and
perhaps
more,
depending
upon

interprets spending and
projections and the
of the Congress.

one

revenue

moods

Fed's

Policy

on

"Nudging Interest Rates"
Another
further

short-

have

versus

heard

sion

from

that

area

is

comment

deserves

the

trend

of

long-term rates. We
considerable

the

discus¬

Potomac

recently

about the need for keeping shortterm rates high enough
to dis¬

absence of in-

courage
foreigners from
taking
obviously de-r their funds, abroad, and the de¬
situation
in
which
a
sirability at the same time of
policy
of ready
availability
of promoting economic recovery
credit is appropriate. A comfort¬ through
lowering of
long-term
able margin of bank reserves to
rates.
I
would
interpret
the
accommodate
an
expansion
of change of Federal Reserve policy
credit
to
finance
the
since last February, of engaging
recovery
will,
in
my
opinion,
be made in open market operations bevond
available
through
Federal
Re¬ the short-term area, as not being
serve
a
surrender of scrre of its inde¬
policy.
pendence to political dictate, as a
Case for Higher Interest Rates
few have suggested. Rather, it is
Nevertheless, as the recovery in recognition of the desirability
proceeds, it is quite clear that two of pursuing the dual objectives of
developments are likely to take preserving confidence in the dol¬
lar and
promoting domestic re¬
place that, on balance, can be ex¬
covery — if it' can
be done by
recovery

flationary

scribe

Capital Stock
.

find

1958

by the end of the year.

no

during
this period to step heavily on the
credit

Hartford Fire Insurance

to

boil

order:

re¬

build liquidity in anticipation of
sharply higher rates. There is a
widespread
belief,
in
which
I
concur, that the Federal Reserve

developed

-

the

the

few

points

same

year.

New Issi-e

A

how

different.

strong
Nor

in

almost 3%

One

situation, in reverse,
might be expected in the business
recovery
in the balance of the

of record only.

0.58%

develop.

deposits has been, to a significant
degree,
in vulnerable time ac¬

The

of these shares having been soldthis

it to

bill rate advanced from

of

(3) Despite some rebuilding of
liquidity, banks have sig¬
nificantly hig~er loan ratios than
in

of

out

the

sumer

'

All

oniy
pot

healthily,

encourage

wnich

that

moved

when

r h As

jjbe-r

has

their

price

encouragement from

credit

simmer

(2) Investor anticipations will
oriented more positively but
gradually
in
the
direction
of
higher rates. Foreseeing the-cu-'

mand

economic
are

not

supply

the

it to

be

the

[ui '

reasons:

should

progressive

econ¬

we

a

(2) The mildness of the business
recession and the feeling that it
would

econo¬

such

since

responding
change in Federal

to accelerate

ment

finally

the

21/2%

general View

vailed

growth without in¬

"growth

stability,"

The

term

given rise to such phrases

"economic

growth,"

in

(1)

reference ; declining

been

and

fluctuated

after

summer

would

achieved. In recent years our con¬

omy has

dollar

has

2V8%

The

range.

has

cellar'for/several

business

perhaps the

dream

narrow

bill rate

has averaged as high as in
spring of 1958, when the bill
fell below 1 ^34%, -short-term
rates have not dropped into the

outlined, he would have to

conclude that

rather

the

a

of

mist's

short-area, have moved within

past

noints

to

over.

ness,

rate

recovery,

of

in the

case

recovery.

ing system at times in the recent

sion to enter upon a buying spree.
If one were to add together the

frame

for

level of free rererves in the bank¬

be under strong compul¬

this

the

was

need

availability of credit in
forepart
of 1S60.
Although

are

I have

other

less

for

credit

in

the

will be really
inclined to

and

make

significant to observe that

downward to

developing in

consumers

much

Reserve pcli:y and

find

stimulate

will

infla¬

greater part of the past
interest rates, particularly in

last

conclud¬

moderate

but tnat

the

stability

between

that the under¬

will

and

of

during

a

be

confidence

but

placed

would

and

rates

year,

pressures

Treasury

influence.

in

recovery

I

the

have

to

a

the

year,

the

that

before

sector,

ing that the

tone

dollar

difficult

elements

bearish

eoods

likely

the

is

that

the

rent
upward trends in consumer
buying particularly in the dura¬

steadv'

.

It

the

greater

is

for

However, I would venture the
opinion that I personally want to
see
stronger confirmation of Te-?

in

resurgent

It

this

of

majority

picture

trade and the renewed confidence

become

the

of

absence

very

previous cyclical

has

in

concur

will

as

inflationary psy¬
bring
a
tone
of

interest

restraint than

it

and that
rising' phase of

a

by

to

markets

reached,
in

now

but

fuel

nomic

summarized

statement

will

tionary

ex¬

recession

be

can

,

balance

the

indicating that

the

of

been

are

Inflationary psychology is not
to

the

current economic statistics are be¬
as

the

at

rest

the

created

particularly the
1959
year-end
forecasts,
might
lead
one
to be suspect of impressions
about business prospects that are
close
to
being unanimous.
The
ing interpreted

indicated

sta¬

rising level of busi¬
activity, without distortions

ness

periences,

con¬

recent

agree,

economic

moderately

year

Recent

I

as

views

with

business

all

out.

watch

regarding

encourage

securities markets.

My

good rule that

a

economists

to

ex¬

recent monlhs.
mistake

and

much
be

enough

of

will

Reserve

effects
of
rising eco¬
activity, credit markets
Let us now get down to the will seek to adjust to them in ad¬
specifics of this forecast as they vance. However, the adjustment
apply to the outlook for credit is not likely to be as pronounced

chology,

the

of

readily available, the Fed¬

eral

formulate

mulative

markets—

of rising

made

success

of

can

sity of the demand obviously will
be governed by the breadth of tne
recovery. Although credit will oe

to

Viewing the Specifics

environment

balance
one

to

seems

ble

have

world

of

one

in this paper.

activity.

improve¬
country's balance of

the

will

Reserve-Treas¬

economic
the

vigorous.

ment

(1)

in

balance

along

securities

markets:

to
We

operate

are

will

near-term

and

us

investment judg¬

position,

seme

clusions

regard
World.

environment,
our

now

Our

and

now,

keep

the premise that a crisis

on

not

to

to

therefore

and

ever,

judgments
be made in developing con¬

upon

of

The

peace.

Free

learn

to

shaken

probe the de¬

may

the

of

had

this

it

next

to formulate

from

me

establish

to

reference regarding questions that
-are

time
been

with

have

plications
credit

and

to

have

of

seeks

fenses

im¬

that

bloc

where

important and
difficult

a

have

time

tenter-hooks

on

have

nance,

From

foundations

Communist

fi¬

national

tension

of

markets

incidents

tional

the

inter¬

in

than

more

exposed to the impact of interna¬

our

as

for

world

a

financial

our

and

development,
well

in

uncertainties.

economic

ar>

to

markets.

lived

have

decade

country's

The

will be

is
We

with

sociated

in

I

firmness

rela¬

as¬

are

our

the

tively smooth working of our

ironment

that

relations

international

in

disrupt

en-

Federal

dollar

for

changes in our
financial

the

as

comfortably in
the thought of not
having a longrange
forecast
as
my
objective

the

the

major crisis

no

such

required

But

outset,

where

areas

outlook

attainment

bility.

is simply not in the cards.

(5)

There will be

(2)

sup¬

dic¬
tation of credit policy by political
mandate—without regard for the
balance of payments problem, dic-

in

factor

of

demand.

balance of payments problem,

cf

A

forces

be

judgment

the

accord of; 1951. Especially in
light of the sensitivity of our

advantage

take

should

a

ury

The writer

recovery.

present opportunity for equity financing.

the

of

cyclical

management

prudent

suggests

and

previous

little

with

case, but I do not in¬
them as representing a
really serious departure from the
system of flexibility in monetary
and credit policy we have evolved

probable course of interest rates as the recovery pro¬

discusses the

ceeds,

in

than

would

terpret

expected to firm interest rates during the rest of the year and require
less

con¬

interference

basic

the

and

quarters,
will

near-term

growth and stability. I would be
nof so rash, however, to contend
that the millenium has
arrived,
because
long-range performance

always, there will be fringe

be

not

vigorous recovery, Mr.

a

buying, particularly in durables.

consumer

business

and

consumers

To predict

buying spree.

a

operate

and

limited

or

steady

to

talk

some

markets

governmental

ply

opines

from

credit

our

By Eugene C. Zorn, Jr.,* Vice-President and Economist, Republic
National Bank of Dallas, Texas.
economist

political

pressures
.

tinue

bank

the

policy

importantly.

And Investment Markets

Texas

Thursday, June 15, 1961

,

pressures

a

pected to opeiate in the direction

astute

of

bankers.

higher rates:
(1)

There

will

\

<•

be

for credit from

tions

the

economy.

,v:

It

increasing

demand
of

.■

all direc¬

The inten-

of

is

an

and
■

rry

flexible
'

•

-

central
<

;

M

feeling that this kind

operation—"a nudge," as it

Volurr.e

some

of

measure

Number 60c4

■

when in-

success

markets

-vesiment

wise

193

in

are

siue-

a

that is, when
the weight of the basic forces of
movement;

—

supply and demand is not cleariy
in
one
direction
or
the
other.
When

the

credit

is pressing

weight of demand for
in the direction

.

.

The Commercial and

.

Financial Chronicle

Midwest Exch.

(2611)

economic

Our Reporter on

'

about

BY JOHN

a

of rates in

all sectors of the

mar¬

Exchange.
Herman

CHIPPENDALE, JR.

The

market

the

for

more

distant

Donald & Co.,

helped by the relatively successful

Cleveland, O.,

placing of the AT&T issue

often

h

at

rates

as

economic

and
expansion,
when
important factor is the
availability:; of
credit
resulting
from an adequacy of the flow of
funds
and
the
willingness
of

a

s

b

<

elected

e

n

e

Vice-

the

start)!

Chairman of

keeping

the

the

markets

lenders

credit.

extend

to

-

One final

point: Since my pur¬
is to discuss the outlook for

pose

security markets, a gaze into the
crystal-ball of the stock market
is in order. Having been a New
Yorker all my life before moving
to
that
great
State
of
Texas,
where
I
am
now
a
"native," I
would prefer to leave the discus¬
sion of price-earnings ratios, "hot
penny stocks," and the like to my
old

friends

Wall

on

Since

Street.

it expresses my own view so suc¬

cinctly

and accurately, I should
like to repeat the statement made
to me by one of New York's dis¬
tinguished
bank
economists:
"Who

of

ever

in

market

a

I

heard

of

a
declining
early stages
business recovery?"

stock

would

like

the

debt

offer

to

of

cost

financing,

that

me

with

sug¬

stock

versus

equifcv

future

of

our

will find
it
long
run
to
an
opportunity

system,
in
the
upon

undertake

to

financing.

I

rationale

the

familiar

am

dilution

about

earnings, the leverage of debt,
and so on, but still recall the old
proverb that "A bird in the hand
worth

in

two

Piper, Jaffray
&

on

had

not

Hop wood,
Minneapolis,

Chancel¬
Dougall of Chancellof- Dougall
&
Co., William E. Ferguson of
Thomson & McKinnon, Arthur C.
Sacco of. Webster, Marsh & Co.;
Cleveland—Herman B. Joseph of

the

the

-

Co., Inc., Cleveland; Charles L.
Grandinpfjir. of-Piper\ Jaffray &.

Minneapolis;''John. V.J

Goodbody & Co., ChL
of R. M. Rice
& Co., Chicago; Albert M. Schmelzle of Fusz-Schmelzle & Co., Inc.*
cago; Rcbert M. Rice

St. Louis.

bush "

the

by Mr. Zirn before the annual
<-f the Natio"^! Industrial Con¬

meeting
ference Board,

York

New

City.

rates

was

elected Presi¬

dent of the Wool Associates of the
Cotton

York

Exchange, Inc.

Election.

Annual

Vice-President

Rutfd of
pany,

2nd

-

Elected

Charles

is

Marriner, Reed

&

R.

Com¬

Lawrence, Mass. Re-elected
Vice-President is Elliot W.

Brown '

Marketing
Elected

of New York

Those

Boston,

Mass.

is Frank

Knell

Corp.,

Treasurer

City.

elected

Governors

to

the

James

are:

Board

J.

of

Caires,

Marshall N.
Cohan
of
Cohan
and
Company,
Boston;
Georges A.
Florin of Prouvost
Lefebvre of Rhode Island, Inc.,
Boston; Eugene M. Grummer of
New
York
City;
E.
Bradford
Boston;

Keith

of

Boston;
J.

P.

the

Stevens &

ville,

S.

Bache

&

Co., Inc., Green¬

William
Reid
of
Co., New York City; W.
C.;

Brewster
&

Top Company, Inc.,
Gordon McCabe of

W.

Southworth

of

Co., Boston, Mass.;

Thurmond

of

Nichols

George

liams

of

With

Thurmond

&

Co.,

Robert E. Fields of
City and John M. Wil¬

Knell

New

the

and

York

LP

of

Messrs.

Fields, all were mem¬

of

were

re-elected.

the

tight

prices

the

pushed
likely
the

of

large

or

investors

hand, there is
the

on

in

commitments

of

part
in

rush

to

uncertain

The

capital market

position

was

since they

the

of

be

not affected to

in

made

million

will

rates

progress

was

had

been

public toffering of the issue.
when
it came along at a
which

was

If

waiting for the

more

And
yield

considered to be

so

up

boom

a

or

by many investors, and the
reception which this obligation
received
at
the
beginning was

bust

situation

there was, how¬
collapse in the market
Governments or tax-exempt

have

a

only

ever,

of

change

mediocre,

This

leaves

M. A.

rates

would

M.

not

This announcement is n either an
•

retiring




Board

The

Schapiro

Schapiro
the

One

to

&

Co.,

Inc.

removal of

Chase

St.,

City,

York

New

have

0*1

same.

likely

most

fii/'

Opens Florida Branch

in

improvement

MIAMI,
pany

at

Fla.—Greene

has opened

550

a

and

offer to sell nor a solicitation to buy any

appointed

co

-

of these securities.
.:

June Iff, 1961

an¬

16,200 Units

the

of

managers

trading department.

National Bagasse

Second District
District

Products Corporation

$1,620,000 Fifteen Year 1%

Securities

Subordinated Debentures
Stock ($1.00 Par Value)

486,000 Shares of Class A Common

Co.,

162,000 Warrants to Purchase 162,000
Offered only in

Shares of Class A Common Stock

units each consisting of (a) One (2)

Madden, Jr., have joined the firm
vice-presidents. James G. Wil¬
is executive vice-president of

Stock, and (c) Ten (10) Warrants to

as

Debenture in the

Shares of Class A Common

Principal Amount of $100, (b) Thirty (30)

Purchase Class A Common Stock.

son

the

firm.

Robt. W. Grafstrom Opens

Price per

Y,—Robert W.
Grafstrom is engaging in a secur
BROOKLYN,

N.

Avenue, under the firm

of

name

May 1, 1961

offices at 330

rities business from
Flatbush

Unit: $163.85

plus interest on the Debentures from

Grafstrom

W.

Robert

Copies of the Prospectus may be

Company.

obtained from the underwriters

only in States in which the Prospectus may

legally be distributed.

With Jamieson Co.
(Special to The Financial Chronicle)

FARGO,

N.

Uehling

has

Harold- T.
associated

Dak. —
become

HOWARD, WEIL, LABOUISSE,

CO.

S. D. FULLER &

AND

with Jamieson & Co., Black Blclg.

Mr.
the

Uehling
First

formerly

was

National

Bank

&

THE JOHNSON,

COURTS & CO.

with

FRIEDRICHS

COMPANY

LANE, SPACE CORPORATION

Trust

LAIRD, BISSELL & MEEDS

Company of Fargo.

THE ROBINSON-HUMPHREY COMPANY,

Form Real Estate Inv. Co.
WHITE PLAINS, N.

who

Investors

formed

Street,

with

to

business.

INC.

Company has been

engage

CHACE, WHITESIDE &

WINSLOW, INC.

Y.—Real Es¬

offices' at

Partners

BUTCHER & SHERRERD

in
are

a

199

CLARK, LANDSTREET & KIRKPATRICK,
I

•

•

INC.

JONES, KREEGER & CO.

'

Main

securities
Richard E.

Petrucci and Julia A. Petrucci.

PENINGTON, COLKET & CO.

Com¬

branch office

Brickell Avenue.

offering is made only by the Prospectus.

Joseph F. Scheidecker have been

firm's

telephone inumber will remain the

that Robert J. Basel and

nounced

has

its of¬

Manhattan.

Plaza, New ,York City. The

*

NEW ISSUE

sec¬

long-term

fears, the
should not

hardening effect on all in¬
As against this, a

gradual

A,

fice

does

rates.

slow

the

In New Quarters

appreciably. A boom and

terest

no

the

Outlook

curve

inflation

interest

level

low

by

sharply that it creates
bust psychology with

attendant

the

bit

a

business

the

as

and this is in spite
increased
offerings
of

announced

Rate

Interest

evident that the bond

market

interest

of

trend

be

most

during

determined

be

term

-

is, namely in the most liquid

of business.

course

Telephone bonds to invesr

It

tors.

the

time

which

extent by the rather
which had
been
the selling of the $250

great

any

slow

to

market for non-Federal purposes.

no

securities

of transition

short

for

continues

ever

believe that there will

period

a

be

Treasury

make

and

these

market
will

prices.

obligations
by
the
in order to get new
money.
The policy of financing
the deficit is still one of supply¬
ing the area where the demand

do

tors.

other

the

issues

near-term

strength that has appeared

any

On

as

the

of

dis¬

sell them.

to

demand

Governments

they would be taken advantage

of

capital

Favor

The

down too sharply

move

and
these

Short Governments Continue in

means

Treasuries

of

price and they
distributed.
A

at lower

of¬

up

more

that

distributed

expect the prices of these se¬

curities to

Issue

most

owners

maturities

tant

or

are

in

quickly

money

means

long-term obliga¬

or

This

down.

recover

be

'

Lomasney, Loving & Co., 67 Broad

tate

City.

exception

bers

boom

will
will

si'zable purchases of the

or

as

large

ob¬

However, if a policy of ease
continues, these new bond issues

en¬

Govern¬

about

be

non-Federal

or

M.

Inc., Boston;
New York

a

of

siz¬

this

An is¬

they

Wool

;National?

the

of

tions,

moderate

psychology develops.

Names Two

Second

the

unless

for

whether

rates,
since
with
time
they will be distributed at a price.
This price may or may not be the
one they were offered at.

among

buyers

offering,

brought

intermediate

likely to be any
changes in the level of

Inc., One Chase Manhattan Plaza,
New York, dealers in government
securities, have announced that
Loring T. Briggs and Edward L.

1st

other fixed

Lomasney, Loving

New York

at

in

Markets Unaffected by AT&T

for

Irving Weis of Irving Weis & Co.,

New

making

still

or

SOGUritiSS Add

Wool Associates Elect
City,

are

ferings

not

are

talk

*A

Banks

not

inclination

of Glore, Forgan

J. Paidar of

very

has

not

bust

Chicago, Chairman; Carl
Doerge of Wm. J. Mericka &

Ma.oney
of u Taylor,
Rogers
Tracy,- Inc.,- Chicago; William :H.
Morse.
Floor
member; Leonard

capital
long-

on

interest

of late in the Government market

purchases of selected Gov¬
obligations, in order to

interest

Co.,

Hopwood,

Central

material

>.

-

the

yield

will have only a tem¬
influence on the level of

porary

have
not been acting too badly from
a market standpoint.
It is report¬
ed
that the professional type of
operation which has been evident

cnac

be

been

reception

corporate

that

;

.

in¬
the

ligations,

up

ments and tax-exempt bonds

liquid
large.

to

attitude

have

However, in sipte of the not
able

the strip
Treasury

mutates

who

thusiastic

influence

near-term

built-

fixed income bearing securities.

In

there

were elected
1962 Nominating

following

James W. Pope

H.

' -*

;

Committee:

&

capital

cautious

more

interest rates from moving
up. • Even
though the economic
recovery is very much on its way,

Louis—Gor¬
of Scherck, Richter
.

of

those

keep

Corp.; St.

members

a

still

ernment

Joseph,
Mellen & .Miller, . Inc.:
Minneapolis — S. Jay Marsh
of
Woodard-Elwood & Co.; Nashvilld
—Gus G. Halliburton of Equitable

Company.

for

market

sized

which
raising

iOid

continues

The

lor

Scherck

that

ease.

been

refunding offer¬
ing did nonetheless help to create

market. The satis¬
at

money

demand

issues

Chicago—Walter J.

Buhler of Buhler & Co.,

don

yield

weie

the

were:

Securities

of

unfavorable

money

new

Norman Freehling

Board

elected

the

of

of

members

side

had

around this large

fact

and

money

the

an

factory

Other

the

the

which

ogy

are

authorities

on

(slow

Governments

psychol¬

see

bonds,

ex¬

of

have

new

of

is

of

Minn.

level

on

the

cap¬

side.

the

run

will

management,

the

in

this

as

with

i cLe

prudent

enterprise
profitable
'capitalize
such

as a

c o n s

faith

Macfadden

the

and

bonds. The wait and

was

addition, the downtrend in loans
among the commercial banks of
the Federal Reserve System has

S.

The

the

result of mar¬
r a;tsi on s/
weighed heavily in favor-of debt-.The
margin has narrowed sub¬
stantially for many companies as
stock buyers have bid up prices
on
a
limited supply of securities
and have been willing to accept
dividend yields that are extraor¬
dinarily low. It would appear to
ket and tax

succeeding
William

the

gestion, therefore, that the recent
sharp advance
in stock
prices
presents a really attractive op¬
portunity for many companies to
undertake equity financing. For
many years the relationship be¬
tween

Board,

Governments

of

monetary

recovery

most

of

sue

J.

that too much emphasis is
placed on small changes in
to

which

income bearing securities.

maturities

stimulus

long

the future

and

come

and

tne easy

on

term Government and

Sheedy of Mc¬

a

the

could

money

influence

market

.

.

ket would be in prospect. I might
state parenthetically, further more,

the

rates

lasting

T,

of the Board of the Midwest Stock

nowever, the pic¬
expected to be dif¬
generally rising level

be

in
or

terest

been elected to serve as Chairman

can

is

pected

CHICAGO, 111.—Norman Freehl¬
ing, a senior partner of Freehling, Meyerhoff & Co., Chicago, has

ture

It

\

.

of higher rates,
ferent and

conditions

with

ital markets still

Names Officers

15

SCHIRMER, ATHERTON & CO.

16

The Commercial and Financial Chronicle

(2612)

state

Pennsylvania1 Authority
Staring, Jr.*

H.

William

By

Assistant

Water

be

of health.

bill

Mr.

lease

provisions that

Staring explains the

rental

the

authorizing

current

the

authority mechanism has

improve,
maintain
and
operate
projects, and to borrow money and
issue

obligation

corporate

—

to—"acquire, construct,

bonds

thorities

politic"

and

therefor."

Many

formed

au¬

under

legislation, however, and
the past 25 years we have

over

lier

vast

a

growth

vehicle

to

riety of
At

Commission,

would

which

have

va¬

have

the

lows

School

of

the

General

Bonds

Turnpike

State

issued under

are

and

ture

Au¬

established

tract"

County

rendered

Authority,

from

State

River

Port

ware

River

Joint

agencies

public

amount estimated at
At

the

local

cording to

of

level

in

in

of

there

are,

Pennsylvania

all

cover

districts

debt

nual

ac¬

Joint

Area

Easton

obligated to

are

sufficient

rentals

120%

of

pay

to

Court

counts,for 59%, sewer 23%. water

include

15%,

Appropriations

miscellaneous

and

the

miscellaneous

find

such

varied

3%.

In

category
types

ments

we

accelerate

to

that
Pennsylvania
is
the
most
"authoritative" state in the nation.

strength

An

Born

the

of

great

Necessity

debate

justification

type operation
ernmental
with

questions

of

debt

utility

the

authority

direct gov¬

operation
and

us

tional

of

versus

is

forever

usually

evasion

of

involves
constitu¬

limitations, control of

rates,

management

inde¬

pendent of the electorate and rela¬
tive cost of
fact

of

financing.

life

we

can

But of

be

one

certain—

the

in

that:

.

.

,

at

indicators

analyzing

market

tax

composition of debt
in

the

form

amount
manage¬

of

authority
Then, the source

service

—

whether

pay

funds

On

of

.

State

of

out

under

the

various

technical

side-^-are

Is the trustee

able

is

On

the

."

help

The

investors

only

on

announcement

is

not

an

offer of

these

securities

for

sale.

The

offer

to

yield

5.35%.
the

of

award

won

at^competitive sale June 14
from

proceeds

bonds,

the

together

temporary

The

but

of

within
over

a

our

authority

better known

types

many

the

not

Commonwealth

broad

inquiries

ous

be

great

section

of

the

numer¬

concerning

is

made

only

by

the

Prospectus.

from

1,000,000 SHARES

financing

with

accrued

the

Ohio

opportunity for
professional invest¬
The

management.
Franklin

Fund

objective

Inc.

of

is

possible
long-term growth of capital and in¬
come
through selective participation
in

the progress
and industry.

interest

in

both

page

6

3.60%

The

balance

coupon.

maturity




•

Fund

based

on

Fund

Inc.

may

exchange

acceptable

securities,

with

market value of

shares.
one

for

The

$10,000,
exchange is

share of Ohio Franklin
each

$20.00 of market

value of securities

deposited, less com¬
pensation to the Dealer Manager, as
described in the Prospectus.
Investment dealers and individuals

San

Francisco

Issue

Moves

Park

City,

to

Investors, Inc.

with

Avenue,
.in

engage

offices

at

York

New

securities

a

business.

the

The

Ohio

Company,

Manager of the Fund.

$11,071,000
account

is

bonds

in

reported at

this writing.

Indianapolis,

Indiana
June

on

13

also

for $10,-

gas utility revenue (1968bonds. The account headed

1987)

them

awarded

$11,275,000

general

1976)

obligation (1962to
the
syndicate

bonds

Ripley & Co., Inc., First
Corp., R. W. Pressprich &

Boston

Co.,

John

Nuveen

Co.,

&

B.

J.

managed by the Bank of America

Van Ingen

NT & SA and

including The First

the successful bidder for this high

National City

Bank of New York,

Blyth & Co., Inc., Lehman Broth¬
ers,
Harriman
Ripley
&
Co.,
Wells-Fargo Bank American Trust

Co., Crccker-Anglo National Bank,
and

I others.

numerous

scaled

3.20%.

to

Initial

excellent

yield

1.55%

investor
and

at

grade

accepted

State
a

submitted

was

has been
of

general

bonds

obligation

by

ac¬

of

$41,(1962-

Bank,, Morgan

Co.,

Trust

Bankers

Co., and Lehman Brothers,
nationwide list of

investment

bankers /and

in

The

dealers.

Good

in

account.

at

piciously

than

Shape

technical

market's

combine,

present,

several

has

factors

more

been

weeks.

aus¬

the

case

Most

im¬

portantly, the level of the market
is

corrected

to

attract

more

gen¬

eral demand. The Commercial and

Financial

new

Manhattan

remain

Market

high

merged

a

bonds

i

good and less than 25%

bonds

the

to

single bid
for

The

to yield from 2.80%
to 3.70%. Initial investor reception

demand

this writing

the

issue.

revenue

was

priced

were

for

Tuesday

& Co., and. others,

issue

The

is

sale

yield

the

less

than

Index
14.

has

So

not

27, 1960. The

calendar

over

yield
June

since July

issue

totals

of

as

average

an

obtained

for

Chronicle's

3.388%

at

as

advertised

next

30

days

Ne¬
gotiated type financing might in
crease
the underwriting potential
$400,000,000.

This highly rated issue was scaled

another

to

include the $120,000,000 Kentucky

a

yield from

1.60% to 3.40% for
coupon. It was reported

3V4%

that about 60%
sold

for

of the bonds

group

account

were

and

the

$300,000,000.

Extension

financing

tinues

turities.

with

Blue

total

standing

Also

were

Tuesday the Common¬

on

000,000 Park and Highway general
Stuart

bonds

&

Co.,

were

to

51 N. High St.

maturity

investments

was

to

Inc.

Park

Halsey,
group.
The

the

(1963

reoffered

3.65%

in

bearing

-

to

1990)
yield

1989. The
a

1%

last

coupon

would

This

Turnpike financing and the $177,000,000
Massachusetts
Turnpike

subscribed
for by the group members. Pre¬
miums are bid for most long ma¬
remaining bonds

obligation

from

of

entire

Harriman

various

1.80%

referred

to

earlier.
The

of

inventory
as a

June

July

tionally
months

situation

con¬

negative market factor,
List

municipal

bond

$495,819,500

at

as

14.

and
for

have tradi¬
inactive
municipal bond

August

been
the

business. Last

quiet,

summer was a

note¬

worthy exception. From June 29
to September 7 last year the Com¬
mercial

and

Financial Chronicle's

Highway

COMPANY

Member of the Midwest Stock

of

by Smith, Barney & Company and
Blyth & Co., Inc., and including

bonds

OHIO

staff

On Monday
of this week the
City, and County of San Francisco,

$10,000,000

THE

T. Uren

the

000,000

Quickly

wealth of Kentucky awarded $25,-

,

formed

been

1192

not reoffered.

were

may obtain a copy of the Prospectus,
in states where authorized
for dis¬

Dealer

to

&l Co., Farnam Bldg.

Research & Science Inv.

balance

of

and including a

minimum

added

been

Dean Witter

sought bids

Guaranty

for

Neb. —Claude

OMAHA,
has

TAX-EXEMPT BOND MARKET

tribution,

of American business

Individual investors

Dean Witter Adds

Chase

a

are

(Special to The Financial Chronicle)

syndi¬
jointly by The First
National City Bank of New York,

SHARE

of

Officers

J.

has

1981)

STOCK

incurring federal capital gains tax at
the time of
exchange for Fund shares,

ment

Cadillac Tower.

Athanese

Michigan Wisconsin Pipe Line
Co., 500 Griswold St., Detroit, an
operating subsidiary of American
Natural Gas Co, operates a natural

Trust

diversification and

securities business from offices at
3001

Research & Science

425,000

FUND INC

blocks

Mich. —Apex Invest¬
is engaging in a

Company

at

cate managed

have

ment

cases.

which

investors

Apex Investment Co.
DETROIT,

of

redeemable

are

redemption prices rang¬
107.33% to par, and at

Connecticut

Ohio Franklin Fund Inc. is a diver¬
sified investment
company. Without

revenues

income of

Treasurer.

sinking fund
redemption prices
receding from
101.75%
to
par,

On

$20.00 PER

and net

com¬

of

count.

OFFERING PRICE:

had operating

(Co.

other

sale

with

only $500,000 bonds remain in

NEW ISSUE

COMMON

12 months ended March

of $85,105,591
$6,481,622.

,

bonds

optional

was

OHIO FRANKLIN

sales

to retire bank loans obtained

pany

ing

season,

Pasant, J President;
Lawrence S. Newmark, and Solo¬
mon A.
Weisgal, Vice-Presidents;
and Joseph J. Pernick, Secretary-

bid of 100.45%.

a

was

This

capacity of approximately

267,000,000 Mcf. One planned ex¬
pansion
project,
scheduled
for

California

to

score

country. We have received

Typically, total

current

Line

15, 1981 at 101.828% and

group

bonds

in

has been made in recent

bonds have become

.

to

always

this

during which

years

withheld direct to the municipal¬

operations, the annual sales
capacity of the company has in¬
creased from 56,500,000 Mcf to the

31, 1961, Michigan Wisconsin Pipe

Halsey, Stuart & Co., Inc. heads
an
underwriting group offering
(June
15)
today
$30,000,000
of
Michigan Wisconsin Pipe Line Co.,
first mortgage bonds 0V2 % series
interest,

of

years

its

For the

Bonds Offered

accrued

western

11

prior to the 1961-62
will increase the
capacity to about
294,000,000 Mcf.

Pipe Line Co.

due June

the

During

Canada.

and

Coast

Gulf

siana

annual

Is the legal opin¬

Marketability
considered.

the amount

gas

heating

who would

one

.

state

plies

completion

Mich. Wisconsin

Continued from

to

and shall pay over

nual

indenture

sinking fund and refund¬

progress
any

Staring
before
the
Pennsylvania
Bankers
Association
An¬
Convention, Atlantic City, N. J.
Mr.

1986

ing?

.

.

community.

by

$600M due in 1985 and the entire

Superin¬
.

in

for both

municipality

Instruction

talk

es¬

redemption provisions reasonable

ob¬

.

and

financial

*A

now

line system which sup¬
to 26 utility companies
serving markets in Michigan, Wis¬
consin, Iowa, Illinois and Missouri.
The company's gas supply comes
from Texas, Oklahoma, the Loui¬
pipe

gas

from

ion rendered by a recognized firm
of municipal bond attorneys?

to

tablished

the

enjoy an
-respected place

bonds

Thursday, June 15, 1961

..

adequacy of income available
debt

of

municipality authority

.

real

be willing and
time of trouble?

the

withhold

ity authority

of

collections,

appropriation due such school dis¬

.

we

general

valuations

trict to the
.

that
a

all cases, where
directors
of
any

tendent of Public

.

the

of

some

provisions.

Code, which

any

maintenance

markets.

funds, will be used by the

fails

"In
of

thority

lease rentals, facility income or a
combination of both—and the flow

used

are

authority

School

district

authority

shall

Investor

the

and

Withal, I believe it can be hon¬
estly said that Pennsylvania au¬

Net

and

1956 amendment

a

rentals due

any

services

for

state

element

school

board

school

con¬

a

in

board members.

to

debt retirement.

the Public

states

concerning

into

for

the

look

to

when

ment

miscellaneous

additional

ligations lies in
to

of

basic

and

reimburse¬

rentals

Excess

term

taxes,

and

other

and

port,
parking
and
municipal
buildings. Truly, it may be said

The

valorem

ad

revenue.

as—air¬

that

defined

has

like

property

service

Texas.
impor¬

construction.

and

debt

latter total, the school purpose ac¬

4,400

to

member

obligation bond—location, popula¬
tion, type of taxpayer assessed

payable from "current revenues"
and
the
Pennsylvania Supreme

close

Authority,

several

enters

considered

view

provide

annual

average

au¬

Affairs,

In¬

of

payment

same

an¬

thorities with debt outstanding on
the order of $1,300,000,000. Of this

ternal

of

Allegheny

issues

new

for

we

School

plus fixed amounts for ad¬
ministrative expenses. Rentals are

Department

the

con¬

appraising the
credit
standing of a particular
issue of authority bonds?
First,

service

to

contributed

of secondary

be

to

suffi¬

amounts

England

have

Now, from the investor's view¬
point, what other factors should

For example, in the case

districts

$1,100,000,000.

recent release of the

a

the

in

New

Dealers

by the authority.

Needs

Authority, the Easton City School
District and four adjacent school

the
total

a

to

charges.

these

school

member

authority

cient

Bridge

outstanding

the

the

Dela¬

and

Toll

Bonds

are

of

School

Delaware

Authority

Commission.

hands

Public

from

the

viding for annual rental payments

Authority,

variation

agreement of lease pro¬

thority, State Highwav and Bridge
Building

for

tract

in

Sanitary
each

communities

inden¬

an

parking

of
A

bonds.

used

as

wherein

pattern.

issue

an

revenue

the theme is the "service

on

authority operation fol¬

well

a

Erie,

self-supporting.

sold

cently
lease

re¬

wide

par¬

airport authori¬
Wilkes-Barre has just
re¬

ties.

amend¬

we

level

operations

the

a

of this

use

accomplish

state

of

ment

seen

Constitution,

is

both parking and

quired years which could not be
spared. Authorities filled the need.

the

purposes.

the

huge

in

the

in

This

revenues.

example, has made use of this
sort of financing with respect to

impossible

was

the

for

because of archaic debt limitations

ear¬

were

bonds

meet

then

provision

lease

completely

gently needed facilities promptly
effectively.
Recall,
if you

and

will, the dire need for additional
school capacity following World
War II. Financing through the or¬
thodox method of selling general

body

authorized

facility

event

ticularly desirable when there is
any question as to a project being

pro¬

vided the Commonwealth with ur¬

nicipality Authorities Act of 1945,
an
authority is defined as — "A

could

which

payments,

current

of

type
Under

may

insufficient to

are

available

place these bonds enjoy in financial circles in and out of the State.

legislation, the Pennsylvania Mu¬

the

in

there

municipality is obligated to cover
such deficiency from any legally

repayment and other reasons for the established and respected

assure

Also,

involved

that

revenues

place of the orthodox method of selling municipal obligations gives
clean

rental

authorities

sewer

rates.

lease

a

state

Appraisal of Pennsylvania's pioneering use of "authority" bonds in
a

to

amount

annual

tantly through active bidding for

and

adequate

National Bank & Trust Co., Pittsburgh

it

the

generally pledge the facility reve¬
nues for payment of debt service
and provide for maintenance of

Mellon

Vice-President,

tirpes

requirement.

Bonds and the Investor

-

appropriations

several

.

Exchange

Columbus 15, Ohio

yield Index went from 3.423% to
3.177%.
These
25
basis
points

scaled

represented

not reoffered. The $15,009,000

3.65%

(1972-1990) bonds were
yield from 3.05% to
for
a
3.60%
coupon.
A
to

rise of

about

an

average

four

points.

market

Number 6064

193

Volume

THE MARKET

.

The Commercial and Financial Chronicle

.

.

subsidiary,

AND YOU

...

which

It

is

it

Allied

acquired

Laboratories
1960 ended.

as

also

building plants abroad
and, like other companies, is ac¬
tively studying conversion of sea

STREETE

WALLACE

BY

(2613)

to fresh water. For all of its varied

doldrums of

The

showed

summer

and' trading interest dried
about the slowest pace of

week

to

up

the

this

market

stock

reactionary

The

heartening

thing

technicians

market

the

to

the

that

was

dis¬

industrial average showed no

position to give up any important

and,

ground

out

trading

narrow

all-time

the

range

high

reached

was

matter of fact,
an
extremely

a

as

carved

has

switch

in 1954 and
chemical

year.

ever

of

nearly

above

since
705

full month

a

ago.

is

law, however, that

no

the peak of the

says

rally

summer

has to be reached during June as
it

last year

when the effects
of the recession were starting to
was

become

painfully apparent.

July,

by some measurements, has been
the favored month for the rally
in

most

gust

and in others Au¬
the calendar period that

favored investors. So there is time

to

far

as

spare,

the optimists

as

concerned.

are

There

the

long-laggard

there

Indeed,

rails.
interest

little

was

section

and

of

the conversations between

even

it all

technicians.

As

but

this

in

slipped out

matter

a

of fact,

the last big play in the
all the
way back to

1956

their average reached

181 for the

first time since
It

1929.

189

when

in

173

when the market climate

fa¬

Its best this year so far is

160.

half

a

of

score

year's high.

picture of

points under last

And that

is

not the

Theory

Despite the classic
section

theory that

action of the others before
market

swing

a

the

valid

established,

is

drastic

a

estimates

Celanese

for

are

The

the

marching to successive all time
peaks with an occasional resting
period like I960 proved to be.
the

moment, however, what
take to spark the market

renewed

clear.

The

isn't

strength

lag

summer

all

at

start¬

was

ing to show up in steel operations,
which

no

was

pronounced in the

Illinois Central where

ings

would

was

of

case

year's earn¬
to
around
$4

run

against $3.56 last year, that its air

part

over

of

to be sold for $38

are

its trackage
million, and

that the air riehts might run to a

this

of $150

without

all

stock.
range

5%

things,

prime

been

a

held

what

for

a

a

times which

14

for

a

is

company

chemical
risen

a

coincidence

defense

through

came

up

contractor, Pneu-

At that
"hot"

the

black ink

set

It is

higher.
teed

has

show

to

been

more or
a

working

less guaran¬

fat profit

increase

per

The

due only to a final

was

10-cent

a

loss

posted

during

the first nine months.

[The views expressed in this article
do

lately

cents.

quarter profit of 26 cents, to off¬

issues jumping in price overnight,
but

that held
16

not

cide

necessarily at any time coin¬
those of the "Chronicle."

with

They
author

presented
only.]

are

as

those

of the

earn¬

This announcement is neither
The

it

NEW ISSUE

giving a
of less than

low

a

multiple

the

heavily in

so

business.

since

an offer to sell nor a solicitation of an offer to buy these securities.
offering is made only by the Offering Circular.

transfor¬

the

made

90.000 Shares

have

Sales

mation, from less than $148 mil¬
lion to $264 million with an in¬
The
it

this

likely

crease

Berlant Automonitor Corporation

again.

year

speculative possibility that
change its nature, and its

can

earnings
outlook,
made
Railroad a favorite

dreary

Pennsylvania
out

Common Stock

few rail followers, but with¬

a

The

reflecting it marketwise.

(Par Value $.01

shares of Pennsy have held in a
five-point range all year, the low
representing the poorest price in
modern
days.
At the high the

shares

priced

were

at

per

Share)

the

about

peak reached during the doldrums
of 1948-49 before the market's

big

Offering Price: $2.00

upturn started.

per

Share

A Rail's Real Estate Plum

By historic price, the shares of
Pennsy aren't over-valued unless
the

is

line

in

straits

dire

more

In

than indicated at the moment.

Pennsylvania's

The

which

Copies of the Offering Circular

the potential

case,

State in which the

may

be obtained from the Undersigned in

Undersigned

may

any

legally offer these shares.

,

occupied by Penn Sta¬
road

already gets $13.2

only

small

a

part

came

from parking lots and

station con¬
hopes for Penn Sta¬
far have reached the stage

cessions.
tion

so

The

with builders for

a

station

Another company
a

of mod¬

group

pas¬

June 15,1961

it.

complement

or

D. E. Liederman 8c Co., inc.

under way,

are

buildings to replace the

senger

that has made

significant switch is W. R. Grace

&

Co., which

once depended for
profits on the Grace Line
operations in the southern
portion of the hemisphere. Grace

the big
and its

also

looked

for

its

to

the

look

new

well

as

All of

these securities having been sold, this advertisement appears as
a

field

chemical

the

as

matter

of record only.

NEW ISSUE

is,

among

holding

realty.

Shares

operations

realty

show

to

far

have
better

are

couple of

a

The

years

away.

(A COLORADO CORPORATION)

thriv¬

chemical business is

ing and first quarter earnings ran
to 71 cents a share against 55 for
the comparable period a year ago,
indicating that the
boost

reported
for

profits

dollar

a

last

a

in

120,000 shares

by

the

over

year,

the first time

will
at

company

overall

1961

half

$3.22

($.50

when

year

par

common

stock

value)

long while
the steamship contribution to the
results

a

nil.

was

Dow Chemical is the
the

prime

chemicals

laggard in

but

OFFERING PRICE: $2.50

despite

per

share

stirring recently the shares

some

still

a

moved

have

only

over

a

range

of

baker's dozen points. More
This company is an

significant is that the shares are
still

price action.

Guaranty National Insurance Company

its from the oil venture, however,

yield of

company

a

Chicago

known

in

dozen points

lately showing

valuable
of

stir in the

a

shares have

The

around

other

million eventually—
causing

of less than

all year,

definite laggard.

of

one

or¬

went

to

year,

ratio

price-earnings

least
total

list, by

with

should be earned about

over

securities

a

this

told

was

rights

a

wasn't

it

It

year

a

The disinterest in rail issues

group

the

Auto petroleum business in which it is
a joint operator with Standard of
level keel,.
spectacular as¬ Jersey and Texas Gulf Producing
in Libya where two oil fields have
already been discovered. The prof¬

pect to it.
rather

one,

year.

last

earnings

some

hardly cheering.

was

output continued on
but there

as

last

share

was

government

Celanese

indicated

$1.20

ern

will

listed

Several analysts, culling

ahead.

quirement. The laggard rails didn't
prevent the industrial index from

it

to be

ings to grow steadily in the years

where discussions

to

Its

one.

from

output

industrial average in recent years
seems to have shaken off the re¬

At

new

time

late

contracts

there

several

million from real estate rental of

"confirm"

must

a

public early in January.

would have

ganized

instru¬
systems.

with

sufficiently promising so that
is being increased.
new products seem to have
entered the profitable stage and

tion.

Questioned

one

began

Celanese

in

was

hattan site

"Confirmation"

is

company

control,

guidance

interests, its sales growth record
and its potentials, Dow, at about
the same price it was available

plum is the nine-acre, mid-Man¬

robust section.

a

and

since

year

production

1959

was

vorable and its peak last year was
at

The

missile

this

trouble

posted in

was

only to

got

rails dates

and

mentation

a

These

of

little in sight to help

was

craft

as

nel

years

was

un¬

billion pounds

a

twice

There

gone

petroleum
annually, it
has several promising fibers, Arruns

dividend

No Calendar Law

have

to

seems

noticed.
The

a 17-times price
neglected item. It
makes precision products for air¬

earnings,

four to five years ago,

interest in Celanese is con^

ment

cerned,

early in the largely listless and

up

moDynamics with

17

available

at

the

operating Casualty Insurance Company.

price where

they could have been bought back
A Transformed Textile

Company

Also out of favor for

long time

a

have been the rayon textile mak¬
ers,

although in the

anese

from
to

Corp.

of Cel-

transformed

basically a rayon operation

where

from

case

has

it

half

of

chemicals,

versified

its

plastics

synthetic

^transformation,

sales

as




and

fibers.

far

as

come

di¬

The

^invest¬

in 1956.
In the last four years
company

lion

of

all

dollars,

internally,
was

on

its

going

pinches make
ratic.

Co-Underwriter

Underwriter

of

it

generated

expansion

Copley and Company

Dow

although

earnings

also

started

a

San

Springs,

Francisco,

price

bit
off

Pacific Coast Securities Co.

Colorado

and

able to keep the growth curve

sales

year

alone the

spent almost half a bil¬

Colorado

er¬

California

this

with a new pharmaceutical

*

A.. .udft

18

The Commercial and Financial Chronicle

(2614)

in

locate

New Plant Financing

word

plant

new

problems are posted on latest developments

included

is

with

of

helpfulness

the

on

utility's

local

a

area

phenomenal growth of re¬

gional

and community develop¬
corporations offering aid to

plants will rise
skyline as manu¬
facturers
prepare
for the years
ahead. But, whether a corporation

Thousands of

new

the industrial

plans

addi-

an

tion

its

to

build

in

one

value on the gcod will
and credit standing of the firm,
and often lets it obtain long-term
in

amount

greater
the

a

available

1

tional first

Under

loca¬

the convertible debenture.

better

this

arrangement, financing starts

out

as

its

serve

cus¬

isonecom-

How

shares

fi¬

to

Richard F.

for

Torrey

him

of the toughest

one

problems management has to cope
with and frequently involves
dangerous decisions.

I

is financially
loaded, it is usually "handcuffed"
its

to
for

a

company

build

to

money

in

sheet

balance

search

its

plant

new

a

expansion.

or

f

trial

first

is se¬
cured primarily by the value of
the real estate, with due consid¬
eration

mortgage. ^This

given to the credit of the
Such mortgage financ¬

company.

ing is the usual and the most fa¬
vorable means of supplementing

capital investment.
When undertaking
pansion
found
of

feasible to

stock

the

to

capital

raise

issue

all

ex¬

have
block

a

This

it also

stockholders

of

part

or

necessary.

vides the money, but

additional

plant

companies

many

it

Under

pro¬

means

the

and

is

the

cost

servicing

of

the

a

maintaining

stock

has

sold.

been

necessarily

estate

or

secured

its

As

up.

implies,
commonly in¬
name

arrangement
an
investor

who

other

by the

tied

credit

with real

in

fixed

a

assets,

general

are

credit of

buys

an

the full cost
of the land and a building that is
built
to
the
industry specifica¬
tions. No equity investment is re¬
it
agrees to a long-term net lease of
usually 15 or more years with
quired

the

of

options

for

industry

renewal

Under this

at

and

favorable

plan, the indus¬

term

long

at

occupancy

Although the

portunity for capital gain

op¬

or own¬

ership is sacrificed, the amount of
rental paid is deductible in full as

State
Due

for tax

purposes.

Induced
the

to

increased

Plans

desire

Many of these

plans for financing of
as

inducements

emerged.

offer varied

areas

to

plants

new

industry

to

to

for

it

loans

company

than

for purposes
construction or

new

It

make loans

can

provide working capital, pur¬
chase equipment, acquire land for
to

construction or
even provide money to defray cost
of moving from one location to
plant expansion

or

another.
An

example of how the corpo¬

ration

operates

in

found

is

In 1957, one of
industries had decided

Amsterdam, N. Y.
the

city's

to

liquidate its Fibre
vision.
Arrangements

Glass

Di¬
ten¬

were

tatively made to dismantle the
plant and move the equipment out
of the state.
Two

employees concerned with

is

arrangement

to

buy

any

is neither

of these securities.

an

offer

to

sell

nor

a

Fulton

the

County Development Corporation
in
Gloversville-Johnstown
area
in

locating

the Mohawk Cabinet Co.

The de¬

which

successful

was

velopment corporation raised $80,000 in
non-interest bearing de¬
bentures and with additional fi¬

constructed

nancing

other

rial

has

at

Mohawk

of

cost

a

Cabinet

■

took

M

development

for

arrange

a

of

loan to keep the op¬

eration in the city.
raised

one-fourth

to

loan

ap¬

of

the

NYBDC approved

purchase price.
a

The employees

equity capital to cover

proximately

balance

the

cover

re¬

quired.
the

Today

company

largest

mechanically

used

plastic structures.
company

is

fiber

to

As

of

glass

strengthen

result, the
is flourishing in place of

empty

plant

a

with

an

annual

payroll of approximately $500,000.

example

in

from

of

new

another

industry
state

is

the American Process Corporation
of

Watertown, N. Y.

Here, in

co¬

operation with the banks and cit¬
izens of the
000

was

acquire

of

corporation

Nikita

zens'

committee

demonstrates
of

or

similar

locational

a

county, a loan of $225,-

approved

the

land,

by NYBDC to
erect

a

new

selecting

A

solicitation of

He

an

offer

most desirable.

a

experts

other

Chairman
York

New

City,

of

the

Cotton

Clarke

Vice-Chairman

City;

of

M.

City

was

Those

urer.

Managers

New

Treas¬
Board

the

Harry B. Ander¬
Lynch,
Piqrce,
Incorporated;

are:

Merrill

of

son

to

York

of

re-elected

elected

G.

was

of New

Williams

John

York

sources.

Watson also

Fenner

&

Smith

Donald

B.

Conlin

financial

City; Tinney C. Figgatt, Retiring
Chairman,
of New York
City;
Joseph J. Gollatz of New York
City; Joseph Grogan of Hirsch &
Co.; Joseph Klein of New York
City; Frank Knell of New York
City; William K. Love, Jr. of
Anderson,
Clayton
&
Co.;
W.
Gordon McCabe, Jr., J. P. Stevens
&
Co., Inc.," Greenville, S. C.;
George
A.
Oberle
of
Volkart

state

institutions, local devel¬
corporations throughout
as

well

as

agencies.

'' (Special to The Financial Chronicle)
— Anne
Dehman
Oremland have joined the

and Nat

cf

W.

Inc.;

Baird Co. to Admit
New

June

8th

Zucker

to

Stock

will

W.

& Co.;

Rogers

&

of

Co.,
New

South-

Brewster

Co., Boston; J.

Raymond Stuart of E. F.

Hutton

on

Exchange,

admit

Malcolm J.
City;

City; Fred

Walston

worth of Nichols &

Company, 65 Broadway,
York City, members of the
York

Purkiss of

York

&

New

C.

York

New

ScWabacher

Perutz of

A.

Baird

of

Bros. Co. of New York

Coburn & Middlebrook,
Incorporated, 80 Federal Street.

value)

Orvis

of

organizations work in close
cooperation with banks and other

staff

par

,

Co., New York

the

of

Elected

These

;

Capital Stock

County

Virginia.

Exchange at the Annual Election.

BOSTON, Mass.

Puritan Chemical Corp.

In¬

and

Fairfax

Zalduondo

&

elected

was

consul¬

is
Frequently, how¬

with

Antonio

Brothers

area

contact

Economic
the

of

Names Officials

these

Coburn Middlebrook

(I0<f

director

N. Y. Cotton Exch.

Two With

500,000 Shares

(Va.)

National Bank of

working out less conventional ar¬
rangements and can put the firm
in

member of the Fairfax

a

citi¬
unit,

development de¬
partment of a local utility corpo¬
ration
can
be
most
helpful in
the

ever,

Acad¬

dustrial Development Board and

The offering is made only by the Prospectus.

NEW ISSUE

is

County

Board

financial

during

1950.

recommended.

with

Prime

and

Castro,

Mr. Hanes received his A.B,
degree from Yale University in

J.

tation

Fidel

graduate of Deerfield

financing schemes for a new plant
or
expansion,
a
careful
soul
searching of individual needs is
Of course,

over¬

emy,

factor.

of

one

Embassies
had

their entire stay in the U. S.

increasing importance to indus¬
Before

also

Khrushchev

Minister

an

or

He

responsibility for the safety
and security arrangements of for¬
eign visitors, including Premier

$450,000.
a
second

active chamber of commerce,

1953

all

industrial

local

a

overseas

Missions.

and

project

development

the

manufacturer

bonded

reinforcement

moving

Existence

in

a

sonnel and its

on

This

.

Depart¬

Affairs, and in 1959 he assumed
responsibility for the security of
the Department of State, its per¬

try—namely, community attitude.

world's

An

years.

the

State

Jr.

special assistant to the late
John Foster Dulles, Secretary of
State,
after serving from
1950
through 1952 with the Office of
the United States High Commis¬
sioner for Germany.
In 1957 he
became Deputy Assistant Secre¬
tary of State for United Nations
as

fiber

new

Hanes

r.

ment

John W. Hanes,

resulted in
employment for 130 persons with
glass products caime 16 NYED'C to, an annual payroll of $500,000. >ri
the

an¬

joined

the plant and it is
expected that they will purchase
the
building at the end of 15

mortgage

been

nounced.

outside of Glovers-

highway

ville

90,000

a

ex¬

changes, it

foot building on the arte¬

square

their service territories
announcement

com¬

typical example of this type

A

of

opment
7 his

in

munity.

grant

can

the

in

plant

its

Ex¬

change and

industry

an

the

Stock

capital to op¬

local or¬
able to grant funds

ganizations are
locating

of

virtually every state, and com¬
munity, a completely new phase of

York

which will assist the

organization is that

an

Financing

New

In addition, these

feature of the

try avoids equity investment and
secures

favorable rates.

industrial financing has

Debentures, essentially
not

and

it

once

com¬

industrial property at

issue

stock

younger

volves

shareholders
suffer
a
earnings. A, factor not

overlooked in

be

and

panies, and has given rise to the
purchase leaseback deal to ease

dilution of
to

any

smaller

larly

expense

existing

company

to join in
really starts

of these systems a
portion of the total cost must be
met by the company itself.
This
has left many a firm woefully
short on working capital, particu¬

rates.
a

the

affords

still

and

.

moving.

this

ently qsed
method of financing is the indus¬
r e q.u

.

.

opportunity

the

things

Frequently Used Methods
The. most

This

modernization.

when

construction is

Unless

more

investor.

these
raise

cases

authorized

plant

mem¬

of

capital,

a

York

City,
bers

estate.

other

stockholder

industrial

many

prices

at

the

to

without

Raising
money

later

con¬

preferred

most

which has sufficient

&

already op¬

groups

are

New

there

alone

area

25

erating.
groups

the

Of

opportunity to get into the act
actually becoming a

construction.

new

can.be
or

common

Y.

In

some

are

of

In

manufacturers.

N.

Upstate,

attention

the

gaining

American

not

gives the luke-warm investor an

the

nance

into

favorable

problem:

mon

debt which

a

verted

there

tomers,

idly

Company, 120
Broadway,

erate, but not enough to build.
They can and do build plants for
companies which for other reasons
are unable to tie up capital in real

qualify for conventional loans.
this
total, approximately 30
loans were provided for construc¬
tion of new facilities.
A unique

of

Wertheim

build

sources,

firm

ment

industry in Upstate, N. Y., as
well as the entire nation, is rap¬

conventional

is

tion

now

new

tion, relocation or operation from

moderniza¬

expansion,

granted 142 loans in the amount
of $20,436,057 to firms that could

ferent
to

raising

Hanes, Jr., formerly As¬
of State in the
Administration,
is
associated with the invest¬
Secretary

Eisenhower

sell stock, acquire prop¬
erty and transact business to at¬
tract
new
industry., They
can

for

During the first four full years
of
operation,
the
corporation

debenture

of

form

in

difficulty

encounter
funds

1 conven¬

by

mortgage.

Another

dif¬

a

fre¬

a

tangible

than

new

a

represent

quently used method of industrial
financing.
This places
a
more

financing

plant
plans to

present
or

and

firm

the

medium- and
long-term
loans.
Many smaller
businesses, while possessing the
potential for profits, frequently
for equity or

W.

sistant

The

firms

Hanes Joins

John

Development Corporation

ment

Thursday, June 15, 1961

.

Wertheim Co.

only to new indus¬

not

velopment Corporation created in
1955 through special state legisla¬
tion to meet the needs of smaller

development department.

on

location.

try, but to existing firms as well.
Most
active
group
to date has
been the New York Business De¬

and/or expansion con¬
in
industrial financing. Typical examples of what State, regional and
community organizations can provide are discussed, and a good
confronted

financing

defray the cost of
company's facilities

and

the

new

Regional and Community

being offered industry at sev¬
eral
levels.
This
financing
is
is

available

struction

example is found in

its

to

.

State where assistance

New York

Development,
Niagara Mohawk Power Corp., Syracuse, New York

building

moving
typical

A

By Richard F. Torrey, Director of Area

Corporations

community or

given

a

state.

.

Daniel

&

A.

Unobsky, Memphis, Tenn.; Robert

Co.; Bert Unobsky of Block &

K.

partnership.

Vincent of The Kendall Com¬

Boston; Charles B. Vose of
Kohlmeyer & Co.
pany,

H. A. Riecke Branch

OFFERING PRICE $1.25 Per Share

With

Vose,

copy

states

of the Prospectus

which
,

the

may

be obtained from the undersigned only

undersigned is qualified

which the Prospectus

may

as

a

in

at

331/2

dealer in securities and in

members

Board who

agement of Harry S. Myles, Sr.

Ala.

—

Smailman




51 Beaver
New York

:

♦,

*

INC.

i -

DUNNE & CO.

Co., Inc. has been formed with
offices at 2069 Twentieth Avenue,

26

'

Broadway,

New York 4, N. Y.

York

to

engage

and

Co.
Odess, Martin & ,Herzberg.
formerly with

Courts &

securities business from

City,

Treasurer;
'

was

a

as successor

to Howard

J.v Saks. Company.
Officers
Howard J.
Saks.
President

in a securities
business. Ralph A. Smailman, Jr.
is President
and Treasurer.
He

South

Street,
4, N. Y.

m

retiring

offices at 100 William Street, New

&

»if

the

re-elected.

Variable Funding Corp. is engag¬

ing in
BIRMINGHAM,

were

Form Variable Funding

be legally distributed.

Smailman & Co. Formed

J. P. HOWELL & CO.,
i
t

of

man¬

a

branch

office

North Main Street under the

opened
A

the exception of Messrs.
Oberle and Unobsky, all

were

GAINESVILLE, Fla.—H. A.
&
Co.
Incorporated has

Riecke

President;
Secretary.

Claudine
and
,

.,

Saks,

David

are

and

Vice-

Isacson,
;

193

Volume

Number 6064

.

The Commercial and Financial Chronicle

.

.

This

(2615)

relatively high

BANK AND INSURANCE
STOCKS

book

exposure to a stock market decline is bal¬
the low ratio of premiums written to policyholders' sur¬

anced by

v

COMPANY

OF

AMERICA

NORTH

196508

Company of North America is

f

trial

also

in

lines of insurance are written

nationwide basis. All

with

on

6%

to

was

:

results..1 "

year

in

company

""

:'

"

"'

.

,

-V

■

.

y

Selected Statistics—Growth and

Ratio

Ratio

58.8%

$876.6

of the country during January

the remainder

over

common

.

stock

of

over,

and

the

at

30.5

times

The

estimated

Company

$11,275,000
"San-Francisco

Center

37.8

A Bank of America N.

T. &

S. A.

of

2.7%

New

an

—0.3

12 purchased

York, June

issue

of

various

$11,275,000

purpose

County of San Francisco.

58.9

36.7

4.4

66.9

35.8

—2.7

The
are

,

of

bonds

coupon

rates

2%%,

5%,

the
on

City

and

the bonds

2%%,

3%,

and

Dividend

Value*

Earnings*

Income

42

$2.36

$2,42

$50.40

$1.20

55-41

2.48

2.19

47,41

1.25

1.31

45

2.56

2.88

58.34

2.70

3.06

58.84

2.92

3.48

60.93

1.65

97-76

.67

.34

-

"

1960

_

_

1961f

School Bonds, $1,369
on $7,500,000
Airport Bonds, $229
on
$275,000 Recreation and Park
Bonds and $139 on $750,000 Civic
Center Auditorium Improvement

$65.00

,

Bonds.
Net

' .45

1956
of

ranks

equity in unearned

for

Life

The

fFirst quarter.

premium reserve.

among

I--

county

cost

was

to

the

2.96%

on

an

and

Childrens
York

be reached in 1962,

heavy

expense

inherent

in

five years ahead of schedule.
affiliate's surplus during

June 15,

city

the

bonds

from

reoffered

were

1.55%

to

to

and

Other
cate

members

were

as

of

the

syndi¬

follows: Blyth & Co.,

Inc.; Lehman Brothers; Harriman
Ripley & Co., Inc.; C. J. Devine
&
Co.;
Merrill
Lynch,
Pierce.

investment

INA

operations

equities for longer term

Society

1961, it

Wood,

York

offering
The
690

Trust

Co.; Crocker-Anglo Na¬

Bank; Weeden & Co., Inc.;

Seattle-First
R.

W.

National

Pressprich

Moult

&

on

&

Thalmann

&

Co.;

Co.;

Co.;
.

will

Conn.,

Struthers

D'.

R.

go

Reynolds &

Co.; J. Barth & Co.;

its

to

the Government In:

138

Locust

Designs Inc.

Share

Copies of the Prospectus
in states in which the

be obtainedfrom the undersigned only
as a dealer in
Prospectus may legally be distributed.

may

undersigned is qualified to act

ADEN,

KENYA, UGANDA, ZANZIBAR

Meeds

Laird, Bissell &
Members New
Members

York Stock Exchange

American Stock

BROADWAY, NEW

Exchange

YORK 5, N. Y.

7-3500
NY 1-1248-49

Telephone: BArclay
Bell

Teletype

Specialists in Bank




Stocks

'

Branches in:

Pistell, Crow, Inc.

INDIA, PAKISTAN, CEYLON, BURMA,
KENYA, TANGANYIKA,

UGANDA, ADEN,
NORTHERN

ZANZIBAR.

SOMALI REPUBLIC,
AND SOUTHERN

RHODESIA

June 13,1961.

subsidiaries

every

form

company

Avenue

offer off these securities for sale. The offer is made only by the Prospectus,

securities and in which the
Bankers

whose address is

of

15,

write
insur¬

operates

in

under

the

management of Mottell D. Peek.

London Branches

STOCKS

selling

Eastman Dillon Branch

(lOp Par Value)

SQUARE, S.W.I.

the

Co.,

of the

William

and, Shearson, Hammill & Co.

Price $2 per

ST. JAMES'S

to

&

H.

Ladenburg,

26, BISHOPSGATE, LONDON, E.C.S.

13

Proceeds

Bank;' and Canada.

BANK LIMITED

INSURANCE

reported that

S., Washington,
C., Puerto Rico, Virgin Islands

Common Stock

PARLIAMENT STREET, S.W.I.

New

of

all states of the U.

NATIONAL AND GRINDLAYS

54

was

City.

company,

has consistently favored

and

a

the

Ru LONG
BEACH, Calif. — Eastman
Staats&
Co.;
Paine, Webber, Dillon, Union Securities & Co.
Jackson & Curtis; Shields & Co.;. has
opened a
branch office at

Power

Head Office:

of

Asylum Avenue, Hartford

500,000 Shares

growth and satisfactory return. Common
50% of total invested assets.

Ex¬
as

stockholders.

and
Phelps, Fenn: practically
& Co.; Wells Fargo Bank Ameri¬ ance.
The

presently amount to nearly

BANK

serves

Treasurer

Aid

Fenner& Smith Inc.;

*

its

In

and

25,000 shares of this firm's $5 par
capital
stock
had
been
sold

'

growing life insurance

rapidly

a

business.

director

a

Land

Secondary Sold-

NEW ISSUE

contributed $6 million to the life

bringing the total capital investment to $25 million,, It is
not expected that INA will record earnings or receive dividends
from its life operations for a number of years because of the

also

City.

of $700 million and the $1 billion level

1960,

120

Co.

Trustee

the top 10% in size among all life insurance com¬

is expected to

-

is

formed

operations in 1957. The life affiliate has been
the fastest growing companies in the life field and already

in force was in excess

stocks

operations

and began

panies in the country. Originally management set a goal of $1 bil¬
force by 1967. As of Dec. 31, 1960, life insur¬

INA

company's

Louisiana

lion of insurance in
ance

of

Judson

the

ploration

for 1961.

the

investment

^Estimated.

Company of North America was

Insurance

■

interest

This is not

and
^Adjusted

Mr.
of

through

tional

paid premiums of $459 on

1.50

79-60

'69

head

1958.

New

can

$2,500,000

74-57

_

since

1976.

$250,000 Firehouse Bonds, $869 on
Liquidating

Total

as

3.20%, ac¬
cording to maturity July 1, 1962-

dicate

Statistics

Share

Investment

Approx.

__

post

School, Airport and Civic
Auditorium Improvement

The

underwriting syndicate, which in¬
cluded First National City Bank

in

Insurance Co.

the

on

yield

38.5%

department

Hartford Fire

Bonds Offered

Margin

that

Recreation and Park Bonds, 2.97%
on the Firehouse Bonds and 2.99%

:

2.2

Price Range

1959

income

in

He has served in his present

securities

is selling. at a
liquidating value,

investment

net

York

security analyst.
In 1949 he was appointed manager
of the company's investment de¬
partment and was elected a Vice1955.

of North America

estimated

g e, a t

e

railroad

as

President

higher

Bonds.

Net

1958—

the

and

Columbia
11

o

which time he joined New

stock

common

ing

!

2.5

Per

_

year

;

37.4

1,182.3

x-

:

attend¬

C

Life

.

its recently recorded all-time high price
and reflects investor confidence in INA's ability to continue its
excellent record of growth and profitability in the future.

quarter.

__

,

The stock is selling near

37.4

25.1

-

in

February, which

and

of the

its presently

60.4

.6

v

$53

Everett G. Judson
..

experienced

his
1938

in

after

.

Insurance

dividend.

annual

Judson

career

a

60.1

32.2

-

Mr.

yoiume

314%. The Bank of America syn¬

_

Company.'

obtained

the $3.48 of 1960 through improved under¬

over

877.6

102.1

1957

one

conditions

of

York

Life Insurance

the

over

unsatisfactory principally

were

winter weather

15.1

384.2

1956

in

portion of the gain
and profitability was

insurance lines

severe

62.5

1,042.7
1,101.8
.1,133.3

Year

profit

incurred loss of $6 million

an

major

volume

23.0

322.7
357.8

t First

underwriting

an

began

premium of 46%

s

$20.9

$288.4

1961t

The

both

currently selling at

estimated

Profit

Expense

Loss

Assets

Earnings
(millions)—

Written

340.5

and

recorded despite

Underwriting Results

Total

Admitted

cur¬

rently Vice-

price of $95 on the American Sfock Ex¬
change. At that price,- a yield of 1.9% is obtained on the $1.80

,

Reported
Operating

Net
Premiums

1957_—.-_

the

parts

The

1970.

1956

million

investment income.

If the 10% annual
reach $1 billion in

on

Mr.

1.

Judson is

has

growth oT.iOf^p/^ .year, over the next decade.
growth rate is attained, premium volume will

Year

of

writing results

a

.

Aug.

quarter underwriting results were on an unprofitable
for INA, as was the case for most insurance companies.

recorded in 1961

recorded an excellent record of growth
and profitability over the past decade. INA's average underwriting
profit margin over that period of 4.6% is well above the industry
average of 3.3%. Premium volum'e'h'as more than doubled since
1950."Management has established a goal of a rate of. premium'•
The

department

increased 8% over
the first quarter of i960, but total earnings declined from
$.67 to
$.34 per share. It is anticipated that an earnings increase will be

15%

than

more

$384.2

resulted in record fire losses. Premium

of total premium
volume. Thus the company has achieved both geographical and
underwriting diversification which lessens the effects of catas¬
trophes such as hurricane "Donna" on over-all underwriting
representing

line

underwriting

President-In¬

"Donna."

hurricane

is

a

the

in

dent

trend

as

Presi¬

-

New

most

one

no

Vice

15

City,

vestments

basis

selling."

agents

20,000

approximately

York

corporation

in

First

including life insurance, which will

through

join

Corporation,

New

through casualty lines.

combining fire and
largest writer

through the concept of "one-stop insurance

operates

$2.92"per share

-

Street,

increased

previous

has de¬
to meet
rates to
risks. The company is currently working on the
of a single package insurance policy which will

combine all insurance needs,

upward

to

Boston

First

stocks.

common

margin of 4.4%

the

been

9%

The

The past year was an excellent one for INA. Premiums writ¬
ten

rating bureau companies. In recent years management
veloped the "champion" auto policy which is designed
the competition of the direct writers, offering reduced

particular

First Boston Corp.

end

of the past decade.
municipal bonds reducing
the effective tax rate on investment income to 13.1%. During 1960
the total market value of the investment portfolio gained $3.1 mil¬
lion as the rise in bond, preferred stock, and
utility common stock
values slightly exceeded the decline in market values of indus¬

leader in rate deviations.
Through the setting of rates based upon its own superior under¬
writing experience and excellent expense control, INA is able to
sell insurance to the public at rates below those of the traditional

INA

year

concentrated in

were

because

has

increased

the steadily

continuing

New investments

rapidly growing line.

be marketed

At

the

income

investment

of that

high quality
development

years.

that Everett G. Judson

Results in property

company

recent

will

casualty coverages in one package, and today is the
The

in

announces

1960,

■[/:'

one

policies,

"Homeowners"

write

to

,

stock

Electric.

Stocks

Insurance

—

of the largest factors
in the insurance industry. It ranks sixth largest of the all-line »
insurance underwriters in premium volume and is the largest as
measured on the basis of size of capital and surplus. The company
has been engaged in the property insurance business since its
founding in 1784, entered the casualty insurance business in 1920,
and has been writing life insurance since the formation of a new
subsidiary in 1957. Total premium volume in 1960 was in excess
of $384 million.
>
y■ \
IN A is respected as one* of the most aggressive of the major
companies in the insurance industry. It has pioneered as inno¬
vations a number of the major marketing developments in the
field that have become universally accepted today. It was the first,
company

common

Broad

Net

Insurance

of INA's

1960, the market values of the securities held exceeded cost by
$313 million. The five largest common stock holdings are Standard
Oil (N. J.), Gulf Oil, Texaco, Philadelphia Electric, and American

This Week
INSURANCE

Judson to Join

plus. The growth of the market value of the stocks held in the
portfolio has been the principal factor in the sharp rise in the
value

19

The Commercial and Financial Chronicle

(2616)

20

facturers

NEWS ABOUT

Trust

York,

elected Trust Officer of

was

BANKS AND BANKERS
New Branches

•

New Offices, etc.

•

Revised Capitalizations

•

if

Alfred

E.

N. Y.

❖

Assistant Vicecharge of the Hast-

in

c

He

ings-on-Hudson
office
of
The
County
Trust
Company,
White

branch
Manhattan Bank,

Street and Broadway

Chase

the

of

of the

Manager

Lundwall,

John
73rd

to
David

York, has been promoted

New

Vice-President,

Assistant

Rockefeller, President, announced.
Mr.

time.

named

was

Treasurer in

The

appointment

Treas¬

Assistant

as

Backnick,

A.

Ronald

of

the

announced

Maiden Lane

branch; Richard

Hughes,

Broadway

25

William

L.

Jr.,

Scheuerman,

Worth Street

A.

branch;

branch; and Bertholf

Terhune, Times Square branch.
John

J.

and

McTague

named

was

Caribbean.

shares of common stock

*

pointed
by

First

New

stitution

City

National

will

and

Bank

will

Goodridge

the

in

Middle

East.

branch.

Cairo

the

*

$

Bank

Trust

York

it

York

Com¬

was

an¬

June

1, Mr. Willem
has been appointed
*

C.
as

Bank,

Company

in

bank

Israel, to opeh

Fifth Avenue has

511

Resident

been

York

New

ap¬

State

Department, it was an¬
by
Raphael
Recanati,
Director in charge of the
office of the

New York

The

the

by

Dis¬

branch

a

New,,York

branch.

branch

of
un¬

McCormack

the

Trust Company

The

announced

by Chairman Har¬

old H. Helm.
*

*

*

in

elected

was

Street.

Fifth

The

Ltd.

Bank,

of

Avenue

expects

to

late

and

open

*

.

The City

by the Board of Trustees, it was
announced
by" Albert C.
Sim-

Directors

of

monds, Jr.,

tive

Chairman.

Board

Stockholders

plan

of

*

have

conversion

under

the

which

the Industrial Bank of Commerce,
New

who

The

plan

ap¬

proval of the State Banking De¬
partment.
❖

*

*

Spring¬

the

since

*

Franklin

Island,

elected
John

a

Trustee

1957.

Long

Harold

B.

Paddi

*

if

of

Trust

National

Bank

Mineola,
V.
as

of

Y.,

N.

Gleason

Senior

erly

Place

Albert

Assistant
elected Vice-

was

take

of the

management

office

the

over

bank's Wav-

in

Madison.

A.

Musson,
Assistant
Secretary and Assistant Treasurer,
elected

was

Assistant Vice-Presi-

dent„and will assume Mr. Roehr's
former
position as manager of

*

Mr.

:i:

*

v

Stockholders

of

Fords

Bank,

N.

J.,

Fords,

proposed

merger

Bank

Trust

&

Amboy, N. J.
First

the

Company,

a

First

&

acquire

Trust

the

National

Company

assets

Bank

by

of

*

^

The

A r d m

Ardmore,

tional: Bank

O k l

;

a.,

the First Na¬
tional Bank & Trust Company had
total assets of $43,266,919 and the

The

Rhoades

Fords

National

share for each of the 10,<000
of the Ford Bank,

Dec.

31,

1960,

National

Bank

Approval for

the

from Federal

$13,587,088.

merger

must

Trust

of

*

can

be

❖

has

of

with

Pa.

in

May

29

of

Bank

Pittsburgh,
Butler

Company was
by the Board

the Federal

Re¬

tional

Bank

and

under

Company

of

has

Bank

in

*

The

Va.—Reginald

been

advanced

to

of

offer to

buy

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

New Issue

title

Bank

is

to

Office of

George C. Textor, President of the
Midland Trust Company
of

con¬

of

March

Trust

and

The

the

by

Ducanville, Texas.
Truitt

June 13,1961

Callahan.

>f

June

rations, is

the

of

title

of

Valley

National

The

Bank
;

*

>

First

*

the

of

San

200,000
of

Golden

the

Offering Circular describing these shares and the Company's

business. Copies may be obtained




signed,

as may

in any

State only from such dealers, including the under -

legally offer these Securities under the securities laws

of such State,

a

victims

value $5)

par
*

.

National

Calif,

been

charter by the Office of

Comptroller

tims will also continue.

May 31. The President is Jacob

of

New

$1,725,000 and
$1,725,000.

a

Blyth Branch
In Kansas City

surplus of

KANSAS

Old Colony Securities

Forms Abbott Harlan Co.

Corporation

Stoneham 80, Massachusetts

Telephone HAncock 6-5730

and

defects

the Currency

of

Shemano and the Cashier, William
O. Sechser. The bank has a capi¬
tal

birth

arthritis, while continuing the ex¬
tensive
research
program
into
crippling disease. Treatment and
rehabilitation work for polio vic¬

Bank,

has

of

.

.

*

Gate

Francisco,

granted
on

an

three

1962 campaign will be devoted to
financing treatment centers for

outstanding

shares

of
❖

San

by the sale
May 31.

effective

stock

510,400 shares,
The

invited to ask for

Dimes

to polio as areas of at¬
against crippling disease.
A
portion of funds collected in the

capital stock from $2,-

to $2,552,000

new

(No Par Value)

are

of

added birth defects and

tack

common

(Number

Share

co-

arthritis

its

Common Stock

was

a

March

years ago

Jose, San Jose, Calif, has increased

MECANAIR INCORPORATED

general

as

and

American

The

Bank

year

Foundation, and a member of the
Advisory Council of the American
Institute of Banking.

of

*

National

served

last

trustee and treasurer
Heritage Foun¬
dation, director of the Salvation
Army, a trustee of the National

»

1

Textor

many other civic and philan¬
thropic organizations, he is a di¬
rector in many American corpo¬

Valley National Bank of Phoenix,
Phoenix, Ariz, was
changed to

The

New

in

The

capital of $200,000 and

Arizona."

60,000 Shares

1962

in

pation in the March of Dimes and

the

and

surplus of $300,000.

The

the

chairman the two previous years.
In addition to his active partici¬

The Presi¬

Fulgham

Norman

Effective

named

been
for

drive

City, it has been announced
Basil O'Connor, President of

chairman

May 31 to the First National Bank

a

has

Dimes

the National Foundation.

Comptroller of

the

Cashier

York,

Chairman
of

York

ef¬

determined.

be

New

General

The

the Currency granted a charter on

is

Co.

*

*
an

to

Ky.,

C.

Virginia, Richmond,
addition to being Vice-

Forgan

Trust

Marine

La-

Mr.
*

bank has

solicitation of

of

Covington.

date

Glore

Co.;

March of Dimes

Company,

Bank

the

❖

*

RICHMOND,

Trust

Covington, Ky., and

National

fective

and

Textor Heads

Comptroller of

Covington,

solidate

Loeb

*

National

First

&

Mercantile

Co.

M.

1.

the

of Covington,
The

Carl

Co.; Ladenburg ThalCo.; Wertheim I & Co.;

&

Trust Company,

&

Weeks;

&

Hallgarten

Currency approved on June 1
application of The First Na¬

System.

serve

Okla.,

&

&

mann

to The Durant

Office of

First

Governors

Durant,

*

The

tonia,

of

Durant,

changed

effective June

Savings and Trust Company, But¬
ler, Pa., under the title of Com¬
Trust

of The Durant National

been

an

Commonwealth

Company

Pittsburgh,

Bank

the

the

title

and State reg¬

made effective.

Merger

blower

a

You

Co.; W. H. Morton &

Co.;

Ardmore, effective June 1.

a

Va.,

Price $3.00 per

Co.;

&

Drexel &

Trust Company,

and

capital shares

dent

any

of

Bank

o r e,

&

Trust

&

Co.; Kid¬
Goldman

Inc.; The Philadelphia National Bank; Shields & Co.; Horn-

of

a

Bank

Co.; Harris Trust and
Savings Bank; Phelps, Fenn &
Co.; Equitable Securities Corp.;
White* Weld & Co.;

#

National

Peabody

der,

value $20).

par

if

Exchange

The

nor

National

Sachs

position of Senior Trust Officer of

offer to sell

Kuhn, Loeb & Co.; Continental
Illinois

from

ing

sistant Trust Officer of the Manu¬

an

Co.; R. W. Pressprich
Co.; The First National Bank
Chicago.; Merrill Lynch, Pierce,
Fenner & Smith Inc.; C. J. Devine & Co.; Eastman Dillon, Union
Securities & Co.; Salomon Bros.
& Hutzler; Bear, Stearns & Co.;
of

Co. The Northern Trust

cial

This announcement is neither

Lehman

$150,000 to $300,000 effective June
1.
(Number of shares outstand¬

15,000 shares,

Co.;

Morgan

Co.;

Halsey, Stuart & Co., Inc.; Barr

Negaunee, Negau-

increased

Trust

York

Trust

Brothers &

the. changed its title to Exchange Na¬

paying

Bankers

&

-f

was

Perth

Under the plan the

Bank

Ford

National

approved

with

Mich.,

New

Bank

Co.;

Harriman, Ripley & Co.,
Blyth & Co., Inc.; Smith,
Barney & Co.; Lazard Freres &
Co.; The First Boston Corp.;

a

nee,

offering

Inc.;

officers:

tional Bank of
*

*

to

Bros.;

announced

Myers, Assistant Cashier
❖

By

the

Manufacturers Trust Co.;

promotions,

new

of

members

Guaranty

Morristown.

and

Vice-

Trust

in Division "E."

Johnston, formerly As¬

America, New

Other

Chemical

also

according

syndicate include:

Gamon, Assistant Cashier

H.

3.80%,

was

in the Bond Department; Peter C.
Morton, Assistant Trust Officer in
the Trust Department: and Wil¬

liam

to

maturity.

Grau, Assistant Vicehas been made head

the election of three
John T.

Walter C.

of North

the

Scholfield

Livingston

reoffering to the public, the
were priced, to
yield from

1.70%

Building.
H.

a

On

Walter A.

a
major
dividend policy
change, the Directors of Commer¬

Bank

of

1962

as
3.60s, represent¬
net interest cost of 3.54985%
to the city.

elected

charge

purpose,

bonds,
due
to 1986, in¬
bid 100.4821

group

ing

stock dividend, the common
capital stock of The First Na¬

Short
*

in

The

bonds
was

a

bonds

total

a

various

1,

the Trust Department.

County, Mor-

will

and

approved

Presidents.

In

Bank

monwealth

Secretary since 1955 and

The

is subject to the

joined

Mr.

bank in
1931, has been Vice-President and

York, will become the Bank

Commerce.

of

Vice-President.

Execu¬

as

Vice-President

or

York,

obligation

clusive.

Surplus of $150,000,000 and

$300,000,000.
Reginald D. Hulse

New

for the

named Assistant Vice-President in

Roehrs,

*

steen,

approved

Savings Bank of Brook¬

Springsteen

of

The

and

submit the only bid
of $60,400,000
City

serially July

bank will

capital of $150,000,000,

In addition to these

W.

lyn, N. Y., announced the election

if

,

ulatory agencies before it

sj:

Trustee of The Bank of New York,

of Harry S.

*

N. J., promoted two of¬
George Munsick, President

Alfred

come
if

from Un¬
Surplus. As a

to

result of this action the

have

of

to

issue

an

general

$5,000,000

Profits

divided

announced.

the

fall.

a

May

on

of

transfer

June 8

on

for

at
the

authorized

by

Bank

headed

by First National
City Bank of New York combined

Na¬

111,

meeting,

Charles

Board

would

the

Discount

Israel

System

the

of

First

The

Chicago,

managed

Manhattan

group

of the Credit Department.

branch for business sometime

new

Stauffer,

of

corner

their

of

of

Bank

syndicate

Chase

'

President,

Rocke¬

east

Governors

Directors

The

approved by

was

Reserve

&

'•

ficers

its

43rd

Bank

A

in Pittsburgh, Pa.

ristown,

Company, New York, at the south¬

it

of

Ann

Company of Morris

elected

Board,

Cape

of

City.

\

V:

31, 1961.

On

to

of

Board

Federal

$200

Advisory

Ann
title

Trust Company,

cupied by Morgan Guaranty Trust

York

New7

The

Bank

der

has

New York,

Center

National

with

Gloucester, Gloucester, Mass.,

Trust

if

Robert

Mass.,

largest

second

Ltd.,

De¬

York

New

City

Bonds Marketed

joining The Bank of Vir¬
ginia he was Vice-President in
the Trust Department of Fidelity

at

Safe

Bank

National

in

Thursday, June 15, 1961

New York

career

Prior to

tional

Company,

banking

the bank's Office-on-the-Green in

❖

The application of the Israel
count

bank.

Gloucester,

Discount Bank, Ltd. will be
located at the offices presently oc¬

Bank

Hans

York

Israei

Chemical

was

Handel-

New

from June 1.

as

*

Chairman Harold H.

by

V.,

N.

co-Agent of this office.

proved
elected

Helm.

feller

of

As

nounced

New

retired

has

Nederlandsche

Barnouw,

Banking

New

nounced

the

to

has been

Trust

Vice-President,

*

Stikkel

J.

15

sj:

Gloucester

of

and

President

of Directors of Chemi¬

Board

cal

Clark who

Russell

of Banks.

at

V

Grant Keehn

pany,

of

Merger
posit

York

field

have

Until recently he was manager
the

and

resignation last week as
State Superintendent

his

ing

New

of
his

have

in Beirut, Lebanon.

business

board

the

by the board follow¬

active service

supervision of the bank's branches
and

G.

is

elected

was

Maatschappij,

headquarters
Mr.

of

Chairman

Chief Executive Officer of the in¬

ap¬

York

sis

❖

resident Vice-President

a

currently

♦

Goodridge has been

Westchester

the

outstanding.

from

C.

to

July 5.

Cornelius
❖

John

stockholders of
There are 573,955

24

July

record

first

the

payment of 25 cents
stock dividend pay¬

2%%

a

with

Cape

declared

board

The

semi-annual

officer, branches in the

auditing

the

President.

Leichtman,

,

also

of

annual 5% dividend in
stock, it was announced by Jacob

able

1955.

bank

urers

Assistant

an

regular basis

a

continuation

to

addition

on

banking, the last

in

years

annually per share in

cents

50

regular

has been associated

with the branches since that

He

the

who joined

Lundwall,
in 1926,

bank

dividends

cash
of

38

then

the

Plains, N. Y., retires June 16 after
York, have voted establishment of

his

began

Commerce

Stam,

President

charge of the Trust

Department.
with

si:

in

President

the Meadow Brook National Bank,

Springfield Gardens,

Consolidations

New

Company,

..

.

Co.,
office

(Special to The Financial Chronicle)

from

offices.

Ventura " Boulevard
firm

name

Company;.

.

of
'i>:

at

Abbott
»

<■

&

* - *■"

1004

Baltimore

office
,

Avenue,

of Richard

Walbert.

Also

the

Harlan
w

B.

16024

under

at

CITY, Mo. — Blyth &
has opened a branch

under the management

ENCINO/Calif. — Burney C.
Prigge is engaging in a securities
business

Inc.

merly

<i

associated

is

with

the

new

Coburn, forVice-President
of
Stern
Clay

E.

Volume

193

Number 6064

.

.

The Commercial and Financial Chronicle

.

ing

Elements in Financing of

Boston

The

issue

banker.

Also

$50 million and

more.

continues,
size

;

known

the

played

to

will

part

money

that

industry

continue

in

raising

the

banker either.

secu¬

tribution

of

—do

to

be

than

more

C. C. Glavin

simply

merchant

possible

banker

investment

can

-i

or

Times

and

..I

„j

c

a

i

To

opportunities.

the

meet

change

to

serious

the

groups

organ¬

the

to

a

that

the

risk

be

the

price.

on

and advice.

it

able

It follows that

to

and
der

as

integral

of

part

Inc.,
New
of the country's largest

one

distributors

erts

continuing relationship, based on
confidence, between the
companies
and
the
investment
banker.

the

♦Prepared statement by Mr. Glavin as
part of a panel discussion at the 29th

&

123

Parke,

body,

regulatory

where

announce

Jr.
as

is
a

Exchange,

Stock

phia-Baltimore

that William F. Morris,

now

with

associated

combination

rigid m them thinking and finan-

group

size

would

of

an

not

price

increases.'

issue

to

attempt

differentials

medium and large

there

know

is

a

I

measure

between

Annual

the

tric

issues, but I do

difference and

Chicago Analysts to Hear

Convention

Institute,

New

of

the

York

Edison

City,

Elec¬

June

7,

1961.

I

strongly that if the issue
enough
competitive
bidding is not your best answer.
I

can't

$250
this
of

Merrill Lynch to

large

gets

help but think of
issue of AT&T.

million
case

more

it

is

than

hard
two

to

bids

Effective

and

it

Ross

is

and

equally hard to believe that either

rill

the

two

groups

exercise

can

Smith

best interest. How much better it

New

York

issue of this size

New

York

be for

to

the underwriting and

use

an

of

is

City,

Mer¬

&

Fenner

St.,

Pine

70

members of the

Stock

manager

Exchange.

of

the

Mr.

firm's

11th Convention
The 11th annual

national conven¬

tion of the National

Association of

Investment Clubs will be

21,

Schroeder,

1961, at the Hotel

of these shares having been sold, this announcement appears
as

a

matter

of record only.

NEW ISSUE

**

June 9, 1961

M#*

"■

.if

effectiveness

habits.

Virtually all companies in the
industry today have achieved a

these

of
or

^

-

75,000 Shares

factors

effectiveness

Dodge Wire Corporation

by

notification,
At the present time the SEC is

to

in selection of
Gone are the

the logjam. The suggestion I make
would help their problem, but
above all it would help the utility

have pretty well balanced
corporate structures with enough

STOCK

istrations and many voices have
been raised to seek solutions to

days of the 1930s and the Securities and Exchange Commission's
ABC formula. Most companies to-

COMMON

overwhelmed with new issue reg-

industry, and I would hope that
it would support this type of pro-

financial

sufficient

soundness

permit flexibility
media.

financing

day

gram

of borrowing power,

reserve

cial

company

the

objectives— :■

and

needs

in-

suit its

best

to

structure

dividual

doubt

no

appeal

EEI

the

by

and

I

like

would

to

touch

discuss capitaliza-

of competversus negotiated business,
Both methods have their place
and their time.
But it is, in my
opinion, highly desirable that you
do
everything possible to keep

on

I do feel that once
established its
basic objective, it should not hesi-

tate

it

has

deviate

to

Verv

firm

from

recentlv

had

the

pattern

is orthodox.

decided

has

client

a

planned to

sell

of
a

within management discretion the

our

selection of the best method of
sale at a given time
To the extent that you are subject to regula tory requirements for competitive bidding, you should*, fightu to
convince your regulatory authorities that all interests are best
served by an open mind. I can
think of a number of cases where
clients of ours have abandoned
j°r a competntve offering
bonds or preferred stock and
av
^ Private P acements inste.ad.
These moves have mad
Qulck ac
J, . h a' ojcmifi"

bond

issue, which was the obvious thing
do in a normal financing se-

to

with .our
advice
suddenly to a common
but

quence,

changed

.

take

to

issue

stock

advantage

of

be an excellent
equity market. Another client in
the same posture changed from a
what appeared to

bond

issue

ferred
an

to

convertible

a

pre-

take advantage

issue to

of

market for this type of

eager

security at

a

time when

a

straight

advisable because of

a

temporary

other client sold

sequence,

the

suggested
stantial

J

large amount of

.stock, .-again
after

preferred
orthodox

a

out.-of
had
sub-

demand

temporary

the

amples
the

paid

were

situation

tax

These

institutions.

all

three

pffort<;

for

^|otiated
f,

off

issuer

position

in

and

a

,

When

ex-

because the

and

such

in

case

„

_

All

of these shares having been sold, this announcement appears as a matter

of record only.

June 14, 1961

NEW ISSUE

"y

1

U

100,000 Shares

NATIONAL FOOD MARKETERS, INC.
Common Stock
(Par Value lc Per Share)

PRICE $4.00 PER

SHARE

AMBER, BURSTEIN & CO.,

Preferable
•

-

-

Negotiated Sale Is

We are also witnessing a growing problem—the problem of

who

sold $10

size,

million

financial

Companies

of

manage-

issues 20 years ago are now sell-




SAVANNAH, GEORGIA

6, N. Y.

a

sale will inevitablv be
°
ool_
,
KiA

flexible

because

YORK

special sell-

better for you than a sale at bld"
din®'

variations from

handsomely

was

I

with

orthodox, but variations that

infrpmTpn+iv

.

large blocks of preferred stock for
whit may well prove to have been
a

NEW

,

ket. condlA^s:_ 31
an issue will require

we

possibility.:of

institutional

Yarnedoe, Chisholm & Co., Inc,

Plymouth Securities Corporation

r°spect, proved to be a s g
benefiV
" fe^Js

earnings situation. Still an-

poor

offered.

may be obtained only
where the securities may be legally

^

sale would have been in-

common

in such

States

to re-argue the subject

tion ratios, but
company

Copies of the Prospectus

Act.

Finally

the subject of flexibility as to
the method of sale. I don't want

a

Price $5.25 Per Share

Congressional

to

perhaps arrived at in consultation
with
the
investment
banker.
I
don't intend to

($1 Par Value)

representatives.
I am sure this
type of procedure can be effected
by administrative rulings under

has arrived at a philosophy concerning
a desirable and appropriate finanEach

through

direct

provide the all-impor-

equity to
tant

40

Exchange Place, New York 5,

N. Y.

INC.

held on

Oct. 20 and

Friday and Saturday,

Milwaukee, Wis.

Milwaukee office.

ing capacity of the whole invest¬

All

Incorporated,

Smith

sell¬

Pierce,

Lynch,

the kind of muscle that is in your

would

Investment Clubs

B.
Matthew J. Smith will
Thomas

22,

Vice-Presidents

become

of

June

at the

Midland

Name Two V.-Ps.

the
In

conceive

CHICAGO, 111.—L. Walter Lundell, President of C. I. T. Financial
Corporation, will be guest speaker
at the luncheon meeting of the
Investment
Analysts
Society of
Chicago to be held June 15
Hotel.

also feel

shouid be the basis for automatic

cial

them

registered representative.

in

have not become too orthodox and

Broad

South

Street, members of the Philadel¬

issuance is approved by a state or
Federal

elec¬

With Schmidt, Roberts

a

and within the, investment
banking industry as a whole as

of

parts and equipment.

Philadelphia, Pa.—Schmidt, Rob¬

This service is avail¬
an

Terminal-

of

Electronics,

industrial
tronic

J.: A. Winston
elected to the

mutual

^ Company has -been through
financial thinking
processing before; where the
in practice.
At times-jl won- ;qUaiity * is'' clearly
superior- as
if many utility financial men
measured by S-9 standards—some

flexibility

York,

of

been

directors

of

Hudson

namely, the function of suggestion

cautious

has

Co.,

board

under¬

of

an

more

&

individual

amount

risk

course,

flexibility is so important—flex¬
ibility as to type of issue, flexibil¬
ity as to timing, and flexibility as
to method of sale, I hope I have
pointed up a most important func¬
tion
of
an
investment
banker,

cur^ies exchange, where security

problems and to seize the opportunities there must be flexibility

.

limit

ing.
In cases of companies with
securities listed on a national se-

_

and with change

ge

and different problems

new

size

ticularly senior securities, should
n°t *n effect be exempted from
the long drawn-out SEC process¬

per-

form

come

bank

roadblock of the SEC's present
registration and processing procedures. There is no good reason
why utility securities, and par-

conduit.
Perhaps
by discussing some of the problems of today and tomorrow in
the
market
place I can better
point up the additional functions
an

need

of

step in this direction is doing all

a

o r

impersonal

an

you

avoid issues of
and
partly to
avoid going out in storms. But the
most important thing is being in
position to act quickly. A major
uneconomic

banker

far

as

use

greater

21

Named Director
Harry Donner,

is an
extreme example, but the prob¬
lem
grows as
issues get bigger
and the effect is simply a matter
of degree.
As members of the utility indus¬
try think about these areas where

firm wants to take and the great¬

partly to

regard,

and should

can

Quite the contrary

your

lines gives some flexibility in this

But

invest¬

ment

investment

the

of

financing
the money.
Proper

function

the

function

a

bid for

This, of

this atmosphere has a cumulative
effect
both
within
the
bidding

Registration

guessing future markets; and I'll
warn
you right now that this is
not

standby

are

writing

Flexibility in timing is equally
important.
By flexibility of tim¬
ing I don't suggest a policy of

pur¬

investors.

a

will

SEC

to

tiated sale.

that size in itself creates

sooner.

Procedure

v

-

rities and dis¬

the

of the ways to im¬

Reforming

As growth

trend

banking
industry
under
leadership in a nego¬

competent

company's bond
issues, and more and more we are
witnessing the necessity of these
groups
merging to bid on the
larger issues.
There is definitely

the

investment

its thinking,

industry

chase of

some

when

York

to

apparent
function of
the

are

bidding

New

er

utility
industry. The

is

by

ment of the issuer was flexible in

for the

our

competitive

expressed

by Mr. Glavin

banking

and

vital

a

is

self-evident

investment

new

covered

is

has

of

sale

large

ment

of

will continue. It should be

realized

there

utility financing through SEC registration processing

it

believe

play

negotiated
too

this

and

issues

problems to the investment bank¬
ing industry. Generally speaking,

First

Corp., New York City

utility's financing flexibility, and what should be done to get

prove a

I

for

becomes

issues

the

are

ized to
Preference

million

$30

-

more-numerous

Utility Industry's Needs
By Charles C[ Glavin*, Vice-President and Director,

$20

(2617)

.4:

I

22

The Commercial and Financial Chronicle

(2618)

SECURITY SALESMAN'S Corporate Bond
CORNER

BY JOHN DUTTON

v

Eisele,

Frederick R.

&

a

firm

investment

the

Company,

partner in
Freeman

Keep Tax Records and Don't Overlook Anything
penses

that when you work
and produce you get paid—that is
—you will get what is left after

Who

know

you

government

.your

into

its

puts

and

pockets

your

hands
out

takes

.all that it can eject from your
hard won pay check each week.
Remember this: every dime you

legally deduct

can

business

legitimate

as a

be

must

expense

acj-

.counted for. And you should take

a

client's

the

in

times
to

New

this

country today, the only way
honest, hard working indi¬

an

vidualist,

such

salesman

can

to

to

him

is

them stick.

able

be

Here

commission

a

keep

be

and

expenses

tions

as

what belongs
to prove his

able

some

are

concerning

make

to

sugges¬

deductions

you

should

record in a diary. Be sure
do this regularly; record the

you

dates

of

the

transactions, people
and
trips
that
were

involved,

primarily of
If

vqu

selling securities

you

probably spend much more than
people in other lines of work on

daily
to

My

you.

each

this
In

to

addition,

and

about

$3.50

investment

purchase

jut

to

keep

subscribe

you may

papers,

and

zines

bill

newspaper

averages

reading is important to

trade

ices,

invaluable

are

own

week

and
vie.

that

papers

serv¬

maga¬

many

read-the*advertising

up

on

ideas

new

in in¬

dustry and business. This reading
could easily cost you hundreds of
dollars
mate

a

and

year

is

it

business

of

cord the

newspapers you

magazines

legiti¬

a

with

connected

expense

the

buy, the

purchase, and the

you

deductible item against your gross
earned commission income.

York

entertain clients at

you

home be

sure

and

make

your

note of

a

those who attend the function, the
date

the

and

ment

billfc

the
If

b.quor

If

$50

then

consumed

make

note

a

food,

on

the

maid

a

extra

an

deduct

by

entertain¬

hired

you

item

every

your

spent

and

and

in

evening

you

of

cost

included

you

it

items

you

50

to

25

"Huskie"

&

world

altitude

Thomas

E.

e1e y

Air¬
craft of
Stratford, a division of
United Aircraft Corporation, has

you

the

pay,

are

entitled

if you

F

,

of

car

for business

trans¬

Goodboiy

&

portation,

and

the

find out
keeping

you

may
work of

extra

tax diary can amount to quite a

saving to

you.

*■

-

A

y

Possibly your firm deducts the
charges and telephone; calls

toll

make from

earnings
to

net commis¬
month. Don't

record

them

in

your

diary and deduct them next
when the "gimme boys" are

own

year

after you

again. Also, if

telephone

calls

those

which

tion

and

and

a

them

business

with

or

is

when

should

you

you

you

prised
and

you

claim

of

corporate

Other
John J.
&

1934

is

and

of

$25

on

pay

what

is

yours.

installed

Secretary, and Vincent

as

Apologies

A

gas,

you

Random
roneous

ally

have

a

trip and

ycur

To Admit Partner
Courts

&

Co.,

York

House.
use

and

you

buy

pay

tolls,

note

of

Owing to the

er¬

of quotation marks in

the

views

of

appeared in print

error

members

of

the

Stock

at the

quarters

were

this

as

actu¬

columnist

To Admit Two

regretted

own

these

be

in light of the fact that

certain

touched

to

on

socio-economic
in

thinking

the

and

areas

column,

the

New

Stock

will

York

and

Exchanges,

admit

Chester

and

on

Raymond
V.

J.

Serig

to-partnership.

Reimer & Co. to Admit
On

June

will

acquire
York

JOHN

&

Michael J. Metrinko
a

membership in the
Exchange and

Stcck

become a partner in Reiiner
Co., 52 Wall Street. New York

City, members of the Exchange. '

To Be
S.

J.

Kingsley, Boye
1 the firm name of

Kingsley

&

Street, New York

Co.,

Wall

Exchange,

changed to Kingsley, Boye

Co.

come

27

City, members

of the New York Stock

firm

DUTTON.

William
a

and

E.

general
Edna

This appears
all

of

these

a

matter of record

shares

have

been

H.

will

Boye

be¬

in

the

partner

Boye

a

limited

partner.

f *

:

.

A*

*

The Fafnir Bearing Company of
New

Britain, the country'$ largest

independent manufacturer of anti¬
friction
ball
bearings,
recently
celebrated

50th

its

The press and
to

series

a

pany's

of

were

tours

invited

the

of

com¬

newly completed 460,000
feet plant at Newington.
expansion at the site calls
addition

the

fcr

Anniversary.

public

of two

to

of

1,100,000

new

plant and, if needed,
administration building for a

total

feet, to¬

square

gether with parking facilities and
other yard services.

-A'.,.

.

The

*

#

*

Torrington Co., Torrington,
of bearings and

manufacturer

Bending plant.
:>

'

■

'

»:«

Royal

*

*

/;

,

with

plants in Hartford,' in¬
tends
to <j begin
overtime
work
schedules /at its large typewriter
factory in the Connecticut capital.
The
decision
was
prompted by
-

demand

of

and

Board

Chairman

stated

that

the

A.

reorganization

McBee's

Royal

hand.
Ryan

on

Allan

in¬

low

a

typewriters

sales

should

substantially improve the
company's marketing of its prod¬
ucts. Royal McBee has also formed
applied

new

a

its design
tation

research

combine

to

ment

depart¬

activities

the

analysis group,

center

and

of

compu¬

research

inves¬

tigations group.

•

Electric Boat of GrOton, a divi¬

sion of General Dynamics

Corpo¬
ration, was awarded a $76,200,000
contract
in
April
for the
con¬
struction

built

has

build
of

of

Polaris

two

submarines.

firing

or

eight

19

the

Boat

contracts

received

of

missile-

Electric

to

total

current

fully-funded

missile-firing
15, Secre¬
tary of the Navy, John B. Connaily, will be the principal speaker

submarines./ On

Electric

when

launches

the

This

6,900-ton

missile

undersea

Edison.

ballistic
is

June

Boat

expansion
program
which calls for a $1 million wire

designed to fire the long
1,500-mile Polaris.

$5 million

manufacturing

.bearings

SoutJjACarolina.

petitive'position in
by creation of
of

supply

bearings
additional
serving di¬

an

for

versified domestic needs.

Armstrong

placed

-

;

Co. of West

Rubber

has

Haven

and
com¬

the

field

source

per

long

per

New

England

Tele¬

new

a

distance

service to speed

calls

and

cut costs

for Connecticut busioecsmen. This

WATS
Service)

designated

Area

Telephone

fered

on

calling

its

in the

world, in full operation. A
belt built over railway

conveyor

tracks

with

warehouse

the

connects

the

Haven
16,000
tires a day.
Tires reaching the
end of the conveyor are separated
by a sorting unit which senses
1 heir

and

size

cording

them

ultimate

ac¬

on

u-e

commercial
large trucks. The pas¬

senger car

tires

bv

further segre¬

are

electric.

an.

wbitewall

into

eye

The

blackwall.

and

tires then

separated

travel

along

lanes into the warehouse for

four

final

tagging

kind,

Foot

was

of

Inc.

designed by Dv/ight
Stratford, manufac¬

turer of materials

ment

The

sorting.

and

system, the only one of

convevor

its

divides

their

vehicles,

or

gated

can

and

to

pas-enger

trucks

West
handle

company's

factory

handling equip¬

A

■

Now Robbins Drourr Clark

a

full

basis.

time

A

full

or

(Wide
is of¬

limited-

time

cus-

Arthur

Clark

and

Stephen
J.
Drourr have been elected officers
of

Jerome

82

Wall

and

Robbins

Street,

the firm

&

name

Inc.,

Co.,

City,

York

New

has changed to

Robbins, Drourr & Clark, Inc.
Charles Blumberg
ciated

with

the

firm

is

now

.asso¬

the

trad-

in

ing department.

Primary Markets in

Share

CHAS. W. SCRANTON
Members New York Stock

&

CO.

Exchange

CONNECTICUT
he obtained from the Undersigned
may

legally offer these shares.

:

DUponi 7-7626

SECURITIES

New

JSelhmale! &
Building, Washington 6, D. C.

II»

New Haven

•

York—REctor

2-9377

Hartford—JAckson

.

DuPoiif Circle

tire

new

warehouse, said to be the largest

I

Share)

Offering Price: $2.00

.

in

plant

The program is

aimed 11 at., reducing
costs
strengthening the company's

of

program

a

million

mill in Torrington and a

r.. •.

Corp.

McBee

phone Company, New Haven, has

Cpmmon Stock
(Par Value $.10

may

in¬

$6

i

INTERCONTINENTAL MOTELS, LTD,

State in which the Undersigned

sec¬

the

tions

conducted

service




AT

fields.

sold.

June 15, 1961

T. •/.

A'"AV

dustrial needles, has announced

range,

150,000 Shares

any

in

automotive parts.

mis¬

operations
will
be
at the American Tube

introduced

in

dis¬

the

communications

Thomas

only

JSSTTE

Copies of the Offering Circular

with

Co.

Electronics'

Southern
NEW

and

for

cable

and

craft
as

s|:

>!=

Heminway

of
friction,
the
nylon
material
is
superior
to
such
applications ; as

plastic

rocket, spacecraft, telemetry

fleet

as

sub¬

a

will

&

shared by Miss Rand.

rot

8th

New

will be

is

been

sile,

increased

LOUIS, Mo.—A. G. Edwards
Sons, 409 North Eighth Street,

my

philosophy

as

fabricate

coaxial

ventory

being specific

particularly

has

Inc.,

operated

will

company

■I

A. G. Edwards Sons

efficient

metal

square

principal

22

*

Belding

an

be

to

The

of

fixed price.

a

Future

of American Tube Bend¬
Co., New Ijlaven. The new

tribute

firm's New York

office, 25 Broad Street.

Effective July

is

ex¬

a

by

This

washed, greased, garaged, and
make

published

an

;

sidiary

Exchange, on
1
will admit
Norman
A.
Cooledge to partnership. Mr.
Cooledge will
make
his
head¬

quotations from Miss Rand's book.

serviced,

car

RAND,"

instances, what

some

in

take

AYN

miles

192.9
;

Electronics,

ing

Kalinowski

PHILOSOPHY

broken
with an

Connecticut corporation,

new

formed

Midwest

itemize

family.
If

OF

THE

of

speed

.

Courts & Co.

entitled "FOR THE NEW INTEL¬
LECTUAL:

18

May

hour.

AT

June

My column in the May 4 issue
based on
Ayn Rand's book

was

Treasurer.

members

To Ayn Rand

record

as

&

With

kilometer

three

HSS-2

average

May 24 with
of 174.9 miles

speed

miles)

the

by

kilometer

100

The

hour.

(1.86

were

Hurley, of Bache & Company,

once

record

average

an

officers

records

the

miles)

ST.

amount

wife

your

an

traders

bond

an

Sikorsky

speed

took

(62,5

Meyers, of John J. Meyers

Co.,

at

Russian

by

craft

com¬

July

not, will go to

to

Eisele

underwriters.

on
on

defense,

hesitate

founded in

was

New

foreign coun¬
tries,
welfare,
and
the
great
American "give away." But who
is going to give to you if you
stop working and producing? So
don't

R.

two

for

helicopters. Si¬
korsky's HSS-2 twin turbine air¬

Vice-President of the Club, which

talk

save

Taxes

yours.

subsidies,

if

defi¬

a

working

are

dime

Every

taxes

are

expense

clients,

deals.

each

off

telephone, telegraph,

long distance calls

nite

deduc¬

proper

Frederick

held

with

home, itemize

your

charge

month. Your

has been
designated as

make

you

connected

are

broken

Co.,

your

each

e

holds

also

record

machine.

empty

you

your

forget

Company.

car expenses

is
al¬
lowed 15 hours monthly of calling

its strength, resilience and low co¬

H43B

Smithers

all the tolls

A

rate.

customer

the

mack, of F. S.

on

area

corporate offices in Putnam, pro¬

for from $18.75 to
washing your car.

which

sion

John

McCor-

.

telephone within
for a flat monthly

limited-calling

a

you

just

up

you

carrying

size

any

unlimited calls
a chosen

make

may

any

ducer
of
threads, . yarns, ; nylon
pany's H43B "Huskie" which flew- resins'1 and
chemicals,"has 'an¬
1,323 feet higher than the previ¬ nounced
plans
to. manufacture
ous
mark established by a Rus¬
nylon engineering plastics.
The
sian machine in March, 1960. The
company claims
that because of

will

succeed

was

tomer
to

2,505 pound load. The feat was
accomplished May 25 by the com¬

Mr.

Eisele

of

copter

annual

outing.

Bloomfield

of

F

parking fees, and the

a

are

if

Corporation

Aircraft

Kaman

Uncle Sam is going

clip

that

you

and

aircraft.

responsible for the new altitude
record of 25,814 feet for a heli¬

meeting fol¬
lowing
the
Club's

in

broken

built

ata dinner

was

If

it.

these

be

can

selling securities. Re¬

services you receive by name: and
this expense can, and should be, a

for

$1.50

bracket

business from

business nature.

a

are

dirty, dusty

a

that

to

up

as

Bond

helicopter records,
by Russia,
were
May by Connecticut

held

year,

a

$37.50
Add

to

ace

drive

to

in

all

50%

overlook

use

business that
legitimate and deductible. In

want

home

After

deductible.

are

worthy 75 cents to you if

incidental

your

would

car?

the time to record all the expenses
to

they

as

world

formerly

Club

of

If you are a commission salesman,

Three

of

installed

was

Thursday, June 15, 1961

.

;.;

President of the Corporation
Traders

.

Connecticut Brevities

:

Traders Elect

.

7-2669

-

Teletype 3NH 194

.

Volume

193

Number

6064

.

.

The Commercial and Financial Chronicle

.

the

Compensating Balances
And Regulatory Agencies

do

banks

of

economies

tomer

own! .expense.

his

at

money-center
wide

banks

variety

derived

from

such

working capital

^

portion of the

that the annual volume of term

utilities

to

amounted

$2

to

incentive

facilitating

ways

warrant including its cost in tha

banker

Tha

base.

rate

or

in

balances

continuous

says

ter

could

and

ba

the

commercial

the

banker

fi-

in

recent

reached

years

nancing the utility industry's con-

billion.

of

If bank credit

bank balances.
I

wish

were

to

able

the

as

the

on

Edward

B.

agement

The

commercial

bank

to its customers.

furnish

can

Deposits

loans

are

eco-

is

balances

Terms

arranged

be
borrower
may

complete

borrow,

may

pre-

without penalty and rebordepending upon his needs.

row,

.

.

Economies

in

Long-Term

Financing
The

of

economies

rowing

be

can

interim

bor-

transferred

illustrate, I quote from

cent

issued

statement

known

electric

by

a

to

a

re-

other

market

a

in

bank

a

once

a

year

the

credit

bank stands

provide funds to

by

the con¬
savings in¬

pay

struction

bill.

volved in

financing

are

The

facilities to
mands

of

to

Banks

are

in

a

In

a

bank

is

man¬

extend

to

policy

deci¬

light

of

economic

there

The

credit,

capacity

to

of

credit.

established, the
position to pro¬

loans

up

f A'

to

the

com-

tfanfts $l9 00T0n00 nne$of' c?fdU
Tkl "it!
This
credit

merit

confidence

the

Compensatory
no

They
mal

are

dead

means

balances

or

turned

are

course

over

the*

securities. If market
favorable, this offering is expected to be common
shares
These probably will not
permanent

and

|

before

In

recent

>f!

V

'

•;

'

,

I

■

i j

J

excess

proceeds of long-

term

financing for a period prior
investing in bills, if that is

to

and

•

Continued

on

an

offer to sell

nor a

in

time

picking an
entering

for

market

of

there

are

obvious

solicitation of ah offer to buy

any

'13

of

the

years

t

OJ

ROot'

'V

,)/(}'(

Common Stock
(Par Value $.10

per

share)

Price $3.00 Per

Copies of the Offering Circular

may

Share

be obtained from the undersigned.

for

drive

Martinelli & Co., Inc.
79

^ave enabled them to,
Provlde broader .,s «r.tv 1 ? e and
lar?er credlt availability to their

Wall Street, New York,

First Atlantic Securities Co.
160

40

announcement

any

Exchange Place, New York, N. Y.

'

June 14,1961.

This

N. Y.

V. K. Osborne & Sons, Inc.

Broadway, New York, N. Y.

is

neither

of these securities.

an

offer

to

sell

nor

The offer is made

solicitation

a

of

an

offer

to

buy

by the Offering Circular.

only

customers accompanied by deposit
expansion.

Universal

Need

for

42,800 Shares

Bank

a

Relationship
accbunt

bank

recognized

a

as

jng business.

is

universally

necessity for do-

Because of his bank

Florida Metal

Supply Corporation

Common Stock
(Par Value 12% cents

per

share)

monthly bookkeeping.

Corporations maintain deposit

prr,tpl

i-,ar,ro

corDOrations

are

two

schools

of

the advisability of the
interim
bank
credit, we
that

the




use

of

bank

ac

do

standard

wa,

money-center

as

well

banks

in

Chicag0. ;San Fran_
The area banks extend

York?

credit

and

also

do

most

of

payment for services rendered,
drawn

for

payment

Copies of the Offering Circular

may

be obtained from the undersigned only in this State.

the

day-to-day
work
of processing
checks received from customers
checks

share

with

business

^Tocal
New

nro^p-

Price $7.00 per

of

suppliers of materials and sehvices, pavrolls. etc. Work involvpd
is usually heavy in volume and

LAPHAM
40

&

CO.

Exchange Place

NEW

YORK

5, N. Y.

C0RTLANDT INVESTING CORPORATION
120 Wall Street
NEW

YORK

J

.'•'J*
In

de-

merS®rs

in

on

have found

page

only by the Offering Circular.

(a New York Corporation):!'

»

very

cisco, etc.

substantial.

While

use

next fall.

economies

thought

nor¬

Averages

commonly raised through de¬

posit of

WALDORF AUTO LEASING, INC.
•

posits and grow to a noint where
a broad range of services can be
rendered to customers,

are

capital

the

in

of business.

100,000 Shares

mercial banks as standard pro
duret m the- conduct of their

the

by

are

static balances*

the

attract

community,

business

of

management complete flexibility
in
scheduling
next issue of

The

full

not to amounts actually borrowed.

accounts with one or more com-

advantageous

bal¬

the

NEW ISSUE

services^

5?d;
gives

h!nic
banks.

be sold

For

provide

to

venience of paying by check and
having the bank do most of his

■

,

"At the 1960 year-end

conditions

lines

force.

compensatory
related

the

to

the

of
in

amount of the available credit and

capital of the borrower;

pil?vl

nnmrronv

with
with

an¬

bank'3

a

for

reason,

de¬

an

the

amounts

are

Over

mean

on

of

commitments

ances

commit¬

a

provide

to

this

un¬

effect

loan.

average,

20%

funds

in

compensatory-

come

are

and

three limitations to be considered:

(1)

which

aggregate

amount of
willing to

customer,

a

term

time,

credits

vide

supply increasing de¬
public for service.

which

of
have

basis,

com¬

the

determining the

credit

under

a

bank must be in

Commercial banks have played an

" e<\u mg account, .the customer expects
agf fwel '"Sarized by a rel 'service which- in the case of an
cent release from another electric
individual, may be only the con.

commercial

tangible value,

very

or

make

Once

flexibility in loan arrangements.

bank

capital
plus
management,
the
principal objective of a bank is

A

One of the major advantages

+

from

credit"

commitment

or

panies which have large require¬
ments for new capital to construct

Without deposit growth a com-mercial bank would be stagnant,
Beginning with a pool of invested

long-term
substantial.
-

available bank c cu
i
du
c
credit is the backu
"

°S

a

interim

particularly to public utility

into earning
making loans to

by

^banking

less frequent

I

has

nual

of

year

to

balances

Availability

credit

banks

one

posits

of

continuing

usually staked out

"line

period

a

deposit

are

a

ment

important part in financing these
requirements because of the great

com-

to come to
instead of

company

twice because the
to

under¬

increasing bank deposits has been

economies

words,

enable

and

,

these securities. The offer is made

active through rapid spread
of branch banking and also by
pany's continuing expansion can bank mergers. The objective has
be realized if the company were been to get more deposits from
permitted to consolidate its capi- new customers and to get intal
requirements
for
a
longer creased
deposits from existing
period of time through bank bor- customers.
New branches have
rowings and thus enter the money been
established in developing
market
for
larger
amounts
of areas where potential new cuscapital and at less frequent in- tomers are located. By increasing
tervals."
the
size
°*
individual
banks,
"Substantial

In

credit
der

the

compensa¬

a

Customers' anticipated needs for

new

money

via

on

basis.

compensation

availability

term

customers and making a profit for
the banks' stockholders,

well-

utility:

permanent financing of the

can

is

of

amount

customers and second by invest-

fG

economies in long-term financing,
To

es¬

turned

are

first

Ss^l^SMta^Providing

Permits

cost

The

maintained

for

of

com¬

nomical-—usually at the prii?iQtm,-,r-remainder in portfolio seterest rate for maturities less than cunties.1;'.Income from i loans and
one vear
There are no lesal fees
investments pays the expenses< of

pay

bank

Credit

This announcement is neither

principal function of

assets

,

bank

to
give the
flexibility. He

the

source

account.

procedure to be fol¬

as

the

in

banks with the primary source of
funds to invest in earning assets,

by a wide
of financial services which

volved.

for

has

service

mobilize the

major

on

sating balances.

White

pensatory

0?

chief

and

a

ing. This is accomplished through

Interim

These services
the

(3)

for example.

area,

National

a

capital

other

on

a

its

of

tory balances which the customer

are

availability of bank

interim bank loans and

a

is

position to advise corporate

lowed

financ-

range

information

moving into

of

case

surplus; and

also

are

and

the

to
of

problems at hand.

They

credit

The legal limit of the bank

which, in the
Bank, is 10%

necessity of maintaining compen¬

long-

term

background
companies

The

business,
requirements and

function is

provide

which

it

banker

its

to

23

continuing
basis,
which is tied in directly with the

eco¬

nomic

(2)

funds,

share

customer's

-

sions, such

credit

to

means

to

the

useful

be

its

analysis

bank

a

the

that

his

how to insure

ef¬

provide

facilitate

to

able

assist in the banking and financial

are

position,

of

for

final

the

entire ."resources

sporadic, basis
in an "easy"
they would not

a

services

determines

permanent value as a
reliable backstop.
This leads us
to the second part of the paper,

Commercial

fect,

banks

mary

to be avail¬

were

devise

corporate

functions.

agency

have much

as

in

on

the

money

easy

is the first.

banks,

only

when

part

explain

us

Credit

Assuring Continuous Bank

compensating

second

to

industry finds bank loans
useful in its financing programs.

explaining the
necessity

demonstrates

to

his
help solve his problems. As ap¬
plied particularly to serving the
public
utility
industry,--many
banks. have
specialized
Public
Utilities Departments whose pri¬

that the

(2)

and

gram

This

In

anticipate

nual volume of approximately $2

struction

pro¬

to

mobilize

notes,
drafts
or
other
negotiable
instruments,
make
money
transfers,
provide
safe¬
keeping facilities for corporate
investments and perform various

of providing bet¬

means

broader

order

stand

an-

an

bank

ai

usefulness

sential

loans
by
the utility
industry
(electric, gas and telephone) has
in

and

and

In

of

in

is highly
provides the

of their deposit balances
the bank is likely to get.

\

efficient.

My paper is divided into two
parts: (1) outlining the function

a

banking

for

customers

advantageously

larger if it were recognized as a cost which makes utility operation
mere

provide

and,
capacity

the

which

customers.

points out

interim bank credit in recent years

billion

The

of services

have

competitive,

compensatory bank balancas. ..Mr, Whita dascribes the

long-term financing which he
-

conditions.

collect

further look at tha real

a

market

money

Banks

be

Commercial

Utility commissions ara asked to take
function

end

wise have to

would other¬
done by the cus¬

supply credit over and above the
lending limits of the area banks.

City Bank of New York
;

great deal of the

a

bookkeeping which

addition,

By Edward B. White,* Vice-President, The First National

'

(2619)

5, N. Y.

'A

24

The Commercial and Financial Chronicle

(2620)

distribution system, and

Distribution—Vital for

niques to evolve basic
ods of

The

Utility Industry

—

possibilities
Thanks

minimum of

a

Moreover, he details major breakthroughs in the field

of distribution about to

well

occur as

what is

as

likely to

of it.

come

given

thought to,

more

of

more

have historically

we

our

and

put

behind, im¬
generation
and

in

transmission,

the

projects

point

The

not

is

Those

The $43

to

most

The

The

(

in

that

vinced

Dr. J. A. Hutcheson

efforts

these

to

been, and will continue
be, immensely rewarding.

have

building,

Moreover, in the next 20 years,
Electric

Institute

com¬

panies will pour another $40 bil¬

question is: What are we
buy with this money?
More of what we already have?
it.

doubt

For

can't go on forever
additions

work

we

making patch¬

and

stringing

up

wire. This kind of expansion

more

is

thing,

one

too

expensive

maintain.

It

to

takes

create

tions,

much
It creates poor public rela¬
and will eventually prove

be

to

up

have

In

Total

discussing

Frontier at
weeks

ago,

Electric

now

under

every

...

office

.

Total Elec¬

the

things

now

construction

try.

He

salesmen,

some

on

in

industry in this

came

servations

going
with

up

into

Bill

colleague,

my

Sproul called attention to

delighted power
must have fright¬

As I

ened the wits out of any distribu¬
tion men who might have been

to

present.
He
in

said:

this

Everywhere

country,

you

America

look

are

Within

is

re¬

years,

going to erect

ten

we

new

buildings

.

This unit

ice.

watthour

pad

-

for it

mounted

addition

in

And

comes

with built-in

meters.

to

joint

developments,

child

of

we

face

in

generation

still

be

see

done.

to

must
a

Done

we

going to go
capability

distribution

sys¬

abide

by the laws
economics which

First,

turn

equipment

studies

be¬

exist¬

our

they

way

studies

the

total

ACTIVE-

the

is

brain

partnership

a

ap¬

proach to your problems. The new
can
reduce commercial
distribution investment by 10 to

system
20%

compared with the

The

has bene¬

up

is

logical step in this
study and ex¬

under

perimentation right now by util¬

ity and manufacturing engineer¬
ing teams
higher utilization
voltages for residential distribu¬
tion.
By stepping up from
120
.

.

volts-to-ground to 240, it will be
two

must

full

jobs
con¬

function

which
of

the

to

possible
four

ten

to

transformers

utilize
times

the

ratings

of

Studies indicate

present systems.

that this should result in an over¬
all system

So,

attention

research

many

as

savings of 15%.

guess,

study

to

a

we

can

Service

of

area

see,

there

and

lines.

feeder

long since retired.

No

two

are

roads open to us for evolv¬

In

will

area

Thus,
of

of

the

and the

served,

we

in

of it?

come

of

tomorrow

notice

wooden

head

at

of

New

Mexico

<

cross

the

joins

evidence

One

be

were

the

Texas Eastern

UTILITIES




Transcontinental

Transmission
Gas

The

formers.

pattern is hypothetical,

new

to be sure,
features of

triangles,

to

hexagons,

these

...

representations
calculated

on

Now such

a

things

as

could

.

choose
tem

and
as

economical

they

tant

sys¬

wished

in cable

.

.

remote

to

using
these
geometric simula¬
invariably agree with con¬
studies

use

hard

.

more

the meter is read from

a

computer

sends

it

out.

It

demand

and

energy

from

individual

meters

Exchange

American
Stock

Stock

Exchange

Exchange

in

UTILITY

RAILROAD

Unlisted Trading Department

26

Members New York Stock
Exchange

NEW

YORK

BROADWAY, NEW YORK 4, N. Y.
Telephone:
IIAnover 2-7900

\

figures

and

SECURITIES

Wertheim & Co.

a

At

the

INDUSTRIAL
PUBLIC

no

impor¬

also

and

and circuit loadings, as well as
voltage drops. The same computer

way

Brokers

Corp.

static-

centeri automatically.

center,
bill

Even

a

contains

MEMBERS

Stock

Co.

de¬

Computers

Vilas & Hickey
York

city,

monitors distribution transformers

of

at the

Via

which

device

records

arrived

Reading

moving parts.

the

clusions

improvements

state

alternatives

tion

the

The watt-hour meter is

circuit configurations for as many

Planning

of

section

the overhead cable has been

Meter

losses
simple

that

techniques

is

homes

manholes.

voltages, substation sizes, and
as

the

sign ana insulation did away with
the need for concrete ducts and

.

most

the

Service to

another

since

and

Euclidian

equations
and the solution of
these equations enabled them to
.

of

circuit load¬

drops,
expressed

be

com¬

base

placed underground. This wasn't
as
expensive as one might think,

could
be easily
digital computer.

voltage

ings,

In
even

regular polygons,

squares,

diamonds

the

In

underground.

but it contains all the
the load, and all the
components of the system.
Because they now had the sys¬
reduced

functions.

lighting poles, we have
integrated the distribution trans¬

sense.

Midwest

Pipe Line Corp.

dis¬

the street

pattern would make

nonsense

out, because we have

bined

Corporation
Service

ionly

electrical

of

This impression is correct, as it
turns

Electric Co.

Public

lights,

the

IN
Arizona

over¬

street

to

seems

and

arms,

paraphernalia.

line

that

of

absence

tribution.

MARKETS

PUBLIC

study

residential
suburbs,

a

the

once

poles,

service

the

on

system.

down

■

Co.

the

the fashionable

supplied, but in an orderly, geo¬
metrically sensible pattern? Then

New

Houston

likely to

Looking

visible

loads

in

We have the

Electric Frontier and

street

were

same

the threshold

on

distribution

and

customers

are

breakthroughs

community
Total

the

covered,

were

cost

Well, let's step ahead into that

the

that

said,

they

areas

number

we

major

What's

plied in studying it, the planning
engineers came up with an idea.
Suppose,

best

complete

and

the

knowledge
and
the
machinery
equal to the enormity of the task.

are

where or when.
Staring at this disorderly array
month after month, and trying to
bring some order to it so that
logic and analysis could be ap-t

same

minutes,

of

field of distribution.

knows exactly

same

several

data.

the loads inside each
increase, but no one

time,

j

of

matter

a

alternatives

nor

Colorado Interstate Gas Co.
El Paso

in.

with

along

dis¬

areas

have

would

however,
using
the
described, a com¬
puter will come up with the right

is there any symmetry
in the circuit patterns.
alike,

he

discovered,

methods I have

vascular network

a

do

Today,

a

typical

urban-suburban

an

could

in

been

little doing, becauf®

a

were

you

alter¬

the knowl¬
that by the time his error

answer

if

he

best

secure

was

investigate.

ing system concepts that will re¬

"i

Public

TRADING

task.

edge

operation which is under study.
This takes

tem

such studies.

next

direction

conven¬

Network growth

major cities

many

.

are

we

our

of

such

fited from

more

it, there

program

design

tional net work.

''

-

anticipates

transformer; for underground serv¬

radial

tinually upgrade our present sys¬
tems by taking maximum advan¬
tage of existing knowledge and
improved hardware. And second,
we

building.

the

is

arrive

to

that

item

without waiting

future

work

ing systems the same
grew—piece by piece?

ob¬

that

but

Another
the

two

depreciation
require that we retire

coun¬

some

and

of

the

will

get some idea

Be

tomorrow's

tems

of

set

of

of which would
engineering staff for
one

The

less
was

mathematical model of the system
or

ac¬

just

were

achieved

Now, how are
building

is

does

team

answer we

thousands

months. Heretofore, it was a hope¬

Operations

what the

his

right

one

at

any

occupy

is

find application in fu¬
ture equipment developments.

necessity

about

natives,

utilities around the country
experimenting with it.

Basically,

look

must

many
are

a

possibiilties

in

EEI meeting some

an

It

name.

a

do

can

of real estate. To

acres

arrive at the

Research," and

of

you

to

has

tool

new

called "Operations

the

present

13-kv distribution

or

dollars and

we

This

his

whether

or

is

kv

job for 20 more years.
The
right answer will save millions of

for

history,

our

23

for the future of his

the

the first time
have available
techniques and tools of research
equal to the enormity of the prob¬
lem of designing and developing
optimum distribution systems.
Fortunately,

in

incorporated in this design, such
as a completely transistorized con¬

distribution systems

Jobs

system,

short.

18-hole

and transmission.

needs of the times.

our

areas

to the technological perfection

we

but

.

whether

on

answer

4-kv

course,

load

is,

there

our

.

right

and we will
lead time is growing

of

can,

less

woefully inadequate to the

room.

one
as

voltage

every

urgent

bring

We

say,

projects

ago—and

the

to

too

up

hardware,
evolved

tween electrical manufacturer and

years

decision

only a few of

are

point

than

nity of tomorrow. We will be ex¬
pected—in fact, commanded—to
keep pace with the progress.

for optimizing total
system designs. Accomplishments

every

homes

manager

ap¬

utility engineering teams have led
ceptance
of the
Total
Electric I to development of new types of
Home
concept—today there are systems. The 460-volt secondary
250,000 more electrically heated network incorporating spot net¬

of

and

recently

example, suppose a utility
is faced with making a

clean-cut, super-efficient commu¬

concept that opens immense new

Add to this the tremendous

to

that

For

would look to,
an astronaut likeya meaning¬
mosaic pattern of substation

tric.

The

I

item

of

do some wonderful

can

we

Finding Right Answer

superimpose the kind of distribu¬
tion we have today on top of this

Research

field

the

trol,

—probably will be

distribution.

wider

find

will

ning,

things.

tribution system, it

store, every apart¬
school and public
building in this vast rebuilding
program can be, should be, and—
in the face of mounting evidence

ment,

the

By applying these techniques to
distribution system plan¬

actual

as we

regulator.
It is located
right at the distribution trans¬
former.
This is a revolutionary

illuminated

of

the

lorig as two
improved

as

by painstaking, tedious, con¬

...

look toward the
Total Electric Frontier, it seems
obvious that we cannot hope to

result of research is the automatic

in

these

hundreds
way,

product to the point of sale, and
have already invested $20 billion
in distribution systems to do it.

going

riverfront

the

course.

While

path,

plication.
In

of

for

Obviously,

days.

Project in San

city that will rise
Angeles.

an

golf

owned utilities have to deliver the

lion into

Gate

Park

and

However, unlike their Federal
power competitors, the investor-

Edison

without power

construction

Philadelphia,
which contains, besides a
shopping center, a group of
office buildings, three apart¬
ment buildings, a major hotel,

con¬

storm's

ventional, open-wire circuits, were

downtown

new

Los

College

sure

all

of

acres

rebuilding

and

I'm

35

The whole

development;
and

plaza.

in St. Louis.

through

we are

Hartford

only
problems.

service

the

in

em¬

caused

hurricane

a

minor

few

Elsewhere

been

230,000 customers, served by con¬

Golden

gain

research

ployed,

Pitts¬

Francisco.

the

to

at

Minneapolis.

in which

had

we

progress

had

construction

of

million project that will

cover

the

are

of

a

development

million

$50

criticism.

areas

in

are

few

a

cable,

year's hurricanes.
On one
system in an area where this type

burgh.

electric

subject

that

to

spacer-type

example, proved itself during

last

under construction:

The

distribution of

power,

attention

He called

or

than

are

standing today.

resources

provements
rather

equivalent in value to all that

Thursday, June 15, 1961

.

ventional methods.

Shortening

Time

Lead

However,

.

and

Lashed
for

The fact that

cable

by

perimentation by utilities, we have
made progress in the never-end¬
ing battle with the elements.

capital spending of $40 billion on electric distribution systems in the
next 20 years.

us.

research

manufacturers, combined with ex¬
tensive and costly full-scale ex¬

projecting the phenomenal building in store for this country and
electricity it will entail, Dr. Hutcheson visualizes

to

open

to

greater capability and re¬
on
existing systems.

costs

duced

meth¬

accomplish the first objec¬
improvement of existing
systems—there are a great many

Westinghouse Electric Corporation
In

new

sult in

approach.

To

tive

By Dr. J. A. Hutcheson,* President in Charge of Engineerings

the

takes ad¬

vantage of modern analytical tech¬

.

.

Teletype:
•

1

NY 1-911

=

Volume

193

Number 6064

.

.

.

The Commercial and Financial Chronicle

(2621)
records the history of energy use,
and

predicts future changes in
system design that will be neces¬

Public

ceiving information from the sub-

ion Tank Car Co. 5%

computers, and constantly opti¬
mizing the system.
The system

debentures

planning
tice

engineer

from

the

is

local

an

appren¬

trade

school.

company

offering of $40,000,000 Un¬
due

was

and

Blunt

principal duty is to bring the
sheet from the computer
to
the
president's
office
every
morning.

The

output

made

tained from

&

what they will be at any
given time in the future, what
changes will be necessary to keep
up with the demand, and what it
will cost to make them. Of course,
service interruptions are unheard
of.

In

the

of

case

system,

puters
to

of

ally

the offering,

and

new

will

be

applied

they
to

retirement of $45,000,000 outstand¬

are

option¬

by the company

ranging from
July 31, 1962 to

July
may

31,

the

of

not be

company

listing

of

has

the

debentures

for
on

Exchange.

and

main¬

chemical

and

Its main office is

ifl,. Chicago, 111. and it maintains
shops

other

and

facilities

throughout the United States
Canada.

and

applied

petroleum,

edible products.

100%

except that
redeemed prior

the New York Stock

sinking fund payments

pers

Union

1983,

owned

cars

by it to shippers of liquid
products in bulk, primarily ship¬

105%

Aug. 1, 1966 at

The

ing bank loans due 1961-1963.
Annual

the

an interest cost
of less than 5% annually.

the

to

redeemable

prices

after

term bank loan

treasury funds to the extent

required,

fund

tank

tained

repair

through

together with $5,000,000 to be ob¬
a

sinking

The debentures also

at

Net proceeds from

the

100%.

at

way

exceeding
payment for that

debentures will be redeemable, at

Simmons.

priced

For

an

not

iness

Through

also

erector

metals

its

divisions,

plate

fabricator

steels, nonferrous

alloys

and

offers

storage,
of

transportation

members

Midwest

and

and

wastes

commercial

use.

of

the

New

Stock

Robert

F.

E.

Lee, Philip

service

Bacon, Stevenson Branch
SAND

and

branch

LAKE,
&

office

N.
Co.
on

Y.
has

Clearly, distribution is
in

this

Total

the

of

Buckner.

World.

have

been

drastically reduced because

every

addition

to

the

system was pre¬
advance, and every
optimum

dicted years in
dollar

produced

spent

results.

Fantasy? No indeed. The
if there is
in the

conservatism of

dictions.

There

distribution
that

error,

will inevitably lie

one,

is

these pre¬

nothing in this

system

could

of

tomorrow

with a little
effort, build today. What the next
10

we

that

ever,

most

our

not,

20 years will bring I cannot
imagine. I am certain, how¬

or

even

utility

The elec¬

sure.

industry
billion

$40

spend

exceed

imaginative dreams.

But this much is

tric

will

progress

is going to
distribution

on

systems in the next 20 years, one
way or the other. By giving dis¬
tribution

the

careful

same

and

painstaking consideration that is
put into generation and trans¬

mission, the industry
even

can

produce

wondrous results.

more

*An

address by Dr. Hutcheson before
Twenty-Ninth Annual Convention cf
Edison Electric Institute, New York
City, June 6, 1961.
Author employed a

the
the

charts

of

series

in

with

connection

the

talk.

Puritan Chemical
Common Offered
In

offering circular dated June

an

22,

1959

1961),

(as

City,

June

amended

Dunne

Howell

and

Co.,

&

&

J.

2,

P.

Inc.,

New York
offered
500,000

Co.,
publicly

shares of Puritan Chemical Corp.,
10

cent par

at

capital stock at $1.25

Net proceeds, estimated

share.

per

will

$525,000

receivable,

by

the

and

ad¬

used

sales,

inventory,

vertising,
counts

be

promotion

for

company

ac¬

working

and

capital.
The company of 2
in

South Broad¬

Lawrence, Mass., is engaged

way,

the

business

manufacturing

developing,

of

selling

and

cer¬

tain

types of deodorizers, prin¬
cipally "Scent-A-Room," "CedarScent" and "Scent-Fleurs." Upon
completion
thorized

of this financing, au¬
consist

will

stock

1,500,000

common

935,000

will

of

shares of which

be

outstanding.

Meadow Brook National

Bank, 79

Pine St., New

York City, is trans¬
agent for the company's stock.

fer

Uhlmann & Co. Inc.

Texaco in Trinidad is
A visitor to this
once

NYSE Member

training

Stock

unusual

become

Exchange
Frederick
of

the

change
ficers

a

New

member
G.

York

corporation.

Uhlmann,

Secretary

will hold the Ex¬
membership.
Other of¬

firm,
are

Richard

F.

Uhlmann,

President; James S. Schonberg,
Vice-President; Robert L. David,
Treasurer; and John F. Benjamin,
assistant secretary.




is

a

new

big investment in the development of oil-and individuals.

lovely, lively island will

such opportunity

CHICAGO, 111.—Uhlmann & Co.,
Inc., 141 West Jackson Boulevard,
will

a

courses,

see

thousands of Trinidadians at work where

did not exist. He will

see

boys, 16 to 20, enrolled in Texaco

continuing as on-the-job-with-pay apprentices. Students showing

aptitudes are awarded Texaco scholarships for university study. For all, it

dream

of

success

and

security

come true.

Texaco in Trinidad is creating

futures for the people, sound growth for the economy

Bacon,

opened

a

Road

under the management of Newton

prob¬

no

Electric

system

—

Taborton

trouble.

Costs

on

Geismar,
Pelino,

E.

and Nathan M. Silberman to
part¬
Mr. Lee is manager of
the firm's Milwaukee office.

and, at the
the location

pinpoint

and

nership.

fault anywhere in

a

York

Exchanges

July 1 will admit Nat

Stevenson

liquids

industrial,

community

CHICAGO, 111.—Straus, Blosser &
McDowell, 39 South La Salle St.,

a

products and services for

treatment
for

a

in

and

range of

the

is

and

Straus, Blosser
To Name Partners

the monitoring com¬
redirect circuits

time,

the

lem

were

amount

Union Tank Car's principal bus¬
consists of furnishing rail¬

are

of the

instantly

maintain

same

debentures

and

increase its sinking

required

year.

100%.

The output sheet tells the presi¬
dent at a glance what the revenues

Ellis

1966

payment in any year by

the

June 8 by an underwriting group
headed by Smith, Barney & Co.
Inc.

1,

retire 821/2%

may

additional

sinking fund

1986

Aug.
to

debentures prior to maturity; the
fund

His

are,

begin

calculated

Debentures Sold

to keep pace with the loads.
Meanwhile, back at the main
office, a master computer is re¬

sary

will

Union Tank Car

25

of the island.

TEXACO: SYMBOL OF WORLD-WIDE PROGRESS THROUGH PETROLEUM

TEXACO

26

The Commercial and Financial Chronicle

(2622)

This has
dividend;

power company.

Electric

Utility Issues

cumulative

or

stockholder

(less

earnings

A
is

Investment Medium

X

bonds

the

By Roger W. Babson

electric

Such

stock.

non-callable

and

preferreds,

the

Prerequisites to Assure
Electric Power's Future

the preferred

on

stocks

common

By Philip Spor:;,* President, American Electric Power Company,

are

IS etc York, IS. Y.

They
do
not
yield much income when bo,usfii;

praises highly the investment merits of

cumulative,

the

all

accumulated

the

paid

"growth"

advisers

of financial

but

proper

and

is

Thursday, June 15, 1961

.

.

fixed

no

to

reserves)
after the fixed interest is paid on
interest

Dean

entitled

is

.

stocks.

increase

Outspoken assessment of the basic challenges facing electric utilities

explores the possibility there "could be a terrific

every year

with the growth of the

flays the industry's "deadly attitude" toward price and ambivalent

drop in many now popular stocks," but suspects "it may now be too

population

and

utility
He

bonds.

common,

also

the

early to sell and take profits on electronics stocks and reinvest in
electric

At

stocks

electronic

were

stocks

favorite
;

electric

time

one

power

light and
popular as
today.
The

are

way up
boom of the

market
then

and

rities

to

"water"

out

electric

dissolve

stocks

these

of

and

holding

utility

companies.
Why Securities and Exchange

It

was

curities

it

was

Share

result

dropped

house-

this

of

Electric

that

&

Bond

almost

of
"stock

out

sight! In fact, instead of

a

dividend"

"reverse

there

was

a

split" which forced stock owners'
shareholdings virtually out of ex¬
istence.
I fear that the present
exaggerated

craze

tronics"

later

may

lar troubles for

"elec¬
into simi¬

over
run

of the

some

com¬

Electric

light and

power

stocks

since

the

become

This

popular.

both

has

safe

been

and

due

to

growth in population and also

to the numerous

new uses

for elec¬

and

factory.
Electric rates

the

are

history and consumption

ily has increased

eight

believe that much

more

ahead
use

air

of

with

the

greatly

lowest in
per

fam¬

times.

of

electric

an

the

to

ferred

and

preferred

stock

electronic

companies is the U.
Electronic

Government.
are

important

an

part

missile, and hence of

our

about,

come

or

Al¬

come.

though there would develop thou¬
sands

of
a

for electronics

uses

new

regime, yet in the

peace

in

a

terrific

bonds, most

carries

stock

dividend

is

means

Intercontinental

that

stockholders

mon

"Non-callable"

pay

a

In

off for it if

fered

of

"heads

or

tails"—with

Hotel
train

go down, the com¬
the investor off; but if

rates

of his local

go

up,

expanded

If

electricity for heating and

best

be

in

Towne

City,

N.

for

and

House

the

198,026

Va.,

J.,

to

expan¬

and

address

Motor

a

shares.

the

shares

authorized

10-cent

Upon

offering

commercial

in

placed

operation

historic

the

Pearl

station.

'

r"

<

Thus

trillion
with

only about 6%

There

completion

there

will

founding

Electric

vate

a

enterprise
80

these

contributed

80

the

in

United

Throughout

ago.

years

all

our
industry
major share of

years

be

outstanding.

has

the basic advances in every phase
of

at

Pearl

Street

that

4

noon,

when at

about

3:00p.m.

the

at

motor

of

switch

the

about

860 kw.

a year

customers
had reached 513 with 10,297 con¬
nected lamps, or a total load of

of

number

motors

There

were

connected

to

yet

as

the

sys¬

tem.
In

1883

duced

the

and

about

280

total

was

More than

to

of bitumi¬
half

of this

supplied by coal

itself,
supplied more than a
third, and oil already 11%. There

that

of

total

was

electric

to

the

United

gas.
per¬
con¬

energy.

year

an

55 mil¬

in

1883, utilized total energy
of 1,710 million tons of bituminous

Complete Trading Facilities

coal

equivalent.

million

tons

verted into

for

year

the

19.5%

was

the

world

are

with

available,
a

40%

share

of

of

the

popula¬

world's

'

con¬

form

has

energy

electric

continuously until by 1960,
despite
the
dramatic
improve¬
in

ments

version,

the

efficiency of con¬
reached a figure of

it

19.5%.

h
electric

-

industry in

power

the United States has

pioneered in

planning, in projecting, in bring¬

ing into being and operating what
is
today the largest single ag¬
gregation of capital facilities of

industry

any

developed by
human in¬

ever

humanl enterprise and

genuity.

Over its nearly 80-year

history the growth of the industry
has been at the

term average

7.2%,

or

phenomenal- long-

growth rate of.close
a doubling every ;10

years.

tl-

industry

has

development

e

electric

its

thermal
movement
and
throughout

by

time

booms

made

—

available

all

wars

the

to

of

voltage,

And

under

world

—

mass

high

utilization.

history,

stances

circum¬

and peace¬

industry
the

Dealers
Distributors

Corporates & Municipal

Blyth &. Co., Inc.
Laird, Bis sell & Meeds
Boston *
Detroit

*

San Francisco. •

Chicago ' Los Angeles * Seattle ' Portland

Philadelphia * Pittsburgh * Cleveland
*

Pasadena

Minneapolis
Palo Alto

'
-

*

Spokane
San

'

Diego

Oakland
'

' Louisville *

Indianapolis

Eureka

Sacramento

*

San Jose

*

'

Fresno

'

Members New

York and American Stock

120

NEW

BROADWAY,

iTelephone BArclay 7-3500

SALEM, N. J.




5,

Exchanges
N. Y.

Bell Teletype NY 1-1248-49

Oxnard
WILMINGTON, DEL.

L

YORK

DALLAS, TEXAS

PHILADELPHIA, PA.
SALISBURY, MD.

has

American

Underwriters

Securities

in

mass-scale

energy,

power

pioneered

of

especially

generation,

mass

:

.

The

Christiana Securities

New York

the

risen

Bank and Insurance Stocks

Unlisted

in

More significant,

total

the

to

Primary Markets
STOCKS

especially

energy.

verted

con¬

In 1959, the last

for which data
entire

and

about

electric

of

electric energy by the

utility industry.

Utility Securities

Of this total, 333

or

growth in the rest of

developing
nations,, this
country has continued to account

to

States,

estimated

despite

years,

or

equivalent

still

wood

world

The
pro¬

non-human

energy

million tons

coal.

this

States

United

used

mechanical

nous

541,075

begun

was

By Dec. 1, 1883, more than

common

of

com¬

lamps, each taking about 83 watts.

later,

electric

30

newly

and

of approximately 400

load

a

technology.

energy

the

thrown

was

a

last

the

the
Philip Sporn

mercial electric service

with

electric
For

after¬

Sept.

lion

COMMON

point.

pioneered,

was

States
was

this

invented,
promoted, and developed by pri¬

indus¬

million from

•

used

several important ob¬

are

at

power

the electric

no

stock

par

Primary Markets

STOCKS

and

of the world's electric

energy.

having grown in population to 181

PREFERRED

States,

of the world

produced

almost 40%

billion,

than- two

United

The

scored

Last

•

kwh.

more

servations that need to be under¬

centage

BONDS

three

to

little

a

mark the 80th

verted

Public

close

of

generated

will

was
practically no natural
Cbviously, an insignificant

with

tion

population,

Street

next year

op¬

structure
50-unit

is

Lodge,

and

owns

unit

60

and

2,000,000

stock of the local electric

common

estimated at

lodge at Danville, Va. As of Dec.
31, 1960, it had total assets of $1,~

Common Stocks

may

personnel,

erates

company.

investment

Atlantic

Martinsville

is young and patient, the

one

at

Martinsville,

I
Electric Utility

proceeds,

The company, whose
the

the company
leaves him "holding the bag," so
to
speak.
Other
things
being
equal, one can buy the preferred
money

publicly of¬
of Intercon-

stock at $2 per

sion.

rates

pays

just three years after he
the
carbon filament
incandescent lamp, Thomas Edison

ning

and operate the La Concha Motor

the odds in favor of the company.
If
the
stock
is
"callable"
and
money

C.,

shares

common

Net

forestall

to

attracting capable

modest

$230,000, will be used to acquire

downT'A '"fcallabTo'^Teferi^ed is
case

D.

150,000

share.

met: improv¬

are

needs

enough begin¬

1961,; T. J. McDonald & Co.,

tinental's

rates

money

1882

developed

It

offering circular dated May

Washington,

a
penny.
that the com¬

cannot call in the stock and

you

an

26,

get

means

In

power

Common Offered

if

in production, meeting electrical

try.

Motels, Ltd.

paid in any
year, it must later be made up
and surely paid before the com¬

and exciting future of opportuni¬

youth, and having confidence in the future.

of

not

The utility head depicts

lower price.

public power growth, defending itself properly,

the

The

fixed

a

a

enormous

anniversary of

popular elec¬

now

many

tronic stocks.

and, if possible, "non-callable." A
cumulative

combination

a

to serve electric energy, but to

are

providing the above and these other challenges

ing leadership

defense

form of international

some

unbelievabiy

every

cannot continue forever.

race

Either

ties

S.

expenditures. But this wild spend¬

ing

almost

an

devices

of

meantime there could be

dividend, if earned, which usually
yields over 5%. Be sure that any
preferred bought is "cumulative"

the

alternative, if they

accept the challenge and responsibility to develop electricity as the

drop

stock.

common

industry's pursuit

single or universal source at

under

company

few exceptions).

a

addition

Taking Thomas Edison

gas-powered fuel cell to provide electricity leaves

a

company no

stocks. Much depends
upon
the international situation.
The chief present customer of the

electric companies issue both pre¬

growth is

conditioning.

a

the bonds and for other se¬

(with
In

get

of

power

disarmament must

pany

tricity in every home, store,

and

else World War III will

go

have

an

investor. Other¬

an

then

should

pany

panies.

in¬

large

yield of
about 4Y2%. One must, of course,
pay regular taxes on the income

Exchange

a

as

cleaning

of

bonds

all

to

be too early
take profits on elec¬

One

the Se¬

Commission
was formed, with President Ken¬
nedy's father as Chairman.
And

sell

exception

an

may now

which sends out bills each month!

curities

at this time that
&

or

secu¬

wise, purchase from a broker such
a
bond issued by
the company

from

Commission

small

is

and electricity.

gas

his mentor, Mr. Sporn makes clear that the gas

tronic stocks and reinvest in elec¬

buy today are the first

such bonds for

take the

legislation to

to

practice of selling both
as

tric

electric
light and power company.
Local
banks
should
be
glad to select

dent Franklin Roosevelt had Con¬
pass

and

electric utility

the

for

mortgage

practically nothing.
There were
so many similar cases that Presi¬
gress

safest

vestor

1920's

down

plummeted

The

in the

Share, which shot
stock

Bonds

Preferreds

&

Bond

Electric

was

Mortgage

as

the prosperity of

country.

rules, and it
to

First

should

income

There

V

stocks."

power

the

but

NEW HAVEN, CONN.

DOVER, DEL.
ZURICH, SWITZERLAND

193

Volume

people

Number 6064

electric

abundance of

an

or

need
for
blackouts,
other restrictions on use.

any

is

This

unmatched

record

a

that

of

kind

with

inbred

almost

an

hension

the

of

of
and

plenty
this

forward

one.

There

.

that

that when

this

and

way

is

be

can

that
go

there

plenty that

kind

can

is

with

wrong

and fascinating

rosy

this

picture.
prevent

being.

-.

of

future

from

recognize

beckoning
to

coming

this

future

strenuous

weeks,
and
planning and

as

those

are

exciting
a

effort

and

years

of

and

summons

to

days,

difficult

building to bring
large complexes into fruit¬
operation, there appear to be

many

ful

others who believe there is

a

sim¬

(2623)

pler

by

in

way

way.
They seem to believe
preordination: that they can sit
back and let these things that are
portrayed for them rather vaguely
on

the

into

screen

being by

of the future

some process

come

of auto-

conception; and, of course, at the
time they will step in and
reap
the rewards of what will
have taken place so effortlessly,
painlessly — almost automatically.
They do not seem to understand
proper

this

that

Because, while there

who

~

?

must

into

Electrical

Unbelievable

Almost

v

u

,

admitted

questioned

answer

projection and planning, the in¬
dustry has recently been advanc¬
ing
its
projections
of
electric
energy requirements to the end of
the century—40 years of forwardlooking
planning.
The
picture
that emerges out of such difficult
but necessary and highly impor¬
tant crystal gazing
is indeed a
fantastic

be

one
faces up to it in the
light of what has been happening
in recent years, the
inescapable

compre¬

for

need

must

when

successfully anticipating and fully
meeting the country's needs,

The Commercial and Financial Chronicle

boldly

any¬

history

.

It

where else in the world.
With

.

really be that these things not
only can but will come to pass?

without
the
rationing,
brownouts,
energy

.

and

kind

of

future

cannot

will not

come into being by
They do not realize there
much, perhaps far too much,
that needs to be done, and even
much more which, if left undone,
will
prevent the realization of

itself,

-

is

these
It

bright prospects.
is

to

examine

some

of

the

things that remain to be done both

way

of

new pioneering and by
re-emphasis and re-af¬

of

firmation of past ideas and ideals
that the industry has permitted
to

become

come

to

lax

neglected
about

re-examine

or

has

observing;
basic

basic

economic faith,

cally

faith

be¬

it

is

in electric power

indicated

by

contingent
of

and

upon

proper

competitive

struggle; it
is
to
re-explore the industry's
basic
confidence
in
science, in
technology, and their further de¬
velopment as sources of strength
of this industry that was founded
upon science and technology.
'
I would like, therefore, to focus
this paper on the proposition that

the great future

like?

Challenging

Problems

(1)

in

utilized

of the pioneers in the
industry has passed into
history. In most cases the suc¬
age

electric

cessors

and

to the pioneers have come

and

gone

third

we

now

generation of utility

tives.

many

United

the

energy
States in

all to the good.

places in

many

or

Continued

on

million

333

some

telephone needs of up-and-;
coming communities through-,

for the

tons

generation
of
over
750
billion
kwh.
By the year 2000, the best
estimate is that the total energy
lion

out America has been the traditional aim
of the Leich Electric

country will be 4 bil¬
coal equivalent, and

the

of

use

of General

of

tons

generation of 6 trillion kwh
the electric utility industry
will account for 40% of the total

Company, a subsidiary

Telephone & Electronics.

the

As

by

energy,

tons

almost

equal to the

last

and smaller

energy

United

the

in

total

States

a

year.

Thus electric energy in

a

total

compared

eight-fold
and

two

relative

the

position in the national energy
picture from 19.5% to 40.0% by
important considera¬

tions:

The

(1)

increase
of

conversion

of

electric energy,

(2)

The

energy,

of

prospect

a

energy

raw

to

available

with at least the
possible beginning

of fusion energy.

This clearly

points to the enor¬
opportunities
the electric utility industry,
at the same time accents the
and

mous

for

exciting
,

but

and the grave burden
responsibility confronting the

challenge
of

the
estimated
octupling in the kwh figures, and
the close to octupling in the ca¬
With

industry.

pacity installed from 175 million
kw to 1,250 million kw, the in¬
vestment can be expected to grow
to
the staggering figure
of ap¬

position in the

by continually advancing the

Telephones

This is just one
it

our

at the

of the

make
&
bring together the talents
many ways we

business at General Telephone

Electronics to

namely nuclear

.

quality and versatility of the specialized
equipment it produces.

of energy

become

to electric energy;

fission

efficiency

forefront

and
sources

new

have

will

that

in

highest.

Leich has maintained its

hydro, coal, oil, and gas in the
national, energy picture will have
declined, electric energy will have
had no problem in doubling its

virtue of two

telephone exchanges, Leich is

leading supplier to the more than 3,000

rate is

the same time/'
position
of

At

energy.

while

with

half-fold increase in

a

instru¬

Independent telephone companies situated
in the areas of the nation where the growth

the four

decades 1960-2000 will have mul¬

tiplied

manufacturer of telephone

ments and switchboards for business offices

1.6

amount

coal—an

of

billion

consumed

of

equivalent

the

or

a

of many

people and the facilities of many
- all working to advance the
of modern communications through

companies
science

sight and sound.

By developing new methods and new prod¬
for industry and home, General

ucts

Telephone & Electronics is building for
what it believes is bound to be

—

a

grow¬

ing future in a growing America.

proximately $400 billion, and the
revenues to $80 billion
compared

billion and $11.2 billion
respectively in 1960.
These are

with $62

exciting and yet sobering figures
engaged in the

both to those of us

utility business

and to those en¬

gaged in the research, develop¬
ment, design, and manufacture of
the
vast
complex of equipment
that this will require.

than that: they
are fantastic, almost unbelievable,
figures.
But who, looking back
80 years to Pearl Street or even
looking back halfway to the year
1920, when total installed capacity
was
12,700,000 kw, total electric
They

are

generation

more

than

less

40

billion

total, investment only
$4 billion, can possibly say these
projections are too fantastic for
and

kwh,

General Telephone Operating Companies in 31 states
General Telephone & Electronics
General Telephone &

Laboratories Incorporated

Electronics International Incorporated

General Telephone Directory Company

Automatic Electric Company
Leich Electric Company
Lenkurt Electric Co., Inc.

Electronic Secretary

Industries, Inc.

Sylvania Electric Products Inc.

Lighting Products Division
Photo/amp Division
Semiconductor Division
Parts Division

j

Electronic Tubes Division
Electronic

Systems Division

Chemical &

Metallurgical Division

Home Electronics Division

Sylcor Division
Argus Cameras Division

realization?
What Can Go Wrong?
And

plates
help
and

yet,
this

but

even

as

picture,

one

one

contem¬

cannot

listen to the obtruding
questions: Is there

insistent

anything wrong with the picture

being painted?

How sure can one




TELEPHONE
730 Third Avenue, New York 17

^ELE
(G^EWE^L]
SYSTEM

a

gen¬

But in

parts of the

big job of meeting the

—

-

execu¬

country, it is clear that the

of private enter¬

The

1960
coal, petroleum, gas, and
hydro—the electric utility indus¬
try utilized approximately 19.5%

have

The youth of this new

eration is

of

sources

Lying

Price:

The

equivalent of

of coal

primary

the

Ahead

look

picture

to

response

above, of the 1.7

stated

As

billion tons
all

this

does

is

recognition

our

Future

What

clearly

ideologies,

the

in

so

projections

our

following oifficult challenges that
face us, or lie ahead.

and specifi¬

ability of the
predominantly investor-owned in¬
dustry to fully hold its own in the
continuing and, perhaps, to be in¬
tensified

prise

27

new

page 28

28

(2624)

The Commercial and Financial Chronicle

.

..

Thursday, June 15,-1961

i
,

uninhibited

an

Prerequisites to Assure

organization
decide

he

to

generation

functions

that it has almost all the

required
to

the

in

run

successful

a

Perhaps it

has

price

three-quarter to one
lamphour is a bid for
competition. I am a believer in
Insuring the permanency of an

how about the future?
For

thing,

one

in

mind the raising of the

from

cent

But

now.

establishing

per

the price at which their service is

investment

sold, I fear that they tend to

low

look

the

ence

of

trend

over¬

to

historically great influ¬
long-term declining

the price of our product

place

tion.
have

done

much

so

to

help

from

serving the

prices

the customer?

inducement

no

in and ruin

developments

that

indicate

it."

take

may

an

apparent

say

apparent

prices. I

frequently there ar(e ways
means
of
fighting the un¬

and

the

favorable

developments,

of even
fundamentals that
the seemingly un¬

fighting the
bring about

industry,

avoidable needs for

tended to forget the impor¬
tance
of
this
downward
price
trend.

generate—has

raising prices.

It may

have

This

indispensable

be that the whole concept
of generation—how and where to

feed¬

back

relationship, with reduction
opening up new avenues
of service, and new avenues of
service making
possible growth

It

in

of

in

available

cost

the

business

transmission

inefficient.

It

concept

therefore

and

gotten

into

rut.

a

be that the basic concept

may

the

of

growth in scale and efficiency of

generation, transmission, distribu¬
tion, and every other phase of
our operations, is
too vital to be
given up without a struggle. It
is

well

that

the

markets

that

limited

a

important that one cannot
help
but
feel
distressed
by
a
complacency of attitude that is

and

basically summed
lowing: "Well, we

(2)

concept.

profits

enough

have

we

not

are

to,

and

I

believe

this

is

deadly atti¬
tude for the electric utility indus¬
I

try.

do

not

a

that

meqn

a

step

necessary

to

be

nities

taken

in

that

price

is

of

none

good

this

is

good

sense,

social-economics,

United

States

at

any

methods

power.
run

but

it

not

socialize

not

without

of

today

leadership

fail

electric

objective,

to

boldly

of

are

open

by entering

ment's tax collection
program, can

sole

of

expense

the

Federal

Govern¬

initially. Once socialized,
may be a long time, if ever,
before the industry could be desocialized. In fact, it is
probably
it

safe

to

and

universal

of

energy.

Do

talked

said

of

the
We

even

as

short while

we

in

were

never

be

faced

with

would

for

be

rising

the

to

was, besides, con¬
manufacturing
cost
However,
some f of
us
recognized
this
as
the
same
pseudo-fundamental law that we

firmed

had

met

earlier

when;
39,800 kw

assured

that

size of

and

we

3600

a

we

exerted

I
of

have leadership in elec¬

socialized.
such

being

a

patron saint in the electric

industry,

it

surely

as

and

a

power

would

so are

ever

be

we

sell .gas

indifferent

as

also,

to which¬

the customer chooses?
very

Some

effectively persuaded by

Offer

last

few

have had two 900

months

units placed

mw

order, that will end
haps as 950 mw units,
on

have had

580

one

mw

"Goal

per¬

up

and

to

we

unit ordered,

at

costs

of

purchased
kw substantially be-

per

these

machines

plateau

of

will

and

at

are

pressure

attain

thermal

of

a

hoid

efficiency

hardly
im¬
few years ago. They
rational trend of sub¬
a

%

and

1,000

a

have

we

AND

STOCKS

rather

the

including

this, the
plant

of 1,000

era

We

are

Particularly Adapted

to

Your

F.

.

&

CO., INC.
s

.

BROADWAY, NEW YORK 5, N. Y.

Telephone

REctor 2-7760




Teletypes

NY

1-944

room

for

these

possible

&

NY

1-945

that
for

to

fuel

Northern

two

in

at

supply

to

This

gas

is

a

tive

;v*'t
for

the

power

industry
has
developed
to • its
present position despite the fact
it

arrived
a

the

on

scene

two-

century behind the

industry. And it will hold its

gas

own

competitively in the future against
gas —of

vided

that I

there

is

am

certain

effective

—

pro¬

ask,

electric
this

us.

We in the

for

irrespec¬

its produc¬

nuclear, MHD, fuel
other technology. In¬
must take the initiative

or any

deed,

we

in

pursuing

avenues

these

technological

of progress as an intrinsic

of

part

opportunities

our

and

responsibilities.

(3)
_

The Place of Public Power

J.. Although public
element
before

power

our

power
advent f of

the

Deal, it
until

in

was

then.

can any company

energy

challenge

back
and

serving

the <; New
insignificant one
1932; for example,
produced

energy

agencies

was

vistas

in

For

of

any

single

factor,

indeed

nor

is it the result of any single factor,
-nor

indeed is

conversion

of

it the

result

of

the American

to

power—although there

a

the

gospel

good many of

believe

that

eration

is

a

our

electric
proper

of

govern¬

energy

Distribution

—

Trading

Utility Securities

have

our

leadership in this phase
operations. But such leader¬
a

leadership

facets of

our

part of
in

the

a

program

many

other

business that equally

require it.
I not

Boenning

leadership

to

push

and
~

enlarge

further- by

Co.

Members: Philadelphia-Baltimore Stock
Exchange; American Stock Exchange

1529 Walnut Street—PHILADELPHIA
Bell System

only refer to the need of

«these ^.developments

&

LOcust 8-0900

Teletype

PH 30

gen¬

field for gov-

Many Years We Have Specialized In The
—

are

citizens who

mass

Of Sound Public

the

elec¬

torate

from

Underwriting

by
ap¬

proximately 5% of the total, but
by 1959 the figure had grown -to
23%. Its growth is not the result

responsi¬

away

the

an

an

In

the<electric

was

economy

mental

competi¬

tion.
I

revolution

energy

means

governmental

companies. The electric

that

electric

of the

cells,

by using
with natural

laudable aim

a

ma¬

destiny

tion—whether

is

signifi¬

its

making, let the industry
revolution, or someone

else will make it for

Natural

costs

hands. If

own

the

industry is
take

to

electric business must be ready to

factories

powered

The

make that

cell

companies

in

"accommodate"

we

This is the surest way

enough

into its
is

re¬

venture

gas

Must

great

ship is only
of

joint

technologi¬

and actively partici¬

disaster.

ture

no

'61

of approach to

ourselves?

The Ameri¬

May

Certainly
idly by,

sit

pate in the research and develop¬

gas

is

only

we

progress

ment.

let

this

developments?"
them?

assure

if

we

talent-poor?

so

there "bound to

de¬

have

visions in power
production I have been discussing
simply will not come about unless
of

.

that

new

up

These

Inquiries Solicited

FOX

■.II

120

economies

make

we

P.

at

generation of electric energy.

Service Firms

no

we

are

will

cal

point

But

con¬

the way.

The

opened

With Retail Distribution

has

come

2,000, 2,500, or 3,000 mw plant
single location that is well

velopments

FOREIGN ISSUES

mw

location has

has

a

on

UTILITY—RAILROAD—INDUSTRIAL

quickly

hardly had time to take
bow, before it has been pushed

at

PUBLIC

and

Are

avenue

to adopt such

one

business

thirds of

out of the way to make

ALL CLASSES OF BONDS

kw

per

quietly come into the era of
mw in
a: single
Unit. And

single

a

and

in

demur
easy

electric power companies.'
,

to

to do our scrutinizing.
Surely, we cannot afford not to
deeply immerse ourselves in every

industry
combination

cantly less than current sources."
By "current;; sources" is meant

of

and

that the

so

prepared

our

will supply all of the
requirements of a house-

or

scru¬

with these

significant

not

which

gas

psi

3,500

a

the

cell

of

progress

evaluate

wrong

be

Not Both

answer.

by

of

de¬

passage

Two

Who

it

this point some

natural

and

fuel

energy

,

new

a

levels

new

cost

with

DEALER SERVICE

But

provide electricity right in the

homes

that may end up at 600 mw. Those

Thus

AND

at

Journal

announced

we

to

Second, why

Gas Co. and Houdry Process Corp.
stated:

the

significant
the

technological

serve

group?

mar¬

market.

a

a

COMPREHENSIVE INVESTMENT

Gas

can

bring¬

no

things, and they
everything. First, why wasn't the
report prepared by an industry

good

Gas;

out

valid

a

of

What is

ex¬

on

with increased size.

We

is

responsibility.

point

be

with

Close and continued

.

clusions?

For

develop

represent a
stantial
decreasing

1928

an

porting

agined only

Established

if

program

longer

-

day,

so

me

supposedly technological bar¬
Today, less than a year later,

.

electricity, but

have

we

will

a

strenuous

not only the

a

commercial

or

that

companies

this

seen

It

colleagues in
ably
managing

operation

have

it

is

equally good concept

out that it is

alter¬

art

can
accommodate itself
without fear of revolutionary up¬

a

know

the

industry

is

today.

my

so

the

was

source

a

industrial

Electricity

were

rpm

of

Companies Must Choose Between

by

records.

.

should

good concept for the

market.

an

to

anticipate the changes

great deal of vigorous
leadership—I mean electrical sales
leadership—to bring it about.

was

intrinsic

is

the

will take

cost

assured

we were

fundamental

ket. It

further

any

size

steeply

a

kw. This

per

mw

unit

".

he

nor

for

concept

concept for the

equipment manufacturers that be¬

bound

tiny

the

energy

unattainable,

residential

our

of

heavals."

single

a

state

time.

this,
that

utopia

"the

very

This does not sug¬
complacency because there

are

utopia

for

is

a

stampede and for

no

velopments

a

what

synonym

to

came

present

for

gest

them

said

concept of the future. It is

tric energy when we take a
posi-, lpw the optimum set by previous
tion
that,
of : course, i we
sell .much lower-sized units. All three

de-

the

cellent

yond around 225

the

is

it

—

crash program.

utility
of

this is

He

by

where? It is

in

a

meant

neither

process

among

"The

business."

But

much larger steamgenerating units, that we
being assured by some of the

increases

that

This

ago,

of

aware, as are we,

become

our

.

it will

say

But

unattainable.

installing

technologists

of the work
out to date and currently
in such areas as fuel

on

report

calls

recently

one

a

dangerous conclusion, and I would
like to quote part of it.

exciting

course,

business."

were

best

and

really

a

the

I have

"Utopia" of Sir Thomas More

has

operations:

only

and

universal

or

have

"Of

being fully

Leadership in Production
was

the

number

a

me:

our

the

I

about it

to

good idea.

and

imaginative,
bold, strong,
leadership in every segment of
our

to

people

We

carry

mentioned

provide.

can

quality

heights.

utilization:

released

cells,
magnetohydrodynamics,
thermionics, and the like. There
was
only one thing wrong with

energy source that electric energy

huge units have' been

we

.

If

source

to

greater

bold

within

to

new

the

to

for

ing into service of several 500,000
kw
units having
thermal
effi¬
ciencies,;in excess of 40%, but

new

areas

ap¬

generations

Source

concept of the single

leadership

and

out

energy

already

need

we

be shown

happen. Large
savings,
mostly
at

electric

of

satisfy us today?
pioneers in this

new

industry

rier.

embrace .the

that

energy

that

coming

Can

boldness

cries

efforts to resist and to break down

of service and undertaking
responsibilities, such as, for
example, the concept and respon¬
sibility of electric energy as the

could

parent

than

nator

in¬

accept the
higher
costs

literally

spirit
created the new

industry.

lesser

limit to

and

of

opportunities

I do not doubt in the long

this will fail of its

responsibilities
future

producing
electric
energy,
transmitting it, or dis¬
tributing it; leadership which will

things that the pub¬
do, if this philosophy

may

will

evitability

the

of

Energy

EEI

re¬

good review

a

going

aggressive leadership—the field of

technology, and

can

opportu¬

boldly the place of electric

which

One of the

lic

its

'its

energy in our society
in the years to
come;

rate.

becomes dominant, is to

industry

on

meet its

nor

developing

assert

nor

in

capitalize

leadership—leadership which will

object, be¬
cause
the
service
is
already a
good bargain or, even, what is the
public going to do about it?—
no

electric

a

The electric power
neither

under extreme conditions. But this

idea

true

and^de&tiriy of

the world.

rate

increases have got to be disavowed
as

world

as

this kind

was

that 80 years ago

of

in

Single

daring projection of Thomas
It

was

I want to single out one partic¬
ular phase of our business that

was

Edison.

the

at

December

that

me

we need a

Direct Energy Conver¬
sion prepared by a consultant. It

extent

an

all

pioneering, there was
boldness, there was vision, there
was faith, there was
leadership in
this

Last

to

seems

report on

carried

electric

larger affairs and more important
destiny of a nation, or indeed of

going to, raise rates£

are

There

service

our

It

end to. orientation.

on one

in

of

future.

our

here, in particular,

other end.

conditions."

and

an
industry as it is true of the much

we

meet

energy
universal energy

or

And I do not want to leave the

<

continuity

requirements of
natural, artificial and commercial

It

accomplished with¬

affairs

to

leadership,

important

ever

the illumination to such

to the second

me

Object: E. to effect

lighting by electricity. To improve
as

,

developing higher
utilization' 'voltages
and
elimi¬
nating the weather hazard to the

Gen¬

as

•. as

nuclear power; but
the
obvious .need
of

leadership

exact imitation of all done by gas,
to
replace lighting
by gas
by

strong and

leadership and this is
the

of

in price. But to
have

The Need for Leadership:

out

good
so

brings
challenge.

events is

good rate of return; and if

a

current

fundamentals

active

this

Nothing

business and doing it successfully;
to continue to do this we have to
have

must

we

informed

basic

by the fol¬
running the

up

these

to avoid increases

that

eral Illuminant

need

be approached in a new way
bring about reductions in cost

to

so

are

all

Gas

to

to .develop electric

the single
I. source? :

in

regional integration

of his problem:
versus

..unusual

dynamic view of corporate or¬
ganization
and
more
effective

tackling, he sat down in his
study and in his notes put down

are

can

do

and

be

could

is

Perhaps

wasteful

is

V/V

was

"Electricity

ideas- bility

new

or

,

to
develop an electric lighting
system and he had an opportunity
to ponder on the problem that he

essence

generation,

leadership in developing and ex- subject of
leadership without an
tending extra high-voltage net¬ observation on
leadership in bring¬
works at 345,000 and higher
volt-; ing about new developments in
ages; to leadership in many other
general, particularly new tech¬
aspects
of
our
industry,
from nological developments, that
may
leadership in developing a more, have a
pronounced influence on

When Thomas Edison set about

the

MHD

refer

un¬

til he makes that choice? Is it fair

so

because

industry grow, develop, and pros¬
per, and who in turn have pros¬
pered

is

come

need to raise

industry to its present posi¬
And the manufacturers, who

power

keeping

there

Many

the development of the electric

on

that

by

others to

the

in

friend and,

a

concepts

a

really satisfied

we

70

licensee, he said:

"To my

industry

enterprise.

for

—

I believe

answers

utility

than

More

writing to

years ago,

the basis

on

Edison.

in

all

in

be neutral and neutralized

to

Thomas

Continued from page 27

it

aiding and .stimulating

may

customer

wants

third form. Are

Electric Power's Future

marketing

energy

the*

that

2, PA.

New York Telephone
COrtlandt 7-1200

Volume 193

ernmerit

that

and

Number

Blames

Private
For- T.

•••

think

I

i

the

purposes,

offers

of

minor: cases, anything but the uW
most consideration being given by

possible to have any effective in¬

Companies;

V. A.

the members of

important thing

agencies in

for

-

committees,

to

ent

energy,

and, for
indispensable

an

opportunities

a

tool,

irrigation it

a

gress to

way

ferent

eration.

when it

which

50%

the

accounts

of

today

total

for

gard to

TVA

it

about

the

and

position

expansion

of

the/ result,

were

sidestepped

or

better

of

they
work

job for mercenaries

men.

It

cannot

be

or

done

In

ciation

re¬

it

cannot

in

much
Wash¬

••

of

Broadcasters

its

held

the

broadcasters

wise to meet in

seem

to

,

find

their

I

see

no

performance.

This year the National Associa¬
tion of Broadcasters had on their

speaker

list

President

constantly in the

are

and

matter

no

how

much many programs please many

and

people,

the

others

by

there
who

licensed

be

for

to

object.
three

are

and

are

and

pressures

pres¬

to have

them.

operate

ard

brought

along

well

as

Johnson.

But

submitted' id

cluded the
Newton

new

who

F. C. C.

Minow,

ing critique of the TV industry's
Calling them "a vast
he pointed out to the

wasteland"

his

broadcasters their obligations not
only to look to popularity but to

guests

also

Vice-President

as

Others

as

talked

in¬

many

Stations
years

complaint

including

government

news¬

always

are

questions

programs.

Kennedy,

Commander and Mrs. Alan Shep-

eye,

-

as

reason

who

public

advance

well as questions from:
why- the floor: There were many other
they would keep
on
doing it speakers from the field of educa¬
otherwise.
They know they will tion, 'engineering
and
public
get some strong criticism and evert service.
threats, but appear to be willing
Not all the speakers were kind
to face the music and fight back
or
flattering in their .remarks.
—and also
to
work
to
improve Chairman Minow delivered a sear¬
time to time.

Broadcasters

had

(2625) " 29

it- answered

Washington from1

annual convention in Washington.

sures,

and

been
it

early May the National Asso¬

vertisements;

by feeding matter to

held

•;

subject

done

have

have

ington.

introduced, but
hard

would

to

distance, by radio or tele¬
vision; it cannot be done by ad¬

among

by the private

lot

a

view

It

now.;

long

its

other reasons, of a complex series
of opportunities that were missed

'

the

first

was

fact, this convention

York where it is being held right

piece of legislation dif¬

from

no

hired

point of view with

a

matter of

should not have been held in New

who represented
economic interest that

a

takes

it is

governmental

figure, its entry into that

agency

field

the

case' of

a

anyone

major

helping irrigation economics by
resorting to electric energy gen¬
in

those of differ-:
social-economic

sincerely pleaded his case. It is
possible to convert people in Con¬

of

And

or-,

in ^ Washington, vjf ; one
stays away from Washington. As

was

quite natural

was

.

fluence

Congressional

threatened who appeared be¬
fore'it
and
knowledgeably and

sorts

a

for the government to find

our

even

political

faith, to

some

all

complex society
to get involved in its supply. Thus
in

.

papers. All of these -activities may
help, but I do? not believe at. is

versatile

a

r':

ber.,>; before Congressional Committees:
'■£' ^; I s have < never /found, .^except in

remember is that electric

being

The Commercial and Financial Chronicle '

:

indeed/,:it

longs to government.
.

6064

Chairman,

Secretary

Ribi-

the

serve

Chairman
TV

better

nation's

Minow's
was

retary R i b i

seconded

f f.

c o

the

failure

peripheral

of

be

Interestingly,

coff, Major General Medaris, Dr.

former

governor

Edward Teller and

Roy Collins, also decried the low

seven

F. C. C.

a

panel of the

commissioners, who

new

President,
of

Florida,

Continued

or

men¬

the

original
of
Muscle

neighbors

Shoals to integrate that operation

properly

into

their

systems and
large a percent¬

the failure of too

of the investor-owned indus¬

age

try to recognize both their
tunities

oppor¬

and

responsiblities
to
electrify rural U. S. A. in the early
middle

and

thirties.

Further, it might be noted here
that fully half of TVA's total gen¬
eration

the

the

represents

Atomic

supply to
Commission

Energy

which in turn represents some 4%
of the current national total. TVA

able

was

this

obtain

to

market

because the initial diffusion plants
located

were

because

the

Ridge

and

private utilities either

did not have
not

Oak

at

opportunity

an

or

did

their way to find a mech¬

see

anism for offering to AEC service
and rates which
It

Inc. and OVEC

clearly

was

capable

as

competitive.

were

until

not

was

Electric

came

>

along that it
that

demonstrated

TVA

was

-J.

Energy

there

was

nothing unique in its ability that
private enterprise could not match
or

But this kind of alert¬

surpass.

ness

have been missing

may

lier. And this
both

lack

again

responsi¬

and

again

and
the

for

counted

ear¬

of a'ertness to

opportunity

bility

has

ac¬

of public

growth

380,000 Farms

power.

I do not mean to say

by this that
political
slants to public power. There are,

there

not

are

know,

we

the

great

a

Congress

who

in

ment

But

areas.

tions

believers

in

even

here

more

govern¬

in their

least
the

convic¬

held

cases

many

in

more

at

power,

Homes, Businesses

in both parties

and

government

people in

many

and

firm

are

strong

and Industries in 69

with

are

earnestness
and
tenacity,
based
on
misunderstanding

and

improper analytical informa--

great

tion and

change

by

But the

be accomplished only

earnest

effort

to

Indiana Counties

bring about

understanding
economic and

proper

technical,

considerations.

economic

represents

a

3. Dresser Station

Terre Haute, Indiana
Rated Capacity:

difficult, always unremitting

a

and
a

be changed.

can

can

Rated

80,000 kilowatts

Rated Capacity:

separate challenge.

Capacity: 132,500 kilowatts

5. Robert A.

2. Wabash River Station

New

North of Terre Haute, Indiana

this

Station

Edwardsport, Indiana

Noblesville, Indiana
Rated Capacity:

225,000 kilowatts

4. Edwardsport

1. Noblesville Station

of the
socialBut

Gallagher Station

Albany, Indiana

Rated Capacity :

521,000 kilowatts

600,000 kilowatts

(4) The Ability to Defend Itself
In

a

way

—but

an

this is a sales challenge
especially tough one—

selling the idea of private enter¬
in

public
as

with

that

many

would

be

to

legislative
be

Customers Served

confronted

Operating Revenues

proposals

311,547

66,267

$42,004,000

$91,743,000

$49,739,000

$509,474,662

$199,481,707

$309,992,955

5,134,000,000 KWH

1

2,825,000,000 KWH

2,309,000,000 KWH

482,224 KW

926,276 KW

-

detrimental to the

tility Plant (original cost)

interests of individual power com¬

panies, of the industry as a whole,,

Kilowatt-hour Sales

and in many cases

lof large regions

to the interests
of the country; or

Rated System

-•

of the United States. Butrin /

even

1951

377,814

power.

power

continue

will

INCREASE

1960

But not only in
but in other fields
well, the industry has been and

prise

Capacity

•

r

1,408,500 KW '

this difficult field of action, there

•has

less

been

less

and

tendency

»•

for the

people of the industry, the *
heads of the various power enter- U

prises,

defend

to

.

and their interests

in

positions:

vigorously and

PUBLIC SERVICE COMPANY

OF INDIANA, INCr, PLAIN FIELD; I NDIANA

person.

The
►

their

To

many

Way
do

so

cases

to Inform Congress

effectively

means

^

in

frequent appearances




yv.:

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:•

Investor-Owned^Etecfric^aLight

V,;•

*:-•

5

-r.

for

Sec¬

own

advantage of by TVA. Among the
tioned

by

NAB's

investor-owned utilities and taken

missed opportunities can

needs.

demand

and

Power Company

The Company's I960 Annual Report Will Gladly Be Sent Upon

Request

,

-

on

the
Le-

page

30

30

(2626)

The Commercial and Financial Chronicle

I

broad education and

Prerequisites to Assure
Electric Power's Future
broadcasters

seat

long

of

authority in many
fields which vitally affect us, is
Washington. I do not see why we
minimum, to hold
least every

at

second

fourth

would

year

equal. This would inevitably
result
in
higher rates, because
utilities would have to choose be¬
tween either not

conventions

of

better—in

Washington.

This would give us
opportunity to invite and to
tell the people in government of
the great job the power industry
is doing, to invite them to talk
an

to

about

us

their

problems

earnings.
of

about

could

benefit

frankness

and

of

from

listening

to

and

possibly

even

other

illustration

in which

ways

Depreciation

on

the

selves

fined

need

to

defense

mental

attack.

terests

defend

our¬

is

ideologically
to

con¬

not

against
The

(5)

surprising
utility

the

companies
field

nications

Not

sources.

of

one

in

the

issued

a

business. The

report referred, not
only erroneously, I firmly believe,

ill

as

same

—

in

other

be

can

the

on

ties, I think
be

can

deans and facul¬
much greater blame

a

ascribed

-

and

more

and

more

quality ' men,

viewpoint, of

to have

men

of

more

solid

broader education, men

with

specialized training

on

a

base of

fend

selves.
The

have

C A

■

of

fact

not

utility

the

done

ture for

our

people.

I

matter

very

afraid

am

smugness

comes

through. In

I know of

to

we

is

there

that

engineering of

one

attract

great

serve

people

we

as

of

magnet to

a

the

vital

most

raise

in and

year

out;'

year

If the

return
and
dollar of taxes
to the treasury of the city of New
York—surely, this kind of devel¬
opment can eventually come about
in power.
It may take time; but
it may be later than we think. In
any event, can private enterprise,

our

basis

the

on

so

of

industry in the United
and take a chance
developing? If we do not
meet the insistent challenges we
States stand by
that

on

have been

discussing, this not only
about but probably will.

can come

why should we not meet the

challenges?
1920

tween

complete confidence that this kind

generated

of program is sound and solid.

Unitied

few

must

executive

ago

of

a

came

to

him

years

who

utility
and

do

fidence

of the

ing the lowest standing. When the
expressed surprise at that,

power

as

the

reply was, in the first place
they did not need the very bright
men and, in the second
place, they
think

not

them.

I

second,

do

they

know

not

but I

could

do

to

the

to

nation.

confidence

such

in¬

is

that

the

projections

of

its

million dollars
that

will

created

highly

humanities i to

of

the

capital,
next

conceived

successfully—if by
technical

mean

we

in

be

cannot

years

more

or

built

be

40

and

success

feasibility and

economical

total

cost—

without
the
existence of highly
expert, highly efficient and com¬

ties and ample challenge on which
to sharpen their maturing knowl¬

pletely

edge and understanding.

and

to the

and

to

things that
about

of

people have got to be
the

on

done

whole

very

the

little.

will

have

not

the

have been talking

they

as

develop and come
more
sharply in focus, let alone
the manpower which will have the

And

large

their

and

to

of

must

recognize and respond
energetic fashion, are all
vitally tied in to a sixth chal¬

lenge, namely,
Future.
If ti

Confidence in the

<;

\

•

•

industry is to adopt poli-~
programs based upon the

e

cies and

great role that electric energy and
the
to

electric

play

this

in

industry-has

energy

the

future

growth

of

country;

the

price and price reduction to
very lowest level
consistent

with proper

protection of |the in¬

PRIVATE

WIRES

it

will

involve

of

will

too,

dollars

the

of

involve

millions

expenditures.

of the

generation multiply¬

ing eight-fold to six trillion kwh.
in the year
The

2000.

cent of the total gen¬
erated by government was 4.3% in
per

23.2%

1920, and
fold

in 1960—a five¬

growth in the last 40
will

What

the

be

growth

years.

in this

percentage in the next 40 years?
I believe that what it will be in

the year 2000

is

to

up

us.

Will it

two-fold?

Three-fold?
It
does not need to; it does not even
grow

have

is

to

by

grow

25%.

its

growth

growth

since

1882,

its

future

immeasurably

be

can

only if the industry5Ac¬
that potential future 'and
strengthens its faith in that future
greater;

cepts

its ability to fully meet suc¬
cessfully the challenges that must
be met to realize that potential.
Only then can the industry be
and

confident

history

that

with

all

the

great

performance it has
integrated in its first fourth-fifths
of

and

century, its future will just

a

begin at 80.
address

:"An

29th

Annual

Electric

6,

by

Mr. Sporn

Convention

Institute,

New

of

York

before
the

June

1961.

how

Schweickart Co.

people be trained to even
them, without a solid

To Admit to Firm
Schweickart &

confidence and complete belief in

New

York

New

York

the

future cf

the

industry?

Co., 29 Broadway,
city, members of the
Stock

June 22 will admit
If

the

Challenge

Is

Not

Met

to

partnership.

Exchange, on
Stanley Albert
...> .•
;
.

Of course, the industry may not
meet the challenges that I have

indicated.

If the

them

meet

industry fails to

there

will

in

generated

power

still

the

be

United

States,

large plants will be built,

power

may

adequate
costs

even

be

quantity,
here

thigher

and

available

in

perhaps with
there, and at

than

people

anything the
of the United States have

had

accept to date, but ava'l-

to

able nevertheless.

This

mav

seem

Wm. R. Staats Co.
To Admit Partner
LOS

ANGELES, Calif. —William
Co., 640 South Spring

R. Staats &

Street

members

andiVf Pacific

changes,

of the New York

Coast

July 1
Thomas S'denberg to
;

on

Stock

will

E

Houston

^

Troster, Singer & Co.

Crowell, Weedon & Co.
Los

Hess,

Trinity Place, New York 6, N. Y.

,

Remington, Inc.
Philadelphia

Reinholdt

74

'*

Teletype NY 1 -1 605-1606-1

Angeles

Grant &
♦

Members New York Security Dealers Association

t

&

Gardner

52 Wall St., New York 5, N. Y.
WHitehall

4-4970

St. Louis

Stewart, Eubanks, Meyerson & Co.
HAnover 2-2400




.

Teletype NY 1-376; 377; 378

San Francisco

Trading Markets in Public Utility, Natural Gas and Industrial Securities

-

partnership

in the firm.

G.A.SaxtonxCo, Inc.

Underwood, Neuhaus & Co.

;

x

admit

TO

Schneider, Bernet & Hickman, Inc.
Dallas
"
'
J,
•

■

the

Edison

City,

Chicago

'

this

But

only if the utility industry
recognizes that great as has been
so

-

I

of

prospect

a

Glore, Forgan & Co.

,

bil¬

710

But

these be undertaken,

can

failures

If it is to proceed on the theory

that

numbers

is

there

the total 1960

steps beyond re¬

are

Surely,

utilities

increased

But in the 40 years that

ahead

visualize

in

to

there

These,

can

The five challenges that I have
far discussed which the indus¬

try

industry it¬

energy

generation, in transmission, in
distribution,
and
in
utilization.

how

development.

(6) Confidence in the Future
so

the

by the

be¬

years

the

in

through

carry

by

major experi¬
mental and prototype installations

imagination and understanding to
attracted by the challenges to
them

future

its

search.

be

meet

organizations,

self?

visualize these

even

we

in

and does bet¬

more

simply

manpower

attention

dedicated

major program of research

a

development, both technical
and sales, participated in by the
industry itself. But can such pro¬
grams be organized
and carried
through and billions of dollars^pended without great confidence

for bringing this

programs

it

and

40

1960

and

States

lion kwh.

lie

nec¬

Surely, these great new
plants, each costing one hundred

ample outlet for their, abili¬

and

ideas

it must

essary.

in finance, in business, in
merchandising and selling, in ad¬
vertising, in accounting, in the so¬
sciences

challenges—and

these

scale

law,

cial

It must be sold

future have indicated will be

on

find

con¬

to

dispensable if the industry is going
to go ahead and build on the grand

first reason, that if the utility in¬

dustry problems

enterprise.

Surely,

the

as

complete

will lead

area

these

sell

the

know,

it

served, of the country
whole, and the success of the

a

on

hold

about

that

It

great
gain in the welfare of the people

asked for the privilege of talking
to the two men in the class hav¬

did

with

so

';

the

In

repeat:

schools''of technology told

a

a

tric power

I

do

must

any

in the investor-owned elec¬

can we

things—
It

without
paying

ating

without

But

industry is to do all these

spectacle

the

at

place in the price of a ride over
the last 15 years and with an in¬
vestment of over $2 billion, oper¬

great

ter,

& Distribution

the

for

look

a

city-owned local transpor¬
tation system in New York City,
with the trebling that has taken

me

industry
has
Unless it does

ission,

to

some

young

that

of

it is

If

*

a

bright
us.
The

to

industry

,

country

and

come

the

importantly, for the people of the
as a whole;

a

somehow

some cases

able

sure

people did not
dean of

is,

have gone out of our

we

be

developed

(b) Natural Gas Companies

re¬

doing for its customers,
investors, employees and, most

•

exciting adven¬
bright and able

an

latent

way

'

enough to make

career

able young

(a) Operating Utilities

question of

courage,

job it is

But

Trading Markets in

with

it is to develop people able
willing to stand up and de¬

utility or¬
ganizations of the country them¬

been
multiplying, there will be
plenty of opportunity for the very
brightest people in engineering, in

broader

about

If
and

the

to

the

face

to

power

system

take
the

of

ness;

part of schools,

point of view

Firm

blame

for

sourcefulness, and with a great
sense of responsibility and sober¬

all fronts keep
multiplying at the rate they have

higher

as

position

words,

future

successfully,
be able to bring in its full

necessary

the railroads at the turn of this

century

reach the

to

the

is

public

And

Dean

tracting capable young people. Far
from
lesser-quality,
it will be

evidence of

will, to the electric utilities

best in¬

of

some

ascribed to the deficiencies

If it

the

over

century.

a

positions of authority and respon¬
sibility.
But we have had, and
continue to have, difficulty in at¬

to

by regulatory commissions in their

being in about the

its

while

its ranks

of

share of able youth to assume the

for higher profit allowances

but with considerable

our

attack.

industry is

and

it must

re¬

was

the

itself

commu¬

port, the burden of which
argue

long

largest

long

resist

to

many

posi¬
tion of importance in the Ameri¬
can
economy that we have been
discussing, and if it is to defend

may

too

world's

and

the

of

have failed to

position of growth, and the

—and sometimes does—come from

ago

companies

The Ability to Attract Youth

If

govern¬

attack

we

recognize and defend

Argument
But

number

fallacy, error, and intended
mischief.
I cite this as just an¬

good-will.
Disagrees

electric

large

our

a

full of

atmosphere of candor

an

appalled to learn

fully endorsing this view
when, in fact, they should have
joined others in the industry in
openly attacking this report so

criticize us, and to tell us
some
of our failings.
We

them in

was

were

and

to

even

I

months ago that

few

a

to

basis

new
principles of utility
growth and development;

industry has not done too
well in attracting its share of men
quarter

solid

a

If it is to take vigorous leader¬
ship in espousing new ideas and

industry, and I do not

of that kind

projection to make, but
If, for example,

harsh

a

we

offer

growth and development;

engineering alone.

past

general public, the

vestors

The

taking tax depre¬

ciation, and .thus raising their cost
financing, or booking the higher
tax
depreciation, thus requiring
higher rates to avoid a decline ih

year—every

be

tax and book depreciation

as

were

minds, at the

our

bankruptcy,

earlier, that corporations should
be
permitted to take whatever
rate of depreciation they chose so

government and

cannot make up our

disastrous

long,

to

Washington, D. C.

the

a

It
argued further, ignoring the
price feedback effect I referred

Would Hold Conventions in

our

start

descent to the edge of

pared with editors and publishers.

The seat of

to

ready
com¬

as

the

I do not think so.

increasingly
complex
technical and technological prob¬
lems of the

of

Thursday, June 15, 1961

..

customers, the employees, and in¬

the

mean

of

estate

terests

many

more

meet

Continued from page 29

great

a

technicians and technologists
trained in the skills required to

.

Voldme

193

Number 6064

.

.

The Commercial and Financial Chronicle

.

(2627)

and

strong upward

a

We

well

reces¬

eco-

Strong upward pressures
being exerted in a great many

self-sustaining cumu¬
lative expansion is under way in
by far the greater part of the
economy.
No longer is the ques¬
tion "is the recovery fact or fic¬
tion," but "how strong will it be,
areas,

and

than

a

•

levels

payments
made

and

afford

most of

that .luxury.

decisions have to
in the

light of

our

prospects

the

to find out is

way

Utility

today,
best appraisal of
future

One

Those

facts

available to
tions .that

should

which

1961

as

are

now

progresses

we

economy

to

the

expect

continue to

expand quite rapidly.
Production
turned
upward at a
spectacular rate in April, sparked

by the strong recovery in steel
and automobiles.
Production con¬
tinued

May,

and

The

scribed

strongly

into

into

electrical

machinery
is
strong;
electrical
equipment, prices are
under upward pressure stemming
from heavy demand. Business ex¬
penditures for plant and equip¬
ment seem to be turning upward.
Construction
expenditures — a
very important
11% of the total
economy—are on the rise.
that

the

The

of

such

the

of

will

offerings

probably

be:

yet

to rise

to

Federal

pick

inventories

stage

crowded

cumulation
well

tial

months

course.

in

Sales

come.

of

Ac¬

ri e,

the

mer¬

providing

an

but

are

important

to the economy and

credit

for
be

be

still

lon,

impetus

ers

or

adequate flow of
be
made
available

an

forcing

to

down

rates

if business

levels

rise,

our

tax

income

as

thus

and

be¬

structure

restrictive

chokes

in

conditions

con¬

before

the

it

off

the

is

outlook

for

for

the

:strong

a

course,

cure

haps

take

have

applying it,
suggest that

to

the

of

up

time

to

point out that this

for

overhaul

the
pro¬

increase

is. to

familiar solution with

excuse

to

after

The

don't

than

really

economy

spending to

We

slack.
more

a

the

growth
to

vigorously

government
do

chance

recession.

of

posed,

a

of

more

1957-58

new

a

and

per¬

careful

a

structure—

tax

overhaul which gave full cog¬
nizance
to
the
importance
of

an

principles of
—might well
cial
free

the

to

equity
prove

of

cause

taxation

in
more

benefi¬

growth in a
would addi¬

than
expenditure programs.

economy

tional

The way
these
two

in which

we

this

"The

present moment is one of

great distress. But how small will
that

distress

think
40

years;

which

other

former times could not have

restored. Yet is the country poor¬

in

than

er

1790?

We fully believe

all the misgovrulers, she has
been almost constantly becoming
that,

spite

in

richer

her

of

ernment

and

of

richer.

...

deterioration
1 T.

us?"1

before

Macaulay, review of Southey's
Colloquies, as qucted by David McCord
Wright in Democracy and Progress, pp.

political - economic
will have much to do
with the vigor of our economy in

219-220.

realizing its full growth potential
in the months and years to come.

Kinney

*A

fore

As to the long-range
outlook,
history has demonstrated that the
American people are basically a
pretty
level-headed
lot.
Time

after time

it has seemed

I

am

an

observations

hundred

on

this

ago.

that

grow,

Just

money

Council

of

within

have

desirable by

Chairman

levels

been

leads

—

Electric

the

despite

short

peaches
ahead

and

ali

With Samson Associates

I'd

Rose

Inc.
680

Farrell

Saccardi

sociated
as

with

Samson

account

Fifth

Samson

Associates,
adviser

investment

of

This

distributor

iike

ible

for

Samson

a
to

Securities and

fact

very

Inc.

-rf

held

Secretary Dil¬

time

Economic Advis¬
Heller, the Joint

MEMBERS

New York Stock Exchange

although

economy

tremendous

of

one

the

significant

more

Midwest Stock

Exchange

American Stock Exchange

(Associate)

longer run problems in the econ¬
omy. Much of this unemplovment

Congress,

will

disappear with

general

eco¬

nomic expansion; this is itself one
of the reasons for the very fav¬

orable-outlook

the economy.
proportion of
the unemployed are the unskilled,
the semi-ski]led, those possessed

'

But

of

skills

are

which

workers

they

omy,

where

the

econ¬

where

areas

needed

are

their

the

free

by

facil¬
itated in other ways.
an illconceived program—for example,
enterprise

*

one

system

which

tion

INCORPORATED

in

growing

be. shown how and
for jobs which can
skills, perhaps their

into

movement

LOE WI & CO.

trained
a

can

those

skills

by

and

These

look

to

utilize

needed.

be

can

needed

obsolete

are

longer

no

skills

for

substantial

a

of

would

can

be
Yet

subsidize

uneconomic

loca¬

industries

in

m/jany
INCORPORATED

Investment Bankers Since 1912

areas—would do more
good. Or an attempt
solve technological unemploy¬

depressed

INVESTMENT
22 5

E.

Mason St.,

Members: New York Stock

•

SECURITIES
Milwaukee 2, Wis.

Exchange-Other Principal Exchanges

harm
to

than

ment bv easier money and

highei

NKW YORK

Removing Tax Induced
.

Stagnation

.

■

-

Phones:

N/flLWAUKEE:




Teletype:

/

E§R 6-804-0

/

mi

4-05

CHICAGO: ST 2-0933

A- second

problem
ance,

one

hearing

of

politico

-

economic
imports

considerable

about which
more

as

we

time

CHICAGO

harmful

spending could lead to
inflationary pressures.

will be

goes

on,

the

the

general
Convert¬

Capital Fund,

further, there are
problems and politico-

of slack in
the
it gives us a
opportunity for real
economic growth, is at the same

the

in

Inc., is
and

little

a

economic

as¬

fice, it has been announced.

not

economic problems of real impor¬
tance with which we mu:t deal.

now

Associates,

executive

econ-

is

is

Aveaue, New York of¬

Looking

honey.

the

Institute, New York City,

favorable

very

outlook

run

-

Mc¬
be¬

1961.

7,

observation

the

to

Mr.

point,

in^En^land. qmre than
years

June

incor¬

rigible -optimist with regard to
our
longer range outlook, and I
think
with good reason.
Lord
Macaulay made some rather as¬
tute

Edison

by

statement

part of panel
discussion
29th Annual Convention of

as

that the

problem of the moment might be
getting somewhat out of hand.
And yet we have rather consist¬
ently managed to find a quite sat¬
isfactory solution.

prepared
the

But this latter point—that there

omy

what

B.

Policies

,

On

principle is it that, when we see
nothing but improvement behind
us, we are to expect nothing but

Economic

Poor

con¬

ceived; a debt larger than all the
public debts that ever existed in
the
world *| added
together; the
food of the people studiously ren¬
dered
dear; the currency inprudently debased, and imprudently

quite substantial expan¬

Against

into

insignificance; taxation, such as
the most heavily taxed people of

touched off.

Warns

with

sink

wars

production before signifi¬
inflationary
pressures
are

cant

we

of the last

compared

war,

a

all

in-

a

when

appear

the history

over

for

upward drift in

an

passage,

approach

problems

writing
run

has

failure

grow

and

recovery

quoting

a eh;

permit

low interest rates

so

Economic Committee of

will probably

that
too

by

written in 1830:

sion in

expected to

lower

to

rates.

easy

be

sion is
comes

close

terest rates. Further, there is suf¬
ficient slack in the economy to

Rates

Interest

can

attached

interest

and

of

'

Yet

last month

to

March,

rates

too.

tance

April from the near-record levels
in

capital

credit and

doubt has been
raised in some people's minds by
statements on the part of the Ad¬
ministration regarding the impor¬

chandise to other countries fell in

reached

as

economic expansion, with an
companying rise in demands

credit.

consumer

in

Rise

demands

interest

may

in

economy

de¬

of

is considerable slack in the

further significant

the

to
to

a

its

been

flow

economy,i.then, ;is

later this year as
built up.
And the

are

upsurge

Predicts

liquida¬

inventories

of

provide

stimulus

run

has

to

"the

The -short

j

will

Government

up

rebirth

is set for another substan¬

As

tion has about

respect

tinue to rise.

heavy fourth quarter/

a

should

liquidation

inventory

in

business

expanding
higher de¬

is

virtually the entire economic
—

re¬

drift upward with the increase

Business demands for bank credit

indeed, which by itself accountedcontraction

in previous

as

Martin

can

without

(gross) before year-end. Mortgage
credit demands are quite strong.

which sparked the recession—and,
for

from

lower levels, the most logical con¬
clusion is that interest rates will

borrowing upwards of $10 billion

increasing indications

inventory

rates

Chairman

Since

capital

not

inevit¬

and

to

productive investment activ¬

ities."

Corporate demands for credit
will
be • competing
with ' other
credit needs.
The heavy munic¬
ipal calendar is being reflected
in prices of municipal securities.

rising to f even higher? -levels.
Output of both electrical and non¬

are

does

by

facilitating

Calendar

natural

activity

bulk

apparently

is

There

Financing
the

results

come

increase

to

throughout

of

economic

give many indica¬

us

increase

ve

activity — but not as
sharply upward as in 1958. This
mands for credit.
After a light „view seems to be fully consistent
with the testimony before a Con¬
first quarter, corporate financing
gressional Committee last June 1
calendars have been running quite
heavy and there is more to come. by Chairman Martin of the Fed¬
eral
Reserve
Board,
who
told
The ' Irving Trust
Company Fi¬
the
committee
that
the
Board
nancing Calendar estimates that
should not be asked to force rates
1961
financing by large electric
down. He pointed out that Fed¬
companies will total $1.6 billion
eral Reserve actions can only mit¬
and large gas companies $800 mil¬
lion—about the same as in 1960. igate the tendency of interest rates
able

business

developments; they cannot await
that certainty of knowledge which
only history can bring us.
'

of

low

as

ha

them

for

short-term

objective
long-term
rates

be slackening.

to

important

The

Our business

be made

for

the rate

appear

can't

us

it

falling

Government

though the best

see,

have

cessions.

spending has increased sharply at
Federal, state and local levels,

wait and

Actually,

officials

considerations

prevent

as

and how fast will it proceed?" Al¬
to

the

their position.
Al¬
though the Federal Reserve has
emphasized that it is not seeking
to
peg
rates
at
any
particular
level,
international
balance
of

in

rise.

during

years.

Reserve

in

make sclear

expand their spending further
income

postwar

Reserve

unusually candid and out¬
spoken this spring in trying to

"

previous
recessions and profit margins are
improving.
Consumer
spending
accivity stepped up somewhat in
May, and recent surveys give the
impression that consumers will

sions.
are

better

can

been

does not choke itself off.

up

rates

recent

get started. -This is said to explain

early

held

postwar

interest

us,

a

which

the

stagnation thesis so popular
during ihe 30's. The present ver¬

economic

Federal

the mildest

of the

the face of

magnitude

by the Federal
pegging bond prices

continue at quite high levels most
of this year. Business profits have

now

in

to

from

the

used

along the road
to recovery from the briefest and
are

failure

a

stems

prevented from rising only by
massive intervention of the sort

expansion accompanied by an upward drift in intjrast rates.
the banker warns against trying to solve technological
unemployment with easier money and higher spending, and favors
economic recovery

the

faces

now

Further,

so

is

over

be

nomic

tax reform

of

What

confusion

statements

boom

McKinrny estimates electric utility financing in 19S1 will total
Sh6 billion, and $890 million for large gas
companies, wit!? t!u bu!k
Also, he foresees

Kennedy.'

the

appreciate that,

Mr.

cf it due tiie fourth quarter.

caused

these

By George W. McKinney, Jr.,* Assistant Vice-President
Irving Tinst Company, New York City

'

President

has

Utility Financing in a
Strengthening Economy

31

BOSTON

32

(2628)-

The Commercial and Financial Chronicle

AS WE SEE IT

Continued from

How

term

quire

yields

issues

of

what

long- combating it

on

Federal

the

sisting

1

of

leaders

Continued from page 1

ment.

page

their
seem

ideas

of

to be. The

labor

influential
and

labour
employers of

whose function

it is

to

seek out modes of procedure
by which costly industrial re¬

crease

per

man

output

thus reduce labor costs is
other

goal

of

these

and
an¬

groups.

Not much has been heard of

.

.

.

Thursday, June 15, 1961

be

product of exhortations

a

about
means.

tion? A

"self

restraint"

as

a

of

preventing infla¬
very low opinion of it

seems
to us to be inevitable
commonly
all this of late, and so it is far
Government—and by indirec¬ heard, if not the only one, is lations conflicts can be
if one is to take into account
from clear what
headway, if the
tion upon private
term
"self re¬ avoided and, presumably, de¬
mortgages what they
ordinary attributes
of
—are to be forced down and
straint" on the part of both mands of the unions be held any, is being made.
mankind and the teachings of
kept low without return to wage earners and business¬ within reasonable limits.
What of "Self Restraint"?
a
very
considerable experi¬
some

of the worst of the prac¬
of the war and
early

tices

postwar

period

clear—the

far

is

if

more so

from

preventive

men.

most

There

ganized

have

certain

been

groups

or¬

Greater cooperation between

con¬

management and labor to in¬

What,

we

should be asking

ourselves very

ence

earnestly, is to feel

with the

technique. We

certain that

it

will

con-

the

now

Treasury is to be required to
find

substantial

funds.

Efforts

additional

finance

to

a

growing deficit can hardly
fail to add
dangerous fuel to

Ml
\

'

the inflation fire.

Now, of
leaders
—and
to

labor union

course,

read

jLnf '

the

newspapers

they have economists

make certain that

not miss

they do

the true inwardness

of what is
going on in Wash¬
ington and elsewhere. Should
improvement in the general

business

situation

at

even

the

continue

present rate

we

may

be quite certain that it

will

not

hear

of

be

long

before

demands

we

for

higher
wages,
larger "fringe bene¬
fits," or other changes which
add to the cost of production.
We

not

can

recent

from

did

recall

even

not

a

in

case

where recovery

years

mild

a

recession

bring forth

multi¬

a

tude of such demands and in

the

great

majority-of cases
obtaining them.

in

success

ill

The presence of considerable

unemployment,
if the

particularly

government is looking

after the
unemployed, is
ly much of a deterrent.

rare¬

pV"H
Higher Costs, Higher Prices
The

likelihood

that

sharp

increases in labor costs would

quickly bring higher prices is
rather
the

than usual at

greater

present time

in

view

of

the

falling profit margins of
recent months.
Increasing
volume

of

output

to

course,

somewhat

brake
slow

in

and

down

prices

margins
mit

act

as

w

■

to

of

the

higher

consumer

later must pay, but
a

fplpi

too close to per¬
factor

be

to

con¬

'

i for
v

goods

and

to

fear

a

recurrence

the cost inflation
*

services

jSpSw

being produced.
is, therefore,, good rea¬

are

There
son

particularly if de¬
substantially increases

the

that

i

''

A

trolling;
mand

i

■

S|m

a

instances

costs into

are

such

of

costs

conversion

the

which
or

unit

may

some

higher labor
sooner

tends,

reduce

type of

of
up-

ward

price movements if and
when there is a sustained im¬
provement in business and

apparent
tinuation

of

prospect
of

that

a

an

con¬

improve¬

FIVE

Naturally, inflationarv
programs in Washington will

MAJOR STEPS

ment.

not

help at all to restrain or
discourage it—but will rather
tend to support

TO FURTHER

PROGRESS

it.

This

danger has apparently
been forseen in one degree of
clarity or another by Adrrrnistration
ers

nals

who

officials
refer

■

therefore' of

and

it

at

advis¬
inter¬
AT

without

disturbance

to

much
of

evident

mind.

It

interestv to




is
in¬

GREAT LAKES STEEL in

controlled

and

operated

Detroit, the computer-

80" Mill of

the

Future—

AT MIDWEST STEEL

and

efficient

fastest, most powerful hot-strip mill in the world—will

provide

provide

galvanized

more

and

better autopiobile

body sheets.

steel

near
Chicago, the most modern
finishing plant in existence will

industry with the finest quality tin plate,
sheets, hot- and cold-rolled sheets.

Volume

193

Number 6064

...

A Supplement to the Commercial and

Thursday, June 15, 1961

Financial Chronicle

(1)

Municipal Bond Club of New York

Joe

B.

Wise,

J.

A. Hogle &
Weeden &

John

Fitterer,
<ft
Co.;

Edmund

G.

Fenner

Alfred

J.

&

Co.; George W. Hall, Wm. E. Pollock & Co., Inc.; William
Co., Inc.; Chester W. Viale, L. F. Rothschild & Co.

Wertheim & Co.; Alfred Ji-^Bianchetti, J. A. Hogle
Walter H. Stohl, Fidelity Union Trust Company
(Newark, N. J.)

Joseph

E.

Simon,




J. Sheehy, Gregory

Robert M. Goodwin, The First National City Bank of New

Cross, C. J. Devine <ft Co.; James M. Heller, Shearson,
Hammill & Co.; T. P. Swick, White, Weld
Co,

J. A. Hogle & Co.; Charles V. Smith, Clark, Dodge & Co.,
Ladenburg, Thalmann & Co.; James F. Reilly, Gcodbody &

Co.; John W. De Milhau, Chase Manhattan Bank; Joseph
& Sons; Alfred Mante, Smith, Barney & Co.

C. Wallace, Francis I. du Pont &

G.

York;

Robert I. Doty, James A. Andrews & Co., Inc.

r

O'Leary, Eastman Dillon, Union Securities & Co.; Berger Egenes, Merrill Lynch, Pierce,
Smith Incorporated; Walter W. Niebling,
Merrill Lynch, Pierce, Fenner & Smith
Incorporated; Frank P. Gallagher, W. H. Morton & Co., Incorporated

Bianchetti,
Whitlock,

Hugh

Inc.; Daniel P.
Co.

Horace
<£

Sylvester, Kidder, Peabody & Co. (Boston); James Stenson, Continental Illinois National Bank
Trust Company; Joseph Vostal, Kidder, Peabody <ft Co.; Bradford Simpson, Hallgarten
&

Daniels

C.

Brasted, Evans

Cook,

Wm.

J.

&

Co.; Bill

Carrington, Ira Haupt & Co.

Floyd F. Stansberry, Bankers Trust Company; Jack
(Cleveland); Richard N. Rand, Rand
Co.

Co., Incorporated;

Mericka

&

Co.,

Inc.

(2)

Thursday, June 15, 1961

Volume

193

Number 6064

...

A Supplement to the Commercial and Financial Chronicle

28th Annual Field

Dave

Callaway, First of Michigan Corporation; William R. Kondratuk, Reynolds & Co.; John
Hughes, Lee Higginson Corporation; Robert Schlichting, Kidder,
Peabody & Co.

Edwin

L.
Beck, Commercial <£ Financial Chronicle; Russ Dotts,
Rambo, Close & Kerner, Inc. (Philadelphia); James F.
Musson,
Newburger, Loeb
Co.

David

A.

M.

Arthur

Friend, Folger, Nolan, Fleming-W. B. Nibbs & Co., Inc. (Washington, D.
C.);
Thurnher, Drexel <ft Co.; R. E. Crooks, Ferris <ft Company (Washington, D. C.)

Lou Hauptfleisch, Goldman, Sachs &
Co.; Bill Muller, Halsey, Stuart

Co., Inc.f Lew Lyne, Mercantile Nqfipnql Bank

Pincus, D. A. Pincus & Co.; David Miralia, Kuhn, Loeb &
Co.; William D. Byrne, Phelps,
& Co.; Edwin P.
Sunderland, John C. Legg & Company (Baltimore, Md.);
Thomas A. Lankford, Union Trust
Company of Maryland (Baltimore, Md.)

Fenn

Fred

D.

Day

Henry

(Dallas)

Glenn

George

D. Thompson, Carl M.
Loeb, Rhoades & Co.; William
Hibberd, Trust Company of Georgia; Lorens F. Logan,
Wood, King, Dawson
Logan

J.

W.

Krug, Mercantile Safe Deposit and Trust
Company (Baltimore); Reg Larkin, First Boston
Corporation; R. E. Crooks, Ferris & Company (Washington, D.
C.); John L. Bowles,
Folger, Nolan, Fleming-W. B. ffibbs & Co., Inc.
(Washington, D. C.)

F.

Johnson, Barcus, Kindred & Co. (Chicago); Anthony E.
Tomasic, Thomas
(Pittsburgh); Karl J. Panke, Lehman Brothers; Donald Bradley, Hornblower &
(Boston); Arthur G. Mathews, Dunn & Brad street, Inc.; Leonard R.




&

Company

Weeks

Sullivan,

Fitzpatrick, Sullivan & Co.

i

■

John E.

Varley, Federation Bank & Trust Company; John J. Ward, Chase Manhattan
Bank; David E.
Ahearn, Eastman Dillon, Union Securities & Co.; William A.
Devlin, Reynolds & Co.;
Merrill Freeman, Salomon Brothers & Hutzler

Volume

193

Number 6064

...

A

Supplement to the Commercial and Financial Chronicle

Thursday, June 15, 1961

(3)

Friday, June 9, 1961

Rollin

C.

Bush,

Frederick

T.

A.

George

Ferg

B.

First

Allen,

Webster

National

City Bank of New York; Fred F. Johnson,
(Chicago); Frank L. Lucke, Laidlaw A Co.

Brothers A Co.; Constantin
Dougherty A Co. (Philadelphia)
Barr

Alio,

Charles

Barcus,

Kindred

Alleman,
A

Leedy,
Wheeler
A
Alleman, Inc.
(Orlando, Fla.);
Ralph
Alleman, Inc. (Orlando, Fla.); Richard T. Shanley, Equitable
Anthony J. Miller, Hirsch A Co.




Co.

Ernest

J.

Altgelt,

Harris

Trust
John

F.

Kavanagh, Bacon, Stevenson A Co.; Reginal M. Schmidt

A
J.

Saltings Bank; W. Neal Fulkerson,
Clapp, Jr., R. W. Pressprich A Co.

Harold

J.

Kennedy, E. F. Hutton
James

Gibbons, Jr., Geo. B. Gibbons A Company, Inc.; Francis P. Gallagher, Kidder,
A Co.; James G. Couffer;
Emil C. Williams, A. M. Kidder A Co., Inc.

Wheeler

&

Peabody

J.
Powelson, Leedy,
Securities Corp.;

A.

Andrews

Bankers

Trust

Company; James
A Co., Inc.

A.

Company;

Andrews,

Bob Tighe, Weeden A Co., Inc.; Jack Large, C. J. Devine A Co.; Henry MUner, R. S. Dickson A Co., Inc.
>

Dana

B.

Scudder, First National City Bank of New York; Daniel O'Day, Northern Trust Company;
Young, Equitable Securities Corporation; Dave Haley, Harkness A Hill, Incorporated
(Boston); Bob Swinarton, Dean Witter A Co.; Edwin J. Cross, Roosevelt A Cross, Inc.

Harold

(4)

Thursday, June 15, 1961

Volume

193

Number

At Westchester

E.

R.

Lowry, McDaniel
Geo.

Gordon

A.

A

B.

Lewis

Co. (Greensboro, N. C.); J. D. Couig, Hirsch A Co.; M. V.
Company, Inc.; Craig Simpson, Bankers Trust Company;
George R. Waldmann, Mercantile Trust Company

Gibbons

A

Witter

Edward

H.

Robinson,

Alan

Poole,

Schwabacher
Leonard

A

...

A Supplement to the

Commercial and Financial

Chronicle

Country Club

A

Jamieson, Blyth A Co., Inc. Jerry J. Burke, Dean
Co.; Joseph G. McCarthy, Goodbody A Co.

6064

A

Co.;
Lynch

H. Rice, Irving J. Rice A Company, Incorporated
(St. Paul); Dick Grimm, Government
Development Bank for Puerto Rico; Donald R. Bonniwell, Cruttenden, Podesta A Co.
(Chicago); Art Hageman, Baxter A Company

John

H.

Cowie,

Moore,

Bill

Ferguson, Northern Trust Company; William King, White, Weld
A Co.
(Boston); R. A. Morton, Blue List Publishing Co.

4

Charles

S.

Sykes, Sykes, Galloway A Dikeman; Archibald
Norton

Dana

P.

Rogers, Jr.,

Scudder,

First National City
Securities Corporation;




Harley

Adams

A

N. Galloway, Syhes,
Galloway A Diheman;
Hinckley (Newark, N. J.)

Bank of New York; Wendell R. Erickson,
Clifton A. Hipkins, Braun, Bosworth A Co.,
A. Watson, Eldredge A Co., Inc.

Stone
Inc.;

<ft

Webster

Davis

Sidney

Kales, Wood, Gundy A Co., Inc.; Raymond Heiskell, C. F. Childs and
Company; E. S. Robinson,
Penington, Colket A Co. (Philadelphia)

Mohr,

National

Thornton, Mohr, Farish A Gauntt, Inc. (Montgomery, Ala.); P. A. Bergquist, First
of Chicago
(Chicago); Gilbert Hattier, Jr., Hattier A Sanford (New Orleans, La.);
William D. Byrne,
Phelps, Fenn A Co.

Bank

Volume

tinue

be

to

193

Number 6064

futile

to

rail

.

.

The Commercial and Financial Chronicle

.

from

at

their

(2629)

.daily labor. The requests that they not
they are so uni¬ cise it.

exer¬

If labor costs

fact

that

to

rise, and tax costs to

membership for insistence formly successful in recent
upon
higher wages and all years goes directly back to
when

rest

they believe
(probably correctly) that they
succeed with

can

for these
men

all

a
campaign
gains. These gentle¬

human

are

the

rest

want to

of

beings like
and

us,

to continue

complicate this situation all
along the line. Inflation inCan't Ignore Costs
up in an effort to meet added s p i r e d demand
demand
Employers are, (of course, outlays by Federal Govern¬ which is created by purchas¬
the
monopoly position they
much more exposed to the ment, there is little hope that ing power which does initial¬
hold in the field of labor. So
prices
can
be
kept
down ly not grow out of the pro¬
long as we permit them to rigors of competition, but let either by exhortation or by duction
process — is inevita¬
cajole us into granting them it not be forgotten that com¬ any other device available to
bly a direct temptation to
this sort of a
position in the petition can at best only keep the authorities. Any infla¬ sellers to raise prices.

labor union leaders and their

the

are

33

economic

they

get all that they can

world

we

—

need not

much from

expect

move

prices down to

repeated margin

reasonable

a

tionary

inevitable costs.

over

stimulant

Washington

added

must

in

greatly

Against all such factors

;

hortations
not

are

t

ex¬

self-restraint

o

likely to be of much

avail.

Sanford, Hanauer
Form Coast Firm
SAN

FRANCISCO, Calif.—Organ¬

ization

of the

investment
Hanauer

&

nounced

by

Carl

and

The

Co.

and

Thomas E, Millsop and Paul H.

top

at National Steel

men

in

Carnahan,

firm

in

is

Mr.

insurance

San

stocks
are

......

formerly

of

in'

spe¬

Offices

Building.

Sanford

the,

was

Sanford

Com¬

&

Mr. Hanauer is the former

pany.

of

dealer

a

securities,

life

Russ

proprietor

Corporation, talk about...

an¬

Sanfprd

Hanauer.

municipal bonds.

the

Sanford,

been

Laurence

new

cializing

/

Francisco

of*
has

over-the-counter

George M. Humphrey,

San

new

firm

Francisco

J.

B.

resident

Hanauer

manager

Co.

&

Mr. Sanford entered the invest¬
ment

NATIONAL STEEL'S
OF

NEW

$300

business

11

Schwabacher

MILLION

Co.

with

ago

years

&

later

and

joined Walter C. Gorey & Co. He
organized his own firm five years
ago.:'

CONSTRUCTION

Mr. Hanauer is the

...

Hanauer

ard

of

of Leon¬

son

Ira

Haupt & Co.
and the nephew of J. B. Hanauer.
He

what it means to you
and

entered

Hanauer
and

the

with

ness

&

joined

when

he

investment

the

Co.

J.

firm

Ryan,
Newark, N. J.,

in

B.

Hanauer

&

Co.

California

to

came

busi¬

of

in

1957.

The huge

program

is nearing
is

a

begun three

signal of continuing

result of
It is

a

years ago

completion. Costing in

progress at

to

National Steel. It is the

never-ending search for the

new

are

willing

to

and the better.

back this

fidence with huge amounts of private money.

thing, throughout

our

economy,

and for which there is

no

to

you

obvious

are

from this construction
to

more

to

stable
our

assurance

that will result

you

and

means

better,

a

Guaranty Nat'l

greater

operations

.

.

Insurance Co.

.

competitive

stronger

Common Offered

consumer

steel—it

of

In

offering circular dated April
1961, Copley & Co., Colorado
Springs, and Pacific Coast Secu¬

means

dollar in the products

you

means

greater

an

rities Co., San

buy.

offered

as

an

against

American

inflation; it

—it

means

means

more

a

firm's

powerful

strength for

means a

customers—this
of steel supply in
any

expansion

the

means

means

facilities

come

ing the months ahead, we'll tell
And

volume during periods of

period, the expansion

new

steel

we

think

employees,

you'll

our

agree

you

into

way,

operation dur¬

more

that it will be good

customers, our company

news

for

our

CORPORATION,

;

/ 6R£ATaAKES :STEEL' • 7 WEIRTON. STEEL

•

MIDWEST STEEL

•

AND

STRAN-STEEL

PITTSBURGH,

excluding fidelity and sur¬
ety, under the laws of Colorado.
It
operates
on
a
non-admitted

*"*

PA.

DIVISIONS:

•

V

HANNA FURNACE

•

NATIONAL STEEL PRODUCTS

eight other states and

re¬

approximately 50 of its to¬

business

from

those

states.

Capitalization consists of 1,000,000
contmon shared (par 50 cents), "of
whieh

ENAMELSTRIP '•

at

Denver, Colo., was organized
8, 1955 and received its

ceives

SUBSIDIARIES

per

ance.

you.

tal

STEEL

$2.50

March

basis in

NATIONAL

this

of

at

Certificate of Authority from the
state
insurance
department to
write all forms of casualty insur¬

about them.

and for

shares
stock

Net proceeds, estimated

Guaranty National of 916 Broad¬

industrial base for national security.

on

As National Steel's

common

$250,000, will be added to the
company's capital and surplus ac¬
counts..

competition against the low-cost labor

greater

Francisco, publicly

120,000

share.

newly added modern techniques of foreign producers.

And it

more secure,

jobs.

peak demand. In

a

America faced with

program.

employees—it

our

with

our

.

to

course,

as

value for your

substitute.

benefits, of

higher efficiency,

throughout

us

produced.

29,

weapon

There

provide

ever

better products because of better steel. It

which provides the
.

costs

means

position in the market place.

It is the kind

.

uniform quality

most

company—it

factors which

con¬

solid foundation for widespread American prosperity

highest and

our

stability and lower

tangible evidence that private citizens have firm

confidence in the future and

of

of the

by National Steel
of $300 million, it

excess

upon

239,250 will be

outstanding
V

completion of this sale.>

Amott, Baker Branch

■;

„

BROOKLYN, N. Y.—Amott, Ba¬
ker & Co. Incorporated, members
of the New York

have

announced

branch

office

John R.

ald

E.

the

Exchange,

at

7321

Fifth

Ave.

Fratianni, Jr. and Don¬

Moten

new

Stock

the opening of a

are

branch;

resentatives

are

co-managers

registered

of

rep¬

William

R.

Bourne, Anne Elizabeth Frawley,
Jack
J.
Hasson,
Salvatore
A.
Scanio
Kalil
fund

and

Paul

Stanley

Yagerman.

Trabulsi is the mutual

representative.

Phillip C. Fons Opens
(Special to The Financial Chronicle)

WOODLAND
AT WEIRTON STEEL in Weirton, W. Va., new

and im¬

OUR

NEW

RESEARCH

CENTER

will

be

National

A BASIC OXYGEN STEELMAKING

of the

proved facilities throughout this division will increase

Steel's headquarters for the expanded, continuing ex¬

two

the production and improve

ploration of

construction

tin plate,

the quality of Weirton's

galvanized sheets and cold-rolled




sheets.

new

manufacturing

and better

processes

raw

and

materials, facilities,
products

of .steel.

crease

the

largest vessels
at

Great

ever

Lakes

SHOP, including

built, is

Steel

in

flexibility and efficiency of

now

under

Detroit to
our

in¬

operations.

Phillip

C.

Fons

HILLS,
is

*

Calif—

conducting

a

securities business from offices at
22911

Ventura Boulevard.

1

34

The Commercial and Financial Chronicle

(2630)

which

Some Factors to Consider in

doing

are

Utility Financing

The

the

electrics

dustrial

Investors Trust, Boston, Mass.

of

of

rates

with what

By Frank D. Chutter,* Industry Specialist, Massachusetts

Return

earned

return

by

low

compared

available

in the in¬

are

is

median

The

category.

overall rate of return

Analysis of the percent of market value to book value of 131 electric
utilities in May shows:

-

tribution

enough to offset loss due to price inflations (2) 28 companies showed

\

profit to the investor; and (3) 58 companies occupied

a

mediate

Mr. Chutter notes investors' willingness to

position.

premium

a

on

return earned

rates

or

improving

typical,

represents

which net plant valuation

alarming extent to

dollars

.

unrecorded
to

value,

excess

in

The ten industrials

tric

utilities

the

market

original cost.

non-ferrous

the

like

dustry,
service

the

industry.

individuals

institutions

and

do not

who

tries

in

to

care

classify

the

duties

and

which

order

fair

as

listed

currently
value-fair return
we

lines

on

1

13

to

in

the

of

responsibili¬

decreasing importance
and our holdings
in states cur¬
rently classified as original cost

ties of invest¬

are

ing

order

We

money.

like

think

to

that

methods
1

eva

as

of

current

our

holdings in the fair value-fair

return

centagewise,
during the

F. D. Chutter

the

increased

have

states

be

per¬

remained constant

or

past

increases

decade.

Some

of

substantial.

are

assets

net

are

New

4.6 times

what they were a decade ago and

March

billion.

totaled

2

about

(4)

original

utility hold¬
5.8 times what

now

12 9%

of

the

10.4%

at

the

close

of

ity

1950.

classify

as

Fair Value

or

we

1955

these

the

turn

It

elim¬

M.I.T.

of

Stock

of the

each

five

years,

that

expect

1
2

Illinois

4

Florida

5

Pennsylvania

6

Oklahoma
''Alabama

.

:;'Kansas

'Missouri

11

on

in

the

rate

most

for which data

of

re¬

recent

are

list. The 25 states with the
are

on

the left

table, and the rest
right.

the

Note

were
is fair to say

on

line 26

that M.I.T.

are

increasing percentage
in
the
more
favorably situated
category. A high or increasing
overall rate of return is what

in

typical

of

or

almost

in

and

85%

will

and

Louisiana

21

New

22

West

23

Arkansas

24

it

sense

no

of

Mississippi

to

27

March

30

TABLE

E ectric

such

No.'"

from

B

results

of

serves

153,000 telephones

Texas, Oklahoma, Arkan¬

and Louisiana. In the

period 1955-1960,

plant investment

now

more

than doubled

exceeds $54,000,000. New construc¬

expenditures in 1961 will require

record

dial

of the 153,000 telephones in service

operated. The number of stockhold¬

has increased to 10,000,

nearly twice the

increments

total of

Column
account

G
on

or

decrements

1960 dollar.

column

G

Thus,

represents

approximation of the net plant
on Dec. 31,
1960, in terms of the
1960 average dollar.

Copies of our I960 Annual Report
available

on

this

such net plant is
$1,752 million expressed in 1960
dollars or $446 million in excess
of the figure at which such prop¬
erties

request

are

Montgomery Street

•

San Francisco 4, California

carried

1

8.16%

8.29%

8.44%

6.71

8.02

7.14

8.21°

7.98%

6.44

6.36

5.59

6.65

7.09

Alaska.

1

*7.44

7.60

7.28

3

7.03

7.27

7.27

South

3

6.86

7.22

7.02

6.74

6.74

6.50

Texas

7.13

7.13

7.10

7.01

7.33

7.09

6.92

6.49

Dakota

12

$30.1

$13.3

13

Virginia
Minnesota

Illinois
South

16

17

Maryland
Virginia

18
19

„

22

Ohio
jUiHO

Louisiana

i

1.1

2.3

11.4
y

3.9

6.30

646

6.50

6.09

6.05

6.27

6.39

6.44

6.30

6.59

5.96

5.63

5.75

5.63

6.58

6.44

6.19

6.84

6.53

6.01

6 20

6.25

6.26

6.53

6.38

6.15

620

5.87

6.27

6 49

6.32

6.53

6.43

5.56

.

6.30

6 18

6.29

6.16

6.53

6.32

6.16

6.36

6.33

5.9)

6.'6

5.93

6.35

6.02

621

6.59

6.63
5.97

6.35

6.45

10.4

Pennsylvania

24

Alabama

25

North

2

26

Subtotal

27

O'aware

28

Wisconsin

2)

Indiana

30

North

31

Connecticut

32

Missouri

33

District of

34

Michigan

7

35

Utah

2

•

36

Arizona

2

...

37

Rhode

4.6

3.6

6.05

624

6.01

5.87

6.15

6.23

6.22

6.26

6.72

6.19

6.22

6.38

6.18

6.14

6.nl

,5.54

11.9

1

6.38

10.4

18

23

Dakota

6.21

6.61

6.36

23.3

\,4

.."

6 30

6.72
6.60

6.23

11.6

..

.s .;-.

6.40
5.89

6.25

3.4

.

6.72
6.38

6.45

3

2.6

...

6.30

6.23

6.22

5.91

8

„

6.42

6.75

6.31

27.0

Oklahoma

Georgia

21
£j.„

6.84

5.89
\

6 87

6.40

Mississippi

2)

6.95

6.40

6

Carolina

6.63

6.85

6.61

6.87

6.89

6.73
6.35

4.3

9

15

7 08

6.39
12.0

4

14

•

6.79

2

Mexico..

would

of

book

6.17

5.35

5.48

5.46

5.25

5.17%

6 45

a

6
9

Columbia

Island

3
2
4

40

Colorado

41

Vermont

outstanding
the
adjusted

»•

•

5

5.42%

5.71

5.94

6.10

5.78

5.9)

5.95

5.90

5.95

6.29

5.98

5.76

6.09

6.13

5.93

6.38

5.68

6.01

•

\

5.94

5.93

6.11
5.75

5.73

5.84

5.39

5.50

5.74

5.81

6.A3

5.94

5.15

5.74

5.75
,

5.83

5.70

5.85

5.82

5.53

6.67

5.78

6.33

6.58

7.00

7.64

5.06

\

•

•

.

.

5.63

5.86

5.66

0.2

5.93

5.65.

5.3

5.72

4.73

4.76

4.33

5 77

5.85

.

6.47

6.36

5.67

5.81

5.67

6.05

5.99

5.67

5.97

5.49

5.39

5.69

5.66

5.43

...

5.26

5.71

+5.66

•

6.19

5.39

5.60

5.32

«r

6.13

5.68

5.64

$1.0

,

5.69

5.84

.

5.83
5®2

3.4
.

3

Hawaii

5. <12%

5.58

share,

area

increments
-

based

index

total construction costs for

an

Massachusetts

5.58

5.00

5.44

5.52

44

California

5

5.52

5.25

5.00

5.42

5.39

45

or

43

New

5

5.0

5.41

5.45

5.23

5.29

5.40

5.66

46

Tennessee

3

0.4

4.63

5.44

5.59

3.r5

4.18

3.97

47

per

Handy-Whitman

42

5.97%

6.03
5.97

6.01

...

_

4

6.n%

5.87
5.92

5.67%

$3.5

1

Oregon

company

annual

4

Arkansas

value.

industrial

7

Carolina

.

$40.8

12

39

located in the
and again
starting with the net plant account
at the end of 1939, but repricing
central

$184.7
1

38

the present shares

200.9%

the

272

246

7.86%

Wyoming

unrecorded

This

bring
book value to $38.32

the

251

4

1955

1956

1957

257

Nevada

of

the books

on

value is equal to $19.25 per share

Using

THE SOUTHWESTERN STATES TELEPHONE COMPANY

case,

company.

and

1958

31, 1939, and the subsequent

in terms of the

on

number five years ago.

1959

Total Companies
Montana

10

are

in terms Of the

E

dollar.
net plant

the

annual

the

-Including Notes Payable5-Yr. Avg.

6

Column E is

average

In

a

budget of $10,400,000. Ninety-two

per cent




G.S.F.

5

in

A

Statistics, based on the 1947-1949
dollar, while column F shows the

the

4.1

-

3

an¬

in column

*.

o'i

-

II

2, 1961

7

areas

,x,

+ 0.2

4

an

300

March

Iowa

Company now

-

% Gross Income to Total Capitalization

Holdings (Mil.)
M.I.T.

West

in certain

+ 01
0 6

Portfolio

260

1959

12

Dec.

1.5
3.2

22.2

8,348,000

1

a

C, the net plant. The
changes in net plant

values

+
-

0.2
4.2

2

a

the value of the dollar, according
to
the
U.
S.
Bureau
of
Laboi:

ers

Utility

Cos. in

-State

No.

plant,

column

1960

3.4

-

Holdings by States
Weighted Average Rate of Return of Companies Reported in F. P.C.
"Statistics of Electric Utilities in U. S., Privately Owned"

corresponding
depreciation account. Subtracting

data

+ 3.5

100.0%

11

COMMUNICATIONS

3.3
5.5
1.9
2.2
1.4
0.2

$37,564,000

6.0

MODERN

3.4

1,251,000
2,063,000
718,000
:
834,000
527,000
84,000
63,000
1,591,000

8.8

-

1.7

1,274,030

4.8
2.3
2.0
1.6
1.6
0.2
0.1
0.1

-10.4%

8.8

633,000

100.0%

4

Serving the Southwest's need for

+ 0.1

lower court decision.

recent

the

reproduction

prepare

basis of

on

dollars

Column A shows the gross

nual

3,288,000

$217,725,000

TOTAL

rair value

Kansas

is in companies

+ 0 1

71.7%

0.5

pected, and 6.6%

3.8

-

some

in

use

current

shown in column D.

are

GRAND

uy

tabulation.

column

+ 0.1

23.3%

$26,930,000

26.8

is in two fair value
improvement is ex¬

5.3

-

16.7%

$6,256,000

...

5

the

$10,634,000 ~

24.2%

4

half of

+*1.1

(22.2)

$52,823,000

Florida

lower

(8,348,000)

6.3%

2, 1961

Total

Kentucky

in the

+ 3.3

1.1
0.5

-

1.3

+ 3.7

on

New

4.1%

tion

FV-FR

9

where

and

-'Add-Classified

8

table,

total

Mirhigan

28

7

states

sas

Kentucky

and column B is the

states

+ 9.2

+

3.8

5.2

10,386,000
4,979,000
4,329,000
3,427,000
3,390,000
510,000
378,000
265,000

Tennessee

have

I

Fortunately, it takes only
time

+ 4.9

1.7
7.7
1.5

1

429,000
186,000

...

Jersey
Virginia

26

of the word does

represent current

short

>

1,425,000

75.8%

11,362,000

25

is to
the current net plant ac¬

in terms

count
and in

•

...

20

of return states. The purpose
express

•

Points

•

$13,797,000

balance in M.I.T. which is invested

a

The

York

not

with

"discussions

commissions

+ 19.6%

%

Value

which

one

3.2%
13.0
7.5
3.1
4.2
1.7
'1.5

2,885,000
' 577,000

-

...

excluding adjustment accounts at
the end of each year since 1939,

favorable regulatory environment
is essential.

means

is

Change in

$1,213,090
4,846,000
2,828,000
1,168,(190
* 1,581,000
644,000
581,000
619,000

"

*'

Wisconsin

tabulation which

a

original

Georgia

29

is

—Dec. 31, 1950—
Amount
Percent

1.2
0.6

California

19

a

III

as

98%, respectively, in states in
the top half of the list. Of the 15%

we

that

million,

New

17

investor.

costs.

the G.S.F. had about $185 million

$41

16

significance. of

Unrecorded

13.8%
13-0
12.4
12.3
5.5
5.4
4.8
2.8,
2.4
1.6

$164,902,000

18

missions, trying to bring to them
the
viewpoints
of
the
utility

Table

in

Original Cost States—

future, particularly with commis¬
sions in original cost or low rate

the

and

This

time

reconstruction

I

31, 1950...

Total

15

material amount of
visiting public utility com¬

spend

value. This is the

which the

at

area

2,590,000
1,391,000

t
Dec.

on

that

used

on

Philippines
*Less—Classified
cost

this factor and are, therefore, slow
to take adequate remedial steps.
I

the

...

14

a
high and stable return or
improving return. Widely fluc¬
tuating rates of return are of great

are

this tabulation:

(1) At line 10, 200%, which is
the percent of book value adjusted
for a constant dollar to the actual
book value as developed in Table
III. This is the area at which the

*Iowa

Virginia

an

true

Three

been inserted in

5,313,000
3,479,000

Indiana

12

seek

managements

1961.

May,

a,996,000

(a)

8
9

10

our data, it is evident that
give great weight to tne pros¬
pective overall ra».e of return. We

of the

real

tabulation for
figures have

Bear, Stearns & Co.

$30,073,000
28,272,000
27,013,000
' 26,809,000
11,880,000
11,656,000
10,423,000

Ohio

3

From

aware

in creating a

profit for the investor. Table IV
is a distribution chart of the per¬
cent of market value to book value
of the 131 electric utilities in the

March 2, 1961
Amount
Percent

Texas

we

perhaps

compare

Fair Return States

No.

restrict improvement in the utili¬
ties' rate of return.

suggesting

is to

Fair Value

Line

event, the rate of return
the industrials does not

us,

see

TABLE

earned by

to

to

ments have been

of Electric Utility Holdings
Massachusetts Investors Trust Portfolio

7

concern

respective book values
how
successful manage¬

Comparison

actions.

1959, inclusive, together
five-year average. The

half of the

an

seeking.

would

electric utilities

market values for

with their

the actual book

Book Vaiue

vs.

in
the

larly, the median rate of return of
electric portfolio is expected
through improved
operations and by security trans¬

states,
with
the
overall rate Of

by

best rate of return

Fair Re¬

objective for the future

are

indus¬

year

to increase both

average

earned

of the

and

is to have

Market

The next step

in

Fund

available,
1959, with the highest at the top

year

percentages

reversed.

our

steel

poor

1961

Thursday, June 15,

.

(1) The percentage of net plant
Dec. 31, 1939, to the present
decline in the value of the dollar
plant.
+
'is offset. +
■;
(2)
The relative amount of
(2) At line 20, 290%, which is
hydrq capacity, and,
the percent of book value adjusted
(3) Related to Item 1, the rela¬
tive growth of the territory.
by the Handy-Whitman index to

in

based

order is

states, with 25% invested in
Original Cost states. Ten years
almost

to

with

turn

earlier,

in

have

or

holdings

Growth

return for

figures, which indicates a
growing source of equity funds,
the interesting factor is the great
change in the composition of the
electric
utility portfolio during
the past 10 years. Currently, about
75%
of
our
electric
portfolio
which

the

millions,
weighted

rapid growth in

states

states

reduced

portfolio

and

these

in

sharply

cost

Table II shows the electric util¬

portfolio, compared

Aside from the

invested

a

.

on

our

inated.

were

with

holdings

Important

been

Our electric

are

York, Georgia and Louisiana.

several

$1.7

almost
at the end of 1950 and
total about $218 million, or

ings
they

of

are

know.

original cost states
great importance „tq us:

Three

(3)

in the best profit

funds
we

and

had

three factors:

indus¬

were

company,

13

by.

M.I.T.'s

that

51.5%

ac¬

invest

factories

is

for

currently

states

(2) With two minor exceptions,
our

thinking

available

on

pointed

be

may

I

In any

Four

count

objective in
and

issues

of

each

in

would be
delegated to prepare these two
sets of figures. If this were done,
the results would vary from those
presented above, due largely to

companies in this cate¬
gory would be reduced either by
improved operations or by elim¬
ination from the portfolio. Simi¬

on

must

our

things

holdings.

the

years pass

We

to

27, also in the
decreasing importance.

of

(1)

of

t i

uia

improve

16

1960.

out:

are

we

lines

on

Several

doing a good
job —that our

6.2%

the

of

property

I should like to think that some¬
one

number of

states

are

assume

which

back-up for this data is
presented in Table I. Our holdings

Utility's, is a
We serve those

earning less

represented
value

Most of the

trials.

The

The "Open-end" Mutual Fund in¬

the

on

than the 6.4% median on the elec¬

current

compared

share,

per

1961, based

interval.

9.9%

to

to widely fluctuating returns; and details

one

31,

May 1, 1961, shows: The median
is 10.9%; the mode is in the 9.0

capital compared to industrials; prefers high and stable

an

by the 81 industrial

latest annual reports available on

thus, make equity financing easier. He discusses utilities' lower rates
on

March

on

pay

stock if convinced earnings will increase and advises

management on what they should do to earn this confidence and,
of return

of

rates

companies in the M.I.T. portfolio

inter¬

an

of' the

chart

the

of

This amount
is equal to $45.25 per share and
would bring
the adjusted book
value
to
$69.25 per share,
or
288.5% of actual book value.

elec¬

our

on

utility portfolio in 1960 was
6.4%. On the other hand, a dis¬

(1) stocks of 45 companies did not sell high

value

totaled $306 million.

tric

r.

steam company, and with 1959 as
the
year
of reference, the un¬
recorded

6.17%.
Rates

Electric

better than the

of return for 1959 of

median rate

.

Maine

6

5.10

5.36

5.14

4.86

4.94

5.18

48

New

5.22

4.68

4.79

49

New

5.17

5.27

4.97

4.93

4.60

5.73

6.64

7.41

4.14

4.29

5.26

5.45

50

24

...

Jersey

York....

Hampshire
Wa+ington

51

Idaho

52

Philippines

13

.

.............

5.00

13.8
•

•

.

,

,

1-"
,>•

1.4

on

'53

TOTAL

$217.7

of
all-

*2 years.

+1 year.

5.23

$41.8

5.16

5.83

•

2

5.11

4 73

4.75

7

V

.

4.62

„

r

5.07

Volume

cost

193

less

new,

Number 6064

depreciation,

is

line

At

13, the

median of

the group.

this/ table,

From

the

that

it

of

stocks

is

45

evident

companies

not selling high enough to off¬

are

set the loss due to the depreciation

be obvious.

Anything less will be
unsatisfactory.
(2) A complete re-examination

market

decision

rate

for.

Despite the good utility markets
last

the

two, only 28,
22%, of the companies show a
profit to the investor when com¬
year

or

pared with the indicated present
properties which have

value of the

been dedicated

to public service.

Fifty-eight companies
the

companies

44% of

or

occupy

-

inter¬

an

mediate position.
The

future,

better

than

hence,

we

however,

the

past.

Some

will look back
it

call

the

Growth Stock."

all

years

the

on

"Era

per¬

of

the

we

Certainly,

have

investors

that

observed

be

may

present and recent past and
haps

have

been willing to pay premiums for
the

of

stocks

Are

rate

of

those

the

Is

program
reserve

investor and to the

place?
to

as

the

know for management to transfer

its

be

purchased from a neighbor,
deferring a unit for a year or so?
(4) Budgetary control and fore¬
casting more than one year in

other,

advance will assume even greater
importance than in the past.
(5) Sales promotion activities

themselves

enthusiasm

shareholders.

power

and

For

confidence

to

reason

dividend action is
which all investors

guage

understand

earnings

fore

the

its

Growth

of

is

when

ties

not

are

some

opinion, such

my

desired

but

130-139

alyst John

140-149.,.

will

re¬

4

150-159.,

5

160-169

and

to

1940

3

1941

4

1942...

5

1943

not deal¬

6

7

others,

9

1947

distribution
is

of

one

curve

degree

only. All electric utilities have the
potential of selling at materially
higher prices. Whether they do
sell

at

levels

higher

de¬

not

or

extent, on the
ability of management, and man¬
agement's understanding of what
pends, to

large

a

1944...

..

stock

What
seeks?

ings

is
He

the

investor

seeks increasing

dividends.

and

maximum
and

premium value.

a

that

it

positive

He

earn¬

seeks

growth

a

When

trend.

such

duces

able

management
for

records

pro¬

reason¬

a

,

the

on

of

basis

The
well

be

may

something

share.

$28

over

170-179

line

market
clude

17

260-269

3

18

270-279

5

19

280-289

III

COMPANY

SYSTEM

(B)

Deprecia¬
tion

Increase

Adjustment

Reserve

Accounts

ysis

Net Plant

5

23

Net

24

320-329

Plant in

25

1960 Avge.

Dollar=$l

Dollar=$l

$1,678

(909)

2,180
(3,637)

1.330

1.681

1.521

3,665
(5,976)
17,041

1.048

1.325

20,050

42,828

.973

1.230

.982

1.241

43,904

47,046

.973

1.230

57,867

15,132

383,379
418,757

12

1950

553,224

87,421

465.803

.

13

1951

639,486

101,441

538,045

72,242

.901

1.139

1952

730,203

114,311

615,897

77,852

.881

1.114

823,501

128,916

699,585

83,683

.874

1.105
1.101

1955...
1956...

1958...

146,046

745,567

45,982

166,271

790,862

45,295

.873

1.104
1.088

58,797

1957

20
21

1,284,289

844,903

54,041

933,775

88,872

.833

1.053

107,902

1.024

1,180,843

139,166

.802

1,305,952

125.. 109

.791

Net

1.014
-

24

plant expressed in 1960 dollars
Net plant at original cost

25

Excess

value

not

26

Excess

value

27

Book value per

28

Book

NOTE:

Retroactive
0

Denotes

the

value

tThe

of

area

adjustments have not been made for purchases and sales of
figure.

of

American

luncheon

a

Co.7 I'""Wall

Street, New

York

Trust

&

Co.

of
ar¬

J.

is

rangements.

that

Clement

in charge of

T.

•

o

r ■

Chemical

Company.

R. Baruch Branch
BALTIMORE, Md. — R. Baruch
and Company has opened a branch
office at 225 East Redwood Street
under the management of

Kennard N. Hirsch and Dr. Cath¬

erine

S.

Kadragic

have

joined

Street, New York City, as mem¬
bers

of

the

editorial

staff

Gallagher-Roach Office

which

publishes Kalb, Voorhis' Financial
properties.

Planning Workbook.

CLEVELAND HEIGHTS.

Gallagher-Roach

and

over

share, but the investor is
...

ask

Niagara Mohawk

future, it is reasonable to assume
an
earnings growth of 100 per
share per year. It
such

market

is

my guess

will

stock

a

that

command

when

he

that

the

100

increase

per

share per year
future.

In

willing

to

180

to

assumed

annual

earnings. The

size of

times

increase

this

indefinitely in the
brief, the investor is
pay:,a premium equal

in

ratio

it does

the

must

me.

amaze

many,

as

Of course, such a high

ratio won't

be

and

attained

be

DoV
•

i^'

lcK

A

m

PL ANT site

overnight

materially

lower

conditions.

various

ments.

imagination of manage¬
' v.

.v

v/

'

'

,*'■

If any

a

management adopts such
goal and sincerely tries to reach

it,. there
and

will

be

excitement

ment

stock

—

renewed

in

depart¬

everv

especially

if

vigor

there

is

option plan.

a
,

want

to

know

about

'

they can quickly assemble for you. They
can even
help you track down the per¬
fect plant site within a particular area.
For example, they helped one company
find a spot where the water is just right
for their special requirements. They
company track down a
labor force needed for the production

helped another

Cer¬

tainly, this prize is a big enough
reward to challenge the best ef¬
forts and

you

Mohawk's area development specialists.
They've got facts about labor supply,
market potential and raw materials right
at their
fingertips. What they don't have

-

may

under

do

UPSTATE, New York? Just ask Niagara

more

convinced

is

will

earnings

what

a

than $46.00.
In other words, these figures im¬
ply that, in time, the investor will
be willing to pay an $18 premium
price of

IN

jpp

v

of industrial

photographic supplies.

Guide tc

a

Growth Rp Ration

The following are
the

areas

considered

which
in

but
might

few of
well be

(1)

go on

The importance of an

ade¬

improving rate of return




will

for hours about the

profit potential UPSTATE. But why
not tell us
your problem so we can get
down to specifics, such as which com¬
munities offer financial assistance and

bet if

incentives for

you'll be passing up a good
you don't consider UPSTATE,

New York in your

planning. New York
is the most highly diversified area in the
Union. And it has the highest average
labor pool. Natural

resources? UPSTATE

call, wire,

or

new

NIAGARA 8LT

industry. A phone

letter will get the ball roll¬

ing. Contact Richard F.Torrey, Niagara
Mohawk Power

Corporation, Dept. M V,

300 Erie Blvd., West,

Syracuse 2, N. Y.
Telephone GRanite 4-1511.

trying to reach this

quate and stable rate of return or
an

we could

and

a

goal:
v.

quantity, big
plenty of low-cost elec¬
tric
power. Our transportation facilities
are
excellent, providing overnight
access to the
great metropolitan markets
of the northeast. And
you can reach
the
seaports of the world through the
new St. Lawrence
Seaway. Our educa¬
tional system is second to none, and
there's still plenty ofelbow room for fish¬
ing, hunting and other leisure activity.
tracts

we think

of skilled workers and foremen in its
•

has clear, clean water in
timber

H MOHAWK

INVESTOR OWNED-TAXPAYING

—

Inc.,

Lee Blvd., under the management
of Howard L. Rubin.

per

that, on the average
long period of years in the

a

Ohio

Co.,

has opened a branch office at 2490

.

per

Conrad

Lippman.

Kalb, Voorhis & Co., 27 William

red

convinced

the

Associa¬

Monday, June

on

asso¬

Mr. Causey

formerly with the

of

meeting

Securities

be held

Frederick

has announced
Causey has become

New

to

Company B is currently earning
$2.00

Viscose

19, at The Barclay Hotel.

With Kalb, Voorhis

$38.32

1960 dollars

Pa. —William
Vice-President
and

Brown,

Treasurer

tion

City,

Bank

$19.25
19.07

...

H.

recognized.

ciated with their firm.

$445,713

not

to

in

Drexel

York

$1,751,655
1,305,952

recorded.*...

value adjusted

is

decline

125,109

;

recorded, per share..
share December 31, 1960, pro forma

RCND

the

tMedian 224.5%.

141,114

1.000

which

offset.

Philadelphia

was

1,041,677

304,813

1,610,765

which

is

Charles

110,492

242,612

at

area

dollar

93,582

.810

271,387

1960

23

188,988

1,033,891

1959

22

..

.861

215,935

..

PHILADELPHIA,
,:!The
the

Rapcf

92,475

.871

957,133

..

ORegon.

28

at

50,006

.

891,613

17
18

is

course

phoning

by

or

Chas. Causey
Joins Rand Co.

50,626

1953

the

Corporation, will be guest speaker

86,727

1954

for

To Hear June 19

31

at

82,284

14

15

the

Phila. Sees. Assn.

52,678

35,378

340,551

,

Over 380

1.709

77,027

81,627

both

370-379

30

1.814

1.643

75,073

29

1.352

1.300

500,384

to

1
3

360-369

1.435

1.203

458,452

340-349
350-359

(532)

11,204

1948

26

28

2.011

71,836

1949

apply

open,

School,

27

2.111

323,460
319,546
316,204
315,672
317,852
314,215
325,419

11

they

5-2700.

1

......

1960

1.670

♦

as

be secured by writing to The New

Dollars

$2,121

1.591

•

of various indices, an¬
cycles, use of options,

330-339

($677)
(3,914)
(3,342)

«

.

building

and
will
continue
through July 6. Information may

310-319

of Labor Statistics

in¬

of

mechanics

Registration

300-309

Value of

stock

will'

use

of

now

290-299

22

$687,495
(1,429)
(7,871)
(6,062)

•

to

It

movements.

technical approach and the funda¬
mental or economic approach.

20 4290

21
(F)

1947-49

in
v

$324,137

emphasize the

approach

and other aspects of market anal¬

58

U. S. Bureau

Net Plant

Excluding

p.m.

will

.

(G)

(E)

(D)

(C)

7:50

the

250-259

$19,479
23,273
40,628
49,133
56,643
63,850
66,676

.

to

charting

240-249

SOUTHERN

an¬

the course
weeks, on

seven

course

230-239

10

16

6

16

rather

strengthening,

Miller,

for

run

The

Total

11

G.

.

investment

by

Monday and Wednesday evenings,
from

15

while

do,

the

record, no
be expected.
market for this stock might

earnings growth

4

190-199

9

your

period of time, the

investor
is going to bid that stock up.
V
By way of illustration: company
A is earning $2.00 per share and,

3

..

180-189

8

factor

minimum deviation from this

a

..

.

19

gives its

6

7

quarter of next

417,578

..

1945

difference

"I

14

$343,616
346,733
360,174
365,337
372,315
381,702
380,891
397,255

..

1946

•—the

to

alysis

Accounts

8

one

2

Conducted

129%

charts,

Adjustment

2

are

Under

Research, 66 West 12th

Street, New York City.

210-219

31

for growth stocks and
non-growth.
Actually,

there is but

Companies

200-209

Dec.

regarded. In

curves, one

for

No. of

to Book

4220-229

Excluding

1939

the Summer Session, begin¬
ning June 26, at the New School

13

Gross Plant

ing with two distinct distribution
one

% Market

No.

Value of Net Plant, Dec. 31, 1960, in Terms of 1960 Average Dollar

No.

ing

for Social

May 1961

12

TABLE

Line

for

professional, will be offered dur¬

short, you will be able to do all
the equity financing you need to

THE

differentiation

a

Utility Cos. in the
Stearns & Co. Tabulation

demon¬

how is this confidence to be trans¬

1

is not warranted. We

Electric

(In Thousands of Dollars)

growth stocks

so

131

Bear,

Line

say

Ap¬

Stock
Movements,"
the businessman-in¬

vestor rather than the Wall .Street

bring about
earnings trend.
But

will

(A)

high,

IV

"Technical

the

on

to

80 increase in dividends

an

year,"

to

Stocks

electric utili¬

course

proach
geared

3

shareholders

on

Stock Movements
A

10 *200

ability

the subject

too

some

considered

are

and

high

why

on

TABLE

1

Value of Dollar

on

Offer Course

stock will then be a
full-fledged "growth stock."
In

management

strate

1961.

% of Market Value to Book Value

from

objective, it will not be long be¬

From Non-Growth Ones

rather

7,

companies

dividends fairly
consistently in the years ahead. /

speak

June

to

amount in the first

this

by Mr.
discussion

lan¬

a

seem

the

of

statement

Chutter
as
part
of a panel
the 29th Annual
Convention of
the
Edison Electric
Institute, New York City,

the XYZ utility in the first
quarter of this year and I am sure
that I will get another one of like

importance

prepared

a

at

perfectly.

When your
ceived

*From

or

some

will be scheduled with great care.
If management is convinced of

which investors feel will increase

I shall not

annual

earnings which might reasonably
be paid out in increased dividends
each year. This is the best way I

unneeded blocks of power be sold
to a neighbor? Can needed

diluting, the interests of the

investor.

35

the

to

come

what

in
earnings should be.
they should select that per¬
centage of the annual increase in

the capital expenditure
overly ambitious? Is the
capacity excessive? Can

than
old

Then

is indicated.

area

the

to

increase

profits

improving the
If
not, definite

return?

(2631)

Management must

be called

may

incremental

their earnings and

Differentiates

mitted

business

action in this

(3)

or

structures

added

on

of the dollar.

in

The Commercial and Financial Chronicle

.

of

recognized.

(3)

»

36

(2632)

The Commercial and Financial Chronicle

P

be considered more as a single
type whether closed, open or dualcycle. Appraisals should be made
of

the

relative
and

nents

merits

of

the short-range 1968 Atomic

meet

Energy Commission objective.

regard, Westinghouse has ex¬
trapolated data to a "fifth gen¬
eration" plant for 1968 and pre¬

a

proposed plant, and utilities should
Continued

from page 1

make this type

of natural uranium
plant unattractive for use in our
high-cost areas.
In
England,
with their cost
structure, it is stated that atomic
power will fall below the cost of
conventional power as base load
.

erally

certain

would

the

to

accrue

achieved

by the

of higher temperatures

use

be

only

slightly enriched uranium.
Experience in construction or op¬
advanced plants
available, hence the
English program to date, although
eration

such

of

not

yet

does
not
give us a
short- range solution for competi¬

extensive,

in the high-cost

power

United

the

next

Plant

of plant consid¬

type

at least for the reactor

vided

still

operating experience for the Han-

ford-type, water-cooled, graphite-

Hanford.

There

other type.

for

than

reactor

moderated

any

However, we have

our
we

no

achieve

can

followed

are

manufacturers

has

it

studies

sorted

and

engineering

many

been

as¬

the

con¬

cluded

by some that it would be
economically beneficial to gener¬
ate

by-product electric power with

the

plutonium production re¬

new

actor

construction

under

how

at

Hanford.

to

we

of

merits,

megawatts

when

operating

discussion

resolve

to

open or

650

this

try

the

annual

25th

a

tion

of

tute

on

type

when

ized-water reactor

estimated

The

for

operated

power

of

cost

electrical plant

tional

the

only.
addi¬

By

considering

that

time

previous

each.

goes

still

1 Full

tage

of forecast

costs

for

text

Nichols
issue

of

this

appeared

of

the

that

as

in

earlier

the

talk

June

by Gen.

13,

and

1957,

Financial

The South¬
Edison plant rep¬

California

ern

what

resents

siders

encouraging. Technologi¬
cal progress is such that we can

time

of the Atomic Energy Commission

reactor.

The

short-range objective of competi¬

at

of

for

before

pending

and

waiver

and

for this plant is

cost

de¬

this

ap¬

construction
from

the

it

basis

quate

done

completed,

1965,

by

is

as

it

experience

should

the

Hence,

we

can

de¬

c

of

and

siderable

safely

switching

The

breaker is

conventional

capacity,
ed.

It

And,
gas

so

units

of

less physical

space

is need¬

requires less maintenance, too.
because

does

not

the

sulfur-hexafluoride

burn,

there

are

added

In many ways,

in

every area

of its

operations, PP&L is constantly seeking
methods and

out

new

that

mean more

new

equipment

First

of this

Size

unique sulfur-hexafluoride-gas-

filled circuit breaker—in service

on

the

220,000-volt transmission line out of the

can

Company realize the PROGRESS
sary

This

way

the

neces¬

to effectively meet increasing cus¬

tomers' needs, attract and retain com¬

petent people and stimulate and main¬
tain investor confidence.

•

1970's.

real achievement

a

is

reasonable
million

plants of
or

will

over

and

area,

will

be

40-60

built

to

be

per

of

the

built

in

million Btu

million

in

assume

kilowatts

size of 300 meg¬

a

high-cost 35c

kilowatts

medium-cost

25c-35c per million Btu areas. Cer¬

tainly

the atomic

if

industry

can

capture all the large plants in the
high-cost area and a part of the
large plants in the medium-cost
there

area

to

would

sustain

be

sufficient

reasonable

de¬

velopment of the art and develop¬
ment
of
manufacturing
tech¬
niques.
This would represent a

happier day for the atomic
ufacturing industry.

man¬

utilize plutonium and

point

the

method

ress

is

we

more

in

to

the

we

needed.

attain

difficult

attain

can

view

progress

best

Certainly

of

this
to

many

and

additional
tained

economies

just

The
prog¬

reactors

im¬

more

engineering,

a

can

predict.

water

provements by research,
ment

of uranium.

Industry's Problem

Utility

is that

the utility industry

of these reactor types

final

or

ous

economic

answer

the

its

scatter

not

does

no one

is the obvi¬
to the most

Care
utility

power.

that

taken

facing

the big problems

One of

must

too

support

must be taken
only the number

that

insure

be

industry

Care

widely.

to
of

projects that the industry can
adequately support are undertak¬
should

There

1

en.

be

a

follow-

concepts well along
to develop the most information
and experience from them rather
than jumping too rapidly to the
support of promising but littleadvanced projects.
Also, a great¬
through

er

on

effort must be made to develop

all aspects

of the fuel cycle.

integrated

power

An
industry must
able to use pluto¬

ultimately be
nium
as

U233

and

well

as

U235

as

fuel.

a

I would

like to discuss cer¬

now

economic, administrative and

tain

political factors that may make it
easier

difficult for atomic

more

or

to compete with conven¬
tional plants.
First, we must rec¬
ognize that atomic power is com¬
peting with a moving economic
target. No one expects that tech¬
nical improvement in fossil-fuel

develop¬
also

and

can

plants Will cease.
We are con¬
stantly building larger and larger
and
more
efficient conventional
plants.
Moreover,
tries

our shipping indus¬
recognizing that trans¬

are

portation costs must be reduced if
fossil fuels are to compete with
in the higher cost
drop in price
fossil fuel in the New England

atomic

power

areas.

The

of

recent

may be attributed in part to
competition of atomic power.
the last three years the price

area

the
In

had

dropped more than 15%.
coal
companies are now
alert to the competition of¬

Our
more

fered by the atom

and

are

making

effort not only to hold or
price on coal but to
encourage
reduction
in
freight
rates and are also making efforts
to develop new ways for trans¬
porting coal.
The Consolidation
Coal Co. has made a pioneering
every

to reduce the

effort in liquefying

ing it by pipeline.
line

cial
of

existing

coal and

mov¬

The commer¬
for the supoly
Illu¬

Electric

Cleveland

The

minating Company has been in
operation more than three years.
The
two

operating factor for the last
has been 97%. Consol¬

years

Coal

idation

is

time that they

optimistic
could build

be

at¬

Atlantic

saving

Coast

at

a

this
much

at
a

considerable

normal

over

means

of

transportation.

They have hopes that they can
make economies bv increasing the
size of the

pipeline and by better
de-watering prob¬
lem
prior to use in the power
plant.
If such a pipeline is in¬
stalled to the East Coast, transpor¬
solution

to the

increased

by

alone. Plants from

supplies

available

of

out

power

larger pipeline for supply of the

I have little doubt that from

technical
attain

operation. Only in this

early

10-year period from 1970-

it

awatts

;t

efficient and economical

medium-cost

or

the

open up about
utility market. Look¬

10-20

market

safety benefits.

con¬

25c-35c

would

the

a

1980,

same

it

of

ing at

smaller

the

Btu
in

ment would be

the

than

every

standpoint of 'the atomic
industry this accomplish¬

power

power

circuit

and

can

and

inroads into the

areas

that

new

on

opinion

From the

predict that

at high

power

plants

constructed

million

per

fuel

voltages.

«;

than

my

that atomic power will make

ade¬

can

In

Looking at the long-range pic¬
ture, I am reasonably optimistic

building plants of this type that
are
competitive in the high-cost
areas.

on

political fac¬
of investor-

rather

factors.

be

because

J'l

may

power
more

support should be given by gov¬
ernment and the utility industry
to see that they are constructed.

and

an

be

and

target

do attain

support

necessary

should

life¬

selecting

for

the

1968

we

depends

utilities

owned

would

its

over

plant

objective
and

not

or

administrative

economically competitive with

this

or

technical

Co. considers that this plant

plants

Whether

tors

in the high-cost

before the

on

date.

The Southern California Edison

conventional

successful accomplishment

areas

financial

research

a

tive atomic power

Commission

Energy

velopment

be,

con¬

this

done

type

Atomic

rived

of

actually

attain

asks the government for

be

costs

operation

con¬

proposal

present
the

the

and

Westinghouse

be

can

this

with

what

actors is

half
*

made

The progress made in water re¬

the closed-cycle water reactor can

Chronicle."—Ed.

manu¬

be

can

Beating AEC's 1968 Target Date

the
gross

for

feel

"Commercial

375

ment

water plants should

on

at

If the research and develop¬

ad¬

I

in

plant

rated

time.

monies allocated for building and

adapting this plant to power are
written off, and by taking advan*

Edison

States

pressur-

with

hope

are.

at 259 gross mega¬

capital

well

would

electrical, and the Southern

proximately $78 million.

very

I

area.

arrangements

struction

use

may

them

timely construction of such
a plant by an investor-owned util¬
ity, for I am a strong believer that
only by building can we really de-(

The

being taken of the chief

of

that

Btu

termine

conven¬

the

permits

progress

for the

probably best

of

together

drift

to

and

built

megawatts electrical.

Insti¬

difficulties

some

design and build 400-megawatt
for start-up in 1965. The

million

will

Italy

United

3,

of reactor

merit

being

Selni

the

and

charge for fuel for five years.

Electric

Edison

June

vantage

lion.

Edison

plant at Dres¬

prices given per kilowatt for in¬
stalled capacity and kilowatt-hour
costs would be competitive with
coal-fired plants in the 35c per

costs. The Indian
being built by Con¬

California

will

1957, I made the
statement1 that the boiling-water

tend

is $95 mil¬

the

of

plants

that

In Chi¬

dual-cycle plants.

at

improvements

to

the

'^versus

closed-cycle

dual-purpose reactor for the pro¬
duction of plutonium and by-prod¬
uct
power
and
760
megawatts

as

I

for

relative

the

nological

power

plant

assistance

During

economics. Likewise,
be made with the
sodium-graphite system, particu¬
larly in large sizes, and the or¬
ganic-moderated. The fast -breed¬
er cycle may turn
out to be the
the

prove

Electric has stated that tech¬

eral

ac¬

France, rated

plants.

cago

of

capacity

in

watts

cerning this type of reactor with

would

a

con¬

foundation

Edison

Although

exemplified by the proposed de¬
sign for the SENA plant ^t Chooz,

willing

are

their confidence

up

data

construction

the

this type of plant is

proposals for turnkey fixed-price

most economic in the latest studies

have

reached

now

point where they

back

not

The electrical plant found to be

have

from

of

and

by Edisonvolta
furnish additional
experience and information.
The present state of the art for
in

least two of

After

wealth

firm

a

plant

perience with water reactors. At
our leading electrical

experience for utilizing this type
reactor for producing
power.

of

The

solidated

competitive

States, due primarily to
early start on naval objectives,
have acquired a wealth of ex¬

ac¬

type

plant, there is no reason
to
assume
that
they cannot be
solved.
A representative of Gen¬

the

by

Shippingport

needed

tions

United

dual-purpose plant at
is probably more

proposed

reasonable

are

this

for

this

in

will allow continued future reduc¬

atomic
power in the high-cost areas prior
to the Atomic Energy Commission
objective date of 1968.
In the

part, is the

typified

as

plants,

den.

and operation of these plants pro¬

that

action

S.

is also

The state of the

•;

gas-cooled types of re¬
actors we should be able to use
higher temperatures coupled with
enriched and improved fuel to im¬
the

and defects have been encountered

cumulated

water-cooled and
water-moderated
atomic
plants,
the forecast is far more optimistic.
In fact, I personally believe that
of

being made.

porgress

In7

certainly will have its place ulti¬
mately as a way to get the most

generations

to

courses

reactor,

;

progress

area.

dual-cycle type

open, or

Will and should be made in

best way to

Point

certain

U.

in

plant in

Certainly prog¬

to be better.

these lines of endeavor.

monwealth

Yankee.

States.

if

power

coal-fired

million Btu

oiit
ress

plant is represented by the Com¬

naval

short-

for which there
is extensive operating experience,

for

ered

combination of both.

or a

the

450-

with

Thursday, June 15, 1961

since 1953 has completed and op¬
erated
at
least
three
successful

objective of economic power
high-cost
areas
of
the

regard

In

of water

closed-

or

for

..

considering the closed-cycle
water reactors, the United States

the

United

open

In

prestige, I doubt if
experience gained will add

In

States.

Hanford

The

The

areas

is

it

not

or

size

per

complishment

government

much toward achieving our
in

35c

a

competitive

unit

same

Successes

national

range

the

cycle

single atomic electrical
generating facility in existence or
planned.
Although
proceeding
with
this
project
may
in
the
minds
of
some
people increase
the

performance

the

er

the largest

our

on

price and performance

benefits

economic

more

manaufacturer rather than wheth¬

available in the Pacific

Northwest, it has been concluded
that

manufacturer

the basis of

of

excesses

the

and confidence in the designer and

plant if built would, in effect, be

and

of

short-term

power now

in England it is now gen¬
recognized
that
greater
will

tive

megawatt

by adding electrical facilities. This

economies

is

certain

How¬

by the end of this decade.
ever,

dicted

select

facturing U235, and other consid¬
erations, such as the possibility of
marketing on a long-term basis

In

this

compo¬

combined features of

.

size

500-1,000

meg¬

the competition

large

less

tation

costs

will

be

reduced

and

afforded to atomic
using dry and saturated power will become greater. Cer¬
steam/
although
this
horrifies tainly such competition is good
some
of our advocates
of more for the industry and good for the
efficient steam cycles, appear to* United States.
The important ob¬
be feasible.
Likewise, it can be jective in the United States is and
expected
that progress will be should be the most economic pow¬
made in developing atomic super¬
er available for each area, regard¬
awatts

Company's

new

Brunner Island steam-

electric station—is the first of its

voltage in commercial
is

the xesult.of

tween the

turer in

use.

high

This big unit

cooperative effort be-,

Company and the manufac¬

searching for




more

efficient

ways

heat.

A

combination

of

a

base plant with a separate atomic

superheat plant initially
out

to

be

most

integral superheat
of

may

economic.
or some

pressure-tube reactor

turn

Later

variety
turn

may

of

achieve

technical

methods' used to

it.

Likewise, progress is
being made in the transmission
of electricity at lower costs.
All
of
these developments
make
it
more

difficult to predict the exact

Volume

atomic

that

date

193

Number

6064

will; be
given price
area, but the trend will be to push
relentlessly in toward our good

competitive

in

The Commercial and Financial Chronicle

.

.

eliminate regulation of the atomic

neering design and by
information policy.

It is difficult to foresee

There

conclusion, I would like
emphasize that real progress

would

Supply Monopoly

ministrative

factors

considerable

have

"

necessity

that

effect

Commission

Energy
in

area

been

review

a

fuel

Certainly

1959.

in

it

recognized

that

the

price

reduced.
that

of

into

U235

of

has

time

under
prices

1954

was

estimated

proximately

$2

quently they
a

savings

million.

to

in
ap¬

A

should

$600

of

$8.00

desire to buy

next

I would suggest that each
sion

at the

for

new

It

Likewise, each

for the ensuing

use

based

from

cisions

mittees.

depending
made.
the

affect
how

on

decisions

only

Likewise, the attitude of
industry toward sup¬
new

affect

the

ture

of

the

industry
of

rate

may

on

the

could

use

actual

current

January the price for plutonium
would be established

use

by maintaining the present ratio
with the price of U235.
This pro¬
would

cedure

such; time,

be

continued

there

is

for

as

regard

foreign

to

possible

will

not

is

suggested
nium

savings

be

Bankers

for

of

and

National

Bank, Portsmouth to elect

a

address

29th

Electric

June

7,

by

Annual

Gen.

Nichols

Convention

Institute,

of

New

Edi¬

York

City,

1961.

.
.

i

special tour of

Building to engage in
business.

Officers

a

member and

are

A.B.A.

Francisco
held

in

will

October.

be

Bank

serve

Hoffer, president; Jack M. Sugar-

member

man,
vice-president; F. D. Selander, secretary; and E. C. Hof¬
fer, treasurer.

visory

a

of

Heard,

to

.

one

by

the

Association

Guests

Street,

securities

of

Bank,

to

in

engage

Vice

as

t-

Chairman

expected

of

a

The

New

Hampshire

Association officers to

President, First
dent, Vice-President,
urer. Speaking to the
are

Joins Evans MacCormack

afternoon

(Special to The Financial Chronicle)

ANGELES, Calif.—Guy Her¬
ring has joined the staff of Evans

Spring

&

Street,

Co.,

453

members

the

terms,
the

session

meeting
Bankers

Treas¬
group at the
and

will

be

the

System, M. S. Szymczak, who will
discuss
"Present
Day Monetary
Policy." Governor Szymczak is
leaving the Board this month after

the

Herring who has been in the in¬

many

vestment business for many year?

State

of

years

Harrison

sioner

formerly with Dempsey-Teg-

are

representatives

of

the

Federal

Reserve, office of the
Comptroller
of
the
Currency,
Federal Deposit Insurance Corpo¬
ration

and

Bankers

officers

of

Associations

eral New

the

of

State

the

sev¬

England states.

Form White Bros.
(Special to The Financial Chronicle)

SAN

JOSE,

has

been

333

North

in

are

Calif.—White

formed
26th

securities

a

with

Street

business.

Bros,

offices
to

at

engage

Partners

Theodore J. White and Doro¬

thy H. White.

Banking

service.
S.

with the firm.

be elected

Vice-Presi¬

Governors of the Federal Reserve

South
of

attend

to

Styles Bridges,

a

veteran Governor of the Board of

LOS

MacCormack

Merrow,

Ad¬

Man¬
of

Mrs.

Grand C. Cluff is also connected

At the annual business

business.

Saturday

on

and Mrs. Norris Cotton,
Congressman and Mrs. Chester E.

tion.

FRANCISCO, Calif.—George

Sansome

old

the

Advisory Committee, in this posi¬

(Special to The Financial Chronicle)

SAN

and

of the

some

morning.

Re¬

succeed

President

National

be

elect

Stockholders

chester who has served two

Miller Opens Office

to

of

to

at

San

Federal

Committee

Amoskeag

Also

Boston

the

in

meeting
the

of

of

Marston

convene

Convention

stockholders

William

alternate

Nominating

Committee which will
the

securities

are

will

Senator

elected

DENVER, Colo.—Industrial Secu¬

special

which

A
breakfast
for
the
20
past
Presidents of The New Hampshire
Bankers Association will be given

Senator and

member of the A.B.A.

Form Industrial Sees.

with

homes of Portsmouth.

mem¬

succeed
Ralph A. Mclninch,
President,
Merchants
National
Bank, Manchester who is com¬
pleting two terms. Also- to be

before

the

i

ladies

special lecture and film

a

to
*An

the

an

Situa¬

"Holland and the Dutch"

on
a

the

ber of the ABA Executive Council

program.

Economic

planned

for

feature

Association

First

Boston

from

The

Hampshire

The

been

events

the

by Harlan L.
State Vice-Presi¬

New

of

A full program of entertainment

New

of

Bank

returned

Far Eastern

has

com¬

the

just

tion."

conducted

President

government participation

of

members

Goodwin, ABA
dent

na¬

HOW MUCH

VOIGE^P

Commis¬

King

of

Department

the
will

Valley Forge Branch
Valley Forge Securities Company,
Inc.,
at

27

City,
J.

has

opened

a

branch

office

William

under

William

Street, New York
the management of

Landenberger, III.

Fallon, Kelly Branch
VAN

NUYS, Calif.—Fallon, Kelly
Company, Inc., has opened a
14401 Sylvan St.,
under the management of Harold
&

branch office at

Pelton.

as

the

0 YOU HAVE IN GOVERNMENT?

1

'

.

f<

'

w

r

%

^

a

*

supply of U235
bilateral agree¬

be

with

rangements.

would

,

use,

should

ments

meeting

who

until

'.better
technical basis for establishing the
value of plutonium for fuel use.
•
In

A

American

achieve¬

the extent and

standing and special

Hampshire

are

from

has

the

be

President and

and

City

extended business trip to the Far
East who will discuss "Factors in

of

meeting to

York

"Factors in the Pres¬

National

who

the

Association

business

the

several

schedule,

power

port of this

in

this

First

the

jointly with

Hooper,

Hutton

and

operating the government
plutonium plants. Likewise, each
for fuel

the

rules for atomic power.
Administrative and political de¬

pro¬

year.

costs of

fuel inven¬

the

present

ground

may

of

O.

E.

and Ralph
Binney, Vice-President of the

M.

held Friday afternoon June 16 the
member banks will hear reports

eler & Co.

long

11%, the increased cost would
be in the order of 0.3 to 1.0 mill
eliminate

and

was

military

inventory is .carried at a rate of,

than

At

However, these

progress

held

Hampshire
Savings Banks.

based primarily on

are

President

W.

ent Economic Picture"

made

New

Pacific Coast Stock Exchange. Mr.

be

say,

more

time.

same

production for military

tory and make the disposal of .plu¬
tonium more, difficult. If the fuel

kilowatt-hour,*;-which

of

cost

current

only so long as
there is any military requirement,
the price
for suitable domestic

ownership of atomic
fuel, with "The view ©t avoiding
government
monopoly and de¬
creasing government regulation in
the
field
of
atomic ; power.
It
shodld be borng in mind; however^
that private ownership would in¬

per

actual

the

fiscal year.

kilo¬

question

the cost of the

the United States.

and

meeting is

of

areas

and

net re¬

cated private

crease

parts of the medium-cost

17 at the

Nashua Trust Company. The June

power

January the Atomic Energy Com¬
mission would announce the price
to be paid for plutonium for fuel

price reduc¬
of private
versus
government ownership of
atomic fuel.
Some parts of the
utility industry and some govern¬
ment representatives have advo¬
the

the

processing is permitted, these
charges would be established

toll

So

Linked to the

a
price for
ensuing fiscal year

the

on

duction
toll

Jan¬

establish

for

based

watt-hour. T

is

would

U235

to date should be beneficial to the

tion

atomic

the Atomic Energy Commis¬

uary

cost

a

1970s

announcement

Association

that

S. Miller has opened offices at 114

of
money since 1954.
The net effect
of bringing the pricing policy up
result in

believe

plutonium, the desire rities Corporation has been formed
influencing technical de¬ with olffices in the C. A. Johnson

Urges AEC Review Price Program

4%% to

duction in terms of mills per

in the

Further, there

to

should be competitive not only in
the high cost areas but also
in

by the difficulty of predict¬

forget the seven-year provision
for
prices and have an annual
price redetermination after 1963.

plutonium for fuel use after
probably will change in the
same
ratio as U235.
Use charge

industry and

time.

reason

16 and

New

will discuss

by Wil¬
liam J. Barrett, President of the

also for the Atomic Energy Com¬
mission if we were to continue to

1963

to

early

our

to justify.
Perhaps our
pricing policy would be
simplified for the industry and

for

4%

price

overall

any.

increased

every

compli¬

difficult

U308.

pound. Subsequent reductions
may be in order in the future if
the average price of ore continues
to decrease. The buy-back price

from

been

a high weapons price, and
also, I am sorry to say, by certain
political considerations that are

per

the

has

sign by

May 29 the Atomic Energy
announced
a
price
reduction of U235. The new price
is based on a U308 price of $8.00

increased

is

June

on

of

Company,

con¬

to

son

to avoid

On

represent

question

meeting and

its

of

fuel value of

Commission

is

The

military requirements, the
difficulty of predicting the true

Right now you can pick up large,
quantities
of uranium
for
less
than $5.00 per pound of U308 if
you

concerns

government

plutonium

cated

may

of

pound

per

proper

the

ing

stabilize somewhere between $5.00
and

plutonium.

for

How¬

ultimately

remaining question

for

convene

hear authorative

by Lucien

Economist

Wentworth-by-the-Sea, according

ment but also

ample,

necessitated

decrease for the

and

much

as

difficulty of the industry in
predicting future prices for the
overall fuel cycle.
Take, for ex¬

most of these contracts ex¬
pire in the relatively near future
and the average cost of uranium
years

objective of having

the

ever,

10

the

nopoly.

mining and milling uranium and

feed

by

the fuel cycle as' possible out¬
side the present government mo¬

Subse¬

for.

principle

of

significant decrease in the price
uranium ore.
The government
encouraged the development of
encouragement

the

annual business

addresses

Bankers

vention

technical

of

will

greetings and remarks to
•* 1. / ;
: ' - '7
;
Friday evening session,

the

the bankers will

Hampshire

Association

prior to the Atomic En¬
Commission objective date
1968, if proper decisions are

predictions

mate

Likewise, there has been

prices contracted

diffusion

gaseous

Although the reduction in

accept¬

of

such

government

ance

a

the

atomic

Atomic Energy Commission would
be one more step toward the ulti¬

completed with

approximately

the

we

New

ergy

of the former apparent savings of
toll processing, at least the

be

tne

cost

billion.

were

of

at

established

in

At

cost areas

the price of U235 eliminates much

additional
diffusion

construction
were

effect

processing of private uranium

plants.

improved.

plants

true

a

Specifically,

can

made at this

beneficial

in

establishing the
in 1954 has been

For
example,
the
complex
of
gaseous

demand establish

industry would be to permit the

factor

every

difficult financial

a

value.

toll

time

could

achieve atomic power compet¬
itive with fossil fuels in the high-

Another factor that could have

a

this,

some

U235

Practically

went

price

for

j

of Atomic

costs

and

ence

presently a government mo¬
nopoly. I had the pleasure of repre¬
senting the Atomic Industrial Fo¬
make

plutonium

of

The

37

the group.

To Convene

is

Moreover,

power.

-

to

atomic

marketing problem during the
period prior to the time experi¬

is

to

create

to

and

the

actual cost of atomic power. Take,
for example, the fuel supply. This

rum

limited

consumers.

ownership

would

may

on

be

In

extend

N. H. Bankers

being made in achieving economic

of

private

also political and ad¬

are

vigorous

a

truly free market in U235 and
plutonium
because
the
market
a

licensed
Fuel

(2633)

industry.

power

any

of fossil fuel.

sources

.

consistent

domestic

*

as

ar¬

The only departure
foreign pluto¬

that

be

purchased only on the
quantity commit¬
agreed to in the bilateral or

resulting from price reduction in

basis of specific

this disadvanta¬
be minimized
by
utilizing
some
system
for
gradual transition to private own¬
ership, perhaps by permitting a

ments

U235.

Of course,

geous

effect could

installment

deferred

from

would

be

to

Another

the

would
of

deferred

installment plan
costs

approxi¬

mately one-quarter of what they
would have been without such a
transition

industry

in

period.
However,. the
should: recognize that




.not

administrative

factor

1
7

|

:

.

$

V

j $. '

liipli

-

1 7
v.

may

understand the political issues and
government becomes more than a
safety into plants, atomic power whisper. • The Detroit Edison Company, like many other companies, sponsors a bipartisan course in
may be handicapped in the popu¬
Applied Citizenship to encourage employes to take an active part in public affairs. • Already more than
lated high-load centers where it is
most needed. Certainly it is pos¬ 1,500 Edison people have voluntarily taken these educational courses devoted to the study of our
sible to achieve safe atomic plants political processes. Through such programs as this, which encourage individual participation at the
other than by building plants only
precinct level, our citizens can give a greater effectiveness to our democratic form of government.

the increased

private ownership rto

price

I- fkktjti

years,

reduce

the

I

A suggested method
make private own¬

succeeding 10 years.

This

and

progress

or

10

time

I /;;S.
determine the rate of
atomic power makes in
becoming competitive is the ques¬
%
V &
tion of safety and regulation. Cer¬
tainly all of us want safe atomic
Jw
7
plants.
However, there are ways
to provide safety other than just
by isolation. If the trend should
continue toward greater isolation IS IT JUST A WHISPER? When citizens in a republic discuss and
rather
than
toward
engineering actively participate in the party of their choice, then their voice in
that

payment

leasing optional for the
and after the op¬
tional period to require the in¬
ventory to be purchased and paid
for on an installment basis over
ership

next

to

be the current fuel price.

somewhat similar to the Euratom

Agreement.

time

the

desert

transmission
.

must-

be

and

utilizing

lines.

This

resisted

long
trend

by-good ?engi~.

DETROIT EDISON

An Investor Owned Electric

Light and Power Company

C8

The Commercial and Financial Chronicle

(2634)

heating market. As dustry is doing, I think the answer
heating, there can be found in public opinion
are
some
real
cost
hurdles
to surveys, and
also by analyzing
overcome
in
this
part
of
the election results where the electric
country. Nevertheless, in our little utility issue has been involved.

in

believed, with various degrees of

that the job

enthusiasm,

of sup¬

plying electric power should be
a
governmental function.
They
investors

whose

entrusted to
primary incen¬

tive

profit.

These advocates

not

could

it

felt

was

be

government ownership claimed
vociferously 'that the regulatory
of

could never adequately
protect the public interest.
process

In

spite

sistence

on

of the continued in¬
this theme by govern¬

is

there

advocates,

ment-power

ample evidence that the combina¬
tion of regulation and competition
has done an eminently satisfactory

job in protecting the public.
It
is
also
clear that,
for
most

with

satisfied

well

is

public

the

part,

the

the

pretty
the

way

public utility in¬

investor-owned

functions
within the
framework of existing state and
dustry

Federal regulation.
for

Let us discuss,
each
of these

moment,

a

utilities

all
P.

U.

for

the

Competitive

role

competitive. In order
we have grown, and
expect to grow in the future, our

instance

the

from

dropped

price of a
hour
has

average

kilowatt

-

about

cents

6

the time of Edison's death in

at

In

the

first

watt-hour today. During the same

to

period, the cost of living has gone
up 96%.
The
regulatory agencies have
been vigorous in the performance
of their duties and, although the
ways
in
which these
agencies
function
vary
somewhat
from
state to state, the end result has
effective.

been

small

realize

mers

not

percentage

more

than

that there

is

such

a

public

and

billion to

$5

to

nue

major

source

a

here

but

Opinion

pleted
to

as

Program

can

help

national

advertise¬
whether

to

or

not.

is

program

it.

a

the support

dustry.

indi*-,

of the matter

crux

seems

rather

or

The

great majority of
the electric service

like

have

but

now,

substantial

numbers

who are actually served
investor-owned companies —

by

25%—believe

they

served by

are

government agency!

a

And,
currently, two-thirds of our
customers

con¬
own

66% —do not know

—

studies

of

last

in

the

Pacific

there

is

owned

even

Northwest

conflict

more

government

fall's

that,

and

power

than

power

in

where

between

investorother

any

part of the country, the power is¬
of

sue

was

the

minds

minor

importance

the

of

the

voters.

study

In

made

by

is

reasonably

or

Surveys, published Janu¬
1961, says:

ary,

not the public

satisfied

with

"Frequently the same voters on
the the same day have cast majorities
candidates

jor

job the investor-owned utility in-

foi;

offices

for

different

ma¬

ator,

(Governor and Sen¬
Senator and Congressman,

etc.)

although

didates

have

site

views

issue.

5

DYNAMIC DECADE

beginning anofl ter

•

In

voters

of
Kan.

two

700

demands and have

an

adequate

reserve

Central

Surveys'
January, 1961,

dated

ing results.

co¬

For instance:

cation
of

it

mile
80%

supply.
% Increase

issue from

an

a

list

eight domestic issues—and
tied for last

place.
opinion as to which
candidates for Congress took
was

had

the

Compound
1955

as

no

best

stand

on

rural

elec¬

trification.

Growth Rate

$62,394,000

42%

8,367,000

36%

6.4%

our

they do.
$1.45

34%
38%

6.6%

2,143,510

53%

8.9%

531,400

59%

9.7%

Report. It includes complete information cbout

our

broad service

to whether

co-ops

as

pay

the

investor-owned

Only 24%

correctly

said that they do not.
64% said that rural electric co-ops

6.1%

846,600

1960 Annual

$1.08
$54,740,000

as

companies and 27% said that

4.7%

26%

$1.17

3,287,910

(000)
System Demand-Kw
Write for

$1.47

$75,372,000

Equity

KWH Sales

electric
taxes

same

reported
Excluding interest
charged Construction

opinion

no

rural

share Common:

As

Common

49% had

7.3%

11,375,000

Net Income

Earn per

$44,046,000

should

pay

investor

-

the

13%

area.

taxes as
companies
opinion. Only

same

owned

and 23% had

71%

no

said

said

they shouldn't.
they had never heard

of the National Rural Electric

:§1f
V

Beyond that, they have more im¬

things

portant
such

the

—or

Association, and
they
had
never
of Clyde Ellis in con-

Cooperative

Gas and Electric Company

87%

to

latest

said

increase

one-cent

in the price of a quart of

The

the

contention

the

of

proponents

-

nature

of

of

government

that, because of the

olistic
of

been

milk.

"Yardstick"

Two-Foot

has

It

about,

worry

Cuba, Laos, the space race

as

monop¬

business

the

electricity supply, there should

be

the

where

areas

itself

government

in the business of sup¬

was

plying power so that there could
be a yardstick against which to
measure

its

as

reasonableness

the

,

The TVA used this

rates.

of

excuse

justification for. the rapid
of its power business

expansion

ideas

similar

and

expressed

are

connection with other

in

Federal

municipal
power
operations. I
personally
have no quarrel with the yard¬
stick concept, provided the yard¬
government,

state

and

stick which is to be used to

meas¬

the adequacy of our perform¬

ure

is actually 36

ance

At

time

the

inches long.

the

yardstick idea
was originated, taxes, which con¬
stitute the major differential be¬
and

investor-owned

tween

gov¬

ernment-owned power
were

operations,
relatively minor consider¬

a

ation! compared to their present
levels and consequently there was
not

much

too

length

distortion

in

yardstick.

the

of

the

Today,

however, local, state and Federal
taxes are taking a 24% bite out
of our total revenues, as compared
with a nominal and very gratui¬

tous bite of about 8V2%
the

also

Taxes

the

municipal
of

effect

play

impor¬

an

in the cost of money be¬

of

cause

out of

of government util¬

revenues

tax-free

of

nature

bonds. All in all, the
government
utilizing

credit and the freedom from taxes

the

makes

yardstick

government

by which our operations are being

about

judged

other

In

a

kilowatt-hour

a

foot short.

words, if

a

were

rate of 3c
for

proper

owned electricity, then
comparable rate, all other
things being equal for government
power,
would be about 2c per
investor

-

the

kilowatt-hour—the difference be¬

due

ing

and the

to freedom from taxes
ability to lean on govern¬
This relationship is

credit.

ment

.

exhaustive study
TVA operations made by the
out by an

borne

of

staff
tute.

of the

Edison Electric Insti¬

indicates that,
suitable adjustments
to equate TVA and the mu¬
This

study

after making
as

so

nicipalities which it serves to an
investor-owned power system, it
would be
necessary
to increase
the
TVA
rates
by
some
46%,
which

would

with

those

put them on a par
of
investor-owned

companies in the area.
A

Remarkable

Growth

Record

spite of the handicap of
having to compete with subsidized
government power, the investorowned utility industry has had a
remarkable
record
of
growth.
Through good times and bad, new
for electricity in the home,
in our commercial establishments
uses

industry have resulted

in
after year.
It is now one of America's largest
industries with assets of over $50
billion and an annual rate of ex¬
and

"

Revenues

customers

our

In

Only 12% selected rural electrifi¬

electric

1960

opposite
issue."

viewed

steady progress of Oklahoma Gas and
Electric Company in 1960 marks the start of another
meeting all

the

members of rural electric

The continued

decade of solid growth. Here, in the 30,000
square
service area of OG&E we are

also

with

on

have

day—both

same

views

or

county

same

operatives in Indiana werq inter¬
with some very interest¬

OG&Ein 1960
V"*

races,

the

another

study,

power

legislative

state

the

oppo¬

electric

candidates

records

In

the

on

in

announced

or

elected—on

winning can¬
directly oppo¬

had

records

site

the

that

recognize that they are getting
good service at reasonable rates.

in

this

is

conclusion

tant part

Detailed

In other words,
riot. The only logical

runs

ities.

business.

power

connection

As to whether

apathy

the

Central
What Surveys Show

much for granted.

that the Federal Government is in

election results indicate

good one. It
of all of us.
I hope
that companies that are
not participating will see fit to
help
underwrite
this
program,
which is so important to the con¬
tinued healthy growth of our in¬

the

they

it helps everyone,

ask it

clearly

survey

understanding,

of

gov¬

just-com¬

Research's

1961

be

prefer

power.

ac¬

in the industry. In fact,

The

reve¬

apparently

ernment

cates the

its

we

1930

from the home is the electric

range,

should

re¬

everyone

ments

competitive
situation
has
been
considerably
tougher. Cost alone is not the con¬
consumer. Furthermore, the small
trolling factor in this instance,
percentage that do know about and there are still many house¬
wives who, for assorted reasons,
regulation of utilities frequently
have the erroneous idea that it is prefer to use some less-modern
simply a device for guaranteeing fuel than electricity to do the
a profit to the company. I am sure
cooking job.
The competition is still tougher
you have often heard friends or
as

LBE

the

no

the

praise

I

holding

this

people

deserves

of

no

ownership, 38% favoring
ownership and 16%

a

as

through

1940.
Another

vestor

lack

But

of
during

decade from

In

be solved in its own service area.

revenues

utilities

investor-owned

depression

the

opinion. Today, the
position on ownership has been
reversed, with 46% favoring in¬

president of
EEI but as president of a com¬
bination
gas
and electric com¬
pany. I know that every one of
our
companies has its own sales
problems—problems that can only

adding of something of the order
of

and

speaking not only

operate, but also cleaner, more

dependable

of our custo¬

utilities com¬
mission which is responsible for
looking after the interests of the
thing

was

had

tivities of the LBE Program, I am

The
electric
re¬
not only cheaper

disappear.

frigerator

the

Unfortunately,
a

per

when

minder,

immeasurably
more
convenient. The ability to
compete in the domestic refrigera¬
tion
market,
as^'^arl^^s the
middle Twenties, resulted in the

cents

program.

our

Parenthetically,

introduced, the iceman began

to

2Vz

the

to

year

industry allies —
distributors
and
others—are spending about $8 in
support of the program for every
$1 contributed by EEI member
companies for the LBE Program.

year

1931,
kilo¬

than

less

to

utility companies, as
opposed
to
government owner¬
ship. These studies found, in 1943,
that 55%
of the public favored
government ownership, 31%
favored
investor
ownership and

opinion. In spite of
favorable trend,. we wonder
why as large a proportion as 38%

a

addition,

the electric household refrigerator
was

in¬

all

of

companies, are cur¬

manufacturers,

done.

competition, as for
of refrigera¬

from

sup¬

government

in the field

Almost

tion.

increasing

gradually

lion

for

the

reveal

14%

Thursday, June 15, 1961

power

survival.

our

rently contributing over $2V2 mil¬

applications it is not
electricity to meet

some

beat

and

have

customers

rural

and

petitive with other fuels and other
means of doing the jobs
our cus¬
to

com¬

These companies, which
about 70% of the residential

vestor-owned

electricity must be com¬

want

EEI member

139

The

program.

as

rates for

and even to

progress

local electric

panies which participate in it felt
a
need
for a vigorous national

highly

grow

our

port for investor ownership of the

of national advertising
promotion, sponsored by
EEI, is itself convincing proof of
the keen competition in our busi¬

serve

is

to

and sales

rates in line. Much of our business

to

tant

..

that what people know and
about us is vitally impor¬

think

Program

and
im¬
electric

keeping

public at large and by
segments of it—for we
come
to realize, more and

the

various

by Opinion Research Corporation

Electrically

Better

Live

The

surveys

Surveys made for the Electric
Companies Advertising Program

is.

there

Live Better Electrically

Consideration

in

by

more,

service

18 years, several

have been made
to find out how we are regarded

have

ness.

present system of regulation has
done a good job stems from the
that

to

Competition always has,
always will, play a vitally
portant

when

the past

opinion

electrically, they are willing to
pay for it and we had better be
ready
and
anxious
to
furnish
them
the
best kind
of heating

forces

are

Over

al¬

we

people want to heat their homes

They
of

work

at

Connecticut,

in

up

instances the hard way, that

the

that cannot be
offset by higher rates. These com¬
petitive forces can hold down or
eliminate profits altogether,
re¬
gardless of the regulatory climate.
always

difficult

residential

rough,

ask

rates.

there

that

understand

our

fact

the

industry

transportation

most

that

me

evidence

higher

is

house

have almost 500 complete
electric heating customers on our
lines. We have learned, in some

because

gets

do

area

regulation and the way it works.
One doesn't have to look beyond

the

to

seems

going
to

water

electric

ready

fail to understand the purpose

that

It

impressive

the

C.

soft

it

have

we

tomers

points.

have

whenever

that

comment

acquaintances

the

for

Aiming for the Future and
Thwarting Nationalization
Continued from page 3

.

in

new

sales records year

penditure for new equipment and
for
supplying
service
amounting to about $3V2 billion.
This represents about 10% of all
business capital expenditures.
Load forecasts indicate that it
is reasonable to expect our loads
to continue to
grow throughout
the
1960s
at
the
historic
rate
facilities

which

means

iV

+

vtV

doubling

every

10

HARVEY; r OKLAHOMA CITY .!„ OKIA.

•

DONALD S.

KENNEDY,

CHAIRMAN

OF

THE

BOARD AND

nection with rural electrifica¬

gories.

heard

PRESIDENT
*

...

If these forecasts are to be
realized, we have much work to
do in a number of different cate¬

tion.

i-

.

A-GV„




These surveys and many others
that have been made throughout
the country indicate that

the pub¬

lic takes its electric service pretty

years.

for

the

We not only need to aim
future—we

must

arm

for

it.
One of the most
gories

we

are

important cate¬

working

in

is

that

Volume1193

of

Number 6064

pooling.
Lately, in in¬
meetings and elsewhere,

power

dustry

have heard

we

great deal about

a

the extension of
not

idea

new

a

pooling, but it is
by

any

means.

Only the publicity is new.
As I
pointed out on.several occa¬

have

sions, the growth in our loads has
to spur important techno¬

served

advances which have re¬
in
greater
efficiency of

logical
sulted

generation
due to the use
of
higher
temperatures and pres¬
sures
irl
conventional
thermal

The availability of larger

plants.

units has also helped to

.

sharp

In spite of the very
increases
in labor costs

which

have

ating costs.

the

since

the operating costs per kilo¬
watt of installed capacity in our
newer plants are lower than ever

war,

before.

The Commercial and Financial Chronicle

.

citizens feel that there will be
real

The

law.

that

say

order

In

advantage

take

to

of

technological developments
are
contributing
signifi¬

these

which

cantly toward holding down costs,
we have had to find ways of en¬

integrated operating
areas.
During the first half of this
century, the growth of service

larging

our

about

came

areas

through

largely

very

acquisition

the

of

idea of
world

pra^matists, however,

we

still

are

feature

the

to

long

a

successful

world

In
es¬

sential for

that

cessful

to somehow see to it

us

United

the

in

is

Nations

uation under reasonable control.
To

of

many

the

career

government, government own¬
ership and operation of this coun¬
try's electric power system is a

fetish and

they

lose

never

an op¬

portunity to push in that direction.
None of them will publicly state
complete

government

thing for this country. Most
public utterances profess

their

the

belief

both

that

and

government

owned

companies

business.

and

in

promoting

the area of
operations.

ernment power

refer

I

questions

Journal

regard

While

I

Interior

sound

of the
want

Neiv

never

Getting

easy.

I'm

basis.

For

this

pooling

of

the

and

the

of

the

Many

students

two

But

.

over

scattered series

a

within

power

might

a

be

ownership
lines

mission

mile

-

to

to

the

trans¬

whole

the

and

in¬

30%

less than 5%

down

each.

to

be

The

Leader

New

of

private

the

aim is the abo¬

profit

Our

use.

system

for

is

strategy

to

make and take every opportunity
to prove that it works. We must

regulatory bodies, investment
bankers, as well as our own staffs,
in
new
and
unique
situations
which can only be resolved by
the

exercise

of

patience, intelli¬
phase

gence and ingenuity.
This
of
our
future
operations

perhaps

"A

Speaking

of

experts on agriculture,
coal,
power,
subways,

our

invested

are

We

years.

have

promulgated

publicly

and

from

cussed

is

changing

that

fact.

cities
in

they

rates

and

can no

and

should

we

Outside

of

the

longer compete

efficiency with the

plants being established by
companies having the benefit of

new

the

load

of

That

many

connected

terconnection.

municipal

plants

wide

in¬

small

selling out

are

35 to

40

years

TVA.

or

I

to

people visit
■

.

*^-»»fflii»rir-rn
<

Mount

Rushmore

*■<

.

.

us

the cold

in

Hills area, and to

help in its

National

the government-

on

war

how

our

whole

functions
The

—

Electrically
nition

that

economic

is

existence

the

of

must

hope to
jectives.
The

revenues

need

we

Common stock
per

perity

of
to

attract
more

our

be

new

ever

An Annual

Report mailed

on

on

an

EEI

aiming at the
Talent, fo¬
cused by competition and acting
under
regulation, can find the
way to reach those targets—and
set

new

•An
29th

of

the

Division

Research

and

new

the

we

are

tomorrow.

ones

of its

Institute,

New

York

City, June

1961.

fine Support it has received from

the member companies of EEI in¬
dicate that we are not going to
be

complacent

are

To Be Spitzer
Effective

June

1st

& Co.
the

firm

of

in

as an

the

offing

—

par¬

has been changed to

Spitzer & Co.

Mr.

industrial

our

also

alert

to

so

as

to maintain

continued interest.
the

With

expansion

going to be
be

faced

various

of

concept there

the
are

new problems
the financing of

many

in

and shapes of joint
undertakings. We have had some
experience in that direction in
New England in the setting
up
and implementing of the Yankee
Atomic Electric Company, which

is

•Treasure Chest Land is the

sizes

owned

England

by ten of our New
companies
in
varying

percentages, ranging from a maxi¬

resource-rich

Write for

28 page

.

Over 2-million

are

proud

to serve

brochure

It

figures

Growing

gives specific facts and
on

basic

resources,

living conditions,climate,

educational standards,

labor stability.

UTAH

Inquiries held in strict confidence.

the Black

and growth.

D. H. White,

1950

Manager

POWER

Marketing Dept.

Dept. A-5, Utah Power & Light Co.
City 10, Utah

125,165

27,521

20,884

2.06

BLIGHT

22.2

25.7

$

$

60.

1.99
uc. Cl

request.

LIGHT COMPANY

by:

THE WESTERN COLORADO POWER CO.

"A Treasure Chest in the

tells about
.

served

TELLUR1DE POWER COMPANY

new

concise

.

area

UTAH POWER & LIGHT CO.

$ 2,850

CITY, SOUTH DAKOTA

own.

address by Mr. Knapp before the
annual
convention
of
the
Edison

Electric

5,

of

pros¬

We

the

265,341

BLACK HILLS POWER AND




recog¬

Today,

targets

impressive
programs
keep
shareholders

1955

2.56

find—for

to

informed

power-pooling
to

future

$ 4,939

$

can

progressive companies have

better

36.7

RAPID

we

investors. Many of our

developed

their

in

industry.

32,803

common—_

best talent

dis¬

that

sure

$ 7,405

equity (%)

share,

not.

our

shareholders maintain

confidence

their

need

make

to

present

1960

Number customers——

Earnings

the

in

nancing the continuing expansion
of our industry. In the first place,

397,220

(thousands)—

Kwh sales (thousands)

is

continue

establishment

Salt Lake

Electric

one.

Live Better

Program
we

system

continuing

a

selling policy if we
obtain our growth ob¬

Sales and

Year

out

others

category
which
is
going to need a great deal of at¬
tention during the Sixties is fi¬

Fiscal

Memorial

carried

of

Financing Expansion

We

progress

be

to

most

will have

Another

for this is part of America's playground

the home of Mount Rushmore.

realize that

we

front is going to let up. The meeting the
challenge
of
the
job of educating our customers, future will require the best ef¬
and the public in geenral, on what
forts, ideas and techniques that
makes our industry tick—in fact, that talent can provide.
v

since, but I am sure
the goings-on
the Interior Department today.

changing, always different.

year,

sure

the work of the future

power

he is encouraged by

mining, timber to tourism, plains to mountains

each

am

one

ago—

suspect that

Land of Infinite Variety
Agriculture

heat

electricity.
more point—with
all
this work to be done, let's not
forget the job which is continually
with us of developing manpower
capable of carrying on in the
years
ahead. Addressing myself
primarily for the moment to the
top executives of the industry, I
Just

by us but
organizations
; who need our help now in order
I am sure that we will find na to reach their full
potential later
lack of things to keep us busy in on. To meet the
challenge of the
the future. There is no sign that
future, our companies > will need

West."

that's South Dakota, ever

of

energy to

by

Factors in the Future

realized long

three

face
large

new means

long before the advent of the New

municipal plants. Their status

up

of

which

designed

made

area

conversion

These views of Stephen Raushenbush
and
others
were
being

the

already

direct

ourselves with their success."

which

industry in

an

of

milk, etc.,
to tell
us
correctly which the next steps are,
and then take them and identify

housing,

industry, he says:
is

poses

greater challenge than
the
technical
and
engineering
problems.
a

ticularly in the

39

industry, but
instead will be alert to the possi¬ Spitzer O'Neil & Co. 120 Broad¬
way, New York City, members of
bilities of the new developments
the New York Stock Exchange,

The
is,

little

a

there will be problems which will
involve the state legislatures,

...

"Our long-time

indus¬

seem

to

I suspect that

aggressive

dustry.
lition

300

expected

considerable
in¬
the
extension
of

very

upon

public

attempts at control. We have set

of

government and many intelligent

.

.

fluence

and another billion is added every

Nations to

world.

which

billion

$8

might be

efforts

take

great generating plants selling

radiuses

>

■

Industry."
"Here

a

connection it

of

power

promote better
understanding and better working
relationships between the nations
of

of the power

Program of Gradual Socialization

helpful to draw a parallel between
our industry's promotion of power
United

of

govern¬

going to quote a few of his

issue

used to giving orders and

In

moment.

title of his artcile in the March 12

lot of us who
hav¬
ing ..them carried but, effective
power
pooling
has
meant
a
change in our own personal phi¬
losophy.
are

lead, to

pertinent to this discussion.

easy

any

Power

tory

would

statements

is

.

.

hope to

billion industry suc¬
cessfully, even if it were generally
thought advisable to do so at the

try and eventually to all essential

undertaking.
pooling, however, means
that we must make very impor¬
tant. decisions involving millions
of dollars on a mutually satisfac¬
is

that

ment control

years

along with neighbors all the time

.

cannot

the whole $8

of

potential economies, I don't
give the impression that

pooling

"We

which he explained the
the giant power sys¬

in

industries.

power

measured.

be

Leader, for March 5 and 12,

1927,

to enlarge

to

yardsticks by
efficiency of private
under regulation may

ownership

expressed by Mr. Stephen Raushenbush in the socialise paper. The

in order to take advantage

ahead

These plans
like the ideas

much

the

in

areas

if

industry.

our

very

tem

must continue

Lawrence

the

tion of

swer

pooling

de¬

which,

Department

concept

we

St.

of

mum

Raushenbush is disappointed that
his
objectives
have
not
been

pooling is the soundest an¬
to our growth problems and

our

the

at

Deal

power
that

Burnham

Mr.

elaborate plans of the

out, would constitute the
highway to complete nationaliza¬

that

convinced

Shoals,

ownership at Muscle
Boulder Dam and on

carried

to

am

article

this

In

scribes the

political and
geographic boundaries as well.

without

the

.

government

1961, under the heading "Power
Switch," by Daniel M. Burnham.

instances

many

on

of The Wall Street
for
Thursday, May 25,

page

.

which seeks to set up through

one

trusts,

who

anyone

.

attempt which I look
much more hopeful is the

upon as

force

Plans

that, at least with re¬

in

gov¬

Administration's Power

Fears

neighbors to set up a logical,
interconnected, integrated oper¬

and

for

investorthe power

toward

expanding

room

of their efforts

But all

directed

are

is

there

out of hand.

"A fourth

have

best

commissions.

state

by

It has gotten

their

our

aries

regulation

own¬

of

unfavor¬

no

of the efficiency of

public ownership. The technical
changes
in
the
industry
have
made isolated plants built years
ago less efficient. We have tried

ership and operation of all electric
power
facilities
would
be
the

front

transmis¬
sion,
the
system
should
.be
planned, built and operated with¬
out regard
to corporate bound¬

private industry is

our

this statement to the article

spect to generation and

em¬

(2635)

able criticism

which

ployees in the various branches of

changed

.means

suc¬

the world sit¬

keeping

to

a

government.

years,

ating area of sufficient size to per¬
realizing
optimum
results.

of

meantime, therefore, it is

the

ally by the merger route or by
outright purchase.
In recent

This

way

establishment

one

mit

no

we

giving up our national sov¬
ereignty, which is an essential

corporate entity by another, usu¬

however, the pattern has
and the most practical
answer seems to be to work with

until

peace

from

that

Interconnection and Pooling

stable

and

have learned to accept the
world
government under

hold down

both initial capital costs and oper¬

occurred

.

(jjebt
I

■

40

The Commercial and Financial Chronicle

(2636)

in

vest

insurance,

and
the

~

beginning

the

Analysis of Political and

in

buying

in

government

of

mortgages
Since

bonds.

II,

War

World

with

ance

piling
budget,

nor

Continued from

The

5

page

and seller, money
lender and possessing the power
to make money grants, can subdue
hirer

buyer,

thought, expression and criticism.
You

bite

not

do

hand

the

that

Many companies today find the
government to be such

impor¬

an

that, their

customer

officers

into speech-paralysis

subdued

are

key issues affecting the future
our
country.
Government

on

of

doesn't

have

threaten; its

to

act

even

that

great

so

existence

or

to damage the

power

is

enterprise
mere

the

of

the
is

power

You just don't offend

enough!

a

the

teachers'
have

National

the

becomes

of

source

teachers

cautious

be

Government

important

salaries,

to

both

will

in

dis¬

cussing educational questions and
other

public issues, whereas under
local
finance
any
teacher
put
upon can move over to the next
county

the

rise

Office,

1946,

in

for

example,

the

public debt since

but the deficits would have
larger had the postal

been

much

Service paid property taxes on its

city.

or

depreciable
services

The

Hatch

Act

assets

it

economic

costs

for
other

by

divisions.

government
real

to

its

on

paid

and

rendered

Thus

the

falsified

are

by the accounts and statistics.
Much
of

the

the

from
the

public.

to

facts

A Senator from

Valley
Washington

a

in

a

of

fairness

the

of

area

their

elec¬

tric rates would be the TVA rates.

Either

he

ignorant of TVA's

was

subsidies

and

statistical

the

accounting and
he
merely

facts

or

teners.

the ignorance of his lis¬
The Federal Power Com¬

mission

and

traded

on

the

Internal Revenue

cover more and more people,
making them political eunuchs.

Government Biggest

National

In

Everything

the

wisdom

the

they,

as

them—another

see

im¬

ethics

or

policies

government

agricultural

per¬

programs

fabulous misal-

encourage

location

of

sources,

lead to higher prices for

human

the housewife

and

other

the

and force

gen¬

eral taxpayer to transfer tax
lars

to

the

farmers

under

Treasury,
helping

farm

intervention,
third-party

com¬

ary,

cerned

with

should

Why

spokesmen

con¬

inadequate economic

urge

OASI

an

(Old

Age

Survivors Insurance)

premium on
retirement of men at age 62?
The gross inconsistencies in the
economic
or
political
economy
tradictions of the current Admin¬

the

biggest tenant, debtor, lender,
warehouser, auto-fleet operator,
publisher, insurance writer, grain
and

owner

storer,

pro¬

power

Even
enue

2.5

sumer

the

biggest

producer and controller of statis¬
tics

basis of

(a

economic in¬

our

cents

biggest depositor in banks, biggest
issuer

of

is

endless.

sidering

its

we

as

unless

—

can

cause

a

informed

halt.

lives

into

the

opinion

takes stock of the situation

able to

our

will

our

see

con¬

It

industry.

(if not dictate)

far

as

future

government,
relative size, is

growing

dominate

for

1940

to

under

1960, while the Con¬

Price Index of the BLS has

problems.
division

Justice

Now

of

has

the

that

anti¬

and

is

all has

This

profound implications for the fu¬
our political and economic

ture of

climate and

Many

our

(ac¬

activities

(plus

th^ effect of controls and inter¬
vention)

of

nal, May 24, page 1) that it wants
competition among suppliers but
not too

vigorous competition! One
day later the same paper reported

government

compete

the

that
terior

Department

now

territory
utilities,

intends

to

over

Much

the

of

this

at

and

least

is

intervention

tainted

unethical

with

such

wisdom

embraced

with

Look

the

peculiarly

overtones.

virtue

of the

at such

im¬
or

of

the

D.

Christian

Monitor, said in an ad¬
(Sun-Times, Chi¬
May 20, 1961):

cago,
"I

not

believe there will be

adequate

an

of

do

the

there

American

is

what

forward

is

economy

generally called the busi¬

"Business

Federal

and

not

are

by

paragons

in

Washing¬

to

are

decision

will

ulti¬
or

not

ahead fast enough

move

discharge our responsibilities
and
strengthen our role in the
world.

"I

do

not

believe

Administration
have

and

and

the

Kennedy

its

advisers

fully understood the impor¬

tance

of

these

the

business

urgent

couraging

a

Dollar

basic matter

as

integrity

of the
dollar,
a
constitutional govern¬

them

decisions

necessity of en¬
in the forward

ment

responsibility.

been

encouraged to

People
save

have

and in¬

ures

and

such

presented
nor

economic
as

relief

meas¬

The

against

countries

counted

upon

concern,

keep our

above

economic

law

them for

test

and

the

never

of the

use

market.

to

found

meet

due

of law.

of

our

people

tling away private decision-mak¬
ing
and
strangulating
private
effort, our public policies should
encourage

relying

more

and
on

the

gains

the

people.

effort,

in¬

more

enterprise,
competition to pass

of

productivity on
(How this works
in

policies

our

entanglements

War

viable

and

I

did

But

not

now

,

foreigners
which

process

to
in

the

Ap¬

pendix of our Productivity
Wage Settlements, 50 cents

the

yield
have

we

and

ca¬

reverse

sound

a

policy.

to

We
of

nations

remain

un¬

The

Administration, in
of incompetent
selfis continuing to raise

them.
Bismarck and "Gratitude"
Because

we
are
rich, big and
strutting, we are the envy — and,
therefore, the hated of the world

—almost without exception.
In
are

International Relations there

no

friendships; there

interests.

Even

100

ago,

years

"Gratitude"

said that the word

is

international

are only
Bismarck, nearly

not

our

leaders for

eration

did

found

in

vocabulary.
more

not

than

know

stand and most of them

copy.)

our

foreign

and
per

com¬

expectations

certain

are

fulfilled.
a

foreign

raised

more

is explained

foreign

vastly beyond
pacity to deliver — the
being the very heart of

and

of our private eco¬
system.
Instead of whit¬

novation

went

we

military and economic

delusion,

productivity
nomic

-

World

have

strength and virility of our
society depend fundamentally on
character

II

War

mitments

the

The

the

non

made

marks

under

problem.

World

the best results.

When

guilty

now

resolu¬

even

are

Government

have

or

ist, having found that

resources

consumer

The dam¬

There is

emotionally all-out international¬

or

private
business violates statutory law, it
should be tried, suffer the penalty
when

to the

After

of

businesses

neighbors.

facile solution

tion

imply that private

liquidation.

activities

has been done.

no

reproach; when they violate

wastefully,

nearest

age

great myth; most

or

house in order;

should be concerned with

we

after

This does not

Our first duty is

own

the

challenge it.

individuals

de¬

not the Congo, Iran, Laos

South Korea.

better life

to be too bemused

seem

scared to

too

to

had

we

reasonably

as

to

private control and
into government hands is said to
give
us
wiser
decisions,
more
a

more

and

which

lands

or

individual and

This is

govern¬

the

Africa

of

in

next

a

issue,

pendable allies. Central and South
America
ought to
be
our
first

Turning more responsibility and
decision-making [ away from the

and

the

forces

peoples

and inferior moral standards.

ethical practices

national

the

more

the

Eco¬

inter¬

has

interna¬

talking points it is likely to pro¬
vide to Moscow, Peiping and to

after another

area

national and

these

ment

vened it has brought failure, chaos

practive

"The
economic growth
we
so
badly need will not come through

social

in

.

to

free

one

encouraging voluntary

prpblems and placed a lia¬
bility upon us from which we will
not recover for 100 years, if then.

settle¬

in

of

tional

Chamber of
the U. S. A., Febru¬

government

process

climate.

ness

we

affairs

unless

improvement in

great

a

movement

direction.

and

practices

or

Erosion

market

well, rather than better.

competition
moral

private

Editor

word

Erwin

mately determine whether

ton.

make

Canham,

Thus, in
where

people

take my

what

In¬

affairs

these

suddenly

the citizen trying to make a

work less

to

Here's

the

economic

Congress

bureaus,
of

and

this.

made

1961).

and if
dire

to

shown

(as

have

not

designed to

or

gration at the state and local
levels, government stupidly has

Intelligence,

for all.

at home and abroad.

don't need

for

lead

can

the

of

turning

By

unfairly with the private effort of
living

continue

consequence,

tragic

are

nomic

goals

stated

own

invade

of

to

private tax-paying
a weird way to stimulate
private investment and economic
growth!

personal freedom.

these

of

its

on

objectives

You

Department

announced

cording to The Wall Street Jour¬

Furthermore,
fastest

they

doubled) the electric
industry and its suppliers
political and economic cli¬

mate

list

from

(and the Congress) based

Science

trust

the

in

resi¬

and

for

dropped

in

clearly

con¬

dress in Chicago

telligence), biggest mass opinionbiggest deficit
operator,
—

cents

rev¬

philosophy and its egregious

power

maker,

securities

average

than

more

have

of

has

use

3.8

innumerable

the

kilowatt-hour

per

dential
about

ducer; the biggest single buyer of

items;

though

is virtually always

consumer

our

inte¬

desegregation and voluntary inte¬

or the
arbitra¬

of

sweep,

could

timed

better

Instead

likely to increase.

recommenders

Commerce of

worry?

a

istration

press.

and

ment

of

the

tors

of

Communist

desegregation and

alienate nearly all of black Africa.

1961,

5,

intrusion

issues is

pulsory rise in the legal minimum
wage at a time when unemploy¬
is

May

back more

or

policies

gration

as

intervention

Government

the

a

(Time,

in¬

it

previous

rising Africa, ripe to fall

a

the

been

79.)

ment,

advise

ahead

go

—

Government

question of freedom of speech and

grazing

owner,

landowner, mineral deposit owner;

basic

needed!
page

would

help

legal

the

from

years,

domestic

it

as

pro¬

landowner, forest

lost,

been

is

that

add

to

mess

a

20

into

April ruled that such a devi¬
way around the will of Con¬

gress

hasten

With

price-fixing inter¬
on
public debt

strike

portant

liberty which has
not to mention the

ous

Administration

new

at least back to
the Yalta agreements of 1945.

refused, deviously,
to get around the control, when
money markets became tight, by
selling the securities at a dis¬
count. But the Attorney General
last

the

This
a

gen¬

under¬

or

still don't

have been primarily

to

Congress

this

year,

continuation of the close alli¬

PIONEERING ELECTRIC SPACE HEATING
IN

NEW ENGLAND

12,000

1

10,000

to

6,000

EH
EH

^

6,000

o

►4
H

1

t,000

w

CONNECTICUT

2,000

PRODUCTS

0

END OF 1957

1958

1959

i960

t

1961

\!
Total kilowatts of electric
space

stores

and

factories which

heating installed in homes,

use

no

other heat

source.

In the Areas served

by The HartTord Electric Light Company . .
metro*
politan Hartford, Middletown, New London, Stamford and Torrington
•
myriad industries find employees, markets, resources and prosperity.
.

•

THE

HARTFORD ELECTRIC

176 Cumberland Avenue




•

LIGHT COMPANY

Wethersfield, Connecticut

a

dangerous

Administrations going

ceiling

securities;

them more than
them?
What kind of

economics

should

than

of

when

poor,

the

fact

S.

guise

damage

grams

they

of

dol¬
U.

the

the

farm

the

matter

a

via

re¬

rate

our

much
and
delivered
than nothing—although one

herited

pro¬

growth."

est

of

which

frightfully

The

worse

the

in

relations

plight have reached

promised

long chafed under the 1918 4V4%

Today the national government
the biggest in endless lines —
the
biggest
employer, landlord,
is

duces

capital

investment

Congressional

growth

of their
operating costs the expenses in¬
volved in setting forth the facts
part

as

of

kind

risk

and

save

bank

a

policies which leave
you with only half of, your pur¬
chasing power?
What

come,

The Eisenhower Administration

public

Administration

charging

ness

to

low.

will

least, when busi¬
has the incentive and ability

and

Service, furthermore, deprive the
tax-paying investor-owned utili¬
of

between

difference

moral

Congress.
"Economic
growth

and

and

new

sented to

the

is

What

power.

ties

will

deposited

dollars

as

robber who takes half your money

of

audience told his listeners that the
test

monetary

which

the

the

be eroded by loose fiscal and

may

Ac¬

River

Tennessee

print—that

petuating

hide

allocations

base

but it never warns the
depositor — not even in the fine

said

counting methods and investment-

deposit insurance pro¬

gram,

projects.

power

record

in large part at

be

could

same

Federal

speech

good customer.
Once

Post

only accounts for one-half of

assets, charged depreciation

feeds you.

tant

not

measures

international

In

the tax revisions pre¬

of the dollar
has been cut away by more than
half.
Government proudly boasts
power

Thursday, June 15, 1961

International Relations

labor,
nor
through
of
an
unbalanced
through such delusive

up

of its bank

Economic Climate Ahead

..

.

Western Massachusetts Electric Co.
Principal Electric Subsidiary of

WESTERN MASSACHUSETTS

\

COMPANIES

Volume

193

Number 6064

.

The Commercial and Financial Chronicle

.

.

(2637)

I

it.

know

George Washington

derstood
That

ership

the

world

is

tionary ferment is
documentation.
the

English
most

and

in

in need

speaking

-

revolu¬

a

of

countries

of Western

Europe, au¬
totalitarian (there

difference) governments

a

vail arid will prevail.
conflict

the

no

Outside of most of

thoritarian and
is

pre¬

Considering

between

political

promises plus rising expectations
and ability to deliver, such antiparliamentary
rule
(anti-repre¬
sentative

republican

or

govern¬

ment) is likely to continue
one

as

A people gets the

un¬

it.

can

ahead.

see

far

so

Dictator¬

type of lead¬

it deserves.

helped

to

The

enthrone

U.

Fidel

S.

A.

Castro.

Much of the press,

particularly the

and lead to

"liberal"

embraced

ity of

with

press,

excited
Ed

ance.

Jack Parr
their

of

viewers

raised

"show

in

Castro

saviour,

a

biz"

and

the

level

demi-god;
get

when
into the

shaping

interna¬

a

of

tional
relations
or
policy, it is
high time that we raise the right
questions. It is no accident that
the

anti-Castro

Cubans

picketed

the premises in May of 1961 of the

shifts

print."

in

dominate

90%

of

but

pole

pole,

countries

the

will

with

planet's

policy

our

to

in¬

seem

capable of distinguishing between
those
dictatorships which are a
direct

imminent threat

and

those which

and

Once

socio

these

popular
move¬

ments get under way in a massive

form, there is little

nothing that

or

daily

the

with

newspaper

that's fit to

news

with,

have

This takes
and

of

not

probably

generations.

like this.

us

but decades

years,

rise

The

ticulate

the

of

intelligent,

conservative

tionary)

college

(not

movements

Americans

It is not

conclusion, but it

None

pleasant

a

to be the

seems

most probable conclusion for most
of

the

and

planet.

opinion

break

and

didn't

have

government

leaders

the

up

during

Our

who

colonial

helped
empires

the iU.

after

World War II,
insight to under-|

the

stand that when established insti¬

tutions,

methods

displaced,

the

rule

and

on

many

S.

A.

economic

of

courses

and of

under¬

courses

in

practical politics — all these as
examples are hopeful signs. But

vacuums

will

(African tribe) proverb:

a

does

man

traditional

away

he

better

had

that

his

has

he

away

good

first

customs,

make

something

and

certain

of

value

replace them."

When
If

not

are

ment

and

—values

dedicated

constitutional
and

inherited from the

we

dictatorship
does

is

people

which

English

inevitable.

not

—

If

understand

a

the

key importance of the philosophy
limited

of

government

then

blindly

the

and

dispersal and diffusion of
and

merges

power,

is, create collectivism), society is
dom

loss of human free¬

and for authoritarian

Government

in

the

rule.

a

chiefly

their

henchmen

and

(in

with

one

single

economy.

The

position of those dedicated

to the rule of law and freedom

for

Our commitments

of

and

public

our capac¬

bigger government.

The

tax burden will grow and grow-^-

unless

.

.

.

the

new

Administratibn

has acquired men of high IQ and
educational attainments, but com¬
mon

and

sense

wisdom

are

not

whole.
Trends, as said previously, do
have a way of pausing and revers¬
ing themselves. At times (only at
times) is it possible by conscious,
well-planned action to slow down
or even reverse a trend.
Are the
comparable

as a

and

responsible
in

our

wise

individuals

country going to allow the

country to be ruined and
dom destroyed?
not

obvious.

our

free¬

The solutions

Will

for

fight

we

become

will

we

golfer,

competent

clergyman

be¬

the

most
most
fanfare or
the

or

without

actor

publicity)

interested,

naturally

may

These

are

uncommon men

virtue
of
Self-improve¬

by

excellence.

is

ment

and

your

portant

duty.

self-im¬

own

influence

possess

their

their

in

provement.

this

understood,

broadly

the

may

then

our

im¬

most

my

Once

tide

competition in all

this would
and

is

more

weaken

and

allies, on occasion,
be subject to criticism.

give uniform
support to the principle of com¬
nomic

in

Must proponents of
economic

political and
human liberty

liberty,

and diffused power
in open

debate?

be vanquished

If

so

(which

we

and

then

logically inconsistent

are

ethically

or




is

the

that

we

key culprit, it
must

ourselves

first, before
who, wittingly

those

tingly,

paving the

are

total-state.

This

is

Economic

on

features

of

eco¬

replaced.

unwit¬

which

providing

lesson

In

the

29th

June

6,

by

Annual

Electric

son

Dr.

Schmidt

Convention

Institute,

of

New

before

the

sales

forced"

been

products

sell
In

to

their

see

selling

basic
cleaner sold by the direct
companies
is
a
higher

priced

unit

than

the

sold

those

through normal retail outlets. The
Association

National

Direct

of

estimates that

Selling Companies

selling industry volume has

increased

for

at

annual

an

the past

trolux and

13

rate

years.

Scott & Fetzer

of

Elec-

are

ex¬

talk

to

a

captive

divisions.

or

management

convinced

sales

growth

audi*

in

for

the

sales

and

earnings.

cleaner in the home and

the

mainly

retail

a

position
and

of the

is

its

control

to

more

many

importantly,

salesmen,
the price

product. Another advantage
are compensated

that salesmen

on

direct commission basis, and

a

the

company

is not burdened by

high fixed sales expenses. In ad¬
dition, the salesman is motivated
by his earnings which are entirely
dependent on performance. An¬
other
advantage is that normal
high costs of distribution are sig¬

nificantly reduced
sion

of

a

middleman

middle-middle
most

important

salesman's

exclu¬

by the

men.

and/or

Finally,

advantage

opportunity

once

the

For

potential

combat

desire

for

perform
The

call

a

own

and

machine

a

which

SOUTH

can

in

piant

Connecticut,

ficient
a

40%

plant

capacity
sales

to

J.

—

they

are

cannot
in

(3) they

made

be

open

debate;

&

defended

are

New

and

a

of

member

by

Exchange
and National Stock Exchange. He

ade¬

formerly with Sutro Brothers

was

Co.

&

quate land is owned to allow for
future expansion needs. The com¬

is completely integrated and
own equip¬
ment including electric motors. A
small
nucleus
of
engineers has

Joins Laird & Co.

pany

Laird & Company, Corporation, 61

manufactures all of its

done

Broadway, New York City,
bers

outstanding job in im¬
proving manufacturing techniques
as well as designing new features

of

the

New York

is the

into the product line. Some of

in the

more

recent

items

include

change, have

Anyone familiar with the writ¬

Q. Bonanno and James J. Hanley

the

are

floor

as

now

associated with their firm

registered representatives.

FLORIDA FINANCIAL REVIEW
INVESTMENTS —Every year, thousands of

homes,

year,

new

businesses, new industries. Every

Florida Power & Light Company plans its expan¬

and builds new lines, adds to plants

and substations,
for the

in order to have power available

growing needs of fast-growing Florida.

reservoir of manpower
and

expands. All types of busi¬

industry find it easy to recruit skilled,

well-adjusted

capable,

and

men

and women. And,

form the nucleus of fast-

these

Edmund

growing markets in Florida, in the
United States, and in Latin America.

Lord

Burke, John Stuart Mill,

Acton

Classical
Liberals, not Conservatives) and
other notable exponents of liberty
would
find
(1) a false notion.
(who

were

have some
validity. To comprehend the basic
arguments
concerning
freedom,
one must necessarily have a good
grasp
of the nature of law, of
government
and
legislation,
of
(2)

However,

economics

and

may

our

economic sys¬

tem, none of them "easy" subjects.
It

would

then, that if the
freedom are van¬
quished in open debate, (3) is the
seem,

proponents
main
In

of

culprit.
this

connection, it is impor¬

men

women

Southeastern
,

EARNINGS-Business and industry contem¬

plating

a

Florida future will reap the benefits of
'round climate—greater pro¬

the world's finest year

ductivity, high morale, and improved labor-manage¬
ment relations. They find choice industrial sites,
excellent rail, air, water,
tion

and highway transporta¬

facilities, and abundant water resources. Govern¬

ments
There

are
are

friendly at both the state and local levels.
no state income or ad valorem taxes.

INTEREST-Solid growth and unlimited oppor¬
tunities have created national interest in Florida.
A first hand look at these assets

will prove invalu¬

able to clients interested in a Florida future.

to

tant

ment and

a

clear

consensus

and,

discriminatory
legislation
(deviations from the
rule of law) does in fact abridge
more

FLORIDA POWER & LIGHT COMPANY

particularly,

human

liberty.

Ex¬

announced that Jay

ings of John Locke, Adam Smith,

the

the
the

mem¬

Stock

an

ness

devotees of freedom.

the

Mercantile

York

DEPOSITS-As Florida continues to grow, her

badly

Co.,

Plaza.

persuasively
or

Jay

associated

Kohn

Mr. Rosenberg is a mutual fund

specialist

handle

and

Richard

Lackawanna

its

increase in

E.

re¬

engineering recog¬
material
handling
efficiency. Moreover there is suf¬
for

N.

become

with

Old

has*

ORANGE,

Rosenberg has

ceived national

nition

Market,

With Richard Kohn

demonstra¬

household tasks.

company's

Greenwich,

Counter

day.

home creates the

so many

both

capital

Electrolux. The stock is currently

probably did not have
notion
of
purchasing
a

her

little down¬

quoted around 36 in the Over-the-

customer

tion in

very

in¬

which

near
and longer
appreciation, I sug¬
gest they seriously consider pur¬
chasing
the
common
stock
of

its

in

primarily

security

a

to have

for

pects

term

instruct¬

buyer

in

side risk and unusually goor pros¬

can

use

investors

appears

It

they effectively
competition. The typical

proper

However,

are

imaginative, and now the
is in a sound position to
and diversify its opera¬

terested

company's philosophy that
only
by
demonstrating
their

any

There

the

tions.

largely

cleaner when she started her

distributor.

As

company

company's

clusively engaged in direct selling
is

some¬

future.

direct

of

is

consumer

while

Hoover

near

indicates, the present man¬
agement team has been effective

the

ing

the

record

of Electrolux

its method

the

to

responsible
is

acquisitions

more

in

expand

The

is

some sig¬
changes in the
distribution
and

have not

epce.

dis¬

substantial

at

general,

to

is

of

These
changes
only improved the com¬
pany's operating results, but have
helped facilitate the possibility of

City,

1961.

home

2

1952

source

recently made
internal

administrative,

Edi¬

York

in

increasing

an

to

bag

to stepped-up
re¬
expenditures the manage¬

nificant
address

needs

disposable

addition

ment has

April, 1961.
*An

bag

This

a

automatic

an

the

introduced

was

search

Intelligence,

and

Continued from page

10%

utilize

income.

we

need to learn and then act upon it.

—Based

when

for the

or

way

the

be

tackle

we

THE SECURITY I LIKE BEST...

direct

current

models

provides

shut-off

improve

sion program

indefensible;

correct, but so diffi¬
cult and so subtle, that they

(2)

the

(onty then) tailor
counteractions for

disease?

obvious

one

vacuum

The

machine

is

vacuum

time

counts.

unit.

a

cleaner

self-sealing bag, while the delux

principles of free¬

basic

the

establish

seminars, study groups
steps and fa¬
to diagnose the
problem

necessary

$50

(3), that is, our deficiency
in stating and defending the case

new

(1)

they take

self-assessment

cilities

If

people invest in a Florida future by establishing

doubt), either:

which lacks

to

for

values need not go

necessary

effort

all

life, and the soft-pedalling

have

dis¬

vaults, moth proofers, and a rug
cleaning attachment which sells

framework, has probably contribvalidity of (3).

uated to the

This reluctance to

petition

wax

adverse

and

and

polishers and scrubbers,

pensers, casual sweepers, garment

constitutional

turn,

emphasize that govern¬
liberty are not mutually
exclusive,
althougn legislation

time

but

cases,

that one's friends

mean

natural

may

a

and
down
the drain.
Then our political and
economic climate will improve.

and

ity to deliver, will make for big¬
ger

once

spokesman,

eloquent

throughout the

excess

the

so

the centers of influence. The

most

office and the emoluments thereof.

world, far in

Spokesman

begin with the in¬

for

—

dom

in competi¬

another

step,
must

suasive
come

is

seriously weakened when they do
not stand clearly on the side of
more

within

measures

possibly

a

government

for freedom

free

a

advantages of
door-to-door selling. First of all,
management is in
an
excellent

well-informed, articulate and per¬

government

are

self-

journey begins with

any

freedom

United

politicians

by

outside) who

tion

as

,

States is being led down this same

road,

Articulate

Need

political

economic
power
(property,
investment, production, employ¬
ment, etc.) into the same and a
single government control (that

a

diffu¬

education.

and

destined for

effective

an

draw observers to himself who are

to

stability

institutions

with

ernment

conscious

Dictatorship Is Inevitable

people

human free¬
free market

the

men,

platform

philosophy of limited gov¬

gifted

the concepts of the dignity of man,
the rule of law, limited govern¬

.

free

dividual

with his

living

of

way

throws

the

on

sion of power—then we need

fill

Ruark, in his best-sell¬
ing Something of Value, used this
"If

or

win the argument for
and the

not

need

to our¬
in
private

cannot

We

conversation

Just

Basuto

We

"talking

more

selves."

individual

be

self-improvement.
but

of all these

purpose

should

are

Robert

to

primary

movements

up.

actually

for

Young

growing con¬
(both maga¬

a

literature

standing

dom,

they

and

role

ar¬

by the Chamber of Commerce of

less,

not inconsist¬

constructive

reac¬

as

Freedom

for

campuses,

servative

the

are

improve, the operation of

,

done to stop them — they
to
burn
themselves
out.

be

can

effective mobil¬

more

resources

if not outright denial of

' /■;::;y?

zine and books), the development

economic

-

us

not.

are

powerful,

political

-

to

Y.

slogan "All the

some

population;

makers

N.

ent

context

a

to

people

occupation

exuber¬

CBS

on

NBC brought him to

on

TV

which

emotional

Sullivan

him

ship sometimes of the Right or the
military, but mostly of the Left
(or in the name of the Left), with
from

Legislation and policies general¬
ly which promote competition, in¬
crease knowledge
of the market,

41

Helping Build Florida

42

The Commercial and Financial Chronicle

(2638)

of

transmission

PUBLIC UTILITY

SECURITIES

over

may

considerable

pected to

has been
transmission, espe¬
cially in Europe. In Pennsylvania
in

made

progress

such

13-mile

experimental
line
Public Utilities is
now
transmitting electricity
at
470,000 kw. While further prog¬

a

built by General

How Serious Is the Public Power Threat?
Two weeks ago

extent to withhold funds for

some

problem

many

the

of

in

Administration

new

cussed

in this column the
public power under

of

dis¬

was

It

threat
status

nancial
of the

The immediate

and

Kennedy

made

ments

the

of

public

of

the
and

power

interesting

become

in

far, about the only concrete
proposal is the "Federal power
grid," but other projects are in

make-up,
may

be

Bonneville
to
California,
to be to dispose of excess
Bonneville
power
and get that

link,

seems

but Washington doesn't want
to wait.
However, the principal
reason
put forward in defense of
the

the

on

grid

the

idea

it

new:

of

would

west,

it

extend

is

pro¬

to

a

grid is not

of Bonneville,

but

ago,

years

such

proposed by Dr. Paul

was

Raver, head

present

counted

Federal

The

With its conservative

Congress

reason

public

posed, and might eventually tie in
with TVA, the Federal dams in
the Missouri Valley, etc.

Thus

political

The

red."

throughout

pro¬

moting pet projects of this nature.

the making.

first proposed.
the grid?
for the first proposed

was

the

appoint¬

with

when the

was

exist for low-priced blocs
power—although Pacific Gas &
Electric has an ample supply of
electricity
and
is planning for
adequate expansion of its facili¬
ties.
However, this would be only
the preliminary step—eventually

Administration

sympathetic

philosophy

to

it

What's the purpose oi

might

partment is the most important—

may

power

than

now

of

to

seem

to
(of which

surplus at present)

a

closer

grid idea

California, where the best market

Washington posts—Sec¬
retary Udall of the Interior De¬
who

is

there

earning power

number

a

Bonneville

carry

fi¬

present

is necessary, economical long
distance
transmission ' is
much

ress

proposal is for a

high-tension transmission line

private utilities.

The

has

to

con¬

are

possibilities.

about the

cerned

may

termine whether it constitutes any

serious

utilities

investor-owned

be
interest to pursue this subject
greater detail and seek to de¬
briefly.

very

but -nevertheless

projects,

that

at

some

time

the

power

There

ample

in the Pa¬
few years from

the
to

grid

is

that

wires)

from

tions

might prevail.

area

where

area

one

Thus, in the

surplus

power

available there might be

day

a

while

night,

or

area

was
mar¬

no

hours of

certain

it at

for

the

another

in

few hundred miles away, a

might exist at these times
economic

different

to

it

But

the

doubtful

seems

Interior

cli¬

or

than
to

more

$40,000,000 during the past five years

$76,000,000 at the end of 1960. During

cost

money

same

added

period, 54,000 telephones

bringing the total

now

were

served to

185,000. A record budget of $12,000,000 is

planned for

new

construction in 1961. This

year's Annual Report was received by
10,800 stockholders. The Company serves
some

of the fastest

growing communities

perhaps

methods;
cheaper

tp

in

on

request

from
the

using

by

one

be

public

of

private

the

new

true)

plans

of

public

an¬

for

a

power

But the difficulty

projects for hydro
area

of

have

best

sites

de¬

INDUSTRY'S

IOWA POWER

386%

However,

series of dams

a

Columbia

(under

an

signed
last year) which would provide a
great deal of extra power in
Oregon and Washington both for
public and private distributors.
Moreover, it' is proposed to build
the world's largest atomic power
Hanford, in conjunction
current construction of

plant at
with
a

Agreement

the

plant to make plutonium for the
Department.
Thus the

seems

Sheep

project

will

be

partnership policy with the
developing hydro sites.

There

another

is

insidious

more

means

of

ex¬

power which
is
and might have

public

panding

discouraging effects on the future
such

states

utilities

as

in

some

Kentucky.

of

expansion

REA

able to expand by bor¬
rowing money from the Treasury
at only 2%.
Most of them buy
their power from investor-owned
utilities
(who also "wheel" the
co-ops are

power

to

up

local

the

a

with

connection

distributing

facilities).

plans are under way in some

Now

parts of the country for "super
co-ops" to borrow 2% money and

generating plants

well as
heavy
transmission wires, ~ thus
largely
duplicating the private
power facilities.
With the double
build

as

advantage of very cheap construc¬
tion money

and

no

income tax to

the co-ops could then easily
undersell the private utilities if
pay,

generating units were large

their

cheap power.
originally de¬
signed to function only in rural
areas, it is quite possible that they
might seek to sell power to local
enough

make

to

While; {they. were

which
case
they
valuable
business
from the private utilities.
in

industries,

might

take

away

a

-Fortunately, the co-ops are still
minor factor in the public power
far as output is con¬
municipal power plants
much
more
important.
A

set-up

so

cerned
are

—

.

including

.

and electric
ahead

of

Iowa

Power's

grid

power
some

wean

mi^ht

municipalities

easily
aw^y

from investor-owned utilities with

of

promise

franchises

lower rates.

When

out, municipalities

run

averages.

Power

serves

anced

agricultural-industrial

24

counties—a

tributing facilities of the private
companies in their areas.

further

stall

inroads

into

1,000,000 shares
Corp. class A

Futtermon

the

$13,125

at

share

per

was

Van Alstyne,
Noel & Co. and associates.
the

Of

by

12

June

made

proceeds, estimated

net

$11,955,000, the company will
approximately $4,020,000 to
acquire, or reimburse its treasury
for the cost of acquisition of, the
at

use

equities
in
certain
properties;
$600,000 to repay the principal bal¬
ance of certain notes and mortgage
payable; and the balance to

notes

of

Corp.,

Futterman

The

or

investments.

related

other

make

properties

additional

acquire

580

Avenue, New York City,

Fifth

area.

public power agencies
of all types.
Rather than relying
on any form of Washington lobby,
their best policy would seem to

constructs,
acquires,
leases, fi¬
and on occasion disposes

nances

properties within
States, as

estate

real

of

and without the United

principal

in

or

sentative "

joint

or

i t

a

including

c a p a c

y,

the

within

falling

transactions

repre¬

provisions,' of Federal, state and
local legislation relating to hous¬
ing. The company operates in the
belief that distinct advantages re¬

real
geographic¬
ally and jn use and types of oc¬
cupancy, thereby increasing sta¬
bility and diminishing the effect of
possible adverse economic condi¬
tions in any particular geographic
sult

or

diversification- of

from

both

holdings

estate

economic

area.

; At March 31, 1961, the company
owned

and

Teased,

or

operated,

cases

in

some

total of 31 real

a

estate "properties
or
groups
of
properties, including office build¬

ings, apartment buildings, hotels,
motels and industrial buildings in
29

metropolitan areas.

has made or de¬
distribution of 8
cents a share on the class A stock
for the months January through
The

company

clared monthly

June, 1961.
For

the

after

rent

a

the

common

outstanding

the

of

of

consist

amortiza¬

and

completion of the cur-,

financing,

talization

$6,-

of

net loss of $430,920

depreciation

tion. Upon

of

will

sundry

of class A

shares

3,441,368

capi¬

company

$36,142,055

and

B

income

consolidated

had

subsidiaries

its

and

617,468 and

the Futter¬

1960,

year

Corp.

man

stock

150,000 shares of

class

stock.

stock

WESTERN POWER & GAS COMPANY
for the merger

into

INCREASES

new

Electric

The

IOWA POWER

INDUSTRY'S

to

161%

an

current

common

increase

Gulf States

Gas Company,

&

effective May 1,

of

the

former

Southern

Colorado

Power

the same dividend rate for
stockholders of Central Electric & Gas Company (reflecting the addi¬
tional shares issued in May from the 6-for-5 stock split for such holders
of record April 28th.)
Stockholders of both companies received quar¬
terly dividend payments in January and April, so this June 20 payment
by Western Power & Gas Company, which changes the dividend "cycle,"
plus the quarterly payments to be made September 20 and December 20,
will make a total of 5 dividend payments in 1961.

Company and

I

Consolidated

represents

assets

Company

Beaumont, Texas

quarterly dividend of 25^ per share is payable June 20
May 16. This new dividend rate is
stockholders

Utilities

1961.

stockholders of record
for

NOTICE

DIVIDEND

name

of Southern Colorado Power Company

Central

SINCE '47

continuation of

of Western Power & Gas Company

and telephone

The Board of Directors has de¬
clared

the

following quarterly
payable June

dividends,

each

15,

to

1961

record

Shareholders

of

May 22, 1961.

Class of

Dividend

Stock

Per Shxire

PREFERRED:
$4.20 Dividend

$1.05

$4.40 Dividend

-

$1.10

$4.40 Dividend,
1949 Series

$1.10

approximately $200,000,000, with properties located in
diversified territories in several stales. Favorable diversification like¬

$4.44 Dividend

$1.11

$4.50 Dividend

$1.12y2

wise is evidenced

$5.00 Dividend

$1.25

$5.08 Dividend

$1.27

subsidiaries total

by annual operating revenues in excess of $50,030,000,
from telephone operations and the balance from

of which about half i$

electric

AND LIGHT COMPANY
DES

MOINES 3,

IOWA

The Company has
stock and about 4,500 holders

operations and distribution of natural gas.

approximately 17,750 holders of
of preferred stock.

common

is

engaged in the real estate invest¬
business. It owns, manages,

ment

of

the




Stock Offered
Public offering of

bal¬

ELECTRIC REVENUE

141%

should also

Futterman Corp.

their

markets by

of dividend payments on

Write for Annual Report.

AVERAGE

must pay for it,

widely advertised.

be

buy or expropriate the dis¬

the 20th consecutive year

Iowa

besides the con¬

and that someone
sumer

debt;

revenues—consistently

industry

public power

■

could

AVERAGE

gas

lower¬

after year
fact that
is subsidized power,

utility rates year
despite inflation.
The
ing

,

public

This is
.

investor-owned utilities in

stock

should make every effort to fore¬

it

garding the

private utilities in that area would
to be stymied somewhat in

plans for future expansion, though
during the Eisenhower Adminis¬
tration they established a success¬

publicity re¬
achievements of .the

redouble their

be to

of

seem

1961

Thursday, June 15,

..

Defense^

been

now

ties interested in building the High
Mountain

period of
is ex¬

Investor-owned electric utilities

likely that the four private utili¬

A

a

Canada

is that most

velopment in that
the

(some¬

always been the Pa¬

developed.

build

International

a

cific Northwest.
with

is

it
own

bed"

politics has

in IOWA

funds.

grid.

"hot

The

Everything grows

(over

utilities

have

and

their

Over

years

British

in

unwaranted

an

belatedly,

nounced

SINCE '47

another

have already made some progress
in
interconnecting
large hydro

western

INCREASES

extra

less

to

area

would

300 Montgomery

GAS REVENUE

the

carrying cost of the grid) the

latter

what

San Francisco 4, California

be

would

areaojwhereuitiikP

developments,

•

with the

efficient
generating capacity, as is done in
generating power for "peak load"
requirements almost universally.
Unless a net saving could be ef¬
fected by transporting the power

needed,

WEST COAST TELEPHONE COMPANY
St.

it

generate

the

Moreover,
Copies of our 1960 Annual Report

from

power

even

improvement in transmission

expenditure

in the Pacific Northwest.

available

to move

to another

area

power
this

has

definite figures in

support of this argument. It would
one

plant investment increased by

whether

Department

worked out any

Total

10

PUDs for

another where different condi¬

ket

to

a

mactic conditions.

people's needs

five

ful

big blocs of
could be transferred (over

power

due

Communications

development.

now,

project

be substituted, with Federal

power

Northwest

cific

of the

agency "out
would be an

for this

market

market

KEYED to

disappointed—the Nez Perce site

high-tension wires for distances
greater than 200 miles was un¬
economical. In intervening years

OWEN ELY

BY

electricity

.

JUDSON LARGE, President

COMMON

"

,

$0.25
W. H.

CIESEKE,
Secretary

Vice Pres. &

Volume 193

Number/6064

.

.

The Commercial and

.

Financial Chronicle

(2639)

should

penalize a utility company
by ignoring the cost of compen¬
satory bank balances which, in the

Compensating Balances
And Regulatory Agencies S*
final

analysis/is pay for services
to help make utility opmore

Continued from page

management policy.
increased

be

also

in anticipation

likened

23

Deposits may
by borrowing

of actual need for

of the funds.

Deposit of sea¬
sonal
excess
funds, particularly
from gas sales, also builds up the
use

average.

What

-v'.

.

Happens

When

premiums

address by Mr. White as part of
panel discussion at the 29th Annual
Ccnvention of the Edison Electric Insti¬

look

may

fire,

may seem

is
just as bank balances
a needless extravagance

tute, New York

Money

pointe .1 out at the outset,
the primary use to which deposits
are
put is making loans to cus¬
tomers to assist in their financing
programs.
The remainder is in¬
vested in portfolio securities.
As
in

an

15-year 7%

up¬

Most

lic

bank

of

been

duced,

often

funds

for

heavy

loan

at

portfolios

the

relief by
eral

for

to

this

stage
"loaned

temporary

borrowing from the Fed.Banks.

dwindling

Competition

supply

of

avail¬

able loan funds becomes extreme¬

ly keen from all kinds of business.
It is at times such
a

as

these that

fair and logical method must be

used

correlate

to

witn

funds

available

borrowers'

credit.

The compensatory

record

provides

such

loan

needs

for

balance

guide,

a

as

in all fairness the banks must first

take

care

of

credit needs

of

cus¬

in.

be used

by the company to

repay

debt.

reason,

Wire,

Industrial

for bank balances
in computing the

produces

whose address is
Blvd., Covington, Ga.,
aluminum

woven

screen

working capital portion of the rate
base.

window

As

most

result

a

com¬

with

ances

their

ended

tain

the

difficult

it

found

to

at

a

settlement

time

of

the

were

severe

expensive.

quite

is every reason

shall

the

material

six

months

who, by keeping

compen¬

sating balances, have earned the
right to call on the banks for
funds—especially
ti

e

at

market is "tight."

times

when

Usually the

the

New

will

we emerge
recession there

be

York

dissolved

poration,

to believe that we

will

again experience periods of

be

Stern,

formed.

RichardsHj

Stock
and

Exchange,
a

new

company

Hoffman
Officers

&

Co.,

will

be

.

in

market which

vantages

companies had to hire the person¬

bers

of

of

security

the

emphasizes the ad¬
flexibility in timing
issues

which

bank

Keeping compensatory balances
costs money.

nel

to

as

it would

to

be

the service now
by their banks or pay
for it by fee, it is quite evident
perform

furnished

credit affords.

The

expense may

be

of

about

the

tons

month

per

anticipated

The company has con¬
tracted to sell a minimum of 727
tons per

month to Georgia-Pacific

Corp. and Fiddes-Moore Corp.

30 f Giving effect to the sale of the
debentures,
common
stock
and
and ten warrants to purchase class
warrants, " capitalization
of
shares

units

be
of

equipment

stock

sale

of

in

part

applied

used

for

other

for

the

to

company

La.

as

486,000

tures;

The

common

working
corporate

of Jan. 31, 1961

that cost

It

seems

of service would

go

up.

illogical that commissions

Arthur L.

Carter, general partner

the investment firm

Berlind,

Potoma

of the

change,
board

of

&

of

Carter,

shares
no

of

par

shares

stock,
class

value;

par

B

of

class

$1;

common

and

Weill,

New York

mem¬

Stock

Ex¬

320,580

stock,
war¬

VITAL SERVICES

for California's expanding population

has been elected to the
directors

of

Company's telephone division serves 165,000 telephones in diverse
of southern California. By the end of 1961, all telephones will

areas

dial operated. The Company ranks 10th %gest of the
Independent Telephone Companies; - *

be 100 per cent

nation's almost 4,000
Our water divisions,

which serve the Monterey Peninsula and portions

Theil

pjant investment now exceeds $110,000,000, more than twice

the investment five years ago.

The

ers.

Company's

common

There are currently 16,500 stockhold¬
stock is traded actively in the over-the-

counter market.

Pub¬

lications, Inc., publishers of tech¬
nical manuals, Franklin Square,
Long Island, N. Y.

Copies of our 1960 Annual Report available on request

CALIFORNIA WATER & TELEPHONE COMPANY
MONTGOMERY STREET

•

SAN

FRANCISCO 4, CALIFORNIA

NeW Orleans
INVITATION
to

INDUSTRY
Wm

Over

billion dollars have been invested in

a

new

and expanded

industrial plants built in the immediate metropolitan area of
Orleans since World War II.
This record growth proves

New
that
key industrial center of the nation be¬
industry to locate here has been an invitation

New Orleans has become
cause

to

population within 500

accurate

that

information,

our

Area

host

is

industry also finds in abundance many of the chief resources of
our
country .
oil, natural gas, water supply, power, sulphur,
salt, furs, timber, cotton, sugar cane, rice.

quickly, in strict confidence,
call

New

vantages.

miles!
For

to

Orleans, industry enjoys a unique combination of ad¬
Here is a port—second in the nation in dollar volume—
annually to 5,000 ships — ships carrying the world's
resources to industry's door—ships carrying industry's products to
world markets. Yet, in the immediate vicinity of this great port,

8 of the 10 top cities, 1/2

the U. S.

its invitation

a

opportunity.
In

...

.

Development

Department today.

.

Investigate New Orleans
ness.

A

Public

COLUMBUS AND

SOUTHERN

215 North FrcmfStreet

•„

OHIO ELECTRIC

y-Cftlumbus, Ohio

•

COMPANY

your

A

528,066

rants to purchase common stock.

purposes.

Total

the

was:

$1,620,000 in subordinated deben¬

and

plant

Vacherie,

at

and

the

factory

balance will be

capital

$100,

common

;

from

will
cost

A

stock.

Proceeds

the

of

amount

ofL class

300




by

mid-1962.

Angeles and San Diego counties, provide water service to an
estimated population of 250,000.

Named Director

accounts

in

rate

of Los

public utility

a

bank

aggravated

in

the

cor¬

It would be just as impos¬

ances.

operate without generators, trans¬
formers or a coal pile.
If utility

is

conditions

this

debenture

one

principal

sible for

by unset¬

tled

at

of

The

long-term

juncture

credit

consists

Each

selling price of $163.85,

Sternpresident; Ar,thur> E. Hoffman, vice-president
Regulatorv commissions should and
treasurer; Herbert Dobuler,
take a further look at the real
vice-president and secretary; and'
function
of
compensatory
bal¬ Victoria
Levau, vice-president.
tighter money.

business efficiently without

bank

for

class1 * A

stock.

common

at

June 8th the partnership of
Stern, Hoffman & Co., 52 Wall
St., New York City, members of

alternative

to do

demand

A
a

equipment and for an
bagasse supply. Initial

for the
like
1960
Authorized stock consists

.

tomers

unit, at

duction

To Form Corporation

As

current

the

to

com¬

1,000 tons per month is expected
by the first quarter of 1962, with
rated production of about 1,875

stock, and 162,000 war¬
purchase 162,000 shares

class

The

cane.

On

un-

which in many cases proved to bs
from

of

from sugar

pany has contracted for its plant
site in Vacherie, La., for its pro¬

production

deben¬

of

fibrous Waste
extracting the

after

of 1,000,000 common shares (par
$1) of which 246,454 are now out¬
standing.

ob¬

provide for their normal require¬
ments. Forced trips to the capital
markets

rants

shares

and. hardboard

a

respectively,

bank credit to

necessary

building

For

to

March

period.

tight-money perio:s in 1957 and
1959-60, for example, some public
utilities

and

and

screens

31, 1961, it had net
sales of $658,868 and net profit of
$1,543 against $723,451 and $1,600,

the

In

banks.

door

wholesalers.

matter

a

as

and

hardware

utility

of prudent
management, have operated with
minimum cash, often insufficient
to
maintain
compensatory
bal¬
panies,

common

an

subordinated

486,000

A common

Dodge

where

cloth for sale to manufacturers of

we

irre¬

an

are

only

get

can

Reserve
a

At

banks

game,

as

required

liquidity.

and

such

reach

minimum

maintain

of

periods

and in 1957,

year

many

ducible

of

In

demands,

experienced last

up"

loss, to provide

a

loans.

made

been

this

record

on

are

allowance

any

re¬

For

payment.
cases

has

be

usually

of taxes accrued for fu¬

the form

industries,

have

bank

companies' customers,

to

many

portfolios

have reported that the recent of¬
fering of 75,000 shares of this
firm's common stock at $5.25 per
share, has been all sold. Net pro¬
ceeds, estimated at $341,197, will

position that pub¬

balances have
paid for in advance by the

utility

few

acteristic

Securities Corp., > New
City, and Varnedoe, Chis& Co., Inc.,
Savannah, Ga.,

holm

commissions

regulatory

have taken the

seasonal

char¬

Considerations

Regulatory

ture

are

adequate

tures,

swing in the business cycle and/or

swings, which

sugar

Plymouth

Dodge Wire Corp.

from

York

increase

City, June 7, 1961.

Stock All Sold

received

value

left

managed
jointly by S. D. Fuller & Co., New
York
City, and Howard, Weil*
Labouisse, Friedriehs & Co., New
group

banking service, and particularly
from
bank
credit
availability,
more than
offsets the expense of

As :•

demands

underwriting

board

bagasse,

material
An

initial pub¬
lic offering on June 13 of 16,200
units of National Bagasse Prod¬
ucts Corp. consisting of $1,620,000

the

unless

Is "Tight"?

loan

from

Orleans, La., made

a

821

St.,

insulation

Securities Sold

efficient.

cf

Bagasse

New Orleans, ?' was
organized
in
October 1 1959' to
manufacture
composition board,

*An

insur¬

waste of money if there

a

no

of fire

cost

Gravjer

insuring it.

v-A,".'.

-

The

ance.

like

the

to

National

Nat'l Bagasse
Products Corp.

43

note

to

Service

our

as a

Industrial

prospective location for your busi¬
Development Staff: New Orleans

Inc., 317 Baronne St., will place its assistance at

disposal.

CA 8-6411

New.

Orleans

.

Public

.

Service Inc.

Serving New Orleans with Electricity,

Gas, Transit

44

The Commercial and Financial Chronicle

(2640)

from

for

were

Continued

No.

1
a

ton to $38.50.

gross

General

American

Steel In-

and

Iron

said that
for the

agency

Motors

output

week was the highest it has been
for
such
a
period since mid-

According to data compiled by

„

the

statistical

The

10

June

Ended

stitute, production for week ending June 10, 1961, was 2,042,000
tons (*109.6%), 0.5% under output
of 2,052,000 tons (*110.1%) in the

December of last year although
the figure for Ford has been
bettered.

week

ated by the five major auto mak-

Production
June

this

through

ers,

39,183,000

full

year

amounted

10

Of the 46 assembly plants oper-

June 3.

ended

to

tons

(*91.4), or 29.2% below the
55,362,000 tons (*129.2%) in the

Lincoln-Thunderbird site at Wix-

Mich., and its Mercury plant
at Wayne, Mich., were closed one
day only.
om,

period through June 11, 1960.
The

institute

Index of Ingot

with

concludes

Production by Dis-

tricts,

for week
1961, as follows:

June

ended

44 were in operation for the
five-day week. Two, Ford's

Ward's

10,

next

ProducUon'Vor

week,

will

Ford

truck

plant

but

close

its

Paul

st

at

Motors,

General

operation.

kwh.

Motors accounted for 49.8%; Ford

26

Motor Co- 288'*' Chrysler Corp.

Cleveland

ni+rnif

hi
Cincinnati

Southern

124

Failures

Low

ters had decreases from 11 to 16%.

Compared to the immediately
preceding week, all 34 reporting
metropolitan areas registered de¬
creased
tonnage.
Although
off

June 3,

feet

board

220,943,000

,

.

.

.

.

226,266,000 board
prior week, according

in the

regional associa¬
ago the figure was

reports from
year

2%, shipments were

7.6%, and orders rose 6.2%.
Following are the figures in

up

of

the

for

feet

board

_Total industry
*lndex

Of

weekly

age

i

.

Auto

production

for

1957-59.

its

late

U.

S.

Bradstreet,

exceeded

OQQ

weeR

9

As

1939

car

well,

when the toll

Failures

$100,000

with
week,.with +U-, rintinn' fwn lnno*
the-nations two larg-

wppk

in

busi-

more

or

more

hi

279.

was

with

the

45

t0

25%

the 2Q5

June 4

May 27
1961

1960

level

;

fi

Wholesale Commodity Price Index

nates" into"TfarauS

WeekS 3nd "oticeaMy above the
ties involving losses under $100,-

assembly
i+K

Industry
from

the
the

and

units

was

139,423

was

000

^

of

out

in

sembly site
rr,

Ford Motor Co.

one

was

oon

from

™
week of

.

A

The

of 43,713

crease

cars

and

cars

21.9%

or

also

week

below

concerns

failed

than

a

except manufacturing.

406

West

34th

Street

in

that

sponding
above

of

3,290

1959

Cumulative

CITY

47

227,658

for

class

58

were

10

of

Year Ending
March 31

471,750
66

507,000

$134,135,192

$48,121,363

;
!

1

Average Shares Outstanding*
.

$43,722,553

in

the

19

$6,331,491

5.8

2,553,678

$5,320,067
2,412,848
T

*Stock split 2-for-l

the

L—



S. rail¬

week

current

com¬

53

one

ago

year

corresponding

and
in

week

>

Below

t"

12

$2.48

the

side

down

corn,

,

$2 21

quired in the following year three

hams,

barley,

oats,

rye,

cocoa,

and steers.

The

Dun

Wholesale

Price

of

Inc.

Index

rep¬

total of the price

sum

pound

per

Bradstreet,

Food

the

resents

&

31

foodstuffs
It is not

raw

and meats in general use.
a

cost-of-living

function

is

trend of food

index.
show

to

Its

the

chief

general

prices at the whole¬

sale level.

Exceeds

30,

the

Year

come

of

$269,000. In the comparable
of 1959, total income was
$1,750,000
and
net earnings

period

per

June

3,

ended

areas

some

in

buying

June

retail trade

14, helping

move

up

ap¬

preciably from the prior week and
fractionally from the similar pe¬
a

Gains from last

ago.

year

occurred

year

ture,

in

sales

of

wom¬

apparel, furni¬

passenger cars and food

new

products, but purchases of most
major appliances, linens and floor

coverings lagged behind. The call
men's

the

apparel

close to

was

a.

.*■.*

:

tions, Inc., announced. Truck ton¬
nage was 12.4% behind that of the
previous week of this year. This

fell

is

largely attributable to

Memorial

Day holiday whieh

Tuesday of the latest week
reported. • on

These

weekly

port

findings
survey

are

based

on

the

of 34 metropolitan

conducted

by the ATA De¬

Economics.

flects
than

The

report

handled

tonnage
400

at

truck terminals

carriers

of general
throughout the country.
mon

from

terminal
showed
a

Fifteen

Increased
1960

The

year

survey

increased
ago

points

at

19

reflected

of

re¬

Department

1%

Federal

Reserve

dex

for

week

showed

for

the

For

the

Board's

in¬

increase

an

June

of

period

last

ended

May

1%

3,

1%

year.

period

27,

income
of

and

Capitalization of the trust

of

as

May 31, 1961, consisted of $6,056,259 of debt and

beneficial
par

1,233,196 shares of
outstanding,

interest

$1, not including 50,000 shares

which

the

have

underwriters

the

National Food

/

Marketers, Inc.
Stock All Sold
Pursuant

to

1961

May 29,

a

pro¬

spectus, Amber, Burnstein & Co.,
40

York

New

Place,

Exchange

publicly offered and sold
100,000 shares of this firm's com¬
mon
stock at $4 per t share. Pro¬
City,

will

be

used

the

by

com¬

advertising,

working

and

capital.
National
Blue

Marketers

Food

of

Camden
County,
New Jersey, produces frozen pre¬
pared seafood, meat and poultry
products which are packaged in
Anchor,

ready-to-cook portions for sale to

hospitals,

schools,

restaurants,

clubs, hotels and industrial feed¬
ing establishments. The company
also
produces frozen meals for
The

Brass

Rail for

in-plant feed¬

ing of industrial workers through

Authorized

vending machines.
of

which

are

now

approximately

outstanding.

Godfrey, Hamilton Branch
ALLENTOWN, Pa. — Godfrey,
Hamilton, Magnus & Co., Incor¬
has opened

porated
fice
the

at

666

of

June

ended

over

branch

a

Hanover

direction

3,

last

Form

Ave.,

John

of¬

under

Kasenchak.

"i

Bayer, Hebert, Wake

CHEYENNE,
ert,.

the

to

System,
in

New

ended

above

decline

June

the

reported

City

Wake

Wyo.—Bayer,

&

Co.,

Inc.

3,

same

Heb¬

has

been

1710

Cen¬

the

For
a

above

the
6%
the

same

four

a

secu¬

Steiner,
principal of the firm.

WASHINGTON, D. C—The firm
of

Thomas

G.

Terrio

Asso¬

period

name

weeks

ciates, Inc., 1343 H Street, N. W.,

increase
1960

1%

in

Harlah

Now Terrio Co.

week
a

at

engage

business.
a

sales were
period last

preceding

with offices

tral Avenue to

store* rities
the Jr. is

for

27, sales showed

ending June 3,

Re¬

department

over

year.

Federal

York

the

In

year.

last

dis¬

gains

shareholders.

tributed to

formed

sales

ordinary

on

.

According
serve

tax

capital

a

reported. The

was

year.

1%

tonnage

a

ended

1961, sales advanced 6%

week

last

on

week

of

four-week

com¬

tonnage
localities.

permits real estate in¬
to be relieved of

trusts

320,000

taken from

like

ended May

for

vestment

■■

decline

more

freight

Estate

shares

Above

sales

as

the

1961,

qualify

to

1, 1961 under the Real
Investment Trust Act
of

Week

store

country-wide basis
the

intends

trust

stock consists of, 1,000,000 common

cent below the volume

in the corresponding week of 1960,
the American Trucking Associa¬

the

Sales

one-half

was

The

after June

for the repayment of debt,
the purchase of additional equip¬

Ago

in

consumer

week

over-all

Nov.

ended

the trust had total in¬
of $1,720,000 and net income

1960

ment,
stimulated

months

six

the

In

pany

Fractionally

weather

year ag6:

in

trusts, all

60 years.

over

ceeds
Trade

Week

tonnage

business

of which had been in business for

On

flour, wheat,

were

coffee, cottonseed oil,

sugar,

for

Corresponding

truck

ended

one

week

on April 5, 1961

cor¬

re>al estate

owns

this

cost

potates and hogs.

en's and children's

with

The

j

of

partment of Research and Trans¬

-

/

Earnings Per Average Shares

U.

trust

option to purchase.

wholesale

in

were

riod

areas
-

Higher
week

systems originating this type

Intercity
i960

$152,906,652

preceding week.

Nationwide Department Store

11, MISSOURI

527,200
,

I

of the

to¬

increase

an

2.7% above the

or

cars

decrease

14

1961

will be

the trust in income-

states, much of the property
being held under long-term lease.
Organized in 1955, the. trust ac¬

Index,

Bradstreet,

&

the $5.92

from

0.5%

piggyback loadings
weeks of

the sale

from

by

income

38.5%

One-half of One Per Cent

March 31

down

Better

in

;

;-

Year Ending

invested

Federal

Week

Price

Food

Dun

by

Retail

1959.

80

4.0

an

Intercity Truck Tonnage Was

492,540

21

corre¬

and

or

cars

year

Inc., dipped fractionally this week
and was unchanged from a year
ago. On June 13 it stood at $5.89,

week.

for the first 21

week

4.4

the

1960

responding period of 1960 and
68,094 cars or 42.7% above the
corresponding
period
in
1959.

1961

Increase

over-all

increase of 271

above

week

the

(which were

week's

was an

of

increase

revenue

more

or

1961

2.3%

or

cars

one

May 27,

total). This

road

Percent

Parent Company

week

1959

Prior

From

Wholesale

compiled

11,831 cars reported

1969

to

the

but

were

included

in all industry and trade

year ago

groups

KANSAS

Net Income Available

1960

Memorial

the

the

eggs

There

Incorporated

,

corre¬

ended

United Utilities

Total Operating Revenues

in

did not.

pared

Plant and Property, Less Reserves

the

a

After two consecutive increases,

149,350

1959. The

in

included

Holiday

traffic

Total Customers

of

decrease

a

sponding week

There

Percent Dial Operated

7.6% be¬

or

_

OF

Telephones—

de¬

a

thecorresponding 'week

1960,

am°»g

PROGRESS REPORT

;•

j%h

*<-*>

m

loadings represented

loaded with

More

Proceeds

1960 which

Fractionally

in

531,267 cars, the

Holiday, totaled

corresponding date

ago.

1961,

3,

Association of American Railroads

6,034

•

June

which included the Memorial Day

taled

i

freight

revenue

ended

highway trailers or highway con¬
tainers (piggyback) in the week

135.

near-optimum level following

>'

of

week

Day

teO

28 from 18- Milder increases prevailed in manufacturing, where
mortality mounted to 50 from 41
and in ^tailing, up to 159 from

General Motors Corp. and Ford
Co. geared car production
a

Loading
the

272.55

and

Wholesale Food Price Index Down

construction, up to 63 from 40,
and
commercial service, up to

in operation.

Motor
to

304

a

7.6% Below
Corresponding 1960 Week

earlier

week

a

the

on

*ron} 20, while casualties were half
again as heavy as last week in

as-

_

„

269.46

Showed

Higginson Corp.
priced at $20 a share.

Lee

The stock is

$253,000.

Bradstreet, Inc., stood at 269.07
= 100),
compared with

199,031

Loadings

and

Inc.,

Massachusetts

220,642

Decrease of

(June 15) by
headed

group

jointly by Paine, Webber, Jackson
& Curtis; Kidder, Peabody & Co.,

flour,
sugar, hogs, steers and hides off¬
setting increases on butter, Iambs,
cotton
and
rubber, the general
wholesale commodity pr|ice level
slipped
fractionally
this
week
from the prior period.
On June
12 the Daily Wholesale Commod¬
ity Price Index, compiled by Dun

211,281

Car

underwriting

an

(1930-32

wholesalers
J^oie than doubled, rising to 49

SnnW??1J?™ '
m *5® Pre*
TiarVn/ with33?^!10^ a+v? C?ofin
week
25,041 in the 1960
,

to

„

production rose to 23,832

in-

Casual-

year.

sharnlv

rose

The ,to11

*

no

j

ffthe tmifar

last

91%

to

turned

27 of this size last

48%

up

Produced

equal

cars

Parallel

a

comparable week of last year

all but

as

output

85,645

week

lnto

paces

+v,

in Latest Week

With lower prices on grains,

205,802

low

mJL Automotive Reportswee.^»
yea£~ag0
Wards 5
said.

years.

Down Fractionally

216,708

of

climbed from 26

hest

is being made today

in 12

224,565

Freight

Es¬

Investment Trust of America

tate

States. The

226,266

announced.

liabilities

con¬

of Real

interest

producing real estate in the United

previous

221,424

..

and

agQ

is

shares

offering of 500,000

beneficial

of

the

of

decreases

Public

ing similar Memorial Day weeks

220,943

Inc.

succumbed than in pre-war

nesses

Memorial

year

magnitude

ter¬

Stock Offered

in

Shipments--

considerably

•

„

a

1959.
pace

passenger

&

the 283 occurring ln the similar

,.

spring

abbreviated

week,

to

Week
weeK

June

Ended

an

Dun

' Casualties

♦«

j

Climbed

Cars lor
cars for

reported

Denver

Investment Trust

sistent with that experienced dur¬

Production__

ended June „ frQm the holiday
low of 254 in the preceding week,

aver-

on

-u

Production

Regaining
Day

based

n

126 905
12b,905

after

109.6

production

Real Estate

&

Compared with 1960 levels, out¬
put climbed

rebounded to 349 in the week

ures

innc

and

shown for

with

compared

A

City

The

week-to-week

production in the United

Lumber

States in the week ended
totaled

minals.

Volume

1960

of

Ahead

7.6%

Were

Orders
rp

results

Oklahoma

Shipments

June 3

Commercial and industrial fail-

cen¬

week, relatively

Rebound

Holiday

four other

were

1961

From

year-to-year

greatest

decline;

favorable

thousands

Business

the

re¬

from the previous

Lumber

year's sales.

an

19.7%

of

week.

weeks indicated:

111

ported
tonnage

with

terminals

decrease

857,000,000
kwh.,
or
6.1%
above that of the comparable 1960
and

Corp.

'and

119

Western

Motors

1"5 /o'

122

St. Louis

American

12.4%;

100

13,887,000,000 kwh.

week's total of

Of the week's output, General

inn

~

v^nnrtcfm.m

previous

of the

that

above

216,708,000 board feet.

^

rmtshnrp-h

Edison Electric
1,117,000,000

the

Institute. Output was

tions.

fLlP

ke

Detroit

over-all

to

over

cities—Min¬

terminal

St.Paul,
Birmingham,
Francisco, and Denver—had
gains in truck tonnage of 10% or

more.

to

102

energy

by the electric light
power industry for the week
ended
Saturday,
June
10, was
estimated at 15,004,000,000 kwh.,
according

3
last

June

to

increase

1%

a

1

Jan.

from

San

distributed

dicated that their plants will again

East Coast__

electric

of

other

tered

and

feet

North

while
Showed

terminals, which regis¬
an
unusually poor week a
ago, showed a 39.4% gain.

neapolis

Week

1960

amount

The

Jun.eA?'1!,G1

x

in

Than

Chrysler Corp., American Motors

^

28

6.1% Higher

Output

Electric

and Studebaker-Packard have in-

^

when

year

recorded.

Ending-

Week
~

said

and

car

decreases from the 1960 level. Salt

Four

last

than

higher

noticeably

were

Thursday, June 15, 1961

Lake City

year

but

49,

ceeded production.

Steel Production Data for the
Week

sales Isupcesses

the month of May, when deliveries of some make cais ex-

melting grade is up

heavy

$1.17
T

encouraging

from page 10

to 44

failures dipped

Canadian

STATE OF TRADE AND INDUSTRY

...

been changed to

was

period,

Inc.

.

.

,

,

Terrio & Co.,

193

Volume

Number 6064

.

The Commercial and Financial Chronicle

.

.

MUTUAL

passed.

FUNDS

(2641)

In

these

fast-changing

invest

to

in

wider

a

selection

of

ROBERT E.

RICH

securities.

and

BY

times it may even be that the rail¬
roads will one day find friends

limited to the American and New

textiles

that

The Forward Look
decade

of

World

between

War

II

and

the

the

close

Anglo-

French fumble of the Suez attack

oil

the

stocks

than

other

any

nies.

appeal
community

more

investment

the

for

held

They've been

others

have

these

equities

managed

in

to

investment

portfolios.
dency of analysts has been to

the

with oils:

negative
glut,

a

in

em¬

dealing

peril to the tax

a

shelter, a threat from foreign un¬
rest, a shaky price structure and
much more of that sort of thing.
For

have

relief

welcome

a

we

now

forward-looking study by
Petroleum Shares of Group

the

decade

of $4.6
of

a

Securities, the 27-year-old mutual
specializes in oil and gas

fund that

holdings. By 1975, says Petroleum
Shares, our petroleum consump¬
tion will grow to three times the

York Stock

sales volume

1957

a

billion to

annual volume

an

$14 billion by 1967, or 46% of
chemical tonnage and 71 %

only does the study make
impressive argument for the
future of the oil industry — its
look

either.

data

the

is nothing to con¬

Thus,

performance
show

Shares

Petroleum

on

astounding

growth

of

in¬

an

in this specialized fund.

vestment

An assumed investment of

$10,000

the fund,

in

with all income and
profits
distributions
reinvested,
would have grown in a period of
little
more
than
20
years
to
Anyone who has tucked away
in his portfolio the past few years
issues

find

Oil

Standard

as

Co.

and Pure Oil Co.,
of encourage¬

(New Jersey)

a measure

the

in

ment

Shares

Petroleum

study.

shares
INC.

Prospectus from

your

dealer

or

Selected Investments Go.
1-35 S. La Salle

the

of

Atlantic

overall

Refining

DIVIDEND

is

paying

16 cents

per

trust

at

the

income,

1961

19,

of

dividend
share from

of

a

investment

June

Fund

net

for

1.6%.

to

the

of

economy

not be able to

may

equal over the next score of years
the performance of the past 20,
it

is

investment

rare

a

who

investor

stake

sizable

or

group

retain

not

does

a

petroleum

in

equities.
financial

fashion-minded

district

took

once

dim view of

a

Yet their sustained
popularity and consistent growth
utilities, too.
over

the last

16 years are unsur-

The Dominick Fund,

This

preceding

*

increased from $99,300,958
118,816,685 during the year
ended April 30, according to the
fund's second-quarter report. Per

share

asset

$9.01
period.

the same span it elimi¬
Chicago, Rock Island & Pa¬
cific Railroad, Continental Baking,
Grumman
Aircraft
Engineering,
Interchemical, Seaboard Air Line

Railroad

reduced

Samson Fund Inc., a

investing

in
to

from

the portfolio,

same

1.8%

bonds

to

and

of

New

purchases

5.4%.

included

Ford

the COMMON

of

per

of

Payable July 1, 1961

United

into

Artists, United Merchants
and WorthingCorp.

Manaufacturers

ton

*

Keystone

Growth

Common

S-3 showed

Fund
net

*

*

value per

asset

first

six

months

told

35,888

Stock

32.2% gain in
share for the

a

the

of

current

President S. L. Sholley
shareholders!.in his

share
the

a

Fund

a

share

on

the

June

shares

Erperson Electric Manufactur¬

ing Co. brought holdings in elec¬
13.8% of the port¬

tric products to
folio.

Included
of

the

vidual

in

Telephone

this

fund's

holdings




the professions. It has an author¬
ized capital of 1,000,000 common

shares, of which 250,000 will be
outstanding on completion of this
sale.

FUNDAMENTAL

Investing in

common

stocks

selected for possibilities of growth
in income and

capital

the years.

over

group

are

largest

indi¬
International

—

Telegraph, Philips'
Litton
Industries
and

Lamp,
Zenith

Radio.

In

the

last

six

a tech¬
viewpoint.
Stevenson, President

Fund

tion

in

printing and publishing
acquisition of 7,000 shares
18,040 shares of
Donnelley & Sons. In the

of Time Inc., and
R.

transportation category, Keystone
increased its holdings in United
Air

Lines Inc.
:'l!

*

!js

An increase of 18.4%

in net asset

recorded by

was

in

Trust

the

Lexington
first

six

of its fiscal year, accord¬
boosted

a

net

asset

value

a

$12.22

share on April 30 from
share six months pre¬

tion

in

research
properties
of

DIVERSIFIED

microwave

and

INVESTMENT FUND, *
A balanced investment

in bonds, preferred stocks and
common

12 months, from $9.74
$13.64 (as at May 31, 1961) and
110%in the last two years—from
$6.49 to $13.64.
in

fund

stresses

companies active

fields.

It

invests

investments

scientific
primarily
in
in

stocks
of publicly-held
companies, but can also purchase
securities privately, even before a
public market exists in the com¬
common

mon

stock.

Samson
fund

&

is

a

companion

Convertible

Capital Fund
*

Investing for long term growth

[possibilities in securities of companies|

Fund

Samson

to

curities

DIVERSIFIED GROWTH
STOCK FUND.*

*

in many

Se¬

a

the

reflected

for

the

substantial apprecia¬
market

prices of the
holdings

stock

common

which, at the close of the fiscal
period, accounted for 61.9% of
with

remainder

the

in

senior securities, other than 5.7%
in cash and governments.
John

President,

Templeton,
that

a

factor

told
in the

fields of scientific and

economic

Inc.

development.

*

Westminster Fund Inc. announced
has filed

it

a

second

amendment

its registration statement with
the Securities and Exchange Com¬
mission increasing the total value
to

of capital stock registered from
$100,000,000 to $125,000,000. West¬
minster Fund was organized to

provide investors owning securi¬
ties with large unrealized profits
the

opportunity to diversify their
holdings without incurring Fed¬
eral capital gains tax liability by
exchanging

their

securities

Hugh W. Long and Company
Incorporated
Westminster at Parker

Elisabeth, New Jersey

•

for

shares of the fund.

Peabody & Co. Inc. is

Kidder,

Investors!

dealer-manager of the public of¬

increase

stocks.

to

months Keystone S-3 took a posi¬
with the

in

active

and

research,

maser

in the last

fering of the shares of Westmin¬

CONSIDER

.

.

.

ster Fund.

'EATON
Waldorf Auto

ing

a

circular,

stocks for current income
and

May 19, 1961 offer¬

Martinelli

HOWARD'

Investing in bonds,
preferred, and common

Leasing, Inc.
Pursuant to

&

Balanced Fund

■

Stock Offered
&

possible growth of

principal and income
...

since 1932

Co.,

Inc., First Atlantic Securities Co.,
and V. K. Osborne & Sons, Inc.,

Stock Fund
Investing primarily in
selected common
stocks for

possible
growth of principal

Affiliated

and income
...

.

since 1931

Fund

payable July

A Common Stock Investment Fund

15,

1961.

The

Investment
are

dividend

possible

objectives of this Fund
long-term capital and
for its shareholders.

income growth

payable from net investment

Prospectus

upon

request

income.

£»:

Prospecfuses^available
your
EATON

Investment Dealer
& HOWARD,

Name

Lord, Abhett & Co.

Address.

12, 1961.
New York

—

Atlanta

—

Chicago

—-

Los Angeles

—

San Francisco

from I
or

Incorporated

24 Federal St., Boston 10, Mass.
□ BALANCED FUND

R. S. Troubh

June

Waldorf of 1712 East 9th Street,
Brooklyn, N. Y., is engaged in the
leasing of automobiles to corpora¬
tions, individuals and members of

carry

spectroscopy, is one of three phys¬
icists founding the fund.
Previ¬
ously privately operated, net asset
value per share appreciated 40%

&

Treasurer

York 6, PI. V.

Net proceeds,
$227,500, will be used

the Capital Stock

Payable July 1, V961

65 Stood way,'N«w

share.

univer¬

in

I

is

$2.70 PREFERRED STOCK

19,

this
stock

financial
J.

semiconductors

dividend of 8 cents

on

of

common

laboratories,
analyze com¬

to

microwave

The

semi-annual report.
The addition of 10,000

1961, to stockholders of record

67Va cents

and

optical

Board of Directors today

The

STOCK

'

par

purchase of new automo¬
biles, advertising and sales pro¬
motion, and working capital.

St., New York 5, N. Y.

declared
on

seeks

Saihson

Co., Pacific Finance, Pure
Oil, Union Oil Co. of California,

Motor

appreciation was a change in pol¬
icy effected early in the fiscal
period which permitted the fund

'I'

publicly

industrial

and

fund

Mirek

'

share

regularly

research

nical

5.6

Dividend Notice

'

a

is
the

Lazard Fond, Inc.

Record Date June 20, 1961

City,

shares

panies in depth, from both

from

Second Quarter Dividends

30 cents

who

scientific

the

fields,

and pre¬

M.

44 Wall

'

per

the public for
Organized by a group

time.

scientists

on

mutual fund

scientific

to

stock

shareholders

f

at

cent

sl!

notes from 26.5 to 25.9%

fund's

THE

*

increased

the

most part

n

10

INVESTORS,m.

Plywood.

ferred

The

Secretary

S.

the

in

viously.

STOUT

U.

and
*

sities

assets
S.

Vice President and

American

Can, Ameri¬
can
Motors, Beaunit Mills, Dan
River Mills, Halliburton Co., In¬
dustrial Rayon, Parker Pen
Co.
class A and B, Sheller Manufac¬
turing and U. S. Lines.

first

of

compares

in assets and $7.64 per share on
April 30, 1960.
During the three months ended
April 30, 1961, Puritan additions

quarter,
common
stock holdings increased from 66.1
to
67.5%
of the
portfolio. Net

$10.34

stockholders of record

to

&ri^$ontinental

Company

value

$9.72

to

During

was

This

$76,226,616 and $7.19 a share
six months earlier and $72,476,420

included

firm's

$3

York

100,000

for the

with

available

net

from

1.2%

share.

per

New

nated

$

to

dividend of

JOSEPH

Investment

*

Fund

increase

declared on
the capital stock of the Cor¬
poration,
payable July 15,

Diversified Closed-End

*

Net assets of Incorporated Income
to

$8.40

of

Over

year.

ing to its semi-annual report. The

closed-end

On June 13, 1961 a

1961

A

net

share at the close of the

a

months

Inc.

June 30, 1961.

or

reports

April
equal to $29.19
compares
with

year was

share.

Income

12jf per share was

Incorporated 1818

Inc.

Fund

30 fiscal

value

Dividend No. 150

Mass.

fund's

asset value at the close of its

R.

Investment Company

State Street, Boston 9,

lHaydock

four

While the shares of the oil com¬

June 16, 1961.

50

the

The Funds Report

of

A diversified

tfnluAance ^cni/iany, Trustee

Distributors Group Inc.,
Street, New York 5.

McGee,
Richfield
Oil,
Socony
Mdbil, Standard Oil of Califor¬
nia, Union Oil of California and
the star, Texaco. Pure Oil is down

business

of

sponsor,
80 Pine

fiscal year,

holders

to

national

and

to
Other issues which make
up
more
than 4% each include
Cities
Service, Gulf Oil, Kerr-

payable

certificates of record
close

lor

it.

top

The

Life

Massachusetts

Phillips

and

Petroleum, each accounting
over
5%, are the only issues

panies, basic
this country,

Life Fund

comprising nearly
investment.

troleum Shares,

St., Chicago 3, III.

Massachusetts

the

dealers

&

Indeed,
Jersey
Standard
is
among the
top holdings of Pe¬
5%

american

misgiv¬

of

cash

$163,000.

may

Selected

future

an

petrochemicals show the greatest
promise for dynamic growth. "The

calculates

also

the

all

offered

estimated at

*

Puritan Fund Inc. reports for the

$24.45

ceal

*

third quarter, ended April 30, total
net assets of $101,960,911, equal to

of its dollar value."

such

It

rate.

have

oil

about

per

backward

Exchanges.
*

those who

gas

total

that

1955

from

Not

Over the last few years the ten¬

phasize

entrenched
in
plastics to de¬

cals industry gaining 200% in one

buck the trend toward downgrad¬

ing

already
deeply
everything from

of favor

out

al¬
though companies like Texaco and
few

petrochemicals field,
with assets of over $5 billion, is

tergents," notes this study, adding
that "experts see the petrochemi¬

for more than four years now,

a

dynamic

compa¬

of

group

stock purchases had been

common

stocks, we commend the
study made by Petroleum Shares.
Copies are available at investment

ings
and

the

command

respect.
As for

In

will

Previously, the fund's

45

□ STOCK FUND

J
J

|

I
I

=°i

i

46

The Commercial and Financial Chronicle

(2642)

OBSERVATIONS...
Continued from page
President
likewise

the

in

move

4
to

years

over

You

to "the right"?

that

state

'<

The

value

asset

Fund

Mutual

of

record

there

are

that is cash-ins at
by holders, as just

During the month of April they

Some branch store development is of that sort, but not

nature.

months,
April,
theytotaled $448 mlagainst $289 million in the
four

of this y ear

lion

Thet
These

totals
totals

lively,

46%

constitute
constitute,

respeclespeu

and 36% of concurCalculated as a per-

sales.

rent

(thllMmDtoXoon
(the redemption
pool_ ),
5?®
2.4%
•

ih-

1960

of

npriod

rorrocnondinu

31 more
1 Qgn

:n

oi»

1

fmm

vmi-

1.9% in 1960.

this year from

the

Companies,

trade

association," has, under the aegis
of
Research
Director
Harold
Oberg,

just completed

period

study
The

havior.

of

ratio

the

17-year

a

redemption

of

be-

analysis, based on
cash-ins
to
net

shows substantial correlabetween
their fluctuations

assets,
tion

Exchange volume and

and

Stock

the

course

stock prices.

of

^

^

indi-

again

correlation

This

fund
holders'
desire to transfer into "Hot Stock,"
or increased confidence
in timing
the

cat.es

these

of

Both

market.

the

urges

aims provided by the Fund technique, in
the way of long-term and expert
management, relieving the inexperienced "holder
from making
portfolio decisions. Instead apparently, the Fund buyer too often
sabotage the beneficial

decisions:

of management

series

two

makes

Fund

in choosing a

one

or

Continued from page

stepping

for

reason

edu-

investor's

the

*

*

*

all applaud these objectives pro-

vided that they are linked with

the goal of: general price etabilit^
The tact is
and

column, 'Rockets, SateiInvestment Growth,

our

and

—

last, we maintained
corporate outlays regarded as spelling expansion and
set up
as
capital assets in accordance with proper accounting
of

April

that

27

many

procedure,
—at

should

really

are

least

defensive
and

investor

the

by

offset

be:

by

achieve

.

by

us

increased
retail

the

of

fniinrp

denotesfailure> of.the
p

outlay to b 1 g i

.

_

earnings.

SZ

,

We cited the

busmes
frpnuent

frequent
prompting by the need to match
the improvements made by competitors and by the customers'
changed buying habits. We spesuch

expenditures

cifically
the

and

stores as
We

cited
air-conditioning
opening of surburban
at least partly defensive.

further

quoted from

dis-

a

cussion with Crawford H. Greene-

walt,

to

referred

pondent
President
venerated

by

our

below,

^

growth institution

Pont, agreed that the current
emphasis on research activities,
along with cash flow, omits their
du

partially defensive nature.
These conclusions elicited some
Hicaprppmpnt

mnnirants

verbal

from

including

officials

V.1 ah

full

fagter

growthi

and

inevitable

to

maintain

and

p,oyment

em-

government

the

that

em-

u

problem of

inflation will return,
This [s because a tight economy is
COmbating

bound

to

cost-

the

strengthen

pUSh forces of inflation. It is also
^he

type

of

excessive
b>e

likely

are

to

problem from the viewpoint

a

0f

demands

which

in

economy

price stability.
j

^

not

that

suggest

mean

stability of the general price level

js inconsistent with the pursuit of
fun
employment
and
vigorous
economic
growth.
Rather,
I
strongly
believe
that
general
price stability is absolutely essential to sound and sustainable eco-

nomic growth. The point is that
under conditions of full employment and accelerated growth the

job of maintaining general price

stability
becomes
exceedingly
difficult and requires more timely
and better informed Government
and
we

than

private policy actions
have had in the past.
r

.

_

tried

of

com-

the

of

one

Federated

De-

is

1960s,

equally

set

forth,

on

infla-

*
lem,

but

to

(3)

Although

force's

inHafion

Qf

I

opinion

based

will

be

expansionary,

stated briefly

follows:
We

kRity of
ionged

rule

out the possi-

significant and prodecline
in
the general
any

chronic slack will prove to be a
myth, and that the aggre-

gate spending by consumers, busiand

say

no

the

I

tempted

am

to

that with the huge volume of

private and public debt which has
been built up during the past 15
years any

conceivab e.

value

Indeed, there are many
economists today who argue that
this degree of inflation is justified, if not required, to permit the

achieving of full employment and
faster growth.
whether

(4)
Qf

fuR

,

.,

.

.

follow-

the

maintenance

ing

approving

letter comes from

the

Executive

Vice-President

another leading

retail chain. ;

of

growth




represents

a

are

fact0rs

business

v

"Your editorial comment on investment

usually traceable to
as
large
Federal
deficRs
and
excessive
liquidity
resuiting from policies adopted
gucb

in

their

recession

impact

but

until

delayed

the

phase of the cycle. So far

we

boom

have

Mon¬

Growing

a

for

Eco¬

York

Fifth
21, N. Y.

Trade

in

New

711

711

14th

ton

Common

-

versity

employed

they

ing, and

on

achieve

to

pursued

are

and if such

accompanied

are

by

ep-

propriate monetary policy, I think
that there is a
good chance to
accomplish

full

somewhat

sound,

a

without

employment

and

higher growth rate
sustainable
basis

incurring

further

infla-

Finally

the

rise

steady

in

the cost of services even in busi-

generaj
wiu

price

level,

probably

some area
th

the

remain

re¬

the

services
trouble-

a

Describing the Background and

1 Wall Street,
5, N. Y. (paper).

Company,
York

June

Freeman,
articles

1961—Containing

Art

on

Abundance

versus

of

O'Leary

Dr.

before

the

Like

Blue

Guide to Personal Success in Man¬

agement

—

Outline of

velop

Fred
a

DeArmond

An

—

Program Designed to

Managerial

Skills,

De¬

Working

Methods,
and
Achieve Results
Prentice-Hall,
Inc., Englewood Cliffs, N. J., $4.95.
—

15th will admit
partnership,

to

y

'

.

Nations

De¬

—

Pamphlets Highlighting
the People and the Lands—Indo¬
nesia, 15 cents; Morocco, 10 cents;
Nigeria, 5 cents; Togo, 10 cents—
Superintendent of Documents,
U. S. Government Printing

Office,

Washington 25, D. C.
Source of

New

Capital Funds for

Small

Business—12-page booklet
Midland
Capital corporation,

—

William

Street, New York 38,
(paper).

New

Wage

and

Law—Re¬

Hour

vised Edition—Bureau of National

Affairs,
Inc.,
1231
24th
Street,
N. W., Washington 7, D. C., $9.50.
New

York

State

Book—1961

ing Data

Business

Fact

Supplement—Updat¬
the State's Economic

on

and

Metropolitan Areas, Counties
and
Major
Communities — New
State

Department of

Division

merce,

mation,

112

of

State

Com¬

Public

Infor¬

Street, Albany

7, N. Y. (paper).
Patchwork History of Foreign Aid
—j-jorna
—

Morley and Felix Morley

American

Enterprise

Associa¬

tion, 1012 Fourteenth Street, N. W.,

Political

Handbook

of

the

World,

East

68th

Primer

Street,

of

Labor

New

York

21,

Relations—Bu¬

"of National

reau

Affairs, Inc., 1231
24th Street, N. W., Washington
7,
D. C., $1.
Tax

Exemption of Cooperatives—

An Economist's appraisal of a spe¬
cial tax privilege—Robert T. Pat¬
terson

Inc.,

University
Publishers,
East 54th Street, New
22, N. Y. (cloth), $5.
—

59

Union

Democracy in West¬

University Press, Washing¬
Square, New York 3, N. Y.
(cloth), $6.50.

Walter Galenson
University
of
California
Press,
Berkeley 4, Calif, (paper), $2.25.

Money

University of Chicago Press: Fall

Publish¬

1961
Catalogue — University
of
Chicago Press, 5750 Ellis Avenue,
Chicago 37, 111. (paper).

Porter—World

Company,

New

York,

N.

Y.

(cloth), $3.95.

the
—

Realities
Louis

of

Wnlctr*«

vycumuii wmcerb

—

Tax

our

Eisenstein

A Study

—

Sys¬

Ronald

East

10,

26th

N.

Y.

(cloth), $5.
Intercity

ern

Europe

—

—

Tonnage,

1960

—

American

Trucking Associations,
Inc., Washington 6, D. C. (paper).

New York City

—Describing

members of the

Bankers

Association, 12 East 36th

Street,

New

York

vestment

Operations

Companies

Services—National

of

and

In¬

Their

Association of

Investment

Companies, 61 Broad¬
New York 6, N. Y. (paper),

way,
25 cents.

April,

Political

Economy,

the

of

1961—Containing

Evaluation

Articles

of Public

Harbor

United

420

Lexington Avenue, New York
17, N. Y. (paper), on request.

Know

Profit

tion,

Every

Businessman

About

Should

Profit

Sharing —
Sharing Research Founda¬
1718

Sherman

ifornia St. under the firm name
of
Crowe
Investment
Services.
Mr.
Crowe was formerly with

Stability

of
Equilibrium;
How
Ought to Be Distributed;
etc.—University of Chicago Press,

—David

Income

vania

Skaife .& Co.:.,

5750

37,

y

Edition—American As¬
sociation of Advertising Agencies,

Your Bank—A

Chicago

(cloth),

It—Third

Correct Public Prediction and the

Avenue,

—

What Advertising Agencies Are—
What They Do and How They Do

business from offices at 18929 Cal-

Ellis

States:

Contractors, 15 Park Row,

on

Services;
Development of Japan;

Y.

National Association of River and

CASTRO VALLEY, Calif.—Ralph
Crowe is engaging in a securities

Financial

N.

Rivers-Harbors-Lakes-Canals

What
of

Journal

16,

(paper), $1.

New York 38, N. Y.
Investment Companies Fact Book

New York Stock Exchange, have
named Jack Albert,. Vincent C.
Gubitosi and Norman E. Tracy as-

& Irrigation:
Development
Financing of Farm and Ranch
Irrigation
Systems — American

and

Waterways

Truck

Walston & Co., Inc., 74 Wall St.,

,,

Bank, New York

Water

bers q{ the New y<)rk stock Ex_

.

The

—

scriptive

Trade

Decision-M aking —
by Nelson N. Foote—New

ton

of

v

Guide

A

Businessmen

Independent

Edited
York

tem

June

New

York

Cummings & Co., 4 Al- •Press
Company, 15
bany stre'etj New York city, memStreet,
New
York

Oscher

Market:

European

Household

Bregman

on

New

for American

N. Y., $4.50.

Ideologies of Taxation

Partner

e.

America, 425 13th Street, N. W.,

omies, etc.—Foundation for Eco¬
nomic Education, Inc., Irvingtonon-Hudson, N. Y., 50c per copy.

fnmm;nffc

-

of

Washington 4, D. C.

1961—Walter H. Mallory, Editor—
Council on Foreign Relations, 58

ing

"rcgnicin, V/Ummingb

pauj

—Investment Bankers Association

Eagles; What Rent Control Does;
Price
and
Exchange
Controls;
Centralized
or
Multiple
Econ¬

—Sylvia
;

v

Dr#karnslrl

Financing-

of Special Committee to
Study Industrial Aid Financing by
States and Political Subdivisions
Report

of
Deception;, Washington 5, D. C. (paper), $1,
Scarcity; When (quantity prices on request).

Behave

Businessmen

Broad¬

233

Industrial

Municipal

York
let

.

'Remarks

Association,

New York 7, N. Y. (paper).

way,

How to Get More for Your

Qf steady price rise in
1960's

,

(cloth), $5.

Fiduciary Trust Company—Book¬

Sharpen

tion.
(5)

Uni¬

Broadway,

Objectives of the Fiduciary Trust

higher rate of private

a

2960

Press,

(New York 27, N. Y.

means

If

Benoit—Columbia

—Emile

the

a

Market, The Free Trade

Association, and the United States

Trust

goals.

Sixes and Sevens: The

Company of New York—Fiduciary

measure

Finance

Consumer

State

York

son—New

—

5, D. C.

Europe at

New

these

1960

N. W., Washing¬

Street,

W. John¬

Charges—Robert

nance

N. Y.

Foreign

faster

and

can

Pa.

Stating Consumer Fi¬

Methods of

110

(paper), $1.

be achieved

employment

VTiTsec^half °of wra" Forms Crowe Inv.chronicle)
Services
significant that inflationary
(Special to the financial

booms

in

Areas

Avenue,

depends jn xarge

change,

(2) I believe that the danger
of renewed inflationary pressures
in the early 1960's is a real one
which must be vigilantly guarded
against. The natural forces of general business recovery now begmnln& to show themselves, plus
government fiscal, monetary,
bousing, and other policies aimed

Street,

Development,

year.

real possibility of gen-

deflation.

nomic

moderate decline in
of the dollar, say 2%

cTl^'s,r,al Con,erence Board' New

eral

—

a

to

assure

States

Seagrams

-

European Free Trade Association,

Fourth Economic Conference of the Na-

cai tention, will be so great as

Corporation

is a danger of the government
pursuing expansionary fiscal and
monetary policies to the point of

and all levels
0f government in the emerging
spaCe age, and under continuing
conditions of international politimdustry,

ness

governments of
United

Economy_—Committee

foreign competition,

is based or} * e ccjnvlcijon
ness recessions suggests that,
the currently popular theory of gardleSs of the movement of

total

differences

Efta's

per

Consumer

on

Neifeld —Mack

R.

States:

the general price level, but there

on

can

the

and

Distressed

Thus, as I see things, there is
little danger of a sharp run-up of

provoking

Manual

Chase Manhattan

United

Limited, 1430 Peel
2, Canada.

will

rate of personal and business sav-

reasons

Inc.,

treal

be limited by the need to meet the

investment spending,

be

they

Edi¬

Irwin,

Democracy—Study

in

Distillers

that although government policies

other,

the

on

important

may

Canada

thought

the

on

the

and

in the democratic

price level that
will be moderate. This

is

D.

of the similarities and

rise

any

Bratt—Fifth

Clark

Neighbors

general

occur

may

(cloth), $15.

Cliffs, N. J.

15, N. Y.

the

wiu not be {ar

I would guess that

the

in

F.

John

—

Forecasting

and

Richard

—

Canada

believe

below the surface in the next few
years,

Cycles

Homewood, 111. (cloth).

such admirable restraint.

policies

ahead

tion

seen

by means of government policies
designed to encourage a higher

inflationary pressures may
in the next few years,
Against the background of this
discussion,
my
own
conclusions
0n
whether inflation or deflation
as

be

whether we shall continue to have

reappear

jjes

Business

—Elmer

d
j
remains

it

Stockholders

Women

by

Street, New York 18, N. Y., $2.50.

placed upon expansionary policies
by the international balance of

tion
is

other hand, the

Air

—

—Graphics Institute, 42 West 39th

cession, manKs to tne limitations

p^tet0rebrinrtboUuT%drofiteWe
the

Review

Reports—Survey of Inter¬

Reports

re-

limitations

at achieving full employment and sistant treasurers,
faster economic growth, could

On

Financial

and

est in and Reaction to the Annual

of

the

in

prospect

and

the

Annual

without provoking further infla-

important reasons

in

not

to

partment Stores, who insists that
air-conditioning and other physi-

growtn

Quarterly

^Qn

ns

that further

believing

for

to

the

hand,

one

thanks

economic growth

.

,

C nc us
have

rfkS9;on

discipline of

significant general dethe flation would be politically m-

corres-

in
which
that
traditionally

of

thg

r[b£g price level in the early 1960s. This

zncome.

used

policies are

monetary

p]oygd

to

why

.

In

lites

fiscal

some

BAG

stability

nrire

funeral

early

MATT

OTTR

FROM

We

growth

ePOnomic

fa~tpr

tion

cation!

Traffic

—

Association of Amer¬
ica,
1000
Connecticut
Avenue,
N.
W.,
Washington
6,
D.
C.
(paper).

T Ck

T

avoid this danger
being too heavy-handed in the
seemed

and faster economic growtn. w

X

up

Airline
Data

Deflation Ahead:

13

shares

urgent

growth, and I

" A

year;

per

(cloth).

agree

*

1

Publishing Company, Easton,

isfaid and

on research and
with that."

wood

Neifeld's

Credit —M.

rather

a

m"ch that

i

initially, and thereafter in timing
closing-out or switching his
Another

BOOKSHELF

comment

realistic. I see that
cynical view

quite

have

__

the

Fund

investment.

Greenewalt's

$6

Financing

Long-Term

Transport

The National Association of in-

vestment

over-all

on

seems

yOU

°»

Inflation
first

return

Thursday, June 15, 1961

Childs—Prentice-Hall Inc., Engle¬

is quite

up-dated through April,
significant.

the

ex-

many

FUND ITEM

SIGNIFICANT

Redemptions,

right when you

are

.

single copies, $1.75.

the expense of

often at

Mr.

J agree^
quite

come,

Businessman's

than would he obtained otherwise,

although

with

viewpoint

original

quite

.

111.—Subscription,

If
it
is
properly
will add more sales

completely.
planned, it

.

Evanston, 111. (paper),

Avenue,
on

request.

128-page Textbook

H.

McKinley-—Pennsyl¬
Association, Box
152, Harrisburg, Pa. (cloth), $1.50
Bankers

(quantity prices

on

request),-.

Number 6064

193

Volume

.

.

.

The Commercial and Financial Chronicle

Indications of Current

(2643)

The following statistical tabulations

latest week

Business

Activity

week

or

month ended

or

AMERICAN

steel

Equivalent
Steel

Crude

output

Distillate

fuel

Residual

June 17

(bbls.

average

output (bbls.)
oil output
(bbls.)

7,054,410

7,143,310

8,049,000

7,961,000

29,089,000

27,470,000

Crude

6,813,360

7,878,000

28,943,000

2

7,060,710
8,360,000

2

29,060,000

2
2

2,197,000

1,741,000

2,331,000

2,276,000

12,474,000

12,952,000

11,340,000

12,245,000

6,524,000

5,922,000

5,788,000

transit, in pipe linesFinished and unfinished gasoline (bbls.) at
—June
Kerosene
(bbls.)
at
June
Distillate fuel oil (bbls.) at
——
June
Residual fuel oil
(bbls.) at
June

2

2

,

6,229,000

;;

RAILROADS:

ASSOCIATION OF AMERICAN
'Revenue

.

'

-r 7 >

;

freight received from connections

210,493,000

216,732,000

27,154,000

26,897,000

25,017,000

95,235,000

90,259,000

84,857,000

96,667,000

44,779,000

44,039,000

41,715,000

39,733,000

Orders

(no. of cars)—June

578,767

472,080,

543,544

496,408

496,330

U.

Private

and

(U.

Pennsylvania

232,200,000
249,800,000

138,000,000

173,100,000

187,100,000

36,500,000

45,900,000

62,700,000

7,650,000

♦8,130,000

7,315,000

302,000

•308,000

321,000

132

137

140

131

8

119,500,000

June
June

3
3

June

3

1

_—

EDISON

(COMMERCIAL

IRON

steel

Pig iron

(per

steel

Scrap

254

368

COAL

PRICES

June

6

6.196C

6.196c

6.196c

ton)

refinery

Export
Lead

iNew

Lead

(St.

June

6

$66.44

$66.44

$66.44

6

$37.83

$36.83

$36.50

$31.50

North

Europe
South
Asia

COKE

Zinc

Straits

tin

29.050c

29.525c

29.175c

29.550c

7

11.000c

11.000c

11.000c

12.000c

OF

7

10.800c

10.800c

10.800c

11.800c

7

12.000c

12.O0OC

12.000c

13.500c

mated

7

11.500c

11.500c

11.500c

7

26.000c

26.000c

26.000c

7

in

26.000c

at

at

June 13

87.73

-June 13

87.18

June 13

U. S.

; 91.34

Bonds

Government

corporate

Average
Aaa

, j

j,

v

t-f j,

*

1

87.25
87.32

millions

91.62

'

Aa

89.78

June 13

,

86.39,}

,

ti

3,855,386

Personal

89.51

Noninstalment

87.59

84.68

85.33

83.15

Industrials

MOODY'S
U.

Average

88.67

88.67

88.95

THE

OF

88.40

88.67

89.23

86.91

June 13

3.85

3.90

3.59

3.86

June 13

4.62

4.61

4.57

4.77

4.32

4.30

4.26

4.45

4.44

4.40

4.59

4.62

4.80

_i

corporate

Aaa

A

4.68

4.68

June 13

June 13

Railroad

Public

Utilities

Industrials

Group

5.01

4.76

4.51

4.49

June 13

4.53

4.51

4.47

368.3

368.9

365.7

376.7

■

i

.

320,360
331,806

371,060
325,861

June

3

93

93

3

447,581

432,421

466,293

480,507

June

9

113.65

113.46

113.11

110.31

ACCOUNT

FOR

OF

3,791,030

May 19

609,150

Short

sales

Total

initiated

3,434,870

139

124,041
3,057,218

*113,831
*2,878,913

2,961,330

99,783
23,736

*88,303

42,618

*38,836

42,084

646,764
542,866

543,645

730,523

446,452

612,094

103,443

96,773

118,029

365

420

40O

26,463,000
24,531,000
39,948,000

21.851,000

27,015,000

39,165,000
*38,237,000

27,341,000
38,554,000

74

59

17,600

64,100

40,000

80

$714,879,960
584,130,708

$761,284,757

$856,291,478

611,238,627

652,676,733

76,750,965

94,204,791

22,630,438

86,092,308
32,070,404

4,000,000

14,000,000

62,000,000

34,640

production of recoverable metals in the

initiated

on

the

598,200

574,080

702,460

638,200

1,087,^72

1,265,891
197,210

1,021,381
111,690
949,816

1,037,225

1,061,506
5,459,401

104,160

May 19

1,158,136

May 19

1,262,296

transactions for account of members—

—1

5,446,332;

..May 19

——:

f

5,925,891

.May 19

sales

730,910

4,986,936

5,152,103

5,610,356

6,070,143

1,044,960
4,216,088

—f

sales

5,261,048

LOT

AND

DEALERS

sales

Odd-lot

Dollar

by

of

Number

SPECIALISTS

SECURITIES

—

dealers

ON

N.

Y.

of

Total

2,691,386

ONDARY

$131,955,364
2,561,919

2,641,642

Short
~

6,903

11,169

2,766,569
8,207

May 19

2,555,016

2,630,473

2,758,362

1,905,031

May 19

$129,838,352

$125,622,698

$126,504,452

$93,315,084

May 19
..May 19
May 19

813,570

831,600

830,600

556,360

813,570

83L600

830,600

556^360

May 19

650,530

672,100

707,950

663,470

:

$139,772,237

$100,648,152

purchases by dealers—Number of shares

ROUND-LOT

EXCHANGE
FOR

Total

ACCOUNT

Short

sales

Total

sales

—

WHOLESALE PRICES, NEW

SERIES

All
,.

.

products..

All

commodities

♦Revised

sold

on

figure,

delivered




other than farm and foods
tNumber of

979,640
24,894,610

19,301,760

26,827,220

25,874,250

20,490,410

119.0

J^ne

orders not

—-v>^e
-$Pe

reported since
t

where freight from East

iti^oduction

♦118.8

119.1

119.6

86.5

86.9

89.2

87.0,

—-June

.

basis at centers

1,047,280
25.779,940

25,445,020

107.8

•107.8

'

108.4

107.5

92.6

92.1

93.6

98.1

127.9

♦127.7

127.8

128.3

of Monthly Investment Plan.

Sfc$iLouis exceeds one-half cent

a

pound.

JPrime Western Zinc

7,200

5,655

41.840
'

33,765
8.075

160

150

20O

6,490

5,505

7,875

Primary

3,990

3,570

5,190

1,935

2,685

$293,000,000

$293,000,000

$295,000,000

290,145,640

287,987,166

289,366,525

225.396

219,097

133,449

$290,371,037

$288,206,264

$289,499,974

396,445

397,593

406,533

$289,974,591

$287,808,671

$289,093,441

3.025,408

5,191,328

5,906,588

$290,371,037

$288,206,264

$289,499,974

5,161,665

4,033,617

7,510.814

$285,209,372

$284,172,647

$281,989,160

—

Secondary
S.

at

2,500

.

.

STATUTORY DEBT LIMITATION

GOVT.

As of

(000's omitted):
amount that may be

May 31

face

outstanding

time

any

Outstanding—
gross

public debt
obligations

Total gross

1,188,650

817,550
24,627,470

%

-

6,650

processed

not

owned

the

by

Treasury

-

,

,,

foods—

Processed

31,640

Deduct—Other

gations

not

public debt and guaranteed

outstanding

subject

to

public

debt

obli¬

debt limitation

total

outstanding
Balance face amount of obligations issuable
under above authority
UNITED STATES GROSS DEBT DIRECT AND
Grand

commodities—,—

Farm

30,310

Total

U. S. DEPT. OF

'

LABOR— (1947-49=100):

Commodity Group—

—

March

4,180

Guaranteed

May 19
MaY 19
—May 19

sales

Other

of

tons):
beginning of period

37,295

.

,

MINES)—Month

STATES

33,115

Total

STOCK SALES ON THE N. Y. STOCK
TRANSACTIONS
OF MEMBERS (SHARES):

sales—

OF

UNITED

THE

36,960

AND ROUND-LOT STOCK

round-lot

in

IN

82,274,098

Intercompany scrap transactions
Consumed in manufacturing

12,115

U.

J

sales

TOTAL

TIN

before

31,640

Total

sales

Other

Round-lot

expenses

Stocks at end of period

1,917,146

May 19

shares—Total sales

of

revenues

Supply

2,057,726

.May 19

2,435,224

Round-lot sales by dealers—
Number

1

May 19

sales

(AS¬

Receipts

1

value

(barrels)

(per cent)

operating

railway

(in long

2,500,321
$125,401,172

sales—

other

Customers'
Dollar

month

charges—___
Net income after charges (estimated)
TIN—CONSUMPTION OF PRIMARY AND SEC¬
Net

(BUREAU

May 19
...

short

(barrels)

mills

of

Taxes

Stocks

purchases)—t

Odd-lot purchases by dealers (customers' sales)—
Number of orders—Customers' total sales
Customers'

(BUREAU OF MINES)—

(barrels)
from

April:
operating
operating

Total

STOCK

—

value.

coaches

SOCIATION OF AMERICAN RRs.)—Month

EXCHANGE COMMISSION

(customers'

shares

—

April:

end

at

—

RAILROADS EARNINGS CLASS I ROADS

STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODDEXCHANGE

CEMENT
of

25,460

May:

vehicles—

motor

of

88,931
*'

*20,804

FROM

passenger
cars
motor trucks

Capacity used

959,878

835,010

V

of

Stocks

183,280

4,775,346

918,040

May 19

sales.:

Other

of

SALES

ASSN.—Month of

of

number

_

121,778

S.—AUTOMOBILE MANU¬

U.

IN

1

FACTORY

VEHICLE

Shipments

'

5,717,846

Short
Total

1,215,333
1,412,543

__—

tons)

short

Production

5,100,345

May 19

sales

sales

purchases

ounces)—

(in

Month

1,143,158

sales

Other

Total

^

ounces)

fine

(in short tons)_
(in short tons)

Number

683,020

floor—

Short

Total round-lot

fine

(in

PORTLAND

511,800

purchases

Total

States—

(in

Number

171,220

638,360

May 19

transactions

OF MINES)—

March:

Number

600,680

557,090

705,800

567,530
556,480

:

628,285

17,599,000

141

Total

2,744,410

3,910,650

May 19

;
_—

sales

Total

3,227,330

3,955,140

May 19

sales..
sales

Other

3,298,410

May 19

purchases

Short
Other

Total

3,272,320
3,881,470

109,851

680,999
17,430,000

*135

adjustment

(BUREAU

Zinc

the floor—

off

1,964,596
8,655,571

Average=10O—

Copper

690,460

683,320

May 19

.

sales

transactions

of April 29

1,973,165
8,272,170
113,452

*148

Silver

3,462,440

May 19

sales

Other
Total

Other

:

708,200

795,472

j

7,284,691
104,444
662,571
17,360,000

STORE SALES—FEDERAL RE¬

FACTURERS'

3,880,930

3,231

141

United

Transactions

3,954,200
656,730

4,245

145

PLANTS

BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS
of specialists in stocks in which registered
May 19
purchases

4,226

May:

OUTPUT

Gold

MEM*

Total

647,216

"
as

SYSTEM—1947-49

MOTOR

TRANSACTIONS

ROUND-LOT

'

v

2,060,913

as

Lead

AVERAGE=100

'

rr1

Without seasonal

OIL, PAINT AND DRUG REPORTER PRICE INDEX—
1949

'}c.

,

.

OF

of April
establishments as of April 29

of

METAL

85

..June

period

at end of

(tons)

11,702

Adjusted for seasonal variation

289,565

84

DEPARTMENT

Month

327,221

300,899

3,486
—

2,814

10,386
'

iM*j4,4l74.904
3,427

4,096

SERVE

Mine

317,081

3

2,922

4,402

___

40,651

11,192
(11,848

11,984

month

DEPARTMENT

'

3

June

;.

of activity.

orders

I

June

1

(tons)..

(tons)

Percentage
Unfilled

ASSOCIATION:

PAPERBOARD

received

Orders

Production

10,281

2,922

credit

public storage

Month of

NATIONAL

17,170

10,679

11,281

_.

Stocks—April 29
Cotton spindles active

4.64

June 13

loans

$52,353

17,265

10,585

modernization

$53,906
42,058

17,200

of April 29—
Linters—Consumed month of April

4.76

INDEX

RE¬

credit

term

$53,972

LINTERS

Consumed

In

4.93

4.51

3,752,298

COMMERCE—RUNNING BALES:

5.25

4.81

Group

COMMODITY

MOODY'S

5.02

4.81

June 13

Group

5.03

June 13

Baa

101,860

4,696,808

SERIES—Esti¬

goods

credit

In consuming

Bonds.

FEDERAL

Single payment loans
Charge accounts

COTTON AND

AVERAGES:

DAILY

YIELD

j

5,653,858

70,218

41,988

loans

Service

85.33

_

Group

BOND

Government

S.

June 13

4.43

Public

84.68

June 13

Group
Utilities Group

June 13
June 13

Railroad

-

.

79.25

5,755,718

3,653,657

67,465
4,726i665

(net tons)

3,723,875

3,787,921

tons)

intermediate

consumer

Repairs

84.81

509

5,685

Apr.:

___:

85.20

82.15

of

credit

86.82

tlPP§>

.

82.03

81.90

3,421

94

3,555

tons)

credit

89.89

90.20

89.64

:

80.38:,

100,502

60,313

of April 30:

as

consumer

and

110,117

42,949

OUTSTANDING—BOARD

and

92.20

V M

H

106,911

10,235

(net tons)

tons)_____

CREDIT

87.86

,, t

11,768

629

(net

(net

short

Other

AVERAGES:

DAILY

PRICES

BOND

$93,500

904

Automobile
MOODY'S

•$92,200

/

anthracite

America

SYSTEM—REVISED

Instalment

101.000c

109.375c

111.250c

112.375c

12,900
25,800

■

MINES)—Month

(net

GOVERNORS

Total

13,400
25,000

MINES)—

tons)

(net

CONSUMER

13.000c

June
June

99.5% )

1

tons)

coke

SERVE

—June

at

pig,

York)

(New

7

June

Louis)

St.

(primary

OF

Oven coke stocks at end of month

32.600c

June

America

coke

29.600c

June

at

(East

Aluminum

$54,800

April

tons)

(net

(BUREAU OF

30.600c

7

June

.

at

(delivered)

tZinc

of

_

Central

and

Production

30.600c

June

(BUREAU

(net

Beehive

at

$53,800

COM¬

of

To

$66.41

June

at

York)

Louis)

62,039

165,038

$53,700

April:
exports of Pennsylvania

S.

6.196c

Electrolytic copper—
Domestic
refinery at

*76,733

*219,021

13,200

To

PRICES:

ton)

79,21s!

*72,865

79,599
213,054

OF

(net tons)

& M. J. QUOTATIONS):

(E.

DEPT.

—

SERIES —Month

EXPORTS

Oven
METAL

73,632

pounds)
(tons)

25.200

283

gross

of

2,000

period

NEW

To

34#

lb.)

gross

(per

5.563
41,003-

(Millions of dollars):

14,147,000

14,278,000

13,887,000

15,004,000

8

(per

of

of

INVENTORIES

To

.__

COMPOSITE

AGE

Finished

(tons

grades

}

(tons

MERCE

&

June

BRADSTREET, INC

15,801

5,540

$92,100

June 10

INDUSTRIAL)—DUN

AND

"

~

-

all

output

Manufacturing

U.

(in 000 kwh.)

output

13,658

; v.

end

at

BUSINESS

INSTITUTE:

ELECTRIC

Electric

1,796

3,874

undelivered

RESERVE

AVERAGE=IOO

34,532,000

;

2,040

____,

smelter

Month

FAILURES

*

Wholesale
.

SALES INDEX—FEDERAL

STORE

SYSTEM—1947-48

:

7,849,000
294,000

362,900,0G0

and

lignite (tons)—
anthracite (tons)

DEPARTMENT

174,500,000

340,700,000
219,000,000

Stocks

BUREAU OF MINES):

S.

coal

255,400,000

243,400,000

—

;•

Bituminous

299,100,000

—-—June

municipal

Federal
COAL OUTPUT

$482,000,000

8
8

construction,

State

$559,700,000

June
June

construction

Public

$399,900,000

8
8

344,746,000

2,933

pounds)

Shipments
$662,000,000

-—June
June

construction

S.

CAR INSTITUTE—

freight cars
delivered™
cars
on
order and

.

2,000

NEWS-RECORD:
Total

298,622,000
7,223,000

16,354,000

cars

May:
Slab zinc

ENGINEERING CONSTRUCTION—ENGINEERING

CIVIL

307,291,000

29,966,000

AMERICAN ZINC INSTITUTE, INC.—Month of

574,980

495,925

;

29,292,000

220,977,000
29,956,000

export

___—;.____

new

of month)

-(end

.

531,267

3
3

for

23,000

28,768,000
30,117,000

250,956,000

April:

New freight
Backlog of

,

15,000

33,276,000
27,877,000

(barrels)

AMERICAN RAILWAY

209,908,000

27,798,000

Ago

13,000

_______

stocks

of

Year

232,514,000
204,274,000
28,225,000

231,596,000

.

all

Month

30,883,000

(barrels)
(barrels)..!

output

output

(barrels)

v.-:;;-

June

(number of cars)

freight loaded

Revenue

210,475,000

oil

product imports (barrels)
Indicated consumption domestic and

Month

2
2
2
2

crude

gasoline

Refined

Stocks at refineries, bulk terminals, in

of that date:

Previous

262,492,000

(barrels)—
imports (barrels)

Increase

are as

production (barrels of 42 gal¬

output

oil

either for the

Latest

each)

Benzol

June

—

—

INSTITUTE—Month

are

Month

Domestic

1,775,000

-—-—June
—June
June
-June

i

oil

fuel

1,988,000

2,052,000

2,042,000

ol

(bbls.)
•—

(bbls.)

of quotations,

cases

of March:

Total domestic

62.3

Natural

average

(bbls.)

output

Ago

68.0

70.0

70.0

in

or,

PETROLEUM

,

June

stills—daily

to

runs

Gasoline

Ago

that date,

AMERICAN

lons

:

each)

Kerosene

Week

on

Year

June 17

V'

..

output—daily

condensate

and

gallons

42

'
(net tons)

Month

INSTITUTE:

PETROLEUM

oil

Crude

1 '•

to—
and castings

ingots

AMERICAN

(per cent capacity)

operations

Previous

Week

STEEL INSTITUTE:

AND

IRON

Indicated

production and other figures for the

cover

month available. Dates shown in first column

Latest

47

GUARANTEED—(000's
As

of

May

General

Net

31

funds

omitted):

,

_____

balance—

debt

Computed

annual

rate

—

3.075%

3.091%

3.327%

-V

'i
i-/

■

48

The Commercial and Financial Chronicle

(2644)

.

Thursday, June 15, 1961

.

.

additions

* indicates

■Wt
<1,

Now

Securities

:

in

Registration

:

for

expansion, inventory, and working capital. Office—
Mineola Blvd., Mineola, N. Y.
Underwriter—H. B.
Crandall Co., New
Yorkj.
142

<)r,,

4

NOTE—Because

of

the

large number of issues
awaiting processing by the SEC, it is becoming
increasingly difficult to predict offering dates

Jr;

with

high degree of

Advanced

•>;

•>V
')>[

4

4

accuracy.

radio

Proceeds—For

i

u.

Productions,

June

1,

stock

Inc.

A.") 100,000 shares of common
Price—$3. Business—TV film pro¬
ductions. Proceeds—For general corporate purposes. Of¬

fice—130

57th

i

Abbey Automation
June

Business—The
tion

Price

shares.

common

—

Proceeds—For

N. Y.

u

•

Underwriter—John Joshua

&

for

'J1!

/)■

Co., Inc., New York.

Accesso

and

mon

unit.

share

one

of

Business—The

manufacture

preferred stock.

company

Price—$15

tt-'i

Acme
Jan.

per

is engaged in the design,

I

Price

stock.

common

Business—The

li

&

Construction

filed 30,000
—

and

Insurance

ic Affiliated Investment Corp.
May 29, 1961 filed 400,000 common shares.

Corp.

Business—The

installation

of

ance

Y.

Proceeds—For

Air Master

May 26,

Underwriter—None.

1961

Corp.
filed 200,000

Discount

Dollars

(letter of notification)

unit

of

to

consist

one

share

sale by the

Corp.

April 14, 1961

of

the

42,500 units, each
stock (par one

one share of class A stock (par $1). Price—$7
unit. Business—The sale and redemption of trading
stamps. Proceeds — For printing trading stamps, cata¬
logues; advertising and franchise development. Office—
26 Broadway, New York, N. Y. Underwriter—J. B. Coburn Associates, Inc., New York, N. Y. Offering—Immi¬

minum

19,

1961

Inc. (6/19-23)
100,000 shares of class A stock, of
to be offered for public sale by the

are

automobiles

and

trucks

for

periods

of

over

one

year.

ceeds

Office—1616 Northern

Boulevard, Manhasset, N. Y. Un¬
derwriter—Hill, Darlington & Grimm, New York (jity
(managing).

M

ucts.

<

Proceeds—To

Power

repay

a

loan, acquire

offering of 500,000 shares
Designs Inc., common
stock was made June 13
by Pistell, Crow, Inc., New York City.
The stock was priced at $2
per
the

Proceeds

company

will

be

used

by

for various

corpor¬

including retirement
outstanding $100,000 shortterm
bank loan, expansion of a
research
and
development pro¬
gram

and

the

promotion

company

on

of

activities

the

Pacific

Coast and possible expansion into
Canada and Europe.
The company

tures

and

equipment

designs, manufac¬

sells

for

power

the

supply

commercial

conversion of AC power into con¬
trolled voltages and currents nec¬

for

reliable

operation of
complex
electronic
equipment.
The
company
was
organized in
essary

H:

1952.
For

)V-

31,
•v.1—*

k-J

and

working

other

capital,

of

alu¬

and

Office—20th Street, and Alle¬

ended

from

sales

N.

30, 1960 income
$1,431,445 and net
income $100,658..
was

adjusted

to

give effect to this sale consists of

2,000,000

authorized
stock

shares

of

shares

which

of

the

1961

six

the

(months ended Dec.
company

reported

income from .sales of $909,201 and




W.

5th

also

be

used

standing.

to

retire

loans

structs

mechanical

mechanical

and

devices.

special

its

company,

to

line of electro-magnetic
rotary transducers, and

purchase special tools
-

The

<•

(7/3-7)
filed 120,000 shares of common stock.
Price
To be supplied by amendment.
Business — The
manufacture and sale
of plastic film raincoats and re¬
lated items for men, women and children.
Proceeds—
For
inventory, taxes, accrued sales commissions and
working capital. Office—Washington, Ga. Underwriter
28,

1961

—

Blair

—D. H.

&

Co., New York City

(managing).

Alside, Inc.
May 11, 1961 filed 200,000 outstanding shares of common
stock to be offered for public sale by the present hold¬
ers thereof. Price—To be supplied by amendment. Busi¬
ness—The manufacture and sale of aluminum siding and
paneling for houses. Proceeds — For the selling stock¬
holders.
Office—3773 Akron-Cleveland Rd., Akron, O.
Underwriter
Reynolds & Co., Inc., New York City
(managing).
—

Amcrete

May

4,

(letter of notification) 75,000 shares of
(par 10 cents). Price—$4 per share. Busi¬

stock

common
ness

Corp.

1961
The

—

sale

of

pre-cast

and

pre-stressed

problems,

general

sale.

Avenue,

Mamaroneck, N. Y. Underwriter—Alexandria
& Securities, Inc., Washington, D. C.

Investments

American

May
stock

Laboratories, Inc.

filed

1961

to

the rate of
—To

Electronic

10,632 shares of class A common
be offered for subscription by stockholders at

26,

be

one

new

share for each 10 shares held.

in

as

amendment.

construction, new equipment, and other corporate pur¬
poses.
Office—121 North Seventh Street, Philadelphia.

Underwriter—Suplee, Yeatman, Mosley Co., Inc., Phila¬
delphia, Pa.
April

Facsimile

1961

28,

stock

common

Corp.

(letter of notification)
(par

25

cents).

Business—The manufacture

equipment.
and

40,000 shares of

Price—$3

of facsimile

Proceeds—For equipment;

a

of

sales promotion

advertising; research and development, and

•

American

April

21,

Finance

1961

filed

Co.,

Inc.

$500,000

of

(6/26-30)

6%

convertible

will

25,000 common stock purchase warrants to
public sale in units consisting of one $200
debenture, 30 common shares and 10 warrants. Price—
$500 per unit. Business—The company and its subsidistock,

and

be offered for

all

for

NEW

be

and] test

proceeds

BOUGHT

•'!

In New Location

may

OMAHA,

Neb.

—

Bridges

'

-

SOLD

-

QUOTED

for Banks, Brokers, Institutions

Invest¬

Counsel opened new offices
the Swanson Building at 8401

ment
in

West Dodge Road.

organized

The firm

was

Xdneir si SIEGEL

Bridges

Bridges Investment

in

Marvin W.

Counsel

by

1944.

provides securities portfolio plan¬
ning advice and management to

individuals, institutions, and trus¬
for pension and profit shar¬
ing funds.
T •
k
tees

sub¬

ordinated debentures due 1971; 75,000 shares of common

company

stock

work¬

Office—160 Coit Street, Irvington, N. J. Un¬
derwriter—Shell Associates, Inc., New York, N. Y.

ing capital.

also
machine
sub-contractor.

common

share.

per

communication

specialized
as

Price

Business—The com¬
pany is engaged in research and development in the field
of electronic communication equipment.
Proceeds—For
supplied by

to solve

well

as

The

concrete

panels for swimming pools and pumps, filters, ladders,
etc. Proceeds—For building test pools; advertising, in¬
ventory and working capital. Office—102 Mamaroneck

"

Net proceeds from the sale will
be used to increase the
produc¬

equipments

Almar Rainwear Corp.

April

in¬

.

to

Underwriter—Bear, Stearns

outstanding.

offering of 60,000 shares of
Mecanair, Inc. common stock, at
$3 per share, was made June 13
by Old Colony Securities Corp.,
Stoneham, Mass.

brushless

Business—The construction and opera¬

by amendment.
tion of

ception, the company has been
developing and fabricating indus¬

Public

a

by holders of All-State Properties on the basis of one
share for each nine shares held. Price—To be supplied

YOUR PRIME SOURCE FOR

electro¬

Since

trial equipment designed

shares

Common Offered

develop

100,000 shares for All-State Properties,
The stock will be offered for subscription

and

company

Upon conclusion of this financ¬
ing, all of the 400,000 authorized

Mecanair, Inc.

capacity of the

Inc.

out¬

Mecanair,
Inc.,
,of
Sudbury,
Mass., designs, develops and con¬

shop work

tive

Secu¬

19, 1961 filed 300,000 shares of capital stock, of
which 200,000 shares will be sold for the account of the

/

engages

1,350,000

outstanding.

are

bank loans, expansion, new
capital. Office—1024 Burbank

capital. Office
Ave., Miami, Fla. Underwriter—Clay¬
ton Securities Corp., Boston (managing).
—2700

June

as

Allstate Bowling Centers,

American

000 by stockholders. Price—$9. Business—Manufacturers
of women's wear. Proceeds—For working

quarters,

Capitalization

working capital. Address—Tucson, Ariz. Un¬

of Miami, Inc.
8, 1961 filed 100,000 class A common shares, of
which 70,000 are to be offered by the company and 30,-

an

by

doors,

sale

^ Alix

of

year

common

ate purposes,

of

and

Proceeds—For

and

For repayment of

$80,315. This com¬
$667,401 and $56,964,
respectively, for the correspond¬
ing period of 1959. For the liscal

Power

share.

—

with

pared

Public

4

new

net income

Designs

Common Offered
of

windows

manufacture

June

Adelphi Electronics, Inc.
May 29, 1961 ("Reg. A. ) 100,000 common shares (par 10
cents). Price—$3. Business—Distributes electronic prod¬

a

The

equipment, and working
Blvd., Burbank, Calif. Underwriter—Pacific Coast Secu¬
rities Co., San Francisco, Calif.

phia, Pa., and New Haven, Conn.; lease and equip a large
garage in New York City and lease additional trucks.

hi

storm

—

Air-Space Devices Inc.
May 4, 1961 (letter of notification) 100,000 shares of
common stock (par 10 cents).
Price—$3 per share. Pro¬

Proceeds—To repay loans; open new offices in Philadel¬

e

Co., Inc.

Office—122 E. 42nd

May

derwriter—None.

being outstanding stock, by
Price—$10 per share. Busi¬
is engaged in the business of leasing

ness—The company

H

Business

products.

tract, and

company and 25,000 shares,
the present holders thereof.

r'-

holders

common
to be offered for public

are

i Airmex Land Development Corp.
1, 1961 ("Reg. A") 25,000 class A common shares
(par $1). Price—$10. Proceeds—For purchase of a con¬

filed

75,000

general corporate purposes.

Street, New York, N. Y. Underwriter—Hancock
rities Corp., New
York, N. Y.

$5.

gheny Avenue, Philadelphia, Pa. Underwriter—Francis I.
du Pont & Co., New York City (managing),

A-Drive Auto Leasing System,

which

Is

—

insur¬

June

Jan.
Y.t

life

Office—1730

and 150,000 outstanding shares by
thereof. Price—To be supplied by

other corporate purposes.

nent.
•

present

aluminum

cent) and

&

company

amendment.

common

per

Mi

Price

in

shades of class A

stock, of which 50,000 shares
Action

invest

to

investment.

St., N. W., Washington, D. C. Underwriter—Affiliated
Underwriters, Inc., Washington, D. C.

missile

—

N.

plans

company

concerns.

K

launching platforms. Proceeds—To selling stockholders.
Office
43
North
Village Avenue, Rockville Centre,

*•'1

and

and working capital. Office—1208
Building, Minneapolis, Minn.
Under¬
writer—Naftalin & Co., Minneapolis. Offering—Expected
in early August.
Title

outstanding shares of class A
To be supplied by amendment.

construction

a

developmental work

Sons, Inc., New York City (managing).

Missives

as

March, 1961 to engage in the development, manufac¬
ture, sale and lease of electronic, electro-mechanical and
electro-optical equipment.
Proceeds — For equipment,

and

1961

6,

furniture

at $851,895

acquisition of interests in life insurance;

in

tile

Leonard &

the proceeds estimated

use

for the

• Advanced
Scientific Instruments, Inc.
May 19, 1961 filed 875,000 shares of common stock. Price
—$1.15 per share. Business—The company was formed

sale of fluorescent lighting systems,
hangers, metal tiles and other types of
acoustical ceiling systems. Proceeds—For the repayment
of loans and general corporate purposes.
Office — 3425
Bagley Avenue, Seattle, Wash. Underwriter—Ralph B.
acoustical

will

fixtures; for the establishment of a
sales organization and for working capital.
Office—The
Rector Building, Little Rock, Ark.
Underwriter—Ad¬
vanced Underwriters, Inc., Little Rock, Ark.

Corp.
Jan. 30, 1961 filed 40,000 shares of common stock and
40,000 shares of preferred stock (par $10) to be offered
for public sale in units consisting of one share of com¬

•n

and for

Avenue, Floral Park, N. Y.
& Co., New York City.

pany

ities, sales program, demonstration laboratory and work¬
ing capital. Office—37-05 48th Ave., Long Island City,

a

supplying of temporary office personnel. Pro¬

ceeds-^—To purchase assets of Rapid Computing

bowling centers in several states. Proceeds—For
expansion and working capital.
Office — 30 Verbena

reserve

facil¬

new

(6/26-30)

Inc.

secondary purpose of owning investments in entities en¬
gaged in the insurance business.
Proceeds—The com¬

$3.

design manufacture and sale of automa¬

equipment for industry.

Services,

Investment Management Corp.
13,1961 filed 300,000 shares of common stock. Price
—$3.50 per share. Business—The company was organ¬
ized in October, 1960 to operate an insurance home of¬
fice service and management company with the related

Inc.

Systems,

6, 1961 filed 100,000

Business

Allison

Inc., parent.

Jan.

Underwriter—

St., New York, N. Y.
Marshall Co., New \ork.

Offering—Expected in

Advanced

("Reg.

W.

development, equipment,
Office—2 Com¬
Y.
Underwriter — Edward

revised

April 17, 1961 (letter of notification) 100,000 shares of
capital stock (par 10 cents). Price—$3 per share. Busi¬

and

mercial St., Hicksville, N.
Hindley & Co., New York City.
mid-July.

(par 10 cents).

1961

research

repayment of loans and working capital.

n
T.

telemetry systems, frequency filters and A power
for the missile, rocket and space programs.

items

issue

previous

•

ness—The

Corp.

supplies

•iu

A.

Electronics

May 31, 1961 ("Reg. A") 150,000 class A shares (par 10
cents). Price—$2. Business—Designs and manufactures

The dates shown
in the index and in the accompanying detailed
items reflect the expectations of the underwriter
but are not, in general, to be considered as firm
offering dates.
V
a

•

since

39 Broadway, New York 6, N.Y,

Dlgby 4-2370

Teletype No. N.Y. 1-5237

Volume

aries

193

Number

6064

primarily engaged in the

are

business. One additional

nance

savings

.

loan

and

insurance

association

brokers.

The Commercial and Financial Chronicle

.

.

automobile

subsidiary is
and

two

fi¬

sale

Maryland

a

automobile

are

Proceeds—For the retirement of de¬

bentures,

and capital funds. Oifice
1472 Broadway,
New York City.
Underwriter—Lomasney, Loving & Co.,
New
•

—

York

June

6,

Missiltronics Corp.

1961

filed

television

125,000

shares

class

of

A

common.

manufacturer.

camera

Proceeds—For

the

purchase of equipment, research and development,
expansion of the Missiltronics Division, advertising, in¬

ventory and working capital. Office — 136 Orange St.,
Newark, N. J. Underwriter—T. M. Kirsch & Co., New.
York City. Offering—Expected in
early August.
American

Mortgage

Investment

Corp.

April 29, 1960 filed $1,800,000 4% 20-yr. collateral trust
bonds and 1,566,000 shares of class A
non-voting com¬
stock.

mon

offered

It

for

vestment

is proposed

public

sale

units

(2,000)

known

principally to originate mortgage loans and

them
disposition.

until

market

Office

Underwriter

—

—

conditions

210

Center

favorable

are

for

St.. Little Rock. Ark

Amico, Inc. Offering

—

Expected in late

July.
Orbitronics Corp.
1, 1961 ("Reg. A") 100,000 common shares (par one
cent). Price—$3. Proceeds—For raw material, machinery,
and

working

capital.

Office—1730

K

St., N. W., Suite
309, Washington, D. C. Underwriter—H. P. Black & Co.,
Washington, D. C.
•

American

May

16,

which

Photocopy Equipment Co.
filed

1961

435,000 shares

of

(8/26-30)

stock, of

common

will be offered for the account of
for certain selling stockholders.
supplied by amendment.
Business—The

50,000 shares

Price—To

be

manufacture

sale

and

of

desk-top photocopy machines,
Proceeds—
The company will use its share of the proceeds for gen¬
eral corporate purposes. Office—2100 West Dempster St.,
Evanston, 111.
Underwriter — Lehman Brothers, New
York City (managing).
American

May 29,

1961 filed

100,000 common shares.
Price — By
Business—The leasing of vending machines

amendment.

and

Univend Corp.

sale

the

merchandise

of

for

Proceeds—For the repayment of
tional

distribution

debt, purchase of addi¬

machines, and other corporate

E.

therein.

Office—

purposes.

56th

St., New York.
Underwriter—Robert
Martin Associates, Inc., New York.

A.

Amity Corp. (6/26-30)
Jan. 17, 1961 filed 88,739 shares of common stock (par
$1). Price—$3 per share. Business—Land development,
including the building of an air strip, a marina, and a
housing cooperative. This is the issuer's first public fi¬
nancing. Proceeds—For general corporate purposes, in¬
cluding $170,000 for construction and $12,000 for debt
reduction.
Office—Equitable Building, Baltimore, Md.
Underwriter—Karen Securities Corp., New York City.
•

AntifiBes

Electronics

(6/26-30)
May 8, 1961 (letter of notification) 100,000 shares of class
A common stock (par 10 cents). Price — $3 per share.
Address—San Lorenzo, Puerto Rico. Underwriter—Fraser & Co., Inc., Philadelphia, Pa.
Corp.

subscription by

one

for

working capital.

Ariz.

stockholders

common

share for each share held.

new

Price

Business—The processing of black

and white and color film.

Proceeds—To repay loans and

Office—2 North 30th Street, Phoenix,

Underwriter—None.

June

15

(Thursday)

Southern Electric
Generating Co
(Bids

June

16

Industries, Inc.
1961 filed $1,500,000 of convertible subordi¬
nated sinking fund debentures due 1976.
Price—100%
of principal amount. Business—The
production and sale
of chicken feed, hatching chicks and
poultry. Proceeds
—For new facilities, the improvement of
marketing im¬
provements, and for working capital. Office—Dardenelle,
Ark. Underwriter—A. G. Edwards &

iNo

Securities

—

redeemable

shares

shares

being

the sale and

upon

registered.

Proceeds—For

in U. S. Government securities.

issuance

of

(No

Co.,

•

Autiiographic Inc.
Feb. 27, 1961 filed 150,000 shares of common stock. Price
—$4 per share. Business—The manufacture and sale of
burglar warning systems.

subsidiaries,

>

(C.

E.

buy

equipment

to

make

component

now manufactured by others,
indebtedness, add to inventory, and for working
capital.
Office—Bellemore, L. I., N. Y. Underwriter—
First Broad Street Corp., New York
City (managing).

(Commonwealth of)

(6/27)
2, 1961 filed $25,000,000 of 20-year bonds due July
Proceeds—For the Commonwealth's international

1, 1981.

The

reserves.

Australian

equivalent of the
proceeds will be applied toward capital works programs
now
being financed by loans.
Underwriter — Morgan
Stanley & Co., New York (managing).

if Automated

currency

Plan, Inc.
("Reg. A") 100,000

12, 1961
common shares (par
10c). Price—$3. Business—The manufacture and sale of
"Gift Bookards" designed to provide

simplified gift giv¬

June 19

dealerships. Office—80
Ave., New York. Underwriter—J. Laurence & Co.,
Inc., New York.
Automated Merchandising Capital Corp.
May 24, 1961 filed 400,000 shares of common stock. Price
—To be supplied by amendment. Business—A closednon-diversified

—Blair

&

investment

management

May

26,

industry.
40th

Proceeds

—

company

For

investment.

St., New York City. Underwriter

Co., Inc., New York City

Automatic

Canteen

Co.

of

June

for

ness—The

acquisition,

Price—$7,500

per

unit.

Busi¬

holding, testing, developing and

operating of gas and oil leaseholds.

Proceeds—For gen¬

eral corporate purposes.
Office—523 Marquette Ave.,
Minneapolis. Underwriter—APA, Inc., Minneapolis. Of¬
fering—Expected in mid-August.

(6/26-30)

Apache Corp.

31, 1961 filed 300 units in the Apache Gas and
Oil Program 1962.
Price—$15,000 per unit.
Business—
The acquisition, holding, testing, developing and oper¬

ating of

gas

Proceeds—For general
Office—523 Marquette Ave., Minne¬

and oil leaseholds.

apolis, Minn. Underwriter — The company and its sub¬
sidiary, APA, Inc., will act as underwriters for the Pro¬
gram.

(7/10-14)

Apache Realty Corp.
March: 31,

filed 1,000 units in the First Apache
Realty Program. Price—$5,000 per unit. Business—The
Program plans to engage in the real estate business, with
empnasis on the acquisition, development and operation
of shopping centers, office buildings and industrial prop¬
erties.

1961

Proceeds

—

For

Office

investment.

—

523

Mar¬

quette Ave., Minneapolis, Minn. Underwriter—Blunt El¬
lis & Simmons, Chicago (managing).
•

Architectural

April

20,

common

1961
stock

Plastics

Co»-p.

(letter of notification)

103,191

shares of

offered by the company

and 76,865 shares by the under¬
writer.
Price—$1.25 per share. Proceeds—For working
capital. Office—1355 River Road, Eugene, Ore. Under¬
writer—Zilka, Smither & Co., Inc., Portland, Ore.
•

Arcs

Industries,

Inc.

(7/10-14)

filed $1,630,000 of 6% convertible subor¬
dinated debentures due 1971, to be offered for subscrip¬

May
tion

19,

by

1961

common

debentures

for

Business—The

stockholders

each

100

electro-mechanical

computer fields.




on

shares

manufacture

devices

of

for

and

for

Mart,

the

held.

basis

of

Price

—

$500
At

of

par.

electronic, electrical and
use

in

the

miss^e

and

Proceeds—To repay loans, purchase

a

32

be-

shares

supplied

held

of

about

amendment.

by

record

New

other

York

March

111. Underwriter—Glore, Forgan

&

Co.,

Vacuum

Control

Corp.

Inc.

Photocopy

(Diran,

Norman

&

Co.

division

of

common

Willmor

International

Products, Inc.
(letter of notification)

1961

stock.

and

Price—At par

—For

$20,000,000

&

Co.)

Common

$5,000,000

.....Common

Co.)

$300,000

V.

S.

Wickett

..Common

&

Co.

Inc.)

Dixon

Chemical

(Offering

to

Co.)

$300,000

Industries, Inc

Debentures

stockholders—underwritten
&

Co., Inc.)

Dixon Chemical &
(P.

W.

by

P.

Co.,

(Troster,

&

Co.,

Debentures

Inc.)

$2,900,000

Inc

Common

Singer

&

Co.)

$1,130,000

Equity Capital Co.__
Webber,

Common

Jackson

Curtis)

&

100,000

shares

F.ox-;staniey Photo Products, Inc
(Equitable

G-W.

($2 per

Brooks

W.

$1,500,000

Research, Inc

Brocks

Elgeet Optical

(Paine,

$625,000

Common

Securities

Common

387,500

Corp.)

shares

Ameritronics, Inc
(Praser

&

Units

Co.,

Inc.)

$320,000

Harvey's Stores, Inc
(Maltz.

Class A

Greenwald

&

Co.)

$1,125,000

Jefferson Counsel Corp
(No

&

(Milton

Vending,
D.

&

Co.

&

Co.)

Com.

$300,000

Common

■_

Co.,

and

M.

Inc.;

L.

Hallowell,

Lee

&

Sulzberger,

Inc.)

Co.,

150,000

Trap Rock Corp

(Smith,

Barney

&

shares

175,000

Common

Brothers

Photronics
L.

D.

Hammill

(P.

&

Co.)

&

Co.,

by

shares

150,000

Inc

Common

Brooks

W.

(P.

stockholders—underwritten

to

Foods,

$750,000

Inc.)

Inc

Debentures

Brooks

W.

&

$600,000

Inc.)

Co.,

Corp
(Lee

Co.)

&

..Common

Sherman

Renaire Foods,
Wrather

and
Shearson,
285,000 shares

Corp.

(Offering

Renaire

Jenks,

shares

Common

Co.)

Corp.

'(Lehman

Zurn

&

Inc

Blauner

Kirkland

$300,000

Manufacturing Inc

(Lecluse

Model

Class B Common

underwriting)

Electronics

Common
Higginson

Corp.)

shares

350,000

Industries, Inc.-

June

20

Common

Higginson

175,000

Corp.)

shares

(Tuesday)

Consolidated Edison Co. of New York, Inc.__Bonds
(Bids

11

$50,000,000

DST)

a.m.

Eurofund,

Inc.--

(Offering

stockholders—underwritten

to

Common

Francis

Co.;

du

I.

Hammill

Gulf

Oil

Pont

&

&

Co.)

Glore, Forgan
Shearson,

by

Co.

and

Capital

-

Boston

1,670,000

Corp.)

shares

Sportswear, Inc
(George

K.

Baum

Industrial Control

Common
Co.)

&

shares

86,000

Hindley

Co.)

&

$495,000

(Wednesday)
(Amos

Oil

June

&

Co.

Common
$600,000

Inc.)

&

Units
units

100,000

Co.)

California

of

Co.

&

Corp

Brod

T.

Co.

Read

Oil

(Dillon,

Treat

Mercantile
(A.

Union

Corp.

June

Inc.)

Co.

Debentures

$60,000,000

California

of

Read

&

22

(due

1,

June

(Thursday)

(due

1986)

June

Common

stockholders—First

to

26

Forgan

&

Boston

and

a loan, new equipment, lease of a
working capital.
Office — 25970 W. 8 mile
Southfield,
Mich.
Underwriter — International
Equities Co., Miami, Fla.

Beryllium Manufacturing Corp.
filed 105,000 shares of common stock. Price
—$4.50 per share. Business — The fabrication of pure
Feb. 27, 1961

beryllium components and other materials. Proceeds—
For expansion and inventory, with the balance for workContinued

on

page

50

and

Corp.

shares

450,037

Co.)

(Monday)

Capital

.Allison Business Services, Inc
Securities

(Hancock

American

Finance

$300,000

Corp.)

Units

Co., Inc.__—,
Loving

(Lomasney,

American

Co.)

&

$1,250,000

Photocopy Equipment Co.——Common
435,000

Brothers)

shares

Common
Securities

(Karen

Antilles

Electronics

$226,217

&

,

of

Units
Minneapolis,

Inc.

Minn.)

$4,500,000

Common

America, Inc
(D.

H.

Builders,
(Associates

CompuDyne

.

Common
$300,000

Co.i

Corp
(APA,

Bookshelf

Church

Corp.)

Corp

(Fraser

Apache

1991)

——.Debentures

$60,000,000

Inc.)

Co.

Amity Corp.
150,000 shares of
share). Proceeds

"

'

Common

Products, Inc

Development Corp. of America
National

&

shares

551,250

Corp.____
(First

Holiday

repayment of

plant,
Road,

Class A

$1,000,000

Bonds

Securities

(Lehman

14,

Grimm)

DST)

&

and

(Royer

Glore,

W. 15th St., New York City. Underwriter—
Co.,'New York City (managing).

Bel-Aire

Inc.

Diotron, Inc

(Offering

Manufacturing Corp.

bly and sale of accessory equipment for photocopy ma¬
chines.
Proceeds—For acquisition of the Bohn Dupli¬

April

A

$2,400,000

Northern Illinois Gas Co.__

May 26, 1961 filed 50,000 shares of common stock. Price
—To be supplied by amendment. Business—The assem¬

Office—42

Lenchner,

Consumers Automatic Vending, Inc

Union

ton, D. C. Underwriter—None.

a

—Class
Bruno

&

a.m.

(Mineo

(Dillon,

Co.

$650,000

Corp.)

(Dempsey-Tegeler

June 21

1961

5, 1961 ("Reg. A") 115,000 class A common shares
(par 10 cents). Price—$2. Proceeds—For inventory, and
working capital. Office—1601-14th St., N. W., Washing¬

cator

11

(Edward

June

BBM

$299,000

Colorplate Engraving Co.—

City (managing).

if Autoscope,

Inc.;

Securities

a

(letter of notification) 60,000 shares of
common stock
(par $1). Price—$5 per share. Proceeds
—For advertising, new products and working capital. Of¬
fice—1007 East Second Street, Wichita,
Kan.
Under¬
writer—Donald J. Hinkley & Co., Inc., Denver, Colo.
30,

Co.,

(Bids

Busi¬

factory addition at Whippany, N. J.,
corporate purposes. Office—Merchandise

Chicago,

Shields &

(par $1) of which 26,326 shares are to be

each

development, manufacture, sale and leasing of
vending machines. Proceeds—For the repayment of debt,

the construction of

Automotive

March

corporate purposes.

for

Price—To

30.

Co.)

&

Darlington

ness—The

public sale in 100 units.

debentures

Common

Inc.)

(Monday)

(Lee

filed

1961

Co.

(6/33)

$20,800,000 of convertible subordi¬
July 1, 1981 to be offered for sub¬
scription by common stockholders on the basis of $100
of

&

Capital for Technical Industries, Inc

(managing).

America

nated debentures due

Apache Corp.
May 29, 1961 filed $750,000 of participating units in the
Apache Canadian Gas & Oil Program 1961 to be offered

$1,000,000

Brooklyn Union Gas Co

formed to provide financial assistance to concerns active

East

Common

Co.)

Debentures

&

(Hill,

Park

vending

Towbin

A-Drive Auto Leasing System, Inc

Permian

and industry. Proceeds—For advertis¬
ing, sales promotion, repayment of loans, working capital

Office—10

Laboratories, Inc

Karen

ing for business

the

shares

____

Treat

umus

and the establishment of national

in

50,000

Services, Inc

(Cooley

New York

end

Weill)

&

Corp

Marine

Gift

June

$297,000

Common

Proceeds—To estab¬

reduce

Australia

Co.)

Potoma

(Bratter

Stratton

&

Unterberg,

Travel

parts of warning systems

June

Corgmon

Berlind,

Research

Motor

shares

196,109

Inc

(Carter,

Julie

Capital

,

underwriting)

lnc
(Jamleson

Curley

York

City. Underwriter—Capital Counsellors, 50
Street, New York City. Note—This company was
formerly the Irving Fund for Investment in U. S. Gov¬
ernment Securities, Inc. Offering—Imminent.

lish

j

Common
$1,000,000

Cable Carriers, lnc

investment

Office—50 Broad Street,

Broad

and

Bonds

,

$20,000,000

Inc.

22,

1960, filed 2,000,000 shares of common stock.
Price
$25 per share. Business — A diversified invest¬
ment company, which will become an open-end
company
the

DST)

underwriting)

Tassette, Inc

Atlantic Fund for Investment in U. S. Government

with

a.m.

(Friday)

Sons, St. Louis, Mo.

(managing).

July

11

Big Boy Properties, lnc

Chroma-Glo,

12,

49

NEW ISSUE CALENDAR

Arkansas Valley

May

and supplies, and binding equipment.

paper

for

cents per share.

fire

the company and 385,000

120

the basis of

offered

New

^ American

June

Processing Laboratories, Inc.
filed 2,100,500 shares of common stock

1961

be

In¬

as

Certificates, each representing $900 of bonds
Price—$1,800 per unit. Proceeds

carry

Color Film

23,

to

that these securities will be

in

and 783 shares of stock.
—To be used

Arizona
March

—22

Price—$4 per share. Business—The issuing firm is a
holding company for Jersey Packing Co., and a closed
circuit

building, and for working capital.
Office — 755 Park
Avenue, Huntington Station, L. 1., N. Y. UnderwriterLomasney, Loving & Co., New York City (managing)!

on

City.

American

(2645)

Blair

&

Co.)

$299,800

Common

Inc
Management,

Inc.)

$275,000

Common

Corp.

(Hayden,

Stone

&

Co.)

168,000

shares

(S.

D.

Fuller

Co.)

|

Debentures

Faradyne Electronics Corp
$2,000,000

Continued

on

page

50

?

i

50

(2646)

The Commercial and Financial Chronicle

i
Continued

<?:

from

49

page

Taffet

Electronics, Inc.(Fialkov

Fidelity Bankers Life Insurance Corp
(.Lee

Higgmson

Corp.

and

Shearson,

547,128

Gordon

Webber,

Hammill

&

Curtis)

140,000

Eager, Inc.

(N.

*£'

Hunt Foods

•\'r

&

$
j\
K

_

,

Hart

to

Crow,

Electronics

Baruch

1.
Recreation

p

(I.

.

Southeastern

M.

Simon

Co.)

•I,{

(Dean

Standard

i\

Brands
Bros.

(oiuro

■A

Suval

Witter

&

Paint

&

Co.

D.

Blauner

Templeton,

110,000

&

Triangle

and

Damroth

Co.)

Brukenfeld

&

&

f

June

it

27

Australia

Servonic

$300,000

E'.

Capital

&

Massachusetts

Uris

&

%

11

a.

&

June 28

Special

Vic

$25,000,000

Co

i

&

(S.

Inc.

Lehman

Corp.)

to

be

CMC

29

July 10
-Bonds

received)

Parker &

Arcs

;i

Electrarc,

•

150,000

Ti

Rensis

Inc.)

.viJ (Consolidated

J £

&

Co.,

Inc.)

(Espv

&

Securities

Wsn-'erer

Kaiser Aluminum
(First

Nash

&

Inc.)

Tnc

>

Chemical

Boston

W.

Corp.)

Ellis

Capital

Taddeo

I"!.

June

30

C.

underwriting)

375,000

&

Sudler

(Offering

to

Co.)

&

International
to

Vinco

(Russell

V.

-

Inc.;

World

Preferred
m.

a.

$30,e00,000

EDT)

August 1 ;•(Tuesday). »■";
of New York
(Eisele

&

•

;-

*

;

Units

Stout & Co.) $2,600,000

King, Libaire,

320,000

shares

Color

Glore,

August

Williams

&

(William R. Staais &

—Debentures

_____

Co.)

$1,630,000 V 1

Inc.;
&

Seymour

Co.)

Loving

Blauner

Co.

Press,

Inc.

(Friday)

September 8
Western

Union

(Offering
:

Co.)

jibi'JUnits

stockholders—underwriters

to
:

•

1,070,000

September

rA

$1,620,000

Inc

Co.)

.."tr?,.'

Common,.

.

;

Electric

&

(Bids

Dempsey-Tegeler

Production

Eastern

$990,000

Bonds

——

be

$5,000,000

received)

(Bids

to

—Preferred
$5,000,000

received)

be

Corp
&

Co.)

18

October

(Wednesday)

Georgia Power
Common

Bonds

Co

(Bids

received)

be

to

$15,500,000

Georgia Power Co.;

200,000 shares

Preferred
be

to

$8,000,000

received)

(Wednesday)

(Dillon,

Texas

(Thursday)

to

shares

9

Co

PST)

a.m.

Read

&

Co.)

Read

&

5

(Tuesday)

v

,

Bond*

Virginia Electric & Power Co
(Bids

be

to

received)

$15,000,000

Preferred

200,000

shares

Transmission Corp

(Dillon,

December

Bonds
$8,000,000

Texas Eastern Transmission Corp
and

Bonds

Mississippi Power Co

Co.)

&

Corp.-.

received) $12,000,000

(Bids to be

Mississippi Power Co.

$2,000,000

>

Hammill

named)

'

Common

and

be

to

snares

(Wednesday)

27

Rochester. Gas

Inc
Co.

Co.——--Common

Telegraph

'

'

Inc.)

&

'

I '

and

$600,000

September 28

Fuller

D.

Hammill & Co.)

$5,000,000

&

Co.

&

Shearson,

shares

300,000

Enterprises, Inc.—Common

underwriting)

Capital

and

Co.

"

~

Common

(Bids

Common
Lee

&

Bonds
$40,000,000

(Friday)

18

(Bids

Lehman

-

—

received)

be

to

Lytton Financial Corp.—

$5,000,000

(Tuesday)

July 12

Forgan

)

Consumers Power Co

units

.Units

California Electric Power
by

(Tuesday)

August 15

.Units

.

8,000

$20,000,000

received)

j

V

July 11

$7,822,000

Co.)

Co.)

Simmons)

Co.,

Richter

Debentures

ILomas,

&

—Bonds

Northern States Power Co._

Debentures

by

(Tuesday)

August 8

-Common

T.

218.000

$20,000,000

&

shares

Debentures

(Scherck,

$300,000

Co

Wickett

S.

$600,000

Inc.)

Investors Funding Corp.

—.Common

Co.)

stockholders—underwritten

Saxe

&

Common

& French,

Fricke

Co.—

(Bids'11

stock)

company's

Corp.
(S.

shares

Metropolis Bowling Centers, Inc

\*
M-

the

159,403

Co.)

Bruno

(Shearson,

Brothers)

•ri'

&

&

(Sandkuhl

Consolidated

Co.)

Silver

(Offering

J.

$2,000,000

stockholders—underwritten
&

:

J >'
\)

Co.)

Thoroughbred Enterprises,

(Friday)

.

Electric

$1,085,000

Bowling & Leasing Corp

Common

Automatic Canteen Co. of America
-

Moyer,

(Tuesday)

July 25
Union

Common

shares

Loving

(Lomasney,

$200,000

Corp

Wej-It Expansion Products, Inc
(Amos

(Woodcock,

shares

Corp

(No

Debentures

Baird

&

Superstition Mountain

$300,000

(J. M.) Co., Inc
(Robert

—

Common

Fuller

Securities

$500,000

r

M

Common

Philadelphia Laboratories, Inc

Common
95,000

Co.—„

Corp

J.

Hardeman (Paul), Inc
Common
ri (Michael G. Kletz & Co.)
350,000 shares
Income Planning Corp
Units

ti:
ti;

t-"i

(Netherlands

$600,000

Empire Life Insurance Co. of America

v,

l; - •

Inc.) .$600,000

Co.,

&

Blauner

(Monday)

Kane-Miller
Units

Common

de

155,000 shares

Co.)

Markets, Inc.--.
D.

$550,000

Co.)

underwriting

(Lomasney,

shares

Inc
(P.

K

&

(rsache

shares

Inc.—

Industries, Inc.—

Common

Redpath)

Co.

&

Common
$375,000

Inc.)

Co.

&

Common

Loeb

D.

Apache Realty

$50,000,000

Capital Properties, Inc
(Hocigdon

.Common
shares

60,0000

Inc.)

Co.,

&

Treat

Super
(Milton

Brothers)

Group, Inc

(Auehincloss,

Inc.)

..Common
snares

Mortgage Guaranty Insurance Co...'—--Common
Packer's

Common

Co.

150,000

Co.)

(Edward H.) & Son, Inc

(Bids

(Thursday)

Finance

,

_

&

Blauner

D.

(Amos

Co.-Common

(Wednesday)

(Blunt

June

75,000

Towbin

Fuller

D.

(S.

units

Valley Authority
(Bids

Ihnen

$1,462,500

$840,000

Canandaigua Enterprises Corp

and

53,125

Tennessee

(Milton
...

$17,500,000

Units

Co.

VY,.v

y.

Inc

(Bids to be

Inc

Weld

J

i

Inc.)

Dimension

Class A

Co.)

Tanny Enterprises, Inc

Bonds

EDST)

m.

(Wednesday)

Metals,

(White,

&

Treat

(Amos

shares

Corp

(Kuhn,

Bonds

Co.)

July 5

I

$300,000-

Distributing Corp.-

Record

Cosnat

247,500

Insurance

Insurance

is

Co.

Buildings

& Co.)

•

Stanley

Electric

(Bids

Curtis)

stockholders—no

(Greenfield

shares

Common

Inc

Sudler

(Monday)

July 24

>

Fifth

Corp

Untu.'berg,

to

Dillon,

Common

Benefit

C.

(Amos

$350,000

Stout

&

Industries,

Microtron

$15,000,000

Terry Industries, Inc

(Tuesday)

(Morgan

Eastman

;

Instruments,

Survivors'
(Offering

(Commonwealth of)_

■P

,\

&

Life

Treat

(Wednesday)

19

July

Capital

$3,750,000

.Capital

Higginson

Common

$300,000

(Grant, Fontaine & Co.)

—.Common

Co.)

&

1.728,337

I

and

Co.)

Lebaire,

Electronic

(C.

300,000

shares

Meyer)

Corp

(Lee

$445,000

Redpath)

&

Securities,

(Amos

Common

Parker

Factors

Seaboard

Debentures

Co.)

&

So

Preferred

$500,000

U. S. Home & Development Corp.___
(Auehincloss,

Mill

shares

Co.)

Corp
&

(Armstrong & Co., Inc.)

8

265,000

Curtis

Jackson

King,

(Life

Instrument

»'!

Investors

Common

Common

Co.

&

shares
••

&

Webber,

(Eisele

-Common

Allen

300,000

Heller

Income Properties, Inc

y

$6,250,000

Co

and

(Hecker

!

(Paine,

Youngberg

(

:

.—Debentures

&

Securities

Goodway Printing

$550,000

Industries Inc

iMilton

Union

Common

Co.)

Co.)

and

Jackson

:

.

Co.; Evans MacCormack &: Co., btone
and Sellgren, Miller & Co.) $300^000

&

Marine Structures Corp

shares

160,401

•

r

Common

&

Co.

(Schrijver

Capital Corp

&

Common
underwriting)

snares

Corp

lontaine

(Grant,

$7,500,000

Co.)

Gilbert Data Systems, Inc.

Units

&

&

Peabody

Webber,

$900,000

(Paine,

y;

"i

•i

Inc.)

Eberstadt

Chemonics

Debentures

40,000

received)

be

to

(Monday)

July 17

shares

.

Corp

Hammill &

$400,000

Webocv, Jackson & Curtis)
Southwestern States Telephone Co

•AH

(Paine,

Common

Enterprises, Inc

,

(Shearson,

.Common
Co.,

120,000

General Acceptance Corp

_

&

Co.)

First Small Business Corp. of New Jersey

Common

Co

Dowd

&

stockholders—no

to

(Kidder,

by

$1,870,000

Co.)

Blair

Common

Diamond Crystal Salt Co

Debentures

Inc.)

&

(F.

$412,500

Corp

Insurance

>

i

Co.)

stockholders—underwritten

(R.

t

&

H.

Comptometer
(Ofiering

Construction

Mohawk

i
of

If

A.

(Pistell,

Micro

(D.

Corp

Preferred

Co._——

Edison
(Bids

Chock Full O' Nuts Corp

Common

Goldman, Sachs & Co.) $38,799,500
Co

„

Jefferson

A

Rainwear

200,000 shares

Industries Inc

(Onering

,'
--

Almar

Thursday, June 15, 1961

.

(Thursday)

July 13

Inc.)$396,000

(Monday)

shares

Harwyn Publishing Corp..

<>/<

July 3

..Common

(M'arron, Sloss & Co., Inc.)

?

Co.)

61

Class

Jackson

Common

Co.

Brockton

shares

Jewelry Corp

(Paine,

&

Common

.

.

December

Debentures

Gulf

Power

Co.| ..$30,000,000

7

(Thursday)

Co.

Bonds

——

(Bids

received)

be

to

$5,000,000

r,
ij

i

p.
Continued from

U.

Bid

May

i'i

page

49

ceeds—To

ing capital. Office—253 W. Merrick
Rd., Valley Stream,
L. I., N. Y. Underwriter—Eldes
Securities Corp., New
York City. Offering—Imminent.
D

Chemical Co.

17,

1961

(letter

of

notification)

60,000

shares

of

class a common stock (par
$1). Price — $5 per share.
Office—1708 W. Main St., Oklahoma
City, Okla Under¬
writer—Donald J. Hinkley &
Co.,

Inc.,

•

Big

Boy

Properties,

Marcn 20, 1961 filed
Price—$10 per share.

operate

H.
Mi

a

■

\[

! >

properties.

4

Calif.

>

of

•I;
if
<'
ifi

■■>-) f

<•

1

i>

8, 1961

)
f

1)

«

v

V

and

artificial flowers. Proceeds—For

1,

1961

Industries, Inc.

filed

140,000

of

common

stock,

of
40,000 shares are to be offered for
public sale by
the
company and
100,000 outstanding shares by the
present holders thereof. Price
To
be supplied by
amendment. Business—The manufacture
and sale of
—

food

service
equipment (for restaurants,
hotels, etc.,) and
houseware and hospital products.
Proceeds—For product

working

Office—4546

writers

—

capital
West

and

47th

other

corporate

St., Chicago, 111.

Westheimer & Co., Cincinnati and

pur¬

Under¬

Divine

&

Fishman,, Inc., Chicago and New York
City. Offering—
Expected in late June.
r
Blue
March

Haven

Industries,

30, 1961

common

(letter of notification) 70,000 shares of
stock
(par 10 cents). Price—$4 per share. Pro¬

i

'■)

Inc.




and

Proceeds—To repay debt and

ronto.

for working capital.

Office—P. O. Box 129, Brampton, Ont., Canada. Under¬
writer—Shields & Co., New York City (managing).

Bolt Beranek & Newman, Inc.
April 27, 1961 filed 160,000 shares of common stock, of
which 90,140 shares are to be offered for public sale by
the company and 69,860 outstanding shares by the pres¬

June 2,

ent

holders

ment.

thereof.

Price—To

Business—The

be

supplied by amend¬
is a group of scientists
research, consultation and

company

and

engineers engaged in
product development in the fields of architectural acous¬
tics, applied physics, instrumentation, psychoacoustics,
bio-medical

technology,

man-made

machines

and

in¬

formation

systems.; Proceeds —For the repayment of
debt, and working capital.
Office—50 Moulton Street,
Cambridge, Mass. Underwriter—Hemphill, Noyes & Co.,
New York City (managing).
Offering—Expected in late
June.

,

.

.

.

^ Brisker Corp.
1961

("Reg. A") 160,000 common shares (par 25
Price—$1.
Proceedi—For repayment of loans,

cents).
machine

purposes.

rental, working capital and general corporate
Office—2833 St. Charles Ave., Suite 4, New

Orleans, La.
Underwriter
Springs, Colo.
•

Broadcast

June

2,

Copley

&

Co., Colorado

International, Inc.
of notification)

1961

(letter

siock

common

—

(parvfive

Business—Producers

of

cents).

radio

and

60,000
Price—$5
television

shares
pei

of

snaxv.

programs.

Proceeds—For general corporate purposes. Office—3 W.
57th St., New York City. Underwriter—Harry Odzer Co.,
New

York, N. Y.

Bonded

May

—2328

&

Homes, Inc.
1961 (letter of notification)

15,

common

stock

N.

W.

(par 10 cents). Price—$2

•

100,000
per

shares of

share. Office

7th

St., Miami, Fla. Underwriter—Givens
Co., Inc., 1202 duPont Bldg., Miami 32. Fla.
Bookshelf

April

shares

which

•tl
•: ii

other

..

Si
H

and

Merc

Bloomfield

May

I

J.

)

California.

restaurants

expansion; inventory and working capital. Office—1401
Fairfax Trafficway, Kansas
City, Kan. UnderwriterMidland Securities
Co., Inc.,- Kansas City, Mo.

expansion,

'<

of

inventory, reduce indebtedness

St., North Holly¬
wood, Calif. Underwriter—Pacific Coast Securities Co.,

filed

soft goods lines

poses.
,
'•I

purchase

in

handising Corp.
72,500 class A common shares. Price
—By amendment. Business—The wholesale distribution

i.

)

restaurants

Office—1001 East Colorado
Street, Glendale,

* Blackman

L

Colo.

Underwriter—None.

June

■

the

Denver,'

(6/16)

100,000 shares of common stock
Business—The company plans to

chain of "Big Boy"

Proceeds —For

'

Inc.

increase

for working capital. Office—11933 Vose

17,

common

1961
stock

Business—The
ceeds—For

of

America, Inc. (6/26-30)
(letter of notification) 74,950 shares of
(par 10 cents).
Price —$4 per share.

mail

moving

order

sale

of

expenses, new

religious books. Pro¬
equipment and work¬

ing capital and general corporate purposes.
Office—889
Broadway, New York, N. Y. Underwriter—D. H. Blair
& Co., New York, N. Y.
Bramalea Consolidated

May

19,

1961

filed

Developments, Ltd.
$6,000,000 (U. S.) of 6V2% sinking

fund debentures due
mon

$10

stock

and

July 1, 1973, 600,000 shares of com¬
240,000 12-year warrants (exercisable at

share) to be offered for public sale in units, each,
consisting of $50 of debentures, five common shares and
two warrants.
Price
$100 per unit.
Business — The
company is building a planned industrial-commercialper

—

residential

community at Chinquacousy, Ont.,

near

To¬

Brockton

June 6,

Proceeds

stock,
—36

Edvson

Co.

(7/13)

1961 filed 40,000 shares of preferred
To

—

prepay

a

retire

(par $100).

all

outstanding 6.40% preferred
bank loan, and for construction. Office

Main

St., Brockton, Mass. Underwriters—By com¬
petitive bidding. Probable bidders: Kidder, Peabody &
Co.; Kuhn, Loeb & Co., and Stone & Webster Securities
Corp. Bids—To be received at 49 Federal St. (8th floor)
Boston, Mass., up to 11 a.m. (EDST) Jnlv 13. 1961. In¬
formation

Meeting

—

Above

address

July

11,

11

a.m.

(EDST).

Brooklyn Union Gas Co. (6/19)
May 1, 1961 filed $20,000,000 of first mortgage bonds due
1986.
Proceeds—For the repayment of bank loans and
other corporate purposes.
Office—176 Remsen Street,

Brooklyn,

N. Y. Underwriters—To be determined by
competitive bidding. Probable bidders: Halsey, Stuart &
Co. Inc.; First Bdston
Corp., and Harriman Ripley & Co.,
Inc.

(jointly); Merrill Lynch, Pierce, Fenner & Smith
Inc.; White, Weld & Co.; Blyth & Co., Inc., and F. S.
Moseley & Co. (jointly). Bids—To be received on June

19, 1961 (11

a.m.

DST).

.

Volume

193

Number 6064

.

.

The Commercial and Financial Chronicle

.

(2647)

-fa Brown
June

(W. A.)

12, 1961

Manufacturing Co.
170,680 outstanding common shares.

filed

Price—By amendment. Business

photo-mechanical equipment.

The

—

manufacture

Proceeds

—1281 Westwood Blvd., Los
Angeles, Calif. Underwriter
—Dempsey-Tegeler & Co., St. Louis, Mo.

of

Capital Properties Inc. (6/29)
April 21, 1961 filed $600,000 of 91/£%

For

selling
Office—Prudential Plaza, Chicago. Under¬

stockholders.

writers—Loewi

—

debentures

due
1981
and
300,000 shares of common
stock, to be offered for sale in 100,000 units, each con¬
sisting of $10 of debentures and three common shares.

$

Price—To

be

L;|

—For

by

amendment.

due

series

ton, D.

C.

vestment

—6517

offered

• Burgmas fcer
June

Corp.

Proceeds—For

company.

//;

8,

1961 filed 190,000 common shares (par $1), of
100,000 shares are to be offered by the company
90,000 shares by a stockholder. Price—By amend¬

June 9,

ment.

Business—The

Proceeds—To repay

manufacture

of

drilling machines.
debt, purchase equipment and real

duty
East

Funds, Inc.

.7,5-

J

$

the business of

—

CIVIC

tems

April 28,
.3

stock.

Price—To

J'J

—The

.H

company,

in

"4

_'•!

the

South

consumer

Carolina

business

in

North

Carolina,

and

for

company-owned

industries.

patents.

commercial

writer—To

be

.

'•

/.A.. J-

use

based

>/.:■: ■?;

■■

000 to be sold

by the company and 120,000 by stockhold¬
Price—By amendment. Business—The processing of photographic film, wholesale distribution of photographic
stores.

Pro¬

ceeds—^For exampansion, equipment, and
working capi¬

*

tal;

Office—116

North

42nd

Street, Omaha, Neb. Un~
(man¬

derwriter—Cruttenden, Podesta & Co.,' Chicago
aging). '
: /
•
•.
•

Ca ifornia

June

1.

1991.

i

Efectric

1961

filed

Proceeds

—

Power Co.

$8,000,000
For

the

of

(7/12)

first

of

due

loans.

Office—2885 Foothill Blvd., San

Bernardino, Calif. Un¬
bidding. .Probable bidders:
Halsey, Stuart & Co. Inc.; Kidder, Peabody & Co.; Firsts
Boston Corp.; Merrill Lynch,
Pierce, Fenner & Smith
Inc. Bids—July 12 (9 a.m. PST) at the office of O'Melveny & Myers, Room 900, 433 South Spring St., Los An¬
geles. '
•/'.
„,/v

Tl
■!r3

.

•

10

,

Calvideo

May 29,
U

f

Electronics; Inc.
("Reg.. A.") 100,000 common shares (par
Price—$3. Proceeds—For repayment of debt
-

1961

cents).

and

working capital.
Office—18601 S. Santa Fe Ave.,
Compton. Calif, Underwriters—J. K. Norton & Co. and
Stern, Zeiff & Co., Inc., New York. *

M
'

-J

• .Carada. I>rv Corp.

I

U

June 8,

1961 filed $7,138,400 of convertible subordinated
debentures due July 1, 1981 to be offered for subscrip¬
tion, by common stockholders on - the basis of
$100 of
debentures for each 33 shares held. Price—At
par. Busi¬

v|
-•/J

ness

—

The manufacture and

and alcoholic

distribution

of carbonated

beverages, extracts and syrups in the U. S.

one

of
—

For

general

corporate

,".n,

•

and

short term loans, for
Office—100 Park Ave.,

prepay

workihg capital.

New York. Underwriter—None.

1976.

240,000 shares of class A stock, and warrants
to purchase 120,000 shares of class A stock to be offered

fI

for

public sale in units,

consisting of $500 of de¬
bentures, 30 class A shares, and 6-year warrants to pur¬
chase 15 class A shares at $5 per share. Price—To be
supplied by amendment. Business—/The company owns a
majority stock interest in Finger Lakes Racing Associa¬
tion, Inc., which is erecting a thoroughbred race track at

'fell
mf.

Canandaigua, New York.
in

recreational

construct

©''•.I

m
:■;(

general

S 7

York

/
'

4

;#tjy

fj

or

activities

and

may

restaurants

adjacent to the
working caoital
Office—26 Broadway,

corporate

purposes.

New York

'

>

The company plans to engage

entertainment

Proceeds—For construction,

track.

and

•

and

hotels, motels

race

H

each

City. Underwriter—S. D. Fuller & Co., New
City (managing).
;
•

Capita' For Technicallndustries, Inc. (6/19-23)
April 10, 1961 filed 500,000 shares of common stock.
Price—$10 per share. Business—A small business invest¬
ment company. Proceeds—To repay a loan and to pro¬
vide long term capital to small business concerns. Office


.13


miniature components.
Proceeds — For repayment of
debt; advertising, inventory and working capital. Office
—3 Foxhurst Road,
Baldwin, L. I., N. Y. Underwriter—
Fund Planning, Inc., New York, N. Y.

(7/3)

common

debentures, series A, due 1970; and option agree¬
for the purchase of common shares/'- Warrants
on the basis of one
right for each common
share held on the record date, one right for each share
ments

issuable
such

Proceeds—For

Avenue,

New

expansion.

York

17,

N.

Office—425

Y.

designing

March

ganized
and

Underwriter—F.

Business—The

'

1961

investment

ities.

of

company

investment.

•

Price—$2.10

the

Dewey Ave., Buchanan, Mich. Under¬
Brothers and Blyth & Co., Inc., New
(managing). Offering — Temporarily post¬

poned.
Clarkson Laboratories, Inc.

engage

share/

of

common

and

company

plans

to

latex, resins and plastic

compounds for industrial and commercial
—For

construction,

aircraft industries

furniture and

insulation.

and

Proceeds—For the purchase

of

Co., Inc.; the

capi¬
Under¬

Office—Suite 414, 52 Broadway, New

use.

Proceeds

plant additions, repayment of debt, and working
capital. Office—1450 Ferry Avenue, Camden, N. J. Un¬

Yolk.
Co., Inc., New York.

Consolidated Bowling

Corp.

March 29,

1961 filed 738,000 shares of common stock and
$900,000 of 6% convertible subordinated debentures, due
in July, 1981.
Prices—For the stock: $3.50 per share;
for the debentures: 100% of principal amount. Business

—-Operates bowling centers and owns real estate.
•

ceeds

For

expansion.
Office — 880
Military
Niagara Falls, N. Y. Underwriter—None.
—

stock.

in the development, manufacture, packaging and

sale of industrial chemicals

April 20. Rights expire June 14.

filed 170,000 class A shares.
Price — $5.
"Conolite," a laminate used in

1961

1,

Consolidated

Business—The

of

share. Proceeds—For research and pro¬

writer—Amos Treat &

East

per

per

electrical

tal.

writers—Lehman

shares

shares

repayment of debt; moving expenses, and working

York, N. Y.

200,000

38,984

the "Conolite" business of Continental Can

St., New York, N. Y. Underwriter—Fon-

filed

notification)

Conolite, Inc.

for

of

1961

of

Business—Manufacturers

products manufactured by Clark Equip¬
ment Co., parent. Proceeds—For the repayment of debt.

April 27,
Price—$2

(letter

duction, and general corporate purposes. Office—11612.
W. Olympic Blvd., Los Angeles, Calif. Underwriter—
Holton, Henderson & Co., Los Angeles, Calif.

Equipment Credit Corp.

City

facil¬

stock

12 shares held of record

the

Office—501

April 21, 1961 filed $20,000,000 of debentures, series A,
due 1981. Price—To be supplied by amendment. Busi¬
ness—The financing in the U. S
and Canada of retail

York

missile tbst

(no par) being offered for subscription
by stockholders on the basis of one new share for each

•

Office—324

1961

5,

common

June

sales

and

Computer Equipment Corp.

April

stock

tana Securities, Inc., New

of aeronautical

Proceeds—For

1961

W. 54th

(6/26)

inventory expansion, research and
development, the redemption of outstanding 6% deben¬
tures due Dec/1, 1961, and working capital. Office—404
South Warminster Rd., Hatboro, Pa. Underwriter—Hayden, Stone & Co., New York City (managing).

Cinema

time

To be

—

furnishing of instruments and systems for

automatic control

management type.
Bailey Avenue,
Worth, Texas. Distributor—Associates Management,

Clark

Underwriters

missile sites, and the design, development, assembly and
manufacture of electronic and other devices used in the

Inc., Fort Worth, Texas.

•

Chicago, 111.

12, 1961 filed 168,000 shares of common stock, off
which 120,000 are to be offered for public sale by the
company and 48,000 outstanding shares by the present
holders thereof. Price—To be supplied by amendment.

stock

Proceeds—For

2,

Jarvis Ave.,

CompuDvne Corp.

Builders, Inc. (6/26-30)
Feb. 6, 1961 filed 50,000 shares of common stock, series
2. Price—$5.50 per share. Business—A closed-end diver¬

common

company's activities are or¬
divisional basis—Business Machines, Com¬

a

May

Church

May

on

named.

—

Fort

if

Worthington Golf Ball Divisions. Proceeds—For the

West

(letter- of notification) 90,000 shares of
(par 50 cents). Price — $3.30 per share.
Business
The manufacture of pressure sensitive em¬
blems. Proceeds—For payment of obligations; purchase
of equipment; and for working capital. Office—525 Lake
Ave., S., Duluth 2, Minn. Underwriter—Jamieson & Co.,
Minneapolis, Minn.

sified

as

repayment of debt and for working capital. Office—5600

Lex¬

products.
Proceeds — For general corporate
Office —17 Jeffrey Lane, Hicksville, N. Y.
Wolf, Inc., New York.

2,

debenture,

Co., New York City (managing).

Chroma-Glo, Inc.. (6/16)

common

series A

munications and Electronics, Business Forms, Burke Golf

Underwriter—Lewis
•

a

been

amendment. Business—The

• Chrislin
Photo Industries Corp.
May 29, 1961 ("Reg. A.") 50,000 shares of class A stock
(par five cents K Price—$6. Business—Developing and

purposes.

conversion of

upon

debenture had

converted, and one right for
each share issuable under the option agreements.
The
warrants will provide that one new share will be issuable
for each eight rights tendered. Price—To be supplied by

• Chock Full O' Nuts
Corp. (7/3-7)
April 7, 1961 filed $7,500,000 of subordinated debentures,
due May 1, 1961. ' Price—To be supplied by amendment.
Business—The operation of a chain of restaurants in the
New York City area, and the packaging and retail sale

coffee.

filed 160,401 shares of common stock to
subscription by holders of outstanding
stock; 6^% subordinated convertible sinking

will be issued

—619

Proceeds—To

60,000 shares of
(par 10 cents).
Price—$3.50 per share.
importation and sale of electronic sub-

stock

Comptometer Corp.

••'

due

Canada.

expansion

$, 1

,

Syndicate, Inc.
).
(letter of notification) 100,000 shares of
(par one cent). Price—$3 per share. Busi¬
ness—The production of motion pictures. Proceeds—For
the repayment of loans; purchase of equipment; produc¬
tion of four motion pictures, and working capital. Office

and

1

'

purposes

Canandargua Enterprises Corp. (7/5)
May 2, 1961 filed $4,000,000 of sinking fund debentures

sKi

equipment, and working
Street, New York, N. Y.
Co., 99 Wall Street, New York,

Components Specialties, Inc.
20, 1961 (letter of notification)

of

cent). Price—$3 per share. Busiprinted circuits for the missile

&

repay¬

of

43rd

York.

April

working capital. Office—Chester, N. Y.
-Underwriter—S. Schramm & Co., Inc., New York City
(managing). "
/

Eberstadt &

derwriters—Competitive

«^

(par

Proceeds

shares

W.

fund

of

•

bank

New

common

100,000

photo-engraving. Proceeds—For
acquisition

March 31, 1961
be offered for

ington

nitge. bonds

repayment

loans;

Office—311

Underwriter—Mineo

Proceeds—For

ers.

camera

of

capital.

May 12, 1961 filed 100,000 shares of common stock. Price
—$4 per share. Business—Commercial printing and art.

}■

>.

Corp. (7/17)
(letter of notification)

Chester Litho.lnc.

Calandra

equipment, and operation of retail

ment

Angeles;'Calif.; Stone & Youngberg, San Francisco and
Sellgren, Miller & Co., Oakland, Calif.

on

Photo, Inc. ••••'■?" +
r/f //:>';
May 29, 1961 filed 170,000 class A shares, including 50,-

4

Business—Color

for

working capital. Office—990 S. Fairoaks Ave., Pasa¬
dena, Calif. Underwriters—Grant, Fontaine & Co., Oak¬
land, Calif, (managing); Evans MacCormack & Co., Los

Proceeds—For

named.

facilities

and

working capi¬
Office—Kirk Boulevard, Greenville, S. C.
Under¬

tal.

•

and

1960
stock

ness—Manufacturers

development of special material handling
industrial

14,

common

Carriers, Inc. (6/16)
23, 1961 filed 196,109 shares of capital stock. Price
supplied by amendment. Business—The com¬
which began operations in 1954, is engaged in the

research

support

Corp., New York City (managing).

Chenxonlcs
Nov.

be

systems

ground

Business—The

and

.

pany

for

—

Georgia.
Proceeds — For working
Office—1009 Wachovia Building, Charlotte, N. C.
Underwriter—Auchincloss, Parker & Redpath; Washing¬
ton, D. C.

L

devices

for

Street

March
-M

sys¬

electronic, electro-mechanical and mechanical
and

—

•
Colorplate Engraving Co. (6/19-23)
April 25, 1961 (letter of notification) 75,000 shares of
common
stock
(par 10 cents).
Price — $4 per share.

man¬

also manufactures special purpose products
military use. Proceeds—For the repayment of
loans and for working capital.
Office —15126 South
Broadway, Gardena, Calif.
Underwriter
First Broad

told

common

Cable

)

Price

is engaged in

engineering, research, development,

Originals, Inc.
(letter of notification) 37,500 shares of
stock (par 10 cents). Price—$4
per share. Busi¬

1961

Manufacturers of greeting cards. Proceeds — For
advertising; inventory; machinery and working capital.
Office—112 Pearl St., Mt.
Vernon, N. Y. Underwriter—•
D. Klapper Associates,
Inc., New York, N. Y.

ness

company

A

capital.

—To

Business—The company

1,

common

Washington St.,
Co., Inc., New

missile and space programs of the U. S. Government. The

be supplied by amendment.
Business
through its 20 subsidiaries, is engaged

finance

and

systems

Finance

Group, Inc. (6/29)
1961 filed 150,000 shares of class

West

ufacturing and installation of custom communication

viA-

I

600

—

Engineering Corp.

—$6 per share.

For
investment. '< Office
201
Main
St.,
Houston, Texas. Underwriters—Clark, Dodge & Co., Inc.,
New York; Alex. Brown &
Sons, Baltimore, and Rotan,
Mosle & Co., Houston.
—

Office

Underwriter—Blyth &

Jan. 30, 1961 filed 100,000 shares of common stock.

1,300,000 shares of capital stock. Price
Business—A small business investment company.

Proceeds

111.

in

Color-Tone

May

(managing).

Chalco

Business

loans.

Peoria,

York

June 2, 1961 filed

—$11.

bank

repay

estate and for

•

1961 filed $50,000,000 of sinking fund debentures
15, 1986. Business—The manufacture of heavyfarm and construction equipment. Proceeds—To

due June

working capital. Office—15001 S. Figueroa
St., Gardena, Calif. Underwriter—Shearson, Hammill &
Co., New York.

f

Office

Jr Caterpillar Tractor Co.

and

offered

par.

units, each unit consisting of $100 of deben¬
common stock.
Price—$287.50 per
unit. Business—The
company makes color photographs
and reproductions for
churches, institutions, seminaries
and schools. Proceeds—For
equipment; sales promo lion;
repayment of loans; construction of buildings and im¬
provements of facilities. Office—202 E. 44th St.,. New
York, N, Y. Underwriter—William, David & Motti, Inc.,
New York, N. Y.

Hillcrest

which

M

investment.

be

Lowell

tures and 50 shares of

Avenue, Dallas, Texas. Underwriter—
Rotan, Mosle & Co., Houston, Texas (managing).

i

to

Color
Reproductions, Inc.
May 10, 1961 (letter of notification) 950 units of
$95,000
of 6% subordinated
debentures, due June 30, 1971, and
47,500 shares of common stock (par one cent) to be

Pearl St., Hart¬

Capital Southwest Corp.
May 8, 1961 filed 1,250,000 shares of common stock.
Price—$11 per share. Business—A small business in¬

the

notes

$1,000. Price—At

Office—36

ford, Conn. Underwriter—Hodgdon & Co., Inc., Washing¬

Business—The

'

in
denominations of $100
Proceeds—For working capital.
St., Manchester, N. H. Underwriter—
Eastern Investment
Corp., Manchester, N. H.
to

retail discount department stores. Proceeds—For
acquisi¬

tion of the above properties. Office—36

financing and sale of shell homes. Proceeds
repayment of debt, the opening of additional
sales offices and the financing of home sales. Office—
Adrian, Ga. Underwriter—The Robinson-Humphrey Co.,
Inc., Atlanta, Ga. (managing).

-5'-:

.

■

debentures

construction

if "•!

supplied

Inc.,

Acceptance Corp.
June 6, 1961
("Reg. A") $125,000 of 10-year registered

and 12,000 shares of common stock to be offered
public sale in units of $1,000 of debentures and 20
common
shares. Price—$1,000 per unit. Business—The
company plans to purchase and lease back three build¬
ings to be erected by, Tower's Marts, Inc., for use as

Builtwell Homes, Inc.
May 25, 1961 filed $1,000,000 of convertible subordinated

Globus,

City.

• Coastal

for

n

4

both of New York

1977

&

Co., Inc., Milwaukee and Blunt Ellis
& Simmons, Chicago.

®

derwriters—Ross, Lyon & Co., Inc., and

51

Edison

Co.

of New

(6/20)

May 9,
bonds.

writers

1961

York,

ProRoad,

Inc.

.

filed $50,000,000 of 30-year first mortgage
Irving Place, New York City. Under¬
be determined by competitive bidding.

Office—4
—

Probable

To

bidders: Halsey, Stuart

& Co. Inc.; First Bos-^
Continued

on

page

52

Chronicle

The Commercial and Financial
52

Continued

at the

tion Meeting—Scheduled for

Irving Place, New York City.

13th floor of 4
•

May 15, 1961 (letter of notification) 3,000 shares of 5V2%
cumulative preferred stock. Price — At par ($100 per
share). Office—214 Perry St., Davenport, Iowa. Under¬
writer—Quail & Co., Inc., Davenport, Iowa.
•

(7/11-14)

Production Corp.

Consolidated

De-Electronics,

which plans to change its name to Consolidated
Production Corp., buys and manages fractional interests
pany,

producing oil and gas properties. Proceeds—For in¬
vestment, and working capital. Office—14 North Robin¬
son,
Oklahoma City, Okla.
Underwriter — Shearson,
Hammill & Co., New York City (managing). Note—This
company formerly was named Cador Production Corp.
in

—

both
•

filed 50,000 shares of common stock (par

March 16, 1961

be offered for
public sale by the company and 20,000 outstanding
shares by the present holders thereof.
Price — $2 per
share. Business — The design, manufacture and sale of
electronic equipment for the U. S. Government. Pro¬
ceeds
For research and development and for working
capital. Office—850 Shepherd Ave., Brooklyn, N. Y., Un¬
derwriter—M. L. Lee & Co., New York City.

Wickett &

filed 600,000 shares in the Fund. PriceTo be
supplied by amendment.
Business—The Fund
will offer investors the opportunity to participate jointly

Co., Inc.. both of New York City.
Life

Cortez

Insurance

Co.

12, 1961 filed 500,000 shares of common stock
Price—$3 per share. Business—The company is engaged
in the business of writing life insurance, annuity policies
and re-insurance. Proceeds—For general corporate pur¬

1961

filed

100,000

Business

shares.

common

manufacture

The

—

Price—By

of equipment

super-cold liquids and gases. Proceeds
manufacture
of
new
equipment, repayment of

for the storage of
•—For

corporate purposes and working capital.
El
Segundo Blvd., Hawthorne, Calif.

loans; general

W.

Office—3232

Underwriter—Dean
•

Record

Witter

&

Distributing Corp.

manufacture

Business—The

ment.

distribution

and

of

Proceeds—For the repayment of
debt, and working capital. Underwriter—Amos Treat &
Co., New York City (managing). Office—315 West 47th
Street, New York City.
phonograph

Corp.

May 1, 1961 filed $2,000,000 of convertible subordinated
debentures due 1976.
Price—To be supplied by amend¬
Business

enameled

—

The

manufacture

distribution

and

of

aluminum

siding and aluminum accessories.
plant expansion, new equipment and the

Proceeds—For

development (of new products.

Office—5820 Center Ave¬
nue, Pittsburgh, Pa.
Underwriters — Adams & Peck;
Allen & Co., and Andresen & Co., all of New York City.
•

Curley Co.,

Sullivan

Bosworth,

(6/16)

Inc.

Inc., and
(managing).

Co.,

&

Underwriters

—

Co., both of Denver, Colo,

&

(6/21)

of America

Corp.

1961 filed 200,000 shares of common stock (par
Price—$3 per share. Business—The develop¬
ment and construction of single-family residences and
communities in Florida.
Proceeds—For general corpo¬
March 30,
10

cents).

rate

Office — 5707
Hollywood
Boulevard,
Underwriter—Amos Treat & Co., Inc.,
(managing).

purposes.

Hollywood, Fla.
York

City

outstanding common shares
to be sold by stockholders. Price—$5. Business—Manu¬
facturers of women's apparel. Proceeds—For the selling
Office—1400

stockholders.

New

Broadway,

Un¬

York.

Diamond

South Riverside
Drive, St. Clair, Mich. Underwriter—Kidder, Peabody &
Co., New York City (managing).
Office

selling stockholders.

—

916

(letter of notification) 100,000 shares of
common stock (no par). Price—-$3 per share. Proceeds—
For
raw
materials, production, testing and working
29, 1961

capital. Office — 3650 Richmond St., Philadelphia, Pa.
Underwriter—Royer Securities Co., Philadelphia, Pa.
•

Dixon

Chemical

Industries,

convertible sub¬

ordinated income

due

debentures

1981

be offered for

to

subscription by holders of the company's common stock.

$1).

Price

stock (par
Business—
The manufacture and packaging of household liquid de¬
tergents for distribution under private labels. Proceeds
—For general corporate purposes. Office—Jefferson and
Masters Sts., Camden, N. J. Underwriter—Carter, Berlind, Potoma & Weill, New York City (managing).
Shell

Custom

To

—

be

manufacture
struction of

supplied by amendment.
new

Broad

P.

Brooks

•

by the
present

the

plant and for working capital.

Dixon Chemical

Underwriter—P.

(letter

The

debentures,

&

Underwriter—
City

(manag¬

(6/19-23)
sinking

Research, Inc.

due

Price—To

1978.

Business—The

be

by

supplied

production of sulfuric acid,

sulfate, chromic acid
and
Proceeds — For con¬
struction of a new plant, repayment of debt, and work¬
ing capital. Office—1260 Broad Street, Bloomfield, N. J.
dioxide,

aluminum
corrosion-resistant coatings.
sulfur

liquid

W.

Brooks

&

Co., Inc., New York City

(managing).
April 25, 1961 filed 100,000,000 shares of capital stock.
Price
$1 per share. Business — A diversified mutual

for commercial and

fund.

military customers. Proceeds — For
realty acquisitions, the repayment of debt, andjor ex¬
pansion. Office—6114 Forest Park Road, Dallas, Texas.
Underwriter
Eppler, Guerin & Turner, Inc., Dallas
(managing).
—

if Data

Components,

June

1961

6,

Inc.

Dollar

Mutual

Fund, Inc.

Proceeds

Bank Bldg.,

For

—

•

Dolomite

Dec.

equipment,

Office

—

2212

sales

promotion

Data

April
no

Processing,

12,

par

and

working

McDonald Ave., Brooklyn, N. Y.

writer—A. J. Frederick

Glass

Fibres,

1961

common

of

-

convertible);

per

Mass.
Wall

equipment.

Underwriter

St.,

Office—1334

75,000 shares of
share.
Business—'

Main

digi¬

Waltham,
First Weber Securities Corp., 79
City.
St.,

—

New York

a

consultant

or

advisor

in

common
company

stock.

acts

as

pertaining to data
equipment. Proceeds—To de¬

Office—8113-A Fenton Street, Silver Spring, Md. Under¬
writer
First
Investment
Planning Co., Washington,
—

Columbia.




—1037

Jay

Dubow

April

and

300,000 common shares (non-vot¬
share for the preferred and $1 per

sale

common

of

shares.

glass fibre

A

class

St., Rochester, N.
Chemical

1961

10,

share.

for

Business—The

insulation
use

in the

and
pro¬

(letter

common

—

None.

notification) 80,000 shares of
(par one cent). Price—$2.25 per

of

stock

Business—The

Y. Underwriter

Corp.

development

and

manufacture

of

chemical products. Proceeds—For general corporate pur¬
poses.

Office—222 Newbridge Ave., East Meadow, L. I.,
Underwriters

Y.

Planned

Investing Corp., New
York City and Fidelity Investors Service, East Meadow,
L. I., N. Y.
'

matters

processing problems and
velop data processing systems and for working capital.

District of

per

common

N.

Datatrol

Corp.
April 26, 1961 filed 60,000 shares of
Price— $4.25 per share. Business—The

ing). Price—$10

A

duction of reinforced plastics. Proceeds—For working
capital and the purchase of additional equipment. Office

computer programs. Proceeds—To purchase or lease

computer

and

manufacture

The research, design and development of advanced
tal

(voting)

class

50,000

glass fibre threads, mats and rovings for

notification)

stock. Price—$4

^

Under¬

Inc.

(letter

Inc.

capital.

Co., Inc., New York.

Midland

27, 1960 filed 500,000 shares of 7% preferred stock

share for the class A and

plant

736

tributors, Inc.

cation

parts. Proceeds—For moving expenses,

—

Minneapolis, Minn. Underwriter—Fund Dis¬

shares

metal

Office

investment.

A") 120,000 common shares (par
10 cents). Price—$2. Business—The marking and fabri¬
for

Office—68

purposes.

Dumas

May

Milner

—

Corp.

filed

$2,000,000 of 6% convertible sub¬
due 1971, and 400,000 outstanding
shares of class A common stock to be offered for public

24,

1961,

ordinated

sale
be

Columbia

W.

Street,
Co.,

Y.
Underwriter—Street & Street
Inc., New York. Note — This company formerly
named Eastern Camera Exchange, Inc.
N.

was

Lime Corp.

Eastern

filed $700,000 of subordinated debentures,
100% of principal amount.
Busi¬

March 31, 1961

Price—At

1976.

due

operation of a quarry in Kutztown, Pa., and
of limestone for cement companies.
Proceeds—For new equipment and
the repayment of

ness—The
the

production

debt.

debentures

by the present holders thereof. The securities will

sold in

Underwriters—Stroud &
York & Co., Ii)c.,

Pa.

Office—Kutztown,

Co., Inc., Philadelphia and Warren W.
Allentown, Pa. (co-managers).

if Edwards Container Corp.
May 29, 1961 ("Reg. A") 60,000 common shares (par

200,000 units, each consisting of one $10 par

$1).

loans, purchase plant
machinery and for working capital. Office—3535 Eastham Drive, Culver City, Calif. Underwriter—Olmstead,
Allen & Co., Los Angeles, Calif.
Price

Proceeds

$5.

—

Homes,

—

To

repay

Inc.

May 16, 1961 filed $2,000,000 of convertible subordinated
debentures due June 1, 1973. Price—To be supplied by
amendment. Business—The erection of apartments and
California.

So.

in

homes

Electra

Proceeds—For the purchase of

Office—Palo Alto, Calif. Underwriter—•

San Francisco, Calif,

(managing).

International, Ltd.

May 5, 1961 filed 70,000 shares of capital stock. Price—•
be supplied by amendment. Business—The manufac¬

To

ture of

outside

products in the automotive ignition field for sale
of the United States. Proceeds — For research,

development, and working capital. Office—222 Park

Ave., South, New" York City. Underwriters—Robert A.
Martin Associates, Inc., and Ezra Kureen Co., both of
York

New
•

City.

(6/29)

Inc.

Electrarc,

21, 1961 filed 100,000 shares of common stock,
$5 per share. Business — The research and de¬

April

—

velopment of arc welding and wire shielding. Proceeds
—For
equipment, working capital and miscellaneous

Office—505 Washington St., Lynn, Mass. Un¬
de Rensis & Co., Inc., Boston, Mass.

expenses.

derwriter—P.

Products

Electronic

May

11,

stock

common

4642

Belair
and

(no

be

Earl

1961

offered

the

basis

for

of

Price—To

Baltimore, Md. Underwriters—Bertner
& Co., New York, N. Y.

Rd.,

Electronics

May 25,

Edden

Corp.

Capital

filed 612,463 shares of common stock to
subscription by common stockholders on

one

be

Corp.

of notification) 100,000 shares of
par). Price—$2 per share. Office—

(letter

1961

share

new

for each

three

shares held.

Business — The
company is licensed under the Small Business Invest¬
ment Act of
1958 and provides long-term investment
capital and management services to small business con¬
supplied

bv

amendment.

in the electronics field.

cerns

Proceeds—For investment.

Office—1400 Fifth Ave., San Diego,

Elgeet Optical Co.,
March

28.

1961

filed

—

(cumulative

("Reg.

corporate
Hempstead,

Calif. Underwriter-

Bear, Stearns & Co., New York City

40,000 outstanding shares by the
holders thereof.
Price — To be supplied by
amendment. Business—The overhaul of aircraft engines
and

company

and

supplies

photographic

and

film

also processes and prints black and white
phonographic film. Proceeds—To reduce indebtedness in¬
curred by acquisitions, to pay notes due, and for general

con¬

Office

March 31, 1961 filed $2,900,000 of 6% convertible
fund

a

cameras,

equipment;

Bros,

Dallas Airmotive, Inc.
May 26, 1961 filed 390,000 shares of common stock, of
which 350,000 shares are to be offered for public sale

1961

Proceeds—For

—

ing).

amendment.

8,

Business

Street, Bloomfield, N. J.
& Co., Inc., New York

Homes, Inc.
of notification) 120,000 shares of
common
stock
(par 10 cents). Price—$2.50 per share.
Proceeds—To erect sample homes, repay a loan, and for
expansion and working capital. Office—412 W. Saratoga
St., Baltimore, Md. Underwriter—T. J. McDonald & Co.,
Washington, D. C.

May

acid.

sulfuric

of

a

—1260

W.

sell ng

Price

(6/19-23)

Inc.

filed $1,500,000 of 6%

1961

31,

March 30, 1961 filed 50,000 shares of common

Price—To be supplied by amendment.

cents). Price—$4 per share. Busi¬
chain of retail stores and concessions

stock (par 10

ness—Operating

and

(6/19-23)

Diotron, Inc.

March

75,000 shares of

notification)

of

(letter

1960

29,
rion

con

J.S. Strauss & Co.,

(7/3-7)

Crystal Salt Co.

May 22, 1961 filed 300,000 shares of outstanding common
stock. Price—To be supplied by amendment. Proceeds—

March

Dec.

|

& PStoto Corp.

Eastern Camera

additional land.

derwriter—Globus, Inc., New York.

To

Co., Inc., New York, N. Y.

Eichler

if Devonbrook, Inc.
June 8, 1961 filed 120,000

records.

Crown Aluminum Industries

ment.

large

New

Co., San Francisco.

(7/24-28)
May 26, 1961 filed 150,000 shares of common stock, of
which 105,556 shares are to be offered for public sale by
the company and 44,444 outstanding shares by the pres¬
ent holders thereof.
Price—To be supplied by amend¬
Cosnat

and diversified real estate investments which
offer promise of growth and increased values. Proceeds
—For investment. Office—660 17th Street, Denver, Colo.
in

Office — 44 Beaver
Underwriter—A. D. Giihart

and working capital.

purposes

Street, New York 4, N. Y.

1961

Development

if Cosmcdyne Co^p.
12,

Fund

Investment

Estate

Real

Denver

Boettcher

Main St., Grand Junction Colo. Under¬

poses. Office—304
writer—None.—"

amendment.

—

May 15,

Jan.

June

cent), of which 30,000 shares are to

one

rate

•

Decitron Electronics Corp,

(6/19-23)
March 31, 1961 filed 125,000 shares of common stock (par
10 cents).
Price—$5 per share. Business—The installa¬
tion, maintenance and servicing of automatic vending
machines, including complete in-plant automatic cafe¬
terias, in the metropolitan New York area. Proceeds
—For equipment, the reduction of debt and other cor¬
porate purposes.
Office — 59-05 56th Street, Maspeth
N. Y.
Underwriters—Diran, Norman & Co., and V. S,
Inc.

Vending,

Automatic

Consumers

Dynamic Vending Corp.
1961 (letter of notification) 75,000 shares of
common
stock (par 10 cents).
Price —$4 per share.
Business—The purchase and sale of vending equipment
and electrical appliances. Proceeds—For general corpo¬
April 26,

&

City.

York

New

of

shares. Price—To be supplied
Business—The manufacture and sale of
products used in cleaning, sanitation maintenance and
household laundering. Proceeds—For the repayment of
debt and product expansion. Office—Jackson, Miss. Un¬
derwriter—Courts & Co., Atlanta, Ga. (managing).
by amendment.

Inc.

(letter of notification) 112,000 shares of
common stock (par 10 cents). Price—$1 per share. Busi¬
ness
The manufacture of electronic components and
assemblies. Proceeds — For the purchase of inventory;
manufacturing facilities and working capital. Office—50
E. Third St., Mount Vernon, N. Y. Underwriter—Theo¬
dore Arrin & Co., (managing) and T. M. Kirsch & Co.,
1961

April 13,

May 26, 1961 filed 200,000 shares of common stock. Price
-—To be supplied by amendment.
Business—The com¬

•

Thursday, June 15, 1961

.

debenture and two class A

Davenport Water Co.

51

from page

Corp.; Morgan Stanley & Co. Bids—To be received
company's office on June 20 at 11 a.m. Informa¬
June 13 at 10 a.m., on the

ton

.

.

(2648)

Price

—

lenses

$6.50

per

Inc.

shares

180,000

Business

share.

(managing).

(6/19)
—

of

common

The

stock.

production

of

and

optical systems for camera manufacturers.
Proceeds—For repayment of bank loans, new machinery,
research and development, with the balance for general
corporate purposes.
N.

Y.

City

Office—838 Smith Street, Rochester,

Underwriter—Troster,

Singer

&

Co., New

York

(managing).,

(6/29)
shares of
capital stock (no par). Price—$10 per share. Proceeds—
To go to selling stockholders. Office—2801 W. Roosevelt
Road, Little Rock, Ark. Underwriter—Consolidated Se¬
curities, Inc., 2801 W. Roosevelt Road, Little Rock, Ark.
Empire Life Insurance Co. of America

March

14, 1961

(letter of notification)

Enterprise Hotel Development
May 19, 1961 filed 242,000 shares of
9,680 shares of preferred stock
for

public sale in units of

shares.

Price—$150

formed

was

build

and

by

the

per

one

unit.

30,000

Corp.
common

stock and

to be offered
preferred and 25 common
(par $100)

Business—The company
of Puerto Rico to

Commonwealth

a luxury, beach-front hotel in San Juan.
will be operated under a 30-year lease by a
subsidiary of Sheraton Corp. of America. Proceeds—For

The

own

hotel

construction.

turce, P. R.
•

Office—1205

Ponce

de Leon Avenue,

San-

Underwriter—None.

Equity Capital Co. (6/19)
April 7, 1961 filed 100,000 shares of common stock (par
$1.25). Price—To be supplied by amendment. Bus'ness
The making of short-term construction and second
mortgage loans, and the buying of improvement loan
—

Volume

193

Number

6064

.

.

obligations from the holders thereof.
debt

tire

for

and

working

capital.

The Commercial and Financial Chronicle

.

Proceeds—To
Office —430

re¬

First

Avenue

North, Minneapolis, Minn. Underwriter—Paine,
Webber, Jackson & Curtis, New York City (managing).
Ets-Hokin &

•

June 1, 1961

shares, including 100,by stockhold¬

common

000 to be sold by the company and
109,355

Price—By amendment.

ers.

Business—Installs electrical

and electronic systems in missile
—For

general

corporate

installations.
Office—551

purposes.

San Francisco, Calif.
Underwriter
Noel & Co., New York (managing).
St.,

—

Van

Proceeds

Mission

Alstyne,

basis of

one

be

invests

share for each

new

supplied

in

by

Price

Business—The

Fund

of

companies having operations in
the Common Market Area of Europe. Proceeds—For in¬
vestment.

Office—14

Wall

Street, New York City. Un¬
Forgan & Co., (managing); Francis
Co.; Shearson, Hammill & Co., all of New

derwriters— Glore,
I.

du Pont

York

&

City.

Real

Estate Trust

St., New York. Dis¬
Program, Inc., New York.

ic First Mortgage Fund
June

12; 1961 filed 1,200,000 shares of beneficial inter¬

ests. Price
$15. Business — A real estate investment
trust. Proceeds—For investment. Office—30 Federal St.,
Boston. Underwriter—Shearson, Hammill &
Co., New
—

York.
First

Small

Business

Corp.

of New Jersey

April 18, 1961 filed 300,000 shares of capital stock (par
$1), to be offered for public sale by the present holder
thereof. Price
$12.50 per share. Business — A small
investment

company organized in July, 1960,
by the National State Bank of Newark, sole stockholder.
Proceeds—For investment and working capital. Office—

810

Broad

St., Newark, N. J. Underwriters—Shearson,
Co., New York City and Heller & Meyer,
Orange, N. J.
i

Hammill
East

&

First

Small

Business

Investment

Company

,

Controls,

Inc.
May 19, 1961 filed 150,000 shares of

—$1

common

stock.

Price

share. Business—The manufacture of electronic
power controls designed
by the company's
engineers from specifications supplied by customers.
per

solid

state

Proceeds—For

equipment, repayment of a loan, inven¬
tory, advertising and working capital. Office—114 Man¬
hattan Street,
Stamford, Conn.
Underwriters—Globus,
Inc., and Lieberbaum & Co., both of New York City.
^ Famous Artists

Schools,

Tampa, Inc.
Oct. 6, 1960 filed 500,000 shares of common stock. Price
—$12.50 per share. Proceeds — To provide investment
capital. Office—Tampa, Fla. Underwriter—None.
•

First

Surety Corp.
May 31, 1961 filed 736,493 outstandnig shares of capital
stock to be offered for sale
by stockholders. Price—By
amendment.

erates
deeds

Inc.

June

13, 1961 filed 336,625 common shares of which
will be sold by the company and 236,625 by
stockholders. Price—By amendment. Proceeds—For
gen¬
eral corporate purposes. Office — 680 Fifth
Ave., New
York City.
Underwriter—Bear, Stearns & Co., New York
100,000

Business—The

ings & Loan Association,

a

Surety Sav¬
corporation; op¬

company owns

California

insuranec agency, and acts as
trust
Proceeds—For general

an

of

trustee under

a

corporate pur¬

.

poses.
Office—237 Olive Ave., Burbank, Calif. Under¬
writer—Dempsey-Tegeler & Co., St. Louis (managing).

Fiato

Realty Fund

April 21,
the

Fund.

(managing).

estate

Faradyne Electronics Corp. (6/26-30)
Jan. 30, 1961 filed $2,000,000 of 6% convertible

Texas.

ordinated debentures.

Business—The

Price—100% of principal amount.

high reliability materials and basic

electronic

components, including dielectric and electro¬
lytic capacitors and precision tungsten wire forms. Pro¬
ceeds—For the payment of debts and for woorking capital.
Office—471 Cortlandt Street, Belleville, N. J.; Under¬
writer—S. D. Fuller Co.
/
.

Federal

May

8,

Factors, lnc.|
filed $700,000

1961

of

6V2%

,

convertible

sub¬

ordinated debentures due 1976 and

70,000 shares of com¬
Price—To be supplied by amendment. Busi¬

stock.

mon

finance

ness—A

Proceeds—To

company.

repay

loans,

for working capital. Office—400 S. Beverly Drive,
Beverly Hills, Calif. Underwriters—Thomas Jay, Win¬

and

&

ston

Co.

and

Co., Beverly Hills, Calif.; Maltz,
Globus, Inc., New York, N. Y.

Greenwald &

ic Federal Tool & Manufacturing Co.
12, 1961 filed 300,000 outstanding common shares.
Price
$5. Business—The manufacture of short-term
—

stampings out of metals. Proceeds—For the selling stock¬
holders.

Office—3600

Alabama

Ave., Minneapolis.
Co., Minneapolis.

derwriter—Jamieson &

Un¬

•

Ferson Optics, Inc.
May 29,-1961 ("Reg. A.") 75,000 common shares (no
par). Price—$4. Proceeds—To purchase machinery for
development and promotion, and working capital.

Proceeds

—

For

investment.

Texas.

May

Mir

Candy Corp.
1961 (letter of notification) 85,700
stock (par 10 cents).
Price—$3.50

24,

common

shares
per

Business—The manufacture of candy products.

of

share.

Proceeds

•—For

Office—1717

Broadway, Brooklyn, N. Y.
Under¬
writers—Security Options Corp.; Jacey Securities Co.
and Planned,
Investing Corpt all of New York City.

it Florida Steel Corp.
June 8, 1961 filed 100,000
stockholders. Price

—

fabricating and warehousing of steel products. Proceeds
—For the selling stockholders. Office—1715 Cleveland
St., Tampa, Fla. Underwriters—McDonald & Co., Cleve¬
land and

Kidder, Peabody & Co., New York
Motor

(managing).

Co.

May 26, 1961 filed 2,750,000 outstanding shares of com¬
mon
stock to be offered for public sale by the present
holders thereof. Price—To be related to the current
ket price
—For

mar¬

of the stock at the time of the sale. Proceeds

the

selling

Fiat Metal

Manufacturing Co., Inc.

March 29, 1961 filed 220,462 outstanding shares of com¬
mon stock
(par 10 cents), to be offered for public sale

of prefabricated metal shower cabinets,

glass shower en¬
closures and pre-cast shower floors. Proceeds—-For the
selling stockholder. Office — Michael Court, Plainview,
L. I., N. Y. Underwriter—Dempsey-Tegeler & Co., St.
Louis and New York City. Offering—Imminent.

(6/26-30)
April 27, 1961 filed 547,128 shares of common stock.
Price —To be supplied by amendment.
Business —The
writing of ordinary, group and credit life insurance in
Fidelity Bankers Life Insurance Corp.

13

and

states

additional

the

capital.

District

of

Columbia.

Proceeds—For

Office—Broad at Willow Lawn, Rich¬

Va.
Underwriters — Lee Higginson Corp., and
Shearson, Hammill & Co., both of New York City (man¬
aging).

mond,

Fifth

Dimension

Inc.

(7/24-28)

stockholder

(the Ford Foundation).
Office—Dearborn, Mich. Underwriter—Blyth & Co., Inc.,
New York City (managing). Offering—Expected in late
June.

development, manufacture and sale of precision instru¬
ments

for

Office—P.

Milton D.

and

measurement

ceeds— For

and

research

control applications.

new

product

Pro¬

development.

483, Princeton, N. J. UnderwriterBlauner & Co., Inc., New York City (manag¬
O.

Box

ing).
First Diversified

Fund

May 15, 1961 filed 20,000 shares of the Fund. Price—
$100 per share. Business—The Fund was organized in
May, 1961, to provide investors with an opportunity to
own an interest in diversified income-producing proper¬

ties, chiefly real estate.
fice—627

Dahio

Salem

Co., Dayton, Ohio.




Proceeds—For investment. Of¬
Dayton, Ohio. Sponsor—The

Avenue,

March

ceeds-^For

additional working capital. Office—130 W.
Street, New York City. Underwriter—Continental
Planning Co., 130 West 62nd Street, New York City.
Offering—Expected in late June.
42nd

General

Business—Manufacture

of

family recreation equipment.
additional equipment,
working capital. Of¬

Proceeds—To repay debt, purchase
for research and development, and
fice—6519

Nicollet Avenue,

writer—Continental

Minneapolis,

Minn^ Under¬

Securities, Inc., Minneapolis, Minn.

Frontier

Airlines, Inc.
March 16, 1961 filed 250,000 outstanding shares of com¬
mon stock. Price—To be supplied by amendment. Busi¬
ness—The transportation by air of passengers, property
and

the

mail

between

•

66

cities

selling stockholders.

G-W

Jan.

in

11

Office

states.
—

Proceeds—For

5900

E.

39th Ave.,

Ameritronics,

Inc.

(6/19-23)

shares of common stock and
160,000 warrants to purchase a like number of common
25,

1961

filed 80,000

shares, to be offered for public sale in units, each con¬
sisting of one share of common stock and two warrants.
Each warrant will entitle the holder thereof to purchase
one share of common stock at $2 per share from March
to August 1961 and at $3 per share from September 1962
to February 1964. Price — $4 per unit. Business — The
company
(formerly
Gar
Wood
Philadelphia
Truck
Equipment, Inc.), distributes, sells, services and installs
Gar Wood truck bodies and equipment in Pennsylvania,
Delaware, and New Jersey, under an exclusive franchise.
Proceeds
For general corporate purposes.
Office—•
Kensington and Sedgley Avenues, Philadelphia, Pa. Un¬
—

&

Resistance, Inc.
(letter of notification)

April 24, 1961

stock

common

(par

cents).

10

100,000 shares of

Price

$3 per share.
wire sound re¬

—

Business—The manufacture of precision

sistors, restance networks and measuring instruments.
Proceeds—For repayment of loans; working capital and
general corporate

Bronx,

Underwriters—Flomenhaft, Seidler

Co., Inc., New York,
Corp., Levittown, N. Y.
•

Getz

"June

(William)

6,

1961
80,000 shares
shares

filed

N.

Y.,

I.

and

R.

E.

Investors

i

Corp.
105,000

shares

of

of

common

which

to be offered by the company and 25,stockholder. Price — By amendment.

are

by

Office—430 Southern Boule¬

purposes.

N. Y.

&

a

ceeds—For repayment of

a bank loan and general cor¬
Office—7512 S. Greenwood Ave., Chi¬
cago. Underwriter—Bacon, Whipple & Co., Chicago.

porate purposes.

Giannini
Feb.

27,

Scientific

Corp.
(letter of notification)
(par 10 cents).
Price

1961
stock

common

30,000
—

$10

shares
per

of

share.

Business—Research, development and manufacturing in
Proceeds — For general corporate
Office—30 Broad Street, New York, N. Y. Un¬

purposes.

derwriter—Kidder. Peabody &
Gibbs

(T.

R.)

Co., Inc., New York, N. Y.

Medicine

Co., Inc.
May 26, 1961 filed 110,000 shares of class A stock. Price
—$3 per share. Business—The manufacture, marketing
and

distribution of

proprietary drug products. Proceeds
advertising and general corporate purposes. Of¬
fice—1496 H Street, N. E., Washington, D. C.
Under¬
writer—None.
•

Gilbert Data Systems,

April

14,
Price—$2

Co., Inc., Philadelphia, Pa,

Inc.

(7/3-7)

filed 175,000 shares of common stock.
share. Business—The affixing of price tags,

1961
per

packing, warehousing of apparel and other services for
department and chain stores. Proceeds—For plant addi¬
tions, repayment of debt and working capital. Office—
441

&

Ninth Ave., New York City. Underwriter—Schrijver
Co., New York City.
Gilbert Youth

May

29,

which

1961

Research, Inc.
filed 65,000 shares of

50,000 shares

are

common

stock,

of

to be offered for public sale by

the company and 15,000 outstanding shares by the pres¬
ent stockholder. Price—To be supplied by amendment.
Business

does

—

The

telephone

and books which

company

sales
are

conducts

promotion
related to

or

consumer

and

research,

prepares

articles

relate to merchandis¬

ing advice to the teenage youth and student fields. Pro¬
ceeds—For working capital. Office—205 E. 42nd Street,
New York City.
Underwriter—McDonnell & Co., N. Y.
•

Frederick-Willys Co., Inc.
April 20, 1961 (letter of notification) 150,000 shares of
common stock (par five cents).
Price—$1.15 per share.

derwriter—Fraser
.

over-the-counter market as both broker and
prin¬
cipal, sells mutual fund securities and life insurance, and
finances the payment of life insurance premiums. Pro-

Gimbel

•

Denver, Colo. Underwriter—To be named.

May 25, 1961 filed 60,000 shares of common stock. Price
—To be supplied by amendment. Business—The design,

Economics Corp.
1961 filed 430,000 shares of common stock.
per share. Business—The company is active in

8,
Price—$5

—For

Tenn.

•

General

technological fields.

shares to be sold by
By amendment. Business — The
common

amendment. Business—The manufacture and distribution

Underwriters—McLarty

Duddleston, Jackson Miss.; Beil & Hough, Inc., St.
Petersburg, Fla.; J. C. Bradford & Co., Nashville, Tenn.;
Clement A. Evans & Co., Inc. and Robinson-Humphrey
Co., Inc., Atlanta, Ga. and Pierce, Carrison, Wulbern,
Inc., Jacksonville, Fla.

•

March

repayment of loans; working capital, and expan¬

sion.

by the present holder thereof. Price—To be supplied by

Miss.

Springs,

&

Office—1105 Hamilton
St., Allentown, Pa. Under¬
writers—Paine, Webber, Jackson & Curtis and Eastman
Dillon, Union Securities & Co., New York (managing).

Business—Company manufactures dental supplies. Pro¬

Fox-Stanley Photo Products, Inc. (6/19-23)
29, 1961 filed 387,500 shares of common stock
(par $1) of which 50,000 shares are to be offered for
public sale by the company and 337,500 outstanding
shares by the present holders thereof. Price—To be sup¬
plied by amendment. Business—In May 1961 the com¬
pany plans to take over the businesses of The Fox Co.,
San Antonio, Tex., and the Stanley Photo Service, Inc.,
St. Louis, Mo., which are now engaged in the processing
of photographic
films and the sale of photographic
equipment. Proceeds—For working capital and possible
future acquisitions. Office—1734 Broadway, San Antonio,
Tex. Underwriter—Equitable Securities Corp., Nashville,

Address—Ocean

ital.

000

Flora

Ford

June

trust.

Office—Highway 44 and Baldwin Blvd., Corpus Christi,
Distributor—Flato, Bean & Co., Corpus Christi,

is engaged in the manufacture

company

distribution of

and

sub¬

jt General Acceptance Corp. (7/3)
7, 1961 filed $15,000,000 of convertible capital de¬
bentures due June 1, 1981. Price—By amendment. Busi¬
ness—A finance company. Proceeds—For
working cap¬
June

vard,

1961 filed 2,000,000 shares of participation in
Price—$10 per share. Business—A new real

investment

^ Gateway Loan Corp.
May 24, 1961 ("Reg. A") 8,000 common shares (par $1).
Price—$10. Proceeds—For working capital. Office—1223

the

of

Fairfield

May 29, 1961 filed 120,000 shares of common stock. Price
—$6.50 per* share. Business—The manufacture of men's
and boys' sport shirts. Proceeds—To
equip a new plant
at Lambert,
Miss., and for working capital. Office—112
W. 34th Street, New York
City. Underwriter—J. R. Williston & Beane, New York
City (managing). Offering
—Expected in late July.

Madison Ave., Madison, 111. Underwriter—None.

(7/3-7)

business

53

Garan Inc.

—

two shares held.

amendment.

securities

National

tate investment. Office—15 William

•

Eurofund, Inc. (6/20)
May 18, 1961 filed 551,250 shares of common stock (par
$1) to be offered for subscription by stockholders on the
—To

First

June 6, 1961 filed 1,000,000 shares of beneficial interest
in the Trust.
Price—By amendment. Business—Real es¬

tributor—Aberdeen Investors

Galvan, inc.

filed 209,355

•

(2649)

May

Brothers,

Inc.

1961 filed $25,000,000 of sinking fund deben¬
tures, due June 1, 1981. Price — To be supplied by
amendment. Business—The issuer, together with its sub¬
sidiaries, constitutes one of the country's larger depart¬
ment store organizations. Proceeds — About $7,850,000
will be used to redeem the issuer's $4.50 cumulative
preferred stock, with the balance to be used for con¬
11,

struction

of branch stores and general corporate pur¬
Office—33rd St. and Broadway, New York City.
Underwriters—Lehman Brothers and Goldman, Sachs &

poses.

Co., both of New York City

(managing). Offering—Im¬

minent.
•

*

Goodway Printing Co.

(7/3-7)

May 23, 1961 filed 247,500 shares of no par capital stock,
of which 60,000 shares are to be offered for public sale
by the company and 187,500 outstanding shares by the
present holders thereof. Price — To be supplied by
amendment.
Business—Commercial
printing and the
publication of technical journals for prime defense con¬
tractors. Proceeds—For working
capital. Office—4030
Chestnut St., Philadelphia, Pa, Underwriter — Paine,
Webber, Jackson & Curtis, New York City (managing).

Breach, Science Publishers, Inc.
(letter of notification) 80,000 shares of
stock (par 10 cents).
Price—$1.75 per share.

Gordon

April 21,
common

&

1961

Business—Publishers of scientific textbooks.

Proceeds—•

For

working capital. / Office —150 Fifth Avenue, New
York, N. Y. Underwriter—First Weber Securities Corp.,
New

York, N. Y.
Continued

on

page

54

w

'II

V
ft

54

The Commercial and Financial Chronicle

(2650)

?!:

,

.

.

Thursday, June 15,1961

;> j
Continued

I

\

from

•

'

May

'•

Gordon Jewelry Corp. (6/26-30)
May 5, 1961 filed 140,000 shares of class A stock. Price
—To be supplied by amendment.
Business—The com¬

if I
i!
•V,

conducts

pany

V
<>,v

life

two

retail credit jewelry business and has

a

subsidiaries.

insurance

Proceeds—For

expan¬

Office—Stewart

sion.

Bldg., Houston, Texas. Under¬
Paine, Webber, Jackson & Curtis, New York
City (managing).

->>; {

writer

*f>..

—

Greater

May

si

1,

Arizona

1961

of

.

Price—$3 per share. Proceeds
Office—Mayer Central Building,

|i

working capital.

Suite

;»s

115, Phoenix, Ariz.

Underwriters—Henry Fricke
N. Y. and Preferred Securities, Inc.,

Co., New York,
Phoenix, Ariz.

»|,

of

100,000 shares

notification)

(par $1).

—For

5,

which

Proceeds—To

l<1

one

share.

common

May 9, 1961 filed 100,000 shares of common stock. Price
be supplied by amendment. Business—The company plans to engage in all phases of the real estate
business. Proceeds
To reduce indebtedness, construct

v;

V

If;

capital. Of¬
fice—Suite 418, Albert Bldg., San Rafael, Calif. Underwriter—Pacific Coast Securities Co., San Francisco, Calif,

31!

(managing).

!)■'

•

v

'
;.

J!:

Gulf

Oil

(6/20)
May 26, 1961 filed 1,670,000 outstanding shares of capital
stock (par $8,333) to be offered for public sale by the
present holders thereof. Price—To be related to the cur¬
rent market price at the time of the sale. Proceeds—For
the selling stockholders. Office—Gulf Bldg., Pittsburgh
30, Pa. Underwriter—First Boston Corp., New York City
(managing).

U(

,r'<

—

apartment units, buy land, and for working

n v

;;

:

•>"{ '

Corp.

Guif-Southwest
A"!

'

May

19,

Business—The acquisition and development of
Proceeds
For investment, repayment of
debt, and working capital. Office—660 Grain Exchange,
Minneapolis. Underwriter—None.
per

unit.

real

estate.

Price

<|i,

company

5
;
;

To

be

is licensed as a

Build-

ing, Houston, Texas. Underwriters—Harriman Ripley &
Co., New York City and Underwood, Neuhaus & Co.,

tt
«lL

—

stock.
— The
small business investment con¬

1,250,000 shares of common
supplied by amendment. Business

Proceeds—For investment. Office—Esperson

cern.

A,;

Houston

Inc.,
•

Hager

(6/26-30)

Inc.

March 31, 1961 filed 200,000 shares of common stock
>-v

The

■Mi'

financing and sale of household food freezers and

frozen foods to

V

■W!i

(no

be supplied by amendment. Business—

par). Price—To

the

consumer.

Proceeds—For the repay¬

ment of debt and

working capital. Office—2926 Fairfield
Ave., Bridgeport, Conn. Underwriter—Marron, Sloss &
Co., Inc., New York City (managing).

ki;

!

+ Hamco
June 6,

',!r

cents).

Machine

&

Electronics

Corp.

1961 ("Reg. A") 150,000 common shares (par 10
Price — $2.
Business — Manufacturers of saw

sharpeners.

general corporate purposes.
Hope Ave., Rochester, N. Y. Underwriter

.—None.

£

Handmacher-Vogel,

and

Inc.

holders

thereof.

Price—To

manufacture

be

supplied by amendment.

and

l!\
r.l

and

r

7th

|-v'.

sale

of

women's

Howe

corporate

inventory and for plant modernization. Office—533
Ave., New York City.
Underwriter —* Butcher &

*

i

•

Hunt

Foods

&

Industries

Inc.

.

mill
:!i!.

products.

Proceeds—For

expansion.

Office—19200

So. Western

■'«U

Loeb

ft*!.

,t

,!"

&

Ave., Torrance, Calif. Underwriters—Kuhn,
Co., Inc., and Tucker, Anthony & R. L. Day,

both of New York City (managing). Offering—Expected
in

T,

late

Inc.

iMay 8, 1961 filed 140,000 shares of common stock. Price
•—$3 per share. Business—The publication and distribuif.

tion

,

h

of

educational

books

and

materials.

Proceeds

—

be

supplied

by

amendment.

Business

—

t
'.it

of

debt.

-

Harvey's Stores, Inc. (6/19-23)
April 28, 1961 filed 150,000 outstanding shares of class
A stock to be offered for
public sale by the present
holders thereof. Price—$7.50 per share.
Business—The
operation of a chain of women's wear and children's
apparel stores

in

Ohio, Indiana, Illinois and Michigan.
Proceeds
For
the selling stockholders.
Office,— 500
Seventh Avenue, New York City.
Underwriter—Maltz,
Greenwald & Co.. New York City
(managing).

*!»»

—

/!;

Harwyn Publishing Corp. (6/26)
30, 1961 filed 110,000 shares of class A common
stock (par 10 cents). Price—$3.75
per share. Business—

~r+

March

The

publishing of illustrated encyclopedic works, principally for children. Proceeds—For general corporate pur¬

"

?.»!

■v[
iJt

;

poses.
Office—170 Varick Street, New York City.
derwriter—N. A. Hart & Co., Bayside, N. Y.

1M'
J.v-

Hydro-Space Technology, Inc.
12, 1961 filed 300,000 shares of




—

writing of life and disability

Underwriter—Blyth &

•

Industrial Control

Products, Inc.

(6/20)

March 10, 1961 filed 165,000 shares of common stock

(par
cents). Price—$3 per share. Business—The engineer¬
ing, designing and precision machining of electronic
components. Proceeds — For research and development,
10

For

to

be

used .in

rocket

motor

cases.

Proceeds—

thereof.

Price—$3

per

for

underwater

research

and

•

common

Business
Proceeds

—

—

(par

stock,

inventory, and working capital. Office—1000 Connecti¬
cut Ave., N. W., Washington, D. C. Underwriter—Mack& Coe, Washington, D. C.

of

May 18, 1961 filed 375,000 shares of common stock. Price
—To be supplied by amendment. Business—The writing
of

share. Business—The

The
For

cent).

Price

75,000

shares

of

—

marketing and sales promotion; repayment of loans; re¬
search and development; moving expenses and installa¬
tion costs; preparation of catalogues and other
and

general

corporate

purposes.

Holman Boulevard, Hicksville, L. I., N. Y.
—United Planning Corp., Newark, N. J.
•

literature;
Office —15

Underwriter

Un-

Proceeds—For

investment and general corporate
Office—175 West Jackson Boulevard, Chicago,

111.

Underwriter—A.

G.

Becker

&

Co., Chicago

(man¬

aging).
<

International

Cablevision Corp.
23, 1961 filed 164,850 shares of class A common
stock. Price—$10 per share. Business—The construction
and operation of television cable systems. Proceeds—For
expansion, general corporate purposes, and to offset

May

deficits anticipated

during the commencement of certain

Florida operations. Office—New York
—James

City. Underwriter
Co., Inc., New York City (manag¬

Anthony &

ing).
International

May
one

and

Marine, Inc.
A.") 75,000 common shares (par
cent) of which 60,000 are to be sold by the company
15,000 by the underwriter. Price—$4. Proceeds—
29,

For

("Reg.

1961

repayment

of

debt,
advertising, inventory, and
Office—790 N. E. 79th St., Miami, Fla.
Underwriter—Albion
Securities
Co., Inc., New York.

working capital.

Hydroswift Corp.

Oct. 20, 1960 filed 120,000 shares of common stock. Price

share.

non-participating ordinary life and group life insur¬

ance.

purposes.

Proceeds—

defense.

$2.50 per share.
manufacture of hydraulic components.
purchase of equipment and inventory;
one

cents).

Inland Life Insurance Co.
common

Co., both of New York City.

stock

Industry, Inc.
("Reg. A.") 60,000 common shares, (par 25
Price—$5. Proceeds—For product development,,

all

For new
equipment and facilities, the repayment of
loans and working capital. Office—West Caldwell, N. J.
Underwriters—Michael G. Kletz & Co., Inc., and John

H. Kaplan &

expenses,

Information for

design,

per

repayment

•

if'

the company and 150,000 outstanding shares by the
holders thereof. Price
To be supplied by

Co., Inc., New York City.

The

in

the

(managing).

insurance, principally in southern California. Proceeds—
To be added to the company's general funds. Office—99
South Lake Ave., Pasadena, Calif.

which 155,000 shares are to be offered for public sale by
the company and 145,000 outstanding shares by the pres¬

ized

and

City

material

processes,

May

—$3

expansion

York

amendment. Business—The

Sachs & Co., New York City (managing).

man,

Office—5

For

South Buckout

iiv

rL

company

Street, Irvington-on-Hudson, New York.
Underwriter—Michael G. Kletz & Co., New York City
(managing).
'

•

Brooklyn, N. Y.

May 24, 1S61

reserves

June.

Harvey House,

debt

Dorchester Road,

present

(6/26-30)

Hydrodyne Industries, Inc.
May 19, 1961 (letter of notification)

„

-

Office—1801

owns and
plans to construct
and for working

company

and

repay

Underwriter—Eisele & King, Libaire, Stout & Co., New

by

1961 filed

Harvey Aluminum (Inc.)
May 16, 1961 filed 1,000,000 shares of class A common
stock.
Price—To be supplied by amendment.
Business
—The production of primary aluminum and aluminum

«.

Corp., the

houses

equipment and working capital. Office—
1025 Shoreham Bldg.,
Washington, D. C. Underwriter
—Atlantic Equities Co., Washington, D. C.

23,

design, engineering, construction and installation of missile launching bases and related facilities for
the armed forces.
Proceeds—For working capital.
Of
fice—Stanton, Calif. Underwriter—Michael G. Kletz &
Co., New York City (managing).

I

apartment

Proceeds—To

$38,799,500 of convertible subordi¬
nated debentures due July 1, 1986, to be offered to the
holders of the outstanding common on the basis of $100
principal amount of debentures for each 12 shares held.

May

vices

/

•

Independence Life Insurance Co. of America
May 24, 1961 filed 150,000 shares of capital stock, of
which 100,000 shares are to be offered for public sale

engineering, production and sale of cartridge
actuated devices, the evaluation of propulsion systems
and propellants, and the production of buoyancy de¬

!:

unit. Proceeds—To

1961

ness—The

>A
}

,

six

more.

capital.
•

purposes.

(Paul), Inc. (6/29)
April 26, 1961 filed 350,000 shares of common stock (par
25 cents). Price—To be supplied by amendment. Busi¬

t

per

Plastics & Chemical

29,

ent holders

Hardeman

%

$40

Companies, Inc.
inventory, equipment, start-up costs of semi-conductor
(letter of notification) 40,000' shares of ~ production, and for working capital. Office—78 Clinton
common
stock
(par one cent).
Price—At-the-market.
Rd.r Caldwell Township, N. J. Underwriter — Edward
Business—The manufacture of plastic items. Proceeds—
Hindley & Co., New York City.
For the repayment of debt; advertising and sales pro¬
Industrial Materials, Inc.
motion; expansion and working capital.
Office—4077
April 27, 1961 (letter of notification) 150,000 shares of
Park Avenue, Bronx 57, N. Y. Underwriter—J. I. Magcommon stock (par one cent). Price—$2 per share. Busi¬
aril Co., New York, N. Y. Offering—Imminent.
ness—The manufacture of a new patented fiber glass
March

suits

purchase of equipment

Sherrerd, Philadelphia, Pa.
'J-

two

Price Investors

as

operates

Bldg., St. Petersburg, Fla. Under¬

and 120,050 outstanding shares by the present

and costumes. Proceeds—For the

/

known

9, 1961 filed 583,334 common shares to be offered
for subscription by holders of common and class A stock.
Price—By amendment. Business — The operation of a
pipe line system of natural gas.. Proceeds—For expan¬
general

—

Properties, Inc. (7/3)
March 31, 1961 filed 150,000 shares of class A stock (par
50 cents).
Price—$9.75 per share. Business—Formerly

June

and

Price

branch office, development of business and

new

Income

Stores, Inc.
(letter of notification) 85,700 shares of
common stock (par $2.50). Price—$3.50
per share. Office
—2306 Foshay Tower, Minneapolis, Minn. Underwriter
—M. H. Bishop & Co., Minneapolis, Minn,

capital

common.

(par 10 cents) to be offered in
share of preferred and two

one

Inc., Teaneck, N. J. " ••"/"•

1961

working

of

working capital. Office—3300 W. Hamilton Boule¬
vard, Allentown, Pa. Underwriter—Espy & Wanderer,

Home-Maker

Office—First Federal

of

a

stock

common

for

ing capital. Office—Fullerton, Calif. Underwriter—Gold¬

Business—The

i

open

Underwriter—George K. Baum & Co., Kansas City, Mo.
(managing).

sion,

1960

consisting

shares

Holiday Sportswear, Inc. (6/20)
April 21, 1961 filed 86,000 shares of common stock. Price
—To be supplied by amendment. Business—The manu¬
facture and sale of specialized bowling apparel for men,
women and
children. Proceeds—For additional working
capital. Office—311 West Eighth St., Kansas City, Mo.

packages and distributes food and
grocery products. Proceeds—For construction and work¬

company
;

units

Offering—Imminent.

17,

29,

of class A

allied

May 17, 1961 245,000 shares of common stock, of which
94,950 shares are to be offered for public sale by the
*.•}»

Planning Corp. (6/29)'
(letter of notification) 5,000 shares of
cumulative preferred stock (no par) and 10,000 shares

equipment. Proceeds — For general corporate purposes.
Office—10-20 47th Road, Long Island City, N. Y. Under¬
writer—J. B. Coburn Associates, Inc., New York, N. Y.

May

indebtedness, to buy equipment,
Office—Montvale, N. J. Un¬
Treat & Co., Inc., New York City

capital.

Amos

—

Price—To

Proceeds—For

Office—99 Mt.

Manufacturers of barbecue machines

reduce

working

Income

Dec.

writers—Blyth & Co., Inc., Lehman Brothers and Allen
& Co., New York.
>

(managing).

.

i •; \

•

—

Hickory

—

for

derwriter

(managing).

i Houston Corp.

Capital Corp.

filed

1961

$■■
.

;

Price—$101

ness

Properties

—To

*

V

and

Industries, Inc.
March 9, 1961 (letter of notification) 25,000 shares of
common stock (par 10 cents). Price—$5 per share. Busi¬

Growth

h,

private swimming pools and the sale of pool equipment.

1961 filed 13,000 5% preferred shares ($100 par)
offered for sale in units

Lynn, Mass. Underwriter—Mann & Creesy, Salem, Mass.
•!{ "■
.i)i ■

•

Ihnen (Edward II.) & Son, Inc. (7/24-28)
May 16, 1961 filed 75,000 shares of common stock. Price
—$5 per share. Business—The construction of public and

Corp.

Growth, Inc.
May 17, 1961 (letter of notification) 100,000 shares of
common stock (par $1). Price—$3 per share. Address—

i'

Underwriter—Woodcock, Moyer, Fricke & French, Inc.,

and 13,000 common shares to be

,of one preferred and

per

electronic equipment and components.

Philadelphia, Pa.

recording instruments. Office—2401 E. Second
Avenue, Denver, Colo. Underwriters—Bear, Stearns &
Co. and Wertheim & Co., New York, N. Y.
•
Investment

Price—$5

share. Business—Manufac¬
Proceeds—
general corporate purposes. Office—Lansdown, Pa.

tures
For

power

Hazeltine

stock.

common

1961
up to

June 5,

Mortgage Co.

(letter

stock

common

Instruments, Inc.
filed 351,280 shares of common stock, of
90,000 shares are to be offered for public
sale by the present holders thereof and the balance by
the company.
Price — At-the-market at time of sale.
Business—The design, manufacture and sale of electric
Hathaway

53

page

,

Business—The firm,

which was organ¬
February, 1957, makes and wholesales products
and services for the fiberglass industry, including par¬
ticularly fiberglass boats known as "HydroSwift" and
"Skyliner." Proceeds—For general funds, including ex¬
pansion.

Office—1750 South 8th Street, Salt Lake City,
Utah.
Underwriter
Whitney & Co., Salt Lake City,
Utah. Offering—Imminent.

International

debentures due

tion

by

with

for

Aug. 1, 1981 to be offered for subscrip¬
stockholders on the basis of $100 of

each

15

shares

held

of

record

June

rights to expire about July 17. Price—To be

30

sup¬

plied by amendment.
sale

of

Business — The manufacture and
silverware, flatware and table accessories. Pro¬

ceeds—For

the

shares

ferred

June

(6/36)

common

debentures

—

I C Inc.

Silver Co.

May 16, 1961 filed $7,822,000 of convertible subordinated

retirement

as

are

of

tendered

29, 1960 filed 600,000 shares of com. stock (par $1)
Price—$2.50 per share. Proceeds—To further the corpo¬

York

rate

York

City

to

7%

the

cumulative

company

pre¬

during

a

period commencing June 12.
New

such

purposes

and in the preparation of the concentrate

and

enfranchising of bottlers, the local and national pro¬
motion
and
advertising of its beverages, and where
necessary to make loans to such bottlers, etc.
Office—
704 Equitable Building, Denver, Colo.
UnderwritersIndustrial Securities Corp. and Amos C. Sudler & Co.,
both of Denver, Colo. Offering—Expected in late July.
I T A

April

7,

1961

(letter of

notification)

6,

60,000

shares of

Collateral

1961

Corp.
filed $900,000 of 6%

registered subordi¬

nated debentures to be offered in three series of

each; due June 30, 1965, 1966
Price—$4,315; $4,190 and $4,079
Business—The

Investors

Electronics Corp.

(managing).

lnvesco
March

City.

Office—16 East 40th Street,
Underwriter—Lehman Brothers, New

company,

Funding

Corp.

under New York law in

$300,000
1967, respectively.
$5,000 of debentures.

and
per

wholly-owned subsidiary of
of New York was organized
June, 1960, to purchase, invest
a

Volume

1S3

Number

6064

.

.

The Commercial and Financial Chronicle

.

(2651)
in and sell real estate

mortgages.

Office—511 Fifth

ment.

Proceeds—For invest¬

Keltner

Avenue, New York City. Under¬

2o

Investors

Funding Corp. of New York (8/1)
May 1, 1961 filed $2,000,000 of registered subordinated
aebeniures due

1976

(with class A warrants

den

unit.

Preferred Life

Insurance Co.

•

ceeds—To be added to capital and
surplus.

.

:

v

^ Israel-America Hoieis, Ltd.
8, 1961 filed 1,250,000 ordinary

share,

per

.

Krystinel

&

Investment Co. Ltd.

of

•

Co., Inc.
(letter of notification) 150,000 shares of
common stock.
Price—$2 per share. Business—The man¬
ufacture and sale of pharmaceuticals. Proceeds—For a

Fund, Inc.

=

investment.

Mass.

Office

—

One

Jackson

April

11,

stock.

.'

.

National

filed

1961

Price

$4

—

Life

share.

per

building, research and development, and a sales
training program.; Office—Frankford Ave., and Allen St.,

Philadelphia, Pa. Underwriter

company,

Proceeds

—To

class

Business

—

A

Jefferson

May

10,

;

110.000

erection
and
•

•

mercial
lee

Tne

company

to

are

be

construction
on

a

lump

contracts

private

Proceeds

—

For

22

Blvd.,

sum

May

9,

Jefferson Counsel

Corp. (6-19-23)
13, 1961 filed 30,000 shares of class B common
(non-voting). Price—$10 per share. Business—The
company was organized under Delaware law in January
1961 to sponsor the organization of the Jefferson Growth
Fund, Inc., a new open-end diversified investment com¬
pany of the management type. Proceeds—For organiza¬
tional and operating expenses. Office—52 Wall
St., New
York City. Underwriter—None.

Price

Underwriter—

Research

Laboratories,

Inc.

Price—$10 per share.

1961 filed 951,799 shares of common stock.
Net asset value plus a 7%
selling commission.
A

non-diversified, open-end, managementtype investment company whose primary investment ob¬
jective is capital appreciation and, secondary, income
—

derived from the sale of
put and call

options. Proceeds—

For investment. Office—300 Main

Distributor—Horizon

St., New Britain, Conn.
Management Corp.. New Britain.

Lithonia Lighting, Inc.
May 23, 1961 filed 226,00U shares of common s:ock of
which 136,000 shares are to be sold for the account of

commercial, institutional and industrial buildings. Office
—Conyers, Ga. Underwriters—Bache & Co., New York
City and Robinson-Humphrey Co., Inc., Atlanta, Ga.
Long Island Bowling Enterprises, Inc.
May 24, 1961 (letter of notification) 100,000 shares of
common stock (par 10
cents). Price—$3 per share. Busi¬
ness—The operation of bowling alleys.
Proceeds—For
general corporate purposes. Address—Mattituck, L. I.,

re¬

search and

development leading to the design, manufacture and sale of precise electronic components and in¬
struments. Proceeds—For the selling stockholder. Office
—603 West 130th Street* New York City. Underwriter
—C. E. Unterberg, Towbin Co., New York City (man¬
aging).
"
'

N. Y.

May 31,
which
the

250,000

company

holder.
—The
num

1961

filed

375,000

shares

and

Price—To

to

be

of

sold

125,000 shares
be

Corp.

supplied by

for

(6/29)

for

the

"

•

stock,

of

account

of

common

the selling

amendment.

stock/

•

New York. N. Y.

W. C. Langley &
po. and Smith, Barney & Co. (jointly).
Offering—Expected in late July.

Lytton Financial Corp,
8/18)
30, 1961 filed 300,000 shares of capital stock.
Price—To be supplied by amendment.
Business—The

Business

March

major producer of primary alumi-/
and fabricated aluminum products. Proceeds—For
company

is

are

shares

Underwriter—Tau Inc

Long Island Lighting Co.
June 2, 1961 filed $25,000,000 of first mtge.
bonds, series
L, due 1991. Proceeds—For construction.
Office—250
Old Country Road, Mineola, N. Y. Underwriters—Com¬
petitive bidding. Probable bidders: Halsey, Stuart & Co
Inc.; First Boston Corp., and Blyth & Co., Inc. (jointly);

.

Kaiser Aluminum & Chemical

i

90,000 shares for certain selling stock¬

Price—To be supplied by amendment. Business
manufacture of fluorescent lighting fixtures for

—The

(6/16)

Business—Basic

a

'

working capital. Office

—

300 Lakeside Drive, Oakland,>

Calif. Underwriters—First Boston Corp., New York
and Dean Witter & Co., San Francisco, Calif.

company

and

City

Corp. (7/10-14)
'
;
May 17, 1961 filed 120,000 shares of common stock., Price
—$5 per share. Business—The company is a wholesaler;/

'

'

•

distributor

of grocery

products to institutions, res—*;
taurants, steamship lines and the like. Proceeds—For/.
inventory, and working capital.
Office — 81 Clinton/
Street, Yonkers, N. Y. Underwriters—Netherlands Secu/^
rities Co., Inc., and Seymour Blauner Co., both of NewV^
York City and J. J. Bruno & Co., Pittsburgh, Pa. -:




owns

loan

the stocks of several

associations.

It

also

California

operates

savings

insurance

an

and through a subsidiary, Title Acceptance
Corp., acts as trustee under trust deeds securing ioans
agency,

"

Kane-Miller

and

by
photographic

supplies to amateur and professional photographers. Pro¬
working capital and general corporate pur¬
poses. Office—220 Luckie St., N.
W., Atlanta, Ga. Under¬

ceeds—For

Robinson-Humphrey Co., Inc., Atlanta,

—

Ga.

made
for

by the associations.

working

capital.

Proceeds—To repay loans and

Office

—

8150

Sunset

Boulevard,

Hollywood,

K.

Co.,

&

.

Los

York
M.

May
fund

Calif. Underwriters—William
Angeles and Shearson, Hammill

City
B.

(managing).

M.

' '

.

common

shares

(par $1/

Proceeds—For new equipment,
construction,
working capital. Address —- Weimar, Tex. Under¬
writer—Rowles, Winston & Co., Houston, Tex, ?
^
and

.

MacGregor Bowling Centers, Inc.
May 3, 1961 filed 120,000 shares of common stock, of
which 100,000 will be offered for
public sale- by the
company and 20,000 outstanding shares by the present
holders

thereof. Price—To

be

supplied by amendment.

Proceeds—To repay loans and for
working capital. Of¬
fice—5309 South Park Blvd.,
Houston, Tex. Underwriters

—Rowles,

Winston & Co.,

and Fridley

&

Frederking,

Houston.

:*

Mages Sporting Goods Co.
May 1, 1961 filed 1,029,961 shares of common stock to be
offered for subscription by stockholders on the basis of
one

share for each two

new

—To

be

common

supplied by amendment.

order and retail sale of

equipment.

shares held.

Price

Business—The

mail

sporting goods and recreational

Proceeds—For the repayment of debt and
purposes.
Office — 227 West Madison

corporate

oiner

Street, Chicago, 111.

Underwriter—None.

June 1, 1961 filed 750,000 common
shares, of which 525,000 will be offered for sale in the U.
S., and 225,000 in
Canada. Price—By amendment. Business—The
company

plans to

build and operate

transmission

pipeline

Island and

cover

a

Bremerton to Port

construction.

from

an

underwater

British

natural

Columbia

subsidiary will build

gas

Van-

pipeline from

a

Angeles, Washington.

to

Proceeds—For

Office—508

Credit Foncier Bldg., Van¬
B. C. Underwriters—(In U. S.) Bear, Stearns &
Co., New York. (In Canada) W. C. Pitfield & Co., Ltd.,
couver,

Montreal.

^ Mairs & Power Income Fund, Inc.
7, 1961 filed 40,000 common shares.

June

amendment.

investment.

Business—A

Office—1002

mutual fund.

Price

—

Proceeds'—

First National Bank

By
For

Bldg., St.

Paul, Minn. Underwriter—None.
•

Marine

Sept.

&

Electronics

Manufacturing Inc.

Staats

&

Co., New

"

Corp.

26, 1961
("Reg. A.") $300,000 of 6V2% sinking
equipment notes to be offered in units of $1,000.

(letter of notification) 75,000 shares of
Price—$4 per share. Proceeds—For ex¬
in the fabrication of sheet metal parts for mis¬

22,

1960

stock.

common

stock

the company and

Julie

—

(6/19-23)
Inc.

holders.

stockholder.

.

Israel.

30,

—

Business

manufacture of machine tool products,
sextants and related items. Proceeds—For
repayment of a loan, working capital, and general corporate purposes. Office—Urban Avenue, Westbury, L. I.,
N. Y.
Underwriter—Kerns, Bennett & Co., Inc., New
York, N. Y. • •
•

•

im¬
per¬

Lincoln Fund, Inc.
March

March 29, 1961 filed 100,000 outstanding shares of com¬
mon stock
to be offered for public sale by the present

.

The

1961

common

Business—The

.

—

French

(letter of notification) 150,000 shares of
(par $1). Price—$2 per share. Address—•
Yankton, S. D. Underwriter—E. W. Behrens, & Co., Inc.,
Sioux Falls, S. D.
*
i

the

75

drift meters,

,

Tel-Aviv,

Lewis & Clark Marina,

Jolyn Electronic Manufacturing Corp.
April 24, 1961 (letter of notification) 64,500 shares of
common
stock
(par one cent).
Price — $3 per share.

,

of

None.

stock

:

S.

27,

Rothschild

com-

March

:

U.

ating in the oil business as a joint venture. Proceeds—
.For exploration and
development of oil lands. Office—

or a cost-plus-fixedpurchase of equipment.
First St., Cambridge, Mass. Underwriter—
Crow, Inc., New York City.

—

the

pany was organized in October 1959 as a consolidation
of individual and corporate licensees who had
been oper¬

for

for

in

Business

Israel Oil Prospectors Corp. Ltd.
I960 filed 1,500,000 ordinary shares. Price—To
be supplied by
amendment, and to be payable either
totally or partially in Israel bonds. Business—The com¬

common

offered

distribution

stock. Price

common

amendment.

"Lapidoth"

Oct.

(6/26-30)
of

and

by

—

buildings, roads, dams, airstrips and canals

interests

basis.

Pistell,
•

of

shares

undertakes

Office

<

Co.

filed 340,000 shares

supplied

CoUrnand, the issuer's presi¬
dent, selling stockholder. Office
767 5th Ave., New
York City.
Underwriter—Goldman, Sachs & Co., New
York- 'City (managing).

stock, of
public sale
by the company and 230,000 outstanding shares by the
present holders thereof.
Price—$5.50 per share.
Business—The company bids on government contracts for the
which

•

Construction

1961

Securities

fumes. Proceeds—To E. L.

common

engage in the life insurance business.
Proceeds.
capital funds, and working capital. Office—245
West Michigan Avenue,
Jackson, Mich.' Underwriter—
Apex Investment Co., Detroit.
•

•

be

portation

Co.

of

the present holders thereof. Price
To be supplied
amendment. Business—The distribution of

Magna Pipe Line Co. Ltd.

May 17, 1961 filed 440,000 shares of

—r or

>

Netherlands

Lanvin-Parfums, Inc.

plans to

■

—

Co., Inc., New York City.

.

shares

1961

Street, Boston,
State Street, Bos¬

Insurance

300,000

7,

new

State

Underwriter—Ivest, Inc., One

ton, Mass.

Lannett

April

Feb. 20, 1961 filed 150,000 shares of common stock. Price
—Net asset value at the time of the
offering. Business

—For

in Detroit, Mich. Proceeds—To purchase the
Office—18 E. 41st Street, New York

property.

City. Underwriter—Tenney Securities Corp., 18 E. 41st
Street, New York City.

I

non-diversified, open-end investment
whose stated objective is capital
appreciation.

contract to purchase the fee title to the
Lafayette

a

above

the
constructipn of hotels, office buildings,
housing projects and the like. Office—Tel Aviv, Israel.

A

a

Building

ceed*—For

—

F

i M-G, Inc.
May 26, 1961 ("Reg. A") 100,000 class A

1961 filed 129.3 limited partnership interests.
Price—$5,000 per interest. Business—The partnership

27, 1961 filed 30,000 shares of ordinary stock.
Price—$62 per share. The company may, but is not ob¬
ligated to, accept payment in State of Israel bonds. Pro¬

Ivest

&

writer

/*

Lafayette Realty Co.

March

•

•

April 28,

Co.,

Underwriter—None.

Corp.

Lincoln, Neb.
Graphic Arts & Industrial Photographic
Supply Co.
May 1, 1961 filed 80,000 shares of class A common
stock,
of which 60,000 shares are to be
offered for the account
of the issuing
company and 20,000 shares, representing
outstanding stock, are to be offered for the account of
M

(managing).

owns

Israel-Rassco

York

loan, research and development, new equip¬
ment and working capital. Office—P. O. Box
6, Fox Is¬
land Road, Port
Chester, N. Y. Underwriters—Ross, Lyon
& Co., Inc., and Schrijver &
Co., both of New York City.

New York.

"Isras"

Street, New

and conducts a research and development
program for ferrite products. Proceeds—For the
repay¬

Price—$1

Underwriter—Brager

43rd

properties,

hotel at Herzlia, Israel. Ad-

a

West

Proceeds—For repayment of
loans, and
Office—1331 S. 20th St.,
Omaha, Neb.
Underwriter—First Trust Co. of

working capital.

—$2.50 per share. Business—The company produces ferrites,. which are ceramic-like materials with magnetic

*

struction and operation of
dress—Tel
Aviv, Israel.

Office—300

2, 1961 filed $25,000,000 of firt mtge.
bonds, series

Price—At par.

April 12, 1961 filed 90,000 shares of class A stock. Price

payable in cash or State of Israel bonds.
operation of hotels. Proceeds—For con-

Business—Tne
.

stockholders.

City. Underwriter-—None.

(7/3)

Office—310

shares.

Inc.
100,000 outstanding shares of class A

cells used for the purpose of blood
grouping and
testing. The company also operates blood donor centers
in New York and
Philadelphia. Proceeds—For the selling

ment

June

Underwriter—Schmidt, Sharp,

and

Spring Street, Little Rock, Ark. Underwriter—Life Securities, Inc., P. O. Box 3662, Little Rock.

.

Hamp¬

Price—$6 per share. Business—The manufacture,
packaging and distribution of a line of diagnostic serums

March 30, 1961 filed 400,000 shares of common
stock.
Price—$2.40 per share. Business—The company is authorized to sell life, accident and health
insurance. Pro-

•

W.

stock.

buying, selling and investing in real
particularly apartment houses in the New York

Investors

St., Englewood, Colo.

Office—1045

Knickerbocker Biologicals,

City area.
Proceeds—For general corporate
purposes.
Office—630 Fifth Avenue, New York
City. Underwriter
—-Eisele & King, Libaire, Stout &
Co., New York City.

.

shares

common

(par
Proceeas—For research, working

Price—$1.

Dec. 23, 1960, filed

Price—$650:_per

Business—The

June

150,000

McCabe & Co., Inc., 1717 Stout St.,
Denver, Colo.

20,000 class A shares) and 40,000 shares of class A sfckk
to be offered for public sale in units
consisting of one
$a00 debenture and 10 class A shares.
estate

cents).

Inc.

("Reg. A. ')

capital and repayment of debt.

purchase

to

Electronics,

May 31, 1961

writer—None.

55

penses

siles, rockets, radar and marine items.
Address — 319
W. Howard St., Hagerstown, Md. Underwriter—Lecluse
& Co., Washington, D. C. <
Marine

Structures

Corp. (7/17)
(letter of notification) 100,000 ■ shares ot
common stock (par one cent). Price—$3 per share. Pro¬
ceeds—To purchase raw materials, advertising and for
working capital. Office—204 E. Washington St., Petaluma, Calif. Underwriter—Grant, Fontaine & Co., Oak¬
land, Calif.
Feb.

1961

1,

Massachusetts Electric Co. (6/27)
April 24, 1961 filed $17,500,000 of first mortgage bonds,
series F, due 1991. Proceeds — For the repayment of
for construction.
Office — 939 • Southbridge
Worcester, Mass.
Underwriters—To be deter¬
mined by competitive bidding. Probable bidders: Halsey,
Stuart & Co. Inc.; First Boston Corp.; Merrill Lynch,
Pierce, Fenner & Smith Inc.; Kidder, Peabody & Co.,
and Coffin & Burr, Inc.
Bids—To be received on June

and

debt

Street,

27, 1961 at 11
Boston, Mass.

(EDST), Room 100, 441 Stuart
Information Meeting-^June 22 11

St.,

a.m.

a.m.

(EDST) at the above address.
•

Metropolis Bowling Centers, Inc.

(6/30)

May 1, 1961 filed 198,000 shares of common stock, of
which 120,000 shares are to be offered for public sale by
the company and 78,000 outstanding shares by the pres¬
ent holders thereof. Price—About $5 per share. Business
—The acquisition and operation of bowling centers, prin¬
cipally in New York City. Proceeds—To improve exist¬
ing properties and acquire other bowling centers. Office
—647 Fulton Street, Brooklyn, N. Y.
UnderwritersRussell

Lee,

&

Inc.,

Saxe, Inc., (managing); Thomas, Williams &
and V. S. Wickett & Co., New York City.

•

Metropolitan Securities, Inc.
17, 1960 (letter of notification) 100,000 shares of
class A common stock (par $1). Price—$3 per share.
Nov.

Proceeds

—

For working capital.

Office

—

919-18th St.,

N.

W., Washington, D. C. Underwriter—Hodgdon & Co.,
Washington, D. C.
•

Micro

Electronics

(6/26-30)

Corp.

March

31, 1961 filed 100,000 shares of common stock.
$4 per share.
Business — The manufacture of
printed circuits for the electronics industry. Proceeds—
Price

_

$124,000 for new plant, $76,000 for equipment, and $110,T000

for'working capital. Office—1191 Stout St., Denver,
Washington, D. C.

Colo. Underwriter—R. Baruch & Co.,

(managing).
/

Continued

on page

56

.

56

The Commercial and Financial Chronicle

(2652)

Continued

from

•

55

page

Mohawk

Co.

Insurance

(6/26-30)

Aug. 8, 1960, filed 75,000 shares of class A common stock
•

Microtron

Inc. (7/19)
(letter of notification) 300,000 shares of
(par 10 cents).
Price — $1 per share.
Proceeds — For purchase of equipment; inventory of
parts; working capital; and research and development.
Office
120 S. Fairfax, Denver, Colo. Underwriter —
March

Industries,

1961

1,

stock

common

—

Amos C. Sudler

12,

Co., Denver, Colo.

Semiconductor

Microwave

May

&'

filed

1961

of

shares

120,000

Inc.

Instruments

&

-

stock.

common

share. Business—The research, develop¬
ment, manufacture and sale of microwave devices and
instruments.
Proceeds—For additional equipment, re¬
Price—$3

per

search, inventory and working capital.
Office — 116-06
Myrtle Avenue, Richmond Hill, N. Y.
Underwriter —
First Investment Planning Co., Washington, D. C.
•

Mid-Continent

June

Corp.

1961 filed 140,000

5,

Business—General
and

ment

estate.

real

advances

to

common

shares.

Proceeds

subsidiaries.

Price—$7.50.
invest¬

For

—

Office—997

fice—198 Broadway,

Memphis.

&

Co.,

Business

Mokan Small

Investment Corp.,

Inc.

Jan. 17, 1961 filed 3,000 shares of common stock. Price
—$100 per share. Business—The company was organized
under Kansas law in October 1960 and is applying to

the Small Business Administration for
to

Federal license

a

a small business investment company. Pro¬
general corporate purposes. Office — 719

operate as

ceeds—For

Walnut

St., Coffeyville, Kan. Underwriter—None.

Monticello Lumber & Mfg. Co.,
stock

Morris

May

(par 10 cents). Price—$4

Shell

Homes, Inc.
filed $3,000,000 of 8% subordinated de¬
due July 1, 1986; 150,000 shares of common

1961

1,

bentures

bury, Conn. Underwriters — Lee Higginson Corp., New
York City and Piper, Jaffray & Hopwood, Minneapolis
(managing).
it Nationwide Homes, Inc.
June

1961

12,

vertible

shares

common

Business

New York

Price

$1

per unit.
Business — The company will do
financing in the home building industry. Pro¬
ceeds—To start its
lending activities.
Address—P. O.
Box 886, Rapid City, S. D. Underwriter—None.
—

interim

shell

nah
•

it Military Corp.
7, 1961 ("Reg. A") 8,061 common shares (par $4)
$128,976 principal amount of 7% or 8% subordinated
convertible debentures due Aug. 15, 1963 and Aug. 15,
and

1965

$16

be

to

rata

pro

for

offered

subscription

basis in units of

debenture.

Price—$32

per

by

stockholders

common

one

rent

on

share and one

unit. Proceeds—For cur¬
working capital. Office—

debts, construction and
Forsyth Bldg., Atlanta, Ga. Underwriter—None.
Mill

Factors

1961

amendment.
and

the

Corp.

shares.
Price — By
Business—General factoring in the textile

apparel fields.

New

York.

York

debt.

of

common

Proceeds—For working capital, and

Office—380

Underwriter

—

Lee

Park

Higginson

South,
Corp., New

Ave.,

(managing).

Minnesota
March

24,

I

Scientific

1961 filed

Price—$1.15

I

1,500,000 shares of common stock.

Business—The

company

is

li¬

censed under wthe Small Business Investment Act of 1958
is

and

registered

closed-end,

with

the

SEC

as

investment

management

a

non-diversified,
company,

which

will invest in the fields of

electronics, physics and chem¬
Proceeds—For investment and operating expenses.

istry.
Office
Min

First

National

Bank

Minneapolis,
Underwriter—Bratter & Co., Inc., Minneapolis,
Note—This company was formerly named Na¬

—

t.

Mirm.

tional Scientific

Building,

Corp.

IVuratel

Electronics, Inc.
Ma> 1, 1961 (letter of notification) 100,000 shares of
common stock
(par 30 cents). Price—$3 per share. Pro¬
ceeds—To repay notes, for research and
development,
equipment and working capital. Office—1st St., South¬
east & Richardson

St., New Brighton, Minn. Underwriter

-—None.

1961

8,

common

(letter

stock

Business—The
—-

(par

of

10

notification) 151,900
cents). Price—$1.50

manufacturers

of

shares
per

of

share.

technical

For payment of loans;

• Model
Vending, Inc. 16/19-23)
April 27, 1961 filed 150,000 shares of common stock. Price
—To be supplied by amendment.
Business—The opera¬

tion of

vending machines for the retail sale of cigarettes,
candy and a variety of other food and drink products.
The company also operates
coin-type phonograph ma¬
chines

and

Morgan

and

Street,

amusement

devices.

Proceeds

—

For

sale

by
of

Knoxville,

Price—To be supplied by amendment.

1960 filed

155,000 shares of

Insuring lenders against loss
loans,*

gage

West

principally

Proceeds—For

(par

Businessresidential first mort¬

on

single

on

stock

common

family

capital and surplus.

non-farm
Office—606

Wisconsin

Avenue, Milwaukee, Wis. Underwriter
Co., New York City (managing). Note—This

—Bache &

Motor Travel

Services, Inc. (6/15)
(letter of notification) 260,000 shares of
common
stock (par 25 cents).
Price—$1.15 per share.
Proceeds—For
an
advertising program and working
capital.
Office — 1521 Hennepin Avenue, Minneapolis,
May

2,

1961

Minn.

Underwriter—Bratter

new

&

Co.,

Inc.,

Minneapolis,

Minn.

Investment Trust Fund,

Series B

—

New
•

York

Sponsor—Ira

Haupt &

Co., Ill Broadway,

City. Offering—Expected in early August.

Municipal

Investment

Trust

Fund,

First

Pa.

Series

Nail-Tone,
26,

A.")

86,250 common shares (par
Proceeds—For research and work¬

Price—$3.
Office

1515 N.

2nd Ave.,'Miami, Fla.
Corp., New York; Ro¬
man
& Johnson, Fort Lauderdale, Fla.; Nolting, Nichol
& O'Donnell, Inc., Pensacola, Fla. and Guardian Secu¬
rities Corp., Miami, Fla.
—

E.

Securities

Nash

(J. M.) Co., Inc. (6/29)
30, 1961 filed $1,000,000 of series A subordinated

March

debentures, due July 1, 1981 and $1,000,000 of series B
convertible
Price—To

subordinated
be

debentures, due July 1, 1981.
by amendment.
Business—The
variety of industrial products includ¬

supplied

manufacture of

a

ing woodworking and packaging equipment, power saws,
auxiliary power plants, centrifugal pumps, inboard ma¬
rine engines and a line of leisure time and
sporting
goods merchandise. Proceeds—To retire
1, 1961
repay

all outstanding lx/2%
bank loans, and for

on

or

about Oct.

convertible debentures; to
other corporate purposes

Office—208 Wisconsin

equipment, modernization of accounting procedures, and
general corporate purposes. Office—4830 N. Front Street,

Avenue, Milwaukee, Wis. Under¬
writer—Robert W. Baird & Co., Milwaukee (managing).

Philadelphia, Pa.
Underwriter—Milton D. Blauner &
Co., Inc., New York City (managing), Hallowell, Sulz¬
berger, Jenks, Kirkland & Co., Philadelphia, Pa., and
M. L. Lee & Co., Inc., New York City.

March

Modern

Homes

Construction

Co.

May 10, 1961 filed $5,500,000 of subordinated debentures
due June 15, 1981 and 550,000 shares of common stock
to

be

offered for public sale in 275,000 units, each unit
consisting of $20 principal amount of debentures and two
common

shares.

Price—To

be

supplied by amendment.

Business—The
homes

construction, financing and sale of shell
principally in the southern and southwestern por¬

tions of the U. S.

Proceeds—To finance the sale of addi¬

tional shell homes. Office—P. O. Box

Underwriter—Harriman

1331, Valdosta, Ga.
Ripley & Co., New York City

(managing).

•

National

Moderncraft Towel

Dispenser Co., Inc.
1961 filed 80,000 shares of common stock, of
which 73,750 shares are to be offered for
public sale by
the company and 6,250
outstanding shares by the under¬
writer. Price—$4 per share. Business—The manufacture

Mercantile

1961

filed

Corp.

100,000

(6/21)

shares

of

common

stock

five-year warrants to purchase an additional 20,000
common
shares, to be offered for public sale in units
consisting of one common share and one-fifth of a war¬
Price—To

be

supplied

by

amendment.

—The distribution and retail sale of

Business

phonograph records.

Proceeds—For the repayment

of loans and for working
capital. To expand retail operations. Office—1905 Kerri¬
gan Avenue. Union City, N. J. Underwriter—A. T.' Brod
& Co., New York City and Rodetsky,
Kleinzahler, Walk¬
&

er

•

Co., Jersey City, N. J.

(co-managing).

National

April

for

Radiac, Inc.
(letter of notification) 75,000 shares of
stock (no par). Price—$4 per share. Business—

24,

common

The

March 30,

29,

and

rant.

1961

manufacture

the

of

detection

organic

and

and

inorganic scintillators

measurement

of

ionizing

tion. The company also produces the high
tals which serve as integral components
tion

instruments.

Proceeds

quality

radia¬
crys¬

of the detec¬

For

and sale of

working capital and
general corporate purposes. Address — Newark, N. J.
Underwriter—Hardy & Hardy, New York, N. Y. Offer¬

ceeds—For

ing—Imminent.

an improved towel
dispensing cabinet. Pro¬
advertising, research and development, pay¬
ment of debt, and working capital.
Office
20 Main
Street, Belleville, N. J. Underwriter—Vickers, Christy
& Co., Inc., New York City.




—

—

National Semiconductor

May

Trampoline Co.

stock

(letter of notification) 9,400 shares of com¬
Price—At the market. Proceeds—
Office—930 27th Ave., S.W.,

(par $1).

For the selling stockholders.
Cedar

Rapids, Iowa. Underwriter
Woods, St. Louis, Mo.

—

Yates, Heitner &

May 22, 1961 filed 100,000 shares of common stock.
Prices—$10 per share for 51,000 shares to be offered to

Three Welding Company; $10 per share for not
24,500 shares to be offered to holders (other
than Big Three) of the outstanding common on the basis

Big

than

less

share for each lVs shares held; and $10.60
unsubscribed shares. Business—The company
furnishes high pressure
nitrogen to the oil and gas
industry. Proceeds—For general corporate purposes, in¬
cluding $880,000 for the purchase of 20 additional liquid
nitrogen high pressure pumping units.
Office—3602 W.
11th St., Houston, Texas. Underwriter — Underwood,
of

one

per

new

any

Neuhaus

&

Co., Inc., Houston, Texas.

11, 1961 filed

Corp.

75,000 shares of capital stock. Price
Business—The design,

—To be supplied by amendment.

Life

North Atlantic
June

filed

1961

2,

license

Office

poses.

shares.

common

has

applied

Price—$350.

for

York

New

a

sell

life, accident and health insurance
general corporate pur¬
Meadow Brook National Bank Bldg.,

Proceeds—For
—

Mineola, N. Y.
North

Insurance Co. of America

1,386

company

to

annuities.

and

Underwriter—None.

Electric

Co.

March 30, 1961 filed 22,415 shares of common stock to be
offered for subscription by stockholders of record May
Price—To

15.

be

subsidiary

Stockholm,

supplied by amendment. Business—
L. M. Ericsson Telephone Co. of

of

Sweden,.^manufactures

telecommunications

remote control systems, electromechanical
and electronic components, and power supply assemblies.
Proceeds—To repay loans and for working capital.
Of¬
equipment,

fice—553

South

Market

Street,

Galion,

Ohio.

Under¬

writer—None.
Northern

Inc.
("Reg.

1961

10 cents).

•

Nissen

This

April 28, 1961 filed $6,375,000 (6,250 units) of interests.
Price—To be supplied by amendment.
Business—The
fund will invest in tax-exempt bonds of the Common¬
wealth of Pennsylvania and its political sub-divisions.
Proceeds—For investment.
Sponsor—Ira Haupt & Co.,
Ill Broadway, New York City.
Offering—Expected in
early August.
May

of

Nyack, N. Y. Underwriter—Smith, Barney & Co., New
York City (managing).

State

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
investment.

sale

(6/19-23)

Trap Rock Corp.

Business—The

Municipal

and

Address—Col-

capital.

Nitrogen Oil Well Service Co.

(7/24-28)

17,

homes.

working

processing and marketing of crushed stone. Pro¬
expansion. Office—162 Old Mill Road, West

ing,

(managing).

Underwriters—Aetna

equipment.
machinery and office
equipment; reduction of current liabilities; research and
development and working capital. Office—245 4th St.,
Passaic, N. J. Underwriter — Hopkins, Calamari & Co.,
Inc., 26 Broadway, New York, N. Y.
Proceeds

supplied

Underwriter—Johnson, Lane, Space Corp., Savan¬

ing capital.

Missile-Tronics Corp.

May

be

$1).

•

Corp.

share.

per

505

To

—

construction

stock is not qualified for sale in New York State.

(7/3-7)

75,009

filed

repayment

—

Price

The

Mortgage Guaranty Insurance Co.

•

©

May 31,

Office

—

Oct.

June

a

Business

homes.

Tenn.

warrant.

second

construction

The

—

consisting
Price—By

ceeds—For

in units of

amendment.

each

con¬

350,000

May 19, 1961 filed 175,000 shares of common stock. Price
supplied by amendment. Business—The quarry¬

mon

share of stock and 85 cents of debentures.

units,

and

—To be

and

one

1976

linsville, Va. Underwriters—Cruttenden, Podesta & Co.,
Chicago and McDaniel Lewis & Co., Greensboro, N. C.

May 4, 1961

one

sinking fund

due

in

offered

be

to

Proceeds—For

$994,050 of 6% debentures, to be offered for public sale

Sept. 8, 1960, filed 1,169,470 shares of common stock and

debentures

of $10 of debentures and two common shares.

stock; 150,000 first warrants and 150,000 second warrants,
to be offered for public sale in units, each consisting of
one $20 debenture, one common share, one first warrant

Midwestern Acceptance Corp.

of 8%

filed $1,500,000

subordinated

homes.

(letter of notification)

1961

11,

common

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., Dan-

amendment.

Inc.

75,000 shares of
per share. Busi¬
ness—The sale of lumber, building supplies and hard¬
ware.
Proceeds—To repay loans and for working cap¬
ital. Address—Monticello, N. Y. Underwriter—J. Lau¬
rence & Co., Inc., New York, N. Y.

April

Monroe

Ave., Memphis. Underwriter—James N. Reddoch & Co.,

Proceeds—For general funds. Of¬
New York City. Underwriter—R. F
Inc., 39 Broadway, New York 6, N. Y.

Price—$12 per share.
Dowd

Thursday, June 15, 1961

:.

.

Illinois

Gas

Co.

(6/22-7/11)

May 24, 1961 filed 450,037 shares of
offered for subscription

on

the basis of

share for each 16 shares held of record June 22.

new

one

stock to be

common

by stockholders

with rights to~expire July

Price—To be supplied by

11.

amendment. Proceeds—For construction.

St., Aurora, 111. Underwriters

Office—50 Fox

First Boston Corp., and
Glore, Forgan & Co., both of New York City.
—

it Northwest Natural Gas Co.
June

13,

1961

1986 and

due

filed

$6,500,000

140,000

common

Proceeds—For

ment.

construction.

the

Office—735

of first mortgage bonds
shares. Price—By amend¬

repayment of bank
S.

W.

loans

and

Morrison

St., Portland,
Oreg. Underwriter—Lehman Brothers, New York (man¬
aging).
V
>:•Oceartarium, ;nc.
May 22, 1961 filed 125,000 shares of common stock, of
which 62,500 shares are to be offered for public sale by
the company and 62,500 outstanding shares by the pres¬
ent

holders

thereof.

Price—To

of the

be

supplied by amend¬
operates "Marineland
exhibition of fish and trained aquatic
Los Angeles, Calif. Proceeds—For work¬

Business—The

ment.

Pacific,"

company

an

animals, near
ing capital.
Office—Marineland,

Los Angeles County,
Underwriter—Blyth & Co., Inc., New York City.

Calif.
Old

May

Empire,

1,

1961

debentures

Inc.
filed $700,000

due

1971.

of convertible

Price

—

At

subordinated

Business

par.

—

The

manufacture, packaging and distribution of cosmetics,
pharmaceuticals and household, chemical and industrial
specialties. Proceeds—For the repayment of bank loans,
property improvements and working capital.
Office—
865 Mt. Prospect Avenue,
Newark, N. J. Underwriter—
Laird, Bissell & Meeds, Wilmington, Del.
•

One Maiden Lane
Fund, Inc.
April 7, 1961 filed 300,000 shares of
Price—$3 per share. Business—This is
fund

which

will

common
a

new

stock.
mutual

hold

only convertible debentures and
U. S. Treasury bonds. Proceeds—For investment. Office
—One Maiden Lane, New York
City. Underwriter—G. F.

Nicholls

&

Co., Inc.,

N^w York City.

1

Ormont

May

2,

common

Drug & Chemical Co., Inc.
1961 (letter of notification) 100,000 shares of
stock (par 10 cents).
Price—$3 per share. Busi¬

ness—Manufacturers of drugs. Proceeds—For
expansion,
working capital. Office—38-01 23rd Ave., Long Is¬

and

land
New

City, N. Y. Underwriter—Havener Securities Corp.,
York, N. Y.
-

Volume

193

Number 6064

.

,

.

The Commercial and Financial Chronicle

(2653)

57

\

Outdoor

Development Co.,

Inc.

equipment.

May 25, 1961 filed $2,705,000 of subordinated debentures
due June
common

1, 1976, warrants to purchase 108,200 shares of
stock, and 324,600 shares of common stock to
for public sale in 54,100 units, each consist¬

be offered

of debentures with

of $50

ing

attached

an

warrant

purchase two common shares, and six shares of
Price—To

to

common.

be

supplied by amendment. Business—The
construction, sale and financing of shell homes. Proceeds
—To repay

debt; establish a branch sales office, and for
capital.
Office—Walden Drive, Augusta, Ga.
Underwriter—Granbery, Marache & Co., New York City.
working

Pacific

•

Gas

Electric

&

Co.

Office—134-08

Flushing, N. Y.

•

Ram

Pickwick Organization, Inc.
May 23, 1961 filed 110,000 shares of common stock.
Price—$5 per share. Business—The company is engaged

Electronics,

Inc.
(letter of notification) 75,000 shares ol
stock (par 10 cents). Price—$4 per share. Busi-

common

1960

28,

ness—Manufacturers of electronic and replacement parts

in the real estate and construction business. Proceeds—

for television receivers and other electrical circuits. Pro¬
ceeds—For general corporate purposes. Office—600 In¬

Net proceeds, estimated at $444,000, will be used to buy
for shell homes construction and to start building

dustrial Ave., Paramus, N. J. Underwriter—General Se¬
curities Co., Inc., 101 West 57th St., New York City.

the

Offering—Imminent.

land

homes

($175,000), to repay a bank note ($65,000),
working capital. Office—Hunting¬
ton Station, New York. Underwriters—Theodore Arrin &
Co., Inc., Katzenberg, Sour & Co., and Underhill Secu¬
rities Corp., all of New York City.
with the

balance for

1961 filed 896,470 shares of common stock, be¬
ing offered for subscription by stockholders on the basis

April 21, 1961

of one new share for each 20 shares held of record June

common

13, with rights to

—To

share.

Road,

Dec.

May 24,

expire July 5. Price—$71

36th

Underwriter—L. D. Sherman & Co., New York City.

Pickwick Recreation Center, Inc.

(letter of notification) 100,000 shares of
Price—$3 per share. Proceeds

stock

(no par).

if Ram Tool Corp.
9, 1961 filed 100,000

June

shares. Price

common

Business—The

amendment.

manufacture

—

By

of

electrically
powered tools. Proceeds—For working capital. Office—■
411 N. Claremont Ave., Chicago, 111. Underwriter—Aetna
Securities Corp., New York (managing).
•

Real

Estate

investing Association,

Inc.

repayment of bank loans, and con¬
Office—245 Market St., San Francisco, Calif.
Underwriter—Blyth & Co., Inc., New York City.

for construction, working capital and, general
corporate purposes.
Office—921-1001 Riverside Drive,

May 22, 1961 filed $50,000,000 series A 6% 20-year par¬
ticipating notes to be issued in 2,000 units of $25,000

Burbank, Calif.
geles, Calif.

The

^ Pacific Vitamin Corp.
>
("Reg. A") 100,000 common shares (par 10
cents) of which 66,667 are to be sold by the company
and 33,333 by a stockholder.
Price—$3. Proceeds—For
working capital. Office—1649 La Cienega Bldv., Los An¬
geles, Calif. Underwriter—Norman C. Roberts Co., San

Pilgrim Helicopter Services, Inc.
1961 (letter of notification) 16,363 shares of
common stock
(par $1). Price—$5,50 per share. Proceeds
—For general corporate purposes. Office — Investment
Bldg., Washington, D. C. Underwriter — Sade & Co.,
Washington, D. C.

per

the

Proceeds—For

struction.

May 31, 1961

•

Plasticon

Packer's Super

Markets, Inc.

(7/24-28)

May 25, 1961 filed 100,000 shares of
—$6
self

-

common

53rd

For

—

general corporate purposes. Office

Brooklyn,

St.,

N.

Y.

Underwriters

—

—

Milton

York

Pan

City

•

pany

stock. Price

be

supplied by amendment. Business—The com¬
was organized in November 1960 to acquire, exploit

and develop patents, and to assist inventors in develop¬
ing and marketing their inventions. Proceeds—For gen¬

eral

corporate purposes. Office

aging);

N.

Roberts &

—
608 Fifth Ave., New
Underwriters—Darius, Inc., New York (man¬
A. Hart & Co., Bayside, N. Y., and E. J.
Co., Inc., Ridgewood, N. J.

ic Peelers Corp.
June 7, 1961 ("Reg. A") $300,000 of 5% redeemable de¬
bentures "series D" due April 1, 1966. Price—At par
($500). Proceeds—For short term capital. Office—619 S.
Peters St.,

Pharmaceuticals, Inc.
May 24, 1961 ("Reg. A.") 150,000 common shares (par
five cents).
Price—$2. Proceeds—For equipment, ex¬

pansion, inventory, and working capital. Office—1 Bel¬
Ave., Bala-Cynwyd, Pa. Underwriter—R. P. & R.
A. Miller & Co., Inc., Philadelphia.
mont

Peninsula

Publishing & Printing Corp.
(letter of notification) 57,000 shares of
common stock (par one cent). Price—$3 per share. Busi¬
ness—Newspaper publishers. Proceeds—For sales pro¬
motion; construction of a storage building; repayment of
a loan and working capital. Office — 379 Central
Ave.,
Lawrence, L. I., N. Y. Underwriter—Arnold, Wilkens &
Co., New York, N. Y.
Perini

1961

Corp.

March

30, 1961 filed 1,451,998 shares of common stock
(par $1), of which 1,350,000 are to be offered for public
sale by the company, and 101,998 outstanding shares by
the

thereof. Price—To be supplied by
amendment. Business—The company is engaged in the
construction and
general contracting business in the
present holders

U.

S. and Canada and recently entered the real estate
development field. In addition it will control and operate
the National League Baseball Club of Milwaukee, Inc.
Proceeds—To repay loans and for general corporate pur¬
poses. Office — 73 Mt. Wayte Ave., Framingham, Mass.
Underwriters-^F. S. Moseley & Co., Boston, Mass., and
Paine, Webber, Jackson & Curtis, New York City. >•'

Permian Corp. (6/19-23)
April 28, 1961 filed 285,000 outstanding shares of com¬
mon stock to be offered for public sale by the present
holders thereof.
Price—To be supplied by amendment.
Business—The

general

marketing

corporate

of

purposes.

crude

Office

oil. Proceeds—For
611 West Texas

—

Street, Midland, Texas. Underwriters;—Lehman Brothers
and Shearson, Hammill & Co., both of New York City
(managing).

Philadelphia Laboratories, Inc. (7/24-28)
May 26, 1961 filed 75,000 shares of common stock. Price
---$8 per share.
Business—The development, manufac¬
ture and sale of pharmaceuticals, vitamins and veterinary
products.
Proceeds — For the repayment of debt, and
other coroorate
purposes.
Office — 400 Green Street,
Philadelphia,
Pa.
Underwriter — Woodcock,
Moyer,

Fricke, & French, Inc., Philadelphia.
•

Photronics Corp.

investment
New York

the

held.
The

basis

of

Price—To

design,

three
be

new

shares

for

each

four

shares

supplied by amendment. Business—

development

and

manufacture

of

optical

and

electro-optical systems and components used in
reconnaissance, photo-interpretation, photo-grammetry and optical scanning devices. Proceeds — For

aerial

Working .capital,

research




and

development, and

St., New York

Recco, Inc.
April 17, 1961 (letter of notification)) 60,000 shares of
class A common stock
(par one cent). Price—$5 per
share. Proceeds—To open a new licensed department in
1961. Office—1211 Walnut St., Kansas City, Mo. Under¬
writer—Midland Securities Co., Kansas City, Mo.

each

three

Recreation

Enterprises, Inc. (6/26-30)
1961 filed 110,000 units of common stock and
warrants, each unit to consist of one share of class A

City.

investment.

Proceeds—For

new

Office—

Underwriter—None.

Polymetric Devices Co.
May 24, 1961 filed 90,000 shares of common stock. Price
—$3.75 per share. Business—The company sells devices
for the measurement

or

control of pressure,

temperature,

displacement, strain and force.
Proceeds—For working capital. Office—130 South Easton
Rd., Glenside, Pa. Underwriter — Weil & Co., Inc.,
Washington, D. C.
acceleration,

torque,

if Polytronic Research,

Inc.

holders. Price—By amendment.

development,
electronic

March 16,

common

the

building of bowling centers. Office—
Independence Ave., Kansas City, Mo. Underwriter
—I. M. Simon & Co., St. Louis, Mo.
6000

firm.

engineering

dpvices

for

and

aircraft,

Reher

Simmons

Research

Inc.

May 8, 1961 filed 150,000 shares of capital stock. Price—
$6 per share. Business—The research and development
of processes in the field of surface and biochemistry.
Proceeds—For plant construction, equipment, research
and development, sales promotion and working capital.
Office—545 Broad St., Bridgeport, Conn. Underwriter

—McLaughlin, Kaufmann & Coi, New York City (man¬
aging). '
'
■
:•
'
,

Renaire

•

Foods, Inc. (6/19-23)
;\;
March 30, 1961 filed $600,000 of debentures, 6V2% con¬
vertible series due 1976, to be offered for public sale by
the company and 125,000 shares of common stock, (par $1)

shares, of which 150,and 43,750 for stock¬

of which

Business—Research and

company

production

missiles,

of

certain

oscilloscopes,

electronic vending machines and language teaching ma¬
chines. Proceeds—For expansion, repayment of debt and

working capital. Office—7326 Westmore Rd., Rockville,

100,000 shares are to be offered for sale by the
and 25,000 outstanding shares by the present
holders thereof.
Price—At 100% of principal amount,

for

the

debentures

and

$6

per

share

for

Business—The retail distribution of food

the

stock.

freezers, frozen

foods, groceries, vitamins, proprietary medicines and
sundries, principally in the Philadelphia and Baltimore

Proceeds—For construction, the purchase
resulting from the sales of food

Md. Underwriters—Jones, Kreeger & Co., and Balogh &

trading areas.

Co., Washington, D. C. (managing).

of installment contracts

Precision

Specialties, Inc.
(letter of notification) 100,000 shares of
common stock (par 10 cents).
Price—$3 per share. Busi¬
ness—The manufacture of precision instruments.
Pro¬
ceeds—To
repay
loans for construction, purchase of
equipment; research and development, and working cap¬
ital. Office—Hurffville, N. J. Underwriter—Harrison &
Co., Philadelphia, Pa.
May

15,

1961

if Progressitron Corp.
June

9, 1961 ("Reg. A") 100,000 common shares (par 10
cents). Price—$3. Business—Manufacturers of electronic,
electro

mechanical

For general

and

mechanical

devices.

Proceeds—

corporate purposes. Office—14-25 128th St.,

College Point, N. Y. Underwriter—Netherlands Securi¬
ties Co., New York.

if Pueblo Supermarkets, Inc.
June 6, 1961 filed 100,000 outstanding shares of class A
common to
be offered for public sale by stockholders.
Price—By amendment. Business—Operates seven super¬
markets in Puerto Rico. Proceeds—For the selling stock¬
holders. Office—P. O, Box 10878, Caparra Heights, San
Juan, P. R. Underwriter—Merrill Lynch, Pierce, Fenner
& Smith Inc., New York.

and for working capital. Office—770 Bal¬
Pike, Springfield. Pa. Underwriter—P. W. Brooks

and freezers,
timore
&

Co., Inc., New York City.

Ripiey Co., Inc.
May 19, 1961 filed 82,500 shares

of common stock,

of

25,000 shares are to be offered for public sale by
the company and 57,500 outstanding shares by the pres¬
ent holders thereof.
Price—To be supplied by amend¬
ment.
Business—The manufacture and distribution of
which

street light controls, centrifugal blowers
equipment.
Proceeds—For new

photoelectric
and

electronic

other

product development.

Office—One Factory Street, Mid— Dominick
& Dominick,

dletown, Conn.
Underwriter
City (managing).

New York

Rockower

Brothers, Inc.

May 1, 1961 filed 140,000 outstanding shares of common
stock (par 30 cents) to be offered for public sale by the

thereof.

holders

present

amendment.

Price —To

be

supplied

by

Business—The retail sale of men's and boys'

Proceeds—For the selling stockholders. Office
—160 West Lehigh Avenue, Philadelphia. Underwriter
—Drexel & Co., Philadelphia.
*
■
clothing.

Rorer

( William H.), Inc.

Q-Line Instrument Corp.
May 8, 1961 (letter of notification) 65,000 shares of
common stock'(par one cent). Price—$4 per share. Busi¬
ness—The manufacturers of technical equipment. Pro¬
ceeds—For relocation of business; new equipment; ex¬

May 24, 1961 filed 130,000 outstanding shares of common
stock to be offered for public sale by the present holders
thereof. Price—To be supplied by amendment. Business
—The manufacture and sale of pharmaceuticals. Pro*
ceeds
For the account of the selling stockholders.

pansion, and working capital.
Office — 1562-61st St.,
Brooklyn, N. Y. Underwriter—William, David & Motti,
Inc., New York, N. Y.

Office

Quality Importers, Inc.

-

~

1, 1961 filed 200,000 common shares.
Price — By
amendment.
Business—Imports and distributes Scotch
Irish

and

whiskeys.

Proceeds—To repay loans and for

Office—55 Fifth Ave., New York.
derwriter—Sutro Bros. & Co., New York.

working caiptal.

Instrument

Un¬

Development Laboratory,

1, 1961 filed 100,000 common shares, including 86,-

666 to be offered for sale by

stockholders.

—

4865

Stenton

Ave., Philadelphia, Pa. Under¬

writers—Kidder, Peabody & Co., New* York City and
Schmidt, Roberts & Parke, Philadelphia( managing).
Rowan Controller Co.

May 29, 1961 filed 50,000 shares of common stock. Price
—To be supplied by amendment.
Business—The manu¬
facture and sale of industrial controls and
electrical

debt and
Avenue,
Baltimore, Md. Underwriter—Stein Bros. & Boyce, Bal¬
equipment. Proceeds—-For the retirement of
product expansion.
Office—2315 Homewood

timore, Md.

Inc.
June

—

•

June

Radiation

(6/19-23)

stock (par
cents), to be offered for subscription by stockholders

on

for

May 29, 1961 filed 150,000 shares of class A stock. Price
—$5 per share. Business—The company is a real estate

Feb. 24, 1961 filed 150,000 shares of common
10

share

June 7, 1961 filed 193,750 common
000 will be sold for the company

New Orleans, La. Underwriter—None.

Pell

April 27,

42nd

Proceeds—For the

one

Piatt Corp.
common

East

Minn. Underwriter—None.

Resources, Inc.

York City.

Plasticon

Office—60

and two common stock purchase warrants for
purchase of class A common (one exercisable at $5.50
per share for 18 months and the other at $6 per share
within 36 months).
Price—$5 per unit. Business—The
company plans to operate a chain of bowling alleys in
the midwestern states, initially in Missouri and Kansas.

(managing).

May 24, 1961 filed 150,000 shares of
—To

of

investment.

City. Underwriter—None.

Leyghton-Paige shares held, and 400,000 shares are to
be offered to holders of the company's $1,200,000 of 5%
promissory notes. Price
$3 per share, in all cases.
Business—The manufacture of large plastic containers.
Proceeds—To discharge the indebtedness represented by
Plasticon's 5% promissory notes, with the balance for
more equipment and
facilities.
Office — Minneapolis,

1961

Patent

basis

—For

D.

American

11,

the

of principal amount. Business—
organized in February 1961 to invest
in first mortgages on income producing properties and
in land on which buildings have been erected. Proceeds
100%

company was

on

Resources, Inc.
(letter of notification) 40,000 shares of
common stock (par $1). Price—$7 per share. Office—600
Glendale Federal Bldg., Glendale 3, Calif. Underwriter
•—Fred Martin & Co., 1101 Woodland Dr., Norman, Okla.
May

1961 filed 665,666 shares of common stock, of
90,666 shares are to be publicly offered, 25,000
shares are to be offered to Leyghton-Paige Corp., 150,000
shares are to be offered to Leyghton-Paige stockholders
which

Price—At

each.

25

Bla^ner & Co., Inc., and M. L. Lee Co., Inc., both of
New

Corp.

May 8,

stock. Price

per share.
Business—The operation of 22 retail
service food stores in the New York City area.

Proceeds

Underwriter—Fairman & Co., Los An¬

April 25,

Diego.
•

pay

Price—By

the

company

amendment.

•

and 13.334 by

Business—Devel¬

designs and produces electronic instruments for the
detection of atomic radiation.
Proceeds—For working
ops,

capital, and expansion.
Office — 61 East North Ave.,
Nerthlake, 111. Underwriter—Hayden, Stone & Co., New
York City (managing).

•

Ruth Outdoor

Advertising Co., Inc.

(letter of notification) 80,000 shares of
class A stock (par 10 cents). Price—$3 per share. Busi¬
ness—Outdoor advertising.
Proceeds—For general cor¬
March

10,

1961

porate purposes.

Address

—

R. D. No. 2, Albany, N. Y.
N. Y.

Underwriter—Lewis & Stoehr, New York,

Continued

on

page

58

'

(

*

The Commercial and Financial Chronicle

(2654)

53

Continued from

May 9, 1961 filed 450,000 shares of common stock. Price
—$8 per share. Business—A small business investment
company. Proceeds—For investment. Office—Juniper &
Walnut' Sts., Philadelphia, Pa. Underwriters—Blair &
Co., Inc., New York City; Stroud & Co., Inc., and Wood¬
cock, Moyer, Fricke & French, Philadelphia, Pa.

;.;s

Seaboard Electronic Corp.

Price—$5.50

holders thereof.
>■

»'

Office—45

City
•

(7/3)

application.

Jan.

Price—100%

debentures.

nated

its subsidiaries are engaged
retail financing of new and used automobiles, mo¬

homes, appliances, furniture and farm equipment for
purchasers, and the wholesale financing of dealers' in¬
ventories of such automobiles and direct lending to con¬
bile

It

and the writing of automobile, credit life,

sumers,

h1

Corp.

(6/26-30)

& Curtis, New York City
Lemon & Co., Washington,

Southern

June

600

North

—To

filed

1, 1992.
18th

Street, Birmingham, Ala.

determined

be

competitive

by

Underwriters
Previous

bidding.

Merrill Lynch, Pierce,
&

Smith

&

Inc.

and

Blyth

stock and $400,000 of

Co., Inc. (jointly);
Morgan Stanley & Co.; White, Weld & Co., and Kidder,
Peabody & Co. (jointly); Eastman Dillon, Union Secu¬

be

rities

1961 filed 100,000 shares of class A common
7%% 10-year debenture bonds, to
offered in units consisting of $100 of debentures and
shares of stock. Price—$200 per unit. Business—The

25

» '

7,

9th

Under¬

St., N. W., Washington, D. C.

writer—None.
j
I

) •;

r,

Photo

Service

Industries, Inc.

—

debt, advertising

Proceeds—For the repayment of

promotion, and other corporate purposes. Of¬
fice—33 East 17th St.* New York.
Underwriter—N. A.
and sales

Hart &
p

.

•

I;.

(managing).

Co., Bayside, N. Y.

Servonic

l1

26, 1961 filed 96,000 shares of no par common.;
stock, of which 50,000 shares are to be_ offered for public
sale by the company and 45,000 shares by the* present
holders thereof.
Price—To be supplied by amendment.
Business—The

research, design, development, manufac¬
precision devices consisting primarily of
transducers, for a variety of military,
and scientific usew. Proceeds—For new equip¬

ture and sale of

electromechanical

;r

industrial

ment,
1644

plant expansion and working capital.
Office—
Whittier, Calif.
Underwriter — C. E. Unterberg,

Towbin

Co., New York City.

Shasta

Minerals

t

Chemical

&

May 26, 1961 filed $3,140,000 of 6% convertible deben¬
1976, with warrants to purchase 31,400 common

shares, to be offered for public sale in units of $500 of
debentures and warrants for five
—At 100%

ment

Co.

Shelley Urethane Industries, Inc.
May 24, 1961 filed 200,000 shares of common stock. Price
To be supplied by amendment. Business—The manufac¬

distribution
Proceeds

—

of urethane foam
For expansion, new

equipment, repayment of debt, and working capital. Of¬
fice—4542 East Dunham St., City of Commerce, Calif.
Garat

—

&

Polonitza,

Inc.,

Los

Angeles

(managing).
•

Shepard Airtronics, Inc.
April 26, 1961 (letter of notification)
stock

common

Business—The

(par

one

cent).

manufacture

of

high

,

75,000

Price

—

$4

shares
per

altitude

Underwriter—Dean

Calif.

of

;

ii S

■

i

equipment. Proceeds—For repayment of
new equipment, research and development, plant
improvement, purchase of inventory, advertising and
working capital.
Office — 787
Bruckner
Boulevard.

Bronx, N. Y. Underwriters—L. C. Wegard & Co., 28 West
State St., Trenton, N. J. (managing); L. J. Termo & Co.,
Inc., New York and Copley &- Co., Colorado Springs,

■

f

Colo.

sale

March 29.
Price

—

formed
in

Co.

1961

$5,000
on

<r

unit.

Business

—

partnership shares
The

company

was

15, 1961 to acquire the Hotel Sherman
Proceeds—To purchase the above property.

Chicago.

40th

Street, New York City.

Underwriter

—None.
■

f

Skiffs, Inc.
19, 1961 filed

Price—To

be

manufacture
motor

boat.

100,000 shares of
supplied by amendment.

and

sale

of

"sea

Proceeds—For

skiffs"

a

common

stock.

Business—The
type of inboard

the

repayment of debt, the
of retail- outlets.- property improvement,
working capital. Office—Toms River,, N. J. Under¬
writer—Warner, Jennings, Mandel & Longstreth, Phila¬
delphia (managing). Offering—Expected in early July.

development

and

Slater

May

18,

which

Electric

1961

100.000

filed

Inc.

150,000

shares

are

to

shares
be

of

class

offered

for

A

stock,

public

of

sale

the company and'50,000 outstanding shares bv the
present holders thereof.
Price
To
be
supplied by
—

i

*

<

„




units

of

,

company

Office

May

New

'

$25,000,000 of sinking fund deben¬

supplied by amendment, y
Proceeds—For the repay- ■
Office—1200 18th Street, N. W., Washing¬
be

Price—To

1981.

due

tures

filed

1961

18,

Business—Consumer finance.
ment of loans.

ton, D. C. Underwriters—Johnston, Lemon
ington, D. C., and Eastman Dillon, Union
Co., New York City (managing).
Medical

Products,

-

& Co., Wash¬
Securities &

.

»

Inc.

1961 ("Reg. A") 120,000 common shares (par 10,
cents). Price—$2.50. Business—The sharpening of sur- ..
gical blades. Proceeds—For general corporate purposes.,
Address—Jamesburg, N. J. Underwriter—Louis R. Dreyling & Co., New Brunswick, N. J.
June 2,

it Stratof'ex,
June

Inc.
filed 120,000 common shares. Price — ByThe manufacture of hydraulic

8, 1961

amendment.

Business

—

pneumatic- type hose, primarily for the aircraft andmissile industries.
Proceeds—For repayment of loans,and

and

working capital. Address

—

P. O. Box 10398, Fort
Dallas.
;

Worth. Tex. Underwriter—First Southwest Co..

(6/16)

3, 1961 filed $650,000 of 5% convertible subordi¬
nated debentures, due Dec. 1, 1981. Price—At 100% of
principal amount. Business—The development and op¬
eration of a winter and summer recreational resort on"

Proceeds—For

Stratton Mountain in southern Vermont.

Office—South

construction.

Londonderry,

Vt.

Under¬

writer—Cooley & Co., Hartford, Conn.
Sun

March

Valley Associates

1961

30,

.i

(letter of notification)

$205,000 of lim¬

partnership interests to be offered in units of $5,000,:
fractional units of not less than $2,500. Proceeds—For

ited
or

working capitals Address— Harlingen, Texas.

Under-*:

'"'V

York City.

Berger Associates,- Inc.; New

Supermarkets Operating Co.
May 10, 1961 filed 125,000 shares of common stock. Price.
—To be supplied by amendment. Business—The opera¬
tion of a chain of "Shop-Rite" supermarkets and the
production
and
marketing
of
"Huber's
Sunbeam";
bakery products. Proceeds— For working capital, and
general corporate purposes. Office—1416 Morris Ave.,
Union, N. J. Underwriters—Robert Garrett & Sons,
timore, Md., and G. H. Walker & Co., New York

of debentures and three common
supplied by amendment. Business
has contracted to buy the Metals Divi¬

Proceeds—To repay

Hartford,

a

bank

loan,

N.

Y.

Underwriters

Bal¬
City..

-k Spectron, Inc.

1961 filed 83,750 class A common shares. Price—
—
Manufacturers of precision electronic
equipment. Proceeds—For purchase of equipment, plant
expansion, patent development and general corporate
purposes. Office—812 Ainsley Bldg., Miami, Fla. Under¬
writer—Hampstead Investing Corp., New York (manag¬
$4.50. Business

ing).

Speed-O-Print Business Machines Corp.

May 24; 1961 filed 125,000 shares of common stock. Price
—To be supplied by amendment. Business—The com¬
pany
manufactures
and
sells
office
copy - making
machines
and
accessories.
Proceeds
To
pay
off
notes in the amount-of $422,826, with the balance for
general corporate purposes. Office—Chicago, 111.
Un¬
derwriter—Rodman & Renshaw, Chicago, Til.
(manag¬

Jan.

;

Price

—

March, 1959 to develop real property at The:
Superstition Mountain ' near Apache Junction,It has developed part of the property to form the
in

formed

foot

of

Ariz.

Apacheland Sound Stage and Western Street, architect
turally designed for the 1870 period, which is -used for
the shooting of the motion picture and television pro¬
ductions. Proceeds—To purchase and develop additional

Office—Apache Junction, Ariz.

property.

Suproriics Corp.
May 29, 1961 filed 90,000 shares of common stock. Price
—To be supplied by amendment.
Business—The com¬
is engaged

pany

in the distribution of wholesale

6, 1961 filed

150,000

Price — By
amendment. Business—The servicing of missiles. Pro¬
ceeds
For the repayment of a loan and for working
capital. Office—722-32 Brookhaven Drive, Orlando, Fla.
common

shares.

—

Underwriter—Pierce, Carrison, Wulbern, Inc., Jackson¬
ville,

elec¬

supplies. - Proceeds — For the re¬
payment of bank loans and other corporate purposes."
Office—224 Washington St., Perth Amboy, N. J. Under-:

trical equipment and

writers—Amos

rities

Corp.,

&

Treat

of

both

Co.,
New

Inc., and Standard Secu-.
York
City . and Bruno^

Lenchner, Inc., Pittsburgh, Pa.
Survivors'

Benefit

Insurance

Co.

(7/3)

1961 filed 50,000 shares of common stock
offered initially to stockholders and thereafter

be

Inc.

Underwriter

—None.

March

Speilman Engineering,

w

1961 filed 2,000,000 shares of common stock.»
$2.50 per share.
Business — The company-was:

30,

—

ing;.

Inc.

(7/10-14)

—

June 9,

Enterprises,

Superstition Mountain

be

White,
Weld & Co., Inc., and Lehman Brothers, both of New
York City (managing).
—

Loan & Finance Corp.

$50

Price—To

30,

to
to

policyholders, employees and company representatives.
Price—$21.70 per share. Business — The company is
qualified to write life insurance in the state of Missouri.
Proceeds—For expansion of the business into other states
and for resej res. Office
4725 Wyandotte St., Kansas
-—

City, Mo. Underwriter—NOre.
•

Suval

Industries

Inc.

(6/26-30)

1,624 shares of class
A common stock (no par) to be offered for subscription
by stockholders on the basis of four shares for each five

April 27, 1961 filed 125,000 shares of common stock, of
which 100,000 shares are to be offered for public sale

shares

present holders thereof.

held, with the unsubscribed shares to be sold to
the public. Price—To stockholders, $100 per share; to
the public, $110 per share. Business—Manufacturers of
Pharmaceuticals. Proceeds
For testing new products,
inventories; marketing and general corporate purposes.
—

Office—10

Pine

T. Andrews

by

<

San Franci&fco

Spencer Laboratories, Inc.
May 1, 1961 (letter of notification)

Sica

April

>.

per

in

jet. aircraft engines.

June

filed 1.096 of limited

March

Office—10 E.
r ;

Co.,

Kelsey-Hayes Co., and will produce special high
temperature metal alloys by vacuum melting for use in

®

Sherman

•;i.

&

Special Metals, Inc. (6/28)
May 16, 1961 filejpl $2,656,250 principal amount of 6%
subordinated debentures due July 1, 1976 and 159,375
shares of common stock (par $2) to be offered for public

breathing

loans;

i':

Witter

(managing).

share.

and ventilation

•'!

filed

1961

27,

writer^—Nat

(6/26)

sion of

1

,

States Telephone Co.

May 29, 1961 filed 110,000 shares of common stock. Price
—To be supplied by amendment. Proceeds—For con¬
struction. Office—300 Montgomery St., San Francisco,

shares.

general corporate purposes. Office — 1406 Walker
Bank Bldg., Salt Lake City, Utah. Underwriter—None.

I

Avenue,

Southwestern

For

•V;

Price

Office—1674
Miami Beach, Fla.
Underwriters —
Hirsch & Co., and Lee: Iligginson Corp., both of New
York City (managing).

—The

Underwriter

Life Insurance Co. of N. Y.
162,000 shares of common stock;
to be offered for subscription by holders of common and
class A stock on the basis of two new shares for each five,
shares held.
Price —To be supplied by amendment.,
Business—The writing of life, accident and health in¬
surance.
Proceeds—For general corporate purposes. Of¬
fice—Ill Fifth Avenue, New York City. Underwriter—
None.
'
V" V f:
/ /' /YV-f/; ).;■ V:
v.X-'V-j'

repayment of debt, the development of property, work¬

ment, and exploration of mining properties. Proceeds—

■'<»

shares.

common

of principal amount.

Business—The develop¬
of unimproved land in Florida. Proceeds—For the

April 24, 1961 filed 500,000 shares of common stock.
Price—$2.50 per share. Business—Acquisition, develop¬

ture, converting and
products to industry.

(managing).

Security

Stratton Corp.

tures due

Meridian

Inc./ (7/3-7)

Instruments,

190th St., Torrance, Calif.
& Co., both

4300 W.

March

Utilities Corp.

ing capital and other corporate purposes.

April

1

Co.; Equitable Securities

Southern Realty &

May 26, 1961 filed 150,000 class A shares (par one cent).
Price
$4. Business — The company, formerly Service
Photo Suppliers, Inc., is engaged in the importation and
distribution of a wide variety of photographic equip¬
ment.

City

York

New

Standard

Street, New York City.

;

vl

&

Corp., and Drexel &
Co., (jointly); First Boston Corp. Bids—To be received
June 15 at 11 a.m. (DST) in Room 1600, 250 Park Ave¬
nue, New York City. Information Meeting—Scheduled
for June 12 at 3 p.m., (DST) on 5th floor of 55 Wall

purchase of conditional sales contracts on home appli¬
ances. Proceeds — For working capital and
expansion.
Office—724

of

Sterile

bidders: Halsey, Stuart & Co. Inc.;

ik/

—

Underwriters—Sutro Bros. & Co., and Allen

(6/15)

of first mortgage bonds
Proceeds—For construction. Office—
$20,000,000

Fenner

Security Acceptance Corp.
Vf

Office

pansion.

Insurance Co.

Electric Generating Co.

1961

8,

due

writer—None.

March

els, varnishes and allied products in the Southern Cali¬
area. Proceeds—For the repayment of debt, the
retirement of outstanding 8% debentures and for ex¬

State

1961

19,

May

and

.'Af

Capital

Citv.

other types of insurance. Proceeds—For working capi¬
tal.
Office—1100 Bannock Street, Denver, Colo. Under¬

tr

Southeastern

(letter of notification) 23,500 shares of
common stock
(par $4). Price—$10 per share.' Office—
c/o Guilmartin, Bartel & Ashman, 1527 Alfred I. du
Pont Building, Miami, Fla. Underwriters—Beil & Hough,
Inc., St. Petersburg, Fla.; Nolting, Nichol & O'Donnell,
Inc., Pensacola, Fla.; Sterling, Grace & Co., New York

Business—The company and
in the

Glen Cove, L. I., N. Y.
Towbin Co., New York

Thursday, June 15, 1961

fornia

March

Southern American Fire

amount.

principal

of

Avenue,

Unterberg,

(managing).

May

series A subordi¬

of 6%

filed $3,000,000

1961

27,

electrical

.

D. C.

Securities Credit Corp.

1,-t

E.

—Paine, Webber, Jackson
"(managing) and Johnston,

Proceeds—For the selling stockholders.
Office—417 Canal Street, New York City. Underwriter
—Amos Treat & Co., Inc., New York City (managing).
■

of

May 16, 1961 filed 500,000 shares of common stock (par
$1). Price—$12.50 per share. Business—A small business
investment company. Proceeds—For investment. < Office
—Life & Casualty Tower, Nashville, Tenn. Underwriters

Business—The

share.

per

Cliff

Sea

Underwriter—C.

warning signals, control boxes, intervalometers and related equipment for aircraft and mis¬
sile

manufacture

additional

chase

of

manufacture

The

Proceeds—To reduce outstanding loans, pur¬
equipment, and for working capital.

buildings.

April 26, 1961 filed 100,000 outstanding shares of com¬
mon stock to be offered for public sale by the present

4

—

equipment, principally wiring devices and lighting con¬
trols* used
in
indusirial, commercial and residential

Corp.

Capital

Science

Business

amendment.

57

page

.

.

•

Standard

&

St., Morristown, N. J. Underwriter—E.
Co., Hartford, Conn.

Brands

Paint

Co.

(6/26-30)

25,000 outstanding shares by the
Price—$4 per share. Business—
manufacture of supported vinyl plastic sheeting for

by the
The

the

company

and

automobile, furniture and clothing' industries.

Pro¬

ceeds—For additional equipment, product expansion and

working
N.

Y.

capital.

T.

V.

&

Co.,

—

Milton

both

D.

Westbury,

Road,

Office—Cantiagua

Underwriters

Brukenfeld

Blauner

of New York

&

Co.,

and

City.

Development Corp.

May 2, 1961 filed 265,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—

May 26, 1961 filed 100,000 shares of common stock. Price
—$5 per share. Business—The manufacture and sa!e~of

The

replacement knobs for television sets.

manufacture and

direct retail sale of paints, enam¬

Proceeds—For the

Volume

193

Number 6064

.

.

The Commercial and Financial Chronicle

.

(2655)
repayment of debt, the expansion of product lines and
working capital. Office—469 Jericho Turnpike,

Mineola,
& Co.,
and Brand,
Grumet & Seigel Inc., both of New York
City (managUnderwriters

Y.

N.

ing).

•

-

Taddeo

•

ing outstanding stock, are to be offered for the account
of the present holders thereof. Price—For the
company's

Kesselman

—

Bowling & Leasing Corp. (7/10-14)
March 31, 1961 filed $600,000 of 8% convertible
subordi¬
nated debentures due 1971, 125,000 shares of common
stock and 50,000 class A warrants to purchase common
stock to be offered for public sale in units
consisting of
$240 of debentures, 50 common shares and 20 warrants.
Price — $640 per unit.
Business
The construction of
—

bowling centers. Proceeds—For construction and work¬
ing capital. Office—873 Merchants Road, Rochester, N. Y.

Underwriter—Lomasney, Loving & Co., New York City
(managing).

:

•

Taffet

|

shares, to be related to A.S.E. prices at time of the
offering. For the stockholders' shares, the price will be
supplied by amendment. Business — The company, for¬
merly Sentry Corp., is primarily a general contractor for
heavy construction projects. Proceeds—The proceeds of
the first 12,000 shares will go to Netherlands
Trading Co.
The balance of the proceeds will be used to
pay past
due legal and accounting
bills, to reduce current indebt¬

edness, and for working capital. Office—11-11 34th Ave.,
Long Island City, L. I., N. Y. Underwriter — (For the
company's shares only) Greenfield & Co., Inc.. New
York City.

^ Tetraflour, Inc.
May 31, 1961 ("Reg. A") 100,000 common
par). Price—$3. Proceeds—For repayment of

shares
a

loan,

(no
pur¬

Hindry Ave., Inglewood, Calif. Underwriter—Morgan &
Co., Los Angeles, Calif.

fabrication

June

Price

—

the

in

of

electronic

communications

components, for

field.

primarily

use

Proceeds—For

additional

equipment, capital improvements and working capital.
Office—27-01 Brooklyn Queens
Expressway, Woodside,
Y.

N.

Underwriters—Fialkov

&

Co.,

Inc.

(managing);
Stanley Heller & Co., Amos Treat & Co., Inc., all of New
York City.
' ■///•• >'\Vv/. .//.•//•
?.
/■

chase

•

1,

of

equipment

Texas

7,

and

working

Eastern Transmission

capital.

Corp.

Office—343

(7/12)

1961

1981

filed $30,000,000 of debentures due July
200,000 shares of subordinated convertible
($100 par). Proceeds—For the repayment of

and

preferred

Broadcasting Co.
May 26, 1961 filed 376,369
stock

mon

holders

to

be

thereof.

Business—The

outstanding shares of com¬
offered for public sale by the present
Price—To be supplied by amendment.

operation of TV and

radio broadcasting
selling stockholders. Office
—1906 Highland Avenue, Cincinnati, Ohio. Underwriter
■—Harriman Ripley & Co., Inc., New York
City (managstations.

Proceeds—For the

ing).

debt and for construction. Office—Memorial Professional

Bldg., Houston. Underwriter—Dillon, Read & Co., New
York (managing).

Triangle Instrument Co.
March 30,
ness

.

•

;

•

■

repayment

Euclid Avenue,

Cleveland, Ohio.
Underwriters—Smith, Barney & Co., New York City and
McDonald & Co., Cleveland, Ohio (managing). Offer¬
ing—Expected in late June.

cumulative

and

share. Business—The company

Delaware law in

1959

to

finance

organized

was

the

exploitation

sale of "Tassette," a

patented feminine hygiene aid.
Proceeds—For advertising and promotion, market devel¬
opment, medical research and administrative expenses.
Office—170 Atlantic St., Stamford, Conn.. Underwriter—

convertible preferred stock

outstanding

1,172,243

shares

of

shares

$0.70

of

(par $10)
stock

and
be

to

offered for public sale by the holders thereof. Price—At
the market, Business—The design, engineering and con¬
struction

office

building and research laboratory;
assembling and distribution of radios, television

the

and

of

an

Amo§ Treat & Co.> Inc., New York City
(managing);
Bruno-Lenchner, Inc., Pittsburgh; and Karen Securities

sets and electric organs.

Corp., New York City.

Underwriter—None.

Tax-Exempt Public Bond Trust Fund

c

■

holders.

•

V

Office —745

Proceeds—For the selling stock¬
Fifth

Avenue,

New

City

York

Thoroughbred Enterprises, Inc. (7/10-14)
2, 1961 filed 85,000 common shares.
Price—$4.

filed $5,000,000 of interests (5,000 units),
Price—To be computed on the basis of the trustees eval¬

June

uation

Proceeds—To

Jan.

16,

1961

of

the

underlying public bonds, plus a stated
percentage (to be supplied by amendment) and dividing
the sum
thereof by 5,000.
Business — The trust was
formed by John Nuveen & Co., Chicago.
111., to invest in
tax-exempt obligations of states, counties, municipalities
and, territories

Nuveen &
1

of

the

United

States.

Sponsor

—

John

Co., 135 South La Salle Street, Chicago, 111.

Tax-Exempt Public Bond Trust Fund, Series 2

Feb.

23,

1961

filed $10,000,000

(10,000 units)

ownership

Business —The

additional

breeding of thoroughbred race horses.
purchase land, build a stable, and buy
Office—8000

horses.

Biscayne Blvd.,

Miami,
J.,

Fla.

Underwriter—Sandkuhl & Co., Inc., Newark, N.
and New York City. -

Tonka Toys, Inc.
May 22, 1961 filed 155,000 shares of common stock (par
$1) of which 60,000 shares will be offered for public sale
by the company and 95,000 shares by the selling stock¬

holders. .Price—To be supplied by amendment.
Proceeds—For

states, counties, municipalities and territories of the
U. S., and political
subdivisions thereof which are be¬
lieved to be exempted from Federal income taxes. Pro¬

Underwriter—Bache & Co., New York City (managing).

and

sale

fo

plastic and metal toys.

working capital.

Office—Mound,

Minn.

Tourist

^ Tay'or-Ountry Estate Associates

Industry Development Corp. Ltd.
29, 1961 filed $2,000,000 of 7% subordinated de¬
benture stock due 1981, convertible into class B
ordinary
stock. Price—100% of principal amount. Business—The
company was organized in 1957 for the purpose of fi¬
nancing tourist enterprises in Israel. Proceeds—To repay

June

advances from

ceeds— For

investment.

Street.
cago,

Chicago, 111.
111.

Office —135

South

Salle

La

Sponsor—John Nuveen & Co., Chi¬

March

make

loans to

—None.

Proceeds—For

Lexington

general corporate

Ave.,

New

York

purposes.

City.

Office

Underwriter—

Nat Berger Associates, Inc., New York.

i Temp1a+ Industries Inc./
June 2, 1961 ("Reg. A") 100,000 common shares (par 25
cents).
Price—$3.
Business—Licenses patents to diemakers

and metal parts manufacturers. Proceeds—For
working capital and general corporate purposes. Office—
701 Atkins Ave., Brooklyn 8, N. Y.
Underwriter—Levien,

Greenwald &
•

Co., New York.

Temp'efon,

March

30,

bentures,
amount.

Dam roth

1961

due

filed

Corp. (6/£Q-30)
$445,000 of 5 %% convertible

1969.

Price

Business-—

The

100%

—

management

the

of

and

de¬

principal

distribution

of shares of four investment

companies, and also private
investment counselling. Proceeds—To increase the sales
efforts of subsidiaries, to establish a new finance com¬
pany,

and

Third

Avenue. New York

for

general

corporate

City.

purposes.

Office—630

Underwriter—Hecker &

Co., Philadelphia, Pa.

industries.

port

^ Trans-Aire

holders

one

new

per

share

of

the

outstanding

common

share for each nine shares
for

on

held.

the

basis

of

Prices—$12.50

the

public offering and $11.40 per share
for the rights offering. Business—A small business in¬
vestment company. Proceeds — To finance- the com¬
pany's activities of providing equity capital and long
term

loans

to

small

business

concerns.

Office—Life and

Casualty Tower,

Nashville, Tenn. Underwriter—Paine,
Webber, Jackson & Curtis, New York City (managing).
•

Terry Industries, Inc.

(7/3-7)

Feb.

Electronics,

of transistorized

porters

He.

per
Secu¬
&

—

T. J. McDonald & Co.,

Washington, D. C.

Union Oil Co. of California

18,

1961

filed $60,000,000

(6/21)

debentures due June
1986 and $60,000,000 of convertible subordinated de¬

1,

due

June

1,

1991.

of

Price—To

Proceeds—For

the

be

supplied

retirement

of

the

by

out¬

standing $120,000,000 3V4% convertible subordinate de¬
bentures due April 1, 1981.
Office—Union Oil Center,

Los

Angeles, Calif. Underwriter—Dillon, Read
Inc., New York City (managing).
United

&

Co.,

Electro

stock

common

Office—510

Plastics Corp.
(letter of notification) 250,000 shares of
(par 10 cents). Price—$1.15 per share.

First

Ave.

N., Minneapolis, Minn.

Under¬

writer—None.
United Foods, Inc.
May 25, 1961 filed 125,000 shares of

—$8.50
U.

S.

per

share.

common

stock. Price

Business—The storing of grain for a

Government

agency; cold storage warehousing;
freezing, packaging and marketing of vegetables;
freezing and packaging of shrimp; the feeding and
marketing of fattened, cattle, apd the operation of a

the

the

small

business

financing "company., Proceeds—For

pansion and working capital.

ex¬

Office—12^5 ShadOtodale,

Houston, Tex. Underwriter—Dempsey-Tegeler' & Co., St.
Louis, Mo.
United Investors

Corp.

May 26, 1961 filed 76,109 shares of class A stock. Price
—$10 per share. Business—The company plans to ac¬
quire 15 realty properties in eight states. Proceeds—For
the repayment of

debt, property acquisitions, and work¬
Office—60 E. 42nd Street, New York City.

ing capital.

Underwriter—None.
U.

S.

Fiberglass Products Co.

April 27,
Price—$2

1961

filed

200,000

shares

of

stock.

common

per share.
Business—The company plans to
manufacture fiberglass shingles, beams, purlin and other

materials.

Proceeds

—

For

working

capital,

inventory

and

equipment, and sales promotion.
Office — Clarkville, Texas. Underwriter—Hauser, Murdock, Rippey &
Co., Dallas, Texas.
U. S. Home &

Development Corp.

(6/26-30)

home communities in New Jersey. Proceeds—For the
repayment of loans, purchase of land and development
of properties. Office — 52 Neil Ave.,
Lakewood, N. J.

United
Anril

11.

Variable Annuities
1961

filed

Fund, Inc.

2,500,000 shares of stock. Price—$10

—Bertner Bros, and

&

Offering—Expected

the

Earl

Edden

Co., New York.

Transcontirient Television Corp.
May 25, 1961 filed 400,000 outstanding shares of class B
common stock to be offered for public sale
by the pres¬
ent

holders

ment.

thereof.

Business

—

Price—To

The

be

operation

supplied
of

six

by amend¬

television

and

radio

seven

selling

broadcasting stations. Proceeds—For the
stockholders. Office — 70 Niagara St., Buffalo,

N.

Y. Underwriters—Carl M. Loeb, Rhoades & Co., and
Bear, Stearns & Co., both of New York City (managing).
Transcontinental

15, 1961

(letter of notification)

120,000 shares of
Price—$2.50 per share.
Pro¬

share. Business—A

investment.

new

Office—20 W.

Universal

in

mutual fund. Proceeds—For

9th

Street, Kansas City, Mo.
Reed, Inc., Kansas City, Mo.
fall of 1961..,

Health, Inc.

June

14, 1961 ("Reg. A") 100,000
—$3. Business — The operation

common

of

a

shares. Price

chain

of

health

studios. Proceeds—For

expansion, advertising, financing
payment memberships and other corporate pur¬
poses. Office—15A South Main St., West Hartford, Conn.
Underwriter—Cortlandt Investing Corp., 120 Wall St.,
of time

New York.
•

Investment Co.

Universal

Feb.

Manufacturing Co.

Office—278 S. Main

1961" (letter of notification) 135,000 shares oi
common stock (par 10 cents) of which 35,000 shares are
to be offered for the account of the company and 100.000

Street, Salt Lake City, Utah. Underwriter—Continental
Securities Corp., 627 Continental Bank Building, Salt

outstanding shares, stock, by the selling stockholders,
Price —$2 per share.
Proceeds — For working capital.

common

stock

(par

$1).

ceeds—For advances to subsidiaries.

Lake

City, Utah.

23,

Office—516 W. 4th

,

.

May 1, 1961 filed $150,000 of limited partnership inter¬
ests to be offered for public sale in 150 units.
Price—
$1,000 per unit.
Proceeds—For the acquisition of oil
leases and the >, development
of, thereof.
Office—213

June

First

ment.

National

Bank

Street, Winona, Minn.
Minneapolis, Minn.

Underwriter—

Naftalin & Co., Inc.,

Trebor Oil Co. Ltd.

Building, Abilene, Texas.

Under¬

writer—None.

•

Uris

Tresco, Inc.
5, 1961 filed

of

debt,

re¬

(7/3-7)

to be offered for sale

by stockholders. Price—By amend¬

Business—The

construction, operation and leasing

ers.

June

Buildings Corp.

2, 1961 filed 159,403 outstanding shares of common

of office

equipment. ' Proceeds—For the repayment




of

cents

Turbodyne Corp.
May 10, 1961 filed 200,000 shares of common stock. Price
—$2 per share. Business
The research,
development/
manufacturing and marketing of space and rocket en¬
gines, and related activities. Proceeds—For research and
development, and working capital. Office—1346 Con¬
necticut Ave., N. W.,
Washington, D. C. Underwriter—

Underwriter—Waddell

of the

and 1,171,004 shares, represent¬

shares

62y2

—

expenses. Office—511

Seattle, Wash. Underwriter—H. P. Pratt
Co., Inc., Seattle, Wash.

per

100,000 common shares.
Price—$5.
Business—Manufactures transformers for electronic

company

mining

quarters; purchase of tools and dies; research and devel¬
opment; repayment of loans and working capital. Office
—195-02 Jamaica Ave., Jamaica 23, N. Y. Underwriters

28, 1961 filed 1,728,337 shares of common stock of
which 557,333 shares are to be offered for the account

issuing

400,000

(par 25 cents). Price

rities Bldg.,

radios, phonographs and simi¬

lar electronic products. Proceed^—For removal to larger

.

to

hotels, restaurants and trans¬

Office—Jerusalem, Israel.

June

March

Tennessee Investors, Inc.
May 16, 1961 filed 500,000 shares of common stock to be
publicly offered, and 4.206 common shares to be offered

the

Underwriter—Auchincloss, Parker & Redpath, Washing¬
ton, D. C., and New York City.

houses

N.

—420

and

inventory,

1, 1961 ("Reg. A") 100,000 common shares (par 10
cents). Price—$2.75. Business — Manufacturers and im¬

of Israel and to

ment

Newark, East Orange and Jersey Citv,

instruments

Underwriter

State

various enterprises such as

in

precision

equipment,

May 11, 1961 filed 300,000 shares of class A capital stock.
Price—To be supplied by amendment. Business — The
planning, development and marketing of single-family-

the

12, 1961 filed $2,420,000 of limited partnership in¬
terests. Price—$10,000 per unit. Business—The
partner¬
ship will acquire all the outstanding stock of five apart¬
J.

stock

common

share. Proceeds—For

Business

certificates.. Price—To be filed by amendment. Business
interest bearing obligations of

—The

—The fund will invest in

manufacture

of

Proceeds—For

May 15, 1961

common

(6/26-30)

(letter of notification) 100,000 shares of
(par one cent). Price—$3 per share. Busi¬

manufacture

amendment.

Office—23555

Terence

debt, and working capital. Office—Oak
Place, Syosset, L. I., N. Y. Underwriter
—Armstrong & Co., Inc., New York City.

bentures

duction.

subsidiary

Drive and Cedar

products

Business—The research, manufacture, and sale of
in the missile, space, electronics and aircraft
fields. Proceeds — For general
funds, including debt re¬

new

a

of

ment.

—$12

per

The

—

components.

May

Tkompson-Starrett Co., Inc.
March 29, 1961 filed 1,000 outstanding

under

1961

stock

common

Thompson Ramo WooSdridge Inc.
May 24, 1961 filed $25,000,000 of 25-year sinking fund
debentures, due 1986. Price—To be supplied by amend¬

Tassette, Inc. (6/16)
Feb. 15, 1961 filed 200,000 shares of class A stock. Price

•

development, to finance

St., Pniladelphia. Underwriter—Amos Treat & Co., Mew
York (managing).
™

■

Taft

and

and for other corporate
purposes. Office—3824

Tungsten Mountain Mining Co.
April 7, 1961 (letter of notification)

Electronics, Inc. (6/30) '
28, 1961 filed 132,000 shares of common stock.
$3 per share.
Business — The manufacture of
electronic equipment, principally electronic test
equip¬
ment, partial electronic systems and assemblies, and the
April

search

59

buildings.

Proceeds—For the selling stockhold¬

Office—850 Third Ave.,

New York.

Underwriter—

Kuhn, Loeb & Co., New York (managing).
Continued

on

page

60

60

The Commercial and Financial Chronicle

(2656)

Continued

120,000 common shares. Price—$5.
Business—The writing and selling of title insurance and
the acting as trustee and escrow agent. Proceeds—For
working capital, reserves and other corporate purposes.
Office—1001 North Central Ave., Phoenix, Ariz. Under¬
writer
Louis R. Dreyling & Co., 25 Livingston Ave.,
New Brunswick, N. J.

casual

Inc.

and equipment.
Proceeds — For
of debt, plant expansion, equipment, sales

systems

by the present holder thereof. Price—To be supplied by
amendment. Business—The operation of a national chain

gymnasiums and health centers for men and women.
will use itS'part of the proceeds

of

Proceeds—The company

opening of new gymnasiums and the promotion
of home exercise equipment. Office—375 Park Ave., New
York City, Underwriter—S. D. Fuller & Co., New York
City.
the

for

.

Vinco

May

(7/10-14)
1961 filed $2,000,000 of 6%

19,

1976.

dinated debentures due

subassemblies

and

other

industries.

for

Price—At 100% of princi¬

the

Proceeds—For

missile and

aircraft,

the repayment of debt,

expansion, working capital and reserves for possible fu¬
ture acquisitions.
Office—9111 Schaefer Highway, De¬

troit, Mich. Underwriter—S. D. Fuller & Co., New York
City (managing).
N
(Jim) Corp.
May 18, 1961 filed $20,000,000 of first subordinated de¬
bentures due 1981 (with attached warrants to buy up to
Walter,

80,000

shares).

common

amendment.

financing

of

shell

homes.

supplied

debt and finance the sale of additional homes.

1500

North

Dale

Walter

ness

—

Fla. Under¬
Sons, Baltimore, Md. (managing).

stock

The

(letter of notification) 100,000 shares of
one cent). Price—$3 per share. Busi¬

(par

manufacture

and

installation

of

highway

signs. Proceeds—For the reduction of debt, sales promo¬
tion, inventory and reserves. Office—4700 76th St., Elmhurst, L. I., N. Y. Underwriter—Amber, Burstein & Co.,
40 Exchange Place, New York 5, N. Y.
Wayne Manufacturing Co.
May 29, 1961 filed 40,000 outstanding shares of capital
stock to
ers

of

be offered for public sale

by the present hold¬

thereof.

Business—The design, manufacture and sale
industrial sweepers.
Price — To be supplied by

amendment.

Calif.

Office —1201

E.

Lexington

St.,

Pomona, '

Underwriters—Mitchum, Jones & Templeton, Los

Angeles and Schwabacher & Co., San Francisco
aging).
Wej-it Expansion Products, Inc.
4, 1961 (letter of notification)

(man¬

300,000 shares of
common stock
(par 10 cents). Price—$1 per share. Pro¬
ceeds—For plant and facilities,
moving equipment, in¬
ventory, working capital and repayment of a loan. Office
S.

Santa

Fe

Dr., Denver, Colo. Underwriter—Amos
C. Sudler & Co.,. Denver, Colo.
:
,

West Coast

Bowling Corp.

which

the

present

115,000

128,434 shares of common stock, of
shares are to be offered for public sale

company

and

13,434

holders thereof.

outstanding

shares by the
Price—$9.75 per share. Busi¬

ness—The company plans to
acquire and operate
centers primarily in California.
Proceeds—For

corporate

purposes.

Office—3300

West

Olive

Burbank, Calif. Underwriter—Hill Richards
Los Angeles (managing).
/
Westbury Fashions, Inc.
May 10, 1961 filed 120,000 shares of
which 68,000 shares are to be offered




Brothers

Co.

&

common

for

bowlibg
general

Avenue,
Co.

Inc*,

stock, of
public sale by

1,

ing).

offered for public

be

Airways Co.

1961 it was reported that a "Reg. A" will be
filed shortly covering 75,000 shares of common stock.
Price—$4 per share.
Office—Danbury, Conn. Under¬
writer—Edward Lewis Co. Inc., New York City (manag¬

sale by the present hold¬
ers
thereof.
Price
To
be
supplied by -amendment.
Business—The construction of pipelines and other as¬

'/'v-v;

.

American

Corp.

Playlands

—

.

Dec. 21, 1960 it was reported that this company plans to
refile a registration statement covering 300,000 shares

the heavy construction industry. Proceeds—
the selling stockholders.
Office—National Bank of
of

pects
For

of

Wilshire

Insurance Co.

17, 1961 filed 187,000 shares of common stock

being

$2)

for

offered

the basis of

one

new

subscription

by

will be

a

full filing.

Business—

operate an amusement and
recreation park on 196 acres of land near Liberty, N. Y.
Proceeds—For development of the land. Office—55 South
Main St., Liberty, N. Y. Underwriter— M. W. Janis &
Co., Inc., New York City.

Building, Tulsa, Okla. Underwriter—Reynolds &
Co., Inc., New York City (managing).

Feb.

This

stock.

common

The

Tulsa

(par
stockholders on

company

intends

to

Appalachian Power Co.
1, 1961 it was reported that this subsidiary of
Electric Power Co., Inc., plans to sell $35,000,000 to $40,000,000 of bonds late in 1961 or early in
1962. Office—2 Broadway, New York City. Underwriters
—To be determined by competitive bidding. Probable
bidders: Halsey, Stuart & Co., Inc.; First Boston Corp.;
Harriman Ripley & Co., Inc.; Kuhn, Loeb & Co. and
Eastman Dillon, Union Securities & Co. (jointly 1.

share for each share held of record

Feb.

April

with rights to expire June

14,

share.

tion,

Business—The

Calif.

Price—$5

writing of workmen's

West

per

American

compensa¬

carrier liability and automobile

common

Office—5413

16.

(physical

Proceeds—To increase capital funds.

Washington Boulevard, Los Angeles,

Underwriter—None.

Wonderbowl, Inc.
6, 1961 (letter of notification)

Feb.

stock.

common

Price—At

($2

par

shares of
share). Proceeds

150,000

per

Arizona

payable, accounts payable, and
working capital. Office
Blvd., Los Angeles, Calif. UnderwriterStandard Securities Corp., Los Angeles, Calif-

notes payable and the balance for

—7805

Sunset

World

shares

420

DeSoto

to

employees.

Business—The

•

made privately through Blyth & Co., and
Bostop Corp. The last sale of bonds on March
26, 1959 was also handled privately through Blyth &
Co., and First Boston Corp.
However, the company
stated that there is a possibility that these bonds will
be sold at competitive bidding, in which case the follow¬
ing are expected to bid on them: Halsey, Stuart & Co.
Inc.; Kidder, Peabody & Co.; First Boston Corp.; Blyth
18, 1958

Wrather

Corp.

&

Co.,

both

of

St.

(6/19-23)

*

debtedness

to

be

offered

in

units

of

(a)

one

of

one

Zurn

Inc.

no

in¬

sale

,

of

equipment. Office—25-11 49th

sale of hospital

Caldor,

Inc.

Weber

;

15, 1961 it was reported that a full filing will be
covering an undisclosed number of common
shares. Price—$5 per share. Business—Operates a chain
of discount stores in Northern Westchester and Connec¬
March

made

-

soon

ticut.

manu¬

transmission
piping devices and indus¬
power

and

Street, Astoria, L. I., N. Y. Underwriter—First
Securities Corp., New York City.
•

equipment, hydromechanical
pipe line straining mechanisms. Proceeds—For new
equipment, and working capital. Office—2214 West 8th
St., Erie, Pa. Underwriter—Lee Higginson £orp., New
York City (managing).

trial

May 24, 1961 it was reported that this company plans a
full
filing shortly covering
100,000 shares, of com¬
mon stock. Price—$3 per share. Business—The manufac¬
ture

(6/19-23)

mechanical

texts.

1025

405,

3eam-Matic, Inc.

1961 filed 175,000 shares of common stock, of
which 71,530 shares are to. be offered for public sale by
the company
and 103,470 outstanding, shares, by the
present holders thereof. Price
To be supplied by
and

program

Streets, Baltimore 3, Md. Underwriters—To be deter¬
by
competitive
bidding.
Probable
bidders:
Halsey, Stuart & Co. Inc.; White, Weld & Co., and First
Boston Corp.
(jointly); Harriman Ripley & Co., Inc.,
and Alex. Brown & Sons (jointly).

May 25,

facture

and

mined

common,

amendment. Business—The design, development,

Inc.

Baltimore Gas & Electric Co.

one $100 certificate or
(b) 10 common shares
$1,000 certificate. Price—(a) $110 or (b) $1,100.

Industries,

Lynch,

May 15, 1961 it was reported that this company plans to
issue about $20,000,000 of first mortgage bonds in late
1961
or
early 1962.
Office — Lexington and Liberty

Office^—Central Washington Fairgrounds, Yakima, Wash.
Underwriter
Colopy, Elliott & Miller, Inc., Seattle,

•

Merrill

Proceeds—For expan¬
Connecticut Ave., N. W.,
Washington, D. C. Underwriters—To be named.

share and
and

Teaching Machines,

Office—Suite

sion.

Valley Turf Club, Inc.
certificates

Inc., and

ufacture and distribution of

laboratories

Wyoming Wool Processors, Inc.
June 5, 1961 filed 700,000 common shares.
Price—$1.
Business—The processing of wool.
Proceeds—For the
purchase of equipment, building rental, and working
capital.
Address—Box 181, Casper, Wyo.
Underwriter
—None. J

2,240 shares of

Co.,

&

(par 10 cents). Price—$4 per share. Business—The man¬
teaching machines, language

Muzak Corp., Wrather Hotels, Inc.. Wrather Realty
Corp., Stephens Marine, Inc., and various television film
properties. Proceeds — For construction, repayment of
debt and working capital. Office — 270 North Canon
Drive., Beverly Hills, Calif. Underwriter—Lee Higginson
Corp., New York City (managing). '

(letter of notification)
stock and $224,000 of

Weld

1961 it was reported that a "Reg. A"*will be
shortly covering 75,000 shares of common stock

filed

of

common

White,

Audio-Visual

boats, and various marine and sporting goods
manufactured by others. It also plans to acquire the stock

par

Co.;

May 24,

sail

May 16, 1961

&

Pierce, Fenner & Smith Inc.

(no

par). Price—To be supplied by amendment. Business—
The company manufactures and sells Stephens power
and

was

the First

Proceeds—To selling stockholders. Office—
Ave., St. Louis Mo. Underwriters—Scherck,

Co., and Dempsey-Tegeler
Louis, Mo. (managing).

Co.

named.

To be

Price—To be supplied by
printing of magazines and

Richter

Service

Third Ave., Phoenix, Ariz. Underwriters—
The last sale of preferred stock on June

South

—501

Color

Press, Inc. (7/10-14)
May 16, 1961 filed 218,000 shares of common stock of
which 203,000 shares will be offered to the public and
15,000

Public

May 26, 1961 it was reported that this company is con¬
sidering the sale of about $5,000,000 of preferred stock
this summer and about $35,000,000 of first mortgage
bonds in November. Proceeds—For construction. Office

—To discharge a contract

Wash.

May 26, 1961 filed
by

stock to

Yakima

(6/29)

May

—4

Williams

American

All

May

Bldg., Oakland,

March 29, 1961 filed 350,000 shares of common stock

Sign Corp.

March 30, 1961
common

Office—

Mabry Highway, Tampa,

writer—Alex. Brown &

•

newspapers.

be

Western

May 19, 1961 filed 350,000 outstanding shares of common

amendment.

To

First

Proceeds—For

trust.

Calif. Underwriter—To be named.

by

—

investment

Office—1031

investment.

construction, and mortgage
Proceeds—To reduce bank

Price

Business—The

estate

damage) insurance.

convertible subor¬

pal amount. Business—The production of gauges and
measuring instruments and the manufacture of precision
parts

real

■

Corp.

Houston, Tex.

—

closed-end

(7/3-7)

Enterprises, Inc.

Fund

Trust

Supply Co.

24, 1961 it was reported that this company is nego¬
tiating for the sale of about $18,000,000 to $20,00p,000
of bonds. Proceeds—For expansion of facilities. Office—
San Antonio, Tex. Underwriters — White, Weld & Co.,
New York City and Underwood, Neuhaus & Co., Inc.,

1961 filed 200,000 shares of beneficial inter¬
est in the Fund. Price
$10 p„er share.
Business — A

unit. Business—The design, development and
sale
of versatile automatic equipment for packaging
items in special heat-shrinkable film. Proceeds—To re¬
pay loans, for additional equipment and inventory; and
for working capital. Office—928 Broadway, New York
City. Underwriters—Hill, Thompson & Co. (managing);
Hampstead Investing Corp., and Globus, Inc., all of New
York City.
1

1961 filed 320,000 shares of class A common
stock (par 10 cents) of which 120,000 shares will be of¬
fered for the account of the company and 200,000 shares

Gas

Alamo

Jan.

March 30,

per

11,

Land

Western

liquids. Office—First

Birmingham, Ala. Underwriter—Lehman
Brothers, New York City.

other phases of the real estate business.
ordinary expenses, repayment of loans
and working capital. Office—636 North La Brea Ave.,
Los Angeles, Calif. Underwriter—Reese, Scheftel & Co.,
Inc., New York City.

1961 filed 150,000 shares of common stock and

Vic Tanny

product for gauging the level of

a

National Bldg.,

Proceeds—For

150,000 five-year warrants, to be offered for public^ sale
in units of one share of stock and one warrant. Price—

May

For

and

homes,

Inc.

Associates,

equipment, hospital surgical instruments and the metals
industry. It also makes fluorescent lighting fixtures and

the selling stock¬
Business—The development of

unit.

per

property in California for single-family homes, the in¬
vestment in notes or contracts secured by single-family

Versapak Film & Packaging Machinery Corp.

$3,125

$100

At-the-Market.

holder:

promotion and working capital. Office—Northport, N. Y.
Underwriter—Stanley R. Ketcham & Co., New York.

March 30,

52,107 outstanding shares by selling
trading commences. Price—Eor the

and
after

company's stock:

May 29, 1961 filed 80,000 shares of common stock. Price
—$4 per share. Business—The manufacture of industrial
vacuum

each;

stockholders

or

April 11, 1961, it was stated that this company is seek¬
ing to acquire other firms with compatible product lines
and that equity financing may be needed to finance
current expansion program. Business — The company
manufactures
ultrasonic cleaning systems for missile

Corp.

(par 10 cents), of which 150,000 shares are to be
offered for public sale by the company in units of 10
shares

us

Prospective Offerings

1961 filed 202,107 shares of class A common

17,

hereunder.

telephone us at REctor 2-9570
at 25 Park Place, New York 7, N. Y.

you

Acoustica

stock

.'//'S

the repayment

Growth

Western

March

equipment, the repayment of bank loans and for work¬
ing capital. Office—611 Hansen Way, Palo Alto, Calif.
Underwriter—Dean Witter & Co., San Francisco (man¬

high

write

City, Utah.
Business—Factoring.
Underwriter—Elmer
K. Aagaard, Newhouse Bldg., Salt Lake City, Utah.
•

News Department would like
so that we can prepare an item

similar to those you'll rind

—

June 19. Price—-$50. Business—The

Equipment,

Corporation
to know about it

Factors,

planning to register?

have an issue you're

Our

Inc.
June 29, 1960 filed 700,000 shares of common stock. Price
—$1.50 per share. Proceeds—To be used principally for
the purchase of additional accounts receivable and also
may be used to liquidate current and long-term liabil¬
ities.
Office
1201 Continental Bank Bldg., Salt Lake

design, manufacture and sale of microwave tubes, and
electronic components and systems for military, com¬
mercial and industrial use. Proceeds—For a new plant,

Lab.

Do you

Would

Western

UNDERWRITERS!

ATTENTION

Proceeds—For ex¬

women.

—

^Vcit^iciin Assocbch1£©s

Vaironic

girls and

(managing).

May 1, 1961 filed 347,883 shares of capital stock being of¬
fered for subscription by shareholders on the basis of
one new share for each 10 shares held of record June 1

aging).

for

dresses

be supplied by amend¬
design, manufacture and sale of

The

—

pansion, the repayment of loans, equipment, and work¬
ing capital. Office — 1400 Broadway, New York City.
Underwriter
McDonnell & Co., Inc., New York City

—

with rights to expire

Business

ment.

filed

1961

Thursday, June 15, 1961

Price—To

thereof.

holders

ent

13,

..

the company and 52,000 outstanding shares by the pres¬

from page 59

Valley Title & Trust Co.
June

.

Office-—Riverside, Conn.

Underwriter—-Ira Haupt

Co., New York City (managing). Registration—Tem¬
porarily postponed.
\ &

.

Carbonic

Equipment Corp.
Dec. 8, 1960 it was reported that

a

full filing of about

$300,000 of units, consisting of common stock, bonds and

Volume

193

Number 6064

.

.

.

The Commercial and Financial Chronicle

(2657)
v

.

warrants will be made. Proceeds—For expansion of the
business. Office—97-02 Jamaica Ave., Woodhaven, N. Y.

Business

Underwriter—R. F. Dowd & Co., Inc.

Madison

is^ue stock later this year. The firm denied the
report.
Publishing and allied fields. Office
488

House Corp.
24, 1960 it was reported that a full filing of this
company's stock, constituting its first public offering,
Caxton

will be made.
ness—Book

New York

Price—Approximately $3
publishing.

City.

Office—9

per

10

Electric

Co., Inc.

21, 1961 it was reported that the company is con¬
sidering the issuance of $6,000,000 of bonds or deben¬
tures in the latter part of 1961. Office — 415 Main
St.,
Pineville, La. Underwriters—To be named. The last is¬

Stuart

&

eight

in 1962 to finance its $45,000,-

000 construction program. Office—Fourtin & Main Sts.,
Cincinnati, O. Underwriter—(Bonds) To be determined
by competitive bidding. Probable bidders: Halsey, Stuart
& Co. Inc.; Merrill Lynch, Pierce, Fenher & Smith Inc.
and Lehman Brothers (jointly); Morgan Stanley & Co.
and W. E. Hutton & Co. (jointly); Blyth & Co., Inc.,
and First Boston Corp. (jointly); Eastman Dillon, Union
Securities & Co., and White, Weld & Co. (jointly).
The
last issue of common stock (81,510 shares) was sold pri¬
vately to employees in1 August, 1960.

Colorado

Gas

Interstate

Co.

Oct.

17, 1960 it was reported by Mr. A. N. Porter of the
company's treasury department that the company is
awaiting a hearing before the full FPC with reference
to approval of its application for expansion of its sys¬
tem, which will require about $70,000,000 of debt fi¬
nancing which is expected in the latter part of 1961.
Proceeds—For expansion.
Office—P. O. Box 1087, Colo¬
rado

Springs, Colo.

CoSumbia

Gas

System, Inc.

Street, New York

17, N. Y. Underwriters—To

Stanley & Co.; Merrill Lynch, Pierce, Fenner & Smith
Inc., and White, Weld & Cof (jdihtly). The last sale of
common stock on May 4, 1960 was handled
by a group
headed by Merrill Lynch, Pierce, Fenner & Smith Inc.;
&

Co.; R. W. Pressprich
Loeb, Rhoades & Co.
&

Southern

Ohio

&

Co.,

Electric

and

Carl

M.

St., Columbus 15, Ohio. Underwriter—Dillon, Read & Co

sell

Ecflson

Co.

10, 1961 it was reported that this company plans to
$30,000,000 of bonds in the second quarter of 1961.

Office—72 W. Adams Street, Chicago, 111. Underwriters
—To be determined by competitive bidding.
Probable
bidders:

Halsey, Stuart & Co. Inc.; First Boston Corp.;
Kidder, Peabody & Co.; White, Weld & Co.; Blyth & Co.,
Inc.; Merrill Lynch, Pierce, Fenner & Smith, Inc.
Consolidated

May

Edison

Co.

of

New

York,

Inc.

16,

1961, H. C. Forbes, chairman, stated that the
must issue almost $100,000,000 of securities
in late 1961 and early 1962. He added that if the com¬
pany decides to issue any of the 1,000,000
shares of
cumulative preference stock approved by shareholders
at the May 15 annual meeting, it will be on the basis
of convertibility into common with subscription rights to
company

common

shareholders. Office—4 Irving Place, New York

City. Underwriter—To be named. The last rights offer¬
ing to stockholders (of debentures) on Jan. 28, 1959 was
underwritten by Morgan Stanley & Co., and First Bos¬
ton Corp., both of New York City. The last sale of bonds
on
Nov. 23. 1960 was handled by First Boston Corp.,
and

&
•

Halsey, Stuart & Co., Inc. (jointly). Morgan Stanley
Co., also bid competitively on this issue.
Consumers

Power

May 24, 1961 it

Co.

(8/15)

was

—

Meeting

Bankers Trust
Cosmetic

—

Aug.

10,

11

a.m.

Co., 16 Wall St., New York

(EDST)

at

(2nd floor).

Chemicals Corp.

May 10, 1961 it was reported that this firm expects to
register 100,000 shares of H par common stock. Price—
$4 per share. Business — The firm manufactures per¬
fumes, cosmetics, and hair dyes. Proceeds—For general
corporate purposes. Office—5 East 52nd St., New York
City. Underwriter—Nance-Kieth Corp., 99 Wall St., New
York 5, N. Y.
Cosmetically Yours, Inc.
May 16, 1961 it was reported that this corporation is
contemplating a public offering. Business—The manu¬

facturing and sale of cosmetics.
Office —15 Clinton
Street, Yonkers, N. Y. Underwriter—P. J. Gruber & Co.,
Inc., New York City. •
.
Cowles

Broadcasting, Inc.
reported that this corporation will

Magazine

May. 3, 1961 it

was




&

shares

held.

Proceeds—For

construction.

and

eral

SEC

Exploit

that

a

in the

received

on

Oct.

Gulf Power Co.

Toms

River

(N.

Telephone Co.
8, 1961 it was reported that this company plans I
to sell about $5,000,000 of common stock
to stockhold¬
ers through
subscription rights later this year. Office—
1130

Alakea

may

its

Street, Honolulu 13, Hawaii.

Houston Fearless

Corp.
1961, Barry J. Shillito, President, stated that
company plans to expand its Western Surgical and
27,

Westlab divisions into

a

pital

is¬

cur¬

He

supply

concern.

Houston

Lighting & Power Co.
17, 1960 Mr. T. H. Wharton, President, stated that
between $25-$35 million dollars is
expected to be raised
publicly sometime in 1961, probably in the form of pre¬
ferred
tion

of the offer¬

on

April

of

Idaho
Jan.
sell

rights

held. Based

on
on

the basis of

loans

reported that this company plans to
and about $5,000,000 of com¬
third quarter of 1961.
Proceeds—To repay
was

and for construction.

Underwriters—To be deter¬

Freres

Probable bidders

on

the

&

rities & Co.

(jointly); Equitable Securities Corp. Prob¬
on the common: Blyth & Co.,
Inc.; Lazard
Kidder, Peabody & Co.; Merrill Lynch,
Pierce, Fenner & Smith, Inc.
able bidders

Freres

share for each 20 shares

the 22,838,454 common shares outstanding

&

Co.;

VH

Illinois Terminal
Jan.

that this company plant
$8,500,000 of first mort¬
gage bonds. Office—710 North Twelfth Blvd., St. Louii,
Mo. Underwriter—Halsey, Stuart & Co. Inc., Chicago.
16,

1961

it

RR.

was

reported

the sale later this year of about

General

Telephone Co. of California
1961 it was reported that this subsidiary of
General Telephone & Electronics Corp.; plans .to ;sell

the

Inc.; Blyth & Co., Inc.;
Co., and First Boston Corp. (jointly);
Merrill Lynch, Pierce, Fenner & Smith Inc.; Kidder,
Peabody 4 Co., and White, Weld & Co. (jointly); Salo¬
mon Bros. & Hutzler, and Eastman
Dillon, Union Secu¬

Dec.

Feb.

in

Lazard

31, 1960, the offering will involve a minimum
of 1,141,922 additional shares. Office—67 Broad
St., New
York 4, N. Y. Underwriter—None.
on

Electric

$10,000,000 of bonds

mined by competitive bidding.
bonds: Halsey, Stuart & Co.

Corp.

one

—

Power Co.

10, 1961 it

mon

March 14, 1961 it was stated in the company's 1960 an¬
nual report that the utility expects to sell additional
common stock to stockholders in
1962 through subscrip¬
tion

Office

—Imminent. Offering—Expected in late July.

named.

General Public Utilities

Proceeds—For construc¬
loans.

plastic resin equipment. Proceeds—For gen¬
corporate purposes. Office—Sarasota, Fla. Under¬
writer—J. I. Magaril Co., Inc., New York. Registration

Scarritt

be

bank

eral

Bldg., Kansas City, Mo.
Under¬
The company has never issued
preferred stock, but the last sale of common on April
19, 1954 was handled by Kuhn, Loeb & Co., Eastman
Dillon, Union Securities & Co., Reynolds & Co., and
Allen & Co.
The last sale of bonds on July 6, 1958 was
made privately through Eastman
Dillon, Union Securi¬
ties & Co., New York City and Stern Brothers &
Co.,
Kansas City, Mo.
writers—To

of

reinforced

18

150,000

of preferred stock (par $100).
The company is
considering the sale of between $5,000,000 to $7,500,000
of preferred and may issue some bonds at the same time.

700

repayment

•
Hupp Systems, Inc.
May 31, 1961 it was reported that a "Reg. A" will be
filed
shortly covering an initial offering of 50,000
common shares.
Price—$3. Business—The design, manT
ufacture and sale of fiberglass
sprayup systems and other

shares

—

securities, with the precise timing de¬

market conditions.

Hutzler.

Co.

issue

and

debt

—

financing by the company in September, 1959, was han¬
dled by Carl M Loeb, Rhoades & Co., New York
City and
Prescott, Shepard & Co., Inc., Cleveland.

new

on

Building, Houston, Texas. Underwriter
Previous fi¬
nancing was headed by Lehman Brothers, Eastman Dil¬
lon, Union Securities & Co. and Salomon Bros. Jb

to the public. Office —1148 Euclid Avenue,
Cleveland, Ohio. Underwriters—To be named. The last

a

and

pending

ing going

authorize

to

national medical and hos¬

Oct.

present Rocket Power, Talco and Bohanan divisions. In
the fall of 1961, stock of the new subsidiary would be
offered through subscription rights to Gabriel stockhold¬

1961, the company reported that

sold

new

added that 80% of the new
retained by Houston and the re¬
the public.
Office — 11801 W.

Olympic Blvd., Los Angeles 64, Calif.

Co.

and debenture holders with about 20%

Underwriter

•—None.

the

to finance

Under¬

Hawaiian

Feb.

second half of 1961

i

March

April 27, 1961, the company announced plans to form a
new
subsidiary, Rocket Power, Inc., by merging the

Office

^

18.

,Inc.; Mer¬
Lynch, Pierce, Fenner & Smith Inc.; Salomon Bros.
and Drexel & Co.
(jointly); Equitable Secu¬
rities Corp.; Kidder, Peabody & Co. and
White, Weld
& Co. (jointly).
Bids—Expected to be received on Dec.
7, 1961.

J.)

Light Co.
reported that the company

to

per¬

& Hutzler

share for each 20 shares held of record

voted

ap¬

rill

maining 20%

stockholders

>

(

*Pensacola, Fla.

$40,000,000 construction program. Office—25 S. E.
Ave., Miami, Fla. Underwriter—To be determined
by competitive bidding. Probable bidders: Merrill Lynch,
Pierce, Fenner & Smith Inc. and Kidder, Peabody &
Co. (jointly); Halsey, Stuart & Co., Inc.; White, Weld
& Co.; First Boston Corp.; Blyth & Co., Inc.

Service

150,000

writer—To be determined by
competitive bidding. Pre¬
vious bidders included
Halsey, Stuart & Co.

2nd

April 19,

(10/18)

(12/7)

rent

ers

of

Offices—Newark,

—

firm's stock would be

Gabriel

expected.

Jan. 4, 1960 it was reported that this
subsidiary of The
Southern Co., plans to sell
$5,000,000 of 30-year bonds.
Office—75 North Pace
Blvd.,

River, N. J. Underwriter—None.

bonds

is

foundation garments. Underwriter—To be
named.

July 17, with rights to expire Aug. 17. Price—About $22
per share. Proceeds—To increase capital. Office—Toms

sue

stock

common

Co.

registration statement

for payment of a 66%% stock dividend and sale of 20,000
new shares of common
(par $5) to stockholders on the

was

of

(Win.) & Co., Inc.
April 19, 1961 it was reported that this subsidiary of
Essex-Universal Corp., plans to sell about
200,000 com¬
mon shares.
Business—Manufactures and sells women's

Inc.

Power &

'

'

,

Gluckin

March 22, 1961 it was reported that stockholders voted
on this date to increase the authorized stock
to provide

Florida

'

'

29,

to be

Office—619 W. 54th Street, New York
City. Underwriter—McClane & Co., Inc., 26 Broadway,
York City (managing).

May 11, 1961, it

City.

(jointly);
Corp.; Morgan Stanley & Co.; Halsey, Stuart
Inc.; Equitable Securities Corp., Eastman Dillon,
Union Securities & Co.
(jointly). Previous bidders for
preferred were First Boston Corp., Lehman
Brothers,
Morgan Stanley & Co.; Eastman Dillon, Union Securities
& Co.; and Equitable
Securities Corp. Bids—Expected
&

New

new

offer

First Boston

working capital.

one

New York

Underwriters

share. Proceeds—For the production of TV and mo¬
films, the reduction of indebtedness, and for

basis of

to

To be determined
by competitive bid¬
ding. Previous bidders for bonds included Harriman
Ripley & Co., Inc.; Lehman Brothers; Blyth & Co.,
Inc.,
Kidder, Peabody & Co., and Shields & Co.

reported that the Federal Internal

Bank of

expects

to issue
$15,500,000 of 30-year first mortgage
bonds, and $8,000,000 of new preferred stock.
Proceed§^For
construction, plant modernization or refunding of
outstanding debt. Office—Electric Bldg., Atlanta 3, Ga.

tion picture

National

Corp.,

mission

March 8, 1961 it was reported that this
company plans
a full filing covering
100,000 common shares. Price—$5
per

Electronics

1960 this subsidiary of the Southern
Co.,
plied to the Georgia Public Service Commission for

Office—Pittsburgh, Pa.

Films,

&

Georgia Power Co.
Dec.

Inc.

shortly.

Florida

J., and Buena Vista, Va. Underwriter—Sandkuhl and f
Company, Newark, N. J., and New York City.

covering this "centennial-type" fund will be filed with
the

of

N.

had granted this fund's application for

expected

of

shares

tax free exchange of shares for Corporate
is

—

reported that this subsidiary of Gen¬

Georgia Bonded Fibers, Inc.
Sept. 14, 1960 it was reported that registration

Underwriter—To be named.

a

Telephone

both

The manufacturer of electronic
equipment, particularly
marine, airborne and underwater devices. Proceeds—For
expansion. Office—1404 111 Street, College Point, N. Y.

It

was

Office

Edo Coqp.
March 21, 1961 it was reported that this
company plans
the issuance and sale of
$2,000,000 of bonds. Business—

Securities.

Office

—

pipeline will be financed in part by the sale of bonds
and that it will be in operation by late 1961. Office—■
Tulsa, Okla. Underwriters—First Boston Corp.; Morgan
Stanley & Co.; Carl M. Loeb, Rhoades & Co.

was

1961.

$15,000,000 of bonds in November. Office
610
Morgan St., Tampa, Fla. Underwriters—Stone &
Webster
Securities Corp., and
Paine, Webber, Jackson & Curtis,

Louisiana to Mississippi, Alabama, Georgia and the
It is expected that the multi-million dollar

1961 it

Telephone Co.

about

Street, Wilmington,

Empire Fund,

December

be

Feb. 8, 1961 it

Carolinas.

March 8,

To

—

General

out¬

Pipeline Co.
April 17, 1961 it was reported that this firm, recently
formed by eight major oil
companies, plans to build a
1,100 mile liquified petroleum gas pipeline from Texas

Gas

reported that this company plans
to sell $40,000,000 of first mortgage bonds in August.
Office—212 West Michigan Ave., Jackson, Mich. Under¬
writer
To
be
determined by competitive bidding.
Probable bidders Halsey, Stuart & Co. Inc.; White, Weld
& Co. and Shields & Co. (jointly); Harriman Ripley &
Co., and First Boston Corp. (jointly); Morgan Stanley
& Co.
Bids—Expected to be received about Aug. 15.
Information

of

Dixie

First

13, 1961 it was reported the company will sell
about $10,000,000 additional common stock in late 1961.
Proceeds—For expansion purposes. Office—215 N. Front
Commonwealth

share for each

one

number

Brothers; First Boston Corp.; White, Weld & Co.,
(jointly); Kidder, Peabody & Co., and
Merrill Lynch, Pierce, Fenner & Smith Inc.
(jointly).

Co.

March

Jan.

the

and Shields & Co.

be

determined by competitive bidding. Probable bidders on
debentures:
Halsey, Stuart & Co. Inc.; Morgan

Columbus

l

approval of

the

Shields

Market

Revenue Service

April 24, 1961 it was reported that this company is con¬
sidering the sale of either $20,000,000 of debentures, or
$25,000,000 of common stock in the fall. Office—120 East
41st

the basis of

on

man

16, 1961 it was stated in the company's 1960 annual
report that this utility plans to sell both first mortgage
stock

on

Based

Del.
Underwriter—•
To
be determined
by competitive bidding.
Probable
bidders: Carl M. Loeb, Rhoades &
Co., New York; W. C.
Langley & Co., and Union Securities Co. (jointly); Leh¬

Cincinnati Gas & Electric Co.

common

shares

—600

Co.,

Feb.

bonds and

held.

sisted of 232,520 shares offered at $35 a share to holders
of record June 6, on the basis of one share" for each

sue of bonds on April 21,
1959 was bid on by Kidder,
Peabody & Co. and Rauscher, Pierce & Co., Inc. (joint¬
ly); Salomon Bros. & Hutzler, and Merrill Lynch, Pierce,

Halsey,

shares

standing on Sept. 30, 1960, the sale would involve about
418,536 shares valued at about $14,600,000.
The last of¬
fering of common to stockholders in June, 1956, con¬

Feb.

Fenner & Smith Inc.
(jointly);
Inc.; White, Weld & Co.

stockholders first

mon

in

Monica

Blvd., Santa Monica, Qalif. Under¬
determined by competitive
bidding.
Probable bidders:
Halsey, Stuart & Co. Inc.; First Boston
Corp. and Equitable Securities
Corp. (jointly); White,
Weld & Co. and
Kidder, Peabody & Co. (jointly); Paine,
Webber, Jackson & Curtis, and Stone & Webster Securities Corp.

Power & Light Co.
7, 1961 it was reported that the company has
postponed until early 1962 its plan to issue additional
common stock.
The offering would be made to com¬

Plaza,

$20,000,000 of bonds
Santa

writers

Delaware

Underwriter—To be named.

Louisiana

Central

about
2020

—

Feb.

share. Busi¬

Rockefeller

—

Ave., New York City. Underwriter—Goldman,
Sachs & Co., New York City (managing).

Jan.

61

-

1,

:

r*

Continued

on

page

62

if

1)

I

,

J

62

The Commercial and Financial Chronicle

(2658)

'0

Continued

'

V

4

Industrial

ij"?!

Gauge & Instrument Co.

reported that 100,000 shares of com¬
filed. Proceeds — Expansion of the

Oct. 5, 1960 it was
mon
stock will Joe

business, and for the manufacture of a new product by a
subsidiary. Office—1947 Broadway, Bronx, N. Y. Under¬

■y

writers—R.

F.

Dowd

incernationai

Inc.

Co.

&

Parts

Corp.

?4>

I

111. Underwriter—H. M. Byllesby & Co., Chicago

cago,

pi I

(managing).

'?:!

,

■■

,

Inc.

,

John's

Bargain Stores Corp.

May 17, 1961 it was reported that this company plans to
file a registration statement shortly covering an undis¬
closed number of common shares. Business—The opera¬

f
■;

(

V

:

Department Stores,

May 24, 1961, Murray D. Safanie, chairman, stated that
the company is considering the issuance of about $6,00,000 of convertible subordinated
debentures, late this
summer. Office—111 Eighth Ave.. New York City.

I

;

,v ;

Interstate

'J»f

household
goods. Office—1200 Zerega Ave., Bronx, N. Y. Under¬
tion

f':!'

of

chain

a

discount

of

selling

stores

writer—To be named.
n.

•] *

id

i

Kansas

.

Power &

Light Co.

15, 1961 it was reported that this company is
considering the issuance of $10,000,000 to $15,000,000 of
bonds in the third or fourth qarter of 1961. Proceeds—
March

Underwriter—First Boston

Laclede Gas Co.

*'Y.

its

securities

IS

•

construction

program,

but the current feel¬

until

May

1962. Office

—

1017 Olive St., St.

Louis, Mo.

til':
K!

1961-65

ing is that it will not be necessary to turn to long-term

fi?
,

15, 1960 Mr. L. A. Horton, Treasurer, reported

utility will need to raise $33,000,000 externally for

the

schedule

Corp.

reported that this corporation will
initial public financing for late 1961 or
1962. Business—The corporation manufac¬

1961

9,

it

its

some

time in

tures

Scott

was

outboard

motors and

McCulloch chain saws.

Century Boulevard, Los Angeles 45,

West

Office—6101

Calif.

Industries

Macrose

*!■

■

i1}.
Ml) I

May 2, 1961 it

was

reported that this company, formerly
& Trim Co., Inc., plans a full

Macrose. Lumber

named

dJ

filing of about 500,000 common shares (par $1). Busi¬
ness—The company owns a chain of lumber yards on
Long Island. Office—2060 Jericho Turnpike, New Hyde
ParK, L. I., N. Y. Underwriter—To be named. Offering—
Expected in July.

'■(

Masters
Jan.

:\

6,

38th Avenue,

corporation la
Business—The
Office—135-21

Flushing 54, L. I., N. Y.

Edison Co.
reported that this subsidiary of
General Public Utilities Corp., plans to sell about $10,000,000 of first mortgage bonds and $5,000,000 of deben¬
tures in August or September. Office — 2800 Pottsville
Pike, Muhlenberg Township, Berks County, Pa. Under¬
writers
To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; White, Weld
& Co.; Kidder, Peabody & Co. and Drexel & Co. (joint¬
ly); Blyth & Co., Inc.
Metropolitan
Feb.
1, 1961 it

M
'J.l

i,

L

April 12, 1961 it was reported that this company plans
to sell 100,000 common shares. Price — $5 per share.
Business

—

Food

distribution.

Proceeds

—

For

working

Y.
Underwriters—Brand, Grumet & Siegel, and Kesselman
& Co., Inc., New York City
(managing).
capital.

"It.

Mortgage^ &

1960,

.

Transmission Co.

Monterey Gas

April 24, 1961 it was reported that Humble Oil & Refin¬
ing Co., a subsidiary of Standard Oil Co. of New Jersey,
and Lehman Brothers, had formed this new company
to

Office

Second Ave., Brooklyn,

45-10

—

N.

the

change of 400,000 shares and the lease of each others jet
planes during thier respective busiest seasons. The CAB
later disapproved this plan and ordered the airlines to
themselves

divest

of

the stock.

Price

—

About

$20 per

loan, and
other corporate purposes. Office—Miami International
Airport, Miahii 59, Fla. Underwriter—Merrill Lynch,
Pierce, Fenner & Smith Inc., New York City (man¬
National

Hospital Supply Co., Inc.
was reported that a "Reg. A" will be filed
shortly covering 100,000 shares of common stock. Price
—$3 per share.
Business—The distribution of medical
equipment. Office—38 Park Row, New York City. Un¬
derwriter
Edward Lewis Co. Inc., New York City
(managing).
May 1, 1961 it

—

New
Jan

was

bidding.

Probable

—

To be determined

bidders:

Halsey,

by competitive
Stuart & Co. Inc.;

Kuhn, Loeb & Co.; Equitable Securities Corp., and Blair
& Co. (jointly); Merrill Lynch, Pierce, Fenner & Smith
Inc., Kidder, Peabody & Co., and White, Weld & Co.
(jointly); First Boston Corp.; Lehman Brothers. Offer¬
ing—Expected in October.
Northern

Natural

Gas Co.

reported that it expects
$80,000,000 of new money in 1961. Present
plans are for issuance of about $30,000,000 of debentures
by mid-year and an additional $30,000,000 to $35,000,000
of debentures by year-end. It is also expected that some
$12,000,000 to $15,000,000 of common stock will be sold
to stockholders through subscription rights in Septem¬
15,

1961,

the

company

to raise about

or

October. Proceeds—For construction. Office—2223

Dodge St., Omaha 1, Neb. Underwriter
New York City (managing).
Northern States Power Co.

Jan. 10,
sell

1961 it

was

$20,000,000

Offices—15 So.

—

Blyth & Co.,

(8/8)

of

bonds
Salle

in the

third quarter

Street, Chicago 4, 111.;

90%

over

of the outstanding shares, exercised

rights to subscribe to its pro
The last sale of debentures
Feb.
Inc.

17, 1960 was
The

by

Pacific

Telephone

on

underwritten by Halsey Stuart & Co.,
competitive bid on issue was made

other

one

lis

rata share of the offering.

by Morgan Stanley & Co.
Pan American

Inc.

World Airways,

May 8, 1961 it was reported that the CAB ordered this
company to sell its 400,000 share holdings of National
Airlines, Inc., and to file a plan of sale with the board
within 30 days. The stock was originally obtained under
a Sept. 9, 1958 agreement under which the two carriers
agreed to a share-for-share exchange of 400,000 shares
and the lease of each other's jet planes during their
respective busiest seasons.
this

The CAB later disapproved

plan and ordered the airlines to divest themselves
Office—135 East 42nd St., New York City.

of the stock.

Underwriter—To be named.
Panhandle

Eastern

Pipe Line Co.

March

8, 1961 it was reported that this company exr
pects to sell about $72,000,000 of debentures in Septem¬
ber, subject to FPC approval of its construction program.
New York City. Underwriters—

Office—120 Broadway,
Merrill

Lynch, Pierce, Fenner & Smith Inc., and Kickier

Peabody & Co., both of New York City

Pennsylvania

(managing),

Power & Light Co.

April 11, 1961 it was stated in the 1960 annual report
that this utility expects to spend $140,000,000 on new
construction in the 1961 to 1965 period, of which about
$56,000,000 will have to be raised through the sale of
securities.
However, the company now sees no necessity
for the sale of equity securities, but expects to convert
its

present $35,000,000 of bank loans to long-term debt

when securities market conditions

—9th and Hamilton
ers—To be

privately.
1945

•

named.

are

favorable.

Streets, Allentown, Pa.

Office

Underwrit¬

The last four bond issues

The last public offering of bonds

sold!

were

on

Oct. 4,

underwritten by Smith, Barney & Co.; First
Corp.; Dillon, Read & Co., Inc., and associates.

was

Penthouse

Club, Inc.

June

1, 1961 it was reported that this company plans to
issue 60,000 common shares. Price—$5. Business—The
operation of dining clubs. Prdfceeds—Fb¥ Expansion and
working capital. Office—15th and Locust St., Philadel¬
phia. Underwriter—Valley Forge Securities Co., Phila¬
delphia. Offering—Expected in late June.
Service Co. of Colorado

Dec.

2, 1960, W. D. Virtue, treasurer, stated that com¬
pany plans the sale of about $20,000,000 of common stock
to be offered stockholders through subscription rights
in mid-1961. Proceeds—For expansion. Office—900 15th
St., Denver, Colo. Underwriter — Last equity financing
handled

on

a

negotiated basis by First Boston Corp.

Redwing Carriers, Inc.
May 23, 1961 it was reported that this company plans
to file a plan with the ICC covering a proposed sale by
certain stockholders of $1,500,000 to $2,000,000 of com¬
mon stock. Business—A
truck, tank car transporter. Pro¬
ceeds—For the selling stockholders. Office—Tampa, Fla.
Underwriter—Beil & Hough, Inc., St. Petersburgh, Fla.
Offering—Expected about mid-August.
Rochester Gas

&

Electric Corp.

(9/27)

Jan. 24, 1961 the company stated it plans to issue about

$15,000,000 of 30-year bonds in
For

September. Proceeds—

Underwriter

construction.

—

To

be

determined

by competitive bidding. Probable bidders: Halsey, Stuart
& Co. Inc.; Kidder, Peabody & Co., White, Weld & Co.
and Shields & Co. (jointly); Kuhn, Loeb & Co.; Salomon
Bros. &

reported that this company plans to

La

a

repay

Public

reported that this subsidiary of New
England Electric System plans to sell $20,000,000 of
first mortgage bonds. Office—441 Stuart St., Boston 16,

March

to

owns

England Power Co.

24, 1961 it

About 6-9 months after the
Northwest will sell debentures pub¬
portion of its debt. Office—140 New

Montgomery St., San Francisco, Calif. Underwriter—The
last offering of common stock to shareholders on Feb. 25,
1960 was not underwritten. However, A. T. & T., which

Boston

aging).

Thursday, June 15, 1961

sale, Pacific

licly

Gas Co., principal

for sale to United Fuel

supplier to other Columbia Gas System companies.
It
is expected that the pipeline will be financed in part by
public sale of bonds. Underwriter — Lehman Brothers,
New York City (managing).

.

Directors.

of

Board

stock

transport natural gas from southwest Texas to Alex¬

andria, La.,

ber

Co.

Food

Metropolitan

../y

Investment Corp.
Cecil Carbonell, Chairman, announced
that this company is preparing a "Reg. A" filing covering
150,000 shares of common stock.
Price — $2 per share.
Business—The company is engaged in "first ^mortgage
financing of residential and business properties in the
Florida Keys. Proceeds—To expand company's business.
Office—700 Duval Street, Key West, Fla.
Underwriter
—None.
•/; v.
L
;/ .■/,
12,

was

—

!

Monroe

Dec.

Mass. Underwriters

Inc.

1961 it was reported that this
contemplating its first public financing.
operation of a chain of discount houses.

Ki

public offering of securities, but the details
have not yet been decided upon. Office—Valdosta, Ga.
Underwriter—Harriman Ripley & Co., New York City.
a

share. Proceeds—To repay a $4,500,000 demand

McCulloch
Jan.

H

Construction Co.

proval

'

Nov.

Home

that

Ave., Topeka, Kan.

aging).

'

Modern

April 18, 1961 it was reported that this company is con¬

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¬

>h!!"}
\

writer—Ch'arles

Corp., New York City (man¬

For construction. Office—800 Kansas

i

St., New Haven, .Conn.. Under¬
W. Scranton & Co., New Haven.

National Airlines, Inc.
May 8, 1961, it was reported that the CAB had approved
the company's plan to sell publicly 400,000 shares of
Pan American World Airway's Inc., subject to final ap¬

v«!r
.

Blake

Office—446

000.

sidering

April 17, 1961 it was reported that a registration will be
filed shortly covering an undisclosed number of out¬
standing common shares. Business-^Manufactures auto¬
mobile equipment and "Midas Mufflers." Office—Chi¬

»4\

.'•••

cently formed through a merger of Teleprinter Co., and
Grist Manufacturing Co., plans to sell about 400,000
shares of common stock to raise approximately $5,uuu,-

from page 61

.

.

of 1961.
15 So.

Hutzler, Eastman Dillon, Union Securities
Co.,
Equitable Securities Corp. (jointlv): Blyth & Co.,
Inc.; The First Boston Corp. Bids—To be received about
Sept. 27.

and

Fifth

PiJ
.if

<Yl\
'

i

u

■

?;

,'j ft:

I'

Mississippi Power Co.

i!l

Jan. 4,

!|i

it y

ii'

■

51
.'8
,yii
,

.if*

!'i
ii

it

was

and

(9/28)

reported that this subsidiary of The

Southern Co., plans to sell

$5,000,000

of

publicly $5,000,000 of 30-year
preferred stock (par $100).

Proceeds—For construction

and expansion. Office—2500
Gulfport, Miss. Underwriter—To be deter¬
mined by competitive bidding.
Previous bidders for
bonds were Eastman Dillon, Union Securities & Co., and
Equitable Securities Corp. (jointly); Halsey, Stuart &
Co. Inc.; Merrill Lynch, Pierce, Fenner & Smith Inc.
Previous bidders for preferred stock included Halsey,
Stuart & Co. Inc.; Eastman Dillon, Union Securities St
Co., and Equitable Securities Corp. (jointly). Bids—Ex¬
pected to be received on Sept. 28.

St.,

Utilities

Co.

April 11, 1961 it
to

was reported that this company
sell about 50,000 additional common shares to
in September or October on a l-for-10

holders

basis.

}j

plans
stock¬
rights

Office—400 Broadway, Cape Girardeau, Mo. Un¬
named. The last five rights offerings

to

stockholders

&

Co., St. Louis.

were

Mite Corp.
April 27, 1961 it

I

►?

*


>

>.i

t

Northwestern

Public

Service Co.

April 3, 1961 the company applied to the FPC for permisison to issue up to $4,000,000 of first mortgage bonds.
The company stated that it would sell the full amount if
it concurrently redeemed all outstanding $1,500,000 of
57/8% bonds, otherwise only $2,500,000 of the new

bonds

Underwriter—To
be determined by competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc., and Kidder, Peabody & Co.
would be issued.

Office—Huron, S. D.

Offering—Expected in September.
Pacific

Lighting Corp.
3, 1961 it was reported by Paul A. Miller, Treas¬
urer that the
company will probably go to the market
for $30,000,000 to $50,000,000 of new financing in 1961
and that it probably would not be a common stock offer¬
ing.
Office—600 California Street, San Francisco 8,

Jan.

Calif.

\

Pacific

derwriter—To be
rv
/>

Street, Minneapolis 2, Minn.; Ill Broadway, New
6, N. Y.
Underwriters — To be determined by
competitive bidding.
Probable bidders: Halsey, Stuart
& Co. Inc.; Merrill Lynch, Pierce, Fenner & Smith, Inc.;
Kidder, Peabody & Co., and White, Weld & Co. (jointly);
First Boston Corp.
and Blyth & Co., Inc.
(jointly).
Bids—Expected to be received on Aug. 8.
;
York

Scully Inc.
May 31, 1961 it was reported that a "Reg. A" will be filed
shortly covering 100,000 shares of common stock. Price—
$3 per share. Business — The manufacture and sale of
precision recording equipment.
Proceeds — For expan¬
sion.

Office—Bridgeport, Conn. Underwriter—Moran &

Co., Newark, N. J.
Sel-rex Corp.
May 16, 1961 it was reported that this firm is contem¬
plating its first public financing.
Business — Precious
metals manufacturing.
Office—75 River Road, Nutley,
N. J.

Underwriter—To be named.

•

Sjostrom Automations, Inc.
May 31, 1961 it was reported that a full filing will be
made shortly covering 70,000 shares of class A common
stock.
sale

Price—$4. Business—The design, manufacture and
electronically controlled automation devices.

of

Proceeds—For general corporate purposes.

Raton, Fla.

Underwriter—J. I.

Magaril

Office—Boca

Co.,

Inc.,

New

York.
Southern California

May

23,

1961

it

was

Edison Co.

reported

that

this

company

will

need

Missouri

T
a*

<;r
■'{*

1961

bonds

14th

>

<r

Micro-Lectric, Inc.
May 23, 1961 it was reported that this company plans
to file a registration statement shortly covering 55,000
shares of common stock (par 10 cents). Price—$4 per
share. Business—The manufacture and design of poten¬
tiometers used in computers, ground control guidance
systems and missiles. Proceeds—For general corporate
purposes. Office—Roosevelt, L. I., N. Y. Underwriter—
Underhill Securities Corp., 19 Rector St., New York City.

underwritten by

was

Edward D. Jones

reported that this

company,

re¬

Telephone & Telegraph Co.
March 24, 1961 stockholders of this A. T. & T. subsidiary
approved a plan to form a new company to be known as
the Pacific Northwest Bell Telephone Co. The new con¬
cern

cific

business and properties of the Pa¬
Telephone-Northwest division which operates in

will acquire the

Washington, Oregon, and Idaho. All of the stock of the
new company will be owned by Pacific Telephone but
"as soon as practicable" it will be offered for sale to
Pacific Telephone stockholders at a price to be fixed by

an
additional $35,000,000 to finance its 1961 con¬
struction program. No decision has yet been made as to
whether the funds will be raised by bank

loans,

or

the

sale of preferred stock or bonds. Office—601 West Fifth

St., Los Angeles, Calif. Underwriter—To be named. The
last sale of preferred stock on May 12, 1948 was handled
a negotiated basis
by First Boston Corp., New York
City and associates. The last sale of bonds in April 1961
was
bid on by Blyth & Co.; First Boston
Corp., Dean
Witter & Co. (jointly); Halsey, Stuart & Co.
Inc.; Kuhn,
Loeb & Co., Equitable Securities Corp. (jointly).
on

Volume 193

Southern

Number

6064

.

.

The Commercial and Financial Chronicle

.

Natural Gas Co.

Merrill

Oct.

28, 1960 it was reported by Mr. Loren Fitch, com¬
pany comptroller, that the utility is contemplating the
sale of $35,000,000 of 20-year first mortgage bonds some¬
time in 1961, with the precise timing
depending on
conditions.

market

Proceeds

To

—

retire

bank

•

loans.

Building, Birmingham, Ala. Underwriter
determined by competitive bidding.
Probable
Halsey, Stuart & Co. Inc.; First Boston Corp.;
Blyth & Co. and Kidder, Peabody & Co. (jointly).
be

Southern

Railway Co.

1960

21,

stockholders

the

approved

issuance

$33,000,000 of new bonds. The issuance of

of

unspeci¬

an

fied amount of additional bonds for other purchases was
also approved. Proceeds — For general corporate pur¬

including the possible acquisition ^of Central of

poses,

Ry. Office—Washington, D. C. Underwriter—
Halsey,. Stuart & Co. Inc., will head a group that will
bid on the bonds.
T
Georgia

,l'v

/

-

'

4••

May 10, 1961 it was reported that this company plans
spend, over $80,000,000 on new construction in the
three years. No financing is planned this year but

Feb.

No.

Dale

1960

June 29,

on

handled

by Halsey, Stuart & Co. Inc., New
Other competitive bidders were Merrill
Lynch, Pierce, Fenner & Smith Inc.; Goldman, Sachs
& Co.; Stone & Webster Securities Corp. The last sale
was

of

stock

Feb.

on

13,

1960

Stone & Webster Securities Corp.
•

Tennessee

Valley Authority

May 24, 1961, it

(6/28)

Bank, Morgan Guaranty Trust Co. of New York, Chemi¬
cal Bank New York Trust Co., C. J. Devine & Co., all
of New York City and the Northern Trust Co., Chicago;
Blyth & Co., Inc.; Halsey, Stuart & Co. Inc.; The First
Boston Corp. Bids—To be received in New York City on
June 28. Information Meeting—June 21, 3 p.m. (EDST)
Bankers
Texas

Jan. 11,
sell

1961 it

was

Corp.

Trinity Funding Corp.
will

common

ness—A

be

company.

TrunkHne Gas
March

1961

8,

it

Office

ers

that

ties with

Berlant Auto-

their

Corp.

tax

Common Offered
to

June

a

fering circular, D. E. Liederman
& Co., Inc., 80 Pine St., New York
City,
publicly
offered
90,000
shares of Berlant Auto - Monitor
Corp.

common

stock

share.

Proceeds

will

the
of

company

loans,

$2

at
be

per

by

used

the repayment
equipment, plant

for

new

expansion, and working capital..
The company is located at 8525
Stellar Drive, Culver City, Calif.

Ohio Franklin

Fund, Inc.
Stock Offered
Pursuant to

a

June

6,

1961

pros¬

The
Ohio
Company,
Columbus, Ohio, publicly offered
pectus,

common shares
fund in exchange for

1,000,000
new

of

acceptable

of

this

blocks

with

securities,

a

minimum market value of $10,000.

The
sbmre

exchange
of

Ohio

is

based

Franklin

on
one
for each

$20 of market value of securities
uepoiiteu,

less

compensation

to

Fund

Ohio Franklin Fund of 51 North

15, Ohio, is
diversified open-end investment

High
a

St.,-Columbus

company with redeemable shares,
which was organized on Jan. 24,

1961. Its purpose

is to provide In¬

vestors holding acceptable




will

realizing

make

any

offerings of its shares, un¬

authorized

less

not

by

the

SEC.

1961

Telephone

it

securi¬

com¬

Inc. Stock Offered
June

15, 1961 pro¬

Bruno - Lenchner,
Inc.,
Pittsburgh, Pa;, and Amos Treat
& Co., Inc., New York City, pub¬
licly offered 75,000 common shares
of Youngwood Electronic Metals,
Inc., at $4 per share. Proceeds will
be used by the company to pur¬
chase additional equipment, erect
a
new
building and
a
testing
laboratory, increase
advertising,
spectus,

repay

loans, expand research and

for other corporate purposes.
The company of 204

North Fifth

design, development and man¬
ufacture
of
precision
parts
or
stampings used primarily in the
semi-conductor industry.

one

ness

share

new

for

market

current

bonds.

Office

Supply Corp.

lesser

raise

each

six

shares

held.

feity. Officers

to

an

offering

circular

York

to

19,

sell

the

upon

of this firm's com¬
stock at $7 per share.
Net

42,800 shares
mon

the

estimated at $210,000,
by the company for
repayment of debt, the pur¬
be

chase

used

of

was

additional

and

inventory,
capital.
.

and

& Light Co.
reported that this company plans

about

Robert

W.

Baird

Wisconsin

that

&

12, 1960 it was reported in a company prospectus
undetermined amount of capital stock or bonds
Proceeds—For the repayment

an

will be sold in 1961-1962.
of

bank

short-term

Office

tions.

Wis.

—

loans

Sheridan

incurred

(managing).

for

and

N. Meadow^Secretary;

H.

Mur¬

addi¬

property

Road, Lake

Springs

Underwriter—The Milwaukee

Geneva,

Co., Milwaukee, Wis.

i

products. Au¬

consists of 200,000

NOTICES

DIVIDEND

shhtllllllhihiiiiittttwmuwuttlulllimmiuttllultlhiiiiihiiiiiiiiiiiiihhiiiiiiiiiiiiiiiihilj

12^c)

(par

of

|
|

The

a

g

|

quarterly dividend of thirty-one

j|

|

cents

the

j

|

common

shares of the Association

J

|

payable July 15, 1961 to share-

|

holders of record at the close of

j
j

|

business June 27, 1961.

g

has
in

D.

admitted to

been

Heaton

W.

partnership
&

Co.,

Central Avenue.
DIVIDEND

| and Electric Association 1

the completion of this sale.

SARfASOTA, Fla.—James C. Goar

working!

I New England Gas

80,000 will be outstanding

machinery

for

(jointly).

Co., Inc., Milwaukee

Southern Gas Co.

Heaton Admits Partner

proceeds,
will

Power

it

1961

$6,500,000 of preferred stock in the third
Proceeds—For expansion/ Underwriters
—The last sale of preferred stock in May, 1958 was
handled
by Smith, Barney &
Co., New York and

shares

common

which

City, publicly offered

117

|

COMMON DIVIDEND ..O. 57

Trustees

(31e)

have

declared

share

per

on

b. A. Johnson, Treasurer

|

NOTICE

|

§

f

June S, 1961

^HmaM^mMMdieMaimimttiiaittinttiuuiwmuinuniiimiiiiijnmiiniiiijuujijnj^g

CONTINENTAL

COMPANY

BAKING

Preferred Dividend No. 90
The Board of Directors has declared this day a
of

$1.37|/2

per

share

on

of business

Dividend

stockholders of record at the close

June 16, 1961.

The Board of Directors of

The Board of Directors has declared

this day

regular quarterly

of 55^ per share
Stock, payable July 1, 1961, to
holders

of

record

of

such

Corporation at its

meeting held
a

dividend, for the second quarter of the year 1961,

outstanding Common

Central

and South West

Common Dividend No. 65

the

Common Stock

quarterly dividend

the outstanding $5.50 dividend Preferred

Stock, payable july 1, 1961, to

June 8, 1961, de¬

clared
of

a

on

regular quarterly dividend

twenty-five and one-half cents

(25Mc)

per

share

on

the Corpo¬

ration's Common Stock. This

divi¬

dend is

stock
ness

at

the

close

of bush

payable August 31,1961, to
stockholders of record July 31,1961.

June 16, 1961.

The stock transfer books
not

Powers, President; Jonas

Vice-President; Allan
Treasurer;

on

quarter of 1961.

stock

thorized

1961, Lapham & Co.,
Cortlandt
Investing
Corp.,

are

Gabriel

Applestein,

Based

price of the

over

Wisconsin
Jan.

ufacture of finished
Pursuant

Company,

Senter,

ray

Hudson

(9/8)

will

Leroy J. scheuerman
.

New York

60

steel, and resells it in job lots to
customers who use it in the man¬

Common Sold

from offices at 500 Fifth Av¬

enue,

—

company's stock, the sale
$45,000,000. Proceeds—To help finance
the company's 1961, $105,000,000 expansion program. Of¬
fice—60 Hudson St., New York. Underwriters—To be
named. The last rights offering in July 1955, was under¬
written by Kuhn, Loeb & Co.; Lehman Brothers; Clark,
Dodge & Co., and Salomon Brothers & Hutzler, New
York. Registration—Expected about July 12.
would

warehouses

Allan, Lee, Powers Opens
&

or

13, 1961 it was reported that stockholders are to
vote Aug. 2 on increasing the authorized common stock
from 7,000,000 to 10,000,000 shares to provide for sale
of about 1,070,000 shares to stockholders on the basis of

Miami, Fla., purchases and
aluminum, and to a
extent copper and stainless

Ave.,

on

Powers

debentures

ic Western Union Telegraph Co.

York

x 1VAL AVAU/

the

Lee,

of

Florida Metal of 3900 N.W. 32nd

T^lnT'lfl^ IVTpl^l

St., Youngwood, Pa., is engaged in

Allan,

stock.

Dec.

dated May 22,

Youngwood
Electronic Metals,
a

company, Western Union Inter¬
The plan provides for the issuance by

June

Co.

and

to

organized

Street, New York City. Underwriter—American Secu¬
rities Corp. (managing).

was

New

Pursuant

newly

a

500,000

Distributing Corp.

Inc. is conducting a securities busi¬

the Dealer Manager. f
•

without

loss

or

the

Of¬

1961

15,

method of diversifying

purposes

further
Pursuant

Coast

11,

for Federal income
at the time of the
exchange. After the initial issue,

gain

Monitor

a

holdings

Telegraph Co.

of the outstanding class A stock of WUI.
Then
Western Union Telegraph woud purchase 250,000 shares
of class B stock for $100,000 and WUI would sell
$4,-

stated in the 1960 annual report
that the company plans to spend $12,000,000 for new
construction in 1961, most of which is expected to be
raised by the sale of securities. Office—1714 California
St., Everett, Wash. Underwriter—To be named. The last
sale of bonds and preferred stock in May and July 1960

or preferred stock in September.
Broadway, New York City. Underwriters—

Office—120

Union

In addition, American Securities
Corp., New
City, would purchase from Western Union Inter¬
national about 133,000 additional shares of class A stock
giving American Securities ownership of approximately

Dillon, Union Securities & Co.; Salomon Broth¬
Hutzler; Goldman, Sachs & Co. Bids—To be re¬
on Dec. 5j 1961.

West

April

of bonds

$50,000,000

&

ceived

this subsidiary of
Co., expects to sell about

reported

of

Eastman

Pro¬

—

Co.
was

Panhandle Eastern Pipe Line

Western

graph Co. in units of $100 of debentures and 10 shares

—

was

and industrial finance

Township,

York

Virginia Electric & Power Co. (12/5)
23, -1961, the company announced plans to sell
$15,000,000 of securities, possibly bonds or debentures
Office
Richmond 9, Va. Underwriters — To be deter¬
mined by competitive bidding. Probable bidders: Halsey
Stuart & Co. Inc.; Stone & Webster Securities Corp.:

.

For additional working capital.

Hempfield

Underwriters—To be deter¬

I

filed

consumer

—

a

March

1107
Broadway, New York City. -Underwriter—Trinity Secu¬
rities Corp., 40 Exchange Place, New York City. Offer¬
ing—Expected in early July.
ceeds

Drive,

Western Union International of about
$4,000,000 of sub¬
ordinated debentures and 400,000 shares of class A stock
to be offered to stockholders of Western Union Tele¬

a

publishing.; Office—117 E. 31st Street, New
City. Underwriter—Allen & Co., New York City.

reported th$it a registration state¬
shortly covering 250,000 shares of
stock (par 10 cents). Price—$6 per share. Busi¬

1961 it

May 23,
ment

;

Hill

25%

zine

Underwriter—Dillon,* Read & Co., New York City.

Ky.

to

sidering the issuance of common stock. Business—Maga¬

reported that this company plans to

Cabin

800

Feb. 28, 1961 it was reported that the FCC has
approved

May 10, 1961 it was reported that this company is con¬

$10,800,000 to $15,000,000 of bonds in the third quar¬
of 1961.
Office—416 West Third Street, Owensboro,

ter

V

Transmission

—

the company's plan to transfer its Atlantic cable
system

Co.

Universal Publishing &

Co.

,

■

City.

Club, 120 Broadway, New York.

Gas

is

Power

bidding. Probable bidders: Halsey,
C. Langley & Co.; Lehman Broth¬
ers; Eastman Dillon, Union Securities & Co., and First
Boston Corp. (jointly); Harriman
Ripley & Co.; Kidder,
Peabody & Co, and White, Weld & Co. (jointly).
*

major petroleum and chemical research and
process development concern. Office—30 Algonquin Rd.,
Des Plaines, 111. Underwriter—To be named. The com¬
pany has never sold debentures before. However, the
last sale of common stock on Feb. 5, 1959 was handled
by Lehman Brothers, Smith, Barney & Co., and Merrill
Lynch, Pierce, Fenner & Smith Inc., all of New York
pany

Penn

mined by competitive
Stuart & Co. Inc.; W.

17,

"Compound X," will be produced. Business—The

body plans to sell $50,000,000 of bonds. Office—Knoxville, Tenn. Underwriters—To be determined by_ com¬
petitive bidding. Probable bidders: The Chase Manhattan

at

Office

major field which the company would not identify. No
decision has been made on whether the product, named

reported that this U. S. Government

was

Products

on
Sept.
Inc., New

10,

Westmoreland County, Pa.

1961 it was reported that this company may
require financing either through bank borrowings or the
sale of debentures in order to further expansion in a

through

made

was

Oil

Co.,

1961, J. Lee Rice, Jr., President of Allegheny
System, Inc., parent company, stated that West
Penn expects to sell about
$25,000,000 of bonds in 1962.

term loan.

Universal
Jan.

common

by Blyth &

Power

Ripley & Co., Inc., New York and associates.

City.

common

bonds to replace

63

City.

national, Inc.

of

last sale of

underwritten

was

West
Feb.

Office—400 Main St., East Hart¬
ford, Conn. Underwriter—To be named. The company
has never issued bonds, but its last offering of preferred
stock on Sept. 17, 1956 was underwritten by Harriman

issue bonds or common stock.
Mabry Hwy., Tampa, Fla. Under¬

writers—To be named. The last sale of bonds
York

(7/25)

of $50,000,000

issuance

seven-year

1962 the company m^y

1960

York

15, 1961 it was reported that this company Is con¬

sidering

next

Office—111

Co.

United Aircraft Corp. \

..

to

in

Electric

16,

York.

»

Tampa Electric Co.

Union

done privately. The

was

May 24, 1961 it was reported that this company plans
to raise $30,000,000 of new money this summer by debt
financing or sale of preferred stock. Proceeds—For ex¬
pansion. Office—315 N. 12th Blvd., St. Louis 1, Mo. Un¬
derwriters—To be determined by competitive bidding.
Probable bidders: (Preferred) First Boston Corp.; Dillon
Read & Co. Inc.; Lehman Brothers; White, Weld & Co.;
Blyth & Co., Inc.; Kuhn, Loeb & Co.; Harriman Ripley
& Co., Inc., and Merrill Lynch, Pierce, Fenner & Smith
Inc. (Bonds) First Boston Corp.; Halsey, Stuart & Co.
Inc.; Blyth & Co., Inc., and Eastman Dillon, Union Se¬
curities & Co.
(jointly); Lehman Brothers and Bear,
Stearns & Co., (jointly). Bids—To be received on July
25 at 11 a.m. (EDSTK Information Meeting—July 24, 11
a.m.
(EDST) at Bankers Trust Co., 16 Wall St., New

bidders:

Nov.

Lynch, Pierce, Fenner & Smith Inc., and Kidder,

Peabody & Co., both of New York City (managing).

Office—Watts
—To

(2659)

be closed.

WILLIAM FISHER
TREASURER

HOSTESS

iiCAKE

:

June 7, 1961

Secretary

•

Central and South

West

corporation
Wilmington, Delaware

ll
■I

64

The Commercial and Financial Chronicle

(2660)

.

..

Thursday, June 15, 1961

/•

Bankers

vestment

%

'

Association,

meeting at Hayden Lake, Idaho.

WASHINGTON AND YOU

'%

Sept. 20-21, 1961 (Omaha, Neb.)
Investment Bankers'

Nebraska

Association annual field day.

behind-the-scenes interpretations

cackles a co.

''

I

,)

of

c

A'Vf

facilities are busy in
Nation's Capital these days.

power

the

t-

V'

While

making

>

'?»■
■

jr-vr-

K'

,

1'

not

for the Ken¬

favorable

some
of
been busy

have

assistants

blue-printing a large expansion,
in

the

ahead, of

years

govern¬

ment-sponsored power projects.

V-liD.
f

For those who

Nc
IV'

it'1.

A

i

Govern¬

the

dominate

will

power

this country, the
Department
of
Interior cur¬
rently is a bright area for them.
in

industry

There

are

socialists and

many

liberals in the govern¬

extreme

Washington, but for the

be

must

sources,
I how

and

ment,

in

eral
lean

hard

that

muscle

during

the

Administration)
used

well

the

influence in

exhibited

Kenneth

Holum,

presenting

C

and Power, is
Administration's

Water

for

tary

Secre¬

the

plans for a

public

great

power

i

-

•'if;

with

public

the

,v
:

'I

Dam

which

Commission

jurisdiction

(.'> f

the

under

Department of Agriculture, the
Army Corps of Engineers, and
the International Boundary and
Water

'

>■:,!

Electrifica¬

Rural

the

Administration

tion

$

In addition
Department's

Reclamation, there
Tennessee Valley Au¬

thority,

;*''!

has

Falcom

the

over

the Rio Grande River.

on

:

for the in¬
companies
are

spokesmen

vestor-owned

the

insisting that some of

pro¬

being tossed out at the
Department of Interior are abso¬

posals

socialism.

lute

efforts

right

Federal

Power

his

Excerpts from

policies.

power

address

"President

include:

Kennedy has declared it his pol¬

'■W

icy, and Secretary Udall has re¬
iterated
to

it

several

on

occasions,

provide leadersip directed to
development of a nation¬

the

wide
"l'f

"ft
t

high voltage,
transmission

rier

"This

would

common car¬

grid.

make

possible

enjoyment for all the people of
hi

'!f(i

economic development
high standards
of living

greater
and

which flow from abundant sup¬

plies of low-cost power.
It is
our
hope that such a grid sys¬
I!'

cart

tem

achieved

be

by

the

concerted efforts of all segments
:•!

the

of

utility

industry-public,

if!

"The

Federal

agencies

will

I:

struction
lines

studies

the

of

and

of

M
»

miles

become

step in this

the

are

way

fa¬

approves

Northwest

line,

Washington
will

If

Congress

Pacific

Pacific

-

stretching

long,

starts' pol¬

new

York

(Eisen¬
has

long

with investor-owned
It is because of

way

systems.

power

this tremendous investment that

States

United

the

has

today

a

greater electrical capacity than
Russia,
Japan,
England, West

Germany and Italy combined.
The

records

output

1862.

doubled

has

10

every

By 1970

the

that

show

industry

electrical

years

be around 200,000,-

expected to

The capacity can and prob¬

000.

been

reversed.' Secretary Udall

ably will be doubled during the

that

ward with

his

.

.

from

the

Adminis¬

Frontier

New

tration proposes to substantially
tax

the

-

free

competition

as

column

intended

is

to

the "behind the scene"

flect

ference

may

or

not

may

the "Chronicle's"

own

is

It

trick

no

all

at

to

Park

re¬

inter¬

the

out its loan programs "to

carry

in

Not all the

sum

REA

rural

the

electricity

areas."

would be loaned

in

cooperatives

fiscal

1962.

passed
the
first
Development Act in 1906,

Congress
Power

Republican President Theo¬
christened

Roosevelt

dore

first dam that

The

Arizona.

supplied power in
Tennessee Valley

Authority

(TVA)
the early

during
New

Deal

created
of the

was
years

President

under

Franklin D.

the

Roosevelt, but Sen¬

views.]

con¬

Barbara, Calif.
(Canada)

14-15,

St.

Lodge, Jasper, Alta.

Bond

first

(Minneapolis-

Morris

at

June

24,

Club

Golf

County

major

Kansas

(Kansas

City, Mo.)

sociation

summer

tal;

party—cocktail

outing June 16 at
Country Club.

Meadow-

brook

(New Jersey)
of New Jersey spring

June 16, 1961

Club

at

Upper

Montclair

Kennedy Ad¬

ministration

has

made

clear

that not only

aspects

policy

of
are

this aspect, but all
the Federal power
motivated by con¬

purposes,

•iy

;«



framed

in

of

Group

Oct.

Investment

(New York City)

30, 1961

(Cleveland, Ohio)

Ohio

Northern

Bankers

ment

Group

Valley Group of Investment

ing.

meet¬

ing.
13,

Sept.

(Denver, Colo.)

11)61

Mountain

Rocky

Bankers

ment

Group

Association

Golf

(Hollywood,

Bankers

Association

Hotel

Beach

at Hollywood

the

and

Diplomat

Hotel.

4-5, 1961 (New York City)
Association of
Mutual

National

annual mid¬

15th

Savings Banks
year

meeting.
(Seattle, Wash.)
of
Mutual

Association

National

Savings Banks 42nd annual con¬
ference at the Olympic Hotel.
Sept. 23-26, 1962 (Atlantic City,

Invest¬
meet¬

\N. J.)
American Bankers Association

an¬

nual convention.

14-15,

Sept.

(Cincinnati,

1961

Ohio)

April

27-May

1963

1,

(Boston,

Mass.)

Cincinnati

Municipal

Dealers

Group annual fall outing at Queen
City Club and Kenwood Country

Association

National

Banks

Savings
ference

at

43rd

the Hotel

Mutual

of

annual

con¬

Statler.

Club.

15-17, 1961

Sept.

Pacific

Country' Club.

1, 1961

26-Dec.

Nov.

May 6-9, 1962

of Invest¬

Association

Ky.)

(Louisville,

1961

26,

Ohio

Annual Convention

Association of
Chicago annual summer outing at
Nordic Hills Country Club.
Traders

ing.

City Security Traders As¬

party June 15 at Hotel Continen¬

&

Northwest

Attention Brokers

Group

of

and Dealers

Inc

MARKETS

TRADING

American Cement

<UF

In

describing President Ken¬
nedy's power policies, Assistant
Interior

Secretary Holum main¬
tains that they are not aimed at
investor-owned

utility

Botany Industries
W. L.

Maxson

Films

Official
Waste

com¬

King

panies.
"Our Federal

part

the

of

policy is

power

Kennedy

Adminis¬

Our

Carl Marks & Co. Inc.

New

York telephone number is

CAnal 6-3840

tration's overall program which
is

designed to get our economy

moving ahead at
the

structive

Minnesota

Fla.)

(Chicago, 111.)

1961

Security

Sept. 8, 1961

at

15-16,

outing

new program.

it

Paul)

Bankers Association annual meet¬

Women's

Syndicats annual outing at Nas¬
sau
Country Club, L. I., N. Y,

the White Bear Yacht
Club, White Bear Lake, Minn.
June 15; preceded by a cocktail
party
June
14 at the Nicollet
Hotel, Minneapolis.
June

(Minneapolis-St.

1961

24,

con¬

Schroeder.

ing.

(New York City)

23, 1961

outing

City Bond Club 40th annual

outing

national

annual

11th

Clubs

Bankers Association annual meet¬

(Boston)

Municipal

Minn.)

Paul,

Twin

1961

(Milwaukee,
i".

vention at the Hotel
Oct.

meeting at Jasper

annual

1961

National Association of Investment

Dec.

Bond

of TVA.

annual

House, Swampscott, Mass.

June

ator

George Norris, Republican
Nebraska, is called the father

Investment

of

Municipal Bond
Club
annual outing at the New Ocean

IN INVESTMENT FIELD

June

of

Group

Association

Bankers

Women's

to

meet the increased demands for

meeting.

(Pennsylvania)

Pennsylvania

Investment

pro¬

REA

Santa

June 23, 1961

coincide with

EVENTS

cheaper as a result
of tax advantages. Incidentally,
the
Administration
is
seeking
for

Western

Investment

of

Wis.)

Club, Convent Station, N. J.

power

$100,000,000

Group

at

June 22-25, 1961

COMING

companies.

duce

1961

19,

October 20-21,

Investment Dealers Association of

pretation from the nation's Capital
and

Group

Bankers Association
Oct.

(California)

Association

Bankers

as

electric

tax-paying

17-20, 1961

Canada

[This

Sleepy

(Milwaukee, Wis.)

17, 1961

California

socialistic.

is

at

Country Club.

Mich.)

(Detroit,

1961

Michigan

meeting at Rolling Rock, Pa.

June
The

State

to Los Angeles,
the

Springs Riviera Hotel.
17,

Investment

June

possible;"
Regardless
of
how
it
is
phrased, the proposed program
rapidly

outing

New

of

Oconomowop, Wis.

vigorous water and

development program

power

June

(New York City)

Association

annual

Hollow

Oct.

ing at Oconomowoc Country Club,

for¬

move

next decade.

and

Asso¬

Traders

Convention at the

Milwaukee Bond Club annual out¬

has

actions

will

he

a

.

policy pronounce¬

in

and

ment

shown

since

population is

our

of

in his power

16, 1961

Investment

The 'no

.

.

June

energy.

the
previous
hower) Administration

Our country has come a

a

believe

"I

t!r

".

low-cost

Obvious to All

tie-

principal Federal

under

now

thousand

$

electric

of

supplies

con¬

capacity

developments.

Southwest

it

large

between

power

vorable

•i-

Palm

creasing

play a positive role in this great

undertaking. This includes

j;r

here

Private Power's Record

to

Security

ciation Annual

of

private and cooperative.

\-U

National

icy

increase

pointed up the Administration's

(Palm Springs,

16-20, 1961

Calif.)

high-

are

1

the

an¬

Assistant Secretary Holum

with

American
Association, Mr. Holum

Addressing

;:
i

the

to
broaden
network.

call later? He's deep in research right now."

Nevertheless,
any
look at it, it is social¬

vocates.

out¬

are

Federal Power Plans

i")'
>

power

They

meeting.

1961 (San Francisco,

Calif.)

Oct.

"Could you

phrases

again for the pubilc power ad¬

its
Some

$

you

way

Association

American Bankers Association

spokes¬

some

that

statements

and

sounding.

deal

of

I-"

are

United

power.

Interior

the

sev¬

that

Government

Bureau
if

are

the

of

agencies

States

to

X!,«

there

Incidentally,
eral

!

V

■

uttered

has

Sulphur

Va.)

W.

nual convention.

Administration's

The

meeting.

(White

1961

Oct. 15-18,

m

of develop¬

asserts that better days are

r.r

'o6W

growth."

man

Association

13-15,

Bankers

vigorous

a

and

ment

ism.

expansion program.

support
program

Interior

the

Assistant

Department's

and

(Federal)

Investment

of

Southeastern Group of Investment

the

tain

minority. Nevertheless, they

have

Group

Springs,

be

of

years

the

past and they will in the future.

v

Oct.

Canada)

(Montreal,

1961

13,

Bankers

eight

Republican

can

the

during

Group

Canadian

de¬

you

past

(Eisenhower

years

Oct.

Surely the

system.

power

veloped

develop¬

resource

it supports the Fed¬

and

1961

10,

Canadian

Administration

Kennedy Administration to sus¬

:

I

(Toronto)
of
Investment
Bankers Association meeting.
Oct.

believes

Bank

Hotel.

Sheraton

it.
"The Kennedy

of

Women Annual Convention at the

The times demand

develop.

can

Association

National

genius

American

our

(Rochester, N. Y.)

Oct. 9-12 1961

our

our

Palace

Brown

Hotel.

natural re¬
technical know-

that

system

the

at

Governors

electric

best

the

good of our country they are in

>1'

.

it

of

Fall meeting of Board of

Firms,

system must be,

just the best in the world;

ment in

JVr

•

"Our electric
not

(Denver, Colo.)
Stock
Exchange

Oct. 9-10, 1961

Association

;.c

"

i

the

people.

can

of

Commodore.

Hotel

the Ameri¬

all

of

interest

best

A{

V

York City)

Association

Traders

New York annual dinner dance at

pol¬

in

administered

and

icies

Security

estab¬

marketing

Federal

lished

hope to see the

day when the Federal
ment

with

conformance

strict

been

headlines,

Administration,

nedy
his

In¬

the
has

Udall

some

always

.

of

Secretary

Stewart

terior

Si:

ownership

Federal

of

vocates

/}> r

;.,

7, 1961

Oct.

•

City)

Investment

•

WASHINGTON, D. C.—The ad¬

'V

3?
(New

G

,

of

Association meeting.

Bankers

f/1! {
V,
>'V

York

(New
Group

York

New

STOCKS AND BONDS

1961

4,

Oct.

from the nation's capital

rate

will

rate

be

meet

of

in

our

a

growth
better

domestic

wide obligations.
be

obvious, to

quire

more

a

abundant

that

so

position
and

...

all

accu¬

world¬

we

20 BROAD

SECURITIES SPECIALISTS
STREET

TEL: HANOVER 2-0050

NEW YORK 5, N. Y.

•

.

„

TELETYPE NY 1-971

t

LERNER & CO., INC.
Investment

to

It should

that

and

we

FOREIGN

re¬

ever-in-

10 Post Office
A

Telephone
HUbbard

Securities

Square, Boston 9, Mass.

2-1990

*

Teletype
BS 69