Full text of Commercial and Financial Chronicle : March 16, 1961, Vol. 193, No. 6038

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■

ESTABLISHED

''if

1839

Reg. U. S. Pat. Office

k
Volume

Number

193

6038

New York 7,

AS

Editorial

SEE IT

N. Y., Thursday, March 16, 1961

Price 50

Cents

a

Copy

Federal Reserve's Diverse Problems

The President, with all due respect

be it said, seems to
running to emptyings in this continuous stream of
: *'messages"
to Congress which are as much homilies as
!• legislative proposals., He appears to us to be particularly,
open to criticism in his recent communication about
housing. "Our communities are what we make them,"
he solemnly tells' Congress and the country.
"We as a
nation have before us the opportunity-—and the respon¬
sibility—to remold our cities, to improve our patterns of
community development, and to provide for the housing
needs of all segments of our population,", he continues.
"In 1949 the Congress, with great vision, announced our
national housing policy of a 'decent home and a suitable
living environment for every American family.' We have
progressed since that time; but we must still redeefh
this pledge to the 14,000,000 American families who cur¬
rently live in substandard or deteriorating homes, and
protect the other 39,000,000 American families from the
.' encroachment of blight and slums."
v
be

S
By William McChesney Martin, Jr.,* Chairman, Board of
of the Federal Reserve System, Washington, D.C.
An

•

But this is not all that

:

crease

f

must

will

begin

occur

now

in

and

around

suburban

areas.

bills

as

overall

an

cific

unemployment.

to

for

cure

governmental

decline

of

pegged

to

measures

Already,

He

warns

with

cope

the

made

member
crease

spe¬

postwar

it

the

the

system
been

to

made

serve

'

Reserve

Federal

:" the

-

to

of open

enable

moved

year

W.

Securities

lion in December 1959,

the

After

bank

spring,

623

was

BROAD

25

NEW YORK

New

COMPANY

York

BOND DEPARTMENT

Office:

Head

•

New York 15

Affiliate:
SAN

•

1;

outflow on

>

member banks as a whole

credit

Claremont,

THE FIRST NATIONAL CITY BANK

Santa Monica,

'ir

<

£

.If

fi

<(

Agency

ii:

Bonds and

t

Notes

ft

.

'

•:

HPi

Corona

Whittier

Inquiries Invited on Southern

OF NEW YORK

n

(Continued on page 27)

Stock Exchange

del Mar,
Beach,
Oceanside, Pasadena, Pomona, Redlands,
Riverside, San Diego, Santa Ana,
in

<1

■V
THE

5 K

F

CHASE

MANHATTAN

California Securities

•

Kasai

Nikko

Stock Exchange

Encino, Glendale, Hollywood, Long

TOKYO

released to assure

Municipal Bond Division

NY 1-2759 U

30 Broad Street

4

in

Members Pacific Coast Exchange

Offices

Teletype:

up

and Public

Street, Los Angeles 17,

Members New York

4, N. Y.

4-7710

So. Hope

Associate Member American

BONDS

STREET

Telephone:
DIgby

tied

Municipal

California

Ltd.

Securities Co.,

CHEMICAL BANK

had

State,

corporate

Lester, Ryons & Co.

STATE AND MUNICIPAL

The Nikko

Re¬

December 1960 to a surplus reserve of
$650 million.
The total turnaround exceeded a
billion dollars.
Nevertheless, the money supply
showed a stubborn downtrend until mid-1960.
In

registered with the SEC and poten¬
Section, starting on page 33.

SECURITIES

HAnover 2-3700

that

moved by

REGISTRATION—Underwriters, dealers and investors in

JAPANESE

level

and1 again in November, by
implementation of a 1959 Act of

Housing

Municipal




4%

went to offset the effect of this

Housing,

State and

the

Taking the year 1960 as a whole, the change in
bank reserve positions was dramatic.
From net
borrowings from the Federal Reserve of $425 mil¬

McC. Martin, Jr.

borrowed reserves.

a

from

member bank reserves.

market operations. The first effect
member banks to reduce appre¬

ciably their reliance on

3%

After midyear, the task of monetary policy was
complicated by an outflow of gold exceeding $1.5
billion.
Thus, a substantial part of the reserve
funds provided by the System in this part of the

'

expansion in bank credit and the money supply.
..In this peribd in particular, new supplies of
reserve funds were injected into the economy by
was

to

Federal

the

ample coverage of heavy borrowing needs for the
fall and pre-Christmas seasons, An additional $700
million was provided by further net purchases of
U. S. Government securities.
*
:

first, to promote still
greater ease- in bank reserve
.positions; and next, beginning
in May, to provide additional
reserves to
induce a moderate

means

Banks

the cost of

lowered

borrowings from

vault cash of member banks

further:'

.

These reductions

bank

Congress, nearly $2 billion previously

Then, with spring in progress,

^

execution of

the

well, particularly after

as

June, and again in August, discount
reduced, by one-half percentage point

actions taken in

situation

•,

used

were

prevailed before.
In August
also,

era.

.

were

member

expand loans—had
less dependenton

borrowed funds.

-

reserves.

available for

means

each time.

carrying -over froriKl959, bank
reserve positions — which gov¬
ern the ability of the banking

After

early

rates

inflationary

economic

$300

mid-1960.

psychology that had character¬
ized

bank

a

in member bank

System policy

unemploy¬

gold outflow, this
million reduction in
borrowing and a $500 million in¬

possible

But other

equipped to handle.

complete picture of issues now
tial undertakings in our "Securities in Registration"

U. S. Government,

market.

the winter faded,

as

with

and

the

went to

in circulation and

currency

sum

in the earlier part of 1960, the
Federal
Reserve
System began to lean against
the incipient down-wind of what has come in¬
creasingly to be classified as the fourth cyclical

We

afforded

are

of

situations and insists it does

a

year ago,

a

reserves

billion, net, for the Government securities it
buying on an increasing scale. After cushion¬
ing the reserve impact of a $500 million increase

In

Almost

accomplished the added

$1.3

Mr. Martin de¬

unemployment, and recommends

ment it is not

SECURITIES NOW IN

securities

Reserve

stricture regarding

preferably policy in coping with do¬

return

a

Federal

the
a

against massive monetary and fiscal stimulation of demand

further generalizing, he insists that our "policy for:
housing and community development" must be: "First,
i to renew our cities and assure sound growth of our
? rapidly expanding metropolitan areas..; Second, to pro¬
vide decent housing for all our people. Third, to encour; age a prosperous and efficient construction industry as
an essential component of
general economic prosperity
and growth." '■ •
;
We have nothing to say about the political effective¬
ness of this
type of Rooseveltian oratory in 1961—and it
runs
through much that the President has had to say
for a good while past. To us it appears just a little "old
hat," but only the future will
(Continued on page 26)-

TRUST

what

was

support the potential for bank credit expansion. In
these open market operations, from late March
through July, the Federal Reserve paid out about
was

structural

shift from

constitute

not

some

telephone:

to

as

trying to do contains

mestic and balance of payment

.

Public

of

treatment

fends

to lay the foundations for livable, ef¬

ficient and attractive communities of the future."-

statement
is

the

"An

must do.

up-to-date

has been and

equal chal¬
lenge is the tremendous urban growth that lies ahead.
Within fifteen years our population will rise to 235,000,000 and by 2000 to 300,000,000 people. Most of this inwe

this

Governors

Securities

Co.

Teletype: NY 1-708

Bond Dept.

New

York

Correspondent

—

Pershing & Co.

LOS ANGELES

FRANCISCO

BANK

HAnover 2-6000

M
r

Net Active Markets

To

T. L.WATSON & CO.
1832

ESTABLISHED

Exchange

CANADIAN

BROAD

STREET

DIRECT WIRES TO

BRIDGEPORT
v

;>v

•*

i,..,

.

• -

PERTH AMBOY

'• v<7't,.• ;i

_

2 BROADWAY

f NEW. YORK

Y

.

7

yield 4.90%

A
MUNICIPAL BOND

Dominion Securities

CHICAGO

DEPARTMENT

"t

»!,
11

CORPORATION
Associate Member of

BANK OF AMERICA

American Stock Exch.

■

1 NORTH LA SALLE ST.

.

YV
Price 98 to

DEPARTMENT

MEMBERS NEW YORK STOCK EXCHANGE

F

k,
v;

On All

Exchanges

MONTREAL AND TORONTO

4
k'

IMPROVEMENT

Payable in United States Dotlara

Goodbody & Co.

NEW YORK 4, N. Y.

-

CIVIC

4%% Debentures due April IS, 19S3

Teletype NY 1-2270

25

FOR

CALIFORNIA'S

Capital of the Province of Alberta

Invited

Commission Orders Executed
Canadian

Stock

BONDS

City of Edmonton

canadian
Block Inquiries

New York Stock Exchange

MUNICIPAL

$250,000

securities

Members

American

Maintained

Dealers, Banks and Brokers

40

Exchange Place, New York 5,

Tel. WHitehall

4-8161_

K. Y.

Tele. NY 1-702-3

N.T.&S.A.

SAN FRANCISCO

•

LOS ANGELES
r

\

v.; VJL-.T.W-.iY

2

For

The Commercial and Financial Chronicle

(1174)

Dealeh

Brokers,

Bunks,

The

only

Security I Like Best...

Call "HANSEATIC"

diffsreut group of experts
in the investment and advisory field from all sections of the
country
participate and give their reasons for favoring a particular security.

Our experienced trading

reaches

service and

New

broad range

a

Contacts through

of

'..o

mention

make

To

sure

number of

the widest
"Call

favorite

my

getting ^

you re

possible coverage,
HANSEATIC,'*/'

investment

ancj

where
has

Corporation
Established
Associate

WOrth 4-2300

Wire

surmounted

self-contained

might

attached
the

S. WEINBERG,

GROSSMAN

Y.

Security

United

Bids

Within

OdcL|-.p^$

on

WHitehall

Teletype

No.

1959; earnings for

over

stated

revenues

„

.

increased,

1953 to $338
7 -

..

,

,,

,

.

Earnings available for the stqck

American Furniture

of

rate

dividend

cash

on

stock

dividends

1853,2% in 1956 and

VA.

The

present

and in

TWX LY 77

of

New

of

2V2%

bits

rate

is

York

Stock

$1.88

future is

Exchange, have

still

bright

as

as

Vice-President, Seligmann & Co.,
Milwaukee, Wis.

This

JOV WILL'FIND THEM

capital

are

of

year)

the
p r

m

will

to find"

Counter quota- ;

lion

to

m

1963

*

to

$38.5

*000

per

the

ending

year

■

■




.li.

in

They will

the

s•

•

\

'

•

»

.

i41

V/vf

t

;

-

*1.

ij-i

•

i

druma of
employees

and

four is an enphysicist. They spent

last

year

•

owned

research

on

only

are

and

700,208
that

of

by David Rocke-

President

of

Chase

of

the

.

•.

as

a

x

ap-

per

figure to attain would
per share based on the

work

already done,

past growth pattern.

LFE is

rently seiijng

times

30.

Analysts

Societies
the

at

of

DIgby 4-2727

%n

!7{

Financial

14th

annual

Marshall1

John

Hotel.

Na/ional
-

Assoclation

Mutual

0f

jj0tei

f0p

18

new

cur-;

earn-

veiling 101 10 times eain ;
one of the biggest bar-

in

the

electronic: market

•

^

k

^

annual

Sleenv

Hollow Country Club, conventional

^fune 22-25, 1961 (Canada)

be construed

buy,

any

as

an

offer

security referred

/' *

to

to

sell,

1

or

:

herein.)

to

the

food and; friendship

$1 package

world's

CARE Food

you

send

hungry thru the

Crusade, New York

.

Investment Dealers Association of

^anadTa annual meeting at Jasper
^aik Lodge.

Oct. 9-10, 1961

Association

Firms,

Fall

~

°

-

K

14

(Denver, Colo.)

Stock
Exchange
meeting of Board of
of

the

at

Brown
*

-

Palace

.

/c„„

iqci

Francisco,

Calif.)

American Bankers Association

nual convention.

and is

gains

-

circumstances to

solicitation of an offer to

Liquid

Exports—Imports—Futures

,

Hotel.

of New York.
By
earnings should reach
share and by 1966 a

\rrii#,
is under no
(I his

—

the

an¬

...

Oct. 16-20, 1961 (Palm Springs,
Calif.)
National Security Traders Asso-

N. Q.

B.

OVER-THE-COUNTER
INDUSTRIAL STOCK INDEX
23-Year

Performance

of

35 Industrial Stocks

ciation Annual Convention at the
Snrin^
...

RiviPra
-

-

Nov. 26-Dec. 1, 1961
-Fla.)

-.

HotPl

Investment

(Hollywood,

T

Bankers

FOLDER

ON

REQUEST

'

National Quotation Bureau
Incorporated

-

—

Refined

—

Waldorf

,

Governors

Man-

Bank

$9.00

during -ir,gs

April

SUGAR

oi

dinner at

National' Federation

Ber-

products being developed and the

the last

earn

share

.

REctbr 2-9570

Petersen

•

1.

$2.23 per share

fiscal

is

every

or a

research
C.

Ballroom

Astoria,

Association

annual

convention

reasonable

be

proximately $3

25 Park Place

2,500

of

LFE

$5.00

JLjS
Glenn

Grand

at

use.

capacity.

has

is

hattan

mil-

three years.

WILLIAM B. DANA CO.

New York 7, N. Y.

»"V

Banks 41st annual conat
the
Penn-Sheraton

There

feller,

earnings from
10c

screen

Traders

New York

characters per

outstanding

19.5%

of

million, and
call:

TV

a

shares

and

$7

on

13,000

work.

electronic

tions.

c:

re¬

systems. Sales
have grown

as

Security

information, retrieve

exciting

(pre-tax)

advanced

prices

securities

or

,

April 21, 1961 (New York, N. Y.)

one-half bil-

the equivalent of $12.90 per share

search, devel¬

$4)

RASTAD

a.

*

Savings
ference

out

gineer

most

essive

records in

from

Write

Y

i96i (Philadelphia, Pa.)

same

one

production

-

t

Ass?elatlon °f America 26th

M
?°U?h
j.3

LFE
one

LFE has

opment

the

7.

Raw

Disk memory systemstorage
which
simplest rotating

7 than
the

of

field

i

-

■

Texas Group Investment Bankers

llttle

a

Yorif

a

a large

ir»

its

is,

operation.

Record

Over

that

*™L??fita"Zati0n and
exposure in

Bank & Quotation

"hard

:

j May 8-9, 1961 (St. Louis, Mo.)
provide ample power) and Association
of
Stock
Exchange
storage sizes ranging from 100.000 Firms — Spring meeting of the
to
1,000,000 bits of information. Board of Governors.
lhis system is also being devel-- j11rip-ic iqfii (vPW Vm-ir PitvT r- You
give
oped for commercial use and is
investment
Association/ of J New with
every
expected to sell for 20% to 25%

necessary for great

appreciation:

pynncurp

those

u

cells

security .meets the require-

ments that

IN

as

•

high, light weight and extremely
low
power
requirements
(solar

Laboratory for Electronics

Well

N.'YlW

NEW YORK 5,
^

m

STREET

WALL

Dealers Asso-

<?f]ve'oped; "s £'rst
/ ^ will be size, 7 inches
missiles beof its small

the

•

monthly

99

(Commodore.

many
companies
interested in such a sys-

Equally

cause

QUOTATIONS?

in

tern for commercial

GLENN C. PETERSEN

the

I

LAMB0RN & CO., Inc.

^

information,

of

store

can

of

are. now

the past.

Need Hard to Find

listed

IMarch 22, 1961 (New York City)
Association of Customers Brokers
quarterly meeting and dinner at

November' and

paid.- The
listed-on the

toC2ia903 293°/t the present" time.
21,903,290 at thf present time
The

a
jf

Telephone: BEekman 3-3622-3

second, A RASTAD system was April 29-May 3, 1961 (Richmond.
delivered to the government last.-.>Va.)- " C.
v-.V": /-■:

was

shares

it

bits

and flash them

in

2(5% in 1958..

cash

2.%%

outstanding

you

OFFICE:

annual convention at Shamrock Hilton Hotel,

file drum-

combined

system

January, 1961 another stock

ctividend

Private Wire to New York City

all

be- produced

Gukic foot in size, can store

a

million

15

the'rate, of

on

YORK

149 Broadway, New York 6, N. Y.

storage and information retrieval.-

and

STRADER and COMPANY, Inc.

jive

NEW

Co.9 Ltd.

,

llion annually and producing

lion

publication

IN INVESTMENT FIELD

earnings of $2.50 per
share.1961 (Houston Tex 1
has concentrated on data „pru A~ Li' A^bl J«°uston, lexj

each year has increased in each
of the last eight years. This is in
addition to a 3-for-l split in 1956

bound

D AIWA
Securities

company

Commonwealth Natural Gas

This

EVENTS

ciation annual dinner at the Hotel

When

—

of

Doppler

?qfi4°?+ ^hou^d "hp8 do^n^Si New York SecuritY

over

The

(Single Copy

COMING

should mean
in business for LFE.

outstanding shares at the end of

per

JAPANESE

SECURITIES

and

Life Insurance Co. of Va.

(Only $45

bid

0f 52

Each of these

will

fnve $26,660,853 to $53,972,000.
fiom SS,dS,t!ff0d Its h'gh density

Bassett Furniture Industries

.'

offices

Over-the-

current

a

cu^rei^Uy have $50 million Oscar's Delmonico.

$5
have

from $222 million in
million in 1960.

Trading Interest In

—5-2527—

branch

our

com-

follows:

as

Gross

LD 39

to

,

1-2762

LYNCHBURG,

the

at

backlog

re—

revenues

1960

3-7830

NY

in

in this product.
March 26-31, 1961 (Philadelphia)
The fastest groMrig part of LFE Institute of Investment Banking,
mon
stock 9.6%; and cash divibusiness is the computer products 'Wharton School of Finance &
dends per share 6.4%. Some comwhich from less than $1 million Commerce. ;
parison with recent years can be,;sales in 1958, is currently doing
.
..
lqfil
/N_w v_rlf ritv^

ing

a -r •;

Exchange Place, New York 5>
Phone:

Prelimi-

s

1964

through
$150

estimates show that operatincreased 4V2 % in

nary

—

★•*!*?

E105D

A tie

next' fortnight

lease its report for 1960.

hriA'Dealers*)

(To Brokers
40

the

NY 1-1557

.,

position in latitude and longitude,> March 15-16, 1961 (Chicago, 111.)
and distance to either of Central States Group of the Intwo destinations. This system is vestment Bankers Association of
riow
being used on
1,400-mile- America 25th annual conference
per-hour F105D fighter-bombers, at the Drake Hotel.

all contribute to the success of the

American Electric Power will

New York 6, N. Y.

Orleans, La. - Birmingham, Ala*
> Mobile, Ala.
»

Direct wires

as

.

Exchange
Exchange

course

company.

BONDS

airborne

traded

is

ground speed, drift angle, present

management

Ass'n

Dealers

the

of

zone

States, the aggressive and capable
and the ability to
pioneer in engineering practices

INC.

stock

Counter Market

LFE

manufacture

the

enthusiasm

weigh only 65 pounds. It automatically gives the pilot the

holding comIts location in the central

industrial

Members
N.

'a

Stock

Instruments, it will be
celling in the vicinity of $250 per
|n a four-year period.- The

systems are completely transistor¬
ized, have over 7,000 parts and

to

expression

pany."

is

navigation systems.
Hubert F. Atwater

have

York Stock

American

Beckman

dis-

The most important part of

business

meet the above

can

investor

s a m e

satellites.

Samos

any
stigma
that
once

System

& CO.

and

util¬

standing

FRANCISCO

SAN

•

Private

out¬

ity empire has

CHICAGO

•

PHILADELPHIA

Nationwide

This

New

earning projections and attain the

play), high density magnetic file
drums and magnetic disk memory
systems to be used in the Midas

and

storage

access

If LFE

today.

RASTAD

as

(random

York 5

Teletype NY 1-40

BOSTON

read-out devices such

satisfaction.

Exchange

Members New

HAnover ?-« 700

storage-and

information

marly

to

my rec-

Steiner,Rouse&Co.

2)

19 Rector St.,

..

.

,

to his ultimate

Member

Stock

American

,

ommendation

1920

120 Broadway, New

failed

accept

■

~

/ox

Bought—Sold—Quoted

,

equip-

control

ground ^control land¬

as

(3) Computer products—partic-

client

a

/

Members

moving target indicators, and mi¬
cro-wave
test equipment.

instance

an

Security
& Co.,

(Page 2)

p.

Wis.- (Page

port

has there been

AtwatS'r,

Petersen, Vice > President,
Seligmann & Co.,- Milwaukee,

ing approach radar systems, air¬
surveillance radar systems,

tric Power Co.

Hardly ever

New York Hanseatic

traffic

Air

ment such

American Elec¬

years,

VfoOd', Walker

age.

Space

(2)

a

over

Co.—

laboratory for Electronics—Glenn
C.

torized systems needed in the jet

:<

-

F.

.

speeds. The company is the major
producer of such complex transis-

pleasure to again call atto what has proven to be

&

Pover

New York City.

(1) Self contained aircraft navition
gation systems for supersonic

Exchange

„

it

wide wire system.

I

1)0., °*:

Electric Power Co.

^Alabama &
Louisiana Securities

Electric

Analyst,

The company's business consists

City '

Members New York*'Stock
American

nation-

our

York

Thursday, March 16, 1961

Participants and

Hubert

HUBERT F. ATWATER

Security Analyst, W ood, Walker

.

Their Selections

a

American

department offers

Trigger-quick

week,

.

This Week's
Forum

A continuous fcrum in which, each

.

.

*■>

i

Association

Annual Convention at Hollywood
Beach Hotel.

46 Front Street

,

New York 4, N. Y.

Volume

Number

193

6038

.

.

The Commercial and

.

Financial Chronicle

(1175)

3

CONTENTS

Investment Philosophy
By Samuel H. Woolley,* Vice-President, The Bank of Netv York,

New York City

B.S.
Articles and News

•

AND

Page

.

"...

..

:

•

„

.

York

New

...

investment

officer

touches

•?-.

.

on

"probabilities1' in the long-term trends, and casts
nation's larger

bone

of

dend

between

wary

a

eye

;

Our

'Responsibilities—William McChesney Martin, Jr._______Cover "

*.

;

on-

remainder divi¬

stock trust account there and the

common

those securities that

' 1

'*

;

Philosophy

v, -,1

\

""

"'-iv

•

v.'

\

3

*

'Cement Sets Rising Pace—Ira U. Cobleigh_____

5

of

some
/

V

the

4

it's

us

find bids

we

most

obsolete

WALL

out¬

securities.

STREET, NEW

Telephone:

promise which arise in a changing world.

of

areas

N

P

Obsolete Securities Dept. *.—1

^

\)

99

cyclically, and those that provide a more direct participation in the
new

M

tell

customers

worn,

*

-

WoolleyJ^__-__-__^______^_w--^_wjo---l>cu^.

—Samuel H.

-,

underpriced or apt to gain

are

O

miraculous that
for

Areas of Probability and Investment

He favors placing the back¬

basic companies.

C

the miracle worker
Federal Reserve's Diverse Problems and Government's
;

.

Mr. Woolley's investment selection preference lies

glamour stocks.
in the

investment

of

areas

new

:■

...

YORK'

WHitehall 4-6551

'

Market Upsurge Contains Paradoxes for Investors

During the period following World
War
II,
price-earning
ratios

ate; in the field of management; ..V
and in the field of education" .v

have gone

In

to

over

a
e.

with

and

us

b 1

reas o n a

luck,

one

could

have

had

fairly

a

market

good
o

r

h i

m

stocks without
■

I

of

un¬

seems

like

to me
earnings multiples

coming

years

what, then, will be the in¬

ment

a

,

"California

•

place,

Business School Bulletin

Harvard

a

this

of

tion

issue

devoted to

was

who

made

up

having

bility

responsi¬
the school

reviewing

for

curriculum
mendations

making

and

for

a

The

desirable.

seemed

economic

as

—

About the

World to Come for the

•

Helps

the

Hundred

One

Solves
The

third

.

"Science
in

in

Relations"

by

recommend

to

seem

lar bearing on

in

reading,

I

values

"We

the

how

To start
an

the

with,

entire year trying

"What

question:

happening

we

which

we

-O 'Oi!

.

ri

'•

.

-.511.

*1

CAPITAL, LTD.

,

MIDLAND CAPITAL

Dealer-Broker Investment Recommendations

8

:

CROSBY-

14

•

5

'

From Washington Ahead of the News—Carlisle

Bargeron

TELETRONICS CORP.

BOWLING CORP.
OF AMERICA

Indications of Current Business Activity

Mutual

30

.

(and warrants)

22

~

^

HYDROCARBON

26

Funds

News About Banks and Bankers

sub¬

a

CHEMICAL, INC.

Observations—A: Wilfred

May

4

r

Our

Reporter

on

18 '

Governments

Public

Utility

J.F.Reilly&Co.,Inc.

16

Securities

39

the

that

Securities Now

of

direction,

grow

in

33 ;

Registration

their

on

as

It

DIgby 4-4970

to

kind

Salesman's

Security

to

The Market

.

Corner___

The

it

communities
operates, the

whom

17
2

Security I Like Best__—i

it serves—and

the

,

The State of Trade and Industry___

that business will be

and

more

of

L. Hamilton*--

Tax-Exempt Bond Market—George

the

in

7

t

6

of

more

evaluation

_______—

:

48

Washington and You

Capital Corp.

future.

15-20

By

the

same

harder

become

token,

it

on

*Pinch-hitting for Donald Mackey.

may

harder

and

Continued

•

V

46

—

and You—By Wallace Streete

.

.

already

it wants to know
is treating its

—

I

,~

eco¬

seems

is

,tr

Broadway, New York 5

42

Offerings

Security

Prospective

as

nation

which

assume

this

businessmen oper-

as

1

2

company

subject

in the environment within

years

'

ELECTRONICS INTL.

16

_________^___r
(;,• ,-y

Coming Events in the Investment Field__

\

well

the

the

customers

to answer
will be

next

the

in

a

within

spent almost

we

Stocks--

i-'

Businessman's Bookshelf

"pri¬

believe

employees,

fair length
reports,
Shifting Ground":

on

1

'

•

«•

.

St. Louis

Cover

-

T

Dallas

Philadelphia

what

well

as

doing this

I

these

of

first

Stand

-

become'
public policy in the

in

that

us

should like to quote at
from

.

will be

and

nomic performance*

these

business.

(Editorial)

Bank and Insurance

sitting

society
judges its business enterprises
increasingly in terms of social

what we are doing

investment

the

See It

We

Einzig: "D. Mark Revaluation 'Too Late and Too Little'?"

primarily

will

cisions

to have particu¬

me

Cleveland

Angeles

San Francisco

public participation in such de¬

was

While

9

Regular Features
As

in

very

We

pressure

all four of the

full

for

reports
three

future.

Sense

and

Zeleznick.

A.

given
would

of

matters

titled

Common

versus

Human

may

Making

series is

the

Dollar

the

'

Direct Wires to

Los

questions, for example,,
now considered "pri¬

vate"

Problems."

Creates

and

Teletype NY 1-1825 & 1-4844

are

Gorgeous Girls

Decision

—Mathematical

location

which

and

"HBS

..

decisions.... Plant

business

vate"

by Charles J.

called

Christenson,, is

*

Chicago

find

may

,

modification

currently

are

Professor."

the

and

The,second report,

you

ownership,

stantial

"We

Businessman

si:

modification of the concept of

private

Stand
on
Shifting
Provocative Predictions

title,

Ground

-

a

the

carries

Christensen,

life:

We predict that there

ing Sound of Change." The first
of the individual reports, by C.
Roland

inc.

40 Exchange Place, N.Y.

decades.

is titled "The Approach¬

group

mackie,

HA 2-9000

Naomichi Toyama Asserts U. S. Investment in Japan

in
your marketing office, at least
in spirit, during the next two

as

series

&

•

we

Kefauver

Senator

recom¬

changes

such

•'

We exject the government to play a
greatly increasing role in our

the

committee

,

Singer, Bean

public and the private.

faculty
part of a

series of four reports by

members

;

23

Florida Land for Retirement Investment

vs.

■

•

quasi-public corporations, firms
that lie somewhere between the'-

A major por¬

arrived in the mail.

20

',

in the
formative stage, and I had
only^twri going to look like in the h
a rough idea of what I wanted to
next 20 years?
We foresee a
say,
the December issue of the
great, increase in the number of*
While vthiSrt! paper, was

•

—Roger W, Babson________________

ample, is going to be the differ-'
ence between "public" and "pri¬
vate"
activity in the future?
Just what is a "private", corpo-

ahead?

Amer. Int'l Bowling

15

"

•

occupation.- What,1 for ex-

and

successful invest¬
program
in the period
of

gredients

first

the

E.'Sharp

Ireland Welcomes American Investors—Thomas 0'Hanlon____

would*
expect to
see
a
blurring of'
many of our present and well
accepted categories of activity v

from 18 to
to be the

go

happen.

see

Common

Sound Economy

a

"

to

to

In

If this proves

times.

case,

I!

and

manner

same

40

the
will perform in the
over

Crumpton Bldg.

13

How to Protect Our Dollar and Create

r;

•

anticipate what will
happen — not what We might

likely
that

us:

trying
Samuel H. Woolley

—Maurice E. Peloubet__—

:

—Dale

warning:, some f

a

Random House

,

predictions may dis- f
But after all,' we are

these

turb

represented.

12

The Wrong & Right Methods for Depreciation Reforms

conclusions ;Cy

our

basic trends—over-

issue

would

of

.the companies

Guy P. Harvey

—Rev. William T. Hogan___

inter¬

stated for sharpness, to be sure.

improve¬
ment
in
the

It

of

1

of my

few

a

about these

ing

earnings

are

pretations

correspond¬

a

HBS?,-'\*V;.

classrooms at

our

Here

s

10

in

"in

appreciation
f

Magee_________

Capital Equipment Outlays and Depreciation Policy

general, at the practice of /
management and administration
specifically, and at. education,.
what might we see on the'land¬
scape that will — or should — /
materially affect what goes on. /

of

amount

—John

other

words, if we put on
cur long-range planning glasses, v
and look out on the world about '

from about ^even times
18 times on the average;

page

to

31
"

Published

For many years we

have

specialized in

PREFERRED STOCKS

'

-

\

.

'

-

,.

•

•

•

■

,

.

U. S.

Reg.

Spencer Trask & Co.

Place,

CLAUDE
WILLIAM

1868

2-9570

Albany

*

Nashville




'

Boston
Newark

TELETYPE NY 1-5
Chicago

Schenectady

to

1942,

D.

SEIBERT,

DANA

Glens Falls
Worcester

Subscription

N. Y.

Subscriptions

J.

President

MORRISSEY,

state
•»

EdAor

1961

Chicago

city news,
Office:

3,

111.

135

etc.)
South

'

La

Dominion

(Telephone STate

St.,

2-0613).

$65.00

U.'

S.

Members

in

Other

h

of

year;

per

$68.00

per

m l FRANKEL & CO.

p

INCORPORATED

year;

Countries.j $72.00 per ydar.

V.
Vj

Publications

39 BROADWAY,
Bank

and

$45.00-per

Quotation

year.

Jote=T5n:
the

Salle

of

States,

s

and

Canada,

*

Thursday

and

Other

Union,

Other

(general news add ad¬
vertising issue) and every Monday ^com¬
plete statistical issue — market quotation
records, corporation news, bank clearinf
Every

matter Febru¬

Rates

United

in

Territories

Pan-American

Treasurer

SEIBERT,

I

second-class

at

Publishers

9576

Thursday^. March J. 6,

ST., NEW YORK 4, N. Y.

TELEPHONE HAnover 24300

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Possessions,

Members New York Stock Exchange

BROAD

COMPANY,
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as

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

Patent Office

DANA

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Park

GEORGE

25

Reentered

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ary

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Founded

Copyright 1961 by William B. Dana

Weekly

FINANCIAL CHRONICLE

WILLIAM
.

Twice

COMMERCIAL

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rate

of

ount

of

subscriptions

must

made

be

in Ne

Postage

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exchange,

foreign

NEW YORK 6

Record—Monthly,

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fluctuations

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t.

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4

The Commercial and Financial Chronicle

(1176)

pecially

OBSERVATIONS...
A.

BY

participatesiin

ment when

of

WILFRED MAY

fund

industry

THE

DEEP

ture.

BLUE-SKY

unrealized when secu¬
rities regulation is talked about,
is the part played by State ma¬
chinery.- The importance of the
Generally

applied
Load

commission).
Mr.
activities have also typi¬
cally included his instrumentality,

cally stems from their long ante¬
dating of our Federal statutes and

sion's

initiated
,

i

the

subsequently

in

not

would

Commission

to the States that
be thereby pre¬

gave assurances

they

Deal

New

time the design-

Federal legislation and

of the

ers

the

with

At that

1933-34.

(SEC)

important

decision

Court's

of

over

a

year

has been persistently delayed

the necessity of meeting the
amending prerogatives of State

by

Commissions.
State

Blue

Sky activity can, of
also be affirmatively con¬

course,

passing

in

July

1960 by
Securities "Commis¬

the1 Midwest

Conference

of

resolution

a

(quite "namby-pamby'' for' him
reading that the Commissioners
"being deeply concerned with the
sale

of

shares

visory

in

investment

corporations,

ad¬

recommend

careful scrutiny of any application
for

the

registration

structive. Witness New York State

Attorney General Lefkowitz's re¬
cent partial filling of the unavoid¬
able

hiatus

over

the

in

Federal

localized

the effervescent

dication

boom

Real

Feb.

constituting
which

on

of

of

Jan.

of

one

our

Commissioner

Samp

We

company.

while
well

that

transformation

such

be

maintained

may

advantageous to the

ma¬

jority
of
the
shareholders,
the
Johnny-come-lately's who do not
wish
to
be
switched, are "as¬
through losing a substan¬
portion of the Load which
they had paid as an initiation fee,
A

Broader

Chairman

SEC

menting

on our

Gadsby

position in

(published in this

9).

space

com¬

letter

a

Feb. 23)

pointed out that the problem
Non-Uniform

raised

"Toughness"

State

regulatory

chiefs

naturally vary in their.'individual
degree of "toughness."
For ex¬

the

forefront

"the

ample,

in

zealous

ones" is California's John

Sobiesky,

he

area,

complete

persistently
corporate
In the Mutual

has

barring

and also
flexible ceiling of
cover

sible

fund's

a

penses •

placed

the

Con¬
End

annual

exempting

investment policy only to
shortly thereafter that-such
policy has been changed by 51%

plus of his. fellow
On

'valid

this

point we sug¬
gested that it underlines the need
for

statutory
relief
(perhaps
through partial remission of the

Load),

to

investors

incurrence).

the

protect
in

all

Fund

rights

of

reorganiza¬

tions

effecting a material change
investing policy.

in

From

Commissioner- Samp's commu¬
on
this and related con¬

nication

Strong-Man

My Dear Mr. May:

Likewise

displaying top flight
vigor over the years has been
Edward J. Samp, Director of the
Department of Securities of the
State

of

militant

of

the

National

Securities

his

der

years

in

the

Un¬

Contractual

Wisconsin

and

(along with
Michigan in addition

California

as

referred

(cited

to

following,

in

his

has,

above);

your

into

diversified fund.

a

This
years

department

had

a

registering

your

pound in

The

could

not

over

fact

such

any

real

excuse

them. It does not take much
agement

communica¬

such

ability

stocks
a

for

pick

to

the

a

for

man¬

dozen

portfolio

of

fund; hence, the manage¬
Vz% is excessive—es¬

ment fee of

We

the

bag

buy it in

or

that

there

has

been

a

such

is

aspect

another

indicate

Forced

would ap¬

to place upon the sellers the

pear

obligation to return the sales load
to the

buyers, at least to those who
wish to go into the diver¬
sified fund, is well stated.
We
agree that to talk an investor into
buying a specialty fund and then
do

not

week, a month, or two years
later, recommend that he go into

a

a

diversified fund is
the buyer.

on

the

imposition

an

If he really bought

specialty fund
because
he
it, 51% of the stock out¬

wanted

have

diversified

a

His acquisition
turned

This

investment
which

should

be

if

corrected

not

by law then by some Code of Eth¬
ics

in

does

the

industry,

which mow

exist.

not

the

price

funds.
much
of

with

merged
There

diversified

probably
for the

excuse

such

bond

not

was

organization

funds

in

the

first

place except the promoter's zeal.
would

We

apply the

same

ments

concerning, such

as

have

we

of

case

stated

argu¬

mergers

above, in

merging, industry

the

funds

of

the

Securities

Changing the objective of the
fund, whether it is done subtly or
openly, should be subjected to the
scrutiny in the interests
Again

51%

shareholders should have
to

change

there

consolation to

any

be

is

told

with

that

if

he

the

right

no

compensation to
damage sustained.
It

.

of

of

investment

my

unless

for

me

is

does

not

to

vote

the

majority for the change
objective, he can redeem his

in

Administrators

EDWARD

field

Certainly
statutory
to

protect

gets

profits.
important to the in¬

more

vestor's interest than fussing about
the amount of the Load would be

,

its

citation

of

the

simple Load-loss
cited, to substanti¬
ate the need for long-term hanging-on to his shares—in lieu of

facts

the

SAMP

above

as

wholesale

switching

pressure

to

costly

outright redemption.
Even if it is impossible to cajole

WISCONSIN

the

or

salesman

into

"telling the
nothing but,"
selling abuses could be partially
and

truth

,

V

!<S

.

5!!

posal to adopt the scale fee tech¬

nique

EXPLOSIVE

by amending its manage¬
contract, constituted merely

ment

part of

analysis of Fund Man¬

our

"ANNOUNCING

Company relations, in¬
cluding existing proxy machinery.

TO

(possibly overemphasized by
Mr. Samp) is not the crucial ele¬
and

material

priced

by broad ethi¬

DOUBLE

stocks

The

the basic fund-management inter¬

tip

>

to

correspondent's "decision"
acquisition costs, concerning

opinion, refers
hearing on Jan.

our

his denial at

a

gone

21, 1960, of the petition of Vance,
Sanders

&

Inc., Fund
of Boston, for a rise in

8V2%' from

in

Wisconsin

load

the

chargeable
existing

71/2%

since

1945.

limitations

Space

prevent

our

entry here into a full discussion
of that controversial "sticky wick¬

above

quite typically raw
in a leading news¬
few days before the court

the

the

load

small

with

the

usual

charges

buyer
in

Moreover,

sliding

penalizing

inconsistent

is

opposition

technique

to

the

scale

fees.)

management

we are
are

important

more

exact amount of the

Education

fortune

k

.

how you

the first day.") V
Thus is again and
doubly high¬
lighted the importance of devising
a
fair and practicable method of

Plus

in

quent action by the Federal Trade

load.

Commission.

Disclosure

mind

Now

stepped-up

Corporation

which

ment

education,
supplement disclo¬

should

example,
him

to

it

that

should

3V2 years (and
income

it

more

tax)

fee"

is

the

take

—

of

The

Invest¬

Wilkins

Officers

Crowder,

as

are

a

corpora¬

William

Sr.,

article

of

Feb.

23,

after his per¬

to

recoup the
which
he
had

1961,

states that State Street Investment

Corporation is voluntarily propos¬
ing to lower its management fees.

Like

CHRISTIANA SECURITIES CO.

Undoubtedly this is the result of
the

sell

to

Fund.

ment

years,

success

We

I

Call..

this

of

bloc%?
.

will

in

fear

getting

a

them

these

pattern
and

which

ment

advisers

BOUGHT—SOLD—QUOTED

number
some

reduced.
set

may

Circular

on

Request

a

is

still excessive,
reputable invest¬

than

more

concern

"voluntary"

reductions at this time

»

(Reflects 80-to-l Split)

termed

have had

we

that

ice

manage¬

the

department for
and

the

be

Excessive

fees have been

of

7

that

we may see more

which

"voluntary."

large
Z7

Now

broken,

reductions

a

NEW STOCK

change recently agreed to by

Lazard

has been

charge for similar

Laird, Bissell & Meeds
1

,

.
.

.

services.

Marketing Department

were

twelve

years

reductions

were

cr

Merrill Lynch, Pierce, Fenner & Smith
INCORPORATED

70 PINE STREET
141

offices




NEW YORK 5, N. Y.
in the

Voluntary reductions
made by several funds ten
and

ago,
•

and in the interest of shareholders
than

are

the

present

"voluntary"

reductions.

120

our

decision

on

a

Exchange

Exchange

BROADWAY, NEW YORK 5, N. Y.
I

copy

of

acquisition costs,

Bell'Teletype NY 1-1248-49
'

Philadelphia,

Zurich, Switzerland

sent you

Stock

Stock

Telephone BArclay 7-3500
Wilmington, Del.

U. S:, Canada and abroad
we

York

American

v

Those Acquisition Costs

Recently

New

those

realistic

more

MEMBERS:

T.

President; Andrew
J. Wilkins and George Y. Tindall,
Vice-Presidents;
and
Walter
I.
Couture, Secretary-Treasurer.

Management Fees
Your

and

Co., 1229 South Greer St.

being continued

tion.

income

would

business

Couture

be

with

investment

yield of 3%-or-so
sonal

person

and shows exactly
start profiting from

.

can

MEMPHIS, Tenn.

For

first

painfully developed the meth¬
ods that finally brought
him a

and broadened investor

sure.

(Example

curbing "How-To" advertising
abuses
whether through new
legislation, or possible more fre¬

convinced that

for the investor's interest than the

have

advertising;
extraordinary

—

other factors

We

blurb

vas

desirability
of
price-fixing.
might
interject
the ^re¬

of

tending these proceedings, this lergally-lay observer was impressed
with both the legal and ethical
importance of the past attending

the

that

huge paper-back 500

a

book vividly shows you how Dar-

governmental

(We

into

Dollars, in the .Stock .Market/''. At¬

"This

et," the "proper" size of the load

—including

under

edition) "How I Made Two Million

Company,

the ) maximum
to

selling

now

proceedings
on
the
New
York
State Attorney General's
appeal
of the decision to quash his case
against the dancing-author and
publisher of that best-seller (just

Our

which he asks

TRIPLE

appeared

paper a
Heat On That Initiation Fee

on

AND

$5.)"

vulnerability of

relationship.

EXPLOSIVE

(Moreover, six of the stocks
brought to light here are low-

fee

cal

AND

GROWTH—STOCK PRICES

We believe that the amount of the

ment—but dwarfed

STOCKS

DANCERS

agement

"admission

the investor.

interval

compensated for by educating the
investor directly.
■■
••

average

this

OF

back

Our citation, referred to by Mr.
Samp, of State Street Investment
Corp.'s self-initiated proxy pro¬

explained

on change
objective in your article which

in

Thus,

-

whole

in

changes

J.

buyers

if not eliminated, by
in making and paying

market

out

fund

March 6,: 1961

shares. You refer to vote

appeared Feb. 23, 1961.
there
ought
to
be

of

at

money

wizardry

..Director, Dept. of Securities

not

investor

an

'

.

few

sufficiently

shortened,

good work!
In
on the program

The usual

expense.

those

knowledge¬
inquire about this, is that

able to

meeting in Detroit. The last ten
years
have seen many changes,
and the future promises further
improvement for the Industry.
;

scale

Policy-Changing

shareholders.

.

to

are

the

of-a

National- Association,

minder

-

same

Why

purchaser

a

Keep, up. your
1950 you spoke

sponsors

Ih recent years bond funds have
been

break.

a

public utility stock pays?

re¬

industry

company

for

due

should he pay an acquisition cost
that is two to four times higher

is

just an¬
other instance of practices in the

years

who

is

the Load

coup

answer

him.

on

cost should be

him.

to

right to

no

fund

full 7V2

a

shares

STATE

to the time of

up

merger

a

Plans' ' "Front-End"

Loading, it takes

Madison, Wise.

Switching

industry shares

invest¬

the

of

of the popular,

case

Contractual-

of gross investment income to re¬

our

Your comment that to sell such

announcing

paid. ./In the

think this subject

industry that needs
a complete
going over. The small
purchaser of investment company

in¬

of

Thursday, March 16, 1961

.

ment company

position has been vindicated.

the

definite policy of not

see

of

buy oatmeal by the

a paper

gradual elimination
dustry funds would

the

has

nothing

-

fancy package at a much greater
price it is still the same oatmeal.

•

industry funds.
We have told applicants that we

steel

1945,

in

January 19, 1961, relating
industry funds and their merger

and,

since

"Observations"

issue of
to

Chair-j

Association

been barred for many

to

tion

former

Administrators.

aegis

Plans have

Illinois

and

(or conscientious)

of

man

Wisconsin

This is by way of comment first
on

is

issues

with diversified funds.

Blue-Sky Land

troversial questions follows:
From Wisconsin's

fund
few

a

shareholders.,

'

ex¬

pos¬

an

fund relying

a

its

on

in¬

an

whenever

present

buys into

find

percent to

one

total

(without

tax

invoked
of
the
("Front

Load");

Cor¬

for

Plans

tractual

of

so

cumulative voting.
Fund

of

Director

State

porations, who has
fought the battle
f

is

investor

The

we

ad¬

.

which 1 should appreciate your

en

comments.

than

a

Whether you

foist

Estate Syn¬

the

influenced

standing should

Problem

of

fu¬

put up in
fancy package for sales appeal.

a

sessed"
tial

better

a

type of industry

same

19

last,
articles

with

industry
than

more

such

comments, spoke of the trend of
merging specializing i n d u s try
funds
into
a
single
diversified

control

outbreaks

(analyzed in "Ob¬

of

servations"

"Observations"

regulatory

of the States are con¬
stantly evidenced. Activation of
Variable Annuity plans under the
SEC, following the Supreme
powers

ago,

the

An

.

of the
another

into

j.V"'

■:

shares."

empted.
The

to the

get

fund

switch

vice?

(buying

in

agency

maximum

Samp's

various local Blue Sky laws basi¬

administrative

7%%

a

and

Could it not be that the load

the

on

to the owner

goes

is the time to get out

steel

IN

he

manage¬

steel fund and tells him that

a

now

STARS

because it is the sales¬

so

who

man

.

Pa.

Salem, N. J.

•
,

New

Haven,

Dallas, Tex.

'

Conn.

.

Dover,

Del.

Salisbury, Md,

Volume

Number

193

6038

.

.

Commercial and Financial Chronicle

The

.

(1177)

5

duce 36 concrete blocks

and

there,,are

street

a minute;
self-propelled

now

that

pavers

can

out

pour

strip of concrete as they go
along, without even bothering to
a

By Dr. Ira U. Cobleigli, Enterprise Economist

set

Topical comment

on

industry that is looking better,

an

it has

for the

than

now,

all

viewpoint
Resumption

Nearly everybody in cement pro¬
duction

glad to see 1960 fade
into history. It wasn't a good year.
was

rate

Prices

1959.

of

were

weak in many areas, and costs on

there

seaboard

portations
to

And

the

sizable

were

of

foreign

bad

at

and

competes

asphalts.

trained

deicmg

the

said

Court

stead

the

the

on

applications and

fin¬

the

rate to

products,

concrete

Supreme
applies in¬

rate

ment

ruling not only af¬
fected company earnings for 1960
but
applied
painfully
against
nasty

prior
had

reported

1959.

a

The tax

Portland
$7 million net for
Alpha

panies

vehicle
of

or finance
the tax money. American

had

Cement

back

a

bite

tax

miles

paved

sults

com¬

had to borrow

raise

to

National High¬

a

through 1960, involving 17 million

ruling reduced that

figure to $5.4 million. Some

lished

till

cement

taking

output

annually,

their tax bill out of the till,
outlay of course cut down,

pay

the

tax

quate

capital

much,

Highway
dent

'

'f

In

But

all that is

formula

is

inroads

of

quite discounted last

were

fall,

when

two

year

has

outlook

in

Since

been

True, there is

capacity

shares

cement
low.

the

almost

hit a
the

then

happier

a

substantial

a

industry.

50%

Due

to

in

expansion

1955

production facilities since
we
can
now
turn out, going

full

blast,

million

barrels

(376 pounds to the barrel)

a

which

billion

is

barrels
year.

eighth

an

than

more

of

a

year
last

used

we

demand is turning

But the

too,

These

have

used

been

the

big"

play

Florida

In

the

demand

for

producers
other

Two

blocks

concrete

is fabulous. Today over
2 billion blocks

South

Gulf

the

and

bricks.

from

away

a

2,000 sig¬

out

turn
of

uses

over

in the U. S.

year

cement

has

cement

long

makes

set,

super

a

resilient

be

now

product that can
to replace steel, in

used

bridge
million
in

unsupported

Sales

of

$220

for 1961. It is expected in 1961

stressed concrete

are

increase

this

spans.

and

sales

optimistic
during
the

decade.

are

rising
entire
1960

about

accommodate

To

Penn-Dixie
of

executives

industry

highly

year

that

is

increasing output
its Clinchville, Ga. plant by $5

million,
bling

General

Waco,

dou¬

plant

Texas

Portland

is

Atlas

Universal

its

Cement

and

adding

Then

year.

shell

crete

2%

roof,

inches

such

bowling
Not

ment

designed to

overcome

regional

We

are

pleased

Bernard J.

for

uses

technology

run

rOi^Pon

perfected

shortages.

and

advances

have

the

favored

with six

are

airports

but

the

a

ce¬

in

in¬

plant so auto¬

night
men.

shift
At the

can
ap-

level. t.h« Germans have

machine that

a

to announce

now

can pro-

our

sell

At

on
late Saturday
Sunday morning.

<

He

dividend,

cent

around

25

hard

times

and

earnings, With plants located in
the
South, Soutnwest and West
the

is favorable

company

from

benefit

to

public works
Missouri

selling
and

He

record.

doubled

its

of

record

with

dividend

payments and

at

domestic

of

with

33

the

times

18

about

is

almost

million

50

barrels

It has been noted for

and

margins,

the

that

its

is

Alpha is
of

A

for

and

earning power are
Penn-Dixie at 32.

old but progressive
is doing a fine job

the

'

Its stock
attractive

most

price/earnings
ratios
of
the
majors—at 33% about 12 times
of

net

$2.66. Indicated dividend is

Marquette,

has

a

big
midwestern
recently acquired
Cement,

sizable

distribution

it

East.

the

a

American

North
ing

mature

Marquette

giv¬

in
is

common

earning $3.51
paying $1.80. Sells in the 60

and

Mexico,

Senate

Mansfield

picked

that

equity,

level.

Southern

is

Portland

General

producer

with

a

big

a

fine

record. Its shares, at 21
times earnings, do not appear in¬
growth

flated.
The

tell

and

up

you

me,

the

up

say¬

intend to

general purpose today was

say

1

&

are

to

to

not

also

minimum

the

about to

send

he

bill

wage
to

Congress.

Kennedy call¬

Congress.

relations

to

devoted

was

with

Kennedy told his

Mr.

Cabinet

members that he wanted

them

to

cially, Johnson said, don't include
in
the coverage. As a result Kennedy
did not include them.
Presidential

The

conservative
has

not

they
his

changed

have

courting

committee

their

least

at

measures

with

members

has

Congress.

He

subordinates

on

of

his

directed

Members N. Y. Security

Dealers Assn.

keep

to

all

staff

the lines of

open

communication

members

of

When he looked at the
Interior order increasing the re¬

Congress.

sidual oil import
reaction

case

the liaison

result
from

notified,"

people

ginia

was

vblume, his first

"Were the West Vir¬

was:

was

In

that

faulty and the

unpleasant words
Robert C. Byrd of

some

Senator

-

WALL STREET
.

V




-

j

:

realizes

sledding.

holding

up

ments.

Although

a

that

HAnover 2-7462

■

;

\

15th

Street,

N.

W.,

some

looks

it

of

/the New York Stock Exchange.'-

as

about
every
possible appointment, the
number he has not appointed run
has

he

though

just

made

into the thousands.

of

the

attitude

Catholic church, he is
into

all

sorts

of

of

the

going to run

trouble

on

his

The church insists that

school bill.

provisionbe, made for loans to
parochial schools and says it will
fight the bill: if this is not incor¬

He

defeat.

its

to

has

not

whether he would sign a
if

said

loan bill

passed separately.
The church is definitely putting

Mr. Kennedy in a hole on
He

sue.

elected

be

If he

this is¬

is the first Catholic ever
to

Presidency.

the

to favor loans to Cath¬

were

olic schools

the cry

would imme¬

diately be raised that he bowed to
Bishops.
His stand on the
issue has been
praised roundly
the

by Protestant
would

be

circles. The praise

reversed

if

he

back¬

tracked.
It

unjust for the church

seems

to put

of its

one

own

in this po¬

sition.

coal

industry.

Dean Witter & Co.
To Admit Partner
On

April 1, Dean Witter & Co., 14

Wall

Street,

New

members of the

Exchange,

will

York

New

a

admit

Gilbert P.
f.f

Atkinson to

partnership.

private wire connection with

SELLGREN, MILLER & CO.
Members

J. F.
39

City,

York Stock

Pacific Coast Stock Exchange

SAN FRANCISCO

OAKLAND

'

members

his

tough
reason
he is
bundle of appoint¬

is in for
For this

Co., which is being dissolved.

partner in Ferris & Company,, 611

let

Virginia, because of the af¬
fect the order would have on the

WASHINGTON, D. C.—On April 1

NEW YORK 5, N, Y.

to

West

Barney Dreyfuss II will become a

52

but

votes

agreed

to the floor for

come

President

The

to

that

insistent

is

He

members

partners in Morgan

Will Admit

Established 1937

of

chairman

vote.

a

get on a first name basis

LOS ANGELES

,

was

Espe¬

hotel and restaurant employees

Ferris & Co.

BURKE & CO.

Con¬

anger

seen

story :is

partnership.
Davis

Bruyn

efforts

an* Example ,bf Ttillf, porated. Mr. Kennedy, is willing
determination to cre¬ to let the church try to get this
ate a rapport with Congress. There
aid in a separate bill but does not
are many other stories too.
want it tied up with the school
The
second
Cabinet
meeting bill which could very easily lead
The

Douglas G.
Bishop and

R.

His

gress are

Announcing the establishment of

will admit
Poynton K.

had

White

Kennedy's

Wood, Walker to
Admit Three

Bishop,

about it.

telegram

House, efforts
were begun to find some job-pro¬
ducing contracts for the yard.

Because

"anytime"

replied

a

April

the

reached

immediately

done

the

before

Even

about your

kind word about cement,
One morning the President read
and to point to a resumption of
|in a Philadelphia paper that Rep¬
the favorable trends which made
resentative William T. Cahill, a
cement shares great favorites in
New
Jersey
Republican, who
the
early Fifties. Just the fact
voted with Kennedy in the House
that
many
of these
companies rules committee
fight, had said
have made money and paid divi¬
he
was
seeking Administration
dends for decades is a fairly good
support for some new projects at
substitute for glamor.
',
v ;
a
Camden
shipyard which had

to

-All

firm

Leader

his staff to do this too.

producer

something

program

ing for his engagement pad.

an

It

at

something

wants

and then heard Mr.

yield

good

plant modernization.

sells

he

particular matter.

a

Mansfield

factors favoring

company.

up

meeting?"

the figure at the

over

historic

good

pick

,

1945.

of

to

,

of

79%

up

end

likely

are

"All right, make it four o'clock
expansion. Currents
;
Tme-'
17,4 million barrels this afternoon

post-war

capacity
• is

everything

interparliamentary meet¬

in

come

shares

noteworthy

aid

Subordinates in de¬

ing: "Mike when do

is in Latin American
At 27, paying $1
and

earning about $1.50 the
seem reasonably priced.

more

phone to hear Mr. Kennedy

25%

of its output

countries.

or

morning after he returned

year.

higher profit

fact

be

will

Federal

contact with

an

Mike

a

get all of

three

get

bills.

20

He

notably

saying

ing

out

turn

now

can

Kitty

telephone and find Mr. Ken¬

The

earn¬

ings.
Star

to

done about

from

Lone

session.

bills,

nedy

Stock

dividend

$1.20

a

at

output.

expect to

partments

accounts for about

now

not

that goes on.

steadily expanding stature in the
business. It

about

this

at

personal

long

a

carrier

the

President

The
wanted

it

education, minimum wage and
unemployment benefits.
He is insisting on keeping in

Lehigh Portland Cement Co. is
company

making

launched

to

tripled its net profits in the

majestic

does

major

sales

1959; decade.
a

early

He likes the job

Congress

satisfied

impressive

is

36,

It

to

them
now

just

Hawk.

in other ways.
gets pleasure out of working Vice-President
Johnspn
warned
it.
In
office
less
than
two. him not to include too -much in

sent

program.

Cement,

deliberately
himself.

or

months, Mr. Kennedy has already

placed

expanding

our

Portland

around

its

on

at

is
on

BARGERON

much

so

He does not get

estate

in

second

Wood, Walker & Co., 63 Wall St.,
New York City, members of the
New
York
Stock
Exchange, on

Clancy, Jr.

associated with

is

found

play golf.

Saturday off. The last two weeks
he
has flown
to
his
Virginia

not

seems

independents.
80

an

shares

Arwed

is

time to

un¬

arenas.

that

ex¬

additions

many

roofs

only have the

be

present

a

these

has

increased

mated

have

we

for

churches,

as

nationally,

capacity,

only

supported by columns in buildings

dustry. Ideal has

of

that

uses

10% to its plant in Tampa. While,

cess

predicted for
the con¬

sometimes

thick,

architectural

the

paying

the

pre-

there's

last

30

are

important
gains." Prestressed
concrete,
made
by
stretching a steel wire before the
strong

Cement

Ideal

among

Eisenhower

dent

.

Companies

$1.50.

making

up

over

size

have taken

tures. Concrete blocks

BY CARLISLE

President
Kennedy
must
every
next -v now and then wonder how Presi¬

the

quality

on

Penn-Dixie

to

by 6%

amiss.

"

construction,

optimistic
the
cement

making individual selections,

emphasis

big office and apartment struc¬

nificant

one.
over¬

cement

435

im¬

is given new

to be moving ahead.

seems

materials.
in

the effects of its financial

life and

an

fact

accepted

an

the

over

depletion

new

Presi¬

under

light - weight
aggregates;
Using
precast wall panels can1 now be
produced, to compete with other

~

cement

The

now.

the

as

VA.V'vAv,:,,

■

perhaps
Federal

and

year

building

cement

Over-capacity

dam

25%

program

.

market
for
of industry

big

a

road

event

any

Kennedy,

petus.

reserves, i

i*

is

this

more

expansion
programs.
Of
the
majors only
General, Marquette and Missouri
Portland » had
been ■ farsighted
enough rto set up> in advance, ade¬
by' that

In

building

to

In

most

road construction has scored

Where

able

concrete

1

an

,

Individual

available

word

year,

that

we

years..

this

around

to

sales1 within

10%

later

foregoing

towards

in

peaks
two

While the re¬
will not be pub¬

favorably.

were

kinds

all

on

use

of this test

has" gotten

of

of

surfaces.

$6.8 million; Penn-Dixie $4.1 mil¬
lion;
and Medusa
$3.6 million.
companies

ce¬

the

stocks, at this juncture. Current
price/earnings ratios are reason¬
able, and we look forward to new

ingredient in

Test for 25 months from 1958

way

example,

construction,
basic

ficials conducted

years.

For

the

of
Federal
Highway
aid
specifications covering 15,000
paved miles in the 1956-59 period.
Not only that but the American
Association of State Highway of¬

it enters the kiln (at lower value).
This

roads

was

traditional

more

69%

material before

raw

is low in

effectively
There's" air
en¬
cement
impervious
to
and
to
the
action
of
chemicals.
With
these

freezing

depreciation

dirt

(instead

site

job

with

depletion. This hurt. Whereas in¬
dustry practice had been to apply
ished

the

cost

an

with

mixed

aggregates)

earlier lower court-tax ruling on

the

how is
-against
its

demand,

of standard

news,

reversed

Court

Supreme

available

im¬

cements.

the

out

round

Rising Demands
.

which cement is

increase. Along the Northeast

the

of

cement
holding
up
competition? Very nicely indeed.
New
uses
of
cement
are
being
constantly researched. Here are
a
few of them. Soil', cement in

Shipments fell 6% to 312 million
barrels and the industry operated
at .74% of capacity instead ,of the
79%%

of

Speaking

...Ahead of the News

advance.

of

incline

rather

past two years.

in

forms

From

Reilly & Co., Inc.

Broadway, New York 6

*

DIgby 4-4970

6

(1178)

The Commercial and Financial
Chronicle

TAX-EXEMPT BOND MARKET

bonds

By GEORGE L. HAMILTON*

of

(1962-1981).

first

of

part

$35,000,000,

These

were

by

won

by

The

In

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

the

Chase

Manhattan

Bank, Halsey, Stuart
Co., Inc., Harris Trust & Sav¬
ings Bank, arid Kidder, Peabody

March 16

&

and

municipal

bond

be

has been

market

only moderately
during the past week, with
generally easier.< Although
biading for new issues has

bond

active

been

less

aggressive

cent weeks

than

in

State

and

Municipal

to

overcome

underwriters

of slow
The

or

falling markets,

Commercial

and

Financial

Chronicle's municipal bond
index has shown a further

re-

underwriters grope

as

by

account stagnation during periods

prices
the

done

yield
aver-

&

Co.

1962

Yields

to

maturity
offered.
thirds

1.65%

1980.

The

in

carried

and

coupon

from

ran

3.40%

%

a

Lower Cape

of

Miami

A

;-

,

age

decline during the past week,

On

March T5,

level has not

3.273%; a week ago it was purpose general obligation bonds
3.246%. In dollars this represents,
(1963-1984) to the account mane.:
an
average
decline
of
slightly aged jointly by The Chase Man¬
more
than
one
half
point. The hattan Bank and Chemical Bank
consistently stable turnpike rev- New York Trust Co. and includ-.
enue issues have shown no price
ing Harris Trust & Savings Bank,
changes according to the Smith, R.
W.
Pressprich
&
Co.
and
Barney & Co. turnpike index. On Eastman Dillon, Union Securities
March 9, thedast reporting date, & Co. as
majors. The bonds were

yet been reached,

as

The technical factors

tax-exempt
continued

general

to

:

tinued

to

general
again

once

■

expand

total

in

when

but

and

con-

with
today's
approximately

at
This

impressive,

thorized

a

would

before

standing

$600,000,000.
is

,and

issue calendar has

new

total

have

yields

demand

appears.

The

in

prospect

investor

market

this index stood at 3.74%, unchanged from the previous week's

itself

the

unannounced

resisted

of

March

dealers!

of from

been

has
cate

to

tried

but

interest

has

been

developed.

always seemed

falling
break-up

a

bonds

the
free

a

time

again

only

level
can

of

is

would

to

way

While

de-

really

it

the

subject
bring to
of

the

bonds
.

the

seems

fore

weaker

links

has

This

of

many

unsold

while

the

With

system

our

underwriting
idly by for pe-

groups standing
riods of from 30

large

archaic

to

60

days with

balances

market

high

of

bonds

slips away.

grade

municipal

bonds fluctuating much like

quality
cent

stocks

common

good

over

re-

and

with daily fluequite abrupt, it is
patently absurd that new issue
accounts should
normally run for
years,

tuations

more

be

to

$25,000,000 Pennsylvania
General State Authority Revenue
bonds maturing 1964-1988. With
only two groups bidding, the
bonds were awarded to the account managed by Halsey, Stuart
& Co-» Inc- jh very close bidding,
Included among the many majors
in thls lar^e underwriting group
were C. J. Devine & Co., Goldman, Sachs & Co., Glore, Forgan
A ^°•> Hlair & Co., Inc., and Stone
& Webster Securities Corp.; The
bonds were reoffered to yield

often

than

two

desirable,

easily

On Tuesday, several important
issues came to market. The largest
•

.

in our business
namely the
long Joint Account Underwriting

Agreements.

be

week.

weeks.

accounts

extended

Should

was

£rom 2.10% to 3.65%.
half of the issue is

About

reported

onenut

account at present writing,
"Two-Thirds

it

cbuld quite
week

which

could

relatively large issue
on
Tuesday was $15 Duval
County, Florida,

000,000

sold

MARKET ON
REPRESENTATIVE SERIAL ISSUES
r,

-,-r

•

California

/0,

i

Rate

v

(State)

Maturity

Bid

Asked

3i/2%

(State)
Jersey Highway Auth., Gtd.—
New York
(State)
Pennsylvania (State)
Vermont (State)
New Housing Au h.
(N. Y., N. Y.)
Los Angeles
Calif

1978-1980

3.75%

3.60%

1980-1982

3.30%

3.15%

3%

3.25%

3.10%

1978-1979

3.20%

3.05%

3%%

1974-1975

3.05%

2.95%

31/3%

1978-1979

3.15%

3.05%

3%%

1977-1980

3.35%

3.20%

33/4%

1978-1980

3.75%

3.60%

31/4%

Baltimore, Md.
Cincinnati, Ohio

1978-1980

3%

——

198o

3.35%

3.20%

31/2%
31/4%

Orleans, La
Chicago, 111

City, N. Y

1930
1979

3.70%

3.55%

3i/4%

New

1962

to

two

1977

3 65%

3 45%

1930

3.45%

=

3.40%

3.25%

and

coupon

sue

yesterday
City

at

District

Special

No.

1,

ac¬

Tax

Massachusetts

to

—

Bankers

a

Salomon

the

March

Bros.

Rhode

&

Hutzler, F. S.
Moseley & Co., Bacon, Stevenson
& Co., and others. Omaha bonds
and

Priced

less

than

remain

account

1.80%

one-third

in

3.05%;

the

bonds

we

as

go

also

Town

awarded

$7,936,000
to

of

the

the

on

account

Co.

Co.

Pierce,
John

managed

&

Co.

reoffered

1.70%

in

1962

jointly

The present
The

lulu,

$5,649,000

Wednesday.
America

N.

Northern
scale
in

yield

3.70%

The

managed

V:

T.

The

S.

2.40%

available

was

is

at

to

will

see

No.

248,

Washington

Sch. Dist., N. J.__

Toll

of

be

but

made

for

week's

final

City Sch.

Dist.,

sales

writing.

of

Rhode

bonds

on

consolidated
issue.

bond

thority

is
in

of

the

Port

April

turnpike

This

in

underwriting

Birmingham,

Alabama
Flood

11:00

a.m.

10,000,000
16,715,000
1,460,000

1962-1987

10:30

a.m.

1962-1986

10:30

a.m.

2,630,000

1932-1985

1962-1981

a.m.

7:30 p.m.
11:00

a.m.

2:30 p.m.

1,125,000

1961-1980

3,000,000

1964-1983

1,623,000

1962-1980

10,000,000
1,750,000

1963-1982

1962-1991

8:00 p.m.

10:00

a.m.

2:00 p.m.

11:00

a.m.

2:00 p.m.

2,800,000

1962-1981

1,400,000

1962-1987

Noon

2:00 p.m.

1,250,000

1962-1971

Noon

1962-1978

10:30

a.m.

2,000,000

40,000,000

1966-1981

2:00 p.m.

2000

6,500,000

Control

Dist.,

»

1963-1990

11:00

a.m.

1962-1981

9:00

a.m.

a.m.

,v

*.•_

Unified

Sch.

Dist., Calif.

25^000,000
1,000,000

calendar.

to

come

with

April 5 (Wednesday)
Austih Indep.

to

Weston,
group

§ch. Dist., Texas

2,500,000
190,000,000
Findlay City Sch. Dist., Ohio—_
4,9:0,000
Jefferson County, Kentucky
1,715,000
King County, Renton^ Sch. Dist.
No-. 4r3, Washington
2,000,000
Pittsylvania County, Virginia
2,000,000
California

is¬

an

of the

:

*T

into

pres¬

Mass.
will

J

be

/

-

Co.,-and Tripp & Co.

"

County Road Dist.,
Texas t-L——

West
Mackey.

No.

-

Milford .'Township

2,CfOO,OCO

1962-1981

10:00

a.m.

2,200,000

Independent Sch. Dist., Texas

District, New Jersey

11.00

Noon

1,'

Daytona Beach. Fla.—.
Waco

D.

1963-1981

1962-1981

April 6 (Thursday)

Dallas

Donald

2000

15,090,000

Torrance

Corp., Blyth &

Pinch-hitting for

Angeles

Michigan

The

.*

11:00

April 4 (Tuesday)

one

Moseley; & Co.,

Boston

8:00 p.m.

1962-1991

April 3 (Monday)

rev¬

managed by F. S.,
First

a.m.

2,000,000

Calif

14-mile toll extension
end

10:00

(Thursday)

Imperial Junior College Dist., Calif.
Jacksonville Expressway Author¬
ity, Fla

approximately $175,000,000

the

—

30

Commission, La.

Turnpike Au¬

expected
late

1963-1981

; •

p.m.

(Wednesday)

Charleston County, South Carolina
Greater
Baton
Rouge

cf Turnpike revenue bonds.
These
bonds would finance construction

ent

1, New York

Los

on

0'

2:00

;

Louisiana

Turnpikes

issue

Boston from

No.

March

issue

only
type

C.'t, :V

a.m.

Dist.

Wednesday, March 22.

present

•

1,052,000
2,175,000

a.m.

,?i

a.m.

March 29

Providence

negotiated

2:00 p.m.

11:00

Ohio
Rush, Henrietta, Etc. Central Sch.

Coming
new

i

a.m.

2:00 p.m.

10:00

(1962-1991)

Massachusetts

10:00

1982-1986

bid

and

at

Noon

1961-1998

Dayton,

Massachusetts

serial

is

1962-1984

2,640,000

■

—

$10,900,000 State of

Island

Plantations

3,600,000

100,000,000
1,000,000

$62,547,000

important

will consist of

11:00

12:30 p.m.

6,000,000

Mich

Washington Sub. San. Dist., Md.__

this...

1961-1990

1962-1991

5,000,000

Wausau, Wisconsin

one

a.m.

3,000,000
10,900,000

Long Island University, New York
Park Ridge School
District, N. J.
Port of Oakland, Calif
Troy, New York

was

(1962-2010) serial bonds. Here the
municipal
bond
fraternity
has
shown good foresight and there
will

a.m.

Authority,

—

calendar

of

10:00

(Tuesday)

schedule

sale

1962-1981

1,500,000 ,' 1962-1985

Tax District No. 1, Fla
Kentucky .(State of)
Lexington, North Carolina

The

up
for sale. On March
Columbus, Ohio, will receive
bids for $12,810,000 various
pur¬
pose
(1963-2001) bonds. Tuesday

the

3,750,000

a.m.

6,760,000

Bridge

only three issues of im¬

see

a.m.

4,000,000 :1962-1986

week's

Commonwealth

11:00

County, Wenatchee School

portance

will

1962-1987

(Monday)

over-all

Although the
heavy, next

1,800,000

Dist.,

Detroit, Michigan
Fridley, Minnesota
Greensboro, North Carolina
Hillsborough County Special Sch.

3.80%

to

as

this

Noon

11:00

Detroit

offering

maturity

report

no

11:00

1962-2010

1966-1981

California

not reoffered. Because of the time

differential,

1964-1981

4,000,000

California

group

and

The

1981

/

Noon

50, Colo.
Allegheny County, Pa

1986.

Bank

A.

Co.

from

ran

1980.

The

&

Trust

(

a.m.

.1,500,000
62,547,000

1962-1976

March 28

from

in

winning

by

11:00 a.rri.

Adams County School District No.

Improvement
1981) bonds on

-

11:00

1963-1982

a.m.

8:00 p.m.

1962-1981

Wert-

Hawaii:'awarded

(1964

1966-1990

1,300,000

10:00

2,000,000

District

Public

serial

1963-1980
1962-1990

2,000,000

;

1,940,000

Kansas

Delaware Twp.

City and County of Hono¬
of

>

1,900,000
1,330,000

1962-1981

Chelan

balance is $4,394,000.

State

was

and

to

to

8:00 p.m.

.

Co., and others.. The bonds

were

1966-1990

1962-1981

Cabrillo Joint Union College
California

bonds*

and

Nuveen

heim &

4:00 p.m.

1,485,000

date

same

purpose

Spencer, Trask &
including Merrill Lynch,
Fenner; & Smith, Inc.,

and

1967-1980'.:

2,250,000

March 27

by the Chemical Bank New York
Trust

Wisconsin

Hempstead, N. Y.

various

8:00 p.m.
8:00 p.m.

(Thursday)

City Sch. Dist., Mo.
Palquemines Parish, La

to

press.

The

1962-1991
1962-1981

Lubbock, Texas
T___
New Milford, Conn.—

interest.

to

of

account

Auth., Ohio
March 23

Baraboo,

p.m.

Noon

North

trust

yield

to

3:00

1963-1990

(Wednesday)

Island

Toledo-Lucas Co. Port

usually attract considerable port¬
folio

22

Oyster Bay Central Sch. Dist. No.
3, New York

included

account

1962-1990

School

__ —

(March 15).

a.m.

2,350,000

Fla.__

Chatham

a

11:30

1,000,000

Hills, Mich.—— —1_
County, Ga.
Concord, North Carolina-—
Lee County, Special Tax District
No. 1, Fla,

1%

of

in

market

■

•

1961-1980

(Tuesday)

Bloomfield

Co. syndicate in
extremely
competitive bidding. Other under¬

of the




reoffered

awarded

was

writers

sue

Rflhmsori-Humphreij Company,Inc

Bay -County

in

a.m.

lp:00a.m.

Alderwood

March 21

last

of

County,

11:00

1961-1988

2,275,000
12,810,000
1,750,000
1,650,000

"( Water District, Wash

Trust

The

LOCAL STOCKS

1-0316

xk

a

Arbor, Mich.
Columbus, Ohio
Gateway Union Sch. Dist., Pa
St. Louis, Wellston Sch. Dist., Mo.
Sioux City, Iowa—
■

1962-1980

3,600,000

Ann

Snohomish

a.m.

8:00 p.m.

(Monday)

Omaha, Neb. also'
Rutherford County North Carolina
sought bids for $3,500,000 general
San
Meteo
Union
High
School
obligation bonds, due 1963-1976,
District, Calif.
on March
14. This high grade is¬

enue

ATLANTA 3, GEORGIA

bore

The

March 20

;

•

count

important

MUNICIPAL BONDS
CORPORATE BONDS

JAckson

;

Approximately

Mass.

STATE AND

.

1.60%

1982.

$1,400,000 bonds remain in the

There

RHODES-HAVERTY BLDG.,

in

were

4.20% yield.

3.273%

ESTABLISHED I894E

The

yield from

maturities

3.40%

3%

March 15, 1961 Index

to

3.35%

20,

334%

Connecticut

New

New York

Tuesday, High Point,
$4,000,000 various

awarded

reoffered

Sold"

Another

from

something

Thus

to

grade

offering-mbt!with' excellent inv6stor reception. As of this writing
*ke balance is $217,000 bonds,

be

find

where

this

one

3.30%# for 334s, this high

to

seem

to

again

las- Priced to yield from 1.65%

and

.

on

Mercantile National Bank of Dal-

and

Time

sold.

worthwhile

the

better

members

it

to

as majors were The
First Boston Corp., The First National Bank of Oregon, and the

in

allot

market.

the market

be

once

it

underwrit-

an

al.so included

It

that

us

syndicates,

to

clare

the

market

to

Awards

from

Education School District (unlimited tax) bonds due 1962-1985.
The winning bid was submitted
by the syndicate headed by the
Harris Trust & Savings Bank and

cutting

during the past
no large buying

yet,

as

price

week

jssues worth commenting on. The
only jssue 0f significance to sell
on
Monday, March 13, was $4,000,000 Cincinnati, Ohio, Board of

.15% basis points
by various syndi-

managers

week

has

shelves,

.10%

on

C.

The

viewpoint
was
not
overly
heavy but there are numerous

on

With this vast amount of bonds
on

of

ing

$503,-

Free Market

a

trend

merits,

own

Recent

This

10.

Price Cutting Vs.

downward

their

on

•

C^n\P^oeS

"^n

prevailed

the

general
tax-exempt
bond
market and sold as a separate

group

available municipals as offered in
the Blue List totals $474,211,000

which

revenue

the

the
market
are
considered, this total could
staggering. The street float of

as-Ai°

of

group

bonds has many times in the past

au-

issues

also

000,000

This

average.

overshadowing
be

Also
N.

was

affecting the

deteriorate

*

increase

in

seem

bond'

yield

average

11:00

1,600,000

________

1961-1998

2,750,000

Worcester, Mass.

v

1962-1997

4,025,000

University of California

not publicly reissue is about two-

The

1,600,000

University, Ohio

Pelham Union Free School District
No. 1, New York

1%

were

sold.

(Thursday)

May Regional School

District, New Jersey-.

in
last

for price levels which will stimulate broad investor buying, that

the

Thursday, March 16, 1961

.

Larger Issues Scheduled For'Sale

bonds,

authorization

an

managed

group

state

.

Special Tax School District No. 1
the

The

.

-1,000,000

School
1,550,000

1963-1982

8:00 p.m.

Volume

Number

193

The

6038

Commercial and Financial Chronicle

(1179)
Steel

Production

Electric

However, January

Output \

not

Carloadings

The State of

Retail

concentrated

Price

Auto

Production

Business

Index

Failures

commodity

weakness

but

was

rather•«.

was

hea

it

was
possible to obtain weekly
clearings was 19.4% above those
of the corresponding week last
year. Our preliminary totals stand
at $27,938,313,849 against $23,399,499,185 for the same week in 1960.

plate, plates and structurals

Price, index
;■

wire rod

and

viTy 'in
the
motor - vehicle
category, I where
weather must be counted a major
villain. -Moreover, for all manu-i
facturers, the shortfall of new or-- Our comparative summary for the
clcrs below sales was considerably
leading money centers for the
smaller in January than the aver- week follows:

Trade

Food

TRADE and INDUSTRY

generalized

7

time

on

ing 0ut

a

While
u_

In

steel

products
,

o

«rvww

Iron

,

,

m

aavance

points

Age

can

..

dellver7

■

ering

growing.
The

ip»rl

bit

most

_v/q

hicic

wire

Htip*

somp

few products is stretch-

a

to

is

these

bage monthly deficiency - of the week Ended
A—(boos omitted )indications
of .a:
fourth quarter. This narrowing of j
strengthening
March 11-^-. , . :.i96i. >
i960
where they don't wish to cut ma- tv,P <yan hpfwepn order* and cpIp* New York— $15,959,266 $12,322,366 +29.5 market:
Guaranty Survey, published by terial. stockpiles
much
further,means
March is shaping up as the best
the Morgan Guaranty Trust. Co.,, they will have to start stepping
wjth only moderate improvement Boston _—
756,697
670,643 +12.8 month since the first half of 1960
Mew York City comments in part; up their order placements. Per- in
orders the downdri£t in back"Iron Age" Reports Steel Market
as
follows on the economic out- haps a harbinger of such a de]ogs wouid cease.'.'
look:
•.
'
Stronger-Due to New Orders-,;
velopment is the fact that prices ;
A.
:y:
ji'Y j
The

March

the

of

issue

Morgan

since if

thai

"HSS&

Vtl

S'TWs
»

"On

recent business
encouraging

balance,
has

news

than at

been

S^ "ovir- todr

some

there subtle hints of improvement
have emerged in industrial conIt

business

well be that

may

contraction

mildest

the

of

measured

the

still

—

the

postwar period

as

respects, actual order
already seem a little
stronger. True, the total of new
orders received by manufacturers
in
January was slightly ' lower
statistics

than

in

attrition

market

on

continues

broad

a

base,

to

heavy
steels,. which
had
been
The hard-hit,
close
to
the
over-all

Iron Age reports. In spite of some

Year

mSw fumlT

K®.

operating rate.

,

'V-:

-v

Bank clearings last week showed

'

assuring rather steadily throughout I960. *
months
"in

to be lifting, and here and

Last

r,.

steel

advance

Above Corresponding Week

lor"

hoy-

the storm-plagued winter

ditions.

Banks Clearings Were 19.4 Percent

so-called leading indicators
rose ^ k°ui January and_ Feb-

time since the reces-

any

sion began. The clouds which

appear

°j- Tfw industrial materials—one

more

The

.

mil"

dte several weeks of slow imPreliminary figures compiled

ago.

Provement,-remains optimistic.

^ js reaching a point where
take no more April orders

gays

tele-AY The magazine points out that
graphic advices from the chief except for automotive steel prodcities of the country, indicate that uc*s, orders for steel are picking
lor
the week
endedSaturday, up across general market areas.
by the Chronicle based

ft

upon

can

f

-th

or

the

rOTWPntional

c

thin tinplate.

new

December, continuing the March 11,"clearings from all cities
of
previous
months.' of the United States from which

These

include

products,

indicate canmakers

construction

galvanized

sheets,

are

Continued

tin-

at

Investors

apparently

or

already

are

firmly convinced of this, to judge
from

the

veloped

appetite which has de¬
for

In¬

stocks.

common

vestor

optimism, because of its
potential for contagion, must itself

be counted

as

New Issue

March 15, 1961

positive factor in

a

$15,000,000

assessing business prospects.
"Trade
experience during the-a
latter
part of February — when
weather

was
generally. - normal
throughout the nation—did much

to

the

restore

impression

derlying solidity in
mand.

of

riod, and

so

helped
that

Duval

volume

impressively in that

tomobiles.

Special Tax School District No. 1

de¬

consumer

Department-store

did sales of

pe¬

trade
dispel earlier concern
might be sucoumb-^,

to

AND YIELDS OR PRICES
r-jf-

$1,050,000

of

ment

since

the

October.

they

the

2.15

1965

2.30

1966

2.45

650,000

3.30

1967

2.60

650,000

3.30

1968

Due July 1,1962-80, incl. and April 1,1981

2.70

contrary,

two
significant
news
that plans to

the

—

1964

650,000

1,050,000

included

pluses

1.65%

April 1,1961

2.00

survey

previous

On

1962
1963

650,000

buying

consumer

deterioration in

a

HV;

Dated

senti¬

1,050,000

intentions. They contained no evi¬

of

A f r.

i'V.1;

Am

53/4%
53/4
53/4 2
53/4
53/4

the Federal Reserve Board's Jan¬
survey

»

(Accrued interest toibe added)

."Further brightening came with
publication of the results of

the

dence

5M%, 3.30% and V*% Bonds

AMOUNTS, RATES, MATURITIES*

ing to "recession psychology." >

last

County, Florida

au¬

new

This upswing in

consumers

uary

...

un¬

increased

Principal and interest (January 1, 1962 and semi-annually thereafter

January 1) payable

at

in New York

July 1 and

on

the principal office of The Chase Manhattan Bank
City. Coupon bonds in denomination of

$1,000, registrable

principal alone.

as to

buy used cars presently exceed
the level of last autumn and the

650,000

3.30

1969

2.80

650,000

3.30

1970

2.90

finding

that

650,000

3.30

1971

3.00

Legal Investment for Savings Banks and Trust Funds

cars

just about

700,000

3.30

1972

3.05

in New York State

700,000

3.30

1973

3.10

700,000

3.30

1974

3.15

700,000

3.30

1975

3.20

3.30

1976

3.25

3.30-

1977

@100

are

plans

in January,

were

iness

sentiment

to

buy

high

as

new

they

as

1960, when b

considerably

was

stronger.

s-

;

Inventory Improvement
"Another

encouraging develop¬

ment has been

ter

'700,000

the somewhat bet¬

placements by

broad list of

eral steel consumers, weekly

has

risen

than

more

has. done
adverse
of

areas

so,:

in

demand:

two

the

It

3.40

obligations of Duval County Special Tax School District No. 1,

3.30

1980

3.40

Florida, payable from unlimited ad valorem taxes upon all

1981

N.R.

taxable property

interest

princ pal

3.35%

are

callable In whole
on

automobile

July 1, 1971,

Descriptive Circular

or at any

upon

request

The above Bonds

(Includes full information on
Redemption Provisions)

•

work

off
excessive
inventories,
construction, which has been
hit by the especially severe win¬

Some steelmen

perience
dence

the

that

in this

see

first

tangible

liquication

inventories

of

steel

substantially
for many of their customers.
"Hints

of

ventory situation
to steel

are

reported

inventories

of

all

the

was

that

kinds

declined

in January.

smallest

fourth

be

the

make

light

of

to

one

expect

existing

month

the

in

inventory-to-

sales ratios. For manufacturers in

general, these
before

they

men

were

relatively low

recession

haven't

much

they

the

in

the

did

in

;

swollen

began,
*

Karris Trust and Savings Bank

and subject to prior

Kidder, Peabody & Co.

Salomon Bros. & Hutzler

The Northern Trust Company

A. C.

Allyn and Company
Incorporated

..

1957-53.' If

phase

.

a

*

*

•

First of Michigan Corporation

W. H. Morton & Co.
\ Incorporated

incorporated

Leedy, Wheeler & Alieman

City National Bank & Trust Co.

Incorporated

Childress ar.d Company

W. E. Kntton & Co.

Kansas City, Mo.

,,

>

.

Commerce Trust
-

,

as

James A. Andrews & Co.

Clement A. Evans & Company

Courts & Co.

Company

...

Johnston, Lemon & Co.

...

point
a

....

Incorporated

Stranahan, Harris & Company

Kansas City, Mo. :

Beil & Hough, Inc.
1.•'

Townsend, Dafcney and Tyson Granger & Company

as

Wells & Christensen

Incorporated

Incorporated

Kenower,MacArthur&Co. Thonas M. Cook & Company, Inc. JamesF.Magurno&Co.

business¬

have in fact reached

(Incorporated)

R. S. Dickson & Company

•

.

Stone & Webster Securities Corporation

John Nuveen & Co.

Trust Company of Georgia

and

nearly

contraction




Halsey, Stuart & Co. Inc.

.

a

reasonable

us,

the

in

trend, a slowing
of liquidation would

pace

B. J. Van Ingen & Co. Inc.

monthly

million

quarter. While

doesn't
in

$350

and if issued and received by

Mitchell, Attorneys, New York, N. Y.

The First Boston Corporation

monthly liquidat'on

summer;

averaged

The Chase Manhattan Bank

factory

cutback since retrenchment began
last

as

not confined

by only $110 million
This

v

in¬

alone. The Department of

Commerce

offered when,

approval of legality by Messrs. Caldwell, Marshall, Trimble

over

better-balanced

a

are

sale and-

ex¬

evi¬

is

exempt property.

payment date thereafter prior to

and

ter.

therein, except homestead

in Inverse

or

maturitv.

industry, steel's biggest customer,
where production has been cut to

Bonds

numerical order

despite

moreover,

forces

authorized $35,000,000, in

1979

800,000
*

year.

an

1978

season¬

ally since the start of the

of

opinion of counsel will constitute valid and legally binding

800,000

out¬

put

the first part

3.30

'

gen¬

a

These Bonds,

the

700,000 " 3.30

steel activity.
In re¬
modestly higher order

to

r

800,000

in

tone

sponse

700,000

•

'

-

■
.

,

'

Howard C. T raywick & Co., Inc.

The Phelps Co. Pohl & Company A. Webster Dougherty & Co.
Incorporated

still hold-

on

broad aggre¬
near
its bottom.

gates—is

1

.

most

by

tinnlate

Releases

page

32

V

The Commercial and Financial Chronicle

(1180)

Withholding

Tax

—Discussion

DEALER-BROKER

in

Dividends?
issue of

on

Exchange MagazineExchange Magazine, Dept.
Wall St., New York 5, N. Y. —
$1.50 per year. Also in the March

AND RECOMMENDATIONS
INTERESTED

SEND

TO

THAT

THE

FIRMS MENTIONED

PARTIES

THE

WILL

BE

issue

are

Industry,

Missile

PLEASED,

FOLLOWING LITERATURE;

Air Freight

»

articles

Age,

etc.

'

Martin

Macke

the

and

Stores—Analysis—

particular reference to
Aetna Life, Travelers, and Loyal

Bank

American Life Insurance

Stocks—Analysis

of

1960

reports—Blyth & Co.,
Inc., 14 Wall Street, New York 5,

year-end

California Savings & Loan Indus¬

try—Review—L. F. Rothschild &

Co., 120 Broadway, New York 5,

tive

Canadian Dividend Paying Stocks

—Comparative figures

performance

120

1951-1960.

on

selected

Hammill &
Co., 14 Wall Street, New York 5,

N.

Y.

on

Beech

& Co., Inc.,
Street, New York 5, N. Y.

64 Wall

Canadian Oil

Review

—

—

Bickle & Company, Ltd., 44

Street,

West,

Toronto

Wills,
King

Ont.,

1,

Canada.

Also

Stocks—Bul¬

Company

letin—Goodbody & Co., 2 Broad¬

New York 4, N. Y.

Construction

Hentz

&

H.

reports
Edo Corp.
are

Airlines

Lewis

Stock

for

Economy,

on

Ohio

Oil,

Electric Utilities—Review—Dean

Oil

100

San Francisco
Electronic

Stocks

Stanley R.
76

6, Calif.
—

Discussion—

Ketcham

Beaver

on

Co., Inc.,
New York 5,

Street,

&

N. Y.

issues

of

economic

picture

—

Analysis

Annett &

-—

son

stocks

Averages

Toronto, Ont., Canada.

counter

Securities Co., Ltd., 25 Broad St.,
New York 4, N. Y. Also available

Tokyo Shibaura
Communications

analyses of
Electric,
Fuji

are

Manufacturing

Apparatus
Mitsubishi

Heavy

and

Industries

Re¬

organized Ltd.
Japanese

Beneficial

—

Securities

R

e v

Co.

i

e w—

of

New

York,

Inc., Ill Broadway, New
York 6, N. Y. Also available are
reports on Mitsubishi Heavy In¬
Reorganized,

dustries,

Ltd.,

and

Nippon Steel Tube Co.
Japanese

Stock

Market

Survey
—Nomura Securities Co., Ltd., 61
Broadway, New York 6, N. Y.
Also

available

—

analyses oi
Yawata Iron & Steel; Fuji Iron A
Steel;
Hitachi
Limited
f elec¬
are

tronics); Kirin Breweries; Sumi¬
tomo
Chemical;
Toyo
Rayon;
Toanenryo Oil Company; Sekisai

the

listed
the

in

and

the

industrial

National

compari¬

used

Quotation

both

Taggart &

Welded

on

Life

Pennsylvania

of

Authorities

—

Manville

Corporation-

Newburger,

—

—Boenning

Street,

available

St.,

14, Calif.

Co.,

&

Loeb

2,

data

are

Inc.

Long

Also

—

Booth

Cata¬

Brochure

Newspapers Inc.

randum—Wm.
Buhl

C.

Building,

Also

available

Detroit

&

Detroit

&

26,

memoranda

are

Canada

Tunnel

McKesson

Co.,
Mich.

Corp.,

Mandrel Industries, National Elec¬

Financial

Inc.—Anal¬

Robbius

&

available

Also

N.

Y.

on

Duro-Test

randum

is

report

a

Corp. and

memo¬

a

J. I. Case.

on

tric Welding Machines, Resistance

Wain-

Welder, Scotten Dillon Co., Stearns

—

Jv"

Sloss & Company, Inc.,
Wall Street, New York 5, N. Y.

ysis

ysis—William T. Robbins & Co.,
Inc., Terminal Tower, Cleveland
13, Ohio.

preciation

—

Market

Brochure

—

Refrigeration.

Apr

Evans

May & Gannon, Inc., 140
Federal Street, Boston 10, Mass.

&

Co,, Incorporated, 300 Park Ave.,
New York 22, N. Y.
Sugar Legislation

Carborundum

Company—Analysis

—Hornblower

Bulletin

—

—

Weeks, 40 Wall
New York 5, N. Y. Also

—Lamborn

Street,

Wall

available

& Company, Inc., 99
Street, New York 5, N. Y.

roughs

6, N. Y.

&

comments

are

Corp.,

Chemetron,

Georgia

Video

Hayden,

Stone

Bur¬

on

Pacific

Products Company—Anal-

National

Pacific

and

—

Photo

Inc.>—

Co.,

Report—

Life

Report

Broad

25

Calif.

Francisco 4,

—

Assurance

Sariford

&

San

V
—

York

CURRENTLY

Central

Corp.

ACTIVE-i

Wells Corp.

:

\

—

Hudson

Struthers

;;

4, N. Y. >

Haloid Xerox Inc.

Hudson -Gas

Annual
Gas

Diamond National Corp. and Giant

—

Central

Electric

Corp.,

N. Y. \

Puerto Rico

portfolios

-:*:V

Haupt

Telephone—Review—

&

Salt

Lake

City

1,

Calif.

—Metropolitan

views of international Telephone
& Telegraph, Jones
& Laughliri

Recovery Corp.

Bought

.

•

Kennecott

are

Sold

Copper

Electric Storage Battery
—

Walston

Texas.

Wallace Properties,

B. C. Morton Office

In«%

Commercial

fice

HAVEN, Fla. — B. C.
Co. has opened an of¬
Winter ' Haven,
Florida,

&

Morton
in

Manager.
The

v. -•

new

9th Street,

office is located at 700

: L;:

Winter Haven.';

is
stocks

,

.

Electrolux

a

Y.
31

with
;

■■

Financial Chronicles

Volumes, (all bound), available

in New York
*

possible
t

•

/'

,

Corporation—Analysis

—Hooker. & Fay

&

from 1930 through June 1959

159

74

5, N.
list of

available

speculative

Trinity Place, New York 6, N. Y.




WINTER

Co.—Re¬

Co.,

Also

Security Dealers Association

Teletype NY 1-376; 377; 378

Inc.—Analvsis

—Parker, Ford & Company, Inc.,

FOR SALE

Corp.

Street, New York

potentials:

HAnover 2-2400

&

Wall

Troster, Singer & Co.
74

Corpora¬
Street, Dallas 1,

Dallas

•

re¬

I

port

Members New York

1706 Main

Utah.

Also in the same bulletin

Corp.,

'

Industries—Analysis—

Voi-Shan

Holton, Henderson & Co., 210 West
Seventh Street, Los Angeles 14,

.!••••• v"

and Southern California Edison.
'

Natural Resource

Y.

Oil

'

small investor

the

of

-<

.Clark 'Equipment' CP.—^-Review—
J. A. rHogle & Co.. 132 South Main

Grolier, Inc.

.1.

for

reviews

with Harry S. Lulos as Regional

Co., Ill Broadway,
New York 6, N. Y." v •
Ira

>

Broadway, New York 5, N.

-

Street,

i

Canada. Also available in
March "Blue Book" are five

Ont.,

Christiana, Securities Co.—Analy¬
sis—Laird, Bissell & Meeds, 120

Tracerlab, Incorporated

-i

Portland Cement Co.

Electric

&

report

&

Poughkeepsie,

Strategic Materials Corp.

;

'-J.vv1'- V

Street, West, Toronto,

25 Adelaide

Re¬

port—A. M. Kidder & Co., Inc., 1
Wall Street, New York 5, N. Y.
Alsoavailable - are
reports
on

Corporation—Analysis—
Dreyfus & Co., 2 Broadway, New

Analysis—

—

Draper Dobie and Company Ltd.,

Vaughn Building, Dallas 1, Texas.

Paramount Pictures Corp.

Carrier

Banks, Brokers and Financial Institutions

Memorandum—

—

Limited

Ventures

,

For

Rubber

S.

IJ.

tion,

Building,

Russ

Company,
Doolittle & Co., 70 Niagara Street,
Buffalo 2, N. Y. J '
<

Inc., 221 Mont¬
gomery .Street,,: San Francisco 4,

61

Memorandum— Wallace Properties—Memorandum

&

National

Company

United Artists.

Carhart

—

Street, New York 4, N. Y.

Manville,

Johns

Company,

&

Stocks.

Moore

for

Norfolk
Republic

Broadway, New York 6, N. Y.

63

Bradley Real Estate Trust—Anal¬

Favored

Plate,

Co.—Memorandum—

Hutton

F.

and

Stocks

Tyler

Corporation,

Lines

S.

Marron,

Manufacturing

and

McDonnell

Goodrich,

F.

Western-Nickel

the

—Analye1c;L-

wright & Ramsey Inc., 70 Pine St.,
New York 5, N. Y.

Co.

Corpora¬

W. E. Hutton &

—

Winslow, Cohu & Stetson, Inc., 26
Broadway, New York 4, N. Y.

ysis—Auchincloss, Parker & Redpath, 2 Broadway, New York 4,

on

Machinery

—

320

Memo¬

—

Roney

Shoe

B.

on

E.

Scherck, Richter Company,
North Fourth Street, St. Louis

yis

Also

Corp., and S. D. Warren Company.

Corp.—Anal-

Rubber

N. Y.

memoranda on U. S.

Analysis

—

Aircraft

U.

Manufacturers.

Mile

are

Co., 1 Wall

Co., 14 Wall Street, New York 5,
Y. Also available are reports

Restaurants Inc. and United Mer¬
chants &

&

5,

York

N.

Frisch's

on

Memorandum—.

—

Tobacco and Chemetron.

tion

Walnut

Pa.

Oil

du. Pont

New

United

&

York

New

1529

Philadelphia

Street,

Company—Study—Robert H.

Procedures

Calif.

available

2, Mo.

Municipal

a

Consultant

Bank

Laboratory For Electronics—Data

Calif.

ings—Kidder, Peabody & Co., 123
South Broad Street, Philadelphia
9, Pa.
Role

I

Street,

Co., 15 Broad
5, N. Y.

Insur¬

Huff & Co., 210 West Seventh

4, N. Y.

300

cisco 20,

Wachovia

Company,

Analysis

Com¬

Standard

— First California Company,
Montgomery Street, San Fran¬

ysis

Doherty

—

Co., 335 Bay Street,

Francis I.

performance over a 23—Bulletin—W. F. Taylor, 639 So.
year period — National Quotation
14,
Bureau,
Inc.,
46
Front
Street, Soring Street, Los Angeles
New York

Analysis

—

Tidewater

Johns

Co.,

Tube

Los Angeles

market

Co.

Yoko¬

A.

of America.

ance

and

Ltd.

&

Life—Bulle¬

Standard

Beneficial

in

hama Rubber Co.; and Showa Oil

(plastics);

Building,

Charles

—

pany

Bureau

yield

to

as

4, N. Y.

Company—Report—R. S. Dickson

Co.,
Wilmington,

Darlington

Grimm, 2 Broadway, New York

Thomas & Betts Company—Anal¬

Smelting

Toronto, Ont., Canada.

Biochemical

Averages,

&

Jefferson Standard Life Insurance

Annual

—

Finance

Beneficial

—

bulletin

over-the-

Syhtex—Report—Hill,

Bldg., Charlotte 2, N. C.

industrial

stocks

Co.

Inc., 1516 Locust Street, Philadel¬
phia 2, Pa. Also available is a

Folder

Dow-Jones

35

Street,

Del.

Utilities—Survey and analysis of
the industry — E. F. Hutton &
Company, 61 Broadway, New York

Co.

Chemical

Finance

Beneficial

logue of the issues and their rat¬

Market

Yamaichi

the

used

Company Limited, 220 Bay Street,
Japanese Market—Review—Nikko

up-to-date

an

between

Canada—

Co.,

Beneficial

—

of

Roadhou.se &

tin
Index

Co.

&

Stop & Shop.

Gas Cor¬

of Union Texas Natural

Limited, 220 Bay
Toronto, Ont., Canada*.

11

Com¬

poration.

Ga.
Over-the-Counter

29

Drug—Data—Droulia

Sterling

Co., 25 Broad Street, New York 4,
N. Y.,Also available are data on.

discussion

a

120

Meeds,

&

Broadway, New York 5, N. Y.

115 Broadway, New York 6,

N. Y. Also available is

—

65

Co.,

Bissell

Laird,

Develop¬

Hudson Bay Mining and

Telephone

pany

and

Co.,

and

a

Corp.

&

Stephen. Co.—Memorandum-

com¬

Gulf Oil—Review—Carreau

Memorandum—Matthews & Com¬

figures

&

Co.,

New

is

Strolee.

and

Bell

Marietta Street, N. W., Atlanta 1,

showing
European Impressions

Courts

—

&

are

N. Y..:_

Rand

Fahnestock

Industries,

Broadway, New York 6, N. Y.

report

32

ment

Corporation—Anal¬

Schweickart

—

Research

American

are

available

120 Broadway,

Review—1
Broadway,
York, 6, N. Y. Also available
review of Munsingwear Inc.

Sperry

Cards—Analysis

Guerdon

on

Memorandum

—

Peck,

& Co., Inc., 15th & Chestnut Sts.,
Philadelphia 2, Pa.

Company,

&

Y. Also

&

Inc.—Analysis—Robinson

Servel,

Grace—Discussion—Stearns

ments

reports
Stocks, Emery

Insurance

Allyn

Brothers

New York 5,

Ala¬

Co., 80 Pine Street, New York

5, N.

Com¬

&

Freight.

ysis

Largest

Stocks—Comparative

&

pany,

Banks.

Witter & Co., 45 Montgomery St.,

the

on

available

Andrea Radio

Car,

Gulton Industries,

brochure

Life

Air

Whirlpool Corp., Arvin Industries,
a

Y.

Prices—

Tank

Union

Also

N.

Wall

Senior Securities and

on

W. R.

Company.

Shields

—

Greeting

C.

—

Seeman

Common¬

Refining

Foresman

—Adams

Co., 122 South
La Salle Street, Chicago 3, 111.

44 Wall Street, New York 5,

pany,

Bulletin

—

&

Discussion—Paine, Webber, Jack¬
son
&
Curtis, 25 Broad Street,
New York 4, N. Y. Also available
the

Carrier Corp. and

on

—Discussion

Value

data

Harvester

&

reports

are

Corporation,

Corporation,

Oil

Gibson
—A.

American Telephone & Telegraph

Chemical,

Co., 63
Street, New York 5, N. Y.

Street,

Wall

72

national

Miles

Savers,

Thiokol

Service

Local

-John

are

Co.,

Life

Laboratories,

Industry—Review—

New York 5, N. Y. Also available

Nut

reports

are

Re¬

—

Gas

Street, Philadelphia

and CompanyThe Milwaukee Com¬
pany,
207 East Michigan Street,
Milwaukee 2, Wis.
Scott,

Report

Metropolitan Broadcasting Corpr.

port—Reynolds & Co., 120 Broad¬
way,
New York 5, N. Y. Also
available
is
a
report on Inter¬

Illinois Power.

Normal

Cigarette

available

Steel Foundries

1526 Chestnut

2, Pa.

Rhoades

available

Also

Brunswick

wealth

Broadway, New York 5, N. Y.

American

Liquified Petroleum Gas Industry

Co.,

&

Y.

on

Power-

Pershing

—

Bank

Instrument—

Loeb,

Memoran¬

—

dum—Joseph D. Goodman & Co.,-

Co., 42 Wall Street, New York 5,

bama

Foreign

M.

Company, 7616 Girard Ave.,
Jolla, Calif.

San Diego Imperial

&

Foods Company—Anal¬

ysis— Carl
N.

&

Memorandum

invest¬

100

Fairmont

Corp.—

American

of compara¬

of

ment grade stocks

issues—Greenshields

H.

record

a

Chemical

&

Co., 1528 Walnut Street, Philadel¬
phia 2, Pa. - '

& Co,, Inc., 85 Devon¬
Street, Boston 9, Mass. Also

shire

—Report—Shearson,

N. Y.

way,

J. H.

—

Oil

Alco

Memorandum—Yarnall, Biddle &

Goddard

available is

N. Y.

Review—

—

ton &

Analysis—J. R. Williston & Beane,
2 Broadway, New York 4, N. Y.

Bregman, Cummings & Co., 74
Trinity Place, New York 6, N. Y.

With

Rupe

Bro- >

—

Revlon Inc.—Bulletin—E. F. Hut-

and

Inc.—

Dallas

—

Ltd.

Corporation,

chure—Blyth & Co., Inc., 14 Wall
Street, New York 5, N. Y. t
v

La

Forms

Fairchild Camera &

Life Insurance Stocks

Co.

Son,
Republic
National
Bldg., Dallas 1, Tex.

*

*

Casualty

Business

Memorandum

{

■

ACF-Wrigley

outlook—Hemphill, Noyes & Co.,
15 Broad Street, New York 5, N. Y.

Purex

Corp.—Anal¬

Vending Co.

Ennis

Investors,

Lot

Continental

on

the Automo¬

on

Odd

*

Automobile Industry—Analysis of

Thursday, March 16, 1961

.

,

bile
UNDERSTOOD

IS

Emery

.

ysis—Alfred L. Vanden Broeck &
The Co., 55 Liberty Street, New York
7, 11* 5f-N. Y. Also available are reports

March

The

INVESTMENT LITERATURE

IT

,

.

City immediately
'

Please; address
or

phone

KEctor

2-9570

Mr.

Edwin L.

Beck

25

Park

Place

New

York

7, N. Y.

:

;

Number 6038

193

Volume

.

.

.

The Commercial and Financial

Chronicle.

in

Japan Helps the Dollar
in

targets

He denies such

they help support our dollar defense

shares held by foreigners exceed

Mr. Toyama notes

efforts overseas.

expected to double in size by 1970.

162,000,000, and the economy is

has

such

lished and thus

faster

a

of

rate

private

develop, yields might be

already sold in the U. S. and those

purely

to be offered

official

That

companies as long-term invest¬
believing that these hold

statewas

ments

ments

"

michi Toyama,

been

and

in

the

of

head

a

York

•New

office

ties

Co., Ltd.,
of Japan's

one

the U. S. market

sold

at

though the latter have

popular with U. S. investors
States and have attracted

certain

"There

creasing

'

"Bi g

value

attention

on

is.

in

interest

in

higher

a

because

should

bonds

of their

inherently

V

other

an

S.

Japanese utilities shares

some

in¬

participation

overseas

-

since

investors have been given to

understand

note,

that these offer

9%

a

yield and are immediately paid in

that

all

actively

being han¬

are

by Japan's powerful invest¬

ment trusts."

*.

*

-

rPovoc TDA flrwnA
At/Adb JL£Xljl VXLUUJP
A

vvm

1

vyOIlV6I16S 111 ApFll
HOUSTON,

Texas—The

Texas

have

not

and

Group of the Investment Bankers

are

Association will hold their annual

meeting April 12, 13 and 14 at the

stocks

Shamrock

growth

A

is
important to
Japanese investor

it

the

is

himself

"A

more

interested

the three day

in

John

Jay

Pollok &

role is being played

major

Hilton

schedule

full

growth than current income.

interest

U.

income

that

yield

high

to

both

standpoints

than -face

"There is considerable potential
and

from

be

rate

in

the part of

addition,

such

greater intrinsic worth.

the

"Turning

future, Japanese authorities

smaller capitalized con¬

Japanese Investment Trusts

Nikko Securi¬

in the

that

short-term

foreign investors in Japan."

the

of

in¬

overseas

feel

cerns—even

Managing
Director

in

to

invest¬

than

vestors

Nao-

by

promise

more

made March
15

on

•

•

dled

of

securities

connections.

■

'ment

remainder, are

20%

some

traded

as
a
growth stock. Greater
opportunity would seem, therefore, to exist in other areas for

growth; areas
private and do

or

Thus

income in

not

greater

the

and
less

inactive, being held
predominantly
by
institutions,

.

overseas

"Of the total shares outstanding
some
60% are traded

more

shares

the

declines

S.

fixed

9

in i Japan

actively

relation to output is set.

grown

invest- between U. S. and Japanese com- doubled, thus furnishing
some
ment, specifically in Japan, actu¬ panies. Japanese securities houses opportunities for new purchases.
are
urging that U. S. investors
ally helps support American
"Regarding bonds, both those
concentrate on blue chip Japanese
dollar defense efforts overseas."
"U.

a

*

The yield
than the values will
be
maintained, accordingly
themselves. -Cur¬ at a fixed rate also of 9 to 10%.
rently shares of many such com¬ Thus in Japan's expanding utilipanies are being sold at prices ties areas there, is ample opporthat
yield about 2%
based on tunity for substantial yield but
current
selling prices — but, if in terms of high immediate yield
at

.

basic ;, to

in shares of

Interest

corporations in Japan

investments flowing to his country are

harmful to the dollar and avers

yconsidered

are

future.

rewarding investment
country and emphasizes long-term investment con¬

his

siderations.

trusts, American

dollars. Actually electrie power, gas and; such utility
Japan's economy. Shares of many companies in Japan are considered
smaller Japanese companies are quasi-Government. Though purely
selling at prices that' anticipate private in many ways, their rates
earnings two to three years in the -are actually Government estab-

leading Japanese securities dealer outlines

A

investment

Japanese

r

which:,

Asserts U. S. Investment
In

(1181)

Hotel.
is

planned for

convention.

Fosdick,

Eddleman,

Fosdick, Inc., Houston, is

increasingly by .investment trusts

Chairman of the Convention.

in

formation

portfolios

Japan,. Their

amount to

about 11%

of the total

shares outstanding.

of

number

now

-

obtained
•

on

registration

from Tom

may

In¬

be

Ball, Brown,

Wareing, Ball & Co.

F o u r"
securities
dealers

in

an

Naomichi Toyama

•

address before

Japan Society of Boston. Mr.

the

Toyama added:

This announcement is neither

"Private investment outside the
U. S. does not aggravate

offer

to

sell

nor a

solicitation of

offer to buy these securities.

an

is

March 10, 1961

NEW ISSUE

fully

Americans

because

made

an

The offer is made only by the Prospectus.

"

pay-

investment

such

For

ments.

of

balance

American

of
•

,v

the deficit

anticipate the receipt of their in¬
vestment back and with a profit.

-

Money invested in Japan in dol¬
lars is repaid in dollars. Profits
accruing to the original invest¬
ment
though earned in Japanese
yen

also

are

dollars.

:

>

"Private

U.

S.

gain

in

in

payable

'. -. • ~
U. S. citizens

Apco Oil Corporation
$10,072,300
5%% Subordinated Debentures, Due

such invest-.
dividends, in¬
terest,
capital gains, and other
advantages—all payable in U. S.
dollars. True, under current, recently liberalized regulations of
Japan's Finance Ministry, Ameri¬
cans investing in Japan can obtain

many

.

to

due

ways

ment. They receive

:

II
.i.
-

;

k

one-third of their investment

•

two

three

mainder

after

;

are

"But

of

years

and

indications

will

one

that

be

day.
these

further

to4

present status is one
investment
long- rather than
For

short-term.

long-term

,

against

bulwark

especially

important

Subscription Rights expire at 3:30 P.M., Eastern Standard Time,

dollar

The Underwriters have

Unit for each 70 shares of Class A
on the record date, all

March 23, 1961.

and the Common Stock
Company may fix. The
•: . •
?.'
: -i ';.v..

severally agreed, subject to certain conditions, to purchase from the Company at the

Subscription Price, the Units being offered which are not issued upon
may be reoffered by the Underwriters.
' V
■
,

per

Unit

Prospects and Pay¬
ment in Dollars

Investment

Government
that
all
•
national
economy will be returned in the
original currency whether dollars,
pounds sterling, francs or marks.
"An increasing number of U. S.
investors have become interested
in Japan whose stock exchange in
Tokyo is second only to the New
York Stock Exchange in monetary
volume and ahead in transaction
volume. Japan is opening its doors
ever
wider
to potential foreign
"The

Japanese

definitely
guarantees .
funds
invested
in
its

'

Copies of the Prospectus may he obtained in any State only from such of the several Underwriters,
including the undersigned, as may lawfully offer these securities in such State.

Carl M. Loeb, Rhoades &

been

most

unusual

and

of Prime % Minister, Hayato
is to double Japan's national economy by 1970. - --

plan

"Total number of




; Laz;ard Freres &

Lehman Brothers

-

Incorporated

Incorporated :

Merrill Lynch, Pierce, Fenner & Smith - Stone & Webster Securities Corporation
Incorporated

foreign investors in

r

Harriman Ripley & Co.

.

shares held by

Japan accord] ing to most recent figures exceeds
; $162,000,000 — of which approximately: $20,465,000 was purchased
^ on the stock market and $70,597,000
p.rocured'- ptimarily . in: ex¬
change for. technical knowrhow o£
;; by participation in joint ventures

Goldman, Sachs & Co.

Kidder, Peabody & Co.

that the

JJceda
•

•;

Glore,Forgan&Co.;

'

1

Eastman Dillon, Union Securities & Co.

Blyth & Co., Inc.

^investors in\the U. S. and else¬
where—primarily resulting from
the fact that Japan's growth has
"

Smith, Barney & Co.

Co.

Wertheim & Co.
eg-

✓

J

r

^

^

:

:

;

'

;

'

*|i

i.

Communism,
in the Far

Subscription Price $150

r

the exercise of Rights and such Units

.

East." '

•

one

subject to the conditions and on the terms set forth in the Prospectus. The Debentures
not be separately transferable until March 30, 1962,.or such earlier date as the

) cumulated earnings. This enriches
the private investor and the U. S.
economy as well as aiding Japan's
own
growth and helping provide
a

evidencing Rights to purchase

of Union Texas Natural Gas Corporation held of record

will

as

investment not only goes out and
comes back but returns with ac-

r

transferable Subscription Warrants

Stock and/or Class B Stock

the

dollars

,

The Company is offering to the holders of Glass A Stock and Class B Stock of Union Texas Natural Gas Cor'
poration of record at 3:30 P.M. Eastern Standard Time on March 8, 1961, 100,723 Units (each consisting of
a $100 Debenture to be issued at par and 5 shares of Common Stock to be issued at $10 per share) pursuant

for considering

reason

•

,

...

(SI Par Value)

liberalized.

:

Common Stock

.
'

years,

regulations

,

;

only

years,

four

There

503,615 Shares

another third,
and the reincluding
all
earnings

after

after
.

April 1, 1981

White, Weld & Co.

10

(1182)

The Commercial and Financial Chronicle
'v

seller may receive

eager

Market Upsurge Contains
Paradoxes for Investors

than

the

"bid"

.

.

.

'«r

ulcers.

more

no

price. Ip-the

*

V

Animal

,

Thursday, March 16, 1961
'

trainers

i

/'

.

them

working

'

.

a

profit, thereby effectively
their gains. There
are

market status and continues his lecture
Learn There's

No

•

v*

"r

is

r:and

he

After

k

latch

would

tate to

1960, p. 1i Mr. Magee opines
on

to

exposing investors'

able

foibles

and'criticizing their

shibboleths,

relationship between the true value of stock and

its

rate

sure,

basis of

mechanical

easy,

of making

way

On Tuesday, Nov. 8,

Kennedy
the

ment

States.

At

that

ously
there

mo¬

of

market

and

weeks

had

lustre way

trend either

reaching ef¬
will

month

notice

that

we

mo¬

of

those

"because
Mr.

Ken¬

nedy's
tion.

elec¬

of

assump¬

The

political

But

article

are

we

concerned

the whole bearish. There
individual

mained
out

firm

the

there

stocks

some

making
ket

new
were

outlook

lows, and. as the
being cast the mar-,

appeared

dim.

seller

Both the

was

market

was

is

so

a

question, of

investors

that

so

course,

buy at

arrive

as

at-

to

can

the

anxious

very

nearly the

sell

reversal

in




way, it
od and

to

a

be

There

argument

no

will

differences

that

buy at

about

the

same

price

full

ac¬

the

of

market

(or the

particular

any

baffling

so

is

itself.

the
If

stock)
of

nature

have

you

studied the operation of the spe¬
cialists on the floor you
know
that

the

current

price of

a

stock

is determined by the "spread" be¬
tween the highest bid registered

the

on

specialist's

book

and

the

-

speaking

the

we

can

intuition.

;

■

cline of

back to the market de-'

1959-1960, and the upside
starting
in
November,

reversal

of

All

1960:

market

the

the

of

moves

capable of being

are

con-

si der&d;

new

statistics.

But

we

can

dif¬

the

l'eels

is

In

way

the

Other

"wrong"

short, the

competitive

the

Fellow

way.

very nature

market

forces

of the
a

cer¬

we

be

great

differences

feel about it.

getting
"XYZ"

a

be

bought

cheaply now.
than before. They may
have a
policy of "averaging their cost"
by buying more with each move
down. (In the case of New Haven
can

Railroad

more

during the past five

while Smith feels
very lucky to be able to sell his

any

is

New Issue

tional

>

verdict

is

"thumbs

the'stock
bearish

of

it,

is

down"

clearly [in

and

if

Major

a

trend, I would not want to

!

out of it.

or

Similarly,

after

election

1960

broke

fence.

its

At

down

trend

both sides of

on

the

and

traders and

were

stage

every

you

opinion

that

"over-priced"

was

be

the November,
; stock
after-

when

hear

sold.

And

therefore

was

that

stock

and

also

much

is

the

in

plummeting to

lows.

!;•
the

But

point

is

made

market

per

Share)

men's
of

de¬

the

Share

.

that

the

basis
a

matter

more

espe¬

on

action

of

important. In short,
the

market

is

goats,

to
acting the strongest, and to plan
accordingly.
Otherwise it could
happen that an investor will find
Ui~<3ri{

holding

"dogs"

while

.

Results

be obtained from the undersigned-

.

_

In

investors

reactions.

&

Company

of

majority

of

>

is

It

also

possible

generalize."

If

single stock

standing
this

the

stock's

action

in

between
of

"under-

only

sees

a

special situation
itself, it is easy to

as

by

overlook

to

one
a

relations

action

the

between
and

now

past;

this stock

the
and

its

relation
the

stock

other

companies in similar in¬
dustry; and between the technical
this

of

stock

(say

some

and

other

steel

a

repre¬

a
railroad, an electronics
manufacturer, or a; hotel chain.

Russell

on

Evaluations

Market

Bull

buying

and

we

see

selling

to their habitual

There

those

are

have acquired

/seem.to

a

who

habit of

doing the right thing at; the right
time.
They
make - money.
But
there

others;

are

people

who

anv

year

stnrk

once

does not

such
as
the
after year sell

that

is*

put

it,
the

see

similarities;
that

he does not realize
pair of gloves, a brace of

a

partridges, and

fortnight

a

all

are

expressions of the number two:
The way we

tend

talk, the words

to

cover

really .going

around

on

we

what

up

is

[to
over-generalize,
or
under-generalize so that the
language whidh
is

supposed

resent
a

very

It is

describe

though

as

and

becomes

and

poor

us;

rep¬

in

inaccurate

fact
map.

had to depend

we

road maps that were drawn

.on

such

big scale that

a

the

see

states;
such
not
on

to

"reality"

relations

else

or

small

a

find

we

and

could

highways

This is true in the
our

careers

vs.

"failure"), our love
("all" or "nothing"),. and
everything else, including

affairs
almost
the

and

drawn to

scale that

talk, about

we

("success"

cities

maps

the towns

them at all.

way

of

on

on

could not

we

.'

market.

When

••

have

we

•

•

showing

alternatives

no

except to classify "the market"
Bullish
to

or

use

Bearish,
that

maps

absolute, too
have

we

are

relation

really going

on

may

with

a

in

to

an

"is" [

Market.

while

a

acted

first

to

-

months

various

fire

open

the table,
"is not'" a

it

would

be

recognize that
of stocks have

of

1960

in

the

and

the

months -of "1961, - there
;

is

seven

on

majority
extremely bullish

two

tremendous
the

an

or

But

realistic

what
or

evening's dis¬

of

tankard of ale

more

last

too

It may be a

own.

front

whether 'this
Bull

as

having

much

in the six

good subject for
cussion

are

vague, too general to

much

stocks

we

.

Depend

every

stocks according

oAllen

collection

a

the

stocks surge past in a Bull Market
which does not reach his securi¬
ties at all.
v
;
-

.,

may

shown

separate

very

largely a product of semantics and
psychology,.
i
;
•
•
m
*•
/ •
-

Copies of the Prospectus

have

stocks

of

how people understand
facts, and which facts they

the

per

new

....

.

is

the

on

alone, but

consider most

$46.50

here

opinions. It is not

"facts"

cially

Price

a

But it is very important
the sheep from the
know which stocks are

to

use,

,and should, be. bought. My.
opinion wouid lean, as a rule
toward
buying the stock that is
making
new
highs, selling the

-

(Par Value #1.00

that

strength.

it. I would prefer to be short

own

and

!

sensa¬

true

of

average man

own

COMMON STOCK

this

is

majority

Bertrand

others.

are

opinion that "XYZ" was now sell¬
ing in all-time-new-high ground

Random House, Inc.
.

it

the

sick-looking

very

I, for
example, feel that if the market's

"XYZ"

121,870 Shares

In

market.

advance

As

should

March 15, 1961

you

senting

mand

i

the

were

action

could

neither, an offer to sell nor a solicitation
of an offer
of these securities. The offer is made only by the Prospectus.

announcement

we

8,. 1960

respect to the
though the averages

as

tinue buying ;a
stock.)' There;

50,

up-sweep

Nov.

over-generalizing
generalizing.
Over-

-

"averages"

company)

acquire Majority Control of the

the

buy

or

of

since

corporation, provided one had the
capital, and the fortitude to con¬

in [how

Jones feels he is

certain

generalizing with

to

great bargain in buying

at

good buy; a bargain, since it

a

is

and

over

a

both

six years this would be a sure way

tain agreement as to the present
"value" of the stock.But there
can

are

lows every few weeks, there
those who would- feel that it

there
market analysts

a

The.

new

a

To get

are

all agree

kind

under

started up,

Not

the
seen

find

stock

This

In

have

and

;and

psychology
Certainly

happen again.

will

Smith.

one

the

to

of

to

In

operation

Over-Generalizing and
[ Under-Generalizing

amount

invention, a gov¬
ernment contract, etc., may be en¬
tirely different to Jones than to

to want to sell and another to

man

can

market

of

of signi¬
shrewdly - in¬
be worth more than

cabinets

split-up,t

ordinarily

cause

value

ex¬

is time to check the meth¬
change that way so that

it won't

irrelevant

to the correct¬

as

small

the

again by acting in

probable future

"meaning" of an impending strike,
a
reduced
dividend, a rumored

great body of factual in¬

formation.

problem;

market

its

and

evaluation

price.

^oth buyer and seller have

the

case

stock

them

we can see

definite

a

cannot 'be

look

(though - correct) statistics.
And
this, is why the market is, above
everything, a matter of human

Solution of the Paradox

cess

relation to

r>f

must

over

file:

at

greatly on the interpretation.
baffling they, And generally speaking, the way
I feel is the "right"
way, (to me)

market

lag¬

of statistics.

terms

rather than economics.
when anyone take losses
re¬

terpreted

to

same

the

on

This

in

much

so

ficant-" information

stock;

other

after.

plained

are

value... A

,

.

time

figures^ diagrams,

the

opposite,

to

price- and the

trivial.

are.

Depends

Tables of

in- this

as

on

lies in

same

is

one

certain

a

and

the

these

buy

on

ports, and special information

free

lowest offer. In the case of high"XYZ" at 50.
market,. priced stocks or inactive stocks,
n.•[/;','
which can be located quite defi¬
this spread may be rather wide.
nitely in that week ending Nov. In such a case, the buyer, if he
Too Many Facts
12, was not immediately apparent is not prepared to dicker or
When one
is confronted with
place
for all stocks. Some issues started
a
limit order, may have to pay too
many problems at the same
dynamic advances at once. Others the "offer" price.
Similarly the" time the result is confusion, panic,
The

gards

who

up,

cause

one

be¬

we

of

most

Point of View
•

if

to

as

relevant;" which

are

of

a

mystery.
reason

are

the assumption that be¬
they are "behind the mar¬
ket"
they must be bargains. It
is a paradox that the man who has

discrimination

t

o u

V ' It 'All

this price.'
verdict

fair way to solving

a

breaking

be¬

significant; and which

fer

to

and

are

stocks

moving

their

have

on

"bloodless

conclusions

why

action

and

leading up
stocks were

many

the

stock.

question of how two rational

on

One

1960. But in the weeks

ballots

the

that

the

1959, and the rally in mid-year of

day

decline

always seemed

would be in

extremely deceptive rallies; not¬
ably the rally at the very end of

to election

has

the

re¬

abortive

the

only useful when

if investors understood better

through¬
period.
And

17-month

were

1959-60

the

investors

that

in

us

strong

or

of

the

ar-; w i t h
equal which

all, we must agree that
meeting of minds represents

orally

It

were

that

Price"

of the market dur¬

move

there

out

slumping

new

down while most other stocks

-

middle of 1959 to the week ending
Nov.
12, [I960, the market was
few

conspicuous

"Market

And

seek

short

the

confused and puzzled. There

have

ness of data
as
to earnings, divi¬
dends, book value, production, etc.

of

who
are

sell

making

are

not

from different and oppo¬
not
differences in the reported
site poiqts of view,
puzzle to many investors. Every facts;.- but in, the. meaningsyAhot
p, If
a stock has been declining
move
of
the advance
|from No-w are attached',to these >facts.r<(jen-J
for,,gix mqnths or # ytear, making
vember, 1960 was aiso a puzile.

market after that

this

in

Paradox

them,

bewilder¬

a

facts,

of

this

their

Also—most

of

lack

move

period.

Every
ing the

with:'"what hap¬
pened" than "why it happened."
As you know, from about the

a

and

the

maintain

to

abundance

that

position.

vhat

And it is because of

habitually

stocks

those

on.

come

who'

sible

first; there is "too much"

market at

The

character :of the

on

started

—

election

struggle and the swiftly changing

more

all

securities;

had

be¬

tween the outcome of the

event.

that

procession

John Magee

some

was

then

and

virtually no formerly
strong stocks moved into techni¬
cally weak positions in this post¬

tion that there

relation

up-trending

strength.

certainly be a
fair

November,

continued

It would

sell

approximately

'for agreeing

is

The

by week through the

stocks joined the

more

not

-

of

going

the

and

the market place," and,
lieve in the usefullness

down.

or

December, and January, and
February, and March, more and

ment," | and
of"

And

want'to

.

an

and

reasons

into

! say,

that

"at

buyer

or

up

But week

You

fects.

at

This

bottoms.

the

bite

ing

a
valid appraisal of the stock
months before
along in a lack- ' of a particular moment, based
without any particular accurate factual information.

long

far-

small,

coasted

which has had

and

who

buyer

on*

which had made-

some

give

we

evaluation

at their previ¬

established
were

bottom

something happened in the

stock

market

merely held firm

1960, John F.
elected President of

was

United

in

money

or

far apart.

very

those

formula, cycle, statistical analysis or technical device."

some

point.

the

pay

rived

earnings or dividends. He also rakes the belief "that there must be
some

no

a

an

those

credit for having ordinary are investors who collect facts the
intelligence, that the price range- way a magpie collects tin-foil or
covered by the bid-and-offer rep--' bottle tops, regardless of whether- made
the
same
error
a
dozen
resents a sort of meeting ground
the facts have much to do with a times before will continue to act
where those who want to buy and particular
situation or not, and .trie sarr.e way next time and the

direct and depend¬

a

smaller; sometimes

seller

.

M

strong-acting stocks but would not hesi¬

challenges the concept that there is

spread

What does this mean? It means,

"Major trend

a

the

eighth of
But whether it is large

if

change if weakness appeared where there had been strength,

Mr. Magee

to

be

more'than

why "Novices Have Yet

on

likely at any given time to continue than it is to reverse,"

more

the

all-time highs, thus putting them¬
selves in the most dangerous pos¬

would

stetks'

active

more

normally

Easy Money in the Market" published in this

"Chronicle," Aug. 4,
*

The four legs of the chair,
moving, and advancing at the
lion, baffle him. He doesn't know
just where to attack, which leg

of

someone is willing
bid price, and some¬
one else is willing to sell for the
offer price; and these two are not

Massachusetts investment counselor Offers his analysis of the current
to

them.

all

to

Magee, Stock Advisory and Commodity Management
Services, Springfield, Mass.
'*
,

f ' "

limiting

it is clear that

By John

with the Big Cats sometimes hold
a
kitchen chair out in front of

case

is

a

difference; between
individual

issues;

Volume

Number

193

which, after all is what
•

with

deal

to

in

On the other

the

6038

The Commercial and Financial Chronicle

.

the

have

we

.

.

apparently

reasonable

ments that "this

end.

hand, the investor

argu-

happened because

(1183)

at least, as well

as

several of the

"facts"

or

trivial,

of" some anouncement or development in a company's affairs, it. sense. We can reasonably assume
can
be dangerous to attribute a: that they will
continue bullish,
cause-and-effect relation to some- and that the weak-looking stocks

irrelevant, can bury
of of conflicting

thing which may be only a coin- will remain weak; until such time
cidental relation, or-which may be. as the particular., stocks change

data and lose sight of the overall
picture entirely. It is batter, we
feel, to strike some sort of middle

only one of a number of factors ; their trends. But we would not
in tie situation.
'h - ; "try to anticipate the future by
There are other semantic traps "guessing the top" or by "guessipg

ground, to "role witn the punch,"
to try to see the various bullish

in the market which
day as they have for

and

The

who puts on his near-vision spec-

tacles

collects

and

whether

they

significant

or

himself in
.

•

other

all

vital

are

mass

a

bearish

each

:

factors

relation to

in

to the market-as-

and

a-whole.

-■>

IV

is

In

1

the

of

because

•

as

they

show.

use

"

"

ViiaVi

"•fork

flaoro

are

orn

high," there

ing "too

•

in

to

along

And

down.

go

there

all the

are

etc..Individ-'''

and «E» and ,«roh,"

Liaiiy}

as

■

well

as

the

averages.

ls~*' Treasurer

Wi" a'S° t*r ^°t6 thaJ

and a Trustee, and Howard Phipps, Jr., Assistant Treas-

toere are all Me sues are failing as yet to show urer and Controller.
ana- unrealistic attitudes. any strength and may be sinking
,
^
?erve ra°sty the purpose to continually lower levels in the The. appointment of top officers
or helping us to place the blame face of the general upsurge. ;
' of the projected Puerto Rican
9J1 sQmebody else whem we feel
We
try to discriminate be- Cultural Center, Inc., to be located

'

SiS?'

Iween the action of Stock "A" and

that.m°st stocks are dishonestly.;,,B„.
well

o

are

a

sell-

num.

num-

f®1 {* ,lUlOSt
tH3t

to
as

.

snmp

Burden,

-

serious

and

There

expensive

is
,,

.

and

of

;:

h

v

religious

must be

some

is the al
is the
that there
easy, mechani-

faith

sure,

the

on

of

basis

some

formula, cycle, statistical analysis
device.

technical

;

There is the firm belief that the

determining factor in actuating
most speculators and investors is
the rational goal of making the
maximum dollar
investors

which

profit.

Very few

recognize the extent to

they and others are. influ-.
their own needs to "look
to themselves.".; There are
who would not only rather

enced by

good
some

be

Right

would

cessful.

dcision

president;

they

Right than

sue-

than
be

rather

Having

made

market

a

and

bought ot sold stock
they will defend their action regardlcss of changed conditions as
though it would "hurt them too
much"
to
change
their minds

(which, indeed, it would, unless
they have learned to be flexible
and

to

take

themselves

ing
as

a

credit

intelligently

to

tak-

small loss while it is small,

they

through

a

profitable
•

much

as

for

would
for
carrying
stock commitment to a

conclusion).

investors

Some

.rd-

A

OUT'

;

or

evidence

The Immediate Outlook
to

a

great deal of
market

the

about

appeared
where

we

"t\

tt

I

that

■

had

- -

V

b

Dominick

&

Wall Street,
announced

1

'

Stout,

Varick

A.

York Y.M.C.A. and philanthropic
consultant with the Hanover
social and educational institutions,

is Secretary.

conducting

John A- Morgan, John W. Spurdte

' and Myron;A. Wick, Jr.
TV/ty*
tdTO
•^ firm^ ^oler the counter

'*

manoapr

Inc.,

:

officers

14

ment.

New York City, has
thev election

The

of

are

five

are

js

.Sidney Z. Mensh Opens

.

WASHINGTON, D. C.—Sidney.Z.
Mensh is conducting a securities
business from offices at 1625 Eye
w

xt

to

buy

any

of these securities.

,

,

.

Theorists there

Dow

confirmed

ket,

"signal" of

has been

no

.

\

»

■-'J.

V" v,-

•

A'.

NEW ISSUE

lower of the averages would agree;
that

since

jority
and

a

ma-

$2,500,000

important
stocks
of the most dynamic

the

have had

one

powerful
A

history.

November

last

of

advances

good

many

in their
of these

highs.

5

V2% Convertible Subordinated Debentures

due 1976

Price 102!/2%

And these particular stocks

1961)

DISTRIBUTORS
ISSUE

NOT A NEW

130,000 Shares
Common Stock
(Par Value $1

Price

Dean Witter
Sc

$18

per

per

Copies of the Prospectus may be

Share)

Share

obtained from the undersigned.

Co.

Members
New York Stock Exchange •
Midwest Stock Exchange
Honolulu Stock

•

Pacific Coast Stock Exchange
American Stock Exchange

C. E.

Exchange • Chicago Board of Trade

.and other leading commodity exchanges

.

.

Private leased radiotelegraph
'

Circuit to Honolulu




44

LOS ANGELES • NEW YORK • CHICAGO
Offices

Serving Investors

.

X

Lafayette Radio Electronics Corporation

Complete Investment Service

.

,

Bull Mar-

a

the most orthodox folr.

even

.r.......

......

March 15, 1961

r

Wick

Dominick.

•>

■

UNDERWRITERS • BROKERS * DEALERS •

SAN FRANCISCO •

Spurdle and

partners in Dominick &

ais0

Kennedy^ Street, N. W.

(plus accrued interest from March 15,

..

in the buying depart-

Messrs.

corporation

the
underwriting affiliate of
about economics, in school,
through the speeches of politi- his investment business from of- Dominick & Dominick, members
cians, bankers, brokers, and "ex- fices at 50 Broad Street, New York 0f the New York Stock Exchange
perts" etc. for many years, he cn
,
th
fi
f
officers are- Richard
has become lulled or cowed into
accepting what he believes are Grossman & Co. ■ ,
/ A*
.Peter, M,
authoritative answers; and to a •
degree
almost everybody goes
around repeating the same cliches- ?•
and "believing" the - same things,
*V.-o
This announcement is neither an offer to sell nor a solicitation of an offer
like the populace in the old story -,
The offer is made only by the Prospectus.'
of the Emperor's New Clothes, •
without ever using his own eyes
'J*
to take a hard look at the present
facts in reality.
: v ^
v
'
^Although according to : classic
'
^

nf

trading
other four

de^rtment^^"and"^ the

.

stocks have attained new all-time

to

victim

fall

.

1

Presidentof

Dominick

Vice-Presidents.
is

'

f

»

T^lpctS fV -PS

Grossman in New York
Grossman

in

Bank and currently consultant to

'

DOmilUCK 1I1C.

and
Martin

active

philanthropic affairs, is Executive Vice-President, and Raymond L. Dickinson, former Executive Vice-President of the New

is

si* months from now

weakness

investment

or
^

previously seen strength.

Unfortunately, when a man has

exposed

"AMF
«ai\ijv»

or
nv.

mind, toclciy, to—

new

.f

been

"GS",
"ric

or
^

showed

,

now

and

strong the

look; whether it

pr.y.y.1

a i

plaimy see.

nonsense

•

.

.

>>

__

"CRT"

matter how

no

may

according :to^v« fn
'auu'vicdsn^1

obvious,"

__„

stock

part-truthsnwh?t- we wou,d be PreParad t0 rinwiinir-V Tpp

the sort of

are

seem

of making money in the

way

market

or

They

And

and

*

"

...

and

.

banking,

,

^{1 a'tmbrrriwy
alwould put it,
As any fool can

:

along with this
along with this

And
And

a

inadequate,

dangerously

lead to painful and expensive

its irtl6 OI OarilingS^ o? that
IIS rate"of ea'rnings"

dividends.-1.

cal

value"

"true

can

relation

dependable

the

between

stockand
SlOCK
allq

most

are

"non-

feeling that there is a

conscious

direct

errors.

almost

the

«

,

veteran of many years

a

"
commercial

in

.

But they

•

in New York City, has been an-; Realty Co., is Assistant Treasand Controller;
Charles E.
nounced by Edward G. Miller, urer a

nofe the differences as
the similarities. - We will

btOkerS are Only Out.:,

present facts.

,

is Treasurer and a member of the
Board of Trustees; Howard Phipps,
Jr., a Vice-President of the New
at 110th Street and Fifth Avenue, York real estate firm of Bessemer

,

;

•
>

S:';'ca11 .. Past. experiencennf.iiw./> 4'ont President of the Center.
0,1
and decide
.
'1.
Vv—f+^vv. +«
Pnlnnol
TT<->r*olrl Pni CSC
^whether it is b^ter to assunie that,
Colonel Harold Reigelman, an
ber of other confusions <that are
ge3 a?,f'the trend will soon reverse it- active participant in New.York
so
deeply ingrained in all of us T® c0 Jern
®
\ self" or-that "the trend is more.. City, budgetary affairs, and onethat it requires a lot of study and
interests- ^ - v
...
likely to .continue than* it is to time •; candidate for
Mayor, is
training to be able to do what
jsjot False but Inadeauate Maps > reverse." Our own opinion is that
Chairman of the Board of Trusseems "contrary" to what we feel
' A11
nf
thpc;(*
chihhnlpth*
and
a Major ; trend is more likely at tees of.. the Center; William G:
intuitively is what we "ought to
-ntWc have
?rain of
any Siven time to continue than Carrington, Jr., a partner of the
do."
tmtvf in- thpm- anH
what
^
reverse; we would not New York Stock Exchange firm
It wouldn't hurt to mention a
lSnA?Jwant to sell out our long positions, of Ira Haupt & Co., specialists in1
makes them dangerous. They are
■n
strong-acting stocks
to "take underwriting
and
distributing
few of these confusions and mismaps that are too absolute, or too
f profit or to try to "catch the municipal and revenue bonds of
perceptions which can distort our..
.
out_of.
view
and-lead us
into making
top."
.
»
i
"
;
* Puerto Rico and its sub-divisions,
date with

short sales of stocks that
iru*

'

strong

a

to

AndVcturse

"taking profits" much too
strong stocks, and making

in

soon

in

stocks

.

if.V;

V

"weak"

stock.

feeling, for example, that it: i'How does the market- look
to buy stocks then to March
1961" we will want

^f

In addition to the faults of buy-

market
et,

any

And if.-the. question comes to us,

"better"

never

and the words they read which
do not describe accurately what a
hard
look at the reality would

ing

,'

with this, the whole mass of con--

have

we

words

yejrs.r

them; the feeling thatone, me h-look aUTBM," and "SB,"
always looks for stocks to go up,v.and «iNR" .and ^ also at :"BCX,"

d

-•

such

market

a

operate to-: the bottom" for
many

sell

-

Blunders and Half-Truths

;

Officers of Puerto Rican Center

important averages, must be regarded as "bullish" in »a Major;

the

11

Unterberg, Towbin to.

.

'

•

12

(1184)

The Commercial and Financial Chronicle

stored until the Korean War broke
out

in

ojily

necessary

And Depreciation Policy

it

no

applied

was

however,

granting

rapid

„

of

Father

Hogan abjures resort to external borrowed

and to retained

depreciation

allowance

and

replacement costs.

Cited

pay the
amortize

would require

automobile, steel machinery and shipbuilding to illustrate the prob¬

recover

five years and thus minimize the
effect of inflation.
However, it

Inflation
curious

inadequate depreciation on productivity, prices and

The university teacher proposes a change in our tax laws

and the
cost of

of

use

index to allow the recovery

an

asset in terms of current dollars if

an

has

given

rise

in the

paradox

to

a

economy

during the past decade. We have
had record profits and wages, yet
industry
in
general
has
not

to

place

off

and
i pment.
Corporate

equipment

in

20-

a

plant

Investments
have

nies

three

yet in spite of

ings,

Hogan, S.J.

World

the

of

American

one-third

it

of

is

economi¬

cally obsolete.
The

part,

of

rapid

the

that has

is

rise

in

in

prices

taken place in the

econ¬

World War II. This
has been accompanied by

since

omy

trend

increasing costs arid
the

purchasing

lar

which

half
in

result,

a

of

terms

Index

1939

"

was

than

less

Measured

Price

Consumer

purchasing

the dollar in 1960

1939.

to

value.

the

of

the

of the dol¬

power

has fallen

its

decline in

a

power

53%

of

150
to

News

less

than

dollar

35%

years ago.

of

1939.

This

presents

97

1921.

go

at

a

be

cost

1945

II

224

in

to

40%

well

or

300

over

1945. An

exact

available

compared

with

comparison is not

since

the

index

was

Up to date,
has been

of

$1,000,000

replaced

today for

less than $3,000,000; yet the pres¬

All

tually

to

genuine solution

offered for

the

problem

application

years

Act

of

of

the

in

by the limi¬
the

Defense

1940.- The

5-year write-off

plants

so

allowed

clusively

thus

that

the

steel

amortization

World

War

and

Today, vir¬

furnace

cannot

dollar

million.

between

invested

supplement every

^orti. ^epreciation

with?' $1.30 /taken

accrual

profits. Thus,
be .taken

$220,000,060

out

of

the

practice
a

"of

had

to

of

to

de¬

half

tor

to

to

seems

obtain

be

the

borrowing

the

only

way

at present,
the sale of stock

money
or

be

a

short

losses

to
ex¬

IThe

use.

ended
was

a

Opposes

Borrowing

with

not

re¬

and

have

to

been

Borrowing

year

or

would

two

as

work

an

of

for

a

emergency

tal

replacement
for

money

is

many

an

annual

companies.

af¬

The

is needed every year, and

holders

that

it

over $20,000,000
be¬
52% in taxes on its
profits. The principal and

the

of

the

would

protected.

tial

shareholders in

new

obtain
its

capital

plant,

merely

However,
the
original
share¬
holders, who formerly owned the
entire

plant,

now

only

own

half

it.

of

Further, since this is a re¬
placement and not an expansion,
have

any

earnings should
relatively
stable.
This
so

that

mean

original
cut

in

the

as

since

prices

anyone would

that

pany
to

the

ties; is

be
now

to

same
income.
doubtful
that

and

tear

a com¬

facili¬

on

definitely

cost

a

of

earnings

has

ing the

of

retained

provided

solution to the

partial

a

difficulty of bridg¬

between depreciation
and actual replacement

gap

charges

costs. This

approach, however, has
and
are

that

results
not

in

distor¬

always

fully

recognized.

placing its worn-out and obsolete
plants with new, more productive
equipment. Prices, therefore, have
to

be

set

must

be

taken

from

profits
for
necessary
replace¬
ments, then it is clear that profits
have .been

overstated.

Cites

which

of

cost

should

Profits,

or

doing

business

include

adequate
charges for depreciation or wear
and
tear
on
capital equipment.

Textile

out

of

tile

laws, how¬

Here

a

mand
in

million

of

to

and

been

In

1956,

steel

those

textile
cent

one

of

its

best

years,

industry taxable income

overstated by $300 million

million

had

to

be

since

plowed

that

to

amount

back

out

of




CASPER ROGERS CO.

in
ac¬

the
re¬

solescence in the domestic textile
mdustry>One
mills

old

that

some

operate

rela¬

reason

continue

to

and

high-cost

ma¬

chinery is the absence of realistic
depreciation rates which would
encourage

mills

more

additional

new

The textile

to

install

equipment.

machinery industry

such machinery, and to modernize
throughout, but it is reluctant to

because

so

rather

of

than

of

use

by

profits for replace¬
on prices.
provide enough in¬

must
for

a

firm to

production,
soon

be

or

cover

the

insolvent.

its costs

and

unless

it

the

cost.

in-

textile

The replacement of worn out
and, what is even more important,
economically obsolete plant and
equipment is of paramount im¬
and

if

we

increase

wealth.

input

to

are

maintain

productivity, which
at

means

our

dis¬

increasing the nation's

It

is

a

ratio

factors

between

As

stated

is

more

unit

production,
materials, and

and the
output. Thus, if we
product per man-hour,

depreciation to
Further, with a

cover

52%

of

raw

machine,
creasing
of

we
our

the

in

namely, labor, raw
capital equipment,

material

re¬

get
per

per

actually

are

and

in¬

wealth.

Productivity is likewise a means
controlling inflation. If pro¬

duction

yields are higher, it is
possible within limits to increase
wages

and

creasing

dividends without

prices,

in¬

conversely

or

maintain

Wages
and"
while reducing prices.

dividends

Further, increasing productivity

present tax laws it cannot charge

enough

capital

domestic

sultant

would help cover the cost of re¬
placement, since according to the
off

de¬

retard

industry.

company

liquidation, and in effect is
subsidizing its customers.
In order to replace equipment
industry has had to have prices
high enough to make profits that

this

which

stimulate

in

principal

overstated

$200 million.

outmoded

rates

for

to

active research

an

development program, and is
able to produce
equipment which,
if installed, would lead to
sharp
reductions in man-hour require¬
ments by the textile
industry. The
industry
is
anxious
to
install

posal

were

of

..

: a

Congressional testimony, has
a
serious problem of ob¬

is the

tax

above, wear and tear on capital
equipment is a cost of doing busi¬

l

decline

created

portance

will

LIEBERBAUM & CO.

million,

The

machinery industry in

vestment

made.

fully pro¬
vided for, the business is in process

•

new

spending on new equipment,
cording
to
spokesmen
for

should

of

*

$252

50.6%.

that

have

ness,

FIRST BROAD STREET
CORP.

1947

for

plant and equipment by domestic
textile
industry
declined
from

do

come

STREET & CO., INC.

tex¬

point.

Between

expenditures

preciation

The

$100.

in

case

facilities.

1958,

actual

Prices

shares of Common Stock sold at

a

relatively low level of, de¬
discouraged investment

new

and

is

has

by the

ment also has an effect

Offered in 7,500
Units, each Unit consisting of $100
principal amount of Debentures sold at $100 and 20

Investment

profits. The American

industry

income

f

a

Not every
industry has been in
position to charge the necessary
prices to recoup replacement costs

the

between

$150 million

($1 Par Value)

by

Spending Prop

earnings just to replace facilities.
Thus actual earnings after 52%

150,000 Shares of Common Stock

recouped

and

$400

and

these

ings.

has maintained

full

the

1968

not

the

was

$750,000 7% Convertible Subordinate Debentures due

of

care

company, it is paying dividends
cut of capital rather than earn¬

taxable
income, are determined
by subtracting from gross income

charges

Developers of Cape Coral, Florida

take

is

equipment

sult that profits are inflated

GULF GUARANTY LAND & TITLE
CO.

to

needs, for if the cost of plant and

tively

funds

goods
and
hundreds of

impossible

$510
investment

to

an

drop

Limitations of Profits
The

without

a

are

buy stock in

wear

purchased

amount

the

was not making enough
its "costs' of production;

cover

and

to

stockholders

many

of

services

would

would

there

satisfy with the
Lastly,''/it seems

increment

dustries illustrate the
point. Wage
increases
plus
increases
in
the

remain

dividends

stockholders
half

twice

that

assume

goods will be produced

more

and

right to

no

cost

increment in cost is
manifestly
if an industry is to
maintain an active
program of re¬

maintain

worth two million.

now

an

high

millions of dollars. To absorb such

equity

plant

a

have

to

that the original stockholders still
have
a
million
dollars
in

must

offset

replace

to

would

many

which
to

prices.
The
recent
wage-price increases in many in¬

For

order

situation, it is

increasing

additional million dollars in stock

to

this

inadequate de¬
preciation, to absorb any substan¬

original share¬

be

of

industry,
revenue

book

a company was worth
dollars and issued
an

view

difference

$1,500,000

funds, it wilU

earn

difficult, if not impossible, for

has

ever, industry has not been able
to charge off adequate deprecia¬
tion on its facilities with the re¬

of record only.

example,

only means for the company
accomplish this is through the
prices of its products.

company would be
and
the actual
dollar

million

a

for:

Because of present tax
announcement

For

to

the

example, if

If

measure; however, we must re¬
member that the problem of
capi¬

fair

amortization..

possibilities

maintained

value

*

Financing
•

Equity

taxes.

paying

In

limitations

unsound.

have to
fore

The second expedient, sale of
stock, would at first sight seem

tions

would

Tor

production.

depreciation allow¬
ances
and replacement costs has
been adopted by
many companies.

before

ment its depreciation

nitude.

between

This

This

saving of almost
half of which could
a

Very few facilities, however, have
yielded a saving of this mag¬

reinvesting
closing the

of

means

from

profits

supplement - $170,000,000
preciation allowances."
as

19^6

well.

as

Conse¬

if the ABC Co. must take
$10,000,000 out of net profits to
supple¬

gross

we

replace its facilities

and 1955, had to

invest¬

of thesje securities having been sold, this
appears as a matter

pay

$128,000.

company,

de¬

plants

wartime

rapid

II

in

prevent

installing
for

and

war

ment could be
recouped

time, and

few

to

Production

act

of

last

of

same

In order to
one

gap

of

ted

the

profits

Date

had

built for less than $26

The

Offered
no

investment

be

changed in 1952.
Solution

railroads

a

in 1945 for $8 million.

the

War

By 1959 it;'was sortie
higher than it was in 1952

in

not

contrast,

World

com¬

(3) In the steel industry a blast
furnace, which is the basic iron
producing unit, could be installed

to

up.

companies

1939

1918

sharply

1952 and since then has continued
to

the replacement of
facilities, for generally
speaking the equipment installed

could

By
in

in

98

broke

after

118

building

examples
replacement
costs

today costs $9,000.

an

whole¬

somewhat alleviated

in

.

then

index

the

was

(2) A printing press which was
purchased
for
$31,400
in
1935
when replaced in
1958 required

after

did

to

worn-out

original

with facili¬

55 ton capacity freight
1940. The same capacity

in

car

to

come

for

from

rose

fense

problem

the

case

specific

The

(1)

case.

I

War

index

from

rose

it

as

been the

World

in

'Same

would

cost

$2,550 for

immediately
hoped

20

serious

a

paring
with
original costs will help bring the
problem into sharper focus:

and thus the diffi¬
be
resolved.
The

I,

1920,

Some

many

fallen

a

than
the

was

at

years

at
much

say,

loan

taxes.

-

often

other

investment

car

value

Thus it requires almost

20

figure

compa¬

its

three dollars today to build what
one
dollar would "have built in

of

us

taken

installed

be used for interest payments and

increased

the

of

has

the

replaced, let

years

quickly
re¬
couped, but their replacement cost
at present day prices is still much
higher than the original figure.

problem

financing equipment replace¬
ment, although the situation was

that

five

in

newly

after

quently, .prices are higher than
they would be if adequate charges
for depreciation could have been

the

original

ago

below

the Engineering

indicates

Record

construction

in

years

few

a

but

quickly,

price

No

by

end

off

the

ties installed during the war, their

period.

nature

years

would

sale

.

published

be

cost. This

impact of post

inflation

War

After

The index of Construction Costs
as

the
problem of
inflation, since the fa¬

written

higher

written

replacement

war;

materials

condition

the

inflation.

II

opposite has

industrial machine reveals that at
least

the

culty

earn¬

survey

a

20

full

the

end

an

Rev. W. T.

high

dollar

the

that

years,

these

in

after

bil¬

$20

made

recognized by

was

is

30-year

critical

equipment

lion in the last

that

to

the

War

The

have

averaged well
over

felt

World

earnings after
taxes

permits

is applicable to¬
industries with long-

all

e

q u

cilities

situation

to

lived

its

policy

solve

placement

which

great enough to
interest on the debt and

.

day

and

modernize

depreciation

This

re-

not

set

one

were

10%, about

its original investment in

continued

only the reclamation of the origi¬
nal cost or $1,000,000. An addi¬
tional
$2,000,000
is
needed
if
equipment is to be replaced and
operations maintained.

the

had

capital

does

of most of the original

competition is to be met.

would

ent

the

on

necessary for defense; (2) it per¬
mitted the company involved to

textile,

are

is

under

borrowing
could
be
permitted. It could be done if the
return

palliative, since (1) it was applied
only to those facilities deemed

equity funds,

or

should -be

it.

there

circumstances

equipment

lem and effect of

profits.

yet

tization

earnings as is the custom, to close the gap between

income tax rate, the industry mufet
earn
$2 before .taxes -for every
dollar of profit it spends for re¬

continued

write¬

The application of 5-year amor¬
is not a solution but a

Fordham University, New York City

,

Thursday, March 16, 1961

.

without .facing

ye <r

that

.

borrowing large

go on

bankruptcy,

offs have been issued.

By Rev. William T. Hogan, S. J.,* Professor of Economics,

can

every

mentioned

few certificates of

very

necessity

one

sums

those facilities deemed
for defense. Since 1956,

to

.•

Then

1950.

.

is

one

of the most effective

Continued

on

means

page

47

.

M

Volume 193

Number 6038

.

.

The Commercial and Financial Chronicle

.

(1185)

13

II
the- time at which it would

or

are

not

of

the

specified.
proposal

end;

in

remain

force.

Another

The description ' tion to a plan based on expendi¬
as
outlined is tures in excess of ordinary de¬

-

financed

account for several features which

well

would, if taken literally, make it

taxpayer who has

unworkable and

over

By Maurice E. Peloubet,* Senior Partner of Pogson
&

enactment of

Briefly reviewed

only be useful under some circumstances.

can

the provisions of the Hartke bill in the Senate

are

Keogh bill in the House whichprovide a formula to Measure

decline

in

the

purchasing value of money, and Representative

Reinvestment

Keogh's and Senator Smathers' bills which deal with shortening lives
of

property.

pitfalls

cites

Peloubet

Mr.

"tax

in

credit

been

nublished
for
or

subject

depreciation reform

on

almost

said and

enough

everyone

which have to

a

form

•

,

,

,

,

,

H»t=nb«e^

th»

but

is

^
the

such

is

it

there is

and

statements

in the publications

appear

depreciation,

the

dis¬

cussed.

and

of this,
however,

may

and

In

mislea

spite

there

are

I

and

the Keogh

a

number

of

preciation

do

re¬

...

either

uii'

erstood

One

misunderstood
3t

3ir

the

of

probably

the

formation
"

.

.

*

.r

-

this

is

has

question

The first articies

been nresented

naturatly

aim^ed

technical " accounting

oubli^-

subisect

this

on

in

technical books.

tions and in

audience for these
the

accounting

earlfest

the

arid

leeal'

the

tent

tion based

was

to

mentions of depreciacurrent values, such

on

Sweenev's

book

Accouhtihe'

r

take hold until after"

the Second World War.
,,

A,

i.*

the

-

J..

time

j.

that

At

oub-

were

ago,Tne su^cc

years

reaily

~

"Stabilized

on

(1936)

h^hed maify
did not

While

nrofession

the recommendation-

as

The

„eu

i

,

^

general

out-

line of the problem was clear and

its

theoretical aspects were rea-

sonably
the

well

covered

seem

However

difficulties

practical

then

cid

not

because

serious

so

ox

the impact of five-year amnrti^aunder Certificates

tion

of

Neces-

While the operation ox fiveyear
amortization
differed
in
sity.

from

respects

many

depreciat

enough

to

reform,

ion

quiet,

general

a

if

it

was

entirely

not

eliminate, the demand-for reform
at

thai

time.

The

same

condition

also existed after the Korean War.

However,
who
of

were

when businessmen
receiving the benefits

five-year

their

those
vVho had been suffermg from insufficient
depreciation
without
any relief, it became evident that
sorpething had to
be done to
satisfy the demands of in ustry,
and

the

protest

partial relief

to

in

the 1954

Code, where the double declining
balance

the

or

method

'

the

was

re-

"

It

whatever

evident

became

soon

benefits

the

that

derived

from the 1954 methods, they were
not

correct the

situation, and it was about this time
that information on this subject

■

enough

began

to

Journal.
i

vancirtl

The

as

guide

trade journals;.

mands

.

that

became

So
on

provide

to

u

to

Their

vide

economic

which

the

degree

are

so

must

of

many

accu¬

vari¬

be

current

the

and

no

follow

its

well

be

of

an

experi¬

that proposed is far

serious results
partial failure.
worth while to

than

rati" er

the

by the, difference be¬
depreciation allowed those

taxpayers who did not spend their
entire
depreciation
and
the
amount which

they did spend. For
example, in' the lyear 1957, $36,962,000,000 was spent for depre¬
ciable property against deprecia¬
tion, amortization and depletion
of $22,779,000. The minimum cost
under the tax credit

plan at 20%
$2,800,000,000 being 20%
$14,000,000,000 but the actual
cost would certainly be larger.

would be
of

present facilities
is
desired, out¬
right subsidies or very low inter¬
est leans might be more effective
and less complicated and possibly
no more expensive.
In any event,

property.

neither

is

investment.

the

tax

Questions Results

investment

of

these methods nor the

credit

plan have

particu¬
lar
relation
to
depreciation re¬
form.
The purposes are entirely
different and
perhaps the most
undesirable thing that could hap¬
pen with any expansion method

less.

»

-

to

the

der

or

the

nad

substantial

for

basis

,

Temporary

large write-off in the first
of any purchase of machin-

a

year

or

gry

cre(jit

as

a

)3e

may

or

any

The

assumption

seems
to
that the tax credit would not

duce

the

be
re¬

depreciable base of the
It would thus constitute

equivalent

allowance

of

38%

a

initial

the

expenditures
above the depreciation and would
on

mean

a

1954

results.

Act, if the taxpayer

erty depreciated

rehabili-

and

on

the

at

was

cycle.

those methods

beginning of the

At the end of the cycle the

discrimination
of

the

user

what

reform

useful

and

is

for

we

should

do

f0

employers,

0U1.

than

that this will not be longer
the temnorarv

measures

will

straight-line

quirement
must be
•

harsh

that

amount

method

method.

Tr.e re¬
depreciation

the

spent first is particularly

and

difficult for

businessman

who

the

cannot

'

small

$2,800,000,000 is
tax deduction of

a

$5,320,000,000—not far from what
is
generally thought to be the

in favor

be

the

to

When

involved
of

the

fact

that

how valuable

to

''

to

point out clearly

clients or
temporary

and

This

accountants

as

j^lal revenue im¬
pact of the tax credit method is

parent that the

Continued

usually

necessary

a

is neither an offer to self nor a solicitation of an offer
of these securities. The offering is made only by the Prospectus.
March 16,

New Issue

1961

ac-

in-

matter

no

Not

any

:

210,000 Shares

.

will

,:'vyv'/1/-

reform.

Pr0posals,

such

as

plan" described recently in
a
Washington newspaper, " which
have as their purpose the encouragement of the expansion of in^ustry should be sharply distinguished from those providing for
£
means for maintaining
present
and

Broadcasting Company

y

Common Stock
Par

Value $1.00 Per Share

Price $30 Per

investment.

Share

::

..

.

Storer

"tax

the

credit

As rep rted, the

plan would permit

a

t x credit

taxpaper to

-

reduce his tax by a credit of 20%,
°r.some other specified percent-

Copies of the Prospectus may be obtained in any State in which this announcement
is circulated from only such of the underwriters, including the undersigned, as

af£
at>ie.P

may

legally off er these securities in compliance with the securities laws of such State. „

°P rty in excess ot t e a '
preciation now allowed him. It is

understood that this credit would
J
affect the bas s for future
depreciation.
■■

F°r

.

,

-

Hornblower & Weeks

rate of 52%' this credit would be ^ '
equivalent of

a

approximately 38%. (Expenditures > J
depreciation $100—'Tax^ $52— - .
Reduced by credit of $20—is $32.
$62 approximately—$62

News'

x

52=

.''

«

; v

W. E. Hutton & Co.

Y

w

r

'■*'

would; foft y a temporary
ThO' means of ending it - =

Bache & Co.

Paine, Webber, Jackson Si Curtis

'

* '

l

This

^

deduction of

in-"- over

4n9 9d

,

.

taxpaper paying at the

a

Reynolds & Co., Inc.

,-

Goodbody& Co. ■/'

proper

reform.
depreci¬

able basis is not reduced is taken

announcement

buy

a

into consideration! it becomes ap¬

not take the place of depreciation

.

the

in
are

depreciation

quaintances that
vestment
incentives

facilities

in

depreciation

reward for investment

necessary

substitute

a

ance

a

a
comPletion
There is no assur-

equivalent

accelerated

would
of

rates and against the taxpayer on

1+.

,

,

A tax credit of

substantial part of his prop¬

tax v.;--/'

a

circumstances, but they

<?ome

not

lower tax rate

a

,

of the work.

incentives such as the allowance
of

xu

,

beyond" ke*ween * e s

expand

investment.

present

port, and similar" publicsdionS. The -measure".'




sufficient

success

as

certain,

may

and

merely to pro¬
depreciation
to

is

purpose

bills

credit

tax

.

expansion.

confusion between plans for reolacement

an'incentive

the

World' Re-

promote

somewhat

do

^

week. U. S. News arid
-

two

the

| If
expansion
maintenance of

They will not do more than that
an(j ^ js quite likely they: will

Income to produce $32 tax would..

Week

to

maintain

subject began to appear in newsof^ general circulation, and
in the weekly news, publications
Business

as

increased

attempt something of this sort as
the
worst
that
could
happen
would" be that the expansion sim¬
ply would not take place.

to

lar and continuous procedure, and

papers

as

any case.

plan such

a

any

there

as

tween

It

means

a

~

these

such

..

!'^'

racy

ables

^

Still later, the de-

information

of

pf some sort must be pro¬

from

by Senator Smathers,

whereby more realistic

recommendations as form

£UC^ ^ut *n

in
financial
the Wall Street

for reform

sistent

either

with

at least for the difference

would

depreciation , refrom, which goes lation, as programs of this sort
no
Mian 1° provide for the require not only large expendircpiacement or., maintenance of tures of funds but there is genpresent investment and is a regU- erapy a considerable time lag

Journal-of Commerce and various

y

lines

iS not in.

Commerical and Fi-

>•

The effect of

for

While the

the^us/bv
Representative Keep/ merely
attempts

funds

ment such

«rected to P^eular
°f is that it is obviously temporary
f
economy. The danger here jn nature and thus can hardly

ChrorticTe, the New York

.

like

is

paper

will

cildit

appear

such

papers,
•

to

d

all

of

that taxpayers were receiv¬
ing this depreciation in addition
Criticizes Tax Credit Plan
to the total base of the property
represented by purchases in ex¬
When we come to measures de.,• *
*• *
cess of a year's depreciation. This
In the first place, we should be signed to promote expansion, be-< is that it should be confused with
would appear to be opposed to
very oarefu/ to ^distinguish be- yond the mere maintenance of in¬ depreciation reform or thought of
what is generally thought to be
incentiyes to expansion of vestment and facilities, We come as a substitute for it.
13
es and depreciation reform, into the'range of expedients such / - While the reports on the tax treasury policy, and, while a rec¬
ognition of the fact that the de¬
incentives , to expansion when as the tax
plam>Apart from (credit plan might not be full or
these are required and when .they certain superficial defects, which accurate, if ,they are to be taken preciation, base should be in¬
creased
to,Reflect inflation is de/
are. .properly administ^ed, are of the olan' .^^Rpear- to contain, 'at, their, face -value the method
sirable, if 'is' dbpbtful whether an.
th®.
value m an emgr- b^ati^'itVis^HblJully.reported, Ayqujd di s e r 1mA na te sharply
arbitrary arrangement of this sort
S^cy. They are usually of a tern- one'of the; basic difficulties with against the users of the acceler¬ would
approximate the proper
PoraiT nature and are frequently an expansion olan such as this ated methods of depreciation un¬

sum-of-the-digxts

allowed,

was

is

ou

to provide a
help analyze
and weigh the published information on this subject.

amortisation a^ed

of

voices

t

I

.

this

the

wav

-on

^

for

reasons

not

or

•,'

in

few

Maurice Peloubet

which

are

What

s.

features of de¬

form

of Mr.

some

most

tax credit method cannot be esti¬

mated

expenditure.

original cost rather than
values;
and
the
bill

°

current

intended

ing.

in the minds of

fortu¬

basis,

or

between

bill in the

fitLTomorfeinafcosl rather than

sometimes be confusing

afraid this confusion exists

am

even

the larger

thp taxpayer who

relief

additional'funds in

vided,

.

widely

so

■-

money

the

of

and

not

reform,

Depreciation

jSie£acrculktion frequent^ lives of machinery and equipment
give a partial view of theluWect maJ b? used „b?, taxPaPersNeither
of

im¬

portant

accounts

which

the

rates

House, is intended merely to compensate in arrears for the insuf-

7 introduced

facfthat

the

on

to

problem and

that

.

that

know

there

~

Fn

taxation,

the

and
important for the publicUnd

very

and

nomics

in

While it is all to the good

eco¬

with

do

treated

Reader's Digest.

in business
those sections of government

in

also

was

the

subject of the Hartke bill in the

plan."

Senate

There has

and

the

as

taken into
in itself provides,
plant replacement account. If we took the difference
cr
introduced
in the
between
total
rehabilitation, as the income
depreciation and
present Con¬
gress go no further: than to at¬ against f which
the
depreciation total expenditures on plant hnd
tempt
to
correct
sortie
of
the can be taken must first be earned. equipment* the difference would
deficiencies and inadequacies of In the case of a tax credit against, not be a reliable index ^of the
the depreciation deduction, as at expenditures in excess of depre¬ amount of expenditure subject to
ciation, it is obvious that new this credit. The amount would be
present administered.
V:

for the

argues

depreciation
hearings

described in

taxpayer,- or the
access to credit

taxpayer
nately situated.

••

before the Ways and Means Com¬
mittee and
in the bills already

matter how valuable and necessary—are not a

substitute and at most

and the

subject of depreciation

discriminatory;

proposals for

reform

depreciation reform in warning that temporary invest¬

ment inoentives—no

the

The

Co., New York City

Well known authority on the

business,
needs

,

easily

as

probably incomplete, which may preciation is that this favors the; probably be unable to raise the

For Depreciation Reforms
Peloubet

raise funds

pbjec-

:

*Y'

'

on

page

29

14

(1186)

The Commercial and Financial Chronicle

From

D. Mark Revaluation

valuation

'

'

\

'

"■

"•

'

'

'

'

'

'

'

.

'

'

''

'

'

a

further

•

D.

adds

this

to

for

being too timid and long overdue.

conclusion

his

prediction

that

re-alignment of parities.

exchange

As fcr the effect of the German

move,

unless

strong

European

Britain

has

currencies

choice

no

revaluation

second

a

but

following

to

is

undertaken

suit.

with

Further,

he

funds

has

arti¬

drawal of "hot

sterling crisis.

a

London, Eng.—The decision of the

did

re¬

degree

5%

language

Government

German

value

the

D.

came

as

a

coming
series
that

mark

by

to

some

complete
surprise,
it did after a long

as

of emphatic official denials

such

not

decide

of'

of-

to

of

As

critize

ago

ing

the

abroad

for
at

misled

and

government

is

public

about its

of

,

intention

whether in

To

the

sence

markets

are

would

ab¬

readily

of

such

this

However

weakened

the

confidence

of

official

has

non

the

denials.

be,

may

experience

too

-

of

major

currency,'the

made

in

the

the

of

such

For, for the first

since

matter

strong

-

in

time
a

the

further

public
in

war,

the

case

change

cold, -blood

as

policy. All
devaluations were

brought about by sweeping
sure

a

deliberate

post-war

pres¬

which the governments con¬
felt

cerned

unable

resist

to

value

and

sterling
to

it

yielded.

he

be

genuinely

able

only

was

increased

to

in

the

the

it

is,

it,

the

no

revaluation
mor

to

announced

1551,

Edward
valued

four

VI,
in

the

July

days

later

was

the

issued

was

threatening

with

Nevertheless,
revalue

was

the
wise

a

allowing

fluenced

itself

against

to

in¬

be

it

it.

Where

cism
the

is

Boon

in

is

open

that it had

to

vent

overvaluation

an

sterling,

influx

which

major

a

to

joining
Lehman
Huebner had been
representative

weakness.

major

Having

mistake

committed

a

by

allowing and
even
encouraging the influx of
covered arbitrage funds, they now

Will

eliminated

members
-

of

Midwest

the

Stock

nounced.

.

New

York

Exchanges,
it has been

Vice-President,
Mr.

ther

devaluation

history

repeat

by

a

25%.

less

than

D. Imark

though a step
in
the
right direction, has not
solved either the long-term prob¬
lem

of

the

of

,

of

the

payments
short-term

international

M-\

of

have

marginal revaluation. The

the

absence

extent to which the United

a

D.

to

their

mark,
of

enable

trade,

second

tion

be

States

able

them

unless

revaluation

followed
the

Swiss;

by

in¬

to

their; exports will

sufficient
ance

will

in

Dun

i.the

has

been

wholesale

with¬

not

has

of

franc,

French

is

measure

the

position

that

a

deliberate
created
ot

the

calculated

melt¬

both

was

action

precedent

a

which

it

international

into

ing pot. Precisely because it
as

it
re¬

a

and

upward

downward

Douglass
&

last

several

Inc.,

years

the

changes of parities are
be more freely under¬
taken, or at any rate more freely
anticipated. The international ex¬
change market is likely to remain,

as

a

unsettled for
—for

months,

long time to

perhaps

solution

through
changes
to

a

the

for

would

be

come
years.

all-

an

valuation.

Lynch,

R. Williston &

restore

that,

having

This
to

any

in

it,

it

reached

announcement

buy

new

now

and

is

neither

an

franc, Italian lira and

few other

currencies.

offer to sell

of these securities. The offer

issue

a

is

nor

made

a

•

solicitation of

an

-

offer

only by the Prospectus.

ym.y.,vi;.

will

of

Told

Customers

its

quarter1 v

on

March 22

constitution

and

>■:v.---

with Albert F.

tion.

And

its effect

*

well

the

if

(Par Value $8 per share)

J. F.

PRICI: $8.00 Per Share

New

private

York

the

nounced

Prospectus

not survive

sucfy dealers

as

may

may

be obtained from

lawfully offer these

the

undersigned

securities in

or

wire

this state.

City,

has

250 Fulton Avenue




IVanhoe

Hempstead, L. I., N. Y.

installation
connection

of

3-1034

at

to

business

North

Ontare

$30

per

Storer of 1177

Kane Concourse,
Beach, Fla., owns and op¬
five TV broadcasting sta¬

Miami

erates

Co.

radio

seven

radio

M.

stations,

daily newspaper. The
through a subsidiary

a

a

stock

six

broadcasting stations
com¬

also
voting

of

majority

of

the

The Standard Tube Co.,
Mich., manufacturer of
steel
tib'ng and other tubular
products. Proceeds from this sale

Detroit,

will go to the

Forms
Bernard

S.

Siorper & Co.
Storpcr is engaging in

securities

a

selling stockholders.

business

from

offices

at 545 Fifth Ave., New York
under

the

Co.

&

firm

name

of

'

This
to

announcement

buy,

any

of

is

these

neither

an

securities.

offer to sell,
The

offer

is

nor

solicitation

a

made

only

the

of

City,

Storper
ATM M-

an

Calif.

March 3, 1961

Industries, Inc.

(Par Value

10c

per

Share)

Price $4.50 Per S!:are

~
—•

conducting

from

Roatf.

offer

Prospectus.

Sell¬

Opens

BARBARA,

securities
436

Frank, Ladenburg,

Copies of the Prospectus

Samuel B. Schleifer is
a

at

Coast! Stock

S. B. Schleifer
SANTA

stock

a

Pacific

~

common

Common Stock

Exchange.

HAMILTON WATERS & CO., INC.

Co.'s

"an¬

Oakland and
the

1961,

Inc.,
City, and associates,
publicly offered 210,000 outstand¬
ing shares of Storer Broadcasting

108,000 Shares

Co., Los Angeles,
San Francisco, mem¬

of

16,
Co.,

York

NEW T^TTF,

Miller &

gren,

by March 16

Marmac

bers

from

&

an¬

Reilly & Co., Inc., 39 Broad¬

way,

mac e

Liberal

J. F. Reilly Wire
To Sellgren Firm

6% Non-Cumulalive Convertible Preferred Stock

of the

would

might-

other experience comparable with
that of the 'thirties.
MM ■ ;

INTERNATIONAL DIODE CORPORATION

Copies

disorder

fatal.

be

&

March

a

should be

result

financial

to

prove

Thalmann

to

produc¬

the free world

on

capitalism

handicap

offices

in

Br'dcasting

New

at which the member¬
ship will be asked to approve the

change crises. Unless this is done,
the
frequency
of
such : crises
gravely

Industries"

prospectus, Reynolds

p.m.,

tions should be

international

42,000 Shares

Storer

and

ing its production undisturbed by

would

Twenty

"Anti¬
Experi¬

1958.

pany,

bylaws,
to be followed by cocktails ant
dinner.
Tariff is $6.50.
Reserva¬

free world to get on with expand¬

in

ence

owns

Association

revised

Association,
articles,

American

F.

to

Quarterly Dinner

,meeting and dinner

would

This

equilibrium and would enable the

Econo¬

share.

formerly with
Pierce, Fenner &

balance of payment crises and ex¬

decision much earlier,

Royal

member of the

a

two-volume

Pursuant

Exchange

Customers Brokers

under-; 4:30

the

of

Society and

tions,

of their

college

including the

business

re-alignment of
parities, -at Oscar's Delmonico■ Restaurant,
a revaluation
of all ex¬ 56 Beaver St., New York City. A
which are undervalued^ business meeting will be held at

full extent

Springs College,
he was

latter

was

Smith Inc., and J.
Beane.

Brokers

1956.

to

trust' Policies:

partnership.

The

1948

he has authored books and

an¬

Robert K. O'Connor

Mr. O'Connor

Hold

eco¬

York

Common Offered

of the New York Stock

Merrill

from

American Economists

Cady, Roberts Partner

has admitted

the

director.

mists

and for
has been

new

in

professor

department of New

A' fellow

formerly with

was

Bradstreet,

and

which

also

and

Cady, Roberts & Co., 488 Madison
Avenue, New York City, members

.to

number

a

agencies and

Yale and at Deep

likely to

round

is

revalua¬

a

German

The

the

disadvantages

great

thrown

be

there

the

monetary

bal¬

to

of

economics

for

Previously he taught economics at

department.

money" would not
sterling crisis.
;

a

the

sult

Britain

de¬

did

as

division.

Economic

University

'/-M M./M:MV

with

deficit

a

government

nomics

J

One

has

of funds and specula-,
exchanges. It seems certain
that
Germany will continue to
run
a
big export surplus, even
though it will be smaller than it

in

to

funds

he

work

research

then

and

research

Mr. Whitney was associate pro¬

an^ rate until an im¬ /with Harris, Trust and Savings
off p^y-', •ABapJq In his new connection be
position., Once the balance will
work

create

movements

been

resort

those

payments

tion in

the

but

keep

London—at

5%,

balance

to

/

System; and Lionel D. Edie and
Company, investment counsel.

drawal of "hot

itself?

The revaluation of the

by

choice

no

vices

Wash¬

Governors of the Federal Reserve

of

CHICAGO, 111.—Kingman Doug¬
lass, Jr., has joined A. G. Becker
& Co., Inc., 120 South LaSalle St.,

consti¬

of potential

source

1949

of

now

Fed¬

Warfare; Economic
Administration; The
Chase Manhattan Bank; Board of

A. G. Becker Co.

of forward

to prevent
money" the

"hot

of

of

to

of

Douglass V.-P. of

pre¬

thereby"1

and

presence

tutes

during 1960 to

its

fessor

great pity that they did

a

in

pri¬
banking firms, including the
Department of Justice; the Board

intervened

of

criti¬

not reached

indeed

not intervene

economist

of

of

to support

inents

and

it

authorities

Huebner, Jr.

Shearson, Hammill & Co, and Hill,
Darlington & Co., respectively.

forward sterling at an
artificially overvalued level. It is

the

of the

vate

a

covering operation. To avoid this,
British

J. M.

a

Brothers, Mr.
registered

be¬

past

of

Cooperation

Prior

a

arbi¬

cost of the

fur¬

crease

by the fact'
had repeatedly committed
itself in public statements
against

that

increased

announced

right in

was

of the

of

London,

later another royal

month

a

proclamation

and the

one,

German Government
not

to

cause

from

than

of

decision

withdrawal

the

Commission

Prior

Jersey.

ap¬

danger of

a

was

Since

to

the

.

and

provement of the balance

in¬

Move

.tended

of Economics

associate

major portion of his time to serv¬
icing investment dealers in. New

aggravated the out¬

dollars

.

devote

confidence

pending second devaluation. Less

or

German

devaluation
of

served

director

as

chief

for the mutual

will

have

would

Praises

dollar

funds

the

York:

City,; national

of

of

ington, D. C. From 1949 to 1955 he
with the Twentieth Century
Fund in New York City, first as

Mr.

return

Bankers

Secretary

Whitney

Trade

was

Huebner

American

as

years

eral

1

fund.

heavy fines, imprisonment, pillory
and multilation those found guilty
of spreading
rumors
of an im¬

the

re¬

of
de¬

25%. A few
proclamation

royal

a

ago,

reign

pound

by

problem

technically

ru¬

second

a

centuries

under

disequilibrium

position to abstain from
valuation.
"

than

The

trage

the

than

More

he

a

belated

the

Mr.
five

Bureau

St.,

able to prevent

appearance

wholesale

of

revaluation.

that

Bonn wculd have been

flow

got busy canvassing

present

the

sub¬

Supported

even

preciate there

of

definitely

the

are

The

President.

One

William

flow of funds from London.

the

Germany. As

was

B.

Lehman

of the D. mark revalua¬
not

forward

year

more

have

unwanted

sooner

in

of the pres¬

been

would

a

autumn

extent

pressure

considerably
But

be¬

defend

when

stance the Federal Government of
in

it

any

longer. When in 1949 Sir Stafford
Cripps denied his intention to de¬
lieved

obviated

of

that;;

the

of

Advisory and International Com¬
mittee, it was announced by Merle
E.
Selecman,
Executive Vice-

sterling,, the psychologi¬ underwriters

was

-

rumors.

too

taken

revaluation

"in

German

was

ent

Had

and

been

scares

stantial

a

change.

the

Reynaud

late

n-

by

William

revalued.

Sterling

for

tion

the

have

short-term funds

end

their

imminence

the

assume

in

because

dollar
1960.

it

might

or a

that

frequent and emphatic denials
necessary,

Had

it

reserved

upward

an

direction.

downward

little."

cur¬

changing the parties of its

rency,

It

gov¬

every

its

conceal

to

home

intention.

clearly the duty d>f

ernment

hav¬

In

Paul

"too

is

measure

that

M.

a

Burr, director

New

adequate

an

s

Edward

United

reversed

currencies

be

Sees

during the middle 'thirties when
criticising the inadequacy of the
repealed French devaluations, tne

change was con¬
templated. Far be it from me to
any

on

a

w

Brothers,

liable

.

revaluation.

it

nounced

Department of

cal effect

West

Association

Inc.,

of

improves to the point where with¬

money" will not create

joined the
Department of Economics and Re¬

search

holdings

;

Simon N. Whitney has

Fund,

of

time

the

ficially overvalued level to keep covered arbitrage funds in London
until U. K.'s balance of payments

the

become

Huebner, Jr., has been

regional
manager
of
sales ,for The One William Street

currencies, is
the outward

from

not

M.

appointed

of writing. Most
people concerned prefer to await

other

an

of

to

up

expects

*

support forward sterling at

James

developments,; and some of them
even
prefer .to
increase- their

ex-

much

anticipated,

States

*

ports

a

on

the

of

;

revaluation

a

continental

flow

the

foreign exchange expert doubts it will help British and American

revaluation

and

widely

all-around

an

mark,

other

Dr. Einzig

henceforth

parities will change with less reluctance until there's

HuebnerAppointed ABA Names
By Wm. St. Fund Whitney to Post

the dollar, as it removed the like¬
lihood of a devaluation. But since

Germany's recent revaluation is praised for going in the right direc¬
but criticized

It is true,
it had
psychological effect

favorable

'

jBy Paul Einzig

tion

point of view of its
effect,
too,
the
re¬
proved to be in¬

has

adequate.

"Too Late and Too Little"?

'.'''.I

the

short-term

-r

Thursday, March 16, 1961

..

.

.

may

be obtained from the undersiyned.

METROPOLITAN SECURITIES,
Lewis

Tower

Building

Philadelphia 2, Pa.

INC.

Volume

Number

193

6038

.

.

Commercial and Financial Chronicle

The

.

of

How to Protect Our Dollar

tied

inflationary volume of de¬

an

There

mand.
ful

(1187)

now

are

hope¬

some

A wider understanding

signs.

;

.

Company of New York

.

,

.

*

New

*
f

•

,
A

.

banker

business in the

notes

the

Administration;

new

avers

his Chairman,

gold
the

the dollar's international

purchasing power:

reform.

*
i

*

few

compensation

the

of

the

of

manifestations

great

democratic form of government—

presidential'election. It was con¬

a

in

ducted

an

the

ican

o

un¬

play, and

f

in

to

of

tradition

out-

We must all bear

the

our

„

_

of

are

demand

no means

exercise

and

straint in

a

;This

us.

____

Dale

E.

Another

of

the

some

to

bilities

the

of

There

Federal

is

cannot

costs

there is

increase

But

competitive.

kept

are

politics, those who supported Mr.

cannot

Nixon have swallowed the hurt,of

mand and

be

done

if

is to

labor

obtain,

public.

I

A

know how much truth there may
be

be

in

this

record of
seem

this

true,

charge;

our

to be

made

pretty strong evidence

that

But if and where it is

the .joint

it

than

-

the

under

control,

1945

since

exerted

the money supply.
reason

pres¬

There

to suppose that

requirement

far

our

more

were

abol¬

important

than

balance-of-payments

world's

confidence

strength of the dollar.

strength

'

it

tno
the

nf
of

the

of

in

po¬

the

And by the
I do not

dollar

only the gold content of the

mean

apparent to the world
our balance-of-pay-

situation

re¬

sition, is the need of maintaining

a

as

if there

reserve

gold reserve position, and po¬
tentially perhaps more important

no ac¬

come

fixed

no

good

But

have

we

ments

is

responsibility

step like this should

presumably
same

our

prudent safeguard, not a desper¬
ate expedient.
As soon as we have

unhappy

paralyzing strikes would

against it.

de-

afteftear.

year

the

emergency and

policy

ished.

tive speculation against the dollar.

to

no

on

no

ent if the

Reserve

•

of priceg on
imple¬

monetary policy would be differ¬

doubt, as the
President intimated, that this do-

let labor costs rise and pass on

kept competitive unless labor costs

Sharp

American

is

no

■.

not

sure

existence

our

banks.

this

been

has

apprehension abroad, not

is

ability, but as to our
willingness, to deal with the prob¬
lem realistically. The third is that
about $11 %' billion of our gold is
frozen in the 25% reserve require¬
ment against note and deposit lia¬

the
do not

ex¬

quirement, since the requirement

^

production is the labor

American

had

is the persistent payments

deficit.

granting and accepting

to

amount

decisions

The

would have been the

cipally from three things. One, of
course,

other.

menting

uncomfortable

If there is anxi¬

ety regarding gold, it arises prin¬

re¬

proper

the

stabil[ty

the

an

position.

reserve

more,

allowed

than

our gold reserve would have
supported.
Why has the- money
supply not grown up to the gold
reserve?
Because
the monetary
authorities have kept it in a range

J—.....

-

is by

as

less

far

pand

ZITlTr'Jt S^Md w? Consistent" wHh "support of "the
JY? economy on the one hand and a
SOld. reagonable

share

efficient¬

run

requirement is that our
the years since

ahmit
T

the problem's
this would be

features,

reserve*

money supply in
the war has been

subject of the

short-term claims against

Labor must

breakdown

economies.

*The second point overlooked in
arguments for clinging to the 25%

Gold

labor

upon

contrast with the

of the free world's

Reserves

havp

and that they,
too, forswear featherbedding prac¬

inter¬

in

—

ccst.

best

the

outline

an

est cost of

But,

.

happy

by

that

Domestic

am on

fc.

ly, that they do not indulge■« in
practices that increase costs either
directly, or by encouraging labor

and

especially the part about
>vuges and prices. By far the great¬

out

bitterness

remains.

rest

not

whose prestige would be enhanced

•

..

residue

some

hope for this
does

But the

military

our

management prerogatives. ' T h e
charge is sometimes made that the mestic reserve would be released
(" difficult to improve on. Still, it wage-price spiral is due to some for international reserve purposes
s only an outline, and some parts
extent to a, tacit .agreement be- in an emergency; therefore, it
should be released at a time when
f it need a good deal of spelling
tw.een. labor and management to
As

essential

and

charges of

v

\

End

AA

.

.....

their businesses

tices

counterfair

the

Spiral

Wage-Price

were

charges

■«

sians, whose gold store would be
greatly increased in value and

.

sure,

there

.

inflationary
wage increases and to abandon the
work-wasting practices that 'in¬
crease
costs,
Businessmen, too,
have a responsibility to see that

markets.

national

extremely
be

to

wage

eo—oet.tive

goods

close outcome.
To

solution

demands

turn

sufficient
-

of

j

Would

be prepared to forego

price policies that will keep Amer¬

which
survived

has

alone.

balance-of-payments problem lies
in an increase cf exports, and that
in

,

.

of the responsibility.

brought into approximate
that the only adequate

constructive

and

change.

a

*

The

oalance;

this

atmosphere of

amity

be

can

bring

come

government and business.

We saw a few months ago one

.l" v:

;

.

will be far outweighed by the attempts to instill good

relations between

tion.

Business and Labor Responsibility

policies to date, the hope is expressed that the

fiscal

new

doubtful signs

self-

While I

to

serious reservations about

In expressing some

true

of

source

a

exports.

our

whom must be included the Rus¬

pay¬

abroad, which for
balance-of-payments purposes are
equivalent to imports without any
offsetting exports. Reallocation of
these
costs
would, not only be
more equitable but also
strengthen
our
international financial posi¬

statemanship in

of urgency

sense

a

the

of

expenditures

Appeals to this

economic

not

ate

,!: *

"sound wage and price policy,

bility and avers we all would be better off with lower

of

is

same

cessful, but perhaps the balanceof-payments problem will gener¬

m

and lower tax rates.

voluntary

on

for

the past have not been very suc¬

,

Sharp shows how high tax policy impairs our via¬

Mr.

produc¬

combination of the two."

reliance

sort

of economic growth"; and stresses the need for

"forced-feed theory

a

some

gaining contract.

policy and sound fiscal policy"; decries the use of

sound monetary

tax

;

and joins

He lists as tha three main supports

requirements.

reserve

unit

a

restraint by the parties to the bar¬

Henry C. Alexander, in proposing elimination of domes-

dollar's

in

mean

This view may seem to encour¬

of hostility towards

encouraging lack

strength is derived from its domestic purchasing power;

of

or

.

age

York

tic

,

costs

reduction

a

demand

rising price
level, or, enlarged unemployment,

„1

By Dale E. Sharp,* President, Morgan Guaranty Trust
•

increases

sistent
tion

purchases in this country,

ments would diminish

exists of the simple fact that per¬

And Create a Sound Economy

to

that

so

15

dollar

kets.

recteemability
r\f

?ri^e

rlrkllor

rno

-n-rirto

fha

dollar, or the price of the
in foreign-exchange mar¬
Basically, I mean the do¬

mestic

purchasing power of the
dollar; for unless this is main¬
tained, the others cannot be. Even
if
our
international
payments

were

'n balance and our gold re-

serve twiqeuas ,large as it is, our
foreign pgew-tors would be worto their jobs satisfied that our sys-- escalator
clauses and so-fcalled"t; w
^ S
ried, and rightly so, if we showed
"those who argue that the do¬
tem is best and determined to live productivity'inciifnihik-that''add' making arrangements' referred to
«.»>*• w*
signs of letting inflationary pres¬
mestic reserve requirement is
sures at home get the upper hand.
up to more than the actual
rise by the President's task force will
with it and help make it work.
be difficult to reconcile with our needed
to
maintain
a
sense
of
in output per man-hour. The laws
The President is to be commended
Those who have accepted the
balance-of-payments needs.
pressure
and
discourage
infla¬ for pledging no devaluation, no
election's outcome in this spirit of elementary arithmetic decree
T think we can all join in ap¬ tionary tendencies overlook two suspension of gold payments, no
have not yet had
to make any that the result of such a process
points. One is that if we lose sub¬
exchange controls and no restric¬
very
heavy drafts on their for¬ must be an increase in labor cost,- plauding the new administration's
efforts to bring the Western world stantially more of our free gold
and hence in total cost, per unit
tive trade policies; but such brave
bearance. Most of the things that
and still maintain the reserve, the
of output.
resolutions would come to nothing
'
: v'' "A together in a more equitable shar¬
have happened since Election Day
ironic result could be a gold em¬
if we were to permit chronic ero¬
have tended to allay rather than
A common argument at the bar-' ing of the! costs of common de¬
fense and aid to underdeveloped bargo with more than 10,000 tons sion of the dollar's domestic
to intensify any anxiety inspired
pur¬
gaining table is that higher costs
of gold still on our hands.
The chasing power.
by what was said before. Even if can come out of profits, and the countries, according to the part¬
ners' respective resources and bal¬ price of such a tragedy would be
this were not true, it would be
decline in corporate earnings in
The three main supports of this
a
dollar with no fixed value in
;tcent years suggests that some ance-of-payments positions. Such
hazardous, to say the least, to pass
purchasing power are sound wage
a reallocation
of costs, of course, terms of other currencies, and a
and price policy, sound monetary
judgment on an administration of the increase in costs actually
would not by itself solve our bal¬ general depreciation of world cur¬
after only a month in office. This
has come out of profits. But this
policy and! sound fiscal policy. Of
rencies, with no one gaining exance-of-payments problem. Most
one's record is still to be written.
process obviously cannot go very
Continued on page 24
of our foreign-aid payments are cept the gold producers,
among
We have little to go by except
car, since' profits are as vital to what the President has said in his
business enterprise as oxygen is
to
messages to Congress and what he
living
organisms, and labor";
defeat and have gone back

narrow

ohvimis.

snoh

<?plf-

vdlimtarv

benefits,seJ^A

fringe

increases,

wage

Tf

eliminate

to

«?•

the

^n,

.

.

.

and

have

associates

his

their

said

introduction

the

record

some

of the

to

complete, for
"

come.

find

can

still

A

In what has

for

in¬

is

prom¬

ised messages to Congress are
to

in

public statements. Even this

far, we
grounds

so

positive

some

President's

The

approach to some of our acute Na¬
tional problems shows an aware¬
determination

and

them

face

to

would, be

often

realities

economic

of

ness

are

a

that

sought in vain in

political utterances.

He has indi¬
hopes to

cated that he wants and

too

large

a

of the

part

celling price of^ most goods to b*
absorbed to any greatly increased
extent without bringing profits to
the
vanishing point.. So higher
mean

higher

solicitation of
The

Mr.
the

higher

an

offer to buy any of these

Kennedy, of course, is

first

occasion

President
to

who

concern

has

March 10,1961

NEW ISSUE

himself

not

'

150,000 Shares

had

with

the

wage-price spiral." It has been
with us for many years.. But it is

t

'

gain the active cooperation of the
business community. On both sides

domestic

there

encouraging absence
of the spirit of criticism and an¬
tagonism that has embittered the
relations between government and

national

business

proposes

an

large part of
the past generation.,'k '
"A/..A;
Let

during

me

give

a

one or

two specific

examples of what I have in mind.
Perhaps the best is the message
on

gold

and the- balance of' pay¬
The

ments.

equivocally

President

stated

un¬

determination

his

maintain the international

to
ex¬

including—if

it

should

be

quired
eral
He

that

as

a

Reserve

reserve
notes

recognized
no

at

amount

manently

our

and

the

of

deposits,
time

same

gold can perthe dollar's
foreign payments

safeguard

value unless

against Fed-




as

The Stancil-Hoffman Corporation
Common

out about

(No

Par

Value)

,

.

„

,

.

,

domestic economy and the balance
of

payments,

Share

Price $2.00 Per

his special "task force" on the

en,

:

contains this state¬

'A

.

A

1

-

■■

■/

'

«■,

■'

'■

'"'■■■*

••

'•'!

.■

A A-

■

-

;

ment:

"We must

and

needed—the $11billion now re¬

obligations

inter¬
well.
His

our

Blough and Dr. Paul W. McCrack-

nation's
pose,

but

it; but what he
to do about it, or can do
about it, we do not yet know. The
analysis submitted to the Presi¬
dent by Mr. Allan Sproul, Dr. Roy

speak

tions

pur¬

economy

language indicates that he recog¬
nizes this and has the courage to

change value of the dollar and
pledged the full strength of the
gold stock for that

Circular.

,..

facing him in a more urgent way,
for it now affects
not only our

is

securities.

offering is made only by the Offering

prices

of payments.

ance

offer to sell nor a

This announcement is neither an

prices, and
discourage exports
and
encourage
imports, therebycontributing to our adverse bal¬

costs

appeared

reassurance.

costs

strengthen the condi¬
for vigorous price

"

Copies of the offering circular

~

.

essential

from the

product competition.
.
.
We
believe that a part of our diffi¬
.

as

may

culty in maintaining a stable price
level has arisen because our wage-

making arrangements have tended
to produce wage settlements averaging,
more

for the whole economy,
than the general increase in

productivity, even in the absence

*f

}

A

A A

.

'

v

be obtained

may

undersigned and from such other dealers

lawfully offer these securities in this state.

*

a

A

Pacific Coast Securities Company

.

•

*

•

.

4

:

;

,

Russell and Saxe, Inc.

16

'(1188)

The Commercial and Financial Chronicle

■!.'

Thursday, March 16, 1961

$874.7 million, up from $766.3 million for 1959. A slight loss was
taken-on-investment transactions during 1960. V

the

Selected Per Share Statistics*

;

and

national

increase

STOCKS

Net. Oper.

BY LEO L BURRINGTON

Year

Dividends

Earns.

1961

-

$4.04

FARGO

AMERICAN

BANK

TRUST

New

York

clear

to

be expected

can

One

Bank American

soon

The

1960,

such

bank

in

At

that of

is

Fargo bank

is

the

result

of

recent

the

12.7

and

proposed similar increases in

11.1

9.0

34

10.2

balance

-

25

the.

10.1

35

-

33

11.1

37

-

31

9.4

figures

prior

1959

to

'

v

12.4

At

/,/■

l.-\

i

Although

the

market

Fargo

relative

other

to

risen

continue

to

favorable

the

is

the

5.28%
(With

cost.

a

utility consultant to study the

and

a

in

it

to

Wells

10%

Fargo split its stock 2-for-l

form

5%

and

the 1960 merger,
the merged

to

of

creases

and

the exchange

was

on

PUBLIC UTILITY

are

central

California

in

eighteen

counties.

Management

between

SECURITIES

plans

Bank, Marysville, was
exchange of two-thirds of a share of Wells
Fargo stock for each of the 62,539 outstanding shares of Northern
Counties Bank, or 45,862 additional shares. Northern Counties
Bank, with approximately $16 million in deposits, added three

The
Toledo

the

annual

meeting

Jan. 31,

on

1961, Wells

shares

available

for

when

;

Cash

S.

Governments

Loans
Other

16.0%

635.2

securities

.

19.2%

52.3

1,412.3

•___

,

assets

61.6

v

•

17;9%
6.5

2.3

■.

51.2

assets

$2,700.3 '

.

100.0%

'

-

-

$2,522.3

Deposits
Other

■i

liabilities

7.0%

2,448.8

■

'

63.1

6.4%

90,7.

<

V

92.0

• ;

2.3

Total

liabilities

.

H

:I $2,700.3

100.0%
...

-

-

"

6.5%

:

-

-

-1.7

100.0%

?
'

*
■

of

one

as

the

is

•

is

;

The

gone

not

yet,

Lawrence Sea-

counties

in

also

includes

.farm

of

some

land ,-in

the

the

automated.

to'

age

farmer; in ;the

kwh

area

To

year.

the

.

aver¬

now

with

the

company

has

"low step" of 1.80 per

a

that .it

develop

can

'

a.
*

Neal

Neal

.

and architects in the

has

uses

offset, the

been

rather

drab

due

the

to

in

reserves

the. company

.areas

"

financial

the

farm

Mallin

Mallin,'; formerly
in
the
advertising and public
relations
business,
has
become

area. .."

,/•: The company's earnings record

in

1951

With;

Barth Thomas Co.

associated with

necessity of building up its gener¬
ating efficiency and increasing its

a

The

electricity.

filed

the

.declining trend ^of population
.

Neal Mallin

conducting training programs for
contractors, suppliers, engineers

The

automation; has

[farm

decade.

residential electric heat¬

confident

production, and
area
are
highly

and

last

program

sizable heating load with this new
rate and meanwhile it has- been

farm

this

700

re¬

ing, putting, it in line with neigh¬
boring utilities. The company is

state:

of; the eight counties served
in

Toledo

kwh for

the

selling

to yield 3.1%,;
dividend rate

electric

this

with

schedules

of

been

the

on

for

general

into "high gear" as
homes in the area

heated

now

rate

city

eco¬

400

over

are

while

has

a

system.

actively

now

residential

and

has

ports

is

company

the entire

improve¬

an

a

heating

as

price-earnings ratio is 20.

4,000

promoting

one

Lakes

kwh,

per

paid

for

stock

based

most

Barth

Thomas

&

Co., Inc., 39 Broadway, New York

City; in their. ;tra^ing dep^rtmentv

since the separation from

set

?up & new industrial de-? Cities Service in 1950. The equity
velopment department which has 'ratio which was 23%. in 1949 has
:
been instrumental, in * adding
among commercial, real estate and instalment
54 been raised to 30%; With public,
loans, lessens the
plants in these smaller; communi¬ ownership, the company: lost the
impact of fluctuations of short term interest rates on
earnings.
-.
ties,
thus - helping
Also, the growth of population and trade and the diversification
to ; halt
the advantage of consolidated income
of industry in northern California makes
V population decline.
V-J' ~ i ! v? VtaX filing and together with nr Thomas A. Deitsch has joined the
banking less susceptible
to adverse economic trends than for
During
the J past
decade
the creases in the .income tax rate public .' relations •, department ..of
many other sections of the
company spent over $130 million .there was ah increase of .50% in
country. 'Wells Fargo management looks for an active
Doremus &
year in
Co.,; 120 Broadway,
for. construction and net gener- the income tax; Also, both surplus
the field of credit in 1961. Real estate
New York City, the national ad-r
loans for 1960 represented
ating
capability was
increased c and depreciation reserves were vertising
and
public 'relations
$561.3 million before deducting
reserves, compared with $565.3
from 293,000 to 652,000; kw, with low and have had to
be. increased agency has announced.- • V
for 1959. Commercial and
work now under way on an addi-. materially.
monthly payment loans for 1960 were
A major reason for .-/< Mr. Deitsch was

Doremus Co. Adds

Deitsch to Staff

.

t f

The

per

capability of 636,000 kw,
kw hydro unit, and 7,500
kw of firm purchased power.

trans¬

which

Btu

proposed

6,000

4.1% to $2,700 million, while deposits of
$2,449 million represented
a gain of 2.7%.
Loans outstanding gained 6.4% over 1959 to
$1,412 million. The bank's diversified
composition of its loan accounts
..

area

and

Great

with

a

commer¬

a

,

aided the company and

pro-forma

a

9,314 Btu

ment
of -over
28%.
Generating
facilities include four steam plants

in¬

38%

miscellaneous.

center-

farms .* in

Fargo's assets increased

,

9%

-mechanized

-

on

heat rate of

10.455

-

uoo.o%
100.0% <
$2,522.3 v.; $2,320.9

The Statement of Condition
presented is based
basis for the four years. For
1960, Well

a

rank; aniong the first three Ohio

,/

-v.:. 91.8«

1.8

$2,593.2

V' V 'L.

commercial-,

major

counties
92.0

,

to

In

richest

;ioo.o%

6.2%
„

1.6

addition

35% residential and

are

18%

trend!
v.

.

-

In

Lucas

area

6

.

$188.4

,

the state commission for

and

populous -.Ohio

-

•

funds—.

area

nomicj.idiv^ersificktiori, -^The service

:

$2,320.9

-

time

has been increased to 30%

County,- which con¬
tains Toledo, leads ,the eight most

.1.6'-..':

...

that

be

previously expected.
The company may later appeal to

is-rated

portation

49.4-

11

100.0%

-

$2,593.2

LIABILITIES—

Capital

•

since

the

at

as

cently around 22V2

Two

100.0%
Total

/

■.

the

But

reserve

of

favorable

per

kwh.

590,000 population in
area.

cial, ^manufacturing

6.6./'.

46.7

1.6.

mile

The economic hub of the

■

;

system heat rate of 14,613 btu

of

amount

metropolitan- Toledo,

.;i8.4%/>
24.0

settlement

a

-

;•

Dec. 31/57

27.2

5.9

5.9

satisfactory

kwh

way.-

"

elec¬

174 communities

served, by the St.

22.1

23.5

159.2

of

Company

with

the

of

dustrial and

Millions of Dollars)

$432.0

small

a

square

service

Revenues

Statement of Condition

31/58

recommenda¬
the

increase

of-the

Dec.

below

efficiency has been improved
greatly. The Bay Shore Station

rural,

openings.

31/59

with

production,- steel and metal
fabrication, glass manufacturing,
oil refining and food processing.

_

Pajaro Valley Bank, 1,065,463 authorized shares would remain
During 1960, the merged Wells Fargo Bank American
Trust Company added 10 offices, five of which were new branch

Dec.

Edison

parts

unissued.

Dec. 31, 1960

was

under

company's
limit, and it so in¬
dicated to the City. While nego¬
tiations are continuing, prospects

substantial
farm
economy, Jocal,. efficient in the United States. The
industries include automobile and system heat rate is now down to

of

Other

2500

a

the

in deposits; the proposal had already obtained
approval by Pajaro Valley Bank stockholders. Based on an ex¬
change of 1% shares of Wells Fargo for each of the 91,500 shares

ASSETS—

His

return

4.91%

consultant's
were

60%

$30 million

(In

of

and

Ohio. Toledo accounting for about

needed, though management has no present plans for the issue
of any of the stock.
Stockholders also approved a merger of
Pajaro Valley Bank, Watsonville, Santa Cruz County, which has
some

(and

in

Fargo stock¬

issuance

Toledo

serves

heating and gas)

holders approved a proposal to increase the number of authorized
shares from five million to six million.
This increase is in line
with the policy of

having

Edison

tricity

in

Marysville, Yuba City, and Gridley and a facility at
Base to the Wells Fargo banking network.
In¬
cluding a 10% stock dividend paid on Jan. 16, 1961, Wells Fargo
had 4,808,724 shares outstanding at the end of 1960.

U.

tions

approach.

rate

4.67%

local level do not appear to

Air Force

At

tax

acceptable

merged through the

branches

a

approach.

The

to open about ten branches a year.
On Dec. 1, 1960, Northern Counties

Beale

income

recommended

either

largest in California.
commercial, savings and trust business is conducted in northern

and

in

9.63%

to

"normal¬
approach; or
6.63% assuming "flow
In comparison the re¬

to

ized"

cial bank in the United States and the third
A

7.05%

quested
increase
amounted
to
14.8%
and assumed a "normal¬

paid stock

share for share basis

a

presented
in¬

was

recommended

revenues,
assuming
ized"
income
tax

during the nine months period prior

bank. When merged, the two banks had 115
Presently Wells Fargo is the eleventh largest commer¬

branches.

;

he

through."

of

study

on -net reproduction
flow-through of tax

request. His report

4.05%

and

to

tion, the return would increase
to 5.57%). The city then employed

Trust Company with histories dating back to 1852
respectively. After American Trust paid a 10% stock

dividends

members

savings from accelerated deprecia¬

and

dividend

$1.7

share.
the Toledo

a

request

staff

and American
1854

area

to

proposed

only

fast
growing domestic area being served. Wells Fargo Bank American
Trust Company presently is taking steps to strengthen its ability
to provide a world-wide banking service.
only

total

increases and
in
October the staff reported that the
new rates would yield a return of

progress

Not

major United States banks.

the

year,

a

service

about 160
of

or

the

assigned

this

recently,

rapidly

make

$800,000
the

City Council, the state commission

.

1960

price has

of

bring

million,

American

for

are

would

price of 72, a yield of 2.2% is obtained. In¬
year end 1960 book value exceeded $44 a share.

reserves,

city

would

12.7

44

-

mean

leading bank stock should

March,
Wells Fargo Bank

of two major California banks,

merger

Wells

for

the

41

;

earnings

in

28

v

to

increases

-

59

-

9.7

only.

share

cluding

Company.

Wells

present

management

Co.

Such
about

-

29.81

dividends;

residential,-

52.

10.5

.accommodate future growth needs, the present $1.60 cash dividend
rate is expected to be continued during the foreseeable future.

up

Trust

1.28

stock

for

in

rates,

power

of- Toledo.

registered- a healthy gain of
10.4% to $4.04, up from $3.66 pro-forma 1959.; For 1961 earnings
.are expected to at least slightly exceed 1961 ^results. On a proforma basis, combined earnings-of previous years were $2.53 in
1955, $2.99 in 1956, $2.79 in 1957, and $3.11 in 1958. In order to

the embarrassment, the compatibility of
branch banking to present day banking needs of the American
public has long been recognized in the enterprising State of
California.

2.75

'Adjusted

15.5%

45

11.6%,

34.66

,

of

14.3% in commercial and low

voltage

58

-

March

amount

"

31.44

Per

the state considered to have the most up-to-date
banking laws. A minor flaw in a legislative procedural detail
has just caused a judicial invalidation of the one year old New
York omnibus banking law which permits New York City
banks,
among other steps, to open branches in adjoining Westchester
action

Ratio

32.85

1.32-

Trust

California,

some

1.32

3.10

.

,

and Nassau counties., While

2.88

COMPANY

is indeed refreshing for bank stockholders at a time such as
this week, when branch bank confusion for New York City banks
is in the headlines, to view the smooth operations of
banking in

Price Range

35.05

.1.32

1956——

It

Avg. P/E

$39.19

1.32.

3.28

1957--I—

Bank Stocks

—

Approx. Bid
70

1955—

WELLS

Week

on

Book Value

Value

1.45

3.66

-

1958

This

% Earned

$1.60

___

1960

1959-

Book

,

In

average.

1960 the company requested a rate

.

.

.

,

.

,

tional

built

NEW STOCK
(Reflects

80-to-l

Bought
Circular

on

i

.

Members

New

Members

American

York

54 PARLIAMENT

Request

STREET, S.W.L

13

SQUARE, S.W.I.

Stock

Bankers to the Government in:

Eiehup
Exchanro

Specialists in Bank Stacks

,

KENYA, TANGANYIKA, ZANZIBAR,*

*

UGANDA, ADEN, SOMALI REPUBLIC,

:

NORTHERN AND SOUTHERN
'

RHODESIA "

•

t'-i' "J

"

in

by manufacthe area.
For

Gulf

and

million

;

Pure,

have

for

dollars

of

>

^

•-<

.In

spent
a

half

industrial

ex-

over

earnings
the

was

showing

decline

earned rate of return
•

on

how¬

sociate

the

in

newspaper..

property account (as reported
by Standard & Poor's from 8.2%
for

1949

1960.

As

to
a

5.6%

as

of

Sept.

result the share

editor; of

Underwriter, an
He

year-end

net

,

as¬

The

Weekly
insurance/trade
also

was

public

relations adviser to the N. Y. State
Association

of Life Underwriters.

30,

earnT

•

Inter-Regional Sees. -

panyfjhad

year

operation, the

inadequate

reserve'-(about

5%)

-

,

$1.12

level.

of

com-

However,

the

credit

struction

200

in

much

for

had

1958

to

weather
of

1960

-

interest

not

a

high

on

with

offices

39

at

East Chestnut Street to engage

frpm

the

also

formed

in

con¬

declined

about
in

10

in

a

reduced

reve¬

side,, averaging about 5%

the low

under

J.

dent;

-

Officers

Smaby,

Charles W.

.

are on

securities business.

Arthur

1960.

during

area

nues.

generating •4 Residential rates
and

been

better

a

showing would have been made if

Mild

years.

1951; the. first ..full

independent

over

facilities.

new

all, there has been

pansion in the last 10

,

-

•

ever,

equalled since; for the past three COLUMBUS, Ohio—Inter-Region¬
Securities
Corporation
has
year earnings
have been at the al

already

billion

Branches in:

INDIA, PAKISTAN, CEYLON, BURMA,

'

con¬

poor

turers

In

>

.

"

e

;' i-

northwestern

also ..been

the

ings of $1.17 in 1949 have not been

$147

ADEN,

KENYA, UGANDA, ZANZIBAR
•

in

has

others,

example, the oil industry, includ¬
ing such names as Sun, Standard,
.

BROADWAY, NEW YORK ft, N. Y.
Telephone r BArclay 7-3500 Bell Teletype NY~l-l24f-4$




ST. JAMES'S

units

and

,

siderable expansion
.

Quoted

Stock

\

..,

London Branches

Laird, Bissell 8 Meeds
120

.

big

Ohio. .There

„

Split)

Sold

.Chevrolet' Division-

Head Office:

.

previously

the

Division, ;, Campbell ;Soiip, Brush
Beryllium,
General
Motors

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

,
.

In

decade, ■» General. Motors'- Central
Foundries

NATIONAL AND GRINDLAYS
BANK LIMITED

Christiana
Securities Co.

unit.

are

President;

Fullerton, Vice-Presi¬

Richard ; B. / Schuurman,

Treasurer;
Assistant

and /Martha _> Hanes,

Secretary and Assistant

Treasurer.

-v •

*v:

'•*>

-•

'

;-

V.

Volume

193

Number 6038

.

.

The Commercial and

.

Financial-Chronicle

(1189)

THE MARKET
BY

.

.

WALLACE

dividend

AND YOU

.

yield is pretty close
sliding down to the 2% level."

last

earnings

Irregularity

than

for

getting

market

saw

rest

parlance,

is

unprecedented

industrial

fact,

since

With

which,

called

last

has

investors
month

the

with

been

to

favored

between

high of 674.
time

the

as

approached.

reflecting

is

assault

an

without

a

even

than

story

peak

has been

that

of

more

ular.

seen

only

the

a

at

issue

Utilities
demand
their

profit-taking-

of

after

of

demand

enough
to

average

30 years,

section

to

was

had

busily

the

utility
high for

fall

when

ground under

trading

in

reaching
the

list

nearlv

28

rally

subsequent
than

more

29

and

million

With

that

mark

getting

the

names

old-time

in

been

recent

in

favorites

the

wonder¬

markets

attention.

some

were

This

has

some

of the better yields are available
running up to the better-than-5%

level

currently,

of

has

Tobacco

the

centered

where

increases

in

lighted its position
leader in

hitting

early next week.
pace

the

That is

a

for trading

Reynolds
dividend

seven

have

high¬

the industry
efficiency, and obviously
as

candidate for

a

has

1961

year

an¬

present

an

offer

buy

to

any

neither

an

offer

to

of these securities.

sell

nor

a

solicitation of

ISSUE

to

Opens in Seattle

necessarily at any time cointhose of the "Chronicle

SEATTLE, Wash.—On March

ivith

They

presented

are

author

those

as

the

on

company

profit

a

only. |

Building,

Seattle 4, Wash.
George W. Mar¬
shall will be President of the
new
firm and Donald A.

Harriman Ripley
Names Two V.-Ps.

Meyer, Exec¬

utive Vice-President.

erly
Foster

have

Incorporated, 63 Wall Street, New

Harris,

1

good

senior

were

The election of John C. Dillon
and
Charles F. McManus as Vice-Pres¬

rate

&

Marshall,
brokerage

and

been

Both form¬

partners
of
whose corpo¬

departments

consolidated

Upham &

with

Co.

All mem¬
bers of the Municipal
Department
of Foster & Marshall
have

>'1

joined

the

new
company.
Katherine D.
Peha will continue to
manage the

list

Underwriting Department, J.

was

jump

Thomas

last

Kuebler

manage the
and Carlton
D.

will

continue

its business
in the

L. Nau and William
continue activities in

Rae will

the

buying and financial consult¬
ing fields.

Great

bolster

shown

some

record

its position

products field.

a

Paper has also

market

good performance
^ear, with the $2.99

last

help account for the
the

shares.

The

adding

bolster

demand

new

has

company

facilities

new

to

its

efficiency and offset
rising costs and, the results seem
indicate, has done a good job
in

this

of

the

active

of

items,

almost

well

day's

any

most

active
issues,
has
been
Sperry Rand which has also been

issue

nudge to

has

been

exasperating
it

new

of

one

for

highs. This

the

the^more

five

years

formed

was

merger

through the
of Sperry Corp. and Rem¬

ington

of

and

dis¬

various

types of in¬
securities,
has
been

vestment

ment

ities

the

in

high

the

develop¬

that

showed

is

a

But

new

encouraging

to

era

its

profit

followers

there

dawning. The Rem¬

from red ink

the

to profits

corner

last year,

lessening the heavy depreciation
charges on
the
computer
ma¬
chines. The division has been

ex¬

tensively reorganized
bolster

its

Where

the

recently to
profit position.

new

office

machine-elec¬

shares

of other companies
stratospheric levels,
Sperry because of its

have reached
of

difficulties

are

reasonably
for

The

utilities

will head operations in the Phila¬
delphia control territory.

despite

against

half

for

return

is

well

in

Mr.

Dillon

has

Harriman

been

Ripley's

a

member

New

York

City Sales Department staff since

February, 1953. Mr. McManus has
been

member of the firm's New

a

York

will

trated

consulting

continue

in

the

Charles

he

poration,

elected

was

President

an

Assistant Vice-

in

charge of the New
City sales office.

York

Divine & Fishman

to

five

be

above

hereto¬

R.

associated
York

Treuhold. has
with

40

City, it

Robert

H.

Cor¬

Street,

New

Wall

announced

was

Craft,

Treuhold

become

'Paribas

the

has

ciated with Lehman

been

the

case

of

of

most

utilities,

NYSE Firm Form.
Divine

&

Fishman, Inc., members

of the New York Stock

Exchange,

will

be

March

with

offices at 2

York

City.

old S.

as

of

23

Broadway, New

Officers will be Har¬

Divine, President, who will

acquire
York

formed

a

membership in the New

Stock

Fishman,

Exchange;

Executive

Seymour

Faulkner, Dawkins
To Admit Partner
On

tary-Treasurer.

formerly

Manager

was

for

Westheimer and Company.

partner

a

Dawkins

in

Faulkner,

&

Sullivan, 51 Broad
Street, New York City, members
of the New York Stock
Exchange.

Vice-Presi¬

Mr. Fishman

Chicago

April 1 Herbert Bernenko will

become

Calif. Investors Add

dent; and Milton S. Heller, Secre¬

announcement

offer

to

sell

securities.

NEW

LONG BEACH, Calif.—Joseph W.
Stok has been added to the staff
of

California

Atlantic

Investors,

Avenue.

or

The

is

as

under
a

no

circumstances

solicitation

of

an

offer

to

be

to

buy

construed

any

of

as

an

these

Offering is made only by the Offering Circular.

ISSUE

March 10, 1961

Tensor Electric

ex¬

vestor interest cautious. A feature
in

Niagara

Mohawk

that

Development Co., Inc.

(A. New York

panding generating capacity have
kept profits restrained, and in¬

Offering Price $2.00 PER SHARE

corporation)

Common Stock

offsets

(Par value

this is its current program of more
economical interchange of power

ten

cents)

with other utilities and additional

Copies of the Offering Circular
"

may

be obtained only in such

power

states

itvhere

the securities

may

be legally offered.

from

Lawrence

*

^

mates

are

the

Niagara

projects.

1

that Mohwak is

St.

and

Some

esti¬

now

OFFERING PRICE:

$3.00 PER SHARE

in

position to meet expanding needs

J

II. B, Grand all Co.

;;

of; its

Underwriter

A

up

to

with

/

customers

^eher^tiifg

without

heavy

capacity extensions for

half

a

dozen

years.

Copies of

the Offering Circular mag be obtained from the undersigned.

This

higher rates helped it stage

.

■

j"!

*

a.

82 Beaver Street

vXM




:

*d? New 'York, New York
WHitehall

3-1981

superior,

year

when

profit

outstanding its
to

$2.24

showing

despite

from

per

more

share

$2.07,

and

Jast

THE DRESNER COMPANY

MICHAEL & COMPANY

shares
was

its

up,

in¬

terchange ^rograihJrMntsat^ek-^^

for

the past five years.

4%,

constantly

asso¬

Brothers

100,000 Shares

high costs

by

President.

Some Investor Caution

In

serv¬

concen¬

states

Charles Treuhold
With Paribas Corp.

City Sales Department staff
since March, 1946. In March, 1958

one.

the

issues

areas.

that

of

is¬

fore mentioned.

the averages, are still
where 4% or better

available

financial

ices

This

items,

participations

in

this field.

high-yield

on

ones

representation

dis¬

have

the

among

priced

-

concentrating

charge of the firm's New York
City sales office and Mr. McManus

Remington

computer division, along with the
task
of
digesting
the
merger,
Sperry has not been a company
results.

and

Mr.

with

costs

past,

will

and

they

as

originating in other

Rand.

Faced

municipals

the

Inc.

originating in Washington,
Oregon, Idaho, Montana & Alaska.
They will also expand their activ¬

Mr. Dillon will be in

announced.

of

the

list

able to

Charles F. McManus

underwriters

tributors

regard.

One
up

York,

Marshall

underwrite

sues

John C. Dillon

(

share profit more than $1.20
above that of the year before to
for

in

popularity

per

been

&
to

tribute

Northern

following

Foster

continue

•

to

paper

the glamor of growth
pre¬
dominates. Niagara Mohawk's in¬

(1 <p Par Value)

to

Trading Department,

of

where

150,000 shares common stock

15,

1961 the firm of Foster &
Mar¬
shall Inc. began operations in
new
quarters at 1505 Norton

of the

in

is

INC.

not

c'de

make

strides

dicated

LEE COMMUNICATIONS

able

made

progress in

8, 1961

Foster Marshall

some

idents of Harriman
Ripley & Co.,

as

expanding the plastics section

the
March

been

show

has

pany

The

The offer is made only

by the Offering Circular.
NEW

regarded

appearances

available
is

for

outpaced the sales im¬
provement, in part helped along
by foreign expansion. The com¬

more

announcement

consequent

that

past

This

is

highs. The

to

those

the

better economic back¬

a

generally

which

the

where

of

this

long-laggard paper
stocks have been
showing signs
of stirring,
including Scott Paper

tronic

to

in

Some of the

other
increase.
The
enthusiasm,
however, has carried the price of
shares

them

ington division turned

interest of

on

row

a

have made it

of

market

something

of

promise of better results.

since

line.

700

included the tobaccos where

late

working close to the

record-breaking

its

showing in Liggett & Myers.

Records

certain

this

and

extending

glamorous

haven't

workers

Much

quarter-billion

virtually

of

some

shares

fact, the entire year has been
amazing demand for shares.
is

of

the stock list already at what is
generally regarded as high levels,

taking,

of

Turnover

the

that

Machines,

593

the

to

seem

than

1960 at

en¬

■

list, but the buying, obviously,

In
one

would

Business

above

was

definitely

busily

was

breakout

In

inexhaustible.

None

all

to

addi¬

and

I The vieivs expressed in this
article
do

pickup

a

Perk-Up in Papers

the gains of fa¬

so

spectacular

more

week

pected to make bigger inroads in

Volume

put

new-

inducing

were

which ended

impact
of
such
trading
activity
could
have
been
ex¬
the

in

International

its

in the
through
-

issues

be

The

was

and

in

most-active

specific issue

a

buying,

thusiastic.

single week.

a

the

solidly in the

powerful

vored

im¬

years.

profit

changed hands in

hand¬

turnover

a

shares

of

as

tional

the

held

high

Average,

relative

a

200,000

Strength in

of the busiest

some

the

Industrial

the

was

the

way

turn

Never¬

trading "day" that

head

well

as

also

.......

pressive

its

highs columns.

new

"consolidation"

took

show

list,

section

other
sections
were
absorbing
persistent selling.
The more heartening aspect of
the

of

the

at

to

Resumption

carry

last

able

this

in

another

it

the

traded

tape appearances, the issue

excess

taken
in

feat that occupied this

a

to

in

much

correction.

a

mild

was

they

without

a

down

ful of

some

con¬

machin¬

result

a

jamming the trading.

High

back

were

rest

way

30-Year

the

as

contest for

a

trading

as

theless, from
at

ground

matter of minutes be¬

mere

fore

far

market

spectac¬

emerged

the

up

The

ery.

for

something

was

made

For

industry,

of

government

boiled

Utilities

than

The buying that flocked in

jammed

tell.

can

Lockheed

tract.

old

so

was

billion-dollar

a

be

cor¬

a

there

winning designer in

was

turn.

able

specific, the reaction!

11

the

on

rather

sooner

was

level

quarter
results
indicate
that
the

has

company

a

hand,
about

showed

could

numerous

Where

widely

would

old

the

the upturn

rally

short

was

treatment,

to

Spectacular Reactions

Whether this section

mount

rection

the

a

and it
that
there

hesitation

top

only

was

away,

expected

can

and

many

later.

At the peak the all-

high

points

661

tax

seems

come

sessions
the
stalemate
during
which the Industrial
Average has
held

en¬

widespread belief that

dozen

a

so

other

and
Lor-

income

appreciation
time ahead.

fourth

which

a

down.

its sales

and

year

volume

both

the

hold

the

in

Its

year.

were

on

to

last

be

will

around

widespread

illard,
able

looking only for sixlong-term capital gains

or

market

conditions.

brought

such

thusiasm for stocks. With

in

October

history.

still

raging
recession is deepen¬
starting to show minor

in

and,

debate

the

encourage

striking in
the face of generally unfavorable
It

the

half

a

ing, or
signs of hitting bottom, the back¬
ground was hardly one that would

a

advances

average

late

buoyancy

business

and

whether

"consolidating" phase.
If
anything, a pause was over¬
due since
January and February
the

two

week, the general list

well-earned

a

first

months of any year in

trading
still
characterized the
stock

around,

the

heavy

market this,

in

times

more

with

panding
market

Liggett & Myers, on the other
hand, was not a standout profit

STREETE

earner

not,

to
'**'

17

SATNKK & CO, INC.

4376

18

The Commercial and Financial Chronicle

(1190)

cated

that

made

Our Reporter on

in

GOVERNMENTS

1963,

lieve
for

*

in

tone

in spite of the

gations will continue to be favor¬

out of selected

able for the foreseeable future. In

that

investors who are mak¬
some instances very
im-

addition, the yield which is avail¬

and

able

because the liquidity

is

idea

among

which

investors

that certain

maturities

tions.

Vn.■
Federal

The

current

""j

.

list

the

'

obliga¬

indicate

that

tinue

issues

action

tChaf this

it

liauid

this

since

much

to

do

is

in

will

the

to

y

ti

given

that

so

able

market

these

obliga-

orderly

^2 t

T+ - J

serve

?

/,

most

The

distant

the

been

the

by

Banks

has

Federal

been

purposes

Re¬

only

vices, '

for

in

but it is tend¬

ing, however, to instill

a

reportedly

being

terns

ties in space. Other products made

by

the

in

magnetic

professional

bulk

to

erasers

reels

sent to

it

and

is

a

blade.

other

transactions from

to

returned

heads!

of

equipment,;1
erase

tape

or

and

re¬

ended

year

are

branch

the

With

Teleregister's system
a central computer instantly notes
the deposit made at the teller's
window, adds up the new balance

30,
sales of

italization

sisted

stock.

of

of

use

the

by

of

areas

man's

rotors

re-"
fa¬

corrosion

to

New York and
for

tigue thereby providing savings
manufacturing
and
mainte¬

Savings Bank of
at the Society

Savings in Hartford.
sjs

sjs

.

for which

of the

ance

of Dan-

a manufacturer of magnetic
has bought Alloy Surfaces
Co. of Wilmington, Del. Alloy Sur¬
faces is a developer of a gaseous
chromium diffusion process which
gives many of the properties of

bury,

stainless steel to
is

claimed,
solid

of

ordinary steel at,
fraction

a

stainless

of

the

steels.

Op-

eration&^gAlloy will be coordi¬

craft subsidiary.
#

.

-.

•
#

tive
the

Incorporations Committee in
company's
new

bid

for

firm would be

a
a

charter.

wholly-

subsidiary of Hartford Gas
Company and, it is thought would

serve

-Constitution

be

made

Side

-Plaza,

Redevelop¬

#

cer¬

operated

by

mation

of

company.

company

sold

was

more

in

in

product

Wollmar,
saidv

The results

Commonwealth budget of Puerto Rico is needed
to

meet

debt

current

Rico's debt since

1940

service.
has

remained

markably low level, its taxable
multiplied,

many

times

over.

While

resources

public

hart's

partners

to develop
equipment for
glass container industry.
;■.

*

progress

have

Corp. \of Paramus,

y

history of investment banking
in New England, described as a
pioneer study, has just been pub¬
lished
by the Federal Reserve
Bank

of

report.

Boston

:•

•.

in

;

its

annual

:

The

76-page illustrated publica¬
development of the
region's role in investment bank¬
ing from the post-revolutionary
tion traces the

period

the present, and pro¬
comprehensive picture of
the structure and operations of the
vides

to

a

present-day

investment banking
Many examples of the stock

firm.

prises

the

of

the

bank

without

secured

Federal

-

issued

regional

by

enter¬

included.

Copies
be

certificates
current

are

study

charge

Reserve

may

from

Bank

of

Boston, Boston 6, Mass.

In

the

Securities

March

Financial
9

it

was

Chronicle

of

reported that Un¬

N.

J.

formed

Rector
have

been

successor

manufactured

throughout the Com-

ing

and

precision

metal

stamp¬

assemblies

as

with

offices

19

at

Street, New York City. We
informed

Securities
to

Securities

Corporation, of the
having

that

Trading
address,

same

formed

been

Under¬

Corporation is the

to

continue

ments

build future

sewing

as

and

machine

cameras.

attach¬

Teleprinter

the latter's business

"

1960.

>

•

v

in

August of

:

i

and improve the welfare of its people

Commonwealth

on

y v

*

A

hill

largely out of current income has enabled the

being wisely spent

*

the

been

well

to

account

8.9% and industrial and agriare

new

and

derhill Securities Corporation had

has

Puerto Rico's proven capacity to

operate

with

a

US£

moderate

;

■
>

debt burden.

Low debt is also

a

the soundness of Puerto Rico's
.

-

,

development for 7.9%. Puerto Rico's

revenues

formed

was

re¬

50% of Puerto Rico's 1960-61 outlay for
public expenditures. Transportation and commucultural

Corp.

with American-Wheaton Glass Co.
and Wheaton - Glass • ,Co>i. as Em-

❖

formed last month

of development.

monwealth.

over

nication call for

plans, Mr. Sixten F.
President
of
Emhart

Arandee

by the, merger,,of,891-year Greist

-

Education, health and public welfare
for

a

evident

change

a

V

Puerto
at

are

in

space

Hartford and because of

trial Technical Equipment). Greist

today, only 4.2% of the

December to provide

manufacturing

rector of Greist, was elected Presiident of MITE (Miniature Indus¬

of many governments

an¬

Mfg. Co. pf 'New Haven and Tele¬

SiSTU * ( »

f \ \ <' < t • x<

program

*

Arandee Corp., a new
The Skyworker division

Underhill
>:=

Mr. H. S. Stone, President and Di¬

dynamic, diversified

#

corporate develop¬
recently: the sale of its
Skyworker division and the for¬

plan.

printer

heavy debt burdens

country with all

two

and

buildings

and

ments

bond

building and

MITE Corporation of New Haven is

Rico's

In pleasant contrast to the

equally
conven¬

Mfg. Co. of Hartford

past

new

this

in

f^nd

office

other

*

c

company

was

of

made

methods

.

s!«

report by the Connecticut legisla¬

ment

<

blade

new

glass blading.

nounced

Soundcraft Corp.

Reeves

comprising high rise
apartment .buildings, which are
also part of Hartford's redevelop¬

/<' f' V •*

flight,

pilots reported that the perform¬

Projects,

Puerto

used,

was

.....

_

the Bushnell Plaza and Riverview

public welfare

test

turbine powered H43

a

helicopter

Emhart

-x

the Travelers Insurance Company.
Hartford Gas also expects to serve

i! |§|!Hf!

After the

costs.

nance

one

sji

a

rotor

in

Project, and will also handle
air conditioning requirements for

health &

and

This flight was the first to

be installed—one at

soon

ment

m$m mm

Ra¬

metal.

tain

:

of

sistant

the main

from

several

in

production helicoptersv

Glass blades have proved to be

Newark, N. J., two other sys¬

Hartford's- East

tiny slice

1952 and the
high stress

wood

will,

a

in

company

fiber has been used for

a

-

debt takes

rotor

testing of the
of glass for blades was started
and

Study

blade

the

BUDGET DOLLAR

helicopter

satisfactory to that of

company
con¬
through underground pipes from
350,000 shares of capital- a
central
plant.
Initially, - the
*/ '
•
V!
"
Hartford Steam Company system
,

glass

tional

1960, the company had
be the first utility company in the
$415,122 and net income of $13,997.
country to provide heat and cool¬
In October, I960,
outstanding cap¬ ing for commercial buildings

due

all

an

Savings Institution

film, The

Nov.

>

Corporation,,of
fiber

or telephone.
The computer then
digests the information in batches

offices.

Aircraft

Kaman

in

$

bioomfield has flown

central office by teletype

a

*

with

owned

the

For

the 3X/2S due 1990 and the

THE

With

4'

in¬

include a time
for recording :T h e
proposed
Hartford
Steam
the time of day on tape or other
Company was voted a favorable

for

instances in the 3V2S

systems

.

media,

electronic tech¬

in¬

system

condition

Private

The

savings banks' various offices

company

recording

3V2S due in 1998. Also, it is indi-

modicum

re-:

and

MITE will specialize
eauipment.

is

sold, tape,

responser

chanical and

to

used

was

motor-isysy, nated with those of Bergen Wire
applicable to the new fron-. Rdpe Co.,- another Reeves Sound-

used

according to ad¬
making commitments

are

some

in 1980,

accounts.

processing

special

and

recording

made

official

communication

of

price

a

separately.

Treasury trust
pension funds,

far to the intermediate-

Mar. 13

on

recorders,^nul-

wide

and

eorders,

•

which

data

direct.

and

slower

cost

-ti-track

Government

purchases

that

stant

of

Pacific

products

"the first fully

saVTiigs banks."

"on-line"

word

it

self-contained

and

the

on-line

for

system

ment which includes subminiature

are

to

automatic

was

printed automatically in the
book.
In
addition to
the
computer demonstrated, which is

The offering, mark¬
first public sale of the

addition

'

Teleregister

stated that this

and

and

Buying by Pension Funds
-

capital stock at

finding
buyers
among non-Federal institutions in

issues

"nudging"

Gov¬

the

be -°-d out to a considerextent.

obligations

which' has

and

design

organization
with
combining electro-me¬

niques,

pass

.Stancil-Hoffman, of Hollywood,
Calif., is engaged in the research,
development,
manufacture
and
sale of magnetic recording equip¬

s2me I J®
swmgs which have taken Plaee
iR the past ln Government issues

are

so

ing

the

22wlWnrri2cn^

maturities.

support

Inc.

Saxe,

research,

a

industrial

A

the Union Dime

&

been

window.

and sends the information back to

company's capital stock,
quickly at a premium.

more

all

of

from

recording of savings
central office many

a

tems will

Corp.

from

in

given

action

V

I

i

be

issues

standpoint,

Se-

Helpful.

own

system

miles away from the bank teller's

Russell

quarters

some

deposits at

Cap. Stock Sold

and

about

brag

believed

ernment

further sellers of the middle-term

Support

their

have >:2 per share.

not

development

computer

a

for automatic

in the Howard

angle.

future

too far since these institu¬
when they have achieved
the desired liquidity, will not be

Fed's

of

them

Stancil-Hoffman

are

corporate

bonds

carry

term

to

obli¬

investors

as

has

demonstrated

be

very

were

Government

far

as

attention

tions,

The

offerings which the large
center banks have been

paper.

Gov¬

of the financial district that

wiK

kM of selling

bring

150,000 shares of Stancil-Hoffman

very

to

believed

is

to

Coast Securities offered

con¬

proceeds

more

However

such

concerned

M6<«MW8*wiaren

shorter-term

which

the

making

as

tax-exempt

are many owners of
these issues who have.been sellers

curities

continues

liquid

attraction

though there

the

still

are

the middle and distant
maturities would give them added

It

in order to invest the

of

gations

buyers, and these
securities, according to -advices,
are moving into strong hands. The
intermediate term obligations on
balance appear to be going into
institutional

of

infrequently used such as the in¬
termediate and long-term issues.
An
improvement in the market

attract

to

selected

issues

including

obligations,

securities

those

in

seems

seems

and it will in time mean

ernment

other

The movement of quotations
the Government market

it

better market action for all

in

to get a real try from the
that be.

powers

short-term

buyers into these securities. It is
evident that corporation funds are

opinions

Teleregister Corp. of Stamford has

dicate

much in demand because the
for
obligations which are

very

return.

are

purpose,

V'■.vV'"1"':

the

to

at

money

to

of

end

cne

is going

not

are

them

of

ernment list will be used for this

in¬

that the
type of open
operation which goes from

indicate

securities

dispose

the

market operations
their holdings of
securities with a maturity of more
than five years. This appears to
market

to

institutions

continuing
to
find
an
outlet,
mainly in Treasury bills, in spite

open

adding

are

making

as
though
around that
with the new type of open market
operations, all issues in the Gov¬

Banks

Reserve

In

moving

are

into

and long-term

termediate

need

the

However,

there

available

is

of

spite

favorable

ever

there is

evidence

their

prefer¬
as

very

fact that
tax
sheltered issues still give a more

institutions. On the
no mistaking

some

other hand,

strong

as

in

be¬

ahead

some

of the

these

own

The

five to certain institutional buyers

short-term is¬

demand for

in the

are

who
are

these levels.

intermeciate-term

the

in

Government obligations is attrac-

portant changes in their portfolios.
is no let-up yet in sight

There

ence

most

inclined

in

cut

since

in

ing

the

commitments,

constructive

be

issues by

is
the

2^st

II

those

maturities.

these

ket

movement

sues

obli¬

these

of

that

jbuyers
have reported that there have not
been
too
many
of these issues
immediately available in the mar¬

that

buyers

among

action

market

the

Government obligations continues
to

,

confidence

of

for

market

the

War

by

better times

that

these

The

World

bought

being

Thursday, March 16, 1961

1965 maturities, along

1964,
the

.

Connecticut Brevities

the

there

effect

.

been

In

1995.

area,

the

to

with

CHIPPENDALE, JR.

T.

JOHN

BY

due

3s

intermediate-term
evidence

have

purchases

the

.

Primary Majrkefcgjjgf

basic factor in

general obliga-

revenue

CO.
f

:

Exchange

CONNECTICUT

tion bonds which, at current prices, pro vide attrac¬

do the

&

'i

Members New York Stock

tive income, free from federal and state taxes, as

a

CHAS. W. SCRANTON

New Haven

-

bonds of the various Authorities.
New

York—REctor

2-9377

i

GOVERNMENT
.

P. O.




Box

DEVELOPMENT

BANK

FISCAL AGENT FOR THE COMMONWEALTH

4591, San Juan, Puerto Rico

..

,

OF

FOR

PUERTO

45 Wall

PUERTO

RICO

Hartford^JAckson 7-2669 V /'!

RICO
.

V N'

■

Street, New York 5, N. Yi-~
3

Teletype NH 194

-

•

;

Volume

Number

193

6038:s:.-The Commercial and Financial Chronicle

Dallas.Union Sees.
Names Officers V.

College Professor-

Houston

Texas

has

Franklin

B.

—

elected

been

Execu¬

tive Vice-President of Dallas Un¬
ion

Securities

Auuipnus

inc.,

c.u.,

:

,

ditions and

Apco Oil Units

-

; Seeks JFK Stories
Professor
of the

DALLAS,

-

-

■

>

George M. McMahhiom
College of Business Admin-;

,;

company's prospectus. The
subscription right will expire on

Are All Sold

March

for

post-inaugration periods. He asks
those
send

who

have

them

to

him

any

at

debentures

503,615

Univer¬

shares

stock.

sity.

Now
ST.

$10,072,300 Apco 53A% subor¬

dinated

stories 'to

the

of

due

Apco

The securities

1981

common

were

offered

bentures issued at par and 5 shares
LOUIS, Mo.—Robert E. Kahr-' of common stock issued at
$10 a
is
now
sole
proprietor - of share. The units were offered at

hoff

William B. Milius and Co., Chemi¬
cal

Building.

formerly
which

a

was

Mr.

Kahrhoff

partner

located in

in

the

$150

was" unit

firm

per

for

Texas

Clayton, Mo.

unit
each

stock

March 8,

at the rate
70

shares

held

of

of

of

one

Union

record

1961, subject to the

The-

on

con¬

1961.
a

The

units

premium.

offering

is

-

being

sold
•

nated

Smith, Barney & Co.
proceeds from

units, together with $12,000,000
be borrowed from banks, will
be used by Apco to purchase the
specified properties of Andersonto

acquired
one

in

the other at

systems,

City,

Kan.

N.

J. —Bache

the

Monmouth

under

the

Brown.

Shopping

Ries

Bambenek

Vice-President

elected

was

of

Minneapolis Co. Opens
MINNEAPOLIS, Minn.—The Min¬

Cyril, Okla., pipeline
cars, tank trucks,

neapolis Company is engaging in

facilities

and

service

a

securities

at 2801

stations.

Upon completion of the financ¬

business from

Brown is

a

principal.

a

Lafayette Radio
Debens. Offered
C.

Unterberg, Towbin Co. of¬
on
March 15 $2,500,000 of

E.

fered

51/2% convertible subordinated de¬
bentures due 1976 at 1021£% plus

interest, and 130,000 shs.
stock, priced at $18

accrued
cf

common

per

share of Lafayette Radio Elec¬

tronics

Corp.
of the

None

the

of

sales

proceeds from the
of

shares

common

stock will be received by
pany

the

as

shares

outstanding
for

and

com¬

already

are

being sold
sfobk-

are

certain

account of

the

the

4holders/
a;

proceeds -from J the sale

Net

the

the

company

to

used

be

will

debentures

of '

hW

by

presently

repay

outstanding loans; to partially re¬

bank loans incurred for work¬
capital purposes; to design
develop new products; and

pay

ing
and
to

purchase equipment and facili¬
for the company's proposed

ties

The

plant.

new

balance

of

the

proceeds will be added to working
capital and used for general cor¬
porate purposes, including the fi¬
nancing cf increased inventories
and receivables.
The debentures are redeemable

ranging from 105^%
accrued interest.

at premiums
to

101%,

plus

debentures

The

also

will

be

re¬

sinking
100%, and accrued inter¬
They are also, convertible into

deemable

through

t h e

fund at
est.

stock

common

of

at

initial price

an

$20 per share.
The

corporation

distribution

the

is engaged

of

line of electronic parts

in

extensive

an

and equip¬

ment, high fidelity sound compo¬
nents. They also engineer, design,
assemble and distribute electronic
equipment in kit and wired form.
The company

has developed four

distribution channels—mail order,
industrial distribution, its own re¬

recently
associatedstore program.
Lafayette's prin- '
cipal executive offices and plant
tail

outlets,. and a

sales

franchised

organized

facilities

are

located

in

Jamaica,

Long Island, N. Y.
the

In

fiscal

year

ended June

the company reported
$18,128,306 and net income
cf $565,654. For the three months
ended
October
31,
1960,
sales
amounted
to $6,064,233
and net
income was $206,398.
30,

1960,

sales of

Texaco in Trinidad is
A visitor to this

a

big investment in the development of oil-and individuals.

lovely, lively island will see thousands of Trinidadians at work where

Upon completion of the current

outstanding capitaliza¬
company will consist

financing,
tion

of

of

1,025,000

stock

once

such

the

and

shares of common
$4,560,126 of sundry

opportunity did not exist. He will see boys, 16 to 20, enrolled in Texaco

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

debt.

unusual
Herzfeld & Stern to Admit

is

Herzfeld & Stern,
New York City,
New

York

admitted

30 Broad Street,
members of the
Stock Exchange, has

Samuel

Markowitz

to

partnership. Mr. Markowitz will
acquire membership in the New
York Stock Exchange.




■

a

new

aptitudes

dream

of

are

awarded Texaco scholarships for university study. For all, it

success

futures for the

and

security

come

offices

Wayzata Boulevard. C. H.

firm.

the

Center

-

Tower, members of the New York
and
Midwest
Stock Exchanges.
J.

&

management of Lee P.

B. Franklin Houston

J. Ries Bambenek

503,615

and

tank

distribution

and
stock.

New Bache Office
EATONTOWN,

The
properties to be
include two refineries,

Arkansas

common

Co. have opened a branch office in

the offering

of

Prichard.

debentures;

shares of

under¬

by a group managed by
Carl M. Loeb, Rhoades & Co. and
Net

19

ing outstanding capitalization will
comprise $12,000,000 notes payable
to banks; the $10,072,300 subordi¬

written

and

in units only, each unit consisting
of $100' principal amount of de¬

Proprietor

23,

quickly at

the

of

the terms set forth

on

in the

University
of 'Apco Oil Corp. offered and sold
to holders of class "A" and class
Akron, O., is compiling an an¬
"B" stock of Union Texas Natural
thology of JFK stories covering
the recent elections through the Gas Corp. the right to subscribe
istration

(1191)'

true. Texaco in Trinidad is creating

people, sound growth for the economy of the island,
.

TEXACO: SYMBOL OF WORLD-WIDE PROGRESS THROUGH PETROLEUM

\

'•

'

20

The Commercial and Financial Chronicle

(1192)

tional product from $1,464,400,000

concessions

American

to

the

windswept roads
Airport, after a 5V2hour jet flight from New York,
and you will see some of the re¬
across

Shannon

anxious

sults of Ireland's current industrial
revolution.

Standard

Pressed

Steel

50,000

sq.

250-acre
ture

Pa., has
ft., plant in

"free

Co.,

of

opened

Jenkintown,

a

Shannon's

port" to manufac¬

precision fasteners and minia¬

ture

electronic

components.

with

age

to

set

British

Lanaknit

knitwear

Ltd.,

a

industrial

foreign companies
industry and ship

zone

set

can

their

Many
from

of

the

by

9,000,000

lbs.

dry

has

of

ef

former

this

in

four

industrial

old

year

The

latest

Irish

1960

was

land.

figures

released

Government
banner

a

Exports

shows

year

climbed

by

that

for Ire¬
to £40,-

000,000, from £35,500,000 in 1959;
some

De

30

new

industrial enterprises

investment of

for

the

first

£7,000,000 and,

time

small
to

and

allowed

develop

her

chance

no

foreign trade that
might be detrimental to Britain's
a

mercantile

own

Now,
40 years after regaining her inde¬
pendence, Ireland realizes that she
must

with
her

economy.

industrialize
the

rest

youths

of

to

catch

Europe,

continue

to

up
see

or

emigrate

are

Sligo

mine

Corp.,
been

the

and

Bay

Oil
has

the

on

Valera,

of Fort

rights

President.

the

Prime

by

an

ment

totals

now

investors

S.

investment

double the

ain's.

"We

attach

and

said

Mr.

American

abroad

industrial

of

funds.

program

land

particular

Brit¬

impor¬

"The

success

of

depends

largely on
of private enterprise

compares

other

American

responsible for in¬
national
income
from
$1,428,-

400,000 in 1959 and the gross

is

by

for

for 4,500 workers

have been created by the program,
which has cost
the
government

$13,500,000 in grants.

some

favorably

European

with

countries.

concern

locating

However, there

are many power¬

ful

economic
ties
binding
the
Republic to Great Britain. In 1960,
the U.K. bought 75% of Ireland's
total exports and
Ireland, in turn,

Britain's

tomer.

second

best

Shannon, for example, can rent a
ready
built
modern
factory
of

na¬

in

seven

which

be in

ernment

labor

grants

rates,

of

wealth,

the

its

000,000

British

exports

preferential

Britain

tariff

Natl. Analysts Fed.

Convention in Rich.
Two

internationally known econ¬
will be principal speakers

omists
at the

convention

Federation

of

of the

Financial

and

Canada, Australia and
.

Irish

companies

have

followed

the example of foreign
enterprises in seeking out
new export markets.
Guinness, the
largest brewery in Europe, has
based

been

responsible

land

the

porter.

The

Whiskey Distillers of
trade

a

trying hard for
the

for making Ire¬
largest beer ex¬

world's

Ireland,

association,

are

Henry C. Wallich

market,

long

in

meeting
April 29-May 3.
Professor

of

Economics

tures

Monday morning, May 1,

conductors,

transformers,

heaters, and other electrical equip¬
ment exporting these products to
New Zealand, Canada, Mexico arid
Africa. Many British and Ameri¬
can
firms have thriving subsidi¬
aries

in

Ireland.

include

These

companies

Lever

Brothers, General
Electric,
Phillips,
Stewart
&
Lloyd, Esso, Shell, Dunlop and
Caltex. Automobile manufacturers

tic

British

as

and

Motors

Corp.,

Agriculture is the

sector

one

of

the Irish economy which is shaky.
Production has remained static for
over

general

convention

two decades. Cattle

raising is

session

M.

A.

Sc.,

Rhoades
New

to

Stock

the

its

work

force

is

engaged

Ireland

has

has

agricultural

institute

a

in
per

established

in

an

at¬

an

private

concerns

are

perimenting with

new

in

Exchange,

luncheon




CENTRAL
1960.
rose

Net

to the

HUDSON

to

enjoyed

a

successful year in

Irish

techniques
and

Government

is

pre¬

the

enter

The

income, per-share earnings and dividends

European

market.

of

concession

offered,

type

however, depends

highest levels in its history,

the

on

business

Earnings per share

on common

Dividends declared per share

stock
•

.

.

$1.47

and

$1.41

$ .86

his

other small countries,
been

plagued

baggers
(Dividends paid for 57th consecutive

Report presents

the growth of the

Company's natural

a

the

in

•6

the

the
our

outfits

These freebooters

are

and
there are scores of American, Bri¬
tish, German, Dutch and Japanese
firms who are well pleased with

and electric

minority,

low

costs

and

however,

favorable

eco¬

nomic climate of Ireland and have

1960 Annual Report will be sent upon request.

every

intention of remaining there

Mr. Wallich for the past 10
years
a
member of the President's

was

Council of Economic
leave

from

also

was

of

uate

Yale.

the

What

will

seven

have

tariff

and

Irish

on

the

walls

of

inner six

industries

is

i

unknown.

Poughkeepsie,.New York

the

effect

the outer
,4"

GAS « ELECTRIC CORPORATION

Advisers,

In

Assistant

Germany
Oxford

1958-59

to

the

Treasury.

in

1914,

he

on

he

Secre¬

Born

in

studied

at

University, and did grad¬

work

author

that

and

at

of

Harvard.

He

is

the

articles

numerous

and

on monetary
subjects—the most

economic

being "Mainsprings of the

German

Revival," published in
1955, and "The Cost of Freedom,"
published by Harper in 1960.
Prior
he

to

professorship at

Chief

was

search

of

Bank

Yale,
Foreign Re¬

the

Division

Reserve
Mr.

at

the

of New

Widenmann

nation's

best

widely
money

Federal

York.

is

of

one

known

traveled
and

and

the

most

speakers

on

security markets.
the

represented

Exchange

New

York

speaker

as

at

He

Stock

the

re¬

opening of the stock exchange in
Frankfurt, Germany, in 1956; at
Duesseldorf, in 1957, and at Ham¬
burg in 1958. He was a member of
the

Mutual

tion's

Security Administra¬

Evaluation

Team

the

to

United
can

Kingdom in 1953, Ameri¬
Delegate to the International

OEEC Conference on Capital Sup¬
ply at Paris in 1955, and American
Delegate to the Fourth Conference
of

Manufacturers

at

London

in

1960.

It

is

Britain

concessions

He became

thought, however,

will

and
to

special

partner of Carl M.

served

First

as

(1949-50)

of

He

Vice-President

Governor

and

Association

Stock

the

of

Exchange

Firms

(1947-53). He is a Panel
Member of the American Arbitra¬
tion

Association, a member of the
Advisory Committee

Economists
the

Advisory

International

Committee

tional

Association

turers,

a

Relations

of

of

the

Na¬

Manufac¬

Director of the National

Foundation
nomic

for

Advanced

Research, and

her

second

best

ber

that

to

customer

continue

make

a

Loeb, Rhoades & Co. in 1941.

and

permanently.

CENTRAL \m HUDSON

on

day. His subject will be:
"The Beginning of a New Era."

grace

their wake.

business and of the continuing
development of the
Mid-Hudson area.

A copy of

carpet

period ends, leaving
unemployment
and hardship
in
as

broad picture of
gas

Ireland has

modern

fly-by-night

and

by

that pack up and mdve on as soon

year,

and increased for 9th time in 11
years)

The 1960 Annual

type of

investor

plans
to
good faith in
remaining in Ireland after his tax
holiday has expired. Like many

1959

$ .96

the

establish

I960

will

session

ex¬

packaging,

refrigeration,

The

\\\

A.,

same

recent

marketing, to increase the sale of
perishable foods abroad.

co«r°n*"oN

M.

'&

York

speak
the

Widenmann,

partner of Carl M. Loeb,
Co., members of; the

a

four published books

tempt to increase production and

£c1rlc '

on

"The

on

Economic Outlook."
'"Hans

tary

export markets.

several

*<-'

Yale

at

University, will speak to the first

pared to offer special inducements
to
American companies
anxious
CAi »

Richmond

Henry C. Wallich, M. A., Ph.D.,

larger share of

a

American

Hans A. Widenmann

Societies

dominated by Scotch and Canadian
brands.
Unidare
Ltd., manufac¬

fAl

huoson

National

Analysts

treat¬

Zealand.

government

CCNTW^1-

a

desirable place for American capi¬
tal investment.

admitted

output of only $45 compared
with Britain's $150.
However, the

1960

Ireland

a

acre

I960

favorable

and

Common¬

are

in

consumers

Native

of

m£L

low
gov¬

duty free to England. Thus Irish
companies have access to the 51,-

agriculture,

reports on

an

enviable

an

make

providing 60% of total agricultural
exports. Despite the fact that 40%

HUDSON

an

with

position. In any event, the
plant rental, tax forgiveness,

still the cash crop of Irish
farmers,

CENTRAL

case

manufacturer

cus¬

Although Ireland is not

member

An

at

the

10

Volkswagen, Ford and Renault
have assembly plants for domes¬

creasing

to

aim

income

export profits

jobs

new

The package of tax reliefs and
grants for new industries in Ire¬

ment has been

in. 1953

undeveloped

such

Growing

production and invest¬

$1,223,600,000

the

to the aids and incentives offered."

against
loss
expropriation or incon¬

vertibility

whose

neighboring

Lemass.

the

through

of

program

tance to the investment of capital
from abroad in new
industries,"

the response

investment

a

Mr.

•

ernment

new

Lemass,
1959.

national

to

Ireland, whereby the U. S. Gov¬
insures

in

1994, stem the flow of emigration,
provide a standard of living

$84,000,000.
protected

U.

of

and

entire

are

the

rash

a

Sean

power

initiated

to

investment guarantee agree¬
between

bred

capital

of

Foreign investment in Ireland's

economy

industries by
forbidden, and high

Minister
to

comparable

American

De

majority

Irish

Lemass

country.
■

Under

premiership,

scale

-

came

Ambassador

for

policy of
Ireland's na¬

This policy was abandoned when

Worth, Texas,
petroleum ex¬

granted

the

enterprises which
could not compete abroad.

ore.

shores

was

barriers

small

Johannesburg
Consolidated
In¬
vestments
Ltd.,
is
operating a

in

history, ex¬
ports of manufactured goods ex¬
ceeded those of agriculture.
For 750 years, Ireland was ruled
by a strong and often ruthless
neighbor who kept her industries

Valera's

$11,200,000 chemical
produce sulphuric acid,

ploration
tal

investors

that

on

New

tionalistic

a

lead-zinc

In

exports

on

of

Government statistics show

years.

ment from

Eamon

milk

superphosphates and refined

project.
the

Belgian

exemption

1983.

ficiency in political, economic and

chiefly

and

building
plant to

until

cultural

affairs

members

Irish plant will

tax

receive

dian

foreign

so

governments.

outer

income

was

foreign

with

American

Since 1922, the year Ireland re¬
gained its independence, self-suf¬

few

or

attract

Irish

of

dozen

all

on

constructed

relatively new and a
radical departure from the "Sinn
Fein" (Ourselves Alone) policies

was

the

Irish

is

tariff

of

the

\

foreigners

companies that have set up plants

annual de¬

granted

to

move

capital

campaign

of

10%

buildings

ownership

annually,

joined
in a

group

to build hotels

1963.

The

County

about

hotel

for export to
South America. In County Wicklow, 60 miles from Dublin, Cana¬

concern,

International

has

Inc.,

hotel

allowance

and
Ltd.,
an
Anglo-German producer of indus¬
trial
cleaning equipment, are a
Progress

Corp.,
American

Pan

program

Government

capital. At Mal¬
Cork, the Borden
Co., of New York City, is erecting
a
$1,000,000 plant, which, when
completed in May, will produce
low,

Irish

Here

Dublin, Limerick and at Shan¬
Airport. Intercontinental will

new

attract foreign

to

Airways,
an

preciation

light

up

of

benefit from the

benefited

have

of

cost

privileges

sterling area. Ireland, may eventu¬
ally become a member of the

training workers and benefit from

non

products

Lemass'

full

and

taxation

subsidiary

in

where

26-counties

Ireland

Premier

the

to

plant

factory sites and buildings.
Elsewhere in Ireland, new indus¬
tries
will
be
exempt
from
all

$7,000,000

by air to all parts of the globe.
southern

of

of

with

living standards remain
Following the lead
of other small countries, Ireland
has set up a program to attract
foreign investment. The duty-free
port of Shannon, for instance, has
been established by the govern¬
an

and

re¬

counties west of the Shannon, the
government will pay the full costs

a

as

equipment

cost

and

grants

tors. Intercontinental Hotels

her

ment

the

$2,600

too, the government has provided
opportunities for foreign inves¬

many

branch

up

half

for

tion than any other country.

strong

a

the bottom.

on

Sony

Corp., of Tokyo, Japan, assembles
radios in an adjoining
government-built factory and
ships
them
by
air
freight
to
Europe, Canada and the United
States. Rippen Ltd., a Dutch piano

transistor

manufacturer,

and

American visi¬

revenues.

ft.

provide 25% of the country's
dollar earnings, a higher propor¬

World

of

industry is of vital

to

Ireland, providing
$100,000,000 annually in direct and

plants in Europe.^
Drive

pe¬

tors

and, author points out, offers

companies

tourist

indirect

in mineral wealth, Ireland has entered the jet

desire to modernize her economy

same

cover

The

simple pastoral land, rich in romantic traditions but

a

non-repayable

importance

By Thomas O'Hanlou

poor

sq.

ceive

$1,744,400,000 in the

riod.

American Investors
For centuries

16,500

to

Ireland Welcomes

Thursday, March 16, 1961

Ireland

will

a

life

Eco¬
mem¬

Political Science.

enjoy

her

trading

of

the

Others

National

who

will

Academy

of

participate in

Volume

various

forums,

ferences

and

193

Number 6038

management con¬
other
program
more than 60
top

features include
executives
best

of

America's

largest,

known business firms.

The

II

delegates themselves in¬
clude high
ranking officers of large
insurance
companies, banks, and
other institutional
investors. Some
1,000 analysts and 500 wives
are
expected to attend.

M

Being held in the south for the
time, the .convention will
bring together the" largest
group of
the nation's
business executives
first

ever

gathered in Virginia for
any

meeting.
John Marshall Hotel
convention headquarters.

Gulf

will

F

an

March 8

underwriting

Commercial and Financial Chronicle

needed

schools

the

in

a

with

a

filed

mittee of the Senate Committee

Subcommittee

on

on

classrooms

voters

1960

of

school

bond

approved

the

in

a

in¬
dicating the probability of a con¬
tinuing high level of local financ¬
ing for school construction.
The

estimated

to

de¬

in the five-year

members

of

Midwest

Stock

the

New

York

and

Exchanges,

on

cal years to assist

April 1 will admit Philip W. Hum¬

elementary and

secondary schools either for
struction of school facilities

construction

and

continue

at

gating

over

of

(Special to The Financial Chronicle)

for

salaries.

CAPE NEDDICK, Maine—Towns-

a

$2,183,000,000 in 1960

aggregating

in the month of

$305,000,000

over

January, 1961, the

end

Rauscher, Pierce Office

public ele¬

secondary schools
high level, aggre¬

CHRISTIE, Texas —
Rauscher, Pierce & Co., Inc. has
an

Building

office

under

in

the

the

Robin
of

Wilson

direction

M.

Byrne

is

engaging

Byrne

of

Walter W. Watkins.

Hill

under

Townsend
was

the

Byrne

mer, Atherton & Co.

prospectus,

Co., Inc., 44 Wall Street,
York City,
publicly offered
7,500 units of Gulf
Guaranty Land

New

&

Title Co. securities.
Each unit
consisted of $100
principal amount
of
7%
convertible
subordinated

debentures,
shares
The

of

due

$1

units

1968,

par

and

common

were

Gulf

the
in

was

priced

laws

at

incorporated

of

the

July, 1£L7.

of

sales

State

$200

operations

under

of

Since the

20

stock.

each.

Florida

beginning
January,

in

1958, the company had sold as of
Nov. 30, I960 about
7,300 acres
of land,
principally under install¬
m

ment

contracts.

The

principal business
ment

of

large

is

a

develop¬
of

unim¬

planned

com¬

munity in which it offers for sale
homesites, multiple, dwelling sites
and

"commercial

lot's.

HIGHLIGHTS

The company is also
engaged
construction of houses at

in

and

industrial

Despite adverse business conditions, Continental Motors Cor¬

uling.

$138,094,193 in the year ended October 31, 1960, only slightly

Coral,
and
through
its
wholly-owned subsidiary, Fort
Myers Construction Co., in the

and

Company and Wisconsin Motor Corporation, had net sales of

Cape

Substantial progress was made in research and development,

poration and consolidated subsidiaries, Gray Marine Motor

the

compression-ignition engine for 21/2-ton military trucks, and
a new compact inboard marine engine with an outboard
pro¬

clearing and draining of land, the

below the 1959 sales of

construction

of each of the

of

roads

and

water¬

$139,946,152, and well above the level

through
another
wholly-owned subsidiary, Surety

Reflecting intense competition in all markets and heavy de¬

Acceptance Corp., in the operat'cn

velopment and start-up expenses on

of
mi

motel

a

and

restaurant

in

the

Coral

I

compared with $2,637,475

Important reductions in costs

Realty,

Inc., is

engaged

has

recently
ac¬
quired, through a wholly-owned
subsidiary, Collgerry Realty, Inc.,
approximately 26,250 acres of un¬
improved land near Naples, in
m

Collier

County,

The
of

81st

new

products

include the

are

Branch and distributor-dealer

Hyper-cycle

multi-fuel

organizations

were

strengthened

market. Training programs for distributors and dealers were

expanded.

earlier.

are

close to production sched¬

LDS-427

being effected through the

With

a

number of

activities and

being improved and accelerated with automated data-

promising

new

a

good level during the

year.

models, expanded marketing

improved plant and equipment, Continental will

push forward vigorously to increase its share of the market as

processing equipment for certain office procedures.

general business begins to improve. Research and development
A

projects currently under

cross-licensing agreement covering aircraft piston engines

has been

way

will require substantial expendi¬

tures, but should lead to further growth in the years ahead.

signed with Rolls-Royce Limited, of England.

Fla.

principal

the

These

during I960, especially in the growingly important West Coast

models during the

installation of new,, modern production machinery. Controls
are

addition,

company

a year

number of

Foreign operations continued at

in

local real estate
brokerage opera¬
tions at Cape Coral.
In
the

new

net income for the fiscal year 1960 amounted to $1,417,759,

year,

Cape Coral development. Another
wholly-owned subsidiary, Cape

a

pulsion assembly.

previous three years.

and

ways,

REPORT

company's

the

tracts

proved land into

ANNUAL

FROM THE

executive

office

is

company

N.

at

557

E.

St., Miami.

The company expects to receive
net

proceeds

$1,227,875

of

approximately

(after

deduction of es¬
timated expenses of $64,000) from
the sale of the securities. Of these

proceeds,

the

presently
$132,500
in

using

payment of

indebtedness which

will be

31,

in

an

that

1961,

Credit

amount

held

by

Acceptance

indebtedness

cember,

the

March

on

Commercial
Corp.,

which

incurred

was

1959

provide

STATISTICS

company

contemplates

Fiscal Years

1957

1956

1960

1959

1958

12,129,875

10,231,837

10,549,655

10,783,043

$139,946,152

$131,415,279

$135,610,890

$125,116,269

$1,417,759

$2,637,475

$3,536,528

$3,583,301

$1,604,924

$0.43

$0.80

$1.07

$1.09

$0.49

$0.601;

Engine output (horsepower)

10,743,003

$138,094,193

Ended Oct. 31

$0.60

$0.55

$0.35

$0.25

in De¬

Net sales
Net

and

July,

1960 |

with

company

to

addi¬

earnings

Net

earnings per common share

tional working capital; $354,420 to

Dividends per

pay an installment in that amount

Current assets

$56,700,008

$59,657,338

$56,101,397

$64,454,365

$59,262,735

Current liabilities

$22,912,690

$25,005,195

$21,289,109

$30,598,007

$28,304,638

Net

$33,787,318

$34,652,143

$34,812,288

$33,856,358

$30,958,097

2.5 to 1

2.4 to 1

2.6 to 1

2.1 to 1

which
j.961

is

to

erty
to

on

near

purchase

complete

recreational

the
of

section

of

the

golf

^o

of

of

phase
Club

to

on

water

serve

$1,640,000

$2,000,000

$2,355,000

$2,480,000

Property, plant, and equipment (net)

$16,140,139

$16,392,626

$15,733,097

$16,223,841

$16,547,581

Stockholders' equity

$49,374,586

$49,936,827

$49,279,352

$47,557,824

$45,129,523

$14.96

$15.13

$14.93

$14.41

$13.68

Long-term debt

Book value per common

share

a

to

of

total

corporate purposes.




an

which is esti¬

cost

$325,000; and the balance for
eral

of
and

subject

construction

a

2.1 to 1

$2,760,000

plans; $290,000

course

have

working capital

Ratio of current assets to current liabilities

$150,000

interim

property,

18-hole
mated

first

systems

approval

toward

1,

money

facilities; $300,000

sewerage

FHA

April

Fla.;

Yacht

a

construction

and

on

the company's prop¬

Naples,

construction

the

due

the

under

mortgage

fall

share

of

gen¬

Blmi

r-^

—

MUSKEGON,

—

m

MICHIGAN

firm

&

Co.

a
on

name

Mr,

formerly with Schir-

group headed by

Street &

in

securities business from offices

CORPUS

opened

partnership.

Farms Townsend
Byrne Ca.

con¬

or

to

mer

Sales of school bonds to fi¬

mentary

and

proposed federal aid pro¬
would
authorize
federal

teachers'

period.

(3)

Education

elementary and second¬

CHICAGO, 111.—Wayne Hummer
&
Co., 105 West Adams Street,

grants during the next three fis¬

year

Over 279,700 new classrooms

Admit to-Firm

largest

approved

at bond elections in any year,

is

period 1961-1966 from the growth
rate
during the preceding five-

on

Wayne Hummer to

Also

elections

amount of school bonds

21

bonds

single month.

35%

over

nance

(1)

Fed¬

a

school

gram

and Labor.

for public

without

the

crease

Education of the

Committee

are

amount

sold in

ever

enrollment

by

Subcom¬

Banking and Currency and with

classrooms

for

largest
at

(2) The rate of growth in public
elementary and secondary school

secondary

statement

Association

and an

financial assistance.

eral

$2,-

program of federal aid

and

completed

years

completion during
the 1960-61 school year, demon¬
strating that state and local edu¬
cational
agencies are providing

Program
elementary

69,600

scheduled

The Investment Bankers Associa¬
tion of America opposes the
for

have been

during the last four
additional

Federal School Aid

298,000,000

schools

ary

Why IBA Opposes

(1193)

facts:

Securities Offered
a

The

.

In support of this conclusion the
Association
cites
the
following

Guaranty

Pursuant to

.

House

The

be

.

22

(1194)

l he

commercial and 11nancial

Chronicle

Thursday, March 16, 1961
'

MUTUAL

FUNDS

Affiliated

Fund

declared

a

Sulphur, Republic Steel, Sea¬
Air Line Railroad, Union

can

The Funds Report

board

Tank Car,

quar¬

E.

terly dividend from net income of

RICH

Worthington Corp. Common stocks

6

ROBERT

BY

of

cents

a

Canadian

Built-in Growth

showed

!|s

•••••.

Investment

at

the

Fund,

of

end

Solomon Bros. & Hutzler, 60 Wall

Street, New York

eliminated.

were

At

Lid.

1960

Jan.

31

total

with

the

know-how endure

super-abundance

of creature comforts and commod¬

and

ity

books

staples,

appears

the

affluent

assured of

society

plentitude of

a

offering custom
service.' This department has had
of

success

proven an

mutual

funds

irresistible lure to

were

designed to
sets and

real estate deals

participation

folks

to

always yearned for
and

buildings.

groups

that

a

offer

the

as

men

em¬

being

been

withdrawal

offered

Bullock

to

tne

shareholders

but

for

and

Nation-Wide Securities Com¬

pany, Inc. These mutual funds
the

management of

Calvin

employee invest in stocks

without conflict of interest?"

Charles

to

E.

*

("Auto
did

never

that

Charlie")

find

question
And it is

an

answer

satisfactory to
a levy-painful
men

utive

Vice-President

Investment

oest

of

Fund,

Consum¬

"The!

says:

answer

tion,

accumulation of shares of Fidelity

Capital Fund, Inc., a $50 million
fund. Fidelity Capital is
of

one

ment

a

to

with

close

managed

by

to

combined

$500,000,000
Fidelity

Boston's

Management & Research
Plans

tional

Corp.

wholesale

Co. With

handling

the

public

■

" through

independent investment dealers.
James R. Lewis, the

have all of the "features and

mutual

funds.

Business

with

government

the many

mutual
^an

S. La Salle

one

any

invests

jqojt have

.cieot,

done

by

one

its

that

a

substantial ef¬

any

official's*

the

of

money

in vestor-in-'

unless the mutual fund

oarries

in

corporations in which

fund

fect" dri

Selected Investments Co.

investment

is

invests

heavily in comwith the govern¬

dealing

According to

bilities"
tual

of

And

what

tucked

the

Investing in

common

close

the

end

of

ik

stocks

the years.

their

of

have

little

fund

$847,000

by
$810,000 at

from

1959

of

to

rose

1960

and

$451,000 at

1958?

Well, at latest
nearly $1 in every $6 was

report

tied up in soft

selected for possibilities of growth
in income and capital
over

end

goodies that

associates

in

assets

the

INVESTORS,

his

away

whose

the

are

and

drinks, food

proc¬

essing and tobacco. Nor have they
overlooked a stock grouping that
:hey call "personal welfare." Con¬
sisting of such issues as American
Machine
Fell

&

&

Foundry,

Howell

for

counts

portfolio.
termed

Brunswick,
Zenith, it ac¬

and

another

16%

Another

claims

the

category,

"household and

operations,"

of

household

10.6%,

trans¬

portation and travel gets 10.4%
while retailers account for almost
9%.

DIVERSIFIED

These

INVESTMENT FUND,

*

A balanced investment
in bonds, preferred stocks and
common

stocks.

are
not
companies that
derive any sizable direct
benefits
from
governmental

stand

to

spending, although they could
the

on

in

put

money

by public officials.

wax

circulation

While the ris¬

ing numbers of public officials of¬
fer

a

broad-horizon

counselors who
ment

servant

market

for

Investing for long term growth

|possibilities in securities of companies]
in many fields of scientific and
economic

development.

Investment

"In

the

year

a

1%."

of

ments^ in

$20

amounts

to

$5,000

reducing

an

1960

we
.

.

.

told:

were

had

an

ad¬

shares

our

Hankin

has

rally,
values

government

demand."

This

Westminster at Parker

•

Elizabeth, New Jersey




with

if

and

$11.70

Fund

reports

28)

of

that

total

at

assets

will

keep enough to

go on

being

and abundant
consumer, the pros¬
are

oriented

bright for mutual funds
toward

Good Life stocks.

shares

in

the

of

the

payable

on

Cor¬

April

15,

stockholders of record

to

JOSEPH

S.

STOUT

Secretary

$134,267 and $12.52

share

a

a

year

earlier.

A

j

THE

Magnathermic,
American
Greetings Corp. "A",
Alcon
Laboratories,
Bobbie
Brooks,
Brunswick
Corp.
con¬
vertible debentures, Cenco Instru¬
ments, Globe Security Systems,
ax

Lazard Fund.
44 Wall

Heinicke Instru¬
Holiday Inns of America,

{'convertible! J? debentures,'; Pocket
|J3ooks arild'Ressiflex Laboratory.
trie

Over

same

nated Beech

period

it

The

Board

declared

Notice

,

•

of the

;

of

Directors

tod*y.

dividend of 8

a

share

per

Inc.

St., New York 5, N. Y.

Dividend

HaloidV Xerox,

Technical

$13.51 a share.
with
$70,544,018

share

a

on

cents

Fund-payable April-15,

March

Aircraft, Chock Full

20,

1961. The dividend

is payable

from net investment

income.
R. S. Troubm

Nov.

on

30,

Treasurer
March

13, 1961.

Measurement Corp.

Investors Planning Corp. of Amer.
ira

/,

■

reported

mutual

total

in

business

February.
figure

new

written

Last

with

compares

$14 675.000

:

$12,544,000

funds

during

&

*

month's

the

Massachusetts

1960, Sales volume in January of

Loamis-Sayles
ports

asset
a

value

Fund

share,

on

up

Jan.

re¬

from

31

the

$13.85 shown three months earlier.
New acquisitions during the quar¬
ter
included
Associated
Dry
Goods, Continental Baking, Cross
Co., Ford Motor,
Foxboro
Co.,
Ginn & Co., Sperry Rand, Stand¬
ard Oil Co.
(Indiana), Suburban

Gas

It

and

also

Universal

Oil

Products.

increased
Coast

holdings of At¬
Line,
Consolidated

Consolidated

Electronics

Industries, General Motors, Great
Atlantic & Pacific Tea Co., Phelps

Dodge, Pillsbury Co. and Safeway
❖

t:s

•

Massachusetts Life Fund is paying
a
dividend of 16 cents per share
from

New

net

investment

income

cents.

Bernard

Dividend

&

Puritan
second

Fund

is

paya^e March

record
£

17.

#

associated

in

Topeko

Refining,

Cooper-Bessemer,
Grande

the

Western,

Fruehauf

&

new

their

is

firm.

20

ner

Sante

PhTip
Denver

Mr.

Dresser

&

Rio

Indus¬

cents

Life

Fund

dividend

of

share from

net

a

per

investment

income,

payable

March

20,

1961

holders

of

certificates of record

trust

to

;

years.

the

at

Merrill

close

of

business

March 17, 1961.,

tsi/aMcic/ttSe/fo

Lester, Ryons Co.

y/)iMiiance
50

C/Ccb/titaf tFife

Cont/iaitu, Trustee

State Street.

To Admit Partners

Boston 9, Mass.

■

Incorporated 18 IS

LOS ANGELES, Calif. — Lester,
Ryons & Co., 623 South Hope St.,

members- of

the

New

Pacific Coast Stock

March

will

23

York

and

Exchanges,

admit

James

on

B.

Lester, Earl M. Mathison, Kenneth
M.

Payne,

Jr.,

Frederick

Cal-

B.

0.7ri-$onthiental

lender, Henry H. Gilbert. Carl F-.
Kane, Gordon A. Pratt, Dean W.
Campbell and Frank Harwell, Jr.
to partnership.

voor.Jt oi' a /ion
A

DOBBS
F.

FERRY,

Mooney

curities

is

firm

name

Hill

from
Drive

in

a

offices
under

se¬

Record Dote March 21,

at

the

30 cents
on

CORPUS

a

1961

share

of Metro Securities Co.

CHRISTI.

Tex.

—

the

COMMON

STOCK

Payable April 1, 1961

Form Redfield & Co.
field &

Company

First Quarter Dividends

Y.—Thomas

engaging

business

Beacon

N.

Diversified Closed-End
Investment

Form Metro Securities

Fe,

Carev,

paying

16

now

He was recently
Lynch, Pierce, Fen& Smith, Incorporated.

with

issues:

Trailer, General
Castings, Illinois Central
Railroad, Joy Manufacturing, Kan¬
sas City- Southern
RaiRvav. May¬
tag, Northern Pacific, Pan AmeriSteele

with

Jr.

Clancy has been active in unlisted
trading circles in Wall Street for

200

reports that

Clancy,

quarter, which ended Jan.:

31, it purchased these

tries,

March

J.

is

for

ending March 31. A
the fund declared
15

to holders of

Massachusetts

Security Dealers Asso¬
has announced that

ciation,

quarter
ago,

DIVIDEND

Company, 52 Wall Street,
City, members of the

York

New York

over

net
$15.17

was

$13,671,000.

Mutual

Burke &
-

Life Fund

;

-

record

for4 February,

this year amounted to

i

Red-

Co. has been formed with

offices in the Gulf Security Blclg.

67!A

cents

a

share

$2.70 PREFERRED

on

the

STOCK

to

engage in a securit'es business.
Officers are Harrv
B.
Redfield,

President; N. S. Redfield^ VicePresic'en1; and Mac I in H. Benagh,
Jr., Secretary-Treasurer.

Payable April 1, 1961
«'
65

,•

the Capital Stock

1961/ to 'stocKHoIdefs of record

elimi¬

Bernard Clancy
With: Burke & Co.

*

Atlantic

stewardship

stock

dividend

a

declared

Vice President and

Nuts,
Fairchild
Camera
&
Instrument, - Hudson
Vitamin
Products, International Business

pay¬

Hi

close of the last fiscal year.

Atchison,

this

capital

poration,

O'

or

compares

assumed

pects

(Feb.

year

$87,134,395,

only the people for whom he has

Incorporated

from

insurance

Stock

Securities

that

Now,

the

was

Paper convertible debentures and

were

20

said

share

the end of the first
quarter of the

year

market

share

per

the

at

fiscal

Group

The

1S61

On March 14, 1961
of

Machines,
Philips
Lamp,
Piper
Aircraft,
Polaroid,
William
H.
Rorer, Howard W.: Sams, Scott

the

permit the privately-engaged citi¬

Hugh W. Long and Company

<1

Common

Consum¬

demand, rather than

to

invest-!

ranging

life

the

over

optional feature.
.Hi

Foods,

his investment
approach is geared
to "consumer

zen

contrac¬

uncompleted

on

as

The

decline of less than half

Gregory

to

flexi-f

monthly,

•;

term

coverage

lantic

course,
has improved
along the line.

all

standard

It will call for 120

years.

encour¬

of

Fund

market

showed
of

plan will

new

Stores.

Thus, stockholders
ers

verse

the

President,

/

Dividend No. 149

Houdry Process, Loral Electronics

govern¬

grow.

DIVERSIFIED GROWTH
STOCK FUND, *.

Investment Company

$1,495,738 and
$17.11, against

were

per

Fund, Inc.

A diversified closed-end

quarter total

ments,

"a

aged to invest in trade and indus¬
try," there is no guarantee that
investors will see their investment

value

31

investors to mutual funds

be

argue

should

assets

that

reports

Jan.

format which has at¬
tracted hundreds of thousands of

■

Gregory

Devon

plan

ments

ment."

net

the

are

March 30, 1961.

Fund

included

to

to

the

FUNDAMENTAL

The Dominick

*

fered

to this knotty ques¬
has plagued govern¬
personnel from Cabinet offi¬

is

Revere

close of

Partners

of

;1
*

&

Hilltop Drive to engage in

1961
V

Mineo

Richard Mineo and John Mineo.

it eliminated

Scott & Fetzer.

—

with offices

additions

shares

Fidelity Capital Plan will be of¬

cers

"

163

Telephone & Tele¬
graph, Monarch Marking System,
Pepsi-Cola and Random House.
span

Y.

securities business.

i

same

N.

has been formed

Principal additions to the
portfolio during the three months

which

clerks,

na¬

distribution, the

ment

or

at
a

-Co., ; Cole
National
Corp., Colonial Corp. of America,
First
Charter
Financial
Corp.,

group of open-end invest¬

companies

assets

Devon

the New Frontier.

ers

of a systematic in¬
(contractual plan) for the

mutual

Gregory Hankin, who is Exec¬

St., Chicago 3, 111.

new

included

Co.

&

C-ver the

ernment

a

Forms Mineo & Co.

ALD, Inc., General America Corp.,
General
Merchandise, Interstate
Engineering, Ryder System and

on

135

fund

introduction

Gregory Hankin
is heard, asking: "How can a gov¬

financial

dealer

.the

vestment

of

problem to many of the older

your

During the quarter
to

Exchange,
Sidney

admit

partnership.

BRENTWOOD,

International

.

*

government

are

total net assets were
$76,769,000, equal to $i6.05 a share. This
compares
with
$20,016,000
and
$12.03 a share on Jan. 31, 1960.

Armour

City, members

Stock

will

1

Homer to

/■

Devon Plans Corp. announced the

Senators.

Prospectus from

of

Fund,
Ltd., '-4 Canadian
Fund, Inc., Dividend Shares, Inc.,
>

April

a

h;

31

sys-'

programs

share

per

Putnam Growth Fund reports that
at the close of the quarter on Jan.

Trust

appointed
to

Bullock, Ltd.

Wilson

with

the

York

of the New York

Hf

strident voice

commodity trading.

long

in
Government

New

respect

under

passive chance at short-selling or

As

has

with

Ha

employees. Amid the proliferating
public bureaus and agencies, the

the

public

enough,

(Federal, state, county,

government,

have

are

Company

Gregory Hankin, who toils not for

stake in land

Then there

-

or

share. This compares with

a

\

Bank

chart pattern for-a market analyst.
And down in Washington is one

offering

who

:

:

Chemical

municipal)
enjoys
the
kind
of
growth that- would make a dream

inflation off¬

as

;

tematic

naturally

ployment

in variable annuities
serve

1959.

agent

nation's capital.

specialized

means,

and

co¬

to be

seem

$72,796,182 and $7.90
year earlier.

ishes,

has
sav¬

services, , we
can expect
a growing interest by
people, of moderate and consider¬
able

aoound

$7.91

$127,466,674, equal to
share, against $126,b32,655
$9.06 per share at Dec. 31,
a

of

$91,285,274,

$8.86

blessed with built-in growth flour¬

ings bankers, insurance men and
real estate operators.
Among
the
results
of
these

highly

outsize pocketwe
can
expect a

One idea that would

occasion to note that the outstand¬

ing

sleepless nights

with

steady growth in the field of
operative investment/

handlers

money

people

assets

on

Puritan Fund

total

net

net assets of

Along

To Admit Homer

Co.

to stock of record March 21.
jl«

American

Agricultural Chem¬
ical, American Motors and Best &

share, payable April 20
*

Salomon Brothers

Western Air Lines and

/

'

'

•

Broadway, New York 6, N. Y.

d

Volume

193

Number

California

6038

vs.

.

.

.

The Commercial and Financial Chronicle

Florida Land

•

A

„

„

(1195)

of small houses.

Thereto*:, for

For Retirement Investment favURSKts!
free

inventories

fe-Marmac Indus.

„

from

n,

i

counts

l

Stock 0ffered

Metropolitan

Securities,

Inc.

Diractad

specifically

to

retirement

check

recipients,

Mr.

par

Babson

weighs the advantages and disadvantages of Florida and California
tar winter

retirement living.

or

land and a home, and gauges

be

cheaper to buy a house already
built than to buy a vacant lot.
But I do not advise buying a Florida home without seeing the ac-

He gives investment advice in buying

the economies of those States

as a

whole.

exploration work. Many of
of farmers and their wives in the, these companies spent millions of

As I write this column, thousands, do

tual property. There surely is a
surplus of motels and subdivi-

snow-packed Central West are in- acliars drilling for oil, but not one sions. Nevertheless, I believe that
"i
in
««««j
-va
' I
i"' o
tY^ovi
tiri+v*
n
nvinnlr
aa wi i m rf
ivt
sisting they will never spend an¬ drop of commercial oil or gas did a man with a check coming in
other winter on the farm.
They they find.
Very few wells have evei7 month would never regret
are agreeing
to spend their win¬ gone below the 10,000-foot limit, moving to Florida,
■

i.1

Caliiornia or Florida,

in

ters

and

trying to decide which it will
be.
Here is a brief, but impartial

are

WlJat

"'"T'\,.':

4'7

jy,

answer.

About California?

Although I have spent 35 win¬
in Florida and expect to do

and

• «■

little "off shore"

very

drill-

Lr'"

'

-

•

„

.

-To Be Farrelr Partner

ing has been done.
Small industries are" starting

up

in

Florida, using electricity.
Orlando and Tampa are rapidly becoming industrialized, while Jacksonville is a great jobbing center.

value

$4.50

per

share.

Marmac

eaa<iuarlers

ship

N

kitchen1

k

woi

.

torn

designed

cabinets,

,,

Proceeds

from

counter

the

stocK. Will

-"V *
sale

be

of

Opens

offices in the First National
name

for

Forms Sole Investors

plant

BROOKLYN, N. Y.—Gladys Sole

and

On March 2 John F. Uniacke be*-'" layout, for development of new
a partner in Farrsii'&f Co., markets, hiring of technical per52 Wall Street,,.New "York City, sonnel and purchase of additional
members of- the New York Stock equipment to reactivate a maExchange.
chine shop division, to increase

is

came

engaging in

3

a

securities busi¬

from offices at 3091

ness

Brighton

St. under the firm name of Sole

Investors

Co.

,

ters

I

wish

often

California! It is

•AWAW%V.VAW.WV

life,
in
wonderful state,

remainder of
I had been

the

for

so

a

my

born

tropical ciima^e in uie souui,

wnn

in

snow

the

line,

has

It

wish.

could

and

north,

mate between these

any

cli¬
§5

which anyone

It

coast¬

long

a

1,

desert interior, and great

a

The

mountains.

out

only

is

S3

Los
•

its crowded popu1 a t i o n
terrific transportation
problem, its '"smog/' etc.

Angeles, with
,

California

also

is

resources,

of

exception

it furnishes natu¬

to ail the homes;

ral

of

has

to

asset

tremendous

a

of

abundance

an

the

other

paying
and
public improyerpents./All of

these

came

industrially,' besides

state

roads,/* state; buildings,

for

IT

Record amount loaned to families

quality, and this has

good

been

IT

but

California
oil

M M

p!

which heats most of the
its great asset is on.

gas

homes;

'

in
1L

Reports for 19 60

I

with the possible
coal.
It has great
waterfalls which supply electricity
ral

VA

it1

in natu¬

rich

Earnings

after the discovery of

"gold rush" and resulted in the
building of the Union Pacific and
Southern Pacific railroads..

Stock

La'e to Move to

Is It Too

up

■If

for 16th consecutive year
«/ i

sparked the

which

1849,

in

gold

if

V'lO

1

acquired in Western Auto Supply

||
II
s>:

Company

California?
As I think of the farmer and his

I
wonder
natural
re¬
be of much help to

Nebraska,

in

wife

all

whether

these

will

sources

Nineteen-sixty

can

for

acreage

ranch

an

or

turned against

only

winter

a

Service

in

of

know

thev

country to

to

System

mon

a

big

for

business

rather

What

natural

$773,877,411

1,287

1,210

Number of Offices

the world's largest.

stock of Western Auto

Discount)

(after deducting Unearned

♦Adjusted

Supply

to give

♦♦Principal only
The information

$554,371,946

$589,907,209

Instalment Notes Receivable

during the

..

rainfall,

$786,894,747

the Beneficial Finance

About Florida?

a fair
has only a few
advantages.
It has no

of

$565,596,495

„

,

<

' 1

'

c'.

efFc^t to 2'/,% stock dividend paid January 30, 1960.

**<r

.,

',"*

(unearned discount has been excluded).

contained herein should be read in conjunction with the

financial statements and notes

Stockholders. A Copy

of the

appearing in the 1960 Annual Report to

Report Will Be Furnished Upon Request.

nually.

for retired farmers.

Outside

$661,263,575

**Amount of Loans Made

Western Auto is a general
merchandising organization with
sales exceeding $250,000,000 an¬

go

place

than

—

$1.00

Total Assets

the

increased

year.

home, it might be
out and look it over.
California in general, however, is
to

was

Company was acquired

reason¬

priced

ably

well

offices

$1.00

peak. The

Approximately 47% of the com¬

California

some

of

$2.21*

Common Share

by 77 including one in Melbourne,
Australia, thus adding another

city—preferably near the coast—
and

balances at

was at a new

number

may

small

some

loan

year-end

$2.33

Cash Dividends per

families from the stand¬

outstanding

not be
the
state.
Prices are high, and
there is a shor'age of houses in'
most sections. If you have friends
living

to

$ 23,445,385

$ 24,662,633

Net Income per Common Share

point ofamount of loans made and

wife in
who want

home or place

to—California

retire

'

1959

IROO

'•

Net Income

end

tive annual increase since the

the farmer and his

For

1IIK IILIGHTS

of World War II.

them,

moderate circumstances

another record

year

purchase large
expensive cattle
orange and other fruit
groves, ihere is still an opportu¬
nity for health, power, and pros¬
perity in California. Few invest¬
ment bargains, however, exist at
the moment; although they will
appear again when the next de¬
pression comes. A large amount
of money is borrowed on Califor¬
nia enterprises, and most of these
mortgages are held by one or two
great
California
banks
which
could be very tough if the tide
who

money,

was

for Beneficial and its subsidi¬
aries. Earnings were at a new high
of $24,(162,(>33, the 16th consecu¬

the businessman with

For

them.

sunshine and

.

a

BENEFICIAL loan is for a beneficial purpose.

Florida

no waterpower; no natural
except that being brought in
by pipeline; a^id, most imporcant

coal;
gas,
of

all, Florida laas not

ered

oil.

found

the

in

town

wells

Some

years

South

yet discov¬
oil was

uumce

ago

around
few
drilled and

Florida

Beneficial

of Sunniland and a

nearby

were

produced
oil.
This caused the
great Florida oil boom.
Nearly
ail the large oil companies sent
representatives

to




get leases

and

Building,

Wilmington,

Cor

Delaware

1,287 OFFICES IN THE UXITED STATES, CANADA, ENGLAND AND AUSTRALIA
['XvXwIviJ

fcwiv

of

Sissom Investment Securities.

the

capital _improvement
and
expansion,
reorganization

hissom

Building under the firm

,

used

r>

d.

TEMPLE,-Tex.—Joe B. "sissom is
conducting a securities business

-bfw
? k" +CUSi
kitchen cabinets1

types.

common •

1

J.

Town¬

manufactures and sells

J

Sept.

with

Inc.

Deptford

in

$440,657 and

j

-

Industries,

heaTauarters

au

to

stock of Mar-

common

were

of
10 ,s.epl' 30, 1959, of $395,860 and
$395>860 an<*
net income of $45 958. For the year
' ne* s^,f?™re
$592,122 and net income $41,832.

Industries, Inc., at a price of

mac

.

a

issue of 108,000 shares of 100

new

ac¬

net income $56,048. This compared
with net sales in the nine months

of-

fered for public sale on March 3

of the small
cities of Florida. Perhaps it would
one

finance

For the nine months to Sept. 30,

surely

advise

to

receivable.

1960, net sales

snow, or for retired
famUies who would get a check
from the
north every
month, I

By Roger W. Babsou

and

23

1

24

frustrate

unrealistic bonuses and
stock
options to managementcreate a poor environment in
which to discuss with labor lead¬

The Economy

a

15

and price policy I have al¬
ready spoken. Of monetary policy
little

need

to

speak, as
long as we have monetary author¬
ities of the independence and cali¬
ber

that

have

we

and

attract

penalty.

a

matter of rela¬

excessive

The

resistance

demands

wage

Fiscal

now.

world.

It

would

better

be

I

do

not

the

what

know

should

be,

I

but

vital

so

loses

half

to

its

our

preciation

it

for

tax

force.

purposes

only fail to provide
new

.

he

President
proposes

And

investment

a

but

not

stimulus to

actually

pe¬

has

tax

in

are

Thursday, March 16, 1961

mind

reform

for

r^nce

was

Comments

New

on

ment

announce¬

that

it was abandoning its
of normally confining
open-market operations to secu¬

policy

rities

of

short

tions

of

various

development

on

ease

the

to

As

money

at the

The

President

has

that

system

budget

over

the

nomic

term

far

maturities, is a
which only expe-

and

cycle

—

for

debt

yielding

retirement

In

assessing the change in Fed-

high employment that
offset

the

deficits

times

in

levels

of

accom¬

overcome

economic

years."

poor

activity

has

He

of

than

more

which

pany—and indeed help
—low

FORECAST FOR ENERGY.

surpluses

in

made

a

number of

spending proposals but
has not put a total price tag on
them, and no one can say at this
moment that they are inconsistent
with his pledge to balance the
budget over the cycle.
But

there is

one

in his

passage

State-of-the-Union

Message that
special attention in this
It is the one in which he

invites

regard.

More and

bigger jets will help thrust

America's energy demands twice as
high by 1980

announced his intention "to advo¬

cate

a

including

stimulation
not

of

expenditures
from

revenue

the

by

themselves unbal¬

will

economy,

earlier

budget" — that
is, the Eisenhower budget. The
phrase "including revenue from a
stimulation of the economy" could
be read

what

lending countenance to
might call the force-feed

as

we

theory of economic growth—the
theory that the government could
force the economy to grow at a
maximum rate by simply
spending
on

Power

to

spare!

Today's large jetliner has

a

of

and

the

ance

of

program

which,

large enough scale, and that

push

100 tons

600

at

of fuel per hour, a

miles

big jetliner

hour.

per

uses more

more

than enough thrust to

Consuming

over

2,000 gallons

than 11,000 gallons on a single

coast-to-coast

flight. Consider this rate of consumption and the increasing
dommercial ^ni3 military jets crossing the skies, and it's easy

numbers of
to

see

why jet fuel requirements

multiplying. Also, vast amounts of

are

energy are needed to melt, treat and process materials used in manufac¬

turing these jets. Jet aviation is just
—

calling for

more

energy,

in

more

one

of

forms.

energy will

this spending would not unbalance
the budget because the economic

it

growth would produce enough ad¬

wherever

By 1980, America's need for

be double what it is today.

Where

mm

growing industries

our many

a

ditional

to

revenue

In

other

the

of

perpetual

point

the

cover

spending.

words,

to

up

full

em¬

ployment, governmental spending
automatically finances itself. This

theory—which,

I

accords

closely

rather

reported

views

President's

that

the

late

multiplier's
his
this

Let

is

—

in

the

of

a

turn

over

in

Much

will

come

from

present

sources

—but

large share will be transported via pipelines. While

new energy sources. Our Little
Big Inch, largest
pipeline system of its kind, delivers ever-increasing volumes of aviation

and automotive fuels and other

eries to

Midwest

from the Mexican

would

certainly
Keynes, the
prophet, open

from?
a

expanding its present systems, Texas Eastern —pipeliner of
energy —

the

implies

more

than

grows and

his

3

petroleum products from Gulf Coast refin¬

markets. Texas

Eastern's natural

border to the Atlantic

million

gas

pipelines stretch

Seaboard, with capacity to heat

homes, fuel thousands of factories. Texas Eastern

diversifies today to meet tomorrow's energy needs.

earnestly hope that

what

the

President

meant and that he will

advice

say,

come

produced,

constantly searches for

Lord

not
us

not

to

with

some

major

if

eyes,

grave.

of

advisers

multiplier
make

regret

will

that

reject

any

•

direction.

Decries High Taxes and Its Results

Another point
await

on

which

clarification

dent's views is the
tant

question

he has said

is

that

he

of

we

the

must

Presi¬

vitally impor¬

of

tax, reform. All
this subject so far,
intends to propose "a
on

modification

of

the

income-tax

laws to provide

additional incen¬
tives for investment in
plant and

equipment," along with
to

remove

fits

measures

some

special tax bene¬
improve tax compliance.

and

He thinks it should

be possible to
"reform the tax system to stimu¬

late

economic

reducing
violating

fairness in
It

growth,

without

and

without

revenues

the

basic

principles

of

taxation."

should

indeed.

The

steeply
progressive rates of the individual
income
the

tax

should

be

point wherelit is

itable
money

for

our

than

to

reduced
more

citizens
save

to

taxes.,

to

prof¬
earn

Far

too much of the time and attention
of business executives and entre¬

preneurs today is absorbed in try¬
ing to escape taxes—time and at¬
tention that would be better spent

in

trying to determine how more
could be produced, at less
cost, to
everyone's

advantage.




Moreover,

TEXAS

EASTERN

PRODUCERS

•

TRANSMISSION

PROCESSORS

•

CORPORATION

.

HOUSTON

TRANSPORTERS: NATURAL GAS

.

•

SHREVEPORT

CRUDE OIL. PETROLEUM PRODUCTS

a

might

partments.

the
eco¬

and

long-term markets are
being water-tight com¬

from

rev¬

of the

years

market

rates in opposite directions
time, since the short-

pledged his

balances

S.

same

Reproves Force-Feed Theory of
Economic Growth

enue

U.

temporary aid, at
be helpful, al¬
though of course there is a limit
to the possibility of manipulating

this

were.

administration to "a Federal

the

this

at

the balance-of-payments po¬

least,

maturity,

chiefly
90-day bills, and henceforth would
buy and sell government obliga¬

final verdict.

stimulate domestic investment and
funds

sition.

Policy

a

for making

higher short-term rates to attract

Monetary

The Federal Reserve's

a

rates

eco¬

reason

time, apparently,
desire to bring about lower
on
long-term securities to

change

when

growth, his administration
one
of rare accomplish¬
ment, in this area at any rate.

render

can

The main

what

be

than I wish it

sense

,

nomic

can

own

present methods of calculating: de¬

magic

think

down,

ments,

compensation and lower tax rates.

should be less than 50%

$64-billion question mark, in

for

concerned to have lower

the

The incentive to keep

domestic economy and to the rec¬
tification of our balance of pay¬

everyone

If such considerations

is

it is to survive in this competitive

the

literal

\ Inefficient

only half the
Padded expense

..

nalize it by failing to allow for
rising costs of replacement.

earn

costs

policy is the big question mark—
more

to

pays

indifference.

weakened.

the

hold

rate

a

to

rates, only in these ways can

of

superior abilities it must have if

wage

is

tive

than

income.

accounts become

provisions of an ex¬
contract.
But at present

business

of

management

the wage

piring

dollar

a

rate

profitable to

more

dollar of tax

normal

tax

a

tax

corporate

a

52%, also, it is
save

ers

page

Under

to

invented

means

high tax rates—inflated

salaries,

Dollar and
Continued from

the

of

some

To Protect

there

The Commercial and Financial Chronicle

(1196)

Volume

193

Number

6038

.

.

The

.

Commercial and Financial Chronicle

(1197)
eral Reserve

in

mind

situation
is

policy,

that

the

total

must bear
economic

facing this country today

different

a

we

one

—

particularly

in its

international implications—

from

the

during
An

in

one

most

of

argument

which

the

lived

postwar
be

can

we

era.

made

for

meeting change with change. At
the same time, it is of utmost im¬
portance to the defense of the dol¬
lar that the shift
away from "bills

only"

not

lead

"pegging"
was

such

flation

of
a

in

us

back

to

prices which
powerful force of in¬
late

1940's, and
against which "bills only" repre¬
sented

for

many

people

wholesome reaction.




a

The
new

most

first month's record

administration contains

items which I think
with

the

we

rise.
of
a

the

few

must view

serious
rise

reservations. One is
the support price for

in

cotton,

which
the
Secretary of
Agriculture has placed at 81% of
parity, about five points higher

cost

A

further

textile

demands

new

protection.
or

may not

increase

in

low-

imports could lead to
for

And

signal

tariff

the
a

or

quota

action

may

general policy

ther

accumulation

of

The

will have no
great effect
this year's crop, for which the

acreage has already
But it may well have

been
an

Another

fixed.

effect

on

ates

some

cotton-textile manufacturers, who
are
already paying six cents a

dent's

pound

costs

are

who

more

their
now

for

raw

material than

foreign competitors and
face

another

two-cent

proposal for
minimum wage. At
down
be

a
a

rise

in

the

time when

admittedly need to be kept
and

employment

encouraged, this has

needs
a

to

strange

meet

proposed

still

competitive

keep
and

that

or

some

cases,

costs,

their
a

raising
will have

power

compulsory wage
of squeezing jobs out
of existence, an effect we cannot
afford to produce,
especially at
the

a

very

statutory

wage

level

insofar

higher

to

an

that

increase

unemployment,
impair the balance

development.

of

is

such, is not

an

for

a

public

is regret¬

One

production

as

call

It

reasons.

and,

is that

business

a

appropriate

governmental
function,
in a field where

large extent

already

the

have

predict

be

increase

table for two

especially

private enterprise

merely
recognition to a

that
as

to

power

minimum-wage laws

give

But

To

would

safe
would

Also to be
regretted is the Sec¬

effect

this time.

to

25

retary of the Interior's
"vigorous program"

therefore,

the

is

effect

and further to
of payments.

it, but unfortunately it is not true.
In

enacted

effect, it

to

new

show

if

mum

kinds

able

reasonable profit. One might wish

the

development that cre¬
misgivings is the Presi¬

and

wish

all
be

would

the

surpass

might
of

to

as

that

wages

even

one

businesses
situated

minimum

be going.

generally expected.

pay

so

prices

on

was

Certainly
all

were

products, with implications of
tighter production controls, fur¬

action

than

ring.
that

of higher support prices for farm

surplus
stocks, or possibly both. This is
the wrong direction in which to

the

bond

the

Areas of Misgivings

has always shown
plenty of vigor
and
undoubtedly would have
shown even more if it
had not
faced the constant threat
of in¬

exists.
mini¬

creasing
tion.

governmental

The

other is

competi¬

that, in actual

practice, public

power means sub¬

sidized

and

power,

this in turn
favoritism to

means governmental
some

the

at the expense of oth¬

areas

I

ers.

hope Secretary Udall's state¬

ment

does

not

accurately reflect
intentions.

President's

Over

against

signs—and,
them

these

doubtful

I

trust, outweighing
overall
importance
is

in

—

the

President's manifest desire to
his years in office a time
of good relations between
govern¬
make

ment

at

and

the

business.

remarks

of the National
Conference Board
in

Industrial

Wasnmgton
for

room

His

meeting

Feb.

on

doubt

dissociate

of

himself

14

his

left

no

desire

from

the

to

anti-

business animus that has too often
prevailed in governmental circles
in our time.
Let us hope—let us
even

assume—that this

conciliation

will

desire for

find

expression

m

policies and measures which
business can accept in the
spirit
"mutual
understanding and
fruitful
collaboration"
that
the
of

President asks.
*An
mee.

at

address

ing

cf

by

Mr. Sharp befcre the
Florida Financial Forum

the

Tampa, Fla., Feb. 24,

1961.

$15 Million
Duval Co., Fla.
Bonds Offered
The

Chase Manhattan

Bank; HalCo., Inc.; Harris
Savings Bank and Kid¬
Peabody &
Co.
are
joint

Stuart

sey,

&

Trust and

der,

managers of an

underwriting

syn¬

dicate which purchased, March
14,
issue
of
$15,000,000
Duval

an

County,

Fla.,

bonds,

Special Tax
1, due July 1,

School District No.
1962

1,

to

1980

inclusive, and April

1981,

The

of

100.003

bid

group submitted
for the bonds

53/4s, 3.30s and
interest

cost

%s, setting

of

*

as

a

net

to

3.19508%

the

borrower.
On

reoffering

to

the

public,

bonds

due

1962

through

1980

scaled

to

yield

from

1.65%

are

to

3.40%, according to maturity. The
of V4%
bonds due 1981

balance
are

not

being reoffered.

Other

members

of

the

under¬

writing syndicate include:
The
Loeb

First

Boston

Corp.; Kuhn,

& Co.; The Northern Trust
Salomon Bros. & Hutzler;

Co.;

B. J. Van

Co,

Ingen & Co., Inc.; Trust
Georgia; John Nuveen &
Inc.; Stone & Webster Se¬

of

Co.,

curities
A.

Corp.
Allyn

C.

&

Co.,

Inc.; R.

S.

Dickson & Co., Inc.; W. H. Morton
&
Co., Inc.; First of

Michigan.
Corp.; W. E. Hutton & Co.; Chil¬
dress & Co.; Leedy, Wheeler &
Alleman, Inc.; City National Bank
&
Trust Co., Kansas
City, Mo.;
Courts

&

Co.

Clement

James
Wells
merce

A.
&

A.

Evans

Andrews

&

&

Christensen,

Co., Inc.;
Co., Inc.;
Inc.; Com¬

Trust

Co.,
Kansas
City,
Johnston,
Lemon
&
Co.;
Stranahan, Harris & Co.; Beil &
Hough, Inc.; Kenower, MacArthur

Mo.;

&

Co.

Thomas

M.

Cook

&

Co.,

Inc.;

James F. Magurno & Co.; Howard
C. Traywick & Co., Inc.; Towns-

end, Dabney & Tyson; Granger
& Co.; The Phelps
Co.; Pohl &
Co., Inc.; A. Webster Dougherty
& Co.

26

The Commercial and Financial Chronicle

(1198)

received

approval

Jersey

has

NEWS ABOUT

Banking

New

sioner

the

and

the

from

Commis¬

Federal

BANKS AND BANKERS
Branches

New

•

New Offices, etc.

•

National

Pittsburgh,

of

nounced the

Eckels

Manhattan Bank, New

Chase

has
promoted
Roger A.
Lyon, Palmer Turnheim and John

York,

J. Ward to Vice-Presidents.

Lyon and Mr. Ward are in

Mr.

investments

the.,

Officer in

named

been

has

requesting approval of the merger
as promptly as pos¬
sible with the State Superintend¬
will be filed

of

ent

*

which

Peter

L.

dent.

Mr. Wastrom

Mr.

moted

in

Bank

1950,

Assistant

to

Vice-President in
Mr. Ward

appointed
in

Treasurer

1955

Assistant

to

promoted

was

in

Assistant

an

Vice-President in 1957.

He

page.

a

bank's

branch at 60

Street in

1953 and was

the

of

East

as

appointed Assistant Man¬

was

ager

1938

in

Bank

National

42nd

promoted to Assistant Vice-Presi¬
dent in 1956.
*

*

of First

Na¬
Mr.

Trust

ers

Western

Director

until

bank

the

of

when

1957

he

from

resigned

to

France.

to

£

Chemical

the

Vice-President.

with the Commercial Na¬

Bank

tional

New

named

Trust

and

in

York

He

1951.

was

Subsequently,

named

was

Erection of
Trust

Company

Officer of the combined

an

at that time.

Assist¬

an

Building

£

£

The

Trust

10.

New York, has

election

Savings

Bank,

announced the

Bank

York

New

Henry J. Taylor, re¬
United States Ambassador

Company, New York, has
S.

John

Schastey
Advisory Board.

to

Queens

The Lincoln

Donald

of

Hall

F.

Vice-President and Raymond
Green as an Assistant Vice-

as

Savings Bank, Brook¬

building of

Flatbush

Appointments
C.

Company
nounced

New

York,

Horace

by

were

C.

an¬

Flanigan,

Chairman of the Board.
Hall

1945.

He

to

came

the

Bank in

appointed Assistant

was

Vice-President

in

1957

is

and

which

will

be

'

c

The

Island,

*

National

Franklin

Long

■'

£

Mineola,

Bank

N.

of

Y.

has

increased its common capital stock
from

$16,654,000 to $17,250,000 by

stock

dividend, effective March
(Number of shares outstanding
3,450,000 shares, par value $5).
1.

£

£

£

Joseph R. McLees has been elected

Mr.

Green

1926

and

joined

the

Bank

appointed

was

to

in
an

Assistant Secretary in 1953. He is

assigned to the Bank's Fulton St.
office

in

Brooklyn.

Manufacturers

its

opened

Trust

Linden

it

C.

banking office
March 11, at 2084

Hack

will

the

be

of¬

ficer in charge.

Stockholders
Trust.

of

Company,

Manufacturers

York,

New

at

a

special meeting March 8 approved
the proposed merger of Tne Han¬

N.

has

President

nated

and

£

Walter

Y.

Waag

£

E.

desig¬

been

B.

Augustus

facturers

Trust

York under the

turers

Company,

Hanover

New

of Manufac¬

name

Trust

Company.

Of the

5,039,000 shares eligible to
vote
at
the
meeting,
4,370,411
shares, or 86.73% of the total,
voted

15,151

in favor

of

shares,

the

August Huber,

£

0.30%,

or

have

Trustees

the

Bank

of

of

been

elected

Peoples

Yonkers,

The proposed merger must now
be submitted to the Superintend¬
of Banks of the

York

and

of

ernors

the

to

the

State of New

Board

of

Federal

Gov¬

Reserve

Tohn

A.

pointed

a

Stockholders

Bank,

New

£

of

York,

at

a

special

mediately,

£

Carroll

J.

S.

and

has

000,
of

ap¬

Manufacturers

The

Board

More than 90%

of Hanover's 4,-

500,000 shares outstanding on Feb.
6, the record date of the meeting,
were

voted

in

favor

of

the

pro¬

posal with less than 1% against.
The combined institution
would
be known

as

Manufacturers Han¬




of

was

£

of

from

has

ap¬

of

System

the

consolidation

with

Michigan,

Flint,

Michigan,

Vernon,

Bank,

under

Trust

title

the

Merchants

Genesee

the

of

and

Bank

Company.

v
£

£

First National Bank

The

kesha,

Waukesha,
its

increased

of

has

capital

.common

.

Wau^.

Wisconsin,

stock from

$1,750,000 to $1,875,000
stock dividend, and from

a

$1,875,000 to $2,000,000 by the sale
of new stock, effective Feb. 27.
(Number of shares outstanding
80,000 shares,

value $25.)

par

£

in

charge

of

approved

application

an.

the

consolidate

to

National

First

Bank and Trust Company

of Lex¬

the Security Trust Company, Lex¬

ington, Kentucky, under

the title

of

National

the

First

par

The

ington.
March

effective
£

Reith

J.

Director

Bank,

of

The

'•

£

£

■

of

£

..

On

California,

authorities

establish

to

ap¬

as

office in Sacramento.

will

office

new

Sacramento,

between

El

Marconi

Avenue.

'

£

The

£

of

in

be

Watt

on

Camina

town branch.
Louis

been approved

L.

Vice-President
the Walla Walla

of the George¬
was

named

Stringham

to
ai

Manager of
branch when Mr.

and

retires at the month-

Stringham

Wells Fargo Bank American Trust

Company, has

Lyal

...

r ::

Keiler

E.

succeed

title of the

main

by .Frederick
Assistant Vice-Presi¬

office

Jr.,

dent and Manager

the

California, under the

the

to

lending officer
become
a : member
of
senior

Kruse,

£

Valley Bank, Watsonville,

Pajaro

a

Industrial ;

and

'

Wells Fargo
Bank American Trust Company,
San Francisco, California, and the
merger

Ogg,

and Manager of
branch in Seattle,

office
and
will
the
Senior Loan Committee. He will
be succeeded as Manager of- the
transfer

will

second

a

V.

Wesley

1,

Industrial

the

banking

,

April

Vice-President

San

has received

supervisory

of

The

approved the following pro¬

motions:
••

Bank

proval

Bank, Seattle, Washington,

tional

have

Angeles,

California.
1

£

Directors of the Seattle-First Na¬

United

of

Los

Hawaii.

£

Trust

and

title

Bank,

end.

by

AS WE SEE IT

Continued from page 1

disclose what the reaction of the

named

Ga.

Atlanta,

C.

James

Manager, has been
a Vice-President.
£

a

National

ap¬

£

stock dividend, the Exchange

a

great rank and file of

Hat?"

Certainly, the situation

in

this

year

of Our Lord,

1961, is quite different from that of .1933 or years imme¬

diately following. It would appear that the President has
not always taken into full account all that has happened
during the past two or three decades. What he is now
proposing is in effect a policy of stockpiling of houses
against the rise in family formations and consequent
heightened demand expected a decade or more hence. His
advisers apparently have not informed him that the hous¬
ing, shortage born of the . Great Depression and World
by the extraordinarily large

War II has been eliminated
volume of

Yet both the rec¬

1950's.

construction of the

of

ord

housing construction and the general state of the
housing market clearly indicate that such is the case.
He

also

is

that the volume of
fully average, and
that not only is it likely to prove difficult to stimulate
activity of the order the President has in mind, but quite
apparently

construction

unwise to do

so.

unaware

even

now

is

It is unfortunate that the President or his

influential advisers had not studied the current

of

Letter

the

National

First

City

Monthly

Bank of New

York.

different

How

might be the President's attitude and un¬
derstanding of all these matters had he taken fully to
heart the very moderate words of this leading authority
in the field of current business activities and prospects,
"In earlier recessions, home

to wit:

been

Fulton

Jamestown, N. Y„
its

capital

common

Feb.

to

28.

$1,250,(Number

outstanding
value $20).
£

62,500

Haven,
its

title

of

building, albeit after

lag, responded to the ready availability of mort¬
gage credit.
But it is now less responsive. There is no
backlog any more of housing demand carried over from
the Great Depression and World War II. . . . The age
brackets that provide the greatest demand for new hous¬
a

time

common

standing

6,000

si:

N.

J.,

Company,

capital stock

shares,

value

par

Liberty

Bank

Liberty

dividend,

stock

Bank

The Fir-t
Stuart, Stuart,

of

capital

from

stock

$400,000

to

$500,000,
and
from
$500,000
to
$600,000, by the sale of new stock,
effective
Feb.
27.
(Number
of
shares

outstanding

shares,

6,000

value $100.)

par

£

£

Bank

of

merger

and

ap¬

.

a

Linden,

Masons
crease
"

rejected last night a 12V2-cent-an-hour wage in¬

offered
'We feel

by employers.
our

present wages are sufficient,' said Burt

Chapman, President of Plasterers Local No. 2. 'We turned
down the extra money in order to support President
Kennedy's plea to hold the line on inflation and because
it may stimulate construction work.'
y

Bank

stock dividend, the National
of

Commerce

of

Corinth, Mississippi, has increased

of

capital

common

new

$200,000

stock,

(Number

of

20,000 shares,

shares

from

and
by

effective

par

from

stock

$150,000,

to
to

Linden

N.

First

the

sale

March

1.

outstanding

value $10.)

£

National

J.,

£

Bank

of

Porte, La Porte, Texas, with
mon

La

com¬

stock of $50,000 has gone into

voluntary liquidation by

An

Corinth,

the

Company,
the

,

common

£

Trust

ing are hollow ones
Thirties. Finally, the

-

a

The

County

in¬

\

£

£

Haven,
has

,

Company, has been

proposed

Winter

Florida,

$400,000 to $600,000, effective
March 1.
(Number of shares out¬

£

N.
Y.,
and
Erie
County
Company, East Aurora, N. Y.
the

of

Bank

Winter

By

£

of the

National

Florida, has increased its

proved by the Board of Governors
of the Federal Reserve
System.

Trust

was

£

has

the

£

By

date

11.
£

its

Elizabeth.

Security

Bank and Trust Company of Lex¬

National

£

$1,000,000

merger

Union

the

under

California

residential

£

£

The Comptroller of the Currenecy

has

of Buffalo, Buffalo, N. Y., with the
National Bank of Fredonia, Fre-

The

nia,

Honolulu,

of

£

Company, San Francisco, Califor¬

the

from

Fleetwood office.

effective

and Trust

New York.

of

Bank

Governors

State

Manufacturers

Company,

the

Merchants Bank & Trust

Company,
Vernon

$150,000

Trust

Bank

Bank

and

the voters will be.

of

the

$100,000

the

of

National

Reserve

Federal

proved

under

approved

Cali¬

succeed

Detroit, Mich.

donia,

8

will

Vice-President

creased

£

shares

shares,

Western

the

Angeles,

Liberty

By

£

increased

stock

Los

elected

the

of

Chairman

Treasurer

while

been

stock dividend, the First Na¬

a

First

of

merger

Bank,

been

has

Zane

Fook

"'Los Angeles,< Feb. 18—A Los Angeles local of the
International
Association
of
Plasterers
and
Cement

15

the Bank's

By

Board

$100.)

has

White Plains, N. Y.

Assistant

Kee

£

£

Orth, Vice-President
Officer, who will be

Trust

Senior

Trust

March

Valley,

F.

Anderson

Donald

pointed

Vice-President.
£

March

the
ap¬

retired Feb. 28.

who

proposed merger of Hanover with

meeting

Donald

Chairman, and Henry T. Bodman,
said in a joint state¬
ment.
He
s u c ce e d s;
John N.
McLucas, Senior Vice-President,
President,

Blythe,

A quarter century of service with
The
County
Trust
Company,

The

Hanover

been

has

Mich,

appointed Director of the Bank's
Marketing Division effective im¬

York.

New

Secretary,

£

£

The

McClintock,
ViceNational Bank of De¬

Detroit,

System.

Reserve

completed
by Edward H. Jackson,

and

Shlanta

System for their approval.
*

troit,

of

has

System

Avenue

G.

President,

fornia

northeast

*

*

the

of

Governors

of

Board

because of the low birth rate in the
industry, taking advantage of bounti¬
ful government aids, has gone far to price itself out of
the market.
Home building could benefit most from ac¬
tions like that reported in the following Associated Press
dispatch:; V >
'
-V

president

tional Bank

against it.

•'k *

William

Savings

Secretary-Treasurer,
Francis
A.
Holmes, has been named Vice-

and

voted

AA

./

Carl

Ferdinand V.

and

Smolderen

£

merger

in

Cleveland.

tional Bank of

Chairman.

as

Bank, New York into Manu¬

over

ent

Gardens,
der

Van

Bank, Spring¬

had

Boulevard, Brooklyn, N. Y.

Edwin

field

Company,

that

120th

Saturday,

on

Executive Vice-President of Mea¬
dow Brook National

Weller will continue

New York, announced

Bank

Provident

and

ington, Lexington, Kentucky, and

assigned to the Bank's 18th Street
office.

Co.

Governors

Francisco. Calif,

the advertis¬

on

Cincinnati and Central Union Na¬

by

modernized.

enlarged and

a

Mr.

ground for

extension to its

an

Office

a

President of Manufacturers Trust

expand

si:

£

lyn, N. Y. has broken
the

£

£

❖

elected

its

£

part of

was

the

proved

keeping

£

Trust

Officials

re¬

of

to Switzerland.

Chemical

to

has served

Genesee

*

Manhattan

appointment
in

of

Reserve

"Old

Bankers

of

Board

1955.

the 30-story Bankers

Company, N. Y. began March

tiring

*

*

^

v

joined
Bankers
Company
through
its

merger

bank

York,

Randall

Trust

of

New

Company,

1937

accept an appointment as Ambas¬
sador

continue

Division, has been named

Houghton previously served as a
Director

with

ant Vice-President in

tional City Bank, New York.

a

will

Kennedy Randall, Jr., formerly an

Amory Houghton, has been reap¬

pointed

Vice-Presi¬

to

Assistant Vice-President in Bank¬

Mr. Randall

*

He

of

Department of the Bank's uptown
office at 7 West 51st Street.

Mr.

Turnheim joined the Chase

Mr.

Wastrom

activities

his

election

1957.

joined the Chase Na¬

Assistant

an

pro¬

was

tional Bank in 1934, was
and

Chase

Treasurer

became

and

1956

the

joined

Lyon

National

next month.

appointment of John

ing accounts of Fifth Third Union

the

announced

an¬

marketing
with' the
growth in both retail and

Trust

York,

has

national operations.

C. Brunie, President of
Trust
Company,
New

Henry

charge of the bank's new Second
Avenue and 42nd Street branch,
open

of

Trust

and

Fa.,

Relations.

program

bank's

£

*

Empire

will

Board

the

and

Banks

a

the

activities

Governors of the Federal Reserve.

Turn¬

Mr.

department.

planning
heim

financial

and

Applications

Trust Company.

over

said

Bank

Director of Advertising

as

Public

and
The

Federal

Federal

Mellon

Revised Capitalizations

•

the

10, effective March 1.

£

Co.
Consolidations

Thursday, March 16, 1961

.

tion of its shareholders dated Jan.

The
£

.

Reserve

System.
si:

.

a

resolu¬

Invalid

Notion

But

the home building industry, a huge one with
$20-billion-a-year in output, is not now as active as
it was some year or two ago. The thing to do, we are told
by the politicians, is therefore, to find some way to move

some

it back to the position it was in when the postwar and
post-depression shortages were dominant. Such seems to
be in general effect a basic tenet of the full employment
philosophy held by all too many of our public figures.
When a recession is to be eliminated, they take a look
see what is
lagging in output and then assume
thing to do is to find a way to bring these seg-

around to
that the

'

J

Volume

of

ments

193

Number 6038

.

.

The

.

industry and trade back

Commercial and Financial

Chronicle

they were
implicit in a
great deal that is said on the subject by would-be eco¬
nomic managers,
and, with regret be it said, by all too

wound

many economists who should know much better.
It is similar to the so-called

further

before the recession set in.

Such

where

to

agriculture
period

chase

normal.

selected

more

trol

practical politics. Thus the President, ap-,
parently a victim of the delusion so far as housing is con¬
cerned, proceeds to make suggestions to Congress for
legislation which would do much harm and to indicate
to

the world that he is

"doing something about" the sit¬

uation within the limits of his executive

powers.
It is a
dangerous situation. Our hope lies in a Congress that does
not appear
particularly impressed with much of the New

Frontier of the President.
Do

good thing if the President took a long
vacation in the
preparation of these messages—and gave
the people as well as members of
Congress a rest. There
a

however, other and

are,

the

attention

President.

our

One of them is the matter of

haul of the
income.

of

vital matters which need
lawmakers, and, of course, of our
very

complete

a

excessively progressive tax rates

A

dozen

others

heard about them in

could

be

cited,

over¬

but

nothing is

terest rates that

in

at

effect

relatively

fixed

prices, set high enough to

assure

that

their

interest

would

be

mined

low

rates

pegged

at

levels."

yields

or

pre-deter-

When

no

one

else would accept those

yields and
those prices, the Federal Re¬

pay

did

serve

And

so.

in

helped to finance the
'

The

process

war.

successful for

was

its- emergency

But

purpose.

the

procedure of pegging government
securities

at

high prices and low
yields entailed a price of its own
alike

government

later

have

to

To

provide for the gradual with¬

next

to

respond

less

promptly

easier reserve conditions than
in comparable periods in the
past.
After May, however, the season¬

ally adjusted money supply
begin to reflect our actions.
the

second

supply

money
rate

half

the

at

rose

about

of

of

it had

risen to

below

the

did
In

flationary
more

in

check

tem of direct controls

materials,

wages,

weeks

by

became

and

artificial.

years

or

the

year,

annual

an

1.5%. By year end,
$140.5 billion, just

end-of-1959

peak.

The

greater.
nomic

for

performance of these two months

lean

the

neighborhood

4%

of

supply is now
levels. and time deposits

above year-ago
The savings
cf

banks

1960
cf

continued

after

and

growth

This

bank

of

since
cash

the

year

lion.
the

1960

twice

interest

they

credit

That

of

by

figure

fifths less
sion

the

than

more

nearly
The

years.

1960

$37

some

about two-

was

the record

onomic Committee

was

a

expan¬

in

year ago, and

in line
smaller

with

total

growth

attributable

to

in

reduced

pressure

of borrowing demand, es¬

pecially

on

eral

the

part of the

Fed¬

Government.

1960

is

that they

not

were

ex¬

traordinary but, instead, that they
typical of Federal Reserve

were

operations

under

the

flexible

monetary policy that has been in
effect

it

for

now

That

policy,

before in

a

as

full

decade;

I have capsuled

the shortest and sim¬

plest description I have been able
to devise, is one of leaning against
the
tion
It

that

winds

of

inflation

alike—and
is.

in

the

with

and

defla¬

equal vigor.

my opinion, the
Federal
Reserve

continue to follow if it is




ef¬

of

and

policy have

other

never

be

could

turned

at

ing

that

the

Federal

Reserve

today—and how it is adapt¬
to this problem — let me

briefly

review

the

policy

monetary

past 20 years.

Reviews
:

policy

to

must
con¬

Past

Monetary

Immediately

States'
in

entry

December

Governors
Federal

that

an

the

War

Board

announced

use

United

World

1941

Reserve

(1) "To

the

upon

into

Policy

that

II
of
the

prepared—

was

its powers to

'

'

;*

•

*

(2)

"To

exert

its

the

United

influence

to¬

conditions

in

States

Government

security market that are satisfac¬
tory from the standpoint of the
government's requirements."
Making good
Federal Reserve

banking system
ample lendable
vide

the

on

its

saw

was

words, the

to it that the

supplied with

reserves

to

pro¬

government with all the

war-financing funds that it could
not

raise

through

through

taxation

and

borrowing

people's

sav¬

ings.
...It did

The

Continued

on

It's

gradual transition

capital

values

generally

moored

yields

and

to

prices

had

in

be¬

artificial

the

the

pegged

market for government securities.

By

1950, however,

the need to
dependence of the Treas¬

the

ury

of

one

the

most

challenging

questions of today—and you'll find
some

illuminating

ticle

by

L.

American

C.

in

answers

May,

payments

:

for

28

Company, in the March issue of

the

market

upon

Federal

the

inevitable

Reserve,

become

observers.

many

hostilities

and

to

inflationary

had

quences,

creation

money

the

or

sell

traded

in

stocks did

tax

a

miss this analysis of a develop¬
could

that

affect millions

shareowners.

of

in

buy

conse¬

clear

to

and

in¬

the

flationary crisis that accompanied
it

brought the matter to

a

head.

Understanding

of the problem
by an exhaustive
conducted by a

investigation

Special Subcommittee of the Joint

Congressional

Committee

the

on

Economic Report, under the chair¬

manship of Senator Paul Douglas.
In its report in January 1950, the
Congressional
must

means

tinuing

the

ernment

fiancial
control

the

Subcommittee
found for

be

pegging

securities

stability
the

over

decade

of

said

the

gov¬
—

if

effective

and

of

new

to become possible in

the

of

1950s.

considerable negotiation,
Treasury and the Federal Re¬

After

System reached

serve

jointly

announced

Leading universities

ment

a

clear, terse evaluation
in

market

car

article by

How do they

styles? Can flexibility of

a

fact-filled

John Quirt, "Production

Flexibility—a

Fresh

Approach

the New Car Market." It's
the exchange

to

only in

distribute their invest¬
Which industries
many

are

interest¬

ing and enlightening facts about the
in the current issue of the exchange

Magazine. It's worth reading, worth

studying.

exchange

many

changes in technological
our

the

Many Other Features

Profits and Rockets
How have

funds?

are among

selections of four major universities

the

warfare affected

Portfolios

prominent investors.

topmost? You'll find

Magazine.

Magazine contains

articles of interest to inves¬

tors—and you

get it by sub¬

can

defense industry?

scription only. It is not available at

Why has

one

leading aircraft maker

newsstands. To start with the March

switched

completely from aircraft to

issue—and to help you keep abreast

missiles? You'll find
answers

and

see

some

clear-cut

how the company is

making out in "Martin and the Mis-

Accord,
them on

an

by

models,

discon¬

market

creation

the

with those

Find out in

Magazine.

How Do College

production solve the problems?
of

buyers?

nation's most

You'll find

What

they prefer to buy? How

Compare With Yours?

of late? Are there too many

enhanced

units?

100-share

"The 1960 Odd-lot Investor" in the

Pressing

having profit-margin problems

makes and

for

score

to 99 shares of issues

one

round-lot

exchange

Why has the automobile industry
been

the investment

did their choices compare
of

Problems

halt

The outbreak of

Korea

(

Autodom's Most

by

was

1960's "odd-lotters"—investors who

problems of such

many

ment

The Lot of Odd-lot Investors

Magazine. He discusses

withholding plan. You won't want
to

Age," by William B. Bergen,

What

and the government securities

of financial news—mail the coupon.
For

only $1.50

exchange

you

will receive the

Magazine for 12 months.

\

March 4, 1951, that served to rec¬

ognize

and

reaffirm

that:

|

the exchange Magazine, Dept. 7

be

j

11 Wall Street, New York 5, N.Y.

maintaining mon¬
conditions appropriate for

j

(1) To
Federal

serve

the public welfare,

Reserve

policy

must

directed toward

etary
the

economy

than toward
the
as

TB-21

j

'

as

a

whole,

rather

'I

Enclosed is $1.50
Please enter

a

(check, cash,

money

order).

year's subscription to the exchange

Magazine.

special treatment for

Treasury and the government
if

their

interests

could

differ

name.

properly from those of the people
as

by buying outstanding
government securities on a huge

:the

page

President, The Martin Company.

an ar¬

Treasurer,

Telephone & Telegraph

exchange

the

sile

so

scale.

A

especially important because

come

the

maintaining

war

gradual transition to

a

of securities.
was

war

effort, and

in : large

-

to " reinvest

4

con¬

was

time after the

some

provide

assure

available at all times for the

selling
as

"

,

S

,

market

money were

ample supply of funds is

amounts—so
•

their

Dividends?

on

par

freely responsive to the
changing demand for and supply

been

put in perspective the prob¬

sell—and

.

of

many

exercising their right

Ending Pegged Bonds<H ',

tinued for

a

was

To

ward

The most significant thing about
the Federal Reserve's operations
in

how

know

to

were

instantly saleable in

fact,

•ir,.

easy.

in
bil¬

1959, on
reported to the Joint Ec¬

which I

not

the

In

Withholding Tax

a

the

end

economy

billion

$61.5

do

policy

financial

over

in

expanded

lion.

monetary

lems

as

I

were

bearing

-

immediately

r

have

fectively this can be done. I do
know, however, that it will not be
easy—just
as
the
problems
of

faces

much

as

for

against crosswinds—simulta¬

neously.

for

whole by $8.4 bil¬

a

was

developing

problem, it now appears,
it is by no means a problem
monetary policy alone, is to

total

of

investments

before.

year

Total

increase

and

as

That

pace

unusually rapid.
time
deposits

been

72, they

were

redemption until 1967-

Should there be

better—at the option of

or

••■"'

The

in

an

loans

in

grow

midyear the

was

increase

permitted

to

eco¬

financial ,'crosswinds

and, since mid-1960,
gaining in force.

and

in

and

because of

so

years

this year. Indeed, the annual rate
of
increase calculated from the

was

This is

have

been

and the total money

has

that

supply has expanded fur¬
ther in January and February of
money

it

(2) Although these bonds

:

not due for

The

became

more

to

executing

chases.

prices,

manpower

actively employed, growing econ¬
omy with
relatively stable prices.
Yet, while the necessity for ad¬
hering to that policy remains as

difficulty of
become vastly

over

100%
Febru¬

sys¬

a

over

(2) The market for government
securities

value

the

out

and

1951 by price-supporting pur¬

ary

months.

and

goods.

consumer

into

ever,

carried

around

January

consequences were held

less

or

of government securities

as

propped

throughout

inflationary explosion
though the immediate in¬

tribute to the provision of condi¬
tions conducive to a
productive,

great

been

results

The pegging of yields and prices

to

instituted imme¬

were

and

market

two issues

were

term, 2%% bonds,
outstanding in the total amount
$19.7 billion. Their prices had

holders

diately

the

over

of

markets.

procedures

this

would

—

The

pay.

the owners, at any time.

seemed

Hanging

drawal of the pegs that had fixed

prices and yields, several

now

For

ultimate

an

—even

The Government's Role
1

competitive market.

say

danger:

storm cloud

a

to

then.

cf the longest

ernment's needs in the traditional
a

do

two-fold:

cash

page

(1)
like

easier

to

(1) During wartime, money was
created
rapidly and continually,
in effect setting a time bomb for

equivalent

Continued from

the

of

was

the

was

un¬

availability, sup¬
ply and cost of money with a view
to its economic consequences; by
the Treasury, to finance the gov¬
context

much

it

that the economy—the people and
the

20

1

than

in¬

at

he would be

That's

market

doing, it

so

regulate

eliminated: bonds not payable for

PRB's Problems and

money

to

amount

going, the

process

Reserve

price risks normally borne by
participants in that market were

Washington.

his

monetary and debt management
policies: by the Federal Reserve,

individual

on

lend

to

com¬

main¬

keep the

were

Other Work to

It would be

war

pelled

be

no one can

ed

of

area

the

system where

27

The Dangerous Situation

rea¬

tained
a
standing offer to buy
government securities in unlimit¬

policy or program are relatively numerous and con¬
large blocks of votes, the notion is all but irresistible

in the

be

willing to accept voluntarily.
Thus, the Accord re-established
the complementary
operation of

To

production to meet the effective demands of the times,
and so long as it does so it can
lay no claim to any valid¬
ity at all. When those presumptively benefiting from some
such

finance

must

to the government in an economic

securities, that
the
was
issuing to obtain

funds to

debt

sonably calculated to induce loans

pur¬

to

reserves

government's

used

new

Federal

arbitrarily as
legitimacy of changes in economic

It denies the

system

effort.

less

or

In

reserves.

banking

Treasury

theory that somehow farmers should
share of total income as in some previous

a

periods

or

additional

the

—

large

as

bank

the

these

parity notion applied to

have

in

up

turn,

idea is

an

(1199)

a

address.

whole.

(2) Likewise to

serve

-

the public
city.

Federal

Reserve's

welfare, the Treasury's borrowing

these

securities

operations in management

of the

.zone.

.state.

I

28

The Commercial and Financial Chronicle

(1200)

the

FRB's Problems and

maturity

Toward

Continued from page

in

proceeds

yielding

tem announced in

27

private

securities

(3) Even

lowering of the price
props, much less a complete with¬
drawal, might very easily cause
holders

a

of

these

instantly

ketable

securities

on;,the

market

cause

that

to

might,

in

in

the

turn,

to

as

market

provoke

a

safeguard the market and
against

these

the

were

under

Holders

fully

were

exchange

all

offered

1951,

1975-80

overhanging,

2V2%

1967-72

could

that

although

bonds

an

of

opportu¬

them, in early
2%% bonds of

for

not

they

be

sold

at

could,

at the
holder's option, be converted into
1V2 % notes carrying sale privi¬

leges.
'V

I

the

that

in

this

in

at

declining

January
through
April, net purchases by the Fed¬
totaled

approxi¬
mately $1.4 billion. When the ex¬
change was completed, the offer
of nonmarketable bonds had been

accepted

on

scale

a

from

remove

the

sufficient
market

to

$13.6

billion of the

overhanging market¬
bonds, including $5.6 billion
that had been held by the Federal
able

Reserve

and

the

Treasury.

This

exchange paved the way
discontinuance of Federal Re¬

for

serve

purchases

of

government

bonds in support of their prices.
In May and
June, net purchases

by

the

Federal

Reserve of longdropped off to $250
million, but that was enough to
assure against development of dis¬
term

bonds

orderly conditions in the market.
that, the Federal Reserve
ceased buying almost
altogether:
After

purchases

during

half of 1951

lion.

And

totaled

I

is

think,

entire

last

only $20 mil¬

100%
at
the
fluctuated around

during the last half of the

when the bond market

was

year

its

on

own.

As the years 1951

skepticism
the

and 1952 pro¬

investors

among

Federal

Reserve

that

in

was

fact

abstaining (or would continue to
abstain) from attempting to main¬
tain
est

certain

predetermined

inter¬

rates, regardless of the overall

state

of

the

demand

for

the

and

supply of savings.
was

fed

that

the

chases

by

This skepticism
market observation

System engaged

of

securities

Treasury

in

pur¬

involved

financings

around

in
the

periods of such financings.

securities market and of the rela¬
tion of Federal Reserve

monetary

operations to the market, the Sys¬
tem decided that it would
limit
its
open
market transactions to

securities,

the

usually
shortest term:

very

Treasury bills.

It also decided

to

refrain from operations in securi¬
ties involved in Treasury financ¬

ings.

In

taking

these

steps, the
Federal Reserve objective was to
convince
not

those

#

%

,

the

market

undertaking

rates

term

and

—

on

to

most

that
peg

it

interest

certainly

intermediate

was

and

not

long-

securities.

marpossible
Federal Reserve operations affect¬
ing market ra'es, and thereby to

uncertainty

as

to

be

easier

trasts




achieve

full

what to do than

on

To me, that

Sys¬

the

on

future

might be
increasingly in the
there might be

that

and

occasions

more

corrective

for

border¬

disorderly

encountered

in

than

the

operations

past

After

the

middle

of

1960,

reducing

the

techniques

sharply

with

of

two

(1)

important
On

the

the

rather

have

we

impact

developments.

large seasonal expansion in credit

goals, along with

that

in

occurs

the

on

that made

but

vault

fall

and

it did

not

open

took

when

the

System

did

engage in open market operations,
it often
conducted
these opera¬

in

short-term
other

government

than

Treasury

uing to

ing downward
of

might be

economy

mov¬

broad pattern

on a

recession.

of international

area

financial accounts, a

big deficit in

the U. S. balance of payments was
made larger

by

substantial out¬

a

flow of short-term funds from
States

to

foreign

partly

centers,

in

the

money

to

response

higher interest rates abroad.
As

I

stated

Reserve

earlier, the Federal
been making bank

had

available

reserves

situation

credit

1960.

to

the

ease

since

winter

the

market

cpen

curities

transactions

other

in

are

as

stated

we

ment-

issued

Federal

in

of

announce¬

that

on

Reserve

purchases

an

has

date,

engaged

securities

maturities beyond

the

the

in

having

short-term

ease

strain, and how much.
it

contrasts

re¬

or

Also, why

completely with
firmness of our

undeviating

the
op¬

market

1960.

interest

In the

mid-

to

light of the domestic

business

and

tion

the

and

rates

employment
balance

situa¬

There
the

is

still

of

meaningful

a

term

rates

question

a

possibility

to

committee

for

further

this

of

at

Annual

views

point:

the

well

as

of

the

committee,
Messrs.
Sproul and Alfred Hayes
Reserve

well

as

Bank

time

same

securities
down
On

causing

that

levels
the

would

of

the
New

chair¬

as

to

encourage

decision I have described—the de¬
cision to confine

transactions

sis

short-term

Reserve

be

to

viding bank

market

open

the

market—the empha¬

Federal

in

continued

our

to

operations

placed

upon

demand

than

to

interest.

and

supply condi¬
tions, continued to be one of many

factors

considered

by the Fed¬
eral Reserve in making judgments
about
'he

the

for

need

reserve

changes

base.

in

Conversely,

Federal Reserve operations

in the

market

continued, inevitably, to
important influence affect¬

an

the

level

general

of

If,
eral

payments deficit.

the other hand, the Fed¬

on

Reserve

ther

action

bank

reserves

of

to

market

Despite confinement of its

imum

contribution

activity

through

stimulative

influence

Thus, in

op¬

vet

repercussions

began,

in

provide

late

disorderly

ously, threatened
vember of

oped

as

in

1955

the

<or

conditions
as

thus

in

seri¬

late

No¬

actually devel¬

summer

the Federal Reserve

of

1958.

bought longer

the

1960,

to

additional

by buying cer¬
tificates, notes, and bonds matur¬
ing within 15 months.
time, the System

has

Since

that

bousht

and

sold such

securities, in addition to

bills,

a

on

number

of

duly
reporting
these
changes
in
a
public
issued

occasions,
portfolio
statement

Thursday.

every

here

let

me

much
as

that

took

note

some¬

more

is usual

place

in

1960.

first

the

on
-

eight months,
Treasury bills and

term

issues

fell

sharply than on bonds,
in a period of declin¬

in

operating

it-elf

average

remained

changed.

The

level

widen,

of

rates

relatively

increased

can

international

financial

securities

the

large

a

among

our

institutions

facilitate their responses
in

the

on

capacity to fulfill

of

of

un¬

net

out¬

foreign

cap¬

that

ing

hope will be over¬

we

unemployment

of

part

by general economic de¬
Certainly we mean them

cline.
be.

to

While

shifts

to

should
prove only temporary, there are,,
however, forces at work that have
produced another, structural type
of unemployment that is worse,
in that it already has proved to
be indefinitely persistent—even in
periods of unprecedented general
cyclical

causes

prosperity.
The

of structural

problem

Virginia coal miners, Eastern and
Midwestern steel and auto work¬

West Coast aircraft workers,
like groups, in
good times

ers,

and
as

well
To

bad.

as

have

effect,

important

monetary

massive

by

ployment

his

would have to be
carried to such length as to create

at rates he is unwilling to
accept—anv
more
than
it
can

tionary character—at a time when

force

consumer

Jn

our

country, the government

force

cannot

anyone

to

lend

mcney

him

to

he

spend

is

always

have

irvesting
term

his money at

unwilling

their

alternative

funds
if

in

they

yields in the longer term
unfavorable.

pay.

market, investors

the

securities

to

area

are

in

the

outcome of this test much will de¬

pend
the

I

said

before

many

the

Committee

times

Joint

and

in

Eco¬

others,

I

in favor of interest, rates

low

as

have

past,

nomic
am.

the reactions of investors.

on

As

being
possible without stim¬
inflation,
because
low

as

ulating
rates

help

to foster capital
that, in turn, pro¬
mote economic growth.
con

Yet,

I assume we can all
agree, interest rates cannot go to
and long remain below the point
at

as

which

they will

attract

a

suf¬

ficient

volume of voluntary sav¬
ing to finance current investment
at

a

relatively stable price level.

least

we

can

agree, I think,
rates
cannot
be

interest

driven

point

CaFs

a^d long held below that
without resort to outright

creation of money on such a scale

effective against

Actions
tural

and

unemployment

harmful
need

to

take

into

be

the

where, and the why of unemploy¬
ment

and, accordingly,

go to the
particular problem.
Analysis of current unemploy¬
ment shows that, in brief:
of the

core

(1) The lines of work in which
de¬
for
some
years are farming, mining,

job opportunities have been
clining
most
pronouncedly

transportation, and the blue collar
crafts

manufactur¬

in

trades

and

ing industries.

(2)
have
the;

The

hardest

workers

been

semi-skilled

the

unskilled

the labor market).
have

a

significant

part of the increase
and

duration

Among

white

in the level
unemployment.

cf

collar

groups,

cial inequity, severe economic set¬

back,

of

to

invite

inflation,

serious

so¬

ployment

has

infre¬

second

circumstances, however, t^e

sponse

partly to the attraction of

on

higher

interest

I do not believe anyone expects
the Federal Reserve to engase in

try, and cities in which

operations

trical

quent

Reserve

maintained

its

reh'ance upon operations in Treas¬
ury

til

bills without interruotion

1960.

the

and

Treasury

bill

in

the 12-month
Treasury
1959, the System extended

and

in

a

factor

in

tions,

re¬

countries

poten¬

keeping interest rates

in the United

States from

declin¬

ing, because it reduced the supply
of

funds

available

here.

and,

the

tial capital sains abroad, was itself

With the introduction of

six-month
in

un¬

rates

year,

em¬

continued to in¬
crease
and
unemployment
has
shown little change even in times

as

ital from the Urn ted States in
the

entering

These workers

for

a/mounted

hit
and

inex¬

wifh

(along

perienced youths newly

Aoart

cf

of

actions that
who, the

specific

account

trading.

half

struc¬

free

therefore

effects

side

°stabh'sh

orderly

a-

Specific Fiscal Action

for

of

that

inf

of

problems

new

prices already are at a
high.

record

short-

feel

Therefore,

serious

or

from these exceptional and

overall

of

stimulation

fiscal

demands likely

maintain

flow cf domestic and

at¬

tempts to reduce structural unem¬

term securities to

re-

un¬

manifest in the
higher total of those left unem¬
ployed after each wave of the
three most recent business cycles,and in the idleness of many West
is

employment

and

borrowers.

that

unemployment

the

arises from

to

supply of savings and the

demands

that

to

culties that

keep¬

domestic

our

transferring

volume

At

the

in

various

After late summer, however, the
differential
between
short
and

and

it

of

techniques

its

and

role

ing rates.

long-term rates ceased

de¬

expenditures

thing about the decline in interest

Treasury bills should
developments create dis¬
orderly conditions in the govern¬
whole.

Rc-erve

October
of

of

needed

intermediate

and

balance

Federal

some

reserves

market rates

unusual

the

on

re¬

the

if

means

our

In the securities

minimize

to

the

payments,

securities

When

credit

of

effort to expand

an

and

serves

prepared

a

the

the

financial position.
We will want to observe
closely,
cf course, the effect of this
change

prices

than

as

domestic

ease.

other

market

coun¬

economic

stood

markets

toward

it

to

seems

result,

a

and

economy

max¬

in

During

securities

bal¬

situation,

decline

ordinarily to the shortarea,
the Federal Reserve

credit

for

because of the

teracting

term

m

fur¬

funds

would be unable to make its

rates

ment

from

supply

payments

erations

buy

refrained

as

the current needs of

its

of

Now

to

further outflow

a

to

pro¬

Inevitably, however, interest rate
movements, since they reflected
basic

low

so

press

ing financial incentives attuned to

market

to meet the

reserves

economy's needs rather
^et
particular rates of

contin¬

balance

ance

following the 1953

Reserve

those securities

on

funds

man.

In any event,

Federal

also

hand, it
question

could

attained,

shift in

a

short-term rates.

other

few

me,

foreign markets and
thus aggravate the already serious

Allan
of

of

myself

as

the rate

of

former

the

ued to supply reserves by bdying
only Treasury bills, the direct im¬
pact of its purchases might drive
as

present vice-chairman of

Federal

If

several

our

York,

as

the

A-

Market

Open

Committee, including
and

them

contain

score

the

of

the

the records

Reports,

that

on

members

labor

to

me

hearings,

past

our

our

members-5 of

1960.

and

handicaps imposed by the balance
of
international
payments diffi¬

in

longer term securities without at

be

part of

is

despite the

conducting,

been

about

longer
purchase* of

through

in

latter

operations

Reserve

Federal

the

caused
as

bringing

decline

These matters,
well known to

the

II.

contracyclical

only

sirability of the

too

War

The

has

unem¬

persons

been possible in recent
years
to theorize.

deficit, this de¬
cline presented us with a dilemma

are

number

that

of

5.4 million, the highest
since
the
days
before

helpful, as they

tional

however,

was

past, in combat¬

interna¬

of

number

ployed

has

which

on

position, at all times, to returning
to a pegged
market.

payments

actual

it

matters

some

the

to

force, the

labor

have been in the

market demand toward short-term

when

and

con¬

a

of the

6.6%

highest percentage since 1953; the

should be

practical

in

whether

Thus, it had been

adjusted

come,

to

of

policy—

but

unemployment
place since midJanuary, the seasonally
rate
of unemployment

In

1960.

erratic

the

in

rise

taken

has

test

putting

area,

tributing influence in the decline

credit

that

in

with

contend

persistent

World

tions

general

however, is a matter for
day. Today we have in
this country a serious problem to
another

se¬

than

had, most of the time, over ques¬
of

Structural Unemployment

That,

Treasury bills
continuing. Beginning on Feb.

20,

(2) In the

conflicting problems,

pose

reduction

some

of interest rate fluc¬

range

tuation.

was

bills.

activity, accompanied by gradual
rise in unemployment, suggested
the

in the

actions

cash

holdings of
banks fully available for meeting
reserve requirements.
And on the
occasions

do

mar¬

With the domestic economy and
the balance of payments contin¬

that

likely in the future.
If
this, we should more nearly
achieve our overall stabilization
be

we

needs

inflation, and

encouraged to think that this

am

may

purchases

domestic

I

a

bill yields of Federal
purchases.
Thus, when
the System was providing for the

ket

convergence

on

front, a
decline in key sectors of business

United

con¬

direct

carry

fiscal

have

of its powerful
greater responsi¬

all

Reserve

tions

the

would

Treasury

securities

from

readily agree with

can

with

policy,

bility for combating

toward

more

seasons,

possible need for Federal Reserve

I

who

those

force,

and

more

further

a

policy.

rected

solely

to

of

part

Thursday, March 16, 1961

have noted, that Fed¬
eral Reserve operations were di¬

rely

an¬

pointing

.

I

as

operations in longer term securi¬
arose

latter

be¬

maturities

consideration

1960,

the

pre-Christmas

Contradictory Interest Rate Forces

other

in

was

the

by

yond the range of Treasury bills.

on

explains

high degree of agreement

1958

the

accompanying
a
intensity of borrowing

market

open

to

operating

over

bill

market,

of

the uninterrupted character
of the divergence in the System

tioning

the

I

why

aid the effective competitive func¬

of

That,

opinion, it is and always

Federal

Accordingly, to minimize

ket

will

rates

demands, that conditions

ing

there

1959

indications, sig¬
rises in market

rapid

mounting

interest rates.

After very careful
study of the
of
the
government

of

my

techniques

ing

functioning

those

more

other that
10 years in

operations—a highly technical and
involved subject—rather than to
general credit policy itself.

be

Adoption of Bills-Only Policy

short-term

nor

any

Reserve.

sector of the

gressed, however, market developments demonstrated a disturbing

,y

the

readily understandable
the
question relates to

because
the

on

in

Federal

and

marked

more

recall

can

by

interest

our

to

Indeed, the divergence of views
the
System on this question

the

naled

of

It

ties

continuous than

around

start of the year
97

the

prices, which had been

supported

limit

to

operations

then.

been

close

.

Buying Other Than Treasury Bills

area.

the

on

unanimous—neither then,

not

since

how to do it.

but

Reserve

colleagues

short end of the market, we were

tinued by the Federal Reserve and

eral

point out here,

decision

market

agreement

Treasury,
prices:
from

least

Open Market Committee,

exchange was being
effected, support buying was con¬
the

the

have

the

opera¬

short-term

Federal Reserve in

in fairness to my
Federal

In my

While

would

impact.

think I should

has

the

nity
April

danger,
steps taken

first

of

arose

that

marketable
to

the

Accord:

the

operations
market

open

Since the primary necessity was
economy

conditions

dis¬
in the

unless

market, it would operate only in
the
short-term
area,
where its

them

sharp economic setback.
to

April 1953 that

notice,

mar¬

unload

heavily

so

collapse

a

further

orderly

higher return.

a

until

the

increasing

were

The Government's Role

of its

range

within

tions

.

this

under

and

the

consequent

country's gold

that

resurgence,;

f'r+ure.

present

condi¬

outflow of funds to other

an

In

of

drains

reserves.

will

promote a
inflation
in
the

combating inflation in

past, undue reliance has per¬
haps been placed on monetary

cyclical downturn.
(3)

been,

The

hardest hit have

areas

primarily,

dependent
dustries

individual

upon

a

equipment

concentrated.
best

more

were

such

in¬

heavily

;.

suited

these groups would
clude

areas

indus¬

autos, steel and elec¬

as

Actions

single

to

helping

appear

to in¬

training and re-train-

Volume

193

Number

6038

.

.

The

.

Commercial and Financial Chronicle

(1201)
ing

to

develop skills needed in
expanding industries; provision of
and better information about

more

German Federal Bank reduced its
equivalent of our discount rate

mutually

and made known

sible

job opportunities for various skills

it

in

level

various

local

tax programs
ment

that

labor

markets;

to stimulate invest¬

will

expand

portunities;

revision

and

plans

benefit

work

of

to

op¬

pension

eliminate

penalties on employees moving to
new
jobs; reduction of impedi¬
ments

to entry into jobs, and so
Measures to alleviate distress

on.

and

hardship

perative at
In

the

the

of

some

of course, im¬
times.

are,

all

instances

cited,

primary obligation of the

gov¬

ernment will be

leadership, rather
action, for obviously a major
responsibility and role in efforts

than

to

overcome

unemployment, both

cyclical and structural, rests upon
management and labor.
For

part,

our

Reserve

in the Federal

we

intend

to

do

share

our

combatting the cyclical

of

unemployment,
can, and in

as

fostering

conditions

growth in

effectively

as

we

financial

causes

the

favorable

to

job opportunities.

new

that

doing so, despite the high
activity in the German

was

volatile

of

for

economy,

the

of

purpose

could

re¬

a
heavy and troublesome
inflow of funds from other coun¬
tries. ; A month earlier the Bank

Germany

weekend

and

up-valued

nearly

the

their

5%,

of

March

these

actions

volatile

in

long and

the

wake

World

of

War

II

enhance the

must

its

problems.

in

these

and
even

flows—

rates, con¬
or tight¬
conditions, and

to

and

' preserve

alert

able

-

the

and

ready,

meet

to

one, am confident that we

the

are

important
they
bring

than

more

problems

them. Let

with

seize these opportu.-

us

the

statement

Jcint

by

Mr.

Martin

before

Economic

Committee,
March 7, 1961.

ington, D. C.,

Wash¬

Today's World Is Different
Meanwhile
need

there

is,

I

think,

live today is not only a world
that has changed greatly in recent

but also

years,

is

now

in

world that

a

period

a

of

The

economics

less

than

the

in

lives

other

of

further

finance,

or

the

no

relationships,

nations

throughout
made

and

and

peoples

have

earth

been

closely inter-linked
developments that have pro¬

by

more

gressed

since

World

the

beginning

of

II—inter-linked

War

at

such

speed, in fact,
recognition.

to outstrip

as

our

ex¬

port

trade, from which a very
large number of Americans derive
upon

livelihood, depends not only
keeping
competitive
the

costs

and

prices of the

it

in

the

countries

that

we

but also
lack of
want

Government's

our■<

budget is balanced
tor

that

or not, a fac¬
affects our eco¬

greatly

nomic and financial condition, de¬

pends

not

decisions

only

upon

our

respecting expenditures

taxes, but also upon decisions
by governments abroad as to how
they

mutual

aid

to

the

will

share

defense

the
of

and

costs

of

programs

underdeveloped nation? of

world.

The

decisions

would

make almost any
before

the

lowest

The

would

own

countries.

Every country, of course,
always have problems of its

possible deprecia¬

The

to

danger

of

us

and

to

lengthened because the

credit

method

in

favor

of

Jan.

30

reported

de¬

dangers and defects have not had
the

attention

of

value

of

the

goods

available for them to buy."
In Brazil, a new administration

is seeking means to cope with an
inflation that already has exacted

price in suffering
inflicted upon her people by soar¬
ing increases in the cost of living.
an

enormous

In

Belgium, a program of aus¬
terity, to bring about adjustments
made necessary by the loss of the
Congo, provoked riots that re¬
cently made headlines across the
United
In

Free

World, the United

States has not been alone in find¬

who

will

Loose

disadvantages.

Statements

Revenue

on




of

de¬

a

much

more

ours."

Compel

cannot

and

be

gimmick.
The
protection which the economy
the

the

in

legislation,

means

will

require

sonable

no

time,

or

provision
matter what

relief, which
the amount of

that

the depreciation

is, within

accountants

reinvested

in

pro¬

depreciable machinery
equipment.
While
there
is.

or
a

sound

basis in justice and equity
depreciation provision which

a

would allow

the

current

ery

and

a

taxpayer to

value

of

his

recover

machin¬

Rather

the

loose

loss

of

increased
unde

rates

about

involved

revenue

liberalized

r

ernment.
tor

methods

in

able

'What

fore

will

March
that

in

from

being
the

tax¬

considered
question is,

effect

the

on

tax

House

of

Repre¬

November

1959

indicates,

however,

might

revenue

come

Congressional

proper

the

what

ture

is

1960

the

gov¬

Sena¬

31, bears this out:

be

of

sentatives

gross

the

of

be

loss

called

will

the

on

and

be

the

offset

increased

in¬

generated by the expendi¬
the funds required to be

of

invested

under

the

Therefore, the Treasury

bill.

will

suffer
and

dation

no

will

for

the

short

be

provisions
run

of

revenue

laying the foun¬

future

gains.

This is borne out
by the experi¬
of Canada where
depreciation

deductions

were

ized in 1946 and
from

The

greatly
1949.

liberal¬

The Cana¬

legislation has been in effect
that

time

Canadian

scribed to the

to

the

present.

experience,

Cpmmittee

on

de¬

Ways

this

encourage

time.

there

is

of

disagreement

which

of the

and

of

These are,

first,
cur¬

dollar; second, some
allowing shorter and

of

realistic

where

the

of

lowance,

lives

be

to

taxpayer has

wide range

method

change in the

the

method
more

the

recognizing

of

rent values and the
value

exclude

need

other.

method

some

used

rather

a

of choice; third, some

granting an initial al¬
is,
an
arbitrary
a
high percentage in

that

write-off

of

the

year,

first

20%,

say

25%

or

30%.
I

think

advocate of re¬
placement depreciation would be
glad
to
support legislation
for
any

shortening

lives,

advocate

any

would

be

and

of

glad

conversely,

shortened

to

lives

support

some

type of replacement depreciation.
There
Some
form

is

no

basic

disagreement.
think that one type of re¬

can

be

achieved

than

another, or
more
important

more

easily

type may be
than the other,

one

but everyone who has studied the

subject realizes that there
two

problems:

value

of

the

are

are

Depreciation

making

the

the decline in the

dollar

and

the

fact

that the taxpayer is forced to

lives which

and

of

lawyers,

businessmen

methods

a

of

on

reform

the subject primarily
to determine the effect of
depre¬
ciation reform on'small
business
and the
All

on

economy as a whole.

this

has

far

so

introduction

of

depreciation reform
has yet been passed.
Both

of

in

bills

but

none

been made to
Congress or
other mediums fall into

classes.

(1) They

counteract

the

through
of

one

seek

may

effect

of

the

decline in the value of
money,
conversely, to counteract (the
fects of inflation; (2)
to

or

ef¬

they may
and generally to

correct,
the

assumed

useful

lives

of depreciable
property; and (3)
they may provide for some extra¬

ordinary
the

additional

time

the

allowance

at

property

is

new

acquired,

somewhat like the
allowances" in effect in
.Great Britain. Bills of these types
"initial

have been introduced, both in the
and

too

progress

use

long.

reform

has

lately.

the

over

depre¬

have

life

of

been

the

ma¬

chinery, is allowed at the time
its disposal.
While it is some
hardship to the taxpayer to pay
of

taxes

depreciation

of the
a

income created by insuf¬

on

ficient

the

over

machinery, this is

severe

penalty,

and

life

not such

it

is

cor¬

rected at the time when he
really
needs the
money; that is, when he
must reinvest or

replace.

Under,

..

depreciation
taxpayer would have

method the
to

find,

than

other

any

from

some

other

source

depreciation, the difference

new

the

current

machinery

cost

and

of

the

equipment,

and the amount he had been
pre¬

viously allowed

depreciation.

as

Shortening Depreciation

Basically all of the proposals for
depreciation reform which have

shorten

allowed

the

major parties de¬
clared for depreciation reform in
their platforms or in the
speeches

seek

ciation, which should

between

resulted

several

for

The

reinvestment

Period

method

does

not

attempt to correct the other
basic weakness in the
depreciation
policy

of

the

Treasury

Depart¬

ment; that is, the tendency of the
Treasury to impute unrealistically

long

lives

to

equipment
the

machinery

for

F

as

approach."

this

frequently.

and

knoVn

generally 1

"Bulletin

reasons

have been

They

The
stated

first,

are,

the

of so-called
experience which
is based largely on
depression
use

pe¬

riods, and periods when techno¬
logical change and improvement
was
proceeding at a much slower
rate.

It is also caused by
virtually
ignoring obsolescence; that is, ob¬

solescence is not considered in the

depreciation

rate

chinery is

nearly obsolete that

it is

so

of little

until

the

ma¬

value.

There has been

Senate.

Keogh and Hartke Bills
No

bill

plete,

providing
what

or

"all-out"

made to

for

com¬

a

might

we

replacement

call

deprecia¬

introduced, although

this

method

has

by

witnesses

at

the

Ways

A bill to

in

the

and

been

advocated

hearings

Means

before

Committee.

give effect to the decline

value

of

and

money

still

remain within what is assumed to
be

the

general

policy

of

the

Treasury,

namely, that ultimate
recovery should not exceed orig¬
inal

cost, has been

the

House

Keogh,
and

Means

Senate

in

Representative
of

the

Ways

Committee, and in the

by

member

by

introduced

member

a

Senator

of

the

Hartke,

Senate

a

Finance

These bills, which are

for

after

of

the

inflation
facts

the

old

and

after

identical,

recognition

great deal of

a

in

equipment -is
the

new

is

acquired.
sim¬

a

ple and direct way. When depre¬
ciable property is scrapped, sold
otherwise

original
lars

disposed
expressed

value,

of that

of

in

its
dol¬

date, is calculated in

current dollars

index

of,

on

the basis of

an

compiled

by the Secretary
Treasury. The difference

the

between the

current

value

so

at, and its cost in original
dollars, is allowed as "reinvest¬
depreciation" at the time

investment

erty

in

equal

value

of

depreciable

to

the

current

the property

is. made.

If the

vestment

dollar

disposed of
of

amount

less than

is

an

prop¬

the

rein¬

respondingly reduced.
However,
a
replacement of plant and
equipment does not always take
place immediately on the disposal
as

of the

old

period

of

for

the

in

the

property,
two

years

bill.

taxpayer

a

carry-over

is

provided

Under

this

electing to

use

bill
re¬

investment depreciation also gives

his

up

rights

treatment

posal

on

any

price

value.

The

to

capital
excess

gains

of

amount

of

the

rein¬

vestment depreciation is deducted
for the base of the new
and
for

machinery
equipment, and depreciation
succeeding years is calculated

been

on

this reduced base.

The

be

seen

that

under

It will thus

the

the

reinvest¬

been

to

conditions

without

much

simplest and probably most
method

be

bill

Senator

like

shorten

to

that

recently

set

introduced

Smathers,

by

Under

bill

in

by

bill similar to

a

in the

Representative

this

lives

forth

which has been introduced
House

Keogh.

the

taxpayer is
given the right to choose any life
new
property provided it is

for

not

less

used

than

five

years,

and for

property not less than three
The

taxpayer would be
required also to give up the bene¬
fits of capital gains treatment on
the

of the disposal price
original cost.
This approach seems to be bet¬
excess

the

over

than

write

erty,

or

rates

the

statute

either to
specific

specific classes of prop¬
to delegate the fixing of

to

the

Treasury.

Secretary

There

alternative

except

attempt

an

into

rates for

to

these

reasonably

a

the

of
be-

to

seems

two

under

Senator

limited

taxpayer
line

Smathers'

must

use

the

free

would

would

cause

who

payers

be

no

that

bill

the

straight

depreciation method.

method

no

methods

choice by the taxpayer.
It
should
also
be
noted

As the

elective,

this

hardship to tax¬

in

some

situations

would be better off with different
lives

under

the

balance

or

double

declining
sum-of-the-digits

method.
The

initial

simple

in

allowance

operation

and

is

very

in

con¬

ception.
payer

It simply permits a tax¬
to deduct either a percent¬

age of the cost of any property in
the year in which acquired, or a

limit in money may be set. Sev¬
eral bills of this nature have been

introduced
and

for

such

in

the

current

session

in

previous sessions. In the
previous sessions a bill providing
allowance

an

amount

of

This had

some

dis¬

depreciated

over

The

current

value of the property disposed
of,
the reinvestment amount is cor¬

property

country,

effective
would

ar¬

rived
ment

of

this

ter

after

discarded,

have

success.

arrears

This is brought about in

or

in

Attemptsj

adapt the Canadian sys¬
optional rates for broad

of

elasses

the

of

known,

are

tem

years.

Committee.

provide

lives.

ing

tion has been

among

have been three types of methods
of depreciation reform proposed,
none

views

presented. The Small Busi¬
Committee of the Senate held

hearings

effects

Impression
have been created is

the advocates of
different methods of depreciation
reform.
Broadly speaking, there

de¬

Testimony given be¬
Ways and Means Com¬

the

mittee

the

of

deductions
and

revenue?'

by

in

income

natural

not

bill which provides for

a

additional

a

depreciation

statement

of Jan.

"When

permitted

does

revenue

The

Hartke,

Record

that

that

to

erroneous

may

confusion

use

the

crease

conclusively

depreciation

and

at the present

which

statements

shows

equipment without rein¬

interest

the

Rep¬

extended

were
ness

rea¬

a

ductive

for

the

economists,

appropriate

a

for

used

are

is

needs

revenue

where
of

of

held

ment method the
increased

discussion of methods of shorten¬

loophole
principal

a

tax

or

House
has

Reinvestment

always be borne in
that, whenever the question

not

the

number

House

comes up,
depreciation refprnq, if
the legislation is properly'drawn,

is

of

resentatives

should

mind

Another

Loss

dian

thus

fiscal

1960,

revenue

vestment. it is probably not in the

presenting monetary
policy makers some
complicating cross-currents.
On Jan.
19, for example, the
tions,

and

It

of

use

system

liberal than

,

the

from

preciation

loss

no

the

public

dangers and

ence

-

that

Would

at

March 2 and 3,

on

indicates

witness

a

vious

ing that its domestic situation and
balance
of
payments position
seemed to call for conflicting ac¬
-

hearings

by

cated, but as it stands, on the as¬
sumption that what is reported is
correct, these seem to be the ob¬

loss

States.

the

those

ultimately be responsible for any
operation similar to that
indi¬

that

Khrushchev, in a recent
public speech, had pointed to pre¬
cisely that danger, noting that
"the
purchasing power
in
the
hands of the Soviet people might
the

taxpayer

with the smallest depreciation.
It seems hardly likely that these

Premier

exceed

discriminates

of the

Canada

structive inflation. The New York
Times

lives

will

them:

economically

and

own

Russia, for example, gives some
signs of worry over a problem old
familiar

methods

abandoned

be

heavily

scramble to

a

depreciation reform are fre¬
quently made. The experience of

that differ from the current prob¬
lems of other lands.
Communist

and

replace-?-

accelerated

be

would

a

peculiar effect of such

method would be

tion.

of

into

rehabilitation.

or

Another
a

taxpayer

entering

substantial., program
ment

their budget

their

pro¬

In spite of the large amounts
involved, the uncertain effect and
impact of the tax credit method

those

positions and, through
them, economic and financial con¬

the

as

depreciation

resulted

governments make affect, in turn,

ditions in

of

own

and

far

heavy

as

methods

Means

and

13

page

reform.

tax

Whether

from

twice

posed

to

goods.

our

about

use

goods

produce for sale abroad,
upon
the prosperity or

buy

Continued

hesitate

Today, the condition of

their

Wrong & Right Methods
Depreciation Reforms

even

transition.
In

mittee

to

part of all of us to
recognize that the world in which
we

deciding what

The Ways and Means Com¬

gress.

three

the

on

for

of their candidates.

nities, firmly and without fear.
*A

basis

should be done about it and
what
should be recommended to Con¬

the

will meet such challenges as may
come.
Our opportunities for the
future

better

a

what¬

challenge arises.

I, for

Treasury Department issued in
July, 1960, a questionnaire to get

hearings

interest

remain

ever

prosperity of all,

brings

too,

even

country's currency—we

a

willing

to

Today, though currency con¬
vertibility does in fact make pos¬
sible
an
expanding volume of

of

causes

determination
value of

have succeeded—only to find that
success,

in

developments of any kind that
questions and doubts about

painful struggle

convertibility of their cur¬
rencies, and thus to lay the neces¬
sary
basis for interchanges that

that

raise

should

restore

confidence

budgetary

ness,

by

capital.

a

scale

a

ditions of monetary ease

The truth of it is that the major
countries of the Western World,
after

the

differences

4,

help them to reduce the inflow of

on

nations

strongest

To

Netherlands

currencies

the

among

currencies,
cause internal difficulties in
the strongest economies.

England had reduced its bank
rate
also, to curb a short-term
capital inflow.
the

shake

the

of

Over

funds

concerned—flows

ducing

can

in

at the time

profitable interchanges
nations, it also makes pos¬
dangerously large flows of

among

29

small

very

$10,000

in

the

passed.

beneficial effect

on

businesses, but is in¬

teresting

chiefly

of

might

what

was

as

be

example
done
on
a

an

larger scale.
""An
an

address

accounting

National
York
1961.

by

Mr.

seminar

Chapter,

Peloubet

sponsored

before

by the
Accountants, New
New York City, March 2,

Association of

30

The Commercial and Financial Chronicle

(1202)

Indications of Current

The

following statistical tabulations

latest week

Business Activity

week
Latest

AMERICAN

IRON

Indicated

Week

INSTITUTE:

STEEL

AND

steel

Equivalent to—
Steel

ingots

AMERICAN
42

and

gallons

Crude

castings

and

PETROLEUM

oil

Crude

(net

fuel

Residual

oil

fuel

oil

3
3

8,474,000

8,376,000

8,297,000

3

28,273,000

28,794,000

28,652,000

3

3,250,000

2,764,000

Mar.

3

14,523,000

15,725,000

15,043,000

Mar.'

3

6,871,000

6,933,000

7,179,000

Mar.
—

.

(bbls.)_

Kerosene

—

(bbls.) at

Distillate

fuel

oil

7,240,860

3

221,092,000
24,572,000

of

23,805,000

25,989,000

East

96,716,000

106,682,000

101,702,000

43,147,000

43,407,000

44,209,000

(number of cars)

construction

..;■.'

501,121
•

468,482

497,630

557,999

475,059

472,863

468,352

Mar.

OUTPUT

and

PERMIT

70,189

i

New

139,600,000

158,600,000
125,900,000

114,900,000

117,400,000

124,600,000

70,500,000

106,200,000

43,600,000

15,000,000

55,400,000

6,175,000

*6,615,000

7,275,000

$19,138,253

357,000

445,000

437,000

1

:___

-.Ax—_
:.

United

York

122

123

106

(COMMERCIAL

City

utside

'

New

steel

Scrap

(per

PRICES

METAL

14,22^,000

14,744,000

408

14,353,000

of

376

318

9

290

In

Mar.

6.196c

6.196c

coke

$66.44

tons)

Export

$35.83

$34.50

$32.50

<

Stocks—Jan.
Cotton

1

$33.83

(East St.

Straits

MOODY'S
U.

U.

IV

11.500c

13.000c

Adjusted

for

26.000c

26.000c

Without

seasonal

102.875c

101.625c

100.375c

•■i

89.23

89.00
88.27

92.93
91:05

Mar. 14

88.44

88.131 fW

•to

84.90

-

to

87'.45L*'f
91.91

90.91

90.20

.87.86;

87.59

86.91

84.04

82.03

•■81.90

f

;

"

81.29

r

,89.09;

84.43

79.01

84.94

84.81

Mar. 14

89.78

89.64

88.54

90.34

90.06

89.51

86.78

3.73

4.54

4.55

4.60

4.81

4.21

4.22

4.28

14

4.34

4.35

4.40

4.62

4.59

4.64

5.03

5.08

Mar.

'

4.57

.

,

,

.

•

5.02

:

Mar. 14

MOODY'S

:

4.43

Mar. 14

Group

COMMODITY

INDEX

4.80

4.39

•

.

,■'
.

NATIONAL PAPERBOARD

.

Orders

received

I>363.4

-371.3

•;

Mar.

355,465

316,648

305,151

89

89

-

Mar.

...

orders

at end of period

(tons)

ii

90

Mar.

438,950

„

.

v

489,216

AND

•

OIL,

PAINT AND DRUG

REPORTER PRICE

INDEX-

'

1949

AVERAGE

=

III.85

.Mar. 10

100

110.40

110.72

110.80

'

ROUND-LOT

»

FOR

ACCOUNT

OF

Short

Sales

Other

sales

Total

Other
H

)*

Total

Other

M

611,220

707,440
2,681,500

2,517,500

2,278,790

3,388,940

3,128,720

2,663,070

floor—

569,250

..Feb. 17

51,700

399,280

53,700

523,890

32,850

530,340

..Feb. 17
initiated

the

on

469,100

405,830

353,190

520,800

459,530

386,040

..Feb. 17

986,335

954,752

990,905

Feb.17

187,330

178,250

147,360

321,210

sales

Feb. 17

974,385

1,011,174

882,728

1,161,715

1,189,424

1,030,088

""Feb.

sales

17

Total

purchases

Feb.17

4,959,415

3,955,375

4.458,215

4,904,732

Short

Sales

Feb. 17

917,500

939,390

791,430

829,890

Other
1

sales

Feb. 17

4,298,565

4,098,504

3,753,418

3,788,958

—Feb. 17

5,216,065

5,037,894

4,544,848

sales

>___

;

■

1

omitted):
]

EXCHANGE
Odd-lot sales
Number
Dollar

Odd-lot

—SECURITIES EXCHANGE

by dealers (customers'

of

2,356,501

2,363,116

2,089,945

2,140,433

of

Feb. 17

$117,211,707

$118,942,380

$105,461,616

2,468,938

2,493,142

2,041,772

1,564,049

...Feb. 17

9,636

11,241

13,080

21,333

by dealers (customers' sales)—
orders—Customers' total sales

Customers'

short

sales

Customers?

other

sales

Dollar

Feb. 17

2,459,302

2,481,901

2,028,692

1,542,716

Feb. 17

$114,393,522

$116,733,341

$97,162,373

$75,901,995

Feb. 17

value

of

shares—Total

Short
Other

sales

793,090

771,270

591,660

358,770

EXCHANGE
FOR

17

793,090

77L270

591~660

358~770

Feb. 17

678,830

631,940

662,770

911,410

~Feb.

TOTAL ROUND-LOT STOCK
AND

ACCOUNT

Sales

SALES

ON

THE

STOCK

MEMBERS

shares..!
N.

Feb. 17

1,093,140

1,173,760

977,840

1,110,940

Other

sales

Feb. 17

23,069,990

22,782,180

20,771,530

16,633,110

21,749,370

17,744,050

..Feb. 17

PRICES, NEW SERIES
=

U.

8.

DEPT.

24,163,130

23,955,940

Mar.

All

119.7

119.8

120.0

119.8

Mar.

'

'

commodities other than

'

farm

88.9

88.5

94.6

89.2

Mar.

foods

Meats

109.3

-109.9

109.9

:

:

sold

'"^Revised figure.
on

delivered

tNumber of

basis




at

orders

centers

not

where

reported

freight

Mar.

95.0

96.7

98.4

; 95.1

128.2

128.2

128.1

128.7

since

from

*28,790

29,740

3.23

5.26

4.04

3.78

2.50

—

3.40

5.17

3.40

«■-.

3.33

•

3.84

2.51

:

introduction

East

St.

Louis

of

Monthly Investment

exceeds

one-half cent

a.

2.76

3.22

of

Dec.

31 .(.000's

VEHICLE

number

omitted)—

FACTORY

U.

IN

3.28

'3.53

$32,900,000

ASSN.—Month

of

$32,600,000

$32,600,000

Plan.

pound.

tPrime Western
-

~

-

•

Zinc

FROM

of
of

motor

Number

of

motor

passenger

coaches
OF

IN

__.

PRIMARY

THE

in

MINES):

UNITED

of

i.

35,521

at

end

of

i
transactions—

As

of

Feb.

DEBT

Net

debt

Computed

DIRECT

3,035

2.845

28,525

2,440

2.070

$290,739,657

__;
—

1

'

•

1
annual

200

4,915

$290,196,047

$290,718,804

AND

balance—.
*

6,291,916

__;

4,828,879

5,311,484

$285,367,168

$285,407,320

.

r

$284,447,741
rate

5,115

140

5,475

-

omitted>:

28___

funds

5,615

51,325
j.

GROSS

33,485

1,840

tSecondary
STATES

33,390

80,350
;

GUARANTEED—(000's

38,600

82,190

scrap

in

5,210

39,005

33,485

period.^

processed

General

33,390

6,175

115,675

___.

manufacturing

UNITED

32,830

80,154

Supply
Total

330

Dec.

of period—

Receipts
Stocks

127,928

310

STATES

Month

—

788,367
660,109

82,893

AND SEC¬

:

beginning

497,955

220

:

414,752

121,629

;

tons):'

long

486,742
364,893

—

cars

trucks

TIN—CONSUMPTION
TIN

MANU¬

February:

vehicles

of

Number

OF

:

SALES

S.—AUTOMOBILE

r
■

$53,700

3.51

(10)

FACTURERS'

106.8

"~Mar.

'■

and foods_

(24)„

(200)

Primary

products

Processed

*$53,900

4.99

Tel..& Tel.)

Intercompany

OF

commodities

Farm

'22,800

$53,900

3.15

Amer.

Consumed

—

100):

Commodity Group—
All

(125)

PLANTS

(in

Sales

LABOR—(1947-49

$30,900

*23.100

YIELD—100

AVERAGE

(25)

(BUREAU

Short

WHOLESALE

As

MOTOR

Stocks

sales

:_

(15)

Average

TRANSACTIONS

(SHARES):

Total round-lot sales—

Total

*$30,800

■

__.

WEIGHTED

$30,700

>

COMMON STOCKS—Month of February:

STOCK

Y.

•

__-

MOODY'S

$8,017,000

$6,992,000

529,000

,

dollars):

•

^_____

ONDARY

ROUND-LOT

OF

>

.

_____

Number

Feb. 17

purchases by dealers—Number of

of

(millions

.'

•

$6,649,000

27,710

...

2,589,000

23,200

January

543,000

1,623,000

SALES

&

Nondurables

Total

sales

Sales

Round-lot

$4,899,000

485,000

MONEY IN CIRCULATION—TREASURY DEPT.

Round-lot sales by dealers—
Number

$4,483,000

•.

$103,896,342

Feb. 17

209,031

.1,694,000

Durables

Insurance
Feb. 17

221,222

246,196

$4,813,000

;

.___

INVENTORIES

Inventories—

Banks

purchases)—t

shares

222,478

Dec.

j.

Utilities (not incl.

purchases

Number

of

:•*'

1

-

Railroads

COMMISSION

value

272,177

231,530

—

_L

of

Industrials
STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODDLOT DEALERS AND
SPECIALISTS ON N. Y. STOCK

9.640,000
6,830,000

(AMERI¬

„___•

Month

4,618,848

Total

*6,771,000

INSTITUTE

—

1

Total

1

16,470,000

*9,059,000

6,663,000

Total

Total round-lot transactions for
account of members—

•H-

PURCHASES

INSURANCE—Month

Group

1,274,898

Total

LIFE

(000'000's

.

953,688

purchases

STEEL

Ordinary

886,215

Sales

Other

*15,830,000

8,909,000
:__j_

(tonnage)—estimated

MANUFACTURERS'

Short

Total

H

15,572,000

.

680,880

floor—

100.6
175.5

-

556,480

..Feb. 17

sales

sales

*95.0

*160.7

100)—

=

124,400

*

5,219,000

12,449,000

93.1

STRUCTURAL

INSURANCE

.OF

7,230,000

*5,135,000

157.4

Avg.
a

iL__'
Ls.—!!
goodsv_i_>_____

Industrial

;

transactions

LIFE

384,280

2,855,080

3,533,550

—Feb. 17

Sales

Other

;,'l

the

off

purchases..

Short

678,470

2,545,270

Feb. 17

transactions initiated

Total

){

Feb. 17

3,068,030

3,419,640

Feb. 17

sales

__^1

(1947-49

_

Shipments
3,403,830

*6,614,000

100)—

=

Contracts

of specialists in stocks in which registered—
purchases
Feb. 17

Total

*11,749,000

57,504,761'

.

CAN INSTITUTE OF STEEL CONSTRUC¬
TION)—Month of January:
closed (tonnage)—estimated.

MEM¬

Transactions
hfi

^
workers)

Avg.

58,425,675

of

goods

FABRICATED

BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS

u
♦

TRANSACTIONS

58,519,032

31

DEPT.

S.

SERIES—Month

(1947-49

54,656,480
$916,555,000

11,512,000

Dec.

54,200,509

$927,294,000

employees in manufac¬
industries—
•
...
■

Durable

U

)<

at

manufacturing

Nondurable,
n

55,973,498
$955,263,000

number, of

turing
■

135

of

goods

manufacturing

'All

108

5,032,000

customers

PAYROLLS—U.

REVISED

indexes

106

135

consumers—

omitted)

customers—Month

goods

Estimated

96

.

408,538

399,320

All

*249
*245

129

6,480,000

ultimate

Manufacturing

Payroll

320,887

313,152

V.,-

-

Unfilled

All

352,417

333,754

314,694

Mar.

activity

of

Employment indexes

4.65

4.45

101
103

___

Nondurable

:.,v'

(tons).

of

*

(000's

ultimate

.

4.98

ASSOCIATION:

(tons)

Production

Percentage

*

January—

of. ultimate

December

LABOR

Durable

4.80

■■

M
■

of

January: ; v.-.,
■.?
AU manufacturing (production
;

'

1'■

367.8

369.6

Mar. 14

4.52

4.41

OF

.>

>i.

i

of

from

Number

5.27

4.83-;,

4.44

4.79

Mar. 14

Group

Group

FEDERAL

INSTITUTE—

sales

EMPLOYMENT

4.86

•*:

,

;.

'

Industrials

Month
Revenue

4.48

3.65

3.67

Mar. 14
__

Mar. 14

Utilities

ELECTRIC

Kilowatt-hour

4.04

Mar. 14

Bonds

; '

Public

DISTRICT

FED¬

December

.

Railroad

RESERVE

SECOND

(average,daily), seasonally adjusted

EDISON

DAILY AVERAGES:

'

i

Sales

84.81

Mar. 14

variation

SALES

Sales (average monthly), unadjusted
Sales';(average daily), unadjusted___-________

j'-

82.52

•

457.2

Average=100—

adjustment-.-.

STORE

Average=100—Month

87.18

'

•

9,144,000
.:

RE¬

RESERVE BANK OF NEW YORK—1947-49

84.68

; 92.79

Mar. 14

seasonal

DEPARTMENT

ERAL

...

Baa

Ii,

SALES—FEDERAL

100.750c

Group

corporate..

Jan.

February:

11.500c
26.000c

—Mar. 14

Aa

:i*

of

II.500c

Aaa

■if

Month

Jan:

on

on

SYSTEM—1947-49

26.000c

—

Government

106

13.500c

STORE

Mar.

Mar. 14

S.

Average

;)■:
ih.

142

108

SERVE

Mar. 14

YIELD

COMMERCE):

142

DEPARTMENT

11.800c

Public Utilities Group

BOND

609,215

17,678,000

147

12.000c

10.800c

.

Industrials

OF

place

114,880

591,025

110

11.000c

Mar." 14

MOODY'S

107,738
17,471,000

„•

17,450,000

17,678,000

10.800c

Mar.-14

■h-

90,493

28_..___

377.0

—Mar.

Group..

January^-—__

Jan.

705,973

402.5

11.000c

corporate

Railroad

12,330,114

20,065,000

11.000c

—

Baa

12,010,486

•

9,426.000

10.800c

Mar. 14

11

1,791,660

11,145,293

of

of

(DEPT.

in

—Mar.

Government Bonds

S.

Average

1,511,708

19,916,000

32.675c

12.000c

696,137

1,691,930

;

Jan.

17,471,000

26.750c

12.000c

612,282
28—

28———

8,051,000

27.650c

12.000c

OF

19,881,000

27.425c

Mar.

116,697

4,234,852

17,450,000

33.175c

DAILY AVERAGE8:

PRICES

BOND

month

as

6,186,585

51.825

*4,756,788

28______

28.600c

—

at.

Louis)

(primary pig, 99.5%) at.
tin (New York) at

*3,376,130

4,822,312

28____J____

28.600c

—Mar.

at

(delivered)

Zinc

6,303,282

Active spindle hours (000's omitted) Jan. 28
Active spindle hrs. for spindles in place Jan.

28.600c

—Mar.

Aluminum

$986,700

'"3,427,955

651,523

spindles

—Mar.

refinery

$2,456,300

3,494,011

,_

tons)

28

COTTON SPINNING

Mar.

—

$1,003,200

BALES:

Jan.

Spinning spindles active

1

66,910,118
$361,479,192

49,921
(net

DEPARTMENT

—

of

as

spindles active

Spinning

at
Lead (New York) at
Lead (St. Louis) at
tZinc

LINTERS

public storage

6.196c

$66.44

Mar.

at

104.698.C61
$510,967,024

MINES)—Month of Jan.:

(net

AND

$66.41

6.196c

$66.44

(E. & M. J. QUOTATIONS):

refinery

$428,389,310

77,255,997

tons

(net

-

Consumed month of January.
In consuming establishments as of

Electrolytic copper—
Domestic

93,947,808

$615,665 385

January:

COMMERCE—RUNNING

14,380,000
_

Mar.

ton)

gross

17,882,380
21,147,689

124,853,195

$471,706,017

City_;

coke (net tons)_
coke stocks at end of month

98

PRICES:

(per. lb.)

77,829,654

37,466,256

21,460,200

$548,962,014

__—A—_______

OF

Linters—Consumed

Pig iron (per gross ton)——

84,711.418

2,543,932

York

omitted)

Oven

A

DUN

Mar.

IRON AGE COMPOSITE

steel

—

INC

BRADSTREET,

Finished

Mar. 11

INDUSTRIAL)

AND

89,404,779

25,769,505

_______—.i.

A_
'____A_L________

States

(BUREAU

Oven

Mar.

(in 000 kwh.)

output

70,396,628

22,477,856

______

___.

Production

ELECTRIC INSTITUTE:

Electric

FAILURES

119,253,937

102,630,143

:
„_

125,620,501

COTTON

EDISON

38,899,402

84,576,444

A
_______

Central

(000's

314,000

100

=

-.52,117,229

:.jr.?

COMMERCE—Month

7,799,000

.Mar.

AVERAGE

$18,880,970

150,668,575

&

CITIES—Month

Beehive

SYSTEM—1947-49

$25,135,075

52,554,086

DUN

—

82,147

137,062

CASH DIVIDENDS—PUBLICLY REPORTED BY
U. S. CORPORATIONS—U.
S. DEPT.
OF

SALES INDEX—FEDERAL RESERVE

STORE

74,738

61,811

206,372

116,195,206

VALUATION

INC.—217

Central

Total

.

:

77,373

61,605

$284,500,000

147,300,000

161,000,000

.Mar.

Pennsylvania anthracite (tons)
DEPARTMENT

Ago

214,956

(tons)___

Pacific

COKE

BUREAU OF MINES):
lignite (tons)

(U. S.

coal

$286,900,000

244,600,000

Mar.

.

.

$405,600,000

144,200,000

221,100.000

Mar.

municipal

$365,300,000

Mar.

__

Bituminous

period

Mountain

533,898

Mar.

construction

Federal

COAL

of

Atlantic

Total

construction

and

Year

Month

of

CONSTRUCTION—ENGINEERING

ENGINEERING

State

(tons
,r_

Central

West

NEWS-RECORD:

S.

grades

pounds)—

RAILROADS:

4

U.

end

Atlantic

South

22,256,000

96,591,000

42,886,000

4

Private

all

2,000

of

England

South

219,428,000

214,349,000

at

Middle

7,477,000

3

Mar.

Public

output

_A_—

(tons

January:

New

12,149,000

.

3

freight loaded

Total

smelter

pounds)

BRADSTREET,

2,371,003

.

3

freight received from connections (no. of cars)—Mar.

CIVIL

•'

Mar.

at

AMERICAN

zinc

BUILDING

7,922,000

28,436,000

Mar.

at

(bbls.)

Revenue

>*S

7,259,760
-

v'

2,990,000

.

221,098,000

Revenue
'5t

7,136,760

7,207,460

Mar.

(bbls.)

Residual fuel oil

Slab

2,607,000

•

Stocks
Mar.

T

output (bbls.)

Previous

INSTITUTE, INC.—Month of

v"

Mar.

output

OF

1,524,000

1,580,000

*

Shipments

Stocks at refineries, bulk terminals, in transit, in pipe lines—
Finished and unfinished gasoline (bbls.) at
Mar.

ASSOCIATION

'

of

(bbls.)

average

of that date:

are as

Latest

2,000

output

Distillate

#1

1,573,000
*

(bbls.

of quotations,

cases

either for the

are

Month

AMERICAN ZINC

89.6

52.0

Mar.

stills—daily

to

(bbls.)
Kerosene output (bbls.)

v\

Mar. 19
'

output—dally average

in

or,

Ago

Ago

54.0

production and other figures for the

cover

February:

tons)

INSTITUTE:

condensate

54.0

Thursday, March 16, 1961

.

Dates shown in first column

that date,

on

.

Year

Month

"

each)

runs

Gasoline

'?

*

month ended

Week

Mar. 19

(per cent capacity)

operations

or

Previous

month available.

or

.

3.081%

3.118%

'

-

3.378%

Volume

193

Number

6038

.

.

The

.

Commercial and

Financial

Chronicle
31

(1203)

investments

Areas of

Probability and
Investment Philosophy

this world 'is through persons.

The

business, persons dream up
ideas, sell them to their associates

may limit their use.
point I wish to make, however, is that whatever our preferences

be

may

investments

with

of

this

respect
nature,

to
the

and

civilian,

sol¬

government

business

and

employee

academician

tive,
tive,

in the
A".

distinctions

execu¬

and execu¬
ahead. The

years

"~~~n

.

'

.between

tL...

these

It used
a.,
uacu

to
tu

sold

low

in

at

that

be

vate" and

"public" is crumbling.
This reshuffling is already tak¬
ing

place,

whether

are

aware

of it, and

risk!which

of

they

recent years,

more

risks

have

In

however, these

Dlaved

lated

to

mther
rather

share

earnings. To
glamour stocks

all

all

but

the

to

seem

one

in

have

price which reflects

In

expect
to
see
major
changes in the organizational
units of government.
The city
and state may well decline in
importance in favor of larger
units
overseeing metropolitan
areas.
Inherent in this concept,
is

too,

larger

a

vis-a-vis

Government

Federal

the

for

role

is

Analysis

question

no

customers.

he has

as

assistant, the human

an

my

growth

rate

of

one

toward

runs

of

minimum

a

of

6% annually as
qualifying require-

the

ments for this basic section of the

portfolio.

It is recognized that the

stocks of such companies may not

relations problems start to multi- show the same price increases
ply. In an organization where the over the next 10 years that they
research activities are carried on have over the past, since a good
by one group and the admmistra- part of the past groWth was based
^7®•
ac^7^ies
J|Pon higher earnings multipliers.
carried out by other

in

In small

groups, the

human relations problems are fre-

are

than

ovot

common

But

one
of the primary reasons
holding stocks is to participair
in the growth-of the country, and
— we should expect such companies

for

extremely

an

many

have

a

scientific

thinkins of these issues

and

especially the smaller companies
in
ears!

f Stm heaJ ech"?/g
the

admonition

towards

the

myP

that

the

trend

dominance

is

the

of

large corporation in the industrial
complex, and that there will be
intensification

an

both

home

a

of

and

the

At

time, however, not only the

same

available for investment,

+£

cenerail/known

Present

2

of

officer

^mnnrtant lame/ltlJng .that
pie bad g1Ven

the

of

trust

senior

nas/or !arge institution,

about the

present of most of the important
£omPan*fs- Udr objective, there?°re' +7J • fv,
P °U£- 7 S

purchase

of

rather

a

tunities just

it has in the past.

as

was We are not unmindful that this
researck Peo~ approach is not likely to answer

and

the
his

he

department

recommendation

a

only

s*x months earlier and it had been

the

needs

income

of

all

of

our

customers, but whatever the need

lor compromise

be,

may

feel

we

Tnfhave ^/greatest ProbabT/ fhCted uP°Vather, widely. Now it is important to establish the
L*of hehfe
!£e research P^P^ were asking ideal objective,
lle^nfftliSt^ends Thilmav themto reverse this action com- A second portion of the common
favorahlv

nff

bv

J^0£e?fa™a^ P^fly, with the

1+^7^7^

competition

abroad.

w

a

flavor.
We

for

•

There

their

to

expectation

an

.

issues;

addition:

In

Tools

mu

and

trust departments, all this may be
done by one person; but as soon

bank, our1 thinking

rear7~ m/nd that the investment prizes quently the toughest* ones; and
mlnd that the lnvest™"t
auently the-touehest-ones:-and
per
+ot the+ c+?mlng years are g01ng ?™nd solutions are conducive to
be sure, not tSned to
SomSKLrf .he flow and application of ideas, would fulfill this requirement. We
are
venture
Xnee With actuals thou?anris To glve an exaggerated illus- should further expect that1 the
feature they
TfSfi*vsts combine
the
!r?,tl.on of these problems, I was unevenness of this growth wouldis
°,rmps avahtalking' not so long ago to the create buying and selling oppor-"

multiples
multiples

sales

future, and

accelerate.

New

fiddle

second

rapidly being taken out

£iu? u0f 0ur. doi?estic companies
are stepping up their own
investment in foreign production
and marketing facilities.

? have played second imdle,

we

expect

we

degree

carried

continue, if not

to

process

not

or

issues

multiples of earnings

many

just as the neat division of ac¬
tivity and decisions into "pri¬

venture
vuhuic

recognition of the high

instances
foTTlo/g'down" man/instanced,

this

is

hands by the more aggres-

our

doing about the glamour stocks?"

3

tell the difference between
dier

choice
of

Continued from page

In

our

th

qprond

whioh

T

l1kp

wnnlH
of

thp

nHHrPccpc

p/hw ^wr!

mpntinnpd

stock selling stock section of an account might

r7Sr wel1 below the Purchase

fn

price.
permit us to take advantage of
Surely this situation is familiar cyclical movements. This section
to many who work in larger or- might also provide room to take

advantage

of opportunities to
stocks that have fallen
of favor for one reason or
learned, are expecting a tremenanother and which might be selldous increase in "technology and
science, and a growing trend to
ln6 *ar out of line with the basic
substitute
mechanical
devices
science, and a growing trend to
values and the ultimate earning
for rote labor.
substitute mechanical devices for
Ppwer behind them.
Changing
rote labor."
These developments
We look for the large corpo¬
circumstances and a measure of
will bring about many corporate
to the customer and who
ration to increase its dominance
puts his patience may be very rewarding
in our industrial complex.
casualties, but they will also ere- «iamoroUo
Thp
raVh
own Prestige on the line, as well JJ this section of the portfolio if
ate investment opportunities
tbpv
+'n up.naJpj
We
as that of the institution. Then there is reason for taking a posiexpect
that
American
which v/e cannot now visualize.
offjil
af
businessmen will be faced with
+?mp nnri v>p we have the customer whose Jive view of the longer term
While many of these opportunities
h«d-to make hi« choice hpfnrp th*
money is involved, being asked trends at work.
greatly intensified competition
may be more suitable for use in
Tp+r"th^
Ivlo to undo it all under adverse cir- - Finally, a third portion of the
both at home and abroad.
investment
management
operaKpnpfit
nf
rppnii
withnnt
th«
sumstances. Finally, we have the hind should provide us with a
Having had this glimpse of the
Hons, some will become trust in- benefit of having
all
of the
head of the trust department who more direct participation in the
long future through the eyes of
v-estments; and we should not close ^vic' t believe thic i« railed
has the responsibility of explain- new areas of promise that arise
the
Harvard
Business S cho ol
Qur
ey£s' tQ thjs technological
.
1 believe this is called a ing any and all serious complaints in a changing world Thes. opchanging world. These
faculty, it might be interesting mushrooming in our trust departPi(
j
t
f
would
'1's customers to the chief portumties may not only arise
authority.

state and local
We

Harvard

expecting a tremen¬
dous increase in technology and
are

Business

those

even

of

us

School,

who

but

not

are

so

-

2anizations-

Here we have an
analyst-who must have the type
dreamed//n hv thp
of environment which will permit
DrofGssor hut +he renort ha«5 to dn him to chanSe bis mind without
th '
annijratjnn
nf
mnthp.
recrimination if he believesdevelmatics in
area<?
of
dePjsion
opments dictate such a change,
flki
„
T
fhi
+h
We also have the account man
warmTitP iminnpln that a ±ellow
was quite unlquq in that fwho S°es a11 out to sell the idea
the

and

cArU "

Qne

Hundred

hunrh

Mv

Gorgeous

thi<f tifip
m7rkPtin^

that

acquire

wac

wprp

nnp

a

..

,

nr

seen

a

,

o

orobTem m-easeroef Te present ments' .Eve" an?ong ,th% '?iger probably solvit by
thinkln/l have S&,??.h not be evenly
thinking
nahtJ°,^
mathematical.
developments will

whiehdn mv own
which in my own

classified
These
Ihese

hv

probability,

of

of
01

means all
means aii

which

those

but

the
ine

up

investment

people get together.
anything in this longrange forecast that has bearing on
eur
thinking about the so-called
'blue chips?" More and more peopie ask me, "What are you doing
about du Pont?"
"W-hat do-you
Do

find

we

'

think

forth?"

so

not

or

The

whothpr

wp

whether

we

for other areas
'

to Mr.
Christensen's
forecast,
he
said,
"we look for the large corporation
to

increase

industrial
"We

complex."
U

,11

will

g r e a

11

home

at

that

we

the

vested

with

However,
rection

faced

IITIT n

with

abroad."

Lest

however,

corporations.

Foreign
j

should

Harvard
narvara
ened

(Could IBM become
public interest?)

a

even

hoped

boys woum
ooys would

the

gazing to
nomic

Investments

have

broadoroau

their

abroad

crystal

as

well

e_

nities
vides.

for
I

service which
interested

am

it

pro-

in

this

«+

/ill VtHAVl /ll

of

Aft

/MMdAVTI 1 VI IT I

currencies,

tAI*

An

opportunities

for

investments

in
other countries
have broadened, and companies
whose names we have difficulty
in pronouncing are now popping
up

of

in portfolios.. The probability
rapid growth rates, the

more

enticement of lower price earnings ratios, and in many cases the

rope as well as other parts of the
world At the travel speeds vis-

Trust

too long before we will be
Association
on
a
sampling basis able to obtain delivery from a
indicated" th at the worth of secu- Parisian department store as
rities held fn trus/accounts ad- quickly as we might from Macy's
vanced to more than $57 billion and the problem of replacement
German manufacin
1959.
With 65%
of this sum Parts from a uermaii
invested

in

common

involve

"

stocks, I am

that

companies

even

if they

tried.

ARlH77

What About

To be sure, despite the develop-

Glamor Stocks

I should think that many of

points

ing
--on

we

have-just been discuss-

would also have a bearing
another of the questions which

arise in ..my discussions with people: "What are you

•constantly




of

trade

boundaries

the

concern'

combination

a

of

labor turnover, it is obvious that
in

hut?ine<?9

our

where

the

eon

t

,

h

npr«?onal

c^ffle^s_aiId Jthe.re n?^a

D.roblems of human relations

caTstand

vi

J.

investment■ resmts, aitd-w

Portunities for gain would exceed;

y

those expected

®

nrobabi itv

P

.

If

'

aiffimiH

such

"ed To
to

tr,

a

establish

_

other sections of

in

jwll^. ^ portfolio;
£2?^! ;'kWier degree

subjec-

ughest levels

T

7? gI.?+ so.clf1 Patterns, popuia
hon shifts, international developet
A
thp
ri«?k
in
thi«s
eic- as tne nsK in tnis
type of ^vestment may be greater
and mistakes more costly, it
would be expected that the op-

our business, wnere ine con- ments
fidence factor is such a valued mems»

mathematical

house
it
if

,.,

1

of

Because

the

uncertainty,

of

however, it might be.
the amount of such issues

to

a

Tck\fcZTTthe ^

establish
u-u

,

with

us

ments
,

-mds

some

f

ot

.

,

risks>
of

proper

areas,

political
to remain

likely
time, apd invest-

will

abroad

problems
and

are

for

distribution

sucn
such

to

+

T"1

carry

special

Morpovpr

Moreover»

'

thp

out

combat

war

of

inventories,
oe used
be usea
probabilities m

approacn
approach

an

work

the

can

problems

it is not

—

A7ch°to^beTieve that*

where

along
O

line

the

some-

such

tech-

niques might be used to advan¬
tage in investment programming
Certainly, judgment and even
hunches will aiwd^s have a
a uiiciies
will
always iiovc a

I

but

should

be

place;
surprised, if as
jjiat-c,

did not make
important strides towards raising
time'-gOGS

On,

We

probability factor as a con¬
sequence
of the application
of
new

mathematical concepts to the

sejecH0n of the broad
economy

to

^

investment,

for

selection

the

areas

of

such

cbines

that

questions

not

we can

Horacej

with

appears

good

which

purpose

as

a

Preface to
machines^ha^answer^ques- p?Pface to the thi» ePdition
th| third edition
canndt make^ ma- "gecuritv

1:1 pns'

be

J

would

lil

ask

found.
X

UnTes's

them.

asked,

are

like

question:

answers

Analvsis"

ask

"Many shall be restored that
now

fall

shall

in

honor."
Poetica

now

are

»An address by Mr

inve^maedndtr<

aUyone IS welcomed to my own winter
Trust

ideas

fallen and may

are

that

—Horace—Ars

investment policy

arR_iwf^
be 7°^ow-ng«
of this discussion?
aSaln thFe ls,n0 0I\e a"swer, but

bv

"Security Analysis" by

some
another

still

of
of
Graham
Graham

and ^odd-

Perhaps

^

to

what

will

light

^

session

Woolley before the
the

of

mid-

42nd

trust conference sponsored by the
Division

~

of

the

American

Association, New York

as

well

individual

of

Investment
As

*

Bankers

»- -«

City.

general framework for
-

inirpctmpnf

Many Hands in the Pot
think
imnK

I
1

the
me

keeP m mlnd that
peoples'

common

renort
report

on
on

r»r»li/*i7

of

?n

us

The

fjeld
to

the

effect

^

in

that

test;ed

"feeling"
right

results

or

based

concepts
bn

the

was

field

nt

of

relations, objective studies

scientifically
and

fnveS

the

gist of this article

as

collected
will

replace

"sense" of
ethical

on

they

are

data
a

what is
moral

or

instilled

in

individual through his lifetime

of experience.
littiP

This

far-fetched

for

mav
a

seem

a

discussion

have

of

accomplishing

things

in

our
nf

mvest- X

funds

and

TJ

XV*

1~JX. U \j LIO

in

opinion,
not

ab-

Under the circumstances,

and bearingin mind the probabil-

UI11 06 VjUIIipcUl.y
,

CINNAT!I, Ohio

the
—

large

corporation

m
—

,

_

Herbert R.

51?!18 !?as become associated with
P°hi « Company, Inc., Dixie
.

Terminal

Building.

Mr.

Dittus,

who has been in. the investment
business

for

n««yyea«.

>ty of the increasing domination '0™Ty & an

of
-

VV iUll

(^rkTYiTiO"nT7

the

stocks necessarily entails

my

XI
H«

should

While

these

risks,» these risks, in

solute.

we

we are

savings.

relative

HUm^RelS^^

*i«!f

investment policy, first of

investment

Finallv
finally,

Selection Philosophy

a^ ^ seems to me that
ing

jssues>

a
.

ncf

of the

little tar tetcnea tor a aiscussion
analysis, selection, of this kind, but the only way we

supervision

li the authoi pointed out
make

our

^human

than sending to Detroit for a tiew
radiator for your 1960 Ford.
ment

;

a

■

be

'

corporate trustees could
not escape investing in the major

sure

eirls

t

u

uncertainty

ualized for the future, it will not

"

and

from scientific discoveries

,

mto the leading countries of Eu-

'

of

.

companies will be the backbone of
trust
investments.
The national

by the

^

?ta™y\™ese under
Problems concerndecislon

.

efficiency of all new Plants
tbe end
^ the war have been
all know responsible for the shift of funds

conducted

think

discussion of this kind, and I real- ™a®sl Percentagei 01 tne common
C°mm°n
Societv " which is given in their R
that I have left manv one«;tion<;
of the fund,
Ducieiy,
wmwi ^.g^aiin uieu fhe mogt likely spot on which to ize ttatjtave -left many questions stock section eonsMerfltinns based
hkel
g
t Qn whlch to ize mai i nave lett many questions
|?e
acc(Hmt considerations.
Advanced Management Program,
drill an oil well; if such an ap- unanswered.A short time ago I
In conclusion, we might all do
mucb
stress
is
laid
upon
the
proach can be used to determine JJas reading
a book vp-,rc» Tr! well to bear in mind the following
by Reuel
w
<<T|.P
r.roat:t7„
shrinking world and the opportuthe best probable pattern of ware- Howe,
The CreatiTO Yrars
In quotatlon frQm

without such di-

Division of the American Bankers

a

,ng

"Business in World

Mr. Christensen, we
that the securities of large basic

survey

The

manner

•

^^'thTseWoWems

"Rnainpcc in "Wnrld

signals as those given us

by

commonly

as

My reCollection is that

pAiirco

cour

th

u

political and eco-

cover

trends

home.

of

scope

the

that

have
nave

h

are being paraded before us; and
whiie we do eet a chance to make

wnue we d0 §et a cnance to make
some comparisons the number of
choices is tremendous. I am not a

cnan8es-

With the increasing convertibility

/I

-C

our

there was
prophecy to the effect
foresee a great increase
number
of
quasi-public

another

in

and

op-

busi-

in

intensified competition

y

forget,

we

»

be

the

He also said,

dominance

its

companies

to

/u

principally because of another of
the areas of probability which we
should touch upon in this paper.

expect that American

nessmen

both

back

think

will

you

ale^t

IUUiL, r.1T

changes

at

ami

we

In our investment world, we are human relations problems as be"g
ec' but they may
^n our invesimeni woria, we are ]'7ThTefln^Vhe^^v^of als0 out o£ fr0m such factors as
arise
w/u constantly making decisions in }nf cosily cnietly in the way of ci>aneinff social natterns nonnla-

lu"ure

portUnities created by the coming

in
in +Vioir
their

Knif

those

most

are

.?•

of these

bolt" and

A

*

bnghtest for
,

wnetner
whether

should be looking
of investment."
If

be

\

•

u

purpose

believe such issues have

we

'shot their

u

ascertain

is to

questions

and

Kodak

Eastman

about

executive of his institution.
While

....

.

distributed" and""the"~future "will

seem

most
most frenuentlv when
irequenuy wnen

iin

onine
come

no
no

by

problems
to
to

areas

as

are
aie

other means
..

Co.,

the,tteuscn
—

thereto

of

Edw

economic complex, it jvould^seem
me that the backbone of our

olllcer
Inc.

G

ot

Tavlor

was

*ox'

prior

and

&

•

Co

•>

cPmRfl?n
^rus^ accounts
should and will be made up of
the securities of our basic companies. Inasmuch as future price
enhancement is likely to be based
more upon earnings growth than

^
„/
NEWARK, N. J.—Henry Warner,
Manager of the 11 Commerce St.
office of Hirsch & Co., members
cf the New York Stock Exchange,

upon stl11 hlghe^ price eami,1?s

jounced that Jay H. Tabatch-

ratios>

the selection of the basic

Will* WivcrK & Cn

mck

is

now

associated

with that

stocks wiH be increasingly im- office as a registered representa^
portant; and in our work at the tive. r
j

'•V
+

*

32

(1204)

The Commercial and

Financial Chronicle

.

.

.

Thursday, March 16, 1961

I
duction

STATE OF TRADE AND INDUSTRY

»■

b

American

Continued from page

7

i>

ing

to

if

minimum.

tinplate

+*

t.
market

if
>»

over-all

ing,

.

optimism,

there

some

is

IV

transportation industry have also
risen. And stepped up ordering is

reported from makers of air con-

gram at South Bend,

period

+

March, although the first
barely held to February

week

ii-

levels.
wire

H»V

coming
alive
has
surprised

Bookings

*>

tnat

are

has

boosted

capacity.
suited

•ii

This,

in

a

^jtioners

producers.
in at a rate
special

some

to

nearly full
turn, has re-

m

sPlte °* ^he over-all market

n

mism

be

can

full-blown °Pti-

no

reflected

while

automotive steel market

li

time.

mg

fi

:*«;

•

in

4\

terms

of

400 000

This will

it

»■.'

market

A*
li'*4

offs

'

and

and

improve

aim

lay-

assembly

in

hopes of

any

April.

in

As

>!■

Demand

Threshold

1

|!i ^

old of

-phe

+

1 <w

ju
!)

1>580)000 tons
Production
n

f°rf

•i

will be the

highest for any month

(about 7 million tons)
if the present pace is maintained.

fjv

Output

I

+

to

■

; l»

this

equal

Steel

the

poured

in

tons

the

the

week

ended

»

with

by

March

•

k

=:=i„dex of ingot

'

'

market

scrap

continues

No.

.'V

$1

I*.;

1

to

since

+:
>•

heavy melting
$36.67

a

Steel

»v

rose

ton,

highest

analysts

expect

gross

February, 1960.
market

operations to

\i*

grade

56%

lntltirafiwd 1961 c.®PaeitJ thj?

+
-#

in

it'

Mav
•

j

'<•

■.4

u

ji

eF +1?4.

,

&

}?

v,

!«:
nppk

h

peak if

j »*.
«*!•

n/w
new

car

co?
sales

Sf boomstart ^lgher
f

"~^"ex

<0

90
93
86
102

*3'v

hj#

1+
t'#

i*

new

-r

wire mesh.

.a

losses in
to

*«,

flat

rolled

automotive

-

ers

are

curtailments.

f.-

equipment buildoptimistic. Some compa-

nies report January and
orders as good. Others

'*<•

|

I'M-

%

|/*t

of

an

sales

upgrade, Steel
the
purchases
consumption.

.

'J,
•

V

see

are

reports.

.

are

IU'i
.

|t*.
:

<*>

|ii
<

for

i.tk

'

;
"

of

current
.

The strongest business
improvement is reported by some of
the

independent, distributors and
ricators.

One

ti
•

the

on

Most

#

Ml

sign?

upturn this spring.

Aluminum

><

fc'f!

February

company

says

fab-

Feb-

Another

fected by

industry..

week-long
to

restrict

Automotive

statistical
11

car

U.

production

car

of

idled,

16

ef-

maker

S.

pas-

Reports

said,

as-

output

car

down to

17,000

for

91,378 from

Ward's said that the pace of
aut0 making was 34.7% below the

only slightly more than 1% above
production
in
the
comparable
week of recessionary 1958.
J

The most drastic cutback of the

Buick,

Oldsmobile

Pontiac divisions

at

standstill,

Chevrolet

and

as

a

mr
-n




similar

previous

Down

From

High

feet

totaled

in

the

in

the

196,044,000

week

to

in

318

nine

in

the

above

week

a

succumbed

nesses

the

and

ago

year

busi¬

more

in

than

the

when 286 occurred.

Failures with liabilities of $5,000
or
more
fell to 287 from 370 in

previous week

than

continued

but

the

260

There

year.

was

of

this

size

a

preceding

oi Dodge, Plymouth and Imperial
car making, will idle 11,500, some
7,000 in the Detroit area. Ford
will'"close down car and truck

3.5% Ahead of

truck

week

ended

of

of

4,

the

correspond¬

nounced. Truck tonnage was 8.8%

than

greater

the

volume

previous week of this
Observance

Birthday

of

of

1960,

Shipments

contributed

the

the

since

ended

Nov.

of

the

week

survey

of 34 metropolitan

conducted

by the ATA De¬
partment of Research and Trans¬
port Economics. The report re¬
areas

flects
than

tonnage
carriers

mon

handled

at

truck terminals

400

of

Freight

Car

Below

Loading
the

of

week

totaled
tion

general

56,878

cars

or

and

up

1961

in

nation
zard.

Considerable
year-to-year
gains occurred in sales of apparel,

furniture,
draperies,

fractional

a

in

the

new

more

•

The

total

dollar

volume

a

according to spot

year ago,

estimates

collected

Bradstreet,

Inc.

by

Dun

Regional

North

Central

+12

+16;
North
Central
+11
+15; New England +8 to +12;

West

South

Central

14

the

was

far this year.

It

cific

Coast
to

to

—2

+i.

+2; Mountain

++;++5+/

Nationwide Department Store

&

26%

up

From

1960 Week

store

Department

Food

lowest

was

3.0%

higher than the year ago $5.91.
Higher in wholesale price this

sales

country-wide basis

as

for the week ended March

showed

11%

gain

week

&

Bradstreet,

the

sum

pound

of

Price
total

31

Index
of

raw

the

function

is

index.

price

foodstuffs

and meats in general use.

cost-of-living

Inc.
rep¬

It is not

Its

chief

show the general
prices at the whole¬

increase of
the four

For

4, 1961,

10%

a

reported.

According to the Federal Re¬
System, department store

and

Commodities

above

For the

year.

reported.

was

rants

lambs.

period last

weeks ended March

oats,
butter, cheese, cottonseed oil, co¬
coa,
eggs, potatoes, raisins,
cur¬
rye,

a

4, 1961,

increase of 26%

an

was

were

corn,

on

taken from

the Federal Reserve Board's index

week

wheat,

to

+3

4-7; East South Central and Pa¬

we°k ended Feb. 25, an

Food

to

Rises

by Dun

March

which

Dun

-f-20 to

4-24; South Atlantic H-15 to +19;
East

ear¬

The

&

esti¬

mates varied from the comparable
1960 levels by the following per¬

the like

so

re¬

Wednesday was 10 to 14% higher
than

rose

$6.07,

level

of

tail trade in the week ended this

it

On

ago.

and

passenger cars,

to $6.09 from the week

0.3%

serve

sales

in

New

York

City

ended

March

39%

increase

over

riod

last

the

same

the

a

pe¬

preceding

ended Feb. 25 sales showed

week

increase of 17%

an

the

In

year.

for

showed

4

week in

reported
while

a

above

Jan.

decrease

from the

same

1960. For the four weeks

ended March 4

1

15% increase

the

to

1960

March

was

period,
4

a

1%

occurred.

to

trend of food

sale

coverings,
and
moderate
prevailed in major ap¬

pliances,

increase

Wholesale

Index, compiled

year

a

floor
while

linens.

Four Weeks

weeks, and it was uo mod¬
erately from the comparable date

per

perked up in house¬
Over-all retail trade

noticeably over the simi¬
week, when much of the
suffered through a
bliz¬

2C5.743

level.

Up to Highest Level in
Over

Eight Months

Reflecting higher prices

NABW Adds 53

grains, coffee, butter, lambs, hides,
rubber and steel scrap, the Daily
Wholesale Commodity Price Index
rose

over

13

the
=

eight months.
Index

set

the

on

level

current

ago.

the

100),

270.17
on

Women
bers

has

from

added

22

53

states

new

mem¬

according

to

an
announcement by Kathryn E.
Weiland, membership chairman.

this week to the highest level

in

32

New Members
The National Association of Bank

on some

a

week

hit

On

271.01

highest
July 1,

March

1960.
and

corresponding date

the

The

compared
earlier

Merrill

(1930-

since

with
272.51
a

year

Lynch Branch

PALO ALTO, Cal.—Merrill

Lynch,

Pierce, Fenner & Smith Incorpo¬
rated has opened a branch office
at

578

the

University

management

Avenue
of

under

Arthur

G.

Latimer.

.

com¬

freight

YOUR PRIME SOURCE FOR

1960

Week

freight in
4, 1961,
the Associa¬

revenue

March

cars,

American

This

198,352

was

sales

Loadings Down

Same

ended

501,121

of

nounced.

228,349

in four

lier

many

more

of

throughout the country.

10.2%

I960

236,643

181,321

Bradstreet, Inc., the first increase

a

also

goods.

v/as

lar

Mar. 5

I {>(> 1

Food Price Index

week

271.39

5.

These findings are based on the

weekly

Feb. 35

Wholesale Commodity Price Index

year.

week-to-week

that

hold

Sales

There

Washington

nevertheless, this
rise
is
larger than that found in the same
period in past years. Except for
year-to-year changes affected by
holidays, this week's increase is
first

interest

to

196,703

First Time

Price

in

Easter

the

for

gain;

the

the

-.230,162

Wholesale

this

weather

extensive

promotions encouraged consumer
buying of apparel this week and

—3

by many busi¬
the earlier week

to

for

—194,684

_

orders

holiday

during

nesses

feet

I {Mil

For

and

West

Mar. 4

resents

in the
was
3.5%

tonnage

March

that

board

in

196,044

„

Wholesale

Week

was

Railroads
a

10.2%

all

an¬

decrease

NEW

of

the

below

corresponding week in 1960, and
a decrease of 94,354 cars or 15.8%
below the corresponding week in
1959.

4

BOUGHT

Loadings in the week of March
were
32,639 cars or 7% above

124 cars or 1.2% above the cor¬
responding week of I960 and an.

-

SOLD

-

QUOTED

for Banks, Brokers, Institutions

the

preceding holiday week.
sites at St. Paul and Chicago, and
There were 10,123 cars reported,
another truck plant at San Jose,: loaded
with one or more revenue
Calif., laying off 3,300 workers,
highway trailers or highway con¬
Ward's warned that as a result tainers (piggyback) in the week
of the extensive adjustments, next ended Feb.
25, 1961 (which were
week's output would
probably not included in that week's over-all
halve. the 145,852 units produced
total): "This was an increase of
week

of

figures

quoted lower
were
flour, beef,
hams, lard, sugar, steers and hogs.

week.

1960

the

are

indicated:

Production

the

in

290

Favorable
areas

centages: Middle Atlantic

thousands

they

weeks,

comparable pre-war week of 1939

and
sus-

Chrysler Corp., closing down
six of seven plants in suspension

shme

was

New

Encourage

ended

March 4, compared with 196,703,000 board feet in the prior week,

weeks

sharply

in 1959. Some 11%

311

complete

^ends ?Perations at St. Louis and
^an.esvd^e Wis., some 50,000 Gen-

the

N1

remained

level for the period, and

year-ago

lyrr!Fgh"
The

actiye buyer of alumi-

lowest .level

Intercity
average

92,024 in the previous week.

the

production

States

board

according to reports from regional

high of 408 in the preceding week,
reported Dun & Bradstreet, Inc.
Although casualties were at the

this week,

affecting

was

could drop

most

dropped

Same

agency said that
Ford
Motor
Co.

workers,

the week

in

14.7%

Promotions

Consumer Buying

increases

Commercial and industrial fail¬
ures

84.4

layoff

Big Three

a

continued

With

Were

associations. A year ago the figure

the

of

_

ruary sales set an all-time month-

-

that

Postwar

T7T

Motors anc* Fisher Body emoffsetting P.loyefs will stay home for the
products due ^,ve"^ay period,

Construction

'M

■'#<

-

"United

Intercity Truck Tonnage for Mar. 4

raakers with broad product diversification are more than

'ti

|it« I

-

Thanks to the upturn in demand
for
construction material,
steel-

v

I'iil

'

corre¬

1959.

Electric

BlS Three Car Makers Continue ing week of 1960, the American
Trucking Associations, Inc., an¬
Curb Auto Production

plants

51

127,000,000

Edison
was

Failures

ahead

with

in

Shipments

Following

the

103

m

The

and 45 in the

year ago

Lumber

energy

concerns had liabilities in ex¬
cess
of $100,000 as against 51 in

orders for steel

dering bigger tonnages of plates,
shapes, reinforcing bars, pipe, and

electric

ing

91

...

of

Ward's

with

compared

Below 1960 Volume

slight dip
among small casualties, those in¬
volving losses under $5,000, to 31
from 38. Forty-four of the fail¬

however, will take place
re.xt week> the reporting service
Already contributing seasonally ??uld' a,s General Motors, Ford and
to a stronger steel demand is the Ckrysler wlU a11 institute layoffs,
construction industry. Contractors
a^eci;ing' well upwards of 60,000
and structural fabricators are orworkers.
quickly into

•

56

were

11.9%.

Business

last

6i
—

production based on
weekly production for 1957-59.

ing. Any decision to step up car
production
will
be
translated

|»*

railroad

week

Lumber

the electric

the

Week Was

sembly
about

average

to

above

higher

79

!—

Western

bullish. Steel's composite price on

A

corresponding

There

S.

kwh.
and 27,000,000 kwh., or 0.2%, be¬
low that of the comparable 1960

the

87

T*1

.

Pittsburgh

senger

<»>

=

concludes

ar*

that

industry

11.

The

<1

expected

1,580,000

estimates

March

is

week

.'ft

'

through
15,141,000

\yeek Ending

would

one

Week

the week ended March 9 from the

since June

I

■■if

:

to

Cleveland

ingot production in March

of

by

Output

ending

year

0 0WS'

Total

Steel

1960

Production for

orders.

+f:

•

as

'

inventories

stretchout

1.3%.

week's total of 14,226,000,000

on

Production

^outhern

; f»

-

this

amounted

Detroit
Chicago
Cincinnati
St. Louis

The

the

1959.

U.

I

current

report-

week

the thresh-

their

in

236,643,000 board feet.
Compared with 1960 levels, out¬
put
declined
17.2%,
shipments
dropped 14.7%
and orders rose

kwh.

(*84.8%).

jnstitute

bare minimum.

a

in

amount

Institute.

for

tons (*8i.3%)
or 43.8% below the
26,919,000 tons (*144.5%) in the
period through March 11, 1960.

influence buyers to add to inventories. Result:
A snowballing
of

tr>

| '»

of

Youngstown

indicates

above

class

Output 0.2% Lower

according

{*8±A%), previous week's output

deliveries.

■

|)+

;

for

of
buying
for
consumption
could
put
enough of a load on mills so they
would be unable to give prompt

)'

1

based

production

method

Production

are

down to

as

March 11, 1961, was 1,573,000 tons

Resumption

uVV

I

production

revised

'

for

light
and power industry for the week
ended Saturday,
March 11, was
estimated at 14,353,000,000 kwh.,

ing presents the following data:

current

I'll
En

•

0f

weekly

North East Coast—

are

The

1957.59

That

:

47.2%

week.

jndex

average

March

output,

61.4%,

Than

distributed

percentage of the industry's operating rate based on the Jan. 1,
over-all productive capacity,
jnstead, and effective Jan. 1, 1961,
d-,e outpUt figures are given as

cI

took

accounted

<

no

jonger relates production totals

an

week's

Electric

a

increasingly emphasizing they want immediate delivery when they
place orders.

l£
iv;

:

formula

a

Users

)

revised

buildup, Steel, the metalworking magazine, reported.

.

one

sponding week

the

materially changed its weekly
on the steel industry oper-

ations<

aluminum,

on

of

(see

rtport

Buildup

a

steel,

and ether metals is

I +

|i

of

nine-tenths

or

below the corresponding
period of 1960, but 25,377 cars or

General
Ford Motor
15%, Chrysler
14.9%, American Motors 7.4% and

Co.

11

26 of our issue Dec. 22)

page

^ldf*

on

the

Ind.

cars

systems
originating this type traffic in the

American Iron and Steel Institute

_

Metals Is

for

Demand

■

■

"" '

.

for

Of

the

for

announced

previously

««? i-

>*'

at

Studebaker-Packard

the

result

Current

shutdowns

pickup

March.

in

actually could

setbacks.

plants tend to
a

cars

do little to

further

in

»*

a

change in plans. But right
the industry is thinking in

a

now

H
if

for

heating

Week Ended March

weather sales rush to result

warm

#>;.

y*

hoping

are

baseboard

and

the

to

Motors

..

Automakers

>l"

mark-

is

Sales

steel Production Data

the

*

•

building

the

units

|ias

pace

surge on rod producers.

a

improvement,

"(•

note

at

coming

product mills

wire

.

Midwest

is

that

■W

Another

is

industry.

Easter

first

750

gam in

are

piggyback loadings
eight weeks of 1961
79,119 for a decrease of

the

totaled

per cent

not deteriorating.
Midwest,
steel
warehoping for a 10 to 15%

the

houses

4\

■

,

j

Motors

Corp.
last
a five-day sched¬
Kenosha, Wis., and Studebaker-Packard Corp. maintained
a Tuesday - through Friday pro¬

products

least

at

or

In

4

'

..

evidence that the market is firm¬

4
«»

4

j

aut+om®tl1v® ?tef
to
hold
back

+•

continues

Cumulative
for

ule

today

num

bare

a

.

'u

i+u

a

Jtk

stocks

down¬

week completed

■it

r>-

for

headed

seem

revisions.

ward

cane

+?++• '++7,

39 Broadway^New York 6, N

.

Y.

..'+:\+'

,

as

much

as

20% below

period of 1958. Earlier
puojections of total > March prosame

increase

-

of

3,223

cars

or

4;---.+./

Dlgby 4-2370 T+: Teletype.No. N.Y?U5237

*

'"

■

«

'

above the

1959 week.

•

>

+$

46.7%
•'

LY

•"

C1

^

>Y*

Volume

•

193

-

Number 6038

The

Commercial and Financial

Chronicle

(1205)

33

mm

it INDICATES

in
• Alaska-North America

increasingly difficult
with a high degree of
the

in

index

and

in

end non-diversified investment
company.
investment. Office—1511 K. St., N.
W.,

the

March

Proceeds—For

accompanying detailed

Dec.

offering dates.

common

•

Nytronics,
;

and

mon

unit.

share

one

of

preferred stock.

lighting

to

systems,'1

'

Bagley Avenue,

•

Acme

Jan.

Construction

Corp.

O.

construction

—

N. Y.

Underwriter—G. H.

(3/27-31)

and

installation

15,

1961

St.,
Co., Inc., New

&

thereof.

Business

Price
The

—

—

To

be

supplied

manufacture

North

43

offered

in

shares,

ital.

debt

and

over

one

Feb.

&

Motti,

Inc.)

$700,000

Common

;

Co.,

Inc.)

&

$280,000

Inc.)

Co.,

$300,000

Inc

Common

benson

A.

&

(Ira

Personal

&

Inc.)

Co.,

$450,000

Wanuerer,

Inc.)

.Units

,

...

$200,000

Inc.

Common

underwriting)

$555,000

Haupt

Co.)

&

$20,000,000

Property Leasing Co
(Dempsey-Tegeler

(William

$975,000

Corp. of Delaware

David

&

Motti,

(Brand,

Shinn

appliance dealers throughout the
Proceeds—For the repayment of

Grumet

&

Inc.)

Common

$400,000

Class A

Seigel,

$480,000

Inc.)

Industries Inc
(Myron

Common

Lomasney

A.

Co.)

&

$900,000

Shoup Voting Machine Corp

Common

liO.OOO shares

(Burnham <& Co.)

Techmation

'

Corp.

IFirst

^

Capital

Co.)

&

Roblin-Seaway Industries, Inc

•

•

,

*

.

Common

.Philadelphia

Van Dusen Aircraft

Corp.)

$175,000

Supplies, Inc

Common

23,

Industries, Inc.

(letter of notification) 70,000 shares of
(par 10 cents). Price—$4 per share. Pro¬
ceeds—To repay a bank loan, retire a chattel
mortgage
and

1961

&

Steen

(W.

—

Terre

Haute, Ind. Underwriter
Indianapolis, Ind.

—

3,

(A.

Simplex

common

Electronics, Inc.

stock

Price—At face value.

products

Inc.)

^

%

$4,000,000^

shares."..;

v

t/i/.i

Units

Corp
Sons)

&

$3,500,000

Common

Corp.
Co.

&

(Bids

Office—28 S. 8th St.,
City Securities Corp.,

U.

S.

and

Pizzini

W.

B.

11

Co.—Debens.

$70,000,000

EST)

a.m.

$300,000

Co.)

&

"

Common

Components, Inc.
Perin

(Artien

22

Inc.)

Co.,

&

$300,000

(Wednesday)

Atlantic City Electric Co
(Bids

11

(Dillon,

Bonds
$10,000,000

EST)

a.m.

Public

Southwestern

increasing inventory, development of new
working capital. Office — 41. Edgewood
Ave.,,Jacksonville, Fla.'Underwriter—Darius Inc., New

20, 1961 filed 160,000 shares of common stock, hf
which 110,000 shares will be offered for the account of
the-issuing company and 50,000 shares, representing out¬

Co.,

500.000

Co.)

Edwards

G.

Plohn

ceeds—For

Feb.

&

Southern Bell Telephone & Telegraph

150,000 shares of
Price—$2 per share. Pre-

(par 10 cents).

&

Asbestos

Lock

(Cnarles

Retro-Products, Inc.
(letter of notification)

1961

Debentures^'

Kalman

#

Lake

March

Allied
Feb.

and

Co.

(Drexel

Jefferson

Acceptance Co.

inations of $1,000 and $500 each.
For working capital.

Proceeds

&

*

(letter of notification) $200,000 of 6% sink¬
ing fund debentures, 1975 series to be offered in denom¬

phia, Pa., and New Haven, Conn.; lease and equip a large
garage in New York City and lease additional trucks.
Office—1616 Northern Boulevard, Manhasset, N. Y. Un¬
derwriter—Hill/Darlington & Grimm, New York City
(managing).
.V/-'/

Hutton

E.

Greenfield Real Estate Investment Trust—Ben. Int. .4

Jan. 17, 1961

year.

(Tuesday)
Laboratory, Inc

Economics

for

Allen

21

March

stock

working capital. Address—Miami, Fla. Under¬
writer—Robert L. Ferman & Co., Inc., Miami, Fla.

Proceeds—To repay loans; open new offices in Philadel¬

Adfer

Common
&

Common

(No

for

it All-Tech

Leasing System Inc. (3/17-21)
Jan. 19, 1961 filed 100,000 shares'tfof class A
stock, of
which 75,000 are to be offered for public sale
by the
company and 25,000 shares, being outstanding stock, by
the present holders thereof. Price—$10 per share. Busi¬
ness—The company is engaged in the business of leasing
of

$300,000

(Stroud & Co.) $300,000

common

periods

Cortlandt

Co.;

Co.)

Municipal Investment Trust Fund, Series A__Units

working capital. Office—71 West Merrick
Blvd., Valley Stream, N. Y. Underwriter—Mortimer B.
Burnside & Co., Inc.

A-Drive Auto

for

area.

&

&

Corp

Electronics,

the
cap¬

'

and

City

Kirsch

Planning Corp

per

furniture

$140,000

Crandall

Bruce

(Espy

Credit Corp.
(4/20)
21, 1961 filed 200,000 shares of class A stock. Price

York

Co.)

M.

Skyways,

All-State

New

>

shares

Corp.

Minitone

Office—2525

from

172,500

B.

David

Southern

vC.

share. Business—A sales finance company, spe¬
cializing in the purchase of conditional sales contracts

—

trucks

working

—$5

share. Price—To be supplied by amend¬

and

particularly in

additional

Inc.)

T.

H.

Renwell Electronics

•

For salaries of additional
personnel,
liquidation of debt, research, and the balance for work¬
ing capital. Office—551 W. 22nd Street, New York City.
Underwriter—Robert Edelstein Co., Inc., New York City.

automobiles

Proceeds—For

.Common
:

.Common

&

Copter

of

Feb.

unit to consist of two common
series I 5-year purchase warrant, and one
5-year series II warrant. Warrants are exercisable ini¬
per

toiletry preparations,

field.

Co.,

Income

Armitage Ave., Melrose Park, 111. Un¬
& Co., New York
City (managing).
Offering—Expected in early April.

units, each

Proceeds

and

(Richard

by

sale

&

Co.;

&

Co.

(William,

derwriter—Shields

one

tially at $2

and

care

and

■

v

>

*

$300,000 *

Dynamics, Inc

filed

holders

cosmetic

hair

•

:* ;V;t

Walker

Bristol

Colber

amendment.

missile

of

Walker

Rindly

Investing

Summit

♦

•

•

-

Astronautics, IncClass A

(toward

Claude

present

ACR Electronics Corp.
(4/17-21)
Sept. 28, 1960 filed 150,000 sriaiea ui common stock,
75,000 series I common stock purchase warrants, and
75,000 series II common stock purchase warrants, to be

\

Office—931

$500,000

Common

icooley

155,000 shares of common stock, of
25,000 shares are to be offered for public sale
by the company and 130,000 outstanding shares by the

Underwriter—None.

•

sales.

inc.)

Electronics, Inc..

Benbow

which

Proceeds—To selling stockholders.
Village Avenue, Rockville Centre,

Office

•

credit

—

Business—The

•

future

$300,000

Inc.__

H.

(Gi

Beau

stock. Price

City (managing).

Feb.

launching platforms.

ment.

(3/20-21)
common

Co.,

&

won■ Associates)

(blaha

1961 filed 30,000 outstanding shares of class A
stock.
Price
To be supplied by amendment.

6,

common

Homes,

Alberto-Culver Co.

Underwriter—Ralph B.
Sons, Inc., New York City (managing).
&

finance

York

Seattle, Wash.

Missiles

Inc.

$1,000,000

me.)

——Capital

Fox

(Lewis

be

Niles

tile hangers, metal tiles and other
types of
acoustical ceiling systems. Proceeds—For the
repayment
of loans and general corporate purposes.
Office — 3425
acoustical

Leonard &

Homes,

Class A
Common

Co.,

(Monday)
Industries, Inc..—___

Air-X

supplied by amendment. Business—The sale of
pre-cut packaged home building materials. Proceeds—
To be used by the company's
wholly-owned subsidiary

company is engaged in the
sale of fluorescent

and

Albee

—To

Price—$15 per
design,

Business—The

manufacture

•

<to

March 20

Albee

Jan. 24, 1961 filed 172,500 shares of

Grimm)

____

(Norton,

be named.

Accesso

Corp. (4/3-7)
Jan. 30, 1961 filed 40,0i00 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¬

Inc.

''"//■

(par $1).

Alaska. Underwriter—To

&

Burster

(Amber,

Creamery Products, Inc.
1960 (letter of notification)

stock

Darlington

Hydro-Electronics Corp.___

Alaska

19,

1

(Friday)

(Hill,

130,000 shares of
Price—$2 per share. Proceeds
—To purcnase
equipment, and other necessary materials
for distribution of dairy products.
Address—Anchorage,

\

17

A-Drive Auto Leasing System, Inc

Washington, D. C.
Underwriter—Balogh & Co., Inc., Washington 5, D. C.

items reflect the expectations of the
underwriter
but are not, in general, to be considered
as firm

ISSUE

NEW ISSUE CALENDAR

10, 1961 filed 250,000 shares of common stock
(par 25 cents). Price—$6 per share. Business—A closed-

predict offering dates
accuracy. The dates shown

REVISED

Investment Co.

Iviarcn

to

PREVIOUS

ITEMS

•

NOTE—Because of the large number of issues
awaiting processing by the SEC, it is becoming

ADDITIONS

SINCE

Service

Read

&

Bonds

Co
$15,000,000

Co.)

Preferred

Southwestern Public Service Co

and

(Dillon,

York, N, Y. Offering—Imminent.
/ ''V'//;/
•••:-*..
standing stock, twill he offered for the account of the
present holders thereof.-;; Price — To be supplied./by
it American Copper Corp.
} :
amendment: Proceeds; % For working capital./Office—• .* March 2* 1961 (letter of notification) 100,000,000 shares
of common stock. Price—At par (10 cents per share).
New/ RQ^heiJe,"; N.:Y/ ~ ^Underwriter
Carl M. Loeb,
Rhoades
Co.;, "New.. York City, (managing).; Offerings : /Proceeds—For mining. Office—1600 S. 11th East, Salt
Lake City, Utah. Underwriter—None.
Expected in early ApriL

March

23

Read

120,000

Co.)

shares

(Thursday)

Alabama Power
•

&

Preferred

Co

(Bids

11

shares

80,000

EST)

a.m.

'

,

,

Alabama
"

.

/

Advanced

Management Corp.
Jan. 13,1961 filed 3.00,000 shares of common stock. Price
—$3.50 per share/ Business—The company was organr
ized in October, 1960 to operate an insurance home of¬
fice service and-management company with the related

Dec. 23, 1960
f

additional

two

common

warrants

to

discount of 25% from the offering price.

a

stock, each

purchase

■

Rector

Building,.; Little

t:>ZAir-X

Jan.

Rock,

,
,

Industries, Tnc>( 3/20-24)

Dec. 5, 1960 filed 960,000 shares of class

A common vot:ing stock (par $1) and 240,000 shares of class B non-1
voting common stock to be sold in uints, each unit to

•

(letter of notification) 100,000 shares oi .
common stock (par ,10 cents). Price—$3 per share.; Pro-*
ceeds—For purchase of machinery and equipment and;/
31,

1961

for furniture and fixtures

and leasehold

March

stock. Price—$25

B

For

improvements*

insurance

and

—

.

iv

Alabama Power Co.

Feb.

13,

1961

this

(3/23)

subsidiary

of

the

Southern

•

Co.,

'

filed

$13,000,000 of/ first mortgage bonds -due 1991
80,000 shares/of cumulative preferred stock (par
$100). Proceeds—For expansion. Office—600 North 18th

fi
•

common

Birmingham 2, Ala. Underwriters—To be deter¬
by competitive bidding.
Previous bidders on
.bonds included Blyth & Co., Inc., and Kidder, Peabody
.& Co.r.(jointly); Morgan. Stanley & Co.; First Boston
Corp.; Eastman Dillon, Union Securities & Co., Equi¬
table Securities Corp. and Drexel & Co. (jointly); Lehr

par

"* "(Drexel

V

(T.

American

Molded

Fiberglass Co.

(3/27)

;

.

.

.,

■:>■■■■---m

♦

jr 2:30 p.m. at the Chemical
•-10th floor.
.I.•' vvK/- - • v:


http://fraser.stlouisfed.org/
:f
Federal Reserve Bank of St. Louis

Bank

New
■

■

v

York
/-

■

Co.,

Trust
v

'

>

•

t.f

;.v

-v

v

Continued

on

$148,172

Common
$150,000

Corp.)

,

page

34

/

Lewis

&

Co.—___——Common

Stroud

Co.. and

&

Co.)

&

Corp.__—^..——Common

Electro Consolidated
>

Co., Inc. and

....--.Common

Inc. and Kesselman

& Co., Inc.)

$600,000

*

(L.

L.

Fsne

Co., Inc.)

&

Kings Electronics Co., Inc
Co.,

&

LyQn

(Ross,

$300,000

Common

—

Inc.)

$1,180,748

.Common

Lake Arrowhead Development Co
(Van Alstyne, Noel & Co. and Sutro & Co.)

Mansfield

Industries,

(McDonnell

Mohawk

F.

Food

Dowd

Common
Co.,

&

Inc.)

$900,000

--Common

Edelstein

Co.,

Inc.)

$400,000

Common

Developers Ltd.—
(David^Earnes

Publishers
(A'nos

Co.,

Treat

&

Co.,

&

Inc.)

$300,000

Common

Common

Inc.

and .^oth

Resitrion/Laboratories,
■

150,000/shares

Inc

Co„

(Russell

<

Common
150,000 shares

Inc.)

Marketers, Inc

.(Robert

Palm

$3,000,000

Inc
Co.,

Co

Insurance
(R.

National

&

&

•

.

--Common

Irvington Steel & Iron Works

/

/

$300,000

Corp.—

Grumet & Seigel,

(Brand,
.

*■

shares

100,000

Inc.j'Amos Treat- &

Co.,

Bruno-Lenchner,. Inc.)

(Burnham & Co.)

Brothers; Halsey, Stuart & Co. Inc.
Bids—To be
Dec./.27, 1960 ^(letter of notification) 37,043 shares of
up to;-11:00 a m/for the preferred stock and
common stock (par 40 cents). Price—$4 per share. Busi¬
up .to 12 noon for the bonds on March 23 at SouthernV
ness
Manufacturers'- of fiberglass / swimming pools,
Services, vine:,X Room • 1600, 250 Park Ave., New York
canoes and small trailer bodies and other custom molded
City. Information Meeting—Scheduled for March 20 at
/fiberglass products/Proceeds
For general corporate
received

-Common

Co

Presidential Realty Corp

man

%

W.

.

•

•

shares

30,000
Corp.).

Philadelphia

Dynamic Instrument

value.

Avenue, New ..York 16, < N. Y. Underwriter — Eastman
Dillon, Union Securities .& Co., New York City (man¬
aging).

Securities

Colonial Mortgage Service

Foundry Co.

held of record Feb. 28. Rights expire

Price—At

(

.

Third National Bank

Proceeds—To reduce
short-term loans and furnish additional working capital
for domestic and foreign expansion. Office—261 Madison

mined

'

16.

273,437 shares

Corp.)

Boston

Clifton. Precision Products Co.,, Inc.--—^/Common
/
s
(W. p.:, Laagley & to.
60,000 shares
.
,
v

.

17, 1961 filed $39,911,100 of 414% convertible sub¬
ordinated debentures being offered to common stock¬
holders on the basis of one $100 debenture for each 20

March

,St.,

•*>

&

..

Common

underwriting)

(First

Jan.

shares of

and

Machine

.

Automation Development, Inc..

>

American

..

./;>

$226,217

Corp.)

(Monday)

(No

,

.

:<,

27

lines of insurance. Proceeds—

capital and surplus. Office

_i..._Commoii
Securities

(Vestal

Bldg., Nashville, Tenn.
Underwriter—Standard Ameri¬
can
Securities, Inc., Nashville, Tenn.

including electrical plumbing and heating work.- Office
—1210 Randall: Avenue,* Bronx, N. Y.
Underwriter —
Lewis Wolf Associates, New York, N. Y..

•

-

.

American Molded Fiberglass

unit/ Business—The writing of

per

allied

.

shares

Acme Missiles & Construction Corp._____zC©mmoB
/

consist of 4 shares of class A stock and one share of class

.life

100,000

Telephone Corp

(The First

Price—$4 per

Business—The

.,

Underwriter—Adr

Ark.

share.

/

;

—Common
Co.)

&

(Friday)

(Karen

.Rochester

prospecting and exploration for
phosphate mineral resources in Israel. .Proceeds—For
pany will use the proceeds estimated at $851,895 as ar /general business purposes.
Office — 82 Beaver Street,
New York City.
reserve for the acquisition of interests in life insurance;
Underwriter—Casper Rogers Co., New
for furniture-and fixtures; for the establishment of a : York City (managing).
~
sa les organization arid for working capital.
Officer—The
American Educational Life Insurance Co.

secondary purpose of owning investments in entities engaged in the; insurance business. ^Proceeds—The com-

$13,000,000

EST)

noon

Allyn

Amity Corp.

two

shares in the next issue of shares, at

common

C.

24

.March

12

Co.-— -i—
(A.

;

——^Bonds

Co

(Bids

Thermogas

•r

filed 125,000 shares of

share of which carries

/

,

"•

America-Israel Phosphate Co.

Investment

Power

t(4y

& Co., Inc.) $2,200,000

Ltd—-—-----—Common

Saxe,

Inc.)

$200,000

u

>

....Common

White, Shield Corp.—
:'/'•■ (Adams & Peck) 50.000 shares

..Continued

on

page

34r

'\

.

Z

34

The Commercial and Financial Chronicle

(1206)

April 6

Continued from page 33
28

March
Beckman

stockholders—underwritten

to

Brothers)

Lehman

70,000

April
Dekcraft

Common

Corp

(Carter,

Common

Berlina,

29

March

Michigan
National

Common

Smith, Kline & French Laboratories
voiiiitn,

Co.,

&

barney

Inc.

200,000

J

(Friday)

Inter-Mountain
(Onenng

ll':

Boston
l,
''

;

New

i
—:_Common

Telephone Co

stockholders—underwritten by Courts

to

April

Corp.)

(Ralpn

B.

<te

Inc.)

»ons,

$600,000

Draper,

Dynatronics,

>v,

Sears

Co.)

&

Home Lab

I

&

Inc.)

North

T

American
Forgan

(Glore,

■»?l.

&

&

»j
♦>;

Packard

•4|

Co.

Smi„h,

(A.

G.

pecker

Curtis)

&

Pierce,

Sloss

(Marron,

&

Winston-Muss

'I-.

&

Inc.)

Co.,

Inc.)

Mead

rElion

Y

..Common

(T.

r

'Bids

8:30

Pacific

Co.)

i

June

-v

Y

Co
11

Gas

Co.)

1

200,000 shares

Bonds

Service, Inc

be

received)

$15,000,000

(Thursday)
(Bids

Jurte

&

Co.,

Inc.)

be

to

Debentures

received).

$30,000,000

Co.)

&

be

(Bids

to

June 13

Class A
Co.,

&

Inc.)

$1,000,000

Ampoules,

Bonds

(Bids

11

EST)

a.m.

15

and

Kesselman

Co.,

&

April 25

$30.000.000

Endevco

$4,800,000

National

^

"v

Corp.,

Common

Fuel

Gas

&

Co.)

125,000

shares

Co

11

October
Debentures

EST)

a.m.

Transmission

Co

shares

1

Preferred

May

1

18

V

(W.

C.

&

Bonds

$27,000,000

Bonds

be

200,000

$5,000,000

(Wednesday)
to

(Bids

Gulf

Common

Co.)

received)

Preferred

Bonds
be

received)

$15,500,000

Georgia Power Co
December

Inc.—

Langley

by

shares

150,000

EST)

a.m.

to

(Bids

(Monday)

Sigma Instruments,

Weld & Co.)

f

Co.)

Georgia Power Co

$27,000,000

New England Telephone & Telegraph Co
Com.
(Oifering to stockholders—no underwriting) approx. 3,150,000

Bonds

&

Generating Co
11

(Bids

Common
Weld

$35,000,000

■

(Tuesday)

(White,

to

September 28 (Thursday)
Mississippi Power Co.
■
,^x*.
(Bids to be received) $5,000,000
Mississippi Power Co

Inc.)

$400'000

Bonds

Bonds

$30,000,000

stockholders—underwritten

to

Sherman

D.

(Bids

inc.

/

•

(Thursday)

L.

$440,000

Common
Seigel,

$20,000,000

Corp.

(Offering

Common

Inc.)

Co.,

Inc
&

Bonds

received)

(Tuesday)

(Monday)

(Brand, Grumet

be

to

$12,000,000

Industries, Inc..
&

.Bonds

$2oC,000.000

Virginia Electric & Power Co

Photronics

B.'Burnside

received)

be

June 8
(Thursday)
Brooklyn Union Gas Co....

$25,000,000

(Bids

received)

Common

___

(Tuesday)
Telephone & Telegraph Co

shares

215,000

Ripley

6

American

Common

$200,000

PST)

EST)

200,000

Common

:
EST)

a.m.

to

Southern Electric

(Wednesday)

-

■

.

$9,000,000

(Thursday)

shares

(Friday)

April 24

60,000 shares

(Stone & Webster Securities Corp. and White,

I'M

-

Columbia Gas System, Inc.—

—Common

2,000,000

Bonds '

Corp

$25,000,000

EST)

a.m.

Preferred
be

to

'Diilon, Read & Co., Inc. and Dean Witter & Co.) $12,000,000

Tennessee
I

Common
$300,000
4

Harriman

to

(Mortimer

Common

Corp

Hawaiian Electric Co., Ltd

'I

May 25

$600,000

Inc.)

Co.,

Burnside

B.

(Bids

April 5

Corp.)

$12,000,000

Bonds

11

Power

(Thursday)

i»

l;,!

,*

Bonds

received)

ue

New Orleans Public

June

Equip. Trust Ctfs.

noon

Co.)

Debentures
and

Co.

April 21

Co., Inc

Co

(B.ds

Weld

(Bids

Capital

a.m.

$6,500,000

EoT)

-.in.

(Thursday)

(Bids

Ritz, Inc.—-—

(Mortimer

$9,000,000

Southern California Edison Co
Southern

&

to

(Bids

Common

Street

securities

Bicor Automation

Kirsch

Wegard

Orange & Rockland Utilities, Inc.—

$900,000

Mandel & Longstreth)

M.

C.

All-State Credit Corp

$675,000

Instruments, Inc

-

L.

Interstate

(Tuesday)

April 20

(Tuesday)

(Warner, Jennings,

(Bids

Rodetsky,

s.-aies

Corp

Units

Geriatric Pharmaceutical

^

18

(xjrexel

(Ottering io stockholders—underwritten by
Folger, Fleming-W. B. Hibbs & Co., Inc.) $280,000
p

and

Ohio

(White,

Fenner

Corp.

Central Mutual Telephone

Bonds

received)

ll:„u

(Bids

Common
Corp.;

securities

Inc

April

Common

(Lee Higginson Corp.)

April 4

be

Interstate Power Co
i

Corp

Broad

vV

y.

.

units

(Charles) Inc.—

Charles of the

100,000 shares

Inc.)

Saxe,

shares

New York State Electric & Gas

.

Common

Rego Insulated Wire Corp
(Russell

Co.

&

(Distributor—The

shares

Progress Webster Electronics Corp
'*!
'»i

shares

170,000

-j.

tnaytAm

Fund,

Common

150,000

Co.,

Walker

(Albion

$9,995,000

Co., Inc
&

..Common

^

underwriting)

$300,000

Merrill Lynch,

Inc.)

Instrument

Co.)

75,000

Inc.)

—

Ohio-Franklin

$300,000

Corp._

and

Co.,

Co.;

&

tFirst

Kreisler

Common

Car

Edelstein

Engineering

Common

Jackson

Webber,

&

>

May 18

ioO.uoO

shares

Marine Capital Corp
(Paine,

to

(Bids

Common

—Units

Co

Kleinzahler,

Chalco

Corp
Co.)

Co

(Thursday)
(Bids

unknown

Amount

(Monday)

Greenwald

..Common

&

Bonds

,f
May 16-(Tuesday)
x
Arkansas Power & Light Co

>■-

Co.)

wccui.t.es

Onion

Common

120,000

Co.)

Securities,

(Meade

n'

(M.)

(Maltz,

$495,000

Supply, Inc

Marcon Electronics

Ml

Blatt

Common

Dickson

(toncano

M

17

(uooert

$300,000

inc.)

CO.,

Inc
S.

(R.

Mi
v.

&

Securities

American

Dillon,

April

Common

Customline Control Panels, Inc.—
(Biaha

shares

$12,000,000

Sierra Pacific Power Co
Y

ACR Electronics Corp

Corp.; Bioren & Co.;' William
Inc.; Chace, Whiteside & Winslow,

Co.,

&

ana

110,000

jciST)

a.m.

•'

(Thursday)

May 11
>

$45,0u0,0u0

'

'

\

Common

(Offering to stockholders—no
Approximately 132,570

-rY? r

$500,000

mc.)

<JO.,

e>ecurities

Wasserman
inc.

"i

(Eastman

~

__Units

Components, Inc.—

...xoaiulactuie.s

Stix

\

Leonard' &

lx

Pacific Power

;

'

Telegraph Co.—Debs.

&

received)

be

Selas Corp. of America.—

Fidelity Building & Loan Assn.__ Com.
(McCiane

Custom

to

received)

'

"

(North

American

"...

■ ,

.

Commonwealth International & General Fund-Corn.

465,000 shares

April 3 (Monday)
Accesso Corp

shares

220,000

(Wednesday)

April 12

Co.)

&

Sierra

..Common

(Tuesday)

11

England Telephone
(Bias

March 31

ti¬

First

and
shares

May 4

shares

luO.OOO

inc.)

Marache <te i.o.)

be

to

(ji<ias

Common

Co.,

Corp

'•

•

$300,000

Corp,)

Co

Peaooay

Bowl-O-Mat
(Granoery,

$3u0,000

o\

Securities

Debentures

$5o,0ob,0uu

■

Washington Gas Light Co

Common

Utilities

Gas

(Kidder,

Common
Co. and Thomas. Jay Winston & Co.)

(Bids

shares

92,000

vvein)

oc

Dixie Natural Gas Corp

(Wednesday)

Industries

(Dnaltz, Greenwald «te

Po«,oma

received)

.f

May 3 (Wednesday)
Washington Natural Gas Co

(Monday)

10

(Vestal

Jensen

be

to

~

shares

Union oecuriwes «te Co. suid Dempsey-Tegeler
& Co.) 100,000 shares

Dillon,

(jdios

$600,000

Coip.)

*

by

Mississippi River Transmission Corp
(Eastman

Securities

Common

Instruments, Inc

Thursday, March 16, 1961

.

(Tuesday)
Telephone Co. of Pennsylvania

Bell

Common

(Plymouth

.

May 2

Dodge Wire Corp

(Tuesday)

(Oftenngs

(Thursday)

.

7

received)

$8,000,000

(Thursday)

Co.—

Power

shares

(Bids

—Bonds

to

be

received)

$5,000,000

H

Continued

from

33

page

bentures due April
stock

purposes.

Office

40 Lane St.,

—

writer—Vestal Securities
it

*s

mon

fM
*•

stock.

oliered

i

k'i
W

for

vestment

■

It

is proposed

public

sale

and 783 shares of stock.

r

—To be used

j

carry

it;

them

disposition.
it

that these securities will be

in

units

(2,000)

known

as

In¬

Price—$1,800

per

unit.

Proceeds

principally to originate mortgage loans and
until

market

Office

—

conditions

210

are

favorable

Center St., Little

ta

Telegraph Co.
1961 filed 11,225,000 shares of capital stock be¬
ing offered for subscription by stockholders on the basis
one new

share for each 20 shares held of record Feb.
23,

rights to expire April 14. Price—$86

per

share. Pro¬

ceeds—For advances to
i

\

stock

offered

for

expansion of its

unit.

subsidiaries, for the purchase of
subscription by such companies, for

golf course and related

Higginson

Lester, Ryons & Co., Los Angeles, Calif.
pected sometime in April.

(managing).

—

Apco Oil Corp.
Jan.
13, 1961 filed
common

Offering—Ex¬

due

$10,072,300
1, 1981

of

Corp.,
five

in

units

common

5%%

subordinated

April

shares
held

of

consisting

shares

class

A

on

of

$100

one

the basis of

and/or

class

B

one

debenture

and

unit for each 70

stock .of

Union

Texas

of record March

at 3:30 p.m.

(EST).

company

15,

with

was

1960

8, with rights to expire March 23
Price — $150 per unit. Business —

organized
later

and

Union

Texas

and

under
entered
others

Delaware
into
to

law

an

on

agree¬

purchase

the

Amity Corp. (3/24)
17, 1961 filed 88,739 shares of common stock (par
$1). Price—$3 per share. Business—Land development,

properties of Anderson-Prichard Oil Corporation, for a
total of $25,200,000 plus its share of Anderson-Prichard

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¬

together with $12,000,000 to be borrowed from banks, to
purchase the business and properties of Anderson-Prich¬

cluding

i,l

writers—Carl

Jan.

M
(>\
(J

fit

$170,000 for ^construction and $12,000 for debt
reduction.
Office—Equitable Building, Baltimore, Md.
Underwriter—Karen Securities Corp., New York
City.

J)
Y'l
i.i

Ml

Ampoules, Inc.

•s1

(4/24-28)

r'n'

Feb. 28, 1961 filed 100,000 shares of

i.i,

—$4

common

stock. Price

share. Business—The design and development
disposable hypodermic ampoules for adminis¬
tering medication. Proceeds—For general corporate
of

■<r,

n<
1Y

per

sterile

pur¬

including laboratory equipment, salaries for en¬
gineers, moulds and dies, and working capital. Office—
238 North Main
St., Hudson, Ohio. Underwriters—Brand,
Grumet & Seigel, Inc., and Kesselman &
Co., Inc., both
of New York City.

poses
M-

V-)

•

Angeles Crest

Feb.

27,

1961

filed

\K

%
if;




Development Co., Inc.
$1,500,000 of 7% subordinated

liabilities. Proceeds—The company will use the proceeds,

ard.

ney

Office—811

Avenue, Houston, Texas. Under¬
Loeb, Rhoades & Co., and Smith, Bar¬
& Co., both of New York City.'

Aqua-Chem, Inc.
March 3,
1961 filed 340,000 shares of common stock
(par $1), of which 227,000 are to be offered for public
sale by the company and 113,000 outstanding shares bv
Cleaver-Brooks Co., its parent. Price—To be supplied
by amendment.
Business
The
company,
formerly
Cleaver-Brooks Special Products, Inc.,. is engaged prin¬
cipally in the development, manufacture and sale of
equipment used for desalting and purifying sea and
brackish water. Proceeds
For research and develop¬
—

—

Ave.,
de¬

Rusk

M.

ment and working capital.

Waukesha,

Rhoades &

Wis.

Office

—

Underwriters

225
—

The

manufacture and
cans.

Lee

—

North

Carl

Grand

M./Loeb,

Co., New York City and Loewi & Co., Inc.,

City Electric Co.
1961 filed $10,000,0uo

10,

due 1991.

sale

of

paint, varnish,

Proceeds—For the selling stock¬

Ave., Chicago, 111.
Corp., New York City

Atlantic

and 503,615 shares of
being offered for subscription by holders

stock

—

lacquer and paint

Feb.

of class A and class B stock of Union Texas Natural Gas

ment

•

...

South Kilbourn

Underwriter

August

it,

the

holders. Office—1330

writer—None.

%

For

derwriters—Dempsey-Tegeler & Co., St. Louis, Mo., and

The

M*

Proceeds

some¬

it Armstrong Paint & Varnish Works, Inc.
March 9, 1961 filed 207,315 outstanding shares of com¬
mon stock,
to be offered for public sale by the present
holders thereof. Price—To be supplied by amendment.
Business

Broadway, New York City. Under¬

Ml,

organized under
land for the

was

acquire

to

Milwaukee, Wis. (managing). Offering—Expected
time in April.

of a mortgage
note, for development expenses and for working capital.
Office—3436 North Verdugo Road, Glendale, Calif. Un¬

facilities and for general corporate

tit •

1960,

a

own

»{)

company

April,

payment

purposes. Office—195

Yd,
j

in

shares. Price—$63z.50

common

development of residential lots,

'I

I

law

common

sale in units consisting of

facilities.

"|

«]/.

Business—The

California

debentures,

American Telephone &

of

1, 1971 and 75,000 shares of

offered for public

•

Rock, Ark.

Jan. 27,

with

be

for

Underwriter—Amico, Inc.

I'ki

to

$500 of debentures and 25
per

Certificates, each representing $900 of bonds

U

-

Corp., New York, N. Y.

American Mortgage Investment
Corp.
April 29 filed $1,800,000 of 4% 20-year collateral trust
bonds and 1,566,000 shares of class A
non-voting com¬

■

lit.('
if

.

Paterson, N. J. Under¬

(3/22)
oi

mortgage

nrsi

bonds

Proceeds—Fof the repayment of notes and for

construction.

Office—1600

Pacific

Atlantic City,
by competitive
bidding. Probable bidders: Halsey, Stuart & Co. Inc.;
Kuhn, Loeb & Co., American Securities Corp., and Wood,
N.

J.

Underwriters—To

be

Ave.,

determined

Struthers & Co.

(jointly); White, Weld & Co. and Shields
Co. (jointly); First Boston Corp. and/'Drexel*Gor<
(jointly); Eastman Dillon, Union Securities & Co. and
Smith, Barney & Co. (jointly); Lee Higginson Corp.;
Blyth & Co., Inc. Bids — Expected to be received on

&

March 22 up to

11:00

a.m.

(EST) at the office of Irving
St., New York City.

Trust Co., 47th floor, One Wall
•

Atlantic Fund for Investment in U. S. Government

Securities,
July

22,

Price

—

1960,
$25

with

the
in

shares

being

shares

the

upon

registered.

York

A

an

;/■/

of

common

diversified

stock.
invest¬

open-end company
and issuance of

sale

Proceeds—For

U. S. Government securities.

New

—

which will become

redeemable
shares

■

2,000,000

share.. Business

per

ment company,

Inc.

filed

investment

Office—50 Broad Street,

Citv.

Underwriter—Capital Counsellors, 50
Street, New York City. Note—This company was
formerly the Irving Fund for Investment in U. S. Gov¬

Broad

ernment

Securities, Inc. Offering—Imminent.

Audiograplhic Inc.
Feb.

27, 1961 filed 150,000 shares of common stock. Price
per share. Business—The manufacture and sale of
fire and burglar warning systems. Proceeds—To estab¬

—$4

lish subsidiaries, buy equipment to
make component
parts of warning systems now manufactured by others,
reduce indebtedness, add to inventory, and for
working
capital.
Office—Bellemore, L. I., N. Y. Underwriter—

First

Broad

Street

Corp., New

York

City

(managing).

■M

Volume

-

Automatic

Feb.

7,

193

Number 6038

Canteen

Co.

of

.

.

.

The Commercial and Financial Chronicle

America

sky, Kleinzahlee, Walker & Co., Jersey City, N. J.; and
L. C. Wegaru & Co., Levitcown, N. J.

fned

1961

i2'/,72o oucsianumg common shares.
To be supplied
by amendment. Business—The
development, manuiacture, saie, lease and servicing of
vending machines. Proceeds—To the selling stocKholders.
Of rice—Merchandise Mart
Plaza, Chicago, 111. Un¬
Price

Automation

Jan.

Borman
Feb.

27,

1961

Development,
(letter

Inc.

26,

1961

of

velopment

of: ballistic

iiina-red

missiles

devices

and

space

used

for

the

*'■

-

C.

tvi.

alignment

vehicles,

<

•

Industries, Inc.

use

diverse

a

line

of

electronic

components

expansion

®

tearucu

20,

class A

lift.)

notification) 15,000
(par $3.75). Price—$10

stock

common

and maintain markets in

March

shares

6,

1961

Feeds,

(letter

57th

of

None.

per share.

$1)

Broods

known

Aug.

facilities

Box

Calif.

Brothers,

105,000 shares of

share. Business

components

and

—

■'

'

stock. Price
The fabrication of pure

other

common

materials.

Proceeds—

For expansion and

inventory, with the balance for work¬
ing capital. Office—253 W. Merrick Rd., Valley Stream,
L, I., N. Y. Underwriter—Eldes Securities Corp., New

filed

Industries, Inc. (3/21-23)
110,000 shares of class A common
.

stock.

Price—$4 per share. Business—The company was
organized in December, 1960, to acquire all the capital
stock of four corporations in Fairview, N.
J., whose
principal business is the importation and sale of em¬
broidery manufacturing machinery. Proceeds—For new
equipment and working capital.
Office — 333 Bergen
Boulevard.
Burnside
•

Fairview,

&

B'att

Co.,

(IV!.)

N. J.

Underwriter—Mortimer B.

lanes

—

The

and

(par 20 cents).

shares

of

Priced—$1.50 per share.
Office—1800 E. <2f£th

business expansion.

Co.

issuer

(4/17-21)

related

manufactures

conducts

insurance

an

business,

agency

,

Calif.

Underwriters—William

R.

Staats

&

Co., Los An¬
geles and J. Barth & Co., San Francisco. Offering—Ex¬
pected in early April.
V.'"-:
^
4

,

Caribbean

&

Southeastern

Development Corp.
Sept. 28, 1960 filed 140,000 shares of common stock.
Price—$5.25 per share. Proceeds—For investment in land
in the Caribbean area, development of a site in Atlanta,
Ga., and the balance for general corporate purposes.
Office—4358 Northside Drive, N. W., Atlanta., Ga.
Un¬
derwriter— To be supplied by amendment. Note — This
statement

was

withdrawn

on

March 14.

Hadiey Corp.
Jan. 27, 1961 filed 41,§29 outstanding shares of 5% cu¬
mulative
convertible preferred
stock (par $10), and
481,450 outstanding common shares. Business—A holding
company with three wholly owned subsidiaries; B. H.
Hadley, Inc., which designs, develops, tests and manu¬
factures
precision components for fluid control and
regulation systems for the missile industry; Stellardyne
Laboratories, Inc., which sells testing and cleaning serv¬
ices to the missile industry; and Central Explorers Co.,
owns

the

and

installs, bowling

is

oil leases and develops the leases.

Proceeds

selling stockholders.
Office—596 North Park
Underwriter—None.

Avenue, Pomona, Calif.

Price

engaged in

and

electronic, electro-mechanical and mecnanical

and devices for. ground support facilities for
missile and space programs of the-U. S. Government. The

also

company
told

for

loans

manufactures

military

and

for

use.

special, purpose products
the repayment of

Proceeds—For

working

capital.

,

Office

—

I0I26

South

Broadway,

Gardena, Calif. Underwriter — First Broad
Street Corp* New York City (managing).;
•

Charles of the Ritz,

March

Inc.

(4/18)

'

"

7, 1961 filed 215,000 outstanding shares of

stock

mon

(par $1).

Price—To be supplied

com¬

by amend¬

Business—The firm makes and sells cosmetics and

ment.

toilet preparations for women and, through a
subsidiary,
makes and sells pencils and ball
point pens and related

products.

Proceeds—For

a selling stockholder.
Office—
Street, New York City. Underwriter—White,
Weld & Co., Inc., New York City (managing).

HE.

58th

• Chroma-Glo,
March

blems.

2,

1961
stock

Inc.
(letter of

notification)

(par 50 cents). Price

The manufacture

—

of

Proceeds—For payment

—

90,000
$3.30

pressure

of

shares of
share.

per

sensitive

em¬

obligations; purchase

of

equipment; and for working capital. Office—525 Lake
Ave., S., Duluth 2, Minn. Underwriter—Jamieson & Co.,
Minneapolis, Minn.
Church

Builders, Inc.

Feb.

6, 1961 filed 50,000 shares of common stock, series
Price—$5.50 per share. Business—A closed-end diver¬

sified

investment

Proceeds—For

of

company

investment.

the

management

type.

Office—501

Bailey Avenue,
Fort Worth, Texas. Distributor—Associates
Management,
Inc., Fort Worth, Texas.
•

Circle

Oct.

Controls

28,

Corp.
(letter of notification) 95,000 shares of
(par 10 cents).
Price — $3 per-share.
Manufacture
and
rebuilding of electronic,
,

1960

stock

common

Business

—

Proceeds—

For general corporate purposes and

working capital. Of¬
fice—204 S. W. Boulevard, Vineland, N. J. Underwriters

—Rodetsky,
N.

Kleinzahler,

Walker

&

Co.,

City,

Jersey

f.; L. C. Wegard & Co., Trenton. N. J. and L. D. Sherm & Co., New York, N. Y. Offering—Imminent.

Circle-Th«-Sight», Inc.
March 30 filed 165,000 shares of common stock and $330,000 of debentures

(10-year 8% redeemable). Price—For
share; debentures in units of $1,000 at their
principal amount. Proceeds—For initiating sight-seeing
service. Office—Washington, D. C. Underwriter—None.
stock, $1

per

Citizens
Dec.

Corp.

Acceptance

1960 filed $500,000 principal amount of series
year subordinated debentures.
Price—At
100% of principal or in exchange for outstanding de¬
bentures. Business—General finance company. Proceeds
G

29,

6%

—To

five

increase

debentures

working capital and to retire outstanding

as

they

Office—Georgetown,

mature.

Dei.

Underwriter—None.
•

Citizens & Southern

Capital Corp.

filed 300,OOu snareo 01 common stock.
Price—$5.50 per share. Business—A small business in¬
vestment company and a subsidiary of Citizens & South¬
ern

21,

1960,

National Bank of Atlanta. Proceeds—For investment.

Office—Marietta and Broad

writers

—

Streets, Atlanta, Ga. Under¬
Lane, Space Corp., Savannah;

The Johnson,

Courts & Co. and Robinson-Humphrey Co. Inc., Atlanta

(managing). Offering—Imminent.
•

Central

which

company

systems

Dec.

Claude Southern Corp.

Feb.

27,

1961

to be offered

shares

(3/20)

(letter of notification) 70,000 shares of
(par 10 cents) of which 60,000 shares are
for the account of the company and 10,000

stock

common

by

selling stockholder. Price — $4 per share.
purchase machinery and

a

Proceeds—To retire bank loans,

equipment, and for expansion and working capital. Of¬
N. W. 31st Ave., Miami, Fla. Underwriter—

fice—3950

Blaha & Co.,

Inc., Long Island City, N. Y.

Clifton Precision Products
Feb.

Co., Inc.

(3/27-31)

16, 1961 filed 60,000 outstanding snares of common
supplied by amendment. Business—

stock. Price—To be

is engaged in the design, development,
and sale 'of synchros, instrument servo¬
for use primarily
in aircraft and missiles. Proceeds—For the selling stock¬
The

company

produtcion

^ Central

motors and certain servo-mechanisms

shares

Heights, Pa. Underwriter—W.
York City.

Mutual Telephone Co., Inc. (4/4)
March 6, 1961
(letter of notification) 20,000 shares of
common
stock (par $10) to be offered for subscription
by stockholders of record April 4, at the rate of 24 new
April

each

for

Price

21.

short-term

shares

100
—

$14

notes.

per

Address

held

with

share.
—

rights

Proceeds

c/o

C.

Lacey

expire

to

—

To

Underwriter—Folger, Fleming-W. B.

Esq., Manassas, Va.

March

one

new

common

subscription by stockholders

share

for

each 4 shares

held.

on

stock

to

the basis

Price—To

be

supplied by amendment. Business—The, company is en¬
gaged in real estate investment. Proceeds—To purchase
land

for

1758

S.

and construct
La

Cienega

writer—None.

a

Office

bank

in

Los Angeles.' Office—

Blvd., Los Angeles, Calif.

—

Marple

Coastal Acceptance

Ave.,

at

Broadway,

C. Langley

&

Clifton

Co., New

Corp.

March 1,

1961 (letter of notification) $175,000 of 10-year
7% registered series notes to be offered in varying de¬
nominations of $100 to $1,000.
Proceeds — For general
corporate

15, 1961 filed 134,116 shares of

be offered for

6f

holder.

repay

Comption,

• Century Properties

equipment. Proceeds—For expansion,
new
equipment, the repayment of debts and for working
capital. Office—315 Third St., Trenton, N. Jk - Under¬
writers—Maltz, Greenwald & Co., New York City (man¬
aging); Clayton Securities Corp.; Boston, Mass.; Rodet--




also

Hibbs & Co., Inc., Washington, D. C.

Inc., New York City.

Feb. 28, 1961 filed 100,000 shares of common stolck (par
25 cents). Price—To be supplied by amendment. Busi¬
ness

stock

195,000

renders management services to its subsidiaries and par¬

—To

C^ty. Offering—Expected in late April.

Bicor Automation

1961

(letter

Business—The

electro-mechanical and mechanical controls.

Corp.
of notification)

ticipates in the financing of real estate development
projects. Proceeds—For the repayment of loans and for
expansion."Office — 11 Tillman Place, San Francisco,

•

Beryllium Manufacturing Corp.

Jan., 23,

Finance

1960

It

area.

New

1961

Feb. 27, 1961 filed

•

Co., the firm manufactures
meters, generally called "rotometers."

Financial Corp.
23, 1961 filed 88,977 shares of capital stock, of
which 35,000 are to be offered for public sale by the
company and 53,977 outstanding shares by the present
holders thereof. Price—To be supplied by amendment.
Business—The company, through a subsidiary is engaged
in the savings and loan business in the San Francisco

electronic

—

York

Business—Formerly

California

(managing).

per

amendment.

Feb.

in

Underwriter—Lehman

tems
"

2.

Co., Inc.

Underwriter—Cohn Co., Inc., 30i
N. Ridge Road, Little Rock, Ark.

instruments, compo¬
systems, including precision analytical instru¬

beryllium

Office—3 W.

St., Little Rock, Ark.

Benbow

—$4.50

5,

common

Inc.

Astronautics, Inc.
(3/20-24)
(letter of notification; 100,0U0 shares of
class A stock (par 5 cents). Price—$3 per share. Busi¬
ness
The company supplies the missile and aircraft
industries with hydraulic valves and regulators and re¬
lated mechanical components. Proceeds—For additional
working capital and for research and development in
the fields of cryogenics and high temperature pneumat¬
ic systems. Office—Culver
City, Calif. Underwriters—
Edward Hindley & Co. (managing); T. M. Kirsch & Co.;
Cortlandt Investing Corp., and H. B. Crandall & Co.
•

by

flow

Proceeds—For

ments,
computers,
precision
potentiometers, radiation
and medical instruments. Office — 2500 Fullerton Road,

18,

share.

programs.

Brooks Rotameter

area

Business

Belgrade, Mont.
398, Belgrade, Mont. Underwriter—

Business—Manufactures

•

per

television

and

opment, and working capital. Office—407 West Vine St.,
Hatfield, Pa. Underwriter—Andresen & Co., New York
City. Offering—Expected in late March.
I

(3/20-24)

holders of record March 28, on the basis of one share for
each 20 shares held. Price—To be filed by amendment.

Jan.

radio

of

Proceeds—For European expansion, research and devel¬

Instruments, Inc. (3/28)
21, 1961 filed 70,000 shares of common stock (par
to be offered for subscription by common stock¬

York City

Instrument

supplied

as

variable

■

Fuilerton,

be

—To

of

manufacturing

nents and

of

shares

Feb. 16, 1961 filed 150,000 shares of common stock. Price

Beckman
Feb.

(letter of notification) 60,000
(par five cents).
Price—$5

St., New York City. Underwriter—Harry Odzer Co.,
York, N. Y.

New

notification) 12,500 shares of
$1,000 of 6% cumulative con¬
vertible 10-year bonds. Price—(Stock) at par $10 per
share; (Bonds) 100% of principal amount. Proceeds—To
Address—P. O.

1961
stock

(4/17)

engineering, research, development, man¬
ufacturing and installation of custom communication sys¬

Business

stock and

common

construct

28,

International, Inc.

Business—Producers

Rd., Waterbury, Conn. Underwriter—
Cooley & Co., Hartford, Conn.

class A

Broadcast

common

fice—1060 Wolcott

March

proceeds to pay bank loans, expand inventory
raw
material, acquire new and larger

purchase

Feb.

securities, participate in under-

Inc.

its por¬

use

share.

per

common

•

(letter of notification) 40,000 shares of
common stock (no
par). Price—$3.50 per share/ Proceeds
—=For purchase of equipment, development,
marketing,
payment of long-term analysis and working capital. Of¬

(Leo)

will

company

for

3,4 1961

irBecker

The

—

and for working capital. Office — 219 Alabama
Ave.,
Brooklyn, N. Y. Underwriter—William, David & Motti,
Inc., New York City.

writings, and the balance for working capital. Office—
1518 K St., N. W., Washington, D. C. Underwriter—Same.
Note—This filing was withdrawn Feb. 16.
H Beau Electronics,

Proceeds

facilities for business and for research and development

issuer is a broker-dealer with the
SEC,
member of the NASD. Proceeds—To take
positions

a

Dynamics

tools.

Engineering Corp.

the business of

Boyce, both of Louisville,
/v J..:
;V. ^

Inc. (3/20-24):^
Feb. 7, 1961 filed 100,000 shares of/common
stock, of
which 70,000 shares will be offered for
public sale by
the company and 30,000 by a selling stockholder. Price—
$7 per share. Business—The designing, engineering, pro¬

Business—The
and

Bristol

I

,

Chalco

Jan. 30, 1961 filed 100,OuO shares of common stock.

—$6

Proceeds—For general corporate purposes.

of

Twain Ave.,
New York

11,590 shares of
(par $2.50) to be offered for sub¬
on the basis of one new share

stock

common

tion of the

& Co.

(letter

•

and

and

1960

the

...

cial

working capital. Office—1101-1109
Utica Ave., Brooklyn, N. Y. Underwriter—International
Services Corp., Paterson, N. J.
Sept.

buildings for lease. Office—17 Strathmore Road, NaticK,
Mass. Underwriter—Bear, Stearns &
Co., New York City
(managing). Offering—Expected in mid-to-late April.

Fair"

For

—

industrial parks. Proceeds—For

use as

acquisitions, preparation of land and the construction of

the

ducing and selling of electrical and mecnanical assem¬
blies,
electronic
and
missile
components
and
spe¬

in guidance and communication systems. Proceeds—

For

A

Ky.

per unit. Business—The company, formerly BeakManufacturing Corp., manufactures, assembles and

distributes

Mane

12300

—

liard & Son and Stein Bros. &

1, 1961 filed 50,000 shares of 7% non-cumulative
preferred stock (par $7.50); and 200,000 shares of com¬
mon
stock (par one
cent), of which 50,000 shares are
to* be offered for public sale by the
company and 150,000
outstanding shares by the present holder thereof.
The
offering will be made in units, each unit to consist of
one
preferred share and four common shares.
Price—
$11.50

Office

"Food

Proceeds

area.

veloping land for

price

oi

Price—$8 per share. Proceeds—
For construction and working .capital. Address—Indus¬
trial Park, Shelbyville, Ky.' Underwriters—J. J. B. Hil-

March

atron

Detroit

time

for each 16 shares held.

Co., Newark, N. J., and New York City. Offering—Im¬
B.

market

current

scription by stockholders

for automatic
positioning of machinery operations and- for. geodetic
surveys. Offices — 80 Urban Ave., Westbury, and 179
Liberty Ave., Mineola, N. Y. Underwriter—Sandkuhl and
minent.

—

the

in

the

to

Exchange at the
Operates a chain of

Industries, Inc.
17, 1961 (letter of notification)

class

of

is engaged in the research and de¬

company

related

Stock

Associates, Inc.

be supplied by amendment. Business—The
com¬
is engaged in the business of acquiring and de¬

pany

common

BrieS

notuicacion) 66,700 shares of
(par 10 cents). Price—$4 per share. Busi¬

stock

common

ness—The

—To

Inc.

Detroit, Mich. Underwriter — Shields & Co.
City. Offering—Expected sometime in May.

Laboratories, Inc.
(letter

be

York

stockholders.

selling

Feb,

Automation

New

supermarkets

development of the "bKyjecior." Of¬
fice—342 Madison Ave., New York
City. UnderwriterFirst Philadelphia Corp., New
York, N. Y.
Jan.

Stores,

offering. Business

(3/27-31)

of

notmcacion)
-*0,000 snares of
stock (par 5 cents).
Price—$3.75 per share. Pro¬

common

Price—To

the

on

Food

14, 1961 filed 5z,00u outstanding shares of

stock.

ceeds—For iurtner

•

Cerel-Perini

35

Feb. 27, 1961 filed 200,000 shares of common stock. Price

—

derwriter—None.
•

(1207)

chester, N.

H.

chester, N. H.
-

Coastal

Office — 36 Lowell Street,
Underwriter—Shontell & Varick,
.
.
<•'

purposes.

Man¬
Man¬

Dynamics Corp.

Jan.

30, 1961 filed 125,000 shares of class A stock. Price
$3 per share.
Business —The company' (formerly
Coastal Manufacturing Corp.) merged with Wesco Plastic
—

Under¬
,

Continued

on

page

36

36

The Commercial and Financial Chronicle

(1208)

Continued

from

•

35

page

Custom

Components, Inc.

(4/3-7)

,

Jan.

Products, Inc., and is principally engaged in the develop¬
ment, manufacture and sale of edge-lighted instrument
and control panels for use in the. aircraft, missile and
electronic industries.
Proceeds — For new equipment;
debts; to increase inventory of electronic
component parts; and for working capital.
Office—219
Pose
Avenue,
Venice,
Calif.
Underwriter — V.
K.
Csborne & Sons, Inc., Beverly Hills, Calif, (managing).
Offering—Expected sometime in April.
of

payment

•

Colber

Jan.

stock

common

Proceeds—For

resistors.

of

pur¬

and equipment, leasehold improve¬
ments and for working capital. Office—26 Buffington St.,
chase

of machinery

Irvington, N. J. Underwriter—Richard Bruce & Co., Inc.,
60 Pine Street, New York 5, N. Y.
•

Coleman

Feb.

Engineering Co., Inc.

28, 1961 filed 150,000 shares of common stock. Price
be supplied by amendment. Business—The design,

—To

Office—1010

Underwriter

Calif.

—

South Flower St., Los Angeles,
Auchincloss, Parker & Redpath,

(managing).

Washington, D. C.

Offering—Expected

in

April.
•

Colonial

Mortgage

Feb.

(3/27-31)

Service Co.

31, 1961 filed 100,000 shares of common stock (par
$1).
Price — To be supplied by amendment.
Business
—Originating and servicing mortgage loans for insti¬
Office

investors.

Garrett

141

—

Road,

Upper

Darby, Pa. Underwriters—Drexel & Co., and Stroud
Co., both of Philadelphia, Pa. (jointly).
Oil

Commerce
Dec.

&

ized

of stock.

be

supplied by amendment. Proceeds — To
construct refinery. Underwriter—Lehman Brothers, New
York.

Offering—Indefinite.

Commercial
March

Investment

Co.,

(letter of notification) 25,000 shares of
common stock (par $1). Price—$5 per share. Proceeds—
For purchase of stock in a customer's showroom; pay¬
ment, on a note and for working capital. Office—1963 W.
Burnside St., Portland, Ore. Underwriter-—Shiels Secu¬
rities Inc., Portland, Ore.
•

Community Research & Development,

Inc.
27, 1961 filed 620,445 shares of common stock to be
by holders of its common stock

Feb.

offered for subscription
and

convertible debentures due Jan:

6%

basis of
and

one

new

share for each two

1972 on the

1,

common

shares

105 shares for each $1,000 of debentures held.

—To

be

held,
Price

supplied by amendment.

Business—The. devel¬
opment, ownership and management of income produc¬
ing real estate projects.
Proceeds — For construction.

Office—14 West Saratoga

writer—Alex.

Brown

Street, Baltimore, Md. Under¬

&

Sons, Baltimore, Md.
ing). Offering—Expected in mid-April.

(manag¬

Consolidated

Activities, Inc.
28,. 1961 filed $1,000,000 of 6V2% convertible sub¬
debentures, due April 30, 1976, to be offered
by the company and 50,000 shares of.common stock (par
50c) to be offered by a selling stockholder. Price—(De¬
benture) 101% of the principal amount. (Stock) $3.50
per-share. Business—The issuer is principally engaged
Feb.

ordinated

in

the

construction

chemical

of

control

panels

industrial

and

for central¬

processes;

Pro¬

training program for additional engineering
personnel; additional capital equipment; payment of a
bank loan; opening of a Los Angeles sales and engineer¬
ing office; research and development and working capi¬
tal.

a

Office—1379

derwriter—Blaha

E. Linden

Avenue, Linden, N. J.
Un¬
Co., Inc., Long Island City, N. Y.

&

March
offered

for

Oct.

record

for

431,217 shares of common stock to be
subscription by holders of such stock of

7

at

share

each

the

rate

of

held.

then1

one-and-a-half

Price—$1.25

per

shares

new

share.

Pro¬

ceeds—For the retirement of notes and additional work¬

ing capital. Office—Norwood, N. J. Underwriter—Ster¬
ling, Grace & Co., 50 Broad St., New York City. Offer¬
ing—Indefinitely postponed.
Dekcraft
Feb.

Corp.

(4/10-14)

15, 1961 filed 92,000 shares of

To be

supplied by amendment.

common

stock. Price

Business—The company,

formerly Supreme Ribbon Corp., manufactures, converts
and packages gift wrappings. Proceeds—For the repay¬
of

bank

loans

and

for

woking capital. Office—15
York. Underwriter—Carter,

Delanco
Jan.

17,

common

Electric

1961
stock

Machine

Co., Inc.
(letter of notification) 100,000 shares of
(par 10 cents). Price—$3 per share. Busi¬

—Ill

Delancey

Street, New York, N. Y. UnderwriterMichael Pariser Corp., New York, N. Y.

and

Design, Inc.
Sept. 28, 1960 filed 100,000 shares of capital stock. Price
—$4.50 per share.
Business — Development of vacuum
system components. Proceeds — For acquisition of land
and construction of a factory; purchase of new machin¬
ery and tooling j' inventory and working capital;; Office^
3163 Adams Ave., San Diego, Calif. Underwriter—None.
Detroit Tractor, Ltd.
May 26, 1960 filed 1,375,000 shares of class A stock. Of
this stock, 1,125,000 shares are to be offered for the com¬
pany's account and the remaining 250,000 shares are to
be offered for sale by the holders thereof. Price—Not to
exceed $3 per share. Proceeds—To be applied to the
purchase of machine tools, payment of $95,000 of notes
and

accounts

payable, and for general corporate pur¬
poses. Office—1221 E. Keating Avenue, Muskegon, Mich.
Underwriter—To be supplied by amendment.
•

Dixie Natural

Gas

Corp. (4/10)
Dec. 5,
1960 (letter of notification) 75,000 shares of
common stock
(par 2 cents). Price—$4 per share. Busi¬
ness—Develops oil and gas leases in West Virginia. Pro¬
ceeds
For general business purposes. Office — 115
Broadway, New York 6, N. Y. Underwriter—Vestal Se¬
curities Corp., New York City.
—

Dodge Wire Corp.
Dec. 7,

—$6

Copter Skyways, Inc.
(3/20)
Jan. 16, 1961 filed 15,000,000 shares of

(4/6)

1960, filed 100,000 shares of

common stock. Price
manufacture of woven

Dec.

a

no par common
stock. Price—3 cents per share. Proceeds—To
acquire the

equipment, real estate and other materials
commence

to

necessary

business. Office—Penn-Sheraton Hotel, Pitts¬

burgh, Pa. Underwriter—C. A. Benson & Co., Inc., Pitts¬
burgh, Pa.
/
,

Cortez

Jap.

12,

Price—$3

,

Life

1961

Insurance Co.

filed

500,000

shares

of

stock.

common

share. Business—The company is engaged
in the business of writing life
insurance, annuity policies
and

per

re-insurance. Proceeds—For general
corporate pur¬

poses.

Office—304 Main St., Grand Junction Colo. Under¬

writer—None.

nated debentures due 1981, to be offered for

by

common

tures

for

supplied

stockholders

each

by

25

on

common

amendment.

subscription

the

basis of $100 of deben¬
shares held. Price—To .be

Business—A

holding

company

whose subsidiaries

publish books and operate radio and
TV stations. Proceeds—To
repay loans. Office—640 Fifth
Ave., New York City.
Underwriters
Carl M. Loeb,"
—

ptjoades & Co., New York City.
l

Cumberland Shoe Corp.

Jan. 3, 1961 (letter of
mon stock
(par 50

"

the

stockholders

of

notification) 37,115 shares of

the

right to purchase
Rights expire on

held.

company
one

of record

share* for

March

22

at

each

Jan.
five

4:30

1

com¬

with

shares

p.m.
(CST);
Price—$3.75 per share. Office
North Margin Street,
Franklin, Tenn. Underwriter—Clark, Landstreet & KirkPatrick, Inc., Nashville, Tenn."
; J,
r
—




screen

Business—The
cloth.

Proceeds—The repayment of in¬

debtedness and general corporate purposes.
Office—In¬
dustrial Blvd., Covington, Ga.
Underwriter—Plymouth
Securities

Corp., New York City.

Dolomite Glass

•

Fibres, Inc.

27, 1960 filed 200,000 shares of 7% preferred stock
(cumulative - convertible); 200,000
class
A common
shares (voting) and 1,000,000 common shares (non-vot¬
ing). Price—$10 per share for the preferred and $1 per
share for the class A and

common

shares.

Business—The

manufacture

and sale of glass fibre for insulation and
glass fibre threads, mats and rovings for use in the pro¬
duction of reinforced plastics. Proceeds—For working
capital and the purchase of additional equipment. Office

—1037 Jay

St., Rochester, N. Y. Underwriter—None.

,

dress—P. O. Box 2566, Orlando,
Dickson & Co., Charlotte, N. C.

March
be

14, 1961 filed 368,000 shares of

offered

basis

record

for

of

subscription by

one

new

share

April 24. Price—To

common

common

for

each

30

stock to

stockholders
shares

held

on

of

be supplied

by amendment.
repay short-term loans. Offices—Charlotte
1, N. C.; Flemington, N. J., and 30 Rockefeller Plaza,
New York City. Underwriter—None.
Proceeds—To

•

Dynamic

Instrument Corp.
(3/27-31)
1961 filed 150,000 shares of common stock (full
registration). Price—$2 per share. Business—The cornpany. is engaged in the design, manufacture and
electro-magnetic clutches and brakes and in the machin¬
ery of precision instrument, components on a sub-con¬
Jan. 27,

Fla. Underwriter—R. S.

Eastern Camera

Dec.

Exchange, Inc.
(letter of notification)

1960

29,

velop
59

new

products

and for working capital. Office—
Ave., Westbury, L. I., N. Y. Underwriters
Co., Inci, and Amos Treat & Co,, Inc.,
York City and Bruno-Lenchner, Inc., Pitts¬

New York

—T. W. Lewis &
both of New

burgh.

,*v<

_

Dynatronics, Inc.

/;„;
(4/3-7)

Feb. 3, 1961 filed 120,00.0 shares of
—To' be supplied" by amendment.

stock. Price'

Business—The

com*

of

selling cameras, film and photographic/ supplies and
equipment; also processes and prints black and white
photographic film. Proceeds—To reduce indebtedness in¬
curred by acquisitions, to pay notes due, and for general
corporate purposes.
Office—68 W. Columbia
Street,
Hempstead, N. Y. Underwriter—Casper Rogers & Co.,
Inc., New York, N. Y.
Economics

Laboratory, Inc. (3/21)
1961 filed $4,000,000 of convertible debentures
due April 1, 1976. Price—To be supplied by amendment.
Feb.

10,

Business—The

for

manufacturing and selling of detergents

cleaning

for

agents

Proceeds

use.

facilities

commercial

dishwashing

For the repayment of

—

and

notes,

working capital. /Office-—914
Bldg., St. Paul, Minn. Underwriters — W. E.
Co., Cincinnati, O., and Kalman & Co., Inc.,
Paul, Minn, (managing).
new

and

for

Guardian
Hutton
St.

&

Electro Consolidated

Corp. (3/27-31)
27, 1961 filed 100,000 shares of common stock, of
50,000 are to be offered for public sale by the
issuing company and 50,000 shares, being outstanding
stock, by the present holders thereof. Price — $6 per
share. Business—The company and its subsidiaries are
engaged in the design, manufacture, distribution and
Jan.

which

sale of fluorescent and incandescent

commercial and industrial use,

lighting fixtures for
and the manufacture and

sale of household appliances including broilers and foodslicers. Proceeds—For the repayment of bank loans, new

equipment, and working capital. Office — Spruce and
Water Streets, Reading, Pa. Underwriters—Brand, Grumet & Seigel, Inc., and Kesselman &
Co., Inc., both of
New York City.
Electro

July

Industries, Inc. //1960 (letter of notification)

19,

class A

common

tional class A

common

Prices—Of

writers.

75,000

shares of
addi¬

stock (no par) and 20,000 shares of

stock to be offered to the under¬

class

A common, $2 per share; of
additional class A common, 2Vz cents per share. Proceeds
To expand the company's inventory to go Into the
—

packaging and1 Export of electrical

equipment, and for
working capital. Office-^-1346 Connecticut Ave., N. W,,
Washington, D. C.
Underwriter — Carleton Securities

Corp., Washington, D. C.

,
_

Electro-Nuclear

V

Metals, Inc.
Aug. 31, 1960 (letter of notification) 250,000 shares of
common stock. Price—At par
($1 per share). Proceeds—
To purchase new equipment, rental and for administra¬
tive costs. Office—115 Washington Blvd., Roseville, Calif.
Underwriter—A. J. Taranto & Co., Carmichael, Calif.
Elion

Oct.
for

Instruments, Inc.
1960

28,

stock

filed

(4/3-7)

60,000 outstanding shares of

capital

(par 50 cents), together with five-year warrants
purchase of 6,000 new capital shares, to be. of¬

the

fered

of

sale

for

tenth
10

.

such

in

units

warrant.

a

units.

of

No

one

sale

Price—To

be

share

will

of

be

related

stock

made
to

the

and

one-

less

of

than

price of the

company's stock in the over-the-counter market imme¬
diately prior to the offering. Business—The firm makes
sells instruments and equipment for scientific and
industrial measurement and analyses. Proceeds—To sell¬

and

ing stockholders, who are two company officers who will
lend the net proceeds to the company. Office—430 Buck¬
ley St., Bristol, Pa. Underwriter —! Warner, Jennings,
Mandel

&

Longstreth,

Philadelphia, Pa.

»

ic Emirier Glass Corp.
March

8, 1961 filed 190,000 shares of class A common
stock, of which 160,000 shares are "to be offered for pub¬
lic sale by the company and 30,000
outstanding shares,
by the present holder thereof. Price—$4 per share. Busi¬
ness—The sale of glass,

metal, fiber and plastic contain¬
and housewares and garden accessories. Proceeds—
For the repayment of debt and general
corporate pur¬

ers;

Office—6250 N. W. 25th Ave., Miami, Fla. Under¬
writer—Clayton Securities Corp., Boston, Mass. (man¬
aging).
"//V' :^/L:/v%'
poses.

Endevco

March

1,

Corp.

1961

(4/25)

filed

125,000 shares of no par common
supplied by amendment. Business—
The design, manufacture and sale of
piezoelectric trans¬

stock. Price—To be

and

associated

electronic equipment. Proceeds—
working capital. Office—161 East
California Blvd., Pasadena, Calif.
Underwriter—White,
Weld & Co., New York City
(managing).
• Fabien
Corp.
For

equipment

and

.

Feb.

27, .1961 filed 60,000 shares of outstanding common
Price—$6.75 per share. Business—The company,
formerly Fabien Textile Printing Corp., is engaged in
the printing
of colored designs . on various types of

stock.

materials.

Proceeds
To selling stockholders.
Office—
Lodi, N* J. Underwriter—Goodbody & Co., New York
—

,

•

sometime in April

Partnership

Dec. 5, 1960 filed 480 units of limited
partnership
ests. Price—$1,000 per unit. Business—The

inter¬
building and

operation of a shopping center on Broad Street in- Fails
Church, Va. Proceeds—For the purchase of land and the
of a shopping center. Office
1823 Jefferson
Place/ N. W., Washington, D. C. Underwriter—Hodgdon
& Co., Inc., and Investor Service Securities
Inc., both ot
Washington, D. C.
-./ „■
3
*

erection

—

.

.

common

shares

(par 10 cents). Price—$4 per share. Busi¬
ness—Operating a chain of retail stores and concessions

sale^i^--^^^1^113^11^)- Offering—Expected
Falls Plaza Limited
de¬

75,000

stock

common

ducers

^ Duke Power Co.

tract basis. Proceeds—To repay loans; complete and

*

cents)| being offered for subscription

by

share.

aluminum

the

• Crowell-Collier Publishing Co.
March 14, 1961 filed $12,000,000 of convertible
subordi¬

per

'

digital and timing systems. Proceeds—For repayment of
bank loans, new equipment and working capital.
Ad¬

ness—The

company operates three retail stores selling
sewing machines and electrical appliances. Proceeds—
For expansion and general corporate purposes. Office

Thursday, March 16, 1961

.

is engaged in the design, manufacture and sale of
electronic equipment and/systems,, including antenna,

household

filed

29

.

pany

and

Da I to Corp.

operation of bowling alleys.
mortgage and outstanding deben¬
tures, for construction of a new bowling alley, a vd
for general corporate purposes. Office—26 West Northfield Road, Livingston, N. J. Underwriter—G. F. Nicholls
& Co., Inc., 1 Mailden Lane, New York
38, N. Y.
Proceeds—To retire

=<

of

control

Delta

1961

2,

Panels, Inc.

of

Burke Lane, Syosset, New
Berlind, Potoma & Weill, New York City.

Refining Corp.

of stock and $100 of debentures and nine shares
To

stock

ceeds—For

16, 1958 filed $25,000,000 of first mortgage bonds due

—

For

—

(4/3-7)
notification) 120,000 shares cf
(par 10 cents).
Price —$2.50 per share.

(letter

1961

Business—Manufacturers

ment

Sept. 1, 1968, $20,000,000 of subordinated debentures due
Oct. 1, 1968 and 3,000,000 shares of common stock to be
offered in units as follows: $1,000 of bonds and 48 shares
Price

21,

common

Jan.

tutional

electronic systems; Proceeds

expansion, acquisitions and working capital. Office—
Passaic Ave., Caldwell, N. J. Underwriter—Manufactur¬
ers
Securities Corp., 511 Fifth Ave., New York, N. Y.
(managing); Bioren & Co. and Wm. Stix Wasserman &
Co., Inc., New York City, Chace, Whiteside & Winslow,
Inc., and Draper, Sears & Co., Boston, Mass.

'

development, manufacture and sale of missile ground
handling equipment, electromechanical parts, products
and systems. Proceeds—To retire bank borrowings, with
the balance for working capital and general corporate
purposes.

and

Customline Control

(letter of notification) 100,000 shares of
(par 20 cents). Price—$3 per share. Busi¬

ness—Manufacturers

microwave

for

(3/20-24)

Corp.

1961

26,

24, 1961 filed 165,000 shares of common stock (par
10 cents). Price—$3 per share. Business—The
company
designs, develops and produces high quality components

.

Faradyne Electronics Corp#
Jan.

3d;' 1961 filed $1,500/000.,

/

of- v6%\ comrertible^sub-

Volume

193 '

Number 6038

ordinated debentures.

.

.

.The Commercial and Financial Chronicle

Price—-100% of principal amount.

Business—The
and

company- is engaged in the manufacture
distribution of 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 Cortland! Street, Belleville, N. J.
Under¬
writer—To be named.
Federal Shell

Homes, Inc.

Feb. 23, 1961 filed 675,000 shares of common stock; $1,-

350,000 of 9% convertible subordinated debentures (par
$10); and 135,000 1964 warrants to be offered for public
sale in 135,000 units, each unit to consist of five common
shares, one debenture and one warrant. Price—To be
supplied by amendments Proceeds—For general cor¬
porate purposes/ Office—225 West Carolina St., Talla¬
hassee, Fla. Underwriter — Pierce, Carrison, Wulbern,
Inc., Jacksonville, Fla. (managing).
'

Filtra-Sonic

Corp.
(letter of notification) 51,250 shares of com¬
(par 50 cents).; Price—$4 per share. Office
—120 W. Providencia, Burbank, Calif.
Underwriter—
Gregory-Massari, Inc., Beverly Hills, Calif.
Feb. 27, 1961
mon

stock

American

First

Investment

Corp.
2,500,000 shares of

Oct. 14, 1960 filed
common stock.
Price—$2 per share. Business—Insurance. Proceeds—To

acquire control of Western Heritage Life Insurance Co.
of Phoenix, and to organize subsidiaries. Office—2222 N
16th St., Phoenix, Ariz. Underwriter—None.
First
of

Oct.

Small

Business

Investment

—$12.50 per share. Proceeds — To provide investment
capital. Office—Tampa, Fla. Underwriter—None.

• Flintkote Co.
9, 1961 filed $35,000,000 of sinking fund deben¬
due April 1, 1981. Price — To be supplied by
amendment. Business—The manufacture, mining, distri¬
bution and sale of various products for construction, in¬
March

tures,

consumer

uses.

Proceeds—For general cor¬

porate purposes. Office—30 Rockefeller Plaza, New York

20, N. Y. Underwriter — Lehman Brothers, New York
City (managing). Offering—Expected in mid-April.
Florida
Nov.

1960

(letter

stock

(par

50

—

•

Forcste, Inc.

'

■■

of common stock. Price
—$5 per share. Business—The manufacture and sale of
a
specialized line of furniture, and the operation of a
chain of retail furniture stores in New York City, Chi¬
cago, 111., and Los Angeles, Calif. Proceeds—To repay
loans, discharge outstanding 7 %
debentures due in
March 1962, finance the opening of new retail outlets
and for working capital. Office—117-20 14th Road, Col¬
lege Point, L. I., N. Y; Underwriter—Myron A. Lomas¬
ney & Co., New York City. Offering—Imminent.

Jan. 26, 1961 filed 150,000 shares

Island Resort, Inc.
1961 (letter of notification); 120,000 shares of
(par $1). Price—$2,20 per share. Proceeds
-—For plans and specifications for a bridge to cross Fripp
Inlet; construction of roads, subdivision of lots and the
installation of a water supply. Office — 1310 Lady St.,
Fripp

March 8,
common

stock

Columbia, S. C. Underwriter—None.
Fulton

Industries, Inc.

filed 233,955 shares of outstanding com¬
mon stock. Price—To be supplied by amendment. Busi¬
ness—Produces textiles, automotive parts, metal cast¬
ings, cotton ginning equipment and pre-engineered steel
buildings. Proceeds—To selling stockholders.
Office—
Atlanta, Ga. Underwriters — Robinson-Humphrey Co.,
Inc., Atlanta, Ga., and Walston & Co., Inc., New York
City (managing).
Feb.

•

21,

Fund

1961

of

Inc.
500,000 shares of common stock. Price
—$10 per share.
Business — The company, formerly
named Southern Industries Fund, Inc., is an open-end
balanced investment trust.
Office—60 East 42nd Street,
America,

Jan. 6, 1961 filed

New

York, N. Y.

Underwriters—Ladenburg, Thalmann
and Minis & Co., Inc.,, Savannah,

& Co.. New York City

Georgia. Offering—Imminent.
G-W Ameritronics,

25,

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.
OfficeKensington and Sedgley Avenues, Philadelphia, Pa. Un¬
—

derwriter—Fraser

&

Co., Inc.,

Garden State Marina,

Inc.

Philadelphia, Pa.

1961

.

^General Economics Corp.
March 8, 1961 filed 130,000 shares of common, stock.
Price—$5 per share. Business—The company is active in
the over-the-counter market as both broker and prin¬




.

company operates a chain of 10 super¬
Proceeds—For general corporate purposes; Of¬
fice— 811 Grange Road,
"Teaneck, N. J. Underwriter—
markets;

Capital Investment Co., Newark, N. J. Offering—Immi¬

—$3 per share. Proceeds—To be used as working capital
to expand the number of supermarkets. Office—200 Main
Ave., Passaic, N. J. Underwriter — Godfrey, Hamilton*
Magnus & Co., Inc., New York City (managing). Offer¬
ing—Expected in late March.
V,;.

March 13, 1961 filed 660,000 outstanding shares of com¬
mon stock
(par $1). Price—To be supplied by amendT
ment. Business—The company and its subsidiaries
oper¬
ate and supply a large restaurant chain. Proceeds—For
the selling stockholders. Office—89 Beale St.,
Wollaston,

• General Telephone Co. of California

Mass.

March

and

filed 500,000 shares of 5% cumulative
preferred stock. Price—To be supplied by amendment.
Proceeds—To increase and improve facilities and to re¬
15, 1961

duce

indebtedness incurred for these purposes. Office—

2020

Santa Monica

Blvd., Santa Monica, Calif.
Under¬
writers—Paine, Webber, Jackson & Curtis, Boston, Mass.,
and Mitchum, Jones & Templeton, Los
Angeles, Calif.
•

Genie

Petroleum,

Inc.

—$1 per share. Business—Development of oil properties.
Proceeds—For general corporate purposes. Office—5245
W. Irving Park Road, Chicago, 111. Underwriter—The is¬
suer intends to become a
licensed broker-dealer in the
states in which this

offering is to be made, and to offer
338,718 of the shares through its officers and employees.
The remaining 500,000 shares will be offered
through
other

licensed

broker-dealers

registration

was

on

a

"best efforts" basis.

cals.

Proceeds—For general corporate purposes. Office—
Commonwealth Boulevard, Bellerose, N. Y.
Under¬

York, N. Y.

;

./•

4

Corp.
Feb. 27, 1961
(letter of notification) 30,000 shares of
common
stock (par 10 cents).
Price — $10 per share.
Business—Research, development and manufacturing in
technological fields.
Proceeds — For general corporate
Office—30 Broad Street, New York, N. Y.

Un¬

it Hurletron, 'Inc. ' " -■"
15, 1961 filed 150,000 shares of common stock.
Price—To be supplied by amendment. Business—Manu¬
factures electronic equipment. Proceeds—For the
repay¬
ment of debt and for working capital.
Office—Chicago,
111. Underwriter—F. S. Moseley & Co.,
Boston, Mass.
March

Hydro-Electronics Corp.
Nov.

21, 1960

(3/17)

(letter of notification)

ing equipment, automation equipment and general
cision fluid controls. Proceeds

Office—691

—

Underwriter

Merrick

—

Amber

Oct. 20, 1960 filed 70,000 shares of common stock.

—$5

share.

per

Business—The firm, which

convertible

sub¬

ordinated debentures, due 1976. Price—$1,000 per deben¬
ture. Business—The operation of bowling centers with

adjoining refreshment facilities in Michigan. Proceeds—
construction and working capital.
Office — 6366
Woodward Ave., Detroit, Mich. Underwriter—None.
For

Great Miami

Industrial Park, Inc.
(letter of notification) 115,000 shares of
common stock (par $1). Price—$2.60 per share. Proceeds
—For paving roads and working capital. Office — 310

1961

Ave., Miami, Fla. Underwriter—None.

Greenfield Real Estate Investment Trust

(3/21)

Dee. 21, 1960,
Price—To be

filed 500,000 shares of beneficial interest.
supplied by amendment. Business — The
company was organized on Dec. 20, 1960 to provide in¬
vestors with an interest in diversified income-producing
properties consisting principally of real estate interests.
Proceeds—For investment. Office

—

Bankers Securities

Bldg., Philadelphia, Pa. Underwriter
Philadelphia (managing).

—

Drexel &

Co.,

Guaranty National Insurance Co.
27, 1961 (letter of notification) 120,000 shares of
common
stock (par 50 cents).
Price—$2.50 per share.
Proceeds—For investment and the operation of the com¬
pany. Office—916 Broadway, Denver, Colo. Underwriter
—Copley & Co., Colorado Springs, Colo.
Feb.

ic Hawaiian

Electric Co. Ltd.

February, 1957, makes and wholesales products
industry, including par¬
ticularly fiberglass boats known as "HydroSwift" and
"Skyliner." Proceeds—For general funds, including ex
Utah.
•

Office — 1750 South 8th St., Salt Lake City,
Underwriter—Whitney & Co., Salt Lake Citv. Utah.

I C Inc.

June 29 filed 600,000 shares of common stock

(par $1)
share. Proceeds—To further the corpo¬
rate 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

Price—$2.50

per

-:V—r-

•

Planning Corp. (3/20-24)
;
1
'
1960 (letter of notification) 5,000 shares of
cumulative preferred stock (no par) arid 10*000 shares
29,

of class A

(par 10 cents) to be offered in
share of preferred and two
shares of common. Price
$40 per unit. Proceeds—To
open a new branch office, development of business and
for working capital.
Office—3300 W. Hamilton Boule¬
vard, Allentowri, Pa. Underwriter—Espy & Wanderer,

^Hawaii

For

Thermal

Power Co.

(letter

oi

notification)

300,000 shares

of

stock. Price—At par ($1 per share). Proceeds—

drilling wells; salaries and organizational expenses.
St., Wilmington, Del. Underwriter—

Office—100 W. 10th

Michigan, New Jersey and West Virginia. Proceeds—To
repay bank loans, for advances to subsidiaries and for
general corporate purposes. Office—25 South St., Dryden, N. Y. Underwriter — Burnham & Co., New York
City (managing). Offering—Expected in late April.
• Industrial Control Products, Inc.
March 10, 1961

filed 165,000 shares of common stock (par
Price—$3 per share. Business—The engineer¬
ing, designing and precision machining of electronic
components. Proceeds — For research and development,
inventory, equipment, start-up costs of semi-conductor
production, and for working capital. Office—78 Clinton
Rd., Caldwell Township, N. J. Underwriter — Edward
Hindley & Co., New York City.
10 cents).

ness

—

Manufacturers of barbecue machines and allied

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.

common

stock (par one cent).

Price—$3

per

shares of
share. Busi¬

ness—Manufacturers of educational and scientific equip¬
ment for poys and
purposes.

girls. Proceeds—For general corporate
Office—511 Homestead Avenue, Mount Ver¬

non, N. Y.
Underwriter—Fontana Securities Inc., New
York, N. Y.

.

•

Honey Dew Food Stores, Inc.
Jan. 27, 1961 (letter of notification) 116,000 shares of
common stock
(par 10 cents). Price—$2.50 per share.

Instrument Corp.

Industrial

Feb. 27, 1961 filed 60,000 shares of 6% second series cu¬
mulative convertible preferred stock (par $10) to be of¬

subscription by the holders of its outstanding
stock on the basis of

and first series preferred
share of

one new

and

preferred for each eight shares of com¬
share for each share of preferred held.
supplied by amendment. Business—The

one new

Price—To

be

manufacture and sale of instruments used to measure and

flow1,

the

level,

pressure

and

temperature

of

liquids and gases. Proceeds—To repay loans, buy new
equipment and for working capital. Office—8400 Re¬
search Road, Austin, Texas. Underwriter—None.
•

Inter-Mountain Telephone Co.

Feb.

of

ic Hickory Industries, Inc.
March 9, 1961 (letter of notification) 25,000 shares of
common stock (par 10 cents). Price—$5 per share. Busi¬

,

^Independent Telephone Corp.
March 8, 1961 filed .350,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—A
holding company with 11 subsidiaries in New York,

one

(3/31)
filed 465,000 shares of common stock to
for subscription by stockholders on the basis

1961

23,

be offered

None.

one

Inc., Teaneck, N. J.

control

2, 1961

common

of

—

mon

St., Honolulu, Hawaii. Underwriters — Dillon, Read &
Co., Inc., New York City and Dean Witter & Co., San

stock

common

consisting

of

bank loan and for construction. Office—900 Richards

v

Income

Dec.

fered for

(4/5)

bottlers, etc. Office—
Colo. Underwriters-

Purvis & Co. and Amos C. Sudler & Co., both of Denver,
Coio.
■

common

March

Price
organ¬

and services for the fiberglass

March 9, 1961 filed $12,000,000 of first mortgage bonds,
series L, due April 1, 1991. Proceeds—For the repayment
a

was

ized in

units

S. E. Second

pre¬

For general corporate

Road, Lynbrook, L. I.,
Bursteip & Co., Inc., 40
Exchange Place, New York City.
purposes.

N. Y.

Great Lakes Bowling; Corp.
Feb. 24, 1961 filed $1,250,000 of

3,

150,000 shares of

stock (par one cent). Price—$2 per share. Busi¬
ness—The design and manufacture of precision measur¬
common

necessary to make loans to such
704 Equitable Building, Denver,

March

•

F. S.

Grayco Credit Corp.
16, 1961 (letter of notification) $150,000 of 10-year
7 % sinking fund debentures and 75.000 shares of com¬
mon stock
(par $1) to be offered in units consisting of
50 shares of common and $100 of debentures.
Price—$200
per unit. Proceeds — For working capital. Office —1012
Market St., Johnson City, Tenn. Underwriter—Branum
Investment Co.. Inc.. Nashville. Tenn.

Jan.

6%

' ;

•

Johnson Co.

pansion.

Giannini Scientific

purposes.

;

•,

,,;

Hydroswift Corp.

Corp. (4/4)
28, 1961 (letter of notification) 50,000 shares of
common stock (par 10 cents).
Price—$4 per share. Busi¬
ness—The distribution and sale of geriatric pharmaceuti¬

writer—T. M. Kirsch Co., New

•

Underwriters—Blyth & Co., Inc., New York City
Moseley & Co., Boston, Mass. Offering—Ex¬
pected in late April.
/

withdrawn March 9.

Geriatric Pharmaceutical

Feb.

45

:•

^Howard

Nov. 10, 1960 filed 838,718 shares of common stock, Price

,

(letter of

Business—The

nent.

Home Lab Supply, Inc. (4/3-7) i
Feb. 15, 1961 (letter of notification) 100,000

notification) 300,000 shares of
Common stock (par one cent). Price—$1 per share. ®^sl"
ness—Operates facilities for docking motor boats. Pro¬
ceeds^—For general corporate purposes. Address
P. O.
Box 271, Absecon, N. J. Underwriter—None.
March 8,

1

Francisco.

Inc.

1961 filed 80,000 shares of common stock and
160,000 warrants to purchase a like number of common

Jan.

St., New York City. Underwriter—None.

37

General Supermarkets, Inc*
<
Jan. 17, 1961 filed 110*000 shares of common stock. Price

derwriter—Kidder, Peabody & Co., Inc., New York, N. Y.

Guaranty Title & Trust Co.

of notification) 83,125 shares of
cents). Price—$3.60 per share.
Proceeds
To pay a second mortgage instalment, for
advertising, and for working capital.,Office—1Q99>N.,>E.
79th St., Miami, Fla. Underwriter—Floyd D. Cerf Jr.
Co., Inc., Chicago, 111.
;A%l '
29,

common

42nd

•

6, 1960 filed 500,000 shares of common stock. Price

dustrial and

cipal, sells mutual fund securities and life insurance, and
finances the payment of life insurance premiums. Pro¬
ceeds—For additional working capital. Office—130 W.

Note—This

Company

Tampa, Inc.

(1209)

new

share for each three shares

held of record

supplied by amendment. Pro¬
ceeds
For the repayment of loans.
Office—Bristol,
Tenn. Underwriter—Courts & Co., Atlanta, Ga. and New
York City (managing).
March

Price—To

17.

be

—

International Life Insurance Co. of Buffalo

filed 350,000 shares of capital stock. Price
—$5 per share. Business—The company was organized
under New York law in March 1960 and is licensed to
Feb. 21, 1961

has not
filing date. Proceeds—
For the general conduct of business and the setting up
of reserves against policies as written. Office—310 Dela¬
ware Ave., Buffalo, N. Y. Underwriter—None. ■
,
conduct

an

insurance business in that state, but

commenced operations as of the

Mosaic Corp.
(letter of notification) 99,333 shares of
stock (par 10 cents). Price—$3 per share. Busi-;

International

Sept. 30,
common

1960

Continued

on

page

38

38

The Commercial and Financial Chronicle

(1210)

Continued from

of radio

37

page

frequency connectors. Proceeds—For expansion,
loans and for working capital. Office—

Manufacture of glass

—

mosaics by machines and

—B. G. Harris &

Ross,

chemicals

ment,

and

of

at wholesale of home

ishings and

office

photocopying equip¬
Proceeds—For expansion
—
564 W. Randolph St.,

paper.

and

holders.

<

International Safflower Corp. '.Vr
Aug. 3, 1960 filed 60,000 shares of class A common stock
(par $2). Price—$5 per share. Proceeds—To retire out¬
standing loans, buy seed, buy or lease land, building, and
machinery, and for working capital. Office—350 Equit¬
able Bldg., Denver, Colo. Underwriter — Copley & Co.,
Colorado Springs, Colo.

March

6,

stock.

stock

Kreisler

registered subordi¬

Feb.

—Sale

corporate

June, 1960, to purchase, invest
Proceeds—For invest¬

N.

structural

steel.

Office

purposes.

Proceeds

—

Somerset

—

For

Street,

of

Asbestos

Jensen Industries

shares), and 175,for public

common

stock

to

be

offered

Office—165

So.

Mission

Rd.,

Los

-

Angeles,

stock

(par 10 cents). Price—$4 per share. Pro¬
new machinery and
equipment, in¬
crease
inventory, research and development and work¬
ing capital. Office—950 S. E. 8th St., Hialeah, Fla. Un¬
derwriter—Netherlands Securities Co., Inc., New York,
ceeds—To purchase

N. Y.

Industries, Inc.

Feb. 24, 1961

(letter of notification) 75,000 shares of com¬
stock (par 10 cents).
Price—$4 per share. Business

—-Design, lay-out, installation and maintenance of indus¬
trial heating and
air-conditioning systems. Proceeds—
For the purchase of
inventory for current business; pur¬
chase of
machinery, equipment and inventory for pro¬
posed manufacturing
business; sales promotion and re¬
Office—8801-11

Farragut Road, Brooklyn 36,
Underwriter—Fontana Securities, Inc., 82 Beaver

.

stock class A
(par 10 cents). Price—$3 per
Proceeds—For expenses in the fabrication of sheet

common

■hare.

metal parts for

missiles, rockets, radar and marine items.
Address—Hagerstown, Md. Underwriter—Batten & Co.,
Washington, D. C.
1
*
'
v
/
..

Marine Structures Corp.
Feb. 1, 1961 (letter of notification)

100,000 shares of
(par one cent). Price—$3 per share. Pro¬
purchase raw materials, advertising and for
working capital. Office—204 E. Washington St., Petastock

common

ceeds—To

luma, Calif. Underwriter—Grant, Fontaine & Co., Oak¬
land, Calif.
Matthews

Feb.

Corp.
I
7"*.
(letter of notification)- 200,000 shares >f

28, 1961

stock

common

(par

$1).

Price—$1.50

share/ Pro¬

per

^retire bank loans; purchase

equipment
working caiptal. Office—12923 Cerise Street,
.Hawthorne, Calif. Underwriters—Holton, Henderson &
Bernadino Mountains. Proceeds—To reduce indebted¬
-n.Co., Los Angeles, Calif., and Sellgren, Miller & Co., San
ness, with the balance for general corporate purposes,
Francisco, Calif.
'
7
'''''/
including working capital. Office — Lake Arrowhead,
• Max Factor & Co.
Calif. Underwriters
Van Alstyne, Noel & Co., New
March 6, 1961 filed 400,000 shares of class A
stock, .of
York City (managing) and Sutro & Co., San Francisco.
which 200,000 are to be offered |for public sale by the
Landmark Corp.
company and 200,000 shares, being outstanding stock, by
Jan. 27, 1961 filed 30,000 shares of $5 par common stock.
the present holders thereof. Price—To be related to the
Price—$10 per share.
Proceeds—For construction, cost ; current market price of the stock on the American Stock
of land, office equipment, and working capital.
Office— 7 Exchange immediately prior to the offering. Business*—
212 W. Jefferson St., Fort Wayne, Ind.
Underwriter- 7 The development, manufacture and sale of a general line
of cosmetics. Proceeds—For
First Security Corp., Fort Wayne, Ind. '
construction, expansion, ad¬
7
ditional plant equipment and for working
capital. Office
"Lapidoth" Israel Oil Prospectors Corp. Ltd.
—1655 North McCadden Place,
Hollywood, Calif. Un¬
Oct. 27, 1960 filed 1,500,000 ordinary shares. Price—To
derwriter—Blyth & Co., Inc., New York City. Offering
be supplied by amendment, and to be payable either
—Expected in~mld-April.
totally or partially in Israel bonds. Business—The com¬
• Mead Corp. (4/18)
pany was organized in October 1959 as a consolidation
March 8, 1961 filed $25,000,000 of
of individual and corporate licensees who had been oper¬
debentures, due April
15, 1986. Price—To be supplied by amendment/Business
ating in the oil business as a joint venture. Proceeds—
—The manufacture and sale of
For exploration and development of oil lands.
paper and paperboard
Office—
new

for

■

.

22

Rothschild

Tel-Aviv,

Israel.

Underwriter—

ir Leeds Homes, Inc.'
filed $1,000,000 of 6% subordinated sink¬
ing fund debentures, due 1976 and 300,000 shares of com¬
mon stock to be offered for
public sale in units consist¬
ing of $10 principal amount of debentures and 3 com¬
mon shares. Price—To be
supplied by amendment. Busi¬
ness—The company, formerly Aluminum Siding & Sup¬
ply Corp., is a holding company whose subsidiaries are
engaged in the sale, construction and financing of shell
homes. Proceeds—For construction, working capital, and
March 9, 1961

investment

in

mortgages

on

shell homes.

Office—2501

Ailor

Jan.

Meadow, N. Y.

Kavanau Corp.

efp*®3?' 19?Soiled 250>000

shares of

common stock

Ave., Knoxville, Tenn. Underwriter—J. C. Brad¬
& Co., Nashville.
*
/
,.

AprU0^'' NGW Y°rk' N' Y* OUerinS~Expected

Kings Electronics Co., Inc.

LSIfiled 295>187

in

(3/27-31)

shares of

common

stock

offered for public sale

of

by the

m'187+lhares' beinS outstanding stock, by
Th°P outstanding shares
Jeof- *rice~$4 per share for the
The nlft
will
+

be offered at the

price on the

over-the-counter market

SktS a?yany time after 60
secu"ties exchange
at

upon which they may be
days from the date of the
company's offering. Business-The
company is engaged
listed

design, development

and manufacture

Homes, Inc.
1961 (letter of notification) 100,000 shares of
stock (par 50 cents) and 100,000 of 9% con¬

19,

common

vertible debentures

due

units of 100 shares of

March

1, 1971 to be offered in
stock

and 1-$100 of de¬
share; of debentures,
$300 per unit. Proceeds—For working capital. Office—
7001 W. Broad St., Richmond, Va. Underwriter—Bellamah, Neuhauser & Barrett, Washington, D. C.

bentures.

Price—Of

Lockwood

(par

$1). Price—$10 per share. Business—A
real estate invest¬
Proceeds—For acquisition of
properties,
working capital and general
corporate purposes. Office—
415 Lexington
Ave., New York. N. Y. Underwriter
Ira

ment company.

be

Blvd.,

None.

Jungle Juice Corp.
28, 1960 (letter of notification)
120,000 shares of
common stock
(par 25 cents). Price—$2.50 per share.
Proceeds—For working capital and
expansion. Address
-—•Seattle, Wash. Underwriters—Planned
Investing Corp..
New York, N
Y. and
Fidelity Investors Service, East




Price—At par

Le-Wood

Oct.

in the

stock

Electronics

&

Manufacturing Inc.
Sept. 22, 1960 (letter of notification) 100,000 shares of

?

and

ford

principally

New

ceeds^—To

N7 Y.
Street, New York, N. Y.

prevailing market

.

St., Milwaukee, Wis. Underwriter
—Paine, Webber, Jackson & Curtis, New York City
(managing).'.// ;'777 ;7\ yy/•■■■■;.
.77 7, ,:-f7
:/7 V.

■

& Co., New York

City and Thomas Jay, Winston & Co., Los Angeles, Calif.
• Jet-Aero
Corp.
I
Feb. 10, 1961 (letter of
notification) 62,500 shares of

new stock.
stock

1958, and a wholly-owned subsidiary of Marine Corp., a
holding company. Proceeds—For investment. Of¬

bank

,

75,000 shares of com¬
share. Proceeds—For

Underwriters—Maltz, Greenwald

to

Inc.,

management investment/ company or¬
the Small Business Investment ? Act >of

—

(3/29)
per

are

Co.,

(4/3-7)

.

262,500

common

Feb. 9, 1961 (letter of
notification)
mon stock
(par $1). Price—$4

i?'

Securities

Corp.

fice—6221 North Water

Development Co. (3/27-31)
1961 filed 300,000 shares of common stock. Price
per share. Business — Managing and developing
Arrowhead property, which is located in the San

the

construction and working capital.
Office—1408
Whitney Building, New Orleans, La. Underwriter — A.
G. Edwards & Sons, St.
Louis, Mo. (managing). ;

which 250,000

Underwriter—Albion

Y.

under

—$10

—For

•

ganized

Jan. 10,

in units
consisting of four common shares and a
$60 debenture (with a warrant to purchase six common
shares initially at $J per share).
Price—$80 per unit.
Business—The production and sale of asbestos. Proceeds

early

non-diversified

automobiles.

of

Lake Arrowhead

sale

serves.

r-'

(letter of notification) 60,000 shares of
(par $1)7 Price—$5 per share. Business

rental

and

Marine Capital

,

Corp. (3/21-22)
Jan. 9, 1961 filed $2,625,000 of 6^% series A subordi¬
nated sinking fund debentures due 1972
(with series A

mon

and

yv.;•7;

7 Feb. 16, 1961 filed 667,000 shares of common stock. Price
—$15 per share. Business—The company is a closed-end,

Corp.
14, 1961 (letter of notification) $300,000 of 6V2%
convertible
subordinated
debentures,
series
A, due
March 1,1981. Price—At face value. Proceeds—To reduce
short-term loans and for working capital. Address—Sanford, Maine. Underwriter—Mann & Creesy, 70 Washing¬
ton St., Salem, Mass.
■' ' ■.
V-7

tional and operating expenses. Office—52 Wall
St., New
York City. Underwriter—None.

Jodmar

Street, New York

(Charles), Inc. (4/17)

yy

purchase of equipment and tooling, re¬
development and working capital. Office—
199 Devon Terrace, Kearny, N. J.
Underwriter—Meade
& Co., New York, N. Y.
:
-

Lake Aircraft

Fund, Inc., a new open-end diversified investment com¬
of the management type. Proceeds—For organiza¬

common

43rd

-v

.

search

Feb.

pany

Calif.

West

■

Proceeds—For

and

30,000 shares of
($10 per share). Proceed!
—For purchase of creative design and printing of cata¬
logs, stamp booklets, advertising and for working cap¬
ital. Office—300 W. 61st St., Shreveport, La. Underwriter ;
—International Sales & Investment, Inc., 4501 North
7
Blvd., Baton Rouge, La.

organized under Delaware law in January
1961 to sponsor the organization of the Jefferson Growth

expansion.

Office—300

stock

common

13, 1961 filed 30,000 shares of class B common
(non-voting). Price—$10 per share. Business—The

warrants to purchase

serums

grouping

yy"

Electronics

Marine

company was

•

of blood

purpose

Savings Stamp Co., Inc.
Sept. 27, 1960 (letter of notification)

March

shares

the

Avenue, New York City. Under¬

ir Jefferson Counsel Corp.

000

for

York, N. Y.

Brunswick, N. J. Underwriter—L. L. Fane & Co.,
Inc., Plainfield, N. J.

Lake

manufacture,

line of diagnostic

7

taarcon

Corp. (4/3-7)
Feb. 27, 1961 (letter of notification) 30,000 shares of com,,mon stock (par $1).
Price — $10 per share.
Business —
Manufacture
of
electrical
and
electronic
equipment.

Proceeds—Acquisi¬
tion of cars for rental purposes; acquisition of additional
salesroom; advertising and sales promotion and for
working capital. Office—241 Park Avenue, New York,

(par 50 cents). Price—$2 per share. Busi¬
of

•

company

1961

27,

common

New

Jefferson

used

stockholders.

Irvington Steel & Iron Works (3/27-31)
13, 1961 (letter of notification) 150,000 shares of

-

cells

a

LP Gas

Fabricators

aging).;

shares of class A

share. Business—The

per

(man¬

;

;

;

(3/27)

31, 1961 filed 150,000 snares oi common stock of
which 50,000 shares will be offered for the account pf
the issuing company and 100,000 shares, representing
outstanding stock, will be offered for the account of the
present holders thereof. Price — To be supplied by
amendment. Business—The manufacture of motion pic¬
ture projectors and related equipment. Proceeds — For
general corporate purposes, including working capital.
Office—1227 West Loyola Ave., Chicago, 111.
Under¬
writer—McDonnell & Co., Inc., New York City (man¬

City. Underwriter—None.

Feb.

stock

v

also operates blood donor centers
in New York and Philadelphia. Proceeds—For the selling

writer—None.

general

Price—$6

testing. The

in and sell real estate mortgages.

common

-

-

packaging and distribution of
and

$300,000
each, due June 30, 1965, 1966 and 1967, respectively.
Price—$4,315; $4,190 and $4,079 per $5,000 of debentures.
Business—The company, a wholly-owned subsidiary of
Investors Funding Corp. of New York was organized

ness—

-

.

,

nated debentures to be offered in three series of

ment. Office—511 Fifth

;

Knickerbocker Biologicals, Inc.
Dec. 23, 1960, filed 100,000 outstanding

Collateral

under New York law in

& Johnson, Fort Lauderdale, Fla.

aging).

.

Corp.
1961 filed $900,000 of 6%

furniture, interior decorative furn¬
objects. Proceeds—To the selling share¬
Mart, Chicago, 111. Under¬

are

Office—Merchandise

writer—Roman

working capital. Office
Chicago, 111. Underwriter — J. J. Krieger & Co., New
York City.
• :
■■
:
" v-

iinvesco

/

mon

—

distributor

Road, Tuckahoe, N. Y. Underwriter—
Co., Inc., New York City (managing).

&

Feb.

Photocopy Corp.
Feb. 28, 1961 (letter of notification) 100,000 shares of
common stock. Price
$3 per share. Business — Manu¬
and

Lyon

Thursday, March 16, 1961

.

Jan.

Knapp & Tubbs, Inc.
13, 1961 filed 150,000 outstanding shares of com¬
stock. Price—$4 per share. Business—The selling

Co., Inc., New York, N. Y.

International

facturer

Marbledale

40

Proceeds — For general corporate purposes.
Office—45 East 20th St., New York 3, N. Y. Underwriter

processes.

.

Mansfield Industries Inc.

the repayment of
Bess

.

Feb.

common

stock, $2

Grader

per

Corp.

$500,000 of 6% sinking fund deben¬
tures, series A (with warrants for the purchase of 15,000
shares of class A common stock), and 30,000 shares of
A

ment.

common

stock.

Price—To

be

filed

by

machinery and grading, sorting and handling
machinery, primarily for use in the potato industry.
Proceeds—For working capital.
Office—Gering, Nebr.
Underwriter—First Trust Co. of Lincoln, Neb. Offering
in

late

March.

•

Majestic Specialties, Inc.
March 7, 1961 filed 140,000 outstanding shares of com¬
mon stock.
Price—To be supplied by amendment. Busi¬
ness—The firm is chiefly engaged

in making and selling
— 340
Claremont
Ave., Jersey City, N. J. Underwriter—Hayden, Stone &
Co., New York City (managing).
ladies'

O.

ton,

Underwriters—Drexel

Harriman Ripley &

& Co., Philadelphia and
Co., New York City.
7
7:
,

Mensh

Investment

&

Development

Associates,

■nc.

Nov.

17, 1960 filed $969,000 of debentures and 32,300
shares of stock being offered for subscription by stock¬
holders upon the exercise prior to their expiration on
March
to
of

be

22

of

rights evidenced by subscription warrants

issued

on
the basis of one right for each share
capital stock held of record Feb. 10. Thirty-five rights

of

to

needed

are

subscribe

debentures

and

25

for

the

shares

minimum

of

stock.

unit of $750
Price—100%

and $10
per
share of stock.
Busi¬
principal assets of the company are an office
building at 1910 K St., N. W., Washington, D. C. Pro¬

debenture

per

ness—The

ceeds—To retire certain

obligations; make improvements
property; retire debentures due 1961, and to construct
acquire income producing properties. Office — 1625
Eye St., N. W., Washington, D. C. Underwriter—None.
on

or

Note—This statement
•

was

effective Feb. 20.

Electronics Corp.
1960 (letter of notification) 100,000
stock (par five cents).
Price — $3

Mercury

Dec.

30,

common

sportswear coordinates. Office

—For

T.. T.,

general
N. Y.

corporate

purposes.

Underwriter—S.

shares
per

Mesabi

of

share.

Proceeds

Address—Mineola,

Schramm

York City. Offering—Imminent.

amend¬

Business—The manufacture and sale of field agri¬

cultural

—Ejected

products. Proceeds—To retire short-term loans and for
capital improvements. Office—118 West First St., Day¬

Business—Manufacturers of testing equipment.

2, 1961 filed

class

.

&

Co.

Inc., New

,

Iron Co.

Jan.

10, 1961 filed 180,000 shares of capital stock, to be
offered for subscription by the company's stockholders.

Price—To be

tablish

supplied by amendment. Proceeds—To

reserve

for

1960

es¬

tax

payments. Office — 452
Fifth Ave., New York City. Underwriter—None.
Note—
a

1 it was reported that the company is
awaiting a
ruling, subsequent to which a decision will be made

Feb.
tax
as

to whether

or

not the offering will be made.

Metropolitan Securities, Inc.
Nov.

17,

class

A

1960

(letter of notification)

100,000 shares of
(par $1). Price—$3 per share.
Proceeds — For working capital.
Office — 919-18th St.,
N. W., Washington, D. C.
Underwriter — Metropolitan
common

stock

Volume

.

'

**

193

Number 6038

•

•

1

-

.

»

;

■

.

.

The Commercial and Financial Chronicle

.

"

t.

•

Brokers, Inc., Washington, D. C. Offering
sometime in March.

Michigan Gas Utilities Co.
Feb.

(4/10-14)

23, 1961 filed 100,000 shares

of

—Bache &

Expected

—

•"

"

:

stock

tion

287,500. Proceeds—The net proceeds, to¬
gether with the private sale of $3,500,000 of first mort¬
gage bonds, will be used to repay short-term bank loans

grade

incurred for

construction, and other corporate purposes.
Office—6 South Monroe St.,
Monroe, Mich. Underwriter
—Kidder, Peabody & Co.. Inc., New York City (man¬
aging).■■■
■.
•

stock

common

Proceeds

.(par

For

Morton
Feb.

,

300,000 shares of
cents).- Price—$1.25 per -share.

10

purchase

—

of

one

$1

per

share

unit.

of

stock

Business

and
—

850

of

•

a

be

sold

at

1

i

Business

—

The

company

and

territories of the United

basis of

-

.

Minitorte

Electronics, inc. (3/20-24)
11, 1961 filed 185,000 shares of common stock
for public offering.
Price—$3 per share. Business—The
firm was organized last March for the purpose of making
and selling small DC motors and certain consumer
prod¬
ucts using such motors. Proceeds—For debt reduction

common

.

erty, and mail.
and

for

reduce

Brothers,

corporate

Office

—

Note

shares

prop-

balance
Miami Inter¬

Airport, Miami, Fla.
Underwriter — Lehman
New York City (managing). Offering—In¬

definite.

'

• National Bagasse Products Corp.
14, 1961 filed 16,200 units, each unit consisting
of $100 of debentures, 30 shares of class A common and
10 warrants (to buy a like number of class A
shares).
Price—$163.85 per unit. Business—Manufactures compo-

March

(3/28)

Feb. 17, 1961 filed 100,000 shares of common. stock/Trice
be supplied by amendment.
Business—The com¬

-

—To

subsidiary of Mississippi River Fuel Corp., is con¬ L-Sition.boardi hard board and insulating board from, ba¬
gasse, a waste product of sugar refining. Proceeds—To
structing a natural gas pipe line which will extend from
build a new plant at Vacherie, La. Office—821 Gravier
Clay County, 111., to St. Louis County, Mo., a distance of
about 94 miles. Proceeds—For construction and working
St., New Orleans, La. Underwriters—S. D. Fuller & Co.,
New York City, and Howard, Weil,
Labouisse, Fredrichs
capital. Office—9900 Clayton Road, St Louis, Mo. Un¬
& Co., New Orleans (managing). Offering—Expected in
derwriters—Eastman Dillon, Union Securities &
Co.,
New York City and Dempsey-Tegeler & Co., St. Louis,
early May.

pany, a

Mo.-(managing).
Mobile

-

■

v

•

Feb.

Corp.
. - t
Sept. 14, 1960 filed 25,874 shares of common stock and
1,000 shares of $100 par 6% cumulative convertible pre¬
ferred stock.

by
of

The stock will be offered for subscription

shareholders
new

share

common

of

new

of

record

on

basis

the

two

shares

for each three such shares held and

preferred for each

held, the record date in each

38.81

case

Prices—For common, $10 per share;

share.

of

common

one

pansion, repayment of loans, working capital and other

shares

general corporate purposes. Office — 152 Market St.,
Paterson, N. J. Underwriter—Granbery, Marache & Co.,
New York City (managing).

being Sept. 1,

1960.

for preferred, $100

Business—The purchase

of conditional sales
contracts from dealers in property so sold, such as mobile
homes, .trailers, boats, and motorcycles. Proceeds—For
working capital. Office—100 E. Michigan Ave., Jackson,
per

Mich. Underwriter—None.

,

Model Finance Service,

,

?

•

seafood meat and

.

stitutions

•

Mohawk

Insurance

Edelstein

Underwriter—Paul

F
Y.

Corp., Inc.

Jan.. 17,

1961 filed 3,000 shares of common stock. Price
shard. Business—The company was organized
under Kansas law in October 1960 and is applying to
the Small Business Administration for a Federal license
—$100

per

-

•

small business investment company. Pro¬
general corporate • purposes. Office-—719

to operate as a
ceeds—For

Walnut St., Coffeyville, Kan.

poultry for use by restaurants and in¬

frozen

Co., Inc., New York City.

v

Insurance & Growth Fund, Inc.
1961 filed 111,000 shares of common stock, of
which 11,000 will first be offered to not more than 25
persons and the remaining 100,000 will be offered for
public sale. Price — $9.15 per share (for the 11,000
shares), and $10 per share (for the 100,000 shares). Busi¬
ness—The company was organized under Delaware law
in August 1960 to invest in companies believed to have
growth possibilities, especially in the life insurance field.
Proceeds—For investment. Office—737 Grant St., Denver, Colo. Distributor — National Western Management
Corp., Denver, Colo.

(3/27-31)

Mokan Small Business Investment

and

National Western

Jan.

Aug. 8, 1960, filed 75,000 shares of class A common stock.
Price—$12 per share. Proceeds—For general funds. Of¬
fice—198 Broadway, New York City. Underwriter—R.
Dowd & Co., Inc., 39 Broadway, New York' 6, Nj

(3/27-31)

Inc.

ready-to-heat meals for distribu¬
through vending machines. Proceeds — To repay
loans; purchase additional machinery; establish a food
laboratory, and for advertising, promotion, and working
capital. Office—Blue Anchor, N. J. Underwriter—Robert

111. Offering—Imminent.

Co.

Marketers,

tion

Price—To be supplied by amendment. Proceeds—To be
added to the company's general working funds. Office—

Mich.

Food

$4 per share. Business—The company is engaged in the
processing and packaging of quick-frozen, prepared

Inc.

202 Dwight Building, Jackson,

National

Jan. 27, 1961 filed 100,000 shares of common stock. Price

May 26 filed 100,000 shares of second cumulative pre¬
ferred stock—650 convertible series, $5 par—and $1,000,000 of 6V2% junior subordinated debentures, due 1975.

C. Kimball & Co., Chicago,

National

Bowl-O-Mat Corp.
(4/10-14)
24, 1961 filed 220,000 shares of common stock (par
$1). Price—To be supplied by amendment. Business—
The company was organized under New Jersey law on
Jan. 10, 1961 for the purpose of owning and operating a
national chain of bowling centers.
Proceeds — For ex¬

•

Credit

27,

Nedick's

Stores,

Inc.

Feb. 21, 1961
20 cents), of

filed 185,000 shares of common stock (par
which 60,000 shares are to be offered for
the account of the company and
125,000 outstanding
shares by the present holders thereof. Price—To be supplied by amendment.
,Proceeds — For expansion and
working capital. Office—513 West 166th St., New York,
N. Y. Underwriter—Van Alstyne, Noel & Co., New York
-City (managing). Offering — Expected late March-toearly April.

Underwriter—None.

"

•

Monarch Electronics

International, Inc.

Oct. 31, 1960
—To

be

filed 200,000 shares of common stock. Price
supplied by amendment. Business—The com¬

and
if-4

be
rs.

:S-

f

52

a

retire bank loans and for working
Laurel Canyon

name

Office—7035

capital.

Boulevard, North Hollywood, Calif.

derwriters—Pacific

Coast Securities

V

de

e.

t.,

•

Saxe,

production.

Mortgage Guaranty Insurance Co.
1960 filed 155,000 shares of common stock (par
Price—To be supplied by amendment. Business-

t|

Insuring lenders against Toss on residential-first mort¬
gage
loans, " principally on
single family non-farm
homes. Proceeds—For capital and surplus.
Office—606

C- -5

West Wisconsin Avenue,

m




Milwaukee, Wis.

-

Underwriter

Oil &

—

For general corporate purposes.
Wichita Falls, Texas. Un¬

Gas Bldg.,

derwriter—None, but 102,500 of the shares

Oct; 17,

$1).

Proceeds

Office—620

-

•

5
of

Normandy Oil & Gas, Inc.
Aug. 31, 1960 filed 750,000 shares of common stock. Price
—$1 per share. Business—Oil and gas exploration and

Un¬

Co.,- 240 Montgom¬

ery Street, San Francisco, Calif., and Russell &
Inc., New York City. Offering—Imminent.
fe*

•

Arrow Elec¬
and sells electronic
high fidelity parts and equipment.
Proceeds—To

pany, organized in 1958 under the
tronics International, Inc., imports

for

.

commissions

to

selling

brokers

shares for each 100 shares sold.
..

North American Car

-

at

reserved
rate of 15

are

the

.

Corp. (4/3-7)
Feb. 21, 1961 filed 150,000 shares of common stock. Price
—To be related to the-market price for the outstanding

the

7

Business

of

—

development,, design,

electronic

components

for

capital

The

use

Corp.,

stock.

company

production
in

is

and

communica-

Inc.

(4/17)

3, 1961 filed 2,000,000 shares of common stock to
offered to investors through a tax-free
exchange of

be

indebtedness, with the

purposes.

of

shares for securities of

Pn ceeds—To make payments on planes

short-term

general

national

and general corporate purposes, including working cap¬
ital. Office—55 W. 13th St., New York City. Underwriter
—None.
:

i

engaged

share.

per

Ohio-Franklin Fund,

Business—

persons,

Jan.

$5
in

—

Ave., S.,

Feb.

-

18

Proceeds—

Investors

—

of convertible subordi¬

$100 of debentures for each

E.

television, data-handling,, naviga¬
tional, and industrial control equipment. Proceeds—For
expansion, new equipment, and working capital. Office
—550 Springfield
Ave., Berkeley Heights, N. J. Under¬
writer
Norton, Fex & Co., Inc. (managing), Globus,
Inc., Alessandrini & Co., Inc., Sterling, Grace & Co.,
Hardy & Hardy, all of New York City; Hecker & Co.,
Philadelphia; Clayton Securities Corp., Boston.

municipalities,

Price—To be supplied by amendment.
Domestic and international transport of

R.

commercial radio and

States. Sponsor—

held.

devices.

Nytronics, Inc. (3/17-20)
27, 1961 filed 100,000 shares

Price

sale

manufactures,

City.

electronic

Jan.

nated debentures, due 1975, to be offered for subscrip¬
tion by holders of the
outstanding common stock on the

ing capital. Office—Arcadia, Calif. Underwriter—Lester,
Ryons & Co., Los Angeles Calif.

River Transmission Corp.

12,000

Sept. 21,

7^/2% underwriter's commission; the stock will be sold
share. Proceeds—For debt reduction and work¬

Mississippi

stock, of

sale

by the*
shares,*"-being ^outstanding * stock,

National Airlines, Inc.
1960 filed $10,288,000

/

at $3 per

•

common

public

Ira Haupt & Co., Ill Broadway, New York
—This statement was effective on Feb. 14.

with

par,

for

states,

counties

Prices—The debentures will

be offered

(3/20-24)

March

stock.

and

190,000 shares of
to

are

Sept. 1, 1960 filed $20,000,000 of interest in the Fund to
be offered in 20,000 units." Business—The Fund will
pur¬
chase
tax-exempt securities of

Co.

15, 1961 filed $240,000 of 6% subordinated sink¬
ing fund debentures, due 1971, with stock purchase war¬
rants attached, together with 75,000 shares of
capital

filed

•

Municipal Investment Trust Fund, Series A

—

B.)

-

packages and sells many food items such as
potato chips, salad dressing, pickels, honey, tea and
spices. Proceeds — To build and equip two additional

debentures.

financing in the home building industry. Pro¬
ceeds
To start its lending activities. Address
P. O
Box 886, Rapid City, S. D. Underwriter—None.
(D.

1961

of

Babylon, N. Y. Underwriter—I.
Levittown, N. Y.

manufacturing plants and warehouses. Office?— 6333
Denton Dr., Dallas, Tex.
Underwriter—Eppler. Guerin &
Turner, Inc., Dallas, Tex. ^(managing).

interim

it Milliken

ness—Manufacturers

For general corporate purposes. Office—3 Carll

Underwriter—

processes,

The company will do

—

property and in high
investment. Office—1212

Foods, Inc.

amendment.
r

—

units

Price

—For

• Northern Instrument Corp.
10, 1961 (letter of notification) 75,000 shares of
common stock (par one
cent). Price—$4 per share. Busi¬
March

by the present holders thereof. Price—To be supplied
by

of

Midwestern Acceptance Corp.
\"v h;\/. V- —
Sept. 8, 1960, filed 1,169,470 shares of common stock and
$994,050 of 6% debentures, to be offered for public sale
in

Proceeds

178,000

-company

parts;

Office

17,

which

j

equipment; inventory of
working capital; and research and development.
120 S. Fairfax,
Denver, Colo. Underwriter—
Amos C. Sudley & Co., Denver, Colo.
■
•
,
—

bonds.

Exchange
Building,
Memphis,
Tenn.
Mortgage Management Corp., Memphis.

^

• IViicrotron Industries, Inc.
«
r
1, 1961 - (letter • of notification)

March

—

shares of common stock.
Price—Net asset value plus a maximum sales
charge of
8%%. Business—A non-diversified open-end investment
company which will invest primarily in Governmentinsured mortgages on residential

about

of

39

shares at the time of the
offering. Proceeds
For re¬
financing equipment trust notes, with the balance lor
working capital. Office—Chicago, 111. Underwriters—
Glore* Forgan & Co. and Merrill Lynch,
Pierce, Feriner
& Smith Inc., both of New York
City.

March

total popula¬

a

Note—This

• Mortgage Trust Corp.
10, 1961 filed 400,000

(par

$2.50). Price—To be supplied by amendment. Business
•—The distribution of natural
gas to some 50 localities in
southern and western Michigan

having

Co., New York City (managing).

stock is not qualified for sale in New York State. Offer¬
ing—Expected in May.
*

•-

common

<1211)

a

selected list of companies. Ex¬

change Price—Net asset value

share). Business—A

new

(expected to be $10

fund which provides

a

per

medium

through which holders of blocks of securities may obtain
diversification and continuous professional investment
management without incurring Federal capital gains tax
liability upon the exchange. Proceeds—For investment.
Office—51 North High St., Columbus, O. Distributor—
The Ohio Co., Columbus, O.

Orange & Rockland Utilities, Inc. (4/20)
$12,000,000 of first mortgage bonds,
15, 1991. Proceeds—For redemption
of $6,442,000 of first mortgage bonds, series B, due
May

March 14, 1961 filed
series G, due April

lj 1961; for repayment of bank loans and for construc¬
tion.

Office—10 North Broadway, Nyack,

N. Y. Under¬

writers—To be determined by competitive bidding. Pre¬
vious bidders: Halsey, Stuart & Co. Inc.; Equitable Secu¬
rities

Corp.; W. C. Langley & Co., Glore, Forgan & Co.
(jointly); First Boston Corp.; Merrill Lynch, Pierce,
& Smith Inc., Eastman Dillon, Union Securities
& Co., Kidder, Peabody & Co., and White, Weld^Sc Co.
(jointly). Bids—Expected to be received- on April 20.
Information Meeting—Scheduled for 11 a.m. (EST) April
13 at Bankers Trust Co., 16 Wall St., New York City.

Fenner

Packard

Instrument

Co.,

Inc.

(4/3-7)

Feb.

13, 1961 filed 100,000 shares of common stock. Price
—To be supplied by amendment. Business—The firm is
engaged in the development, manufacture and sale of
scientific instruments. Proceeds—For general corporate
purposes, including research and debt reduction. Office
—Lyons, -III. Underwriter — A. G. Becker & Co. Inc.,
Chicago, III. (managing).
•

Palm Developers Limited

(3/27-31)

filed 100,000 shares of common stock
,:(par 1 shilling). Price — $3 per share. Business — The
company intends to deal in land in the Bahamas. Pro¬
ceeds—To buy land, and for related corporate purposes.
Office—6 Terrace, .Centreville, Nassau, Bahamas. Under¬
writer—David Barnes & Co., Inc., New York City.
Sept,

V

8,

1960,

Panacolor, Inc.

j

Feb.

24, 1961 filed 200,000 shares of common stock (par
Price—$4 per share. Business—The company
plans to engage in the business of developing and print¬
ing color film primarily for the motion picture and tele¬
20 cents).

vision industries. Proceeds—For the construction of two
machines to print color film by the Panacolor Process;
for sales promotion, market development and officers'

salaries; for mortgage and interest payments; and for
working capital. Office—6660 Santa Monica Blvd., Holly¬
wood, Calif. Underwriter — Federman, Stonehill & Co.,
New York City (managing). Offering—Expected some¬
time in ApriL
Panoil Co.
Feb.
be

23,

1961 filed 3,000,000 shares of capital stock to
for subscription by stockholders
in units

offered

(each unit consisting of four shares) on the basis of one
each share of capital stock held. Price—To be

unit for

supplied by amendment. Business—The company, form¬
erly Pan American Land & Oil Royalty Co.; was organ¬
ized in 1956 to acquire petroleum concessions in Cuba.
.It obtained stock in certain Cuban royalty and conces¬

considered
petroleum
rights in Colombia, Turkey and Trinidad.
Proceeds—To repay debts and for working capital. Office
—1130 Republic National Bank Bldg., Dallas, Tex. Un¬
sion holding companies, which stock is now
value. At present the company has

without

concession

derwriter—None.

Development Co., Inc.

Pecos Land &

Jan. 31, 1961 filed 4,000,000 shares of common
which 500,000 are to be offered for public sale

stock, of
by offi¬

at $1 per share; 1,897,661 shares
are to be exchanged for various assets and businesses,
and may be offered for sale by the holders; and 914.574
shares may be issued by the company from time to time
in the acquisition of additional properties.
Business—
cers

The

of

the

company

acquiring, holding, developing and selling of land,
and mining properties, all located prin¬

and oil and gas

cipally in the Southwestern and Rocky Mountain regions
of the United States. Proceeds — For general corporate
purposes:;

Office—207 Shelby St., Santa Fe, New Mexico.

.Underwriter—None.
....

-

:

..

t

„

.

..

Continued

on

page

40

r

"f

*•.

40

{■■ >■

■

Continued from page 39

-

Personal Property

"■>

'I

machinery to

■N'

.

.

!.

,

.:

invest additional funds in

,

Leasing Co.

industrial and commercial firms to

Office—1116

M

-St. Louis

'

'N

(managing).

-

i
if
'

I!;]'

■*.

Pharmaceutical

$

Feb.

•»!.!

6,

1961

A

common

•

Electronics,

28,

in

Photronics Corp.

(6/15)

holders

present

ers.

■

10

ing capital.

1-

on

the

basis

of

three

shares

for

each

four

Price—To be supplied by amendment. Business—
design, development and manufacture of optical
and electro-optical
systems and components used in
aerial reconnaissance, photo-interpretation, photo-grammetry and optical scanning devices. Proceeds — For

•

Il\

-

Plastics Corp. of

Feb.

,'b.

$4.50

9,

1961

filed

America, Inc.
shares of

800,000

stock, of
to be offered first in exchange

To retire

the above

Minneapolis-St. Paul
for

area

Co.

notes, open a plant in the
provide working capital

Nebraska

and

held.

ment.

Delaware

working

for

capital.

Monica, Calif.

Santa

—

Distribution, sale and installation of building, insulating and acoustical products. Proceeds—For plant con¬
struction; expansion of its distribuiton of Perma-Glaze
and working capital. Office—2501 Northwest 75th
Street,
Miami, Fla. Underwriter—To be supplied by amend¬
.

i

a

ment.

Presidential

-ir

•

I-

•!

Ii'
,

t'VJ

'L

Realty Corp. (3/27-31)
Jan. 30, 1961 filed 150,000 shares of common stock. Price
—To be supplied by amendment. Business — The com¬
pany was organized under Delaware law in January,
1961, to acquire the outstanding stock of the Shapiro Co.,
which is engaged in the development of real estate
projects of various types. Proceeds—For construction;
acquisition of properties; development of projects; and

metals

and

manufacturer

a

rolled

reduction

of

bank

debt.

Office—180

South

Broadway,

general

common

27,

-.

Dyechem Co., Inc.
1961 (letter of notification)

stock

lants.
45

vl.

Proceeds—For general corporate purposes.
John Street,

Karasik &

Yonkers, N. Y.
Underwriter
Co., Inc., New York, N. Y.

—

-—$4.50

per

share.

are

N. Y.

Office
Frank

-

Business—'The company and its sub-

distributing
.

engaged in the business of manufacturing,,
and developing electronic equipment and

components

and

related

/

-

/

-

"••A,,

■

(3/27-31)

Jan. 27, 1961 filed 220,000 shares of *

common

•

stock. Price

r—$18 per shares Business—The company and its subi sidiaries
are engaged in the business of
selling and fi¬

nancing book& sales. Proceeds—To acquire the assets of
Books, Inc., 1140 Broadway, New York City; to invest
Cln a new District oL Columbia company, Books,
Inc.; to




new

(3/20-24)
common

stock. Price

be

supplied by amendment-Business—The com¬
pany is engaged in the assembly, manufacture, sale and
repair of voting machines and toll collection devices and

auxiliary equipment. Proceeds

—

For

the

reduction

of

debt and for

-

New

nickel

share

Shoup Voting Machine Corp.

—To

.

York

York

City

working capital. Office—41 East 42nd St
City. Underwriter
Burnham & Co.
New
—

(managing).

Sigma Instruments, Inc. (5/1-5)
-Feb. 27, 1961 filed 200,000 shares of
common stock (par
$1), of which 78,540 are to be offered for public sale
by the company and 121,460 outstanding shares
by the
present holders thereof.; Price — To be
supplied by
amendment. Business — The company,
formerly The
Fisher-Pierce Co., is engaged in the
development, man¬
•

,

for

ufacture

be

for

construction

purposes.

Office

—

•

Simplex Lock Corp. (3/21)
8, 1961 (letter of notification) 100,000: shares of
common stock
(par $1). Price—$3 per share: ,BusinessSelling a new type of security device "called the
Push
Button Lock. Proceeds—For
expenses of
offering and
^to pay Scovill Manufacturing, Co.; for initial

Rochester,

Underwriter—First Boston Corp., New York City

Feb.

Corp.
300,000 shares of common stock. Price
—$2.25 per share. Business—The company is engaged in
costs of
tooling up for production. Office—150 Broadwav New,
research on new high energy propellant systems,- the de->
velopment of a miniature rocket for application to
n°w' Vv* — Underwriters-Charles Plohn. & Co'., and
B. W. Pizzini & Co., both of New
satellite and space vehicles and in the preparation of
York, N. Y.
• Smith Kline &
French
proposals which have been submitted to certain govern¬
Laboratories^(3/29)/
March 7,, 1961 ? filed 200,000 shares of
mental agencies. Proceeds—For general corporate pur¬
outstanding common stock.
Price—To be supplied
poses. Office—233 Holden Street, Seattle, Wash. Under¬
by amendment Busi¬
writer—Craig-Halium, Kinnard, Inc., Minneapolis, Minn. ness—The company makes and. sells, ethical drugs chiefly
■

.

a

one

v

Jan; 27, 1961 filed 110,000 shares of

'

,

products I for residential, com¬

PublishersCompany, Inc.
j:

repay a bank loan, for expansion and
inventory,
and for working capital.. Office—Wilmington, Del. Un¬
derwriter—Myron A. Lomasney & Co., New York City.

(3/24-4/10)

basis of

Price

—To
.

Rocket Research

,

■

i'.

the

of

and sale of aircraft and missile
components and the con¬
struction of industrial and research facilities.
Proceeds

;

Jan. 19, 1961 filed

working capi¬
Avenue, Chester, Pa. *
Underwriter—Marron, Sloss & Co., Inc., New York City T
.(managing)..-.

'•II

on

shares

stock

assembly

(managing).

mercial and. military use. Proceeds—For
tal. Offfee—10th Street, and Morton

•'v

24

Dr.,
San

and sale of sensitive
Rights expire April 10. Price
electromagnetic relays
photoelectronic street lighting controls and other elec¬
supplied by amendment. Business—The com-^
tronic control devices. Proceeds—To
pany is an independent telephone company serving with¬
repay bank loans
out competition the city of Rochester and the adjacent 'T and for working capital. Office — 170 Pearl
St., South.
Braintree, Mass. Underwriter—W. C. Langlev & Co
areas.
Proceeds—To be applied to the repayment of the
New York City
(managing). ;,
company's 1960-1 borrowings from banks of about $6,—To

000,000

Progress Webster Electronics Corp. (4/3-7)
Jan. 13, 1961 filed 150,000 shares of common stock. Price
-sidiaries

March

share. Pro-"

Shinn Industries Inc.
(3/20-24) •
Nov. 29, 1960 filed 150,000 shares of common
stock.
—$6 per share. Business—The manufacture,

2908

each five shares then held.

110,000 shares of
(par 10 cents).
Price — $2.50 per share.
Business—Producers of dye markers and shark repelcommon

record

Inc.

(par 10 cents). Price—$2 per share. Pro¬
working capital. Office—9821 Foster Avenue,
Brooklyn, N. Y. Underwriter — D. Klapper Associates.
Inc., New York, N. Y. Offering—Imminent.

1961 filed 273,437 shares of common stock (par
$10) to be offered to holders of the outstanding common
of

Properties,

ceeds—For

products. Proceeds—For
Office—1437 Bailey Ave.,

Rochester Telephone Corp.

Office

Dillon, Union Se-

Shepherd Electronic Industries, Inc.
18, 1961 (letter of notification) 78,000

Feb. 21,

Presto
Feb.

purposes.

proceeds

Co., New York City (managing).

Jan.

Buffalo, N. Y. Underwriter — Brand, Grumet & Seigel,
Inc., New York City (managing).

White Plains, N. Y. Underwriter—Burnham & Co., New
York City (managing).

-

corporate

the

Marino, Calif.

Underwriter—

of

use

working capital.

Eastman

per

Saxe, Inc., New York City.

broker

will

company

Underwriter

ceeds—For working capital. Office—2540
Huntington
San Marino, Calif. Underwriter — Blalack
& Co.,

anodes and other rolled nickel

'Vi

processing and fluid processing equip¬

Proceeds—The

Dfcc. 2, 1960 (letter of notification)
40,000 shares of class
A common stock (par
$1). Price—$7.50

1

Business—

-

thereof.

Shareholder

.

and

Roblin-Seaway Industries, Inc. (3/20-24)
Dec. 29, 1960 filed 80,000 shares, of class A stock. Price
—$6 per share. Business—Organized under New York
law in December 1960, the company will be consolidated
with, and carry on the business of Roblin, Inc.,: which
buys and sells scrap steel and other ferrous and nonferrous metals and Seaway Steel Corp., which operates
a rolling mill producing bars, rods and other
shapes of
steel and nickel. The company will also have- interests
ranging from 50% to 76% in a demolition contractor, a
lessor of demolition equipment, a stevedoring business,

.

1961

curities &

components.

Office

working capital and expansion.
Washington, D. C.
Under¬

N. W.,

from its share of the offering for

closed

Avenue,

Russell &

-

Price—To be supplied by amendment.

and

28,

dustrial gas heat

circuit television tubes, circuit
relays for high powered communications
Proceeds—To repay bank loans, purchase new

equipment

For

Selas

holders

and

systems.

St.,

Price—To
be
filed
by amendment.
Business—The engineering, manufacture and sale of in¬

—

breakers

—

..

•

of

9th

Corp. of America (4/12) .•
filed 170,000 shares of common stock, of
publicly for the account of
the company and
150,000, being outstanding stock, by the

'

plant, expansion

common

which 20,000 will be offered

Laboratories, Ltd. (3/27)
Feb. 16, 1961
(letter of notification) 200,000 shares of
common
stock.
Price
$1 per share.
Business — The

share for each three shares of common stock

one

•

Feb.

Office—129 South State Street, Dover,
David & Motti, Inc., New

City.

working capital.
Leonard &

writer—None.

Resitron

manufacture

Proceeds

Office—724

Underwriter—William

•

Nov. 18, 1960 filed 99,996 shares of common stock to be
offered for subscription by common stockholders at the
rate of

of

electronic

equipment,

York

Bldg., Minneapolis, Minn. Underwriter—None.
Popelf (L. F.)

new

working capital.

newly acquired companies. Office—1234 Baker

any

For

—

other

Del.

any of the 650,000 shares
exchange, to be offered publicly. Price
—$1 per share. Business—The company was organized
under Minnesota law in November 1960 to provide a
vehicle for the acquisition of companies- engaged
in
the fields of plastics, rubber and related materials. Pro¬
—

Corporation

various

to

and $400,000 of 7^2%

—Dresher, Pa.

and

add

Security Acceptance Corp.
7, 1961 filed 100,000 shares of class A

ances.

December, 1960, to acquire all of the outstanding stock
Corp., a manufacturer of electronic

Proceeds

a
common

not issued in the

ceeds

share.'

per

—

assemblies

150,000 shares, together with

I
V

—

of Renwell Electronic

which 650,000 shares are
for outstanding 5% notes on the basis of one share for
each $1 principal amount of 5% note with the remaining

;!*

Price

9, 1961 filed 100,000 shares of common stock. Price
—$4 per share. Business—The company was organized
in

and

10-year debenture bonds, to
consisting of $100 of debentures and
25 shares of stock. Price—$200
per unit. Business—The
purchase of conditional sales contracts on home appli¬

Jan.

working capital, research and development, and new
equipment. Office—134-08 36th Road, Flushing, N. Y.

indebtedness

be offered in units

Office—830 Monroe Street, Hoboken, N. J.
Russell & Saxe, Inc., New York City,
Electronics

bank

stock

(3/20-24)

Underwriter—L. D. Sherman & Co., New York City.

H'

•

company

1

Renwell

Industries, Inc.
filed 100,000 shares of common stock,
supplied by amendment. Business—Manu¬

1961

March

(managing).

The

•

Underwriter

held.

'I''

retire

Proceeds—For the repayment of loans and for work¬

shares

new

8,

Office—Indiana, Pa. Underwriter—Moore,
Lynch, Pittsburgh, Pa.

is engaged in the manufacture
of insulated wire and cable, garden hose and garden
supply items, television antennas, plastic toys and doll
bodies; and has recently commenced the production of
thermoplastic compounds for use in its own manufactur¬
ing operations, as well as for resale to other manufactur¬

Feb. 24, 1961 filed 150,000 shares of common stock

(par
cents), to be offered for subscription by stockholders

thereof.'

Season-All

Price—To be

byt

the

or

Office—

Franklin

factures and distributes aluminum
doors, windows, awn¬
ings and siding. Proceeds—To pruchase new equipment,

•

"

■

•

York, N. Y. Underwriter—None.

aquarium

an

Avenue,

Square, Long Island,
Underwriters—A. J. Gabriel Co., Inc., New York,
Y. and Williamson Securities
Corp., 92 Liberty Street,

March

—

Office—100 W. 10th Street,

Business—The

of

Franklin

N.

Realty Collateral Corp.
12, 1960 filed $20,000,000 of collateral trust notes,
series A, due 1981. Price—To be supplied by amendment,
Business
The company was organized in September,
1960 to invest in real property mortgages insured under
Title II of the National Housing Act. Proceeds—For gen¬
eral business purposes. Office—444 Madison
Ave., New

um building or buildings. Office—2635 Fidelity-Philadel¬
phia Trust Building, Philadelphia, Pa.
Underwriter^
Stroud & Co., Inc., Philadelphia, Pa.

>»i,J

354

N. Y.

New York 6, N. Y.

about Philadelphia.
Proceeds—To acquire ground and to construct an aquari¬

$

expansion and for general corporate purposes.

Dec.

.

'■in

Inc.

general corporate purposes. Office—600 In¬
dustrial Ave., Paramus, N. J. Underwriter—To be named.
Offering—Early April.

Vending Corp.

'■.

refrigerator-freezer
combinations, home delivery of food plans, and manu¬
facture and sale of
swimming pools. Proceeds—For the
purchase of Westchester Foods, Inc. stock; current liabil¬
ities; building improvements; advertising, promotion and

Rego Insulated Wire Corp. (4/3)
Jan. 30, 1961 filed 200,000 shares of common stock, of
which 180,000 shares are to be offered for public sale
by the company and 20,000, being outstanding stock,

Operation

'•a

mon

ness—The sale of home-freezers and

1960

Inc.
Oct. 14, 1960 filed $1,700,000 of 6% debentures due 1975
and 170,000 shares of capital stock (par 50 cents) to be
offered in units, each consisting of one $100 debenture
and 10 shares of stock. Price—$150 per unit. Business-

>:;i

.

for television receivers and other electrical circuits. Pro¬

Philadelphia Aquarium,

'!.{

Industries Corp.."
^
(letter of notification) 40,000 shares of com¬
stock (par one cent). Price—$7.50
per share... Busi¬

ceeds—For

Co., San Francisco, Calif.

I

Seacrest
Feb. 24, 1961

(letter of notification) 75,000 shares of
common stock (par 10 cents). Price—$4 per share. Busi¬
ness—Manufacturers of electronic and replacement parts

Underwriter—Pacific Coast Securities

Wilmington, Del.

>!i ■

Ram

Dec.

1961

ventory and working capital.

Price—$3 per share. Proceeds—
working capital. Office—2223 El Cajon Boulevard,
Diego 4, Calif. Underwriter— Norman C. Roberts
Co., San Diego, Calif.
"
San

—

(letter of notification) 300,000 shares of
common stock.
Price—At par ($1 per share). Proceeds
—For
machinery and equipment, plant facilities, in¬
17,

Thursday, March 16,; 1961

capital stock (no par).

Airlines, Inc.
(letter of notification) 100,000 shares of
stock (par 10 cents). Price — $3 per
share. Proceeds
For accounts payable, to purchase
equipment and for general corporate purposes. Office—
c/o F. J. Perez-Almiroty, 1764 Ponce de Leon Ave., San
Juan, Puerto Rico. Underwriter—Investment Securities
Co. of Maryland, Inc., Baltimore, Md.

parking garage,- Proceeds—For construction.
Office—
National Bank of Commerce Bldg., Lincoln, Neb. Under¬
writers—Ellis, Holyoke & Co., and Commerce Invest¬
ment Co., both of Lincoln, Neb.

■

.

For

..class

Building Corp.
Feb. 24, 1961 filed $630,000 of 5V2% leasehold mortgage
sinking fund bonds to be offered for public sale in de¬
nominations of $1,000 and $500. Business—The company
is constructing a building on leased premises in the
business district of Lincoln, Neb., which will provide
.street level space for retail tenants and a six-level, self-

.

Diego Chargers,. Inc.:
•"/yv/./J ;-v ,
"*
28, *1961 (letter of notification)' 100,000 shares of

Feb.

St., N. W., Washington, D. C. Under¬
Treat & Co., Inc., New York City and
Co., Inc., Philadelphia, Pa. (managing).

&

Feb.

Peterson

-*■4

.

\ V San

Puerto Rican

meet

A

-

subsidiary; to finance instal¬

Roth

specific requirements. Proceeds — For additional
working capital. Office — 6381 Hollywood Blvd., Los
Angeles, Calif. Underwriter—Dempsey-Tegeler & Co.,

,»v

a

receivable and for working capital.

18th

writers—Amos

their

*

I

\

(3/20-24)
;
Jan. 24, 1901 filed 15u,000 shares of capital stock. Price
—$6.50 per share. Business—The company is engaged in
the
business
of leasing a variety of equipment and

V;t

4

> '

lment sales contracts

k

vr

The Commercial and Financial Chronicle

(1212)

v-.

tranquilizers and central: nervous system
Records, Inc.
*
.stimulants
(letter of notification) 100,000 shares of ;• £?feed^?0Yale University,, the ;selling stockholder.
; Office—1500 Spring. Garden Street,/ Philadelphia 1 Pa
common stock (par one cent). Price—$3 per share. Busi«
ness—The manufacture and distribution of long-playing ^-.Underwriter^Smith, Barney,& Co. Inc. and .First Bos.top Corp., both of Newr.York City
records. Proceeds—For debt retirement and; general cor¬
(managing)./,, ^ ; ,r
Southern Bell Telephone & Telegranh
porate purposes. Office' ~ 1631 Broadway, New York T
Co
Y3/21 v
Citv. Underwriter—A. T. Brod &; Go.. New York; N. Y; '-v Feb.'-24, 1961 this
subsidiary of American Telephone
Note—Mareh 9 this letter was temporarily suspended by ■
ofthe SEC.
* " i * • 1, 1998. Proceeds—To repay advances from the
•

•

Roulette

Aug. 29,

1960

.

?>

<^* WWWM

debeafairegi-flufr.Mare'h:parent

*

v.

■

'•*■

'M.

Volume

193

Number

6038

.

.

The

.

Commercial and Financial Chronicle

(1213)
and for general corporate purposes. Office—67

company

administrative expenses. Office—170 Atlantic
St., Stam¬
ford, Conn. Underwriter—Amos Treat &

Edgewood Ave.,'S. E., Atlanta, Ga. Underwriters—To be
determined by competitive bidding. Probable
bidders:.
Halsey, Stuart & Co. Inc.; Morgan Stanley & Co. Bids—
To be received in Room
2315, 195 Broadway, New York
City on March 21 at 11 a.m. (EST).
Southern

March

1,

California

1961

filed

Edison

Co.

price—To be

(4/4)

uation

St.,

Los

Angeles 53, Calif. Underwriters—To be
by competitive bidding. Probable bidders:
First Boston Corp.; Dean Witter &
Co.; Halsey, Stuart
& Co. Inc.; Blyth & Co., Inc. Bids—To be received at the
company's Los Angeles office on April 4, 1961 at 8:30
a.m.
(PST).

and

to

subsidiaries

and

working

capital.

23, 1960 filed 700,000 shares, of common stock.
Price—$2 per share. Proceeds—For the drilling of three
the balance for working capital. Office—2720
West Mockingbird Lane, Dallas. Underwriter—Elmer K.
Aagaard, 6 Salt Lake Stock Exchange Bldg., Salt Lake
'•

■

Feb. 9, 1961 filed

$15,000,000 of first

•

/

.•

repayment

struction. Office
Tex.

720

—

of

bank

Mercantile

ture

Dallas Bldg., Dallas,

March

15, 1961 filed $40,000,000 of debentures, due 1983.
be supplied by amendment. Business — The
issuer is engaged in the sale of merchandise by
mail,
principally on a monthly payment basis. Proceeds—For
general funds to finance increasing accounts receivable.
Price—To

35th

Patent

St., Chicago 9, 111. Underwriter—

Salt Lake

City, Utah.

:

-

,

notification) 87,500 common
cent). Price —$2 per share. Business—
designs and develops automation machin¬

stock

(par $1). Price—$3

holding,

development,

per

and

if Tennessee Gas Transmission
March

if Standard

Savings Life Insurance Co.
1961 (letter of notification) 100,000 shares of
(par $1). Price—$3 per share. Proceeds
—To be held in reserve for operational purposes. Office

retire

—1502

8,

•

fered

2,

common

Feb. 15,

Inc.

1961 filed 200,000 shares of outstanding common

The

Price—To be supplied by amendment. Business—
manufacture of products used in communications

systems.

Proceeds

Feb.

To selling stockholders.

1961

stock

manufacture

•

Co.

N.

Storer

Y.

The

owns and operates five television broad¬
stations, seven radio stations, six F.M. radio
broadcasting stations and a daily newspaper. The com¬
pany, through a subsidiary also owns a majority of the
voting stock in The Standard Tube Co., Detroit, Mich,
manufacturer of steel tubing and other tubular prod¬
ucts/Proceeds—To the selling stockholders. Underwriter
—Reynolds & Co., Inc., New York City (managing).

company

a

Business—The
and

resort

on

•

Proceeds—For

Office:—South Londonderry,
t writer—Cdbley' & CoV Hartford, Conn.
-

Under-

Vt.

York City and Paul C. Kimball & Co.

ing—Expected in late March.
.

20,

Thermo

000

-

Calif.'

Underwriter

—

Francisco, Calif.

of

ing

Pacific

known

Coast

j

Co.,

San

-

organized

in

finance the exploitation and sale of "Tassette,"

>*."1

ed feminine

»

1959
a

to

patent¬

hygiene aid.' Proceeds—For advertising and
promotion,, market development, medical research and




distributes

Dental

Corp.
(letter of

1961
stock

a

Cream"

dentifrice

in

notification)

(par 10 cents).

—

For

general

novel

a

65,000

Price—$4

corporate

Boulevard,

under

plastic
market.

of loans

Avenue,
Services

shares

share.

per

United

Bronx,

N.

Pro¬

Office

purposes.

of

Busi¬

—

25

Y.

Underwriter—Ply¬
Corp., New York, N. Y.

International

Fund

Ltd.

Oct. 20, 1960 filed 1,000,000 shares of common stock (par
one Bermuda pound).
Price—$12.50 per share. Business
—This is

a

new

investment.

open-end mutual fund.

Office—Bank

Proceeds—Foi

of Bermuda

Bldg., Hamilton,
Underwriters—Kidder, Peabody & Co., Bachs
& Co., and Francis I. du Pont & Co., all of New York
City (managing).
Bermuda.

•

U.

S.

Component?., Inc. (3/21)
9, 1961 (letter of notification)) 75.000 shares of
common stock
(par 10 cents). Price—$4 per share. Busi¬
ness
Manufacturer of precision electronic connectors
and related assembly devices. Proceeds—For repayment
Feb.

of

will

and

-

be

offered

as

are

30,089
to <be

Price—$3.50
Agricultural

for.-the

account

power

saws;

of

,

1320

Arden

U.

Jan.

and Stihl "Go-

attachments

makes cryogenic gas reclamation and

transferral systems, L-P gas thermo-shock weed control
devices, portable furnaces, etc. Proceeds—For the repay¬
ment of debts, for expansion and for working capital.

•

Thermogas

Co.

3,

common

&

Co., Inc., New York, N. Y.

Mfg. & Galvanizing Corp.
1961 (letter of notification) 100,000
stock

•;

shares of
Price—$3 per share. Pro¬
liabilities, sales promotion,

(par 10 cents).
current

reduce

capital. : Office—
Underwriter—Arm¬

purchase inventory, and for working
5165

E.

11th Avenue,

Hialeah, Fla.

strong Corp., 15 William St., New York, N. Y.
Universal
Feb.
nated

j

-

Container. Corp.

28, 1961 filed $1,000,000 of convertible subordi¬
debentures, due 1971. Price — To be supplied by
—
Converting and reconditioning

amendment/ Business
■wooden

barrels

and

steel

drums/Proceeds

—

To

retire

"

bank

inde.btedenss, with the; balance for working cap¬
ital and general corporate purposes. Office—8318 Grade
Land, Louisville, Ky. Underwriter—Michael G. Kletz &
Co., New York City (managing).
Universal
Feb.

Manufacturing Co.
;
(letter of notification) 135,000 shares of
(par 10 cents) of which 35,000 shares are
offered for the account of the company and 100,000

23,

common

to be

—

.

1961

stock

outstanding
Price

(3/23)

Perin
S.

ceeds—To

shares,
representing
outstand¬
offered by two officers of'the

saws

payable, payment of accounts payable, addi¬
machinery and equipment, tooling, advertising,
capital. Office—
Zerega Ave.* New York 62, N. Y.
Underwriter—

research and development and working

the

per share.• Business—Formerly
Equipment Corp*, this company

loans

tional

$2

shares, stock, by the selling stockholders.
share. Proceeds — For working capital.

per

Office—516 W. 4th

—To

under. Delaware- law

1960 to acquire the
Lucente Enterprises, Inc.,

of

new

Jan.

■

Feb. 15, 1961 filed 200,000 shares of class A stock. Price
be supplied by amendment.
Business—The comwas

"Orbit

mouth Securities

,

Oxford Avenue, Englewood, Colo. Un¬
derwriter—Lowell; Murphy & Co., Inc., Denver, Colo.

—To

Pany

of

Bruckner

a

Office—1366 W.

Tassette, Inc.

\

September

and

ness—Manufacturers of various types of machines.
ceeds

manufactures,

company

Kart" gasoline engines; U. S. made tractor
and

Securities

The

distributes German made Stihl chain
r

;

-.:

stock,

.company.

•

(Chicago). Offer-

Inc.
notification) 90,000

27,

common

Dynamics,< Inc. (3/20-24)
315,089 common shares of which 285,-

shares

company

shares of
common
stock
(par 25 cents).
Price—$2.50 per share.
Proceeds—To acquire assets of Crown Outdoor Adver¬
tising.
Office — 9171
Sunset Boulevard,
Los Angeles,
1-961"*■ (letter

manufactures

Tronomatic

Dec. 27, 1960 filed

Sunset Outdoor Advertising,

Feb.

in

pipe
bonds, due 1981. Price—To be supplied by amend¬

Feb.

line of internal communica¬
in business and industry. Proceeds

<

Straus-Duparquet Jnc.- ; '
Sept. 28, sl960 filed $1,000,000 of 7 % convertible subordi¬
nated debentures, due 1975/-Price—At par. Office—New
York City. Underwriters—John R. Boland & Co., New

law

properties

Houston, Tex. Under¬
writers—White, Weld & Co., and Stone & Webster Se¬
curities Corp., both of New York City. Offering—Ex¬
pected in May.

working capital and expansion. Office—4409 Car¬
lisle Pike, Camp Hill, Pa. Underwriters—Stroud & Co.,
Philadelphia, Pa., and Warren W. York &- Co., Allentown, Pa. (managing).

development and op¬
recreational

summer

—

Naftalin & Co., Inc.,

30, 1961 filed 100,000 shares of common stock. Price
be supplied by % amendment. -Business—The com¬
pany is a distributor of'propane and tanks and acces¬
sories for the storage and handling of propane gas. Proceeds—To repay loans, purchase additional distribution
plants and for working capital. Office—4509 East 14th

Street, Winona, Minn.
Minneapolis, Minn.

Underwriter—

Vagabond Motor Hotels, Inc.
14, 1961 (letter of notification) 100,000 shares of
stock (no par). Price—$3 per share. Proceeds
—To construct additional motor hotels, and for working
.

Feb.

common

St., Des Moines, Iowa. Underwriter—A. C. Allyn & Co.,

Chicago (managing).

«o>

struction. Office—3100 Travis St.,

—For

•

Stratton Mountain in southern Vermont.
construction.

Business

tions systems for use
,;v.

winter

Office—2215 Washington

ment.' Proceeds—For the repayment of debt and for con¬

28,

leases, sells and services

3, 1961 filed $650,000 of 5% convertible subordin¬
ated debentures, due .Dec. 1* 1981. .Price—At 100% of
of

and

name

line

200,000 shares of cumulative pre—
$100).
Price — To be supplied by

short-term

amendment.

March

eration

apartment project.

if Transcontinental Gas Pipe Line Corp.
13, 1961 filed $35,000,000 of first mortgage

;

Terry phone Corp.
Feb. 24, 1961 filed 200,000 shares of common stock (par
5 cents), of which 80,000 are to be offered for public sale
by the company and 120,000 outstanding shares by the
present holders thereof. Price — To be supplied by

Offering—Imminent.

principal amount.

,

—

casting

Stratton Corp.

con¬

March

(4/5)

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.

Broadcasting Co.

Investment Trust

primary appeal to the children's
equipment, the repayment
and working capital. Office — 3757
Mahoning
Youngstown, O. Underwriter — International
Corp., 7 Church St., Paterson, N. J.

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¬

Stephen Securities Corp.,
Bldg., Denver, Colo.

dealer

—

Proceeds—For

of the present holders thereof. Price—For the

—

financing; $24,145 to in¬

container with

issuing company and 1,171,004 shares, represent¬
ing outstanding stock, are to be offered for the account

Dec. 30, 1960 filed 263,000 outstanding shares of common
stock. Price—To be supplied by amendment. Business—

t

the

its

of

Plaza

Delaware

which

the first

710 American National Bank

receivable

Pharmacal Corp.
1, 1961 filed 125,000 shares of common stock. Price
—$4 per share. Business — The company was organized

of the

1930 Sherman St.,

prices

1960, filed 209

business

tures^ Price—$5

—

150,000

at

Totts

company's
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

Office

convertible

Feb.

filed

(par

8,

under

Stephen Realty Investment Corp.
Jan. 16, 1961 filed 1,400,000 shares of beneficial interest,
of which 1,000,000 shares will be publicly offered and
400,000 shares are to be exchanged for real estate ven¬
per share.
Denver, Colo. Underwriter

be

March.

1961 filed 1,728,337 shares of common stock of
which 557,333 shares are to be offered for the account

Office—
Stamford, Conn. Underwriter—Amos Treat & Co., Inc.,
New York City (managing). Offering—Expected some¬
time in April.
-—

will

Ave., Silver Spring, Md. Underwriter—Hodgdon & Co,.
Inc., Washington, D.' C. Offering — Expected in late

Terry Industries, Inc.

stock.

accounts

mentioned

notes. Office—Tennessee
Bldg., Hous¬
1, Tex. Underwriters—Stone & Webster Securities
Corp., and White, Weld & Co., New York City.

Kearney St., Denver, Colo. Underwriter—None.

Stelma

debentures

The company will purchase an
apartment
project of not less than 242 units on 10 acre site in Prince
Georges County, Md. Proceeds—To purchase the above-

amendment. Business—The operation of a pipe line sys¬
tem for the transmission of natural
gas. Proceeds—To

stock

of

Business

ton

March

convertible
and

Beneficial Trust Certificates in
The Toledo Plaza Investment Trust.
Price—$2,500 each.

100,000 shares of
share. Business-

worth, 514 Hempstead Ave., West Hempstead,
Offering—Expected sometime in March.
"

/

6%

1976

volume of direct industrial loans and

Toledo

Dec.

general corporate purposes. Office—514 Hempstead
Ave.,
West Hempstead, N. Y.
Underwriter — Lee Hollings-

1961

of
1,

shares. Price—At 100% of principal

common

The

Jan.

one

patentable products in the fields of air
conditioning, air
pollution control, electronics and plastics. Proceeds—For

Co., New York City (managing).

$1,000,000

tracts; $24,145 to increase volume of small loans; and
$700,000 for the reduction of notes payable. Office—Salt
Lake City, Utah.
Underwriter—Whitney & Co., Salt
Lake City, Utah.
•

(3/20-24)

Tele-Graphic Electronics Corp.
16, 1960 (letter of notification)

Leasing Corp.
(letter of notification) 240,000 shares of
common stock (par $1). Price—$1.25
per share. Proceeds
•—For working capital. Office—2855 Highland
Drive, Salt
Lake City, Utah. Underwriter — E. H. Coltharp & Co.,
14,

volume
crease

of

Dec.

Standard-American

Feb.

Pro¬
Salle

electronic components manufac¬
Proceeds—To develop a
proprietary line of auto¬

common

registered

debentures ' due

ranging from $7.50 per share in January 1961 to $15
per share in January 1970. Proceeds—$96,560 to increase

machinery products, for working capital, to fill
orders, for oriented seeding and automation machinery,
and for patent applications and the
prosecution thereof.
Office—19-79 Steinway St.,
Long Island City, New York.
Underwriter—First Philadelphia Corp., and
Globus, Inc.,
both of New York City.

(managing).

W.

amount.

matic

con¬

1960

underlying

and sub-miniature

ture.

it Spiegel, Inc.

Office—1061

(par

Corp.

Finance Corp.

30,

subordinated

industrial,
cosmetic, toy, plastics and other products. The company
proposes to adapt its oriented
feeding devices to minia¬

Underwriter—Dillon, Read & Co., New York City

Wertheim &

Time
Dec.
.

through systems of "hoppers," "feeders," and other
design innovations for the manufacture of

(3/22)

for

—

Sponsor—John Nuveen & Co., Chi¬

(letter

of motel units. Proceeds

bank

repay

—

ery

mortgage bonds due

and

1961

comi

loans, provide funds for the issuer's
subsidiary, and add to working capital. Office
1630
West Bristol St., Elkhart, Ind. Underwriter
Myron A.
Lomasney & Co., New York City (managing). Offering
—Expected in April.

John

—

(10,000 units) ownership
Price—To be filed by amendment. Business

The company

.^>7

loans

17,

shares

and 120,000 shares of cumulative
preferred stock
(par $25). Price—To be supplied by amendment. Pro¬

the

Sponsor

filed $10,000,000

Techmation

Jan.

1991

ceeds—For

23, 1961

Street, Chicago, 111.
cago, 111.

March

<-■

States.

La

Producers, Inc.

Southwestern Public Service Co.

United

lieved to be exempted from Federal income
taxes.
ceeds—For investment.
Office —135 South

wells and

City, Utah.

homes, and the pre-construction
—To

bearing obligations of
states, counties, municipalities and territories of the
U. S., and political subidivisions thereof
which are be¬

Mark Bldg., Atlanta, Ga.
Underwriter—
Fidelity Securities Corp., Atlanta, Ga.

Southwestern Oil

the basis of the trustees eval¬

—The fund will invest in interest

Office—424

First

the

convertible

of common stock

like number of

a

of $400 of debentures
common shares, and 25 warrants.
Price — $800 per
unit. Business — The manufacture and sale
of mobile

Co., 135 South La Salle Street, Chicago, 111.

certificates.

Mortgage Corp.
(letter of notification) 100,000 shares of
stock (par $1). Price—$1.50 per share. Proceeds

advances

of

10-year 8%

debentures, 100,000 shares

50

Tax-Exempt Public Bond Trust Fund, Series 2
Feb.

1961

common

•—For

on

America, Inc.)

filed $800,000-of

shares, to be offered in units

mon

underlying

territories

Nuveen &

Southern States Investment &

8,

computed

the

1961

and 50,000 warrants to purchase

tax-exempt obligations of states, counties, municipalities

determined

Feb.

of

28,

subordinated

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

$30,000,000

Thrift Courts of

Feb.

Tax-Exempt Public Bond Trust Fund
Jan. 16, 1961 filed
$5,000,000 of interests (5,000 units),

of first and refunding
mortgage bonds, series N, due 1986. Proceeds—To retire
short-term debt and for construction. Office—601 West
Fifth

•

Co., Inc., New
(managing). Offering—Expected in April.

York City

41

Continued
-

........

on

page

42

y

>

42

Continued

(1214)

from

The Commercial and Financial Chronicle

with

41

page

Calif.

Office—3555 Fifth Avenue, Suite B, San Diego,

Underwirter—Norman C. Roberts

Col, San Diego,

Calif.
Van Dusen

Jan.

16,

Inc.

Wolf

For expansion.

Office—Minneapolis, Minn. Underwriter
Co., Philadelphia, Pa.

—Stroud &
•

Vector

Engineering, Inc.
March 3, 1961
(letter of notification) 50,000 shares of
common stock (par 10 cents).
Price—$6 per share. Busi¬
ness— Provides
engineering and design services. * Pro¬
ceeds— For

general

corporate

Office —155

purposes.-

Washington Street, Newark, N. J. Underwriter—Omega
Securities Corp., New York, N. Y. Offering—Expected in
May.

Visual Dynamics Corp.
Jan,- 12, 1961 (letter of notification)

y

stock

common

five

(par

Business—Manufacturers
educational and

general

an

audio-visual

entertainment purposes.

corporate

Office—42

purposes.

device

S.

15th

Street,

Philadelphia, Pa. Underwriter—District Secu¬
rities, 2520 L Street, N. W., Washington, D. C.
Vitamix

Pharmaceutical,

stock

—

To

to

be

15, 1961 filed 30,000 shares of class A stock. Price
—$10 per share. Business—The company was organized
under

Delaware

law

in

January

1961

and

proposes

to

engage in the construction, investment and operation
of real estate properties. Proceeds—For investment and

working capital. Office — 10
City. Underwriter—None.

East

40th

St., New York

Wonderbowl, Inc.
6, 1961 (letter of notification) 150,000 shares of
stock. Price—At par ($2 per share). Proceeds
—To discharge a contract payable, accounts payable, and
common

notes payable and the balance for working capital. Office
Sunset Blvd., Los Angeles, Calif. Underwriter-

•

Inc.

March 3, 1961 filed 100,000 shares of common stock. Price

Zurn

Industries,

Angeles, Calif;

Inc.

Sept. 26, 1960 filed 200,000 shares of common stock ($1
100,000 shares are to be offered for the
account
of
the issuing
company
and
100,000 shares,
representing outstanding stock, are to be offered for the
account of the present holders thereof. Price—To be sup¬
plied by amendment. Business — The manufacture of
par), of which

mechanical power transmission

compounds, makes, packages and sells ethical and pro¬
prietary drugs and vitamins throughout the country.
Proceeds—For working capital. Office—50 51 Lancaster
Ave., Philadelphia, Pa. Underwriter—Bache & Co., New
York City (managing).

equipment, fluid control
devices, building plumbing drainage products and re¬
search and development of a synchro-gear assembly for
atomic submarines. Proceeds—For new equipment, the
repayment of loans, and working capital. Office—Erie,
Pa. Underwriter—Lee Higginson Corp., New York City
(managing). Note — This registration was withdrawn

ir Webster Publishing Co.,

March 9.

—To

be

supplied by amendment.

Business—The

issuer

Inc.

0;:.

-V. •'

•

March 13, 1961 filed 131,960 shares of common stock, of
which 80,000 shares are to be offered for public sale by
the company and 51,960 outstanding shares by the pres¬
ent

holders

thereof.

Price—To

be

high school students. Proceeds
materials

designed

for

—

Our

teaching machines and
working capital. Office—1154
Underwriter—Newhard, Cook
Co., St. Louis (managing).

in

use

in

27,

$1).

1961

filed

Price—To

be

50,000

shares

supplied

by

Corporation News Department would

Would
write

of capital

stock

issue you're planning to register?

an

so

that

we

can

that

this

Inc.,

telephone

you

us

000,000 to $40,000,000 of bonds late in 1961 or early in
1962. Office—2 Broadway, New York City. Underwriters
—To' be

2-9570

or

(par

amendment. Business—

repay loans and for working capital:, Of¬
Metropolitan Ave., Kensington, Md. Under¬
writer—Alex. Brown & Sons, Baltimore, Md.

Western

Factors,

Inc.

Approved Finance Inc..
L
i;
it was reported by Paul O. Sebastian, Vice-.
President-Treasurer, that the company is considering a
rights offering to stockholders of j additional common,
stock via a Regulation "A" filing, possibly to occur in
mid-1961.
Office—39 E. Chestnut St., Columbus, Ohio
Underwriter—Vercoe & Co., Columbus, Ohio.
.

Nov. 11, 1960

the

purchase of additional accounts receivable and also
may be used to liquidate current and long-term liabil¬
ities.

City,

Office— 1201

Continental Bank Bldg., Salt Lake

Utah.

Business—Factoring.
Underwriter—Elmer
Aagaard, Newhouse Bldg., Salt Lake City, Utah.

K.

Western Reserve Life Assurance Co. of OlTio
March 1, 1961 filed 120,000 shares of common stock to be
offered for subscription by stockholders on the basis of
three new shares for each five shares held. Stockhold¬
to

vote at the annual meeting in April on in¬
creasing the authorized stock to provide for the offering.
company issues and sells life insurance
policies in the State of Ohio. Proceeds—For expansion.
ers

are

8,

The

company

Union

Underwriters

—

Commerce Annex, Cleveland 14, Ohio.
McDonald & Co. and Ball, Burge &

Kraus, Cleveland.

March

W>ite

Shield Corp. (3/27-31)
23, 1961 filed 50,000 shares of common stock (par
10 cents).
Price—To be supplied by amendment. Busi¬

ness—The

sale

of health

and

beauty aids, vitamins and

drug sundries to retail stores and wholesale jobbers.
Proceeds—For working capital. Office — 317 East 34th
St., New York City. Underwriter—Adams & Peck, New
York City.

Wilier

Color Television
System, Inc.
(letter of notification) 80,890 shares of

man

stock

(par $1). Price—$3 per share. Proceeds—For
corporate purposes.
Office—151 Odell Avenue,
Yonkers, N. Y. Underwriter—Equity Securities Co.,. 39
Broadway, New York City. Offering—Indefinite.

it Williams
class

2,

A

Hydraulics, Inc.

1961

(letter

common

of

stock.

notification)

Price

50,000

shares

of

At par ($5 per
share).
lease, purchase of tools, supplies and
inventory, working capital and reserve. Office—785 E.
Second St., Reno, Nev. Underwriter—None.

Proceeds

—

For

—

a

•

Winston-Muss Corp. (4/3-7)
Jan. 30, 1961 filed
$9,000,000 of convertible subordinated
debentures due 1981 and
400,000 shares of common stock
to be offered for
public sale in units consisting of $22.50
principal amount of debentures and one share of com¬
mon

ness

stock. Price—To

The

company

be

was

supplied by amendment. Busi¬
organized under Delaware law

in

January 1961 to engage in the
conception, planning
and execution of
large scale property development and
construction projects
throughout the U. S. Proceeds—
For the acquisition and
development of real estate

stock (par 10 cents).

production

Price—$3

of TV

share.

per

films.

Proceeds—To

Office —130

W.

57th

Street, New York City. Underwriter—Marshall Co., 40
Exchange Place, New York City. Registration—Expected
in May.

ing).

Higginson Corp., New York City

Corp.
March 1, 1961 it was reported that this

company plans
$1,500,000 of debentures. Business—The
is engaged in overhauling aircraft engines, in¬

^3, 1961. filed 33,638 shares of
■

offered
the

to

the

basis of

holders

one

new




of

the

struments

and

outstanding

common

on

share for each three shares
held,

26, 1959 through Blyth & Co., Inc., and The
Corp. The last sale of preferred stock on
(to stockhold¬
on May 24,
1959) was also handled by Blyth & Co.;
The First Boston Corp.
■
y

First

Boston

June 18, 1958 and the last sale of common
ers

and

Power

&

Light Co.

(5/16)

was

Underwriter—To be determined

Electric Co.

&

N.

J.

Underwriter

—

Gas

tiating

it
the

foi

;

reported that this company is nego¬
sale of about $18,000,000 to $20,000,000

City and Underwood, Neuhaus &

Alberta

American

offer

(par

Co.,

Halsey, Stuart & Co. Inc.; White, Weld &
Boston Corp. (jointly); Harriman itipley

Co., Inc. and Alex. Brown & Sons (jointly),

sale

of

debentures

was

made

to

&

on Aug. 13, 1940
Co., and associates.

was

on

May

underwritten
The last sale of

was

handled by White,

23,

or

on

Office—1835 Arch
be

about June 2, and for

St., Philadelphia 3, Pa.
by competitive bid¬

determined

(6/8)

3, 1961

termined by competitive
bidding.
Probable bidders:
Halsey, Stuart & Co. Inc.; First Boston Corp., and Har¬
riman
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

it- Ca.dor,

on

June

8.

$4,000,000

Gf discount stores

Playlands Corp.
1960 it was reported that this company plans to
registration statement covering 300,000 shares

common

stock.

company

recreation park

This

intends
on

196

will

to

be

a

full

operate

acres

of land

an

filing. Business—
amusement

near

and

Liberty, N. Y.

March.

Telephone & Telegraph Co.

(6/6)

15,

in Northern Westchester and

Office—Riverside, Conn. Underwriter—Ira
& Co., New York City (managing).

Haupt

California Asbestos Corp.

Sept. 28, 1960/it
-

way

concerning

stock.

be

reported

was

an

that

discussion

is

offering of about $300,000 of

It has" not yet

been

determined

whether

under

common

this

will

full filing or a

"Reg. A." Business—The company,
yet in operation but which has pilot
plants, will mine and mill asbestos. Proceeds—To set up
a

is

not

as

actual operations. Address—The company is near
Fresno,
Calif. Underwriter—R. E. Bernhard &
Co., Beverly Hills,

Calif. Registration—Indefinite.
California

Electric

Power

Co.

Jan.

18, 1961 it was reported that this company's plans
to offer $8,000,000 of bonds will be governed more
by

conditions of the money market than by the com¬
pany's early need for long-term financing. With its 1961
construction program tentatively scheduled at
$20,000,000, the company can wait at least until fall before it
needs financing. Proceeds — For construction.
Office—
the

1961, the company announced plans to issue
$250,000,000 of debenture bonds. Proceeds—For refund¬

2885

ing

writers—To be determined by competitive

like amount of 5%% debentures due Nov. 1, 1986,

Connec¬

ticut.

which

American
Dec. 21,
refile a

Va

:'y

15, 1961 it was reported that a full filing will be
soon covering
an undisclosed number of common
shares.. Price—$5 per share. Business—Operates a chain

qf about $6,000,000 of capital notes and.
$6,000,000 of subordinated notes. Office—

to

-y

March

Investment Co.

the form

in

Inc.

made

1933.

St. Louis, Mo.

a

The last

stockholders

it was reported that this company plans
to sell about $20,000,000 of mortgage bonds, Office—176
Remsen St., Brooklyn 1, N. Y. Underwriter—To be de¬

(4/3)

Nov. 3, 1960, Donald L. Barnes, Jr., executive vice-presi¬
dent, announced that debt financing is expected in early

March

First

funds available for

American

of

and

Brooklyn Union Gas Co.

financing new home construc¬
improvement of existing properties. Office—36
E. Lanvale St., Baltimore 2, Md. Underwriter—McClane
& Co., inc., 26 Broadway, New York City.
Note—This
offering will not be registered with the SEC pursuant to
an exemption granted under the Securities and
Exchange

The

&

March

tion and

1961

Co.

(jointly); Morgan Stanley & Co.
Bids—Expected to be received on or about May 2, 1961.

Inc.,

G.

Fidelity Building & Loan Assn.

Office—Lexington

ding. Probable bidders: Halsey, Stuart & Co. Ipc.; First
Corp.; White, Weld & Co., and Eastman Dillon,

publicly 100,000 shares of class A common stock
cents). Price—$5 per share. Proceeds—To in¬

Act of

early 1962.

or

Boston

10

crease

able bidders:

Trunk

A.

1961

Union Securities & Co.

Line Co., Ltd.
Bailey, President, announced thai
new financing of approximately
$65,000,000 mostly in the
form of first mortgage bonds, is expected early in 1961
Office—502-2nd St., S. W., Calgary. Alberta, Canada.
Gas

1960

1,

late

Underwriters—To

Houston, Tex.
Sept.

in

$20,000,000

Liberty Streets, Baltimore 3, Md. Underwriters-(Bonds) To be determined by competitive bidding. Prob-^

of 5%% debentures due 1994

expansion of facilities. OfficeAntonio, Tex. Underwriters — White, Weld & Co.,
York

bonds

preferred

or

and

construction.

was

of bonds. Proceeds—For

New

of

Feb.

Supply Co.

Jan. 24, 1961

debentures

Telephone Co. of Pennsylvania (5/2)
1961 it was reported that this subsidiary of
American Telephone & Telegraph Co., plans to sell $50,000,000 of debentures.
Proceeds—To refund $30,000,000

also sells aircraft engines,
equipment. Office—Millville,
Auchincloss, Parker & Redpath,

Washington, D. C.
Alamo

non-convertible

of

Bell

accessories;

Co., Inc., New York City. Registration—Expected in late

stock, to be

March

on

Weld

instruments and electronic

American
common

$320,000,000
which some

$250,000,000 will come from outside sources. Office—501
South Third Ave., Phoenix, Ariz. Underwriters—To be
determined. The last sale of bonds was made privately

preferred stock

the sale of about
company

(manag¬
6

Winter Park Telephone Co.

about

spend

to

8, 1959 through subscription rights and
by First Boston Corp., and associates.

Airwork

Proceeds—For development of the land. Office—55 South
Main St., Liberty, N. Y. Underwriter— M. W. Janis &

erties. Office—22 West 48th
St., New York City. Under¬

expects

stock in the second quarter of 1961 and about

prop¬

writer—Lee

was

construction in the period 1961 to 1965 of

on

$20,000,000

;

March 8, 1961 it was reported that this company plans to
corn-

general

March

Inc.

15, 1961, it was reported that this company plans
A" filing covering 100,000 shares of common

finance

•

Jan. 29, 1961

U: Productions,

"Reg.

San

Feb.

Co.

reported that this company plans
to issue about $38,000,000 of bonds in May and some
preferred or common stocks in the fourth quarter.

it

1961

21, 1961, F. E. Rugemer, Treasurer, stated that the
company is considering the issuance of $15,000,000
to

Offerings
it A. T.

Business—The
Office—1

Service

Public

Arizona

Feb.

Baltimore Gas

a

June 29, 1960 filed 700,000 shares of common stock. Price
—$1.50 per share. Proceeds—To be used principally for

Corp.;

Feb.

Proceeds—To
10503

competitive bidding. Probable

by

Ripley & Co., Inc.; Kuhn, Loeb & Co. and
Eastman Dillon, Union Securities & Co. (jointly). -

by com¬
Probable bidders: Halsey, Stuart & Co.
Inc.; Eastman Dillon, Union Securities & Co. and Equi¬
table Securities Corp. (jointly); Blyth & Co. and Dean
Witter & Co. (jointly); Lehman Brothers, Stone & Web¬
ster Securities Corp. and White, Weld & Co. (jointly);
Merrill Lynch, Pierce, Fenner & Smith Inc. Bids—To
be received May 16 at 11:30 a.m. (EST).

item

prepare an

REctor

at

company is engaged in research, and the develop¬
ment, engineering, production and sale of high quality
precision microwave calibration and testing equipment.

—

determined

bidders: Halsey, Stuart & Co., Inc.;.,,First Boston

The

fice

of

sell $35,-

to

petitive bidding.

at 25 Park Place, New York 7, N. Y.

us

subsidiary

plans

time in March.

like

similar to those you'll find hereunder.

Weinschel Engineering Co., Inc.
Jan.

have

to know about it

other formats, and for
Reco Ave., St. Louis, Mo.
&

Appalachian Power Co.,
1, 1961 it was reported
Electric Power Co.,

Feb.

American

announced that tnis subsidiary of
Middle South Utilities plans the issuance of approximate¬
ly $12,000,000 of 30-year first mortgage bonds, some

UNDERWRITERS!

ATTENTION
Do you

program

be re¬

ceived at the office of the company on June

Arkansas

elementary and

To develop

Stuart & Co.; First Boston Corp. Bids—To
6.

sey,

Sept. 20, 1960 it

supplied by amend¬

ment. Business—Publishes textbooks for

7, N. Y. Underwriters—To be determined by competitive
bidding. Probable bidders: Morgan Stanley & Co.; Hal-

Harriman

Feb.

Standard Securities Corp., Los

Thursday, March 16, 1961

.

.

10. Office—195 Broadway, New York

about July

or

on

Corp.

Feb.

for

Proceeds—For

Suite 204,

•

Price

—7805

100,000 shares of
Price—-$3 per share.

cents).
of

unsubscribed

company.
—

(3/20)

(letter of notification) 100,000 shares of
(par $1). Price—$3 per share. Proceeds—

1961
stock

common

Aircraft Supplies,

the

be publicly offered by
supplied by amendment.
Proceeds
For plant and equipment, with the balance
for general corporate purposes. Office — 132 East New
England Ave., Winter Park, Fia. Underwriter—None.
the

capital.

.

Foothill

Boulevard, San Bernardino. Calif.

Under¬

bidding. Prob-

Volume 193

Number 6038

.

.

The

.

Commercial and

Financial Chronicle

(1215)
able
Co.

bidders:

Kidder, Peabody & Co.;. Halsey, Stuart &
Inc-> * irst Boston Corp.; Merrill
Lynch, Pierce, Fen-

determined

by, competitive bidding. Probable bidders:
halsey, Stuart & Co. Inc.; Stone & Webster Securities
Corp.; Paine, Webber, Jackson & Curtis; First Southwest
Co.; Kidder, Peabody & Co. and White, Weld & Co.
(jointly). Offering—Expected in May.

& Smith Inc.

ner

Carbonic

Equipment Corp.

Dec.

8, 1960 n was reported that a full
filing of about
$300,000 of units, consisting of common
stock, bonds and
warrants will be made.
Proceeds—For expansion of the
business. Office—97-02
Jamaica Ave.,
Woocthaven, N. Y.
Underwriter—R. F. Dowd &
Co., Inc.

Jan.
to

Car

F. Dowd

Registration—Expected

15. \

Jncustries

&

business—A

about

y,;

■

T:y vy;V

for

construction.

insulation

Proceeds

and

For

—

Vreeland

will be made.

New York

March

14,

was

stock,

ness—Book

Centra!

marble

—

To

;

*

for
250

—

'

reported

that

constituting

its

Office—9

$3 per share. Busi¬
Rockefeller
Plaza,

Underwriter—To be named.

construction

program.

.

field

Columbia

March

8,

Gas

System, Inc.

1961 it

(6/1)

East 41st
be

of

in

the

■

Street, New York 17, N. Y.

determined

by

competitive

(jointly).

pany's office
Co umbus

on

June

&

1.

.

or

Probable

,

>-V

bid¬

com¬

,

V

&

General

Fund

(4/12)
March

14,

1961, it

make its first
per

was

public offering

share. Business—A

vest

reported that this Fund plans to
new

on

April 12. Price—$12.50

mutual fund

Russ

Building,

North American

San

Francisco,

Securities

Calif.

Underwriter—

Co.,'San Francisco.

Community Public Service Co.
Feb. 6, 1961 it was
reported that this company plans to
sell $5,000,000 of first
mortgage bonds.
Office—408 W.
7th Street, Fort Worth
2, Texas. Underwriters — To be




*

'

City. Underwriter—McClane & Co., Inc., 26
Broadway,
City (managing). Registration—Expected on
or about
April 1. Offering—Expected in late May.
Fawcett

Publications, Inc.
20, 1961 it was reported that this family-owned
publishing business is contemplating its first public of¬
fering. Office—Greenwich, Conn. Underwriter—To be
Jan.

named.

First Continental
Jan. 6,

1961

tile/ at

on

Based

the basis of

on

the

one

number

share for each
of

shares

out¬

shares held.
Proceeds—For construction.
Office
Market Street, Wilmington, Del.
Underwriter—

be

determined

by

and Shields & Co.

(jointly); Kidder, Peabody & Co., and
Pierce, Fenner & Smith Inc. (jointly).

Merrill Lynch,

Diversified

Automated

Nov.

16, 1960 it
President, that a

■

Sales

Corp.

reported

by Frazier N. James,
"substantial" issue of common stock,
constituting the firm's first public offering, is under
discussion. Business
The company makes a film and
flashbulb vending machine called DASCO, which will
sell as many as 18 products of various sizes and
prices,
and will also accept exposed film for
processing. Office
—223 8th Ave., South,
Nashville, Tenn. UnderwriterNegotiations are in progress with several major under¬
was

—

writers.

sale.

Diversified

9,

with

the

1961

Finance

the

the

a

Florida

warrant

expiring in December,

holder thereof

$1.25

per

company

loan,

share.
and

consumer

nancing

to.

purchase

one

Price—$1.25

its

per

subsidiaries

are

discount

business

was

Estate Trust

reported that this company

plans to

future date, an SEC registration statement
1,500,000 trust shares to be offered for public

Business—General real estate.

eral corporate purposes.

Proceeds—For gen¬

Office—105 West Adams Street,

Chicago 3, 111.
First National Bank of Toms

27,

vote

March

1961

it

22,

River

that

reported

was

(N. J.)

stockholders

are

to

increasing the authorized stock to
provide for the payment of a 66%% stock dividend and
sale of 20,000 new shares of common (par
$5) to stock¬
holders
shares
about
crease

on

the

basis

of

on

held

record

of

one

new

share

for

each

20

July 17, with rights to expire
Aug. 17. Price—$22 per share. Proceeds—To in¬
capital. Office—Toms River, N. J. Underwriter—

None.
Florida Power &

Oct.

24,

1960

it

Light Co.
that

reported

was

of bonds may be offered

amount

Office—25

S.

E.

2nd

an:

undetermined

in the Spring of 1961.

Ave., Miami, Fla.

Underwriter—

To be determined by competitive bidding.
ders:
Merrill Lynch,

Probable bid¬

Pierce, Fenner & Smith Inc. and
Kidder, Peabody & Co. (jointly); Halsey, Stuart & Co
Inc.; White, Weld & Co.; First Boston Corp.; Blyth &
Co., Inc.
...;
■

k

.

Ford Motor Credit Co.

Oct. 17, 1960 it was reported that this company is devel¬

oping

plans

clude

the

for borrowing
issuance

of

operations, which may in¬
securities, and possibly
1961. Office—Detroit. Mich.

debt

in the first quarter of

occur

ir General Public Utilities Corp.
nual

14, 1961 it

report

that

was

the

stated

utility

in the company's 1960 an¬
expects to sell additional
1962 through subscrip¬

stock to stockholders in

tion rights on the basis of one share for each

held. Based

on

20

shares

the 22,838,454 common shares outstanding

Dec. 31, 1960, the offering will involve a minimum
1,141,922 additional shares. Office—67 Broad St., New
York 4, N. Y. Underwriter—None.
on

of

General Resistance, Inc.
Sept. 19, 1960 it was reported that the company will file
a letter of notification, comprising its first public offer¬
ing. Office—577 East 156th Street, Bronx, N. Y.
General

Feb.

1,

General
about

Telephone Co. of California
1961 it was reported that this subsidiary of
Telephone & Electronics Corp. plans to sell

$20,000,000

Office—2020

of

Santa

bonds

Monica

in the first half of 1961.
Blvd., Santa Monica, Calif.

Underwriters—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart &

Corp.

and

Co. Inc.; First Boston
Corp. (jointly); White,

Equitable Securities

Kidder, Peabody & Co. (jointly); Paine,
-Webber, Jackson & Curtis, and Stone & Webster Se¬

Corp.

company reported that it had filed
Securities Commission its first public
offering of 300,000 shares of common stock. Each share

carries

it

Weld & Co. and

-

Feb.

Real

some

covering

common

.

the common stocks of foreign com¬
panies and in American firms which do a substantial
foreign business. Proceeds—For investment/ Office—615

*

New York

March

which will in¬

primarily in

held.

competitive bidding.
Probable
bidders: Carl M. Loeb, Rhoades & Co., New York; W. C.
Langley & Co., and Union Securities Co. (jointly); Leh¬
man Brothers;
First Boston. Corp.; White, Weld & Co.,

determined

International

Street, Dallas, Texas. Underwriter—To
by competitive bidding. Probable bidders:-

7,

shares

To

.Commonwealth Edison Co.
Jan. 10, 1961 it was reported that this
company plans to
sell $30,000,000 of bonds in the second
quarter of 1961.
Office—72 W. Adams Street, Chicago, 111. Underwriters

Ccmmor wealth

Co.,
'

that this company plans
filing covering 100,000 common shares. Price—$5
share. Proceeds—For the production of TV and mo¬
tion picture
films, the reduction of indebtedness, and for
working capital. Office—619 W. 54th Street, New York

eight

/

St., Columbus 15, Ohio. Underwriter—Dillon, Read & Co

;

to type and amount. Office—

Commerce

—600

by competitive bidding. Probable
Halsey, Stuart & Co. Inc.; First Boston Corp.;
Kidder, Peabody & Co.; White, Weld & Co.; Blyth & Co.,
Inc.; Merrill Lynch, Pierce, Fenner & Smith, Inc.

'

full

*

Co.

bidders:

»

Exploit Films, Inc.
8, 1961 it was reported

sisted of 232,520 shares offered at $35 a share to holders
of record June 6, on the basis of one share for each

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

be

as

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¬

March

—To

indication

stockholders first

mon

10

Office —120

Electric

no

Light Co.
stated by the company's president
possibly be some new financing during
was

Power & Light Co.
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-

Underwriters—To

'

Ohio

company will enter the
multiple line basis. Office —

a

Delaware

Bids—To be received at the

Southern

on

To be named.

Halsey, Stuart & Co. Inc.; Morgan Stanley & Co.;
Merrill Lynch, Pierce, Fenner & Smith
Inc., and White,

Weld & Co.

1506

Feb.

bidding.

&

.

'

March

Power &

be determined

•

fall.

Business—The

underwriter.

1961, with

reported that this company plans
of debentures in June and is con¬
stock

stock.

that there may

-

ders:

®

'

Feb.

Corp.

reported

was

reinsurance

of

Dallas

was

common

it

1960

Sept. 14, 1960 it

•

1961.

to, sell
$30,000,000
sidering the sale of either $20,000,000 of debentures

$25,000,000

Reinsurance

O. Box 669, Yankton South Dakota.
Underwriter—
Mr. Johnson states that the company is actively seeking

v'

■

vending machines dispensing
drinks and food. Office
956

P.

1087, Colo¬

\

28,

common

Oct. 17, 1960 it

Springs, Colo.

Dakota

an

of

automatic

by Walter H. Johnson,
President, that the company plans its first public offer¬
ing of an as yet undetermined amount of its $1 par

Co.

which is expected in the latter part
Proceeds—For expansion. Office—P. O. Box

the

issue

change corporate name to Continental Vending
Corp. Business — The company manufactures

operates

Nov.

& Co.
(jointly); Blyth & Co., Inc.,
Corp. (jointly); Eastman Dillon, Union
Securities & Co., and White, Weld & Co.
(jointly). The
last issue of common stock
(81,510 shares) was sol^l pri¬
vately to employees in August, 1960.

nancing

increase

debenture

equipment. Proceeds—To the selling stockholders. Office
Washington Ave., South, Hopkins, Minn. Under¬
writers—Lehman Brothers, New York
City, and Piper,
Jaffray & Hopwood, Minneapolis, Minn, (managing).

Hutton

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¬

to

—121

to finance

its $45,000,Office—Fourtin & Main Sts.,

Gas

voted

provide for the

implements, feed grinding and mixing equipment for the
livestock industry, and
conveying and seed cleaning

and First Boston

Interstate

to

20, 1961, it was reported that a registration is ex¬
pected to be filed covering 150,000 outstanding shares of
common
stock (no par);
Price — To be supplied by
amendment. Business—The company makes
agricultural

Cincinnati, O. Underwriter—(Bonds) To be determined
by competitive bidding. Probable bidders:
Halsey, Stuart
& Co. Inc.; Merrill
Lynch, Pierce, Fenner & Smith Inc.
and Lehman Brothers
(jointly); Morgan Stanley & Co.

Colorado

stockholders

common

Daffin Corp.

16, 1961 it was stated in the company's 1860 annual
report that this utility plans to sell both first
mortgage
1962

to

28

Jan.

Feb.

in

Feb.

—

Cincinnati Gas & Electric Co.

rado

»

per

On

cigarettes, coffee, cold
Road, Westbury, L. I., N. Y. Underwriter
—It was stated that
exploratory discussions have been
held with Shields &
Co., New York City.

—

stock

Industries, inc.

Brush Hollow

Co., Inc. (joint¬
ly); Salomon Bros. & Hutzler, and Merrill Lynch,
Pierce,
Fenner & Smith Inc.
(jointly); Halsey, Stuart & Co.,
Inc.; White, Weld & Co. /

E.

.

"

a

and

latter part of 1961. Office
415 Main St.,
Pineville. La. Underwriters—To be named.
The last is¬
sue of
bonds on April
21, 1959 was bid on by Kidder,
Peabody & Co. and Rauscher, Pierce &

W.

Stroud & Co.,
Philadelphia and Warren W. York
Allentown, Pa.
'
-

(managing). Registration—Imminent.

-

Machine

.

common

Corp.

that this company plans
15-year convertible debentures.
Business—The company produces chemical
grade lime¬
stone for cement
plants, crushed stone and black top for
road building. Office —
Kutztown, Pa. Underwriters—

21, 1961 it was reported that the company is negotiating for the sale of $5,000,000 of convertible deben¬

and

Louisiana

the

Lime

—

authorized

Electric Co., Inc.
Feb. 21, 1961 it was reported that the
company is con¬
sidering the issuance of $6,000,000 of bonds or deben¬

and

Eastern

tures.

,

—

000

—

March 1, 1961, it was
reported
to sell about
$800,000 of

concerns

Feb.

—

bonds and

products, purchase new equipment,
working capital. Office
Norcross, Ga. Under¬
writer—To be named.

and for

plans

'
/
*
engaged in the natural gas business. Proceeds—For con¬
Empire Fund, Inc.
struction. Underwriters
To be determined by com- /
March 8, 1961 it was
reported that the Federal Internal
petitive bidding. Probable bidders:
Halsey, Stuart & Co.*.
Revenue Service had granted this fund's
Inc.; Morgan Stanley & Co., and First Boston
application ror
Corp.
approval of a tax free exchange of shares for
(jointly); White, Weld & Co., and Paine, Webber, Jack¬
Corporate
Securities. It is expected that a
son
& Curtis (jointly).*' ' * :
registration statement
v
covering this "centennial-type" fund will be filed with;
Consumers Power Co.
^
the SEC shortly.
^
Office—Pittsburgh, Pa.
1
* Feb. 15, 1961 it was
reported that this company may
Epoderm Inc.
sell $20,000,000 of preferred and
$30,000,000 of bonds
Jan. 27, 1961 it was
about mid-year. Office—212 West
reported that the^ company plans its
Michigan Ave., Jack¬
first public offering of
son, Mich. Underwriter—(Bonds) To be determined
40,000 shares of common stock.
by
Price
$10 per share. Business —- The manufacture of
competitive bidding. Probable bidders: Halsey, Stuart &
drugs. Proceeds—The research and synthesis of certain
Co. Inc.; White, Weld & Co. and Shields &
Co. (jointly);
hormones that may be helpful in
Harriman Ripley & Co., and First Boston
revitalizing dormant
Corp. (joint¬
hair growth. Office—New
ly); Morgan Stanley & Co.
Jersey. Underwriter—M. H.
The last sale of preferred
Meyerson & Co., Ltd., 15 William St., New York
stock, on July 21, 1955, was handled by Morgan Stanley
City

company

Road, Poughkeepsie, N. Y. Underwriter—To be named.
The last public sale of
preferred in April 1949 was made
through Kidder, Peabody & Co., and Estabrook & Co.
(jointly).
V
r

in

holding company for six operating

Continental

plans
to sell $6,000,000 of preferred stock
possibly in the sec¬
ond quarter. Proceeds
For expansion. Office
South

tures

company

A

& Co.

Hudson Gas & Electric Co.
1961 it was reported that the

Central

this

—

full filing of this
first public offering,
a

Price—Approximately
publishing.

City.

be

:

House Corp.

I960 it

company's

•

processes

expansion/ Office
J. Underwriter

Ave., Paterson, N.
Registration—Imminent.

24,

-

$11,750,000 of 6% deben¬
IThe company makes
polystyrene and

Business

Caxton

that

...

polyurethane

Jan;

reported

about

a

pro¬

mote the sale of new

York, Inc.

Consolidated Natural Gas Co.
31, 1961 it was reported that this company expects
to
sell about
$25,000,000 of debentures in late 1961.

Feb.. 1, 1961 it was reported
by Mr. Casavena, President, that registration is expected of
approximately $10,000,000 of common stock and

named.

was

New

Jan.

•'''

Casavan

tures.

it

of

by competitive bidding. Probable bid¬
Halsey, Stuart & Co. Inc.; First Boston Corp.; Mor¬
Stanley & Co.

gan

Office—540

Co., Inc., New York City.

1961

Co.

ders:

—

March

27,

sell

Edison

Underwriter—None.

r ia.

Dynamic Center Engineering
Co., Inc.
Oct. 3, 1960 it was
reported that the company plans
full filing of its $1 par common
stock. Proceeds—To

To be determined

Plan System, Inc.
•,
1, 1961 it was reported that this
company plans to
file a "Reg. A" covering
100,000 shares of common stock
(par 10 cents). Price
$3 per share. Business—Auto¬
mobile
leasing. Proceeds—For. expansion.

St., Miami, Fla. Underwriter—R.

aaie,

$75,000,000 of mortgage bonds in the fall.
Office—4 Irving
Place, New York City. Underwriters—

Feb.

N. W. 79th

expansion. Office—615 W. Broward
Blvd., Fort Lauder-

^

Consolidated

43

in

and

share.

in

instalment

Florida.

share

at

Business—The

engaged

retail

southeast

1963, entitling

additional

the

small

sales

fi¬

Proceeds—For

curities Corp.

.

-

General

Telephone Co. of Florida
Feb. 8, 1961 it was reported that this subsidiary of Gen¬
eral Telephone & Electronics
Corp., expects to offer
about $15,000,000 of bonds in November. Office —610
Morgan St., Tampa, Fla. Underwriters—Stone & Webster
Securities Corp., and Paine, Webber, Jackson & Curtis,
both of New York City.
rnrttimipd

on

naae

44

'

44

Chronicle

The Commercial and Financial

(1216)

.

.

Thursday, March 16, 1961

.

»v

ii

*

Continued from page 43

Georgia Bonded Fibers, Inc.
Sept. 14, 1960 it was reported that registration of 150,000
.

*•)

Industrial Gauge &

•

Instrument Co.

Oct. 5, 1960 it was reported that 100,000 shares of com¬
mon stock will be
filed. Proceeds — Expansion of the

of common stock is expected. Offices—Newark,
N. J., and Buena Vista, Va. Underwriter—Sandkuhl and

product by a
subsidiary. Office—1947 Broadway, Bronx, N. Y. Under*
writer—R. F. Dowd & Co. Inc. Registration—Expected

Company, Newark, N. J., and New York City. Registra¬

by late March.

shares

business, and for the manufacture of

tion—Expected in late March.

P

(5/18)

t

mission

shareholders

issue

to

$15,500,000

of 30-year first mortgage
bonds, and $8,000,000 of new preferred stock. Proceeds—
For construction, plant modernization or
refunding of
outstanding debt. Office—Electric Bldg., Atlanta 3, Ga.
Underwriters
To be determined by competitive bid¬
ding. Previous bidders for bonds included Harriman
Ripley & Co., Inc.; Lehman Brothers; Blyth & Co., Inc.,

II

—

:j
'

Kidder, Peabody & Co., and Shields &

Co.

(jointly);

First Boston Corp.; Morgan Stanley & Co.;
Halsey, Stuart
& Co. Inc.; Equitable Securities

I

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

k'f

h

l':V

to

\'&

•

be

received

Goshen

Oct.

on

Farms

18.

breeding trotting horses. Office—Goshen, N. Y. Under¬
F.
in

Dowd

&

Co.

Inc.

Registration—Expected

April.

Grosset &

Duniap, Inc.
23, 1961 it was reported that this firm is contemplating its first offering of common stock. Business—This
Jan.

is

publishing firm owned by Little Brown, Harper's,
House, and Book Of The Month Club, with the

a

Random

last-named

firm

owning the largest interest. The pros¬
pective issuer owns Treasure Books, Wonder Books, and
Bantam Books jointly with Curtis
Publishing Co. Office
—1107 Broadway, New York City.
Underwriter—Blyth
& Co., Inc., New York City (managing).
Gulf Power Co.

Jan.

4, 1960 it

North

writer—To

be

Pace

Pensacola, Fla.
Under¬
by competitive bidding. Pre¬

vious

bidders included Halsey, Stuart & Co. Inc.; Mer¬
Lynch, Pierce, Fenner & Smith Inc.; Salomon Bros.
& Hutzler and Drexel & Co.
(jointly); Equitable Secu¬
rities Corp.; Kidder, Peabody & Co. and
White, Weld
& Co. (jointly).
Bids—Expected to be received on Dec.-.
1, 1961. v

rill

Hawaiian Telephone Co.

!

March
to

8,

1961

it

that this company plans

sell

ers

about $5,000,000 of common stock to stockhold¬
through subscription rights later this year. Office—

1130

Alakea

Street, Honolulu 13, Hawaii.

Underwriter

—None.
Heath
(D. C.) & Co.
Feb. 8, 1961 it was reported that
registration is expected
in March for an undetermined numoer of common
shares

(par $100), of which part would be offered for the
count of

the company and part for

ac¬

selling stockholders.

Business—Publishes and sells textbooks for schools and
colleges.
Office—285 Columbus Avenue, Boston, Mass.

Underwriter—Kidder, Peabody & Co., New York City.
Houston

Fearless

firm's stock would

be

retained

maining

to

the

by Houston and the
public.
Office
11801

re¬

W.

—

Olympic Blvd., Los Angeles 64, Calif.
Houston

Lighting & Power Co.

Oct.

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 and debt

securities, with the precise timing de¬

pending
tion

on

and

market conditions.

repayment

of

of

Proceeds—For construc¬

bank

loans.

Office

Electric

—

Building, Houston, Texas. Underwriter
Previous fi¬
nancing was headed by Lehman Brothers, Eastman Dil¬
lon

Union

Securities
l.

Idaho

H,

k:

"^r?'
sell

■n

mon

II

•i|
ii

v

A{•

.1"

$10,000,000 of bonds
in

the

Bros.

&

company plans to

third

Halsey,

Freres &

Stuart

&

Co.

Inc.; Blyth & Co., Inc.;
Co., and First Boston Corp. (jointly);
Pierce, Fenner & Smith Inc.; Kidder,

Illinois Terminal

16, 1961 it

was

reported

that

this

plans

company

$8,500,000 of first mort¬
Office—710 North Twelfth
Blvd., St. Louis,
Mo.
Underwriter—Halsey, Stuart & Co. Inc., Chicago.
gage bonds.

il
i#!'
**

Indianapolis Power & Light Co.
According to a prospectus filed with the SEC on
Aug;
25, 1960, the company plans the sale of about $J 4,000 000

of additional securities

in

Circle, Indianapolis, lnd.

A.




common

share for each 16 shares

18, with rights to expire June 2.

Of¬

Main

1963.
-

Office
'

25

—

-

.

The

Manhattan

Chase

Bank, One Chase Plaza, New

Iowa-Illinois Gas & Electric Co.
Feb.

1961 it

7,

Donald

9,

reported by the company treasurer,
the utility expects to sell $10,-

was

Shaw

that

$15,000,000 of first mortgage bonds in the
1961. The 1961 construction program
at $18,000,000. Proceeds — To repay bank
loans and for construction. Office — 206 E. 2nd St.,
Davenport, Iowa. Underwriters—To be determined by
competitive bidding. Probable bidders: Halsey, Stuart
& Co. Inc.; Merrill Lynch, Pierce, Fenner & Smith Inc.;
First Boston Corp.; Glore, Forgan & Co. and Lehman
Brothers
(jointly); White, Weld & Co. and Blyth &
Co., Inc. (jointly).
is

quarter of

estimated

Japan Telephone & Telegraph Corp.
27, 1960 it was announced that this governmentbusiness plans a $20,000,000 bond issue in the
United States. Proceeds—For expansion. Underwriters
Oct.

owned

tures

Scott outboard

-

.

.

-

1962.

Office—6101

Calif.

West

:/^

Ave., Topeka, Kan.
Corp., New York City (man¬

Underwriter—First Boston

aging).
March 8, 1961

it

was

Bank

(Chicago, III.)

three

on

j2 to increase authorized stock from 135,000 tor
165,000 'shares (par $25) to provide ,for a 11.1% stock
dividend and sale of 15,000 shares to stockholders on the
March

one

2,

with

share.

per

South

rights

Proceeds

to

—

La

Salle Street,
Whipple & Co.

Bacon,

expire

March

30.

Price—$75

To increase capital.

Office—135
Chicago 3, 111. Underwriters—
(managing) and McCormick &

Co., both of Chicago.
Laclede Gas Co.
Nov. 15, 1960 Mr. L. A. Horton, Treasurer, reported that
the utility will need to raise $33,000,000 externally for

alleys

Inc.

operation

in

To maintain

—

other bowling centers.

in

New

York

City.

present properties and acquire

Office—72 Park Row, New York

City. Underwriters—Thomas, Williams & Lee, Inc., and
Russell & Saxe, Inc., New York City (managing). Regis¬
tration—Imminent. Offering—Expected in late April.
Metropolitan
Feb.

1,

it

1961

General Public

Co.

Edisoin

reported that this subsidiary of
Utilities Corp., plans to sell about $10,was

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.

&

Michigan Consolidated Gas
Jan.

Co.

it was reported that this company plans
to sell about $30,000,000 of bonds in the first half of 1961.
Proceeds—To repay notes and for construction. Office—
11,

1961

Clifford

St., Detroit 26, Mich. Underwriters—To be
competitive bidding. Probable bidders:
Weld & Co.; Lehman Brothers; and Halsey,

determined

by

Inc.

Co.

&

v

Michigan Wisconsin Pipe Line Co.
Jan. 10, 1961 it was reported that this
American Natural
000

of

in

bonds

Gas

first

the

Office

subsidiary

—

half

of

1961.

Griswold

500

Proceeds

determined

be

Industrial

&

Nov. 28, 1960 it was reported

that the

For

by competitive

bidders: Halsey, Stuart
First Boston Corp.; Blyth & Co., Inc.
Business

—

Street, Detroit 26,

Probable

Mississippi
Corp.

of

Co., plans to sell about $30,000,-

Underwriters—To

bidding.

share for each 10 shares held of record

new

Bowling Centers

bowling

Proceeds

Mich.

reported that stockholders voted

March

45,

/,"

-i

1961 it was reported that this company is
planning to sell 192,000 shares of common stock (par 10
cents). Price—$5 per share. Business—The company has

construction.

my..;

National

La Salle

'

13,

Stuart

For construction. Office—800 Kansas

and McCulloch chain saws.

motors

Century Boulevard, Los Angeles

f

ic Metropolis
March

White,

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—

reported that this corporation will
public financing for late 1961 or
Business—The corporation manufac¬

time in

415

1961

was

it

its

some

—Dillon, Read & Co., First Boston Corp., and Smith,
Barney & Co. Offering—Expected in the Spring of 1961.
15,

Corp.
initial

1961

schedule

to

second

&

Co.

Inc.;'"

Development

company

will issue

stock, of which $500,000
be subscribed for by utility companies and $500,000.
will be sold to business and industry and the general
public. Business—To assist via loans, investments, and
other business transactions, in the location and expan¬
sion of businesses in Mississippi.
$1,000,000 of $10

par

common

will

(9/28)

Mississippi Power Co.

its 1961-65 construction program, but the current feel¬
ing is that it will not be necessary to turn to long-term
securities until May 1962. Office — 1017 Olive St., St.

Jan. 4,

Louis. Mo.

Proceeds—For

1961 it

Southern
bonds

reported that this subsidiary of The

was

Co., plans to sell publicly $5,000,000 of 30-year
$5,000,000 of preferred stock (par $100).
construction and expansion. Office—2500

and

14th

contemplating its first public financing, to consist of an
of about $6,000,000 of common stock. Office—767

St., Gulfport, Miss. Underwriter—To be deter¬
by competitive bidding.
Previous bidders for
bonds were Eastman Dillon, Union Securities & Co., and
Equitable Securities Corp. (jointly); Halsey, Stuart &

Fifth

Co.

24,

Parfums,

1961 it

Inc.
reported that this perfume firm is

was

issue

Avenue,

New

York

City. Underwriter—Goldman,
(managing).

Sachs & Co., New York City

Long

Island Lighting Co.
Jan. 25, 1961 it was reported by Fred C.
Eggerstedt, Jr.,
Assistant Vice-President, that the utility contemplates
the issuance
of $25,000,000
of 30-year first mortgage
bonds probably in the second or third quarter of 1961.
Office—250 Old Country Road, Mineola, N. Y.
Under¬
writers—To be determined

by competitive bidding. Prob¬
able bidders: Halsey, Stuart & Co. Inc.; First Boston
Corp., and Blyth & Co., Inc. (jointly); W. C. Langley &
Co. and Smith, Barney & Co. (jointly).
Macrosc

Lumber & Trim Co.,

20, 1960, it was reported that this company plans
a
public offering of about 500,000 common shares (par
$1) in early 1961. Office—2060 Jericho Turnpike, New
Hyde Park, L. I., N. Y.
•

Magnefax Co.

Feb.

21, 1961 it

reported that this company expects

was

mined

Inc.;

Merrill

Lynch, Pierce,

Previous

bidders

for

Stuart

Co.

to sell

&

preferred

Fenner
stock

&

Smith Inc.

included

Halsey,

Inc.; Eastman Dillon, Union Securities &
Co., and Equitable Securities Corp. (jointly). Bids—Ex¬
pected to be received on Sept. 28.
Mississippi River Transmission Corp.

Feb.

27, 1961, it was reported that this subsidiary of
Mississippi River Fuel Corp., plans to sell about $6,500,of

000

debentures

or

in

bonds

late

1961.

Proceeds—For

the repayment of bank debt. Office—9900 Clayton Road,
St. Louis, Mo. Underwriter—-To be named. The last issue
of
in

Inc.

Dec.

debentures

March

by

1958

Mississippi River Fuel Corp., parent,
underwritten by Eastman Dillon,
Co., and associates.

was

Union Securities &

Monroe Mortgage & Investment Corp.
Dec.

Cecil Carbonell, Chairman, announced
preparing a "Reg. A" filing covering
150,000 shares of common stock.
Price — $2 per share.
12,

1960,

that this company is
Business—The

200,000 shares of common stock. Business—Manu¬
factures office copying machines. Office — Commercial

Florida Keys.

Trust

Office—700

&

company

is

engaged

in

first

mortgage

—None.

•

Co. Bldg., Philadelphia, Pa. Underwriter—Stroud
Co., Philadelphia, Pa.

Martin Paint &

Aug. 29, 1960 it
pected of the

Wallpapers

was

company's first public offering,

—For

expansion, including

tional

stores.

L.

a

Office—153-22

new

financing of residential

which is

warehouse and addi¬

Jamaica

Avenue, Jamaica,

Jan.

3,

1961

business

properties in the
Proceeds—To expand company's business.

Duval

Monticello

announced that registration is ex¬

expected to consist of about $650,000 of convertible de¬
bentures and about $100,000 of common stock.
Proceeds

it

and

Street, Key West, Fla.

Lumber
was

&

Mfg.

Underwriter

Co.

reported tnat tnis company plans a

"Reg. A" filing covering 75,000 shares of common stock.
per share. Proceeds—For equipment, plant ex¬

Price—$4

pansion and

working capital.

Underwriter—J.

Laurence

&

Office—Monticello, N. Y.
Co., Inc., 117 Liberty St.,shortly.

New York City. Registration—Expected

I., N. Y.

★ National
March

Jan. 24, 1961

it was reported that the SEC has approved
of six subsidiaries of New England Electric
System into Worcester County Electric Co., also a sub¬
the

merger

sidiary. Latter will change
sachusetts

Electric

its corporate

name

to

Mas¬

Fuel

Gas

Co.

.

(4/25)

15, 1961, the company reported that it plans to
issue $27,000,000 of debentures. Proceeds — To refund
$15,000,000 of 5V2% debentures due 1982 and for other
corporate purposes. Office — 30 Rockefeller Plaza, New
York City. Underwriters—To be determined by competi¬
tive

first, mortgage bonds due 1991. Offices—939 Southbridge

bidding. Probable bidders: Halsey, Stuart & Co. Inc.;.
White, Weld & Co.; First Boston Corp.; Eastman Dillon;

St., Worcester, Mass., and 441 Stuart St., Boston, Mass.

Monument
.

Flushing 54, L. I., N. Y.

McCulloch
Jan.

Massachusetts Electric Co.

RR.

the sale later this year of about

:|

*

Salomon

v,

Merrill Lynch,
Peabody & Co., and White, Weld & Co.
(jointly); Salo¬
mon Bros. &
Hutzler, and Eastman Dillon, Union Secu¬
rities & Co.
(jointly); Equitable Securities Corp. Prob¬
able bidders on the
common: Blyth &
Co., Inc.; Lazard
Fieres & Co.;
Kidder, Peabody & Co.; Merrill Lynch,
Pierce, Fenner & Smith, Inc.

it.
n

4'

and

-

^ was reP°rted that this

bonds:

A-

Au

■

Power Co.

Lazard

«{.

i

Co.

and about $5,000,000 of com¬
quarter of 1961. Proceeds—To repay
loans and for construction.
Underwriters—To be deter¬
mined by competitive
bidding. Probable bidders on the

l!

Hi-

&

'

one

to

Y., 23rd floor. Information Meeting—Sched¬
uled for May 8, 3 p.m. (EST) at the office of Chase Man¬
hattan Bank, 28th Floor.
i "
- "
'

—

Hutzler.

the basis of

on

offered

be

York 5, N.

Jan.

27, 1961, Barry J. Snillito, President, stated that
the company plans to
expand its Western Surgical and
Westlab divisions into a new national medical and hospital supply concern. He added that 80% of the new
sold

will

corporation is
Business—The
Office—135-21

.

chain of discount houses.

a

—

Lanvin

Corp.

Feb.

20%

stock

Street, Dubuque, Iowa. Underwriters
(Bonds) To be determined by competitive bidding.
Probable ,bidders:, Halsey, Stuart, &
Co. . Inc.; Merrill
Lynch, Pierce, Fenner & Smith Inc.; Kidder, Peabody &
Co.; White, Weld & Co.; Salomon Bros. & Hutzler. Bids
—To be received on May 18, 11 a.m. (EST) at the office

basis of

reported

was

6, 1961 it was reported that this
contemplating its first public financing.

ic Kansas Power & Light Co.

Blvd.,

determined

Jan.

March

(12/7)

reported that this subsidiary of The
Southern Co., plans to sell $5,000,000 of
30-year bonds.
was

Office—75

The

May.

fice—1000

000,000

5, 1960 it was reported that 100,000 shares of the
company's common stock will be filed. Proceeds—For
writer—R.

in

held of record May

Mr.

Inc.

Oct.

sometime

stock

.

Inc.

33th Avenue,

t

i

Masters

operation of

Interstate Power Co.

Georgia Power Co. (10/18)
Dec. 29, 1960 this subsidiary of the Southern Co., ap¬
plied to the Georgia Public Service Commission for per¬

U

,

a new

March 8, 1961 it was reported that this company plans to
sell $9,000,000 of bonds and 200,000 shares of common

>

ton Corp.; Merrill Lynch, Pierce, Fenner & Smith Inc.;
Kidder, Peabody & Co., and /Coffin & : Burr, Inc.
Offering—Expected in May.
;
:
'

Union Securities &

Co.,

and

issue

about

$17,500,000

of

Underwriters—To be determined by competitive bidding.
-

Probable bidders:

Halsey, Stuart & Co. Inc.; First Bos¬

Co., and Stone & Webster Securities
Corp. (jointly). Bids—Tentatively expected April 25, at
11:30 a.m. (EST) in Room 2033r 2vReeteF: Stv,-New York^

Volume

193

Number

6038

.

.

.

The

Commercial and Financial Chronicle

(1217)
City. Information Meeting—Scheduled for April
21, at 11
a.m.
(EST) in Room '240, 2 Rector St., New York

City.

New

Jan

England Power Co.

24, 1961 it

England

was reported that this

subsidiary of New

—

(jointly); First Boston Corp.; Lehman Brothers. Offer¬
ing—Expected in October.
;
.

,

.

.

New

England Telephone & Telegraph Co. (4/11)
21, 1961 this subsidiary of American Telephone &
Telegraph Co., announced plans to sell $45,000,000 of 38year debentures. Proceeds—To redeem on or about May
12, outstanding 5%% debentures due Sept. 1, 1994 in
Feb.

amount.

same

Office

185

Franklin

St., Boston 7,
Mass. Underwriter
To be determined by
competitive
bidding. Probable bidders: Halsey, Stuart & Co. Inc.;
First Boston Corp.; Morgan Stanley & Co. Offering—
Expected on or about April 11.
—

—

New

England Telephone & Telegraph Co. (4/25)
1961 this subsidiary of American Telephone &
Telegraph Co., announced plans to sell additional com¬
Feb.

mon

the

21,

stock to stockholders through subscription rights on
basis of one new share for each seven shares held

record April

of

on the 22,047,305 shares out¬
31, 1960 this would amount to about
3,150,000 common shares. Proceeds—To repay short term
loans and to pay at maturity $40,000,000 of 4 %■% first
mortgage bonds due May 1, 1961. Office—185 Franklin
St., Boston 7, Mass. Underwriter—None.

standing

25. Based

Dec.

on

Public

Orleans

New

Nov. 10, 1960

it

was

Service, Inc. (5/25)
reported that an issue of $15,000,000

of first mortgage bonds is expected in

May, 1961. Office
St., New Orleans, La. Underwriter—To
be determined by competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc.; Lee Higginson Corp., Equi¬
Baronne

—317

table Securities Corp. and Eastman Dillon, Union Securi¬

Co.

ties &

(jointly); Kidder, Peabody & Co. and Stone
Corp. (jointly): White, Weld & Co.:
Brothers
&
Hutzler.
Offering — Expected

& Webster Securities
Salomon

May 25.
State Electric & Gas

New York

March 6, 1961, Joseph M.
the

Corp.

(5/16)

Bell, Jr., President, stated that

plans to sell $25,000,000 of first mortgage
bonds. Proceeds—To repay bank loans and for construc¬
company

Office—108 East Green St., Ithaca, N. Y.
—
To be determined by competitive

tion.

Under¬
bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; Kidder,
Peabody & Co. and Salomon Bros. & Hutzler (jointly);
Blyth & Co., Inc.; Harriman Ripley & Co., First Boston
Corp. and Glore, Forgan & Co. (jointly). Bids—To be
received on May 16.
writers

Northern Fibre Glass Co.

letter of notification. Office—St. Paul, Minn. Un¬

a

derwriter—Irving J. Rice & Co., St. Paul, Minn.
Northern

Gas

Illinois

Co.

Feb. 8, 1961 it was reported that this company plans to
raise about $25,000,000 of new money in 1961.
The type
of

security to be sold has not been determined but it is

thought that it might be common stock which would be
sold in the late Spring to stockholders through subscrip¬
tion rights. Office—50 Fox St., Aurora, 111. Underwriters
—To be named.
The last rights offering in April 1954
was

underwritten by First Boston Corp., and

Glore, For-

gaili & Co., both of New York City.

^ Northern Natural Gas Co.
March 15, 1961, the company reported that it expects
to raise about $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
stockholders through subscription rights in Septem¬

to

ber

October. Proceeds—For construction. Office—2223

or

Dodge St., Omaha 1, Neb. Underwriter
New York City (managing).
Northern

States

—

Blyth & Co.,

Power Co.

Jan. 10, 1961 it was reported that this company

plans to

of bonds in the third quarter of 1961.
Offices—15 So. La Salle Street, Chicago 4, 111.;
15 So.

sell

$20,000,000

Fifth

York

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).

Offering—Expected in August.
Northwestern Public

8, 1961 it was

Northwestern

Public Service Co.

this company plans
to sell about $1,200,000 of common stock to stockholders
through subscription rights. Office—Huron, S. Dak. Un¬

March

8, 1961 it was reported that

derwriter—To

be

named.

The

last

rights

offering

to

stockholders, on July 8, 1958, was underwritten by A.
C. Allyn &
Co., Chicago, 111.
Offering—Expected in
April.
One

March

.

Maiden

Lane

Fund, Inc.

1961 it was reported that this fund expects
to file 300,000 shares of common stock. Price — $3 per
share. Business—This is a new mutual fund. Proceeds—
2,




debentures

Treasury bonds. Office—1 Maiden Lane, New
York 38, N. Y. Underwriter—G. F. Nicholls &
Co., Inc.,
1 Maiden Lane, New York
38, N. Y.
■
"" ■ ■ '
Pacific
Jan.

for
and

Lighting Corp.

3, 1961

it

reported by Paul A.

was

Miller, Treas¬
will probably go to the market
$30,000,000 to $50,000,000 of new financing in *1961
that it probably would not be a common stock offer¬
the

that

urer

ing.

company

Office—600

California

Street,

San

Francisco

8,

Calif.

Telephone & Telegraph Co.
Jan. 30, 1961 it was reported that this

company,

con¬

trolled by American Tel. & Tel.
Co., plans to form a new
subsidiary to operate in Washington, Oregon and Idaho.
The

new

will acquire the

concern

business and proper¬

ties of the present operating division, known

as

Pacific

Telephone-Northwest, established in February 1960. All
of the stock of the

new

will be issued to Pacific
Telephone, but "as soon as practicable" it will be offered
for sale to Pacific Telephone shareholders at a
price
to be fixed by the Board of Directors. Office—140 New
Montgomery St., San Francisco, Calif. Underwriter—The
last offering of common stock to shareholders on Feb.
25,
1960
owns

company

not

was

Bros. &

Hutzler, Eastman Dillon, Union Securities

and

Equitable Securities Corp.
Inc.; The First Boston Corp.

underwritten. However, AT&T, which
90% of the outstanding stock, exercised its

over

rights to subscribe to its prorata share of the offering.
Panhandle

Eastern

Pipe Line Co.
8, 1961 it was reported that this company ex¬
pects to sell about $72,000,000 of debentures in Septem¬

& Co.,

(jointly); Blyth & Co.,

V '

•'

.

Sierra Pacific Power Co.
(5/4)
Feb. 16, 1961 the
company reported
offer common stockholders the

that it plans to
right to subscribe to ad¬

ditional stock
shares

held.

the basis of one

on

Based

the

on

new

795,416

share for each 12

shares out¬

common

standing on Nov. 30, 1960 and the proposed 2-for-l stock
split expected to become effective March
29, 1961, this
offering will involve about 132,570 new

shares, and will

be made

Pacific

about May 4. Office—220 South
Virginia
St., Reno, Nev. Underwriter—None.
:
on

or

Sierra Pacific Power Co.

Feb.

16,

1961

the

(5/11)

stated

company

that

it

plans to

sell

$6,500,000 of first mortgage bonds. Proceeds—For con¬
struction. Office
220 South Virginia
St., Reno, Nev.
—

Underwriters—To

be determined by
competitive bid¬
Probable bidders: Halsey, Stuart & Co.
Inc.; Stone
& Webster Securities
Corp.; Dean Witter & Co.; Kidder,
Peabody & Co., and White, Weld & Co. (jointly). BidsExpected to be received on May 11.

ding.

Silo's

Discount

Jan. 9, 1961 it

House

reported that this retail chain is con¬
first public financing. Office—Philadel¬

was

templating its
phia, Pa.

/

.

Simulmatics Corp.
Feb.

21, 1961 it

ber, subject to FPC approval of its construction program.
Underwriters—

was reported that the company
expects
registration statement shortly, covering 150,000
shares of common stock. Office—501 Madison
Ave., New
York 22, N. Y. Underwriter—Russell &
Saxe, New York
City.

Inc., and Kidder
Peabody & Co., both of New York City (managing).

Feb.

March

Office—120 Broadway, New York City.
Merrill Lynch, Pierce, Fenner & Smith

Pennsylvania

Electric

to file

Corp.
21, 1961 it
sell 2,000,000

to

Co.

Underwriters—To be determined by competitive bidding.
Probable
bidders:
Blyth & Co., Inc., and Harriman

that

reported

this

General Public Utilities
of

—-

Ripley &

Co.

(jointly); First Boston Corp.; Equitable
Securities Corp.; Kidder, Peabody & Co.; Halsey, Stuart
& Co. Inc.; Kuhn, Loeb & Co. Offering—Expected in
May or June.
Pennsylvania Power Co.
Dec.

such

tape recorders, transistor radios

as

Southern
Jan.

was

St.,

be determined

Birmingham 3, Ala. Underwriters—To
by competitive bidding. Previous ^bidders

Merrill

Lynch, Pierce, Fenner & Smith Inc.,
Inc., (jointly); Morgan Stanley & Co.,
White, Weld & Co., and Kidder, Peabody & Co. (joint¬
ly); Eastman Dillon, Union Securities & Co., Equitable
Securities Corp. and Drexel & Co. (jointly); First Boston
Corp.; and Halsey, Stuart & Co. Inc. Registration—Ex¬
and

Blyth & Co.

pected about May 8.

Bids—To be received at 11

Industries

Oct. 28,

18, 1960 it was reported that the company plans a
"Reg. A" filing of 75,000 shares of common stock, con¬

stituting its first public offering. Business—The com¬
pany is in the process of organizing and will manufac¬
ture additives for fuel oils. Proceeds—For expansion and
general corporate purposes. Office — 645 Forrest Ave.,

1960 it was reported by Mr. Loren Fitch, com¬
comptroller, that the utility is contemplating the

pany

sale of
time

$35,000,000 of 20-year first mortgage bonds some¬
1961, with the precise timing depending :on

in

market

conditions.

Proceeds

Office—Watts Building,
—To

be

determined by competitive

Gas

to

Office—165 Broadway, New York 6, N. Y. Underwriters
be determined by competitive
bidding. Probable
bidders:

Halsey,

was

Southern

21,

Stuart

&, Co.

bid

on

stockholders

Feb.

new

approved the
bonds. The issuance of

issuance

of

an

the bonds.

Swift

equity position of the company
financing will probably include either com¬
preferred stocks. Office—80 Park Place, Newark,

Inc.; Salomon Bros. &
April 4 at noon (EST).

unspeci¬
fied amount of additional bonds for other purchases was
also approved. Proceeds — For general corporate pur¬
poses, including the possible acquisition of Central of
Georgia Ry. Office—Washington, D. C. Underwriter—
Halsey, Stuart & Co. Inc., will head a group that will

Co.

stated that since the

on

Railway Co.

1960

$33,000,000 of

Feb. 23, 1961 it was reported that this utility expects to
sell about $100,000,000 of new securities this year.
It

Probable

—To

Nov.

Electric &

bidding.

(4/4)
6, 1961 it was reported that this company plans
issue about $4,800,000 of equipment trust certificates.

—Indefinite.

2, 1960, W. D. Virtue, treasurer, stated that com¬
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.

loans.

Southern Pacific Co.

Hutzler. Bids—To be received

Dec.

bank

March

Island, N. Y. Underwriter — Ronwin Securities
Inc., 645 Forrest Ave., Staten Island, N. Y. Registration

pany

retire

To

Halsey, Stuart & Co. Inc.; First Boston Corp.;
Blyth & Co. and Kidder, Peabody & Co. (jointly).

Staten

Public Service Co. of Colorado

—

Birmingham, Ala. Underwriter

bidders:

Oct.

Service

on

Southern Natural Gas Co.

—

Public

a.m.

June 15.

(jointly).

Peoples Gas Light & Coke Co.
Jan. 10, 1961 it was reported that this company plans to
sell about $35,000,000 of first mortgage bonds in 1961.
Proceeds—To retire maturing bonds and for construc¬
tion.
Office—122 So. Michigan Avenue, Chicago 3, 111.
Underwriters
To be determined by competitive bid¬
ding. Probable bidders: Halsey, Stuart & Co. Inc.; Glore,
Forgan & Co.; First Boston Corp.
Chem

television
be named.

both in turn controlled by The Southern
Co., plans the
public sale of $27,000,000 first mortgage bonds due June
1, 1992.
Proceeds—For expansion.
Office—600 North

included

Power

and

Generating Co. (6/i5)
reported that this company, jointly
by Alabama Power Co., and Georgia Power Co..

Act, authorizing the issuance of $878,000 of first
mortgage bonds, 3J/4% series, due 1982. Proceeds^-For
sinking fund purposes. Office — 19 E. Washington St.,
New Castle, Pa. Underwriter — To be determined by
competitive bidding. Probable bidders: Halsey, Stuart &

Inc., and Dean Witter & Co.

plans

Electric

4, 1961 it

owned

Eighteenth

Co. Inc.; Kidder, Peabody & Co.; White, Weld & Co.;
Equitable Securities Corp. and Shields & Co. (jointly);
Lehman
Brothers; Merrill Lynch, Pierce, Fenner &

company

Office—Tokyo, Japan. Underwriter—To

14, 1960, it was reported that Jthis company has ap¬
plied to the SEC for an Order under the Holding Com¬

pany

that this

shares in

common

A

sets.

was

reported

was

the U. S., this sum¬
registration statement covering the proposed of¬
fering will be filed with the SEC. Business—The com¬
pany is a major producer of electronic consumer goods

subsidiary of
Corp., plans to sell $10,000,000
30-year first mortgage bonds and $12,000,000 of de¬
bentures. Office
222 Levergood St., Johnstown, Pa.

it

1961

24,

a

Sony

mer.

Jan.

7,

& Co.

1961

it was reported that stockholders voted
Jan. 26 to authorize the company to issue up to
$35,000,000 of convertible debentures, and to increase authorized
from

is low, the

common

mon or

additional underlying shares for the proposed convert¬
ible issue. Proceeds—For expansion and working cap-,
ital. Office—Union Stock Yards, Chicago 9, 111.
Under¬

N. J. Underwriter—To be named.
mon
on

stock

Dec.

Fenner

on

The last sale

of

com¬

Dec. 15, 1959 and the last sale of preferred

was handled by Merrill Lynch, Pierce,
Smith, Inc., and associates.

14, 1960
&

Radiation

Service Co.

reported that this company pl*ns
to sell about $2,500,000 of bonds in August or Septembe.
Office—Huron, S. Dak. Underwriter—To be determined
by
competitive
bidding.
Probable bidders: Halsey,
Stuart, & Co., and Kidder, Peabody & Co.
March

U. S.

Smith

Sept. 28, 1960 it was reported that this company is plan¬
ning to issue 100,000 shares of $1 par common stock un¬
der

investment, mainly in listed convertible

and

Electric

System plans to sell $20,000,000 of
first mortgage bonds. Office—441 Stuart
St., Boston 16,
Mass. Underwriters
To be determined
by competitive
bidding. Probable bidders;: Halsey,- 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.

the

For

45

Applications,

Inc.

Jan.

17, 1961 it was reported that this company is con¬
sidering a public offering of stock in 1962. Business—
Develops plastic and chemical materials for the elec¬
tronics

and

missile

industries,

and performs extensive

research and development in the fields of atomic energy,
extractive metallurgy, plastics, and electrical insulation.

Schenley Industries, Inc., owns about 36% of the out¬
standing stock. Office—Long Island City, N. Y. Under¬
writer—To be named.

recently handled

a

Hayden, Stone & Co., New York,
private placement of the company's

stock./

,

Rochester

Gas

&

Electric

,

$15,000,000 of 30-year bonds in September. Proceeds—
construction.

Underwriter

—

I To

be

determined

by competitive bidding. Probable bidders: Halsey, Stuart
& Co.

Inc.; Kidder, Peabody & Co., White, Weld & Co.

and Shields & Co.

October

be

1958

named.

to

The

8,000,000

last

issue

placed privately
Bros. & Hutzler, New York City.
ic Texas

was

Bank

Trust

&

Co.

shares

of

to

provide

debentures

through

in

Salomon

(Dallas)

March

15, 1961, it was reported that stockholders are to
April 13, on increasing the authorized $10 par stock

vote
to

provide for sale of 50,000 shares

the

basis

Price

of

one

new

share

for

to stockholders

each

six

shares

$25

per share.
Proceeds — To increase
Office—Main and Lamar Streets, Dallas, Texas.
—

on

held.

capital.
Under¬

writer—None. I
Texas Gas Transmission Corp.
Jan. 11, 1961 it was reported that this
company plans to
sell

$10,000,000 to $15,000,000 of bonds in the third quar¬
1961. Office—416 West Third Street, Owensboro,
Ky. Underwriter—Dillon, Read & Co., New York City.
ter of

Corp.

Jan. 24, 1961 the company stated it plans to issue about
For

writer—To

6,000,000

(jointly); Kuhn, Loeb & Co.; Salomon

Traid

Jan.

4,

Corp.

1961 it

templating

was

some

reported that this company is

new

financing.

con¬

No confirmation was
Continued

on

page

46

V

1?
u

46

(1218)

The Commercial and Financial Chronicle

Continued from page

45

J

has

pany

v r

sold

never

debentures

before.

available. Business—The company specializes in

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
City.
V '

airborne

photo instrumentation and manufactures aircraft motion

!j
i

picture cameras and accessory items. Office — Encino,
Calif. Underwriter—Previous financing was handled by
D. A. Lomasney & Co., New York City.
Trunkline Gas
March

Vinco
Feb.

Co.

sell

reported that this subsidiary of
Panhandle Eastern Pipe Line Co., expects to sell about
$50,000,000 of bonds or preferred stock in September.

1961

8,

it

was

Broadway, New York City. Underwriters—
Lynch, Pierce, Fenner & Smith Inc., and Kidder,
Peabody & Co., both of New York City (managing).

))•

Jan.

Union

Electric

19,

12th

1961

it

Co.

this

that

Blvd., St. Louis, Mo. Underwriter

company

November

Corp.;

1949

Dillon,

First

by

15, 1961 it

sidering
<5

of $50,000,000

issuance

of

replace

bonds to

a

I

* United States- Freight Co.

'if

ordinated

debentures

tion—Imminent.

Feb.

for

to

Jan.

Fenner

Co.

ties

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
1961

17,

11

it

reported

was

company

J

CORNER

i.

• •

•; •.

-

stocks,
requests

I

for

out

on

some

into

quotes .go

the

is

no

is

BY JOHN BUTTON

coming into

doubt

The

6,000,000 Share Days!
'

wisely said that the most

difficult

area

relations

human

of

is communication.

If

could

we

un¬

operating

a

back

forth

and

circuit.

teletype;

On

over

his

direct wire

a

1,500 mile

a

left

sat

another

HIM.

one
now

in

volume

a

fore in years.

markets.

tell

there is

security

need for

no

salesmen

me

to

it

is

that

difficult enough to get customers
in times like these.
But

—even

when I

add that

it is almost im¬

possible to explain to
when

mistakes

some

happen

clients
in
the

cashiering department, when or¬
ders ar£ questioned after delays
that

seem

tape

is

and a
I am sure
will agree that it is not
placate
a
client
who

to

easy

unexplainable,

running

that you

thinks

he

has

late,

been

wronged—IN
HIS POCKETBOOK.
Quite frankly, the volume of
trading in the Over-the-Counter

v

V

Market,
changes,

*

well

as

as

during

the

on

ex¬

the

past month
has taxed the facilities of the se¬

n

curities

industry.

it is not

that is

Jj:

even

the

a

In

some

cases

lack of personnel

root

of

cause

our

in¬

V

ability to furnish quotes and sizes

t?

of markets.

:S>

telephone and wire facilities that

It is also the lack of

is

slowing up service that is
ordinarily given to clients by

y
v

■m
•«v

alert investment firms.

■15

Sit

yf

on

of

•'

takes

4

;

J-

week

I

had

sitting beside

the

Day

a

privilege

a young man

who

the

orders and handles the
requests for "quotes" and "market
sizes" for four offices for a

right
..
>

i
—•

,
"

-.r

sat
:

'

—■

a

-r

young
.T

<•

J*

•)>-->;




1-

i

.

I-

was

->

quotes

calls to the N. Y. S. E.
American

Exchange for

quotes, and requests for sizes of
His duty
was
also to
place and execute; as well as con¬
firm the execution of orders.
were

four

Here

people

taking orders,
and filling requests for markets
and quotes from four offices, and
yet

they could not deliver
satisfactory service.

and
■'

I

'the

saw

lights

quick

blinking

and

flashing

on the direct wire tele¬
phone circuits that this firm had

established

with

other

houses in the street.

pushed,

I

saw

pushed

and

trading
buttons

again,

and

then held down, and there was no

After

answer.

trying to
DIRECT
man

three

raise

to

minutes

of

a

WIRE

whose

quotes

reply OVER A

I

saw

job it

this

was

to

young

furnish

salesman

some

1,500

miles away, (and who had a cus¬
tomer who needed and deserved
an

accurate

could

market

in

which

trade) finally call his

he

own

outside operator, and then call the

firm

he

had

originally

tried to contact through their out¬
side line. After another two min¬
utes

he

obtained

finally
a

got

market

through
for

an

and

over-

the-counter stock.
I

was

that

lady who
•'

furnished

an¬

markets.

that

-

who

man

The

On his

investment member firm.

his only

as

Across this desk sat

and made

large

51

M

other

and

who had

man

trading

Trading Desk for

a

Last

y

stock

is

just another

have not

be¬

New York

pose

i'

he

we

duty the calling of other over-thecounter firms for quotations and

possibly we could all
of us work together more har¬
moniously and effectively. I sup¬

r.

of

or

people who are
buying and selling securities

young

vexations,

r

hundred

of millions of

But

point, his problems, and his daily

'!,<

a

in years.

seen

a

shares

TO

derstand the other fellow's view¬

\

in

think his order is important.
he is righWit is important

may

And
Someone

public

market

buys

hundred

a

it—the

this

have not

who

man

sells

about

keep

told, but I can't

business
many

their

has

been

traders

books,

it,
heavy

prove
so

just
trade

cannot

their

alone

seen

This situation is not

confined

either

to

the

of

too

much

for

the

established

machinery to handle.

There

are

.

Wisconsin Southern Gas Co.

12, 1960 it

that

an

will

be sold in

of

reported in

was

undetermined

short-term

bank

some

trading pace is some¬
thing with which we have to live.
If you are a

registered representa¬

tive with

member

your

that

give

is

a

customer

possible

him

firm, try and
that

know

is

all

being done to

honest,

and

accurate

loans

(managing).

~

that

the

tape

is

running two

four minutes late
a

flash

a

that this

is

"stop-watch" proposition.

it

takes

several

to

This

is

also

trading

the

situation

with

firms, and the unlisted
as I have outlined in the
.

dealers,

earlier part of this column.

minutes

more

from the time you give your order
to

your

wire

floor of the

room

to

exchange.

reach

the

After all,

the execution of orders is

a

human

and

personal operation.
People
have to receive orders, write out

orders, carry orders through "run¬
ners' 'to posts, who give them to
specialists or floor brokers to ex¬

of execution and
accuracy.

time

This is

highly specialized auction

mar¬

ket that has its rules and regula-r
tions and the

men

on

offering
circular, H. , B. Crandall Co., 82
Beaver
Street, New York City,
publicly offered 150,000 shares of
,

operation.

come, and part of the proceeds of
this offering will be used in a

that

6,000,000

something that re¬
quire their understanding and co¬
This securities business

problem—it is

the salesman's
his

responsibility to in¬
of
today's en¬

clients

igmas which I know

are

Int'l Diode

universal.

10

par * common

Communications

Corp.

It

is

intended

stock

at

$8

writer.

per

Waters

Long

Co.,

through
Inc. of

Island,

under¬

The company manufactures and
sells

diodes, an electronic device
generally known as a semi-con¬
ductor.

Its

customers'

IBM;

each

table,

with

its

each

the floor of

desk,

own

per

at

^ast for

etc., complete
control, so

volume

person

be

can

hear

the

and

used

in place of present
ceiling speakers, which
always reach each person

cannot

in

the

rooms

with

the

V

ume.

same

vol¬

"

J

The corporation's equipment
consists of a number of drill and

punch

56" lathe, 30"
Simpson riveter,
antenna meter, audio am¬
plifiers, tape recorder, signal gen¬
erator, oscilloscope and various
-

metal

presses,

shear,

a

a

Philco

other tools

include

The

Lee

at meetings, functions or other oc¬
casions where wired speakers are
now used.
The unit is placed on

will

,

Tektronix, Inc.;

of

$2

A portable single-unit inductive
speaker has been designed for use

preferred

share
&

that

.

convertible

at

continuing research program.

wall

International Diode Corp. is offer¬
ing 42,000 shares
of
6%
noncumulative

stock

Inc.;

share.

music, speeches,
etc.,
from
his
table, desk, etc. If successful, it

Stock Offered

and

meters.

Law¬

rence Radiation
Laboratory of the
University of California; E-H Re¬
search
Laboratory
of
Oakland,

B. C. Morton & Co.

Opens in Fresno, Calif.

Calif.; Philco; Atomic Energy of
Canada, Ltd.;
and
the
Bendix

FRESNO, Calif.—B. C. Morton &

Radio Division of Bendix Aviation

Butler

Corp.

Crocker

to

to

;

8

the year, a considerable portion of
the
corporation's
operating in¬

know

to purchase additional

as

March

a

customers-

channels

a

to

share days are

happen.

then they have to be
reported back through established
checked

Stock Offered
Pursuant

the

ecute, and

and

Lee Communie.

conditions, mistakes
All good, honest,
firms will correct them if
they are
justified. But meanwhile, let your

Under such

will

not

Often

addi-

property

'•

'• -

-

Exchange, or
other exchange, are virtually
knocking themselves out trying to
keep up with the pace that is cur¬
rently taxing their efforts today.

Hempstead,

see

bonds

or

the New York Stock

Hamilton

you

for

—

stand

when

incurred

tions.Office—Sheridan Springs Road, Lake Geneva, Wis.
Underwriter
The Milwaukee
Co., Milwaukee, Wis.

markets, and executions. I under¬
that

prospectus

company

capital stock

Proceeds—For the repayment

un¬

the present

let

a

amount of

1961-1962.

that

bound to be

misunderstandings when

Tele¬

Union

Power & Light Co. 'r. »
r
■ 1961 it was reported that this company plans
to sell about $6,500,000 of preferred stock in the third
quarter of 1961. Proceeds—For expansion. Underwriters
—The last sale of preferred stock in
May, 1958 was
handled by Smith, Barney & Co., New York and Robert
W. Baird & Co.,
Inc., Milwaukee (jointly).

any

form

Let Your Customers Know This

fortunate

Western

In addition, American Securities Corp., New
City, would purchase from Western Union Inter¬

Exchanges, the regional is also a flesh and blood
operation.
exchanges, or the unlisted market.. Hard-working
people can only do
The public is exchanging cash for
so
much—and that is their best.
securities, and swapping one se¬ Your customer will
cooperate if
curity for another at a pace that he understands the
is

of

19,

Dec.

quotes

told that

was

stockholders

to

Wisconsin

-•

<

give

and

stocks.

some

manner we

1

.

(5/3)

waste-basket—by necessity. There

Mil

-

Smith

■.

offered

stock.

Jan.

March 6, 1961 it was reported that this company plans
to sell about 110,000 additional shares of common stock

SECURITY • SALESMAN'S

<

.

Inc., and Stone & Webster Securi(jointly). Bids — Expected on May 3 at
(EST).

.1/1. A, )

Inter¬

or bonds. Office—60 Hudson St.,
City. Underwriter—American Securities Corp.
(managing).
\
/ /. /,•
'IX v %V:/-; ' ■

(par $10)vTo be offered for subscription by stockholders '■
"Compound X," will be produced. Business—The com¬
on
the basis' of one 'new share for each 10 shares held pany is a major petroleum and chemical research and
of record about May 3. Proceeds—To
process development concern. Office—30 Algonquin Rd.,
repay bank loans Des Plaines, 111. Underwriter—To be named. The com¬ ..and for construction. Office—1507 Fourth
Ave., Seattle,-

■V,

Union

for

New York

Corp.

a.m.

provides

500,000 ,;of debentures

plans

$12,000,000

&

Western

company,

plan

national about 133,000 additional shares of class A stock

(5/3)

that this

The

giving American Securities ownership of approximately
25% of the outstanding class A stock of WUI.
Then
Western Union Telegraph would purchase 250,000 shares
of class B stock for $100,000 and WUI would sell $4,-

•

Washington Natural Gas Co.

major field which the company would not identify.
No
decision has been made on whether the product, named

I

of

York

Co., 79 Wall St., V. K.
Place, First Atlantic
York City. Registra¬

St., N. W. Washington 5, D. C. Underwriters—To be
by competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc.; Equitable Securities Corp.;
First Boston Corp.; Eastman Dillon, Union Securities &
Co.: Kidder, Peabody & Co. and Merrill
Lynch, Pierce,

Lynch, Pierce, Fenner & Smith Inc.,
New York City (managing).
Products

sell

1961

organized

Inc.

graph Co. in units of $100 of debentures and ten shares

determined

Merrill

Oil

27,

be

to

H

replacement and repair of present
vehicles. Office—345 Hudson St., New York City. Under¬

Universal

».

of refunding mortgage bonds. Pro-,
ceeds—To repay debt and for construction. Office—1100

expansion, and the
—

&

Washington Gas Light Co.

subscription to stockholders
who are to vote April 17, on authorizing issuance of the
debentures and on increasing the authorized common
stock. Proceeds—For the purchase of additional trucks,

writer

(EST).

Osborne & Sons, Inc., 40 Exchange
Securities Co., 160 Broadway, New

March 14, 1961 it was reported that this company plans
to offer about $20,000,000 of 20-year convertible sub¬

it

a.m.

Auto

N. Y. Underwriters—Martinelli

on Sept. 17,
1956 was underwritten by Harriman
Ripley & Co., Inc., New York and associates.

K ?

13 at 11

newly

a

the issuance by
Western Union International of about $4,000,000 of sub¬
ordinated debentures and 400,000 shares of class A stock

—

stock

I!'-

Telegraph Co.

national,

Leasing Inc.
Jan. 16, 1961 it was reported that this company plans a
"Reg. A" filing covering 100,000 shares of common stock.
Price
$3 per share. Proceeds — For general corporate
purposes. Office — 2015 Coney Island Ave., Brooklyn,

issued bonds, but its last offering of preferred

never

Union

to

Wa!dorf

term loan. Office—400 Main St., East Hart¬
Conn. Underwriter—To be named. The company

ford,
has

Western

•

Corp.; Eastman Dillon, Union Secu¬
Co.; Salomon Bros. & Hutzler; Goldman, Sachs

& Co. Bids—Scheduled for June

seven-year

ti:

.

rities &

reported that this company is con¬

was

(6/13)

Feb. 28, 1961 it was reported that the FCC has approved
the company's plan to transfer its Atlantic cable system

United Aircraft Corp.
Feb.

|

.

10,

Webster Securities

Boston

Lehman Brothers; White,
Co. (jointly); and Blyth & Co.

Weld & Co. and Shields &

of common shares.
Weeks, New York City.

&

Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; Stone &

Co.,

&

•

—

,•v;;•

■

.

17, 1961 the company announced plans to sell $30,000j000 of first mortgage bonds. Office—Richmond 9, Va.

—

underwritten

was

Read

■

•

-

J

,

1961, J. Lee Rice, Jr., President of Allegheny
Power System, Inc., parent company, stated that West
Penn expects to sell about $25,000,000 of bonds in 1962.
Office
800 Cabin Hill Dr., Hempfield Township, West¬
moreland County, Pa. Underwriters—To be determined
by competitive bidding. Probable bidders: Halsey, Stuart
& Co. Inc.; W. C. Langley & Co.; Lehman Brothers,
Eastman Dillon, Union Securities & Co. and First Boston
Corp. (jointly); Harriman Ripley & Co.; Kidder, Pea¬
body & Co. and White, Weld & Co. (jointly).

Jan.

To be deter¬
mined by competitive bidding. The last sale of preferred
in

...i■

'•

Virginia Electric & Power Co.

r

number

undisclosed

an

West Penn Power Co.

Feb.

of

..

on

.

reported that registration is expected

Underwriter—Hornblower

20, 1961 it was reported that this company plans to
$2,000,000 of convertible bonds. Business—The man¬

March.

reported

was

shortly

Corp/ «3./'~

Scientific

Feb. 15, 1961 it was

expansion and acquisition. Office — 9111 Schaefer
Highway, Detroit Mich. Underwriter—S. D. Fuller &
Co., New York City. Registration — Expected by' late

plans
to sell $20,000,000 to $30,000,000 of preferred in late 1961.
Proceeds—For expansion of facilities. Office — 315 N.

i) <

Co., San Francisco,

"

,

..

For

Merrill

(managing).

Welch

precision parts and. subassemblies for air¬
craft, missile and other industries.
The company also
produces guages and measuring instruments. Proceeds—

Office—120

r:

Calif,

'

Corp.

ufacture

Thursday, March 16, 1961

.

Wash. Underwriter—Dean Witter

However, the

last

i

.

.

The

net

finance

proceeds

will

the

be

expansion of
production staff;

company's
advertising and

sales

used

equipment;
the

for

promotion;
finance research for
develop¬
ment of new
products; and to add
to working capital.

to

Co.

has

opened

an

Avenue,

Mr.

as

office

with

at

3416

Oliver

B.

resident manager.

Crocker,

before
joining
Co., was a divi¬
manager
for the invest¬
ment firm of King Merritt & Co.
B.

C.

Morton

&

sional

in Fresno.
zone

Prior to that he

manager,

versified

Fresno.

for

Services,

was

Investors

Inc.,

also

a

Di¬

in

Volume

193

Number

6038

.

.

The Commercial and Financial Chronicle

.

(1219)

Fin 111 TDTT1 P,|] fj Qutl^YS
U4U1]J1H01IU V/U-UlCiJO

V^ctpiuctl

Aiorl
li-k-r*
ARCL -U6p±6Clcilion
-L
Continued from page 12

Contrasts

to compete with

foreign producers
particularly with the poten-

and

tial economic threat

Russia.

Soviet

obsolete
other

equipment

to

tries

replace

will

.

in

allow

industrialized) countries

T

4U

'

4

impact
impact,
impact.

petition

years

of
ox

been
been
peen

long

dustry,

automotive

in-

symbol of Ameri-

a

From

almost

an

their

1960.

now

being

produced in increasing quantities
Curtain. In

Iron

behind the

.

from ' Poland,
East
Hungary, and Czechoic
1.50 000
is petimatpfl
estimated at
at
150,000

a

olr^rob-io
Slovakia

half

cars,

which

of

will

be

ex-

'

is

stances
these

in-

In

have

tons

trillion

showed

to

while

imports

imports and exports
balance in favor of'im-

United

full

fail

States

advantage

of

the

technological developments

market in
Thus

jeopardy.

far

have

we

stated

the

of inadequate depreciafjon and jfs effect on productivity,

prices, and profits. It

now

remains

to-consider possible solutions. The
basis 0f any solution will require

imported from
abroad, while better than 20% of
the nails and wire fencing used
are
also imported. We have lost

in

change

method

must

tax

the

laws.

A

Out

by

worked

be

which enough depreciation can be
foreign tinplate;; charged off before taxes to allow
it fell from 620,000 tons-ihe investor to recover the pur-

almost half of our
market

as

of one
This is significant for two
reasons:
(!) it happened in a re-

to

351,000 tons in the space

>

year.

chasing

of the dollars

poWer

in

reSented
ment.

his

*

'

'

rep-

invest-

original
'

'

when we were strivProposes Solution
diligently for any available
jn
order
tQ
accomplish this,
business;
and; <-2)
the ^uru
plant and equipment will have to
States had long held a preeminent be revajuated
be revaluated annually bv means
annually by means

cession year

ing

_

^

for

which

accounts for over 90%
accounts tor over vu/o

now

now

tinplate production. The comV.trrVinv
in
thrlS
of higher costs in this

of

4i

1.1

nfiCTC

bination
.

del

the electrolytic process

veloping

'?a^; f countr
dustrial
for

this

Automobiles
two

in®^a other1
k

es

result.

•

steel are
where - increased

and

productivity is needed
xition

is

be

to

in-

P

-

•

instances

if^compe-

Other

met.

ex-

shipbuilding and
machinery further emphasize the
amples

i

such

as

point. In the former case we see

.

^

—

Japan exported a great

tonnage

deal
to the

United States in the form

of snips.

that
of

In

steel

plate

1958, the Bulletin

August,

the American Bureau
listed

American

under

ships

55

the Japanese
were

♦

of

of Shipping

destined

for

lQW

foreign competition
point up the need for more
modern industrial equipment here,
of




a

^

to write

company

_

x •

.

J

?!""

rn

Yelopmenx

L.O.,

cVu^pluC111
-naye>

It

mC.

n

ax

illc'

share.

3|>o

P

i

recovery
pn

Gf the original
jn

asset

terms

of

cost

current

~

*>

automatic

remote-

entertainment

system,

electronic- _test equipment
communication components,
transformers.
-

and
and
.

approximately

$245,000

deduction

the

commissions

will

be

,

Ohio Co. Branch
Ohio—The Ohio
Company has opened a branch office at 20 South Limestone under

the

management
Gardner, Jr.

of

DIVIDEND

Elmer

_x_

NOTICES

,

^e^urdl^^orP-

New

Philip Davidowrtz Presictent and

Vice President and Secretary.

The

Trustees

OAKLAND CITY, Ind.—Cecil H.
Gladish is engaging in a securities
business from offices here. Mail
address is R. R. 3.
'

(311)

been

Corp

N

of

used

for

purchase
and de-'
of
bank

|
|

America

to

B. A.

a

are

UNITED SHOE MACHINERY

CORPORATION
223rd Consecutive

.

The

New Buck Office
ttht t vwnnn

Fin

clared
t

_

.

.n

a.
'

.

,

ctrPp4

fetreet

nndpr

under

J' BaUes.

the

de¬

of

371^

Pre¬
also

declared
per
dividend

u « *• ***-

-

share, and

share,

f

1 °

a

cents

the Common stock.

on

dividend of 62 Vi
of

25

The dividends
ferred

Hayden, Stone Branch

to

& Co. has opened a branch office
at 113 North Church Street, under
the direction of George K. John-

and

a

special

cents

Common

May

.payable

stockholders

per

both. Pre¬

on

stock

1,

of

1961
record

April 3, 1961.
'

Frederick A. Stevens,

March 8, 1961

son"

.

Treasurer

firm

the tlrm

Norman

Roberts Branch

'

-

have

dividend

a

per share on the
ferred stock. They have

® a J:

^

nrivp

g m

J^a

P

Quarterly Dividend

Directors-

cents

rn

^,,9'

■

•

Roberts
office

Co.

at

has opened a branch

State

650

Street

under

{J
COLUMBUS AND SOUTHERN OHIO

ELECTRIC COMPANY

the direction of John E. Daley.

business from offices at 64 Parker
Street under the firm name of "

Mr.

Calif.—Norman C.

CENTRO,

o

pi

OC ^tarey £>rancn

with

the

WINCHESTER, Mass.—Keenan &
Clarey, Inc. has opened a branch

First New Hampshire Corp.
Schirmer, Atherton & Co.

and

office at 145 Pond Street under the

was

formerly

direction

Charles

of

A.

Dividend

Common Shares

on

Murphy.
The Board of Directors

t

cos^

Thus

(nvestment

in

in

a

1939

million
written

of

IVIDEND

The

figures

do

not

represent

the same purchasing power since
the value of the dollar has been
cut in half

over

the

20-year

pe-

of

Directors

per

share

and

and

Company, on March
7, 1961, declared a divof forty-five
cents (45tf) per share on
the outstanding Com¬

declared

the

10 cents per

the

on

6%

Preferred Stnck

mon

Shares of the Cor¬

poration, payable April
10, 1961, to sharehold¬

a year yields $50,000 annually
depreciation charges. In 1939,

$50,000

Board

regular quarterly dividend of Vk cents

at

the first $50,000 was charged off
as cost
of capital consumption,
and in 1958, the last $50,000 was
charged off. However, the two

Columbus

Southern Ohio Electric

idend

dollar
off

NOTICE

share

on

the Ctnnon

ers

of record at the

close

INVESTORS FUNDING
CORPORATION
.v

OF

511

NE;W

YORK

Stock.

Dividends

are

payable April 10,

1961, to stockholders of record at dose
4

of business

on

April 1, 1961.

>

of

business

on

March 24, 1961.
G. C. SHAFER, Secretary

v
the

FIFTH AVENUE

ELECTRIC

Co.

'

NEW YORK

17, N. Y.

DR.

RAPHAEL M. DANSKER,

COLUMBUS

AND

ELECTRIC

Treasurer

j|

716

in

Officers

"

>

Johnson, Treasurer

March 9, 1961

has

at

engage

business.

®

the close oi

at

business March 28, 1961.

W. Falk, President; Mursilver, Vice-President; and
Shirley Silver, Treasurer,

th

on

holders oi record

VISALIA, Calif. —Hayden, Stone

New Branch Office

|

share

per

payable April 15, 1961 to share-

ivielvin

«

|

•!

shares oi the Association

common

Y—Island

with: offices

Avenue

securities

|

.

formed

Qenfrai

|
a

-

ROCKAWAY

pianning

declared

have

|

the

Island rlanning rormed
FAR

56

quarterly dividend oi thirty-one

Cecil Gladish Onena

.

Electric Association

COMMO.. DIVIDEND lO

^easurer and Haw^^tel,
,

England Gas

and

are

Carroll

H.

.

***

capital,

<*

p

SPRINGFIELD,

»

opened ottices at 80 Wall Street,
New York City, to engage in a

estimated

of inventory,
research
velopment, .repayment
loan, advertising and sales promotion,
and
additional
working

Market

C.

First Weber Sees. Opens
"

the

underwriting
the

and

after

expenses of the offering. The pro-

ceeds

•

ray

If all of the shares offered are
sold, the company will receive
of

Lucian

—

,—

/\i

cents

The company's present products

selecting

Ky.

Whitaker, II is engaging in a securities business from offices in
the Kentucky Home Life Building
HS?.er
e ^rm. pame of L. C.

.

of James M. Carroll Company.

dol-

yet the purchasing power of
these dollars is by no means comparabie
to
that of the
dollars
originally invested since present
depreciable plant has been instaned
over
a
period of more
tban
20
years.
This
plant
is
wrRten off annually on a percentage basis in relation to origi-

Whitalcer OnenQ

k. V,. Wllltaker Upens

v:>i,

The company has one whollyowned subsidiary, R. C. R. Manui'acturing Co., Inc. This subsidiary
occupies approximately 5,000
square feet :ima modern two-story
building at 126-74 Willets Point
Boulevard, Flushing, New York.

•
precisely that we are not recog- LACONIA, N. H.—James M. Carnizjng the full cost of capital con-, roll
is conducting a securities

lars.

_

C

,

oi

First Weber

Siri*:f. rfeet.vare utl"

an

Shaw,
opened a

-

_

L

under the direction of Thomas L.
Boys.
i

New -York in December, 1956. It
- principally
engaged
in
the
manufacture of electronic equipment and components. The
company s
principal
executive,
administrative
and
engineering
offices are iocated at iS?3 East-ern.
Parkway in Brooklyn, N^w,Yor^r
'-'-5

"

was incorporated

is

i-

J^e

FT. PIERCE, Fla.—G. D. L Plans
Distributors Inc. has. opened a
branch office at Port St. Lucie

"nder„thf !awJ* of t,he staJ® ^

,

n

,

The company

t7L

T

ta. U. I. rlans rSranch

.

Today we are faced with in-(,
ri| ]\>|- 'parrrvll Or*en«-:
Elation,, and
the
difficulty
is... ;
^ M. Carroll Opens

sumption.
This method
of' determining depreciation allows the

%

dealer* LOUISVILLE,

^a-

'

,,

p

of

off the

in

.

5%

-

the

examples

^c;,

'

H1C,A?nc,
^ i

Tvflrkp4

yards. Many of these

large ships.

& ^

.

u°i' ^

T

SAN FRANCISCO, Callf^AmeriESSuiS'STWaTas" deflation, if
intlall0un aJl weii as and thus alaexiaxion, n
d
branch office at *!!
444
such should occur,

naj

or

and

shipbuilding and machinery industries the high labor
input.in t^rms of pian-hours gives,
producers with low cost foreign
labor a decided advantage. These
In

°nf/er:U?dPt!ikeincdoegnizance

operators
construction in

owners

contract

p'

barr.

...

Vr

v

^

EL

the

iCOUntry, and

PrKSrl^" ?

'

•

196?,

R«-<anA

t

a

BURLINGTON,' Colo.

offlce in the Lee Building under
1 ^aB St., the management of A. M. Weekley.

^

D

Bauer &'Co., Inc. has

a raUon-

hanir.

aaktt^at

^

include

problem

is

country

take

the

.

of
many
foreign markets
and
place a portion of our domestic

as

this

in

we

"

are three to six times higher than
those of the rest of the world, we
will find that our costs of producticn will increase to a point
where we will price ourselves out

our

979,000 tons were exported. Over
50% of the barbed wire used in

•

al-

and still maintain wage rates that

on

a

which

latest

3,353,000 tons sw e r e
brought .into the country and 2,ports

if

•

increased from 1.1 million in 1957
to 1.7 million in 1958. In 1960 the
situation

facilities,

same

economically obsolete.

dropped from 5.2
in 1957 to 2.7 mil-

1958,

in

lion

use

though
physically
capable
of
operating, have long since become

*

exports

have continued to

we

in-

as

steel industry

basic

the

v

were

many

will

'

„

Purs1-iantto a

indus-

to

as

,

than

low

costs

possible.

operation

equipment

modern

production

jAw

1SIAW

p^vvs™/-av* IV/T^-1*1™+/-^

replace
plant with

and equipment, and in

now

in

funds

keep

£no t, Fiscal'Agent and

left intact.
no immediate urgency to rebuild or replace plant

being met by all
the American producers who are
bringing out competitive models
this year. This operation has required
a
heavy investment
of
terest,

in

and equipment
Thus there was

•

which has been watched with

facilities

Ck

branch office in the, Montezuma
borrowings H°tel under the
short-term borrowings, Hotel under, the.' direction of
nnpr9«A,IT
Walter r
Walter K, Bauer,

,

anr,

to

C.„KniU.

i
Oliaw, Bauer Branch

-

anril

Fortunately during World War
II our manufacturing centers were
not.
not siihiert.prl tn hnmhinff and ntsubjected to bombing anri attack, and so our industrial plant

.ported. By 1965, this figure is expected to* double, and it is safe to
say that a high percentage of the
output
will
be
exported." The
threat of the small foreign
car,

6 ^

Tf>nds which mature April's,
to

Salle Boulevard under

«>e direction of Henry

to repay short-term,
^ ^ beforerepay
Father Hogan before
f^r
A"°unt»ng
Ulierthe Accountins Seminar-sponsored by fiia iui lenaing operations. Offerand for lending
the National Association of Accountants.
lhe
Accountants, 4ng W 11- he marie -thrnnA John V
will be made through Tahn T
New
York
Chapter,
New
York
City,
Kn0v Fiscal Aeent
March z, 1961.

cln^e
the -Close
close
xne close

we have in corresponding
tries in the United States.

1959.

.production
Germany,

prices.

^

517

oj'

Proceeds from the offering

.

manufacturing
equipment, and in some cases
have a higher percentage of

new

also

are

reduce

^

con-

dated

35/

OOlTlITIOini lVl3/rKGt6Cl'A

new

Automobiles

not

Trust Building under the management of Charles A. Reynolds,

uoodbody Opens Branch
urdinn
PORT HURON, Mich.—Goodbody
196I & Co- has °Pened a branch office

bonds

be used to redeem the
$83000 000
3%% bonds and $100,000,000 4%

world have

able

Banks

icclZ iirniWnlm

t«m

<M5onfifinnn

rPorYorYV» TPlnr>f~YHr>
JLt/IloUI

been

Land

$254,000,000

hond*

many instances, was endestroyed.
As
a
consequence, the other nations of the

figure of 32,400 in 1954, imports
of foreign cars rose to 444,000 in

•

of

invest-

_^
*An address by

tirely

insignificant

or

cic+ino-

making it possible to

contain if

which, in

achievement, has
been noticeably affected by forei'gn cars in the past few years,

'

since
since
Since

Federal

should provide most of the

States in providing nation by

Burgess & Leith Branch
PROVIDENCE, R. I.-Burgess &
Leith has opened a branch office
m the Rhode Island Hospital

v

arranged to offer publicly
about March 16, 1961 a new

issue

production and productivity and
thus provide a check against in-

machinery and equip-

oneration
operation
operation

twelve

andequipment^ Modern
^Jlpmenf wMincrease ^"966

of World War II. This equipment
served to replace that which suffered
the
ravages
of war
and

industrial

can

in
in
in

peen

the

on

capital needed for replacement of

the other arrangements that have

UXY.Ioreign. com
com

The

of the original

power

^ u^r the MiMpiaTaS COntaln " n0t wd»e* ^
£ent"nder
Marshall Plan and
;

United States has been considered
supreme.

jng

ment under toe Marshall Plan and
the

...

comcom-

where

particular asset

of the dollars it

purchased with, is not $50,000,
rather $100,000.

men?

increase

and

a

them with

have

we

foreign
iqreign

industries

in

-

r,

^

lo Ulier Jt)0nClS

The reclamation of the nurchas-

courtrte is due to the generosity

U

past few

the
xne

fpH
felt
ieix
leix

Steel

4

In the

:

Auto-and

m

The

but

an

Pwas Fed Land Banks
the
have

was

challenge. Much-of the
advance in productivity in other

maintained in manufacturing
for over half a century.

Competition

has resulted in

with

has

-Foreign

Capital

productivity
which presents the United States

to

cut into the lead the United States

ZZ

of

while

in 1958, in terms

tJ

great

production

1958,

2sseL0ct"llly diTin*shed.in value
cost of capital conon this

1 mr

State

in

off

OllCy by 5fr The
sumption

JL

emphasis placed on
capital equipment by other coun-

face from

we

Failure

Charged

Equipment

:

The

chasing power only 2y2%

47

SOUTHERN

COMPANY

OHIO

*1 It \

1

'M

48

■f'

*n

>'V

!L
P V v

WASHINGTON, D. C.
has

been

tion of Negroes from

various parts

the

to

jl;-

in

of the

the

;!
;

if

there will be
migration in the
immediate years ahead. This is*
a good thing for the South and
for the country as a whole. A
are

lation

will

country

over

our

better

job

and

the

South,

years

Today

country.

}'i
is y

State

U\\

York

is

the

in

City

.

has

York-

New

lead,

(paper).

!•>-'

city in

If!

However, Washington has the
greatest percentage of Negroes

.

•

I?

of

of

PH»>

any

when the

was

census

Thus Washington has a Negro

population of almost 54% of the
population.
The
public
school enrollment in Washing¬

approximately

Negro

is

race

strides

making

cars
same

'

Of

of

T?

York

New

State's

of 1,417,511,

nice

the South

apprehensive that

are

white

the

the

bers

of

total
race

$

240;

of

Chicago

Detroit, 482,223; Washing¬

ton, D. C. 411,737; Los Angeles,

*(

do

334,916, and Baltimore, 326,589.

S!i

with

'1

Washington,

one-third

or

cities
Negro

more

mem¬

not

have

are

substantial

a

per¬

residents
of
the
Negro population. While cities
like Baltimore, Detroit, Phila¬
delphia, Cleveland and Chicago
have a quarter or more than a

population

were Atlanta, 38.3%;
Orleans, 37.2%; Memphis,
37.0%, and Baltimore, 34.8%.

ii*.

New

{;»

Congress

centage

Besides

■'Of

aird

worried
that Washington
may
become
nearly an all-Negro city.
"
A few of our large cities still

population of
were

of

quarter of the total population
members of the Negro race,

as

i.P

Women

outnumbered

men

in

a

the

Negro population in 23 of
the 25 largest cities. San Diego

lL

and

Seattle

the

were

two

Y-

Negro

decennial
'.M

was

of

population

was

7.1%;

Denver

6.3%,

is

1950

A

one

of

nities

i"'

in

cities

other

South have been

y,

in the

V
N<i

a

than

the

a

migration.

great agricultural state,

counties where the soil

:

Stoddard

general

partners,

P.

Sullivan, Jr.
Horn

Mr.

Sullivan

a

will

will

Horn

be

and Raymond
limited partner.
firm's

the

be

Ex¬

change member.

agricultural counties

of

con¬

,

Board

19 6 0

Insurance

office

Alto

has

Co.

for

been

The

from

Shopping

Stanford

The

Witter

new

is

Center,

Industrial

across

Park.

Shopping

Center office
Partner
Phillip M.

Resident

Lightly. Alan E. Winterbothan is

Granbery, Marache Office
N.

Marache

Co.

branch

&

Granbery,

—

has

•

opened

office in the State

Building

under

Richard

of

Y.

a

Tower

management

the

Feldman.

Arias,

Incorporated,

Manager. There

account

advisors:

Charles

H.

sists

mem¬

D.

Clay,
Dale

E.

Jr.,

are

ten

Beasley,

David

A.
Coquillard,
L.
Donnelly,
Jean M.
Goity, Jerry F. Jager,
Richard F. Kane, Robert G. Kunz,
Harry E. Robb
and
Frank
D.
Tateosian.

Form S. R. Arias Inc.
R.

Assistant

of

Myrna

The

clerical

Shirley

staff con¬

Cashier,
Shreve,

Osborn,

Peterson,

Lillian

(paper),
How

Business

request.

on

to

Train

Outline

Manager of the California

Avenue

Your

Com¬

14 Business Operating Ratios in 72
Lines^—Dun & Bradstreet, Inc., 99
Church Street, New York 8, N. Y.

2390

at

office is situated in the California
Avenue

Does

with Others in Your Line?—

pare

Witter

Dean

opened

El Camino Real.

How

second

Calif. —A

ALTO,

of

,

Bank

a

training

a

Teller-

program—

American Bankers

Association, 12

East

New York
--'A

N.

36th

Street,

Y., $1.

Increased

Profit

Incentives

Sharing —J.

16,

Through
J.

Jehring —
Sharing Research Founda¬
tion, 1718
Sherman
Avenue,
Evanston, 111. (paper), $2.
\
Profit

,

International

Monetary

Fund-

Summary proceedings of the an¬
nual meeting I960—International
Monetary Fund, Washington, D* C,

' '

(paper).
*

of the New York

Ex¬

Norma

Street, Gayle Becker and

change, has been formed with of¬
fices at 20 Broad Street, New York

Daniel

Gleason.

bers

Officers

City.

are

Stock

Arias will
acquire the Exchange member¬
ship previously held by S. R.
Robert

Secretary.

M.

Edson J.

JEFFERSONVILLE, N. Y.—Edson

Nuclear Reactors

J. Tegeler is

securi¬

or

here.

Dec.

ties

S. Y. Libman Opens
Y.

offices

/, .'
Higgins Associates

is

conducting

business

from

secu¬

a

offices.

at

108th Street.

CAMBRIDGE, Mass.
Higgins
ties

Form R.
Topik

formed

&

with

Topik Co.

business

of

Co.,

Inc.

offices

at

has
295

Higgins

been
Madi¬

City to en¬
gage in a securities business. Of¬
ficers are Rolf Topik President;
Milton
Herson,
Vice-President;
and
M.
H.
Gardner, Secretary.
Mr.
Topik
was
formerly with
Granger &
Co. and Francis I.

in

a

securi¬

offices

under

at

the

12

from

Street

under
&

a

offices
the

532

firm

Authority

York

of

as

Techni¬

Extension, U.

S.

State

of the

of

Annual

—

York, Albany, N. Y. (paper).
of

Municipal

a

Financial

Consultant—Descriptive Brochure
—Wainwright & Ramsey Inc., 70
Pine Street, New York 5, N. Y.
Unsafe
on

Cooper

name

S.

of

report —
Power Authority of the State of

New

securities busi¬
at

U.

1960—Office

31,

Power
New

Role

formerly with Estate

engaging in

ness

Built, Building,

the

Information

Mr.

CAMDEN, N. J.—George Gravell
is

cal

in

Atomic Energy Commission, P. O.
Box 62, Oak Ridge, Tenn. (on re¬

firm

Higgins Associates.
was

Planned

quest).

M.

Forms Gravell & Co.

Gravell

Co.

from

Street

Edwin

Programming Inc.

Ave., New York

d.u Pont &

—

is engaging

Channing
name

R.

from

a

(Special to The Financial Chronicle)

HILLS, N. Y.—Spencer

Libman

65-11

engaging in

business

Forms

FOREST

Local

mission, Raleigh, N. C. (paper).

Tegeler Opens

^

Arias.

the

Biennial ^Report
Government Com¬

mission—Local Government Com¬

Salvo R. Arias,

President and Treasurer, and Rob¬
ert M. Arias Vice-President and

Carolina:

North
of

'

-

,

Work

Garment

Industrial

Garments

—

Leaflet

of

Safety—Institute

Launderers

Inc., 1833
Jefferson Place, N. W., Washing¬
ton, D. C. (on request).
,

of

Attention Brokers and Dealers:

Co.

leaders

column is

intended

to

TRADING

%JT

MARKETS

own

views.]

of Directors

Borg Electronics Corp;,; Authur J.
S chmit t,,

nounced.

*

Chairman,has

an¬

W. L. Maxson

Oar New

FOREIGN

of Amphenol-

Botany Industries

Waste King

Carl Marks & Co. Inc

been elected to the

American Cement

Official Films

re¬

P.

bankers, has

,

; more mechanized for the farm*.,




the

of

Walker, a partner in
HOrnblower & Weeks, investment

and ;

ing operations, there is less need

of per¬

without

Named Director
Clifton

is rich

more

race

that

&

of the
with that point
Speaking privatqly,
the top economists in

Many

[This

par¬

for several feet and the countryside is. table-top flat. With the

thousands

the "Chronicle's"

ticularly in the so-called Delta

#wy

St., New York

McNamee

Palo

government likewise agree.

from 1950 to 1960. Mississippi is

V*7

Wall

PALO

flect the "behind the scene" inter¬
pretation from the nation's (Capital
and may or may not coincide icith

the

major factor

Mississippi lost 70,751 Negroes

M
M

cities

Data,

Health

race agree

view.

some

rily in the Old, South states. But
obviously that isn't the case any t
more.
Certainly job opportu¬

.V!

that there

would be better for all

Negro

time the Negro popu¬
lation was concentrated prima¬

$

61

L.

and

son

distribution

better

cerned.

Widely Dispersed

I'

Diego
and Min¬

San

creating major problems.

150,697,-

race

At

our

of the Negro

sons

361.

i

of

absorb

could

was

,f'a
JM

apparent

dozens

are

15,042,286 when the

census

Antonio

It

population

conducted. Then the total United
States

small

very

neapolis only 2.4%.

i

I'-i

at

John

City.

rities

6%;

18,871,831

nation, 179,323,175.

amounted to

b;

a

San

1012 % of the total population
The

■

formed

be

population Negro; Boston 9.1%;

Negro population in

the United States

'

members of the
Stock Exchange, will
as
of March 16 with
Co.,

largest city has only 8.4% of its

The total

of the

have

Milwaukee, the country's 11th

ceptions.

or

cities

few

percentage.

ex¬

&

York

New

S.

with 812,637; Philadelphia, 529,-

New Witter Branch

To Form Sullivan Co.
Sullivan

prime example.

capitol

—

Institute, 488 Madison Ave., New
22, N. Y. (paper), 25 cents.

population will con¬
Washington is

Many Negro and white leaders

con¬

Insurance
Book

York

decline.

tinue to

of the-nation's

Negro

than

Eastin—Re¬

B.

District of Columbia.

ready to resume dictation, Mr. Wolfey?"

we

SYRACUSE,

other

Negro population will con¬
tinue to increase rapidly, while

in terms

•

are

as

those

as

the

1,087,931 lived in New York

the

A 1

cities

Numerous

total

census was

comfortable

and

of their white neighbors.

Negro
a

in¬

stances built classrooms just

of

race

in many

have

Roy

and

Schmec-

Edition—The Brookings In¬

Source

offices

ducted. Ranked after New York

>

a

school

any

parents in most every

communities

community.

City when the

f

white

the

of

population

'P.

be

doubt

no

and

F.

stitution, 1775 Massachusetts
Avenue, N. W.,
Washington 6,

up

tion for their children. Southern

economic¬

are

the

fK'

crop

complain about in the way of
school facilities and transporta¬

times.

the

.?!

to

to

keeping pace with
They are living in
better houses and they are driv¬
ing automobiles that are com¬
parable for the most part with
Negroes

•

will

factor than

Negro

ally. The wages and salaries of
the

bound

Southern community have little

tremendous

kebier

school

the

not

crisis.

8 0 %

Economic Gains

u*'

is

that

greater

Negro.

The

or

Publications

Use—Laurence

vised

many

tunities

total

is

Government
Their

Health

Southern communities
during the "next several years
will
expedite migration is
a
matter of conjecture. Job oppor¬

last April.

ton

Negro

Whether
crisis

—

of the City of New York—Harvard
University
Press,
Cambridge,
Mass. (cloth), $5.50.

499,320. California was next

in

Federal

Special Committee on
Federal Conflict of Interest

the

"Now

conducted

&

Laws, The Association of the Bar

Adequate School Facilities

763,956, the Negro population of
the Nation's Capitol was 411,737

Interest

of

Service

with 421,689.

large city. Of the total
population of the District of
Columbia proper, amounting to

M:

Conflict

populations
of
Michigan,
Ohio
and
Pennsylvania all showed a big
jump. But in total numbers New
York showed the greatest gain

America.

i>!'

State,

112 State

Florida,

largest

any

York

Street, Albany 7, N. Y.

The

New

and

the

Negro population of

■

had

Georgia

ago

New

partment of Commerce,

sixth, 1,037,470.

Ten

in

increased

Dixie

in

population

the

'f

Business

(paper),

March 1961—New York State De¬

Negro

total

the

the largest Negro population in

Nv,

l-jl

Building, Phoenix, Ariz,
on request.

with

perhaps better educational
advantages.

■' *'7

Department, 520 Professional
•

largest

opportunities,

and

'

Negroes

37,852

Virginia, a border
state, lost 25,489.
Despite the heavy influx from

Negro populated state
1,187,125; Georgia, third
with 1,122,596; North Carolina,
fourth, 1,116,021; Louisiana,
fifth,
1,039,207,
and
Illinois,

mean

lh«M

lost

West

during the decade. Texas today,
behind New York, is the second

better distribution of the popu¬

v

■ii-

1

hands.

Arkansas

Indications
continuing

"profile" of the State including
cost of living, taxes, job oppor¬
tunities, education, land costs, etc.
—Valley National Bank, Publicity

and

fewer

are

Arizona—Booklet giving a

About

now

could

formerly

there

field

fewer

past

decade.

a

>*

pickers

So

do.

in

,

;

y

picker

day can do what 10 human

a

cotton

na¬

cities

workers.

agricultural

fewer

\

BOOKSHELF

capital

A mechanical cotton

migra¬

the South

tion, and the large
particular, during

I!?

for

There

—

tremendous

a

>

Businessman's

behjnd-the'scenfs interpretations
from the nation's

t.

Thursday, March 16, 1961

.

WASHINGTON AND YOU

M :

'

Financial Chronicle

The Commercial and

(1220)

20 BROAD

York

telephone number is'

CAnal 6-3840

SECURITIES SPECIALISTS
STREET

TEL: HANOVER 2-0050

•

NEW YORK 5, N. Y.

.TELETYPE NY 1-971

LERNER & CO.
Investment Securities

10 Post Office
I Telephone

..

,•

V

"

Square, Boston 9; Mass.
7.

-Teletype