Full text of Commercial and Financial Chronicle : March 3, 1960, Vol. 191, No. 5930

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The COMMERCIAL and FINANCIAL

ESTABLISHED 1889

Number 5930

191

Volume

New York 7, N.
Y.,

Thursday, March 3, 1960

1-'?

;

Price 50

Cents

Copy

AS WE SEE IT

Editorial

"Industrialization!" It is

word to conjure with in
many
where people are still "back¬

parts of the world today

ward." Or, possibly, it would be

accurate to

say

those who take it upon themselves to make over
large sections of the globe more to their liking. Mr.
Castro has recently announced his intention of indus¬
trializing Cuba, and, following a visit by Mr. Mikoyan of
Russia, has asked the rank and file of the proletariat to
among

By Herbert M. Bratter, Washington, D. C.

this

Cuban dictator has been

suggest tjiat the
impressed with the success of
the Soviet system of enforced
austerity as a means of

sional criticism

providing the capital required for the

compromise

ing

process

broad industry. ;
:
v,>•
:i--worship of industrialization is by

and

of develop¬

and

today

President

Eisenhower

the world. It would be well if

approach

tours

somewhat

that

part

are

settled by

upon to answer

and

Robert

interest

critics

rates.

State and

Federal

policies. For the purpose of the critics
"Administration" embraces not
only the
House and the
Treasury, but as well the

White

committee

Federal
that

Reserve

the

and is

opinions.

some

.Treasury

The

centered

replies

short

to
Herbert M. Bratter

es¬

been published,
At this writing
instalment of questions from Mr.

now

Patman is receiving
Treasury attention.
-

26)

the

therefore, attention has
Treasury's request for Congres¬

sional removal of the
4^4% ceiling governing the
coupon on Treasury bonds.
The ceiling, which
dates from
1918, has greatly hampered the Treas¬
ury in managing the
public debt, forcing it to con¬
centrate its new
offerings in short maturities of
less than five
years, because lenders have been
unwilling to take long-term issues at
par with
only a 4^4% coupon. The
Treasury, of

policies

interrogatories—

additional

During recent months,

The

activities of Congressional Democrats
sug¬
gest that in this election year they see in the inter¬

fully

rejects

the

course, force¬

allega-

State,

(Continued

on page

22)

;av:

Municipal
and Public

STATE

and

MUNICIPAL

"4A-I.

•»

/\'r.«•:v

;

So. Hope

Street, Los Angeles 17;

BANK 5

Members New York Stock Exchange

NEW YORK

MONTHLY

BONDS

Burnham
MEMBERS NEW

New York 15

YORK

LETTER

and

AND

Company

Oceanside, Pasadena, Pomona, Redlands,'
Riverside, San Diego, Santa Ana,
-

15 BROAD STREET, NEW YORK 5. N.Y.
CABLE:

•

014-1400

Tien-VP* NY 1-2M2

COIURNMAM

Santa

OF NEW YORK

Monica

Inquiries Invited

STOCK EXCHANGES

AMERICAN

Bonds and C:

Bond Dept.

Teletype: NY 1-708

Notes

Claremont, Corona del Mar,
Encino, Glendale, Hollywood, Long Beach,

THE FIRST NATIONAL CITY BANK

30 Broad
Street

Exchange
\Members Pacific Coast Exchange
i '

Offices

TRUST COMPANY
'

Associate Member American Stock

view

burnham

-■.

623

California

HAnover 2-3700

BOM)-DEPARTMENT

fact

1953 it has been the claim
of prominent Democratic
of
monetary and fiscal policies that "tight
money" has been pursued in
Washington for the
purpose of helping the banks.

often; volumi-

in the form

says—have

as was

Municipal-i.

CHEMICAL

Board, notwithstanding the

latter independent
agency is bi-partisan
actually headed by a Democrat. Ever since

critics

literally dozens

Reserve

most of these

Securities tS'c! $
telkimionE:

been

money, low
the Democratic
made high-priced,
of

of official

i I0

-rVA"

thesis

the word

Government,

the

the Administration since
1953, if not deliberately, then
directly as a result

PICTURES IN THIS ISSUE: Candid photos taken at the
38th Annual Mid-Winter Dinner of the
Investment Traders Association of Philadelphia
appear
in today's PICTORIAL SECTION.

U. S.

that

money has
interest rates raised, by

cross exam¬

questions

and
and

the United States. Yet
compared with the United States all of them have to
be
regarded as "backward" coun(Continued on

Widely-available money, to which Mr. Patman
refers, means plentiful money, easy

length

of detailed

nature with those things which
feasible. They have
long been

page

Secretary

r nous-

rich in natural
resources, and are in other

Europeans just

Party has stood, if for nothing
else, for making
widely available to the people of this
great
land
so
that they may work and
produce the
material things of life and build
for the future."
money

Wright Patman (D., Tex.),
Paul H. Douglas
(D.,
-111.) and Congressman Henry
S. Reuss
(D., Wis.). Moreover,
; the Secretary has been called

By and large these

countries

Treasury.

^Senator

We may
begin by asking how it happens that Latin
America is not
already industrialized.
ways well endowed
by
make industrialization

bonds,

members, notably Congress¬

:-y£-

them has been—until now—in
their
fundamentally
different attitudes and
policies toward money and
interest rates. From the time of
Andrew Jackson's
Administration, and long before, the Democratic

includes

government

man

proceeding with the task.
Why ? ■,'

and

ined

moment, it should be quite useful to
being said in that part of the world as an example of
the lack of realism which so
constantly characterizes cur¬
rent
discussion, and, worse yet, some of the current plans

for

management

This

the latest Joint Economic

mittee

limelight,
analyze what

pursued.

ceiling-lifting formulas

Anderson has been

much in the

at the

being

debt management and the interest
rate. In the
course
of personal appearances before
the Joint
Economic Committee and the
House Ways and Means Com¬

taken toward this matter of
converting a
so-called backward
country into a great industrial com¬
plex of the sort so familiar to the citizens of this
so

policies

debt

were

country. Since Latin America is

rate

Treasury defense of

leading

Committee, put it the other day in a floor speech:
"The whole
history of the two political parties,
the one basic and
unchanging difference between

During recent months Treasury officials have been
deluged with questions from Congressional critics

realistic

and

member of the House Committee on
Banking and
Currency and Vice-Chairman of the Joint Economic

Committee proposals for the
The author, also, presents a
lengthy
refutatory analysis of auction method and, lastly, stresses
the advantages of
asking the advice of advisory committees.

means

confined to Cuba. We hear of it in various forms
almost
the world over. There is much of the
same sort of notion
in what is
being said throughout most of Latin Ameri¬
ca

interest

FRB

But this

Patman,

explores the feasibility of the auction and fixedprice technique in selling Treasury
securities, and the latest
Congressional and Treasury thinking on the
subject of
obtaining the lowest possible rate. He sums
up Congres¬

sizable portion of their
earnings to finance
industrialization. This seems !;to

contribute

est-rate question and associated
topics grist for the
political mill.
As Congressman

Writer

Bond

York

Correspondent

Chase Manhattan

■

Southern

—

Pershing

THE

California Securities
New

Department /

BANK
A

Co.

HAnover 2-6000

Underwriter

Net Active Markets Maintained

Distributor

To Dealers, Banks and Brokers

Dealer

T.L.Watson&Co.
ESTABLISHED
'

■*'

•

*.%

Investment
m'"

>■':

American

/DALLAS

STREET

NEW YORK 4, N. Y.

COMPANY
*

BROAD

V'.
i
I

h -PERTH AMBOY r *

CALIFORNIA'S
CIVIC

IMPROVEMENT

CANADIAN

DEPARTMENT

•Teletype NY 1-2270

DIRECT

WIRES TO

;

goodbody
7 BROADWAY v
.NEW YORK I:

*
.

;

MONTREAL AND TORONTO

co.

MEMBERS NEW YORK STOCK EXCHANGE
BRIDGEPORT

FOR

BONDS & STOCKS

Commission Orders Executed On All
Canadian Exchanges

Exchange

;

Stock

CANADIAN

Block Inquiries Invited

s><

? %

^0ilthu>€4t

Members

New York Stock
Exchange
-

FIRST

CANADIAN
SECURITIES

1832

1 NORTH LA SALLE ST.
;

CHICAGO

Dominion Securities
corporation
40

Exchange Place; N ew Y ork 5,N.Y.

Teletype NY 1-702-3

WHitehall 4-8161

-MUNICIPAL BOND DEPARTMENT

Bank

V-iLT.A
Sen Francisco

America
S. A.
Los

Angeles

\
'

The Security

Brokers, Dealers only

If it's Over-the-Counter

in the investment and advisory

;

Primary markets in

of New York Stock Exchange

Members

Cenco Instruments

before the " Senate
Committee
brought
the fact that the universities

out

supplier

Nationwide private wire system.

Broader Coverage.

passage

Fast, dependable executions.

ties* with

of the

the

Act. Under

the

provisions

Congress
t he

120 Broadway, New

York 5

pro¬

are

gram

ex-

pected

avail-

make

Teletype NY 1-40

WOrth 4-2300

Breda,
Holland was
on Sept. -1,
1959; the
city has given Cenco options on
the land adjoining this plant to be
used for further expansion. Now
in limited production, Cenco ex¬
pects an annual volume of $1
million by the end of 1960.
By
plant
in
completed

states

the

Stock Exchange

American

BOSTON

•

CHICAGO

able to the

PHILADELPHIA

•

SAN FRANCISCO

nation's

Private

Wires

Cities

to Principal

entary
high

and

schools

Peter A.

expects its
sales
organization to equal its domestic

$300

and

$400

which

Completion of the plant will in¬
crease
Cenco's capacity to over

for school laboratories.

S. WEINBERG,

Location of
the plant in Breda, near Holland's
Cenco sales
and the company earned
720 leading scientific institutions,
a .share.
Management has esti¬ gives Cenco a steady «supply of
(ending April 30),
reached1 $15 million

INC.

Security Dealers Ast%

sales

and

from now, I expect a
sales rate of approximately
$50
million and, assuming a conserva¬

Odd Lots

(Active and Inactive Issues)

well

listening post

its

staff

3-7830

Instrument

supply

houses

worldwide business comparable

tion and intense population growth-

of the country.

jJPage A)

domestic operations.:; "

its

Industrial Instrumentation

Educational Market

rading Interest In

siderably
Education

expand

con¬

and

receive

schools

American Furniture

should

market

Act.

market'

funds

under

The Act

the

specifies

that equipment

purchases be made
only from old-established firms
long in this field, because Con¬
gress feared that the announce¬
ment of a program of. this size
would
encourage
unreliable

Basset! Furniture Industries
Life Insurance Co. of Va.

Commonwealth Natural Gas

Market

,■

business and

of total

doing 40%
the

this

dominates

Cenco is

dustrial

and

research

for
;

testing

and

fastest

of Cenco sales

About 40%

in¬

this is one of
growth activities.

laboratories,
our

supplies

and

equipment

supplier of laboratory

for

LYNCHBURG, VA.
LD 39
t

TWX LY 77

—5-2527—
Wire

Private

New

$9,750,

value

Cenco alone in this industry has
a

nationwide

sales

and

service

and

Aviation

American

giants

and

the
field.
Its
being
used

Moisture ; Meter

extensively in the tobacco, textile,
paper and other industries. Intro¬
duction last year of Cenco's new
gives the

organization. It is staffed by

many

vacuum

former science teachers and

engi¬

about the
selling; they
the problems a

knowledgeable

neers,

they

understand
teacher

are

fully

when

faces

considers

the

purchase of new equipment,
Cenco's competitors, who use local

WANT INFORMATION ABOUT
*i.

••

With

•'

■>

>•

-•

•

...

offices

•

'.r

throughout

our

firm has

familiarity with
Canadian

handle

securities

transactions

dian securities,
corporate

and

first-hand

the entire
market. We
in all

Cana¬

including stocks,

and municipal bonds,

will

glad to supply

information about

specific issues

of interest to you.

Call

$6.2 million,
pared to $4,520,000 in 1959.
Year—

high school sys¬
little equipment
buying
experience,
because
of
previous lack pf funds for such
purchases, have placed their faith
in
Cenco,
requesting
that- the
company in
many cases
set up
their
buying programs
to
use
Government money more effec¬

write:

NESBin, THOMSON
AND COMPANY, INC.

and

tively. A further tribute to Cenco
came from
the American Society
of

1957
:

1956

Long-Term

BOSTON 10

;

Science Teachers

which asked

the company

to devise a means of
demonstrating
certain
scientific
phenomena on a classroom basis,
after

the

vacuum

expected

business.

Society

had

tried,

un¬

successfully to do so. Cenco solved
the problem, the result being the
Cenco
equipment will probably

research

increase

Common Stock:

—Approximately

Atomic
of

30%

sells

New York

Victor Products

Boston

For

investor

June.

producer

and Soiltest in
Soiltest develops and

gear,

instruments

for

contribute about 150 to fiscal 1960

offer to sell,

PHILA. 2, PA.

1516 LOCUST ST.,

A Continuing

or i

security referred to herein.)

Interest in

Fischer & Porter Inc.

Richardson Co.
Stouffer Corp.

looking

BOENNING & CO.

•-77 Established

bstantial

increase

fin

the volume of
salesisex-

the

1914

1529 Walnut

Street

Broadway
Philadelphia 2, P
New York 6, N. Y.
LO 8-0900
CO 7-1200
ATT Teletype PH 30
115

con¬

because

industry

caters
mass
er

Keyes Fibre Co.

for

situation.

the

consum¬

market

selling

research

Laboratories,

Phila.-Balto. Stock Exchang
Pitts. Stock Exch. (Assoc.)

manage¬

growth, or a speculator for capi¬
tal gain, the vending machine in¬
dustry would seem to be an idea".

and more dol¬
budgets.
used to boast

Corporation

com¬

earnings. Further acquisitions will
be made. Cenco management has
minimized research and develop¬
ment expenditures by establishing
working agreements with several

any

Members:

City

testing the
quality and condition
of soils,
concrete and asphalt; has an an¬
nual
volume of approximately
$2V2 million, and is expected to

buy,

ALBERT J.CAPLAN& CO

Members New York Stock Exchange

con¬

active acquisitions pro¬
absorbing
in
February,

circumstances to be construed

solicitation of an offer to

paying small-loan companies, sales
finance companies, or factors.

Ladenburg, Thalmann & Co.

instruments

industrial

their

atomic

late

seek -for retail off-street placement blocks .of inactive
preferred
or
common
< stocks
of -dividend'

ment owned or controlled.

add

Management,. this past year, be¬
an

1,005,957 shares

ucts

practi
c o n

prod¬

that
c

are

al 1

sidered

necessities and
low 1 in

are

Morris Peckman

price.
of

automatic

vending

The

saving^

use

machines

has been growing rapidly and the

vending industry, in 1958, had re¬
billion. Up to

tail sales of over $2

the present time the
been

restricted

industry has

sales

retailing at less than $1.
appears

items

Now

that the field of articles to

be offered for sale

can

be expanded

Over-the-Counter

Quotation Services

higher priced items such as cos¬
metics, dry goods, etc. because of

for 47 Years

the recent introduction of $1 and
$5
bill changers to be used in vend¬

ing

machines

factured
A

fertile

now

another
field

being

manu¬

National Quotation

company.

opening

the food

(This is under

■

of subsidiary
due
$100,000 annually to 1963;
$125,000
annually
to
1964-68;
$175,000 in 1969-72; and $425,000
on
May 1, 1973.

between 5-8% for technically

gram,

Debebntures

oriented businesses.

gan

Companies

$2,250,000

Debt:

pumps

...

panies spend

now

Finance

0.28

Capitalization

Consumer

„

0.36
.•

Investment JBankers

111 Broadway, N.Y. 8 COrtlandt 7-5680

0.64

12.7.

1955—.7 118

Shr.

.0.59

14.5

company

25 BROAD ST. 140 FEDERAL ST.

NEWY0RK4

14.8'
;

1958-

per

0.72

15.0

-Tokyo, Japan
Brokers &

com¬

.$1.25 Est.

$21-22 Est.

1959

Earned

Sales (Mil.)

1960

Tiscal

second

concern's
were

that

very

Affiliate

first half of fiscal
1960, Cenco earned 550 a .share,
compared with 400 in 1959. Sales
the

Company

;York, Inc.

Yamaichi Securities Co., Ltd.

the

a
lack
of- Where companies
characterizes about spending 3% of sales jon
employed salesman. research, the typical percentage is

company

Elementary
tems, with

cases

many

of New

Financial

tinue

Securities

rangement with Sinclair.

quarter

write

Yamaichi

products. The Gravitometer, which
is scheduled for introduction in
mid-1960
resulted
from its ar¬

During

information

programs

pected to

lars

Call

companies and can offer -its
customers a steady stream of new

product line which presently

questionable ^distributor loyalty,
unfamiliarity with the product,
and

this

current

these

stitutes about 10% of total annual
Sales

For

$50

between 10-20% in volume to this

will

aggressiveness

Canada,

extant;

distributors, face the problem that
who uses the setup does:

pump

and diffusion

ical

anyone

SECURITIES

CANADIAN

research

million

branch offices

STOCKS

;

roughly

the

able

thus

the most complete line of mechan¬

products

Institutional Investors...

Cenco

participate

our

JAPANESE

instrumentation

the

ability

solid

the

North

City

York

MORRIS PECKMAN

tremendous

other

profit from Cenco's
manufacturing and merchandising

Ray, which sells
has been found to be

business.

which can trace
its origin back to 1888, is one of
the oldest, if not the oldest, com¬
pany operating in this area.

•Direct wires to

Beta

liquid fuel industries and is
being used by Aerojet-General,

Cenco,

taken this op-

have

Oil

Sinclair

fee.
Standard
Oil of
Phillips Petroleum and

portunity

field.

NYT-1557

Birmingham. Ala
Mobile, Ala.

companies permit Cenco to mar¬
developed in
their laboratories in return for a

■

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

New Orleans, La. -

these

ket new instruments

this purpose.

Cenco's

'Members New York Stock'Exchange
Members American

for

are

operators to try their hand at the

STRADER and COMPANY, Inc.

STEINER, ROUSE & CO
HAnover 2-0700

5Y8%
Cenco

,,7

, „ ,

companies under which

oil

Teletype No. NY 1-2762

man"

latest scientific developments.

for

ing, and to continue growing with* other world markets. Ultimately,
the great stress on science educa¬ Cenco expects to be able to create

Exchange Place, New York 5
WHitehall

personnel

like
Cenco are virtually unknown in
tive 6V2%
net after taxes, per Europe. Instruments made at the
share earnings of $3.25 on the one plant
will
be
distributed
in
million shares presently outstand¬ Europe,
South America and in

BONDS

Phone:

plant

million.

$21

Three years

scientific

mated fiscal 1960 earnings at $1.20

Members

Bids

$40 million annually.

In fiscal 1959

GROSSMAN

company

operations in size.

portion
of
will be spent on equipment
major

the

1965,

Drury

European manufacturing and

between

million,

Bought—Sold—Quoted

Morris

—

of Ladenburg, - ThaiCo., New York City.

Peckman,

royalty
Indiana,

27,000 square foot

Cenco's new

and

participating

Associate Member

-J'\

•

Foreign Business

Act,

the

Corporation

science

extensive

equipment
program

universi¬

necessary

;
such
an
will require.

Education

New York Hanseatic

itself to

years. Cenco is gearing
be able to supply these

Products Corp.

Victor

$240 million for additional science'
buildings .during the next three

National

1920

will spend more than

of America

equipment to educa¬
tional
institutions,
Cenco. will
benefit
tremendously from
the

;>/ Established

of McDonnell & Co.,
Inc., New York Ui^ty. (Page 2)
A. Drury,

Educational

scientific

^'7. i ";VV

^y::- I'-i.;;

Securities

Instruments Corp.—QPeter

Cenco

Testimony

Corp.

As America's number one

O-T-C experience.

39 years

York City strations.

McDonnell & Co., Inc., New

than

Alabama &

■

Louisiana
,

prescribed in all Society text
dealing with these demon¬

Selections

books

of:

securities.

400 unlisted

Thursday, March 3, 1960

Participants and

Their

for^favoring a particular security.

PETER A. DRURY

For the combined advantages

Week's

This
Forum

experts
field from all sections of the country

participate and give their reasons

Call "HANSEATIC"
?

I Like Best...

each week, a different group of

A continuous forum in which,

Traders Say

. .

(958)

For Banks,

Chronicle

Commercial and Financial

The
2

serving field.

dustries

and, commercial
Continued

Established 19li

Many in¬
estabpage

New

46 Front Street
OHIOAGO

Bureau

Incorporated

-7

SAN

York 4, N.

Number 5930

191

Volume

...

The Commercial and

Financial Chronicle

(959)

J
I"'"".'.',

Impressive Trends Ahead

For Electrical—Electronics:

i.i

■

Electric

and Chairman of the Board, Sylvania

CONTENTS

'■ ■ i

■•

'•
•

Articles and News

industrialist previews challenges and opportunities in "the V : 4
electrical-electronics industry. Mr. Mitchell, refers to, the doubling of electric power consumption every decade and anticipates the 700
billion kwh. figure in 1959 will trend toward a trillion-and-a-half in'-*--;'
1970 and 3 trillion in 1980. As for the tremendous impact,of elec,'.v;:>.y

Page

lives since World War II; the industrialist charts

ironies upon our

possibilities offered by the commercial
market. He assures the reader that the potential prom-

tig untapped reservoir of

-the

and industrial

;

need for

attention to the prerequisite

G..Mitchell_:_rwj.L__jL

XX '•.f.S<..

favorable business climate./-;/

—Arthur

is a great "Genius is about 2% inspiration
telephone,, and 98% :perspiration.",-.;vr a 7,/
and an electronic tube or a tele-.
The act of turning on an elecvision set may not resemble, trie lamp,.or making a telephone
automatic
•
call, or operating an electric'ap-'
llllllllllillllIllllllllll
llllllll ll ill
llflii
a

•i

pliance,

switc hi ng

vision

equipment,
and

■*

tend to for¬

ticketing,

.' —F.'W.

New

Early Ingenuity

and
wouldn't get

If you were to look back Over *
the years and review the achieve--"

far with¬
out it — .that
one thing is .a
:
phenomenon «;

mentsv from

very

'•

which

this

<>bsoletes

tropical

i'■ •
v

■

•

' ";, i

;

■

born,

\ :-v '*'*"''"V*; v'i?V'*

pay,

i- •^

'v.

Obsolete Securities Dept.

/•

KRATTER CORP.
9

'*-

•

XXX:M.ko:^X3

V
.10

.-//A":

VIDEOTRON1CS *

Cobleigh-^^

Profits

/'•, f --v'"

•%.>.*

■

Brown___j

from

Managing Our Trusts

(

SERVONICS

13"

•

••

•

Cannell

■

•

;

FARRINGTON CORP/

'■

Prudent Men Would Do

••

■

Let's

•

Not Fool Ourselves—Roger W. Babson

-i'."'''

r:\\

Prospectus

•'!.

S"-

r*-—Norman

■

J. F.

Dacey___^__/__„_i.

Regular Features X

.television,. I
dout know of any common bopd
in
technology
that. ,/could 'be

Sprague, and William Stan¬
ley,':and. James Jenny, and Gus
DeLaval
and, Thomas Edison,

As We

vital than elec-

When you try

Bank

„; *

-V

•:

Reilly & Co.,Jnc.

DIgby 4-4970

Owens Yacht

Frank

stronger
tricity.

S '

■

Broadway, New York 5
/

•

of Contractual Mutual Fund Plans

X :,' *"*•/.''/• XC7 'J4-.

Integration:^ 1960—Donald F. Heatherington

In Defense

request

.'•■■V^

European

& DEVELOPMENT

!_• 12

;,v//

ALICO LAND

_j__

Chemical Research—Peter

'*■

—

"/;—Charles W. Buek__l

industry

be,amazed
•.at the -ingenuity behind some of
those early developments ..•■•// the
Don G. Mitchell
known as
work of pioneers like DuFay and
electricity.
v;
t
Farraday, and Volta and Ampere,
No matter
how
different^ our whose names, of course, * becameoperations may be, all of us in the part of the-technical vocabulary.industry have a common bond— And then -as you ^ reviewed' the
whether;our product is-electric. 1880's and 1890's you would see
apparatus, or electric power, or the names
of
George Westing-'
telephone service, or communica- house, and Charles v Brushy and
>

••*5

Elliott Farr. 1

would

you

jaunt!
i

?'.*.-j

was-

WALL STREET, NEW YORK
"Telephone: WHitehall 4-6551 *"

•

// ••;/"'*.

■»

; '

common

i-k

The Outlook for Banks and Finance Companies

everywhere and touch
virtually every aspect of our lives.
v

-•v:-v.-':

•

—Malcolm

toll

tions

that reach

•

that

isn't
automatic

*..•«•

The Automobile Industry and Investment Implication

system

thing in'

your

for

A» -1

;

Cummins

.*■•;:■>■:;/*-:•'.

tele¬

your

like,

one

■

U.S.S.R. Mineral Production

Two Rails for Income—Ira U.

get that behind all of these.activi-,
ties Is a rcomplex~ Of .industries,

they all have

PALMS?

■,:

turning

radio set has become

commonplace that

radar

__Anthony Arpaia

III

elephbne:

;;'

;

Brass Tacks of the ICC Administrative Problem

Although a light bulb;

different from

___Cover

'V;•/>■''.**

K Our Mining Industry Faces
;■] '■

deal

/____

Financing Corporate Growth—Paul M; Van Arsdell-__l-^_i.^J

mountains of paperwork and, in concluding, calls

being inundated by

-—Don

•»

Let

.*;•

/ *

electronic data processing will relieve the businessman from

how

■

Impressive Trends Ahead for Electrical-Electronics

electronics ^isn't a dream," is particularly intrigued

ised by

Today—Herbert M. Bratter.,

•

/;
./

r-*.r

■Leading Financial Questions Discussed in Washington /

QUALMS
; ABOUT THE

Leading

/■

JCHTEdSTf

b.S.
"

Products lncX"-X

}■

*•,'"■

J.i; i

v.,1*

■

G. Mitchell,* President, General Telephone & Electronics

}U Don

Corp.

equipment,

to sum up the work
of these pioneers,'you need only'

H~,

are,

say

of 7course/ more

specifically, honoring the birthday
of Thomas
Edison, "who was* born
Feb.

11,' 1847, over in Milan;
Ohio, and who died in 1931. Gen-

erally recognized as
inventor in history

because his
inventions exerted so profound an
influence
on
our
".daily .lives',
Edison in /a very, definite ' way
symbolized the diversity and com-

could spend the rest of the

And

yet

tricity"
realize

"the

wizard

practical

was

that

genius

other
*?

enough

alone

and certainly
single-handedly

the electrical
industry and all the
industries which have
emerged
from it.
Progress in a great indus-

try—the progress that is so evident today and which
will
be

Projected iar

future—evolved
and
o

painstaking

broadlv in

fram

things enable

.V".» /

X."

-x

'r-

~r"'

■.

•

...

J-

•

v-.

v»'

*•

•

rw*

A'T;.;-

Observations—A.
Our

1.',r. **.

* X

•

Our

^"<.-."V

-••

•

"•

••

thp

•• A

:
20

Wilfred

•

•*

—

■'

In other words, as a

Continued

Securities

^29

Now

——

Registration

Salesman's

The Market

—41

and

Corner_„i-

2..

For

You—By Wallace Streete

The Security I Like Best

Washington

and

Chicago

.i ?

Crompton &

Hamilton.

Knowles Corp.

You——

COMMON

;

STOCK

Twice

Weekly ■/

;

Bought • Sold 3 Quoted
on

Request

FINANCIAL

CHRONICLE

Reg. U. S. Patent Office'

Park
"

DANA

Place,

COMPANY, Publishers
New

REctor 2-9570

York 7, N.
to

9576

•

second-class

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

■]

."•/'• 'i

GEORGE J. MORRISSEY, Editor

WILLIAM DANA SEIBERT, President

"CLAUDE Dl SEIBERT. Vice-President

Company

Reentered

matter-

Worcester

Special Study

Report Available

Subscription Rates
Subscriptions in
United
States," U.S
Possessions,
Territories and Members Jol
Pan-American Union, $65.00 per year, in
Dominion
of
Canada, $68.00
per
year
Other Countries, $72.00
per year./.
*T.'.
...

Thursday, March 3, I960,,"

-Every Thursday '(general news and ad-vertising issue) ,and every Monday (com¬
plete;" statistical issue -*>- market quotation
records, cornoration news,- hank Clearings)
state and city news, etc.). •
.
'i

'
-

Schenectady

„

page 24

;

Glens Falls

St. Louis

-i

;/", A

♦Column not available this week.

,TELETYPE NY 1-5

....

Banks, Brokers and Dealers

The State of Trade and Industry...

1868

Dallas

.Philadelphia

—

Tax-Exempt Bond Market-^-George W.

ST., NEW YORK 4, N. Y.

HAnover 2-4300

Cleveland

need is ful-

Los Angeles v;

'Security

;;

Prospective Security Offerings.

These

•

Direct Wires

San Francisco

Securities

Railroad

It L f L ll H. Lll

Teletype NY 1-1825 & 1-4844

Securities.^

inc.

40 Exchange Place, N. Y;

'/■'?

mackie,

HA 2-9000

—

;

/.■;

■

•:

request

-r
...

May_

Singer, Bean

Chicago.

part-^ ^
said

Prospectus

:-4

*•

•..

Rubber Co.

Other

-Chicago

south: La - Salle St.;
.(Telephone STate 2-0613K

Office:.-135

111.

Bank

$45.00

and
per

Quotation

year.

Record

Note—On account
the ~rate
of

foreign

exchange,
subscriptions* and

made

fluctuations ii
remittances
for

in New York

Distributors
'i

TRADING DEPT. PHONE:

„.

WHitehall 4-6627

—

the

must

and

Complete Trading Facilities

Monthly
Postage «xtra)

(Foreign

Underwriters

Other Publications

Newark

■

■,

Reporter's Report__i____.._

Public /Utility

the
new * information
his own concepts, and
communicates back to the source
-and the net result is that The

.'Members New York Stock Exchange

Nashvilla

* **■

•

Simplicity Manufacturing*
Amer. Biltrite

—J__

C —•« A.*

Reporter/on Governments^

>.v

; X BarChris Construction

V V ^

.*•'

,»

News About Banks and Bankers

°f
broadens

Boston

user

Founded

Albany

;

».*,'.

Funds
^

-t

some person or some

Spencer Trask & Co«
TELEPHONE

•

WILLIAM

BROAD

—43
; A -Av •. ... -

Jamesbury Corp.,

f A;
Mutual

of doing

ways

;

'A-;;

DDCCCDDCn

have specialized, in T

Recommendations

The COMMERCIAL and

many years

4-.

Investment

h-*

■

Published

For

a/ .a --'

—

From Washington Ahead of the News—Carlisle Bargeron_/.__
V:

community or some /company4 to
do something it has never been
'able to do before.; And then the
feedback process begins. The end

millions of people. That is what

reason had in
mind when he

ideas and new

new

monumental

work on the

•'/•"

'Indications of Current Business Activity

any

didn't even know existed.

doesn't

guarantee progress
didn't produce

.many!
have
certain pattern*of

to work to solve some old prob:
lem, or perhaps it ends up by unearthing some new problem you

elec-

Einzig:.."No.Need for Gloom Over U.K.'s Equities Prospects"
JC

that

candescent lamp, motion pictures>
the
phonograph, electric railways,

citing his many
brilliant achievements.

-<-•

Dealer-Broker

the developlarge industry—a and
it is particularly true of the elec'trical industry or any other technical industry.- First, there is the
accumulation of basic information,
not > only the specific knowledge
in; a given area, but broad and
fundamental knowledge in physr
ics, chemistry, metallurgy/ and so
-on. Formally and informally; very
frequently quite accidentally, this
information is applied.-: It is put

transmitter,- automatic repeating
telegraph, the first practical in-

afternoon

sure:

/—1__1—/I

dent as.you explore

ment of

variety
dynamo-,

10am

noticed thatr

moment of the amazing
of his inventions-—.the

and

Cover

Coming Events in.the Investment Field

activity becomes increasingly evi-

plexity of - the industries whose
lifeblood is electricity. Think for

the storage
battery,, the telephone

and Insurance Stocks--—'
/•;*
"• " '• ' " ••//". :' '

f; ■"»

greater magnitude, ever since, y y

the. greatest,.

(Editorial)-—

Businessman's Bookshelf

this; They took electricity out
of-the laboratory workshop and'
pui it to work
and it. has; been
working, at-greater' and greater
speed, and w i t h / greater* * and

observing National Electrical

Week

See It

—

advertisements
funds.

■-

56 BEAVER STREET, N. Y.

Telephone: WHitehall 4-765D;
«

Teletypes:

1-4581-2

Commercial and Financial Chronicle

The

(96Q)

Thursday, March 3, 1960

/ Steel Production
"Electric output *

able) should not exceed 40% - of
earnings after allowances for

net

corollaries

Obvious,

Head* Department of Finance,
College of Commerce & Business Administration, University
By Dr. Paul M. Van Arsdell,

...

cepted

of Illinois, Urhana, III.

growth, and opines the outlook is favcraMt Iff
financing providing profitability—or productivity
sustained and savers are assured against purchasing power

corporate

—is

and can be

equity financing has not resulted in excessive debt

over

to continue despite recent shift in stock-bond yields;
finds fixed financial charges have been amply covered by aggregate

expected

should
of

source

000

essence

business

our,

both

cial

operating un¬
der the profit

equities, since the latter
principal maturities
not
give
fixed claims

view

risk

cial

the

proper

amount

funds

and

utiliza¬

financial

tion of

have

capital

funds,

determination
the

In the business
owners' equities

ship obligation.
corporation the
the

relations,
(1)
principal of
assets, and (2)

the

the
the
the

In these two bases,
earnings, the business
debt is protected—or is left un¬
protected. Of the two bases, mod¬
ern financial
analysis emphasizes
the earnings basis as the more im¬

(1) ownership, or proprie¬
tary investment and (2) creditor-

limited.

the

assets

sources,

are

source

the earnings.

principle

two

from

tainable

this

relation of the interest charges to

Arsdell

Paul M. Van

ob¬

that

assets

debt

Enterprise

capital

insisted

relation

funds.

such

finan¬
capital

fixed obligations,
analysts
traditionally

fundamental

proper

sources

greater

obtaining

general, the principles of limita¬
tion of enterprise debt stress two

assets,but also
of

the

through

business

o r

stock

against enterprise earnings.

not

only determi¬
nation

finan¬

have

and

incident

not

Thus,
problem

involves

risk

claims,

system.
the

principafjmaturity and

obligations, they involve

private enterprise

for the needs of

contractual interest*^- of creditor

capital* funds

ministration of the

fixity—

form

portant.

capital stock

enterprise

the

Indeed,

surplus resulting assets themselves have value—
and hence give protection against
primarily from retained profits.
The creditorship claims against the claims—only insofar as they are
business corporation are of course supported by earning power.
Recommended \ limitations
on
senior, or prior, to those of the
borrowing
vary,
of
stockholder-owners, and are in the business
form
of
contractual
obligations course, from one industry to an¬
which usually require

principal

and

payments of
interest at fixed

times and in fixed amounts. Credi¬

long15-year bonds, inter¬

obligation

torship

term as with

mediate-term
bank

loans,

merchandise
60

days,

with

1-5

year

loans,

wages

payable.

one

company

To facilitate the inquiry

prise financing:
Debt principal should not
exceed 40% of total tangible re¬
sources

interest

earned

borrowed

bonds

notes

(as

pay¬

to announce out

members

admission

of the

augment
to
10%.

the

present

business

and the installation
to our

New York

direct private wire

Correspondent, Pershing & Co,

Wagenseller 6 Durst, Inc.

American Stock

*,♦/.♦
Los

Exchange (Assoc.), Pacific Coast Stock Exchange

.£26 South Spring Sjreet, Los Angeles 14, MAcIison 7-5761

Angeles

Ciarcmom

•

Pasadena

•

Redlands

Santa Monka

•

San Diego • Santa Ana

through April

and

well

same time, there

Bank clearings this week will is less i chance of a major inshow an increase( compared wi h ventory buildup in the first half
a year ago. PreUminary figures of this year.
/•';
j
compiled
by the ^ Chronicle
'The Iron Age" says the new
based UP°J* telegraphic advices surge of orders points out a factor
from
the chief cities of the coun-

that

overlooked,'

many

probihlv
^"uctuiy

because
1—"»«— of over-emphasis on the
~—
<■
y
plans of-the" automakers. This is
the simple fact that since the
steel

the week
Saturday,
February - 27,
clearings for all cities of the
United
States for which it is
that

indicate

try,

for

ended

Strike

and

fairly

many

large

steel

more, their inventories were, and

^^r__PrjJ1?^1.1AarY totals stand at*

are, out nf balance. Now, they

the fixity of the 5%

nually,

the corresponding week last year..

the debt—the lever¬

Feb.

new
opportunity
remedy that situation.

$11,173,895

1,065,750
984,000

1,093,236
970,000

Chicago

—r

+
—

The auto steel market is still the
critical factor. Deep gloom is
pre¬

mature, and it may be April be¬
fore this market "can be assessed
thoroughly.

1959

1960

27—

York__$l 1,780,061

New

are

the

using

terest cost

ever-

our

But

5.4
2.5

the

Detroit

sources

that

warn

auto

stockholder

profits,

investment

tary

nothing

leave

proprie¬

return

clearings in the U. S., refer to the
Statistical Edition of the "Chron¬

production rate of 150,000 to 160,000 per week may
drop
off to 110,000 to 120,000 late this
month; Certainly auto steel buyers
are not 'committing themselves.
This Asv the general trend fol¬

Mondays. For this
week's summary for the leading

lowed by other major steel users.
Customers are not interested in

banking centers, refer to page 45

factor—would

age

placing May and
April tonnage has

Philadelphia
Boston

The
ownership , or stock
equity then becomes a buffer or

shock

absorber

verses

and for

for

business-re¬

protection of cred¬

itor claims.

Corporate

Growth—Past

and

Prospective
In

terms

business

For

Aggregate
Class

the

dollar

and

War

assets

Telephone

Bell

about 275%

about

the

utilities

150%

and

System

by
1945

Available data

indicate comparable expansion in
dollar resources of manufacturing

enterprises.
cial

reports

Exchange
Federal

: Actually the finan¬
of the Securities and

Commission

Trade

and

Commission

issue.

Steel

Bolstered By

from

who

users

at the end of 1948.
is

between

warranted,, of

expansion

weekly

discount

re-

physical

factor

for

characteristic of the

says

inflation has augmented the

dollar requirements of

and

must

taken

enterprise,

into

Future

expansion
of
dollar
of course, an integral
component of our progressive soassets

is,

ciety.
in

With

product

consumer

significant

and

service

advance

contradictory

situations

is the

change from a seller's mar¬
a buyer's market. Although
are
high and ' operations
at a near record, the buyer

ket to

orders

Still
is in

control.

Second

have

companies

the

metalworking

the

still

that

fact

many

effects

new

New

orders

shipments,

still

Record,

Steel and metalworking produc¬
tion

order volume. This
tinued
a

means

same

time, the magazine

comments, most steel users are
working on a good rate of orders
for

their

own

products.

This

high

fo,lowed the steel settle"

look

for

continued

prosperity
busi-

long time to come if

continue to follow the
conservatism in inventory buildup

nessmen

prevalent

slow rate.

out

ment, the magazine said, the out¬

new
con-

leveling
,
-

plane, "Steel," the metalworking
weekly, reported.
While the zip has left the boom

below

inventory building, but at

At the

which remain

apparently well ahead of

Scrap Price

"Nosedives

cut-

at ca¬
pacity. But consumption by users
is

secondary wave

February Steel Output Sets

order volume up

are

of the

cause

minimiz-

current

need

buying.

this does not change
market significantly,

slightly, attention focuses on the
complex relationship of steel shipments, orders and consumption.

account

"along with physical expansion in
an
inquiry into money sources.

overall

With the

postwar

period is imperative if
growth in real output is the point
of
question.
Nevertheless, that

;

characterize the market. First

now

backs—principally by automakers,

course,

dollar

and expansion in

A dis-

and

the

national

The

ing

tinction

mills

deferments.

1958

re-

most

stepped forward to fill in most of
the space left by cancellations and

But it does stabilize it by

such

for

steel, both
for inventory buildup and to fill
holes in specific products. This is

ing company assets at the end of
by 108%

orders.

in late,

nearly-full operations

assured

Two

into

small

June
come

products during that time.

secondary

bringing

business

full to

are

wave of demand
minor tide of new
steel sales offices,
"The Iron Age" reports. The effect
is
a
bolstering of the market
which only two weeks ago looked
much more shaky.
The new orders are generally

the
show

Market

Sudden New Demand

the

exceeded

issued

has

from the end of

to the end of 1957.

detailed summary of bank

of the Feb. 29

growth.

electric

the

6.4

but

end

tremendous

increased

icle,"

the

assets

since

World

one

611,915

1.4

dollar

record

hostilities
been

650,835*

rate

zero.

the last few weeks.

V.M<etal;worki:og/salesthis year
? % or
iLn1959s. That, means records in. p
duction and sales will be set

means a hlgh rate of Production

j,.,

Continued

page

volume,

spending is expected to

York Stock Exchange

Price index

financial

the

view» of

extended.

MEMBERS: New

least

into May. At the

dynamic economy, $22,779,244,740
against $21,686,however,
the ' possibility
that-833,348,for,the^same week m 1959.
earnings : might go to a lower Pu*/ comparative
summary^for
level
must
be recognized.
If leading money centers during the
earnings of this hypothetical firm past week follows:
dropped to a level of $200,000 an- Wcek End / r___ooo omitted—V A r
risk,

very

NEW YORK STOCK EXCHANGE

Commodity

cosbwouid possible Ao obtain weekly^ clear- users had not been able to get all
stockholders' return
W1^ be 5.0% above those of the tonnage they wanted. Further-

the inflation

pleased

Production

Business Failures

rate of interest

resources.

are

and

capital

the'5%

sources

be¬

the $4,-

000,000

sources

assets;

(2) Fixed financial charges

the difference

the 8%

Last Year

Week

Same

that the aggregate of manufactur-

(1)

payables, and accrued

and

from

here, however, perhaps it would
be reasonable to accept two prin¬
ciples as general criteria in enter¬

short-term as with
payable in

bank

and

another.

accounts

six-month

income tax
salaries

may

other

in¬

could

company

annually,

tween

and

and surplus, the

this

the earnings level to $800,-

crease

view of the seniority and

fir
nancing is the provision and ad¬

The

the debt. If the manage-

ment

expansion.

assuming

$4,000,000,

over

Clearings Up $% Over

Bank

;•/:./

indebtedness

incur

Food Price
Index

equity .to

w.uuauj

not

interest

depreciation is a rising
corporate funds it should not be confused with business

earning power; and warns that even though

Retail Trade

//;

TRADE and INDUSTRY

company

Carloadlngs

Auto

with total
assets of $10,000,000 and annual
net corporate income of $500,000
xnua
Thus,

preponderant debt

The author explains why past 13 years'

erosion.

60%

then

of ownership or stock
the debt becomes 150%.

creditor and equity

The State of

maximum ratio of debt

as a

assets,

becomes a
minimum ratio of ownership or
stock. equity to assets.« By the
same standard the minimum ratio

Financing expert analytically recapitulates how we have bean financ¬
ing

•

these
is ac¬

40%

follow.

standards

depreciation and income taxes.

enlarged to

Inventories need to
serve

mounting
g^peral level of .volume as well
as
to
replenish stocks depleted
during the longest steel strike in
history. The staff of the National
a

Securities and Research Corpora¬
tion
projects
outlays
for
new
plant and equipment in 1960 at

4 4*

'''NegdtiutimpfbfHfte purchase of
'j

i-r

THOMSON MACHINERT COMPANY
Thibodaux, La.

$36.7 billion, more than 12%
above the 1959 level.i
Defense

some

WACHOB-BENDER CORPORATION

spending
in

cational

change in its corporate

name,

of March

1, 1960.

The

new

name

and

expenditures

for

edu¬

LAMB INDUSTRIES, INC.

facilities, hospitals, high¬

other community needs
expected to contribute to the

near-term

state

ways, and
are

likely to continue

aggregates,

local

and
announces a

seems

heavy

(Lieied

American Stock Exchange)

prosperity.

The outlook is not without some

address is

follows:

dampering
ever.

considerations,

Agricultural

prices

initiated

how¬

are

slipping, and farm income, down

STORZ-WACHOB-BENDER CO.
FARNAM AT 37th

STREET

OMAHA 31, NEBRASKA

last year an estimated
to

$33.4

shrink

billion,
further

housing starts

is
in

$1,2 billion

expected to
1960. /New

are

thought in some
quarters to 'be likely to register
1

The

I960

Forecast, December,

Continued

1059.

on page 30

Allen C. Ewing & Co.
•••

Lvi'

*'< -ttI

V-"♦***%

PRUDENTIAL BUILDING

it**

•

JACKSONVILLE, FLORIDA

Volume

191

Number 5930

„

The Commercial and Financial

Chronicle

(96i)

American countries, fc>r non-mili•

"fuddy-duddies" • as R e s e r v e
Board : Chair m ah,
/Martin^1
wncu
when uc explains that growth ttt# 1
he uxpianis mai gxowxn
tt
must come from savings and not
H
via doses of credit (or from paper *
'
manufactured
by
Dr.
Castro's PHILADELPHIA

W: M, McDonald

tary purposes, gross credits total¬
totalluo
vVLi
ing ever $3% ^uiiiion and grants
$t) /2
billion ana granib
of $708 million. (Of this Cuba has

•

BY A, WILFRED MAY

received

$36 .million.). Additionally, the World Bank and International Monetary Fund, in which

printing press).

We1 are major participants, have
ex en

OUR CUBAN

AND OUR

DILEMMA

million

Last year the Latin
republics received
.

lion to

be blackmailed by the
i ntn
nnnfinninK
into
continuing

tion ' of

in New York, in
which the writer participated,
some of our expert fellow-panel¬
ists described the Castro political
and economic horrors • as .merely
Press Club

this

justified

largesse,

our

million

neighbors for similar expropriation?

(fortunately rebutted;by
sophomore) ventured

equities of the situation, and with
righteous indignation cut out the

F.D.R.

And

stand

sugar-buying bribe?.

our. New

doings are fur¬
self-condemna¬

our

overall

the

toward

Surely

our

from the
harboring

bank's

private

well as

business prop-

erty is rife, successively increasing
penalties

invoked

are

properties,

on private
ranches,; by INRA

billion—-surely renderingi

not additional cred¬

Eisenhower's

visit,

their

rank

■k

Oog—as

Past / precedents, in
Communist conspir-

reached;

probability

—

t*age

a n

turned its back on the oil stocks- -and

;

such

Appreciation i Potentiality over a -3-5 year pull, for Yield
Expectancy in -the >next 12 months and for Quality Grade.
Among the stocks reported upon:
;
/>

Pure

investments ' from
-

;/Mnton.ih:i959;

of
v

UnionQxl

•/

/;>,

Arkxnsas^Ld< G&-

Cpnsql. Nat. Gas/

~Ei Pdso 'Nut Gas

Airier. Nat.-Gas y

f :

South'n 'Nat. Gas/
Terin; Gas TfahS. •
Tex. East Trans.

Columbia GasUnited. Gas Coxp.

under this offer, you

will also receiye^by .return mail

bxfra charge—a c<^^ of ? the Fortnightly' Com- ' .}
mentaty bf January 12, 1950/ forecasting the problems of -; ,
the Oil Industry whichvare how beginning to take shape) a
copy of Value Lihe's /new 3 l-page study "SecwritT/ Selection
Dufing a ' Period of Inflatian'^iogetheT [
the/latest :
Value Line Surtrmary fof Advice on S04 'Majfor'Stocks and/50
and without

United States investors with $405>
f. rhillibn arriving in! 1958, arid $600

'Royal Dutch

North'n Nai. Gas
Starvd'd Oil (NJ.)',; r Panhandle Easi'hX

Oil}

Shell .Oil,

Socony Mobil Oil
StancUd Oil (Calr)

Guif otiV

■

Sinclair Oil

Atlantic Refining
Cities Service 33

Phillips PetrbVm

i: It' sKodld hc. feali^ed thaft both •
our; private ' and r public v funds.
have, bden delivered' ip: the face (

Petroleum, Natural Ga^ and Coal. Stocks—each report in¬
cluding objective,/ mathematically, derived Rankings . for
Probable Market Performance, in the Next 12% Months, for

greatly;

;/1:: SwaUowins ;Ihfl.atioh

judgment gs to the- best values among,
invite you to accept the special

To inform your

development;

influence* the operating trends in the oil
years to come.4 The situation is de¬

$5 offer described below. It win include, without additional
charge, the new 92-page Petroleum Edition of the Value
Line Survey with full^page reports on each of the 75 major

T>billi6n fs/the to-'
of

probabilities forecast in the Value

oil stocks at this time, we

through Vlfing: in-*

have: authorized for^ the Latin! tkl*

1962-64.-

developments have

Recent

/ SPECIAL GUEST SUBSCRIPTION
3!

far-sighted, - patience

—

we.

hope—

veloping almost exactly as then foreseen and probably will
continue to do so. A copy of this still-timely analysis of
the petroleum industry, together with the new report men¬
tioned above, will be sent to you as part of a special offer:

Lynch.

rest—careful!

the

for

i Imperial Oil

-less

/along -with dohg^tetm

formerly

industry for several

"SUnWness", Score •

Should- be
i

was

Fortnightly Commentary of January 12, 1959. In this
analysis the maladjustments in the petroleum industry
were found to be of such a fundamental character as in all

of
tariffs
will
be
And with the major ob¬

;!'!!? oi Mr. Mikoyan's mission econb^£anaj^

agreement

McDonald

Mr.

buy more now?

indeed conformed to the

elimination

const stent policy iomeet.all,,the

proudly ai>nounced.-at the

Trading

Line

we see our beneficiary; /-Although,- -understandably, we., oped; /Theircourage in assuming
the Soviet game .\yhdle: ^
^llow: an. qv^rau,-airtight, :tjie strong risks of political sabo-

vAbd then

Playing

their

equally high for* Appreciation Potentiality to

stead, of. policy".:(as charged by ./ And our private investors, too,
?be campaigning Senator ;Ken- -have been (as the Rockefellers);
foreign;ihyestmeht3-3.^V'r^\riedy) etc;, etc.-//. ^ v- bpth courageous and cooperative

Group I (Highest) Rank for Probable Market Performance
in the Next 12 Months—and no less than 12 of the oil stocks

own

FooWeWUh the-KremJIn

associated with them

waning hopes for individual issues, the
latest Value Line analysis of petroleum stocks finds 7 to
be well-deflated—their prices standing far below intrinsic
values—indicating the probability of relatively strong price
performance during the coming year and potentiality for
further appreciation over the next 3 to 5 years!
Each of these'7 stocks now carries the Value Line's

ironic

Castro's, diatribes against pri-

an-

In the face of

investc

vate

Exchange,

Department.

com¬

rather indiscriminately.

Agrarii

Dr.

now

Manager

doing too badly!

The market has

;°ur foreign policy administrators, replica of the O. E. E. C. and the.
full
European
emana^nS at home, is? typical; of f-u 'functioning of a ir.irnnOQn
Q
Union.
Arid/ Latin
much of the/ comment on our.- Payments
continuing aid activities through- America's probable future joining
out the hemisphere — interrupted in the Dillon Plan for the-, co¬
tbere
bY the .Ike Grand ordination of* overseas economic
T°4r* ^e hear that we are stingy,. aid will also presumably require

"sugar daddy" finds
himself ruthlessly robbed in return for his
generosity. Seizure of

not

stacles, such as with transportaentitled to
exemp tion from ^cy . And. what about the Spviets
tipn and inter-nation duplication
the home-front
back-stabbing of threat to the Monroe Doctrine. • . of products, it will probably take
our foreign
policy makers. \ v " ;."The"pro-Castro pillorying' of 20 years to achieve the aim of a
S.

aid is

case

Abandon

The U.

Street,

Philadelphia-

framework,- It seeihs 'to *usj ^trading, ^manager Job <J3aul

another $350

Harrison

nounced that -William M. McDon-

they

dictatorship.

Baltimore.. Stock

—

Broad

mil-

a-borning
institutions, such as their newlyformed
Common
Market,
em¬
bracing El Salvador, Guatemala,
and
Honduras,
and - the
trade
agreement
unit just • signed
by»
Argentina, ( Brazil, Chile, "Mex¬
ico, Paraguay, Peru and Uruguay.
It is expected that 12 years will
elapse before the goal for -■ the

those

Cuban problem, comSov iet-pressures;^

the

President

subsidize

pounded

with

Pa.

South
of the

Interna-

will undoubtedly be called on
for
future
contributions
to

Dr.

justified via
alleged "imperialism,"
"dollar domination," "prorBatistaness," and "all-around selfishness."
Precisely as at the advent of the

But

(

123

members

/^i

•

attitude

we are

its will be announced in the wake

Castro, shall we go along with
apologists,. .including our
own self-designated experts, who
insist
that
the
current. doings
merely manifest the expectable
"idealistic
anti-Chiang". Chinese temporary "mess"-normally accommunists, the appeal of Land companying the conventional naReform is trotted out as the excuse tional. revolution?
•
; : ;
lor expropriation,
Or, on the other hand, is this
slavery, and international banditry.
"
~
:
upheaval essentially.' different
ther

tion of our

for

Whether

shall

capital of
$850 million, plus $100 million for
its Special Fund of $150 million
for extending ''soft loans."
(We
have
already
appropriated
$30
million to; the bank's capital).

green
creditor

to the early .stages of
constructive" Mex¬
ican Revolution. - One adult par¬

Dr. Castro!s

such

rvnt.

velopment Bank

give * the

analogous

analogy

petition

billion-dollar Inter American De¬

as ~

goodwill,
may
light toother

$320

multi-lateral

event.

politi-

difficult

are

democracy in Cold War

doubt include South American
borrowers. The U. S. share in the

practical
political
strategy to preserve the4 Cubans'

appropriate

the

any

Co.,

although

the "ultimately

Deal.

well

vastly compounded in the

are

problems

policy

tional Development Association,
Irton"
nnopnl-i
...ill
whose "soft loan" operations will

this $100 million annual subsidy

Typically, at last week's discus-

foreign

enough

American

\11I1nca

throaf
threat

Soviet

Daddy's Dilemma

sion of the Latin American situa-; as the reward for the recipient's
tion at the well-attended College pilferings? Shall we be guided
Editors' Conference at the Over¬ by the possibility that continua¬

young

asked

Sugar
Shall

Choosing Your Revolution

ticipant

cal

power's

fjxing economic

;

•

world

■

almost a quarcredits at a nominal 2%% rate of
of
book-keeping interest; the Soviet ter of our total extensions
sugar purchase at-2.78 cents, a fig- economic aid.
ure alike under the world price df
Media
3 cents, the claimed production
And the
is
cost of 4 cents, and little over one-' acceleration way our paved for an
of
aid, through
half the 5^4 cents shelled out by
media
recently
established
or
Uncle Sugar Sam. The Russian
Our bi-la ter ally op¬
purchase, actually arranged 10 projected.
days previously, was held for a erating Development Loan Fund
has thus far extended loans of
dramatic Mikoyan announcement
"on arrival."
\ ;.a . v. $77 million; the Congress is being

continuing proriivitv to belittle the serious imolications of ma joy .revolutions. As
we may now poignantly recall, the
detailed blue-prints promulgated
in advance by Lenin, Stalin, Hitler Nasser, and the Peiping dictator's were laughed off by the democracies as bluff or fancy. Now
again in the Castro-Cuba crisis,
oartly stemming from wishful
thinking along with a strange guilt
complex, rationalization is distortjng the bitter facts of life.

aggregating $981
and :> $1.2 billion, respec¬
oans

tively.

LATIN-AMERICAN BOX-SCORE

Remarkable is our

seas

^ 3Special Situations, with; Value - Line's objective", mehsiire^ -y,
; meats of Intrinsic Value, .Quality, Yield and Appreciation
/
1

Potentiality.^^ And;|6r;dh^;$^

fee)

you

(just half

xegulOT^r^tata

will*receive 1 (a) the hexf 4 weekly .editions'of the
with/ full page reports on 'each of 250

Value Line Survey:

; *

continuing1 devastating infla-;

stocks, (b)

tions; in many instances without
•: the recipient's houses really hav•;" ing been put in "order? *• -> ^
: - - *

-a

riew Special

Situation^^Recommendation, (c^

Supervised Account Report, (d) two Fortnightly Commentaries; and (e) Weekly SiL]^lemerits. (The annual subscription rate^is $120). / ;
-■ / :
1
- •
'
*

alone .the Argentine
peso has fallen another 30%, with
the cost Of/living, more" than dou-}
bling, from 257 to 545. Chile, fol-:
lowing a further living cost rise
of 37% during 1959, devalued the
-This year

rrespondents inprincipal cities

throughout the UnitedStatesand Cattefda

J
-

escudero

underwriters

the

Uruguay/ the>'• cost

and distributors

year-end.

of C living

To take

advantage of this* Special Offer, fill -eut- and mail ceupon below

In;
has

•

risen, and the currency: has fallen,,
by 25%,-each. In Venezuela,/for-,
merely regarded the .citadel of*

of investment securities ;;

•:

;

\ Send $5 to Dept." CFC-1 /

wealth, 1959 brought a 10% liv¬
ing cost rise.
Only Ecuador has.

THE VALUE LINE

achieved

&DOMINICK
14 WALL
STREET.

NEWYORK

stability Of prices

her currency?
•

Metnbers New York, American & Toronto Stock Exchange$

■

and

•

(

Here

been

tion

again, the apologists havestepping in with, CPndopa-

inflation

necessary-

implement of needed economic
development. They scoff at such

Value

INVESTMENT SURVEY
Published by ARNOLD-BERNHARD Ar

Co., inc.*

Line:SurveyBuildingr5E..44th.St.,N. Y. C. 17

The
6

^
==

asso-

and term bonds, details of
have not yet been an-

cost to which

"..yet, but a good reception isv
tax-exempt would seem in order at this anticipated.
( .^ <•
easier during most time. Last Thursday (Feb. 25)
;
,

was

week

past

dealers two substantial issues came

toNewark Bid Rejected

v..

for

market

the

Thursday, March 3, 1960

. . .

and

interest

The

eiates

HAMILTON*

BY GEORGE L.

bonds

Financial Chronicle

past week, but numerous
small and relatively unimporSouth Carolina was 3.24%. nounced.
.
7
tant issues have been acThe offering scale ran to ;
No important, competitive cumulated. None of these isqnc
ih* 1980 maturitv. New Issues have been added sues run to more than $5
There is no report on sales to
the calendar during the million.
Bank

Manhattan

TAX-EXEMPT BOND MARKET

The

Commercial and

(962)

...

....

SfVlPflnlpfl

Tgqiipq

For SqIp

lj3Xg6r lSSUvJS OvXIvjUUitJU X UI OdlG

< :7In

tabulations we list the bond-issues of

the following

finally realized that the build-; market. The Alabama Educa-:
0ne 0ther important issue $1,000,000 or more for which specific sale dates have been set.
up in new issue volume and tion Authority sold $20,000,- tbat was scheduled to come to? - information, where available, includes name of borrower
secondary offerings was get- 000 serial (1-20 years) revenue ;market in the current week amount 0f issue, maturity scale, and hour at which bids
ting a little out of hand. Dur- bonds to a Halsey, Stuart & failed to materialize. Newark, wiU b
ing the past fortnight, the "Company group;- Current bal-' New Jersey received bids on.
"Blue List" float of available. ance is about $10,500,000. Ad-„March 1 for $15,000,000 gen- 7-

municipals
has
risen from ditionally, Cuyahoga County, eral obligation serials (1-20;
$223,000,000 to $301,492,500 Ohio sold $10,460,000 various ;years). The apparent h i g h
on

March 2.

exceptions
The pattern, of

few

with
slow.

rather

use

high grade

continued

half-sold deals has
and the

tional Bank of Chicago group.

underwritings have

Recent

been,

of caution

"Bright Spot"-

;

One

was

municipal^ 20-year
is

3.503%

March "

1:00 p.m.

1960-1968

11:00 a.m.

1961-1988

2:00 p.m.

1961-1984

11:00 a.m.

1961-1985

11:00

a.m.

1961-1980

11:00

a.m.

1961-1985

10:00

a.m.

1,225,000

1963-2000

7:30 p.m.

1963-1981

7:00

p.m.

March 7 (
- ivfarcli-7 (Monday)

Dist., Calif3.93% and the projected Riverside City School Dist., Calif.
i

Mich—
week Tor the *978 to 1980 maturity. white^Bear Lake"lndepen¥ent~ Sch.

date for sale of the issue
announced.

Thruway Issue Postponed

CGupon and were reoffered at
200. The group was managed

Todav

11:00 a.m.

1962-1990

3,287,000

Manhattan Bank-;.:

10:00 a.m.

15,000,000
1,000,000
1,500,000
2,900,000

oL LackawannaCity Sch.

1999

1961-1980

19,200,000
1,470,000
3,000,000
1 1,005,000

;%f;'%flscale of yields ran to 3.95% 7 St. Clair County,

ginial bonds. This was a term new
The Commercial and Finan¬
offering, due Feb. 1, 2000,.and, was
cial
Chronicle's
high grade the
bonds
carried a 41/2%|
index

DapountT Port ^

bright spot last
1,200,000
placing of After deliberating tor two. District No. 624, Minn—
the $41,700,000 E 1 i z a b e t hthours> city officials .rejected . . ;
, March 8 (Tuesday)
March 8 I
25,000,000
River Tunnel Authority (Vir-'the bid as unsatisfactory. Nof^ook county, 111 J., i--

Slightly Higher

and

the successful

was

market.

bend

i -

March 3 (Thursday)

headed by Harrisburg Sch. Build'g Auth., Pa.

pjrsj. National City Bank

lZTZll° also 7,eW
issue was also,Q^se

to press.

bidding, rather than over
competition among under¬
writers to buy bonds, wrould
have been more helpful to the

state

was a groUp

^^LuTsS^MOOOarwe'To ass0ciates. The Company cost,Palm springs School
Bankers T™?1 interest and.Louisiana (gtate of)
in§ about $0,409,001) as we g°.

in new

issue

Index

bonds to a First Na-jbjdder

purpose

0vened

(March* 3) two very

11:00

a.m.

1961-1980

11:00

a.m.

1961-1989*

11:00

a.m.:

7,000,000

1963-1980

11:00 a.m.

1,675,000
••2,000,000
1,250,000
,2,675,000'

(State

1961-1970

-12,436,000
2,060,000

of)—
Gloversville City Sch. Dist., N. Y.
Guilford County, N. C—.——---7
Monmouth Regional High School

Delaware

1961-1981

District, N. J—
Pittsburgh School District, Pa—_

8:00 p.m.

:•

2:00 p.m.

1961-1985

1961-1980

a.m.

10:00

a.m.

1962-1979

•

11:00

1961-1986

11:00

1961-1980

10:30

a.m.

Feb
cline*

immediately sold and a slight-tive bidding, the
point since last week's column premium "prevailed.* Present?tant being" the $50,000,000*.
and marks the first rise our
te is 100i4 to 1003,4.
!New York State Thruway;-

(gtate

Decatu^

1,300,000

have

averages

"io^
Emissions

...

State-

Authority (1985-1995) State. Hendricks

1:00 p.m.

1961-1971.

County,

2:00 p.m.
guaranteed bonds. However, Niagara, N. Y.l
*1,450,000 196171990;.
time our Index stood at 3.68%
The State of Michigan came; shortly before going to press,7 Saginaw Township Community
7. v
and from that level it declined to market on Tuesday of this the New York-State Comp-i.v! School District, 'Michigan.-—\ 4,000,000 ; 1961-.1989 7 7f30 p.m.
for seven consecutive weeks week with an offering of $18,-. troller
announced that -the7. , ^ *
March 14 (Monday) 1961-1980 Noon
until it reached its peak of 300,000 Grand Rapids Ex- offering had been postponed. Oak Hills Local School Dist., Ohio , 1,500,000
8:00 p.m.
1961-1990

since

Newer

January 6, 1960. At that

1,050,000.

•3 46974 for this year on Feb. press way Revenue bonds. The The Thruway Authority willf
17.
However,the improved bonds; due serially from 1961]continue to ' raise funds'
tone
of the market, as re- to 1985, were awarded to
fleeted

the current average,

aj toough'^ort^rnnihar^

large group headed by Smith,,, until such time

due, in part at least, to Barney & Company—Lehman,
the ".lift" afforded by ,the re- Brothers—Drexel & Company;.
was

jection of bids for the Newark and Harriman, Ripley & Com-,
issue and the 11th hour post- pany on their bid designating

the market

m0re

attractive.

The
|

s s u e

7 »'•

3£0% m 1961 to 4.15% in-

There are to be three groups:
The current small mai-t to bidfor this issue, proceeds
ine curr^nx smau balof about 2,500,000 indi- of which are to be used to acan
average of a point, since cates the importance of realis- qUjre certain lands and buildlast week. As a group these is- tic pricing by underwriters.
| ings and to ;make other lm-^

| The dollar-quoted tax-ex- 1985.
The dollar-quoted tax-ex- iuoo.
empt term bonds are down on ance

acted

have

recent

months.

well

during

Two interesting new issues provements at the Miami In«
Improved have been awarded as we go| ternational Airport.-There is;

to better to press on Wednesday. San also the repayment of, $12,^
markets and excellent public Antonio
Texas sold $6 629,4 000,000 of notes presently
relations by the various com- 000 (1963-1980) serial bonds outstanding,

missions and authorities have

headed by Chem4
.
,
7
,:%>
kept the professional as well ical Bank New York Trust Co. j
California Issue Imminent I :
as the average investor up-to- and others. The interest cost;
tbe New Issue Calendar for
<iate on -all facets of these ,bid- was 3.66%t and the scale? i^gxt w e e k -(M[arch
7-11) -is
of yields ran to 3.60%. fori
*
projects.
again studded with important
: I "7:
1980 maturity. Orders are still issues as a giance at our new
Slow Going being taken.
j issue calendar would indicate.
to

group

(

1963-2000

10:00 a.m.

2,300,000

1961-1983

1:00 p.m.

2,395,000

1963-1990

3:00 p.m.

1961-1975

10:00 "a.m.

1,900,000

March 21 (Monday)

Euclid, Ohio
No.
7o

1961-1986* -11:00 a.m.

•

(Thursday)

Kentucky State College, '
Kentucky

423
423,

;

Minn
Minn.____!

L
March 22
"

TUinnpnnnii^ Minn

(Tuesday)
6,322,000

^ShelbV High'schoo!

Toole County

March 23
port of Oakland,

,.^.^.7;.^

No.

1962-1980 " 10:00 a.m.

1,600,000

April 6 (Wednesday)

New Berlin Union Free
•District

(Wednesday)

California"

7 ;,

7:30 p.m.

1,200,000

"District, Montana—-

led

earnings have

4,375,000

Eastern
,

1:00 p.m.

1963-1987

1,000,000

•

a.m.-

March 16 (Wednesday)*

day's other important North Bergen Township, N.
March
involves $19,200,000r;

ponement of the even larger a 4.12% interest cost. The re- p)acie County' Florida1 Port
York State Thruway offering
scale ranged -from Authority term (1999) bonds.

sues

Building Corp,

11:00

1961-1990'

6f3,000
Indiana...—1 2,490,000
;

for7long-term issues becomes Montgomery County, N. C.II_

New

Authority undertaking. '

March 15-(Tuesday)

:;/>7^';i':7

High Sch.

2,400,000

5, Wisconsin.,

8:00 p.m.

1961-1980

April 19 (Tuesday)

(

A brief

resume

portant recent

new

*Pinch-hitting

Mackey, who is

im¬

issues
Donald

for
on

the

vacation.

are five important
large
$5,000,000 (1961-; issues up for sale and all are
1980) serial Port Authority scheduled for competitive bidbonds to a group led by Chase ding. However, the $100,000,-

(State)

New

Jersey Highway Auth., Gtd._~
New York (State)
Pennsylvania (State).
Vermont (State)
New Housing Auth.
Los Angeles,

1._

111

New York

1978-1980

3.95%

3.80%

1980-1982

3.55%

3.40%

3%
3%

1978-1980

3.65%

3.50%

1978-1979

3.50%

3.35%

3%%

1974-1975

3.30%

March

2, 1960

1978-1979

3.25%

3.10%

3Vz%
334%

1977-1980

3.50%

3.35%

1978-1980

3.85%

3.70%

3)4%
3i/2%

1980

3.70%

3.50%

1930

3.55%

3.40%

1979

3.75%

3.60%

3)4%

—

Morton

We maintain active

trading markets in:
i

Colonial

/
' ' '

Stores, Inc.

Stevens

ing on March 9 will produce
just one merged account bid,
with the syndicate being man¬
aged by the Bank of America

Markets, Inc.

3.15%

1977

3.90%

3.70%

—

„

Asked

3)4%

...

City, N. Y
,

Bid

3V8%

(N. Y.f N. Y.)
Calif.—

Baltimore, Md
Cincinnati. Ohio
New Orleans, La
Chicago

Maturity

3%%

—

Co., W. E.

& Co., White, Weld &

♦Negotiated offering by Dillon, Read
Co., and Allen & Co. syndicate.

000 State of California offer¬

SERIAL ISSUES

3%%

(State)

*;•;

The State of South Carolina- There

Rate

Connecticut

•

100,000,000

Authority, N. Y._

awarded

MARKET ON REPRESENTATIVE

California

'-"Triborough Bridge & Tunnel

1980

Index

3.50385

4.15%

4.00%

N. T. & S

Stevens Markets,

borough Bridge and Tunnel
Authority offering scheduled
for about April 19, 1960. This
include both serial

Inc.

5.90% Preferred

Eatabliahed

There is still only one im¬
portant negotiated sale on the
calendar and that is Dillon,
Read's
$ 1 0 0,000,000 Tri-

issue will

Common

1919

& Company

R. S. Dickson

INCORPORATED

Member Midwest Stock Exchange

CHARLOTTE
Atlanta

YORK

NEW

Columbia

Miami

Greenville

Raleigh
Direct

Wire

All

Offices

CHICAGO

Jacksonville
Richmond

Number 5930

191

Volume

. . ,

(963)-"7

The Commercial and Financial Chronicle
poses

Need for Gloom Over

to discourage the extensive

if it only

expenditure
programme
planned by both
capital, goods

It- is

Paul Einzig

v.:

;•

.,5

- •

V 77''.77

decision-to*withdraw its

...

that4

Exchange

position in mind

Harm Done to Prosperity

England's

public

expenditure
planned for 1960-61, the costiy
settlement of the railroad wage
>

demand,,

not

are

inclined, to write off

any

sibility of tax cuts this
if the

new

creating

pos-

year.

„

Yet

succeeded in

measures

The

New

York

Association

This announcement is neither

announced-

suffer' is - x>f

cision of

the

edged

market

their

will
out

interest bearing

latter would have

securities. The

before

further

decline

—

offices

What

much

North

engage

business.

action

cial

Officers,

Vice-President;

once

Schwarz,

solicitation of

nor a

:"V;-

• • --

and

offer to buy these securities.

The Municipality of

discourage

Metropolitan

(Province of Ontario, Canada)

inflation;

threatening.* revival? of-

spite of the 'remarkable sta¬
bility of the cost of living index
it was widely felt that a resump¬
tion of its
upward course was
imminent. Unemployment is down
In

while

hit

the

proportion
is much higher,-: in a* nu^b^r of
key industries
it
is
distinctly ;
lower. The expanding industries
have already resumed the practice
of

other

concessions

Amount

and

Rate

-•

are

to some

100.14

99.74

1967

99.71

they

1968

99.35

ate

630,000

1969

99.29

5.10

666,000

1970

99.22

have

been

the

.regarded
able.
the

This

high

Bank

something

WhiJh8
twioo

selvl

5.15

1976

98.38

5.15
5.15

1978

98.25

5.15

39,000

1979

98.20

5.15

41,000

;

1977

37,000

1980,

98.14

5.15

1 7,

March 1, 1960)

Approximate

Offering

Yield to

Price*

interest

Date

Maturity

Rate

144,000

1965

-•

:t:, 7

5.00%

100.00%

99.22

5.10

1975

98.45

5.15

1980

99.50

5.16

1990

5%
5% V-

99.50

5.15

Copies of the Prospectus are
•

1970
,

...

other dealers

1960)

obtainable in any- State from only such of the undersigned
may lawfully offer these securities in such State:

and

method

•

Wood^ Gundy & Co;, Inc.

their

in¬

Incorporated

uncertantly

amidst
TaPy consumers will think
,efore committing them-

!! fuTther instalment-firisp !!? dehts. It was the non-stop
larpoi
suc^ debts' which was
y

Blyth & Co;, Inc.

Bell, Gouinlock & Company

for

the

non-

Salbmon Bros.^ & Hutzler

Mills> Spence & Co., Inc.

White, Weld & Co.

Nesbitt, Thomson and Company, Inc.

Incorporated-

Burns Bros. &

Denton,.Inc.
*

W. C. Pitfield & Co.,

March

2,1960.

Harris & Partners Inc.

Greenshields & Co (N.

Y.) Inc

Inc.

James Richardson & Sons, Inc.

hanoin

Incorporated

McLeod, Young, Weir, Incorporated

A. E. Ames & Co.

a further credit
oniy possible through

responsible

Smith, Barney & Co.

The First Boston4 Corporation

Corporation

Incorporated'

dis-

resources

The Dominion Securities

Harriman Ripley & Co.

r credits- At the same
action has created a

5.15

98.45

98.31

(•Plus accrued interest from March 1,

inevb*

*ke bank's gilt edge
hanungs at substantial losses the
tiPht
?,re. hkely to prefer to
fepn«

98.52

344,000

rate

hnirr

1975

'31,526,000

would

dents. Since
Pansion

tamo

1974

when sterling

realisation
is

.5.15

unpopular, how-

liquid

5.15

98.59

the

in_ra^ng the banks from expandg
their
ans

5.15%

35,000

Maturity

2,092,000
348,000

Bank

The authorities resorted

alternative

33,000

Yield to
Mat jrity

98.67

Public

aifirye is In danger of becoming
a

303,000
.

Amount

sunder acute attack and the
gold

that

1973

Principal

au¬

achieved

level.

?7er,Jfor I* Is only
depleted

-274,000

98.75%

Approx.
.

$34,454,000 Sinking Fund Debentures

resort

raising- the

very -

('Plus accrued interest from

nave

1972

5.10

crisis

1971

5.10

major wage

impelled

could
end

$246,000

5.05

discourage the
granting of excessive wage claims,
same

Amount

Price*

5.05

596,000

Offering

Rate

5.00

564,000

Interest

Date

5.00

1966

Public

Maturity

288,000

7 7r:

4.95

of wage

circumstances
means

shown below

between

face

felt

100.00

demand.

thorities

100.00

mining industry with its
stock piling up at the pit

the

4.85

5-v

the coal

100.28

will demand
wage increases. Even

Principal

4.75'%

1965

industry,
declining industries

has

•

535,000

260,000

Maturity.

•

1964

perennial deficit of their
all static and

heads

512,000

•

5 and
10%. Now that the principal that
railroad employees are
entitled
to
wage increases in spite of the

unsold

Price*

Yield to

'■

100.24%

1963'

•

Approx.

Offering

•

■5%

1962

462,000

with

follow.

of another round

eve

increases ranging

Date

1961=7

439;000

granted

unions,
to

certain that in addition

the

work-

engineering unions

number

Interest

486,000

reduction- in-

ing hours has just been
to the

Maturity

$418,000*

supply of labour.

drastic

:4.'.

Public

Principal

outbidding each other for the

scarce

Due March

$6,864,000 Instalment Debentures

there

where

areas-

Debentures

Dated March 1, 1960

working population,
are
some
badly

to 2% of the
and

V-A'Tv37:7^-''N

Dawson, Hannaford Inc.

Equisec Canada Inc.

a
are

Bayshore
securities
Jack

Gairdner & Company Inc.
Midland Canadian

Herbert

Secretary-Treasurer.

::/!//'v-■■r■■■ $41,318,0oo7;777v7:7

•

likely

more:,

"to

was

offer to sell

Cantor, President; Lillian Cantor,

New Issue

object of the offi¬

that the main

J. A. Cantor Secu¬
with

1451

they

attractive

become

would

rities Corp. has been formed

Drive

equities for the sake of in¬

vesting in fixed

MIAMI, Fla.

selling

before

twice

think

the gilt-

people

most

Form Cantor Securities

authorities to with¬

draw their support from

The offer is made only by "the Prospectus.

%; 77

that

Gene

the

course

Object 7

Main

Bank's

•

41/ / 7/

Dealers

Security

has

„

of sterling, even

suPPose that the government pro- is the steadiness

spite of all the optimistic'businessforecasts they were inclined to
follow Wall Street in its- down¬
ward course. There was no Stock.
Exchange boom- in February for
the Bank of England to check. : ,

year.

Flacky Sales Counsel. and
Director of
Advertising for the
gilt-edged market!. During recent
Sunshine
Biscuits, Inc. will be
weeks a number of investors ap¬
guest speaker at their 34th Annual
peared to be inclined to yield to
Dinner to be held April 8th at the
the temptation of low prices of
Biltmore Hotel.
government loans and to switch
over to gilt edged; After the de¬
liable' to

disinflationary atmos¬
phere by Budget day in April the
Chancellor
of
the
Exchequer

„

the

wrecked

prosperous

N." Y. Security
Dealers Dinner

gloomy view about
their- prospects: The
section of
the ~~ Stdck"" Exchange
which
is

and the* expansion of
demand: many experts

.consumer

there

measure

need to take

trend in equities. The
Governor's repeated warnings to

Stock

concessions do not outprice

.-No

•.

adopted' is

JS iioward

would have timed its action
differently. There was no evidence of boom during February.
The markets
in equities were
barely holding their own, and in

has

prospects of

market.

one

There is no reason to suppose might after all feel justified in
tax "concessions.
that the authorities wish to pursue making is the first occasion since
This
their new policy very far.; They the Warthat any government in
.."tors and speculators ,had only aim at slowing down the Britain resorted to "drastic dis¬
hpen
of no avail, and even the business expansion without actutnrrease of the Bank rate to 5%
ally checking it, let alone re- inflationary measures in the com¬
plete absence of * a pressure on
failed to bring to an end'the opti- versing it. The capital goods insterling. Indeed one of the most
mistic buying in anticipation of dustry is only just getting into
higher profits and dividends. But
stride. There is no reason to gratifying features of the situation
that it

the

„

Far Will the Bank Go?

the gilt edged marwished to check

rt from

was

that

the drastic dis¬

measure

increase

England—The first: im- step expansion of demand for con¬
created by the Bank of sumer durable goods.

rfionfi's

countries

measure:

/to prepare the ground for.a tax ./Notwithstanding
the
setback
'reduction.
As
a
result.. of the caused in equities by the Bank of

rhNDON

just conceivable
objects of

inflationary

equities to* gilt-edged Joans.,,

discouraged switclf from

strong in other

British manufactures in the world

of the

reason'to take a gloomy view about the British
stock market not withstanding the recent setback to equities caused
hy the sudden Bank of England decision not to support the price of
eilt edge'securities. In probing how far the authorities will go to
deterthe revival of inflation, the noted economic writer declares this
step has not" wrecked) the* prospect of a prosperous year but it has

cession

wage

goods in-

consumer

dustry.

Einzig sees no

industrial

is just

pressure

U. K.'s
N

And the Bank of England's

more.

capital

industry and

'v*

that inflationary

means

Corporation

Commercial and Financial Chronicle

The

(964)

Avenue,

DEALER-BROKER

York 16,
free ex¬

New

South,

Y.—$3.00

day

(ten

amination).

INVESTMENT LITERATURE

Utility Common Stocks—Analysis
—Van

AND RECOMMENDATIONS

Situation

Wool

Uruguay
IT

PARTIES

INTERESTED

SEND

THE FIRMS

THAT

UNDERSTOOD

tional

MENTIONED WILL BE PLEASED

Analysis — First Na¬
of Boston, Boston 6,

—

Bank

ticular

reference

National

First

Chicago,

are

data

ris

Bank

Cola Co.

Morgan Guaranty Trust Co.—The

New

Royal

and

Intertype

of Boston, Marine Midland Corp.,

Illinois

Co., Inc., 231 South
St., Chicago 4, 111.

Salle

Burnham View—Monthly

Wall

Com¬

15 Broad Street, New York
Also available in current

pany,

5, N. Y.

Foreign Letter.
Canadian

Bulletin

Osier,

Limited,

Nanton,

—

Hammond &
Nanton Bldg.,

yields based on
prices, by industrial classifi¬
traded

stocks

American

Stock

American

Stock

the

on.»

Exchange

—

Exchange,

Trinity Place, New York 6, N. Y.
Domestic
Review

Aluminum

New

Broadway,

available

Also

Industry

Reynolds

—

York
are

Co.,

—

120

Industry

Kidder

—

Co.,

New York

Review

Inc.,

Estate

Tax Eligible

Bonds—Bui-,

letin—New York Hanseatic Corp.,
120 Broadway, New York 5, N. Y.

available

Also

analysis

804

stocks —S5.00 —
Investment
Survey,

major

Line

Value

5 East
New York 17, N. Y.

—1959

operating results—Kidder,
Peabody & Co., 17 Wall St., New

memorandum

Disc,

Inc.

and

operations

available

National

Quotation

review

selected

Bank
.

Stocks—Current Infor¬
Yamaichi
Securities

Japanese
mation

—

Company of New York, Inc., Ill

Broadway,

New

York

market

period — National Quotation
Bureau,
Inc.,
46
Front
Street,
New York 4, N. Y.

year

Public

Utility Oommon

Stocks—

Comparative figures—G. A. Saxton & Co.. Inc., 52 Wall St., New
York

5, N. Y.

South

Industry—Study
& Co., 640

Staats

Spring St., Los Angeles 14,

Calif.

New

Future—

Study—Draper Dobie & Co., Ltd.,
25
Adelaide
St., West Toronto,
Canada.

view—Penington, Colket & Co.,
70 Pine St., New York 5, N. Y.
in

Also

the

reviews

Pacific

Corp., ^Northern

Mining

Supply

Sugar

Twelve

Study — Shearson, Hammill & Co., 14 Wall St., New York
5, N. Y. Also available is. a bul¬

—

Analysis

—

Lam-

Co., 99 Wall St., New York
Low

Priced

Cynamid—Analysis—
&

Co.,

York

Broadway,

115

Hartford

Co., 100 Pearl St.,
Conn. In the same

review of Max Factor

circular is

Co. Also

available

Plywood Corp. and an analysis of
Wieboldt Stores, Inc.
Picture
Stocks—Study—
Hemphill, Noyes & Co., 15 Broad

lurgical

and

Fansteel

Frito

Co.,

American-Standard

Model,

Analysis

—

Also

United

tions

—

Herbert

Publishers.

Dept.

Filer

A-7;

analysis
Plywood Corp.

States

Crown

419

Park

Fuel Associates—

Co., 14 Wall St., New York 5,

Also

available is

bulletin

Holiday Inns of America.

American Viscose Corp.—Bulletin
—Goodbody & Co., 2 Broadway,
New York

4, N. Y. Also available

reviews

are

Corp.

Fruehauf Trailer, and
memorandum
on
American
and

Commercial

Pacific

Georgia

Salle

Line.

Barge

Rubber
&

Co.—Analysis

Co.,

231

St., Chicago 4,

available

analyses

are

western

Steel

Southern

Union

randum

Wire

Gas

Finance

South

111. Also
North¬

Co.

and

Co.

Memo¬

—

Woodcock, Moyer,
& French, Inc., 123 South
St., Philadelphia 9, Pa.

Fricke

—

Bestwall. Gypsum

Rothschild

New

available

York

— Analysis—L.
Co., 120 Broad¬
5, N. Y. Also

Cork & Seal Co.

—

Co.,

■"

■

Broad

Crown

Also in the same bulletin are data
on

Steel

Edgcomb

Reproducers,

St.*

New

York

Instruments

Electro

West Seventh

St., Los Angeles 14,

Calif.

available

review

America.

Ford Motor Co.—Review—Fahne-

Co., 65 Broadway, New
York 6, N. Y. In the same circular
is a review of Caterpillar Tractor

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

Also in the

data

are

Refining,

Sugar

Vulcanized
Fibre, Oklahoma Natural Gas, and

Gardner

Co.—Analysis—
& Co.,
120
Broadway, New York 5, N. Y.
Denver

Scott

Montgomery,

Union

Grand

Co.

Survey

—

Brans',- Nordeman & Co., 52 Wall
St., New York 5, N. Y. Also in the
circular

same

Lorillard

Co.

South

Salle

St.,

Philco Corporation.

Commercial
nual

report

bulletin

Credit
—

Co., 122
Chicago 3,
*

Co.—48th

on-

an¬

Commercial Credit

Co., Baltimore 2, Md.

—

Continental Can—Memorandum—G. H. Walker & Co., 45 Wall
St.,
New York 5, N. Y.

Hammermill

review

Paper Co.—Analysis

—Cohen,
Simonson
&
Co.,
Broad St., New York 4, N. Y.
Kardon

Harman

Co.,

150

38, N. Y. Also

Corp.

Heublein Inc.

waukee

First

you

are

—

of the Vendo Co.

Sound

Howe

Co.

Analysis

—

Butcher &

Sherrerd, 1500 Walnut
St., Philadelphia 2, Pa. Also avail¬
able is an analysis of Knox Glass,
Inc.

v/'

Co.

Trinity Place, New York 6, N. Y.

quoted.

Home

•

.■

t *

Teletype NY 1-376; 377; 378

—

data

are

Wisconsin

Bahkshares,

&; Stratton.

Singer Manufacturing—Memoran¬
dum—Francis I. du Pont & Co.,
Wall

St.,

York

New

5, N. Y.

available in the March "In-

Also

vestornews"
tional

studies

are

Na¬

Biscuit

Co., Chemical
International Shoe,

Companies,

Hercules Powder and Copperweld
and

discussion "Facing Up
Import "Problems." - :

Our

•

.Standard

Brands

Inc.—ReportMcKinnon, 2 Broad¬
New York 4, N. Y.
&

Thomson

Standard

Packaging

dum—Gruntal

—

Co.,

Memoran¬

Broad¬

New York 4, N. Y.

way,

Standard

Uranium

inc.,

York

5/ N.

New

Corporation-

Witt

ganization,

Conklin

120

Or¬

Broadway,
!

Tri Metal Works, Inc.—AnalysisWalter R, Blaha Co., Inc., 29-09

Bridge Plaza North, Long Island
City i; N; Y../;iV;
....
Varian

Associates—Report—Hill,

Darlington
New

■

randum—William
Wall

Norton Co., 44
St., New| York 5, N. Y.
Systems, Inc.—Anal¬

Information

ysis—Boenning & Co., 1529 Wal¬
nut St., Philadelphia 2, Pa.

York

Co.,

Wall

St.,

5, N. Y.

Leedy, Wheeler Branch
Under Clinton McCreedy

Wheeler &
branch of¬
fice in the Ingraham Building un¬
Loewi & Co., Inc., 225 East Mason
der the management of Clinton
St., Milwaukee 2, Wis. Also avail-, T.
McCreedy..Mr. McCreedy was
able is a memorandum on Colgate
formerly head of McCreedy &
Palmolive.
:
;
;
Company Inc." " " 1
'
'

Manpower Inc.

—

Memorandum

Fla.—Leedy,

MIAMI,

Alleman has opened a

—•.

Martin

Company

Bulletin

—

Schweickart & Co., 29 Broadway,
Mesabi

6, N. Y.

Iron—Review—Ira

Co.,

Ill

Haupt

National

Broadway, New York
v

Cash

reviews

National

ABC

BY H.Y.
York, N.Y.—One of tlie nation's

New

Commercial

Vending,

and

book

largest

publishers

seeking

book-length manuscripts .of ajl types—

Company, Inc.

•—

Report

~H: Tieritz- &/ Co., " 77'Wail S>t.,
New York
5, N. Y. Also available

fiction,

iiomfictidii?^poetry, business ami

financial

subjects. Special attention to
For

writers.

new

information,

reports out Wallace & Tiernan,
Inc., National-Biscuit Co., Serve 1

sencl for booklet CN—ft's jtee.

Inc., Western Air Lines and Mor¬

Pressf 120

are

gan

Engineering.

North

American
—

Coal

Quail

are some

rare

interested—do

Corp.

Co.,

delay. Wrijte your

serve

your

EDWIN U

BECK

—

Primary Markets Jn
.J

«,

'•«

" j*

y-r-

«'4

' •

•.W 4*+.

*. ty.-f*

^Xopyination

■.. ■

;

Kellett

Aircraft

American Int'i Bowling

Standard/Manufacturing
•Offering circular on

requeet

Care of Chronicle, 25 Park Place, New York
7, N.;Y.

Telephone REctor 2-9570

Inc.,

Prices will be gladly

Be prepared with complete sets to better

Vantage

31 St.,. New York 1-

i:;

Chronicle bound sets

not

clients. It pays!
*

Manufacturing

Insurance (New York), and

Briggs

•

HAnover 2-2400

New'

Industro Transistor Corp.—Memo¬

needs telling the years you are missing.

Troster, Singer

Porges,

—

1, Wis. Also available in
-

Study

same,-bulletin

the

Bulletin—De

Analysis—Dempsey-Tegeler
&
Co.,
210
West
Seventh
St.,
Los
Angeles
14,
Calif. Also available is an analysis

Analysis

limited time there

—

Simplicity

YOUR OPPORTUNITY... 1

Members New: York Security Dealers Association

.Corp.

Singer & Co., 15 Broad St.,
York 5, N. Y.;; -

■'

Wall St., New York 5, N. Y.

available*

4, N. Y.

Falls Corp.—
Memorandum—J. A. Hogle & Co

For

Analysis

—

Oswego

Sealright

way,

Inc.—Analysis—

Broadway, New
available is
analysis of Telectro Industries

York
an

Distribution

Salant, Inc*

Salant &

—Jesup & Lamoht, 26 Broadway

Transmission, Production
&

—

Federal St., Boston 10, Mass.

"...

Northrop Corp.

111. Also available is

(h>) Natural. Gas Companies

Analysis — James
Anthony Securities Corp., 37 Wall
St., New York 5, N. Y.

Corp., National

Report—A.

t 9

circular

same

American

Dover

able

Co.

Philco

Inc.—Review—

Skogmo,

Gamble

Solvents,

Allyn

Analysis—Robert W, Baird & Co.,
110
East
Wisconsin Ave., Mil¬

Co.

Central Maine Power Company—

Steel Corp.

Kaiser

Siegler

6, N. Y.

Aerojet-General, Armco Steel,

Also

Company-

Montgomery St., Sah Francisco 6
Calif. Also available is a report'

Memoran¬

—

dum—Harbison & Henderson, 210

Analysis-^Dean Witter &

New York

Corporation

(a) Operating Utilities

Lazard

and

Inc.

Fund

Hirsch

—

Cement

Permanente

Eng¬

New

Ranco,. Inc.,

New York

X':':

Sound

Memorandum

survey

General Public Utilities and Radio

Firm Trading Markets in.

Davenport Bank Building, Daven¬
port, Iowa.

Data—Schirmer, Atherton & Co., Pubco Petroleum
Corp.—Analysis
50 Congress St., Boston 9, Mass. —Coburn &
Middlebrook Inc. 75

Carroll

Company—Review—W. E. Hutton

Ltd.

Op¬

American Telephone & Telegraph

Birmingham

Call
—

New

available

<—

Stone,- 120
York 5, N. Y.

Roland

Broadway,

Controls.

Giannini

and

Metal¬

Ranco, Inc.

Understanding .Put

Stores, Goodyear Tire
Rubber, Minute Maid Corp.,

data

are

Fair

Food

way,

ment Letter"

Atlas

Gas

Thursday, March 3, 1960

Co.—Review

Distilling

—Cooley

den, Stone

win-Lima-Hamilton

Vought Aircraft.

Penn Dixie Cement.

6, N. Y.

American

Stocks for

facturing, Loew's Theatres, Bald-

garten & Co., 551 Fifth Ave., New
York 17, N. Y. Also in the same
bulletin
are j data
on
Chance

American

Broad
Attractive

1960—Brochure—Hay& Co., 25 Broad St.,
New York 4, N. Y. Also available
are data in the "Monthly Invest¬

Crane Co., Seovill Manu¬

fare

Silver

Newmont

Fund,

Madison

Co.,

circular

same

International

Beneficial

dustry

—

Re¬

—

National—Data—Wein-

Diamond

stock

Petroleum Corp.

—McCormick

Upham &
Co.,
120
New York 5, N. Y.

Silver—A Metal With

5, N. Y.

Motion

Amerada

Harris,
Broadway,

born &

and

Quinlan,
Montreal
1,
&

Que., Canada.

Armstrong

Merger Candidates in the Oil In¬

Ltd., —Memorandum

Collier,
Norris
Aldred
Building,

Stocks—In various cate¬

—

York.

letin

Aluminium

gories—In current "Pocket Guide"

1959

Stocks.

Bureau

both as to yield and
performance over a 20-

Selected

Therm-O-

St., Toronto, Ont., Canada.

—

Dow-Jones

the

Averages and
the 35 over-thecounter industrial stocks used in

Loan

Also

Folder

compari¬

Insurance Industry

—

industrial

Savings &

Company, Limited,

—Gairdner &

New

—

land,

Alberta Distillers Limited—Study

Index

listed

the

used

stocks

St.,

up-to-date

between

—William

44th

CFC-1,

Dept.,

Fire

York

Corp.

Dover

bulletin

same

Carreau

plus
study
"Security
Selections during a Period of In¬
flation" and summary of advice
.

American Saint Gobain Corp.

Casualty

the

months

Averages,

Supermarkets Inc.

Bache

and Twentieth Century Fox.

the

St.,

Quality

Dilberts'

and

coal

data

Chemical
I Products

Corp.,
Corp.,

Petroleum Edition
Survey reporting

petroleum, natural gas
stocks, with mathemat¬

major

son

A. M.

Wall

comments

subscription

Special

—

Line

Value

showing

5, N. Y. Also available

reports on Allied
Lehn
&
Fink

are

—

Celanese Corporation of America.

Drug

Stocks

Oil

bulletins

are

depressed Aircraft-Missile is¬
sues.
;
^

Over-the-Counter

Palmolive Company and

Colgate

bulletin

same

—

ically derived rankings for prob¬
able
performance
in
next
12

ade— Showing

Co.,

and

Dividends for More Than A Dec¬
1959

in the

Winnipeg, Man., Canada.

cation

Stocks—
Inc., 74

Bank
&

Also

320 Bay

St., New York 5, N. Y. Also

offer including

Industry

Newsprint
—

City

Walston

—

Crown

■

York

Data

Invest¬

ment Letter—Burnham and

Inc.,

Aldens,

Brunswick Balke Collender, Har¬

Illinois National Bank & Trust Co.
of

able

Continental

St., New York 5, N. Y. Also avail¬
are

Bulletin

—

Co., 36 Wall St., New York 5,

Knowles^Corp.—

&•

Simmons, Rubin & Co.,
Inc,. 56 Beaver Street, New York
4, N. Y.
Study

Eastern
-4.-

ABC Vending

Bank Stocks—Review—With par¬

Argentina and

Mass.

FOLLOWING LITERATURE:

THE

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

Crompton

CORPORATION

V iJ UBEftTV fcTftEET *

&Y.4, N.Y.

Number 5930

191

Volume

The Commercial and Financial

Chronicle

tariff

Out Mining Industry Faces

tent

currency

opinion of most

compe¬

mining authorities that if the

American
sound

economy

and

balance

Arthur B.

with

that

basically
reasonable

the

world, the American mining
industry will be capable of han¬
dling the many special and differ¬
ent problems which it will have,

for mining engineers outlines the mining

all

industry's outlook for this year and for the sixties. The latter specifi-

and

down on the emphasis given by Russia to min¬
production, to training of personnel, to production of mining

the

interests

world

American

prosperity and

Considers

fairly good
mining, it being sup¬
a high level of national

all, 1959 was a

for
ported by

year

was,

different

affected

were

ing

by economic and political

degrees

conditions.

'Aa-"*.':*

factors were: (1)
affecting the steel apd
some
of the non-ferrous metals
industries; (2) the rising tide of
mining activities abroad and the
increase in importation of prod¬
ucts made from minerals
(steel,
biggest

The

the strikes

and

others).

numerous

for

flat glass,

its alloys,

copper' and

highlights,

some

1960's

60 million

years), although the production
of pig iron and steel was above
that of 1958 despite the strike. '
-

Eighty percent of the copper
producing industry was down due
to strikes
for part of the year.
The
output of
copper
dropped
(lowest level

16%

Aluminum and
were

There

up.

the

coal,

years).

in ten

other metals

some

8% decline

was an

of anthracite
bituminous about held

production

but

its 1958 level.

1960-9,
unprecedented
foresee

tions.

dustrial

production

1958,

and

crease

in¬

(non-metallics)
improvement over

many

the

over

cases

progress

in¬
prior

1958.

the

Outlook
••

living

opments,

•

predict high indus¬
activity and prosperity in

trial

I960.

(GNP

above

trillion,)
good

$500

11' this is so, we can
expect a

for mining.

year

will be
of

But

the

pattern

spotty and not all branches

mining will fare equally well.
With

strikes

background
the

iron

somewhat

for

steel

and

ore

and the non-ferrous

tries

may

expect

ments,

not

pected

should

materials

ducer;

copper should

Position

with

be in

good

for

revival of production in
Michigan
and

the

tial

reserves

proving of

num

should

new

substan¬

Arizona.

Alumi¬

record.

The

been

come

through with a

production

some 3 to

This

because

home

anticipated

duction

cement.

minerals
mand

evels

Most

The

the

money.

Pro¬

parallel that

other

industrial

expected to be in de¬

equal

above

(abrasives,

clays,

1959

borax,

gypsum, phosphate

r°ck, potash, salt,
the

due

sand, gravel and stone

are

hmestone,

and

program

reduction

mortgage

may be expected
°f

role

the

Aside from industrial economy,
foremost

that

will

the

among

prescribe

factors
role

the

the mineral industries in the
term

future,

cold

the

major

age,

etc.

The

emphasis

missiles

and

impact

the

will

have

necessary

either

devices
for

for

Probability that

1960

it will be sig¬

will

remain

ventional

defense

signifi¬

The

markets

lead

for

and

factions
copper,

their

alloys

expand,

for these metals.

(e)

Most

the

less

others—are

expected
greater demand.
(f)

for the basic

industrial

tion
the

used

gravel

critical

ing

materials,
stone, gypsum,

and

(2) Since mineral

what

(3)

also

clays,

mining industry

stamina to survive the downturns

setbacks, and bounce

back to meet the requirements of

industry

the

and

national

lime¬

sound

mineral

industry.
we

specific

wish

the

major

little

status of

mineral

commodities

during the 1960's, the opinions of
experts in the various fields

many

iron

and

tinued demand. Iron
in

adequate

steel—con¬

ore

resources

supply, strengthened

This

do.

This

announcement

their

economic

and

nickel,

foreign

others. Also to

extent

for

con¬

iron
zircon,

copper,

lead,

mining in the inter¬
"economic

economic

mineral

raw

import

listed

which

the

below

mineral

(3)
there

engineering.

is highly important that

mineral

established

Problems

above, there
problems

four

to the

policy

ration

mineral

and

NEW

warfare

be¬

development

mineral

resources,

all

The

demand

Bachelor

fulfilled.

Mining Engineering

for

national

minerals
of

lead,

the
special
nickel, gold,

and

zinc,

(4) During the 1960's it

degrees

conferred

220, estimated in 1959,
projected
for
1960,
190;

thereafter, ? Currently there are
apparently not enough jobs for

expected

that

increased
of- the

and

mining

dustries.

This

manifested

will be

going

into

offer-Jo sell nor a solicitation of an offer
offering is made only by the Prospectus.

1950's.

March

2, 1960

Glastron Boat Company

(battleships, air¬
bullets,
aircraft,

6,000 Units

to dimish to

be expected

consisting in the aggregate of

significant extent.
The mining industry today

must

$600,000

become adjusted to meet success¬

the changes resulting from
the new requirements of the space

fully

period
placing great responsibility upon

the

1960s will

The

age.

•

American

with

most

certain

be a

challenge to

meet an
for

demand

6% Sinking Fund Debentures, due February 15, 1966
and

industry

mining

60,000 Shares

al¬

greater

the

same

Common Stock

meeting

competitive prices of foreign pro¬
Also

ducers.
of

protecting
and

serves

our

tariff

problem

future,

OFFERED

ONLY

UNITS,

EACH

UNIT

CONSISTING

OF:

$100 principal amount of Debentures and 10 shares of Common Stock,
which will not be separately transferable until May 1, I960, or

in re¬

such earlier date

may

be determined by the Company.

technologies, well be¬

21st century and
that

major

1960's,

the

yond

the

(No Par Value)

time there

requirement

indeed

into the

Offering Price $100

beyond. It seems

protection and

import

per

Unit

(plus accrued interest from February 15, 1960)

quota restrictions alone cannot be
relied
to

upon,

meet

all

phases

some

in
of

most
the

our

categories,

problems

mining

in¬

dustry. It appears more in line to
recognize that in
to

among

sell

our

most cases

products freely

the world wide consumer

countries unrestricted by

Hardy & Co.
New York

artificial

Underwood, Neuhaus & Co.
Incorporated

Houston, Texas

fusion
in¬
was

There

companies

mining

buy these securities.

ISSUE

tendency

Continued

chemical

the

may

will

significant
and
the

there

steel, lead, aluminum, copper, etc.,
may

but
and

consider
the
specific
re¬
quirements of the basic and stra¬

ade¬

were

and

explo¬
of our

silver and others.

quate supply of properly trained
mineral
engineers is not being

casings, etc.) then the re¬
quirements,' on a large scale, for

the

must

tegic

205;

resources

encouraging

curement, distribution and stock¬
piling of mineral materials.
This

cases

(1)

national

(long term and
term). This involves not
wise Federal policy on de¬

will

writer

policy

pletion

significant importance in the

seems

international problems in the pro¬

materials.

Lists Four Additional

addition

some

battle"

phos¬

maganese,

and

consideration

The

im¬

remain

is neither

entails
%

natural

1958

For

zinc, thorium,
columbite-tantalate, cobalt, beryl
and some others, because it will

indicate:

(a)

some

siderable

some

the 60's.

short

be of

permanent mining in¬

national

sulfur,

1960's.

and

erals

only

are

mining in¬

(b) Let the government know
vital importance
of min¬

sten and

the

In the interests

emphasize

chrome, tin, mica, antimony, tung¬

ore,

portance.

will continue to be

for

resources

of these

requirements of

(a) Let the public know what
mining engineers are doing and

present informa¬

goes, we

economy.

the

potash

dependent in large part

The U.

has demonstrated, time and again,
that it has the reserve and the

for

(h) So far

terials.

taken by AIME,
agencies in¬

other

and

lations
job
primarily:

phate.

industries—salt,

process

tion

minerals

dustry, the mining engineering
profession has a better public re¬

sand,

materials for the chemical

raw

have, and devising better
ways and means of finding, pro¬
cessing and using mineral ma¬

satis¬

and

career

the

created, and once depleted are
not renewable, the problems re¬
main of conserving and developing
we

being

are

(2)

(g) Also for the major mineral

resources are

not

EJC

sound

stone.

importance.

qualified young

opportunities

dustries.

construction—

raw

need

terested in professional engineer¬

minerals, the U. S. may anticipate
increasing requirements for ma-r
cement

engineering. Efforts in this direc¬

common

metals—tungsten, cobalt, colum¬
bium, tantalum, zirconium, and

better

the

men

construction.

and

tention

ma¬

There

warfare

space

exploration. On the
for con¬

space

(d)
zinc

terials

because

expected

for

mineral

therefore

have

continue.

not

emphasize and bring to the at¬

metals

glamorous

these may be
to
be
important,
or
for the equipment and

phasized,

terials

mineral

conditions

ex¬
un¬

unhealthy
and
unsafe
position and presumably

metals. The

(beryllium, tungsten, columbium,
and others) will be greatly em¬

need

sulphur).

interest

this

under

and

economy

of
and

of
the

approach

space

near

question

the

war,

rockets

modities.

drop

slowdown

construction

squeeze

the

has

cement

probably

highway

raw

seem

magnesium

cantly greater importance

production of most mineral com¬

4% from the 1959 level.

This is based
ihe Federal
to

first

forecast

any

of economic

with general eco¬

carriers,

possibilities

ac¬

mining industries, in the main, is
to supply raw materials as re¬
quired by industry.

shell

able with Tennessee
coming more
to the fore
as
the/leading pro¬

that

in¬

(4) It may be expected to con¬
dustry, per sq> will not "set the tinue to have this capacity, pro¬
pace," but will follow the (tech¬ vided adequate provision is made
nological, economic and political) nationwide
to
recognize,
pro¬
developments of the next decade. vide for and support the basic

craft

the 1959 work
stoppages. The pic¬
ture for zinc is considered favor¬

mineral

nomic trends. Thus the mining in¬

indus¬

demands, but also to
backlogs resulting from

the

devel¬

recognized

moves

industries

new

fill

power

that the demand for mineral

obsolete

heavy require¬
to meet the ex¬

only

all expected to

are

come

being,

metal

will

other hand, if the means

the

time

the

may
be ex¬
that the curve

celerate the advance.

role

1960?

for
-

Forecasts

complica¬

population growth, higher
standards, space age re¬

vances,

tremendous

What Is

Others

general

In
set

considered

are

natural,
national
will

demand.

Aluminum and

(c)

the

1960's.

upward, and possibly to a fantas¬
tic
degree.
Technological
ad¬

year^

best

these

us agree

...

minerals

high—an

was

the

toto,

While

future

the

resources

period

and

foresee

can

excess

new uses

products

advances.

one

ores.

(b) For the next few years, the
production capacity of aluminum,
nickel, asbestos," etc., will be in

important in considering the

any

Mining

boom

difficulties

pected, let

and

the

Many economists predict for the
decade

(the lowest in

tons

the

Industry?

production of iron ore went down
to

Bring

quirements, nuclear

;

dustries'

time

(1)
What Will the Decade

however a year of con¬
siderable complexity in which the
activities in various fields of min¬
It

aspects

some

next. decade.

Mineral

future in any significant detail, it
is perhaps sufficient to point out

nificant in indicating the trend
ahead, and what to expect in the

activity.

and industrial

economy

Since

ing engineers, particularly in
ploration work; but this is an

grade

and considerable
research effort is being expended
in the finding and development of

Aspects

equipment, and to the impact of this upon us and the world economy.
The author refers to many important aspects of the mineral indus¬
tries' future and the prospects for major mineral commodities during
1960's. Also lists four problems apt to be of significant importance.
All in

Important

the full time employment of min¬

lower

' should

peace.

cally includes a run
eral

by improved methods for utiliza¬

rest

the

Corp., Manville, N. J.

Recently elected spokesman

and

tion

It is the

'Cumminsf President, Society of Mining Engineers
A1ME; Manager, Mineral and Basic Research, Johns-Manville

barriers

problems.

U.S.S.R. Mineral Production
By Dr.

(965)

business
page

■

Financial Chronicle

Commercial and

The

Thursday, March 3, I960

(966)

maintenance of drivers!* logs, ininspection of Safety, appliances anc
tte Slipping public is to be proequipment, tiling of reports
tected and the national interest in checking , accounts,
keeping of
the economic soundness of public
statistics, investigation of violatranspolTalion fs to be preserved, tions, and enforcement ii a
which

ICC

The Brass Tacks of the

Administrative Problem

may vitally affect the economic
interests of a railroad loan appli,

the

be,

;

„
V

incompatibility

cart during the life of the loan?
Suppose further .-the railroad
should wind up in bankruptcy—
the Commission .a plan of reorwould be required to pass on

straight-line managerial and administrative job requiring clearcut action. For this job, one-man

Growing Functional

Arpaia^Member. Interstate Commerce Commission

By Hon. Anthony

should

and

are

Commission's principal concern

ganization in which -it,- as-a party
participant,, was responsible for

/management would be more ap- the c: editor status of the United
effective.
; States Government.; It is not only
lines bv Bureaus, the°r esponsibil, >"
4, . Vv
• •
an inconsistent r.o.le but,, frankly,
pafible with each other. Mr. Arpaia revives a plan suggested 30 years
'ity of the -Cortmissiohers' at the 'Mounting Adjudicatory penfe"*'-downright yncomfortable.,
ago which would separate what he depicts is now an "organized monton is not
and cannot under the ;.
The adjudicatory functions ,oi , Now, what does all this mean?
strosity" into two bodies. One would perform the administrative job ;
present
system be' so divided/' the1 Commission have become ;'of- It means - simply- That the heavy
and the other retain the quasi-judicial and quasi-legislative work. The ;
Therefore, the underlying issue'in such-complexity ;and magnitude -demands on The- Commission's atthe investigations and studies di* that, they- -allow * little -time -for,, tention and* time f or-; purely adCommissioner defends the record of the ICC which he finds has had
rected toward the improvement of -other
task&- :They , were , enorv -ministrative duties not only serve
less decisions reversed than even the Federal district courts but warns
efficiency
of
the ; Commission, mously- .increased by legislation;, to impede the ^efficient exercise
that this non-spectacular reform measure is urgently necessary now.
^Whether recognized;ox not, isrUs between 1935 and 1958. The Motor> Gf Adjudicatory r; functions,
but
The future of transportation, in merce Act has seen major amendjt practical and realistic for a-Carrier Act of; ^935" immediately ..^hat ^iailure * to "^distinguish belarge measure, will depend on the ment from time to time, the Com-* body of 11- men- to effectively.; involved _ a .flood .of processing. tween.-the; Two ^has-given those
adminis- over 80,000 "grandfather" certifi- color to the insinuation of some
part the government will play in mission's organizational structure manage such extensive ad same cates for operating authority, plus who would-scuttle -independent
its
regulation.
No law is self- has remained.£«Tvntrt
essentially un- trative : tasks and, at / the
the ever-continuing stream of ap-.1..
TV\r
agencies that administrative law
changed since its formation. True, time, properly perform their ;adexecuting.
found to be too burdensome, cumbersome

of the ICC.are

Although the work

•

administrative functions
and incom-

increased adjudicatory and

The enormously

of the Com-

functional "propriate arid more

alono

sDlit

mission

;

■

?>'

an es-;-

sential part

generally
cepted

Anthony Arpaia

pects

Two as¬

government.

under

presently

are

inquiry and study. First,
and secondly, its effec¬
tiveness and efficiency.
In other

official
its

still remained

undisturbed,
Happened

Has

1935

Since

necessary
function of

What

Traces

with slightly over
100 class I railroads and several
hundred short-line and switching
Until

1935,

tions

jurisdiction,
combination of quasi-legisla-

the

regulation

problems were

transportation

should it be administered?

topics cannot

two

servation^ I will say that the present total cost to the taxpayers for
the

surface

regulation

trans-

out of govern¬
ment have for some time given
this subject considerable attention.
In fact, in the last 30 years there
in

been

have

and

strieted

.healthy competition between carriers of all kinds while preseiving
the-inherent advantages of each.
the

volume

number

This

and other proceedings in¬

merger,

creased enormously,

A few statistics will illustrate
the changes in the workload. To
use only the most important categories of matters involving economic interests of the public anc

From

many

—

studies

ent

such

independoutside experts,

been

—

u^.

have

there

nobody's

answering

•

have

sources

numerous
proposals for the reorganization of Federal transportation functions.
These propcsals differ widely in extent and
practicability. Some would go to

extremes.

riers existed.
were
made

come

•

few, the so-called

"independent agency," in spite of
what
the
courts
have
said,
is
„

extra-constitutional.

mail,

preparing

They would
abolish it entirely. Others belong
to the stand-pat, negative school
—they resist

any

change.

These extremists live in the past

varying

consider
as

the

degrees.
Those who
independent agency
-

"headles

- *•

whatever their duties.

sonable

for-

and there was more uniformity in

Railroads did not
Commission
-

equipment,
require exsupervision
^

such, it is characterized

duti^whfch havl

rights,

contract

passenger
c

government

the

foang

rates,"

"public conveninecessity," "unjust dis-

services,

the

and the
private

railrSads

to
of

created another

matters

requiring adju¬

dication.
An

example

then

is-- the

alternative?
of

uncritical acceptance

redefi-

carriage,

guaranty of

What

the incompati-

n^thingeSeNor°wfiainitsatsolution

general-

advanced bv sensational

^"hetdliLtmfking attlcks

an*\ndenendenT'aeencies on Ihe
assumption that their

erroneous
functions,
are

processes

alike.
am

not

and burdens

intimately

acquainted

problems of
other administrative agencies and,
from some of the comments others
have made about the ICG, it is
the

with

specific

crimination," "consistency with
the public interest,"
reorganizations, the propriety' of securities'

bility
position of the Com—
.
mission arises out of its responsi- obvious that those who speak
bility in connection with the gov- concerning us have only superernment guaranty of loans. The ficial knowledge of ours. The one

issues and the many sections of

Commission must, by law, deter- thing which I do know is

ence

requirements for railroads. Their
equipment was more standardized

tensive
-

instrument.of govern¬

necessary

ment.* As

Stubborn

further

legislation

nition

batch

Without question, matters which
involve the determination of "rea¬

...ere were
uiMira.io.There were no insurance

safety applicances,
and operations,

lack °,f acitio,n' nf
of
or

th^ a^tion1

classifications,
freight

In 1958, there were 1,.-

carriers.

missioners are neia answerable too 0£

These complications
by certificate

and

legislative functions, has become

^mert

Recent

tnr thp artmn. or apk nf antmn
or
the
staff
wherever
located

worse,

carriers,

water

The Commission,: as an
independent agency performing a
blend
of
juasi - judicial,; quasi-

IrehrtTanswerabtetoi ?urisdiction over discontinuances

restrictions of territory,
routes,
commodities
and
service.
The
tariff filings of railroads were few
in number as compared with those
now filed for 18,000 or more motor

„aru„.
warders.

^nfnrrpd'"bv formafYudicial

efficiency, etc., sometimes reaches

fixed tracks

carriers of varioqs

process.

inadequate supply of cars, ac- creased the workload, The rollcidents, v i o 1 a 110 ns, accounting back of exempt commodities with

points. None of the

Workable? Reform

of courts for the job

use

regulating transportation, in my
judgment, is unworkable. Modern
conditions require tools that are
more flexible than detailed legis-

complications arising out of am,
..
bulatory operations of motor car-

In addition,

those now underway.
«i

between fixed

The

tranfnortaUon

were

be violated—it ran on

include

not

does

-Suggests

rates, operating rights, control and

agencies and courts

new

competition,
complexity
of

and

between sev-

0f fbe Commission

intense

Because

"grandfather-

Interstate Commerce Commission,

course of action

not reto commodities, and its
rights

„T
.1^1 be
should kn

likewise limited—a railroad's'

operating

dealing primarily or exclu-

tions

example,

was

Confronted as we are with this

of situation — what

the

cioseTy"relatedr The"'policing Job regular and special reports, giving 425 matters of this type,

investiga-

official

the administrative chores,

safety,

best results for that cost?

Experts

thrust an unpreceand variety of
the Commission.
-

those - relating ' to
locomotive inspection,
service, compliance, accounts, an¬
nual
reports, investigations, and
statistics
were
incidental
and

for

time

that

TTntil

by flexibility, relative informality
and is inexpensive and simple in
for operating rights of all kinds, .
annliration
However
to innot including 3,999 applications
s pPf workability this basic
for temporary authority. In 1934, ?
ti
9hoijld be freed from the
there were 127 Investigation and
of
Suspension rate cases; in 1958/ become
incompatible
with
its
properly expect the Commission- there were 1,865 I & S proceed- nrimarv ioh nf Drotecting users
ers,
not staff people, to account ings.
In 1934, there were only 18
the ' Prnnomic
for every Commission action. The
proceedings involving the acqui- tabiPQ of
in the
amnnnf
values not; transportation in tne
amount nf time fhov m,,ct cnonH
of timo they must spend sition, consolidation, or control of
national and public interest.

Before motor carriers were reg-

ulated

expect

Policy

Inlron?
"
taken?
Until that time the
The answer, in my judgment,
function of the ICC was mainly to
protect the public against unrea- will not be found in the attitude
sonable or discriminatory rates. of the apologists for the status
___
' With the regulation of competitive qU0 nor 0f those critics who,
transportation services and the thinking only in terms of the
adoption of the Policy, in addition strict concepts of the pure judicial
to its original function, the Com- process would scrap- the entire
mission was required to maintain
tem'by dividing the functions

regulation.

business, and
nothing is so frustrating as the
eternal hanging on of an incompleted task.
V,
The
public and the Congress

volume

duties upon

portation is modest. Hence, assummg that government control
will continue, the real question is,
how can 'we get
the most and

well

lawlessness.".-

tive

everybody's business shortly be- 1958, there were 3,895 proceedings

comes

but

burdens,
dented

mentioned.
as

jTransportation

into ''administra-

has degenerated

•-

cumbersomeness of majority ap- the carriers as an illustration: in
proval as applied to these purely 1934, there were only 61 proceedadministrativematters makes it ings , authorizing extension of
-difficult to get action at all, since-operating rights > of railroads. In

homogeneous and limited.
.
v
be
completely separated, but I
Vast changes began with the
shail confine my discussion to the
Motor Carrier Act of 1935. This
subject of the Federal regulatory and
subsequent
legislation not
machinery. As a preliminary ob- only added to the adjudicatory
the

Perhaps

might

•

1940 changed the entire theory

r-PCflllntinn

majority vote of the 11 men on
a football team before putting the
ball into play. The Commissioners
do the best they can but the very

time

that

timo

fVit.

.The

agency

one

manageable.

was

need, and how

functions

trative

adminis-

and

quasi-judicial

tive,

nv>

plications for new authority since
that time.;
,
....
1 ; ;

quarterback in the huddle to get

words, the answers to two ques¬
tions are being sought; How much

I have

One

its

within

railroads

scope,

" J

« -..

inordinate drain on the time of
the Commissioners and diversion
of attention and energy from the
functions for which a Commisfeion-type organization is essentially adapted and needed. But of
greater moment is the organizational monstrosity presented when
n Commissioners- must somehow
find the time, in between the
heavy workload of deciding cases,
to meet, deliberate and agree-to
take action necessary to give ef¬
ficiency
and direction
to such
completely administrative opera¬

in. some

duties are

remained

authority

nlnnin.

;

repository of an assortment of
duties and the horizontal layers of

ac¬

enmp

the

for

time

functions?

.in addition to the fact that some
0f these duties are somewhat in-?
compatible, there is necessarily an;

and the creaof Managing Di-

but the Commission

;

judicatory

principally of the "housekeeping" type,

now,

will

and

out-

agency

whose

rector;

Transporta¬
regula¬

some

the

within

tion

resulted

This

tion of the office

its future.

tion

functional realignment of bureaus

i stered '

will be

Tkk

Report."

is.

Act

merce

the Senate hired

of management experts
who made some recommendations
in what was known as the "Wolf

Com--

terstate

a •

1952

side group

the In¬

which

Therefore, the
means
b y N

and

that m

the Act which require the estab- mine whether an applicant rail- the light of substantial di eienc
i'shment and interpretation of road is eligible for a government in the workload, distribution ol
interpretation
functions
and
statutory
objec¬
__

statutory

policy,
are
functions
justify the judicial type of
approach
and
composite
judgwhich

ment.

guaranty of a loan from private
sources. Whether the applicant is
Qualified by the standards set by
Congress for such assistance is a

'
develop rules and regula- true
4
.

quasi-judicial determination.

tives,

those who would apply a
instead of a scalpel to
the
unspecified ills of ait

bludgeon
cure

administrative

agencies

asj

are

government'
conditions

Itus

UiUU&cUlUS

UJ.

port their thesis.
On the other
hand, the stand-patters give no

drivers. It was not necessary to
police passenger bus require^aMcugci
uus
imuutments, brokers' licenses, shippers'
associations,
and
illigal
public

weight to the_ massive economic
technological changes which

this list of administrative burdens,

have

the Commission became responsi-

reign of James The First of England and the 18th Century to sup-

and

revolutionized

transporta-

tion in the last quarter century.
I do not question the sincerity
of

any

of them.

not the issue.

But sincerity is

Sincere

history

wrong,

shown.

Our

has

concern

men

can

repeatedly

is with

real-

itv,
not .with
theorems;
with
utility, not abstractions. What we
need

first

are

the

facts—a

par-

ticularized analysis of the present

transportation.

To add further to

„

;;

ic4uuco

K'ocvu

ill

nil,

jpuornvm

vji

WClllg

—

-—---

•

+rv-

greatest-inequality results in u
ing to s~ •*
equalize the unequal. pnn^
•
the graveyard of. progress
formity,
, .
regulation which will servepublic It administers the provisions of
If what I propose for the
purposes that the true quasi-legis- the loan and guaranty agreement is not spectacular, it is because
lative function comes into play, has the power to alter and extend the defect itself is not obscure o j

information, education,; consulta^on and negotiation in the first
—
instance, It is only after such
methods fail to produce a rule or
.

the contracting party for the government. It must prepare, nego...hv.g,vytiate, and sign the guaranty
agreement, and supervise the loan,

„

the Joan terms, declare a default complicated. In my
I
if necessary, accept the collateral can preserve the broad, flexible
and pass upon it when default advantages of the ICC as an in-|
occurs. / Although the situation dependent agency by a simPie|
has not yet arisen, I would as- excision.
\he capacity of an independent, sume that the lenders would exThn^P duties which are essen-j
impartial agency resolves the pect the Commission to obtain tially managerial or administra-j
the necessary appropriation from
tive
so-called
"line functions,
Problem.

1S
mat a hearing or represenuations by all sides is necesterstate. commerce, even though sary. If a new rule, or a change
they are exempt from economic in a rule proposed by a Bureau, is
regulation, or are privately opaccepted, the Commission, in

ble for the safety of operations of
millions of trucks engaged in m--

erated.
As

the

matter

of fact, as

of now,
2,286 people employed by

Commission, 1,429,
of them in the

most

Once the rules, regulations or Congress in the event of a default.
standards have been set, however, These are not adjudicatory tasks,

can^besrbrDerformed

by a

singkl

di-l
l/e duty of administering inspec- Is it appropriate that the Com- rect action and responsibility]
'C
?ve
?upp'y of cars. compliance mission be required to fill the Therefore, some means should jjl
relation to the quasi-legisla- with insurance requirements, role of"an interested party, when found to separate them' from^the
and quasi-judicial functions compliance with hours of service, it must adjudicate matters which Commission
This can be done|

can,awenSevIlua,tJneceLt»rnv mZS?
changes
Digitized fortFRASER Now what are thp farts'
Is. AlthouBh the^^ Interstate /rS ?■
*
""hough
http://fraser.stlouisfed.org/ the-Interstate Com- tive
Federal Reserve Bank of St. Louis

or 62.5%,
field, are

administrator

They

require

Number 5930

191

Volume

The Commercial and Financial

Chronicle

(967)

vertical.division of the Cominto two separate bodies:

hv a

'mission

f in

fake

ment

and

miles

te job and the other to retain
t Wsi-judicial and quasi
work.

ipgislative

By Dr. Ira

Such a plan
the experience

preserve
Td advantages * of the present
:lm without disruption and
Sense; it would require minor
would

(TPX

consideration

and

With

Missouri

all

U. Cobleigh, Enterprise Economist

$108-.-pi'

operates

Orleans

with

Shreveport,

stocks

common

for

those

Denver

particularly

Rio

Grande

value

income.

Texas

and-Pacific

interested

accent'on

40,648'shares

Class

"B"

corn-

the MOP

The reai

()f4 FT

out a

AVICLyJAC/
atm?t

-n

duties.

other

$30

Suggested .30 Years Ago

Was

Plan

add that my suggestion

may

choose

places

trpnri.

tor mm

One of the best

.never

"been

paid, .'not

do his.

because

•

E.Parker,

•

President

R i b b 1

Vice

The majority of
.which
provides, a-yield-on the
the Committee favored; dividing ti?
irW*
o
MlssourlPacific in Class A, at 44, 6r 5.46%.-, There is
the East at Pueblo,
Colorado, and some prospect for a higher divithe ICC into two bodies;-one for
extends West "to Salt Lake
the control of rates, -etc.- and 'one
City,; (jencj payment in-1960. Class- "A"
where it ties m with Western
for the control of facilities.
If it
Pa^ ,js listed on the NYSE. :. V•
and-to ,Qgden, Utah, .whererxY_
was a valid judgment-under con¬ citic;
.'tho Vcia<?y;VB?: stork-that
ditions prevailing then, it should -^ -interchanges traffib
with:' the
j: ; g
over.
Here's
the
States.

United

than valid

be more

now."

;•»;

♦Southern ^Pacific.
-

would

who

Those

destroy

ad¬

Both

•:

because

;
.V b .-y
transcon-

its

con.-,

" ultimate

leveraged

.These 40 648

commons.

shares represent-the

ministrative agencies would, have .tinental tiebn, and .the-rapid' rise 'distillatitirt of the earning power
of freight tonnage iii its oWn terus believe that there is something
of' and
the residual- equity
in,
fundamentally wrong in the dele¬ .ritory,; Denver and ,Rio Grande "over $900 million in book assets!
Western is a solid earner with a
gation of quasi-legislative duties
This '"B" stock has a book value
to such agencies.:
Now,; I don't bright future. -The line isn't clut^- pf over $1,700 a share and in 1959
tered
up, with
a
lot of money- showed
mean to imply that
the agencies
probably over $200 per
losing passenger traffic—less than share in net
haven't made mistakes, that their
earnings before fund
4% of gross is from this source, reauirements
judgment is
infallible,
or
that
Yet this "B" comthere isn't room for improvement (Its; biggest
industrial
customers
mon,. (more than.half owned by
are
Colorado Fuel and
Iron
at.
So long as the affairs of men are
Alleghany
Corp.)
sells
in
the
run
by men and not machines, Pueblo, and the big mill of U. S., Over-the-Counter Market at $315
this is inevitable.

Steel

(1958)

Nevertheless,
their
criticism
petulant, carping and arti¬

from

sounds

ficial.

tell

I hate

why

you

thnk

pocketbook

the

emotions

the

Commission

someone

motely, but directly.
carrier

shipper

group

and

the

not

—

It may be
of carriers;

and

others

.iess,;

23%

Last year was not

high

prove

from

soft

ancj

forest

and

We got

particularly- jng

"B"

the

of1 the

were

have
*

vote

one

predicted; for i960..

...

tary.
M

some

MOP

bonds

at 60

to yield

°f0 ab5Lun\ S1/90, P,er share.onJhe'ir-i

6,323,678

pone

the

shares;listed

common

NYSE.,.

c.;-' «

The;^iiiroad ^Property.

Missouri Pacific is

•

10,000 mile

is,

and

Riecke

with

many years

experience

the
Frank

Betz,

Jr.

invest¬

ment

ties

how-'

securi¬

business,

sociated with the Rockwell-Gould

growing

of. Missouri

unusually

btOrZ" WaChOD-

attractive

yi^ds;,
•

•

toe

JoGIlClGr VvO.

Pacific,
OMAHA,

Neb.—Wachob-Bender

Corporation,

list

-;c u r r e n t

railroad

-j

lacks .the

street,

market §lamor of yesteryear, it is

Far nam
at
37th
the change in its

announce

coroorate

name

of IVlarch

»» least I distinguished by the ^Wachob-Bender Co
' 1
hlShei yields it presently offers.
Officers are Robert H. Storz,
wCL
^
".vGhairman; Robert F. Bender,
^

•JChmidt,

8.4%;- or you
df.-j .$84 - - million -;;is.-4 anticipated^ can tbuyi-the ^.General Mortgage
which should preate net.earnings 43/4S due 2030 at 61 to yield 7.9%.
2045

excellent

bonds

and

along those lines, you might want

30's.'There

,.B

comes

$3.- Those ,in search of higher
yields, and mindful of its debt
structure, may find in the Class A

little off course, talk-

the

As¬

territory in the West;; Southwest Co., Elmira, N. Y., rthe Knicker'and' the Gulf South. 'MOP is pro- bocker Fund as 'Eastern Sales
!gressive; h a v i n g pioneered in Manager, and the Delaware Fund
piggy-back truck trailer traffic as Vice-President and Director
and dn the operation ofbmajor of Sales.
v
^ruck routes in conjunction with »' H. A. Riecke &'Co., Inc. has
railway service. - :
branch
offices
in
Wilkes-Barre
'
Earnings for 1960 are expected and Clearfield, Pa., and Daytona
to-increase and net may provide Beach, Fla.
funds for-some increase in the
Class "A"- dividend — perhaps to ry
ttt
i
n

about that "B" stock, f We
discussing ' income, ^ and

.to-look

Ac gross

serves

per

Presi¬

a
heavy debt reduction 'having most recently been Presischedule which should substan- dent of Robinson & Co., members
'tially f increase the equity over of the New York Stock Exchange,
time. The road is well managed,: 1 In the past he :has been as¬

it has sold

issued

$850.<Some day it might
sensational. Both theJ'A','

and

ever;

them, to my knowledge, want
change the Commission ■? type

products,

miseel-

Since

share'

47%

—

and

adequat.e coverage, for the $1 di- ,well as 4he stock. You can buy
•vidend; and much better, results .Missouri Pacific- Income, 5s due

While some want, more

regulation

well balanced

was

good one for DGR. Because

industry, a
of. transport or ^ all * of .the
transportation
industry.
T h ey
could and do disagree, at ;times
.vigorously .and vbitterly, with .our.

Traffic

•steel strike, per share net dipped
-to $1.37., jEven.this, however,, was

form

decisions.

...

re¬

entire

Utah.

coal, and 26% from
agricultural products,

Every

so.

decision

touches

Geneva,

manufactured

laneous

this but I'll

say

dust

was

sistant ^Secre¬

...

strategic bridge line.

dent

-•

•mile

elected Senior

to¬

day. Darrah E.

shopping wasn't earned but because of ex- ments is in excess of $170 million.
original. In fact, it
r bv.ceedingly rigid mandatory sinkwas first made 30 years ago by a ^now is in-Ihe, railroad Tist.
About Missouri Pacific, it could
Committee of the National Indus¬
Denver and Rio Grand**
'
ing fund and caPital expenditures be observed that its capitalization '
trial Traffic League, an old es¬
- '/■ ^required under the indenture covwas
less severely compressed in
Uur first rail selection
is DGR
tablished organization which rep¬
ering the first mortgage bonds, reorganization than that of most
common. This carrier, is
a 2,100The 1959 dividend paid was $2.40 other roads that bit the financial
resents all of the shippers of the
is not new or

an¬

nounced

net assets of these various invest-

Co., Inc., 1433 Walnut St., John

■

Union Terminal, Denver & Rio
Grande
Western
and4 Pullman
Corp, MOP's total equity in the

Vice-President of H. A. Riecke

vaiue is several

times that.

4%.yield basis, the investor;lookyear, not to exceed $5.
Actually,
ing for a reasonably protected .,6%
vir£ the four years the stock has
return has indeed a limited group
been outstanding, the full $5 has

; •

■

PHIA, Pa.
Frank T.
?,etz >Jas been named Executive
n

•dtttt

Other'investments include 71%
adjustment and, even if; it were growth,^ romantic and scientific mon. These issues of common are
■fmberfecti could be tried without stocks, it is appropriate, perhaps, so unusual as to require special of the stock of American Refrito
go
back
today ■
hJng irrevocable. As a transi¬ iasnioned
to_ an • old-' -description.
gerator Transit Co., a large owner
motivsuion kfoir> stock
Qf rpfricprator car-? for transnnr''
tory
step*— the administrative
purchase-dividend income.-When
Leveraged Equity ■ of vegetable fruits, etc• subsfannnerations could be assigned ex¬
so many renowned industrial'
blue
The
Class ' "A"
is
clusively to one of the Commis¬
entitled
to tial stock ownership in Missourichips sell on a meager 3/2% to non-cumulative
sioners who could
be freed of
dividends, in any Illinois Railroad Co., St. Louis
-

-r

Dallas,

about

fZ,.

investment in
is

:Kp77 HiYPP

million.

the 'current

but

Fort Worth and El Paso. The book

of;the

Pacific

sells at

common

$5)

pays

1,830
road, bringing in extensive tonnage and connecting New

the administra¬

over

onarp in

.Denver

(special to the financial chronicle)

President and Treasurer; M. J.
Warren, Executive Vice - Presi-

dent; Fred C. , Colby, Marie ,H,
Flanagan .and E. J. Ternus, Vice*Er(isidents, ^Charles ?F. Heider,
engage in a securities business. -Secretary; Jack L. Reece and <C*
Officers are Robert D. Schmidt, 'William ^ Daly,'. Assistant
VicePresident; and .••William N. Sharp, Presidents; and Frank-V. La wson,
Secretary-Treasurer. Mr. Schmidt Jr., Assistant Secretary.
•
•
DENVER

Colo.

Schmidt

Sharp

Co 'line, has been formed

.offices

818

Seventeenth

formerly

was

with

Street

Vice-President

yCapitalization.^of;- the road has railway.^system with, two main Copley & Co.
;
fbeen simplified |n .recent years lines (1) froih St. Louis ;West to
;
\
4
' v
'
bor
and
now -consists'- of
the/ aforer Pueblo, Colorado and
(2) from .
F
P
Sahnrl^t- Or»pn<sjable or :•
unwilling to give it ex-r -mentioned V common; i; preceded Omaha, South to r New Orleans - ;
*
P
*
pression? ; It is
hardly likely.
]
only by; $85 million in ;funded. -a-ndf.leading Gulf cities. Through PORT«WASHINGTON, N. Y.
Nowadays' /every
conceivable debt. Cash position -is " excellent 'ownership of 80% of the stock in Francis E. Salinder is conducting
activity in our economy is highly
;with
working
capital
running Texas and Pacific-RaiIway, :MOP a securities business from offices
organized.
There is no industry above $25
million—easily ample not only has a valuable invest- at 50 .Fairview Avenue.
°r
.

Can. iUbe that ■ they har¬
such sentiment .and ,-are. un-

agency.

trade that does
not
have
a
powerful association to
speak for

it; scarcely any
part
nomic
this

life

not

fashion, from

our

for

eco¬

ers to florists.

1 The segments of
transportation industry are
similarly organized.
These asso¬
and

fir.;

speak for individuals
the
anonymity of

power,

ofarbitrary

sociatfn

<SI

Hld SUGh powerful
lncluding

labor,

Jh sh[PPers» farmers,

as-

in-

taxpay-

?rs of commerce, pubpractitioners
and
ate tho
er Jawyers, long tolerthe afft;e^cise
control over
bumbling 9 their members by a
legal bin?' inept> arbitrary or ilare vitaii
USacy? Are those who
the ahni-? affected clamoring for
There is on of the Commission?
eie i
lic'

such

Reversals

United

ScUpFeme

& 11 °n
legation

evidence.

Than

the

Courts

Court of
as upheld

the

this

power
repeatedly.

Continued on page 16

Haugan

of the

was

maKing..-nis

Denver
look.

offer to sell

The

nor a

solicitation oj

offer

;

buy

any

,:New Issue

Rio

the

exceedingly

low

of these securities.
.

••

■

135,500 Shares

transpor¬

Common Stock

I railroad.
'

DGR

has

paid

cash

dividends

continuously since 1948. The
ent rate of $1 appears well
tected

and

provides

5.9%

common

yield

Here

17.

on
a

pro¬

reasonably assured.

($1.00 Par Value)

pres-

the
quite

satisfactory railroad equity
viding a generous return in

Price $14.00 per

Copies of the Prospectus
the

Missouri
The second
discuss

which

ing

six issues

total

million

funded

followed
of

any state

from such of the several Underwriters including

lawfully offer the securities in such

state.

Cruttenden, Podesta & Co.

receivership and
reorganization, with
a
refurbished
property and shiny new, albeit *
complicated,
capitalization,
in
1956. This capital structure, laced *
with leverage for the equity, con¬
of

as may

quarter century In '

Ilarriman Ripley & Co.

emerging

sists

be obtained in

want to

is Missouri Pacific,

spent almost

may

undersigned,

Pacific

railroad

pro¬

this
market, and by no means devoid
of capacity to advance in price.

creat-

Paine, Webber, Jackson & Curtis

Bacon, Whipple & Co.

bonds

Class "A" common

and

;

Lee Higginson Corporation

Incorporated

Reynolds & Co., Inc.

Blunt Ellis &' Simmons

•

debt of $572
by
1,871,957

A. C. Allyn and Company

Incorporated

II. M.

Bache & Co.

Byllesby and Company
•Incorporated

•

Fulton, Reid & Co., Inc.

-n'

n>
}

March 1, 1960

Manage¬

Janesville, Wis.
-

offering is made only by the Prospectus.

Company,

aHmia

year.
an

Feb.

neaaquaners

expendiThis advertisement is neither

away

Vice-Presi^-

Milwaukee

tation ratio, 31.4% in 1958, against
about 40% for the average Class

.!Cials'

motor

give

forward

" "

Mr;

dent

gained a considerable
reputation
for
operating
effi¬
ciency. The best evidence of this

improbable that they

abuse

■'

Haugan

Haugan passed

has

ment

permit coercive tactics,

anHr^enbon *nb) Private business
dina 1+^1Pr!0Per decisions to prejuipi
"iterests they represent,
arp
f lrderests of all these groups
com/™ ? arp cont'iict. in ..matters
dpr-ic? be^°rc the Commission. A
of
°n' at times, can hurt some
doll irc1 \S tl^e tune of millions of

ers

Grande

,me1mbers- They arG in\a ?rt' caPably Staffed and

improvement

scheduled for this

operations

preserve

can

million rolling stock

Rising
industrialization ;; a nd
population in the territory served,
the fine physical condition of the
property, and a considerable ex¬
pansion
in
piggy-back
freight

iron deal¬

tne

ciations

$5V2

road

tures

represented: in
scrap

the

and

Addison

•Addison

Straus, Blosser & McDowell

;

The

(968)

R. W. Pressprich

Growth

growth rate and pros¬

vidual

facts

million

foreign

and

domestic

new

with an 800,000, above or

cars

Excluding imports, the corresponding esti¬
is 6.9 million cars with 5.8 million for model

below, margin for error.
mate for domestic cars

and 6.1 million for the calendar year.

year

1929

peak of 10.3% in 1955—from
which peak it has receded somewhat.
While domestic shipments

likelihood of a 1960 registration of 7.4

demand for cars, and to the

spokesmar»

prominent

This

not

increased, .stature

bile

non?S!ntiv

K«v

production

nas;

consistency;

wider swings man tne r eo-

shown
eral

Keserve

requires
years and

nnfv twS
from

down

Moving

which brings a

illustrations.

gain of 34.4%

hieh Doints to low points between

1957 and 1958 the Federal Reserve

ten

years.

International
chines has

mobile

1954

Malcolm

Brown

past. In the
best
seven
years
of the 1920's
(1923-29) the domestic shipments
of automobiles made in the United
States averaged 3,629,000 units. In
the best seven years of the 1930's
best

the

3,501,000.
of

years

seven

(1953-59)—estimated

minor extent—it was

the
to a

5,898,000.

from

equivalent to
That
growth started from the relative
stagnation of the 1930's. Over the
30 years separating 1923-29 from
1953-59 the growth was equivalent
in

this

figure

was

2.7% annually, compounded.

annually,

only
1.6%
pounded.

com-

concurrent

families

population, domestic shipments of
automobiles averaged 119 in the
years 1923-29 and averaged 119—
the
same
figure — in the years
1953-59. In the years 1933-39 this

reached

industrial

Again,
The

wiil t>e difficult to take percentage points of market penetration
away
very

from Ford — now again a
' strong
competitor.
Ford
take a greater percent-

may even

widely than those
in general,

Dow-Jones

age rose

details

presents

now

only illustrate.

Industrial

Aver-

106% from its 1953 low to

its 1956 high. Corresponding moves
were

202%

General

for

and 80% for Chrysler.

Motors

American Motors and Studebakercan

prominence the perpoints thus to be trans-

recent

ferred to General Motors would
not be a heavy consideration. And
the public interest in compact
cars
implies that the trend to
large
and
elaborate
cars
has
reached its peak.
Regardless of possible further
growth the cyclical characteristic
may well predominate in the next
two

three years.

Predicting

number of

at this time of

time, in the
cars

ally high

322

1932 to 1934_.

214

1938 to 1939_.

155

1949 to 1950_.

1954 to 1956.

193

dis-

unusu-

the

cars

».

Cyclical

thousand families.
This was
unusually low three-year total,

Swings Are Wider

The

1920 to 1921

1929 to 1932_

—33

—70

—54

1937 to 1938_

—34

units.

1948 to 1949_

—10

cars

7.4

most

million

That figure includes im-

retail deliveries ol domestic cais

P*sp°sablrp
tions were

dealers were short of cars and
unable to deliver,
The flow of cars to dealers re¬
sumed in good volume in the first
week of January and was first
reflected in retail deliveries i

taking the thiee preceding
^ears lnto account. Jbls 1S a us?~
of
ar?a *n
whl(?h the fl^.re 'will tall in the
coming year. It also demonstrates
that
prediction for the coming

the

cannot be closely accurate.
•,

about

figure, I would guess,
as 800,000
above

below the 7.4

rate
and

Feb.

ended

month

the figure became 6.15 million.

332

much

million

January

in-

an
annual
deliveries

indicated

5 55

based

only

were

reporting

10-day
January.

whole

Registration

an8re

There

second

terval

became 4.05 million on a December base. These low figures of
course reflected the steel strike.
Production was impeded and the

of the year

results. Retail deliveries in November alone indicated an annual
rate of 4.47 million cars.
This

Estimated

reliable indication

and 1957 and 18.1 in 1958—the
lowest during the 1950 s.
Tenuous though it may be, statistical justification exists to say
that the spread of 13.2 in the
numbei of new-car registrations
per million of income can be reduced to a sPread of about 5Yz

Offers

23.6 and 23.4 in 1956

With deliveries continuing at
^"a^ ra^9 ^e;y should total soaic
5.8 million for the 1960 model
year and some 6.1 million for the

This is at the bot-

calendar year.

torn limit of the margin for error
already noted
A reliable fix on the model and
calendar year results must await
the actuaj^ figures at least through
,

By that time the projections may work out well within

March.

the margin of forecasting error.

million.

—10
—13

Changes in

rest

upon

tion

industrial

Industrial

Index of

production

Production.

the Federal Reserve

lines

and

I b;

rest

Index

Ward's auto

SOURCE:

Lionel

Edie

Oh*, from Preceding: Hijfh

I>-J Ind.

CUR.

Auto

and

sonally adjusted) in lines 2 a, 2 b, 3 a and X b;
auto production
excluding trucks in the other
|

the

Federal

and

truck

;

(2)

Truck

—

—89.5

—91.7

—96.3

Now,

Ratio

CHR.

3.95

17.5

-—

3.13

6.2

——

the

compact

ford
/c

returning

year

sequence

cept

permits

901.0

2,675.2

6.57

35.4

—74.5

4.36

18.1

mobile demand

63.0

122.6

166.8

5.95

29.7

Limits

1942 Low
1946 High

—41.7
—41.7

—49.6

—55.9

5.15

22.4

tablished

130.2

swings

1960 High

Low

-IIIII

238.8

6.28

33.0

—40.6

—46.6

4.95

23.4

83.8

192.0

160.4

7.83

38.4

—13.8

low

1956 High

180.9

—24.8

—23.1

—42.6

7.02

22.1

106.2

202.0

80.4

10.30

19.4

12.08

—20.6

—38.6

—56.7

—43.4

7.95

10.6

8.62

64.5

77.7

65.1

160.3

8.59

10.6

13.63

any

the

1961

reasonable

highly

can

and

probable

SPRINGS,

Colo.—

opened
South
Eighth Street under the manageSecurities Inc. has

Western

branch

ment

1701B

office

Hereford.

Richard

KtMAr

Wow ^antield & LO.
OKLAHOMA

CITY,

Okla. —The

name of Calvert & Canfield.
Hales Building, has been changed

firm

Canfield

Canfield is

Company.

H-# D.

principal of the

firm,

Now J. O. Funk Co.
Okla
James O^ Funk

TULSA
Co

has

at 420
tinue
Jannes

—

been

formed with

South MaS
the
O

offices

Street to con-

investment

business

es-

Funk

1962.

tll

loins

^hearson

JOmS ^nearson»

Hcimmm

seems

I960—it
that

York

(special to thk financial chronkxe)
CHICAGO, 111.—Roger A. Stefnny

car

has become assoclated with sne ^

assumptions—but

strong

COLORADO

three-

and

41st

1961

probability
for

including
—-

1960.

three-year
sequence
should build up through 1960 and
1961,
tending to
restrict
3uto*

—66.9

_____

they

The

1960

382.2
8822

1953 High

before

Western securities Hrancn

well

least to

concept, that conspeculation beyond

—50.2

Po-

may

1960

cars

into

1938 Low
1938 High

Low

1959

until

spilled them
GM

-r

product stimulus.

(3) The steel strike undoubtedly impeded car sales in 1959 and

Low—

—

con-

bought.

FORI)

—

buyers

see

(sea¬

%
-

new

American Bankers Association, New

general

rise, as in 1955.
has a basically new

have waited

lines.

trepida-

that

and

City, n. y.

some

recovery

...

*A talk by Mr. Brown before the 4lst
Trust
Conference
of
the

Mid-Winter

the

Ford

tential

Company

note

deal of

Produc¬

TTT

to-

design in 1960 and each of the Big
Three
is
offering compact cars,
These things add up to a great

Reserve

production

will

fidence

seasonally adjusted

upon

tend

high side of the above

(1) Perhaps with

Changes in automobile production

Board

upon

will

business

—63

Board

to believe the
jn

demand

the

Wards

—60

1957 to 1958.

reasons

are

Car

range.

1953 to 1954_

1957

new

volume

probable

' umts1957 and
As the model year progresses,
of Real projections based on seasonal facooVf^iotfi
an increasingly

—71

5 b

1953

year

There

—82

4 b

growth of automobile production has often been overshad-

owed
by
http://fraser.stlouisfed.org/ wide cyclical
Federal Reserve Bank of St. Louis

istrations of

'preceding
yfars Preceaing

tne ta.iee

tion

1946

paper, a fore-

!956' ^ g J
preced- —tantamount to new-car regising 1958 the registrations of new trations excluding importscars remained virtually constant would be 6.9 million. The error
at record levels. 392, 390 and 393 in either of these figures might
Per thousand households.
This even be as much as three-quar-

new

Declines:

1929 High
1932 Low
shift, 1937 High

age

in those

earnings

cars

that younger

represent

proportion

in use.

Production

—%

rather pronounced

come

per

can

Automobile

earnings

prooaoie

cast for. 1960 at this time of

one—and

Production

car scrappage with a con¬
sequent lowering in the average
age at which cars are scrapped.

tribution

probable

As noted in my

Period

rate of

year

1921 to 1922_.

(2) A significant increase in the

registrations in the three preced- is entitled,-to a large allowance
ing years was equivalent to 333. for error. The paper puts the reg-

demand

Increases:

(1) A substantial acceleration in

(3)

automobile

Industriai

combination of three
developments:
the growth of the
in use.

the

car

registrations of new cars per 1,000
families in the three years 195759—almost the lowest three-year
sequence since
1947-49 and a
sponding moves were 78% for that 1958 would witness the low- trifle lower than the three-year
General Motors, 65% for Chrysler est production since 1948.
sequence preceding 1955. On
an(j i60% for Ford.
As of a reIn mv own thinking I out eonthat basis 7,4 million seems the
!
-1
?• imnKmg 1 pul con' most probable number of new
c
e Dow-Jones Average siderable reliance upon the pro- cars to be registered in 1960. This
has dropped 7% from its January duction or sale of cars over a figure is not a precise prediction,

would

growth

new - car tne

I mean no one — came close to
predicting the bonanza car production of 1955 or to anticipating

Ford.

earn

year

Prospective Automobile Demand

The Dow-Jones Average
rose 65% from its 1957 low to its
high in January 1960. The corre-

were

some

at least for

This holds for

all the passenger car builders,

early in the year is chancy business.
We need only to note that

NB:

rate

be pushed back from

Corresponding moves
39%
for General Motors,
for Chrysler and 43% for

significantly

new

million registrations of new cars
occurred when the total of such

The actual

The realization of
increased

Even if

realized in recent years.

The Dow-

low.

fluctuations

The

the market.
Chrysler, it
can be hoped, will at least hold car registrations in 1956,
its penetrations within the range J958- ^or each million

Jones Industrial Average dropped
20%
from
its 1956 high to its
1957

fluctuations

The

age of

centage

stocks

paper

will

can

than $4.00.

Its paucity contributed to the high

peak of 53% in 1956.

their

automobile production the market
values of automobile stocks have

1955-59.

1955.

Consistent with wide swings in

fluctuated

General Motors

earned by

Conceivably

registrations largely reflect the years,
number of relatively new cars
w-4*.
in use. The 1955 record of 7.17 Concludes With a Margin for Error

^Further ■ substantial growth of
this nature may be questioned. It

growth rate

require

industry's

the

about

production in 1929:.'This ratio

Percentage Changes Between High and Low Points

has evidently
not increased significantly in re¬
cent years.
Registrations of new
cars averaged 5,364,000 in the five
years 1950-54 and averaged 5,868,000 in the five years 1955-59—the
latter again estimated to a minor
extent. The gain in the five-year
span separating 1950-54 from 195559 was equivalent to only 1.8%
annually, compounded, the regis¬
tration of new cars per thousand
families averaged
118.3 units in
the years 1950-54.
This average
rose
only to 118.8 in the years

cars

high

adjusted

Wider Swings in Auto
Stock Prices

figure fell to 79.
The

34%. 0f

{or

Packard

57%

exactly
equaled the growth in population
expressed in families.
For every
This latter figure almost

thousand

seasonally

which

20-year span separating
1953-59 the growth

the

1933-39

in the

rate

(1933-39) this figure was
1950's

low

production was 193% from a seasonally adjusted low in 1954 to a

automobiles has not attained a

For

in-

Index

from

20%

auto-

dropped 63%.

Reserve

high in 1956. The corresponding
move
in
automobile

gain
in
a
single
year. The unit
production of

ten-year

growth

creased

while

13%

production

Federal

The

ex¬

that

ceeded

dropped

Index

Ma¬

Business

Motors wtihin the automotive industry .General Motors accounted

oiinausinai

index

bling
23

General

car

dou¬

...

one

which

last 40 years

Over the

highly im¬
pressive rate.

Motors.

^hyfJ^lrh^r

General

1947-49
The stock should, then, have
13.2 cars the support of strong earnings in
The high- 1960. With such earnings favor-

per

fhp
whirh
at their extremes over the
These facts reflect inflation, the
f°r the
^ -tnessed thl Postwar trend towards larger and
industry has piedict
*
7 q2 miiii0n cars in
more expensive cars, a growth in
mobiie production or demnd wiU
State?^1^195^3^ Ii4 truck production, diversification
grow at 3 /c annually, compounded, foe United S
s
.
t0 some extent, and, of course, the
million in 1958.
,

$3.80 per share to be

Income • on a
basis. That is a spread of

Personal

to a

the possibility of encouraging

three-year sequence in production, to

Genmedian ex
pectation for I960 registrations of
new cars warrants an estimate of

million of income.
figure is 73% above the lower, able dividend action would seem
Moreover,
the lowest new-car a possibility, probably late in the
registrations per million of real year. That also would bolster the
of automobiles in the years 1953income occurred in 1958, when price of the stock. But in 1961 or
59 were 68% greater than in the
Disposable Personal Income hit a 1962
General Motors earnings
last seven years of the 1930's, the
new high.
The highest new-car may again be down to $3.00 or
dollar
sales
of
General
Motors registrations per million of in- lower. The stock may then recede
rose
by 825% over the same pe- come were attained in 1950, when relative
to industrial stocks in
riod.
real income was much lower.
general as it feels the impact of
Average in

Industrial

Jones

generally. Further, he calls attention to a

values to industrial stocks

Motors stock

imnr

eral Motors only. The

Over the last decade the year

than

less

from

respect to automobile stocks. Mr. Brown tabulates

Market

For brevity I will mention

by year registrations of new cars
have swung from 18.1 to 31.3 per
million dollars of real Disposable

widely it has risen
4% of the Dow-

has fluctuated

the wider
of auto output to FRB index of production and of auto market

swings

companies.

While the General

pects, the cyclical nature of the industry, and the possible volume for
1960-1962—all of which have an obvious bearing on investment poli¬
cies with

tend to obscure
concerning indi-

remarks

.. ,

Stock Market Impl,cations

three-year interval had a depressing effect upon car demand
jn the fourth year. This has again
become evident since 1950.

Motors'

General

Scrutinizes

|
historical

market analyst discusses passenger car

in 1962,

October)
'*

Thursday, March 3, 1960

It was evi- much lower figure is conceivable

interval.

has three-year

And Investment Implication
Auto

Chronicle

dropped
15%,
Ford .15% ... and. dent in the 1930 s and it was eviChrysler 14% (the Chrysler stock dent to some extent in the 1920s
was
off 22% from the high last that a large volume of cars over

Industry

By Malcolm I). Brown,* Research Department,
& Co,, New York City

Motors

General

while

high

The Automobile

Commercial and Financial

new

registrations will return to the 6-

|a"je s™e'et.

million

merly manager of the Indianapolis
office of Francis I. du Pont & b •

level

1962.

the

strength continues through 1961

Mr. Stefany was

ior-

Number 5930

191

Volume

The Commercial and Financial
Chronicle

(969)
subject of the speed
investments and

The Outlook for Banks
And Finance Companies
Elliott Fa it,* Vice-President of Girard

By F. w.

bulk of bank
rates within

banker

anticipates

which
For

banks

bank

still

have

Mr. Farr singles out

well—but

1960 and

the

look

curred,

well into 1961, we
forward to a -continued
rise in earnings for the banks—of
a
similar order to that which
took place in
1959. We are, in
fact, witnessing the culminating
phase of a cycle starting shortly
War II

after World

tend

decline

which the

only 41%
low

ing and borrowing on the part of
'

econ-

Two

Diametrically

Opposed Types
Banks differ

much

volume
and

when

decline

line

and

What

because

but

again,

few

unit

interest

brinks will be able to

Banking

good deal in their

not

gross

basis.

should

Analyzes

were

of gross—just about as
be found
anywhere.

increased

°my.

1959

But, in the past few years, costs
have been rising quite as
rapidly

almost all

the

can

oc¬

probably
though in¬

stay up because of
the
almost
inexorable trend of
costs.
Morgan
Guaranty's costs

absorbed through spend¬
segments

that has

rates

before income taxes

rates

any

shrink costs

about *■

margins will fall.

are

saying is that
Morgan Guaranty's earnings will

changing conditions in somewhat
different ways."In order to
clarify

peak out at say $7.00 to
possibly
$7.50 in 1960 and 1961 and* that

some

the

after that earnings will be
very
sensitive to any downward
change
in
interest rates. Since a

important

things that have been happening,
let us look at two
large but vastly
different operations
representing
the antipodes of types in our
sys¬

$5.00

dividend

sound,

Bank

the

typical

America.

form

to be known as

while

the

sence

The

what

other

the

between

The

the

two

poles of

banking success lie the
positions of almost all other lead¬
ing banks. Perhaps
of the

some

poles will help

stand the

the banks

which

most

stray too far, we will
confine the brief
analysis to what

since

1955

cline.

show

This

moderate

attributable

de¬
to

South

and

West

and

the

un¬

doubted fact that
large corporate
depositors now use idle
balances

the

money market rather than
them at the
discretion of

eave

banks. In spite of the
deposit
trend, however,

Morgan

Guar-

ha*~S gross ir!come in four

Jno?1m?)' '-las increased
n%. This
is

largely

increase

years

I01,V^aYerage
4.20%

of 2-81% in 1055
1959—up 49%. That

ile!ld

vpni

4 707

ls continuing is
an
average
rate

re-

achieved.

iqnlat "et °Perating

nuiph

iQ-q

mcrease at

and Probably

the

rate
brnhtaki

still

esti-

earnings
least as

rose

kni

ni0t

•

behavior

(1)

for

reasons

this

strange

these.

are

America's

deposits are savings and interest
paid has been increased from 2%
to

3%—up 50%.
(2) Retail interest

high

and

they

are

charges

relatively

are

inflexible—

insensitive to changes in

Mortgages—often
of

the

retail

large

bank—

over

(4) Many retail banks have had
tendency to carry longer matu¬
in

their

investment

;

Since Bank of America has had
more
delayed reaction
change-in interest rates,
a

lows that the
the

rise

long after
the

continue

has

banks which

over

the

fol¬

stimulating effect of

will

shot
are

its

felt

bolt

able to roll¬

rapidly. Combined with this

growth

Bank

America

will

persist long after the earnings of
a cvclical adjust-' Morgan Guaranty have rounded
a secidar trend. And off and perhaps begun to decline.

on?~term

investment

recfi'" n!eW ii. is very important

n!nr

for

sh{r,/!Pp,roaYhinS

difference.

Growth in this

real, not just

case

is secular and

cyclical phenom¬

enon.

,nterest rates and
Will
from this source
itfVestmVnt/i soon as loans and
s

Speed of Roll-Over of Investments
and

('0mp

rolled

over

At
be

Loans

digress briefly

take

if management

simple ex¬
$10,000,000

has

par

2I/2S

will

roll

the

over

bonds

loss

sold

are

now

1963.
at

93,

loss of $700,000 must be
charged
reserves
or
undivided profits
but the return will
a

immediately

jump
due

May

$410,000

reinvestment in say, 4%s
1964, from $250,000 to

gain of over 60%. Since
yield to maturity on the two

the

bonds
the

involved
in the

same

the

switch

the

market, the switch

washes out the. effect of past mis¬
takes on the income account
by

accepting
long run

same

gain

the

since income

will

eventually balance off
capital loss but—and this is
important thing—such port¬

the
the

folio

shifts

ings and
one

loss in capital. In the
it
will all
come
out
way

distort

current

earn¬

unjustifiably make

may

bank look better than another

for

a
period. In comparing earn¬
ings now being reported and those

which will be reported in the next

year

not

erating income
comparison.

as a

reported

op¬

valid basis for

dustry

Eaton
I

briefly

the

funds

becoming more cyclical as
profits are becoming

costs rise and

dependent

upon

forces beyond the control of man¬

agement. Thus it is no longer
satisfactory to regard a bank stock
a sort of preferred stock which

Howard,
nation-

c.,
-

ment

kno

agers of Eaton

fortunate

heeled

counsel

members

Howard

Balanced
Fund

assure

times

bad

minimum
and

personnel

than

often

larger

true

Eaton & How¬

ard

extent

banks.

ing

permits the industry to get profit¬
business when it is available
whereas
banks'* deposits
do not

adjust

to-loan

with

de¬

The banks pay for
money
all the time in the form of service
expense and saving bank interest

whether

the

til

verted by corporate treasurers
loans to the credit
companies!
The

result

the stocks of

panies

vastly

tional

the future,

investors

better

bank

to be

that

than

stock

tradi¬

tunities

which

passed
that

by.

the

about

to banking

they

This

finance

into

oppor¬

not

decline.

aggressively and ably man¬
aged, they have know-how and
they have a demonstrated ability
roll

rated

with

the

office, 25 Broad St.

Stryker & Brown
Admits Sheriff
Stryker
&
Brown,
50
Broad
Street, New York City, have ad¬
.

mitted Leonard
eral

Elmer Powell

Admits Partners

punches. The top

companies

can

counted

PITTSBURGH,

upon

Powell

Ferrero,

to continue their growth on
profitable basis. In
1960, the

auto

finance companies should do

well,

the

small

lean

companies

less well. For the
long-term, both

sponsored
cialio.i

Council,

by Mr. Arpaia
at
the
Transportation Futurama,
the Transportation Asso-

America

Boston,

and

the

New

England

Mass.

new

ex¬

sud¬

were

run¬

widely be¬

lieved to be

rate that would

support 85% of capacity oper¬
which

ations

not

level

profit reports for
companies. Yet more

good
steel

reported last year was a bit
misleading since the company
listing a trim in steel
had strike troubles that cost
operations as one of the more
it an estimated dollar a share.
damaging aspects being dis¬
If this strike cost was added
counted by the market.
to the actual results, the com¬
:!•'
*

market
not

than

commentators

were

The gloomy aspects of the
were also being

auto business

Group of the

Bankers

Association

duction

America

will hold its annual, spring meet¬

ing

March 11th (Friday) at the

Kansas

City

Club,

Kansas

City,

Missouri.
Guests will include:

James J.

Co.,

Lee,

President

E. Hutton

the

one

than

make

models

.1960

for

million

6V2

rather

units

would

market

circles

total

the

year

the

to show the
pail y

c 0 m

making.

the

tor and

over

than

the

•

ran

because

they

the previ¬ the most in

year.

ris,

Research

Frank E. Mor¬

Director

Guest speaker will be Dr.

the

rather

Kroger,
resisted

Rodgers, Professor of Bank¬

ing New York University.

of this year.

third largest chain,
the January selling in

good style and started to show
seme
demand in. February.

company's fortunes have
on
an
upgrade that
makes it something of a can¬
ness
spending for expansion,
didate for an improved divi¬
seem to have been ill-founded.
dend. Current payout is only
a
bit more than half of last
Margin Expectations
Premature

The

been

year's profit.
'

The

one

facet

that

i'fi

was

that hopes
Foods are usually in favor
margin re¬ when the outlook for the gen¬
quirement, currently 90% for eral market is clouded, the

somewhat real

cut

securities

Ray¬

favored

had
and
have held for
tight range de¬

spite the selling

would result in curtailed busi¬

A,;

Assistant General Counsel

were

being both because they haven't
down-grading much popularity recently,

imposing 80 points for the in¬
dustrial : average in a short
span of half a dozen weeks,

Municipal Direc¬

of the I. B. A., and

•

Food

rather

decline, which

real progress
h as bee n

Foods Favored

comfortably better

than 1959, but the stress

year
in

the

■

Gordon Calvert,

have

gain in

69%

favorable

the

headed

seems

ous

investment
of

been

would

picture

pany's

profit on a 10% sales im¬
provement to reflect the com¬
implications ignored. Autopany's work ' in striving to
men
in
their
annualJ state¬
ments
have been ; optimistic improve efficiency. And obvi¬
each year,. The fact that pro¬ ously that leaves it up to this

stressed,^with

;Fears that the stock market
western

the low-priced,

for food where

high- competition situation
doesn't prevail. In addition,
the
the drop in earnings actually

improvement

CITY, Mo.—The South¬

Actually, Riegel's forte is
packaging materials

flexible

that would interfere with

IBA to Meet
KANSAS

$15
mill,

field

to the

was

with

million invested in a new

paperboard

apparently willing to face up
competition.

❖

orders

placed

Group of

orders.

new
*

S. W.

ning at what

the

mond

desperation.
1 have tried to

shutoff in
❖

public
in¬ A

its

make;

transportation

separate overlapping agen¬
the work now performed

den

And

diversions

the

Company

cutback, opera¬

cessive inventories and

plan.

proposal
does
not,
of
course, in any way preclude the
improvement of procedures and
processes of regulation which the
Commission is actively and ener¬
getically pursuing.
On the con¬
trary,
it would encourage and
promote
such
improvement by
affording the Commissioners the
time necessary to devote to such
This

ends

prospects

less guaranteed,
where there had been miti¬
more or

were

high pace.
Riegel Paper, for instance,
The practice of steel consum¬ is one of a
group that has had
ers
of keeping their inven¬ little widespread approval
tories on the light side was with
prices of paper products
weighing on the market, but abnormally low, competition
actually was more encourag¬ keen and profits slim. Riegel,
ing to constructive market nevertheless, charged into the

the limits of this paper, trying to

for

Businessmen
are
realists.
They want decisive
and
prompt action, since plans
involving considerable investment
often depend
upon
them.
They
don't want more red tape, delay
and the opportunity for pettifog¬
ging
As a matter of fact, the
complicated set-up proposed by

to be

was

tions continued at

accounts, etc., are adr
ministrative, the eco#(bfyiic experts
and the cost study - experts now sentiment than would
vision

by the Commission.

the super¬

reports of carriers and

necessary

experience of
many years,
as a
transportation
student, practitioner and member
of the Commission, the only sub¬

some

business declines.

If there are
if there are
insects, you fumigate.
I conceive it to be the duty of
a
public officer to explain the
strengths and weaknesses of our
regulatory processes, not on the
basis of pique or personal philoso¬
phy but on the basis of facts and
logic so that those who must be

ciscretion—may be converted into

weigh

con¬

essentially sound.
defects, you repair;

for many years.

must

of the

very

country and other countries. This
is a condition we have not faced

Hence

untried

some

plants abroad — we
have been running a deficit in the
balance of payments between our

gold

publicity.
problems

of the

commission."

don't tear down

for

which—at

the

"born

with him that the machinery
regulating the economics of trans¬
portation should be uprooted for

possible foreign
claims
it. Today, however, for
many reasons—swollen costs and
prices here in the U. S., declining
exports and rising imports, liberal
foreign
aid,
sizable exports of

balances

that

are

trative

against

dollar

quit

CAB,

agree

any

capital

separation of functions.
It may
be that, although annual and other

short

cept of the independent adminis¬

comes,

excess

the

dramatic valedictory which

considerable

CAB

credit struc¬

the

claims

about the gold

our

with

got

the FRB's recession-

to worry

attacks

have, been

agencies

with

fighting power. In previous re¬
cessions, our money managers did
not

the

jettison

Hector, who had

Louis J.

that changed

conditions

financial

world

slump

find

all

from people who had little contact
with
them.
On SepL 10,
1959.

potency

well

may

Cir¬

to the

would

who

independent

not be too
results
will

Slump Comes

When the Next

District

Federal

recently,

those

after
them too long.

lose

cases

Courts.

Until

bring on another recession. Busi¬
ness
can
develop immunity to
these
Fed
'•pills," just as
the
doctor's

of 44

out

the cases appealed

another up¬
the
wage-price

turn

decided

cases

Courts have been reversed in 23%

mean

spiral,

combined,

comparison,

recovery.

manner

ward

distant

most

the merits

appealed to the courts in the fis¬
cal
year
1959, the Commission
was
reversed in only 16'
By

these re¬
and for turning

periods

that

Now

given

civil

the

disposed
on

cases

all

States

keeping

for

In fact,
helped to

during the same period by all the
Federal
courts
of
the
United

comparable to those of 1937 and
earlier.
However,
the
Federal
Reserve

than

remotely

even

have

ICC

the

Although

its predecessor,

been

procedures.

formulate them through the years.

in the Offing

there
for each

Although

its

themselves

they

appropriate

the

outline

eral

practice before the
satisfied with the fair¬

who

Those

versely, the Fed restricted money
and credit whenever spiraling in¬
flation

tion

Administrative Problem

to curb the de¬

the

either

where

Perplexing Steel Outlook

The steel picture, particu¬
or
larly, was onp;^ where the gating circumstances in the
gloom seemed a bit excessive. 1959 picture to make a bright
Despite widespread p r e d i c- 1980 showing highly likely.
tions that the pipelines were
full again, and steel produc¬
Enterprising Paper

lick us.

taxes, and labor may

The Brass Tacks of the ICC

we have
recessions—

1949-1954, and 1957. In each case,
the FRB hastened

been

wake

Russia, inflation,

sup¬

II.

War

business

three

history.

recent

Since

the

Unless we

win?

fear of

the

up,

conclusion

Tr.is

cessions.

none

gold.

Whatever the cause, heavy

than

serious

corporations "gave in" to

barring anything more
occasional mild re¬

and

had

time

thereby
reasonably in

progress

keeping
hand

managers

tightening of money and credit
by the FRB can eliminate the
dangerous hills and valleys in our
economic

adopted

was

the

purchases,

were

least premature. There is con¬
siderable doubt that easier
credit

terms

would

inspire

reason
being that 'consumer
spending starts with food

items and holds up even
other

spending

when

curtailed.

Number 5930

191

Volume

was

loice

Course at N.Y.U.

atso

arranged by

been well neg¬
where Falstaff and

NYU

Which have

the

lected to

connection

Stock
more

than

the

New York
"Exchange yield 5 to
6 'A

QllaVklfi

new

International Brew-

such as

*:<"'

Zx r"-% t"

tRc*

course

Lawrence

Jr.,

Stock

with

the

was

request

Exchange
plans of

authorized stock

ex¬

and
subsequently
to
trading in securities. The
uauillg Ail DCtUliUCS. AUC

exchange

was

incorporated

the

School
and

Creation of the training

: /•*. ■} ••

nil<;

';v >1; i

course

Department
of

Commerce,

and
onri

inic

the

curities

and

that

carry

Harvard

Chairman

the

Exchange

O'Keefe,

will

School

IvOmCO Jr.
Romeo

faculty

Petronio

Dom¬

Com¬

passed

who will act as course co¬
ordinator; Rolf E. Wubbels, As¬
sociate
Professor
of
Finance,
School of Commerce; and George

Zolotar, lecturer in corporate

School

Law

University

involved

function

•

CtroillO

Petronio,

Partner in
York City,
at the age of 57.

Co.

away

New

Form American Internat'l
EAST

rities business from offices at

organization, NYU School of Law.

Se¬

The course will
29

Commis-

June

14,

run

Blake

Hill

name

from March

with

AURORA, N. Y.—Carlton
Phillips is engaging in a secu¬

re¬

Road

under

American

had

••
»'r

thatwthd^Tillr.£
f>

lean; mostly? on4; pa-y
tience. vV The
well T depressed y;
items in the group continued;
to sink, a good shared of The !;/daily ,; new : lows
being: oil^i;'^ ';'
stocks on any general market
to

selling/

•

Fund
The

■

Selling of the Oils
persistent

selling by
big investment companies,
many of whom had built up

the

their oil investments to
or

better; of

the

fifth

total

port¬
after World

folio in the years
War II, seemed to be

slowing
enough to
hearten the would-be oil
buy¬
ers. Here the
selling has been
accentuated
although oil
down

but

not

/
:

stocky still

are the chief hold--'
ings of several of the -largest

funds. Where'-the. funds

.y:

were

making-5sharp;- reductions Thi/--r iZ$£.
their oil
positions in the first
half of last
year, by the final'
quarter the,
selling had dried
up

W/
//;/ ;* J' ;
-

sharply and the largest

the mutual funds
reported no
sales at;air irr the? final
quarter. But until more concrete

signs of

was

accu¬

selling

came

able to trim
prices

n0t

necessarily

C'fP with those of
,v "rc presented

outhor only.]

any

high frequency radio
overcome

this, it

may

timid

were

ivaves

telephone and television signals travel in straight lines and refuse to follow the earth's curvature.

well be practical and economical to send them over long distances by using earth satellites as relay points.

along
easily.

[The views
expressed in this article
(to

;r;

The

about-turn

mulated, buyers
und what

;■?;//;? •

time

coin-

! P

Telephone Calls and TV Shows by Way of Outer Space ?

the "Chronicler
those of

the

Maybe
<

Forms Investment Co.

^TERT°wN, S.
tment business
?r":w "

now

<**«.

Harvey

being
200

Kemp.

phone service.
.

Now Bell scientists

looking
ahead to an extraordinary possibility,
until recently only dreamed'of: the
sending of telephone calls and TV

tin! lri? main'ains a branch ofSoma n! F.&M Building, Huron,
office
' f°rrnerly the main
Now Street & Co.

with01
New
invent

across

Inc' bas been formed
PeS~at 44 Wal1 Street'
f° continue the

Wui!s inbcUSineSS °f SheftieW

Harding

Tulloch Opens
Pr,J!!"!C'alThe
ChronICLE)
Mass.-Peter Harding

businessconducting a securities
Street ima°m affices at 50 State

"aMingTulfoch&cT name °f

Bombay-

Under

construction

antenna
.

foreground is

new

which Bell Telephone scientists hope

oceans

and voice
means

signals
a

are

ground:

forthcoming tests. Back¬

Project Echo transmitting antenna.

the U. S. by

via earth satellites.

explore this idea, Bell Tele¬

phone Laboratories scientists are
presently working hard on the com¬
munication phase of Project Echo.
This experiment, sponsored by the
National Aeronautics and Space
Administration, seeks to reflect radio

BELL

TELEPHONE

human voice from New Jersey to Cal¬
ifornia via one familiar satellite, the
moon,

and also

hundred miles

sent

signal several
of an alumi-

means

nized balloon.

Many features of the telephone
we
take for granted today
once sounded as
improbable as this.
But working always on the frontier of

service

science is

that

one

service

nomical and

of the ways we

convenient,

enjoyable for

ivill receive signals reflected from earth
satellites during

across

100-foot satellite.

Recently these scientists relayed

•

■

Copenhagen-via satellites!

Over the years imaginative research
has vastly imprqved your Bell Tele¬

conducted

East

day you'll get phone calls from Brisbane

live TV from Caracas or

Dak.—The inof

some

SYSTEM

you.

the

175

firm

International

Investment Associates.

two-hour

ihvesttoht;>^^ard";giant section of the economy;,
;the story was

national

merce,

lecturers will be Ed¬

C.
Gray, Executive Vice
President, New York Stock ExriCMUCAlL, iMCW
lUlft. QIUL'A IliA"
change; James H. Landis, former
of

York

members

ward

former

economic

securities exchange.

deal¬

Fvohonoo fnmmieeion
Exchange Commission.

Finance.

The guest

investments, corporate
exchange
operation,
mechanics
of
securities
trading,
State and Federal
laws, and the

Accounts; Oliver J. Troster
Singer & Company,

New

NYU's

Accounts

financing,

ers;
and Paul Windels, Jr., Regional Administrator "'securities

and Professor Hobart
and Professor Hohart
Chairman,
Banking
and

Finance

classes

Troster

securities

Subjects covered will include

p.m.

partner, New York
Ernst & Ernst, Certified

over-the-counter

course;
course:

Carr,

meeting
on
Tuesday
nights at NYU from 5:30 to 7:30

resident

office,
of

sessions

York, in charge of the Se¬
Bureau; Harry F. Reiss,

Public

Industry, New York
whose office set up

University,

dean

ny* *

the

was

and

The logic behind
favor is much the same

frwllrkw^-rc

new

were

Taylor, Chairman, and John W.
Clagett, President, National Stock

6 Harrison Street in Manhattan.

Exchange.
their

the

iasj. September and is located at

the American Stock

eries on

initiate
lluwalc

to 7/2 /(} are avanaoie

gov-

Exchange to apply for regis¬

change

And returns

National

tration

of lip
in

the

Drewrys

curities

public

New

Business and

bit of dis- ing figures in financial and
ernment circles. The course
brewing issues ernment circles. The course

of the

for

plans
made

were

sion; Carl Madonic, Assistant At¬
torney General of the State of

Exchange; -Aaron Feinsot, Direc¬
tor, Office of Special Services to

Brewing Stock

There was

jointly by the
Exchange
and
University.
Present

Stock

York

when

Interest in
l

»»">-

(973)

J announced

National

work
a
fourth in the last The opening of registration for
special stock brokers course was
w

several ycsrs.

was

New

Sr5TuV"»i.ik
cutting its
\>tinn

The Commercial and Financial Chronicle

. .

packershas . gpecjaJ Brokers

the meat

Swift in

make
eco¬

and Financial Chronicle

The Commercial
18

Work

forthrightly that: "It
aim of the Community,

European Integration—1960
By Donald F.

Heatheringlon,* Director, European Division
Council, Inc., New York City

shall be the

tariff

has

the over-all

economic activities,
and balanced ex¬
pansion, an increased stability, an
accelerated raising of the standard
of
living
and
closer
relations
between its Member States."

integration of markets is only a part. The for-

These

clear whether integration

too

but

was

has become — at
least in this country and perhaps

side effect of the lifting of

in Europe

ket"

only

—

one

the most over-

and

over-

field

with

c o n

with

D. F.

Heatherington

f 1 icting

conjectural opinions
as to what will or will not happen
that it is difficult to obtain an
accurate impression of what actu¬
and

neither to
deny nor discount the long-range
importance of the European Eco¬
ally is going on. This is

both

Community,

nomic

dynamic concept and as an op¬
erating organism, but it is a plea
to put the
Rome Treaty in its
proper place as one more active
economic revolution

the

force

already for some little time

that

throughout

underway

been

has

It should, I think, be
recognized that the Community
direct

consequence

and

gains

productive

the

wide-

ranging prosperity within Europe,
rather
than
the
reverse.
It
is

extremely doubtful whether the
Community as such is even now
making more than a small con¬
tribution to the renewed upsurge
of

well

very

certain

amount

be
of

providing a
psychological
moment

the

stimulus.

although

activity,

business

may

the

outstanding expansive in¬
fluence, the major propulsive, lies
in
Europe's extraordinary
eco¬
nomic
vitality,
of
which
the
really

integration movement is only one

might

any
sizable
barriers against
industrial goods. France has lately

still

maintaining

been

has

described

process

the

ac¬

ceptance of high grade materialism
which "some like to call Ameri¬
canization." In any event it would
that Europe has passed the

of quota

number

intention

its

announced

early removal of those remaining

dollar
likely to
policy.
against

imports, and Italy
pursue
a
parallel

Compelling Motives Behind EEC

Community, neither

which

separately

one

alone

and

would have been sufficient to in¬

acceptance of the proposal
finally drafted and embodied
the
Rome
Treaty.
These

sure

motives
a

were:

(1) Achievement of

permanent political stability and
Western

cohesiveness

the

that

but

continued

little

question

Community has de¬

much

its

impetus from

strong Franco-German desire

for

stimulation of

There

growth.

lasting
has

rapprochement,
been

even

and

that

suggested

same

factors, but only
from OEEC,

the

enabled Europe to
on

when

United
press

States,
forward

serial basis with the removal

entity for

been with us as an

now

little

has

Community

than two years, hav¬

ing been formally established on
1, 1958. The question that
obviously suggests itself is: What
has the Community accomplished

Jan.

The

might at
superficial glance appear to be:
Very
little.
But it
should
be
recognized not only that the task
of
organization alone has been
formidable,
but
also
that the
Community is a multi-level oper¬
ation, partaking of the nature of a
subway
system
with far more
going on beneath the surface than
above. Furthermore, before action
quick

response

taken

Com¬

either the

munity

tion,

the

and

detailed

levels,

some

been

materially dif¬

respect to this first

motive, it might be interesting to
that

note

Treaty

nowhere

the

Rome

munity

I able to find specific
political
union
or

mention

which survival in the

ments

formulated,

may

and

the

and

process

Has

Done

Been

its

tion with

national

Inasmuch

Community

organization,
of
a

has

been

illustrate

engaged might be cited
the

of
its
responsibilities. The most evident
is that

scope

all the institutions

Community have been set in
Council, the Parlia¬

motion—the

coopera¬

political bodies

there

has

been

supranational

the forerunner

true federation of states, and

decline

early

the

political

economic

enthusiasm

integration,

features

assume

greater, importances.

for

the
even

Despite

its

escape hatches, ambiguities
protective or restrictive

many

and

clauses, the Rome Treaty is funda¬
mentally

expansionary docu¬

ment, It is worth recalling again

the

Bank,

Committees

called

Develop¬

for

special
in

the

Treaty. Provision has been made
cooperation

between

the

and* coordination

three

regional groups

—

separate
the Coal and

Community, Euratom and
Community. This

Economic

includes

the

creation

Service,

Office

and

Joint

Statistical

Information

Service, and collaboration when¬
decisions

ever

are

matters of mutual

both

operates
and

taken

concern.

Con¬

ferences have been convened and

study

committees

survey

virtually

appointed

field

every

which the

Community has respon¬
sibility for developing a common
policy or bringing about a com¬
mon market
agriculture, man¬
power, taxation, capital, competi¬
tion, social programs, transport. In
—

those

areas

where the Community

is
expected
to exercise certain
"supervisory" or "police" functions
to prevent violations of the Treaty,
a

number

undertaken

the

themselves to meet most
effectively the potential opportu¬
of

nities

market,

mass

and

advantage over competi¬
response has taken the
increased

inquiries have been
and

member

suggestions

states

mergers,

cross-marketing
acquisition of other
companies, greater emphasis on
market studies, and intensification
of
capital investment programs

licensing

and

agreements,

modernization

both

pansion

recite all
that has been done, a few of the
activities in which the Community

Legal

new

dictate,

capacity.

reflected

been
effort

interest

and

It
a

ex¬

also

has

redoubled

foreign

firms,

especially British and American,
in joint
ventures and licensing
arrangements.
Nor
is
there
at
present
efforts

indication that these

any

likely to slacken.

are

Before leaving this
particular
matter, however, it perhaps should
added

to the

that

internal

resistance

Comrhunity and its possible
implications

has

completely vanished. There
signs of pressure on the
national governments to provide
protection against adverse effects
from the Community's activities
and against the coming wave of
competition. Calls for such assist¬

means
are

some

ance

are

diminish

fully felt

widely
the

apt to grow rather than
the

impact

comprehended.
or

Thus far

have

governments

would

and the consensus is that

have

appear,

they will

be able to continue to do

There

its potentialities more

national

resisted,

so.

also

bqen reports
of a tendency toward cartelization
and restrictive business practices.
A
Special Study Group of the
House Foreign Affairs Committee
has recently observed that "the
air seems to be heavy with agree¬
ments, understandings, conversa¬
tions, and alliances of vast im¬
plications."
Last
week
it
was
indicated

from

"determined

Europe

attack"

was

that

under

study by the Council of Ministers

concerned.

the

effort to enforce the intent

Treaty.

can

to three or four special char¬

refer-!

Community, EFTA lacks political
a
fact emphasized in

overtones,
its
in

This will require,

"association"

the word

use

title. Secondly, it is loosely

its

without

organized

the

range

institutions possessed by the Com¬

munity, although provision is
made for its one governing body—
the Council—to set up

such other

committees and bodies "as j
considers necessary to assist it
accomplishing its tasks."j

organs,

it
in

Thirdly, the area of interest andj
responsibility is relatively narrow
in
the
case
of the Association,
being confined almost entirely to
and to closely related mat-|

trade

extremely

ters.

Except

for

eral

Articles

ness

practices and on the periodic

prepare

What

the

will

circumstances

form

Without attempting to

Steel

as
such. Nevertheless,
readily apparent that the
Community has a political char¬
acter,
is
organized on
Federal

anticipate the adjust¬

The

be accomplished
equally complex.

moved

have

concerns

rapidly to

tasks

federation

inevitable, European

was

business

Com¬

the

that

^convinced

Once

for

even

for exactly converse reasons.

ment Fund and the various

have

and

suspicion

fear,

less need or
EFTA, beyond

about

acteristics. First, in contrast to the

opposition, not in every instance
for the saftfe reason. Indeed, in

tors.

which they are to

the

tion

es-'

Convention

ence

Europe, was a combina¬

Western

the

by all seven founding coun¬
In comparison with the

Community,

impressive

Despite

group¬

said

support, the initial reaction in
many business circles throughout

gain

policies

fact

tries.

Community's evolution thus
far has
been the reception ac¬
corded it at the business or indus¬
level.

that

new

fied

striking aspects

One of the most

second

—

tablishing it has not yet been rati¬

of the

informa¬

extensive

approval of the proposals by the
member states.
In other words,

are

"en¬

again

the formation

the European Free Trade
Association, EFTA—which is still

past January 1st

were

far-reaching conse¬
of this situation has been

quence

ing

raised to 4%.

were

gory

the basis of which correct

the

quotas

solution must be

some

most

The

liberalized;

not

that

found, the issue remains unsettled.

larged": by a further 20% and
those previously in the 3% cate¬

trial

during that neriod of time?

negotiations and repeated declara¬
tions

less than 3% of
established in the

not

products

support it, the Community's course

one
—

noticeable tendency to back away
from the concept of the Economic

and

in its absence.

Economic

membership in the Commu¬
nity and will in all probability be
admitted, at least as associates
Nevertheless,
despite
protracted

and "enlarged" (i.e.
by 20%, and global

and those of this

would

ferent. But with

Adenauer

By the end of 1958 this newly
acquired
strength
was
coupled
with
a
greatly enhanced
con¬
fidence in
Europe's overall ca¬

GAAT

case

ramified

will

strong

Chancellor

and institutions.

these

munity, and the drive to meet this
need would have been felt even

Investment

—

to crisis."

after repeated nudges

Greece and Turkey—have applied

trade between mem¬
the Community, quotas,

liberalized)

inI

the

for

the

been

would
avert any tendency to drift
apart
Two
of. these
other countries-^

The most prominent
actions were those of Jan. 1, 1959
when
tariff rates were reduced

"globalized"

preoccima

Community

years

the Inner Six and the other
mem¬
of the OEEC which

importance.

bers

has

bers

presumption is that most of these
have
been
of
relatively minor

by 10%

Seven

ability to find or devise a basis
for a working agreement
between

some

adjust to

Europe,

ern

Treaty and its consequences, cur¬
rent or anticipated, but so far the

man

own

sustained
growth.
Together they provided the
necessary backing for the decision
to make a concerted major move
toward re-establishing converti¬
bility vis-a-vis the dollar. During

order

drawn

has been
state of it# relations with
the
of Western Europe and
the
world. Its great failure,
which is
actually the failure of all West¬

.with-

rest

Treaty.

been

withheld

taken,

steps

soma

the

certain

Rome

have

doubtless

There

mentary Assembly, the Commis¬
sion, the Court of Justice, the

the

without

the

provisions

Six

major

during the past two

member state level by

quotas

means

and

national

Outer

the

tions of the Economic

been done on the

much has

how

national output

policy of internal growth
independent of the Com¬

The

With
One

early Summer.

It is not entirely clear or

exists

Europe

of economic fusion; and
02) Consolidation of the extensive
economic advances already made
by

Spring

and

of legislation.

passage

of!

cooperation

states,

Contrasts Inner

pletion of the assignment and the
publication of a new list of rates.
At one time it was hoped that the
common tariff would be ready by
the end
of 1959, but most ob¬
servers now put the earliest date
at somewhere during the coming

pursue a

collection

compelling motives be¬

and

1959

for Western Europe as a

Economic

two

were

through

for

re¬

need
whole to

hind the creation of the European

principles

pacity

should

and

reinforced. The

member-state
carefully
balanced
programs
must be
worked out, necessitating both the

As has been said in one way

stage where, as someone has aptly
observed, "it lurched from crisis

seem

all

aims

the

and

tained

cases

with negotiations on
List G evidently constituting the
main
stumbling block
to com¬

full

member

the

underway

time,

some

the

however

external
for

common

been

of the individual governments to
the implement, or comply with the

European

worth

their

can

another many times before, there

rived

This

little

be added here that
France and Italy are the only two
countries within the Community
It

the

living.

with

dismantled

prevailing prosperity,
moreover,
seems
by and large
not only to be soundly based, but
to penetrate fairly deeply. There
is every indication that Western
Europe as a whole has been mov¬
ing at an accelerating pace toward
a
high^ consumption
economy
characterized by a greater accent
on growth, on investment and on
a continuing improvement in the
The

they have experi¬

disturbance.

manifestation.

standard

Europe
currently
the least amount of

of
shelter behind
quota and exchange restrictions,
Europe was perhaps itself sur¬
prised to discover that they could

Europe.
is

United

years

many

perts," and so

claims

Thursday, March 3, 1960

in varying order-

countries. The
essential
difference
is
that
in
forming the Community,' the Six
took the position that the proce¬
dures
hitherto
followed in the
OEEC were no longer adequate to
the tasks ahead and a radically
new
approach was therefore re¬
quired. The initial reaction of the
dissenting
European V countries,
most notably Britain, was that the
existing procedures had proved

enced in two decades. After these

"ex¬

strewn

with

discrimination

profes¬

sional

out

the

basis,

under

labor

now

cluttered

has

carried

Canada in their trans¬

States and

actions

time. The

trade

been

multilateral

publicized de¬
velopments of
our

restric¬
sub¬

narrow

the

liberalization

dram atized

and

interesting

unique to the

no- means

Western

immediate appli¬
cability and importance " of the
quota elimination clauses in the
Rome Treaty, while increasing the
relative significance of tariffs and
tariff changes. Moreover, since the

-slightly lesser
degree
in
well

been

has

tions

stantially

Europe

and other controls. An

objectives,

sizable

are

priority

restrictions

quantitative trade

all too inescapable fact
that the so-called "common mar¬

„

Six. They are

oriented toward the
restriction or the liberalization of trade with the outer world." The
author notes U. S. traders welcome trade liberalization by European countries and adds that it helps keep our commercial policy liberal.
been

continuous

eign trade association specialist finds the development of these common
markets is "well nigh impossible to visualize" since "it has
never

de¬

velopment of

formation of EFTA (the
He

and that an economic

the

States, to promote throughout
Community a harmonious

the contradictory role of the United States.

Europe of which the

economic policies

the

trade with Europe has entered a complex and uncertain phase,
revolution of major proportions is going on in

says

progressively approximating
of Member

and

the current status of EEC and

position of Western Europe, the

"outer seven"), and

CommonMarket

by establishing a

National Foreign Trade

International trade analyst touches on

and

firmly

the

the Treaty states

that Article 2 of

. .

(974)

restrictive

gen¬

busi¬

exchange of views concerning eco¬
nomic

policies,]

financial

and

of which

neither

especially ]

is an

strong Article, and a more specific
third Article dealing with the es¬

operation of en¬

and

tablishment

terprises by nationals of one mem¬
ber state in the territory of

Convention is con¬
with trade and trade
barriers. A fourth feature of the
Association is that it does not and
another,

the

cerned solely

will

have

not

tariff,
out the
approximations in
a

common

although this does not rule

possibility of
by member states. As a re¬
Convention is j
forced to devote much greater atj
rates

sult the EFTA

tention to origin and

the

does

than!

content

Treaty.

Rome

Whatever the intrinsic

the European Free

merits of

Trade

Associa¬

stands may be, it
is nonetheless clearly a response
to an uncertain situation. Its un¬
tion

now

soft®n
of the
the "common

derlying purposes are to
the possible adverse impact

especially

EEC,

of
and to create a
vehicle capable of facilitating an|
ultimate coming to terms with the j
market"

aspect,

Community. There are good argu-i
on
both sides of the ques¬

ments

tion

formation

whether

EFTA

improved

has

the chances for

the

lessened

European

solu¬

tion, but it is difficult to go along
with the contention or suggestion
that

decision

the

Association
the

division

split that

when

occurred

set

the

responsible tor
"split," since any

was

so-called

now

exists

negotiations for a
broke down

wide Free Trade Area

through

inability to

reach

agreement.
We
unfortunately
the

time

ravel the

interests,
dices

here

cannot tax
attempt to• un¬

tangled web of

motives,

and preju*
brought about tn ,
which may perpetu-

aspirations

which

division and

Continued on page

Number 5930

191

Volume

The Commercial and Financial Chronicle

. .

trade

541,318,000 Issue

Debs.
Publicly Offered
ffilS(So*tS Municipality I'l
S tropolitan Toronto (Province
Canada) Debentures
ls made March 1 by an underwriting
syndicate, jointly manSd by Harriman Ripley & Co.,
Incorporated and The Dominion
Ontario,

Corporation.

Securities

"Glastron."

The

com¬

operates plants in Austin,
Texas and Madison, Indiana.
Its

pany

Of Toronto

name

offering consists of $6,864,nn0 of 5% Instalment Debentures,
Sated March 1, I960 and matur¬
ing Marlch
1, 1961 through 1980,
oriced to yield from 4.75% to
The

according to maturity; and
$34 4 54.000 of 5% and 5Vs% Sink¬
ing' Fund Debentures, of which
S144 000 are due March 1,
1965
and'yield 5%; $2,092,000 are due
March 1, 1970 and yield 5.10%;
$348,000 are due March 1, 1975
and yield 5.15%; $31,526,000 are
due March 1, 1980 and yield 5.16%
and $344,000 are due
March 1,
1990, and yield 5.15%.
515%,

boats

are

sold

exclusively through

regional distributors who,
in turn, supply about
1,000 dealers
covering 49 states, Canada and

some

parts,

Central

and

South

America.
The company sold 5,900 boats in
first 11
months of 1959, for

the

gross

sales

$2,531,758.

(975)

Upon

seller

Seminole

Durst, Inc. 626 South
Spring Street, has announced the
election

■.

the

firm

member¬

fi¬

and

With. Sanford Co;

being active

corporate

SAN'-FRANC I S C

and

opened

the company will consist of
527
of sundry debt and

membership
Stock Exchange and

shares of

membership
in
Stock Exchange.

California

investment

also

the

in¬

holds
in the Pacific Coast
years,

Securities

Street,

City

Se'curitie s:, Co.

branch

Mr.

has

ated

149

office -at

the New York
and

Associate

ties

ner

tlib

eral

registered

Stone

with

was

the

firm

Daniel

investment

Stone

son

of the

will

senior part¬
,

Company do

investment, business

•

Mr. Ott

and

was

Form

formerly president

Martin

Associates

at 16033 Ventura Boulevard under

San

DeSimone, Mr. Newman and Mr.

666 Fifth Avenue, New York City,

the

Counties,

Ohl

ENCINO,
Inc.

has

Calif.

—

opened

Binder

branch

direction of Sidney

Co.,

office

Mandy.

Bernardino

and

general

San

Diego

investment

Security Adjustment

tion

Corpora¬

Robert
has

Brooklyn, with which Mr.

were

also

associated.

•

Martin

been_£ormed

engage

Associates, Inc.
with

the financing of school
construction, roads and sewers,
cluding

waterworks,

and
recreation
facilities,
hydro-electric systems, housing
and park authorities.
The
sinking fund
debentures
parks

callable

and

after

March

1, 1975, at the option of
the Municipality of Metropolitan

Toronto,

at
initial
redemption
prices of 102% for 1980 maturi¬
ties

and

103%

turities

and

thereafter,
in each

The

ma¬

prices

accrued, interest

The

instalment

de¬

Municipality of Metropoli¬
incorporated

was

Ontario

1953

1990

non-callable.

are

tan Toronto

der

the

declining

plus

case.

bentures

for

statutes

which

un¬

enacted

provided

the

for

federation of 13 municipalities in
the Toronto
certain

Metropolitan

financial

and

area

for

other, pur¬

The City of Toronto is the
focal point of the area which cov¬
poses.

ers

approximately

>240

square

miles

and

about

1,487,000. At Dec. 31,

the

has

estimated

Metropolitan
gated

population

total

net

1959,

debt

Corporation

aggre¬

$90,728,331.

Hardy & Co.

Heads

Glastron Offering5
Hardy

Co.

Underwood,
Inc- offered on

uU« ^

View from observation and control

and

gallery of Anaconda Wire and Cable Company's new Extra High Voltage

Cable Research

Laboratory, Hastings-on-Hudson, New York

March 2, 6,000 units
consisting in
the
aggregate of $600,000 princi¬
pal

amount

IfinS

sinking

fund

flick

J68' due Feb- 15> 1966 and

PyUU0 shares of

common stock of
astron Boat Co. Each
unit, con-

of
nnm

comm()n

principal amount
res and 10 shares of
stock, is offered at $100,

benti,aCCrTed interest on the de¬
ntures from Feb. 15, 1960. The
willnTu and common stock
able S- b% separately transferWrlier date ay *' 1960 °r SUCh
iiiK
to

m-,l)l?Ceeds from the financ?e used by tbe

fho

company

onstn,nrtent of *200>000

gS1011

for the

Aof additional plant

no/11 Austm> Texas. Any
binder of S+v, Used and the re"
funds

proceeds will be
the anrlW°rk.lng caPitab except
°00 wn hXlm
amount of $15,added

4ding"0^ t0
deemahinebe.nture.s
Prices

101%
a

rCUre a" out"
are

to be

the American

population is increasing, electric

switches

a new

n
Fast

many

'• :tr

Anaconda Wire and Cable

power

cable

consumption is growing three times faster. Our use of elec¬
tricity has tripled in the past 14 years ... seems set to double
again within the next ten. To meet this startling growth in electrical appetite, the

ready right

Company engineers have this
Its 345,000-volt rating is two-and-atoday's conventional underground cable

now.

half times that of

and it has been tested under actual in-service conditions

50% above its rated current and voltage. This big advance in
cable technology was born in the Anaconda Wire and Cable

capacity of copper cable must double—or triple—within the
next decade. This calls for entirely new designs in Extra High

Company's Extra High Voltage Cable Research Laboratory,
the newest and best equipped facility of its kind in the

Voltage cable which electric utilities are now installing to
carry the power load of the future. This replacement prob¬
lem is becoming especially acute, because of space limita¬
tions, in crowded metropolitan areas. Here, the answer to

country.
The skilled staff of Anaconda Wire and Cable

Company's

EHV

Laboratory typifies the continuing effort of Anaconda
people everywhere—an effort which results in better products
and services for people in industry, for people as consumers.

already overcrowded underground ducts will he found in
new Anaconda Extra High Voltage copper cable design.

this

•

re-

59177B

(REV.)

at.°PDonal redemption
anH fginfu froni
106% ' t0

redemnt-

•

Slnking fund at

fnt dn pr.lce of Par> Plus
ThU'd Merest in each case

acTrued

^nufachSiy Js enSaSed in
selling fiberglass niloe
a1nd
1
asure
boats
http://fraser.stlouisfed.org/ under the
Federal Reserve Bank of St. Louis

SUBSIDIARIES OF ANACONDA MANUFACTURE: COPPER AND ALUMINUM ELECTRICAL
WIRES
AND

AND

CABLES: ALUMINUM

EXTRUDED

FOIL, SHEET, ROD AND BARS, STRUCTURALS, TUBING

SHAPES; COPPER, BRASS AND BRONZE SHEET. PLATE. TUBE PIPE, ROD,

FORGINGS AND EXTRUSIONS; FLEXIBLE METAL HOSE AND TUBING'

offices

securities business.

proceeds from the sale of
will be used by
the Municipality of Metropolitan
Toronto for various purposes, in¬

will

are

debentures

improvements,

and"

broker-dealers,
Wagenseller
&
Durst, Inc. provides, through its
offices
in
Los Angeles,
Orange,

Net

local

gen-

...

bankers

United States currency.
the

;

specialists in life insurance stocks.

payable

securi¬

Youngberg,

Stone.
&

■

formerly associ¬

Principal of and interest on the
debentures

represen¬

Sanford

trading department,

Lawrence 1 Newm&n

and is the

statistical department. Daniel Ohl
is cashier.

American

tative.'

Broadway, New York City, under
the management of John H. Ott.
Guy T. DeSimone is in charge of

Southern

■

O,' Calif.—

James C. Stone has joined the San
Francisco investment firm of Sanford & Company, 235 Montgomery

Branch in N. Y.
Seminole

ship in the New York Stock Ex¬
change.
The
firm,
which
has
for

Binder Opens Branch

field

municipal financing.

ANGELES, Calif.—William
Hughes, president of Wagen¬

served

stock.

the

LOS

vestors

common

individuals
well

NYSE Members

completion of the current financ¬
ing, outstanding capitalization of

$322,350,000

services >lto

duciaries

Wagenseller, Durst

■

Chronicle

Commercial and Financial

The
20

Thursday, March 3, 1960

(976)

know

dealers

fund

have the necessary

In Defense of Contractual

about it, and
instruments to

Mutual Fund Plans

FUNDS

MUTUAL

accomplish it.)
(6) I want my dividends rein¬
vested at net asset value. The same

ROBERT E. RICH

results I have

mutual fund whose

makes it a prac¬
ordinary income
the offering prices.

discussed above,

F. Dacey & Associates

By Norman F. Daeey, Norman

tice

Bridgeport. Conn.

reinvest

dividends

the case for contractual

consultant presents

financial

Connecticut

tractual

periodically in mu¬
through the me¬

investment

dium

contractual investment

plan. Because this type of investt

m e n

the

pro¬

versial,
setting

the

why

reasons

regard it as
excellent

a n

method

building

es¬

tate.

others

well

I
F.

Norman

argument

"discipline" of such plans, (with¬
out any inferences that this is not
a valid argument)
and try to list
here
a
few
practical
reasons
which have led
me
to buy the

the

same

Charges

make more money in a
plan.
One
of
the

contractual

oldest common stock

and

largest

with

funds

excellent

long-

record, shows in its "fact
that $100 per month in¬
vested in its shares over the 20term

book"

same

tax

as a

medium of investment,

shows that
a $100 per month investment over
identically the same period is to¬
day worth $130,247.

the

contractual
to

generally

plans

be taxed

for

reason

elect

association.

effect, the acquisition charges and
continuing maintenance fees paid
by the participants are considered
to be part of the cost of building
"association"

the

and

substan¬

these charges is de¬
the

from

income

the

"association," thus making part of
income

that

Such

tax-free.

tax-

exempt distributions have the ef¬
fect

of reducing

the cost basis in

loss on any
underlying
The
same
fund
"fact
book" shares. Thus, distributions which
might otherwise have been taxed
shows that a $1*000 lump sum in¬
vestment in its shares
20 years as ordinary income, are taxed in¬
stead
(if and when the under¬
ago, is today worth $10,458.
The
prospectus for the contractual plan lying shares are sold at a profit)
determining gain

sale

future

the

favorable long-term cap¬

$1,000 "fully-paid
account in the same fund is today

worth $11,123."

underlying shares are not sold
during the investors' lifetime such
distributions
will
have
escaped
taxation entirely.

discloses that

the

From

"official"

above

fig¬

it will be seen that whether
it was a monthly or a lump-sum

ures,

investment, the contractual plan
produced more profit.
(2)1 pay less sales charge in the
contractual plan.
If I invest $100
monthly in this fund's voluntary
pay
8%% sales charge *
$1,050 in 10 years.
The
sales charge for putting the same

plan,

ital

gains

brackets,

the

The sales charge on

plan is 15.5%
If

very

in the

same

10 years.

the voluntary

$250

all

ness.

month

per

known

This

attracts

the

community,

all

unwelcome
attention

busi¬
publicity

your

pulous people who seek
rate

higher.

invest

the

Probate

from

heirs

unscru¬

the

avoided

sepa¬

money.

sales

charges

proximately

I'll

cheapest policy I

own.

have

carefully
on

and it is

figured

that

buy

can

matter

$2,675

one-quarter

the

saving

pay

the

fact, I

out

the life insurance alone,
more

than twice the

charge on the
sales
tual plan',

tire

en¬

contrac¬

ever

possible

investment

You don't make your life insur¬

payable to your estate. You
name a beneficiary.
Why not do
the same thing with your mutual

ance

fund investments?

been

developed

tual

fund

from

(A method has
to make all mu¬

probate,

but

sales

few

are

not considered

instead

such,

regarded

are

part

in *the
plan. To illustrate with a purely
hypothetical plan into which payments of $200 monthly have been
thegrossinvestment

the

made,
life

investor has enjoyed
protection on his

insurance

unpaid

ranging

balance,

from

$23,800 the first month, down to
$200 the last month. Over the 10year

period,

total of $857.40 has

deducted for insurance proLet us assume that the

been

tection.

hypothetical
plan is liquidated
now for, say,
$38,000. Part of this
increase represents the reinvestof

ment

dividends

which

the

investor had paid a tax each year

the

during

accumulation

period,

exempt
mutual

dividends

and paid

reported

tax

had

over

the years.

talk that the mu- mission, said: "The NAIC, in the
tual funds had been sellers of interest of its members and their
stock on balance.
shareholders, has always favored
While it may be too much to a policy of full disclosure of all
say that the fast-growing mutual- relevant and material information
fund tail has begun to wag the with respect to the operation of
stock-market dog, some recently investment companies. The new
published statistics on the funds proxy rules relating to investment
have buoyed Financial District companies released today by the
sentiment. These figures revealed SEC are in accord with that
that sales of mutual fund shares policy. Before issuing the new
by the 155 open-end members of rules the SEC gave careful conthe National Association of In- sideration to the comments and
vestment Companies totaled nearly opinions of our members and held
$222 million in January. That rep- several conferences with the SEC
resented a gain of 15% from De- Rules Committee of this Associacember. While it is true that the tion.
Although some member
period was marked by a 20.3% companies may not agree with all
was widespread

total

iion

details of the new rules, the Association believes that they will
prove generally workable. As in

shares'
snares,

constituted
he

which

other
otner

$R<i7 40
$857.40

premiums

paid.
But he doesn t
on
the difference be-

tax

the
tne

insurance

into

came

net

assets

decline

February

$15 1

4 6%

bil-

from

the

total, reflecting the

past, I know that^ all
members of this Association stand
ready> through their appointed
,to A0"^T"L!°, S*

e ^ ^ V? furthering good bus
ness Practices and the protection
tnetunas, by tneir veiy 0f investors within the framewoik
could not escape unscathed

slump in the prices of stocks.

142.60
fund
iuna

funds

The
with

mon'th-earlier

Actually, he invested only $23,in the underlying mutual

Anderson, President

Many of these same Wall Street of the National Association of Inanalysts either were bearish or vestment Companies, commenting
a wait-and-see attitude at
on
the new proxy rules of the
the start of the year, when there Securities
and Exchange Com-

$143,249,000.

whatever

Herbert R.

taking

now

less

com¬

electronics,

nucle¬
kindred industries.

onics and

step in to prop up the market.

deposited and the $38,000 he is
withdrawing from the plan,

the

panies'in

net sales were ahead by 12.4% to

tax

and convertible securities of

rise in redemptions to $78,561,000,

■

*U6a♦1
the period after ^adjusting both for
a stock split.and the adding back
a capital:gains distribution of
centsvmade last November,
Share value on Jan. 31 was $7.14,
agamst ,57.04. lhe company ^reported1 little change in portfolio
makeup since the close of the
fispal year pn Oct.common shares
31, 1959, with
91.7% of assets in

to conduct a classic holding
pPera^on~^ f*1® confidence (or
mutual funds
will

the

liable for

now

"T")

this sort

difference between the $24,000 he

He is

Rut

nature,

the

funds

their

verv

from

the ravages

they

could—and

strong

a bear wind,
did—emercfp in

ooTition

cash

"the

t^en his net investment of $23,- start of last month <latest figures
?u eSnrtnldividends) available) it was found that their
and the $38,000

n,.r

pntemrise

frpp

svstem "

°f °Ul flGG enterFls? system*
Loomis-Sayles

Fund,

Mutual

not"lg that Us larg6St S' 8

liquidating value,

because of the

peculiar

na-

ture of the contractual investment

i°n

with
as

separate

its

separate

registra-

security in and of itself,
and apart from the un-

holdings of cash and governments
had risen by 1.1% to $869,216,000.

This cash position of nearly a billion dollars was the largest since
Oct. 31, 1959.

when

cash

aerlying mutual fund shares, the

funds

for

mvestor

enabled

msurance

long-term

capital

gains

time

by the
distribu-

the

tions to their shareholders.

Prob-

his

ably^

would

the

gam

tax

advantage

does not apply to so-called volun-

better

with

was

this

was a

needed

from

P an*

Curiously,

And that
was

deduct

premiums

when¬

—
and contractual
plans provide a simple
method of accomplishing that end.
years. I can put the same $250 per
Most of them offer the planholder
month into the contractual plan
the privilege of designating one
for $1,724.
That's almost a thou¬
or more beneficiaries through the
sand dollar saving.
I'm going to
use of a simple form of inter vivos
be in the plan for those 10 years
trust instrument which places the
—and I'm going to save that thou¬
plan's assets outside the jurisdic¬
sand dollars!
tion of the probate court.
This is
(3) I want all the cheap life in¬
an extremely
valuable advantage
surance protection that 1 can get.
which
is
not
generally
appre¬
Very few of us have all the insur¬
I figure that on the pro¬
ance
we
need.
I can buy this ciated.
bating alone, the contractual plan
same
fund's voluntary plan—but
may
save
me
as
much
as
the
not with insurance.
When I buy
entire sales charge involved in its
the contractual plan, I get $30,000
purchase.
of life
insurance at a
rate ap¬

the voluntary plan,

but

plan,

of the contractual in¬

case

miums

frequently takes
and if you are

process

to five years,

the local papers tell

the

Fund,
reports net assets at Jan. 31
(close of fiscal quarter)were the
highest for any fiscal quarter in

of the railroad;index in mid-Feb-

legally

Inc.

ruary

vestment plan, the insurance pre¬

Thus

probate

pre-

deductible exfor tax purposes. However,

utor, appraiser, and probate court
fees, have been known to con¬
sume up to 10% of an estate. The

$100 per month into a contractual

is ,$909

such

insurance

Life insurance premiums

not

pense

life

miums.
are

pay

two

plan, invested

and

(5) I want to avoid probate. In
many jurisdictions, lawyer, exec¬

That's

shares,

the 8%% sales charge another.:^ r,
:
again. With my contrac- .'■'We could go on with

of 1

some 600

its history. Net assets were put at
A^ill be eased, predicts another $31W7,611 compared with $244,Margins will be cut, forecasts yet 105,822 a yeai earlier. Net asset

(8) I like to let Uncle Sam pay
part

For those who are interested

ductible

these

this

the years,

over

vantage of it.

tial portion of

period 1939-1958 is today
$127,296.
The prospectus
one
of the contractual plans
uses

gain—

tax free.

1 JIG F UllQS iXGDOrt
r
Television
Electronics

plan, I can take the money
out and put it back whenever I

for the past 18

sponsor

worth

which

over

tual

still enjoys a worthwhile
tax exemption — and an investor
would be crazy not to take ad¬

year

all

the tax
exemption, let me explain that it
stems from the fact that taxwise,

Sales

Profit and Less

monev

when

and I wanted to
back to work I'd

000—or more than half as many as
were in existence 10 years ago.

have to pay

companion plan offered by

knowing

(1)

the

Dut

years

/■/%;

was

that

well

full

know

but

plan.

capital

benefit will reduce

Dacey

the

about

reportable

the other 71.3%

and

the

worn

The very same invest¬
the
very
same
fund

gains.

was

I shall leave

th^ need parsed

But

—

of thing endlessly, but the forement
in
going must be familiar enough to
through the medium of a con¬ want, with never a sales charge— suggest that there is no dearth of
tractual plan produced an identi¬
just a nominal fee of $2.25 each reasons why the market should
cal total distribution.
However,
way.
As far as its flexibility, swing upward again in no great
for tax purposes, none of this was
liquidity
and
convenience
are time. Butithe one recurring theme
reportable as ordinary income in concerned, it's like having the that must strike the Wall Street
my
uncomfortable tax brackets. money in a checking or savings pollster—-even more than the conOf
the total distribution, 28.7%
account.
>
' *":•"*
fidence'engendered by the ability

I am
down

gome

tal

need

some
suddenly

always
$5,000 I

can

get

mieht

exactly one-half or¬

were

fund,

same

liquidate

dinary income and one-half capi¬

contro¬

come

distributions

and

dividends

which

in 1959
year,
paid

tax

recent

this

used

have

illustration,

above

most

out

seems
have
be¬

gram
to

the

which

fund

(7) I like the convenience of the
contractual plan.
If I own shares

alone the total grew by

they're numerous and vociferous once more
—put forward a variety of reasons
for their constructive attitude toward the stock market. Firstquarter earnings are about to be
discounted, says one. A spring
rally will come early this year,
says a second bull. In a Presidential-election year stocks traditiona^y reach their tops in the summer,. says a third.
Money rates
Wall Street's bulls

all reinvested at

ment, I figure that over a 20-year
period I'll have an amount equal
to the acquisition fee.

mutual

price. This represents a
tremendous saving over the years.
In the case of .a ,lump-sum invest-

(4) 1 like the tax advantage of
the contractual plan.
The same

tual fund shares

are

Billion-Dollar Prop?

dividends and

bid

the

in cogently outlining eight pro
arguments wherein he contrasts them with voluntary fund plans.
They deal with profit figures, sales charges, life insurance cost, tax -j
advantage, avoidance of probate, bid price reinvestment, convenience,
and government's part in absorbing part of insurance premium.
ciplinary advantages of such plans

plan,

distributions

The author excludes the argument about the dis¬

investment plans.

buy its shares in the con¬

When I

the

Comparison

1959

average, which
$768.1 million. Thus the latest

figure is

12.2% from last year's

comput-

lng
tax

his

long-term capital gains
liability under a voluntary
with

plan

life

insurance

vision, the investor must
the

difference

amount

between

actually

invested

soning simply is that fund

agers are in a
and

will

the

These

practical

are

just

reasons

investor will

arguments

insurance in

taxable
a

gains.

few

why. the

wave

the

smart

aside the petty

about

"front

end

load," and choose the contractual
plan.

Collectively, they

are

reason

why 10

now

years

from

the
all

plans will be contractual plans.

take
A

wonder also that

many

cial District leader, who
:

advan.

.....

lower prices. And little

the cost of the

computing his

^?LfUndi sliar|rs and thJ 1]cl" tended that
uidating
value.
He
cannot
deduct

COMMON STOCK

Finan-

once pre-

mutual funds did not

GROUP

SECURITIES,

INC.

A mutual fund

■

investing for in¬
and pos¬

come

sible

growth
through com¬
mon

stocks

selected for
their invest¬
ment

quality.

„

01 were
y a
factor, seeks these days to soothe
a iest*ve customer by pointing to
the tail

FUND of

man-

strong cash position

move

pro-

pay on
the
net

describesTHE

level.

^a,ry, Fans in which the "secuLittle wonder, then, that Wall
"ni^r.'^e/tefifPKrCf +1 1S,in0J -he street optimism is being bolstered
} J
underlying these days by the funds. The reamutual fund shares.
In
♦

BOOKLET-PROSPECTUS

prop.

Mail this
advertisement.
CFC
Nam*

After all, it's
Addr.tr

not

easy

to ignore the steadily in-

creasing
accounts.

number
These

shareholder

toted

highly respectable 1,100,000 at the
start of 1950.

numbered

A decade later they

4,276,000.

Last

year

.Stat*.

ciy.

DISTRIBUTORS
63 Wall

GROUP,

Stroot, Now York 5,

INC.
N. Y.

Number 5930

191

Volume

The Commercial and Financial

...

Chronicle

(977)

cash,

American Tele¬
Telegraph (4% of overall
P",Pc[ment), offers this comment:
St fall'the stock was forgotten
nnd neglected in the face of the
exciting style of exotic growth
stockholding,is

phone

assets

tinue

which

fashion

invested ! in

which

total

stocks,

Chairman

"con¬

Clinton

represent industries in
there appear to be favor¬

gas

paper

stocks
and

(14.65%)

paper

reached
new
ended Jan. 31.

of' the

annual

uled

for

March

tion

and

the

The

Committee
that

nounced

ad¬

was

intends

Funds

being

Mrs. Emma,A. JIannis,. James

Lauderdale

:«.

Vice-President

tive

Shareholders of Managed Funds,

$62 million St. Louis mutual fund,
are
receiving a proxy from the
Committee of Managed Funds Inc.

International

slate

will

Mr.

Shew

Jon

the

Committee

Chace, Whiteside

are:

Carsey, Robert C. David¬
and

Leon

BOSTON,

Mass.

Osborne. All Committee members

ant

Whiteside

their

Growth

shares; with
families,
they
than 141,000 shares. * "

vice

Federal
New

The Funds' annual meeting was

initially

called

for

Jan.

26,

Street,

York

Western

Oil;

tinent

Sunray Mid-ConS. Plywood; 6%

Mines;

Geduld

COMMERCIAL CREDIT COMPANY
AND

Highlights from the 48th Annual Report

•

Securities eliminated

Collateral

Central

N. Y.

were:

SUBSIDIARIES

preferred stock of H. P. Hood &
Sons. :
J-.: '•'// *
1 •'
Trust

Bonds; common stock of American

Viscose; Curtiss-Wright;

Deere &

1959

Co.; Denver & Rio Grande West¬
ern RR.; Glidden
Co.; W. F. Hall
Printing
Co.;
National
Sugar

Refining

Co.;

Republic

Southern Pacific

Co.

Wholesale

Instalment
Managed
the

Funds,

Inc.,

program

the

for

providing

writing
for

and

the

complete ;

nationwide

Net income before interest and discount

and

Net income from current

under¬

Leasing

182 805 970

163 672 045

106 965 640

90 980 103

charges

56 017 125

operations, before taxes

Net income credited to earned

42 732 824

50 948 515

48 247 279

23 087 649

United States and Canadian income taxes

Interest and discount charges

; Equipment Financing
,

man¬

distribution

and

—

NET INCOME:'

Financing

Commercial Financing

Charming*

and experienced investment

agement

Financing

endorsed

Corp. of San Francisco and New
York

/COMPANIES

Steel;-

1958

FINANCE
GROSS INCOME,;.,..

21 444 888

service

Fleet Lease Financing

million group of
by approximately 21,000 shareholders. The first Man-

Rediscounting

agement-Channing

Factoring

$62.4

surplus

Net income per

Common shares

27 860 866

outstanding at end of period

on common

stock

26 802 391

$5 48

$5 29

5 082 513

5 066 255

funds held

tion

for

asked
a

solicita¬

proxy

shareholders

executives

four

bers, including two
of Managed Funds.

and

voted

Reserve for losses

INSURANCE

its

The

proxies-./,
adjourned

St. Louis.

<«

National

!;!

Credit Insurance,

Research

Motor

'■ * ' f\

^r<?

hnancial

Bullock

Stanir
tolri
with

Pipe Fittings' ^

Fund,

•:Written

°wned

•

comunn

*!'

■

stock

$1 720 834 360

......

$1 338 455 714

.......

Companies

14 670 375

:.
t

/ /:/:

corporatiA*

erniiipnl
cnt

Net
•>

30 052 311

(including Cavalier Life
9 763 635

sales......:;./....—.

7 906 844

126 949 092

133 233 066

3 426 856

Net income..—

than

••

/■

products

are

throughout the

are

manufactured by

,•

offered

United
our

•'

States

2 637 597

our

subsidiaries in

*
r.

L *S

and Canada. Nationally

subsidiaries in ten plant locations.
-

■

Commercial Credit Company

assets

services

insurance

offices

700

known

100

22 differ"
Net

and

Finance

TTS $42>099,100, con^ oi 54 Canadian ;
J

27 727 167

: %

29 601 682

■

33 952 737

MANUFACTURING COMPANIES:

Printing Machinery
,

•

■

s Canadian Gov-

and corporate
bonds and

Baltimore 2, Maryland

■

sisting'
r

16 257 950

Jan.

'..aj:

Fund' Inc-

1 406 929 123

$3 224 486 855

emphasizes

&!eersenting

904 515 368

1 601 390 684

Insurance Co.).;...:

stork/11#
primarily in common
to hi
comPanies which appear
char-)
gpod long-term growth
the i ?tics' At Jan-' 31, I960,

■

154 641 630

$4 181 273 489

premiums, prior to reinsurance

Net income

Pyrotechnics

Valves

205 271 573

1 315 331 558

j ; : Earned premiums.

Machine Tools

assets

291 485 431

216 384 173

acquired

Net income of Finance

Toy Specialties

^*^'306,444

Pull°ck Fund

553 129 161

Equipment

with

other

net

;

.......

Total receivables outstanding December 31

•

756 681 643

•

INSURANCE COMPANIES:

Ltd.

Specialties

Roller and Ball Bearing

Pre--

were ^3.664,800, equal
T?er share 0f st°ck out-,
^ugk Bullock, President,
areilolders. This compares

invpct

Brass

wholesale../-..'..

Total receivables

organizations.
*

com-

and

," notes,

Malleable, Gray Iron and

Metal

.been

associated

Po°i''s

•'

$
.

Open accounts, leases, other wholesale
mortgages and factoring receivables.........:

•

Heavy Machinery
/
and Castings
-

manager of National GrowthMocks Series and
a
member of

was,

■■

retail.L-raxl.M-—-.

Loan receivables......

Motor

/ Metal Products
■

and other retail.,.:.,...

-Pork Products

lund

125 710 001

briefly:

equipment/mobile homes

Farm

COMPANIES

primarily for evaluating •
> the
securities /
portfolio of the National
Growth/:
Stocks Series.
Heading the divi¬
sioni
will
be
Ailing Woodruff, -;

1955.

/'
"1 •

•

used

since

MANUFACTURING

investments/ for

has

27 954 932

162 577 316

......

79 137 245

Gross Receivables acquired:

•

rations which have
prospects for
long-term growth. The research
disclosed by this new division will

corporation's investment

are,

18 617 824

33 673 708

......

operations

FINANCE COMPANIES:

*:
*

Division, which
exclusively to the
investigation and study of corpo¬

•lJee:_ Mr,, Woodruff

premiums-Insurance Companies

Operations shown separately

•

wul be devoted

viously

Life Insurance,

Securities &

National

/ Available for credit to future

21 907 729
106 995 879

Health Insurance

:*!

Corp. announced the formation of
the Growth Stocks

with

Unearned

Automobile Insurance

receivables

Unearned income on instalment receivables.

COMPANIES

mem¬

/ /.

shareholders-

meeting of stockholders on
March 11, in the fund's offices in

;

RESERVES:

annual

fin

;

vote

principal

Channing

affiliates and five additional

nine-man board of directors

consisting

will

Personal Loans

Copies of our 48th Annual Report available upon request

assist¬

Chace,

Inc., ;24
of

the

Stock

Ex¬

members
Boston

and

changes.

and

Winslow,

4%%
Notes;
Billups
Petroleum
Corp. - 6%
Debentures; Hilton Hotels Corp.'.
6% Debentures; Seaboard Finance
Corp. 63/4% Notes;
Jim Walter
Corp. 9% Debentures. Also added
were common stock of Free State

Edward

president
&

immediate
more

own

Fund,

—

Hines has been elected

hold Managed Funds

Inc.;
James
A.
Lovell,
retired, formerly associated with
E. I: DuPont de Nemours & Co.;

hotel

Hines Officer

nominees

by the Channing Corp.
Serving with Mr. Noland and

proposed

Townsend

but
a

Opposing the Com¬

mutual

from

son,

the

there
adjournment, to

second

occasions,

ballroom because of the large attendence anticipated.

merged into another

fund.

those

Since

10.

present

Olive
Street, St. Louis,
expected to be recessed to

an¬

keep

liquidated

not

was

March If. The March
meeting will
convene at the Funds'
offices, 408

Hatcheries,

previously

quorum

either

Managed

Mr.

and

then adjourned to Feb.
a

Inc.

meeting, sched¬
11, 1960. In addi¬

Davidson

and

manager

mittee's

natural resources of Canada.

;

Mr.

sales

Bellows / of 1 Minneapolis; • Ray¬
mond E. Hartz, chairman of the
executive committee and execu¬

products

assets

general

director of Neuhauser

Noland, they include: Hans van
N e s
Allen,
independent
oil
operator;
Robert
J." Flanagan,
member of the law firm of Best,
Flanagan, ;;Lewis,- ' Simonet
and

mining stocks, consti¬
.investment of; almost 40%
company's

directors

journed

metals and

tute

Committee; and
Davidson, Chairman ' of
Management.,- '

Rowe, chairman of
Elevator
Company;

Charles T. Shew, district manager
for Simon Brothers; Earl
Short,

The letter stated the Committee

'(14.37%). These groups, together
with
holdings
in • non-ferrous

Fund reports total net
assets
number of shareholders/
and number of shares ..outstanding

M.
Shepard

will nominate nine candidates for

natural
in

Stanley

was

the

Townsend

is
the
U..
S.-domiciled
Canadian fund in the Calvin Bul¬
lock group, are in petroleum and

Puritan

Treasury

Co., it

stated in a
letter signed by David B. Noland,

$47,619,095.
amounts

agement

fund,, election

more -

highs in r quarter
Total net' assets
increased
from
$71,181,437 on
Oct 31, 1959, to $72,796,182 ;:on
Jan 31, compared with $62,085,500 on Jan. 31, 1959. Number
of shareholders rose from 21,000
on Oct. 31, 1959, to 21,500 on Jan.
31 "I960; shares outstanding dur¬
ing the period rose from 8,945,485
to 9,211,450. New securities added
during the quarter were: U. S.

were-

Shareholders and Townsend Man¬

Jan.

able prospects for future
growth."
The largest holdings of the

in investment
during the years ahead
was a few months ago/"//

much

President,

Assets

largest

■;* The

being bid up
market.. Today
American Telephone, is; coming
back into style and probably will
the

ply

Bullock,

shareholders.

31, 1959

which were

stocks

Hugh

told

tion that the interest

rates prevail¬

ing during the past months have
about primarily by
Administration actions or that the

been brought

the price of

Treasury can control

Indeed, the Treasury
holds that the 414% ceiling has
the
result of raising short- and
rates

interest

medium-term

he, because the ceiling forces the
to compete with other
users of short- and medium-term

Treasury
money.:

ceiling

the

be¬

came

Means Com¬
it ran up against
the
Metcalf-Reuss amendment.
This stated that it was the sense
Ways

and

mittee last year,

Federal Re¬

Congress that the

in its open market

System

serve

money,

should,
whenever
expand the supply of
buy Treasury bonds as

well

bills,

rather than

reduce

member-bank reserve require¬

argued,
bonds
thus reduce the yield thereon,
the

raise

would
and

Purchases,

ments.

was

price

tending

tiereby

bring

down

long-term interest rates. Both the
Treasury and the Fed testified in

coposition to the amendment. The
whole question went over into the
current session of the
Congress.

At this writing there

ing

pend¬

now

ceiling-lifting

compromise

formula approved by the Way

and

Feb.
reaches

23.
the

Committee.,

the

Committee

Means

this

When

matter

Finance

Senate

is likely to encounter a

Treasury

Democratic proposals re¬

the

late to the methods by which

Treasury determines what coupon
to

place :

its issues, whether

market

should

how

issues,

new

make all
bond offerings
callable,*■ and
whether it should not do its longit

be required to

should

are

borrowing during times of
when other, borrowers
few. The first-mentioned mat¬

ter

relates

torm

recession,

toe

consultation by

the

with committees of

Treasury

trie IBA, ABA and other financial

deciding

before

groups

the

upon

conditions

and

terms

new

f nancing or

refunding operation.
The
theory of the critics, who
c it ten suspect something improper
about such consultations, is that
would

ite

obtaining

necessary

securities'

technique

the Treasury that

assure

would
r

auction

the

use

and

it
lowest

the

in order to sell its
eliminate the risk

primary purpose of the ad¬
committees consulted 'by
Treasury on financing is not

that should
issues

vice

port,

released

Democratic
mended

Feb.

one

explores

The latter rests squarely

the

factors.
For

recom¬

"needed reforms" that:

''The

Federal

Reserve

should—

(b)
(c)

long-term bonds, and

fore

for

the Treasury
environment

market

the

intensively from various points of
view.
The basic analysis is close

completion before the advisory

arrive.
A .difference
viewpoint of more than 14th

groups

interest rate on

would

.ue

new

surprise

in
of
is-

competent

observers.

market

consultation
of advisory
started by the Treas¬
ury
during World War II and,
with the exception of the savings
and loan advisory group first con¬
sulted
in
1958, all others have
been
consulted
intermittently

The

groups

since

was

Secretary Morgenthau's
the IBA and

addition to

time. Tn

include

these
the

tives of

life

representa¬
indus¬

insurance

try and the mutual savings banks.
The chief function of the commit¬
tees is to

help the Treasury inter¬

demand
for
various

potential

the

pret

securities

new

among

classes and as
among
different
maturities
of
bills, certificates, notes and bonds.
Thus, an appraisal of market de¬
mand by the advisory groups can
aid the Treasury materially in de¬
termining the advisability of of¬
fering a long-term or an inter¬
mediate-term bond under rapidly
investor

types

changing
market
circumstances.
According to Secretary1 Andersenr
"It

of
pi

the

best

conducting

ehensive,
in

mand

dealers

various

economic

committee represents a

financing. The

and

banks

ABA

the

repre¬

and
are

ad-

IBA

daily

upwards of 5,000 in¬

every

the

.part

and they handle trans¬
in Government securities

that total

than

lars

day.

They

per

their

securities

billion dol¬

what

know

customers

are

in¬

terested in buying and

what they
sell. They are also in a

position

express

whether

that

judgment

demand

can

effectively capitalized
in

Treasury

use o p e n market operations
rather than lowering reserve

Federal Reserve and the banks

desire.

would

that

available

market
ways—the Treasury
security

Government
some

firms which the
committee represents are in
closer contact with the in¬
out—the

iBA

of a
much
institutions in
life
insurance,
mutual
savings
banking and the savings and loan
industry than are the members of
problems

vestment

larger

group

advisory committees of tnose

the

The IBA

industries.

needs

and

country which are not as formally

those
mentioned
Among them are State and

organized
above.

local

governments with reference
their pension * and retirement

and temporary investment

funds,
of

self-administered cor¬

are

porate pension funds, endowment
ceeds of

bursal

(b) institute
bonds

system of callable
that the public is not
a

saddled

interminably
high interest rates,

with

than

short-term

bills,

and

(d)

the

funds,

rates

"In

are

addition,

the

Federal

Re¬

tempo¬

investment of peak tax col¬

rary

lections.

Also

included

administered

self-

are

pension

corporate

tions, mutual funds and other in¬
vestor groups.

Because

bank

correspondent

the

relationships,

ABA;

group

gives, the Treasury an up-to-date
"feel"

tices

under

ditions.

flects
of

investment

bank

changing credit

The

the

thousands

toward

contemplated
is
con
primary and

with

secondary
ments

re¬

offerings.

Treasury
cerned

con¬

committee

ABA

attitudes

banks

prac-<v

both

demand

for

govern¬

by banks.- While the banks

renreented

mittee buy

the

ABA

com¬

governments for their

account, either
replace existing issues or to
employ idle resources, most of
the Treasuries they buy are ac¬
quired in their capacity as "under¬
writers," for resale to ultimate
■

,,'

v--iA'

V-

What the

the

coupon

offers.

chidingly informed the
Committee:

"It is

understood

most

all

unsophisticated

but

the

investors

The

ant

questions

numerous

successful

ment,

Down

manage¬

them:

among

which

advice

import¬

debt

requirements

payment
would

suitable

Market practices, such as dealer

quotations

before

cash

issue

the

subscription books are
closed, which may affect the suc¬
cess

issue.

How

allotments

cash

among

ticular

buyers

can

What
should

Market

ments

best

made

small

encouraged.
allotment

full.

reaction

the

par¬

allot¬

stances it should

simply

limit

consistent

and

the foregoing to
situation and to the
general current attitude toward
stocks and bonds. They give ad¬

the mortgage

vice

the savings bond program.

The

draws

the

Federal

its financings
experience of

Treasury

also

the

System,—

Reserve

Board and the 12 banks,

both the

especially the New York Fed,

and

watches

which

Government

the

might be

banks

Whether

the

under

size

certain

circum¬

be attempted
one

option

to
on

dis¬

banks or dealers.
believes that no

their

Treasury

criticism

such

made

can

connection with the sale of Treas¬

Reserve

banks

ury

interpreta¬
regional differences in the

the

bills by auction.

Moreover, on fixed price issuer

draws

Treas¬

through
The

Federal

the

effect, telling small
buy
new
issues

by,

investors

.Treasury

occasions

the

profes¬

would

investors

Small

other

have

couraged and the Treasury would
be
charged
with
favoring the

the

While

investors

opportunities

sionals in buying on equal te,rms.

the

perience which those banks have
gained as fiscal agents for the
Treasury in actual management
of financing operations.

directly

The Treasury

regarded as having no
seeing that small and

medium-size
same

From

governments and ex¬

interest

hourly.

for

securities

the Treasury.

from

market

medium-size

and

buy mew

;to

securities

tion of

the -opportunities for
investors

impairing
-small

relationship

technique to other Treasury
the Treasury would risk

issues,

Treasury

or investor class
by auction. For in¬

investor

single

it could

than

easily

can

amount issued to any

control the

stance, total subscriptions by com¬
mercial' banks
on
medium and

percentage

certain

limited

capital and surplus and occa¬
sionally subscription
limits are

has fixed for an issue a rate
different from that recommended

advisory groups, it has nevefrom those recommenda

differed

by more than one-eighth of
1%. The records since 1952 show

tions

typically are

bonds

term

longer

ury

placed on other types of
often

are

the average new Treasury

full

issues have been priced tc

Allotments
may

would

one-eighth

about

length of the issues, whether
10-year

1-year,

longer-term.

Since, 1952 the average spread be¬
tween

issues

new

high-grade

corporate securities and outstand¬

about three

ing issues has been

1%. Consistent with the

tenths of

securithe
pricin

desideratum that Treasury
fies

sold

considers

Treasury
record

successfully,

since

1952

its
;"excellent."

occasions the
charged with
pricing too close to the market.

fact,

many

has

Treasury

been

Summing

the

up,

critics

the

answer

Treasury
of

the

ad¬

visory-committee system, the Sec¬
retary states: "We firmly believe
that in most cases the public in¬
terest is much
better served by
having had the benefit of the
committees' points of view."
our

The

CongressmanT
ask:

others

Pat

"Why

and

man

the

Treasury sell all of its marketable
securities by the auction method?
the auction

method
lowest

for

finding out what the
is

rate

offer

market

the

Treasury has
sell a given
seurities
to do

order

quantity of
with

away

method the best

■.

guessing
avoid

and

what
the

the

risk

guessing too high? Has the Treas¬
ury

determined

whether

gets

wider distribution of its securi¬

ties

among initial purchasers by
fixed-price method than it
would
get
by
the
auction

the

method?"

these

questions the

Treasury has much to say.
The Treasury has been selling
by

auction

since 1929, and
technique quite efficient

finds the
for

short-term

securities.

re¬

cent years

the technique has been
Since

pation

through
1958

the

bills

1951

have

auction.

technique

tax

been

In
was

antici¬

sold

December

extended

to use

extremely hard

the

with

connection

technique.

auction

short-term
and
long-term securities by auction
the competitive aspects would be
quite different. Professional un¬
derwriters
who
buy
bills for
secondary
distribution
compete
not onlv among
themselves but
also with a large number of pro¬
fessional
buvers
ourchasing for
their own needs. The latter may
not be so well acquainted with
In '

handling

the auction

technioue.

Applied to

issues, the auction
technique
would undoubtedly
generate bids almost exclusively
term

longer

writers,

under¬
banks, who
secondary dis¬

professional

the

from

dealers and

would then do the

competition would
professionals alone.

The

tribution.
be among

doesn't

groups

vary

•

Auction Technique

different

considerably, savingstype investors being given pref¬
erence.. The
allotment procedure

of
1%
above
the
outstanding
market.
This has been true regardless oi

yield

investors.

substantial down payments
required. Allotments in
are made
to small investors.

Also,

coupon

that

extended.

announced

amount.

that is

government
the offering

with

knowledge¬
extending the auc¬

bids.

tion

secondary
distribution of new
issues. They throw light on the

bills

under

circumstances

exceeding

issues

various

minimum

typically recommend an interest
rate appropriate at the time they
"a rate

local

and

connected

ment."

committees

State
problems

keep abreast cf corporation,

Isn't

types of investors.
How
the
interest

advisory

able

Treasury finds helpful the

IBA and ABA committees'

Treasury will have to pay on the
specific issue it decides upon can
vary
only within very narrow
limits, depending on the market
quotations of the day that the
Treasury
makes
its
announce¬
the

information to submit

debt-management planning
in the light of the outlook for the
economy
ana
Mr savings. Tnt
committees
help
the
Treasury

Should Know

Treasury

price

ury

rates

thousands

porations,
and individuals, since these usu¬
ally have not enough background

investors.

Treasury by
of
small banks, cor¬
institutional investors

consider broader aspects of Treas¬

investment

own

bought

the

from

directly

advisory committees

the

asks

entirely in

ket. Bills ordinarly are not

books to assure maxi¬
of potential buyers.
long me boo&s siioulct, re

the

funds, endowment funds, founda¬

meet, sometimes they recommend

low.

and

given type of issue to discourage
speculators.

While

agree to sell, long-term bonds
in
the
main
when
interest

pro¬

issues prior to dis-

bond

the

reinvestmen

funds,

that the rate of interest which the. should be handled

parties,

in¬

tax collections. Also

peak

cluded

of their customers who
terested

the

throughout

well

in¬

of in¬

oody

vast

classes

vestor

seeking advice on new
issues from organized groups
are

more¬

group,

represents the most practical
and efficient way of ascertaining
the current investment practices
over,

possible Treasury issue."
Apparently
having
in
mind
Democratic
charges
that
the
Treasury
makes
high
interest

Joint Economic

(a) avoid

sense

Anderson

"The Treasury should—

which

funds
for

the
it is
substantial flow of

the

large-

activity of

part of the continuous

com-

of market de¬
maturity ranges

committees

v.sory

yet

survey

various

close to the time of

sented

know

way

quick,

to
The

environment.

the

points
be¬

IBA

itself. In

and

current demand

"governments"

analysis

period

industries

of the

discussion

are

their

relevant

financing

each

studies

matched

requirements as the means of
bringing about the secular ex¬
pansion of credit which the

nuercst

to build up its portfolio

agree

'bills

of most

even

want

(a) abandon its discredited
only' policy,

various maturity areas

general,

the

considerable

usually
largely

rather

hew

the- sub¬

From time to time the Treasury

focusing

recommendations

opening

main open.

ABA. Their financing

the IBA and

are
bought
large amounts
by professional investors who par¬
ticipate daily in the money mar¬

coverage

How

from those with

different in scope

issues.

The auctioned issues

scription
mum

usually are

committees

con¬

much

wisely be extended

can

Treasury

almost

elapse

days should

announcement

and

is^ue

mutual savings
and loan and life

savings

the

V-4//';yv-

between

with

Meetings
bank,

insurance

all

governmental units.

encouraged.

Minority views are
.

not follow that it thinks the tech¬

payment

nique

many

obviously has

there

privi¬

down

lar

How

auc¬

merit
in the auction method. But it does

particu¬
of subscribers, such as

types

1959

the

to
1-year bills
quarterly intervals

that

cluded

leges can be modfied for

are

respect

own

Treasury's

evaluation

and

of informa¬
actively

Treasury

it approaches a final

decision.
on

the

only

provide

sources

many

which

tion

and
ad¬

of securities
techniques.
The

committees

visory

country,

the

29,

members

particu¬

be ;offered.

types

actions

1960 Joint Economic Re¬

the

be placed

rates

It lies
rather in their discussion and ad¬

lar

vestors

Joint ^Economic Committee
Majority's Recommendations

interest

the

recommend

contact with

;/'*

cf guessing too high.

with

Whether

March

technique

The Treasury

give

expanded

Treasury

maturing

exchange.

the

bills.

6-month

tion

issues
of the

incentive to make

investors

ortereu
interest rates,

opinions

ahead

dated

maturity of the old issue to

presented

are

refunding

new

should

maturity dates and other details.

The

ABA

the

minority

mar¬

visory
the

ora^y.

what may
be called a majority report. The
meetings with Treasury officials
are
imormai.
Typically,

Consultation with IBA and ABA

ABA,

stormy reception.
Other

the

Whether

recom¬

giv^n

are

in written summary of

gins to its customers."

operations
seeking

apply

and

market

bond

committee's

IBA

lie

Those

necessary

marketing

Treasury request for

the

Thursday, March 3, 1960

the

against

omer.

mendations

regulate the
presently unregulated New York
steps

money.

higher than they would otherwise

issues

refunding

of¬

time

market

che

fering."

take

immediately

should

serve

Continued from page 1

fore

•

Leading Financial Questions
Discussed in Washington

When

(978)

with

removal

Chronicle

Commercial and Financial

The
22

Treasury

Since most new

issues

represent refunding, competitiv
bidding
on, all
new
securities

presumably, that tne
off all matuiing issues in cash and issue,n£p
securities. If each holder of
maturing issue had to entel
competitive bid for the new
curities, he would risk being 1
out and having to buy the secu -

would mean,

Treasury would pay

back

ties

bidder.

from

some

Treasury

The

8"cc?ss

beheves,

that competitive b
for all new issues would
to cause a net increa:se^

moreover,

ding
tend
the

cost of

interest on the

pubii

arguing that km)W*^gJLc:t
buyers would submit low bids J
on the chahce of getting an is
>
debt,

especially in times of rising
terest rates, while reluctant by
;ers

would

bids.

also

low

yield

bids, furthermore,

offering
succef

+VlP

could upset

market.

If successful

low bidders

dump
23

Continued on page

Volume

Number 5930

191

The Commercial

and Financial Chronicle

PICTORIAL

INVESTMENT TRADERS ASSOCIATION
OF PHILADELPHIA
v

ANNUAL-MID-WINTER

:';As;>Dii^NER:A*A;
First

•

«•

FEBRUARY 19,1960

•.

Second

V ice-President

■

«•

At Bellevue Stratford Hotel

V
President

Vice-President

Secretary

Treasurer

Rubin Hardy

The First Boston

Corporation

Willard F.Rice

John E. Knob

Eastman Dillon,
Union Securities

Drexel & Co.

<6 Co.

William R.

Jack Christian

New

Janney, Dulles

MmMiammm
H. E. Reattie, Jr.

Edgar A. Christian

Spencer L. Corson

Suplee, Yeatman,
Mosley Co.,

Joseph J. Cummings

Elkins, Morris,

Inc.

Robert F. Donovan

Brooke & Co.

Thayer, Baker

Stokes & Co.

James G. Mundy

Stanley W. Jeffries
Newburger & Co.

Samuel M. Kennedy
Yarnall, Biddle
&Co.

Wallace H.

Merrill Lynch,

•

Pierce, Fenner &

8§S

Robert N. Greene
Stroud & Company,

Incorporated

Smith Incorporated

,& Co.

Suplee, Yeatman,
Mosley Co.,
Incorporated

Harry F. Green, Jr.

Blyth & Co., Inc.

Incorporated

John M. Hudson

■;

H. A. Riecke & Co.,

Radetzky

York Hanseativ

Corporation

& Battles, Inc.

Runyan

Hemphill, Noyes
& Co.

Joseph E. Smith
Newburger & Co.

Thomas J. Love
Geo. E.

Snyder

James J. McAtee
Butcher & Sherrerd

Wallingford

Janney, Dulles
& Battles, Inc.

Stroud &

Company,

Incorporated

& Co.

Chas. L.

James B. McFarland

John D.

Wallingford

Hecker & Co.

E. Coit Williamson
Schmidt, Roberts
& Parke

/ v*

•

&.L*\<£j.«4-

First

(New

T_
1
-■

-*-

,•*■••»,.

H. A.

Davis,

^""'vf •; r:

•

-4,

«.■

♦

ftf

V; ^^

Thursday, March 3, I960

~jf ,*

\fc

Riecke

Co.,

"'-..Jtil..'!"
1

•'>

£.

Co. (New York);
of Philadelphia);

'•

•■>"3m-^ ^

'J-/>

Inc.; Richard Handly, H. A. Riecke A Co., Inc.; Thomas
Fricke & French; Charles J. Euler, Euler & Hart;
E. Parker, H. A. Riecke <£ Co., Inc.
>

Call,

Woodcock, Moyer,

Corporation (New York); Lewis R. Bulkley, First Boston Corporation
Paul Lane, Kidder, Peabody A Co. (New York); Bud Hardy,
>i
First Boston Corporation (Philadelphia)

Boston

York);

.*.

"*<s*~*Y>-^4>'•••

-?*>-V

Ladd,

Peg

Securities

Edward

Chronicle

Elbridge Smith, Stryker A Brown (New York); Sam De Socio, L. H. lngraham A
FitzPatrick H A. Riecke A Co., Inc. (President of Investment Women s Club
Col. Oliver J. Troster, Troster, Singer A Co. (New York)

Edward Kelly,
Fitzgerald & Company (New York); Joseph Smith, Newburger A Co.;
Loeb, Rhoades A Co. (New York); Rubin Hardy, First Boston Corporation; Phil Loomis,
A Exchange Commission;
Edgar Christian, Suplee, Yeatman, Mosley Co. Incorporated;
Charles Bodie, Stein Bros. A Boyce (Baltimore)

Tisch,

Carl

Commercial and Financial

fjhjg

PICTORIAL

John

"■

>i:*g ■ ;c

t.Z 1.

-4

> A

•

-z

'"v-'''

-■•;■

».
,

■>!'■"'•

'■

«•'...

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»-'■ 'w

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C.;- "**/■, j•u.Z*.i,"...•«.' **•v.

w-;-

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"■

n>','"«?'" '*

:<?

m£kfri>4

)

*. i.. *

.* .V

...

•> *„

»V

Stan

WARNER, JENNINGS, MANDEL & LONGSTRETH
121

SOUTH

BROAD

••

■

Teletype PH 305

YORK, N. Y.

NEWARK, N. J.

REctor 2-5477

WX-1460
.

MEMBERS NE%

YORK STOCK EXCHANGE ''

MEMBERS .AMERICAN STOCK EXCHANGE (ASSOC.)
MEMBERS PHILA.-BALT)MORE STOCK

■-v

EXCHANGE

■

"■

H' V

r,*.'

■X

1»

V
A

«'

MEMBERS BOSTON STOCK EXCHANGE (ASSOC.')V'
MEMBERS IIONOI.ULU STOCK EXCHANGE

—

y
i4

6-6191
^

...

Co.

HONOLULU

•%->'"*'
f

Jeffries,
Newburger
&
Co,; Jim
Mundy,
Suplee,
Yeatman,
Mcsley
Incorporated; Harry Undy, Suplee, Yeatman, Mosley Co. Incorporated;
1
Bob Holman, Smith, Barney & Co.
.'

STREET, PHILADELPHIA 7, PA.

KIngsley 5-5567

NEW

...*.

:V<

I.J.

/vv ;

f..

V"v '/

David

May, May & Gannon, Inc. (Boston); Warren Elgcs, A. A/. Kidder & Co.,
(New Ycrk); Jerry McCue, G. //. Walker A Co. (Providence, R. I.)

/ec*

PICTORIAL

Volume l9i

Number 5930

The Commercial and Financial Chronicle

Drexel & Co.
Established 1838
We Maintain Markets in the

The First

Following Stocks:

Pennsylvania Banking & Trust Co.

Girard Trust Corn

Exchange Bank

Philadelphia National Bank
Provident Tradesmens Bank & Trust Co.

Philadelphia Suburban Water Co.

American

Herbert Beattie, H. A. Rieche & Co.,
Incorporated; Samuel Kennedy, Yarnall,

Dredging Company

Chesapeake Instrument Corporation

Inc.; Harry Green, Merrill Lynch, Pierce, Fenner & Smith
Biddle & Co.; Robert Greene, Stroud & Company, Incorporated

The Hanover Shoe, Inc.
R. M.

Hollingshead Corporation
Teleflex Limited
Members

New York Stock
*

American Stock

Exchange
Exchange (Assoc.)

Philadelphia-Baltimore Stock Exchange
Philadelphia 1

1500 Walnut St.

Dick Suter, H.

A. Rieche & Co., Inc.; Adam Sobel, H. A. Rieche &
Rieche & Co., Inc.; Richard Handly, H. A. Rieche

New York 5
30 Wall Street

Co., Inc.; Bill Jennings, H. A.
& Co., Inc.

Securities Markets
to
Frank

Ronan,

New

William

York Hanseatic Corporation
(New York); Joseph
Radetsky, New York Hanseatic Corporation; Maurice
Hanseatic Corporation (New York)

Smith, Newburger & Co.;
Hart, New York

suit every

need

of Institutional

Securities of the United States
Government and its

Agencies

State, Municipal, Revenue and Housing
Securities

The

FIRST BOSTON

Bonds, Preferred and Common Stocks
of

CORPORATION

Industrial, Public Utility and

Railroad

Corporations

Bank Stocks

Casualty, Fire and Life Insurance

15 Broad St.

Boston

•

NEW YORK 5

Pittsburgh

•

Chicago

DIcby 4-1515
Philadelphia

Company Stocks
Bankers' Acceptances

San Francisco

Cleveland

Securities of the International Bank for
Reconstruction and Development

'Underwrite*

Qjidtrduior ^Dealer

Canadian Securities
External Dollar Securities

D«nbar Abell,
Reed, Lear

Company, Incorporated;
Va.);

(New York); Jim McFarland, Stroud &
William McClintic, Strader and Company, Incorporated (Lynchburg,
Harold Williams, Boenning & Co.
&

Co.

Smedtment Ffecuritied

The Commercial and

PICTORIAL

Financial Chronicle

...

Thursday, March 3, i960

Blyth & Co., Inc.

Public Utilities

Primary Markets

Industrials

With Complete

Bank and Insurance

Trading Facilities

Municipals

Sid

Siegel, Sidney A. Siegel & Co., Inc. (New York); Ed Knob, Drexel & Co.; Dan Conroy, Morgan
Stanley & Co. (New York); Ed Stein, Asiel & Co. (New York); Donald Cronin, Morgan Stanley
& Co. (New York); Joe Cummings, Brooke & Co.

Bonds

MEW YORK

BOSTON
DETROIT

SAN FRANCISCO

•

PHILADELPHIA

•

PASADENA

Preferred Stocks

•

MINNEAPOLIS
•

•

CHICAGO

PITTSBURGH

SAN DIEGO

•

SPOKANE

•

Common Stocks

LOS ANGELES

•

CLEVELAND
OAKLAND

•

SAN JOSE

•

FRESNO

•

SEATTLE

LOUISVILLE

INDIANAPOLIS

•

EUREKA

SACRAMENTO

PALO ALTO

•

PORTLAND

•

OXNARD

•

Bill

Dealers

Myers, Gordon Graves & Co. (New York); John Fitzgerald, W. C. Pitfield & Co., Inc. (New York);
Joe Schneidecker, Coffin & Burr, Incorporated (New York); Ralph
Iriarte,
Charles King & Co. (New York)

Municipal Bonds

THE PHILADELPHIA NATIONAL BANK

Norman

Wilde, Janney, Dulles & Battles, Inc.; Willard Rice, Eastman Dillon, Union Securities & Co.;
Miller, Eastman Dillon, Union Securities & Co. (New York); Coit Williamson,
Schmidt, Roberts & Porke; Sol Bass, Bear, Stearns & Co. (New York)

Charles

Clearance
A

special department is maintained

clientele

specialize

Brokers

settling

securities transactions

deliveries
as

are

collections

ent

and

Security

and handling

Banks. The

First

cost

large

all

types

locally and nationwide. Re¬

promptly handled by

through

for

Dealers.

our

messenger

network of Correspond¬

is moderate.

Inquiries invited.

Pennsylvania

Banking and Trust Company
PHILADELPHIA.
38

PA.

OFFICES-SERVING MORE PEOPLE MORE WAYS THAN ANY OTHER PHILADELPHIA BANK

Member Federal

Deposit Insurance Corporation

Harry

Ira Haupt & Co. (New
York); Lawrence Illoway, Penington, Colket <ft Co.; Jim Musson,
& Co. (New
York); Jack Blair, Eastman Dillon, Union Securities & Co.

Newburger, Loeb

Volume 191

Number 5930

The Commercial and Financial Chronicle

PICTORIAL

Thayer, Baker & Company
WALLACE M.
JOHN

McCURDY, PRESIDENT

M. HUDSON, EXECUTIVE

member

ESTABLISHED

TRADING
ALFRED

PHILADELPHIA

LOCUST

Topol,

Bob

Greene and Company (New York); Albert J. Caplan, A. J. Caplan & Co.; Jack Fant,
Co.; "Duke" Hunter, Wellington Hunter Associates (Jersey City, N. J.);
Vincent Lytle, Shields & Company
(New York)

Penington, Colhet &

1920

RICHARD

NATIONAL

CAMPION

'?•;

•

■'

BANK

■■

BLDG.

3-0254

TELETYPE

exchange

stock

DEPARTMENT

J. WILLIS

/A'A,--, '

824

VICE-PRESIDENT

philadelphia-baltimore

PHILADELPHIA 7

NEW

1026

YORK

TELEPHONE

CORTLANDT

DOYLESTOWN OFFICE:

7-6814

E. COURT ST.

FILLMORE 8-5464

CORPORATE

TRADING

JAMES

WALTER

FRED T.

Andrew

Pimley, First Boston Corporation; Jack Laeri, First Boston jQorporation (New York);
Martin, White, Weld & Co.; Ed Larkin, White, Weld & Co. (New York)

DEPARTMENT

McATEE,

manager

SEVING, JR.

Dick

GEMENDEN

ALVIN

MUNICIPAL TRADING
JAMES

JOHN

JOSEPH

JORDAN, JR.

KELLER

DEPARTMENT

HEWARD,

RICHTER

CHRIS

manager

HENRY

WM.

LA BRUM

SHERRERD, 111

GLEN DINNING,

JR.

Established 1910

■jutcher
1SOO

Sherrerd

ST.,

WALNUT

PHILADELPHIA

2, PA.

PEnnypacker 5-27Q0 •,Teletype: PH-4 »-New Vort BArclay 7-4641
Members: New York Slock
American Slock

Exchange

•

Exchonge (Assoc.)

Philadelphio-Boltimore Stock Exchange
•

Boston Slock Exchange (Assoc.)

\xrai?l*an' Warner, Jennings,
Wallace

Mandel & Long; Barney Nieman, Carl Marks & Co., Inc. (New York);
Runyan, Hemphill, Noyes & Co.; Leon Dorfman, Goldman, Sachs & Co. (New York);
Jack Klingler, Goldman, Sachs & Co.

82
of

YEARS

combined

securities

experience in

pertinent

and the eastern

trading

Philadelphia

Pennsylvania market.

Still Eager to Serve You
*

Vic

CALL

* * *

Mosley

Jim Mundy

Ed Christian

Harry Undy

SUPLEE, YEATMAN, MOSLEY CO.
INCORPORATED

1500 Walnut Street
Telephone:
io

New York

°PPer,

Maguire & Co., Inc. (Boston); Edgar Christian, Suplee, Yeatman, Mosley
Incorporated; John Daley, J. B. Maguire & Co. Inc. (Boston); George Angelos,
Chas. W. Scranton & Co. (New Haven)

Co.,

•

KIngsley 5-1343

Telephone:

Philadelphia 2, Pa.
Teletype: PH 242
CAnal 6-7207

The

PICTORIAL

Allan

Foard,

Commercial and Financial

Stroud
James

Michael

EST.

MARKETS

Chronicle

•..

Thursday, March 3, 1960

A Company, Incorporated; George Richardson,
McAtee, Butcher A Sherrerd; Robert Donovan,

Vilas A Hickey (New York);
Blyth A Co., Inc.

Heaney, Michael J. Heaney A Co. (New York); Stanley Roggenburg, Roggenburg
(New York); John McLaughlin, McLaughlin, Kaufman A Co. (New York);
Sid Jacobs, Sidney Jacobs A Co. (New York)

A Co.

1916

MAINTAINED

Dealers in over-the-counter securities
We

are

especially interested in

situations for retail.

HECKER & CO.
Members
New

American

York Stock

Stock

Exchange

(Associate)

Philadelphia-Baltimore Stock

Exchange

Liberty Trust Bid?., Broad and Arch Sts., Philadelphia 7, Pa.
Phila. Yhone LOcust 4-3500

Active

Teletype PH 767

N. Y. Thone DIgby 4-6792

Arleigh Hess, Hess, Grant A Remington, Inc.; Louis Walker, National Quotation Bureau (New York);
Carl Stolle, G. A. Saxton A Co., Inc. (New York); Bill
McCullen, Hess, Grant A Remington, Inc.;
Cliff Remington, Hess, Grant A Remington, Inc.

Trading Markets In:
Miles Laboratories Inc.
William H. Rorer Inc.

Philadelphia Life Ins. Co.
Quaker City Life Ins. Co.

Schmidt, Roberts & Parke
Members

Philadelphia-Baltimore Stock Exchange

123 South Broad Street,

N. Y. Phones

Philadelphia 9, Penna.

Teletype

REctor 2-1695

Phila. Phone

538

KInssley 5-0650

HAnover 2-4556
Darrah Ribble, H. A.

Singer

UNDERWRITERS AND

DISTRIBUTORS OF

Rieche & Co., Inc.; Frank Betz, H. A. Rleche &
Co., Inc.; Bert Pike, Troster,
(New York); Charles Offerman,
Troster, Singer A Co. (New York)

A Co.

CORPORATE AND

MUNICIPAL SECURITIES

EST. 1914

Boenning

Co.

Members

1529

WALNUT

STREET

Philadelphia-Baltimore Stock Exchange

PHILADELPHIA 2, PA.
Bell

System Teletype PH 30

Telephone LOcust

American Stock Exchange
8-0900

115

BROADWAY

NEW YORK CITY
6, N. Y.
Private

New

York

Telephone COrtlandt 7-1200

Volume 191

Number 5930

...

The Commercial

and Financial Chronicle

PICTORIAL

Dealers in

Corporate Stocks and Bonds
Municipal Bonds
TRADING DEPARTMENT

KIngsley 5-3115

Hess, Grant
Herbert
York);

Co.

(New York);

Jack Christian, Janney, Dulles A

Remington

Incorporated

Fitzpatrick, Dick A Merle-Smith (New York); Bernard Horn. Greene and Company (New
Michael Kinsella, Robinson A Company, Inc.; Stanley Dawson-Smith, Cruttenden, Podesta A

Battles, Inc.

Fidelity-Philadelphia Trust Bldg.

123 South Broad

Street, Philadelphia 9, Pa.

KIngsley 5-7474

Teletype PH-829

HAnover 2-4120 (New York)
'

Members New York Stock
Exchange,
Philadelphia-Baltimore Stock Exchange, American Stock Exchange (Assoc.)

DeHaven

Townsend, Crouter
Established

Bodine

1874

Members
Hew

York

Philadelphia-Baltimore Stock Exchanges and
American Stock.

Exchange

LAND TITLE BUILDING, PHILADELPHIA 10
Mitch

Bruck, Stein Bros. A Boyce (Baltimore); Don Williams, Burnham and Company (New York);
John Wallingford, Hecker A Co.

Telephone LO 4-2900
Bell System

Teletype—PH 518

Distributors, Dealers, Underwriters
Corporate and Municipal Issues
Stock and Bond Brokers
New York

Upper Darby, Pa.

30 BROAD STREET

6910 MARKET STREET

Dlgby 4-0200

FL 2-0838

Stamford, Conn.

Jenkintown, Pa.

ONE ATLANTIC STREET

100 YORK

Fireside 8-6466

ROAD

TUrner 7-7660

Wilkes-Barre, Pa.—Northeastern National Bank Bldg.—YAlley 3-4131

D-

MacAlpine, Goldman, Sachs A Co. (New York); J. S. Laut, Hallowell, Sulzberger, Jenks,
Kirkland & Co.;
George Ross, Goldman, Sachs A Co.; Arthur O'Connor, Drexel & Co.

UNDERWRITERS

•

DISTRIBUTORS

•

BROKERS

Effective Distribution in the Nation's
Third

Largest Trading Area

Newburger

Company

Members:
New

York

Stock

Exchange

•

American

Stock

Exchange

Philadelphia-Baltimore Stock Exchange

1401 Walnut

Street, Philadelphia 2, Pa.

New York City
a,"d

Neal, Goldman,

Sachs

Collings A

Co.;

Weller, Goldman, Sachs & Co.; George
Inc.; A1 Willis, Thayer, Baker A Co.

Jack

Company,

Willis, C. C.

Lebanon

•

Atlantic

LOcust 8-1500
Vineland

The Commercial

PICTORIAL

and Financial Chronicle

Thursday, March 3, 1960

111II1111111111111111111111111111111111111111111II11111111111111111111111111111111111111

Janney, Dulles & Battles
INC.
1401

WALNUT

STREET, PHILADELPHIA 2
Members

New York Stock

Exchange

Underwriters
UTILITY
BANK

Phila-Baltimore Stock Exchange

Stock

American

—

Exchange

(Associate)

Distributors

—-

Dealers

INDUSTRIAL SECURITIES

AND
AND

INSURANCE STOCKS

MUNICIPAL AND

REVENUE

BONDS
John

jjj;

Direct
Phones

—-

Cantwell, Walston & Co., Inc.; Jack Cantwell, £. W. Clark &
A Co.; W. C. Scott, Brooke & Co.

Co.; Chick Bradly, E. W.

Clark

Trading Wire to A. M. Kidder & Co., New York

Philadelphia, LOcust 8-3400

Bell

New York, WOrth 6-5646-7

Teletype PH 80

^llllllllllllllllllllllUIIIlllIIIIIIIIIUlIIIIIIIIIIIIIIIIIIlllUIIUIIIIIIIIIIIIIIIIIIIIIIIIlfr
ys

Hopper. Soliday & Co.
Established 1872

Members

Philadelphia-Baltimore Stock Exchange

—

•

Charles

Weil, Joseph Walker & Sons (New York); Bill Laurie, Sheridan, Bogan, Paul A
Herb Singer, Singer, Bean A Mackie, Inc. (New York); John Jennings,
Warner, Jennings, Mandel A Longstreth

Co., Inc.;

Brokers and Dealers in
LISTED AND

UNLISTED

SECURITIES

Trading Department

Joseph A. McNamee
1420 Walnut

John Gibson, Jr.

Street, Philadelphia 2, Penna.

Telephone—-PEnnypacker 5-4075

Teletype —PH 593

Harlan
Fred

Statzell, De Haven A Townsend, Crouter A Bodine; Lee J. Alfgren, Salomon Bros. A Hutzler;
Carter, De Haven A Townsend, Crouter A Bodine; Henry Warner, Laird, Bissell A Meeds

Active TRADING MARKETS
in All Pennsylvania

Authority Issues

and General Obligation State, County and

Municipal Bonds

Primary Markets
in

Pennsylvania Tax-Free
Preferred and Common Stocks

Kidder, Peabody
FOUNDED

Co.

1865

Members New York Stock Exchange. American Stock
Exchange,
Boston Stock Exchange and Midwest Stock Exchange

Fidelity-Philadelphia Trust Bldg., Phila. 9, Pa.
Teletype: PH 249
Altoona

Windsor 4-9405

Telephone: Klngsley 5-1600
Reading

Franklin 4-3153

Bcranton

Wllites-Barre

Diamond 3-1261 Valley 3-11W

Howard

Kellermann,
Robert

Alex.

Brown

Sons (Baltimore); Len
Butt, Mead, Miller A Co. (Baltimore);
Sanford, Eastern Securities, Inc.; Bill Bergin, Eastern Securities, Inc.

Volume 191

Number 5930

The Commercial and
Financial Chronicle
\
PICTORIAL

SMmfgfSgmfwsaB
M, 'r%/
ffirnm

/y,

f?. n n

* 1

mmmrn

Mi,

i i»p m im m i Pi«m i m
m w. i J
DEALERS AND
UNDERWRITERS

'%$}
.

■a#--

Obligations of the
W&M
*

COMMONWEALTH
sAKVV

f't,

PENNSYLVANIA

and its Political
Subdivision.
/

,,_

,/j..
"

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Specialists In

•

'""

■m

/C';//' *v''*
A

.P|
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PHILADELPHIA BONDS
PENNSYLVANIA SCHOOL AUTHORITIES
CITY

TURNPIKE, WATER

Carl T. Necker, Goldman, Sachs & Co.; Joseph Gallagher, Blair &
Co. Incorporated; Dan
Kidder, Peabody & Co.; Norris Jordan, Eastman
Dillon, Union Securities & Co.;
Leonard Frisbie, Leonard A.
Frisbie & Co. Inc. (New

Fisher,

AND SEWER ISSUES

SCHAFFER, NECKER

York)

& CO.

Packard Bljdg.r
Philadelphia 2
LOcust 7-3646
from

NEW

from

*
Teletype PH 864
YORK—phone Enterprise 6289

PITTS^URCH-~pbbne

2enjth: 0821

INDUSTRIAL and UTILITY
Common and Preferred Shares

PENNSYLVANIA and GENERAL MARKET

Municipal Bonds

WOODCOCK, MOVER, FRICKE & FRENCH
INC.
Business Founded

1842

•

MEMBERS
New

York

Stock

Exchange

Philadelphia-Baltimore Stock
Albert

American

Teller,

Albert

Teller

Co.; Joe Markman, Newburger &
Co.; Peter Cardamone,
& Co.; Roy
Trevine, Harriman Ripley & Co. Incorporated

Albert

123

Stock

Exchange

Exchange
(Assoc.)

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STREET, PHILADELPHIA 9, PA.
Telephones—New York: WAlker 5-0312;
Philadelphia: KIngsley 5-7200
Teletype: PH-160

N'v^"'

Rambo, Close & Kerner
Incorporated

1518 LOCUST ST., PHILADELPHIA
2, PA.
Phlla. Telephone

New

PEnnypacker 5-2800

York

Telephone

REctor 2-2820

Teletype
PH

Corporate and Municipal Securities
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CHARLES G. PRIGGEMEIER

Vice President

in Charge of
Corporate Department

Assistant Manager
Corporate Department

RUSSELL M. DOTTS
Manager of Municipal Bond Department

vntf' C^ttenden,

Podesta & Co. (New York); Joe Conlon, Grace Canadian
Securities, Inc.
York); Jens K.
Schanke, Grace Ccmadian Securities, Inc. (New York); Irving
Grace, Grace
Canadian Securities, Inc. (New
York); Fred Fischer, H. N. Nash & Co.

Investment Securities
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(Member Phila.-Balt.

1433

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Exchange)

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PHILADELPHIA 2, PA.
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Direct

TROSTER,
P?n» C- •/. Devine & Co.; Bill
Davidson, Insurance Co. of North America; Carl Necker,
Shaffer, Necker & Co.; Alfred
Sharp, Metropolitan Securities, Inc.; Joseph Girard,

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TO

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PICTORIAL

The

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...

Thursday, March 3, 1060

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Paul Lane, Kidder, Peabody & Co. (New

John

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•

•> 1

York)

....

r-4-

McGarvey, Stroud & Company, Incorporated; Grant Campbell, Butcher & Sherrerd;
Snyder, Yarnall, Biddle & Co.; Tom Bowers, Yarnall, Biddle & Co.

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Industrial, Public Utility, Railroad, Real Estate,
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1930

Dudlchum, Plymouth Fund, Inc.; Edwin Abele, Securities Trading Corp. (Jersey City, N.
Jack Carothers, Janney, Dulles & Battles, Inc.; George Dudlchum, Plymouth Fund, Inc.

J.) J

1960

TRADING

MARKETS
in

UNLISTED

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York

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ompamj
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Street, New York 5, N. Y.

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(Washington,

& Co. Inc.
& Co., /«*•

D. C.)

Volume

Number 5930

191

The Commercial

and Financial Chronicle

PICTORIAL

11
4

Public Utility • Railroad
. SECURITIES

.,i.

^VV

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■*

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Guaranteed

and

Leased

Equipment Trust

Line

Bank and Insurance
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Member

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Associate Member' Boston Stock Exchange'

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■'

Investment Securities

1516

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Fred

Union Securities &

Eastman Dillon,

Knob,

Neuiburger

Co.;

Co.; Joe Brennan, Newburger
Bouchard, W. E. Hutton & Co.

Co.;

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Street, Philadelphia

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Exchange
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'•

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;
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Parkes, Jr.—-Manager

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vAv

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•
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Sherrerd;

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Thomas

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Hammett, Boenning & Co.; Craig
Morrissey, F. J. Morrissey & Co.

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Lewis

Dick

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Trading Markets

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Philadelphia Bank Stocks'

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Philadelphia

■

■.

New Jersey & Delaware
Transportation

Co.

•

Bank Stocks

Issues

jr. k.:

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W

Philadelphia Teiephone

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System

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Established

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York

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Exchange

American

Stock Exchange

Philadelphia-Baltimore Stcck Exchange

B'lF Job-sen, F
Lo-;,Homer

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-123

Street,

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Thomas, F. P. Ristine & Co.; A1 McBride, Wright, Wood
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acsnr,atc

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•

Broad

St.
-

VValJ?ce,

Troster, Singer

'roster,

Singer

Co.

Co.
(New

Tom Darrie, P.

<New

York);

Tom

Robert
Suski,

Hart, Euler & Hart;
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(New York)

W. Brooks & Co. Incorporated

Robert Lienhard,
Co.;

'.Telephone
KIngsley 6-2551

PETER CARDAMONE
btrt

EXCHANGE !\

I BOSTON STOCK EXCHANGE "<•">
i PITTSBURGH STOCK EXCHANGE

Phila. 9, Pa.
*
•
—

:
STOCK

—

Mgr. Trddidg Depu/

The Commercial and

PICTORIAL

William
Suplee, Suplee, Yeatman, MosIjv Co. In¬
corporated; Arthur Horton, Penington, Colket & Co.

Thomas

Krug,

£ Co.; Townsend Anderson, Bioren & Co.; Bill Gregory 3rd, Gregory
York); Norris Rosenbaum, Englander & Co., Inc. (New York)

Bioren
(New

Ernest

i-iennard, Troster, Singer & Co. (New York); Walter Filkins, Troster,
Singer & Co. (New
York); Lee Baiter, Troster, Singer & Co. (New York); John
Yeager, Baker, Watts & Co. (Baltimore)

Basic analysis

ervice

Singer, Beain
40

Jack

New

HAnover 2-9000

& Sons

Frank

Thursday, March 3, 1960

Whitley,

Bioren
Bioren

&
&

Wielar, Gregory & Sons (New Ycrk); Frank Gorman, H. G. Ku:h and
Englander & Co., Inc. (New York); Barney O'Brien, Charles King &

Co.;

Lloyd

Brown,

Co.

Company;

Ted

Co.

York)

(New

L-ndon,

Market facilities

& Mack if, inc.

Exchange Place

Financial Chronicle

York

1-1825

5, N. Y.
&

Andrew

Johnson, Dewey, Johnson & Co. (New York); Oliver J. Troster, Troster,
Singer & Co, (New York); John Hudson, Thayer, Baker &
Co.; Sam Weinberg,
S. Weinberg, Grossman & Co. Inc.
(New York)
<"'•

1-4844

FIRM TRADING MARKETS
IN OVER 4S0 STOCKS
Direct Wires to
Burton J. Vincent & Co.

Saunders, Stiver & Co.

Chicago

Cleveland

Evans

MacCormack &
Los Angeles

Dallas

Stone & Youngberg
■

■

Stifel, Nicolaus & Co.
St. Louis

Rupe & Son, Inc.

San Francisco

Warner, Jennings, Mandel & Longstreth
Philadelphia

Anthony Coculo, Fidelity Philadelphia
Trust
Company;
Sparks & Co.; William Allen,
Fidelity Philadelphia

Walter

Fix.er,

Trust

Company

Number 5930

191

Volume

The Commercial and Financial Chronicle

supported by the experience with
the 1-year bills—along with other

Leading Financial Questions

serious
in

Discussed in Washington
Treasury

Continued -from page 22

purchases for the speculative
profit, they , will tend to depress
pricei and interfere with orderly
distribution of the issues by legiti¬
their

underwriters to ultimate
owners. The secondary distribu¬
tion of an auctioned bond would
be further impaired: by
the re¬
luctance
of holders- -who
paid
above the average price to take
a
loss on the transaction at the
mate

even if -it remains
the average bid. Many
institutional portfolio
managers
dislike the auction technique, lest

market price,
steady at

bills

market

count

rather

yield

traded

are

the

basis of
than

ber of days in the year.

yield

was,

the

and

basis

be fewer origi¬
nal bidders for the bonds, which
wouid tend to lower the average
there would

price and increase the cost to the
Treasury.

all.

the

"Ail

Complications
the

There

additional

investors such

that many

fact

pen¬

funds

sion

ferring

earnings,
than

"buy ' coupon," pre¬
high a rate of current

they

part capital
the

bond

gain
it

other

credit
loan

when

they sell

Again,

the

accounts

that

the

auc¬

subscribing

every

This
com¬

would

raise

tax

complications,

under the auction

even

system, the
Treasury
would
have
to
price
bend issues to some
extept, plac¬
ing

ties.

But

cepted

no.

below

under

bid

the

could

certain

securi¬

discount

1% for

each

than
full

turity would fall

year

under

ma¬

the

ordinary income. These provisions
do not
apply to bills, since they
not

capital

purposes.

With

for

asset

act

tax

auction,

bids

may be accepted at
many different
prices and each lot
would have a

original issue discount.
bonds issued with the
origi¬
nal issue
discount might be ac¬
corded different tax
treatment as
result

secondary
tusion

transactions

the

market, creating con¬
evaluating them" and

UD<dermining

inW»st

investor

Treasury
at

the

brieves therefore
obstacles to extension of

auction

technique

"ormidablf Iong"term
thIVSie?*;reme*y
relative
ne

tn
o

costs

inter-

bonds are

son'<?

selling Treas-

very

difficult

method

the

"i f?1 area" Secretary Ander-

Lof February 17,

1960,

rf' T1homas B- Curtis

MoT

(R.,

vfals. considerable disapWith the results °f the
I"8 J?f 1~year biIls- <<Such
c.e'
Anderson
wrote,

nnint

auetW
exner

<<catQ

visab1lifv10U/ doubts
of

sale

rvf

as to the ad~

^ an early extension
?Uctlon technique to the

TrGaSUry Se"
arv i
lo-n
1? times Slnce Janu"
at niinfu m? Treasury has sold
of

averacroar

J
+

its new cycle
maturities.
The

raieo0f discount
Point vi-4>38%'
wa*
auction*

on these

basis

comna,QMVe the average yield
the

rates

would

than

md loan
ke

privilege,
basis

was

points

the

:hey

19 basis

ficates

justed
of

fact

be
ad¬
in view

might
perhaps
upward slightly

spread
the

that

carried

issues

one

These

loan

and

tax

privilege.
"After

the
described

carefully 'studying

results of the operations

above,

that

concluded

have

conditions

under

existed

they

the
Treasury, on average, might well
have saved jone-fourth of 1% or
during

the

past

fixed rate

offered

had

certificates

or - so

year

the

than

rather

auction

the

inasmuch .'.as

conclusive

represented

bills

1-year

de¬

new

dis¬

the

markit securities

available in

much longer Treasury bill than

^ad

been offered

ever

before. We

hope that these results are not
conclusive;
we \ much
prefer,
where feasible, to use the auction
of

method

pricing

Treasury

se¬

first

problems involved in pricing
issue of securities. Thus, we
shall continue to use the auction
technique whenever the prospects
for
its
economical
application
favorable, and we intend to
the new cycle of 1-year

seem

maintain

bills.

man-

been

Treasury and
to

de¬

this

believe,

experience

securities

however,

auctioning

with

only

that

one

year, ma¬

serious
questions
with respect to recent proposals
turity
to

raises

auction

even

sometimes

questions

Treasury securities—even

Congres-

the

truth

the

of
.

convinced

opinion still.

same

time

his

;V-T:iirL-'Tv

//,;

of the

ing

against

that

curities

could',only

result

the

Treasury,

Treasury—a

judgment

strongly

because

The

Government market

thin

The

and

answer¬

questionnaires
is not
wasted, however. The answers,
wnen
published, are educational
long

those

decline

•

quotations
also

was

refunding and new
raising
operations
fron.

sector

the

woul.

market

supply

of these

securities.

Government

issues

stocks.

common

will

purchases of
long-term Government bonds did
not

expand to any extent in this
period because much more favor¬

had

i\i% Rate

have

tax

shelter.

that

the

rush

changes

'the

have

-who

time

and

themselves

cies

makes the

likely not be done

from

benefit

devoted

space

ex¬

plore in some detail the Treasury

viewpoint

financial

questions

two of many
which
are

discussion in

active

under

only

other
in

questions

topical
6C

Parts

and

Wash¬

discussed

Economic Committee's

the

Joint

amount

Phila. Ass'n

Hear

politics

O'Hara,
of

have

talk

invited

been

Chairman

Trustees

Thomas

the

of the National

Board
Asso¬

Clubs

Investment

the

Philadelphia National Bank,
Tuesday, Feb. 23, at 3:30 p.m.
The program is
sponsored by
the New York Stock Exchange.

To Be H. L. Kimball Co.
As

of March

Moore

the firm
&

Co.,

name

Broad

of the New York Stock Exchange,
will
&

Co.

flash in the
' '
_;

:;1.;

1960

...

Cash Borrowing

Treasury is not expected to
in

back

the

until

money

for

new

the end of the

early part of April.

cash

new

market

near

the

needs

this

bor¬

billion.

involved

but the feeling
growing that the Treasury will

quite

cash
1960.
ture

This

should

Another

last

the

offering' for the

fiscal

year

new

money ven¬
will probably be undertaken

August.

changed to H. L. Kimball

evident

the

that

Robt. MartinAssoc.
To Be NYSE Firm
Robert A. Martin
members

March
Fifth
way,

Avenue

Robert

who will

the

Government

bondr

with

10th

and

York

formed
offices
120

Martin,

acquire

exchange;

Louis

will

Associates, Inc.,

New

Stock

680

Broad¬

New York City. Officers will

flotation

with

of the

Exchange,

vice

president,

membership in

Stanley L. Hilton,

president and secretary; and

Volkomer, treasurer.

maturity of more than five
years will lose much of its steam
as a
political issue if it does not
a

appeal to the country as a whole.
According to advices, there ap¬
pears to be no great public furore
created by the high interest rate
which

issue
cate
is

that

the

would

seem

workable

making

indi¬

Specialists in

U. S. GOVERNMENT

compromise
far

the

...

and

4Y4% level for Government bonds
is

concerned.

about

faced

were

time

interest

this

that

realities

Congress

the

rate

controversy

needs

•

sensible

the existing
that is not a

competition

and

long-term

of 4Y4%going to put

are

into

rate

not

Inves¬
money

Treasury issue with

turity of
41/4%

securities

meet

must

manner,

tors

Federal agency

Government, in order to
its

finance

PHILADELPHIA, Pa.—Members
of
the
Philadelphia
Securities
Association

nighi

this' situation,

since the

attend

The
be

higher interest rate needed for the

1959 hear¬

employment, growth and
price levels.
ings

pass¬

eventually get most of what it has

the

to: this

have been able

rowing will most likely be in thC
neighborhood of $2 billion or $2V2

over

than

just

was

The

defensive

not this betterment in

Final

oppor¬

laws.

the

;

pan.

4V4%

-long-term
bonds
for
re¬
and new money raising
purposes.: To be
sure, this will

bit, and the stock

not

se¬

discipline of having to explain and
defend.
And they are never al¬
lowed
to
forget
that
Congress

article

whether

funding

ing

buy

appears

it will be interesting to see

was,

month

most

Governments

market

Congres,

the

rate

ceiling this year so
the Treasury will be able to

that

cor¬

the

strong

market ithat the

make

interest

obtained in

Now

ing issues

Exceed

belief

money

instead

The

the market for fixed income bear¬

Treasury

The;

addi¬

of
ac¬

in /the

increase

selected
In

invested in the not too distant

was

the

money

porate bonds and tax-exempt ob¬
ligations, with the latter bonds
being bought by investors that

moderate expan¬

work

securities.

able yields were

been seeking.
through
What the final legislation wil
them. Through legislators, educabe like is largely a matter of con
tors
and,
not least,
the
press,
siderable conjecture at this time,
facts become known to the more
but
it
appears
as
though there
general public. Thus we are, in¬ will be
enough leeway in the ex
debted to politic-., to admimstrapected changes in the interest rate
tion critics, for causing the Treas¬
limit
law
so
that
"advance
re
ury and the Federal Reserve Board
funding!" and the obtaining of
to put their thinking and their ex¬
new funds will be
carried out by
perience down in black and white the Government at rates
higher
and thus help us, mere mortals, to
than the currently existing level
weigh theory against truth and
of 41/4%.
politics against economics. In the
process the administrative
agen¬
Public Disinterested

tunity

there

since

professional

Governments

when

ma¬

than five years at
much better return

is available in

exempt

corporate and taxobligations. -Whether

there will be callable Government

securities

the

new

turn

has been discussed at
the hearing in Washington, will
depend most likely on the kind

events,

changes which are made in the
rate ceiling.
Diminishing

The

demand

obligations
ened

Aubrey G. Lanston
& Co.

interest

auctioning of longer term se-. Street, New York City, members

abhMhunderstates- considerand
flec4tr"e yield to the investor much1 higher interest cost to the'
st
to

them

requirements.

because there is

consumed

right for

was

tion, the yield which was avail¬
able in Treasury obligations was
high enough so that new money

issue

man

The

includ¬

ing long term bonds. As we have
stated before* we are convinced

investors, aside

character.

ten¬

who,
even
when
shown the light, continue

i:->4y will

term

longer

Fed¬

answering

critics

ciation

"We

these

still

vmany

have

saying:

cult

new

by any appreciable
activity and volume,
obligations have not

commitments

not

curities because it avoids the diffi¬

been attractive

this

Board

and

are

new

auction.
Ad¬
mittedly, this experience may not
bills

1-year

by the

underscore

-d

tax

the offerings of certi¬
and
notes, although this

points

years

time

Reserve

ional

markedly

of only

spread

increase

probing

something
the bills

auctions. This contracts

with

the

initial

banks

dentious

(higher

accompanied

put

Government

have subsided

otherwise be

effect

the

de¬

lected

eral

case, it is reasonable to conTude that the true spread, adfor

The

shift

concentration

the

enough uncertainty in the
equity market to result in funds

takings of the intermediate-term
issues,
since
a

momhs

usted

that

parture in Treasury debt manage¬

interest-cost saving

auctl0n

interest

;wer

concludes

obligations

months

climate

sion

bid

a
as

Treasury

voted

market.

companied by

privi¬

and

bills, ex¬
tendency toward
compared with

bard 1° evaluate ment—namely, the introduction of ington today. Those who have the
time will find these and a host lof
of

ni would be
p ove

shnri

loan

and

securities

the

issuance

securities by auction and
by
asury pricing methods now in
any

•rices)

different

Even

tax

uncierwi'uv-o

Tors

tax-

provisions governing original

the

of auctioned

case

these

two

commitments

being

bond

cline which has taken place in the
most ./distant maturities was not

long

lege, which induced the banks to

one-fourth

issue discount and the
increase in
value to par would be
taxed as'

are

value

auctioned

new

these

which

purchases

first

The

year.

ernment

long-ierm

ac¬

discount

without tax complica¬
Securities
issued
at
any

tions.

law

par

greater
of

rate

coupon

one

/great

the

was

compulsory

the

" V?"'of the bill issues reflected the

■>y

instance.

investors prefer not to buy available in excess reserves, the
v^cise
amount depending on the
premium, - because they prefer
eserve
classification of the subnot to get
part of their capital,
crib ;ng bank. Inasmuch as bids
back with each interest payment.'
bonds

showed

ceiling has had an
unsettling influence on the Gov¬

from those who have had to make

experience

tribution

long-term

limited amounts

sizable
made

were

the

many

Auctioning

is¬

rather

adoption of the auction technique
for longer bonds would increase

dollar it had

one

4*%%

The

could, if it so wished,
between $5 and $9 of the new

ouy

the

at rates above the

money

anticipation;, certificates, , on
which the Treasury fixes the rate.

bank

Lsue for

new

given

outstanding

and to raise

current

tax

and

banks.

refund

in the

letter

tax

last

was

since

concentration

mv uvu.

Treasury's

the
sup¬

later

issues in professional hands. Even

privilege of commercial bank
payment
for
the
securities ;by

means

matures:

offerings)

feeling that the Treasury will

sooner

The

is this

bill

The

a $100,*
000,000 Federal Farm Mortgage
Corporation issue, for which only
$86,000,000 tenders were received.

the

get, rather
mercial
earnings and:

can

current

part

the

and

market

technique
used in August 1935 for

concentration

the

one

others,

The

perience shows

but

dealers

and

substantial

stances.

tion (as contrasted with only one
Tax

banks

with

for

the

port by the Treasury in some in¬

above-men¬

Secretary /Anderson's

York

need

continued:

•'

with

compared

reduction

sues

spread

compared

after

tioned 38 basis points. Nor

ahead

New

cer¬

consulting ad¬
visory groups, the average interest
they be criticized either for pay¬
paid, was 4.26%, compared with
ing too much or for not obtaining
a 4.07% yield to
maturity of com¬
the securities becauce they bid too '
parable
outstanding
issues,
a
low. Thus, they would rely on the
spread cf only 19 basis points, as
secondary
market.
This
means
that

market

but
technique

the

CHIPPENDALE, JR.

agency,

satisfactory,
of

use

JOHN T.

direct

submitted, a
bidding, a
heavy concentration of bidding by

January 1, 1959, on
which the Treasury fixed the in¬
rate

Federal

used

was

both

wider

since

terest

the

in the amount of bids

notes

ma¬

1935. At first

accompanied

was

points.

short-term

method

issues,

was

successive

bills

earlier

and

1934 and

response

num¬

Thus, the

issues

six

tificates

was

Moreover,
sold

360

auctioned

auction

long-term

Government

five issues, 4.60%,
4.38%, and the aver¬

than

spread

age

the

for

the

rather

The

bank dis¬

days, rather than the actual

furnished

Committee."

investment

and, further, because
yields are based on

true

described in detail in written

Our Reporter on

disadvantages referred to
testimony yesterday and

terial

the

market

(979)

Demand

for

less¬
following
the

appears

somewhat

Government

to have

INCORPORATED

20 BROAD STREET

NEW YORK
☆

CHICAGO

☆

☆
BOSTON

The Commercial and Financial Chronicle

(980)

regions

Impressive Trends Ahead

business

For Electrical—Electronics
Continued from page 3

filled,

needs

new

known

light,

"progress." That is the
*tory of the electrical industry
ranging all the way from the iaboratories,
to
the
manufacturing
companies, to the utilities, to the
as

consumed.

When

Recent

Milestones

look

you

recent milestones

for

the

in the electrical

industry, it becomes a challenge
of finding a logical milestone to
separate from the thousands and
thousands of others. And so you

finally

decide

reach* into
trarily

that

the

take"

have

you

record

out

arbi-

three

milestones

as typical of the many,
single out the development
of high-pressures steam
turbines,

You

the fluorescent lamp, the cathodetnKo

t-ov

«;hiph

raHar

the

1970

rate

are

around

1V2

ing

have

on us.

Let's
little

bolizes

developed

One

industrial

10 years.

—l-v

big

untapped

both

the

and

the

from

way

product

produced

because

answer,
we

run

What

the

our

processing,

cisions

will

are

electronic

an
r.

—*.

gadget

and

those

jet engmes), the all-electric
motive,

tne

i°££~
t

atom-smasner,

.„w.

side of the fence, the
for

control

process

w..w

momentum

device,

ioui-

proof airway navigation, but

this

magic doubling has been
k*.
4k
supplied by the electrical manu-

can

assured

will

If
ment*

few

thp^ riLdonwould

vou

minutes

find

that

the

verv

curve

becoming exponential and

was

go-

ing right off the ton of the chart.
®

■

later,

Inoef

CoA

KiIHaa

ktr

"IOTA

-phe

AAiiA+Ar-oAim form

AqcilTPC

and

"electronic

brain; it's
faster

fool
a

faster

f hP

than

It's

thing

won't

tax
any-

for
anybody. ; There
bottomless bucket of

gold in this economy or any other
economy — and
if we all don't

that,

itTill

and

aa/4

that; will

work

tiriiV*

itn

will end

that

and

any

realize
tivA

with

together,

rlanrn^cinn

depression

make,,1929 Took like

picnic.

You

sum-

man,

and

present

is,

not

can

left

waste

its
,

that it

sure

isn't

compute

can

making

eliminated

and

businessman^

every
other
faced
with
the

challenge of doing everything he

—

you

let

Don't

man,

first

extravagance,

you.

tool.

than

marize

brain."

description

without

has

it.

computer"

keeps increasing the tax

load

they

time

'basis
employees,

;

customers;

ernment

informa-

about

fair-sharing

if labor takes all
of'the productivity
increases in
the form of higher wages, if
gov-

de-

our

among'• shareowners,

affect

to brass tacks:
fails to apportion
of greater
produc-

benefits

the

The

down

get

tivity

0f course, the heart of data prosessing—and it has been called the
.

management

of
need better; revenues—there.

us,

"electronic

•

facturingsideoftheindustry.beTo sense
the
possibilities, all
cause total shipments of electrical you need do is look at National
Products have also been doubling Defense. There not only is equipevcry decade. The total was some ment which
would
counteract
$25 hillion last year and should enemy radar, but there are
i-ooaK

Sooner

tronic.

something

you

elec-

that

events

need

we
...

Let's
if

circles

since

not

n—

.......v...

-ex.

nar-

sooner.

events

reported to

:—:„r—— *;

self-interest will only
wreck
this country.""

informa-

management have to base
on

f\W

row

is geared these
and less time

less

the

business,

transportation, or communications, the heart of these activities
or

tight
it

economy

between

A IPTV'OTl

v« 1

can

that

better

need

that

but

same

need

tion, and
way

faster

rcn

steel-rolling,

food

rAV»l H

l»

days, there is

of business today incredibly more
complex than it was only 10 years
ago. But greater speed alone isn't

and the end product
itself. Whether you have in mind

iini

mean

commercial

the

market,

standpoint

industry,
consumption has

.......

electronic

especially

reServoir

trend of doubling in
decade. It was 700 billion

every

our

mind,

destined

much time you and I spend plow- might be
calledv"economic- co*
ing through reports trying to find operation." < Heaven
knows
We
out what happened a month ago have been "economic
cooperating"
or six months ago
-which* is just all over ;the world, and we
even
so
much ancient history in this have
an
Economic
/if
A >4
l*\ a!*SCooperation
fast-moving business world—let .Administration 4 help our
to
friends
alone trying to find out what is- overseas. But why don't
we do
a
happening right now so that we little of it right here at
home?
can do something before it is too '
Here is the-.crux of the
situalate.
V
'
■
tion. Every major segment
of our
All of us know that the great economy must devote far
greater
emphasis these days is on speed attention than ever before to
the
and
more
speed—and
this has impact of its actions on the
rest
been
the
natural
outgrowth
of of the economy. None of
us—inthis country's demand for a higher dustry,
government, labor —can
standard of living. Meeting those act in a vacuum and:
go all out
demands has made every aspect for itself alone. That kind of

the

electrical

Electrical power

part

Untapped Markets

those figures a
closely, and you will
phenomenon that sym-

the

impact

the

uses

have

you

them

revolution in the

examine

one

tke

or
■

what

care

jjfe

feel

notice

don't

way

harnesses

electrons.

each

other

—

noth-

improve

and

grow

device that
action

extend the curve ahead to
198°, the total comes out to nearly
three trillion. Now you know
what I meant when I said the
figures

Jl*

intheir
technology "and"" methods, one of
their most important tools will be
eiectronics
some
equipment or

y°Ll

government's

future

in two
expanding

Second,

economy

trillion

trillion—and

the

at
•

dustries

going,

1V2

this jrea and that
area
an Vveri stronger Mid-West

^eans

gagged
a little at that kind of blue-sky
thinking, but they took it in good
grace
and
kept
their
fingers
crossed. Well, they uncrossed their
fingers a couple of years ago, be-

and

two

be using

First,

ways:

steadily

■

members of the industry

will be

look

can

■„...

billion kilowatt-hours by 1970.
Some
of
the
more
conservative

joined the electrical
there on the front

of the electronics industry

800

cause

Some

that; this country would
*
to

come

touY have" the ^hain reaction

and

You

electronics

the

now

has

line.

And

business

Thursday/March 3, 1960

...

i_.

;

realization that when

taUcin^ahmif an^ndtistrv't.hat
d i f f

e r e n

has

characteristics

than any other organized endeavor in modern life. It embraces
not

only the electrical sciences but

"other

every

science.

things which toorJc for
cure

you.

you,

which

and

you,

produces

makes

which

entertain

plants

power

which carry you into the
air, and
along the ground, on the water,
and under the sea.
Its products
work for you m the

offices,

homes, in the

the schools, or anyplace

else you might

happen to be.

industries

helps other

million

make

different products.

Here
made

And

industry

modern

simple

and

rather

complex.

has

with

importantly, they

gearing
future
areas

power

their

That

time

the

have

this point I

few words

the

leadership

and

they

for

it.

Electronics

electrical
an

devote

aspect

industry that has

enormous

the

since

that

remiss if at

not

were

impact

end

the

satellites
how

service

consumers

vital,

* would be greatly

devices
complex

remarkably
ones
that clo a great deal
more,
and in domg so, it has
changed

applications

story—electronics is
universe.
And
that

are

their

kind

Turns to

replaced

some

and
they will
there when their

it.

want

operations

growth

*1 absolutely
should
be

reasonably) simple

few

by just

tells

big

the

made

lives

our

war.

That

there,

and

literally
all

now

bring them down.
description

"big

developed not only as a great new
industry with its fields of application reaching just about
every-

wh.?re,' but U has introduced
has

meant

the

telephone,
radio, and the telegraph. But
really
unlimited
potentials

the

that

has

see

ahead

produced

for

electronics

definition—

new

is"

all

electronic

is—

and

men

than

on"iy " to businessmen—but!.a clil

who

the

works" for the

that

mate

pro-«0f everybody
gram it, the men who tell it what 0\vn
to do and

reaiize

you

can

the

computer

business
and

and

extend
your

your

this election year, but

systems,

that we'dig into
the issues
affecting all of us—
that we
understand' the impact

speed that you never
could achieve. Now
than

the

question

computer

they

money

creased

computer

and

equipment

speed

and

all

into

its

turn

important is the oppor-*>BP
tunity to do things that you have
more

been

never

able

it
to

and

will'have

the electrical inthose wonderful

:n4A

iti

rmin+rv

reai

progress

'Vwem/prp*t

^his w:ill put.'.us^to.,-the
.our Byes:j,'Bu.t the br

before—■

and there you have the basic con-

that" "we

challenge

who
right

groups

pushed

challenge

meet head-on if

the drudgery of paperwork—those
are
the
immediate payoffs. But
far

That

cost. - In-

elimination

corner..

that

responsibilities

our

have all too often

pay-offs to the substantial amount
of

us—and

special-interest

±0

the immediate

are

have

don't abdicate

better

can

not only in

election year,

degree

you

faster. Those

"work

planning with

dreamed
this

from
will

procedures,

y0Ur

what

this

benefit

the people who

—

businesses,, the people who
in them,:; the
people who
limitation,;-buy from them, and everyone else,
there, and A Let's make sure,! particularly in

when to do it.

you

an associated

entirely new concept of communications. Communications for many
and

better

of skin

the

universe" is literally true for even
broader
reasons.
Electronics has

years

tool—that's

the

answer!

silly
no

electronics has to do is figure out

some

those

covered

area

even

has

same

wide

true, because electronics put those

extremely

the

The

sys-

utilities, this has meant that they
not only are meeting existing demands
for
electric
power
but,

congratulated

that

radio messages back to earth, and

there are anti-missile missile
terns.

From the standpoint of the contributions made by the electric

living

ing in their output produced the
demand *for the manufacturers,
E^er way I am completely happy
with what is §oin2 on-

....

v^es^

™

Edisoni- and

vital,

and

dynamic, and
com
fascinating" to anyone

pletely

fortunate enough to be
If

there

ever

were

part of it.

a
an

industry

H
when

nfe TTnHiS Itat

ment

talks

Sdollara
arg

if'
of

some

terms

S'
of

bHHons

"^egabucks''"s

oy
or

"megabucks"

soohistfeated
armed services
armea

seiv ces

are

put
pui

trillions. When

them to
iiit-iii
iu

first

started

of
oto

the

industry with the Niagara
Hudson Power Corp. 30 odd
years
anyone
who predicted that
the consumption of electric
power
would reach 700 billion kilowatthours by 1959 would have been

ago,

told

mates

tone

down

his

wild

esti-

go look

for another job.
And yet you, and
I, and the other
180 million
people in this

not

only set

nnn

700

country
record by using
kilowatt-hours
last

a new

billion

but

year,

are

already chewing

1960^ at an0ther new record in

a
•ibout
o
t

the

decided
we
wc

years

annual

irnimH

vpar*

dn<»

idiue
came

out
out

tube
lUDe

than
inan

a
a

vacuum

half
nalt

rentnrv

century

ag0.

rigm

person,

means

nyni

gathering

processing it

and

P^ocesfl"g

time—

information,

delivering it to

lve"

J And
the point where it is needed. "
"information'?

this

broad

new

through
the
1920's
and concept can mean any number of
1930's and up until World War II, things: the image of an approachelectronics was essentially the ing airplane on an air-traffic-con-

Iad/°

dangerously

with
witn

the
tne

and

predictton
prediction

lis

to
been

never

existence

things

—

word

fact

any

kind of mformation that

neiping..^^^^"
And

never Been aoie to ao oeiore Ana

the computer is

have-Overcome if,we go. aftet; it..

they

able to do hefore

simply the latest

■

address
the

Mitchell

Mr.

by
Club

Executive's

manifestation

before
the

Chicago and

of a trend that has Electric
Association^,. Chicago,
Feb. 5,
going on ever since Edison iaeo.
developed his dynamo, and the
-,
.
! n
|j^rk :
Pearl Street station in New York,
rV ; . €lark,/Dodge;f>rancnbecame the first
generating plant;, Glark, Dodge & Co., 115-year-

been

—

*>•

tomorrow-and

'
investment\Jbankihg

old

firm,has announced the
its new mid,town, o fice at 410 Park Avenue
Ne»
York
City.
The office will

looking at, kerage

trends for:"opening of

there

certainly is
electronics — thefrom
science
and an electronic device picks up and
question about the direction in
transmits to
who wants
t«=hnology arising from"th;"acffoS transmits to someone who wants which" the
individual
"erectrtoal-electronics-.^"ufpp^l to se^ve bothtodividual
SLStodivid ta whw/SSS ,7 W " ^ °7 iX indVstry is going' And 1 wish we"and institutional customers.
haDDens k thrX 1
tS.
uo at these trends I
,uthat ihl? tunately, however, that- Tnew office, which is being
"
From
tmf ST,
?
a,dream of something that couId leave ilyUnfor" '• The \ in order to ,provide adopened
abLt"fc500^million^ i.JfTSJIrlmight ^apPen. someday—it is al- have been describing all presupT ditional service to' the firms custechnology

arising

thp

aotmn

someone

..ai.l

*_•

v,«+k

™nrS' tn inHnitri^i

tfl

happening, and each

uJ
k"

one of

pose

basic

one

thing-they

pre-

tomers,' will

fu we can do today suPpose that the entire economic
11 P°ln^mg thf way toward a climate will be right. After all,
ahlv
w
easo-n~ thousand new things we will be these are potentials—they are
I, Z*p;hdt
*
a
tomorrow—all because opportunities, and they are tanrpvpnupffff mlfrp ibl Jil t-ir
t
named E6ls>on noticed in gible opportunities—but as in the
iaJt
^\
his laboratory one day that a fila- case of any opportunity that is
rPrnrH
nf
mL thi $15 t n-eW off
record
of
more
hfated by e, ?,t'1triclty glves really worth anything, there are
than Ifbillion "If"

itsTlf~Ld^

■

son

year.

I believe
look

several

reason*

electrons—the "Edison effect,"
it is known in scientific
circles,

u/hv

we should take a close
the
electronics business

Electronic Computer
The

application

the

electrical

whol^lers^an^retailers
the
.

noMaln^hfrnM

to the

Metro-

the fact the
Metroin
JS
Sf,
-V" fac' fhe
entire Mid-West and
Great Lakes
mm

electronic

data

answer to the

""'vvci

work

ine

that

some

challenges that

face

Street

order

the

■
•

can't

industry
the

the

carry

effective

job

ball

as'the

be,

may

alone.

it
can'

York

some

not

factors

direct

biggest

Street.

telephone
to

insure

over

control.

these

which

factors

The

°.lf^

61 Wa

the

use

even

switchboard i

this close

liaiso

far
is

City passed

away

Febiua

„

7th
~

work that have inundated the
have inundated the
businessman.
businessman. Just pause for a
Just pause for a
and
moment
rpflprt
and
in«t
h™
reflect
just
how

will

mal"

president of
Grady, Berwald & Co., Inc., New

only

mountainTof'paper! theZ i^runs"smack ^p^agatost
papermuumains

Wall

the

with

Frank L.

and

closel>

Jesup, and will be

Frank L. Grady, vice

Climate

Dynamic

by two
and Net-

will have

Having the Proper Economic

electrical

office

to.

electronics

processing

'eoordinated

this

headed

partners, Perry R. Pease

1970

was

years

people

broadening and manu- trol radar screen, a television
tC1"g tw"5.1 n,essl The .w,ar I°adca.S'
t—Ca!CU !L°ns„°I „an in the country.
changad a11 tbat almost overmght, electronic computer the; remote
Well
we
have been
P8 aboUt '9f2 or so' we /n(tro1 ° ..a" a'om;c reactor-in some
ett
began to hear that
impressive

manufacturers, and

consumption

KiiiiAn

live

Lee

today* A11 of us appreciate the to the job of data processing has
many years <urothe^ t°r>
JS"8 T34® \ a P°tential which Particularly inTgn in fact—that
electric unties, the e ectncal tngues me, because we have in
ago, in f/rf^w

One-and-a-Half Trillion
It wasn't too

Dr.

new

do—we in

shamr^rnta1kTngSinUtterm?
in

me
the

people ii
to

—

the

in
in

wont

from

Forests invention of the

Henry

Henry L. Finch
LeRoy'Finch passed
,

away

has* Febri
has February 1st. He was a partner
the Finch
Finch, Wilson & Co., New Yo.k

what

ij-

City*

Number 5930

191

Volume

The Commercial and Financial

. .

basis of

NEWS ABOUT

(981)

share for every three
J.
a
v
.«• ■
:

one

shares held.

Shareholders will be allowed
the period from March 17 to
April

BANKS AND BANKERS
Branches • New 01flees, etc. • Revised Capitalizations

Consolidations • New

Chronicle

Manhattan Bank, New

Chase

announced on March 1 that shares,
had received the necessary ap¬

provals

' ;

the

shares.

new

H-

Riddell

stock

bean area. ■

Shulman has been
Vice-President-Metro¬
politan Division of Chemical Bank
yew York Trust Company, New
S.

Howard

elected

the

office.

way

: A:-"'

Fairfield

with

$2,904,750.

The

under

the

Trust

Company of Fair¬
field County," with capital stock
of $3,714,750, divided into 371,475
shares
par

promotions:

! following

effected

was

the

announced

also

Helm

Mr.

Conn.,

charter and title of "The National
Bank

;

■:

Company
stock

merger

was

stock

common

Stamford,

common

announced Feb:. 26,
H. Helm, Chairman.
Shulman will be loacted at
bank's 38th Street & Broad¬

Mr.

Trust

County,

Harold

with

$540,000 into The National Bank

York, it

Conn.,

port,

■

stock

common

the

Bank

❖

Hudson

County

Jersey

City,

National
J.,

its

capital stock from $3,to $3,300,000 by a stock
dividend, effective Feb. 15. (Num¬

common

vision; Thomas E. McCullough,
from Assistant Manager to Man¬

000,000

of Credit Department, and
George R. Clough, George W. En-

ber of shares

ager

gelhardt, Richard Eugene Nelson
and Charles J. Werring, from As¬
sistant Managers to Assistant Sec¬
retaries,
International
Division.
William J. Berg is appointed As¬
Secretary, Personal Trust

shares,

outstanding—132,000
value $25.)

par

i'fi

After
N.

than

Economics

the

National

Office

Barik

March

made

was

Trust Company, New York,

was

announced, Feb. 24, by William H.
Moore, Chairman of the bank's
;

•

Harold
Vice-

officer

and

charge of the 42nd Street branch

the

ness

Denton,

Board. Mr.
a

bond

economist

department

the

Vice-Presi¬

Company, and since 1953
been a Senior Vice-Presi¬

dent.

succeeds

•

him

at 42nd Street.

The

sen, Webster J. Caye, Jr., George
F. Quinn and J. Read Smith to the

Board

Ridge

Savings

N. Y.

Trustees

was

has

been

Franklin National
and

Robert

promoted

the

Bank

Long

Boshart

Correll,

formerly
Vice-Presidents,
have

Assistant

The

resignation

:[i

Elmer

Lee

mgar, Vice-President and Senior
trust Officer of National Bank
of

Westchester,
was

White

announced

Plains,

Ralph

shares,

ML
•'i;

By the sale
ational
I

Fingar

joined

the fall of 1954.

:1s

Bank

York

stock the First

New

increased

^Ponl!1 stock

from

RochelJe,

its

common

$1,600,000

:000 effective
18°,000 shares,

value $10).

par
si:

^.eurt

Bacon Merrill, Chairman

TJ £ board of the First
^eposit Company of
cuse, N.
r„

to
15.

Feb.

er °f shares outstanding—

ifinn

Y.j died Feb.

years

25.

Trust
Syra¬

was

old.
"

First

•

After

effective

formal

Trust

and

si:

agreement

banks,
and

governmental

regulatory authori¬

$21,-

296,000, effective Feb. 17. (Num¬
of shares outstanding—1,331,-

Mass., increased

Bank

its

com-

♦

effective Feb. 15;
http://fraser.stlouisfed.org/ (numbered

Federal Reserve Bank of St. Louis

sjs

of Southmoor Bank & Trust Com¬

Chicago,

pany,

March

111.,

1, that the

renamed

announced

shares, par value $16.)
*

common

❖

The

Citizens National Bank of Chicago,

111.,
to

increased

was

$325,000

from

$300,000
dividend

stock

and\ from $325,000 to $400,000 by
sale
19.

effective Feb.

stock,

new

(Number of shares outstand¬

ing—20,000,

value $20.)

par

of Belleville,

tional Bank

its

creased
from

tive

common

value

15.

National

tonio,

Texas,

Bank

capital

capital stock

shares,

30,000

—

and

$750,000 by sale of
shares

charter

Bank

Cashier

County, 111. The
Cornelius and

Daniel

Ridge,

Park

Priske.

conversion of The Bank

of Park Ridge, Park Ridge,

take effect
Feb.

ness

par

111., to

of the close of busi¬

The

13.

has

bank

capital of $250,000 and a surplus
of $217,228.64.

Feb.

18.

increased

Company, Indianapolis, Ind. have

approved the calling of a special
meeting! of
the Bank's
share¬
holders on March 17, to vote on a
additional

226,604

authorize

the

Bank's

value capital stock, ac¬
cording
to
an
announcement
March 1 by Frank E. McKinney,
Chairman,
and
H. Prentice
par

$200,000

stock divi¬
(Number
—
2,000

by a

■

Bank

Wichita, Kan., changed
its title to Union National Bank of

held

consolidated under the title of the

March

National

Wichita,

effective

Kan.,

Abilene,
capi¬

common

from

stock

$1,000,000 to $1,250,000 by a stock dividend and
$1,250,000 to $1,500,000 by
sale of new stock, effective Feb. 15.
(Number of shares outstanding —

from

75,000 shares, par value $20.)

Bank
&
Oklahoma City,
Ok la., increased its common capi¬
tal stock from $1,000,000 to $1,The

Fidelity, National

500,000 by sale of stock, effective
Feb.

12.

(Number of shares out¬
standing — 150,000 shares, par
value $10.)
Hi

action, subject to A charter was issued on Feb. 12
approval of the Comptroller to the Penn Square National Bank
of the Currency, will increase the of Oklahoma City, Oklahoma City,
Bank's number of shares of capi¬ Oklahoma County, Okla.
The
tal stock from the present 679,812 President is J. C. Cravens and the
shares
to
906,416
shares. It is Cashier is Robert H. Stipes. The
This proposed

will
and

increase

the

Bank's

capital

surplus to $35,000,000.

pointed out by Mr. Mc¬
Kinney and Mr. Browning that,
if the
proposal is approved by
both shareholders and the Comp¬
It

was

bank has

troller

intended
shares

will

the
that
be

holders of the
March

•

Currency,'Mt> is
the
additional
offered

to share¬

Bank of record on

16, for subscription on

the

capital of $500,000 and

National

Fort

from

$200,000

Bank

:!:

:i:

The Central National Bank

Enid,

Enid-,

Okla.,

changed

its

title to Central National Bank and
Trust

Company

Enid,

Okla., effective Feb. 15.

$275,000 by a
stock dividend and from $275,000
to $300,000 by sale of new stock,
effective

Feb.

16.

(Number

outstanding—3,000
value $100.)

par

shares,

■*.-

By the sale of
chants

new

National

McAllister, Chairman, and
Edwin
E.
Adams, President
of

stock The Mer¬

Bank

Mobile,

Calif.,

Francisco,
nounced

that

Feb.

Leland

an¬

Johnson,

office,

has., been
W.
Kimberling as Vice-President and
Manager. He has been with The
Oregon

named

California

Bank

succeed

Rogers

since

1938

—

Vice

Northern

Chairman

Trust

the

Group, has ar¬
Program which will

speakers

from

industry

and government.

Guest
before

speaker

in the morning
Municipal Forum will

the

Scott, Vice President

Actuary

the

Continental

Companies.
Charles

Percy, President of

Bell

the

"Decade

Howell

Co.

will

discuss

Ahead"

the

luncheon meeting. Guest of Honor

Wednesday night will be James
Lee, Partner of W. E. Hutton &
Co., and President of the Invest¬

Bankers

Association

America.

Other speakers include:

Richard
Market

Ostheimer, Director of

and

Research

for

Time

and Life.

Joseph
dent

Stockton, Vice Presi¬
Treasurer, The Illinois

and

Bell

Telephone Company.

George P. Hitchings, Economist,
The Ford Motor Company..

appointed Assistant Manager
*

Midland Bank, London, Eng.,

The

extended
tion

its

regional representa¬
appointment

the

additional Regional

two

Managers.

are

been

appointed Regional

Manager for the Eastern counties
will

based

Peter¬

branch, who will be Re¬

counties and.will be based

ern

Sargent Pres. of
Wm. Iselin & Co.
Charles

elected

S. Sargent Jr. has been
president and chief ex¬

ecutive

officer

nounced

chairman

Clipsham

take

Mr.

and

their

new

Morton

Hardy

duties

the

elected

was

Bank

Feb.

Con¬

Kenneth

Walter
of

meeting held

controller,

Dillingham, Chair¬
Board, said that as
Mr. Klenske will be
with

management
sys¬
ac¬

counting; as well as engineering,
including use of machines, bank
premises and locations.
Klenske

of Hawaii in

First

ager

eign

stock from $2,525,000 to

came

the

1947 from the

National

Bank

bank
Secu¬

the

years
as

of service

•

vice chairman

B-.

been

long

identified

with

company.

William Iselin &
founded

152

Company

years

ago.

was

acquired by C. I. T. Financial Cor¬
poration in 1932.

Department.
associated

Prior
with

thereto,
the

With

First

DeHaven, Townsend

UPPER

DARBY, Pa. — DeHaven
Townsend, Crouter & Bodine,

announce

III,

has

them
tive

that Harlan P.

become
a

Statzell,

associated

with

registered representa¬

their

Upper

Darby,

Pa.,

office at 6910 Market St.
Mr.

Los

of the Bank of Hawaii's For¬

was

Corporation.

the

concerned

Mr.

Dietz,

president

Beatty was named
executive
vice
president
and
Henry H. Lickel was elected vice
president
and
secretary.
Both

Hawaii,

19.

man

and

Financial

but will continue

Honolulu, Hawaii, at the Board of
Director's annual

Iselin

Goodspeed is retiring

president after 25

have
Klenske

troller

Arthur
Iselin

of the board.

April 1.
/

C. I. T.

•

will

William

Company, Inc.,J the nation's
oldest factoring firm. This was an¬

•

Mr.

Newcastle upon Tyne.

McGrew,

The

and

the

include

Vice-President of the bank's Port¬

land,

Ala., increased its common capital

$2,777,500,

ranged

The Bank of California, N. A., San

Angeles, Calif, and became Man¬

Hotel

States

ment

Elliott

rity

Central

increased

was

planning; controls, including
tems,
procedures
and
cost

surplus of $250,000.

Company

and

capital stock of The

common

gional Mnager for the far North¬

Trust Company .of

Drake

D.
of

be David

The

Carlisle
.

The

James J. Lee

16th and 17th.

Edward

Bank

Wichita,
15.

President
First

and

the

of the
proposed offering, plus a transfer
to surplus from undivided profits,

Edward D. McGrew

First-Wichita National Bank.

borough, and Mr. J. Hardy, since
1952 Manager of English Street,

Feb.

Wichita

Bank

tional Bank, Wichita Falls, Texas,

who has

National

Union

will

Mr. C. J. Clipsham, since
1946 Manager of Coventry branch,

■

America

First National

They

shares, par value $100.)

planned that the proceeds

Association

outstanding—75,000 shares,

dend, effective Feb. 16.
of
shares
outstanding

States

stock, ef¬
(Number of

its

capital stock from $100,-

common

000

Wis.,

Central

new

in 1952 and Vice-President in 1959.

Dam,

Bank

National

American

the

value $10.)

par

was

stock

$550,000

issued to the First

was

National

The

Fletcher National Bank and Trust

Conference

Group of the Investment Bankers

An¬

San

from

❖

American

Group to Meet

shares,

Wichita,
the

Directors

Central States IBA

increased from

was

$550,000

fective

$25.)
&

111., in¬

to $750,000, effec¬
(Number of shares

$500,000
Feb.

Bank's

capital stock of the

common

Stone

stock dividend The First Na¬

the

Texas, increased its

capital stock of the

common

elected

been

to $200,000,
(Number of

18.

City,

Morgan

$100,000

bank has been

Guaranty Bank & Trust

Company.
The

his

assume

General Auditor.

Corrington, Jr., President

ber

000

has

Falls, Texas and the Wichita Na¬
Louis E.

Beaver

$19,360,000

660,000

outstanding—8,000
value $25.)
-

par

The
Hf

The

si:

new

dividend

Feb.

man¬

completed it will be necessary to
obtain
approval
of stockholders
both

from

$500,000

Harris

merger

will

-fi

La., increased its

the

into

Klenske

immediately, and succeeds
Guy C. Piltz, Vice-President, who

stock,
(Number of

Bank

stock

into

enter

National

First

100,000

—

value $10.)

from

creased

15.

Philadelphia,

stock

outstanding —
shares, par value $10.)

Armour,

Savings Bank.

National

capital stock from $35,000, by a stock dividp,J0 $43,750,000
nt
fifin

stock

$5,-

$6,050,000

sale

Feb.

from

looking toward the
the Chicago National

Browning, President.

:[:

new

$10

Met>P£rtment-

$700,000

from

stock dividend the common
capital stock of The City National
Bank of Cleveland, Ohio, was in¬

Mr. Fingar will be retained as
b-onsultant to the Bank's Trust

NBW

Bank

This is

outstanding

par

effective

National

Lester

Chicago

merger

Bank, Alex¬

by sale of new stock, ef¬
Feb.
19.
(Number of

proposal

Harold J.

agements

President

increased

was

^er, Jr., Chairman
and

of the Board,
Marshall, President.

dividend and from $700,000 to $1,-

been advanced to
Vice-Presidents.
Hi

Bank,

authorized their

negotiations

the

James

and

banks

two

National

Senior^ Vice-President
Island, N.

$500,000
000,000

William B. Lewis, formerly Vice-

President,

111.

Savings

Chicago,
111.,
announced
that the Boards of Directors of the

stock of the

Va.,

fective

by Edward
H.
McAuliffe, President. •
*

andria,

Bay

the

announced

and

Bank,

capital

common

Brooklyn,

Bank,

si:

Alexandria

The election of
George R. Tollef-

CHICAGO, 111.—The 24th Annual

Park Ridge, Cook

Brown

Chicago,
Chairman

dent of Mellon National Bank and

has

from

Zwiener, President of

Trust

outstanding

Trust

office division.

$6,600,000

Commerce

stock

$6,050,000
and

Bank

number of years.

duties

Nacogdoches, Texas,

In 1948 he became

Harris

By
busi¬

York.

York, has been appointed head of
Burton

consultant

Land entered

assistant

the

Bank.

1917 Mr.

announcement

Frank

Land will continue

office of the Irving Trust Co., New
the bank's branch

Com¬

retired

has

Guaranty Trust Company of New

formerly

Brownson,

President

The

Mellon

Trust

and

Pittsburgh, Pa.

pany,

Vice-Chairman of the

Haskell, has been named the
Representative of Bankers

James

years,

John

(Number

dividend

National
Pa: for
Mr.

Bank

capital

500,000

tal

board.

dividend ef¬

17.

❖

Land, Senior Vice-President in

277,750

By,a.stock dividend The Citizens
Kenneth V.

Department.

Paris

$200,000

outstanding—15,000 shares,

Bank,

increased

National

value $20.)

par

agencies

stock

common

ties.

P.
Warren, -Til, from
Assistant Secretary to Assistant
Vice-President, Metropolitan Di¬
Henry

sistant

value of $10 each.

."*

from

Feb.

par

Federal, state and Merger certificate was issued Feb.
12 approving and
local authorities to open a bankmaking effective
at the opening of business Feb.
ng office in Nassau, Bahamas, in
Mav
With the new branch the 15, the merger of The Black Rock
Bank will have 19 in the Carib¬ Bank and Trust Company, Bridge¬

common

National

fective

from

(Number

in New Orleans, La., increased its

The

outstanding — 3,500,000
value $12.50).

17.

outstanding —
shares, par value $10.)
The

for

■

$300,000

York

Feb.

e s

capital

the

har

4, 1960, to exercise their rights to

Brazil, Ind., increased its

effective
s

Statzell, who has been

sociated

with

the

firm

for

as¬

the

past year, was formerly a securi¬
ties analyst with the Teachers In¬
surance

and

York

New

Annuity Association
City.

ahead is not

•AS WE SEE IT
tries

There

far
are

Continued from page 1

probably

her pace. . We must walk
becan,0
she does not know how to run

matter what is done in the way of
they are, then the question arises as

Because

peoples can develop the leadership to
proceed with the aid of foreign capital. That question as
also the query as to whether the native peoples have the
willingness and the ability to become skilled in the trades
and assiduous in their work, remains for the future to

tributed to the failure of these countries to come even near

matching the industrial achievements of the United States,
but obviously the inhabitants of Latin American countries
have not had the interest, the ability or the initiative that

Thursday, March 3, I960

whether native

Why?

number of factors that have con¬

good

aid and the like. If

modern industrialization is concerned.

and Financial Chronicle

The Commercial

(982)

chanic
-mother
reads

the necessities of

would call

life in order, that labor

could in much larger measure

be devoted
to the development of machines for the later production—
presumably—of goods the people wanted and needed. Of
course, in Russia first place was given to armament so far
as the
output of heavy industry was concerned, but the
process is the same.
Another

disclose.

decisive action would have

when

•

As is Well known,

foreign capital funds did flow into
Latin America, too, in very considerable amounts for a
very considerable period of time. But for one reason or
another-r—some of them beyond the control of Latin Amer¬
ican peoples, but a good many that must be laid at the
doors of these peoples—the progress that was common in
the United States did not develop there. For one reason
or another the Rockefellers,
the Harrimans, the Astors,
the Vanderbilts and the others who did

much for the

development of this country did not appear upon the scene
in sufficient number. The political stability so essential to
such enterprises was not always present. More and more
foreign capital centered in the extraction of minerals, in¬
cluding oil, which tended to convert these countries into
mere sellers of their capital assets.

afforded

really effective hedge.

Handicap
One

—

the

Diversification

handicaps

greatest

prudent

investment procedure

trusts

the

tees

inability of trus¬
both sides of a

present

transaction in justifying a sale or

The

purchase.

insistence

courts that each

action stand
consistent

individual trans¬
its

the

with

feet is in¬

own

the modern eruptions which

of these countries.
against for¬
eign capital became more and more common. Industry, for¬
tunately, for such peoples is nothing if not resourceful, and
capital in one degree or another still flows into most of
these'countries where ways and means have been found
to

overcome

and

all sorts

least

some

many

discrimination

the

obstacles

which

have

been put

in the way of industrial operations by foreign
capital. But political ferment is still working in most of
the Latin American lands, and is
placing a heavy hand
upon the normal process of industrialization by use of
foreign capital or by the aid of foreign capital.
Now, in our judgment it is highly unlikely that any
of these Latin
to

American

peoples will give their consent
industrialization by the Russian method. In point of

fact

such

procedure

possible anywhere only
under The most rigid and determined sort of
dictatorship.
The big question, therefore, is this: Are the
peoples of
These Latin American lands now
ready to deal with for¬
eign .capital in a way that will persuade it to enter the
countries in
large amounts? If they are not, the outlook
appears

for extensive industrialization

sacrificed

marketability
to
guaranteed redemption
price. Yet, when the high grade
bond market dropped far below
that redemption scale, we were
prudence.

popular with

cash

All

Spare Time."

handbook for the

without

besetting

harm

novice

trustee advisedly
criticism of the

individual

own
family with complete
dence, but the point which

confi¬
I want

today with great

imposreduce
matters of in¬
and prudence,

these
policy
doing more

mav

I suspect

many individ¬

this, that there

sibe it has proven to be to

writing

mean

'book

uals to whom I would entrust
my

how

emphasize

novice

many
highly skillful
trustees. There are

customeis from

our

said

foi

un¬

This

dressmaking, but

and

weie

difficulties

these

trustee

Your

trustee.

our

result,

Money at Home

concern

start to finish.

vestment

loss.

Series G Bonds both

our

advertised at times

inevitable

something for

see

offset

occasional

How to Make

principles and practices. It pena¬
diversification, the basic prin¬
cipal of which is that gains will
an

management

allowed

your¬
never

perts, requiring training and expel
rienee and full-time
attention Yo„
will

not

Easy"

have

recovering

investment

good

lizes

unknown

individual and

many

rate, who

than

care is
in this country
of trustees

are

number

are

some

corpo¬

completely unskilled

written

inexperienced, and unqualified for
the responsibilities
they have as-

end shows 19

entirely adequate book on the
subject of investments, and all ox

whefhAm makeS no or few. So
whethei they are many difference

them

trustee

oughly

diversifies

stocks,

thor¬

the

and

profits and one loss,
surcharged. This doesn't
If

sense!

really
cynical about it, he might decide
to buy only 4 or 5 stocks, keep
were

voluminous record

5 chances of

run

being surcharged

You may

them, and

instead of 20.

law
in

think that this is not

unfair

this

the

years

immediately

have

of-date

When

But the
a

The

press.

it.

great

subject.

rights

Laws

have

tor in

legislation regarding invest¬

When

are

fac¬

beg

customers to leave

our

?lete

of theii

railroad

handicaps

Somehow

any

trustee cannot

that

sold

because

weeders.
are

issue.

explain to the court
one

stock

loss

thought that another

offered

one

recovery.

better prospects
of
Yet that is routine pro¬

cedure for the expert

investment

manager.

courts

buy

held

that

and

not

for

the

ago

trustee

common' stocks

for

ground constantly as a
of
it.
Our
investment

rpsmt
esult

must make it unnec¬

game

privileges and practices

life.

part

aie

trustee

out-of-date

adequate

less

and

before. Much of

our

trust law

was

written

the

Federal

Re¬

serve

century and a half, which
specify what is right and
wrong in investments in an ever
changing economy.
V
;
to

must

income

appreciation.

meet this requirement, we at the
United States Trust
Company first
had a rule-of-thumb that a com¬

than

they

before

ever

were

System ^waSt established,

before income taxes

were

devised,

before the government debt soared
into the billions.

;

Not All Trustees Are Skillful

Talk to

legislator

Trustees Losing Ground

or your sur¬

Competitively

rogate about these difficulties, and A
you will find that he is
deeply
concerned

about

them.

But

qftick

only

explain
all

concern

banks

and

are

you

They

will

many
lation

times to all of

explain,

tect

life

men

and

Federal

the

Philadelphia, it

that

the

assets

held

by per¬

departments, expressed

percentage of the whole, has
declining for 20 years, At

the same
time, other institutions,
including the insurance companies

investors.

mutual

ana,

funds,

have

been
Now
begin-

increasing their percentage.

must

insurance

from his

tenants

been

us,

the courts

by
of

revealed

nation's

sonal trust

that legis¬
guide
the unqualified
trustee, and pro¬
and

made

the

their

they have

study of all financial insti¬
Bank

was

companies.
that not all

capable

Reserve

his

trustees, not

trust

They will remind

that

tutions.

point of view will be very differ¬
ent from yours.
Surrogates will

trustees

years

com-

the last

findings

Handicap # 5— Buying Stocks
many,

PriVi'ege °f

freedom

Stocks

down, they

other

and

essary for the courts to attempt
the impossible, as they have for

grit their teeth and hang
for the loss cannot legally be
up

trustee!,

so accustomed to these
procedures that we accept

legal
our

bonds,

tax-exempt

prone to
on,

-made

this

be limited in our dismfV°n because some trustees

ments.
.

law against

incompetence among
rroim

restrictive provisions out
wills — not
to
specify

have

mindful

industry is

attractive¬

very poor

stock goes

obsolescence

courts

should be weeded out.

Trustees

their

fatal

possibility. There is

bu,

but

trustee, the law¬

the

and

neces¬

conditions.

lost

be imperishable,

may

choice

human

regarding

may

makers

might hve forever, submissively,
in
this
situation, if we were not

the best situated issues under rap¬

ness

wife

tion and judicial decisions on this

of-date and probably costly within
a- decade.
Yet, . the entire trust

the purchase of equities.
A portfolio should consist only of

which

SowoS?rt PaC.e mUSt the that 0f We
be field., the
slowest trustee

idly changing

same

as the
possibility exists that
financially uneducated house¬

ong

off the
is true of legisla¬
came

nileAof im»Ur probIem- Under the
play it

investment in

selectivity is

out-

somewhat

finds that

man

poor

been

equity ratios. We know that the
best thinking of today will be out-

Selectivity

stock, he is quick
These are times

common

change

—

prudent

he has made
a

ever

before they

bonds,
Handicap

has

one

unbusinesslike

and

respect, and trustees do
job because of it.

poorer

good.

there

vitally important point.

Many,

created conditions which made it less and less attractive

foreign capital to enter

without

maturity,

obtain

For Income

any

persuaded the public, nor any one
for that matter, that
investment

the discount from the beneficiary.

Hostility to Foreign Capital

°»rs, is .the original "do it
business.
We

Series G Bonds prior

redeem

not

Continued from page 15

sary

Confiscations

will

margin^'

profit

self

Prudent Men Would Do

which

came

that

who

sure,

anS Ih'aU *fs

Managing Our Trusts

funds thus advanced.

course,

"Trust Investments Made

foreign capital in its development, and before too long a
period of time was able to return the vast bulk of the

Then, of

Th'vl

Investments"

usually about two inches wide

make

procedure is to invite foreign capi¬
tal to aid extensively in the development of heavy in¬
dustry and industrialization in general. Ordinarily, there
is surplus capital somewhere in the world. Under any
reasonable conditions it flows to those points where it is
most needed. Of course, it expects its rewards, but it is
ordinarily quicker and easier for backward peoples to
pay such rewards and by this means get the industrializa¬
tion they want than it is for them to deny themselves in
the degree that the Soviet peoples were required to do.
An outstanding example of this sort of development is, of
course, the United States which made extensive use of

h®

while

he may be

Way

The other mode of

wait

the annual report
bottom Of the page,

trial achievement.

and materials

you

found

required for the process of industrial development on a
large scale. Nor are they today displaying the qualities of
body, mind and spirit which normally give rise to indus¬

question to be asked is whether these peo¬
ples have even yet reached the point where they are
willing to do what is necessary to develop their resources.
If we may assume that they are now seriously desirous
of industrialization, and can somehow find among them¬
selves leaders who are capable of inspiring and directing
the development of their economies, there are two roads
which theoretically at least lead to the ends sought. One
of these is typified" by the processes that have been under
way in Soviet Russia since its beginning. There the re¬
quired capital is obtained by enforcing upon the great
rank and file an austerity the extent of wThich is hard for
outsiders to realize. That is, the people were obliged to
do without not only butter, as we used to say during the
war, but most of the comforts and many even, of what

must

trustees, I

tell

earnoo'

young

chapter;one of "An Intro

duction
are

The first

may

companies

are

mP& *° °fferv variable annuities,

remainder¬

incompetence. They
will make the
point, and quite
properly, that resourceful and ag¬

which

corporate bond in
order to qualify as an incomeproducing trust investment. Then

gressive management conducted
by
an
expert becomes wild specula¬

established for growth, and some
have even been
designed to avoid

tion

necessity we shifted to measur¬
ing a stock against government

trustee.

the production of current income.
Neither of these media offers the

bond

allowed to offset

mon

high

stock had to yield more than

grade

yields, because that gave us
little better selection. But
finally

realized

mon

stocks

sifting

that in
for

buying

income

through the

the

common

•stock.

Handicap #6

one
a

loss

stock

trustee

might

succession of

"on.

but

trust

have

been

investments,

our

have

negligent losses.

can

never

our

forget that we

trust services. We

monopoly

the manage¬

they accept from such a
the glib explanation that his
losses were all incurred
for tax
purposes.
Wherever fully quali¬
fied trustees turn in

ment of wealth,

paign for businesslike
freedom,
the shadow of the novice
trustee

others may offer something better
than our kind of underprivileged

their

Redemption of

disappointing and frus¬

funds

have to sell

out

man

some

do
our

and

our

uncompetitive and
day unsalable. If we do not

something to rid ourselves of
hobbies

and

prudence.

handicaps,

our

a
a

simple little housewife

may

trustee/the entire trust industry

must

walk

slowly at her side, at

product

become

may

cam¬

Think what this means!
Because

Series G Bonds.

trating to discover, in New York
State at least, that trustees could

both

We should

one

follows them.
—

avowed

competitors are
alert to prevailing problems.

another,
irrespon¬
on

(Mutual

advantages

were

count

the

purpose
of combatting the effects of infla-

novice

lucky speculation to bail him

jffiai n g e d,

the

were

and/fmvestment requifements had
changed, since The time when a
liberal
dividend
had -,been
the

appraising

profit

they point out that

Nor

criterion in

hands

sible

dregs of

M a rj^H5on d i t i o ns"1rad

was

the

com¬

market.

have

Our problem

cannot

solved

attempting to obtain special
privileges for corporate trustees.
This would be grossly unfair to
the
many
highly qualified inby

all kinds. Many law

Glials of

Number 5930

191

Volume

example, are staffed
equipped to do an excellent
in investments. It is, of course,
feasible for banks and trust
to have a law to them-

for

StpaS
selves.

:,,

'»

• •

■

Unlimited Discretion for
Qualified Trustees

The Commercial and Financial Chronicle

the

selection

equities,

offer

trusts something less than our
best.
our

mindful

are

that trustees
group,

are

the

and

before

being granted unlimited
in the conduct of its

discretion
3

requirement that trustees
qualified would not be un¬

The
be

precedented, but actually in
keeping with what we have al¬
ways done in this country when¬
ever
the
public
welfare.... was
involved.
Doctors must attend
medical school and serve a period
of
internship.
Lawyers
must
attend law school and pass bar
examinations.
Certified
public
accountants have been thoroughly
,

gaining the coveted

tested before

CPA. Even , a plumber
must be qualified to work on the
sanitary system in your home.
Surely trustees
have as much
influence over the well-being of
their
customers,
and
as
much
of

title

professions

concerned

with

the

public welfare, such as doc¬
tors, lawyers, and certified public
accountants.
I

that

propose

tablish

the

should

title

es¬

"Qualified

Trustee." This would be

joint

un¬

dertaking by legislators, bar asso¬
ciations, and corporate fiduciaries.
I do not underestimate the size of

the task. However, anything which
is fundamentally sound and ur¬

gently needed

will

inevitably be

done, and there is

LEO

BURRINGTON

element of

This

Week

Insurance

—

trustee were to

qualify for
responsibilities he assumes,

the

would

have

basic

understanding of investments, a
working knowledge of taxes, and
some
continuing source of
in¬
formation

subjects.
To
standards, he would
be an expert by any

have to

not

these

meet

but have only a basic
knowledge and a minimum flow
means,

of information. This is not

novel

suggestion, for it is far less than
demand

responsible

others

the

for

who

are

health

and

welfare of the public.
I have no
thought

for

game.

accomplished

last

this,

feasible

it
ask

legislation giving greater free¬

dom to Qualified Trustees and re¬

would

have

whether

way

his

not

from

which

knowing

trustee

firm

the

Investment

qualified, however; and he would
unqualified trustee

was

have

for

limited.

Banks

legal

handicaps

accumulated

the

I believe that in future

past.

tees,

for

they

were

they

would

know

ac¬

that

not

setting dangerous
precedents for the unqualified and
the incompetent. Until we achieve
this goal, the financial manage¬
ment

give

something
which

than

best

the

capable.

are

matters

trusts will

our

less

leading multiple line
satisfactory relative to

Management

has

active

been

mediocrity,

now

because

fort calls for

experience

to offset the threat of possible deterioration of its business' had the
company ignored the changing nature
of the insurance
industry.
V;

the

St.

Paul-Western Insurance Companies presently

Paul Fire and

consist
Co., St. Paul Mercury Insurance Co.

Marine

(wholly owned and operated under a pooling plan with the for¬
mer), 99% owned affiliate Western Life Insurance Co. and the 1960
acquisition, St. Paul Life & Casualty Co. The Home Office build¬
ing in downtown St. Paul presently is being enlarged in order to
accommodate

all

subsidiaries.

activities

The

additions

St.

are

Paul

Fire

scheduled

of 1961.

summer

and

for

Marine

persist, until trustees

by the

moving the West¬

NATIONAL AND GRINDLAYS

Life operations and key personnel from
Helena, Mont.

Incor¬
porated in 1953, St. Paul Life & Casualty Co. was purchased as an
adjunct to Western Life. The new life firm represents a small local
company which writes
ordinary life, 20-year life and 20-year
endowment policies.
Insurance in force was only $112,250 at the

BANK

and

exchange of shares
states. Insurance in force

intent

and

unthinkable, if it appeared to bet
panies

field.
our

toj' monopolize
To

good

intentions,

the

trust

must add

this

can

have all of his

PROTECTORATE
Branches

ment

insurance—fire, casualty, life— in

Selected
/:

Statistics—Growth
Net Premiums

—

Year—

one

required

149.1

1957

1955_...

and

Underlying

fExpense

^ would depend
standards

upon the
agreed upon

qualification.

However, I do
the, light
of studies

believe,

made

New

York

State

an¬

ticipation of Bank
Fiduciary Fund,

In the

little

meanwhile,

the

over

latitude in

better

the

law,

years

narrow
us.

and
bit

area

There is

available. We need

course

content

shall gain

amending

by attaining

under

forever

Ratio

Margins

59.1%

$355.4

36.9%

4.1%

143.0

320.3

59.7

37.5

2.8

276.0

64.2

38.1

—2.3

120.0

257.0

59.0

39.4

1.6

112.0

244.7

55.9

38.8

exercise
we

trust

qualify

powers.

ourselves,

Only
while

others must be
qualified, will this
ong-awaited freedom be attain¬

able.
Let

summarize

Points

fExpenses incurred to premiums written.

All

Notable

fire-casualty underwriting gains were made during
rising 11%, premiums written advancing
8.1% and premiums earned up 7.4%. Premiums written continue

every

1959 with admitted assets

play the game

diversified

widely

with

approximately

52%

fire

SUN

property

set

rules

take

address

*An

Mid-Winter

41st

Mr.

Buek

payment

Qu^fi0"

effects of
ucn

matters

casualty lines; multiple lines account for the

Conference

Trust

.'A

v.-.-',.

Per

spon¬

Investment

Total

Income

Earnings

Dividends

Book Value

$2.36

$3.46

$1.25

$48.00

2.18

3.22

1.20

42.81

2.02

1.47.*

1.08

34.67

and

1.04

36.63

in the national economy,

0.93

35.36

0.54

20.32

52:

1958

1957

Feb.

1956

2.06

1.95

2.71

1949

1.18

Approximate

2.28

2.57

by the Trust Division of the Amer¬
Association, New York City,
1960.

they
provide security for
policyholders and their

Statistics

ican Bankers

sored

As insurance dollars,

Price Range

-1.,.

u ;,

families. As investment

dollars, they
work to

{

March

NECK, N.
Donald

1st

—

admitted

partnership
Great

Exchange.

policy with

community projects.
If you are a policyholder
of our Company, these
double duty dollars

heavy concentration in municipal bonds. A favorable interest pat¬
tern brought a 4.64% return from new purchases of municipals and
an over-all yield of 4.20% on 1959 investments was obtained. Com¬
stocks held at the end of 1959 had a market value of $122.3
million, compared with $109 million at year-end 1958, and consti¬
tute 39.1% of invested assets at satement value.

Oreg.—E. M. Adams &
branch office in
the Livesley Building under the
management of George P. LaSALEM,

Co. has opened a

Borde.

;

■'

GRAND

ley

Copley Branch

dividend

Highlights of the

price of 54, the common stock of St. Paul Fire
provides a yield of 2.4% on the present $1.30 annual

•

Although the dividend payout is conservative,
typify this insurance stock. At the end of 1959,
4,093,947 common shares were outstanding. A moderate increase
authorized shares is under consideration.

high quality defensive investment

tinued

well

•

equity with

under

•

Company has opened a
Office at 518 Main Street
the management of Don E.

Appoints

action

taxes,

our duty to offset
inflation. Even in

ager

diversification and fice.

of the firm's Minneapolis

of¬

bers

the New York

Stock

Ex¬

be formed with of¬
fices at 1 Wall Street, New York
City.
Partners will be Arthur

change, will

Gray, Jr. and William X. Flem¬
ing, who 'will acquire a member¬
ship in the New York Stock Ex¬

change.

Fifth Avenue Investors

Gray & Co.

As of March 3, Gray & Co., mem¬

apolis office of Francis I. duPbnt
& Co., Foshay Tower, it was an¬
nounced by Todd W. Lewis, Man¬

Payments to Sun Life
policyholders and
beneficiaries during 1959:

$179,315,492.
•

To Form

F. I. duPont

Life insurance in force at

$8,938,122,126.

con¬

appreciation potential.

and

branch

year

New life insurance sold

December 31st, 1959:

The shares represent
as an

Fifth

Avenue

engaging in

from

offices

New

York

Philip
and

Sr.,
D.

Investors,
securities

City.

Zrike,

Treasurer;

Inc.

Philip

are

President

Vice-President; and

O'Brien, Secretary.

payable to
policyholders in 1960:
$38,700,000.

Street,

Officers

Jr.,

Dividends

business

Broad

during 1959: $1,041,997,636.

rate.

annual increments

JUNCTION, Colo.—Cop¬

include YOUR dollars.

At the recent
and Marine

New

important role

and thousands of other
The company pursues a conservative investment

mon

E. M. Adams Branch

schools, factories and roads,

Jacobson

Schwerin & Co., 1

F. W.

play

are put to

produce income,

busily building homes and

To Be Schwerin Partner
GREAT

DOLLARS

LIFE

Approximate

':..K

1959

year,

DUTY

hard at work.

are

1..

before the

briefly the

businesslike

the

44%

Year—

jurisdictions exercising MINNEAPOLIS, Minn. — Harry
my a substandard
form of under- G. Edelstein has been appointed
P
ivileged prudence. We are hesi- Assistant Manager of the Minne¬
to

and

remainder.

uninhibited prudence,
prudence, farsighted pru¬
dence will still be prosecuted.

most

avoid

lines

around you,

day of the

DOUBLE

Hoffman.

I
have made.
Even
the
iudent-Man law leaves trustees

m>t

RHODESIA

5.4

*Losses incurred to premiums earned.

modern

yy there is a minimum level of
ability below which a bank should
not

UGANDA,

PROTECTORATE,

SOUTHERN

DOLLARS
AT WORK

Profit

Ratio

131.8

115.3

Stock

were

AND

Control

*Loss

Assets

$153.6

138.6
...

assume.

York

would affect the banks
the trust field I do not
know,
which

SOMALILAND

ADEN.

NORTHERN

package;

Admitted

Earned

Written

$161.2

Road, members of the New

for

ZANZIBAR,

TANGANYIKA,

Auto" plan, which provides renewals every six
These aids facilitate the profitable use of electronic
equip¬
well as attracting business volume.

1958

Neck

qual¬

of its trustmen.

in:

INDIA, PAKISTAN, CEYLON, BURMA, KENYA,

"Easy

months.

will

ify at least

one

Sq.

ADEN. KENYA,

ZANZIBAR & SOMALILAND

in operation include a Budget pre¬
plan, which provides for direct billing and monthly
payments; the Umbrella Plan, a program under which an assured

1959

will

Government in:

the

Production aids currently

provision: that trust powers
should
be
withheld
from
any
bank which was
unable

Parliament

13 St. James's

mium payment

com¬

the authorities of

assure

Dept.:

Ins.

Travel Dept.:

UGANDA,

City, and Jacksonville, Fla. The company presently has
over 100 offices
throughout the United States and Canada for serv¬
icing some 12,000 general agents.

1955

politically

effort by banks and trust

St. James's Sq.T Govt.

Depts.: 13

Nairobi;

Bankers

Kansas

This proposal would

unattainable,

STREET, S.W.I

Rd.,

whereby

the
whole
trust
field
for
banks and trust
companies to the
exclusion of individuals. That is
my proposal.

E.C.3

SQUARE, S.W.I

Trustee

step for 1959 was the merging of the
entire fire operation, the marine department and the
multi-peril
department into a new property insurance department. Also dur¬
ing the past several months the company announced its acquisi¬
tions of three general agencies located at Seattle and
Portland,

they

know that it will be charged
that this is merely a
way to ob¬

true

LONDON,

Branches

ST. JAMES'S

consolidation

123.3

tain

the

Ltd,

54 PARLIAMENT

De¬

St.;

1956—.

not

means

BISHOPSGATE,
London

1958.

themselves and qualify
themselves for the responsibilities

India Ltd.

Bank

Office:

Head

spite heavy expansion costs, equity for Western Life added about
$0.10 a share to St. Paul's total earnings, compared with $0.23 in

to prepare

of discretion allowed

and

Trust Companies

Grindlays

Western Life, acquired through an

Another

LIMITED

Amalgamating National Bank

ef¬

field

are

its

and

completion

'<■

This need for closer operations necessitates
ern

fundamental

trust

The

of St.

novice trustee

This

muster.

can,

best

skill and

than

our

•

realigning its operations

and

stand, tour in¬
vestment product is condemned to

Monopoly

underwriter during 1959 can be considered
other fire-casualty
operators.

was

kno^ that the discretion allowed
No

the

weakness

that a testa¬
tor
should
be
prevented
from
naming an unqualified trustee. He

under

Gerrold

Stocks

ST. PAUL FIRE AND MARINE INSURANCE COMPANY
The progress of this long established and

in 1957, continues its expansion in many
rose 17% from a year ago to
$486 million at the end of 1959.

Having
would

countings, the courts would allow
greater latitude to Qualified Trus¬

The

Co. of New York.

end of 1958.

their work.

name

rules of the

lief

•

Avenue

mond

inevitability in this change in the

opportunity for good or terrible
harm, as these other men who
have been so wisely qualified for

securities

and

right to full descretion. We have
long since crossed this bridge in
other

William

—

beginners

the

engaging in

business from offices at 273 Rich¬

some,

competent

.some

fact

heterogeneous

veterans

some

beginners,

must do

MASSAPEQUA, N. Y.
Slater

discretion in these matters is that

they

Form Gerrold Inv.

BANK AND INSURANCE

Thfe reason why
legislators and;
surrogates permit us only limited

is separate some incompetent, some qualified
from, the experts, and some unqualified.. The. pace
he incompetent
from the com¬ we are required to set is that of
petent, the unqualified from the the slowest trustee in the group.
I suggest that we must have a
Qualified trustees. It would 'be
means by which
trustees, whether
*
entirely logical to--insist that a
n
or a
bank, be- capable of they be corporate or individual,
may be required to establish their
assuming responsibility for a trust
What

(983)

Zrike,

William

SUN LIFE ASSURANCE
COMPANY OF CANADA
ONE OF THE GREAT

LIFE INSURANCE COMPANIES OF THE WORLD

Financial Chronicle

The Commercial and

(984)

order, but is essential. But beyond
this

European Integration—1960

discrimina¬

preferential and

trading areas should have a
regional base and not be extended
to encompass countries or terri¬
tories outside the region. We

Thursday, March 3, I960

SECURITY SALESMAN'S

think, all agree

would, I

that

tory
Continued from
it.

ate

said

What

there
the

Europe-wide

the

cooperation

fields and there is
luctance

split,

maintained

should

danger of exaggerating

extent

ues

be
note is that

cautionary

that

page

perhaps

take

since
contin¬

many

obvious

ties

Community

direction

With respect to EFTA,

attitude of the
have

been misunderstood

resentatives

mis¬

ropean

that

Preamble cite

been

that

toward

the

impres¬

certainly far less

for creating the Associa¬

that the advantages to be derived

nomic

from the

co-operation

Members

between

the

...

political unification
which EEC would bring were con¬

Organization for
European Economic Co-operation,

sidered to outweigh

including
European

adverse economic effects, whereas
EFTA does not offer these
off¬

the

Members

the

Economic Community."
Delphic Answer

In recent weeks

there has been

deal of
talk
about:, a
^bridge" between the two groups.
Personally I am inclined to accept
great

observation made

Hallstein,

the

Commission
the

of
of

course

by Professor

President
the

during

EEC,

interview

recent

the

United

States

concerned. about

became

balance!

whereas

ment that

alert salesman

the

*An

address

before

the

Boston,

by
Mr.
Heatherington
England Export Club.
Feb. 11, 196*4
; N",

New

tariff

Mass.,

competitors.

Better One

pertinent

and

thinking.

im¬

this

that

w.ould

bit

decision

rather than to sell.

been

Commis¬

buy

delayed

this

looks

this

column

had

clinch
bonds

now

and

receipt
the

have
to

goes

the

The order
had

pending

should

missing

information

way

before

press.

What He Heard From

buys //•// "

investor

was

almost

All it

actions, but there is sometimes a
plus that you can offer your bet¬
ter clients that your competitors
match.

jig-saw and

regulated, and the same
rate applies to all on listed trans¬

cannot

data

from

step out

are

/v.\. Yours Truly

service when he pays
This man is now
receiving the
commission — providing
you. type .of service that I feel
than

more
a

him

certain
ofteri

interest.r he/has/not

personal

some

helpful advice that will im-J; front:;

obtained .'very

oth^r/ brolters/' who

have

hanx3le(i;hJS./account;: ..Remtember

his results.

prove

if. you

The

Butler, Herrick

make

effort

some

constructive
sions

rea¬

opportunity

and

crowd

takes

disadvan-.

Neither

always

pression that is favorable.

and

with those of Eu¬

tage compared
ropean

for

might put U. S. exports

increased

There

give

disturbed about any arrange¬

now

its

deficit,

payments

potential

any

commercial

be divorced from

proposed

tion "the promotion of closer eco¬

reason

the

States

luke¬

was

A Good Customer Can Be

"It is clear

cies.'

has

warm

sympathetic than toward the EEC.
The usual explanation offered is

Eu¬

Western

the

Governments:

fore

Convention

may

common

Association and

this

BY JOHN DUTTON

also agree, I believe, with
Secretary Dillon when only
month ago he cautioned the rep¬

development of United
policy cannot
development in
such an important area of world
trade as Western Europe
The
pursuit of a liberal commercial
policy by the United States is es¬
sential to the functioning of an
effective
world
trading system.
United States commercial policy,
however, is not formed in a vac¬
uum. It
can
be kept liberal only
insofar
as
other
major trading
countries also pursue liberal poli-

interpreted, the

EFTA

CORNER

would

while the

United States

countries

new

unre¬

Under

sion

the

still

are

solved.

might irretrievably block the way
a solution. In fact, the member

and

should

expansive, liberalizing in¬
on
trade, the uncertain¬

fluence

setting advantages. It is also
argued that EEC was formed be¬

which

step

any

re¬

the
be

can

are, working out of New
York 5or Chicago andyou havb
gome: accounts, that are real,
pros

Competitive Account

community there are
large traders and speculators, - it doesn't,hurt to pick up the tele,
investors,, who have ac- ; phone once dm
while and use

every

some

also

some

perhaps

have

the, best

seen

agreeing

the

that

there

satisfactory solution
tions between the
such

—

and

ners,"

"our

"But

bridge—if
I

means.

which

rela¬

re¬

so-called

knew

what

qgainst words

things instead of
them
Just before
visit to Greece, I was
.

recent

promised

questioner that while

in Greece I would put the problem

to the Delphic Oracle. But I added
that I knew in advance what the
would be: 'Build

answer

Indeed,

this

phrase

perfect Delphic

everyone

agreed
The

bridge.'

seems

EFTA

and not
followed the establishment of the

Community,

for

what it would

that

answer,

lie,

Professor

Hall¬

discussing the whole problem
leaders,

Franks,

themselves

including Sir

have

expressed

somewhat

similar

fashion. It is, in a sense, the same

approach

as was

Paris

taken last month

Under

Secretary

Dillon. You will

warning

God

knows
Or

sure.

after

and
Dr.

also

that

frictions

29,

1960.

formerly

recall

that

most

about

a more

doubtful

the

comment

best

value."

and

the

curities

succinct

most

beneficial

effects

Committee

marked:

"All

when

analyses

and

&
has

Marshall,
heretofore

brokerage

mutual

se¬

funds.

head.f office

Street,

branch

at 30
York,
and

offices

New

in Greenport,
Riverhead and West-

Patchogue,

international

Fundamental Securities
COLUMBIA, S. C.—Fundamental
Securities, Inc. has been formed

re¬

resemble

conduct

from

political

securities

offices at

Officers

within

vorable,
he

cooperation.

reaction
and

presented

was

Imme¬

generally fa¬

are

President;

1401

Paul

business

Hampton St.

Singletary,
S.
Sylvan,

William

the

program

was

adopted by the

which

twenty governments participating
in the meeting. There is
every in¬
dication

that

the

initiative

taken

the United

States, and espe¬
cially its evident willingness to
identify itself even more closely
with

Western

Europe

has

been

welcomed.'
In many respects,
however, the
attitude which the United States
has

displayed toward the regional

integration movement

in Western

Europe has been ambivalent, and
at times

even somewhat
paradox¬
ical. Some less charitably inclined
have
described
our
position as

confused and

vacillating. We have

seemed to blow both hot and

embracing
strained

the

idea

enthusiasm

with
at

cold,
unre¬

one

mo¬

ment, backing rapidly away at the
next.

This

has

been

due

part

at least to the uncertainties of the

situation itself, since the views of
the European countries have var¬
ied and it has never been too clear

whether integration was oriented
toward the restriction or the liber¬
alization
world.

trade

with

Although the

the

outer

Commission
of the
Community has seemed to
ally itself with those who believe

Vice-President; William G. Wil¬
Jr., Treasurer; and S. Holt
Duncan, Secretary. - -

son,

Form

President;

Vincent

well be accelerated this
next, feeding in part on

adjustments

will

what

our

its

gage

wish

basic

essentials

experience.

that

trade

two-

our

now
they are
signs of anxiety that

concern

over

the deficit in

balance of payments we shall

impose
ports
am

Even

some

sure

new

restrictions

im¬

tighten

existing ones. I
that every foreign trader

in this country

has welcomed the

widespread

offices

a
are

Samuel

action

was long overdue. Further
liberalization there is not only in

Gordon

Calif. — Dean R.
Henderson is conducting a securi¬
ties business from offices at 1489
Vejar Street under the firm
of D. R. Henderson Co.

name

which

buy

Guerin &

Building,
York

—

close.

knows

checks.

He
of

markets

has

and

accounts

reasonable

good: horse
He

firms

securities.

and

been

appointed

members of
Stock Exchange.

the

New

price

that

line

fair
with

And

despite

the

work

95.

and told

just

been

You

can

The

overhead

offered

day

hire."

bonds

and

also

paid

the

and

for

the

service he

information .'.that- could

was

assist

him

10 bonds at 94.

making profitable invest¬

ment decisions he could pay him¬

that this fellow could

see

its

■

receiving. Through the possession

that he had

worth

him

commission I

Several weeks ago I telephoned
and sold him 50 bonds at a

price

I sold

ago

him

called

you mean?" I
him that several weeks

questioned the price. He made me
a
fair profit on the securities he
bought, from, my firm but that

entailed the business is profitable.

get your gall bladder upset if you self many times the small profit
let him but I told him that
today ;we make on our principal trades
and the commissions we charge.
was today and
yesterday was
yes¬

terday. (As if he didn't know it.) ;V I told him I would
I

reminded

him

that

bought 50" bonds net and not 10.
Also, I questioned whether or not
the offering of 10 bonds was firm
and

reminded

also

the

never

him that he would

charged

commission

he could get anywhere, or I would
I didn't want the busi¬

by •tell him

competitive broker, which he

admitted.

' After

few

over¬

charge him; but that his account
must be profitable to me and, if
it was, I would give him service!
that was as good or better than

We'll;

ness,

minutes

what

see

he ; does

If he doesn't become

now.

of this sort of

profj

thing we parted as •itable
account/I've; done:.all I
good friends as possible. He had -could!Some; people are nongenithe bonds, I had
my pink pills ytal takers, and
,

was

tunity

days ago he called me
he, "You know that
hold $250,000 of a certain rail¬

again.
I

road

bond that is in default.

losses

bonds
back

and

Said

quandary is this, I
tax

can

this year.

now

time

your,

vthem. -But

Should He Buy Or Sell

and

now

should

sell

later?

step

the

out

crowd

S.—Don't overlook

the men

trading department, cash¬
iering, and research who can help

Should I sell

the prize is worth the trying

in your

some

you

buy

with their counsel, contacts,

and

hope to buy them

again later

good contacts mil
have an oppor¬

and

if you

—go all out.

use

don't waste

users;;

and all

advice.

larly with these

to lunch regu¬
I listen to

men.

Tell

them and when
they ; know the
what I'd like to do. Get me
score
I respect them.
The only
market after the
close, over- "man who ever
accomplished any¬
the-counter, and get me the size,
thing
worthwhile . without
the
then I'll try and decide
whether
help of others hasn't been bom
to buy or sell."
"So far so good,"
yet.'
said I, "but how about
.
- ;
/
you

the

get you

to what
this?" He agreed.
I

you

have

(

my trying
information that

some

add

can

Stone & Webster Officers

Stone

& (Webster

Securities

Cor¬

poration,, 90' Broad Street, New
York City, has,appointed Lincoln
partment
and
spoke
with
my
R.. Goward, Assistant Vice-Presi¬
head trader and he
immediately
grasped the situation. He remem¬ dent; Edwin C. Riekert and Joel
A.
bered that he had a
Skidmore, Assistant
Secre¬
good friend
with a competitive firm
and vi Truman G. Oakley*
that had taries;
went

over

trading de¬

Assistant

followed this railroad
very closely
and he kindly offered to see
what
this man knew.
He also

Secretary of
Eppler,
Turner, Inc., Union Life

said,- "What do

reminded

and, next to
breathing and eating, his main
passion in life is buying and sell-

road

any

reason

'block rof bonds

and

trades

got

Gordon

sell

hp was making the
and -I also told him

that when I make him

goes
.

who

that

right move;

fellow.

customer

them.

bonds in amounts from $50,000 up .the.market. ''^: .:
; ,'
to several hundred thousand lots/ :.;:i But
one; thing -should not be
When he buys or sells he trades forgotten
and-, that* was that "a

touch

Eppler, Guerin Officer
Assistant

this

en¬

business.

D. R. Henderson Opens

by European countries, and has at
time observed that

Park

POMONA,

DALLAS, Texas
Quackenbos has

same

Co.

removal of quantita¬
tive barriers during the
past year

the

other

have

has been

securities

and Carreau &

(

street.

way

showing

President; and Jeanne Schweizer,
Secretary.
M r.
Gordon
was
formerly with Ira Haupt & Co.

familiar

second, and final point is
that Europe has been fond of re¬
us

with

Officers

The

minding

Goebel,

Avenue, New York City, to

especially to em¬
phasize, most of what is going on
to

Samuel M. Gordon Ltd.
formed

the

impact already; others
have yet to feel it. But, and this
is

Donald

Walter

Form Samuel Gordon Ltd.

re¬

quired in Europe as much, if not
more than elsewhere.
Some have
felt

and

Vice-Presidents;
and
Eldon
Goebel, Secretary-Treasurer.

itself, being stimulated by its own
achievements. As it proceeds

major

Inc. has

been formed to engage in a securi¬
ties business. Officers are Harold
J.
Miller,

part. The tempo of this revolution
year and

belieye

Several

Goebel, Miller

—

and Vincent Investments

revolution
of
major proportions
going on in Europe, of which the
integration of markets is only a
may very

merit

securities. unless .he had

some¬

Goebel, Miller

LEHR, N. Dak.

economic

wanted, him

obtaining

yourself a bit
larger portion of

account than that

the

and

there

But

have

I told him I. was glad to give
him
this kind, of service; that I never

push

you

can

•

like to underline two fundamental

points. First, there is

Then

diate

times
you

for

of this business.

some

contacts if:you

some,

hampton Beach, N. Y.

was

Dole,

Vermilye

general

Broad

lately made by the Special Study
Group of the House Foreign Af¬
fairs

1898,
a

maintains

problem

trying to get a clear or even
only slightly cloudy picture of
what might be involved by way of
adjustments, changes, shifts and
or

Feb¬

business in listed and unlisted

adverse

Perhaps

whole

Spencer

with

Herrick

Butler,

exact kind
as

Brothers, has joined Butler, Her¬
rick & Marshall as a registered
representative.

Erhardt observed,

and throwing darts in the dark at a
Europe amoving target that has not been
might weaken the cohesion of the completed." /:
!
r;
■;
free world, he proposed that there
I have done my share of dart
be closer links between. Western
throwing elsewhere and will not
Europe and North America and an put on a repeat
performance here.
improvement in the machinery of In
closing, therefore, I would only
economic

dissolved

was

ruary

isn't too

speculative

opportunities

are

end

your

number

which

acknowledging that with the

depart¬

Lathrop Vermilye and
Donald K. Stevenson, respectively,
formerly
of
Vermilye Brothers

integra¬

even

created

handle

can

be under the manage¬

brokerage firms.V

If you are half-way qualified

the

ment of G.

tion movement in Europe will be.
As someone has expressed it: Only

would

wide context. A number of in¬

Oliver

economic

newly

conducted

are

ternational

the

formation

counts in several

un¬

"any forecast of

the ultimate solu¬
as

two

founded

to suggest, in seeing

ments will

It is well nigh impossible to vis¬
ualize at this stage what eventual
of

the

derwriting and municipal bonds.

Results

Eventual

' Marshall,
York Stock

departments—corporate

new

These

Speculates

of the New

announced

the

original Free Trade Area proposal
been accepted.
■,,

outcome

•;

Exchange and Associate members
of the American Stock Exchange,

matter

have been had

Herrick

members

preceded

removal of tariffs and the setting

and

after

Butler,

attitude would have been

our

aside of quotas the pattern of pro¬
duction
will
undergo
changes,

no
two people
what it means."

may

State

Open New Depts.

but

stein went

question

might ask ourselves is

the

The

in that

answer,

interpret

can

chooses,

tion

had

asked what I proposed as the solu¬
tion of our problems in Europe. I

the

what

consistent.

distort

clarifying
my

the

rather

which

particularly strong

seems

Hallstein

only

son

wholly

must

After

Community—as
Europeanpart¬

Professor

marked:

comment

subject.

with

one

of the

specialist firms where
firm has good connections. As

result,

came

with

some

pertinent information, which
relayed to my customer.

very

was

pressed.
to

very

grateful

and

im¬

addition, I promised

try and obtain

some

;

large rail¬

bond

other very

Treasurer.

•

;With Bosworth, Sullivan

;

(Special, to The Financial Chronicle)

DENVER;1 Colo.—Margaret
has

become

associated

Denny1

with Bos¬

worth, Sullivan & Company, Inc.*
660

17th

members of the
Stock Ex¬
Miss Denny was former¬
Street,

New York and Midwest

changes.
ly

professor

of Rochester.

the

University

Number 5930

191

Volume

The Commercial

and Financial Chronicle
29

(985)

Cruttenden,' %

Security I Like Best..

The

Podesta Heads

Maryland in

1928, has been man¬
ufacturing principally commercial
refrigeration including home

2
banks

Contiwed from page
Unents such as
'

now
places tor their emfreezers, beverage coolers and
originally witn
vending machines. Two plants are
P5ee and soft drinks, this is be- owned, two more are leased. From
•n! expanded to vend such other 1946 through 1953 Victor
reported
Snds as sandwiches, soups, des- a total net profit of
approximately
s and ice cream.
This is espe$3,646,000 but from 1954 through
aily adaptable for schools.- ,■
1958 a net loss
totaling approx¬
The stocks of most vending ma¬
imately $750,000 was incurred
chine companies have had sharp
with sales
dropping from $8,400,es in the past year and it would;
000 in 1953 to
$3,830,000 in 1958.
apnear that this may be an op¬ This
poor showing was due main¬
portune time to examine one of ly to loss of contracts
for manu¬
the
lesser
known companies
facturing freezers for General
whose
securities have not yet
Electric, Norge,
and
Frigidaire
been given public recognition of because
these
eating

flees

companies

manufacturing

Products Corporation
stock appears/to be an

Victor
common

dustry.

tunes

with

the

1959

company

have turned

shown

lowing

The

30,1959____

June

1958.

vs.

30,1958

Of the shares

offered, 71,500 are
sold by the company and
64,000 shares by certain stockhold¬

being

Proceeds to the. company will
applied to erecting and equip¬
ping a plant addition at Northbrook, 111., for expansion of dealer
financing activities and for gen¬
be

the

Culligan, Inc. is

Per Share

225,800

for

provision

shares.

about

loss

Federal

payment

Tax since there

The

$350,000.

increase in

nine months

riod in 1958 is

impressive. For all

indications

1960

are

1959

not to the

tor paid a dividend of 50 per

hopes

company

quarterly

continue

standard

•

total sales

excess

ture

dividend

payment.

Currently in

share.

maintained, the
to

50%

versified

vending

line

and

coin

one

dispensing
the

drink

ity

bottlers

prefer

series

salesmen to

and

the company's offices,
Street, New York.
While the

man¬

contractual

which re¬
to the fore as an

come

investment

vehicle

for

systematic

monthly savings.
For the

the

area,

convenience of students

New

York

will

classes

metropolitan
be held in the

evenings from 7 to 9

p.m. on

days and Thursdays of the second

Com. Stk. Offered

and

t;hird weeks of each month.

Out-of-town
men

Inc. and A. J. Fred¬

ing

publicly

dealers

take the

can

post-mix
drink

machines

dispensed)

and

♦/chine operators have
o

(that

adopt

ueir

pre-mix

that

the

started

and P°st
to

boost

machines

,,ne model has

(,pii

cellent

reception.

November
,

met

and

sales¬

from 10 a.m. to 4 p.m.
Tuesdays and. Wednesdays of

h!° ne.\v
com!!

Pr°ducts

boats

are expected

abJ? early in

I960. First,
thai urni1^
n6 with accessories
cotton 'I dispense freshly brewed
PowlSh a selection of fresh or
ulated
al'so

ri;

cream, liquid or gransar* This machine', will

fe n s e whit,e milk and
C mik as wel1 as fruit
vendin.r C°nd^^ there is the bottle
lccti.ln; ,!?atihlne having four sePast iv
(,() bottles each. In the
chocp

months

Victor

has

The

basis.

Executive

Governors

Exchange,

Inc.,

limited

were:

Norman

Baden-

Vice-President,

Grillo

Corp.;

ing

and

111.—Growth for In¬
Corporation
has
been
formed with offices at 11 South
La Salle
Street to engage in a
CHICAGO,

for futures trad¬

zinc,

hides

rubber.

copper,

lead,

Millard

Stein,

President

Secretary.

A. P. Levine

and

Treasurer; and Stanton Schuman,

machine

equipment,

j tools,

include

and

362

the

food

natural
from

mercial
1949

Elefefric

and

covers

The

1959,

so that it
970 square miles,
has

com nanv

growth.

shown

ood

SS2

In the decade ended with

and

revenues-

increased 141% and

net

254%,

income

from the cash

over

to President Howe,

"The company has required large
and frequent issues of rights during the

last ten

years

connec-

tion with the sale of additional
common stock to stockholders to
help in the financing of its increasing construction.
It is bebeved that the new stock dividend
policy should reduce the amount
and

frequency of rights offerings

the future.

The

iUtLUC.\. J-jlc

respec-

dividend

stock

wl11 tax-free
be received by stockholders

Electric

as,

revenues

1959

were

2.2 times the amount in

over

thai

1969* the^wilfhe Ta

thbl9M

figure

2.8

times

now

earlier,

years

and

original investment by holdcommon

stock

il* 1949 was
$23,797,000, and five subsequent
rights offerings added $34,350,000,
making a total common stock investment

to^h^bhts^he
holders would be

$58,147,000.

have

slightly
31,

1959,

holders

received

the
the

stock-

at their

c!h

cUnniA

vPjnofi^u^^

financing
'V^cent^i ™™d"44 %
fbbbfufflli i?!Lo
iq'a
| th S^T|S
reported
V
.

....

dividends

indicated

ahnut 15 "

norma lzea*

Gottsacker Investment
SHEBOYGAN,
name

Wis.

The

Sheboygan

firm

Investment

Dec. " Co., Inc., Securities National Bank

market

stock

common

throueh "

)vlth "ow through, or about lb...
U"]BS f ™n8s lf tax savings were

the

common

$30,000,000.

over

1959,

value

taied

well as being helpful in

decade ago have done quite well.
of

distribution; where¬
handled as an additional

reported ten
the company's

Stockholders who held the stock

ers

Gb rewnues™re

The

that

f959mamou°nt 1969 ^ ^
a

1949.
times

was

Building,

has

been

changed

Gottsacker Investment

Co., Inc.

$127,400,000.

The

company
has ample generating capacity. Including a new
83,500 kw. unit installed last September, it has total dependable

DENVER, Colo. La Hue Invest^ent Company, Inc. has opened a

capacity of 496,300 kw. compared

branch office at 818 Seventeenth

with the winter peakload in Janu¬

1959, of 366,590 kw. Regard¬
ing its gas business, the company
buys
most
of
its
requirements
ary,

from New York State Natural Gas

Corp.

(Subsidiary of Consolidated

Natural

Gas) under, contract.
Capital ratios are approximately

follows:

stock

17%

uity 33%:

debt
and

47%,

preferred

common

stock

Sale of 280,000

and

$12,000,000

provided

construction und

funds
repay

common

bonds
to

La Hue Inv. Co. Branch

Street

under

the

management

Warren F. Vollhaber.

Securities Service Branch
SEATTLE, Wash. —
Securities
Service, Inc. has opened a branch
office at 1505 Broadway under the

management

John

Tenneson,

eq¬

finance

short-term

LYNBROOK, N. Y.—Abraham P. obligations. While some $26,500,Levine is engagiiig in a securities .000 additional financing may be.
business from offices at 2 Lakerequired to complete the 1959-60
view Avenue.

supple-

was

tively, which record compares favorably with that of the industry.

1959

Opens

stock,

According

territory,

over

annual

Last year the regular

dividends and 3% from the stock,

densely settled, it
possible to substantially

increase the gas
now

quarterly cash

dividend

—slightly

been

Commonwealth
other utilities

3% stock dividend,
At the recent price around 44^,
and assuming a similar stock dividend around the end of 1960, those
who cash the stock dividend would
receive a total return of over 7%

territory

gas

plus

cash

merited

com-

about .550isquare miles,
the area ard&nd Rochester

$1.80

was

2l%T|industrial.

company.^

the

27%

few

distribution.

revenues

residential,

43%

were

has

dividends

eieqt£icj^y, 36% from
ihlxedJgas,. and 6%

and,

and

following—by

are

steam.

policy

same

.Edison

existing industries
additions
to
their

major

out nearly all of its earnings-

pay

electrical

quality: ulothes,

utili-

accounting

utility companies in the state to
stock dividends, if they are

began operations in Roches-

vestors

are

These

this

approved by the state commission,
Rochester G. & E. then decided to

and many other products.
During
the past ten years, 177 hew indus-

over

the marketplace

fSpe-cia! to The Financial Chronicle)

Officers

new

partner,

Growth for Investors

business.

has

Ira Haupt, senior
Ira Haupt & Co.; Wil¬
liam
C.
McKinney,
Vice-Presi¬
dent, Winslow, Cohu & Stetson,
Inc.; Pierre E. A. Moxhet, VicePresident, Credito Bursatil S. A.
(Mexico); and
Herzl Rosenson,
Commodity Trader.
Commodity Exchange, Inc. is

Trading

■

.securities

ments,

stock

hop, Vice-President, Robert Badenhop
Corp.;
Gerhard
Bruck,

Board

Elected

changes in its

financing

fields:

other New York

pay

leaders in their

electronics, photographic supplies,
optical g o o d sy precision instru-

end

members.

permit the initiation

and to

dealer

month,
curriculum as

announced the election of six

to build the com¬

East-

worldwide

adopted

period from the end of 1949 to the

Commodity

products; the balance of
approximately
$25,750
will
be
used
to purchase raw materials,
increase
inventories
of finished
of

each

Comex Elects Six

present

•

week

equipment

and to make design

pur-

second

primarily for off¬

first 30 foot power boat,
its new sailboat, its 6 foot tender

and be
*

acquire

are

course

investment.

pany's

ex¬

equipment. These machines
to the market.

there¬

inventory build up; $13,500

ment necessary

Lynnwodd Co.,
urer of milk-and milk

used

1959, and

incurred

$15,000 for research and develop¬

new

Victor

introrif, r^modeled shortly
duced
to

use

and

Oct. 31,

was

and tools,
including
spraying
equipment,
handling equipment, power tools
and a compression molding press;

sur-

the

■

1959

Jhe Hard

shTo

after

mix- Victor
its output of

and

balance

season

ma¬

obsolete. It is be-

the future

proceeds, approxi¬
$75,000 will be used to
the company's bank in¬
of which $15,000 was

the

until

i/o-mix machines will

net

outstanding

vending

machines

share.:

debtedness,

been slow

inventory of the older

rines in
becomes
ved
s

*.s mixed in the machine

the

mately
satisfy

models

-cup

were

per

reputation and

intensive train¬

covering the same
the night course.
Later, an advanced course will
be offered for the study of estate
planning, pension trusts and profit
sharing plans when combined with
the contractual system of monthly

at $2

cup

the

enjoy

Tues¬

because of

Many of Rochester's

Kodak,

became

plans,

cently have

the

breakage and loss,-ven¬

man

rnrnmic_

method, with the result that 1959
share earnings were increased to
$3.32.
v
Last year the New York Legislature
passed a law permitting

in percent of work-

concerns, such

some

ties

employed by manufacluring industries, and first in New
State.

qtatp

with

the 57 leading metro-

areas

whpn

rate

force

but

became interested
Machines. The first

politan

15 Wililam

bottling plant. However, since the offered 87,500 shares of Su-Mark
first machines used bottles and Boats, Inc. common stock (no par)
dors

sixth among

the latter sessions will concentrate

repre¬

lit—

was

"flow-through" of tax savings for
purposes,
Rochester
along

area

the nation's important
manufacturing
centers,
ranking

covered

review of the purposes and ob¬
jectives of mutual fund investing,

^ q2.

among

be held at

00, 00

The metropolitan Rochester
is

derived from

will open with

course

7nn nnn

served covers

area

About 58% of .1959 revenues

Aberdeen

ing of mutual fund dealers,
agers

sion expressed itself in favor of

made

Kennedy, President of
Programs, Inc.,

announces

Market,
currently priced around 5l/2-

erick Co., Inc., on Feb. 23

and class

outstanding at February

Investment Seminars for the train¬

Over-the-Counter

Street & Co.,

common

per

Aberdeen Investor

Direc¬

excess

common,

cents

1960.

Donald

en¬

respect,

distributed) to $2.20

was

1953 aHer which there

Z%«nidTtricts0nSiStS0f4mai''
operating districts.

The

plants.(

Su-Mark Boats,-Inc.

because the qual¬
drink
is
set
at
the

the

Board
own

Training Series

pre-mix

the

31, 1960, were

Aberdeen In v.

leading

cup pre-mix soft
vending machines for Pepsi
Cola, Dr. Pepper, Seven
Up and
Royal Crown.
Soft

family

the

are

manufacturers of
drink

use of

and

six

9P??n
2,310

™

;
pie.

ter

ap¬

interesting to note that the

435,000

machines. At present the
company

believes it is

this

the

sup¬

senting about 60% of the out¬
standing stock. The shares, traded

automatic

manual

tors

di¬

fully

several

tie1 net change through 1957. In
1958-59, with the aid
of
rate
increases, earnings increased to

tries

sales and profits will depend

Chairman

are

manufacture

29,

the

Victor has the

past.

management.

being made to the
vending industry. Victor has be¬
gun

gineering and plant requirements,
adequate financial strength, and
basically the vending machine in¬
dustry has shown consistent
growth. In the final analysis, fu¬

July 10th and October 10th,
and February 10th, 1960 Vic¬

Should profits be

handled

village

the

The company's share earnings,
while somewhat erratic, have
shown a fair rate of growth, increasing from $1.52 in 1949 (when.

e Pennsyl; the stock
serve;s

equity financing is

over

years.

£ °„

border

respective

Oct.

equal
509,460

ful speculator looks to the future,

earnings are ahead
period of 1959.

same

sales

Past record of the company has
been drab; however, the success¬

that sales and

of the

easily

ended

$289,969,
share

volume

four plants, as they
posedly have a capacity of
proximately $25,000,000.

pe¬

earnings are estimated in
the neighborhood of 550 a share.
far

net sales, present

of 1959

Thus

Expansion

could

first

similar

of about 40% over the

and

popcorn popper

snack bar machine.

Income

tax carry-over

Earnings after taxes

and

gas

vania

industrial

-0.16

brought out

made

was

n'i

expected

nf i

York

common

months
In 1959

first

stock, $1 par value,
135,500 shares, and class B com¬
mon
stock, $1 par value, 445,460

0.31

-109,800

ELY

Company

$47,500,000,

£
V11?? along the
X f
Ontario and up

smith

180;

—0.19

4,162,100
2,984,100

Sept. 30,1958

follows: 6%

Electric

^°^es^er'

■

ahLt

tpnric

917; 4%-6% chattel mortgage
notes, $553,431; miscellaneous
equipment purchase
obligations,
$125,000; dealers-deposits, $738,-

for

Nine Months Ended:

Sept. 30,1959-

mortgage note, $900,000; noninterest bearing instalment notes,
$527,-

$0.17

—134,200

will be

pany

Earnings

$122,000

conditioning equipment and

Giving effect to the current fi¬
nancing, capitalization of the com¬

the fol¬

figures

one

supplies in the United States.

for¬

appear

1949, supplies electricity,

eral corporate
purposes.

An¬

Rochester G. & E., which emerged
from holding company control in

ers.

Net Income

Net Sales
$2,612,000
1,768,300

Six Months Ended:
June

comparative

1959

incorporated

company,

par value, of
price of $14 a

water

Beginning

Rochester Gas

stock, $1

share.

adverse contributing factor
company's policy of charging
off all engineering expenses rather
than capitalizing them, a conserv¬
ative accounting practice.

in¬

production

common

Culligan, Inc., at

other

speculation,
offering an opportunity for pos¬
sible future enhancement in value,
due to its own growing and chang¬
ing position in the fast growing
machine

started

own.

OWEN

underwriting group headed by
Cruttenden, Podesta & Co. offered
publicly on Mar. 2, 135,500 shares

is the

interesting low priced

vending

their

of the major
manufacturers and distributors of

vending field.

the

SECURITIES

Culligan Group

Done

potential growth existing

the

...

construction program estimated at

Somers " Schafer &

Collin*

^omers» ^cnarer Ot yoilins
Effective March

the firm

Schafer

name

Co.,

12u
Broadway, New York City, members of the New York Stock Exchange, will be changed to Somers, Schafer & Collins.
Somers,

„

Financing Corporate Growth
sources

Continued, from page 4

million

perhaps 1.2

this year,
at least partially the
result of tight money.
Net new

ad¬

construction for the year may

nevertheless, giving effect

vance,
to

and

commercial,

industrial,

public outlays. The American
competitive position in the world
market
is
less
than
reassuring

dollar

data

gold conceivably
threat

the

than

fundamental

less
of

loss of

our

underpriced.
On
balance, growth of business dollar
being

our

investment

anticipated in the
near term, but the dynamics of a
free-enterprise economy under¬
score

the persistence

complementary

of risk

adjunct

our

progress.

Office

The

sources

tal

have

SEC

the

credit

side

the

those

Thus, they

owners'

and

ments.

are

balance

divided into

creditors'

Only

these

commit¬

by increasing these

billion of
by

used'

and

period nearly two-thirds of
funds
obtained
have
applied to plant and equip¬
with about 12% applied to
The

portion

17%

and

receiv¬

seemingly high pro¬
committed to

funds

receivables

reflects

the

tendency

corporations, especially in re¬
years,
to extend significant

cent

amounts of credit to non-corporate

customers.

contrast

with

over

Excluding Bank and Insurance Companies, in U. S. (Estimated)
Uses and Sources of Corporate Funds, Billions of Dollars *
*

1st 6 Mos.

1946-5*

Uses:
Plant

and

285.0

Equipment

Receivables

1955

1957

22.4k

1958

1959

Govt. Sec.

32.7

26.4

2.7

—4.4

4.1

2.2

11.9

3.3

2.7

5.3

5.0

—1.9

3.4

0.4*.

2.8

1.1

1.7

2.2

10.3

0.8

and

one-fifth

over

receivables.

431.2

23.8

50.6

37.9

24.7

29.8

were4 the

bulk

the

that

funds-was

the

corporate

by the

generated

two

61.4%, and for the first half

for

1959

61.1%,

internal

the

of corporate
The division of

acquired.

funds

preciation

de¬

between

sources

retained earnings
In each year front

and

significant.
1946
through

* retention

1951,
provided

swinging - on an inflationary bias
delineation of de

has blurred the

dollar
corporations

Retained

Profits

120.0-

6.3

10.9 /

9.0

6.0

5.8

146.5

13.5

15.7

18.7

19.6

10.2

266.5

Depreciation

19.8

26.6

27.7

25.6

16.0

Institute has

Products

Allied

the

sources

primary internal sources, (1) re¬
covery of depreciation and (2) re¬
tention of earnings. These sources
account over the 1946-58 period

ciation

reported

understated

has

Acts

earnings by

1954

and

1950

the

under

depre¬

accelerated

that

timated

annual average ot

$2.3 billion since 1950, but that in
induced

has

flation

and

tion.

since
have

reported net income by
average of $6 billion
Inflation has augmented the re
of

ment

annual

placement cost of fixed capital
while depreciation charges, under
conventional tenets of accounting
and under the tax
based

law, have beer,
historical cost.
Conse

quently, dollar profits as reported
have
included
consistently

the

year

depreciation recoveries

exceeded

depreciation

earnings

reten¬

replacement ove.
historical cost.

depreciation

also

Inflation

placement

cost

of actual

excess

under

mere

cost is

retained

rising

role

depreciation
funds.

source

underlie

factors

Two

recession

that

the
as

-a

The

corporate

of inventories
price cost. Sine

External

Long-Term—

Bonds

these, is economic;
In the postwar years, as already
stated, about two-thirds of ac¬

Debt

3.5

2.1

quired corporate funds have been

53.1

2.7

3.8

4.2

7.0

6.0

1.9

applied

16.5

2.1

0.5

1.7

1.4

1.3

0.7

Total

plant

outlays,

extension

productive techniques. Thus, the
base for depreciation charges has

6.4

8.6

11.9

10.8

4.7

—1.1

3.7

0.3

—2.4

1.1

32.5

—0.2

5.5

—0.7

—1.4

2.0

statutory

2.9

—3.1

3.8

—1.9

—2.5

0.5

rapid amortization of fixed

19.8

0.4

2.1

2.2

0.1

1.9

erties.

been

Trade Payables
Federal Tax Liability-

Other

Total

67.7

—4.0

15.1

—0.1

—6.2

—2.8

1.6

0.3

—1.6

—0.4

5.5

expanded heavily.

not

provided, distorted in

ventory valuation under inflation
contributed

has

provisions

The

1950

Internal

permitted

—1.5

431.2

23.8

50.6

37.9

29.8

24.7

lion

See

Herman

SURVEY

Liebling:,

CURRENT

Kenadjian and Gardner
CURRENT

SURVEY CF CURRENT

BUSINESS,

BUSINESS, October, 1958, Octo¬

this

"Financing Business in

BUSINESS,

October,

15158,

Recession
pp.

F-

Derrickson, "Business Financing- in
October, 1959, pp. 11-15, 20.

15-20,

and

Expan¬

and

Berdj

1950," SURVEY OF

and

Equipment

66.1%

1955.

the

how¬

1954,

permitted

standard

depreciation
of the "declining

way

balance" and "sum-of-the-yearsdigits" methods. The new provi¬
of

the

acquisition

price

cost of an
the first half of its

over

16.6

life, and the

16.6

21.5

tions have been

1.6

rapid amortiza¬

adopted

ris¬

8.9

ing scale.

Confusing
100.0%

100.0%

Depreciation

With

Attention

Retained

k 27.6

Depreciation
Total

38.9

61.4%

_______

61.1%

Stocks

7.0

Bonds

Other

8.0

12.2

Total

7.2

3.8

Debt

2.1

23.0%

17.9%

Bank Loans
Trade

2.9

IIIIII

Payables

Federal

Tax

Depreciation is
,

Liability

4 2

7.5

7 5

0.7

Other

4.5

7.3

15.6%

—

Total Sources

19ft?,a^tob«,air959.,r°m SURVEY

...

100.0%

21.0%

100.0%

OF CURRENT BUSINESS, October,

expense

firm

revenues

sales

are

received,

assets, in the form of

ceivables
this

view

cash,
the

increase.

successful

the
re¬

going

enterprise

depreciation is recov¬
through sales, and thus the

current assets
fixed

through
covered

than

these

assets

are

increased

shrink

amortization.

depreciation

available,
of
course,
capital restoration. In

the

value

The

re¬

becomes

one

stocks
the

double

provided

the'

dollar

obtained

The

Over

issues is

when

considered

Generally

-by

than

stock
of

even

securities

new

fixed

corporate

preponderance

stock

the

over

marked

basis of

offered

through

for

the

cash.

postwar

corporate bond and note of¬

years

ferings' have

ranged from
times -the !stock

to' four

three

offerings

cash.

for

re¬

sales.

debt

surpassed

funds.

entire period long-term

obligations

each

obligations

bonds,

sources

year.

creditor

years

principally

other

maturities

SEC

week show

data

that in

released last
1959 stock of¬

ferings,
primarily
in
common
equities, aggregated about 26% of
billion- of

the

$9.5

for

cash.

This

securities

sold

disposition; toward

than stock financing
readily'rationalized in

rather

bond

1947r-53

bond

prices

mon

period i of so-called
equity capital, when

stock

were strong and com¬
prices, in relation to
were singularly" week.

earnings,

Bond Financing

Why

recent

In
pri

Continues

yeargy however,

the

ac-aiioAG-iips in the-capital

..0

rr>prk"ts;

changed

have

signif¬

Standard and Poor's Cor¬

icantly.

poration shows that from Septem¬

point of the probie.

trial

view, and does not
replacement of all
rpnifal, fixed and current, is pro¬
until

emerge

vided.

dividend

stock

common

would

bond

stock

favor

seem

over

financing, they compel fur¬
search to explain the con¬

ther

tinued

preference for bonds. De¬
Admittedly,
then,
the
dollar ductibility of interest for Federal
tax purposes looms as a prhv.ary
depreciation reccverie
and
earnings retention are not factor supporting the choice of
nrecise
barometers
of
economic
debt rather than equity securities.
behavior. Uncer the irr pact or i - The force of rising interest rates
ilaticn, accounting net incomes as a deterrent to borrowing. is

data as to

have

tended

contain

component
other

sr> *

economic

through the postwar

cost

On the

years.

hand, above and beyond the

insidious

discOlorations

mone¬

mitigated by tax economies which
the
effect
of
cutting * by

have

contractual interest

about half the

Moreover,

coupon.

for

accomplished

problems

of income and

dilution

tary instability, capital replace¬
ment, with additional profit mar¬
gins to induce growth, has been

control are

mount.

corporate

agement.

Profitability —
ductivity—remains
the
objective

the

man¬

debt financing, and
successful enterprises
problems
may
be para¬

minimized by
many

these

pro¬

Bonds

Why

central

financial

of business
enterprise
Only as capital generates its own
replacement
with
an
adequate

bond

enterprise

can

the contrib¬

its employment in enter¬

sustained.

Its

expan¬

sion, and thus the growth of en¬
terprise, is vitally dependent then
on
profitability that will attract
savings in the form
of capital
commitments.
How

'50s,

does

after

tionary
of

profitability

infla¬

Allied

Products

that

Institute

pre-tax

net

has

ings,

enues

'50s

The

'20s.^

and

with

5% of

net worth

rev¬

in the

earnings yield

for

fixed

vestment

sense

pace

the

proprietary in¬

past

with that in the

decade'kept
1920's

even

the buffei,

margin, of ownership protect¬
ing the senior claims.
Moreover,
or

the

statistics

r°

c^P0"

debt. When
the pro¬

from

retired

are

issues

new

give effect to

not

earning
margins
enhanced both through conof
ebt and the build-up
of

ceeds

stock

v,+i0-,

are

estimated

16%

has extended

and thus

retirements

of net worth in the

debt

bonds

Accordingly, the after-tax

this

every
Reten¬
earnings has augmented
corporate
proprietary
equities,
fixed

long-term

postwar year except 1958.'

rate

corporate earn¬
adjusted, at 10% of rev¬

and 5%

retained

that

11%

average

compared

enues

Institute

facts

The

debt?

earnings m
themselves have exceeded in dol¬
lar
amount the
net increase in
show

21%

during the '50s in
comparison with 19% of revenues
and 7% of net worth in the
years
after-tax

excessive

into

corporate
headlong

American
moving

worth

1923-29.

offerings for

stock

that

imply

of
cash

ratio

three-to-one

cash

adjusted

corporate earnings averaged
of revenues
(or sales) and
of

the

for

distortion, compare with
the '20s?
The Machinery

estimated

Does

tion

adjustment

Not Upset
Structure

Have

Capital

man¬

agement

and

When

with

the

that

revenues.

current

stocks,-bonds,-and

divergence between ae
yields declined from 6.20 to 3.05%,
counting and economic income.; high grade bond yields advanced
The
former
is
retrospective
in from 3.26 to
4.61%, and priceview, and is premised 01
istori
earnings ratios of industrial com¬
cal, actual, dollar transactions. In mon shares increased from 8.6 to
contrast, economic income is pros¬
18.1.
Since
these
developments

into

operating cost.
successful, the de¬
preciation expense, like other ex¬
penses, will be recovered in sales
the

property
the depreciation ex¬

enters

pense

meas¬

This

property.

loses value

ered

Total

directed,

uring expiration of cost value of

made,

Short-Term—

business expansion—it is not that.

fixed

External Long-Term—

must

however, to the danger of con¬
fusing depreciation recovery with

22.2

33.8

Profits

obligations

ber, 1953, to January, 1960, indus¬

focal

prise

Expansion

Internal—

sale

Costs

Economic

and

The

obtained

Accounting

Between

Divergence

utors

Sources:

13-year period,- 1946-

less
than
one-fourth of
capital funds from external
long-term sources,, i.e., by the

yield to compensate

12.2

Total Uses

rapidly

off

Under the Inter¬

Code

Revenue

Receivables

2.7

effect

ever, corporations were

thirds

51.4%

2.4

un¬

tapering

Inventories
Cash and U. S. Government Securities
Other Assets

bil¬

qualified
The

sions allow write-off of about two

1959
,

over

last certifications under

method

1st 6 Months

umo-58

Plant

the

were

nal

Act

"straight-line"

Excluding Banks and Insurance Companies, in U. S. (Estimated)
Uses and Sources of Corporate Funds,
Percentages*

Act

Some $23

were

measure.

alternatives

Postwar Capital Financing of Business
Corporations,

Uses:

assets

this

since
•Data primarily from

prop¬

Revenue

five years of facilities essential to

der

Total Sources

write-off

the defense effort.

Discrepancy

for

little

dollar'profits

reported in excess of basic real, or
economic, income.

pective

Th^ second factor centers about

sion,"

12.5

Bank Loans

1959.

innovation

and

99.8

Short-Term—

ber.

equipment

and

reflecting

facilities

fixed

30.2

Stocks

Other

damental

sales

their

scarcity
-

first, and probably the more fun¬
Total

turnover

business corporations

accounting reporting' metb
reflection of replacemen

billion,

the

Over

58'

the

created

has

ods full

than three times the

on
sales de¬
explanation here

capital

was

deprecia¬

each

contrast,

1951

double

than

attributable

amount

return

did

accounted for $12.6 billion of such

that

sources

overstate

business
through the postwar years a sub depreciation recoveries.- stantial component of economic
Indeed, in 1948 retained earnings cost in the form of the excess oi
for

funds

than

year.

Internal—

resources

the
The

The deprecia-' relation to " capital * investments'
has increased.
The outputtion process facilitates retention
cap¬
of an original dollar " investment ital ratio, in other words, has im¬
in facilities; it does not augment* proved.
or expand such'investment.
Thus,1-;
External
Long-Term Sources
while depreciation is widely* ac¬

income

Total Uses

the

though
clined.

the' enterprise;

tion, and in 1958 aggregated $19.6
Sources:

dollars

ditional
of

preciation and proiits in thfe-posc
war
years.
The Machinery ana

Sources

Internal

What

12.7

6.7

11.9-

Other Assets

ventories,

funds
24.2

—1.6

71.4

w—

Cash

1954 s

52.6

Inventories

properties, about one-sixth to in¬

earnings

Postwar Capital Financing of Business Corporations,

depreciation recovery, it is a
of funds, but it adds 110 ad¬

source

pendable data- are1 not available
yet for the full year 1959 al¬
though they are for its first half.
cepted as a source of funds, it
In that half year of sharp recov¬
should
not
be
mistaken
as
a
ery corporations obtained nearly
source of business growth/
4
$25 billion of funds, and applied
over half of this amount to fixed
Of
course,
a
price pendulum

funds utilized? The record is clear

corporate

ables.

$24" billion
De¬

approximately

sum¬

are

The data show that over this 13-

been

ags^'egaies
i954 «na lrf5d

comparctDie

$30 oillion respectively.

The uses and

funds

marized below.

year

prosperous

corporations in

1946-58.

years

_ources

sheet.

obtained

American business
the

Commerce
show

of $431.2

aggregate

funds

Economics

and FTC reports,

inventories

enterprise capi¬

identified

been

provided by the

Department

from

since

resources

Business

the

tremen¬

grown

dollar

These data,

1945.

ment

Source of Corporate Funds

has

and

Ameri¬

convincing that

are

dously

grow

the

recessions 01

111

the

were

statistical

The

sense.

business

can

with

expand

enterprise

1955,

busi¬

in the aggregate can

ness

decision

utilized

Thursday, March 3, 1960

...

$50 billion of funds obtained

and Financial Chronicle

The Commercial

(986)

sales

orotective

jWf,

•

equities.
As a
point, the fixed debt of

case m
the 1111"

nois Central Railroad was

reduced
from

stock

1932

*385

$193

through

contraction

the

million

end

some

of 1954, a
50%,

wni

the roa_
dropped from $18 to $8 million,
shrinkage of about 55%. The conannual

fixed

charges of

Number 5930 *.

191

Volume

security financing
Of $9.6 bilbonds and notes offered
$1.1 billion were convert-

in senior

oast 15 years.

the

linn

1958

ihlp into
lLUv
ible iUl,v stock at the holders' op.

<*u

the

and Tele-issued nearly'$4
in convertible debentures,
Telephone

American

Company

oraoh
billion

billion of which had
converted :: into
common

$3 8

over

been

example,

outstanding

„c

through \ 1958,

tions.

thb

bv thp

nnmn-mv

nnnlrm

postwar
senior
with

equity

the financial

reduce

thus

risk

capital structures.

their

The unrelevance
of
earning
in this process * warrants

derlying
power

the

fixes

nior
for

convertible

stress.

terms

security
one

the

finance

junior

-to
during conversion. \
move

Three

particular

level in-*

" then-%

factors

Vear]

hav» operated in the nast 13

av^?d

hnbala

Ice ^cortSe

uonderance" of

debt

foremost of these
earnings

r e

e n

companies,:,

m^dlurr)\
;r • ,

especially strong in the early
years,

reflecting

heavy

t i

Com-

,1,a

erations

with

^VhRe
Program

reauired

cash

li-

quidity

as well as inherent profitability, the long-run success of
the enterprise hinges heavily on
the latter.
"The dynamics of
economy

impose

risk

competitive
as

un-

avoidable concomitant of productive endeavor.
It follows
that
when

fixed

cipal

and- interest

obligations for
are

prin-

incurreu

esoeciallv

turing companies, for which the

Zonf^manufacturing' an5 2 c»mf P°sitio" is Particularly
chandising

Short-Term Sources
Chanees
t'ions

of less

tbnsn

t.han

nnp

Liquidity

fnn^J

of cornnrafp

high

made ^ba^ .*n ^be postwar years
bus/ness firms have . extended
wifb
matnriLc their customer financing both ab1 ^
lJolutely and [P relation to .salesand

<?bnrf_fprm "kbiicfQ

Though

o? rnrrSiWr with have expanded

degree

with

$3 7

rebound

billion

cash assets have

customer v credit.- has?
^en found exceptionally sound. 4
* or business corporations in The

1949

<fii9^9

relatively,

J0ntract;ed'

cyclical variations since 1945 The
data show these sources in a net

liauidation

receivables,

hiii'inn. aggreSate' <*mck assets—mc:luding

contraction

'in

1954

foilIhwpH

•

duction

Affect

United

the

States

Currently Russia is reported tc
producing,
about
16%
(in
value)
of
the
world's total
in
mineral
products
(U.
S.
about
30%). The Sino-Soviet commun-

ist
to

bloc
be

nations

considered

source

credit

of
—

funds

has

accounts
cbum

trade
onen

payable

provided

and

corporate

funds
sources

Bank

this

than

temporary
Period.

been

through

primarily

me-

45%

Obtained

credit

was

lne in that
it accounted for near
20% of the
sliort-term sources
funds from me

through

^cderal tax
poU.n,ted
ier

fhv

soarces

over

short-term

market

from

the

sources

corcur-

years,

included

commercial

credit

ance company credit, interfr11)any loans, and personal loans
m

corporate

Trade

executives.

payables,

which

ia s 1958,
g ssrss.srts
il i

naif of

10SQ

Kp2
°nac,jian

v.-,

-j

provided $2.0 billion

Lleblin

On balance the debt, both longterm

and short-term

business
have

been

nostwar

both

of American

corporation's

appears to
amply protected in the

vel^s^

earnings

aLregativf

the

and

earning

vital

bases

assets.

pfwer

has

and
Derrickfon°op cit

Sn'1thedSelertric^power|1 gas'^'aild
telephone areas, and substantially
higher for manufacturing comMeantime stock equities
as
a
proportion of total assets
have not varied significantly, except
with
the
railroads
where
they have continued an increase
panies.

that was under way in

—;
3 Cash
u.

Oil

hand

government

stability in the future. It? is no
secret that the very productivity
which beckons savings in fixed
capital commitments can be vitiated by the dollar erosion accom-

bank plus
,

eral

products

J™ S2

the

economy1of

fo?

striving

world

dominance

the're

Now
we

armarent*

wav

stop the Russian approach^

can

paritv

with

the-U

produce

self-sufficient: Iir tion of mineral raw materials and^
addition, the Soviet: finished mineral products
But a
Union itself is exporting a variety
national
standstill
or
retrogresof mineral products in increasing sion
m
our
mineral
industries
quantities, and has now become a COuld accelerate the
rate

significant competitor in
ternacional

Soviet

has

markets.

from

come

some

Thus, th£
a position*

of many shortages to

one

erate

surpluses

substantial

of mod-

proach by Russia.
enf

world markets.

In this

connec

tion

rapid

the

appar-

fact that

deceleration

relative - Russian

importance

reSult from American aggressiVeness and progress

mineral commodities, some
which are being sold in free

js.

of ap-

Equally

can

many

requires

expansion

Thi

{

not

the

th^nevt

for

nor

ITcAncfrm thl

;^rs

confined

k,nem

future whereTn the* &
and

opment

conservation

depletion

of So

Regarding exports^

of mineral,

Russia, in 1958 it supplieo
the major share of its European
satellites' iron ore requirements.
together with some exports elsewhere (Austria). There were also
from

exports
of
manganese
ore
chrome, zinc, asbestos, alumina
apatite concentrates, and potash
There were, however, imports ir
tungsten, molybdenum, bismuth
vanadium,
uranium
and
some
non-ferrous concentrates.
In coal, Russia produced in 1958

529

of.

re_

mineral

fuels,*; and

this

accounts

for

re-

the

•

U.S.S.R. Exportation of Mining
Equipment
There is another matter of
in

cern

the

dustry picture.

This

in.

the

pro-

is an important worldwide market in this field.
It seems doubtcould

ment

the

could

sold

the

near

S., but perhaps
foreign

markets

which are important to U. S.
equipment
manufacturers.
It
seems doubtful if exported Russian equipment at this time can
compete with U. S. equipment on
a quality and performance basis,
b"t
what
about
comparative
Prices and what may we expect
in future?
In summary,

must recognize

that Russfa has become

will

and

continue to become an
ingly
important
factor

behind

increasin

the

ciency or domination.

To achieve

this position, however, calls for
world-wide, the ratio of increase immediate and wise action by the
over

the

such

minerals

is significant

be,

industry,

the

public.'

It is

respect

one-half this
S.

mining,

government and the

So™eet govTrnmenUn this

American

country to handle its affairs, short

That this

February

con-

mineral

of mining and mineral processing
equipment and machinery. There

which had been organized in 1919. total of about
Its principal office is at 180 West ber in all U.

away

Russian

duction and exportation by Russia

term

4 Kenadjian and Derrickson, op. «t., dale & Co., passed
P'5 Ibid
19th-

mineral

eration.

is apparent.
Thus, it is reported
The company was incorporated that the Soviet Union is now em1946 under the Illinois Insur- ploying about 40,000 geologists in
ance Code, succeeding by merger the search
or
study of mineral
Reserve Mutual Casualty Co., resources as compared with a

*»«.«. w..,o„

re-use

all given due consid_

are

itemize

James B. Watson, partner in Drys-

and

recovery

va]ues)

eco--

worldwide economy of minerals,
or
specify various Soviet activ- There is no need for undue alarm
ities in the sphere of mineral pro- about this situation. The U. S. A.
duction, it may be
generalized
and the free world have great
that while Russia is still well be- mineral resources, which if wisehind the U. S. A. in the total pro- Jy. used and conserved will mainduction of most mineral products taln our position of self-suffiWithout any attempt to

(March 3) an issue of 70 000 shares
of Reserve Insurance Co. capital and stm further
stock (par $2.50) at $11 per share, exportation
of

The company's proceeds will be
added to its general funds.

with

future

Apparently Russia is unifying-a
pian to use to her fullest poss'ble advantage her natural energy

Of the shares being offered, 39,324 shares will be offered for the

accord

time high 636 million tons in
1947).

parative indifference to the dallar>s security poses a paradox as
ye^,. unreconciled.
Granted sustained profitability under a stable

eludes Freehling, Meyerhoff &
£0 . j0hn C. Legg & Co.; Semple,
Jacobs & Co., Inc.,. and Sutro &•
Co., are publicly offering today

ful if much Russian mining equip-

all

Walter C- Qorey & Co. heading a<
group of underwriters which in-

million
tons,
as
comparec
with 405 million in the U. S. (U. S

panying inflation.
In a society
highly mindful of security, com-

thre early AdamS Street' Chicag0 3' I1L

.*? ""

.
and in the
securities.

recognizes - the

which 1?fse beerf sustainedl'cov^rages^f fixed S"4 and'tt^nSl 30OT6 fCh ye£>1" and
dPerc°n Te better'than^250% forThe Clasll
sold % the com" ther^'® "

^ about r5%dTf'

funds obtained

rent

Oth

accruals,

195^

k-i-+

™

^inaI Relevance of Profitability

from

the postwar

fully

virtually

minerals.

the d^!ft of/inancing methods and
overaH nrotection.

Soviet

impo—

and World Economy?

•<

short-term

and

?
.avowed P°Hcy
of world domination. Also that
•

How Will Russian Mineral Pro-

terprise. The dominant

mining

nhon/

•

<t4 n

Of still greater significance is the
surprising number of Russian
publications in the basic sciences
able.
Minerals are the raw ma- Pertaining to the mineral industerials for the inorganic chemical tries
(mineralogy,
geophysics,
industries. Chemicals and relatep geochemistry, etc.) The number
products are the logical end-use. °f students being trained in Rus~
for many of the materials which sla ln mining engineering and in
are extracted from the earth by the earth sciences appears to be
timll
mining. The point to emphasize well ahead of those of*the*U. S. A.
is that this combination of inter- and perhaps above that of the
combined ' free
world
nations.
ests is of importance to operators, ^mbir?f
investors, the general public and Thus, it appears that Russia sna^
the national welfare.
tional mineral policy is tied in-

casb'
S. securities, and receiv- monetary economy, the outlook is- rapid development of her coal inables
have remain?d in a
favorable for capital sources to dustry (in balance with her use
surgence to $15 1 h llinn in 1055" markably stable relation to sales impiement essential growth.
Qf petroleum and natural gas reand a shrinkage hv
«R9
hiiiirm
over
recent years-5 Individual
sources).
In this respect, the
in 1958
with Lliln
h!
companies, often for good cause,
T-^o,
U.' S. seems to lack at present an
billion in the first half nf 1Q59
may deviate sharply in their fi- Xv0S6FV6 lllS. V^O.
equivalent-national policy toward
Over the
1946-53
nnrina
thocJ nan'cial positions from the aggrepi jiv
Aff
•
the utilization of our enerigy fuels
sources provided over 15<7 nf
the
gative Pr°P°rti°ns. Yet, the latter (,gm# 0tK.- UllGnilff in the most beneficial long term
funds acquired bv cornorate
have some, beamng in indicating
interests.
1950

billion

aspects

soundness of this production.

-on

point already

•

11 f>Tl /TH

general, this cross-pollination of
interests is inevitable and desir

creditor

earn

support the

mineral technology is impressive,

viet minerals production, withou
regard to immediate economic

nrofjram<;

guides

various

basie: productivity
is
the
guide to future dollar expansion,
the essential capital sources, both
If:

a n d proprietary
are
enterprises. The sec- !mP°r1ant m view of their prob- likely to be available.
Notvvithond
factor
has
been - consistent
lnvent°ry turnover main- standing the near-term prospect
debt retirement
often
talned aggregative current ratios 0f continued tight money and
financed bv the nroelerl^ Of
m the past decade consistently high costs of borrowed capital,
ines retention
Th^thf-a fonioT above 200%- Their "acid-test" ra- sustained profitability looms as
contributing
to
reLonVhlP
tios' relatinS the sum of cash as- the dominant undercurrent for eftainment
of
cornnrate
'%■ sef? and receivables to current fective growth. From this viewthroueh bondM de™a debt»' have ,exceeded 100% regu- point-the
outlook
would, be
fairiv extensive bmnlovrrent
of
'ariy' and their cash assets3 have strengthened if those on whose
the convertihle13 in -eninr fienerally
been above 50% of savings our growth depends were
offerings
covenant in„.emor short-term debt. The- liquidity .gjven stronger assurance of dollar
B
'

page 9

mining companies going into the chemical business. In

nav-

adequate

presumes

AT •

MlHPY*£u

eouitv

over

o n

Continued from

of
and

lVlllICl CXI JL lUUULyblUJLl

American

Telegraph

from

the

•

financing.

and

corporate

Accordingly,

Telephone

yr*

of cash resources against a fluctuating base of inluring the period of- hostilities, come, adequate protective marLirough the 1950's aggregate, cor-- gins—of assets over debt principal
mrate current assets consistently and of earnings over senior,
mve ranged by slight margins be-/charges—are important. The overlow the conventional two-to-one all record of the postwar years
*'atl° to current liabilities'. Since implies that business management
lhe aggregative data include the has : been effective in balancing,
utilities and railroads for the capital sources creditor and

TtS^firS^and' nized as lyPical, this development
harden heavy is not at a11 aiming- Manufac-

cash

it^hould be recognized tha
pre-/^^^^au^o^nercur,. proprietary, withincome and risk. thefr^evrork of^the^Commums
deference^to the Council foi Mutual Economic Aic
lent ratl° has long^-been recog- basic factors of

capital structure despite the

oflerfnSr for

the

^cumulation

rising'earnings havethe market price of the1

caused
stock

-vas

time

after

and

The three postwar recessions—
of 1949, 1954, and 1958 — have
been accompanied by improving
liquidity during the down-trends
of business activity and curtailment of liquidity in the prosperous phases of the cycles. Liquidity
vostwar

se-

be exchanged
claim.Time

may

covenant

which

postwar

—.11 jr..

size enterprises.

to supplant
claims and

years

Finally, profitability looms
the key to the successfulness

corporations, especially
in
manufacturing areas, the convertibile option has operated in

66.5%

/~\

I
h~\V VlTlin O* I "R fl 11 QTT*V H
VUI lVlllllllii XIlU.Uol/1 V JL ClCt/b

•*,*.

snort-term b a n k b O r r o w i n g pany, our largest business corposhrank by $1.3 billion in the first ration, to the corner newspaper
^lx months of 1958, and increased stand, profitability has been the
by ® 1.1 billion in the comparable essential criterion of command
baR of 1959 with manufacturing over'r capital sources, whether
companies dominant in this up- creditor or proprietary. Essential
swln§- While the volume of credit stress on profitability does not
extended to corporations by non- aeny the importance of liquidity
banking institutions; such as com- to •> enterprise operating ^ in a
mercial paper houses and finance- money economy. Illiquidity can
nnmnanipc
io
email
J
compames,
is
small ; compared nullify a strong profitability even
with that provided by the com- to the point of legal failure. Acmercial banks, the facts available cordingly, one of management's
imply a growing participation in primary responsibilities is co^vort and intermediate-term ordination of cash flow from op-

commercial

the

the close of 1948 and

comparable

our

ness

the

of 1958.

-redlt operations by the sales

mid-

SSrK bul

rif

of 68.7%

suppliers and in the form of receivables from corporate and noncorporalf customers. Corporate

(987)

manufacturing
corporations
refleet a stock-equity-to-assets ratio

causing an extension of the employment of dealer credit, both in
the form of accounts payable to

"
aiso
of particular significance
in
offsetting
any
drift toward
m/pr-borrowing by the excess of
nd
over
stock offerings has
hppn the use of convertible cove-

.mn'ts

and Financial Chronicle

period

375%.

The Commercial

capital in the comparable
in 1959. Some evidence
seems to indicate that tight money
with the financial institutions is

application to redernpion ol me proceeds
of new retained earnings. During the same
neriod the
annual coverage of
fixed financial charges in available net earnings moved from 89
t0

accomplished of

of debt was

traction
largely

num-

government,

in-

d^stry and college employment.

long

and

mineral
.

term,

resources

...

,
,

,
.

The number and quality of current Russian technical papers on

that

our

util-

best

intPrPet,

na-

...

tlonal and international welfare.
certain,
of the

can

and

be done is positively

*An

obligation

mining engineering profes-

«»«..».«~»■■
Drive
"riVe

are

address

r»

by Dr. Cummins before

iuregic^er^dn Pet™ieum° EnS,
York City, Feb. 18, 1960.

New

STATE OF TRADE AND INDUSTRY

(which

will

less

the

although

lines

many

tion)

page

the volume
that predicted

than

beginning

spotchecking

the year.
wide cross

section of metalw orkers last wreek,

''Steel"

executives

found

2,683,000 tons. A year ago the ac¬
tual weekly production was placed
at

2,556,000
•Index

Steel

the

million

117

million

124

above

now-

tons

previous record
established

tons

1955.
far

this

records.

in¬

steel

monthly

two

February's output, close
ingot tons, will set

record

set

million

the

year,

has

dustry

for

month—far

the

production

Electric

for

aver¬

1947-49.

increase of 3,393 cars or 49.8%
the corresponding week of

sur¬

but showed

a gain of 1,120,000,000
8.6% above that of the

comparable

February,

the

1956.

January

wTas

1959 week.

New

industry's first 12 million ton

month.

Auto

Cutbacks

auto

production

schedules have eased the
cold

for

rolled

sheets.

estimate, automakers
about

15%

demand

less

one

ordering

are

steel

for

second

quarter delivery than they bought
for

first

For

the

pushed their cumu¬
lative 1960 model year output past
the 50% mark in the drive to ex¬
in

the

5.566,000

the entire

fashioned

cars

year.

other markets for

sheets

find

1959

steel

part,

rolled

that

pro¬

auto¬

model assembly

1960

model

cars

120.1%

the

above

volume.

Than

Intercity

ended

ahead

ing

week

American

the

1959,

Inc.,

an¬

tionally ahead of that of the
vious week

Two

of this

area-wide

Feb.

offset

pre¬

up 0.9%.
storms de¬

year,

snow

the

14-20:

the

the week

effect

week-to-week

change by Lincoln's Birthday ob¬
points during the
previous week.
These findings are based on the

weekly

survey of 34 metropolitan
conducted by the ATA Re¬

search Department. The report re¬
flects

than

handled

tonnage
400

truck

terminals of

carriers

mon

com¬

freight

general

throughout the country.

wire,

its entire 1959 model total of 151,-

tions

are

0.2

point

week's

from

revised

the

rate.

Output

was

about

2,678,000 ingot tons.
Scrap
nosedived
prices

week. "Steel's"

heavy
$36.17
ton.

composite

melting
a

grade

last

No. 1

sagged

down

ton,

gross

It is at

$3.50

the lowest level since

June, 1959. Both domestic and
port markets

ex¬

slow.

are

Stockpiled
foreign
steel
is
moving at cut-rate prices in the
Southwest

brokers

Highlighting

851

serious.

Last week, steelmakers operated
their furnaces at 94% of
capacity,

seek

liquidate their holding. Incoming
shipments can be bought at less
than
the
price of futures. The
price weakness on imported steel

istending to slow down orders on
the
local
mills,
the
magazine
noted.

units,

plus

the

crop

new

compacts.

filled

amounted

built

compacts
1958

model

the 1959
combined.

years

Produced

date

720.191

the

exceeded

have

and
been

216,012 Ramblers, 184.608 Falcons,

143,303 Corvairs, 80,769 Larks, 61,133 Valiants and 1,996 Comets. As
15,0C0 Comets, the newest

many as

compact,

"Ward's"

combined
tion

156,745

year

was

(week

March.

the

week's

produc¬
including

units,

combined
206,919

ended

market

has

volume

good

huberant

become

but

quiet

below

with

the

predictions made

"Ward's"
work

this

output
and

cars

Jan.

trucks

the

23);

production

low,

the

car

again, although

few plants worked Saturday, Feb.
were down to three

27, and others

the

and four

day schedules.
Six-day assembly programs

were

unusually stable.

division

carried

Motor

two Ford
five Chevrolet

plants,
plants

and

American

Kenosha, Wis., site. Ply¬
(Detroit)
was
idled
on

mouth

Metalworking Industry

* by

out

Co.

Motors'
Manual

five-day

marked

scene

ex-

beginning
of
the
year.
Sales
should pick up again in March.
Right now, nonferrous prices look

Reference

that

noted

programs

magazine, has just issued the 12th

Monday, Feb. 22, by a "parts"
shortage, and the PlymouthDodge plant at Newark, N. J., was

Annual

comprehen¬

down Feb. 25-26 to allow Valiant

48-page reference section on
steel production, featuring
prices,
earnings, labor, and various other

production to be worked into the

"Steel,"

national

Edition

metalworking
a

sive

data

metalworking—the world's

largest industry. If
obtain

you

desire to

complimentary copy of
this reference "Manual," write to
the
Editorial
Service,
"Steel,"
Penton Bldg., Cleveland 13, Ohio.
This

Week's
On

The

Steel

93.1%

American

Institute

Output

Based

announced

and

that

Steel

the

will

average

pacity
Feb.
tons

(based
tion

for

29,

*165.2%
the

week

beginning

weekly produc¬

1947-49).

These

figures

with the actual levels of
167.5% and 2,690,000 in the week

compare
<

beginning Feb. 22.
Actual output for the week be¬

ginning Feb. 22
of

the

was

equal to 94.4%

utilization

of
the Jan. 1,
capacity of 148,570,970
pet tons. Estimated
percentage for

1960 annual

this week's forecast based

that

capacity, is 93.1%.
A month

(based

ago

also

said

that

about

employees of Ford Motor
Dearborn,
Mich.,
foundry
engine plants would be idled
next week
by "schedule adjust¬

ments."

the operating rate

1947-49 weekly produc¬

production
Feb. 20,

week

new

during
1960.

orders

the week
the

same

these

mills

reporting

to 37%

be¬

11.1%

were

2.5% below production.

were

Un¬

mills

of gross stocks.

For

reporting softwood mills, un¬
filled orders were
equivalent to
20 days' production at the current
rate, and gross stocks were equi¬
valent to 50 days' production.
For the

year-to-date, shipments
reporting identical mills were
6.7%
below production; new or¬

ders

8.2%

were

Compared

Loading of

with

the

those

Domestic

purchases
Lenten

above.

the

fractional rise this

the wholesale food

price

index, compiled by Dun & Bradstreet, Inc.
On Feb. 23 it edged
up
0.2% to $5.78 from $5.77 a
week

earlier, but it

low the $6.14 of the

date

was

5.9%

be¬

corresponding

year ago.

wholesale

transactions

but

prices,

cocoa

the

ended

week

totaled

tion

571,625

This

cars

responding
increase

above the
1958.

was

decrease

below the

76,706

1939

cars

and

cor¬
an

1958

15.5%

1960 and

week

included

Birthday

Holiday

1959 were

non-holi¬

day weeks.

Loadings in the
were

v/eek of Feb. 20,
8,478 cars or 1.5% below the

preceding week.
There

were

loaded with

highway
the

10,211

one

trailers

week

ehded

cars
more

reported
revenue

(piggyback)
Feb.

13,

I960

offset

the

sponse

stores

favorable

opening

Washington's

re¬

many

Birthday

bly

the

trading

end

level;

hog

week

moderately

high
Chicago

receipts

down

were

the

sustained

was

somewhat

the

from

price

volume improved.

slight

was

men's
The
tail
24

from

increase

Exchange

Cotton

unchanged

were

from

States

ex¬

ports in the week ended last Tues¬
day

with

earlier, and
week

about

came

compared

through

February

Central

0 to
-f-4; New England,
Atlantic, and East South

Middle

—2

4-2;

West

North

Central

—3

4-1;; East

North

Central

and

to '0.

South

Atlantic

Interest

women's

Spring ap-,
again this week,
and
sales
of
suits,
coats,
and
dresses were up moderately from
picked

parel

those

Although

ago.

year

Winter

merchandise

dipped from the prior week,
last

apparel
both

were

pur¬

similar

the

men's

slightly

down

week

Volume

year.

was

earlier

and

from

year

ago; declines in furnishings were
less noticeable than in suits and
coats.

ex¬

—4

;

year-to-year

per¬

week

For the current

ago.

centages: Pacific Coast 4-3 to +7;
-f-1 to +5; West South

bales,

in the similar

51,000

year

season

203,000

312,000

below

Mountain

week

the prior week. United

mates varied from the comparable
1959 levels by the following

chases

hog prices, prices on lard were
the New York

re¬

higher than a year ago, according
spot estimates collected by Dun
& Bradstreet, Inc. Regional esti¬

volume

Prices

volume

the week ended
Feb.

trade in
was

declines
linens.

and

dollar

total

trading in lambs and prices edged
up fractionally. Following the rise
slightly higher.

offset

cars

apparel

Retailers

apparel,

slight

reported

gains
especially

children's
boy's slacks

and

sports coats, and girls' blouses

and

Spring dresses.

ports amounted to about 3,506,000

bales,

against

1,606,000

corresponding period last

Nationwide Department Store

the

Sales

season.

Down

2% For

Feb. 20 Week

Failures Continue Down

\ Department
store
sales on a
country-wide basis as taken from

Holiday Week Ended
Feb.

Commercial and

week

industrial fail¬

dipped to 277 in the holiday

ures

the

ended

Feb.

from

289

preceding week, reported Dun

Bradsireet, Inc. Casualties

lower

than

and

from

toll

the

parable

331

1958.

1939 when

suc¬

267

were

of
re¬

the

week's

decline

among

failures

was

in¬

volving liabilities
under $5,000,
dropped to 27 from 48 in

which

the

ties

week

and

the other

On
with

liabilities

rose

hand,
of

last

casual¬

$5,000

to 250 from 241

year.

In the preceding

13, an increase of
reported.
For the four
ended Feb. 20 a 2% in¬

was

registered

was

period in 1958.

same

over

the

to the Federal Re¬
System
department
store

According
serve

sales

New

York

for

City

week ended Feb. 20, decreased
the

the
2%

period last year. In
the preceding week ended Feb.' 13,
sales increased 10% over the like
over

concentrated

year.

However,
week

In¬

Feb. 20,

ended

week

week, for Feb.
weeks

corded.

All

period last

crease

com¬

Board's

Reserve

the

1960, decreased 2% below the like

296

the

similar

for

sharply

businesses

than

when

off

were

week

ago

year

occurred

were

Federal

dex

last year.
For the four
ending Feb. 20 a 5% in¬
crease was reported over the 1959
period, and from Jan. 1 to Feb. 13
period

weeks

increase

recorded.

was

week

this

week

price

per

and

It is not

Its

chief

pound of 31

meat

gen¬

cost-of-living

function

from

Wholesale Commodity Price
Index Down Slightly In
Latest

Week

Reflecting lower prices on some
grains, sugar, and steel scrap, the
general commodity price level de¬
clined
slightly this
week.
The
Daily Wholesale Commodity Price

Index, compiled by Dun & Bradstreet, Inc., stood at 272.24 (1930-

32=100) on February 29 com¬
pared with 272.48 a week earlier
and

date

277.22
a

year

the

corresponding

ago.

Although both domestic and ex¬
port
buying of wheat matched
that

the

prior

week, prices
weakened
moderately
from
a
week earlier; wheat
supplies were

53,

retailing

130

from 140, and commercial service
to

from

trade,
35

Contrasting

19,

the

Both

and

toll

construction,

edged to

these

lines

had

from

heavier

mortality than last year, but in
other industry and trade
groups,
failures dipped below 1959 levels.
All

three of the nine
major geographic regions reported
except

declines
there

during

was

Pacific

States

the
mild
to

week.

dip
63

While

the

from

70,
drops were noted in the
South Atlantic States, down to 17
from 31, and in the East North
Central, off to 38 from 51. Three
marked

regions had increases: the Middle
East
and
West
South

Atlantic,

Central
trends

casualties
1959

Year-to-year
mixed;
business

equalled

levels

Com. Stk. Offered
of

Public offering of 110,000 shares
Lewis
Business
Forms,
Inc.
stock

common

was

made

price of $7.75
on Feb. 26 by

group of underwriters headed
C. E. Unterberg, Towbin Co.

the

100,000

110,000

shares
sold

for

the

account

Lewis, President and
the

offered,

for the
and 10,000

were

account of the company

director of

company.

Net

proceeds from the
its 100,000 shares, will be

sale of
used by
shares
reduce

the company to redeem 190
of its preferred stock; to

bank loans, and to pay for a P?r~
tion

the

company's continuing

modernization and expansion pro¬
gram.

Samuel Colsis Opens
WINTHROP, Mass.—Samuel Col¬
sis is conducting a securities busi¬
?

States,

were

Lewis Bus..Forms

per

in¬

where

from

42.

35.

prevailed
in
wholesale
the toll climbed to

creases

where

an¬

corresponding week in

The

Washington's
but

1.960,

Railroads

2.1%

week

20,

the Associa¬

cars,

American

nounced.

12,116

Feb.

year ago. Declines in some cities

Central

steady.

were

Hog prices moved up apprecia¬

'Higher

but

occurred

crease

pre-war

was

the

prices were
down somewhat.
The buying of
coffee
was
scattered
and
prices
were unchanged. A fractional de¬
week,

prior

Slightly Higher

for

and sizable amounts

Sugar trading remained close to

cumbed

There

their

increased

preparation

season

Wholesale Food Price Index
Edges

week

earlier.

week

bought by India and Peru.

were

some

buyers

13, 1960, produc¬
reporting mills was 0.7%
above, shipments were 3.8% be¬
low;
new
orders
were
10.3%
above.•_ Compared with the cor¬
responding week in 1959, produc¬
tion of reporting mills was 6.1%
above; shipments were 6.0% be¬
low; and new orders were 3.7%
tion

the

matched

below production.

show the general trend of food
prices at the wholesale level.

freight for

revenue

that

passenger

moved up slightly
week.
Rice
prices

prices

ample,
during

week ended Feb,

index.

Carloadings Drop 2.1% Below
Corresponding 1959 Week

retail

were

slow

use.

"Ward's"

4,400

buy¬

over-all

flour

purchases
of
and
supplies

Although
were

eral

adjust schedules to field

in many

snow

consumer

Slight year-to-year gains in wom¬
en's apparel, furniture; and new

44.4

food stuffs

"to

inventories."

remained

trade

Trado

Ago

and to extensive sales
promotions

.44

raw

week

ca¬

equivalent to 2,654,000
ingot and steel castings

on average

of steel

export buying

Co.'s

Imperial plant at
Mich., was closed all

discouraged

were

by sluggish

Retail

Year

ing this week and
a

There

Week

op¬

erating rate of the steel companies

they were sufficient for the
trading. A slight dip oc¬
curred in soybean
prices, influ¬

and

The

Dearborn,

Cold weather and
areas

but

earlier,
although
they
did
not
were
flour,
beef, butter, reach the 261 of
this size occurring
coffee; eggs, currants, steers, and
a
year ago. Twenty-seven of the
hogs. Lower in price were wheat,failing concerns suffered liabili¬
corn, rye, hams, lard, cottonseed
ties
in
excess
of
$100,000,
as
oil, cocoa, and raisins.
against 29 in the preceding week.
The index represents the sum
Manufacturing
casualties
fell
total of the

schedule.

Capacity

Iron

low

ended

truck

and

and 31,424 trucks. The

cars

for

estimated

car

188,169

peak

built

may

183,010 units (week ended Feb. 3).

Nonferrous metals generally are
following the pattern of the fer¬
rous metals, "Steel" reported. The

Barometer

will

have

1959

shipments of 461 mills
reporting to the National Lumber

reporting service said 687,cars of
1960 model
vintage have been produced thus
far, equivalent to 24.08% of in¬
dustry total. By next week they
compact

Holds

limited

Shipments Down 6%

From

Trade

The

821

Weather

Bad

prior week. Prices on steers moved

Lumber

disloca¬

little change in corn

was

buying lagged and stocks
were
heavy. Although trading in
oats was dull, prices were frac¬
tionally higher at the end of the
week. Offerings of oats were light,

this

served at certain

stone

the

There

prices

in the

20, was 2.9%
the correspond¬

Associations,

Lumber

stainless,

they ran lower than
last
in the four other regions.

and weakness in the oil and meal

Truck tonnage was frac¬

nounced.

the week's mile¬
Dodge which exceeded

and

whereas
year

prices close to the preceding week.

enced

Week

1959

tonnage

Feb.

that

Trucking

truck

week

makers set back. In other products,
such
as
carbon
and
alloy bars,

was

held rye

markets.

Better

areas

model

1959

Automotive

"Ward's

said

most

can

cold

week

the

Reports"
swelled
to 2,855,559 cars during the week,
equivalent to 51.28% of the entire

quarter.

the

ducers

ended Feb. 27,

ceed

Cumulative

Intercity Truck Tonnage 2.9%

was

Output

producers,

132.7%

pressed tonnage during

Accelerate

Manufacturers

Auto

cars

loadings for the first six weeks of
1960 totaled 59,151 for an increase
of 19,132 cars or 47.8% above the

energy

by the electric light
industry for the week
ended Saturday, Feb. 27, was esti¬
mated at 14,092,000,000 kwh., ac¬
cording to the Edison Electric In¬
stitute.
Output was
134,000,000
kwh. below that of the previous
week's total of 14,226.000,000 kwh.
or

5,823

above the 1958 week.

power

kwh.,

and

32,276

passing the 10,118,995 tons poured
in

1959

Thursday, March 3, 1960

...

somewhat. A dip in domes¬

down

tic and export purchases

above

distributed

and

total).

corresponding period in 1958.

electric

amount

over-all

corresponding period of 1959, and

Output 8.6% Above
1959 Week

The

production in 1960 is

estimated

*159.1%.

production is based

weekly

age

months.

six

tons,

predict¬

ing that prices of many industrial
products will rise 3 to 5% in the
next

production

and

*167%

was

in
that
This was

included

were

week's
an

Continued from

Financial Chronicle

The Commercial and

(988)

five

exceeded

regions

ness

Cliff Ave.
formerly with Keller Bros.

from offices at 217

was

Securities

Co.

Number 5930

191

Volume

■

The Commercial and Financial

Chronicle

(989)

Indications of Current

The

following statistical tabulations

latest week

Business Activity

week
Latest

IRON AND STEEL INSTITUTE:

amFRICAN

month available.

month ended

Month

Ago

that date,

either for the

are as

of that date:

Month

94.2

90.3

castings (net tons)
,
Mar. 5
PETROLEUM INSTITUTE:
and condensate output—daily average (bbls. of

§2,654,000

*2,690,000

2,683,000

2,556,000

each)——
—
Feb. 19
Crude runs to stills—daily average (bbls.)
—Feb. 19
Gasoline output
(bbls.)——:—
t
——Feb. 19
Kerosene output
(bbls.)
3
Feb. 19
Distillate fuel oil output (bbls.)
Feb. 19
Residual fuel oil output (bbls.)——Feb. 19
Stocks at refineries, bulk terminals, in transit, in pipe lines-

7,311,610

7,256,410

7,190,160

118,081,000

8,077,000
28,266,000

8,227,000

27,963,000

Month

Ago

Year

8,052,000

28,753,000

ingots and

2,099,000

2,483,000

2,943,000
13,644,000

6,596,000

7,162,000

212,942,000

208,908,000

199,905,000

22,987,000

23,709,000

25,866,000

19
19

112,597,000

118,340,000

132,638,000

48,038,000

50,089,000

55,530,000

571,625

580,103

587,339

CONSTRUCTION

583,741

541,174

547,064

552,636

552,412

Feb.
Feb.
Feb.
Feb.

Total U. S.

——

Public construction

Fe»Feb.
Feb.
Feb.

municipal

State and

Federal

(U. S. BUREAU OF MINES):
Bituminous coal and lignite (tons)—————
Pennsylvania anthracite (tons)—— —.1

$307,800,000
202,200,000

$342,200,000

$245,200,000

Feb. 20
——Feb. 20
RESERVE

180,500,000

139,900.000

105,300,000

81,900,000/

53,200,000

23,400,000

INDUSTRIAL)

(E.

PRICES

METAL

Electrolytic
Domestic

Lead

Zinc

„

—

277

U. S. Government

Feb.
Feb.
Feb.
Feb.
Feb.
Feb.

„

Bonds

—

Aaa

Railroad
Public

Group

Utilities

Industrials

113

109

14,313,000

Group

289

281

296

6.196c

$66.41

$37.17

$39.17

$42.50

■

$66.41
$43.17

Group

-—.

Average corporate

Public

Group
Group

(end

CIVIL

Total

Public

COKE

ERAL
As

13.500c

12.000c

13.000c

26.000c

24.700c

101.125c

101.750c

100.500c

sales

83.17

83.09

82.62

86.65

84.04

83.28

90.00

Mar.

88.27

87.45

94.12

Mar.

86.51

85.33

Mar.

83.40

82.90

90.20

78.43

78.55

78.09

83.66

81.90

82.03

81.17

89.09

Mar.

84.04

84.17

83.15

Mar.

86.11

85.72

91.48

Mar.

4.24

4.25

4.29

3.76

Mar.

4.86

4.92

4.41

Mar.

4.54

4.60

4.13

Mar.

4.67

4.76

4.21

Mar.

4.91

4.94

4.40

Mar.

4.92

4.43

4.86

Mar.

4.85

4.31

4.73.

4.70

4.7o

Mar.

367.9

369.5

379.8

382.7

Feb. 20

298,097

304,815

331,705

297,549

329,793

325,402

322,114

304,774

440,962

466,834

459,259

for

account

111.12

Feb.
—Feb.
Feb.

5
5
5

341,580

114.72

111.63

1,988,940

2,807,240

2,230,050

261,510

442,530

1,773,290

2,804,110

1,961,170

3,246,640

2,308,170

Feb.
—Feb.
Feb.
Feb.

283,250

260,410

416,220

501,830

84,700

29,050

51,450

56,400

284,420

336,250

471,560

430,690

369,120

365,300

523,010

487,090

the floor—

sales

$627,000

$875,000

75,768

'35,281

106,826

86,491

46,302

137,361

104,678

*90,039

114,425

66,850

64,763

80,780

20,065,000

20,111,000

20,497,000

17,678,000

17,709,000

17,636,000

9,144,000

10,157,000

8,552,000

457.2

406.2

427.6

106

249

105

108

245

103

135

138

129

221,222

366,125

235,784

209,031

235,688

224,260

$3,452,000

BANK

Jan.

NEW YORK—

(000's omitted)

INSTITUTE—

COPPER

month of

January:

Copper production in U. S. A.—
Crude

(tons

Refined

of 2,000

pounds)

:—

(DEPT. OF COMMERCE):

Spinning spindles in place

Jan. 30———

Spinning spindles active on Jan.
Active

spindle hours

Active

(tons

stocks at end of period

SPINNING

COTTON

pounds)

2,000

(tons

copper

2,000

fabricators—

S-

pounds)

2,000

(tons

Deliveries

Refined

—

(000's omitted) Jan. 30

spindle his. for spindles

in place Jan.

DEPARTMENT

SECOND

SALES

STORE

RESERVE

ERAL

FED¬

FEDERAL

DISTRICT

RESERVE BANK OF NEW YORK—1947-49

190—Month of January:

Sales

(average

Sales

(average

Sales

(average daily),

monthly),

—

seasonally adjusted-^

STRUCTURAL

INSTITUTE

CAN

unadjusted

daily), unadjusted——

STEEL

(AMERI¬

CONSTRUC¬

STEEL

closed

(tonnage)—estimated——

Shipments

EXCHANGE—

NEW YORK STOCK

of Jan.

(000's omitted):

firms

Member
Total

extended

Credit

margin

carrying

customers'

Cash "on hand

$3,333,000

*$3,430,000

—

134,000

150,000

155,000

in U. S.—^

366,000

375,000

374,000

customers—

in banks

and

accounts-

debit balances—

net

638,935

852,659

729,705

Total

balances—

1,001,000

*996,000

1,226,000

110,440
657,110

133,660

111,420

Market

value

listed

shares—————-

287,976,727

307,707,698

280,825,782

723,323

872,065

793,972

value

bonds

106,400,853

767,550

1,005,725

listed

876,883

905,392

Market

Feb.

3,461,585

Feb.

3,010,795

2,888,285

4,076,119

579,840

401,000

627,640

2,820,153

2,766,650

4,147,735

3,185,832

Feb.

value

•

3,399.993

3,167,650

4,775,375

3,700,652

Odd-lot purchases
by'deafers ~(customers' sales)—
Number of orders—Customers' total sales-.
Customers' short sales
Customers' other sales
Dollar value
;

:
-

—

sales

by dealers—

sales

—

Round-lot purchases by dealers— Number of shares

total round-lot stock

sales

2,037,091
$98,302,082

Feb.
Feb.
Feb.
Feb.

1,347,468
15,553

1.786.795

1,893,773

2,569,740

$94,288,387

$131,297,370

$87,528,880

1,458,678
11,733

1,815,624

1,549,251

5,967

7,604

1,331,915

1,446,945

1,809,657

1,473,247

$65,384,666

$72,881,528

$93,635,457

round-lot

295,720

351,430

396,400

410,740

295,720

351,430

396,400

410,740

891,630

741,330

1,083,970

640,390

..Feb.

sales

Other sales
Total sales

—_

.....

3..II3III33333II—II

(1947-49

—

Feb.
Feb.
Fob.

753,950

519,970

709,140

640,590

13.651,930

13,982,300

18,171,170

14,405,880

14,502,270

18,880,310

17,448,040

Me°aCtsSSed f00ds
Alljcommodltles
ngure.
figure

n; l' 1960

Feb. 23

——

products—.

...

«...

119.3

119.2

119.5

119.1

Feb. 23

87.3

86.8

88.3

89.9

105.9

Feb. 23

other "than farm, and foods.
11Includes 977,000 barrels

as against Jan.

Feb. 23
foreign

crude runs.

105.6

105.8

107.2

92.4

91.5

91.7

98.2

128.6

Feb. 23

Digitizednni FRASER
for Vf. Investment-Plan, tPrime
°ne-haU cent
pound.

and

Mutual

trust

128.6

127.5

2,105,000

—

$962,910

$952,599

$982,801

138,353

136,839

142,671

409,808

408,868

507,744

NONFARM

HOME

LOAN

BANK

omitted):

(000's

Dec.

associations

—

;
=

313,846

299,427

496,459

477,843

531,300

$2,442,478

$2,628,583

$56,366,054

$67,091,965

$80,341,766

25,121,239

23,031,569

24,251,454

81,487,293

—-—

—

164,640

327,393

90,123,534

104,593,220

151,579

banks—_=———

Individuals

152,483

$2,486,502

savings

Miscellaneous

institutions

lending

Total

SELECTED INCOME ITEMS

S. CLASS I

(Interstate Commerce Commission)—

RYS.

railway operating income
income

Total

—

income

available
after

Other
Net

for

from

fixed

5,119,781

fixed charges

deductions
income

•

4,434,148

5,481.389
99, 111,.831

54,365,632

67,225,330

4,213,957

—

85,689,386

44,866,430

income.

charges

76,367,512

4,327,992

4,049,789

40,652,473

deductions

Miscellaneous

50.037.640

63,175,541

Depreciation (way & structure & equipment)

51,699,944

51,638,207

50,028,908

Federal

13,221,464

20.857.641

23.597,972

75,973,373

18,539,438

64,977,989

6,989,307

1,536,574

6,983,698

income

Dividend

§Based on new annual capacity of 148,570,970 tons

1, 1959 basis of 147,633,670 tons.
tNumber of orders not reported since introduction of
Western Zinc sold on delivered basis at centers where freight from East 8t. Louis exceeds
.

2,529,000

companies

Income

100):

All

2,357,000

17,192,550

Commodity Group—
commodities.
Farm

Banks

Net

s. dept. of

468,000

other collateral—

companies

Income

wholesale prices, new~ s~eries

and loan

Insurance

Other
_

.....

Month of November:

(shares):

members

453,000

—

on the n. y. stock

sales—

105,422,055

363,000

___

$76,215,124

exchange and round-lot stock transactions

^i'or account

106,287,439

Govt, issues—

FINANCING

ESTATE

Savings
_

;

REAL

borrowings

BOARD—Month

Feb.
Feb.
.Feb.

shares—Total sales

sales

Member

AREAS

Feb.
Feb.

.....

credit

free

514,820

Feb.

——

of customers'

Member borrowings on U. S.

of members—

$664,000

OUTSTANDING—FED¬

PAPER

153,560

—

MtmHi

3,812,516

tons)

Feb.

oddlot dealers
and specialists
on n. y. stock
exchange
securities exchange commission
Odd-lot sales by dealers
(customers' purchases)—t

^ea
'Revised

*4,987,531

(net

724,455

stock transactions for odd-lot account of

—

84,100

4,505,053

of month

end

Feb.

sales

LABOR

*65,118

tons)

Feb.

sales

Short

5,437,100

88,840

347,000

2,034,800

the floor—

;

1,812,410

—

111.21

2,153,990

■

—

sales
Total sales
Total round-lot transactions for account
Total purchases

Total

5,521,200

*4,269,695

(net

stock

Contracts

Feb.

sales

Other

*4,334,813

6,051,720

—

TION)—Month of January:

2,003,090

purchases,

6,140,560

tons)

(net tons)—

FABRICATED

mem¬

Other

Short

136,947

■'

400,485

Feb. 26

sales

Number

427,372

176,000

—

4.48

—

sales

Round-lot

419,000

118,000

RESERVE

89.78

Mar.

5.10

—

transactions initiated

Dollar

505,000

l_„.

r_;

December:

coke

92.93

Mar.

Feb. 20

——

purchasesShort sales

564,319

;

——

municipal—.

(net

COMMERCIAL

For

Mar.

Feb. 20

Total

Number

750,150

595,000

of
.»

104.000c

5.36

of period

at end

sales

Other

$1,314,469

670,000

623,000

EN¬

—

11.500c

5.31

—

Other transactions Initiated off

Total

$1,265,000

779,000

Month

—

—■—

11.000c

29.175c

—

transactions

Short

$1,402,000

CONSTRUCTION

NEWS-RECORD

and

coke

10.800c

31.775c

association:

sales

Short

29,470

—

construction

coke

Oven

12.000c

>•

5.02

Total purchases

Total

43,870

...

construction

Production

11.800c

13.000c

bers, except odd-lot dealers and specialists
Transactions of specialists in stocks in which registered—.

Other

48,170

undelivered

and

(BUREAU OF MINES)—

11.800c

Feb. 20

index

average=4(m^-—-

Other

1,940

order

Federal

12.000c

oil, paint and drug reporter price index—

Total

cars

Private construction

32.350c

.Mar.

(tons).

Unfilled orders (tons)

Other

4,007

3,032

INSTITUTE—

February (000's omitted):

12.000c

5.32

Percentage of activity

Total

10,560

2,849

freight

cars

GINEERING

11.800c

5.03

(tons)

Short

7,149

CAR

month)——

Average

round-lot

cars—.

sales (M therms)

gas

29.725c

Mar.

commodity

Orders received

1949

287,900

ENGINEERING

30.825c

24
24
24
24
24
24

33.875c

—

national paperboard
Production

184,500

mixed

Utilities

Industrials
moody'S

8,549,500

256,900

delivered—-—-

new

32.900c

4.89

Group

for

32.650c

.Mar.

Baa

Railroad

8,837,400

7,251,700

—.'

—

January:

freight

Oven

moody'S bond yield daily averages:
U. S. Government Bonds

Backlog

12,972,000

$66.41

;

AVERAGES:

DAILY

Average corporate

Orders

6.196c

S
Feb. 24

—

PRICES

Month

Beehive

(primary pig. 99.5%)
Straits tin (New York) at
BOND

390,000

J. QUOTATIONS):

Aluminum

MOODY'S

364,000

■

14,226,000

Feb. 24

(delivered) at
(East St. Louis)

fZinc

345,000

14,092,000

Louis)

7,436,200

9,124,000

therms)—

sales (M therms

gas

Month

at
at

(St.

8,055,000

Feb. 23
-Feb. 23
— Feb. 23

at_—

York)

(New

8,650,000

115

copper—

refinery

Export
Lead

9,380,900

December:

sales

DUN &

—

(per gross ton)

145,721

AMERICAN RAILWAY

24,277,000

;

PRICES:

(per lb.)

month
gas

State

Pig iron (per gross ton)——
Scrap steel

389,000

85,211,000

;

*8,290,000

Feb. 25

AGE COMPOSITE

Finished steel

7,195,000

107

BRADSTREET, INC.
IRON

132,765

...

109,488,000

108,500,000

Feb. 27

(COMMERCIAL AND

111,638

;

ASSOCIATION—

Manufact'd

176,172,000

161,700,000

90,100,000
15,500,000

Feb. 20

EDISON'ELECTRIC INSTITUTE: '
Electric output (in 000 kwh.)
FAILURES

$285,660,000

105,600,000

25
25
25
25

COAL OUTPUT

DEPARTMENT STORE SALES INDEX—FEDERAL
SYSTEM—1947-49 AVERAGE — 100—-.

For

Total

New

Feb. 25

construction

Private

152,301

end

—J.

GAS

Natural

ENGINEERING

—

153,665

tons)

84,021,000

46,421,000

December---

(short

December

19,648,000

162,996

aluminum

204,987,000

tons)—Month

AMERICAN

15,584,000

7,178,000

Feb. 20
(no. of cars)—Feb. 20

freight received from connections

short

2,784,000

12,363,000

(bbls.) at
Distillate fuel oil (bbls.) at—
Residual fuel oil (bbls.) at__
1
ASSOCIATION OF AMERICAN RAILROADS;
Revenue freight loaded (number of cars)—
Revenue

7.208,320

6,785,000

Kerosene

CIVIL ENGINEERING
NEWS-RECORD:

28,518,000

(BUREAU OF MINES):

Production of primary aluminum in the U. S.
(in

12,619,000

unfinished gasoline (bbls.) at—

Finished and

ALUMINUM

Stocks

Crude oil
42 gallons

of quotations,

cases

are

Latest

'94.4

AMERICAN

or,

Ago

§93.1

Steel

production and other figures for the

cover

Dates shown in first column

Year

Week

(per cent capacity!—.—— Mar. 5

Indicated Steel operations
Equivalent to—

.—i———

appropriations:

common

preferred

Ratio

taxes.

stock

of income to fixed, charges-

;—

2.42

2.H.,

.3.11

The Commercial

(990)

and Financial Chronicle

Thursday, March 3, 1960

* INDICATES

Wholesale

Acme

American

Corp.

notification) 295,000 shares of com¬
mon stock (par 10 cents).
Price—$1 per share. Proceeds
—To purchase merchandise for payment of notes and
accounts payable, and for advertising
and other ex¬
penses.
Office—410 Studekum Bldg., Nashville, Tenn.
Underwriter—Crescent Securities
Co., Inc., .Bowling
Jan.

(letter

-Aerosol

stock

America

Corp.

bank indebtedness, for advertising, and for working
capital. Office — 328 Washington St., Wellesley, Mass.
Underwriter—Clayton Securities Corp., Boston, Mass.
Agricultural
25

filed

Research

200,000

Development,
of

Land

filed

fice—49 E. 53rd Street, New York City.
Underwriter—
Hemphill, Noyes & Co. Offering—Indefinitely delayed.

common

Feb.

Fund,

1,250,000 shares of capital stock
—

American-Marietta Co.

(par

cents). Price—$5 per share. Proceeds—To purchase land,

shares were exchanged for all the
properties c.f Dewey Portland Cement Co. on
the basis of 8V4 American-Marietta shares for each 10
1,471,709

common

assets and

—Wiggins,

shares of Dewey.

Colo.
Pittsburgh. Pa.

Underwriter—W.

Co.,

Edward Tague

YYY/

Aircraft Dynamics

International Corp.
Sept. 25 (letter of notification) 100,000 shares of com¬
mon stock (par 10 cents).
Price—$3 per share. Proceeds
—For general corporate purposes.
Office—229 S. State
Street, Dover, Del. Underwriter—Aviation Investors of

America, Inc., 666 Fifth Avenue, New York
Offering—Delayed.

19, N.

filed 3,000,000 shares of
five cents).
Price—$2.50 per share.
17

stock

common

Proceeds—-For fur¬

Wall

Street, New York. Underwriter—C. B. Whitaker,
A. J. Zappa & Co., Inc., New York. Offering—Expected
March.
All.ed

Dec.

stock

American &
Jan. 27

Inc.,

Dallas.

Offering—Ex¬

pected in March.

Price—$1

Proceeds—For working capital to be used in

the purchase of oil and gas properties and related forms
of investment. Office—115 Louisiana Street, Little Rock,
Ark.

Underwriter—The

offering is to be made by John

Hedde, President of the issuing company and owner
of 10,000 of its 80,000 presently outstanding shares.
Mr.
Hedde will work on a "best efforts'* basis, and will re¬
ceive

selling

Arkansas

sales

sales.

commission
and

cents

per

cents

per
on

out-of-state

• Ameche-Gino Foods, Inc.
Feb. 18 (letter of notification) 99,875 shares of common
stock, class A (no par).. Price—$3 per share/ Proceeds
«—For working capital./Office—Ameche's Drive-In, Loch
Raven

Boulevard

Taylor Avenue, Towson, Md.

JDn-

derwriter—Stein Bros. & Boyce, Baltimore, Md.

Office—60

rants

warrant

one

with each share.

The class A war¬

give the right to purchase the stock at $7.50

for

the first

six

and

months, at $8.50

Service

per-

per

share from

Underwriter

—

Myron

purposes.

warrants.

*•

Anadite, Inc. (3/4) f!
18 filed 50,000 shares

200,000 shares of capital stock. Price—$8
Proceeds — To increase capital and surplus.

Office—1455 Union

Ave., Memphis, Tenn. Underwriter—
Union Securities Investment Co., also of
Memphis, which
will receive a selling commission of $1.20
per share.

in touch with

Mid America's

most

eligible

investors when you advertise
your securities in the Chicago
was made clear in a 1959
survey of corporate
officers and executives listed in Dun and Bradstreet's

Tribune. This

.*•

Radio Corp. (3/7)
filed;120,000 shares of common

•Price—To

supplied

derwriters—W. C.

amendment.

make these active investors

March

Ansonia

of 7

Wire & Cable Co.

TMI

WOMB'S

Mid America's

most

GREATEST

vances

aries
the

NEWSPAMR

widely circulated market table pages

investments

their

for

shares for each 10 shares held.

Price—$4

per

Proceeds—To repay a current debt and for work¬

ing capital. iOffice
Underwriter

—

111

Martin

Lapham &

—

Realty

Street Ashton, R. I.
Co., 40 Exchange PI, New

Y;Y>v/YY:'/YY;«

general

one

business

Corp.

ton

and

preferred stocks will be sold only in units consist¬
ing of five shares of preferred and an unspecified num¬
will

sell

stock

the

cents

the

Apache Oil the

Rand

Tower

company
common

share to Apache Oil, promoter of

per

Proceeds—$1,600,000 will be
and

latter's

used

two-thirds

ac¬

building); about $600,000 will be used in connection
the development of a
shopping center; and the
for

general

corporate

purposes.

Office

—-

523

Marquette Ave., Minneapolis, Minn.
Underwriter—APA,
Inc., a subsidiary of Apache Oil. Offering—Expected by
the middle
Arcs

Feb.

March.

Industries, Inc. (3/21-25)
filed 100,000 shares of common stock
(par 10
Price—$3.75 per share. Proceeds—To
discharge

buy equipment
purposes.

and

the

research and

balance

development; to

for

general corporate
Office—Merrick Road,
Bellmore, L. I., N. Y.
A. Lomasney & Co., New

York,

Arrivals, Ltd.

Co., New York.

of outstanding

Employees Corp.

(letter of notification) 44,000 shares of common
Price—$5 per share. Proceeds—For work¬
capital. -Office—203 N. Wabash

stock (par $1).

Ave., Chicago, 111.

Underwriter—Craig-Hallum, Inc., Minneapolis,

borrow¬

;

(3/18)

2,500,000 shares of common stock. Price—$2
Proceeds—Together with other funds, will be

share.

per

invested

the ^shares
of
the company's three:; sub¬
sidiaries; for general corporate purposes; and the re¬
maining balance will be used from ,time to time for
the purchase of all or a substantial interest in or the
of

one

business

other

insurance

companies

finance

engaged in

to further

sup¬

plement the funds of the three subsidiaries. Office—930
Tower Bldg., Washington, D. C. Underwriters—G. J. Mit¬
chell Jr. Co., Washington, D. C.; and
Ralph B. Leonard
& Sons, Inc., of New York City.
Baltimore
Jan.

filed

Paint & Chemical Corp.

(a)

$750,000

sinking fund debentures,
eight-year warrants for the

series, due 1975 with
of 22,500 common

61/2%

each

(3/14)

purchase

the

rate

$1,000 of debentures;

cumulative

(b) 90,000 shares
first preferred stock;
mortgage - bonds, due

convertible

(c) $750,000 of 6%% ./first
1972, sold to New York Life Insurance Co., along with
12-year warrants granted said 'insurance company to
purchase 15,000 shares of the issuer's common at a price
•to be specified.
Prices—For the. debentures, at par; for
the preferred, $20 per share. Proceeds—For
general cor¬
porate purposes including repayment of loan, purchase
of

land, construction, purchase of machinery and equip¬
ment, and for working capital. Office—2325 Annapolis

/Avenue, Baltimore, Md.
v#

Underwriter—P. W. Brooks &
,

•

Y Y-i, Y Y; Y"

Bankers

Management .Corp. Y V /Y
YYY/YYY
Sept. 10 (letter of notification) 300,000 shares of common

stock

(par 25 cents); Price—$1 per share.,; Proceeds—
working.capital. .Office—1404 Main Street, Houston
2, Texas. Underwriter—Daggett Securities, Inc., Newark,
For

•

Offering—Expected

Barnes

day.

any

Engineering Co./(3/7-ll) f

Feb.

9 filed 50,000 shares of common
stock
(par $1).
Price—To be supplied by amendment.*Proceeds—To pay
off notes, for expansion and for
general corporate pur¬

Office—Stamford, Conn. Underwriter
: /
; YYY//Y 'v~;
•-.Y /■■'

poses.

Stone & Co.

—

Hayden,

-V Y

YY;

Bobbie
15

Brooks, Inc.
filed 200,000 shares Of
capital stock,

for the proposed two-for-one stock
split
at a shareholders' meeting Feb.

offered, 100,000 shares

pany and

are

adjusted

to be voted on

Of the shares

24, 1960.

to be

to be sold by the com¬

100,000

are to be sold by selling stockholders.
supplied by amendment. Office — 3830
Kelley Ave., Cleveland 14, Ohio. Proceeds—To be used

Price

for

—

property improvements and working capital. Under¬
Co., New York. Offering—Expected in

writer—Bache &

mid-March.
Border Steel

Rolling Mills, Inc.
14 filed $2,100,000 of 15-year 6% subordinated
sinking fund debentures, due Oct. 1, 1974, and 210,000
shares of common stock
($2.50 par), to be offered in
units of $50 principal amount of debentures and five
Sept.

common

stock.

Minn.

Price

supplied by
land and
and in¬
stallation of necessary
equipment. Office—1609 Texas
Street, El Paso, Texas. Underwriters—First Southwest
Co., Dallas, Texas, and Harold S. Stewart & Co., El Paso,
amendment.

Proceeds—For

construction

the

—

purchase

thereon, and for the

manufacture

Texas.
Border

Steel Rolling Mills, Inc.
Sept. 14 filed 226,380 shares of common stock, to be of¬
fered for
subscription to stockholders of record Aug. 31,
1959, on the basis of 49 new shares for each share then
held.

Price—To be supplied by amendment. Proceeds—
corporate purposes.
Office —1609 Texas
Street, El Paso, Texas; Underwriter—None.
general

Jan. 29

ing

addition

interest

Foshay Tower officebuildings

Minneapolis (included in this payment is the sum
required to repay the bank loan in the amount of
$1,500,000 obtained in connection with the acquisition of
said

subsidi¬

Feb. 8 filed

Feb.

(par $20), 500,000
par), and an unspe¬
shares (par $1). The common

shares, at $150 per unit. The
500,000 shares of subordinated

of its

purposes,

ings under a 6% revolving credit loan. Office—18 Irvington Street, Boston, Mass.
Underwriter—W. E. Hut-

YYY

Feb. 15 filed 116,500 preferred shares
subordinated common shares ($.10

common

convertible de¬

may

the temporary reduction

and to

>•

common

com¬

also apply a portion of the proceeds
to the acquisition of additional businesses/ and to the
..prepayment of part of its outstanding long-term debt
company

N. J.

(letter of notification) 74,800 shares of common
(par $1) to be offered to stockholders on the basis

new

share.

per

filed $5,000,000 of subordinated

Jan. 28
stock

bentures, due 1970, and 20,000 shares of common stock.
Price—To be supplied by amendment.
?Proceeds—The
company anticipates that a portion will be used for ad¬

For

(£l)icat}0 ^Tribune

Price.—$1

;

150,000

if- Avis, Inc.

Co., New York City.

Proceeds—To

Underwriter—Myron

your customers.

(par $1).

Langley & Co., of New York City.

indebtedness; advances for

other.midwest metropolitan newspapers. Your nearest Tribune
you

stock

president F. A. D. Andrea, selling stockholder; Office—
Bridge Plaza North, Long Island City, N." Y. Un¬

Mid America

Directory" Those who live in Chicago arid
say emphatically they prefer the Tribune to
help

stock (no par).
Proceeds—To buy

Andrea

Feb.

cents).

can

capital

property, repay bank indebtedness/and add
working capital. Office—10630 Sesslef Street; South
Gate, Calif. Underwriter—Dean Witter,& Co., San Fran¬
cisco, Calif. Offering—Imminent.
if.
>.

"Million Dollar

representative

Y'YY'
of

with

put

(letter of notification)

Proceeds
—For general- corporate purposes.
Office—150-34 12th
Avenue, Whitestone 57, N. Y. Underwriter—B. Fennekohl & Co., Inc., New York, N. Y.
YVYY'vY

6V2

plant and

balance

ELIGIBLE INVESTORS

Underwriter—None.
Inc. -(4/5)

stock (par 25 cents).

mon

the

stock. Price—$4.00

common

Price—To be supplied by amendment.

quire from

filed

are

Co.

Jan.

the company.

American Frontier Life Insurance Co.

You

Insurance

Service, Inc.

ber of

Office—2929 "B" St.,
Philadelphia, Pa. Underwriter—Bache & Co., of Phila¬
delphia, and New York City, who is to acquire said

share.

'Feb/12

Systems,

and

ing—Imminent.

and

per

Automation

■t0

Underwriter—Edgar B. Hunt Co., New York City. Offer¬

cified number of

filed

shares for

Business Systems, Inc.
(3/8)
100,000 shares of common stock, and 3-year
warrants for 5,000 shares of common stock. Price—To be
supplied by amendment. Proceeds—For new equipment;
expansion of the sales organization; discharge of debts,

Nov.

Feb.

Proceeds—For establishing airmail facilities
at airports. Office—518 Felt
Bldg., Salt Lake City, Utah.

Apache

American

Feb. 3 filed

corporate

Life

share.

York, N. Y.

general

per

off mortgages, develop and im¬
acquire additional real estate.

Dec. 8 filed 375,000 shares of

Office

•

Price—$3

including, possibly, the acquisition of simi¬
larly engaged companies. Office — 113 Northeast 23rd
Street, Oklahoma City, Okla. Underwriter — First In¬
vestment Planning Co., Washington, D. C.

share.

Rochester, N. Y.
Lomasney, New York City.

stock, of which

common

purposes,

per

Office—Ashland,,Ky.

Bankers of South Dakota
/
$500,000:of 10-year 6V2% subordinated
notes, due 1970. Price—100% of principal amount. Pro¬
ceeds—For additional working capital. Office—621
Main
* Automobile

Aviation

Sept. 14 filed 300,000 shares of common stock (par 400).
Price—$3.50 per share. Proceeds—For general corporate

the seventh to the 24th month, and at $9 per share from
the 25th to the 30th month. Price—$7.50 per unit. Pro¬
ceeds—For
the construction
of new
bowling centers.
—

personnel stock option plan.

its key

42nd St., New York City. Underwriter—
Co., Inc., New York City.

Gabriel

common

stock, to be
offered to officers and employees of the company
under

27-01

if American Bowling Enterprises, Inc.
Feb. 25 filed 100,000 shares of common stock (par $1),
and 100,000 class A purchase warrants, to be offered in
units of

properties,

prove

Allied Producers Corp.

share.

shares of

American Telemail

Dec. 3 filed 1,000,000 shares of common stock.
per

;

Seaway Land Co.

to be publicly offered.

are

formation

stock. Price—$108 per unit. Proceeds—For general cor¬
porate purposes. Office—Arlington, Texas. Underwriter

Co.,

Lawrence

share. ^Proceeds—To pay

American

$750,000 of sinking fund debentures and
300,000 shares of capital stock, to be offered in units of
$75 principal amount of debentures and 30 shares of

St.

filed 538,000

350,000 shares

Bowling Centers, Inc.

filed

Pierce

(par 10 cents).
Price—$1 per share.
Proceeds—
corporate purposes./ Office—85 Fifth Ave.,

A. J.

—Rauscher,

Fiberglass Co.

(letter of notification) 300,000 shares of common

For general

(par

ther development and exploration of the oil and gas po¬
of the company's Alaska properties. Office—80

•

Molded

American
Jan. 29

;YYY/YY'Y;

Paterson, N. J. Underwriter — Michael Fieldman, 82
St., New York, N. Y. Offering—In early March.

tential

Underwriter—None.

Street, Chicago, 111.

Beaver

Alaska Consolidated Oil Co., Inc.

Sept.

Price—To be supplied by amendment.

acquisition of additional businesses and
for general corporate purposes. -Office—101 E. Ontario
Proceeds—For

ISSUE:

stock, of which

Jan. 25 filed 1,882,718 shares of common

buildings, and provide necessary equipment
and capital to engage in a hog raising enterprise. Office

to construct

REVISED

Street, Rapid City, S. Dak.

Inc.

(par $1),
-Price—$20 per share.
Proceeds—For investment.
In¬
vestment-Advisor
Insurance Securities Inc., Oakland,
Calif. Underwriter—The First Boston Corp., New York.
Offering—Expected in the latter part of March.

Inc.

stock

Life

filed

ITEMS

•

if Ashland Oil & Refining Co.
eb. 26 filed 200,000 shares of its

Co.

300,000 shares of class A preference

American

pay

Jan.

•

(letter of notification) 100,000 shares of common
(no par). Price—$3 per share. Proceeds—To re¬

Registration

stock
($15 par) and 300,000 shares of common stock, to be of¬
fered in units of one share of preference and one share,
of common. Price—To be supplied by amendment. ;Proceeds—For property acquisition and development.
OfDec.

Green, Ky.
Feb. 5

Now

Securities

ADDITIONS

SINCE

Britton

Electronics

Corp.
(letter of notification)

Jan.

mon

stock

ceeds—For

(par

one

general

cent).

(3/15)

225,000
Price—$1

corporate

shares of com¬
per share.
Pr°~

purposes.

Office—213-20

.The Commercial and Financial Chronicle

Nov.

York, N. Y.

Corp., New

proceed

canital,

wnrkine

neL

filed

Office—C/o

200,000
share.

per

capital

common

Proceeds—For

stock.

per preferred share. Proceeds—To be added
the cooperatives general fund and the
major portion
thereof will be applied to the construction of a new
warehouse and central office building; and a portion of

corporate

general

including debt reduction, drilling and work¬
ing, capital.
Office—420 No. 4th St., Bismarck, North
Dakota., Underwriter—J. M. Dain & Co., Inc., Minne¬
apolis, Minn. Offering—Indefinite.

Gar-

additional working capital. Office—C/o Gar707 Grattan Road, • Martinsville, Va

the proceeds will be

applied to retirement of maturing
promissory notes and for working capital. Office—1901
Winter St., Superior, Wis. Underwriter—None.

Rurch' at

★ Carolina Pacific Plywood, lnc.f Medford, Ore.
Feb. 29 filed 100,000 shares of capital stock.
Price—To
be supplied by amendment. ^Proceeds—To increase "the
company's working capital and to aid in financing log
Rnrnell & Co*
inventories at peak periods.;* Underwriter—Peter Morgan
Vh 15 filed 200,000 shares of common stock. Price—$3
-■& Co., New York.
".V C
•
•,
;
share'- Proceeds—To . repay bank loan; for manu- •
n

Senvriter—Maryland Securities Co., Inc., Old Towr,
Underwtiw
Bank Building, Baltimore 2,Md. ••
mh

Dniti„nr(>o

^Central

Feb.

41960

windingand testing and production equip-.

nmatic

working capital. Office-10 Pelham Park-;.

and for

Pelham

Blauner.

N. Y.tUnderwriter — Milton D.

Manor,

March 15, I960, in the ratio of one new share for each 10';

;

r-shares then held; rights expire April 7. The company is-

seeking registration of an additional 20,000 shares
common capital stock to be offered under an Employee Stock Plan, fPrice—$20 per share for rights of¬
fering. Proceeds-^-To reduce short-term bank notes. Un¬
of its

derwriter—None.

and for

Angeles,v Calif, -i Underwriter—Robert

Los

Place

Edel-

Inc., New York, N. Y. ■:
Metals Corp.
July 27 filed 2,500,000 shares of common stock, vprtceAt par (20 cents per share)< Proceeds—For construction;
of a pilot plant; for measuring ore; for assaying; and foi
general corporate purposes. Office—3955 South State St.
Salt Lake City, Utah. Underwriter—Cromer Brokerage
stein Co.,

California

•

Cascade

:'V

Pools

'■*'

•;T!.

(3/10)

Corp.

Nov, 30 (letter of notification) 100,000 shares of common
vstock (par 10 cents). Price—$1 per share. Proceeds—For
general corporate purposes. Office—River & Wood Sts.,

Butler,
New

J. Underwriter—R.

Holman ,&

York, N. Y.

(Castle
Feb.

Airport, Washington 1, D. C. Underwriters — Lehman
Brothers and Smith, Barney & Co., New York, N. Y.

purchase
Allen &

Price—$2

Realty Qp., , Inc.
of notification) 100,000 shares of com¬
(no par).\Price—$3 per share. Proceeds—To
additional real estate investments.
Office—

Underwriter—Landrum

Co., Inc., Washington, D. C.
$1,500,000 of 15-year 5%% series A deben¬

operating funds and working

Feb.

17 filed

capital./Office—381 Fifth Avenue, New York City. .Un¬
derwriters—G. Everett Parks & Co.,- Inc., and Sulco
Securities, Inc., both of 52 Broadway, New York City.

ture

bonds, ,$500,000 of 10-year 5%

bonds,
;

Witter

(Dean

(Paine,
>

Webber,

March

(Bids

March 7

(Monday)

Engineering
(Hayden,

Consultants

Stone

(William

General
(Brand,

Foam

and

(Allen

and

Co.

Van

Noel

A.lstyne,

(David

Barnes

Co.,

Yuba

Co.; Bear,

Stearns
,

Common
/:\7

Walnut Grove Products Co., Inc.—
(First

Trust

Co,

(First

Trust

Cruttenden,

Co. ,of

Co.)

.Common

Nebraska and
shares

Lincoln,

Podesta

March

(Tuesday)

American Business Systems, Inc
(Bache

Co.)

Tayco Developments,

100,000

Common
shares

Telephone & Telegraph

Stoltz

Devices,

Co.)

Common

(Offering to stockholders—underwritten by C. E.
;Stoltz & Co.) $537,788.75

(Wednesday)

April 13

Universal Transistor Products Corp
(Michael G. Kletz

Co.,

Inc,

and Amos Treat &

$300,000

March .9

.Common

Metropolitan Edison

Co., Inc.)

•

& Co.,

Inc.)

..Common

—

(Merrill Lynch, Pierce, Fenner
& Smith Inc.) 200,000

bunair

Electronics, Inc
(Frank

Karaslk

....--.Common
&

Co.,

Inc.)

Temnleton)

and

200,000

(Ross,

Capital

Goelet

Mitchum,

Jones

(Thursday)

Jenks,

Laboratories,

-Common

Inc..
Kirkland &

Co.)

$510,000

Debentures

Inc

Cascade Pools Corp
(R.

Holman

Co., Inc.)

(Monday)

Baltimore Paint

& Chemical Corp.
Preferred
(P. W. Brooks & Co.) $1,800,000
Baltimore Paint & Chemical Corp..
—Bonds
p
u.
(P. W. Brooks & Co.) $750,000
Baltimore Paint & Chemical
Corp.Debentures
n
(P. W. Brooks & Co.) $750,000
commerce Drug Co
:
Common
n
(Marron, Sloss & Co., Inc.) $585,000
Dworman Corp.
.
Common
t,

...

Inc.

(Charles Plohn

& Co.)

and Street

Company,

$3,000,000.

Edgcomb
(Kidder,

Globus,

Inc.)

35,000

(Tuesday)
be invited)

Bonds

$7,000,000

June

(Thursday)
(Bids to

be invited)

Bonds

$40,000,000

(Friday)
Bonds

Valley Authority
(Bids to be invited)

$50,000,000

(Thursday)
Preferred

(Bids to be invited)

$5,000,000

—Bonds

Gulf Power Co
(Bids

Invited)

$5,000,000

(Monday)

Steel
Peabody

and

Southern Electric Generating Co

July 7

—Common

Co.—
&

Co.

and Schmidt, Roberts &

150,000

March

Inc.

Co.,

Gulf Power Co

—.-Debentures
(Kidder, Peabody & Co. and White, Weld & Co.) $12,000,000
28

70,000 shares

Inc.)

(Wednesday)

Radio

March

Globus, Inc.)

.Warrants
&

(Bids to

Common

Co.,

$750,000

Collins

$700,000

Common
and

Inc.

Jersey Central Power & Light Co

July

$100,000

March 23

March 14

Common
&

Inc.)

$500,000

—

Malkan

and Globus,

$600,000

(Tuesday)

Corp.

(Arnold

Debentures

Inc.

Co.,

Lyon

May,24

(Hallowell, Sulzberger, Jenks, Kirkland & Co.)

Harn

$25,000,000

Corp.

Tennessee

March 10

Debentures

received)

—

Lyon &

(Ross,

Common

Laboratories,

Whitmoyer

909,659

Sulzberger,

(Hallowell,

Bonds

$15,000,000

(Tuesday)

Lyon

(Ross,

116,000 shares

(Myron A. Lomasney)

March 22

$600,000

Co.

Inc.——

Whitmoyer

587,186 shares

Supermarkets, Inc

7
—

EST)

a.m.

...Common

Peabody

Common

...

Co.)

Corp.—,

Tenax,

Goelet Corp.

$375,000

———

Peabody & Co.)

(Kidder,

Barney

Goelet Corp.

Common

& Co.)

Inc.

and Smith,
Steel. Co.——

.Debentures

(Morgan Stanley & Co.) $100,000,000
(Blyth

May 10

Brothers

(Kidder,

$15,000,000

Columbia Gas System, Inc

Common

Lomasney

(Myron

.Macco

General Motors Acceptance Corp

Pueblo

Inc.)

(Bids

Inc

Airlines,

(Wednesday)

Genesco, Inc.

Industries,

(Lehman

Bonds

(Thursday)

May 5

Common

Corp.-—

(Monday)

March 21

Latrobe

Electric

10:30 a.m. CST)

(Tuesday)

April 26

Bonds
$4,000,000

EST)

$5,000,000

Capital

•

Common

Loeb,

Iowa-Illinois Gas &

Co. and Ralph B. Leonard & Sons,

(G. J. Mitchell Jr.

Arcs

$40,000,000

Rhoades & Co.; The First Boston Corp.;
Lehman Brothers; Goldman, Sachs & Co.) $10,000,000

$154,962.50

Inc..

invited)

(Friday)

Aviation Employees

Debentures
invited) $18,000,000

—Debentures

Common

Inc

(Offering to stockholders—underwritten by C.

Taylor

$19,500,000

(Tuesday)

(Bids

March

Bonds
invited)

States

(Bids

a.m.

EST) $25,000,000

a.m.

West Penn Electric Co

Common

Bonds

Gas Co

(Thursday)

(Bids

& Co., Inc.), $150,000

to be

(Bids

Inc.—..Debentures

Power Co

Mississippi

300,000

.Common

Inc..

Co.

(Hill, Darlington & Co.) $816,725

Bonds

$50,000,000

(Monday)

April 12

Mountain

$1,050,000

Puget Park Corp.—

March

invited)

$6,000,000

Inc.)

Bonds

(Bids

Cruttenden,

Walnut Grove Products Co., Inc...
j

■'

$3,000,000

Co.)

April 11

(Wednesday)

March

& Co.)
.■/

Debentures

Lincoln, Nebraska and

Podesta

Co.,

Power

National Fuel

Bonds

(Carl

and Sutro Bros.

Co.

shares'.

400.000

Hamilton,

,36

(Thursday)
(Bids

Class A

Industries,
&

Alabama

—Common
49,714

page

$20,000,000

EST)

a.m.

Systems,

$15,000,000

invited)

underwriting)

(Blyth

Phillips Developments, Inc
(Allen

Debentures

Co., and Godfrey,
Co., Inc.) $497,250

Consolidated

$300,000

Inc.)

11:30

(Tuesday)

Common

(Amos Treat & Co., Inc.)

$3,000,000

Co.)

&
&

(Bids

April 7

South Bay Industries, Inc

Munston Electronic Manufacturing Corp._Common
,

Continued

Carolina Power & Light Co

EST) $25,000,000

a.m.

Ferman

(No

Highway Trailer Industries, Inc.——Debentures

minority holders of three of the issuer's subsid¬
iaries, 215,636 are to be issued in connection with the
acquisition of the assets of Montag Bros.^60,000 are to
be purchased by the First National Bank of
Cincinnati,

(Bids

Pacific Power Co

Sierra

& Co., Inc.)

Arnold Malkan

($10 par)
to be

par),

under the company's Restricted Stock Option
Plan, 8,393
are to be
exchanged for the outstanding common shares

$14,000,000

'X
11

(Bids

$700;000

stock

(20c

Feb. 23 filed 1,265,211 shares of common
stock, of which
50,017 shares are outstanding and were issued for ac¬
quisitions and minority interests, 220,000 are to be issued

Automation

.Bonds

Northernl Indiana Public Service Co

.Common

Corp., Columbus.

Corp.), $225,000

EST)

a.m.

Magnus

$441,000

Inc.)

Corp.——

& Seigel, Inc.

Grumet

Co.,

stock

share of each class of stock. Price

(B. Fennekohl

—

(Robert

.Common

Inc

Champion Paper & Fiber Co.

April 5

Inc

Goddard,

50,000

Co.)

Enterprises,

David

(Bids

..Common

class

one

(Bids

____-Common

Virginia

120.000 shares

Bureau

West

...rCommon

___

Barnes

rities

Chesapeake & Potomac Telphone Co. of

Andrea Radio Corp
(W. C. Langley & Co.)

Proceeds—To pay mortgages. Office
—Columbus, Ohio. Underwriter—Commonwealth Secu¬

Light Co

Central Illinois

$20,000,000

250,000 shares of class A
shares

$1,500,000

Corp..—

Philadelphia

(First

Co., Inc.)

and Blair &

Credit & Thrift Corp.

filed

—$20.20 per unit.

(Tuesday)

Electronics

Britton

Debentures

Certified

Niagara Mohawk Power Co...

.Debentures

underwriting)

(No

50,000

Curtis

Jackson &

Co.)

Producing Co.

Underwriter—Daniel Reeves & Co., Beverly Hills, Calif.

400,000

——

Capital

Anadite, Inc.
Coastal States Gas

Corp.

& Co.)

Peabody

(Kidder,

(Friday)

tura, Calif.; to pay the balance of construction costs on
building in Torrance, Calif.,, and for working capital.
Office—1738 S. La Cienga Boulevard, Los Angeles, Calif.

Louisiana Power & Light Co

-Common

Meyer (Fred), Inc.———

CALENDAR

Price—To

repayment of
unsecured bank loans; for payment of the balance of a
down payment on the purchase price of
property in Ven¬

stock.;Price—For

Secode
March 4

.series A debenture
shares ,of 4% cumulative preferred
debenture bonds, 100%, of principal

,10,000

and

held by

.'Central Cooperatives, Inc.

retirement of $52,860-of 6%

ISSUE

Century Properties

.•

(letter

Equitable Bldg.„ Baltimore, Md.

Captains Club, Inc.
f
Jan. 22 filed 500,000 shares of common stock.
per share.
Proceeds—For
notes and the balance for

stock

mon

Services, Inc., 300 Park

Jam 25 filed 150,000, shares of common stock.
be supplied by amendment. Proceeds—For

250,000

Office

$17,000,000.

Avenue, New York City.

offered in units of

tional
program ^and
other working programs.
Address—Grant, Ala. Underwriter—None.

Capital Airlines, Inc. (3/21)
filed 909,659 shares of common stock on the basis
of one additional share for each share held. Proceeds—
To broaden eouitv base. . Office—Washington National
•

total, about

at the offices of Commonwealth
/

buildings and improvements, advertising and a promo¬

and Stone & Webster-Securities
(jointly)., Bids—
Scheduled to be received March 15, at 11.00 a.m. (EST)

and

(letter of notification) 50,000 shares of common
stock. ?Price—At par ($1 per share). Proceeds—For new

(3/15)

Inc.

Jan.

Co.

expected

Feb.

Jan. 26

NEW

Co., Inc.,

•'

construction,

* Cathedral Cayerrps,; Inc.

Salt Lake City.

Co., Inc.,

bank loans, for research , and development,
working capital.; Office—11431,Joanne

repay

Telegraph.Co.

Light

Halsey, Stuart & Co. Inc,; First Boston
Corp.; Kidder, Peabody & Co.; Eastman Dillon, Union
Securities/& Co.; Merrill Lynch, Pierce, Fenner & Smith

also

Inc..?
- ■ •
*•
'V'"" G. •• -i
TTpb
15 (letter of notification) 75,000 shares of common
ctnric (par five cents). Price—$2.50 per shares Proceeds
To

Carolina Telephone

; Feb.'19 filed 176,319 shares of common capital stock," to
be offered for- subscription: by stockholders of record

York.

& Co., New.

Caldata,

rP«prve

•

Illinois

filed

Probable bidders:

fhfre of magnetic amplifiers; vfor establishment of a
otlr crystal-filter -division; "for -the, purchase of new

$14,000,000 of first mortgage bonds, due
1990, to be sold at competitive bidding. Proceeds—For

amount; $25

shares .of

purposes

notification) 120,000 shares of class A
mon stock
(par five cents). Price—$2.50 per share
ilrR—For building and equipping stations and truck

st0?

Price—$4

B.U o^wletterof
c0

(991)

Cardinal'Petroleum* Co.

Village 99, N. Y. Underwriter—First

Queens

Ave

gSadelphta

Number 5930

191

Volume

Parke)
-

(Blyth & Co., Inc.) 256,930 shares

(Bids to

November 3

(Tuesday)

Bank of California

September 13

—Stock

(Tuesday)

Virginia Electric & Power Co

Bonds

be invited) $25,000,000

(Thursday)

.Bonds

Georgia Power Co
(Bids to be Invited)

$12,000,000

(992)
)lum<

Continued

from

•

Computer Uragt Co.# I«c.
Dec. 29 (letter of iiotituvatkmi 47.

page

as trustee under the company's Deferred Compensation
Trust, and the remainder are to be issued from time to
time in connection with acquisition. Office—Hamilton,

•"*

Wilmington

Ohio.

Underwriter*— M

Del,

•

■

ft# Que<

stock (par 25 centsh Price—5* rcr F a*k
general corporate purport.*
Office *1 .0

jiia G

■;

•<

Oil C

•

Inc. (handling the buOK$s

t K^

letter
•

* Charming Service Corp.
Feb.
000

filed

amendment)

(by

York, N. Y.; L. B. Svtmu

additional

$2o,000,-

for the accumulation of shares of In¬
stitutional Growth Fund. Office—New York City,

Speedway, Inc.
filed 304,000 shares of common stock, to be of¬

Jan. 21
to

stockholders of

common

rate of two

new

Jan.

record

the

shares for each three shares then held.

Price—$2 per share,

fering

date,

initially; after 15 days from the of¬
underwriter will offer unsubscribed

the

to purchasing stockholders for an additional
10
days, after which such shares may be publicly offered.

Proceeds—For
cessories.
in

race

The

construction

issuer expects

a
speedway and its ac¬
to stage its first stock car

Office—108 Liberty Life Building, Char¬
Underwriter—Morrison & Co., Charlotte,

May.

lotte, N. C.

$27,600,000 at the time the proceeds

received.

are

Underwriter—To be determined by competitive bidding.
bidders: Halsey, Stuart & Co. Inc.; White,

Probable
Weld

First

programs

Charlotte Motor

fered

& C-U i
aldson, Luskin & Jci rc::t\ l..c

Co.; Morgan Stanley & Co.; The First Boston
Bids—To be received at Room 1900, 195 Broad¬
way, New York, N. Y., before 11 a.m. (New York Time)
on
March 15, 1960.
1

filed

106,000 shares of

company

and

6,000

for

public sale by the

outstanding

are

for the account Of the holder thereof.

stock, of which
will

and

sold

Price—To be sup¬

plied by amendment.

Proceeds—For purchase, construc¬

tion

and

installation

financing of
ital.

new

machines;

for

the

initial

toil plant; and for working cap¬
Street, Bordentown, N. J. Un¬

a new copper

Office—East

Park

derwriter—Hayden, Stone & Co., New York.
Inc.
(letter of notification) 75,000 shares of class A
common
stock
(par one cent).
Price—$4 per share.
Proceeds—For general corporate purposes.
Office—121
Varick Street, New York, N. Y.
Underwriter—Lloyd,
9

Miller

Co., 2605 Connecticut Avenue,
ington, D. C.

N. W\, Wash¬

Citizens
Nov.

Casualty Co. of New

filed

250,000 shares

Higginson

class

common

stock

Corp. Offering—Postponed.

Coastal

States Gas Producing Co. (3/4)
Feb. 19 filed $20,000,000 of
6% sinking fund debentures
due March 1, 1980
(with warrants to

purchase

stock at the rate of

tures,

17 shares for each $1,000

common

of deben¬

340,000 shares in the aggregate). Price—To be
supplied by amendment. Proceeds—For construction and
or

extensions

liabilities

gathering systems, to reduce
outstanding bank indebtedness.

gas

and

furch,

ment Plan for

shares of

•-

Fa k.

common

suant to said

■i ling,

I'M l

writers—Paine, Webber. Jackson
Co., Inc., both of New York.

Curtis and

current

Under¬
Blair

i 2d

pl.m. Oibcc* i\ *.

•;

Cejvrr.

* Consolidated Cil & '€.«# 11
24 filed 14V.7U
i.

maf

ialfi

tiixvre

three cotrmon
held.

The

ticnal
fered

'-.1

■

sale

Water

West

David &

cen

dolant

type composition.
Office — 227-239
N. Y.
Underwriter—William

"pon

•

17th

r^ia
*,)

#•

Citj
Salt

■$,
i

»iji Air

t
:

"■ Jd 9(

/:;hitio>
J
PI

ltlVash
■Cl^nd •
-

m» i

tf
t

Fi'V;

issuing company and 43,000 share*, rep*
resenting outstanding stock, by the prescr.t K' Fn
thereof. Price-$3 per share.
Proceeds—'$1^0 /ki) t
it
allocated to translating and
publishing additi-m*! r «' v
books; $25,000 to acquire and equip add itXOIl&i tU't'dV f
space for the company's
operations; and the IMsrce t;v
acquire additional machinery and equipment Lr

•

Inc.,

tiied 2

the

V":«

Co.

!«! id fc

•
Consultants Bureau Enterprises# Inc. <3 1?
Dec. 29 filed 147,000 shares of class A
common
which 104.000 are to be offered for
public Sale I \t

account

five
y

$10).

(par

r
l

Price—$12 per sf
pay in
part bank loans.
Office
*
La Salle Street, Chicago, 111.
Underwriters
Co., Milwaukee, Wis. and Indianapolis Ik-rd &
Corp., Indianapolis, Ind.
—

*•

(letter of notification) S4JdJ share* Y.f
stock

•«

vvt

be' otfered

Consolidated

Co.,

I etter

edness; for drilling and
"Vau,a"« •
development wells; to rewotfc, tkei dtVAJ.l co.:
F
warranted, exploratory wells, and the I a la rye * i
corporate purposes.
Dee. 30

■

rt'YU>

ty F e jnv?
properties. Price—For /Hghfj't tlvri'. g,' t * I
amendment. Proceeds—For '- re due t M/t of *

common

•/
•(*

by the- prCAiv.t tscMn* ti

for t

/■ i

shares Gr't.wlr: Fp'.i.

registration

205.277,Of.ou.U?**iv;hr
for

000

suk1

wini

rants for the pur* iun'e
422 7 11
The• cbvr pany- pre pi**-;•
•guta;
ers of record.. March 25,4 TV gu. u

:one;• coihmon

*24

Pr«

•

Feb.

iTin^S-.v

^ed 5

i
ti-: .«!

Co.* Lw,* N, A,

Continenta* Electric Co.
11

filed

260,000 shares of common stock:

To be supplied

(par $2). Price—To be supplied by amendment. Pro¬
be invested in
income-producing securities.
Office—33 Maiden Lane, New York
City. Underwriter—
9

idditi
c.

★ Consolidated Coal Cs
March 2 Med
•» «.■

Feb.

York

ceeds—To
Lee

OkUu>4

Circuitronics,

Feb.

,*iFor-1

common

offered

are

'nock

*•

•

week.

ceeds

£ Circuit Foil Corp.
100,000 shares

* *

Albany Corp

Corp.

March

rrire

by amendment. Proceeds—To reh? e
standing bank loans, for expansion and
de\eh'.pn:t r h ♦ <!
new
products, and for working capital. Office w 7i>'
Hamilton St., Geneva, 111.
Underwriter—Old CYL i In¬
vestment Co.,
Stoneham, N. H.
Control Electronics
Co., Inc.
Dec. 23 filed 165,000
shares of common stock

Price—At

?ph .<

Ele, In
Sta

;

Oaf t,T»;

par. Proceeds—To repay
$80,000 of ba»d;
$50,000 to replace working capital
expended for

ment

and
machinery; $50,000
including the organization of

Coast and

equip¬
to increase $ak« efi> tU
sales offices-on the W>a

r<£ Ra

in the

Chicago areas; and $50,000 to fnK/.fr
development of delay lines, filters and micro wait? de¬
vices.

The

balance

the

proceeds

will

added

working capital. Office
10 Stepar Place,
Huntiugfrn*
Station, N. Y. Underwriters—Milton D. Biauner & Co
Inc., David Finkle & Co. and Gartman, Rose &
Feuer, all
of New York.
Offering—Expected in mid-March.
—

Colanco, Inc.
Jan.

(letter of notification) 300,000 shares of
pre¬
(no par), seven cents per share dividend
paying
after March 1, 1962,
non-cumulative, non-voting stock.
Price—$1 per share. Proceeds—To
purchase land and
for development and
working capital. Office—3395 S.

Cornbelt Insurance Co.,
Freeport, III*
29 filed 200,000 shares of common stock

ferred

Bannock
sified

Street, Englewood, Colo. Underwriter—Diver¬
Securities, Inc., Englewood, Colo.

Cold Lake Pipe
Co., Inc.
filed 200,000 shares of

Feb. 5
per

share.

common

Proceeds—Repayment

stock. Price—$6

loans

and

—

fice—Cedar

working capital. Office—135 S. La Salle
Street, Chi¬
cago, 111.
Underwriter—David Johnson &

Inc., Indianapolis, Ind.,

Associates,

"best efforts" basis.

•

Commerce Drug Co.
(3/14)
Nov. 30 filed 90,000 shares of
common stock.
Price—$6.50
per share.
Proceeds—To selling stockholders.
Office—

Court

St., Brooklyn, N. Y.
Underwriter
Sloss & Co., Inc., New York
City.

—

Marron.

Commerce Oil Refining
Corp.
16,1957 filed $25,000,000 of first
mortgage bonds due
»ept. 1, 1968, $20,000,000 of subordinated
debentures due
Oct. 1, 1968 and 3,000,000
shares of common stock
Dec.

follows: $1,000 of bonds and 48
shares
of stock and $100 of
debentures and nine shares of
stock.
JPrice—To be supplied
by amendment.
Proceeds
To
as

—

construct

refinery. Underwriter—Lehman
Brothers, New
Offering—Indefinite.

stock, to be of*

ir Damac

Corp.
(letter of notification) 150,000 shares of common
stock
(par $1).
Price—$2 per share.
Proceed*—For
working capital, inventory loans, purchase and install¬
Feb. 17

ment of

(par $1).

Price—$2.50 per share. Proceeds—For general
corporate
purposes, inclding expansion, new
product development,
and

York.

common

paid-in surplus. Office—12 North Galena Avenue. Free*
port, 111. Underwriter—None.

convertible

Combined Electronics Inc.
Oct. 30 filed 800,000 shares of
common stock

offered in units

Cornbelt Life Co.

Sept. 29 filed 100,000 shares of

subordinated

Rapids, Iowa. Underwriters—Kidder Peabody & Co. and White, Weld &
Co., both of New York
City. Offering—Expected in late March,

505

subscription by common stockholders ©# 1
Sept. 15, 1959, at the rate of four new shares
for each 10 shares then held.
Unsubscribed shares may
be offered
publicly. Price—$4 per share. Proceed*-*
To increase capital
and surplus.
Underwriter—None*
but brokers and dealers who
join in the distribution wU)
receive commission of 40 cents
per share.

be supplied by amend¬
For general
corporate purposes.
Of¬

(3/23)

$12,000,000

debentures, due 1980. Price—To
Proceeds

for

fered to stockholders of record
Sept. 15 on the basis oI
one
share for each share then held.
Price—$4.50 ptt
share. Proceeds—To be credited to stated
capital and

Collins Radio Co.
Feb.
17 filed
ment.

offered

record

indebt¬

edness, working capital and expansion.
Office—1410
Stanley St., Montreal,, Canada. Underwriter—None.
•

Sept.

—333

machinery and development of a market .Office
Street, Highway 85, Evans, Colo, Under¬

Jf*»r

McCook

writer—None.
Inf

Deluxe

Aluminum

Products#

Inc.

Oct. 15 filed $330,000 of convertible
debentures, and 79.000 shares of common stock. Price—For
the

100%

principal amount; for the stock, $5 per stare.
Proceeds—From 10,000 shares of the common
stock, to
the present holders
thereof; from the rest of the offer¬
ing, to the company to be used for expansion and as

working capital.
★

Office—6810 S. W. 81st St.,
Miami, Fte.

Dimensions,

Feb.

eral

Inc.
(letter of notification)

stock.

Brooklyn 4, N. Y.

Underwriter—None.

ic Diversified

Collateral Corp.
(letter of notification) 75,000 shares of common
stock (par 10 cents).
Price—$4 per share. Proceed*—^To
Feb. 24

purchase

first

and

second

mortgages and

Office—Miami Beach, Fla.

for working
Underwriter—None,

•

rw0 Si
ill
LJ

Cb'il

le I

$*af k

25,000 shares of das* A
Price—At par ($1 per share). Proceds—For
gen¬
corporate
purposes.
Office—7314
20th
Avenue.

capital.

M i# co>

debentures,

;al 3VI

OlfVtr

-r

-it

otl.rch

fir#

—

5*tfl

~,iore
r« :
.

inore

Prtre

;

in**™™

A
man

Number 5930

191

,lume

The Commercial and Financial Chronicle

(991):

Village f>9, N. Y. Underwriter—First
New Y:>rk, N. Y.

fri Queens

ia Corp.,

„

notification) 120,000 shares of class A
five cents). Price—$2.50 per share
-For building and equipping stations and truck
i dditionai workin ? capital.
Office—C/o Gar*
lurch at 707 /Gra-tan Road, Martinsville, Va
er__Maryland -Securities Co., Inc., Old Town
letter of

(par

ock

amount; $25 per preferred share. Proceeds—To be added
200,000 shares >of common capital stock. -' to the cooperatives general fund and the major -portion
Price—$4 per.share. Proceeds—For general corporate^' thereof will be applied to«the constructionof a -new
warehouse and central office building;^and a portion of
purposes including -debt reduction, drilling and work¬
the proceeds will be applied to retirement of maturing
ing capital. < Office—?420. No. 4th St., Bismarck, North
Dakota.
Underwriter-—J. M. Dain & Co., Inc., Minne¬
promissory notes and for working capital. Office—1901

inventories at peak periods.>

for

tit

—

ii"*'.

Milton D.

#ii

'■

share).. Proceeds—For new

Office

program and . other working
programs.
Address—Grant, Ala. Underwriter—None.

Castle Realty Co.,, Inc.
Feb. 11 (letter of notification)

100,000 shares

stock (no par).« Price—$3 per. share.

CI e, Inc.

r /. "■

'*■
i- 4

Curtis and Blair & Co.. lnc.»

Webber, Jackson S

Debentures

$20,000,000

Electronics

Britton

(Monday) J

Ch 7

Common

(W1. C. Langlcy & Co.i

I
j.

Common

(William David & Co., Inc.) $441,000

I* ival

Foam

.Common

Corp..._L

f if i Grumet & Seigel, Inc. and Arnold Malkan it Co., lnc.»

ne-*V!S:j>.,y
..T

■

..Debentures

Co. and Van Alstyne, Noel & Co.t $3,000,000
Electronic Manufacturing Corp..Common
< David Barnes vs. Co., Inc.i $300,000

;; v

H*js Developments, Xnc

st Trust Co.

€Ti.*r*j «;

(First

Trust

Dft,

-ch 8

frl*t

can

Co.

Lincoln,

Co.)

Podesta"fe

Co.)

Common

Nebraska and
300,000 shares

Common

stockholders—undww^It^n
$537,788.75

,._'vStoltz & Co.)

by C. E.

Common

$moo° *

!)•«

Common

ill Lynch, Pierce, Fenuer & Smith

Inc.) 200.000 shares

Airlines,

(Lehman

Latrobe

Steel

...Common

Smith, Barney

& Co.)

lore

Broods

Co.)

Whitmoyer

Inc

Laboratories,
Jenks,

Sulzberger,

Kirkland

...Common

(p. w. Broo<s & co.)

man-

(Marron, 81oss

Debentures

;

Malkan

Co.,

Inc.

Co., Inc.)

$585,000

Common

Plol &.Co.) $3,000,000
(Charles

Co.,

Inc. .and

Globus,

Inc.)

June 2

(Thursday)

(Bids to

be Invited)

Bonds

$40,000,000

(Friday)

Bonds

Valley Authority
(Bids to be invited)

$50,000,000

July 7 (Thursday)

Preferred

Gulf Power Co

Radio Co
Debentures
(Kidder, Peabody & Co. and White, Weld & Co.) $12,000,000

(Bids to be invited) $5,000,000

(Monday)

.Common

Peabody & Co. and Schmidt, Roberts & Parke)
150,000

March 29

.....Bonds

and Street & Company, Inc.)

(Wednesday)

Steel

•

$7,000,000

(Bids to be invited)

35,000

(Tuesday)

Southern Electric Generating Co

July

$750,000

(Kidder,

—...Warrants

;
&

70,000 shares

Jersey Central Power & Light Co
.

$700,000

Common
Co., Inc. and Globus, Inc.)

Lyon

May, 24

■

Inc." and Globus, Inc.)

Co.,

Corp.

Tennessee

^Common

$750,000

Corp..

;

$500,000

(Tuesday)

Corp.

Edgcomb

Common
&

Debentures
$25,000,000

Debentures

Lyon &

Debentures

(Hallowell, Sulzberger, Jenks, Kirkland & Co.)

Bonds

ierce Drug Co.,:

received)

& Co.) $510,000

Laboratories, Inc....

■

Common
(Myron A. Lomasney), $600,000V

March.28

$750,000

jnore Paint & Chemical Corp
Prke*

Preferred

& CI amical Corp.

(P- w- Brooki & Co.) $1,800,000
Paint & Ch -mical Corp
w.

(Tuesday)

Lyon &

(Ross,

Common

Inc

Whitmoyer

Goelet

116,000 shares

Peabody & Co. and Mitchum, Jones &
Templeton) 200,000 shares
' '
:
;

Collins

14 (Monday)

(P.

Corp.

(Ross,

...Capital

Peabody & Co.)

(Kidder,

Goelet

909,659 shares

Corp..

Common

Corp.._

;,Mfriore £aint

$15,000,000

Goelet Corp.
(Ross,

tR- A. Holman St Co.. Inc.) $100,000

in*

Common
$375,000

Co....

March 23

May 10

Inc..

and

Brothers

(Arnold

r77i!'rch

EST)

a.m.

Columbia Gas System, Inc
(Bids

Lomasney & Co.)

(Myron

Harn

(Thursdiy)

Pools

May 5 (Thursday)

Common

Industries, Inc.___

Arcs

March 22

Karasik & Co., Inc.) $600,000

I.UMi

Bonds

Metropolitan Edison Co

$4,000,000

.Common

Electronics, Inc.
10

EST)

(Monday)

March 21

(Hallowell,

Common

Supermarkets, Inc

a.m.

and Ralph B. Leonard & Sons, Inc.)

J. Mitchell Jr. Co.

Tenax,

(Blyth & Co.,; Inc.) 587,186 shares

Eft

(G.

Debentures

Inc.

(Friday)

(Kidder,

(Morgan Stanle/ & Co.) $100,000,000

iico>

Aviation Employees Corp

Macco

uuMi.p;al Motors Acceptance Corp
Of Iks

$15,000,000

(Tuesday)

April 26

Bonds

Mississippi Power Co

Capital

<fCh 9 (Wednes Jay)

pUh

Bonds

& Electric Co..

(Bids 10:30 a.m. CST)

-ael G. Kletz & Co., Inc. and Amos Treat Sc Co., Inc.)

Price

& Co.; The First Boston Corp.;
Goldman, Sachs & Co.) $10,000,000

$154,962.50

Co.)

Inc

Fp^sal Transistor Pioducts Corp
*

Common

(Wednesday)

Iowa-Illinois Gas

$5,000,000

^'Offering ;to stockholdj«s—underwritten by C. £.

Rhoades

Loeb,

:April/13

.Common

(Hill, Darlington & Co.) $816,725

___1-Debentures

Lehman Brothers;

Puget Park Corp

$40,000,000

(Bids to be invited)

$6,000,000

;

Debentures

West Penn Electric Co

...Common

T*tt

2 'Oifering
>¥

Inc.)

Co.

Debentures

Inc

invited) $18,000,000

Telephone & Telegraph

(Bids

100,000 shares

Developments, lac
Sc

Co.,

Mountain States

(Wednesday)

March

stoltz

Industries,

Consolidated

(Bids

.^Devices

(Tuesday)

April 12

March 171 (Thursday)

Business Systems, Inc
(Bache

.Class A

(Carl

(Tuesday)

pff yn

49,714 shares

to "be

(Bids

.Common

underwriting)

(Blyth

Cruttenden,

■

be invited). $19,500,000

National Fuel Gas Co.—......

—Bonds

Bonds

(Monday);

April 11

Nebraska and Cruttenden.

Lincoln,

Podesta «fe Co.) $3,000,000
*^'7 lit Grove Products Co., Inc
,

Power
(Bids

South Bay Industries, Inc
(Amos Treat & Co-» I°c.) $1,050,000

March

/J.

(Thursday)

April
Alabama

Hamilton,

Power Co

Sierra Pacific

Debentures

ri-r* t Grove Products Co., Inc

Magnus

Common

& Co.; Bear, Stearntu& Co. and Sutro Bros. & Co.)
-w)', 400.OJO .shares

JjifV

•

..Bonds

(Bids 11 a.m. EST > $25,000,000

Northern Indiana Public Service Co
(Bids to be invited). $15,000,000

Yuba

Common

Light Co

Common
Co., and Godfrey,
Co., Inc.) ,$497,250

Ferman

(No

(Robert

Bonds

$50,000,000

Systems, Inc

Debentures

.1--

invited)

(Tuesday)

;

Inc

Goddard,

$'« 00;000

Trailer. Industries, Inc

Bonds

Virginia

Carolina Power &

EST) $14,000,000

(Bids 11 a.m. EST) $25,000,000

^ tants Bureau Eii terprises, Inc
•J f;

West

120,000 shares

Engineering C >.
..Common
(Hayden, StoneCo.) 50,000 shares

Jj,

a.m.

..Bonds

(B. Fennekohl & Co.,: Inc.)L$150,000

Corp.), $225,000

Chesapeake & Potomac Telphone Co. of •**:

Corp.__i):

Radio

*a:

April 5

Central Illinois. Light Co
11

(Bids

Automation

Common

Corp

Philadelphia

(First

(Bids

c'l

;

(Tuesday)

March $5

Witter & Co.) 50,000
Gas Producing Co

,36

page

(Bids 11;30. a.m. EST). $20,000,000

$1,500,000

underwriting)

Mohawk. Power Co._.__.

Niagara

.Debentures

Corp.
(No

Continued

400,000 shares

Peabody & Co.)

(Kidder,

Capital

•

i States

are

Louisiana Power & Light Co...

.Common

Meyer (Fred), Inc.—

(Dean

Friday) i|, 'f

:' I • Vich .4

which
outstanding and were issued for ^ac¬
quisitions and minority interests, 220,000 are to be issued
under the company's Restricted Stock Option Plan, 8,393
are to be exchanged for the
outstanding common shares
held by minority holders of three of the issuer's subsid¬
iaries,, -215,636 are to be issued in connection with "the
acquisition of the assets of Montag Bros., -60,000 are to
be purchased by the First National Bank
pf- Cincinnati,
50,017 shares

bonds,

Secode

•

boqds, $590,000 of 10-year 5% series A debenture
and .10,000 shares „of4% cumulative, preferred
stock. Price—For debenture bonds, 100%. of principal
ture

Sulco

calendar

issur:

Inc., and

New York City.

Inc., both of 52 Broadway,

Co.,

Parks

,—G.* Everett

.-.Central '.Cooperatives,5 Inc.
filed.$1,500,000 of 15Tyear-5%% series A deben¬

Feb. 17

V^ffice—381 FifthfAvenue, New York City. Un-

($10 par)
250,000 shares of class B stock <20c par), to be
offered in .units of one share of each class of stock. Price
—$20.20 per unit. Proceeds-—To pay mortgages. Office
—Columbus, Ohio. Underwriter—Commonwealth Secu¬
rities Corp., Columbus.
v
•
? :
Feb. 23 filed 1,265,211 shares of common stock, of

com¬

Certified Credit & Thrift^Corp.
26 filed 250,000 shares of class A stock

V'^e- Champion Paper & Fiber Co.

Proceeds—To
purchase additional real estate investments.
Office—
Equitable Bldg.,. Baltimore, Md. Underwriter—Landrum
Allen & Co., Inc., Washington, D. C.

.f "77*'* »

(letter of notification) 50,000 shares of common

tional

Club,; Inc. . !.
v ted 500,000 shares of common stock.
Price—$2
I \
Proceeds—For retirement of $52,860 of 6%
N
U the balance for operating funds and working

Office—1738 S. La Cienga Bouleyard, Los Angeles, Calif.
Underwriter-Daniel Reeves & Co., Beverly Hills, Calif.

and

buildings and improvements, advertising and a promo¬

mon

loans; for payment of the balance of a
purchase price of property, in Ven¬
tura, Calif.; to pay the balance of construction costs on
a building in
Torrance, Calif., and for working capital.

Jan.

stock..Price—At par <$l.per

.is

York, N. Y.

Feb. 23

of common stock on the basis
iitipnal share for each share held. Proceeds—
pouitv'base: | Office—Washington National
,J7ashiqgton 1, D. C.; Underwriters — Lehman
®and Smith, Barn iy & Co., New York, N. Y.

f'l.'ti

(3/10)

★ Cathedral Caverqs,; Ipc.

3^909^659'shares

Cascade Pools Corp.

New

{ $/21)

lsc.

Airlines,
J«

down payment on the

general corporate purposes. Office—River & Wood Sts.,
Butler, N.,J. Underwriter—R. A.'Holman & Co., Inc.,

U Salt Lake CitylfVyy

Price—fTo

.supplied by .Amendment. Proceeds—For repayment of

unsecured bank

•

plant;-for measuring ore; for assaying; and for
i Ml
vporate purposes. Office—3955 South State St.
• t City, Utah.
Underwriter—Cromer Brokerage
;f

Jan. 25filed 150,000, shares of• oPmrnon^atock.
be

share for rights of¬

per

Nov. 30 (letter of notification) 100,000 shares of common
stock (par 10 cents).. Pjcice^l per share. Proceeds—For

share)! Proceeds—For constructor

cents per

derwriter—N one.

fering. Proceeds^-To reduce short-term bank notes.'Un¬

Angeles,t Calif| lUnderwriter—Robert EdeiInc., New York,|3|.Y.
lia Metals Corgi. tiled 2,500,000 shares of common stock. Price-

Probable bidders:

ployee Stock Plan. *Price—$20

-u*

•

of its common capital stock to be offered under an Em¬

notification) 75,000 shares of common
A f five cents). Prtri—$2.50 per share.. Proceeds
Ui/i*y. bank loans,1 fo/> research and development,
IP id for working capital. Office—11431 Joanne
letter of

Underwriter-^Peter Morgan

•.

Co., New York.

division ; for the purchase of new
and testing and production equipworking capii al.i Office—10 Pelham Park-

arm-Manor,Underwriter
Co., New York-; ^

18 filed $14,000,000 of first mortgage bonds,' due
1990, to be sold at competitive- bidding. Proceeds—For
-1960 construction, expected to total. about $17*000,000.

Halsey, Stuart & Co. Inc.; First Boston
Corp.;-Kidder, Peabody & Co.; Eastman4 Dillon, Union..
"Securities-& Co.^Merrill Lynch) Pieree, Fenner & Smith
• Carolina
Tdephone^ TdegraRKPQ.
Inc. and -Stone & Webster Securities (jointly). > Bids-1Feb.-19 filed 176,319 shares of common capital stock,-to
Scheduled to be received March 15, at/HiOO a»m.
(EST)
be offered for subscription'by stockholders of record
at the offices of Commonwealth Services, Inc., 300 Park
March 15,1960, in the ratio of one new share for each* 10 )
iAvenue; New York City..) •••'•:.
■•/ht's--<Vshares then held; rights expire April 7. The company is
also seeking registration of an additional 20,000 shares
•>•/* :;,v:

filter
i) winding
al

Underwriter—None.

Feb.

100,000 shares of capital stock. Price—To
supplied by amendment. *Proceeds-r-7To increase the
company's working capital and to aid in financing dog
be

shares of. common stock. Price—$3
Proceeds-^To > r spay bank loan; for manumagnetic amplifiers; vfor establishment of a

Superior, Wis.

~CentraltllinoisLightCo.(3/15)

Feb. 29 filed

led 200,000
i

Winter St.,

Offering—Indefinite.

★ Carolina- -Pacific Plywood,- lnc.,> Medford,- Ore.

<2s * A*Cd«*:w; •

filed

apolis, Minn.

Baltimore»2Md.

iing,

Cardinal-Retroleunif Go.

Nov.

(Blyth & Co., Inc.J 256,930 shares

(Bids

Stock

September 13

invited)

$5,000,000

(Tuesday)

Virginia Electric & Power Co
(Bids to be invited)

November s

(Tuesday)

Bank of California

.Bonds

Gulf Power Co

$25,000,000

(Thursday)

Georgia Power Co
(Bids to be invited) $12,000,000

Bends

Commercial and Financial Chronicle

The

Thursday, March 3, I960

(992)

Computer Usago Co., Inc.
(letter of notification) 47,000 shares of common
stock (par 25 cent%»*tee—$5 per share. Proceedj-For

Diversified Communities, Inc.

•

xftcnn

page

Deo. 29

tri3iP&*under the company's Deferred Compensation
Trust, &nd the remainder are to be issued from time to
time in connection with acquisition. Office
Hamilton,
as

Ohio.'

Corp.

^ Channing Service

amendment)

(by

filed

Feb.

•

■

....

additional $25,000,-

for the accumulation
stitutional Growth Fund. Office—New
of programs

000

Charlotte Motor Speedway, Inc.
Jan. 21 filed 304,000 shares of common

of shares of In¬
York City.

stock, to be of¬

common

fering

date,

unsubscribed

additional 10

the underwriter will offer
purchasing stockholders for an

days, after which such shares may be publicly
Proceeds—For construction of a speedway and

offered.

its ac¬
cessories. The issuer expects to stage its first stock car
race in May.
Office—108 Liberty Life Building, Char¬
lotte, N. C. Underwriter—Morrison & Co., Charlotte.

ment Plan for Salaried

suant to said

First Boston
Corp. Bids—To be received at Room 1900, 195 Broad¬
way, New York, N. Y., before 11 a.m. (New York Time)
March

1960.

15,

Circuit Foil Corp.
March

which
public sale by the
outstanding and will be sold

106,000 shares of common stock, of

filed

The
ers
one

6,000

and

are

thereof.

for the account of the holder

plied by amendment.
tion

and

installation

new

for

the

The

initial

account

•

vestment

convertible

Control Electronics

Co., Inc.
165,000 shares of common stock (par $3).
Price—At par. Proceeds—To repay $80,000 of bank
loans;
$50,000 to replace working capital expended for equip¬
ment

and machinery; $50,000 to increase sales
efforts,
including the organization of sales offices on the West

Coast and in the Chicago

areas; and $50,000 to further
development of delay lines, filters and microwave de¬
vices.
The balance of the proceeds will be added to
working capital. Office — 10 Stepar Place, Huntington

Station, N. Y. Underwriters—Milton D. Blauner & Co.,
Inc., David Finkle & Co. and Gartman, Rose & Feuer, all
of New York. Offering—Expected in mid-March.
Cornbolt Insurance

Sept.

fice—Cedar

Co., Froeport, III.

29 filed

offered

for

record

Sept.

200,000 shares
subscription by

15,

stock

stockholders

common

1959, at the rate of four

for each 10 shares then held.

new shares
Unsubscribed shares may

offered

publicly. Price—$4 per share. Proceeds—
To increase capital and surplus.
Underwriter—None,
but brokers and dealers who join in the distribution will
receive commission of 40 cents per share.
Cornfeett Life Co.

Sept 29 filed 100,000 shares of common stock, to be of¬
fered to stockholders of record Sept. 15 on the basis of
one share for each share
then held.
Price—$4.50 per
share. Proceeds—To be credited to stated capital and

subordinated

paid-in surplus. Office—12 North Galena Avenue, Freeport, HI. Underwriter—None.

debentures, due 1980. Price—To be supplied by amend¬
general corporate purposes.

St., Geneva, 111, Underwriter—Old Colony In¬
Co., Stoneham, N. H.

Dec. 23 filed

(3/23)

For

stock,
share.

Continental Electric Co.

Hamilton

share. Proceeds—Repayment of loans and indebt¬
edness, working capital and expansion. Office—1410
Stanley St., Montreal,, Canada. Underwriter—None.

—

company

standing bank loans, for expansion and development of
new
products, and for working capital. Office — 715

per

ment. Proceeds

the issuing
outstanding

11 filed 260,000 shares of common stock.
Price—
To be supplied by amendment. Proceeds—To retire out¬

Cold Lake Pipo Co., Inc.
i
Feb. 5 filed 200,000 shares of common stock. Price—$6

$12,000,000

(3/7)

Feb.

Colaitc*, Inc.
19 (letter of notification) 300,000 shares of pre¬
ferred (no par), seven cents per share dividend paying
after March 1, 1962, non-cumulative, non-voting stock.
Price—$1 per share. Proceeds—To purchase land and
for development and working capital.
Office—3395 S.
Bannock Street, Englewood, Colo. Underwriter—Diver¬
sified Securities, Inc., Englewood, Colo.

filed

Enterprises, Inc.

and 43,000 shares, rep¬
by the present holders
thereof. Price—$3 per
Proceeds—$100,000 to be
allocated to translating and publishing additional new
books; $25,000 to acquire and equip additional needed
space for the company's operations; and the balance to
acquire additional machinery and equipment for coldtype composition.
Office — 227-239 West 17th Street,
N. Y.
Underwriter—William David & Co., Inc., N. Y.

Jan.

resenting

Connecticut Avenue, N. W., Wash¬
./ /r. 'V.
V

Collins Radio Co.

Of¬

i Damac Corp.

Rapids, Iowa.

Underwriters—Kidder, Peabody St Co. and White, Weld & Co., both of New York

Feb. 17

City.

stock

Inc.

Oct. 30 filed 800,000 shares of common stock

Price—$2.50

per

common

(par $1).

share. Proceeds—For general corporate

purposes, inclding expansion, new product development,
and working capital. Office—135 S. La Salle Street, Chi¬

Underwriter—David Johnson & Associates,
Inc., Indianapolis, Ind., on a "best efforts" basis.
cago,

(letter of notification) 150,000 shares of

(par $1).
Price—$2 per share.
Proceeds—For
working capital, inventory loans, purchase and install¬
ment of machinery and development of a market
Office

Offering—Expected in late March.

Combined Electronics

HI.

—333 McCook
~

Street, Highway 85, Evans, Colo.

Under-

writer—None.

Deluxe Aluminum

Products, Inc.

Oct. 15 filed $330,000 of convertible debentures, and 70,000 shares of common stock. Price—For the debentures,.

of principal amount; for the stock, $5 per share.
Proceeds—From 10,000 shares of the common stock, to
the present holders thereof; from the rest of the offer¬
100%

•

Commerce

Drug Co. (3/14)

Nov. 30 filed 90,000 shares of common stock.
Price—$6.50
per share.
Proceeds—To selling stockholders. Office—
505 Court St., Brooklyn, N. Y.
Underwriter — Marron.
Sloss & Co., Inc., New York City.
"

Commerce Oil Refining Corp.
Dec. 16,1957 filed $25,000,000 of first mortgage bonds due
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
of stock and $100 of debentures and nine shares of stock.
Wee—To be supplied by amendment.
Proceeds — To
construct
York.

refine^^
OffeH^4ndefinite.

£•;.•••

•

.¥■

«.

Brothers, New

(3/14-18)

Corp.

300,000 shares of common

stock.

Price-

share. Proceeds—For general corporate
poses.
Office—400 Park Avenue, New York City,
derwriter—Charles Plohn & Co., New York City.

$10

per

H. P. Corp.

'7,7

;■

pur.

fhp

;'y

■.

Aug. 31 filed 160,000 shares of capital stock (par 10c)|
of which 100,000 shares are to be publicly offered. Pric«
—$2.50 per share. Proceeds — To provide funds for the

of vending machines which will be used tc
automobile breakdown insurance policies oi

thruways, parkways and highways .-n the amount of $2t
insurance for the purchase price oi

of such breakdown

public relations and publicity proOffice—Hotel Troy Building, Troy, New York!
Underwriter—John R. Boland & Co., Inc., New York]

cents, and for a

gram.

•

Schmidt, Robert & Parke, of Philadelphia. 7 V

Consultants Bureau

147,000 shares of class A common stock, of
which 104,000 are to be offered for public sale for the

Co., Inc., both of New York.

•

filed

•

tures, or 340,000 shares in the aggregate). Price—To be
supplied by amendment. Proceeds—For construction and
extensions of gas gathering systems, to reduce current
liabilities and outstanding bank indebtedness.
Under¬
writers—Paine, Webber. Jackson & Curtis and Blair &

Feb.

Dworman

7/'"1

Edgcomb Steel Co. (3/28-4/1)
150,000 outstanding shares of common stock]
($5 par). Price — To be supplied by amendment. Pro¬
ceeds—To selling stockholders.
Office—D St. below
Erie Ave., Philadelphia, Pa.
Underwriters — Kidder.
Peabody & Co. of New York and Philadelphia; and

Dec. 29 filed

Producing Co. (3/4)
Feb. 19 filed $20,000,000 of 6% sinking fund debentures
due March 1, 1980 (with warrants to purchase common
stock at the rate of 17 shares for each $1,000 of deben¬

•

Jan.

Offering—Expected

"best efforts" basis.

day.

Co., Milwaukee, Wis. and Indianapolis Bond & Share
Corp., Indianapolis, Ind.

Coastal States Gas

■ft'-

Co.

(letter of notification) 24,900 shares of class A
common
stock (par $10).
Price—$12 per share. Pro¬
ceeds— To pay in part bank loans.
Office — 327 S.
La Salle Street, Chicago, 111. Underwriters—Milwaukee

of New York ;
Nov. 9 filed 250,000 shares of class A common stock
(par $2). Price—To be supplied by amendment. Pro¬
ceeds—To be invested in income-producing securities.
Office—33 Maiden Lane, New York City. Underwriter—
Lee Higginson Corp. Offering—Postponed.
•

general corporate purposes, including payment or
building and the financing of loans. Office—Orlandc
Underwriter—Leon H. Sullivan,. Inc., Philadelphia

Fla.

purchase

Water

Associates, Inc.
shares of class B, non-voting, com!
$5). Price—$10 per share. Proceeds-?

(par

For
a

distribute

Consolidated

Casualty Co.

Citizens

of outstanding

stock

mon

included an addi¬

registration statement also

205,277

Dec. 30

Inc.
(letter of notification) 75,000 shares of class A
stock
(par one cent).
Price—$4 per share.
Proceeds—For general corporate purposes.
Office—121
Varick Street, New York, N. Y.
Underwriter—Lloyd,
Co., 2605

then

Price—For rights offering, to be supplied by
Proceeds—For reduction of current indebt¬
edness; for drilling and completion, if warranted, of
development wells; to rework, deepen and complete, if
warranted, exploratory wells, and the balance of general
corporate purposes.
Underwriter—None.

a new copper

ington, D. C.

Don Mott

properties.

ing—Postponed.

amendment.

common

Miller

10 common shares

shares for each

shares which may be of¬
fered for sale by the present holders thereof, and 100,000 shares to be offered by the company for certain

Circuitronics,

Feb.

stock and war¬

422,234 shares of common stock.
company proposes to offer its common stockhold¬
of record March 25, 1960, the right to subscribe for
common share and
warrants for the purchase of

tional

Price—To be sup¬

machines;

Shopping Center, Madison Township, P. O. Parlin, N
Underwriter—Lee Higginson Corp., New York.
Olfeil

Pa.,

Inc., Denver, Colo.

140,748 shares of common

held.

Proceeds—For purchase, construc¬
of

filed

common

toil plant; and for working cap¬
ital. Office—East Park Street, Bordentown, N. J.
Un¬
derwriter—Hayden, Stone & Co., New York.

financing of

plan. Office—Pittsburgh, Pa.

three

100,000 shares are to be offered for
company

stock which may

rants for the purchase of

Co.; Morgan Stanley & Co.; The

Feb.

Invest¬
100,000
be purchased pur¬

of participations in its
Employees, together with

it Consolidated Oil & Gas,

Chesapeake & Potomac Telephone Co. of West
Virginia (3/15)
Feb. 19 filed $25,000,000 of 40-year debentures, dated
March 1, 1960 and due March 1, 2000. Proceeds—To be
applied toward repayment of advances from AT&T,
the issuer's parent, which are expected to amount to
about $27,600,000 at the time the proceeds are received.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; White,
Weld

of common

aci

Oct. 27 filed 161,750

2 filed $3,000,000

March

$ij

quisition of Hope Homes, Inc., Browntown Water Co' aiJ
Cantor & Goldman Builders, Inc., with the balance tl
be used as working capital.
Office—29A Sayre Wooc

week.

if Consolidated Coal Co.

stockholders of record Jan. 1 at the
rate of two new shares for each three shares then held.
Price—$2 per share, initially; after 15 days from the of¬
fered

general corporate p|ii$ioses.- Office—100 W. 10th Street,
Wilmington, DeL ^ibwiiters — Marron, Sloss & Co.,
Inc. (handling the bohksj; and Roosevelt & G?urd, New
York, N. Y.; L. B. Schwinh & Co., Cleveland, Ohio; Don¬
aldson, Luskin & Jenrette, Inc., New York, N. Y. and
First Albany Corp., Albany, N. Y.
Offering Expected

Sept. 25 filed 367,200 shares of common stock (par
Price—To be supplied by amendment. Proceeds—F0

ing, to the company to be used for expansion and as
working capital. Office—6810 S. W. 81st St., Miami, Fla.

Feb. 18 filed

Eldon

Industries, Inc.
Feb. 15 filed 150,000 shares of common stock (par
$1).|
Price—To be supplied by amendment. Proceeds—To re¬
pay $250,000 of borrowings used to purchase additional
tooling for manufacture of new products; $200,000 to
repay
borrowings obtained to fund the purchase of
Astral Electric Co., Ltd.; $200,000
to defray the cost
of
leasehold
improvements and in moving expenses
in connection with the occupancy of its new plant at
Calif.; $150,000 for purchase of additional]
injection molding equipment; and the remaining pro¬
ceeds to be applied against outstanding bank loans
or]
added to working capital. Office—1010 East 62nd Street,

Hawthorne,

Los

Angeles, Calif.

Underwriters—Shearson, Hammill &

Frank,]

and New York; and Stern,
Meyer & Fox, Los Angeles,-.-4^—r'—

Co.,

Los Angeles

Electronic's
Feb.

nated
of

common

each

Inc.

(letter of notification) $100,000 of 7% subordi¬
debentures due April 1, 1970 and 20 000 shares
stock

(par 20 cents) to be offered in units,
of $1,000 debenture and 200 shares of

consisting
stock.-

Price—$1,300 per unit. Proceeds—For
an outstanding mortgage note and working
Address — East Highway 50, Vermillion, S. D.
Underwriter
Woodard
Elwood & Co., Minneapolis,

common

payment of

capital.

—

Minn.

Employers Reinsurance Corp.
Feb. 8 filed 100,000 shares of capital stock, to be offered
for subscription by its stockholders at the rate of one
new

share for

each

Price—To be

held.

supplied

by amendment. Proceeds—To increase capital and sur¬
plus. Underwriter—Stern Brothers & Co., Kansas City,
Mo.
Ero
Jan.

Manufacturing Co.

(letter

recent

sale

notification)

common

stock

such

stock

change; Proceeds—To

go to a

to exceed 10,000
Price—At the most
American Stock Ex¬

not

(par $1).
the

selling stockholder.

Office

—714-18

West, Monroe St., Chicago, 111. UnderwriterStraus, Blosser & McDowell, Chicago, 111.

Estates,

Inc.

■

200,000 shares of class A common stock.
Price—$5 per share. Proceeds—For purchase of various
properties, for development and subdivision thereof, and
to meet operating
expenses, salaries and other costs, but
principally for the purchase and development of large
Dec.

filed

tracts

of land.
Office—3636-16th Street,: N. W., Wash¬
ington, D. C. Underwriter—Consolidated Securities Co.
of Washington, D. C/ ;
.
; - /
:

Federated
Jan.

Reserve Life Insurance Co.
filed 300,000 shares of common stock

(par $1).

Price—$10 per share. Proceeds—For capital and sur¬
plus of the company, which has not as yet done any life
insurance business but expects to sell all forms of it.
Office—West Memphis, Ark. Underwriter—The offer¬
ing is to be made through three promoters and officers
,

who will receive

a
selling commission of $2 per share.
Finger Lakes Racing Association, Inc.
Dec. 28 filed
$4,500,000 of 20-year 6% subordinated
sinking fund debentures due 1980 and 450,000 shares of
x

class A stock

(par $5) to be offered in units, each con¬
sisting of $100 of debentures and 10 shares of class A

• Dimensions, Inc.
Feb. 24 (letter of notification) 25,000 shares of class A
stock. Price—At par ($1 per share). Proceds—For gen¬

stock.

eral

fice—142

corporate

Office—7314
Underwriter—None.

purposes.

Brooklyn 4, N. Y.

20th

it Diversified Collateral Corp.
Feb. 24 (letter of notification) 75,000 shares of
stock (par 10 cents).

Avenue,

Price—$155

per

unit.

Proceeds—For purchase

land and the cost of construction of
racing
as other
organizational and miscellaneous

plant as

well

expenses.

Of¬

Pierrepont Street, Brooklyn; N. Y. Underwriter
Co., Inc., New York and Philadelphia. Offer¬
Delayed.

-—Stroud &

ing
common

Price—$4 per share. Proceeds—To
purchase first and second mortgages and for working
^capital. Office—Miami Beach, Fla. Underwriter—None.

—

Forest Hills
Country Club Ltd.
Jan, 29 filed 75,000 shares of common stock
(par 10<?)Price—$4 per share. Proceeds—To build a country club
in Forest
Hills, L. I., N. Y. Office—179—45 Brinckerhoff

Volume 191 "Number 5930

82 Wall

Expected

in late

March. *

The warrants

are

exercisable at $10 per

•

price—$10 per share (with warrants). Proceeds
For general corporate purposes;
Office — 1600 South
Glendale Ave., Glendale, Calif. Underwriter—None.

stock at $1.50 per

debenture
To

6,511,762 shares of

common

of,

common

of stock, $102

per

stock.

unit.

Price—Of

Glass-Tite

Industries,

nue,
Farmingdale,- Long Island, New York.
Under-;
writer—Kidder, Peabody & Co., New York City. >

Inc.

Feb. 2 filed $500,000 of 6^% convertible subordinated
debentures and 25,000 shares of common stock.
Prices
—For the debentures, 100% of
the

Hi-Press Air

stock, to be supplied

and

Lexington Ave., New York City.
outh Securities Corp., New York
pected in early March."

March

Dec.

For

general corporate purposes, including expansion
reconditioning of plant. Office—Providence, R. I.
Underwriter—Stanley Heller & Co., New York City.
if Goelet Corp. (5/10)

stock, of which

filed $700,000 of

cer¬

selling stockholders, of which number 655,500
shares represent holdings of management
officials and

70,000 shares of

com¬

common stock pur¬

;

Cofp.-f?
' /-.V
12,555,600 of convertible subordinated
debentures, due May 11 1975,* to be offered for subscrip¬
2

SI00

•

of the

principal
of

outstanding!

ambunt " of

in the ratio

common

debentures

for

each

Office—2828 S. W. 22nd
StPeet,' Miami, Fla. Underwriter & Co., New York
City, will head a
group which will purchase
any unsubscribed debentures.
General

irt

April/-

tor

subscription by

common

*-/•

;

..?/' /J/;?

Devices, Inc.

Jan. 6 filed
60,888 shares of

:'/••'

common

S/'

•

sock, to be offered

stockholders

the basis of

one new
share for each five' shares held on
Feb. 16;
nghts expire on March
l."/ Price—$13 per share.
Procceds—For land,
ponstruction theteon, new equipment,

debt

noad,

&Co, Philadelphia,

and

one

no.

of capital stock.

Dec.

175,000 shares ot corpmon stock. Price—$4
Proceeds—To enable issuer to enter synthetic
manufacturing ■;business; *:Office—640• W, 134th

CO.,

Grumet
Inc.,.on a/

mpn f

100,000 -shares

of", cumulative

Price

if Inland Container Corp., Indianapolis,. Ind.
filed 175,000 shares of class A common stock.
be supplied by amendment. Proceeds—$2,500,000 to pay a note, and the balance for general corporate purposes. Office—Indianapolis, Ind. /Underwriter
—Lazard Freres & Co., New York.
//' ;•/?;,:"/;^-,/v.
March 2

Price—To

;

are

Insular Finance Corp.
:

Note:
of

se-.

Co.,- Inc. and Tilderi Commer¬
cial Alliance^ Inc.^ subsidiaries of the issuing company.
/

''.V -'•

* Gulf States Life Insurance
Feb. 26 filed 1,000,000 sliares of common stock, to be of¬

m
1981

iZ «\rr5HF-*<*•#**** *orp. 0/9)'
p
hied-. $100^)00^)00. .t*£v 24-<year: debentures, due

ord

will

•

Corp.
J

corpmon

..Birmingham.

t.1'

?P
,
,^^^^^*^^aine; Webber, Jackof NpiwSt<>ne & Webster Securities Corp., bath
An eel
^or.^j arid "Mitchurrif Jofres & Templeton, Los
««ies,
ri;

son &

Calif"

' ^

"•

shn^i

supphed

pfJstmtg. bonds,

by; amefrcufrent;

ser.

coiiup

::'■/

the

repayrepay

International Aspirin

together with

Hermstite

C>:-

Jan.

Corp.

filed 136,000 shares of common

i;1 ■;:.H
stock, >of which

125,000 are to be publicly offered and 11,000 have been
already • acquired- at *"$1- pfef: shared by the President

Securities

Corp., ' 915

•

Price—$3;;

Washington

Street, :

15 filed 120,000

thereof.

outstanding

stock, by

the present holder

Price—To be supplied by: amendment. Proceeds ;

^To be added to the

company's general funds. Office—,

Underwriter—Blyth & Co., Inc., San
\ /
rif Interstate' Securities Co. "/-'"
//"■/
Feb. 23 filed 165,000 shares of cumulative preference^
stock/convertible ($20 paT), to be offered for subscrip- ^
tiori by common stockholders On the basis of one new;
share of preference stock for each four , shares held;/'
Price—To be supplied by amendment.
Proceeds—For
Segundo, Calif.

60,979 shares of Hercules common stock which may be
aCqUired pursuant to said plan.
Office—Wilmington,
Delaware.

Corporation; 1.;

per shares
Proceeds—For general corporate purposes. :
Office—1700 Broadway, Denver, Colo/
Underwriter— •

01 ;.-V>

Employee Sayings Plan,

Francisco and New York.

f^led $5,000,000 of employee participations under

company's

^Insurance Securities Trust Fund '/;
Feb. 33 filed $100,000,000 of Trust Fund Certificates.
Proceeds—-For investment. Office—Oakland, Calif.
;

OQO, v being

Price—
>

-..

shares of common stock, of which
6Q,0QO shares are to be offered /for public sale for the ;
account of the issuing company and the remaining -60,- \

Cleveiand, Ohio (3/22)

share.

per

• .

/./Corp.;r>
/ "''://•}
Feb. I (letter of notification) 150,000 shares of common
stock (no par),r Price -rr $2 per share. Proceeds — For ;
working; capital.
Office—Avenida Condado 609, San-, ;
turce, Puerto Rico. Underwriter—Caribbean Securities ;

Feb.

•»,•«..^:';V v-i

187,500 shares oi common stock.

;
¬

(formerly General Finance

Wilmington, Dei., on a "best efforts" basis.;
International Boctifier Corp,

Proceeds—To pay A bank debts and for
working capital. Underwriter—Arnold Malkan & Co.,
Inc., and Street & Company, Inc., both of New York1
$4

Feb. 26

G. Price-

jProeeeds—For
JProeeeds—For

st'uetif.n'^ OI^-^MtV^x^An4tture$ for the 496Q conWebber t^rpgrajP
mad^wj > Underwriters—Paine,
ritiftc. p' J«ckson & Curtis and Stone & W-U"f—

Underwriters, :• Inc.,J. also

(affi

Hercules Powdor Co.

...

Feb. 23 filed

otCTZ ^nenal?Tl;. rr?«?1S^r0r ,ref?or/
eoimo.,)!??'
,,
-—— ?-^curred during 1959 and.early 1960
- "wuiicw-uui*ng
the hn!.,.
^.uh;the company's construction program;
coniD'ii«rcS
be added-to the treasury funds of the
W
111

Nam Corp,,

City-

ur,ta,ipO;
To be
ment

r—Southern

Underwriters

stock.,'Price—To
additional

ApriL U I960, at the rate of two shares for each
held. Price—To be supplied by amendment.

Ardisco

; Dec. 7 filed 600*000 shares pf common stock.

rec¬

Corp. and additional working capital.- Of¬
fice—First Avenue and: 18th Street, Birmingham, Ala.

stockholders of

Investment

receivJhi^
9f; for the purchase
Dud*... ivables. Office—1775:Broadway, New York City
V3- ""w-uvo^roaqway, isew.Yor
xi rwr,ter-7Mor8an Stanley. & Co., New York.
Feb

common

■'

Proceeds—To repay debt of $450j000 owed to Foundation ; Speculative

of
r

subscription by

share then

! je"r!r^0. te iup^ied by amendment. Proceeds—
.to ^vgenerad^^unds of the company- and-.

vio

for

fered

Co., Inc;, Santurce, Puerto

curities in Guardian Loan

Underwriter—None.

outstanding accounts

writer—»Shearson, Hammill & Co., New York.

subordinated

be offered first to holders

liate); and the balance for additional working capital.
Office—11 West 42nd Street, New York 36, N. Y. Under-

—

securities

Inland -Credit Corp.
•';/
//;^.-/'
12 filed 190,000 shares of class A stock (par $1).
Price—To be supplied by amendment. Proceeds—For

Feb.

acquisition

capital notes, and $i,250,000 of .12-year 7% subordinated
capital notes. & Prices — At par and principal amounts.;
Proceeds
For general corporate purposes.
Office —
The

.'•■••
i

V
i
preferred

Queens Boulevard, Long, Island City, N. Y.

f;'-'

""■=?

60,000 shares of class A
common stock (par $1)./Price—$4 per share.
Proceeds
.—For
working capital.
Office — 55 Needham Street,
Newton Highlands, Mass. Underwriter—Schirmer, Atherton & Co., Boston, Mass.

viV'/■'-

(par $10), $1,060;000 of 15-year 8%

45-14

Instrument Corp, v- ■;!."''^ *
200,000;,shares- of .^common stock. Price—
by "amendment;; Prteecds—For repay s

filed

17.

stock

York',WdMWtfters—Brand,
&

Industron Corp.
'.V/'":/•' 14 (letter of notification)

Proceeds—For investment.

''/';;"':

Corp. Ltd. /;

Jan.

Feb. 29 (by

share.

street, New

common.

to make loans to such bottlers, etc. Office—*
Equitable Bldg., Denver, Colo. Underwriters— Pur-.

(U, S.) 20-year collateral trust /
bonds, due 1980. Proceeds—To retire short-term bor^ a
rowings. Office—Vancouver, B. C., Canada. Underwriters
—Eastman Dillon, Union Securities & Co., and Nesbitt,
Thomson & Co., Inc., both of New York City. Offering
•—Expected not later than March 2.;Z"//>;>:/ '//■/'

Group Securities, Inc., Jersey City? *i. J.
'
amendment) filed 4,000,000 additional shares

Office — Ridge
N;. J.^Underwriter—Drexel
'';//• •■/
/,/":

Guardian TiWen Corp.
P

share of

in the preparation of the concentrate
of bottlers, the local and national proadvertising of its beverages, and where

/ Imperial Investment

■A Green Dollar Nurseries, Inc.
Feb. 17 (letter of notification)
300,000 shares of common
stock (par 50 cents).
Price—$1 per share. Proceeds—
For equipment and furnishings, leasehold of improve¬
ments, inventory and general working capital. Office—
11801 Harbor Boulevard, Garden Grove, Calif.
Under¬
writer—V. K. Osborne & Sons, Inc., Beverly Hills, Calif.

reduction; and ..working capital.

Monmouth,/Junction,

.:/■>:;

and

Jan. 29 filed $15,000,000

—$28 per unit. Proceeds—For debt reduction and the
building of a recreation park. Office—3417 Gillespie
Street, Dallas 19, Texas. Underwriter—Glore, Forgan &
Co., New York City. Offering—Expected in late March.

-Goldman, Sachs

Offering—Expected

shares of common stock (par $1).
share; Proceeds—^To further the corpo¬

necessary

'704

Southwest

of debenture

amount

held.
Price -A- To be supplied by;
Proceeds—-For general corporate purposes.

common

amendment.

Great

per

:vis & Co. and Amos C. Sudler & Co., both of Denver,
Colo.
::v

Corp.
Dec. 10 filed $11,500,000 of cumulative income deben¬
tures, due Jan. 1, 1975, and 575,000 shares of common
stock (par $1), to be offered in units of $20
principal

filed

tion by holders
of

motion

general corporate purposes, including the development
of bowling lanes, bars, and restaurants on various
Michigan properties. Office~-6336 Woodward Ave., De¬
troit, Mich. Underwriter—Straus, Blosser & McDowell,

Chicago, 111.

^ General Development

March

I- c -inc.

Price—$2^0

stock (par $1).
supplied by amendment.: Proceeds—For

com¬

rate purposes and
and enfranchising

Great .Lakes"

Price—To

hotification) 100,000 shares of common
stock (no par).
Price—$3 per share. Proceeds—To pay
an
outstanding obligation arid for Working capital. Office
—1500 E. Colorado
St., ; Glendale,' Calif. Underwriter—
California Investors, Los
Arigeles; Calif.

100,000 shares of

June 29 filed 600,000

Bowling Corp.
Underwriter—None.';, Z /Z/"/
Aug. 31 filed 120,000 shares of common
Associates, Inc. ;4/ :
''J-**.

Nov. 13 (letter of

(letter of notification)

if Hydrometals, Inc.;
Feb. 29 filed 100,000 shares of capital stock, to be issued
pursuant to the company's Restricted Stock Option Plan
for selected key employees of the company. Office—405
Lexington Avenue, New York City, 'k';:.?://a/

Price^-To be supplied by amendment.'. Beach, Fla. Underwriters — Robert L. Ferman & Co.,
Miami, Fla. and Godfrey, Hamilton, Magnus & Co., Inc..
Proceeds—For general corporate
purposes, including the
■New York City. !
//■; V.-.//'
\
repayment of indebtedness; -= Office — 604" South 18th I
/

Street, New York, N. Y. Underwriter—Hilton Securi¬
ties, Inc., 580 Fifth Avenue, New York, N. Y. Offering—
Expected in March.;

per

affiliated persons.

Street, Laramie,-' -Wyo,

;

stock (par one cent). Price—$1 per share. Proceeds
—For general corporate purposes.
Office—125 E. 50th

Jan. 29 filed 153,000 shares of common stock. Price—
$3.25 per share. Proceeds—For use by subsidiaries for
reduction of indebtedness and general
corporate pur¬
"
poses.
Office—1309 North Dixie Highway, West Palm

count of

City. ' Offering—Ex-.

mon

share until May
15, 1965), to be offered in units consisting of $100 of
debentures, 10 common shares, and five warrants. Price
—$143 per unit. Proceeds—To be applied toward the

thet company's

Underwriter—Plym-

Howe Plastics & Chemical Companies, Inc.

8% subordinated Installment

35,000
(exercisable at $4.50

chase warrants

convertible promissory
notes; and 2,748.278 shares.dte: to be offered for the ac-

Gence &

Conditioning Corp. of America

Dec. 29 filed 200,000 shares of common stock. Price—$3
/per share. Proceeds—For working capital. Office—405;.

principal amount; for
by amendment." Proceeds—

Price—At par. Proceeds—For

markets, and the balance will be available for further
/expansion and working capital. Office—55 Motor Ave¬

issuing company. ,.Qf the shades to be sold, 415,000 shares//
company's general business activities/ Office—292 Madi¬
to be offered to holders; of the
outstanding common
son
Avenue, New York. Underwriters—Ross, Lyon &
at the rate of one. new share for each 20 shares
held;
Co., Inc. and Globus, Inc., both of New York. V
500,600 shares are to ,be offered iii! exchange for proper¬
Goddard, Inc. (3/15) •/:/'
\.\iL /Z/;/>-"T\
ties and services; 32M83 sharew are to be offered
-

Proceeds—For

★ Hill's Supermarkets, Inc.
Feb. 25 filed 100,000 shares of class A stock. Price—To
be supplied by amendment.
Proceeds—$700,000 to pur-

raw

are

holders

share.

& Co., and Van Alstyne, Noel &
Co., both of New York
City.'/. • :■
V ' ■ -Z/////' /Z;/:<•'// ///'Jf 1V/'/-''y'$J-■$:

$51

Street, Fort Worth, Texas. Underwriter—R. A. Holman
Co., Inc., New York, N. Y. Offering—Expected at the
;.<//•:/ :/'//'~//':•«Z:/■// :"/z/z // •"///

end of March.

521,601 shares are owned or-underlie options owned by
officers and/or directors, affiliates, and associates of the

tain

per

Highway Trailer Industries, Inc. (3/7-11) •
$3,000,000 convertible subordinated deben¬

tures, due August, 1975.

Proceeds—

off current accounts payable; purchase of

pay

Price—$5

expansion purposes, and the discharge of debts. Office
—250 Park Ave., New York City/ Underwriters—Allen

The remaining 2,-

;\///;'//o
debentures, due in March, 1970,
•: ;;//: mon
stock (10 cents par) and

Uranium-.Co.

Oct. 28 filed

68
par;

Co.

Jan. 29 filed

common
one

•

stockholders of record at the close of business on Feb.8,
1960 on the basis of one new share for each share held.
Price—25 cents per share.-Proceeds—To purchase real
estate from Byer-Rolnick Hat Corp. Office—601 Marion

3.990,161 are to be'offered for sale.

and

debentures, at

Office—11 W. 42nd St., New York, N. Y. Underffriter__Syndication Investors Corp., 527 Madison Ave.,
New York, N. Y.
*.
</// -/•:■' '■■■"-■
'•'..'•o"'/;Z ///•
i;/-1'/.,
x Franklin Broadcasting Co." .!
Jeb 26 (letter of notification) 75,000 shares of common
stock (par 10 cents). Price—$4 per share. Proceeds—
For working capital.
Office—2700 East Oakland Park
Boulevard, Fort Lauderdale, Fla. • Underwriter—None* ;/
x
Garland Industrial Acreage, Inc.
\ "
Feb. 24 (letter of notification) 242,927 shares of common
stock (par one cent) to be offered for subscription by

Gas Hills

share. Also, 68,000 shares of
(par 10 cents) to be offered in units of

stock

motel

Drive, Garland, Texas. Underwriter—None.

•

Magic, Inc.
(letter of notification) $51,000 of six-year 6%%

convertible debentures to be offered in denominations
each. Debentures are convertible into common

15 (letter of notification) $220,000 of limited part¬
nership participations to be offered in units of $1,000 or!
«000. Price—At face value. Proceeds—To purchase a

Lee

Office—702 Beacon Street,
Boston, Mass. Underwriters—M. L. Lee & Co., Inc.;
MiltonD. Blauner & Co.v /Inc.; and Kesselman &
Co.,
Inc., all of New York City, on an "all or frothing'* basis.
Offering—Expected in March. ,:;;y
fv,//;v/ .//•:- -s/VZ

of $51

Feb

general corporate purposes.

Glass

Dec. 30

Acre Motel Associates

M.
'

Hoving
Corp., and the remaining 500,000 shares will be offered
publicly. Price—To be supplied by amendment. Under¬
writer—Blyth & Co., Inc., New York.

hare

Four

(993)

•

warrants for the purchase of an additional 100,-;

shares).

Chronicle

Qenesco, Inc. (3/9) > •> V. :.
■</,
Feb. 9 filed 587,186 shares of common stock. Of
the total,
87,186 shares of common stock will be offered to the
common and class B common
stockholders of

filed 100,000 snares of common stock (with at¬

tached
000

I.V1N.1 Y. Underwriter—Jerome
St.; New York City. Offering—

Mortgage & Investment Co.

Forest Lawn
-

33,

Jamaica

Ave

The Commercial and Financial

...

:
.
*

notes. / Off ice—3430 Broadway^
Underwriters—Harriman Ripley
;
Inc;, New York; and Stern Brothers & Co., Kansas City,.
Mo.: Offering-^Expected ill March.
■/-;

reduction

of short-terifr

Kansas City, Mo.

The

Intra Stitt

—Kidder,

TelepttoneCo.

Jan. 29 filed

held on Feb. 20. The
the employee stock option

share for each four shares

balance of the shares are for

Proceeds

plan.

r—

For general corporate purposes

payment of bank loans. Office—100
Galesburg, 111. Underwriter—None.

the company's

stock of which

3,675 shares are to be offered for subscription" at £100
per share by* common stockholders at the rate* of one
new

and

North Cherry St.,

$2J000,009 of six year 6%

sold to management officials. Office—
W'., Washington, D. C.
Merrimack Farmers' Exchange, Inc. -Feb. 19 (letter of. notification), $250>000* of unsecured
registered debentures to be Offered1 for subscription by
stockholders to* be divided' into five series of $90,000
each;, due July 1* of the years 1970: through 1974 in
denominations of $25 each. The interest'rate will be 6%.
Price—At face- value.*
PHujeeds—Fbr working capital.
Office—Low Ave., Conoord; MRr Hi
Underwriter—None.

subordinated de¬

15}. 1966; with

bentures* due Jam

Underwriter—None.

aggregating

$1,800,000 in principal amount, with at¬
the purchase of an aggregate of

warrants for

$10 per share. Price—
at 100% of principal
amount. Proceeds—To be added" to the company's gen¬
eral funds and working capital and will be used pri¬
marily for the purchase or improvement of parcels of
31,500 shares of common stock at

Debentures

(with

warrants)

PfceP Ceesti uition Co., Inc.
Jan. 15 (letter of notification) 60*000 shares of class A*
common* stock
(par 30* cents);
Price—$5 per share
Proceeds—To* acquire property and for working, capital;
Office—115 Mary Street; Falls Church, Va; Underwriter
—Securities Registration & Transfer Corp., Washing¬
ton, D. C.
■
•'"/•
•.

Underwriter—None.

real estate.

Feb. 29 filed

Inc.
notification) $200,000 of 10-year 10%

registered debentures. Price—$100 per debentures. Pro*ceeds—For general corporate purposes. Office — 30 E.
Sunrise Highway, Lindenhurst, N. Y.
Underwriter —
Heft,

Kahn

Infante,

Inc.,

Liquid Veneer dorp
"/'V '
(letter of notification) 150,000 shares of common
(par 10 cents). Price—$2 per share. Proceeds —
For general corporate purposes.
Office — 211 Ellicotv
Street, Buffalo; N. Y. Underwriter—B. D. McCormack
Securities Corp., New York, N. Y. Note-—Offering com¬
menced Feb. 25 by Michael Fieldman, 82 Beaver St.,
New

1, 1990.

Note—Underwriter is unrelated to issuer.

Office—Boston, Mass.

Kratfer

Corp.
1,300,000 shares of $1.20 cumulative con¬
vertible preferred stock (par $1) to be offered for sub¬
scription at $20 per share by holders of outstanding

Feb.

filed

class A and class B

common

at the rate of

one

share of

preferred for each three common shares held. Shares
not purchased by stockholders may be offered for public
sale or in exchange for properties.
The registration

;

par value) including
account of the issuer, and 85;000

(3/29)
bonds, due April

Proceeds—For construction and

4, N. Y.

'V;

-V.-

(par $1).
Prices—$5 per share.
corporate purposes, including the

Properties,

Hie-

•

—

Macco Corp.

•

Price—To

also

Feb.

& Templeton, Los Angeles.

Peabody & Co. and White, Weld & Co. (jointly); Mer¬

Lynch, Pierce, Fenner & Smith Inc.; Eastman Dillon
Securities & Co. and Equitable Securities Corp.
(jointly). Information Meeting—March 14, 1960. BidsExpected to be received on March 17 at the offices of
Southern Services, Inc.,
250 Park Avenue, New York
17, N. Y., up to 11 a.m. (EST).

rill

$5
per share. Proceeds—To repay interim loans up to $100,000 to Taylor & Co.; $100,000 for expansion of labora¬
tory facilities and personnel for research and develop¬
ment; $100,000 to increase plant production facilities;
$116j000 for tooling and production of proprietary items;
$110,000 for increase of inventory; $75,000 for research
—

Union

Mobilife
Jan.

development; and $2,000 for documentary stamps;

used

company

capita! Office—Sarasota, Fla. Under¬
writer—Plymouth Bond & Share Corp., Miami, Fla.

(par $2). Proceeds — To selling stockholder. Price—To
supplied by amendment. Office—2809 Losey Blvd.,

Underwriter—Shearson, Hammill

LaFayette Radio Electronics Corp.
Dec. 4 filed 225,000 shares of common stock
Price—$5
purposes

per

share.

Proceeds—For general

($1 par).
corporate

Office —165-08 Liberty Avenue,
Jamaica, L. I., N. Y. Underwriter-—D. A. Lomasney St:
Co., New York* City. Offering—Expected in mid-March.
capital:

•»lafrdto 9M Co. • <3/21.29)
\
Feb. 12 filed116,000 shares of capital stock (par $2.50) of
which 60,006shares will be offered for public sale by com¬
pany and 56,000 shares are outstanding and will be sold
by officers of: the company. Price—To be supplied by

stock

Office — 3196 Hallandale
Underwriter—None.

filed

company

offer

(1)

for all of

the Interests in

Modern

for cash or

May II filed 390,000 shares of common stock.* Price—69
cents per share.
Proceeds — For exploration, developmenf and acquisitions.
Office*—5 Cobbold Block. Saska¬

toon, Saskatchewan, Canada.

three limited partner*

Munston

Electronic

Canada.

Manufacturing Corp. :

(3/7)

(letter of notification) 50,000 shares of common
stock (par 10 cents).
Price—$6 per share. Proceeds—
For general corporate purposes.
Office*—Beech Street,.
Islip; N. Y. Underwriter—Heft, Kahn & Infante, Inc.,

Nov. 9

Hempstead; N. Y., is

ex¬

ships, namely, the Bonifant Limited Partnership, the
Metropolitan Limited Partnership, and the Mensh Lim¬
ited Partnership, and (2) to exchange 11,000 shares for
all the captol stock of Mentor Investments, Inc.
The

Underwriter—Cumber¬

land Securities Ltd., Regina, Saskatchewan,

The

change the $893,550 of debentures and 29,785 shares of
stock

company

Montgomery Mortgage Investment Corp.
16 filed $3,000,000 of second mortgage notes and
accompanying repurchase agreements, to be offered in
$3,000 units. Price—From $2,000 to $4,000 per unit. Pro¬
ceeds—To purchase other second trust notes and to main¬
tain a reserve for repurchase of notes under its repur¬
chase agreements. Office—11236 Georgia Avenue, Silver
Spring, Mdi. Underwrite*—There is no underwriter as
such, but Adrienne Investment Corp., an affiliate of the
issuing company, will act as sales agent, for which it
will receive a selling commission of 7%.

Development Associates,

proposes

the

M. & S. Oils Ltd.

$893,550 of 8% convertible subordinated
shares of capital stock, and 40,000

The

and

Oct.

debentures, 40;785
warrants.

Co.

of dividends.

nix, Ariz. Underwriter—Associated General Agents
North America, Inc.

Inc.

Feb.

Insurance

Price—$2 per share. Proceeds—
For working capita! Office—811 N. Third Street, Phoe¬

•

Investment &

(par $1) to be offered to policyholders of

transfer

Beach

Magadyne Elactronlcs, Inc.
Jan. 7 (letter of notification) 300,000 shares of common
stock (par 10 cents). Price—$1 per share. Proceeds—For
general corporate purposes. Office—100 W. 10th Street,
Wilmington, Del. Underwriter—Glenn Arthur Co., Inc.,

if Mensh

Life Insurance-Co.

(letter of notification) 47,687 shares of common

Pioneers'

New York, N. Y.

including inventory, leasehold improvements,

and working

Modern Pioneers'
Dec. 4

Boulevard, Hallandale, Fla.

Feb. 9 filed 100,000 outstanding shares of common stock

South La Crosse, Wis:
& Co., New York.

purposes.

250,000 shares of common stock (par 50
Price—$4 per share. Proceeds—For debt reduc¬

tion and working

erty; for balance due on improvements; to provide addi¬
tional working capital to McCabe Associates; and other
corporate

La Cross* Cooler Co.

Corp.

filed

cents).

$110,000 will be added to working capital; and the re¬
maining $88,400 is unallocated. Office—5546 Satsuma

includes

general corporate purposes.; Office—521 Fifth Avenue,
New York City. Underwriter—None.

Mississippi Power Co. (3/17)
8 filed $4,000,000 of first mortgage 30-year bonds.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; Kidder,

general corporate purposes.
Paramount Blvd., Paramount, Calif.

Underwriters—Kidder, Peabody & Co., New York City,

and

Inc.

Electronics,

214,500 shares of common stock, of which
200,000 shares will be sold for the company's account
and the remaining 14,500 shares will be offered for the
account of certain selling stockholders.
Price—$3 per
share. Proceeds—For general corporate purposes. Office
—89 West 3rd St., New York City. Underwriter—Pleas¬
ant Securities Co. of Newark, N. J.

Andersen; Randolph & Co., Inc.,

if Magnasyc Corp.
Feb. 26 filed 200,000 shares of capital stock. Price

Cor~

5 filed

Feb.

develop land, and for

and Mitchum, Jones

both of New York

(3/21-25)

Office—14409 So.

Missile Components

Missilo

supplied by amendment. Proceeds—To repay indebt¬
edness incurred in real estate operations, to acquire
and

Co., and White, Weld & Co., Inc.,

(letter of notification) 60,006 shares of common
stock; (par 10 cents). Price—$3 per share. Proceeds—
For general corporate purposes... Offices—2300 Shames
Drive; Westbury, N. Y. Underwriter—Mortimer B. Burnside & Co., Inc., New York,. N. Y.. Offering—Expected
in about a week.
■'./*'

Price—To be supplied by amend¬
Underwriters—Bear, Stearns

Office—Tulsa; Okla.

Jan. 1*8

200,000 shares of common stock.

subordinated deben¬

City.
■

City, Utah..

Jan. 28 filed

of common.

shares of common
Proceeds—To pay
bills; for acquisition of Lacey Shopping Center, and for
working capital. Offiee^-603 Central Bldg., Seattle 4,
Underwriter

$20,500,000 of 6&%

17 filed

tures, due 1980, and 1,435,000 shares of common stock,
to be offered in units of $30 of debentures and 3V2

(letter of notification) 73*000
(par $1). Price—$4 per share.

Salt Lake

reduction of indebted¬

Co.

Mid-America Pipeline

Feb.

Jan. 20

Wash.

Proceeds—For general

acquisition of properties, and additional working
capital. Office—500 Mid^America Bank Building, Okla- \
homa City, Okla,
Underwriter—None:
ness,

150,000 shares of common
stock (par 10 cents).
Price—$1.25 per share. Proceeds
—For working capital:
Office—New Tyler Highway,,
Henderson, Texas.
Underwriter—Wm. B! Robinson &
Co., Corsicana, Texas.
•
^^« •. -A

stock

Co.

400,000 shares of class A common stock

filed

Nov.

(letter of notification)

Loveless

stock

Mid-America Minerals, Inc.

;

ment
■

common

shopping centers and work¬
Ave., Portland, Ore.

ing capital. Office—72! S. W. 4th
Underwriter—Kidder, Peabody &

other corporate

r-.".

300,000 shares for' the

The

structing and equipping new

.•

Love Corp.
Jan. 25

•

shares for a companyremaining 15,000 shares are for
officers and employees. Price—To be supplied by amend¬
ment.
Proceeds—For the general fund, including con¬
estate.

connected

Ave., North Hollywood, Calif. Underwriter—Taylor arid
130,000 preferred shares and
Company, Beverly Hills, Calif.
130,000 class A common shares which may be acquired
by the company in stabilizing transactions during the
Mayfefir Industries, Inc.
offering of the preferred, and an indeterminate number
Feb. 17 filed 300,000 shares of common stock. Price—To
of rights which may be so acquired, which securities
be supplied by amendment. Proceeds—For general cor¬
would thereafter be resold by the company from time
porate purposes, including the repayment of indebted¬
to time on the American Stock Exchange.
Proceeds—
ness.
Office — Lafayette, La. Underwriter — Emanuel
$8,000,000 to acquire the Americana Hotel, Bal Harbour, |I Deetjen & Co. (managing), New York City. Offering—
Fla*, and in the amount of $3,000,000 for repayment of
Expected in March.
unsecured bank loans. The company also intends to use
'J■if (Desota B.) McCabe Enterprises, Inc.
$2,587,500 for the exercise of a right of a subsidiary toFeb. 26 filed 125,000 shares of common stock, of which
acquire the interests of certain ventures in and to leases
63,826 shares of common stock will be issued to Desoto
and mortgage pertaining to the Kratter Building, and
B. McCabe Jr., in return for transfer of certain proper¬
112-122 W. 34th Street, in New York; $2,500,000 for the
ties to- the company. Price—$10 per share for public
development of its Ebbets Field housing project
in
offering; Proceeds—For property lease payments on the
Brooklyn; and $800,000 for the prepayment of certain
Desota Lakes property, as reserve tor future leases on
mortgages. Any excess will be added to the general
said property; for additional improvements on the prop¬
funds of the
to be
from time
time for

statement

Light Co.

$20,000,000 of 1st mortgage

class

400,000 shares, of

filed

(without

Underwriter—To be determined by competi¬
tive bidding.
Probable bidders: Halsey, Stuart & Co.
Inc.; White, Weld & Co., Blyth & Co., Inc. and Shields
& Co. (jointly); Merrill Lynch; Pierce, Fenner & Smith
Inc.; Kidder, Peabody & Co. and Harriman Ripley &
Co., Inc. (jointly); Salomon Bros. & Hutzler, Eastman
Dillon, Union Securities & Co; and Equitable Securities
Corp. (jointly); The First Boston Corp. and Glore, Forgan & Go. (jointly), Bids—To be received up to 11:30;
a.m.
(New York Time), on March 29, at the offices of
Middle South Utilities, Inc., Two Broadway, New York

•

King & Heyne Fifth Oil
Feb. 17 filed $1,500,000 of limited partnership interests
in the partnership, to be offered in units. Price—$75,000
per unit.
Proceeds—For property acquisitions, drilling
and completion of exploratory wells, drilling and com¬
pletion of development wells, and other related pur¬
poses.
Office — Houston, Tex. Underwriter—William
Blair & Co., Chicago, 111., states that offering will be
made prior to April 30, to a small number of the firm's
■>:\"-v

Feb.

purposes.

•

(3714-18):

(Fred), Inc.

:/•' Meyer

City, new underwriter.

Feb. 11 filed

Underwriter—None.

■

York

Louisiana Power &

•

Keystone Electronics <U>., Inc.
Feb. 12 filed 200,000 shar
of common stock.
Of this
stock,f 133,334 shares are to be offered for public sale
for the account of the company and 66,666, being out¬
standing stock, by the holders thereof. Price — $3 per
share. Proceeds—For additional equipment and inven¬
tory; for research and development; and the balance for
working capital. Office—65 Seventh Ave., Newark, N. J.
Underwriters—J. A. Winston & Co., Inc. and Netherlands
Securities, Inc., both of New York.
if King & Heyne I960, Inc.
Feb. 25 filed $1,500,000 of exploration agreements to be
offered for public sale in units. Price—$25,000 per unit,
Proceeds—For acquisitions, exploratory wells, and gen¬
eral expenses.
Office—708 Main St., Houston* Texas.

clients..

Underwriter
competitive bidding. Probable
bidders: Hhlsey,. Stuart & Co. Inc.; White, Weld & Co.,
Blyth & Co.. Inc.; Kidder, Peabody & Co. and Drexel" &
Co. (jointly). Bids — Expected to be receved up to 11
a.m. on April 26.
'
be determined' by

—To

Nov. 16

if Keystone Custodian Funds
Feb. 29 filed 500,000 shares of Series B-3 shares, and 1,000,000 Series K-2 shares and an additional 1,000,000
shares of Series K-2. Price—At market.
Proceeds—For
investment

$15*000,00 of first* mortgage bonds, due 1990.

Proceeds—For 1960 construction program.

•

Hempstead, L. I., N. Y.

if Jones & Frederick, Inc.
Feb. 23 (letter of notification) 100,000 shares of common
stock (par 10 cents). Price—$3 per share. Proceeds—For
a down payment on property, advertising, furniture and
working capital. Office—401 Miracle Mile, Coral Gables,
Fla.
Underwriter—A. J. Frederick & Co., Inc., New
York, N. Y.

Lewi* Swimmbif

stock

Island Industries,

•

Nov. 23 (letter of

Metropolitan Edison Co.. (4/26)

Funding Corp. of Now York
Feb. 12 filed six series of 10% subordinated debentures
tached

Thursday, March 3> 1960

.. .

Eye St.,. N.

1613

Underwriter

warrants to purchase
300,000 shares of common* stock at $5 per share. Friee;
—At-the-market, on or after July 30,, 1960. Proceeds
For payment of a $750*000 bank? loan and general cor¬
porate purposes. Offic*—375 Park Ave., New York City.

Investors

•

Chronicle

warrants will be

equipment and facilities-

warehouse.
Peabody & Co4, New York.

and to enlarge*

4,176 shares of common

filed

Proceeds—For new

amendment.

Continued from page 37

Jan.

Commercial and Financial

(994)

.»

new

underwriter

longer underwriting this issue.
David Barnes & Co., Inc. ot

New York City. Offering—Expected in early

March.

Mutual Credit Corp*
•
Oct. 6 (letter of notification) $300,000 of 6% % convert¬
ible subordinated* debentures,, series Ay due Oct; 1. Ipoy.
Debentures

are

convertible at any time

through Oct. l,

Number 5930

191

Volume

. ..

The Commercial and Financial

Chronicle

(995)

.m:

non-voting common stock (par $5) at
tP
of 100 shares of such stock for each $500 of
the rate o
verted price—At face amount. Proceeds
deb)£
general funds of the company. Office—c/o
'For
;c
J f Wentworth, 6 Milk St., Dover, N. H. Un

^writer—Eastern Investment Corp., Manchester, N. H.

Dec. 23 filed 28,637

riass

„

indebtedness, renovation and expansion, and working
capital. Office — 1844 West Flagler St., Miami, Fla.
Underwriter—Van Alstyne, Noel & Co; of New York
City.
• v.
;
/•;;;•
V,'v.v. ;

da
^NaVda

■
•
v ! shares of common stock. The com-r
pany proposes to offer 11,372 shares for subscription by k
its common stockholders of record Jan.
15, I960, upon

Microwave ehnrpc
t;>: /?; ^yyyy-y:;Microwave Corp.
Corp.
A.niin(l
50,000 shares of common siocK tpar ii vstocK
ii
June
the basis of one new share for each 50 shares then held.
onri 50 000 warrants to be offered in units, concents) hi
f
...
^
_ jr.''
fltAAIr
nrlV n
/vtf
The remaining 17,265 shares are to be offered to certain;
of
one
share of common stock witn attached
gisung
officers and employees of the company upon the exer¬
titling the holder to purchase one additiona.
^rram
cise of options to purchase said shares, the option price
^ statement also includes an additional 10,OOt
being $9.35 as to 6,575 shares and $11 as to 10,690. Price >
Si of common stock reserved fort issuance to ke>
■Ifnvees pursuant to option*. Price—7 u oe supplied —For rights offering, to be supplied by amendment. Pro¬
emp
ceeds—For additional working capital. Office—511 Old
vTpndment Proceeds — To be used to retire bank
Lancaster Road, Berwyn, Pa. Underwriter—None. ;
y,
D. Blauner * Co.. inc., Nev
^

I'"1

filed

I«
ifi

Underwriter—Milton

Pacific

York." Indefinitely postponed.
•

' ■
,\„Vy.
Lawnservice Corp.
ii
(letter of notification) 100,000 shares of comdock (par one cent).
Price—$3 per share. Pre-';
IL For general corporate purposes. * Office — 410 *

Gold, Inc,
(letter of notification) 75,000 shares of common
At par ($i per share)., Proceeds — Foi
mining expenses. Office—404 Mining Exchange Build- .j
ing, Colorado Springs, Colo. Underwriter—Birkenmayer
& Co., Denver, Colo.;
Dec. 9

National
t

stock.

yvrngston Avenue,

V. Underwriter

North Babylon, N

Planning Inc., New York, N. Y.
;', V ■
y;r,
New Haven Clock & Watch
Tan 29 filed: (1) 1,462,320 shares of common stock to be
offered for subscription at $2 per share by common
stockholders at the rate of three new shares for each
five shares held on the record date; (2) 250,000 shares of
common stock' for public sale.
Price—To be supplied by
amendment; (3) 700,000- of* outstanding sharesT which
may be offered fdr sale by the present holders thereof;
(4) 719,667 shares to be offered to holders of warrants
and convertible short term notes; and (5) 92,500 shares
for use in the company's stock option plan.
Proceeds—
For general corporate purposes, including reduction of
indebtedness, development Of a division, and mortgage
payments. Office—140 Hamilton St., New Haven, Conn.

•

_Fund

Underwriter—None,

St.; Vancouver, Wash. Underwriter—Frank Karasik
Co., Inc. Offering—Expected in April.
^

yyy,,'-.v.

—

holders

thereof.

Price-—To

the.

Union
Kahn

corporate purposes.
Office—New York City.
Under¬
writer—Myron A. Lomasney y& Co., New; York City.
Note
Last Sept. 25 the same underwriter offered to
quick oversubscription 100,000 shares of Nord common J

Feb.

North

Sept. 4 filed .576,405 shares of common capital stock, u V
be offered for
subscription by holders of outstanding

capital.

more
security dealers will .be offered
subscribed for at $2 per share. :

any
r-

Underwriter—To be determined by competitive bidding.
n

le™bldders:- Dean Witter

books); Blyth & Co.
i.

15.

& Co.

are

mainder

(to . handle the

fered

1960, at the rate
2% shares then held; rights

March 31,

amendment.
Office—120 West

Underwriter—W. C. Langley & Co., New York.

Inc.
notification) 85,714 shares of common
stock (par 40 cents). Price—-$3.50 per share. Proceeds
—For general corporate purposes. Office — Whitehead
Ave., South River, N. J. Underwriter—Arnold Malkan
& Co., Inc., New York, N. Y.;;
Jan. 18 (letter of

offered to warrant holders and the re¬
to be offered
publicly. Price—To be supplied

lfnch> Pittsburgh, Pa.,
Nu-Era Corp.

^ Pontiac Records, Inc.
•
Feb. 23 (letter of notification) 20,000 shares of class A
stock (par $1). Price—$5 per share. Proceeds—For gen¬

and New York City.

2nnnnrP file,d 275»°°0 shares of common stock, of
ClVreJ5° be Publicly offered. Price—$3.75 per

which
share,
toripc
reduce indebtedness and increase invent
S?L?f ge,ars. and mufflers. Office — 342 South St.,
-Mortimer a. journsiHp /r?' ^^Cbigan.
Underwriter—jviornmer B. Burn<~o., inc., on an "all or nothin
Thp
.c'' on an "a^ or nothing best efforts" basis.
$75 nil
uWriter
receive $15,000 for expenses, _
a
$ 75 per e^Writer. lvi11 revive $15,
,
share
CflmPjr.share selling commission on the 200,000 shares
selling commission on the
cha^nlSiolrll? PukHc offering, and the privilege of purshare
tJo shares of the common stock at $.10 per
to hp'ciij
shares thus far unaccounted for are
con«iwi?+•
^olm L* APPelbaum at $.10 per share in
Evnof^
n,of certain services rendered. Offering—
*

expected any
day.

Minerals,

Inc.

I ed 260,000 shares of common stock (par 38
loano'd5J Je^2 per share. Proceeds—To retire bank
tionfi Sr f?r investment purposes. Office—513 Interna-

corporate purposes.; Office—2

eral

view, N. Y. Underwriter—None.
,

Precision Transformer Corp.,
29 filed

Dec.

Wayland Rd., PlainI ; :
Chicago

$700,000 of 6V^% subordinated

convertible^

1970, with attached warrants to pur¬
chase 28,000 common shares; and warrants for the pur¬
debentures,
chase

due

be issued

125,000 common shares, which may

people;

150,000 common
shares. Prices—For the debentures, par; for the com¬
mon, the price will be supplied by amendment.
Pro¬
ceeds
For debt reduction, plant construction, and
equipment. Underwriter—John R. Boland & Co., Inc.,
New York City, who will work on a "best efforts" basis
and receive a commission of $120 per $1,000 debentures
company-connected

and

—

sold.

•

■

;

.■

:"'y;y,

art' New , Orleans. La. UnderwriterVod n^Ves^ent Co., Inc., New Orleans, La? The SEC
Feb 25
hearing was postponed from Jan. 23 to

Asset*

8 ?

Premium Acceptance Corp.
Feb.
mon

For

(letter of notification) 200,000 shares of com¬
(par $1). Price—$1.15 per share. Proceeds—
working capital. Office—212 S. Tryon Street, Char¬
17

stock

lotte, N. C. Underwriter—R. L.

Hoffman, Charlotte, N. C.

Professional Life & Casualty Co.

Feb>"?T,0UJr

-$2>000,000 of 6% convertible subordinated
common !!' ?ue March IV 1975, and 100,000 shares of
Princinai
^par
Prices—Debentures at 100% of
supniS umount' and Price of the common stock to be

Digitized for by amendment. Proceeds—For
FRASER

180,000 shares of common stock. Price—$10
share. Proceeds—For the company's insurance busi¬
ness
and expenses,, and working capital for the pro¬
curement of business., Office—720 N. Michigan Ave.,
Chicago, 111. Underwriter—Professional Casualty Agency
Co., Chicago, 111.

Jan. 29 filed

Va,et- Inc.

^bentiii

the

repayment

per

Underwriter—Merrill Lynch, Pierce; Fen-

& Smith Inc.

•

v/yyyyyy; /:/y-;y"i:

yy Puerto Rico

Industries, Inc.
48,500 shares of class A common stock,:'
(par $1), 200,000 shares of class B common stock (par $1> -

Oct.

filed

$388,000 of 6%

subordinated debentures, due July :
With the exception of 151,500 shares of „ lass B *
allocated to the organizers of the company at.

the securities are to be offered to the public in units ;
$4,000 of debentures, 500 class A shares, and 500 classy;
Price—$5,000 per unit. Proceeds—For invest¬
in

securities

the

of, its subsidiary, Puerto Rico
which will use the funds, esti¬

$600,000, as operating capital. Address—P. O.
622, Little Rock, Ark. Underwriter—None.

Pugct Park ■ Corp.
share.

edness.

(3/16)

•

VVr

-y

125,650 shares of common stock. Price—$6.50
Proceeds—To buy land and reduce indebt-

Office—Seattle, Wash. Underwriter—Hill, Dar- /
lington & Co., of Seattle and New York City. ;y>y/y.vY;V;,
,

Radiant

Lamp

Corp.

"-.n';;

:'„yry-.Ai

Feb., 10 filed

120,000 shares of class A stock. Price—$5 share. Proceeds — To repay a bank loan, and for
working capital. Office—300 Jelliff Ave., Newark, N. Jiy
per

„

Underwriter—Amos Treat &

fering-Expected in April!

■

Co., Inc., New York./ Of- /
y, :\V,:

.?• '/.■

•

Realty Equities Corp. ';; ■
■ >'ip.0^, ^
2 filed 150,000 shares of common stock.
Price—
$5.25 per share;
Proceeds—For general corporate pur- y
poses.
Office—New York City.
Underwrtter--Sutro;
Bros. & Co., also of New York City-. Offering—Expected
in March.
yy) yy
' '-y; .y
-

Feb.

••

Remco Industries,
18 filed
100,000

Inc.
outstanding shares of common;:
stock (par $2). Proceeds^—To selling stockholders. Office
—113 N. 13th St., NewarkV N. * Jy Underwriter—Paine, ■ ;
Webber, Jackson & Curtis, New York. Offering—Ex¬
Feb.

pected in late March.

v-/'-:';5V/'ryy :y

Reserve -Finance Corp.
Feb. 4 (letter of notification)

135,000 shares of common stock (par $1). Price—$2 per share. Proceeds—To oper¬
ate a finance business^ Officer-Suite 531 Guaranty Bank

Building, Denver, Colo. Underwriter
Stocks, Inc., Denver, Colo.

—

Life Insurance

•

^Ettenhouse Fund, Philadelphia, Pa./ ;
(by amendment) an additional 40,000 par¬
ticipating units in the Fund. Proceeds—Fdr investment:
Roulette

'y-'V-'-"

Records, Inc./'"

Aug. 27 filed 330,000 shares of common stock (one cent)^
of which

be of¬
record
of one new share for each
expire April 14i Price—To
Proceeds—For construction
Seventh Street, Plainfield;

Plastic & Fibers,

to be

outstanding shares of present holders. ;
by amendment. Proceeds— For;
Office—Caparra Heights, San Juan, •

Feb/26 filed

68,676 shares of common stock, to
for subscription by common stockholders of

N. J.

sL a?en^ Proceeds —For equipment and expan1 c^r-APollo/Pa- Underwriter—Moore, Leonard

cent<j

additional

purchase

College Park, Md.

19 Tiled

program.

Lynch, Pierce, Fenner

—Expected to be received

A Equipment Corp.
45,000 shares of common stock, of which

Pfainfield-Union Water Co.

be supplied by

N"c'ea/, Mate"a'8

4oon
,

and Merrill

^ointly)*

and

^ Pirelli Societa Per Azioni
ordinary shares. Depositary
Trust Co.
:
? ;

Feb.

Indiana Public Service Co. (315)
Jeb. 9 filed $15,000,000 in bonds of first mortgage bonds, r

Inc.

—The Chemical Bank New York
•-

shares not:

-V; r

?n March
tS1
on

indebtedness

pay

ner

Feb. 26 filed ADRs for 50,000

be used as working
Underwriter—One or

any, to

Office—Matthews, N. C.

Car Rental Service Co.,

(letter of notification) 60,000 shares of class A
stock (par $1). ' Price—$2 per share. Proceeds

writer—H. L. Smith Co.,

stock in the ratio of two new shares for each five share*
held. Price—$2 per share. Proceeds—To reduce indebt¬

balance, if

—

Volkswagen automobiles and for working capital. Office
—10810 E, Nolcrest Drive, Silver Spring, Md.
Under¬

CarolinaTelephone Co.

edness with the

common

;W-v,

—

Avenue,' Bala-Cynwyd; Pa. Underwriter—Heft,
& Infante, Inc., Rockville Centre, N. Y.

Pilot's

—

at $5 per share.. Offering—Imminent,

Office

ventory, advertising and working capital.

Proceeds—To buy outstanding, capital shares of
Television Utilities Corp., with the balance for general

Puerto Rico.

•

new

Photocopy &Business Equipment Co. •
■ w- and Sutro Bros. & Co., all of New York City. .y y
yy
36,400 shares of common stock, of which
Pidgeon (Walter) Steel Products, Inc.
3,500 shares are to be offered for the account of the
Feb. 9 (letter of notification) 75,000 shares of common
issuing company and 32,900 shares, representing out-v
stock (par. 10 cents).
Price—$4 per share; Proceeds—*
standing stock, are to.be offered for the account of the
For tooling and machinery of manufacturing plant; in¬

market.

being

Box No.

250,000 shares of common stock (par $1).
share. Proceeds—$115,000 for payment
full of outstanding 6% sinking fund debentures, plant

• Nord

expansion purposes.

per

Phillips Developments, Inc. (3/7-li)
Dec. 21 filed 400,000 shares of common stock (par $1).
Price—To be supplied by amendment.- Proceeds—For
property development, possible acquisitions, and work¬
ing capital. Office — 1111 West Foothill Blvd., Azusa,
Calif. Underwriters—Allen & Co., Bear, Stearns & Co.,

y y

(3/9);''

Inc.

Price—To be supplied

Jan. 6 filed

•

mated at

Corp-

Jan. 27 filed

present

balance

Meal Packing Co., Inc.,

equipment, and the balance to the
general fund. Office—777 So. Tripp Ave., Chicago, 111,
Underwriter—Stanley Heller & Co., of New York City.

Pueblo- Supermarkets,

New

Feb. 5 filed 200,000 shares common stock (no
par), 70,000
shares of which are to be offered for public sale, and the :

ment

per

renovation,

thereon; and sales in
made through Public Investing, Inc.

B shares.

filed

Price—$3

To be used to pay short-term hank
The company
estimates its 1960 construction program (including that
of its subsidiaries) will require $100,000,000. Underwriter
—To be determined by competitive bidding.: Probable
bidders: Halseyy Stuart
& Co. Inc.; The First Boston
Corp.; Morgan: Stanley & Co. Office—Syracuse, N Y.
r
Proceeds

Electronics

commissions

par,

writer—Warren Securities Corp;

Feb.

York will be

16 filed

Pentron

underwriting

1, 1971.

Royal Associates
$2,235,000 of limited partnership interests.
Price—$5,000 per unit. Office—New York City. Under¬
■

St., Miami, Flh. Underwriter—Sales

loans and related investment contracts in
Florida will be made by the company directly, with no

common

Park

Feb.

Office—36 N. E. 1st
of mortgage

and

;

filed

100,000 shares of class A common stock.
Price—$4.50 per share. Proceeds—For reduction of in¬
debtedness; for working capital; for establishment of
three additional stores; and to provide additional work¬
ing capital for a new subsidiary. Office^—1212 West 26th

incurred to meet construction costs.

loans

—

Pacific Panel Co.

Feb.

Niagara Mohawk Power Co. (3/29)
,y.y,
Feb. 29 filed $50,000,000 of general mortgage bonds, due
1990.

'Price

;

mortgage loans se- ;
by mortgages on real estate. Price—The contracts I
have no stated offering price apart from the
principal ;
amount of the mortgage loans to which they relate.
cured

Oxy-Catalyst, Inc.

IVV

Mortgage Co., Inc. of Florida
$4,500,000 of Investment Contracts relating

to the sale of whole first and second

Public

Feb. 18 filed

300,000 shares are to be publicly offered.. Price
—$3.50 per share. Proceeds—For general corporate pur¬

including moving to new quarters and installing
executive offices and sound studio facilities therein, ac¬

poses,

quiring technical equipment and machinery, and adding,
to
working capital.
Office — 659 10th Avenue, New
York.
Underwriter—Hilton Securities, Inc., 580 Fifth
Avenue, New York, formerly known as Chauncey, Walden, Harris & Freed at the same address, states that it
is no longer underwriting this
St.

Regis Paper Co. '
306,787 shares of its common stock, to be
offered in exchange for the outstanding shares of com¬
mon stock of The Creamery Package Manufacturing Co.
Feb.

26 filed

the

basis of 1.02

shares of St. Regis for each share

Creamery. Office—150 E. 42nd St.; New York City*.
Dealer-Managers—White, Weld & Co., and A. G. Becker
& Co., both of New York.y V; v-Vyy:/
:y/-"
•

San

Diagp Imperial^ C<irp.
$5,000,000 of subordinated convertible de-y
bentures, due Apr. 1, 1975, and 728,531 shares of common,
stock. Price—To be supplied by amendment. Proceeds*
—For the account of selling stockholders, 128,531 shares,
and for the company, 600,000 shares, to reduce indebted-'
ness and for investments Office—San Diego, Calif. Un¬
Feb. 24 filed

derwriters—White, Weld & Co., New York City, and J.
Hogle & Co., Salt Lake City, Utah.

ir Savannah Electric & Power €o.
187,950 shares of common stock (par $5).

March 2 filed

The company proposes to offer 87,950 shares of its com¬
mon stock to its stockholders on the basis of one new
share for each

held

of record

March 29,

1960. The offer will

expire on April 18. 100,000 of the
shares of common stock are presently outstanding, and
will be sold for the accounts of the holders thereof.
Price—To be
pay a
poses.

supplied by amendment. Proceeds—To re¬
portion of bank loans made for construction pur¬
Underwriters—The First Boston Corp. and Stone

& Webster Securities

Corp,, ,both of New York..

ir Seaboard Plywood & Lumber Corp.
$300,000 of 6Vz% subordinated debentures
and 30,000 shares of common stock, to be offered m
units, each unit consists of $500 principal amount of

Feb. 25 filed

Continued

on page

The Commercial and Financial Chronicle

(996)

Continued from page 39

if Southern Coach & Body Co., Inc.
(letter of notification) 31,030 shares of common
stock to be offered to a limited group of individuals
liying in the state of Alabama and the remainder; to Some
of the employees of the company. Price—At par ($5 per
share). Proceeds—For expansion, purchase of additional
machinery and equipment and working capital. Office—
Evergreen, Ala. Underwriter—None.
^

Price—To

stock.

common

be supplied by amendment. Proceeds—To retire a term
bank loan, and for working capital. Office—17 Bridge
St., Watertown, Mass. Underwriter—Peter Morgan &
Co., New York."
' "
" '"

Htcodt

Corp. (3/14)
Dec. 28 filed $1,500,000 of 6% convertible subordinated
debentures due July 1, 1965. The company proposes to
cffer $300,000 of the debentures in exchange for its
£% convertible notes due July 30, 1962; $587,000 in ex-:
change for its demand notes totaling $587,060; and thei
balance, or $613,000, to the public for cash. Office—555
Minnesota Street, San Francisco, Calif.
Underwriter—
No underwriting is involved; but the debentures offered
for

the cash sale will be sold

borough dealers who will receive

Security Mortgages, Inc.
$250,000 of 11-year sinking fund deben¬
tures and 62,500 shares of class A common stock (par 15
cents), to be offered in units of 1 debenture and 25 com¬
mon shares..Price—$100 per. unit. Proceeds—To invest
in equities and/or mortgages. Office — Denver 2, Colo.

promissory notes and 1,200,000 shares of common stock. The notes and 614,242
shares of the common stock are outstanding and may
be sold by the present holders thereof. The registration
includes 61,000 shares which are reserved by contract
for delivery in connection past acquisitions.
The re¬
maining 524,758 shares may be issued from time to time
in the acquisition of additional businesses. Office—1500
North Dayton St, Chcago, 111.

Seneca Gas & Oil Corp.
Dec. 24 filed 100,000 shares of common

stock

(par 10

Expected in mid-March.

76,600 shares of common stock, to be of¬
subscription by common stockholders at the

indebtedness; for the purchase of additional

Henry

St., Alexandria, Va.

■;

ma¬

for

common
snare

subscription

of record

for each 15

amendment.

loans.

holders

March

then held.

Proceeds—To

Office—Reno, Nev.

Sni* Viscoaa

the

Viae—a)

new

Price—To be supplied by,
applied to payment of

Underwriter—None.

ordinary shares. Depositary—Chemical Bank New York
Trust Co.v
:
: •; -r,.
.«

•.

.....

par).

JPrice—$5

share.

per

-r-

shares -of

common

P61" share. Proceeds
*
——..wwvw,

stock

To
iU

move
HIUVC

shares are to be issued and sold tor
company, and 4RfiOO shares, repreto

sold tor the accounts

JSS^^^r®ece*d!rT? retire 70% °* the common
■t^^autgtanding. at the date of the stock offering; to
stocks oi six

of the

company's

rcpay a bank loan of $6,^0,working, capital; to retire certain
iong-

fod^fodhttss^and

—2fWSouth East First

to develop ; citrus groves. Office
Street, Miami Fla. Underwriter

—Bear, Stearns drCo., New York.
Offering—Indefinite.

"5.

?£ •

Industries, inc. (3/13)
Pec.; 11 -Bled 210,000 shares of
class A stock.
machinery

and

Price—$5

pay off

add

bank loans, purchase
working capital
Office
42

^oadway

New Yprl^City.
Co., Int., of New York
City,

"best efforts

and food

sale

Avenue, New York City.
Lomasney, New York City. "4

^bu$iness; /Office—375
Underwfiter-^-Myron A.

if Texaco, Inc. V'
'"V s.^V-' 1
L.; "
Feb. 25 filed $61,610,000 of participations in the Em¬
ployees Savings Plan of Texaco,. Inc., and 820,782 shares
of Texaco stock wihich: may. be ^acquired to pursuant to
said plan. Office—135 East 42nd St./ New York City.
•^1 Thermal

Industries of Florida,

Feb. 26 filed
per

share.

120,000 shares of

Inc.?

-Price—$6
Proceeds; Td: be- a<foed/ to?the,:company's
Underwriter — • Peter/Morgan^Sc Co.,
common- stock.

general reserves.
'New York.;\

Tip Tap Freducte 45eT ^ ^ 11 filed $600,000 of first mortgage ''sinking fund
bonds, series B, due De<?ember;1969; f-With/iVarrants).
Warrants attached to eacb $l;009 borid-Will-eiititle hold¬
ers to purchase 20 sharek crf class A contmbn stock at an
initial price of $11 per share? Pride-^io6%' of' jpTincipal
Feb.

purposes.

amount.

Proceeds

—

Electric Co., Inc.; and
Neb. and The First

Trpf f LjiricplrC. ^b:::;

-if, Teel Beseancb &
.

pai^$4^0j0607 dud; to Western
Me ijal^w/ioifgeiwFal 'corporate

Uiidrtwriters^^Clirt

purposes.

common"-

fiu^eing^rp;2'

Feb. 24i filed 390J100
be. supplied by

portion of

icdmiri^>ldb<^^rtc^— 0
^
cash

amendrrientj^dceed^^.
recent- acq^isliitoris,< ^

Office—Beverly Hills,
Co., New: Yoric.

&
-

mmut inc^,
v •' •
Aug. 28 filed 300,000 sbares/:of k:lask;:A: cpnimoft. stock
(par 10 centk)% Price—$3 per share; Pfaeseedsr-To re¬
duce. indebtedness by -about $300:0(10/ ;with- Hie balance
to be added to
working cairftaf oL th^:cahipariy and its
subsidiaries. Dlfiee^r21ffi^3lasjt' Mailt
• Rockyille,
'

;.v±

Supronics Corp.
Jan. 29 filed 120,000 shares of common
stock.
Price
$0 per share.
Proceeds—$50,000 to reduce short-term,
bank loans, and the balance to be used
for general cor¬
porate purposes, including expanding the business.
Office—224 Washington Street, Perth
Amboy, N. J. Underwriters—Standard Securities
Corp., Herzig, Farber &
McKenna, and Irving Weiss & Co., all of New York
City
and
Bruno-Lenchner, Inc., Pittsburgh, Pa.
.*■ Surety Ufa- Insurance Ce.
"
Jan. 29 filed 10,000 shares of
common
To be supplied by amendment,.

sfon of the toisiness.

Lake City,
basis.

issuer's freezer

Park

stock... Price—

working capital. Office — 103 E. Main
St., Plainvllle
Conn. Underwriter — E. T. Andrews &
Co., Hartford.
Conn.
? '
•;

„

celling stockholders. Price—To be
supplied by

•

Sunair Ilcctronics, Inc.
(3/9)^ ?
//'''V-'?";''' :" Coon., Underwriters—To/^supblied^byaracndrnent.
Dee 28 'filed 200,000 shares of common stock
(par $J0)..
Price—$3.00 per share. 'Proceeds—For new
equipment
Feb., 16 (letter of notificatioit) :3,000: sbareS/of -common
construction, and working capital. Office U— Broward
stock? •Prtce~At par: ($10*
per' share); Proceeds'—For a
County International Airport, Ft. Lauderdale, Fla, Un¬
plant and equipment .^Ie^:
derwriter—Frank Karasik & Co.,
hnpmvementS, additional
Inc., of New York City.
trailers and freight, and
taperatiwg^C&pital. Off|ce-L-700 S
SufMrmarket Service, lnc.';';.;v'
7th Ave,, Sioux Falls,
Oct. 14 (letter of
?;
notification) 9,000 shares of common
TrmMwi Pfetroteunr ft
Development Corp.,
stock (no par). Price—$11.50
per share. Proceeds—For

'tor new'
IU
I1CW

acquire additional workingcapital;
expandproduetion facilities and for
operations; for
and
development; for test equipment and for
and "sales promotion.
Office—3050 W. 21st
Street, Brooklyn, N. Y.
Underwriter—George, O'Neill
New York, N.fY.
Offering—Imminent.

^ 2?®

'•••

£ \'"f
r<v
$1,000,000 of 6% subordinated debentures
April 1, 1975, and 106,000 shares of common
stock, 1

Ohio... i'".

(par 10

jlant facilities;, to
to

Tenax, Inc.. (3/»'^r;i
.ci
16 filed 150,000 shares! of common.'stock (par 10
cents). Price—$4 per share.; ProcCeds^rFor expansion
e-

$100 of debentures arid. 10 shares
Price—$100 per unit. Proceeds—To be
used in reorganization. Office—366
Fairview Ave., Bar-;
berton, Ohio. Underwriter—McDonald & Co., Cleveland '

short-term

TMctray Electronic Systems, Inc.^ " 7
"
27 filed 150,000 shares of class A common stock.
Price—$3 per share;
Proceeds—For general corporate
purposes.
Office—880 Borilfant Street; * Silver" Spring,
Md.
Underwriter—A. T. Brod & Co./ New York City.
Offering—Expected in
Marc^.^''-;r •r'UV;;;/ -.ft V-

to be offered in units erf
of common stock.

due

Pmceeda—For

\;orlqng capital. Offfiee—c/o -A*- M.^Hubman,
406P Con-'
over.Hoad, University Heights, Ohio. Underwriter—
<Zaither,& Co., Inc^ Cleveland, Ohio.
;
^
^•

Jan^22 ^ffled 195,000

to lease

Feb. 26 filed

To repay

Jan.

* Sun fVubbnr Ca.
common

—

Feb.

.Price—$1 per share; Praeeeds—
For mortgages, land,rpavmg
roads, loans payable; adverUsing, etc. Office—305 Morgan St., Tampa 2, Fla. Under¬
writer—Stanford Corp., Washington, D. C.
J '
^

notification) 50,006 shares of

sroclr (no

of¬

the
share for each share held. Price

development^ and the bal¬
purchase additional factory and office
space. Office—188 Webster St., North Toriawanda, N. Y.
Underwriter—C. E. Stoltz & Co;, New York.
•

;/v\;

June 8 (letter of
notification) 300,000 shares,of
dock (par one; cent),

★
Feb. 23 filed American Depositary Receipts for 50,000
eharesjof capital stock. Depositary-^Chemical Bank New
; Yorjt frost Co.;/p:^V?;?;:?/?

one

and to continue research arid
ance

;W' Staffing; Dovolopmont Corp. U/Pu) "

Selen Industries,1 Ino-:.
Jan; 20 (letter of

???'v

loan, for additional working capital, and to establish ex¬
panded executive sales arida manufacturing personnel

Offering—Expected
1:

common

St, North Tonawanda, N. Y.

Proceeds

—$28.75 per share.

Proceeds—For general
-Office —500 Northland Avenue,
Buffalo, N. Y? Underwriter—Shields & Co.; New York.

corporate

Depositary Receipts for 50,000

basis of six-tenths of

Hospital Insurance Association, Inc.

★ Stertlon Cory. :^
Feb. 19 filed 100,000 shares of
To be supplied by amendment.

•

■

-v??

•;

State

Office—188 Webster

Tayfor- Devices, Inc. ' (3/S) *
> > ' ??
Dec. 23 filed 18,705 shares of common stock to be
fered for subscription by common stockholders on

public. Rights expire Feb. 25, 1960. Price — To?
stockholders, $11.50 per share; to the public, $12:50 per
share.
Proceeds—For working capital. Office—106 W."
Church St;, Tarboro, N. C.
Underwriter—Powell & Co..'
Fayetteville, N. C.
■

(Nazionate Industrie Applkasoni

Feb. 23 filed American

and

•

to the

outstanding
of one

Co., Inc., Rochester, N. Y.

day.

inventions,

expand research and development work
liquid compressibility devices and other

Underwriter—C. E. Stoltz.& Co.,.New York.

Jan. 27 (letter of
notification) 12,750 shares of common
stock (no par) to be offered for
subscription by stock¬
holders of record Jan. 15, 1960 and unsubscribed
shares

stock, to be of¬

the basis

any

• Sisin Ptdflc Power
Co. (3/15)
Feb., 23 filed 49,714 shares of common

fered

Hunt &

Underwriter—

areas.

quarters, expansion and working capital. Office—
40 N. 2nd
Street, Philadelphia, Pa. Underwriters—First
City Securities, Inc., New York, N. Y. and Frank P.

working capital; to finance the inital payments on a
tract of land to be used for
possible plant construction,
and the balance for general
corporate purposes. Office—
822 North
None.

in the field of

new

to provide additional

a share for each share lield. Price
Proceeds—For working; capital and

additional patents on present

secure

to continue and

Corp.
■■
y;
Dec. 28 (letter of
notification) 300,000 shares of common
stock (par 25 cents).
Price—$1 per share. Proceeds—For

one new share for each five
shares held. Price—•
To be supplied by amendment Proceeds—To retire bank

chinery, equipment and facilities;

Stantex

lute of

note

;

(3/S) 7

ten-seventy-fifths of
—$28v75 per share.

tate of a selling stockholder.
Office—Bellwood, III. Un¬
derwriter—Hornblower & Weeks, New York. Offering—

if Servonics, Inc.

Tayco Developments, Inc.

Dec. 23 filed 5,390 shares of common stock lo be
offered
by common stockholders at the rate of

Feb. 17 filed 210,000 shares of common stock
(par $20).
Price—To be supplied by amendment. Proceeds—To es¬

Feb. 25 filed

442,700 shares of capital stock. Price—To

for subscription

Standard Screw Co.

cents).
Price—$3 per share.
Proceeds—For drilling.
Office—Erie, Pa. Underwriter—Edgar B. Hunt Co., New
York City. Offering—Imminent.

fered for

•

Spring St., Los Angeles, Calif. Underwriter—William R.
Staats & Co., Los
Angeles, Calif.

•

filed

York. '

proceeds to pay the costs and expenditures inci¬
dental to its operatons until such time as it has an in¬
come from its loans arid investments. Office—650 South

Underwriter—Hemphill, Noyes & Co.,
^'ry"; '>y:

co['

selling stock¬
holder, W. K. Rosenberry. Offtee W 950 Galindo St.
Concord, Calif. Underwriter—White, Weld & Co. New-

of the

Blvd., Los

Angeles, Calif.

Clegg

be supplied by amendment. Proceeds-^To

if Spring; Street Capital Co.
March 1 filed 3,000 shares of common stock (par $100)
to be offered in units of five shares at $1,000 per share.
Proceeds—For loans to and the purchase of securities
of certain business concerns. It may also use a
portion

Feb. 26 filed 250,832 shares of common stock. Price—
To be supplied by amendment. Proceeds — To
selling
stockholders. Office—3431 South La Cienaga

Hurd,

ic Systron-Wsnner Corp.
Feb.

March.

ir See's Candy Shops, Inc.

1, 1966. price—At face amount.
capital. Office— 610 S. Sixth St

Underwriter

Champaign, 111.
Champaign, 111.

Industries, Inc.-'
an aggregate of $13,500,0p0
of subordinated income debentures, due 1985, and com¬
mon stock,
to be offered in units of such debentures
and such common stock.
Price—To be -supplied by
amendment.
Proceeds—For working capital and the
construtcion of new plant.
Office — 444 First National
Bank Building, Phoenix, Ariz.
Underwriter—White,
Weld & Co., New York City. Offering—Expected in late

$526,000 of 4%

New York.

Proceeds—For working

..,

•*'

dinated notes due Jan.

South west Forest

^ Seeburg Corp.
Feb. 29 filed

-V.-,.

";: ''..

*x
-• ""
'
System Finance Co.
: • 1'
Dec. 15 (letter of notification) ; $250,000 of 6%
subor¬

Jan. 29 filed not to exceed

March.

Ventures, Inc.
^
Nov. 27 filed $2,006,000 of participations in Its I960 Oil
and Gas Exploration Program.
Price—$5,000 per unit,
with a minimum participation of $10,000. Proceeds—For
exploration. Office — 2802 Lexington, Houston, Texas.
Underwriter-~The participations will be offered by of¬
ficers of the company and by certain investment firms.

Nov. 30 filed

Underwriter—None.

•

Southland Oil

■

Co., New York, N. Y. Offering—Expected at the end

stock (par $1). ;
Price—$5 per share. Proceeds—For investment. Office
Greenville, S. C. Underwriter — Capital Securities
Corp., 121 So. Main Street, Greenville, So. Car., on a
"best efforts" basis, with a commission of 50 cents per

best efforts basis

$% commission.

■

—

.'V-

Sutton

stock

Southern Qrowth Industries, Inc.

share.

Thursday, March 3, 1960

Feb. 9

Nov. 12 filed 963,000 shares of common

Leasing Corp.
(letter of notification> 109,000 shares of, common
(pay 25 cents>.. Price—$3 per- share.^ Preceeds-^
For general corporate purposes.
Office—9 Rockefeller
Plaza, New York 20, N. Y. Underwriter—T. M. Kirscli

Feb. 15

debentures and 50 shares of

Salt Lake

Utah.

stock.

Price—

Proceeds—For expand
Office—1935 So. Main Street, Salt
UndCnvriter—J. A. Hogle & Co

City, Utah.

-k

W.)

at*

-ftftengum, Okie*
?:•;\
'*
March 20 (letter of
notification)^ 300;000 shares 'Of commen stock,
Prlee-^-At par ($1 bef ^^tfre)?' Prececds--

For development of oil properties; / Undcrvnitcr^rFirsi
Investment Planning Co^
Yirasbfngtoni D: -C. Vi;

;

Trmworid EipApment:
Corp. C.. ?.'«' / ■''> 'J: * i
Jan. 25 (letter of
notrfica^km) l5i8$2 shares of common
stock (par 10
cents). T*id^$2 per share. Proceeds-•

For

general corporate purposes. ),
k Wv 26th
-Street/.New York lr.N. m tUftdenireiie#^Mlchael Fieldman, 82 Beaver Street/ New York
Gity; vOffertng—Ex¬
pected in late March. 1
."■/?
*
:
^
-

•-

Tri-State Potraleum
Nov. 12 (letter of

■

Cerp.-^X^/-;

notificathori) i99fl00 shares of common
(par five cents). Price—$JM,per share, proceeds
—For. expenses for .drilling fand" producing
oil^vpWice
1403 G. Daniel Baldwir "
G,
"
^
Baldwin BJdg./.Erie, Pa.' ijnderwriter

stock

Daggett Securities Inc.
r.,
pected any day..
^

•*

Newark,/

N.? J> - (OfJfarin«-'Ex"

Number 5930

191

Volume

Commercial

and Financial Chronicle
The

'■

■/

share.

per,
i

i *

$1)

sl0CUhniders
s

of notification) 50,000 shares of

letter

/oar

FTici—^$2

/ hpid

shar!ti()ns
*

per

oi common stocky pf which
Sheldon Leighton, a

•jftOOO shares -are
ihiiclv

red to

oU i^ds

Yonkers,. N. Y.

—

(by amendment)

additional 2,000,000,

-y

////////;////.vy/,,

Feb. 8 it

vestment.,

•>•//

^' ./-'' >: /

■

V*';/-;

/•':'

Wyoming Nuclear Corp.

Universal-Cyclops Steel Corp., Bridgevitle, Pa.
March 1 filed 200,000 shares of common capital stock.
price__To be supplied by amendment. Proceeds—To be
added to the company's current funds. Underwriter—A,
G. Becker & Co., Inc., New York and Chicago.
///
• Universal Transistor Products Corp.
(3/8)
Dec
38 (letter of-notification) 150,000 shares of com¬
mon stock
(par 10 cents)A Price—$2 per share. Pro¬
ceeds
For ■'? general . corporate purposes. / Office —- 36
Sylvester Street, Westbury, I^X,N; Y.- Underwriters—
Michael G. Kletz & Co./Inc. and Amos Treat & Co., Inc.,
New York, N.- Y* i//>■ •~'j/.
///v//'. / /,/77/v/ '
i

Central Illinois 'Electric A Gas
Co.
was reported that
around July about
$10,000,000 of first
mortgage bonds will be filed. Underwriter—
To be determined
by competitive bidding. Probable bid*
ders: Halsey, Stuart & Co.
Inc./Kidder, Peabody & Co..
and White, Weld &
Co. (jointly); First Boston
Feb. 3 it

Corp.,
Co., Merrill Lynch, Pierce, Fenner & Smith Inc.
Webster Securities Corp.
(jointly).
; / '; " v
★ Cincinnati Gas A Electric

•

Yuba Consolidated
Industries, Inc. (3/15)
18 filed
$6,000,000 of convertible subordinated
debentures, due March, 1975; Price—To be supplied by
amendment. Proceeds—For
working capital / Office—1
Bush St., San

Francisco, Calif.

Co., Inc., San Francisco

Blair &

and Stone &

Marcdi 2 it

Underwriter—Blyth &

and New York.

■

Co.///

was

and

W. E. Hutton & Co.

and First Boston

Fenner &

Acoustica

Inc.; Morgan Stanley
(jointly); Blyth & Co.»

Corp. (jointly)';; Mefiill Lynch/
Pierce,

Smith Inc. and Lehman
Brothers (jointly);
Eastman Dillon, Union
Securities &. Co., and White,
Weld & Co.

Associates, Inc. ,f.

Feb. 5 it

reported that company is
contemplating
financing/ probably in the forni of bonds. Under! /
writer—To be determined by
competitve bidding. Prob¬
able bidders:
Halsey, Stuart & Co.

new

& Co.

Variable Annuity Ufa Insurance Co. of America

April 21 filed $4,000,000 of Variable Annuity Policies.
Price—No less than $120 a year for annual premium
contracts and no -less than $1,500 for single premium
conti«cts.
Proceeds—For investment, etc/ Office—1832
M Street, N. W.,;Washington, D. C.' Underwriter—None.

Feb.

—

thdt/A25,006jM)0

competitive bidding /Probable
bid^i^
& Co.
Inc.; Kidder; Peabody & Co. and 1.^
Pierce, Fenner & Smith Inc.
(jointly); W. C.
Co. and First Boston
Corp. (jointly); Kuhn, Loeb & Co. I
and
Equitable
Securities /Corp.
(jointly); Lehman
Brothers;-Blyth & Co./ Bidsr—Expected to be
receiyedbii
April'5 at 1P.00 a.m. Tnfomiatfcn
Meeting—Scheduled
for April 1 at 11:00
ami/";
?

Sept. 11 (letter of notification)
10,000,000 shares of com¬
mon stock. Price—At
par (three cents per share), Pro¬
ceeds—For mining expenses.
Office—Noble Hotel Bldg.,
Lander, Wyo. Underwriterr—C. A., Benson &
Co*, Inc.,
Pittsburgh, Pa.
""" .•/

reported

Skeet^Raleigh/fi/C/

of United Accumulative Fund. Proceeds—For in¬

Pbwer A Ugbt

was

mortgage bonds will

Underwriters-Investment /Brokers

$750,000,

£ Carolina

J., Inc., 844 Broad Street, Newark, N, J. ; r
J
t
Wynn Pharmacol Corp. v>>
Jan. 29 (letter of
notification) 4,380 shares of class B
common stock
(par 10 cents). Price—$2.50 per share.
Proceeds^Tp. go tp gellingstockholders? Office—5.05X
Lancaster Ave.,
Philadelphia, Pa. Underwriter—Charles
A. Taggart &
Co., Inc., Philadelphia.
;
:

For new equipment, advertising, and other
corporate purposes. Office—Orange, N. J. UnHrr«ritrr —Darius, fec,.New York City. , ;
.
.■
united Fund*, ,Inc., Kama* City, Mo. filed

California-Pacific Utilities; Co.
8
reported /to this newspaper by the First /
Calitornia Co/ that tiboey have been
discussing new Hinancing
this utility, to take place in the
first quar*/
ter of this
year, in the amount of approximately

promo¬

Pa.-

Under¬
Jenks, Kirkiand & Co.,

dpneral

ofi

equipment...'Office—-Myerkown,

Jan. 29 (letter of
stock (par $1). ;

at
per-share;and the remainder is to be
offered. Priee-^Td;be supplied by amendment.

director

Wilier Color Television ;
System, Inc.
notification) 86,403 shares of common
Price—$3rper ^hare. ;Proceeds—For %
general corporate
purposes.: Office—lSlOdell Avenue,

Inc.;1- Seattle, Wash;

United'.^ y
nor?
110000 .shares

March 2

Proceeds^-For general corporate: purposes,

writer—Hallowell, Sulzberger,
Philadelphia, Pa. /;/"/•;■/;/,'* -,

share. Proceeds—For mining

P. l^tt &.C

including the reduction of
indebtedness, sales;

tion,; and

office—511 Securities Bldg., Seattle, Wash.)

J^nd^erwriter—H.
1

common

to be offered first for subscription by
the basis of one new share for each eight

(997)

was reported that this
company will probably
(jointly). /•/;/] ///;;/; V;'/
v//v/;'
undetermined amount of common stock in April.
■/ \ Coffee
House, Inc., Lansing, Mich, v;l
Office—Glenwood Landing, L. I., N. Y." UnderwriterAug. 31 it was announced
Lehman Brothers of New York
company plans to issue and
Vernitron
City./";/,:,. :/, sell 100,000 shares
\/U'''////;• //v.-/. 'V:,
of-common stock (par 10 cents). Price
Feb. 2 (letter, of notification) 100,000 shares of common
/../'Alabama Power Co. '(^B7T>
—To be supplied
by amendment. Proceeds
To build
Dec. 9 it was announced that this
stock (par 10 cents)/',;'Priee-4/$3 * per share. Proceeds—
company plans regis¬
chain of coffee
houses, establish commissaries and for
tration with the Securities and
For general corporate purposes. Office—136 Church
Exchange Commission of
St.,
general corporate purposes. Office —
1500 Clifton Ave.,
New York, N. Y.
Underwriters—J/A. Winston & Co.,
$19,500,000 of 30-year first mortgage bonds. Underwriter
Lansing, Mich. Offering — Expected in
—To be determined
April; under¬
Inc.; Netherlands Securities Co., Inc. and V. K, Osborne
by competitive bidding. Probable
writer to be announced.
/
//
bidders: Halsey, Stuart & Co.
& Sons, Inc., 40 Exchange Place, all of New
York, N. Y.
Inc.; Morgan Stanley &
# Columbia
Gas: System Inc.' (5/S) /'// '''
Co.; Lehman Brothers; The First Boston Corp.; Blyth &
/
* Wallson Associates, Inc. ' - ;.
[
Feb. 24 it was
reported that this company plans to file
Co., Inc. and Kidder, Peabody & Co. (jointly); Eastman
Feb. 26 (letter of notification)* 75,000 shares of common
$25,000,000 of debentures sometime in April. Under¬
Dillon, Union Securities & Co.; Equitable Securities
stock (par 10 cents).
Price—$4 per share/ Proceeds—
writer— To
be
determined by competitive
Corp. and Drexel & Co. (jointly). Information Meeting
For general
bidding.
corporate-purposes. Office—912 Westfield
Probable bidders:
—Scheduled for April 4, 1960.
Halsey, Stuart & Co. Inc.; Merrill
Ave., Elizabeth, N. J.-; Underwriters—Russell & Saxe,
Bid&—Expected to be re¬
Lynch, Pierce, Fenner & Smith Inc.,5 and
ceived on April 7. Registration—Scheduled
and First Broad; Street
White, Weld
for March 4.
Corp., New York, N. Y. 1
& Co.
(jointly); Morgan Stanley & Co. Bids—Expected
★ American Fletcher National Bank & Trust Co.
Walnut Grove Products
Co., Inc. (3/7)
/ to be received on May 5./;
March 3 it was announced that the bank has called a
v/;/-//-/
Jan. 29 filed 300,000 shares of class A common stock
^
Commonwealth Edison
special meeting for March 17 to authorize 226,604 addi- >
(par $2), and $3,000,000 of 15-year 6*&% sinking fund
Co.////..';"/ ^/ .///;/;/:•/:
Feb. 9 it was reported that there
tional shares, of its stock which are to be offered to
is expected to bet
debentures, with warrants to purchase 50 class A com¬
about $30,000,000 of
holders of record March 16 at the rate of one new share
30-year first mortgage bonds filed,
mon shares with each
$1,000-debenture. Price—To be
probably within the next six months.
for each
three owned; rights will expire April 4. Pro¬
Underwriter-^
supplied by amendment. Proceeds—To repay bank bor¬
ceeds—To increase capital and surplus. Underwriters— / To be determined by competitive bidding.
Probable
rowings of $4,500,000 and replenish working capital.
bidders: Halsey, Stuart & Co.
Merrill Lynch, Pierce, Fenner & Smith Inc. and
Inc.; First Boston Corp.;
Paine,
Office—Atlantic, Iowa. "Underwriters—First Trust Co.,
Glore, Forgan & Co.;.
^///.// > ;/.•;.
Webber, Jackson & Curtis, both of New York; City Se¬
//.:>
Lincoln, Neb., and Criittenden, Podesta & Co., Chicago.
curities Corp., Collett &
Consolidated Research A Mfg. Corp.
Co., Inc. and Indianapolis Bond
Waters
""//-//■
Manufacturing, Inc. //
& Share Corp. all of
Dec. 16 it was reported that this
Indianapolis, Ind.
/
Jan. 29 (letter of
/:
firm, founded last
notification) -60,000 shares of common
August as a Delaware corporation, plans its first
stock (par
Applied Electronics Corp. ef New Jersey
pub¬
/ /
$1) of which 20,000 shares are to be offered
lic
Feb. 23 it was announced that the
financing in the form of a common stock offering
by Robert A. Waters, President and the balance
company expects to,
by the
scheduled for next spring. Business—The
register 200,000 shares of class A common stock, (par 10
company. Price—$5 per share/" Proceeds—For working
company/produes spray containers to combat
cents). Price—To be supplied by amendment. Proceeds
capital. Office—533 Boston /Post
ice, snow, and fog.
Road, Wayland, Mass.
Proeeeds—For expansion. Office—1184
—For the company's missile and
space program/ Office
Chapel St., New
Underwriter—Stroud & Co., Ind., Philadelphia, Pa.
—22 Center Street,
Haven, Conn. President—Marvin Botwick.
Metuchen, N. J. Underwriter—S. I>.
Wells Industries
7: '■'/"
Carp.'*"
Fuller & Co., New York, N. Y." Probable Offering—End
;■
Jan. 29 filed
Consumers-Bower Co. /
300,000 shares of common stock and war¬
of March.
rants for the
March 2 it was reported that this
•■/•;',/'// ,'
■ ■■
/.
purchase of an additional 100,000 shares.
company is planning
Price —To be
Arco .Electronics.
to raise new funds
J
/'■
supplied by amendment. ' Proceeds —
probably from the sale of first mort¬
:,j
March 2 it was reported that on or about March 15 this
$350,876 will be used to retire certain
gage bonds and debentures. Underwriter—To be deters
debts, with the
remainder to be used for
mined by competitive
company
is expected to file approximately $500,000
bidding. Probable bidders: Halsey,
construction, equipment, and
of common stock. Underwriter—Michael G. Kletz &
Stuart & Co. Inc.; Morgan
working capital. Office—6505 Wilshire
Co.,
Stanley & Co.; White, Weld
Boulevard, Los
& Co. and Shields & Co.
of New York City.
Angeles, Calif
Underwriter—A. T. Brod & Co., New
(jointly); First Boston
/;'////';'

file

—

York City.
t

Offering—Expected

late March.

West BranclvWelt Telephone Co.
U'd.28 filed
shares of common

and

$150,000

Bank of California ..(3/29)
10 it was announced that this

///'/

Feb.

($50 par)
debentures,

ize the sale of

due April
1, 1980, being offered to stockholders and
employees of-record Feb. 5 on the basis of
$500 of deben¬
tures for each 10
common shares
held; the stock is being

ottered
snares

the

basis

one

new

for

will

surplus.

each five

Calif..

Inc.

British

was

Feb. 10 it

that

registration

Feb.

Development Corp. of Florida

was

"reported that this company is

planning

about-three

four

weeks.;

' //■

3 it

reported that this Newark, N. J., corpora¬
make an announcement in the next two

that

future.

auditors

visited,/the

company

late

in the

////-'./.

★r Federal Paper Board Co., Inc.
Feb.

26 under

merger

agreement between this

com¬

Paper Co., Inc., of Rich¬
mond, Va., each share of Manchester's 300,000 shares of
outstanding stock is exchangeable for0.38 common
shares and 0,81 shares of 4.6% cumulative
preferred, $25
par, stock of Federal Paper Board. The conversion will
require issuance of 114,000 additional shares of Federal

Electric

was

might

Registration is still believed likely

near

announced that this company

was

Power Co.

common

stock and 243,000 shares of preferred stock,

reported that there might be some new
financing in the second^ quaver of this year, , p^qbably
In the form of bonds. Prdceeds^-For construction, un¬
derwriter — To be determined by competitive bidding.
was

York

pany and Manchester Board &

1977, with-warrants

p"rc^ase of 10,800 additional common shares at
prifS ,s^are- Price — For the debentures, 100% of

New

December.

Telephone Co.

"
aad $500,000

understood

imminent

will ask its
special March 10 meeting to vote a new
$12,000,000 issue of preferred. Proceeds—For acquisition
of shares in similarly engaged companies. Office—Van¬
couver, B. C.

reported

Columbia

stockholders at

(3/21-23) ~

common stock

Co.

concerning a forthcoming issue of common stock.
Although no confirmation has been forthcoming, it is

■

36,157 shares of common stock, to be exchanged for
the outstanding shares of Sierra Drawn Steel
Corp., Los
Angeles, on the basis ol 8/10 shares of Bliss for each of
Sierra's 45,197 shares. Office—Harvey, 111.

California

weeks

Laughlin, Inc.

tion

subordtnated debentureS,vdue

•//;'

Englehard Industries, Inc.

for

85,000.shares

peeted

Dec. 2 it

Jan.

anrl •?!borrowings aggregating $800,000 and the balOffi,Wlli^e,used to provide additional working capital,
deru^
Montgomery St., San Francisco, Calif. UnYork1
an WJtter & Co., San Francisco and New

fo-

tifllity/ ot R'apid City/, S/ tT.,

7,727' shares of common stock (pajr, $l)/.as. a
dividend to its present common'holders. No fractional shares will be issued, and stockholders will have

Bliss A

125,000 shares of common stock. Price—
cpn+\ suPPlie<i by amendment. Proceeds—To repay re-

Corp.
o/

"Regulation A" 150,000 shares of common
Price—Reported to be $2 per share. Underwriter
r-yT. lyL Kirscht.& Co. (managing underwriter); A. J.
Frederick Co; Inc. and Street & Cd./ Ifttf/ Ofterltfg-^Ex-

terests.

stock.

option of buying the, additional fractional interest re¬
quired to make full shares, or to sell their fractional in¬

Lynch, Pierce, /Fenner & Smith,
Inc., New York City.
★ Western
Utilities

of fir/

to file via

Power & Light Co.
announced that the Federal Power Com¬

was

:•/•

reported that this company is planning
sometime in the Spring. Office —
Beverly

Electronic

the

shares of capital stock, to be ofof outstanding shares
stock of record March
30. Price—To be supplied
y
amendment. Proceeds—For
general corporate pur¬
ring'
Los Angeles, Calif. Underwriter—Mer-

Jan^'^y^'Wonrtorlee,

■;'/:

Corp./;/.-* V/-r"/

was

Feb. 15 it

subscription by. holders

Corp...

;-V'

3 .it

financing
Hills, Calif. Underwriter—Bache
City and Beverly Hills, Calif. ;

issue

1 filed 200,000

'•//:/://"'/'"///:-"' "

Feb; H it

„

March 29

Underwriter—Blyth & Co., Inc., San Francisco,

mission has authorized this

6
such

shareholders of record

Feb.

Stock

one new

Black Hills

ployees.

Harriman, Ripley & Co. (jointly)./

Electrada

share for each five shares then held;
rights expire April 19. Proceeds—To increase capital and

ers, and. the

nf
i

256,930 additional shares of stock.

be offered

the rate of

held, with 1,000 shares being offered to stockhold¬

remaining 120 shares being offered to em¬
Initial conversion pricff
is$78" per
Prices
J or the debentures, , at *100% of principal amount;
or the
common, to. be supplied by., amendment., Proequipment and working capital. Office—31
T,?
in St., Muncy, Pa. Underwriter—Blair & Co.,
^c., New York
City.
"
•.
'
★ Western
Airlines, inc.
> /•'•-/

has called

special meeting of stockholders for March 29 to author¬

stock

of 5%, convertible subordinated

and

Bank

Probable bidders: Halsey, Stuart & Co.
Peabody & Go.j*a«d-Whfte7 4Veld^ 5r-Obr^

Inc., Kidder,
"-

■

Georgia PowerCo.

(it/3)
*
Dec. 9 it was announced that the
company plans regis- /
^ration of $12,000,000 of
80-year first mortgage bonda
With the SEC. 1 Underwriter
To be
determSned by
competitive biddings Probable bidders: Halsey, Stuart &

Go^riiMW

The
42

^ecl^rip®s
Se<^ri^v^r Sjj*
and Kidder,& £o.

Co. Inc.; Morgan Stanley &
Corp., and Eastman Dillon,

(jointly); Blyth & Co., Inc.,

Co ;
Union

^ f^mr(fp_

Feb. 8, have been

Middle South Utilities,

July 7.

Registration

—

(4/12)

Scheduled for June 3.„.
Haloid Xurox, Inc.
Feb. 18 it

•

Feb.

to under¬
take some new financing, and would probably do so
sometime between now and July.
Underwriter—First
Boston Corp. •
'■
"' ■"
; /'

National
Feb. 9 it

Hamilton Management Corp.

was reported that an undetermined amount of
non-voting common stock may possibly be registered
the week of Feb. 23. Offiee—Denver, Colo. Underwriter
—Kidder, Peabody & Co., New York City. Offering —
Expected in mid-March.

•

was

A-;

,>A.A

A A

announced

Fuel Gas Co.

was

Harvey Aluminum Co., Torrance, Calif.
was reported late last year that this firm—the old
Harvey Machine Co. — is planning its initial public
financing for the Spring. Underwriters—Kuhn, Loeb &
Co. (managing) and Tucker, Anthony & R. L. Day, both
of New York City.

'•

Hawaiian Telephone Co.
Aug. 3 it was reported company received approval from

filed

: /,. A'AA

AAA

■'

Feb. 12 it

was

March 24t

reported that

issue of convertible de¬

—Birmingham, Ala. Underwriter
Leach, Birmingham, Ala.
A-;'

—

•

■

Underwriter—Dillon, Read & Co., New York .City.

Sept 29\ it was announced that the company plans to
market twice in 1960 with the sale of first

York. /

•

sale of $6,000,000 of first mortgage
Underwriter—-To be determined by

eeeds—To

•

its 1960

bonds, due in 1990.
competitive bidding.

Utah Power
Feb.

was

Union Securities & Co. and Salomon Brothers & Hutzler
■

(jointly).■

•\. c., "jJj,

sition of radio stations. Business

Radio broadcasting.

—

Gffiaa—130 Shepard St., Lansing,
In New York, to be named.

Midi. Underwriter—

Iowa-Illinois Gas A Electric Co. (4/13)
Feb. 24 it was reported that this company will offer
$15,900,000 of 30 year first mortgage bonds. Price—To be
determined by competitive bidding. Probable bidders:

(jointly); Equitable Securities Corp.; First Boston Corp.;
Lynch, Pierce, Fenner & Smith Inc.; Eastman
Dillon, Union Securities & Co. and White, Weld & Co.
(jointly). Bids—To be received in July. J : V

Halsey, Stuart & Co. Inc., Lehman Brothers and Glore,
Forgan & Co. (jointly); Harriman Ripley & Co., East¬
man Dillon, Union Securities & Co. and
White, Weld &
Co. (jointly); Equitable Securities
Corp.; Blyth & Co.

at least

111.,

Feb. 24 it

•

Potomac

Feb.

18 it

Co.

Lynch,

;

and Stone & Webster Securities

common

A
v

stock.

registration

Prices—To be supplied

a^ounfed that this Oklahoma Cityffifff.S6!' "111? operates in the South and
west, expects to make

secondary distribution of

Corp. (jointly).

"•

.<•

Federal

Power

Commission

West Penn
wa3

Electric

Co.

(4/12)

common

reported that about $10,000,000 in

Wisconsin

Feb.

was

Underwriters—To be

Electric

reported

Power

Co.

plannin

that this company is

$25,000,000 in new financing, probably in the forr
bonds, for sometime on 1960. Underwriter—To be d
termined by Competitive bidding.
Probable bidden
Halsey, Stuart & Co. Inc.; Merrill Lynch, Pierce, ten
ner & Smith and
Equitable Securities Corp. (jointly,
Glore, Forgan & Co. and Eastman Dillon, Union Secu
rities & Co. and Harriman Ripley & Co. (jointly); FirBoston Corp.; Lehman * Brothers and Salomon - Bros. <
Hutzler (jointly),
• - »*J
- V
* : J
'
of

was

the

bidders: Halsey, Stuart & Co. Inc.;; Salomon
Hutzler; White, Weld & Co.; Eastman Dillon,

about

Puget Sound Power A Light Co.

change Place, New York City. •

''S

•

undetermined

Jan.

Philadelphia Corp., 40 Ex¬
•

- -

determined oy
competitive bidding.' Probable bidders: Carl M. Loeb,
Rhoades & Co.; W. C., Langley & Co. and First Boston
Corp. (jointly); Lehman Brothers and Goldman, Sachs
& Co. (jointly). Bids—To be received April 12.

reported that this company is planning
type of financing of approximately ~
$85,000,000, sometime this year. [Underwriter—Merrill '
Lynch, Pierce, Fenner & Smith Inc.

or,the exPansion of manuOffice — Maspeth, Queens, L. I.

ahare for each 15 shares

\ .r,A'v, A A; AV-' A ; A

stock will be filed.

Public Service Electric A Gee Co.

$175,000 of convertible debentures and

55,000 shares of

new

Securities & Co.; Stone & Webster Securities
Bids—Expected to be received on Sept. 13.

Feb. 5 it

undeter¬

Brothers and Eastman Dillon & Union Securities & Co. ~

March

(jointly); Kidder, Peabody & Co. and Merrill ;
Pierce, Fenner & Smith (jointly); Lehman-

Feb, 24

that

reported that there will be

bidding. Probable bidders: Halsey, Stuart & Co. Inc.; First
Corp.; Dillon, Read & Co. and Johnston, Lemon

Petrochemicals, Inc.
reported

•

Electric Power Co.

was

Corp.

Boston

Corp.; W. C. Langley & Co.; F. S. Mose-

was

$43 per. share.'
Phoenix," Ariz.;•■ 77

Union

mined amount of debt financing by this utility sometime
in 1960. Underwriter—To be determined by competitive

(jointly).
it

one

rights expire April 8. Price—
Proceeds —For expansion.
Office,

Bros.

(5/24)

Co.; Bioren & Co.; DeHaven & Townsend, Crouter &
Bodine; Greene, Ellis & Anderson, and Steele & Co.

the basis tof

Probable

Co., Merrill Lynch, Pierce, Fenner & Smith Inc. and *
White, Weld & Co. (jointly); First Boston Corp.; Harri- *
man Ripley & Co. and Blyth & Co.
(jointly); Equitable
Securities Corp.
*
;

Jey &£P'j Reynolds & Co.; Shearson, Hammill & Co.;
?e?.n ^!ter & c° f First Boston Corp.; Wood, Struthers
&

Jan.

ex- -

Eastman Dillon, Union Securities & Co. (man¬
aging the books), Salomon Bros. & Hutzler, and Merrill
Lynch, Pierce, Fenner & Smith (jointly); Stone & Web¬

Kenrich

Kidder, Peabody & Co., Eastman Dillon, Union Securities

bidders:

$25,000,000

offer

ster Securities

Co.; (jointly); Lehman Bro?.; Bear, Stearns "& Co. i

held of record torch 11;

AA/LA

reported that in May this utility is

the end of this

Virginia Electric A Power Co. (8/23)'
v
'
pected to seU $11,000,000 of first mortgage bonds, due 1
in 1990. Underwriter—To be determined by competitive *
I Feb. 5 it was reported that approximately
first mortgage bonds will be offered for sale. Under¬
bidding.
Probable bidders: Halsey, Stuart & Co. Inc.;
writers— To -be determined by competitive bidding.

May 24 this utility is
$7,000,000 of first mortgage bonds.
Price—To be supplied by competitive
bidding. Probable

planning

was

reported " that: toward

Feb. 18 it was.reported that-the bank, will offer share¬
holders rights to .purchase; 139,986: ^additional common

Pennsylvania Electric Co.

AAA

ALi^^Co-AAA A

Valley National Batik

$20,000,000 of unsecured promissory notes, to
mature on or prior to July 31,1961. The notes wiU be
issued to finance part of the issuer's 1960-61 construc¬
tion expenditures, which are expected to total about
$61,000,000. Office—Portland, Ore.
; >

April 13.

• Jersey Central Power A Light Co.
Feb. 18 it was reported that on

retire

Bids—To be received up to 10:30 a.m. (CST) in
Chicago,

Light Co.

was announced that the company plans to issue
$20,000,000 of securities, the date and form of
which will be announced at a later date.;;Proceeds—To

Jan. 29 it

•

was

year

Merrill

Pacific Power A

lndapendent Radio, Inc., Lansing, Mich.
Aug. 31 it was announced company plans to issue and
sell 100,090abases of common stock (par 10 cents). Price
To be supplied by amendment. Proceeds—For acqui¬
v

there is expected to be some financing by this
company of about $25 million bf bonds and common
stock. Underwriier—^To he determined by competitive
bidding. Probable bidders: Halsey^ Stuart & Co. "Inc.;
Blyth & Co. and First Boston-Corp^ (jointly); White,
Weld & Co.; Stone & Webster Securities Corp. (jointly);
Salomon Bros. & Hutzler; Kidder, Peaty>dy & Co.; East¬
man Dillon, Union Securities & Co. and Smith Barney

Blyth 8c Co. and Lazard Freres & Co. and First Boston
Corp. (jointly); Lehman Brothers and Eastman Dillon,

bonds, and common and preferred stock. Pforaise permanent funds tor the financing of
expansion program. Office—Houston, Texas.

mortgage
'

reported that this company expects to
Probable bidders: Halsey, Stuart 8c Co. Inc.; Kuhn, Loeb
raise about $35,060JXX) from the sale of an undetermined
A 8c Co., Lehman Brothers and Salomon Bros. & Hutzler
/, type of security sometime in 1960. Probable groups:
I

Transcontinental Gas Pipe Line Corp.

.the remaining 34%. bal¬

New Jersey Power A Light Company ,> , A ■
y
Feb. 17 it was reported that this utility is planning the

Sterne, Agee &

$30,000,009, sometime in the second quarter of the year.

reported that, the company is contem¬

Underwriter—Van Alstyne, Noel & Co., New

"•/•'•• Meuefcen Lighting; A flower Co. i/.A
it

was

reported that this company plans the sale
the amount of approximately

was

securities in

senior

will be sold for the account of a selling stockholder A come to

ance

bentures is contemplated in the next few months. Office

Feb. ; 18

for the company's account and

Hum Aircraft Corp.

;

Texas Eastern Transmission Co.

plating the placing in registration of 17,000 shares of
common stock.
About 66% of the issue will be sold

placed
A v. A A-

announced that,

thorization from

A-

Nov.

privately.

Authority (7/L)rl
pursuant to August, 1959, au¬
Congress to have $750^000,000 of revenue bonds outstanding at any one time, it plans its first
public offering, expected to be about $50,000,000, for
July 1,1960. Probable bidders: First Boston Corp. (managing), Salomon Bros. & Hutzler; Eastman Dillon, Union
Securities & Co., and Lazard Freres^ & (Co. Power Financing Officer: G. O. Wessenauer.
Tennessee Valley

Jan. 20

100,000 shares of common stock (par 10 cents).
be supplied by amendment.
Proceeds—For

the Territorial Public Utilities Commission to issue about
were

recent

tional permanent

$4,500,000 of

Last bond issues

financing

offering, that it contemplates some addi¬
financing in 1960. The exact nature
and amount of this financing has not been determined
but the company presently believes it will take the form
of senior securities.AA
yA V
*? '

most

Lansing, Mich.

new

Tampa Electric Company
A-CAA-..A A
company's prospectus of its

announced company plans to register an

Nedick's Stores, Inc.;

A'-'AA4-.,

that $11,000J)00 in

Feb. 2 it was stated in this

expansion and working capital. Office—130 Shepard St.,
Lansing, Mich. Underwriter—To be named later in New
York State.. AAA A '.AA'AAA AA A A AAAAaAA A"
\

(jointly);

for the late Spring of this year, of ah undetermined type.- Underwriters
A. C. Allyn & Co., and
Snow, Sweeney & Co., both of New York City.

Price—To

; v;

O-J--.

is planned

issue of

;

and

Feb: 5 it Was reported

reported that there is expected to be

was

/\M

Southern Union Gas Co.'
:

A; AA-

AAA.

(4/11)

National Mail Order Co.,

.Securities. & Co.; Equitable Secu¬
Drexel & Co. (jointly);. The First
Boston Corp. Information Meeting—Scheduled for May
31, 1960. Bid«h—Expected to be received on June 2.
Registration—Scheduled for April 29.

Registration—Scheduled for March 2.

Oct. 5

the company plans to

that

Underwriter — To. be determined by
Probable bidders: Halsey,til.J
Stuart
TJi
tTrt-Kkv*

rities Uorp.,

V.'A

T«

Eastman Dillon, Union

•

Corp.; First Boston Corp. Information Meeting—April
7, at 11:00 am. Bids—Expected to be received on April
11.

;

by competi¬

•;

Generating Co. (8/2) A
that this company plans regis¬
SEC of $40,000,000 of 30-year first

-competitive bidding.

$18,000,000 of debentures. Underwriter—To be deter¬
mined by competitive bidding. Probable bidders: Halsey,
Stuart & Co. Inc.; White, Weld & Co.; Eastman Dillon,
Union Securities & Co.; Stone & Webster Securities

Feb. 3 it

bonds.

program.

tration with- the
.r mortgage bonds.

sell, following the purchase of the Chris-Craft stock, ap¬
proximately 200,000 ^shares of its capital stock to the
public for cash, subject to market conditions. Proceeds
—To finance the acquisition. Office—Oakland 4, Calif.

the time of its stock split that it would need

new

construction

Dec. 9 it was announced

reported

was

* Nafi Corp.

7. Registration —
A AAA'.
i A; 'A

♦

competitive bidding. Probable bidders: Halsey, Stuart
Co. Inc.; First Boston Corp; and Morgan Stanley & Co.,
aU of New York City. Bids—To be received on April 12.

reported that this company indicated at

was

cur¬

Previous issues have been
placed privately. Note—On Dec. 31 Mr.' McMeekin told
this newspaper he does not khoW whether the bonds
-will be placed privately.
He expects them to be sold
this summer; the precise timing wiH be subject to mar*^ket-:conditions.
;s
'A AAA/-! 'A
A"
•

that $40,000,000 of debentures
will be offered. Underwriters — To be determined by

Feb.

Union Securities & Co., and Salomon Bros. &
(jointly); Equitable Securities Corp.; Kidder,
Peabody & Co., and White, Weld A Co. (jointly). In¬
formation Meeting—Scheduled for July 5, 1960. Bids—

July

■

Proceeds-^-To repay bank logns incurred for

1959.

rent

Hutzler

Southern Electric

A Telegraph Co.

Mountain States Telephone

lon,

received

expend¬

A ;

companies. Underwriter—To be determined
tive bidding. .V ';
v-.wr
-•■;*• v.v.

(7/7)
Dec. 9 it was announced that the company plans regis¬
tration of 50,000 shares of preferred stock (par $100).
Underwriter—To be determined by competitive bidding.
Probable bidders: Harriman Ripley & Co.; Eastman Dil¬

Board of Directors authorized the
filing-with-the Securities and Exchange Commission of
a
registration.. statement for the issuance and sale
through competitive bidding of 650,000 shares of common
stock. Proceeds—Primarily for investment in operating

Gulf Power Co.

Inc.

& Co.,

,Feb. 16 the company's

(jointly); Eastman Dillon, Union Securities & Co. In¬
formation Meeting—Scheduled for July 5, I960. Bids—
on

agreement,

•

Office—High Point, N. C. Underwriter—Bache
New York City and Charlotte, N. C.
/

petitive bidding. Probable bidders: Halsey, Stuart & Co.
Inc.; The First Boston Corp.; Equitable Securities Corp.;
Kidder, Peabody & Co., and White, Weld & Co. (joint¬
ly); Blyth & Co., Inc.; Merrill Lynch, Pierce, Fenner &
Smith Inc.; Salomon Bros. & Hutzler, and Drexel & Co.

Expected to be received
Scheduled for June 3.

that the 200,000 shares

reported that shareholders of Adams-MiUis -Corp. and
its partially-owned subsidiary Mac Panel, will vote on
March 23 on a plan to exchange three shares of AdamsMiUis common for four- shares of Mac Panel common.

(7/7)

of com¬
the week of
indefinitely postponed. Note—It was

credit

temporary financing for future
• A""
A' v'/•''v" .*•'
South Carolina Eloctric A Gas Co.
7 '
June 22, S. C. McMeekin, President, announced plant
to sell approximately $8,000,000 of bonds In December

expected to be filed

stock that were

mon

-itt '.wM announced that the company plans regis-

Thursday, March 3, i960

itures, and to provide
construction.v

Mac Panel Go.
Feb. 15 it was reported

iratiptt with the SEC of $5,000,000 first mortgage 30Undwwrfter-To be determined by,^com-

Expected

. . .

the issuer's treasury for- construction

imburse

fering—Expected wthin two weeks.

(jototiy); The First Boston Corp. Registration—Sched¬
uled for Sept. 26.
Bids-Expected to be received on
Nov. 3. Information Meeting—Scheduled for Oct. 31.

under

standing

stock. Proceeds—To sell¬
ing stockholder. Underwriters—F. Eberstadt & Co., New
York, and ShiUinglaw, Bolger & Co., Chicago, IU. Of¬
175,100 shares of its common

Continued from page 41

Chronicle

Commercial and Financial

(998)

announced

they had authorized 4he Seattle, Wash., utility to issue
up to $25,000,000 in unsecured promissory notes, out¬
standing at any one time, to be issued in varying
amounts beginning Feb. 1, all such notes to mature July
31,1961. The interest will be equal to the prime rate for
New York City commercial bank loans at the time of
the borrowings. Proceeds—To discharge all notes out¬

• Wisconsin Telephone Co..
-,
March 2 it was reported that this company
sale

$20,000,000 of debentures.,
by competitive Lidding. Probable
Halsey, Stuart & Co. Inc.;. First Boston Corp.;

determined

Stanley & Co.

•

^lans tne
Underwriter—To be

bidders-

Morgan

.My''v.
Volume

Number 5930

191

The Commercial and

Financial Chronicle
f-'V'

■*

Selections during a -Period of In¬
flation"

and

804

summary of advice
stocks — $5.00 ~

major

Value Line Investment
Survey,
Dept. CFC-il, Value Line Survey
Building, 5 East 44th St., New

York 17,

N.: Y.

U. S. Government
Printing Office,
^Washington 25, D. C. (paper), 200.
Promise

Chamber

Economic

Growth—*-■

Commerce I of

the

United States,

J (paper),

Washington, D. C.
(quantity prices on

k ate h^e

a s

search ,Institute

Full. Rqport
itqport
M a -$cpt ql
per
Industrial Development
;

Growth—Digest of the complete

available

economic report on Saskatchewan

copy

compiled

Office, Regina, Sask., Canada.

the

Stanford

Re-

—

DIVIDEND NOTICES

request).

Prospects for

wa n

(999)

DIVIDEND NOTICES

Peace .and

-Rriendshlpin Freedom: Railroad
Safety—Report of Sec¬
President «Eisenhower's Visit to tion of Railroad
Safety, Bureau of
11 Countries in
Europe, Asia .and
^Safety and Service, to the Inter¬
Africa—Superintendent of
Docu¬

Special subscription
JJpfer including Petroleum Edi¬
tion of
Value Uine Survey re¬
porting on major-petrole .mo, na¬
tural gas and eoal-stocks, iwith
mathematically derived "rankings
for probable performance in next
12 months plus <etudy ^Security
011

Stocks

Commerce
Commission—
ments, U. S; Government Printing state
Office,
Washington
25, -tD,
C. Superintendent of Documents,
(paper), 25 cents.
; r;
U. S.

—

Potential Economic Growth in the
United States—James W. Knowles
and

Charles

Warden,

Superintendent

DIVIDEND

-of

DIVIDEND NOTICES

Jr.—

The

Board -of

Cerro

dend

(25.0)

.^Y: ttSNth Con**cut

Directors

;;/Quartoriy Dividend
dividend of

payable

W6Q, do .-stockholders of record .at the
I960."

4/3

clowrof buslneu February J29,

March 31, I960, to

ba> 4«clar«d

Director*

25 cants per *har« an -the

Kh020,000 thare* «f the Company'*
capital .-etoek aotstandtnjj -ond entitled
to Mceive^dlvixieiHh. payabie March hS,

rtiwentydive
cents
share on the Com¬

rper

Boar4-of

"Tho

Stock of the Corporation,

mon

-i

SULPHUR

dePasco

....

;

Corporation
at a meeting held on March
1, I960, declared a -cash divi¬

.Documents,

NOTICES

Pasco

OOttPQRAMON

Cash Dividend "38a. 1H9

Government Printing Office,

Washington,25,.D. C. (paper), 150.

Cerro

E. F. VANDERStOCKEN,;JR.;' /^
'•
Secretary.
.

COMMERCIAL SOLVENTS
Cofporation
DIVIDEND

stockholders
March 22,

-record

I960.
Michael D. David

NO.

101

Secretary
300 Park Avenue

A dividend of ten cents

BANK NOTE

has

(1Q<)

per

today sheen declared

the

outstanding

this

Corporation, payable

March

31, I960, to stockholders of-record
at The

business

ort

stock

common

^New Ybrk 22,N. Y.

.'March

(Incorporated)

LONG ISLAND LIMITING COMPANY

Quarterly Dividend

4, I960.

Preferred Dividend No. 216

BERGEN

Common Dividend No. 206
February 23, 1960.
A

quarterly dividend of 75(

(1 lA%)

per

Secretary.

PER

PREFERRED 6TOCK

payable April 1,

are

Canada Dry Corporation
DIVIDEND

regular.quarterly
dividend of $1.0625 per-share on

the

The

Board of Directors has declared
dividend
,

|^5 p«rjhar«

^;
an

;

of .business

close of

business

March

stockholders

11, 1960.

quarterly

of record

closeof business

Wm. E. Thompson
Secretary

BENEFICIAl

S., Canada and England

I FINANCE I

1960

March

divi-

West Penn Bower

Series D,

4.25%

$1.0625

Series ;E,

4.35%

$1.0875

Series F,

4.65%

$1:0875

Series G,

4.40%

$1.10

.VINCENT T. MILES
V

Treasurer

...

February 24, 1960

the

March 14,1960.
not be

closed.

ELECTRIC

Checks will be mailed.

J. W.JReilly, Wee Pres. & Secy.

;;

NATIONAL UNION

BOND AND SHARE
FIRE INSURANCE

1,1960

COMPANY

SYSTBM

New

'(H1MPANY^

York, N. Y.

Pf PITTSBURGH, PA.

Notice of Dividend
152 N«

ANACQNDA

DIVIDEND
A

quarterly dividend of $0.65
per share in cash has been
declared

•

the

The Board of Directors of

payable April

1,-1960, to stockholders of
record at the close of business
March 10, 1960. The transfer

has today declared a dividend
of

Cents

Fifty

its

the par

($.50)

value of $50

books will not close. Checks

C O RP OB. AT JO N

will be mailed.

the

stockholders

of record
on

record

pany

Stock, payable

the close of business

DECLARATION

The Board of Directors of this

March 9, I960.

per

today declared

dend of
:

the

com¬

cash divi¬

Fifty Cents (504)

capital stock. This cash divi¬

dend will
to

4>e*paid March '28,'1960

stockholders of

record ^it

the

B. M.
;

31, ;1960,

March 30, I960, to shareowners

share,

per

(30^)

the Common

capital stock of

payable March

FINANCIAL

COMPANY

ANACONDA

THE

quarterly dividend

of thirty cents
on

Common

Stock of C. I. T. Financial

Corporation,

February 25, 1960

■

"153rt DIVIDEND

The Board of Directors has

declared

207

NO.

DIVIDEND

Company

$1.25

jiend of $0,25 per share on the Com¬
mon Stock, jpayable April 1, 1960

"Transfer books will
Over 1,200 offices in

The Potomac Edison (Company

Per Share

B,'5%

March 14, 1960.

$toek—A

Cematofl

•

payable March 31, .1960 to stockholders of record
at

Preferred

Series

Monongahela tP.outer Company

March 7, J960.

ness on

March

WEST PENN :ELECTRIC SYSTEM

the close of busi¬

stockholders of record at the close

Common •Stock

Cumulative

Stock, -payable -April

quarterly

$4.25

holders of Preferred Stock

of record

Series

Preferred Stack—A

cash

I960
I960

NOTICE

The following dividends have been
declared by theBoard o{Directors:

11,

Declared March 2,

Secretary.and .Treasurer

123rri ia)NSICUIiVE QUARTERLY CASH DIVIDEND

Payable 'March 31, I960
Record

following quarterly
dividends payable April 1,1960

Louis T. Hindenlano
*

•

clared the

fer books will remain open.

The Board of Directors has de¬

1960 to holders of record March 7,1960. The stock trans¬

February,24, I960 /<•

.v,,-.

PIVIDEND

Preferred Stock for the quarter ending March 31,1960
and a dividend of 30^ per share on ;the Common )Stock
have ibeen declared. Both dividends

oetbt

COMMON STOCK

QUARTERLY

the

close of business .March

Betsch,

7, <1960.

Secretary and Treasurer

February 25, I960.

Treasurer

at
March I, 19A0

John Kuhn,

March 7,

business

1960.

Treasurer

SCHNEIDER

Secretary and Treasurer

February 25, I960.
25

Broadway, New »York 4, N. Y.

Pidlmcm

INTERNATIONAL

SHOE

CONTINENTAL

COMPANY

BAKING

Preferred Dividend No. 85

St. Look

IBORG*:

The Board of Directors has declared this
day

a quarterly dividend
$1.37'/2 Per share on the outstanding $5.50 dividend Preferred
Stock, payable April 1; 1960, to stockholders of record at the close

COMPANY

aMPHENOL

of business March

11, 1960.

The Board of Directors
has declared this day a regular quarterly
dividend* for the first quarter of the year 1960, of 55^ per share
on
the
outstanding Common Stock, payable April 1, 1960, to

holders

stock

March

record

such

the close of business

DIVIDEND NOTICE

The stock transfer books will
not

WILLIAM FISHER

I:
ft",.,.

February .25, 1960

a meet¬

Amphenol-Borg Electronics Cor¬
poration held today
dividend

(35tf)

per

quarterly

thirty-five
was

stockholders

cents

declared

record

to
at

Fred G.

quarterly dividend of 450

one

March 14, 1960,

stockholders of record

March 1, 1960.
CHAMP CARRY

April 1,1960
record at the

payable

President

business

the

Board of Directors.

was

March

declared

11,

by the

ROBERT O. -MONMG
Vico-Praadont and Traawrar

Division and Subsidiaries:
Pullman-Standard division
The M. W.

Kellogg Company

Trailmobilo Inc.
TraUmobile Finance

Company

Swindell-Dressier Corporation

T»BA8U*r.R

February 23,1960

per

»o stockholders of

1960,

Pace, Secretary

quarterly-dividend of

dollar ($1:00) per share will
be paid

Common Stock

the

close of business March 16,1960.

be closed.

CONSECUTIVE DIVIDEND

ing of the Board of Directors of

payable March 30, 1960,

11, I960.

Quarterly Cash Dividends

1WTH

Broadview, Illinois—At

Common Dividend Ho. 60

—395th Dividend—
94th Consecutive Year of

Fabruary 23,1960

Transport Leasing Company

y *

{

The

Financial Chronicle vr^ Tbtoday^ March 3, I960

Commercial and

(1000)

Eisenhower
;

preferred,

heW
with the

Re!

he threw his lot

publicans to beat Senator Roh*
ert A. Taft, of Ohio, a son of a
President, for the nomination
.•V'

Tn
„

interpretations

behind-the-scenrs

than
and

Mrs

Eisenhower will be moving nni

nation's capital

from the

little

months,,' President
of

White

the

House

forever

Then the 35th

President of the
United States will move in with

largest in the
South, declared flatly and pub¬
licly that he wanted no part of
the Senate majority leader. Mr.

trict, one of the

continues,

than they do for a Scala¬
wag," said the Mississippi Con¬

Clayton Powell,

gates

The tall Texan's strategy may

civil
have

West

Southern Senate

out
people

aspirant, Senator Estes Kefauver of Tennessee, joined socalled liberal forces four years

While the likeable Sen¬
ator did a good job of selling
himself to people in the North,

ago.

Stock Market Transaction*
call option, risk limited
of the option (maybe ft tew

wound up

unlimited

the

Symington had a grandfather to
fight in the Confederate Army.
Next to Senator Kennedy, he is
the wealthiest man running for
like

Perhaps

book

enson

ver

growing belief within the party
that he could hold the South,
Labor and the Negro vote to¬

of the

fh'5 ".-7

by. HEBBEXT ITnLEJt„
/
tbe subject.

#1 authority on

Thousands of

■J

and

"buy"

■*t ing to outdo each other in an
; effort. to
capture the liberal
voting blocs in this country be- ;

"sen"
know
its for

___

and also can protect
unrealised
"papek" profits on the stocks they own.
This book shows how they do It Mid
bow you too can make maximum profits
on minimum investment.
It shows also
how you can sell options on your own
stock to increase income, where and how
to buy and sell pots and calls, how to nee
them to make capital gains instead of
short-term profits, how to use options to
them

political convention time,
\ the election year Congress is
going
to
have
some
sharp,
knock-down, drag-out sessions.
fore

Senator

It can

And you can examine ft
and mail this coupon today.

Pill la

7-;'

war

Dept. A-7,'

measures.

me,

Herbert

Filer's

Is*'

Ir
IV.

•

I
S
I

Lw.iV 7

would

"West"

Under- a

Sam

1
•»...... <,,

City........j,.,....... Zone.,..State.
rQ Save postage. .Check here if you prefer to

ecdose cheek or moneyorder for43.00. Then

we pay postage. Same

moneyback guarantee.
•1

-vigorous-campaign. Right!

now
he and Senator Hubert H. Hum¬

phrey of Minnesota are fighting
it out for top place in the Wis¬
consin preferential primary.
Nearly
knows

iii

everybody
that

his

politics

father* Joseph

Kennedy, made a fortune many
years
gave

subsequently

and

ago

each child $1,000,000 each.

Neither is

secret

¥f

;

Good Compromise

Symington

who could
previous

vania.

Mr.

himself

Johnson,

;

Louis, Mo.)
Municipal Dealers Group

St. Louis

]SprihgAEarty:^Luncheon (at

Mis?

| someone I.could beat/Vj ' . ; A
Parrfc Plaza Ho
j Vk; Obviously, .such a .statement, i arid
j if correct, could only mean that .7 AWWSia-DaAiGljBn Echo
believes : that he

| Vice. - President

could beat

Richard *M.

•V

Nixon. Mr. Nixon is not: a big

;

!
-

hero

war

name

General

Eisenhower.-Mr. Nixon, the sec¬
ond

of five

family,

sons

appears

the Republican

that the

was

Quaker

long time

mm
19G0.f(New}York; City) ?

Security s: Trafters^ Association New. York, annual

;

May 9-10, I960 (Atlanta,

this

which political party

Firms
ernors

.'Sinner at the

'177.7. -

Waldorf Astoria:'

Stock

be A Associations of

certain to
nominee.

April- 29,

Ga.)

Exchange

meeting of'Hoard ; of

Gov¬

Atlanta Biltmore.

at Hotel

Attention' Broker*

President

and Dealers1

TRADING MARKETS
> Botany-IntliiBtries
•; Indian 'Head Mills
•

1
-

I:
Official Films
Southeastern-Pub. Serv.

Carl Marks & Co Inc.

58, and

stands

six

away

Defense has gone

our

20 BROAD STREET

TEL: HANOVER 2-0050

NEW YORK 5, N. Y.

•

TELETYPE NY 1-871

! LEMIER it O.
^

\ with

National

to pot. Other-

number is

FOREIGN SECURITIES SPECIALISTS
:

that

talephon*

CAnal 6-3840

inches, has hurt

blasting.

statements

Pennsyl¬

77.>

.77

April 28-29, 1960 (St.

times out, is quoted as saying:

"I'd really like to run against

Banking,
&

Finance

country before the people knew

•

Symington,

feet and three

!
I

School

Wharton

Our Naw York
.

\ Senator

of Investment

Institute

two

St. James in London is spend¬

since

7 Choice

' /A

'•

1960 4 (Philadelphia,

Commerce, University of

ex-governor,

make

former Ambassador to Court of

the

from

Rayburn is for his fellow

Texan.

Ham®.«....

The

Senator Kennedy has made a

House Speaker

the Civil War.

psyn^t STfuS! Charge within 10 day8 ot
.;>•«.

much to run for the
against Vice-Presi¬

;

10-15,

April

dent Nixon.

not

Dallas.-

become the

President

Otherwise I will pay you Sa.oo |

Address......

like very

fight.

Humphrey

A7 -A

Texas Group of Investment

Presidency

formally to order
on
July 11 that the delegates
will settle on him without a

tion is rapped

vs.

April 10-11-12,1960 (Dallas,

port that Mr. Stevenson would

Angeles conven¬

Kennedy

dinner in the
of the Hotel

Edward Hotel.

of the New Deal
while in the House,

first ."Southerner"

I If not times over, that it can pay for itself I
many convinced I may return it and pay ■
|

may

the rounds in Washington, a re¬

his rivals at the

Los

;

April 8, 1960 (Toronto, Canada)
Toronto Bond Traders, Association
28th annual dinner at the King

later

■

2 standtng Put and Call Options for 10 days'
| free examination.
I, nothing.

came

the

Ballroom

Biltmore.'•ccrA7':• A

supported President
Truman, is champing at the bit.
and

419 Park Avenue Soath, New York IS, X. T.

I-Pleas® send

who

Grand

voted for many

favorite bookseller, or

»WN Fn bib hers,

7 7

Pre®.

Johnson,

Congress as a personal friend
of President Roosevelt and
to

protect profits on your stocks, etc.
This book eests yen only 13.99.
help you make a fortune.

an4

Republicans

ahead

time

No
giv¬

the Democratic, leadership try®

successful traders and pro*

fMinnaii

,v"(

both

ciation 34th annual

theless, there has been making

However,

Senator Kennedy hopes to be so

and the Arizona border.

:7 ' Wlth

the

nomination.

City)

York Security Dealers Asso¬

Tex.)
Bank¬
Stevenson, who has been tour- ers .Association of America 25th
annual meeting- at the Sheraton
ing in Latin America. Never¬

look

candidate

compromise

the

for

en
•

New

not be any sub¬
stance at all to a statement at¬
tributed
to
former
Governor
There

it, Stu Symington appears to
the man who is the most

likely

Southern

support to civil rights c^ccpf
those who have had their sights
on-either the Presidential or
Vice -Presidential offices.
;
I;

April 8, 1960 (New York

Kefau-

Southern Senator has ever

7th annual Mid-West Conference
at Congress Hotel.
*

Stevenson Again?

in the hands

years

25-26,1960 (Chicago, 111.)

Mar.

Senator himself
does not feel:: that

either question.

about

Bankers

ment

him,

kidded

assertedly

Republicans.

Just about any way you

delegates all the way from the
Potomac River to El Paso, Texas

eight

after

Chicago Chapter American Statis¬
tics Association; & Chicago As¬
sociation of Commerce & Industry

16-17, 1960 (Chicago, 111.)
States Group of: Invest¬
Association of
America at the Drake Hotel.

Central

great deal. The

gether, and thus let the Demo¬
crats recapture the White. House

far

dumped by

was

edging up the ladder a bit,
slow
that
it
may
be, is the

of Illinois.

The facts are Senator

of the reasons
Symington has

been

nominee, running with
former Governor Adlai E. Stev¬

(possibly thousands of dollars In
days) I* explained In this clear, simple

one

Senator

that

Vice-Presi¬

He is running
unannounced.

Johnson,

March

get his son

have

Presidency.

the

(Dallas, Tex.)
Dallas Security* Dealers Associa¬
tion annual vgin«rummy tourna¬
ment at the Engineers Club.

good - na-_
turedly of course, about his new
"hair do" designed to make him
look a little older. Some of his
close supporters have felt that
his youth—he will be 43 before
convention time—and the fact
that he
is a member of the
Catholic faith, might hurt him a

Senator

Johnson,

Mr.

7 ^\

March 11,1960

substantial sum of money
nominated.
Back in the cloak room of the
Senate, and at social functions,
Senator
Kennedy's colleagues

circles.

job in Democratic

Club.

ing a

fair selling

wise he has done a

Association' annual

spring meeting at the Kansas City

yesterday,. Sir, just as soon as we declare
dividend we'll let the stockholders know!"

"I told you

dential

profits
M

Southern »Preside n-

Another

Bow with & put or

to the cost
bandied dollars), you can

the country, and the
particular,
•.

tial

Limited Risk-Unlimited Profit
on

can

Kefauver's Chances Nil

Johnson. Many
feel that the stand being taken
Mr.

parts

colleagues has really lashed
at

Johnson

way

to capture enough dele¬
gates
to win the convention
would be to take nearly all of
the
Southern
delegates, r plus
scattered votes from the other

hope

around-the-clock

None of his

only

The

intended

rights legislation, he may
gotten into hot water.

Cap¬
of sup¬

porters is dwindling.

Even before

in order to pass some

number

the

Hill

itol

sessions of the Senate, if neces¬
sary

and

Southern visitors on

from

of now, but judging by
private statements

letters

he announced that he

ment Bankers

who has
theoretically moved his domi¬
cile way out in the West, prob¬
ably
just
this side
of the
Rockies, in: order not to be
closely
identified
with the
South, probably conld take a
majority of tbe Southern dele¬
Johnson,

Senator

(Kansas City, Mo.)

Southwestern Group of the Invest¬

than to

Johnson."

Lyndon

vote for

March 11, 1960

the Negro Con¬

from Harlem,

gressman

time will tell.

for

for Adam

ple would rather vote

begin to backfire.

ciation 28th ^annual meeting and
convention at_ the Royal York
Hotel. Vi 7
'

Southern peo¬

think more

1960 (Toronto, Can.)

Prospectors anct Developers Asso¬

Texas Senator.

Johnson obviously
is playing up to the so-called
liberal bloc In an effort to attract
Northern
Democratic
delegate votes. He feels that he
will be able to take the South
without too much trouble on
the theory that Hie Southern
professional politicals are look¬
ing for a place to land, and
they have no other place to go.
He could be wrong, but only

Texan in Trouble

March 6-9,

to the

referring

gressman

Senator

press

Carpetbag¬

respect for a

ger,

and Mr. Johnson.

people of the South have

"The
more

IN INVESTMENT FIELD

others.

forerunner of

may

EVENTS

be the

Williams' statement may

wind up battling Mr.
Kennedy for the nomination at
the beginning of the Los An¬
geles convention rather than as
a
compromise candidate in a
deadlock between Mr. Kennedy

COMING

expressing the majority senti¬
ments of Hie people of his dis¬

and
there is every indication that it
will continue for some time to
come, Senator Stuart Syming¬
ton

re.

the "Chronicle's" own vieu\s, |

Mississippi. Representative
John Bell Williams, apparently

ping.
slide

Leader Lyn- *
don B. Johnson of Texas, who
has been challenging Senator
John F. Kennedy of Massachu¬
setts for the front running posi¬
tion for the nomination, is slip¬
Senate Majority

the

•

intended

and may or may not coincide with

from one
political figures

there was a blast

of the strongest

7 ;

jlect the "behind the scene" inter,
prelation from the nations Capital

going on, how¬

While this was
ever,

;

[This column is

sort of a sham.

others, was

picture.

his family.

by Senators Richard B. Russell,
leader of Hie Southern bloc, and

WASHINGTON, D. C.—An in¬
teresting and highly significant
development,: practically
un¬
noticed thus far, is taking place
in the Democratic Presidential

Inv»0,tment, Securities

Tf lfaStiii)

1 j

M8SS£m:& 7-

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