Full text of Commercial and Financial Chronicle : May 7, 1959, Vol. 189, No. 5844

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W/VJ'CL

Reg. U. S. Pat. Office

-Volume

189

Number 5844

New York 7, N.

Y., Thursday, May 7, 1959

Price 50 Cents

EDITORIAL

It Would Be

Tragic to Keep
Inept Financial Husbandry

See It
The fact that of late weeks
o

ing

gold is again leav¬

begun to
surprise

cause

and

comment and, in

apprehension.

There

Vice

had

during the

1958

year

was a

and recession-born

product of the

fear that

severe

•

depression

in the making in this country.
gold tapered
off as general business revived in this
country
appeared for a time to confirm some such theory
was

The circumstance that the outflow of

—although, of course, another factor in the situa¬
tion, abnormally low interest rates, tended to
disappear at about the same time. The more
recent outflow may or may not have a one-time,
non-recurring explanation as some observers be¬
lieve, but it should call attention in a forceful
manner to the truth that the
underlying cause of
the 1958 outflow is still with
That

the

prices

DEALERS

growth with price decline
stability is compatible.

The
year

cyclical

was

one

contraction
of the

that

shortest

ended

has

utilities, rails, textile and tobacco. Selling out-'
weighed buying in bank, finance company, and drag issues
[Tables appearing on pages 28 and 33 show Fund's)
comparative investment positions; total common stock
and other securities transactions; and individual
mon stock transactions
by industry groups.]

been

followed by a recovery of classic pat¬
tern that has now pushed most of the

continued

business

managers

indicators

previous ceilings.

„■

through
their
Personal income

in constant dollars has gone V-k %
beyond its pre-recession high.
Real
gross national product and industrial

production have achieved new rec¬
ords.
The trough from which we
emerged followed a giant wave of
consumer
buying capped by plant
expansion.
Over-capacity and ex¬
cessive
inventories
led
inexorably
to painful correction in the form of
recession, with its worries, losses
tribulations.

and
C. Canby Balderston

now

Three major

Club,

address
by
Philadelphia,

problems

Mr.
Pa.,

During

March -quarter,

its
as

rise
a

while

all-time

group

switched

Public

State and

take

stock

fund

contrast

sellers

six

and

standoffs.

defensiveness by the balanced

contrast

to this swing to
funds, the open-end stock

funds exhibited increased bullishness with 35 net buy¬
ers
of equities, four sellers, with two standoffs; com¬
pared with only 30 net buyers, seven sellers and two

during the preceding quarter. In the case of
the closed-ends the number of net sellers increased from

four to six funds.

The

summarized in three
Continued on page 36
the

Philadelphia

abatement

denced
and

overall bullishness

clearly evi¬

in the

aggregate dollar value of stocks bought
Purchases by all funds under our review

sold.

Bond

Continued

page

Underwriters, dealers and investors in corporate

—

Registration" Section, starting

State, Municipal

38.

page

and
>

Municipal

STATE

ind

MUNICIPAL

Public Housing Agency

Lester, Ryons & Co.
623 So. Hope Street, Los Angeles 17,

Securities
telephone:

expert

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

tial undertakings in our "Securities in

Housing,

market

stock

the

caution.

preceding quarters, trimming of sails was en-t
gaged in by an increasing number of funds,, although
these still remained in the minority.
'
This trend was concentrated in the balanced funds of
which 14 were net sellers of portfolio common stocks,
against 13 net buyers, with four standoffs; compared to
the previous quarter's record of 16 net
buyers, nine

U. S. Government,
: :

the

highs

com¬

the

may be

Balderston before
April 20, 1959.

the

standoffs

time

the residual difficulties that still face
us.

ural gas,

April of last

record.

;

chemicals, glass, electrical-electronics,
insurance, machinery-industrial equipment, coppers, nat¬

price

•

included motors,

flexible enough; and

cites record to show

afforded

are

stocks to cash and governments. This
policy
largely concentrated in file balanced funds. Top
favorite issue was Ford,- followed
by Monsanto and
Philips' Lamp; with Standard Oil of New Jersey the
most widely sold.
Industry groups particularly favored

sustainable and whether
are

•

was

May, 1958, industrial
about V/2% over previous

ventory accumulation rate is

Analysis of investment companies' portfolio operations
during first quarter discloses considerable shifting from
common

since

past price and wage decisions

SECURITIES NOW IN REGISTRATION
securities

page

2% and are now
record high. Mr. Balderston indicates criteria
governing
Federal Reserve decisions; queries whether present in¬

♦An

that

are up

Continued

;

Governor shows

us.

sharp shrinkage in our exports
for which we are paid (that is;
excluding those
which are a part of our give-away programs) and
a simultaneous refusal of
imports for which we
must pay. The figures are familiar
enough. Our
total exports of goods and services dropped in
1958 to $25.6 billion from $28.9 billion the year
before.* In both years imports totaled approxi¬
mately $20.7 billion. Thus in 1958 our balance
in terms of total goods and services was down to
less than $4.9 billion -as against $8.2 billion in
the year before. But this is not the whole story.
In point of fact, and taken as it stands, it is a
most misleading account of what actually hap¬
pened. Included in the figures of exports in 1957
is a sum of over $2.4 billion
consisting of net
cause

By A. WILFRED MAY

revealing insight into Federal Reserve's concern about
inflationary prospects during a time of general excess
capacity and reservoir of unemployed is made by Mr.
Balderston. Blaming debt—consumer, business, local,
state and Federal—in a Devil's Brew
recipe of trouble,
which also contains unemployment and
advancing prices,

recession

By the Foods

System, Washington, D. C.

been

popular impression that the unusual rate of gold
loss

Chairman, Board of Governors of the

Federal Reserve

quarters,

some

Some

By C. CANBY BALDERSON*

coffers for those of foreign countries has

our

Quarterly Investment Company Survey

Copy

Bonds and Notes

California

Members New York Stock Exchange

BONDS

HAnover 2-3700

Associate Member American Stock Exchange

Members Pacific Coast Exchange

UNDERWRITERS

CHEMIGAL

BROKERS

CORN EXCHANGE

DEALERS

•

BANK
»

Burnham

and

MEMBERS NEW YORK AND

ST.,

15 BROAD STREET, NEW

YORK 5, N.Y.

Inquiries Invited
California

•

Dl 4-1400

Bond Dept.

Teletype: NY 1-708

New York

TELETYPE NY 1-SWZ

Net

Distributor-

•

San Diego, Santa Ana, Santa Monica

of new york

Company

ESTABLISHED

1832

Banks

New York Stock

Exchange

oil lands
Block
Commission

Stock

Exchange

$200,000

Inquiries

♦

'»

BROAD

NEW
FIRST

&OatfUO€dt COMPANY
DALLAS

STREET

|fORK 4, N. Y.

4?>s%

Invited

Due

Payable
Price

Exchanges

CANADIAN

for

METROPOLITAN TORONTO

Orders Executed On All

yield

4.65%

Municipal Bond
Department

Doxmiox Securities

MONTREAL AND TORONTO

Goodbody & Co.

Municipals

July 1, 1977/72
United States Dollars

102%

DEPARTMENT

DIRECT WIRES TO

California

;

Debentures

Teletype NV 1-2270
•V"

BANK

THE MUNICIPALITY OF

cm. / wti.

Canadian

American

Chase Manhattan

Southern

Correspondent—Pershing & Co.

Maintained
and Brokers

british columbia

Members
—-

Securities

Markets

Active

Dealers,

Dealer

T. L.Watson & Co.

THE

Pasadena, Pomona, Redlands, Riverside,

AMERICAN STOCK EXCHANOE9

CABLE: COBVBNMAM

Underwriter

Encino, Glendale, Hollywood. Long Beach,

the first nati0hal city bank

nt
bond department

30 BROAD

BOND DEPARTMENT

Offices in Claremont, Corona del Mar,

Grporatioti
Associate Member of American

IBank of Amcvii"a

8tock Exch.

MEMBERS NEW YORK STOCK EXCHANGE
BRIDGEPORT

•

PERTH AMBOY

.15 BROADWAY
NEW VQRK

1 NORTH LA SALLE ST

CHICAGO

Exchange Place, New York 5, N. Y.

Tel. WHitehall 4-8161

Tele. NY 1-702-3

1^.

feral

380 MONTGOMERY STREET

)

SAN FRANCISCO 20. CALIFORNIA

Financial Chronicle

The Commercial and
2

Thursday, May 7, 1959

(2086)

For Banks,

The Security

Brokers. Dealers only

This Week's

I Like Best

Forum Participants and

Try "HANSEATIC"

Ik the investment and advisory

participate aid give their reasons for

Our experienced trading

reaches

service and
range of

Contacts through

nation¬

our

wide wire system.
To make

the ividest

RICHARD

"Try HANSEATIC."

Carlisle

nor

discussed.)

ex-

this com¬

certain

;

deferred

h a

.
.
Members New

■4Members American Stock Exchange}'

v.r.

•

% 19 Rector St., New York 6, N.Y.
*/a
HAoover 2-070C >NY 1-1557

„

contribuearnings
may
be

Thus Tensolite's

items:

STFIftirR ROUSE tt M
;"
-"V York. Stodfc Exchanged

(Geauga) and a highly pronmsmgtion
to
1959
instrumentation-wire > b u s en e s s
pany, currently quoted around 20
around
900
per
share
(before (Tensolite)
were acquired for
ovCT-the-counter, represents one
-gj-g;^ash; the last mentioned aqquisiof the most interesting ways to special *LeiI!s. w.viCI,.„uu Cl
uuc
ehoro OQ,.nindC
reported net by 250-400 per share), .tion increases per share earnings
The common stock of

Bought—Sold—Quoted L

;;

Printed

products are premium priced and
(page 2) :
are believed to yield profits close •' • - •
•• •
to
10%
net after taxes before /■= t

charge-offs

City

Electronics,
inc.—T. Reid Rankin, of R.
' Hornor & Co., New York City.

Technograph

heat resistance and
dyelectric qualities, Tensolite's

Corporation

Jesup

(Page 2)

traordinary

Security Analyst

Louisiana Securities

Corporation—Richard R. :

Fields, Security Analyst,
& ! Lamont,
New
York

of Teflon's

Because

volume.

FIELDS

Jesup & Lamont, New York City
Member: New York Stock Exchange
and American Stock Exchange
Carlisle

you're getting
possible coverage,

sure

particular security. ,

they to be regarded, as an offer to sell the securities

are

broad

intended to be,

(The articles contained in this fornm are not

department offers

Trigger-quick

favoring

.Alabama

Their Selections

week, a different group of experts
field from all sections of the country

A continuous forum in which, each

NewOrleans, La.-Birmingham, Ma
Mobile,Ala..
Direct wires to

our

branch offices

New Yoik Hanseatic

known instru-

mentation

120 Broadway, New

York 5

Teletype NY 1-40

BOSTON

•

CHICAGO

PHILADELPHIA

•

SAN FRANCISCO

Wires to Principal

equi¬

company

ties sell at

earnings mul-

Cities

t i p

of 20

e s

times

ter, Carlisle is

Interest in

Heids

earnings and

Fischer & Porter Inc.

1959 profits

prospective

times

Richardson Co.

the past five years

During

Stouffer Corp.

fiOENNING & CO.
1914

1529 Walnut

Street

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

■msf.

the

GENERAL DISTRIBUTORS
O

of New York,
...

RANKIN

REID

profits.

The

the superior earnings
record
of
Carlisle, its common
stock sold around 14 as recently
as
last November.. I believe the
two deterrents to a better investDespite

valuation, at that time, may

anc* oil field customers. Even
though Stoner s volume is currently only about $1 million the
division is very active in research
and has interesting long-range
Prospects. The third division in

Tokyo, Japan
Brokers

Geauga, with plants in Ohio, gencrating annual sales of around

BOSTON 9, MASS.

(Corner of Washington St.)
Telephone Richmond 2-2530

changes

Carlisle's

the

and

operations.

The an-

ticipated loss of inner-tube business to tubeless tires did not materialize as far as Carlisle was
concerned.

important

Several

changes in the company since 1957.
should result both in substantial

Brokers and Dealers

further growth of

earnings

well
higher investment valua-

JOHN SUMMERS LTD.

Early in 1959 Carlisle acquired
business called Tensolite Insu-

A.D.R.

company,

plants in Tarrytown, N. Y.,

with
is

This

Co.

Wire

lated

FA1REY AVIATION

leading manufacturer of high-

temperature miniature wire and
cable used principally in various
instrumentation and electronic ap-

REG. LTD.

plications such as servo systems,
machines,
control and
communications
equipment, aircraft wiring systems and the like,
Tensolite
was
among
the first

business

ELLIOTT

AUTOMATION LTD.

companies

A.D.R.

solve the technoconnected with
use
of DuPonfs

logical problems
the commercial

Teflon (TetrailUoroethylene resin)

Bought—Sold—Quoted

coating

For...

COMMERCIAL
FINANCING or
Talk

for miniature wire,

n-af "?'eSwire coatings
-ant
it ideal in

m Carlisle's materialize
earnings management;
judged

performance under

precise

Tensolite

one

companies

major

necessity.

the

working

three

Plant
•

and

the

other

two

doubled in 1958
should be adequate to handle
immediate
growth in sales
space

was

the

period,
than

with sion

being privately held. Its sales last year
were
approximately" $3
million
and could reach $5 million in 1959.

Teflon,

Teletype NY 1-4686

Private Wire System to Canada

•

!4
..

Installment Sales

•

(Notification
Non-Notification)

Factoring
and

ob-v

lower

u c

tion

.tf....

and (2) ngidity and relia• bility of the circuit. The uses for

printed circuits and punted

James Talcott, Inc.

It
NEW
221

YORK

FOURTH AVE., NEW YORK
ORegon

CHICAGO

DETROIT •

•

3, N.Y#

7-3000

BOSTON

specula!

for
instrumentation

taxing conditions is

New York 5

Machinery

reasons:

a strong financial position circuits.
with cash alone ($3.6, million)!
Printed circuits were not used
exceeding all current liabilities at. all until after World War II.
($2.5 million). Long term debt Their production in
1951 was
of $1.6 million was modest com- valued at only $100,000. This year,
pared to net working capital of some $40,000,000 worth of printed
$4.3 million and net worth of $5.9 circuits are expected to go into
million. Carlisle's recent acquisi- television sets, electronic corntions were financed with cash or puters and other electrical prodborrowings, without1 dilution of ucts for industry and missiles,
common equity. The compang's^^jyfg"^rporation virtually unavailable credit or cash is suffi-" known'" to the1 General Publiccient to meet any foreseeable ex- fnrJnv mntml? tho hasir Pafpnf«t
pansion needs and no
equity ha^have made etched printed
financing is anticipated during
:
it nossihle Its stork is availthe intermediate future. Dividends ,.hlp
? nriro so low -s to make
were recently raised to an 80c
an ouLtandinl
annual rate and may be increased tj
based solely on a p|te^t Suit.
urther as the expected increases The potential vyaiue in the stock

miniaturized

Stock Exchange

Inventories

•

preferred

(1)

Rankin

•

costly

p r o

Reid

Talcott

(Non-Notification)

wiring,
two

Accounts-Receivable

•

million. Geauga was acquired ponents ale still growing,
1958. It manufactures molded
The development, or rather ths
01 extruded rubber and plastic discovery, that the time-consumProducts primarily for household ing and costly hand wiring and
appliances. Both the Stoner and soldering could be done by the
the Geauga business have above- simple means of photographingaverage prospects for expanding on a copper clad laminate, a
salesschematic drawing and then etchThe latest available balance ing the photograph, resulted in
sheet for Carlisle Corp. (12-31-58) low cost, simple and foolproof

where

make
,

Alfred L. Vanden Broeck & Co.

than

for

COrtlandt 1-5680

shows

tion.
1

hand

productsV is costs,

within the
assumed importance of automotive tire tubes
the

company

and

allied

rubber

use

vious

Bankers

Investment

printed
circuits, rather

Inc.

Yamaichi Securities Co., Ltd.

assemblies.

■..>•,'i/'v/v, V:.v-

Affiliate of

lit Broadway,N.Y. 6

exceed
The Stoner division in-Anaheim,
could be Calif., is a relatively small diviprojected in the $2.30-$2.60 per sion manufacturing silicone modishare range.
rubber products for aircraft

ness

CO., INC.

•

V'-v.

write

Yamaichi

best.

Securities Company

interesting appreciation potential
and *s' therefore the security

substantially, offers satisfactory

have been lack of investor aware-

HELLER BROTHERS -

55 Liberty St.,

com-

should

sales

1959,

ment

Tel.: BE 3-8880

the Carlisle, Pa.

$22 million and earnings

Prospectus on Request

New York

Calf

"re manufacturers in the country,
R. M. Ilorjier & Co., New York
As for automotive inner tubes, the
ascendance of tubeless tires has Technograph Printed Electronics Inc.
1955, $18 million in 1956, $19.4 not hurt the company principally
In the first 10 years, the most
million in 1957, and $14.8 million because several of the leading tire
in 1958
In the same period per manufacturers have abandoned outstanding change in the Elecshare earnings
were
790
$1.07, manufacturing of inner tubes thus tronics Field has been the intro$1 60 $1 78 and $1 91 respectively' permitting
Carlisle to have a duction of Printed known UnCircuits. 10
There are 549,841'common shares larger, piece of a shrinking pit.
in
years "
ago,
outstanding. The decline in 1958 Carlisle s inner tube volume has/
today printed
sales was due partly to the com- m fact, increased. In general, the
circuits
are
pany's disposal of a division man- £arllsJe division constitutes a solid
used
in
the
ufacturing specialized heavy duty
k5.eac* " ?I?1^ butter business,
vast
majority
trucks and trailers.
This line of which, while it is unlikely to grow
of
electronic
For

FUND OF BOSTON

Members:

For current information

earnings ($2.30-$2.60 per share)
and yielding 4% on current dividends, appears to offer highly

lisle is one of the leading bicycle

was high in sales but
contributed only nominal profits,

SECURITIES

For Banks,

.(X.

STOCKS

MUTUAL

ZERO COURT STREET,

is gen-

plex of plants. They manufacture
inner tubes, bicycle tires, irrigation hose and similar items. Car-

products

I APAN

^v.%%

company's sales have had the following
annual
sequence:
$11.8
million in 1954, $15.4 million in

Keyes Fibre Co.

Established

kichard

1958

times

the largest

rubber products,

erated

priced at about
10

diversification,

part of gross ($12 million)

currently
A Continuing

deserve

bet¬

potential, by about 40% and provides the company with important

capitalization
In today's markets there are
multiple of 15-20. In other words, relatively few worth-while inthe current market price of \;20
vestments which trade at earningsr-.
may be warranted on Tensolite multiples of, l(k or less. They apearnings alone. The investor is, in pear particularly
scarce among
effect, getting a rubber products companies manufacturing products
business, grossing some- $18 . mil- with .an instrumentation end-use.
lion and earning around $1.80 per Carlisle Corp. common stock, sellshare annually, "for free." ix
ing at , 8 times prospective 1959
earnings

Whereas well

Member

WOrth 4-2300

Private

Tensolite division

mentation.

Stock Exchange

Associate

the
believe such

end-use " of

instrumentation

instru¬

growth and

rapid

Reflecting the

electronics

and

Established 1920

American

the "romance"
of

Corporation

participate

was

the operating results
last five years. In this
sales and earnings more
an

sold: another division (Dover
was

spun

Carlisle stockholders

basis and

now

Dr. Paul

born

ploy

operating divi-

heavy equipment (Dart
showing limited profits

Corporation)

off-I to
l-for-4

is priced around 23

upholding of
courts
1

Eisler, noted Austrian-

physicist, while in the em-,
of the
National Research

1 m?

■£

2,eV J?£°' ^afflllated ^vlth
®/ltlsh Government) 'made
^
dlscaveiY and received the
basic patents from the British
£
?
£Ce'•?7'ec! fn
*1 J??
e ,Uaited States
patent..Office and Technc^raph

the N. Y. S. E.; an interesting rubber - and - plastic business-

upon the
Patent bv the

, - is
best the

doubled:

in
trucks)

N. Q. B.

over-the-counter:
INDUSTRIAL STOCK INDEX
20-Year Performance of
35 Industrial
FOLDER

Stocks

REQUEST

•

Continued

page

National Quotation Bureau
Incorporated

46 Front Street

New York

4.H.YJ

Volume

18£

Number 5844

The Commercial and Financial Chronicle

(2087)

Opportunities

INDEX

By ALAN C. FOOLE*

President, AsoOciation

•

It Would Be
Tragic in Permit Inept Financial
—£• Canby

"»V
*

believes

most

are

attractive.

—G.

improving

economic

U. S;

A.; and industriousness of

The occasion of

trip to Eu-

our

gether for the

country).

first

one,

that

group

purpose

Studying

time

*: accorded the
tax

con¬

ditions abroad
from
the
in¬
vestor's

classes

trip we
hoped to gain

thing

background
f

advise

the

European

securities

Our
and

servative
before

stop

~to

call

for

was

country

plain

desires.

that

for

election

outcome

great bearing

ing

trends

the

proving,

was

This

announced.

extremely important event to

British

the

people because taxes
determined
in -accordance

are

with

the

taxes

Budget

and

these

new

into effect the day after

the

announcement.

ish

have

the

Brit-r

been

considerably more
successful balancing their budget
than we have, tax reductions were
in order, primarily sales taxes on
many consumer

hoped that

durable goods.

this will

consider¬

ably improve economic conditions
the next few months by cre-

over

J.F.Reilly&Co.,lnc.
Members Salt Lake City Stack Exch.

Exchange PL, Jersey City
PJgby

Regular Features

Direct

See

wires

Salt

(Editorial)--..

Business

Man's

address

American

May

Mr.

Poole

Women's

before

Shareholders

Coming Events in

the

all

::Deah'r-Broker

is my feelsteel stocks;

Investment

Recommeudalions.____i

Ling Electronics

—

Einss'g; "Outlook for Investors in British Equities"._________
n

phases

Ahead ojf thie Ncvrs—Carlisle
Bargeron——

the

Moog Ser voc«ntrols ::
;

liable

was

difficult to" get

any

—___

spite

—

the strength pf De
leadership /there ; is - a
great deal of political' instability.
The
Algerian war is unpopular
this

resolved there

011

Our

which

French
of

vew

leadership

businessmen

the

fact

that

and

repercussions
nomic

the

Railroad Securities

fear

Prospective

that

Security

is .still

makes

The

Security

Salesman's

The Market

eco¬

weakness

currency

other factor

Italy I
To

see

much

Continued

and

44.

Corner.—i

—__i

You—By Wallace Streete—

Security I Like

Best—

Electronic;

Specialty Co.

____.

The State of Trade and Industry:__—

an¬

Washington

and

You__—

i'See

nnrrrnnrn

have

rnLltnKLU

_.J__J___—_______

the

Permachem

Page article dealing with portfolio operations of
Companies in final quarter of 1958.

:j£ee article

BROAD

Stock

ST., NEW

Exchange

YORK

4, N.

TELEPHONE HAnover 2-1300

Albany

Boston

(

TELETYPE NY 1-5

Nashville
1

Chicago

Schenectady

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Glens Falls
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'
'

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25,

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.

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SCIBFHT,

May

1959

statistical issue —market quotation
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and

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Note—On

— Monthly
(Foreign Postage extra

account of the

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foreign

of
exchange,
subscriptions and

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made in

fluctuations In
remittances
for

Direct

Wire to

category

ib.i

hands tod^y..

our

U. •$, Economy

y^Nevei- Call the Cops"—William

the Dutch.$tate«f uturemf

great extent in

and the

J,'-McCloy;_-:__I
v.?-

Funstoii—

Integration of Europe

^-i-Jphh-

promising

Europe lies
,

prospects

N6{ All Unalloyed Brightness *
i__—4
,/

im.:

Britain; poor impression
developments in northern Italy;
greater opportunity for capital growth: in Germany than b
gives;

Keith

Securities in this

get cash bnriais at 99 Wall!

The Investing Picture
Today is

France

—|

DEADHEAD

Cover

Investment Opportunities Across the
Ocean—Alan C, Poole—-

Comments

WY
AHD CQtOAXY |

Husbandry

Balderston

Security analyst, recently returned {mm first kmA
trip of European investment prospects, briefly reviews overall
conditions in fiye countries abroad and
singles out foreign
securities

fBSTfll

Page

of Customers' Brokers
•

••

;/'v.

Some Sail-Trimming by the Funds—A.
Wilfred May—___.Cover

Consultant and Stock Market Analyst

Hemphill, Noyes & Co., New York City

J i

■

Research

B. So

Articles and News >

Across the Ocean

Investment

The Commercial and Financial Chronicle

(2088)

The Investing Picture Today Is
Not All Unalloyed Brightness
G. KEITII FUNSTON*

President, New York Stock Exchange
New York

City

Second,

disquieting signs in the current market, Mr.
what the N.Y.S.E. has done and plans to
regarding disclosure and advice to investors, and what it

In underscoring

who choose to remain uninformed

less. The former

ment

Trinity College President stresses dissimilarity

example,

prompted at

First, U. S.
enterprise has
emerged with
a
new set of
o

n e r s

can

—

G. Keith

Funston

America's

And

middle-in¬

that when the heads of 23 million

result
of this it has emerged, also, with
a
new
name—"People's Capital¬
ism." In increasing numbers, peo¬
ple

Largely

millions.

come

from

every

as a

occupation

and

become the
direct owners of the country's in¬
dustrial might. Finally, we have
emerged with what are, ostensi¬
bly, a new set of problems—posed
by critics who are often wellmeaning. 'These critics wonder,
for example, whether the broad
mass
f people can really be en¬
trusted -with the responsibilities
of ownership?
Can they handle
the complexities of investing on a
sound *>asis?
Can
they make
income

have

group

of; that

mse

proper

mechanism

called the marketplace?
The-Sioek Exchange, let me say,

Stranger to these questions.
In one Jorm or another they are
is

old

were

the nation's history. They
raised once about the right
as

vote

to worship
receive
an

about the right to

And

education.

Exchange's reply to
tions,

the right

about the

the

context

these

the

ques¬

today's

is firm and unhesitating.

economy,

/Certainly

the

American

people

Colo.,

Chamber

Commerce,

April 24, 1959.

would

endorse

households

American

market each week
the market

news

the

view

discuss
.

the

families

broader base of 16.3 million non¬

shareowing families with incomes
to $7,000.
Finally, in terms of the Ex¬
change Community, we recognized
of $5,000

that

could

national

only
able

were

so long as we
to attract and assist a

people who needed our
This meant, in turn, pro¬
viding a market broad and liquid
enough to meet the needs of every
mass

services.

going to be much impressed with
the market's liquidity. But, when
his order is executed at the price
he

expected—or within 12V2 cents

regularly

the last

realistic look

sale—then

substantial

quired

he has

ac¬

confidence

market's

our

studies

ership in America. And it is time,

82% of all round lot transactions

also, to explore some of the prob¬

to take

lems inherent in the changes
are

that

underway.

Public

Educational

Program

First, however, let me mention
of recent history.

page out

Early in the 1950's the Stock
Exchange launched a broad edu¬
cational program. It was designed
to spell out, with painstaking care,
the opportunities, the risks and
the rewards that go with invest¬
ing.
By the standards of other
industries our program was mod¬
est indeed.

munity it
ture.

But for

was a

And

our own com¬

significant depar¬

the

perspective of
has al¬
ready done a great deal to change
the face of American capitalism.
In the years to come we hope our
efforts will contribute a great deal
the

years

our

program

more.

Three factors motivated the Ex¬

change's program. First, the pentup demands of a war-time econ¬

last

Exchange

Well,

show

year

This

12Ms

cents

previous sale—
change at all.
of

kind

market

never

just happens by
chance.
It is
achieved only by planning and
hard

work, by bringing literally

millions of people—not just thous¬
ands—to the market, by serving
each day

that the market itself is
fair, orderly and open.
educational program

our

began, the first thing

vulnerable to

medium within

did

was

budget
we set out to make the language
of investing commonplace. In ad¬
our

vertising, films and million of
pieces of literature, we spelled out
the prerequisities that should
guide the investor. They have be¬
come
a
litany with us: have a

'steady

income

before

entering

derstand

what

and cash savings
the market; un¬

tailor

and

you

the

afford;

can

risks

determine

objectives in terms of the
Exchange's wide list of stocks and

your

concentrate on the longterm; get the facts; and seek ad¬
vice from reputable brokers, such
bonds;

and lightly so, it should be recognized that we
level of activity where we become increasingly
testing period. This might arise from any unex¬

product, most comprehensive measure of the
of goods and services, achieved a new peak, with
quarter annual rate estimated at $465 billion. This repre¬
a
gain of $12 billion or about 3% over the preceding

"Gross national

nation's output
the first

sented

quarter, and of $38 billion or 9% over the like quarter of 1958.
The gains on a constant dollar basis were roughly one-fifth less,
as prices have moved only moderately higher.
:
■
Vy
"Among the three major spending sectors, personal -consump¬
tion at a record annual rate of $300 billion accounted for about
one-third of the increase over both the preceding and comparable

quarters, with durable goods making the best relative showing.

1958

shift

The

from

liquidation

inventory

accumulation

likewise

one-third to the over-all increase in spending.
Government purchases of goods and services were nearing the
$100 billion mark, with state and local units accounting for a
substantial part of the gain. Residential construction and purchases
of producers' durable equipment also added moderately to total
spending. Net exports of goods and services, continuing the marked
decline of the past two years, in the first quarter showed a nega¬
tive, or net import, balance—the first since the third quarter

contributed roughly

of 1953."

Week

Nationwide Bank Clearings Up 1.7% From 1958
clearings

Bank

this week

will show

increase compared

a year ago.
Preliminary, figures compiled by us based upon
telegraphic advices from the chief cities of the country, indicate
that for the week ended Saturday, May 2, clearings for all cities
of the United States for which it is possible to obtain weekly
clearings will be 1.7% above those of the corresponding week last
year. Our preliminary totals stand at $26,239,138,822 against $25,798,386,876 for the same week in 1958. Our comparative summary
for the principal money centers was as follows:

with

1959

Week Ended May 2—
New

York

$14,761,884,874

"1,247,874,739

1,159,900,030
1,070,000.000
696,821,342

—— ---

1,638,900,000

Boston

—

Only

1958

$13,684,546,685

—

Chicago:
Philadelphia

attempt to strip away the mystery
that for too long had surrounded
the investment process.
Through
every

pected change 01* emergency, such as prolonged and widespread
labor troubles, a marked reversal in security prices, or some new
international crisis.

them well, and by demonstrating

When

clearly at

are

that

share from the
at

While business and consumers alike are generally optimistic

boom.

about the outlook,

executed

were

either at variations of

Discusses

the

orderliness.

the

time

The swiftness

the upward

institution we

thrive

and trade, and

movement, accompanied by widespread inventory
accumulation and sharply higher business profits, has carried us
to a new high in many economic measures, removing most of
the doubts that we have now passed to the early stages of a newof

the

has been strong and broad, based upon

pace

recovery

first quarter data on output, construction, income,
this trend has carried well into the second quarter.

$7,500 to $10,000 bracket; and then

at what is occurring to shareown-

it is

"The

"tar¬

our

situation:

ness

re¬

and when

moves

from the inside to the front pages,

V
♦An address by Mr. Funston before the

Denver,

with

to doubt that they can

phenomena.

England Letter" contains the following observations on the busi¬

followed by 4.2 million

more;

Business Failures

and

handle these risks, is
handle any investor.
other part of their heritage.
<
1
The concept of a liquid market,At the same time, I would rec¬ I might add, is no play on words.
ognize that concern over the pub¬ The man in Denver who expects
lic's
participation in the
stock to sell a share of his stock at about
market is being voiced with in¬ $40,< and finds his market order
creasing
frequency
these
days. has been executed at $35, is not
people

three

least

Industry

May issue of the First National Bank of Boston "New

The

2h> million nonshareowning

nonshareowing

astonishing growth of our can handle the responsibilities and
More than
corporate
enterprises ir> recent risks of ownership.
years has been accompanied by that,
the
really unique
thing
about our economy is the wonder¬
a development that is equally re¬
markable but
ful opportunity open for the broad
much less unmass of people to take advantage
of those responsibilities. In short,
derstood. It is
the
mush¬
the
Exchange believes that the
trend towards ownership must be
rooming of
shareownerencouraged among all those able
and willing to take the sensible
ship to an ex¬
tent that has
risks of investing. To doubt that
The

Trade

Commodity Price index

man

families earning $10,000 per year
or

Output

Auto Production

and

get" areas—research that showed
some

Retail

Food Price Index

much im¬

were

Production

Electric

State of Trade

sound

bonds,

that illuminated

census

new

for

pressed,

of shareholders;
and asks the government to lead the fight against inflation, and
create a tax structure that does not penalize investment.
completion of

corporate

and

Steel

7, 1959

absolute

average

gain from

cash savings.

today's market and the 1920s; explains why "the
investing picture today is not one of unalloyed brightness";
near

'Thursday, -May

Carloading*

program of investments that in¬
cluded stocks along with govern¬

or care¬

between

announces

the

that the

much

had

conviction

The

ards.

Funston points out

cannot do for those

omy,
and
the
needs
of
an
expanding population called for
staggering amounts of corporate
growth money. It took no unusual
vision to see that many of the dol¬
lars required could best come from
one place—the bulk of the Amer¬
ican people who were moving up
in income, and up in living stand¬

810,444,380

■

—•

"Miracle" Seen Preventing Steel Strike

Steel mills

are

4-16.3
-

set to meet fire with fire should .steel labor'

its battle for a "substantial" wage
Iron Age," national metalworking

try divide-and-conquer tactics in

according

increase,

"The

weekly.

said there has been speculation that if steel
currently in progress break down, union leaders
might strike some companies and let others work. The struck
companies thus would be under greater, pressure to settle with
"Iron

contract

Age"

talks

the union. •

Another
if

\
reason

why the union might try this strategy is that

companies not struck by the union shut down anyway, the
claim a lockout and its members would t>e eligible

union could

compensation.

for unemployment

But if the union makes

any

such move, said "Iron Age," the

companies have an answer: a mutual assistance proposal. Provision
lias been made to put into operation something similar to the

Continued

-on

page

Member Firms of the New York

War
As

Correspondents inprincipal cities

throughout the United States and Canada

Against

shareowners"

OF INVESTMENT SECURITIES

were

hammered

the Exchange

nity moved
rights.
The

UNDERWRITERS AND DISTRIBUTORS

Fraud

corollary to this we have
pressed our continuing war against
the tipsters, phony promoters and
get-rich-quick artists.
On other fronts, the "rights of
a

home and

criteria for

Today,

Dominick
14 WALL STREET

Dominick

York, American & Toronto Stock Exchanges
NEW YORK

every

lias

joined

Exchange

month,
of

that

our

Trading Department

listed

H. D. Knox &
Established

—

Board

announce

remaining listed.

furnishes periodic re¬
ports to shareowners; every listed
common
share carries the right
to vote
and every listed com¬
pany is expected to facilitate that
right by sending out proxies. Just
last

pleased to

JOSEPH M. RINALDI

Commu¬

company

Members New

are

strengthen those
requirements for a
company to be listed on the Ex¬
change were raised—and so were
the

for

example,

Governors

Continued

decided
on

our
that

page

7.6

4-15.7

Stock Exchange.

1870

7.3

Co., Inc.

192G

INVESTMENT SECURITIES

State

St., Boston

11 Broadway, New York

Volume

189

Number 5844

The Commercial and Financial Chronicle

(2089)

the

of putting
force which
the new Europe represents—that
business as well as political states¬
manship should see to it that we
we

Integration of Europe

are

And the U. S. Economy

avoid

process

this

together

the

great

creation

; Scottish

adage:? wherever

Gregor

sits,

this

the

Germari scene.-r

One

Berlin

European

gration; and the financial

sense

unleashed by inte¬

power

three economic

top officials regarding

our

with all the

areas

know

some

the

former

topics commented

be found to achieve

upon by the former U. S. High Commissioner
Germany. No stranger to the force and dimension of Euro¬
pean economic growth, the now head of one of the nation's
leading banks notes that European absorption of our recent
business dip is indicative of economic vitality evident there.

developments

duly long in :'
coming.- But '■
another post¬
war
develop¬
ment/ quite r
coraparable
with the com-i
bination
these
if

leadership is meshed in with the
strength and the moral power of

;;

even-/-

significant, is the 1".
more

this

trend

where
lion

McCloy

to¬

have

between

and

150
a

area

people, over

some¬

200

A force

culture and art.

power,

in itself

force

concepts

the

this

German

great

moral and material, that it

need not bow to any accumulation
of strength from any quarter of
the globe. To speak of its function
in the defense of the free world

are

than

businessman.

the

located,

Cen¬

products

good

have

in. the

many

heard

course

West

one

which business statesmanship and

political

statesmanship

ber

wars

occasions

and

much regard for the

lin.

Thuringia.
armies

West

his

had

that

future.
at

just

unfortunate

where

tionship which is developing be¬
tween France and Germany. Both

they were in
and
when' some

Berlin,

that

never

seems

mind

the

lie

center

*An address by Mr. McCloy before the
<jrcfe,
Inc.; New York City, April 27, 1959.
t,

not

in which to replace the center,

to remain free.
Dis¬
engagement is a pleasant word to

period we are lin /in that beleaguered
spo,t and
compelled to rearrange our forces sensing in these periods of ten¬ roll around the mouth but its not
and our teams, so to speak, as we sion
something of the mood of so pleasant when we call it by its
•go forth to deal with these is¬ the
true name, withdrawal.
• ;
people, I came to feel, 'with,•■Vv....,
i,
sues.
The illness of Mr. Dulles all due
loyalty to my ' German
What disturbs me is that we
means that we shall have lost at
"Heimatstadt" ; Frankfurt,; t h a t
strive to come forward with al¬
this critical juncture, a man whose Berlin had a
greater appeal than most
every • conceivable! position
intellect, force and character have any. , of the German cities. y < We;
and
suggest
giving - it 1 away
become almost a symbol of the
always got a good bit of criticism before we
ever reach the
nego¬
firmness of the Free World and down in the
Zones, but we could-, tiating table. There are a number
of the capacityto deal with the
rarely do any wrong in Berlin and of
things of course that we could
maneuvers—whatever
they may that was perhaps one of the rea¬
do at the table, but I don't like
be-r-of the Communist offensive. sons
why I became soX fond of the idea
of giving ^ every inter¬
But at the same time we find that
city.
You could be quite mediate
po§ifj&n away before we
Chancellor Adenauer in the proc¬ critical of the
.

■

Americans

around

get

Frankfurt, but

very

far

with

down

even

didn't

you

sit down. This is

which

Berlin.

never

technique

commended itself to

in dealing with the Russians,

events.

industry and skill emanate

■

United States. Bankers are aiways

May I

Secretary

indication

United

Herter

States

steadfast

the

know

fact

whoever will

that

will

policy

heretofore.
the

the

Moreover,

Chan¬

and

others,
ers,

number

including

came

and

senators

forward with all

this induces pneu¬

States sneezes

interlop¬

some

monia

man¬

now

of suggestions and sloganisms
such as disengagement, getting off
ner

Europe.

proven

have

don't

had

see

Europe

not

any

seems

Well,, this has
to be the case.

our

sneeze

announce

INVESTMENT

that

Continued,

page

Kenneth F. dietz

■

'■

».

•

announce

firm

our

as a

Frederick

New York

■'

•

£»■

* •

opening

■

office

located

14 WALL

Palen

has become associated with

the

- -

General Partner
and

y. «

SECURITIES
^

has been admitted to

Research

and

fever in Europe.
to have been, very

and that is the great need—while

pleased to

■

Europe ~ is

Europe^ but after being in Ber¬

are

might

tirely forget the past, we cannot
now certainly afford to bear re¬
sentments based only on. memo¬
ries. I refer to one other thought

German Ameri-a

our

when

be moved further east.
always further west There
much, space left in these
days with the new speed tables

can

this

Not

find rather large sprawling sort of a
the answer to. I refer to the sharp
city with nothing of the architec¬
issues which are facing us in the tural
beauty of a number of cities
near

possibly

City of Ber¬

Somehow it seemed to

That

were

policy,

num-~

seems

Senator says we must get off dead
center 'in respect to- our Berlin

pe¬

never

Berlin, it

should have immediately said we
to
reoccupy
Saxony, and

wish

cellor, !I cannot believe that there
will be any fundamental change dead center, as contributions or
each
other to
generate antago¬
in German policy.
Knowing him supposed contributions to a proper
nisms and resentments that could
settlement of the Berlin issue.
last forever if we only allowed fairly well, I am reminded of this
ourselves to dwell upon them. But
if we cannot and should not en¬

experience.
And at the core of
this new strength is the new rela¬

...

simple but

heard in connection with defense
matters—and

not

demanded.

has

Europe there has been such a de¬
trip wire, as mand or such a need for business
some of our strategists have called
statesmanship.
Old
animosities
it, is to me one of the most fantas¬ have to be submerged. Goodness
tic -concepts which I have ever knows, we have done enough to
as

statement of

say one thing more about Supposed to say something about
long Berlin. I do wish that we would the
economy
and look wise in
and well and his very selection stop
from
German industry, and the
vieing with each other in regard to economic future. I'll try
with
the
undisturbed public in coming forward with to
German businessmen are perhaps together
go through that pose here. One
above
all
others in
a
position continuity of those in the State compromise solutions in regard thing I would like to call atten¬
including Mr. Loy to how we should act in respect tion to is one of the
where they now have the respon¬ Department,
slogans
No
sooner
had
the that seems to have commended
sibility of developing wisdom both Henderson, who through the years to Berlin.
stated
their maximum itself to our
in political and economic fields. have worked with Mi*. Dulles and Russians
thinking in recent
followed his leadership, is the best position than the top columnists,
I doubt whether ever before in
years, namely, that if the United

trally

such

with

solution

believe that the solution

in' the

•.

quite artificial.
is

Germany

miss, is

day operations of German policy From somewhere out of the spirit
though I think it is the experi¬
the honored position of Presi¬ of those
people some new Lucius ence of all those who
have dealt
dent of the Federal German Re¬
Clay will again strike the note, with the
Russians.
public, where, no doubt, his influ¬ receive the response and take the
ence will continue to be felt, but
action which will maintain not
U. S. Economy
to
the
commercial
/
interests
of where his
responsibilities will, of only the freedom of that city but
Now let me leave politics.
Europe such as they have rarely course, be less direct.
I
Yet I do the integrity of the whole Free
faced in their long history. No¬ not see
come
back
to
business.
More
any change in the direc¬ World position.
where does this challenge present tion of American or German
particularly, I should say some¬
pol¬
itself more prominently than to
thing about the economy of th$
icy resulting from either of these
Decries Compromises on Berlin

which, when integrated, is of such
dimension and potential strength
that continued insistence upon the
weakness of Europe in relation to
the strength of Russia, China or
the United States, is rapidly be¬
Here

The

days of desirable division
European Continent, so
the object of astute diplo¬
macy, have passed.
New and ess of moving from his position
broader
forces
are
working. where he has directed the day-to¬
deep political
implication, but at the heart of it
are economic and business impli¬
cations which throw a challenge

managerial

technical and

our

the

Much

skills, not to mention its role as
the great repository of Western

coming

and
.

Newer

mil¬

million square

miles and the center of most of the
world's

liberties

our

long

integration.

Here

..The

John

power through

ward

both

visited

con¬

circumstance

need

nations,

peace.'

o-£f;

Euro pea n

Atlantic

fear, as I have
said, of an imposed will from any
quarter of the globe. On the con¬
trary, with such strength of re¬
sources, we possess a full guaranty

growth

western

there

■

forces, /

not-

the

riod between the

the old city states. When this
combined strength and
cultural
as

spirit and determination
the people of that city.

such

maximum position! When the
Soviets said they would occupy

that I should pay my respects to

Dulles and Adenauer

anachronistic example of divided
peoples and nations as out of date

un¬

par-

Free World.

We have heard much of the rise: East and West are stirred by this
of
Soviet power.
We are now new phenomenon, but without it,
beginning to hear also of the rise Europe would be incapable of in¬
of
Chinese power.
Both
ithese tegration and would remain an
have been

not the

tail, but the full strength of the the

DDR—-whatever

What I

de¬

but two of the

are

talk

our

politicalisms,
which
could
so fenders of that
city and I spent
readily flow from them, if we did some time there myself during
that.
Somehow some way must
periods of some tension and I feel

the importance of the dollar's strength

seriously

means.

The significant growth of

already
the Eastern

seems

away
we,

federation

...

It will do
>1 probably should not say any¬
us no good and the world no good,
thing about Berlin at this rather
if we merely create within the
delicate period perhaps for fear
Western world
two
or
perhaps of being called an
interloper, but

By JOHN J. McCLOY*

Allies

our

about confederation of the Soviet

~r -■?

economic antagonisms.

Chairman, Chase Manhattan Bank, New York City

dominated
On

new

any

Mac-

the head of - the to have given
table.' There may" be something of frontiers and
is

our

STREET, NEW YORK 5, N. Y.
Telephone DIGBY 9-0-134

Department

G. PETER NARES,

•.

RESIDENT MANAGER

GRANBERY, MARACHE 8t Co.
/

Members Principal

Securities Exchanges*.

wall street, new

May 1,1959

york 5, N. y.

Affiliate

James Richardson & Sons

Established

Serving Investors Across Canada

1857^

€

The Commercial and Financial

(2090)

"Never Call the

Copi"

into the

New York City

President, Esso Standard Oil Company,

foreign

opened

Oil industrialist denies all low commercial consumer oil prices
originated with major oil companies j describes this period as a . ;
temporarily painful but necessary free market situation; and
predicts that if petroleum demand continues to expand 5% v>;
each year, capacity will soon be reached, freeing the industry ? of troublesome surplus as supply and demand come closer
together. Mr. Naden reviews problems facing jobbers, opposes
! arbitrary limitations on oil imports, deplores the profits-squeeze,
; and suggests segments of the industry join ranks to forestall-public intervention methods of settling industry's internal difficulties. Sees no point in Calling in the cops as the answer to
] gripes and complaints in working out intra-indusfry solutions. ■ -

|
j

j
j

The

has

business

oil

been

oil for

ing

many'

who have

left

oil

panies

inde¬

come

j o b-

pendent
foers.

have

well.

done

Others

very

welly*

None

have

came

hear

jobbers scrambling to

work

for

come

of the majors!

any

This year the oil industry completes its first 100 years. I have
been in it for the past 32. They
have been exciting years—years
of growth, technological change,
ovpr
nn-pasin?
ever-incieasmg

and
and

Diesel

oil.

William Naden

But

seldom

dPimnd
demand.

upon

H?/
.

^- ^
^
ProfR Squeeze
-.'Letme. turn to something

been.,

significance

,|2rfes

iPu!;

States.

industry

our

Only

ana

our

profits are

agriculture,

trans-

gortation, and the public utilities
have
lead
on

Our

us.

estimated

investment

about

$48 billion — and the oil
industry provides work for over
a million and a half people., The
industry presently spends about
$300 million per year on research
—-to
improve existing products
and to develop new ones.
;
.

good business, and in

;

Prnhfomc

„

natural

...

.-.

We don't

;

»nna

mandatory

profits;

Now I

course,

I'm

imbalances develop.
in such a time right now.

are

•

• v.4

•:

Sees Product' Surpluses Ending

,ys-

;

?• •• ':scicjus

not; thq '

large and small.

(

It applies to the

the-iobA^„a„se

certainly don't.have

answers

fact,

consumer Abusi-!f

ness;

final

operation./ The surest—if to build more capacity. The flow
only^vway^^ to improve - of 4 capital^ intd; that :end; of ; the
: Cfthe- profit pictufe is to reduce -business has slowed down.; The
taxes,ftaxes,.;,costs.; .This applies to everyone, excess of 'spare capacity-is being
?

commercial

for

.-open

" j-

when certain

competition;..;
i mport,

benefits 1 ofr^al free ^

the

enteiprise systeni^

„

taxes.

whittled away in some areas.

The

cmPhasis is now on eetti»8 Si'eatcr

these

that

sure

,h(,

know

th««1

these

°^""d

Products continues, to-expand 5%'-

tet cdts wlth h,gh overhead.

But these

things than I do.

. ; each year, .weIh soon-catch up ,
.,with.; capacity^ bringing supply;/.

SUmef

dpmrfnd

and

tnrrr>ihnv:' WHnrt

found in the oil industrys

men you
These

chances.

They

men were courageous.

took

They

welcomed

change.
They believed in free
competition and were sure they
could make a success of their operation.

They were not afraid of

ideas

new

They

had

necessary
; '■

and new techniques,
the guts and courage We
to roll back the frontier.. ness,
■

,-v

(

15oth;feet irtcrease in refihing capacity
long already.- the last war.T Demand was heavy effect on the future of the i
•>
Ihe war and refiners built dustry. /-?
' : v.
Plan to Promote Oil Heat7
/
to catch.;up with it. Korea forced
At this point I should call upon
also think it's true-t;that^wfi :)eyeh..f.>hore
construction. Conse- all segments of the industry to

get into this battle with

Current Problems Are No Worse

...

waited too

—we've

worse

meas-

business' to >

feel'about this business,

fnUfipr^ J 'industry reported 25% less net Uo enjoy

-gas

...and, of

«dly accepted that

can

jbrs::Tnmany instances, the lew *
was a jobber bid. rln
othefs/'f

■

some

are

v'.-'V-':tiOnSJ:^...

Certainly
we
have problems
today. But these problems afe no

you

lost

com^ bid

picome^ aft^^thkds/ .ffian wa
of; the
ported in,19$7;;;,
SV'7;.
problems that have been caused?,^ We htrte found that we cannot
by
these -changes?. Basically, ,T depend On higher prices to bring
think they are these:
Srrz,:, in profit: Only one road remains
r

.What

;.:

estimation, it's going, to stay
Take energy requirements,
Cor.example. It has been gener

«ny

good.

example,. I know.:

rion-ihtegrated refineries—
and tbrt jobbers: as well as to ma-

standing characteristic of our first
j(jo years was the caliber of the

; This is

so.
For
Esso f has

that

pricesv originated '
companies. -This ;

small

being cut all

changes in the demand pattern.
the v .In fact i think the most out-

United

oil

to 'netition aresrmeezinn all hrnnei-»#»cc cftnniWe-Jf-

Today, '

low

major

is not

? 4
we

all favor—profits. • Unfortunately;
the.pictore is Hot too favorable—

ousiness inejevnas

„

adjust to these rapid

adapt and

all ■' these

with

been

■'

ch™£l*?ve taken pIace
™

exists,, the first I
that is affected, is the com-f
niercial
consumerprice. -There
has-been a great deal of talk that

engines and aircraft
the scene. Oil heaters

the men
th/,

has:

■

over-supply

pnee

•

furnaces became commonplace. At this time there was a

S.™'lar

and

™U.for

there

great

neanng on

...

death.

change.
Here-,^atuVa^:a.lofigf the? line.,'' 'WTo know; that like this situation any better, than >
gas has grown from
infant, to - jobbers. are having profit ptbbw * they/All^bf * Us knbW that
t
giant proportions as a competitor^ 16ms; too. : <
'
giant nronortions as a cofrtDetitor klCrrisf fob. V ♦ ' f"• -1^Y much' vw ' iHti v business iw
r
- *&#
of: this
has gone '/•
in the home heating market.
v
" " """' **
'*
"
"
J
'
Changes
of
simply do not
tries.They are..
industries which afe free;e'ne.i^ Ji/ve' been depressed for quite a situatidn- ^ a
situation' which "is
getic and dynamic. I A; while. Last year, for example; the - really nobody's fault. For in order •

automobile, and we changed
our operations to meet the enor¬
mous demand for gasoline.
Ships
and
locomotives began burning

done

starved

the

have

-/^/ - ^;-/::

•

chains has^beenyaHor-rising: costs vaM< bitter

brand

reaching changes that took place.
In the early years we operated
a
kerosene business.
Then came

Some

marketing,

also

tough, and demanding years. There
were
many
problems that con¬
fronted oilmen.
There were far-

be-;

business.;

chance

100 years were hard,

first

The

com¬

the

private

tfiah

problems

many
more
before.

ever

increase'

any

• •

■

the

competition
as new markets have been sought
-by everyone.
The growth, of ihe

business—for all of us.: It the best place to do it!
:
ceejns to be especially good, how? It's been said • that , 'the first 100
ever, if you are in the jobber or years are the hardest."
I m indistributing '
;
4 f
clined to agree with this, even ;
en'd of the
though it's popular nowadays to
think that the oil industry is fac¬
business. I;
men

corrteron

have

intensification

4*odd

know

•

end

living, this is certainly

vigor.ously^vselves, have/caused,

•

ESPA

:;The fight's not over yet, by any
scene; along
with larger^ trucks means.^; We-must keep: up the"
and
more
efficient
tugs/ and struggle—let our elected reprebarges.- New products /and^new 'sentatives-^lit- Washington -know
:
processes; have been developed | how t this matter affects us—and
especially In -the petrochemicalvlet thenl know Often.
/
r
/

„

Historically,

con-

capadt&forrhas opposed arbitrary limitations> in i the consumption^ of gasoline. ;•
pfdauctid'h,^bn;:impdrts,^rf, 'fq^/the'time -being*. After jugglingithe hot-potato from
n<§vr entries if£looks like, we have lost this'hand to.hand, it has not :disap- j*
business,- and many new 'round
'remembe£that we haye peared. We are: still left?with*it//
oil
areas
haver? been receivfed'"support for our side from burning; ourrfingers.
;
up.
-In
transportation 'many quarters.
•.V •'Whenever ah industry condition T
excess

supertankers

with

Thursday, May 7, 1959

number of years.- In
there have been many
a

By WILLIAM NADEN*

[

refining, We have been

fronted

Chronicler.

■

than the ones wet met and

v
-

solved in the past. Our current haven't done as vigorous a job in qiiently, for the. past few years, unite—to join ranks—to make a ;
Problems have been caused by promoting oil heat as the utilities .'there has been an over-supply of - common front. For years, meii :t
changes,; just as the problems of have done in pushing;, vgas , heat, gasoline seeking an outlet.
- .have stood before us telling us
But I
have
tise of energy outstrips all other
high hopes fpr'.thie^ This is.the.reason.marketers are -to settle, our difficulties within /
yesterday.
; ■/ ;
:
j]
National Fueloil Council., I unnations—and we have the highest
The oil industfy has, probably
seeking new customers all over -the structure of our own industry,

•ire

the

well-being of

people
by the. amount of energy they
consume.
Here in America, our
any

changed more than any other major industry since the war. Every
are supposed to increase 63%
in Phase of the business has been
the next ten years—and the per- affected by
new developments,

derstand they have come up with

living

standard
in
the
world,
American
energy
requirements

centage

those
-i

requirements
i

-n

supplied by oil will also
In

case

you

are

increase,

going to peddle

address by Mr. Naden before th«
Ctnpire State Petroleum Association, New
Vork City.
"

the.place. This is why West Coast

excellent promotional program,
companies have moved East, and
Council has a budgfet /which; vice-versa. This is the
reason be-

The

We were warned that government
controls and intervention into our,
business

were sure

to come if our

$3,000,000 before.*the hind the vigorous growth of retail
end of the year.. This
isrt. certain gasoline .chains.
to have a real impaction" local s V,,
.
,

ma.Ike?.^LSP^ API is
»
In addition, the

-Imarkets merely,shifted"
prod-

S°me °f these changes haye been

accepted; others we hAve tried to
reject.
Some have been fully
understood, others only partially

don't have that privilege because

not

aifed
- *

constantly

squabbles were
public.
ui:"

new

financ-

going

join

*
CI eated - problems and,
nately, dissension. •/* **'"

Unfdftu,r

higSthe°efficienc^0^ oil ^rrmrs
and fuel oil

also is

and

eoing'to

has changed.- VolumeThe Federal1 Government; wa$
has^sv^ung from i°bbers to ma- invited to arbitrate an interftal

•

study unconventional concepts, in

Servicer
V>

,
>

■

*>/

A '
j

'j-

r'/.-r.

•" '

*'
'

<,*+

♦

controls

whether

LOS

ANGELES

•

ment

will

YORK

•

CHICAGO

in the

What-does

the

crude

this

trading market#in:'v /;-,,

■;//

barriers
go

up?

the next

; * j

Common"

„

Mfg. Co.
.**'

/
"■ /,

Spur Oil Co.

i
t

21...

*•

•

'
-

Established

1919

„

•1R. S. Dickson & Company
-

INCORPORATED

Does.it

come

Common

priees only? Residual

Will

Morton

A,
'

;".
'

;,;

Common

** Colonial Stores, Inc. >; ^//

mean?

Member Midwest Stock

Exchange

down

CHARLOTTE

Will price'
step? These

unresolved, fuzzy questions—
but serious ones.
"
*
"r
are

2"i " '* "i•'
-

T-

♦

•">

executive order con-;

prices

controls be

Serving Investors

'//t/':!//

shorten"-

cerning "scrutinizing prices.

leading commodity exchanges

NEW

.*• 2

•

-.;

disturbing aspect', of i
imports question is the state¬

the

mean

38 Offices

controls

prices?
•

are

Another

Co.

Honolulu Stock Exchange - Chicago Board of Trade
and other

•

(

New York Stock Exchange • Pacific Coast Stoek
Exchange
Midwest Stock Exchange • American Stock
Exchange

FRANCISCO

the !,recent:

going to affect our .,
operations. Perhaps it's *too ..early ;s
to
predict
with
anycertainty v

both.

Members

SAN

i; rVTe matntctin active
VVv H-*y.

supply—increase price—or maybe/

De anWitter
&

-aware

-rj'

...

Private leased radiotelecraph
circuit to Honolulu

are

-Af'-ry,

import .controls.\ Certainly .these :

\w"

'
-

Yh
/.

Most

—

* ">
t

"
/''
Import Quotas

markets: *-

:
f

—j1*?-—.

•s-ZM W/
/,

is, of course, to increase fuel oil;

i»»f IUWTO It!

fyf'/h

predecessors .by "crying wolf." ^ I

other

reach

may

Atlanta

Columbia
Direct

NEW YORK

Greenville
Wire

CHICAGO

Raleigh

All Offices

...

Richmond

•

Volume

189

Number 5844

The Commercial and Financial Chronicle

(2091)

was

^accepted. Of course,.,this is .This, kind. has ; always, and .'.will
not:.total;control — far from. it. always, be with us. •
' - V
However,;-Control of imports af-L
There's the kind that knows

^nZTnnt0' the indUS":

try.111

some

manner.

(

go up Aow

-1
u

when .things

possibility of price controls, being
i
Oil

kind
are

lone
long

time
time

have

around
around

that knows There's',™

mg
and
.-changing?.;ai

thp

•'

Fpd

plaints: Leti"wor'k'oit'"ou1^

for independent long haul,

room
in

industry

does care—but his concern is to
r»lnr»lf- '<'■
r»
ctonH
clock1"; 01/to stand
i/://',/ "//'
beeri/tilh
'.*•
;>/">'y'

calf-

eon-

the

our

•*« <

restricted.

And

finally, j there ; is Ihe

note

page

Integration ol Europe

sibly' have doner Prices

nwst

the

Economy

;

they have had to. say
the need for a stable
and

tern

and*

CLUllV/lllJy

I, for

J.-'.W

'H'1)

not

when
this
dynamic in¬
falls into the hands
of
bureaucrats who lack the interest,
and

information

r JUOt

fii -1

tb£

bllC ? UillC

WllCll

better look out, but
on* 'PPw^r of: the gov- Vail" the signs that I
t.o make thpir mffmiim-PQ •
1 i.
• .

;

jUU

IlctUl

must

say

can

look

Keep the Cops Out

experience

*w«

•

around

dustry

;A jobber once told
.about

nec-

his

ehildhood

relatively

due

t.h*

vpwp

f here

total government regulation.

And

doesn't

make

had
any

standing'rule

broken.-

never

which

was

rule and it worked fine.-'It

tion is being caused by our internnl
nnnfiiVtc
onri
nal
conflicts
and
intra-industrv
inxra inausiry

"Never

sniping.
It

...

seems

capacity
that

the

un-

a reaJ

pontimtp

1 hpv

to^y ^

least be honest enough

put our head

on the block ught
it. would be quicker
.than stabbing at each other with
now.

;•

budeet

Who does all of its- feuding, fuss-

ing,,.and

fear

i :

100 years were char-

branch

;them.y; / they

are

For

tops.

Four Kinds of Oilmen

never

There's

the

know when

kind

things

that
are

does

not

continuance

to solve

for

.theg

future

our

Alan H. Rice, V.-P.

ha^ the buUt-in feai
tbe experience o± a real

Of John H. Small Co.
H.

Alan

Rice

has

been

wi»
Joh» Sma11 & Co., Inc., for sev-

our

;

•

This
*

„

announ cem en
-

t is neither an

Bonds.

•

/E;,■;

-men

probably spinning Jike
one thing—Ti bet they::.
the

offer to sell

The offer

nor a

solicitation of an offer to buy any of these

is made only by the Prospectus,

function

A labama Power

day i,1would

First

thought.

Company

Mortgage Bonds, 47/s% Series due 1989
Due

May 1, 10o9

the

one5 of

-■::/

: $20,ooo,ooo■■

Interest

May 1, 1989

payable .Xovember 1 and May 1 in New York City

Price 100.393% and Accrued Interest

long-standing specialty of Stroud is making
Philadelphia Bank Stocks—whose pro¬
longed dividend records, inherent stability, steady

markets in

attractive

Copies of the Prospectus may be obtained in any Stale from only such of the
undersigned as may legally offer these Bonds in compliance
'

with the securities laws

',/

send^you our latest quarterly com¬
parison of 11 Philadelphia bank stocks, dated
March 31st, 1959? Just call or write our Research
we

Department.

—

(

<
-*

May

of such Stale.

yields offer appealing

opportunities to investors.

•

•#*'

MORGAN STANLEY & CO.

GLORE, FORGAN & CO.ALEX. BROWN & SONS CLARK, DODGE & CO.
1

•

t- IF. E. HUTTON & CO.

\ *
'

•*

1
■Vs-

'•

IF. PRESSPRICH & CO.
"

ESTABROOK & CO.

WOOD, STRUTHERS & CO.

COMPANY-

INCORPORATED

123 South Broad St., Phila.S • PE 5-7330

LA URENCE

AM.MCO.
RKS &

PAINE, WEBBER, JA CKSON & CURTIS

COURTS & CO.
;

120 Broadway, N.Y. 5* WO 4-8400

-/,.

PITTSBURGH

•

'•

AILENTOWN

•

elected

,ne the only professota who can
get the front page of the New e™! years, was formerly
York "Times" seem to be those Bear, Stearns & Co.

own

-currency,' I cannot feel that

P. B. S.

growth and

business

of these problems*

some

•.

what vthe

^ dreamed

Jobbers'

?,lcb

the

prosperity. Statesmanship will frequently require the acceptance of
harsh business sacrifices if we are

inflation, such as the Germans
have undergone, induces. This has

the

g00d to be found

the; Department

I just want to leave one

changing;

countries

& aU

^municipal and
^^meani^tlt ^lernfto ^ Kice- who has been

Dated

•

that

of the

arms

who W ';'<?■
industry would-^think *.
of us now! ■ They : are " not just "Ui E 1
turping over.:,in theirr^gi^aves—Xf-r

fighting

rwith

first

Imagine
built this

in-public., Its
neijghbprs not only think poorly
of;^hem-^they are darrin well Jed
up

what

The petroleum-industiy may find itself operating.
as

underdeveloped

world. Nor

'wI
fence^ound'^oiir^lvM

family-of the Interior.

the

people: that

can

ond 100 years!

iible position—both in vrelation to
government and in relation to the

are-like

haye

cur"
the other hand we

™>dern world require statesmanship to deal with the problems «t
Europe and • America and the

^ 1 s®«

toriore

dollar might indeed grow weak, given them an attitude which a Vice-President of John Small &
Sp!! ' °f course, one can say if cur- makes it unnecessary to argue Co„ Inc., 25 Broad Street; New
v>rencies'"'have' 8rown in strength about the ills of inflation.York City, underwriters and deal-

thinrfc

our ways—and change them fast
—there isn't going to be any, sec-

constant
bickering, and childish fingerpointing have put us in an unten-

.We

rencieSt But

without.

those

some

Our continual dissent,

public.

acterized by free competitive en-:
legislators and government leaders
terprise. - How. are we going to E
;
spend our next -100 years? -l can v- Ey
answer
that.
Unless we change ^-v

I think

dull knives.
v

tVpoyp

Is never found in the

H^ completely, regulated, vlets state.
wanbrourrimlustrjj0,:beOur

come

tenance

1-hP

losing the

change

aro—kppn

InSVbuifd

ln«5inff

forces that play. around us in ,he

too, remote past with the mam- have not

wp'rp
we re

face

liko

was-

cops!"

that
mat

wouldn't

fer

the

fear.

time

hoc

want

call

afraid
atram

^'tTh^S s^iaTanTpolS

ffe|r ,?wnLin ilitefo£futherf $ct as' ^'w^Bo^ment^DollCT•
ha,1
2 J
of the dollar «? a^- Wtae government policy.
>lad something to do in the not Fortunately 01 uirfortunately we

was

the

a balan.ce(* budget *our

ItaUans_none

simple

happier to know that this situ*-

T'm
i m

vpw

Aroericans. French, English,

sub-

of unused plant

™°}.e ?"a

nri

whe?e

from

and I dare say that

year

Yram ant «fh?eet to anothS"
x shoSd
1 snouid reiurn to mv
return to my

iritoUgh;ttei^hbor-"^which chave caused some of our a
ll(*L\^
g
the ^ds oh ?he friends iabroad a certain mixture seeTms*0 be dlsappeanng.
block were eood kids
hut
of emotions, with some a certain
ln this country, I say to my
if we are ever wound
up in miles
independent
characters
Sciuabsense f of- satisfaction,
that the German friends, we have really
of official red tape and
hamstrung k]es were freauentk and nobodv Position of our currency is be- to excite ourselves to the need of
by the tens of thousands of forms
gre'w UD without a bloodv nose ginning .'to compare, let's say, a solid currency, particularly,
and reports that would come with
once
in a while
However
thpv
somewhat less favorably
with when the rationalizers of little
;

guess

far

budget,
is that we

pe£aDS
tEerilaPs

See'mII !LalrrPP»rJla«

He grew up^

^oof

to
cbnduct
a
profitable
business. I hope I am not around
essary

not

the

balanced

our

capacity stin about We have

Brooklyn.

doubt-

soUe°S^l^^Drofessor^

of the level

stableheThere is'a^ubstable,

• .—

into the future

♦

^vvwuc

w<: have had some economic
developments in this country

story

are

say my

GVen

have been losing out

iudement. not

Our prices

and

see
*

sys-

they

sme

have

resolution

ensuing

concerned—by every index which'"of stock market prices,-we are, in
the^nnP

S^L-t0 makC their dUf,CUUi<?S rl po'f" ^ » vigor,)us fivture'at
;
i? east aktoas one can reasonably

•

t
hope that I

one,

i.V_

Q
are

Th
«
These

nature.

what built;theoil industry to its
I
"
present position,-vitaltb the coun- '
t0rey
try iri;: peace arid W^F *
'ovnment.
,i-

Perhaps

^. me; that
different

;

of Europe

stable price

top. their

evidence
shall

responsibili.-

But at^he same.tmi^ht'seems i^ndIt^ahgurs well for the future.'in world marked,
are developing :.;',So far as our own economy is pripes. But in -spite

Snsa

Rell^

Federal

currency

but,

ar^G weakness*
S°;ve?
pards as" businessr eopditibns. improved,irrespective of Ethe^ new:

ffaandal

however, that the most eloquent
expression,- that we could have,

imports program.";*

the

money

anTfttle^

has

what

And the B. St

®eviirst 100 years
l
F^u^ly^'so^

go^

determined.

pos-

18 known

^J° r£is_l??_ *e?eraA eloquent
Board. They have been XeserY?

; v

government"Regulation could

regarding

'Gonttnued ■ from

kind

the
and

the In4.,oi.:..*' ' If' prices l tu.rri
liiO industry^if «-Idurri- harlf thp
back,the

,that imports .have

^Ihe

problems—in the

we'll be glad we didn't

cops!

sacred cow of sound
Now the Present

areu^d a iwhen th^are 'griSs^d 00^
solutions to

who £lck wbat

can only operate
competitive industry,

businessrften

rWnlatprf

eralGovennmfnt

stay
will stay

free

trolled and

been

but long «me. But

"I:...

the

strong

inipOS6d

are Changing

doesn t care.

Government controls,seldom
cornel singl^;/There's a.,

most important in the whole busi-

ness.' They

LANCASTER

May 1, 1099.

with

The Commercial and Financial Chronicle

Thursday, May 7, 1959'

...

(2092)

National

Also available is

Building, San-Antonio 5, Texas.

analysis of Portland General Electric.

•

COMING

Speculation and the Corporate Risk—Discussion—Georgeson &

Dealer-Broker Investment

Undervalued Situations—Circular—Boenning &
-

nut

pleased
send interested parties the following literaturet

EVEN

Co., 1529 Wal-

•

May 14-15,1959, (Nashville, Tenn.)

try Club and Belle Mead Country Club.
<

—

Corp.—Brochure—Troster, Singer &
Co., 74 Trinity Place, New York 6, N. Y.
Alaens, Inc.—Report—Schweickart & Co., 29 Broadway, New
York 6, N. Y.
Allied Chemical Corp. — Review -— Hirsch & Co., 25 Broad
Street, New York 4, N. Y. Also in the same circular are
reviews of Chain Belt and St. Regis Paper,
f *

Mummy Investment letter — uurnnam and
¥ork 5, JN. Y* Also avail¬

Company, 10 Broad &U»eet. Mew
able is current Foreign Letter.

Alan K.
v Browne—Bank
of America, N.T. & S.A., 300 Montgomery
Street, San Francisco 20, Calif.
Chemical Stocks—Report—Shearson; Hammill & Co., 14 Wall
Street, New York 5, N. Y. In the same circular are also
reviews'Of Crane-t/ompanyj Square D Company and White
Motor.
/h' yi'Hv-r-Vr'A^^'/V^ 'Donble Hedged Securities—Review—A. M. Kidder & Co., Inc.,
1 Wall Street, New York 5, N. Y, Also available is a report
on Plough: Inc., Northwest Airlines and Cary Chemicals Inc.
Government Aid to Small Business—Study—Sutro Bros. & Co.,
California

the

Decade

—

address

120 Broadway,

Indian

American

available

Brooklyn

issue

•>, available is

Investors

"Nomura's

Broadway, New York 6, N. Y.
for

Japan

Also

New York.

■

Report

—

Thomson & McKinnon, 2

Also available is a report on

Broadway, New York 4, N. Y.

New Legislation of the State of New York

Improving the Se¬

School Bonds—Discussion—R. W.

of Speer Carbon

Milk

—

Analysis

May 19-20,1959 (Omaha,

New York

5, N Y Also available is a
at the first quarter's end.
New York City Bank Stocks—Comparative figures for the first
quarter — First Boston Corporation, 15 Broad Street, New
York 5, N. Y..
Oil Refiners—Review—Ira Haupt & Co., Ill Broadway, New
York 6, N. Y.
Over-the-Counter Index—Folder showing an up-to-date com¬
parison between the listed industrial stocks used in the DowJones Averages and the 35 over-the-counter industrial stocks
used in the National Quotation Bureau Averages, both as to
yield and market performance over a 20-year period —
National Quotation Bureau, Inc., 46 Front Street, New York
Y

Co.,

May 25-26,1959 (Milwaukee, Wis.)
Association of Stock Exchange
Firms Board of Governors meet¬

In¬

Company—Analysis

ing at the Pfister Hotel.

data

Halliburton Oil Well

Building, Memphis 3,
—

;

H. Hentz & Co., 72

Junek5, 1959 (Chicago, 111.)
Bond

Corporation—Analysis—Woodcock, Hess, Moyer & Co.,

Bond Club of New York annual

N. Y.

Calif.)
San Francisco Security Traders
Association - at the Santa Rosa

Ltd.—Analysis—Hancock Securities Corporation,
Street, New York 5. N. Y. Also available is a review
of Mine Safety Appliances Company.
Ling Altec Electronics, Inc.—Analysis—L. H. Rothchild & Co.,
52 Wall Street, New York 5, N. Y.
Meredith Publishing Company — Circular — Stone & Webster
Bell

Window

Personal Stock Record for Every

Stockholder—Complete stock
purchase and
sale, serial number, capital involved, dividend rates, balance
due on margin account, long or short term gain or loss, etc.
—Malcon Sales, Dept., C-8, Box. No.-8, Vanderveer Station,
transaction record, including company, date of

Calif.

Brooklyn 10, N. Y.
Philadelphia Bank Stocks—Quarterly comparison of 11 Phila¬
delphia Bank Stocks—Stroud & Company, Incorporated, 123

Street, Philadelphia 9, Pa.

Incorporated,

Averages—Report—Amott, Baker
150 Broadway, New York 38, N. Y.

Street, New York 4, N.'Y.
Corporation—Bulletin—De Witt Conklin Or¬

Also available is the May issue of "ABC Investment Letter"
with brief surveys of International Harvester Co., Union

Boston Securities Traders Asso-

ciation

June 12, 1959

Car

Company,

Montana

Dakota

Utilities

Company,

Joseph Bancroft & Sons Co. and AMP Incorporated.
San Antonio

Banks—Comparison of stocks of the eight largest
Company, Incorporated, Alamo

San Antonio Banks—Russ &

York

r—

Paul, Minn.)

Air Express International

Corp.

a
•

The

largest forwarder, clearance broker and

solidator of international
cargo
of 278 offices and
agents

with

La Salle

ship.
June 25-27, 1959

208 South La Salle

Street, Chicago 4, 111..,

throughout the world.

Security Dealers Association

Trinity Place, New York 6, N. Y.

;

•

.....

•

bor Club, Hewlett, N. Y.
June

(Philadelphia, Pa.)

26, 1959

Investment Association of Phil¬

Country

Whitford

Outing
Club,

Whit-

ford, Pa.

Moore-Handley Hardware Co.
Device

Aug.

(Charlottesville,

9-21, 1959

Va.)
.

„

Moore-Handley"

Reprint of article in Barron's Weekly sent upon request.

School

Consumer

Straus, Blosser & McDowell
DETROIT STOCK EXCHANGE

Tel: WOrth 4-1155

•

111

•

MIDWEST STOCK EXCHANGE

AMERICAN STOCK EXCHANGE (Associate)

Broadway, New York

•

Tele: NY 1-1385

Banking,

University of Virginia.
Aug. 14-15, 1959 (Detroit, Mich.)
Basis Club summer outing at St.
Clair Inn and Country

MEMBERS NEW YORK STOCK EXCHANGE

Teletype NY 376; 377; 378

Municipal Bond Women's Club
annual outing at Seawane Har-

network

Troster, Singer & Co.

HAnover 2-2400

•

(New York, N. Y.)

26, 1959

adelphia; Spring

Enhances Outlook of

ing, Wianno Club.
June

Gardner

"New Materials Handling

Members New York

Atlantic States Sectional meet¬

122 South

con-

(Hyannis, Mass.)

Consumers Bankers Association

Street, Chicago 3, 111.
:
:
& Co. — Report — Cook Investment Company,
.

1959 (Bryn Mawr, Pa.)

Philadelphia Securities Associa¬
tion annual outing at the Overbrook Golf Club, Radnor Town¬

Shaine & Co., 1410 Mc¬

—

Hotel, Minneapolis);

Nicollet

June 19,

Place, New York 6, N. Y. Also in the same issue are articles
the Zale Jewelry Company, Shoe Corporation, Tilo Roof¬
ing and Dynamics Corporation of America.
Simmons Co.
Memorandum — Green, Ellis & Anderson, 61
Broadway, New York 6, N. Y.
Sunray Mid Continent Oil Co.—Memorandum—J. A. Hogle &

Wells

Lake, Minn, (preceded by
cocktail party June 17 at the

Bear

Kay Tower, Grand Rapids 2, Mich.
Co.
Memorandum — A. C. Allyn & Co.,

38th

picnic and outing at
White Bear Yacht Club, White

annual

Vendo

Club

Bond

Cities

Twin

Georgia—Memorandum—Carl¬

Unilever N. V.—Memorandum—H. B.

(Minneapolis-St.

18, 1959

June

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

Now Available:

(Philadelphia, Pa.)

Philadelphia Summer outing
Country Club.

at the Overbrook

—

Additional Brochures

Country Club,Rye,N.Y.

12, 1959

Investment Traders Association
.

iFor financial institutions only-

New

outing at West¬

Summer

chester
June

Co., 2023 First Avenue, North, Birmingham 3, Ala.
Rexall Drug Co.—-Memorandum—Carl M. Loeb, Rhoades & Co.,
42 Wall Street, New York 5, N. Y.
Seeburg Corporation—Discussion in May issue of "The Ameri¬
can Investor"—American Stock Exchange Investor, 86 Trinity
son

Club of

Municipal Bond

Southern Pacific.
Co. of

the

(New York City)

Life Insurance

outing

summer

Salem Country Club.

Street, New York 5, N. Y.

memorandum

1959 (Boston, Mass.)

June 11,

America—Memorandum—Goodbody &
Co., 115 Broadway, New York 6, N. Y. Also available is a

Reliance

convention at

Springs Hotel.

Banff

Hardware

Corporation

Rosa,

Santa

■>:;!.

Investment Dealers' Association

Co.—Data—Straus, Blosser & Mc¬
Dowell, 111 Broadway, New York 6, N. Y.
John Morrell & Co.—Analysis—Van Alstyne, Noel & Co., 52
Wall Street, New York 5, N. Y. *
/
'
Pepsi Cola United Bottlers Inc.—Analysis—Hill, Darlington &
Co., 40 Wall Street, New York 5, N. Y.
Powdrell & Alexander Inc.—Review—James J. Duane & Co.,
70 Pine

of Canada annual

Distillers Corp.-Seagrams and Riley Stoker.

Radio

Real Estate Bond and Stock

'■ '

8-11,1959 (Alberta, Canada)

June

ganization, 120 Broadway, New York 5, N. Y.
Chemical—Review—Hayden, Stone & Co., 25 Broad
Street, New York 4, N. Y. In the same circular is a review
of Craig Systems Inc.' Also available is the May issue of
"Monthly Investment Letter" with data on Texas Instru¬
ments, Stavid Engineering, Marquardt Aircraft, Itek Corp.,

Ilandley

Motel,

Flamingo

Monsanto

Moore

(San Francisco,

June 5-7, 1959

Also available are cir¬

Securities Corporation, 90 Broad

Scaifcorough,

Club,

-Country

Eastern Gas & Fuel Associates and General Ameri¬

Transportation.

day at the Sleepy Hollow

field

Street,

79 Pine

Miami

1959 (New York City)

June 5,

Broadway, New York 5, N. Y.

Knollwood

the

Club, Lake Forest, Illinois.

Cementing, Mack Trucks and

5, N. Y.
Electric Storage Battery Company—Analysis—Reynolds & Co.,

can

day

annual

Chicago

Club

field

Pont> Homsey & Company, 31
Also in the same circular are

Inc., 123 South Broad Street, Philadelphia 9, Pa.
Ekco Products—Analysis—Halle & Stieglitz, 52 Wall

—

Also available is a review

Monsanto Chemical.

120

•>

(Detroit, Mich.)
Basis Club golf outing at the
Lakepoint Country Club,
St.
Clair Shores, Mich.
1959

May 29,

International Minerals and Chemical, American Brake Shoe,

South Broad

Neb.)

Bankera
Association annual field day.
Investment

Nebraska

Company.

Street, Boston 9, Mass.

Graham

Tank

Life Insurance

I)e Vilbiss Company—Data—du

Broadway,
study of the economy

first quarter of 1959—Laird, Bissell & Meeds, 120

Co.,

States

Wall Street, New York 5, N.

culars

Western

Bensdorf & Company, Commerce Title
Tenn.

Pressprich & Co., 48 Wall Street, New York 5, N. Y.
New York City Bank Stocks—Comparison and analysis for

4. N

—

party at
Palm Springs.

the Biltmore,

New York

Union Bag-Camp Paper Corp.

curity of Investments in

Company—Analysis—Blair

Gas

Detroit Harvester Company

Dravo
—

Company—Report—The Milwaukee Com¬
Michigan Street, Milwaukee 2, Wis. Also
report on A. E. Staley Manufacturing Com¬

1959

Mitsubishi Heavy Industries, Nippon

Machine Tool Industry

(Los Angeles, '

Angeles sumirpr

Los
v

—Sanford & Company, Russ Building, San Francisco 4, Calif.
Cosmopolitan Life Insurance Company — Analysis — Herman V

Beacon"—Nomura

and brief analyses of
Flour Mills Co., Iwaki
Cement Co. and a survey of the Steel Industry.
Japanese Stocks—Current InformationYamaichi Securities
Company of New York, Inc., Ill Broadway, New York 7,
in

•

Security Traders Association of

East
is

Union

California

review of the outlook for Plant and Equipment

Expenditures

Calif.)
'

corporated, 20 Broad Street, New York 5, N. Y.

current

Securities Co., Ltd., 61

pany.

Stock Market—Review—Harkisondass

Lukhmidass, 5 Hamam Street, Bombay, India.
Investment in India—Opportunities and incentive—Review—
Consulate General of India, 3 East 64th Street, New York
21, N. Y.
'
'
Japanese Stock Market—Stqdy of-changes in postwar years—
In

J Maryland.

Marietta

207

pany,

I sociation : 24th annual Spring
"'outing at Country Club oj

May 15-17; 1959

America and Timken Roller Bearing Company.

As-

Baltimore Security Traders
j

Company—Data—Oppenheimer, V
Neu & Co., 120 Broadway, New York 5, N. Y.
Also in the
same circular are data on Bethlehem Steel Company, Coca \
Cola Company, Pennsalt Chemicals, Radio Corporation of

New York 5, N. Y.

Budget and the

May 15, 1959 (Baltimore, Md.)

Allis Chalmers Manufacturing

•

Dealers of Nashville
Hillwood Coun-

Security

Annual party at
/

•

Air Express International

jkrntum View

Field

Chart—Chart

Time

showing time differences in over
100 countries throughout the world as compared with New
York Daylight Saving Time—Manufacturers Trust Company,
International Banking Department, 55 Broad Street, New
York 15, N. Y. *
.= •
".""V'"'";

If is understood that the firms mentioned will be

Investment

Street, Philadelphia 2, Pa.

World

Recommendations & Literature
to

''v\ " "

Co., bz Wall Street, New York 5, N. Y.

Club, St.

Clair, Mich.Aug.

19-20, 1959

(Des Moines,

Iowa)
Iowa

Investment Bankers Field

Day

rinh

the

Waionda

Country

Volume

189>

"Number S644

Commercial ond Financial Chronicle
The

ner

Monsanto Chemical

Company

dend rate is $1

Monsanto Chemical Co. is third

largest in total assets and fourth
sales

the

its industry.

past several years

has

not

kept
with the
^growth of its

But for
Monsanto

1 9 5 4

quired
Oil

COyi

m a

regardin g

re-

for

increase

;

saI-os from:
million

that

dend in

about

but

has

French

$522.3 million
'

vide

the

fices

company re¬

stock

the

years,

but

Stock-and Commodity Exchanges,
a close

will continue to .maintain

relationship with their U. S. cor¬
respondent of many .years stand¬
ing, Dominick: & Dominick, New

April 1, 1959, James Rich¬
& Sons, Inc. commenced

York.

ardson

Wall

year-end—

New

Street.

lished

The

the

York

newly estab¬
which is an

corporation,

affiliate

services.

The Canadian firm, which is a
member of all leading Canadian

Opens in New York
operations

Canadian cities from

in 26

investment

Jas. Richardson & Sons
On

Victoria to Montreal, has imme¬
diate access to the Canadian
firm'p

some more.

per

cession in future

com-

eager to see

showed in the immediate postwar
years. Monsanto is ready to grow

somewhere between 2% and 5%.
Many corporations these days
are busily at work looking around
for
companies
to
merge
unto
themselves, so that they may at¬
tain corporate diversity and, may¬
hap, thus the better not only
insulate themselves against a re-

entirely,

Canadian

WaldbilB&V.-P.of
Halsey, Stuart 4 Co.

invest¬

ment firm of James Richardson &

Sons, will be engaged primarily in
institutional business.

The -election

of,

Marvin

Waldbillig as a Vice-President of
James A. Richardson and George Halsey, Stuart & Co. Inc., 35 Wall
T. Richardson, partners in the Ca¬ Street, New* York
City, has been
nadian
100th

pro-

its

which" marked

announced.

in business in 1957,
President and Vice-President,

are

broader base for sustained

firm

year

W. G. Thornborough Opens

respectively, of the new corpora¬
STATEN ISLAND, N, Y.—Wil¬
tion. Ralph D. Baker is the Gen¬
ish company, Monsanto
Chemicals, need to f even think about this
liam G. Thornborough, Jr. is
and Norman
J.
en^
Ltd. (grossing around $50 million "urge to merge.'':It's well diver- eral* Manager
business
annually); Monsanto Canada Sd" sifled Sready^ Mbreover, it has Alexander) Deputy General Mana
Street.
.-J u.,:u
tL
aeer.
All
of the above officers from Oxiices at 1 Vine St
and other subsidiary companies in built up plant capacities in many
r*
the above officers
Gordon
Japan, Australia, India, Panama, fields which it simply couldn't use
serve as Directors,
H. L. Turner, IB, Ojpens:
plus a 40% partnership in Soce- to the full last year, but which, Lawson, J. T. Ellis and Joseph
dison, a major Italian chemical in the more favorable economic Monaghan have also been elected
LEXINGTON, Ky. — Henry L.
to the board of directors,
Mr.
company.
With all these units, climate we now enjoy, should
Turner, III, has?opened - offices at
Ellis has been appointed Treasw
Monsanto
is " exceedingly
well earn well, what with stronger de¬
1636: North -Broadway y to
urer
while Mr. Monaghan will *636: North ..Broadway to engage
placed to benefit from expanding mands and firmer prices. In par¬
in a securities business.

pany, Monsanto Boussois;

to,

1954

only

Monsanto

$342
;

$100 million.
a
couple Of
dozen major companies, including
four chemical ones, have since es¬
poused this policy of exporting
capital abroad for plants, rather
than relying solely on export sales,

fact

sponsible

amounted

Iiion
a

exports

Not

ac¬

1 y

„

Monsanto

share on the
basis of which MTC today yields
just a bit over 2%. This is scarcely an enticing yield but it could
ke improved
by a higher cash
declaration this year, and supple¬
mented by a possible modest divi¬

program
became
apparent
last year when foreign sales, dis-

brethren.

■

directly the products of plants
abroad, rather than placing the
major corporate accent on export¬
ing from the U. S. The payoff for
this

pace

flamboyant and

,^'"7 V.capture/ the dynamic qualities it

the past six years being to pay out
about 55% of net.
Present divi¬

Enterprise Economist and Author of "How to Get Rich Buying Stocks.

dividends

have been paid without interruption for 34 years, the practice in

•

Cash

By DR. IRA U. COBLEIGH
"

certain

issues..

And Its Resumption of Growth
*

(2093)

Brit-

earning

Monsanto doesn't

power.

the follow-

ye a r.

Apart

Ira AJ. Cobleigb

from

that

bulge,
; however,
significant:
'sales

net

have

gains

not been

in
dis¬

While in

cernible for some time.

product areas demand has
sturdy, price competition in sales in Great Britain and in the
'nitrogen, petroleum products and new and burgeoning European
to some extent plastics have in- Common Market.
(A capital out¬
; hibited progress in profitability. lay of $12 million has been allo¬
most

been

serve

ticular Monsanto's large scale and
early-bird entry into
overseas
manufacturing gives it a decided
edge over competitors particularly
Last year was hardly a year in cated for overseas expansion in in the markets of United Kingdom
and Europe.
which to expect a resurgence of 1959).
Monsanto manage¬
In the. United States, company ment is talented: and aggressive,
growth and Monsanto followed the

ration

Attorney for the corpo¬

New

York.

Peter

.....

•

; general

industrial

trend

re¬

porting lower sales, $548 million,
:

against $567.1 million (all-time
high) in 1957; and a net per share
of $1.55 against $1.68 for the year
All

earlier.
:

•

which

makes

rather bleak background for any
review
calculated
to justify or

Upens Ulnce

Nares has been appointed resident
manager

in New York.

•

headquarters are in St. Louis,
with plants in 15 states. The Lion
Oil

Co.

division

centered

Dorado, Arkansas, is a completely
integrated oil company in itself,
with

around

crude

annual

million

oil

barrels

production;

NEW

solicitation of

offer to buy any of such

May 4, 1959

ISSUE

$30,000,000

an¬

nual gasoline sales of around

be construed as an offering of any of the aecuritieafor
securities. The offering is made only by the Prospectus.,

This advertisement is not and is under no circumstances to
sale

115

•

encourage a

confident attitude to-

word Monsanto

side.

1958.

in the later months
with

It carried forward

greater vigor into the first quarter

•

gallons

service

is,

gan to appear
of

common.

however, a brighter
An uptrend in earnings be¬

There

million

of this year, which produced a
of about 52c a share (against

net
27c
for same 1958 period). Further, a
broad look at the company today
gives evidence that this risingearnings curve may now be projected for some distance into the
.future. Notonly are its main do¬
mestic
chemical lines
(plastics,
resins,
phosphates; agricultural,
rubber, oil; textile and paper
chemicals; and petroleum prod¬
ucts) looking better, but Monsanto
is benefiting from its 50% stock
interest in four large and animate
enterprises,, diemstrand Corp.,
Mobay Chemical, Plax Corpora¬
tion and Shawinigan Resins Corp.
-

from

stations; and

2,200

some
a

huge

TEXTRON

pro¬

duction of synthetic ammonia.

As
one

INC.

matter of fact Monsanto is

completely diver¬
companies in the industry.
Plastics, synthetic resins and coat¬
ings make up the most important
percentage of grbss sales—about
30%—with phosphates and deter¬
gents next, * accounting for about
i7%.
~

Due

sified

There

increasingly,

is,

derstatement in Monsanto's

its

domestic

and

May 1,1984

With Common Stock Purchase Warrants

20 shares of Common Stock

including May 1, 1964, and
for one-half of
The other Warrant, for the
One Warrant,

un¬

earn¬

Price 100%

(plus accrued interest from May 1, 1959)

Copies of the Prospectus may be obtained in any State only from-such of
as are registered dealers in securities in such State.

the several Underwriters

Canadian

subsidiaries. A consolidated state¬

including
not
only
the
but the percentages of
Monsanto's equity interests in net earnings of its associated com¬
panies,
would
show
a ' much f
On this basis
Chemstrand
was
started five brighter picture.
consolidated per share net for
1 years ago as a joint venture in
1953 would have been $1.94; and
partnership with American Visfor 1959 should be close to $2.50.
cose.
It was planned as a largeViewed in this light MTC is, at
scale producer of acrylic nylon
48%, selling at around 19 times
fibers.
It took longer than ex¬
estimated 1959 earnings. For some
pected to got off the ground but
industrials this might seem high
now has struck pay dirt—so much
enough; but for a chemical of the
so that Chemstrand paid, in 1958,
stature of Monsanto such a meaa $5
million dividend (its first).
Of this, Monsanto's half, namely,
price/earning ratio, in. this
<?:9 ?*nn o/irt was ahont
iir»
$2,500,000 was about 11c a share maiket, seems modest indeed.
a share
for MTC <N. Y. Stock Exchange
The financial position of Mon¬
santo leaves little to be desired
trading symbol).
Mobay Chemical (half owned with net working capital of over
by a German partner)
makes $130 million and a better than'
foams from urethanes, useful in 3-to-l current ratio. Capital structhe furniture, clothing and auto- ture
consists of $172,870,000
in
mobile industries. Plax Corp. is long-term debt followed by 22,cq-owned by Emhart Mfg. Corp., 256,600 shares of common listed
arid is renowned as specialist in on the New York Stock Exchange,
polyethylene plastic fabrication, Price of the common in the past
and
as
the major producer of decade has ranged between a high
squeeze
bottles — the kind that of 52% (1955) and a low of 15%

Blair & Co.

ment,
above,

Ineerparated

Bncke & Co. 7

Tk« First Cleveland Corporation

G. H. Walker 4 Co.

Sckerck, Richter Company

•

Hay den, Stone & Co.

•■<

Skearsoa, Hunanll 4 Co.

Ladenburg, Tkalmann & Co.

Francis I. duPont 4: Co.

Demptey-Tegeler & Co.

Granbery, Maracke 4 Co.

Goodbody 4 Co.

J. C. Bradford 4 Co.
.

Crutteuden, Podestu 4 Co.

Courts 4 Co.

Incorporated

Hayden, Miller 4 Co.

Halle 4 Stieglitz

Fulton Reid 4 Co., Inc.

Wm. J. Mencka 4 Co^ Inc.

H. Hentz 4 Co.

Stifel, Nicolaus 4 Company

Tke Okio Company

A. M. Kidder 4 CoM Inc.

E. F. Hut ton 4 Company

Baker, Weeks 4 Co.

Straus, Blosser 4 McDowell

Prescott, Skepard 4 Co.,

Struiril 4 Company

Inc.

Incorporated

bounce

instead

break

drop 'em. Shawinigan Corp.

you

Another

area

of Monsanto's

ac-

tivities that gives the Company a
forward look is its extensive over¬
seas

expansion.
has

santo

Since 1953 Mon-

increased

its

assets by $118 million

$190

million).

This

overseas

(total now
large scale

investment was the result of a de-

pision

(1949).

These

prices
are
ad3-to-l split in 1955
(there was also an earlier 3-for-1
split in 1946).
Considering the

riiakes justed for

synthetic resins.

fact that MTC

today selling a
points below its 1955 high,
giving weight to the heavy
plant investment and greatly enlarged corporate horizon in the
few
and

years

may

since,

fairly logical

case

be made for the attractive-

by Mr. Ed- ness of Monsanto at this time,
gar M. Queeny, Board Chairman, Certainly it hasn't gone off on any
to develop foreign sales by selling speculative omge aiter the mansome years ago,

entitling the registered holder to purchase for cash a total of
for each $1,000 principal amount of Debentures at a price of $25 per share to and
at increasing prices thereafter'to and including May 1, 1984,.the expiration .date.
the shares may be detached at any time and is exercisable on or after June J,<1959.
remaining shares, may be detached on or after May 1, 1960, and is exercisable
on or after May 1, 1960.

Each Debenture will have two Warrants attached

ings reports since the official per
share figure given is based only
on
operations of the Company,
and

•

5% Subordinated Debentures

of the most

Baker, Simonds 4 Co.

J. R. Williston & Beane

Field, Rickards 4 Co.

Emannel, Deetjen 4 Co.

Rodman 4 Renskaw

Gardner

Stein Bros. 4 Boyce

Fridley 4 Frederkmg

Creston H. Fonk, Hobks 4 Co.

Sterling, Grace 4 Co.

Clayton Securities Corporation

Ira Haupt 4.Co.

Rauscker, Fierce 4 Co^ Inc.

Mullaney, Wells 4 Company

Kormendi 4 Co., Inc.
Reinkoldt 4

Jnlien Collins 4 Company

Butcker 4 Skerrerd

Hallowell, Sulzberger, Jenks, Kirkland 4 Co.

Gruss 4 Co.

Grimm 4 Co.

Dallas Rape 4 Son, Inc.

Davis 4 Davis

L M. Simon 4 Co.

Arthur*, Lestrange 4 Co.

Westheimer and Company

Howard, Weil, Lahowsse, Friedrichs
and Company

Qttinn 4 Co.

Raffensperger, Hugkes 4 Co.

Snplee, Yeatman, Mosley Co.

Smitk, Moore 4 Co.

Incorporated

Boenning 4 Co.

Barret, Fitch, North 4 Co.

A. G. Edwards 4 Sens

First Southeastern Company
W. D. Gradison & Co.
Tke

Kentucky Company

Oppenkeimer & Co.
Robinson 4 Company, Inc.
Thomas 4

Company

Wright, Wood & Co.

Ckace, Whiteside 4 Winslow
Incorporated

Incorporated

Curtiss, House 4 Co.

TULSA, -Okla.—Harry F, Miller
James Richardson & Sons, Inc., has opened offices at 1371 East
through its affiliation with James 52nd Place, to conduct a securities
Richardson & Sons, which has of- business.
•
V

••

Fusz-Sckmelzle 4 Co., Inc.

Edward D. Jones & Co.

Penington, Colket 4 Co.

Parker, Ford and Company, Inc.

Townsend, Dakney & Tyson

Yarnall, Biddle 4 Co.

Taylor, Rogers 4 Tracy, Inc.

Kny, Rickards 4 Co.

Newbarger 4 Company

McCourtney-Breckenridge 4 Co.

Saunders, Stiver 4 Co.

Incorporated

First of Michigan Corporation

Geo. Eustis 4 Co.

M. M. Freeman & Co., Inc.
Oscar Gruss 4 Son

Coborn 4 Middlekrook

Woodcock, Hess, Moyer 4 Co, Inc.

Yates, Heitner & Woods

Zuckerman, Smitk 4 Co.

The Commercial and Financial Chronicle

(2094)

The European

Common Market:
Industry's Hopes and Fears
'

•''

There is

' ;„

By LEON BEKAERT*

lot to be learned in this incisive review of

"* ', V

Federation of Belgian Industries

of the

President

principal

elements

capacity

with

compatible

their

Thursday, May 7, 1959

of public monopolies for the pro-«

"/ X duction and sale of certain prodgoods, services, and capital on bne "
•*'
■■
v
ucts, concealed measures designed
hand, and the establishment of a
^"oonl-Jor Medmni and Small^
protect national industries and
common
customs tariff for deal-'
Firms
materials in public bids, regulaings with extra-Community coun1- - ir,"*~
*

tries

the

other

hand.

Taking the Benelux experiment
as
an
example—another customs
on

,—r—

-^7.

small

scale, ' but" a'there will be a trend toward the
much wider mar- creation ! of
production units

look

The Treaty Is Realistic^/': ^ :
Y.et;.; the .Rome'jTreaty is more
than
just a project
to
remove

forward to a larger"-; size,
at
least
in
those
expansion of-in- branches'which will have to face,' tariff and
quota restrictions with
tercommunity trade in the overall, without the protection. of. cus- the aim of
progressively forming
trade of the countries which are
toms barriers, the, competition of- a
customs union

sizable

can

general

sitated by expansion comes at an inopportune time

recession; there is

dination;

been

inadequate attention has

members.

coor¬

paid to exchange

rates; and implementation of ECM may lead to unwieldy and
inefficient bureaucracy. On balance, the industrialist sees hopes

triumphing

duction in the different

January 1, 1959
event of great

marked by

was

significance, not

only to the economy of the Euro¬
pean
continent,
but
to
world
economy
a

fears

one

will

rival

his

the

altogether. Each

race

success

emerge

hopes

for

himself,
while
all — even
the
strongest—fear the consequences

whole.; On
date, the

six

abandon the

member

bad

countries of

luck

hap.

unavoidable

mis¬

?>/Vj:j,

;

izing in, certain productions, or*v
alternatively, working as subcon- ,?v<:

industries

our

the very

ginning.

tractors for large firms.

be-' ' This,

* '

them, like the iron
industry, there will be

steel

change:

Market

here

ket, on
already

come

last year.

position at the start is not
identical—neither among each of

the

the Six Common Market countries

the heavy
will have

took

first

practical step
gradual
process of re¬
moving cus-

nor

The

bcHdcl

this

achievement of

The

union will result in

spectacular
improvement of European pro¬
ductivity and social
conditions
and, we believe, wilL provide its
people with a standard of living
comparable to that of the United
States.
In

six

the

the con¬
has been to
adjust¬
ing national economies to the new
countries,

of governments

cern

smooth out the process of
formula

the

Countries

Common

outside

Market.
Com-

the

enunity, under the leadership of
Great! Britain, initiated negotia¬
aimed

tions
of

the

establishment

Trade

Free

which

Area

include the Community of
six.,„There is a great likeli¬
hood that this will be achieved in
would
the

which

interfere
with the effective functioning of
the | EEC.
-The
fundamental
problems of a wider free trade
urea, now being named the Euro¬
pean
Economic Association,
do
not differ essentially in their na¬
a

way

ture

from

Market.

not

does

those
*

the

•

for

one

an¬

at the
apprehen¬

are

cause

others.

countries

only one sin¬
gle market for a population al¬
most equal to that of the United
States.

enterprise to

The

smaller

countries fear the vaster competi¬
tive
potentiality
of
the larger

latest

will

there

hopes
time

sion

restric¬
tions. By 1973,
the

sector of industry to

one

" *

Common
:

feel

whose

industries,

better

are

they

adapted

to mass
accustomed

Market,

creased

But,

considerably

demand

the

from

the

to. meet

pansion

be when faced with

fect trade between the Member
States by distorting competition,

indispensable,
the
the

Common Market Treaty. Far from

practices which

are

likely to af-

Similarly, action by one or more
enterprises to take improper ad-

disappearing under the Common vantage of a monopolistic position
Market, the prospect is that small- is also prohibited,
and

cannot

medium-sized

have

new

industry will
possibilities for expan-

While it is necessary to prevent
abusive

use

such

agreements

sion

Special attention must also be it is also
paj(i to certain factors which, if hibitions
'. nnf

nut

riffht.

adpnnatp

mnas-

rpalictin

essential
be

that these pro-

interpreted

wqv

foreign

competition from firms)
larger size.
The more rigidly be used in selection from
a>wide*i"r/Tpnnardiyinff Fartnrc
gar^ x?° specialization and- coprotectionist countries fear for range of those specialties which r,
~
• operation between enterprises
arer
their
most
cherished
industries, ! offer most profit in an enlarged |' ''*Take first Of all the section in on the other hand* expressly recwhich, with the disappearance of market.
S
the.Treaty concerning agriculture,Cognized by the Treaty.
customs
duties, will risk losing
In
estimating future
an exception to. ;
Treaty also prohibits Govtheir markets to other industries ments, one must take into account-tbe. ^uie
of general free trade ernment assistance :in any form
in
free-trading countries, more the extent of protection hitherto ^Without,quotas, and to which cer-. whatever J
(direct subsidies, fiscal
self reliant and accustomed to the given to different branches of in- taim agricultural-industries
snd ,priviieges; etc.)--which
may have
realities of economic life.
dustry, variable according to the 4^°^industries processing agri-> the:*effect of distorting
competicountry and the sector, j•. 1
'
cultural products are legally sub- tion in favor; of certain, enterof

develop-'^kich provides

Inopportune

Time

For example, in industrialm
^
^
^
is a fieldf
effort, which, tors where Benelux
■'Trea'ty to a commoiyor- |n which Government intervenone might say, has been
generated- duties have been
low,; the do- 'ganJzation of agricultural markets, tion. has been very active in perinto life by the electric shock of
mestie market of the three coun-:^
tne rintroduciion^ oJ mjtting certain economic sectors
the
Common
Market, coincides tries concerned is
unlikely to be
P .j^n^iUre?i,as P1
c0 r°i' to set prices which bear little rewith a period of economic reces¬
swamped with foreign goods.
On su
i?3
a"<1: lation to economic reality and in
sion in which adjustment of in¬
the other hand, the gradual re- ma
e^111? pfr vanous^ ..products, maintaiping p r Q diur.ti 0 n units!
dustry encounters serious diffi¬ moval of the
istrongly prdtectioh!v9oran^®h .^e9 aP1^n?
^
^:rwhich vwould .;have' - disappeared
culties and often is accompanied
is! trade barriers in France and imP°rtat1Oil or exportation,
and under ; the;. normal- play of compeby
tragic
social
consequences.
Italy will probably mean added!?0.011'..
;
,■■.
^ ...^
tition,;
"
Adjustment in a period of eco¬
export - opportunities
to ' those!;!
policy, of
,
The solution ttd this nroblem r
nomic expansion undoubtedly is
areas
The same hnlds true in the* ihe enforcement of such measures V
9 ^ 3 prooiem,
ine same nolds tiue in tne
a
great deal easier, but unfortu¬ rare cases where
CGntrol agricultural markets
Benelux markets
ecniroi agricuiiuiai marKeis^ however^wrll be extremely-cornDj;cated
interlinked
it is with
nately in such periods the in¬ have been more nroteeted than threatens to be merely a repeti- P"catea,-lnieiimKea as 11 is witn
na\c
as
oecn
more
protected
man.
centive is less.
nraetiees
the three other Community coun-, ll°" °} ine mntroi practices hith- the .economic and fiscal situations
control
mm
industries afferted and the
The fear of competition as well
tries
V
erto m use in narrow &nd par- 01 ine iijausines. aneexca ana tne
'
*
tioned national markets
as
.exceptional provisions containedthe hope of being more com¬
Another important factor will'
j
th
absence of a real ronr- 'in the agricultural section of the
petitive have stimulated a vast

This

tremendous

c^ustoms"^

this^kmd,^allowing

•

V
V-

Mixed

arid

Hopes

However,

purpose

Fears

less

with these problems than with the
new

pean

spirit stimulating the Euro¬
private sector, which un¬

doubtedly is very much

aware

the

Common

existence

effort of structural reorganization
and urgent reconsideration of the
best

utilization

production.-

the

of
-

means

of
The

Market.
with

one

Europe today is seething
plans and studies of every

description,

taken

initiated by the dif¬
of industry..
Yet,
this regained dynamism is min¬
gled with fears which vary from
country to country, from one sec¬
tor of industry to another, and
sectors

even

between

same

sector.-

enterprises

the

In, giving my address the title
•The

European Common Market:

Industry's Hopes and
intension

was

Fears,"

show

that

contrasting

are

industrialists

pean

ones.'

the

Euro¬

today

must

have very much the same feelings
as

racing cyclists before

our

start

hooe

Tour de

finish

France!

first

the

Many
least

"An address

Cel?ian
United

1959.,

•»

by Mr. Bekaert before the

Chamber

Commerce

States, New York

City.

the

April 27,

already

end

the

of. last

the French Government.
eral de Gaulle put

disap--

decision

year

As Gen¬

it, France will
accept its full share of obligations.
Which
of

means

she has

resorting to

some

contained

intention

of the escape
the
Treaty

governing the European Economic
Community..
This- enabled
the
Common

perspective of the Common Mar¬
ket

clauses

has

thanks

peared

ferent

them

Market

good start.

ing

off

Along with the

international

financial

year,
freed

get

sweep¬
economic
and

taken

measures

last

the French Government has

from

the,

90%
OEEC

its

imports

countries

.fulfillment of its contractual ob¬
ligations.
To what extent .may we con¬
sider the fears left as
iustfiied?
First of all,

ket, in

the level at which the customs '

fiver

i*T

Thiv

ilddefJct

•

application of the Treaty
has engendered fears, but at least

the

active

Market, the

Treaty: prohibits agreements between enterprises and concerted

choice

particularly- through
agreements permitted under

be achieved

except at the cost of
a
production and more
considerable modernization^ efto broad economic horizons.
^ fort or the
development of speSmall- and medium-sized com¬ Cialties to play a
proportionately
panies wonder what their fate wilj

which to abandon.

outset,

demand

within the Common

decide

ducers will often be

in-

goods

consumer

* As
to the ^ establishment
of
healthy conditions of competition

anxiety to

some

unable

will, in any
case> 0ften be impossible.
Cooperation between independent pro-

industries, already over-equipped in
many
cases,
a
more
selective
process is to be feared since exlor

com-

which

Individual

in the atmo-

meet,

°.mrilor!

,a simple customs union, withou, any accompanying harmonizahon<■?eompet1tlve. conditions

veiop

regard to other sectors,
industries in particular

sphere of expansion of the-Common

same

quota

one
or

other.

and

from

another

in the

With

% Treaty

exactly
de-

causes

panies

Discusses Impact on Other Sectors

The

the

promises inproductivity, but which

creased;

„

European
Community

the

,,a,

Market which, would-|)e,. limited

1; ;

is*merely

trend

also

...

iz-er

and laws^ which affect economic,
policies, would
5? llttIe more than delusive for
the more liberal and socially more
Pr°Sressive countries.
v

;

which form of production to

operation,
ECSC
having, formally
into being in February of

the

all,

larger scale, of a trend
existing
in ;"certain
branches of European industry. It

Common

the

already

after

continuation in the Common Mar-

For some of
and

competition is neither
beneficial to all and each

easy nor

good place, while a few fear
they will lose or have to

that

with

that

countries^

direct

this
of

the^ six '

instance,

„

all obstacles including economic nationalism^

over

among

A.- larger industrial

groups in adjoin- countries.-: It>
comprised alsoa
under Benelux 'ing countries. Not that such an
great number of provisions deexports
from
Belgium
to
the evolution is inevitable: in every*
sjgned: to equalize different ecoNetherlands were practically dou- branch of activity.
The example- nomic" factors such as
broductibn 1
bled.
On the Dutch side; ^als^^of' fhei yriited States Avill shoW
^eosts ^ncl ihethbdj^a ^" to ^akb
import
and
export
figures
in- adequately
that
considerable more effective a
healthy compecreased, though to a lesser extent, place will remain in the Commonv^tition
among; the member counDespite
these
consequences
Market
for
a
largenumber of"tries. ' ' ' :
:
which encourage trade and pro-; medium-sized enterprises special:!
/>■
-

For

of economic

need for economic and monetary

ket—we

moves

spokesman for Belgian industries credits anxieties for stimu¬
lating greater effort to secure a better place in the wider market, and finds in this economic progress and regained dynamism. Nevertheless, Mr. Bekaert reports: adjustments neces¬

forerunner to

and of the numerous ways the liberal¬
izing effects of the Common Market can be thwarted. The
European

the

the free movement of persons,* range of production.

union

mingled

hopes and fears resulting from the electric shock caused by
recent

which

are

f. ^

Jan.

rise

with

tries.
ance

the prospect is
the

cost

French

snci

The

tariff

one

duttion^^ndustdes engaged in
on£afiedP1?n
J19
'
ln9ustrie?,'
•

Itslisn

indus-

with article 19 of the Treatv '

the

average

hitherto

the | duties
the four

applicable

between

Benelux

Italy

German

the other.

materials and

raw

ucts

and

tariffs

hand and those of France

one

a i

finished

011

coun-

Production- The

pay

i *.{[■

and

certain

in -the Treaty which lend support

al*sm-

social

hand,
costs

that

matters, on? the other
is, as regards wage

and

social
charges, other
affecting the respective
competitive position of the different partners:,of the Common
Market, Belgium is at a disadvantage,
except
for
her
increased

Note, for example, the tendency factors

readjustment

a corresponding
the internal tax

also

sction tee

benefit at
which; are
detrimental to industries in other
are other piovisions also^ member couritnes; *'
v
■

less than they have? customs duties by

far..

•

In any event, no matter how
complicated, the problem may be,

industries price systems from which

same

cost more than before "which has recently come to light
Benelux
while 'France
and' of seeking to replace the lowered

done

i? the larger countries of the industries are able* to
will do so from.the the, preseht time,; but-

may

Italy will

Requires Firm Action

oppor-t itaken. byv^ thd European authorit-rmities.^-.offcred -.Dy-Ji.large -scale -ties to put-an end to the artificial

and!10 this.Tfear of economic nation-

result,
prod-:

^hic.h fve. as faw material for
fbOd-proeessing •.ndustr.es, „

will be iinsblc it is essentish.thst firm

present"*'1 There

the'

agricultural

Treaty, maintaining certain sub-

*° '™®H.e...use of expansion,

territories concerned,^Vv.pommunity
which would place it somewhere!.
custom s

halfway

accord-!

processin^

Pr°duce, especially in small

by comparison

will,

ade-

^r agriculaural products and upon a
C ™°re-. intensive inteniitional- di-'

the Benelux countries,
essentially.,
imoorters .of raw
materials
for

processing

Kolicv

*
weighing these advantages" 011 turnover levied upon the im- productivity, \ despite
a
certain
disadvantages, accounf must! P°rted product.
trend toward leveling off.
:

taken

the

size

the/

There

are

other

ways

for

na--

High

wage-paying

industries

the Common Mar¬

essence, is a customs union

enlarge to the optimum technical

the Treaty. :For example, the case

are

extremely fearful of the

con-

.*y.

Volume

189

Number

5844

...

•

The Commercial and, Financial Chronicle

(2095)
of

sequences

increase

their

Coordinating Economic and

Monetary
As

the

coordination

sound

monetary policies,
merely : provides for

cooperation- between national ad¬
ministrations and- central •; banks

and

for

the setting

of an

British columnist

ad-

regarding

;

evolution

The

the

member

absence

than

ade-

quate coordination of ;such policies, however,/could very well
lead to serious ^difficulties../For
example, the full employment pol-^

']
/

pessimists."

Sees:

likely to

;

ficulties

Berlin

over

and likelihood

difficulties

by /anothercountry

for

But

strike for

were to

such

demand
tends

........

...

policy, with

rates

terest."

/ when
V effects

regard

matter

This

exchange

common

considers

the

...

election

in-*

...

.....

generate opti-

among British

.......

Exchange

investors in

/ at?,respect of the prospects under
Y
'

jeast un^i the-"'

inadequate

seems

Stock

Autumn" bu?

serious

For\11 is-

whole

the

form

some

there

are

cause

setback

Exchange.

the

Stock

Genuine investors who

can-afford

equities

hold

afford

can

.on

their

mUch

This

Amalgamated

Engineering

dissuade

from

taking

•

the

rash
i

that

means

Stock' Exchange

.even

prices, in

far

it would tend to
improve the
Government's chances of winning
the election it would lead to. a

course,

...

likely

further

Another danger spot is the like¬
lihood of labor difficulties in Brit-!
ish industries.
The fact that the

best

Unions

well

are

.though
the immediate effect of a
major
strike would be unfavorable to

improvement", provided, of
that the strikes are not

unduly

prolonged

paralyzing,

and that their settlement does not
lead to an

inflationary round; of

wage

Union

increases.

thing

into
that

pears

a.sslu™ed tbat American participa- has now come under Communist
an inopportune monenrobablv- until V.
in
capital of British firms control and is determined to press
-i tary adjustment may have upon next SDrin'&'4l^HRi '—whether through widespread]1 forward with
demands for sub-!
competitive
conditions
between -"investors now
holdings of relatively' stantial wage increases and a
industries in the member coun-;
feei
thev ran
small]-blocks, or through holding] shorter working week for its
tries, not to mention the disasr';'afford to for°f ;lar§C blocks by American firms] 3 million members shows the ex¬
trous effects -it
also
may
have VG+ for the
10l —would*"-discourage a Socialist; tent of the danger. The threat of
'from the social and employment '
time hein« the' '•■PHH Government from adopting ex-; major strikes is not imminent,/
standpoint.
*
threat of I
treme measures..-against privately however. It may take some months
one
that

Trade

disregard

negotiations.

Communist-spon¬

- Socialists
this, and they

such setbacks in anticipation of a
favorable
final
outcome
of
the

victory

sored; ! The
aware

bound

ensure

general election, especially if
to become evident that the
strike is largely
were

action.

be-spme tense moments liable
a

ernment! could

the1 achievement

settlement

Government

the

direct effect of

pending

such

ad-

to the Govern-i V.■
unjustified wag*..:
: i

Enslnnd^fter som^ABart. frdm the
^LONDON,

maitw

labor

the

i 11- b

threatening

revival and Stock Exchange boom.

„V&-terse,J' "Wectins equities; and (4)*advantage
.applied

scares did not

war

result of

the

port of unjustified wage demands.
By resisting such a strike the Gov¬

would greatly accentuate business

election; (3) dif¬

of labor

electioneering point of

view if the Trade Unions were "to
embark on a major strike in
sup¬

reached, in
the optimism
arising
from an improvement pf the in¬
ternational political situation

nationalization should Socialist win the next

miracle if

settlement:
which case

be correct

prove to

deadlock. But on
chances are that

(1) stronger sterling position
tending to lower discount'rates which may induce lowering '
Bank rate to three and one-half per cent;
(2) increased Ameri¬
can
investments' in British! securities
possibly discouraging;

coun-

any

pessimistic and optimistic factors
for .British equities and concludes that

outlook

the

arise

the

assesses

"on balance the optimists are more

visory
Monetary
Committee;,, to
1 follow the monetary and financial^
tries."

By PAUL EINZIG

advantage
from

necessary,
however, to
note of caution against

overbuoyant optimism; The com¬
ing negotiations over Berlin are
likely to be difficult, and it would

In British Securities

and

Treaty

It: is

Policies

the

regards

economic
•"

Sounds Note of Caution

Outlook for Investors

labor costs.
fc

are

Taking
consideration,

every¬

•

ap¬

balance the optimists

likely

prove-;to
correct than the pessimists.

be
;

F. P. Palen Joins

■

•

■

-■

the

of-the

-Community

i>auI. Einzis

hf£ beeil -s-?t UP within* m°nth
h>otA£e «ffeflvexen£7 j.nt? force
of the Treaty.;; In the first-

just

Unemployment

now.

business revival.

those prospects appear to be

;

pros_

pects of

pf. the Euratom

and

their attention
on

Economic

European

concentrate

Common Market and the rapidity
with which the principal institu-

rtions

a n

owned "idustries.

socialist Gov-

the'err]mcnt

effective /implementation

•

Granbery, Marache Go.

•

The last aspect I refer to, a favorable one this time, concerns

•

before the

wage demands

Frederick P. Paien is

now

asso¬

ciated with

Granbery, Marache &
During the period of the last will mature, and that will bring
Co., 67 Wall Street, New York
Labor Government .in
1945-51, us into the Autumn. No major
City, members of the New York
* the financing of Socialist policies strike is likely to upset the Stock Stock
Exchange, in the research
.. -depended
on American financial Exchange during the Spring and
department.

And.-■a^*^wceT"^e

bright

°t. t946
/£*$ Marshall Aid. There is no

contiit»to suppose that it would be
^erwiSe unto the next Labor

ues t0 decline,rand production"*,is'
on the increase.'-The cost of living

years

pending

the

Summer.
;
Should the cost of

reasonably

■

\ ■

living remain
between now

steady
Allan S. Feldman Opens
Autumn, wage demands
Allan S. Feldman & Co. has
are
likely to encounter firm re¬
been formed with
offices at 342
sistance.
While in the past the
Madison Avenue, New York
Government was inclined to favor
City,
to engage in a securities business.
the appeasement of the Trade Un¬

and

the

Government. That being so such a
of £ operation;! of, ;ithe /Community*
remains remarkably stable/which; 'Gpycrriment^ could not afford to
Kthese- institutions have shown con- means that the Government
feels it, .antagonize influential American
& sidergble vigor' and competence;.;.
can afforci to continue to stimulate
,ei.nf
^.°P
Partners are
It is Belgian industry
Allan S.
Feldm&n
sjhope-that business revival without running British .industrial turns in which ions, this time it is likely to stand and Gilbert Gertner.
they will -continue to face up to- an immediate risk of inflation.
firm.
; 1
■*'
ils such narticination/
American participation' vides The stability of prices pro¬
..'.-their immense task without fall--'
'.r Indeed,
full moral justification for
participation' has
Possible Lower Interest Rates
come to J?e regarded as a kind of such firmness. The political
;]ririg into the error of unwieldy and
argu¬
-

Jhf®

/inefficient Ibureaucracy.

-:V

•

"■'''■'-a"— -insurance', against. Socialist

ex-

ment is
it

something

b o

the_Economic? .*"■*»

1 inclined

iavor

equities •' for

Social Committee which ha§ 'b.een r.enQ+^r awhich there is Amei|can demand
.1 been established to ^dvise the two;. TO® .th/^the ^lp|e7,yicingy^
_a ■; fact V> which
redoubles the
•; new Communities -ppdn" the more.
/
?r.'effect of American buying on the
•V and

^ important questions and problems
arising for the Community.;, Com4'.

?e^n

Stock

Exchange

prices

^ concerned.

the

Gallon Sees. Opens

resist¬

Last year <Jerome P. Gallon is conducting
unpopularity of the a securities business from offices

the

was

autobus

London

strike, and the at 507 Fifth Avenue, New York
the Government's
.City junder. the. firm name of Gal¬
resisting it, that re¬

popularity
firm

stand

sulted in

larity
in

;

in favor of

also

to wage inflation.

ance

the

lon Securities Co.

increase in the popu¬

the

Conservative

country.

would

Party
be

Mr. Gallon

and Glickman Securities

t..
'

thin

tical

manner

Tr„Tv^oQ«'imHiic+rv

The

crease in the &old ^?erve is bound
to reinforce optimism about bhsi-

contribution

the

SinJrrttino »
jnaking: in t
new
Europe
I am pa hculmly
,0K ,Hwcr d>c0£ltt rates, which
happy to
again may induce'the Bank of
..of the Economic and Social Comticulai

nity-'has Ueen

Enland

Commu-

iower. the

Bank

•

Belgian

Industries,

Mr.-Jhat

Roger De Staercke.' ;
.
f
?■ So now you have'seen that fearsand ;hQi3es: mingle in ithis _re;yiew
Vof the functioning of the Common
'
Market.
Some fear intensely the

■

any

of these securities.

.•

•

May 6,1959

■!

Arkansas Power & Light Company

;

worthy increase in profits. The;"
increase in wages has slowed v
down, so that there may ber!*no
heed to cut profit margins through
inability to pass on to the con-

\f-

competitipn of others and, because sumer the increased ; cost in
of that :rfear, are stimulated into] form of higher prices; It is

;

75,000 Shares

offer to buy

v .;!
."
widespread feeling
4959. will witness a note4

'■
There ;is

rate

Executive Director of ourFedera-'•

solicitation of

entrusted ! toli-.thqf}

tion -of

nor a

mittee for the European

•

,/,/.

"ess
thing, the
evidence of
further•'Strengthen--"•
jng 0f sterling's position will tend

•

offer to sell

offering is made only by the Prospectus.

•V: NEW issue;

prospect^For:bnfe

S gZ:

•

announcement is neither an

5.48% Cumulative Preferred Stock

ft;
'

(Par Value $100 Per Share)

;

the 4

Price $103 per

nowr

-greater effort to "secure a rbetter-, generally -expected' that a lqrge
;S;
ior ;f themselves
in
this" number of industrial firms will "?'■»
wider market.-l: In this, we find increase their dividends ' substan4 ^ '■ cf'
■-i the
definition of economic pr.og- tially. They will do so because it

Share and accrued dividend

'v place

and economic

4 ress

] is

dynamism.

-' "
On Final Balance
.

...

;

....

was

; so

easier to ,raise capital than
during the credit squeeze,
that it is no longer imperative

undersigned
;

V;]

I believe that,Jn "the final bal- to finance expansion out of reanee, it will be the hopes] which tairied profits. Moreover, it is con-

nimr/iniYiiiirt

rill

vipnt

anli^inatiftri

declared intention of the Labour
still:fur- Party to impose a limit 011 divi4
ther
to
go
forward successfully dends.
It stands to reason that
With this Common Market.'
For; such statutory limit would depend hard competitors as they surely on the level of dividends paid out"!
are, American industries are wel-: in recent years.
This means that come in Belgium.
Their presence it is to the interests of industrial
stimulates our spirit of industrial firms to ensure a relatively high
renewal and strengthens our de- limit by raising their dividends
/ termination, to press forward in before a change ,of government
are

W.C.Langley&Co.

same

way

jby

finds

his. ardor,

the, healthy fear

other first-class

in a".occurs.
redoubled
There is

runner

.•'

;

Glore, Forgan &Co.

f."
-

.-V

-■

•

"Trace

already helping us,'and I

rhope they will help

•'.'the

as are

try

may be obtained from only such of the
registered dealers in securities in this State.

Copies of the Prospectus

now

has

runners.

,;!

widespread anticipa^
tion, of increased American' buy-ing of British industrial equities.
a

•

•'•"!.

J. C. Bradford & Co.
»

•

■>
'

;

'*
*

Stone & Webster Securities Corporation

■■
;

Fahnestock & Co..

•

Win. E. Pollock & Co., Inc.,

-Southern Securities Corp.

Goodbody & Co.

E. F. Hutton & Company

•

was

formerly with First Investors Co.

Hill, Crawford & Lanford
Incorporated

'. William R. Staats & Co.

Putnam & Co.

r;.

Corp. ;

The Commercial and Financial Chronicle

(2096)

citizens

which

Businessman's
In Domestic and World Affairs
By PHILIP D. REED*

Formerly Chairman of the Board

of the Finance Committee, General

Now Chairman

Prominent

it contributes to the

live.

(2)
The
area
of
education,
which embraces not only in-plant
education

Securities Salesman9s Corner

business

the several

functions, but the whole broad
subject of cultural
as
well as
scientific and technical education,

By JOHN BUTTON

"Gimmicks" Won't Create Sound

people's well-being. Asserts

government, labor, and business have grown out of balance;
and if free society is to survive, business must recapture its

including the financial support of
colleges and universities.
In a
very real sense, the future of any
country is dependent on the qual¬

The

ity and capacity of its educational

Electric Co.

industrialist maintains business can succeed only

to the extent

communities

the

sional

institutions.

business has

Mr. Reed concludes that to achieve this aim,
businesses must organize themselves adequately.

National Credit
vast

majority

profes¬

securities

investment

men

these

matters, have long been aware of the rea¬
truly vital interest. son why United States Government

(3) The area of economics, and
more particularly the laws, prac¬

rightful place.

tices and attitudes that affect the

bonds have been losing favor with
investors.

Yet

they have been
reluctant to speak out either col¬
lectively or individually.
This
reticence has been very much in
evidence even when discussing

capacity the nation of which that business vitality of the competitive enterprise system and the incentives so
that term is a part,
necessary to its development and
A Businessman's Duty
growth. Widespread economic un¬ the possible sale, or switching of
membership
embraces
the full
It would seem to follow that the derstanding could and should be government bonds, into other in¬
spectrum of
businessman — quite apart from the bastion of our competitive en¬ vestments with individual clients.
private indus¬
his general duties and responsi¬ terprise system. That such under¬ The fear of criticism for suggest¬
trial, commerbilities as a citizen—has a clear standing is seriously
inadequate ing such a policy, even when in¬
cia 1
and
clients
could
have
im¬
duty to his own enterprise, his —and some of it in high places- vestor
financial
employees and shareholders, to constitutes an ever-present dan- proved their net income return,
enterprise. We
improve
his company's
growth ger and, in part at least, a reflec- or brought their account into
make and sell
and profit potential by doing any- tion on the business community, better balance as between fixed
an
infinite
thing and ; everything he can to This area also embraces such vital income governments and a more
variety of
create an ever better business cli- problems
as
inflation, balanced realistic proportion of desirable
things
and
mate in his own community, be budgets,
wage-price spirals and equities, has possibly been the
services
it local, national or international, money management, about which
designed to■
motivating reason for not recom¬
V, It may also be said that busi- the views and influence of busi¬ mending this indicated procedure.
make life
nessmen
because they actuate nessmen should surely have imLike many other areas of our
more
satisfyand
implement the competitive portant weight.
life today, there are few who have
i n g
and
enterprise system and therefore
secure.
We
(4) The area of international the courage of their convictions
We are met here in our

businessmen.

Thursday, May 7, 1959

use

in the broadest sense because our

■

(another switch
proposition).
Then
set

amount

have

its

the

that

Such

bonds.

stated
will

Treasury

percentage

that

income

fixed

currency

and

add

then

lottery

plan for figuring the
depreciation we will

our

intervals

the

have those who would

pay

idea

the

it will

sup¬

posed to make government bonds
attractive.

This would

en¬

inflation on the one hand,
admit the government's inability
to cope with it, and dig into the
courage

till

obtain the extra dollars to

additional

pay

bonds

sum

the vitals out of the

will do

such ideas
in

our

inflation continues to eat

solving

problems

country.

All

much good

the
nation's
it would to

credit
give a

victim aspirin

cancer

—

other

each

the

Let

priceless

portance
and
development
of
world trade, and the problems of
international
investment
with
which this Chamber has long been
concerned.
These
subjects
and
many others in the area of inter-

silence

United States of America and the

lor

moment

ma'rriage

national

lack

Denver

sense

trustees

of this

*s the purpose of this first

of the factors that influence general meeting
or
failure of a busi- "lal Congress of

some

tb*»

consider

success

of the 17th Bienthe International

affairs will

discussed

ancj debated by highly competent
businessmen in the course of this

competence
01
the individual or individuals, who direct

Chamber of Commerce to explore ^7^ Congress.
Speaking of the
the subject of the businessman s United States, the principal probresponsibilities m domestic and jcm here is to enlist the interest
world affairs. As your Chairman, pf/a VCry much larger number of

the business.

" JS my

ness

free-market

economy.

musk

First and foremost

come

the

overall

is axiomatic

that

task to portray the broad

businessmen

our

international

at a scope and dimension of this pro- problems
and ' affairs. Mh
this
liability to the community fpundly important inquiry, and rapidly shrinking world, they conbusi- }hen *° present to you my col- JVOnt and affect us all. •
leagues on this program who will
i
Here, then, are four broad areas
; But this is only the beginning develop what in our view are the in which we businessmen must,
of the story. The profit and pub- principal aspects and facets of the in
my view, broaden and deepen
lie service potential of any busi- businessmanis
responsibilities in our understanding, our active par¬
ness—given reasonably competent domestic and world affairs.
It is ticipation and our influence if we
management — will vary tre- my h°Pe that m thls presentation are to
discharge our full obliga¬
a

businessman who operates

loss, is

and will not long remain a
nessmair
'

mendously
depending
on
the and the discussion to follow we
economic,
political
and
social can
through and beyond the
climate, or environment, in which broad generalizations with which
It operates. No one wili question almost everyone would agree, and
that the progress and capacity to spend as much time as possible
serve of a business enterprise will
be importantly affected by, for lhi?^s
which businessmen can
example, such things as these:
>
and must do to help build a more
A friendly and cooperative—as
!Ye' Pro&ressive and peacedistinguished
from
a
hostile— ,ul wor«**
Four Key Areas
community attitude toward busi¬

tion to
_
iu

tiong

general or
particular business.

the

toward

^
^
society and to the institu-

serve

con^nue

our

tfduaUng

a£fajrs. jf

'rJand

ness

backs

pil)l"c

groUp

on par-

political

and

ieave to government

others all the problems, in-

the

with

guts

action.

ential

back

There

them

notable

prudent

business

financial

and

or¬

decline

credit

outstanding
cently have

interest

government

the

legislative

which

and

branches understand

both

executive

and

support
the principles of free competitive
enterprise, and so conducts itself
to

maintain

sound

national

world.
is

The
elect

bonds

Place

the

credit

best,

the

only

the

to do this

way

citizenry that is informed

articulate

such

matters

educational needs of the

and

the

commun-

ity

and country, the causes and
dangers of inflation, the importof

ance

world

trade

and

travel,

time, thought and action of
businessman.
These areas
may be defined as follows:
(1) The area of public affairs

them

not at all with the task

and

first

above

and

Not

all

and

ffio

the

citfnifiVonoo

significance of the

This list could be extended almost

indefinitely,

have

said

enough

but
to

perhaps
make

the

enfolk,

well

resentatives—local

wom-

political
state

anH

repna-

point that the opportunity of any
t
s A?ca1' state and na
business to serve, to grow and to ctipnaL* .There is no substitute for
prosper varies directly, and im- good
corporate
citizenship at
portantly, with the understanding every level, and if we businessWho

maeke upUthe community or
P
e communion?

men hope to be listened to on isfe.g

t^SJuSST&JSiK^^rn
Washington,

April

20,

1959.

Impact of the Great Depression
We

Pation in community affairs and

local businessmen and the

luUe>

all

remember

that

the

de¬

a reputation

interested

and

probably
hands
nanaS

and

ernments
of that

of
Ot

needed

labor
laDOF,

Dower

business, and the surplus
used to carefully and
intelligently
retire
outstanding

but

DUt

pressure

Tlso
31S0
on

that

could

live

within

decade

by taking on new
and unaccustomed responsibilities
in the fields of economic
—

Planning,

assistance>
War

and

regulation

so-

and

Then followed .World

which

resulted

neces-

governmS

sity, in adegree of
regimentation and economic

con-

l[o1 hitherto unknown. Then came
Continued

page

West

its

Germany

nancially, both these nations
now
beginning to appear as
victors in the past great war.
But

in¬

wholesaling

Co.,

over-

Now With Ross, Borton
CLEVELAND, Ohio

—
Warren
Sladky is now connected with
Ross, Borton & Co., Inc., The 1010
Euclid Building. He was formerly

with Livingston-Williams & Co.
•
.

•

Central States Adds
(Special lo The Financial Chronicle)

MANSFIELD, Ohio-Joseph M.
Strayer has been added to the
States

staff

of " Central

ment

Co., Walpark Building. He
formerly
with
Saunders,

was

Stiver &

Invest¬

Co.

With Thomson, McKinnon
(Special to The Financial Chronicle)

LIMA,
now

reason

bond market, we
be

offered

for the

will

panaceas

which

government
veiy likely
of one sort

lottery; the profits of
be -used to pay off

could

debts of the Federal Government.
Another

bonds
tax

sell

government

with

partial or complete
exemption.
Someone
else

suggests
the

that

government

bonds

drawn by lot periodically and
-holder
of
the lucky 'bond

would receive

associated

West High

St.

With Clayton Sees.
(Special to The Financial Chronicle)

BOSTON,
Jones

Mass.

George

—

has become affiliated

with

Milk Street.

cur¬

another, some of which are
already making their appearance.
One such suggestion is to set up
national

.»

Griner

Clayton Securities Corporation, 79

and

with Thomson

McKinnon, 121

are

the

Ohio—Philip

and

instead of coming to grips

rent weakness of the

the post-war years—characterized

looking

business. He is

the-counter issues.

Japan during the past few years
proves that it can be done.
Fi¬

to
tO

gov¬

alleviate the distress

»>y high dein^nd^hortages of al-

Kraft

specialists

policy then and
only then should we appropriate

with the real

thoughtful,

forward

President of Oscar F. Kraft &

official

must ^

investment
Oscar

other

perience

Jong out of balance,

aj,a

wl}?le broad problem of partici- ai°d

ever-

Mr. Kraft
July will
complete 40
years
in the

should

budget be balanced, but a
surplus should be created in years

grand¬

(Special lo The Financial Chronicle)

only

our

lished

nation that could demonstrate

Qne may well inquire as to the
reason
for this clear need of a

which includes, but is not limited
pression of the 1930's gave birth
to» Politics. Here is involved the
.
.
.
imnortnntlv enha.wH

of relations hpt.wppn fhp pnmnnnv
of relations between the company
increasing interdependency of the and its neighbors. Neighbors incountries of the world.
elude
the
teachers, the clergy,
unrl

bonds. After this has been estab¬

find

in
on

children.

Congress that will
nation's solvency and

considerations.

should

their

&uide our approach to a definicome,
after almost 30 years of
lion of the businessman's overall broader outlook and a wider base
wasteful and
extravagant fiscal
responsibility. It seems, .to me,
action by businessmen, big and
mismanagement of both its income
though, that in addition to the 1m- little, the world over. The reason and
outgo, Would attract the con¬
mediate duties assigned to his j submit, rests on the solid truth
fidence
of
investors
in
every
business position there are four ^Iiat a free society is endangered
quarter of the globe. And the ex¬
broad areas that have a real claim when the great forces within it

Currency and clear incentives for
its people and institutions to
work, mi the
save, invest, research and grow,
every

and

investment

safest

bonds

government

these

make

well

May 5, 1926.
They have 3
children,
Tony,
Mike
and
Carol,

Quack Remedies

of economic conditions

There are, needless to say, many
dilferences in the traditions, cus-

national Chamber of Commerce!—

sary

The only way to restore investor
interest

anniver¬

courage new investment.

33rd

o.„'

Next Will Come

the

brated

securities.
Only re¬
few very tempered
statements been placed before the
public on this subject but, in the
main, the policy of "Don't Rock
the Boat," and go along with the
status quo and hope for the best
seems
to be the prevailing atti¬
tude.

5 cele-

May

of good

Kraft

its

eluding the support, of educational
institutions; if we concern our¬
selves only with making the best
as

Oscar

standing of the

investor

Calif.—Esther

ANGELES,

LOS
and

ganizations in the country on the
subject of the real reason for the

—

Oscar Krafts

most of the influ¬

among

of improving them; and if we regard the economic and political what is available from the rev¬
distinguished toms and bodies of law of the condition of other countries as enues of the Federal
Government
from irresponsible — fiscal policy
many countries here represented, none of our business — then, it for
necessary expenditures.
Such
which, while designed to meet It would be both impossible and $eems .to.
a program, if it could be effected,
ape, we will have only
the legitimate needs of a
progres- inappropriate to suggest a single ourselves to blame as we watch
would restore public confidence
sive
community, does not dis- formula—unless, indeed, it be uni- the global erosion at the foundain government bonds.
criminate against business or dis- versal
membership in the Inter- tions of a free society,
A
A

and

possession, for the benefit of all
the people. As such they are dutybound to preserve and protect it
and to sound the warning far and
wide when it is threatened by
misguided or deliberate attack.

indispensable emblem of success,
a profit, from which futures are
built through research and continued investor support.
>
-

33rd Year for

affairs, which includes but is not
limited to such matters as the im-

marketplace, and needless to
we strive for that elusive but
v

say,

should Understand it best—are in

Philip D. Reed

with

compete

fat profit thereon

Now With P. de Rensis
(Special to The Financial Chronicle)

BOSTON, Mass.
Rendini is
&

Co.,

members

126
the

Exchange.;.

—

Maurizio P.

with P. de Rensis

now

Inc.,

Street,

State

Stock

Boston
;

With Townsend, Dabney
(Special to The Financial Chronicle)

BOSTON, Mass. Appleton King
has become connected with Townsend, Dabney & Tyson, 30 State
Street, members of the New York
and Boston Stock Exchanges.

Volume

189

Number 5844

The Commercial and Financial Chronicle

(2097)'

wise

educational,

Utility Securities

Convinced creeping

nearly

buses, in the past seemed

5,600
rather

working
turers

Earnings "made a
$1.25 level for
but the stock paid a
the

around

some

years,

dividend, affording a liberal
yield.
Arthur Genet, President,
installed in 1956 and initiated

was
a

of diversification, but

program

resigned in August, 1958,

presum¬

ably because he had had trouble
in

getting

of the

some

ties out of the

activi¬

new

red—though

manufac¬

several

here

abroad

and

elimination

were

mainly
low

reduced

through

revenue-pro¬

ducing operations. With the aid of
the company

increases

rate

some

able to increase average bus

was

by nearly 4 cents a mile,
with a gain of 1.8

revenues

compared

cent

(mainly due to
higher labor costs).

regu¬

expenses

New

contracts
were
negotiated
during
1958.
handicapped by bad weather. ;
These added about $2.2 million to
1 He was succeeded by Frederick
labor costs in 1958, and will add
Aqkerman, who has been an op-'
about $7.5 million more in 1959.
erating executive of the system
The company plans to offset these
for 32 years. Mr. Ackerman initi¬
increased costs with larger traffic
ated a stringent economy campaign
and
collateral
revenues,
tighter
and terminated some of the new
control of expenses, better use of
lar

operations

activities such
division

had

also

the "U-Drive-It"

Greyhound Rent-ACar./ Negotiations for the sale of
the
Vehicular
Leasing Division
were
concluded in February this
year by selling long-term leases
to

Credit

Commercial

the

Com¬

with Greyhound
sharing
equally in net profits of these
leasing operations for five years.
The • decision
to
liquidate
the
pany,

Rent-A-Car

division

loses

added

absorbed

which

resulted

1958

the

largely
earnings

were

adjustments may
remain to be taken in 1959).
Greyhound's operations aggre¬
(although

some

gate about 102,000 route miles and
comprise a vast network through¬
out the 48 states, the District of

Canada, serving
principal cities.
The company has now acquired
the minority holdings of various
operating subsidiaries, which had
been
held largely
by railroads,

Columbia,

and

these

and

are

now

operated

needed

by rate

$1.25
per
share in 1958, a gain of 3 cents
over the previous year, but 2 cents
less than 1956 earnings. However,
this figure was after giving effect
to the operating losses of Rent-ACar, including original acquisition
costs, all of which (after income
tax credit) were equivalent to 35
cents per share. .Thus excluding
Rent-A-Car,
earnings
for
1958
were equivalent to $1.60 per share
compared with $1.26 per share in
1957. The company also improved
1958 to $21 million compared to
Greyhound

earned

$13 million in the previous year,
and an increase of $39 million is

expected for 1959.
In

operating

Houses,

restau¬

rants, account for about 7%; and

Greyvan, which is engaged in the
moving and storage of household

furniture, contributes some 3%.
The company

has, like the rail¬
in the past from
automobiles in
short-haul (15 to 50 miles) busi¬
suffered

roads,

the competition of

ness,

off.

but this loss is now leveling
The average length of ride

(now 103 miles) is also increasing

York Society of

President
the

for

outlook

being

Security Analysts,
is

1959

1958.

reduce

expenses

According to a DowJones
news
item, the company
may increase the $1 dividend rate
late in May.
•

The stock advanced sharply on
these bullish reports.

4.3%

stilt

comfortable

cost

rail and air com¬
petition onr long haul fares. Bus
fares average- about
cents a
mile, railroad 3 cents, and airline
margin

under

all

It has been

year's

this

with

23-17 V2

19-14 M;.

and sells

and

range

last

result in

sides, farms, lakes, or rivers. Certainly these things will increase
has risen about 25%.
But some in value through growth as well
groups—namely unionized manu- as inflation. Even these have real
factoring workers—are now get- risks, such as drought, fire, hur¬
ting 58% more pay than they did ricanes, and diseases. Therefore,
ten years ago.
Surely they are ypu could get seriously hurt if all

this

pre¬

for such
catastrophe..

His

name

Noah.

was

Few

lis tene d to

him and;
fewer
the

even

bers of

took

affairs

mind.

in,
Roger W. Babson

insisted life

head-on
for it.

met

You know the rest

of the

story.
p

All
sooner

will

confronted,
,

n rvtr1*

for

save

later, with the need to
■!
l-v 1
"moi
that inevitable
'rainy

nnt r^-v

v-\ t

day." It may result from an earthquake, a flood, a world war, or
something else. Whether we shall
ride

out

the

storm,

sink

tires

y0U

your
««

basis.

nance

work

mileage

the

contract

concentrating mainte¬
on buses at five large

and
labor
costs are being reduced.
Better
control of operations in 1958 re¬
sulted in a reduction of more than
one-eighth in the number of em¬
ployees.

With better loads bus-

miles decreased 4% despite an in¬
crease

of nearly 4%

in revenues.

expect
to buy any new buses until 1961,
when it may need about 500 units
The

company

does

not

—but the initial cost of these units

will

offset

the sale of at
fully depre¬
Only 15% of the
by

least that number of

ciated

buses.

purchase price of new buses is in
cash, the remaining serial pay¬
ments

«r

tion."

Too bad—but it

sure

Harold M. Wit has been elected
Vice-President of The One William

come.

Most

common

stocks

will

gsatttggjgss
fronts^U^f'us il'the lproblem o£
inflation. I will not
^scribe.it OP
tell
how to avoid it. Advice
you

this you are continually being

announcement

not*

Dorsey
Richardson,

•.

„

stocks;

President of

every possible yardstick of value

,the mutual
A fund.. Mr. Wit
became

metals, oils, and other-assets';
which should increase your buy-.,

teu^arsYrom^^^ow 'his savings
for educational purposes may
i

9? via!!
linw llp
mav'f.w?that his retirement in
may find that
infrnm

come

life

insurance

able you to buy more stocks when
the crash comes. Your investment
advisor will help you with this
nrobiem

provides

pu{. some Gf your

which

was

being

financed by depre¬
charges. The company is
anxious
to improve
the engine

ciation

performance of its busqs, and is
.4"

the

law >firm of
C r a v a t h,
s ™ a J*1 e &

naroid M. Wit
■

■

with

Moore from 1954. During the Ko-

conflict he served in the
earnings into U. S. Navy as a Lieutenant Junior

with real

home

with

the company
in 1958 prior
to

ing Power'during creeping, inflation" bankthe samewhich will eri^
At account time keep; a
good

living he had anticipated. The •
anway old Noah would prepare now tiques, and into acreage in areas
for such a possibility would be by that are bound to appreciate in

increasing

asso¬

ciated

co^mon>'<

buy. common stocks, basee -

uP°n
chAmn

vniintf

Street

Fund, Inc., according to an

What to Buy Now

rean

Grade

Nelson Burbank Adds
Mass.-

BOSTON,

Victor

and fire in- value—particularly areas of great Davis is with Nelson S. Burbank
population growth. It may be Company, 80 Federal Street.

his life

surance.

All

of these secfaiJies'having been sold,

this advertisement appears

as a matter

of record only.

NEW ISSUE

adjusted

150,000 Shares

times

Chemical Milling International
-

...w

■l

earnings.

Corporation

Financial and Investment

company

inventories

centers,

/»

<r%

■»

William Street Fund

should act now! Have in
home this motto: "Remember
Noah
Prepare Now for Infla-

^ion,

Institute

utilities, the

H. M. Wit, V.-P. of

ing and ultimate.spiraling infla-

(Special to Tiie Financial Chronicle)

COMMON STOCK
($1.00

and very lowall

with the 24%
of living—

cost

In order to offset both creep-

war.

practically no credit losses
LOS ANGELES, Calif.—D. E.
inventories. It rents Hayes is engaging in a securities

has

pace

the

by another big spurt of inflation,
prepared probably caused by another world

those who

keep

increase

have

Noah;

■

therefore, that you have enough
cash, or the kind of assets that
not even maintained their will bring you quick cash in an
1947-49 standard of living.
Are emergency—so that you can buy
you one of these?
If so, read on! common stocks atthe bottom when
Creeping inflation will continue, the next major stock market defollowed possibly, sooner or later, cline comes,
to

even

with

future

personal

vengeance.

their

the

total

for inflation with a your funds were in such investHowever, large num.- ments. Hedging against inflation
other workers have failed requires diversification. Be sure,

preparing
,

trouble to

arrange

period

same

income for all groups of workers

pare
a

on.

j)o you realize that since 1947-49 many other ways to combat inof the cost of living has risen 24%? flation. I have purchased young
later This is about 2)1% per year. In timber lands, orchards, or hill-

deluge; a ri d
that they
should

goes

will make
valuable as time
There are, of course,

years...

year's

the stock yields
at 18.4 times the

actual 1958 earnings and 14

4*/2 to 614 cents.
Like

Look at the Record

selling recently on the New York
Stock Exchange around 22% com¬

transportation and in most areas
there

the population increase

comes.

A-Car).

about

the

present ^trend con¬
tinues, the company's earnings are
expected
to
exceed
the $1.60
earned in 1958 (excluding Rent-

pared

favorable from

drought

are

improve bus utilization.

profit

people that
would sooner

fa¬

very

efforts

Continued

made

that

stated

Ackerman

vorable.

standpoint' Buses continue to be
the
most
economical
form
of

which

his

ftJeS»d

recent talk before the New

First
Bus operations contribute about quarter earnings were 15 cents a
90%: of
revenues
and
include' share compared with a loss of 13
handling of passengers, package cents (partially due to stormy
weather) in the first quarter of
express, mail, charters, and tours.
Post

crash

should, in the present situa¬
be good inflation hedges.
Some economists
believe that

and

divisions.

told

could

increases.

of the

almost all

where

and

buses

labor

two-year

been

everybody knows the
story about the man who long ago

Ordinarily

But at current

tion,

antiques

million

496

equities when

recommended

bonds

good bank account to enable purchase of

Almost

Bus miles in 1958
to

time

same

engine research.

colorless stock.

line"

with

both

the

funds.

not

inflation.

low
prices and relatively high
yields,
some
of
such tax-free

inflation will continue, and another big

spurt of inflation will occur, Mr. Babson spells out various
kinds of hedging to pursue. Moreover, he advises keeping at

Greyhound Corporation
Greyhound Corp., operator of

are

combat

By OWEN ELY

nationwide fleet

bonds

By ROGER W. BABSON

good tax-free

buy ..some

These should be ideal for

bonds.

Public

under the firm

business

Financial
tute

and

from

name

Investment

offices

3218

par

value)

of-

Insti¬

Craig

Drive.

Price
-

$2.00

per

New Branch Office
I-

Ohio

CHILLICOTHE,

—

Com¬

monwealth Securities Corporation

has opened a branch office at 70
Central Center under the direc¬
tion

Harrell

Copies of the Offering Circular may be
states

Moore.

in which the

and in

obtained from the undersigned only in

undersigned is qualified to act as

which the Offering

Circular

may

dealer in securities

legally be distributed.

;

Form First Sec. Inv.
FALLS, Mont. —First
Investors Inc. has been
formed with offices at 17 Fifth St.,
.GREAT

Security

North ,to engage
business. Officers
weaver,

in
are

President;

Aetna Securities Corporation
111

securities

NEW

Lewis Line-

Leonard

Motari, Executive Vice-President;
W. V. Montee, Vice-President; and
Harold. J, He$s, Secretary-Trqas.

BROADWAY
YORK 6, N. Y.

220 71st STREET
MIAMI

BEACH, FLORIDA

A lay 5, W9

Jr,:'

(2098;

The Commercial and Financial Chronicle

6RWIMTE CLASS

Bank and Insurance Stocks

Thursday, "May 7, 1959

1959 INSTITUTE OF INVESTMENT BANKIN6

By ARTHUR B. WALLACE

This Week
Two weeks ago we

underwriting

1958

group

casualty

important lines

The showing was (let us

written.
be

Insurance Stocks

the leading fire and
insurance companies in

of the

some

—

discussed the
results of a

charitable)

ragged, except for

The first quarter showed a loss of

$103,700,000,
1.4%

burning

ratio

cold weather

quarter,

increase of about

the 1958 period.

over

high

months

cannot

for

these
first

the

As the V

the quar- ^

use

tor's

figure to estimate the year's
However, the 1958 first
case
of the extended coverage— quarter is likely to be sufficiently
a
line that,
until 1958, distin¬ large to keep, the year's showing
guished itself by almost steady over a billion, which total was
underwriting losses.
Two more reached in 1957.reports on lines are considered
7 Parenthetically, it may be added
the

unusually good result in the

result.

)

this

week.

....

Inland Marine

reported an aver¬
loss and expense ratio

age combined

(for the 35 groups, or unaffiliated
units) of 100.6% for the year, and
for the five-year period it worked
The

101.6%.

Out

line

not

of the largest of the industry

one

that its indifferent showing did
contribute too much woe to

here that the Association of Casu-

alty

and

Surety

Companies

;

and

the National Board of Fire Under-

writers
lic

to combine their

are

relations

work.

Information Institute; and it

expected

help

public

tions of the industry

rela¬

results.

industry

trouble
the

and

1956

1957

transit

fair job in 1958.
35 companies to

came

the

while

Using the
represent

industry in the line the 1958

result

was

loss

combined

and

97.7%, for a 2.3%
profit margin, and the five-year
average for
a
margin of 4.6%.
On the average figure 1954 and
1955 kept it in the black by the
excellent
performance
in those
expense ratio of

years, an average combined ratio
cf -f86%.
The year 1958 had no

outstanding

great
the

earlier

Doria.

losses
the

one

Increased

such

Andrea

foreign

produces more premium
decreasing trade, such as

■

sj:

trade

jvolume;
have

experienced recently, of
bas the opposite effect.
v

the
any

noted

The

Granting

all

various

state

authorities

seem

religion

far

After

concerned.

are

supervisory
be
getting
rate increases

the

rate

(The

carriers' request for a 42% rise in
uutomoblie

liability rates by an¬
nouncing one of 22.6% on average.
Also, Tennessee allowed an averuge increase on automobile lia¬
bility of about 15.2%. The rela¬
tively large size increases going
seem

justification
for

needs

attest

the

him

the

idea

has

the

companies'

sizable increases.

March

fire

applicable

pLil°Tnf

ably

several

there,

million

rated drivers in the
be

quite

costly

This is. taken

betide

drivel;.
dents

the

If he

mium

carriers."

the

©bout $99,600,000 by the National
Board of Fire Underwriters, com¬

pared

with

$102,700,000 in the
1958 like month (a 3%
decrease).

NATIONAL AND GRINDLAYS
BANK LIMITED

rates

had

two

goes

years

his pre¬

E. A. Harris Opens
Calif.—Edward
A. Harris is engaging in a secu¬
Boulevard.

Merrill

was

Lynch,

Pierce, Fenner & Smith, Inc.

R. A.

Ragazzi Opens

CORONA, N. Y.—Raymond A.
Ragazzi is conducting a securities
business

from

offices

112-09

Roosevelt Avenue under the firm
name

Financial

Security.

INSURANCE
STOCKS

Parliament

St.

Sq.

Bankers to the Government in: aden,
kenya,
a somaliland protectorah

Branches In:
mha. pakistan, ceylon, burma,
kenya,
tanganyika, zanzibar, uganda,
aden, somaliland protectorate,
northern and southern rhodesia.

Members New York Stock
Exchange

Members American Stock Exchange
120

BROADWAY, NEW

YORK 5, N. Y.

Telephone: BArclay 7-3500

Bqll Teletype—NY

FNMA

dent

1-1248-49

Bank

Stocks

According

ported

and

program

of the

breakdown

the

FNMA

under this

pro-

reveals mortgage bankers as
most
active with 674 com¬

(64%) listed, followed by
banks
and
trust
companies
(22%), 134 savings and loan associations (12%) and 18 insurance
companies (2%).

out

that

pur-

Secondary Mar-

previous-quarter,

FNMA's

SMO
portfolio
in
the
quarter of last year.
Sales of Secondary Market Op¬
erations mortgages by FNMA to
private investprs. continued to de¬
cline

Stanley Baughman

Association

Thie

maintains

re-

gional agency offices in Philadelphia Atlanta, Chicago, Dallas and
Los
Angeles, and a sales office
ancj fiscal agency office in New
York

Citv

■

Iowa Inv. Bankers
To Hold Field

with

only $1,140,000 worth
of during - the quarter.

disposed

DES

This
compared
with
$2,900,000
Special Assist-, worth sold in the previous quartotaled $404,410,- ter and- $69,300,000 in the third
,

cost

spring

to spur ! home
addition
to \ these

quarter.

This

was

also

sharp

contrast to the $355,500,000 worth
recorded
in the second quarter

last year. "
,

Stepped

Secondary

*'
interest in FNMA's
Market Operations

Day

MOINES, Iowa—The Iowa

Investment

housing
launched by the governIn

segments

third

moderate

last

all

226

overall

program

panies

compared with $21,365,000 of
mortgages
that were
added
to

000, most of which represented
mortgage acquisitions under the
low

the;

gages

the

and

un-

—

for

most

gram

Operations program were 53 %
highcr (than the $63,911,000 - re-

Stan¬

the

two

ket

mortgages
bought during
the
period.
r

pointed

Baughman,1

sellers, spread
the
country and

1,052 lenders that have sold mort-

Quarter

chases under the

Mr.

financing industry are par¬
ticipating in the agency's SMO

Increase Over Previous

•

thousand

representing

executive

ley Ba u g hman
May
1,
showing a
total of $502,1 6 4,0 0 0
in

over

three

home

emphasizing the trend of the
mortgage market, FNMA's chief

Presi-.

the

over

statement

issued

Bankers
_

Field

Day
...

wl11 be held 011 Aug. 19, 20 at the
Wakonda Country Club, Des
Moines, Iowa. Norman V. Conway,
Conway Brothers, is Chairman of
Field Day.
u

House-Johannes rormea
(Special to The Financial Chronicle)

mortgages, FNMA bought almost
$100,000,000 of mortgages under

program

steady, month-after-month rise in
mortgage

offices at

nes,

its

Secondary Market Operations

program.

The 8 380 mortgages ac-

quired under this
cm

Specialists in

*•

disclosed

was

building.

Laird, Bissell & Meeds

;

This

year.

ment

half

VA-guaranteed mortgages inv

ance

and

1.3 St. James's Sq.; Govt.
Nairobi; Ins. Dept.: 51 Parliament
St.; Travel Dept.: 13 St. James's Sq.; In¬

■■anda, zanzibar

over

FHA-insured

during

program.

'
t
and a hair years ago to
billion dollars,

Mortgage

Kd.f

St. James's

„

months of this

Trustee Depts.:

dollars

agency's

BANK

STREET, S.W.I
ST. JAMES'S SQUARE, S.W.I

Purchases

London Branches:

Depts.:

the first three

HOLLYWOOD,

BISHOPSGATE, LONDON, E.CJ

Tax

Federal National

and

54 PARLIAMENT

come

„

The

billion

Head Office:

rn,

Association purchased

with

10,719 worth $126,000,-

over

decline in sales occurred.

approach to the accident problem!

offered

months.

slightly exceeds total for entire 1958.'
Mortgage purchases had reached their peak in first quarter
of 1957 and sharply declined
thereafter, through 1957 and
until third quarter of
1958, when uptrend in purchase and

(Special to The Financial Chronicle)

000

mortgages purchases

acci¬

total

Extremely Active in First Quarter

FNMA head's first quarter
report reveals cumulative total of

But

Amalgamating National Bank of India Ltd.
and Grindlays Bank Ltd.
U

FNMA

bill

25%; three
accidents a 50%
rise; four gets
him a 75%
increase; five or more,
100%
more
premium.
A tough

formerly
at

;

accident-prone

has

the three

rate

the
of

accident.

one

'
•

;

ton; John J- Jackson, Baker, Watts & Company,'Baltimore; Daniel R. Cooney, Lord, Abbett & Co.,
New York: William K. MeHenry; Jr., Sterne^ Agee & Leach, Birmingham; Loring T. Briggs, C. F.
Childs and Company, New York; T. Brook'Town'send III, Wagenseller & Durst, Inc., Los Angeles;
Benjamin F. Edwards III, A. G. Edwards & Son','St. Louis; Joseph E. Howell, John C. Legg & Co.,
Baltimore; Somers K. Steelman, Merrill Lynch; Pierce, Fenner & Smith, Philadelphia.

preferred-

present

with

:■

■

state, it would

care

charging

prob-

are

•,'V

/■;(•,

Son & Co.,

fholr

900/

Row:

Kalellis, Janney, Dulles & Battles, Inc., Camden; Harry R. Neilson, Jr., W; H, Newbold's'
Philadelphia; Richard C. Vivian, The First Boston Corporation, New York; John B. Joyce,
Jr., John B. Joyce & Company, Columbus; Joshua B. Richmond, Coffin & Burr, Incorporated. Bos-

J rpHiiPtlnn'
^
I
mium rate. As

William

experimental plan
eollisionj -liability

Hollywood

losses, estimated

Fourth

situation may be corrected. A bill
been introduced in California
up

,v-v

Alex. Brown & Sons, Baltimore; Ronald L.'.y'oss,
Jr., Cumberland Securities Corporation, Nash;ville; James A. Hill, Boettcher & Co., Denver; Neil M. Holt, J. P. Morgan & Co., Inc., New York.

rities business from offices at 6715
Fire Loss Trend

■

has

setting

T\"y

Coffey, R. S. Dickson & Company, New. York; Henry P. Glendinning, Jr., Butcher & Sherrerd, Philadelphia; J. B. Shumate, Wachovia Bank & Trust Company, Winston-Salem; Calvin A.
Newton, The First National Bank & Trust Company, Oklahoma City; Frank R. Saul, The First Na¬
tional City Bank of New
York, New York; John S. R. Schoenfeld, Ferris & Co., Washington; Robert
M.Evans, Eastman Dillon, Union Securities & Co., San Diego; J. David Zilka, Zilka< Smither & Co.,
Inc., Portland; Carl W. Seet, Jr., The Indiana National Bank, Indianapolis; Charles S. Garland,
Jr.,

seasoned, and in
this seemingly unfair

process

••

•

Carl G.

the

■

)

out and

worked

woe

effect

deprives

whole

underwriters had fought for so
persistently for so lpng on motor
vehicle lines, several others were

Florida answered the

Third Row:

in-

up-rating.

drivers

into

driver

accident may not be

fault, his premium rate

involved,

boost in New York State that the

©nnounced.

But it is to be

because

Increases

Dean Witter &

is not put on a preferential basis.
That is, the mere fact that he was

K-

Rate

rating.

that

volved in

& Co., Toledo; R. M. Pendelton, A. E.Ames & Co., Limited, Mont¬
Witter & Co., New York; Russell G. Wardley, Fulton Reid & Co.,
Fulton Reid & Co., Inc., Ft. Wayne; Philip O. Rogers, John C.

McC. Jordan, Bankers Trust

accidentless driver, welcomes
idea that will give him a

preferred

;

F. Gliss, Jr., John C. Legg & Co., New York; Phillip M. Lighty,
Co., Palo Alto; John C. Colman, A. G. Becker & Co., Incorporated, Chicago; Robert
Company, New York; John W. Erhard, Chace, Whiteside & Winslow,
.J"
Inc., Boston; John N. Holscher, The Ohio Company, Columbus; David D. Lynch,
Kidder, Peabody
& Co., New York; Frank R.
Finnegan, Edward D. Jones & Co., St. Louis.

automo¬

for, in the case of
California, three years. Naturally,

States

v;.:■

Walker, Braun, Bosworth
real; Robert W. Swinarton, Dean
Inc., Cleveland; Keith R. Barker,
Legg & Co., Baltimore; William

accident

course
*

Second Row:

state insurance departments.
The general idea is to give a preferred rating to drivers who have
been involved

C. Wheat & Co., Roanoke.

Neville

bile

Merit rating plans are begin¬
ning to be evolved and considered

not

Marine,

spectacular in its showing,

means

did

was

land.

Ocean

Merit Ratings on Rise

when

pulled up to
104.7% and 105.7% respectively.
Coverages of Inland Marine in¬
clude protection against anything
that can happen to goods while in
average

Stewart, Midland Securities Corporation, Ltd., Montreal; Eugene L. Neidiger III, Earl M. Scanlon
Co., Denver; Arthur M. P. Clark, Shearson, Hammill & Co., Springfield; William M.
Meredith,
> < \
.

into

ran

Stafford, Merrill Lynch, Pierce, Fenner & Smith, Columbia; Nestor W. Bohrer, Kalman &
Company, St. Paul; H. J. Runnion, Jr., Wachovia Bank & Trust Company, Winston-Salem; James
A. Norman, Baxter &
Company, Cleveland; Clarke Berdan, Merrill Lynch, Pierce, Fenner & Smith,
Saginaw; Gordon S. Macklin; Jr., McDonald & Company, Cleveland; Latham C. Burns, Burns Bros.
& Denton, Inc., New York; James McConnell
Clark, Hemphill, Noyes & Co., New York; William
A.

not
the

(from left to right) -'

Luther H.

;

new

organization will be titled Insur¬
ance

First Row:

pub¬

The

hz.a

$97,754,000

and

program

totaled

brought

the

total

purchased sincfe*3ts inception four

was

reflected

offerings

during

the

DAYTON, Ohio—House-JohanInc. has been formed with
1126

Oakwood

Avenue

first quarter of 1959, with 2,896 to engage in a securities business,"
deulavsgnirre- o
at $34,000,000 ett Officers are George J. Johannes,

ceived in January, 3,d47 worth
$42,000,000 in February, and 4,276
valued at $50,000,000 in March; for

President and Treasurer; A. T.
House, Vice-President; and LaVerne

Johannes,

Secretary.

Volume

189

Number

5844

The Commercial and Financial Chronicle

(2099;

,1965 labor force,
be easy to fiocL

Sweeping Revision Needed;
In Our Manpower Policies

concerned

tween the ages

morrow's manpower

development problem is w*th

common

changes which

are

taking

place in the American labor force
as

result of personal aspiration
among workers as a result of naa

tional

The

our

economy.

health

suhipcf

the

ppmirimv
economy
y

•

and

sult

re¬

general

of; tech¬

nological

have

vance

then

ad-;
a

the

Most

product,

were

of these

vancemcnt
and

James

the

for

urge

ad-

and the

changingmawork, seeking new skills

V"-'

179

1960

will

his

identity

1955

astonishing

40%

We cannot

j^ot

continued

tion increase of this size, a 10 million worker increase was indicated between 1955 and 1965.1 At

progress

indus-

trial society depends.
This quickening interest
-

enlargement
of
presents us with

individual

one

automatic

mechanized

the

of history s
At a .time

happiest-paradoxes.
when,

given

the

ing,

..this,

lem

the

population

itself, i?.not

can

are

com-

than

has

the

-Our

1965.
°

for

need

value

;

trained

and

;

in^

the

are

within

job

terest

look

■:

■

•

...

/■•>

mechanics

—

and

tool

1956

than

highly
skilled,
highly
tramed
workers we will need_ tp man_an
has increased in direct proportion increasingly complex defense sys^
to the ingenuity and complexity tern and to satisfy the ever inof our machines. Technology has creasing level
of consumer deniot and will not replace people..'mand? They can and.-should be,
It

has

placed
an
exclamation
their individuality.
We have seen however, that we

have

upon

considerable

problem

before
to find

manpower

and

are

moving
solutions for it.
The problem has been obscured in
the last few months by the levels
of unemployment

experienced by
communities, - but
it will
back
into
sharper
focus

some
come

but there

ample,

difficulties.

are

the

ures

The

adult

fig¬

craftsmen occupations.

six

1951, there
Tms

were
was

only 560,000 in
drop of 28%.

now

Poses

HrtW

job—but wiU

skills -and

lhotj.

age
craftsmen

skilled

tech-

Grim Warning

These figures speak very loudly
of our failures—when we consider

the fact that 20 million of the
workers we will be getting
tween

1955

and

1965

will

new

be¬
un¬

der 25 years
serve as a

Shortages

we;jj

of age. They should
grim warning to us that

mend

need 17 miiuon

must

are

letting

the

large

flaws

which

portion of

professional and tech- our manpower go to waste.,
-yvorkers.
We'll need one
; We have-too often taken
miiiion additional proprietors and.easy way.
We have limited
nicai

managers>'. wn need 2>3 miUion
clerical
need

and

sales

workers.

something like five

more..

craftsmen

We'll

million

the

opportunities
of
the
minority
worker, often on groundless fears,
the. opportunities
of the
older

and

operatives, worker and the woman worker,
We'll need more than half a mil-; and we have neglected the proper
lion .more service workers.
But training for the people now emwhile-demand
for
workers
in - ployed whose skill is necessary to
groupS
which require high..the
continuing,
day-to-day
eflevels of training and education, ficiency of industry,
win be constantly increasing, the
It is becoming more and more
numbers of unskilled laborers and apparent
that
our,
half-way
farmers will be steadily dimin- measures have not been adequate,

basis, and ready to re-train them.'
as
they re-enter the labor force
after lengthy absences caused
by;
He must be ready to.
judge each applicant—whether he"
is over 45 or not, whether he is

motherhood.

colored or not
on
the individ¬
ual's ability and qualifications for
the job. And after he opens pre-'
—

wOTkers^lmis

coin a t

labor

force

between

change

men

ages

older

14 and 24.

the

years

of age.
A

Hard Practical Matter for'

Industry
These

are

matters.

all

traditionally

sex

Workers

The general demand for skilled

Workers will continue to be

fun¬

damental

manpower fact
in the
Our industry, as it grows,
will continue to place a premium

future.
oh

engineers, trained clerical help,

good

management

craftsmen

personnel,
trades, and

many

many semi-skilled worker groups.
The
pinch
gets
tighter as the
economy

tional

grows

and

our

appetite

services

for
goods
and
grows-in-billion dollar

gulps.

,*An

address
President's

the
ment

Mr.

Mitchell

Committee

before
Govern-

Contracts,

Commerce
St.

na¬

and

St. Louis
Chamber
of
St. Louis Labor Council,

Louis, Mo., April 15,

1959.

concern

male

matters

are

worker

sought

devote

much

between

has

and

44,
worker I

tern

industrial

Youngsters
must
be
convinced
that
they
should take their preparation for
a
career seriously,
that they are.
Pnilinmnff rnemseives tor a wnnn-equipping themselves for a worth41,,.+

and

Sve®

chanw to

w.+ual

this

that

c^Sd

without

motive.

cult

million

1 Total includes:
2.7

million;

men,

An agreement has
pany to

enough

over

2.3

million.

into

on or

amount on or

before

before July 1, 1961.

group)

men,

million;

2.2 million,

F. Eberstadt

the

(14-24 age group > men
1.8 million;
(25-44)

women

(45

women

use

clu¬
regard f0 the^'
dfi

think

this

you

will

a little diffi¬
industry itself

provide

Continued

been executed which permits the Com¬

sell $10,000,000 of the above

July 2, 1959, and the balance

women

change,

and

entrants

new

are

does not take the matter

neces¬

limited

will

grant that it will be

6% Participating Promissory Notes

have'* made pos¬
sible, and which our population
growth has made necessary.
were

+hev

di^ ^12^"

eauinment to full

see

S ?hem

complishments

problem

andL

progress

economic growth.

to
achieve
the-economic
growth which our technical ac¬

the

ef¬

provide
the
motivation.
youthr-especially it is impor¬
stress the importance of
the individual skill in the big pat¬
tant

sary

and

must

United Artists Corporation

a
white, young male
might add, at the expense of all
other
groups.
We are going to
have a change our attitude toward
the minority
worker, the older
worker, the woman who wants to
work, and the youthful worker if
we
are
going to succeed in our

search for the quality skills

time

With

startling
young

fort to the acquisition of skill. We

age

which

so,

surface, is the question of*
creating a climate in which stu¬
dents and workers will be willing?

$15,000,000

the

practical

less

the

number ;

Nation

hard,

Somewhat

undersigned represented the Company in negotiating an agreement
for the purchase of these Notes by certain institutions.

working

changing balances of

American

Future Demand for Skilled

the

central

7° be'

f.
r8 rJL
fnrmpryfiz?p^:
he often reserved 111 £ormer tunes
for the white male under 45

There will be

between 25 and 44.

These
and

■

The

1965, most will be
workers, with
the remainder being young boys

almost

ave

same

ex¬

and

women

o°h

seriously

employment

„

tional workers who will be in the

with the continuance of the pres¬
ent
rapid improvements in the
economy.

For

nature of work. He must be
ready,
to accept women on a part-time

who

were

work force

own
,

As against

the 780,000 youths under

years.

now

the po-

just his personnel policies to the
changing
nature
of
the
work
force, just as the worker has to*
adjust his skills to the changing,

reflect static condition of the

of
doing

many

how

unon'

uses

Even'

shocking is the lack of
which our young people

occupations.

fntnr»

our

The^eedfw'

million! /addi¬

the

The employer will have to ad-

mark

and

JgJKJ l^S the
kind
of ^inin^ lnr^DortmiUv thai
in-7?

1951.

have shown in the skilled crafts¬

now.

'
196g^

should

and

some-

men

centered

flight production workers-on the

are

This

makers, machinists and other top-

ith
with
the - machines
and
processes around which their jobs
are

some

avM,y--s#ught

needed.

craftsmen

their

will *bP

same

which

shocking enough to think
that there were no more skilled

of events,

work

additional

f?
The problem is. will they^be the

genious workers, each with his
gifts at their fullest development,

course

million

Projects

fimim

a^p

the

different

changes

9^.44

they

heln

ni
.
^
niques in order to k
keep pace

by:

;

.and

job to another between

need

Proh-

million

essentially the

expect^the labor

desired

1965

nfhprq

1955, to reach 73, mdlion by,1960,

skill-aud

mu
.

for
. .

develops and

tentialities of his
-

workers

craftsmen

period

thing we
closely.

a,.e

self improvement

change

one

grow-

nlan

need"

will "denend

petitor
well he

More importantly the

critically

j^y"oT'urem"wi'uVaiTge'from

produced in 1955.
/
order to achieve a produc-'

rate

and.

number

man-

expect that workers

ordinary
58

will

and force which stood at,69 milliomin

^machines

techniques

meaning
before.

some

nature

those

the

ing into widespread use, the
of : the : individual
worker
ever

our

are inadequate or out
today will be in any bet-

8
quest for

than
In

crease at all over a period of five
cicusc at an over a penoa or nve

condition in

human being has always demanded—and
upon
which
now
our
•

that

whose skills

Tne popu-'

probably

realities

system.

needed him before.

must

manpower

American labor force did not in-

manding $470 billion in goods and
services.
That
we
are
moving
rapidly toward this level is indicated by the first quarter GNP

ices

the number

farm

never

1950

dropped.

are an

wllling to
apply-; now—immediately—to the
realization of employment oppor-

ones. We see
of this year—$464 billion, an allawakening to the time high. By 1965, the populaurgent need to provide the indi- tion will probably exceed 194 milviduai worker with the increased lion, and we ll need better than
training opportunity, and educa- $560 billion in goods and-serv-

which

and

^ good senge

and ' its

180 'million— de-

the

occupational

1951

100,000,

have

laborers,

Nation

tion

went

[

producing $391 billion worth
in

between

groups

my
see

changes in the major

through

the future. The problem is with years,

th*

services.

Here

A8 1?lUl?n cleri.cal

reminder

andy

from

1055

by the figures in

projection.

not off somewhere in the mists of
1101 011 somewnere in me mists oi

modernizing old

the

' 1

urgent

gross 7 national

goods and

about

Mitchell

workers,

ture

i cm*

lation

leave

Those 58 million workers

of date

people

response

swered

SQlving the pioblem de
'their pends uP°n how much g°od wiu
their

vou
you

projected

rnrnncrh

changes. We
see

poweis • development- problem

aware

many

with

the

Government

are

the

voir

the-Nation

There

development respon¬
sibilities.;';,T-'
'*"■
*""-7 ' -•* : ■
tunity
for • everybody
and
the
Here
is
the
relationship, - be¬
tween population" growth and the broadening of training for everybody. ;:-,
" , - .; • ;
in
increase

Presi¬

contracts.

for

analysis:

of which 12 million

and sales workers by
are: already- in the nearly two million, the number of
labor force. They are part of the operatives jjy 300,000, the number
1965
1965 ,totalv in fact, the most im- of scrvipa ™nrifPrc \^r a million.
total, in fact, the most im¬ nf service workers by *
portant part of the total. ..
Confirming the trend to highgrade personnel, othe number of

manpower

dent's- Com-:

mittee

before

examine
examhie

meaning

direct bearing:
on
the
work'
of

findings

following

Persons^;.who

the

'are

the

svstem

social

our

How well have

Solving the Problem Now

'srp

so far?

Thus ith&-|965 total of. 80 million

nomlc^h.-:,—. IXid &££* to**

nomic growth,

years

expected

are

^tnHiPc

continuing

nnw

?h«USDeSXen? of llbor

eco-

^biilhon individuals - who to, full development.

force in 1955

;

implications of these curshortages " for - the: J-future

rent

with

and give him all the opportunities

f invthe

and idealism int the crucial

sense

challenge ahead for them and for

•

The

their

use

ideals

going to have to

are

terms

economic

our

we been doing and all the training he can absorb
This is a vital question, because we need him at the sumA<Thisv. larger aspect is apparent; and :one which can be
partly an- mit of his development as we

...V

asked to

come

the ca- them the training and the stimubring their best talents

; (

ing up employment opportunity and broadening training for
*4
everybody.v:vHe notes static total of craftsmen fin" past Eve
^
-V- :
years and a 28%shrinkage of those under 25.
»Pleading for a,,^ >
cessation of manpower
waste, big and small companies are
*
.

and that

quality personnel into
skilled, technical and pro-

fessional occupations—and to
give

;V are 70 million persons in the labor

today.

More and more, we need

attract

! •
v

the

are
going to have to acknowledge
the full needs of each individual

frnm

a continuing trend to highshortage of young male workers be¬
of 24-44, Mr. Mitchell warns industry that to¬

the

pabilihes^ and- the ambitions of lation to

not

concerned

'With-•. .the opportunities,

^
'

Projecting skills shortly needed,

ishing.

are

fi action

•

Secretary of Labor

grade personnel, and

solutions would
But

sre

By HON. JAMES P. MITCHELL* ;'V

with

May 7, 1959

Co.

page

The Commercial and Financial Chronicle

(2100)

the "average" yield of blue
chips and even more above
the vanishing yields of the
recent
space
age - favorites.
The company serves a quarter
By WALLACE STREETE
million firms and, internally,
has made good strides in cutStocks about held steady for good action when such as ting costs while maintaining a
this week, a good many of the Zenith and Litton Industries
strong financial position. The
key issues drifting aimlessly paused for a rest. Motorola dividend.i was well sheltered

Thursday, May 7, 1959

Century of Service by Two Track Employees

THE MARKET... AND YOU

,•

•

pinpointed emerged as something of a last yem* and, with advertising
in selected drug issues and leader in the group and Texas outlays on the uptrend with
electronics generally. It made Instruments after a brief; con-• the
general recovery in busi-:
for an indecisive showing solidating
pause,
was
also ness, is regarded as certain to
overall, neither industrials, back in favor. Hoffman Elec- be maintained. S
: v ^;
railsnor, utiUties showiriganyJ tronics, aided by a stock split x - ;:. y *
% ^
~:v:
.
.
.
.
disposition to tangle • with proposal, was one of the more
deltUhd and
their 1959 peaks. - -•<
.-1:5?*5
-; prominent in the group;,as"
«•'•/o#
*
'
'jje'-V. well as on the lists ^of
hiffhs
:
/leaves a. goodsprinkling of
; Interest was at something.:
®.
'
*
$
better-grade issues around
of a low ebb,/volume mnning
Drugs were also able to filingto yie1^ f % <*
at a low for around a month
to
and demand rather

while advances and declines show
on

any

much

given day

were

balance

times

minus

signs held

pretty1

May is not

of the

Little

this

was

any

bullish months of the calendar help to the long-laggard sections of oils, rails, cements
and with the industrial aver¬
and steels although aircrafts
age nearly four dozen points
were able to stir a bit at times
higher on the year so far, ex¬
without too much overall
pectations of a correction
progress
showing yet. The
were fairly rife and restrained
sentiment

bit

broadly.

Earnings

;

thoroughly neglected although some of the issues

had seemed to have turned someof a thing of a corner.
*
*
flood tide of good news but
the market showed little in¬
Industrial Rayon attracted
terest since most of the up¬ a bit of attention through a
turn had been well discounted modest
profit report for the
in advance and there was far first
quarter after a full year
more attention
being paid to of heavy red ink. The prospect
dividends a n d, even more for the full year isn't for any
markedly, stock splits. And
dazzling profits but on the
even, as in Thiokol, where a other hand the price of the
stock split was recent history issue is down some 70% from
the shares were able to join its 1951
peak. The attraction
the skyrockets and carve out in this case is a new tire cord
in only a few days a
range introduced in the middle of
approaching a score of points. last year which seems to give
*
*
jjc
rayon a chance to compete
The retreat of American with nylon which made heavy
Telephone ' continued with inroads in the tire picture.
liquidation in the first quarter The new cord, Tyrex, comby some of the mutual funds pares favorably with rayon
•f their AT&T positions ac¬ but with a significant cost
quired late last year chilling savings, and Industrial Rayon
the issue that has more share¬ is sufficiently impressed to
holders than any other and, have switched most of its
once its
split is effected, the facilities to the manufacture
second largest number of of this new product as well as
shares in listed trading.
planning full conversion later
*
$
this year. The shift in the
AT&T was around the 200 rayon-nylon tire cord battle
has been marked enough so
mark when its first stock
split that some of
the market
in history broke over the mar¬
ket and sent the issue to 225 analysts . are anticipating '> a
modest resumption of diviin one swoop. After that, the
dend payments by Industrial
issue advanced to 265 and this
First quarter earnings
crested after something

week had about retraced half
of the gain which is still with¬
in the confines of
reaction to

stocks where Allied is avail-

technical

good advance.

historic basis the stock

before the year is out.

of better than 5 % .

High-Yield Item

ceremonies at the

Edwin M.

The

electronic

group

had

have kept investment interest
restrained. And as a result
yields running well into the
4% bracket are available in
such well-known names as
Standard Oil of Jersey, So-

cony

and Sunray.
chemicals Buoyant

>«
_

„

Chemicals have shown good

buoyancy
ter Pr?flt
c°uragmg
some the

their first qua reP°rts mac*e f1"

reading and for
picture is brighter
^eluding Dow Chemic a 1
w-^lcb 1S expected to reach
record sales and earnings for
current fiscal year. The
stock has been a better-acting
one recently after the cornPany developed a new resin
fpr safety glass. This could
?Pen up new vistas m the
televisio n tube industry,
where conventional s a f e t y
^

glass has been unsuitable and
required the addition of a
sec°nd safety glass panel to
P™^ homeowners. More
-basically, the large capital
outlays 0 ,Te<i
Years a^e
tapering off to enable the
.

company to show
*

recent markets which is
.

plenty of candidates available

two

some
,

percentage points above

entered

men

the

employ

the

firm

17-year-old

youths.

Mr. Cain joined the organization on May 3, 1909 and Mr.
Whitten came with the concern a few days later.
The Cashier of Spencer Trask for over 30 years, Mr. Cain is a
member of the Cashiers Division of the Association of Stock Ex¬

change Firms.

better

He is also past President of the SpencertTrask 25

Year Club.
Mr. Whitten is the senior staff member of the

Accounting De¬

partment.

Continued

jrom

page

Sweeping Revision Needed
In Our Manpower Policies

earnings have shown a
good rebound but again the
Uncertainties of the Mideast

$9 flat. So the peak now
area as much as four
points cr®?s? *n
cash payment
with a payout equivalent to
$9.90 is not yet excessive between its 1959 low and will be recommended at the
u meeting to be held shortly,
against the historical back¬ high. The stock has been
•
[The views expressed in this
ground.
available at a 0/2/o
yield in article do not necessarily at any
.

Street,

Bulkley, Jr., general partner.

Both

Oil

higher-yield item, sugThe candidate for a divigesting that it has been neg- d end improvement, and a
lected, is Brown & Bigelow, yield even without it of AY2 %,

j>roaa

Street, Russell E. Cain (left) and George H. Whitten (right), with
combined service of 100 years, were presented with cheeks by

The

Co.,

Spencer Trask headquarters at 25 Broad

policies and
that

are

training structure
everybody and
the times.
a

open

in step with

all too well

aware

of the

respond

more rapidly to its mis¬
sion, and is equal to it. I am sure
all of the superficial argu¬

that

ments which have threatened

our

practical difficulties which stand progress will be liquidated by the
in the way of the sweeping re¬ immense common sense and the
vision of manpower policies which
high idealism of the American
I am proposing to you.
whose
1 know business communities
that some small companies will goal has always been a better
and a richer life in which all may
say that their present personnel
would not be willing to accept share.
minority group workers and that
the
Jones Adds to Staff
expense
of training is too
—

much for them.

I know that

some

(Special to The Financial Chronicle)

large companies are content to go
ST. LOUIS, Mo. — James M.
along through sheer inertia with
McLellan, Jr., has become affili¬
the methods which have already
ated with Edward D. Jones & Co.,
gotten them into shortage trouble 300 North
Fourth Street, members

—confident that their wealth will

pull them through.
But

also

companies

that

know

the

small

banded

together
cooperative training pro¬
grams, and that many big com¬
panies have already begun to
move
ahead with the integrated,
well-planned, carefully measured
training programs and employ¬
ment policies that they so clearly
need to maintain their high levels
have

Stock

think

will

most

iagree

nation-wide

like this one,

smaller

firms

whose

limited

re¬

limited experience
make it difficult for them to start
sources

and

Midwest

ST.

LOtJIS, Mo.
is

Dunbar

Yates,

Heitner

Brown

—

Daniel

connected

now

with

Paul

Building.

Woods,

With Morrison & Co.
(Special to The Financial Chronicle)

that

question
there is a clear and
present need for the wider ap¬
preciation of this situation among
the citizens and employers, among
the businesses of this country —
and a need for a particular readi¬
ness to share with and help the
that,

York

(Special to The Financial. Chronicle)

production.
I

New

Exchanges.

With Yates, Heitner

to form

and

manpower
I

on the right kind of
management programs.

CHARLOTTE, N. C.—Albert L.
Ofstrom has joined "the staff of
Morrison and Company, Liberty
Life Building.

Joins

Stanley Cooper

(Special to THE Financial Chronicle)

CINCINNATI, Ohio—Arthur S.
Neave, Jr., has been added to the
staff of Stanley Cooper Co., Inc.,
105 West Fourth Street.

from scratch

confident

that

American

industry—the industry which has
been the wonder and example of
has been restrained. In 1930
maker of advertising special- is Greyhound which had a the modern age—will not fail in
it reached 274 and in 1929 as
ties, which seldom features in good first quarter report that this challenge if the facts are
much as 310 when the divi¬
wide market moves and, in prompted an officer to an- brought home to them. An indus¬
try which has turned mass pro¬
dend was pretty well expected
fact, has yet to range over an nounce a stock dividend or in- duction into the means of mate¬
to
a

members of the staff of the 91-year-old investment film.
In

profits.
A

Spencer Trask

currently observing their 50th - anniversaries

able ft a yield of above 5 ,c
a"d Macy at nearly that level,

:J,
some^ of the tobaccos
where high yields have bee
'he rule for long as the recurrent cancer scares make intextile and synthetic fibre is- yestors shy away. Liggett &
sues were also rather Myers is available at a return

Dividends and Splits vs.
■

Ee in the rails where httle in-

employees

one

Two

New York City, are
as

well known including Santa

the; taking turns in the rotating terest has been arousedId fo
°
spite a good pickup in busi¬
slim edge. leadership.
ness. Then there are the stores
❖

^^some °?

few definite favorites

Smith, Kline & French

and American Home Products

although

than-'not

with

rial comfort for millions

of fam¬

ilies, which has helped

With Cunningham, Gunn
(Special to Tee Financial Chronicle)

CLEVELAND, Ohio — Thomas
Roulston, II, is now affiliated
with Cunningham, Gunn & Carey,
Inc., Union Commerce -Building,
H.

members

of-the

Midwest

Stock

formerly with
Paine, Webber, Jackson & Curtfs.
Exchange.

was

to make

collective bargaining the practical

McGhee Adds to Staff
symbol of the soundness of the
r„,
.
.
.
...
(Special to The Financial Chronicle)
free
enterprise philosophy and
the democratic way of life, will
CLEVELAND* Ohio-^Iesse W.
coincide with those of the not fail in its responsibility to the Erwin has become connected with
McGhee & Company, Inc.,
2587
Chronicle" They are presented individual worker.
I am certain that industry will East 55th Street.
as those of the author only.]
_

Volume

189

Number 5844

The Commercial and Financial Chronicle

(2101)

ANNUAL REPORT-1958

Operating Revenues and Other Income
Taxes and Franchise Payments

Natural Gas Purchased

Operating Payroll

OPERATIONS

HIGHLIGHTS

Expenses and Charges
Net Income
V
V i--.".
.

Construction

Expenditures

...

*136,045,000
85,310,000
$3.83

Electricity to Customers (KWH)

$ 2,290,957,000

192,113,000

Electricity Generated and Received (KWH)
Sales of

68,317,000

shares)

;

114,590,000

$
$

| V

...

131,382,000

\
V

Earned Per Common Share (on average

535,644,000

;

Other

Total Assets

„

'v.

„

23,125,794,000

18,486,314,000

Electricity Delivered for Account of Others (KWH)

710,199,000

Sales of Gas to Customers

323,539,000

Total Customers
Number of

(MCF)

Employees

| -

;
.

3,440,902
18,299

.........

Number of Stockholders

...

PACIFIC

226,180

GAS AND ELECTRIC COMPANY is

operating public, utility engaged principally in
the business of furnishing electric and natural
gas service throughout a large part of North¬
ern

and

Central

California, with property

located and

operations carried on entirely in
California. The territory served embraces an
area of 94,000 square miles. Incorporated un¬
der the laws of the State of California

October

1905, its lineage extends deep
into the Gold Rush period. Its earliest pre¬
10,

decessor company was

the San Francisco Gas
Company, organized in 1852. Electric oper¬
ations date back to the incorporation in 1879
of the California Electric Light Company.
From these small beginnings the Company's
growth and progress nave continued until to¬
day it is, by most standards of measurement,
the largest utility of its kind in the United
States.

)0 feet elevation

figh Sierra,
n set reinforcing steei
face of P.C.& E.'s
Dam

with conventional

REVENUES AND SALES:

CONSTRUCTION:

operating revenues from ail sources reached an
all-time high of $534,778,000 in 1958, an increase of
$33,534,000 or 6.7% over the previous year.
Total unit sales of both the Electric and Gas De¬

Late in 1958 the two billionth dollar

Gross

partments

substantially the same as in the
which on the surface might appear to

were

year,

indicate that the business recession

had

material

impact on the Company's business. The fact is, how¬
ever, that sales in both departments were severely
restricted by climatic conditions. Under normal cli¬
matic conditions both departments would have shown
satisfactory overall gains in sales.

was

spent

the

Company's postwar program of expansion, and it is
expected that about $156 million will be spent for this
purpose in 1959. The proceeds from securities sold to
date to finance this
com m on

program—bonds, preferred and

stocks—have am ounted to aim ost $ 1.4 billion.

The

principal feature of our construction activities
was the completion of 685,500 kilowatts of
electric generating capacity, consisting of both steam
and hydro units. Our installed electric generating
capacity now totals 5,219,000 kilowatts in 76 plants.
in 1958

earnings available for the common stock amount¬
ed to $66,974,000, or $8,690,000 greater than in the
Net

previous year. These earnings were equivalent to
$3.83 a share based on an average of 17,502,415 shares
outstanding during the year. This compares with
earnings of $3.41 a share based on the average num¬
ber of shares outstanding in the previous year.

suggests the possibility thatcompetitivenuclearpower

plants will become a reality much sooner than was
thought likely only a few years ago. The Company
intends to stay in the forefront of developments in
this field.
OUTLOOK:

6AS SUPPLY:

In 1958

NET EARNINGS:

plants. The Company has been
actively engaged in this field since 1951, and is now
engaged in more nuclear projects than any otherelectric utility.
•
While the Company will undoubtedly continue to
build conventional electric generating plants for many
years to come, recent advances in reactor technology

approximately 72% of our total natural gas
supply originated from out-of-state sources, prin¬
cipally from fields in Texas and New Mexico.
With a view to obtaining an independently con¬
trolled natural gas supply, the Company is continuing
its efforts to obtain a permit through its wholly-owned
subsidiary, Alberta and Southern Gas Company, Ltd.,
to export natural gas from the Province of Alberta
in Canada.

realistic view of the future, it must be recog¬
Company's well-being as a business
enterprise will depend largely upon the wisdom with
which governmental policies are formulated and ad¬
ministered. Policies calculated to encourage further
encroachment by governmental agencies into the
commercial power business, or policies that would
result in further inflation and erosion of the purchas¬
ing power of the dollar, would be harmful not only

Taking

nized that the

customers and employees as
urged to take a strong stand
against any such policies and to make their views
known to their elected representatives.
to investors

DIVIDENDS:

The Board cf Directors on

creased the
stock from
to the

the

December 17, 1958 in¬

quarterly dividend rate on the common
60 to 65 cents a share. While applicable

last quarter of the year,
rate was not paid until

new

Much progress was

made during the year toward the

goal of producing nuclear power at a cost competitive

the first dividend at
January 15, 1959.

FOR

THE

BOARD

PACIFIC GAS and
MARKET

STREET,

President

ELECTRIC COMPANY
SAN

FRANCISCO 6, CALIFORNIA

For more information on this

our

are

DIRECTORS

Chairman of the Board

245

but to

well. Stockholders

NUCLEAR POWER:

dynamic company write K. C. Christensen, Vice President and Treasurer, 245

Market St., San Francisco 6, for P. G. A E.'s 1958 Annual Report.

The Commercial and Financial Chronicle

Thursday, May 7, 19q9

(2102)

require tens of billions of capital
Security Dealers Association: R. Bruce Rader, Rader,
& Co., Union Planters Bank Building, Memphis 3, X: investment in industry.

Memphis

Wilder

Tennessee.

X'?'-Xy

.■•'-Vvr

■

Security Traders Association: DavkL W. Wiley, Jr.,
Wiley Bros., Inc., 400 Union Street, Nashville 3, Tenn.
Pittsburgh Securities Traders Association:*; Robert G. Deakins,
Reed, Lear & Co., Grant Building, Pittsburgh 19, Pa.
St. Petersburg Stock and Bond Club:-Philip C. Barnes, Merrill
Lynch, Pierce, Fcnner & Smith, Incorporated, 563 Central
Avenue, St. Petersburg 1, Fla.• /-X*...■*•
San Francisco Security Traders Association: William L. McLough-

Nashville

Notes

NSTA
NATIONAL SECURITY TRADERS

ASSOCIATION

Fitzgerald

Tisch,

Company,

Seattle

Alberts, Charles A. Parcells & Co., Penobscot Building, De¬
troit 26, Mich.
'
■
v
Security Traders Association of Chicago: Howard S. Levine, New
York
Hanseatic - Corporation, • 120
South La Salle Street,
,

Connecticut.

; X/XAAXX, \;;?X
;;?XX? XvX
•
: XX'? A-'-'K
Association of Los Angeles: James W. Zink,
Dillon, Union Securities & Co., 3115'Wilshire Boule¬
vard, Los Angeles 5, Calif.
.
..
Security Traders Association of Portland, Oreg.: Derele H. Swails,
George Patten Investment, Co.; ? American Bank Building,
Portland 5, Oreg. 'X\: AX:, XXX^,XX-r\;'<.:;' ...XX:: XX-XX
Security Traders Club of St. Louis: .John, P. Matye, DempseyTegeler & Co., 1000 Locust Street, St. Louis 1, Mo.
Twin City Security Traders Association: Oscar M. Bergman,

Security

Traders

Eastman

Tisch

providing

renewal

for

Company,;? Northwestern

Allison-Williams

Minneapolis 2, Minn.

Building,

Bank

becoming
of

complicated

expensive:
be

and

Increasing profits

further

aid

can

though their
by the fact

is handicapped

value

that * taxation

part.

takes

ment could

alization

the

direct

greater

encourage-,

provided by liber-,
allow¬

depreciation

Nearly half the firms in
McGraw-Hill survey stated

ances.

the

to meet the

problem of higher re-;
placement costs, Great Britain is
These

remission

nent

afford

perma;

taxation

given percentage of cost of certain
types, of investment;, and, - even

though these allowances cannot be
counted
of

a
permanent part
structure, they /will

the

tax

stimulate

investment

time

;^ployed:,:?A;X''AXX!x^AAAAA:
C":
JbiasAiu|lv|ce'

Eased Depreciation to Broaden
Employment Opportunities

garding
for

the

terms of

re«?

settlement

steel-wage contract, due
The May Letter notes

new

June 30.

"There is

apparent shortage

manpower,V

accomplished fact," the
May issue of the First National City Bank's Letter is heart¬
ened by change for the better in the employment figures and
capital spending plans to cut costs. With regard to the latter,

or
rise in living
costs, warranting advance in steel
wages to attract labor.1 ;*Nor, the

the Bank recommends,liberalization of depreciation

vance

that "recovery is

Noting

—such

Britain's

investment at
Bernard

now

"investment

ent

A; They poipt the way to broadened
employment opportunities.
;
and
;'bv^McGraw'- Hill

The Letter observes: "The busi-

upturn—sharp

ness'

first

der^Tv foi^
O.

JasseS

Lee, Jr.

Traviss

" Assisting Mr. Tisch as Vice-Ch^ixinSTl are John S. Barker, Lee
Higginson Corporation (20 Brsed' Street), New York; Robert D.
Diehl, Paine, Webber, J^ekstfn & Curtis (626 South Spring Street),
I*os Angeles; Edward D. Muir, Muir Investment Corp. (101 North
St. Marys Street), San Antonio, Texas
Bernard" F. Kennedy,
Bosworth, Sullivan & Co., Inc. (660 17th Street), Denver, Colo.;
"William J. Burke, Jr., May & Gannon, Inc. (140 Federal Street),
Boston, Mass.; Homer J. Bateman, Pacific Northwest Company
(Exchange Building), Seattle, Wash, and Edward R. Adams, The
Kobinson-Humphrey Co., Inc. (Rhodes-Haverty Building), Atlanta,

Georgia.
Vice-Chairman

for

members at

large is Garnett O. Lee, Jr.,

Francis I. du Pont & Co., (729 East Main
Vice-Chairman for Canada is James A.

Street), Richmond, Va.
Traviss, S. J. Brooks &

Security Dealers Association: Alonzo H. Lee, Sterne,
Agee & Leach, First National Bank Building, Birmingham 3,
Alabama.

business
trial

Walston
Co., Inc., 319 North Central Avenue, Phoenix, Ariz.
Baltimore Security Traders Association: Charles A. Bodie, Jr.,
Stein Bros. & Boyce, 6 South Calvert Street, Baltimore 2, Md.
Bond Club of Syracuse, N. Y.: Everett W. Snyder, E. W. Snyder
& Co., University Building, Syracuse 2, N. Y.
Boston Securities Traders Association: James R. Duffy, Reynolds
& Co., 19 Congress Street, Boston, Mass.
/,
Cincinnati Stock and Bond Club: Willis D. Gradison, Jr., W. D.
Gradison & Co., Dixie Terminal Building, Cincinnati 2, Ohio.
Cleveland Security Traders Association: Robert Weaver, Hornblower & Weeks,.Union Commerce Building, Cleveland 14,
&

measures

such

production,

gross

income, retail
sales, and construction have set
new records during recent months.
Support for further expansion is
provided by a rising backlog of
unfilled orders among manufacturers, a ciioj-njoitujn of consumers
vwxtto,
ci
disposition vjj. puttouutcro
to spend more freely, and a rapid
recovery in profits leading to upward revisions in business capital
spending plans.
~

Association:

John

Turner,

Eppler,
Guerin & Turner, Inc., Fidelity Union Life Building, Dallas 1,

Board

1947-49

Security Dealers Association: Henry M. Ufford, Calvin
Bullock, Ltd., 1 Bavbrook Place, Clearwater, Fla.

Georgia Security Dealers Association: Clement A. Evans, Clement
A. Evans & Company, Inc., 11 Pryor Street, S. W., Atlanta 3,
Georgia.

Jr., Janney, Dulles & Battles, Inc., 1401 Walnut Street, Phila¬
delphia 2, Pa.
Kansas City

Security Traders Association: Thomas P. O'&ullivan.
Harris, Upham & Co., 912 Baltimore Avenue, Kansas City 5,

"it
further

Steel

dios

bv
by

and

users

strike.

.^veioDment

the

wil

cause

winter,

are

heights.

figures,
i

concern

showing

improvement....

August, 1947. Involved in the pur«"
chase

are

lands

GovernmeiitVamounting

XX<A

the-Nether?

Funds used, by the syndicate to
purchase the obligations from the

World Bank will be derived from
cash

Bank

has

lowering
enough

by the Dutch

Netherlands

The

reserves

from

held

reserves

banks.

Central

given its approval to

of the prescribed cash
by an amount large
to finance the purchase

the World

Bank.

Netherlands

the

exnenditures

Bank

transaction

agreed

the

belief

time,

so *
.

marked .-.

great deal of thought is be-

the growth curve of the
economy. Out of na Jural increases

population come both increased
and. increased
potential

u,ants

To make manpower
effective in fulfilling wants will

manpower. -•

that

The
lands

the

reduction

would not add new funds

to the money

loan

1947
was

market.

the

the.

second

Nether¬

ever

made

It amounted to $195
million, and enabled the Nether¬

by the Bank.

lands to maintain

flow of

essen¬

tial imports, including both
ment and materials, at, a

equip¬

time in

the

crucial

postwar recovery ef¬

fort. The maturities

originally ex¬
tended to 1972, but in August, 1954
and

February,

1955

the

Nether¬

lands Government made two pre¬

payments which totaled

than

$103 million and extinguished the
maturities falling due on and after
Oct.

i o«9

ening
in

and

reserves

1966.

are

ing given these days to strength-

during

■-

bonds

to
$54,540,000 in U. S. dollars and the
equivalent of $353,000 in Belgian
francs,1 all of which mature" be¬
tween 1959 arid 1966X / ;

Gruntal & Co. Opens
New Planning Dept.

the Planne(^ as
as 1962. Out
nianv of these expenditures can come
.Jfany.- new productSf new processes, even
will be;*new industries— the vital ingre-

Opinion is nonetheless

employment

to the Netherlands Government in

„

1959

$54.9 million of maturities,
corpprising the remainder of the
Bank's holdings of a loan made

some

The

?
^ar abead

during

June
June

presumably

much

that

litou-

increases over

yJfJ? 6

consump-

business expanding to new

"The

A syndicate of Dutch banks has
purchased from the World Bank

r>lan<;

stocked up against the contingency^'dients for progress.
of

can

expectedin 1955 Fur-

optimistic that the fall will find

Investment Traders Association of Philadelphia: John C. Carothers,

unswines

dm'ing

and modernization
rather than toward expansion of
capacity. Even with recovery well
advanced, manufacturers reported
that they were operating at ony
80% of capacity at the end of 1958.
Emphasis naturally falls on new
equipment and techniques which
will raise efficiency, cut costs, or
improve quality. Not to be overlooked is the stepped-up pace of
researcha n d development expenditures, which were increased
during the recession. Indusfry is expected to spend moreXhan
$9 billion on research in 1959 as
against ,.$8.2 billion in ..1958 -and

(seasonally adjusted,

normallv

steel

uA sAnd"-

trend

placement

100)

steel strike.

summer
summer

rai

re¬

J®

Dutch Loan Completed

"The bulk of capital spending in that
a
reduction of foreign debt
manufacturing industries during
would be acceptable at the present
1959 will be directed toward re-

new

let-up is to be
mid-year, whether or not there
a

survey

Present Pia Si

activity was
producers'
durable*
goods and construction materials
generally
*
-

similar

business

nrpcpnf

factors but increased

h^ve

increase it

show still

and

plant

new

^tual exnAndttures
?Xuai:^Px_^

new

reported

Xriffir

Pf/'

broke through' to
high of 147, compared with
the revised February figure of 145
and the pre-recession peak of 146.
Sharply higher rates of steel and
auto production were the major
a

tion

Texas.

Florida

Missouri.'

duct-ion index of the Federal Reserve

whe„

tAnv

business, while influenced by
hedge-buying in steel, also reflects
gathering momentum in; other
lines. In March, the industrial pro-

"Some

Dealers

®s

indus-'
'national

as.

personal

product,

Ohio.

Security

activity

i»i

surpassed.

being

are

...

Arizona Association of Security Dealers: Maurice O. Neill,

Dallas

peaks

"The accelerated inflow of

NSTA 1958 Advertising Committee Chairmen

| Alabama

accomplished iact.,

Most of the over-all

Company (1«5 Bav Street), Toronto.

busiriess wiU spend $2*1 billio*J

ery is now an accomphshed faci
ery
an
moix more
Latest reports indicate that many:\VXX~.

old

indicates that

taken Xin' March,

is'now

Garnett

May

nities.

Homer J. Bateman

in terms of either costs

support, the self-defeating wage^
price spiraL can be effectively
challenged." "

monthly Bank Letter, A; "With the .snapback of profits
published by the First National and improving business prospects,
City Bank of New York, recom- it/, is natural that businessmen
mends encouraging capital invest- should dust off
plans on the shelf
ments via liberalized depreciation to
impr0Ve and expand produclaws, even though existing plant #ve. facilities. Actions to enlarge
capacity is under-utilized, in order capital spending are votes of conto broaden employment opportu- fidence in the economic outlook,

aside, is there appar¬
justification for steel price adr

conditions of demand. With public

stimulate

.^Capital Spending

Convinced that recovery is here,
the

strike threat

allowances.

allowances''—to

time when capacityJsjuiul«r«em5Joyed.

William J. Burke, Jr.

Kennedy

providing so-called -investment al¬
lowances.'

when industrial capacity is under-

Bank Urges

Edward D. Muir

plant

and equipment. But they can never
be enough because equipment is

they would ra^se expenditures if
allowances were liberalized. > - '
"A lesson might be drawn from
Chicago 3, III.
XXX ;;XX"X XA;X:A;,>\
:/j''^:::r
the British book. Wishing to bring
Security Traders Association of Connecticut: George H. Angelos,
its industrial plant up to date, and
Charles W. Scran ton & Co., 209 Church Street, New Haven 7,

Alfred

helpful in

are,

foundation

lin, BIyth & Co., Inc., Russ Building, San Francisco 4, Calif.
Security Traders Association: Homer J. Bateman, Pacific
Northwest Company, Exchange Building, Seattle 14, Wash.
Securities Traders Association of Detroit and Michigan: Eugene P.

New York City,
Chairman of the National Advertising Committee of the National
Security Traders Association, Inc., announces the appointment of
the local affiliate chairmen to the 1959 Advertising Committee.
'
F.

Alfred

"Increasing depreciation allow¬

ances

Gruntal &
New

York

Co., 25 Broad Street,
City, members of the

New

York

Stock

Exchange, have
planning
department under the direction of
Philip Layne.
established

financial

associated with the firm
registered "representatives are
George Auman, Paul Pazer, Morris
Bergman and Irving Smith.
„

Also

Volume

Number

139

5844

The Commercial and Financial Chronicle

THE

(2103)

FORWARD
LOOK

>Jr ij

ic.
■

■! I

'liS

'h:..

■

■C-i

*!v,
t,

■L-

J ;

■

r>;:,

'j?-

■

v.«i

$i>/.
Si- f:
.

:•

•

>-f*

3 f;

~o;.
w
~

■,

'f,'

America's most "sure-fire"
u-.

;

i":r

tion lines
near

the

Detroit.

missiles—Jupiter and Redstone—roll off parallel produc¬

Chrysler Corporation-operated U.S. Army Michigan Ordnance Missile Plant

Only automobile maker engaged in the production of large ballistic missiles,

our

engineers apply technical know-how and mass production experience to the development;

engineering, manufacture and testing of missiles of unmatched reliability. Many Chrysler
3*-'

tj*
'10

Corporation-produced missiles have been fired since we entered the field in 1952, and the

•.

batting average for successful firings is over 90%.
i

•

CHRYSLER

CORPORATION

The Commercial and Financial Chronicle

(2104)

capital from the'United
needed, together with
technical know-how. But, on the
other hand, without the establish¬
ment of sound internal fiscal poli¬
and public
States are

More Than Credit Alone Is

Needed in Latin America
SAMUEL C. WAUGH*

President, Export-Import Bank of Washington

Washington, I). O.

Our

principal public disburser of foreign credit cautions lavish
loans might prove to be a disservice to economically distressed
Latin American economies.
Mr. Waugh certainly does not
of both private and public capital from the
United States are needed together with technical know-how.
deny huge

sums

But, he also quickly adds there must be sound internal fiscal

policies and better economic planning with an agreed program
of priorities that must go hand-in-hand with credit extension.
He affirms U. S. Government and business desire to build up
better

relationship with our neighbors and friends to the South
—though this may not be the impression held by Latin Ameri¬
cans, some of whom would like the U. S. A. to underwrite a
worldwide market for basic
Among
America

Latin

the peoples of
feeling has been

grow¬

countries

well

Now I would be derelict in my

duty as an officer of the ExportImport Bank if I did not record

have

ed them while

are

ies have been
directed

Cannot

one

All Prices

buyer and seller—for the
solution to these problems which
careful

under

premise—and

are

I for

phatically do

present time. While striving for
a solution, we must allow that we

not agree—the

have

feeling
i

em¬

in the

perSamuel

t s,
and
therefore this
s

situation

Waugh

When

for
to

Marshall

which
resulted in the rebuilding of Eu¬
rope, we can say truthfully that
a
Europe sound militarily and
economically has redounded to the
benefit ol South

Plan,

well

We have been

America.

North

engaged

in a cold war, putting out fires
which, if allowed to go unchecked,
might involve us all in this hemi¬
sphere. And we call attention to

the formation and support of the
North Atlantic Treaty Organiza¬
tion.

have been
a

result

measures,

NATO, and

world markets

reestablished, bringing

renewal of the flow of goods and

capital to all nations of the west¬
world.

ern

measure, this same positive
assessment can be made for Asia
a

and

for

the

free

nations

the

East.

Forgotten

Now,

having said this, let

testify from first-hand experience
that there is

tremendous

surge

throughout all Latin America in
effort

raise

the

improve the

standards

lot, to

living of
of their people,

the great masses
and to add to their

capita

income.

present per
While it can be

demonstrated that much has been

done, and is being done, by our
government and by private
capital, we must continue to co¬
own

operate to the limit of

ability,
in every possible
manner, in order
to prove the fallacy of the pre¬
vailing impression. For we have
neither forgotten our Latin Amer¬
ican

friends

nor

our

are

taking

them for granted.
All
are

Latin

American

confronted with

countries

basic prob¬
lem extremely difficult to solve—
the effect of worldwide prices on
the primary products
they produce

price

coffee; a half dozen countries
depend upon bananas; in Chile it
is copper; in Bolivia,

tin; in Uru¬

guay, wool.

The decline in prices
paid for these raw materials has
a

restrictive effect

the de¬

*An address by Mr. Waugh before the
Pan

basic
those

worldwide

American

been

balancing of

market

situation

the

budget.
in

today

Latin

America. Between the years 19501957 the annual rate of growth in
National

Gross

America

was

Product

4.5%.

Week

celebration, Cincin¬

nati, Ohio, April 16, 1959.

years

the

This rate

International Monetary Fund
and the
International Bank for
Reconstruction

and

both

have

which

The

inhabi¬

tants.

Today the figures approxi¬
million.
If the present
rate of growth continues, by the
close of this century, the estimator
places it at 600 million. By com¬
mate

185

parison—according

Development,
been

active.

Administration is sponsoring

substantial increases in the United
States

participation in both the
Monetary Fund and the Interna¬

tional

Bank which should prove
of further interest to Latin Amer¬

Nor will time permit discus-

pation in the Inter-American De¬
velopment Bank now in the proc¬
ess of being created, nor the vast
amount of private capital that has
gone into the area.
•

M
Eximbank's

: '

Recapitulates

However, in projecting the
capita income as compared
with GNP, the rate of population
growth is an important factor.
A half century ago all of Latin
million

Technical

Programs throughout
America, or the activities of

Latin

old

use

cliche,

shoe¬

maker should stick to his last, and
therefore let us turn to the Latin

This

fine

Colombia

public

than

financed

Western

America, in relation to its
lions in the world

ments. The problem of food should

increased.

probably be given the highest pri¬
ority. This calls for improvement
in agricultural practices, mechan¬

ica from January

ization

when

its

water

opera-

whole, has

Credits to Latin Amer¬

1, 1958 through

March 31, 1959 amounted to 47.9%
of the total dollar volume.
In Eximbank's first three years

practical,

and the
improved uses of seeds, insecti¬
cides and fertilizers, to mention

operation—when the Bank's to¬

tal

but

capitalization was $11 million,
compared to $7 billion today—

few

items.

the problem of

Then

there

providing jobs, and

countries in Latin America

re¬

jobs. This brings to the sur¬
face the widespread desire to in¬

ceived shipments of Bank financed

dustrialize which is present
today,
and here we already have run into

States.

the twin problems of lack of
capi¬
tal and technical know-how.

Credits Alone Are Not

difficult,

The

from

Bank's

plied in the previous comment

im¬
re¬

garding price fluctuations of basic
materials, to find the answers. The
solutions, I respectfully submit,
must be found by joint effort.
I
will go further and
express a per¬

the
first

United
loan

type that has become known

was

economic

development credit

authorized in 1938 to the Gov¬

Virtually

Of course, it is a comparatively
simple matter to outline the prob¬
more

the

ernment of Haiti.
a

Solution

lems but far

capital .goods

every

was

America by

whether

individual

volume

from

Railway

Latin

Classification of

266

power

—

(Bolivia)

part

and

received

dollars

of the

every one

American Republics has
some assistance for eco¬

enterprise from the Bank.
Through credits to finance pur¬
chases

dreds

individual

farm

machinery
almost

pieces

from

the

Rio

Tierra

del

1958

thus

and

far

primary need for the
in

bank

Latin

America has

been

for funds to assist some countries

will

economies

stabilize their
declines, of
world-wide prices of their pri¬
mary products — the problem to
programs

which

due

referred

earlier.

these past
15 months the Bank
has authorized credits for stabili¬

zation purposes totaling $458 mil¬

lion

875

11
52

—_

airports.—-—

and

45
61

and

Total

systems—

sewer

(billion)

$3.6

Personal Observations
In

closing,

may
I venture a
observations. In the
my
two assign¬
ments
at
the
Department
of
State
and
the
Export-Import
Bank have necessitated my travel¬
ing throughout the United States
as
well as to many sections of

few personal

six

past

years

world, and this includes visits
all

countries

Central

and

South America.

I think I

in saying,

any feelings in
to the contrary,

Latin

safe

despite

America

that the Administration in Wash¬
,

ington

well •*as

the

United

States private bankers, exporters,
and manufacturers are most de¬
sirous

developing

friendly,

sound, and long-range, mutuallybeneficial relationship or partner¬
ship with

our

friends and neigh¬

to the south.

bors

But to be able to carry

out our

part of this desire it is necessary
for
us
to maintain within
the
States

a
strong, virile
capable of continuing
the ability to import both raw
materials and, manufactured goods
and to create the capital, private

United

economy

and
a

public, necessary to finance
portion of the ecoi c development throughout

substantial

n o m

Latin

America

While

1959,
Exim¬

loans to both).
In each case Ex¬
imbank expects that a borrower

8.5

and

the

Free

World.
Credit Stabilization

the

530

harrows, plows, culti¬
vators, tractors, harvesters, and
grain storage facilities, the Bank
probably has reached more Latin
Americans individually than
through other types q£ credits.
These credits,.. usually arranged
at the request of U. S. suppliers,
have made possible sales of hun¬

Water

the

borrowed

101

204

Telecommunications

com¬

Mexico are
five nations

improvements

Aircraft

As the civil jet
Latin America,

leading

—

Harbor

305

development

Trucks, buses, automotive
equipment
Dollar exchange
Oil refining equipm't (early)
Ships and dredges

sys¬

nomic

Grande

(Eximbank extends

$.587,709,707

plants
*;
$555
improvements:——
472

Electric

and

Fuego.

1,320,000
61,558,146
1,215,000

Million

there. Before the
completed in 1958 it
to expand the new

Eximbank,

Latin

credit that Ex-

improve his earning power
beyond the ability to pay off his
loan.
And the Bank anticipates
that each credit—whether $550 for
sonal opinion that the extension of
a plow bought
by a farmer in Bra¬
credits, either hard or soft loans, zil or $6,500,000 for a
paper mill
or the
giving of grants will not in in Argentina—will contribute also
themselves solve
the existing to
the
economic
strength of a
problems.
" -*
country, enabling it to increase
True, huge sums of both private its purchasing
capacity abroad,
,

government

703,400

Industrial

living;

modern

Brazil

the

among

imbank makes is designed to have
a
beneficial impact on the bor¬
rower,

145,081,800

234

revo¬

supply

substantial

decided

While

years

Latin

75,000

1,025,000

Credits Authorized

An Eximbank credit of 1955

the

recent

5
25

ing
in
Tampico,
Mexico,
Guayaquil, Ecuador.

was

loans

2,012,000

Petroleum

project

514,000

city today has a modern cen¬
water
supply system with
pipes,
faucets
and
meters,
fi¬
nanced under a $7,600,000 Exim¬
bank credit. A similar
municipal
system financed largely under an
$8,000,000 Eximbank credit is be¬
ing completed in Asuncion today
by Kaiser Engineers Division of
Henry J. Kaiser Company. Watersupply systems also have been

manner to promote trade
economic growth throughout

of Bank

tral

wells,

two years there has been
lution in
Quito's way of

and

America.

33,700,000
5.086,600

the
ancient tradition. Within the past

orderly

ratio

Latin

the

from

water

construction

the

mercial airport

credits, by dollar volume, went to

Latin

the

$130,250,000
140,168,761
15,000,000

mand

Ecuador

Paraguay will be ready with a
suitable runway at its national
capital to handle the big planes.

facilities

Rica.

Cuba

Bank

highways, low-cost hous¬
ing, schools, hospitals, and the
whole gamut of civic improve¬

operations

Costa

approximately the year 2000.
This
so-called
population ex¬
plosion indicates the potential de¬
for

Europe

1, 1958-Mareh 31, 1959

the

sector:

Mining
Agricultural equipment,
Agricultural commodities—,
Highway construction
Other (non-dollar ex.)

their

—

Bank's

Hemisphere's oldest
cities.
For generations, the citi¬
zens
of
Ecuador's
capital drew

all the countries of Latin America

was
established
through
31, 1958, 36% of Eximbank's

cumulative

two tables which de¬

Chile

Western

tem.

Dec.

billion.

From its earliest year, the Bank
has recognized the necessity for

This

$3.8

Purpose—1934-1958
two

are

other

Hemisphere.

the

■

Import Bank.

awareness

totaled

authorized

are

Jan.

and

authorized

America

runway to accommodate the com¬

same

Credits Authorized

ing jet airliners.
age
arrives in

the

States

credits

Latin America in detail:

is borne out by the fact
that from Feb. 12, 1934—when the

estimates—the United

Government agencies
with
Eximbank
in

compares

Here

For instance, water sup¬

American activities of the Export-

the

totaling $3.7 billion.

Asuncion, incidentally, will soon
be distinguished by a new project

expand their economies in

March

credits

are

Quito and Asuncion
the

Cumulative

will provide people with material
conveniences as well as industrial

ply.

by the Bank in Latin America

big credits, such as these,
are, of course, vital to the build¬
ing of prosperity and stability in
large
countries.
Steel,
electric
power,
railroads, mines, irriga¬
tion, and highways are the foun¬
dations of economic development.
But over a period of a quarter of
a century there is time and
oppor¬
tunity to do some things which

progress.

participated

installed under Eximbank financ¬

Activities

States.

or,;

banks

Canada, the In¬
Monetary Fund, and

these stabilization credits.

mandatory
to any country's growth.

the

Latin

per

had

Point

participation

Assistance

growth exceeds that of the United

America

has

lion of the United States partici¬

A few statistics will throw light
011

which

important factor dur¬
of the Bank's ex¬
perience in international lending.

brings a chill | ica*
today advocate the'

our own

America,

most

products
who

for export.
The income of more
than half of the Latin American
countries depends upon the

had

farm

own

Canada will have 310 million by
Latin America Is Not

our

The thought ol'
States attempting to

underwrite

ica

the

exactly successful

handling of

United

the

faced.

must

been

study

surplus problem.

reference is made in Latin Amer¬
to

not

Latin

ing the 25

largest

this

one

with

relationship

our

Time does not permit a recitation

United States—the world's

the

agreos

with

Support

high spots of

of the United States

Our Latin American friends look

East.

Whether
not

goods they import
subject to the same violent
experienced in the

the

market for raw materials.

ward Europe

the

not

to¬
-

and

prices of the

fluctuations

mon¬

our

must concede the

manufactured

interest

our

And

sired from the United States.

other

changes for the bet¬

pronounced

ter, changes which

private

ternational

Improvements come in various
New or expanded steel in¬

ways.

The

various

chasing power for the imports de¬

and

deter¬

are

their pur¬

the

of
as

ing that we in the United States
have taken them for granted and

neglect¬

They

challenge.

plans

velopment

America.

mined to do everything within
their ability to meet the existing

Thursday, May 7, 1959

United States and

trade.

dustries, such as at Huachipato in
cies and the creation of better Chile, make a mark on adjacent
areas almost at once, with added
planning for economic develop¬
ment with an agreed program of corollary improvements — new
new
highways, schools,
priorities, it may well be that the houses,
extension of excessive credits will hospitals, hotels, community build¬
ings, and services. Large scale ir¬
prove to be a disservice.
For emphasis I would like to rigation projects such as Falcon
Dam and the Yanqui Canal in Mex¬
state here that the present Admin¬
istration has exceptionally strong ico, change the face of the land
across
thousands upon thousands
Latin American supporters in
of acres, creating wealth in new
President Eisenhower, his brother
harvests where none was to be
Milton Eisenhower, Vice - Presi¬
had before.
New highways, the
dent
Nixon,
Secretary of the
famous Cochabamba - Santa Cruz
Treasury Anderson, Secretary of
State John Foster Dulles, and the Highway in Bolivia or the Quevada-Manta Highway in Ecuador,
Under Secretary for Economic Af¬
and
improved railway systems
fairs C. Douglas Dillon. These men
such as in Brazil and Mexico bring
are
all dedicated supporters of
Latin

products.

ously,

thereby stimulating international

gentina,
Mexico,

assist

six

countries:. Ar¬

Brazil, Chile, Colombia,
and
Peru.
Simultane¬

the

short-term situation

tight in certain areas in
America, the manner in
which the newly elected admin¬
istrators in several of the more
seems

Latin

important
nized the

fiscal

plans

countries have recog¬
importance of' improved

policies
is most

continued

development
encouraging. The
and

improvement

the

between North and
is, I repeat, most
certainly to be desired, and again,
speaking; as an interested indi¬
vidual, the long-range picture to
me looks bright.
relationship

South America

Volume

189

Number 5844

The Commercial and Financial Chronicle

f2105)

RCA ELECTRONICS
CUTS DOWN
THE C

;

■

■-%?*

■

mN
To

our

■■

■

if® §§s

missile experts,

"is it ready" is almost as

important as ''how far can it go." For retaliatory
power, missile crews must be able to launch a
maximum number of missiles in

rapid fire order.

America's intercontinental ballistic missile, the

Atlas, had already proved itself for distance—
6,000 miles or more. But checkout and launching
took several hours. So the next
missile into
it

operational

step in turning the'

ready for quick action. RCA

build

electronic

was

selected to

system that would radically>

reduce the countdown time at the Atlas
tional Bases

Now, in

now

under construction.

a matter

ready to

This

determine if pny part

signals that the missile will j

go. \

automatic

checkout

launch control system
of the
many ways on
works to

Opera¬
.

of minutes, this elaborate

electronic system can
needs attention—or
be

make"

weapon was to

strengthen

equipment and
for the Atlas is one more

which RCA Electronics]
national defense.

our

RADIO CORPORATION

OF AMERICA

••

'Arfos rfissileVbuilt- br-Convoir (Astronautics) Division

tet General

Dynamics Corporation

prime contractor,

•r

i *

The Commercial and Financial Chronicle

(2106)

Assistant Vice-President in Janu-

1958.

ary,

News About Banks

Elmer S.

BRANCHES

OFFICERS, ETC.

REVISED

Mr.

Bankers

and

of Commerce,

Bank

Waizenhofer

started

with

The

his

o'i

'*■

career

To Be Hold Juno S

w0uaPP°mc

Union

„

°-

assignments of

executive

latest

bank

MorganGuaranty Trust Company of New
York,

merger,

disclosed

recently

was

had

previously

sistant

been

Vice-President

1951.
As¬

Com¬

mercial National Bank and

Trust

Mr. Seal was with the
Trust Company before

Company.

this paper.
The table of

Company in

Trust

ana

^»djiK

Field

of The

Day

Bond Club of New York will be

ManaJer n/tlieRank

The Annual

„

held this year on Friday, June 5,

of Nova

Company

in,

eaJ Manager, ot the Ba k o

fcoti? was-.announced yesterday
^ *>
?lcks' p.resld®nt:

1946

The

Daf 7

1934.

the

Bond Club Field

was

Trust

CAPITALIZATIONS

Thursday, May 7, 1959

of Se-

Waizenhofer has been, of Ritzville State Bank,

Bank.

banking

established in the former location

appointed Trust Officer of Mellon
National

NEW

CONSOLIDATIONS
NEW

tional

attle, Seattle, Wash. A branch

k
tf

of Pittsburgh
joined Mellon Bank

the

time

the

of the two banks and
to the trust

merger

In April,

1951, Mr. Waizenhofer was
'
pointed
Assistant
Secretary
,

ap-

personal trusts and in July, 1953,
as assigned to account administra-

announced

Harold

Webstei has been senioi agont

assigned

was

department.

JNo a

yo,.k °

since *948. He will hnvo
continue in
nhorrffl r\l
Anovntmnc
charge of operations here.

Clifford J. Ashland Walter S..
Bond also were named Assistant

reorganization sets Lawyers
tion.
;
-'
General Managers. They are with
forth that 29 vice-presidents head its merger with Bankers Trust
*
o
«
the bank's general office in Tothe
different
banking divisions in 1950. He was elected an Assist¬
Potomac National Bank, Poto^r ronto. Mr. Ash was supervisor of
directly under Henry Alexander, ant V,ice-President the same year.
The*'election of Joseph J. De- mac, Maryland, was granted a* branches and Mr. Bond was suChairman; Dale E. Sharp, Presi¬
charter from
the office
of
the pervisor of staff.
Harry Randall,;
dent; H. P. Davison and Thomas Vine and C. Gordon Tebbitt as
of
the
Currency; formerly Controller, was named
S. Lamont, both Vice-Chairmen; Assistant Vice-Presidents also was Comptroller
Semmes is President to the new post of Assistant to I
Both
are
with
the Harry H.
J. Luther Cleveland, Chairman of announced.
and Lawrence I. Melton is Cash-lthe President.•
; **.
j \
the Executive Committee and six bank's, public
relations depart¬
ier.
The bank has a capital of
>
«
*
' »
ment.
cenior Vice-Presidents.
,

Harold H. Cook

Vice-Presidents

senior

The

Thomas

Introduction

Guido

and

Jerman

$250,000 and

are

surplus of $250,000.

Entry

into

the

consumer

fi-

Robert H. B. Baldwin

of' Spencer

Cook

Trask

Co.,

loan

new

f J.* \ ^
nance field through expansion of - President of the Club; This year's
By a stock dividend, the com- its personal instalment loan activ-: event will be the 35th
help finance the cost
outing for
Guaranty
Trust
Company,
and of
college
educations
was
an¬ mon capital stock of First Bloom-; ity- has been announced by
The the Bond Club and will take place
Lake
National
Bank ; of Toronto-Dominion Bank, Toronto,
Stuart W. Cragin, Longstreet Hin- nounced May 6 by the Fidelity ington
the
Sleepy Hollow Country
ton, John M. Meyer, Jr., and Ell- Union Trust Company of Newark, Minneapolis, Minn., was increased; Canada.
club. Scarborough, N. Y. * •>: v-<
more
C. Patterson, all formerly N. J.
F. Verbeck,

Jr., both formerly of

of J. P. Morgan
Hinton

Mr.

service

Company, Inc.

trusts

the

heads

ctnd investments division. J. Dela-

Known

the

Fidelity Union

College Payment Plan, it extends
loans to parents or sponsors of
college students and requires that

SaSm m.imhpr^f
In making the announcement,,
™
hi
A' C" Ashforth, President, stated
Sni 1ilnn\
shares, parrlhev bank is prepared■; to make
V

•

loans to individuals of satisfactory

RobertH. B. Baldwin of Morgan
Stanley'& Co. has been "named

Field Day Chairman this year. He
assisted by four general

will be

Vice-President
;
■'
credit standing for almost any Chairmen—Harry A. Jacobs, Jr.
and former Morgan man, heads the
The
First
National
Bank ;- of 'worthwhile
proceeds of these loans be
purpose.
He defined of Bac'*e* &
Co.; Lee Prather
the
international banking divi¬ applied to educational expenses Liberal,
Kansas,
increased■;* its'; this: to include the acquisition of
Stack, Jr. of Bankers Trust Co;;
sion, assisted by two Vice-Presi¬ such as tuition fees, room and common capital stock from $100,--household appliances, new home Philip D Baker of White, Weld
dents, Harold F. Anderson, for¬ board, books, laboratory fees and 000 to $250,000 by a stock divi^-furnishings and automobiles. ,
) &• Co-and Robert L. Harter of
merly of Guaranty, and H. Gordon other direct costs of higher edu¬ dend effective April
2L/(|^umber^;, The bank's .participation in the The First Boston Corporation.
i
ot
shares
Wasson, formerly of Morgan.
cation.
outstanding
2,500/
congumerz-'frjiance field will be
Thirtppn mm milters have been
A new corporate research divishares, par value $100.)
;
nnhfined-tri direpf lnan« in
indi
Thirteen committees nave been
A charge of 4% of the amount
c?"
f
6ion is headed by two Vice-Presi¬
loa!]s to indi- app0jnted to supervise the sports,
loaned is made to cover interest
."
; viduals. -/Trade-paper of;appliance
enteftainment and other activities
dents, both former Morgan men, and
The
common
canital ^tftrk
nf V'^a
f
^T^!Feii ok will
Ihe
common
capital
stock
ot and .automobile! dealers appliance entertainment and other
special life insurance cover¬
not;Q>
:n,iHnW Hpariinf* tl
these com^
Roger Maynard and William G.
The
Farmers
National
Bank
of. be purchased.
age for the borrowing parent or
,'
■
ml
ihe®fol «• ,
fiekl

DuBois,

Herbert

President

Twyeffort,

corporate

trust

and stock transfer division.

Ralph

heads

man,

the

Cynthiana,

sponsor.
*

Guaranty

former

and

Vice-

First

The

from

National

Bank

Ky.,

«fiinonnn

'increased ;:^T

was

>L®ans

^nn nnn^

Kov

are

teerire

•

Stott.
i

repaid

Attendance

men:

—

Chair-

ing

mittees are* the. follow

Frederick G,

^ Braun Jr.. of ^S;;Mpseley &
S

sunk

(Number of shares outstanding.;—rv,irn««A * nf' tha
T ,^*ranS, u ; w
^
20 000 sharps
n-ir
vnh.p <R1 o \ -'■
endmg on the purpose of the Whelpley of Joseph Walker &:
capital stock from 20,000 shares, par value $10.) ,:;v? loan and the
ability of the bof- 'Sons; Bawl Street Journal-MaiVF.
Leach,
Vice-President
and
^
.■
4.^ k.
•
4-1,
Y
\
: n-.-w-wT-l J'W
'-Y'JJ!
YLl" o
$65,000 to $130,000 by a stock
Treasurer, also from Guaranty,
The Citizens and Southern
dividend, and from $130,000 to
beads the government portfolio
$195,000 by the sale of new stock, tional Bank of South
find bond division. William Wideffective
April 22, (Number of Charleston, S. C„
mayer, Vice-President and Con¬
2 7
Morgan Giiiar^ty Trust Cbmpahy
shares outstanding—1,950 shares, common capital stock from
$2,Notice is hereby given that an
N„.
York• -Fntertainment—H
troller,
heads
the
Controller's
liar value $100.)
••
150.000 to $2,365,000 by a stock : extraordinary General Meeting of Vi <1
.'*•
A
cherritl'-of Shields & Com-'
division. He was formerly a Guardividend, effective April j,
IVaGrindlays Bank pally; pood and
finty man.
His assistant, Frank
Beverage—Jame$
(Number of shares outstanding— Limited, will be held in the bank s^ fv pYpv • Tr : of? A C Allvn "&
Forester, Jr., Vice-President and <■"' The common capital stock of
The • East
236,500 shares, par value $10:)
Stroudsburg National
Deputy Controller, was formerly
premises at
Lon-1 ^
• Goif i
Fuslestad
sis
i>i
Bank, East Stroudsburg/ Penna.,
^
'-r . v
don ^E.C. 2! on Mav 12 IftnQ for " » V,
' w
!
i
a Morgan man.
>
was
increased from $150,000 to
Ormond Beaeh National
The operations division is
Marlto",
its

New

increased

Jersey,

common

„AltT/lM

■

;!;

IncJ

24 Bkhopsgate

Anie'

by Harold M. Sherman, $200,000 by a stock dividend, and
irom $200,000. to $250,000 by the
Vice-President, formerly of
sale of new stock, effective April
Guaranty, and he is assisted by
Thomas - Rodd," Vice - President,' 23. (Number of shares outstanding
—10,000 shares, par value $25.)
formerly of Morgan.
:
7
1
'
Ji'
0
Daniel P. Davison, formerly of
S.
Davidson
Herron, Jr., has
Morgan, has been named Secretary
been
of the merged institutions.
appointed Assistant Vicebeaded

Jr.,

!•

Oriu«nd

Beach,

Fia., .yrevu,....

charter from the

Office; of the

bert

Go wan

President; and

has

divided

a
capital of $440,000 and;
surplus of $220,000.
• t'VT

banks, is headed by George
Chairman.
It includes
George G. Allen, Arthur M. An¬
derson, Carter L. Burgess, Ber¬
nard S. Carter, Chairman, Morgan
& Cie, Inc., Charles P. Cooper.
Also, Richard R. Deupree,

Trust

Whitney,

Frank R.

stock

effective, April 22.
(Number of
shares outstanding—20,000 shares,

Charles

Assistant

E.<?

Dunlap,
Walter
S.
Franklin, Carl J. Gilbert, N. J.'
Jhy, director, Morgan & Cie.
:
Also, R. C. Leffingwell, Charles
5. Munson, George E; Roosevelt,
Alfred
P.
Sloan, Jr., honorary
Chairman, General Motors Cor¬
poration, Kenneth C. Towe, and
Charles E. Wilson.
^

The

and

York,

Nathan

Secretaries

Trust

Flanigan,

Man¬

Company,

announced

are

Plishtin

Chairman

New

Horace
of

the

Board.
Mr.

Johnson

Wall

office.

assigned to the
banking
/

Edwin G.

Seal

sit

Gallaway and Harold

were

elected

Vice-Presi¬

dents of the Bankers Trust Com¬
pany, New York, it

Che irman.

Assistant

William

Both

With

the

were

Moore,
formerly

Vice-Presidents

Gallaway

Bankers

announced

was

bank's metropolitan
Mr.

the trust

1954, : he

Secretary

investment

appointed
and in 1956,

was

officer

the

trust

department.
Richard

W. "Sherman

appointed
dent in

the

Assistant

has

been

Vice-Presi¬

operating department

Bank,

Tex., increased its
from

Sherman

1950

came

the

Trust

the

division.

has

been

since

$400,000,

?
7':'

\y' 'l:

with

Commercial

merged
National

such reduction be effected by
fcducmg the liability in respect
°f uncalled capital on each of the
shares in the capital of the corn¬
pany

check

collection

By the

Mellon

tabulating

sale

United

States

stock, the

new

capital

common

the

present

stock

National

and

standing—1,150 shares,
$20.)

The

Bank

United

new shares of 15s. Od. each,
(3) That the share premium
account of the company (created

Charles N. Berents and Robert
N. Hinds have been elected VicePresidents in the trust department
of Fidelity Trust
Company, Pitts¬

burgh,
Pa.,
according to
John
Byerly, President. Both men were
formerly
Assistant
Vice
Presi¬
-

the

Berents

March,

bank.

Ore.,

Oregon

when
new

all 68

scored

banking

put

"Custom

into

service

Fidelity

1958.

banking offices in the State,

First Oregon bank to offer a
revolving bank credit plan on a
statewide
basis, U. S. National
is

also

one

the

few

banks

the nation to initiate such

joined

"first"

mid-April
operation its
in

Credit"

ice

simultaneously

July,

officer

1957,

and

was

Fidelity
named

Ritzville

Wash.,

present

obtained

from

Granbery, Maracbe

Kenneth

Dietz

has
to

was

State

Bank,

absorbed

Ritzville,

by The Na-

\JJL

amount
10s.

joined

the

Mr. Dietz
ner

Od.

amount

of the amount

the

companies
S f*.
nnmnu n

^be

standing
share

unpaid

issued

company.

part7

Co., where

•

LOS

each

electronics

in-

Partridge & Miller
Trading for Kraft

the

pre-

companies in tne eiectionics m

£1,128,750 to
and that such

now

4,562,500

was a

mium account in paying up 2s. 6d.
of

formerly

in W. C. Langley &

u" wdalized'Tn"

ulc

credit of the said

the

generaf partner, it has been

announced.

reduction be effected by applying
the sum of £570,312 10s. Od. part

ANGELES, Calif.—Walter

Partridge and Doyle Dean
Miller are now on the trading
E.

desk of Oscar F. Kraft & Co.,
530 West Sixth street- Mr- Part-

Kobert Harris Upens

ridge was formerly with Morgan

PHILADELPHIA, Pa. — Robert
M. Harris is conducting a securi-

& Co- Mr. Miller has been associated with Oscar F. Kraft & Co.

ties

in¬

OCtUUll

serv-

statewide

basis.

Robert N. Hinds became
vestment

£558,437

States National Bank of

Portland,
in

Mr.

value

par

book¬

keeping divisions of the bank.

dents

400

time, Mr. Sherman is in charge of
the

stock, effective April 22. of the company be increased fromr
(Number of snares outstanding— £3,421,875 divided into 4,562,500;;
242,000 shares, par value $10.)
/

shares.of^chof 1,520,700
by the creation to £^562,i

may

K. F. Dietz Partner

new

'n accordance with the "provisions
and in July, 1955, was appointed $22»?40.000 to $23,000,000 effective of Section 56 of the vUIlipdllivo
Companies
its
Assistant Cashier in the adminis- April "
Anrl1 22. (Number of shares out- Act of 1948) be reduced from u1Q4Q^
office.

naji

Bradley Green for $1.00 per copy,

by 5s. 0d.'and by reducing

ro°,rt1r^„°re-;wasincreasedfrom

trative

Co.; Tennis—Wallace C. Latour
Merrill. Lynch, Pierce, Fenner
& Smith, Inc.; Trophy—George de
of

Valley National'Bank, the nominal- amount of each of
Oakland,
Calif.,
increased
&rsuch shares from £1 to 15s. 0d.,
common
capital stock from $2,(2) That on such reduction of
200,000 to $2,420,000 by the sale capital, taking effect the capital
of

v«u<vi

Central

uum

William. H. Long, Jr.
of Doremus & Co.; Special Fea-*
tures—James F. Keresey of Baker,
Weeks & Co.; Stock ExchangeRobert M. Gardiner. of Reynolds
—

6d. and no more has been paid up)
to ^£3,421,875 divided into 4,- b. Bell of DrexeL& Co. ■
;
capital
shares of 15s. Od. each and t
Copies of the Bawl Street Jour-

of Mellon National Bank.
Mr.

into ,4,562,500

^ucnukai.

publi€ity

Marshall,

common

$350,000

value $20.)
s'"

par

department.

Street

May

May,

bank's

com-,

£4,562,500

'stock dividend The Mar-

National

tiictLIV C

Assistant

ufacturers

division

appointments of Alfred E.

Johnson
fiS"

the

Mr. Herron joined Mellon Bank
in 1948 in the investment research

Bank

t'fi

•;!

Pa.,

Denton, Vice-Chairman
bank, i' announced.

be reduced from

.Jt issued and on "each of which 12s.

both

shall

ojl

£ l' each (all of which have been

A
directors' advisory council,
consisting of former directors of

Pittsburgh,

—

(1) That the capital of the

pany

President in the trust department
of
Mellon
National
Bank
and

Company,

M. C. Sutton is Cashier. The bank

J°}aed resolutrcms as special reso-

Al-; /dtl0nsi as follows:

Comptroller of the Currency.

business from

offices

East Sydney Street.

was

for-

merly with Gerstley, Sunstein
Co.

The

1122

firm

also

announces

that

wire has been installed to
Cifuttenden, Podesta & Co., San.

new

Francisco.

Volume

Number 5844

189

The Commercial and

gold arbitrarily, and thus make sure that the salutary
A good
deal has been said in Administration quarters about the

of-

Continued from first page

military transfers under grants. That figure rose to something over $2.5 billion last year. In each year, something
euphoniously termed unilateral transfers (other than
military)—that is give-away programs—totaled some $2.3
billion:5 /vy-'.'v
/'] '•
7 '■
—

.
•

With Nevaee in NYG

halting inflation. Budgetary restraint is to be
employed—at least for the time being and within certain
limits—if the Administration has its way. It has issued
need

for

J. David

Everard, formerly As¬

sistant Manager of John Nuveen&
Co.'s Underwriting Department in
Chicago, has

pleas to labor unions and management to be careful not to
feed the flames of inflation further by excessive wages or

;■

J. D. Everard Now

effect of its loss would not be felt in the economy.

We See

(2107)

Financial Chronicle

been

prices. Plans and proposals are, how¬
ever, far from adequate for the purpose. We are already
+
Less Than Even -v;,v;\ ;:"7
pricing ourselves out of world markets and inviting com¬
Taking- these latter factors into account we. just about,/;
petition from abroad, here at home. Positive readjust-;
broke even in 1958 before capital flows and gold move- r:
ments, which the recession and the loss of gold should
\ jtnent; Tn 1957 we had a balance in our fatror; pf 'al^utv;; have iinduced are
badly needed. How are we going to
:$3.5 billion. There is still more to the story. The'.TJnited [J.
get them?
: v.':X
/.•
X Sthtesi ^o^eiaiment "• •hrvested"
billipii $ .dollars, ^

trans¬

ferred

further increases in

c o

•

mp a

New

the

nyto

York

headquarters^
25 Broad St^

•

New

York

Manager of
the
Under¬

writing

•

abroad in each: of there two years—which: leaves us; defir ;
'nitely in the red for 1958 if we assume, as we inust, that. Johnston & Simpson Opens
% :theSe; investments * are often give-away /Transfers mas(Special to The Financial Chronicle)
ORLANDO, Fla.
Johnston &
! -qifetadihg as loans: Of course, private interests as usual:X
Simpson. Company,
been
t.iri recent years placed additional funds abroad in the form v formed with officesInc. has North
at 3
•f Of direct or other types of investment; but: the .net of it: ' Rosalind to engage in a securi¬
X aU was an; adverse balance-6f some $3.4 billion against us r ties business. Officers are Wm.
which had to be paid in gold or IOU's—most of it (some ,i Johnston; President; Benjamin T.
$2.3 billion)>in gold. ;v
Simpson, Jr., Treasurer; and David
>

—

It has

our

now

normal

become clear that we have not recovered' X
usual flow of exports,; and it is causing; •

to whether we are

Johnson, Secretary. •'

likely to do

seeable future. Some economic revival is occurring

that

PORTLAND, Oreg. — James C.
engaging in a securities
business
from offices at 1935

Powers is

Everai-d

David

office,
according to
W.

Chester

Laing, President of the Investment
Banking firm. .
'
-

Southwest 12th Avenue.

Martin Berkowitz

Opens

Berkowitz

Martin
in

•

engaging
of¬

securities business from

Everard became associated with

the company
a

fices at 44 Wall Street, New York

in 1940 and has been

member of its underwriting

since

staff

1946.

City.

Form

Lucas, Eisen Branch

Kelly-Macbeth

in the fore- X
•SALT LAKE CITY, Utahin certain countries abroad and its continued growth may make: V Paul V. Kelly is conducting a se¬
curities business from offices at
some observable difference in the flow of our goods
axid;^
'services abroad, but unless all signs fail, there is a very X 19West South Temple under the
real price differential against us in many foreign markets; -; firm name of Kelly-MacBeth Co.
:it is possible, toe, that with a revival of business in thiscountry, lower priced goods abroad may be shipped here
4
doubts

its buying
operation in

(Special to The Financial Chronicle)

;

James C. Powers Opens
>

De¬

partment
taking charge

Barret, Fitch Branch

PRAIRIE

VILLAGE,

Kans.—

LEBANON, Mo.—Barret, Fitch,
North & Co. has opened a branch

Lucas,

office at 108 North Madison Ave¬

2106

nue

have

under the directon of Edward

&
a

75th

West

direction
Jr.

K. Owen. •••'

Eisen
opened

Waeckerle,
branch
Watson

Inc.
at

office

Street under

the

Ramsey,

•••:'■

;in larger amounts and thus aggravate the situation.
Let

face the fact—which would have been

quite;

•incredible in ordinary circumstances under the old system
•of really free enterprise—that an outflow of not far from

;$2.5 billion dollars in gold in the course of a single year
I has done nothing to redress the situation which brought*
"the outflow into

new

being! This is the really important fact

i
.

came

the conclusion that

could do

much better

economic affairs than could the natural
forces which had served us so well through the decades
3 and even the centuries. In the large outflow of gold last
X year — continued this year — we ' should find a warning
,:;that we may not be as omniscient as we had supposed.•
:
The loss of the gold—at least up to now—is of no
X
great consequence in and cf itself. That this loss has not
pinched the reserve system is, of course, due chiefly,'to they
vfact that-reserve requirements imposed upon the Reserve

job of directing

■

/jM-.

7 of the whole business. It has done nothing of the sort for
:
the reason that we planned it that way. We long ago under
the leadership of Franklin Roosevelt and Maynard Keynes

our

name

•*.,

banks

long ago drastically reduced to, enable the

were

;

the rigors of self-discipline normally
induced by heavy loss of gold abroad. The Reserve system
country .to

escape

still able to report

gold holdings of some $19.7 billion -,
against a required holding (on the basis of current"
deposits and Federal Reserve notes outstanding) of some¬
thing over $11.5 billion. It is true, of course, .that for-X
eigners have large short-term and other holdings in this;
;
country, which if withdrawn in large amounts in a short
period of time could be embarrassing even under current
relaxed, reserve requirements. The fact is, however, that
the proper defense against such a contingency is not enor£ mous
holdings of gold, but sound management of our
I affairs in general.
is

•

KVas

The Texas

Company has changed its corporate name

Texaco Inc.

Texaco has

;

long been the

name

known and used

by millions of customers and friends here and in
many

foreign countries. The change gives the Com¬

pany

the

name

by which it is generally identified

Gold Movements Had Other Functions

throughout the world.

Contrary to what

appears

sion in many quarters,

gold has

merely

ments,

;

one

in the

I payments, but the

very

y
;

;
:
'

cause

appear

of the

determined

fended

now

less

indefinitely.
And an indefinite continuation of these conditions—
say nothing of their aggravation—would in the end

•have far

serious consequences than loss of
gold.;If
public officials who have of late had something to say. on the subject were to have their way in such
circumstances, steps would -be taken to halt the outflow
some

of the

)
.•

not

•*to

symbol of qual¬

-•

A C. 7

„

;

•-

adverse

purpose

is the disturbing aspect of the current, situation. It means,;
or well
may mean, that the causes which have brought
about the larger outward movement of ;
gold during thepast year can continue to operate and to grow in strength
or

as a

ity petroleum products and services,'one namestands
out— Texdcd.

to permit loss of gold to perform any such function; which

;

throughout American industry,

been supposed to be :•

use;of it for that

balance. It is the fact that

setile discrepancies in such

.quite effectively to eliminate the
•

highways and byways of America, apd

to be the general impres¬
never

medium for settling adverse balance of pay¬
country against another. It was regularly used

days of laissez-faire to

the

v.5

'./

;

•

•'•

"
»,',-•

i ••

•

■* ■

Buy the best. . .buy Texaco

The Commercial and Financial Chronicle

(2108)

Continued

NY Man. Bond CM
Our

Receives Nominees

Reporter

VicePresident of Halsey, Stuart & Co.,
has been nominated for the Presi¬
E.

Rockwell,

Barron

The combined

will

the

limit.

Fri¬

June

day,

try Club, Rye,
in

con¬

with

the

C 1

26th

Rockwell

Barron

Merritt

First

the

Boston Corp. Other recommenda¬
tions made by a nominating com¬

mittee, headed by Charles E. Weigold of Chas. E. Weigold & Co.,
include George LeVind, a VicePresident of Blyth & Co., Inc. for
Vice-President; Charles L. Skin¬

they went at

were

for

also made

the

following vacancies on the
of Governors, Alfred
S.
Mante, Manager of the Municipal
Bond Department, Smith, Barney

account privileges which makes it a cash

Co.; Craig. deV. Simpson, As¬

Co.; and George W. Hall, a
Vice-President of William E. Pol¬
two-year term that

was

that

The Field Day is under the di¬
rection of Jerome J. Burke of

Blyth & Co., Inc. who is the Gen¬
eral Chairman.
Another

big feature of the Field

be obtained from Wil¬

Wood# Walker ft Go.

Exchange,

bonds

— having
acquired
membership in 1862.

with

Comptroller,

years'

^Walker.

service
-

■

coupon

rate would seem to be in

.Twin-City Investment

Haydon Securities

Women Meeting

...

Midland Sees, Office

WINTERHAVEN/ Fla. — Mid¬
land Securities Company, Inc. has

DOVER,

MINNEAPOLIS, " Minn.

Twin

Gjty

Investment

Club will hold
20 in the

—

The

Women's

meeting

May

Normandy Room of the

branch office at 122 West Normandy Hotel. Speaker for the
evening will be George Powell,
of the legal department of Pru¬
tion of Farris
Campbell, Jr.
dential Insurance Company, who
will

SUNBURY, Pa.—Central
sylvania

Securities

are

offices

to engage

Officers

Del.—Haydon
has

Inc.

129

are

President

been

This

the "Value of In¬

Estate

South

State

Street

securities business.
Raleigh L. Haydon,

and

Planning."

Officers

Nat Berger Associates, Inc. has
been formed with offices at 565
'

Avenue, New York City, to

engage

securities

business.

unrepaired

Marion

Ac¬

role

will

Free World

and the

West

around

discuss

Germany.
shortly as it

cities and

street

and

few people.
stoopedshouldered and unhappy looking
in
contrast to the gay
looking
people

very

saw

were

Berlin.

West

witnessed this

Having

it is my firm

scene

conviction that

should not turn

2,200,000 people of free Ber¬
the 1,100,000 Communists

over

lin

in East Berlin under any circum¬

give to the Free World. If Berlin
were
bargained off to the Rus¬

sians, even for generous conces¬
sions on the Russians' part, I be¬
lieve

almost

were

have

would

very

de¬

industries

There

idea

other

one

was

waiting as long as four months for
such a simple item as a television
set.
However, the stock market
in
Germany
has risen sharply
anticipating the future as it has
•done in this country.
Yields are
How and price earnings ratios are

jhigh.

There
I

however, in

:West

one

Germany

States
;

V '

threat

can

continues
contain

that

and

Russia

America

stand

its firm

the

Russians

the West and within the next two

three years the threat of war
would diminish signi¬

with them

ficantly.

At the same time it is
distinct

felt that there would be a

■*

probability of war between Rus¬
difference, sia and Red China in the future
opinion between with the possibility of even tfie
and the United Western
Powers
aligning "with

basic

and that is

that there is

much greater opportunity for fur-

Souffront, rther

Secretary-Treasurer.

the

Those whom I

entirely de¬
stroyed during the war. Business picked up about the international
situation which came from several
is thriving as
indicated by the
different
sources.
There v is
a
fact that one must wait six to
eight months to purchase certain growing belief in Europe that Red
brands of automobiles as well as China is becoming an increasing

Russia to curtail the Red Chinese
threat.

;

}

recovery in the capital goods
Our final visit was in Holland
industries, especially in the ex¬ where
the" Dutch
people
im¬
pansion of plants and equipment pressed me not only as being ex¬
:in West Germany whereas in the
tremely industrious but also very
''United States we have achieved resourceful.
This country which
1

Robt. Minsky Opens
KEW GARDENS, N. Y.—Robert

business

from

■many's

plant capacity in most has a limited amount of natural
opinion, West Ger- resources depends largely on 'fits
economy .is ' at'.'approxi¬ brains and trading ability.
It is

mately

Minsky is conducting

the

securities 'adequate

offices. at

120-60

Form Nat Berger Assoc.

Fifth

situation.

country plays

which

Securi¬

formed with

Queens Boulevard.
.

securities business.
Jack

Penn¬

Corporation

engage

speak

surance

has been formed with
offices at
30 North Fourth Street to
in

ties,

Central Avenue under the direc¬

Central Pa. Sees.

•

opened

the cards

for government bonds.

Wood,
..

higher

the

rebuilt their

put out by the government and, under foreseeable
market and capital conditions, it is not going to be done
4*/4% interest rate limit.
In order to meet competitive
a

remain

area

housing conditions for the

moralizing effect on the Western
certainly should be an important
European nations and that even¬
determining factor in formulating
tually we would lose our hold
future investment plans.
I was there.
This of course could lead
tremendously impressed with the
only to weakening of our position
way the Germans have completely
and probably eventual war.
;/

veteran

with

conditions

the

The firm's oldest
employee to¬
day in terms of service is Wallis
M. Rainey,
of

early

If there should

are

money

their
while

international

centers

maturing in more than five years—appears to be mainly
matter of timing.
It is evident that the Treasury is not going
to extend the average maturity of the debt unless some long-term

co-

founders

question

been

Iron Curtain

cur¬

Exchange since 1869, Cornelius D.
firm's

until

northern

itself, but the conflict between the

tions

members of the New York Stock

the

through

concerned.

the

to when the Treasury will ask for an increase
in the interest rate limit for government bonds—that is obliga¬

May 1 observed the 90th an¬
niversary of the firm's founding.
Wood, Walker & Co. have been

Treasury
are

the

their

Stagnation in Germany

tually

Increase in 4*4% Rate Limit Imminent
The

one

gap

any changes in these plans it is quite likely they would be
taken care of through an increase in the weekly offering of
Treasury bills. ' • ■»

Celebrates 90 Years

Davis,

be¬

stances whatsoever regardless of
great deal of the consequences.
talk in this country about West
I might add that >West Berlin
Germany and this nation at the is of extreme importance not
only
present time is unquestionably the to the West Germans but to. the
most interesting not only because
whole of free Europe because it
of
its remarkable recovery but
represents a symbol of what pro¬
also because of its importance in
tection
America is prepared to

Wood, Walker & Co., 63 Wall
Street, New York City, members

Samuel

the

financing should carry the
far as cash requirements

July

with

It is believed that the Treasury will make
fills in

difference

groups

than

There has

deal of the Treasury will enable the govern¬

bills

two

dustrious

of the long discount bill in future financing.
tax

the

neighbors.
However, I was im¬
pressed with the northern Italians
and believe that industry will do
well and that there is plenty of
room
for industrial development
and expansion.
This is an area
where I believe highly selective
investments could be interesting.

though the deficit of the government
is still expected to be $13

It is reported that barring unforeseen circumstances
rent

along

situation.

Also,
here, since it had been
announced previously this was part of the general plan to put
tax bills on a quarterly basis corresponding to the time that
payments have to be made to the government.
use

the December

liam E. Simon of Weeden & Co.,
25 Broad Street, New York City.

—

three-wa^

make

of Italians most
part are deplorable. In the
is that the southern Italians ap¬ two hours I
spent in East Berlin
pear to be considerably less in¬ I saw
only three automobiles on

close to it.

very

right into this idea.
greater

Rhoades & Co. is Editor. Informa¬
tion on distribution of the "Bond

Wood

This

Kelly, Jr. of Carl M. Loeb,

of the New York Stock

even

made

this

caused

tween

ment to further its plan of having maturities of short-term issues
fall within a fairly regular pattern with the 340-day bill fitting

year for its proficiency in making
fun of the ways and manners of
the Municipal Bond Market. Eu¬

can

have

at the end of the fiscal year June 30
billion

Bond Crier," a humorous publica¬
tion which distinguishes itself each

Crier"

concerned

are

The second factor that appears to

cash

yments

Day is the issuance of the "Daily

gene E.

turned in

were

the

will

Alley, and during my visit were
possible additional facilities for constructing a new war memorial
supplying water to southern Italy, for their May Day parade, many
preferably by American capital. of Berlin's beautiful buildings in

coming due had been taken care of. It is evident that
position of the Treasury has improved somewhat due
mainly to payments of loans by England and West Germany.
Also, it is believed that conservative estimates of cash needs, as
well as .somewhat improved income tax receipts, has given the
Treasury a bit of a breather as far' as immediate cash require-

elected to last

year.

business

vestments

The net result of this package deal is to reduce by between
$700,000,000 and $1,200,000,000 the cash financing which had been
expected this month, sometime after the refunding of the issues

Mr. Hall is nominated

Mr. Rockwell

discount basis.

Treasury Cuts Money Requirements

Trust

to finish out

for the payment of income taxes the 15 of the month.
Payment
for this isssue is due on May 15 and there are no tax and loan

sistant Vice-President of Bankers

lock & Co.

sold

tax anticipation bills which mature the 22, but can be

Board

were

$2,000,000,000 issue of 340-day bills, maturing next April
15, were sold at auction May 6 with payment due May 11.
The
deposit banks are permitted to make payments for this long
Treasury bill by credits to the tax and loan account. Today (May
7) the Treasury sold also at auction $1,500,000,000 of December

Burr, Inc. for Secretary; and Eu¬
gene L. DeStaebler for Treasurer.
Nominations

though they

even

Vice-President of Coffin &

ner, a

The city has been
the northern and the - Iron Curtain.
Italians, especially
as almost completely
reconstructed;
and industry are there are modern buildings: good
concerned.
There are basically stores with plenty of-wares; at¬
two reasons for this cleavage: The tractive restaurants; loads of cars
first being the geographical ad¬ on the streets; and happy people
vantage that the North holds in¬ circulating around the city.
dustrially.
Until
recent
years
In East Berlin the contrast is
there
has
been
an
inadequate devastating. In that area lie acres
water supply in the southern part
and acres of wreckage and rubble
of Italy to develop this area pro¬
which apparently have not been
perly industrially.
This situation touched since the war. While the
has been corrected to some degree Russians
have
built
one
token
and it is hoped that further in¬
housing system called the Stalin
far

The Treasury came up with its usual surprise in the recent
operation.
The $2,700,000,000 of special bills maturing May 15,
will be paid off in cash.
The $1,800,000,000 of certificates, also
coming due on May 15, will be refunded with a one-year certifi¬
cate, the interest rate of which will be made public today
(May 7). The fixed rate for this one-year obligation will be set
by the Treasury after the results have been known as to how the
two offerings of bills have been received and as to the yield basis

succeeds

Wilbur

experience

exciting

age between

Usual Treasury Surprise

/
Rock¬

Mr.

most

whole trip because today Ber¬

southern

Outing.
well

the
my

Even in the early part of lin is the hub of the international
Italy was broken situation. During my visit to the
up
into small provinces which city I spent two hours in the East¬
used to fight among themselves, ern sector and I want to state that
and consequently there has been this visit is the strongest medicine
little national unity.
The second I have ever taken against Com-r
World War was highly unpopular munism. In West Berlin there are
among
the
Italians who were 2,200,000 people living happily in
probably duped into this conflict spite of a high unemployment rate
by Hitler and Mussolini.
Today caused by the large ■ number of
there seems to be a strong cleav¬ East Germans fleeing -from the

Annual

b's

look into his¬

however,
a

the 20th Century

situation,
to take

tory.

offering a combination of securities, all in the short-term
classification, the Treasury was able to not only take care of
the May 15 maturities but also to get enough cash to carry through
.'the fiscal year which ends on June 30.
There was no question
but what, the Treasury was on the spot and had a difficult job to
do but,, through the use of the several issues which were offered
at intervals, the deal was put over.
*

West¬

junction

Italian

necessary

chester Coun¬
N.

Across the Ocean

raising venture of
short-term obligations

Treasury was concerned only with
the capital or long-term market is not in a position to
government bonds unless the coupon rate is considerably
higher than is now allowed under the existing laws of the land.
In other words, the government cannot sell a bond under the pre¬
vailing conditions with a 4%% coupon on it, which is the legal

election of of¬

Opportunities

money

absorb

Annual

held

Investment

since

Meeting and
ficers

new

the

1959-1960.

The

refunding and

Thursday, May 7, 1959

By JOHN T. CHIPPENDALE, JR.

York

New

page

dency of the Municipal Bond Club
for

Governments

from

Pratt & Co. Formed
WASHINGTON,, D. C.—Pratt &

teases.

In my

1954-55

level

(business cycle.." /, V,
.Contrasts

East

and

•

our

West

feeling

that

capital may. be

well invested in the Dutch nation

•

Berlins

Co. has been formed with offices
j
-Now I would" like to discuss
in the Shoreham Building to en¬ ; the international situation because

and in Dutch industries.

Lists

Attractive

Issues

The time has now come when I

Boyer, President; Officers are Nathaniel L.
Berger, gage in a securities business. Of¬ another war even if limited to will give you the European secuFisher, Vice-President President; Carl Derman and Si¬ ficers are Jack C.
Pratt, President, ^certain areas in Europe would of rities which I feel are most at¬
and
Treasurer; and James T. mon Goldstein,
Vice-Presidents; and ''Mrs. Antonio Pratt, Secre¬ •course be almost disastrous to in- tractive.
•.
Carey, Secretary. All have been and Milton
Chwasky, Secretary tary-Treasurer.
Mr.
Pratt
was
My first choice is Philips Lamp,
[■ vestors in European securities.
associated with James H. Drass, and
Treasurer. All were formerly formerly with Ferris & Co. and While I
was
the foreign shares of:T
Inc.
•••
'
■
■
■■
39. Germany I flew
which; are
with Glickman Securities
Waddell & Reed, Inc.
Corp.
to Berlin for one day.
This was traded over-the-counter in either
Donald

•

Volume

189

50 Florin
cates

Number 5844

1,000 Florin certifi¬

which

Financial Chronicle

The Commercial and

ments

across

the ocean, especially

time when our stock market

be purchased:
These costing about $80 and $1,60(1, respectively.
This company,

historically

in my opinion, is the absolutely
top one in Europe in the elec¬

lieve

tronics

lationist country and

may

field

both

terms

thing we
that

is
no

Commodity Exchange, Inc.

utmost
can

Apfel has joined the investment
trading privileges on the firm of Bache & Co. and will
Exchange
of
Alan
Greenspan, serve as the commodity specialist
President of Townsend Greenspan at the firm's Cincinnati, Ohio of¬
&
Co.,
economic
consultants; fice, Dixie Terminal Building.
Walter
H,
Knorr, Treasurer of
Formerly with Continental
Continental Copper & Steel In¬ Grain
Company
in
Nashville,
dustries, .Inc.;
Herman
Martin, Tenn., Mr. Apfel was later trans¬
ferred to that company's St. Louis
owner of Martineque Mills & Co.,
where
textile dealers; Jose M.
he
subsequently
Sorino, office
Vice-President of The J. H. Foley became a member of the St. Louis
to

plant, products, research, manage¬ several important obligations
ment and labor relations.
The across the ocean both military and
patient investor should be sub¬
stantially rewarded over the years
with this European blue chip from

economic.
lies to

of Europe

future

The

great extent in our hands

today.

Holland.

My second choice is

German

chemical company Badische Anilin which has American Deposi¬

tory

Receipts

trading
counter at around $47

over

the-

share.

per

Forms Carleton Sees.
Y.—Har¬
conducting a

NEW ROCHELLE, N.
old

Rothenberg

should benefit from the Common

310 North Avenue, under

with First Investors

Market.
Let

Mr.

Rothenberg

was

Consolidated

and

De¬

Merchants

Exchange.

formerly

commodity

England.

Corporation.

.' \v.;

Limited,

London,

with

the

Bedford

New

Standard Times.

all

principal

securities

exchanges

■"'■'' .• • ■' United: States,

>:';

the vard
of

•

Opens Branch Office

and branch office at

(Mass.)

■

Evans, MacCormack

HEMET, Calif.
Bache & Co. holds memberships Cormack; &
Co.

Commodities

Co.

Law, Inc., has been transferred to
the agency's Boston office.
Mr.
Richards'
prior association
wa9

graduate of Cornell University.

velopment Corp., a copper mine in
the Far East; and Sidney Sharpe,
Chairman o£ ; Anglo Continental

the firm

Securities

Carleton

Atlas

for

tive with the New York headquar¬
ters of Albert Frank—Guenther

Street,

Evans, Mac¬
has opened a

—

126

South

under the

V-'s

Phillip B. Cross.

Har¬

direction,

explain briefly at this

what

Common

the

for those who

means

the

representatives

Robert L. Richards, for the past
several years an account execu¬

time

name

full

Corporation,

securities business from offices at

This. company,
in my opinion,
represents German industry at its
best, is in a growth industry, ably
managed and like Philips Lamp

Branch of Albert Frank

CINCINNATI, Ohio—Alfred A.

York, has announced the election

be an iso¬
that we have

Richards With Boston

Bache in Cincinnati

Commodity Exchange, Inc., New

importance,

A. A. Apfel Joins

Elects Five New Members

The second
realized, and this I be¬
high.

longer

(2109)

versant with it.

are

Market
not

con¬

Tentative agree¬

ments have been set up by France,

Italy, West
Germany,
Holland,
Belgium
and
Luxembourg
to
achieve the following objectives:
(1) A gradual removal of trade
barriers among the member coun¬

tries;
(2)

Working up of common
policies with respect to general
procedures; ;
(3) Drawing up rules to ensure
free and equal competition;
; (4)
Taking steps to make full
.

use

The

—and

(and this might take some years)
it is the feeling that each member
country will become strong in cer¬
tain industries.
As a result, each
country will be able to develop
strong markets in these particu¬
lar industries not only within the
group, but it will enable them to
compete with the United States
and

countries for world

overseas

markets.

intercontinental

company

—

choice is an Italian
Montecatini Chemical

York Stock
Exchange and selling around 25.
The price does not seem to be out
of line with earnings when com¬
listed

paring

with

companies

other
I

and

was

chemical
im¬

very

pressed with its products, espe¬
cially in the wide area of the
plastics field.
While visiting the
Montecatini

Industrial Fair in
shown Montecatini's

and

Milan

This

display there.
of

idea

were

company

the

taken

gave us an
field of plastic

wide

the

products of various types that the
company produces and it was in¬
deed an impressive one which led
me to believe that Montecatini is
first and foremost in
this field
in Europe.

fourth choice
is United
Steel
Companies, an integrated
steel group whose common stock
sells at an amazing low value sta¬
tistically due ot the threat of a
Labor victory in the British elec¬
tion. If the Labour Party wins and
My

the steel industry is

that

believe

would' receive

the
25%

nationalized,
shareholders
30% less

ex¬

An unidentified aircraft is detected
in

flight by

radar installation. The

information is

rela5'cd automatically

and

instantly

defense center.

over

It is then flashed

New

the

rockets, for

telephone cables
the network

special Bell System telephone
lines which link the country's entire
The role of the Bell
not

System does

thousands

thousands of calls that

are a

part of the manufacture of countless

control

mighty Nike Ajax

The backbone of this system

naveral in Florida to Puerto Rico, It

provides

proof

important research

development projects for the

government. These include the Nike

Corporation,

subsid¬

iary of Western Electric, continues

the Atomic Energy Com¬
Sandia Laboratory, which

to manage

mission's

weapons.

of transmitting data on

flight.

Among

many

other Western Elec¬

tric defense

projects'

Early Warning (DEW)

were

the 3000-

Line in the Arctic and the "White

Alice" communication system

link¬

ing population centers and military
installations in Alaska.

which is.flashed

way •

position

continuously to the

testing base by cable. So are signals
from the missile itself.

Recently the U. S. Air Force asked
to add the communications phases
a

ballistic missile

system to the other
handled

military projects

by the Bell System.

The Bell

early warning ')
.

;

System is primarily

en¬

gaged in providing telephone serv¬
ice.

But it

gives top priority and its

were

utmost effort to

the needs of Govern¬

schedule and turned

to the Air

Another

Both

along the

spot the missile's flight

ment whenever

it is called upon

Force.

work for which it is

project for the Air Force

the design,

for

specially fitted

by size and experience.

production and

Particularly when it comes to pro¬

supervision of installation of a com¬

tecting the country, it's good to use
the best scientific knowledge avail¬

was

Zeus anti-missile missile system and

munications system

the

sile test range

guidance system for the Titan

means

missiles in

instant, secret, weather¬

Radar installations

The Sandia

is the

special underseas cable that stretches,
1370 nautical miles from Cape Ca¬

and Nike Hercules missile systems.

Telephone Laboratories are
many

equipment which is the heart

and brains of the

over

engaged in
and

unit, is producing the guidance and

completed

items of defense.

Its Bell

Sys¬

supply

mile Distant

defense.

stop there or with the

upon

tem's manufacturing and

develops, designs and tests atomic

over

system of continental

missile.

ballistic

Electric, the Bell

Western

delivery on a
specific part. He picks up his tele¬
phone, makes several Long Distance
calls, and his problem is solved.

ample, needs data

third

.My

weapon

one.

A manufacturer of

If the Common Market succeeds

important

of the resources of the mem¬

ber countries.

telephone is a defense

for a guided mis¬

extending out to

sea.

able in the communications

field,

TELEPHONE

than the current market value of
the stock whereas if the Conser¬

assuring them an¬
in office, the
stock could easily increase 50%
to 100% in value. tThe American
win,

vatives

five

other

years

...

Receipts

Depository

over-the-counter
where under $5

are
traded
and. sell some¬

per

Inci¬

share.

dentally, the British steel people
are extremely interested in seeing
substantial investments of Ameri¬
can

capital made in British steel
because it is their feeling

stocks

that

ments

these

American

invest¬

large enough the La¬

were

Party, if elected, would be

bour

much

hesitant to nationalize

the steel industry.
In

concluding

would

like to

state this three week's trip which
we

made

many' of
The

first

to
us

has

Europe

two

realize

thing

that

realized is that there

made

things:
have

are. ma^y

tractive opportunities

at¬

for invest¬

The Commercial and Financial Chronicle

(21101

Jack

Continued jrom first page

CONSIDER...

EATON i HOWARD

quarter of 1958.

41%

liquidation

naturally,
balanced

whose

stressing the in¬
verse stock-bond yield ratio, say:
"A
defensive position has been
maintained to take advantage of

con¬

This stepped-up

centrated

was,
in the

con¬
funds

any

slightly
exceeded
purchases—compared with a 41%
of

buying during the

vious period.

In the
open-end stock funds
of

purchases

vestment

excess

sales

over

receded

from 104%; in the case of
closed-end
companies
the

buying

excess

fell to

19.5%

than

the

present

yield

good industrial stocks."
After citing the usual construc¬
tive economic features, M. Jenon

to 67%

the

reserve,

periods in the past, • provides a
larger percentage return on in¬

of the

the

This

the, market
unlike many

many

ning von de Heyde, President of
Johnston Mutual Fund, Inc.,
cautions thus: "We are not, how¬

The

from

58%.

without problems. The com¬
ing wage negotiations in the steel
industry may result in another
inflationary
turn in
the wage
ever,

THE FAVORITE ISSUES
First

Prospectuses available from

Investment Dealer or

your

EATON A HOWARD, Incorporated
24 Federal St, Boston 10, Mass.

Shareholders' Trust

of Boston

thi^ portfolio's largest single

holding.

earlier, the major securities mar-

buyer

not been tne

kets have

reckless

speculation.

•

■

Its "Sister Fund," Lehman Cor-

poration,

the

popular

the

shares.

existing margin rules, the speculators do not have the purchas-

second

largest

International

tune

Other

by. this

the

was

subject^of Nickel,

With

Thursday, May 7, 1959

issues

management i

15,000

acquired
n

eluded^,

Schlumberger Ltd., J. P. Morgan,

ing Power to seriously; affectva pan American Airways, Rhodesian *
large bulk of securities. InvestoYk. Anglo, American, and the fast- :
funds continue to
play a
largD^ stepping Texas Instruments—with /
part
in
the
daily transactions.. some switching among the oils
.

pre¬

case

correction

level.

sales

excess

Funds

Trust,

vestors

final

the

President

Dreyfus,

enterprising fund bearing his
name,
gives
this
reassurance:
"Fortunately,
as
we "have
said
the

Some Sail-Trimming by the
exceeded sales by only
trasted
with
77%
in

this

For

reason

and^others, we

to- take

continue

including substantial purchases of

an/v optimistic; Mission Development and Reserve
yoqr oil & Gas-^

view

ofthe-: market,-/.and

Fund

common

almost fully
stocks..

the

"In

ibtfestejcl^iii?Zu

yy.

C *

i"'—|he_ substantial liquida- ;<■■■
quarter
in: by Lazard .was :

•

first

;

folding,namely'
sha^s^Df'.'American.Tele-;

the Dreyfus Fuhdr substan —
tf ll twf
tially increased <"■its-'/position.
airline stocks. - In; addition" 'the .Pho,^^^ket
Fund
established
a/ substantial
year,

appneemtmn not.;

,uh*^ted.the . ^trree^for-one

position in motor stocks."

im¬

"/*"

place in popularity of in¬
" dividend
had, we believed, ma- /
The bullish
dividual issues was easily cap¬
. of Blue terially i lessened its appreciation
spiral and produce imbalances in
tured by Ford, both in thq num¬
Ridge were backed Up;by^the fol- ■nntpntis/l"V: This msnnir&rnprtf a 1 cr» the economy.
The rapid rise in
comment
ber of buying managements (13,
its holdings in the do- b
the stock market has induced an
Milan D. Popovic.
with only two sellers) and in dol¬
The prbgtfes,slio,cifsear
while increasing its ;
element of speculation, particu¬
sive character of our econdrrly is
lar volume (approximately $17.7
internationals, Royal Dutch, Gulf r
larly
among
sman - investors,
undeniable. There is also
million). Sharing the popularity
reasgMR, arid, >T as. (..TW shift, Sdmitwhich is causing undue fluctua¬
spotlight were Monsanto Chemi¬
ing evidence that recessions, when-at varianee wtth current {i:
tions in some securities.
While
cal, Philips' Lamp
Works, du we continue to believe that any they periodically occur as neces- market
sentimdnti
we
'believe : sary correctives in a free enterPont, RCA, International Nickel,
justified on the basis of relative
likely market reaction will be of
North
American
prise system, can be retarded and
Aviation, and limited
values") •
i' "V
extent, we are endeavor¬
IBM. The issue most widely sold
reversed before they assume serid ;
ing to exercise special care in
was Standard Oil of New Jersey;
ous
proportions, partially by
INTEREST ABROAD
.
\
selecting
investments
for
the
followed by Parke, Davis, Boeing
built-in controls artd by special
j
iiT. • .•
'
Fund, and some reserves are be¬
and ATT (for details see Table
action which will inevitably/ be /
?5 b}11^
ing maintained for new invest¬
exercised
in
the j case
"Changes in Common Stock Hold¬
of need, vesting
abroad has
^
ment opportunities that our stud¬
I.
Our economy is dynamic ^nd
ings" on page 28).
P°lfoli° poliC1^.
ies and events, may disclose."
in the recent recession showed an This
had been spearheaded byFunds
preponderantly on the
THE DEFENSIVE
impressive ability to come back. :
ii50yJ JPU f1- an^
selling
side
of
equities
were:
selected stocks appearsLamp -Works. Now Lazard
CONTINGENT
American Business Shares (with Holding
justified where a searching analy-C1
A:?C^SrU15? f A
m
<
purchases),
Axe ^ Houghton
Typical of the more defensive no
sis reveals that appreciation/is
Market,via acqmsition_0f
Axe
Science,
Eaton
&
attitude
is
this
statement
by Stock,
likely even if we do not reach Ac:l6rl®s.
''
Balanced, National Se¬
D. Moreau Barringer of Delaware Howard
the millenium expected by some."
* ;
Fundj Inc.:
"By 'dragging our curities Income Series, New Eng¬
et de l Est, Generale d Electncite,;
Funds
exhibiting
continuing Michelin
Scudder Stevens &
heels' on investing incoming cash, land Fund,
Tire; Rhone-Poulenc,
Value Line Fund, Value bullishness included_Axe Hough- ancl Siemens
the common stock proportion of Clark,
Halske. In addi-i
ton Fund B, Broad Street InvestLine Income
Fund, Wellington,
the list has decreased a bit. The
tjon
phiiipjs and Royal Dutch,;
ing. Diversified Investment
fact that we can realize something Delaware, Incorporated Investors,
the riiost popular of the foreign*
Foundation
Fund, companies
like an annual return of 3.3% General American Investors, Mad- Institutional
with/the funds here;
isortrpund, Niagara Share, Tri- Investors Mutual, Johnston Mu- ^as become Siemens & Halske,'
[now "over 4%]
on
short-term
..

activ^ies

interest

spilled

f"n<i

the Com-

slake

A balanced 'mutual fund for

income

rent

and

cur¬

possible long-

growth of income and capi-,

term

tal»

JkSSl'l
Acieries^du Nord

^f1?'

•

■.

■

'.'.I

•:

Prospectus

request

Chase Distributors

Corporation
t

75 Federal

►

Street/ Boston 10, Mass.

ENERGY
FUND

inc.

issues makes

this much retreat from the

those areas which suffer
periods of tight money
and which are quick to revive
when the change comes in Federal
Reserve Policy."
least

fund,
concentrating on the se¬
curities of companies in
industries such

Imperial
convertible,

ing in

A mutual investment

past,

Continental, and as for some time
™al' M'35530]11186!!8
the largest German manufacturer .
Mutual Investment Fund, NationU. S. & Foreign.
electrical equipment and elec-*:
The greatest excess of equity Wide
Securities, Putnam Fund, tronics—a new name here but for
inflated part of the common stock
Shareholders
Trust
of
sales over purchases was engaged
Boston, a
market easier to justify."
jong tjme a Bjue chip abroad.-^
in by Value Line Income Fund Aberdeen Fund, Affiliated Fund, it
has been acquired by five other!
Similarly, Francis F. Randolph
and by Wellington Fund.
speaking as Chairman of the Tri
5
?Uou
> SvemiC
/und managements in the recent
Particularly striking is Well¬ Fund, Dividend Shares, Dreytu^.qUarter;<<^United Corporation,' the'
Group's
Whitehall
Fund,
says:
sail-trimming.
During
"Most of the new money received ington's
r?W^r 4
j
erSi United Funds! \ Group, Investment'
the quarter it sold $40.7 million Fund, Fidelity Fund, Fundamental
^rust Gf Boston,. Wisconsin Fund,:
during the past three months was
worth
of
stocks,L while buying In ve s t or s, M.I.T., and M. A. and Energy t^und. Some fairly>
used to add to bond and preferred
only $27.1 million. Largely as a Growth, One.William Street, Leh- good buying also came into Uni-1
stock
holdings, and issues con¬
result
of
this,
Wellington
in¬ man Corp.,
the
United Funds lever and Montecatini.
vertible into common stock were
= r
creased its holdings of cash and Group, American European-,
favored."
/
Dominick
Fund •;(with,fhe / pro - ^/t/Gana d i a n /.a n d
governments from $67.2 million
African / gold;
The Concord Fund's defensive
to $92 million, or from 7.8% of ceeds of a recent rights Offering),
stocks /\vere/rbought-'J-by U
position
with
accumulation
of
net assets to 10.2%. Among issues
One William Street, one pf "the
Coiitinentel. ; On the other hand,substantial cash has been spelled
completely eliminated in the proc¬ big two" funds formed jin ll958i a **>ck of 49,60° shares of British,
out
by
its
President
Waddill
ess
were
Allied Chemical, Dow
bought securities other thah gov- ' P^tVolmni was' compMely elimi—.
Catchings thus:
"As
of
March
Chemical, Pittsburgh Plate Glass, ernments aggregating
$41.;1 :mil-; nated by Madison Fund.
31,
cash
and
equivalent
com¬
Amerada, C.I.T. Financial, U. S. lion
against total sales mf $1.6.6j Pflw931 Industries
prised 25% of net assets. In mak¬
Foil
and
Bethlehem
(85,000 million. Among the new acquisi-; Worlds -were/bought by- Atomic,
ing investments we were invest¬
government agency

shares).

tions

The

trustees

General

In¬

THE

BULLISH

GROUP

Edward A. Merkle, of Madison
Fund, reports a reduction in hold¬
ings of defensive stocks.

the

quarter

weref

Uevelopnien^ Mutual Fund.

-t.

EatorfjManufacture ^
v
*/-•*'
ing, Hollinger Consolidated GoldK^f-*KPOLICYTOWARD
Mines, Tennessee Gas Transmission,
Union
Bag-Camp
Paper/
Public

Service

Electric

ife'-Ghs,"

INDUSTRY. GROUFS

"The following analysis of port-

The

ATOMIC ENERGY
ELECTRICITY
and

other

activities

ONE

re¬

ONE WILLIAM
STREET

Mutual Investment Funds

lated to the energy fields.
The

principal objective of
Fund is possible long-

the

term

WILLIAM
•

capital appreciation.

There is

commission

Bond Series

>■:.

Balanced Series

•

sales

any

loading charge of
kind payable to any¬

one.

are

•

offered at

FUND

net asset value redeem¬

able at 99% of net asset

inc.
W'r-.

PROSPECTUS

Write to Dept. CF
Distributor;

RALPH E. SAMUEL I CO.
Members N.Y. Stock

Eicbange

115 Broadway, N. Y. 6
CO 7-8600

open-end management investment

•.

company

investing in the securities of American business and indus¬
trial

enterprise with emphasis

possibilities and
Prospectus

current income.

request WILLIAM

Stock Series/

V*v/-g//v,'

Dividend Series

/- // /•

/ /: :: v/.:'

Growth Slocks Series

'/ Infdrinatioa Folderand Prospectus jon Request v<

STREET

One Wiiliam

Series:

long-term capital growth

SALES,

NATIONAL SECURITIES & RESEARCH CORPORATION

ING.

■f

Preferred Stock Series

;• Income

value.
SEND FOR FREE

ri?rilTP<2

ixrnTTQTPV

,
■

Reynolds Metals and Moore Corp .' folio changes, ■ drawn from our
Ltd.
Among portfolio reductions tabulation on page 28 of transacwere: Commercial Credit, Standtions in more than 450 stock issues,
ard Oil of New Jersey, U. S. Steel,
is based on the number of man-.
and National Steel. IBM remained agements buying or selling, rather

as:

NATURAL GAS

during

Algoma Steel,

Street,

New York <4,

N. Y.

-..
r

Established 1930

120 Broadway, New York 5, N. Y*

;■

•

Tlie Commercial and Financial Chronicle

Volume

189

than

the number of shares in"
^

volved.

Number 5844

to the tune of zO,UUO shares (new-

no sellers; the tinent, Atlantic Refining, Standlargest buying coming from Tri- ard of Indiana and Shell. Gulf

ly)> with Chemical Fund here
se*l6r
16,000 shares.
v-

Broad Street with 40,000 shares, retained its popularity for
Other favored coppers were Ken- buyers, with three .sellers.

'^awtrpnks::.
instance,

and

0n.ly two petroleum Issues en-

six

Lead in Interest

machinery
equipment, cop-

industrial

per,

ew position (63,500) and Invest-

naf

and

textile,

hpfnrp

ToT,coxr

t nmaef caiiav.

Am/m.

GROWTH FUND
A Mutual Investment

;___iT

buying
tially ;held. oils.,
,

Philms' Latnn,'Works:

rail

renewed,

ick '

of the substanry

•

Quite

heavily sold were ~ the
.companies, ; banks
and
drug issues
;

finance
some

Mixed

whcrp

2rour><r

rnncriripr

J&ndT.(7j5D0Y [

United| .Some interest continued in gold
Corp. (5^500). j There was 'not a stocks, including v a new name
seller of Philips' although Madi- 1 Blyvoors.
.
r soil rund liquidated its 1,000,000!.Among other metals, Interna-guilders" of convertible bonds tional Nickel, meeting' increased
Prior to their call for redemption. favbr, was acquired by Chemical
and

Fund

whichVCompletely ""reversed "its

composed of securities

popularity of the preceding quar-

lected for their possibilities
of future GROWTH and in-,
creased income.

ter, sellers included One William
(30,250 close-out), Lehman (10,000), Electric Bond and Share
(26,000), U. S. & Foreign (15,-

se¬

W^-'-Fov FJt.EB descrip¬

tive Prospectus, mail this ad

Cbiicbrd

(20,000 newly). By far;..
V
•>•
XV.* ^
largest Westinghouse buyer (JNatutal Gas Liked

wss';. Tn\yith

^ StrfeLwith 50,00° shares.
eral Electric was

Accelerated

(10,000). Most of these
sellers switched into other oil issues,
which served to provide

ta Dept.
THB
50

Natural - Gas, " coin-" more buying than in the previwith its: rights offering, out quarter in such issues as

Gen-

was bought by It fund manage-

vestors Mutual (39,700), Lehman,
Madison,- and others. For com-

ments, but in terms of dollar
value this was greatly outweighed
by the concurrent selling of 56,-

bought

pointed out above, was
the best bought stock among all
as

AIC group

,83^00 ^^mbrican/

THE'FA VOKED^GROtil*S^

Ford,

with ymr name and address

Fund the sole seller.

America

the

Aii^:«tivAc
AUtomotives

by In-

L-41.

KEYSTONE

COMPANY

Congress St., Boston 9* Mo*».

Phillips, Sunray, Louisiana Land,
and Mission Development.
...

Utilities Again Bought on
popular utility issue was

Fundamental1

(50,0d0^ bthw.eighed purchases in the casei Tennessee Gas Transmission with
new'),: United- -Funds Groim .v(47,^. of-Consolidated Electrodynamics, • seven buyers, including One Wil500), State Street and Wellington IT.T,
Litton Industries,
Sperry liam, with an initial commitment
each

Investors

with

35,000,-and Affiliated Rand and Sunbeam. .
:
with 2O;OO0 shares." Among* the
" ; " .'
).'"
six * managements - Iniyihg * OS^ioo^ Insiif aiice- Stocks Continue ■
shares of General Motors'%ere *Pobhlhr \'
with

cl^ificatioii

shares.

55,000

v
!

_„

m 6Xte

7 ' i ": j
Auton^i^EqiupiAent

Orov

A BALANCED

seller

0ne

FUND

Also well liked were Peoples

other

—

investment

come and in common stocks
selected for income and

Joyed remarkabe market rises

profit possibilities.

principal and current in¬

|Ourmg on the petto-

y" , Wly coding to conclusion, the?—

dif^qLr^kSC^Si^i w"de ^g°TZSotftoXto tton attracted buying by M.I.T.
GenCm^hiGh has been advattc-1 that industry fund^managers gen- [^,000 , In^rporated ^store
Forward. Gear ;; |jWooldridge mg; t^^tighs previous to « ' ^ ^^SofttS sector" Madtoon'
/ h. c
R<*
fayorabto^emption
f
«
sector- &
'Bai'anced Fund (8
^al?iidu1ht^y Investors lviaiuai,
Mul^'i'of most the oils- further addi- 000) the lone & Howard Balanced
portfolios® atoeady de- was Eaton seller (5,000 partial).
^^.Phf^ea .CQtp.,.ajid;• Na?
w.• AfWejwrs
ticmal, y.Aviation, .thq „.bcq4iFmg
Wjll^m. - Aetna ^^ were' natural!v moderate As Utilities sold on balance again
ifatSgOttieM dverb^atlihl^".ffie ^-S^»ght ^ Invcfmenty^n^ema^l^modera^
included Columbia Gas with a
.

investing

bonds and preferred stocks
selected for conservation of

Light and ,Coke; General
Public Utilities, Rochester Gas &
Electric, and still Southern Co.
The-latter issue which has en-

buying Gas

indi,s-JStlll Gei^rally F»Vored

on the

PutnamoythaS °. the

e^inr

the

hand," selling exceeded
especially in United Gas.

;

Wellington; (35,000) and^^iikTV

and

m:^

sellers which included Wellmgtoh

•eoi-of Amdnca and General Cap- ?L_I;?s.u/t_

?.g.a,„

mi 1HIU.W. domnieto

-Ail

Equity

_I usiUf

investing pri¬
stocks
selected for possible long; term
growth of capital and
marily in

rtisnosal

common

future income.
Atk your
.

investment dealer for

prospectus or write to

The

American .Telephone
by ' eight managements
bought by only four.
Its

Pre-split
sold

was

and

-'"In*.the

casualty- group, Conti-' vestors' Mutual (41,800), followed
Fireman's
Fund
andiby Affiliated Fund (30,000), Buistockwvas Amnsantowitht^PW-.
Maryland, albng with the diver-' lock Group (22,000), Lazard (15,agementff. ndying,
invading four sjfied Travelers were well bought. 000),, and others. Texaco (nee
u
^
aJuo y two
The latter Was bought by five Texas Company) replaced Gulf
sellets.
.ThebiJargest - buyer^'.Awa&■■■*.;«d<j. Throrhor'ated Investors (K
as the.'runtter-uo issue, being purChemical Fund (46,600 shares).
by

^®^^fe^S®^?^;nental,

Phased, "among PoS;

most

popular
chemical Dominick,.Eaton & Howard Stock,
Was du Pont with 11 buyers, fol- and General Capital; with Madilowed by Allied Chemical. Dow, sOd the lqne seller (10,000).
and Unmm Carbide.
Liquidation
'• ■ v'*' "■
;
.
hit Americaft ' Cyanami^, with the Metals Liked
.
^
M
gronp Closing out,.
In the
metals group, opinion
.

,P®'PPP'.®"a5^S;

and Chemical Fund reach bought

contrast

corDorate

!man and Dreyfus.

Among

the

coppers

name\

was

bought

odUii
,

;

massachusetts investors

Growth Stock Fund

;

Century Shares Trust

offers you o diversified
investment in the paper
& pa per board

GROWTH

Send for
A prospectus

relating to the shares of any of these separate
be obtainedfrom authorized dealers or

investment funds may

-Emphasizing possible long-term Capital Growth

VANCE, SANDERS & COMPANY

"Tssr

Prospectuses on Request

111

DEVONSHIRE

STREET

;*-»

BOSTON

Putnam Fund Distributors, Inc.
60 CONGRESS STREET, BOSTON
Los Angeles

PAPER
SHARES

THE

FUND

interested in

MANAGED FUNDS INC.

LIMITED

PUTNAM

Are you

ftAassac/msetts Investors Trust

Canada General Fund

One

Continued on page 2o

'A BALANCED FUND'

Chicago

George

of 'Boston

New York

CITY

PUTNAM FUND

ADDRESS

popular ;

■■■

Owens-Illinois standout-. was.-Anaconda .with

The

one

Teleohone

General

g.-™£?^_iWra^
^Sudtog Itohman

Also popular

I were Phillips, Sunray Mid-Con-

Ch«ek

O gnuN«TON FUND '
O WaiiMNOTOM EomTYFuwa

contrasr» ue"fral AeiePp®ne

;•

-Lazard; while being sold by Leh-

leading holding it had been. It
was bought by Fidelity as a large
new acquisition (16,000).

Wellington Company
-Philadelphia 3, Pa*

;

Ow^ns-Foi^ of which M. I. T.. nuhrthe sole favorite.
10,000...shares.

largest seller was Lazard, whose

Invel

tors Mutual, Wellington, Cheniical
Fund, United Funds Group and

^ was divided about aluminum
ri:
■
Ip^
'
; - stocks, with buyers and sellers apGlass Issues
fought;
.
proximately balanced in AluminGood-sized buying came into ium Ltd., Alcoa and- Reynolds
these issues, particularly Libbey- Metals; and with Kaiser Alumi1

af-'

Glass was also bought by M. I. T. nine buyers and

During the March quarter, fund
managements particularly favored

electronics,

(2iii)

Washington

NEW

Orlando

YORK

6i Broadway

CHICAGO
izo

South LaSalle Street

LOS
zio

ANGELES

West Seventh Street

industries

Prospectus and

In¬

formative pamphlet on the paper
Industries of the U.S.and Canada.

Mutual Fund Distributors Inc.
408 Olive St.,

St. touis 2, Mo.

The Commercial and Financial Chronicle

(2112)

Continued

from page 27

and

(January-March, 1959)
Issues in which transactions by more than one management group occurred. Issues which more
managements sold than
bought are in italics. Numerals in parentheses indicate number of managements making entirely new purchases or completely

Rails Esteemed
carriers

The

maintained

eliminating the stock from their portfolios. (Purchases shown exclude shares received through stock splits, stock dividends
spin-offs. Changes through mergers also disregarded.)

their

popular¬
ity.
High quality Southern Pa¬
cific
proved the favorite, with
M.I.T. the largest buyer (25,000).
Also bought were Southern Rail¬
way, Atchison, and C. & O. while
cyclical return

some

—Bought—

Sold
No. of

No. oi

No. of

Trusts

Agricultural Equipment
3

18,600

tered

light selling.

50,300

Deere

International Harvester

4
1

corollary to the upturn in

5(4)

\ the rails, r a i 1 r o a d equipment
continued

makers
sues

out

benefit.

Is¬

10(3)

bought moderately and with¬

any

Brake

7,000

39,900

None

selling Included American
Shoe,
General American

4(1)
1(1)

Transportation, General Railway
Signal, and Pullman. Opinion was
split on ACF Industries, and un¬
favorable
to
Westinghouse
Air

2(1)

3(2)

8(1)

1,050
10,000
5,000
17,000
24,000

—

Martin
North American Aviation

Aerojet-General
Boeing—
Douglas

1,000
2,400
14,100

Curtiss-Wright
Dynamics

18,700

General

None

8(3)

1(1)

2(1)

2(1)
4

73.000

14,000
2,060

Delta Airlines

Tennessee Corp.
Union Carbide
United

Moderately

2(2)

Liked

irregularly popular retail
group, the two best-liked issues
were Sears and Montgomery Ward,
the latter finally emerging from
its long doldrums.
Sears found a
an

particularly

0(1)
1(1)

2(2)

American

large
Group

Continued

page

13,000
4,700
10,380
79,300
10,000
90,000

3,000
None

Pan American Sulphur
Pennsalt C he mica Is__

8(1)
4(2)

2(1)

28,000

2(2)

26,000
3,000
18,935
6,000

5(1)
5(1)

31,600
9,900

6(1)

31,900

3(1)

12,500
26,200
5,200

6(4)

United

None

5,131
__

13(9)
2
6

48,200

28,300
135,800

322,500
45,600
93,100

3(2)

5,100

Fruehauf Trailer

None

General Motors.—

20,500

15,000

1
2

7(3)

6(3)

5(1)

3(1)
2(1)
2(1)
2(1)

Mack Trucks

8,000

None

Chrysler

41,300

24,000

None

4(3)

5(1)

17,600

20,000
None

Thompson Ramo Wooldridge.
Bearing
Briggs & Strattoii—%

15,800

Timken Roller

None

Stewart-W arner

11,000

2(1)
1(1)
3(2)

FUND, INC.

1
None

42NO CONSECUTIVE DIVIDEND

None
__

31,000

None

1(1)

Id)

None

Bankers

7,000

Cont'l 111. Nat'l Bank & Trust
Hanover Bank.

87,000
10,000

First Nat'l City Bk. of New York
New York Trust

None

Irving Trust

None

Manufacturers Trust

None

4,000

15,700

22,300

None

2(1)

3(2)

1(1)
2(2)

Chester D. Tripp

1(1)
2

President

5(1)

Chicago 3, III.

2(1)

General Portland Cement

1(1)

2(1)
1
2

Minneapolis-Honeywell

20,000
11,000
3,000

________

9,000

6(3)
8(2)
2(1)

None

3(4)

■

12,500
83,100
152,900

2(1)

5,100

2(1)
None

Armstrong Cork

None

9(1)

Allied Chemical

Kl)

200

2(1)
3(1)
8(2)

13,500
38,478

16,700

Du Pont

Atlas Powder

15,200

Radio

Reliance Elec.
,

364

3(1)
3(1)

28,200

Eastman Kodak

2,000
18,500

3(1)
1

Food

3,000
'

Hooker Chemical
..

13(4)
3(2)

133,600
40,000

3(1)

1,660

Machinery & Chemical——
Freeport Sulphur._____
Hercules Powder __iJ

r.rz

Interchemical
***',
Monsanto Chemical
Olin Mathieson

Rohm & Haas—
't/> ,r

•

ir,

None

Corp,
&

20,500
None

Engineering._

KD
None

KD
1

None

2(1)
None

Siemens & Halske
or

equivalent)

None
1,000

Square D
Texas Instruments—————

Westinghouse Electric

11,400

_i_l_

4,000

None
1
5

11,500

66^00

2(2)
2(1)

International Tel. & Tel

12,500
21,000

Litton Industries

11.500

Machlett Laboratories

None

Varian Associates

2(1)

7,700
4,000
5,000

3,000
3,525
20,900
17,000
12,800

Raytheon Mfg
Sperry Rand

Beneficial Finance

—

Sunbeam

4
2

2(1)
2

3(2)
3(1)
3(1)

Finance Companies

KD
2

1(1)
KD

None

Pacific Finance
C.

85,000

2,000
31,000

3,000
22,500
7,200

Campbell Soup

9,700

Commercial Credit_—_

None

200

Associates Investment

3(1)

'None

Finaneial

81,700
L

53,200

Household Finance

Food

2(2)

3(1)

1(1)
1

1,7GG
10,000
9,400
"3,500
64,000
4,200

KD
KD

None

1(1)
7(3)

1(1)

None

I__

.—49,300
1,000

3(1)
1(1)

20,000

;

7(5)
6(3)
2(1)

8,000
12,100

Columbian Carbon
Diamond Alkali

-None

Philco

3,000
2,900
7,800

2(1)
2(2)

17,000

Dow Chemical

11(3)
2

None

American Agricultural Chemical
American Potash & Chemical-

6,000

—

Philips' Lamp Works
(50-guilder shs. or equivalent)

None

11,000

9,800
8,700

3(2)

270

:■

2(1)

20,000

60,084

•

7,000
17,015

Consolidated Electrodynamics
Hewlett-Packard
1

7,300

Kl)

None

Chemicals and Fertilizer
*

3(1)

600

Electric

Amp ex

None

•

2(1)
2

4,500
17,300

7,750

None

13.000

None

2,300
18,000

900

1,900

—.

„

McGraw-Edison

None

17.300

None

Kl)

None

4,500
None

1(1)
3(2)
3(1)
8(3)

10,500

None

2(1)

5,000
1,000
2,000

4,500
6,000
20,000

Pipe & Foundry

2,500

None

54,200
13,300
63,500

None

21,000
3,000

•30,200
U. S.

25,000

I-T-E Circuit Breaker

121,400

10(3)
2(1)
6(6)

None

2,600
14,200

None

5,000
7,300
47,700

190.600

——

Hoffman Electronics

38,000
5,100

None

700

42 Wall Street, New York

General

500

11(5)

6,500
1,024

None

18,800
28,500

—___

Hazeltine

3(2)

67,200

American Radiator & Standard-

„

Electronics Associates..—

7,800

Building, Construction and Equipment
36,000
2,000
1,132

None

Parke, Davis
Pfizer (Chas.)
Sterling Drug

8,800
52,300
11,750

6(1)

None

Coca-Cola—

1(1)

Electrical Equipment and Electronics

None

Mead Johnson

500

Pepsi-Cola

1,500

May 4,1959

Exchange

Warner-Lambert

May 4, 1959.

Members 7{cw Tor\ Stoc\

4,700
11,000

Schering
Smith, Kline & French
Upjohn
Bristol-Myers

None

Beverages

30,

Co.

None
2

None

National Distillers & Chemical_

1,000

1959, to shareholders of

None

Lilly (Eli) "B"
Merck

2(2)

4,300
11,400

5,000

Carter Products

(DM-50 ADRs

share from earned in¬

Rhoades

2(2)
6(4)

Abbott Laboratories

Vick Chemical.

None

Mellon National Bank & Trust

Carl M. Loeb,

54.900

None

20,000

None

declared

;

American Can

2(1)

22,000
8,500

1(1)

14.860

Chase Manhattan

None

to Stockholders available

3
2

4,400

Pittsburgh Plate Glass

None

20,500

...

None

Report

4(2)

26,200
10,700
10,000

5,000

None

Latest

None

Glass

Owens-Illinois Glass

None

1 (

Trust

Electronics Fund, Inc. have

2(2)

2,200
None

Corning Glass Works
Libbey-Owens-Ford Glass..
Owens-Corning Fiberglas—

None

6,674

4,200
50,000

The Directors of Television-

Copy

Can

4,000

______

Chemical Corn Exchange
Guaranty Trust

135 S. LaSalle St.,

7,000
;

Electric Coal--

Continental

11,000
26,000
.12,900
27,400
7,000
9,500
26,700
18,000
5,300

2(1)
2(1)

None

Eaton Manufacturing
Electric Storage Battery

13,400

2(1)

ELECTRONICS

record

Coal——

Pittston
United

900

2(2)
4(2)

2(1)

Banks

TELEVISION-*

May

Creek

2(1)

None

Dana

4,200
43,900

33,600

payable

•*

Consolidation Coal

None

Champion Spark Plug_______
Clark Equipment

28,500

None

per

Drug Products

Automotive Equipment

2(1)

come,

■'

Eastern Gas & Fuel—

Island

Containers and

6(2)

dividend of

Coke

and

Automotive

2(1)

5,000

None

—

...—_

3(1)
5(2)
4(2)

38,900
54,820
11,400
■

500

______

„

None
None

4,700
93,300

Cyanamid--

Coal

4,898

—

Airlines

None
None

—

None

buyer in the
(44,800), with
United Accumulative coming along
with
a
20,000-share acquisition.
Coincident with its large secon¬
dary offering, A & P was bought
by four managements in a total of
180,500 shares, including 110,000
Bullock

Eastern

KD
Kl)

65,700

Carbon

Air Reduction

Retail Issues

8,000

Internat'l Minerals & Chemicals

2(1)

Stauffer Chemical

Airlines

Brake.

300

2,200

2(1)

18,626
9,400

...

United. Aircraft__

Spencer Chemical

204.412

Lockheed

4,000
7,400
36,000
25,100
5,800
4,500
5,000

5(2)

18,700

Bendix Aviation

10,500
10,000
9,100
110,400
62,600

-A-..-

Aircraft and Aircraft Equipment

Equipments Ancillary

Favorites
As

Sold

—Bought—

No. of

Trusts

O. and Rio Grande encoun¬

No. of

B. &

Rail

Thursday, May 7, 1959

Changes in Common Stock Holdings of 67 Investment Management Groups

United Accumula¬
tive; with Fidelity the only seller.
William,

24,600
2,600
None

15,800

12,000
5,000
13,000
3,100
21,000
:
3,200
900

1 ?

None

2(1)

5(2)

38,500

Products

15,000
15,800
1,300
4,800
4,000
1,800
6,000

Foremost Dairies
General

Foods

Heinz (H.J.)

Minute Maid

Penick & Ford

Pillsbury
Swift

None

United Fruit

—

B err den

•

—

None

—

General Mills

None

-500

13,000
39,000
4,100

Corn Products

None

Standard Brands—
.

None
1

Insurance—Fire &

2(1)
2

•2(1) —
i;

;

2(1):
i

*' None

3,250
7,000

Continental

Ca^sualty_

Hartford Fire

750

Insurance Co. of North America.

None

KD
1(1)
1(1)
1(1)
None
1

2(1)
3(1)
\

_i—__

2(1)

500

1,000

Travelers Insurance————_—2

KD
2(2)

American Insurance—

10,000
2,000

I
None

3,000

Maryland Casualty.——r__——i:"'. 1,000
Great

2(2)
2

None

__i—___''T

900

5,000
,16,000

Casualty

Fireman's Fund

4,000

1(1)

Volume

Number 5844

189

The Commercial and Financial Chronicle

(2113)
—Bought —
No. of

Sold

■"

—Bought—

■

——Sold

No. of

No. Of

No, of

No. of

No, of

No. of

Frusts

No. of

Trust*

Trusts

Insurance—Life

Hudson's Bay Oil & Gas,.—
Louisiana Land & Exploration

5,000

None

5,100

Aetna Life

6,700

Connecticut General Life-

3(1)
1

700

Franklin Life.

—

National Life &

13,800

1,000

2(2)
4(1)
7(3)

None

Accident

Life

None

4(2)

None

31,400
80,000
34,000
46,600
2,100
127,300
9,200
27,100
7,500

Machinery, Machine Tools and Industrial Equipment
3(1)
5

3(1)

Black & Decker

9,600
9,200
10,000

3(1)

10,100
5,300

4,100

1 V;.2

4(2)

2(1)
2

None

KD
2

11,200
5,000
10,800
12,100
8,600

6,000

7(2)
4

5(1)
7(1)
3(1)

68,300
3,400
39,500
25,200
33,800

4,000

None

49,900

Socony Mobil Oil

1(1)

2(1)

21,700
62,800

Standard Oil

2,500
1,000
2,400

Singer lVIfg
Universal

Winding
Worthington L—

7(1)

KD
Kl)
1

None

2(1)
2(1)
1

Allis-Chalmers

3(3)
5(1)

Machinery

25JOO

„

5(4)
2(2)

Aluminium Ltd

117,100

Aluminum Co. of America

31,500

Aluminum

200
-

29,528
26,010

U. S. Foil "B"-

80,500

Cerro

600

2(1)

15,500

6(3)

26,000

2(1)
4(1)
2(1)

3,400
10,500

11,000
18,000

7(4)
3(3)
1(1)
6(2)

46,500

General Cable

Inspiration Consolidated Copper
Copper—
Magma Copper
Miami Copper—
Phelps Dodge
Revere Copper & Brass

1(1)?

None

Kl)

3(1)
None

None

400

None
3

7,800
58,300
25,000

None

KD
None

146,010

2(2)

11(2)
2(2)
1

None

68,500
21,000

2(1)
1

3,000
None

21,000

13,000
33,000*
10,900

None

—

None

5,000

1(1)

2(1)
2(2)

12,600

None

3(2)
3(1)

3(2)
1

3(1)
2
2
1

7(2)
2

3(1)

30,471

International Paper—.
St. Regis Paper
Scott Paper—

6,000
3,000

—

•

»'

Utilities—Electric

American Electric Power

and

INC.

___.

None

5,500

None

3(2)

Arkansas-Louisiana Gas.——.

2,000
35,135
15,080
1,500
1,600

Texas

Eastern Transmission—

14,868

Gas

3,500

400

1
1

.5,000
18,600

3(1)

51.TOO

1,200
1,842

Continued

Gas

Mississippi River Fuel

National Fuel Gas
Pioneer Natural Gas

20,000
122,000

Republic Natural Gas
Gas

your

page

from
'

upon request

investment dealer,
or

' '1

fund research and

1,000

Do the

you've always wanted?

1(1)

None

Line.

25,000
1,000

Panhandle Eastern Pipe Line__
United Gas

27,300
25,000
20,200
84,000

—

opportunity

Transmission

Northern Natural Gas

isn't this the kind of

Kl)
1(1)
2(2)

5, N. Y.

Tennessee Gas Transmission—.

Lone Star Gas

NEW YORK

3(3)

17,000

Southern Union Gas

67 WALL STREET

salesmen:

2(1)

17,900

Transcontinental Gas Pipe
Western Natural Gas

Prospectus

from

management, inc.

Texas

800

Commonwealth Edison._

1(1)
1(1)
None
1

•

Colorado Interstate Gas

Southern Natural

22,200

2(1)

76,300

13,230

4(2)

9,200
35,000
20,600
15,700
1,000
26,500
43,000
31,923
2,000
119,300
2,000

None

Carolina Power & Light-

10,900

4(1)

American Natural Gas

1(1)

10,250

American & Foreign Power
Arizona Public Service

Cleveland Elec. Illuminating—
Columbus & Southern Ohio Elec.

3(2)

1,700

FUND

5(3)

6,000
3,000

None

Zinc

2,400
14,700

3d)
3(1)

PIONEER

Gas

Central Illinois Public Service.. J
Central & South West.

None

American Metal Climax

1(1)
1(1)

—

4,000
19,400

Hollinger Consolidated

None

6,000
3,000

Joseph Lead

N. Y.

Champion Paper & Fibre rights'165,000
27,800
Kimberly-Clark
26,300
Union Bag-Camp Paper-—1 44,000
West Virginia Pulp & Paper
2,200
Crown Zellerbacli

Street

1(1)

950

400

International Nickel

El Paso Natural

East 42nd
New York 17,

None

Calgary Power

3,01)0

None

Natural Gas

11(1)
4(1)

of Ameriea
60

11,550

—

None

New Jersey

INVESTORS PLANNING CORP.

6(2)
15(2)

Mines

St.

from

national distributor

Champion Paper & Fibre
Container Corp. of America
Fibreboard Paper Products
Great Northern Paper

Public

Metals and Mining—Other

8,000
70,000

Prospectus and Literature

Paper and Paper Products

Kerr-Addison Gold Mines

Gunnar

None

2(1)

TRUST

None

53.200

None

Mining—Gold

5,000

INVESTORS

2(2)
3(1)
2(1)
2(2)
2(1)
7(1)

None

Products*

Standard Oil (Neio Jersey)

19,100
14,500.
2,900
26,380/
1,510
10,200

KD!

None

10,200

—

2,700

Kl)
2(1)

2,500

Amerada Petroleum

GENERAL

None

Union Oil of California—,
Union Oil & Gas of La. "A"
Oil

None

—

Universal

96,000
34,200
1,500

___

Gasoline

TXL Oil

400

None

Kennecott

Blyvooruitzicht Gold
Homestake Mining

Texas Natural

;

10,000
20,000

de Pasco

Metals and

2(2)
2(1)

California-—

(Indiana)
Sunray Mid-Continent Oil
Texas Co. (now Texaco)

27,660

Anaconda

88,500

For Income

1(1)

•Formerly Universal Oil Processes, Inc.

Mining—Aluminum

Reynolds Metals

Standard Oil

8,300

15,100
26£00

—

Oil

Skelly Oil

52,200
1,380
25,000
26,193
3,000
53,800

None

Emhart Mfg—

Signal Oil & Gas
Sinclair

92,800

5,800

„

.Metals and Mining—Copper

9(1)
5(1)

Shell Oil

Kl)

None

Ingersoll-Rand

Kaiser

Royal Dutch Petroleum

3(1)

17,000

Joy Mfg

Metals and

Oil

6,000

United Shoe

Richfield

None
__

Ex-Cell-O

5,000

Dresser Industries

None

10,000

Ohio Oil

Phillips Petroleum

None

Cooper-Bessemer

Development

None

Caterpillar Tractor
Chicago Pneumatic Tool
Combustion Engineering

8,500

2(1)
3

Mission

12,100
28,000
13,000
18,500
31,000
5,000
13,000
20,000
2,100
11,600
6,000
5,300
12,500
35,000

2(1)
2(1)
4(3)

Possibilities in

★ Top commissions plus profit-sharing plan

ELECTRONICS

★ No non-productive "paper work"

Interest You?

★ A "line" that brings you respect and multiple re-orders

WHY NOT

★ Liberal insurance and endowment benefits for you
and your
For the

Office Equipment

investment

man

INVESTIGATE

family

who likes to live well and

help others improve their lot, too,

few things are more gratifying to sell than Mutual Funds. Our salesmenof whom had not sold Mutual Funds or securities of any kind

TELEVISION-

some

10(1)

8,212
11,500
10,900
2,300

200

2(2)

2(1)

U1)

2,600

IBM

4,036

Moore

None

Corp. Ltd
National Cash Register
Pitney-Bowes

None

None
3

2,135
107,500

Burroughs

our

8,500
None

Addressograph-Multigraph.

4(2)

Oil
2

6(2)
5
5
6

4,700
44,600
35,740
58,100
18,540
32,200

Anderson-Prichard Oil.

5,500

Atlantic Refining

Norie

None

Cities Service

20,948

Continental Oil

10,000
12,128

Gulf

Oil

Honolulu Oil

before—are earning top commissions in their own communities. Through

3(1)
2(1)

24,000

Affiliated

profit-sharing plan, they

Representatives of King Merritt & Company are entitled to
participate in an extensive program designed to help you find greater
security and peace of mind not only for yourself but for your families.
In addition to liberal profit-sharing features, the SAFE Program includes
a Service and Stability Plan
(including loan privileges) based on services
you render to your clients, and Life and Major Medical Insurance that
increases in amount with your production.
interesting? Call

Prospectus

upon

request

sales

Exceptional
ization

New York

—

Chicago

—

Atlanta

—

write King Merritt, President, for full details.

MERRITT & CO., INC.

Openings for

Los Angeles

85 Broad St., New York 4, N. Y.
Offices in

managers

J^riSl'tSlning

Oj,^orofit-«taaring- * utt
or

misaionBandproi
,

Specializing in Mutual Funds

Headquarters
Several

Safe-KTWS?
Lord, AbbRtt & Co.

An International Organization

Common Stock Investment Fund

income

ELECTRONICS

FUND, INC.
A Mutual

In Canada

t&ssssu**--

WHitehall 4-2220

Fund whose

assets

are

growth of capi¬
tal and income in

companies actively
engaged in the Elec¬
mi

Get the

tronics field.

Booklet-Prospectus of this

Mutual Fund
ment dealer

now

from your invest¬

Television Shares

Management Corp.
135 S. LaSalle St., Chicago 3,111,

115

Broadway, New York 6, N.Y.

NnmA

Address,

King Merritt & Co., (Canada) Ltd., 201 Notre Dame St. W.,
.

primarily

invested for possi¬
ble long-term

Principal Cities

Montreal—Victor 9-7708

Edmonton—ALberta 4-7537
,

•

Invest¬

ment

All Sales

KING

objectives of this Fund
long-term
capital and
growth for its shareholders.

well

have several

Sound

possible

openings now for men who have the potential to
become sales managers in a few years, men qualified to organize and
direct the work of other salesmen. Mutual Fund experience is not
essential. You will get initial and continuing support from our Area
Manager in building up your business. We handle all routine paper work,
leaving you full time to sell. You will have behind you an international
organization, one of the most progressive and fastest-growing in the
Mutual Fund field today. You will be selling something nearly everybody
wants through a plan that's just now reaching the height of popularity.

Investment
are

building estates for themselves

for their clients.

Fund
A

are

Montreal 1, Quebec, Can.

King Merritt & Co., (Canada) Ltd., 521 Tegler Bldg.,
Edmonton. Alberta, Can.

City-State.

The Commercial and

(2114)

Continued,

Why not Get the

Trusts

Shared

SELECTED

2(1)

AMERICAN

1
2

inc

6(1)
2(1)
I,. •

mutual investment fund

diversiied portfolio of American
securities, selected for the possibility of
which supervises a

long term GROWTH of
current INCOME.
—for FREE copy

capital—-ft«4

3
3

of prospectus and

and

name

below and malt h

coupon

ether information—fill in

address

Selected Investments Co.

3(1)
135 S. LaSalle St., Chicago 3,11L
Please send mefree prospectus and other
Information on SELECTED AMERICAN

SHARES.

CF 2-5

2(1)
7(2) V
3(1)

4,000

2(1)

10,000
9,800
21,580

5
Address.

Jms.

City

47,200
141,500

5(1)
2

4,500
20,000
15,840
22,300
4,600

2,000

2(2)
3
3

A balanced mutual fund providing,
for distribution of income and prin¬
cipal in accordance with an individ¬
ual trust

account

for each

investor^

,•>;

3(1)

Seaboard Air Liiie.

;___

Southern

29,500

3,000
10,000

Southern Railway 1
Union Pacific———

1(1)
None

—

Baltimore & Ohio

7,000

Light & Power

8,000

ACF Industries.

8,500

American Brake Shoe

None

3,966

General American Transport:—
General Railway Signal

None

.None:

None

5,000

Pullman

19,100

None

Westinghouse Air Brake________

1,700

11,000

2(1)
1

Stores

(H. L.)
Kress (S. H.)

Macy (R. H.)
May Department Stores
Montgomery Ward

;

Penney

18,500

British Columbia Telephone-—i
Gen. Telephone (& Electronics).

wooiwoi-th

——.:

ACF-Wrigley

None

1(1)

7,400

General

Tire &

29,558

Goodrich (B. F.)
U. S. Rubber

13,760

Goodyear Tire & Rubber----!—

36,700

Armco St eel

4(1)
Prospectus from

18,100

American Tel. & Tel.—

your

Investment Dealer

DISTRIBUTORS
Stat* Street, Boston

v 1(1)

57,817

— —

■

5,000

8(2)

5(1)

50,600

7,000
!

Metropolitan Broadcasting
Motorola

1,000

12,500

Paramount Pictures

500

22,294

Columbia Broadcasting

49,500

12,300

None

Warner

Zenith Radio

Bros.

Pictures

/ I

Inland

•

.35,200

4v.
None

41"

Iron
_

,39,000

6,400

—

None

1,100

1 :

1.000

"A"_

U. S. Steel

1,000

Laughlin Steel___——_

;

McLouth Steel_
National

200

None
2 -

13,300

—

Allegheny Ludlum Steel-Bethlehem

: 19,000

Youngstown Sheet & Tube_____

16.500

2,ooo
None

Steel

Republic Steel

13,700

:13,908

Steel—

.7(1)
•

2(1)

None

Interlake Iron

2(1)

2,800

Jones

3';

2(2)

6,900

(M. A.)

90,800
23,500
r
34,500
•37,800

2(1)

Twentieth Century-Fox——_4,000

;

4(2)

1,000

Hanna

>10,600

6(2)

2(1)

1,500

None

■f.

•

1(1)

None

——

Carpenter Steel
Granite City Steel

23,100
2,000

4(2)
2(1)
3(2)

3,000
■20,600

—

and
_..

7(1)

16,000

—

— — -

None

4,300

1(1)

American Broadcast-Paramount

18,800

4(1)

3(1)
1

Radio, Television and Motion Pictures

2(1)
Mass.

—

v:-' a

MASSACHUSETTS LIFE FUND

Western Union——,—

7,500

Founded 1818

5,700

Steel

None

14,100

£—

Rubber——

[

1(1)

,
■

Armstrong Rubber "A"

.None

None

16,600

Firestone Tire & Rubber

19,300

None

62,700

_————

2,000
2,800

6(1)
5(2)

2(2)

15.600

—

Rubber and Tires

2:i

)

20.900

Simpsons Lid.

19,400,

None

i 33,400

Stores

2(1)

None

(F. w.)„:::

2(1) ;

1J,500

10,300

Winn-Dixie Stores

9,800
3,000

Public Utilities—Telephone and Telegraph

35,700

'■

None ,V;

6(2)

;

1,100

(J. C.)__-——1

Sears, Roebuck
Spiegel———

None

2(1)

2(2).

400

9,700

:,2

1(1),
None

None
—

Kroger

(.:•

6,600
None

■

3(1)

2(1)

1/1)
1(1)

-i

4(1)

including purchase of 180,000 shares by Electric Bond and Share. * §Not
including sale of 12,900 shares by United Corporation.
:j:Not including sale of
71,400 shares by United Corporation.

&Cbo/ufa(fjCtfi
fftiOutattca r(octtt/ta*iy, Trustee

3.000

31,090

Loblaw Cos. "B"

11,500
91,800
13,600
17,100

6(1)

2(l)

;

(

Green

•

3(1)

None

20.000

Great A. & P.——

1(1)

None

;

None

2J2)

2,COO

Bros

*Not

lAlabdacfiudelfo

14J)00

Trade

Grand Union——

1,000
33,900

6(3)

2
1
§3
( 1
2(1)

Gimbel

186,500
42,000
8,000
2,000
10,000

American

5,500

4(3)
4(2)

1(1)

6,000

35,000

„

Retail

107,400

2.(1)

Railroad Equipment

None

KD
2(1)

6,000

5,612

San Diego Gas & Electric——

Denver & Rio Grande Western_

$2(1)

——£

7,000

Federated Department Stores.
First National Stores--

Public Service of Colorado

2(1)

4.000

None

Ohio Edison

;2(1)

72,600

2,675

None

1,600

Virginian Railway

500

11,200

Pacific

9,000
None

___—„_

None

2(1)
2(1)

14,500

—

None

4,000

Tucson Gas, Elec.

Norfolk & Western

57,100

22,700

;

3(2) \

Central-—;

3(1) "

5,000

Illinois

None

2.200

—

1
1 ■ >
1(1)

Niagara Mohawk Power-.-.—-.—* +13,000

None

Northern

23,700

2,000

Kansas City Southern—_______
N. Y., Chicago & St. Louis—

Great

39,700

—

'500

26,400

7(2)

4(3)

New York State Electric & Gas-

None

9,500

2(1)

1,000

frone

38,060

Atlantic Coast Line-__„______

Chesapeake & Ohio—„_

45,700

3(1)

No. of

12,500

Florida Power

50,000

Atchison, Topeka & Santa Fe_

2,000"

3(1)

60,000
17,400

2(1)

145,133

Dayton Power & Light

3(2)

21,000"
2,700
89,700

None

2(1)

Life Fund

Columbia Gas System---

None

Trusts

None
2
None
2(2)

None
24,000
None
13,500

2(1)

1
1(1)

—

300

None

Southern California Edison
:
4,000
Southern Co...
— v
5,000
Southwestern Public Service--7,000
Tampa Electric
700
Texas Utilities
6,000
Union Electric (Mo.)————
25,000
Virginia Electric & Power——
1,300
West Penn Electric
§27,200
Wisconsin Electric Power—
2,000
Baltimore Gas & Electric.-16,000

7,200
3,300

Massachusetts

500

8(1)

4,900

—

44,000
51,500

-Sold-

No. of

1(1)
%
I
2
r
3
None
None
2(1)
1
None
1
None
1
2(1)
I
1
,
None
None

13,900
8,800
None
1,000
None
1,800
44,700
4,100
4,600
None
None
3,400
17,000
47,000

South Carolina Electric 8c Gas—

7,000

Nmm.

Idaho Power—
Illinois Power
—
Kansas City Power & Light—
Kansas Power & Light—
Kentucky UtilitiesLouisville Gas & Electric
Middle South Utilities-.
—
Minneapolis Gas. —
Montana Power
New England Electric System-—
Oklahoma Gas & ElectricPacific Gas & Electric
.—
Pacific Lighting
——
Peoples Gas Light & Coke
Public Service Electric & Gas—
Public Service of Indiana
Puget Sound Power & Light
Rochester Gas & Electric

6,500
1,400*
2,000
4,000
18,200

Thursday, May 7, 1959

No. of

Railroads

1
1
1

6,100

■•:■■■

Community Public Service.——
700
Consolidated Edison (N. Y.)——
2,500
Consumers Power—
4,800
Detroit Edison
—
15,000
El Paso Electric
9,200
Florida Power & Light
—13,000
General Public Utilities——
■;■■■
6,767
Gulf States Utilities
/ None
Houston Lighting & Power
None

2,000
19,700
22,600
21,000
3,500
3,600
34,450"'
9,800.
4,400
10,206
40,100
4,100
20,000
1,250-

Trusts

No. of
Trusts

No. of
Shares

No: of

about

No. of

Sold

No. of

—Bought—

page

—Bought—

investment facts

from

Financial Chronicle

20.400

>-4

None

42,400

5(3)

110M0

Steel

4(1)

Textile

•«'.

•

48^600 ',r American ViscoseJ

\r- f

6,500

2-(l)y;
2(2)

booklet-

Ts,

3(1)

18,700
•

None

tl None
ii

Celanese

Rayonier—
Stevens (J. P.)

19,600

;

55,500

11,000

3,500

l
i

2(1)

prospectus
describes

IMM.MMI

•

>.»i, •

•».«

Electronics-Electrical

Missiles-jets

Equipment Shares

of GROUP SECURITIES, INC.

possibilities of selected
mon

Automation
fund, inc.

A mutual fimd offering an
investment in the growth

This Mutual Fund seeks possible
growth of capital

com¬

by investing in

active

stocks of the aviation—

electronics—electrical equip¬
ment industries.

missiles-jets

Prospectus
Nan*.

Ira

the

may

widely diversified list of Companies
and

be obtained from

your

automation

fields.

investment dealer

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

Ad dress

Nationally distributed through investment dealers by

\CAY

•

Cxi

Name.

.State.

Deia$?are Distributors, Inc

i....

DISTRIBUTORS GROUP, INC.

Address.

•

;

63 Wall Str—t, N«w York 5, N. V.

| City
f

901

■» ■ -

: *
» » —*

I- •* m *'

m*mm i-mrnm mtm—

-.—-.--mm

-X.

m-m

Market

Street

;

Wilmington 1, Delaware

189

Volume

Number 5844

The Commercial and Financial Chronicle

-Sold-

—Bought—
No. of

No. of

Trusts

•V

rr->

.};/■/ aVf

Continued

No. of
•

Y7*/ A&y&wk y

No.of

; fl. 'L

jrom

87,000 shares, of which 80,000
comprised a new commitment by
Guaranty found
only sellers, including Tri, Value
Line Income, and Group Securi¬

page

Trusts

Affiliated Fund.

ToMec©///

/Y*/

•:
:

«///i ?

2(1);Y

4,500

American

4(2) .;^.25,900

'Cii'

r»

;

4,700

•tV

(2115)

5,000

ties

3(2)

id)/;

by / the

Affiliated

Common.

also

Funds damental; and Newmont Mining bought 50,000 shares of Hanover.
Group; but/ was closed-out';by (a large holder of Continental In merging Morgan there was
None
None
Philip Morrjs
—__1
3(1)
16,700
Knickerbocker. Gimbel and Macy Oil).
...
None
Continued on page 32
/ None
2(1)
Reynolds Tobacce i-i//
16,300
each were bought by two man¬
SELLING HITS THE
agements, with none selling. On
;
Miscellaneous
,//
the' other
hand, First National
FINANCE COMPANIES
2 "'*;./
Air Products
t
13,600
2(1)
37,500
Stores, Kroger and Simpsons were
1:
Apparently still sensitive to the
American Bosch. Arma_„—
3,000
/;// moderately sold, without any buy¬
12,100
news
of Ford's contemplated re¬
None
None
I * *.53,600
American Machine & Foundry
ing. Principal seller of both Kro¬
None
entry into the financing of its
None
American Photocopy Equipment
// 3(2) Y12,300
ger and First National was One
i ;„'■/.'
cars, and reacting to uncertainties
Brunswick-Balke-Collender
2,666
■it■■■: 3(2)'
9,800
William.
Scandal-ridden
H.
L.
Eastern « Industries' i
_:.____
2(1)/i: Green was sold by only one man¬ arising from developments in the
7,325
Fansteel Metallurgical
4,270 / ;i//YY agement, with four buyers during Justice Department and in Con¬
____/
:
3 : rv
5,500
gress,
the leading finance com¬
None
None/ the
fxr, inc.
> r. 3(3)
4,500
quarter/
:'
panies were hit by substantial
/ 2,000
Giannini .((iv/M.)
/i/:
id) 2v io,ooG
selling. Commercial Credit was a
Z;
900;:. •/;1^'/ •;/"/ Rubbers Resilient
Glidden
Y/ 1 '. V C : >1,000,
target of the sellers, with liquida¬
1(1)
12,200
2
Grace (W. R.)_____:
'?
788
.•Best liked in the rubber and
tion by One William, Investment
3(1):
: tire
28,500*// C(1 )// 63,925 v .Halliburton Oil Well Cementing
group was U. S. Rubber, while Trust
of Boston, and Delaware.
,1
2,000
I I.'
*■; *
PHILADELPHIA
.1,000
Haloid Xerox
1
the good buying of Goodrich was
C.I.T. Financial was sold by seven
None I
.; MacMilian
2(2) > 33,500
33.500
& Bloedel UB"______ /None
about offset by selling.
; f;
;
FUND
managements, with three buying.
1 "•//:■"/■
400
1
vMleGraw-Hill Publishing
7,500
INC.
The sellers included Wellington,
7,000 /:/2(l)Y', Steell
2 ' • •
McKesson & Robbins
______
1,500
Bought'
Dividend Shares, National Secu¬
A Mutual Investment Fund
.1 / //;
12,500
Metals & Controls!± -_"_
l^/VY 5,200
Steels were ' generally bought, rities,
Delaware, M.I.T. (40,000),;
1(1)/
6,200
4 .i'-Y/12,20C
Prospectus on Request •
Nfewmont Mining
with two exceptions, namely, Al¬ Diversified Investment Fund and
..None
None
"
Newport News Shipbuilding.
-7,800
legheny Ludlum and Bethlehem. its sister Fundamental Investors,
2(1)/
35,000
Outboard Marine
67,000
Of the former, Lazard was the and Loomis-Sayles.
&a/uiejfoeJc VP c(do.
•
1
1,000
Polaroid /:
/
1,867
seller of a 15,000-share closeout.
DISTRIBUTOR
•
11,000
Procter & Gattiblej.—
:;.,i....-:,v
: 300
In the latter, Wellington dwarfed
(established 1ss1)
*
GROUPS MEETING MIXED
None /
/'None
/// ■
-41,500 'Remington Arms' !ri ___i. 1 _t^
all other sellers, with a closeout
Members New York Stock Exchange
*
/ None /
//None
REACTION
2(1) r
21,000
of 85,000 shares. -One of the two
123 So. Broad St., Philo. 9, Pa. •
None
2(2)'
22,000
Ry dei/System* ////r./_:r_--— Y None
buyers of the issue was Lehman Aircrafts Divergent
None " !
None
Klngsfey 5-3311
*
2
" .'
1,450 " Signode Steel Strapping.—
with a new acquisition of 8,000
North American Aviation con¬
9,000
1(1)
*' 1
Stone & Webster—
-'3,000
NAME
I
shares. Best liked steels were Re¬
tinued as the most popular air¬
•'
3,000 / 1 :Y
■>' 1 :
Thiokol Chemical
1,250
public, U. S.. Steel, Armco, and
ADBRESS,
craft, its buyers including Putnam,
Unilever N.V. (50-guilder shs. or
3(2) : •21,700
Jones & Laughlin.
Eaton & Howard Stock, Fidelity,
None
/W.Y
None
CITY
equivalent)
_/ _—1_
— _ .STATE.
and others. Once more Martin was
4(2)
16,600
American Express
2(2 ) - 'H 4,000
Textiles Moderately Bought
the runner-up, its buyers includ¬
2(1)
Colgate-Palmoline—-11,000
J None '■None
The cyclically recovering textile
ing Fidelity, Investment Co. of
3(3)
Filtrol
47,000
None
None
sector again attracted some buy- America,
Madison, Dreyfus and *
2(1)
Genesco (formerly Gen'l Shoe)i /•/
30,200
'2,000
( ing to a moderate degree. Ameri- others. Also in fairly good de¬
2(1)
k 1
•/.
.20,000
20,000
Gillette
102,800
can- Viscose
was
bought by six mand
was
General
Dynamics,
2(lp
1 :,j
i
2,000 ■ Hdrhison^Wttlker Refractories
3,300
'funds, including Selected Ameri¬ with Value Line the largest single
2(1)
Hert^^-^-^^--------- 28,000
can, Affiliated, Investment Co. of buyer.
Sold were Boeing, re¬
3g 780
2(1)
''b I None / -None1 Jnterpr.6vihcial Pipe Line_:____ 39,780
and Axe
"A." There versing its popularity of the nre2 ../;• 'I /America,
'/-.5>°M y Johnson & 'Johnson-!-——— < 20,000
/ were no sellers.
In erratic Ray- ceding quarter, with a 110,0003.//;
IN one \*';Nom b Lees (James)'
!r—9,400
2(2)
/ onier there was as usual, a large share sale ,by M.I.T.; Dougias,
■■';; I.; None 'f jtore > yRdnson _ _
41,500
turnover. Its two first-time\buy- United
Aircraft,
and
Aerojet;
^ -v-;;
" ?' -' • > . ^ ers {.included Madison Fund * and General.
ill# OUI« itAIIMAil AM
berg, Senior Partner of Goldman,:- Bullock./ A 55,500-share sale was
H T otaie UOUIlCII On
Sachs & Co.
.'I-:/:///::V;.'/Vv/;(.\made by Wellington.
Airlines Mixed
-3>v

«•

United

_—

_ _

______

•

-——

—

••••••••

——

------

—

Investments
//v.ALBANY,
.^/trbller Arthur V
nopftced the .forn«.«-rv

;

The other members are: ,,. : W.Richard K. Paynter, Jr.,' Execu-Tobaccos Continue Popular
_

Opinion
rr .r.-

rr~,.tVuomoanv:

Vice-chairman,

mcnara

jl«.

ivui-

tices

and

policies pursued by the
and to advise

Retirement System
.

the

Comptroller

grams.,

future

/,.;,■

Members
•

The

««««

by Kent-

FirstrNa.-'^gS^tSSfa^i

City Bank 0f New YOrk:

;
'

1 will

serve

pro-"

;.
! without

compensation and will meet with
v
the
Comptroller on a periodic
basis to analyze the System's, investment

current

portfolio in the light of
market
conditions
and

and to conComptroller on re' /

long-range forecasts
suit

with the

lated
The

matters.

Council

will

here

was

under the

Chairmanship of Sidney J. Wein-

R, G. Bender, V.-P.
—

son

were

Morris

Street and Madifirst-time buyers. Philip

light,

was

arid Braniff.

divided about Amer¬

Airlines; the six buyers be¬

ing led by One William, and the

Concord Fund.

A sub¬

stantial proportion of the

airlines'

sellers by

selling

originated

from National

selling.

attracted Aviation
Corp.,
which
signifi¬
unaccompanied by
cantly reduced six out of its nine

Ray G.

Inc., Oliver Building, as VicePresident and General Manager.
Mr. Bender has been in the securities and
allied fields since

Dreyfus Fund is a mutual fund

in which the management hopes

Miscellaneous Favorites
Miscellaneous
Miscellaneous

well
well

liked
liked

The

bank

stocks,

highly

re¬

were: Halliburton Oil Well
Cementing bought by Affiliated, garded as "value items" in many
Wellington, etc.; American Ma- quarters, were for the most part
chine & Foundry, bought by the neglected by the fund managers.
Tri and United Funds groups;
First National
City was picked
Outboard Marine, bought by Afsues

filiated,

One

William,

and Fun-

and

risks in that direction.

Banks Irregular
is-

to make your money grow

takes what it considers sensible

holdings of airline equities.

Bender, formerly Assistant VicePresident, of Investors Planning
Corporation, has become associated with Arthur & Company,

The

and/ Reynolds

buying

some

any

Of Arthur & Co.
PITTSBURGH, Pa.

America6 S?ate

ican

quite

selling coming rather heav¬

ily in Pan American

of/which

,;,Ketirement system.

Buying
with

Booklet (prospectus) free from your
or

dealer

DREYFUS Corp.,50B'way..New York 4,

Yen nay

have

•

Fill booklet ekeot

by three funds, to the tune of

1942.

\Xl/

AXE SECURITIES

lorida

AXE-HOUGHTON FUND A, INC.

A mutual fund

AXE-HOUGHTON FUND B, INC.

GROWTH

^ AXE-HOUGHTON STOCK FUND, INC.

investing in a list of

FUND,

AXE SCIENCE & ELECTRONICS CORPORATION

CORPORATION

The pro*p«ctus

business

Prospectuses available from
your

^ AXE-TEMPLETON GROWTH FUND OF CANADA, LTD.
Head Office

423 Texas National Bank Bid?.,

bat

in.

South,

entire

not

doing

necessarily

Florida

and

believed

tha
have

growth possibilities.

& Order Room: 400 Benedict Ave., Tarry town, N. Y.

Telephones: MEdford 1-2272

TEXAS FUND MANAGEMENT

in.

demiciied

Investment Dealer or

COMPANY

describes this Fund

which Invests in companies

TERM GROW TH OF CAPITAL AND INCOME.

ihc

NAME-

MEdford 1-4612

I
ADDRESS.

Teletype: Tarrytown, N. Y. 1708

CITY

Branch Offices:
731 Fifth Avtn N. Y. 19

Houston 2, Texas

430 N. Camden Drive

2803 Russ BeiMiag

Beverly Hills, Cel.

San Franeisee, Bel.

BRadshaw 2-8258

EXhrook 7-0715

COlumbus 54)250

15 William StH &Y. 5
HAnover 2-M62

i Frank B. Batman Ltd.

National Distributor
143 SonHi

County lead

FoliBiatfc. florida

{
■

j
|

The Commercial and Financial Chronicle

(2116)

Smith, Appointed by
Ma!'! Sees. & Research
111. —The

CHICAGO.

appoint¬

ager
of Wholesale Distribution
f the National Securities Series
mutual

,funds
t

unced

Henry

of both the Erie
and
the
Delaware,

Managements

Merger

Railroad

to the communities on both

lines."

The two roads now operate

jointly

agreement on merger terms. The
announcement/ of the consolida¬

Lackawanna trains will use some

tion

Binghamton

liked

Best

group

was

Cement,

fol¬

Johns-Manville. On the
other hand, there was only selling
and no buying of Carrier Corp.,
Lehigh Portland Cement, U. S.
lowed by

Philip C. Smith

the

Corpora¬
Gypsum, and U. S. Plywood.
tion, Mr. Smith was previously
Wholesale Representative in the
Cross-Current in Containers
Metropolitan New York area. He

joined National in 1953

divergent

Sharply

Man¬

rapidly

reaching

with

its

improving

Railroad

son

withdrew from

ne¬

industry

this

Portland

moved

Railroad

Western

proposal was made just two
weeks after the Delaware & Hud¬

Radio-TV Varied

Fidelity.

General

Research

President

the

Erie-Lackawanna

Lackawanna

Building Irregular

Vic

Paper continued
joined
therein
by
Paper Products.
On
other hand, selling came into

liked,

Union

National

International
well

Consistent

Simonson, Jr.,
President
of

Corporation,

Papers Divergent

Fibreboard

ica and

Securities

Funds

Madison Investment Co. of Amer¬

n no

Thursday, May 7, 1959

Bag, Crown Zellerbach and
Kimberly - Clark.
Significantly,
its competitor Coca-Cola was con¬ M.I.T. sold its entire block of 165,fined to liquidation — by M.I.T., 000 rights of Champion.

11 in p is
a s
b e e n
t

transaction, a 2,187 pur¬
Lehman.

one

chase by

Pepsi-Cola was bought by two
funds, Investment Co. of America
and United Income Fund; while

the

Some Sail-Trimming by the
Beverages Mixed

/investment

Continued from page 31

Man¬ only

ment^ Philip C. Smith as

position,
American
Broadcasting-Paramount was lib¬

gotiations which had been under¬

erally bought; the purchasers in¬

the

main

(30,000)
and
Shareholders' Trust (15,000newly).
Largest seller of CBS was Well¬
ington (35,200), with buying of
this issue coming from the Bul¬

out

was

Fidelity

cluding

lock

since late 1956.

way

reason

the

It is believed
&

fact

dropped

since

that

the

time talks

originally began, stocks
earnings of the Erie and

and

Lackawanna

declined

consider¬

ably whereas stock of D & H and
its

earnings showed a degree of
stability.
Present plans call for the merger

Group.

Miscellaneous Issues in

of the Lackawanna

treatment Disfavor

into the

cor¬

station at Hoboken,
J., and starting in September,

passenger

miles

Erie

line

between

and i'_ Corning,

N. Y.
Lacka-?
wanna have relatively high fixed
charges and also suffer from large
passenger deficits, mainly from
t

Both

Erie

the

commutation
Erie reported

and

the

traffic."

For

1958

deficit of $3,668,879 and the Lackawanna reported
a
deficit of $3,934,319.
For the
first quarter of this year, Erie re¬
a

ported a loss
Lackawanna a

of
loss

$944,623 and
of $1,860,231

for the

same period.
;
might be noted that approval

of two-thirds of the stockholders

porate structure of the Erie which and certain bondholders of each
liquida¬ has its headquarters in Cleveland, road, in addition to ICC approval,
tion by State Street, Sharehold¬ Ohio. Under the
Prior to becoming associated with was bought by the United Funds
tenqs of the plan is necessary before the consolida¬
ers' Trust, Investors Mutual and as
approved by directors of both tion can be effectuated.
the investment company he was Group, Lazard and others. Ameri¬
With the law firm4 of Satterlee, can, on the other hand, found only Pioneer; offsetting new acquisi¬ roads, Erie's common stockholders
sellers,
especially
by
Madison, tions by Overseas Securities and would receive one and a quarter
Warfield & Stephens.
*/■'■
shares in the unified road for each
Income,
Niagara
Share Wisconsin Fund.
Mr. Smith will make his head¬ United
Colgate-Palmolive was sold by share held.
Lackawanna stock¬
quarters at the Chicago office and Fidelity.

ager of the Profit Sharing, In¬
stitutional
and
Trust
Division.

was

accorded

and

American

Continental Can

Can,

The

former;

American Express met

Morgan Stanley Group

Securities

National

Corporation

208

Co.

Investment

Re¬

South

l*a Salle Street.

America

and

Dreyfus, with no buyers.
In Gillette, there was liquida¬

Drugs Meet Profit-Taking
As in the preceding quarter, the

tion of 100,000 shares by Incorpo¬
issues
encountered
some rated Investors, overshadowing a
cashing-in of capital gains. Again 20,000-share purchase by Funda¬
May Adds to Staff *
Parke, Davis was the most heav¬ mental.
(Special to Thi; Financial Chronicle)
ily sold issue, especially by Bul¬
Selling, without any offsetting
PORTLAND. Ore.—Thomas R.
lock
Group
(75,500
close-out), buying, of Interprovincial Pipe
Hillstrom is now with May & Co.,
Affiliated (59,500) and Investment
Line, came from Niagara Share
618 Southwest Yamhill Street. He
Co. of America
(24,000).
There and State Street.
was formerly with Zilka, Smither
was
also considerable selling of
Largest
seller of Johnson &

drug

& Co.,

Bristol-Myers,
Pfizer
the

Mead

Johnson,

Warner-Lambert.

and

Johnson

Chemical Fund (13,-

was

000 shares).

hand, Schering, Merck
Of its
holdings of Tri-Contiand Eli Lilly led the well-bought nental
stock, Dreyfus sold its 6,000
shares

while

keeping

its

16,700

warrants.

Foods Varied

EDITOR'S

NOTE:

table

The

Star

performer was
Swift, on the facing page shows the com¬
bought by Affiliated, Dreyfus and parative cash and investment po¬
the Scudder Group—with no sell¬ sition of 83 Investment Companies
ers.
Borden soured/ with Knick¬ at end of quarterly periods, De¬

BROAD STREET

erbocker

INVESTING

Investment

and

Co.

cember, 1958 and March, 1959.

America selling.
A Diversified Mutual

Fund

ONE OF THE

Office

Chicago Analysts to Hear

Two-Sided Transactions in

BROAD STREET

CHICAGO, 111.—Walter J. Berg¬

Equipment

For prospectus

and free information

consult your investment dealer or
mail this advertisement
4

To Broad Street Sales

€5

Corporation,
Broadway, New York 6, N.Y.:

Please

send

prospectus and

descriptive literature.
NAME

J
.

i
I

I
I

ADDRESS.

«
l
-

electronics-tinged, high¬
flying group IBM continued as
the
favorite, with Fidelity the
largest single buyer (3,395), and
Electric Bond and Share the only
first-time purchaser (1,500).
On
the other hand, as many as six
managements sold IBM, includ¬
ing Investment Co. of America
(1,588),
and
de
Vegh
Mutual
(1,024).
Heavy selling hit Bur¬
roughs, establishing a complete
reversal

its

former

favorite

role.

Most

counted

Berry, Douglas & Fitzhugh
NASHVILLE, Tenn.

by Investors Mutual
(60,200) and Wellington (36,000).

Berry,

—

Douglas & Fitzhugh, Inc. has been
formed

with offices in the Stahl-

Building to engage in

man

curities business.
James

Officers

Douglas,

se¬

a
are

President;

Irvin

Berry, Vice-President and Secre¬

Interested in possible

tary;

and

William

Vice-President

LONG-TERM GROWTH?

and

Fitzhugh,

Treasurer.

...look into
systematically
accumulated in
amounts of $30

HIND

Seeking Long
GROWTH

Sh*r«s may b«

ABERDEEN

For Investors

or more.

POSSIBILITIES

SOVEREIGN
This Mutual

Fun^J seeks possible
growth of capital 4nd income by in¬
vesting in a diversified list of com-,
panies in many industries which
are

Prospectus from your
or

mail coupon

DAVID L. BABS0N -:
JL1 MANAGEMENT CORP.!

F. EBERSTADT & CO. INC.,

Manager crnd Distributor of Chemical Fund

65 Broadway/New York 6, N. Y., Dept. C

•

Name

Addres5_

1,638,624
common
shares
and
no
preferred stock.
Consequently, Erie stockholders
would own the largest percentage
of stock in the

Officials

still

new

both

First

stock of the

Erie has

has

wanna

roads

stated

Mortgage Bonds

Morgan Stanley & Co. and as¬
sociated underwriters on May 1
offered publicly an issue of $20,-

000,000 Alabama Power Co. first
mortgage bonds, 4Fs % series due
1989, at 100.393% to yield 4.85%.
The group was

awarded the issue
competitive sale April 30 on a

railroad.

negotiated are
changes and amendments to cer¬
tain mortgages and indentures of

bid of 99.519%.
Net

the

proceeds from the sale of
first mortgage bonds will

new

applied by Alabama Power to
or acquisition of
bond issues outstanding and Lack¬ permanent improvements, exten¬
sions and additions to its utility
awanna fifteen.
One fact which speeded up the plant. Such costs in 1959 are ex¬
pected to total about $56,726,000.
present
action
was
that some
The company raised an addi¬
$275,000 had been spent to pre¬
tional $16,500,000 earlier this year
pare operating data for previous
through the sale of common stock
discussions and this was used for
to the Southern Company, parent
their talks. With the groundwork
company. Of the proceeds of this
thus prepared, the two carriers
sale $7,500,000 will be used for the
could
move
swiftly.
Officials
construction program and the re¬
stated that it was hoped a plan
maining $9,000,000 will he in¬
could
be submitted
to
security
vested in capital stock of Southern
holders and the Interstate Com¬
Electric Generating Co.
/
merce
Commission by this Fall.
the

two

1960..

roads.

was

Erie

has

seven

stated that if this ap¬

was received, the merger
be consummated by July,

Merger of the two roads would
create a 3,119-mile system with
assets of $737,000,000.
It would

the construction

The

new

bonds

MUTUAL FUND

Dept. -CFC-64

Please send Aberdeen
J Name
J Street.

Fund Prospectus

in¬

diversified

Send for FREE Prospoctee
from your Investment
Dealer or

■

J
--State

GEORGE A. BAILEY & CO.
a -t

LAND

T iT! F

F1 D r~

P H j j. A

! 0

P a

travelers

who

use

our

(This

would be the first
major railroad merger in
the
Northeast since the joining of the
Chesapeake
& Ohio and
Pere
Marquette in 1947.)
also

stated

that

they
savings through the
merger
would, be
substantial.
"Most of the savings," the joint
statement said, "would come from
elimination of duplicate facilities
and overhead costs, plus greater
efficiency and improved service
believed

income.

)

and

Officials

growth of capital and

redeemable

prices rang¬
ing from 105.268% for those re¬
deemed prior to May 1, 1960 to
for those redeemed

after May

lines."

froup of securities selected
possible long term

IS William Street, New York 51

are

at regular redemption

1, 1988; and at special
redemption prices ranging from
100.393% for those redeemed prior
serve the industrial East anil run
to May 1, 1960, to 100% for those
from Jersey City, N. J., to Chi¬ redeemed on
or after May 1,1988.
cago,
111.
It also would serve
Alabama Power supplies elec¬
Scranton, Pa., Binghamton and tric power retail in 625 Alabama
Buffalo, N. Y., and Youngstown, communities, including Birming¬
Cleveland and Akron, Ohio. The
ham, Mobile and Montgomery, as
new road would rank among the
well as in rural areas; and .at
first 15 of the country's railroads wholesale to 11
municipalities and
in terms of operating revenues.
to 12 rural distributing coopera¬
"This will be the first major tive associations.
; •
railroad merger in the Northeast
Operating revenues of the com*
in
recent
years
to consolidate pany in 1958 amounted to! $106,-*
parallel lines and will be in keep¬ 434,000 and income before interest
ing with recommendations ex¬ and other income deductions to
pressed by Congress that such $25,637,000, compared with $98,projects should be undertaken," 939,000 and $23,616,000 in 1957.
the presidents of both railroads
stated in a joint statement. "We
de Charriere Appointed
firmly believe a rail combination
Emanuel, Deetjen & Co., 120
as proposed will strengthen both
Broadway, New York City, mem¬
properties and will have very bers of
the New York Stock Ex¬
definite advantages to the present
change, have named Jean Francois
security holders and to the ship¬ de
pers

JVttv/ Pennsylvania Personal Property Tmt

dealer

today to:

vesting
request from your dealer, or
mail coupon below to:

upon

preferred

road.

2,450,000 com¬
mon shares and 125,100 preferred
shares outstanding, while Lacka¬
new

Offers Alabama Power

Erie's

Charriere

INVESTORS

activei-n chemical science.

Prospectus

new

100%

the Midland Hotel.

its selling was ac¬

for

the

come

could

May 7th, in the Adams Room of

receive

share held.

present preferred stock would be¬

Chairman and President of
Lily-Tulip Cup Corporation, will
address the luncheon meeting of
It also
the Investment Analysts Society
of Chicago to be held Thursday, proval
man,

In this

•GROUP

would

share for each

that

other

issues.

holders

firm's

foreign

co-manager

of the1

department.

Form Insured Secs.
(Special to The Financial Chronicle)

CHICAGO, 111.—Insured Securi¬
ties ,Jnc.

has

been

formed

witlv

offices at 33 North La Salle Street
to engage in a

Officers

are

President and

securities business.

Hyman Levinson,
Treasurer; Mauriel

Levinson, Vice-President and Sec¬
retary; and Benjamin D. Stein,
Assistant Secretary.

Volume 189

Number 5844

The Commercial and Financial Chronicle

(2117)

Balance Between Gash and Investments of 85 Investment

Security Transactions by the 85

Companies
End of Quarterly Periods December, 1958 and March, 1959

Investment

Companies During
January-March, 1959
-j
.

Investment Bonds and

Com. Stocks and Lower

Net Cash & Governmentsf

Preferred Stocks*

Grade Bonds & Pfds.

Percent of Net Assets

Net Cash & Governments^

Percent of Net Assets

Thousands of Dollars
End of

Open-End Balanced Funds:""V"£V;
" American Business Shares^
r1 Axe-Houghton Fund •
" Axe-Houghton Fund-

Mar.

3,257
2,185

Percent of Net Assets

Mar.

Dec.

11.8

11.9

31.9

31.6

5.7

4.3

35.7

36.4

Dec.

Mar.

56.5

56.3
58.6

•

None ; ">

59.3

*Axe Science

2.9

23.9

71.9

72.7 :

25.2

Commonwealth Investment),Z'l$i

"
-

„

/ Diversified jtovestmeh^ttnd^5L'
"Dodge & Gbx»FjUnd"
.; Eaton & H6w^*d Bal^nb^

Loomis-Sayles Mutual Fund——

8,037
;:
370
2,348
15,985

8,366

Putnam

15.8

4.6

6.0

;

"" 5.3
0.6

Bal.

Funds

...

$64.7 "

4.7

22.2

16.9

rv
'

9.3'

84.9

;'.

70.0 "

/7,121

3,015

*"^5,939

•

Sales**

Purehasesft

None

"5,330
*

776'

•

-1,676

1,780

2,123'

646

-.213
>

740 -;

•

1,502
6,508

6,551
4,095 '< :
2,634 •
"518
'
-<"5,51

:"-v.Q.5" 1*"*■ fNdrte?*,f ■?0 ". 5

"65.1"

;

.'
6,289,;

71.0

2,613
1,833'
>'"..lNone:

" 58.9 "

77.0

"" 76.3
84.9

,•

" >"$66.1;"" "$65,6 "i
73.1":

•

89-«

58.2

;

•

8.1

74.6

;

78.8

> :

.'82.6

22.3

"i 25.6

19.0

16.0

58.7

6.7

5.3

25.5

28.0

67.8

>66.7

8.7

5.3

23.9

23.0

67.4

71.7

4.6

9.8

7.2

88.6

8.0

34.0

33.5

54.5

58.5

3,436

1,624

18.2

18.9

16.8

66.8

65.0

642

25.6

24.0

69.2

71.3

29.9

29.1

68.2

13,898
3,333
3,245
2,625
1,095

1,390
9,545
3,644
856

2,487

590

1,920
1,720

1,235

"1,591

14.7

110

0.6

1,996
101,964

8.2

2.3

4.4

8.7

11.4

23.2

373

2.4

.3.4

40.3

192,012

230,577

6.5

7.2

23.2

2.6

10.4

;c'

■

65.9

9.8

7,825 .v

1- 4,095

">70.2

70.9

-:" ;17.7

4.3""

••

16.5

25.3

"".

66.5

229 "

Total

.Total
-

-1,676
2,646 •"
646 V1,560
16,636 .•
-•708"

>" 740

86.1

70.9 ;

9.8

6,014

Open-End

67.1

•

86.6

"
.

•18.4

""133.3*.;: ; ",;33.3

1.1

24.7
22.4

,27.8

...

7,263
74,178

$65.9

;

28.2

22.6

5.3::".

""
"

;

251

Wellington FundSub-Total

652

12.5

;—

-Value Line Income Fund---;.

Whitehall Fund

i V.

4,998

—

Stein Roe & Farnham Balanced Fund
Value Line Fund

;

24.7

926

(George) Fund-

"Shareholders' Trust of Boston.
-

31.9
>

653

'New England Fund-"":—_

75.8

23.6

9,361
1,538

—Nation-Wide Secuf

§77.5 "

§74.5

•

11.0

21.5

0.3

5.3

14.0

1,336
18,714

2,110
1,088
3,652
2,234

National Securities—income-""-

"Scudder, Stevens & Clark Fund

•132.6

11.7

6.2

2,758
1,389
3,457
2,639
2,793
8,692
2,893

—

19.9

431.8

2.9

11.5

•

1,132
""
15,495
V>"> 396

3,265

"Mutual Investment Fund-—1—
'*

■ ;

1.6
-)

1,090

476
" 988

'Massachusetts Life Fund_"-"->.:_

;

4.4.;.

V 25,278

•874

Johnston Mutual-^
"Knickerbocker Fund v_^_

1.7

-362

22,955

■

23.4

2.7;

13.0

7.6

9,220
750

1,482

2.3

§22.5

•••

"■

-General Investors

5,528

4,258

2,400
11,029

§25.3

0.8

1,455 '•

4,480

""•Broad Street I^esting^ll^^i-.--\.-i

^0.2

" - Boston

824 :

^-Electrohiesi^ii-

1,941 "

Axe-Houghton Stock. F.und

Common Stocks

Total

Sales**

Purchasestt

3.4

Mar.

•

Portfolio

Of this:

Other than Governments

Total

Dec.

3,465

3,737

-(In Thousands of Dollars)-

Portfoiior*Securities

End of

Dec.

3,265
2,783

1.6

11.5

14.3
5.2

4.7

1.9

3.6

2.4

3.0

30.4

28.4

16.4

19.7

21.1

1.1

1.7

2.3

■r

58.4

;

2,234

88.2

■>>:

742
'

67.3

428

1,453

854

5,852

5,695
-L567
2,029

8,456

6,730
3,707

514
954:

274

2,001

529

642

1,000

7,469
2,185

2,442
2,648

67.2

68.6

65.6

62.5

97.7

96.6

9.4

87.4

88.3

24.3

68.1

64.3

41.7

57.3

54.9

691

315

149

22.4

70.3

70.6

203,936

160,635

124,108

None

96.3

97.4

0.4

88.3

39.2

•

1,095
5,866

1,720
18,923

27,146

40,723

18,925:

13,014
49,413

349

45,489

212

124,942

Qpen-End Stock Funds:
Aberdeen Fund

486

360

3.7

Affiliated Fund

57,926
3,236
10,936
2,789

11.3

23.3

576

56,231
1,954
10,976
2,970
3,835

5.0

5.8

542

0.1

2.8

None

41,695

16.6

15.5

None

295

32,995
1,682

4,819
4,522

1.4

96.2

96.4

7,517

1.4

0.8

1.1

0.1

98.5

99.1

8,518

7,306
3,460
9,113
12,156
7,573
1,765
25,073
16,967

General Capital Corp

111

102

0.6

0.5

None

99.4

99.5

903

447

Group Securities—Com. Stock FundIncorporated. Investors
Institutional Investors Mutual Fund§§

662

1,540

1.2

2.5

None

98.8

97.5

9,446

6,765

9,446

17,026

5.5

6.1

0.9

93.6

93.0

5.7

None

93.4

94.3

19,852

14.5

16,127
1,603
26,796
3,443

21,269

6.6

Investment Co. of America

18,695
2,592
17,358
18,098

15,857
1,603
26,469
3,036
:
n.a.
27,756
18,723

Bullock Fund

Chemical Fund

.—.I—

Delaware Fund,—
de Vegh Mutual Fund
Dividend Shares—

"Dreyfus Fund

;

..I

44,306

770

93.3

76.7

78.3

1.4

96.5

97.2

4.7

93.4

90.3

99.9

97.2

83.4

84.5

1.4

0.8

5,184

2,858

2.1

1.6

None

97.3

98.4

17.15

None

82.0

32.85'

0.6

None

99.2

99.4

1.3

2.4

§6.1

§93.2

§93.7

87.2

37.0

N.A.

None

98.9

98.6

None

96.8

97.7

a27,756
18,723

al3,949
3,369

12.3

C31.1

C20.4

53.5

67.3

564

1.1

0.7

0.8

96.9

98.1

1.3

5.1

None

98.7

94.9

5,406
2,775

23,167

16.4

8.2

0.9

0.7

82.7

91.1

930

5.0

5.2

11.6

11.4

83.4

76.2

97.3

20,276
5,668

3.2

2.3

448

472

15.4
2.4

2,107
45,476

1,156
9,336

869

16,287

7,406

Investors

National

Securities—Stock

One William Street

.Pine Street Fund

3,640

4,049

21.6

20.9

4.5

2.9

766

2.3

2.7

None

73.9

586

Rowe) Growth Stock

97.7

6,765

21,269'

None
"

24,900
2,658
NA.

13,949
3,369

None

525

379

5,406

2,218
16,634

2,775

$140,472

$$16,284

951

671

945

638

2,221
2,771
a9,364

723

2,111
2,622
9,364

;

2,420
7,667

None
1

379

2,218

723

3.4

0.4

95.4

96.2

1.3

0.2

4.3

3.8

94.4

96.0

293

130

290

13,867

13,322

7.0

6.6

1.1

1.2

91.9

92.2

7,657

$$7,623

7,657

358

411

5.9

5.3

None

94.1

94.7

7.991
1,445

1,650
7,610
1,261

1,476

4.3

3.8

0.2

0.6

95.5

95.6

1,503

948

25,865
5,887
15,271

11,194
4,162
9,029
4,604
1,027
:»:$100

1,445
1,421
24,890
5,638
15,181
13,456
1,003

3.3

Situations
Wall Street Investing

2.3

2.5

1.2

94.2

96.0

2.1

2.9

4.3

3.8

93.6

93.3

3.3

3.6

14.2

1,128

0.4

91.9

96.0

None

98.0

§100.0

13,574
1,184

None

85.8

87.4

198

0.4 '

;

2.0

1,241

10.4

11.6

None

7.7

179

Value Line Special

85.3

86.3

3.1

8,862
1,139
6,411
3,094

4,394
5,686

United Science Fund

12.6

463

219

3.2

1.5

4.3

4.4

92.5

94.1

849

Sub-Total Open-End Stock Funds

334,996

316,989

e5.8

5.7

el.8

1.9

e92.4

92.4

392,632

Total Open-End Funds

527,008

547,566

e6.1

6.3

el 1.7

10.8

e82.3

83.0

Wisconsin Fund

Closed-End Companies:
Adams Express
" American European Securities
American International

—

Carriers & General

Dominick Fund (Formerly NatT Shs.)
General American Investors-General Public Service——i

Corp.

5,074
1,051
1,960
1,435
f 2,941
3,509

4,737
2,082
1,774
1,474

-1

Fund<|([—
Niagara Share
—

5.2

641

849

238,135

380,263

222,519

596,568

398,770

504,371

347,461

85.7

1,397
1,953

993

2,849

.1,205
1,664

201

94.2

3.4

78.2 !

4.3

1.0

1.2

94.2

94.5

872

655

745

655

7.6

7.9

8.0

84.5

84.4

806

759

806

759

f8.2

6.9

5.8

3.3

86.0

89.8

3,494

2,399

3,429

1,455

5.1

5.3

1.6

1.5

93.3

92.7

177

792

177

792

6,873
14,821
6,205

f20.5

15.0

0.1

0.7

79.4

34.3

4,260

4.9

0.4

97.7

94.7

20,004

$$4,005
$$19,904

f3.2

4.4

6.2

3.0

90.6

92.6

19,468

2,816

6.0

4.8

2.4

91.6

92.8

§8.4

§73.5

§69.2

89.2

88.3

2,070
1,185
7,927

1,706
$$10,557
11,599
2,476

None

4,044

9.9

9.7

16.0

None

86.9

84.0

None

6.7

1.9

1,706
10,707
24,412
2,476
1,361
11,368
4,044

4.7

3:3

87.6

"88.3

63,613

64,521

52,461

43,908

463,291

556,832

391,369

ta-

•

—

8,178
19,365

0.9

2.0

13.1

74,953

6.3

622,519

e6.2

classification.

tlncluding corporate short-term notes where so included by reporting

6.5

^Common

§8.8

—

584,717

stocks

•

gin

percent

33.9

e83.2

el0.6
only,

gross

vcrtlble

assets,

(or

660,181
with

•ftCost

Missiles-Jets,

porarily by rights

of purchases.
**Proceeds from sales.
^Estimated.
ggOwned
H3 savings banks, etc. in New York State.
^Formerly Pennroad
Corporation,
a Exclusive
of corporate short-term notes,
c All Con-

'-Investment bends and preferred stocks: Moody's
through BB for prefcrreds (or

through Ba for bonds; Fitch's AAA

flBbnds and preferreds irrespective of quality

and

warrants),

'
e

One William

10,476

2,070

$$1,097
6,883

CASH

MARCH

F0SITI0N

31,

1959

Plus

COMPANIES:

Funds

CLOSED-END

Balanced

Funds..

COMPANIES

INVESTMENT

DECEMBER

vs.

31,

AVERAGE

COMPANIES

Minus

proceeds.

Dec.

Total

Approx. Unchanged

Net

Defensive

Risk securities (common stocks

~40

ASSETS TO CASH AND EQUIVALENT,
AND RISK SECURITIES

COMPANIES OF

DEFENSIVE SECURITIES,

Totals

ALLOCATION

1958

^ii

■»

securities

(investment

31,1958

6.2%

cash, etc., and Governments
bonds

and

preferreds)

plus lower grade bonds and preferreds)

10.6

83.2

March

31,1959
6.5%
9.6

83.9

Totals

$$1,354
7,326
.

New Funds in build-up stage (Lazard,
Street) not included.
f Bolstered tem¬

SUMMARY
IN

993

7.6

57,709

Grand Total,

.94.5

0.7

16.2

10.9

•

16,126

—

Total Closed-End Companies

Stock

641

4,097

3,487

OPEN-END

198

4.3

Tri-Continental

o.6:

4.3

5.6

Securities

CHANGES

9,377
3,430
7,206
4,542
1,003
$$100

2,531

f9,190
5,142
f4,366
3,428

Madison

Foreign Securities

805

•

approximate equivalents).

447
;

4.2

United Continental Fund

(■vestment company.

21,346
8,518

United Accumulative Fund

U. S. &

3,176

United Income Fund

Overseas

668
956

.
'

3,820

.Texas Fund

Lehman

8,622
3,937
6,036
3,306.

State Street Investment
Stein Roe & Farnham Stock Fund—

"Aaa

25,201
2,658

41,092

Sovereign Investors

••

$$7,736
"

.2,420
7,667
;
us

Scudder, Stevens & Clark—Com. Stk.
'Selected American Shares-

None

2,225

National

21,346

§6.8
1.4

Missiles—Jets & Automation-

956

None

13.0

1.1

Trust

■

8,168

87.0

17,254
Investors

891

2,174

$$17,837

"3,308

84.6

12.8

— —

2.3

0.9

—

3,638

3,937
6,039

0.6

12.4

Massachusetts Investors Growth Stock

;

89.3

2.7

Investment Trust of Boston

0.7
None

■

18.0

Lazard Fund

Price (T.

0.7
None

1.4

24,818

Fundamental Investors

Massachusetts

6.0

21.7

;

0.8

986

Energy Fund
.Fidelity Fund

10.0

24,283

——

Eaton & Howard Stock Fund—
.

19,371

903

Blue Ridge Mutual Fund

295

691

al9,371
1,387
2,174
9,096
•.
9,585

691

a32,995
1.990
4,240
18,125
"8,815
3,460
9,113
12,156
12,990
1,765
25,296
16,995

100.0%

The Commercial and

Continued from page

of securities salesmen

with

who

not

are

member firms.

our

insist, for its elevencompanies, on dis¬
oolicies that give investors
data.
It can work
ef¬

But it can

The Investing Pictiue Today Is
Not All Unalloyed Brightness

hundred listed
closure

needed

fectively to strengthen stockhold¬
er rights by providing a corporate
vote and a convenient ballot.
It

particular periods — and can bring to the marketplace a
Or, put differently, how is growing supply of seasoned issues,
ular program of proxy solicitation the average American approach¬ exemplified
by the more than
will be considered for delisting. ing the serious business of invest¬ five
billion
shares
now
listed.
There were only 28 such compa¬ ing—and how is he using the fa¬ And finally,
the Exchange can,
cilities of the marketplace.
nies last year out of 1,100.
•
through its Member Firms, 'see
o
Historical changes, for the most
Here we find a picture that on that an investor who does busi¬
part, occur very subtly. There¬ the whole is very encouraging. ness with them obtains accurate
fore, it may come as something Most people are buying stocks for information and responsible guid¬

fails,

that

company

any

end of

the

1961, to embark on a reg¬

ket

why?

surprise that today's interest cash, and using credit sparingly.
shareownership
stems from They are deliberating carefully
techniques that were either born before
committing
themselves.
or
developed more fully within New investors, for example, are
the last six or seven years. Em¬ likely to take six months from the
ployee stock purchase plans and time they first consider investing,
the shares of investment com¬ to the date of their first pur¬
panies, for example, have jumped chases. Then, they are investing
t© greater prominence. Some 15,- for the long-term.
And they are
000 investment clubs have sprung concentrating on seasoned secu¬
up. Nationwide legislation making rities and often re-investing divi¬
it easy
to give stock gifts to dends.
youngsters have been enacted in
Notes Disquieting Signs
45 states. Incidentally, Colorado
By the same token, however,
was the second state to adopt this
the investing picture today is not
progressive legislation. The Ex¬
one of unalloyed brightness. There
change's Monthly Investment Plan
are several
disquieting signs that
of

has dramatized the idea that peo¬

demonstrated
two traded—but it does reflect a "let's
things: One is that it is private shoot the works" state of mind.
enterprise which unquestionably It reflects an undue amount of
creates the most wealth with the amateur speculation in low-priced
shares.
And finally, this activ¬
greatest efficiency. The other is
by much
that the Russian argument about ity has been fanned
greater talk about tips and ru¬
a class struggle is utter nonsense.
A noted economist, Frederic Dew- mors, and that most misleading of
hurst, pointed out several years all phenomena, "the one that got
ago that, "of all the great nations, away."
States

the

has

one

that

clings

tena¬

most

are

witnessing among

some

ciously to private capitalism has investors, in short, what one of
come closest to the Socialist goal our member firms recently! called
of providing abundance for all an "almost festive air in finance."
in a classless society."
And it is precisely now, when so
many people seem caught up in
Announces New Shareholders9
these festivities that we are apt
Census
to forget some of the homely, oldWhat actually has happened to fashioned virtues, like moderation
and prudence, and some of the
our sjhareowning family?
We know that between
1952 old-fashioned truths, like the law
of gravity and the law of dimin¬
and 195t6 the number of individ¬
ual shareowners grew by one- ishing returns.
third

8.6

million.

Looking

view

this

there

ance.

;

human being, a
infallible. But if he

any

broker is not

22,000 registered rep¬
Firms,
can—and do —• insist that he

is one of the

resentatives of our1 Member
we

abide by a code

of business ethics

that is unmatched anywhere.

thereon

made

publicized

are

its nationwide ticker system.
If
<;an
work to maintain fair and

markets where bids and
made by open outcry

orderly
offers
and

are

spreads are held

to a
And it devotes enor¬

price

minimum.

lance.

than

just nu¬
merically; It ranges, today, across
every
age
and income
group,
every occupation and geographic
area.>
This (growth,
and all it
implies about a democratic Amer¬
ica, incidentally, has Impressed
more

this

undertaken

have

quick

spotlight the one crit¬
thing the Exchange cannot
to

review

ical
do:
and

inside the heart

it cannot get

brain of the

investor,

how

him

for

cide

de¬

ought

handle his investment program.

broker

urge

broker

understand reasonable

investment

objectives. But

comes

across

insists

who

tomer

example,
customer to

many

the

cus¬

throwing

"All right,"
this customer says, "I know what
I'm doing. My objective is to make
the rule book.

away

fast,turn."

his

money

Whereupon he pours
into some unproven

security because it bears a "space
age" label.
If by any chanee the
goes up, he
a genius.
If—
likely—the price
of the stock goes down, he is most
apt to look around for someone
other than himself to blame. Only

price

stock

the

feels himself to be
and this is more

last

week

woman

wrote

high dudgeon because a stock
selling for $1% a share looked
like it was not going to reach the
$5 she expected within a year so
she could buy a new piano.
ShO
furious.

She

great

felt

our

cau¬

that

the market.
It

may

\ \

seem

had

years

strange, but it is

been

business

but had never paid

dend.

for

divi¬

short
news

time

—

and

will

for Pravda.

within

have

Work

now

being completed on the Stock Ex¬
change's 1959 Census of Shareowners.
It is the largest research
project the' Exchange has ever
undertaken.

by-no

And

while

results

Offers Additional

witnessing a game that Klem um¬ can't
pired, died of acute indigestion. pany
The newspaper promptly 'ran this same

Precautions

of Americans. The over-all rate of

shareowner

cent Man."

investor

all

worse

Disclosure Policy and the
Investor
Thus it is with the marketplace.
We must constahtly reiterate the

protect him from loss.

It cannot

the field will fare thO
The glamour may rub
quickly, leaving the

way.

off

growth, in fact, is regulate stock
prices. It does not
proceeding more rapidly than the
own, buy or sell the shares traded
Stock
Exchange's
conservative on the
marketplace. It cannot ex¬
estimates of the past.
ercise any control over the four
This

be assumed that every comr

wild headline: "Klem Kills Inno¬

final, it is evi¬
dent from preliminary runs that
Exchange's precise function. The
stock ownership has become
a
Exchange cannot, for example,
fact of life for additional millions
guarantee an investor a profit, or
means

too

with

little

cash,

and

memories.

Third, equating low price with
high value is an easy trap to fall
into.
Any good broker can cer^
tainly draw up a list of low-priced
issues containing both, cats and
dogs, and shares of good value.
And equally, he can furnish a
high-priced list that includes both
good buys and stocks that he
feels are over-priced.
Finally,
messages,

to
we

drive home these
underscore the

can

development, it seems to thousand publicly - owned com¬ fact that there are some people
me, has to be coupled with still panies which are not listed there¬ who are plainly better off—finan¬
another one: who is in the mar¬ on, or over the tens of thousands
cially and emotionally — by put¬

word,

have

begun

appreciate

fully

quick.

that rising costs, without a corpast— responding rise in output, work and we will repeat it often in the
a
cruel; hardship on everyone. '
future. We can trumpet this mes- Inflation J is morally wrong, arid
sage up and down the land—but economically
• unsound:'
Arid
it
I've discovered no pill to prevent won't
remain
gradual,
in
the
a man from
dreaming that some- words of C. Canby Balderston, the >
how he can pull it off and strike
Vice-Ghairman
of the
Federal
it rich.: Yet, the odds; against his; Reserve Board,^ "any more than r
doing so are ;enormous.v44"44 ~ a lion cub Will continue small and •:
One more thing? we can-do is harmless." 4 4:,4> ,' \
4/ *
inveigh against the' phony pro- ' Recognizing
this,
more''" and ' :
moters on the fringe^of -the. secu- -more people have purchased com- i
rities industry who prey on .the mon / stOcks
which
historically ;•
gullible with their siren r.songsV have tended to keep pace with
Here, again, most inv.estprs <haYe Kvmgcosts?^
they been ; alerted.
Many. havo4been? *have- added to the upward -presspared.. But a good, number ihaVe^sure-: xm the ra axk ie t, and the
not.
And with everyscasei<ihat^;dpwhWard .pressure <>ii .:,governcomes to light— it is clear once mentbonds.;fi»r
more that a man can be protected- r
Is fhere a soiutioh ; A^distinr p;,
against many ;things,-^but vnot guished ' member of the financia.1
against his own avarice. ;
r
h ? -^community, Aubrey jLanston, puts
,
^
it. very 'bluntly. *T hope that we !
1920s and l&50s.:jD!#eri..o-rfind/Hhe. said,
"that there ;
To bring all this intOtperspec
> are enough people in this country "4
tive, may I add that today's mar- who care enough about what hapket—with its stress on long-^erm J pens ... to scream the house, dowii
investing and buying 'for : cash; * 4 •• so that Congress will not be,•
with its high margins:and modest
tempted to be lax in its number',,
use of credit, with its emphasis on
one duty.- This is to repair the
the purchase of stocks in wellcondition of the government's ft-4
seasoned
companies, ;> and - but;- nances and to make clear that the
tressed by the presence -of - insti*-*; credit
of the Treasury will be
tutionaT investors
bears ; little
maintained — by promoting a
similarity to the market of 30 stable currency."
j
' T ? 4
V
place

get

rich

years

Today's market is not

ago.

•

...

flimsy house of cards: On the 4: -Dalits Better Tax Structure
contrary, it is "a carefully con- : • Government's next responsibil-r
structed dwelling that reflects the
ity, it seems to me, is to create a*
prosperity and well-being of its fax: structure that doesn't operate
owners
the American people.' to
prevent
qualified : investors ;
Lest
this
reference
be
miscon- from entering the market at reastrued as a comment on the level sonable prices.Charles Kettering 4
of the market, I hasten to add that
once said that "one of the things
I don't know whether stock prices
we have to be thankful for is that
are too high or too low.' A current
we don't get as much government
judgment must be made, not on as we pay for." But in the cask
the basis of the "averages,4 but of the capital gains levy and the '
by considering individual" issues, double tax on \ dividends we're 4
And only history will tell .us how
getting far too much.: These two
Correct
those
judgments
have taxes conspire to reduce the floatbeen.
1
'
«, J
:■inS supply of stock, while freezing
i
I know, liuimy, that the. stock-: investorsinto their .^usiuuiia aim
miuw,
finally, mat me. scock-.
men positions and
market is no place for the casual discouraging companies from is- <1
4
or the
careless, the get-rich-quick suing, additional shares. The Ex- '
change's position on both these
devotees, or the people who^can't? change's position on both these
laws - is *
afford the risks. The nation's in- 1
4~ well-known. They have
" 1
"
vestors—particularly the minority long since served any doubtful
new to shareownership —r should
revenue-bearing p ti rp o s e they ;
Today they are adding to
heed the cautions and make ~a had.
a

—

the

careful assessment of their invest-

aims

ment

and

failure to do

disappointment.

objectives.
The
can only .lead' to

•

negative

influences

the

market, and they ought to be revised downward — and eventually

And4.

;

4 4
4
pointmerit will be, doubly difficult 4:
,
**4 4
to bear because we can be sure' of "1
4
^
Made
.
one thing: sound American, busi-.
dn essence, then, what I have
nesses will in the future
'cphtinuqV^wanted to, stress in this:'
;
to grow, and 'their shareo\vn'ers C
?'|^CrlAPler^cah - experiment " is
will have the; chance .-tq'-prosper rcphtiri'ulrig.
One of its most ex.

•

good

judgment

minute

find

this,

can

v^Thfc- tide' towards ownership is t

very

changing

our form of capitalismj permitting .more people to'
whied^will appreciate sbare directly in oour economic
in value in
thei^Mrs ahead- .as the; growth.'
f ;, ! .
' 4
nation grows, v Wj
* 4;
4. " ?4Tlie 'Excbiange- Coinmunity?s
This is the cmwiction, you will Program in recent years has conrecall, that profeted .;the Ex- tribated to thisr development. It
change to emba^f on its broader has been our privilege to open up J
ownership prdg^n. in thie-first investment opportunities for milplace.
That codvfction remains dons of people, and to strengtheny
unchanged. We V^Heve we have the market's liquidity by faeilitat- . c
done a great
to encourage hig the speculative activity of in- rc
millions: of
pei^lb to ;,consider f°^med individuals.
v
v
opportunities
ad to make in-

many

market

arld

vestments

likely to agree

tio.n is perhaps the best advertised in recent years. Most people

have said this often in the

in the

not

bonds,

lady's ire was misdirected
responsibilities of the Exchange
—she^ should look into the mirror. with their companies,. Fpr I have citing aspects is the boom In ,';
Gommunity, and more important, She herself admitted she
bought the abiding conviction that a per-" shareownership — a fact that" orir
the
responsibilities an investor
the low-priced stock in a company son who: gets the. facts nn^ u^s ,new Census will soon document.?
owes himself when he approaches

So, to that first strong warning
operates, or what it about
determining proper "objec¬
ventiveness that Pravda so often
can and cannot do.
Our problem,
tives"
the
broker
and
the
Ex¬
demonstrates in camouflaging the I
am afraid, is akin to one the late
truth, the newspaper has ex¬ baseball umpire Bill Klem used change add several more.
plained to its readers that man¬ to describe. A prominent Midwest
First, a stock certificate isn't
agement in America is trying to newspaper was convinced that the simply a piece of paper. It repre¬
increase shareownership
sents a company — and the stock
"in an dignified Klem was
deliberately
attempt to tighten the screws of giving the home team a bad time. isn't any better than the company
and its prospects.
exploitation and
to
make
the The
paper therefore launched an
working class more submissive to anti
Klem
Second, just because an industry
campaign.
Several
capitalism." <
weeks later a fan in the stands is
glamorous
or
prosperous,
it
are

into

—

for

will,

strenuously
define and

was

nonetheless true, that many peo¬
no ohe more than the editors of
ple still do not have too clear an
a
newspaper published in Mos¬ idea of either the
Exchange's role
cow.
With the tremendous in¬
and how it

America's shareowners

money

leaving it in the bank.
The stock market is, in

Thursday, May 7, 1959

—

broadened

their

ting

vast

to. keeping ;this

effort

mous

tionary program had caused thfe
behind these figures, we know, merit
in
re
emphasizing
two
price of the stock to go down.
also, that shareownership has things: the precise functions and
But the

•

By the same token the Exchange
can
see
to
it that transactions

operation under constant surveil-

I would like to discuss.

ple of modest means can invest
In our recent studies, we have
relatively small amounts on a
unquestionably observed a much
regular pay-as-you-go basis.
short-term
What has happened, in short, greater emphasis on
is that direct ownership, with all objectives than existed six months
There has been a
its benefits and uncertainties, has or a year ago.
been taken out of the drawing noticeable tendency to buy lowrooms
of the few, and brought priced issues — largely because
This activ¬
back to the millions who were they are low-priced.
willing to share its responsibili¬ ity does not represent a particu¬
ties.
In the process, the United larly large dollar volume of shares

are

Financial Chronicle

(2118)

their
and

investmen^bppor.tunities-—

Today's market has little similarity to the past, and most people
are using the marketplace carqoppc^Unities as clearly" fully and well, and concentrating
can.
W^.hbpe that the "in- bn the long-term.
::
handle .theiri

the years
out those
as

soundly.

ahea^yb intend

;

to spell

Nevertheless,

vestment process*will recbfnmerid
itself to:

there

has

also

many^riibre millioris? bf been a tendency by some to ignore ?;
people.
Our cifpitalistic society ^ necessary cautions, to hope,
needs their direct'identification as
hhndly for quick profits, to take
^
—«

capitalists.

i-fi-;

Governmeri#|fRole in the

investhii^icture.
In

-unnecessary chances and to
for' the : blandishments
of

fall

phony

this,

promoters.

problem I

can

To meet

the

offer you the Ex-

far, change Community's pledge that"
place " we W© will continue and even expaneh
fbi^;#esponsible per-'" °hr educational .efforts. And we
formance:
the 4lS&eral Govern-:
continue to see that our own-1'
ment.
The
inVeftment;;climate," facilities will not be used for
and the pressures^n the market, " rech^©ss speculation by the unincertainly refleef;|:ple way people formed.
think the gQverhment is—01* is" not;"
Finally, because these matters
—doing its job. 44
:
»
are not the exclusive province of
Two
quiek
illustrations- will either the investing public or the*
suffice.
The fight against infla- Excflange
Community, we will
I've

what

I've; (Mated

eliminated'^bne

ought to look

thus

Volume

189

continue
eral

Number 5844

impress

Government

successful

coupled

the

The Commercial and Financial Chronicle

Fed-

our

need

fight against

with

for

(2119)

'Continued-fromndue'4

a'Vr C'"!

? ""'t.

"Steel's" prica composite

•«...•

workable- tax-re¬

reason,

Whitman

"to halt in this land
is

there

^
while others

today." There

ership

of American business by
additional millions of people. And
believe that the -sound and

steady progress towards this goal
of the

one

piest

things

healthiest

that

can

America-

Corp. ..has

taking

130

million

t. ird' and

fourth

could

year

con¬

Arthur

The

Prudential

America

has

Krim,
to

and

the

Co.' of

that

The notes will have
est rate of

two

years.

funds

continued

March.

1958

whose

that

nounced

major

motion

connection

with

the

new

convertible

due

subordinated

1969

which

have

not been converted. The final date
such

for
1959

...

redemption

June

22,

of 33.2 cents per hour in 1953 in
All data cover only employees

0tfter

operations.
I
•
On. the basis of reports from companies having 94.9% of the
1959 steelmakirig capacity, it is estimated that the March, 1959
payrolL for the entire iron and steel industry (hourly and salaried
employees included) was $400,222,000 while the employment during
tllC; siinie" month was 631,-400/ ..
-

price of 107% "together

with accrued interest (on a
-

..;...;

$1,000
'

holder
will
receive
These debentures are

debenture,
$1*078.50).
convertible-

into

until the close of business June 12,
1959 at $21 per share. :
,
F. Eberstadt & Co. has formed

^aa

Odds

;

steel

will

prices

rise

after

midyear, but the

increase
-i

may be small, "Steel Magazine" said on May 4.
As industry leaders begin contract talks with the USW, they

then

determined than

prices.

ever

hold the line—first

debentures by offering to
purchase at a price ot.108.4% any-.

are

■

turning
well

almost

out
their

10%

nation's

the

to establishing model

way

duction records.

cars

year

pro¬

...

Ward's said

May 1 that AM and S-P will assemble half

million autos between them in the 1959 model year period, which
ranges approximately from the Autumn of 1958 through the Summer of 1959.
AM will account for 350,000 units—more than double
its

1958

model

count

and

—

S-P

will

turn

out

triple last year. Each of this year's figures is
year production high.
The statistical publication said AM and
10.4%

of the

total

passenger

150,000,

company

S-P

almost
model

programmed

production in the week ended

car

May 1, or 12,492 out of 119,739 units.
The past week's industry schedule

the

was

lowest

weeks and skidded 11% below preceding week's count of 133,987.
Ward's attributed the dip to an annual spring inventory by several
of General Motors'

full-week

Bu^k-Oldsmobile-Pontiac assembly plants and

and a two-day stoppage at Chevrolet's Los Angeles
Oakland, Calif., factories, respectively. Another factor was
the celebration of Confederate Memorial Day in Georgia,, which
idled Chevrolet and Ford plants in Atlanta.
Ward's said truck-making continued at a strong clip during
week with 26,290 units on tap. The count was less than 3% below
earlier week's 26,987 total, the peak truck-making Week in 1959

and

to date.

'•

i.**

•

Electric Output 11.5% Above 1958 Week
1

The amount of electric energy

and

distributed by the electric light

industry for the week ended Saturday, May 2, was
at 12,546,000,000 kwh., according to the Edison Electric

power

estimated

Institute.

the

For

•

•,

■

...

ended

week

May 2 output increased by 8 million
kwh. above that of the previous week and showed a gain of
1,295,000,000 kwh. or 11.5% above that of the comparable 1958 week.

Car

Loadings 21.2% Above Corresponding 1958 Week

Loadings
totaled

647,282

freight for the week ended. April
the Association of American Railroads

25,

revenue

cars,

an¬

This was an increase of 113,431 cars or 21.2% above the
corresponding week in 1958, but a decrease of 43,507 cars, or 6.3%
below the corresponding week in 1957.
Loadings in the week of April 25 were 13,736 cars, or 2.2%
above the preceding week.

wages,

'V
But the USW has the trump card, the metalworking weekly

s;,i(|'abourinflatipn. • /.
If
employment costs

"Little Two"—are giving a big account of them¬
according to Ward's Automotive Reports.

are

and

Lumber

;

:ysaidrlf it resorts to the usual tactic—a long, drawn out strikestandby purchase group ten assure
steelmakers may be compelled to settle.
Customers will start
substantial conversions; ofThe reclamriirihg'for steel, and government leaders will forget what they
mammg

production

! ..."

nounced.

Rise ill Steel Prices Forecast

that

are

•

are

;

stock

common

,r:

average weekly

;

Industry's "Little Two" Setting Output Records

They
1959

production is based

bile industry's

later.

selves this year,

toe

average

American Motors and Studebaker-Packard—the U. S. automo¬

com¬

engaged in the production and marketing of steel.- They exclude
minipg and nonsteelmaking employees in companies having such

fi-

„

debentures

Apparently, these

additioiVto the direct payroll costs.

called tJiemamnce of .its outstand-

ing

Auto

tre-

widespread that

The increase in employment of those workers in the
for the
eighth consecutive month during
The total was 603,635 hourly and salaried
employees, up

for 1947-1949.

Industry Employment Continues to Gain

which amounted to

Mr. Benjamin announced*

nancmg,

are so

•.

...

*164.4%

district

The above dollar figures do not include costs of pensions,'
supplemental unemployment benefits, social security and insurance

publishing fields.
In

*Jndex

^ v

16 last year; and
..

tons

Wage earners averaged 41.0 hours of work per week during •
as against 40.4 hours in February and 33.6 hours
per week*H
during March 1958.

1959,

million

March

expanding in the telefilm,. reTOramg and- music

117

•; •

the operating rate (based on 1947-1949 weekly
and production 2,641,000 tons. A year

ago

was

previous month and $3,092 during

an¬

the

the actual weekly production was placed at 1,334,000 tons,
*83.0%.:,7,
v.

March a^year ago.

...

vision

into inventory.

now—not

from

that

announced

ago

v The
average hourly payroll cost for wage earners during
March also set a record at $3,336,
compared with the former high
of $3,326. p^r hour paid in the

;

six','

release

and

expected letdown in the
no
strike, production this

continued

....

the

recently

will

125

94.2%.

A month

hourly and salaried workers have been
industry's payroll since May 1958, the low point
recession, American Iron and Steel Institute said

year s

Institute

Steel

output for the week beginning April 27, 1959 was equal

production)

February figure, the Institute said.
iJ'* The payroll for hourly and salaried employees during March
was a record $385,413,953—a gain of more than $51
billion over
the February total. The prior record
payroll v/as $344.4 million,
paid in, January 1957.
••
;

com-

received

pictures

with

compared
.

iri

used

releases

Awards,

Academy

rate of between

cast is

103,000

than .23.000

more,

business. •' United; Artists,

pany's

that

will

expansion of the

Actual

May 3.

industry

participation based
on
the net profits alter taxes of
the
companin excess of
$3,500,000. '
Mr.
Benjamin stated that the
new

last

additional

than

interest

small

steel

and

92.8% of the utilization of the Jan. 1, 1959 annual capacity of
147,633,670 net tons. Estimated percentage for this week's fore¬

•,

the

Iron

tons of ingot and steel castings (based on average,
weekly pro¬
duction for 1947-49) as compared with an actual rate of *163.5%
of capacity and 2,627,000 tons a week ago.

added to the steel

fixed inter¬

6% with

seems

.•

"Iron

steel to be put

need

company at any

within* the

time

with

strike oi
exceed the record of

said

Iron and Steel
the

initially
of $5,CQ0,000 at

balance

cover

panies

be taken down

option of the

miracle

American

94.2% of Capacity

operating rate of the steel companies will average *166.1% of steel
capacity for the week beginning May 4, equivalent to 2,668,000

major* mill is rechecking its inventory calculations. If steel
use is greater than
figured, this may show up in the next 30 days
because the mills are now
moving into the period when they have
more tonnage booked than
they can ship.
One significant point: Steel users are
pressing for delivery
of specific lots of steel rather than blanket orders of the
type

by F. Eberstadt & Co.
notes will

The

and

apart

one

purchase

$10,000,000- of

annual

offices indicate
,j mendous tonnages of steel. These reports

by the Puritan Fund, Inc. of Bos¬
ton. The placement was arranged
of

Even

;

the greater portion of these notes,
the balance being purchased

total

far

Age," reports .from mill
metalworking companies are chewing

with

quarters,

Furthermore,

President.

Insurance

agreed

rev¬

into

run

approach

'set in 1955.,,

pri¬
$15,000,000 of
6% participating promissory notes
due June I, 1974, it was announced
yesterday' (May 6) by Robert S.
Benjamin, Chairman of the Board,
arid

their

ingot tons.

heavy melting grade

now.

going

are

first six months could

arrangements for the

placement

interpreting steel management's stand
close look at steel labor's actions and history,"

mills

cluded

vate

appear

it is

Steel Output Based

operated

negotiations with business at the
f best level in history. The
strength of the market, even apart from
inventory accumulation as a hedge against a possible strike, has
\ been surprising to nine out of ten steel men. Steel output in the

Corp.
Arranges Financing
Artists

sides

"This view is based

The

United Artists
United

which

struck coughed up * a-percentage of
were shut down.
"*

were

"Iron Age" commented.

"...

•

and

hap¬
happen to

airlines

determined in their positions that
nothing short of
likely to prevent a long and bitter strike. '

capacity

plan,
,

Meanwhile,-both

this

to the lines that

enue

own¬

—

airlinc^lan.... .Under

recent

words,

frontier ahead—the

a new

as
w—

this far,

come

of scrap dipped last week to $34.33 a gross ton, off 34 cents. It is
down $15.30 from March 1957—the last time the industry operated

inflation,

forms.

Having

the No.

7.0%

above

production.

amounted to 45%

go up 6 cents an

hour, steelmaking
debentures tendered through -the ^
costs will rise about $1.08 a ton (18 manhours).
An increase of
expiration of the.conversion pe32.I6 will be warranted because costs of purchased goods and
ri2r °U"t
>Pur<?"as^ • : services usually increase as much as direct labor. An 3 cent hike
offer
by the stendby group .is- -• jn dh-pct
employment costs means $2.88 a ton; an 11 cent rise, $3.96.
equivalent to $22.77
per
share.
The industry will seriously consider not raising
prices because
The closing price yesterday,ofthe
ycf; govern merit opposition; inroads of foreign steel, and competition
stock
was. $27.75. -The
plyingothbr mateflals.: : ' V"'
price of the remaining, $4,465,700
*
if'the;industry decides price relief is mandatory, the increase
2.11 issue was «pi on'ok ^
will probably come in two instalments—one right after the con¬
ture
$130.25.
tract is "signed "(enough to partly offset direct labor costs) and
United Artists on
May 6 de¬
another about six"months later (to cover some passalong costs)
clared the regular quarterly divi¬
if the economic coast is clear.
-

Shipments 6.8% Above Production

Lumber shipments of 477 mills reporting to the National Lum¬
ber Trade Barometer were 6.8% above production for the week
ended April 25. In the same week new orders of these mills were

orders

Unfilled; orders

of stocks.

reporting <mills

For reporting softwood mills, unfilled

equivalent to 21 days' production at the current rate,
production.
*
• •*.
/

were

and gross stocks were equivalent to 41 days'
For

the year-to-date,

2.7%

were

shipments of reporting identical mills

above production; new orders were 4.4%

above pro¬

duction.

dend of

common

stock of 40 cents

share, payable June

per

-»

Steelmakers .arc 'producing

$3,262,000 in the same pe¬
During the quarter ended

March

1959

$19,300,000,
500,000

gross

revenues

with

were

$16,-

compared

year

the

last

mills

Rodney W, Brown
Rodney
F.\

passed

Brown, partner in
Moseley &
Co.,
Boston,

awaj^

suddenly

May 2.

few

especially

earlier.

and shipping at capacity, the
They're not overbooked in terms of optimum performahce, but they have made no allowance for breakdowns,
wildcat strikes, .or transportation tieups.
Deliveries are almost
sure to lengthen even if production remains at a record high.
In
magazine said.

come

riod.

mills

are

weeks,

several

steelmakers

have

fallen

behind—

gjdvanized, cold-rolled, and hot-rolled sheets.

Some

five weeks off schedule.

Metalworking has its sights set 011 record profits in the second
quarter, "Steel" said. It will hit the target if the capital goods
industries catch up with the recovery pace of the general economy
and if of er metalworking industries continue their present rate
of

imorovement.

was

orders

13.4%

were

above; shipments

were

16.6%

above; and new

1.4% below.

Business Failures at Lowest Mark in 12 Weeks
Commercial

(he. steel

industry ;are being met by progressively small price
to stockholders of record
May;25.: /-hj.kcsi.'rt For.v those increases announced immediately after new
Holders who convert their debenr
wage contracts, *the price'rise for each penny of increased ernploytures on or prior ,to; May 25 w.ill
ment costs was 15 qrints in 1958; 37 cents, 1956; and 54 cents, 1949.
be entitled to receive the dividend.
Steelmakers operated their furnaces last week at 94.5% of
United Artists recently an¬
capacity and produced 2,676,000 ingot tons, the largest output in
nounced that sales in 1958 had
history. April's production was 11.3 million tons second only to
; that of March (11,567,000).
increased to $84,000,000 from $70,-

from

above; new orders were 3.9% above. For the latest week, as
against the corresponding week in 1958, production of reporting

"Steel" said that constantly increasing costs of employment in

18,'1959

000,000 in 1957 and that net- in¬
had increased to $3,702,000

Compared with the previous week ended April. 18, produc¬
tion of reporting mills was 0.5% below; shipments were 1.9%

week

and

ended April

industrial

failures

declined

275

the

30 from 300 in the preceding week, reported

Dun &

Bradstreet, Inc. At the lowest mark in 12 weeks, casualties
considerably below their total of 336 in the similar week
off moderately from the 297 in 1957. However,
they edged 4% above their prewar level of 281 in 1939.
Failures involving liabilities of $5,000 or more decreased to
239 from 259 in the previous week and 313 a year ago. While small
casualties, those with liabilities under $5,000, also dipped during
the week to 36 from 41 last week, they remained above the 23 of
this size in 1958. Liabilities ranged above $100,000 for 28 of the
fell

last year and were

week's casualties, as against 31 in the preceding
All industry and trade groups had lower tolls

tion where failures
casualties fell to

rose

to 47

from 38

week.
except construc¬

week earlier.

Retailing

139 from

149, manufacturing to 41 from 54, and

wholesaling to 25 from 35.

The commercial service dip was slight
prevailed in all

—to 23 from 24.

Declines from last year's levels

lines.

Geographically,
trated

the

most

of the

week's downturn was concen¬
76, in the Middle

Pacific States, down to^62 from

Continued

page

The Commercial and Financial Chronicle

'Continued from page

Debentures

Market

Public offering of $30,000,000

Atlantic States, off to 92 from 110, and the West North Central,
down to 9 from 18.
Contrasting increases occurred in three re¬

gions; the most noticeable rise lifted the East North Central toll
to 48 from 37. No change was reported in two regions, including
the South Atlantic States which held at 23. Fewer businesses failed

Wholesale Commodity Price
The
Dun

in seven of the nine regions,

than last year

Index Moves Upward

Daily Wholesale Commodity Price Index, compiled by
Bradstreet, Inc., rose to 278.06 on May 4 from 276.76 a

One year ago the index stood at 278.34.
Figuring in
the increase from last week were higher prices for cottonseed oil,

week ago.

packer's calfskins and ribbed smoked sheets of rubber.
" Demand for wheat was light and in view of large supplies,
trading was slow this week. Prices dropped several points. Corn
,

increased with fairly strong demand coming from both
domestic and foreign-buyers. Rye ended at a higher level than in
the previous week while oats fluctuated narrowly and finished
unchanged. Soybeans weakened and closed at a lower price de¬
spite light marketings.
Bakery flours moved very slowly the past week despite indi¬
cations that the supply of soft wheat may be smaller than last
year.
On the other hand, rice found rather strong demand, particularly in long grains. Prices remained the same as last week.
Sugar prices remained firm in quiet trading.
Refiners were
apparently holding off pending additional offerings. Coffee trading
was light and dropped slightly.
Cocoa futures dropped slightly in

•*.

prices

slow

trading.
Receipts in the cattle market increased 10% over the previous
week with over 70% in slaughter steers.
Prices remained at last

shipping outlet and
weakening of prices in some cuts of pork at wholesale drove
prices of hogs down. Trading in lambs was rather active early
week's level.

Larger receipts, lack of broad

close.

but turned slow at the

last week

Prices were unchanged

from the

previous week.
'
prices rose slightly this week with the market
strengthened by moderate sized mill orders and short covering.
The Department of Commerce announced prices to be paid by the
CCC under the price support program for 1959 crop Middling I
Choice A cotton at average location will be 34.1 cents a pound and
Cotton

for

Choice

cotton,

United States cotton

28.4 cents a pound.

exports for the week ended last Tuesday were estimated at 45,000
compared to 54,000 bales the previous week and 124,000 the

.f bales

year

before.

1984, with
purchase warrants
attached,
was
made
yesterday
(May 6) by a syndicate jointly
managed by Blair & Co.
Inc.;
Scherck, Richter Co.; G. H.

Wholesale Food Price Index Slips Fractionally
After four consecutive weeks of remaining unchanged

stock

Cleveland

First

The debentures
principal

Corp.

offered at 100% in

were

amount, plus accrued interest from
May 1, 1959.
Each
debenture
carries
two
warrants

registered

the

entitling

holder to

purchase for cash a total

of 20

shares of common stock for

each

$1,000

principal amount of
prices ranging from
share through May 1,1964

;
.

living index. Its chief function is to show the general trend of
food prices at the wholesale level.
Consumer

Buying Slightly Over Last Year

Unpleasant 'weather

many

areas

held

consumer

buying

1960.

Net
the

proceeds from the sale of
will be used by

debentures

Textron Inc. to redeem all of the

outstanding

preferred stock,
in the approx¬
$4,590,000, to re¬

class A and class B,
imate amount of
duce

retire short-term indebt¬

edness incurred since Jan.

and

the

balance

3, 1959,

proceeds

will be available for general cor¬

porate purposes, including expan¬
sion of the present Textron com¬

and

continuance

the

working capital. Net proceeds

will be paid into the sinking fund
to be used to retire these deben¬
The debentures will be redeem¬

100%

company's option at
the principal amount,

the

plus accrued interest.
is

Inc.

Textron

company

wide range of

sumer
products, including power
chain saws, electronic equipment,
metal fasteners, aluminum prod¬

batting,

opthalmic

strike of United Parcel Service drivers.

Best-sellers in

bathroom

missile

volume

dollar

retail

trade

the

week

ended

April 29 was unchanged to 4% higher than a year ago, according
spot estimates collected by Dun & Bradstreet, Inc. Regional
estimates varied from the comparable 1958 levels by the follow¬
ing percentages: New England +6 to +10; Mountain +4 to +8;
JEast North Central +3 to +7; South Atlantic +1 to +5; West

Central

and

East

South

Central

+4; West South
+3; Middle Atlantic —8 to —4.
Increased buying of women's cotton dresses, sportswear, and

Central and Pacific Coast —1 to

heavy

textile

and

recent

leaders in the

building,

aircraft,

automotive,
the

are

fields.

addition

With

Nuclear

Metals, Inc., Textron has now en¬
tered

field of atomic

the

The company was

has

epitome of Ameri¬

the

been

initiative

and

mass

produc¬

Even though fur¬

will tend

the idle to work
to

meet

the

ingredient

unem¬

ployment level of over four mil¬
lion
beings should lead us to
question
whether job
opportu¬
nities
would
not
be
greater if
some prices were lower.
As
expansion continues, the
rising investment demand stem¬
ming from industrial research and
management initiative
will
re¬
quire-an increased flow of sav¬
ings. If we are to remain com¬
petitive at home and abroad, we
shall need not only capital -for
implementing technological ad¬
vance, but competitive prices as
well. Competition is, of course, a

but to

debt,

debt.

consumer

and Federal

refer

not

and to business

that of local, State
governments.

In 1958 the growth in consumer,
instalment
debt
slackened,
but
total

indebtedness, in¬
residential mortgage
credit, still grew by $10.7 billion
—a large figure even if less than
the
$18.9
billion rise in 1955.
Practically all of last year's rise
was
in mortgage debt on family
houses which mounted $10.4 bil¬
lion to a total of $118 billion.
consumer

cluding

Fortunately, this rise in the debt
of individuals Was more than off¬
an increase in their finan¬
assets, and so 1958 was a year
in which consumer saving' con¬
tinued at a high rate.' Now, how¬
ever,' both consumer instalment
and
mortgage ' debt are
rising
sharply.

set

cial

put

overtime fails

demand,

But

the

governmental debt sit¬

uation

It is not

different.

far

detail the plight of
governments. in
increasing their revenues. Their
troubles are being widely pub¬
licized. The Federal Government's
to

necessary

State

local

and

spending in excess of its revenue,

however, is especially serious be¬
cause financing it has been com¬
plicated by the attitude of savers
toward fixed-income securities in

general, and government bonds
in particular. Thus, balancing the
Federal budget is more than a
problem for the Budget Director;
it

evidence

determination

nation's

the

protect the-in¬
tegrity of the dollar as a store of
relative
matter..
How
do
our
value. 'As such, our budget be-f
products
compare
with those havior is watched by the finan¬
made
in
other
countries
as
to
cially
sophisticated
the
world
quality, price and promptness of over.
V?
'••*.V
.•+('
delivery?
While we have im¬
Whereas the Federal Govern¬
proved, others may have been
ment had a cash surplus of $2.1
improving, even
more
rapidly.
billion in fiscal 1957 and a small
Early this year our exports were
deficit
of
$1.5 billion in fiscal
down one-fifth from early 1957.
1958, it is incurring a whopping
This decline may he explained, in
cash deficit of over $13 billion in
part,
by cyclical
developments
the current fiscal year. Federal
abroad which reduced foreign de¬
cash receipts "in fiscal 1959 will
mands for our raw materials and
be about the same as in fiscal 1958,
finished goods. At the same time,
but expenditures will be close to
there is clear evidence that our
$12 billion larger than in. fiscal
cherished
advantage
in
some
1958 and $15 billion larger than
types of machinery, as well as in

Island

Rhode

energy.

until

the company

has expanded, under
of diversification, into
unrelated non-textile busi¬

program

nesses, with the result that nontextile operations represent about

75% of sales.

slightly oyer the similar 1958 week, with principal gains in lightweight suits and Summer sportswear, especially knit shirts.
Sales of household goods were highlighted
by substantial yearto-year increases in furniture, especially lawn tables and chairs
&nd dinette
sets.^ Interest in floor coverings and draperies was
sustained at a high level and appreciable gains over last

year

There

was

slight rise from both the prior week and
Appliance volume was sluggish
year ago in air coolers and refrigerators.
close to the prior week. Increases in frozen
a

last year in purchases of linens.

with declines from

Food sales were

foods, canned goods, and fresh meat offset declines in
products and poultry.

some

dairy

For the year

and

its

1958, the

subsidiaries

company

had

consoli¬

dated net sales of

$244,227,000 and
consolidated net income of $10,756,000, equal to $2.51 per common
share.

Sales

1959

of
on

in the first

amounted

quarter

$64,949,000

which net income amounted to

fiscal

mass-

1957.

(includ¬ arising out of decisions made a
competitive so year ago and earlier. For some

lies in keeping our costs

that American firms may produce

and

ion accessories for Mother's Day.

Sales of men's apparel advanced

other

1928

in the Textile business. Since 1953,

many

certain

and

Consequently, the Treasury has
produced items has been dimin¬
ishing.
This is a situation that been frequently in the market for'
will not be cured by ignoring it, funds because of fiscal decisions
made in the past. The deficit that
or by the mere passage of time, or
by passing laws. The sole solution has to be financed currently is
ing

September, 1953, it engaged solely

autos

incorporated in

beach wear boosted over-all sales of women's apparel moderately
last year; there were appreciable year-to-year gains in fash¬

over

parel, furniture, and floor coverings. Volume in new passenger
was sustained at a high level and sales remained noticeably
according to scattered reports.
total

accesso¬

products,

tooling and machinery, metal and
plastic castings and textiles. Tcx¬
tron's customers

cars

diversified

with a
industrial and con¬

manufacturing

ucts,

ever a year ago,

even

expansion

after May 1, 1960 and
is exercisable on or after May 1,
on

ries,

slightly higher than last year. Volume in New York
below that of both the preceding week and a year ago

occurred.

Huntington.
joined by Buf¬
Detroit, which

falo, Erie and

afflicted.

be detached at any

may

the country as a whole were some lines of women's Summer ap¬

and

been

ther

shares,
time

warrant, for the remaining

this week below that of the prior period, but over-all retail trade

•

have

ilies

of the
at any

exercisable

and

remained

Wilkes-Barre
These

fort statisticians but not the fam¬

time

1984
One

barley, hams, lard, cottonseed oil, cocoa, and eggs.
The index represents the sum total of the price per pound of
raw foodstuffs and meats in general use.
It is not a cost-of-

North

areas

any

warrant, for one-half
shares, may be detached

The

dependent upon
The list of cities
with one out
of eight workers
jobless contains the long-suffer¬
ing
coal
towns
of
Scranton,
and

other

including

able

gions

heavy industry.

time oh or after June 1, 1959. The

May 1,
when the warrants expire.
and

tures.

due to

Unemployment is down from
recession
levels, but it con¬
to plague the mining re¬

tinues

The rate of un¬
employment 19 months after the
last cycle peak is only slightly
above comparable experience in
1948-50, but is higher than the
1953-55 experience by about 1%.
Such a comparison may com¬

Commodities quoted higher in price this week were sugar,
steers, and hogs. Lower in price were wheat, corn, rye, oats,'

was

its

tion know- how.

;:: +

alone to

$25 per
and at increasing prices thereafter

from the exercise of the warrants

City

unemployment, prices, and

debt.

can

Tcxtron's diversification program,

words:

debentures at

last year.

■

The

and

Co.

Walker

,'■/

Tragic to Permit
Inept Financial Husbandry

debentures due May 1,

common

$6.16, the wholesale food price index, compiled by Dun & Bradstreet,. Inc., slipped a fractional 0.2% on April 28 to $6.15. The
current level was 6.5% below the $6.58 of the corersponding date

„

Thursday, May 7, 1959

It Would Be

subordinated

Inc.

Textron

panies,
•

Continued from first page

{30,000400 Textron

The State
'

'(2120)

labor

costs)

time in the future we will have to

people
want,
at live with the fiscal decisions now
prices they are willing and able being made. • We are all aware of
the circumstances that have given
to pay.
•
\
Prices were buoyant during the rise to large national defense ex-*
At the same time,
recent decline and subsequent re¬ penditures.
covery.
In the recession, the in¬ nonmilitary Federal expenditures
have also increased, partly as the
dustrial-price average fell less
than 1%, even though prices of result of farm price-support pro¬
materials
slipped
considerably. grams, partly as the result of
This was similar to the 1953-54 governmental
actions
taken
to
experience. Early last year, how¬ offset recession, and partly as the

what

enough

prices of farm products and result of such built-in stabilizers
As a re¬ as unemployment compensation*
sult the total wholesale price in¬ Prospects are that although eco¬
dex rose 1% during the period of nomic recovery will bring a big
business contraction.
Since the increase in
receipts next year,
turnaround in business activity in expenditures will continue large.

ever,

foods went up sharply.

$4,580,000, or $1.01 per common
May* 1958. the average of indus¬ The attainment of a balance is
share.
Comparable sales in the
trial prices has risen 2% and is precarious unless positive meas¬
first quarter of 1958 were $56,now about
1Y2% above the pre¬ ures are adopted.
170,000,
on
which net income
vious
all-time
high.
Though
amounted
to
$321,000, or three
Current Monetary Problems
there has been unused capacity of
cents
•

Nationwide Department Stores Sales Up 4%
For
Department store sales
.

on a

country-wide basis

25,
preceding

For the four

According to the Federal Reserve System data on department
store sales in New York
City for the week ended April 25, as
compared with -like period last year, is not available.
In the
preceding week, April 18, an increase of 8% was reported; April 11

With E. M. Adams Co.

taken from

the Federal Reserve Board's Index for the
week, ended April
Increased 4% above the like period last
year.
In the

an increase
over
«>r

of 18%

New

York

reported and April 4 showed an 18% loss
The Board likewise reported a lack of data
sales in the four weeks ended April 25 as

was

the 1958 week.

City

compared with the like period in 1958.

share.

April 25 Week

week, for April 18, an increase of 6% was recorded.
weeks ended April 25 a gain of 3% was
registered.

per

(Special to The Financial Chronicle)

PORTLAND, Ore.—William W.
Brown is

now

with E. M. Adams

Co., American Bank Building.

Foster & Marshall Adds

human

resources

nad manufactur¬

Sixth Avenue at Oak Street.;

turn

ing plants, industrial prices have Reserve

now

certain

problems

that

Federal

rent.

cur¬
A basic function of the Sys¬

the two previous recoveries when

tem

prices did not advance signifi¬
cantly until after output was well
above its previous peak. One may
ponder the
question: have we
paid the fee for an adjustment we
didn't get?

reserves

risen

sooner

and

faster

than

(Special to The Financial Chronicle)

PORTLAND, Ore. — Robert T.
Morris, III, has joined the staff
of Foster & Marshall, Southwest

In this Devil's Brew of trouble,
containing unemployment and ad¬
vancing prices,.-there, is also the

supply

that

volume of

will

banks
with
provide the

credit that is in keep¬

ing with stable economic grn«*h.
The

objective is to supply neithef

too

much

credit

nor

too

liuie.

Monetary policy made credit easy

during
Debt in the Devil's Brew

are

the

period

economic

contraction in order to hasten the
turnaround.

Credit

continued

throughout the early recov¬
period andvthe money supply

easy
ery

;

'-oir'

-■

Number 5844

Volume 189

The Commercial and Financial Chronicle

bolstered by sufficient
capital to take advantage of them,
It is a mistake to equate economic
growth with governmental spending. We nurit ask ourselves: What
kinds of growth are most beneficial? What kinds of governmental
spending are conducive to stable
growth and what kinds are detri-

expanded very rapidly from February- toAugust. - If the money
supply be measured by Currency
and demand deposits, the annual
rate of increase
(seasonally adjusted) was about 8% in that
brief period. For those who prefer to include time deposits in
their

vances

definition, the rate of exwas
even
more
rapid. mental?
Poor Measuring Rod
vigorous recovery of busi¬
1

ness

the

second

half

year, the Federal Reserve System
acted to moderate expansion in
»»

should

the

about

W&s

adequate job opportunities are
goals that all agree upon, and so
sustainable growth without inflation is high among our accepted

freedom

passing,

a measure

rmintrv'<!

nrnPrP«

wiJv

it*

ntc

anrf

f™My t0 satisty Human wants to

1958

entire year
4%. Was this

for

observe,

that GNP is too limited

the money supply so that the increase

ranks of business. This is in sharp
contrast, it may be added, to their

The

the

serve as the sole basis for com-

citizens deal with general we elect to spend, we must figure
objectives, there is very little out how the bill Will be paid.
dispute.
Everyone
wants
the
In homespun language, "There
country's standard of living to is no such thing as a free lunch."
continue to rise. Prosperity and Government cannot give to some
as bur

objectives. Political and economic

pansion
With

(2121)

American hallmarks,

are

freedom

economic

make

decisions

private
only

not

citizens what it does not take
others.
A nation
cannot
spend more than it earns through
production. The goods we enjoy
have to be produced by someone's
sweat and by someone's saving. Intemperate and unwise decisions
could
squander
our
resources,

from

experience when similar requests
made to labor unions.

are

These,

of course, are precisely the groups
should

be seeking to reach
discharge of our responsibility as businessmen. And,it
must be part of the assigned task
of plant managers
and
junior
officials of our organization, in

the

addition to

the

principal

execu-

tives, to respond to opportunities
consistent with our system of eco- magnificent as they are. But if to make such contacts and to exnomic and governmental organi- our decisions are prudent and press their views.
,

zation; it is one of the basic hu- balanced, and if
,rQi110S!

mQn

«;,«

that

assess

cor-

—+;—

Hesitation

the nart of bu<?i-

xiesuauon on ine part or dusi-

counter-recession increase

appropriate
the

growth?'

...

xir, ^

stable

for

problem faced by the
to help achieve and
proper relation be¬

maintain

needs

V',

Another

System

amount?

exceed

tween the total of demands

the

™-vvv»v„uv

material

goals are only one aspect
of life. In the ecosphere, however, what is

our

way

nomic

capital markets and the total flow
of saving.
If these capital needs
cannot be met out of voluntary

...

•,

Continued

desire to be able to produce

«...

^uuudc

from

page

auu

mi uyjjc.,

laxever
whatever lessons
lessons

business

Take

us.

Businessman's Responsibilities
In Domestic and Woild Affaivs

it may
may
11

pn,

Jimont

capital

nopdod

Snendine die-

will

arm,no

!^Plv

expenditures. In the year 1955
iifvp the chunle*
enjoyed an extraordinarily Sp/fnr rpal nr.d sustainable
high level of consumer expendi- lrnwtb__iri fart
it
mav
imnede
tures for automobiles, for housing, ^..Trhanars
Frnnnmir
m-owth
and
for
many
durable
goods, w hrrn assnm'a^d wifh the shiftBusinessmen, encouraged by these
and maa*™™**
einnnnA
+hoir
ms U1
uuuiiui cum xuct
strong demands stepped up their
capital expenditures, partly be- nrnrhir-tive industries nnd occause they were projecting these
we

record

into

level of

the

future.

Position to exercise compel- ies

cu^
SStivitV

The

outlays for fixed

■■cjjanges

tor durables and. Housing naa re-. ~ ~

maior

patterns

nonetheless

q£

example

of resource

mav

exact

and

administration

even

offset

rhl
the

the

emergence

decline

the

our

livQ

position

cannot

fail
,

More and

companies must
_

encourage their employees to participate in local political and civic

affairs. More and
nies must

express

more compatheir views" on

political issues and on the meaning and significance of a better
business climate to their shareour owners, employees, neighbors and

larly of business. It

their respective alma maters.
cause, and they must be made
The
other
department
deals know, it.f ""; V
know it.:
'

It is the plain and simple truth
businessmen to dissipate that con- with government relations. It is
It is the plain and
a
service
wmcn +iw
fusion and help restore that,bal- « service organization which that business, like government, to
—
up-to-date
on
political dedicated to the general welfare.
keeps
an9e».
.
Z"1,
and
.

tree

«sutu™, ruinpcuuve ui- men is wuouguuux

wuuuy vu well-being of the people. To make

day-to-day relations

with

trU|hi .;this dedication, clear

to all,

and to conduct ourselves

economic understanding both at local, state and Federal Govern- accordingly, is the ultimate

7^® home and between citizens of the ment officials. Thus, it performs
of

then—if

work,

Participation in Public Affairs

greater. They cut back
their
expansion programs. The
consequent falling off of business
capital expenditures in 1957 was
clearly a major factor in the re¬
times

vlars S

government
land in tho

which

sound—the result
to be constructive.

match foreseeable demand—some-

recent

front

linS power both at the economic educational-support programs in- thought leaders — people from
and Political bargaining tables.
eluding grants, fellowships, and every walk of life, from every
In short, the great forces of gov- our so-called Corporate Alumnus part of the country, and in every
ernment, labor and business man- Program under which the com-,, income bracket. These are the
agement are today out of balance, pany agrees to match contribu- people we must reach, by word
People everywhere are confused tions made by any of our 32,000 and by act, in hundreds of difas to the true place, responsibility college
graduate employees to ferent ways. Their cause is our

government, and the necessity for their

the

temnoraiS^a^cl in^mpto- terPnse»-: adequate but limited these matters and assists them in thM

in many

seats

communities

sharply. Then businessmen
industries decided their.
capacity was great enough to

ceded

broad

throughout

the

and function of each and
resomces^—- m^andfunrtion rfeaei is ourparticutask as

demands

but

teach

just

greater quantity?
Is it more
missiles, or more perfume? More
savings and if an increase in the
p}ant capacity, or more schools
money supply under such circum- an<j
roads, or more farm crops?
stances would be inflationary, a jy[0re
producer goods or more
monetary policy geared to sus¬ consumer goods and services? In
tainable growth must be restric¬ our
economy, of course, the mative and some would-be borrow¬
jority of these decisions are made most everything, and m many mg, however, we have in our
ers must be disappointed.
in the market place. The role of countries reconstruction — result- staff organization at headquarters
government, however, has been iRg in conditions under which two clearly-defined departments,
Recession Lessons and Current
government continued to enlarge One of them deals exclusively
progressively widened.
Concerns ' >■-.
ttnvprnmpnt
«?npndinff will not its
area of responsibility,
and with educational matters, relaIt is illuminating to ponder re¬
,har pi
ihL ,nvin«c rSnnirpH in labor unions—many of them now tions with colleges and universicent history in order to distill
nvido the tools of other canital
industry-wide—found themselves ties throughout the country, studfrom

DU1ty.

speak out, quietly but firmly, not

-n

■

x^vu

gponsibility of

reevery businessman,

natlons of the world, then we a research, planning and clearmg-

on a far larger scale involve
house function with the objective
ourselves—responsibly as business of creating a widespread understatesmen—in domestic and world standing of the impact of present
affairs. And we must resolve that or prospective legislative issues
Growth and Price Level
lit.
this kind of work is a regular con- on industry generally and the
cession.
Aetna Securities Corp. of New
Healthy growth of the economy
^nujng assignment for ourselves company in particular,
York and Miami Beach announced!
can
be attained only by a close
Susfainability of Inventory,
anc| our associates, and get on
The creation of these specialgearing of bank credit expansion
^he task of determining how ized groups to perform clearly- pu May 5 that the sale ctf a new
Wage, Price Decisions
with that of the economy generwe can be most effective.
defined work in the educational issue 0f 150,000 shares of Chemical
By the same token, the inven¬ ally. Such growth requires that
and political areas has produced Milling International Corp. com*—
tory policies that had seemed ap¬ the central banking system proNeed for Business Organization
encouraging results and we have mon stock at a price of $2 per
propriate in the light of peak

electronic

and

other

new

must

indus¬

Chemical

tries.

Milling fart.

Common Stock Sold

activitv

W?th Cystine

bv vid€ eneuSb but not tw much
keeS P1°ney i°
a."^ I?al.n,a'n
An^so ^.alanc®d growth without mfla-

found

were

Meds

in-

Well, then how can we be most no hesitation in commending this ®J?ar® has1 been completed. Cantor,
effective? This, after all, is the approach to others.
Fitzgerald & Co., Inc. and V. K.
crux of the problem. The answer
One final thought on the matter Osborne & Sons, Inc„ both oT
J» both obvious and simple but, 0f effectiveness in discharging the Beverly Hills, Calif., participated

Siderabiy in the short run, tne

about it. Today there is a modest sponsibility will not be discharged
if measured by but growing number of companies by making pronouncements, howbeen remarkably wj10 have seen the light and are ever wise, to one another. How
represent ^decisions made some durable. Except for the decade {akimg the necessary action. The many times have you listened,
tune ago. We are not sure of the containing the Great Depression
answer jS) Gf course, that the way
just as I have, to a fine, thoughtextent to which the inflexibility we have had appreciable growth
to get anything done in a business ful and statesman-like talk on
of .industrial, prices during the during every decade for the last
•r

,.T.

Many of the currently prevail-

prices

and

wage

rates

growth

also decades,

process,

has

Corp. intends to use the net proceeds from the sale of the stock to
establish a. plant in the Los Angeles, Calif., area,
The company was incorporated

recession

price and
ess.

£es+1

But price rises during a re-

tfn0

fostering recovery.

Diluting the purchasing power

is that

g^wth was strong during defined, a manager and necessary
penod of failing prices
ich gtaff must be appointed, and ade-

weHStetoed taModucHvl WaS

milling

not such that the
executive or one of his of-

of this task are

fjcers

can

handle

them

spare time. The character of
nee(je(j
organization
will,

his

the
of

C0Urse, vary widely depending on
the size and geographic dispersal

the

company.

But

until

the

imp0rtance of these matters has
been recognized at the. top by
- •—
assigning
specific responsibility
f0r them to one or more qualified

executives, preferably full time,
nothing, or substantially nothing,

will result.

production

service

Surely this does 110 harm; it manufacturers of aircraft and
may even do a bit of good. But other products and their sub-con-

came in thethird^of; ttie 19th quate facilities provided.
Century, and that growth was
Then, and only then, will things the fact is that 95% of the speakbegjn to happen. The dimensions er's audience understood the prob-

provide per- rapid during the aecaae ot tne
manent
employment opportuni- 1920s when prices were tairiy
ties. Persistent depreciation in the stable.
This evidence suggests
value of the dollar does injure that
price
stability ana rapia
those who must live on fixed in- growth are quite compatible, ine
comes.
But the protection of the essential point is that per capita
purchasing power of the dollar growth depends to a considerable
goes beyond the important con- extent
on greater productivity,
^deration of equity for such in- Productivity, m turn, depends on
dividuals.
For one thing, infla- the existence of a iiexipie ecotion diverts business energy into nomic system, one ready to use
speculation and away from the advanced technology.
increasing of output and of proThe
decision-making
process
ductivity. We know that hyper- needs guideposts. It needs to be
inflation is disruptive to the pro- governed by some general view
ductive process; even small doses
ag
our uxtimate goals: what we
of the dollar does not

leaders!

iem

and

the

issue

and

were

agreement
with
his
the beginning.
Not
so,
however, large segments of
the general public, the educators
0f the country or the political
people. The fact is that our communications
are
grossly inadequate and this problem cries out
for
intensive study and deter.....--- --mined action by every one of us.
one has only to talk briefly
with educators at the college
level, with the directors of wornen's organizations, civic groups,
complete

views

from

tractors. The initial plant facilities
are intended to accommodate

large-scale operations in chemical
milling of steel and aluminum ali0ys, and chemical milling under
laboratory conditions of magnesi-

titanium and a wide variety
heat-resistant alloys,
The company will also engage in
Um,

newer,

activities

sales-related

conversion

coating,

such

phosphating

and other types of metal finishing
work,

With S. J. Dodge Co.
(Special to The Financial Chronicle)

SHAWNO,

Wis.

—

James

think worthwhile and are willWe in General Electric woke religious and political organzas/X Dodgo
tivity
pioaucuve ac ^ to strive f()r. Natlonal ec0. up to this obvious truth much tions, to learn that it is very dif- Co.. 126 South Main Street. He
"Per capita growth Is largely homic objectivism permeate .the more recehUythan I care to ad- ficult for them to get qualified was formerly with Bear, Steams
dependent upon technological ad- decision-making process. As long mit. As a result of that awaken- and informed speakers from the & Co. in Chicago.

The Commercial and

(2122)

Financial Chronicle

Academy Life Insurance Co.
filed 310,000 shares of common stock

March 31

cents) to be offered for subscription by common stock¬
the basis of 0.525 shares of additional stock

holders on

for each share held of record

April 24, 1959 (for a 20-

Thursday. May 7, 1959

ADDITIONS

SINCE
•

American

(par 30

* INDICATES

Now in

Securities

Buyers Life Insurance

Co.

ITEMS

REVISED

ISSUE

American

and

Associated Testing Laboratories, Inc.
(5/20)
(both of Phoenix) permitting them
April 22 filed 166,666 shares of common stock (par 10
:o purchase
stock at $1.25 per shares Sales personnel
centS)
Price—*3 ner ehnre
Proceed?
Vnr-v-mifni
aave
been given the right to purchase stock at $1.25
penditures and general corporate purposes,
including
per share up to the amount of commission they receive
•working capital.
Office—Caldwell, N. J. - Underwriter
m stock sales made by them.]
Proceeds—For the opera¬
George, O'Neill & Co., Inc., New York.
;
^ X
,
:
tion of other branch offices, both in Arizona and in other
dates. Office—2001 East Roosevelt, Phoenix,. Ariz. Un;v
Atlantic Research Corp.V(5/l'S-22'i
Life Assurance Co.

supplied by amendment.
Proceeds—For additional working capital.
Office—405
Exchange National Bank Bldg., Denver, Colo. Under¬
writers—Boettcher & Co., Inc. and Bosworth, Sullivan
& Co., Inc., both of Denver, Colo.
Price—To

standby).

day

Industries, Inc. (5/15)
$1,500,000 of convertible subordinated

Consolidated

• Adam

March

filed

Price—100% of principal amount,
proceeds — For general
corporate purposes.
Office
—404 Fifth Ave., New York, N. Y. Underwriter—Dempsey-Tegeler & Co., St. Louis, Mo.
debentures, due 1974.

Advanced Research Associates,

Inc.
shares of common stock (par five
cents). Price—$6 per share. Proceeds—For research and
development program; and for equipment and working
capital. Office — 4130 Howard Ave., Kensington, Md.
Underwriters — Wesley Zaugg & Co., Kensington, Md.,
and Williams, Widmayer Inc., Washington, D. C.
1 filed 400,000

Dec.

Agricultural Insurance Co.
March 23 filed 132,000 shares of capital stock (par $10),
being offered in exchange for stock of Anchor Casualty
Co. at the rate of one Agricultural share for each Anchor
common share (par $10) and 1 1/10 Agricultural shares
for each share of Anchor $1.75 cumulative convertible
preferred stock (par $10). The offer expires on May 23.
Office
215
Washington Street, Watertown, N. Y.

lerwritcr—None.

March 31 filed 110,000 shares of common
stock, of which
* American Commercial Barge Line Co. (5/25-29)
100,000 shares are tb be offered publicly and 10,000
April 30 filed 400,000 shares of common stock (par $3).>
shares -to employees urtder company's incentive plan.
Price
To be supplied by amendment/ ■ Proceeds —To ' Price W To be supplied by amendment; Proceeds
To
selling stockholders.
Office—Jeffersonville,;Ind. Un-/. reduce short-term bank loans and to provide equipment
derwriter—F. Eberstadt & Co., New York.
^
^>£or development and production of propellant rockets.
"

—

Fund, Inc., Denver, Colo.
r ^
1,000,000 shares of capital stock (par one
;ent).
Price—At market?
Proceeds—For investment.
Office—800 Security Building, Denver/ Colo.
Under¬
American

^Office-^Jexandria, Va; JUnderwriter—Johnston/

Growth

Nov. 17 filed

writer—American Growth Fund

Yin

■

-ni

•

'■

•

derwriter—None.

•

Airtek

Dynamics, Inc. (5/13-14)
March 27 filed 150,000 shares of common stock (no par).
Price—$8 per share. Proceeds—For additional working
capital and for repayment of bank and other loans. Of¬
fice
2222 South Figueroa Street, Los Angeles, Calif.
Underwriter—S. D. Fuller & Co., New York.
—

Alaska Juneau Gold
Dec.

filed

Mining Co.
outstanding shares

640,660
of common
stock, of which 300,000 shares are to be offered cur¬
rently and the remaining 340,660 shares in the future.
Price—To be supplied by amendment.
Proceeds—To
selling stockholders. Office—6327 Santa Monica Boule¬
vard, Los Angeles, Calif. Underwriter—Lester, Eyons
& Co., Los Angeles, Calif. No public offering expected.

common

Alaska Mines & Metals Inc.

431,200 shares

are

to be reserved for sale to the holders

of 6% debentures due 1962 issued by
Minerals Ltd., the company's parent

DeCoursey-Brewis
(payment for the
shares by such debenture holders may be made by
delivery of debentures at par plus interest with premium
for Canadian exchange rate).
Purchasers will receive
common stock purchase warrants on all shares purchased

for cash

rate of

one

for the 6% debentures of the parent at the
for each five shares purchased. Price—$1.25

for

common

2020 Ridge

one

Massillon

Avenue, Evanston, 111.

Australian Grazing & Pastoral Co., Ltd.

common.

Robert Kamon

Office—

Underwriter—None.

•

American

Independent

Reinsurance

Co.

subscription by

rate of

rights

1.4

Proceeds

new

expire
To

—

common

for each

May

increase

(letter of notification)

Municipal Financing Corp. (Province of
Alberta, Canada) (5/20-21)
April 29 filed $50,000,000 of 25-year sinking fund de¬
bentures due May 15, 19$4 (guaranteed principal and
interest by the Province of Alberta)

amendment.

Price—To be sup¬

Proceeds—To

used

towards

purchase of; securities of municipalities, cities,
villages within the Province.
Underwriters

towns and

The

First

Boston

Corp. and Wood,

Gundy &

Co.,

Inc.,

both of New York.

Allied

Publishers, Inc., Portland, Ore.

Nov. 28 (letter of notification) 22,000 shares of common
stock (par $1). Price—$8.50 per share.
Proceeds—For

general corporate purposes. Office—665 S. Ankeny St.
Portland 14, Ore. Underwriter—First Pacific Investment

Corp., Portland, Ore.
^-Allied Television Film Corp.
April 28 (letter of notification) 150,000 shares of com¬
mon stock.
Price—At par ($1 per share).
Proceeds—
Forworking

capital. Office—2700 Wilshire Boulevard,
Angeles, Calif. Underwriter—Alkow & Co., Inc.,
Beverly Hills, Calif.
)
Alscope Explorations Ltd.

Los

March 26 filed 1,000,000 shares of capital
stock, of
which 700,000 shares are to be offered
publicly in the
United States, and 300,000 shares in Canada. Price—Re¬
lated to the then current market price on the Canadian
Stock Exchange (31 cents per share
ceeds—For properties,

March 16). Pro¬

drilling costs, working capital and

general

corporate

purposes.

Office

—

303

Bldg., Edmonton, Canada. Underwriter—None
States; Forget & Forget in Montreal, Canada.

Alexandra
in United

American Asiatic Oil
Corp.
Nov. 24 filed 100.000,000 shares of
capital stock. Price—
Two cents per share. Proceeds—To
selling stockholders.

Office—Magsaysay Building, San Luis, Ermita, Manila,

Republic

corn-

shareT Proce'eds

per

expansion, equipment and working capital. Office
—450 Westbury Ave., Carle
Place, L. I., N. Y. Under¬

held on April 23;
Price—$4.15 per share.
capital and surplus.
Office

11.

writer—None./. /•

'•

■

:Automatic Canteen Co. of America

Orange Avenue, Orlando; Fla. Underwriters—
Francis I. du Pont & Co., Lynchburg, Va.; Goodbody
& Co., St. Petersburg, Fla.;
and The Johnson, Lane,
Space Corp., Savannah, Ga.
v

•

March 2 filed 292,426 shares of common
stock, of

which,

the company proposes to issue 126,072 shares to A.M.I.
for the latter's property and
assets, and the re¬

Inc.

maining 166,354 chares are to be issued upon the exercise
Investors Syndicate, Inc.
of stock, options/ Underwriter—None. Statement effec¬
(letter of notification) 100,000 shares of com¬
tive March 31;
mon stock
1 •-/V(par 10 cents). Price—50 cents per-share.
Proceeds—For operation of an apartment hotel. Office
Automation Instruments, Inc.
<
•
i
513 International Trade Mart, New Orleans 12, La.
:oi
\ koa
^
Underwriter—Assets Investment Co., Inc./New Orleans, '
t
common
r mifciina
/..stock. Pricer-$0 per: share../- Proceeds—To go to Lester,
.'
u
/'://»>. Ryons & Co;
/securities fully and finally paid as an
P"f
7
**-*5)
. r, obligation (.f the company.
Office—401 E. Green Street,
April 13 filed 400,000 shares of common stock (par 50 ;
Pasadena,, Calif, Underwriter^-None/ No public offercents).
Price—To be supplied, by/;amendment.
Pro- '/ing^planned^/
/
' '7 '
.' v/-s/./-.
ceeds—For expansion and working icapRal. Underwriters
' / ^
;
;:/:V
^ '
—Auchincloss, Parker & Redpath, New York; and Wil^* Avnet Electronic^ CorpI f9/18-22)
,*
son, Johnson & Higgins, San Francisco, Calif. ■ •April 17 filed 175,OtlO shares oPcoinmon stock, of-which,
American

Feb.

—

--v

American Mutual Inveatment Co,
rtan

1Q(?7

-$1020
Tii.t

trust

per

not..

notes,

-filrarl

4QH

eVlorn

Inc.

fm-Ihe acour* nffert^n

''^1^8 StOCkhol(l^rp:l*flCe-;--i$5,75

Prina *'

pSocMd®^^For

cp/nnA trust -noter „„T
second alTt./ and

75000 shares ere (<, he

r\(

in^fltst'''-,To<r?tire

POT ShafC.

PrOCeedSr—

»resently Outstanding .Joausi-smd'«h.e!,:fcalanpe

will be used tuc working capital and other
jpurpos«s.»ffice 1^70 State St., Westbury, L.

corporate

lpnp.

constructioni.l^n^and

menters

Rodfo

fiP.77

T?nnri

i^r.s

a n-.'^Tpu

f/niif

and

tTnrifkPvvrU^fa

Underwriter—To be named by amendment

Alberta

the

For

ient.

Ballard Aircraft Corp.

plied

100,000 shares of

mon"stock "(lPar 10* cents> ~>rice—$3

stockholders at the

—307

is President.

Automatic Cafeterias for Industry,Inc.
(5/11-15)

April

March^filed 514,500 shares of common stock (par $1L
offered for

share. Proceeds—For general corporate purposes and
working capital. Office—423 Fourth Ave., Anchorage,
•

(par

American Hospital Supply Corp.
>
cattle;
April 20 filed 20,610 shares of common stock (par $2) to -7 raH1°' for improvements;:; to; buy additional ranch —
^' in
be offered in exchange for common stock of Massillon,. Queensland, Australia; and for other corporate purposes.
Office—1301 Avenue L,
Rubber Co. on the basis of nine shares: of American
Cisco, Tex. Underwriter—None.

per

Alaska.

Reno, Nev. UhApril; 7//.T/K '

Statement effective

Feb. 25 filed 1,431,200 shares of common stock (par $1),
of which 1,000,000 shares are to be offered publicly and

voting stock

/.' Jah. 13 filed; 4,000,000 shares of common stock. Price—
; At par (56V4 cents per share)/ Proceeds—To purchase

—

Underwriter—None.

7. »•

Option Plan.

>■/.

• ;

$10)./ Price —$25 /per share.
Proceeds — To purchase'
additional contribution certificates of Great Basin Insur¬
ance Co.
Office—704 Virginia Street,

ir American Home Products Corp.
;///;4
May 1 filed 180,000 shares of capital stock, as to.which
options have been or may in the future be granted to
management ancl other key employees under the com-

pany's Stock

Atlas Investment Co.

Lemon

D. C.

'/Feb. 3 filed 50,000 shares

Sponsors, Inc., 800 Sef

jurity Bldg., Denver 2, Colo.

Co., .Washington.

Philippines. Underwriter
Gaberman
Hagedorn, Inc., Manila. Republic of Philippines.
—

American Buyers Credit Co.
Nov. 13 filed 5,000.000 shares of common
stock, of which
4,545,455 shares of this stock are to be offered for public
•ale at $1.75 per share. [Shares have been issued or are
Issuable under agreements with various

policy holders

April 17 filed 390,000-shares of

★ American Petrofina, Inc.
//'J
May ] filed $450,000 of interests in. the company's Thrift
Plan for Employees of the
company and certain of its'
subsidiaries, and S76.000 of interests .in-the company's
Employees' Stock Plan, together with 52,600 shares of ■

stock

(par $1).

per share.:
Proceeds — To develop and
manufacture aircraft:embodying the body lift
principle,
■...
.....

Goot - UnderViTiter-^--Weil & Co., Wasnington, D.-Ci
/

stock (par $1) which may be acquired
pursuant

common

Price k- $3.25

Baltimore Gas & Electric Co.

(5/8)

•

■'

/April 17 filed $19,925,500 of convertible debentures due
July I, 1974 to be offered for subscription by common
Amican Petroleum & Natural Gas
Corp. Ltd. V/ /k stockholders of record May 7, 1959, on the basis of $100
March 23 filed 745,000 shares of
capital stock (no par), < principal amount of .debentures for each 35 shares of
t° the

plans.

of which

."••/

•

.«.

500,000 shares

are to be sold for the account/ r. common
stock then held; rights to expire ion May 25.
245,000 shares by the holders there- '$■^ Price—To be supplied by, amendment. Proceeds—To be
per share.vProceeds—For explora/used for general corporate purposes, including proposed
tion and development
program. - Office.2100 Scarth' '
consl^upfiQn expenditures, and to-repay any outstandStreet, Regina, Saskatchewan/ Canada.- • Underwriter-^inS temporary bank loans obtained for the same purCumberland Securities, Ltd.,
Regina, Canada;
/-"• - poses. Underwriter—The First Boston Corp./New York.
•

of the company, and
of.
Price—30 cents

•

American Telemail

Service, Inc.

v./>t

Bankers Fidelity Lite Insurance Co. •'
'
,,Feb. 28,1958, filed 258,740 shares of common stock (par
$1), of which 125,000 shares are to be offered publicly
and 133,740 shares to employees pursuant to stock
purcorporate purposes.. Office—Salt Lake City, Utah. Un- .r chase options. Price—To
public, $6 per share. Proceeds—
derwriter—Amos Treat & Co.,
Inc., New York, has with- ' For expansion and other corporate purposes/Office—Atdrawn as underwriter/Change in Name
Formerly '*' tanta. Ga
Underwriter—None!
United States Telemail Service, Inc.
«
'
•
^
..."
•
- ♦
AmictrAH0 UrAHinm
^
, uBankers Preferred Life
Insurance Co. "
;
Feb. 17, 1958, filed 375,000 shares of

;

common

stock

(par

$1).

Price—$4 per share. Proceeds—'To purchase equip¬
ment and supplies and for
working capital and other

—

Tan
Jan.

Tr
16

nnS^i
3,000,000

(letter nf notification)
of

ISwl

rw"' cent).

nnnnnn

•

shares of coirt-

stock

(par/; $.1.60.).

expenses
-

Under¬
,

acquire
Bowling centers and increase working capital (part
to be used in
defraying cost of acquisition of stock of
owner of a
Brooklyn (N. Y.) bowling center.
Office135 Front St., N Y.
Underwriter
To be named by
amendment.
Offerimr—Exnected in ,two ;weeks:
new

—

Price—^$3

per

shares of common
share. Proceeds—For
an

insurance

com-

61^^ & C. Bldg,-Denver! Colo.
Underwriters, Inc., Behver

WW Office-Suite.
Underwriter—Ringsby
,

Basic

Nov. 24 filed 300,000 shares of 20-^601
cumulative con¬
vertible preferred stock
(par one cent) and 50,000 out¬
standing shares of common stock (par one cent). The
preferred shares are to be offered for public sale for the
acicount of the company and the common shares will

Price

incidental to operation of

Colo.

be offered for the account of a
selling stockholder.
—To be supplied by amendment.
Proceeds—To

Jan. 30 (letter of notlifcation) 100,000

.
.

10 cents per share

Armstrong, Round Up Heights, Cheyenne, Wyo.
writer—Bruno-Lencher, Inc., Pittsburgh, Pa.
Associated Bowling; Centers, Inc.

March

Atomics

„,/'

Inc.

filed

444,246 shares of common stock (par 10
Price—At prevailing market pride, in the Ove'rthe-Counter Market.; Proceeds—To

cents).

selling stockholders.

Underwriter—None..
-

Basic

April 9
mon

Materials, Inc.

(letter of notification) 1,200,000 shares of com¬
(par 10 cents). Price—25 cents per share.

stock-

Proceeds—For mining expenses.

- Office—c/o Harold A.
Arroyo Hondo, Santa Fe, N. Mex.
Hyder, Rosenthal & Co'.,/ Albuquerque,

Roberts/ President,

Underwriter
N. Mex.

—

Volume

Number 5844

189

The Commercial and Financial Chronicle

'■■.iic B^isoii-Uhnei^Corp/^E^ ti;
May;,c4VfiIed= 89,620.shares - of; common; stock, of which
76,620 shares are to be offered for subscription by commori S#qkb^ders pf xecord April 30, 1959, on the basis
«bajes.ther^held. Price—

stockholders, and 150,000 shares are issuable upon exer¬
of share purchase warrants, exercisable on or be¬

■

cise

fore Dec.
•\

.^.$6.73 per-share^ The

,re?^imn^4a^0()

sold

f or'a^eQUDtaefigeUmgst^

;; i

ad-i>

^wrkin^',eapit»l an^p^er- g^
corporate
purposes) including researehcai^; de veloppaooL^Office^- •
f; 1860*.F^qkUn! Sjt.jjSanta vi B'earr:Steams &fGo^ New,-;york>-v:Ur^-'
-';

31; 1960 at $5 per share.
Avenue, S. W., Calgary;.

Csmadajv :!

!. Dec.

...

(letter of notification) $200,00)0 of 6% 15-yeai

Sano & Co.,
.•

'April 1 filed $5,000,000 of 6% participating debentures,
_due May ,!,> 1984 ,and l,000^)0Q. .shares of cpmmon stock
;!Vto bp.,pfferedL in; units of,§10>:pf .debentures and two

:^'kliai:e^pf;stbcklwhickwill!;nQtJ^fe!,tr#nsferabtpseparately

:
,?

Until Nov: 14, 1959;r:The~ cPm^&ny is alsb ' registering
-,,;50,00(j shares cn^commph stock^not ihplu^
^bich/;Will,;be^offered to its. eftiployees. Price^In the

neighborhood of $22 per unit; Proceeds—To be used in
acqufsitipiii of substantially all the assets of 39 corpo^>>;rations-andpartnership engaged in the. operation ofi
;5; 195 /gasoline stations in 'Mississippi, ;Texas, Louisiana,
??rAlabama, Missouri, and Tennessee,, - Underwriter-—The
Johnson, Lane, Space Corp-t, Savannah, Ga*. .1
v <
j
.

•. ■.

conveftible debentures; '.Prtce-^At par !($500 per unit)
Proceeds-r^For expansion and working capital. Office—
901 Seneca Ave.,Brooklyh: 27, 'N. Y.
Underwriter —

15 William.;Sl!;iNew York, N. Y.

■

Buckeye Corp., New York *.•

-' -l<v..

April 28 filed 192,039 shares of 5% convertible preferred
stock, series A, (par $10) and 164,299 shares of common
stock (par $1).
All, of the preferred shares and 99,299
shares of

'With

stock

common

will

issued

connection

certain

acquisitions- 6i businesses and assets; the
65,000 common shares are reserved for issuance
under Employee Restricted Stock Options. Underwriter

other

—None.

May 5 filed 152,500 shares of
125,000 shares

stock, of which

common

to be offered for the account of the

are

27,500 shares for the account of selling
stockholders.
Price
To be supplied by amendment.
Proceeds—For repayment of mortgage obligations; shortterm bank borrowings; and for various other corporate
purposes. Underwriters — Dominick & Dominick, New
York; and Schwabacher & Co., San Francisco, Calif.
and

company

Bridgehampton Road -Races-'
(letter of notification)15,00Q shares pf common
(par $1) to be offered for subscription by stock¬
holders of record Nov. 1, 1958 on the basis1 Of one new
Oct. 23
stock

unsubscribed shares!
•l 'will
be' offered to current creditors in'payrhert t of all
,! or part of claims! at the rate of one share for each $4;
"of claims discharged; rights to expire about two weeks
after mailing of7; offer* Price—-$4. fT" share. ProceedSrTo pay current creditors.
AddresP. O. Box-506.
Bridgehampton, L. I., N. Y. Underwriter. — None. Offerfor

each

four

held;

•

fng—Has been delayed.

•

Petroleums,Ltd. -■
March 38 filed 1,150,000 shares of capital stock of which
">1,000,000 shares are owned by Wilshire Oil Co. of Texas ;

^ California v interstate Telephone Co.
•

(5/25-29)
April 30 filed 150,000 shares of common stock (par $5).
To be supplied by amendment. Proceeds — To
discharge current short-term bank borrowings and for
construction program. Office—Victorville, Calif. Under¬
writer—William R. Staats & Co., Los Angeles, Calif.

Price

—

Cemex of Arizona, Inc.
Nov. 17 (letter of notification) 300,000 shares of common
.

Britalta

(Friday)

Corp.)

May 11

/ IS

Atlantic

Research

Corp

Common

(Johnston, Lemon & Co.)

110,000 shares

-Common

(Michael. G. Kletz & Co., Inc. and Amos Treat & Co., Inc.)

(Monday)

$1,006,250

Inc.___-Debentures

(The Johnson, Lane, Space Corp.) $5,000,000

Crown Self-Service

Stores, Inc

-Common
$1,250,000

(Charles Plohn & Co.)

Glickman

(Sumwiit Securities, inc.)r$3O0,eoo

Daiton

>" "

•

CiEti M. B^losby ,^ Co.,^POOjOOO:

Di-Noc

slockholclers—imderu'ritteri by Blair & Co.,

(Offering- to

___

Inc.)

Pioneer Plastics

126,000 shares

Common

—

Electric

Paso

(Rids

.Common

150,000 shares

^^q£;.^£3^i--iDebeniures

I»:. •

■

./> tj. Earth & Co.) $6.300.000

(Bids

i-S*T.«; (Bids

PST>

Electric Co.——^^rxdCommoo
(Offerint ta.«tocfcholder»rT-underwrttten by.'Stone A: Webster

El Paso

V
.

,•

Airtek Dynamics;

;

Associated

Central Illinois
,
-

Light.Go.;_

150,000 shares
_ _—

_• ^—-

(Offering

Marine

■

Bank of

American
.

June
Hirsch (P.

Common

(Monday)

N.) & Co.—

——.Common
Debens.

Corp

Nuclear Electronics

Common
20,000 shares

Corp

.—Common

(Charles Plohn & Co.) $750,000

June 2

(Tuesday)
-Common

(Dominick & Dominick and Schwabacher & Co.)

152.500 shares

Debenture*

(Bids to be Invited) $50,000,000

(Bids 11

(Bids

Inc.)

Common

EDT)

a.m.

June 3
Florida Power &

Power

..Common

710,000 shares

(Wednesday)

Light Co

....

11:30 a.m. EDT)

June 9
Duke

..Bonds

$25,000,000

(Tuesday)

Co.

...

Preferred

(Bids to be invited) $25,000,000

June 16

/Monday)

(Tuesday)

United Gas Improvement Co..

400,000 shares

Co.)

(Friday)

Investors Funding Corp. of New York

Common

—

May 25
Eberstadt

Beads

EOT) $25,000,000

Virginia Electric & Power Co

Commercial Barge Line Co.—Common
(P.

a.m.

Commerce, Washington, D. C

(Offering to stockholders—^no underwriting) 821,250 shares
.

Bonds

(Bids to be Invited) $10,000,000

;

<...

v,465^)00 shares

Potomac - Electric Pb wler Cb. _—_—L-i.
(Offering ta-

—Common

stJakholders—Hmderwritten by Dillort,; Read &
Johnston; Xemon St-Cv.) 1.182,077 shares

California

.2 May 14; (Thursday\"
Chesapeake & Ohio Ry.——- Equip.

.$2*400,000.

Telephone

(Alkow
.

ahd Estabrodk & Co.) 100,000 shares

;;.May..l5^(FH4ay)

;>;V

Florida Power Corp.—-—-------Common
(Ofiermg^fo ' stocklaoMers-^underWritten by Kidder, Peabody & '■
.Co.vand Merrill Lynch. Pierce, Fenner.&r.SmithyJtoc.)
.

'*'*

;
,

.^703,485

Common

Great American
L.

Hermes

Co.,

Inc.)

Common
$4,000,000

Realty Corp

Rogers Co,

and

Electronics

Joseph

shares^,'"

900,000 shares

Common

150,000 shares

Investment Corp. of Florida
(Aetna Securities Corp >and. Roman

Common
& Johnson)

$1,237,500

Mlllti-Amp Electronic Corp
(G.

Everett

Parks

Co.,

June 23

Common
Inc.)

Northern

(Tiwsday)

Illinois Gas Co

Bonds

(Bids to bo invited) $20,000,000

Juna 25

(Thursday)

Mississippi Power Co.

Class A Stock

Mandell Co.)

(£• E. Unterberg. Towbin & Co., Inc.)

Common

150,000 shares

Corp

Florida-Southern Land- Corp.

Trust Ctfs.

Common

,r-,

(Lee Higgihson Corp;

Capital

(Hayd»m, Stone & Co.) $12,000,000

(Louis

T racerlab^,.Inc

Interstate

(William R. Staats & Co.)

Electronics

Co. Inc: and

•

Consolidated Natural Gas Co.*

.Midland

(Offcringr ta, stockholders—underwritten by The.. First Boston
Ccrp.v •Ea6tman -nillonr'r.Unfon .Se6urities & Co.; Hutton &
J
Poineroy.- Inc. and <Granbery,-Marache & Co.)'

Public Service Electric & Gas Co

stockholders-underwritten by Blyth & Co.,

120,000 shares

(Thursday)

Southern Electric Generating Co.—

$7,6X6,500

Weld & Co.)

(White,

and

.Common

Burndy Corp.

May21( Thursday)
Consolidated Electrodynamics Corp.—-Debentures

Debentures

—.^^^loiBond*.-;

fBida 1V »JU. KDT^015J)00.000

—

Electronics- Corp

Packard-Bell

Common

—

—.Bonds

(Kuhn, Loeb & Co.; Harriman Ripley As Co. Inc.;
The First Boston Corp.) $80,000,000

Common
Bond*

110,000

100,000 shares

National Steel Corp

(Blyth & Co., Inc.) 500,000 shares

(Offeiinff. to stockholders—jnay .be underwritten by
(Eastmarj'/Dilioh^Ionian BeSiirifies & Co.) $10,038,700

Idaho .Power>

Telecomputing Corp.

;

Co.)

First Boston

(Wednesday)

May 27

(Torpie As Saltzman)

Debens.

—

Peabody &

The

—...—.—.Common

(White, Weld & Co.)

Gundy & Co., Inc.)

EOT) $6,000,000

Levine'Sj Inc.

(Offering not underwritten) $500,000

Power Co.——

Interstate

Preferred

Corp. and Wood,
$50,000,000

-Preferred

stockholders—underwritten

Fleming Co., Inc.—

$4,000,000

Testing Laboratories, Inc.

(Kidder,

.'!."!• '■

(George, O'Neill is Co., Inc.) $499,998

Iticslj.________Common

(9. Di Fuiler & Co.)

(Offering

4Wednesday)

(Bids 11

'-May- :t3'S (Wadhaaday)

250,000

(Tuosdny)

(Newhard, Cook & Co.) 132,500 shares

ip;3p^aJn^.,CDT). $10,000,000^^^
^

Boston

r,r^wr;tie«:: .Cwp,-)r76,494.; shares^.

■.)

Common

Municipal Financing Corp..

(The First

:-South'western Electric^Pbwfir..Co.- —u-^iBonds

Ti sy..

May 20
Alberta

invited)

..Bonis

May 26

$2,000,000

Co——-

200,000 shares

(Bids 11 a.m. EDT) $75,000,000

Preferred

-—.—

EDT)

-Common

100,000 shares

(Offering to stockholders) $300,000

Co.—

Power

Interstate

•

Coastal States^ Life Insurance..Go.-__—^-Common
(The Johnson. Lane, Space Corp. and Walston & Co.)
•'
T4.,72S-<1ishfli'iVfe:
'

Consolidated Edison Co. of New York, Inc._ JEkmda

Narda Ultrasonics

■ •;

•

page

Common

May 29
Bonds

(Kidder, Peabody & Co.)

$5,500,000.--';"- ms.-.v.

^'r..^ ./May! $2'; :(Tue« day) ^

Office

(Bids noon EOT) $14,000,000

$3,500,000

BX)T)

a m.

Utilities

States

Coip:_____-:-ri--------T_-Common

l<Charles Plohii ^s-'Co;>. $300,000 ■>'»•'■">■>

a in:

Electric Co
(Bids u

Gulf

Nevada! PdvVer Co.-——>__Bontb

Southern

{'■/'

.■

Paso

Preferred;■& Common

Reon Resistor
it'.1

$20,000,000

Co.)

West Penn Power Co.

(Bids

.—

Industries, Inc

May 28

(Blyth & Co., Inc.)

Poly

Corp.—

Peabody &

(Kidder,

May 191( Tuesday)
El

Electronics

Securities Co., Inc.)

Corp.——

(Reynolds & CO.; Inc.)

Magma Poweii

Continued

■:
——--^Common

_--&i

Bearings, Inc.——Common

Electronics Corp..—.-

)

Inc.

$525,000

Johnson)

(Charles Plohn & Co, And Netherlands
$875,000

Manufacturing Go; 6f!Cbrtnecticut!

Echlin

Bail

(Kidder, Peabody & Co., Inc.)

Precon

^CJ^nwaliVArts^r^rInc.>^:^w-^-^-IIcbelltures

—Common

Corp; and. Roman

Hampshire
:

•,

.Common

Securities

(Aetna

•-

New

DeJ^r-iAinsca iGorp.i--i—^-a^Gommon
i, \
Bi'ltesby ^ CO-.^Iriei) 225,000 shares
i

(

properties and for working capital.
—Chattanooga, Tenn. Underwriter—None.

Corp. )$9,988,500

Miami Extruders, Ine
'•.t.-

Dejiir^AmacoCorp.

Industrial Development Corp.

of industrial

Walked & Sons and Clark, Landstreet Sc Kirkpatrick,
Inc.) $1,400,000
1

(Joseph

Finance, Jncui_-^u_r-;-j;_ ^___^_Debentures
>»-V.
(Paul C. Kimball & Co.) $500,000

Chattanooga

March 25 filed 37,500 shares of common stock. Price—
620 per share. Proceeds—For purchase and development

$33,577,000

Co.)

Lytle Corp.

Co., Inc., Charlotte, N. C., and New York, N. Y.

Crucible Steel Co. of America-

Common

Corp.
(Bache &

Century Brfck Corp. of America__—-UitCommon
-

of short-term bank loans. Underwriter—R. S. Dickson &

JiJDebentures

Billups Western Petroleum Co—

$1,500,000

Automatic; Cafeterias--Industry, Inc.. ^Common
(Offering not underwritten) 100,000 shares

—

..-V v

purchase 300,000 shares of common stock) being offered
for subscription by common stockholders at the rate of
6100 principal amount of debentures (with warrant for
purchase of 10 shares) for each 68 common shares held
as of record April 29, 1959; rights to expire on May 13,
1959.
Price
At par. Proceeds—To provide additional
working capital to finance the company's expanding
business and will currently be applied to the reduction

(Van Alstyne, Noel & Co.)

Electronics Corp

Avnet

AniVfe'ic'ah M; A!-:R.:!G.;'ihc!l'_ 2^_!.^u^:--_i_^Common
;
f (Auchincloss, •
Pa^lcer ds • ItedVath * «nd'";sWilson, Johnson &
•'■'Siggins> 400,000 shares
-.f.v
;=.>r

Gotham, Inc.

March 26 filed $3,000,000 of 5.90% convertible subordin¬
ated debentures, due April 1, 1971 (with warrants to

Polarad

(Monday)

May 18

•

$19,925,500

Consolidated Industries,
(Dem'psey-Tegelcr Si Co'i)

Adam

Century Brick Corp. of America (5/11-15)
April 6 (letter of notification) 150,000 shares of common
stock.
Price—$2 per share.
Proceeds—To be added to
general funds of the company. Office—1020 G. Daniel
Baldwin Building, 1005 State Street, Erie, Pa. Under¬
writer—Summit Securities, Inc., New York, N. Y.

CALENDAR

ISSUE

(Offering to stockholders—underwritten by The First Boston
'•

York.

(par 25 cents). Priee—$1 per share. Proceeds—
For working capital;
Address—P. O. Box 1849, 3720 E

Baltimore Gas & Electric Co.ll _______-Debentures
J

Light Co. (5/13)

stock

NEW
May 8

Central lllinois

April 23 filed $10,038,700 of convertible debentures due
1974, to be offered for subscription by common stock¬
holders of record May 12, 1959, on the basis of $100 Of
debentures for each 22 shares then held; rights to expire
on May 27.
Price—100%- of principal amount. Proceeds
—For construction program, including the repayment of
short-term bank loans incurred for such purpose. Un¬
derwriter—Eastman Dillon, Union Securities & Co., New

Chadbourn

(6/2)

—

Underwriter—L. A. Huey Co.,

Denver,-Colo.

■

★ Burndy Corp., Nor walk, Conn.

32nd Street, Yuma, Ariz,

Office—638 Eighth

Brookridge Development Corp.

ditipi>al

■•iv

(3123)

$298,500

(Bids

Bonds

to to invited) $8,000,000

July 22

(Wednesday)

Northern States Power Co. (Minn.)
..Common
(Offering to stockholders—bids to be invited) 714,000 shares

Septembor 10

(Thursday)

Georgia Power Co
(Bids to to invited) $18,000,000

The Commercial and Financial

(2124)

Continued f rom page
Finance Corp.

± Civic

Proceeds—To selling stockholders.

Office—145 Conklin
Ave., Binghamton, N. Y. Underwriter—None.
-

39
'

„

sun plied

capital. Office—633 North Water Street.
Milwaukee. Wis.
Underwriters—Emch & Co. and The
Marshall Co.. both of Milwaukee. Wis.

notification) 300,000 shares of common
Price—$1 per share. Proceeds—To
pay additional costs of construction; and for retirement
ef obligations and working capital.
Office — c/o John
Harlan Lowell, 2200 Kenton, Aurora, Colo. Underwriter
—Lowell. Murphy & Co., Inc., Denver, Colo.
Life

States

74.728

filed

stock

common

Inc.

Coil Winders,

;

date.

Co., New York, and

Co.,

Dean Witter &

•

and

one

Commerce Oil

— $205
per unit.
Office—Suite 421, 901

first mortgage bonds due

version

a.m.

3600 M

Underwriter—Adams

•

(Del.

the

company's

salaried

bank

loans

to which they are

debentures

(with

entitled

300,000 shares of class A
Price—$1 per share. Pro¬
inventory, equipment, working capital, etc.
Office—901 S. Lake Street, Farmington, N, Mex. Under¬
writer—Investment Service Co., Denver, Cola
• Electro-Mechanical Specialties Co., Inc.
;-v
April 27 (letter of notification) 100,000 shares of capital
stock (par 20 cents).
Price—$3 per share. Proceeds—
To pay in full a current debt of the
company to Joseph
common

upon con¬

N. Y., and
St., N. W., Washington, D. C. Underwriter—None.

DeJur-Amsco

filed

tion by common stockholders in the ratio of
$100 deben¬
tures for each 14 shares of common held as of
May 20;

rights to expire

on June 18.
Price
To be supplied
amendment.1 Proceeds—To pay bank loans.
Office
—Pasadena, Calif.
Underwriter
Blvth &
Co., Inc.,
—

—

New

York

and

San

Francisco.

•

Consolidated Natural Gas Co.
(5/21)
April 28 filed 821,256 shares of capital stock to be of¬
fered

l-for-10 share basis to stockholders of record
May 21, 1959; rights to expire on June 10. Price—To be
on

supplied by amendment. Proceeds—Additions to Treas¬
funds and to finance construction. Underwriter—

ury

None.

Gcodman

;

shares of com¬
(par 10 cents). Price—$1.25 per share. Pro¬
ceeds—For general corporate
purposes. Office—607-12th
Avenue, Huntington, W. Va. Underwriter—Best Secu¬
rities, Inc., New York.
mon

stock

Cree^ Mining Corp. Ltd.

April 17 filed 260,000 shares of common stock. Price—
60 cents per share. Proceeds—For
exploration program.
Office
2100 Scarth St.,
Regina, Saskatchewan, Canada.
Underwriter — Cumberland
Securities
Ltd.,
also
of
Eegma.

Crowley's Milk Co., Inc.
March

filed

Stock (par $20).

60.000

outstanding shares of common
Price— To be supplied by amendment.

and

for additional

working capital.
Office—
Banning. Calif. Underwriter—Myron
A. Lomasney & Co., New York, N. Y. ;
743 W. 39th Street,

•

Electro Networks, Inc.
April 2 (letter of notification)

•

notes and to provide additional

Offering—Expected momentarily.

mon

subordinated

—

working capital and for
general corporate purposes. Underwriter—H. M. Byllesby
& Co., Inc., New York and Chicago.

York, N. Y.

•

Electronics Capital Corp. (5/25-29)
April 27 filed 1,200,000 shares of common stock.
Price
—$10 per share. Proceeds
For investment. " Office—

Derson Minos Ltd.

—

Tune 5 filed 350,000 shares of common stock.

San

•

Diego, Calif. Underwriter
New York.
'•/•"..
' ■

Price—91

—
Hayden, Stone & Co..
•
equipment, repayment of
loan, acquisition of properties under option, and other- f;< Emerite Corp,//"'.
"•
i
fan. 19 (ietter of notification) 25(^000 shares of series 3
corporate purposes. Office—Toronto, Canada, and Em
common stock
Underwriter—None
*>orium. Pa
(no par) to be offered for subscription

per

;

stock
—

;

share.

Proceeds—For

new

• Development Corp. of America
April 30 filed 1,376,716 shares of common stock (par $1)
reserved for issuance upon conversion of shares Of the
company's $1.25 cumulative convertible preferred stock
received by DCA common stockholders in connection
with the recently consummated merger of Real Estate
Equities, Inc., into DCA and the plan of reorganization
consummated
•

Di-Noc

in connection therewith.

Chemical

■

./••

»•,-

Arts, Inc.

(5/11-15)
April 8 filed $947,200 of 5Vz% convertible subordinated
debentures, due May 15, 1971, to be offered for subscrip¬

•

by stockholders
v
.

j
■

on the basis of one share of series 3
stock for each three shares of series 1 and/or series 2
common stock held; unsubscribed shares to other stock-

holders.

Rights

expire

days

from

offering

date.

Price—$1 per share.
Proceeds—For working capitaL
Office—333 S. Farish Street, Jackson, Miss. Underwriter
: —None.

Empire Millwork Corp., Corona, N. Y.
April 17 filed 95,000 outstanding shares of common stock,
j Price — $10.25 per share. Proceeds — To selling stock,

holders.

Underwriter—None.

tion by common stockholders in the ratio of $100 of de¬
bentures for each 30 common shares held on April 28,

Equity Annuity Life Insurance Co.
April 21 filed $1,000,000 of Variable Annuity Policies.

1959; rights to expire on or about May 14. Price—To be
supplied by amendment. Proceeds—For plant expansion
and working capital.
Underwriter—Blair & Co. Inc.,

Price—No

Diversified Inc., Amarillo, Texas
6 filed 300,000 shares of common stock (par 50
cents). Price—$3 per share. Proceeds—For acquisition
Jan.

of undeveloped real estate, for organization or
acquisi¬
tion of consumer finance business, and balance to be

used

for

working capital.

Service Co

Denver

f*«1n

Underwriter
or

—

Investment

efforts basis.

ic Dorr-Oliver Inc., Stamford, Conn.
May 5 filed $199,655 interest in the company's Profit
Sharing Trust and Investment Plan, together with 11,871

than

$120

less

than

year

for annual

$1,500

•

Eurofund, Inc.

Feb. 26 filed 2,500,000 shares of common stock

Office—911

Broadway, Kansas City, Mo.
Under¬
writer—Midland Securities Co., Inc., Kansas City, Mo.

and

None.

DIT-MCO, Inc.
April 15 filed 30,000 outstanding shares of common stock.
Price—$10.50 per share. Proceeds—To selling stockhold¬
ers.

less

premium
for single premium
contracts.
Proceeds—For investment, etc.
Office—2480
16th Street, N. W.,
Washington, D. C. Underwriter—
contracts

New York.

Continental Tobacco
Co., Inc.
April 2 (letter of notification) 100,000

(par 25 cents).

100,000 shares of com¬
(par 10 cents). Price—$2.70 per share. Preeeeds
To purchase test equipment, and for
general
working capital. Office—1920 Park St., Syracuse, N. Y.
Underwriter
Charles Plohn & Co., New

Electrodynamics Corp. (5/21)
$7,616,500 of convertible subordinated
debentures due June 1, 1984, to be offered for subscrip¬
April

stock

ceeds—For

debentures due 1974. Price—To be supplied by amend¬
ment. Proceeds — To retire mortgage loans and bank

(5/26)

Consolidated

Electric City Supply Co.
April 6 (letter of notification)

•

May 19 at 90 Broad Street, New York,
;>■/"
:/■ •' :•//>, / .''//y;
■ ,f

New York.

;

oversubscription

DeJur-Amsco Corp. (5/11-15)
March 31 filed $1,000,000 of convertible

Employees -Stock

$27,000,000. -and also
be used -toward the cost of the company's construction
program. Underwriter—To be determined by competi¬
tive bidding.
Probable bidders: Halsey, Stuart & Co.
Iric.; Morgan Stanley & Co.; The First Boston Corp. Bids
—Expected tc be received up to 11 a.m. (EDT) on
May 26.
//.
'

(EDT)

•

April 24 filed $75,000,000 of first and refunding mort¬
gage bonds, series P, due June 1, 1989.
Proceeds—To
short-term

determined

Paso Electric Co.
(5/12)'...
April 16 filed 76,494 shares of common stock (par $5) to
offered to common stockholders of record
May 11,
1959, on the basis of one new share for each 25 shares
of common stock then held
(with an oversubscription
privilege); rights to expire on May 26. Price—To be
supplied by amendment. Proceeds—To retire outstand¬
ing short-term notes, and for 1959 construction program.
Dealer-Manager — Stone & Webster Securities Corp..

)

Corp. (5/11-15)
March 31 filed 225,000 shares of class A stock (par $1).
Price—To toe supplied by amendment.
Proceeds — To
selling stockholders. Underwriter—H. M. Byllesby & Co.,
Inc., New York and Chicago.

bidders:

N. Y.

fices—160 Central Park South, New York 19,

—

to purchase up to 100,000 of the said 350,000 shares. Price
—$10 per share.
Proceeds—To selling stockholder; Of¬

Consolidated Edison Co. of New York

;

System, Inc.

their

(5/19)

by competitive bidding.
Eastman Dillon, Union Securities &
Co.;
Salomon
Bros.
&
Hutzler;
Kidder,
Peabody
& Co., and White, Weld & Co.
(jointly); Merrill Lynch,
Pierce, Fenner & Smith. Bids—To be received up to 11

350,000 outstanding shares of class A
(par 20 cents) being offered by Trans

Office—4ob So. Main St., Salt
Knudson & Co.,

investment.

Purchase Plan for 1959.

writer

privilege); rights to expire on May 22.
Employees of
Trans Caribbean and its subsidiaries will have the right

^ Connelly Containers, Inc., Pencoyd, Pa.
May 6 filed 6,250 shares of common stock, to be issued

retire

stockholders

20,000

of cumulative preferred
(no par). Proceeds—To retire outstanding shortnotes, and for 1959 construction program. Under¬

Probable

stock of Trans Caribbean which such holders either hold
as

filed

debentures of record April 22, on the basis of orte share
of class A stock for each three shares of the class A

Peck, New York,
Offering—Postponed indefinitely.

pursuant

stock

term

Co., Chicago, 111., on a

Airways, Inc., which owns all of this stocky
to the holders of its outstanding class A stock, and hold¬
ers
of its outstanding 5%% convertible subordinated

Inc.
April 21 (letter of notification) 100,000 shares of com¬
mon stock (par 10 cents).
Price—$3 per share. Proceeds
—For working capital. Office — fill Broadway, New
Y.

Caribbean

Computer Systems,

York, N.

Kimball

(letter of notification) 900,000 shares of com¬
Price—At par (10 cents per share). Pro¬

Bake City, Utah. Underwriter—Earl J.
Bait Lake City, Utah.

1\T.

filed

common

stock.

ceeds—For

•

C. Transit

March

Commercial Investors Corp.
mon

El Paso Electric Co.

April
stock

best efforts basis.

Sept. 1, 1968, $20,000,00 of subordinated debentures due
Oct. 1, 1968 and 3,000,000 shares i common stock to be
offered in units as follows: $1,000 of bonds and 48 shares
of stock and $100 of debentures "~d nine shares of stock
Price—To be supplied by amen*unent. Proceeds — Tc
construct refinery. Underwriter—Lehman Brothers, New
York. Offering—Indefinite.
Nov. 28

N. Y.

Dalton

derwriter—Paul

Refining Corp.

Dec. 16,1957 filed $25,000,000 of

finance making of additional loans and to reduce shortterm debt. Office—3800-34th St., Mt. Rainier, Md. Un¬

Price

stock.

working capital.

Halsey, Stuart & Co.; Merrill Lynch, Pierce, Fenner &
Smith, Inc.; Stone & Webster Securities Corp.; Kidder,
Peabody & Co.; White, Weld & Co. and Shields & Co.
(jointly) Equitable Securities Corp. and R. W. Pressprich & Co. (jointly). 'Bids—To be received up to 11
a.m.
(EDT) on May 19 at 90 Broad Street, New York,

chase of 100,000 shares of class A common stock. Price
—At face amount (in units of $500 each). Proceeds—To

6herman Street, Denver, Colo. Underwriter—Associated
Securities 412 Main Street, Cedar Falls, Iowa.

16 filed
mortgage bonds due
Proceeds—To retire outstanding short-term
notes,

1989.

Finance, Inc. (5/11-15)
March 9 filed $500,000 of 7% subordinated debentures,
due Jan. 2, 1974, with attached warrants for the pur¬

(letter of notification) $220,000 of 6% unsecured

/•;//j;;/

•

(5/19)
$3,500,000 of first

and for 1959 construction program. Underwriters—'To
be
determined by competitive bidding.
Probable bidders:

Inc.
(letter of notification) 300,000 shares of com¬
mon stock (par 10 cents).
Price—$1 per share. Proceeds
—For working capital. Office—Mearns Bldg., 142-148 N.
Washington Ave., Scranton, Pa. Underwriter—Sano &
Co., New York, N. Y.

/./'

Paso Electric Co.

April

<•;/'''//

Cycon,

debentures due April 1, 1964 and 1,100 shares of common
etock (par $1) to be offered in units of $200 of deben¬
Proceeds—For

For repayment

—

com¬

Price—$2 per share. Proceeds
of ore. Office—110 E. Main St.,
Underwriter—Harris Securities Corp.,

New York, N. Y.

Underwriter—The First Boston

n..//

Mineral Research, Inc.
(letter of notification) 150,000 shares of

Florence, Colo..

held; rights to expire on
share, (flat).
Proceeds—

March 25

Colorado Water & Power Co.

tures

per

Office—Bran-

stock (par 50 cent3).
—For mining and selling
mon

office

Los Angeles, Calif.

Feb. 25

Eckert

March 27

of loan; purchase of plant and
equipment; raw materials and supplies; and for
working capital, etc. Office—U. W. National Bank Bldg.
1740 Broadway, Denver, Colo. Underwriter—L. A. Huey
Denver, Colo.
eeeds

• Colonial Energy Shares, Inc., Boston, Mass.
May 5 filed 1,100,000 shares of common stock.
Price—
At market.
Proceeds—For investment.
Underwriters
—White, Weld &

stock

$100

purposes.

ford, Conn. Underwriter—Blair & Co., Inc., New York.

Cryogenic Engineering Co.
Sept. 22 (letter of notification) 150,000 shares of class A;
common stock (par 10 cents).
Price—$2 per share. Pre-;

Avenue, Westbury, N. Y. Underwriters—Bertner
Edden Co., both of New York. Offering
any

common

expansion program.
Corp., New York.

Bros, and Earl

—Expected

Price—At

For

'April 7 (letter of notification); 150,000 shares of com'mon stock (par 20 cents). Price—$2 per share. Proceeds
—For machinery and equipment, to retire loans and
notes; for research and development; and working cap¬
ital. Business—Manufactures components for U. S. Gov¬
ernment and the electronic industry.
Office—40 New
York

June

$1.25). Price—To be supplied by amendment. Proceeds
—To selling stockholders.
Office—Atlanta, Ga. Underwritei^Tbb Johnson, £<ane, Space Corp. Savannah, Ga.;
and Waist oh & Co., Inc., New York.
' :
•

plant and for general corporate

if Crucible Steel Co. of America
(5/26)
May 4 filed 99,885 shares of cumulative convertible pre¬
(par $100) to be offered for subscription by
common
stockholders of record May 26, 1959, on the
basis of one share of convertible preferred stock for each

(par

count, and the remainder for selling stockholders. Price
—To be supplied by amendment. Proceeds—To
construct
-

ferred stock

(5/12)

Insurance Co.

Manufacturing Co. of Connecticut, Inc.

'
:
Y
April 21 filed »8,946 shares of common stock, of which
22,500 shares are to be offered for the company's ac¬

unit. Proceeds—For establish¬
stores, to pay accounts payable

per

new

(trade), to be applied to extinguish long- and shortloans, and the balance to increase working capital.
Office—368 E. 87th Street, Chicago, 111. UnderwriterCharles Plohn & Co., New York.

Aug. 21 (letter of

Coastal

proposed

plan.

(5/11-15)

term

etock (par one cent).

March

ment

Ciute Corp.

Price—$5

warrants.

stock

common

the

Echlin

share of

tional working

which may be acquired pur¬
Purpose of plan is to complement
/the company's salaried employees retirement plan.
suant

• Crown Self-Service Stores, Inc.
(5/18-22)
April 10 filed 250,000 units, each unit consisting of one
common stock and two common stock purchase

1 filed 30,000 shares of common stock. Price—To
bv amendment. Proceeds—To provide addi¬

May

Chronicle.v.. Thursday, May 7, 1950

(par $1)

(subsequently amended to 1,250,000 shares). Proceeds—
For investment. Office—14 Wall
St., New York. Under¬

writer—Glore, Forgan & Co., New York. Offering—Ex¬
pected today

(May 7).

Federated Corp. of Delaware
Dec. 29 filed $918,000 of 6% convertible subordinated
debentures

due 1968.
The company proposes to offer
52in nnft of the debentures to
purchase the capital stock

of Consumers Time

Credit, Inc., a New York company;

$442,000 of the debentures in exchange for Consumer*
debentures; and $226,000 of the debentures in exchange
for the

outstanding 12% debentures of three subsidiarie«

Volume

189

of Federated. Office—1 South Main Street, Port

Chester,

Federated

stock and its outstanding
stock of record April 8, 1959, the
right to subscribe to a total of $1,631,000 of the deben¬

Finance Co.

(letter of notification) $300,000 of 10-year 8%
senior subordinated debentures. Price—At par (in de¬
Nov.17

Proceeds — For working
capital, to make loans, etc. Office—2104 "O" St., Lin¬
coln* Neb. Underwriters— J. Cliff Rahel & Co. and
Bugene C. Dinsmore, Omaha, Neb.
nominations of $1,000 each).

Fidelity Trend Fund, Inc., Boston, Mass.
May 1 filed 50,000 shares of capital stock. Price—At net
asset value.
Proceeds — For investment.
InvestmentManager—Fidelity Management & Research Co., Boston,
Mass.
Agent—Crosley Corp., Boston, Mass.
Offering—
To- be made within organization.

FinairceForlndustry, Inc.
•
Dec. 16 filed 200,000 shares of class A common

stock.
Price—At par <$1.50 per share). Proceeds—For working
capital. Office—508 Ainsley Bldg., Miami, Fla. Underfsriter
R. F. Campeau Co., Penobscot Bldg.* Detroit.
—

Mich.

★ Fleming Co., Inc.,"Topeka, Kan. (5/26) 1,1
May 1 filed 100,000 shares of common stock (par $5),
75,000 shares are to be offered for the account
of the company, and 25,000 shares for the account of
certain selling stockholders.
Price—To be supplied by
amendment. Proceeds—For working capital. Business—
products. • Underwriter—White, Weld

& Co., New York."

to be offered in units of $100 principal amount of deben¬
one

share of common stock.

Price

of sub¬
shopping site; for new equip¬
ment
and
project site facilities; for financing ex¬
pansion program; and for liquidation of bank loans and
other corporate purposes.
Office—TOO 43rd St., South,
St. Petersburg, Fla. Underwriter—None.
division land, including

Florida Power Corp. (5/15) 7
April 16 filed 703,485 shares of common stock (par $2.50)
to be offered for subscription bv common stockholders
of record May 14, 1959, on the basis of one new share
for each 12 shares of common stock then held (with an
oversubscription privilege); rights to expire on June 3,
1959.
Price—To be supplied by amendment. Proceeds
—To pay off $7,000,000 of temporary bank loans, which
were incurred to meet construction expenditures, and
the balance will be applied to the 1959 construction
program.
Underwriters — Kidder, Peabody & Co. and
Merrill Lynch, Pierce, Fenner & Smith Inc., both of

New York.

—

Fluorspar Corp. of America
Feb. 5 (letter of notification—as amended) 300,000 shares
of common stock. .Price—At par ($1 per share). Pro¬
mining

expenses.

Office—4334

S. E.

74th

Ave., Portland 6, Ore. Underwriter—Evergreen Securi¬
ties, Inc., 4314 N. E. 96th Ave., Portland, Ore.

•jfc Food Fair Properties Development Inc.
May 5 filed together with Food Fair Properties Inc. (1)
$7,500,000 of 25-year collateral trust bonds, due May 15,
1984 of Food Fair Properties Development, Inc. and (2)
warrants for

the

stock of Food

purchase

of 750,000

Fair Properties.

shares of

It is proposed

to offer these securities in units each consisting of $1,000

principal amount of the bonds and a warrant to pur¬
chase 100 common shares.
Price—$1,000 per unit. Pro¬
ceeds
To be used for loans to subsidiaries.
Office—
—

Philadelphia, Pa.

Underwriter—May be Eastman Dillon,

Union Securities & Co., New York.

Food Fair Properties,

Inc.

See Food Fair Properties Development Inc., above.

Foundation Investment Corp., Atlanta, 6a.

Jan. 13 filed 231,988 shares of common stock to be of¬
fered for subscription by stockholders; unsold portion
<o be offered publicly. Price—$12.50 per share. Proceeds
—To repay notes.
Office—515 Candler Bldg., Atlanta,
Ga. Underwriter—None. Statement effective April 2.
•

General American Oil Co. of Texas

(5/11-15)

April 23 filed $20,000,000 of subordinated debentures,
due May 1, 1984 (convertible). Price—To be supplied by
amendment.

with

warrants

subscription

—

the company may undertake. Office—2413
New York, N. Y. Underwriter—None. State¬

projects as
Third Ave.,

effective April 2.

ment

r:>:i

Statement effective April 24.

Tenn.

General Underwriters Inc.

April 6 (letter of notification) 225,000 shares of com¬
capital stock (par 25 cents).
Of the total, 195,000
shares are to be offered for the account of the company

mon

30,000 shares for a selling stockholder.

and

Price—$1 per
and improved

Proceeds—For general corporate purposes,

including repayment of some $2,500,000 of bank loans;
and for additional working capital.
Office—Meadows

Bldg., Dallas, Tex. Underwriter—Blyth & Co., Inc., New
York.

General Aniline A Film Corp., New York
shares of common A stock (km
par) and 1,537,500 shares of common B stock (par $1)

;•

Jan. 14, 1957 filed 426,988

General of the United Statas
Underwriter—To be determined by competitive bidding
Probable bidders: Blyth 8c Co., Inc., and The First Bos-,

Proceeds—To the Attorney

Ion
Corp.
(jointly); Kuhn, Loeb & Co.; Lehman
Brothers, and Glore, Forgan & Co. (jointly). Bids—Had
been scheduled to be received up to 3:45 p.m. (EDT) ok>

May 13 at Room 654, 101 Indiana Ave., N. W., Washing¬
ton 25. D. C.. but bidding has been postponed.
General Builders Corp., New York
Feb. 26 filed

$2,131,000 of 6% subordinated debentures,
due April 30, 1963, with detachable warrants to pur¬
chase 213,100 shares of common stock (each $100 de¬
benture will be accompanied by a warrant for the
purchase for cash of 10 common shares at $3 per share
at any time beginning Oct. 30, 1959 to and including
April 30, 1969),
The company is offering holders

and

ment

insurance

policy loans. Office—211-215 Pine

St., Pine Bluff, Ark. Underwriter—Lovan Securities Co.,
Inc., Pine Bluff, Ark.
General

Waterworks Corp.

March 31 filed 16,131 shares of

$5 voting preferred stock

dividend voting

(par $100) and 66,131 shares of 80-cent

preferred stock (convertible—par $1). The com¬
pany proposes to offer one share of the 80-cent dividend
second preferred stock for each share of New Rochelle
Water Co. and one share of its $5 preferred and one
share of the 80-cent dividend second preferred for each
share of New Rochelle $3.50 preferred (including accu¬
mulated unpaid dividends from November,1950). The
offer is conditioned upon acceptance by holders of 80%
of New Rochelle stock. Office—3219 Philadelphia Pike,
second

Claymont, Del.
•

Glickman Corp.

Inglewood, Calif. Underwriter—

Reilly, Hoffman & Co., Inc., New York.
Government Employees
Nov. 13 filed

2,500,000 shares of common stock (par $1)
by company viz: (1) to holders of common

Co.,
(1,-

334,570 shares are now outstanding); (2) to holders of
common stock
(par $1.50) of Government Employees
Life Insurance Co., on the basis of V/2 warrants per share
of stock held (216,429 shares are now outstanding); and
(3) to holders of common stock (par $5) of Government
Employees Corp., on the basis of Vz warrant per share of
stock held (as of Dec. 31, 1958 there were 143,703 shares
of stock outstanding and $589,640 of 5% convertible cap¬
ital debentures due 1967, convertible into shares of com¬

$28.0374 per share. If all these debentures were
converted into common stock prior to the record date,
at

a total of 164,733 common shares would be outstanding.
Price—$3 per share. Proceeds—For capital and surplus.
Office—Government Employees Insurance Bldg., Wash¬

ington, D. C. Underwriters — Johnston, Lemon & Co.,
Washington, D. C.; Eastman Dillon, Union Securities &

Co., New York; and Abacus Fund, Boston,
ing—Indefinitely postponed.
•

Great American Realty Corp.

March 80 filed

Mass. Offer¬

(5/25-29)

900,000 shares of class A stock

(par 10

Price—To be supplied by amendment. Proceeds
working capital. Office—15 William Street, New
York. Underwriter — Louis L. Rogers Co. and Joseph
Mandell Co., both of New York.
cents).

—For

Growth Fund of America, Inc.

3, N. Y. Underwriter—Albion Securities Co.,
11 Broadway, New York 4, N. Y.
./

Suite 1511*
-

Corp.
,.
1
April 27 (letter of notification) 300,000 shares of com¬
mon stock.
Price—At par ($1 per share).» Proceeds—»
For development oi oil and gas properties. Office—702
• Hemisphere Gas & Oil

American Bank Building,

Portland 5, Ore. Underwriter

Co., Inc., 4444

Hensley

Earle

Seattle, Wash.

California Avenue,

>;;r_7 '

,v,:

^ Hercules Powder Co.
7\.
April 30 filed 450,000 shares of common stock (par
$2 1/12). The shares being registered include (a) shares
which are being offered or are to be offered from time
to time by the company to certain executives and key
employees of the company and its subsidiaries pursuant
to the terms of the company's Stock Option Plan and
(b) shares heretofore purchased or to be purchased by
optionees under the plan upon the exercise of options,
which shares may be resold by such persons to the pub¬
lic from time to time.
•

Hermes Electronics Co.

April

filed

statement also

(5/25-29)

150,000

of common stock.

The

includes 36,755 shares of common stock

options; and 147,564 shares
issuable upon the exercise of rights of holders of $5
cumulative preferred stock to convert such stock; 20,000
shares issuable upon the exercise of rights of holders o£
5% 10-year sinking fund debentures due 1965 to con¬
vert such debentures, and 734,374 of presently outstand¬
ing shares which may be offered by holders thereof.
Name Change—This company was formally known as

issuable upon the exercise of

Price—To be supplied by amend¬

Hycon Eastern, Inc.

Proceeds—To be used in part

ment.

towards the pre¬

payment of notes and balance to be used for general
corporate purposes. Office—Cambridge, Mass. Under¬
writer—C. E. Unterberg, Towbin & Co., New York, will
underwrite the 150,000 shares of common.
March 11

(letter of notification) 285,000 shares of com¬
Price—At par ($1 per share). Proceeds—To

mon

stock.

pay

existing liabilities; for additional equipment;

and

working capital.
Office—East Tenth Street, P. O.
Box 68, Great Bend, Kan.
Underwriter—Birkenmayw
& Co., Denver, Colo.

for

Highway Trailer Industries, Inc.
24 filed 473,000 outstanding shares

of common
cents). Price—At prices generally prevail¬
ing on the American Stock Exchange.
Proceeds — To
selling stockholders.
Office — 250 Park Avenue, N. Y.
Underwriter—None.
:
Nov.

stock (par 25

Hirsch

(P. N.)

& Co., St. Louis, Mo.

(6/1-5)

29 filed 132,500 outstanding shares of common
stock (par $1).
Price—To be supplied by amendment.
Proceeds—To selling stockholders.
Underwriter—Newhard, Cook & Co., St. Louis, Mo.
Hoffman Motors Corp.

of common stock (par $1),
shares are to be publicly offered and
10,000 shares to officers and employees. - Price—$10 p«r
shares to public; $9 to employees. Proceeds—To selling
stockholder.
Underwriter — For public offering: Van

March 9 filed 260,000 shares
of which 250,000

Alstyne, Noel & Co., New York.
indefinitely.

Offering—Postpontd

Home-Stake Production Co., Tulsa, Okla.
Nov.

filed

116,667 shares of common stock

(par $5).

Price—$6 per share. Proceeds—For working capital and
general corporate purposes. Office — 2202 Philtowtr
Bldg., Tulsa, Okla. Underwriter—None.
Idaho Power Co.

(5/13)

of first mortgage bonds duo
1989. Proceeds—To be used for partial payment of shortterm bank loans made for construction of new operating
facilities. Underwriter—To be determined by competi¬
tive bidding.
Probable bidders: Halsey, Stuart & Co.
Inc.; Blyth & Co., Inc.; Lazard Freres & Co. and The
First Boston Corp. (jointly); Salomon Bros. & Hutzler*
and Eastman Dillon, Union Securities & Co. (jointly);
Merrill Lynch, Pierce, Fenner & Smith, Inc.; Equitabla
Securities Corp.; Kidder, Peabody & Co. and White,
Weld & Co. (jointly). Bids—Expected to be received up
April

1 filed $15,000,000

(EDT)

May 13.

filed

Washington, D. C. Underwriter—Investment
ment Associates, Inc., Washington, D. C.
Gulf States

Utilities Co.

Manage¬

(5/19)

April 17 filed 250,000 shares of common stock (no par).
Proceeds—To be used for the repayment of short-term

notes, and the balance to carry forward the company's
construction program and for other corporate purposes.
Underwriter—To be determined by competitive bidding.
Probable bidders:
Merrill Lynch, Pierce, Fenner &

Smith, Inc. and Lehman Brothers (jointly); The First
Boston Corp.; Carl M. Loeb, Rhoaaes & Co.; Stone &
Webster Securities, Corp. Bids—Expected to be received

19 at The Hanover Bank, 70
Broadway, New York 15, N. Y.
up

payment of past due accounts and loans and general
working capital. Office — 35-10 Astoria Blvd., L. I. C.

to 11 a.m.

250,000 shares of common stock (par 10
cents).
Price—At market.
Proceeds—For investment.
Office —1825 Connecticut Avenue, Washington, D. C.
Investment
Advisor — Investment
Advisory
Service,
Feb.

April

stock (par $4) of Government Employees Insurance
on the basis of one warrant per share of stock held

mon

Heliogen Products, Inc. ,
Oct. 22 (letter of notification) 28,800 shares of commo$
stock
(par $1).
Price—$5 per, share.
Proceeds—Far

•

Variable Annuity Life

Insurance Co.
to be offered

Underwriter—None.

Segundo, Calif.

Hickerson Bros. Truck Co., Inc.

April 10 (letter of notification) 300,000 shares of com¬
mon stock (par 10 cents). Price—$1 per share. Proceeds
—For manufacture, marketing and distributing of auto¬
matic throttle control devices for motor vehicles. Office
Centinela Blvd.,

Price—Ot

debentures, at face amount (in denominations of $100)5stock, both at par. Proceeds—For fixed assets and
working capital. Office—310 E. Imperial Highway, El

(5/18-22)

3,357,700 shares of common stock. Price
—$10 per share. Proceeds — For properties, furniture,
fixture and leasehold improvements and other expenses.
Office—565 Fifth Ave., New York, N. Y. Underwriter
—Bache & Co., New York, N. Y.
H;

March 13 filed

—1608

shares of common stock (par $1).

and 10,000

—D.

Memphis, Tenn.
Feb. 18 filed 250,000 shares of class "A" common stock
(par one cent). Price—$10 per share. Proceeds—For
working capital and general corporate purposes. Under¬
writer— Union
Securities Investment Co., Memphis,
General Merchandising Corp.,

•

Glide Control Corp.

(5/25)

April 13 filed 2,000,000 shares of common stock. Price
$2 per share. - Proceeds — For construction of motel
units and other facilities.
Office — Tom's Harbor, Fla.
Underwriter—Alkow & Co., Inc., New York.

common

agreed
debentures

rights are not exercised in at least the amount of $500,Subscription warrants will expire on May 11, 1959.
Price
$100 per unit. Proceeds — To repay promis¬
sory notes, and the balance, if any, will be added to
working capital, to be used in part to reimburse the
company's treasury for payments made upon the acqui¬
sition of land and as working capital for such building

Florida-Southern Land Corp.

7,500

also stockholders of the company)
also to purchase certain additional

000.

$110 per

—

Proceeds—For purchase and development

ceeds—For

have

who

amounts

are

merchandising methods, to finance the real estate depart¬

Dec. 1 filed $4,000,000 of 6% 15-year sinking fund sub¬
ordinated debentures and 40,000 shares of common stock,
tures and

(who

chasers

The remaining $500,000 of deben¬
being sold to a group of pur¬

are

share. Proceeds—For furniture inventory

Florida Builders, Inc.

dnit.

with warrants.
warrants

tures

tures with

of which

Distributor of food

outstanding common

its

cumulative preferred

Underwriter—None.

N. Y.

(2125)

The Commercial and Financial Chronicle

Number 5844

to noon (EDT) on May

Halex, Inc.

April 2- (letter of notification)
debentures, 2,300 shares of 4%

Imperial Growth Fund, Inc.
March 2 filed 600,000 Shares of common stock. Price—At
market. Proceeds — For investment.
Office — 60 Mar¬
quette Ave., Minneapolis, Minn. Underwriter —
neapolis Associates, Inc., Minneapolis, Minn. ■

Washington, D. C.
of common stock (par onai
Proceeds—To develop audi
operate graphite and mica properties in Alabama. Uuierwriters—Dearborn & Co. and Carr-Rigdom & Co^
both of Washington, D. C., on a best efforts basis. State¬
Industrial Minerals Corp.,

July 24 filed 600,000 shares
cent). Price—$1 per share.

ment effective Nov.

Information

18.

Systems,

Inc.,

Skokie, III.

April 21 filed 170,000 shares of common stock
fered for subscription by common stockholders

to be of¬

of Panel-

lit, Inc., at rate of one new share for each three Panellit
common shares held of record May 13, 1959. Price—$3.59
per

$70,000 of four-year 5%
preferred stock (par $10)

Min¬

share. Proceeds—To pay notes/for

research and deon page 42

Continned

The Commercial and Financial Chronicle

(2126)

Continued from page
velopment

costs;

holders at the rate of

each

aM working capital.

Underwriter—

None.

D. C.

International Bank, Washington,

of notes (series B, $500,000, twoyear, 3% per unit; series C, $1,000,000, four-year 4% pei
unit; and series D, $3,500,000, 6-year, 5% per unit). Price
—100% of principal amount.
Proceeds —For workinj
Dec. 29 filed $5,000,000

capital. Underwriter—Johnston, Lemon & Co.,
ington, D. C. Offering—Indefinitely postponed.
'

Weighing Corp.

Railroads

International

Wash¬

(letter of notification) 82,626 shares of com¬
(par $1) to be offered for subscription by
common stockholders at rate of one new share for each
four shares held. Price—$3 per share. Proceeds — For
research and development costs and working capital.
Office—415 Spruce St., Hammond, Ind.
Underwriter—
April 16

mon

stock

None.
,

•

International Tuna Corp.

(letter of notification) 175,000 shares of class
A common stock (par 50 cents).
Price —$1 per share.
Proceeds—For equipment and working capital.
Office
—Pascagoula, Miss. Underwriter—Gates, Carter & Co.,
Gulfport, Miss.
April 3

Interstate Power Co.

(5/20)

April 7 filed $6,000,000 of first mortgage bonds due 1989.
—
To repay bank loans and for construction

be determined by competitive

bidding. Probable bidders: Halsey, Stuart & Co. Inc.;
Blyth & Go., Inc. and Salomon Bros. & Hutzler (jointly);
Merrill Lynch, Pierce, Fenner & Smith, Inc.; Kidder,
Peabody & Co. and Lehman Brothers (jointly); White,
Weld & Co.
Bids — Expected to be received up to 11
a.m. (EDT) on May 20.
•

Interstate Power Co.

(5/19)

April 7 filed 80,000 shares of cumulative preferred stock
(par $50). Price—To be supplied by amendment.
Pro¬
ceeds—For construction program. Underwriter—Kidder,
Peabody & Co., New York.

it Investment Co. of America, Los Angeles, Calif.
1 filed (by amendment) an additional 2,000,000
shares of common stock.
Price—At market.
Proceeds

May

—For investment.

of Florida (5/25-29)
April 13 filed 275,000 shares of common stock. Price—
$4.50 per share. Proceeds—For acquisition and develop¬
ment

land

Florida.

Office —1750

East

Sunrise

Boulevard, Fort Lauderdale, Fla. Underwriters—Aetna
Securities Corp., New York; and Roman & Johnson, Fort
Lauderdale, Fla.
Investors Commercial Corp.

April 6 filed 105,000 shares of common stock. Price—To
be supplied by amendment. Proceeds—To selling stock¬
holders.
Office
180 W. Randolph St., Chicago, 111.
Underwriter—Paul C. Kimball & Co., Chicago, 111.
—

• Investors
Funding Corp. of New York (6/1)
Feb. 17 filed $500,000 of 10% subordinated debenturei
due July 31, 1964, to be offered in units of $1,000. Price

April 21(letter of notification) 10,000 shares of pre¬
ferred stock (par $5) to be offered in units of 20 shares
each.
Price—$100 per unit.
Proceeds—To go to the
company.
Underwriter—None.
• Krupp
Manufacturing Co.
April 3 (letter of notification) 100,000 shares of common
stock (par 10 cents). Price—$1.25 per share. Proceeds—
To selling stockholders.
Office —4th & Mill
Streets,
Quakertown, Pa. Underwriters—Hallowell, Sulzberger,
Jenks, Kirkland & Co. and Woodcock, Hess, Moyer &
Co., Inc., both of Philadelphia, Pa. Offering—Expected

this week.-

Laura Exploration Co., Inc.,
Arnett, Okla.
Doc. 23 filed 400,000 shares of common stock.
Price—$2
per share. Proceeds—For machinery and
equipment and
exploration purposes. Underwriter—None.
•

Lefcourt Realty Corp.

LuHoc Mining Corp.
'
Sept. 29 filed 350,000 shares of common stock. Price—$1
share. Proceeds — For the acquisition of propertie*
under option and for various geological expenses, tesi
drilling, purchase of equipment, and other similar pur->
ooses.
Offices—Wilmington, Del., and Emporium, Pa

Underwriter—None.

;

stock, of which
2,622,000 shares were issued in exchange for all of
the common stock of Desser
& Garfield, Inc., and D. G
& R., Inc.; 750,000 shares will be
used for the exercise
of an option by the
company to purchase from Big
Mound Trail Corp. some 3,784.9 acres of land on
or
before June 15, 1959; and the
remaining 120,000 shares
common

held

one

new

sold, for the account of

selling stockholder during
April, 1959. Underwriter—None.
a

•

Levities, Inc., Dallas, Texas (5/20)
April 24 filed 110,000 shares of common stock
(par $4),
of which 60,000 shares will be sold
for the company's
account and 50,000 shares for the account of
certain sell¬
ing stockholders. Price—To be supplied by amendment.
•

Proceeds—To be added to the general funds of
the
and will be spent for

com¬

pany

inventory, equipment, fix¬
other initial costs of three new
stores, and
the balance of the proceeds will be
used to acquire and
establish new stores.
Underwriter—Kidder, Peabodv &
tures

and

Tolophono Co.
(letter of notification) 1,562 shares of common
stock (no par) to be offered for
subscription by stock¬
F®b. 11

•

Marine

Midland

April 17 filed
stock

1, 1989.
—For

Corp.

Ajnll'

common

Officer-7575

share.'ProceedsFor working
Office—Hartsdale.

N. Y.

Un-:)

Q. BOx

672, Odessa, Texas. Underwriters— b
:■'-L.V,:,'

; •:

/-■

Proceeds—To pay off in full
5% chattel v
mortgage term lban'; to construct an addition to its main plant; and the balance, together with other corporate >i
funds will be Used'to purchase
machinery and equipment
for new plant additions, and for
general corporate pur^M

Office—Peterborough, N. H. / Underwriter—Kid-u
der, Peabody. &,;Co. Inc.,, Boston, Mass.Lu New Vork

March

Shipbuilding Corp/K^r''^

filed

83,334 shares of common stock/to be r/i
offered in exchange for,ccfmraon stock of
Higgins, Inc..
at the rate of one share pf Nevy Yprk
Shipbuilding com- v,,
mon for each 24 shares of
-Higgins -common/ rStatement^
effective April. 16;
/.'V,

★ North American'Acceptance Corp/.^"^/^')'
April 29 (letter of notification) $300,000 of 6% 10-year

1
debentures, ,to. be<offered for subscription
by, stockholders- ., br deiiominations -of $10Q, /$500 - and
$1,000 each. Rights jviil expire July >31, 1959.
Price—At/i
subordinated

37,th

poses.

ProceedSr-^FQi\/working capital. .; Office—Suite 487;

par.

; 795 Peachtree Street, ,N. E., Atlanta, ,Ga.; Uiider\vriter—i 4
Ncne.
'v.;

equipment, for increased inventories, and for the retire¬
leans.

/(«;

amendment.

•

bank

Investing

Hampshire Ball Bearings, Inc. (5/18-23)
T
April 27 filed 126,000 shares of common stoek (par $2)^ -•
of which, 100,000 shares are to be offered for
account of 5
company-and >20,000 shares for certain selling stock¬
holders; the remaining 6,000 shares are to be offered by 5
the company to its employees. Price—To be
supplied by ^

company's Employee Stock Purchase and Savings

•

Loeb^/

New

Pro¬

Miami Extruders, Inc.:(5/18-22)
p..; ::
April 17 filed 175,000 shares of common stock. Price—$3
per share.
Proceeds—To be used for. the purchase of
ment

Business: Capital

$1 per

To be designated/*: f

pP.vi
participations
-

Proceeds

24/fil^d/^50()^Svilha^sf|pf^

Address—P;

Nedow Oil Tool

Plan.

(^.'y- ;.:;'.y;'
' rI
May 5 (letter of nbtification) 156,000 shares of common ♦
(par 50 cents). Price—$2 per share/Proceeds—To f
acquire fishing tools for leasing; and for working capital, v.

Mary Carter Paint Co.
(letter of notification) 37,500 shares of com¬
mon
stock (par $1) of which 25,000 shares are being
offered by the company, out of authorized but unissued
stock, and 12,500 shares are being offered by John F.¬
Crosby, Spring Lake, N. J. Price—$8 per share. Proceeds
—For payment of outstanding loans and
working capi¬
tal, and to selling stockholder. Office—Gunn Highway
at Henderson
Rd., Tampa 7, Fla. Underwriter—W. W/
Schroeder & Co., New York 5, N. Y.
;
;
P
'
undetermined amount of

life

stock

March 30

stock

L1-'/

cents).-/Price

outstanding bank loan due Sept. 30,
1962, and for general corporate purposes. Underwriters
—The First Boston Corp. and Eastman
Dillon, Union Se¬
curities & Co., both of New York; Schoellkopf, Hutton &
Pomeroy, Inc., Buffalo, N. Y., and Granbery, Marache
& Co., New York.
../"'.V;./:;.-,',.;/; ':v-f;;.•/'//, /\,r'

-r

Small

capital and investments.
derwriter-LNorie/~

it Merck & Co., Inc.

capital

company's

Harrimail 'Ripley &Coi; lm% and rrh.p First 'Bos-

Corp. ^

(5/13)-'/

Price—To be supplied by amendment/
pay

Corp^alliof--New:'YeTkt^t/;^^

(par $5) to be offered for subscription by common

June 1.

common

certain

expansieiv.^pi^gi'flm.XUnderwriter^—Kuhri,

Nationwide

stockholders of record May 12, 1959, on the basis of one
new share for each 20 shares then
held, rights to expire
on

Price^-Toi he supplied by amendment;

& Co. ;
ton

maximum of 465,000 shares of

holders

AriZ/>Underwrtter—No'ke^^

★ Natiohal^ Steel'Corp. •
May 5 filed $80,000,00b of first mortgage bonds due June

share for each two shares

offered

Casuirlty insura<ico Co.

^50,000 shares of

insurance; policies JKstiedvohHofc prior to -Dec. 31;
1955,
certain' employees: "Pride—$4.44 per ^hare.<- ProOSKce
2300

April

(with

*■&•>..?

Avenue

-/.'trf:

Miami, Fla. Underwriters—Aetna Securities Corp./New .•-•it Nortiieast Aluminum, IncZ/ Wayne/ N. J. ->/
,
York; and Roman & Johnson, Fort Lauderdale, Fla. <
April 30 i(letter of .notification) 60,000 shares of common L
stock (par ^qne
Midwest Technical Development Corp.
jcent><V.P#;ipeJ~$5/per/share.*?.,- Proceeds—• j
To provide, plant; and
March 17 filed 500,000 shares of common stock (par
^equipment -and ifor working capi-"
$1).
tal.

Price—$3.75 per share. Proceeds—For investment pur¬
poses.
Office—1404 Northwestern Bank Bldg., Minne¬
apolis, Minn. Underwriter—None, v p ; '■:•*
V

Millsap Oil & Qas Co.

share.

Proceeds

—

Missouri

★ Nuclear .Electronics ;Corp, (6/1-5)
■
V
'
April 29Tiled, 2O0,Q00j shares; of common stock (par one!>4.;
cent). Price—$3^75 per share./ Proceeds—To be applied A
.

Price—$1

Underwriter—None/

held

basis

one

for

each

Office—2925

about

amendment.

it Multi-Amp Electronic Corp.; (5/25-29)
May 1 (letter of notification) 99,500 shares of common
stock (par 10 cents).
Price-^-$3 per .share./-Proceeds—
To purchase building; for research,
development;(equips
ment
and
machinery, etc.;, and .for worl^hg capital:'
Business—Portable and laboratory instruments, for test¬
ing etc.
Office—465 Lehigh Avenue; Union,. N. J; U«:
derwriter—G. Everett Parks & Co., Inc., 52 Broadway,
New

York, N. Y.

it Narda Utrasonics Corp.

•

(6/1-5)

" "
.

r •'

' •

„

April 29 filed 20,000 shares of common stock. < Price—To
supplied by amendment. Proceeds—To. retire a $100,-

000

outstanding bank loan and the balance will

used

Broad

Street, Philadelphia, Pa. Under- 4
& Co., New York.
.
*1)

Office Buildingsr of America, Inc.^""'jl
April 6 filed 91*809 shares of class A stock (par $1) and!*
10,201 shares of class B common stock (par $1) to be
r

in units of nine class A

offered

shares and one class B M
unit. ' Proceeds—To be available ])
in retil estate syndicates and other real m
estate. Office—6 Clinton St., Newark, N. J. Underwriter V;

share.

^ Mohawk Rubber Co., Akron, Ohio
May 4 filed 15,000 shares of common stock. 'Price—To
be supplied by amendment.
Proceeds—For working
capital and purchase of equipment. Underwriter—Kid¬
der, Peabody & Co., New York.

Mortgage Corp. of America
April 10 filed $1,000,000 of 4%% collateral trust notes,
due May 1, 1969-79.
Price—100% of principal amount.
Proceeds—For repayment of loan.
Office—100 St. Paul
Street, Baltimore, Md. Underwriter—None.

writer—Charles Plohn

April 29. Price — To be supplied by
Proceeds—For general funds of the com¬
pany. Office—400 Broadway, Cape Girardeau, Mo. Un¬
derwriter—Edward D. Jones & Co., St. Louis, Mo;
on

velopment, prtkluctian and marketing; for sales/pro- :
motion; and the balance for >general working capital.-;-*

Utilities Co.

the

payimeiit/oflanvindebtedne'ss owed to /Wheatori
for. payment of bank debt;- for research, de-

Glass Co.;

April 14 (letter of notification) 10,154 shares of .common
stock (par $1) to be offered for
subscription by stock¬
holders

the

For additional working capital.

Office—Siloam Springs. Ark.

Business—,To /produce aluminum siding and enam- vt
' Underwriter—NoneJ a

eled aluminum-and steel coil sheet;

'Vp/

Dec. 23 filed 602,786 shares of common stock.
per

Co., New York.
Lorain

filed

and to

28,
1959;
rights
to
expire
on
May
oversubscription privilege). Price-—$6 per
share. Proceeds—To increase capital and surplus. Office
—83 Exchange Street, Portland, Maine.
Underwriter—
P. W. Brooks &
Co., Inc., New York.
; ;
>
19

150,000 shares of com-*'
.($2 per share ) .
Proceeds—- *

ceeds—To increase- capital* and surplus.
North: Central Ave.fPhoenix^

for

Price—$100

per

investment

—None.'

--"V

"•**<

^rphadi Mining Co., Dixie, Idaho
t
<
■>; 4
Acgl 27 (letter of notification) 20,087 shares of co^uj^on /
stouk (par $1) and "$100,000 of Exploration Fund ^er-r f

were

National Life &

being offered for subscription by holders of outstanding
rate of

par

equipment, inventory and.working capital. Ad--7
Box 1658, Lakeland, Fla.
Underwriter—'
Campeau Co,> Inc., Detroit, Mich.'/

March '25

Maine Fidelity Life Insurance Co.
v.:0
March 30 filed 100,000 shares of capital stock (par $1.50)
at the

Price—At

new

•

stock

Calif.

(letter of notification)

Co.

for working capital, and general corporate
Office—Virginia & Truckee Bldg., Carson
Underwriter—J. Barth & Co., San Francisco,

purposes.

•"/ .'•>

outstanding/ common shares'.of Huron Portlaifid Cementin the ratiorpl
of ^t share of Nat1oaat 5tb'Ck fdr ?,ii

Jan. 29 filed 3,492,000 shares of

For

Magma Power Co. (5/11-15) y
>/> w'iT> ;|f?V.
V.;
April 3 filed 100,000 shares of 6% convertible preferred
stock
(par $10) and 500,000 shares s of common stock
(par 10 cents) to be offered in units consisting pf one
preferred'share and five common shares. ; Price—$63
per unit.
Proceeds—For drilling and exploration pro¬

City, Nev.

••■■y ;

stock.

R. F.

Lytle Corp. (5/18-22?##^
April 16 filed 100,000 shares of common stock. Price—!
At a maximum price of $14 per share. Proceeds—To re¬
tire bank loans and for general working capital.' Under¬
writers—Joseph Walker & Sons, New York; and Clark,1
Landstreet & Kirkpatrick, Inc., Nashville, Tenn.

and

Office—Westbury, Long
& Saitzman, New

Underwriter—Torpie

dress—P.jO.

•

in the

Regina, Sask., Can.

National Citrus Corp.

oer

April 30 filed

Underwriter— Laird & Rumball,
• Island
Cottages, Inc.

Island,

Thursday, May 7, 1959

York.

April 20

for general corporate purposes.

share for approximately
close of business on

the

mon

•

writer—None.

Irando Oil & Exploration, Ltd.
April 24 filed 225,000 shares of common stock. Price—90
cents per share. Proceeds—To defray the costs of
explo¬
ration and development of properties and for the ac¬
quisition of other properties; also for other corporate
purposes.
Office—1950 Broad St., Regina, Sask., Can.

new

None.

—At 100% of principal amount. Proceeds—For invest¬
ment. Office—511 Fifth Ave., New York, N. Y. Under,

one

held

17, 1959; rights to expire on May 15, 1959. Price
—$32 per share. Proceeds—To reimburse the treasury.
Office—203 W. Ninth St., Lorain, Ohio. Underwriter—

ceeds—To

Investment Corp.

March

gram;

Proceeds

program. Underwriter—To

75.1729

tif^ates to be; offered in denominations of $100 each.
,

Piibe—At par.''Proceeds—For mining
writer—None.
"

expenses..

*..V|

Oil, Gas &, Minerals,. Inc.
.April 2 filed 266,000/shares of common stock (par 35
cents.
Price—$2 'per share. Proceeds—To retire bank
loans and. for' investment "nurnosesl

Assets Investment Co.,
O.
Dec.

;

.Under?

Office^SlS Interna-

The;/New Orleans, La. *

K. Rubber Welders,
15 filed

Inc.
60,600 shares of common stock, $43,333.33

of 3%%

debentures maturing on or before May 6, 1965,
$692,000 of 6% debentures maturing on or before Dec.

31, 1974 and $123,000 of 7% debentures due on or before
May 6, 1965
The company proposes to make a public
offering of 25,000 shares of common stock at $10 pei,
share.

The

remaining

and

the

debentures

art

Volume

subject to
O.

K.;

Number 5844

189

;an

.The Commercial and Financial Chronicle

System,

on an

offering,

•

exchange, offer between this -corporator >t

Rubber, Inc., and O. K.; Ko-op Rubber Weldinj
alternative basis* Proceeds—Of the publn
used for: additional working capita

None.

will- be

Statement

effective April

13.-

Ozark Air

be offered to employees).
by amendment. Proceeds — To
selling stockholders; Business — Producer of decorative
laminated plastics. Underwriter—Reynolds & Co., Inc.,

class B

common;

are to

Poly Industries; Inc.

—$4.25 per share to stockholders: $4.75 to public; Proceeds
—Tib purchase addftioqal flight and ground equipment
and for
Address—P. O.'Bos: 6007,

★ Raytheon Manufacturing Co.
I
*
May 1 filed 414,066 shares of common stock (par $5)
through the company's Key. Employee Incentive
Plan Stock Options; also an additional
90,890 shares offered through common stock
purchase warrants issued
attached

wo'fking Capital and to reduce bank borrowings.
Office -P ,42177 Montague Street, Pacoima,
'/Calif. V Underwriter—Vaii - Alstync, Noel & Co., • New

:wei'Irfhg;c^RaT.

PotonMic Electric Power Co.

new

/will be

offered

first

„H

......

„

for each 300 common shares held. Frlce-i
supplied by amendment. Proceeds—To pay debt
development of present properties and acquisi¬
tion and development of additional oil and gas
proper¬
ties. Underwriter—Emanuel DeetjCn &
Co., New York.

To be

and

•

holder. ^.rfice^To

be supplit$; py;a^
corporate purposes; to reimburse the company's treasury
cobstmc£/and. equip a- new plant; in Newpufy Park,
for a portion of the construction expenditures heretofore
Calif.1/fa Yeduce/short-term bank indebtedness,- and for;
made, and to provide for a portion of its construction
Working' fci^pifal.^Underwritcr-^-White, Weld & Co., New 4 program; Underwriters—Dillon,' Read & Co. Inc., New
Tprk.'";"York; and Johnston, Lemon & Co., Washington, D. C.
• Paddock of California
;
:
A
: ;
> Precon
Electronics Corp. (5/18-25)
March 30;,filed 51,847 outstanding shares ofi/common ; April 6 filed.
175,000 shares of common stock (par 75
stock ;(par $1 f being offered /'only to - stobkhOlders and
; cents).
Price — $5 per share. Proceeds — For working
directors of The Refinite Corp. and will not be offered
capital; to reimburse the predecessor for certain devel¬
to the geneial public."
Price—$3 per share. "Proceeds—
opment expenses; for inventories and work in process;
To selling stockholders, The. Refinite Corp. Office—8400
and other general corporate purposes.
Office—120 E.
Santa Monica BouIevard/Los AngcleS, Calif. Underwrit¬
41st St., New York, N. Y. Underwriters—Charles Plohn
—To

gage and loans and for general
117 Stanley
Plohn &

„

■-■

& Co. and Netherlands Securities

York, N. Y.

Paramount Mutual

Fund, Inc.
Jan. 2 filed 300 ,000 shares, of -capital stock. Price—Mini
mum pbrchasef of sharesis $2,500.
Proceeds—For invest
ment.t Office—404 Nbrth RoxbUry Drive; Bbverly Hilli
Calif. • Underwriter—Paramount Mutual Fund Manage
ment Co. Statement effective April 14. v ' ::/ '

Republic Foil Inc.
26 filed 70,196 shares of common
stock, being
offered for subscription by holders of
outstanding shares
upon the basis of one new share for each three shares
held on or about April 28,
1959; rights to expire on or
f

Pressed Metals of

about

May 13. Price—$12.50 per share. Proceeds—For'
property and equipment, to retire bank loans, and for
working capital.
Office — 55 Triangle St., Danbury,
Conn.
Underwriter—Laird & Co.-, Corp., Wilmington,

Co., Inc., both of New

Del.

Price

—

American Stock

the

current

market

price

the

Office—Englewood,

N. J.

Exchange. Proceeds—To selling stock¬
Huron, Mich. Underwriter—None.

Richwell

Producers; Fire Jft Casualty Co., Mesa, Ariz.
fUed

Offered

ak&z8.

"ha"es

40C00n

common

fof,vSubscfip,tion:.b

stock

'to

S,TC_V'1?

Underwriter—None.

one

hew share for each fou,r shares held

issued by Dependable Life Insurance Co. and to certain

as, pf-record

brokers'of Producers Fire &

and

sharer

per

•

24'h i958;heights: tdZ/Okpife/ bri, May- 8, 1959.
«--Price—$6 per share/ Proceeds^To; "purchase, additional.nnn
,

stock oL Fairbanks, Morse
.'and' fbr repayment of
loans. Uhderwriter4-Bear, Stearns, &. Co;, New/Tork.
^

Pennsylvania Power Co.
A?;
Aug. 1 filed $8,000,000 of first mortgage bonds due 1989.
.

Proceeds—To redeem

like amount of 5%

first mort¬

gage bonds due 1987.
Underwriter—To be determined
by competitive bidding. Probable bidders: Halsey, Stuan
& Co. Inc.; Kidder, Peabody & CO.; White Weld & Co.
Equitable. Securities Corp., and Shields & Co. (jointly)
Lehman Brothers, Eastman Dillon, Union Securities 8

Co.; Salomon Bros. & Hutzler and Ladenburg, Thalmanr

Go. (jointly); Merrill Lynch, Pierce, Fenner & Smitt
& Co. (jointly). Bids — Tentatively
had been expected to be received up to 11. a.m. (EDTt
on
Aug. 27 but company on Aug. 22 decided to
tale pending improvement in market conditions.
SEC
on Feb^25, 1959 extended to June
,16, 1959 period within
which company may consummate financing. •
&

and Dean Witter

Perfecting; Service Co. *
(letter Of notification);> 28,250 shares of common
■tock to be offered for subscription by stockholders on
a pro rata basis.
Rights expire in 15 days. Price—At par
($10 per1 shared; Proceeds—Fol accoiints receivable and
inventories. .Office—332 Atando Ayo., Charlotte, N. C.

Feb. 26

Un^trwffter^NoneV. y1/4;-7
-

;

•

/na! !L r^nf?

.Price — $1.50 per share
Proceeds — For
general expansion and working capital. Office—1108
16th Street, N.W., Washington 6, D, C. Underwriter—
John C. Kaliri Co., Washington, D. C.

March

filed ,500,000 shares

Co., Los/Angeles, Calif. Offering—

Exbected todav (May 7):
Expected today (Mav 7);

•

V—

share; Proceeds—For inventory, expansion of present
facilities/ equipment, working capital and other general
per

— Penndel, Fa. Underwriter—
Malkan & Co., Inc.; 565 Fifth Ave., New York.

R*inder Gold Mines
28

(letter

Ltd

of/notSicatinnV

290 000 shares of common

the rate of

one

new

share for each two shares held.

Price—To

Underwriter—

*'-*
;
-■
Rapid-American Corp., New York

April 13 filed $7,209,640 of convertible subordinated de¬
bentures due. April 30, 1964, to be Offered for subscrip¬
tion by common' stockholders in the ratio of $100 Of
debentures for each 10 common shares held. Price—To

supplied by amendment. Proceeds—To be applied in
part to the repurchase and retirement of the company's
5%% convertible subordinated debentures presently out¬
standing, in full, at par plus accrued interest to the
date of payment, and the balance for general corporate

be supplied by-amendment,
Proceeds-^-For
working capital. * Office—Soriano Building, Plaza Cer¬
vantes, Manila (P. I.). .Underwriter—None.

purposes;

Phillips-Van Heusen Corp.
April 21 filed 69,210 shares of common stock, to be of¬

fund debentures due 1973, to be offered in

Underwriter—None.

Rassco

Financial Corp.

June 26 filed

$1,000,000 of 15-year 6% series A sinking
denomination!
$500 and $1,000. Price—At par. Proceeds—For work¬

fered in exchange for commoir stock of Kennedy's, Inc.,
in the ratio of 1% shares of
Phillips-Van Heusen stock

ing capital and general corporate purposes.

for

basis.

one

share of Kennedy's stock.

seven

(letter of notification). 17,732 shares of com¬
(par $5) being offered for subscription by

stockholders

shares held

the basis of one share for each

of record

April 6 (with an oversub¬
scription privilege); rights to expire on May 15, 1950.
Price—$16.75 per share. Proceeds—To repay short-term
bank loan and for installation and construction of addi¬
tional

mains for the

Office

facilities.

•

—

purpose

123

of extending distribution

Church

Avenue, Roanoke, Va.
»

★ Roosevelt-Consolidated Building Associates
(
May 4 filed $5,580,000 of Participations in Partnership
Interests, to be offered for sale in units. Price—$10,000
per
unit.
Proceeds—For general corporate purposes'.
Office—60 East 42nd Street, New York.
Underwriter
,

Routh Robbins

—Rassco

Israel

Corp., New York,

Underwritei
"best efforts'

Investment

Corp.

Jan. 29 filed 475,000 shares of common stocks

Price—$1
share.
Proceeds — For investments and worktag
capital. Business — Real estate investments. Office —
Alexandria, Va. Underwriter—None.
per

• Rowland Products, Inc.,
Kensington, Conn.
April 17 (letter of notification) 11,538 shares of common
stock (par $12.50)
being offered for subscription by,
common

Philippine Oil Development Co., Inc.
April 10 filecT 221,883,614 shares of capital stock, to be
offered for subscription by holders of outstanding stock

common

—None.

Pyrometer Co. of America, Inc.
April 27 filed 200,000 shares of common stock. Price—$3

4'.?• J//.; Arnold, Wilson Circle, RUmson, N.
April 7 filed 140,000 shares of common stock, of whicji / Sano & Co., New York, N.' Y.
120,000 shares are to be offered for account of the comselling stockholder.

stock

mon

Underwriter—None.

Priee—To be supplied by amendment. Proceeds —- For
land .and buildings and working capital. Underwriter—

March 19

Corp.

of capital stock (par 10
cents.
Price—$1.25 per share. Proceeds—For working
capital and general corporate purposes, Office—2 South
Broadway, Lawrence, Mass, Underwriter—Dunne & Co.,
New York.' Offering—Expected any day.

Arnold

pany and 20,000 shares for account of

Roanoke Gas Co.

Purepac Corp., New York
260,000 shares of common stock (par five
cents). Price—$3 per; share. Proceeds—To repay loans
and for general corporate purposes.
Business—Manu¬
facturers and packager of proprietary drug items.
Un¬
derwriter"— Richard Bruce & Co. Inc., 26 Broadway,
New York 4, N. Y; Offering—Expected end of May.
Puritan Chemical

Canada.

couver,

March 31 filed

^S5S®tSZ S S

Permanent Filter Corp.

Proceeds—To pay off demand note, to pay other indebt¬
edness, and the balance if any will be added to working
capital. Underwriter — Pacific Securities Ltd., Van¬

stockholder.

(par JO cents> and 1^917 shares of class/B eOmmon stock
%
(par 10 cents). This covers the^ transfer of certain shares /
pursuant fo option agreements. Pricy^ At over.the-:
coto-tcr market-prices. tnd^wrUer-: Noner • > -

Staats &,

r_rv.rv.r.n

corporate purposes. Office

•

PermacNenf Corp., New York

William R.

0^0r,OCT

i?n

nf
nnn chnrla
tn
rstock (par one, cent) of whivn 170,000 shares ar* to h#»
which
are
be
sold by the company and 30,000 shares by a selling

March 31 filed 2,041,331 shares of class A common stock

•

the rate of one new share for each three shares held
(with an oversubscription privilege). The subscription
period will be for 30 days following issuance of subscription rights. Price—To be supplied by amendment,
at

April:

Casualty Co.
working capital.

Proceeds—For

$1).

stock, 1,174,716 shares are to be sold on behalf of
the company and 824,000 shares for the account of cer¬
tain selling stockholders. The
company proposes to offer
the 1,174,716 shares for subscription by its shareholden

holders of stock purchase
rights acquired in connection with life insurance policies
agents

Ltd., Alberta, Canada

Of this

Penh-Texas Corp., flew' York
City/{;f'''' >'/
March - 34 filed 1,490.622 shares of' common stpek being
offered for siibscriptlGfii- by common stockholders ai rate

Petroleum

June 26 filed 1,998,716 shares .of common stock (par

wrifer-^Investors! IrivestfhentS t!orb.. Pasaddnd? Cailf

Price—$5

Underwriter—First Mutual Securities of America,

Inc.

holders. Office—Port

TTnd.r
/Udder

».

Research Investing Fund of America, Inc.
Feb. 24 filed 200,000 shares of
capital stock. Price—At
market, Proceeds—For investment

America, Inc.

April 17 filed 90,000 outstanding shares of common stock.

Packman Plan Fund, Inc., Pasadena, Calif.
May .19 filed 20,O0O shares. or cofnmorr stock (par SI C,

Price—At market:"" PrdcCfcds— Eoir: •IrttfKsrmWit:
'in v&SCirtdrtt.

vy." < --v

working capital. Office—
Ave., Yonkers, N. Y. Underwriter—Charles
Co., New York, N. Y.
V

March

er—None.

for

Reon Resistor Corp. (5/11-15)
'.1/1'
April 2 (letter of notification) 150,000 shares of common
stock (par one cent).--Price—$2
per share. Proceeds—To
purchase new equipment; for payment of chattel mort¬

Pro-

standing bank loan notes,
brking capital and other

convertible debentures

debentures

share for

ied by amendment.

•

subscription by commoii
the rate :.of _$100 principal amount of

^stockholders at

one

notes.

„

stockholders

subscription rights to expire

1971

Reiter-Foster Oil Corp.
March 30 filed $1,500,000 of 6%
due 1969, to be offered for

stock (par $10)

common

the rate of

4%%

(5/13)

common

its

of option. Price—$3 per share. Proceeds—To Hazard E.
Reeves, the selling stockholder. Underwriter—None, No
public offering is planned.
-

and 100^000 Shares for certain selling
Price—-To be - supplied by amendment,

Proceeds—For

★ Reeves Soundcraft Corp., Danbury, Conn.
April 30 filed 22,000 shares of comrnon stock (pab fiver
cents) to be sold to Lewis Cowan Merrill upon exercise

(par $1),

company

stockholders.

result

offered

-of which 100,000 shares are'to be offered for the account

stock

common

3tock

as; a

(par $50). These shares were or may be
of the merger, of Machlett Labora¬
tories, Inc., into Raytheon Co. (formerly Raytheon Mart"
ufacturing Co.).

(5/25-29)

May 4 filed 200;0()0 shares of

stock.e videnc^l'by /avoting Vbf the

trust certificate, one ..share of general oommdn stock for
each 20 shares of Cl. A and ckB common: stock held. Price

ferred

issued

•

^ Raytheon Manufacturing Co.
May 1 filed 350,602 shares of common stock (par $5) and
100,000 shares of 5V2% series (cumulative), serial pre-*

(par $1)

■ic- Polarad Electronics Corp. (5/25-29) "
May 1 filed 100;00()'shares of common stock.
Price—To
be .supplied
by amendment:
Proceeds—For working
:;capital -and other/-cbrporate purposes.Office—43-20
34th Street, Long Island City, N. Y.
/.
Underwriter—
Kidder, Peabody & Co., New York.
•
\

Lines, Inc. >0
\. ;
March 24; (letter of
notification) 59,825 shares of general common stock (par $1) .-to ,be offered for subscriptiori byrlioMers of class A and :class B common stock
and/or

(5/18-22)

stock

common

New York.

Oppenheimer & Co., New York.
•

Corp., Sanford, Me.

•'(of which 8,000 shares
Price—To be supplied

Oppenhermcr Fund, Inc. V ■'
Dec. 5 filed 100,000 shares of capital stock.
Price—A
market Cabouf $10 per - share)
Proceeds—For, invest
ment.v Office—25 Broad St., New York., Underwriter—
v.

Pioneer Plastics

April/15'filed lSO.OOO share^ bf

•

and/or to service part .oKtheCompany/s debt/Office— •:
551J RIo Grande Ave., LittIeton^,Colo;.iJUnd^rwrlter— l;

•t

(2127)

6*4

stockholders at rate of

one

new

share for each

shares held of record April 24, 1959; rights to ex¬

pire on May 19. Price—$23.50 per share. Proceeds—For
working capital. Underwriters—Cooley & Co., Putnam
& Co., both of Hartford, Conn, and Eddy & Co., NewBritain, Conn.
'
j
Santa's Village, Skyforest, Calif.
March 27 filed

$800,000 of 6% convertible subordinated
sinking fund debentures due 1974/ Price—At 100% of
principal amount. Proceeds — For completion of East
Dundee Village (a new amusement park near Chicago);
for working capital and other corporate purposes.

and

Underwriter—None.

Schjeldahl

(G. T.) Co.
42,500 shares of

stock, which
are to be offered and sold first to present stockholders
at the rate of one new share for each eight shares held
March

filed

common

April 1, 1959. Price—$10 per share. Proceeds—For
plant facilities, for purchase of equipment,
working capital and other corporate purposes. Office—
202 South Division St., Northfield, Minn.
Underwriter
—Craig-Hallum, Inc., Minneapolis, Minn.
•
- •
Continued on page 44

increased

The Commercial and Financial Chronicle

(2128)

♦Continued

Office

gram.

from1 page 43

—

Yehuda St., Tel Aviv, Israel.

Ben

Servonics, Inc.

York, N. Y.

;

For general corporate purposes.
Office—822 N. Henry
at., Alexandria, Va. Agent—Kidder, Peabody & Co., New

of common stock, being those shares which are novv out¬
standing or now reserved for issuance upon exercise of
outstanding options, including those which are not spe¬
cifically covered by an earlier registration; and those
which are not covered by said registration because is¬
sued as a stock dividend upon shares on deposit under
the voting trust at the record date for the stock divi¬

York.
Shares in American

Industry, Inc.

Dec. 12 filed 50,000 shares of common

market.

stock. Price—At
— 1033-30th

Proceeds—For investment. Office

6t., N. W., Washington 7, D. C. Investment Advisor—In¬
Corp.

Management

Fund

vestment

Former

Name—

Ghares in America, Inc.
Silver

March 30 filed

(par

1,550,000 shares of common stock

cents), of which 200,000 shares are to be offered for
the account of the company, and 1,350,000 shares for
«*ecbiint of selling stockholders. Price—To be supplied

Proceeds—For working capital. OfficeCentral Ave. and Mechanic St., Silver Creek, N. Y. Un¬
derwriter—Maltz, Greenwald & Co., New York.
by amendment.

Sip'n Snack Shoppes, Inc., Philadelphia, Pa.

Southern Electric

Generating Co. (5/28)
April 17 filed $25,000,000 of first mortgage bonds due
ing the cost of constructing

steam-electric generating

the Coosa River in Alabama and related fa¬

cilities; and for the repayment of $4,000,000 of shortterm bank loans incurt-cd for such capital expenditures.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart
Co. Inc.; Eastman
-Dillon, tJnion Securities & Co.; Equitable Securities
Corp. and Drexcl & Co. (jointly); Merrill Lynch, Pierce,
Fenner & Smith; Kidder, Peabody & Co. and White,
Weld & Co. (jointly). Bids—Expected to be received
up to 11 a.m. (EDT) on May 28 at the office of Southern
Services, Inc., 250 Park Avenue, New York 17, N. Y.
Southern Nevada Power Co. (5/11)
April 6 filed $5,500,000 of first mortgage bonds, series D,
<luc 1989. Proceeds—Together with other funds, will be
used to repay temporary bank loans, and to refund the
ciightly less than $4,000,000 of series "C" 5%% mortgage

fjonds

due

1986.

Underwriter—To

determined

competitive bidding.

Probable bidders: Halsey, Stuart
Dillon, Union Securities & Co. and
Kidder, Peabody & Co. (jointly); White, Weld & Co.;
iflerrill Lynch, Pierce, Fenner & Smith, Inc. Bids—Ex¬

& Co. Inc.; Eastman

pected to be received

up to 9 a.m. (PST) on or about
May 11 in the offices of O'Melveny & Myers, Room 900,
433 South Spring Street, Los Angeles
Southwestern

Electric

Power

13, Calif.

Co.

(5/12)

April 13 filed $16,000,000 of first mortgage bonds, series
H, due May 1, 1989. Proceeds—For construction expend¬
itures, and to prepay and discharge some $12,000,000 of
bank loans made for that purpose. Underwriter—To be
determined by competitive bidding.
Probable bidders:

Halsey, Stuart & Co. Inc.; Merrill Lynch, Pierce, Fenner
& Smith Inc., and Eastman Dillon, Union Securities &
Co.
(jointly);
Equitable
Securities
Corp.;
Lehman

Brothers; Kuhiy Loeb & Co.; Blyth & Co., Inc. Bids—
Expected to be received up to 10:30 a.m. (CDT) on
May 12.
Sports
Nov.

Arenas

(Delaware)

Inc.

18 filed

$2,000,000 of 6% 10-year convertible de¬
bentures (subordinated), due Jan. 1, 1969 Price—To be
supplied by amendment. Proceeds—$750,000 to pay AMF
Pinspotters, Inc. for bowling alley beds; $350,000 to pay
€or other installations, fixtures and
equipment; $85,000
to expand two present establishments by* increasing
number of alley beds by eight at Yorktown
Height®
«ad by six at Wilton Manor
Lanes, Fort Lauderdale;
•SOUjOOO for deposits on leaseholds, telephones and util¬
ities; and $395,000 for working capital. Underwriter—'
None.

Sports

Arenas

(Delaware) Inc.
Nov. 18 filed 461,950 shares of common stock
(par one
cent). Price—At the market (but in no event less than
S8 per share). Proceeds—To selling stockholders. Office
—33 Great Neck Rd., Great
Neck, N. Y. Underwriter—
None

10,000 shares of

com-

Price—$27.50 per share. Proceeds
equipment, erect and equip a semi-fireIMEOof building and for working capital.
Office —3016
Austin Highway, San
Antonio, Texas. Underwriter —
Bache & Co., San
Antonio, Texas.
—To purchase

Standard

Packaging Corp.

April 1 filed 43,067 outstanding shares of common stock
end 28,834 outstanding shares of
$1.20 convertible pre¬
ferred stock

(par $20) to be offered from time to time
Exchange or off the Exchange.

the New York Stock

Price—Related to the then current market
price on said
Estate of D. Samuel
Gottesman,
deceased. Underwriter—None.

-Exchange. Proceeds—To

Sterling Television Co., Inc.
(letter of notification) 200,000 shares of Class
Price—$1 per share. Proceeds—

March 31

A stock (par 25
cents).

For general corporate
purposes, and to acquire television
film series for distribution. Office—6
East 39th St., New
York 16, N. Y. Underwriter—R. A.
Holman & Co., Inc.,
New York 5, N. Y.

Super-Sol Ltd.
March 25 filed 250,000 shares of
At par (19,800 Israeli

common

stock. Price—

pounds—equivalent to $11 per
funds), payable up to 90% in State of
Israel Independence Issue and
Development Issue Bonds
«nd the,balance in cash. Proceeds—For expansion pro¬
ehare

used to reduce long-term

debt; improvement and

expan¬

sion of Ogden plant and for addition to
working capitaL
Office—379-17th St., Ogden, Utah. Underwriter—Schwa-

bacher & Co., San

Francisco, Calif.

Utah Mineral* Co.

April 11 (letter of notification) 900,000 shares of

(5/20)

Corp.

stock.

mon

com¬

Price—At par (10 cents per share).

Proceeds
Office—305 Main St., Park City,
Underwriter—Walter Sondrup & Co., Salt Lake

of the company and 250,000

City, Utah.

Utah.

shares for selling stockhold¬
supplied by amendment. Proceeds—
To be applied against the company's short-term bank
loans incurred to finance the performance of the com¬
Price—To be

ers.

mining

expenses.

Utah Oil Co. of New York, Inc.
May 6 (letter of notification) 300,000 shares of capital
stock. Price
At par ($1 per share). Proceeds — For
development of oil and gas lands. Office—574 Jefferson
Ave., Rochester 11, N. Y. Underwriter—Frank P. Hunt
ft Co., Inc., Rochester, N. Y.
—

pany's contracts. Office—915 North Citrus Avenue, Los
Angeles, Calif.
Underwriter—Blyth & Co., Inc., Los
Angeles, Calif.
Ten

Keys, Inc., Providence, R. I.

Utility Appliance Corp., Los Angeles, Calif.
April 9 (letter of notification) 50,000 shares of common
stock (par $1).
Price—$5.75 per share.
Proceeds—To
selling stockholders. Office—4851 South Alameda Street,

April 28 filed 973,000 shares of capital stock.

Price—
Office—512

$5.40 per share. Proceeds—For investment.
Hospital Trust Bldg., Providence, R. I.
Distributor—
E. R.

Davenport & Co., Providence, R. I.

Texfel

Petroleum

Los Angeles

Corp.

March 19 filed 550,000 shares of common stock (par $1).
Price—To be supplied by amendment.
Proceeds—For

funds and will be used

Pricey-No less than $120

contracts

in connection with its various

Victoreen

etc.

•
Virginia Electric & Power Co. (6/2)
April 28 filed 710,000 shares of common stock (par $8)
to be offered for subscription by common stockholders
-

rights

share.

Proceeds

—

For

Street, Greenville,
writer—To be supplied by amendment.

United

April 27

(par $1).

and

N. J.

oversubscription privilege);
June

18.

—$10

per

and stockholder,
commission of $1.50 per share. Price

share. Proceeds—To purchase additional

Washington Gas Light Co.
April 7 filed 100,386 shares of $4.60 convertible preferred
stock (no par) being offered for subscription by com¬
mon
stockholders of record April 27, 1959 at the rate
of one new share for each 14 common shares held; rights
to expire on May 12, 1959. Price—$100 per share. Pro¬
ceeds— For construction program. Underwriters — The
First Boston Corp., New York; and Johnston, Lemon &
Co.,, Washington, D. C.

investment.

(letter of notification) 100,000 shares of com¬
(par 10 cents).
Price — $1.50 per share.

Glass-to-metal

Underwriter—None.

four

the basis

reserve

split,

Lawyers

one

share of United for each

before

its

recent

one-for-ten

2Vz

shares of United for each share
of Lawyers after such split. Lawyers' stockholders may
or

round out their allocation to the next full share by
purchasing not more than 3,4 of a share at $1.25 for each
Vi share needed. In addition, a stockholder who accepts
United's offer will have privileges to subscribe to 242,299 additional shares at $5 per share, on a one-for-four
basis. The company also proposes to offer 187,500 shares
in exchange for all the outstanding common stocks of
Margate Homes, Inc., Broward Engineering Co., and
Margate Construction Co., certain outstanding debt ob¬
ligations of Margate Homes, Inc., and $62,500 in cash.
Proceeds—For working capital and general corporate
purposes.
Office—25 West 43rd St., New York, N. Y.
Underwriter—Allen & Co., New York, for 242,299 shares

common

(5/25)
April 17 filed $14,000,000 of first mortgage bonds, series
R, due June 1, 1089. Proceeds—Together with other
funds, will be applied to the company's construction pro¬
gram and repayment of bank loans incurred thereof.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; Lehman
Brothers and Eastman Dillon, Union Securities & Co.
(jointly); The First Boston Corp. and Harriman Ripley
& Co. Inc. (jointly); Kidder, Peabody & Co. and White,
Weld & Co. (jointly).
Bids—Expected to be received
up to noon
(EDT) on May 25 at office of West Penn
Electric Co., 50 Broad Street, New York, N. Y.
:
Western Wood Fiber Co.
March 5 filed 100,000 shares of common stock (par $10)
and

40,000 shares of preferred stock (par $25). Price —
Proceeds—For construction and equipment of
company's plant and for working capitaL Office—300

par.

Montgomery

Glass

& Chemical

Office—Tiffin, Ohio. Underwriter—None.

terest

Enterprises, Inc.
4,500,000 shares of class A common stock
(par 50 cents).
Price—$2 per share.
Proceeds—For
development and construction of a "Western Village"
construction of

Grand Estes Hotel

and

Con¬

vention

Hall, to be constructed in the immediate vicinity
of Estes Park Chalet, located in Larimer
County, Colo.
Office
330 South 39th Street, Boulder, Colo. Under¬
writer—Mid-West Securities Corp., Littleton, Colo.
—

Uranium Corp. of America,

Portland, Ore.
April 30,1957 filed 1,250,000 shares of common stock (par
'j.

Calif.

Underwriter—

Price—To

bef.supplied by amendment (ex¬

$500,000 of debentures due 1991 (non In¬
bearing) and 800 shares of common stock (par

to be offered to members of this club and of
Concord Ltd. Price—$375 per common share and $1,000
per

United Tourist

cents).

Francisco,

$25)

debenture.

build

Jan. 28 filed

San

Oct. 27 filed

Corp.

Nov. 26 filed 708,750 outstanding shares of common stock.
Price—At market. Proceeds — To selling stockholders.

and for

St.,

None.

Wilmington Country Club, Wilmington, Del.

stock.

United States

West Penn Power Co.

(par

$2.60), of which 809,195 shares are to be offered in
exchange for outstanding stock of Lawyers Mortgage &
Title Co.

ma¬

chinery and equipment; research and experimentation;
initial contracts; and purchase of additional com¬
panies. Underwriter—None.

Components, Inc.

United Improvement ft Investment Corp.
March 25 filed 1,238,994 shares of common stock

Proceeds—For

for

equipment, working capital, etc.
Busi¬
(hermetic) seals; silicon-diodes
transistors.
Office—358-360 Henry Street, Orange,
—

about

Wade, Jr., company's principal officer

Proceeds—For
ness

who will receive

Under¬

stock

mon

expire

• Wade
Drug Corp., Shreveport, La.
V
April 28 filed 157,250 shares of class B common stock
to be sold privately to retail druggists through James D,

★ Trusteed Funds, Inc., Boston, Mass.
May 4 filed (by amendment) an additional $1,700,000
principal amount of Commonwealth Fund Plan C.
Proceeds—For

share for each 20 shares held of

(with

program.
Underwriter—To be determined
competitive
bidding.
Probable
bidders:
Merrill
Lynch, Pierce, Fenner & Smith, Inc.; Stone & Webster
Securities Corp. Bids—Expected to be received up to
11 a.m.
(EDT) on June 2 at Room 238, 43 Exchange
Place, New York, N. Y.
*
V
•/ ,;

investment.

new

Petroleum & Development Corp.,
Mangum;< Okla.
March 20 (letter of notification) 300,000 shares of com¬
mon
stock.
Price—At par ($1 per snare).
Proceeds—
For development of oil properties.
Underwriter—First
Investment Planning Co., Washington, D. C.

per

one

construction

Transcon

Main

the4)asis of

record June 2, 1959

Office —1601

Trinity Small Business Investment Co.
April 17 filed 235,000 shares of capital stock

and

for

Underwriter—None.

Trapelo
Road, Waltham, Mass.
Underwriters—Lee Higginson
Corp. of New York and Boston.

Price —$10.75
Office—South

247,159 shares of capital stock (par $1)
subscription by holders of common
debentures, at the rate of new share for

offered

common shares held and eight shares for each
$100 of debentures held as of April 16, 1959 (with an
oversubscription privilege); rights to expire on May 7.
Price—$9.75 per share. Proceeds—For working capitaL

•

development,

Instrument Co.

each four

Rd., Charlotte, N. C. Underwriter
Charlotte, N. C.

Tracerlab, Inc. (5/14)
April 17 filed 100,000 shares of common stock (par $1).
Price—To be supplied by amendment.
Proceeds—For~~

annual premium

$1,500 for single premium

filed

stock

—Interstate Securities Corp.,

and

being

Offering—Date indefinite.

year for

than

less

Proceeds—For

investment, etc. Office—1832
Street, N. W., Washington, D. C. Underwriter—None.

March

Corp.
March 26 filed 468,500 shares of common stock. Price—
At par ($1 per share). Proceeds—For purchase of neces¬
sary capital equipment and to increase working capital.

research

and

contracts.

Thermoplastics

Office—1626 Hertford

Underwriter—• Dempsey-Tegeler

Variable Annuity Life Insurance Co. of America
;
filed $4,000,000 of Variable Annuity Policies.

operations, and for general corporate purposes, includ¬
ing payment of purchase obligations on certain prop¬
erties, and for th6 purchase of warehouse inventories.
Office—Republic National Bank Bldg., Dallas, Texas.
Underwriters—Bache & Co. and Allen & Co., both of
New York.

53, Calif.

Co., Los Angeles, Calif.

April 21

repayment of the company's 5% notes held by an Amer¬
ican bank, and the balance will be added to its general

by amendment.
Ore., is Pres¬

April 27 (letter of notification) 41,300 shares of common
stock (par $1). Price—$7.25 per share. Proceeds—To be

—For

Proceeds—To be used in connection with financ¬

g^ation

named

Portland,

#2 per share. Proceeds—To pay loans and for new equip¬
ment. Undei writer—Sano & Co., New York.

3992.

Proceeds—For exploration
be

April 29 filed 500,000 shares of common stock (par $1),
of which 250,000 shares are to be offered for the account

March 31 filed 200,000 shares of common stock. Price—

share).

Griswold

Thursday, May 7, 1959

Utah Concrete Pipe Co.

dend.

^ Telecomputing

Precision Corp.

Creek

Albert

ident.

jr Super Valu Stores, Inc., Hopkins, Minn.
May 1 filed voting trust certificates for 169,663 shares

mon

per

Underwriter—To

purposes.

Graham

(letter of notification) 133,000 shares of com¬
stock (par $1). Price—$1.50 per share. Proceeds—

March 25

pected to be $1

-Underwriter—American Israel Basic Economy Co., New

Proceeds

certain facilities.

—

develop

property

and

Underwriter—None.

Prospective Offerings

Bank of Commerce, Washington, D. C. (5/29)
26 stockholders of the Bank approved the sale of

Feb.

2,000 shares of capital stock (par $100)
record May 29, 1959, on the basis of one
each

three

Price—$150
and surplus.

shares
per

held;

share.
t>,

to holders of
new share for
rights to expire on June 30.
Proceeds—To increase capital

«r-

Volume

The Commercial and,

Number 5844

189

Weld &

was

it Buckingham Transportation, inc.
4 it was reported that the company is seeking
early ICC approval for the issuance of 250,000 shares of
class A common stock. Underwriter—Cruttenden, Podes-

Co.,

May

Co., Chicago, 111.

Inc.

Feb. 10 it was announced that the company is

& Smith Inc. and

Philadelphia Electric Co.
April 8 it was announced company plans to offer about
640,000 additional shares of common stock to common
stockholders of record on or about June 1; rights to

Proceeds—For construction program.
Morgan Stanley & Co.
Offering—Expected in June. |

expire

(par $5) at the rate of one new share for each six shares
held of record April 22, 1959; rights to expire on May 8.
Price—$20 per share. Proceeds—To increase capital and

Salomon Bros. & Hutzler.
Duke Power Co.

4'-'

.V/iV'v;;--.;

(6/9)

was

shares of

ic Mansfield Tire & Rubber Co.

new

—

March 4 it
vote

was

San Diego, Calif.

;

ceived

scribe

Dec. 1 it

before May 11, 1959 for 105,600 additional

Underwriters

(par $5) on the basis of one new
shares held. Price—$26 per share.
Dean Witter & Co.; Blyth & Co., Inc.;

—

William R. Staats & Co.; Eastman

March 31 it

plans to issue

Co. and Shields & Co. (jointly); Lehman Broth¬

offer¬
stock, part of which will be
—

'•

•

Jersey Central Power & Light Co.
Feb. 10 it was announced that the company is contem¬

ceived

—

To be named later.

—

Ryons & Co., Los Angeles, Calif. Offering—Expected in
the latter part of June.
Union Electric Co.

(Minn.)

United Gas Improvement Co. (6/16)
April 7 it was reported that the company plans to issue
and sell $10,000,000 of first mortgage bonds due 1984.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; White, Weld
& Co.; Merrill Lynch, Pierce, Fenner & Smith and EastT
man Dillon, Union Securities & Co.
(jointly); The First
Boston Corp.;

White,

Kuhn, Loeb & Co. and Blyth & Co., Incw

(jointly); Kidder, Peabody

July 22.

Eastman
to

May 4 it was announced that the stockholders will
on May 26 to authorize the company to offer up to

(Mo.)

W. McAfee, President, stated that the com¬
pany plans to sell about $30,000,000 of additional com¬
mon
stock later this year through rights to common
stockholders. Proeeeds—For expansion program. Under¬
writer—May be determined by competitive bidding.
Probable bidders: Lehman Brothers; White, Weld & Co.,
and Shields & Co. (jointly); Merrill Lynch, Pierce, Fen¬
ner & Smith, Inc. Offering—Expected toward the end
of the second or third quarter of 1959.
Feb. 23, J.

it Pan American World Airways, Inc.

plating the sale of $8,000,000 of first mortgage bonds.
Underwriters—To be determined by competitive bid¬
ding. Probable bidders: Halsey, Stuart & Co. Inc.;

Chicago, 111.

was reported that the company plans to offer
$7,000,000 to $8,000,000 of convertible debentures.
Un¬
derwriters
Reynolds & Co., New York; and Lester,

—

and part for
For working

capital. Underwriters—Auchineloss, Parker & Redpath,
Washington, D. C.; and Kidder, Peabody & Co., New
'

Inc.,

May 4 it

(7/22)
March 31 it was reported that the company also is con¬
sidering offering about 714,000 additional shares of
common stock for subscription by common stockholders
on the basis of one new share for each 20 shares held.
Proceeds
To repay bank loans and for construction
program.
Underwriter—To be determined by competi¬
tive bidding. Probable bidders: Lehman Brothers and
Riter & Co. (jointly); The First Boston Corp., Blyth &
Co., Inc. and Kuhn, Loeb & Co. (jointly); White, Weld
& Co. and Glore, Forgan & Co. (jointly); Merrill Lynch,
Pierce, Fenner & Smith Inc.-Bids—Expected to be re¬

ic Giant Foods Co. Inc.

Underwriter

reported that the company has revised

Northern States Power Co.

May 4 it was reported that the company plans an

York.

was

(Minn.)

financing plans, and is considering the offering and
sale of $10,000,000 of new preferred stock. Proeeeds—To
be used to repay bank loans and for construction pro¬
gram.
Underwriter—To be determined by competitive
bidding: Blyth & Co., Inc. and The First Boston Corp.
(jointly); Lehman Brothers and Riter & Co. (jointly),
Merrill Lynch, Pierce, Fenner & Smith, Inc.; Harriman
Ripley & Co. Inc., and Eastman Dillon, Union Securities
& Co. (jointly); Kuhn, Loeb & Co.; Smith, Barney & Co.

ers; The First.^Boston'Corp.; Morgan Stanley & Co.;
Equitable Securities Corp. and Eastman Dillon, Union
Securities & Co. (oointly); Harriman Ripley & Co. Inc.
Registration—Planned for Aug. 14. Bids—Expected to
be received on Sept. 10.

Proceeds

Co.,

^ Thriftimart, Inc.

its

sold for the account of selling stockholders

Teleflex

Ltd., Toronto, Canada
March 24, R. C. Dobson, President, announced that
the company plans to raise approximately $1,000,000 in
the near future, partially through debt financing and
partially through the sale of additional common stock.

Northern States Power Co.

bonds. Pro¬
Underwriter—To be
determined by competitive -bidding. Probable bidders
Halsey, Stuart & Co. Inc.; Blyth & Co.,Inc., Kidder, Pea-

the account of the company.

Becker

(6/23)

bidders: Halsey, Stuart & Co. Inc.; The First
Corp.; Glore, Forgan & Co.; Blyth & Co. Inc.
Bids—Tentatively planned to be received! on June 23.
Registration—Expected at end of May.

program.

ing of additional common

200,000 shares of class A common stock (par $1), oi
shares will be sold for the account of sell¬
ing stockholders Proceeds — To pay outstanding loanq
and for additional working capital.
Underwriter—A. GL

which 60,000

announced that the company plans an of¬

Boston

md sell $18,000,000 of 30-year first mortgage

body jfe

Equitable Life Assurance Co.

Probable

(9/10)

ceeds—For construction

Feb.

Chandler, President, announced com¬
plans issue and sale of $20,000,000 25-year first
mortgage bonds. Proceeds — For capital expenditures.
Underwriter—To be determined by competitive bidding.

Dec. 10 it was announced That the company

was

Spector Freight System, Inc.
•.
16 this company sought ICC approval for issuance

...

pany

ly); White, Weld & Co.; The First Boston Corp. BidsExpected to be received up to 11:30 a.m. (EDT) on
Georgia Power Co.

;

March 25, Marvin

(6/3)

April 27 it was reported that the company plans to issue
and sell $25,000,000 of first mortgage bonds. Underwriter
—To be determined by competitive bidding.
Probable
bidders: Halsey, Stuart & Co. Inc.; Merrill Lynch, Pierce,
Fenner & Smith, Inc. and Kidder, Peabody & Co. (joint¬

June 3.

was

;

Northern Illinois Gas Co.

Dillon. Union Securi¬

ties & Co.; and Dewar & Co.
Florida Power & Light Co.

June 25.

sale

fering of 950,000 shares of capital stock. Price — $10 per
share. Proceeds—To increase capital and surplus. Un¬
derwriter—John M. Tait & Associates, Cincinnati, Ohio

each nine

for

North American

shares of capital stock
share

and

plans to

Halsey, Stuart & Co. Inc.; Eastman Dillon, Union
Securities & Co. and Equitable Securities Corp. (joint¬
ly); Merrill Lynch, Pierce, Fenner & Smith; Kidder,
Peabody & Co. and White, Weld & Co. (jointly). Regis¬
tration—Planned for May 29. Bids—Expected to be re¬

Savings Bank of

company

(6/2)

announced that the company plans issue
$50,000,000 first and'refunding mortgage
bonds due June 1, 1989.
Proceeds — For construction
program. Underwriter—To be determned by competitive*
bidding. Probable bidders: Halsey, Stuart & Co. Inc.;
The First Boston Corp.; Kuhn, Loeb & Co, and Lehman
Brothers (jointly); Morgan Stanley & Co. and Drexel 8&
Co. (jointly). Bids—Tentatively expected to be received
on June 2. Registration—Scheduled for today (May 7).
;

April 22 it

(6/25)
that this

$5,000,000 of 30-year first mortgage bonds.
construction program.
Underwriter—To
determined by competitive bidding. Probable bid¬

was announced that Bank is offering its
stockholders of record April 21, 1959 the right to sub¬

announced

ders:

—

April

was

Public Service Electric & Gas Co.

Proceeds—For

White, Weld & Co., New York.
First National Trust &

ments for 1959.

Issue and sell

announced stockholders will on April 28
the authorized preferred stock to

1,000,000 shares from 472,229 shares, and the common
stock to 25,300,000 shares from 20,300,000 shares. Pro¬
ceeds
For maior expansion program. Underwriter —

obligations but principally from permanent financ¬
ing, the amount and type of which has not as yet been
determined.
Proceeds—To meet construction require¬

Underwriter—A. G. Becker

Inc., Chicago, 111.;

Mississippi Power Co.
Dec.

Increasing

yet been determined.

& Co.

term

subscription of these debentures by the stockholders has
not

Gas Co.

Paso Natural

Public Service Co. of New Hampshire

April 22 it was stated in the company's annual report
that it plans the raising of $13,250,000 from outsido
sources. This new money will come partially from short-

April 29 directors announced that the company plans to
offer stockholders a total of not to exceed $5,100,000 of
new convertible subordinated debentures. The basis for

preferred stock (par $100).
Proceeds
To reimburse treasury for capital expendi¬
tures. Underwriter — To be determined by competitive
bidding. Probable bidders: Eastman Dillon, Union Secu¬
rities & Co.; The First Boston Corp.; Morgan Stanley &
Co.; Stone & Webster Securities Corp. Bids—Expected
to be received on June 9.
~
and sell 250,000

June 20.

Underwriters—Drexel & Co. and

surplus. Underwriter—A. M. Kidder & Co., New York,

announced that the company has applied
to the Federal Power Commission for authority to issue
April 16 it

Co. Inc. (jointly).1

Offering—Expected about mid-year.

70,186 additional shares of capital stock

to subscribe for

equipment trust certificates due annually in 1-toyears. Probable bidders: Halsey, Stuart & Co. Inc.;

Boston Corp. and Harriman Ripley &

Long Island Trust Co.
April 23 the bank offered to its stockholders the right

000 of

Securities

Union

June.

Chesapeake & Ohio Ry. (5/14)
April 27 it was reported that the company plans to re¬
ceive bids on May 14 for the purchase from it of $2,400,-

& Co. Inc.; Equitable
Eastman Dillon,'
Co., Merrill Lnych, Pierce, Fenner
White, Weld & Co. (jointly); The Firsfc

bidders: Halsey, Stuart

Securities Corp.; Kidder, Peabody & Co.;

(jointly); Kuhn, Loeb &
Co., Salomon Bros. & Hutzler and Eastman, Dillon, Union
Securities & Co. (jointly); Lehman Brothers and Bear,
Stearns & Co. (jointly). Offering—Expected in May or

Offering—Expected towards the

planning

Probable

Weld & Co. and Shields & Co.

end of June.

sale

the

Securities Corp.; White,

Equitable

$15,000,000 of first mortgage bonds.
Un¬
derwriter — To be determined by competitive bidding.

was

(jointly);

securi1...

Pennsylvania Electric Co.

City Power & Light Co.
reported that the company plans to issue
and sell $20,000,000 of first mortgage bonds. Proceeds—
For construction program.
Underwriter—To be deter¬
mined by competitive bidding. Probable bidders: Halsey,
Stuart & Co. Inc.; The First Boston Corp. and Blyth &

Stockholders wouldl

pre-emptive rights to subscribe for these
Proceeds—For purchase of equipment, etc.

ties.

Kansas

Dec. 29 it

Canada.

have

Co.; Kidder, Peabody & Co.; Salomon Bros. &
Lynch, Pierce, Fenner & Smith Inc.
(jointly); Lehman Brothers and Blair & Co., Inc., (joint¬
ly). Offering—Expected during August.

announced Bank is offering to its stock¬
holders of record April 17, 1959 the right to subscribe
on or before July 10, 1959 for 675,000 additional shares
of capital stock on the basis of one new share for each
eight shares held. Price—$32 per share, payable in 10
monthly installments from July 10, 1959 to April 8,
1960.
Subscription Agent—Royal Trust Co., Montreal,

000,000 of convertible debentures.

Hutzler and Merrill

Montreal

Bank of

May 1, it

(2129)

Financial Chronicle

vote

& Co.; Drexel & Co. and

Dillon, Union Securities & Co. Bids—Expected

received

June

16.

Registration—Planned for

around May 15.

$50,-

885
of convertible
shares
pre!
the Treasury act only when they have definite least in part for the stalemate in
bonds
and
they
are
watching ferred.
>(
"
'
;
decide to ask orders to fill.
The Week Ahead
equities closely for any clue to
The more
Congress to lift the interest ceil¬
sanguine observers,
a change in that direction.
The new week promises enough
ing it may pay on new bond is¬ however, note that similar situa¬
business to go around if only tho
sues, the mere discussion of such tions have prevailed in the past
Indicates Confidence
backdrop, by way of a good sec¬
a possibility serves as an excuse,
and the market has righted itself.
Prospective borrowers appear ondary market, can be realized.
if not a reason, for prospective They calculate that things will
more
confident of the future of
Among the week's offerings will
buyers of debt securities to sit on straighten- out again once fears
the fixed income securities mar¬ be General American Oil Co. of!
Whether

must

their

.not

ultimately

hands.

of serious new inflation have been

well
supplied with funds for invest¬
ment and might be expected to
Most

the

latter

are

beaten down.
Market

kets than to

experienced investors

considering plans which are going
at

Stalemate

market ap¬

ahead for new

commitments.

for example,
filed with
Securities and Exchange Com¬

Only

this

week,

Texas'

$20 million of debentures.
get underway with
small utility offerings.

The week will
two

Tuesday brings up $16 million
bonds
of Southwestern Electric
pears to have reached a stalemate
that is the primary and if yields rise another ten basis where investors will neither buy the
Power
Co.
for
bids
and
on
But that was the
secondary corporate bond mar¬ points or so.
nor
will they
sell.
Bond men mission to cover an issue of $80 Wednesday, Central Illinois Light
kets, will have to convince the ease only a while back and yields, with
Co. will take bids for $10 million
"good" bids, judging by their million of 30-year first mortgage
potential investor that a new base which then would have looked
of debentures and Idaho Power
relationship to the market, and
bonds.
Proceeds would help de¬
has been reached when the time attractive, have since been estab¬
the attitude of bondholders, are
Co. will be selling $15 million of
lished. But without getting any¬
comes;
unable to induce the latter to let fray costs of its $300 million ex¬ bonds.
Potomac Electric Power
thing in the way of response from
Certainly there is nothing in
has 1,182,077 shares slated for of¬
go of their holdings.
pansion program.
buyers.
the picture which indicates that
The argument is that "we can¬
Meanwhile Crucible Steel lias fering on "rights."
the prospective buyer is of a mind
Judging by discussion around
not afford to take the loss at these outlined
On Friday, Florida Power Corp,
plans for financing $35
to attempt to feel out the situa¬
the
market
place things have prices." And it is difficult to talk
million of new construction, etc., is scheduled to launch a "rights'*
tion.
And
he
can
hardly
be
reached
a
point where dealers any of them into making a switch.
blamed
what
with
everybody
and proposes to sell $15 million offering involving 706,000 shares
are
scared to venture into the
Observers
continue to blame
seemingly a little on the jittery
of first mortgage bonds plus 99,- of comirion.
market on their own and will the stock market's gyrations at

Presumably the investment

market,

side

the

moment.

show

interest

the

market

The secondary bond

National

Steel

Corp.

The Commercial and Financial Chronicle

(2130)

The following, statistical tabulations

Indications of Current

latest week

Business Activity

week
Previous

Latest

AND

IRON

AMERICAN'

INSTITUTE:

STEEL

Week

month ended
Month

Week

May 10

—„

Si 94.2

'-92.8

$2,668,000

*2,627,000

that date,

2.G41.000

oil

Crude

BUILDING

condensate output—daily

and

(bbls. of
-April 24

average

gallons each)
—
Crude runs to stills—dally average (bbls.),—

April
(bbls.)
—
:
April
(bbls.)
.—
April
Distillate fuel oil output (bbls.)
w-r~~—
April
Residual fuel oil output (bbls.)
April
Stocks at refineries, bulk terminals, in transit, In pipe lines—
Pints tied and unfinished gasoline (bbls.) at
April
Kerosene (bbls.) at
-April
Distillate fuel oil (bbls.) at
April
Residual fuel oil (bbls.) at
April
Gasoline

output
Kerosene output

—

ASSOCIATION

Total

AMERICAN

RAILROADS:

CONSTRUCTION

7,193,220

7,133,025

7,132,225

,s;...

6,312,385

ti 7,705,000

7,850,000

8,007,000

6,984,000

24
24

27,389,000

27,491,000
1,930,000

28,000,000
1,802,000

24,440,000
.2,090,000

12,833,000

13,281,000

10,943,000

6,867,000

6,355,000

1,802,000
11,543,000

0,401,000

6,410,000

211,747,000

212,742,000

20,039,000

19,840,000

17,883,000

81,487,000
55,490,000

81,518,000
50,430,000

76,672,000 ''
55,917,000

033,540

608,755

577,401

576,443

"''•7'^ ' 54

^ ^

i
*

•>

•••

April 30

$410,900,000

$314,300,000

$338,300,000

141,200,000

200,500,000

173,100,000

April 30

149,400,000

126,000,000

144,500,000

182,339,000

April 30

57,100,000

46,500,000

72,200,000

74,415,000

—

municipal

8,015,000

April 25
April 25

,—2.

8,020,000

-rr—-r--r«rrr—Vr- '

'f-

256,754,000

7,920,000

363,000

373,000

.:All

other

Public

0,808,000

,;-;y

private.^—

AVERAGE

Electric output
FAILURES

April 25

100

(in 000 kwh.)—

COMPOSITE

AGE

—

DUN

Scrap steel
METAL

130

12,018,000

12,538,000

Setver

300

284

330

6.196c

0.196c

5.967c

$66,41

$66.41

—

$33.83

April 28

$34.83

$37.83

Lead

York)

Louis)

(St.

;•'"•

$06.49

Aluminum

Straits tin (New York)

MOODY'S

PRICES

BOND

31.250c

24.500c

30.125c

21.575c

New

11.500c

13.000c

Middle

11.300c

12.800c

South

11.500c

10.500c

East

11.000c

10.000c

South

April 29

24.700c

26.000c

102.875c

102.500c

102.750c

93.250c

84.02

84.35

85.52

88.54

89.78

91.77

93.08

103.13

90,63

92.06

99.84

88.54

88.81

89.92

95.92

Ma-v 5

31.225c
29.100c

11.500c

April 29

99.5%)
at

(primary pig.

31.125c

28.650c

April 29

•„

April 29

U. S. Government Bonds

83.28

83.40

84.30

87.05

87.59

88.27

.—

88.27

91.34

May 5
•

—

"IZ'I'II—"IIII— May

BaiTI!IIIIIIIIIII—IIIII—
Railroad

Public

^ay ^

Group—
Group

—,—

87.32

89.92

MOODY'S BOND YIELD DAILY AVERAGES:

U. S, Government Bonds

Average

37.32

,-^ay 5

—"May 5

Group

Utilities

Industrials

•

corporate^.—.

87.99

4.03

4.54

4.29

—------———————-—May 5

4.52

Railroad Group ——
Public Utilities Group
Industrials

—

Group

——

COMMODITY

5
5
5

4.59

ASSOCIATION:

•

—

Percentage of activity
Unfilled orders (tons) at end of period

4.84

Retail

4.56

4.42

389.8

'%■'*

Total

1949

TRANSACTIONS

FOR

ACCOUNT

287,889

306,512

224,405

304,464

323,387

318,345

; .Total

455,533

448,740

-t;

purchases

BUSINESS

326,592

110.79

,110.10

."•

110.98

Short sales
Other sales
Total
Other

—

sales

transactions initiated

Total

Retail. y..

Short

sales

Other

sales

Total
Other

—

393.710

394,040

552,410

,282.350

2,037,930

2,074,590

2,500.500

1,041,090

2,431,G4(|

2,468,630

3,052,910

1,323,440

323,430

381,410

14,200

17,400

42,500

370,220

580,510

387,620

623,010

329,200

666,260

669.645

940,450

Other

sales

■*;.

85,830

206,430

75,890

637,206

633,399

974,350

399,000

700,556

719,229

1,180,780

3,556,345

4,509,510

497,270

801,340

4,055,360

3,575,479

4,856,700

1,809,526

2,220.551

$111,268,421

$51,875,453

1,666,252

1,629,361

6,270

6,767

1,659,982
$85,350,334

1,622,594

1,975,188

$99,242,727

Anrii, ,

435,Q70

536,890

53~G~,890

2~34~750

April u

574,590

606,790

770,350

WHOLESALE PRICES, NEW SERIES
LABOR — (1947-49 —100):

—

All

commodities

580,590

924,410

21,413.570

16,541,900

22,337,980

Anrii on

10,794.440

119.9

119.5

119.3

92.2

92.5

90.9

97.2

107.9

foodsIIIZIIIIIIHAprii

!Prtae WeS'em Z'nC

107.5

107.3

111.5

102.3

100.4

110.8

128.0

128.1

127.9

125.6

annual

capacity of 147,633,670 tons
orders not reported since
introduction of
« centers where
freight from Ea.st £t. I^ouis exceeds

138:7

133.3

128.0
■

191.0.'
4-148.6
>

129.7

185.9,
*

142.3

129.-6

117.3
:

128.3

117.1

127.3

•" 1

BALKS: >

y_;

In consuming establishment

of March 29__

SEED

AND

127.4

_i_ji

Received

SEED

117.0

127.2

mills

Stocks

101,082

846.314

10,521,828
-

868,310
17,642,000

<•

1.745.499

11,577,311

120,909

G3.700
2

March

(tons)

88,572
1" 958.707
17.682.000

87,200

35,645

468,400

327,146

1,126,200

758.322

a_I——1

174400

March 31_

(tons)
(tons)

_.
.

(bales) March 31

(bales)
(bales) __^___TV

..*

149,743

190,000

176,437

112,200"'

125.564

110,300

1
•

214,200

110,000

'
.

,C_III~
T~~~

^.___HI

198,0^7

103.80C

210,100

•"

■

139,800

;

—

467,100

.722,800

——

•_

•

Produced

Shipped

1,601/648

10,375,161

-s

629,668

(tons)-,

(tons)

Einters—

B99D52

Produced

^ >•

(tons)

Hulls—
Stocks

(tons*

Produced

„

Slopks (tops) March 31—2
Cake: and Meai—

Shipped

■

PROD¬

COMMERCE—Month
,

862,582
1,630.798

29_l_rII_ ,;.;17;637«.000

of March

COTTON

CottonSeed—

Shipped
new

98.8

129.5
I 91.9

,»

_I_

—y

•'/,
91.7.;

144.3
<

148.0

•/

Consumed month of Mareb__

Stocks

119.8

EINTEKS —DEPARTMENT

March: '

761,590.

102.8

Z-Tfftsss.sgswsjrsa s

•

192.0 ** •;
•

108.9
v

1314

144.9

—_______

106.8

98.8

134.0

10,032.850

———.—April 28
other than farm and

AND

•Crushed

III—IIHI April

M«5£ts

—i--—

103.9

130.7

107.6 "

•.

132.0.

-—I,",-

UCTS—DEPT.

„

136.7
-

91.8

Ia public storage-as ^>X March
29r-",_——jr_
Linters—^Consumed mouth pf March '

501.380

15,961.310

106.7

li—

recreation

115.9

140J)

IO7.8
99.0

;

—

and

".137.1

103.6
133.1

107.0
'•

—

127.5
.

118.5

103.8

I—

•

133.7

—.

139.0

140.3

■-

113.8

128.5

•

139.1

—v—r.-— tLL

boys'
and girls'

care

"■

and

apparel

108.1
114.1

128.7

"118.5

■

.130.7

107.3

—i—

——

114.3

electricity.—

COM MERCE—R.I 'N NT NG

;

—

120.7

—

Food away from home (Jan. 1953=100)—•

COTTON

C. S. DEPT. OF

home__

132.7

Commodity Group—
All commodities

vegetables^2_ilr:_-4aT.-4^_L->

'.j

556,580
15,990,880
16.547,460

119.6
114.4

and

foods

Cpttqn .spindles .active

April 11

'120.8

114.1

Stocks March 29

tSSZ£Zj=ZZ==~===Z=i$\l

123.3

">:■

„

U4.0
.121.2

113.8

.—,

Other goods and services

i
_

1J8.2'>
1164

13?.#

Reading

234,750

435,070

v'*

123.7

,•>

112^

Personal care

20,689

461,530

24.300

-"$89,300

•

134.1

Medical

973,134

461,530

vi "•

117.7
115.5

$41,200,471

Anrii i,

; 123.7

-April n

•

12,500

...

■••"I-'--

•!

Public

952,445

$84,533,142

1.981,563
6,375

*$85,600"-

'$52,400

■11,^30

111.3

COTTON

—

...

".••

Private

sales

$85,900

Household "operation

1,204,165

$100,603,462

*24,20.0

INDEX —19+7-49^100—

Transportation

1,780,220

#40,600 ••

bakery products
—__i—„
poultry and fish___—
Dairy products
2-—:

Other

$94,095,907

•

>11,900
2i.20O

home

11,670

$49Ji£)0

—•-—

Footwear

TOTAL ROUND-LOT STOCK SALES ON THE N. Y.
STOCK
EXCHANGE — SECURITIES EXCHANGE
COMMISSION
FOR ACCOUNT OF MEMBERS (SHARES):
Total round-lot sales—
*,

Short

April li

Round-lot purchases by dealers—
Number of shares————

Men's

April n

■

>•.

March:

"..Women's

April n

——

PRICE

15,758

Feb.

Housefurnishings

2,127.530

April li

;

sales

•: 'Vi

Apparel

value

Other sales

Month

—

4,470,000

COM-'

1,724,890

Aprii n

Round-lot sales by dealers—
Number of shares—Total sales
Short

SERIES

Solid fuels and fuel oi)__

402,640

3,078,209

April li

Customers' other sales

<8,322.000

$58,592)000'; $71,555,000

18,153
Di:PT.

—

2,155,830

471,260
3,017,066
3,448,326

April 11

Dollar value
—
Odd-lot purchases by dealers (customers' sales)—
Number of orders—Gustpmers' total sales-

Dollar

.5,304,000
_2—$66,051,000

I'l—'i__2_—t'l'_r_T"JL1-——11

Gas and

Customers' short sales

474,890

3,386,110

EXCHANGE—SECUURITIES EXCHANGE COMMISSION
Odd-lot sales by dealers (customers' purchases)—t
of

11,921.000

:?•—

Other

STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF ODDLOT DEALERS AND SPECIALISTS ON N. Y. STOCK

Number

23,531,000

6.011,000
4,547,000

Meats,

452,840

63,350

April n

purchases

22,327,000

11,589.000

Cereal aiid

284,800

—April 11
April li
April li

—

$17,444^)00
7,363,000

#23,311,000

5,252,000
20,348,000

•

items "—j?

Food

44,400

341,930

April 11

.—.

121

' 1,495

''."v., j—• j.——^

Month
All

371,920

April u

—

——

$22,558,000

dollars):

Fruits

—

Short sales
Total

548,370

356,130

April 11

202

184

1.161

of March

NEW

CONSUMER

Food

purchases

141
750

•-'•-

117

—

281

'104

185:

-J—

liabilities
service liabilities

Total"

1,331,070

Total round-lot transactions for account of members—
Total

3,020,690

April li
*

sales

2,505,290

April n

—

sales

Short sales
Other sales
Total

2,396,420

——April U
April 11

transactions initiated off the floor—

Total

the floor—

purchases—

liabilities

INVENTORIES

MERCE

°07

..;C582

126

•'

625..:

,1-^—•

tnimhcr

—

—April
— April
April
—April

$564,046,356

210

■

;^r

Manufacturing > ,.„LL_rI
Wholesale
i'l. 1

MEM¬

—

'•
yr.v<v-- 1 ?:-J*"

liabilities

(Millions
110.84

21,249,138

154,423,117

'53.723,840

„

INC.—Month

433,180

33.126,565

20,338,374

610,322,516

INCORPORATIONS (NEW) IN THE
UNITED STATES—DUN « BRADSTREET,

236,328

41,089,088

27,125,336

BUSINESS

311,340

100,967,461

85,789,462

3.81

BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS
Transactions of specialists in stocks in which registered—
Total

BRADSTREET,

liabilities

Commercial

391)9

25
25
25

-May 1

AVERAGE =-106—

,82,225,441

A ,263

liabilities

Construction

,.t

OIL, PAINT AND DRUG REPORTER PRICE INDEX—

ROUND-LOT

service, number

Retail

;-"3.88

390.0

100,757,364

403,680,144

number

Wholesale

4.31

4.41

390.6

96,493,439

62,865,513
56,533,378

96,589,327

;■> yn;

service

Manufacturers'

4.45

$15,940,184

108,646,030

614,405,217

3.99

4.29.

number

Commercial

3.76

4.54

08
9

$489,480,606

•

number;

number

4.63

! '

•

'14

■

IXC.—Moijth of March:. >,

4.01
1

63 v

$710,994,544

1 j__

City

Wholesale number

3.56

4.42
.

62
>43

111,919,131

States;

Manufacturing

April
April
April
April

(tons),—

Production (tons)

United

BUSINESS FAILURES—DUN

2.86
.

4.61

4.27

4.91

May 5

INDEX

NATIONAL PAPERBOARD

Orders received

4.92
4.61

;

4.20

4.50

••".

4.43

4.37

'May
May
May
May

Total

99.04

3.90

4.52' V

4.32

4.41

„

•»'.'•

2^0

.105

$19,820,423

_I_I~_III'
2^1111•

—

Construction
4.07

May 5

BaallIIHIIIIIIIIIII-I--I-II-1-1--IHI-.—-irmi

Central

.25

$81,039,758
151,199,036
44,528,905
96,522,747
111,701,397
49,578,040
30,276,024

Central

SiJ01';;
^
New
York

97.94

C(i
36

■

i...

146,148,637

?*.'■

77
'

*-^4' ■*■■■■■■•■

Central

Atlantic

Atlantid-——

*•""

•
■

75
•

•

222

,
*

•..265

England

Outside

91.77

91.48

>•

;

95.84

96.23

89.51

90.00

v->i

JJUN

89
.'.

30 O: '•

'* I»• CITIES—Month
r<'+
■"

•

Pacific

MOODY'S

VALUATION

M oun t a in,.—-1 -l;
'■

AVERAGES:

DAILY

Average corporate——
Aa

PERMIT

>,.'Til

•I, 29.::.'

295

enterprisesl__2—

March:

West

350

v-'
■

developnientii:i_:—I-'H-"4
other.public—';;?:,•«? ; • • -J',.

April 29
April 29
April 29

—

J«•

££

'197.K

•4.1§5

•
—"*-rrr——.

■'-r.

- •

T1?
,-•

•'•••

sierviCo

12
"932

-92

^ 34.
v"
■■

Conservation and
All

$31,5.0

hb:}

316

■'

•

_____l

? •'

■'

—

,80

975

service?—

;

S3
366

.systems^—'

BRADSTREET, INC.

at
at—

Zinc (East St. Louis)

water

Sewer;?i:_ ' "
7.r \
'
~—

BUILDING

(delivered)

tZinc

and

Public
-•

90.06

(New

and

QUOTATIONS):

Administrative

Military facilities'
Highways *' Ji—^

i?:;

.;...*•; 11,251,000

,.s-m

-II4
^nslituhohaji^^U-»-l-; •"

and

419
k.7;'•■'*?3

296
-

,-■»

J4
^ 113

.20

•:

64.,

1,094

Other nonresidential buildjngs_r_-2_—

Wfl ter

(per gross ton)
(E.

':■

•

April 20
April 28

—

refinery at—

Export
Lead

■'-j

-;;;•;*•'V*

PRICES:

Electrolytic copper—
Domestic refinery at__

275

May 30

—

(per lb.)

PRICES

141

(per gross ton)

Pig iron

12,540,000

May 30

INDUSTRIAL)

(COMMERCIAL AND

Finished steel

132

■*&:<

BRADSTREET, INC.
IRON

Hpspital
'

101

325

^2ri_

-I'-

Educatiohbl?

INSTITUTE:

ELECTRIC

-'vv

380"

•

construction

Industrial

355,0OO

DEPARTMENT STORE SALES INDEX—FEDERAL RESERVE
142

i v1

t'.„

buildings —,
Nonresidential buildings"-—-4,1
I
.

358,000

192

70-^.:^

416

Telephone and. telegraph—t
Other public utilities

(U. S. BUREAU OF MINES):

SYSTEM—1047-49

;ai

;'! ':i

228,850,000

April 30

121,600.000
216,700,000

'*'

■

34'^'7 >' ?' ^ "26

$485,610,000

204,400,000

-.'292

;iu

,r. 209

i±i V,

•

..:'4

■

y-£'A\iis

57,600,000

—April 30

——

Bituminous coal and lignite (tons)—Pennsylvania anthracite (tons)

089

'"235

•

•>^'>262

ih-vk.;.

-1* ••••-•.

Residential

EDISON

494,367

•

2SS

636

•• -

Mil '*%■*! -187
265

890

«'* (■

'O/fice buildings and waVeh6t^«Ss2jr^L\
j.**,,.
ur.-Sr«... e..—
Stores, restaurants, and gara"gecl2lLi*/-i-^^>
V
Other nonresidential
puilqinge^^LX-' I *.
J 202 4
-

1,177

246-

.'•/

Federal

COAL OUTPUT

*<■:

RelieimiK

2,410

1.07C

»"

U. 8. construction

—

628

$3,342

'•■1,369

:.-2,215

Public utilities

Public construction.

$3,4 j.C
'fi,50i

1,530 *'

Commercialj

-i

t-'.,

Ago .1.

533,851

574,828

2,mi

b-' 261'

74,743,000

047,282

$3,792

buildings.(nonfann)^_"_^—

\>v."Industrial

212,954,000 ,Vc 207,147,000

Year

——

Nonresidential buildings

,,.■>>

•:

——lii—:Ml

Nonhousekeeping.t

18,287,000

'J*

(in'millions):
1—

Month

dwelling units—'
Additions and ■ alterations^^—4.—
1- ' ~

DEFT.

ENGINEERING

—

Private construction
State and

March

New

...

NEWS-RECORD:
Total

construction

new

Residential

freight Ioaded~(number of cars)—
April 25
Revenue freight received from connections (no. of cars)—April 25
ENGINEERING

1,334,000

Revenue

CIVIL

CONSTRUCTION-—V.

Private construction

of that date r

are as

Month

49.4

INSTITUTE:

PETROLEUM

of quotations,

cases

Ago
LABOR—Month

(net tons)-,

ingots and castings

or,

either for th*

are

Latest

Equivalent to—
Steel

AMERICAN

production and other figures for th*

cover

Dates shown in first column

Year

Ago
;
93.3

May 10

operations (per cent capacity)

Indicated Steel

month available.

Thursday, M*y 7, 195#

109,100

111,900

409.300

286,900

•>

309,200

80,032

73,900
*a

363,557

138,300

140 100

95.820

160.800

148,000

76.575

•

The Commercial and Financial Chronicle

Number 5844

189

Volume

t,-

Continued

and*

.-■•

from page~2?
•

(2131)

foresight-rinvest large suoas
in a situation they be¬
to have unusual merit aiiid

Sincere Adds to Staff
(Special to The Financial Chronicle)

:plape their legal talents behind it,
$[ jbeliey&'th^
of stock
at $8 per share is paying very

CHICAGO,
Driscoll

staff

;4itti^>-%r,'stod, opportunity to join
this

felectroni.es

American

the

.to

- group, Jhoping
tremendous reward.

fully

reliability

With Union Security

money

lieve

•Z-.J'- ■

jiaheld.

Bostoii
^thfe.A lrt"another suit filed in I

Sincere

South La

231

(Special to The Financial Chronicle)

Thomas; C.
idded to the

—

and

Company,

Salle

Street, mem¬
bers of the New York and Mid¬

reap

...

III..
been

has

west

•

DIVIDEND NOTICES

Inc.

Electralab,

the

over

DOME

April 27,

.the companies-,were forced to use; out; thevcountry

the hew

in; -the? manufac-<- sitate

process

and thus neces-

all7- tot pay

royalties

rture of their product in order to Teehnograph. A favorable decision
com pete. JAs
an
example,;.today would result perhaps in a greater
every contract for an
electronic victory thap the famous Hazeltine
device used by the.U. S. Govern-/patent Suit/"' ;
merit; Armed Services, specifies- ^The^ destiny of
Teehnograph
the use of printed^ circuitry;
In-y Company's future rests in strong
evitablyj the non-licensed
will bands. T$e President of the cornface Patent Suits.
pany, Mr.-Hubert L. Shortt, memTo
be
sure,
sueh outstanding berj of the
IRE
an^
AIEE,
.

Nibroc

Towels

•not

take

•

out

■

for

license

unless

do
a

quite
certain of the necessity for doing
.so.
Teehnograph has licensed the
following corporations under its
patents:
•
;
,
-V
Patent

they

are'

International Business Machines,

Radio

Corporation of America.
National Cash Register Co.

seventy-five cents (75c) per share
on the common shares of the

'"**

Eastman Kodak Co.

6,1959.
R.G. HENGST, Secretary V

Company Jias been declared pay¬
able June 1, 1959, to stockholders;

tUfar-v

one

of record at the close of business

May 8/1959.''

■';'J

Canada and Brazil.

;•

tion of the

June 12, 1959 to the holders of record
the close of business on June 5, 1959
American shares issued under the terms

•

April 30, 1959]

Pfncisibn^JEquipment*lruit
-i-*,**;. *•-*>...
.
4stockholders

*?*■*■ y

1946. The dividend will amount to ap¬
proximately $2.52 per share, subject, how¬
to any change which may occur in
the rate of exchange for South Africa
funds prior to June 2, 1959. Union of
South Africa non-resident shareholders tax
at the rate of 6.45% will be deducted.

RINTK0TE
1Manufacturer of the

ever,

quarterly dividends
have been declared as

Amerace Corp.

JJ Liberty Manufacturing Corp.
.J National'Vulcanized Fibre Co.
i

x..:'

the

t.nies -ihave:>theii-

There

are,

June

of business
m

^thousands of companies who sim-

ply.infringe the patents.;^
y

While

printed

basic

the

circuits

patent

known

•

use.
*

•

have

adaptations

Vice President

well

far reaching effect

on:in-

When

men

EAJ

ALUMINIUM LIMITED

DIVIDEND NOTICE

NOTICE

]
.

was

declared

the

shareholders of record at the

•

ord at the close of business

June 10, 1959. J he transfer
books will not close. Checks
will be mailed.

■

C.
iMay. 4,

1979-

Treasurer

The
pro

the

said

dividend

stock

vt
allotted

rata to the holders of Common Shares

record

day

issued

stock (."$10 par value),

Directors on April 29,

b. c. Reynolds,

Secretary

shall

20th

clo6e

the

May,
carry

day
F.

business

1950.

DUNSMORB,

A.,

Secretary-Treasurer.

15,1959,

1959.

Secretary

IBM

CONSECUTIVE

Montreal

+••••••••••••••••*

April 30, 1959

DIVIDEND

QUARTERLY

••••••••••••••••••••••a
•

•

Notice!

j /AMERICAN i
Cement
CORPORATION

this

dividend of 25 cents
011

of business

the Common Stock, pay¬

per-share

dividend

May 11, 1959.

April 30,1959.

record

June

May 27, 1959.
C. V. BOULTON,
-

regular quarterly
37Vi

cents

$25 par value Cumula¬
tive Preferred Stock, payable

August 1, 1959, to share¬
holders of record July 10,
1959
LyDy'

J. H. ASMANN
Vice President

May 6, 1959

Treasurer

12,

the

Executive Vice President
and Secretary

July 1, 1959, to share¬
a

holders of record at the close

$.50 per

payable June 10,

ness

day declared a quarterly
dividend of 25 cents per share

1959, and

cash dividend of

this

holders

•

1959, to stockholders of

;

quarterly

June 10, 1959 to share-

Corporation has

record at the close of busi¬

able

the Common Stock for pay¬

ment

Machines

Business

The Board of Directors has

meeting held

day, declared

International

share,

DIVIDEND

inc.;

100 CHURCH SHEET, NEW Y0RK7, H.Y.

The Board of Directors

today declared a quarterly

6 Treasurer

•••••••••••••••••••••

the

1959, and the shares so
a
date not later than

May,

R..

177TH

H. W. Balgooyen,

John Kuhn,

the Company.

share on the

'JAMES A. DULLEA

Company, at

payable July
stockholders of rec-

May 11, 1959.

business

J.%' 'i\

par value of

twenty-five (25<f) cents each on every one
outstanding Common Shares

close of

on the Common Stock
of C. I. T. Financial Coh-

clared

the Company of the

Stock of

declared by the Board of

was

payable June 5, 1959,

of this company,

per

holders of record April

value shares

no par

Board

the

two (2> fully paid and non¬
Common Shares of the Capital

payable June 1, 1959, to stock,

share in U. S. currency

The Board of Directors of the

1959, to

cents

NOTICE

pohation,
,

common

quarterly divi¬

April 30, 1959, a

power

$0.65 per

assessable

•

8th

dend of 12 Vit per

that

given

has declared a stock dividend

Directors

at the rate of

quarterly dividend

regular

hereby

Notice

ability

quarterly dividend at the

SUPERCRETE LTD.

hundred (100)

share, in cash has been de-

•

PACIFIC

american &

increased rate of

CORPORATION

m m

DIVIDEND

company
A

York 20, N. Y.

dividend

FINANCE CORPORATION

DIVIDEND
*'

May

NOTICE OF DIVIDEND

foreign

FINANCIAL

30 Rockefeller Plaza, New

DIVIDEND NOTICE

1 4 9 T HY

consecutive

••••••••

Dividend
proven

record

1959.

11,

;

stock or stock

dividend is
10, 1959,

ST. BONIFACE, MAN.

Capitalization is simple. There
--outstanding
only -5 458,785
shares of common stock — no

uses

June

*1 O'lrd

mmmmmmmtmmrnm, mm —m

the

new

This

1959.

the close of business on

May 6,1959.

cents

stockholders

WILLIAM FEICK, JR.

and Secretary

May 1, 1959

the capital stock of
per share on April

payable

1959.

May 28,1959.

pre

The outcome of this suit will- Eisler Patent.
a

file covering impfovements -" bonds,; preferred

patent,

applications'

patent

30,

payable June

are

original - options. With this small number
for*- *of shares, collection of damage
printed circuits.
In every case, claims and back royalty payments
including
the
original
Eisler could be sizable. Therein lies the
Patent, the patents still have a tremendous leverage factor in this
substantial life before expiration, common stock.
At present, the Baldwin-LimaThe little knowledge by the
Hamilton Corp. has started suit in public of this company and its
the
Federal
District
Court
in* potential makes the stock, I bePhiladelphia against
the
Budd lieve, the best low-priced speculaManufacturing Co. for infringe-" tion available today. This purment of the Strain Gauge patent. - chase would not be made for a
This patent, owned
by Techno- simple market profit, but in the
graph,
is licensed to Baldwin- hope of a tremendous bonanza
Lima-Hamilton for its exclusive <mon a successful upholding of the

dividends

15, 1959 to stockholders of record
at the close of business May 20,

V,;.,,rC.' Allan Fee,

Patent, the company has
been issued over 20 patents and in

.-addition,; 11

represented by common stock
i__the same .stock that is available

Cash Dividend

Vice-President and Treasurer
■

id.' everyone, in t the Over-the-for?-Counter^ market at about $8 per
the;• sharedv".
C1;

Eisler

rare 011

stock¬

15, 1959, to

holders of record at

the management Thisofcourse

however,

The Board of Directors

$1.121/2 cents per share

payable

?eiS,J y a ^ic1ensee':<)^:;'stahtial interests of'these people

Corporation

These

printed

•

(incorporated in new jersey)

Stock

$4.50 Series A Convertible Second
Preferred Stock

common

has been declared

would include the very substantial
amount owned by
the British
^bypany,
, - .
- '
"J '
circuits-,;;'V]y[ost'ilTiportantly,' the very sub-

the

stock of this

In addition, many of; the largest
•electronic manufacturing cbmpa-

$4 Cumulative Preferred
$1 per share

has declared

Co-

stock

STANDARD OIL COMPANY

45 cents per

No. 158

62Vi 4 per

A dividend of

of the International

belief that at least 75%
is in the hands of

It is my

J Texas Instruments, Inc.

Esso

follows:

Common Stock*
Common Dividend

■

Gtorp.t"J?h-irS Railways of Central America and
Co. '
Y0I\Sn a^ard of S
e W00»0°?j; f Baldwin-Lima-Hamilton ^ CorpJ
large owner of stock is
Grace of the Grace
MGavitt Wire & Cable >Div^of:; family.
Mr- ollver

York, April 29, 1959.

New York 20, N.

Equipment

Dubilier Electric

SCIIECK, Secretary.

F. A.

New York, New

company

the flintkote

Uxbridge

Board of Directors,

By Order of the

Broadest Line
in America

of Building Products

of
of
I)e[K)sit Agreement dated June 24,

the

'7r. Burroughs

riv Cornell

authorized the distribu¬
said final year-end dividend on

Directors

The

Zfpv:: s-,w. skowbo
J, Senior Vice President and Treasurer

shil¬
of

year-end dividend of eighteen

lings per share on the Ordinary Shares
the Company payable June 2, 1959.

six statet,

cifits, located in

today declared a

Board of Directors

The
final

the mentors

Treasurer.

Dividend No. 50

Manufacturing plantt In f•

Rubber, Wardell

Precision

michel.

Limited

shareholders of record at the

close of business May

share on;the Common Stock of this

Corp. Mr; Berner is the attorney
who
recently successfully
sued

Curtiss-Wright Corp.
Photocircuits Corp.
.^General

and

Gerierbl

out

Amerace

Bachmann

and

Corp.

Worsted
of

The Formica Company.

Hard

American

and

O'okicp Copper Company

25,1959,

Company, payable May

introduced printed circuits in the
U. S. and continues to guide the
operations of the company. Among
the,1 controlling stockholders are
Mr. T. Roland Berner, the man
who rejuvenated the old CurtissWright Corp., effected the con-

solidation

Chairman

the following,

Cents

'corporations:

One-Hall

and

clifford

and Wipers, Bermico Pipe,
Engineered Pulps and Papers, Veneer, Ply-wood, lumber, Onco Innersoles for Shoes,
'V ■'
fd*' !• Chemicals
.;l' J*:
'•< i.
A quarterly dividend of 15^ per

Berlin, N. II.

Seventeen

April 24,1959, the Board of
Directors declared a dividend of

(17^c). per share (in Canadian Funds)
was
declared payable on July 30,
1959, to share¬
holders of record at the close of business on
June 30. 1959.

: DIVERSIFIED FOREST FRO DUCTS

dividend

10#OHIO

DIVIDEND No. 155

'iany>

■

these
•quick to ;^ee the change ■ to be^ftg wliriay the foundation for
wrought and accept the inevitable/the final sustaining of the validity
of

1959.

187

meeting of the Board of Directors of
Dome Mines Limited, held this day, a quarterly

COMMNY

CLEVELAND

eral *- accepts nee

MANUIACYORINS

EAT UN

^-others resist and refuse to pay Gf the patents by : the' United
;aj license ^royalty ' charged How- ^states - ' Supreme
Court,. and a
,ever,, in the case of the Printed favorable decision can
result in
Circuit, the. changeJ became so thev collection of damagesfrom
.widesprfead that the majority of:thousands; of infringers through-

He was

MINES LIMITED
DIVIDEND NO.

PATAU

t ca!itie slo w.iyi r A- Mass.
far-sighted ahdnagements arc. -^gdcc^ssfuh^conclusion

29 South La Salle Street.

formerly with The Illinois Midcontinent Investment Company.

manu-

-v->

few

CHICAGO, 111.—Paul B. Wright
now with Union Security
Col,

DIVIDEND NOTICES

probedyear,! 'Teehnograph is suing
circuits. In 1957 Teehnograph ob-

Stock Exchanges.

590 Madison Avenue
New York 22,

N. Y. J...

April 28, 1959

IBM
INTERNATIONAL BUSINESS MACHINES CORP.

The

(2132)

Commercial 4and Financial Chronicle

ingtpjn 4, D; C. (paper).
New

Jersey- and

Atom

•

Thursday, May 7, 1955

Banks,;Munsey Building, Wash*

BUSINESS BUZZ
on

WEEKLY STOCK INDEX

fr«B the Nation'* Capita)

complete
stock transaction at a glance in*
cltrding company, date of pur¬

D. C — he could have meant Nelson
handful of peo- (Rockefeller),
pie out of Washington realize
Whatever he meant was a
it. but the most sought after facetious bit of byplay.
A
Republican political figure to- member of his staff not long
day, other
than President ago said his boss could stand
Eisenhower
and
Vice-Presi¬ up and read from the tele¬
dent Nixon, is a fast rising phone directory and make it
WASHINGTON,

Democrats
to-one

sale, serial no., capi¬
involved,
dividends, etc.,
$3.00 per copy. Malcon Sales,
Dept. No. C-3, Box 8, Vanderveer Station, Brooklyn 10, N. Y.
Profile

ceiving

many

Railroad Transportation and Pub¬

lic

most

late

the

Senator Robert A. Taft.

section of the nation?

Because of his

political courstand up and be

age
to
Counted.

This

the

one

why the people oi

reasons

and

Arizona.

the

Barry M. Goldwater, Republican, of Phoenix, Ariz.,
born Jan. 1, 1909, m Phoenix,

Anz., son of B a r on a l\d

can't remember the

jingle

Josephine Williams God-

goes

'da-da-da

name

——

but their
dum-dum-dum

Stock

Wage Determination: An Analysis
of

beth R. Brown—Public Revenue

Gold-

™am?d Margaret Johnson of

Washington.
The powerful labor bosses,
who hate him, poured thou-

Muncie- Ind., in 1934; four
ohildren, Joanne Boss, Mar-

35 cents.

Senator

water to

sands and thousands of dollars

into

Arizona

effort

However, Ari- ujoruber of Episcopal Churc ,
zona was one bright Congres- elected
to city council of
Sional spot for the Hepubli- gW5 1949, reelected 1951;
cans in the crushing debacle Mason,
&
Elk, Eastern Star,
Alianza, VFW. American
suffered by the party
Legion, and Sigma Chi;
v.

Goldwater

Senator

ceiving

invitations

day from

re¬

of 10

average

over

(he nation to make addresses.

Obviously, it is possible for
him to accept only a small
percentage, and carry on his

elected to United States Sen¬
ate

Nov." 4,

Nov. 4,

1952;" reelected

ends

now.

He is Chairman of the Sena¬
torial

and

Campaign

that

what he
elect

Hotel.

Committee,

post he is doing

can

effort to

People from all parts of
country were there. [Ed.

the

Note: Full text of the address
will

appear

our

issue of

May 14.]

few

in 1960,
can

Park

House.

more
Republicans
The occasion was the analong with a Republi- "jial George Washington Day
occupy the White dinner of the American Good
Government Society. Senator.

He received little

help from John L. McClellan, Democrat
the Administration in the bat- of Arkansas, and A dm ir a 1
tie for his

political life against

Lewis L. Strauss, Secretary

Governor McFarland of Ari- °* Commerce, were recipients
zona,

Senator,

former
last

McFarland

had

of the Society's annual awards
for their contributions to good
all-out government. Senator McClelIan has spent the past three

Democratic

fall.

Governor

the

support of labor.
♦The Arizona Republican years
evoked

than

in exposing corruption

and tyranny in labor unions,
interest recently in
Washing- Secretary'Strauss, a Virginian
ton when he told the
Repub- and former Chairman of the
lican

Women's

passing

Atomic Energy Commission
<that the name of the next bas served under and has had
President of the United States *he confidence of four Presiwill start with "N" and end dents, Herbert Hoover, Frankwith "N/' He refrained from iin D. Roosevelt,
Harry S.
identifying the man, nor did Truman and Dwight D.
he say whether the candi- Eisenhower.
date

would

first

Conference

name or

begin

last

Nostrand

Com¬

Inc.,

Princeton,
(cloth), $6.75.

France

—

and

Economic

States

Council

Weather Data for Humidity Con¬
trol Air Conditioning — Edison

Electric

Avenue,

Institute,
750
New York 17,

S1.50.

Third

N, Y.t

•

Avenue, Wings Work Wonders for Small
:
City America — Pamphlet on
New York 17, N. Y. (paper).
growth of local service airline
Finland—Bank of Finland Monthly
systems—Air Transport Associ¬
Bulletinr on
Recent
Board of Trade
of the City of
Develop¬
ation
of America,
1000 Con¬
ments, including Finland's For¬
Chicago—Statistics
1958—101st
necticut Avenue, N. W., Wash¬
eign Trade in 1958 — Bank of
annual report—Board of Trade,
ington 6, D. C. (paper).
Finland, Helsinki.
Chicago, 111. (cloth).

Commerce,

Certified Unitary Air Conditioners

—Directory — Air Conditioning
and Refrigeration Institute, 1346
Connecticut
Avenue,
N.
W.,
Washington 6, D. C. (paper).
Chicago

Central

Market

Area

Housing

Analysis—A Report by

the Chicago Central Area Com¬
mittee

103

Park

Glance at the Russian Economy, A

—Its Record and Its Potential-

National

Association

Manu¬

Opens New Branch

HEMPSTEAD, N. Y. — North
Street,
American
Planning Corporation
New York 17, N. Y., (paper), $1.
has opened a branch office at 320
Glass Containers
1958
Glass Fulton Avenue, under the man¬
Container Manufacturers Insti¬
agement of George Stone.
tute Inc., 99 Park Avenue, New
York 16, N. Y. (paper).
facturers,

East

48th

—

Chicago Central Area
Committee, 111 West Washing-1
Bruns, Nordeman Branch
How to Become an
Engineers'
Street,
Chicago
2,
111.
ELIZABETH, N. J. — Bruns,
Company: A guide to pinpoint¬
(paper).
ing the industrial market — Nordeman & Co., has opened a
Directory of Foreign Advertising
branch office at 281 North Broad
Harry
Baum
Associates,
424
Agencies
and
Marketing
Re¬
Madison Avenue, New York 17, Street under the management of
search
Organizations — B ureau
Alton B. Plunkett.
N. Y.
Sidney Lans,
of Foreign Commerce, U. S. De¬
Paul, Marenus and Dr. Emandel
partment of Commerce—Super- Industrial Directory of New York Stanton are associated with the
State, 1958 — New York State new office as
intendent of Documents, U. S.
registered represen¬
Department of Commerce, 112 tatives.
Government
Printing
Office,
:
State Street, Albany 7, N. Y.,
Washington 25, D. C., 45 cents.
$15.00.
Economic
—

end with
a

ixon,

4.1

and others said

Significance of Auto¬
matic Wage Adjustments — Jo¬

seph W. Garbarino—Institute of
Industrial Relations* 201 Cali¬
fornia
Hall,
University of
California, Berkeley 4, Calif,
(paper), 20£.
Effective Answer
and

Communism

Why You Don't Get It in

College

—

Harry G. and Eliza¬

Investment
ties and

India—Opportuni¬

incentives — Consulate

General

of India, 3 East 64th
Street, New York 21, N. Y.
(paper).
National
sors

Association

Supervi¬

Butler, Wick Branch
ALLIANCE, Ohio—Butler, Wick
& Company has opened a branch
office

the

First National

[This column is intended to

Building, under the man¬
agement of Edward L. Knight,

of State Banks—1959 Mem¬

bership

Director—National As¬

sociation of Supervisors of State

TRADING MARKETS
American Cement

Botany Mills

Heywood-Wakefield
Indian Head Mills
W. L. Maxson

Morgan Engineering
National Co.
Southeastern Pub. Serv.
United States

Pre*ation from the nation's Capita^

coincide with
the "Chronicle's" own rieti?s.j
may not

Envelop^

LEANER i CO.
Securities

re-

fleet the "behind the scene" inter
and may or

City

Bank

Investment

name

"N." Some said he could have
me

Van

of the International Chamber of

Inspiring Talk

Sheraton

Finance

Affairs—United

ago

for ton's

Situation

—

pany,

Report submitted to the Minis¬
ter

Wage Criteria—Jules Back-

man

ton

months
*

bo th

Financial

1958.

Incidentally, a few nights
Senator* Goldwater made
Senatorial duties. Neverthe- an inspiring talk before 700
less, lie has been burning the men and women at Washingcandle

Council, 705 Olive
Street, St. Louis 1, Mo., (paper),

ff rS \ Q,ar+r^ Aa.nd
^ni.,ed
f ^ir ^°ttq f™1
until 1945; Colonel USAFR;

trample; him.

Exchange, 11 Wall Street.
5, N. Y.

New York

Education

return

Shareowhersbip

Your

Story to Employees, Stockhold¬
and the General Public—an
information guide — New York

of the company

dee-dee-dee
—bong!'"

—

made an all-out Military Academy and one
grassroots fight last Novem- year at University of Arizona;
to

the Financial Situation

of France—United States Coun¬

ers

particular,
ber

(cloth),.$7.50.;
on

Telling

water;-educated Staunton,

women

Nelson-—

cil, of the International Chamber
of
Commerce, - Inc., 103 Park
Avenue, New York 17, N. Y.
(paper), $1.00.

£q&M

Report

own

Why is he sought after from
every

Brookings Institution, 722
Jackson Place, Washington 6,

biographical data for the
book) is brief. Here is the full

since

Senate

Policy—James

The

members of Congress,. Senator Goldwater's biography in
the Congressional Directory
(each member submits his

the

Study of

invitations

Goldwater from to make speeches.
Ariz., is the most re- - As
compared with

freshing political figure on
Capitol Hill. He is the greatest thing that has happened
to the cause of Republicanism
in

Insurance

Coverage, Public Attitudes and
Knowledge — Health Insurance
Institute, 488 Madison Avenue,
New York 22, N. Y.,
(paper),
(on request).

Barry M.
Phoenix.

Health

A National

—

the Pattern of Health Insurance

where sound interesting. That is one
registered two- of several reasons he is re-

Republicans.

the

Public

state

are

over

chase and

tal

from

Sen*.

—

Stockholder—Giving

SIS33<Mi«l«iilS3K2

Perhaps only

(

Stock Record for Every

Personal

u
*,

Industrial

—

ecutives

the

Proceedings uf a one*
day symposium for business ex¬
New Jersey StatQ
Chamber of Commerce, 54 Park
Place, Newark. 2, N. J. (paper).

EeHnd-ths-Scene Interpretations

•

10 Post Office

Square, Boston 9, Mass.

Telephone
HUbbard 2-1990

Teletype
BS 69

Full text of Commercial and Financial Chronicle : May 7, 1959, Vol. 189, No. 5844

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