Full text of Commercial and Financial Chronicle : October 1, 1959, Vol. 190, No. 5886

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OVER-THE-COUNTER MARKET FEATURED IN THIS ISSUE

0ct:21959

Reg, 11. a Pat. Office

Volume 190

Number 5886

New York

7, N.Y,r Thursday, October 1, 1959

Price

50

Cents

a

Copy'

Editorial

Over-the-Counter
AS WE SEE IT
The steel strike has
of records.

If what

And Broadest-

already broken- a number

being described as
-"fundamental issues" must be settled by an ulti¬
mate trial of
strength, a good many more records
well

could

be

are

now

before

broken

the

mills

are

By DR. IRA U. COBLEIGH

as a vast trading
catalog of inactive or little knoWh securities, but as a huge
financial bazaar offering the broadest and most diverse

in

Viewing the Over-the-Counter Market not

operation again. Organized labor in this country
enjoying a monopoly for which it must thank the
politicians, particularly New Deal politicians, has
for years with monotonous
regularity forced em¬
ployers to grant higher and m^iaer rates of pay
; (including, of course, the so-called fringe benefits);
and to accept more and more restrictions upon
management. Thoughtful leaders in industry have
some

time realized that in

some manner

market

Enterprise Economist

'

_

;

for

turnpikes such as those in Pennsylvania or Mas¬
sachusetts, New York, Connecticut, Ohio, Illinois,;
etc? Why every time you speed your
inter-city
way at a legal 60 miles an hour, and stop at a
toll booth, you are paying indirect tribute to the

inventory of securities in the world, including

,

'

common stocks

whose dividends have been continuous for from 5 to 1T5 years.

The latest count shows that there

.

are

million hold
fact

this

in Amer¬

Over-the-Counter

if

disappearing. We

Market

stocks,

This is

a

the conclusion that the time for action is here and

The

it the bur¬

upon

union

leaders,

on

all

have

We

initiating that action.
labor

the .other hand,

been

ketable securities;
these

industry as steel prove able to put an end to
this inflationary labor movement now, it would

are

banks of

about

concerned

their

It consists mainly of mar¬

and well

over

90%

—

entire

of all of

rate.
;•

on

page

Market in

Without this market how would
to build

we

case

of stocks of the

Such

capital stocks life issues as Travelers, Aetna,
General, Lincoln, Franklin, Jeffer¬
son-Standard, Life Co. of Virginia trade regularly
over-the-counter and, incidentally, they have all
made market killings for shareholders who be¬
came
such 10 or 15 years ago. Life insurance
Connecticut

mu¬

nicipal bonds, how would we build our city im¬
provements — subways, water and sewage sys¬
tems, roads, schools, parks, slum clearances?

47

is true in the

same

casualty. Only within the last decade has there
developed a broad investor following in life in¬
surance
company
shares. Now, however, the
shares of the major companies are well known.

money,

Over-the-Counter

of them in the nation. They are, in

or

the interest
the trend of Government bond prices

the

Why1

We have

communities

The

that

Without

commercial banks!

great majority of insurance companies—life, fire

spotlights the need for an interest ceiling on
long-term Government bonds higher than 4V4%.

survival of the "labor movement."
Continued

It is

the main

are

society" ?

over-the-counter, and nowhere else.

traded in the Over-the-Counter Market.

economy—the price of

—

"affluent

and capital stocks of leading
long been respected as most elite in¬
vestments. Yet to buy or sell shares in any one
of these 14,000 operating banks you' must get
your quotation, place and execute your order

$290

our

course

our

rr

banks have

transcending importance since trading there de¬
termines one of the most important prices in our

notably perhaps by the
placed in the
insolvency list by just such labor tactics begun
long before they became general. Also feared, of
course, is that the unbroken march of the wage
earner toward a greater and greater share of cur¬
rent output, along with less and less effort on the
part of the workman, might well be brought to
an end.
Union leaders are pleased to term their
resistance to any changes in the status quo a
a

Stocks

the cuff has

instances, the major financial institutions of

most

This market place in government securities is of

,

railroads which have been all but

struggle for

thing possible—
>

:

an

about 14,000

an

by others

y

age of credit. Life on
been so beautiful. And what

never

are

billion national debt.

believe and not without reason, that should such

be followed

whole
;

fountains of credit in

against such securities are fast
glad to note this widening
investor acceptance, especially since we have^or
some years featured a series of editorials stress¬
ing not only the importance but the indispensability of this great trading arena.

prices were not to keep moving up proportion¬
ately — and ultimately cause a collapse of the
bubble. The steel industry apparently has reached

placed

the

%

% The Market for Bank and Insurance

which proves that earlier prejudices of in¬

continuous increase in costs had to be terminated

den of

made

ica 12V2 million stockholders. Of these about five

dividual investors

that circumstances have

that

over-the-counter.

sell the bonds

great bridges such as the Mackinac, great

Continued

-

REGISTRATION—Underwriters, dealers and investors in corporate
complete picture of issues now registered with the SEC and potenundertakings in our "Securities in Registration" Section/starting On page 52.

on page

20

SECURITIES NOW IN
securities
tial

•

afforded

are

a

State, Municipal

U. S. Government,

and

Public
State and

UNDERWRITERS

Municipal

STATE

and

Securities

MUNICIPAL

and

of

CHEMICAL BANK

Associate

NT

BOND

SECURITIES

30 Broad Street

New York 15

THE FIRST HATI0NAL CITY BANK

Burnham and

Pacific Coast Exchange

MEMBERS NEW

15 BROAD

•

014-1400

Inquiries Invited

Teletype: NY 1-708

Dept.

--7

To

Markets

Active

Dealers,

New

York

on

Southern

Securities

.

Correspondent—Pershing

1332

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Members

Block

Commission

Inquiries
Orders

Stock

Exchange

CANADIAN

STREET

NEW YORK 4, N.

■-

DIRECT

WIRES TO

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Invited

Executed On

All

DEPARTMENT

MONTREAL AND TORONTO

MUNICIPAL

JloNraoif Securities
,

BRIDGEPORT

DALLAS




•

PERTH AMBOY

2

'

NEW YORK

*

' T

NEW YORK STOCK EXCHANGE

BROADWAY

1

40
NORTH

LA

SALLE ST.

CHICAGO

BOND

DEPARTMENT

Grporaxioti
.

MEMBERS

IMPROVEMENT

BONDS & STOCKS

Goodbody & Co.

Y.

gottthuHXt COMPANY

BONDS

FOR CALIFORNIA'S

Teletype NY 1-2270
BROAD

MUNICIPAL

Brokers

Exchanges

Canadian

■

BANK

Co.

Maintained

and

securities

New York Stock Exchange

•

&

canadian

T.LAVatson&Co.

25

THE

Chase Manhattan

Santa Ana, Santa Monica

California

Bond

DEPARTMENT

TELETYPE NY i-22M

CO.URNHAM

American

San 'Diego,

STOCK EXCHANGES

VORK ANO AMERICAN

STREET, NEW YORK 5, N.Y.

ESTABLISHED

FIRST

BOND

del Mar,

Pasadena, Pomona, Redlands, Riverside,

OF NEW YORK

Company

Distributor

Dealer

Exchange

Offices in Claremont, Corona

Net

•

Bonds and Notes

Stock

Encino, Glendale, Hollywood, Long Beach,

CABLE:

Underwriter

York

Member American Stock Exchange

Members

COMPANY
DEPARTMENT

New

Agency

17,

Hope Street, Los Angeles
California

NEW YORK
TRUST

So.

623

Members

BONDS

-

I NVESTM E

Public Housing

Lester, Ryons & Co

DISTRIBUTORS

HAnover 2-3700

TELEPHONE:

..

Housing,

Exchange Place, New York 5, N. Y,

Teletype NY 1-702-3

WHitehall 4-8161

Bank

of

America

N. T. & S. A.

San Francisco

Los Angeles

*

2 7

t

1

V

:c.'>

.

The Commercial and Financial Chronicle

(1350)
~

'

t*

For

-

'Hi

The Security I

Bank$i Brokers, Dealers only

A continuous forum in which, each

Call "HANSEATIC"

Like Best A;

This Week's

Forum

?

(This is under

Over-the-Counter

in

solicitation of

a

as

•

Large Trading Department
geared for service

offer to buy,

an

System.'• •••

Manager, New Business Dept.
York City

-7.

■

Corporation

coflee

/

when

serve you,

you

Call "HANSEATIC"

New Yorit Hanseatic

a

Associate

American

been

/■

CHICAGO

•

PHILADELPHIA

SAN FRANCISCO

•

Wires

to

Private

Principal Cities

any-

h

earnings, some
with no yield,
others
yield¬
ing 1% to 2%.

knows* how

..

of

dependability

The.

of the

qualities

resistant

15 times earnings)

investors

full" of

Stock

3-7830

capital gain potentialities.
single

a

has

grown,
not
but from a

acorn,

store that sold nut meats
Today, there are 28 res¬

single

Teletype No. NY 1-2762

the

Exchange offer

The^company
from

on

security that is "chock

a

1922.

in

in the New York metro¬

taurants

politan area which specialize in
serving quality food in clean sur¬
roundings at low prices. No one
Trading Interest In

who

has

in

eaten

ever

Chock

a

Full O'Nuts restaurant could have

American Furniture

failed

methods;

have created

Commonwealth Natural Gas

Wire

lunch hour period
at

are

heavy

have

and

substantial

not

advertising.

advertising

an

traffic
required
Lately,
program

TWX LY 77

New

to

locations

however,

LYNCHBURG, VA.
—5-2527—

of

never

"SRO" situation in

a

stores at

most

Restaurants

STRADER and COMPANY, Inc.

Private

"Hands

The immaculate

the food."

touch

preparation and-service and the
excellent, low cost standard menu

Life Insurance Co. of Va.

LD 39

the precision

observe

to

serving

Bassett Furniture Industries

has been instituted to promote

York

outgoing

City

fact

food

that

the

department. The
135,000 customers

some

served daily in a metropolitan

are

area* of
over
ten
million people
suggests that Chock Full O'Nuts'

HOW TO EXPAND WITH

New York

CANADIAN INDUSTRY-

be

Have

considering

been

you

in

vestment

of Canada?

omy

Canada

have.

in¬

the expanding econ¬

Many investors
second

the

is

largest country in the world, and
and

riches

its
tial

industrial

beginning

just

are

poten¬

he

to

tapped.
For 47

^ears, Nesbitt, Thomson
pioneering the develop¬
ment arid financing of new indus¬
try in Canada.
Through a net¬
has been

work

of

tending
in

ex¬

jCanada, into the
Europe, the Company

constant

touch

with

Can¬

ada's financial pulse.
If

you

are

interested

in

any

of investment in Canada—^
municipal or corporate bonds,

type

stocks—or
tion

on

if

you

want

Canadian

mula

for

chain

is

ence

AND COMPANY, INC.
25 BROAD ST. 140 FEDERAL ST.
BOSTON 10




In

the

Chock

Full

O'Nuts

complete without refer¬
the

to

program

dent

excellent

headed

by

personnel
Vice-Presi¬

Jackie

Robinson,
former
Dodger baseball player.. Thorough

training of carefully selected em¬
ployees
cor&bined with liberal
wages, incentive, bonus, and bene¬
fit

informa¬

NESBITT, THOMSON

that.

for fiscal

1958

year

presumably

the

entirely- at¬

dollars

fiscal

■■

the

for

been

factor

checked

not

the

up

year,

3x/2%

but

were

fiscal

not

possibility

the

arrangements

The

Chock

key factor!

are

Full

O'Nuts

business, today accounts
of

sales.
a

packed,

Chock Full

fdr

O'Nuts

of

coffee

volume

dollar

companies.

Although

Full

to

This

58%

O'Nuts

grind

resistant

qualities:

is

selling

million

in fiscal

proximately
fiscal'

year

year

which

that

suggests

O'Nuts

benefits

down"

tendencies

overhead

low
on

coffee

O'Nuts

Full

a

by

recession

during

$15,300,000
ended

The company

July

for

31,

the

1959.

is currently enlarg¬

(4%

We

4%?

a

of

a

It

isJoperated

£mployees~

31, 1958—
31,1957__
31, 1956__
31, 1955__
31,1954__

Not

curring

including

profit

on

74c

sale

GASTON

A.

in dollar sales.

•

:

it

announced' that

million
like to

in

in

use

acquiring

allied

business

Such

an

product

$1.96
1.64
1.10
.63
.21a
.11

I

for

in

investment

Full

field.

Opportunities Unlimited
IN JAPAN

coffee

the

distribu¬

business.

of 10%,

on

per

O'Nuts

add
approxi¬
share-to Chock

earnings.
O'Nuts

Full

is

However,

enjoying

a

net worth of about 25%?

currently,

and

acquisition

presumably

would

have

any

have

to

the potentiality to reach that
ure.

A

this

Chock

Full

O'Nuts

fig¬

is

a

growth company which has been
able to increase

earnings

m excess

Write

for

our

Monthly

Stock

other reports
pretty clear
picture of the Japanese
economy as a whole.

Digest, and

our

•"

is available at

price be¬

York 6, N. y.

61 Broadway, New
Telephone:
This

Is not

orders

for

Green

BOwling
an

offer

any

or

9-0187

solicitation for.

particular securities

has
enjoying

been

excellent
cess

the

suc¬

in adding

new

reserves

last

years.

two

Fur-

t h. e r m o r e

"

,

Southwest Gas

Rasmus5*

Producing is
relatively

im¬

to

the

mune

Gaston

Shumate

A.

marketing
problems

besetting crude oil producers and

competition from foreign oil.
Southwest Gas
oil and

gas

Louisiana

an

producer operating in
and

Mississippi.

The

capitalization- makes

small

any

sizable

addition

significant
share

Producing is

reserves

contribution

value.

company

to

Five

expanded

years

ago

the

in

recent

years.

Continued

for 46 Years
>

National Quotation Boreal
Incorporated

the "happy

hunting ground" for oil explora¬
tion

Quotation Services

per

its operations

into <*South Louisiana,

Over-the-Counter

a

to

Thb results
on

pgae

49

jj

Nomura Securities Co., Ltd.

company

add

would

500

on

food

SVPHILA. 2, PA.

although the

other

of national

the

return after taxes,

mately

the

Exchanges

tween 9 and 10

would,

some

Stock

„

Dallas, Tex.

a

4.5

about

acquisition could
lines
and
hasten

achievement
tion

has

which* it

cash

LOCUST

Share
*

SHUMATE

Shumate & Company,

considerable

a

Pitts.

&

(Associates)

1516

(Shifts, and enjoys.,

with

Phila.-Balto. Stock Exchange

Boston

share non-re¬
of coffee contracts.

r

even

share.

Members:

per

-

itable

per

paid since

ALBERT J. CAPLAN & CO.

low rent.

very

Dividends

Currently about $5.50

for

Southwest Gas Producing Co.
Apparently, the
A few years ago
the stock of
expenses
in Chock Full O'Nuts
Southwest Gas Producing sold at
coffee business are largely vari¬
a
high of 27 V2. Today the stock
able in nature. It should be prof¬

a

-

that give you a

period. Chock
operation is a

by-710

working on two

i

suggest Class "a" stock

1942.
-

Return

aggressive small-loan

chain.

Earnings Per

(OOOi

$26,342
24,634
22,135
18,788
12,208
8,602

July
July
July
July
July

•

Annual

be Chock Full O' Value.

Year Ended

res¬

consumers

Broadway, N.Y. 6 COrtlandt 7-5680

now

evaluation

liberal

more

July 31, 1959__

to

Chock Full
the "trading

of

one.

average,

return

1954 to ap¬

on

Sales

adversity

Average

.

Investment Bankers

&

Stock

York

shares.

appears to

taurant sales of 350 per customer,

Chock

coffee.

111

Particularly, in to¬
day's market where value is so
hard to find, Chock Full O'Nuts

the

appears

built-in

certain

cof¬

Coffee sales have grown from $2.4

is

stock

New

the

at

O'Nuts

a

the

each division is
about
equally
to

Full

Chock

»

Tokyo, Japan
Brokers

yield
basis,
12.5
times current
earnings.
Improved market rec¬

earnings.
have

of

Affiliate

Yamaiohi Securities Co., Ltd.

Since its offering, the
stock has ranged, as high as $32.
At its current price of $29, Chock

currently,

that,

contributing

Company

of New York, Inc.

Exchange.

most

gives no breakdown of
earnings originating in restaurant
or
coffee business, it is believed

?

Black,

interest.

traded

the

coffee

for

,.

dynamic
President
retained the 50%c

by

William

company

vacuum

premium priced,
all-method

coffee

^mother

of

,

ognition, coupled v/ith increasing
prices. This was commendable in
earnings antl dividends should lead
a
period that witnessed the - de¬
cline

-

Yamaichi

publicly marketed in October,

stock

in the last
much as

retail

write

Securities

would sug¬

195$ when 400,000 shares out of a
outstanding of 800.000 shares
were sold to the public at $15.00.
After
this sale the
management

as

lower

of

information

or

total

poundage sales' gain of 181//2%

because

Call

:/>'

growth of coffee sales in dollars.
Dollar sales of the vacuum packed"
coflee

current
.

,

The stock of Chock Full O'Nuts

Although coffee prices have
declining the past two years,
has

fiscal period

1960

was

for

this

For1

Further growth of earnings iri

with a further.
headed
coming
fiscal

1959

year

increase
year.

>

gest

business

budgeted

was

STOCKS

equalled $1.96

dividend increase.

One mil¬

of coffee sales).

(5.4%
•

coffee

JAPANESE

over

the

$800,000,

was

almost

tributed

to

;

profitably/

itself

acceptance
has
been
achieved. The advertising budget

variation

fee is

NEW YORK 4

pay a

$2.35 per share in the cur¬
rent fiscal year.
v
'

market, and is*

a new

branch offices

our

per¬

share.

addition, the possibility of open¬
Chock Full O'Nuts is a company
ing restaurants in shopping cen¬
ters is being explored. New stores which has grown without recourse
tend to widen the profit margin to significant external financing.
if they are as successful as the Very little in the way of capital
average of the old stores, since expenditures is needed. All stores
they are readily absorbed into an are leased. The major factor stim¬
integrated system and add little ulating the growth of the coffeebusiness is advertising which is
headquarters expense.
charged off against current in¬
Nd mention of the success for¬
come.
Recently, management has

investments,

Nesbitt, Thomson and Company
will he glad to assist you.

months,

four
after

soon

will

stores

more

within

another

across

U. S. arid
is

offices

investment

Two

opened

and

market is far from

area

saturated.

apparently
about buying

go

maintain

to

lion

of

how.

know

after

rea¬

York

New

to

into

able

are

sub¬

yield, suggest that the com¬
mon
shares
selling
around
29

Securities

WHitehall

to

O'Nuts

Full

NY 1-1557

Mobile, Ala.
Direct wires to

in

It appears that Chock
Full O'Nuts can achieve earnings

management

its way

Morton Globus
why
F u 11,.
■
-7
impressive record should

(about

marketing

of

caliber
The

Chock Full O'Nuts business, and a

Exchange Place, New York 5
-

earnings

ended July 31, 1959
per

development of the coffee
business
evidences
the
highest

times

20 to 50

the

and

area

The

4%

brokerage service

Phone:

retained

fl
J

liberal

soon.

from

e r e

versity

for Banks and Dealers
40

of

Chock

mits

needs

cash

limited

excess

distribution;

an

and

Exchange

New Orleans, La. - Birmingham, Ala

terly rate was raised to 300 quar¬
terly. Earnings for the fiscal year

group

these excellent prospects, the ad;-

INC.

Members

Unlisted

sition

Norfolk,

continue.-

Security Dealers Ass'n

all

growth,

year,
for the past
Despite
this
rapid
excellent financial po¬

Virginia,
area.
Pittsburgh
and
points west are on the itinerary

O'Nuts

& CO.

in

years.

York Stock

19 Rector St„ New York 6, N. Y. V
HAnover 2-0700

.20%' each

five

has been secured in the Rochester-

C b O C k

GROSSMAN

a

of

New

Members American stock Exchange
r

Buffalo

sons

Render

Members

^

Full

There

S. WE.11BERG,

Steiner, Rouse & Co.

"

50% increase. A
marketing program

This

stantial

Y.

&

a

Recent

effect.

in

Shumate, Partner,
Co., Dallas, Texas.
;;jv:••■••••?
"""

2)

Bought—Sold——Quoted

•*'

Co.

O'Nuts.

many

N.

(Page

Producing

percentage of earnings, as
dividends. Recently, the 250 quar¬

w

Exchange

Teletype NY 1-40

BOSTON

hitting

A.

Shumate

50

launched sales of Chock Full

has

is

that of

sells

Member

WOrth 4-2300

of

star¬

as

as

select

Broadway, New York 5

120

handful

a

Gaston

companies listed on the New York O'Nuts coffee to an important po¬
Stock Exchange whose earnings sition in the New York metropoli¬
jrecord
and
consistent
rate
of tan'area, and a well planned pro¬
growth has
gram to penetrate other markets

tling

1920

Stock

only

are

between

Gas

million pounds of7

60

year,

of

South west

New

Chock

Corporation
Established.

There

and

million

hard

Ready to

basis

three-turn

Members: New York Stock Exchange
Chock Full 0'Nuts

York

coffee rodstihg plant " in
Brooklyn so that by early hext
year it will have a capacity on a

Sutro Bros. & Co., New

Wire

Private

Nationwide

Sutro Bros. & Co.,
City. (Page 2)

Dept.,
'

security referred to herein.)

any

Louisiana Securities

Full O'Nuts Corp.—Morton

Globus, Manager, New Business

ing its

GLOBUS

MORTON

Chock

circumstance to he construed as an offer to sell, or

no

Alabama &

advisory field from all sections of the country

in the investment and

Over 39 years experience ;;

Participants and

Their Selections

week, a different group of experts

participate and give their reasons for favoring a particular security.
•

Thursday, October 1, 1959

.

Established 1913

46 Frost Street
CHICAGO

New York 4, MY,
BAN FRANCISCO

(1351)

s

Market

brock

The

By LAWRENCE R. KAHN*
V

BIGGEST AND

Medium-Long Term

ice-President,

A. G. Becker &

Investment

:

; :

•

ment

Research

the

will

prospects.

rise

is

Convinced,
the

over,

be

based

the

over

market's basic levels
of

investment

and

number

not

are

writer

Let

-

.

set

us

the ground

trying to take
stock

"stock

market"

has that

of market

is
in

of

19%

a

loss

tion.

buys

or

one

or

in

mar-

Texas

even

the

own

sell

R. Kahn

"stock

each

market"

this

r.

investor
of

sum

his

or

speculator

discuss
what

this

the

shares

listed

the

on

Stock

age,

Exchange. This
index, is only an

or

cation,

or

sample of

a

Let

issues.
be

me

Since
the

movement -of

August

the far
dard

more

&

the

3,

if

about

market

by

July

4,

if

on

than

other

before.

decline

stocks

;

thus far

can

other

average,

what

than

•"

was

or

witnessed

to

has

watched

to the

United

Fruit

on

drop

bear

market.

be

said

for

Zenith

at

1363/4

fade 27.5%
*An

The

the

same

who

watched

to 99, or the

man

market

on

the

;

The

it

—Alfred H. Hauser—____

ment of

by Mr. Kahn before the
Diecasting
Association,
Chi¬
111., September 17, 1959.

di-

'

See It

Business
:

have

specialized in

Man's

pillars

This

is

Hawaiian Telephone
First Lumber Corp.*

Einzig: "Trade Unions in Free World Aid Soviet's
Growth

Rate"

Mutual
c

NSTA

About

~

Our

Banks and

Reporter

on

page

25

BROAD

Stock

Our

Wilfred

Albany

■

Nashville

Public

Utility

Report—

Chicago

Glen« Falls

Worcester




_'

63

Securities.

-

-

Direct Wires

-

to

Chicago ,
Cleveland
Dallas
Los Angeles
Philadelphia

49

—

Securities

—_'f

-——,

Y.

Teletype NY 1-1825 & 1-4844

24

—______

——

St. Louis

*

___

Securities

Now

Prospective

it

The

in

Registration-—

Security

52

:___

Offerings—

61

-_

Salesman's Corner

Marked

.

.

.

1

and You—By Wallace Streete

-

—

_

26
17

._

The Security I Like Best

a

State

The

of Trade

and

2

Industry

The Tax-Exempt Bond Market—Donald D.

Washington and You

39\

U.

Reg.
B.

Park

S.

Weekly

DANA

_

„

COMPANY, Publishers
7,

I

WILLIAM

DANA

64

N.

1959

'

'•

Reentered

25,

Oreclone

as

1942,

*

-

•

-

Subscription Rate*
Subscriptions

SEIBERT,

President

in

United

SEIBERT, Vice-President

Dominion
Other

Thursday,

October

vertising

issue)

and

every

1,

state

and

Other

city

news,

Chicago-3,

HI.

135

of

Canada,

Countries,
Other

and ad¬
Monday (com¬

etc.).

quotation
clearings,
•

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(Telephone STate 2-0613).

Offices:

•

-

~

South

U.

Members
per

per

year,

per

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per

Note—On
the

yea.r.

year.

Direct Wires to:

account

of

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tbt fluctuations

rate

In

foreign?

of
exchange,
remittances
for
rabsmptiwns and advertisements'

mrjst

made

be

In

New

York

funds.,

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year.

Retfbrd—Monthly,

(Foreign

request

PI., Jersey City 2, N. J.

J. C. HE 2-8570

in

Publications

ancf Quotation

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on

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of

$68.00

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S.

_

1959

news

plete statistical issue — market
'records, corporation news, bank
•

-■

States,

Possessions,
Territories
and
Pan-American Union, $65.00

Concentrating*

*Prospectus

1

...

Y.

"

Corp.

Sea View Industries*

by William B. DanA

Company

9576

to

.'"'Every Thursday (general

Transocean

second-cla'ss matter Febru¬
at the- post office at New
York, N. Y., under the Act of March 8, 1879.
••.».-*
'
ary

Office

Place, New York

6

_

Concert Networks*
Copyright

CHRONICLE
Patent

Transdyne*

this week.

The COMMERCIAL and
FINANCIAL

Mackey____

i—

—

^Columns hot available

Entron*

4

"

TELETYPE NY 1-5

Schenectady

4

__

inc.

40 Exchange Place, N.

San Francisco

Railroad

Exchange

Boston

r—

HA 2-9000

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.

Newark

May_,

MACKIE,

&

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REctor 2-9570

ST., NEW YORK 4, N. Y.

TELEPHONE HAnover 2-4300

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GEORGE J. MORRISSEY, Editor

*

Singer, Bean

' "47

—

-

1

CLAUDE
York

L

—

Observations—A.

.

62

48
_*•_

request

on

*

Funds
Notes

News

i

PREFERRED STOCKS

New

News—Carlisle Bargeron

Indications of Current Business Activity

,

*Prospectus

10

___

From Washington Ahead of the

Securities

today represents

Hawaiian Electric

64

securities

Spencer Trask & Co.
Members

43

_r

1

7

-"25

.

Stocks—

Bookshelf

8

WILLIAM

.

Pacific Uranium

Coming Events in the Investment Field

greater

economy •
normal effect.

1868

Cubic Corp.
Cover

Dealer-Broker Investment Recommendations______..

.

Founded

29 ~

(Editorial)

Published Twice

For many years we

Economist, Dies____14

_

double

the

Continued

32

Commerce

Bank and Insurance

before.

.

.

_J

Regular Features
As We

pered by the vast socialogical de¬
velopments
within
our
country

address

30

r

combination.of economic, psycho¬
logical and political factors tem¬

who

ASSOCIATES

Comprehensive Industries' Statistics Published by
Depart¬

But what affects the

market

ACOUSTICA

28

J.F.ReiIIy&Co.,Inc.

solely

ago.

the

what

L

Bank's Portfolio

a

Dr. Sumner H. Slichter,
Leading

does

financing and business
on

Monroe Kimbrel

Systems—Roger F. Murray
Virtues of Municipal Bonds in

by the New

far

•

INDUSTRIES

___

value

no\v

■

McLEAN

14

New Investment Policies Loom for Public
Retirement

What Affects the Market?

of

American
cago,

and

based?-

can

purchaser

business

psychology.

from a high of : 45% this year to
the present price of 25
%, or a de¬
cline of 42%, this has been a ma¬

jor

have

and above

Cobleigh

:

,

almost

influence

markets
over

who

man

the

•,\

12

;

__

16

who

group

KRATTER CORP.

Momentous One

$

—Hon. Robert B. Anderson

:

ever

the

CHEMICALS

Bright Sales Outlook for Chemicals in 1960—Allan B.
Clow 11

Swedish Lesson in
Socialism—Roger W. Babson

.

decade

a

include

not

,SPEEDRY

_____10

15

„

it was'estiare
12,490,000

there

J—

;

that huge

people

more

that
it

does

In¬

hardly be said to be
impressive. On

hand,

Alpert

9

:

Bank Legislation and
Congress—M.

the. New v

•

own stock

mated

very great or very

the

I

4-6551

METROPOUTAN

The Prudent Banker Prefers In and
Out-of-State Mortgages
—N. Preston Breed-—
1

"over-the-

or

traded

<•''>

stockholders,

declining.

have

we

WHitehall

BROADCASTING

money.

This

In the last study done
York Stock
Exchange,

or

Dow-Jones

STREET, NEW YORK

Telephone:

z__.

Valiant Is the Word for Chrysler—Ira U.

In the first

on

exchanges,

of

rectly

by

measured by

been

the

Obsolete Securities Dept.

1

\

indirectly own shares
dustrials
the
decline
from
the
through participation in pension
peak of 678.10 on August 3 to the, or
profitsharing funds or through
close of 633.79 on
Monday eve¬ the holdings of insurance com¬
ning, September 14, was approxi¬
panies ahd savings banks. •- Here
mately 6% ._JJsing S." & P. 500 w<Thave the best
example of peostock average, the decline
during pie's capitalism to match up to
the same period was 6.5%. Con¬
Mr. Khrushchev's peoples' democsidering the fact that the market
racy.
After all 12,500,000 is more
from
the
February low to., the than
in
the
entire
Communist
August high rose 14%, and from
party, the ruling class of Russia.
the beginning of 1958 rose
52%,
These two factors give weight
the

^

in the

ever

more

listed

year

Second,

representative Stan¬
has

for

obsoletes.

European Economic Integration

on

The Choice Before Congress Is

wider impli¬

a

31, the market

stocks

one

mass

this.

Industrials,

family

you

.

dealing

am

—Paul

A

r

stock

not include the issues listed

in¬

measured

Poor's 500 stock

Measured

I

'

the

Templetop.

the

:

sense

—John M.

.

Dow-Jones

since

-

But-

-

for

y

here

and

counter."

specific

August

the

the

than

trend, but hardly, indica¬

'

is

York Stock Exchange alone had a
value of $310 billion, or 32% more

or

the

of

of

indi¬

tive

dividual

•,

the misleading over-all pic¬

As

New

narrow

of

asking
.

place, it represents

aver¬

broad

a

whole

give

___________

The French Position

r."

personal.
only ap-

a

'cari

history of the nation.

topic,
they
by the

is represented

"averages," which is either a small
relatively large cross section

of

we

^

,

about

headaches.

cation and effect

or

York

are

ture, probably has

hand, when economists, stock
market
analysts or crystal
ball
gazers

and

broader

a

with

other

mean

is

there

immoral

man-

probably

market,

the

holdings. On the

own

the

cash

WALL

Substantial Growth Ahead and a Perilous
Pitfall
'—Arthur R. Upgren——

^

stock market.in the light

a

is

In

for

means

those

blow

the

with

v

Affair

saying

am

and

orw

millennium.

-Therefore, the
term

I

word,

,

Each

heartaches

specific
Lawrence

as

Today's Stock Market and the
Medium-Long Term
Kahn

y: —Lawrence

way

or

securities.

well

as

can

Over-the-Counter Market: Biggest and Broadest—And Still
Expanding—Ira U. Cobleigh-______

"and; worthwhile
guidance
taken, there would be .'■far less

trusts,,

buy,

21)
42).

You

Articles and News

own: holdings and his own
objectives, particularly the latter.
If it could always be viewed that

invest¬

ment

latter

praise
of his

a s

,

sinful

affair.7

big

as

investors

pager
page

IS COMING!

consecutive

99

Instru¬

Personal

a

speculations,

that

,

People

like ourselves
or

Are

short,-what

nothing

owns

ket"!

(Table I,
10-year category (Table""II,

paid

1N1) E 5

that securities, either investments

"stock

a

In

•

any

No *

have

Inflation and Stock Prices Do Not
Go Hand in Hand

Securities

in¬

raliza-

gene

which

pricas

meaning
which

to

companies
174 years

to

:

THE BIG BLOW

securities available only in the
exemplified in the tabulations showing

as

and

,

10

dis¬

next

ments, to use two speculative favorites, about which you normally
only hear of those who made the
big profits.
'

concrete

herent

5-

AUD OOKVANY

•a

shape them. Above all, the "

has

term

lack

for

Ha believes that the

fears.

llCHTfnSTEIIi

EXPANDING"

of the

part

executive

MARKET:
STILL

inherent \ in

banks

dividends

those in the

selectivity.

urges

the

of

which

work for

First

—

sharpest

AND

—

of line with the present concepts

brief look at the

a

market

out

elements

the

research

which the levet

upon

next

the

that

investment

the various factors

cusses

of

names

cash

ovar the medium term,
the changes and the emphasis that may be witnessed,
and explains what kind of
companies and industries have the greater

market

opportunities

Over-the-Counter Market

Co., Inc., New York City

on

immediate

BROADEST

ARTICLE starting on the cover
page, "The Over-the-Counter Market:
Biggest and-Broadest
And Still Expanding" diseusses the invest¬

Mr, Kalm deals with the stock market outlook

lays stress

--'THE OVER-THE-COUNTER

„

3

Philadelphia

Washington, D. C.
%

Salt Lake City

Denver

Albuquerque
.

*

San Francisco

Los Angeles
"

t

,

V

■

f

V.

4

V

The Commercial, and Financial Chronicle

(1352)

its "big sister" organiza¬
.particularly the Interna¬
tional
Monetary. Fund.
It may
well
function
in
the
palliative
capacity which is so thoroughly
decried.
It
could
promote- in-V

Thursday, October 1, 1959

.

tions to

•

•

F';"

MAY

WILFRED

BY A.

§

STEEL

tions,

ELECTRIC OUTPUT,

convertibility

<

arid

currencies evil.

A-BORNING

that

contend

H WASHINGTON—Irked and

Purpose and Method

em¬

fill
by a representation of
his attitude toward current trends the need of capital-poor countries
in international aid which recently that cannot qualify fof credit from
IDA's

barrassed

in

red

ap pea

Time

i,

Inter-'

the

Fund,

Per

Mr.

cobsson,

Ja-

has

iollowing
•j disclaim er
(which will be
.

p e

||WJ

-r

of C

a

•;

nfews-magazine

May

Wilfred

A

"The current
edition

ized

p

riodical's
issue):

now
envisaged, the author¬
capital would be $1 billion,
with
possible
additional local
currency
subscriptions.
Member
nations'
subscriptions would be

As

carried in the
next

:

'v

.

the

in

published

United States contains statements
that

incorrectly

own

course

less developed countries have had

national currencies.

of the

use

of the local

soft currencies is to be determined.

much

FOOD PRICE INDEX

BUSINESS

COMMODITY PRICE

Some
hybrid. They
will be dealing

it

foreign assistance, and
that I oppose establishment of .the

The

member, nations

would

be

in'junior capital—a kind of equity
capital.

Or that it will traffic in

neither

actual

but

perhaps

for

grants.

loans

-Again,

that this

seems

resents

a

as

to

new

Construction contracts in the United States in August

declineld
below the level of the corresponding month of 1958, but the
total of $3,083,649,000 was the second highest ever reported for
any August, according to F.'W. Dodge Corp.•W;
"
The Dodge seasonally adjusted index of construction contracts
for August was 258 (1947-49=100), down from 289 in July.* ;
j;.
According to George Cline Smith, Dcdge Vice-President and
economist, the decline probably stemmed in large part from the

grants,
facade

nor

merely

a

it

some,

agency

11%

rep¬

needless spawning of aid

.

techniques, with partial conflict
with existing multilateral agen¬

■

cies, including the gestating Inter
American Bank.
Then
there is

steel
<'

some effect," Dr. Smith said,
exactly. There is no evidence
that any great slowing of actual construction work occurred in
August as the result of steel shortages. But the awarding of contracts for future jobs may well have been held up because of

over

"although it is difficult to

geared to their relatively -large c
export trade rather than to their ;
relatively low national resources,
feel that an unfair penalty is thus 'And there is

incurred.

some

feel-

a'genius can permanently
enable the single institution, the
World Bank,
to run simultane-

stitute

that

the

Fund's

multi-lateral for bi-lateral

:

situation.

resolution

,1

in

-

by the Secretary, with strong
dorsement by
dent

-

Potential Flaws
en¬

Although the project is still in

World Bank Presi¬

the embryonic
stage, it does seem
to
imply some basic contradic-

Eugene Black.

the

a

project

jLwith

"ago.

year

was

hospitals,

50%.

up

over

V'J'C.VV;,''

"

7% from August of last year.
dwelling units, an increase of 2%

$1,551,224.000,.

The contracts covered 116,269
last year. Both the dollar!

over

declined, but this was'
an increase in single-family houses.
'
engineering contracts in August amounted to $571,-*
decrease of 39% from August 1958. Highway contracts:

than offset by

more

•

Heavy
324,000,

a

than

were

down

ities

categories other

more

50%, and all other public works and util-.
water supply and sewerage systems

than

also declined.

J
*'
:
;•'
;?;? j"j
Cuiuulative totals for the first eight months of 1959, and the.
.

s

percentage changes from the corresponding period of last year,
were as follows:
Total construction, $25,573,909,900, up 7%; non-'.
residential building $7,841,631,000, up 3%; residential'building,

$12,115,843,000,

•

28%;

up

heavy

and

engineering,; $5,616,435,000,

13%.

down

Nationwide Bank

Clearings 14.8% Above 1^58 Week

Bank clearings this week will show an increase compared, with
a

year

Preliminary

ago.

figures

compiled

by

the ."Chronicle,";

based upon telegraphic advices from the chief cities of the country,
indicate that for the week ended Saturday, Sept 26, clearings for
all

of the United

cities

States for

which

is

it

possible to obtain

weekly clearings will be 14.6% above those of the corresponding
week last .year.
Our preliminary. totals stand at $25,216,686,791;
against $22,001,605,910 for the same week in 1953. Our compara¬
leading banking centers for the week follows:

tive summary for the

Week Ended Sept. 26—

.

%

.

$12,564,389,958

$10,552,653,029

1,182,620,929
1,133,^)0,000
798,221,341

1,100,465,751

+19.1*
4- 7.5:

1,060,000,000
727,626,039

+-

6.9

~f

9.7

Chicago :___
Philadelphia
Boston
For

1958

1959

New York

detailed

of bank clearings in U. S., refer tothe Statistical Edition of the "Chronicle,".issued Mondays.
For¬
tius week's summary, refer to page 47 of the Sept. 28 issue.

conclusionin

a

summary

.

this writer. And from Secre¬

Anderson- similarly,
consideration by the

/ '

••

volume and number of units in apartments

before

clis,cussing the institution's future

Smith,

August, according to Dr.

up

be brought before

President »Black's

full

Invoking of Taft-Hartley Law in Steel Strike "Inevitable,,

"After*
United

Unless
break

last-ditch

a

personal

attempt

by

to

President

the

the steel impasse

succeeds, invoking the Taft-Hartley Act
Iron Age" reports.
.4
gress,
; The national metalworking weekly comments that positions
still be left for the consideration
of the new
institution's execu^~- 011 both sides were irreconcilable after the breakup of regotiations;
last week. It was against this firmness of each side that President
tives."
V
v'-.,
Eisenhower made his appeal this week for both tides to settle their
The decisive questions run the
differences reasonably and promptly.
~.
:
gamut
from
the
r;
,
proportion of
hard and soft currencies, and how ; Mr. Eisenhower said he would use every conceivable personal
and official influence available to him to break the impasse. This
they are to be-used
(with theimplies that he hoped to use his personal prestige to break the
Treasury favoring hardness and the
deadlock, before invoking T-H.^
politically-orientated
State
• r • But "The Iron Age" says that Federal action now is more or;
Department,
softness)—to how
*less academic as far as steel supplies are concerned.
many nations can afforc} it.
States'

-

can

settle

to

'•

-

Residential building contracts in August totaled

the 1960 session of Congress," was

tary

We Maintain Markets In

Board

of construction.

August 3 958. Every other non-residential category declined, #ttd
the
non-residential total of $961,101,000 was %Jown
11%: from

better alternative in that IDA will

Executive

submitted

-

less dependent of steel

are

beginning to. pinch, and. if it is continued ,dver many., more weeks,it will become progressively hard^^flaak^-tip; Iheltime lost."
The single shining light in non-residential building contracts,

expressed himself. Apart from
the question of general over-as¬

a

Single family homes

August decline should not be viewed too seriously,"
Dr. Smith said, "since it is largely..# matter of timing, and could
to a considerable extent be made up later. But the strike is now*

chief executive indeed should have

via

-

"The

.

rso

here

'

with-the effects to be expected in the current

than most other types

deliveries

,

.

but it is consistent
steel

v

r

over steel deliveries and prices.
*
<
"Nearly every category of non-residential buildings and heavy
engineering reported a decline in August, and so did apartment
buildings. Single family houses, on the other handf gained. " This
pattern cannot be explained by any underlying economic factors,

both

lending, getting other countries to function as a
lightning rod toward
share
the
aid-burden, including off the real
give-away project
difficultiesTof collection, with us
proposed in the UN as SUNFED.
who
have
already so expended Under SUNFED the aid would be
sistance, the United States pro¬
$64 billion—mostly
in grants— extended
posal for at, new
entirely through grants
billion-dollar since
World War II.
(2) As an instead of loans. Backed
dollar-aid agency named Interna¬
by the
^immediate
benefit, the United
tional
Development Association,
Soviet, the voting would be equal,
States' aim is to replace the bi¬
harbors some basic inconsistencies
one by each country, under which
lateral two-year-old Development
with the Fund's sound
status the Russian satellites would
principles. Loan
Fund, through which we,
This code of soundness was vig¬
enjoy full participation and voting
who have been acting
solo, have
orously re-expressed here by Mr.
been lending at the annual rate of privileges.
Jaeobsson in presenting the Fund's
$700 million. (3) If this replace¬
Open Questions
Annual Report here on Monday.
ment is
accomplished, the advent
The ultimate success or failure
The newly planned
organization, of IDA will relieve rather than
of the new Agency, whose final
first proposed at last year's New
aggravate
our
currently worri¬
approval
doubtless will win
a
Delhi meeting by Secretary of the some $4V2 billion balance of pay¬
ments deficit.
And (4) it should large majority of the votes here
Treasury Anderson with the bless¬
this
week, will depend on the
provide a use for the various local
settlement of many details. "There
ing of President Eisenhower, was currencies which
we
have
are
a thousand
questions for the
brought up for formal adoption acquired.

measure

uncertainties

even

ously

strike.FF'F

"Undoubtedly the steel strike had

.

the relative contribu¬
tions by
the subscribers. Coun- tries, as the Netherlands, whose •
World
Bank
subscriptions
are "
worry

.

comment

v

INDEX

the "store's" de luxe :
the same as the make-up of the
International Development Asso¬
department and bargain basement.
World Bank, with thq voting like¬
The answer given to the
ciation.- Neither of these state¬
last
wise
weighted according to the question is characteristic of the
ments has been made by me or
capital subscribed.
\ ;
on my behalf."
general rebuttals given by the
U 1.
proponents
to
all
the
doubts. There are a number (albeit a
Anderson-Sponsored
That is, if not this, then somedistinct minority) of the Finance
The new institution has the vig¬
thing even worse.
It would, of
Ministers
and
other
Governors
orous support of our Secretary of
course,
be much worse if Mr.
here representing the 68 countries
the Treasury (though not of all
Black and the Bank were not the
participating in the Annual Meet¬ his
associates) for three principal managers to keep things in line, '£
ing
of
International
Monetary
reasons, each in a sense "getting
and from scuttling the entire aid \
Fund, World Bank, and Internaus off the hook."
(1) It will sub¬ machinery.. Further this is the 1,
-tional Finance Corporation,: who
might

*

FAILURES

a

ing that Switzerland, which is not
proportioned the same as in the.. in the Bank, would be getting •
Bank; the United States' contri¬ another "free ride"
by the other
bution expected to come to $350
industrial hard currency lenders if ;
million-plus,
she is not persuaded to. join IDA. These
subscriptions would be And despite the great, confidence
made in part in gold or fully con¬
in the person of President Eugene
vertible currencies, and in. part in
Black, there are- doubts whether .:

represent my
international
financial assistance, and the pro¬
posed International Development
IAssociation. The publication al¬ members'
leges that I believe some of the The
views with regard to

too

Bank.

is,;,a separate financial entity, but
managed by the Bank's officials
and perspnnel.

the

issued

World

payable in local currencies. Over
the
former
opposition of. freelending advocates, IDA would be
a close
affiliate of the Bank, that

national Mon- "

etary

"hard-lending"

They are to be accommodated, at
least by the use of "soft loans,"
namely~ long-term low interest
cost credit extensions, partly re¬

m

zine, the Man^~
aging Director
of

the

-

,,,

maga-

would, be to

purpose

TRADE

AUTO PRODUCTION

blocked

Surely it has in¬

feel it is too much

J

CARLOADINGS
RETAIL

potentialities.

flationary

ANOTHER AID AGENCY

the

The

PRODUCTION

authorities, including Con-;
many decisive matters will

is inevitable, "The

,

...

.

.

DELAWARE VALLEY U.S.A. COMMON STOCKS

-

Hsre Is A Partial List:
Allentown Portland
Cement Co.

Eastern Lime

F'F~F....!

'

Penn Fruit

Co., Inc.

Phila. Suburban Water Co.

Corporation

Purolator

Products, Inc.

.

Ritter Finance

Hamilton Paper Co.

William H.

Keystone Portland Cement

Standard Pressed Steel Co.

Moore Products Co.

Strawbridge & Clothier '

Co., Inc. "B"

Rorer, Inc.

Philadelphia

Bank Stocks

For

we

Wilbur Chocolate Co.

go

the

-

Economic

120

all

•

WOrth 4-8400

•

else




•

ALLENTOWN

•

LANCASTER

Minister

success

the

or

by.German '

Erhard:

"The

*

.

more

difference

and

a

real

than

;

cable to the

giveaway ".v'ehicle,
help - tor the world's ;
Also appli- }.

case

say

of all

weT

soft-lend- j
_

„

■

ticn.

were when
type,, size and loca-

today are less than half what they
Even this is unbalanced by

,

>

And it includes obsolete material, rusting steel, age-hardened'

sheets and

probably

some

unusable-items.*

,

.

In. addition, some of this is material in process.
used unless balanced out,

with

new

-

-

It can not be

supplies.

Age" predicts that there will be steel shortages of j
most products for the next six months.
An 80-day cooling off;
period probably won't produce more than 14 million tons of. steel. J
This

is

about the

There will be

between

recovery."

ing activities,

stocks

"The Iron

failure of the

just: aqotherfinancial

PITTSBURGH

•

on

termine

PEnnypacker 6-733Q

Broadway, New York 6

organiza-

discipline' in its ad- •
ministration.
Discipline will de- x

INCORPORATED

123 80. Broad St., Phlla. 9

here

operation will depend

STROUD
COMPANY,

us

Steel

the strike started.

long-run success or failure, .*
along with the conclusion

ultimate

&

permanent

expressed to
•

1

A Wise Word from Erhard

tion's

Taylor Fibre Co.

Corp.

...

,

Giant Portland Cement Co.

National Aeronautical

•.

.

;

amount

needed

for actual

use.

real

gain in steel stocks f~om T-H* Failure ;
to reach a settlement after the 80-day injunction could find the
country with less than 7 million tons of stec1 md—at the worst
—prospects of a renewed strike.
;
Foreign steel,- as an emergency sourcerh •
- >2h down; Most \
u^-

-

/

no

"Vs : * :

"

r

-v^efcon page 50

Volume T

umber 5886

.

The Commercial arid Financial Chronicle

.

.

higher lqvel,\ the decline was only
■2%-%-. It'Was .12 months-in dura¬
„

Su bstantial Growth Ahead

And

:

R.

Bigelow,
St.

Professor

First

Correlating

Bank

Dr.

This

College,

and

with

prosperity

liquidity,

bank

family

income

contains

substantial

of $7,500

ominously

an

decline

and

The noted

averted; endorses present tight money
in

explaining

ing

economic

_

our

growth;

fight

an

decline

average

against

spelling

economist

finds

forties, and

businessmen's

increasing

policies is Utilized by them
the

and

our

,

businessmen

of

was

one-half the

anticipated

properly

this would be the most

to their benefit

-

we

months

production.

sion.

•

for

total

a

So

Now

'

"r

-v

explained why

have had so sharp a recovery.
The pattern I have just described

It

-

Why

have

had

we

such

very

In

substantial stability in the Ameri¬
can

though

economic

b

11

e

-

a s

than*

It

of,

eco-

the

—

good.:,..-

and many

have had three small economic

we

b S-tantial

rate

cline in the recession.

As

This is very

■■

result

a

the

of

..y.

substantial

recovery,

ask: From whence

may

the

came

fall

level

profits

consumption?

Here

is

where

economic

play.
I

so

the

stabilizers

There
shall

deal

in

<

nomic

v e r

recession

y.

twice

b stantial.-

s u

the

diminishing
rate

of

we;

t h

our

the decline

as

much

to

stable?

more

Arthur

R.

degree of stability has been built
into the economy.
Some of the

Upgren

ree

more

postwar recessions has been from
two
to three times the
amount

obvious

which

measures

shall

not

recession.

clude

other; words, in the recovery
of the same length of time as the
period in which the maximum

antee

amortized mortgages,
of
bank
deposits,

decline

the

of

in

the

In

economic decline
the

was

in

has
much greater than the

recession,

been very

the

are

oscillations which

modest

call the business

Next,

and

years.

result

a

Excellent

these

of

prospects for the years through
•1966, I wish to point out some of
the most

acceptable economic de¬
which

velopments

the American
in

will

to

come

people! particularly

stability with economic growth

and at high
with

interest rates. Finally,

the

all

which will by

optimistic

picture

this time-have been

developed, I want tp give

proper

warning of the possibility of sub¬
stantial

economic

end' of the
I

now

"Built-in
can

decline

the

at

196Q's.

discuss

have

remarkable

Stability in the Ameri¬

Economy."

♦An address
46th

Annual

York

by Dr. Upgren before the
Convention

Association

City,-Sept. 23,

of

of

Mortgage

America,

by

auto¬

New

1959.

stabilizers^ into the
Then, parallel

smoother

the

automobile,

we

ride

economic

for

devices

these

of

the

adopt

"automatic

the

term

stabilizers"
which

have

reasonably
smooth
economic ride through the bumps
given

us

a

three

the

of

tion

from

months.

Its

The

to

bottom

dura¬

was

12

decline in gross na¬

tional production—our total year¬

ly output of all goods and services
$9 billion.

—was

The percentage

decline in output wa§

3x/2%.

Within six months after record¬

ing this decline,
production (GNP)
billion.

twice

the

and it took

is

This

amount

national
recovered by

gross

recovery

of

the

was

decline

place in half the time.

good.

1953-1954,

each

in

postwar recession.

had

our

succeeding

As

second

This time out¬

put, declined by $10 billion. Be¬
cause the economy was now at a

sions

Company

Investment Securities
is

pleased to

announce

its

new

211 Carondelet

that, effective October 1, 1959,
address will be

Street, New Orleans

fulaiie
Members—-New York Stock




recovery

three

these

of

2711

Exchange and other national exchanges

happenedwas-

pe¬

profits
does

reces¬

fell, by

not

in

$12

billion.

to "be

This

good,

corporate

profits

work

to

these

4%.

was

even

the situation

out

show

concurrently

output

total

$17 billion and almost
Ordinarily when production

in

the

recession,

expenses

had

then

moved

ended

'which

undesirable, but the

quick

a

in

total

more

times

recovery

was many

element in the total expense

was

fell

so

little that the

consumption

in

was

only

billion where the define in
total output, was $17 billion. And
$1

indeed more than even this small

consumption was
by
the decline

in

for

ac¬

in

we

also

tors"

cally

have

by

2Vz%

a

contracts

for

year

industry.

We

running

y

revenues

early

1958.

from

corporations

this

rise

a

add

can

tax
we

of

rise

billion

$4

And

taxes.

personal

in

corporations

To

from

revenues,

Now we see that wages fell by

billion.

$5.6

only

decline

in

at work.

This

was

wages

paid

for men

■„

the

Against this decline we

offset the increase in unem-

ployment compensation payments
of $3.3. billion,
total

personal

Now we

.

see

those

that

ment

compens a

work

and

As

several

<

'

sales

alone.

automobile

sales

probably

Ho

n

to those

of work—fell by
-

only

.

personal income fell by this
amount,
^

the

personal

Continued

on

page

de¬

clined because we could not again

equal in the last two years the
magnificent gadget put on the
automobile

months to

ing

a

to

make

That

1955.

in

pay" with

sales

record

gadget

"36
steer¬

was

power

fair second in attractiveness.
these

two simple facts,
decline in production of
$17 billion and a decline in con¬
sumption of only $1 billion, bur
economy necessarily generated a
speedy recovery.
When output
From

so

very

more

Correspondents inprincipal cities

substan¬

the consumption de¬
decline was possible
because we poured inventories, in
fact we liquidated inventories, so
very rapidly that production could
fall and yet total consumption be
fully maintained.
As

1870

a

than
that

result, we were selling
more goods than we were produc¬
ing.
Whenever this is the case,
production will have to rise as
soon as the inventory liquidation
andadjustment
is
completed.
When consumption falls by only
3/10ths of 1%, this act of comple¬
tionq£ inventory liquidation can
be accomplished, as it was in a

throughout the United States and Canada
v„

UNDERWRITERS AND DISTRIBUTORS
OF INVESTMENT SECURITIES

a

Dominick

&

Dominick

Members New York, American & Toronto Stock Exchanges
14 WALL STREET

to

unemploy¬

$2.3 billion.

small

that

income —wages

These

automobile

in

whole

the

is not yet complete,

recovery
.

-

the
also

in output

recovery

in 1959 increased Federal

thrown out

fac¬

increasing wages automati¬

automobile
have

"productivity

now

by $8 billion in the recovery since

can

wages.

undesirable.

was

fact, this

tax

billion

by

Our income

has

corporate

$12

expect

counted

$12.5 billion

was

year

billion

In

- no

by

decline

fiscal

the

enues

su¬

This we can readily appreciate
$17 billion,,, we would
when we recall escalation clauses
that the income society
wins
for
this
total
production in wage contracts. These have sent
would fall accordingly.
the
rate of steel wages
up
by
Nothing of the kirid happened. 17 cents an hour since. 1956. Then

falls

the

desirable than the loss in tax rev¬

earlier

two

would

when
lalls

in

effect, *; the- excellent

production

fall,

recessions, above the rate of sales. This is
difference logically taut.
/
;
from the model I now give.
Now the principal of expense
When total output in six months
declined by $17 billion in 1957- of corporations is wages and ma1958, the total level of consump¬ terials and supplies. Materials and
tion declined by less than $1 bil¬
supplies are simply in largest part
lion. This is remarkable that total
the wages of some other producer,
consumption fails to fall by more
than 3/10ths of 1% or $1 billiorf so we can say that the principal
they

than

worse

revenues was

play

economic stabilizers

for

re¬

the

magnificent desirability of

or

the
economic
total expenses must have moved
into
play
arid
automatically. I above total sales revenue from
shall deal only with the latest re¬ production. When corporate, profr
cession, but the working of the its fell as
they did by $12 billion

Were I

or

of

came

into

came

in

see,

;

$53.5

When

the cash

June 30, 1959).The loss in Federal

that., corporate

appear

this

by

position

(the total deficit,

this

action. What

it?

proceeded,

stabilizers

tially
cline,

HOWARD, WEIL, LABOUISSE, FRIEDRICHS

noble

was

each

declined

and

the

riod?

namely

we

in

and for the sprightliness and bounce in the economy

little credit for

economically

years

decline

the first, the

1948-1949.

top

the

World War.

Take for example

recession of

since

recessions

end of the Second

This

•'

built

we

with

In

Bankers

to

extraordinarily
ridel" just so

American economy.

$17
the

and
built

machine

followed

the

now

-

economic

policy."
The third
point with which I would like to

As

snubbers

smooth "torsion-aire

"by

seven

these

matic dual-action shock-absorbers

„deal is the substantial prospect for
substantial economic growth in the
next

all

the American auto¬

be

to

recessions

economic

postwar

perior in the two earlier recessions.

«

first built automatic

we

snubbers into

we

reces-

FHA

have been

economic

as

mobile

achieve

to

and

growth

economic

our

Just

cycle.

adopted to resist economic
sions

guar¬

give the smoother economic ride.

would like to turn to
the
policies we have

I

Qf

some

•

important than

the

into

stabil¬
ity; has been achieved with eco¬
nomic growth though not without
the

economy.

stabilizers which

■■

So I suggest our built-in

•

the
More

.

recovery

decline.

in¬

detail

mortgage insurance arrangements,
and other like structural changes

in

incurred

in

measure

I

they get very

What accounts for the resistance

in

•

•

•

Accounts for Recoveries

least

at

The ansvyer is that a substantial

recov¬

after each

ery

of

e

be

recession.

economy so

•

T h

great

as

to

What has happened to make the

infla¬

tion.

failed

was

earnings

by!

fell

Only

purchase we made forxthis $6 hils,
Ijbh :pf the Federal budget^deficit

•

-

growth

a

•

period before the recession. Thus

k

and

-

the retained

ana

billion.

corporations

the

small

..

trend line

total -produc¬

corporations

$6.1

tained;

of them,

with them

of

latter amount

into

come

$5.9 billion

only

automatic

are - several

above

may

maintained income to support this

surplus in the present fiscal order of their importance.
"recessions."They have g 11 been year and possibly a $5 billion sur¬ •/, The* first stabilizers we find in
moderate in character. In no case plus in fiscal 1961. All this is ex¬
the, recession - were provided ' by
has the economic recovery
„in, a tremely good.
business and businessmen, though
r-t'fcCf,,
r»A»r
*•
'
like period of time following the

has

inciu ded.a
s u

1930's

States

But if consumption held up, we

three times the amount'of the de¬

Economy

unemployment has been
reduced by 2,000,000, employment
recorded in our economic annals.
has reached an all-time high by
It has now been termed: The Great a good margin, and ori current
revenues
and ^expenditures,
Depression.
the
'Since the end of World War II Federal budget will produce a

three

little

e r

.

people of the
other
countries
of
the
w orld—experi¬
enced the greatest depression ever

The

h

-

a

that.

had

re-

cessions?

stability
been

have

we

the

United

economy in the past .14 years

even

American

.

contrast with"

can

be, and We can
here to the busi¬
that the fact that
fall in profits Was
suffered as a loss in. tax receipts
by Vthe, United States Treasury'
rather than by the corporations
may be why businessmen 'did so
maintain wages. In fact, the rev¬
enues from corporation taxes did

,

H

This We

well
leave judgment
ness executive,
one-half of the

point was reached early in 1958, recessions.
output had recovered $53.5 billion.
Sustaining Consumption
This recovery dgain is more than

Built-in Stability in the

ar-

in

billion

,

Introduction

fall

This is indeed good.

postwar

our

these

tion.

we

prevailed in each of

of all

$11.2

reces¬

•*'
now

result

a

in holding wages at a

recovery

v

have

we

'give

production of $16.8 bil¬
lion. Thus ignoring small recon¬
ciliations, with which we need
not burden ourselves, the decline
in corporate profits of $12 billion
served
as' the
greatest
"assist;"

than three times the amount

.

As

billion.
a

inven¬

by which output fell in the
sion.

qualified.

Yet it hardly

15

more

re¬

in the 15 months since the low

'

have moved into

that

severe

cession in the entire postwar pe¬
riod.

more

later,

to

rangements we find, that wages *iri
the recession
fell by only $5.6*

tory accumulation. It was tlra re¬
top to covery I have just described which
place in sent GNP up by $53.5 billion in

earlier post¬
Businessmen had

recessions.

required

continued

wage increases through the reces-

From

the two

rather

of

economy's.

3%%.

was

This

war

our economy

knowledge

time;, namely six' years with continued yearlyStipr W ■.
?
;>• Itrlated increases ip .wages.* Finally,

recession.... The

duration

growing success in snubbing recessions and achiev¬

and

larger

six months.

'

be

this

urges

policy; dissects

■;

came

this decline took

bottom

inflation

liquidity

declining

cloud «f

1970.

by

victorious

a

dark

of

years

,-

as

increased, incomes now were enlarged accordingly. This sent con¬
;;
third sumption up to higher levels, and

postwar economic recession. Out¬
put fell $17 billion making this a

Stock Corporation

growth

?;

„

1957-1958

somewhat

economic

Now

good.

was

In

Economic Consultant,

Upgren's promising picture for the next T

short? period-of ;

months.^;;;

three times the amount of decline.

~

~

the

next;12"fnorrths, the■ t
inventory liquidation
recovery in GNP-was $30/ billion.- came to an end, production had to.
Thus in a like succeeding period rise sharply.It did.
That was
of 12 months, we gained in output good.
Moreover,
as
production

1

:

Economics, Macalester

of

Paul,' Minn., and

tion. ' In

Perilous Pitfall

a

By ARTHUR R. UPGREN*
Frederic

-

:

5

(1353)

NEW YORK

J

tax

45

The Commercial and Financial

6

(1354)

By DONALD D.

Recent

MACKEY

issues

new

have

well received by inves¬

been

tors, generally. The $44,000,Exempt Bond been heavy buyers during this 000 Cook
County, Illinois is¬
some improve- year's
higher yielding tax- sue was all sold.
$12,000,000
ment
last week. The Com- exempt bond market. It is reOrang e County, California
mercial and Financial Chroni- ported
that . the Life C?1*1-'
The

Tax

In the

$1,000 ,000
-

-

Market showed

*

High Grade State and panies alone bought about
65% more
Municipal Bond Index- Yield 65% more tax-exempts durwas
lowered from 3.59% to ins the first seven months of
3.57%. Moreover, most of the 1959 than " during the . like

bonds

Thursday, October 1, 1959

following tabulations we list the bond issues of
for which speciMc sale dates have been set*

Information, where

available,

amount of issue, maturity
which bids will be opened.
rower,

about all sold. The

are

.

or more

October 1

•

cle's

$2,300,000 Essex County, New
Jersey issue went well} as did
$1,800,000 Hastings, ConstanIn July alone, tia etc., New York, School
approximately District bonds. Last week s

...

LARGER ISSUES SCHEDULED FOR SALE

Well Received by Investors

Bond Market

The Tax-Exempt

Issues

Recent

il

Chronicle

(Thursday)

Austin, Texas ______/_
Austin, Texas

___.^

includes name of borscale, and hour (EDT) at
>'

1964-1984 .<Noon

1,000,000

__

1961-1980

1,400,000
•dollar-quoted State and Mu¬ period of 1958.
Stratford, Conn.
* 2,400,000
the v boilght
nicipal revenue issues were
quoted from one-half to one $125 million State, Municipal largest item, $25 000 000 Port
V-1 /v.;'-'v- "October 5 (Monday)
and Authority bonds against Of New York Authority bonds,
point better. %•%. -•'
Jefferson County, Texas___
___3,000,000
Yields on tax-exempt bonds about $35 million a year ago,? was not awarded as /the one
New Britain, Conn"
1,330,000
This broad investor interest .hid received was not satisfacappear to have reached a level
North Montague Co. Water Supply
>n
has maintained
a
favorable tory to the bi-State agency,
that has begun to attract in¬
District, Texas
1,200,000
technical position of the mu- Failure of this offering to ma-:
vestors formerly more inter¬
Quincy, Illinois, J__________
5,000,000
bond
market,
even terialize was directly, traceested
in
stocks
and
other nicioal

1960-1978

_______________

1960-1979

_

1961-1979

equity investment during Julv and August when:
all nhases of the bond market
savings. Although infla¬
tion
remains
as
the ;,single were easy. As the municipal
market
went
lower,
fewer,
most
potent factor
in the
new issues were brought .out
economy,
there are indica¬
very
few large issues
tions that inflation may be and
were sold. With the retura on
slowly coming under control.
With

Federal

balanced

a

able to. the filing of a suit in
the New Jersey Federal Dis-

trict. Court attacking immunity of the Authority s bonds
from Federal taxation. Beof this,

cause

decided

cate

another syndi¬
submit

not to

a

for the bonds.

bid

good tax-exempt bonds yield¬

,

8:00

1,350,000

1960-1998

8:00 p.m,

2,450,000

1962-1999

3:30

p.m.

4,100,000

1960-1979

11:00

a.mt

3,000,000

1961-1983

11:00

a.m.

.__•

1,432,000

1960-1979

11:00

p.m.

large $32,000,000 In¬
Budget a possibility and with ing from. 4% to 5%, even a
dianapolis-Marion County, In¬
tight money limiting the ex¬ few/ investors,; including the diana Building Authority
pansion of credit, some types Life Companies, made pur¬ issue " was awarded Tuesday

Dist., Calif.

2,000,000

1960-1979

Noon

of

equity

less

attractive

There »
shift

seem

investment

chases

investors.

to

market supply

T

m.„,s„ke
the

bonds.

under

have of

Current Market

■

New

Rate-

j

Maturity

1978-1980

3%%

(State)

1980-1982

Maryland, school and various
J
'
purpose issues bought by the
Kidder, Peabody group was
sold down under $1,000,000

Pennsylvania (State)
(State)

'Vermont

Asked

Bid

^4.00 %'

3.60%

f 3.70%

initial

on

3.90%.'

offering. The $15,-

900,000 of Detroit, Michigan,

1978-1980

3.65%

3.50%

3.50%

3.40%

1974-1975

3.45%

3.35%

cal

1978-1979

3.30%

3.20%

and

sold,

Drexel and

New

York

Trust

group

reported about half

are

'

Index

=

3.55%

3.40%

1978-1980

4.05%

3.90%

1980

3.70%

3.60%

1980

3.60%

3.50%

The

1979

3.85%

3.70%

1977

3.90%

3.75%

1977

3:85%

3.75%

due

new

,

(Prices and yields are approximate)
First Callable Date
Chelan

(as

Co.,

Wash.

PUD

No.

Reg.

f

more

favor¬

partly to the
for funds by many

Offering

Net Changes

Yield to

Price

from Prev. Week

Maturity

106

104%

•

sues

+H/2

'1-1-1974

.

7-1-1962

1041/4

+1

4.52%

94

(*)

4.30%

OO

+2

1031/2

4-1-1962

103i/2

5-1-1966

103

1-1-1965

103%

Florida

Turnpike r
31/4%
4-1-1995
Co., Wash. PUD No. 2
37/8% .11-1-2005
Illinois Toll Highway
3%% ; 1-1-1995
Illinois Toll Highway
4%% 1-1-1993
Indiana Toll Highway
3%% 1-1-1994
Jacksonville, F!a. Exp.
41/4% 7-1-1992
Kansas Turnpike Authority
3%% 10-1-1994
Kentucky Turnpike Authority

.

in the

3.90%

Grant

...

3.40%
4%

Bridge

-

.

) 93
,

'

701/2

—1/2
-1/2

5.54%

nent

103

8II/2

+«/2

4.55%

spective

7-1-1967

103

+1/2

4.19%

10-1-T962

103

731/2

+%

4.97%

7-1-1960

104

881/2

+1

4.02%

101

.

1-1-1964

.

108

(*>

921/2

1-1-1958

5-1-1994

104 '

5-1-1962

83

-%

Power

3.10%

+1

4.77%

(«)

3.71%

104

991/2

IO31/2'

94

1-1-1963

103

1-1-1970

103

831/2

+ 11/2

991/2

•fiy?

7-1-1994

6-1-1993

"

4.08%

.

7-1-1960

1031/2

84

103

861/4

6-1-1959

.

4.23%

,

'

6-1-1959

.

.-

103

+1
•

'

•.

3.95%

'

"

+11/4

4.01%

.

83

4.02%

-Richmond-Petersburg Turnpike
3.45%
Tri-Dam
3.05%

,

$210

the

795,000

issue.

When

7-1-1995

Project,. Calif.
7-1-2004

Revenue
9-1-1994

7-1-1963

1031/2

8OI/2

7-1-1959

104

81

9-1-1959

105

85

1

+iy2
+1

(*)'"

4.56%

3.96%

^

.

3.77%

(*) Unchanged.

 *s(


2,000,000

Dist., Mich.

1961-1979

11:00

17,000,000

1970-1998

12:30 p.m.

1,231,000

Water

1961-1989

Noon

1961-1999

8:00

a.m.

(Wednesday)
_

—

District No.

-

School

5,000,000

Parish

p.m.
i

2,665,000
Spec. Tax

County

Natchitoches

7:30

1984

Works

1, La.___-_
Sch. Dist., Texas___

1,000,000

Steeton Borough Authority, Pa.___

1,030,000

Robstown Ind.

October 15
New. Hampshire

(Thursday)
15,991,000

l

October 19
Collier County, Fla.

Local

Common

Housing

D.,

Noon

■

:

.

1,490,000

—

(Tuesday)

Mic?h.__

1,250,000

Authorities-

1960-1988

.102,145,000

8:00 p.m".
T'

—

(SEC)

20,000,000

Quebec?

Montreal,

11:00 a.m,

1960-1974

(Monday)

,___

S.

1960-1988

18,000,000

(State of)

New York City, N. Y._______

Hamilton

p.m.

pro¬

Chesa¬

this

,7:30 p.m.

905,000

Norwalk, Conn.

October 21

however,

million

.1960-1974

October 13 (Tuesday)

/ / -.v.

California

financ¬

(State of)

.

Worth,

(Wednesday)

7,500,000

^

1964-1983

1:00 p.m.

October 22 (Thursday)

.

Lake

Fla.______"___

2,100,000

v

Noon

—

Public Utility Board
recently concluded'" ar¬
rangements for Smith, Barney

October

just
&

Co.

and McLean

handle the

&

Co.

v

'

'i

V
i

'

;

marketing of

$100 million
finance

projects.
.

Noon

Wash.,

Camden

School

to

revenue

Cowlitz

over

bonds to.

River

29

(Thursday)

District, N. J.

3,300,000

1960-1982.

8:00 p.m,

'

November

Enfield,

9

(Monday)

December 1

•

Virg inia Toll
3%

On

Calendar,

8:00 p.m,,

-----

'

ThruWay Authority

Turnpike Authority
31/4% 6-1-1992
Pennsylvania Turnpike Authority

slated for immi¬

1960-1987

3,700,000

October 28 (Wednesday)
(handling the books), and
Willis, Kenny & Ayres, Inc.
Hampton, Virginia
2,500,000
Then, too, the T acorn a, Pennsylvania General State Auth. 25,000,000 1962-1986

^

............

Authority

Ohio

3.10%

4.38%

Authority

1-1-2006

York

(*)

Authority

1-1-1995

4.20%
New

80%

7-1-1958

Powe>-

;

October 20
are no

________

(Monday)

City School Difet., Mich.__

Beverly Hills, Calif

Volusia

5,350,000

—

5.13%

1031/2

10-1-1969

.............

7-1-1988

3.20%

a.m.

1,000,000
ing materializes, the under- Laquemine, La. ___/
writing syndicate, will be
October 27 (Tuesday)
headed by First Boston Corp.,
Los Angeles County Flood Control
Allen & Co., Merrill Lynch,
District, Calif.
21,150,000
1961-1983
Pierce, Fenner & Smith Inc.,

Port Authority

New York

-11:00

1960-1979

.

.

3%%

Garden

.

October 12

•

peake Bay Bridge and Tunnel
Commission, Virginia, reve¬

4.43%

/.

or

flotation.

the

nue

1-1-1989

New York

•is

—■

Turnpike 'Authority

3.30%

scheduled

871/z

1-1-1962

.

a.m.

(Friday)

Rock, Ark.

future.

present, there

104%

Authority

4%% 10-1-1998
New Jersey Turnpike

near

im¬
portant negotiated type issues

5.70%

Massachusetts-Turnpike Authority
Massachusetts

At

4.22%

1-1-1978

.

1-1-1994

Maine

4%

..........

7-1-1994

Mackinac
•

.

North Little

$400,000,000 of is¬

scheduled to be sold.

are

Although next week's total is
relatively light, a real test, at
the present rate of market
improvement, is foreseeable

4.68%

Port
..

than

more

Call
Price

100

1-1-1978

.

7-1-1995

4%

~

11:00

1,153,000

October 9

For the month ahead, already

Airoort

1-1-1999

4%%
Chicago

whole)

a.m;

.1962-1968

1,335,000

Haven,. Conn

October 14

able market and

1

7-1-2013

5%

Chicago-O'Hare

a

p.m.

11:00

October 8 (Thursday)

v

New

Calendar, Denver, Colo.

issue

partly to the

pressure

3.58%

QUOTES AND RELATED INFORMATION

Issue—

7:30

1960-1979

(Wednesday)

District, Fla:

-v

issuers, is expanding rapidly.
DOLLAR BOND

7

Fla._._____________

Heavier Financing Ahead

3V2%
3^%
31/4%
3%%

:____/

1977-1980

3^4%

Calif
Baltimore, Md.
Cincinnati, Ohio
New Orleans, La
Chicago, 111. ■___
Boston, Mass.

1961-1979

26,000,000

____

-

3V2%

(N. Y„ N. Y.)

Los Angeles,

Beach,

bought by a Beverly Hills, Calif
Company, Chemi¬ Jefferson Cons. School

3%%

New Housing Auth.

1,000,000
5,000,000

___'_

October

were

issues

1978-1979

3%
3%
—3%%
3%%

>

Vqlusia

County, Mich.___.— ___^___

due

bonds,

4Vss, priced

l/r'nc1e G ® o r g 0 s County,

Serial Issues

->

Hospital Authority)

_

Walworth County, Wis.

yield 4.20%. The $6,500,000

is to

This

.

3%%

____

Jersey Highway Auth., Gtd._
York (State)
______i.~

New

The
were

'V

Representative

on

■

California (State)

sellout.

a

is considered nor-

year.

p.m.

group

well 1995-1999;

now

mal, particularly at this time

companies

Sch.

Unified

Volusia County, Fla. (West

Miami

reported by
is

million.

$2G0

.

Companies

Connecticut

as

List,

less than

i
Heavv Buvinir bv Insurance
eavy ouymg ny msu ante

Insurance

Blue

;

•

preporti^ The

part of such, funds into street Float,

longer term tax-exempt

to

tcv/a

.J

(Tuesday)

___

Calif.

headed by
Blyth & Company. It was re-

enough to reduce the

secondary

,,„„g .end.ec, ..

,

(9/29)

.

Rockingham Co., North Carolina.

l^ayne^

-

Floyd Co. Building

-

Authority,- Ind.

Torrance

The

,

6

Pittsburgh, Pa.

Sunnyvale,

__„

1960-1978

October

>

Albany

;

:

Noon

Dundee Community S. D., Mich.__
New

Noon

*
1962-1998

_ _

and

Noon

___

.

types' of

1:00 p.m.

•

• -i-v

_

v

Noon

''._w r'y"-

Pharr-San Juan-Alamo Ind. School

District

.

$6,500,000

_'

(Tuesday)

Conn—1

dam

Columbus/Ohio-.

2,000,000

___■_

10,010,000

^t__

1962-1986

—

Noon.

_

Volume

Number 5886

190

.

.

.

The Commercial and Financial Chronicle

You

(1355)

always benefit

by saving at The Dime

most

IN INVESTMENT FIELD

Oct.

-

1-2,

1959

(Kansas City, Mo.)

Southwestern
ment

nual
and

Group
Invest¬
Association an¬

-

Bankers

party at Hotel Muehlbach
Oakwood Country Club.
-

Oct.

2-3, 1959

(Dallas, Tex.)
Security Dealers Asso¬

Dallas

ciation annual field
day at the
Ridglea Country Club.
•

Oct.

14, 1959 (New York City)

New

A.

York

Group

Investment

Bankers Association of America
39th annual dinner at the Wal¬
dorf Astoria.
Oct.

14-17, 1959 (Philadelphia,
Pa.)
Consumers Bankers Association
39th

annual

convention

the

at

Warwick Hotel.
Oct.

20-23,

1959

National
visors

of

Hotel.
_

(of Super-

Association
State

convention

.

(Hollywood-by-

the-Sea, Fla.)

s

Banks

at

The

annual

.

Diplomat

•

Oct. 22, 1959 (Cincinnati, Ohio)
Ohio Group of Investment
Bankers. Association annual fall

meeting.
Oct.

25-28,
.Fla.)

1959

(Miami Beach,

'

;

American

Bankers

Association

Annual Convention.

*

Oct. 30-31, 1959 (St. Louis, Mo.)
National Association of Invest-1;

inent

Clubs

annual

convention

at the Sheraton Jefferson Hotel.

Nov.
•

1-5, 1959

(Boca Raton, Fla.)

National Security Traders Asso¬
ciation
Annual
Convention
of
_

the Boca Raton Club.
"

Nov.

18,

1959

A YEAR

(Minneapolis,

Minn.)

t

.

Twin City

Investment Women's

'Club dinner and

meeting at the
Can Can Room, Hotel Dyckman.

Nov. 29-Dec. 4, 1959 (Bal Harbour.
•

Fla.)

«

Investment Bankers Association
Annual
Convention
at
the
Americana Hotel.

,

*

April 6-7-8, 1960 (Dallas, Tex.)
Texas
Group
of
Investment
•Bankers Association of America
•

25th

annual

•Sheraton

meeting

Dallas.

the

at

FROM DAY OF

•

Los Angeles Office

COMPOUNDED

Opened by McDonnell
LOS ANGELES, Calif.—McDon¬
& Co. Ihc., members of the

DEPOSIT

QUARTERLY

Anticipated for the quarterly period starting October 1, 7 959, providing favorable earnings continue

nell

New

York

and

Exchanges,
office
510

in

has

American

opened

the

Security
Street,
it

Spring

Building,
was

an¬

nounced

by T.-Murray McDon¬
nell, President. Leon H. Grayson
and Roland Seidler, Jr.,.
formerly
with

associated

leading Los
Angeles member firm, have been
appointed Resident Managers of
the new office, the eighth in the1

McDonnell

You

Stock

branch

a

a

can

bank

on

it

—

you'll always benefit most

by saving at the Billion Dollar Dime. Start

now

and

get all the advantages of extra dividend days at the
new

high rate. Deposits made during the first ten busi¬

ness

days of October will

ber 1st.. Come

in

earn

Account—$20,000 in

when you

and

dividends from Octo¬

bank by mail

supply
You'll

you

coupon
as

little

below to
as

$5

any

of

our

four offices

open your account

as

much

as

or use

the

by mail. Start with

510,000 in

an

Joint

or

Trust Account. You'll

we pay

as

Trust

the postage both ways

with free self-addressed envelopes.

like The Dime

Now
and

to

a

get super-speed service at the Billion Dollar Dime. And

—

everybody does.

Accounts —Guardian

and

Fiduciary

Individual

Charitable

Organization Accounts.
"""""""""
•

"v
.

Inc.

in

1905,

was

national
cate

in

an

the

brokerage

a

1913.

West

&

first

the

to

lo¬

houses
Coast

when

it

I

of '$' •'

'

*

V

_

Headquarters of the firm are at
Broadway, New York, with
branches

located

in

New

York

City; Chicago, III.; Detroit,
Mich.; Los Angeles and San Fran¬
cisco, Calif.

With Prescott Co.

is

now

Ohio—Roger
with

Prescott

&

Midwest Stock Exchanges. He was

Merrill

Lynch,
Pierce, Fenner & Smith Incorpo¬

rated.




my name alone

j D Jointly
1

OF BROOKLYN

□ in

O In

with [ p'fc.aseJ

trust for

[p,e*s.el
1 Print J-

|

u Mr.

Co., National City Bank Building,
of the New York and

with

|

H

Pn^
□ Mrs.
S.

n^embers

formerly

..wSrr"—".

1

SAVINGS BANK

(Special to The Financial Chronicle)

CLEVELAND,
Struck

J enclose deposit

'

120

major

'

Co.

of

branch in San Francisco
-

'

"investment

McDonnell

among

the

on

opened

as

,

Accounts, Club and Society Accounts, Church and

organization.

Established

firm

t

always...Headquarters for Individual/Joint

••

DOWNTOWN

...

BENSONHURST. 86th Street and
FLATBUSH

....

Ave

J and

federol'Deposit

19th Avenue

Address

Coney Island Ave.

CONEY ISLAND. Mermaid Ave
Member

—~

Q M/ss

Fulton Street & DeKalb Ave.

insurance

&

W.

17th St.

Corporation-

City, Zone No., State

Cas^jiouJd^umjegiuered mail.

*24-CFC

.

1

I

•*$j/r**.

r

The Commercial and

Financial Chronicle

.

.

Thursday, October 1, 1959

.

(1356)

8

Company—Analysis—De Haven &
Land Title Building, Philadel¬

Brunswick Balke Colleilder
"

'

phia 10, Pa.

-w

.

t

Investment Recommendations

York

5, N/ Y.

IT IS UNDERSTOOD THAT THE FIRMS MENTIONED

■

•

..

WILL BE PLEASED

;

FOLLOWING LITERATURE:

TO SEND INTERESTED PARTIES THE

navy—Atomic Development

Burnham View

Securities Co., Inc.,

Monthly Investment Letter

—

current Foreign

in

able

Oil

Canada's

Letter.

•

■

,

_

& Company,

Gas—Analysis—Draper Dobie

and

Also avail¬

N. Y.

Company, 15 Broad Street, New York 5,

•

Burnham and

—

Glass Container Industry—Report—Reynolds &

Ferro

Y.

;

Co., 120 Broad¬

Mitsubishi Heavy Industries,

analyses

brief

and

1959

Japan/for

New

of

Nippon Flour Mills Co., Iwaki

York.

ah up-to-date com¬

Lock

U.

S. Industry

Investor, American

issue

articles

Public

porated,

♦

•

&

Wall Street, New -York 5,

Street, New York 4,

N. Y.

Southwestern

cantile

Also in the

Co.,

same

25

Broad

circular is

—

Memorandum

Schuster & Co., 3.7

Street, New York 5, N. Y.

-

Broadway, Long Beach,. N. J.

York 4, N. Y.
Inc.—Analysis—May

Analysis

—

—--

Co.

&

Incor¬

Boenning & Co., 1529 Walnut
Company—Annual

Street, Boston 9, Mass.
Carbon—Analysis—Halle &

New York 5,

Vapor

quar¬

-

Also available is

Stieglitz, 52 Wall Street,

Street, Chicago 3, 111. .!

in

gen¬

munic¬

anniversary in the securities busi¬
■

-

Offcers

and

President

liam

Charles

are

F.

Treasurer;

Jones,
Wil¬

Croom, Robert King, Jr.,
Duff,
and Thomas

D.

Erskine

W.

White, Jr., Vice-Presidents; Mar¬
garet Bullock, Secretary and As¬
sistant Treasurer; and J. William

and

Secretary

Assistant

Bonner,
Assistant

West Virginia Pulp and Paper

dealers

and

ipal bonds, is celebrating its 20th
ness.

Corporation—Analysis—Swift, Henke

sell & Meeds, 120

Anniversary

DURHAM, N. C.—First Securi¬
ties
Corporation,
111
Corcoran,
Street, underwriters, participating

John R. Maher Asso¬

—

N. Y.

Heating

20th
-

eral market securities and

and

Bank

135 South La Salle

Wall

First Securities

distributors

Service

Electric

has

department.

trading

Gannon,/Inc.,

&

reports

—

an¬

Jacobs

Edwin

that

their

joined

City, has

York

New

nounced

Wall

Company, 37

and

Greene

Street,

Milk

United

Jacobs

Edwin

I. George

analysis of Douglas Aircraft Company.
Studebaker-Packard—Analysis—du Pont, Homsey & Company,
31

—

—

an

a

York 4, N.

Son, Inc.

Memorandum

Montgomery Street, San Francisco 6, Calif.
&

Co., 14 Wall Street, New York 5, N. Y.
&

—

ciates, 32 Broadway, New York 4, N. Y.
Statham Instruments, Inc. — Report — Dean Witter & Co., 45

N. Y.

Steel—Report—Thomson & McKinnon, 2 Broadway,
Y.
Billups Western Petroleum Company—Report—W. E. Hutton
&

111.

Building, Dallas, Tex.
Sovereign Resources, Inc. — Analysis

Hogle & Co.,

Bethlehem

Bird

& Co. Incorporated, 39

Leason

terly reports—Southwestern Electric Service Company, Mer¬

review of Gimbel Brothers.

New

—

Street, Philadelphia 2, Pa.

»

Foundries—Review—Hirsch

Steel

& Co., Inc., 74

Donnelley Sons Company.

Ltd.—Report—Ross, Knowles

Aluminum Co. of America—Memorandum—J. A.
40

are

Reheis Co., Inc.

Co., Ltd., 25 Adelaide Street, W., Toronto, Canada.

American

&

Mason Street, Milwaukee 2, Wis.
Also
on Basic Products Corporation and R. R.

East

225

available

porated, 110 East Wisconsin Avenue, Milwaukee 2, Wis.

v'i-?- '•

and

.•</'

Corp.—Memorandum—Loewi

Plastics

Northern

Investor—American

Corporations—Data—Robert W. Baird & Co. Incor¬

\

Also

Building, Denver 2, Colo.

Market—Dis¬

Also in the same issue
Inc., Tenney Engineering, Maine

Abitibi Power & Paper Company

,

Federal'Street, Boston 10, Mass.

140

Service, Spencer Shoe Corp.

Wisconsin

Co.

&

Becker

Greene and Company

Mortgages Inc.—Memorandum—Russell Investment Co., Boston

$1.00 per year.

Rolls-Royce

on

American

of

Report

Associates,

Microwave

Stock Exchange Building, New York 6,

N. Y.—15c per copy;
are

West-^-Booklet

the Challenge of the Common

&

October

in

Growing

G.

Edwin Jacobs With

,

Stores Corporation—Analysis—Gude, Win-

Weston & Sons, 210

industrial

the

Prior thereto he was

officer of A.

an

Mergenthaler Linotype Company—Analysis—Herzfeld & Stern,

Light Co.,

cussion

—

30 Broad Street, New

on

in

Chest

R. E. Van der Naillen

F.

Swift & Co.

Wall Street, New York 5, N. Y.

mill & Co., 1

"

opportunities in the area served—Utah Power &
Box 899, Dept. K, Salt Lake City 10, Utah.

Treasure

was

Street, New York 5, N. Y.

Merchants Trust Co. of Red Bank

Car Rental & Leasing Companies, Parts & Signal
Companies and Car (freight and passenger)
•

Ex¬

change,

Henry

Company—Report—Harris, Upham

South La Salle Street, Chicago 3,

Manufacturing

Manufacturers.

Stock

Analysis—Milwaukee

—

San Francisco 4, Calif.

McCrory McLellan

Cars—Report—Bache & Co., 36 Wall Street, New York 5,
Y.
Also available is a report on Railroad Equipment

Stocks,

Coast

Pacific

Power Company.

Harvester

Macco Corporation

over a 20 - year period—
Inc., 46 Front Street, New York

4, N. Y.
N.

a

Weeks, 40, Wall

&

Pipe Company—Analysis—Walston

Joint

Wall

*

Small

Naillen,

member of the

Co., 120 Broadway, New York 5, N. Y.

performance

market

der

Electronics—Analysis—William R. Staats & Co., Ill

Sutter Street,

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

and

iness. Mr. Van

Company, Inc., 201 North

Company, 207 East Michigan Street, Milwaukee 2, Wis.
available are reports on Fisher Governor Company,

International

yield?

St*.,
in a

securities bus¬

formerly
a
partner/ in

.

Company-—Analysis—Hornblower

Hoffman

'

National Quotation Bureau,

Pine

to engage

-'

Southern Nevada

—

Over-the-Counter Index—Folder showing

301

Company—Analysis—H. Hentz & Co., 72 Wall

Street, New York 5, N. Y.
Great American Insurance Company

of the Steel Industry.

Information

Co.,

St.,Mary's Street, San Antonio 5, Tex.

Yamaichi Securities
Company of New York, fnc., Ill Broadway, New York 7,

Japanese Stocks—Current

&

e n

v

4, N. Y.

Gillette

,

Cement Co. and a survey

Calif.-

«»»»«

formed

Street, New York 5, N. Y.

Securities Co., Ltd., 61 Broadway, New York 6, N. Y.
Also
available is a review of the outlook for Plant and Equipment

in

Also

Street, Philadelphia 9, Pa.

Frito Co.—Memorandum—Dittmar &

current

Expenditures

.

der Nail-

1

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

York

a

with offices at

Stone & Co., 25 Broad Street,
Also available is an analysis of Owens-

4, N. Y.

Fischer & Porter

Stock Market—Study of changes in postwar years—
issue of "Nomura's Investors Beacon"—Nomura

Japanese

has

Corp.—Repopt^Hayden,

New York

'

Van

Van

Memorandum —Woodcock, Hess,

—

Illinois Glass Company,

available is a memorandum on

way, New York 5, N. Y. Also
Northwest Bancorporation.

In

Dura

Generation—Analysis 1954-1958—Edison Elec¬

Institute, 750 Third Avenue, New York 17, N.

tric

Seal Co.

&

-

Moyer & Co., 123 Sputh Broad

.'■V 1 Wall Street, New York 5, N. Y. Also available is a review
of Insurance Stocks and reports on Columbian Carbon Co.,
-Falstaff Brewing Corp. and Gillette Co.
Fuel for Elecfric

Cork

Crown

Co.,. InjL,

Industry—Review—A. M. Kidder &

for

York 5, N. Y.

FRANCISCO,
E.

Naillen

der

are

Wisconsin Electric Power Co.

Ltd., 25 Adelaide Street, West, Toronto, Canada.
Electronics

SAN

Ralph

wealth Edison Co., Dayton Power &

use

Street, N. W., Washington 7, D.; C.,_:_^.

1033 Thirtieth

Merrill Lynch,

—

*

•

,

(Special to The Financial Chronicle)

reports on W. T. Grant Company, Common¬
Light Co., General Pub¬
lic Utilities Corp., Interstate Power Co., Iowa-Illinois Gas& Electric Co., Kentucky Utilities Co., Otter Tail Power Co.,
Public Service Co. of Indiana, Public Service Co. of New
Hampshire, Public Service Electric & Gas Co., Southern /
Nevada Telephone Co., Texas Eastern Transmission Corp.,
Upper Peninsular Power Co., Utah Power & Light Co., and

available

and nuclear

\

.

Memorandum

—

Co., 15 Broad Street, New

&

curities

development in radiation

58—Current

Letter No.

Atomic

Corp.

■

rTPierce, Fenner & Smith Incorporated, 70 Pine Street, New
York 5, N. Y.
Also available are memoranda on Gimbel
Bros., Madison Fund, and North American Car Corp.
Chicago Pnuematic Tool Company — Analysis — Montgomery
Scott & Co., 120 Broadway, New York 5, N. Y.
Colorado Fuel & Iron—Analysis—Eastman Dillon, Union Se¬

.

.

:

,.

General

Carriers &

an(i Literature

Forms Own Firm

Brothers—Analysis—Hardy & Co., 30 Broad Street, New

Butler
-

Ralph Van der Kaiilen

Townsen, Crouter & Bodine,

Dealer-Broker

Treasurer.

Co.,

&

.

Company—Analysis—Laird, Bis-

Harry Goldberg

Broadway, New York 5, N. Y.

in

partner

Goldberg,

Harry

Steiner, Rouse & Co., New York
City, passed away suddenly Sept.
All these Shares

having been sold as

a

appears as a matter

speculation, this announcement
oj record only.
T
T.-:;

22

Firm Trading Markets in.

I

LISTS

200,000 Shares
w

Space Components, Inc.
-

WASHINGTON, D. C.

"■

*

ulative

Share)'

per

t

.

*

venture.

'■'<
.

■

^

l»«»

74

Trinity Place, New York 6, N. Y.

HA&orer 2-2400

*




.

...

Teletype NY 376,;.377; 378

/

New York

5, N. Y.

...

.

:

&

limited.

Earl Edden Co.

;

;

67 Wall Street

re¬

67 Wall Street
New York 5, JS« Y.

newest catalog
premium "qualitythe U.

lists

Canada

Write today for
Dept. C.

to

covering

Latin

America. Edition
your

free

dunhill

Underwriters

BertnerBros.

list

Dunhill's

5,000

tested"

copy

Troster, Singer. & Co. /

mailing

complete

CDCC.

Price $1 Per Share

Members.New York Security Dealers Association

cf

hundreds

of ambitious
invest in spec¬
Call Dunhill for

names

quirements.

features
1

of

,

your

(Par Value 10c

supply

can

e

thousands

Americans eager to
.

Capital Stock
-

55.

MAILING

October 1, 1959

(a)< Operating Utilities
(b) Natural Gas Companies
Transmission, Production

of

age

1

NEW ISSUE

& Distribution

the

at

,

| INTERNATIONAL LIST CO., INC. |
"

j Dunhill
■

j-

Building:-444 Park Ave,, South |
New

York

MU 6-3700 "

16,

N.

Y.

TWX NYL 3153

■L
190

Volume

'

l^umber 5886 . . . The Commercial and Financial Chronicle

Inflation and Stock Prices

(1357)- 9

Therefore, although the condition
may be temporary, it is interesting to observe that stock yields

.

exceed

Do Not Go Hand in Hand
•

«

'

'

'

two

•

.

City

yields

these

nine

in

only

nations.

now

is

&

Weeks,

Beliefs generally held by,

(

classical

a

t

preached to, investors are exploded;

or

theory is confirmed; and investors

ures

advised that past

are

to

ones

bear

in

market

will

stocks

drop

low

as

as

ten

years

attributes present bear market to correction of share

and

ago

nations

;J: ->■' /;

/ ■

price inflationary rise. /./ ;■
■y.V
:■

:

i

four
de-

securi¬

purposes.

the

ties

those

share prices.

More

of

happens

nations:

importantly,
study

inve stment

tions

a y

condi^

exotic

and

in-

vestment

trends

i

other

n-

us

und

stand

er

If

to

the

at

lands ;

helps

to

15

occur

f

a

happen in
teaches

m

years

there has

of

end

between

interest

rates

the

when

e

fact

that

unexpected things

Tn^tor

the

United

building
wide

for ten

up

and

The

&

thm has

world

years is

confined

not

United States.
nine

the

to

In every one of the

included

nations

the

in

tabulation

below,
share
prices
risen, from 67% to 1,060%,

have

in this

rn>hp

decade.

and

nations

anywhere

who

at

in

war

before

scientific

science

a

the

discovery

is

r—Present

research
20

as

times

have

toward

trend

the

inflation and about the advantages
of

stocks

common

investments.

thing
that

But

long-term
a
good

as

4.8%

England-

4.6

4.1

3.9

7.5

more

urge

-against;

the

investments

3.4

5.4

and

for

students of human emotions, these

and

partner

office, who

was

will

erations,

3.4

5.4

fascinating

increasingly
exciting.
•
are

V 3.0

4.1

f

his

of

-

primary

He

has

concern

been

with

were
Chicago.

in

the

firm

3.6

Chairman

become

Harry H. Wildeman, who joined

H~

Leo

as

Gillesoie

^who ibinerl"in

general partners

on

Oct. 1. Mr.

associated

became
blower

Weeks

He

1929.

with
in

will-be

Horn-

Chicago

in

succeeded

in

Chicago by Charles R. Perrigo.

cornera

&

William

R.

joined the firm in

group of trained security analysts

Umited

most rapidiy.

substantially

DeDartment in the Chicago office-

Vnd

Mr

1920, will be-

Lfnfs
will

the

of

"growth

of

wilF

Hornblower

&

I

This advertisement is neither

an

offer to sell

Any offering which

may

nor a

New

3.2

his

headquarters

.

-

Joins Emch & Co.

Share

Bond

Prices

Yields

%

%

S.

Living Income
%
%
11

1,060

—38

385

—18

+ 83

and

+ 77

+ 20

+

solicitation of offers to buy

any

of these securities;

be made will be by Prospectus only.

GENERAL CONTRACT
/FINANCE CORPORATION

73
78

A.

+

+ 170

284

—

4

+ 30

+

;

211

—25

+ 33

165

+ 80

+ 26

+

127

+ 46

+ 50

+

106

+ 25

+ 41

+ 112

8

+ 11

+

Policies Needed

Value)

80

Holland

($20 Par

90

England

Preferred, Series A, SV2%

+ 203

Canada

Convertible

Italy
Japan

67

Switzerland

+

Price

63

.

Theories Exploded

Thoughtful

examination

average

of 474%, whereas in

^e three»nations with the most
inflation, share prices rose only
206%.
ments

in

Canada

will

share

per
from

October

1,

1959)

of the

Copies of the Prospectus

be

he obtained from

may

States in which such underwriters
in which the

that in the three nations with the
least inflation, share prices rose
an

$20

(Plus accrued dividends

any

qualified

are

Prospectus

may

of the several underwriters only in

to act as

dealers in securities and

be distributed legally.

.

G. H. Walker & Co.

Blyth & Co., Inc.

Glore, Forgan &. Co.

Edward D. Jones & Co.

-

A. G. Becker &. Co.

intef-

White, Weld & Co.

A. C; Allyn and Company, Incorporated

Incorporated

Alex. Brown &. Sons

'

Actually, when looking toward
the future, nothing is certain but
change.

The

next

ten

years

are

likely to be very different indeed
from

the

last

Those

ten.

most

willing to take great risks have
been handsomely rewarded in the
last ten years,
years
more

but in the next ten

different policies
profitable.

may

is not likely to carry

prices

as

the

bear

market

growing

that

having risen 44%

less than U. S.

Another

is

the

idea

theory
that

causes a

popular

today

rapid industrial
shortage of capi-

tal, with resulting higher interest

rates.

Therefore,

it

is

thought.

low provoking to see that the two
ended nations that enjoyed the greatest

as.

increase' in national income are
also the two nations with the
of creeping greatest declines in interest rates,

because
/inflation, at the rate of 2% anAll our lives, we have been
riually in the iast ten years, there taught that stocks normally yield
income,

and

"

is

good reason for a

long-range more




W. E. Hutton & Co.

'

Dempsey-Tegeler &. Co.

Loewi & Co. Incorporated

Newhard, Cook

Co.

Reinholdt &. Gardner

.

share prices.

in 1949. Because of
population and national

ten years ago

Equitable Securities Corporation
Bacon, Whipple &l Co.

prices appear much less inflated,

be growth

The next bear market in stocks

.

'

ested to see that, while national
income in Canada rose 24% more,
than U. S. national income, share

than

Government

bonds.

Scherck, Richter Company

Stifel, Nicolaus & Company, Incorporated

Blunt Ellis &. Simmons

Boettcher and Company

The Milwaukee Company
A. G. Edwards &. Sons

Rauscher, Pierce &. Co., Inc.
Stix <Sl Co.

Cruttenden, Podesta &. Co.
'

Fusz-Schmelzle &. Co., Inc.

I. M. Simon &. Co.

Harold E. Wood & Company

:v

Company, 3965 North 60th St.

200,000 Shares

+ 140

296

+

Germany
France
U.

Natl.*-

Cost of

* "
W

Kiles has joined the staff of Emch

Ten-Year In&rease

,

He

MILWAUKEE, Wis.—Kenneth L.

September 30, 1959

780

2.5

2.0

in

Boston,

Issue

1,250

5.3

Switzerland
France

be

Weeks'

offices in New England

have

partner.^ senior

to

GiUespie

charge of the OmSrations Depart-

seven

who

Rovensky,

».«

tlviUes ,n the Corporate Financi

810

S.

since

1953.

2,150

2.6

Italy

-Those of us with large invests

.

New Investment

activities

Finance Department, which

M

W111

410

A.

Germany

U.

will

and

himself with
the
Corporate

„

1,550

710

"

days

office

250

Canada

stock

widespread; is the human
to get on the bandwagon. For
of

senior

unexpected

even

have enjoyed rising

students

York

concern

"

prices for many years, some peo- facts tabulated above reveals the
ple are beginning to believe in a danger of relying on some of; the
perpetual bull market.
We see economic theories currently popumore and more people who think
lar here. For example, there is a
that by dabbling in stocks in their popular theory that inflation and
spare - time
they have found an increasing cost of living neceseasy way to get rich quickly. The sarily lead to higher share prices,
longer the bull market lasts, the Therefore, it is interesting to see

-

the

of

-

.

"

$1,000

Japan

be carried too far. Now

can

we

E.

New

continue to

7'

;

the

to

s

*"•>.•'

'

Walker,
another
partner, is also moving

Capita

in

than 20 years, I

about

per

Yields

Holland

r^pid. The

so

to

least

at

more

Howard

\

*.
P.

Natl. Inc.

,

Govt. Bond

5.0%

of

1

For

r

Street,
consdltants

as

sense.

rate

great as it was in any yeaf before
the second World War.

written

1934.

Chicago

New

Wall

40

in

Stock

earth

military

investments

about

Yields

two

no

the

on

was

devoted

effort

•

Weeks in

Clifton

For

Committee,
Hornblower

joined

>

the firm.

to

make

the

in

to

1930, will be admitted to the firm

best-developed securities markets:

the long his¬

tory of the world there are

Never

trends

_

for the first time in

back^ow^n one of

those nine nations which have the

the "golden decade."" Al¬
nation has reached a
peak of prosperity. Probably

are

Walker

suffered

States

Therefore, we are
tabulating here some of the facts

every

new

Executive

office

at

and

Rovensky

headquarters

e

: senior

11 -ye a

*

Mr.

responsi-

will continue

be-

'f Chairman!
the

.

nation.

one

as

most

Howard E. Buhsc

Both

Antell

where they will act

continually searching for best Partner m years, Mr.York office
the New
for
many
Rovensky
the Possibllities of the next ten bargains and for particular cor- has been active in all divisions of
-vears' ,« is especially important porations likely to forge ahead the business and has contributed

The 1950s may go down in his¬

tory

in

ha.'alwav.* tory and try to look forward to

optinfism

and

optimism

of

firm's

Austin

formerly

was

Rovensky's

York

y

t h

e

which

Mr.

their

Jr.,

-

will

m

C.

1942.

assume

Hornblower & Weeks in 1953, and

investing is

As -look

happen and

can

.wvclmuav

pessiinism

o

L partner.

mind, continuous study and criti-

;ormal, and sooner or later^ a and often restudied. The
" J
correction can be expected. st0ne of successful

most

been shbiec* to extreme Waves of

w?ve

c

since

Buhse,
formerly
in
the
Chicagq
in charge of the

^

the

Walker,

partly1 by diversification and
.ooiy 20%. inflation, share prices partly by long-range investment
rose 296%. Such a rise exceeds programs carefully - thought out

economic theories and fads popular hereY It gives us deeper re-

for

]vjr

T.

h

p

also

cal jadS™en.t- Changes of trend firm's extensive Mid-western op-;

major

Mn

n.ff b

e

o s e

who
-

open

next

the

100% higher. In the last ten years,, selves
John M. Templeton

....

spect

"J

0f

bilities.

an

a n.n «o umce-

;

firm

one

ac-

can

to

question "t h

price

will

head the Underwriting-Syndicate

ifSJ' whCSPfarmJlth,h.0; ^arSTWi".n0t bc best
V,e"exl will move; to-the'.firm's main;
days> level, which is more than io.
Investors
protect "them-* office in New York. Mr. Buhse

our

us

share

__

nation. It

own

average

J?®
•??
°?cur wh®n least expected. PollJ,.I. A. That figure itself looks cies profitable for the last

D.

*.

c an

,

parity
Japan

after

years

_

wh

only 152%. '

been 'a

bear market low

a

m^htWno? Im hSm

; clearly

-more

the

was

in
in

and

charge of the
department relinquished by Mr.
Antell, and George T.> Flynn will

broker-r

age.house,
cording to

in-

rates

Department,

d. Department,

a n

and-

Research

a

Barker will

h

banking
stock

(7.5%)
and Switzerland
the 1949 bear market low, then (3.2%) is likely to decrease, and
there are good reasons why that so is the. disparity between stock
low should be about 80% higher yields
in -.England
(5.0%)
and
than the 1949 low of 161 on the France (2.0%).
"
:
: :
; :
Dow
Jones
Industrial
Average.
Successful investing is not an
Unless pessimism is more severe
easy
job.
If requires an

the

of

the
rates

tendency for bond yields
to equalize between: nations :apd
in this nation seem to justify* a also a tendency for stock yields
long-term upward trend of abour to ; equalize;*. .'Quite % possibly this
4%,'
compounded
annually;
in'tendency will continue. The dis-

Firstly, it leads to disof attractive opportunities

in

interest

:During these 10

.

Travel/and study of stocks and' upward trend in share prices. In
bonds in other nations serves two mother words, basic economic forces
covery

where

creased,

'*'/ •••;""

"

In

interest

rise

prices outpacing
r

V-

above.

where

the

New
York City,
leading

clined, the* average share price
rose
485%; whereas, in the five

in next ten years.' Mr. Templeton doubts the next

pursue

shown

nations

•

decade's handsomely rewarding policies may not be the profitable

located

office

limited partner at that
time. He has been associated with

Street,

•

•

become

Wall

40

York

off the

Statistical

important changes are to take
place in the, 71-year-old firm of

Hornblower

Antell,* also

New

-charge

of

y
It is a classical theory that Ris¬
ing interest rates exert a restric¬
tive' influence oni? share prices.
This is substantiated by the fig¬

?

the

Effective Oct. 1, 1959, a number

in

Japan.

Tristan

.*

The

now

disparity

France and in

President, Nucleonics, Chemistry & Electronics Shares, Inc.
York

of

greatest

•

.By JOHN M. TEMPLETON

New

bond

Hornblower & Weeks to a leading
position in the underwriting field.

Executive Changes at
Hornblower & Weeks

Smith. Moore & Co.

Yates, Heitner

Woods-

10

The Commercial and. Financial Chronicle

(1353)

attempt
of
the Coal
and Steel Community born out of
the
fertile
imagination of Jean

Position

economic integration was

on

proposal.

.

integration by
protectionist France, now committed to liberalizing trade within EEQ,
and free trade Britain which joined the Coal and Steel Community,
but not EEC, and now is forming the Free Trade Association, pictures
the rupture over economic

A French point of view on
•

i

"|

the

Until

in

20th

countries

in other
too robust to
also

been

had

nation-

century,

France, as

uni-

accept political or economic

Jiqation at the

of

expense

tional

na¬

economic:

tinental
tem

being

rightists

moderate

success.

Paul

Alpert

It was,

however, a French statesman, Aristide
Briand," who during the interwar

of

Customs

European

a
is

easy

to imagine what

might have been the consequences
the

of

implementation of

^ern}aay s

■

War

II

.

revolution

Nazi

the

such a
World

and

mi£ht have beea avoided.

in the Marshall plan,

jn particular

which emphasized

European eco-

Lorraine.

French
gradual rise

the

parts

With
of
Germany, due mainly to

larly Jn
Western

in

influence

the^ cold war, it became obvious
that the
B^nn Government would
not

accept much longer such uni¬

lateral

control

Monnet's

public opinion was not yet
ready to accept it.
Not only had
£his proposal been resisted by
Great Britain, but in France too,

protectionist tradition.
support was far from unanimous
a

scheme

its

over

resources.

proposal solved this dif¬

coal

divergence

rapidly apparent

a

views
between
Francej
the

of

Bdtain

latter

representing

it had in

and

an approach
with most other

common

countries of the
U.K.'s

continent.

Oppositon

easier

to

barriers

and

resistance

movements

on

especially of steel, such
had
been
relatively

to overcome.

easy

of

Schuman

of

has

experiment
cessful.

increased

82%,

the

for

whole

a

from

has

Community

1950

of

rate

a

suc¬

of, steel

1958

to

as

by

nearly

progress

the experience of disaster during

-

during which the idea of European
unification
under
the slogan of
been

European
the

Orders"
for

cover

the

had

—

atrocious

oppression and exploitation of the
continent
by
the
Nazis,
might
have destroyed its appeal. How„

ever,
Ideal

the opposite occurred. The
of supreme sovereignty of

national

states

equal to that of the Soviet Union

during

had

suffered

a

tion

was

an

of

not

only ready to
integration with limita-

war,

national

higher

blow

in

war

all

uental

as

result of the

a

countries

^Western

volved

in

sovereignty, but
subintegration, as
a
establishing a permaof
solidarity between
states,
overcoming

conti-

of

in-

Europe

conflict.

the

All

of

monwealth

to

to

extent

power, was

an

ready

accept only cooperation of a
limited scope, such as for

liberalization

ence

unable

integrity

or

to

even

preserve

independ-

and had had to submit to for-

„eign occupation. The

practical lim-.

nations of the traditional exclusive

of

concept

n

great

a

extra-European

Germany, had been, at one time

^another,

nad

nationalism

became

trade under

more

and

continental
States

and

more

Soviet

War

dominated

super-states'

cessity for the

Union

the

ne-

European'statesMto

of

the

inter-European
O.E.E.C.

it

Thus

a

York

elation,

talk by Dr.
Alpert before the
Metropolitan Economic Asso-

New

of
d

e r

t h

a

Paul

t

set
,

Communists.

and

The latter have

virtually.extermirCommunist

in

moderates

countries and regard trade

York

City.




Britain and other industrial coun¬

tries.

still
ice

They have rendered and are

rendering
the

to

immense

an

Communist

serv¬

cause

by-

done their utmost
to assist the Soviet Union towards

have

Britain,

economic

the

winning

.

contest

same

are

Communist

other

and

been

countries

forging ahead unhampered by
obstructionism.

union

trade
course

I

can

only

in

Britan

conditions

speak
on

Of

about

the

basis

of first-hand

knowledge. But from
what I read and hear about con¬
ditions

in

the

United

States,

any

to France, while during pacity.
/_. '
eight years growth of r its
(2)
to the adoption of
steel production had been slower labor-gaving
equipment for fear
than in Germany, only 69%; this of redundancy slows down auto¬

As

Rp^tance

mainly^due/to the fact that
of
production
in - the

recovery

mation.

.

,

Council
and

authority for the
Europe in economic

of

political fields and limited its

ence.

a

Purely moral influ-

"

i

c

•!

rs

•

±

v
•,

refusal of Britain to make
aay. comrnitment to a real eco-

/

iuSfifJ^n ?£l

-

.mj;e|ratloa

SXfSiS
and *0 enter -into closer

agree-

ment wltn other Countries Of the
willing to do so.

continent

that

social obstacles

or

of

the

qf

progress

There

Russia.

to

is

in

none

There

the

onlyprogress of automation is
the limitations ,of techno¬

logical "possibilities.

/

Short-sighted trade unionists in
the West, pursuing their policy «ff
unenlightened
self-interest, dis¬
courage the progress of automa¬
tion, either by. directly opposing
it, or by insisting on terms which
tend to make its

itable,

restrictive

conditions

mo

netary

handicap its prog¬
They.prevent the consumer
deriving any benefit from,

policies
ress.

from

must

automation

in

They

prices.

form

It

is

of

the

for

high

true,

themselves

form

want

benefit

entire
the

adoption unprof¬

creating

by

or

which

in

lower

wages.

being

trade

of

to grab the
themselves in
consumers
would

unionists

stand to benefit through an effect
of increased

productivity on prices..
besides
themselves,
too, would benefit by it, and that
others

But

would

The

do.

never

hard-faced,

trade union bosses want the entire
benefit

their

for-

members.)

In

their short-sightedness they go so

(3) Terms

that,

benefit

in

of

other

with

Britain

States

is

than

rather

-

Ahey

Unions both
United

the

in

engaged in action that

are

bound

and

shares the

classes,

moment Trade

very

to

handicap

production

and will tend to narrow down the

gap

between the standard of livT

ing

in

in

Communist countries

the free world./
In
Britain
the

and.

Amalgamated

and Shipbuilding
just put in a demand
for a big increase in wages and
a reduction of the working week.
Whom the'gods want to destroy
Engineering

•

Unions have

his senses.
already
gravely handicapped by foreign
competition, and if even a fraction
of this new claim is met many of
deprive 'him
shipyards

they

British

them

pared

of

free

is

realize

prefer to forego any benefits by
preventing progress.
It may well be asked, what is
the
use
of
being, rude to Mr.
Khrushchev
if
the
policies
of
those who are rude to him greatly
help him and his Government in
his effort to catch up and surpass
progress
in the West?
At this

have

difference between the attitude of

these

was

to

>

in

far

.

88%.

fail

way

by

^

leaders

nated

the

limit

Einzig

love lost between moderate

no

economic

unionists

economic

no

Soviet

should

labor

trade

automation.

stand-:

eJ

there
be

in

course

b 1

u n
a

be

It

ago.

consider¬

ing standard is through an expan¬
of the output.
There should

three

visit
years

at

the

sion

extension

the

by

United

period and far
than either in the United
the

Kingdom

of

are

bound to close down. The

are

claim will have to be resisted, and

-

1938,

to

the

steel

last

prewar

production

year,

had

making its application too costly
in¬ and reducing its profitability.

there

is

strike

in

bound
a

few

to
be a
major
months, and pro¬

duction will fall.

-

—*

,

the steel
by 27% in West¬
/ (4) Once resistance to automa-^ strike threatens to cause an allern
Germany and by 135%
in tion is -overcome, Trade Unions round reduction of
the output.
France. ; v
claim that practically the entire Trade Unionist greed is greatly
The present
crisis^ of coal pro¬ benefit from it should be allotted helping the Soviet Union in the
duction in the Community and the to the employees..
race
for
economic
supremacy.
difficulties, experienced in trying
(5) Excessive wage demands How it is that highly intelligent
to agree on a common policy may
generate inflation and force the men like Mr. Reuther and his
creased

reflect

♦From

of

opposition of the United
Kingdom which
had
prevented

was

"* «"°* * —id pontics

New

the

London

employment and
Ruhr from its postwar low had dismissal insisted
upon by Trade
come later than in France.
Com¬ Unions discourage automation by

1°^USa T? a w^ld,sJuc^as imPact t0
emerged from World
,

H,

on

his

is

in

they are bound to benefit by an
expansion of the output and, in¬
deed, the only way in which they
pan hope to achieve a higher liv¬

S ovie t

occasion

advantage

countries

.

rather

their

the

leader

even

with the free countries.

What

of
tihe
Labor Party
wing

-

them, including France and also
or

race

re

or in the United States.
Trade Unions to production in the
Contrary to some fears expressed
two
countries is merely one
of
method of
previously/ this increase hasnot
nent link
been limited to the strongest steel degree.
Trade unions in the free coun¬
member
industry, that of Western Ger¬
tries are guilty of holding up in¬
memories
of
past
conflicts
and many, but has been greatest in the
dustrial expansion and increase in
abolishing the danger of their country having the smallest steel
productivity
in
the
following
recurrence.
On
the
contrary industry and apparently the least
ways:
-*■» -■/"
Britain, having been spared this favorable natural conditions: Italy
Increase in Italian production
(1) Restrictive practices prevent
experience and considering itself,
owing to its bonds to the Com- has been 165% and in Germany the increase of output to full ca¬

desired

.

crushing

able

he

Union

Soviet

ht he

w

some

Unions

Plan

quite

been

Production

a

"moderate"

in

not

Because they are not
position to hamper produc—,
in any of the above ways,

tion
the

trade
primarily re¬
Today, after about seven years sponsible for the setback in in¬
of operation of the
Community, dustrial expansion during the last
it seems that on the whole the two
years,
while Soviet Russia
Results

„

This disagreement was naturally
b^sed not- only on economic but
a*so oa political grounds. France,
as well as other countries of the
continent, having lived through

experience of World War II, aCcept

"New

in

.

arctic

some

place.

if

against the free world.
British
and
American

-

the

enthusiastic.
The

received

camp

worse

American

owing to the comparatively homo¬
holding up the expansion of pro¬
geneous nature of the industries
duction in the free world.
That
concerned, and for steel to an old Mr. Khrushchev was rude to Mr.
tradition of private international
Reuther instead of conferring on
agreements.
For
these
reasons* him the
highest Soviet Order is
while
there had been naturally
just another proof of Communist
some
resistance
from
the
less
ingratitude. For Mr. Reuther, and
competitive establishments in each his f e 11 o w-1 e a d e r s of Trade
country to the disappearance of Unions in the United States and
tariff

Great

integration

relatively

was

implement than for other sectors,

greater economic unity of Europef
became

economic

in

which

there

come,

or

other

and

e r

labor

union¬
ficulty
by
creating
a
regional ists in the West as the abject
•
This trend gained considerable authority which would control on servants of capitalism.
Yet the truth of the matter is
support from the attitude of the equal terms coal and steel pro¬
that the Soviet Government owes
two super powers.
This support duction in all participating coun¬
tries.
!
J a great debt of gratitude to trade
;was
of a positive nature for the
unionists
in
the
United
States,
United States.
It was expressed
At the same time it was a pilot

However, the time for the imple¬
mentation of this idea had not yet

raised in

t h

q u

and .particu-., is

Europe

can

case.

would find himself in

Schuman.

period had been the first to rec- nomic integration as a- desirable
ognize the value of European eco- method
of
achieving
its
main
nomic unity for the establishment objective:, recovery of the econof peace and prosperity in Europe. omy 0f Western Europe. Possibly
He made an attempt to concretize-,even
more
important had been
this idea progagated by the ad- the negative support provided by
mirable
crusader, the Count of the common fear of the Soviet
Coudenhove-Kalergi, by submit- union which already dominated
ting in 1930 to the League of Na-_ the eastern half of the continent,
tions a proposal for the establishjn
movement
towards
a
ment

close the gap which would otherwise not be the

r

_

Dr.

Union. It

of 'Western

other

in

manufacture

steel

restric¬
we

growth—permitting Russia to

our

,

an

unqualified

.

Mollef,

dault and Robert

far

was

considerable influence

and above all
Catholic M.R.P.s like Georges Bi-

sys¬

from
>

,

Paul Reynaud

like

Con¬

was

and more recognized. German
steel ^industry,
which
In France, in particular, the Eu-' would ,have: impeded
growth of

Guy

poleari's

the
the

establishing

Authority for
the Ruhr, which

of

more

■

Na-

Europe:

policies hold back

expected to ensure that the coal had a similar
mined
in, the
Ruhr
would/ be, conflict with

during the early postwar period,
being actively supported by lead¬
ing representatives of ail trends
of
non-corhmunist opinion:
so¬
cialists like Andre Philippe and

of

continent

in

control

a

fication of the

with great difficulties

succeeded

International

such

no

¬

France had

gained

uni-'

labor

our

the coal and steel resources Trade Union leaders
Ruhr, and particularly the: much publicformer. After the end of the war,
ity in Britain"

Federalist Movement had;

of

attempt

since

LONDON, England — The row
between Mr. Khrushchev and Mr.

-

Suffering

^

of the

ropean

first

the

that

growth and to foster price inflation.

power,

§|

eignty. And I
frankly admit

Com

the

of

for

II

sover¬

members

other

The writer states

tions, Dr. Einzig finds Russia can grow at a faster rate than

to

by the Biggest Two, in order also
to maintain or rather to reestab- shared equitably by all countries
lish the- influence of Europe and- depending on it and not reserved
to preserve its cu UIa^Jar^fa' for the exclusive needs of the

was

tive

munity coincided with the need
controlling
in the common
interest the basis of its resurgent R

the -schism in terms of a conflict of interest and a matter of prin¬
Dr. Alpert claims Britain's traditional
attitude toward European political and economic unification "had
been always one of opposition"; points out France seeks harmoni¬
zation of tariffs and quotas to prevent goods entering a low tariff
member country from entering a high tariff country;
and states
France still is anxious for a practical compromise. The author be¬
lieves the disagreement could be settled on the lines of the proposal
made by the London "Economist" last spring.

alism

.

Schu¬

desire

with British labor most contradictory.

ago,

gratefully pleased, rather than angry with
them, for their pursuit of policies which are said to hamper produc¬

Western Germany with

integrate
the

*

obvious

The

economic.

.

with American labor and, three

row

Mr. Khrushchev should be

plan was more political than

man

ciple over imperial preference.

\

"

main purpose of the

The

Einzig finds Mr. Khrushchev's

years

of Foreign Af¬
officially submitted this

fairs who

.

Dr.

Minister

French

Europe"

in

By PAUL EINZIG* /

/:

however

was
plan,

Schuman

of New York University
Author, "Twentieth Century Economic History of
'."..s.(Henry Schuman, 195.1)

It

plan.

modernization
called
honor of the

and

equipment

By DR. PAUL ALPERT*

Aid Soviet's Growth Rate

postwar French

the initiator of the

Professor of Economics at the Graduate School

Trade Unions in the Free

been

already

had

who

Monnet,

European Economic Integration

Thursday, October 1, 1959

.

major

first

The

.

.

in

the

contradiction

in* integrating
while

which

„

In

United

the

1958

general

only-

economic

naturally
integrated sector

react
are

Continued

inherent

one

sector,

to resort

to

credit

strictions, causing thereby

a

re¬

set¬

policies back in production.
the
Any Soviet trade union leader
gov- who
would attempt to interfere
page 33 with the expansion of production

on

still
on

authorities

States

colleagues do not see this?
are

really

munists

as

as

If they
strongly anti-Com¬

their attitude towards

Mr. Khrushchev tried to

indicate,

why not help their country to. win
the

race?

Number 5886

190

Volume

.i

.

The Commercial and Financial Chronicle

.

(1359)
tt /

Bright Sales Outlook
\

■

further

a

the

over

The

By ALLAN B. CLOW*

^

v

.

10%

the

this

year.
In
contrast
to
the industrial
wholesale
prices ad4
industry's
past
propensity
for vanced 22% in the 1948-58 decade,
creating chaos by increasing out-*, chemical prices rose only 6.4%.
put
beyond
dictated
levels,
The projections which I have
by
rising sales, so far this year mills ? discussed are" based on analyses
have by and large held themselves conducted
by
our
company
to a five-day operating week and
economist.
-

automobile

production

industry has
vigor in 1959 and

Vice-President, Marketing, American Gyanamid Company

major

New York City

of

styling

the

k

likely to eclipse

seems

million

5.5

duction

.

gain in sales
mpnths.

12

next

shown renewed

For Chemicals in 1960

.

,

(.

erate

mark.

intro¬

The

small

new

cars

of

the

outcome has been dramatic.
Not only have they pared
stocks,
but
firmer prices have ; boosted

manufacturers,

revamped
improvements
on

and

standard

A

bright outlook for chemical producers is based

of the industries that affect the chemical

well

-as

as

record

a

be

an

viewed

analysis

an

Mr. Clow predicts

mand

high in 196C for the industry, exceeding what appears to

sales, which

as

analysis of the overall economy.

banner year

a

upon

makes, and record con¬
sumer
incdmes, point toward an
excellent sales and profit picture
for this industry next year.
De¬

industry's sales and output

this year, and continuing favorable profits.
not

are

cyclically sensitive

as

likely to maintain the

as

likely in 1959

seems

10% gain in 1960

same

In

1958—helped by increased investment

and

The appraisal made does not overlook

offset

problems still to be solved and uncertainties that challenge but do
not

Agricultural Market

lower

prices

increased

their

sulting

in |

are

expected

decline

a

in

to

of

However, fertilizer
pesticides remain among the
farmers' best buys from a profit
standpoint. Approximately normal

change the high level of activity projected.

Developments in
tivity point toward

economic ac¬
peaks in

new

chemical production' next
Output, as measured by the

year.
pres¬

of

;ceed

.gain
.10%

dustrial

shies

billion

land one-half
bill.ion
than

more

in

1959,

far
a

year

for

Total

Allan

banner

B.

$500

Clow

manufacturers

the economy

for

and

whole.

as a

Better Profits'

Picture

Seen

shipments of chemical
allied, products for the first

Factory
and

months of
sharply

eight

the

increased

have

year

last year's

over

corresponding period. Gains have
been
registered in nearly' every
product group.
Further¬
number of factors have

major
more,

a

caused
ward

reversal

a

which, has
recent

of

in

trend

profit

been

down¬

the

margins

in

experienced

One of these is ex¬
pansion of volume, accompanied
by reduction in unit costs/ An¬
other
is
the
firming of prices
which, occurred in some product
lines.

only

of

is the introduction

third

better

and

newer

products,

yielding higher mar¬
As these influences continue
felt, the profit outlook over

frequently
gins.
to be

the

output
will

should

near-term

remain

fa¬

vorable.

tomer

requirements

months.

sell

in

particular.

customer require¬
of industry pro¬

year,

in

excess

have

duction

reduced

inventories

of chemicals in the hands of
,

ufacturers—a

continuation

man-

of

the

pattern set during the second half
of 1958, Rather than being delib¬
erate on the part of chemical pro¬
ducers, this decline in stolcks seem
.to have resulted from inability to
-

the

"fill

pipeline" swiftly enough
to keep pace with rising demand.
This development has occurred at
a

time when inventory accumula¬

tion

has

been widespread

in most
other segments of the economy. In
1958, the chemical industry's in¬
ventory-sales ratio declined to 1.8
supply for
the
fourth

month's

quarter.
It rose/ moderately as
1959 began, but fell back in the
second quarter.
With a spurt in
customer

demand

foreseen

in

the

.'final months of the year, it seems

probable that rebuilding of inven¬
confined to the third

tories may be

quarter—except for those chemi¬
cal

raw

materials

that

may

be

I affected by the ^teel strike.

.t

The

construction

heavy

In

one

products, is now in
of its most profitable periods.

Home

has ex¬
ceeded most expectations and im¬
portant
gains
have
also
been
registered in commercial building,
apartment dwellings, highway and
other
public
construction.
Al¬
though it is anticipated that the
of

continue

next

creases

-•An

address

by

Mr.

Clow

before

New

the

Annua] Marketing Conference of the
Industrial
Conference
Board,
York

City, Sept.

is,

1959.




tions
food

,

The
prevailing
spirit
of
optimism will also be reflected by
healthy -sales
improvement
in
other major customer industries
including rubber, petroleum paint

to

rose

ucts.

in¬

(e.g.', bollweevil numbers
relatively
small)";" which

Reached-

I960

is

the

.

confidence

4%
1960 outlook for the textile

industry

is

qualifies

of

one

for

the

the

"cautious
optimism
stems

phrase

few

optimism." The
from
its
sales

outlook, the caution from
sible

—

ventories.

a

pos¬

its

of

perennial
over-accumulated in-

recurrence

malady
.

that

over-worked

Order

backlogs

are

over

annual
ducted

1959,

"

according to

McGraw-Hill
earlier

this

survey
year.

ucts

in

another

1960

4

or

are

which

occurred

this

year.

serious

5%

well

Although
the

on

eco¬

is

,

>-

growth

is

to

if

healthy
main¬

be

V

-./■,■

'

Two With Amos Sudler
(Special to The Financial Chronicle)

DENVER,
Goodale

and

v

Colo. —Joan
Charles

E.

C.

Morris

have become affiliated with Amos
C. Sudler

&

Co., 818 Seventeenth

Street.

over,

still

may

clouds

consideration

tained.

Other

More¬

find.

to

these

horizon

economic

major

industries,
automobiles,
steel,
rubber,
machinery,"^ elec¬
tronics manufacturing and railbroads plan to expand expenditures
for similar facilities net year be'yond' the
substantial
increases

„

likely to be of
such magnitude as to darken the
bright future foreseen, their im¬
port is strong enough to warrant

the

industrial investment in re¬
piling up,
search
ancj
development
will
\yith. bookings for early 1969 pro¬
reach a new peak in 1960.
duction coming in at an encourag¬
ing
rate.
Based
on
the
However, rising costs, typical of
gains
foreseen
for
later
consumer
stages
of
recovery
incomes, the
ultimate demand for textile prod¬ periods,
together
with
modest
and

enormous

concerned

—

easy

of

nomic

ex¬

con¬

be

none

products in the forecast pansion, an increase of more than

period.
The

not

manu¬

equipment improvements and

specific prod¬
are

Solutions to these problems will

Although

continued strong demand for farm

chemical

us

faces continued pressure of rising
costs.

displayed
by
most
business
leaders* and reflected
in their
weather is always an imponder-. plans for capital expansion next
able when projecting the agricul¬ ;year. The chemical industry, for
tural market, we expect relatively example, will invest more, than
high ' farm
income
levels
and $1.4 billion in 1960 for plant and

differently.

of

capacity

broad
categories. Challenges to
marketing men are presented by
the increasingly
heavy domestic
competition. Finally, management

"

in

Many
excess

again for
particular products rather than in

Conclusion

tained

insect

or

and

chemical

over

and paper manufacturers.

Reinforcing the

certifica¬

1 on

agricultural

new

cal producers as for

.

year

policies

for

products, patents,
taxes, mergers and pricing; others
to foreign competition — not so
much in the aggregate for chemi¬

be

ucts.

first-

the

gov¬

ernmental

are

can

achieve

show

year-to-year

gain following the 8 to 10% boost
in manufacturers' sales

expected

Join

Quinn Staff

(Special to The Financial Chronicle)

DENVER, Colo.—Frank T. McConnell and Laurence Criley have

increases,
if
any,
in
chemical
prices, will maintain pressure on
profits. In this connection, it is

joined

interesting to observe that while

&

828

the

17th

merly

staff of

Street.

with

Co.

Quinn &

Both

Co.,
for¬

were

Cruttenden,

Podesta
,

somewhat

at

re¬

compared

year

in

1959.

Drugs.' Outlook
Sales and profits of drug manu¬

facturers

in

the

early months of
substantially less
shipments and earnings for
chemical
producers
as
a

this

year

than
the

rose

United

whole.

However, inasmuch as the
pharmaceutical industry usually

Common Stock

is less affected by severe fluctua¬

tions in general business, revenue

gains

would

drug

is

be

sales
over

the

rate

of

year

as

for

first-half

the

the similar

recent

12%
a

in

per

still be¬

of

The

a

year

the

likely

are

growth

ago

in

by
re¬

development expendi¬

pharmaceuticals
year

year

development.
,

—

versus

ago

continued .acceleration
product

For

year.

whole, sales

10%.

of

1958 period

long-term growth

those

exceed

tures

in

as

encouraging although

low

,

great

as

those
for
cyclically sensitive indus¬
Thus, the 9% increase in

tries.

1959

not

periods

recovery
more

a

National

that

to

are

tighter
monetary conditions, commercial,
industrial and public housing are
expected
to
show
healthy
in*

this

7th.

those

we

duced levels in 1960 due to

million

a

of

if

high levels of activity
which have been projected,;Some
of these problems relate to

tapered

million

industry,

1959

few

and

sustained

1959.

industries

problems

our

housing starts, which
off since mid year,

have

pro¬

chemical

the

in

building

jection of general business activity

of

of

consumer

search and

order to predict the fortunes

industry,
a
plastics and

other chemical

to

Economy

.

cite

me

examples.

some

about

Optimistic About Overall

Let

rightly

output

of

solved

eliminated. On the contrary, many
challenges must be met forth-;

Reinforcing the conclusion that
high levels of output will be sus¬

weather

facturers

coming

activity, in, general, and of heavy
demand for the products of indus¬
tries to which chemical producers

-

in
support
of
the
bright outlook for chemical prod¬

of farm

affected sales of individual

and

requirements, as
previously, have been
considerably greater in; 1959 than
a
year
ago
as
a
result of the
strong pickup in overall business

foregoing,

1960
that

were "

These

will

This

in

marketing

a

match

.

uncertainty over future eco¬
nomic
developments
has
been

in scheduling
replenishing in¬

look for

to

Problems'

that

may

festation

mentioned

volume

Inventories Found Declining

ments

abnormal

easily surpass the
mark in 1960. Past

billion

the

support

However, - there were important
regional variations resulting from

or

"L

all' goods

of

in

lent

year

have

to continue

owners

and

mentioned

ended last June 30 compared with
the same period a year earlier.

ex¬

vy-.

'

conditions
this

of

increased

chemicals and consumption
sharply for the marketing

suggests, that in this
prosperous
period chemical in¬
dustry sales and production will
also rise to new peak levels. This
appraisal is confirmed by careful
consideration
of
probable
cus¬

years.

A

the

experience

both

chemical

half

remaining months of

momentum of this

•

services

seems

to be

The

be set..v

which in itself
so

weather

products

pansionary movement is likely to'
carry over into next year when
hew sales and output records will

two

—

the

in

1959.

top $28.5

may

our

will be achieved

areas

held

1959,

over

Total

,

is.
ex-

225, a
about

of

as

markets for

mass

nearly every other major in¬
dustry has progressed.
I'/ expect
that the tapering off in business
expansion witnessed in the third
quarter is attributable to the steel
strike, and, therefore, temporary
and that peak levels in most in¬

(1*947-"

=
100)
likely to

years

important

in

Reserve Board,

49

in
the development

increasingly

come

recent

ent Federal

index

made.' This step has be¬

be

must

textiles
The

income in 1959.
and

•

mill

results

Overlook

foregoing appraisal, bright
is, should not imply that we

it

as

self-restraint

ventories, I

farm

these

Not

The

manufac¬

earnings over a
Keeping, my fingers

that

production

re¬

textile

first-half

encourage

marketings,

in

earlier.

year

agriculture, higher farm costs

over

development.

in research and

turers'

to~ justify
million cars in

6.5

gain

crossed
"

1959

over

300%

I960.

;

Does

profit margins; the First National
City Bank reports a better than

adequate

seems

production of

Drug

other chemicals, are

as

11

...

.

—

ill

Lynch, Pierce, Fenner & Smith
Incorporated

—

$190
$127

assures

in

new

Probably,
^

demand will be sufficient to gen-

i

The Commercial and Financial Chronicle

(1360)'

12

'been

The Choice Before
k

^

pcognized
nomic/ objective.

Congjress

achieved

time

a

$73

billion

in Treasuries

due in the

come

and

in
unsound fiscal-monetary policies, and

months, Mr. Anderson warningiy outlines where we stand today
sound and

choice between

—-—a

sound and unsound economic

-*>

cannot be forced in

and

role

factors,

free choice society";

a

the

methods

_____

and that

Life

-

ceiling rate so our economy will not be jeopardized,
At.

'

insurance

in

come

may

dollars

The

11

a

;

in

to

not

u e

just

the
-

has

years,

pure
power

will

of

And

O.

itouert

Aoa«rioo

the
hasing
of the dollar has shrunk to
as

it

former

its

half

is

dollar

the

value.

the future

if

that

knows

not

value

of

tected,

the industry will suffer.
has a greater direct inin safeguarding and

pro-

No group
terest

strengthening our currency.

effective

The vigorous and

in¬

Each

*An

the

address

National

by

Mr.

j

A

,

Anderson,

Association

of

Life

free

to

Free

value

Society

Growth

Can't

cannot

be

free choice economy.
of

dispose

The

level

fit—to

see

invest

of

our

incomes

consume

not

or

to

econom¬

The

of

stability

of price

how

these objectives is im-

}?' fundamentally

oootinuity
and

of

of Job

stability

in

much

tainable

to

economic

promoting

opportunities

the

purchasing

can

realize

endeavor

stand

the

progress.

only if

nature

of

in

is

before

195®.

economic

growth

real

is,

gross

growth

of

to

„

to

To

of

much

output

was

true

to

net

sold

or

ment

What

value?

There

these

business

effort had to

be

the

uted
the

How

imbalances

growth?

would

what

To

actions

that

free choice

impinged

of individuals and

bution.

: ■:'

an

in¬

society

($1.00

par

J"-

value)

of

per

share

Copies of the Offering Circular
as

may

may be obtained from any
legally offer these securities in this State.

Aetna Securities Corporation
BROADWAY

111

September 29,. 1959




.

.

-

NEW YORK 6, N. Y.

these

strong,
growth in
whole' are strong.

as

a

are

as

histqry

of .this or

other advanced industrial
without
being impressed
by the vital contributions of the
any

innovator,

Man's

that

phere

ours,

nation

the

Government

the

desire

of

the

in¬

improve the standard
living for himself and for bus
family is "strongest in an atmos¬

highly

so

complex

one

economic

the

dedicated to the propo¬

dividual to

the

primary emphasis on the
of individual decisions,

is

of

are

sition

distri¬

and

freedom.
task

Consequently,

of

government

in

is to safeguard
• freedom.
The
government is to

-

role

proper

provide

of

atmosphere conducive
growth, not to force unsound

to

an

and unsustainable growth
V

direct

intervention

through
-ment

through

in markets

or

improvident enlargeof -the public sector -of the
an

economy. Governmental efforts

-

-

to

promote

-

or

growth

subsequently

in

that rely -on,

to,

lead

intervention

the

ingenuity

of

first

fostering growth
and
strengthen

-are

in

market forces

and

can

excessive

direction

of

in the long run

tackling and solving his problems ;only impede the kind of growth
lies at the heart of the growth that is desirable and sustainable.
Government

process.

can

also

promote

rapid, healthy growth by foster¬
ing

competition

in

the

economy.

Technological
advance ' alone, Competition sharpens interest in
however, cannot assure a high
reducing costs and in developing
rate of growth. The best ideas and
more efficient methods of produc¬
tlie best techniques are of little tion. It places a premium on skills
benefit

UNDERWRITER

ways

promoting

as

Job

Cruciality of Savings-

licensed dealer

forces

We

J *•:

and

engineer.

$2.00

new

of

economy

inventor,

Price

reasonable

a

technological adof the more im¬
portant factors.-No one can study

the

COMMON STOCK

a

they are weak, the im¬
petus for growth is also weak.

pace/of

; vance

for

standard

secure

doing

the

influencing the rate of
necessarily manifold
complex.
'

The

Industries, Inc.

desire

more

such instincts

the factors

growth

individual's

Where

must have

its

prog¬

the part of the individual.

on

the

questions indicate that
growth, in terms of a
specific figure, is not an end in
itself. It must be growth of the
right kind. It must be sustainable.
It

those

as

things, developing new
techniques and processes. Where

stitutions?

;•

same

economic

living for himself and for his

of

extent
on

the
for

account

invests. He searches out

and

hamper

temporary growth stimulated

was

the

distortions

by

that

.

family is the basic stimulus; this
is the prime mover. To this end
he studies, plans, works, saves and

in output distrib¬
among
various
groups
in
economy?
Was the growth
growth

characterized

by

fruits

the

were

of

growth
through

largely

determinants.

higher and

important

govern¬

foster

to

operate

basically

are

and

economic

our

effective'

moving forces which pro¬
growth in a free economy

mote

de¬

efficient

of

use

basic

The

The

other

are

questions."
of

and

Navco Electronic

One

growth.

the

and
An

program

should

additions?

new

freedom

142,800 Shares

number

tends

resources.

output was de¬
and mod¬

total
of

our

dynamic?

t-.f-

pro¬

irretrievably lost.
the'

of sustained

continuous

merely to maintenance of that
plant and equipment, as opposed ress

with

V

is

sum-

omy

voted

In
NEW ISSUE

that

free

a

plant and
equipment and to research? How

circumstance

to be construed as an
offer of these securities
solicitation of an offer to buy, any of such securities.
7 he offer is made only by means
of the Offering Circular.
no

or a

idle

=

too fast—-represent

grow

enemy

These

for sale,

and

Recession* "is '

economic

This is under

resources,
in tdrms

toll

output.1Moreover,

duction

enlargement

ernization

national
in

in

destroyed,

away,
less than

portion

usually

product—that

Continuing

in

a' heavy

resources.

of

use

formation,

voted

,,

increase

lost

in

equipment, — a
characteristic*of the ..adjustment
periods that result from efforts

want—goods which ended up
warehouses being

given

our

has

.

economic

-

manpower

government

for

thought of in terms of the annual

x

our

carry

of

military hardware as op-?~

increase

future

growth

can

public, facilities? How much

the

in

type of economy.
Economic

of

not

of

in

of the dollar has been emP*tSS12ed for years. Only recently

power

,

A third important requisite for
high and
sustained
rate
of

composed of goods that people did

other

under¬

we

/
' '•

Inefficiencies

posed to" schools, highways, and

growth- and

the forces that influence it

willing

are

saving. T.

up, economic growth in
choice, competitive econ¬
to vary ,direqtly with
the pace of technological advance,
the
rate
of
saving and capital

sisted of

We

success

we

can;

■

use

relative to government use
of goods and services? How much
of the government portion con¬

sus¬

maximum

only if

the

we

that this

me

growth is efficient and continuous

lower

-

-

.

growth, in

Perhaps

clear to

seems

occur

/■/■■

a

pand

can

sound,

promote

this

others,

desirability

do

did

much

we

economic

it

.

of

How Are Resources Used?

has taken place,
consumption ex¬

growth

rate

sector;

to increase our

growth. We must ask
questions
about
its

When

to save? to
invest.' .These

free economy"

can

,;

J

characteristics.

While Government cannot force
a

but it

of

searhing

or

cherished

most

our

private

pace, :

of output,

measures

a

right

as

dramatic

We must look behind the broad

essence

is the

volume of current output to pub¬
lic
projects, we can achieve a

if strong pressures on prices
allowed to build up, we run

the risk of falling back to a

It
in

economic freedom

to

Force
forced

that, on top, of providing ade¬
quately for national defense and
devoting
a
considerably - larger

services that

unsustainable

an

-

be some observers who believe

to

way

at

this

of

rate

.

growth. An increase in output,
meaningful, must consist of

are

sound

Growth—But Not at Any Cost

Under-

■writers, Philadelphia, Pa-, Sept. 23,

of

related W

public interest. These efforts
grow out of the firm conviction,
which I share, that future progress
in this nation and in the industry
m

in

candidate of

party and

growth in

^0,r+ary'. ^

the

u

in

But

levels.

represents a vital contribution to

..

choice,
is

freedoms-—or inflation—or both.

Reasonable

during recent
months in support of sound Gov¬
ernment financial policies?, which
are
essential to a stable dollar,

—IT

shrink

not

inflation.

ic growth;

cam¬

industry

surance

entitled to

are

tha,t these invested

A sustainable rate of

by the life

paign conducted

political

our

individual

decisions, arrived at freely and
money is
more
than an" end in
independently by.-milli.Ons of peOr_
itself; it is -absolutely essential if
pie and institutions, are a central"
our other important economic ob¬
and highly important factor in the
jectives—as well as noneconom.ic
growth process.
- : ;
objectives such as our national
If we are to "maintain cur free¬
security—are to be realized as
doms, the Government cannot.be
fully as is possible,
the predominant factor in our na¬
We are dedicated to the attaintion's economic advancement. Its
ment of three important economic
role must be to foster and facili¬
goals—
tate growth—not to force it; Eco¬
Continuity of job opportuni- nomic growtn at an artificial rate,
ties for those able, willing, and forced
through unsound practices,
seeking to work;
can
only cause the loss of some

its

over

than

less

dollars

past 20

e

assurance

'because

a
—

industry
s e e n

effects
t h

and in other forms

"the

is

scare-word

as

of free

one

gov¬

•

..

people want and are able to buy.
Secondly,
a
broad, aggregate
measure of growth provides only
a
partial clue as to whether the
growth that takes place is sustain¬
able. If an upsurge in output pro-*

sav¬

in the form of life insurance
Government savings
bonds, savings accounts in finanr
cial
institutions, social security,

dollar.

the

all-wise

an

that

requires
a
saving
at
the
present time.
•
>
-.
•; J'./..
This
principle
has important
implications today. There appear

be

ceeds

;

"

of

of

Just

is

each

select the

ings

Inflation

directors

ernment.

contracts,

1

he
Con-_

more

consumes.

must frankly admit to.

we

higher

measure

the useful goods and

and

oduct is tied
directly to the
v a

on

that

-

lions of Americans who hold

r a c-

the

saves;

the less" he

ourselves

takes"

his

-

.

place. This is simply
of saying that pro¬
motion of growth for its own sake
could result in an unwanted type

choosing, so is. our economic
one of free choice.' The
Sound money, and the main- consumer, by casting his dollar
tenance of the purchasing powef
votes in the market place, selects
of the dollar that it
implies, is the goods to be produced, their
properly a goal in itself. The mil¬ quantities and characteristics,

pr

future

that

economy

system

particular

another

system

v

tiveness of the

,

;
'

:

our

rency.

future.

.the

in

must be based on the solid foundation of a reasonably stable cur-

a

income

rent

out, regardless of other

cf

the

r

.-J','-."

'

variety of packages, but all contracts have one thifig in common:
the policyholder exchanges curfor

»

he hopes Congress will properly act on the Government

bond
«s>

"r

and, after pointing out inflation is not inevitable

This

stems from reli¬
the integrity, wisdom, and
initiative of the individual—not

prospects are bright for an improved budget situation this

fiscal year,

should

Growth

Good

and

its

basic ideals. The strength

our

our

ance

economic growth;

of

competitive
economy.
L..... .y J._
This view is wholly inconsistent
of

aiding

in

take

should

he

less

.

saves,

future,
Poor

According

view, Government

year

with

outlines the prerequisite

Government

cost.

any

developments

Mr. Anderson asserts "growth

growth.

ad¬ the

output,

of
capabilities ana growth is deficient, in the first
powers
to "guarantee a record- place, because it tells us nothing
breaking rate of growth, year in about the nature of the growth

12

next

at

all

utilize

being locked out of the market for long-term money

when

this

to

Secretary oj the Treasury, Washington, [J. C.

at

total

of

riding importance that it must be

By HON. ROBERT B. ANDERSON*

Concerned about

value

justed for changes in price levels

appear to believe that economic To*;,, some purposes, this is a good
sequently, Tif
we
insist
on,
a
-grewtfi" at: 'g drOTaflF^ana un- measure of economic growth; for dramatic and unprecedented
rate
of economic growth
precedented rate is of such over¬ others it is not.
in the

^\omenfous One

a

dollar

as a major eco¬
Some observers

Thursday, October 17 1959

...

if

available

to

the

means

translate

are

not

them'

into

in business management.

It stim¬

ulates business investment in new

processes. This requires
capital; and true capital can only
grow out of saving and productive

operating

plant
means

and
of

duction

investment.

equipment,

both

economizing in

process

by

.use

of

efficient machinery, and by

ing ^capacity

The cruciality of a

as

a

the pro¬
more

enlarg¬
capture

in order to
high rate of
saving to the growth process leads a larger share of the market.
an
vigorous,
and
wide¬
important but, apparently, Healthy,
little
understood
principle
Of spread competition, in short, is the
economics. From the standpoint primary stimulant to efficiency in
use
of
of an individual, every act of sav¬
our
economic
resources,
ing means that much less con¬ both human and material, through
advance a n d
sumption. The more he consumes, technological
by
to

•

_

190

Volume

Number 5886The Commercial and Financial Chronicle

"''-V

-

.

:

1(1381)
;

-

13

*

.

1

stamping

out

waste

ineffi¬

and

ciency.
other ways

are

government ;

in which

promote'

can

healthy and sustainable economic
growth. I am hopeful that a study
of the tax

system, recently under¬
by ; the House Ways and

taken

Means

Committee

and

which

in

the

Treasury is cooperating, will
lead to significant and beneficial
results. Moreover, the government
can and should do much to elimi¬
nate

waste,

not

operations,
supported
•

All

or

of

aiding

to

involves

ress

I

con¬

am

one of the
governmental

significant

contributions

economic
fiscal

of

use

prog¬
mone¬

tary, and debt management pow¬
ers
to
promote stability in the
value of the dollar arid

complete

Dollar's Integrity

dollar

is

of

use

resources.

! Confidence
the

relatively

continuous

and

economic

our

in

basic

integrity

to

of

of

high

a

rate

turn

capital

depends

upon

saving.
As the life insurance in¬
dustry is well aware, incentives to
save

in traditional forms—in

sav¬

ings accounts, bonds, and through

purchasing insurance-r-may
been somewhat

impaired by

turbing conviction

a

have
dis¬

the part of

on

people that inflation is

some*

evitable.
viction.

This is

mistaken

a

in¬

con¬

JBut if we should ever
lack of confidence to de¬

allow

a

velop

in

the future

value

dollar, the desire to
ditional

forms

will

of

the

in tra¬

save

weakened.

be

Full

confidence

of

tained

the

Only

if

all

future

the

can

we

to

stantly alert
and

in

dollar

be

main¬

remain

the

of

con¬

forces

practices that promote infla¬
Some

tion.

practices

of

may

these

forces

and

have grown out of

changes in the economy in recent
further study may be nec¬
essary before they can be identi¬

years;

fied

and

cies

to

before
control

appropriate poli¬
them

be

can

devised.

tary,

and

management
of the list of

debt

in

will

that

manner

a

be

for

sound

flexible

and

of the public

ment

Some

debt.

...

tary inflation.

..

.

41

passed

connection with

a

ago,

years

in

specific financ¬

mone¬

and debt management poli¬
Even though the steel strike

has caused temporary cutbacks in

parts of the economy, the fact re¬

Horwich, Partner in

proposals at the top
vitally needed legis¬

lation.-

1

■

;r-

"

Security Supervisors
'.

CHICAGO,

Horwich

111.

has

Herbert

F.

admitted

to

—

been

Security . Super¬
Our nation today is confronted)
visors, 135 South La Salle Street,
with a
critical

We

choice.: ; ;

'

v

,

partnership

in
*

•

'

investment

.

choose sound govern¬
ment financial policies that will
foster growth — not of the tem¬

which

unsustainable type,
long-lasting and rewarding.

vestments

,

.

can

counsel'»

,

porary,

but

,

i

gan

z a

or¬

tion

the

ages

A rise in the cost of

many

and services has been off¬
set by declining prices for farm
products and food. This is, at best,
a
precarious balance:
Moreover,
the .important point is that effec¬
goods

7

Or

we

choose

can

expedient

rary

the

in¬
of

Selected

tempo¬

of excessive

gov-

A

|

ernment
Shares and
spending
and
money '
creatioh during a period of strong
..other
institu¬
ity. - When long-term yields'are
tional and in-1
business activity,.:; Such; practices
moving in a range above 4y4%,>
can
dividual ac¬
;readily -leadto .^inflation;,
as they are now, the Treasury has
which will ultimately dry up the
counts.
:
no
choice except to
borrow on
flow of genuine savings and lead
Mr.
Hor¬
short-term securities, r The result
to
recession
wich joined,
theV; number; one
is that we must substantially by¬
the
enemy of'growth.
As has been'
financial
pass
genuine savings —the only
Herbert
Horwich
proved in country after country,
community
source
of non - inflationary bor¬
the road of currency depreciation
v nine years ago
rowing—in favor of short-term
leads
inevitably to serious and as a junior "back office" clerk.issues which are only a few steps
He
long-lasting difficulties.
began ' specializing in
^ soon
away from being money.
o

,

tive

&>ntrpl of inflation" requires
to " restrain

they

as

inflationary
develop.
To

The

choice

before

is

us

a

mo¬

securities
mentous one. At stake for all of
refinanc¬
our people are the
job opportuni¬
finally emerged in the form of ing at short intervals; this makes
price increases, is "'to close the debt management even more dif¬ ties, rising incomes, and the secu¬
rity of savings set aside for later
barn door after the horse is al¬ ficult.
More than $73 billion of
years.
At stake also is the safety
ready part way out."
marketable
.Treasury
securities
the

meated

Actions

and

economy;

have

to -■ limit
inflationary
during this period of
business activity will, in

addition

chasing

to

protecting,

the

pur¬

of the dollar, foster

power

sustained

in still

growth

another

Restraint and selfdiscipline today will help assure
important
the

that

way.

current

healthy advance
business activity does not rise

in
to

an

unsustainable rate and then
This is the

fall

back.

ble

assurance

that

best

possi¬

economic

our

will remain in continuous

efficient

and

The

use.

severity

a
recession
reflects
pri¬
marily the build-up of unsustain¬

of

able

within

due

come

expansion

in

the

preceding

of

the

,

pressures

strong

such

Moreover,

bounce back and require

months; these must be

trips to
the"-money market, in relatively
large
amounts, ' also
complicate
Such

.

Treasury

frequent

the task of the Federal Reserve in

administering

sound

a

credit

Wants

Reserve

have

a
bal¬
this fiscal year.
A
surplus
for
debt retirement
would be preferable, but even a
mere balance will be highly bene¬
ficial
in
promoting sustainable
growth.
Federal Reserve mone¬

anced

high

budget

Despite the fact that President
Eisenhower, in a Special message
to Congress, referred to our debt
management
proposals
which
were

It

free

American

will

people
right choice.

made

in

June

as

the

most

issue to come before
Congress in the session just
ended, no action was taken with
respect to removing the outmoded
4V4% rate on new issues of mar¬
important

purchasers of Savings Bonds with
a
fair
and
equitable return on

make

American

he

also

WILMINGTON,

N.

staff
1

of

Vaughan

and

to

an

,

-

the

Company,

'

Rubin, President oi
fund

mutual

in

#

and

Security

...

0

"eJoin®

*

senior,

a

Supervisors.

.

0

.

Saunders, Stiver

(Special to The Financial Chronicle)

CLEVELAND,

of

Post Office Avenue.

1 his is not

this

Assistant

as

OHIO—Guy R.

McLaughlin has rejoined

C.—George

Gornto Jr. has been added

Shares

acts

Saunders,

Stiyer

Tower,

JJie staff

Co.,

member

Midwest Stock

Ter¬
the

of

Exchange. He

with

recently

&

H.

L.

was

Emerson

&

Co., Inc.

offering o) these, bonds for sale, or an offer to buy, or a solicitation of an
offer to buy,
any of such bonds. The offering is made only by the
prospectus.

&

$30,000,000

Southern California Gas
First

no

choice

much

but

the

to

follow

good

that

being achieved through a

Company

Mortgage Bonds, Series D, due 1984
5%%

V'':

•'

Dated October 1, 1959

of

-

-

Due October 1, 1984

bal¬

undo

'

r

;

;

V

.

Copies of the

prospectus^

may be obtained from any of the several under¬
only in slates' in which such underwriters are qualified to act as
dealers in securities and in which the
prospectus may legally be distributed.
writers

-t-ll

Manpower, Inc.
Blyth & Co., Inc.

Common Stock
(Par Value $1 Per Share)

Merrill Lynch, Pierce, Fenner Sc Smith

Goldman, Sachs & Co.

•

Estabrook & Co.

-•

■

Lee

Baker, Weeks Sc Co.

Blair & Co.

Incorporated

Incorporated

A. M. Kidder Sc Co., Inc.

Carolina Securities

Corporation

Fahey, Clark & Co.

;

Butcher Sc

Company, Inc.




Company

September 30. 1959,

.Newhard, Cook & Co.
Doolittle & Co.

J. R. Williston Sc Beane

-

^

Davis, Skaggs Sc Co.

Honnold and Company, Inc.

Edward D. Jones & Co.

Irving Lundborg Sc Co.

McJunkin, Patton Sc Co.
J. W. Tindall &

SherjepiK

& Co.

Incorporated

Eddleman, Pollok Sc Fosdick, Inc.

Eppler, Guerin & Turner, Inc.
Kay, Richards & Co.

\

Wekden

Elworthy & Co.

Crowelf, Weedon & Co.

Smith, Moore & Co.

Yarnall, Biddle & Co.

Smith, Barney & Co.

,

Dempsey-Tegeler & Co.

Farwell, Chapman & Co.

Courts & Co.

William R. Staats Sc Co.
•

Wirislow, Cohu & Stetson

Dittmar Sc

Bache & Co.

Schoellkopf, Hutton & Pomeroy, Inc.

Childs Securities Corporation

McDonnell & Co.

Incorporated

offer to sell nor a solicitation
of an offer to buy these securities. The offering is made only by the Pros¬
pectus, copies of which may be obtained in any Stale from such of
the undersigned as may lawfully offer these securities in such State.

-

Incorporated

Evans & Co.

an

F. S. Moseley & Co.

Dean Witter & Co.

Wood, Struthers & Co.

constitutes neither

Hemphill, Noyes 8c Co.

--—

Higginson Corporation

Shearson, Hammill & Co.

announcement

Harriman Ripley & Co.
Incorporated

Dominick & Dominick
Hornblower & Weeks

Price $15 Per Share

—

Incorporated

The First Boston Corporation

•

s

of.

to Edward P.

the

to Staff

1954.

that

minal
«

in

Secretary

on

have

can

is

Selected
year,

research

Supervisors

Assistant

(Special to The Financial Chronicle)

Savings Bonds alone
was inadequate.
The inflationary
debt management policies which
we

Security
Elected

:

Vaughan Adds

investment

became associated with

investment.

Although clearly necessary, the
action

work and

n

abiding faith that the

my

institutional

economic1 partner

the

hopes .for

in

the

of

deperids upon the
strength of America.

By exercis¬

Federal

Flexible

and

in the last analysis this

policy.

ketable Treasury bonds.
Shortly
ing restraint and moderation dur¬ before adjournment, Congress did
enact legislation which will per¬
ing periods of prosperous busi¬
ness,
we
can
keep booms from mit us to raise the interest rate
getting out of hand.
This will on Savings Bonds from 3V4% to
minimize the impact of later ad¬ 3%%
and to adjust upward the
rate
on
outstanding
E
and
H
justments.
Bonds. This new rate will provide

period of prosperity.

country

our

next v12
world, for
refinanced. too

150,000 Shares

September 30, 1959

-

—

ISSUE

This

—

rican

me

Price 101.729% and accrued interest
NOT A NEW

?

man¬

ning five years or'more to matur¬

stability should be carefully eval¬
uated.

law

we are

This general price

-

A

ing operation of World War I, es¬
tablishes an interest rate ceiling
of 4V4% on Treasury bonds run¬

to the
stability of

price

of

manage¬

' point

observers

high degree

We

to

the role of general budget, mone¬

cies.

does

Our prospects today are bright.

Policies
as

Treasury

not

their

Mandatory Fiscal-Monetary

the

conducive1 to
sustainable
debt
retirement;, most
policies to prevent ex¬ economic growth. This is because
cessive
credit
expansion
from the Treasury is locked out of the
generating inflationary pressures; market for long-term money.

surplus

Policy

But there can be no doubt

however;

today have sufficient authority to
manage
our
$290 billion public

monetary

resources

Growth will be impeded.

value

a

policies, flexibly
adminis¬ anced budget and sound monetary,
in keeping with the d.eveV policies. ,* It is to be
hoped that *
oping economic situation, will also the next session of Congress will
be ' " beneficial.-' / Unfortunately,; place further action on our "debttered

wait until the pressures have per¬

earlier,

in

spending, to provide

pressures

Needed

the

high rate
As I noted

a

of

excess

actions

of sustainable growth.

formation

These conditions call
self-discipline and restraint.
This requires Federal income in

important the past year as proof that
growth in a' not now confronted with

however, that

most

growing.

for

are

economy.

and

at: high levels, and
and business optimism

are

consumer

is

business activ-\ tary

employment,

strong,

incomes

t

these

choice

vinced,

only in its own
in
government
regulated activities.

but

of

methods
free

is

ity

There

the ;

mains that general

S. D. Lunt Sc Co.

Schmidt, Roberts Sc Parke

Sweney Cartwright & Co.

Varnedoe, Chisholm & Co. Inc.

Wulff, Hansen! Sc Co.
.

•

%

14

Commercial and Financial Chronicle

The

(1362)

Thursday; October 1, 1953

■■■■•.

.

'

\

,

there

Valiant Is the Word for

Chrysler

\joyed
rable

other substantial lines—

are

Mopar parts and accessories, Airtempt "heating

with

Enterprise Economist

'
;

v

forward

look

at

the

,

to the

general
motoring pub¬
lic.
Later, in

pow¬
un¬

So

lias

been

through

the

for

aden¬
Ira

in

gineering

U.

big motor

about,

styling

space-age

ing;
and
leveraged

War II,

capitalization

its(

swiftly

as

engineer¬

and

so

translate

to

to deliver a
affording significant

prepared

Coblcigh

combining
a n
industry
the elegance of executive suites
that has ever placed a premium and
opera carriages; high - styled
on engineering
excellence.
And Chryslers, sport-styled De Sotos
aiow Chrysler crowns its years of
including the sparkling new De
research
and
development
of Soto Dart, and-spacious Plym.small car components and designs,
ouths, the traditional backbone
dating back to 1933, with its all- of Chrysler earning
power.
In
jiew Valiant for 1960.
other words Chrysler is all set for
What is this Valiant like? And what many analysts believe may
how many, of the 1 % million 196Q be a milestone motor sales year—
model compact cars, of American possioly 7,000,000 units.
Chrysler
manufacture,
scheduled
to
be would, be glad to settle for 20%, of
this market in 1960.
Mr. C. E.
built and sold, will be Valiants?
First about the Valiant itself. It, Briggs, general manager of Chrys¬
ler and Imperial Division, believes
was
named in
1957, and is the
that Valiant, and other Americancreation of a special team of 200

share.
1959

Chrysler
of

time

There

made

experts at
worked, on lead

talented

who

months,

27

than

less

Imperials,

are

compact cars,

sales stimulant to

a

high-priced

to

cars

—

will

serve

as

medium- and

that they will

enlarge rather than subdivide the

design and build a uniquely mod¬
ern
compact car—not a modified

market.

total

of some foreign entry, nor an

this
rapid
tribute
to
other
American Chrysler's showroom offerings for
economy cars.
Valiant is a dis¬ 1960, it's time we turned, for the
tinguished car, that you can dis¬ benefit of our investment-minded
tinguish from others. In design it readers, to the financial prospects
has a long hood line and a rela¬ of
this
outstanding
enterprise,
tively short rear deck. The lines, Chrysler Corporation, our third
back-sloping from the windshield largest
producer of
automotive
give one the impression of func¬ equipment and sixth largest com¬
tional fluidity. The wheel base is
pany, in terms of dollar volume,
copy

After

.

of

.adaptation

106.5

cubic

inch

The eager

inches.

six

new

cylinder

170

in all

motor

industry.

Chrysler has been

persons

setting the stage for a substantial
upsurge in earning power. In the
past 5 years Chrysler has laid out
over $1
billion in plant and tool¬
ing.
This expenditure works out
to over $100 a share on the com¬

a

mon

achieves

efficiency

new

and fuel

design that slants
the engine 30 degrees to the right.
The
Valiant
carries
six
ample
economy

by

a

in comfort and safety in
unitized
body
sturdy,
rust-

acceleration

the

JMPG

Valiant
on

are

has

ordinary

of

delivered

plants,

and

decentralization

considerable im¬
provement in total efficiency, and
higher profit margins.
While motor car earnings are of
course
the big thing at Chrysler

exciting and
30

in highway

gas

and has resulted in increased

automation

proofed, and soundproofed. Power
and

driving demonstrations.

Aoi economist is Sot dead so

share

for

the

The last half

half

first
of this

of

(depending

mont
.

1958.

has

an

a very

rrffer fo sell

The

into

show

steel

findings/ in-.

forward

look

turn out to be

much

as

der should

result in

it, and

Valiant

without

interruption

Present

indicated

since

at

:V

doxical

mar¬

rate

cannot

who

he

dealt

remain

v

or

the

re¬

Recognized

'

share.

v'-y
Capitalization
of
Chrysler
is
quite
simple
and
substantially
leveraged with 8,725,764 shares of
common preceded by $250 million
in
long term debt
2054).
(due
Current, financial position is ex¬
cellent

with

$375

current assets

million

of

net

(as of 6/30/59).

We neglected earlier to note an

important
sales

streamlining
in
the
organization effected June 1,

1959.
rate

There

are

three sepa¬

now

distribution

groups:

one

for

field

this

realignment, only. 55 % of the
Company's dealers will be han¬
dling Plymouths (as against 85%

a

year

model

program

ever

undertaken,, by
any
automobile
company,'' Chrysler is making a
powerful

bid

for

share of the motor

an
car

enlarged

market and

higher level of corporate profit¬
ability.
If this works out accord¬
ing to plan then investors might

a

do

ard

well

to

examine,

at this

time,
the values inherent
in Chrysler
common.
The price range for the
year has been between a low of
50% and

a

high of 72%*:

Current

quotation of 63 V2 is only 8% times
indicated

1959

nor

the solicitation of

an

earnings

Chrysler has not,

offer to buy

any

inflationary
de¬
(March 26; 1S5'9).
v

During

-

favored

arid

able.

unaccept¬

or

the.

tax

last recession he
easing of credit
up
in Government

cues,

speed

a

better

understanding

reckoned

be

of

tested to

in

with

can

small way

no

be

his

contributions.

up

of these securities,

offering is made only by the Prospectus.

that

should

we

the

;

much

longer neglect
important prob¬

no

more

and

to now, en-

A

Presageful

Answer

death; while

ill

of

cf

Critics

to

Tv/o montns before his

apparently stung by the
charge that he desired or favored index,
"creeping inflation," Dr. Slichter's dicted
last

article

tained

in

the* Chronicle

con¬

of

In

like

imperfect

world

live, what

we

to

his

one

in

from what

pect

to

uncritical

re¬

ness

would ex¬
Nevertheless,

one

happen.

insist

readers

off its

on

ex¬

that

what

It

290,035 Class A Common Shares
($1 Par Value)

the

was

economy's
after

not mean

passing does
ideas

demise of his

problems

be¬
capital in¬

and its sub¬

pick up.

sequent slow
His

1957

perturbed

and

the

long

the

so

—S. H. S.

Slichter

Dr.

would

be

thought

never

to

necessary

spell

views

it

and

his

to

he

Inflation

saw

including the undersigned,

as may

must pay

and

Incorporated

and

consequences

and

could

investments

(Nov,

26,

helpful

consequences

omy

has

(April 23, 1959).

scribed
halt

1959);

Howard, Weil in
New

policies

inflation

and
but

in

NEW

progress

other-

our econ¬

Yet he

pre¬

programs

doubted

to
We

would want to adopt any measures

ORLEANS,

Quarters
La—Howard,

Weil, Labouisse, Friedrichs & Co.,

20, .1958,

had

in

applied economics.—S. B,

to maximize growth and

March

were

useful

be

employment (March 6, 1953); en¬

technological

much

not

correct

of

courages

A. G. Becker & Co.

Arid economists have

ponder,*

causes

Views

controversiaK inter¬

"creeping inflation,"
Dr.
Slichter's
writings
in
the
Chronicle
stated that this phe¬
nomenon: Is part of the price we

such of the several Underwriters,
lawfully offer'the securities in such state,

fruitful measure of these

whether
Dr.
Slichter
p e^rs 0 n a 11 y
favored
"creeping inflation" or not., but
whether his explanations Of the
to

desired.

Controversial
As

what

between

he

wnat

pretation

any state from

should

penetratingly independent

a

times.

out,

as

conditions he ana¬

lyzed continue. Historians
find his

difference

be obtained in

viewed

future

of the fall-off in

vestments

particularly for his colleagues, the

Price $17.00 per Share

in fact,

however,

believed,

is

Slichter

Dr.

about

re¬

—

were

important spur to growth
to
moderating recessionary

that

predicts

one

back: research and

an

and

readers to believe
does
not
necessarily

for

may

capital spending plans

to not cut

turns.

many

one

hope

the

but

pre¬

One
business

important

development spending

cause

desires,

most

continuous rises here,

pressions of desiie.
To make
plain that there is a difference
between
what
I
expect
and
what I desire, I have set forth

my

production

during a business downturn. Also,
its significantly increased willing¬

would

happen often is

see

mote

physical

an¬

revi¬

greater stability of the economy's
growth in the post W. W. II years,
dealt
with
industry's refusal to
turn

the

the

Reserve

upward

cycle judgments, dealing with the

ing, perhaps, this may be his last
opportunity to make clearer his
position on the matter of inflation.
For he wrote (July 23, 1959):
which

recent

the economist had
productivity in 1959
5% (Feb. 19, 1959).

exceed

"author's note" portend¬

an

its

of

sion

ment and

Federal

the

nounced

kidney ail¬

a

forging ahead (April 23, 1959).

Before

untimely

makes this crude step necessary.

may

and

spring, the
well known
observed that inflation
is of diminishing importance and

some

:. \'.v.

demand

professor

welcomed

and

numerous

in

Last

at¬

by this

publication which chronicled

deficiency

a.

capital spending cutback (May 29,
1958).

our

and the economic forces

economy

of

was

That his writings generated

expectations and my desires
separately. I am sorry to intrude

Copies of the Prospectus

to

a program

labor's

mands

by

ago).

By launching what President L.
new

engineering (July 23,

lem of recapturing lost output and

L. Colbert calls "the most sweep¬

ing

thwart

-economics

orthodox, acceptable

to

for Chrys¬
result of

a

as

spending (May 1, 1953); and, ten
months later, favored modest wage
and of this inflationary era. Wide¬
increases, further credit-ease and
ly known as a teacher, writer,
deficit
financing
to
spur
the.
speaker and- consultant to govern¬
economy's growth.
Dr. Slichter
ment, his views were and are a
doubted
the
past recession
was
rewarding
experience
whether
due to overcapacity and demanded
provocatively . stimu 1 ating, un¬
a study
be ..made as to why there

Dodge trucks; and
and Imperial.

As

labor

Dr.
Slichter
established
an
equally
impressive
reputation
with
his
analysis of the economic outlook

a

one

-

labor-management
relations
economists and businessmen,

Plymouth, De Soto and Valiant;
one
for Dodge, Dodge Dart and
ler

of

cycle by maintaining
during reces¬

1959) and submitted

the

credited

incomes

science and

Slichter

H.

ecor.-

in

pmists

Slichter

Dr.

31,
1,958, July
23,:
Nevertheless, he indicted
exploiters
of
capital,

labor
Sumner

leading

singling out
causing price

(July

1959).

one- of;
Americ a's

in

are

.

drive for stimulating the
and helping to stabilize

business

sions

r

than

^March^b, 1958, July 23,

etc.),

personal

*'

3 s

.

hesitant

economy

with

appear.

a

beneficiaries

(Nov. 20, 1958).

Never

1959,

opponents

more

many

are

its wage

problems

the

is

opposition to it and that inflation

sufferers

if

para¬

nothing

done despite the almost universal

be

overlooked

1926.

$i

is

popularly;
found it

almost

that

attracts

>

1959).

23,

inflation

.improved

an

Professor

(April

read observation, he

mend at ions

dends at Chrysler have been paid

Jostens, Inc.




in

in the months that

labor for its role in

with

~

as

rise

of

about

a

terpretatipns 4
d /recom-

cash dividend by Christmas. Divi¬

New Issue

September 30, 1959

per

$7.50 in

lie ahead.

a n

or¬

strike). Earnings of this

Though
Slichter, La-

Harvard Uni- y:'/V)
versity,; died
Sept. 28, his \

fusal of

I.

■

net

earns

This kind

ket performer

my
a

1960.

a

may

iong

life.

Huber

University

of

impact

on

Sumner.

Dr.

will be

year

his ideas breathe

as

treating mere predictions as

Nor

Chrysler

might

in

•'

:

i

sold

car

earning power is unlikely to be
ignored by perceptive investors.
Chrysler common today at 63 V2

as

This advertisement is neither

If

it

$12

.

diversely

per

Dr. Sumner H. Slichter,

less impressive due to Ijeavy ex¬
savings in price and fuel economy.
for plant rearrangement'
Volume sales of Valiant can make penses
and
start-up costs of the new.
1960 a big year for Chrysler.
model lines of cars and trucks.
The other new models in the For
the full year we would esti¬
Chrysler line, while less heralded mate per share net at $7.50. or
are
sleek, dynamic and elegant. above

d

need

years
v a

is

well built car

--

e

n

w

o

the end of World

Since

is

lent shape, its models replete with

Belgium,
Venezuela, "

■Australia and

This Valiant will make

Valiant

it

Chrysler Cor¬
poration,
ren

subsidiaries

are

Canada,

Hamtramck plant (it •six months sales totalled $1,531
began in September); and in Jan¬ million, a rise of 42% oyer .1958
(same period).
Even .more dra¬
uary, Valiant" production will go
on
stream at the St. Louis plant. matically, net profit for the six.
months ended 6/30/59 Were $6.65;
Combined capacity will be at the
rate
of
300,000 units annually. per " share, against a loss of $2.89 a

equipped with

veiled.

There

-England,

tion is at the

1931, the first
Plymou ths,

were

in

other

the

1960

profit

cial debut in late October.

sion^gines/91^^

er

25% stock interest in Bimca

a

-

its offi¬ Chrysler Corporation has been in
It will a long term growth trend. .1954
and
1956 werevso-so
years
and
come
in two series, with sedans
1958 showed a loss; but those yterel
and station wagons in each, and
the exceptions.
1959 is shaping
a choice of manual
or automatic
For the first
gear shifts.
First volume produc¬ 'up very favorably.

Thirty-five years ago Chrysler
Corporation made automotive his¬
tory by introducing high compres¬

floating

engines, Cycle weld cerhents;

France.

of

1960 with

for

Chrysler line

new

be the

talking

and

special
emphasis on the compact- Valiant} and from a financial viewpoint,
the indicated upsweep in corporate earning power at Chrysler.
A

If

going to
year everyone is
then
Chrysler
should be in a splendid position
to cash in.
Its plant is in excel¬

ing equipment, marine and indus¬
trial

DR. IRA U. COBLEIGH

By

-of

some

motor shares.

air-condition¬

and

a market advance compa¬

'

members

of

the New Yrork

Stock

.-Exchange, and other national ex,

changes,
of
211

its

announced

offices

to

the

new

Carondelet Street.

rpmain?

flip

snme.

removal

quarters

at

Telephone

Tnlane 2711.

"ST
y

Volume 190

Number 5886 T

rTke~Commercial and Financial Chronicle

~

(1363)

Savings Bank Investments

The Prudent Banker Prefers

Maine

not done

Conn.

Mass.

N. H.

New York

Vt.

Banks

Banks

Banks

Banks

Banks

Banks

U. S. Bonds

In and Out-of-State

Mortgages

-v"-

Boston, Mass.

'

Company
v'V' -;7

1

prudency of disposing of and/or foregoing
governments and corporates for mortgages. He avers mortgages are
prudent bankers' best investment; claims the greatest advantage is
.their liquidity
sold

at

and that FHA-VA loans

varying discounts, possessing

arity with
College

the

130-year-old

"Prudent

Man"

and

rule

of

case

nent gentlemen of

Jonathan
were

and

and

Boston, Messrs.

unfortunate

so

broiled

in

Amory,

to be

as

fact

banks.-

'

his

fees

and

surcharge.
In

perhaps
.

.

.

decision

a

of

even
v

..

of

.

far-reaching

such

banks

'

this

dispute with

in

two powerful

the

dismissed

and prominent*

investments

charitable

or¬

losses

how

the Massachu¬

the

Amory.'

notion

that

Be

certain

were always safe .ahd
always unsafe. He showed

others

ganizations,

of .Trustee

might eventuate

even

is

quite

He

sity

ment

the President

Feliows

and

Harvard

acid comment,

of

sideration

Col¬

Messrs.

$50,000

■

McLean

for

with

and

Widow

certain

government

stock,

or

other

tion

to

the

6%

the

over

tinued

to

dends

or

Manufacturing

to

large
of

credit

of

lie

the

you

the

invest

that

is

he

how

faithfully and
of

men

and

shall

conduct

exercise

prudence, discretion,

intelligence manage their

affairs, not in

disposition

of

own

to specula¬

regard

tion, but in regard to the
nent

a

He is to observe

perma¬

their

funds,

considering the probable income,
well

the

probable safety
the capital to be invested."
as

of

.

.

not be held to make

130-Year-Old

•

By 1828,

the

beep

recession

had

good losses in
depreciation of stocks or the

the

failure

of the fears of the
realized and

some

business

College

Amory Case

had

down the

Harvard

driven

price of these shares

so

of

the

capital

itself

.

.

.

provided they conduct themselves
honestly, discreetly, and carefully,

with

funds

in

stays
years,

any

to

20

the

thought it

in¬

invest¬

did

men

of

I

doubt

average

dollar

savings in¬
to eight
put new dol¬

our

than
us

six

fixed

was a

other

and

maturities

and

more.

of

We

15

all

Abqve
/

must

the

dollars

new

higher
the

the prudent banker

all,

avoid

vicious circle.

be

can

return

prudent

than

old

banker

so

income

will

dollars

at

dollars,

must

mightily for growth
new

If

invested

strive

that high
average

the low income old dollars. An

up

institution

that

in

much

has

one

a

in

succeeded

year

is obviously

better

shape today than
which has grown 2%. Growth

has meant

higher average income,
which has permitted higher divi¬
which
has
encouraged
growth, which has meant
higher average income
and so

dends,
more

.

on

like

groove.

record

a

.

.

stuck

in

This must be the

the

Golden

Circle of prudent bankers.
The

vicious

circle

with

starts

low government bond income and
of

rumors

depreciation,
which
leads
to
low
bank income,
low
dividend, low growth? continued
low income, continued low divi¬
dend,

continued

again

around

seems

there is

low growth,

the
no

good idea at the

of Political Cheap Money

know

from

hindsight

that
our
government gave us a bad
choice between low yield on longshort
came

criticism,
rule

is

trust

for

bonds and

no

yield at all

maturities—so

the

unwilling

that

we

victims

on

be¬

of

trusts.

had

wise, who

would

hazardous

of the

man

by

$12,000

over

or

24%. The charities

thereupon ob¬
jected to the allowance of the
Aunory accounts, and in due course
the

litigation

Court

College

vs.

Amory, which established the

so-

Harvard

case,

Massachusetts

called

or

various

states

of

the

trustees

country,

in

A

England

tinues to be
Who

of

that

much

port

of

the

case

said

be

could

confirms

in

sup¬

both contending parties.
naturally
wished
the

Amory
Widow

McLean

stantial

.

concerned

that

receive

to

a

Harvard

income.

the

McLean

sub¬
was

from

their

I

said

we

record

and

until

it

escape.

Mortgages

Are

Harvard
dowed

the

of

an

and

much

a

chair.

tee. Francis

in

donor

The

the

Unfortunately,

wise

needed

Amory,

submit

I

our

*An

en¬

trus¬

obviously
embarrassing position, fac-

€6th

address

Annual

by

was

Mr.

Breed before the
Convention
of
the Savings

Association of Maine, Dixville Notch, N.H.




of

we

look

in

intelligence

that

our

learning enough
mortgages of thtr

40's

and

As

50's.

to

the

former, it is a fact
mortgages have always been
given higher investment regard
that

and have

yielded less accordingly!
railroads, public'
utilities, and other corporations,
That is, until the Great Depres¬
than the bonds of

sion

of

the

forgetting

But, is it prudent to dispose of
bonds and go into

mortgages? We
to

remember

happened
me,

to

are

30s, and what
mortgages. Believe

course

of action. If

we

any

as a

the

prudent

going

even 3y2% in periods
prime utility bonds brought

5%

and

6%.

Furthermore,
in

sion

since

.

.

.

nificant

to

.

.

them.

v...

Portfolio

loss

very

the

only
in

banks in
in

the New

the

whole

of

see

our

spld

to

country,

.

table

we

have

accom¬

observe

-

these

September 30, 19$9.

1929

A

Com--

or

has

re¬

mortgage
Parentheti¬

years.

losses

01*

bonds of default-,

provide

withdrawals,

on

securities

liquidity

but

in

the

of

any

reports prior to

of-

the

official;

1930's.
Y-1

Possess

Qualities

of

Government

Bonds
It

seems

agreed

now

that

to

much

be

generally

as

we

hava

conquered the former scourges of

have

by the undersigned.

ca, Co.

,

againsti-

word

no

criticism appears against-

Continued

matter of record only.

Hemphill, Noyes

England states,

invested their funds. In the

panying

how

to

ing corporations, and

Arrangements for the private placement of these Notes

savings

banks.

were severe

collateral loans,

Breakdown

men

'these

nominal

those

cally, there

,

broad brush, let us

prudent

to

search of the

prior

year

vealed
losses

Now, painting rapidly and with
a

that,

depres-,

missioner's reports for every such

panic

Notes, due June 1, 1973

have been made

fact

or

State

conscientious

Kayser-Roth Corporation

the funds entrusted

a

supervision of *
savings banks be-,
gan just after the Civil War, have
mortgages ever brought any sig¬

.

.

." invested

is

panic

Massachusetts

Collectively, • he is 519
groups of bank officers and trus¬
tees, who have ".
according to

existing circumstances
honestly, discreetly, and carefully

it

recorded

no

$8,000,000

is

man

info'

us

4% and

when

'

savings

scared

but recent history.
many years the prir/10
rate on Boston mortgages"

all old enough

the

it is not prudent to take

other

30's

any

For many,

affairs?

own

fellow

average

dis¬

j

is olct

us

shock of the experience of the 30'a

for

of

men

of

none

has kept us from
about the new

banker.

and
'

counsels
and.

•

old

Unfortunately too, the traumatic

savings

day

all

first 29 years of the 20th
Century.1

'

man

II

have

enough to have known the mort¬
gages of the 19th Century and the

our

prudent

management of their

deprive

surviving

the

among our*. present
bankers?
Where do

by Harvard's full $25,000 share of
the trust, so that a shrinkage in
the fund might defeat the inten¬
of

is

will

enough
to remember
mortgages in the 30's_

doubt

Prudent

government

This announcement appears

guide today.

bankers.

they

were

such

con¬

fellow

right,

little company; if they are
wrong;,
there will be no one to save them,

other¬

the

Pro¬

fessorship of Ancient and Modern
History could barely be supported

tion

our

now

cretion

review

held

undertake

the actions of
trustees, and

guided

years

New

many

including

were

much for Harvard College
Amory and the rule of the
prudent man, which has for 130

"Prudent

Maine.

this

So

Man" rule by which are now gov¬
erned

.

r

group of men who ;
the collective1 judg¬

vs.

became the famous
Supreme
Judicial

Massachusetts

If

our

or

responsibility?"

declined

man.

in

rooted

I

sincerely fear#
however, for posterity's judgment

according to the existing circum¬
stances, in the discharge of their

that the value of the $50,000 trust

men

the, prudent
well

now

structure.

mortgages
Says

Victims

who

man

and
thereafter is found to have erred
will be subject to any
legitimate

was

growing 10%

time!

term

qan
promise that no
fbllows these prudent

f

savers'

our

rate.

government

years

low

such

low

yet all of

bonds with

or

long maturities to

more

into

in

by

if the

much

price

depreciation. The

committed

this

stitutions

market

lies

the

we

at

very

lars

the

value

and

which

We

And finally, ".
it is of great
importance that (Trustees) should

num¬

a

only

produced

ments

"Amen"!

say

banks

and 3 V2 % loans that

trouble

come

respectfully

still have

and

sold.

book

what

Boston

at deep dis¬
count today. No, the trouble does

real

as

several

be

not

himself

divi¬

in

could

will,"

"Do

sound discretion.

con¬

Trust.

4% G.I. loans, which would
hardly be worth 90 today, and I

said, "the capital is at hazard."
pf our present day holders
depreciated government bonds

to

pay

Boston

held

the

Continued Justice Putnam, "All
can be required of a trustee

annuity
these offers

shares

what becomes of

that

Several

and

to,

when

war"?

this

by the charities

Co.

ber of 3 % %

may

incep¬

very

but

the

that wrote

the

might

Manufacturing Co. and Merrimack

charities

go
down. The mortgage
minded banks have many of the

of

manner

1824.

benefit„ by

versus

ments

the

;

trust

life,

from

legal
their

Some

but

rejected and the widow

were

his

Any informed
know that
in
a

par.

would

person

these

of

period of rising interest rates, the
prices of all fixed income invest¬

know, of

he

bank

reasonable

a

for

•

in

made

widow

pursue

last

protested

trust

were

take

of

do.

day, from the

offers

the

to

vigorously/ in the

of

may

from

bonds,

charities

of the

private corporations.

.

yield

high

as*-caution

have led them

choice

in¬

government shall be so much im¬
paired as it was at the close of the

low yielding,

securities

.The

con¬

of

any

old

capital

portfolio, rather than

with

safe

a

Ann

insurance stocks

the McLean

one

favor

resorted

,

chosen to establish

trust

textile

in

liquidating
below

And also, "If the Public Funds are

Breed

Preston

John McLean,

the

"There is

of

bonds

officers to do justice. But the gov¬
ernment can only be supplicated."

Merchant

Amory had

govern¬

remedy and compel them

under the will

of

.

holder

The

Trustees

.

on

with, the father

much

vesting in

lege. As they
were

doubt

prudent

our

are still doing so, some more
aggressively
than
others,
of
course.
Surely then, the invest¬
ments of the prudent banker are
those of the average of all banks,
or
better still, are ahead of the

will be under the absolute neces¬

setts General

shed

record,

maturity and it averages in the direction in which
unlikely that any bank .they are trending.
•
; 7 *

Hospital and

obligations

we

full face value at

in the most-conservative ventures.
even

and

off

home? Did

and

price depreciation as such has any
great
significance.
The
depre¬
ciated bonds will undoubtedly pay

favor

taken

came

participate in the great trends to
detached
single family, owneroccupied housing — to suburban
living—to decentralized cities? On

be, I do not feel that

may

trusts. This is proven by the above
figures recently put before you. I

are

were

sor ~

and
intelligence,
who
according to the existing circum¬
stances are acting
discreetly and
carefully in the discharge of their

they

veterans

doing

cretion

of

our

not

are

behind by the
prudent bankers, the men of dis¬

ment

our

up

and

so

being left

depart

buidling

restrictions

of

affairs

badly balanced low

our

we go back
community
homes, stores, and factories when

.

significance, Justice Putnam ruled

and

erasers

are

to

not

condition

the

use

we

became available? Did

probably suffer from

as

we

out

income bond portfolios as soon as
better savings bank investments

bond portfolios which have depre¬
ciated in market value. True and

unfortunate

Did

sell!

sell

even

have

-

ity of fallibility is attested by the
manufacturers who put an eraser
on
the top of every pencil they

the fact that

on

19

62

cheap money. But it is
thing to make a mistake and

one

their mortgage portfolios
major earning asset of

I will not dwell
of

that

institutions

19%

16

70

another to live with it. Our qual¬

the

be

their

ing the possibility of disallowance

em¬

a

smaller

built up
to

with those of the 1930s.

Francis

the

14%

17

-67.'

political

our

conceal

16%

Banks

fFHA, VA and Conventional,

today many of our medium sized

ing "victims of political cheap money, and contrasts today's mort¬
gages

56

turn

Harvard

vs.

Back in the year 1829, two emi¬

55

mortgage percentages, the
banks of the country are
heavily invested in mort¬
gage's, most approximating 70% of
assets
in
mortgages, and these
banks not only greatly lift the
averages, but these averages in

Amory, recalls the "bad choice" days of low yield on
long terms and no yield on short terms which made bankers unwill-*

•

54

today

diversified

a

43

—

larger

mortgage portfolio has 8-12-year turnover
with 8-15% cash return of capital.
Mr. Breed indicates his famili¬

,

19

of

good market with regularlyTIX

a

quoted prices; states they offer the highest net risk-free yield;
shows that

■

like government -bonds

are

26%

16

principal categories pf investment
by percentage of assets.
Now, averages are apt to be de¬
ceiving as you know. In the case

Boston banker argues the

;

29%

20

"■Corporate Bonds, Stocks, etc.

Trust

<■'?

26%

29

Investments*

Mortgagest

By N. PRESTON BREED*

Vice-President, Second Bank-State Street

28%

Other

All U.S.A.

15

^

on

page

5#

L

16

The Commercial and Financial Chronicle

(1364)

Modernized Lending Powers

Amendment

1

.

National Bank, Thomson, Ga.

Executive Viae-Bresident, First

accomplished by
recently completed session of Congress. In summarizing the action
taken, the ABA spokesman on Federal legislation hails the change
in legal reserve requirements of member banks and the two laws
modernizing the lending power of national banks. Mr. Kimbrel is
optimistic about the eventual passage of the Mason Bill dealing
Georgian

banker

legislation

banking

evaluates

authority

final

giving

bills

pending

bank

Federal

.A

to

mergers

the previous

pass

;v7.

'

thoriaztion for

loans

construction of industrial

small.

what will happen and,

afterwards, 7 V
explain why it didn't happen.
o

g

d

o

the

of

e rs

scene

.

un¬

;

.

n

a

u

debt
M.

r y,

a

there

-

-

it would follow.

funds

bring

and

liberally
deficit financing.

on

Federal social welfare programs.
7
And three, it would disregard
.

recommendations
conservative

the

of

more

-

it did

lieve

I be¬

that the

of the Ses¬

record

And

and constructive in recent history.
1

It is evident

now

that the wrong

guessers of last January under¬
estimated the courage and judg¬
men

represent

in the Congress. They
of

us

and

who

ment of the

women

also underestimated the ability

informed

an

its

cate

those

to

communi¬

public to
write

who

convictions

and

concerns

Federal

our

laws.
of

respond

Congress

the

people whom they repre¬
Perhaps the most significant

sent.

fact about the past Session is

that

people—and, certainly, more

more

bankers—took
ble

in

authority over
bank
the Federal supervi¬

having jurisdiction
resulting bank.

the

two

four major objectives,
enacted into law, one is

were

half-way

through the Congress,
good initial progress has been

and

made

the time and trou¬

to

Reserve

Requirements Re¬
form Act won overwhelming ap¬
proval in both the Senate and the
and

House

dent

become

Public

Law

signed by the Presi¬
July 28. In addition to

on

Governors

rarely "has

government
the

of

We

Committee

on

Fed¬

Legislation and the Washing¬
staff

operation

this

Associations
members

received

have

year

and

of

fine

from

co¬

both

banking's

family.

While that cooperation is encour¬

aging to us, it is more important
as a sign that bankers as a group
are
accepting their responsibility
in
the
business
of government.
This is the foundation of

legislative

an

program.

effec¬

It

does

member

part of their

law fixes the

requirements for

central

serve

reserve city
and re¬
city banks at 10-to-22% and

requires
no

or

new

range of" reserve

the

elimination

reserve

the

on

of

the

city classification

later than July 28, 1962.

It also

Board

to reclassify
city and reserve
lower classification

reserve

city banks to
the

a

basis

of

the

individual

bank's business characteristics.
One important effect of the law

State

individual

permit

cash, the

central

put to better use.

to

banks to count all

vault

is to

give the Board greater flexi¬
bility in promoting sound eco¬
nomic
growth.. The vault cash
provision is of great potential im¬
portance to smaller banks in par¬

ticular;., when
invoked
by
the
Board, it will place these institu¬
tions in a better position to meet
the

legitimate

credit

of

needs

not

their communities.

against losing by default.

The Association vigorously sup¬
ported this legislation in the Con¬
gress.
As a matter of fact, enact¬

guarantee winning every
battle but it does guarantee

The

Congress

in

recent

years

bad enacted relatively little bank¬
ing legislation. Its attitude has

ment

ranged from indifference to antip¬
athy.
Last
year,
for
example,

by the

the

our

proposed

tions

Act

died

Financial
in

the

Institu¬

House

of

Representatives chiefly as a result
of vigorous opposition of a
iew
Members.

Inasmuch

as

that

bill

contained practically all of the
major banking law revisions then
pending, the sum of banking leg¬

of

the

culmination

legal

of

law

represents

a

five-year effort
ABA in behalf of needed

reserve

reforms.

In

1954

Economic

the

Federal

area

and

Reserve

recommended

to

encourage

authorities

Congressional

to

Berpn

County

Mr. Kimbrel before tbe

Bankers

Association,

Bochelle Park, N. J., Sept.
17, 1959.




It is obvious that patience and
persistence play a big part in any
,

;

.

of

a

taxing

savings and loan associations and
mutual
savings banks so as to

institutions to bear

permit these
a

fair share of the tax burden.

would

It

the avoidance of
mutual institutions
through the device of paying out
more of their pretax
earnings to
prevent

taxation

by

it

would

the

serve

We believe

and

purpose

$400

to

$750.

izing

the

credit

Instead

unions

directs

and

central

—

Bureau

Unions

author¬

proposal

opposed

the

Credit

a

—

strongly

we

of
of

formation

to

it

of

which

simply
Federal

study

the

idea

report on it to the Congress.

Judged by any reasonable
standard, this has been a good
year
for. banking legislation.
Banking's;.views

have

been

ac¬

principles of a sound, com¬ corded a fair hearing and con¬
structive
attention.
We
cannot
petitive financial system.
The inequities that result from fairly expect more:
A great deal bf work remains
existing laws
are
obvious and
be done,
acute.
In 1958 commercial banks to
particularly in the
the

.

income

Federal

taxes

crucial

field

initiative

of taxation.

and

For

the

amounting to approximately 41%
of their net income, while savings
and loan associations and mutual

suasive

powers

needed

to advance

savings banks paid approximately
1% of net income.
Neither the

objectives in coming Sessions, we
must
look
chiefly to our own

public

interest

future

the

nor

soundness of financial institutions

is advanced by so

sion

lopsided

a

divi¬

Mason

per¬

will

.

this and

be
other

The, need, now and for the
future, is for the personal interest
and participation of
every mem¬
banking's family.

is

Bill

pending be¬
fore the House Ways ana Means
Committee where all tax -legislation starts.
It iff one of a great"
The

that

and

ranks.

ber of

of tax obligations.

education

Hugh W. Long & Go.

.

Names Officials

,

in this sector of the taxation field

Committees, Represen¬
tative Brent Spence of Kentucky

is favorable.

Currency
the

in

and

House

Robertson of

Willis

Senator

Virginia in the Sen¬

ate, were among leading suppor¬
ters of the bills. : 7 r :

How

the action

soon

and what form it takes will

comes

depend upon a number of things,

including the degree of public in¬
support which is mus¬

terest and

of the Mason Bill

tered in behalf

The fact
in these laws, as I in the months ahead.
that the ABA, the Independ ent
was
privileged to state in testi¬
fying before the Banking Com¬ Bankers Association, the Bankers
Committee for Tax Equality, and
mittees, are consistent with sound,
Committee are jointly
modern banking practices and will the Roth
permit national banks to better backing the Bill is all to the good.
But
decisive results will be
serve their customers. 7"
achieved only if organizational ef¬
Bank Merger Bill
forts are strengthened
and sus¬
A bank merger bill which ac¬ tained by the efforts of individual
and

work

members.

passed the Senate in May and
probably will be taken up in the

verance

House next year.

plete listing of other Congressional
developments
of pertinence
to

We shall recom¬
House action.

mend favorable

Introduced

Robert¬

by Senator

(S. 1062) would fill
present law by placing

the Bill

son,

void

in

Hard

Time

does

Among the more impor¬
items are the following:

banking.
tant

final

effect of tightening the procedure

the

of

effect

One

month.

Thomas J. Herbert

Company,

bills

Mr.

ceed

ident

Board

Reserve

FDIC must take into

or

these
given

port

the

are

the

next

account

when they
consideration

measures

active

the omnibus housing bill as passed

petitive factors. Each agency also
would be required to consult with

sions

well

as

as

others for the purpose of de¬
veloping uniform standards.
This procedure, in our opinion,
would insure responsible control

the

and

President

the

to

sent

final version

and

third

The

week contains

a

of

last

number of provi¬

recommended

by the

Asso¬

ciation, including one that would
exempt FKA-insured loans from
the
aggregate real estate loan
limit of national banks.
The bill

also omits several provisions
Certainly, it is which
appeared in the earlier
superior to another proposal,
versions and to which we objected
turned down by the Senate, which
as
being inflationary or incon¬
would have subjected bank merg¬
sistent with the Federal Govern¬
ers to the Clayton Anti-Trust Act
ment's housing responsibilities.
and
to the administrative
judg¬
of

bank

mergers.

of

ment

the. Justice Department.
'

—-

-

Tax Treatment Bill

,

With

respect

to

legislation

to

financial

program

this

year's

tion

Associa¬

by advocating a specific tax

revision

formula

Introduction

in

taken

a

goal.

Secondly,

of

the

First,

and

the

securing its

Congress has

big first step toward the

of

that

goal

is

achievement

going

to

require

substantial time and effort and the

First

National

Daniel

Ex¬

and

Mr.

well known in banking

are

circles.

15

Herbert

Mr.

Both

Herbert

Mr;

was

associ¬
City

with the First National

Company of New York for
and with the American
Bank and Trust Com¬

years

National

of Chicago for seven years,
resigning
as
Vice-President of
that bank in 1951 to join the Long
organization.

He is the author of
Banking

the American Institute of

textbook, "Investments," and since
1943 has been a member of the

of

faculty of the Graduate School

Banking.
Daniel has also been asso¬

Mr.
ciated

Graduate

the

with

Session

Credit

to

Union

man

has

revise the
Act

Thesis

or

Business

Small

The changes con¬
^

Legislation introduced early in
the

Banking

of

the

generally to ABA .views;

Federal

would

and

and

for

the

lishment of central credit
As

finally

form

and

passed
sent

to

in
the

a

as

School

Board of Trustees of

the

of

a

Panel

Virginia Bankers School. E[e
lectured before the Virginia

Virginia Bankers Con¬

West

and ' has instructed
many classes of the American
stitute of Banking.

ferences,

have

estab¬

unions.

modified
President,

in
In¬

t

provided for extensive liberaliza¬
tion
of
the
powers
of Federal
Credit Unions

the

the

accept this position.

to

lending

business

the

Administration.
form

observations.

the

and

Investment

Business

Small

the

Act

institutions,

to suc¬
Daniel

faculty member
Examiner since
1949.
He served as a member of
the Board of Regents from 1955-.
1958.
At various
times he has
been a member of the Trust In¬
Small Business Investment Act
vestment Committee and the Re¬
The Congress also made mod¬ search Council of the American
erate adjustments with respect to Bankers Association. He is Chair¬

provide for fair tax treatment of

developments support two definite

Mr.

investment Vice-Pres¬

pany

Session.

the
banking factors involved and also
must request a report from the
justice Department as to the com¬
competitive factors

Inc.,

Herbert.

as

of

Trust

Federal

wholly-

change Bank of Roanoke, Virginia

60% to 66%%. We expect to sup¬

assess¬

Company,

agement
resigned

ated

the

company's

owned subsidiary, Investors Man¬

would

increase

Long

been

Vice-President

Executive

the

of

has"

Daniel

H.

Robert
elected

ment credit to insured banks from

to

Chairman of the Board of

named

Directorsf

jected.

be

West¬
Herbert

Mr.

Parker.

Daniel

H.

succeeds Hugh W. Long, who was

to which merger

requests are sub¬
It provides that in acting
on
a
merger request the Comp¬
troller
of
the
Currency or the

Robert

Incorporated,

at

minster

perse¬

much in demand.
not permit a com¬

are very

Legislation providing for a sim¬
authority
in the Federal pler method of determining the
bank supervisory agencies under base of fhe FDIC assessment was
{
conditions " that would ^have the* introduced
in
both
houses
last
a

ac¬

tion.
*An address by

loans..

provide

Chairmen of the full Banking and

a

Policy Commission
undertook a thorough study of the
reserves problem and
publication
of the results of the study in 1957
served
to focus public
attention
on

estate

would

method

maxi¬

the

pending tax bills which the
Public Law 86-230 is primarily,
Committee will endeayo^ to eval¬
a technical measure.
It eliminates
uate and process in the comipg
ELIZABETH, N, J.—The elec¬
obsolete provisions jn older laws
of
Thomas
J. ? Herbert
Session; As a preliminary to this tion
as
governing
national
banks
and
President and director has been
the
Committee will
hold
step
makes a number of other helpful
announced by Hugh W.
hearings in November at which
Long and
changes.
7 V" 7 ". 7
7
specialists in various phases of
Both of, the original bills were
taxation will offer recommenda-:introdu ced
by
Representative
tions.
-7
•1
• • ;
7 •> Paul Brown of Georgia, who is
Expects Passage
Chairman of a key House Banking
The outlook for eventual action
and Currency Subcommittee. The

86-114 when

permits

been

cer¬

on

instalment

consumer

—

and

cords with the Association's views

the other.

on

The

sentative

tive

to

up

Of these

central

ton

banks

supported legislation to

we

give Members of Congress
their individual views on impor¬
tant issues.
The theory of repre¬

eral

lending

giving authority to the Board of

Members

to

na¬

agency

sory

of

one

limitation

the

of

7950

R.

base

increases

measure

mum

The changes

final

over

as

substantial

governing

laws

of national

mergers

completed will stand up
the most responsible

sion just

in

powers
date.

Congress,

of these things.

none

mem¬

over

powers

tional banks to bring the

vest

the

of

credit

the

To

bad

;

recommended

changes

in the coun¬

groups

try, such as bankers.

7

»

require¬
ments be revised to permit the
counting of vault cash as part of
the required reserves.
We

•

•'

banks' legal reserve

ber

.Two, it would substantially ex¬
pand

Board's

serve

provide

to

that the Federal Re¬

We asked

rt-

basic

.7/7.'/7,-\
One, it would expend the public

'

and

industry-wide

formula for commer¬

reserve

cial banks. 777

Kimbrel

Monroe

was

general agreement as to the
course

.institutions

adequate,

an;

con-

taxation

reasonably equal

commercial and mutual'finan¬

of

cial

last

vened

J

about

86th

Congress,

dairy cattle, and some modi¬
of

H.

new

many

.

Session

the

of

'

the

; When
First

cer¬

on

tain loans secured by frozen foods
and

real

7, We. advocated'changes in the
Federal income tax laws to bring

defi¬

that

der

nition.

the limitation

this year encompatfsfed
many facets of banking
legisla¬ loans. It also raises from 66%%
the maximum
lpan'-totion.
Of these, four were of the .to* 75%
vaiue ratio of 20-year amortized
'broadest significance:77;7; 7 ; -

busily
qualilying
as
statesmen

an

borrowing authority, an

tain types

program

now

are

authorized
loain
maturity
limit from 3 to 5 years and raises
the
unsecured
loan
limit
from

the> paid

com¬

provide/for

It also

increase in

fication

legislative

Association's

The

Congressional

the

to

increased

-am

or

without being
real estate-loan

buildings

limitation.

pleased to report much
happier results from the Session
that adjourned this week.

"ex¬
observ-

mercial

subject

:

.

in

Recent Years

;

;

I

many

pert"

"

,

Happier Results Than

.

A

in the 85th Congress was

islation

Winston Churchill has defined a
statesman as one who can predict

and

financing

for

authority

new

increased dollar

an

of construction

volume

supervising agencies.

•,

the

those who
equitable taxation.

in

7 their account holders.

7

the

measures,
Public
86-251, revises the lending
powers
of national banks in a
number of respects, including au-

the

bank

over

Bill

Law

be given next year to

vigorous support will

He announces

banks.

Institutions

which failed to

Congress.
One
of

favored by commercial

with tax treatment of financial institutions as

like

laws,

Financial

the

Thursday, October 1/.1959

.

concerted support of all

—

national

the

of

the reserves re¬
form, has been a long-time Asso¬
ciation goal.
It was achieved by
the enactment of two bills signed
into law only last week.
Most of
their provisions were included in
bank

Chairman, Federal Legislation Committee,
Bankers Association and

Con¬

The Mason Eill which we favor

By M. MONROE KIMBREL*

American

the

to

gress.

and Congress

.

believe^

approach

successful

Bank Legislation

.

Allen Tobey
Allen

senior partner in

Tobey,

City,
of

New York

Kirk,

&

Tobey

passed away Sept. 14 at the age
69.

'

.'

'

'

•

-

7

"

'

■

..

Volume. 190

;

Number 5886

.

.

The Commercial and Financial Chronicle

.

It

(1365)

ness

•

•

from

away

the

rails, Hevi-Duty Electric. These

themselves aren't in much in¬
quisitions

•

vestment esteem and also

to

can

offer

high yields. National
WALLACE STREETE
City Lines in this group, pri¬
marily a bus operator but
planning to take over United
The recovery in the stock
Motor Express in a millionpany would turn up a profit
market ccntinued but the go¬ of $20 million or better after dollar deal, ,vhas a
yield ap¬
ing was increasingly harder five years of red-ink opera¬ proaching 7 %\d e s p i t e the
BY

week

the

traders took

as

sidelines

to

to

tions.

The

get a better shares

old

were

also supported

Studebaker

by

romance

sification.

idea what would emerge from the largest short interest
the-> labor
and
management around for any

single issue.

conferences

House

White

the

in

designed

to

get

the

The motor

speculation

::

-

Steady

;

over

50%

ac¬

promise to continue since it

sales

of

owns

the

heavy duty apparatus
industry and large power

for

.

t:

-

■

have

their

stood

ground well despite the

rec¬

a

other

the

costs
coming licensed to

rest

distribution

is

which

is

cutting
being -

and

more

more

cigar companies. Here

another

where

case

the

systems, plus a shares available
publicly are
of supplies for restricted since Bush Termi¬

smattering
missile guidance
systems and
radar applications.

nal holds well

?

1,418,000
standing.
V'

a

*

a

third of

shares

out¬

"
*

'

*

-

;

,

,

Lorillard in the
cigaret sec¬

sign of "growth," Basic Prod¬
offers '

over

the

•

Unlike the rocket
age items *
where low or no
yields arethe*
ucts

for

process

cigar

from

■

.

Steels

malt

pending diver¬
;

I Steels

*

-

of its

only around

total; with

r

this

the

cut

tion of the tobacco
well has calmed
down

return

industry
considerably

above

average,
approaching after contributing much in the
steel strike ended.
which1 the most debate
raged ord-breaking length of the 5 % at recent prices. The issue*
way
of fireworks to stock
strike. The assumption that
\
.V•
,*■
*
*
was American Motors and its
has been
decidedly pedestrian, market action last
filling the pipelines after the
year. Much
Spreading layoffs; as steel ability to stand off the com¬
holding in a range of around;
strike ends will
of this was based on its suc¬
^ give
them seven
supplies dwindled increased pact car competition from the
points all year, despite
boom
times is encouraging a
the concern over the strike Big Three. Its brand new divi¬
pronounced upturn in earn-1 cess with the Kent line. But
holders to sit tight. There was
stalemate and weighed heav¬ dend rate offers around 4%
ings in the final quarter of its the growth hasn't stopped and
some
idle speculation as to
fiscal year that ended
ily on the stock market as the plus stock paid this year and
July 31. Lorillard currently is promot¬
which of the standard steels
the
■

•

analysts

tried

figure out
long impasse
will pare from corporate prof¬
its in the remaining months of
how

much

the year.

:

-

*

.

to

the

*

*

*

is

company

confident

sufficiently
planning a
in capacity.

be

to

boost of one-fifth
It is

will be the best candidate for
a

rebound. And

good part of
conjecture settled on

such

a

decidedly-

were

face

of

the

a

intense

bit

more

diversification than

.

The "Minor" Motor Issues

in the

quality section, for in¬

Active

American

Motors

stance,
was

in¬

offers

better than

an

The

a,

return

Another

of is

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

the

long-ignored

stores

connection
any

271,553 Shares

,>

_

'

,

stocks

Company

will
=■

are

being offered the

September 25, 1959,

on

privilege of oversubscription, subject to allotment. Subscription Warrants
expire at 3:30 P.M., Eastern Daylight Saving Time,

The several Underwriters have

chase any

period,

on

October 13, 1959.

agreed, subject to certain conditions, to

pur¬

unsubscribed shares and, both during and following the subscription

may

offer shares of Common Stock

forth in the Prospectus.

as set

to

."General
shown

the

the lure of
year,

yield,

stock

a

although

its

while

F. S. Moseley

& Co.




.

of

presented

are

an

buy

those

any

the

time coin'

"Chronicle.**
those

as

only.]

offer

any

Collier

to

sell

nor

a

of these securi¬
prospectus.

zation
even

,

s

Stock

(par Value $.01)

....'Wv

>

Price $1.00 per share

is

small

1,305,000

s

added

and the
a

be obtained from undersigned

may

float

block of

held by
nearly 40%
capitalization.

h

Stores

Copies of the Prospectus

The capitali¬

year.

smaller since

United

a r e s

is

WILLIAMS

&

ASSOCIATES

Commerce Street
I

newcomer

'

.

I

i

Paine, Webber, Jackson & Curtis

a

1958 it branched out from the

barley malt business in which
it

MArket 3-7228

a

wis

one

of the world lead¬

by acquiring Sola Electric
and earlier this year added
ers

Newark 2, N. J.

to electron¬

rather

long period
one-product specialty
firm is Basic Products,
the
former
Froedtert
Corp. In
as

•

Acres, Inc.

Common

(N. Y.)

September 18, 1959

of the
„

300,000 Shares

24

Lee Higginson Corporation
•

They
author

to

necessarily at

with

offering is made only by the

.

Blyth&Co.,Inc. Kidder, Peabody&Co. Stone & Webster Securities Corporation

.

offer

not

cide

Electronics Newcomer

The First Boston Corporation

Hornblower & Weeks

do

3%

This advertisement is neither
an

by Kent.

the

at

of the McLellan chain

early this

The

White, Weld & Co.

at

earnings

solicitation of
The

a

spec¬

[The views expressed in this article

working higher and

ties.

digesting the

time

ics after

-

duced

split this

still is available

have been

growth

that it has had

now

after

new

tightening up in¬
ternally to increase efficiency
and complete the absorption

Copies of'the Prospectus may be obtained from any of the several underwriters,
including the undersigned, only in States in which such underwriters are qualified to
dealers in securities and in which the Prospectus may legally be distributed.

'

phase
rest

industry and had

act as

-k

in¬

a

growth tacular spurt in sales pro¬

superior

rate in the

the brink of

on

Cigar which has

of the south and south¬

of the total

•

cigars,

rapidly growing

modernization

Company's outstanding Common Stock

more

subjects of the day,
such
as
rocketry. McCrory
ranks
fifth
in
the
variety
chains,
including important

same

shares of Common Stock held of record

switch

in¬

cluding the smaller versions,

The management is ac¬
celerating expansion and

right to subscribe at $56-75 per share for the above shares at the rate of one share
ten

a

will

scares

west.

(Par value $25 per share)

for each

duce

cancer

group
where

the

with

outlets in the

Common Stock

with

named

yield of above

romantic

areas

Boston Edison

Holders of the

entry,

be

much

of these securities.

September 29,1959

:

up¬

-

a

*

*

NEW ISSUE

:

new

6%.

*

This advertisement is neither

pronounced

a

i

yields are well above average,
running to nearly 6% in Mcgood gains, but Studebaker
The ironic fact is that the Crory-McLellan Stores. Con¬
issues continued to make the
sumer
spending has been run¬
bus lines and truckers, who
new
highs lists when official
estimates were that the com¬ have taken important b u s i - ning high but without attract¬
ing attention to the benefici¬
aries that lack any important
clined to falter after its recent

Despite,

its

Spring. With

turn in business for the first' 6% at recent levels, Lorillard
by no means sure, how¬
Bethlehem Steel which, with
time in years, there "is still is
ever, that the company can
definitely indicated for in¬
its shipyard
operations, offers
meet all .the objectives in the
plenty of skepticism over how come advocates and could

competi¬
some of the others. It is also
moderate for- the third quar¬ tion about to develop, and this
an issue that has a bit better
is what keeps the
ter once the strike; was as¬
argument
yield in the 4% bracket than
sured, since it normally is a
some of the others available.
slow period with vacations
*
*
*
:
Rails, which were the first
holding down: production at
Like the rails, the motors
best. But a rousing windup to suffer from reduced busi¬
seem
to benefit more from
quarter and adequate supplies ness as the steel plants closed
talk of an end to the strike
of steel had been counted on down,
were
helped by the
than the companies directly
to boost the total profits for moves to get the strike set¬
concerned.
General
Motors
1959
to
record
and
near- tled, although there was little
was able to show
good action
record levels. These projec¬ recovery,
as
more
carriers
even
while announcing cut¬
to
tions had a large part in justi¬ started
dip into deficit
backs in operations because of
fying some of the price peaks operations. Their moderate
steel shortages. It is also an
posted during the early sum¬ improvement failed to change
established
dividend
item
the fact that this is the section
mer
rally. Any serious down¬
with a yield a bit above aver¬
where high yields prevail that
grading of the favorable prof¬
age well toward the top of
it
figures would hardly be even the high bond yields
the 3% bracket.
aren't in any position to chal¬
encouraging.
lenge. Louisville & Nashville Interest in the Stores Stocks
Projections

ing

Tobacco Queries

WOrth 4-2396

-

'

Chronicle

The Commercial and Financial

Thursday, October 1, 1959

.

(1366)

18

CON SO LIDA TIONS
NEW

BRANCHES

NEW

OFFICERS, ETC,

REVISED

the board of
First National
City Bank of New York, Sept. 29,
•appointed James S." Rockefeller
Effective

1,

Nov.

of the

'

announced- was the re¬
tirement on Oct. 1 of DeWitt A.
Also

Vice-Chairman and di¬
rector. Mr. Forward has had gen¬
eral
supervision of the bank's
domestic and overseas loan port¬
folios and served as Chairman of
Forward,

of the economics

charge

in

Vice-Chair-

Temple,

H.

Alan
man

public relations departments,
continues in that office;
7 :'

and

.

Wriston, Senior

Walter B.

Vice-

European,
African and Middle Eastern af¬
fairs for the bank, will assume

the over¬

general supervision Of
S.

division.

seas

Richard S. Perkins

Moore

retirement Mr. Shep¬

his

With

completes over 43 years with
National City. He was ap¬

erd

First

pointed Vice-President in 1929,
Senior Vice-President in 1940 and
President and director
in 1948.
He also served as

Chairman'of the

affiliate, then City
Farmers
Trust Company,
December 1952 to January
trust

bank's
Bank

from

1957.

1958.

will retire on
of 65 under the
bank's retirement plan. Mr. Shep¬
erd will also resign as of Nov. 1 as
a

at the age

director of the

affiliate, the First National
City Trust Company. He has held
the office of Chairman, and Mr.
.Rockefeller has been
President,
Effective
board

kins,

1952.

the

the

date,

same

appointed Richard S. Per¬

Chairman of the Executive

Committee and

George S. Moore,

President.

Perkins

Mr.

Vice-Chairman
1953
of

and

the

has

been

National

First

City Trust

Company since 1957. He will con¬
tinue
in
the
latter
office. Mr.

Moore,

Vice-President

Executive

1952, has been in charge of
the overseas division since 1957.
He headed the national division

since

Mr. Moore

from 1952 to 1957.

was

is

the

since

pointed
company

George

S.

ap¬

the

(now First National City Trust
Company) in 1927.
In 1931 he
Perkins.

He

was

Vice-President

and

appointed
in 1934

Vice-President

Dec.

30, 1952
Executive

1939.

in

On

he was appointed
Vice-President in

v.~7

" "...

V

.

*

*

.

*

,

Texas.
The
E. Davis and the

County,

President

is

O.

.

Cashier, Ed Watson; the bank has
a
capital of $250,000 and a sur¬
plus of $250,000.
..777 * 7 *

capital

mon

Tex.',

shares, par value $20.) *.. -::'v
-7

•

7.

r

George
elected;

•'"*

'*

*

'

appointments of Thomas E. in favor of consolidation, accord¬
and.-Edward F. Eiwea ps,
ing fo Ira G. Amsler, President of
an-L
Hill Top, and M. A. Cancelliere,
nounced by Mr. Flanigan;The

Calif.

;*\ "•

,

•*

Bank

of

Quinn
and

1927

in

the bank in
was appointed
Manager. * Mr.

joined
1957

Branch

Assistant

joined the bank in 1930 and
was
appointed Assistant Branch
Manager of the bank's, Boynton
Eiwen

Office.

Avenue

<

.

.

7.

and the Pennsylvania Sec¬
It will be pre¬
sented "to
stockholders of each
bank: for
approval
at 1 special
meetings to be held soon.
rency

retary of Banking.

*

#

7

*

.,

v'

-

U. Ford, formerly an
Assistant Vice-President, has been
named a Vice-President in Bank¬

Quintin

Company's New

Trust

Personal

7\ Hill Top Bank was organized in
1900

It

Jan.

on

the

sale of

sj:

'

new

Th£

"

common

into The

and

with

N. Y. in¬
capital stock

Laurel, Dela.,

rectors,
Farmers

$1,130,000 to $1,500,000, ef¬
fective
Sept.
14.
(Number
of
shares outstanding
—
150,000
from

with com¬
merged

Pacific Grove, Calif, into

;-

President, Di¬

and
Company
of
the
Bank of the
State of

the
Presi¬

Delaware, Dover, Dela., under

proved

holders; of

those

Work, Chairman of the
Pen¬

T. A.

and

Vice-President, of
Trust Co., Balti¬

Executive
Maryland

more,
.

7

Md.
7- 7

a

*

*

7 *

_.

has

Fishwick.

John; P.
elected

-7

Board of the three Monterey

/ \

banks.

insula

ject to the final approval of the
Comptroller of the Currency and
the California State Superintend¬
Banks.

of

ent

*

'

opening of business Mon¬

At the

day morning, Sept, 28, The First
National Bank of Monterey and

at

office

branch

its

7_; Seaside

become,

*

of The Bank of

National Bank and
in Steubenville,
Steubenville, Ohio, with common

Franciscb,

First

Company

be obtained from the undersigned in

consolidated, ef¬
close of busi¬
ness
Sept. 12. The consolidation
was
effected under the charter
and title of "The First National
Bank
and .Trust
Company
in
Steubenville," with capital stock
of $1,475,000, divided into 147,500
shares
of common-stock of the

State in which the

Underwriter

par

as

of

the

value of $10 each:
*

SANBKUHL & COMPANY, INC.

.,

Paul

1

of the
;

Director

of

*

*

*

and

Bienvenu,

Ross

D.

Q. C., were elected to
of Directors of the
Bank of Montreal, Montreal Ca¬

McMaster,

Board

nada

on

These

Sept. 22.

appointments have been

resignation of

George
P.
Vanier,,
D.S.O., M.C., on his selection as
Governor-General of Canada, and
the death last month of Chilion

for

Q.C., both of
the Bank's
number of years.

Heward,

G.

had

served
a

on

Swesnik & Blum Sees.
Securities Corp. has bdep

formed with offices

■

The Mer-

whom
Board

WASHINGTON, D. C.—Swesnik
& Blum

'

at 1411 K St.,

to; engage in a securities
of Terrc
Haute, Indiana, increased its com- business. Officers are Richard H.
f moh capitalTstock from $500,000 Swesnik, President and Secretary,
chants

Mitchell 2-0420

■

"

'

*

By a. stock dividend
National Bank

'

Newark 2, New Jersey

.*/

Ma j.-Gen.

stock of $50,000

any

.

America,. San
Calif., died Sept. 21.

Bank

the

made following the

fective

legally offer these shares in compliance with the securities laws of such State.

..

*

*

Bocqueraz, 87, a

Leon

of

the

Trust

1
*'••••

merger were

The nlans for the

been

Richmond, Va., Herbert
C. Moseley, bank President
an¬
nounced Sept. 24.
The new Di¬
rector
also
will serve
on
the
bank's Roanoke Board.

FIBERS, INC.

office.

Grove

member of the General

/




\

'

:

The merger was effective at the
close of business on Sept. 25, sub¬

given in the Aug. 20 issue
"Chronicle," page 742.
-

7

Virginia,

V "

Bank,

National

Crocker-Anglo

'

Offering Price $3 Per Share

September 30, 1959

iri

institutions

meetings .'held
Sept. 22, it was announced jointly
by Paul E.' Hoover, President of
separate ^special

respectively, the Mon?
and
Seaside
offices
of
dent, Directors, and Company of terey
shares, par value $10).
the Farmers Bank of the State of Crocker-Anglo
National Bank.
*
*
*
'
>
The ; Bank
of
Carmel became
Delaware," effective at the close
~First Trust Company of Albany,
the Carmel office and The First
of business Aug. 14.
Albany, N. Y. was given approval *
*
*
National Bank of Pacific Grove
by the New York State Banking
Crocker-Anglo's Pacific
Robert D. H. Harvey was elect¬ became
' The

of

title

and

charter

$1,375,000; and The Bril¬
Savings Company,
Brilliant,
Ohio,
with
common

Raymond Boulevard

of

Crocker-

NationalBank was ap¬
by the respective •share'-f

Anglo

liant Bank and

1180

Calif7

Car-mel,

National'Bank

First

The

The

Calif.,

stock of $100,000 was

mon

Middletown,

its

Company

*•

*

and

Carmel,

National

First

Monterey,

Hill

National Bank of

'Peoples

Laurel,

stock the
Mid-

National .* Bank,

dletown/'
creased

si:

as

1903.

2,

*

Moore, Chairman of the Board. /
*

reorganized

was

Savings and Trust

Top

Division, it was
Sept. 23 by William H.

Hill Top German Savings

as

Bank.

York,

Trust

announced

By

•

.

,;7

ers

WPNB.

of

joint plan of consolidation
has received preliminary approval
from the Comptroller of the Cur¬
The

;

*

*.

of The

Merger
of

Mr.

-V

' j:V

,

stock of

•

■

F.
Ernst
has 7 been
Vice-President of- the
America, San Francisco,.

of

Bank

(Par Value 10< Per Share)

may

'

7

a,

Bank

Quinn

7. The

may

to

$200,000, effective Sept, 10. (Num?
of shares Qutstandirig—il(j,(jt)D

Assistant Secretaries was also

CLASS A COMMON STOCK

Copies of the Offering Circular

First

from 1 $100,000

ber

(a New Jersey Corporation)

undersigned

;'j

..

Crockett,

of

increased

was

,

com¬

Bank

National

;

.>.

».*

dividend the
stock of The

a: stock

By

directors of Hill Top
Bank, Pittsburgh, Pa., have voted

100,000 Shares

GEORGIA-BONDED

:7 ' 7-

*

'

issued

was

Beaumont,"1 Beaumont,

Jefferson

and

Board of Directors

-

*

of

the

,

Pa.,

■■■

■

7' "

*

t

.

an offer to sell nor a solicitation to buy any of these Securities,
offering is to be only by the Offering Circular»

' '

stock

a

Bank

Pittsburgh, Pa., with common

This announcement is neither

.

by

from

Sept. 11
Comptroller of the Cur?
to the "Gateway National

,7:77,7- p':-. by

Trust Company,

Fidelity

the

and

;

the

NEW ISSUE

from

rency

" 7- 7

^

ed

The

Val-

of

value $10).

par

charter

A

Nfc#ark,

Ctf.,
7;

•

"County

becamte'assistant to the late James
H.

.7

*

*

$300,000

7.7-7

,

,

Farmers Loan and Trust Company

Assistant

shares,

a

Newark

"

of the

joined

Moore

-

-

.

1957.

in January

Banking

Bank

increased

effective Sept. 14, 1959.
(Number
of 7 shares V; outstanding — 35,000

stock of $5,078,030
consolidated.
appointments of Alfred V.
Effective as of the close of busi¬
Feuerstein
as
Assistant Auditor,
ness
Sept. 11.
The consolidation
and Melville N. Williams as Re¬
.w&s effected under the charter of"
gional Auditor of Manufacturers
National Bank &
Trust Company, New York is an¬ Peoples First
Trust
Company and under the
nounced by Horace C. Flanigan,;
tit^e "Pittsburgh National Bank,"
Chairman of the Board.
"'
with capital stock of $30,261,400,.
Mr. Feuerstein joined the bank"
divided'iftto 1,513,070 shares of
in
1937 '-and was appointed -Re-:;
common stock of the par value 01
gional Auditor in 1955^7
\7$20 each.
7,^ ..
.7,
* - 7
Mr. Williams joined the bank in* •'*••*. ?
-f
,
1937
and was
appointed ; Senior
Examiner in the auditing depart?, -J- Directors 7 of Western Pennsyl¬
vania National Bank, Pittsburgh,
ment.
7" " "
;
- - 7

appointed

was

elected

:

stock of

capital

and

value

par

$300,000 to
$350,000 by the sale of new stock

The

President of the trust
in December 1951 and

Chairman

E-Vsex

President

son

was

by

Sept.

-jf

was

to

dividend

v Y'- !'1

National

the

of

.

He

1948.

Oct. 6.

on

bank Overseas.
*

Chairman
of
the Board
of National City
from 1933 until his death in 1940.
Mr. Perkins joined the trust com¬
pany as Executive Vice-President
in March 1951, having been a di¬
rector

Maride

Director

City Bank of New * New Jersey

there

branch

ates of the

H. Perkins,

late James

December

since

Chairman of the Board

Perkins

Mr.

bank and of its

trust

since Dec. 30,

-

' William

-

*

National

Ga.,

$250,000

Peoples First National Bank &
This will bring to 79 the, num-; Trust Company, Pittsburgh, Pa.,
with common stock of $16,720,000;
ber of branches, offices and affili¬

1931, As¬
sistant
Vice-President
in
1933,
Vice-President
in
1940,
Senior
Vice-President in 1948 and Exec¬
utive Vice-President in 1952.
;

ard C. Sheperd, who
1

•

•

in 1930. He was
Assistant Cashier in

an

Executive Off icer to succeed How¬
Nov.

'

City

and Chief

Chairman of the Board

•

dosta,

(South Africa, Ltd.), opens

York
a

shares,

common

First

The

its

r"

ir.r'"'^

South
affiliate, -7 TheT*

its

when

Africa,

Rockefeller joined National

Mr.

The

Bank,

increased

Mass.

shares, par value $25).

ing facilities in Cape Town,

Mr. Forward

S. Rockefeller Howard ,C. Sbeperd

River,

National

effective

(Number of shares outstand¬

ing — 75,000
$100).

common

City ,Bank of
the first
American bank to provide bank?

ident, Senior Vice-President, arid
has
been
Vice-Chairman/ since
James

Fail

River

Fall

The

$7,500,000

to

*

will become

York

New

joined the bank in
1916. He has served as Vice-Pres¬
'

16.

III.,

capital stock

common

dividend

and

Bank

Chicago,

of

$6,000,000

stock

a

National

Company

from

.i

"

..

and

stock, both of the par value of $50
each, to $1,000,000 consisting of
20,000 shares of common stock of
the par value of $50 each.

The First National

President in charge of

George

"B"

shares of preferred stock
20,000 shares of common

capital stock from $400,comptroller division and the na¬ 000 to $600,000 by a stock divi¬
tional and overseas divisions.
7- dend, effective Sept. 18, (number
*
*.■
* (/
"
77 of shares outstanding — 24,000

First National

committee. ;•

the money

increased its

supervision of the bank's network
of
78
branches in 27 overseas
countries.'
7.
Mr, Wriston joined the bank in
1946. He was appointed Assistant
Cashier in 1950, Assistant VicePresident in 1952, Vice-President
in 1954 and Senior Vice-President
in
1958.
He has served in the

bank.

The

of

directors

appointed a director

of 10,000

„

CAPITALIZATIONS

also

Trust

division including

of the overseas

American

Department to reduction of capital
stock from $1,500,000, consisting

charge of the bank's domestic di¬
vision. In 1957 he assumed charge

to

$750,000

effective

Sept.

15.

(Number of shares outstanding—
30,000 shares, par value $25).

N.

W.

and Herbert Blum,

and Treasurer;

Vice-President
1

Volume

190

Number 5886

.•.

.

The Commercial and Financial Chronicle

*

.

■_

——~w"Tzr^~r~*"—"

*

"

'

•

19

(1367)

This, too, is Texas Eastern

i§£

When

Winter's

icy blasts sweep

the
:%5:*$#•

land, demand for natural

gas

to

heat

increases

homes

and

tremendously.

Texas Eastern is

isfy such demands
of the world's

one

—

-

-

ready to deliver

—in large volume

gas

offices

•

—

to sat¬

thanks to

.;..

largest under¬

ground storage reservoirs for nat¬
ural gas

—

Oakford Storage Pool

in Southwestern

Pennsylvania.

A natural reservoir,

sists of

depleted

Oakford

gas

con-,

sand forma¬

tions, ideal for holding gas and

assuring high deliverability when
it's time to

remove

gas

demand

is

low,

delivers gas

Texas

needed

seasonal

Eastern

into Oakford. When

Winter arrives this gas
as

for Winter

During the Summer, when

use.

to

is removed

satisfy the highly

demand.
7

Oakford is

a

*.

.

prime example of gas

industry cooperation in the public
interest. Texas Eastern and New
York State Natural Gas

tion

Corpora¬

developed it jointly and

share

now

equally the -105 billion

cubic feet of storage

capacity.

Combining long-distance pipelines
with

Oakford

Eastern

storage,

assures

an

Texas

ample,

con¬

tinuing, year-round supply of this
clean, economical and adaptable
fuel for homes and industries in
the

Midwestern, Appalachian and

Eastern Seaboard states.

,'SsVS/S&'/£''0!/.

•

r..i>i

ww.'^yj.y^

i'''\9

/

;

;

TEXAS

EASTERN

TRANSMISSION

CORPORATION

PRODUCERS

--

.

PROCESSORS

Natural Gas.

•

Crude Oil

47^




rapm

TEXAS

EASTERN

HOUSTON.

TEXAS

-

SHREVEPORT.

LOUISIANA

EASTERN

PIPELINE

SYSTEMS

•

-

TRANSPORTERS

Petroleum Products

v

The Commercial and Financial Chronicle
20

,.

Thursday, October 1, 1959

.

(1368)

The Over-the-Counter Market: Biggest
as

dustries.
Another

one

of

fastest growing in¬

our

;-V.
financial institution which has

made

great strides in recent years is the mutual fund.
buyers of mutual funds acquire their securi¬
ties in an unlisted market; and the quotations of

All

redemption and offering prices of the leading
are
a
regular feature of the Over-theCounter Market section of many metropolitan

the

funds

the fund shares themselves
dealt in -this^market exclusively, but also the
dailies. Not only are
shares of the

companies that manage and sponsor
closely held). Some of these

mutual funds (unless

"management" companies have ..grown rapidly,
today sell at very high price/
earnings ratios based no doubt, on the expectation
that this exceptional rate of growth will continue.
and their shares

Among major trust management shares, avail¬
only in the Over-the-Counter Market, are
Investors
Diversified Services Inc., Channing
able

Corp.,
Shares

Townsend Corp. of America, Television
Management Corp., Hugh W. Long C6.

and, recently offered, Waddell and
tual funds
years,
may

ital

expand

as

Reed. If mu¬

they have in the past war

then some .of these management shares,
.

continue to prove exciting

gains.




borne

Chips"
The market sensations of the past 18 months
have been the electronics and we've all been
excited by the performance of such luminaries as
Texas Instruments, Litton, Motorola, Hazeltine,
General Transistor on the exchanges. All of these
Birthplace of the "Blue

Continued from first page

today ranks

and Broadest-And Still Expanding

vehicles for cap¬
■

'

corporate shares have traded for years in
Market.

the Over-the-Counter

Wealth of Diversification
For those who set considerable store

where

sification,,

diver¬

on

match the counter
market's/entries? In bearings, there are Barden
first traded on the Over-the-Counter Market; and
Corp., Miniature Precision Ball'Bearings Co. and
dozens of other dynamic companies in this indus-; Fafnir
Bearing Co. In steels there's a broad selec¬
try enjoy an eager and volatile market life overtion: Florida Steel, Jessup, Lone Star, McLouth,
the-counter.
Standard Pressed Steel, Portsmouth, Kaiser and
Interesting issues to >choose from include: ' Latrobe. Among the finest diesel engines are
those produced by Cummins; the best apple juice
Analogue Controls,-Collins.. Radio, Ling Altec,
Loral, Epsco, Inc., Electronic Associates, High
is made by Duffy-Mott; the arbiter of commercial
credit is Dun &, Bradstreet; one of the biggest
Voltage Engineering, FXR Corp., Foxboro Corp.,
D. S. Kennedy, Laboratory for Electronics, Milgo
land Companies is Arvida; the biggest publisher
and many others. Some of these shares have
is Macmillan Co.; the famous muffler specialist
is Maremont Auto; the largest chemical miller is
gained sensationally in the past three years; and
U. S. Chemical Milling Co.; the largest pre-fab
merger possibilities keep quite a few of them in
a high state of market animation. This is an in¬
house builder is National Homes; the biggest bank
is Bank of America; the biggest motel chain is
dustry where cash dividends are very low and
price/earnings ratios very high.
Holiday Inns; the outstanding specialist in ladies'
The iniand water transport doesn't get very
stockings is Scott & Williams; the world's largest
insurer of boilers is Hartford Steam Boiler Inspec¬
much publicity on the financial pages but it finds
tion. To become a shareholder in any of the fore¬
-important representation over-the-counter. There
are
Mississippi Shipping, Oglebay Norton Col,
going distinguished enterprises there is only one
Kinsman
Transit
Co.,
Reiss
Steamship Co.,
place you can go—over-the-counter.
Nicholson Transit, Mississippi Valley Barge, and,
For dazzling market gains the counter market
can

you

,

.

until

quite recently, American Commercial Barge
in September 1959), All of these water

takes second

(listed

place to

Itek Corp. a wonder
that moved
(before split) within the

none.

company in Boston has
from $2 to $345 a share

a

common

past three years. Accoustica Associates was pub¬

licly offered at $1 in 1954 and has been trading
above 30 this year.

the past year rose
new

issues of 1959

formance

Melchior Engineering within

from 5 to above 60. And among
perhaps the best opening

Loral

was

which

share and zoomed to

a.

Those/who

ing day.

high of 221/£

say

Market is inactive have
desk

the

on

morning

per¬

$12 'a

the offer¬

on

the Over-the-Counter

never

"hot"

a

at

out

came

watched

new

a

trading

issue hits "The

Street!"
Enviable Record for

Sustained

Dividend Payments

largest market is

Writing about the world's
like

writing about the ocean
more

cover

the-Counter
verse;

and

of

use

than

—

you

can

never

small section of it. The Over-

Market

no

his

a

/

v~.

is

investor

available

vast,, panoramic and di¬

can

possibly make the best

without inspecting

capital

this

market's

and

underpriced securities. And if it's dividend

income you

interesting and often unheralded

seek you're urged to look over the

following list of durable cash distributors. Some
of

the

issues

What is

started

paying

r

IM00M

-00

■MiMfW-

00*-»-

Problem I
ful
•

•

•

to you.

Why not let us know

your

trading requirements ?

We make

primary markets in an extended list of all types
of corporate securities.
Through a nation-wide wire system, we provide broad insti¬
tutional and dealer coverage—and cost you less.
We provide facilities for skillful handling of large blocks with¬
out disturbing existing, street markets.

Address: Mr. David D.

Lynch, Manager, Dealer Relations Department.

Kidder, Peabody & Co.
FOUNDED 1865

Members "Hew York and tylmerican Stock

17 Wall
boston

4

when

IM00M

M■s-r

Your

:

dividends

Exchanges

Street, New York 5, N. Y.

philadelphia

chicago

-

los angeles

;

"

0

190" tfumber

Volume

5886

.

.

.

The Commercial and Financial
Chronicle

(1369)

George /Washington was
stopped!
; /;' ; : : •

never

—and

have

\

:
\

'•_*/

Cash Divs.
Including

'••'./

,y.

.

...

,

'

No. Con-'-' Extras for

*u

Difference Between Listed and

.

Years Cash

Divs. Paid

listed

on

are

marine,
business
"•'!

we

the difference between the
Over-the-Counter Market, for the

and

Plre.

not conversant with how

the Over-the-Counter Market functions.

and

T'^.rX

••

Aetna Life Insurance

surety

'

Co.

Diversified

-*

-

carrier

Dock

&

(San
r

7

Silk

and

Local

nylon

carrier

/.'

Approx.

Including
Quota-

12 Mos. to

tion

Years Cash

June

Divs. Paid

32

& Fitch Co.—

June 30,

30,

Based

on

72

23

2.00

66-

49

.

June

30,

Aloe

~

Alpha

46

fO.98

2.1

.22*

2.00

34

~

5.9

0.20

4%

and

0.25

13*4

1.9

See

for

Co

*22

1.00

25 %

' 3.9

Line

Casualty & Surety Co.
(Hartford)-

2.40

173

1.4

„

*17

1

to possible

t Adjusted for stock dividends, splits,

longer record,

Details

1,1

*22

.

electric

251/2

4.3

Large

etc.

0.55

»

13

'/ /

,

■

.

fO.99

.

Fire

<

0.90

'

,

18

distiiibutors

and

fl.09

Co

fl.05'

'

34%

3.2

of

,

/

-

■: ■

...

..i;•

•" '

19

0.20

3%

10

0.25

26%

;

5.2

'i

•

General Insur. Co.

and

casualty

0.9

JL.—-

reai estate

insurance

Hair &

Felt

/

30

,

/

.;

'/

0.60
//'.

/

*

V /

i

1.2

51
V

1.40

17

—

products

Hoist & Derrick—

.

...20V2

6.8

'

19

1.20

..21%

5.3

12

f0.60

.37 %

1.6

18

0.30

Hoists, cranes, cargo equipment

American

Hospital

Largest

of

American

*19

Custom

1.00

Supply.-

manufacturer

tributor

and

dis¬

hospital supplies

Insulator

moulders

of

Corp

plastic

16

5.0

•
•

.

materials

and

American

Barge
—

protection services.

1.00

2.05

American

86

(Newark)—

1.30

26%

5.0

16

0.30

3%

8.0

insurance

Locker, Class B—

Maintains

lockers

in

public

,

ter¬

minals

-

*

t

to

Insur.

Diversified

al8

Telegraph

as

3.2

,

furniture manufacturer

American

heating

Corp

50

.

-

Filter

'

corrugated

Furniture Co., Inc.

American

fO.98

25

■

/

/

bl.60

32

—_———

Miscellaneous hair & felt

Corp..

'■

/

.

47

products

/x Chicago

*'

sand

complete

.<

Products

Corporation

Markets,

miscellaneous

cement

4.2

•'

National

Forest

American

District

possible longer record,

Details^^complete

Adjust^dyr

b Stock is

Including

BANK &

felt

American Furniture Mart

2.00

24

predecessors,
t Adjusted for stock dividends,

a

fabricated

-

motors

Commercial

not

felts,

and- syn¬

containers

39%.'*-2.5

56

Electric

2.4

20

wool

Fletcher

American

Co.

*

of

Manufacturers and

paint

American

51

fire, and marine




Co

—

insurance

Details not complete as

4.9

forest

Cement

American

Aetna

*

27%

Packaging Corp. of America

cement

products and Golf

fibre

Corp.
1.35

ventilating equipment

American

82

%

Felt Co

apolis)

American Box Board Co.

Electrical

2.00

Bank & Trust Co. (Indian-

1.00

13

Co

Air

and

4.9

\

ering

Cement

Aggregates

American

4.3

and

20

_

transformers

surety,

\

13

Gravel

20

331/2

in¬

filters, acoustic wall cov-"*
materials,
and
decorative.
...••'//
drapery fabrics
'-. ■:••• '
\ .'»/'

•

supplies

American

1.90

89

peril

credit cards

American

Food

multiple

25

Express Co

American

Inc.

balls

Casualty,

thetic

2.25

11

Beta

4.2

parts,

3

(A. S.) Co

Manufactures
Molded rubber

11.1

financing

and

72

/v ■.//..;

...

and allied lines

Manufacturer

,,

(Louis)

Medical

electronic and electrical industries

Acushnet Process

•"41/2

3.00
>

.

'■;

••

marine,

American

3.0

cement

Generators

»

Corp
&

0.50

*34
ex-

druggists

Money orders; travelers' cheques;
foreign shipping;
foreign remit¬

.

hosiery

Finance

Filters

and

4.8

=

Natural gas distributor

Allis

Paymts. to

Abrasives

Electronic

Fire,

American

3.50

/

Equitable

tances;

California super markets

Abrasive & Metal Products—

of

3.8

.

"

equipment

J,

I

Portland

Installment

„

Mfg.

20

25

Allied Gas Co

1959

$

;

Allied

■ /■, :■

4.9

.

.

for

1959

92

•

Insurance, and

coverage

Paymts. to
June 30,

.

4.50

77...

Assurance
Co. of New York

repair

Co., Class A

% Yield

Extras for

secutive

Electric

0.75

13

Portland

No. Con-

Acme

'/'only

Publishing executive training

,

Fire

tended

Amer.

courses

Cash Divs.

goods

5.3

Alexander Hamilton Institute

■HVmWUWUWUWUUUUWUUHWUWUW

sporting

30

4.

and

Alba Hosiery Mills, Inc,

10 to 175 Years

Retail

'

surance,

Antonio)

Allentown

Abercrombie

'"/Writes

Alamo National Bank

for

'

1.60

••

Dredging Co

/Insurance Co. (Cine.)*

1.5

-t.

13

Inc.

"

227

Ship

Building Co.

DIVIDEND PAYERS

■* "

3.40

\

■

Dry

,

June 30,1959

1959

Dredging operations

^

Albany & Vermont RR. Co.—

products

American

-'American Druggists"

-

95

\

Insurance

Shipbuilding

Dairy

.1'

.'

V

Agricultural Insurance Co

Alabama

Abbotts Dairies, Inc

V

3.8

tion

June 30,

Divs. Paid

.

TABLE I

Consecutive Cash

Years Cash

•

j'-■

V—25

(Hartford)

63%

Quota- "Based on

■/ secutive ' 12 Mos. to

1959

'

Approx.

-

% Yield

Including
Extras for

No: Con-

*Paymts. to
June 30,

30,

v

^

Life, group, accident, health

Ohio

•

June

1959

2;d0 "1

1

{

Akron, Canton & Youngstown
Railroad Co.
.V

OVER-THE-COUNTER

30,!

w

*

on

*

(Hartford)j-87

casualty
.

tion

1959

Cash Divs.

% Yield

Based

-

x

Aetna Insurance

Following the tables appearing hereunder,

benefit of those who

June

'

Over-the-Counter Trading

present a discourse

12 Mos. to

secutive

-

'

Approx.

x*

Quota-

'

21

as to

possible longer record,

stock dividends,

now

on

a

$2,00

splits, etc.

annual dividend ba,sis.

Continued on page 22

splits, etc.

INSURANCE STOCKS

OVER-THE-COUNTER SECURITIES
Specialists in
-f

\

CHRISTIANA SECURITIES CO
:

Common

~

Inquiries invited in all Unlisted Issues
I'

)

Trading Department, L. A. GIBBS, Manager

LAIRD,

BISSELL & MEEDS

MEMBERS: NEW

.'"'*/

YORK

AMERICAN
120

STOCK

EXCHANGE

STOCK

EXCHANGE

BROADWAY, NEW YORK 5, N. Y.

Telephone BArclay 7-3500

Bell

DuPont Building

Philadelphia Nat'l Bank Building

WILMINGTON, DEL

PHILADELPHIA, PA.

.

WHITE

&

CO.

-

/. ..V"'-

San

SCHIRMER,
4 /""■/

r.

NEW

.

ATHERTON

Boston, Mass.

&

Teletype NY 1-1248-49
10

Whitney Ave.

Waidmannstrasse

ZURICH, SWITZERLAND

HAVEN, CONN.

CORRESPONDENTS

J. S. STRAUSS & CO.

St. Louis, Mo.

.

44

..

,

.

CO.

JONES

MITCHUM,
Los

Francisco, Calif.
.

COOLEY
-

&

&

TEMPLETON

Angeles, Calif.
COMPANY

Hartford, Conn.

B3

Cash Divs.

Biggest and Broadest — and
Still Expanding

Natural

tion

Extras for

Quota-

Based on

secutive

12 Mos. to

tion

Paymts. to

30,

June3Q,

secutive

June 30,

Electric

June 30,

1959

public utility, produc¬
transmission

3.6

24%

f0.89

Bank of

gas

and

1959

Electric

Co.

and

devices

Maize

Products.-..

various

34

19

44%

1.00

2.2

-

Associated

Paints, chemicals, resins, metal
powders,
household
products,
cement and building materials

Company

Atlanta

19%

fO.23

29

(Chattanooga) ———'

Co.

fl.67 V '75

42

American Pipe &
Reinforced

Construc'n

concrete

•

22

540

6.00
L35

1.1
3.0

threaded

of

43

f 1.36

cold

Springs

--—

61

1.20

2.3

52%

0.30

Steamship Co.—28

prelghters

15.00

and

Insurance

and

American

Co

25-

suretyship

420

Thermos

Trust

15

4.3

1.60

54

5.5

4.6

1.60

12

f 1.18

64

2.5

33%

3.5

23

1.50

57

23

0.45

>

fl.52

24

1.2

128

Apex

of

2.6

.1.20"

Aluminum

5.5

215/s

Dairy

26

1.20

Electric

Public
and

t Adjusted for

gas

1.15

28%

471

25

10.70

33%

2.1

■

' .-77 ■'

..

.

5.9
3.0

3.00

37%

8.0

2.00

30

6.7

38

1.60

45

31

cO.325

12

6.00

23

1.10

24%

4 5

37

1.00

21

4.8

17

2.70

71

3.3

72

2.00

41%

4.3

60

5.oo

100

5.0

23

1.25

-'22

5.7

34

0.40

14
27

d0.80

48

1.3

1.00

21

44

19

1*1.42

31%

4.5

a30

1.40

23%

6.0

48

1.45

27

5.4

35

0.30

23%

3.4

87

3.00

70

4.3

31

0.10

10%

1.0

86

1.80

33%

5.4

34

0.35

5%

6.4

51

4.00

60

65

1.00

18%

5.5

59
68

1.00

40

2.5

1.80:*'

34%

4.7

67

1.35

38%

3.5

'27

0.60

13%

4.5

25

4.00

Gossett Co.

0.85

-

31

^

12

wholesaler

furniture

ii

,

*

-

fO.54

5.7

-16%

0:95

22

0.80

34

1.00

16

0.10

11

21

estate

9.5,

Manufacturer

29

25 /

4.00

Holding

2.5

160

>
13

2.8

39%

*

4.9

mfg.

J

Co

1.9

5y4,

■

,

of

Corp.

■n

Building

•

-

"Portland"

7 47

1.80

~

%v

3.8'

Textile

,

and

127%,;

1*1.19

27

2.00

15

1.00

37

19

Bank of California, N. A.-,.—

5.4

5.2

3.1

Bird
3.0

fl.80

47

3.8

1*9.84

269

3.7

163

(The) of New York— 175

Bank of Delaware

Service

Bank

39

1.20

38

3.2

utility

•

stock dividends, splits,

&

and

„

Son—

floor

shingles,

Asphalt

„

,

paper.

Black-Clawson Company
Details

not

2.0

19%

covering,

Birmingham Trust National
Bank (Birmingham, Ala.)

complete as to possible longer record,
t Adjusted for stock dividends, splits, etc.
r Quarterly dividend rate is now 45c or $1.8Q. annually. I

etc.

'

mills

Machinery lor paper

1*4.75

etc.

public utility

Operating

160

22

(Detroit, Mich.)

meats,

-

-

-

sheeting,

goods;

Bird Machine Co

Commonwealth

Bank of the

groceries;

44

1.375

80

,/7

'

cement

Biddeford & Saco Water Co.

4.4

construction
'

Co

——

manufacturer

Cotton

20

Ce-

&

Bibb Mfg. Co

Equipment

America-

design

Limestone

ment Co.

-

.

,

.

26

—j■—

Co

Gas

Bessemer

1.925

174

Trust Co.

Operating gas public utility

company—banks

—

Company

(Reading, Pa.)
Berkshire

■

fl.61

35

2.3

56%

0.30

22

—

2.4

133/g

of

affiliate

Philadelphia hotel

Berks County

29

largest bank

Corp.
Finance

Benjamin Franklin Hotel Co.

—

•'•'77

Bank Building &

textile

paper,

company

Beneficial

retail

wholesaler,

3.5

%,

plastic bags

Beneficial
5.8

43

2.50

of

_

mkt. 7 '

termlnal

llvestock

Operates

,

Bank of Amer. NT&SA

4.8

69r

"^'

and

Operating public utility

7.3

erector,

Yards Co..

Stock

&

23

and

Bemis Bro. Bag Co.-

10%

1.00

23

real estate

Holding

RR.

'

Works

Designer, fabricator
structural steel

etc.

Arizona

1.1

14%

Belt

—-—

5.2

23%

traps

Co

products,

0.78

26

__—,

v

Belmont Iron

paints, etc.

Detroit

smelting

Farms

8.3

70

13

•

•

Sulphite pulp and paper

5.7

7%

and wrenches

Arden

17

-

-

Pumps, tanks and valves

Bangor Hydro-Electric Co.—

—

mechanical

Smelting

6.0

15

mills

and toilet

Bell &

chain

real

Nation's

Tools

10

1.25

Boatmen's Natl. Bk. St. Louis

40

—

—

BancOhio Corp.

Ansul Chemical Co

Apco Mossberg

0.60

Belknap Hardware & Mfg.—

toiletries

Manufacturer,

products

of

13

32

Tool Co.

boring

Hardware

Bagley Building Corp

Animal Trap Co. of America

and

4.4

-

Wholesaler: Cosmetic

5.6

21%

1.20

55

Badger Paper Mills

Anheuser Busch Inc

variety

223/4

Beauty Counselors, inc.——

loans

Stores, Inc.

alloys and product*

Chemical

1.00

•

preparations

38

*

Large

2.8

holding corporation

Bank

6.4

10%

0.70

and

Baystate Corp.

I;

Springfield, Illinois.

Detroit

bricks, tile

other

66%

fabrics

rayon

Baxter Laboratories, Inc.
Manufacturers of pharmaceuticals

2.2

26%

1.20

2$

and

Machine

Drills

A .20

*

Manufacturing Co.

Cotton

5

55.

B. M. I. Corp.——

29

Insurance

and

3.4

•

55

—

—

furniture

Badger Paint & Hardware
23

Ampco Metal, Inc

Beer

87%

•

,

Industries

Furniture

Inc.

Baush

1; "

~

Company

Amicable Life Insurance Co.

Bronze

0.65

Foods, Inc.—-15"

B/G

Restaurant

American Vitrified Products.
Bewer pipe,

3.8

24%

manufacturer

ware

5.6

in In¬
dianapolis and Lafayette, Indiana,

Products /

(San Francisco)

Life

0.925

■

25

Vacuum

2.5

18

•

Operates department stores

3.6

•

Co.
American

/il

36

(L. S.) & Co

Ayres

stamping

and

Cosmetics

>

ana

Surety

4.0

3.00

25

:

•

Complete line of domestic

Mills -I

Avon Products
6.7

13%

Great Lakes

on

American

40

1.00;
1.00

E-Z

Stores

:

Jacksonville/—

4.3

381/4

fabrlps and yarns

Cotton

5.2

5%

0.90

parts

60

8.2

Bornot, Inc.

19

22

steel

Pressed

2.40

2.6

'

.

Stamping Co

American

rl.65

19

Co.—

personal

30%

Barnett National Bank of

Bassett

and

58

61// f 1.88

Insurance

Bankers Trust Co., N. Y._—

Bates

financing &

Avondale

77:/~:

Holly,

of

forms

wire

0.80

line

Multiple

•

*22

Automobile Banking Corp.—
Auto

Spring

and

;

14

storage

1.50
2.50

34

& Shippers Insur.„

Bankers

Insurance

and

forged

———————

American

,20%

3.9

Investments, automobile financing

'

Inc.

—

Auto Finance Co

3.2

13
21

Corp.—

.

of Jacksonville

fasteners

American

6.6

Atlantic National Bank

37

Co

Screw

7 7/

Co.
'•/' •;

cold

Service

Curb

Insurance

Manufactuer

26%

1.75

25

.

Company

coal,

Ice,

433/T

.

American Re-Insurance
American

Light—

Gas

Atlantic

pipe-protec¬

construction

Diversified

•

,

Atlantic City Sewerage

2.5

coatings^ plate steel fabrica¬

tion,

*7,

2.9

financing

financing.

Sewerage service

24

Chicago

of

■

13

10%

Automobile and industrial

23

Cjorp.——

Georgia carrier

•

American National Bank and

tive

Co.—

Atlanta & West Point RR.
'

2.2

16

0.35

Operating public utility

1.2

Insurance

Amer. Natl. Bank & Trust Co.

Trust

:

4.0

0-30

Chicago office building

mechanical springs;

Precision

3.3

25%

Mortgage

&

Bankers Commercial

/

_

Spring

spring steel

■

American Motorists Insurance
Diversified

furniture

Office

54

1.00.

xxl.80

51

Building Corp

Bankers

con-

liqueurs

Art Metal Construction*

products

American-Marietta Co.———

,

and

Cordials

Bond

Mortgage

1

Liqueurs Corp.—— *14

Arrow

2.3

83

11 -95
k*

corn

2~

"

■

1959

1959

35

Guaranty Co; of America.
5.4

63%

3.40

31

June 30,...

June 3Q„

Na¬

Virginia (The)

Bankers
.

—

wiring

trols

.

Southwest

the

of

Bank

4.2

22%

tional Association, Houston

20

tion

Based on
Paymts. to

$

fO.95

*22

Quota-

1959

Divs. Paid

Arrow-Hart & Hegeman

|

Manufactures

12 Mos. to

Years.Casfi.June 30,

,

-

American

Extras for

1959

utility

gas

Western Gas Co.-—

Arkansas

Noi Con-

1959

and

Electric

% Yield

-..

Paymts. to

1959

1959

Divs. Paid

Approx.

Divs. Paid

tion

JiweiO,

Arkansas-Missouri Power Co.

Including

....

Quota-

June30,

Approx.

*% Yield

Including
No. Con-

$

Cash Divs.

June

Extras for

12 Mos. to

-

Continued from page 21

Years Cash

Con-

Years Cash

No

Thursday, October 1, 1959

.

Cash Divs.

% Yield
Based on

secutive
.

.

.

Approx.

Including

I The Over-the-Counter Market
.■

Financial Chronicle

The Commercial and

(1370)

Makes paper and

pulp mill

equipment

Black Hills Power & Light—
Operating public utility

Black, Sivalls & Bryson
Oil and gas equipment, steel
ucts and control valves

For Banks, Brokers, Dealers
only

prod¬

Bloch Brothers Tobacco Co..
"Mall

Blue

If it's Over-the-Counter

Pouch"

Bell,

chewing tobacco

Inc.—
work

of

Manufacturer

and

play

clothes
.

.

.

"Call HANSEATIC

Chain

ff

of

—

—

cleaning

dry

Establishments

Boston

Co

Insurance

than

other

Insurance

life

Bound Brook Water Co

1.

Primary markets in

more

than 400

Operating public utility

unlisted securities.

Bourbon

Stock Yards Co

Louisville

2.

39 years O-T-C

3.

Nationwide private wire system.

4.

Broader coverage.

experience.

Boyertown Burial Casket Co.
..

Miscellaneous

funeral

Branch

Banking & Trust Co.
(Wilson, N, C.)

Bridgeport Hydraulic Co—VSupplies water to several
"
'•
;

.

Fast, dependable executions.

-,

■

V

Connecticut communities

;

" :

Armored

time you need maximum

next

•

;

•"*
7 -7:'

.

Brinks, Incorporated

The

5

6.7

supplies

~

5.

'

stockyards

car

—

service

-

Bristol Brass

OVER-THE-COUNTER service, call "HANSEATIC"

•.

Metal

•

——

fabricator

-.

British-America Assurance
Company
Insurance

■

-

.

Established 1920

>

.

-

Trust

120

BROADWAY

•

NEW YORK 5,

BOSTON

^

•

.

•

PHILADELPHIA

'.*'

v.

N. Y.

SAN

.."

Glass




Co. Inc.__—

containers

'

ments, -Inc."_
Own

and

*

38

0.98

32

*0.90

'

,

183/4

54

43

2.1

.

-

6.00'

25

-

opqrat^

two

garden apartments

-

„

4.i

Brooklyn Garden .Apart-,,.

FRANCISCO "

Direct Private Wires to:
Boston, Chicago, Cleveland, Houston, Los Angeles, Philadelphia, Pittsburgh,
.

Gas Co.—

_

..

:

250

11.00

81

tryst 'business

&

Brockwayv Glass
_

Teletype: NY 1-40-1-2

•

-—

'1.

Operating;publiq utility

-

CHICAGO

(Ont.)

loans

Brockton Taunton

.

'

4-2300

Co.

Mortgage

v

,

Associate Member American Stock Exchange

Telephone: WOrth

;

"

'

3.6

110.

V

•

British Mortgage &

New York Hanseatic Corporation
*'

other than life

Brpoklyh

' V

103
(

•

—

,

.

Providence, San Antonio, San Francisco

•

t Adjusted

*

•

c

Including predecessors.
Plus

0-01

snare

of

•

■»

10%

stock

rights for each share held.

2
\

«•

-7X
"
'
- i
Florida'Properties Inc. for each share held. >
" d Plus
33V3% stock dividend paid on April 20, 1959.
The^quotation of $48 is on the new shares.
*"tcx During
Spring of 1959,-Bank-had a 15% stock dividend, plus
"a

:

for stock dividends, splits, etc...

•

f.

Volume

Number 5886

190

.

.

Commercial and Financial Chronicle
The

.

29

(1371)

f lie

„•

Over-tlie-Coiiifler Market

-Biggest and Broadest
Still

-

Divs. Paid

•

Divs. Paid
"

Qupta-.
tion

30,

Based

on

"Gordon"-*

hosiery

17

and

1959

Machine

5%

Service

3.6

32%

1.20*

*23

"

tools

3.7

25

0.90

23%

■48%

1.85

Manufacturing steel

3.8

oil

Hotel

in

6.3

presses

Production

of

castings

specialty

Industrial

•

48

1.50

1.25

W. Va.

3.1

Woolen

;

■

f0.27 '.

40%

0.7

public

Cement

J2.10

17%

3.3

Public
•

27%

for

50

1.60

3.6
4.5

361/f

1.60

49

4.4

3.50

180

1.9

fl.16

Life,

minals

page

24%

4.7

42.

1.20

24%

4.8

43.

12

0.16

3%

4.6

f 1.46

43%

3.3

f2.00
f0.51

62%

3.2

13%

3.8

f2.82

83

3.4

29%

3.4

62

1.2

31

!

21

'

61%

.

2.375

Second Table

0.50

40

1.3

form

to

35

4.1

exchanged

26

0.45

"7

8.00

162

.

1.80

45

9.00

315

a105
19

1.50
0.30

11

0.40

23

Conn.)

...

Co.; *
share

f5.67

-

.

Cleveland Trencher

Co———

162

4.6

24

3.00

180

13

2.50

59

4.2

19

1.25

27%

4.6

20

0.40

10

4.0

Collins

Chicago Title & Trust Co

24

e5.00

100

5.0

Collyer Insulated Wire

22

1.00

243/4

4.0

35

2.25

48

4.7

•___

—

trench excavators

-

1.7

p

Chicago Mill and Lumber
boxes

magazines

and

one

manufacturer

Co

*33

45p.00

23

0.50

16,600

2.7

32

1.6

Pfizer

40 k

4.0

1.00

32

3.1

31

0.60

11%

5.2

4.00

76 5

5.3

cutting

1.75

30

5.8

18

fl.09

24

4.5

implements
Insulated

of

wire

cable

stores

food

Wall
•

Details not

Co,

Inc.

for each share

Including

f A
ment

100%
after

Southeast

in

,

-

Operation

Co

retail

_____

shoe

manufacturing of

stores

Products, Inc

Distributor

of

and

paper

Carter

r.„

•

(William)

45%

Co.

We Make Markets in

'

—

2.9

Underwear

Carthage Mills, Inc.__
Felt

floor

base

19

2.00

40

5.0

12

1.75

34%

5.0

.17
r/■

3.00

38%

7.8

coverings

Cascades Plywood Corp._
Plywood

:

/.;•

Cavalier

Apartments

Owning and operating
house

(Washington,

Central Bank &
;

'

D.

-

Trust Co.

*13

0.80

20%

4.0

12

1.00

31%

3.2

25

0.50

21%

4 3

Co./2y 17

1.00

21

4.8

31 %

4.3
5.1

(Denver)
mines

Over The Counter Securities

C.)

Central Coal & Coke Corp—
Leases

*

Corp._

apartment

royalty

on

basis

Co

Central Cold Storage
Refrigeration

Central Electric & Gas

Electric & gas utility and through
subsidiaries
telephone service in
several

Your Orders and

Inquiries Invited

"

states

Central Fibre Products Co.
See Packaging Corp. of America
Central Illinois Electric &

Gas Co

27

Operating

Central Indiana
Natural

Gas

public

gas

19

Electric, gas and

Public

electric

0l80

15%

24

.1.75

48%

3.6

17

1.40

253/g

5.5

18

Co

.1.80

-423/4

4.2

22

8.00

131
18

2.20

44%

4.9

f 1.99

62%

3.2c

utUtty

Central Louisiana Elec. Co.__
Central Maine

fl.36

utility

public

water utility

Power

Co.

utility

Cleveland
Central

_______

(DesvI^loines)—

225

(Philadelphia)"

Central Soya

-_a._

Co.

74

Soybean processing and mixing
of livestock feed *
*
.

.

Details not

t Adjusted
a

Including

complete

for stock

as

to possible longer record,

dividends/splits, etc..

predecessors/.




Members: New York Security

Dealers Association

3.6

Central-Penn Natidnal Bank

*

)

National: Bank &

Trust Co.

>*

Troster, Singer & Co.

i

Central National Bank of

TRINITY PLACE

Telephone HAnover 2-2400

}
™

1959.

^

Dividend pay¬

Continued

4.0

paper

products

^

split was 40c semi-annually.

held.

exchanges

Carpenter Paper Co

record.

for stock dividends, splits, etc.
predecessors.
dividend was paid on Feb. 6,

stock

Carolina Telephone and Tele¬

-

8.6
{

complete as to possible longer

and

graph Company

3%

0.30

11

.

shoes

Operates telephone

.

.

.

coverings

t Adjusted

&

1.60

41

J-

Color-Craft

predecessors.
Chas.

10

*44

-

Co.

and Midwest

complete as to possible longer record,
stock dividends, splits, etc.

share

0.625

20

Louis—

Retail

a

Including

6.3

Bottling Co. of

Colonial Stores

company

Plus

1.8

,

.

New York
Coca-Cola

Farm and

China Grove Cotton Mills Co.

e

320

35

Bottling Co. of
Los Angeles
Coca-Cola Bottling Co. of

St.

.____

Details not

3.2

53

Company

Chicago Molded Products

•

Co...

Coca-Cola

v

Secur.

-12% >

* :

Operates livestock yards

ing Corp.

yarn

4.3
2.3

Cleveland Union Stock Yards

Midwest carrier

business

1

Cleveland Trust

Chicago City Bk. & Trust Co,
Chicago Medical Arts Buildbuilding

34%
13

Manufacturer of mechanical

7.50

I

4.4

9
/y

■

Cleveland Quarries Co.r- —
Building and refractory stone

4.9

63

0.40

6.4

59

21

chain

Cannon Shoe

Page 42.

;

Insurance

97

a

1.45

on

City Trust Co. (Bridgeport,

Chem-

Trust

t Adjusted for

*13

Starting

City Title Insurance Co—__

Real estate holding company

13

f0.80

3.9

Circle Theatre Co.

business

100

Payers From 5 tp 10 Years Appear in the

1.3

Insurance

Bakeries, Inc.

3.2

Over-The-Counter Consecutive Cash Dividend

alio

York

be

Christiana

106

fl.36

Campbell Taggart Associated
Bakery

will

Holding
21

warehouse

Co.

New

Publisher of

Co.

storage,

47%

utility

5.0

>

Co

fl.50

54

_______

27

Camden Refrigerating & Ter¬
Cold

3.9

Sept. 1959 with New

Trust

Combed

accident & health

(Savannah)

Manufacturer
page

CO._____23

Insurance

3.4

City National Bank & Tr. Co.
of Chicago
18
City Nat. Bank & Trust Co.
(Columbus, Ohio)
24
City National Bank & Tr. Co.
(Kansas City)
—
*31

Plastic molders

28

California-Western States
Life

Bank

Bank of S. C. (Charleston)
Citizens Utilities Co., CI. B—

1.35

,

on

47%

Citizens & Southern National

Title

Corp.

Company's advertisement

1.60

65

33

Operating public utility
See

61%

..

on

*40

36%

2.40

-

Exchange

share.

Wood

CALIFORNIA WATER &

•

4.00

19

Chenango & Unadilla

7.3

35%

fl.81

16

Cement.

1.®

Angeles)

Chilton Co

2.00

17

•

TELEPHONE

7.6

Operating telephone company

Utilities.-

CO

4.8

*

.___

Corn

Bank

Office

product*

25

ill

—

' *

Chicago, Burlington &
Quincy RR. Co

utility-water
Company's advertisement

See

I

utility

CALIFORNIA WATER
SERVICE

"r'

.__

Telephone Corp.

utility

lime

1.20

(N. Y.)

stock

4.0/

fO.58

lands

Portland

and

Co.

Merged in

53

.'

California-^Pacific

79

•

blankets

Bank

was

California Bank (L. A.20
public

1.25

Citizens & Southern National

Manufacturing Co.,

Chemical

■

20

Power

(Los

24

Chemical Bank New York

4.2

30

Trust

16

California

bus operations

Chatham

^

21
'-V

Corp.

Operating

24

Charleston Transit Co

Calaveras Land & Timber

Operating

Co,_____

6.9

7—

•.

California Oregon

20%
.

Construction & Maintenance

Ycrk

products

timber

A

16

ical

California

■j

1.10

"

Butler's Shoe Corp._____

1959

52

healtlv

chain

:

32%

26

shoe

:

r

2.4

2.00

;

Butler Manufacturing Co.

Southern

.*/

0.50

22

2.50

green-

Formerly Butler's Inc.' Name
changed in June, 1959.

7.3

23 "

insurance

Metal

75

23

12

and

;

date valves, fire hydrants
Charleston Natl. Bk- (W.Va.)

.....

accident

5.50

t...

(A. B.)

June 30,

1959

Sav-

&

ings Bank (Flint, Mich.)__
Citizens Fidelity Bank & Tr.
(Louisville)

Public

Class A—/____

of America

,5.3

.•

3.9

cell¬

Business Men's Assurance Co.
Life,

22

58%

15

radiators,

5.7

v/-

29%

:'r

boilers,

■/' •'//

2:25

controlling in-

houses

X 5%

1

estate

■

1959

"V-h

Citizens Commercial

4.8

Manufacturing products for Utility

..

Burnham Corp.
Mfrs.

7

0.30

* 24
•

tion

June 30,' June 30,

-

Chapman Valve Mfg. Cb./___

..•

•

Co.
'„■

Based on
Paymts. to

adopted in Feb. 1959.

0.40

~

3.3

stores

radiant

20%

5.1

>■*>

Co

acoustics,

•truments

21

Albany

Chase Manhattan Bank

recording and

1.00

18

Brewing of beer

ing,

3.4

0.60

Burgermeister Brewing Corp. al9

Burgess-Manning

81%

1.50

27

and

f2 75

52

Bullock's Inc.
Department

4.2

22

._

Line

steel

23%

'

Poconos

Buckeye Steel Castings Co

-

0.11

Chance

Co.__

in

% Yield

4 "
Quota-

Formerly Citizens National Trust
&
Savings
Bank;
new
name

Chambersburg Engineering._

1

1.00

4.8

Citizens National Bank

Forging hammers, hydraulic

18

_

producer

Buck Hills Falls

4.0

forgings

Buck Creek Oil Co
Crude

5

62

22

(Cinn.)___

Chain Store Real Estate Trust
Ownership and rental of-V'
improved real

0.20

>■

3.00

16

warehouse

Investment trust

;

12

._—

12 Mos. to

Years Cash
Divs. Paid

utility

gas

Central West

3.8

,

Corp.

>

Appro*.

Including
Extras for

.

$

14

Corp.

and

Operates

Wholesale drugs

:■'■■■-;-V
//"v"
Bryn Mawr Trust Co. (Pa.)L_
15
Euchanan Steel Products
-

1959

-

,

Cash Diys.

■

f

secutive

June 30,

1959

•

No. Con-

Paymts. to

June 30,

1959

distribution

Central Warehouse Corp.,'
Class A and

-

Brunswig Drug Co

Telephone service

Electric

0.20

underwear

Erown & Sharpe Mfg

»

>';.

on

Central Vermont Public

June 30,

1959

$

Erown-Durrell Co.

tion~

30,

Based

17

Telephone Co

Central Trust Co.

* Paymts. to

June 30,

1959

processing and

Central

% Yield

,»

Extras for

12 Mos. to
June

Steel & Wire Co

Metal

Approx.

Including
secutive

June

Quota-

$

Central

Cash Divs.

No. Con-

12 Mos. to

Years Cash

•

•

,

% Yield

Extras for

secutive

and

Appro*.

,•

Including

Expanding
Years Cash

Cash Divs.

;

No. Con-

NEW

YORK 6,

N. Y.

Teletype NY 1-376; 377; 378

on page

24

24

The Commercial and Financial Chronicle

(1372)

JOHN

BY

which

ment

obligations

there

yet

action

market

that

indicates

uncertainty

considerable

is

Govern¬

of

be contended with, the
being that the-principal

to

result

continues

securities

sector.

term

In

Treasury

the

in

short-term

in

is

issues

near-

the in¬

addition,

available

come

these

in

attractive

so

that it is taking money away from
the long-term Government bonds.

Also,

of the ways

one

in

which

hedges against tight to tighter

conditions is by the, pur¬
chase of near-term liquid securir-

money

ties.
tone

better

from

time

time

to

noted

be

may

the

in

more

distant maturities of the Govern¬
ments

but

this

attributed

be

can

these

securities

has

not

And, it is not likely
to be forthcoming as long as more
favorable
in

returns

available

are

non-Federal bonds.

New Borrowing
The

Treasury
either

announce
or

in

in

a

the next

which

is

expected

today

few

(Oct.

days the

it

will

raise

that

money
meet

Terms Awaited

will

be

current

the

to

1)

way
new

needed

to

expenditures. There

five

than

which

years.

is

Treasury can put on a long-term
Government bond (over 5 years

that such an
not be sold in
the
current
capital
market
because
competitive, conditions
would
call
for
a
considerably
in

maturity)

means

could

obligation

higher interest rate.
in

Treasury

its

money

new

of the money market.

the

opinion

.

of income

due

come

on

current

of the

care

new

"secutive

of practically

experts

the

taxes which
of

15th

that

POWER

obtain

new

will

like

obtain

to

at

sale

of

obligation

an

oil

a

via

the

needed

its

securities.

of

be

Mackie,

&

inc.

•

NEW YORK 5,

N. Y.

•

NY 1-1825 & 1-4844

Conn

0.8

57

10.90

40

2.3

12

5.50

93

5.9

54

2.40

42%

5.6

11

t0.58

20

2.9

Co. 145

1.80

40%

4.4

81

2.10

37

1.075

Trust Co. of

(G. C.), Ltd

...

Top manufacturer of band

-

Instruments

Connecticut Bank

Tr.

&

-

Connecticut General Life
Insurance

Co.
health

and

accident

(group and individual)

Connecticut Light &f Power-

•

4.6

23%

i

operating public utility

NATIONAL

(BRIDGEPORT,
0.80

Inc—79

29

13

0.20

4.8

16%

1.75

18

See Bank's advertisement

Connecticut Printers,

and

0.6

332

insur-

Life,
ance

"

on

page

44,
*

6.0

Commercial, printing

Connohio, Inc.

and

8.0

13

1.40

25%

5.4

17

Consolidated Dearborn

3.00

60

5.0

buildings in Chicago

office

Owns

2%

warehousing

Sale of Ice Si oil, &

Newark

Consolidated Dry Goods CoDepartment store chain

stock dividends, splits, etc.

t Adjusted for

for

a

the

bonanza to corpo¬
use of liquid re¬

Interested.
.

An

.

.

■

For

Offered to Investors

IN OVER 450 STOCKS

24

::

&

CONN.)

sources.

underwriting group headed

in any

J

■

latest

290,035 class A common shares,
par
value, of Jostens, Inc.,

Owatonna, Minn., at $17 a share.
offering represents a portion
of the holdings of certain selling

The

.

stock

'

on

.

these "pages?
'

'

--—

■'

prices, quotes, or information,

simply contact—

by A. G. Becker & Co., Inc., on
Sept. 29 made a public offering
$1

0.20

accident

(no

they are protected by
of the maturity. It

providing

of

5.7

Operating public utility

is¬

Jostens, Inc. Slock

FIRM TRADING MARKETS

49

shortness

the

rations

HAnover 2-9000

2.80

.

Insur¬

Concord Elect. (New Eng.)—,

obligations.
It is well
known that the tight money con¬
ditions are keeping the rates for
these securities high and this is
the main reason why corporate
funds continue to flow into these1
issues.
In addition, there is no
risk involved in these
commit¬

is

3.7

York Pa., hotel

these

ments since

40 EXCHANGE PLACE

102

....

increasing number of corpora¬
tions are investing surplus funds

Singer, Bean

3.75

Pittsburgh
Community Hotel Co. (Pa.)_

an

in

,20y4

■

Commonwealth

new

large

4.9

is

Life

CONNECTICUT

to

2.0

15

0.30
1.00

14
.

Insurance

health)

*

continues

sues

facilities

1.7

6.2

9%

54

Co. (Ky.).t:

ance
Life

near-term

demand for short-term

39

forgings

Title Insurance.

Liquidity and High Yield
The

16

(Jersey City)

BANK

analysis

0.60

24

Insurance Co.

....

sale

f0.65

11

products, hydraulic

Commonwealth

high enough to attract

obtain

will

ury

2.9

Commonwealth Land Title

Accordingly, it seems to be the
thinking of most money
that the Treas¬

funds

102%

43

-

equipment and

Jersey

a

The rate would

that be.

3.00

;

Commercial Trust Co. of New

the money mar¬

whole.

a

5.3

&

However,
the concern about
an undertaking is the effect
as

2.7

26%

financing

metal

Pressed

such

ket

461/2

1.40

Co.

Commercial Shear. & Stamp.

(five years or less) could be sold
by the Treasury.
.

on

L25

14

financing

Commercial

maturity of ihore than one year.:
There is no
question but what an
issue with a note
maturity

it would have

3.®

36.

24

Commercial Discount Corp:..
.

current

M arket

page
pag

on

City)

(Nashville)
Dealer

It is

with

47

1959

,

token amount of its funds through
the

1959

mixes for

Commerce Union Bank

try.

least

1959

23

and prepared

(Kansas

market followers

asic

25

____

Commerce Trust

Government

the

on

Paymts. to
June 30,

30,

baking

money

conjecture.

that

tioh

June

30,

utility

public

Company's advertisement

Flour

Doubtful

Treasury

some

considerable

powers

B

See

Colorado Interstate Gas Co..
Natural gas transmission
Colorado Milling & Elevator

money

and,
with money and
credit as tight as they are,now,
there might be repercussions that
would not be to the liking of the

ervice

electric

•

buyers

s

CO._

Operating

Commercial Banking Corp...
to

June

1.42

Divs. Paid

/■/..

the

have to be

month.

12 Mos. to

Cash

Based

-Quota

COLORADO CENTRAL

funds to be raised before the end

One-Year Issue

% Yield

Extras for

Years

Government which
will probably be in the neighbor¬
hood of $4 billion, with additonal

Whether

Apprcx.

Including

Nc^Con-

needs of the

Over

Cash Divs.

•/

the Treasury has
been developing, namely that of
quarterly maturities, with Janu¬
ary, April, July and October being
the months, with each maturity
amounting to some $2 billion. A
tax anticipation bill and
a one
year
Treasury bill would take

evident

Expected

plete agreement that a tax antici¬
pation bill will be one of the ob¬
ligations to be used. Most likely
this will be a June 1960 maturity
that may be applied against the
payment

Continued from page 23

into the

through the use of a note is open

that
there will be a package deal in
the coming new money venture
of the Treasury, with nearly com¬
market

money

use

which

pattern

would

is

It

all

an

The

one-year

bill would fit

Treasury

to

Deal

Package

have

of the year.

raising operation will have to ob¬
tain
its
funds
entirely" in the
short-term
or
intermediate-term
area

would

bill or the

long

1* 1959

Biggest and Broadest - and
Still Expanding

is evident that

it

Accordingly,

yet

developed.

about the

maturity of longer
The 4%% rate,
the top limit that the

have

not

largely to professional operations,
since significant investor interest
in

sure

impending financing of the Gov¬
ernment, namely that the securi¬
ties which will be offered will

the

A

for

thing

one

-

attraction

of

center

one

is

the

of

maturity.

1960

October

Thursday/October

The Over-the-Counter Market

part of the forthcoming operation
of the Treasury is a one-year ob¬

ligation

The

being

is

guessed at by not a few money
market specialists as likely to be

JR.

CHIPPENDALE,

T.

which

issue

Another

Our Reporter on Governments

;.

.

-

Marketing Department

Merrill

Lynch, Pierce, Fenner & Smith Inc.
NEW YORK 5,

70 PINE STREET

shareowners.

N. Y.

Ojfices in 112 Cities

Inc., is engaged pri¬
marily in serving the high school
market with graduation specialty
Jostens,

"A
Burton J. Vincent

&

Direct Wiret

Co.

to

A"

Saunders, Stiver & Co.

Chicago

Cleveland

Dallas Rupe & Son, Inc.

Evans MacCormack & Co.

Dallas

Warner, Jennings,

Los Angeles

Stifel, Nicolaus & Company, Inc.
ftu..

...




Youngberg

San Francisco

Philadelphia

V

1959

1922

UNLISTED SECURITIES

through approximately 9,000 high
schools in
all 50 states of the
United

SPECIALISTS SINCE

1922

States.

Total

sales

for

the

fiscal

year

$16,348,000, and net profits
$1,101,000 equal to $1.29 per out¬
standing common share.

were

Stone &

-

Mandei & Longstreth

-

products,
including class rings,
graduation
announcements
and
accessories,
yearbooks,
awards
and diplomas. In the fiscal year
ended June 30, 1959, the company
distributed
its
major
products

St. Louis

Capitalization of the company
Aug. 15," 1959, consisted of
519,858 shares of class A common
stock, par value $1, and 346,573
shares of class B common stock,
on

$1.

par

value

no

long-term

seasonal

The

company

INVITED

JOHN J. O'KANE, JR. & CO.
Members New York Security

42

Dealers Association

Broadway, New York 4, N. Y..

has

but
is
a
borrower from banks.

debt,

INQUIRIES

Phone—DIgby 4-6320

Teletype—NY 1-1B2S

Number 5886

Volume 190

.

.

.

The Commercial and Financial Chronicle

(1373)

The Over-the-Counter Market

Cash Divs.

Approx.

Including

Cash Divs.

Quota- ' Based

12 Mos. to

secutive

Years Cash

June

Divs. Paid

CI.

Paymts. to
June 30,

railroad equipment

Owns

1959

Sewer and culvert

55

26

30.00

800

2.7'

meat

scrap,

24

2.00

,

graph

6.7

Canadian theatre

Consol.

26

34%

6.4-

Co.

Life,

46

Casualty Co._—

1.60

94
161

25

0.6

116%

Diversified

2.8

Dollar

and

Largest

>

3.2

125

4.00

12

f 0.34

rine

2^3

17%

0.40

13

3.00

20

,

:

38%

7.8

■v
""

=55

t0.48

353/4

0.60

.14%

4.1

19

1.60

72

Dun &

4.7

34

27

36

Crown Life Insurance Co.—and

accident

Life,

1.25

2.50

6.1

20%

reinforced plastics

and

ment

sickness;

1.4

181

also

annuities

6.6

9%

Cumberland Gas Corp.——Operating public utility

12

0.60

Cummins Engine Co

11

f0.98

80

1.2

——

20

0.60

12

5.0

Dahlstrom Metallic Door Co.

17

0.80

14

5.7

Diesel

and

engines

gas

Curlee Clothing Co
suits

Men's

and

overcoats

Local

'

Co

Transit

Dallas

cabinets

mouldings,

Doors,

'

Co

Darling (L. A.)

0.50

I4

—

3.6

0.25

18-%

1.3

MALLEABLE

DAYTON

24

IRON CO. i_
steel

Iron,

0.35

12

'

equipment

display

Manufacturing

4.2

8%'

17

—

facilities

transit

aluminum

&

castings
advertisement on

See Company's

pa,ge

41.

"•

Coal

7.7

10.00

130

0.60

13

0.15

14

1.75

63

62

2.00/js

37

23

Corp.—

11

22

13

Bardelebbn

Bituminous

Dean & Co.

0.85

15

5.7

23

%

coal

(San Ant.)__

4.6.

financing

Auto

Decker Nut Manufacturing
Manufacturer

dustrial

cold

of

Delta

Co

Railroad

and

operated

by

2.8

and

lanterns

;

5.4

P.R.R.

Co._—

Electric

Hand

Co

'

estate

Leased

/ 4.6

~r

Del Monte Properties

Delaware

3%

in¬

headed

fasteners

type

auto

switches, bicycle lamps and horns

Dempster Mill Manufacturing
Farm

_

0.90

22

4.1

60

f 1.24

25

5.0

41

4.00

70

9.7

72.

1.20

30

4.0

equipment

Dentist's Supply
Artificial

teeth

(N. Y.)
other

and

dental

supplies

Union Stock Yard Co.

Denver

stockyards

Operating

Denver United States

National Bank-—-———
DETREX CHEMICAL

INDUSTRIES,
Chemicals,

*12

INC.

equipment

and

f0.525

2.1

24%

ultra¬

sonics

.

page

^

84.

:T3

0.55

Detroit Bank

24

1.95

Detroit &

18

1.00

23

0.40

25%

1.6

15

1.15

203/4

5.5

20

0.095

26

0.65

Bearings

and

Owns

111/4

4.9

and bushings

& Trust Co—
Canada Tunnel—

C^O

4.0
6.8

international

operates

tunnel

Detroit Harvester Co
—
Mfr, auto jSarts, farm equipment
and power

lawn mowers

Detroit International Bridgeoperates bridge to Windsor
Detroit Mortgage & Realty
Co.
Real

Pressed
•

2

4.8

estate financing

Detroit Stamping

Co.———-

metal parts

Details not complete

13%

4.9

& specialties
as

to possible longer record.

~t Adjusted for stock dividends, splits, etc.
jhlncludes $1.82 extra in share of the United States Life Insurance
Company in the City of New York at its fair market value.




n 30

5%

5.6

Utilities Associates—

31

2.20

41%

5.3

23

fO.79

22%,.

3.6

7.7

--<•

New

company.

England

utilities

Economics Laboratory, Inc.—

21

22%

41%>

E.

wheels

5.3

2.3

and

Co

rolled

tires,

steel
steel

of

24

48

19

4.2

32%

3.3

(Texas)

34

2.40

59

Electric Hose & Rubber Co.—

4.0

20

1.50

50

3.0

24

1.90

39

)4.9

25

0.60

12%

4.8

66

1.70

/43%

3.9

36

2.00

51

3.9

45%

3.5

11%

2.6

Paso

j 0.78

110

371/2

3.1

2.1

Paso

Rubber

Co

Natl.

Bank

hose

signSs

29%

3.4

Electro Refractories & Abra¬
sives Corp.
_£

2.00

581/2

3.4

Manufacturer of crucibles, refrac¬
tories and abrasive products

*23

1.40

29%

4.7

76

1.00

27

3.7

24

10.89

21%

4.2

Elizabethtown Consolidated ~
Gas Co.
Natural

—

.

utility

Electric

1.00

(Chicago)
and

g0.80
1.08

projects, 'ma¬

tools

5.5

gas

distributing utility

Elizabethtown Water Co.

(Consolidated)

.

-

Operating public

69

1.80

38%

4.7

Glass Industry

Empire State
Oil

26

1.90

47%

/

!

utility

Emhart Manufacturing Co.—

lifting equip¬

4.0

.

and

Public utility

3.40

manufacturer

Bk.

45%

railroad

rings

Electrical Products Consol—

-

13

2^50

31

Electric

El
El

19

printer in

Go

1.00

37

Holding co.—brewing Interests

13.3

Co.

Bradstreet Inc

production

13

^,60

12

:

0.30

machinery

Oil
and

refining

Empire Trust Co. (N. Y.)

'V

t

53

f2.91

233

1.2

publications
Details not complete as to possible longer record,
t Adjusted for stock dividends, splits, etc.
stock dividend paid on March 1, 1959.

ii Plus 57c

Knowles Corp.

&

13

Downs

t Adjusted

dyestuffs, packaging equip*

Looms,

Assn

production

gas

Racing

20

Industrial Jacks and
ment

4.3

23

and reirigeraung
machines and farm coolers

Real

iil.00

Credit and marketing reports and

1.00

processing

Crompton

1.9

*26

Furniture

•

Pood

De

1.20

manufacturer

Creamery Package Mfg. Co.—

•

13

—

Duff-Norton Co.

Craddock-Terry Shoe Corp.-

Co..;:

13%

5.2

equipment

forglngs
Edison Sault Electric Co

1'

metals,
Industrial supplies

1.3

20

Shoe

22

''

Industrial chemicals

Mfg.

q.25

Edgewater Steel

Ducommun Metals & Supply

4.0

1.00

—-

Chemical

25'

18

County Trust (White Plains)
Cowles

240

airline catering

engineering
equipment

Distributors

containers

&

4.6

13

resistant

Circle

Co.

Drovers Natl.

Cornell Paperboard Products
paperboard

32.00

graphite

Trust

1959

21%

(Bahamas)
40

'

&

1959

20%

Chemical compound manufacturers

hearing" aids
York

all

June 30,

Ecuadorian Corp., Ltd.

Corp.

Drexel

Tires and tubes and rubber parts

&

1.1

Dicto¬

Crucible Co.

commercial

Furniture

Corduroy Rubber Co.—

Wall

public

4%

acceptances

Heavy

Refrigerators and air conditioning

—.

0.05

—

•

.

13

1959

on

Paymts. to

1.00

Holding

—

30,

1.05

and

Suffolk

Eastern

and

; tion
June 30,

June

Based

24

-

Dravo

0.8

42%

& air conditioning

comprresses

Dicta¬

States

Drackett

equipment

Copeland Refrigeration Corp.
Refrigeration

of

Oil

2.6

Household specialty chemicals

——

communication

Wire

4.0

12 Mos. to

21

1

Eason Oil Co
•-

Eastern

Donnelley (R. R.) & Sons Co.

of
24

Cook Electric Co.-

.

Quota-

Manufactur¬

Co.

Corrosion

Electrical

National
Co.

23
33

Inc

Savings

United

Trust

of

(Youngstown)

insurance

Continental Illinois
Bank

j j 3.22

451/4

3.6

Treasury securi¬

and

Houses,

1.7

fl.01

health

and

bankers

Restaurant and

(Del.)___— =34

f 1.19

Duriron

of New

S.

(Joseph)

Dobbs

Co.—

accident

and

U.

pencils
products

paper

Participating life

Continental

in

Lead

Continental American Life
Insurance

Monarch

Dixon
3.5

products

Continental Assurance

sale

and

ties

*

and

paper

1.20

34%

Electric

ing Co., Class B

3.3

systems,
systems,-- Acous-

alarm

Dealers

"3y8

1.40

;
*

% Yield

Extras for

Years Cash
Divs. Paid

'

-

communications
fife

Discount Corp.

Water Pwr. & Paper

Manufactures
-

chain

and

ticon

tilizers. hides and skins

Consolidated Theatres, Ltd.,
0.20

27V2

/.v

—

sale

home

fer¬

11-.:

21

1.00

Dictograph Products Co. Inc.

3.8

29%

■

1959'

pipes, tiles

and

Manufacture

Rendering Co._

grease,

0.30

38

Cement—

phone, dictating,
recording
transcribing machines

Holding company, diverse Interests
Tallow,

*10

Dictaphone Corp.

patents

Consolidated Naval Stores
Consolidated

B

Manufacture

I £ 1.50

June 30,
>

Manufacturer ef Portland Cement

.

-

24

30,

1959

Approx.

--

.

No. Consecutive

-

Paymts. to

Duncan

Dickey (W. S.) Clay Mfg, Co.

Products

Corp.

June

...

Including
,
•

Portland cement

Diamond Portland

on

tion

1959

30,

1959

on

$

5

>

Consolidated Metal

June

Based

Dewey Portland Cement Co.

June.30,

30,

1959

tion

Divs. Paid

% Yield

Extras for

12 Mos. to

Years Cash

Approx.

Including
No. Con-

Quota-

secutive

Biggest and Broadest - and
Still
Expanding

Extras for

Cash Divs.

% Yield

.

No. Con-

25

g

Quarterly

cating

a

for

stock dividends,
dividend rate was

splits, etc.
increased

from

20c

to

22V2C,

indi¬

$1.00 annual payment.

Continued

on

page

25

"i

26

The Commercial and Financial Chronicle

(1374)

and

opened up with this broker''
although he knew they owned

the

stocks

ever

Securities Salesman1
BY JOHN

He

value.

Several

-

mine

who

conducts

and

small

a

of

securities business
neighborhood that is largely
personal

wry

ill

friend

a

populated

retired people re¬
telephone call. It was
man. who had
10 "rights"

ceived

from,
sent

by

a

a

him

to

Telephone Co. He said he had no
idea whether

not he should sell

or

them, or exercise them, and with
an apologetic
tone stated that he
didn't

with

want

such

a

would like

the

broker

matter

but he

bother

to

^mall

some

advice. Instead of

the matter off on
the telephone, the invitation was
given to call at the office and talk
it over.
The
next
day a nicely
trying

to

dressed

pass

man

companied
of about

his

by

office.

the

in his late sixties

After

a

duration the

minutes

15

broker sold the

rights, making no
charge for his services.
Several

the

a

who

man

the

receive

would

broker

from this
for

during

times

year

a

call

and he would visit

while and wait for his wife,
would

shop¬
ping. By this time my friend had
sold him a few small lots of stock,
be doing

some

the

He

Several

weeks

ago

Joan

showd

up

over.

You have been.so
your

can

help

have
we

us.

the

believe

month

kind to us,

to

we

live

of

should
on."

taxes to be

have, and they said, "We now
have about $3,600 a year from our
principal investments in two con¬
servative common stocks (which

the first time

husband

he

re-

2.9

53

"-—2.9

44

10.96

Leased

-

Erie

likely will leave
sum

the

while

their

for

funds

V

of

attractive

to

fixed

income

recommend

it

2.6

;.9V2

13

0.80

34

h(j.60

125/8

4.8

48

2.00

55

3.6

1.60

159

T.O

51

2.60

43

6.0

18

1.00

40

2.5

25

1.60

431/4

4.00

55

7.3

46

f 1.52

51

3.0

*50

Inc._,__

1.60

291/4

5.4

,

'

•

5.7

mills

to

power

14

•*

—

Insurance

Co.

&

Electric

Hampton

Company
Operating public

utility

,"

Exeter Manufacturing Co._
Cotton

and

Exolon

glass fabrics

Co.

—_

Manufacture
and

-

artificial

magnetic

Tobacco

Inc.:

25

wholesaler

•

Bearing Co._

Manufacturer

of

Operating

public

bearings

■

Bank

of Long Beach
(Calif.)
Farrel-Birmingham Co._
Mfr3.

of

v

24

2.40

60

4.0

24

2.00

44%

4.5

25

—

machinery
Fate-Root-Heath Co

an¬

.

utility

Merchants

&

"*

-

ball

Fall River Gas Co
Farmers

.3.7'

abrasives

separators

Faber Coe & Gregg,
Fafnir

the

joint

f 0;19

operating co,-

mills

Exeter

in

over

straight

20

(Toronto)

a-jpint withdrawal annuity based
upon the
level withdrawal plan
offered by many mutual funds has
much

7,.3

Participating «fc non-particlpatlng

of such

features

1.4

41

*31

Mills,

Water

could be accomplished at any time.
The

28V4

3.00

molded

and

and

Excelsior Life

withdrawal of the principal this

a

0.40

"

holding

Textile

sudden need for

a

11

Corp

products

'

Essex Co.

joint tenancy with 'right of survi¬
vorship and it was explained that
in the event

1.3

by New York Central

Textile

Erwin

73 y4

110

Erlanger Mills Corp.___

Mean¬

placed

were

1959

reinsurance

Resistor

plastics.

consider¬

a

heirs.

line

Electronic

.

and

wife

and

very

they had

84

1.55

Crude oil production '
Erie & Kalamazoo RR.

of
figure

able

should. We have a small
pension and our social security,
but an extra $100 a mpnth would
just make things worlc out fine."
was

the

both

we

tl.00

of outlasting the lifetimes of

ance

they named) but we actually need
about $500.00 a month to live the

This

capi¬

withdrawal
allowing the dividends
and capital gains to reinvest. Such
a plan, based upon historical, past
performance, gives every assur¬

to

35

45

Multiple

year,

per

were

asked how much they would like

way

year,

annual

6%

a

have each

They

paid next

on

Insurance

Equitable Trust Co. (Balt.)__
Equity Oil Co.____,

invested the $80,000 at the rate

that

income

June 30.
1959

30,

_

Fire and Casualty

ting aside $16,000 in the savings
bank for anticipated capital gains

has
been so
possibly you
We just don't seem to

amount

dividends and

Paymts. to

June,30,

June

1959

Employers Casualty Co

$400 was being paid to them. Set¬

sincere,

;■■■

Based

Divs. Paid

month.

gains would be automatically
by the trustee of the
funds, to be plowed back into more
income producing
shares * as the
leveled out monthly payments "of

advice

and

secutive
~v Years Cash

■
-

tion

-

reinvested

ushered
into 1 this
broker's private office the hus¬
band said, "We have a problem
and - we
have
been
thinking it

r

•

frv

"'■•

>:

7 % Yield
Quota-

12 IVlos. to

Employers Reinsurance Corp.

pay-

tal

were

/_

•'~

;"

these people no\y the

from

income

both Darby
again.! After

"and

showed

■

..

a

Approx.

Including
>.

withdrawal plan with two of
all
common
stock
mutual

that this broker offered.

sound

Cash Divs.

.

.

Extras for

No. Con-

«

which
$16,000.
'
tJ-;;

funds at the rate of $400

they

Continued from page 25

their

tax,

seriously some of the intelli¬
gent and conservative suggestions

and

two

he suggested a level

Then

«

ment

take

ac¬

wife called at
pleasant visit

gain§

amounted to about

congenial
developing
and
his wife began to

was

and

man

asked them

next

capital

terrn

some

shares. .A

fund,

mutual

this

investment, in

small

a

friendship

American

the

from

and

in

"acquisition cost of the two stocks
and quickly he figured their long-

"Telephone" Rights

ago; a

years

-

stocks at current market

common

Ten

invested

$96,000

nearly

Thursday, October 1, 1953

.

Biggest and Broadest - and
■Still Expanding

Telephone, they had
that
they had

him

told

never

.

The Over-the-Counter Market

they"'rnCTrtioned^ndiu a

few shares of

DUTTON

.

1.10

16%

6.7

1.20

26

4.8

heavy

Manufactures

nuity of conventional type; There
is a hedge here against decreased

ceramic
mower

diesel
locomotives,-machinery ' and
lawnand saw sharpeners
\
'

-

purchasing

Faultless Rubber

of the monthly
checkKthe plan can be increased
or decreased at will; principal can
power

be

withdrawn at any time;

be

stopped

and

started

it

Mlscel.

Chain

can

again

rubber

Federal

of

Federal

at

—-34

bake

Federal Insurance

Screws

which

said,

Federated

to

watch

the

DIVERSIFIED ECONOMY

AGRICULTURE

Producing quality beef and dairy cattle,
fruit,
vegetables, poultry
products.

this

Merged

Fine furniture, saw mills, boxes, basket

mills,

flooring

mills,

pressed

wood.

MANUFACTURING

~

garments.

Toy

too

busy

and without

watching the market.

OIL AND GAS

MEDICAL

CENTERS

Copies of the annual and
quarterly reports giving

With Robert Smith

further information on the
ST.

(

Packing and canning, poultry, milk, meat
and vegetable processing'centers.

tion, better warehousing. Good roads.

•

L.

Building.

sommsmn
UtCTRK
scsvkc
company
John T. Shevpake, President

Executive Offices: Mercantile Bank




has

Robert

WAREHOUSING-DISTRIBUTION
Planned facilities offer better distribu•

PAUL,

Lerryn

PROCESSING
.

Bldg., Dallas, Texas

3.9

24

4.70

105

4.5

1.475

34

4.3

Bk:

541/2

3.7

99

4.3

54

4.25

66

3.00/721/2

Na¬

First

Trust

&

f 1.90

94

(Pgh.)

Peoples

Co.

of

to
form Pittsburgh
Bank.
Fidelity
Trust

shares

was

for

exchanged

11/3

each

held.

share

new

Fidelity Union Tr. (Newark)
Fifth

Union

Third

Boston

real

22

2.40

*13

50.00

30

——

(Boston)

estate

4.1

Co.

Trust

(Cincinnati)

Fifty Associates

2.40

651/2

3.7

1,310

3.8

•>

4.2

_

Finance Co. of Pennsylvania

57

Real estate and securities

Fireman's Fund Insur. Co

51

1.80

58

3.1

First Amer. Nat. Bk. (Nashv.)

21

tl.20

283/4

4.2

First Bank Stock Corp

30

1.80

453/4

3.9

20
20

1.20

33

3.6

5.50

801/4

6.9

3.4

Multiple line insurance

Bank holding company

First Bank & Trust Co.

(South Bend)
Boston Corp.-,

First

Investment
<•

-

banking

First Camden

National

& Trust Co.

Bank

14

fO.99

29

First City Natl. Bk. (Houston
First Natl. Bank of Akron

26

2.00
10.98

751/2

2.6

491/2

2.0

93

1.60

381/2

4.2

(Baltimore) _al53

2.75

623/4

4.4

(N. J.)

First Natl. Bank

Minn.

joined
Smith

&

Philip

—

J.

staff, of

Co.,

Pioneer'

"

-

16

fi-30

53,

2.5

3.30

89

3.7

(Chicago)
First Natl. Bank of Cinn.—.,

24

|7.60

321

2.4

First Natl. Bank in Dallas—__

KANSAS
E.

Strauss

with

A.

CITY, Mo.
has

C.

become

Allyn

101 West 11th Street.

&

—

George'

Co.,
was

First Natl. Bank of
*

&

Co.

Barret, Fitch, North

1.45

37%

3.9

6.00

193

Details hot

coifiplete

Memphis.
as

251/2

4.0

66

4.5

69

C.)

1.00

3.00
2.00

101

1.9

64

vvl.40

36

3.9

increased from

150

to possible longer •• record,
splits, etc.
-

/

Including predecessors.

h Erwin

to

3.1

95

t Adjusted for stock dividends,

for¬

a

merly -with

3.7

84

~

Fort

(Jersey City)

First Natl. Bank (K.

Inc.,

50 V2

96

26

First Natl. Bank
.

associated

He

of

Bank

1.85

*42

Worth

AHy.ro

(Special to The Einancial Chronicle)
.

—

First Natl. Bank of Denver

Now With A. C.

20

175

First Natl. Bank

the

—

First Natl. Bank of Boston

First National
.

Atlanta

First Natl. Bank (Binning.)

(Special to The Financial Chronicle).

Corppany's operation and
the territory served are
available on request.

Modern, complete medical, health and
resort centers grace Central - East Texas.

3.7

35

Tru3t

—

big part of new economy.. explo»
ration, drilling, processing, production,

13%

f 1.38

First Natl. Bank of

factories.

A

V

stock

to

might also wish to have more income every month, without worry

from cotton: textile goods, upholstered

furniture,

not

with

National

10

was

0.50

11

Pittsburgh

can

you

and

Bank

Bank

tional

Telephone "rights." And
besides, these people go to church,
are active in the community, and
Darby and Joan have friends who

LUMBER
''

broker

sell

paper

1.5

23

Publications, Inc.-

Fidelity Trust Co.

skip
the financial page, read the fun¬
nies, the sports page, go shopping
and take it easy.
The mailman
will bring your checks on the first
of every month,"
£/ -v ■
Add up the gross commissions
on the sale of 2,100 shares of stock
that
were
liquidated, w plus * the
amount earned from the; sale of
$80,000 of mutual fund shares, and
you
have a
pretty good sized
profit which started out because

HAVE DEVELOPED INTO A BOOMING

I

the

60

sirens, lighta, traf¬

(Baltimore)

perts doing it for you. When you
at

5.3

0.95

18

Fidelity-Philadelphia Trust

you

have experienced professional ex¬
look

Works

Co.
(New York)
Fidelity-Baltimore Natl.

and

market,

Co

Michigan newspapers

Federation

plan, the broker
now
on
you
won't

"From

25%

fic and highway signs

reinvested in this

have

1.35

6.3

warehousing

& Signal Corp.

Electric signs,

repre¬

sold

were

8.0

33

71/8

and machines

Federal Sign

senting their major investment id
securities

compress and

Federal Screw

office after delivering 2,100 shares

.

75

Multiple line insurance

possibly there will be an in¬
crease in the principal sum if the
withdrawal plan is conservatively
set up as was done in this case.
/" When his two friends left his
*

6.00

57

Compress & Warehouse

Cotton

and

stocks

15

Fertilizers

large portion of the principal will
very likely be passed on to heirs,

common

0.45

shops

Co.

Fed.

listed

-

23 '

Shops, Inc

retail

Chemical

the behest of the investor. Also, a

of

-

goods, sponges

Bake

20c,
vv

Mills

quarterly dividend rate has been

indicating

Plus

an

extra

an

annual

25%

rate

of 80c.

stock dividend paid on Jan.

20, 1959.

:

Number 5886

190

Volume

.„The Commercial and Financial Chronicle

.

.

(1375)

The Over-the-Counter Market

Cash Divs.

M

Biggest and Broadest - and
Still Expanding
No. ConYears
■"!

-

M

;4-4 '4>> /4

...

Divs. Paid

.

'

••

.

/4: 4

■

First Natl. Bank (Miami).

Commercial

Bank

General
All

1959

3.00

80

2.20

53%

-

71

1.40
10.00

31

fO.93

•

34%

94

Formerly First National Bank &
Trust

Co.

of

Paterson,

N.

changed in March
First National Bank and

Trust Co.

•

146

-

3.00

77

:

30%.

4.6

243/4

65

•

Co._

and"

183/4

5.3

Fire,

Vegetable

hhl.00

37

2.7

47%

4.7

57%

2.20.
1,70

84

Trust

3.0

13

0.40

8%

multiple

allied

1.00

33%

3.0

..Co., Ltd.

.1.80

43

46%

3.5

Fitchburg Gas & Elec. Light 100

3.00

57%

5.2

10.98

81
21%

9%

3.8.

Goodall Rubber Co., Class A_
Hose, belting and packings

25

0.50

9%

5.3

li

1.65

38

4.3

12

*f0.99

109

0.9

company

cream

Pumps and water

Florida National Bank

Govt.
23 L

Florida Public Utilities Co.._

16

0.685

18

0.95

26%

19

fO.125'

10%

0.40

21

■

6.3

and

26%

3.8

*35

1.15

33

3.5

11

0.50

17%

2.9

——

_

'4

6.8

refractory prod¬

&

distribution

19

0.50

13%

3.8

25

fittings, sprinkler
piping systems

13.90

195%

2.0

86

18.00

340

5.3

80

2.2

22%

2.2

systems

-

(Montreal)

J

.

Merged in April 1959 with J. P.
Morgan & Co., Inc. to form Mor¬
gan
Guaranty Trust Co. Stock
\
——exchanged- share for share,
' tt1

retailer.

Gulf

Insurance

Fire

and

Co,

casualty

(Dallas)

"

26

fl.78

27

0.50

insurance

Gulf Life Insurance Co.

(Jacksonville, Fla.)

Insurance.

4 73

1.00

.

1.3

Life

and

———

accident

fire

1.1

30

Insurance—casualty

3.6

1.9

Operating public utility

,

Florida Telephone Corp. cl. A

24

systems

Employees

5.00

33

1.9
).

Guaranty Trust Co. of N. Y._
*

ice

*22

3.0

Guarantee, fire, and casualty

1.50

1.2

,

of

canning

America

elevator

Well-known

340

Fire Brick Co._

Guarantee Co. of North

5.1

Gould Pumps, Inc

4.2

1.60

(Jacksonville)

,19%

0.35

—_

4.40

Corp.

cov¬

25

—

59

,

tanning

lines

55

Grain

86

health

and

Grinnell
and

1.00

1.60

-

health

and

Leather

23

*34

Griess-Pfleger Tanning Co.—

.

peril

15

Co.

welding equipment and
welding studs

4.6

93

Good Humor Corp.—

'

__-

and

0.45

engineers

Stud

Pipe

marine,

erages

3.9

Gregory Industries, Inc

manufacturing

insurance

38%

ucts
/ .
'
Green Giant Co., Class B——

4.5

tools

14

1.50

.

523/4-

1.00

24

5.4

86

slippers

Manufacturer

2.40

~

4.0

29%

(N. Y.)

—

and

Green (A. P.)

Corn Exchange
(PhiladelDhia) ——122

504

1.60

,

.

(Daniel) Co

House

3.1

1.7

2.00

(Winnipeg)—

Green
2.00

375

West Life Assurance

Co.

drilling

1959

;

6.00

Engineering

accident

Great

4.8

Goderich Elevator & Transit

91

electric

1.20

Life,

Globe & Republic Insurance
Co. of America

2.4

'

(San Francisco)
and

22

Insurance

17

1959

1959

12

16

Great Southern Life Ins.

2.0

on

June 30.

—«4^-~36

"

,

Life, accident

Multiple line

I-

1.40

,

24

_

35

"

•

First Trenton National Bank,

Gas

lines

140

Paymts.

-

June 30,

Insurance

Lakes

Works

Glens Falls Insurance Co
3.8

fabrics

Shipbuilders

2.75

tion

—

30,

18

•—

Amer. Ins. Co.

Great

Based

manufacturer

,

underwriter

company

&

3.2

Insurance

Glen-Gery Shale Brick Corp.

3.8

37%

i 0.85

24

-----

Bank

....

'

Glatfelter (P. H.) Co

Sav¬

—

Co.

78

1.40

(Conn.)
23:
First Pennsylvania Banking &
Trust Co. (Phila.)
131

First Western

442

Wire cloth

Brick

Security> Corp.

1.40

Great

1.7

Girard Trust

3.7

Ice

Cotton

m

Quota-

&

Storage Co

Detroit

49

Warehouse

Graniteville Co.

Pulp and paper manufacture

First New Haven National

holding

allied

Trunk

Cold

2.4

,83%

f0.85

n

Turret lathes

&

2.9

Diversified

Fire

Gisholt Machine

ings Bank of San Diego—

Bank

4.3

37

Grand

21

Gilbert & Bennett Manufac¬

Bank

f 1.37

Grace Natl. Bank of New York

k

2.8

r—

First National Exchange
Bank of Roanoke

First

69

2.00

16

June

$

8.1

machines

1959.

First National City Bank of
New York

Bank

parts

production

and

25

12

Boring, milling and

2.7

*

21

Trust

Marble

Plre

J.

(Tulsa)

First National

3.00

12 Mos. to

Divs. Paid

>44
Co

2.9
.

secutive

% Yield

Extras for

Years Cash

1959

7%

0.60

and

turing Co.

County (Paterson, N. J.)
Name

fire

Company

.

-

Corp.—

bonding,

Germantown

4.1
4.2

-48
350

No. Con¬

machinery

Reinsurance

casualty,

Automotive

!

Passaic

of

-24

Giddings & Lewis Mach. Tool
22
39

on

-

0.625
' 4 '

'

Georgia Marble Co

3.8
3.8

-

Corp

other

Genuine Parts
2.6

- y

and

14

'

allied lines

44:;.

,

Shreveport, La
First Natl. Bank(Wichita )—_
First Natl. Bk. T. (Okla.City)
Nat'l

on

June 30,

61

3.00

Marine

5

Co.

printing

General Metals

Paymts. to

117 %

-4.50

-

Based
.

30,

MMM:y>

1.60
-

26

First National Bank of

tion
1959

5

-

*34

First Natl. Bank of Oregon—-88
First Natl. Bank (St. Lotus)41

Quota-

to^

30,' June

1959

M-

56

First Natl. Bank (Mobile)
First Natl. Bank (Omaha)

First

June

1959

'

General Manifold &
Ptg.

Approx.

Extras for

Cash

1959

Approx.

Including

tion

Divs. Paid

% Yield

12 lyios.

secutive

V

12 Mos. to

Based

Paymts. to
Years-Gash "June 30,- June
30, June 30,

L—

Including

•

Quota-

secutive

•

.

Extras for

■

Cash Divs.

'

M

Cash Divs.

% Yield

No. Can-

,

.

Approx.

Including
"

27

•Details not complete as to possible longer record,
t Adjusted for stock dividends, splits, etc.

3.2
;

u

t Adjusted for stock dividends, splits,
hh All figures

adjusted for

etc.

two-for-one

split

on

May

19,

Continued

1959.

on

page

28

Telephone company

Foote Bros. Gear & Mach
Precision

and

industrial

gears,

transmissions,'etc.

Foote-Burt
Drilling,

Co.

—

reaming,

—

tapping

'

B-aW

'

.

machines

Forbes &

Wallace, Inc., Cl. B

Dept. store.

Sprlnglield.

Fort Pitt Bridge
Structural

steel

23

1.75

21

8.3

17

1.00

31

3.2

Mass.

Works

fabrication

Fort

Wayne National Bank
(Indiana)

24

Fort

Worth

2.10

66

3.2

85

Ft. Worth National Bank

1.00

24%

4.0

Transit Co

11

21

1.00

Fourth Natl. Bank in Wichita

*34

5%

0.40

Corp.

7.0

Port Worth bus service

Fostoria

Pressed

Industrial

Steel

lighting

Fram

12

1*0.145

73
6%

1.3
2.4

17

10.95

30%

3.1

23

1.10

30%

3.6

16

0.60

14%

4.1

18

t0.4l

77%

0.5

33%

5.2

10

4.0

:| 0.95

We

Corp.

—

of oil,

Franco Wyoming Oil Co
Oil
production,
development

exploration

standing insurance

'!

Law, Inc.
Professional

advertising agency

FRANKLIN

CO

insurance

See

achievement to

LIFE

INSURANCE

the recent attainment of

on

page

CO

See

57

Company's

Refrigeration

advertisement

on

page

and air conditioning

27

City real

Frontier Refining
Petroleum

.

.

adding another chapter of

of the most remarkable

growth

records in the

.

1.75

>••

-

Realty Co.

history of life insurance.

3H.

Enthusiastic acceptance of Franklin's distinctive

equipment}

Friedman (Louis)
New York

one

.

i_

Company's advertisement

FRICK
•

announce

and

Frank (Albert )-Guenther

•

proud to

Three Billion Five Hundred Million Dollars in out¬

air, fuel and

filters

water

Life

are

,

Manufacturer

,

4.2

units

Fownes Brothers & Co
Gloves

24

12

0.40

13

10.24

12%

1.9

14

1.50

23 %

6.4

37

5.00

29

1.00

46

T.25

estate

Co

savings and protection plans has established

/

production, refining

•

our

(

and marketing

Fruit of the Loom, Inc
Textiles

Fuller Brush Co., Class A

dominant

4.1

120

position

as

the largest stock legal

reserve
j

IBrxislies

Fulton

Market

Storage

10%

9.5

life insurance company

warehousing

Refrigerated

^

Cold

Fulton Natl.

Bank

(Atlanta)

-

37

3.4

-

-

in #ie United States devoted

.
.

Galveston-Houston Co.
Holding

company.

20

——

Bus Industry

seals,

packings,

54

gaskets,

oil

mechanical seals and

7%

1.125

40%

2.8

4

exclusively to the underwriting of individual (or-

.

'

•;'

'

'

-

r

plastics

Gary Natl. Bank (Indiana)—

26

6.00

Gary Railways, Inc

16

0.20

15

1.52

31

21

1.00

30%

3.3

*T9

10.19

29%

*

0.6

dinary) insurance and annuity contracts.

4.9

holding

Transportation

Natural

Missouri,

500

3%

1.2

6.4

company

Gas Service Co
distributor
serving
Kansas, Oklahoma and

gas

The Franklin Life

Nebraska

General Crude Oil Co
Southern

producer

General Industries Co.
Mfrs. of

automobile

heaters

assemblies:
Custom-molded plastic parts
and

*

home

Details not

recording

;

now

J

:

FoundedT88V

complete as to possihJSlonger record,

stock dividends, splits, etc.
split two-for-one in April 1959. Quarterly dividend rate is

2iy4c.

.

.

!




-

Company

:

J

t Adjusted for
i-Stock

Insurance

small ihotors for electric

phonographs,

-

<fx"

12.1

—

Garlock Packing Co
Mechanical

0.875

Springfield; Illinois

J

Chas. E. Becker, President

'

r.

M

28

The Commercial and Financial Chronicle

(1376)

is

less

in

Swedish Lesson imSocialism

the

largely
they

Warning that

have this problem

too

we

mechanics

management,

and

Because

there

I had

to

been told

by
friends

"Washington

will

forecast.
gradually

become

good

follows:

as

work

of my
who
have

some

the

ed

was

1912

1S27.

to

then

little trade, there
unemployment,
and

country

be¬

Sweden

story.

into

heavily

went

was

the

debt.

come more so¬

Cannot

cialistic, "until
they meet on
a
middle
ground,
S

w

e

With

n."

e

this

rr.ind, I h

value

greatly.

for¬

with

ward

visiting
Sweden, where
Stockholm
beautiful

I

now

—°the capital

;.city

with

wide

billion
lent

All

of

reaucracy

ployees.

to

the

to

ing

the

above

is

especially

under
■»

Our

disappointing

as

the

Swedes

they are operat¬

talk

only

government.

Govern¬

of
It

a

co¬

is true

pwedish people buy al¬
everything from the great

"Go-operatives"

which

operate

most of the factories and many

of

the farms and other producers.

em¬

Then

Even

what

secutive

is

the

trouble?

I

though these are
poorly paid, they have "security." hear no complaint of dishonesty;
Rather than
compete in private the workers are faithful and there

.

.

.

.

in

stock

any

I

sorry

am

affairs

Competition

in

Sweden.

V

prices, quotes,

or

of

the

-"Dow-Jones

unlimited capital.

the

get

Halle

recourse

Our

nation

needs

"small

only does-the Swedish
the

income

to

but

managers,

Khrushchev

his

workers
them

home

at

how

see

could

live

It

not

27r

and

handling

106

Table

Second

Hartford

Fire

Diversified

the

Bas¬

ioi

3.00

37

8,1

19

1.20-

19%

6.2

Starting

Page 42.

on

and

46 %

4.3

Bank

&

Boiler

Trust 127

k-1.50

363/4

4.1

88

j'2.00

95%

2.1

51

4.2

28%

4.8

20

6.0

Insp

Company—

machinery

Insurance

(Cambridge).

55

Co.---—

41

1.38

service

the

nights

number

TV

27

2.50

39 %.

6.3

(San Fran.)—

11

3.00

69

4.3

24

2.00

83%

2.4

1.20

29%

4.1

18

2.50

47

5.3

89

1.20

41

2.9

11

0.40

123/4

3.1

87

2.00

48%

4.1

(New Orleans)
Department

on =

store

Lumber Co.

(Edward)

Hines

forum
of

M'

products In

Higbee Col

logging and processing

Holyoke Water Power Co
Electric

hydraulic power,

add

Industrial isteam

in¬

and

real

estate

Finance Group, Inc.—

Home

accordingly

Holding company—auto financing

Insurance

Home
Fire,

the advent

»

It

Details

not

t Adjusted
k

(N. Y.)

Co

Casualty and Life
complete as to possible longer record.

for stock dividends, splits, etc

stock dividend paid on May 15, 1959. .
rate is now 40c, indicating an annual

j Plus a 8Va&

by Sutro part¬
ner
Stephen Floersheimer, who
will personally answer questions
sent in by investors
seeking help
financial

—

15

dairy

Hibernia Bank

problems
would
have
interest.
Accordingly, this

"Investor's

ml.20

Hibernia National Bank

the substantial

Bros,

24

Pennsylvania

Televi¬

this

present

Sutro

.'

company

Produces

Timber

on

'

Hershey Creamery

13.

predicated

Gas

Haverty Furniture Co.—.——
Holding

1.6

3.00

2.00

2.15

Gas

185

86

—

Haverhill

Sunday

2.0

109

Insurance
Co.

Insurance

and
Boiler

"Investor's TV

their

fl.97

Harvard Trust

vately owned.

program

:

51

24

Insurance

Steam

with

5.3

they

Natl.

broad

38

letting

Hartford

in

2.00

Payers From 5 to 10 Years Appear in the

Hartford

to

3.7

Over-The-Counter Consecutive Cash Dividend

—

Investors

2.3

54%

equipment

namely, to
prevent the moving of their best
people to a so-called capitalistic
country where business is pri¬

an

2.6

Hotel

whole

make

to

^

129

Savings

..

his

why the Communistic

want

310

3.00

i2.00

.

in

world communistic

2.5

>

8.00

25

._

Penn-Harrls

will be conducted

1951

Trust

Gas

tions

I> 00

*

Hartford

reason

j2.00

Insurance

may

better

much

4.1

,.u

steel

Iron,

Harris

this

Letterbox."

-

*54

). 106

is

keeping

and

263/4

•.

_

Coal.

the, United States
Russia. Tfiis may be one

in

than

for

reason

1.10

■'

ar¬

see

Anniversary

20

and

sys¬

see

danger ahead for Russia..
be

0.7

attract

Sweden

may

2.8

110

"

Grain

Not

32

0.80

Hamilton National Bank of

are
being forced into
professions and government
jpbs because of the very high
taxes levied on "big business."

of

Our 35th

2.7

f0.91

.

executives

Sunday night will

Offices in 112 Cities

2.0

37

30

busi¬

70 PINE STREET

J"

31%

distributor*

the

tem, lack

1.00

National Bank

Hamilton

to

just as a church needs
Sunday School. Yet our good

a

f0.63

44

-

merchandise

laundry appliances,
professional furniture

pay very

vestors

f

1.4

"" ~r;--v

Home

-

nesses,"

vestors.

'«D>

35

air condl-

and

Haloid Xerox Inc. (N. Y.)____
Hamilton Mfg.

high sala¬
ries. This, however, is not healthy.
can

Merril! Lynch, Pierce, Fenner & Smith inc.

-

heating

supplies

We further can
best managers,

world's

we

Decision

NEW YORK 5, N. Y.

1959

•

17

-

Bros.

Ohio

felt that'a public discussion of in¬

1924

24

——

_

since

was

•

June 30,

1959

0.50

21

..

increase

Marketing Department

1959

on

Paymts. to

30,

chemical*

treatment

tlonlng

Industrial"

which have

concerns,

Channel

simply contact—

tion

June

"

sion Question and Answer Forum.
It will be included in their 10 to 11

information,

Based

product*

Corp.

Plumbing,

Government-

operated businesses need the com¬
petition of privately owned, fairly
taxed competition.
But our pri¬
vately owned companies also need
more competition as they become
bigger.
This is-^especially true

End"

latest

insulation

—:

Water

Hajoca

hour of the David Susskind
"Open

For

fibre

Inc.

to find this state of

inaugurated

these pages?

on

OlkM

.

Needs

System

More

The New York Stock Exchange
of Sutro Bros. & Co. have

.

Quota-

$

firm
.

June 30.

Divs. Paid

Gustin-Bac-on Mfg. Co

Letterbox" to Bow
Interested.

% Yield

12 Mos. to

Years Cash

executives'

on

Capitalistic

tisans.

that the
most

lid

Approx.

Including
Extras for

the

is

losing its best mecnanics and

System

Socialistic

a

They

operative

bu¬

.government

1.5

'*

me,

ment.

grave."

expensive

to

or to the equiva¬
$290 million in American

do not admit that

only is real estate heavily
taxed, but excise taxes exist on
products used by the people
an

a

year

Discouraging to Executives

most

is

risen

the
in

kronor,

of

Cash Divs.
JsJo. Con¬

.

Hagan Chemical and Controls,

good

Not

"cradle

had

Sweden's Economic

give them "security." They
seem
happy, contented, and not
overworked. They have only one
complaint, namely, that "taxes are
very high."

also

been

its

funds.

which

the

has

and in the

deficit

the

fact,

In

1952.

decided uptrend,
1958

27

page

-

balanced

not

budgetary) deficit

have old-age assistance, free medi¬
cal care, and many other things

There

sjnee

budget

am.

is a
streets
—

and
handsome buildings.
It has
large supermarkets with co-oper¬
ative
managements.
Railroads,
utilities, and telephones are most¬
ly government owned. The people

from

has

Sweden

to

worth

now

19c.

only about

Roger W. Babson

interest

great

hrona—is

a

the

declined

"dollar"—

Swedish

The

called

and

"dollars"

their

of

,

debt

national

their

on

in

a v e

looked

Budget

the

happened to
Germany, Poland, and many other
European countries during World
War II. They completely defaulted

like

d

Balance

all know what

We

Continued+from

get
ap¬

great handicap to
Co-operatives, rail¬
roads, steamships, and utilities.

II

War

got

much

States will

World

But

economic

cannot
and this

Swedish

very prosperous

different

was"a

Unit¬

gradually

Until well

salaries

the

accepted, as
from

cheerfully

Sweden

The

country.

seek

after World War 1 the heavy taxes
were

Russia

r-

more

managers;

more.

which receive hign salaries in our

people

these government jobs.

that

.conservative
and

business,

or

country

Biggest and Broadest - and
Still
Expanding
■//

go¬

States

plies to the banks and all offices

businesses.

small

in

Sweden's

of

.

efficient

laws,

because of our fax

executives —even

Khrushchev

Premier

heard

they

attract

Swedish

much

earn

Thursday, October 1, 1959

.

The Over-the-Counter Market

The differ¬

able

the United

can

the

system

artisans.

the

the noted financial writer stresses incentives are needed here as well
as

the

to

where

businesses

private competition and he finds that the Swedish system

discourages

shovels" than

on

executives leave the country,

ing

definitely

that

is

ence

By ROGER W. BARSON
Now in Sweden, Mr. Babson advises government operated
there need

"leaning

United States.

.

.

Quarterly; dividend

rate

of $1.60.
m

Plus a

stock

1%

dividend paid

Dec.

on

31,

1958.

>

problems.

Howells & Co. Formed

Underwriters, Distributors and Dealers

In Oakland
(Special to The Financial Chronicle)

Adams &Peck
j

•

'

.

'

•

Members F{cw

A

■

.

J.

»

Tor\ Stoc\ Exchange

and American

offices

at

in

gage

Partners

1§toc\ Exchange

1330

Broadway, to

securities

a
are

Merriam

Howells

and Arden M. Howells. Both

were

formerly with Wilson, Johnson &
Higgins.

Brokers and Dealers in

—..

Form Investment Ideas

.

,

Members

LOUISVILLE, Ky.—Investment

UNLISTED INVESTMENT STOCKS

Ideas

Inc.

offices

•

NEW YORK 5, N. Y.




wire to

1

been

formed

Francis

with

Building
Abbott,

Rucker Todd, Secre¬
tary and C. C. Abbott, Treasurer.

Philadelphia

L. G. Lewis
FT.
.

Lewis

conducting

business
Curzon.

-

-

from

.

,

Teletype: N.Y. 1-210
MIAMI BEACH

BALTIMORE

LAKE WORTH

Correspondents:
—Direct
York

Washington
Fort

>■

AMSTERDAM

HAVANA, CUBA*

Wire

Service?

Baltimore
Fierce

PALM BEACH

GENEVA

LONDON

—

New

securities
offices at 4112

Other Exchanges

BROAP STREET, NEW YORK 4, N. Y.

WASHINGTON
FORT PIERCE

Opens
a

Stock;1 Exchange,and

Telephone: HAnover 2-0600

WORTH, Texas —Leon G.
is

York

'

President;

Teletype NY 1-724

—

the

to engage in a securities business.
Officers are C. Webster

Telephone REctor 2-4949

Private

has

in#

25

New

CO.

8t

H IRSCH

INDUSTRIAL 8t RAILROAD SECURITIES

120 BROADWAY

T,/;:,;';::;s>

Corporate and Municipal Securities

en¬

business.
J.

in

:

OAKLAND, Calif.—Howells &
Company has been formed with

Miami Beach
Lake

Worth

Palm

Beach

Volume

190

Number 5886

.

The Commercial and Financial Chronicle

.

.

29

(1377)

The Over-the-Goiinter Market

Comprehensive Industries' Statistics Published C. J. Stewart Pres.
By Commerce Dept
Of Manufacturers Trust

'

Biggest and Broadest - and
Still
Expanding
Cash Divs.
*

Including

»

'

New

No. Con-

Extras for

Quota-

secutive

•

12 Mos. to

tion

Paymts. to

June 30.

June 30,

1959

1959

/

Years Cash

June 30.

Divs. Paid

1959
■

The

Local

and

long

distance

1.0^ x.17

-18

.

"Business

historical

a

co.mpen-

E.

for

measures

is

economy,

of

5.9

Insurance

Ropes

and

twine

Hotel

; 16

3.6

•

690

3.3

20.00

Gary Corp.—

23

'2.00

Indiana

Hotel

hotel

Syracuse, Inc.

15

2.55

40
'

■

,

Housatonic Public Serv. Co..
Connecticut
pany,

public

and

gas

utility

17

Texas

utility

26x/8

"3.1

1.20

3iy2

-3.8

ures

:

.:

tailed

and

food

47

Manufactures

fabrics,
and

Sugar

Sugar

'52

46,

•

•

(Boise)

'

37

4.4

25

2.70

47

1.00

.

24

2.00

5.00

Industrial Natl. Bank (Prov.)al67

Insley Manufacturing Corp._
sale

of

shovels,

24V2

.

"f 1.74

13

0.10

40V2

4.9

83--

6.0

.

1.40

11

f0.50

16

.

3.1

on

page

the national

32.

0.80

16V2'

4.8

Co.

36

1.50

37

4.1

Interstate Bakeries Corp.—_

12

1.45

33V2

4.3

33

public utility

'

„

and

Kentucky
in

engage

whitaker. SecCharles J. Stewart

effective

Form Wilson, Ehli

offices

3203

at

Co., he formerly

,

,

146

/

CLEVELAND, O —J. W. Yarbo,
(financial) of

Vice-President

Texas-Pacific Coal & Oil Co., will
address

Butler,

Street.

'

a

meeting

of

the Cleve-

land Society of Security Analysts

Mail address

Augusta

President of

to be held Oct. 7.

a a

r„

,y,

a

~a

a

",'v

'

a aaaaaf

||
||
m

income

and

prod-

m

|

included, such

II

|§

I

>

Brokers

L

J

farm

in

i

orders, inconstruction
income and mar-

m

Stocks

and

Bonds

Underwriters

and

Distributors

_

|
f

statistics-, and carrier
In addition, the supdemand structure (pro-

all

the

is

Through
of the 1959

represented.

350-plus pages

the reader is guided to
correlated subjects by means of an
intensively cross - referenced inedition,

cake

Box

m

was

Cleveland Analysts
To Hear Executive

McCORMICK, S. C.—Ralph M.
Herrick & Marshall.

Mr. Stewart

the New York Trust Company.'

Third

representing

2, succeeding Eu¬
Hooper, who is retiring

Is ® Partner in Lazard Freres &

Butler, Herrick Office
is

Nov.

for reasons of health.

Avenue,
North.
Officers
are
Pius
Ehli,
President;
Tom
Demos,
VicePresident; Leon Bailey, Secretary;
and James J. Wilson, Treasurer.

Bewell

S.

gene

BILLINGS, Mont.—Wilson, Ehli,
Demos, Bailey and Co. is engagin? in a sprnritipc hiicinpcc fmm
mg in a securities business from

eco-

.

Reinsurance—multiple lines
bread

the

Mrs" EUzabeth

production,

modities

Company
Inter-Ocean Reinsurance

in

retary and Treasurer.

major busi-

All
are

materials

ply and
duction,- consumption,
stocks,
prices) for major individual com-

'

Company's advertisement

Wholesale

pre¬

operations.-

Inter-Mountain Telephone
Operating

research.

indicators

monetary

CO.

offices

fpwlf*r6w111!!?!t°*ih ^
■*-lUclan C. Whitaker II, President;

advertising,
banking,
consumer
credit,
insurance,
domestic
and
foreign
trade,' securities
and

3.5

Insurance

See

Opens

_

j

activity,

45
3.9
130.8

40

m

Home Life Building to

dustrial

,

39

,,

with

ketings, and employment, hours,
and earnings.
Also covered are
■

coun-

LOUISVILLE, Ky.—-L. C. Whit¬
Company has been formed

sales, inventories, dnd

&

•

for

Company of New York,

(SpS&bl to The Financial Chronicle)

accounts,
new
plant
and
equipment expenditures, business

INTER-COUNTY TITLE

Title

.fr

uct

Insurance

MORTGAGE

L. C. Whitaker

this

unique,

nomic

con¬

Pennsylvania

GUARANTY

of

a

4.1

etc.

Insurance Co. of the State of
Diversified

is

comprehensive

Trust

(Ontario)

and

edition

new

source

as

cranes,

are

needed

Savings, trust and mortgages

struction

1929

to

3.8

72

ness

(New York)

Manufacture

in

one-volume

Co

Mortgage &

back

been

try.

is

Each

94

thus

sented.

4.0

-

Operating water utility

Co.

performance

compare

statistics

Industrial Bank of Commerce

—

reader is

period with that in earlier years,
since annual averages of monthly

2.7

45

Indiana National Bank of

Industrial

The businessman

ily

nl.00

fices located throughout the

the past four years, and can read¬

-

2.00

furnished

are

series.

enabled to trace the monthly beat
the nation's economic pulse for

**

Indianapolis
Indianapolis Water

new

all

has

Manufactur¬

it

or

of

'

21

13

descriptions

■

3.0

26mml.00

and water utility

gas

3.1

In¬

Indiana Gas & Water Co., Inc.
Natural

1,40

devices

Co

refining

593.9

felts,

precision

control

Idaho First Natl. Bk.

Imperial

2.30

59

>

products

papermakers*

Industrial

struments

1.80

22

(F. C.) & Sons______

that have occurred since pub¬
of the 1957 volume.
De¬

for

< .*

Columbus (Ohio)
Huston (Tom) Peanut Co

vol-

new

lication

.

,

Huntington National Bank of

Confection

'•

'

10

refining

Huyck

•

.

0.80

thp

handy reference library of month¬
ly data shown in the
previous
edition,
but
fully
explains
all
changes and revisions in the fig¬

♦

<

.

23

the
the

of

progress in the last 30 years.
It
not
only
carries
forward - the

4.8

com-

Hubinger Co
Corn

■;
29

section

Business "

of

aker

of

Socuments 'u.thS economic

ume

6.4

electric

Houston Natural Gas Corp.
Southern

1.40

supplementing

Statistics

Currpnt

3.5

,

rooms

biennial series

Department's monthly "Survey of

City

57 "

a

books

Business

v

25

York

base

.

1.05

-

;

*

in

Stewart

be purchased at any of the
Department of Commerce field of-

distribution,

Twelfth

J.

President

Trust

ers

may

Business

:

100

Inc

New

Hotel

606

1

cleaners

Barbizon,

12.0

' 29V2

12.00

X

{,

Hoover Co., class A
Vacuum

28

-.

elected

avail-.

now

'

Hooven & Allison Co

Charles

30

Office, Washington 25, D. C.,

the Office
Economics, U. S. Department Of Commerce, announced today.
of

..v.

s.

of

2,600 statistical

U.

able

v

(Brooklyn, N. Y.)
Title

the

i

*•

:

Home Title Guaranty Co.->;.
-t-

4.8

phone
'

'

service

7% *"

edition

monthly and annual data for

ing

0.37

carrying "Survey of Current Business" data back
is published by the Department of Commerce.

dium and reference book contain-

over

38

1959

Statistics,",

$

Home

Telephone and Telegraph Company of Virginia

edition
years

Approx.
% Yield
Based on '

'

dex.

|:

Jf
j
|

of

|
Corporate and Municipal

r.

j
|J

Securities

fh
If
§'

'

bakeries

Use

Interstate Co.

14

19lA

2.1

18

0.80

11V2

7.0

fO.575

13%

4.2

32

—

0.40

10

Restaurant

Interstate Financial

Corp

0.90

YIV\

5.2

Interstate Motor Freight

System
Common

motor

Interstate

financing and

essential information
-

coverage,

con-

methods,

loans

sumer

Including

•Details

mm

Plus
a

5%

as

to source,

those data.

Dec|

edi-

|||
■

I

on

page

30

Members New York Stock

mm

t '
i

'a

Exchange

Waff&/vee/

J,

*A'. Q/.

%
+

Telephone WHitehall 3-7600

copy

from the Superintendent of Docu¬

19, 1958.

Continued

.

Statistics,"

1959
dition, is available at $2.25 a

dividend paid in February 1959.
stock dividend paid

..

T mm
w:f.„

i

"Business

stock

6'/2%

||

Z2

predecessors.

not

complete as to possible longer record,
t Adjusted for stock dividends,,splits, etp?
nPlus

is

definitions,
survey
and
qualifications
or

limitations in
a

Statistics"

sine# its explanatory notes supply

carrier

Securities Co

Automobile

"Business

larly in the 40-page statistical section of each issue of the magazine
"Survey
of
Current
Business,"

loans

Small

of

prerequisite to best application of
the
figures which appear regu-

chain

II

\corporateTeletype:

NY 1-865 • Municipal Teletype: NY 1-1691

ments, U. S. Government Printing
We have direct wires

the

to

following cities:

•

/

Albany

Albuquerque Asheville Baltimore Beloit

Beverly Hills

Chicago

Boston Burlington

Cincinnati

Des Moines

Cleveland

Detroit

COMMON

C

-■5W

Bought

PREFERRED
Sold

Greenwood

Quoted

Denver

El Paso

Grand Rapids

Houston

Huntincton

Joplin

Kansas City

Jackson

Los AngEles

M

M

Fayetteville, Ark.

Fullerton

Harrisburg

Indianapolis

Dallas

Durham

Farmington, N. M.

Fayetteville, N. C.

Charlottesville

Malone

Minneapolis

Mobile

-m
m

Montgomery Nashville New Orleans Philadelphia

Francis /. duPont & Co.
Members New York Stock




Portland, Ore.

Rome, N. Y.

Exchange and principal security and

commodity exchanges
ONE WALL

Pittsburgh

STREET, NEW YORK 5

73

San Antonio

offices coast to coast
DIgby 4-2000

Seattle
;

St. Louis

San Francisco

Spartanburg

Victoria, Tex.

Potsdam

St. Paul

Santa Ana

Toronto

Washington

Rock Island

Salt Lake City

Tulsa

Whittier

WM

Santa Fe

Utica

Wichita

iiii

30

The Commercial

(1378>

into account capital gains

taking
of

By ROGER F. MURRAY*

for

and

as jwere

(

the

tributed

characteristics
of private funds are equally at-,
The investment policies of State
tributable
to
public' funds.
In
and local government retirement
either case, the basic assignment
systems are in a period of rapid
is to invest a fund to produce the
changes.
There is in process a
maximum long-term rate of re¬
c o n tinuous
turn,
taking into "account both
breaking
current income and capital gains,
away
from
and losses, The higher the return,
past

uniform

largely

given

a

b

or

c o r-

porate pension
the

employees
tions

Roger F. -Murray

Dr.

estab¬
for

organiza¬
similar

business

of

went

through

a

evolution.

Indeed, if holdings of
government obli¬
gations are excluded, the present
diversification
of
public retire¬
ment system
investments is not
State, and

unlike

local

that

for

of

funds ten

private

fund,

a

a

There

ence.

for

reasons

among

of

case

course,

the

to

of

retirement

they

Pension

Funds, 1948

Corporate

Retirement

Systems, 1958*

are

bonds

46

43

Corporate stocks

2

11

Other assets

7

bonds

.

But the second
for funding

4

„

cause

of

business
•Excluding
obligations.

State

local

and

government

of

is less applicable be¬

to

power

existence

tax

may.

purpose of
paying pensions continues indefi¬
fairly con¬ nitely, while private business may
clude that it is. true for public or
may
not be able to sell its
funds in the aggregate that they goods and services over the
long
are currently
invested about the future.
If we think of the, fund
way private funds were invested as a bundle of collateral pledged
sen years ago,
particularly when to fulfill a promise of retirement

In

general,

we

may

exclude for later consideration

we

invested

amounts

local
From

observation

should

we

that

public funds ten
will be invested as

hence

private
rently?

and

state

obligations.

government
this

conclude
years

in

of

be

stable

more

higher
in

quality

value

than

funds are invested cur¬
true that there is a
ten-year lag in the liberalizing of
public fund investment policies?

If

that

so,

Thus

public

retirement

administrators

in

are

position of having

the

system

unique

long preview
of their future activities.
a

we

that the

might

well

portfolio of

tirement

system,

a

to

and

public

re¬

In favor of such

conclusion is

a

than

a

"less

conservatively
invested
private pension fund. By

conservatively," I
with less

course,
•An address

National

by Mr. Murray before the

Association

of

State

Auditors,
Treasurers, Philadel¬

■Comptrollers, and
Pa., Sept. 17,

phia,

short-run

quidity,
cern

1959.-

for

price

mean,

emphasis

stability

but with

the

and

Struthers Wells

1.4

24

2.00

50%

4.0

1.54

34

4.5

'2.30

83

2.3

1.00

27

3.7,

24

2.30

68

3.4

31

1.00

16%

6.1

43"

1.60

30%

5.2

34

1.50

38

3.9

*74

8.00

175

4.6

24

1.25

26

4.8

*35

9.00

1,475

0.6

11

0.70

'18

3.9

19

,2.50

61

4.0

22

1.85

43

4.3

22

1.65

23%

7.0

Kearney & Trecker Corp.___

17

0.15

16%

0.9

Milling machines
Kendall Company

19

2.00

63

3.2

57

1.10

22%

4.3

16

1.20

28

4.3

same

of

are

ad-

on

li¬

con¬

'

Lathes, grinders', comparators;
threading

Joslyn Manufacturing &

Supply Co.
line

people

pole

Kokenge Co.___—
shoes

Women's

Kahler

Corp.

Hotels,

—

restaurant and

laundry

operator

Kalamazoo Veg.
Pulp
food

and

Parchm't Co.
specializing

paper,

protection

In

papers

Kanawha Valley Bank

(Charleston, W. Va.)
City Fire & Marine

Kansas

Insurance

Co.

Multlple-llne

Insurance

Kansas

____

City Life InsirCo

Non-partlclpatlng life

the

of

Buildings,

differ¬

Kansas

■'/_

,

known

for

:

Title insurance, abstracts, escrow

Kansas-Neb. Natural Gas Co.
Natural

production, transmis¬

gas

and

sion

distribution
'

Kearney (James R.) Corp.—
Utility equipment

(The)

Surgical dressings, elastic goods,
textile
specialties and pressureIndustrial

sensitive

Kendall

tapes

Refining Co

Producing, refining and marketing
of petroleum and Its products

—

/' ' '
of a'

their

tanks.

Insurance

Company

of

issues' can

bridges and

City Title

■

very

also

but

•

equipment

Julian &

of " investment

investment -manager

not

—

_____

Electrical and communication

funds

24

^

dies

Kansas City Structural Steel

type

~

Co.>——=r— *24

Service

Jones & Lamson Machine Co.

investment.

AA-rated

of

.

is safe
_

——i.

controls»

Kennametal Inc.
Hard

carbide

———_

compositions,

T'S'

cut¬

irSf '

ting toolB and specialties

Kent-Moore

12%

11

0.80

21

Organization—.

3.50

.

6.5

Special service tools & equipment

Kentucky Central Life & Ac¬
cident

Insurance

Co..

2.9

120

Non-partlcipatlng life

un¬

capital markets. The pressure is
strong, then, to do not only what

»

Details

not

complete

t Adjusted for
a

as

to possible longer record^

stock dividends, splits,

Including predecessors.

etc.

•

•

'..CP:

what uninformed

think

is safe.
Accepting
reasonably attainable
rate of earnings in order to be
eminently respectable is an ap¬

less

than

pealing

q

approach

investment

long-term earnings after

continuing interest in

86%

Life Ins.

Standard

Temperature and air conditioning

Under

to

formulating

in

policy.

all

the

circumstances,

tirement systems will be substan¬
a

1.25

devices

'

therefore, it seems to me that
equity investments by public re¬

We maintain

47

manufacturing

Insurance

Johnson

derstanding of the vagaries of the

extent

~

can

islators

it

less

3.8

supplier

Multiple line Insurance

public fund, too, has to bri ready,
to report on each year's operations
to a group of employees arid leg-/

that

represents employer con¬
tributions at least, can properly
be

15%

investment

The

conclude

the

0.60

Jersey Insur. Co. of N. Y._— a26

real in terms
aggressiveness
be blended into-a-pru¬

acute.

posted by a, public body.

Is it

3.1

25

water

Jenkins Bros.

require this kind of confident de¬
fense at times; with equities, of
course, the problem is much more

made by an employer to
employees as a group, it is
certainly arguable that collateral
offered
by
a
private
business
his

should

4.7 "

Life

of continuity in the ex¬

amount

instead

benefits

5.0

25%

Jefferson

policy. The test
comes, of course, at that time of
adversity when even the best pro¬
gram needs defending, by experi¬
enced
people who have been
through such periods before with¬
out losing
their nerve or their
good judgment. Even the simple
matter of buying A-rated
bonds

the

for

the

dent

0.15'

offset color

44%

the

public

hand,

the

in

which

private
The

as

organizations

other

the

management is

mentioned

26

4.0

>5.5

-

2.10

the reponsibility of public

ences

governmental units do not

out

go

100%

100%

reason

of

management.
The significance

39

42

■Corporate

18%

yO.78

Electrical

of
investment policy so
important in achieving
results.
Strangely,..enough,
despite the large sums at stake,
there is reluctance tq meet the
cost
of
providing the kinds of
skills needed for good investment

municipal services
actually costing them,

39%

1-.00

18

Sportswear

good

what state and

3%

2%

<J. S. Treasury

f 1.58

Jefferson Electric Co

ecution

are

28 %-- 4.7

_

41

Island

Long

crucially

The electorate is entitled to know

State and
Local Gov't

as

fields

all

in

assui/anjce

benefits

53

Jantzen Inc.

»

the principal ones. In the
public services, it is, of
highly desirable to face up

1.32

chain
and

Jamaica Water Supply Co.—

of¬
ficials not necessarily trained for
the special duties of investing for
the long term and not ordinarily
having the trained staffs or the

are

13

positives

trained staffs, and* experK

ence

other

course,

4.5

i..

steam

(N. Y.)__—

Department store

with

managers

ity in
On

gas,

& Co

(J. B.)

Photo-engraving

of

On

one.

private funds

hand,

are

1959

17%

&

Jahn & Oilier Engraving Co.

established
records- of performance;- continu¬

incurred, rather than
postponing them for payment by
future generations of taxpayers.

Estimated Diversification

:

of

are,

funding, but these

cost

Ivey

special characteristic

institutional

an

ment

periods; and, second, to assure the
employees that there will be funds
for their' pensions in the event that
the employer goes out of exist¬

0.80

28

utility, electric,

Irving Trust Co.

mini stered by professional invest¬

of

instead

1959

1959

heat

Management

Professional

The second

pay-as-you-go

years ago:

Cash

Funding

.

Valves

Lack

operating
basis, are:
first, to equalize the cost of the
plan between current and future
ing

on

Public

conservative

more

a

steam

gas,

Iowa Southern Utilities Co.—

basis.

Principal purposes of establish¬

During /the

on

20

water

re¬

invest this fraction

to

total

the

is

Reasons

past decade,

lished

a

12%.

as

Electricity, natural

an

one

municipal
ligations.

funds

fensible

on

tion
Paymts. to
to,,
June 30,
30,
June 30, '

$

1957,,

total,

of

Based

"

Co.____

•»

problem in a sense, more analo¬
gous to a life insurance contract
or a savings fund." It is quite de->

benefits. For a
additional re¬
% of 1% per annum will
the cost of the plan by as

reduce

much

providing

9.5%

June

Quota-

12 Mos.

Divs. Paid

Service

Public

Iowa

hand, employees con¬

only

Approx.
% Yield

Extras for

secutive

ceipts, with employers and earn¬
ings providing 69.3% and 21.2%,
respectively.
This large fraction
of employee contributions in pub¬
lic funds does represent a different

of

group,

of

turn

exclu¬

trusteed

the cost of

level

typical

sively in Fedr
eral, state,
and

that many

the lower

patterns of
placing funds
even

fact

the

Investing

in

Trends

trusteed plans in

corporate

oh the other

•

Years Cash

from earnings on investments. For

pension contributions.

;

Including

representing 36.6% of total
annual
receipts
in. contrast
to
48,9% from employers, and 14.5%

paying

purchase issues for the benefits of taxpayers who are

not

.

Cash Divs.

funds

Concerned about the creation of an arti¬
market, the former banker explains why public funds should

,

No. Con-

employee contributions, with their
1957
payments
into retirement

portfolio management.

ficial

Continued from page 29

-recognize two special characteris¬
tics* of public funds which will
continue to inhibit -the freedom of
administrators
in
the
range
of
their
investing activities.
First,
there is the large proportion of

of Banking, Columbia Inicersity, PI etc York City

retirement systems,

local

Biggest and Broadest - and
Still Expanding

should

at face value, however, we

:

private pension funds
Yin years ago, are shown to be facing rapid compositional portfolio
changes involving substantial addition of equities but are not ex¬
pected to reach the over the 30% mark of corporate trusteed funds.
Dr. Murray observes other trends and comments on their implication
State

mate¬

rially less in higher grade bonds.
Before accepting this conclusion

S.'Sloan Colt Professor of Hanking and Finance
Graduate School

corporate equities and

Thursday, October 1, 1950

estate

in

investment

an

and

For Public Retirement

real

...

The Over-the-Couiiter Market

and losses. This would mean more

New Investment Policies

and',Financial Chronicle

BANK and INSURANCE

tially larger ten years from now
than they are today; but I see no
likelihood

Corp.

the

Common

book
of

Valley Mould & Iron Corp.

of

value

private

obstacles

of

which

will

STOCKS

approaching
over

30%

at

they represent

funds.

considerations

Common

their

proportions

The

preceding
legal

rather' than
be

responsible

for

the moderate rate of growth. Cor¬

Inquiries invited

T.

porate bonds and real estate mort¬

Established

&

CO.

1832

'■■■■■•
PI etc York Stock

,

I
MEMBERS
Exchange ' • American Stock Exchange

25 BROAD ST., NEW YORK 4, N. Y.
Telephone

will continue to represent
larger proportion of total assets,
but I would expect the holdings
gages

L. WATSON

WHitehall




4-6500

-

a.

U.

—m

A remain

•tion

S.

Treasury

well

above

securities
the

9%

NY

1-1843

50

Company

BROADWAY, NEW YORK 4, N. Y.

to

frac- "

Teletype: NY 1-3439

Telephone: DIgby 4-2420

which

they comprise of pri¬
vate pension trusts.
To illustrate

Teletype

Edwin L. Tatro

tempting

a

trends, without at¬
forecast, one might

Continued

on

page

31

Direct Telephone
BALTIMORE

—

BOSTON

—HARTFORD:

Enterprise

7846

Volume 190

Number 5886

V

.

The Commercial and Financial Chronicle

.

(1379)

The Over-tlie-Counter Market

Biggest and Broadest
Still

and

-

*

Cash Divs.
'

.

r

Approx.

Including

■

f

'

% Yield

No. Con-

,

I

Extras for

Quota-

secutive

-

12 Mos. to

tion

Years Cash

•

June

■

•

Divs. Paid

Continued from page 30

30,

Based

June 30,

1959

composite
would

June 30.,

1959

v

'

'■

.

something

'

•'

$

Kentucky Stone Co._____

••

.

% of

2.00

52

(The)

Total

>.

Company
;

1.50'

-27

wire

v;- "■

'•

..

,

Kingsburg Cotton Oil Co

.

12

seed

Kingsport
Book

Press,

"

Inc

oil

Kirsch

tion

3.6

•

.

2 '

"

2.5

'

*E\cIuding

2%

7.6

"

5.4

31

0.-17

1.00

41

1.30

25

5.2

Knudsen Creamery Co. of
California

-—

67

1.5

-

—•

-

fllS

40

2.8

.-.-.i......

—

18

0.40

'

.

•

estimate

to

tions.

2.2

13

0.80

15

.

,

5.3

ing

alu¬

5

0.30

6.0

skill

pickles

Inc.
men's

La Salle Natl. Bk.
Makes

and

1.00

25

f2.54

11

97

2.6

men's

48

8.00

220

3.6

Lake Superior Dist. Pwr. Co.
(electric,

22

33

ful

3.6

Lakeside Laboratories, Inc.__

*

View

11

1.00

1.1
i

35

Bank

&

(Chicago)

Lamston

(M. H.)

1.60

-

'

29

5.5

Wholesale

*39

8.00

350

oo0.50

12

20

••

0.50

6

8.3

distrib-

investments.-,

'

-

'
-

.

West

Coast

baker

High
Iudu

Lau

speed,

;

die,

of

(H. D.)
of

air moving

f0.79

0.30

7

4.3

3.50

72

4.9

33 %

2,4

and

„■

36

r*—-

aircraft

0.30

1

-

Liberty Bk. of Buffalo (N.Y;)
Liberty Life Insurance Co.__

13 %

2.2

——

1.55

17

1.00

37 %
132

f0.86

18

National Life

Co.

of

33%

"2.6

f2.36

24

62

Bank

Fort

Trust

Co.

28%

0.80

Lincoln

&

Co.

Life

Bank

ment

—f0.27

45%

0.6

0.60

22"%

2.6

1.9

2.50

a25

1.55

73

38%

Trust

Bank

zer

as

itails

many

to

effectively

as

and

to

is

-

58%"

it

be

tax-exempt

— —

2.00

23

f0.71

19%

3.6

17

Co.

0.20

1 3%

5.5

32

5.5

158

1.3

.

.

pipe
-

candy field

Brewing Co

14
"

j

1.75

no

funds

pensioners

are

of the

1959.

.

Continued

on

page

32

of

of

emerging
investment

the

of

state

local

and

retirement

government

systems,

This management is becoming in¬

em-

creasingly experienced and better
advised

them

The

such

are

formance

rather

means

than

superior

a

large

To^seqiTence

a

openly

m!?ket

local

f

Better Off

summarv

pre-

savings

.

do

in

taxes?
not,

fund

a

will

as

current

If

collateral

and

we«

to

7—"

can

we

observe

* summary we ca obse v

a

ew or tne implications tor porx

j;?

inherent m

of laws and regulations

to eliminate restrictive provisions

same taxpayers who are payin£ f°r the pension contributions,

governing

the range of investment discretion.

(2) More careful and informed
However, it is doubtful that the
taxpayers are really better off. negotiating must be applied to
|
Suppose the retirement system making new commitments. This
huys a new issue of the employer's involves more experienced per-

securities

at

4%%

so

that

in

sonnel

a

the
employment
advisers,

and

qualified

of

(3) The objective of improving
long-term

spective

earning 'power,

of

an

assumed

irre-

rate

of

retUrn, must be emphasized as the
primary goal of investment policy.

.

(4)

Independence

other

from

financial* and

administrative

tivities

governmental unit

must be

vested the funds in taxable bonds
vc>:,lcu «-Ilc iui|us
uiAciuie uunus

(5)

of

the

ac¬

strengthened.

Finally, and above all, this

yielding 4%% to 5%. Clearly .the investment management problem
are better off following must be seen as an effort con-

this procedure and letting the new ducted in competition with other
bond lssue carry a hl§her coupon, long-term investors.

Established

1928

..

We Offer

a

COMPREHENSIVE INVESTMENT

('

.

AND

DEALER
•

ALL

SERVICE
in

-

CLASSES OF BONDS AND STOCKS

PUBLIC UTILITY—RAILROAD—INDUSTRIAL
FOREIGN ISSUES
We-are

Particularly Adapted to Service Firms
With Retail Distribution

Your

P.

F.

Inquiribs^Solicited

FOX & CO.

INC.

future

contributions,
we
can
see
no
justification whatever for invest¬
ing m the employer's securities.
In private plans, this practice is
closely watched and strictly regu-

in

dominant

.the

Private
but they
range
of

employed.

fund

As

factors

oressures

investment decisions

V

involved

amounts

that

se "en"s(*) Within the (limitations of
Practicality, efforts must continue

have a wider
One
question
relates
specifically to the purchase of the
securities
of
the
governmental
body by which the prospective
think

complete as to possible longer record,
for stock dividends, splits, etc.

predecessors.
Plus 20stock .dividend
paid April 1,

securities

■

.

the

are

compelling argument is
that public funds may properly
be used to aid in the floating of
new sedurites to the benefit of

choices.

•

invest-

such

including

pays"

pension
usually

—

belief

.management

re-

more

before.

which

basis

characteristics

.

A

is

either

conceived./f subsidy Inevitably becSme

soundly

other

me;

relative

a

this

as

necessary, "let

funds

What about propriety of buying

4.4

to

that

on

humanly possible,
Worthwhile projects can often be
financed without subsidy if
they
are

pitw

or

ments will diminish in importance
over
the years. The reasons for

disinter-

administer

SccuriHcs

unassailable, it
but this does not
practice will
stop. I would suggest simply that

public

a

taxpayers
entitled

are

efforts

portfolios

18.0

.




ested

Both

are

tax-exempt
quality.

££^£3?®°^
mean

the

systems

wider

prevailng

hllvinf,

____

emnlo^?l

seems

real

tirement

and

comparable

circumstances

not*

there
is
no
marketplace,
stopping place. Furthermore,

with 5.1%' ten
so

their

125

Including

oc

Because

10.00

2.60

or

in

government

25

not

t Adjusted

comoared

diversified

pledge

a

local

than

V

■.

and

4.3

—

Th.

the
•

taxable

of

the

last

57

21

beer

of

f2.46

Loft Candy Co
Lone Star

end

23

Co.

issues

at
now

I

1.0

Inc.

the

the

at

assets.

213

Grocery chain

Leader in

total

2.20

111. real estate

aewer

public

the

40

"—

and

established

differential

between

departs from the invest-

criteria

investments

investments taxpayers

drastically reduced the pro¬
portion' of tax-exempt bonds in
recent years, it may be surprising
to observe that holdings represent
a
larger fraction of existing debt

31

Water

one

certainly

such

investment,

and

Operating public utility

*

state

have

4.0

of

that

years ago.

Telegraph

.

only

system

holdings represented
6.7% of outstanding long-

bonds

.

Joint Pipe

we

such

year

3.4

Lincoln Telephone &

Lock

-

26%

estimate

&.

N. Y.

___,

Loblaw

to

about

National

Rochester

ho'wpvpr

obligations. We have ignored

term

(Rochester)
Lincoln Square Building Co.

...

Cur-

will be withdrawn

considered

25%

of

Insurance

Springfield.

large

corrected.

nnint

thic:

retirement

Trust

Syracuse.! New
name
adopted in April 1959,
Lincoln Natl. Life Ins. Co.

Lincoln

serious

other than state and local govern-

2.8

23

Wayne

of Central

Formerly
Trust

&

in

have

3.8

"

National

the

management of the assets continues to show improvement.-

Life, accident and health

Lincoln

that

results will be compared
the laggard performance will

rent criticisms

0.8

26

Insurance

Natl.

obvious

-

Life & Casualty Ins. of Tenn.

Lincoln

mistakes before

same

Trust

Louisville

Insurance Co.
Life

on

that they made

management of these

Tin

Liberty Natl. Bank & Trust
Co. of Oklahoma City__J_
Liberty

critical"

are

be identified and

4.1

credit

Liberty Natl. Bank &
of

who

^as

24

of

corpo-

maturity. But
these argudo
not
justify

yield

Taxpayers, possibly even the same
individuals, have to pay less for
debt service and more for the
retirement program. They come
out
the same place and the
financing is ••accomplished without
difficulty. This seems r-easonable
enough until we realize th&t the
retirement system could have in¬

and

—

14

Liberty Loan Corp.

Co.

period of tight

a

more,

Non-partlcipatlng
Consumer

we

aggregations of capital. More and

Co.——

kind

any

rise in the standards for invest-

ment

play

ments

tight market like the present they
do not have to chrry a 4%% rate.

a

Starting-light equipment for autos
and

almost

judge these issues than

tended period, or to
all
together,

concept

problems of state and local
governments will inevitably cause

equip.

27

utility

the

to

fiscal

clothing

Leece-Neville

obviously in

seems

Co. Inc

work,

cost

despite the fact that

learned better from experiand before they were subto_ such keen competitve
pressures to show good results. It

stain-

Co

Manufacture

Mir.

moderate

at

jected

24

and

new

ence

5.2

21

tool

principal

they

+

.

23%

cfnntq

Blower

Lee

'

1.20

a

often

Too

the

overpriced

of

most of the

...

Latrobe Steel
•

markets.

been

.

Investors

'

-

•

22

have

funds

these counts forget
beer

grocery,

and

It

The

Doubts Taxpayers Are

4.0

Langendorf United Bakeries.

and,
to
a
rear estate
is no secret

money.

2.3

15

_________

Inc._

■'

uting

rela-

a

differential

are
the demonstrated safety

on

taken

provided by appropriation and not
hv operations of pension funds.

are

Savings

Co.___.__

&

these

borrower,

Variety store chain

Lang

two

in

better.

fundable

90

Ishpeming

Trust

yield

or mortgages.
Also, an
important value might be assigned
to the fact that such obligations are
usually noncallable for an ex-

reve-

issues
Even now they are the lmporlnnt
market for bonds immediately re-

Operating railroad

Lake

investing

public

have

buyers

products

Superior &
-Railroad Co

in

they
•

Pharmaceutical

1.20

and

gas

water)

Lake

systems at

small

rate bonds

debt service

whether soundly conceived
ment

maiket.

to

in

development

Once

many

doubt

supported., by the purchase of
local securities. This is a
slippery
concept; it can be used to justify

invest-

leputation of not being very skill-■

manufacturer

Public": utility

for

arguments

be presumed that the fund
administrators are better qualified

a

is

trust.

that

Laclede Steel Co.—
steel

some

may

the

for

provide ,pensions
No

even

ployees

mortgage

by

debt

One argument often advanced is
that local economic

that performdepend largely on the

placements,
limited
extent,
the

clothing
Basic

govern-

system

applied to

perhaps,

funded

their working lives in dependence
upon
the solvency of their employer, in retirement should have
the safety provided by a diversified portfolio of investments.

corporate bond market,'including

4.0

clothing

(Chicago)

wholesale#

the

in

portfolio.

of general obligations of state and
local governments. In addition, it

of funding includes the thought
that pensioners, who have spent

direct

18

_

of

more

.

sectors of the capital markets, the

Kuppenheimer (B.) & Co.,
Manufacturer

laws

it. Jappears

will

13

bottled

n

flexible

retirement

products and packaging

Kuner-Empson Co.

...

...

and.

ments,

Canned vegetables,

"

Despite the trend toward

melting
minum

es-

alloca¬
'*77:

asset
p.

liberal

Manufacturer transformers, metal
fabricate

precise

"

...

.

Kuhlman Electric Co
furnaces,

the

real

mortgages,

__—.r

17%

construction

•••

and

In any
event, this hypothetical statement
is designed only to indicate the
direction of changes rather than

_

-19

_

equipment

stocks

would.be necessary to effect even
1.00

is

nues

underestimate

may

of

claim against someone else's

these shifts in percentages"

Insurance

dairy products

local- government

and

but in growing
funds a substantial change in the
type of new investments made

" "

"

and

are

retirement

based

the

employing governonly restated as to

is

to

while

a
.stronger claim against the
taxing power than a retirement
system law. But a well secured

—

toward

tate

38

moving

state

obligations.'"

trend

refrigera-

America

Earth

lie

is

.^Including' mortgages:

18%

fO-78

Communication

Wholesale

market

buying tax-exempt bonds in pub-

,

other qualified bor-

upgraded

contract

3

+

100

Knights Life Insurance Co.

Koehring Co.

artificial

an

There

security for the

reaL asset

substitution

,

hardware-^--

Life

form,

+: e

the future.

7.5

This
blinds.

Kittanning Telephone Co

of

+ 13

„

12

____

Venetian
and

any

1S ^V1"en^ that the promise to from taxable securities. They

mental unit

,

.

V

17

Company
hardware

ing

retirement system

Treasury

employers payments to the fund,.
tively

promise of the

—21

'

produced

Manufacture

drapery

?

15

__i_
.

Kinney Coastal Oil—
Crude

of the

'rovverjis,a

2

___^

Treasury bonds 25
Corporate bonds_;
55
Corporate stocks '___
8
Other assetsf
10

5.6

105

0.15

products

manufacturing

^26%

f3.82

1958

U. S.

•

.

69

"Cotton

Cash

4.2
'•••

and
>

.

Kings County Trust
Company, Brooklyn, N. Y.
*

S.

.......

terms

pay of some

from

3.8

35

.

insulated

''

■

1.46 "

20

supplier

Manufacture
cable

U.

,

In

changes

Assets*

<16

Kentucky - Utilities'
Kerite

these

along

•

•

Crushed stone

Electricity

the

pay

reason, there must be better ways
meet this problem than creat¬

Systems

by

the
Department.

pattern

cannot

prevailing market rate for

*

;

<

hence

decade

a

diversification

be

lines:

1959

'

J-

that

assume

on

Paymts. to

lated

the local borrower

the

to

Retirement

Expanding

'

If

New Investment Policies Loom

31

120

BROADWAY, NEW YORK 5, N. Y.

Telephone

REctor 2-7760

Teletypes

^

NY 1-944 & NY 1-945

32

(1380)

The Commercial and Financial Chronicle

when

larly

comparison

is

made

Virtues of Municipal Bonds
In a Bank's Portfolio
By ALFRED II. HAUSER*

portfolio of tax-exempt bonds can
be kept as liquid as Governments,

-

If it is possible to get even

Vice-President, Chemical Bank New York Trust Company,

Reminders
a

the

on

forthright

of

essence

endorsement

the

they obtain

securities

after

required.
ment

taxes,

and

to

to

plan

opportunity is
It„ has

been

just

hard

as

utilize
once

possible,

as

.the maximum

to

earn

incorrie, and to

reap

possible
corollary
every

1

time,

same

a

eye.

To

order

f

u n

a

b 1

d

t

i

o

creasing

funds

and

man

-must recognize that

is

which

are

to

make

to

its

serve

than

bonds,-

the

community,
investments

make

completely dissociated

the

requirements;-of

successful

philosophy
the

siderable

the

may

The

distinct

nicipal

be

a

Investment

amount

of

con¬

a

time

of

in

Sept.

18,

Assn.,

New

York

City,

1959.

Operating

Co.
Rice

to

is

.as
.

,

Title

*

on

has

accounts

the

ability

of
an

ernments.

;

well

Jute,

other forms of in¬
were completely
lacking
in. marketability.
Of
course, I am comparing the yield
on Municipal bonds with the after¬

may

which

other forms of

secu¬

this spread

have amounted to 50 to

basis

points.

In

today's

the spread is not so

3.8

23

1.25

33

.16

1 55

37%/

1—•—

14

0.80

28%

87

1.60

30

14

0.85

15

estate

Co.

4.1

,2.8

Sales—

Typograpb

Automotive

iron

5.3

Co

5.6

equipment

13

0.70

11%

6.2

20

0.50

17%

2.9

16

electrical

«b

1.00"

25%

3.9

52

1.60

36

4.4

products

Lynchburg Foundry Co
Cast

'

plastics

products

Lynchburg Gas Co.
Natural

Lynn Gas & Electric Co._—

demon¬

to raise

supplier'

gas

public

Operating

large

utility

22

1.875

39

4.8

11

0.60

25%
/2

2.4

61

1.50

43%

3.5

15

1.40

25%

5.5

13

Lyon Metal Products, Inc.—

0.60

13%

4:5

'

ca^h with less ioss
equal amount of Gov¬

It

takes longer to

•'

Fabricated

steel

products

Macco Corp..;
Oilfield

find

•

——.

construction

and

main¬

tenance
.;

Co.

Macmillan

.———,—.

book

Well-known

Macwhyte

publisher

,

Co...
cables

Wire, rope,

Mading Drug Stores Co
Houston drug

chain

rec¬

many

on

2.6

Luminator-Harrison, Inc.——

however, the net result
usually substantially better.
Timing

no

For many years

23

(Ky.)—

real

on

and

paper

Typesetting

mis¬

If you do

the

Purchase

not now' have

Mu-.

a

Qver-The-Counter Consecutive Cash Dividend

nicipal account there is, certainly
no
hurry to establish one. Even

ments

vestment

0.60

Milling

—•

insurance

Ludlow

income received during the whole
period of retention is taken into

or Corporate securi¬
usually the net return

and

18

Rice

Ludlow Mfg. &

buyers and it requires considerably more work. When the higher

is

4.2

.

amounts

than

321/2

Retail food chain on Pacific Coast

market.

extent

some

5.5

rl.37

and by-producta

Lucky Stores, Inc..

The experience of banks
have
maintained
active

Municipal"'

a

'

to

3,6 %

public utility

...

Louisville Trust

account,

so

needs

and

2.00

Louisville Title Mortgage Co.

are

ties,

tax yield

'

talk by Mr. Hauser before the
Seminar
of
the
New
York

Bankers

marked

ar,e

shelf

1959

_

a63

Telephone Co.—

Louisiana State

Liquidity

the

on

on

Paymts. to
June 30,

Manufacturer of Portland Cement

Lorain

Payers From 5 to 10 Years Appear in the

since the preparation of
my notes
for this paper, yields on

accomplished exceeded

expenditure

in daily operation.

*From

well

as

lengthy
explanation. For years it has been
possible to obtain a larger net re¬
turn from Municipal investments
than it was possible to derive from

rities.

State

mated

which

and.

advantage of Mu¬

it

goods

and

judged.

of

of Municipal

securities

ognized, that

the

tion

June 30,
1959

.30,

1959

$

e„ Yield

Based

Quota-

22

Longhorn Portland Cement—

contacts

Government

application of this

studying the subject, in planning,
and

distribution

.by maturities.

loans

bank's depositors.

with

na¬

Securities

business

to

that

June

-

maintained by frequent
turnover of " the investments, so

investment

the

Advantages

rather

A

and

Government

between

dealers.

£pprcx.
'

12 Mos. to

Divs. Paid

be

strated

Municipal

,

from

for

securities

Extras for

secutive

acquaintance
practices,; and

numerous

m'ay

market and the

includes

develop

with

interest rates.

port¬

bank's

locally

Alfred H. Hauser

e

Expanding
31

page

Years Cash

have

to

and

Including

good

a

accounting

must

fresh

breakdown

deposits.

and

of

considered

-

Cash Divs.

job you will
I
have felt that the value of
projections, of" Municipals has been underesti¬

some

trends

portfolio

possible

folio

element of plan¬

proper

Planning

in¬

withdrawal of
T.h

a

not

have

with'

else directs.

do

trend

loan

demands

also

Projecting:

tion of the money

avail-

s

e

in

Continued; jrom

No. Con-

pal credits, bond markets, and tax
matters
thoroughly.
He
should

tionally. You. Will have to make
some assumptions as to the condi¬

have

to

_

to

economic

on

liquidity

is

have to make

to
watch-

keep

the

make it possible to
bring about what you want to do,
rather than to wait for things to

it

necessary

fu 1

as

'V

essential

The

ning

-

nearly the degree of marketabil¬
ity which short-term Treasurys
enjoy? " It involves» assigning a
capable man who knows Munici¬

Govern-

soon

again present.

someone

been

s

as

in

generally

happen and be forced to do what

benefit. At the

ha

Municipals

my

Still

A

this liquidity be main¬
Municipals which are

can

tained

work

longer

the

of present high

Planning: and

philosophy to
portfolio dollar work

make every

—How

Mr.

be maintained, points

not. minimize

does

invested.

right. I define liquidity
as the ability to convert into "cash
without appreciable loss.

larger yield than Government and corporate

a

The Banker advises making use

yield* period

Municipals.

of

advantages

Hauser explains how Municipals' liquidity can
out that

dollars

if handled

City

banking portfolio management include

of

Biggest and Broadest
CP

%%

the-extent of $2,500

million

Thursday, October 1, 1959

.

.

damaging liquidity

benefit to

per

New York

without

more

.

The Over-the-Counter Market

With Treasurys which sell at deep
discounts.
v ;
'

we

.

100

market

great, particu-

have

Second

to

such

the

Public

I

suspect that
come when spreads

day will

Railroad

now

opportunity when

the.

and

presented.

be

ready
it

^

53

23^

30%

6.6

23

1.20

29

4.1

Casualty Co. a20

0.80

18%

4.4

electric

stock

rolling

Mahon (R. C.)

Co

Fabricated-structural
aheet metal

your

planning

1.80

2.00

and

gas

Magor Car Corp.-

will again make it worthwhile to
set up a Municipal Account or to
increase present holdings. Do
seize

utility,

Multiple

ateel

and

producta

Maine Bonding &

to
is

3.4

50

Madison Gas & Electric Co.—

Municipal

However,

Page 42.

an

extent that there is at the moment
a
small advantage -in

issues.

Table Starting on

(govern¬

increased

line

fire

and

casualty

2.80

Manufacturers Life Insur. Co. *50

3.1

260

,

Life

Insurance

Manufacturers National Bank

Phoenix Formed
PHOENIX,
of

men

Ariz.

Phoenix

formed

and

Auto

of

investment

cooperation

:

Officers of

Joseph Mayr & Company
Members Neiv York Stock
Exchange

Mfr.

invest¬

STREET, NEW YORK 4, N

Y.

Telephone BOwling Green 9-2956

Millil'all, Mr.

are:

&

TITLE INSURANCE

Smith

^Incorporated.

3.9

20

2.9

35

(Los Ang.)—

1.00

19%

5.1

—

roller bearings

21

j-2.22

78

2.8

*14

8.00

320

2.5

11

1.50

37% /

4.0

12

1.75

33

5.3

25

and

—

fil.93

32%

5.9

24

2.00

56 %

3.5

wholesales

Maryland Casualty Co.———
Multiple-line insurance

Credit

Maryland
Corp.
Auto

Finance
——

'

financing

Maryland- Shipbuilding &

Drydock Co.
Ship construction,
conversion,
repairs
and
manufacturer
of
industrial products

.

Maryland Trust Co. (Balti.)_
•

Details not

t Adjusted
a

Including

ss

Chicago Analysts

*

28%

Ilsley Bk. (Milw.)

Manufactures

Gar¬

Coi, and Fred Andlauer,
Lynch, Pierce, Fenner &

31

11.22
ssl.00

Robert

Maurice O'Neill, Jr., Walston &-vCo.,
Inc., James FT Mew
Ginnis, Shearson, Hammill & Co.;
George1 Stoeberl, 'Francis I. du
Merrill

3.8

hardware and kindred lines

rett,

Pont

ball and

Marshall &

Co., Secretary, and Philip Young,
Refsnes, Ely, Beck & Co., Treas¬
urer.
Members^of the Board of
Directors

53%

chain

Marshall-Wells Co.

are:

&

Ernest

^

group

Garrett, Dean
Co.,
Vice-President;
Bell, William R. Staats &

Witter

Members American Stock
Exchange (Assoc.)

new

William Hall, E. F. Hutton &
Co.,

President;

4.3

2.05

20

———

Marlin-Rockwell Corp

information

among

the

fl.19

parts

Market Basket
Retail market

ment firms.

50 BROAD

ucts, Inc.

a

organization, the Bond Club
Phoenix, to pVornote dissemi¬

nation

4.3

Maremont Automotive Prod-

Investment

—

have

new

of

72

27%

50

(Buffalo, N. Y.)_
(N. Y.)

Manufacturers Trust

,

Since 1939

42%

Manufacturers & Traders
Trust Co.

Retailing Over-The-Couriter Securities

1.80

20

of Detroit

Bond Glub of

Plus 3%

complete as to possible longer record,

for stock dividends, splits, etc.
predecessors.
stock dividend paid on Jan. 25, 1959.

to Hear

CHICAGO,

111.—Carl A. Gerstacker, Vice-President and Treas¬

(Established 1927)

urer

of The

Dow

Chemical

will be guest speaker at the

pany,

We maintain active trading markets in:

Com¬

Lock Joint

Pipe Co. Common

luncheon
ment
to

meeting of the Invest¬
Analysts Society of Chicago

be

held

Oct.

1

at

Spur Oil Co. Common

the Midland

Hotel.

INTER-COUNTY TITLE
guaranty

and

111

mortgage company '

BROADWAY

NEW YORK




Stevens

Twin City In v. Women
Dinner &

Meeting

.

City

G, N. Y.

Minn. — The
Investment Women's

ing at the Can Con Room,
President

of

Northern

Company,

speaker*.

Established

,

will
~

Common

1919

INCORPORATED

;

Member

Midwest

-

Stock

Exchange

dinner and meet¬

a

Hotel

Dyckman, Nov. 18. Allen S. King,
Power

Class A

Inc.

R. S. Dickson & Company

MINNEAPOLIS,
Twin

Club will hold

BArclay 7-2700

Markets

be

CHARLOTTE
Atlanta

Columbia

NEW YORK
Greenville

States

guest

Direct

Wire

to

All

CHICAGO

Raleigh
Offices

Richmond

Volume 190

Number 5886

The Commercial and Financial Chronicle

.

.

.

33

(1381)

The Over-the-Counter Market

Biggest and Broadest - and
Still Expanding
Approx.

Including

% Yield

Extras for

secutive

12 Mos. to

-fears Cash

erned

on

1959 —

-

"

1.60

341/2

26

Real

estate

Mastic
New

1.50

24

.-'"•/

•'

69

2.2

4.1

49'

of

0.20

;

its

...

'23

1.00

Zinc
28

|0.78

2.8

sulphate

(W. L.)

Electronic

Mayer

and

Western

0.15

10

& Co., Inc.__

meat

softwood

McCormick &

42

24

in
operation of the whole
French economy. It was therefore
bound to be very controversial.

"4.00

.

4.9

35

distributors

1.40

•

281/2

Traditional

4.9.

overall

tea, etc.

-

a

.

2.00

35

33

6.0

Medford Corp

217

Dumber

:::7.00

19

3 2

Mellon Natl. Bank & Trust—

54

1*3.94

152

goal.

2.00

38

5.3

Dallas

Co

residential

—

and

hotel

.•

'v—

—

Chicago

23

—

.....

1.90

52

3.6

Mercantile National Bank at
Dallas

24

3.6

311/2

f 1.T4

The

Mercantile-Safe
Trust

Deposit and
(Baltimore^

Co.

Mercantile Trust

Merchandise
of

89

National

5.00

57

(St. Louis)

3.00

25

22

1.80

Merchants Fire Assur. Corp.Merchants and Manufacturers

47

fl.075

Boston

Trust

3.0
6.1

40

vision

2.7

Massive

industry under the Schuman Plan.
The tremendous economic
expan¬

3.9

sion

0.80

42

1.9

radio

and

as

and

19

1.60

40

4.0

31

1.80

361/2

4.9

Metropolitan

^

al 09

1.28

4.3

29%

0.50

4.9

IO1/4

Meyercord Co.

4.00
0.20

18

Michigan Gas & Electric Co.

'

.

12.9

31

6%

-rapid

Details
a

Including

t Adjusted
0

Plus

ments
nn

14

nnl.70

18

1.00

still

3%

to

71%

2.3

46

2.2

•">'

dividend

'

:

.

in

inevitable

Dec. 31,

1959.

there

still

farms

with
on

page

34

a

any

latest

limited

ports

extent.

France

heavy load of investment
grants and preferential treatment
major export products in the
economy
of its overseas
terri¬

...

Seen through French eyes—and

that is

to

:-"7

the

it

see

tional

manner

—

Great

attitude

unification,
nomic, had

I

supposed

am

Brit^r^s tradi¬

toward

European

pblitical
been

and

always

opposition and in the

eco¬

©f

one

of Na¬

case

established,

Britain

Britain's Counter Proposal

As

to

EEC, Britain at first did

not consider its prospects of

and

good

Hitler

without

not

However,

reasons.

,

serious, in view of the
contradiction
existing
between
free

trade

and

Western

tendencies

of Benelux,

Germany

and

when

the

treaty "for

ment of the

establish¬

Common Market was

in process of

being finalized, that
Britain got alarmed at the pros¬
pect of establishment of a stronger
knit economic union

between

Europe.

ern

In

order

Continued

it

on

these pages?
or

-

MEMBERS

American

Stock

Stock

Exchange

yew

York

Exchange

New

Commodity Exchange, Inc.

/

Coffee

&

'

York

Cotton

Exchange

New York Produce Exchange

Teletype: NY

1-483

120

Sugar Exchange,

Broadway

Inc.

Cables:

1-484

New York

1-485

Wertxna New York

5

-Telephone: REctor 2-2300

and

in

me¬

firms

Over A

Quarter Century
1930

Moreover, the
heavy domestic and over¬
investment, th$ basis for the

1959

-*

expansion

Specialists in

war,

the

achieved

OVER THE COUNTER SECURITIES

in

quent balance of payment difficul¬
The

ment

There
on

ization

Lynch, Pierce, Fenner & Smith Inc.
Offices in 112 Cities

the

Sreene

therefore,
great controversies in public opin¬

Marketing Department

N£W y0RK

whether

Common Market caused,

S

ion.

—

question

French economy would be able to
weather foreign competition on a

information,

•>




page

Wertheim & Co.

more

has been an in¬
inflationary pressures,
in raising the do¬
mestic price level and causing fre¬

.

prices, quotes,

avoid

to

on

trading department

York

^ N y.

was

the

or

unanimous agree¬

necessity of modern¬

reconversion of the

non¬

Established 1930

37 Wall St., New York 5
Tel. HArtover 2-4850

N. Y.

competitive
sectors
of
industry
dnd agriculture, However some

WIRE

Frenchmen, in particular Mendes

DENVER

France,
considered
that
these
changes had to" be made prior to

LOS ANGELES

entry in the Common Market and
were

thus

an

essential

precondi¬

DALLAS

—

—

Teletype 1-1126-7

SYSTEM

Lowell, Murphy & Company, Inc.
—

Parker,

the

six countries of continental West¬

MUNICIPAL AND FOREIGN SECURITIES

yew

the

protectionist attitude of. France. It
was
therefore only in mid-1956,

INDUSTRIAL, RAILROAD, PUBLIC UTILITY,

unlisted

realr

izalion

a.

tories..

been

agreed to cooperate.

sup¬

of

had

it

on

which resulted

stock

70 PINE STREET

a

con¬

such
first at¬

any

a partial sector integra¬
tion, the Cpal and Steel Com¬
munity, with which however, once

agriculture
find above all the provisions for
association of overseas territories,
which
imply a participation of
other, EEC members, even though

to

K. has

of

crease

simply contact—

Merrill

policies

agreements, U.

tempt of

social

legislation
(wages of female workers) and on

common

integration,

sistently refused to join
ventures, including the

quotas, the escape
provisions on har¬

of

require protection.

ties.

For

Plan

duties

which can. survive only
high price level and thus

since

in

exists

even

multitude of

a

small

economic

.

the

monization

economic

ex¬

desirable

an

es¬

using outdated methods and tech¬

Dividend pay-

1958.

seas

.

in

of

a

mem¬

been

and recommended in the Marshall

were

and increase in

clauses,

stagnation

absolutely

industry, and

and

niques,
on

cost

.

reduction

some

has

.

Continued

.

from

Moreover, such
now

agriculture

dium

.

splits, etc.

paid

However,
-

semi-annually,

Interested.

method

Rome

of

or

a
consequence of the recovery of
the birth rate since the end of the

possible longer record,

stock dividend paid on Jan. 26,
75c

stock

outlook

owing to the prospect of a
increase m active popula¬

French

predecessors.
for stock dividends,

25%

a

are

Plus

as

mentation

OEEC

nvar.

(Lansing).

not complete

Market and which
the

the

plicitly stated to be

the

Treaty: The
lengthy period of gradual imple¬
"

tion, starting with the early 1960s,

3.0

"i

Electric and gas utility

Bank

Western

France's

prewar

sential
40

-

in

expansion.
expansion is

warehouse

unequalled

the

to

•

Co.

was

World,
excluding even Western Ger¬
many, has provided an even more
convincing proof of the gradual
the

calen¬

Decalcomanias

France

switch

Ware-

Storage

house
General

France
on

of

not

funeral

"

in

unions between all

the - bers

achieved

anywhere in

«

23

service,
religious
greeting cards

Common

customs

witnessed by the favorable per¬

in

_•__

of

by
negotiations

the

toward,

integration.
of

'

explains

demanded

attitude

economic

establishment

when the rate of economic
growth

&

J

sales

during

France

to the

appears

since, and particu¬
larly during the period 1954-1957,

&

tele-

conditions

met

Set By

British

European

;.'://""'

background

conti¬

formance of French coal and steel

of Syracuse

and

Natl.

plans, made

World

83

Bank

Conditions

This

reasoning

general

entry in the Common Mar¬
'> •'

a

the

the

(Indianapolis).. *34

Manufacture

Mich.

under

since the end
War II, has somewhat
this situation and improved>the competitive position in
particular of the basic industries,
of

4.8

of

Bank

Such

of

its interests. -V-f

to

French to be still the basis of the

"While
-

union

a

nent harmful

Con¬

hand, U. K.

Monnet Modernization and
Equip¬

3.25

Bank

considered

in¬

Ottawa

ones.

investment

57

Messenger Corp.

—

foreign

conquer

broadcasting

and

than of¬

3.7

Publishing Co.____

director

more

40

Merrimack-Essex Electric

dars

defensive

was

pi.50

National

Publishing

French

21

Co.

Meredith

of

4.0

National

Trust Co.
Merchants

attitude

a

the

the

at

On the other

they wanted to secure
their domestic market rather than

in

—

Merchants

was

50

National

Mobile

agriculture,

2.00

Bank

v

Merchants

other

128

National

Chicago

desirable

a

ference.

competition" due to result

ket. ;

the

overcome

of

pressure

by

introduced

strong

so

that

at

were

being strength¬
preferential tariffs

fensive,

of

—

Merchants

II

changed

Bank

from

were

could be only

the

very

allied lines and

National

under

poleon

33

131/2

economy

creased

producers toward foreign compe-

multiple peril insurance coverages

Merchants

French

that they

tion

291/2

"0.65

23

the

general

ment

Insurance Co. of N. Y
Fire, marine,

strong

ened

the

4.2

70

fO.98

Corp.
financing

Acceptance

Small loans and general

that

bonds to the Com¬

which

time in process of

felt

4.3

115%

Bank

Chicago

Merchants

on

drag on
progress, and an impediment to
economic expansion, which how¬
ever was anyhow rendered diffi¬
cult by stagnation of population.

,.Mer«afttile'-NStibnaI' Bank of
.

economic

considered... especially^

On

in

and

transient

.

h

hand protec¬
tion, which preserved survival of
inefficient producers in industry

2.6

27

Hotel

c

balance between agriculture and

before World/War

manufacturer

Melrose

r e n

protection, which insured

industry,

Operating public utility—-——-■—-——-

.

F

policy had been based

of

Meadville Telephone' Co.——

Traces French Attitude

.+.

lumber

&

spices, extracts,

j,

ambitious

2.3

8I1/2

0.95

23

Co._

Co, Inc.__

Manufacturers

more

new

and

1.2

12%

processing

Lumber

far

was

The

implied the necessity of a
revolutionary change in concepts

q

Corp

River

plan.

ajid

equipment

(Oscar)

Meat

McCloud

/

.

Schuman

venture
13

ammonium

the

to

Co..—

this

project .has
been less
generally favorable than

4.3

Zinq .smelting and rolling. Manu¬
facturers
of sulphuric
acid and

Maxson

.

The general attitude of French-

13

Hegeler

Market, or to use
European Eco¬
Community.
•

monwealth

the

Eu¬

name:

opinion, towards

Conveying equipment

&

On

economic integration,
the
rigidities
inside

economies, in the Euro¬

.

Mathews Conveyor Co

acceptance.

contrary, Jean Monnet, the initi¬

Common

official

nomic

1959..
<'
Imprinted brick and Insulating
siding

"Matthiessen

their

pean

3.8

Asphalt Corp.
adopted on May 1,
■

experience of the
Community has

Steel

agreeing
to
such
methods, to a general integration

Mastic

name

Community

countries

110

~

.

Corp.

Formerly

Economic

'and

4.50

Insurance

Massachusetts Real Estate Co.

its

for

ator of the movement toward

opened the way to the extension
of
economic
integration of the

_______:

sickness

and

national

by

/

European

Coal

4,6

Insurance

sociation, Inc.
Accident

exclusively

tion

10

page

The" successful
23

union—it considered impossible to
conciliate participation in such a
union with, its

ropean

Massachusetts Protective As¬
*

from

interests.

June 30,
1959 ~

..

Co.

Diversified

Continued

Paymts. to

June 30.
~

1959:

5

surance

Based

tion

June 30.

Divs. Paid

Massachusetts Bonding & In-_

Quota-

<m

European Economic Integration

Cash Divs.

No. Con¬

be noted that Britain had
also opposed in 1930 Briand's
pro¬
posal
of
a
European
customs
may

The French Position

1

Marache, Dofflemyre & Co.
Ford

&

Co.,

Inc.

34

34

(1382)

The Commercial and. Financial Chronicle

The French Position

proposals for coordinated foreign
trade
policies, pointing out that

on

the U. K.

was

ordination

in

Government
-fused

..

from

what the British called

tion of social and agricultural

*

33

page

icies.

danger¬

a

..this

split .in Western Europe, due
to
be caused by the
EEC* they
suggested - the establishment of a
ous

looser union

might

I

all

proposals. Suf¬

it to say that for the French
—who had considered haying al¬

ready, by accepting the Common
gone to the limit of pos¬
sible concessions in reducing pro¬

Market,

of

The

the

main

common

a

enable
tariff

criticism

French

the

was

goods

raised

of

to

certain
case

did1

tariff

of

exceed

not

a

permitted range, while in
greater difference, com-

of

a

prevent unilateral changes in tar-

concerning

Neverthe¬ .iffs by one member country which

territories.

might jeopardize the competitive
position of other members,' was:

less, while this opposition, on eco¬
nomic
grounds,
found
French
opinion
practically
unanimous,

also stressed.
ered

though most vocal in the in¬

even

dustrial

and

extra economic

operation

with

a

close

—

weakened

the proposals had not been re¬
jected outright. On the contrary,

was

France

France.

as

the

the
apply

by
to

■

Cash Divs.

de¬

necessity

cision made by the Council of the
OEEC on Feb. 12, 1957 to conduct

to

by

British

the

a

by her malance of

put her in the
withdraw all meas-

Michigan Seamless Tube Co.
Sheet
-

against

Area.

These

been

conducted

in

years

the

Free

a

Trade

had

that

apply the initial

of

iff

the

France

Wanted
and

During
French
of

Similar

these

negotiations

insisted

of

the

on

Free

gree

and

third

tariffs

member

Trade

of

of

and

the

Area,

quotas

U.

and

be

Rome

unable

due

would

to

They

have from

the benefit of

the

provided- in

Out

in

The attitude

and

of the U,

K.

Mfrs.

Miles

5.11/2.

4.7

1.25

45

2.8

22

pi. 15

65

Reclaiming.

of reclaimed

1.62

Miller &

auto

engine

17

0.20

40

1.15

*22

and

5.5
2.4

t0.56

.5%

3.5

22%

5.1

.

repair

Rhoads, Inc.

Richmond

Millers

(Va.) department atore

Falls

Co

15

3.7

1.475

30%

4.8;

J4.8:

Tool#

Minneapolis Gas Co.
•*'

a40

Natural gas distributor

Mississippi

12

41%

0.625

161

0.90

191/s

4.7

25

1.40

281/2

4.9

19

Co._

Glass

glass, wire glass,

2.00

34

17

Rolled

3.60

94

3.8

etc.

Mississippi Shipping Co.____

s...

3.8

Steamship operators

Mississippi Valley Barge Line
Commercial
rivers

•

•

freight

carrier;

on

~

Valley

P

u

b 1 i

c

Service Co.

Operating electric utility
Missouri-Kansas Pipe Line__
Holding company

Missouri Utilities

17

1.36

"26

5.2

14

1.10

271/2

4.0

14

0.80

29

2.8

17

f 1.24

60

2.1

25

0.75

27

2.8

19

0.60

22

2.7

31

f 1.17

65

1.8

22

0.80

151/2

5.2

12

0.525

12%

4.2

12

1.40

23%

6.0

rr4.00

102%

3.9

34

tl.99
-j

421/4

4.7

20

Electricity and natural

1.80

37%

4.8

1.40

35

4.0

4.00

91

4.4

14

1.60

33

4.8

64

2.35

37

6.4

gas

Mobile Gas Service Corp

._

Operating public utility
Mohawk Petroleum; Corp.___
Oil production

Mohawk Rubber Co..
Rubber
back

tires,

mfg.:

and

tubeB,

camel-

repair materials

Monarch Mills.

—*

.

Sheetings and print cloths

Montana
Flour

Flour Mills Co.—_

and

the

have

to

feeds

Monumental Life Ins.

best- of

Life insurance

(Bait.)
4

-

benefit from "the

to

Moore

abandoning the Im¬
preference system of the

Continued

on

page

Drop Forging Co

Light
ings

and

machining

drop

forg-

Moore-Handley HardwareHardware

wholesaler

Morgan Engineering Co.
-

Produces

Morgan

mills,

etc.

cranes,

(J. P.)

& Co. Inc.__

.

Merged
in
April
1959
with
Guaranty Trust Co. of N. Y. to
form
Morgan
Guaranty
Trust

35

Stockholders

shares

for each

received

4

2/5

'

>

held.

share

Morgan Guaranty Trust Co._ a67
Morris Plan Co. of California
Industrial

loan

CO.,

INC.
General

BOX 501

•

See

heavy

contractors,

construction

■

■

....

Company's advertisement

a
on

Mosinee Paper Mills Co..'

DETROIT 32, MICHIGAN

Sulphate pulp and

-

paper

34

financing and insurance

Murray Co. of Texas

:

45

page

19

Motor Finance Corp
Auto

•

company

MORRISON-KNUDSEN

DETREX CHE1CAL INDUSTRIES, INC.

Manufacturers of

21

67%

Alka Seltzer

Co.

P.. O.

.•

rubber

Laboratories, Inc.:

Tools for

without

they resented his rejection of the

was

2.40

46

Miller Mfg. Co.—_

they

Commonwealth, while refusing to
grant' to agricultural exports of
the EEC countries to U. K., which'
amount to about $400 million, an

dele-

to

relation

what

3.9

23

Midwest Rubber

non-members,

by

23%

0.925

unreasonable claim of

an

worlds:

perial

coqrdina-

tariff

irritated

4.6

Operating public utility

under

all

20

Middlesex Water Co.

advantages of EEC without giving
any equally valuable counterpart

November,

1958

the

are

British

both

Treaty.

K. Backs

against

consider

gation presided by Mr. Maudling
considered
by
the
French
rather high handed. In particular

of

of

inition

1959

27

fl.25

Telephone -Co.

(Mass.)

,

*

union,

legitimate

as

20

of Illinois

British

customs

A

June 30,

Operating public utility

GATT rules, discriminates by def-

Janu-

on

EEC.

recognized

of tar-

liberal-

quota

EEC

and

be¬

of

maximum de¬

a

policies in

countries

the

the

to abolish¬

and

countries

1959,

likely

even

measures

the start to request
the
escape
clauses

necessity

harmonization

quota

Tariffs

Quotas

achieving, parallel

tween

would

,

ary,

ment

France

reduction

ization

OEEC.

time

two

negotiations
for
nearly

framework

at' that'

Paymts. to

—1959

Middlesex County Natl. Bank

accusation" of discrimination levied

peared

of

the

States

Mississippi

establishment

unfounded

as

"tion

June 30,

30,

1959

tubing

Middle

on

negotiations with the objective of

reject

% Yield
Basedcn

$

major

of liberalization adopted under the OEEC agreements. It apures

June

Divs. Paid

forms.
The devaluation of the
franc reestablished the competitive position of her economy, enabling her to accept witnout any
restrictions the initial step of im-.
pigmentation of the Common Market Treaty, as well as. to restore
the measure of .trade li'oeralization to which it was pledged im¬
d.er the OEEC Treaty. The critiFrench .attitude lost thus
Part of its justification,

12 Mos. to

secutive

Years Cash
_

Appro*.

Including
Extras for -Quota-

No.Cort-

integration
or
more
modestly
worded, custom and quotas disarmament,
naturally
reflects
a
conflict of interests.
It is also
based on an opposition of principle.
The French, in particular

payment difficulties, which a few

33

page

EEC
uni-

The disagreement between
France and Britain over economic

months earlier had

with

concurred

made

countries

member

cism" levied

consid-

negotiate from

isolated, some of her
partners being far more willing
to
accept the Free X^qde Area,
Moreover, her bargaining power

co¬

Britain

Great

to

appeared

reasons—the nat¬

ural desire to maintain

The British

be able

to

position of strength,

a

agricultural organ¬
directly concerned, for

izations

Continued from

December, 1958, by introduction
°f monetary and economic re-

duties/le"Vels

enter

overseas

decision

the

in

External

by low
United King¬

provisions

pro-

negotiations were broken
14, 1958, in spite of

Nov.

on

particular with termination of the
European Payment Union, was
however drastically.-improved in

inside

e.g.

any

Britisfi

the

re-

their

hligh tariff coun¬ pensatory charges would' be
France, after possibly levied. The necessity of coordionly a small degree of processing, nating economic and especially
the exclusion of agriculture and foreign trade policies, in order to
dom,
tries,

accept

Biggest and Broadest - and
Still
Expanding

with

having then. also

Thursday, October 1,^.959

The Over-lJie-Coimter Market

French

which Jaterally/and without any counFree terpart to all members of the
'
.OEEC the initial 10% reduction

negotiations reached

ferences

absence

imported
e.g.

••

The

.

co¬

essentially for free movethe proposed Assoelation for goods for which difment

tariff, which might

countries,

degree

vided

tection of their domestic market—•

they appeared entirely unaccept¬
by

th^e

the

relations

a

in tariffs and increase in quotas,
climax in October, 1958, when a due to come into force on Jan. 1,
memorandum of the six members
1959, withholding from the nonof EEC on the proposed European
members of the Common Market
Economic
Association
had been only the increase in global quotas
submitted
for ' discussion
at the
to 3%. of national production. ; - Intergovernmental Committee of
The situation of France,, which
OEEC.
This memorandum pro- was menaced with reprisals, in

fice

able.

coordina-

in

•

t.

The

clb not need to enter Into

0ff

integration

achieved

be

to

p0Sals,

m

the

determine

-Trade Area.

"European Free Trade Area."
the details of these

would

economic

of

to be called the

area

achieved

success

harmonization and

tion

embracing the whofe

of the OEEC

The

pol-

its

Commonwealth.

the

Continued

applying such

,

Cottonseed oil

Chlorinated Solvents, Alkali and

Mystic Valley Gas Co

Emulsion Cleaners,

Natural
♦Details

Rustproof Coating, Ultrasonic Degreasers, Degreasers,

a

—p Plus
ment is
rr80c

Trust
of

tShares Outstand¬

Net Income

1959

!S$488,449

....

1958....

ing at Close

583,350

581,390

1.05

696,534

,

25c

of

paid

N.

80c

and

Y.

July

15,

Initial

extra

1956.......

,

455,061

1958.

Dividend pay-:

by Guaranty
quarterly payment bv Morgan Guaranty
paid

before

merger

1959.

Per Share

Per Share

S 275

BROKERS and DEALERS
fc;

.50

.

.

568,650

1.43
.70

40

^

.

.50

539,970

,

With Own Private Wires to
,

905,817

2D,

quarterly.

quarterly

9-

1957...........

splits, etc.
25',v—stock dividend paid on Nov.

now

Co.

to possible longer record:

predecessors,
for stock dividends,

Cash Dividends

$ .77

......

80c

a

distributor

not complete,as

Including

t Adjusted

Washers, and Drycleaning Machines.

Net Income

gas

Los Angeles, Cai.

St. Paul, Minn.

-

Madison, Wis.

^

Milwaukee, Wis.

;

1955........

477,191

1954..

♦Six

record,

527,950

459,236

months

April




15,

ended

June

30,

1959.

for

100%

.40
if

515,450

f Ad justed

Sheboygan, Wis.

.84
-'v

stock

.83

dividend

.45

to

stockholders

<

.

.

-

.

•

William A. Fuller & Co.
Members of Midwest Stock Exchange

of

1959.

209

S. LA SALLE

ST.

Tel. DEurborn 2-5600

•

CHICAGO.4

'

;

-

Teletype CG146-147

~

(1383) 735

The

Over-the-Counter Market
-anti

gest amlllroadest
Still

The French Position

European Economic
Integration

Expamlin 8
Cash Divs.

Approx.

Including
l\Io. Con¬
secutive

12

Years Cash

Quotation

30,

1959

Diys. Paid

on

equal

Paymts. to

June 30,
1959

June 30,

Wlo|. to

June

Based

Chemical

Formerly

Co

known

However

1959

31

Corp.
New
adopted in April 1959.

Water

n»mw •

New Orleans

Nation&l
of

2.3

is

_1_

of

Houston

16.00

440

3.6

3.00

120

2.5

37

20

in New Orleans
Bank

2.00

25

of

51

.

1,10

32%

3.4

of

70

2.00

1.60

541/2

+1.86

55

3.4

+1.38

43

3.2

15

+0.96

44

2.2

53

2.00

49%

4.0

22

0.40

71/2

5.3

(Ohio)
National Bank ol Tulsa.
ton

Bank

of

(Tacoma)

52

.

3.9

National

Washing¬

...

By-Products, Inc._.

Anlmal products

'

,

Accident,

NatJL

health,

26

•

23

_

casualty

12.24

1.90

51

3.7

82y2

2.7

spite

(Albany, N. Y.) 104

Natl. Fire Ins. Co. of Hartf'd
Diversified
v

Holding

1.10

89

1.60

19

f 1.14

32
-

1,3

company;

5.1

National Life & Accident In¬
surance

Co.

(Nashville)

Lock

of

56

0.60

111 V2

0.5

However

it

0.30

"

25

1.2

"

could
:

.

Banking Co. (Newark)... 154

be

settled

62

4.8

0.60

16%

3.6

16

0.60

185

0.3

69

2.50

51

4.9

(Boston) *62

q2.20

47%

4.6

0.80

14%

5.6

......

.

20

Sept.

25,

subscribe

of

1959,

Corp.

Mr.
Co.

Associates. Stockhold¬

and

will also receive

Mount formerly was asso¬
Kidder, Peabody &T

ciated "with
in

the

San

Francisco

them to subscribe for any number
of additional shares not subscribed

of

for, subject to allotment, No frac¬

cago.

additional

privilege

subscription

an

entitling

p.m.,

ing Time, on Oct.

Trust

,

of the

the

13, 1959.

Southern

California and Ari¬

of

short-term

debt

and

steam

incorporated

an

laws

of

business.

in

the

Tewantin

operr

1886

Its

147

1*2.26

54%

ing

4.1

European
markets
to
products.
As
a
counterpart to these concessions,
of

Commonwealth
to possible

abandonment

Continued

on

page

of

Imperial prefer¬
participation in
one
way or another of the EEC
countries
in
its advantages
was
suggested. Pointing out that the
importance of the imperial prefer¬
ence
system for U.K. is anyhow
decreasing and that it is unlikely

ence

36

CHICAGO

by Britain

retain

to

name

Drive

under

of Barbee

& Co.

NEW

of

H.

ron

principal exec¬

KNOXVILLE, Ohio—My¬
Everson is conducting' a

utive office is located at ,462 Tre-

Botkins

mont

name

St., Boston 12, Mass.

/

Road

under

O.
MEMBERS

New York Stock

years,

Exchange

Midwest Stock Exchange

American Stock Exchange

(Associate)

a

to the
transition
phase of EEC, the "Economist"
concluded
that
Britain's
entry

OVER-THE-COUNTER
SPECIALISTS

into

the

Common

conditions

SINCE

with

1926

to

Market,
on
negotiated and
some
reservations,

be

possibly

similar

Rome

those

to

Treaty

included

for

in

the

Germany,
might provide the best solution of

SWIFT, HENKE & CO.
MEMBERS

MIDWEST

STOCK

EXCHANGE

East

the problem.
■
L.., I do believe the French public
opinion would
agree
with
this
view. '
j...I';;;;
,

La
LA

Jolla Office

JOLLA,

Calif.

Stone & Co. has opened

U nderwriten—Brokers

Listed & Unlisted Securities

office at

1101

Wall

Investment Bankers Since 1912

a

branch

Street, under

the
management
of
Harry
Purdy and George A. Murray.

Straus, Blosser
MEMBERS

DETROIT

NEW

STOCK

YORK

STOCK

EXCHANGE

&

•

MIDWEST

AMERICAN

STOCK

STOCK

EXCHANGE

EXCHANGE

SOUTH

LA

122 South LaSalle Street

Hayden, Stone Open in LA
LOS

(ASSOCIATE)

den,
39

CHICAGO

N.

McDowell

•

EXCHANGE

INCORPORATED

Hayden,

—

SALLE

ANGELES,

Stone

branch

STREET

&

office

Co.
at

Calif. — Hay¬
has opened a

NEW YORK

44 Wall

Boulevard

3, ILLINOIS

of
NEW YORK

DETROIT

TELEPHONE
ANdover 3-5700

KANSAS CITY

TELETYPE
CG

Harry

GRAND RAPIDS

MT.

CLEMENS

Retail




COAST TO

mangement

W. Wayne.

•

BOSTON

Form Financial Planning
MIDLAND,

650

SYSTEM

the

MILWAUKEE

Schneider

PRIVATE WIRE

under

Street

Wilshire

5657

■

CHICAGO

is

Texas —Walter

engaging in

a

L.

secu¬

rities business from offices at 316

COAST

Trading

West
name

Indiana
of

Service.

under

Financial

the

firm

Planning

30 Federal

the

on

firm

of Everson Investment Co.

period; equal
s

firm

securities business from offices

significant

any

12-15

after

the

Forms Ever son In v. Co.

the

or

from

benefits

hard¬

It«was

under

Commonwealth

Massachusetts.

eastern

ties business from offices at 8702
is

Co.

ating utility engaged in tjie electrie

an

HOUSTON, Texas — Robert L.
Barbee is
engaging in a securi¬

(evidencing borrowings made for
Edison

of

Barbee & Co. Formed

reduc¬

or

bank

prior construction).
Boston

manufacturer.

stock will be

common

applied to the payment
tion

offices

ware

proceeds from the sale

new

,

>

zona

The net

Co., Chi*

'»

•

Bowman

joined
Paine,
Webber in Lbs Angeles earlier
this year. He formerly managed

rights will expire ' at
Eastern Daylight Sav¬

scription

Northern

Mr.

tional shares will be issued. Sub¬
3:30

the

of the Royal

obtain non-discrimination

and

Chicago
offices., Before
joining
Kidder, Peabody he was in the'
investment
research
department

ers

Commonwealth

the

been

for

International

order to

longer record,
t Adjusted for stock dividends, splits,-etc.
q The dividend rate has been raised to $2;40 annually.

■<

on

to

of

lines

has

representative

against British exports and open¬

(Newark)
as

registered

a

of
the at the San Francisco office
271,553 Paine, Webber, Jackson & Curtis,
shares of common, stock, at the 369 Pine Street, it was announced
rate of one share for each ten recently
by
Resident
Manager
shares of such stock held, at $56.75 Louis Nicpud, Jrr

right

Institute
Affairs, where a
new
joint
Commonwealth
ap¬
proach to the EEC was urged, in

Chain, men's furnishings

complete

made

integration
the

its .issue

In

at

Conference

Nation^ Shirt Shops of Del..

•Details not

of

been appointed

Bowman

April

of

nuts

National State Bk.

close

P.

attention to

it drew

Zealand

Wrtlclpatlng & non-partlclpatlng

bolts and

the

at

Richard

the dis¬
cussions held in Palmerston, New

National Screw & Mfg. Co...
Screws,

books

com-'

great
"The

4,

National Reserve Life Insur¬

Natl. Shawmut Bk.

on

proposal made by the
British
economic
journal
Economist."

3.00

33

...

the

of

the

Cereals, animal ieetu

Co.

pany's

stock¬

the

on

Solution

economic

European

Mortise locks

National Newark & Essex

ance

giving

record

Mount has

manager of institutional sales and

might
be
that
disagreement
on

Franco-British
18

National Oats Co..

of

FRANCISCO, Calif.--Rob¬

G.

ert

\.

,

Co

barriers

trade

Possible

A

Life, accident and health

National

back¬

unilateral.

•

.

protectionist

EEC, provided concessions are not

I;'

chain food
'

her

of

ization

< 22%

are

ground, .France is not in principle
opposed to any further liberal¬

3.4

123

Insurance

National Food Products Corp.
stores

an

addi¬

being prepared by
the EEC. Commission.
It should,
moreover, be pointed out that in
proposals

National Commercial Bank &
Co.

Such

which

work of the QEEC for which new

lnsur.

City Bank of Cleveland

Trust

EEC.

of

v

.

National Casualty Co.
.

ex¬

compromise solu¬
tion, considered not. only desir¬
able but essential by the six EEC
countries, as well as by the 11
other OEEC members, might be
obtained by generalization of such
agreements, either strictly bilat¬
eral or with EEC as a group.
An¬
other alternative might be a more
general agreement in the frame¬

2.9

26

Detroit™

whose

The eventual

National Bank of Toledo

National

France.

France.

19

Bank

by

been granted
by both parties, has been quite re¬
cently signed by the U. K. and

3.9

Commerce

of San Antonio—

National

opposition

countries

tablishment

57

_______

of

agreement,
under
tional quotas have

Commerce

National Bank of

warrants

business

this

ports might be jeopardized by es¬

National Bank of Commerce

Norfolk

while

recognized

interests

33

—

National Bank of Commerce
V
in Memphis

of

fully

Co. is issuing to
stpckholders trans¬

suggested is
per share.
The offering is being
to negotiate bilateral agreements
underwritten by the First Boston
in order to safeguard legitimate-

Bank of Commerce

National

Common¬

One of the solutions

*

and

National American Bank
.

60

petroleum treatment*
industrial chemicals
;V

and
,

1.35

.

with

SAN

Edison

common

,

of principle remains, the necessity
of finding a practical compromise

National

as

Aluminate

—^

Boston

its

holders

treatment

Paine, Webber Names
Mount & Bowman

Rights Being Offered

wealth product?.

$

Nalco

Boston Edison Go.

ferable

Continued from page 34

% Yield

Extras for

on

Street

36

The Commercial and Financial Chronicle

(1384)

Thursday, October 1, 1959

...

'•i

1

'

,

The Over-the-Counter Market

.

Cash Divs.
Including

•

,

"

"-.No. Consecutive

Biggest and Broadest*- and
Still Expanding

j

>;

Cash Divs.

Insurance Co.

secutive
Years- Cash

June

tion

June

30,

North American Refractories

North & Judd Mfg. Co.__—_

23%

brick

Co

and

12

5.2

variety

'Retail

Terminals

National
Midwest

15

Corp.-

.

6.3

20

1.25

Diversified

4.9

41,

2.00

25

5.0

33%

0.975

of

natural

46—

23%

•

3.6

16

0.33

2.00,;

14

Nazareth Cement Co

5.S

36

producer

22

0.63

18

50

0.65

10%

3.0

Brewing

3.2

papers

22

1.9£

43%

4.0

Light Co.— 100

2.00

40

Public

utility,

156

1.1

1.60

28%

,

Sec

Northern Trust Co.

12
page

on

1.05

4.7

22*4

Class A

39.

companies

12

35%""

2.00

44*/2

Insurance

2.8

90

Co

1.00

4.5 "

Fire

Lime products

shire

known

Fire

Insurance

changed Sept. 30,
All

New.

as

Insurance

2.25

Multiple

Name

line

33

1.95

5.1

%

1.00

49

40%

2.5

113%

2.5

"—

In-

Operating public

utility

In

Conn.

National

5.2

66

3.40

Life

1.50

23

"

,

....

Electric, and gas public

TRUST

Cement

•

Sec

(CLIFTON, N; J.)

Bank's

advertisement

on

page

New York Fire Insurance Co.
Fire,

marine,

surance,

York

New

Merged

Trust

Y.)

New
ers

1

%

Co.

cream

Ohio

Island

Stockhold¬

30

3.90 '•

8.L

20

1.10

23%

4.8

-

.100

4.7

Ave.,

&

"0.80

23 %

4.8

65

2.6

1.00

38

14

and

______

'1. 0 0

22

0.50

26

M

14%

3,8

37

0.62

22

2.10

45

4.7-

Details

32%

a
s

1.9

a

Pacific

28

6.3

21

1.60

32

5.0

Foundry Co.—T~ 16

1,00

37

2.7

*

,

.

"

cars

>

24

~

.

'

.

21%

4.2

56

0.90

4.3

■:>,

54

si.60

52

3.1

1.50

32

mill

23

1.25

20%

States

23

2.00

23

fl.49

285

31

5.2

35%

4.5

on

Feb. 2,

,

17

4.5

22

1.00

'

•

,

42

1.00

18y2

5.4

tl.00

31%

3.1

result of

American

Central

Box

I

Prod-

Fibre

'

"

•

0.50

8%

5.7

10

f().59

22%

2.7

68

0.53

17%

3.1

bottling

time

Co.:

controls

parchment,

made

custom

'

Co.

»

~

and

waxed

20 *

1.30

19 %

6.7

22

1.00

31

3.2

45

1.00

24

4.2

*15

producers

Iron

...

papers

fl.70

31

5.5

Brewing Co

Beer

>

,

Electric

Vegetable

Peden

% 4.9

6.00

Bottljng_ *30

Coca-Cola

Automatic

Pearl

150

23

Paterson Parchm't Paper

1959.

{

machines

manufacturing

Beverage

not

stock dividend paid

''

f

Manufacturing Co.

Panama
vr

.

4.2

of America a26

Corp.

and

Textile

1.60

*17

——

2.9

ucts.

Pacolet

wholesales

32%
38V2

..

0\1 Corp.__

wrapping

between

merger

Board

•

1.60

*

manufactures

Above company is new,

'

28%

1*0.95

12

(predominantly
'

trade

Automatic

health
'_

■

vegetable oil and oilseeds

0.7

,

;

3.4,
,

Package Machinery

*35

295

10.00

products

Pacific Vegetable

6.2

' 5.2

15%

V-

V

Co

__

utility

Foreign

ete.

0.80

12
Western

Pacific Power & Light Co.—

4.7

,2.40

National Bank of

Packaging

9.09%

«

1.75

freight;

Public

23

complete as to possible longer record,
for stock dividends, splits, etc.
*
Including predecessors.
/.
'

Plus

3.4

-

Intermountain

Motor

electric)

t Adjusted

Dredecessors.

29

Insurance

line

Paragon
♦
■

(Brookline, Mass.)

1

—

~

Hydraulic machinery

Norfolk County Trust Co.

,

6.0

5

.

1.00

•

New York

untreated

bedding springs

0.30

<

35

—

Planning

10.0

58

Leather Co

Oilgear Co.

3.4

3.9

24

Pacific Lumber

6.00

'

Ohio Water Service—

estate

23y8

.

"

Express Co.

24

water;

0.90

"

machinery'

Seattle

treated

51

B'Gosh

railway

Pacific

2.6

19

Forge & Machine Corp.

Retails

1.8

21

Multiple line insurance

cream

insurance

accident and

45

bldg.

Co,

eBtate

Life,

North,

Corp.

Includina

20%

fl.68

36

Ohio State Life Insur. Co

3.4

0.80

Pacific Insurance Co. of

'

Tannery

saws

foundry

matched sets

Makes

1.5

shaving

Casualty Insurance Co.

Gears. speed reducers,

,

Ohio

87
rasps

No-Sag Spring Co._

a

medicated

and

Pacific Car &

cement

(Toledo)

Yorker"

files,

Michigan

Furniture

and

51

Otter Tail Power Co
Generating and distributing

utility

Manufactures

Chicago real

Portland

"Noxzema"

4.7

Industrial

Multiple

"

—28
of

30

t

Manufacturing Co.—_

Oshkosh

Ohio Citizens Trust Co.

Bank

shares for each

New

Co.
3ale

Diversified

Bank

Magazine

"The

1.00

12

"

Noyes (Charles F.) Co.;

with

Nicholson File Co
900

4.7

Ohio

Yorker

Rhode

32 %

1.50

held.

Publishes

and

Distributes

in¬

Newport Electric Corp.—

Service
utility

Noxzema Chemical Co., CI. B

14,

26

Mfr.

.

Real

1959

Chemical

Trust

received

4.7

32

Co.

Exchange

form

to

York

share

New

Corn

peril

1.50

lines

Sept.

in

Chemical

(N.

multiple
allied

and

a90

1.40

•

Northwestern States Portland

NEW JERSEY BANK &

4.7

Pacific Employers Insurance

(Minn.)-—

Public

Northwestern

80

—

public utility in Conn.

Operating

21%

..

2.80

86

_

New Haven Water Co

1.00

electric company

and

electrical energy

*

(Milwaukee).

insurance.

Life

•'

sft

public utility

Manufacturers of

and

Insurance

Insurance Co.
109

75 y4

....

Complete line of work clothing

Insurance

Northwestern
life

except

New Haven Gas Co..

2.40

—

16

——

San Francisco office-theatre

:

'

r

tableware

Osborn

Marine

National

Co.

'

4.5

_

23

—

Orpheum Building Co

,

4.9

4.3

52%

silverplafce

___

Gas

1.8

45%

18%

2.35

tableware

Inc.

5.3

545

—

sterling,

brushes

————2—

and. casualty

surance

Hamp¬

Co.

Co.

Northwestern

1959.

lines

f9.60

23

———

Northwestern Fire &

New Hampshire Insurance Co.

19

0.80

,

Orange & Rockland Utilities,

Excavating machinery

Investments In several

New England Lime

65

(Chicago)
Northwest Engineering Co.,

Company's advertisement

Formerly

1.00

Oklahoma Gas Co.-

1.5

-

stainless

Operating

3.6

Operating public utility

tools

operating utility

.

23

42%

public utility

Operating

Northern

ELECTRIC ASSOCIATION
•

fl.52

5.6

23

;

NEW ENGLAND GAS &

Owning

32

Life, accident and health

distribution

gas

Britain Machine.

Machine

1.70

*

Insurance

New Britain Gas

New

47

Northern Ohio Telephone Co.

5.0

New,Amsterdam, Casualty
Diversified

Co.

Northern Life Insurance

67

7

Orange County Telephone Co.
,

Pulp and

1.00

a23

Onondaga Pottery Co

'•

.

0

Bank—24

and

China

46

fl.45

49
'

4.5

i

Manufacture

holsU

Insurance

Diversified

33

.

accident and health

Omaha National

6.3

Northern Insurance (N. Y^s__

%

1.50

health

Company (Chicago)-..;

4.0

and

Cranes

Nekoosa-Edwards Paper
Class A voting stock—

accident and

Oneida, Ltd.
2.00

Engineering Works *19

Northern

4.6

1959

coal

Olympla Brewing Co——24

2.1

a96

Natl. Bank & Trust Co

13

Republic Life Insurance

Life,

4,1

gas

13

1959

0.60

:

12

...

1.40

121

(111.)—

30,

1959

/

(Grand Rapids)
23
Old Line Life Insurance Co.
of America
a47

Northeastern Pennsylvania

insurance

Pennsylvania

4.9

36

Reinsurance.

Insur.—

Fire

41

1.80

Life,

Northeastern Ins. of Hartford

storage facilities

National Union

-

insurance

distributor

■'

■

Old Kent Bank and Trust Co.

Old

Diversified

equipment

Markad

1.1

17

June

Divs. Paid

hard-

o:

North Shore Ga3 Co.

oil Held

jellr

Years Cash

1959

ware

,

'

Manufacture*

secutive

June 30,

2.00

12

96

North River Insurance Co.—

National Tank

Paymts. to

materials

refractory

<Je

Manufacturing

1959

1959

1.20

Fire

June 30,

30,

1959

Divs. Paid

tion

June 30,

f0.19

19

.

—

% Yield

Quota-

,

Appro*.
% Yield
1
Based on
tion ' Paymts. to
June 30,June 30,

'Including '"", "
Quota-

Extras for,
12 Mos. to

1959

30,

1959

accident & health

Life,

Cash Divs.

„
"

•

No. Con-

on.

Old Ben Coal Corp

Based on
Paymts. to

Including

Based

North American Life

Approx.

'

■i..j

Divs. Paid

,

Quota-

t.

Continued from page 35

Extras for
12 Mos'^o

June

'

•f

No. Con*

12, Mos. to

Years Cash

'

.

Approx.
% Yield

Extras for

'

'

'

& Steel Co

.>

Hardware

Peerless

Insurance

Diversified

Co

Insurance

Pemco Corp.
Porcelain, enamel and ceramic frits
and

colors

Mechanics

Penn

|

NET

24%

oil

4.9

'

.<

,

1

]

■

J

'

—

mills;

j

,

refineries;

chem-

4.3

25

1.20

12

j

v

plants

Operating public utility
■ylvanla and New York

INCOME

1.20
,

Pennsylvania Gas Co.

GROSS INCOME

19%

electric

automatic

controls

KWH SALES

0.925

10

Controls, Inc

Pennsylvania Engin'g Corp._
leal

4.8

20

hand tools

Manufactures

Steel

J

1

?

Pendleton Tool Industries,
Inc.

80
In Penn-

,

26

1.20

■

4.3
>

-

;

*•

i

Voting
L

UP

36%

UP

22%

,

soda

woodpulp

UP 21%

<1P

12

bleached

Mfr.
■

<M

Penton

and

50

f 1.27

2.5

^

sulphite

.

_

Publishing Co

Business

10

and technical journals

.

1

A--—

Penobscot Chemical Fibre Co.

20

1.05

1

_

5.3

\
'

.

.

First National Bank
& Trust Co. (Pgh.)

Peoples

}

Merged with Fidelity Trust Co.
(Pgh.) to form Pittsburgh National

Stock

Bank.

'

{..

ex-

was

changed share for share.

I

Peoples National Bank of

31
33

____

Telephone utilities

71
93

f 0.59

4.00

1.8
4.3

14%

f£25

12

Washington (Seattle)
Peoples Telephone Corp. (Pa.)

4.1

■'

Pepsi-Cola General Bottlers,
Annual Report Available on

Request

Inc.
Soft

Colorado Central Power Company

,

3470 SO. BROADWAY

*

Manufacturer

- ,

ENGLEWOOD, COLORADO

,

'

r

10
of

1.00

14%

6.9

18

1.00

13%

7.4

13

Perfex Corp

Jmdfy Teof>(e*y,

0.62

25%

2.4

'

heat transfer

'

products

Perkins Machine & Gear Co.
Precision

,

gears

Permanente Cement Co.

•

Cement and

gypsum products
manufacturer

i
1

it'

-




•

Details not

complete

as

to possible longer

t Adjusted for stock dividends,
9

Tnpli7dinop

'

.

Mm

—

drinks

nrpHppp^cjnrQ

t Paid an initial quarterly dividend of 25c on
Approximate value and yield is shown.

•'

I
i,

record.

splits, etc.

;

r
^

September 11? 1959.
»

,

.

Volume

Number

190

5886

.

'$ The Commercial and Financial Chronicle

.

(1385)

The Over-the-Goimter Market

Cash Divs.
Including

■.

...

.../

Approx.

Biggest and Broadest
Still

1

and

-

Porter

Including
secutive

Industrial

Quota-

Based

lion

June 30.

June

1959

and

on

Industrial

June 30.

tool

steel,

Mechanics'

and

copper

ters, body and

tools,

bolt

2.00

40%

4.9

23

1.00

271/2

3.6

crude

42

3.25

60 '

5.4

Portsmouth

3.25

129

Railroad

track

2.5

17

equipment,

forg¬

0.80

Owns

equipment'

a22

1.40

:

3.1

115

1.90

41

4.6

19

0.80

241/2

storage

:19

10.49

501/4

1.0

v

Public

Owns

Punta

3.00

74%

4.0

Pickering Lumber Corp
and

11

\

0.35

11

Wide

0.60

Corp.

Power

5.0

7.1

7.00

21

0.475

118

5.9

Co.—

'11%

56

V

Life,

company

(Chicago)

22

35

+1.80

60

17

—

Pittsburgh Fairfax Corp.

2.00

57

(

3.0

"

17%

7.9

Distributes natural

/'

1

20

1.85

44%

4.1

Rochester

4.5.

Rock of Ages

27%

3.0

40

6.3

Granite

5.5

Formed

in

Merger
(Pgh.)

and

tional

14

2.50

30%

Peoples

Bank

&

First

Trust

Co.

Retail

Na¬

(Pgh.)

27y4

2.1

-

bulk

and

steamship

and

distribution

2.60

46

5.7

10

Ross Gear & Tool Co.

0.65

Manufacturers

Rothmoor

5.4?

12

145 stores

of

Corp.

Women's

coats

-

In

the

Affiliated

*13

+1.43

50%

2.8

1.85

45%

4.1

20

+1.48

36%

4.1

fO.65

14%

4.5

32

1.20

24

5.0

1.60

3^%

4.3

4%

8.6

~

steering

gears———

and

10

0.10

4%

2.4

with

Oil

and

Sabine

"

.

17

-2.00

41

1.15

4.9

"48% "

•'

suits

Management Corp.
royalty

gas

gas

20%

scales,
and

5.3

6.0

grand stands and
■

Sagamore
Sateens,

class B

13

1.50

25

22

0.50

21%

2,3

15

0.75

16%,

4.5

.

.

16

0.25

14

2.00

0.60

25

5.0

Mfg.

2.4
u

23

1.00

23

1.00

18%

5.3

70

1.4

scaffolding,
bleachers

Co

broadcloths,

—

■

twills

x

■

39

1.25

35%

3.5

60

7.00

56%

12.4

Maine producers

St. Joseph Stock Yards Co.
Livestock

reinsurance

/
t Adjusted for stock dividends,
a

Plus

splits, etc.

including predecessors.

v

a

7.69%

stock

dividend

complete as to possible longer record,
stpek dividends, splits, etc.
,

paid on Feb. 28, 1959.

Continued

West Coast lumber mills

36

5.3

■

_

+0.92

4%

;

t Adjusted for

20

3.1

40

processing

St. Croix Paper Co

•

Paints, varnishes and enamels

service

71

28

Inc.-

control's

Manufactures steel

chain

Corp. of N. Y.—

2.20

royalties

Industries,

equipment

3.2,

1.10

14

Interests

Safway Steel Products, Inc.48%

——

producers of many

Royalty Corp.—

Safety

2.4

1.55

0.40'

11

.,

nations

•

Details not

5.8

South

Inc

Royal Dutch Petroleum (NY)

Reliance Varnish Co._

»

8.0

17%

of

3.9

77

Reinsurance

2.9

12%

1.00.

31

—

38%

hole machines.

4.0

Port Huron Sulphite & Paper

on page 33

.2.6

Lightweight papers

;

.....

Operates

2 8

26

63

34

1.00

15

of"

mfg;

Manufacturing Co..

Royalties

grocery

2.50

1.00

5.1

monuments,

Rose's 5, 10 & 25c Stores, Inc.

25

47

19
Intercoastal

65

95

and

e r y

2.3

-

101

/

t

17%

candy

Crepe paper

twines, twisted paper products

4.6

+3.34

19

G.40

•

Reed (C. A.) Co.,

Manufacture of rope, harvest

19%

23

22

Co..

Roddis Plywood Corp

air

4.6

Writes only

5.4

-

Co.—^

+1.51

*11

65

products

22%

0 90

Meters, valves and regulators, and
power tools

."•

(Mass.)

Corp.

5.4

1.20

etc.

Boston

health

wholesale

74

a26

plywood doors and lumber

3.00

utility

Plymouth Cordage Co
i

&

3.5

packager

gas

quarrying

Manufacture

operation

Makes button

64

Planters Nut & Chocolate—
Peanut

Reece

■o-

5.1

43%

Rockland-Atlas Natl. Bank of

23.3

23 ■.+0.57

Red Owl Stores, Inc.

September
1959.
Fidelity
Trust
Co.

of

Plainfield-Union Water Co.—
Water

4.1

64%

19

1.50
4.00

Corp

c .e m e

markers,

Animal feeds, breakfast foods

2.65

+0.96

15

Button

Ptockwell

Ralston Purina

Pittsburgh National Bank— a92

17%

26

,

Industrial

apartment

building

Corp..

Manufacturers of construction

Oil &
Boston

3.8
3.4

20

Robertson (H. H.)

-2.3

plants

Quincy Market Cold Storage

3.5'

21%

0.80

0.60

generators

2.50

' 23

chain

&

2.4

products

Leading rice miller and

granite

Products, Inc.—

accident

steam

0.82,5

:

13

———.

Packaged, bar and

16%

Buttons

Queen Anne Candy Co

Pioneer Trust & Savings Bank

textile

2.44
54
1.00' f 18%'

94

Quaker City Life Insurance
Co. (Pa.)

4.3

0.40

30

Roanoke Gas Co...

Diversified insurance

30

transportation.

and operating

0.45

■-

Quaker City Insurance Co—

Paper boxes

27

21

River Brand Rice Mills Inc...

household

and

V

4.3

Risdon Manufacturing Co

.

printing

8.0

99

Closures for steel drums and pails

detergents

food

line

7%

4.30

and

materials

—

and

California

5.3

11%

0.60
'

90

Riley Stoker Corp

-

14

1.40

53

-

Purity Stores, Ltd

3.2

5.5.

products

Rieke Metal Products

company

Filters oil, gas

Piedmont & Northern Ry.___

Owning

holding

Purolator
,23

17

6.0

80

1.00

24

—

Texas

Pictorial Paper Package Corp.

Financing

i4

-

4.00

11

Alegre Sugar Corp.—

.'•''cleaners

life)

18%

Operates Atlanta department store

utility

Manufacture? of

•

86

1.00

_JSmall metal stampings

(Cine.)-—

rotogravure

Purex
(except

2.1

oll-~

Riegel Textile Corp

:

51

Publication Corp. vot

Cuban

Phoenix Insur. (Hartford)—_

of

Rich's, Inc.

""

Public Service Co. (N. Mex.)

Page 42.

on

0.3

28%

Boston

4.8

i

warehouse

utility

near

Manufacturers of rubber

1.20 v. 20
v' ' :
:

(Phila.)...

Electric .public

Starting

2.2

70

supplies

Racing Assn

plastic Industrial

:.

"

Table

distributors

Industrial

Dog racing,

Provident Tradesmens Bank

Payers From 5 to 10 Years Appear in the

83%

0.60

36

and

Rhode Island Hospital Trust.

,

.

Public Service Co. of N. H—

Finance

J

,

37

'

Over-The-Counter Consecutive CashJDividend

2.1

gas

and

Revere

Multiple line insurance

& Trust Co.

Louisiana

'+3.79

14

Provident Bank

Operating public utility

73

and

'

-

Providence Washington Ins..

railway and motor bus

Philadelphia Suburban Water

Rail

.

'

keyboards, piano
hardware,
small

Laundry and dry cleaning

3.3

by

persons

-

oil

crude

Richardson Co.

22

Progress Laundry Co

Transportation Co.

Pioneer

2.7

fields

Public cold

Philadelphia Suburban

California,
holdings

22%

•>

Co. (Chicago)

age

Philadelphia National Bank-

carrier

0.60

well

4.5

Produce Terminal Cold Stor¬

Exhibition and office building

Insurance

26%

Operating public utility

48

of

Suppliers

'•

in

Co., Detroit
companies
In

Princeton Water Co
1.50

Producers

.

piano
aircraft woodwork

tools,

23

1959

of

California

3.6

1.20

12

—_

interests

and

actions,

Philadelphia Bourse

of

21

Iron

Piano and organ

changed to Voi-Shan In¬
dustries, Inc. in April, 1959.

Second

4.2

—:

13

Pratt, Read & Co

Name

street

9%

0.75

.

Mining & refining, sale of potash

4.0

;

Pheoll Manufacturing Co.

>

16

-

Corp.

Corp.,

related

351/4

Bank

•

natural

Potash Co. of America

conditioning and corrosion

Transportation

0.40

"

gas)

substantial

Steel

2.3

341/2

ft

,.

Pfaudler-Permutit Co.
Water

(mfrs.

Cleveland-Cliffs

ing and machinery

resistant

Dallas

*

Mulliken

National

•

Chemical compounds

1959

on

Paymts. 19
June 30.

casualty insurance

Republic

Formerly Portsmouth Steel Corp.
New name adopted in April 1959.

28

0.20

30,

Republic Supply Co. of

Electric utility

and

4

■1.84

tion

June

Based

,

.

equipment and hydraulic power

Public utility

gas

Corp.

39

Fire and

Portland Gas Light Co._

gas

petroleum

vl.54

Republic Insurance (Dallas).

v

Portland General Electric

&

11...

Petroleum Exploration

53

Republic National Life Insur¬
ance Co.
(Dallas)
!
13
Republic Natural Gas
.23

1.5

tools

Liquefied petroleum

1959

fender repair tools

4.8

37

„—

Petrolane Gas Service, Inc

Pettibone

65

cut-

2V2

June 30.

Divs. Paid

•

hand

12 Mos. to

Years Cash

,.

% Yield

Quota-

$

+0.99

alloy

0.12

Consumer finance

Petrolite

15

Porter (H. K.), Inc. (Mass.)—*21
——

Popular candles

natural

1959

Extras for

secutive

Paymts. to
June 30,

1959

steel'

products,

lated products

1959

Bankers,

Peter Paul Inc._

Producing

No. Con-

June 30,

June 30,
1959

Approx.

Including

on

electrical equipment,,

rubber

19

v

Based

metals,
refractories,
saws
and
tools, fittings, wire rope and re¬

Paymts. to

30,

1959

?

Personal

Years Cash

(H. K.) Cc. Inc. (Del.)

Manufactures

% Yield

12 Mos. to

Divs. Paid

tion

Divs. Paid

Approx.

Extras for

,

12 IVIos. to

$

Cash Divs.

Years Cash

Quota-

secutive
•

Expanding
No. Con-

Extras for

...

Cash Divs.

% Yield

Nc. Con-

37

•

Details not complete as to possible longer record,
t Adjusted for stock dividends, splits, etc.
a

Including predecessors.

•

-

»

If it's Connecticut —
We invite you to

use our

for both-listed

and

kets—and also

our

complete facilities

unlisted

security

statistical

mar¬

THE PLASTIC WIRE & CABLE CORPORATION

information.

"

JEWETT CITY, CONNECTICUT

Manufacturers of
ELECTRICAL WIRES, CABLES & CORD SETS
Shares

Net

Dividends

Income

Outstand¬

Income

Declared

Fiscal

(as

ing at

per

Year

amended)

Close

Share

1953

$278,957

108,667

$2.57

1954

248,967

146,315

1.70

Net

Chas. W. Scranton & Co.
Members New York Stock
209

CHURCH
■
.

*

STREET

NEW

-

#

Branch
Bridgeport

*

Danbury

New York Phone

•

:




•

Exchange

"j
7,

CONN.

'

Offices in
•

New London

REctor 2-9377

.,60
/

.60

•

Waterbury

Teletype: NH 194
——•

'

1955

322,548

163,208

1.98

1956

636,632

167,533

3.80

1957

HAVEN
I

per

Share,,

734,126

185,888

3.95

.90

1958

300,148

187,078

1.60

i.00

232,212

190,919

1.22

.50

Six Months Ended

April 4, 1959

L

_

38

The Commercial and Financial Chronicle

(1386)

Cash Divs.
.

liggest and Broadest - and
Still
Expanding:

Divs. Paid

Co.

Including
Extras for

Years Cash

Divs. Paid

June 30,
1959

June

30,

87

1.20

Ice

2.1

St. Paul

Union

Minnesota

Church and

'J

43

utility; (water

•301/2.'

f 1,25

10%

Fire

Insurance

Class B

82

Oil

16

1.00

211/2

4.7

11.375

351/2

3.9

57

2,00

60

fO.98

46I/2

1,00

I81/2

Scott & Williams, Inc.—
Builds knitting machinery

43

Scruggs-Vandervoort-Barney

19

Natural

381/4

5.1

131/4

i"2.08

24

1.20

2.6

;

18
Inc.__\__—— *18

2.2

2 40

3.2

74

6%

40

3.45

78

t2.34

86%
75

25

0.40

3.1

11%

Natural

3.4

•

See

Co.

and

mfg,

6.0

20%

4.4

f0.20

10%

1.9

Labels,

.0.90

20

Dies

0.08

and

1.8

Coal

Co.

Bottling

68

2.00

44

22

Yarn

(St.

0.60

16

1.12

24

tl.31

12

0.30

17

and

artists'

' pers,

X2.00

'

Sherer-Gillett
Manufacturer

and

66"

"Brew

Co.

Sierra Pacific Power Co

—

Sioux City Stock Yards

55

os

Life

ical

4.8

6V4

Sivyer Steel Casting Co

pag<
page

46

4.3

and

24

Corporation

is

17

f0.64

3.8

(The) Co

complete as to possible longer record,

for stock dividends, splits, etc.
11%'% stock dividend paid on April 6,

pp

t Adjusted

are

23

and

fire,

Auto,

15%

f0.52

3.3

1959.

z

Plus

old

back

Petroleum

Sun

4.5

11

aa0.26

28

0.9

10

1.03

29%

3.5

13

,1.00

17 %

5.6

Co

and

marine

Service, Inc.—
,

of

liquefied

sale

of

petro--

appliances

Life Assurance
Also

large

60

——

—

22

26

Swan

and

dress

14

1.00

17

23

1.20

50%

.
.

(rubber

107

natural

and

soy

38

f 1 -33

5.0
8.5

33

1.80

Railroad

Grey

5.5

Mfr.

fire

2.00

56%

'

ties and

iron

of

and

0.80

*24

two-for-one

2.6

fl.375

36%

3.8

1.00

18

5.6

7.3

32

53

0.80

11

52

1.20

35

3.4

20

2.50

96

2.6

10

0.60

33

1.8

17

bbl.55

150

1.0

castings

Instruments

Products Co
small

compressors,

etc.

.

Tejon Ranch Co

6.7

12

10.5

85%

poles

scientific

Tecumseh

3.5

engines,

California land holdings

Telephone Service Co. of

.

Ohio,
"

new

is

on

July

17,

1959.

Figures

Class

B

"ing-e&;—-— -—1—~—:

divi

19 y2

bid,^

*

Details

not

complete

as

"

■"

■

•

-

to possible

longer record.

Adjusted for stock dividends, splits,

shown

aa

outstanding.

share $6.50

alloy

Refrigeration

38

19

2.20

ranges

Taylor Instrument Cos._____.
19

2.00

products

Taylor & Fenn Co.——
63

-4.2

'

beans

split three-fdr-nne-on-JuIT%8y495ft.s;Thequarter, and the current market-price

split

cotton

Taylor-Colquitt Co.

gas

Plus 17/80 of a

pfd. stock for each share held.

etc.

share of Stuyvesant Life Insurance Co.

share held.

■.

bb Plus 4%

for each
:/•-

■

payable in class A stock.

Rambo, Close & Kerner
~

.'

Incorporated

*-—

1518 LOCUST ST., PHILADELPHIA
2, PA.
Phila.

rittW
r*
stock

hers
Members

\ Boston

]stock

Underwriters

Exchange

New
>

mi

JtK>ftigeiati«n

World-wide satisfied

Outlets

Trading^^^
Teletype

—




PG 469

World-wide representation

PITTSBURGH 19, PA.
Telephone

Telephone

Teletype
-

-

PH

63

Corporate and Municipal Securities

users
EDMUND J. DAVIS
Vice

President

in

CHARLES

Charge

of

Corporate Department

PLAZA BUILDING

York

REctor 2-2820

I

D^unicipal Securities

Corporat

Telephone

PEnnypacker 5-2800

Exch.

(Assoc

—

GRant

1-1875

J

2.1

19

operator

Tappan (The) Co.___

-

and

bus

3.3

56%

2.80

25

30

37%

and

Syracuse Transit Corp

zl.00

1.5

-

Miscellaneous

92

0.80

17

hose

Tampax, Inc.

_

340

distributor

tires

small

2.4

goods

fO.80

24

16

food

Rubber Co

plastic)

5.9

19

•

5.00

annuity business

Super Valu Stores, Inc..

Co

-—

1/10

11%

assys.

gases

and

gas

States Tel. Co.

per

stock

0.50

^

spring

casualty

-~T"r, Distribution

life

__

was

1.8

:

foams,

Suburban Gas
v

•.

Stock

for

35

'

manufacturer and

Stuyvesant Insurance

for'stock dividends, splits, etc.

was

0.64

10

products; chem¬
equipment

refrigerator
Shelves and condensers, thermoelectronic relay

spinning, dyeing and

19c

asked.

21

not

Stock

x

rate

tools

6.3

department

Suburban Propane Gas Corn.

bonding

t Adjusted

20%

•

Corp

metal

refinery

Cushion

26.

bleaching

23

Castings

1.30

11

hardware

distributor

Insurance

Cotton

19%

15

1.3

Insurance

Standard-Coosa Thatcher Co.

Iowa livestock market

5.7

5.0

r

Co

insurance

(Detroit)

marine

22

1.00

1.3

4.2

pa-

..

98

ELEC.

components

Casualty,

Operating public utility

1.25

12

5.7

;'•/

store

Standard Accident Insurance

beer

30

technical

4.4.

&r Terstegge

polyurthane

shirtings

corn

1.25

26

prfotlrig

Manufactures

Processes

Sick's Rainier Brewing Co.—

fine

papers and

Stubhitz Greene Corp

Stamford Water Co
Operating public utility

refrig¬

30

17

25%

'*

Co—
commercial

fO.38

.

Strawbridge«& Clothier_____

supplier

Staley (A. E.) Mfg. Co

eration

3.6

15

1

4.4

sheetings

of

5%

0.85

23

.';y

.

Struthers Wells

14

Distribution

0.20

19

13%

Multiple line Insurance

hoists

e.2

17

Stratton

Gas

and

7.1

9%

Corp., CI. B

4.5

Stuart

Springfield Gas Light Co

Shepard Niles Crane & Hoist

25%

0.60

fabrics

nylon

lumber

Manufactures

dis¬

Springfield F. & M. Ins. Co.

Fishing reels, rods and lines

1.80

13

boxes

Restaurant, chain

Local

Vulcanize rs

and

Large Philadelphia

Sprague Electric Co

beverages

20
and

Sirathmore Paper Co._

graphite, and electronic

Electronic

3.6

Textiles, Inc

Corp.

Wholesale
—_

Spindale Mills, Inc.
31

carbonated

70

papers

Drug Corp

Carbon

Carbon,

2.50

(Richmond,

fabrics

and

Stouffer

(Dallas)

and

2.0

Stonega Coke & Coal Co:

4.7

4%

18

300

Lithograph

packets

Silk, rayon

.4.5

18%

0.875

6.00

*37

Trs.

Stonecutter Mills

products

—

cranes

&

Wholesale

Speer

4.2

78

Stern & Stern

r*

Company's advertisement

Cloths

of

Insurance Co.

4.9

3.7

.

Bank of Com¬

—

Life.

products

./

etc.

_

drugs

Spartan Mills

oilwell

exploration

..

business

Stecher-Traung
Corp.

Operating public utility

Shaler Co.

a

13%

0.90

15

Tel. Co.—

gas

-

—

Pharmaceutical

Southwestern

66

25

_

banters

leum
.—

services

Paso.

Fabricated

natural

_

„

finance

and

merce

Sales, financing and personal loans

Shakespeare Co.

Plus

El

insurance

production

Southwestern

Formerly Selected Risks indem¬
nity Co. to Dec. 1957.

w

:

State

0.80

30

Southwestern Investment Co.

Diversified insurance

•Details

Loans

,

Non-participating

Rochester

Portable

1.6

'

•

Electricity supplier

Seismograph Service Corp.—

Skil

38%

60

23

:

SERVICE

Title Insurance

"Rainier"

5.3

Tenm)

SOUTHWESTERN
78

Security Trust Co. of

Electric

23%

•>'j

gases

gas

Southern

Security Title Insurance Co..

of

75

Life, health and accident

Security National Bank of
Greensboro (N. C.)

Louis)

4.00

19

Southwest Natural Gas Co.

New Haven

BotUer

Co

v

Casualty

Southwestern

Security First National Bank
(Los Angeles)
Security Insurance Co. of

Seven-Up

and

Wholesale

Risks

t.1.50

11

Southland Life Insurance Co.

personal loans

electronics

f0.99

.—*1

—

4.3

tribution

Instalment financing and

wire-line

5.3

,15

Insurance

——

Securities Acceptance Corp..

Selected

tl.73

47

brushes,

personal'•

Hardware for building trades,

Va.)

Southern Union Gas Co.:

3.8

4.0

0.25

ships

by

Second Bank-State St. Tr. Co,

Geophysical

45

sells

and

•

Stanley Works

Cqmmunlcatlons services

Second National Bank

Saginaw

2.20

and

pollsherg,

baker

( Knoxville,Fire

Compressed

19

(Chicago)

3.7

35

11

Southern Oxygen Co

od|;jiuaw__..

83

State Bank of Albany-.
156
State Loan & Finance Corp.
Class A
29

.

seasonings

State National Bank of

Colorado Power

...

*"551/4

0.80

26

—

Telephone Co¬

So/New England

(G. D.) & Co

23

Southern Fire & Casualty Co.
„

24

27

1.00

public utility

Electricity supplier

4.5

80

0.60

Sears Bank & Trust Co.

of

5.6

Operating public utility

Pharmaceuticals

ux

40

Manufactures

Bk.

Southern California Water Co.

insurance

cars

34

_—

Bakeries

Southern

.....

freight

2.25

Co._

colorings and

waxes,

supplier

gas

Southeastern

3.4

Department^ stores; 8t. Louis,.

Transports

40
'

.

name

operating

manufacturer

Kansas Cit^, Denver
:•
.
Seaboard Surety Co.—.a--

Seatrain Lines

'

Southdown
Sugars,
adopted in May
Louisiana sugar

New

Southern

46

1.95

Searle

16

3.8

of

Southeastern Public Service-

5-4

f 1 55

Dlverslfied

4.8

Stanley Home Products, Inc.
(Non-voting)

I4

—

Inc.

Southeastern

dept. stores

17

cleaner

4.2

16%

Stange (Wm. J.)

Operates
plantation.

2.1

Scott-& Fetzer Co.—,———
Vacuum

66

0.80

6.6

Food

——

1959.

3.3

19
*17

& Co. Inc

(Ed.)

Milwaukee

2.80

13

39%

royalties

Inc.

hardware

builders'

and

4.7

2.60

Development Co.

Formerly

operator

Schuster
Three

4.8

35

Sugar Refining—

Schenectady Trust Co.-(N.Y.)
Schlage Lock Co
Locks

531/2;

locks and tools.

Hardware,

Savannah

58

,

National

-

Southdown,

Sargent & Co

Georgia

2.55

real estate maps

&

2.75

54

Standard Screw Co.-

public utility

South Texas

12.9

Beer and dairy products

Sanborn Map Co.———

3959

toiletries

(Charleston)
1.35

1959

90

3.3

<fe

products

Carolina

South

*11

June 30,

Co.

60

21
21— 1.50

distribution

and

paper

Operating

4.1

Inc.
—

f'ayrnls. to

Insurance

2.00

flavors

Products Co.———
and

Paper

4.8

company)

Miguel
Brewery,
(Philippines)

Insurance

Jersey

36

Co-

South Atlantic Gas Co.—
28

1959

on

tion

June 30,

„

.

furniture

San
•v

12%,-

2.7

181/4.

0.60 *

Fire

New

Diversified

Items

Sonoco

San Jose Water Works—
Public

0.50

15

related

.

Corp.———_

school

of

7.4

,

mechanics' hand service tools and

Stockyards—

operator

Antonio

21

12

fouptaJn

soda

of

30,

Screws and screw machine
products

fruits and

cream

Manufacture

Fire and casualty Insurance

San

1.55

,""" ."to

(J. Hungerford)

Manufacturer

1959

571/2

June

Appro*.
Eased

Quota-

$

varnishes

and

Snap-On Tools Corp.—
St. Paul Fire & Marine Insur.

12 Mos. to

Divs. Paid

Mining machinery

Smith

June 30,

1959

secutive

Years-Cash

Standard

Engineering Works

Smith

Quota^Based on
tion .7 Paymts. to

.

Extras for

1959

1959

1959

11

—

——

Paints

Apprcx.

,12 Mos. to

30,

Smith-Alsop Paint & Varnish

% Yield

secutive

Cash Divs.
No. Con-

I

Cash Divs.

No. Con-

June

Approx.
% Yield

Base(Ton
tion
Paymts. to
June 30,
June 30,
Quota*

12 Mos. to

Years Cash

Continued from page 37
*■

ton- "TxtrasTor

secutive

.-

-

Including

■

No.

Thursday, October 1, 1959

.

J

.

The Over-the-Counter Market

.

.

EMS

RUSSELL

G.

PRIGGEMEIER

Assistant

Manager

Corporate Department

M. D0TTS

Manager of Municipal Bond Department

•

Volume 190

Number

5886

.

The Commercial and Financial Chronicle

.

(1387)

The Over-tile-Counter Market

This

Today's Stock Market and

-Biggest and Broadest - and
Still
Expanding
Cash Divs.

r

% Yield

Extras for

secutive

12 Mos. to

Years Cash

June

Divs, Paid

Continued from

Approx.-.

Including
No. Con-.

The

Quota-

20,

Based

tion

Paymts. to

June 30,

1959

and

on

of

even

1959

.

In other

words, the level of the market,

June 30,

•

1959

the

3

page

individual

or

within

issues

Inc.

______

Open-end

11

Terre

0.78

16(4

4.8

21

1.00

21

4.8

.____

mutual

investment

co.

carrier

common

Haute

Malleable

Manufacturing Corp.

&
23

0.60

11

*3-1

t2.50

45

5.6

Texas Natl. Bank (Houston).,

47

2.50

72

3.5;

Textiles, Inc. ^

18

0.60

13V2

:21

0.60

iiy4

30

f 9.43

Iron castings

v

_____

Turbines

^and reduction

Makes cotton

__

gears

:__

'

4.4

5.3

.

department store

Third Natl. Bank in Nashville

365

2.6

97

34

f0.92

degree

2.7

Wide

of cotton

range

95

2.20

46

•4.3

*18

1.25

21

6.0

(Mass.)
j

products

Thompson (H. I.) Fiber Glass
Fiber

glass,

fabricators

Insulation,

Hi

12

54

1*0.45

r

0.8

Thomson Electric Welder Co.
welding

300 Adams
Chicago

13

California

24

of

"Fortune"

"Life,"

&

Tinnerman

3.25

23

1.7

653/4'

4.9

0.50

13(4

ing

*13

1.80

38

61

2.40

3.9

-

Co.
65

11.33

17

40

to real estate"

title

41%

0.30

17"

1.20

22(4

5.4

Manufactures
and

Towle Mfg.
Sterling

72.75

13

Towmotor

1.20

~

107"

"2.8

24

'

24

—

18

1.00

5,3

.

■■

42

31 (4

2.00

6,3

.

tableware

14

1.40

303/4

1.20

82(4

.1.5

of

31

2.625

53

4.5

automotive

Bicycle

22

Tucson
and
:i.\

41(4

1.00

.

Electric

had

and

3

25

72.45

94

2.6.

41

..

Co.
gas

utility

f 0.745

28(4

2.6

'*'•*•'•••.

,

•

Details

t

Adjusted for stock dividends, splits,

a

Including

tt Plus

stock

dividend

whereas,

for

YEARS

This

sharp

page

40

$14.8

$23.1

Year ending June 30
"1959

$24.0

>

979

as

you

of

14.89

that

still

have

pacity itself is

all

adequate capacity

no

criterion.

There

fields that have been by¬

are some

passed, either through technologi¬
cal changes or sociological shifts.
These fields can be exemplified
by anthracite coal industries, cot¬
ton textiles, or the ice companies.

our

On

the

the

other

growth

hand,

among

industries

cyclical fields, there

are

Continued

on

page

to

only
1954

A.

recov¬

at

we

M.

the

&

Wire

CO.,

to

INC.,

YORK"

NEW

J. B. MAGUIRE & CO., INC.
Milk Street, Boston 9, Massachusetts

31

Open-end Telephone Wire to New York

eight

and relatively
had its counter¬
action of the stock

From

KIDDER

BANK and INSURANCE STOCKS

kicked

for

STOCKS

FOR

month—

one

there

Private

,

the

was

MARKETS

NEW ENGLAND SECURITIES

new

York—CAnal 6-1613

Boston—-HUbbard 2-5509

Bell System Teletype—BS

Providence, R. I.—Enterprise 2904
Hartford,

142

Portland, Maine—Enterprise 2904

Conn.—Enterprise

6800

low point, Janu¬

a

the

$89.2

$89.9

gain,
of

however,

to

the

must

speed

Kidder, Peabody & Co.

and

business

the

re¬

Founded

in

1865

<

which let the professional

amateur

investor

feel

Members New York,

that

considerably greater betterment
business, than we had seen
before, could be anticipated-.
At this point let us acknowledge
that some
anticipatory stocking
of steel, and to

a

minor

more

Boston, Midwest, Pacific Const,

Philadelphia-Baltimore and American Stock Exchanges

Trading markets in
New England Bank, Utility and Industrial Stocks

we
are
now
experiencing,
helped to accelerate this recovery.

Even

Earnings

we

wash

factor out of the

'51

per average
common

if

share

'52

'53

'54

'55

'56.

'57

'53

6/30/59

$1.22 $1.26 $1.31 $1.35 $1.38 $1.46 $1.50 $1.60

$1.72

For further information write

New

England Gas and Electric Association

727 Massachusetts Avenue




Cambridge 39, Massachusetts

ness

this

75 Federal
Telephone:

temporary

Street, Boston
Teletype:

Liberty 2-6200

BS 338

picture, the busi¬

gain

on an ovei-ajl basis was
impressive. Furtherfore, as
in any recovery period, the earn¬
ings improvement as witnesed by
business, particularly those which

PHILADELPHIA

NEW YORK

CHICAGO

most

had

been

highly

most

was
is,
of

-

LOS ANGELES

FRANCISCO

New
Lowell

depressed,

significant.
This
course, of major consequence in
affecting the stock market. For
-

SAN

•

England Branches:

New Bedford

Springfield

•

•

the

situations

where direct benefits should take

narrow.

PRIMARY

pre¬

in

degree,
non-ferrous
metals,, in
anticipation of the labor difficul¬

(above figures in millions)

both

and

ties

$49.7

Utility Plant Investment (net)

can

for increased output and will have
the demand for this output. Ca¬

UTILITY and INDUSTRIAL

in

up

^1010

14.08

633 :

4.65

$26.2
~

bit

a

(3) The greater immediate pros¬
pects
will
probably lie within
those
industries and companies

some

watching

quite

from what I stated earlier.

see

busy, or just
we allow expenses
again and margins

recovery

attributed

and

$25.8

$10.6

boys of the recovery rally may be
dimmer,
some
have
already

a year ago, the market, with
only relatively minor corrections,
began to move steadily upward.
Part of the improvement was in
anticipation of, and part in line
with, the betterment in business.

covery

1958

Electric Sales Revenue

•

up

Greater selectivity will be

necessary, and a shift in emphasis
will
be
required.
The glamour

put the brakes

are

sharpest part of the
over. Possibly more

over.

(2)

Business

—

can

.

conclu¬

ary
on

OF

Gas Sales Revenue

-

creep

begin to

New

in

part

1959.

ending December 31

than

too

year

of the

decline

down

market.
15,

all

up

from

in

around

be

Sold

to

The

specific

wit¬

the fastest. We stayed

was

Part

KWH of. Electricity

the

prosperity, or
too lazy, and

certain

market rise is

as

You

we

V

(1)

When the improve¬

we

(a rise of 19% in in¬
production),
but
the

soundness

MCF of Gas Sold

wisely.
occurs

the sharpest in the post¬

bottom

•

..

Continued

1948

we

.

etc.

paid on Jan.

Years

and

-

predecessors.

25V

ment

months.

possible longer record,

complete as to

sour

so

opportunities

to

sions:

because

expenses

expenses, some wisely

period

prompt
not

of

have

we

by March of this

made

the

0.35

Gas, Electric Light
Power

in

around.

this phenomenon.

From the low point in
activity,
which
was
reached in April of 1958, business
activity increased steadily each

ery

4.4

16

Co

of Georgia..

on

Translating this into in¬

come

of the most impressive

one

transition

2.4

•

Insurance

saddles

Co

period,

dustrial

Insurance
—

panies:

vestment

pennies and hence profits improve
rapidly. Then we get more use to

Past

sharpest

turns

lag

turns

recoveries.

war

Diversified

the

was

recovery

equipment

Troxel Manufacturing

Recent

ceding decline and were
high ground.
Not only"

health

Trico Products Corp

Trust

it

we

Manufacturers

a

us

month until

4.6

93

(Hartford)

Trinity Universal
Company

This is

the

:

benefits will be derived by a
somewhat different group of com¬

be witnessed in

industrial

truck

accident,

Life,

is

business

,

.

blower

Corp..

Fork-lift

This

place

est

dimmed

period, but

took

*

the expansionary phase we
dealing with new factors. In
the first
place, g a i n s, on the
whole, will be less dramatic, less
impressive.
Secondly, the great¬

■

can

when
dropped to 153 and the

In

of the rapidity of the turnaround,
made a more striking impression.

not

and

5.0

blades

Travelers Ins. Co.

has
own

of

similar

each

the

are

earnings recovery we
aided by a set of circum¬

were

new

to

Near Term Market Outlook

In .this

stances which

this

l

again the stock

:

.

of

attributed

decline which

last month.

giving evaluation in

was

years.

know

nessed

Co

silver

what

out

be

can

post-war

machinery,

fan

We

forecasts.

briefly review what has
transpired
over
the
past
year.
Following the 1957-58 collapse,

and

Torrington Mfg. Co

a

History for its

Reviews

stationary power tools

wheels

forward

business

behind.

5.3

25

Toro Manufacturing Corp
mowerB

is

question of
emphasis and point of view.

3.2

///.'

Toledo Trust Co
lawn

there

Prologue."
Nothing
in attempting eco¬

or

Let

Corp.
.

ing

'"'""-*

.

pumps

be¬

is essential.

aol
.

Trust

not

Here

years.

interesting as an edu¬
cational exercise.
History, as a
springboard for future operations,

packer

Power

is

apt

more

sake

__

&

class

(a

do
it.

Washington

nomic.

of

Company

Packing Co.

Gasoline

economist

obviously

quotation of Shakespeare:

Past

4.7

(Los Angeles)

Tokheim

in

famous

3.3

I

On the National Archives build¬

is

Inc.

be

tends to avoid

etc.

Insurance

Insuring

refined

which

"The
18

further

its prices of not only the recovery
under way, but the potential that
had been set forth in the preced¬

gone

Insurance

Meat

tt0.40

"Time."

Products,

Minnesota

Tobin

the

long)

2:1

Nute"

Insurance

Title

market

also

can

be

Re¬

witnessed in July

we

the index

approximating $72 bililon in the
two

more

5.3

"Sports Illustrated"
coats,

more

the

it

move

suits,

be

to

has

~

24

(Ky.)_____

want

Part

must

cline

firm's September's

we

Federal

of Industrial

factors of inventory
accumulation, but so can the de¬

released.

are

called

in

Timely Clothes, Inc.-__

Title

47

finance—personal loans

Publishers

Title

6.3

1 -id.5 75 .274/8

22

Time, Inc.

"Speed

2.50

30

Consumer

20

chain

drug store

Time Finance Co.

Men's

1.25

ures

the

on

anticipatory

$23.8

period, but this word
frightening connotations so

building

Thrifty Drug Stores____^l.-

considerable

a

boom

machines

Building, Inc.__^_

office

to

my

If

blunt,

plastic parts

Electric

by

phase.

Temp

reinforced

fiberglass

with

155

Board's Index

Production.

high

Furthermore, this improvement
"Business and Financial Review." was only beginning to make use
In short,, we now appear to have of the
expanded capacity planned
moved from the recovery phase of and built
during the 1956-1957 pe¬
the
economic
riod when expenditures for plant
cycle
into
what
might be called the expansionary and equipment reached new peaks

Third National Bank & Trust

Co. of Springfield
Thomaston Mills

dealt

are

Third National Bank & Trust

Co. (Dayton, Ohio)

One can,

of

serve

had

we

longer term basis.,

the

peak

stock

Corporate
which is the

come back to
earnings of
billion, or a gain of $7.5
does get, wide swings in the
market even while the economy billion, or 46% in one year, and
probably well over $24 billion in
continues
in
a
single direction.
the second quarter when the
fig¬
The economic
facts, as I See them,,

and

and

yarn

Thalhimer Brothers, Inc
Richmond

a.a

-•

.

Terry Steam Turbine Co.

control

glamour.

any

Fund,

Tenn., Ala. & Georgia Ry, Co.
Railroad

which

not

after taxes,
market, is not the product of
one
factor (which is what only way you and I have any use
most shareholders actually or po¬ of them, hit a low ppint of $16.3
tentially forget or like to ignore) billion on an annual rate in the
but of a considerable number of first quarter of 1958.
This was
down some $8.6 billion, or
interrelated factors.
35%,
from the high of
$24.9 billion in
Basically, of course, the market
the fourth quarter of 1955.
The
is determined by the economy of
the nation, actual and potential. recovery has been most dramatic.
By the first quarter of this year
But .this is largely on a medium
the

Television-Electronics

prices,
profits

probably

it.
Haying come back
previous high point in in¬
dustrial
in March, we
recovery
moved into new high ground from
April through June, reaching a

run, it is earnings and
subsequent or prospective

dividends

is

now, but more im¬
economic factors are an¬

ticipating

to

long

their

phase

place

portant

Medium-Long Term

the Western World.

latter

taking

39

Newport

Taunton,

•

/

•

Providence

Worcester

40

The Commercial and Financial Chronicle'.
40

\ its

and

Continued from

ahead.

The aluminum

'

Taking' the

-

period

expansion

the

in

place

"r

39

page

Thursday, October 1, 1959

.

industry is

I

last gen¬

tremendous social up¬
heaval. This has been the explo¬
sive expansion of the middle class
with the concomitant decline
in
but

Biggest and Broadest - and
Still Expanding

a

will

with

be

Cash Divs.

long-time.

will

which

Including

medium

and

yi

% Yield

Extras for

Quota-

Based

secutive

12 Mos. to

ticn

Paymts.

Years Cash

June 30,
1959

Divs. Paid

oa

to

June 3C,

June 30,

1959

1959

5

continue to influence

the

over

-

Appro*.

No. Con-

only attempted to briefly
uponvthe factors that have
made our market-what it is and
I have

it

•

Continued from page 39

us

touch

.

example.
Parts of the
paper field would also fall ij^o
this category, as would some of
the chemical companies.
the
lower
and
upper
bracket
In
the cyclical field, some of
groups.
In line with this move¬
the stebl companies and certain of
ment, we have had a sharp expan¬
the heavy industry and machine
sion in average* income.; The fig¬
-tool companies certainly appear to
ures for this are all known to you
qualify.
and I shall not dwell on them here.
good

the market, both

this

afraid

am

for

witnessed' a

eration, America has

quiet

The Over-lhe-Cou nter Market

has

atomic fields,

on

directly through the governmental
expenditures and indirectly in its
effect on fiscal policy.
I would
like to appear more optimistic but

sociological first, let

remember that in the

us

ah impact

had

in

concentration

heavy

electronics and

Today's Stock Maiket and
The Medium-Long Teim
a

.

(1383)

longer

Twin City Fire Insurance Co.

2.9

33

0.63

21

Twin Disc Clutch Co.——25

4.00

96

„

.

have

I

Outlook

Term

the outlook
the medium

with

dealt

huge in¬

the

has

remains

—

market to

the

and

reach

higher

psychological, the political and the
jsociological, all of which have had
a major influence in creating the
market we have today and de¬
termining the
level of markej
prices over the next number of

pschological phase, we
have largely diad the influence of
that illusive and misleading word,
"inflation.". While reality has. had
little• connection
with theory in
this field, there is no question that
the

of

threat

inflation,

a

phrase

Business

York

City,

Net

the

from

in
weight which

These influences are not new

give to them and their
of influence is far more
significant than in the past.
must

degree

.

contributed extensively in the last

sale of

securities.

political front, the exis¬
the cold war, with its

On the

of

tence

huge

expenditures

government

>.

under the
laws of the State of California on

1959;

11,

assets

torship
now

Eric C. Butt,

by

President

of

Chairman

and

of directors of the suc¬

company. Navco Electronic
Industries is Engaged principsilly
development, design, manu¬

in the

tronic

f,,r

■

and

distribution

and

communication, navigation

office

company's
in

plant

and

are

company

of

stock, $1

and

par

value per

completion of
there will be

upon

the current offering

outstanding

INVESTMENT

SECURITIES

den,

MASON

EAST

ST.,

MILWAUKEE 2

:;o

64

4.5

in

Pitts-

-

*34

50 V2

3.2

2.90

"77 V2

3.7

54

.—

1:60/

22

L__—

Gas

and

y0.36

37 ^

1.0'

Corp. of

oil

natural

and

gas
,

United Illuminating Co

59

1.375

28

4.9

19

0.61

37%

1.6

22

4.00

400

20

0.60

20

3.0

Connecticut

Stone

&

office

29

operating utility

United Insurance Co.-of
America
accident

Life,

health

&

United Life & Accident
Insurance Co
accident

Life,

United Printers & Publ., Inc.
cards

Greeting

United

Cold

States

Storage

17

-+1.00

17 y2

5.7

19

0.90

26%

3.4

20

2.00

83 %

2.4

50

i.00

Corp.
Car-ictng,

Ice,

etc

U. S. Envelope Co
of

Manufacturer
cups

envelopes,

paper

and other paper products

,U. S. Fidelity & Guaranty
Diversified

U. S.

Fire

Insurance

S.

'

Insurance

Lumber

\

(Portland).

Corp

5%

60

2.60

69%

3.7

15

0.40

31

1.3

18.

1.40

25

5.6

:

__

industrial

Phosphors,

0.35

mln\

Radium

sources,

dials,

panels

radiation
and

name-

has

Co.

398

at

"/■••,

United States Testing

opened

South

Realty & Investment Co.

Real estate

research,
engineering

Testing,

a

Bev¬

I

NEW YORK STOCK EXCHANGE

erly Drive, under the management
of Horace M. Bear and James E.

OTHER PRINCIPAL, EXCHANGES

Tucker.

.//

U. S. Truck
Inter-city

Co

Inspection

Lines

0.20

24

REPRESENTATIVES

THROUGHOUT

WISCONSIN

J

(Del.)

27

j/://v"//
1.00
20%

;

106

U, S. Trust Co. of N. Y

Branch in Sherman Oaks

3.40

/

Details not complete as

branch

r
CHARGE when you

New

NEW YORK-CINCINNATI

DIRECT TELEPHONE

the

to possible longer record,

Stock was split 2 V2-fcr-1 in February 1959.
was paid April 6, 1959.

A three-for-one

3%

stock dividend

a

Ventura

direction

of

Reynolds Office

Reynolds & Co., members of the
New York
Stock
Exchange, has
opened
a
branch
office
at
2

WOrth 6-2115

.

opened

14221

at

under

Cal.—Hay¬

has

3.7

Clark.

Laurence

call us by

Co.

office

Boulevard

NO

OAKS,

&

Stone

92

uu

y

SHERMAN

den,

4.8

Adjusted for stock dividends, splits, etc.
Pius 59fe stock dividend paid on Feb. 25, 1959,

r

■

-

motor carrier

*

Z

2.1

91/?

and

t
ANO

3.4
6.8

*51
and

Interests

U. S. Natl. Bank
U. S.

29%

-

Co

Holding company, land
cr&l

Co.

-

Insurance Co

Diversified

U.

1.0

.

health

&

plates

■

OFFICES

3.5

3.8

of

JJ

MEMBERS

uu3.00

1.80
52
2:8#-^53"

BEVERLY HILLS. Calif.—Hay¬
branch

225

shares

254,940

Hayden, Stone Branch

INCORPORATED

4.3

20—:

U. S.

IL©nwir&

Bank

—

Bank of Memphis

stock.

common

10V2

Union Planters National

consists of 750,000 shares

common

share,

0.45

production

Santa

Monica, Calif.
Authorized capitalization of the

OVER-THE-COUNTER ISSUES

2.3

piling

Oil

Crude

elec¬

of

flight control equipment. The

located

54 V2

19

Louisiana, class A
-

cessor

facture

1.25

castings

town, Ohio
Union

liabilities

Engineering

Avionics

owned

the board

Wisconsin Market Place

4.1

/
11

Union Natl. Bank of Youngs-

the

acquired

and

assumed the

and

National

of

3.9
•

Manufacturing

Natl.

burgh

incorporated

was

May

.

'

and

Metal

Union

Company, and individual proprie¬

;r*«

a/.'//

Industries,

Electronic

Navco

Inc.

-j

54
37

..

Union Trust Co. of Maryland

products.

the price of

decade in the rise of

lnc!

redwood

foundation

«

proceeds

66

2.10
1.52

*

Outdoor lighting poles and

-

books closed.

utility

fl.55

16
12

•

-

Co.
.

price of $2 per share. This offers
Irtg was oversubscribed and the *

3.3
2.3

21

Union

Industries; Inc. common stock at a

6.1

79^

42

(Los Angeles)___

hoists,

Chucks,

*

14

».

Gas System,

California

offered

.29

2.9

•

forms

gas

14

2.60

"

■

25

Union Manufacturing Co

142,800 shares of Navco Electronic

0.40

.

22

Union Lumber Co

Corp., of New

Sept.

on

Corp.l__

(Cleveland)
Natural

2.9

goods

Union Commerce Bank
Union

35

0.85

22

rubber

refrigerators

Union Bank

grossly misundeilstopd, has had
considfeirafile"T infliien^ce iri forcing the common shares will be used
up the price of securities.
Also, by the company to enlarge and
increase its manufacturing facili¬
among the psychological factors
and plant in
is the belief and the hope for ties, "laboratories
future growth. This is a changing order to engage in the manufac¬
ture
and
distribution
of
new
and waivering concept but'it has

years.

the market but the

Commercial

;

1.00

-•

Uarco, Inc

Quickly Placed
Securities

Aetna

building

of

4.2
v

Bagley Corp.12

Tyler Refrigeration

them. None¬

Navco Electronic

Issue

'

gears

Manufacturers

I

the

In

and

Tyer Rubber Co._/__

the

and

investment'

of

cepts

elements which shape

Insurance

Theatre and office

not; are not

or

the present con¬

of line with

prices of securities.

now

(whenever that it).
course, we have, the
economic factors. These determine
the trend.
The extent of
the
movement, however, has probably
been more influenced by certain
other factors which are less easily
measurable. These factors are the

p

points lower

rise theless, emphasis will still remain
of potential inves¬ upon selection of the* individual
commensurate in¬ security,
"--v-/
\
•
'

change, the growth of,
e n s i on and profitsharing
with their impact upon the

funds

it may

Ones

correction

the

after

the

reach the levels it

taking place
Basically, of

we

100

out

ciological

what has caused

220

market, whether/, the exact figure
is

for the market over
in the number
term, laying stress on the changes
tors without a
and emphasis that /may be witcrease
in
shares available.
We
aiessed and the companies and in¬
have also had as part of the so¬
dustries that benefit. The question

still

Clutches

levels of the

savings and a" vast

in

crease

Diversified

pould carry some¬
basic

further,

what

that

merely wish to point out

this movement created a

result, although I feci

a

this correction

.

Longer
I

As

term.

Underwriters

Distributors

Dealers

Broadway, New York City, under
•

the

Specialists in Ohio-Kentucky-West Virginia Issues

management of John H.

vin and
•

40%

Commission

stocks listed

on

discount

to

members

N.A.S.D.

Charles

A.

Kir-

Municipal and Corporation Securities

Wiegard.

ori

Phila. Sees. Assn. to Hear

Cincinnati Stock Exchange.

PHILADELPHIA, Pa.

—

Robert

Rod, President of Acoustica'Asso¬
eon

Members

Principal

■

meeting

326

Wire:

DAYTON

CHICAGO
ATHENS

MARION




Co,

CHILLICOTHE

on

Tuesday,

Barclay Hotel.

Gordon L. Keen of R. W. Press-

prich

OHIO

CHARLESTON

the Philadelphia

&

Co.

is

in

charge of

ar¬

Powell Adds to Staff
(Special to The Financial Chronicle)
^

WHEELING

J.

FAYETTEVILLE, N, C.—Rklph
Bond. has been added to the

staff of

GREENSBURG, IND..

J

Powell &

110 Old Street.

The First Cleveland Corporation
Member Midwest Stock

rangements.

Teletype—CI 585, CI 232

HAMILTON

HILLSBORQ

&

WALNUT STREET

CINCINNATI 2,

Phone—MAip 1-0560

Stone

riayden,

of

Securities Association

Exchanges

Oct. 13 at the
Direct

>

ciates, Inc., will address a lunch-'

Underwriter s—D istrsloutors

Company, Inc.,
-

National City E. 6th
CLEVELAND

Telephone: PRospect 1-1571

Exchange

Building

14, OHIO

Teletype: CV 443

-

CV 444

Volume 190

Number 5686 .'.

The Commercial and Financial Chronicle

(1389)

•

-The0ver4he-Goimter

•

Market

-

jf

-•

•

'■

' *

Biggest and Broadest
C

I

Ml

F

June

Divs. Paid

Quota-

Based

June 30/
1959
•

•

,

.

Holding company

0 20

41/0

8fti/„

Manufacturer
multifocal
and

eve

opthalmlc

lens

of

blanks
4

public

wall-

board

0.60

13¥2

Manufactures

;

•

wire

rope,

-rj"
Home

_.

^

and

5.1

0.80

& Iron Corp—

29

0.70

23

ingot moulds and stools

"

3.4

13%

5.1

3.00

49%

1.40

57%

2.4

1.00

39%

fO.98

11

1.00

\r«CawS!a f00l
Van Waters &

20

f0.78

t

Rogers, Inc.—_

Wholesalers, Industrial chemicals
and scientific apparatus

' f0.66

61

2.00

28

0.85

11

32%

n

-

r,

2.0

23

__

genera-

5.2

_

.

of

^ ■-

0.60,

-

57%

5.5

tors, thermostatic and electronics

•:

Natural

'/

r

utility

gas

25

25;/: 2.50 ; 53%

counting and computing

.....

of portland

Machine

Vktoria Bondhniders Corp,.

23

2°.°0

00

a

nn

on

25

0 95

2.4

1.45

27

Candles

0.80

21

/

Virginia Coal & Iron Co
Own.

1.12

23%

4.8

coal

.oft

land

In

1.20v

19%

6.2

60

6.00

154

:

19

——

f0.98

4.6

Natl.

......

.

1.00/ 42

2 65
°-®°

Bank &

63

Manufactures metal

4-5

59

State

Life

aviation,

16

0.60

56

1.1

88

—

30y2

1.20
-

'

Cast

Iron

25

0.50

liy4

4.4

ingot

molds

Makes

accessories

.

Bell

Including predecessors.
*
Details not complete as to possible longer record.
t Adjusted for stock dividends, splits, etc.>
ww Stock
was split
two-for-one in July 1959.
Figures
a

for old

3.9

common.

...

Plus

v,-/

30,

1959,

Mer^i

Building/-—DALLAS

Harlingen

Lubbock

Houston

Midland

San Antonio

Odessa

t2.375

64

3.7

26%

3.8

49

1.1

31%

4.3

19%

5.1

58

5.2

—40

ee0.54

In¬
"■'/

a

23

3.60

*

stock dividend paid on Feb. 26,

*•

■

and

natural

44

206

':

Goodwill

Station

31

Fort

Diversified
Details

clared

1959.

a

indicates

4.0

0.10

8%

1.2

12

1.00

Wayne department store

not complete

27c
a

1.4

73

Insurance

t Adjusted for stock
ee After
100% stock

increased from 30c to 35c on June

12%

broadcaster

Wolverine Insurance Co.,
Class A

re-

10.49

11

(Detroit, Mich.)

2.9

1.7

3.00

.

pro-

gas

./.. '/

.

The

WJR

*

dividend rate was

public

Company

oil

"'

t0.99

13
gas

Wolf & Dessauer Co—.

42%

ddl.25

not complete as to possible
5%

13

*

,

21

for

Light

as to possible longer record,
dividends, splits, etc.
dividend paid on May 1, 1S59,

semi-annual

54c

yearly

dividend

payable

on

payment.

Sept.

company

1,

1959.

It!

Continued

on

.

heart

page

of industrial America

MALLEABLE

DL 196-197

Midwest Stock Exchange

IRON

American Stock Exchange

Tyler

COMPANY

•

Dayton 1, Ohio

(Associate)

PLANTS,IN

Dayton, Columbus, Ironton (Ohio), Buffalo
and

CASTING IN gray

INDUSTRIALCHEMICALS

Cedarburg (Wisconsin)

iron, malleable iron, pearlitic

malleable, steel, aluminum and magnesium

Founded 1885 —Dividends every year for
past 20 years.

CHEMICAL

COMPANY

Cleveland 3, Ohio

Bought—Sold—Quoted
CUNNINGHAM

CUNN

Cr

Members Midwest Stock
Union Commerce

Bldg.




•

TO 1-1070

CAREY

INC.

Exchange
*

Cleveland 14, Ohio

Annual Statement available

on

de¬
This

.

Member New York Stock Exchange
&

Fort Worth

51

5.0

/

Versatility in casting production in the

Rl 1*9033

RAO
USCHER, PIERCE & CO., INC.
Austin

3.5

system

dd Quarterly

are

We Trade

Mercantile Dallas

80

2.80

and

Surety

equipment

telephone

Details

cc

shown

32

*34

natural

Oil

Wiser
Crude

longer record.
t Adjusted for stock dividends, splits, etc.
*

If it's in TEXAS

—

auto

Western Electric Co

and

1.60

Trust

Company, Inc.

v

Multiple line, fire & casualty and
fidelity and surety bonds

Non-partlclpatlng only

Vulcan Mold & Iron Co

4.3

Life

Operating
utility

Detroit

Casualty &
Company

Insur-

5.8

.7

Wisconsin Southern Gm

fasteners

Co.

ance

17

0.30

Electricity supplier

42

casualty

Western

Volunteer

-im

Co.

surance

^

25
marine,

Plre,

„

5.5

hospitalization Insurance

''

Westchester Fire Ins. (N. Y.)

3.0

33J/4

20

1.00

Wisconsin Power &

2.4

1.00

1.0

1.10

.

ducer

Industries, Inc.____ a38

9.5

384

National

Wisconsin

'

Voi-Shan

10%

0.10
4.00

11

(Dayton, Ohio)

21%

(distribution

Diversified Insurance"

Virginia Hot Springs, Inc.... 10

4.7

and beeswax

Winters

K

"

14

3.9

1.4

143/4

17

Wilmington (Del.) Trust Co.

23
V

Icc

Virginia

18y4

0.70

Distributor of metala

■

'

and Kentucky

0.25

Willett (Consider H.), Inc.— *19
Maple and cherry furniture
Williams & Co., Inc
26

3.8

19

72

.

3.1

74

Will & Baumer Candle Co.--

...

*36

5.4

51

Boston harbor

28

19

3.2

&

fl.57

Insulated wires and cables

ing company

„

Rot&jry pumpt

4.6

72

Works.

Whitney Natl. Bk. (New Or.)
Wiggin Terminals, Inc., v.t.c.

o/.

0.70— 29

r

4.7

63°

52

cement

Whitney Blake Co

onlv)

.

2.40

~

Manufac¬

Life, accident, sickness and
Makes

; 5.2

foundry and railway equipment

'

32

Steel and

4.7

15%

Cranes, Trambean, chemical,

11

products

alloy castings
West Ohio Gas Co

0.80

Textile machinery

2.6

comflat

West Chemical Products

.

24

Whiting Corp.

24

West Mich> steei Foundry

_

2.3

-

turing Co.

stainless

lighting systems

sanitation

43%

22

Cement

Manufacturer

Whitin

t

„«m„

1-20
_

25 ww2.70

steam

Rold

distributor

,

__

Vapor Heating Corp—
of

Whitehall
>

West Coast Telephone Co.—
,

—,

Manufacturers

'

„A

40

street

1.00

products

7.1

12

4.5

3.2

Weyerhaeuser
changed effec-

Whitaker Cable Corp.

1.1

34

1.9

22,

_o

V*un^riFair Mills"——*n
,,

50%

4.6

25

as

Paper products and cordage

'

/t\

*

243/4

0.80
v

tive Sept. 1, 1959..._
Manufacture, conversion and sale
of forest products

2.5

strip

Trr*1".?

6.1

fl-15

13

and

Company

known

Timber Co. Name

36

Weingarten (J.), Inc.
supermarket chain
.

26

„

Formerly

producer

Micro

and

33

13

Weyerhaeuser

2.7

Vv*

Insur-

Industrial coatings, Chemical

Valley National Bank

(Phoenix, Ariz.)

-

4.9

26

water

gas,

40%

Manufacturer of automotive c»Wa

Watson-Standard Co

^

Van Camp Sea Food Co., Inc.

1959

1959

2.00

Engineers and constructors of industrial equipment

Manufacturer of paints, varnishes,

11

1959

20

Whitaker Paper Co

gas

of

pounds,

td

and

steel and

1.00

producer

Valley Mould

oil

Crude

casualty Insurance
gas

29%

accident and health

Producer

26

4.8

20

Washington Steel Corp..

-

,

"

.

Washington Oil Co.-

Insurance

Utah Southern Oil Co.
and

9%

-

——

>

-

Co. (Evanston, 111.)—

ance
Life,

0.50

tackle

Company

47

W

23

Washington National

T

Fire

■

Wire and springs

.

4.4

'

hook blocks and

■

Oil

10

Washburn Wire Co

5 1
*

/

24

01/2

2.25

-

?

Upson-Walton (The) Co.,—

TT+qK

■/

31%
-

fibre

''. '

.

electric,
telephone service

Printing papers & allied products

1.60

18

interior

Jl-51

12

Paving contractors .
Warren (S. D.) Co—

"

11

utility

and

"

,

Based jn

Quota-

secutive 12 Mos. to / tion .Payihts. tei
Years Cash June 30,
June 30,
June 30,

•

Western Massachusetts Cos...
Electric utility holding company
Western Precipitation Corp.-

Warren Bros.z..Co™-w™»— 46-- cc2.QQ.-,„58z:z:;;:3h1-

9 ^

-

glass frames

Exterior

"

14

:

Upson (The) Co.__

Utah

0 35

*

Upper Peninsula Power__>___
Electric

74

31

distributor"

and

9 q
■

house in Philadelphia
Warner & Swasey Co
Machine tools, earth moving machines, textile machinery, etc.

4 9

—

Univis LensCo

/'

Supplies

1.9

ci u

k-i

Owning and operating apartment

4 4

1 28

4.1

Id

Walnut Apartments Corp.___

'

'

1

"

.

% Yield

.

Extras for

Divs. Paid

20%

0.40

1 o

Auto parts

_

.

20

23

—

Wisconsin

Paymts. to

1959

22

_

Utilities, Inc

•'.; ;,/•
•

1959

Manufacturing Co. of

Wisconsin

ticn

Wire and metal
specialties

United

Walker

on

June 30.

30,

1959

I

1959

No. Con-

Western Light & Telephone.

(Winston-Salem)

Approx.
% Yield

12 Mos. to

Years Cash

United Steel & Wire Co

■

•

Extras for

secutive

1959

Approx..;

Including

on

$

including

No. Con-

Divs. Paid

Cash Divs.

,L:.

% Yield
Based

Quota-

Wachovia Bank & Trust

,

_

Cash Divs,.

,

'

'

•

Still Expanding
;v "'V.;

t

Extras for

'41

•

■'»" *5V, W

and

-

"

Including
No. Con-

•

,

"

■

request.

42

42

The Commercial and Financial Chronicle

(3390)

.

.

Thursday, October 1, 1959

.

-

D amL

son, Farmers
Menomonee

Pk.i

tlonK TVOmCR tIGCI
y'

II6W umcers

and Merchants Bank,
Falls, jWis.

"

The Over-the-Counter Market

Georgia Bonded Fibers,

Northwestern Division (Alaska,
Idaho, Montana, Oregon, Wash-

Stock All Sold

Biggest and Broadest - and
Still Expanding

of
Newark, N, J., on Sept. 15 pub¬
licly
offered
100,000 shares of
class* A
common
stock
(par 10
Sandkuhl

Inc.,

Company,

&

.

Secretary,'

BTe

t

^ional Bank- Oakesdale, Wash,

Compames
and Assistant Vice-President, National Bank of Des Moines, Iowa,
n

o n

Rocky Mountain Division
(Colorado, New Mexico, Utah,

National

Association

of

Bank

1959-1^60.

Women for

Mrs. Marion Anderton,

Assistant
Cashier, Bank of America N, Ti
& S. A., San Francisco, Calif, has
been

electe^

Others named
the

annual

vention

to

1959

being

Schroeder

waukee

top offices at

meeting

Association's

Hotel

Trust

w

.

opening

held

the

at

here

Mil-

in

(Florida,
Carolina, South

Division

Southwestern

Marie

t a

e c r e

Hulderson,

r y

—

Miss

Central

Mrs. Sue
Park> Bank of Cabot, Cabot, Ark.

Na-

Western Division (Arizona,

Monies, Iowa.

AinIirrAbS0nning Sec£eBess

♦
Alice Akes, Decatur County State

Bank

Bank, Leon, Iowa.
Treasurer — Mrs.
Ann
Beno,
Pullman Trust and Savings Bank,
Chicago 111.
m

Ip.i/inn1

3 m ft (i

of NABW for 1959-1960
T

i

T..

ivrink^orh

.

.

/T11.

nhf

w'ahi

tinn!u 'Kr
Bank
tional

of

divisions
were:

.

of B3nk 'Women

candidates

women

"

in

the

had earned the 10
highest scholarship grades of all
women who received the StandCertificate

ard

Mich.

cured,

Institute

Middle Atlantic Division (Delaware, D. of C., Maryland, Penn¬
sylvania, Virginia and West Vir¬
ginia): Miss Mary L. Chadwick,
The Riggs National Bank, Wash¬
ington, D. C.

of

Banking

of

in

its

New

on

The

July

on

8,

2.50

3514

7.0

1.20

22

5.5

23

0.80

18

4.4

—

14

2.60

49

5.3

143

1.20

29V2

4.1

17

-0.29

6V2

4.5

48

4.50

55

8.2

2.00

45

4.4

business

distribution
which

gage,

are

hat,

of

16I/8

3.7

York

leather

used

in

the

belt,

cap,

BOILER

&

46

_

_

steel

plate fabricators
Company's advertisement on

:

page

i.

42.

25

steels

Corrugating Co

York

County Gas Co

Operating public utility
Operating public utility

Yosemite Park & Curry Co._
Concessioner,

■

National

Young (J. S.) Co

shoe

'

.

wholesale plumb¬
ing and heating supplies

Licorice paste

Park
——

for tobacco

.

Younker Bros

*12

—

Midwest

Department stores In

and-

Zeigler Coal & Coke Co
Owns

alternates

and

-

Metal stamping,

1959.

manufacture

of

METAL

Cold finished

3.7"

—

retailer "of

and

Wyckoff Steel Co..

wholly owned subsidiary Bonded
Fibers Inc.
(Va.) is engaged in
the

...

instruments

and

See

•

together with its

company,

31

)

2.7

musical

Sheet

incorporated
June 18, 1946
of
Georgia

name

3.6

141/4

WORKS

was

Jersey

the

70

3.00

be

will

2.50

10.39

WYATT

accounts

$50,000

20
and

York Water Co.—————

se¬

general working capital.

company

adopted

located

are

Newark,

(Special to The Financial Chronicle)

Va.

GREENSBORO, N. C.—Robert
L. Abbott, John H. McKinnon and
Stephen L. Wilkerson, Jr. have
become connected with McDaniel

Lewis & Co., Jefferson Building.

„

New England Division (Connec¬

Names

Secretary

Irving Kreisman has been ap¬
pointed Secretary of Alkow & Co.,
Inc.,
50 Broadway,
New
York

Quin-

at

15

Illinois and

In

mines

f0,5.9

20 ^
"

Kentucky

lug¬

leather

AVHWUHVWVVHWUWVtHHUHUHHHVUVVVM

date.

declared

a

per

St.,
Vista,

Buena

|.;>>

The company

cents

Nuttman

J., and

■;

dends to

has paid

TABLE II

./
no

OVER-THE-COUNTER

divi¬

The directors have

cash

share

dividend
on

the

of

Consecutive Cash

five

class

A

stock, and one-half cent
share on the class B common

common

stock,

-

N.

.

per

ticut, Maine, Massachusetts, New
Hampshire, Rhode Island, Ver¬
M.

of

2.0

10

'

Leather Co. Its present name was

With McDaniel Lewis

(Iowa, KanMissouri, Nebraska):
Mrs.
Marie C. Wolden, Farmers State
Bank, Wallace, Neb.

Elizabeth

pledge

20 %

17

that

by

0.40

goods traces. The principal offices

Mid-West Division

Miss

by

for

under

year,

sas,

mont):

reduce

approximately
The

past

this

to

1959 *

;

el

engines

for

Company

Manufacturer

receivables, and (3) the remainder

American

the

of

agreement

1959

Wurlitzer

the "company's indebted¬
undeKa loan agreement se¬

ness

United

a' States, who

f^S'
^ n!t
Detroit, Detroit,

loan

a

1959

on

Paymts. to
June 30,

Worcester County National
Bank (Mass.).—- __ r -__

amount

Ar-

1959 .1C"ti

s

Speed controls
propellers

manner:

•

June 30,

22

*.

materials,
Governor Co

cushioning

Woodward

30,

Based

insu!

wallboara.

of

Manufacturer

latlng,

by pledge of its inventory;

$50,000

(2)

used

.

.,

__

under

ness

cured

not Reid Award. Miss Bere was
selected from among 11 young

T

n/?1S'

'

„

„

following

June

*

Wood Conversion Co.—

to reduce by that
the. company's indebted¬

amount

Irene Bere of The Merchants
National Bank of Aurora, 111.,
received the National Association

Virp-Pcp^i-

12®national

dents for the

Cal-

Hawaii, Nevada):
Miss
B. Stinson, First National
of Arizona, Phoenix, Ariz.

ifornia,

the

Cash

Divs. Pod

$150,000

(1)

Oklahoma, Texas):

sas,

tionaJ^Bank and Trust Company, '

Dea

(Arkan-

in

used

tion

\

.

general fund and as such may be
applied to any corporate purpose.
The
company *' presently
antici¬
pates that such proceeds will be

Company, Miami, Fla.

were.

Recording S

become

Quota-

12 Mos. to

Ye2rs

proceeds to be received
company are initially to
part of
the company's

the

by

Louisiana, Kentucky, Mississippi,
Tennessee):
Mrs/ Vivien
Stanfordj Bank for Savings and Trusts,
Birmingham, Ala.

con-

(

% Yield

Extras for

secutive

'

.

Approx.

Including
No. Con-

.

The net

Southern Division (Alabama,

the

national

sold.

been

have

Essi^e Mae Cail,
of The Florida National Bank and

Vice-President

the Association.

Inc.

Southeastern Division

Georgia, North
Carolina) : Miss

Cash Divs.

of Georgia Bonded, Fibers,
at $3 per share/All shares

cents)

Wyoming): Mrs. Betty Vortman,
Albuquerque
National
Bank,
Albuquerque, N. Mex.

has been elected President of the

Continued from page 41

payable

Oct.

30,

shareholders of record
1959.

ham, Rhode Island Hospital Trust
Company, Providence, R. I.
City, members of the New York

on

1959

DIVIDEND PAYERS

to

for

Oct. 15,

/•;■■■■•

«

r

5
Mann, Diamond

10 Years

to

to Admit

Mr. Kreisman
Nopth Atlantic Division (New Stock Exchange.
On
Oct.
1
Robert
A.
White,
Jersey and New York): Miss Ruth was formerly Assistant Secretary."
member of the New York Stock
R. Roy, Security Trust
Company,
Exchange, will become a partner
Rochester, N. Y.
Herbert D. Fransioli
in Mann, Diamond &
Co., 400 Park
North Central Division (MinneHerbert D. Fransioli, member Avenue, New York
City, mem¬
sota, North Dakota, South Dakota, of the New
Yjork Stock Exchange, bers of the New York Stock
Wisconsin): Mrs. Evelyn Wilkin- passed away on Sept. 6.
Exchange.

WWWVUHUUHHWWVUVHUHHUHWWW

V

Cash Divs.

.i——No. Con-

Including

Approx.
% Yield

Extras for

Quota-, Based on

secutive

12 Mos. to

,

'

Years Cash

June

Divs. Paid

•

•"tion

June 30,

Paymts. to
June 30,

1959

30,

1959

1959

I

Air

Products, Inc

Low

5

0.20

63

0.3

8

f 1.05

26

4.0

7

0.50

5

1.85

29

6.4

9

1.20

45

2.7

8

1.40

40

3.5

6

0.83

191/4

4.3

7

...

0.70

11

6.4

temperature

processing
industrial gases

equipment and

Alaoama

Tennessee" Natural

Gas Co

——

Pipeline

Allen

C.) Business
chines, Inc.

NEW HIGH PEAK LOADS IN 1959

—"

(R.

Thermal

Holding
•'

'

During the

summer

J.

•

_

"

established

Greetings

highs

for

Manufacture

maximum

day's

water in 21

of the 27 communities

we

serve.

of

greeting

Home

card*

Assurance

Corp.

—

Diversified

delivery of

5.6

Corp.,

Class B

of 1959 California Water Service

new

Corp

heating equipment

co.,

American

•

American

Company

9/

Adding machines, typewriters, etc.

'

'

Allied
«.

Ma¬

insurance

Arrowhead & Puritas Waters,
Inc.
—

_

Bottled

Advance

handle the

planning put the capacity in these systems to

drinking water
Atlas Finance Co
Auto

-

new

highs. Careful training enabled local staffs

give the company's usual high quality of service during

Bradley
Games,

more

...

.

9

nailing

machinery

f-0.19

5Vs

3.7

5

0.50

24%

2.0

8

0.85

27V2

3.1

•

...

bearings

(Milton)

Co

_

toys and educational

teaching aids "T•

California

hall

•

_

Corp.

Precision

peak load "conditions.
In

Co.

Manufactures

Barden

to

■/'■..

financing

Auto-Soler

than

800,000 people depend

service from California Water Service

Details

not

complete as to possible longer record,
stock dividends, splits, etc.

t Adjusted for

on

Company.

WYATT METAL & BOILER WORKS, INC.
Fabricators

CALIFORNIA WATER SERVICE COMPANY




and Erectors Since

1913

Dividends Paid 46 Consecutive Years
PLANTS IN

374 West Santa Clara Street

San Jose, California

Houston

-

Dallas

-

Corpus Christi

Texas

SUBSIDIARY

Wyatt's

Plastics, Inc.

Houston
.

Texas

Wallis

AFFILIATE

Wyatt de Mexico S. A. de C. V.
Tlalnepantla
Estada de Mexico

*

,

Volume 190

Number 5886

.

.

The,
dnarifjoC
Financial Chronicle

.

The Over-the-Coimter Market

Biggest anil Broadest

As time passes,

Bank and Insurance Stocks

and

-

BY ARTHUR

Still

exceed

% Yield

Extras for

secutive

12 Mos. to

Years Cash

dune

Divs. Paid

Quota-

Based

tion

June 30,

5

This

Paymts. to
1959

With

'

..

Telephone Co

6

0.70

141/?

6

0.10

lift

9

—...

1.60

38

-

Recording,

i

manufacturing

wholesaling

of

rfecords,

and pre-recorded

Carlisle Corp.
Inner

tubes,

tires,

9

brake

lining,

oil

wells

■

„

24%

9

0.41

5%

7 1

6

.

0.80

32%

2.5

8

1.30

"Kentucky Derby"

183/4

the

6 9

with 4%

*6

fl.02

27

3.8

on

fO.925

241/2

3.8

0.90,

8

19%

4.6

ings
8

0.80

27%

in

r* 2.9*.

freight

Products

*

-

-

Holding

0.30

16

8

ffl.20

29

...

5.0

co.

V

___!

5..

0.70

11%

and

f0.81

29%

2.7

the

for

reason

1.13

9

20.00

250

8.0

;::6

0.40

20

2.0

correcting

8

fO.67

.28

2.4

funn"nVaarounforhunderba6n0%

9

0.75

25%

3.0

1.5

19%

5.8

5%

Co.

Co.,

Inc
Motor

common

Carrier

"

'

■

5

fO.59

40V2

5

------

Office equipment

0.50

18%

j

Di-Noc Chemical Arts, Inc.__

.

some

2.7

cannot

Manufacturers. of

plastics
and
materials,
lacquer
grain finishes

stock

photographic

18

Co

5

0.60

10 y2

5.7

Industries, Inc.______
traffic

and

7

0.40
0.10

Brothers Co

7

_____

coffee

and

0.40

re-

list

has

had

about

7%

5.5

this

department

value

of

largely meaningless
cases

6

0.50

of mergers or

nonetheless there

5.0

10

y

,

^

Casualty Co.
(Battle Creek, Mich.)____

$51,000,000

about

in

the

week1

ended with the 23rd. This compared with a dip of $13 million
in the like period of 1958. But at
the same date the cumulative increase for mid-year in 1959 wag
set-ups.
$383 million, versus a decline in
If we have an 8% to 10% in- the same 1958 period of $20 mil-?
crease in
operating earnings by lion.* Let nobody say that the
the leading New York banks'-^- loan facilities of the large banks
which, to. this department seems aren't taxed with heavy demand,
a very reasonable expectation—it certainly will admit of
additional pay-outs. One possible

to be

help
the
the

E. J. Duffy Opens
Own Investment Office

higher income for
will be settlement of

toward
banks
steel

strike,

for

J. Duffy is

Edward

inventories
will need

conducting

his own investment business from
replacement by access to bank offices
at 111 Broadway, New
credit.
York ,City. He was formerly a
On investments, as long as the partner in Edward J. Duffy & Co.
will

be

used

up

present

high

interest

and

..

in effect the banks will

rates are
be utiliz-

FWm Firlelitv Spcc
short-term paper. After
rurm riuciuy oecs.
a
bank cannot hire out' all
BALTIMORE, Md—Fidelity Se*
its
funds;
the present average"iti
r
i<5 rondnf,tini? a <?eratio of loans to total assets is curmes uoip.
conducting a se
about 461/2%, with government curities business with offices ii|
holdings about 19%%, and it is the Garrett Building. Officers are

ing
all,

very

doubtful

that the banks will de-

piete their securities investments

William

Meyers,

President;

Ar-

thur Merican Vice-President and

further to feed the loan demand, Treasurer; and Elinor Merican,
on.a

5

1.00

.

_

Pacing California's Growth
Common stock of tbe world's

BANK
.M

largest bank offers investors sound
op

growth and liberal yield.

AMERICA

Active

stock

Trading Market

is

—
except in
liquidations—

First California Company

those inves--

are

'

that

INCORPORATED

0.30

11

2.7

INSURANCE

EXCHANGE

•

EXCHANGE

MIDWEST STQCK EXCHANGE

(ASSOCIATE)

Bought

Sold

—

—1

LOS ANGELES

%

647 S. Spring St. Teletype LA 533*

300 Montgomery Street Teletype SF 885

STOCKS

<■

t Adjusted

Continued,

STOCK

SAN FRANCISCO

Gulf Coast

to possible longer record.
for stock dividends, splits, etc.
10% stock dividend paid on May 1, 1959.

STOCK

and

;

Details not complete as

COAST

PACIFIC

AMERICAN

1.0

7 '

~

MEMBERS:

BANK

97

5

accident & health

Secretary.

proportionate basis.

'
v

Fifteen Oil Co

ff Plus a

The Sept. 25 Federal Reserve
report shows business loans up

^UNDERWRITERS AND DISTRIBUTORS

Federal Life &

gas,

tll;icates of indebtedness, snort
notos, etc. All or this seems to
Ps..
translate into decidedly
setter operating earnings ror tne
.JNew-York banks,

along, possibly, to a small degree
by temporary lower prices; mainly
by increases
in
cash
disbursements or by stock dividends with
maintenance of the present dividend rates on the new capital

seasoning compounds,

Soup bases,

realize high returns on very short
ns,« Treasury bills, cer-

week

a

feels

bank

a

«■

Fearn Foods Inc.___

Oil and

seem, in many quarto have the cards stacked
against them.
But we are persuaded that the
returns will b$ adjusted as we go

there is no reason why
"sweetening" of dividends
be resorted to.
The bank

while

products

etc.

The

1.6

6%

book
roast

condition.

2.2

18

etc.

Wholesale
lated

,this

prices, the

ters

only are yields on the bank
stocks
losing ground,
but they
are almost all selling at a sizable
premium above book value; and,

signals

Fairbanks Co.

Farmer

strong point of
stock. So, when
and book values

a

under market

Not

Supplies Oak Ridge

pumps

low

are

well

heavy selling.
Much
of
it<
probably comes from banks whose
trust departments are busy mak¬
ing the switches indicated above.

2.5

East Tennessee Natural Gas

Mfrs.

yields

a

of

0.45

Variety chain in South

Valves,

high

„

Eagle Stores Company, Inc.7

Eastern

of

obtained

future,

bank vault

and

products

wood

from

of
operating earnings.
Heavily
backed up with reserves of all
kinds, and particularly reserves
against possible loan losses in the

,*

Denver Chicago Trucking

Diebold, Inc

make

the equity

have

-

etc.

pumps,

better

even

bonds?

Of course, there is a method of

Co

De Laval Steam Turbine
Turbines,

and

grade

,

Insurance

Diversified insurance

♦

the

7

Y

Denver hotel

Craftsman

Life,

lies

price showings of the bank
Why should the investor
buy these issues when he can get

Operating public utility

V

of the New York Trust

stocks.

"

Cosmopolitan Really Co

.

banks, yet we are
singularly bad market for
bank shares.
With the dis-

poor

9

tubes

Corning Natural Gas Corp.__

.

the

Therein

6.9

Transports commodities

Cooper Tire & Rubber Co.__
Tires

earn-

about ten large New York
City banks, and the present average
yield is only about 3.87%.

v..

Lines, Inc

higher

only

4.1

Continental Transportation

exempt

from the quotation lists, we have

sano

Consumers Water Co.

tax

are

selling at unheard-

are

appearance

7
and

slightly higher
bills.
In
Canada
on high grade

There

for

a

,the

Co.
Gravel

defi-

are

even

of levels of yields.
All of this spells

Telephone service

Consolidated Freightways, Inc
Rock

and

bonds that

gas

(Dallas, Pa.)

Consolidated

we

condition in which

a

Treasury"

bonds.
5

—

Commonwealth Telephone Co.

Motor

be,

may

6%% is to be had

Commonwealth Natural Gas
natural

by

needs

banks will be heavily loaned
Interest rates continue strong,

up.

.

Diversified insurance

of

that

ever

nitely in for

Civil Service Employees
Insurance Co.__

Transmission

for

good

holding company

Corp.

the

is

reason

Money is tight, although there
those who say that a normally
banking
proposition
can
readily be accommodated. How-

3.3

.

Churchill Downs, Inc
_

it

as

two-pronged

are

Central Public Utility Corp.__

-

q.80

bicycle

etc.

Texas

And,

when crops are moved, we
a

expecting large money
the public.

:

__

tors who

bank shares

have

"

and

figures
running

been

are

about.

season

4 2

albums

tape

Cedar Point Field Trust, ctfs.

A

2

equipment

Capitol Records, Inc

income

have

spread

4 8

/2

they

this year, there can be little doubt
that Christmas cheer will be well

I5y2:—0 6

Telephone service
Gas

national

where

Cameo, Inc

Week-—Bank Stocks

-

California Interstate

that

long-term

low coupon
media- The large banks now are
well off in that they are able to

>

1959

those

the

on

on

June 30,

30,

1959

•

the large banks
bonds that

long-term

investments at rates that probably
Approx.

Including
No. Con-

PRIVATE WIRES TO NEW YORK AND ALL DIVISION OFFICES

Quoted

Offices Serving Inves fors Throughout California and Nevada

44

on page

Laird, Bissell & Meeds

■r

Members New

York Stock Exchange
Stock Exchange

Members American

120 BROADWAY, NEW YORK 5, N. Y.
'

—Telephone: BArclay 7-3500
Bell

PROFILE

Teletype NY 1-1248-49

OF

GROWING

A

COMPANY

Specialist* in Bank Stock*

California Water &
J

'I....

BROKERS

m

NATIONAL

k

DISTRIBUTORS

AND

BANK

'W 5:

1

London

13 ST.

Foster & Marshall
S
i

i

tuK

PORTLAND

•

.\change

*

SK'TI l.t-

\it

Sl'i) A.

York Stock Exchange

New

MEM HE US

> 11 r

•

i

i •'!

*

i*% V.KN K

•

Amt-i

As>ocialt:>. Ch:cag" iio..rtl :,t
i

y j>c

SI*.

4

Y \ Ki M

•

*

—

•

i

.

'

<'

%

""r'*'
'V -

i

•

!

.-n

a

r

.

Tax

Depts.:

54

'

■

J.

•„

•

.

'

/

A,

^ >*'

•




/'

',;t

13 St. James's

.

.

!'•

'

'

,

r

,

A*

IQhI ^

telephone properties of this company now

St.

11th

properties, located in

the nation's almost 4,000

part

water

of Los Angeles County,

portions of San Diego County, and

on

Peninsula, provide water service

mated

&

among

Independent Telephone Companies. Our

terey

MM >L.)RD

Sq.

the Mon¬
to an

esti¬

population of 200,000 in these rapidly

growing

Bankers to the Government in: ADEN, KENYA,
UGANDA, ZANZIBAR
&
SOMALILAND

areas,

—-

-

PROTECTORATE
in:

INDIA, PAKISTAN, CEYLON, BURMA,
ADEN, SOMALILAND

,

140,000 tele¬

'

Ml

TANGANYIKA, ZANZIBAR,

'

/J""*,,

-/v.

Parliament

ie

I'D'

Dt.'i M i't.\

W

v7

fi).

13 St. James's Sq.; Govt.

Branches
**"'

©

STREET, S.W.I

Rd., Nairobi;. Ins. Dept.: 54 Parliament
St.; Travel Dept.: 13 St. James's Sq.; In¬
come

.

E.C.8

JAMES'S SQUARE, S.W.I

Trustee Depts.:

Investment Securities

S-.

The

rank

Branches

54 PARLIAMENT

»

than

phones in diverse areas of Southern California.

Office:

26 BISHOPSGATE, LONDON,

I

-

to more

TA

v

LIMITED

Amalgamating National Bank of India Ltd.
and Qrindlays Bank Ltd.
Head

Corporate and Municipal Securities

GRINDLAYS

Telephone Company pro¬

vides modern service

UNDERWRITERS

■_»(,

43

they have carried for some years
come to maturity. The funds from
these securities can go into new

WALLACE

B.

seeing

are

Expanding
Cash Divs.

■_

(1391)

REN*A,

UGANDA.

PROTECTORATE,

NORTHERN AND SOUTHERN

RHODESIA

California

"^3

300

MONTGOMERY

Water & Telephone Company
STREET

»

SAN

FRANCISCO.. CALIf.

.

44

The Commercial and Financial Chronicle

(1392)

Cash Oivs.

The O ver-t h e-Coun te r Ma rke I

Appro*.

Biggest and Broadest - an<l
^
Still Expanding

Continued from page 43

.

.

Natural

Approx.

Quota-

secutive

12 Mos. to
June 30,

tion
June 30,

Paymts. to
June 30,

Oivs. Paid

food

1959

1959

1959

6

—-

Natural

Mutual

2.2

19%

fO.425

nuts

Portland

4.1

Sommers Drugstores

60

3.1

Sorg Paper Co...

1.20

26%

4.6

„Stock lines and specialty papers;
Southern Nevada Power Co.

0.40

41

6

0.90

26%

;

•

0.45

8%

5.3

Natural

cement

81

3.25

4.0

9

Natural gas

11

9.1

1.275

23

5.5

46

3.4

Class
-

,

ggl.60

6

7.7

9%

0.75

Government Employees
Auto

,

7

fO.74

47

1.6

Norris-Thermador

1.00

20

5.0

North

financing

Metal

utility, electric

and gas In

Greenwich
Public
natural

Co.—

Gas

utility

—

•

Distributor

Book

Hagerstown
Natural

Bonwlt

_

8

1.26

28'A,,. .4.4,

2.65

67

4.0

8

0.75,

20 %

3.7

products *

paper

.

N.

aircraft

Manufactures

Jacobsen

and

home

13%

0.80

8

Manufacturing Co.-

lawn

Y.

7

Corp

9

3.00

8

0.40

56

*5

1.60

22%

7.0

4

0.25

5%

4.5

Plastic

of molded

and

Portable

pulp and

Cement
9

*
2.40

6

—

0.60

5.7

8%

7.1

t.

v.
,

Cold

chain

7

0.25

3%

6.7
'

•'

Aetata

6

1.75

Marmon-Herrington

9

f0.53

Co.

Inc.

76

2.3

14%

3.7

Radio

electric

and

supplies

1.8

8

0.40

7%

7

fl.00

22%

4.4

3.00

500

6.0

ing Co.—

1.60

54%

Disintegrating Co

.

9

0.40

24%

Ordinary

...

3.6

United Transit Co.

kk0.30

2

21%

4.6

8

fO.135

43%

0.3

.8

1.50

30%

4.9

6%

9.2

pipeline

and

-

group

Sugar Corp.

4.2

24

1.00

page

37.

19%

1.8

15%

3.9.

0.90

14

6.4

9

0.50

10%

4.9

6

1.00

15%

7

Corp

0.34

7%

Waverly Oil Works Co
Oils,

and soaps

greases

5

0.25

8%

3.0

Weco Products Co.

6

tO-77

19 %

3.9

Western

Utilities

-

company

Corp

6.3

and

,

4.5

publishing

telephone directories

9

9%

0.20

2.1

•

Details

complete as to possible longer record
stock dividends, splits,, etc.

not

for

14 %■
7%

0.7

s0.28

5%

5.3

2.00

50 %

4.0

9

0.40

6%

5.9

bids

7

4.00

73

5.4

sellers for all securities listed

42

3.6

„

2.0

0.30

6

Co

0.05

Difference Between Listed and

parts
con-

\

Over-the-Counter

Trading

tuners

button tuners,

Class B

7

The

loans

<fe

•

heels, bowling pins, etc.

Wood

ufO.33%

0.60
0.30

9

(Del.)

lines

Vending machines

Vulcan
on

7
7

bus

Co

9

-

cranes,

and

exchange market is often referred to as
market because a stock exchange

auction

an

provides

pumps

Co

Superior Co
—

-

—

9

0.20

17

1.2

5

0.50

33

tion

and

focal point for the concentration of

a

offerings of potential

marketing in

a

on

purchasers and
it. Genuine auc¬

security cannot be

main¬

tained, however, unless there is sufficient activity

1.5

in it.

:{

In those

cases

•>

•'

^ .•<

where less active securities are

15.0

Property Interests

traded

*

Details not

complete as to possible longer record,
t Adjusted for stock dividends, splits, etc.
kkPlur. $0.56 per share repayment of capital.

States

Urban

Pistols and revolvers

8

1.00

Pipe

Insurance

health

38%

7

Concrete mixing equipment
Smith & Wesson, Inc.

Oil Co., Ltd.

gas

Life

States

accident,

t Adjusted

Smith (T. L.) Co

1.6

powders

natural

1.40

Rockefeller Bldg., Cleveland

Mexican Eagle

6.3

2.4

1.50

auto push

614

equip¬

24

23

8

Gas

United

Magazines and general printing

Industrial

lubrication

1.50

0.555

freight—common carrier

Holding

variable

Rumford Printing

ment

5.0

9

4.3

7

electronic

components,

hoists

2.9

25%

*6

58

Rochester, N. Y., bus lines

8

1.28

casualty-

2.50

7

Rochester Transit Corp..

HffcNeil Machine & Engineer¬

3.2

•

6

Manufacturing motors, 'fans,

7

Limestone

5.1

9%

Insurance

——

Vendo

Rob bins & Myers, Inc

material Service Corp._r—

23%

etc.

Condenser

Personal

"

products

—

Co. in the City of N. Y

specialties

Ritter Finance Co.,

known as Marsh Steel
Name changed in February,

1.20

0.30

Sugar production

Inc.—

military

5.4

Formerly

6

7

:

system

Mexico

——

densors,

{Marsh Steel & Aluminum Co.

presses,

19%

and" cable

c.-

valves,

4.9

concrete

Line Corp.

tools

Manufacturing

®

Heavy duty trucks, mining equip-

curing

f0.34

storage facilities

Pumps,

Louisville Investment Co.——

28%

Toiletries

Machinery,

J.

and

Transcontinental

Racine Hydraulics &

key (Fred T.) & Co.—

4.4

7

cement

6.5

25%

Quaker City Cold Storage Co.

cement

13%

1.40

>

;

2.6

154

tools

Portable

■

42%

-

0.60

9

Natural Gas

*5

Co.-

Porter-Cable Machine Co.

3fjee-& Cady Co

machinery,

10.00

f0.66 1

r

Portable Electric Tools, inc.-

articles

—

and

Co.

United

advertisement

rubber

3.5

9

Transcon Lines

and

—

wire

covered

8%

-

Lines,

Transmission..

General

Wre &

.

9

Plymouth Rubber Co

4.6

25%

fl-18

9

Portland

tAol

1,9

CABLE

&

See Company's

•
—_

grocery

WIRE

0.30

■

'

.

Interstate

New

&

CORP.

.1—

Keyes Fibre Co.____

Wholesale

2%

fO.05

7
*'

7

Corp.—

Gas

5.6

7

Insurance

Life,

Natural

PLASTIC

0.7

nuts

Manufactures

Title

Toronto

market chain

West Texas

Plastic

Co.

'* 4.0

gas

Pioneer

jewelry stores

Keystone

3.3

2%

7

6.3

48

Serves

——

Kelling Nut Co

plastic

12

0.40

components.

Philadelphia Fairfax

6.4

5%

"

——

Motor

2.9

0.20

62%

0.30

Title Guarantee and Trust Co;

Philadelphia apartment house
.

Kay Jewelry Stores, Inc

fibrous

*

hydraulic

4.00

6

Cffrp.—..

Pipeline Co.

2.9

3.6

,

8

—

financing

(N. Y.)

Corp...

of

5%

paper*

Natural gas transmission
.«">
Texas Industries, Inc.——

real estate

C.

0.20

2.6

chain

Texas Illinois

\

equipment

Natural

mowers

Manufacturer

6%

0.10

-

Regional super

6.1n

Pacific Coast

on

8

8

—

Petersburg Hopewell Gas Co,
~

Kaiser Steel

*

4.2

0.20

5%

products

Penn Fruit Co. Inc.

Mortgage banking and real estate

Metal

17

8

Manufacturing Corp.

fluid system

#>

■

electric

Jersey Mortgage Co

ttletals

0.72

0.15

^

Operate# natural gas pipelines

5.5

7

Gas Co.

...

Manufacturer

4.6

65

3.00

8

equipment

Tire

29

1.5

5

coated

&

Texas Eastern

1.60

137

charcoal

Discount

Inc

5

*

3.8

2:00

7

.

Pips lines

6

Park-Lexington Co...,.

Jiack & Heintz, Inc

•

Co.

—

Laundry

producer

Printing,
publishing
study schools

1959.

5.3

advertising

Corp.

Pantex

-

International Textbook Co.-_

Co.

11%

and

bonds

Aggregate,'

Parker-Hannifin

Metal

0.60

distributor

Trailers——

::

Coke

ment

9

26

:/./

—

Tennessee Natural Gas

•<

6

—

Natural gas

V P

4.3

products

Outdoor

Palace

Indiana Gas & Chemical Co.—

*r

Works
N. Y.)

Co.

*

& Paper Corp.,
and

paper

Edible

17%

Pacific Outdoor Advertising

4.1

14%

0.60

6

____

Teller,, women's stores

Class A

Retail

0.75

^

Water

gas

,

Plastic

6.3

13

0.825

8

Hugoton Production Co

Leader

...

Northwest Plastics, Inc

Gas Co.

Hudson Pulp

Power

9

3.6

1.00

Paper Manuiactur-

Restaurant

Sterling

water

Natural

and

supplier

gas

Hoving Corp.

*

7.9

Auto

utility

Northwest Natural

2.9

33%

0.95

6

_

of

Knowledge"
"Encyclopedia Americana"

Pulp,

16%

fabrication

Co..

Gas

(Northport,
3aie

1.30

8

ingCo

gas

Grolier Society, Inc
"The

Northport

5.5

12%

0.70

8

of

Corp.—

stamping and

Penn

Natural gas public

Vermont

7

screening

8

Corp.

Green Mountain Power Corp.
Public

metal

Insect

3.6

13%

•

grain

Sulphite

distributor

N. Y. Wire Cloth Co.—

Refining equipment

8

Mills, Inc

Steak 'n Shake, Inc
.

Glitsch (Fritz W.) &.Sons, Inc.

"

11

f0.49

Milling Co.

Standard

4

9

10

B, voting

Flour,

/.

Gas Co.

0.40

chain

Tobacco merchandising

.

and Pennsylvania

gas

1.00

9

•

9

1959

Commercial

Standard

products

Co

June 30,

1959
.

Newsprint

Tobacco Co.

6

30,. June 30,

*

•

Paymts. to

utility

Standard

financing

grade crude oil
New Jersey Natural

•

3.4

store

Southland Paper

7

Rational Gas & Oil Corp.....

1-0

Inc.-9

drug

Electric

Club,

Mortgage &
Co

Cranberry

products

Giant Portland Cement Co.—

24%:

•: tion

1959

/■,

1.875

*6

June

Divs. Paid

:

:

1.00

6

6

National Cranberry Assn

,

almonds

Gamble Brothers,
Lumber

4.1

16

0.65

9

—

-

distributor

gas

Mortgage

(R. E.) Co

and

Years Cash

1959

1959

insurance

Investment

——

.

Sheller and packer of pecans, wal-

....

Common and VTC—

products

Funsten

30,

1959

12 Mos. to

Approx.
SJ %.
% Yiefd
Quota-.. Based on

:

Extras, for

secutive

Paymts. to
June 30,
June 30,

Thoroughbred horse racing

of

distributor

and

including
No. Con-

•

Retail

Co

Surety

Monmouth Park Jockey

$

Manufacturer

I

Mississippi Valley Gas Co

Based on

Years Cash

Frito Co.

June

on

distributor

gas

Diversified

% Yield

Extras for

,

,

Cash piy;.

tion

Michigan Gas Utilities Co

No. Con1

12 Mos. to

Cash

Based

*

Michigan

Including

Quota-

Divs. Paid

.

Cash Divs.

Extras for

Years

Thursday, October 1, 1959

.

:•

■''

.

.

% Yield'

Including
No. Consecutive

I

..

.

.

,

Details not complete as to possible longer record,
t Adjusted for stock dividends, splits, etc.
ggPlus a 2% stock dividend paid on Dec. 1, 1958.
uPlus a 25% stocfk dividend paid on Nov. 1, 1958.

on an

exchange, it devolves upon the stock

specialist for each particular stock to create a
Dividend rate

is still 40c annually.

market, in the absence of sufficient public orders

AT Y01R SERVICE...
ALL KAYS!

we

consistently try to fill ALL

,

TV

-i, ■

*; *x

•

NEW.

J ;

;JEBSEY

your

banking needs.., better!

BANK
• HO

TRUST

,Member Feberll
s

C

The
Shl

22

offices

and

ami

wj en

xxiaecticu.t

♦

MUK

m»m

CH l

M.

HBMMm

Mug en

.17 Offices in
^

.

Heieme'Sifetem

Member Federel Deoos.t Insurence Corporeikyi

Clifton, Haledont

Little Falls, North

Haledon,'

Passaic, Paterson and West Patersoii
••f'-* '•
c:

Mailt

Bridgeport

GROWING!




mr

.

COMPANV

Member; Federal Deposit Insurance

Corp.

•

Federal Reserve System

..

'■1069'

Volume

190 " Number

5886

...

The Commercial and Financial Chronicle

(1393)
to buy or
sell, by, in effect though not in strict
parlance,; putting in an order for his own account.

In other
words, if you wanted to sell 100 shares
of XYZ stock and the

specialist had no order from
buy that stock, he himself would

anyone else to

be expected to enter

reasonable bid

a

on

his

own.

The

continuity of any market thus created is
largely dependent upon his financial resources
and his
willingness to thus risk his own money.

on

the West Coast between the hours of 7:00 and

2:30.
ties

However, in most instances unlisted

tem

tend, to

in the

Midwest, and on the West Coast it's even
longer than that. Dealer-brokers in the Over-theCounter Market there
the

are on the
job from 7:00 in
morning until 5:00 in the afternoon.

The Over-the-Counter

is quite different. Here there are a,tremendous
nubriber of dealer firms from coast to coast that

interest themselves in
making a market for un¬
some listed stocks and bonds. Most of

listed and
them

communicate

can

with

taneously through private
other facilities at their

Thus many

each

other

telegraph

instan¬

wires

or

disposal.

over-the-counter dealer-brokers, in

New York, for instance, will be

doing business
throughout the day with other dealer-brokers in
Boston, New Orleans, Chicago, St. Louis, Denver,
Los Angeles, San Francisco, Seattle and other
cities from coast to coast. As

integral part of
their operations dealer-brokers stand
ready to
buy and sell substantial quantities of the securi¬
ties they are
"quoting" and maintain inventories
in them. Some
firms, of course, choose to; act
solely as brokers and not dealers.
an

Because of competition, the spread between the
bid and the asked
is

quite

narrow.

figures

active stocks

on more

In less active stocks the over-the-

counter dealer must find contra-orders if he does

hot

wish

to

securities

which other

might have
;

inventory positions in the

assume

involved.

It

in

business

to

dealers in all parts of the

a

buying interest in

One, five, ten, fifty

dealers

his

is

different

a

know

country

given security.

over-the-counter
the country may

or

more

parts

of

interest themselves

in-"making a market" for a
given unlisted security. Prospects known to the
first dealer, or known to those other dealers he
contacts f (either

cities),

often

believed

locally or in other
individuals who are

include

Counter Dealer

When

Market

On the Over-the-Counter Market the situation

may
to

Exchange Commission Rates

mission

on

buys from and sells to

firmation.
acts

just

ness.

The

as a

Intelligent investors

furniture,

a

that prices and values are two
ferent things.;V.!'...

before, the assumption of inven¬
integral part of the over-thecounter dealers' task.
They must take the initia¬
tive in assuming such positions.
Although they
must be aware of and
responsive to the foibles
of their customers,
they cannot without unwar¬
ranted hazard buy securities for
inventory pur¬
poses
unlesfs they > take cognizance of basic

usually

a set of dining
what have you,

or

the merchant sells it to
you at a flat price and
does not add
any commission thereto. So with the

an

economic values.

"counter" dealer.
Basic economic values
It is true that

often

than

not

exchange commission rates
are

lower

over-the-counter dealers
on.

the

An

important

services

of

reason

the

elusive, but they

more

than

the profit- rates
obliged to operate

are

sist

dealer, be¬

frequently necessitating his taking the risk
of an
inventory position, include the extensive
searching for matching bids and offers from
potential buyers and sellers.
v
a

security is taken from the Over-the-

Counter Market and listed

on a stock
exchange,
ordinarily lose interest
in it, for
they cannot make a profit trading in it
aty rates comparable to the commission charges
of
exchange firms. Though the "counter" dealers'
profit rates may be somewhat higher, they may

over-the-counter

afford

investors

dealers

"better", prices

than

the

officers and directors of the
corporation.
Speculation as to how the present and possible
future products of a corporation will fare on the
markets may be handled
numerically only to a

less

Values
one

Counter Market.

'*

certain extent.

thing, the basic fact is that the price

of over-the-counter stocks is not swollen

When

an

individual

majori characteristic,

market

of the "counter"

too,

stocks without

he may at

pay

exchange-listed securities. Then, too, active

listed stocks and the

A

by the

premium the public is ordinarily willing to
for

exchange stock ticker

consistently

times make money, but

he will book losses. And

"counter" .dealer

find

to

Market

the

thus

sys¬

no

physical

limitations.
As
any

up

a
practical matter, though, individuals in
city of 100,000 or more can frequently pick
a phone and call a dealer-broker and get an

execution

order for an unlisted
security
momentarily—often while the call is progressing.
on

an

Some "Counter" dealers sell

directly to inves¬
they may have a
dealer following
throughout the country consist¬
ing of retail firms that are always looking for
securities that present
good values to sell to their
tor^ themselves. In other

cases

,

investor clientele.
1

.ORRISON-KNUDSEN COMPANY, INC., has had

Numerous exchange firms also deal in over-thecounter securities and
any that do not must
or sell to an over-the:counter dealer to

from

buy
exe¬

cute customers' orders for unlisted securities.

Many listed securities, too,
counter when the blocks

quick orderly sale

on an

An investor need not

intricacies

enumerated

are

too large to make
exchange possible.

concern

above,

a

himself with the

since his dealer-

broker will obtain current market
quotations on
any over-the-counter stock or bond, and handle
all details of purchase and sale.
The

longer trading day in the Over-the-Counter
a
distinct advantage to the in¬
vestor. On an
exchange, securities can only be
Market is often

sold in New York between the hours of 10:00 and

3:30; in the Midwest between 9:00




and

record
of

out

seven

dividend

2:30, and

since

the

past

and

1939

eight

has

and in

cash

dividend

paid

In

years.

plus 5% stock dividend.

paid

sold over-the-

are

dividend

.40

1955

In 1951

a

each of the following three
per

share.

In January

of

.40

per

per

unbroken

an

share quarterly

it paid

$1.50

per

it paid

1959 it paid

extra

an
an

extra

in

share

15% stock dividend

years

dividend of .20 pe*- share on 1958 earnings.of

was

.80

cash

Regular quarterly dividends

share have been paid for the' first three quarters

of 1959.

Morrison-Knudsen Company, Inc.
Contractors and
1912

may

Continued

opposite. The

has

sooner or

although he

is

Over-the-Counter

—

Engineers

1959

THE II. K. FERGUSON COMPANY

purchases

regard to basic economic values,

negotiation,^ If a gap in price exists
after a prospect is found, the transaction does not
die. Instead
negotiation ensues. The mere exist¬
ence of a
buy or sell order is the incentive for
the

ele¬

the

expensive service of" exchanges.

For

non-mathematical

Some

insights as to the real value of a
stock may be gained
by checking such things^ as
its earnings and dividend
records, book value and
liquidating value. But the first three of these are
:tied to the past, and subject to the fact that
accounting is an inexact science. And liquidating
value may be largely of academic
significance,
if the corporation is
going to continue in exist¬
ence. The
anticipated future average annual net
income of a corporation
may be capitalized nu¬
merically, but not without reference to many
non-numerical concepts. These include the acu¬
men, initiative, imagination and forcefulness of

sides

When

may appear somewhat
nonetheless real. They con¬

of mathematical and

ments.

for this is the fact that

over-the-counter

are

.

The process of
constantly seeking out buyers
and
sellers is characteristic
of the Over-the-

totally dif¬

As pointed out

tory positions is

buy

fountain pen

"exchange

quick to recognize the

are

fact

merchant does in other lines of busi¬

In other fields when
you

room

dealer

the

the intrinsic value of the stocks he wishes to
sell.

often than

you

over-the-counter

under

buys
keeping with

"as principal" or
on a "net" basis as: it is
termed in the parlance
of the securities business. This means his
profit
or loss is included in the
price he quotes you and
there is no commission
charge shown on his con¬

have

a
buying or selling interest in the instant
security, or investors who might be induced to
buy.
.;V> -Y v:
\ :\

more

that

that the investor
gets goq$ value when he
or that the seller obtains a
price in

confirmation slip. On the other

your

fact

mere

auction-specialist system" the spread between bid
and ask prices is close or narrow is no
indication

an

hand the over-the-counter dealer
not

The

vs.

Charges

exchange-brokef executes an order
exchange-listed stock, he tells you
price as well as the amount of his com¬

in

their interest being merely
going and when."

purposes,

"where is the price

an

for you
the cost

a

center

vestment

.

Stock

provide

ready vehicle for speculation and
buying and selling decisions on
short-term price
swings in lieu of "real economic
values." Many
apparently buy stocks according to
hoped-for price movement and not for true in¬

securi¬

be sold any time between 9:00 and 5:00

can

45

(principal subsidiary)

on

later

remain
page

46

46

The Commercial and Financial Chronicle

(1394)

Therefore,

The Over-the-Counter Market

Biggest and Broadest

-

V"';Still Expanding
Continued from page 45

do

after his

so

.

Officers and directors of the

extended period, he can¬

an

assumes inventory positions
of line with basic economic values,

habitually

which

For survival he

scene.

dealers for the account of their banks and

cognizant of the elements, listed above,
the

Just

determinants of the real value of

are

he

in which

taking inventory posi¬

is

His.

prices cannot consistently be out of
Particularly in regard to the
hon-numerical elements which go into the mak¬
ing of the real value of
assume

of

business,

have

have

dollars

million

a

be

to

for

a

gasoline

liability for tax payments fell by
$1.2 billion. As a result, our dis¬
posable income — which is our
personal income after taxes—fell
by only $1.2 billion. Now personal
were *

amount

of

"

-

-

by
the
billion.

reduced

savings
modest

$0.3

This reduction in personal savings

permits a corresponding increase
consumption. So we find now

in

that

final
analysis, fell by only $0.9 billion.
in

consumption,

Perilous

to

keep

our

III

down

this

—...

^counter

Housing bill of
these methods
further improved upon."

But

War.

Again

though

as

it

an¬

other housing bill was passed by
Congress. In 1954, the recession
year, housing starts increased by
more than
10%, and the increase

almost

was

In

the

another

recent

10%

recession

in

1955.

of

1957-

1958, the annual rate of housing
starts at the low point, the first
quarter of 1958, fell below

an-

an

nual rate of 1,000,000. By the end
of 1958, this annual rate had been

boosted by almost 45% to an anhual rate of more than 1,430,000

housing
starts

starts.
at

were

In
the

July

1.350,000.
In

the

housing

annual

rate

of

'

great recession

of

1929-

1933, housing starts fell by about
85%.

Now in three recessions

we

jeen housing starts increase
substantially in each recession. In

the

of
a

the

early

house and

impressed with the rigid and

conservative

whichrfthen
ble
were

For
a

terms
were

the

40%

interest, 6%
maximum
imee

and

aDD^
appeared
terms

of

the

financing

best

avail-

thesp

writer

down

the

1932
was

be down to

writer's

$5,600.

down

Today it

nothing.

of

6%

of

the

L tSS

the

1

at

that

time

rotdghPrt"ldheLuslTn-Urte
send housing starts

jnougn as
ft own,

has

been




personal

Now

incomes
we

instalment

debts for

consumers

durable

can

.

in

the

houses

and

with

a

losses.^.•

(B) Polices of Tax Reduction
and/or Expenditure Increase.
In

of

".4

coming to understand
the operation of our economy and
are

built-in

economic

stabilizers

policies

nurture
As businessmen
of these forces for
may

for

This

ment.

plant

will

and

equip-

helpful

be

in

fighting economic recession. ~
Our economic recessions are of
three -types:
_

*
First,, we have the recession
brought about by inventory liquiNation.
These, both before and

after

World

modest

The

War

have

II

recessions.

-

•

y

been

^

-

second

type of recession
with a sharp decline in
business
expenditures
for
new
plant and equipment. These ex7
penditures, in the great recession
comes

0f

1929-1933,

This

declined

experience

led

by

to

pression that "nothing is
as a

93%.

the

ex¬

This is the great contribu¬
business
in the
last
14

family
States

$6,200',

lies''

can

all

incomes
running

at

fami¬

"average

be- rather

in

readily

con¬

earlier recessions

house

technology

rapid

rate,

coming

families

our

at

will

creasingly get the idea that
home

represents

a

in¬

a new

about the

finest

way

in

their

steadily increasing incomes.

./

which

Moreover,

they
we

as

may

spend

.

know, starting

in 1959.;

has

And

to

need

these

families

who

tion

pointed

out,

-

cies

1

a

In the 1957—1958 recession, per—
haps as a form of spending instead

di bd

labo^ supply

our

seven

wages

r?d|LCtl<in' 5ongrerls &reaJly high-

enlarged the funds available for
highway building. The annual
rate of
highway expenditures in-

creased

getting
which

five

us
has

times,

into

rising

the

be

years

will

continue

These high

premium

nessman

to

our

for

these

scarce,

to

and

be'very

wage rates are

offered

comes, and an immense building
boom is in .prospect.
Moreover,

have

we
our

ahead

great growthr~of
metropolitan centers.

major

For

something like 180 of such
centers, the population growth by
.

1980

is

no

expected

to

be

increased

less than 60,000,000.

'

install

to

a

better

busi-

labor-

expect in fiscal

1960, and

to

ex¬

even
a
substantial
budget
surplus in fiscal 1961. The second
weapon against inflation is a tight
money policy,
and that we all

know

the

threat
the

continues

present
of

to prevail,
and
modest,
increasing

inflation

will

reinforce

monetary authorities in their
money
policy.
The
third

tight

plant and equipment with greater

weapon

larger

amount

is **** s°
can

with

produce a
the

same

is the restraint upon wage

increases

so

that

their

amount

shall not be in excess of the
gen¬

eral

average

increase

in

per

1%%

a

doing about
holding infla¬
Moreover, practically
are

War and the very substantial
business capital investment boom

of 1956-1958/ In
11

fact, in these past
1948-1959, we have had

years,

more

in which prices

years

remained
stant

almost

than

years

greatly

will

win

advanced.

the

struggle

inflation, though
be

So I
that w6

encouraged

in

have

completely con¬
in which prices

noticeably

against

should

we

not

rigid as to expect absolute
stability.- Such absolute stability
amounts almost to a prevention
of
ther'normal
"breathing pro¬
so

cess" of

an

economy.

r;

The
A

Dark

-

"

*

"

vi

Cloud

1970—

of

Lowering Bank Liquidity

The

almost

fabulous

record

American

the

economy

since the

of

end of the Second World War has

been

hugely

facilitated

by

the

enormous

liquidity of the econAt the end of 1945, for example, commercial banks of the

_9JG9y-

United
This

States

of

23%

later

years

in

in

liquid.

liquidity

a

1929, and

had

a

chaos

taking

act

-

this

liquidity

at

time

46%.

Unless
there

and

—

-

of' bank

measure

stands
in

few

great finan*

a

with

1933.

Today
we

with

we

collapse

83%

were

contrasts

ratio

cial

pect

about

or

we

down.

over

saving-plant and equipment and

and

Congress,

will

very

haJ'b^n ***«"*• That
the businessman

difficulty

sobered

from

the fact that

*d improvement is very rapid,
and hnnrovement;0^ vJrv°?^1d

19%

Thus

rean

of

Expenditure Poli-

/'7

all of the increase in prices in the
last 11 years come with the Ko¬

will

home,

the
homes
which can be- built and paid for
by
families
with
adequate in¬
new

a

j

billion.

us

five times better in

1945, will push the family forma¬
rate
up
to about 1,270,000.

.

(C) Highway

struggle

///'/../■ :.•./...

been

year.

tion

.

by

That

dramatically before

about 1967 the young people born
in the first postwar years, after

of economic de-

cause

production.

been

to finance the purchase of a new have
With
improvements in' am

Prcssions, and this cause produces
Remarkable Economic Growth
1949 and 1954, we had substantial by far the deepest economic de1960-1967
tax reduction's.
These were ex- Passions, is found in our repeatedThe
growth
in
the
economy
tremely stimulating to consump- "collapses of the money supply."
tion and to housing expenditures. With this third cause I shall deal which can be expected in the next
seven
In the 1957-1958
years
should
produce
a
recession
how- in the final section of this paper,
ever,
our
tax reduction 'was
a
Inventory liquidation as a cause" Gross National Product in excess
of $600 billion and average
most
modest
family
one-half
billion of depression we can now underincomes of $7,500.
dollars given-to relieve our eco- stand to be a mild cause.
This advance
...
can be
produced without any seri¬
nomically harassed railroads. This
Tbis leaves us with the prosous
time more attention was
inflation,- mostly because we
given to pects for possible decline in capiare
developing
very
improved
increased expenditures. The in- tal expenditures^by business.
c.rase in expenditures was $6 bilThese prospects are not adverse methods to fight inflation, and we
can hope we will make the
polit¬
Bon. As we have seen, tax obligar the discernible future. Rather
ical
decision
to
continue
the
ti°ns did decline as corporate ^ w
^
iy+ueuVe5^ a§ITe"
Profits were
sharply
reduced. ably stir-prised both by the main- fight.
The weapons
H.er.e the remainder of the $12 iained stability lp capital expenagainst inflation
billion budget deficit is explained
n^- sT^en y®a^s include a balanced budget, and
that we have every prospect to
because_ tax collections declined a"f by tbe g™w.tb
them This
the two

has

home.

by

;

promotes

template building a new home.
Today, probably family incomes
permit 65% of American families

as scared

million dollars:">

The third

ex-

quite

United

about

economic growth.

penditures

worker

:

same

average

the

how

and

engaged in the investment business thrive.

to the home building boom.

With

..

Economic

it is become aware
stability, we can expect tberaJncreasingly to stabilize their ex-

all pay our

goods

minimum of credit

mort-

to be the most
r
m
to
favorable

economy

total

United States that

t

payment,

W

our

We

essentially their difference
On
a
comparable house its

in

payment

tPrmQ

amortization

amount

•

.

why it is socially important that those

reasons

is

plenty of time but little resolution
to

act

fatal

will

we

—

23%

level

10:30

on

Then

a.m.

"will .have

run

then

a

This

be

back

to

have

liquidity

our

out."

could

We

financial

collapse.

possibility ha^been discussed

in the Annual

eral

Deposit

tion

for

Report of the Fed¬
Insurance Corpora¬

1957

(pp.

65-66)

in

following words:
"There

present

is

no

}

question

that the*

insurance
fund
entirely7" inadequate
example, a situation

be

should,

for

similar to that of 1930-1933
"To what

extent

situation

1933

to

such

as

can

ge

that

recur.

expect

of

1930-

recur?

conceive

Certainly, we can
the possibility of a

of

economic

severe

the

deposit

would

a

the

Nov.

18, 1970.
specifically the time will be

More

-

great) recession

1930's th(y writer built
was

V.

.

for

Rates

this:

~and °to ~pro-

for the recession of 1954

Prospects

ago

year

—

rean

tion
years

IV

...

The

payment"

perfectly - clear to any^nerfhat., i t
inote economic growth is housing is much easier to find families
legislation
In each of the three able to make n0 down payment
recessions—and gratuitously on a
than/abje J:°
a down payfew other occasions
Congress ment of $5,600.
The result has
With alacrity has passed housing been
that housing " starts have
bills. The first of these bills was
be.en increased in recession. Depassed for the 1949 recession. It spite the very generous terms and
achieved a 10% increase in hous- slender down payments, defaults
ing starts in 1949, the recession and delinquencies have been few
year.
Following
that
in
1950 ?
,f.ed- I^ is to the credit of the
housing starts rose more than 35% b^.-in automatic economic stain addition, but that was due to
bl!lzeJf and OUir P°licie? to JTain~
the
great
stimulus
to
housing *air! b?g
level economic ^ctivity
starts which came from the Ko- {*"" they so very well stabilize
were

comes.

Inflation—and at High Interest

is

_

recession

push to the economy followjng each of our postwar recessions,

down

built

(A) Housing Legislation.
The favorite form of legislation
to

ward

payment housing bill and
amplified into what is

A

impossible to quicHy retrieve the capital
they put at the disposal of governments; munici¬
palities or corporations. This is one of the many

pansion of home building as it is
promoted by higher family in¬

Growth Through 1966 Without

1954.

it almost

nothing

and

up-

commonly called the "No, No, No,

Policies Deliberately to Counter
Economic Growth

down-

the

reduce

was

were

Recession and Promote

to-

payment. In fact, in 1949 we experimented
with the first
no-

vigorous

a

exchanges and Over-theMarkets, investors of all types wQuld firid

time, this expected .1, That the battle, against inflation
sustained high record for plant is being
increasingly won is sug¬
and equipment
expenditure Will gested by the fact that from 1940
make the country very prosper¬ to
1948 the cost of
living index
ous.
That prosperity will be re¬ increased 75%
or
9%% a year.
flected in higher family incomes From 1948 to 1959 the
increase

In the recent

lengthen the period of amortiza- bilizers in giving
and

.

not for the

were

Counter

firm to

At the

Relating to Defense
Expenditures.
recession, the Sec¬
came
on.
retary of Defense was authorized
Now as we have observed,-housincrease defense expenditures,
ing starts are .increased in the reAll in all, these policy measures
cession.
The
technique
is
to have supported the automatic station

Savings thereby become

a problem. The
beauty
capital needs of both big and
alike can be thus served. v;
; : i

time*

(D) Policies

the Great Depression

by 85%, as

ever

the

labor. supply, and, at the same
earn with profit the higher
wage rate he must pay.

into

tax

.•

a

that

is

If it

.

the over-the-

sure

increasing
the
the whole
program on the required pay-asyou-go basis.
"
*
' '
apparently,

Substantial Growth Ahead
And

it

jobs for

society and not

com¬

thoroughly trust¬

Just be

investment values.

to

knowledge superior to that of the lay trader.

Continued from page 5

of

worthy and to have good judgment with respect

general rule,

as a

asset to

industry

to obtain the

less human effort and at

ever

remuneration.

ever more
an

it is with over-the-

so

counter dealers. It is not necessary

security in which he is

a

position, he must,

a

workers at

more

as

lines

other

into trade and

possible for business

wherewithal with which to provide

you get good or indifferent treatment
values from both large and small stores in

and

it

c

line with real values.

to

tions and the like flows
and makes

small business

panies.

securities
tions.

from the

him

drive

must be

14,000 banks and

over-the-counter dealers. Investment
officers, of these institutions, too, are continually
buying and selling government, municipal and
corporation bonds and stocks through "counter''

the eco¬
nomic forces will in due time exhaust his capital
and

Through the medium of stocks and
bonds, idle capital of individuals, banks, institu¬

through

at prices

contemplate

good reputation.

a

economic life.

major insurance companies of the country
when buying or selling their own institution's
stock for their own account do so almost entirely

dealer. If he

individual dealer
you

or

It is no exaggeration to say that both
exchanges
and the Over-the-Counter Market are vital to our

the

^Inventory Positions

.Thursday, October 1, 1959

.

doing business with has

positions results irom the fact that their market
pricing must be influenced definitely by intrinsic
corporate value factors. They must stress value
consciousness over quotation consciousness.

and

capital is exhausted.

So it is with the over-the-counter
out

counter firm

,

"in the market" for
not

important contribution of overimportant inventory

an

the-counter dealers who take

.

downturn

ac¬

companied

by large numbers ofbank failures,. Neither the public
confidence
existence
surance

nor

banking
would

these

engendered
of

,

by

the

Federal

deposit in¬
the improvements in

and ' bank,
be

supervising,

sufficient

to
prevent
would be a

failures which

190

Volume

Number

.

.

The Commercial and Financial Chronicle

.

but various

fundamental nature.

a

Government

is committed, under'
Employment Act of 1946, to Continued, from first page
follow policies which will stimu¬
Where the
late full employment, and in view

avoidance of such Cqrtailment
and

a costly process of
designing
installing fearflilly expensive equipment which i$
subject to a High rate of obsolescence. If the current steel

the

t]he

knowledge

authority

and

Th^re is

possessed by various agencies
of the Federal Government, it is
that

assume

interest

will

we

be able to avoid prolongation of a
.

serious

depression."
-you
have it. Even the
FDIC says it can't stem the tide,

'there

,

so

we

see

can

again

may ■

j 1 would like to think that we

adopting

by

before hand.
me

But

basis

no

for

these

crises

event."

I

the

will do better

we

Policies

maintain

to

<

adequate bank 1 i q u i d i t y - and,
above all, policies widely tO" pro¬
mote branch

banking,

J' But to close

^this much

on

gjve us

can

great protection if we
them.'
v
"3 ' 'y

wilt* adopt ;
.

..

.

,

lighter vein,.■<

a

be said:

can

Somewhere for most of

to

seven

11 years,;higTi prosperity

will pre¬
Perhaps we. can adopt wike ;
policies to sfee that it is continued..
However, many of us will "not be
vail.

in

distress

some
appreciable measure arouses the peopld
dangers by which they are faced, it will be worth

to the

what it costs.

t

NSTA

bring pressure upon
controversy so that the mills might be
reopened and business generally proceed promptly to
develop the boom that is apparently in the cards for the
near term future, or would be if steel is
again being pro¬
duced in the usual abundance. It has shown no great
perturbation during the past few years as the labor mo¬
nopoly has wrung one concession after another from man¬
agement which enjoys no immunity from the antitrust
laws. One-ratherv easily senses that the Administration
would like nothing better than for the steel industry and
the union to reach the sort of "compromise" agreement
that has long been the rule—and thf* "compromise" is all
too
often merely giving the unions what they really
"demand.'v.;■/ .W,..

tak¬

"after

until

hope

time.

situation in

to where the

Notes

,

ing that view. We have rtever mht

this

as

both sides in the

history affords

whatsoever

our

this

in

Its effort has from the first been to

policies

wise

lies

realize the true inwardness of this situation and its poten¬
tial for harm to Us all, it has given no indication of it.

why deep trouble

come.

would meet the strain that would
come

mind

public
struggle of the titans. The overly
aggressive march of organized labor must be halted, and
without delay, if we are to escape consequences, the ultimate gravity of which only the thoughtful have even yet
begun to understand. If the Administration has grown to

liOw

reasonable to

Public Interest Lies

doubt in

no

types of restrictions on management which all
inevitably curtail output, or at the very least make

but

As We See It

"However, because the Federal

of

> v

Nor is there any

INVESTMENT TRADERS ASSOCIATION OF PHILADELPHIA
At the
of

annuaLmeeting of the Investment Traders Association
Rubin Hardy, First Boston Corporation Was
for the ensuing year.
Other officers elected

Philadelphia

elected

President
j;vw

x

clear indication that the great rank

prosperous,3 and file hold views radically different from those of the
.Administration. Evidently the politicians in all parties and
will have re-

after■> 1L

.

many of us
tired to fine new homes in
years,

...

Cali¬

t e s,. of

segments of public life in Washington are conduced that
they would gain nothing by* insisting upon anything in
the nature of a halt to the wage-inflation trend.1 This
failure of public opinion — if such it is — is of key im¬
portance, since it is a decent—and quite practical—respect
for the opinions of mankind that, according to New Deal
theory, is supposed to hold the leaders of the wage earners
in check, the apparent indifference of the general public
to the real issue in this steel dispute may or may not be
attributable to the lack of vigorous leadership from Wash¬

Newark, N. J., on Sept. 18 pub¬
licly. offered 300,000 Shares of

ington or other political sources, but that sort of leader¬
ship is unfortunately not very likely to develop in a

fornia,

Texas

certainly

and

Florida,

and

economic

must
leave
some
problems to be solved

at

letter

we

many

meetings

of

conventions

and

business¬

American

'*•;

men.;

Collier Acres,
:t; Williams •&

A

s s o c

stock, (par

common

i

a

of

cent)

one

shares

offered

were

as

is here.

a

speculation.
The
as

net

10

of

will

proceeds
payment

sections

(6,400

acres)

conditions which made it

at

first place.
more

company

the

of

arise should

organized

was

laws

the

Florida

State

ness

Jan. 1,
1959 for the
of engaging in the busi¬
of buying, selling, developing

and

sub-dividing

on

ownership
5

10

and

and

sale

acres

of

tracts

a

parcel

Fla.,

of

' acres

of the back

approxi¬
upon

mately 400 acres remain unsold.
The company's present operations
involve

the

public

retail

tracts

acreage

on

sale

time

a

until

general

payment

*

-

CINCINNATI, Ohio—George G.
staff uf
minal

has

been

Bache

&

added

Co., Dixie Ter¬

Building.

JUNEAU,
is

engaging in

a

Street.

He

was

A.

securities

business from offices at
Grande &

513

formerly

with

Dreyfus

Herbert M.

Dreyfus, partner in
&
Company, New York
City, passed away on Sept. 11.

Benton

John W. Adie
John

W.

may

as

Adie, limited

in

Townsend, Dabney &
Boston investment
firm,

away Sept. 21.




partner
Tyson,
passed

Frank J.

politicians managed

quite in keeping with the trend which is fastening a longterm

inflation upon us.

Just

how

this

basic

problem is to be

or

themselves

into

politically powerful elements, it is not

doubt that it could be
solved given a will to do so. The most disheartening aspect
of the matter is found in the widespread lack of general
realization of the urgent need to solve it—or even of the
existence of the problem. The situation is doubly danger¬
ous by reason of the fact that the demands of the, unions
in so large a degree include not only higher rates of pay
easy

to say, but there is no reason to

the

"

Annual

Honorary

Award

of the Association

was

presented to Lawrence Colfer, Rufus Waples & Co.
SECURITIES TRADERS ASSOCIATION

OF DETROIT &

MICHIGAN

Securities Traders As¬

The annual election of officers of The

held on Sept. 17, 1959
elected to offices for the year beginning

sociation of Detroit and Michigan, Inc. was
the following were

and

Oct. 1,

1959:

President—William B. Hibbard of Baker, Simonds &

Vice-President—Donald
*

&

Co

L.

Co.

Richardson of Nauman, McFawn
*

l

Manley, Bennett & Cd.
Charles A. Parcells & Co.

Secretary—Peter M. MacPherson of
Treasurer—Eugene P. Albers of

Morrison Co. Adds
(Special to The Financial

Jr. and

N.

with
Liberty

Vira B. Wall are now

&
Co.,
Life Building.
Morrison

,

Inc.,

With La Hue Inv.

Cutter

is

vestment

Chronicle)

D.
now with La Hue
In¬
Co.,
Pioneer-Endicott

PAUL,

(Special to The Financial

Minn.—Zelotes

Keyes has become connected with
Cunningham, Gunn, & Carey, Inc.,
Union Commerce
bers

Harris B. Redfield is

engaging in
offices

securities business from
n..1£

the

Building, mem¬
Stock Ex¬

Midwest
.

Goodbody Adds to Staff
(Special to The Financial Chronicle)

CLEVELAND,
Denner

has

Ohio —John W.

been

added

staff of Goodbody &

to

the

National'

Co.,

Opens Inv. Office

H. B. Redfield Opens
CORPUS CHRISTI, Texas -

xi

of

City East Sixth Building.

Building.

a

ChroniciA)

CLEVELAND, Ohio—Robert A.

change.

(Special to The Financial

ST.

With Cunningham, Gunn

Chronicle)

C.—John H.
Burress,
Joseph
S. Hoard, III,
W. W. Jarvis, William M. Monroe,
CHARLOTTE,

could be

solved—given the degree in which the general public has
been New Dealized in its thinking on the subject and the
extent to which the unions have been able to organize

First

The

function under compul-

bring enough pressure upon the parties to the dispute
effect a settlement quite favorable to the unions and

Laird, Stroud & Co., Inc., was elected Trustee of

Gratuity Fund.

now

industries continued to

were Robert N. Greene; Stroud & Co. Incor¬
A. Christian, Suplee, Yeatmart, Mosley Co., Inc.;

Edgar

James G. Mundy, Suplee, Yeatman, Mosley Co., Inc.; Stanley W.
Jeffries, Newburger & Co.; Thomas J. Love, George E. Snyder 8c
Co.; Spencer L. Corson, Elkins, Morris, Stokes & Co., and John D.
Wallingford, Hecker & Co.
.

well face the fact, that unless and

sion, the Federal Government and the

East

Co., Inc.

Herbert M.

•

to

Opens

Elected directors

porated;

something effective is done about this abandonment

affected

to

Alaska —William

Treasurer.

the traditional American reliance upon

-

W. A. Winn
Winn

the

to

"permitted to develop"; it would be
definitely and persistently encour¬

say

strike, but they do nothing and can do nothing to reach
the fundamental issues now presented in the steel case.
What in the past has usually happened is that while the

Bache Adds to Staff
(Special to The Financial Chronicle)

Seremetis

we

Jack Christian

F.

Rice, Eastman Dillon, Union Securities & Co.,
First Vice-President; John E. Knob, Drexel &
Co., Second VicePresident; William R. Radetzky, New York Hanseatic Corporation,
Secretary; and Jack Christian, Janney, Dulles & Battles, Inc.,

situation to
develop in the
a

practice, w,e shall not avoid such situations as
plaguing us all in the steel industry. Of course,
we now have the provisions of the so-called Taft-Hartley
law which for a time ward off the penalties of a costly
that

,

tracts. and

proportionately
higher for larger tracts.

upon

Willard

were

trine and

Wherein

acre

possible for such

William R. Radetzky

that the

of the tried and true American social and economic doc¬

plan

the purchaser pays $10
down and $10 her month for five

course,

to bring the greatest good to the greatest number.

And

small

of

the

to

John E. Knob

'V-.-

competition to permit natural forces to hold all elements
in the business population to courses which could be relied

Collier

which

say
to

""r.:

place them all under the thumb of a small group of
smacks of the ideology propounded by the com¬
munists in Russia, and elsewhere. It was a definite ^turning

of
of

from

We

is, of

have been permitted to

never

accurate

■

Impossible

men,

of

approximately
2.500
undeveloped land
in
County;

■''V';"-'*'

to

estate. Its
consists of the
real

business

Willard F, Rice

9A

aged by the powers that be over several decades. The New
Deal notion of getting the wage earners of the country
into a set of unions so closely knit as almost automatically

of

purpose

present

V-

The cold truth of the matter

corporate purposes.
under

'

used

be

purchase

on

approximately $40 per acre; for
advertising
and
promotion; for
general working capital and other
The

.y

•„

Situation Should Have Been

down

a

Hardy

hubin

country where the so-called labor vote is so large as it

Collier Acres, Inc. at $1 per share.
These

fa

(139&)

of economic disloca¬

consequence

tions of

5886

Oxx...itir

Tlilllflinff

Peggy Keenan is engaging in a
securities business from
1322

City.

offices at

Second Avenue, New

'

York

48

The Commercial and Financial Chronicle

(1396)

villes Ltd.

With United Sees.

6%

(Special to The Financial Chronicle)

with

•

BY

was formerly
Lewis & Co.

Building, He

McDaniel

W. L. Hess Opens

The Learning Curve

MOORESTOWN, N. J.—William
3L. Hess

is

business
Central

conducting

from

a

offices

at

snow

West

1

Long before our recent guest, Mr. Khrushchev, threatened to
us under with engineers and other assorted
technicians, the

,

securities

people had already been pretty well sold on the virtues
of a college education. As any harried administrator trying to cope
with rising applications for enrollment well knows, just about
everybody intends to send his son or daughter to college. But
there has lately been a surprising new revelation by the Ford
Foundation that just about nobody has gotten around to facing up
to the realities of meeting such future expenses.
American

Avenue.

Interested

foundation's survey, no fewer than 69% of
parents with children under the age of 18 believe that their off¬
spring will enter college. Yet 60% of this group disclose that they
have started no savings plan to pay the bills. The remaining 40%
thus far have average savings of just $150. This is not even the
worst Of it.
These parents estimate annual expenses at $1,574 fon
private institutions and $1,370 for public institutions. A much

mutual

We will be

glad to send you a free

for

prospectus describing Atomic
more

statistics compiled by the
by Franklin Distributors,
They are attributable to
Dr. Ernest V. Hollis, director of the College and University Admin¬
istrations Branch of the Office of Education. Dr. Hollis points out
figures,

latter

foundation,

than 75 holdings of,

along, with

reported

were

this

week

which handles Franklin Custodian

stocks selected from among those
of

public universities.
These

development Mutual Fund, Inc. This
fund has

companies active in the atomic

.field

wjjh the objective of possible
growth in principal, and income.

$1,980

estimate is $2,354 for private colleges and

better informed

college

,

this year are running 7% higher than those last

expenses

They will, in his-opinion, double by 1970.

year.

Where there are

Atomic Development Securities Co., Inc. Oept C

Funds.

'

- .7

problems, of course, there are opportunities,

Providing such funds for the future can best be accomplished
through continuous investment in a manner that will counteract

1033 THIRTIETH STREET, N. W.

possible effect of future inflation. That leaves plenty of room
for the mutual funds and, particularly, for mutual fund accumula¬
the

WASHINGTON 7, 0. C.

that much

Some fund managers emphasize the fact

tion programs.

the

of

event

vide

a

decline

a

floor

fixed

income

same

in

the

under

stock

time

pro¬

fund's

Northern

States

*

of

As

Aug.

During the quarter ended Aug.

General Securities Inc. added
Northrup Co., San Diego
Imperial Corp., Upjohn Co., and

31,

Leeds &

Canada Southern Petroleum to its

portfolio
holdings
America

and increased existent
of
Lithium Corp.
of
and Pacific Petroleums,

convertible

5%

Ltd.,

Total

1977.

assets

at

debentures
the

of.

end

and

16.54%.

fabrication.

had.

stock, 24.05% in cor¬
bonds,
10.86%
in
U.
S.

its

resources

invested

common

porate

Government

bonds

and

7.94%

in

preferred stock. Leading industry
holdings: electric light and power,
13.84%; banking, 11.72%, and to¬
bacco, 10.36%. Biggest individual
common
stock
holdings:
Mont¬
gomery

Ward, R. J. Reynolds To¬
American
* 71,

*

Shareholders
Investors,

Inc.

two-for-one

Tobacco.

of

Fundamental

have

approved a
split.
This is

stock

the third time since

fund's
last

stock

7 v

*

has

1946 that the

been

split,

occasion having been

the

in No¬

vember, 1954.

N.A.I.C. Re-Elects

Anderson President
Herbert R. Anderson, President

Securities, Inc., has been

of Group

President

re-elected

of

the

Na¬

Biggest

Association

tional

of

Investment

individual com-,, Companies, it
Molybdenum Corp. of has been an¬
Texas Instruments, nounced.

mitments:

America,

Philips'

metal

fund

in

period
came
to $1,627,233.
Largest industry investments:
electronics and
electrical equip¬

metals

the

of

the

ment, 21.42%; petroleum and re¬
lated
equipment,
16.58%,
and

31,

55.59%

*

Tf

Co."

bonds.

bacco and

investment.

Power

(Minn.), Radio Corp. of America,
Gas & Electric
Corp.,
and Gas Service Co. 3%%, 1971,
Rochester

V

Lamp,

Kawneer

Co.,

&

and American Motors.

accumulation plans have had thus far is the result of
early financial planning by parents for the education of their
of the impact

EITHER PROSPECTUS

bal¬

a

fund,

prices and at the

; were
Colgate-Palmolive
Liggett &
Myers Tobacco,

Co.,

*

■

has replaced
most
of its bond holdings with
prime short-term commercial pa¬
per yielding better than 4% and
maturing before the close of the
year. After selling $1.5 million in
bonds during the July rally, the
fund
purchased $1.6 million in
prime commercial paper in August.
According to John F. Donahue,
President, the shift was made to
give the fund more flexibility in

According to the

ATOMIC

*

*

Income Foundation Fund,

anced

ROBERT E. RICH

Morgan Guaranty Trust Co. Elim¬
inated

*

GREENSBORO, N. C. — R. F.
Boyles
has
become
associated
with United Securities Co., South¬
eastern

convertible deben¬

1978-81.

tures

Thursday, October 1, 1959

«

*

>

His
term

%

new

of office

begins

Oct.

1

,

Delaware

children.

FREE ON REQUEST

a

publication which makes a good argument for the mutual
September college education pamphlet of National
Securities & Research Corp. and National Growth Stocks Series.
One

*

!

j Incorporated

j

I

Investors

1

|

ESTABLISHED 1925

|
|

j

A mutual fund investing in a

|

list of securities selected for

|

possible long-term growth of

|

capital and income.

is

fund
'

the

tive

situation

The

62.33%

vestment

During

I

per

21.99%
bonds,
13.14% preferred stock and 2.54%
cash
and
receivables.
Industry
stock,

holdings

resources:

I

A mutual fund

■

list

I

income.

a

I

current

*

investing in

of securities for

I
J

I...

Massachusetts Investors Growth

I

reporting for the
nine months ending Aug. 31, an¬
nounces that
net assets per share
increased from
$11.09 to $14.44

Stock Fund, Inc.,

the

over

A prospectus

on each
fund is available from

I

I

your

I
*

■

II
The Parker Corporation

I

200

|

~

Berkeley Street

1

Boston, Mass.

booklet-

an

The latter
11$ capital

gains distribution paid in Decem¬
ber. During the latest 12 months,
shareholders

investment dealer.

year.

includes

figure

J

past

741 to

increased

from

63,-

80,529 and shares outstand¬

ing from 16,715,023 to 20,755,738.
As of Aug. 31, net assets amounted
to

$299,686,822.
New
purchases

prospectus

ertshaw-Fulton

Controls,

Scher-

describes

ing Corp., Scott Paper, Southern
Co.," Texas
Instruments,
Texas

Chemical

Natural

Carr

Of

GROUP

SECURITIES, INC.
An investment in the growth
possibilities of selected comr
mon
stocks of the chemical

Industry is offered'by this 25
year-old mutual fund.
,

Fastener,

Address.

Oil & Gas Corp. of Louisiana.

-

■

The

business

machines,
7.3%.
Largest individual common stock

State

.

commitments: International Busi¬

DISTRIBUTORS GROUP, INC.




Co., Minerals &
Chemicals
Corp. of America.
Pfizer (Chas.) & Co., and Union

and

43 Wall Street, New York 5, N. Y.

&

CPC

its

Dynamics,

holdings of General
P. Lorillard Co. and

Montgomery
its

creased

Ward

Co.,

&

investment

in

de¬

Ameri¬

Machine &

Foundry, Standard
Oil of New Jersey and Liggett &
Myers
Tobacco.
Directors
have
approved the purchase of Outdoor
Advertising Co.
and
Champion

can

*

Samuel

R.

Campbell

President

Shares, Ltd.

has been
Institutional

of

Institutional In¬

and

Fund, Inc., succeeding

come

len S.

Em-

Hare, who has been named

Chairman of the Boards of Direc¬
tors

of

time,

the

funds.

Leichester

chosen

At

the

and

Mr.

Both

Fisher

President,

respectively,
of
Van
Towne, Inc., investment

&

to

President

the

New

creased

and

Vice-

funds.
*

with

investment

combined

commitments

mately $17

in

Imperial

Predominant

industry holdings
steel, 18.44%;
gold and uranium, 15.63%, and oil
and natural gas, 10.35%. Major in¬
ore

approxi¬

billion.

New Walston Office
CHICO, Calif.—Walston

& "Co.,

has opened an office at 2122
Morel and Drive. Robert W. Schilk

#

Business

$4.25

to

months

$4.48

ended

the

firm's

representative.

Shares, Inc.

net. asset

its

per

share

during

Aug.

31,

Eastland, Douglass Adds

the
ac¬

cording to the fund's 108th quar¬
terly report. The latest per share
figure includes an 8$ capital gains
distribution paid in December. At
the end of the period, total net
assets came to $27,030,813.

(Special to The Financial Chronicle)

SAN

thaniel

FRANCISCO, Calif.—Na¬
C.

Eerkowitz

and

Louis

Janin have been added to the staff
of

Eastland, Douglass & Co., Inc.,

465

to

portfolio

during

California Street.

the

quarter were American Insurance
Co.
(Newark), Bank of America
N. T. & S. A., Cleveland Electric
Illuminating
City

Bank

Hanover

Co., First National
(N. Y.), Ford Motor.

Bank

(New

York)

and

Jamieson Adds
(Special to The Financial Chronicle)

A nnouncinj

FRANKLIN
INVESTMENT

PROGRAMS
A Contractual Plan with
for the accumulation

FRANKLIN

'

MINNEAPOLIS, Minn.—Albert'
Thorpe Jr. has been added to the
staff
of
Jamieson
&
Co., First
National Soo Line Building.

optional Insurance

from

iron

Anderson

companies

assets of

*

$18,828,728 to $18,425,846 and its shares outstanding
declined from 4,602.398 to 3,934,370, but assets per share gained
by 14.4%, from $4.09 to $4.68.
were

Herbert R.

Mr.

will

as

Strum

closed-end

is

boosted

nine

ies

was

continue

counsel

sh

*

American

from

p a n

(mutual

funds) and 24

same

Fisher

W.

Vice-President.

Campbell

c o m

Inc.

Added

elected

represents 155
in-

*

*

of shares of

CUSTODIAN

the

FUNDS

Common Stock Series

and

Prospectus available

on

request

vestments in individual securities:

McLouth Steel Corp., Sabre-Pinon
Machines, Minnesota Mining Corp., Kaiser Steel 5%% cumu¬
& Manufacturing, Florida Power lative convertible
preferred, Ford'
& Light, Reynolds M6tals, Louisi- Motor
Company,, Ltd., and Col-'
ness

total

11.38%;

estment

open-end

shipbuilding, 6.05%; automotive,
4.41%; retail, 2.83%, and tobacco,

Supervised Shares, Inc. has in¬
creased

Chemical

major industry holdings:
petroleum, 16.7%; drugs and medi¬
cal, 11.4%; electrical and elec¬
tronics,
8.7%;
insurance,
7.7%,

Name

C»y

Mead Johnson

of

2.21%.

Industries, Ltd., Uni¬
Eliminated from portfolio were lever, N. V., and Farbenfabriken
Ford Motor of Canada "A," Pan Bayer
A
G were disclosed
by
American World Airways Rights International Resources Fund, Inc.
and Raytheon Co.
Holdings de¬ in its report for the quarter ended
creased were; in Allegheny Lud- Aug. 31.
During the latest nine
lum
Steel,
American-Marietta, months, the fund's net assets d'e-,

,

Mail this advertisement.

Land & Exploration and Texas

*

Corp., UnitedUpjohn Co., and

percentage
machinery,

n v

Com p anies

steel, 9.40% ; entertainment, 7.90%;
household, 6.83%; shipping and

Instruments.

Gasoline

S. D. Warren Co.

Shares

Report

Paper.

consisted
of
AMP, Inc., Eastman Kodak, Litton
Industries, Moore Corp., Ltd. and
Owens-Corning
Fiberglas
Co.
Holdings were increased in Alu¬
minium, Aluminum Co. of Amer¬
ica, Continental Casualty, Great
Western
Financial,
Gulf States
Utilities, Household Finance, KerrMcGee
Oil,
Eli Lilly 9nd
Co.,
Louisiana
Land
& : Exploration,
McDermott (J. Ray) &Co., Philips'
Lamp, Republic Natural Gas, Rob-

Y

ana

by

building, 11.32%; railroad, 10.32%;

The Mutual Funds

Income F und

breakdown:

assets

common

I

Incorporated

year.

The National

rec¬

a

ord

I

«

months to

years."

clear

is

increase

the past 12

for

runs

high of $4,974,380 on Aug. 31.
the same period, assets
share grew from $8.86
to
$10.66 and shares outstanding in¬
creased from
373,618 to 466.618.

enough. The opportunities are there.
But if this latest round of data means anything at all, it is that the
funds thus far have barely scratched this lush market.
The

in total net assets

one

the, cost—
of tuition.
it impera¬

pamphlet: "There are but two ways to meet
through scholarships; the other through payment
general uncertainty of winning a scholarship makes
that tuition needs be provided for over a period of

The

qnd

Fund

Association Of

Notes the
one

50%

over

reports

Income

FRANKLIN DISTRIBUTORS, INC.
64 Wall Street, New York 5, N. Y.

HAnover 2-0810

Volume

Number

190

5886

.

The Commercial and Financial Chronicle

.

.

considerably

The Security I

Continued from page 2
have

been

Like Best

,

.

excellent,

to $4,345,000 in added value.

shown

as

Eecause of this policy, reported

below:

earnings

Estimated Gas Reserves
"

Jan.

1956
1958

145,000,000 Mcf

Jan.

1959__

small

be

cash

and

dividends will be held to

108,000,000 Mcf

Jan.

will

a

mini-

So far only stock dividends
have been paid. To appraise accumum.

185,500,000 Mcf

rately the financial history of the
and
to
compare
with
other similar companies, cash flow

Estimated Liquid Reserves

company

Jan. 1956

not available

Jan.

1958—

6,550,000 bbls.

Jan.

1959—_

better than

oil, and
in fine "posi¬
large gas reserves
and active drilling program in an
the

company

tion

$2,196,000 to gain from $2,725,000

with

It

appears

will

continue

Sophisticated

investors

who like the principle

of low reported earnings and large plowback as a means of obtaining pos-

cussed

Cash

dis¬

below.

flow

for

the

six

of 1959 will probably be
slightly less than that of the 1958

corresponding

period.

Reported

net .income may be considerably
lower because of a very active
drilling program and consequent
a
one-half interest, and in addi- ■'charge-off s.
Additional; revenues
tion, earns a part of every barrel began
m*° the company's
of petroleum products produced coffers in May from the Jeaneas a fee for
ooerating the plant. rette gas field in Southern LouisiThe plant is a substantial con- ana- New developments discussed
tributor to revenues and earnings below wil1 also add to last half
operates

company

mod-

a

em, highly efficient gasoline plant
at
Dubach, La., in which it owns

and

is

the

valuable

approximate

depreciated ;

..

value.

;

of

:

these

discount

using

reserves

factor

of

6%

Five

oil

sometimes
a

cents

mcf

per

Thus

and

obtain

we

range of value as follows:

oasoiino

niant

hnnk

Gas

capital

185,500,000

reserves,

Present

value

Petroleum
at

at

liquids

Indicated
Per

asset

value...—...$17,110,687

share

$io.30

....

.

$21.94

recent

nominal,

individual stockholders b

from

and

if the

cessful.

A

how well

exploration

rather

the

is

dry

productive

ft0n

(4)

en-

oil,

for

the

1958

exn

:n

l orn tor v

wells,

in

addition

to

since

up to

new

gas

bring

reserves

21 cents contract price, the

added value

stockholders

1

J

r

spent

subject to

History

ft.

___

Com. stock outstdg.
owned

affiliate. For the 12 months ended

June 30, 19o9 total revenues
coAcqo0qr7

J

per

tnt

1

to

share

per

9,200

ft.

on

share*

>

$1.86

1957——.

.46

1.96

1956

.42

1.72

1955

.04

1.44

1954

.47

1.61

1953

.46

1.91

1952

.71

♦Net

tion,

income

plus

exploration

1958

y

new

in

prospect

'

.4%

...

,

recom_

Hosston

Sands

and

the

in

Uf.

-

year"

at

.

.

Capitalization of the company
June

30,

1959

consisted

of

of mortgage bonds,
991,494 shares of preferred stock
common

Calhoun

gas

that the general effects of
severe

than in the

the country.

of North

the Hico field

de¬

investment here
is expected to be repaid in less
than
one
year
and will almost
certainly add to the reserves to
be reported in the
1959 annual
report. Thus, even if the exploratory wells now drilling do not
find oil or gas, the company will
be
able to report
another year
velopment.

which

-

The

reserves

seem

to

Company,

Ohio—Delbert R.

1286

West

Ave-

Lane

v

more

has

N.

C.—John

become

I.

affiliated

Taylor Investmen

Taylor Investment Company,
O I
a tf/lKlll A
Oriental Avenue.

fl fl

f \ T*

and Garrison

the Missouri River. How¬

the

reserves

withheld

from

facilities

available

market

because

or

pro¬

is

of

current

unfavorable market conditions.
The
company's leasehold anil
operating agreement holdings in
the Williston Basin comprise 261r353
acres,
including extensive
holdings in the Cedar Creek anti¬
un¬

der

operating agreement with
Shell Oil, and in North Dakota
operated by Carter Oil. The com¬
pany's net interest in oil reserves
the Cedar Creek

in

estimated

at

anticline

was

0,500,000 - barrels
about a year ago,. It has no pres¬
ent plans to spin off its oil prop¬
erties, according to the manage^
ment.

-

-'v;

\

This year the company received
first income from oil produc¬

its

tion

its

under

agreement

with

Shell Oil. For the 12 months ended
June

to

is

pany

now

virtually independent

of

government power, and during
the first half o f 1959 it produced
still

next

will

Corporation

investment

Frederick

ducted

as

business

Co., 37

City, is

Wall

now

Street,

being

A. J. Frederick

A.

con¬

Co., Inc.

west

1954

4% stk.

133/i- 834

1953„__

4% stk.

231/£-12y2

Producing in the last
John A.
two
years.
There is increasing
Milburn, partner in
recognition of the fact that eco-<=%*Hecker & Co., Philadelphia, passed

1952-___

nil

2734-18%

nomics

John A. Milburn

-

away

Sept.

19.

Oil

income

increase to

35-40

ing operations of the wholly owned
subsidiary, Knife River Coal Min¬
ing Co., will total approximately
$70,000 this year. The coal'Com¬
pany's operations are increasing
and will approximate $200,000 this
year; however, the company has
substantial
obligations owing to
Montana-Dakota for new equip¬
ment and mine development, and
dividends

will

be

curtailed

until

obligations to the parent company
have

been

substantially

reduced..

The company has been trying to

obtain increased rates.

It obtained

increases in electric rates fronrthe

own

requirements. But,
a
power inter¬

maintains

set-up

bond in North Dakota since Janu¬

The North Dakota rate
pending on appeal to the
State Supreme Court, and a deci¬
sion is expected shortly. Earnings
for the calendar year are estimated
1958.

ary,

matter is

at

around

$1

per

$1.75. The dividend

rent

rate

decision

crease

would

expenditures

for

is

received, an
possible.

in¬

seem

be

$7,500,000.
financed

AREA RESOURCES BOOK
New book

explains why
the

area

serve
so

we

offers

much

opportunity
to

industry.

m

by mid or^late 1961. Market con¬
ditions perfhitting, the company-

uiHn

will

POWER

ties

of

share is only 57% of cur¬
earnings and if a favorable

will be in the range of $10,000,000
of

share.

a

may

Dividend income from coal min¬

(Special to The Financial Chronicle)

Now

year

cents it is estimated.

Mining Co.

exceed

Upham

cents

25

Montana Commission May 15 this
strategically located, efficient, year, and has also been collecting
increased electric revenues under
steam generating plants, the com¬

This program
through inter¬
nally generated funds and bank
OMAHA, Neb. — William G. loans. Looking ahead and project¬
Phillips, Jr. has become connected ing cash flow and construction re¬
with Harris, Upham & Co., 1904 quirements for the next several
parnam street,
years, it is anticipated that accu¬
mulated new money requirements

Joins Harris,

and about $500,000 net, equal

gross

with the completion of two

1959 will approximate $6,000,000,
PORTLAND, Oreg. — Walter P.
Rossmann has joined the staff of compared with an average budget
of about $10,700,000 annually for
Walston & Co., Inc., 901 S. W. the past six or seven years. The
Washington Street,
1960 construction budget will not

the great progress made by South-

are

on

Construction

123^- 7s/4

business

the company produced 68%
electric output, purchasing

the Fort Peck

Coal

(Special to The Financial Chronicle)

10%- 53A

gas

its

nearby strip mines owned by the
company's subsidiary, Knife River

4% stk.

the

proper¬

interconnected except for
section.of Wyoming. Last

year

of

company's electric

are

with the Bureau
and
at
times
buys
substantial
El¬ amounts of
secondary and surplus
with
power. The new steam plants are
1105 supplied with lignite coal from

1955

in

residential and

industrial

small

change

nil

Gas

The

ties
a

it

(Special to The Financial Chronicle)

KINSTON,

The

ignoring

and

81% of its

With Taylor Inv.

New York

be

revenues,

51%, and
municipal and wholesale 4%.

Dams
CSpecial to The Financial Chronicle)

climbed.

Conclusion

27%, industrial 16%, and
and
interdepartmental

mercial

from

Join Midland Inv. Co.

J.

Investors

ducible

tribute 50% of gas revenues, com¬
mercial

the remainder from the Bureau of

Joins Walston & Co.
field

Much of

ized.

Reclamation which obtains power

1956




year so

electric

offset well in the very

An

9%,

9y4- 6

expanding
contributed

has

farm sales account for 45%, com¬

re-

one

Price Range

stk7

rapidly

business

^
'
7 ^
$23>202>734 for the 1958 calendar

Southern

in^t^e' Hico1 field

channeled into

in

13

;

deple¬

costs.
Dividends

1957

1.79

•

depreciation,

tourist

business the remaining 7%. Of the

exploratory
the West

During the fourth quarter virtually all drilling funds will be

"

The

portant.

income deductions was $21,688,392

nue.

Louisiana will be started soon.

$.38

is becoming more di-e:

fore interest charges and other

j°jUiSj3na WaS abandoned as dry
Dietecl

.were

inpnrnri

connected with Midland Investors

*1,117,712 shs.

"

1958

elec¬

wholesale

COLUMBUS,

rich

Gas.

area

of

?zUD,«3«5U,yo / ano towi income oe

ing since August.

Cash flow

The

amounts
^

Oil have been (or
enlarged and modern¬

this income to increase to $900,00Q

nihorT and"JohnTf7eoe are'now

$1,323,000

Earnings

tricity and gas.

the

Union

Continental, Farmers
Westland

being)

are

were

exploratory

Chalkley

(9)

Commonwealth

by

defense

substantial

use

ever,

'

♦60%

range

with

ter,
and

more

cen-

now drilling below 10,000
the
Port
Barre
area
in

in

well

CAPITALIZATION

Long-term debt

connected

addition

industrialized parts of
Gas provides about

in the

gas

completed well has been produc¬
Brief Financial

warning

type
longprogram will also

bases

In

much less

natural

$165,893,000

well to 6,600

50%-owned

A

(6)

*

roughly

are

barrels.

million

to oil production, refineries oper¬
ated by Standard of Indiana, Car¬

the recession in the first half

Louisiana July 18.

ern

Thus

$4,345,000.

was
.

the

fig-

monitoring and

bonds

new

area

30, outside income totaled
$426,000 which was reduced by
applicable expenses and taxes to
$250,000. - However, for the full
year
1959 the company expects

(5) 13,000 ft. exploratory well—
one-third owned—was started on
the Merryville prospect in South-

Using

9-cent gas, a more reasonable
ure

StarkS

added

the value of untested leases.

cline of southeastern Montana

The

Being Offered

.be started in the North and 6,000,000 shares of
stock.
Starks field soon,

of

%

indicated coupon,

Sharks

North

th

$2,725,000,, Southern Louisiana,
to the value of the company plus
(7) ^ 50%-owned
reserves

well

wHrnlinphS.

Development

value_ for g»s well is

$1

ft

of Southern Louisiana.

area

and lease costs totaled $2,196,000.
At 5 cents present
and

de-

more

in Mississippi.

acres

tq0ftn

-i7

lo

!°W_

policy has paid off

hole,

30,000

nwnpH_i^

can
be obtained from analyzing
figures in the 1958 annual report,

1958

Two

may be drilled
Southwest
Gas
has

soon.

,s$

sue-

idea

good

nn

f it

e n e

seeing their investment

hanced

discovery.

over

In this way Federal
are

mmnipfpH

velopmenf wells

policy of Southwest Gas
Producing is to plow back a large
part of earnings into the hunt for
taxes

nwnprl

owned.— completed on

—

here

The

income

\nno/
100/o

PI

t
Financial Background

new reserves.

(2) Three oil wells in Mississipv

$19.45

Using 7Vac for gas__
"Using 9c for gas———

company's

the

currently being
through
lack of economical transportation

Bonds

total

(1) 12,500 ft. exploratory well tral and southern California. All
55% of the
in Mississippi—50%
owned—was gas consumers in1 Los Angeles are company's revenues and electric¬
spudded July 22.
served by the company and an ity 45%. Residential sales con¬

1,373,313

in

has increased during this pe¬
from 22% million barrels to

area

riod
73

Annual

since 1951.

areas

production

and certain other counties in

'

9,275,000
7,200,000

oil

counties of Los Angeles, San Bernardino, Ventura, Kern, Riverside,

.„.

Recent Drilling

Activity

debt

North

Montana,

adjacent

and Wyoming.
are served,
population being
233,000. The territory is mainly
Public offering
of $30,000,000 devoted to copper and zinc min¬
southern California Gas^cT 5%%
ing and refining, development of
first mortgage bonds due 1984 was oil and
gas in the Williston Basin
made on Sept. 30 by an under- area, and
farming and livestock
writing group headed jointly by raising.
There is comparatively
Blyth' & Co., Inc." and Merrill little manufacturing industry.
Lynch, Pierce, Fenrier & Smith
A large air and missile base in
jnc
The
bonds
are
priced at South Dakota now takes some
101.729% to yield 5%% to matu$400,000 of gas per annum for
rity.
heating and other uses; two large
The issue was awarded to the
jet air defense bases are also un¬
group at competitive sale on Sept. der construction which may use
29 on its bid of 101.039 for the some $450,000 of gas. Other radar

utes and sells
_

#

of

Summary

7,200,000 bbls.

long-term

in

South Dakota

the

repay the company's siibrt1term indebtedness to its parent,

xl_

n

mcf—

5c_

$1

Less

^

.

combined gas and elec¬

a

business

and

Some 246 communities

Field"'to

Hico

'

509,000

....

lion, does

at 101.73%.
: •
.
versified, although the production
fProceeds from* the sale will be and processing of food remain im-.

Eastern Transmission.

vai

"Dumber1$1,500,000
Working

:

Late m 1958 the company dis-r Pacific; Lighting Corp., and to substantially to the economy of
covered that additional reserves finance in -part the company's the region. The favorable crop and
of gas lay behind- the pipe in a construction program. The com- livestock situation, coupled with
field in which the company has pany expects that gross plant ad- the program of oil development
Inng had production^ the Hico ditions for the year 19o9 will and continued activity on the
Field of Northern Louisiana. A total about $29,700,000 and about Federal Government's numerous
market for the gas exists, and the $41,400,000 for 1960.
water resources projects, provided
production is dedicated to Texas
The company purchases, distrib- stability in the area's economy last

values

arbitrary

are

used.

..

i

venues*

•

.

7Vzcents per mcf based on the
lower weighted average and approximately 9 cents based on the

higher.
$1 for

■

contribute

a

around

is

*,

wJS It 106-73% to the principal amount,
Jht Sri
They ar^ also redeemable under
TnH^nntHh,ftP a sinking f,,nd and renewal fund

'
T

ly raise to approximately 13 cents,
and within a couple of years, per-.*™
haps 14 or 15 cents. The present
of

ft

7 " n7

the year 1958 was approximately
12.05 cents per mcf, should short-

value

"-

•

-

■■

■

redemPtion at prices ranging from

the

during

-

that;Southwest Gas

have a higher cash flow the
letter six mpnthSy(rf't^^year; Be-

book
^ -

"

'

f

The weighted -average
company's, gas -contracts
.

^he pyth)ok, therefore,

.* asset,
but in;"revenu®s,
appraisal is carried at se.^T1® to

a

below

-

Southern Calif. Gas Co.

first

months

Asset Value

The

Montana-Dakota Utilities, with
annual revenues of about $28 mil¬

Producing interesting at this time,
■

reserves

as

Montana-Dakota Utilities Company

sible capital enhancement should
find the stock of Southwest Gas

~

Outlook

ELY

BY OWEN

area noted for large gas finds and
ready market for new reserves
found.

tric
Current

likely that
to
climb,

■:

'

Public Utility Securities

seems

its

7,200,000 bbls.

should be used.

49

(1397J)

probably sell
or

An

convertibles

equity
at

securi¬

that

important factor in the

time.
com¬

pany's earnings is the income from
non-utility sources—coal and oil
production. Some 150 oil and gas
fields have been discovered in the

Williston arid Big Horn basins and

& LIGHT

CO.

Write lot FREE COPT

/tox .899,

Dept. K

fio\\ loke City 10, Utoh

Serving in
Utoh-ldoho

Colorado-Wyoming

The Commercial and Financial Chronicle

.

.

Thursday, October 1, 1959

.

(1398)

50

that

sure

The Prudent Banker Prefers
Continued from page

calculate

15

diphtheria and small-pox, we have
also largely conquered the scourge
of
unemployment and declining
property values arising, not from

and

twice

population and conse¬

of

housing,

need for

of

lack

quent

mortgages must all have acquired
some of the qualities of our gov¬
bonds.

ernment

need

But,1 we
late

not everi specu¬

fortunes "of the

the

on

civet-

mortgagor—although I would

age

contend that he is sheltered from
the rains of adversity by the same

government sponsored pro¬

mortgages
Federal
Housing Authority or guaranteed
by the Veteran's Administration,
and each passing year seems to
We

grams.

which

have

can

insured by the.

are

that the, holders of these
government-protected investments
fare far better than the holders,
prove

direct

of
a

bonds.
In
government
sold at varying,

government

they

sense,

bonds.„ They

are

are

market

discounts and have a good

with regularly quoted
it

While

unfortunate
wheat

be

may

prices.

that housing, like cotton or

become an object
of government subsidy, it is none
the less true that the lobbies of

farming,

home

has

and

veterans,

builders,

companies have firmly

mortgage

entrenched into our economy the

government - sheltered FHA and
VA loans. They are not only here
to

stay, but they have an elabo¬
price
support ■' mechanism

rate

through the secondary market op¬
of

erations

the

National

Federal

foreign outlets

year

Looking

acquired extraordinary

have

of

penses

diversified and wellaccount, and even

a

mortgage

run

purchased.

loans are

if the

less

until

in recent years—and
surprise some when I say
their
liquidity. Studies
shown
that a
diversified

of mortgages

will

I

have

contribute

will

capital of from 8% to 15%

of

or-

for liquidity needs
reinvestment.
Part;
of
this
each year

more

As

promotion, increased family,
death, decreased family, retire¬
ment, etc.,, that cause families to
move from
one house to another
almost

with

Corp. Pfd.

the

day of first

the

with

cycle
in

advantage

an

chief

com¬

nearly iden¬
of savings,
itself, but the
has
been
the

Its cycle is

mitment.
tical

money
reinvestment al¬

for

from

most

mortgage

ahead,

back

flows

advantage

($20

The

held

shares

pursuant
Bank

out

of

Just

warn

were

banks

please

programs

or

that FHA and

not set up to
bankers.
The

set* up

were

tional
lieve

beneficiaries

Cites

the

been

in¬

common

na¬

vestments. One of the' most recent

ticipates

and

done

by Dean G.

that these new amortized and in¬

ministration,

I

loans

sured

the

are

present

day

mortgages

on

authoritative

have not yet heard
of any programs to subsidize sav¬
ings banks! It seems indisputable
me,

I.

Jules

Graduate

School

Status

They have little or no rela¬
tionship to the short-term, un¬
amortized, and uninsured loans

the

of

Bogen

Ad¬

of Business

Univer¬
Investment

York

New

The

entitled,

sity,

as

published

was

Rowland Collins and

Professor

best investment of prudent bank¬

be

ers.

that

the banks

brought

so

much

trouble in the 30's.

Net Uisk-Free Yield

They offer the highest net risk-

this

author

Last

"Why Invest
Mortgage Loans?"
is now out of print, but I
be happy to send copies to
interested banker who will

This

plies and all the rest for not much

as

that

millions

passed from

of

dollars

have

bank to another

one

on a

dividend differential for only

one

or

¥2%?

two
interest
periods of
Probably, they insist upon

rigid

economy

in

bank

salaries

article,

any

write
to

to

consider

has

There

me.

lost

too

joining

afraid

is too

that

savings banking
competitive an undertaking
>-

still

is

act.

badly

No

one

delay,

by

the

I

would

ings

bankers

backwards

housing. It is
in

hope

farm

homes,

a

up

the

be

the

finance

to

1958

you

of

would

the

But if

programs.

to

direction.

originate
still

may

require

at

FHA

you

full

ancTTM

have

your

would

I

take

reasons

own

purchase

loans,

all' you

generously rewarded.

prudent

man

theme,

Louis J,

with

Brown,

Liebenguth

Liebenguth, associated
with Spencer Trask & Co., New
York City, passed away Sept/ 13
at the age of 67 following a brief
illness.

.

.

May Adds to Staff
(Special to The Financial Chronicle)

.PORTLAND, Ore.
Detlofsen

from

but

I

our
am

Yamhill

explained

on

the

U.

S.

has

—

added

been

Lloyd
to

the

May & Cd., 618 Southwest
Street.

.

River

(MontreaKto

Lake

1958's.

over

Week

1
■

.

away

according

economy,

to

"Ward's

Automotive

"

111,156
that

new

ran

first

retailed Sept. 11-20 resulted in a daily
under 14,263 for Sept. 1-10 and dropped

cars

2.5%
20

days

below last month had

.

20%
been

under like

August.

A

decline

of

Anticipated.

,

good bulwark of selling merchandise in general should the

a

steel

Louis G.

staff of

%

month's

and

good

We have strayed away

Lawrence

bright-side interpretation of the sales slowdown puts the
new car inventory in early October at about 650,000 units,
including a nearly equal number of 1959 models and 1960 models.
This would mean a not overly burdensome amount-of 1959's
strike

10-weeks old)

(now

curtail auto shipments from the

Hopes had been to pare the 1959 model stockpile
Oct. 1 closer to 300,000 instead of the anticipated 345,000.

.assembly plants.
on

new car
inventory dropped to 595,000 on..Sept.. 20, the
consisting of an estirriated 116,000 of the I960 and 470,000 of
models.
Another 135,000 sales Sept. 21-31 would pare
the old model stockpile to about 345,000 as October opens.

The

count

the

-

St.

dealer

.

affiliated

1

A

is now with Smith,
Co., Southeastern Bldg.

Madeira' & Company of New York.

No.

the rather dismal Sept. 1-10
sales with the Labor Day weekend plus after-effects of

car

strike

the

Jr.

on

.

Aug. 31 dealer contest closeouts. Now a still lower sales total for
Sept. 11-20 is being described in ,erms of the impact of the steel

average

my

all

the

week

new

sub¬

STELLA, N. C.—George E. Fee,

composite, based

Steel Strike Hits Auto Sales

in

With Brown, Madeira

don't strike.

of'electrip energy distributed by the electric light
power industry for .the week ended Saturday, Sept. 26, was
estimated at 12,878,000,000 kwh., according to the Edison Electric
Institute.
Output increased by 99,000,000 kwh. above that of
the previous week's total of 12,779,000,000 kwh. and showed
a
gain of 536,000,000 kwh., or 4.3% above that of the comparable

company's

company

price

scrap

ore,

'

through

The auto makers

aid

shipping.

ore

handling foreign

The amount

Goldsmith

belief that much
opportunity
still

"Steel's"

shipping quickly.

permits

Reports."

now

13

and

.

preferred

used

of

resume

weather

Electric Output 4.3% Above 1958

10%

is

ore.

almost

through spring production if:

77%, while downbound tonnage is only 32%

company.

of

scrape

expected.

im¬

new

good

vs.

about 354,000 ingot tons.

credit life and dis¬

sale will

Clanton &

moving Lake Superior

tons in August

Ontario) thus far in the 1959 shipping season is nearly 50% higher
than it was in the same period last year.
Some sources fear the
seaway will
be of greatest benefit to foreign interests.
This
year's statistics do not dispel their anxiety. Upbound tonnage is

par

over

lean

promote

this

that

advantage
not

would

to

sav¬

more




$2

(Special to The Financial Chronicle)

hope that all our

the retort courteous

savings

its

of

(Special to The Financial Chronicle)

D.

are

gross

June) is moving down the lake..

was

Traffic

GREENSBORO, N. C.—Clarence

of

company

yields and from
trustworthy servicers. If you have
the
confidence
to
go
far from
home, you will be proportionately

that

ment is

With Smith, Clanton

time

today to permit 'such sacrifice of
possible income; It will be said by
some
that mortgages are expen¬
sive to acquire and service. I offer
accounts are expensive to acquire
and service too. Many banks will

insurance

The

other prudent men.

exists

am

and

The company par¬

proceeds

and

vessels

(797,979

week, steelmaking operations held at 12.5% of capacity,
heavy smeltipg grade at Pittsburgh, Chicago, and eastern Pennsyl¬
vania, held steady at $41 a gross ton. 'A heavy poststrike move¬

sidiaries.

yet, but it is necessary for our
men
not to put off too

long

undeveloped

they will direct
purchase of bonds running for
at 1% less return than
they might have received from
government guaranteed loans. I

loan

of 243

ore

Last

through

expansion

prudent

the

years

to

and

out

and expenses, yet

15

,

of

week,

Production

in Out-of-State

will

¥2%? Do these trustees know

as a result
shyly admit to being
of
a
rather
widely

Net

trickle

corresponding permanent

'

Rail labor doesn't halt traffic with strikes.

ability insurance

the

where the
yield
differential to mortgages
was
only 1%. Do these trustees
stop to think that you can run the
whole bank, rent, salaries, sup¬
over

not

ore

jobs,.

(5)

issued to Bancshares

mobile

now

wages

considering with increasing alarm the pos¬
shortage, "Steel" said.Only 37 ore carriers

Eastern stevedores,

the

plements, etc.); lending of money
purchase
of automobiles; the operation of
insurance companies (x&iefly en¬
gaged in insuring again® risks of
loss
or
damage to ^Srtomobiles
and damage to buildings); and the

stock

the

bonds

have

iron

an

also

(4)

of

Company Act of"
close of
business

shares

operation of

steelworker

December

to dealers to finance the

of this talk. I

distributed

preferred

Mort¬

lost

Lake vessels

provisions

stock.

cars,

through

(3)

its subsidiaries
purchase of installment ob¬
ligations (principally on the sale
of

billion

(2)

Bancshares

of ownership

in the

already been removed

higher

they

VA

that

subject,

free

yield — from ¥2% to 1%%'
than
competing, invest¬
ments. I have heard bond-minded
trustees stating their opinion that

and

FHA

of

gages." This excellent study may
purchased from the University
and
should
be
required
read¬
ing for any savings bank officers
or
trustees who have any doubts
on

Highest

the company

have 2,327,544.3

studies

excellent

Many

Study

Nadler

and

Bogen

of

The steel strike ends about Oct. 1.

companies

ance

Be¬

the

of

with housing.

concern

"

•

are

lake fleet

a

a

agencies. In consideration therefor

please

to

voters and the banks are only

indirect

petitive.

$4

(1)

Association. They re¬ opportunity afforded to reinvest Dec.
31, 1958, Bancshares trans¬
yearly aid and ad-,, a
portion
of
the
bank's
old ferred to the company all shares
through
the
Housing deposits at constantly increasing of stock owned by Bancshares in
Acts which claim so much > Con¬
rates
of interest and hence to its 22
non-banking subsidiaries,
gressional attention each year.
permit the banks to stay com¬ consisting of loan, finance, insur¬
programs

signs

.

million tons in

almost

I hasten to

almost

..

sibility of

justment

VA

week,

thousands

metalworking weekly said direct steel losses alone
to

Steelmen

owned
by
non-banking

which

Holding
At the

1956..

of

Steelmakers will barely

itself

to

eleventh

pay

its

of

divest

to

was

its

hundreds

stock

of

in

subsidiaries

through

additional

supporting industries their

loss of U. S. steelworkers'

from
General
Banc¬
shares
Corp.
(formerly General
Contract Corp.) all of the directly
Bancshares

drags

cost

of the Canadian export market means a

share)
Corp.

per

Mortgage
ceive

in

strike

new steel sources, the magazine
Canada, which imports about 1 million tons of finished
Steel annually (60%-of it normally from" U. S. mills), is turning
to European rind Japanese suppliers.
U.
S; producers now wonder whether they'll regain their
Canadian customers after the strike is settled.
A perinanent loss

for the purpose

1958

to intensify
"Steel"- magazine

reopen,

reported.

organized in
of

whs

company

Intensity.¥ ^
continue

The strike has sent Canada to

of General Contract Finance

October,

mills

are

will

it

mills.

&

par

the

will

and

($780,000,000), lObt sales ($2,268,000,000), other losses ($432,000,000),
($495,000,000 jv.
"Steel" said to look for Taft-Hartley to be invoked sometime
between Oct. 1 and 15 to .get striking steelworkers back in the

period¬ acquiring

predictable

icity. Unlike bond money which is
committed at fixed rates for long

periods

at

A

after

in

Mounts
on

and tax losses to U. S.

Stock Now Offered

series

is

checks.
Hundreds of
steel using plants will be closed for lack of material.

General Contract

Walker

readied

>

steel

the

The

H.

Steel

steel

weeks

that

amount

G.

for

for

consumers

workers

Co., of St.
pnoney
is
amortization,
which Louis, Mo., headed an underwrit¬
flows
in regularly each
month, ing "syndicate on Sept. 30 which
but an even greater flow comes publicly offered 200,000 shares- of
from the normal human tides of 5 ¥2% convertible preferred stock,

or

several

mount

bankers?

Finance

days after
be

down

With

"turn

eight to twelve years
cash return

over" every
and

will

portfolio

Age"

the "last

scouring the country for badly needed
sheets, plates,, bars/ and "structural
They're paying premium1
prices, absorbing extra freight/signing costly conversion contracts
—doing whatever is necessary to stay in. business. Unless they
find what they-need, they will nave to cut production or shut

this—is

mortgage

Iron

about

settlement. 60

the last offer by the companies must

scramble

Steel

Polonius, Confucius,
on your side,
can
anyone lack courage to
the
company
of
prudent

advantage join

Perhaps the greatest

"The

use,

concerned

reported. Sept. 28.

and Justice Putnam
how

T-H

are

there is.no

vote among steel workers.)
executives admit that putting

Scramble
The

Paraphrasing for my purposes a
saying by Confucius — "An im¬
prudent man sees 'difficulties inopportunity; a prudent man sees

aside."

probable

(If

the eight points of con¬
language modifications, along with the explosive local
practices clause, onto the ballot would be a tricky problem.
•%--

what per¬
centage costs would have to be opportunity in difficulties." Arid
ascribed to a bond account, but I
again from Polonius—"Be. not the
can
stafe confidently
that not first by whom the new is tried,
over
¥4%
should' cover all ex¬ nor yet the last to lay the old
well. I do not know

as

the act.

tract

bonds, he has been* willing to
undertake this trouble the better
to serve his bank, his depositors,
and his community.
on

.

•

secret

a

Some

than cutting coupons

troublesome

handling

in

ciency

the

to

steel executives

some

otter^ aspect of
the injunction,
for

„

are

ahead

reports that

on

v

sold cut months ahead and any orders placed
not be counted on to ease the strike-created
shortage.

can

cor¬

hundreds of accounts porate bonds. If he had prejudices
with balances under $100.
After against mortgages, he has been
150
years
of
experience
and willing to put them aside. If
mechanization, the savings banks mortgages
are
somewhat more
a

umbrella that protects mortgagors
under

than

less

than

rather

more

and/Industry

Continued from page 4

and that he is de¬
lighted to find that a security of
this quality and maturity yields
investment,

effi¬
small thrift
accounts.
Can
anyone
suggest
but from foreclosures and distress
any
institution
that would be
sales. Our government has prom¬
better equipped to originate and
ised full employment in the Em¬
service
small
mortgages?
vQhployment Act of 1946 and if this
viously, our
savings banks are
promise is to be kept, then our
superbly efficient mortgage banks
decline

The State of Trade

confidence in

interest

pay

and

of mortgages, that he has
the qualities of this

buyer

Out-of-State Mortgages

In and

banker^

prudent

our

today is an expert originator

1959

that impact of the steel strike1 is now being
purchasing; but they admit that advanced
notice of a "stand pat" policy in
1960 model pricing plus the
customary seasonal decline in September buying also are factors.
Based upon present trends, Ford September sales are expected
to edge Chevrolet but the increment is not expected to seriously
narrow Chevy's lead.
What could hurt Chevrolet is an assembly
shut-down due to the steel strike; Ford, on that basis, claims an
ability to out-produce Chevy in the fourth quarter due to a
superior steel inventory-production position.
•.
"Ward's" reports passenger car production in U. S. plants
for week ended Sept. 26 totaled 88.906 cars, comparing with 42,599
Observers

told in reduced

in

the

Sept.

say

new car

27,

1958 week.

In the first eight months of 1959,

Volume 190

Jr

Number 5886

>

.

The Commercial and Financial Chronicle

,

(1399)

4,073,210
the
___•

units

same

wer^ produced, which

period in

with 2,743,820 for

compares

1958.

Were

opeFati.ons totaled 21,507 for Sept. 26 week,
i_un
in the same week a year ago. Output

f

period^n^gss

1959 t0taled 823'490,

contrasting
in the first

as aSainst 563,478 for same

■

:

,

Steel
The

Output Based

American

Transactions in oats were close to a week earlier
and prices
steady. A slight decline occurred in
trading in rye and prices
were down
slightly. Soybean buying lagged during the week re¬
sulting in a fractional dip in prices.
Flour prices
edged up somewhat during the week as both

1

Iron

and

12.9% of Capacity

on

Steel

Institute

domestic and export
buying
rice climbed
substantially

*

++

"
that

announced

There

the

fractionally.

(based on average weekly produc¬
1947-49) as compared with an actual rate of 22.5% of
capacity and 362,000 tons a week
ago. [ED. NOTE: A strike in the
steel
industry began Wednesday, July 15.]
j
v"J

w waj

j

JU

those of

•«.:;; + ++ v
the, operating rate (based on 1947-49 weekly
production) was *20.7% and production 332,000 tons. A year ago
%
the actual
weekly production was placed at lj9'0l,OOQ tons, or
,*118.3%.
'
:\
'• ;.7; V;:.r.
*Index

of production

Car

nounced.

is based

average weekly

on

V

^

the

cars,

This

was

corresponding week

Association

decrease

a

in

of

below

165,000

additional,

week if
week

000

preceding

there

holiday
would

cars

fceeh

had

week.
have

steel

no

estimates the cumulative
"+

cars.

It

is

an¬

the

loss

is

loaded

Based

now

■•..+

in

20.3%
about

the

ing

the

week

approximately
+■/.■

is influenced

ing

part

the

Labor

the

of

the

week

previous week of this

These

politan

findings

reflects

Rebounding

year.

19.6%

was

ahead

The

this

handled

at

400

over

truck

Business Failures Up
Commercial
week

Dun
a

and

terminals

failures

climbed

282

to

in

the

somewhat

was

in

increase to 30

an

from

retailing, and to 60 from

25

35

were

in

in

wholesaling,-to 136 from
construction, but declines

clines

wholesaling, retailing, and construction, while declines
prevailed in manufacturing and commercial service.
of

the

nine

major

curred from
in

the prior week.
West South Central,

the

In

contrast,

North

casualties

Central,

geographic

The

most

in

the

regions, increases
South

East

and

Mountain Regions.
year ago in the Middle Atlantic States,

Atlantic

North

Failures

were

over

States,

of 31

Index

represents

of-living index.
of

food

the

sum

food stuffs and meats

raw

prices

Wholesale

Its
at

chief

the

in

function

wholesale

total

were

to

butter,

eggs,

flour, corn, rye bellies,
potatoes, rice and steers.
of

general
is

oats,

the
use.

show

price
It is
the

pound

per
not

a

general

cost-

_

flow into
close to

of the

the

beginning of the week, they dipped appreciably
period.

As

the

record

new

corn

crop

began to

market, prices dipped noticeably;' corn,
trading was

the prior week.




sales moved

Banks Notes

Being Offered
Public

Federal

steady.

dated

for

children's
new

There

back-to-school

•

a

Net

over

at the Dallas

Gift Shew

on

and

the

to

Home

to

Loan

Reynolds

a

marked

Banks

York

& Co., 20 Broadway,
City, members of the

York

Stock

announced

business

of

System

the

Edwin

York

com¬

A.
Binder, partner in
Schwarz, has joined Rey¬

Corn,
nolds

..

senior

as

consultant

firm's

eastern

ment.

in

Mr. Binder has been

as

commodities

a

than

50

nected

years
with

the

commodity depart¬
active

broker for

and

every

has

more

been

phase

con¬

of

the

business..
•

A

native

Binder

of

began

cotton

Switzerland.

in

England, in 1906.

country

in

George

of

where
1922.

taken from

was

he
In

the

broker

firm

store

New

1890.

re¬

Up

department

with

brokerage firm of Corn,
Schwarz
&
Co., established in

Orders written

as

Exchange,

coast-to-coast, has
acquisition of the

the

modity

1911

in

Mr.
as

Liverpool,

He came to this
and

F.

became

1946,

business

joined

Jones
a

when

&

partner

the
Co.

in

IV^r. Binder

senior

partner in George F.
Jones, the firm was merged into
Corn, Schwarz & Co.

like

Reserve

will aggregate

N

39 offices from

noticeably exceeded those of the similar

the Federal

for

New

scattered

ended Sept. 19,
period last year. In the preceding
week, for Sept. 12, a decrease of 8% was reported. For the four
weeks ended Sept. 19 a 5% increase was registered and for Jan. 1
to Sept. 19 an 8% increase was noted.

According

demand

Reynolds Acquires
Corn, Schwarz & Co.

Board's Index for the week

above the

Bank

Loan

the

$1,536,280,000.

*+

Reserve

Home

meet

Upon issuance of the notes, out¬
standing
indebtedness
of
the

16% for Sept. 19 Week

16%

of the

mortgage money.

a

Department store sales on*% country-wide basis
the Federal

notes

of^ canned

some

their stocks.

event last year.

increased

of

System

and

the effects of the steel strike

The

proceeds from sale

tions

refrigerators, expanded noticeably, and
and dealers were becoming increasingly concerned

manufacturers

Board

Loan

notes well be used to provide ad¬
ditional funds to member institu¬

sizable increase in

laundry equipment,

Sept. 30 by

on

Home

(Securities dealers.
are" priced at 100%.

offset de¬

man-made fibers

and

made

was

Federal

was

fabrics

notes

15, 1959 and due July.

of

orders for juvenile merchandise suitable for

industrial

5.40%

consolidated

through
Everett
Smith,
Fiscal
Agent of the Banks, and a group !

lawns

of

$134,000,000

of

New

were

apparel,

Oct.

15, 1960
the

-

Noticeable gains occurred in fur-trimmed cloth

ago.

offering

Home Loan Banks

non-callable

up

were

associates

Federal Home Loan

major appliances this

Nationwide Department Store Sales

grains, butter, hogs, and
levels slipped from a week
Thg Daily Wholesale Commodity Price
Index, compiled
by Dun & Bradstreet, Inc., dipped to 277.23
(1630-32 = 100) on
Sept. 28 from 277.73 in the prior
week, and was slightly below the
277.91 of the
corresponding date a year ago.
Although light offerings and high volume boosted wheat
prices
end

-

at

and

per

sold.

trend

earlier.

the

ended

East

marked increase in sales of

a

food

year

level.

Reflecting lower prices
on some
lambs, the general commodity price

at

week

trading. ^Incoming orders at dyeing
and finishing plants in New England expanded moderately and
"further gains are anticipated in the coming weeks.
"%•
Furniture wholesalers in most primary markets reported an
appreciable rise in the call for upholstered chairs and volume in
case
goods, bedding, and occasional tables and chairs was up
moderately.-Appliance sales, especially television sets, hi-fi sets,

Commodity Price Index Slips in Latest Week

somewhat at the

a

ported

the

Higher in wholesale cost this week
hogs.
The list of declines included
lard, cheese, coffee, cottonseed oil, cocoa,

the

in

&

Inc.

share, with a dealer's
concession of $1.10 per share. This,
offering- was quickly completed,
all of the said shares having been

another rise this week in trading in print cloths
boosting volume in over-all cotton gray goods moder¬
ately over a week earlier. Transactions in woolens, worsteds, and
carpet wool remained sluggish in Philadelphia and Boston mar¬

•93 set on

and

trade

9ugar, rice, fresh meat, and fresh produce
frozen foods, flour, and baked goods.
Sales

There

and

Wholesale Food Price Index
Dips to 1959 Low
The Wholesale Food Price
Index, compiled by Dun & Bradfet, Inc., dipped moderately on Sept. 22 to hit the 1959 low of

The

was

kets/Wholesalers

...

retail

Lynch, Pierce, Fenner

Smith

$100.50

vholiday selling.

-

-

Merrill

by sales promotions, shoppers stepped up their
children's back-to-school clothing, especially girls'
skirts and boys' shirts and slacks.
Increased volume

rise occurred in

7, in the East South Central States, down to 3 from
9, in the West
South Central States, to 21 from
24, and in the Mountain States,

Aug. 11. There was a declinfe of 0.8% from the
$5.98
prior week and a drop of 8.6% from the
$6.49 of the cor¬
responding date a year ago.

of

volume

in

in

"re-orders

up

down to 3 from

was

was

in volume in other fashion accessories.

States up to 28 from 19, and
66. Year-to-year declines

-

trade

in

a

up to 89 from 84, in the
to 43 from 35, in the South Atlantic
in the Pacific States up to 72 from
prevailed in New England States, down
to 17 from 18, in the West North Central
States, down to 6 from

East North Central

retail

coats, suits; and dresses. While marked increases were reported
handbags and jewelry, wholesalers were a little disappointed

West

above

;Over-all

.

dollar

goods, poultry, and dairy products

States.

Central,

cities."

some

ago.

Preparing for the Christmas selling season, buyers stepped up
their orders this week for women's apparel, and volume was well

oc¬

noticeable rises occurred

Pacific, and

slipped

of

Increases

in

five

A
secondary
distribution
of
300,000 shares of common stock
(par $16%)
of the U. S. Steel,
Corp. was made on Sept. 30 by

consumer

slightly this week, with primary
gains in fresh produce, dairy products, and fresh meat. Volume
in poultry, canned goods, and frozen foods remained close to the
preceding week.
Food buying at wholesale matched that of the prior week.

reported in manufacturing, down to 39 from
51, and in com¬
service, down to 17 from 23.
Year-to-year increases oc¬

In

in

year

percentages:

Retail

mercial
curred

stimulated

prior period and a year ago; best-sellers were
laundry equipment, television sets, and lamps.
Consumers stepped
up
their purchases of occasional furniture, upholstered chairs
and bedroom sets and appreciable year-to-year advances occurred.
While interest in floor coverings and linens moderately exceeded
that of a year ago, the buying of draperies remained close to the
comparable 1958 level.

Smaller failures, those involving liabilities under
$5,000
to 35 from 41 in the prior
week, but edged
up over the 34 of last year.
Thirty-three of the failing concerns
had liabilities in excess of
$100,000 as compared with 20 a week
earlier.
C,:~'
•
Tolls were higher in three of the
industry and trade groups.
130

cur¬

Corp,
Secondary Completed

week over both the

year ago.

There

a

reports.
total

There

1957 week.
There was an increase of 7% over the
similar period of prewar 1939.
.Liabilities of $5,000 or more were incurred
by 247 of the
week's casualties, compared with 223 a week
earlier and 234 a

"

is

U. S. Steel

Spurs Retail Sales
the week-end

over

suits, slacks, and sports jackets.

the

declined

Dallas

the Commission

on

Human Relations.

on

coats, suits, and dresses boosted over-all sales of
women's apparel noticeably over last year; interest in accessories
and sportswear lagged.
The call for men's apparel showed ap¬
preciable year-to-year gains, with interest centered primarily in

Sept. 24 from the 264 of the previous week, reported
Bradstreet, Inc.
Casualties were moderately higher than
when 268 occurred, and were slightly above the 278 of

of

Mrs.

rently, serving

up

\yomen's

similar

264

.

buying
in

year ago

-the

strike

Wednesday

dresses and

ended
&

of-

member

a

Chairman of Council's

was

committee.

Exchange

Attracted

of

throughout the country.

Moderately for Week Ended Sept. 24

industrial

were

North Central + 9 to +13; Middle
+8 to +12; South Atlantic and Moun¬
tain + 6 to +10; West South Central +5 to +9; West North Cen¬
tral and New England +4 to +8; East South Central 0 to +4.

on

general freight

was

committee of public
healthy Chair¬
man
of the public welfare com¬
mittee and served on the finance

Atlantic and Pacific Coast

.

of

their

regis-*

a

33,000

weather

over

following

that

the weekly survey of 34 metro¬
by the ATA Research Department.
The

tonnage

carriers

common

Dallas

rose

7% to 11% higher than a year ago, accord^ing to spot estimates collected by Dun & Bradstreet, Inc.
Re¬
gional estimates varied from the comparable 1958 levels by the

from

of

steel

scattered

year.

based

are

conducted

areas

report

last

with

as

Philadelphia City Council for
four years, 1952-1956, represent¬
ing " the
Eighth
"Councilmanic
District;
During that period Mrs.

The most substantial gains occurred
in back-to-school and women's Fall
apparel, appliances, and fur¬
niture.
Although volume in new passenger cars slipped from the
prior week, sales remained well over a year ago, according to

by the work stoppage in Western States dur¬

comparable

the

17.4%

was

cool

noticeable

1,500,-

1958, the American Truck¬
However, the increased ton¬

Day holiday, truck tonnage

with

compared

Clear

of

to

of

Associations, Inc., announced.

nage

of

corresponding

Cotton

office

Mrs.-Dallas

buying in the week ended Sept. 23, offsetting the growing effects

current

week

these

on

Intercity truck tonnage in the week ended Sept. 19,
of

York

Trading moved

associated

the

•

Intercity Truck Tonnage 17.4% Above 1958 Week
ahead

New

prior week.

Exchange

tered representative/

~

earlier.

Cool Weather
or

that

cars

estimated

been

strike?

week

a

become

Philadelphia

27,009
the prior 'week and 71,000 in the
similar week a year ago.- For the season through last Tuesday
exports came to about 189,000 bales, compared with 383,000 in the
corresponding 1958 period.
bales,

.

the

has

prices

steady this week as receipts and trading
Salable supplies of lamb declined and prices

20.2%

above

cocoa

Stock

of cotton for the week ended last Tuesday were estimatd at

89,520 cars or 13.4%. below the
and a decrease of 146,694 cars or

1958,

purchases matched

were

on

from the

of

below the corresponding week in 1957.
Loadings in the week of Sept 19, were 97,593

as

slight decline in

^;

were
unchanged
at the beginning of the
week, but receded at the end of the period. United States exports

production

Railroads

American

a

York

other leading exchanges, an¬
nounce
that Constance H. Dallas

increased

prices

somewhat

'?■ ++;; .,/• %

■

unchanged

was

t.

Crouter & Bodine,
Building, members of

Title

New

and

appreciably below the prior week.' The decline
receipts in Chicago and sluggish trade.

were

to

moderately.

'•''%/++

freight for the week ended Sept. 19, 1959,

revenue

totaled

they
due

Steer

Loadings Down 13.4% from 1958 Week

Loading of
578,240

*

week
was

Price

;..+ ''

.

were

There

sluggish sales resulted in a slight dip in
during the week. Trading in cheese was steady and
prices were unchanged, but a sluggish call for eggs held prices
slightly below the preceding week. ;
+"J%+•+••
Although hog prices moved up somewhat at the end of the

ago

; for 1947-46.

the

Heavier supplies and

.

;;;

Coffee prices

week earlier.

a

Townsend,

Land

manu¬

butter prices

•

output for the week beginning Sept. 21 was
equal to
12.8% of the utilization of the Jan.
1, 1959 annual capacity of 147,633,670 net tons. Estimated
percentage for this week's forecast
is 12.9%.
.
•
+'
month

&

levels.

in

reflecting sluggish activity,

Actual

A

DeHaven, Townsend
PHILADELPHIA, Pa.—DeHaven

Purchases of

holding prices at prior week
the buying of rice by cereal

rise

Mrs. Dallas With

export buying held at the level of the
prior week.
Domestic sugar
trading was strong last week and prices rose

Jons of mgot and steel
castings
tion of

o

market

a

facturers and

operating rate of the steel
companies will average*22.7% of steel
capacity for the week
beginning Sept. 23, epuivalent to 365,000

«/

was

expanded moderately.

51

I

Merrill Lynch Adds
(Special to The Financial Chronicle)

sales in New York City for the week ended Sept. 19 increased 20%
the like period last year. In the preceding week

Paden has been added to the staff

17% decrease

Merrill

over

loss

over

the

was

same

Bept. 19 showed

a

Sept. 12 a
For the four weeks ended Sept. 19 a 1%
period in 1958 was recorded and Jan. 1 to

shown.

3% increase.

T

'

PORTLAND, Ore.—David W. J.

Smith,

Lynch,

Pierce, Fenner &
Incorporated,
Executive

Building.

I

Financial Chronicle

The Commercial and

Thursday, October 1, 1959

* INDICATES

& Construction Corp.

Acme Missiles

in Registration

Now

Securities

per share.
Proceeds—For general corporate
including additional personnel, office space,
-equipment, and the provision of funds necessary to
compete for certain contracts. Office—2949 Long Beach
Road, Oceanside, L. I., N. Y.
Underwriter — Myron A.
Lomasney & Co., New York."
-

Land

working capital. Office—15th floor, tHoge Bldg.,

Seattle

International

struction

Corp. of Florida

(par 10 cents).

—To be used to pay

ital.
B.

Underwriter—Frank

Office—Fort Lauderdale, Fla.

Oil

Inc. v

Co.,

Prices
$5 per share. Proceeds—To assume and pay an option
held by its Mexican subsidiary to purchase certain min¬
ther development and exploration of the oil and gas po¬
ting claims, in the State of Durarigo, Mexico, owned by
tential of the company's Alaska properties. Office—80
Compania Minera La Bufa, S. A., by paying to such
Wall St., New York.
Underwriter—To be supplied by
company $50,000; to construct and place in working oper¬
amendment, Offering—Expected
in about six to eight
ation a mine, mill and accessories capable of processing
weeks!'
100 tons of gold ore per day estimated to cost $350,000;
Alaska Mines & Metals Inc.
payment of about $15,000 of other obligations; to carry
Feb. 25 filed 1,431,200 shares of common stock (par $1),
on with the balance of the proceeds an exploration pro¬
■of which 1,000,000 shares are to be offered publicly and
gram for additional gold "and mineral properties both in
150,000 shares of common stock.

29 filed

June

filed 3,000,000 shares of common stock (par
five cents).
Price—$2.50 per share. Proceeds—For fur¬

Sept.

131,200 shares

to be reserved for sale to the holders
DeCoursey-Brewis

are

Mexico

Ltd., the company's parent (payment for the
by such debenture^ holders may be made by

Minerals

daares

tor cash

xate of

for each five shares purchased.

Rubber Co.

&

—

Harry

E.

Associates,

Brager

•

Allied Colorado Enterprises Co.
13 filed 5,899,618 shares of class A common stock
of class A-l common stock for issu¬
ance
under outstanding subscription agreements at 75
cents per share and 6,576,200 shares of class A common
«tock for issuance under outstanding option agreements
at 25 cents per share.
These securities will not be is¬
sued if the options and subscription agreements are not
•exercised.
Proceeds—For working capital and surplus
•of subsidiaries and for general corporate purposes.
Unr

Jidy

4Uid 551,140 shares

Investment

.•derwriters—Allen

Co.

■July 13 filed 3,000,000 class A common stock (par 25
■cents). Price—90 cents per share. Proceeds—For gen¬
eral corporate purposes. Office—Boulder, Colo. Under¬
writer—Allen Investment

Co., Boulder, Colo.

Allied Radio Corp. (10/6)
•Sept. 3 filed 333,335 shares of common stock (par $1).
Price
To be supplied by amendment. Proceeds
To
—

—

■selling stockholders.
Office—100 North Western Ave.,
Chicago, Illinois. Underwriter — White, Weld & Co.,

'

York.

iNew

1

surplus

—

Underwriter—To be supplied

Nov.

13, 1958,•-filed 5,000,000 shares of common stock,
4,545,455 shares of this stock are to be offered
public sale at $1.75 per share. [Shares have been

•of which
for

issued

or

issuable

are

under

agreements

with

various

policy holders in American Buyers Life Insurance Co.
and American Life Assurance Co. (both of Phoenix) per¬
mitting them to purchase stock at $1.25 per share. Sales
wersonnel have been given the right to purchase stock
at $1.25 per share up to the amount of commission
they
receive on stock sales made by them.] Proceeds—For the
operation of other branch offices, both in Arizona and
in other

Ariz.

states.

Office

—

2001

East

Underwriter—None.

• American

Roosevelt, Phoenix,

W

.

Sept. 15 filed 3,800,000 shares of class A common stock
(par $1), (voting), and 950,000 shares of class B common
/stock
lour

(par $1),
shares

of

(non-voting), to be offered in units of
class

Price—$25

porate purposes.
Standard

A

per

stock

unit.

and

one

share

Proceeds—For

of

class

general

B

cor¬

Office—Nashville, Tenn. UnderwriterCorp., Third National Bank Bldg.,

Securities

Nashville, Tenn.




-

of

Insurance

Life

Service

American

Co.

stock, of which

None.

class

B

on

stock

Indianapolis, Ind.

~

company and used for working capital.
Office—
Prince Albert, Saskatchewan, Canada.
Underwriter —

into

Bank

Offering—Expected prior .to

Stock Corp. of

Milwaukee

11

change take place by Dec .3, 1959. The exchange offer
will expire on Nov. 13, unless extended. Office—721
North Water

St., Milwaukee, Wis.

Bankers

Management Corp.~"~ ~
Sept. 10 (letter of notification) 300,000 shares of common
stock (par 25 cents). Price—$1 per share. Proceeds—
For working capital. Office—1404 Main Street, Houston
2, Texas.
N. J.

Underwriter—Daggett Securities, Inc., Newark,
/

Offering—Expected in about 60 days.

Bankers Preferred Life Insurance Co.

(letter of notiifcation) 100,000 shares of common
(par $1.60). Price—$3 per share. Proceeds—For

Jan. 30

stock

incidental to operation of an insurance com¬
Office—Suite 619, E. & C. Bldg., Denver, Coto.
Underwriter—Ringsby Underwriters, Inc., Denver 2,

expenses
pany.

Colo.

★ Bartell Broadcasting Corp.
Sept. 17 (letter of
notification) 54,545 shares of capital
stock
(par $1). Price—$5.50 per share. Proceeds—For
working capital and to finance expanded operations of
the company. Office—730 Fifth Avb., New York, N. Y.
Underwriter—W. W. Schroeder & Co., Inc., New York,
'

N. Y.

Underwriter—None.

Apache Oil Corp.
'
'
'
May 25 filed 350 units of participation in the Apache
Oil Program 1960 and 70,000 rights for the purchase of
common stock (par $1.25).
The offering is being made

market.

filed 605,000 shares of common stock, to be
offered
in
exchange for common stock of Marshall
& Ilsley Bank and the capital shares of the Northern
Bank, on the basis of two of the issuing company's shares
for each such Marshall & Ilsley shaire, and 10% of the
issuing company's shares for each such Northern Bank
share.
The exchange offer is conditioned upon the issu¬
ing company acquiring by exchange not less than 80%
of the outstanding shares of the Other banks, which are
also located in Milwaukee, and has been approved by
the Federal Reserve Board on the condition that the ex¬
Sept.

Price—At par

capital.

including

civilian

Broadway, New York City.

chase inventory, new

Gate, Calif.

•

Nov. 13.

★ Anthony Pools, Inc.
Sept. 28 filed 200,000 shares of outstanding common
stock. Price—To be supplied by amendment. Proceeds
—To selling stockholders. Office—5371 Firestone Boule¬
vard, South Gate, Calif.
Underwriter — Marron, Eaens,
Sloss & Co., Inc., New York.
Anthony Powercraft
Sept. 8 (letter of notification) 241,200 shares of 5% cu¬
mulative convertible preferred stock to be offered for

($1 per share).. Proceeds—To pur¬
tools, construction and for working
Office—5871 E. Firestone Boulevard,
South

the

Mass.

Anodyne, Inc., Bayside, L. I., N. Y. (10/15)
Sept. 9 (letter of notification) 150,000 shares of common
stock (par one cent). Price—$2 per share. Proceeds—For
expansion and general corporate purposes. Underwriter
—Ross, Lyon & Co., Inc., New York, N. Y.

held.

President.

the provision of funds

filed

the

is

the reduction of indebtedness and
to assist the company's expansion
Office — Newton Highlands,
Underwriter—G. Everett Parks & Co., Inc., 52

purposes,

—

250,000 shares of common stock.
Price
price of 40 cents per share. Proceeds—To be
used to pay for exploration and development of mines
and rest of the funds will be added to general funds of

Kamon

Harrison Electrosonics, Inc.
Sept. 25 filed 133,000 shares of common stock (no par).
Price—$3 per share.
Proceeds—For general corporate

Ampal-American Israel Corp.
July 30 filed $3,000,000 of five-year 5% sinking fund
debentures, series G, due 1964, and $3,000,000 of 10-year
6% sinking fund debentures, series H, due 1969. Price—
At 100% of principal amount. Proceeds—To develop and
expand various enterprises in Israel. Office—17 E. 71st
Street, New York. Underwriter—None. Offering—Ex¬
pected sometime during September.
' •
1

Robert

★ B. M.

held

'

filed 4,000,000

913, Jerome, Idaho. Underwriter—None.

Oct. 12.

_

material,

working capital. Office—202 W. Main St., P. O. Box

For

as of
Sept. 18, 1959;
Price—To be supplied by
amendment.
Proceeds
To be added to the general
funds of the company.
Office—542 North Meridan St.,
Indianapolis, Inc. Underwriter — City Securities Corp.,

and

A

raw

ir B. & G. Manufacturing Co., Inc.
Sept. 21 (letter of notification) 10,000 shares of 6% pre¬
ferred stock. Price—At par ($10 per share). Proceeds—

filed 108,144 shares of class A stock (par $1)
limited voting, to be offered for subscription by holders
of outstanding class A and class B stock (par $1), at
the rate of one additional share for each four shares of
class

and

Grazing & Pastoral Co., Ltd.
shares of common stock. Price—
At par (56V4 cents per share).
Proceeds—To purchase
cattle; for improvements; to buy additional ranch ill
Queensland, Australia; and for other corporate purposes.
Office :—1301 Avenue L, Cisco, Texas.
Underwriter —

3

rights to expire

equipment

working capital.

Australian

Jan. 13

Insurance Co.

States

additional

Office—44 Cherry
Valley Road, West Hempstead, L. I., N. Y. Underwriter
—Burnham & Co., New York.

be publicly offered. Price—$3.50
per share.
Proceeds—For general' corporate purposes,
including, possibly, the acquisition of similarly engaged
companies. Office—113 Northeast 23rd Street, Oklahoma
City, Okla.
Underwriter — First Investment Planning
Co., Washington, D. C.
•

of

additional

for

and

300,000 shares are to

Aug.

(10/5-9)

Corp.

the

purchase

'

American

Plastics

stock holders.

writings, to increase

Sept. 14 filed 375,000 shares of common

llth„ Street,

150,000 shares are to be sold for the account
issuing company, and 75,000 shares for selling
Price — To be supplied by amendment.
Proceeds—For general corporate purposes, including the

Co.

'

W.

Sept. 2 filed 225,000 shares of common stock (par $1) of

underwriting capacity, and for genral corporate purposes.
Office—4750 Sheridan Road, Chicago, 111.
Underwriter
—None.

stock. PriceProceeds—For invest¬

;$toeks.-: Office—301

which

subscription by common stockholders at the rate of two
preferred shares for each three shares of common stock

Educational Life Insurance Co.

(10/19-23)

/stock.

Aurora

Bank of the

None.

Credit Co,

Buyers

premium

by amendment.

common

City, Mo. Underwriter—Jones Plans, Inc., a sub¬
sidiary of R. B. Jones & Sons, Inc.

—Initial

100,000 shares of common stock. Price
$11 per share. Proceeds—To be used to provide equity
capital and long-term loans to small business concerns.

Sept. 29 filed

American

to

reserve

~

Kansas

Underwriter—None.

Insurance

supplied
in

ment

filed

22

Sept.

★ Allied Small Business Investment Corp.

Office—Washington, D. C.
fcy amendment.

Motorists

—

be

To

—

Co., Boulder, Colo.

Allied Colorado Enterprises

Office

Associations Investment Fund

Aug. 28 filed 400,000 shares of common

each

and

Ltd.

Sept. 9 filed 100,000 shares of class A stock. Price—$12.60
per share, payable either in cash or in bonds issued by
the State of Israel.
Proceeds—For expansion.
Office—
Ifadera, Israel.
Agent
Washington, D. C.

States.

—

record

for

Price—$1.25

share. Proceeds—For general corporate purposes and
working capital.
Office—423 Fourth Ave., Anchorage,
Alaska. Underwriter—To be named by amendment
Alliance Tire

United

partial liquidation of its unfunded indebtedness. Office—
734 East Southern Pacific Drive, Phoenix, Ariz. Under¬
writers
Mitchum, Jones & Templeton, Los Angeles,
Calif., and Walston & Co., Inc., New York. OfferingExpected in about 30 days.

Oct. 26, 1959, in the ratio of one new share
eight shares then held. Price—$12 per share.
Proceeds—To raise the ratio of its capital stock, surplus,

of

per

.

.

166,666% shares of captal stock, to be
offered to holders of outstanding shares of such stock

stock purchase warrants on all shares purchased
or for the 6%
debentures of the parent at the

one

the

American

Sept.

delivery of debentures at par plus interest with premium
tor Canadian exchange rate).
Purchasers will receive
•common

and

Southwest Building, Houston, Tex.

and 25,000 shares for the ac¬
holders thereof. Price—To be sup¬

company,

Proceeds:—For general corporate
including the provision of "funds for the ex¬
pansion of Cortez Chemicals Co., a subsidiary, the addi¬
tion to working capital of the issuing company, and the

17

ot 6% debentures due 1962 issued by

issuing

purposes,

Inc.

American Mines*

-—

Consolidated

the

plied'by amendment.

ing the offering.

Bareman, Ltd., Palm Beach, Fla.
Alaska

of

counts of the present

Orleans, La.
Underwriter—
/Lindsay Securities Corp., New Orleans, La. The SEC
had scheduled a hearing/to begin on Sept. 2, which will
determine whether a stop order will be issued suspend¬

Price—$2.75 per share. Proceeds
off loan and increase working cap¬

V

Fertilizer & Chemical Co."

Sept. 24 filed 100,000 shares of common stock (par $2.50)
of which 75,000 shares are to be offered for the account

national Trade Mart, New

Aug. 31 (letter of notification) 109,090 shares of common
«tock

★ Arizona

Proceeds—For con¬
Office—513 Inter¬

($9).
Price—$12 per unit.
and related expenditures.

ferred

•4, Wash. Underwriter—None.
Airtronics

;'

-

—

ferred stock. Price—At par
To

expire at 2:00 p.m., (CST) on Jan. 31, 1962. Unless
Apache Oil Program 1960 commences operations on or
before June 30, 1960, all unexercised rights will be void
as of ,2:00 p.m.
(CST) on that date, and their purchase
price will be refunded. Price—$1-2,000 per unit. Pro¬
ceeds
For general corporate purposes.
Office — 523
Marquette Avenue, Minneapolis, Minn. Underwriter—
APA, Inc., the corporation's subsidiary.;'
.
; ,
, •
" 1

Syndicate, Inc. ;
June 25 filed 600,000 shares of common stock (par 10
cents), and 200,000 shares of 6% preferred stock (no par,,
value, $9 stated value), to be offered in units consisting
of 3 shares of common ($1 each) and 1 share of pre¬

of notification)

letter

purchase of one share per right of the company's $1.25
par value common stock. Warrants evidencing the rights
will be nontransferable prior to Aug. 16, 1960, and will

Investors

American

Co.

11,000 shares of pre¬
($25 per share).
Proceeds—
purchase commercial and industrial property and for

154 (

Sept.

(EDT) on Oct. 22.

received up to 11 a.m.

be

to

ISSUE

tion to a

(par $10).
$52,000,000
of outstanding bank notes, due Nov. 25, 1959, with any
remaining balance to be used for general corporate pur¬
poses. Office—30 Church Street, New York City.
Un¬
derwriter—To be determined by competitive bidding.
Probable bidders: Blyth & Co., Inc. and Goldman, Sachs
& Co.'(jointly); Eastman Dillon, Union Securities & Co.
and The First Boston Corp. (jointly).
Bids—Expected

Price—$6

REVISED

only to the stockholders of the company. Each subscrip¬
unit in Apache Oil Program 1960, will entitle
the subscriber to subscribe also to 200 rights for the

(10/22)

Inc.

PREVIOUS

ITEMS

#

Sept. 9 filed 1,200,000 shares of common stock
Proceeds—To be applied to the retirement of

purposes,

AFCO

Electric Rower Co.,

American

(lO/ll)

.July 24 filed 209,000 shares of common stock (par 25c),
-ȣ which 150,000 shares will be offered for public sale
tor the account of the company, and 50,000 shares will be
"Offered for the accounts of the present holders thereof.

ADDITIONS

SINCE

~

Offering—Expected during the

middle part of Oct.

★ Barton's Candy Corp.
Sept. 28 filed 175,000 shares of common stock, of, which
150,000 shares are to be publicly offered.. Price--To be

supplied by amendment.

-

Proceeds—For - general cprpo*

-h

\

Volume 190

Number 5886

The Commercial and Financial Chronicle

.

(1401)
rate

purposes,; including the financing of accounts re¬
ceivable, the provision of funds for new machinery and
equipment, for construction of new stores and improve¬
ments of present
—80 DeKalb

outlets, and for working capital. Office
Avenue, Brooklyn, N. Y. Underwriter—
D. H. Blair & Co.
Offering—Expected in three to six
'weeks. V".;' y y- Y.
' y': Y ;-YY;
;Y"; Y
y /
"

'■•'

Y

•

•:'

.; ■

••

..

Basic Materials, Inc.
April 9 (letter of notification) 1,200,000 shares of

stock
(par 10 cents).
Price—25 cents per share.
Proceeds—For mining expenses. Office—c/o Harold A.

Roberts, President, Arroyo Hondo, Santa Fe, N.-Mex.
Underwriter
Hyder, Rosenthal & Co., Albuquerque,
—

•

Letter to be amended.

(10/5-9)

(par five cents).

Price—$3 per share.

NEW
VY '

October 1'

VY:

'

•

1

"

ISSUE

Malkan

&

Co.)

'

«•>;.

Corp
Philadelphia

(Fixst

(Alien & Co.)

October 2

Beryllium Corp.
* (R.

"

■

Williams

G.

&

(David

'

.

Barnes &

October

Aurora

.

Plastics

*.'f'

BBM

Northern

Common
Inc.)

Co.;

5

(Monday)

.....Common ;
4 •

*

•

-

(Myron

A.

Lomasney

Co.)

&

$300,000

Co.

and

Goldman,

Sachs &

Co.)

Bostic Concrete Co. Inc.———
/"""."Y
(Syle & Co.)'
Bostic Concrete Co. Inc..
,

(Syle

>

.

Bzura. Chemical
'

,W.

(P.

Brooks

Bzura Chemical
.*

W.

.'(P.

Camloc

Fastener
.(Van

Electro-Sonic
/Y

■

'

First

.

•, j■

Inc.)

Co.)

&

Sherman

Co.)

&

Co.\r 600,000

Co,)

:

•'

•

(Beil

Lonnsney

&

Hough,

October
Allied Radio
•

Y

(Ira

-

Southern

Vernors

$300,000

Bell

Haupt

$837,200

Vernors
(Baker,

&

Co.)

333,335

&

&

Class A

Frantz

Co.). $280,000

and A.

G. Becker

&

Co.,

Texas

Co.,

Inc.)

Y

Western

October 7

&

Turner,

'(Auchincloss, Parker

&

(Bids

Electronics

$300,000

-

".

/.*45,000

—

; "(Lehman

:

Brothers)

Common

(Bids

to

October 26
California

Liquid

Gas

.Acme-Missiles & Construction Corp

Common

"

.

't

'

Colonial

(Shields & Co.)

'

(Arnold

-

;

Common

.

-

.itMyrpn

Lomasney & Co.)

Hickok

&

Electrical

Hickok

Inc.)

Y •-

(Bids to

Electrical

National

D.

Miller

&

Co..

Co.)

Instrument

Co.

Key

(C.

Blauner

(Bids

(Goldman,

&

Debentures

;

Inc.)

50,000

Sachs

Inc.

Treat
"

&.

and

.

Rupe

&

A.

Sons,

Inc.)

.Common
Wasserman

October

•

(Bids

Co.)

11

a.m.

190,000

Co.)

121,0(7

shares

snares

Co

EST)

.Bonds
$8,000,000

be

(Tuesday)

Telegraph Co

received)

24

(Bids

11

a.m.

December 1

(Bids

—Bonds

.

be

December 8

(Bids

to

be

.

;

(10/14)

additional working capital. Under¬

be

supplied

writers—Goldman, Sachs & Co., New York;
& Co., Inc., Charlotte, N. Car.

.Dickson

Bzura

Chemical

Co.,~lnct

amend¬

by

and R.

S.

•

(10/5-13)

first mortgage bonds,
240,000/shares of common stock (par 25
•cents), to be offered in units consisting of-$500 prin¬
cipal amount of bonds and 50 shares of common stock.
Price—$500 per unit. Proceeds—To be used for placing
a new plant in
operation in Fieldsboro, N. J. Office—
Broadway and Clark Streets, Keyport, N. J. Underwriter
—P. W. Brooks & Co., Inc., New York.
1979

and

Cador Production Corp., Far Hills, N. J.
Aug. 18 filed 1,500,000 sharfes of class A stock (par $1)
and 225,000 shares of class B stock (60c par).
The 225,000^,shares of class B stock are not being offered for

but

may

be

issued

as

commission

with the distribution of the class A stock.

in

connection

Price—At par

"property interests." Agent—Dewey &
Grady Inc., Far Hills, N. J. on a "best efforts" basis for
the class A stock only.

offered

$50,000,000

Industries Corp.

filed

to

17,532

holders

the basis of

Price—$64

one

per

of

new

share.

shares
such

of

stock

common

of

share for each

stock,

to

be

Oct.

23,

on

record
8

shares then held.

Proceeds—For general corporate

including working capital. Office—20
St., Endwell, N. Y. Underwriter—None.

purposes,

(Tuesday)

invited^ $«.OOO.tyOO

Prudential

-

Price—To

Sept.> 25

(Tuesday)

Invited)

Office—3510

yy

.

ment. Proceeds—For

Cadre

$16,000,:»00

Louisiana Gas Service Co
.

,

to

activities.

in exchange for

(Tuesday)

EST)

.

16 filed 100,000 shares of common stock (par $1),
which, 40,000 shares will be sold for the company's
and 60,000 shares for the account of
certain

sale,

Debens.

$250,000,000

Consolidated Edison Co. of New York, Inc...Bond#

Common
shares

to

17

Gulf States Utilities Co.——i

$550,000

•.(Lehman Brothers) 5,500




Bonds

—

Common
&

of

due

---•

.^.—.Debentures
Brothers)

including W. H. Hendrickson, Board Chairman.

Aug. 12 filed $2,400,000 of 6V2%

(Thursday)

Service

November

Co.)
-

$450,000

Recovery Corf).—

(Lehman

&

is to be
Sales, Inc. (an affil¬

and certain company offi¬

Sept.

i

shares

$20,000,000

McDonald

29

American Telephone &

(Tuesday)

Recovery Cojp

Oil

13

and

Sachs

Public

Class A

Lomasney & Co.)

Oil

&
•

Corp

"(Myron

85,000

Foster Grant Co., Inc

Wisconsin

Common

Dallas

shares

..

York Research

Co.

£r

Common

Co.; Inc. and, Truman,
V
$300,000

'

&

(Bids

200,000 shares

Tassette, Ipc1iJ
(Amos

Inc.)

———......Common

shares

...

200,080

Common

(Wednesday)

to be invited)

(Goldman,

..Common

'

-"

$20,000,000

Co.._^

Common
Co.,

Unterjierg, Towbin Co.)
Airmotive
Co

(Rausclier,-Pierce •& .Co.,

Co.,

28

October

$500,000

Co

E.

Southwest

Bonds

Tberm-O-Disc, Inc.

shares

Microwave' Corp
(Milton

&

October

(Hayden, Miller & Co.) 90,000 shares

Narda

Weld

(White,

The offering

selling stockholders.

(Tuesday)

be invited)

—

best efforts basis by 2338

a

account

Common
400,000

Instrument

(Hayden,.

27

Puget Sound Power & Light Co.—

$600,000

Inc.—

Co..

$500,000

Co.)

Common

.

A.

(Blair

.

&

Common

Co.—;

Guerdon« Industries,

Common

——

Malkan

Interstate Fire & Casualty

100,000 shares
..^....Common

—__

shares

$1,200,000

4Offering-to employees) 120,000 shares

»

.

on

Butler's Shoe Corp., Atlanta, Ga.

....Common

100,000

-Florida Power & Light Co.—

MBear, Stearns & Co.) 120,000 shares

Dynex, Inc.

1960

gas exploration
Plaza, Chicago, 111.

(Monday)

.

|

Corp. of America

Dow -Chemical

....Bonds

$12,000,000

& Co.)

St., Boston, Mass. Un¬
Corp., New York. ;

^ Breuer & Curran Oil Co.
Sept. 24 filed $1,500,000 of co-ownership participations
in an oil and gas exploration fund. Price—The.minimum
participations will be $10,000. Proceeds—To conduct oil

$150,000

Corp....

Peabody

(Kidder,

October

;

Inc.)

shares

(Monday)

./."V < Myron A. Lomasney & Co.)
Biochemical Procedures, Inc...

cers,

...Common

——Common

invited)

be

Tremont

Boston

iate of the issuing company)

1,200,000 shares

Gold Medal Studios, Inc

Common

400 000

Office—182

Houston, Texas. Underwriters

(Thursday)

EDT)

a.m.

(with an oversubscription privilege).
share. Proceeds—To reduce short-term

and

T—^

October 12

■

Bonds

;

shares

__

22

(Darius

(Offering to stockholders—underwritten by G. H. Walker & Co.)

MCA, Inc.

Co

$8,000,000

Rochester Gas & Electric Corp.:

Debentures

.

•

11

Y

-

/(Thursday)

Columbia Gas System Inc.—
.-.
I'.".
\
(Fids 11 a.m. EDT) $25,000,000
Manchester Bank of St. Louis (Mo.)

EDT)

Funding Corp

.

.October 8

:

•

Co.)

Electric

a.m.

American Electric Power Co

Common
Common

James

debt.

per

For the

made

'

'(The

;

11

1959

ploration Program. Price—$10,000 per unit.
Proceeds—
acquisition and exploration of undeveloped oil
and gas properties. Office—Bank of the Southwest
Bldg.,

.Preferred

$15,000,000

Co.)

&

Massachusetts
(Bids

$1,200,000

Service, Inc
-

Read

October

—

Redpath)

13,

.

shares

190,953

|

Associates, Inc.
Aug. 24 filed $2,500,000 of participating interests under a
Participation Agreement in Associates Oil and Gas Ex¬

Common

Inc.)

«

Co.

derwriter—The First

Inc.)

(Wednesday)

Crowley's Milk Co., Inc.——

Co.,

&

(Dillon,

—Common

and

Eppler Guerin
108,989 shares

v

Raymond

bank

Inc.)

(Wednesday)

Transmission Corp.—

Gas

(10/5-9)

unit. Proceeds—To pay obligations and;
capital. Office — 1205 Oil Centre Station,

Price—$56.75
.Debentures

—

Manufacturing Co
(Blair

.Bonds

21

Inc.

per

Edison

Bradco

October

Inc.——

Corp.

*

-

Inc

Co.,

share for each ten shares held; rights to expire

new

Oct.

on

shares

Simonds & Co., Inc. and William J. Mericka & Co.,
$750,000

shares

Zale Jewelry Co., Inc.....
Sachs

Ginger Ale,

Boston

one

......Common

282,7b0

$12,000,000

(Goldman,

$70,000,000

Ginger Ale, Inc

Debentures

(Tuesday)

Bradford

Boston

•

$1,000,000

invited)

be

Concrete

Texas

Sept. 4 filed 271.553 shares of common stock (par $25)
being offered for subscription by holders of outstanding
common
stock of record Sept. 25, 1959, at the rate of

Telephone & Telegraph Co.—Debs.
to

Bostic

Proceeds—

Office —1609

purposes.

Underwriter—None.

Lafayette,, La. Underwriter—Syle & Co., New York, N. Y.
Debentures

-

Co.)

corporate

for working

(Tuesday)

&

Rolling Mills,

Price—To be supplied by amendment.

general

Price—$600

and Mason Brothers)

(Baker, Simonds & Co., Inc. and William J.'Mericka & Co., Inc.)

Cher-O-Fee Photofinishers, Inc

(The First

20

Steel

common
stock (par $1) to be offered in units of- one
$500 debenture and 20 shares of class A common stock-

$800,000

—Common

Common

Weld

JJYC.

Debentures

Mason Brothers)

Co.

Corp. of America^.;

(Bids

Corp

-'.(White,

York &

October
Servo

shares

Co.)

&

Inc.)

6

Pacific Far East Lines,

.

Strauss & Co.;

"

•

.

S.

Common

150,000

•

;

and

—To

the

June 19 (letter of notification) $250,000 of 8% convertible
debentures due July 1, 1969 and 10,000 shares of class A

$340,000

i

Co..

York & Co.

Proceeds—For

Street, El Paso, Texas.

80,000 "shares

shares

West Florida Natural Gas Co....

Y

(J.

For

Corp.__Common

Hardware Co..———

Common

&

A.

Hardware

Price

stock.

common

be supplied by
purchase of land and
construction thereon, and for the manufacture and in¬

held.

First

The1

Debentures

Co.)

working capital. Office—Los
Underwriter—Shields & Co.. New York.

Inc.
.Sept. 14 filed 226,380 shares of common stock, to be of¬
fered for subscription to stockholders of record
Aug. 31,
,1959, on the basis of 49 new shares for each share then

...Common

—

Strauss & Co.;

s.

Co

by
200,000. shares

&

additional

.

$3,500,000

Manufacturing

of

amendment.

Border

(Blair & Co., Inc.) $£,700,000

,

$300,000

Inc..".

(Myron

•

Co.)

Insurance

and

of necessary equipment.
Office—1609 Texas
Street, El Paso, Texas. Underwriters—First Southwest
Co., Dallas, Texasr and ,R(arp.WrS. Stewart & Co., El Paso,
Texas.-;;:•_:: *:"• ■_. y. "-...
:: ":
y.,

Y-'

Common

Radio Frequency Co., Inc.—

,

(J.

Simon

..Common

Lemon

■

(Monday)

Corp.)

$1,354,500

Inc.—

&

$20,000,000

stockholders—Underwritten

Electronics

Simon

shares

.....Common

Noel

&

of bever¬

stallation

..

^..Preferred

Inc.)

(Sshweickart

$2,400,000

240,000

.Common
$300,000

Inc.)

19

Co.

Y

;
Shell

.Common

Inc.)

Corp

:-';.(Drfexel

.

Co.,

Co.,

to

Bonds

Corp....

(Johnston,

'. v" ...f

&

Alstyne,

(L. D.

Perfect Photo,

Y

Pantasote

—

Laboratories,

Virginia
.

&

*

Co., Inc.!——

Brooks

Co.,

Fire

Union

Boston

$250,000

|

Co., Inc..

Co.,

Co.

October

(Offering

Debentures

Co.

&

National

$7,200,000

..Common

10,000 shares

.

&

(Hirsch

Belco Petroleum Corp...—.Debentures & Common
&

,

American Educational Life Insurance Co...Common
;
(Standard Securities CC?;p.) 4,750;,000' shares
Daitch Crystal Dairies, Inc.
.Debentures

•

Photocopy Manufacturing Corp.—Common

(White, Weld

/

.

-

Corp.————

purchase of additional facilities for

or

•

(Thursday )
_i_.

&

address.

Border Steel Rolling Mills, Inc.
Sept. 14 filed $2,100,000 of 15-year 6% subordinated
sinking fund debentures, due Oct. T, 1974, and 210,000
•shares of common stock ($2.50
par), to be offered in.
units of $50 principal amount of debentures and five

Bonds

15

Lyon

(Blyth

$330,000 *' •

'>:.^(Burnhams&»'GQ.) 225,000-shares.

»•;

expansion

Angeles, Calif.

Common

Natural Gas

Road,
•

Office—800 St. Anns Avenue,
Bronx, N. Y.
Un¬
derwriter—Financial Management, Inc., 11 Broadway-.
New York, N. Y.

(Wednesday)

Anodyng, Inc.
(Ross,

Tang Industries, Inc.—

same

manufacture, warehousing and distribution

shares

$225,000

•

Biochemical Procedures, Inc. (10/12-16)
Sept. 9 filed 100,000 shares of common stock (par
$l)r
Price—To be supplied by amendment.
Proceeds—For

Corp.

-V-October

...Common
Inc.)

Co.,

the

.

$750,000

>

ages.

(Bids to be invited) $50,000,000
Thrift Drug Co. of Pennsylvania
Common
y<
(Singer, Deane & Scribner) 75,000 shares

Common

(Vermilye Brothers)

-

For construction

(Goldman, Sachs & Co. and R..S. Dickson & Co., Inc.)
100,000 shares
Y

(Friday)

,

Beverages Bottling Corp.
July 6 (letter of notification) 300,000 shares of comment
stock (par 10 cents).
Price—$1 per share.
Proceeds—

New York. Underwriters—White, Weld &
Goldman, Sachs & Co.,: both of New York.

Philadelphia Electric Co

Y~Y/''Y:'"

McCormick
-

derwriter—Berens Securities Corp.,

—

Shoe

7100

■

-

common stock.
Proceeds—For working cap¬
Office—1722 L Street N. W.r Washington, D. C. Un¬

ital.

To be supplied by amendment.
Pro¬
general corporate purposes, including re¬
of all existing debts to banks. Office — 630

and

stock, to be of¬
selling the products of

—

20 shares of

For

Butler's

..Common

__.

222,060 shares

.

CALENDAR

$300,000

Matronics, Inc.
•rY Y"
•//'.
Standard

Co.,

-

common

for

Office

Berens Rreai

payment
Third Ave.,

....Common
Corp.)

Random House, Inc.__Y.i__

YY

Price
—

dealers

Estate Investment Corp.
July 31 filed $1,200,000 of 6%'%
debentures, due 1969,
and 80,000 shares of common stock
(par $5). Price—$500
per unit, each unit to consist of $300 of debentures and

Corp.
(10/5-9)
;
Aug. 14 filed $7,200,000 of 5.83% convertible subordi¬
nated debentures, due 1974, and 400,000 shares of common
stock (par $1) to be offered in units, each unit consist¬
ing of $36 of debentures and two shares of common

/

"

stock, issuable

Road, Fullerton, Calif.

to

issuing company.
Chicago, 111.

'
common

Howell Co.
bonuses

as

the

Petroleum

October 14

$600,000

First "Philadelphia

•

Belco

.Common

...

,

-.(Arnold

■

.

•

t:

•

fered

of options granted and to be granted
company's Restricted Stock Option Plan. Of¬

(Thursday) Y

"

/ Central' Corp.

Proceeds—

Bell &

Sept. 25 filed 15,000 shares of

exercise

upon

under the

stock.

Photocopy ManufacturingCorps

Aug; 27 (letter of notification). 100,000 shares of capital

••

i Beckman Instruments, Inc.
Sept. 25 filed 117,559 shares of

ceeds

BBM

jstock

corporate purposes. Office—42 W. 15th St.,
Underwriter—Myron A. Lomasney &
Co.; New York, N. Y.

fice—2500 Fullerton
com¬

mon

N. Mex.

For general

New York, N. Y.

53

Bonds

alley

_

Continued

on

page

54

i

£4

The Commercial and Financial Chronicle...

(1402)

Continued from page

53

Price—100% of principal amount. Proceeds—
or maintain the working capital of the conir

offering.

,■

To increase

Liquid Gas Corp. (10 26-30)
Sept. 16 filed 100,000 shares of common stock (par $1), of
which 55,000 shares are to be offered for the account of
the issuing company, and 45,000 shares, representing out¬
standing stock, are to be offered for the account of the
present holder thereof (of which latter amount 2,000
shares will be sold to certain employees). Price—To be
•

California

snort-term

ceeds

work¬
Calif.
Underwriter—Kidder, Peabody & Co., New York.-

purchase new transport equipment, and for
ing capital. Address—P. O. Box 5073, Sacramento,

★

Price—

related

and

Co-Ply, Inc.

Colorado

Water &

•

Camloc

Fastener

$9 per share. Proceeds

—

stock (par $2).

—

at the

Plans With Insurance.

York.

loans. Office—1315 Dixwell Ave., Hamden, Conn.
Underwriter — Arnold Malkan & Co., Inc., New York.

time

Salt

shares

of

the

amendment.

stock

common

an

for

attached
cash

record

for

date.

Proceeds—For

at

the

warrant
each

100

Price—To

rate

to

of $100

purchase

common

"Variable

Investment

to

Main

June

Pro¬

Salt

Fund,

filed

Broad

of

300,000

shares of

the

not

subscribed

underwriter,

Price

—

For

the

holders, 75 cents
at

which

at face

value, on the maturity dates of those securities
as
there ate bonds remaining unsold in this
offering. No bonds will be reserved for this exchange

long




share

share.

cars, promotion, inventory,
offices, expenses incidental

for

by the debenture holders and

respectively,
shares to

be

to

publicly

be

offered

the

to

the

per

are

convertible

standing shares

★

on

Underwriter—H. Kook & Co.,

Inc.

23

others

(par

50

★

be

29

offered

record

for

be
To

subscription

Sept.

for each

15,

1959,

10 shares

offered
increase

shares
at

by

of

common

the rate

then held.

of

,

stock

to

be

stockholders

of

four

shares

new

Unsubscribed shares

may

publicly.
Price—$4 per snare.
Proceeds—
capital and surplus.
Underwriter—None,
join in the distribution will

but brokers and dealers who

receive commission of 40 cents per

share.

•

1

-

<

if Cracker Barrel Supermarkets, Inc.
Sept. 25 (letter of notification) 120,000 shares of common
(paF 10 cents). Price—$2.50 per share. Proceeds—
For general corporate purposes.
Office—84-16 Astoria
stock

new

stock, to

be

of¬

share for each five shares held.

Proceeds

—

For

8 filed 33,333 shares of common stock. Price—To
supplied by amendment. Proceeds—For general cor¬
short-term

of

bank

borrowings.

and the re¬
Office — 911

of Kansas

City, Mo.

Statement to be amended.

&

Goldman

Builders, Inc., with the balance to
working capital. Office—29A Sayre Woods
Shopping Center, Madison Township, P. O. Parlin, N. J.
Underwriter—Lee Higginson Corp., New York.
be

•

common

one

DIT-MCO, Inc.

both

bank loans and loans to stockholders and

200,000

capital

★ Diversified Communities, Inc.
'
Sept. 25 filetf 467,200 shares of common stock. PriceTo be supplied by amendment.
Proceeds—For acquisi¬
tion of Hope Homes, Inc., Browntown Water Co., and

for

filed

of

Broadway, Kansas City, Mo. Underwriters—Midland Se¬
curities Co., Inc.. and Barret, Fitch, North & Ca, Inc.,

working capital. Office—5642-50 North
Western Avenue,
Chicago 45, 111.
Underwriter-^—Sim¬
mons
& Co., New York, N. Y.
Offering—Expected in

Sept.

Proceeds—For

holders of outstanding shares of such stock

the basis of

duction

Inc., New York.

..

unit.

porate purposes, including working capital

common

100,000 shares of Com¬
Price—$3 per share.
Pro¬

late October.

per

Sept.

debenture

★ Cornbelt Insurance Co., Freeport, III.

Price—$51.20

a

i

(formerly Peck & Harvey Mfg.

cents).

stock.

and

to the

Cantor

and

com¬

Albertson, L. I.,
Underwriter—Granbery, Marache & Co., New York
City.
Offering—Expected in October.
-

(letter of notification)

stock

$4,400,000 of 20-year 5x/2% convertible de¬

N. Y.

Go.)
mon

Corp.

(par

Price—To be supplied by amendment.
general corporate purposes. Office —

on

Copymation,

stock

common

fered

the American Stock Exchange at the
time of the offering.'Proceeds — For
general corporate
purposes.-Office—Calle 23, No. 956, Vedado,T Havana,
Cuba.

General

Leasing & Development Corp.

11 filed

★ Digitronics Corp.
Sept. 25 filed 65,877 shares

offered.

into

■

October.

share, which is equal to the price

debentures

•

■

contracts

stock; for the shares to be offered to the underwriter, $1
per share; for the shares to be offered to the public, the
price will be related to the current price of the out¬

ceeds—To pay

pi the company's subordinated debentures in exchange,

new

per

super-market under existing purchase
and for working capital.
Name Changed —
Company formerly known as Dilbert's Properties, Inc.
Office—93-02 151st Street, Jamaica, N. Y. Underwriter—
S. D. Fuller & Co., New York.
Offering—Expected in

Office—Boston, Mass.

A

40 cents). Price—$2.80 per share.
Proceeds—To repay a note payable and other loans, and
for general funds-. Office — Athens, Tenn. Underwriter
•—J. C, Bradford & Co., Nashville, Tenn.
:

Citizens' Acceptance Corp.
June 29 filed $600,000 of series F 6% five-year subor¬
dinated debentures, to be offered to the present holders

one

Price—$1.50

finance government contracts,
reduce, ac¬
payable, and increase working capital.
Office—
Highway, Troy, Ohio.

centers

bank note; and for machinery and

a

Sept.

China Telephone Co., South China, Maine
Aug. 7 (letter of notification) 2,000 shares of preferred
Stock to be offered for subscription by stockholders and
the company's subscribers; unsubscribed shares to the
public. Price—At par ($25 per share). Proceeds—To in¬
stall a dial exchange at East Vassalboro, Maine; to con¬
struct a cable; to repay notes, etc. Underwriter—None.

the basis of

held.

repayment of notes; to develop and construct shopping

common

Development Corp.
Aug. 28 filed 448,000 shares of common stock, of which
198,000 shares are to be offered to holders of the issuing

•

(par

on

one cent) to be offered in units consist¬
ing of $50 principal amount of debentures and 12 shares

equipment.
Sunnyside Avenue, Stamford, Conn. Under¬
writer—Vermilye Bros., New York.

St., New York City.

stock

shares then

bentures, due July 15, 1979 and 1,056,000 shares of
mon

Inc.
additional

an

above

accu¬

four

Difbert's

com¬

St.,

Office—73

shares

*

&

obtaining permission to do business "in other states,
the establishment of a contingency reserve.
Office
East 18th Avenue, Denver, Colo.
Underwriter—

None.

Underwriter—Earl J. Kriudson & Co-

Proceeds—For investment.

prepay

be

Programs for the

Radib

Co..

-

and

★ Conetta Manufacturing Co.
Sept. 28 filed 100,000 shares of class A common stock.
Price—$4 per share. Proceeds—For working capital; to

supplied by
general corporate purposes,

Plan"

Aviation

&

;;

.

purposes, including salaries,
the establishment of branch

City, Utah.

ic Cher-O-Kee Photofinishers, Inc.
(10/6)
Sept. 22 (letter of notification) 100,000 shares of class A

go

So.

of

mulation of shares of Institutional Growth F'und. Office

common

Office—450

10

Sept. 9 filed (by amendment) an additional $40,000,000

-

Denab Laboratories, Inc.
July 31 filed 50,000 shares of common stock (par $2.50).
Price—$10 per share. Proceeds—For general corporate

company's 6% convertible debentures, and 100,000 shares
are to be offered to the
underwriter, with the remaining
150,000 shares, in addition to those shares described

Charming Service Corp.

—85

25

stock.

including working capital and the acquisition of shares
of the outstanding common stock of Davenport Hosiery
Mills, Inc., of Chattanooga, Tenn.
Office — 2417 North
Davidson
Street, Charlotte, N. C. Underwriter—R. S.
Dickson & Co., Charlotte.
■-

of

Lake

★ Concord

'

and

Dixie

New

Consolidated

with

as

investment.

City, Utah.

Sept.

',★ Chadbourn Gotham, Inc.
Sept. 28 filed $2,500,000 of 6% convertible subordinated
debentures, due 1974, with warrants to purchase 200,000
shares of common stock, to be offered for subscription

held

Investors Corp.
(letter of notification) 900,000 shares of
stock.
Price—At par (10 cents per share).

Lake

3, 1959.

common

South

some

28

mon

South La Cienega Boulevard, Los
Underwriter—None. Bley Stein, Presi¬
dent, will be offered any unsubscribed shares until Oct.

of its

Underwriter—Hirsch*

York.

of the record date

as

counts

refinery. Underwriter—Lehman Brothers, New
Offering—Indefinite.

ceeds—For

Oct. 29.

supplied

supplied by

Proceeds—To

Commercial

Office—1758

debentures,

New

Development Corp. of America
June
29 Registered issue.
(See Equity
below.)

Nov.

Angeles, Calif.

by holders

To be

be

of notes

—1420

fork.

-

loans.

—

construct

bidding. Probable bidders: Blyth & Co., Inc., and Harriman Ripley &Co., Inc. (jointly); Lehman Brothers and
Lazard Freres & Co. (jointly); The First Boston Corp.
and Merrill Lynch, Pierce, Fenner & Smith Inc. (joint¬
ly).
Bids—Tentatively expected to be received up to
lentury Properties, Los Angeles, Calif.
Aug. 5 (letter of notification) 33,880 shares of common
stock (par $1), being offered for subscription by stock¬
holders of record Sept. 1, 1959 on the basis of one new
share for each 10 shares held; rights to expire on Oct. 1,
1959.
Price—$4 per share.
Proceeds—To reduce bank

capital. Underwriter

>t stock and $100 of debentures and nine shares of stock.
Price—To be supplied by amendment.
Proceeds —- To

stock of Public Service Co.

on

stock

for each

follows: $1,000 of bonds and 48 shares

as

Price—To

Equipment Corp.
\
Sept. 28 filed 201,050 shares of common stock, of which
190,871 shares are to be offered to holders of outstanding

October.

offered in units

Oklahoma, Southwestern Electric Power Co., and West
Texas Utilities Co. Office—902 Market St., Wilmington,
Del.
Underwriters—To be determined by competitive

(Chicago time)

Expected

basis.

filed

15

★ Dayton

Refining Corp.
16,1957 filed $25,000,000 of first mortgage bonds due
Sept. 1, 1968, $20,000,00 of subordinated debentures due
Oct. 1, 1968 and 3,000,000 shares of common stock to be

of

a.m.

—

;

Proceeds—For repayment

New York.

3ec.

(10/29)
Sept. 21 filed 350,000 shares of common stock, (par $5).
Proceeds—To prepay and discharge bank borrowings in
the amount of $3,200,000, and to purchase during 1959-60

10:30

in

Offering

Redpath,

Gas

"best efforts"

a

fice—Bronx,

Commerce Oil

(Oct. 1).

West Corp.

common

Office—15 East 40th Street,

Underwriter— None.

&

.

Crystal Dairies, Inc. (10/19-23)
$3,500,000 of 5%% convertible subordi¬
debentures, due Oct. 1, 1979. Price —At 100% of
principal amount. Proceeds—For working capital.
Of¬

120 East 41st Street, New

company,

&

,

nated

Development Co.
14 filed $1,000,000 of Plans for Investment in
Shares in American Industry, of which $500,000 was for
Single Payment Investment Plans and $500,000 for Sys¬
tematic Investment Plans
and Systematic Investment

repay

additional shares of

of the

Auchincloss, Parker

Daitch

Columbian Financial

Corp.
Aug. 3 filed 200,000 shares of common stock (par 10c).
Price—$3 per share. Proceeds—For manufacturing and
gales facilities and working capital, of subsidiaries; to

South

office

on

amendment.

Sept.

by

Aug.

Central

and

determined

be

—

■'

for working
amendment.

Gas

To

—

Underwriter

writer
oy

York.

Inc., New York. Offering—Expected in late October.

Central

-

Corp., Pass Christian, Miss.
May 26 filed 1,500,000 shares of common stock, of which
841,613 shares will be offered on a one-for-one basis to
stockholders of record May ^15, 1959.
The remaining
158,387 shares will be offered publicly by the under¬

competitive bidding.
Probable bidders: Halsey,
Stuart & Co. Inc.; Merrill
Lynch, Pierce, Fenner & Smith Inc. and White, Weld &
Co. (jointly)*; Mor gan'Stanley & Co.'
Bids—Expected to
be received up to 11 a.m. (New York Time) on Oct. 8

indirectly in the life insurance business. Office—15 Wil¬
Street, New York.. Underwriter—Capital Sponsors,

•

Corp., Tulsa, Okla.

York.

Crusader Oil

Power Co.

—

derwriter

Y.

New

System, Inc. (10/8)
Sept. 11 filed $25,000,000 of series N debentures due Oct
1, 1934. Proceeds—For 1959 construction program. Un¬

liam

Offering—Expected today

N.

*

April 1, 1964 and 1,100 shares of common
(par $1) to be offered in units of $200 of deben¬
and-one share of stock.
Price
$205 per unit.
Proceeds—For working capital.
Office—Suite 421, 901
Sherman Street, Denver, Colo.

Capital Shares, Inc.
Aug. 3 filed 500,000 "Life Insurance Fund" shares. Price
—To be supplied by amendment. Proceeds—For invest¬
ment in the securities of companies engaged directly or

•

of

Crowley's Milk Co., Inc. (10/7-8)
"
Sept.
10 filed 120,000 outstanding shares of common
stock. Price—At par ($10 per share). Proceeds—To sell¬
ing stockholders. Office—145 Conklin Ave., Binghamton,

iebentures due

To selling stockholder.
Office—22 Spring Valley Road, Paramus, N. J.
Under¬
writer—Van Alstyne, Noel & Co., New York.

Price

also

diares of the preferred and 9,059 shares of common are
.ssuable upon the exercise of stock options granted when
:he assets of Norbute Corp. were acquired on Aug.
6,

itock

(10/5-9)

Corp.

'

tures

Columbia

Sept. 11 filed 150,500 shares of common

Petroleum

Crescent

feb. 25 (letter of notification) $220,000 of 6%, unsecured

of

facilities

progam.

Ltd.,

1958.-Underwriter—None.

—Bear, Stearns & Co., New Yorki

share).

per

exploation

Securities

May 26 filed 48.460 shares of 5% convertible pfd. stock
$25 par) and 12,559 shares of common ($1 par), 34,460

—

Proceeds—To purchase the
Durable Plywood Co. for
$690,000, with the balance to be used for working capi¬
tal.
Office—Calpella, Calif. Underwriter—The offering
is to be made by Ramond Benjamin Robbins, one of the
nine promoters, the list of which also includes Harry
Ernest Holt, of Eureka, Calif., President of the company.
($5,000

mill

Cumberland

—

Regina.

120,000 shares of common stock (par $1),
60,000 shares are to be offered for account of
the company, and 60,000 shares for account of a selling
stockholder.
Price
To be supplied by amendment.
Proceeds—For working capital to finance current and
future expansion. Office—Woodbury, Tenn. Underwriter

Sept. 14 filed 140 shares of voting common stock.' Price
—At par

[:
Price—

stock.

common

Proceeds—For

iScarth St., Regina, Saskatchewan, Canada.

Underwriter

of which

general corporate purposes. Office—3955 South State St.,
Salt Lake City, Utah. Underwriter-—Cromer Brokerage
Co., Inc., Salt Lake City.
Mutual

share.

per

Office—2100

of America * (10/12-16)

Corp.

Mining Corp. Ltd.

17 filed 260,000 shares of

cents

Sept. 3 filed

At par (20 cents per share). Proceeds—For construction
of a pilot plant; for measuring ore; for assaying; and for

California

80

Underwriter—None.

Colonial

Blvd., Queens, L. I., N. Y. Underwriter—Diran, Norman
Co., New 'York. Offering—-Expected in late October.
April

used to retire outstanding subordi¬
not exchanged.
Office—Georgetown,

Thursday, October 1, 1959

.

&

Cree

Part of the pro¬

year.

City Discount & Loan Co.
July 30 (letter of notification) 120,000 shares of common
stock (no par). Price — $2.50 per share. Proceeds —For
working capital. Office—1005 Northeast Broadway, Port¬
land, Ore. Underwriter—R. G. Williams & Co., Inc., New
York, N. Y. has withdrawn as underwriter.

ness,

California Metals Corp.
July 27 filed 2,500,000 shares of common stock.

one

.

of

be

debentures

nated

Del.

Proceeds—To repay indebted¬

supplied by amendment.

also

due within

notes

may

applied to the reduction

be initially

but will

pany

,

used

as

Dooley Aircraft Corp.
Aug. 14 filed 506,250 shares of common stock (par one
cent), of which 375,000 shares are to be publicly offered.
Price—$2 per share. Proceeds—To repay loans; to pay
the $80,000 balance due on the company's purchase of
the complete rights to the MAC-145" aircraft; and for
working capital, including expenses for advertising. Of¬
fice—105

MallOry

West

underwriter.
★

Dow

Adams

Securities,

St., Chicago, 111. Underwriter—
Inc., New York, has withdrawn as

—

Chemical

Co.

r( 10/12)

Sept. 3 filed 120,OOQ shares of common stock to be offered
for sale to employees of company and certain of its
subsidiary and associated companies. Subscriptions will
be accepted from Oct. 12 through Oct. 30.
Price—To be
be accepted from Oct. 12* through Oct. 30.
Price—$68
per share. ""

Volume

190

Number

5886

The Commercial and

...

Financial Chronicle

55

(1403)

Drake

Associates

The Equity Corp. is the
Equity General -common

-Aug. 20 filed $5,905,000 of limited partnership interests.
Price-—$10,000 for each of 590% units. Proceeds—To buy

~

Drake, located at 56th St. and Park Ave., New
York, from Webb & Knapp, Inc. Office—60 East 42nd St.,

General is the

New York. Agents—Domax Securities
Corp., and Peter I.

Corp.

Feinberg Securities. Corp., both of New York. Offering—
Expected sometime prior to Oct. 1.

•

shares

to

be

offered

for

Faradyne

Price—$5

1

'AA

/V

v

D.

C.

Office—1028

Connecticut

:

<

ways

Price—At

insurance for

public relations

a

Hotel
John

Troy
R.

Boland

&

Northern-Olive

Investment

Co.

land in Arizona.
nix.
•

F^rst

Philadelphia Corp. (10/1-7) >
Aug. 21 (letter of notification) 100,000 shares of class A
stock (par 10 cents). Price—$3
per share (gross
30 cents per share to brokers
selling 2,500 shares or less,

Offering—Ex¬
/

Industrial Income Fund, Inc.
shares of common capital stock
Proceeds—For investment.
Office—

market.

Office—1802 North Central Ave., Phoe¬
nix, Ariz. Underwriter—O'Malley Securities Co.. Phoe¬

purchase price of 25 cents, and
publicity program. Office—
Troy, New York.
Underwriter—

Co., Inc., New York.

„

-

Aug 17 filed 20 partnership interests in the partnership.
Similar filings were made on behalf of other NorthernOlive companies, numbered "second"
through "eighth."
Price—$10,084 to $10,698 per unit. Proceeds—To purchase

and

pected during the next two months.

First

~

the

Building,

A..' ,';.:.

.

Broadway, Denver, Colo. General Distributor—FIF
Management Corp.,- Denver, Colo.
-

thruways, parkand highways in the amount of $25 of such break¬

for

organizing the

950

Corp.

down

for services rendered in

an

Financial

mobile breakdown insurance policies on
r

(han-.

July 22 filed 1,000,000

vending machines which will be used to distribute auto<

as

writer—None^

Aug. 31 filed 160,000 shares of capital stock, of; which
100,000 shares are to be publicly offered. Price—$2.50 per
share. Proceeds—To provide funds for the purchase of

'

Co., Inc.

been set aside for issuance to
keep personnel other than
the organizers. Price—To public, $3 per share. Proceeds
—To be applied to pay interest due on
properties and to
purchase new properties and for working capital. Under¬

'

'

.

Securities

incentive to management. The company
has agreed to issue to the organizers 200,000 shares of
class B common stock; and 100,000 class B shares have

14.0,000
Price—$5 per
to acquire property and equipment, and for working
capital. Underwriter—Charles Plohn & Co., New York.
P.

Netherlands

—

djing the books) and Herbert Young & Co.j Inc. (jointly);
Co.; Schrijver & Co.; Richard Bruce &
Co^ Inc., all of New York.

company

Avenue, N. W.,_ Wash-

Offering—Expected in late October—

Underwriters

in consideration

■■"A'A

filed

E,- H.

general corporate

Fidelity Investment Corp., Phoenix, Ariz.
1,799,186 shares of class A common stock,
1,700,000 shares are to be offered publicly, and
the remaining 99,L86 shares have been subscribed for

Miami, Fla.
shares of common stock (par 10
share. Proceeds—To repay loans,

cents).
•7

Proceeds-—For

stock (par five
publicly offered.

June 29 filed

Edward Steel Corp.,

July. 8

to be

are

of which

Fund, Inc.

ir.gton, D. C.

Corp.

Morris Cohon &

Investment Adviser—Yates, Heitner & Woods, St. Louis,
Mo.
Underwriter—ESA Distributors, Inc., Washington,

•

share.

V"

common

ic ECon-O-Veyor Corp. (10/12-16) <
Sept. 18 (letter of notification) 150.000 shares of com¬
mon stock (par 10 cents).
Price—$1 per share. Proceeds
—For advertising and promotion; new equipment, and
general corporate purposes. Office—224 Glen Cove Ave¬
nue, Glen Cove, N. Y.
Underwriter—Plymouth Secu¬

;

.

-.

rities

Corp., New York, N. Y.

and 45 cents per share to those brokers

2,500

stock

(par

Price—$3

10 cents).

To retire outstanding bank

for sales and promotional

■

tion

facilities

to

and

per

share.

and^

improved

United

filed

rate

tools

working capital; general
develop dealer relations.

28
of

Life

one

Insurance

158,236

common
new

shares

of

Co.
common

stock,

to

be

shareholders of record Oct. 15 at the

share

for

each

four

shares

then

held.

Price—$5 per share. For company reserves and expan¬
Office—475-79 Broadway, Gary, Ind. Underwriter
—None.
.;A 'A

and

machinery; for development and research and for
working capjiqL Office — 35—54 Thirty-sixth St., Long
Island City, N/"Y.
Underwriter—L. D. Sherman & Co.,
New York, N. Y.v
; " ■ A
.
v.;-

.

to

than

broker-dealer firm formed' to underwrite

• First

offered to

activities; to improve produc¬
new

A

Sept.

Proceeds—

loan; to increase inventories;

acquire

—

and

more

distribute new security issues. Office-—40 Exchange
Place, New York 5, N. Y. Underwriter—First Philadel-'
phia Corp., New York, N. Y.

,

Laboratories, Inc. (10/5-9)
Aug. 14 (letter of notification) 100,000 shares of common

r

Proceeds—For

purposes

selling

and

E.ectro-Sonic

a-.

shares).

corporate
Business

sion.

•

First

Electronic

Communications,

Inc.

.

To be supplied by

corporate

amendment. Proceeds

—

•

,'

A

*'

% A

,

" •*

A

(par

To go to

10

Price—$2

cents).

per

.

Y.,:

:

.

common

Proceeds—

+ Ennie Business Forms, Inc."
-...
Sept.
25
filed
217,490
shares
of
common ■
stock
of whicl) 45,000 shares are to be publicly offered for the
account of the issuing company, 5,000 shares are to be
offered by the company to its employees, and 167,490
shares, representing outstanding stock, are to be offered
for the accounts of the present holders thereof. Price—

.

: -

To

be supplied

by amendment.

Proceeds—For general

including exoansiori and the pw>
Office—214 West Knox St., Ennis,
Texas.' Underwriter—Kidder, Peabody & Co. Offering
—Expected in October.
corporate
chase

purposes,

of equipment.

Equity Annuity Life Insurance Co.
April 21 filed $1,000,000 of Variable Annuity Policies.
Price—No less than $120 a year for annual premium
contracts and no less than $1,500 for single premium
contracts.
Proeeeds—For investment, etc.
Office—2480
16th Street, N. W., Washington, D. C.
Underwriter—,

:

None.

.

-

——A—

—,

Equity General Corp.
29' filed together with
Development Corp. of
America, registration statements
seeking
registration

securities,

follows:

Equity General, 500,000 shares
common stock and 149,478 shares of preferred stock;
and Development Corp., 500,600 shares of common stock.
as

of




additional investments
subsidiary banks and,

up

to 3.600 shares of the

common

capital stock

accounts

of

the

present holders thereof. Price—

To

be supplied by amendment. Proceeds — To provide
funds for construction. Office—Leominster,
Mass. Un-

derwriter-^Goidman, Sachs & Co., New York.
•

Foto-Video

Laboratories,

Inc.

~

July

15

filed

150,000 shares of class B common stock
Price — $2 per share. Proceeds — For
general corporate purposes, including the repaying of
bank loans, the purchase of new equipment, and for*
working capital.- Office — 36 Commerce Road, Cedar
(par 10 cents).

Franklin

Sept.

4

Discount Co.

(letter

of

notification) $50,000 of 6-year 8%
Price—At par. Proceeds—To
purchase conditional sale contracts and for
making loans,.
subordinated

debentures.

Office—105 N. Sage
Frantz

Sept.

St., Toccoa, Ga. Underwriter—None.

Manufacturing Co.

(10/21)

filed 190,953 outstanding shares of common
Price—To be supplied by amendment. Proceeds—

11

To selling

stockholders, Business—Company is engaged
design, development, production and distribution
builders' hardware,
primarily overhead type garage

of

door

hardware.

Office—301

Underwriter—Blair
Fredonia

West 3rd St., Sterling
Co., Inc., New York.

&

111.

Pickle

Co., Inc.
July 29 (letter of'notification) 150,000 shares of common
stock (par 10
cents). Price—$2 per share. Proceeds—For
production, equipment, inventory and working capital.
0ffi?e—1Cushing & Union Streets, Fredonia, N. Y. Un¬
derwriter—Summit Securities. Inc., 130 William
Street,
York, N. Y. Offering—Expected in three or four

New

weeks.

'

"
.

•

Fuller

Sept.
mon

18

(H.

B.)

(letter

stock

retire

.

& Co.

of notification)

(par $1).

Price—$4

25,000 shares of com¬
share. Proceeds—To

per

of the unfunded indebtedness and for
work¬

some

ing capital. Office—255 Eagle Street, St. Paul
3, Minn,
Underwriter—None. No public offering will be made.

Fyr-Fyter Co.
'AA;--'
'■ 'A' . — A
Aug. 12 (letter of notification) 3,300 shares of 6% cumu¬
lative preferred - stock. - Price—At
par
($30 per share).
Proceeds—To go to selling stockholders. Office—2
West
46th St., New York 36, N. Y.
Underwriter—None.1 Offer¬
ing—Expected any day.
• Gardner-Denver Co.

Sept.
24
filed
200,000
shares
100,000 shares of which will be

of

common

stock,

reserved

for issuance
the company's Employee Stock Option
Plan, and
100,000 shares of which are to be offered under and

under

pur¬

suant

its

to

Employee

Stock

Purchase

Plan.

Office—

Quincy, 111.

Gateway Airlines, Inc.
s
Aug. 31 filed 400,000 shares of common stock (par 10
cents). Price—$1.50 per share. Proceeds
For general
—

corporate purposes, including the purchase of airplanes,
spare parts, and equipment, the retirement of
debt, and
the

increase of working capital. Office
Field, Islip, L. I., N. Y. Underwriter—Dunne

MacArthur

—

& Co., New

York.
•

General Finance Corp.
Sept. 11 filed 150,000 shares of common stock. Price—$3
per share.
Proceeds—For working capital, with $15,000
being allocated for lease improvements and equipment
and supplies.
Office — Santurce, Puerto Rico.
Under¬

writer—Caribbean Securities Co., Inc., Avenida Condade
609, Santurce, Puerto Rico.
^
,
.

.

General

Flooring Co., Inc. (10/12-16)
Sept. 14 filed $1,500,000 of 6J/2% debentures, due Oct.
1, 1969, and 270,000 shares of common stock, to be of¬
fered in units of $100 principal amount of debentures
and 18 shares of common stock.
Price—To be supplied
amendment.

poses,

Grove,

N.

Box 8169, New Orleans, La.
Under¬
Byllesby & Co., Inc., Chicago, 111.; How¬
ard, Weil, Labouisse, Friedrichs and Co., New Orleans,
La., and Mason-Hagan, Inc., Richmond, Va.

Underwriter

J.~

—

Arnold

Malkan

&

Co.,

General
Feb.

18

writer
Tenn.

—

shares

Balanced

are

common

Proceeds—For

stock (par $1).

investment.

Office—

Union St., Nashville, Tenn. Investment Adviser—J.
C. Bradford & Co., Nashville, Tenn. Distributor—Capital
418

Planning Services, Inc.
Foundation Stock
June 18 filed

Fund, Inc.

market."

418 Union

St., Nashville, Tenn.

be offered for the account of the company

selling stockholder. Price—$1 per
improved

merchandising methods/to finance the real estate depart¬
ment anrfA insurance policy loans. Office—211-215 Pine
St., Pine) Bluff, Ark. Underwriter—Lovan Securities4 Co*
Inc., Pme Bluff, Ark. Offering—Expected any day.

Genesco, Inc.
July 29 filed 535,000 shares of

common

stock

(par $1),

to be offered to the common shareholders of The Form^

fit

Co., Chicago,
common

stock.

111.,

on

stock

the

for

[Genesco

has

common

stock

basis of 0.891%

shares of

each share of Formfit

to

agreed

com¬

454,318
aggregate of 509,516
shares or approximately 84.9% of the common stock of
Formfit.]
Office—111 Seventh Avenue, North, Nash¬
ville, Tenn. Underwriter
None. Statement effective
Sept. 14.
A
for

exchange

an

,

Gennaro

100,000 shares of common stock (par $1).

Price-—At

to

and 30,000 shares for a

shares of its

Fund, Inc.

100,000 shares of

market.

Memphifl,

Co.,

share. Proceeds—For furniture inventory and

Genesco

Price—At

Investment

effective April 24.

General Underwriters Inc.

mon

June 18 filed

Securities

April 6 (letter of notification) 225,000 shares of com¬
mon capital stock
(par 25 cents).
Of the total, 195,000

has

Foundation

Union

Statement

York, has informed this newspaper that the state¬
withdrawn.

Merchandising Corp., Memphis, Tenn.

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¬

New

been

O.

P.

—

writers—H. M.

ment

—

June

of

the

.for

,

j

of

Co., Inc. (10/29)
Sept. 25 filed 190,000 shares of common stock (par $1)
of which 100,000 shares are to be sold for the account
Of the issuing company, and 90,000 shares are to be sold

."v "

; A

make

stock

Foster Grant

the company.' Office—c/o Darius Inc., 90 Broad
York, 4, N. Y. Underwriter—Darius Inc.,

New York, N.

capital

common

Purcellviile National Bank, Purcellville, Loudon
County,; Va., for the approximate sum of $772,000 from
J. R; Trammell & Co. Office—2924 Columbia Pike, Ar¬
lington, Va. Underwriter—Johnston, Lemon & Co., Wash¬
ington, D;C. * '
A
".A

^

share.

To

—

of The

Street:, New
;

indebtedness,

repay

the

purchase

Electronics

stock

—

building and
garage thereon, in Louisville. Office
614 Kentucky
Home Life Bldg.,
Louisville, Ky. Underwriter—None.

by

(10/5-9)

subject to the approval of the Federal Reserve System,

For general

Funding Corp. (10/22)
Sept. 15 (letter of notification) 75,000 shares of

Proceeds

office

Address

in

purposes,

'

October.

stock.
an

—To

including the repayment of out¬
standing 'indebtedness, the completion of construction,
and the purchase of additional equipment. Office—1501
72nd St., North. St. Petersburg. Fla. Underwriter—Laird
& Co., Corp., Wilmington, Del.
Offering—Expected in

,

common

Proceeds—For general corporate pur¬
including the reduction of indebtedness and the
purchase and installation of machinery and equipment,

Virginia Corp.

Sept.

-.a:;

Aug. 28 filed $5,000,000 of subordinated debentures, due
Sept.- 15, 1974 (with warrants for purchase of 20 shares
of common stock for each $1,000 of debentures). Price—

;

shares of

16 filed 600,000 shares of class A common stock
(par $1). Price—To be supplied by amendment. Proceeds

.

•

bonds and 825

assist in the purchase of land and

stock.

Electronics

per

ing trust certificates representing said stock.
Price—$3,per unit oT $2,475 principal amount of
debenture

300

in

common

including plant expansion, improvement and
equipment.
Office
744 Broad St., Newark, N. J.

June 29 filed 2,000,000 shares of capital stock. Price—To
be supplied by amendment.
Proceeds—For investment.
•

General
one-for-one basis.

—

(10/12-16)

Mutual

Equity

purposes,

chase of new equipment, and expansion. Office — 123
Eileen Way, Syosset, L. I., N. Y. Underwriter—Myron A.
Lomasney & Co., New York.
••
ESA

of

cents) of which 200,000 shares

.

.

holders

Sept.'1 filed 230,000 shares of«common

;

Aug. 6 filed 120,000 shares of common stock (par 25
cents).. Price—$5 per share. Proceeds—For general cor¬
porate purposes, including product research, the pur1

the

common

Equity
2,399,504 shares of Development
proposes to offer 500,000 of such
of

preferred stock in exchange for shares of preferred stock
Development Corp., on the basis of one share of
Equity General preferred for two shares of Development
Corp. preferred. Office—103 Park Ave;, New York City.

Underwriter—None.

Dynex, Inc.

to

_

of

Products,

2,500 shares of common
subscription by stockholders.
Price—At par ($10 per share). Proceeds—For additional
improvement and for the purchase of machinery and
equipment.* Office—2593 Highway 55, St, Paul 18, Minn.

stock

and

common

offer

therefor, on a
The Board
Directors of Equity General has authorized the issu¬
ance of a maximum of
143,478 shares of Equity General

Inc.
(letter of notification)

Aug. 26

owner

exchange

:AAA_.;
May 22 filed $2,000,000 of partnership interests,; to be
; offered in units.
Price—$10,000 per unit. Proceeds—To
f. be
used for various acquisitions.
Office — Broad &
J Chestnut
Streets, Philadelphia, Pa. Underwriter—None.
Durrazzo

to

proposes

otf

Drexelbrook Associates

'

5^343,220 shares of

stock, and

500,000 of such shares to the holders of - Equity
in exchange therefor, on a one-for-one
basis.

the Hotel

.

/-

of

owner

Proceeds—For

investment.

Office—

Investment Adviser-^ J.
Distributor—Capital

C. Bradford & Co;, Nashville, Tenn.

Planning Services, Inc.
<
Francis Co., Louisville, Ky.
Sept. 16 filed $433,125 of registered 6% debenture bonds,
together with 144,375 shares of common stock, and vot¬
,

Industries, Inc.
Aug. 28 (letter of notification) 200,000 shares of com¬
mon stock (par 10 cents).
Price—$1.50 per share. Pro¬
ceeds—For additional plant, equipment, retirement of
outstanding notes and payables and working capital,
Office—337 E. Diamond Avenue, 17th & Hayes Street,
Hazelton, Pa. Underwriter—Reilly, Hoffman & Co., Inc.,
New York, N. Y. Offering—Expected in the latter part
of September.

Ccmtimted

on

page

59

56

(1404)

Continued from page

unsecured

55

Medal

Gold

Packing Corp.
of common stock

corporate

(par one
-cent), and 50,000 common stock purchase warrants. Of
the shares 400,000 will be sold for the account of the
company; 110,000 by certain stockholders; 12,300 for the
underwriter; and the remaining 50,000 shares are pur-*
June

New

writer— Mortimer

•

which

filed 500,000 shares of common stock (par 10
Price—$1 per share. Proceeds—For general cor¬

18

cents).

purposes,

_

Insurance Co.

(216,429 shares are now outstanding); and
(3) to holders of common stock (par $5) of Government
Employees Corp., on the basis of V2 warrant per share of
stock held (as of Dec.
of stock outstanding and $589,640 of 5% convertible capltal debentures due

If all these debentures

share.

common

American

For

—

^ere-

stock prior to the record date,

Publications,

working

Underwriter—Mortimer

Inc.

capital.

Office

Burnside

B.

&

New York.
Co., Inc., New

—

Bowling Corp.

Aug. 31 filed 120,000 shares of common stock. Price—To
by amendment. Proceeds—For general cor¬

be supplied

including the development of bowling
lanes, bars, and restaurants on various Michigan prop¬
erties.
Office
6336 Woodward Ave., Detroit, Mich.
Underwriter—Straus, Blosser & McDowell, Chicago, 111.
porate purposes,

—

Great Western

June

Insurance Co.

Life

stock,

offered

be

to

common

units,

in

stock and

each consisting

an

of

five-

option to purchase two

additional shares, the units to be offered for subscription

by holders, of the 1,500,000 outstanding
the

at

rate

of

unit

one

for

each

15

common

shares

held

snares
on

or

about Aug.

28, 1959; rights to expire on or about Sept
28, 1959. The options evidence the right to purchase the
200,000 outstanding shares owned by Great Western
Building & Loan Corp. Price—To be supplied by amend¬
ment.
Proceeds—For
loan
to
the
subsidiary (Great
Western Building & Loan Corp.); and the balance will
be used to increase capital and surplus. Office—101111 N. W. Second St., Oklahoma City,
Okla. Under¬
writers—G. J. Mitchell, Jr. Co., Washington, D. C.; and
Purvis & Co,, Denver, Colo.
•
v
Growth Fund of America, Inc.
4 filed 250,000 shares of common

Feb.

cents).

Price—At

Office —1825

market.

Proceeds—For

(par

10

investment.

Connecticut
—

Guarantee

Mortgage, Inc.
Aug. 14 (letter of notification) $100,000 of 10-year 6%
sinking fund debentures~(in denominations of $1,000)Each debenture may be purchased with 100 warrants to
buy one share of class A common stock (par $10). The
right to purchase class A common stock by way of war¬
will

warrants.

725

terminate

Dec.

31,

1969.

Proceeds—For investment

Price—90%

without

Office—
Failing Bldg., Portland 4, Ore. Underwriter—None
purposes.

Electronics

Corp.

Sept. 25 filed $375,000 of Interests in its Employee Thrift
Plan, together with
12,808 shares of common stock
which may be acquired pursuant to said Plan. Office—
3761
•

South

Hill

St.,

Los Angeles, Calif.

reduce

bank

indebtedness1 by $3,500,000, and to

For

pay

Marlett, Mich. Underwriter—Blair & Co., Inc., New York.
Harnischfeger Corp.

on

Proceeds




common

stock

(par $10).

t® the market price of outstanding

the American Stock

the offering.

—

of

laboratories, and for working capital. Office—Cleveland,
Ohio. Underwriter—Hay den, Miller & Co., Cleveland,
Ohio.

Washington, O. C.

Bank,

$5,000,000 of notes (series B, $500,000, tjro-

3% per unit; series C, $1,000,000, four-year 4%'per
unit; and series D, $3,500,000, 6-year, 5% per unit). Pries
of principal amount.
Proceeds — For working '
capital.
Underwriter—Johnston, Lemon & Co., Wash¬
ington, D. C. Offering—Indefinitely postponed.
:
•

Tuna

International

Corp.

175,000 shares of class
Price — $1 per share.
equipment and working capital. Offios
—Pascagoula, Miss. Underwriter—Gates, Carter & Co.,
Gulfport, Miss.

A

(letter,, of notification)

11

Aug.

stock

common

(par 50 cents).

Proceeds—For

•

Fire

Interstate

&

Casualty

Co.

(10/27)

17 filed 85,000 shares of common
be supplied by amendment.

stock (par $5).
Proceeds—For
Office — 501 Livingston Bldg., Bloomington,
111. Underwriter—White, Weld & Co., Inc., New York.
/Offering—Expected during the latter part of October,
expansion.

filed

Exchange at the time of

In part to repay outstanding

Bldg.
filed 500 Beneficial Trust Certificates in the
Price—$2,600 per certificate. Proceeds—To supply
the cash necessary to purchase the land at 1809-15 H

sinking fund
for purchase of 360,supplied by amendment.
Proceeds
For capital expenditures. Office — Chicago,
III.
Underwriters—Carl M. Loeb, Rhoades & Co., and
Merrill Lynch, Pierce, Fenner & Smith Inc.
common

shares. Price—To be

—

-ft

'

..

.

'

Hycon Manufacturing Co.
Aug. 28 filed 126,316 shares of common stock, which
were issued to Avco Corp. on Dec. 8, 1953, at $2,375 per
shares, and which will now be publicly offered by Avco.
Price—To be related to the prices prevailing in
the
over-the-counter market at the time, or times, the stock
is sold.

Cailf.

Office—1030 South

Arroyo Parkway, Pasadena,

Inc.

June 29

are

NASD members.

u

filed

and

enfranchising of bottlers, the local and national pro¬
motion and advertising
of its beverages, and where
necessary to make loans to such bottlers, etc. Office—
704 Equitable Bldg., Denver, Colo. Underwriters— Pur¬
vis & Co. and Amos C. Sudler & Co., both of Denver
Colo.
Ideal Cement Co.

July

31

filed

675,000

shares

of

capital

These

stock.

shares

are
being exchanged for all (but not less than
80%) of the common stock (par $1) of the Volunteer
Portland Cement Co., in the ratio-of 3% shares of Ideal

stock

for

period

each

will

share of

expire

Volunteer stock.

Oct.

1959,

2,

unless

The

exchange

extended

by

No extension, however, will be made beyond Dec.
1, 1959, unless 80% or more of the outstanding shares of
common

said

St.,"N. W., Washington, D. C., and construct
building thereon.
Office—Washington, D. C.
writers— Hodgdon

date.

been

so

stock of Volunteer
If

80%

or

Irando Oil &

Underwriter
•

more

of

tendered

are

such

Industrial
1

common

before

or

stock

6%

of

notification)

Jamaica

June

debentures

($1,000

subordinated

denomination)

and

Rumball, Regina, Sask.,

Can.

Development Co., line.

filed

15

offered

105,000 shares of
to

basis of 2V3

on

a

to

expire

stockholders

Sept.

on

common

of

record

stock

Aug.

(par $1),
20,

1959

shares for each share held; rights

new

20,

1959, unsubscribed shares to
share. Proceeds—To be used for
the purchase of land,
cattle/machinery and equipment,
fishing lodge, and development expense. Office —^ 1841
North Meridian St., Indianapolis, Ind.
Underwriter—

public.^ Price—$10

None.

per

Statement effective Aug. 31.

it Jocelyn-Varn 1960 Oil Associates
Sept. 28 filed 100 units of oil and gas exploration agree¬
ments. Price—$20,000 per unit.
Proceeds—For locating,
developing, and administering oil and gas producing

Office—310

properties.

KFH

Building,

Wichita,

Kan.

Underwriter—None.

Kentucky Central Life & Accident Insurance Co.
Aug. 28 filed 81,717 shares of common stock, of which
Co., inc. will offer its stockholders 51,-

ivo..cULKy rmance

000

shares.

51,000

$116

30,717

each.

shares, $115 each; and of

Proceeds—To

selling stock¬
Underwriter—None.

Office—Anchorage, Ky.

Kilroy
June

Price—Of

shares,

holders.

(W. S.)

1960 Co.

filed

8

$3,500,000 of Participating Interests under
Participant Agreements in the company's 1960 Oil and
Gas Exploration Program, to be offered in amounts of
or

oil

$200,000

&

common stock (par $25).
Price—$27.50 per share, payable in cash or State of Israel
Independence Issue of Development Issue bonds.
Pro¬
ceeds—For
general
corporate
purposes.
Office—New
York City.
Underwriter—None.

$25,000

Leasing Corp.

(letter

convertible

Statement effective

Laird

—

Development Corp.
Sept. 22 filed 200,000 shares of

has

Ideal, at its discretion, may continue
Office—500 Denver National Bank Build¬

ing, 821 17th Street, Denver, Colo.
Sept. 1.
June

on

Exploration, Ltd.

Israel

tendered

its exchange.

office
Under¬

an

& Co. and Investors Service, Inc., both

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.

being

600,000 shares of common stock (par $1)
Price—$2.50 per share. Proceeds—To further the corpo¬
rate purposes and in the preparation of the concentrate

the

,

Underwriters—The offering will be made through

I C

14

Trust.

$30,000,000 of subordinated

debentures due 1984, with warrants
000

Investment Trust for the Federal Bar

•

Aug.

of Washington, D. C., and Swesnick & Blum Securities
Corp.

Hilton Hotels Corp.

gas properties.

and

west

more.

Proceeds—Acquisition of undeveloped
Office—2306 Bank of the South¬

Bldg., Houston Texas.

Underwriter—None.

Kittanning Telephone Co., Kittanning, Pa.
denomination). Price—100% of principal amount. Pro¬ Z Aug. 24 filed 14,000 shares of common stock, to be of¬
fered by subscription to holders of
ceeds—For working capital. Office—522 S. W. 5th Ave¬
outstanding common
stock on the basis of
nue, Portland 4, Ore.
approximately 0.212 new shares for
Underwriter—May & Co., Port¬
$50,000

subordinated

convertible

6%

debentures

($500

each

land, Ore.

Aug. 20 filed 200,000 shares of common stock (par 10
cents). Price—$2.50 per share.
Proceeds—For the pur¬
chase of machinery and equipment to expand the com¬
pany's facilities for handling thermoplastics, to reduce
current bank
poses

borrowings, and for general corporate pur¬
including the addition of working capital. Office-r-

N. W. 37th Ave., Miami, Fla. Underwriters

—

The

^inland Western Loan & Finance Corp.
Sept. 24 filed $1,000,000 of 6% capital debentures. Price
—To
be supplied
by amendment.
Proceeds—To dis¬
charge loans from banks and from the Commercial Life
Co.; to furnish operating capital for subsidi¬
aries; and to establish new subsidiaries or branches of
already existing ones. Office—10202 North. 19th Ave.,
Ph8enix, Ariz. Underwriter—The underwriters if any,
will be named by amendment.

share

held.

Price—$25 per share.
Proceeds—In
bank loan in the amount of $450,000 rep¬
resenting funds acquired for general modernization, im¬
provement, and expansion.
Underwriter—None.
part to repay

Inc.

Insurance

Aug. 28 filed 200,000 shares of
Price—To be related

be supplied by amendment. Proceeds—
bank loans, for the construction of

retirement

Co., Macon, Ga.

off $2,500,000 notes. Office—3782 South Van Dyke Road,

shares

.1

Price—To

Robinsop-Humphrey Co., Inc., Atlanta, Ga., and Clisby &

par). Price—To be supplied by amendment. Proceeds—

•

p0r

5511

Guerdon

Industries, Inc. (10/12-16)
Aug. 21 filed 400,000 shares of class A common stock
To

hotel

—100%

Price—For the debentures; at 100% of principal amount,

Industrial Vinyls,

Guaranty Insurance Agency, Inc.
See, Mortgage Guaranty Insurance Corp., below.
Hoffman

new

year,

(10/12-16)

Ideal.

stock

Avenue, Washington, D. C
Investment
Advisor
Investment
Advisory
Service,
Washington, D. C.
Underwriter—Investment Manage¬
ment Associates, Inc., Washington, D. C.

rants

Instrument Co.

registered brokers and dealers who

500,000 shares of common stock and op¬
tions to purchase 200,000 additional shares of outstanding
shares of

a

Bay, on

Dec. 29 filed

together with 100,000 shares of class A
capital stock, of which 90,000 shares are to be
publicly offered, and 10,000 shares offered to employees,
(Any unsubscribed shares will be offered to public.)

filed

29

Kalapaki

—None.

common

Sept. 29

York.

Great Lakes

Oct. 10, 1959;
be supplied by

the Island of Kauai. Office—305
Royal Hawaiian Avenue, Honolulu, Hawaii. Underwriter
at

tures, due 1974,

-

Aug. 11 filed 260,000 shares of common stock (par 10
cents) of which 195,000 shares are to be publicly of¬
fered oh a best effects basis.
Price—At inarket. Pro¬
ceeds

of record

Price—To

Proceeds—For construction of

amendment.

Sept. 9 filed $500,000 of convertible subordinated deben¬

total of 164,733 common

Great

rights to expire on Nov. 30.

International

Hickok Electrical

1967,^ convertible into shares of com-

at $28.0374 per

into

for each four shares held

share

Sept.

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, Mass.
•

Ltd.

_

of stock held

converted

employees.

Hemisphere Gas & Oil Corp.
April 27 (letter of notification) 300,000 shares of com-,
mon stock.
Price—At par ($1 per share).
Proceeds—
For development ol oil and gas properties. Office—702
American Bank Building, Portland 5, Ore. Underwriter
—D. Earle Hensley Co., Inc., 4444 California Avenue
Seattle, Wash.

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 IV2 warrants per share

mon

Resorts,

t

shares of common stock (par $1)
to be offered by company viz: (1) to holders of common
•tock (par $4) of Government Employees Insurance Co?,
on the basis of one warrant per share of stock held (1,Nov. 13 filed 2,500,000

.

by

Oct.

Variable Annuity Life

Employees

for1 subscription

Heliogen Products, Inc.
22, 1958 (letter of notification) 28,800 shares o 1
common stock (par $1).
Price—$5 per share. Proceeds—
For payment of past due accounts and loans and general
working capital.
Office—35-10 Astoria Blvd., ,L. I. C
3, N. Y. Underwriter—Albion Securities Co., 11 Broad¬
way, New York 4, N. Y.
v'VV:;:.

equipment,

Government

Inter-Island

Sept. 10 filed 99,000 shares of common stock (par $3) to
be offered first to stockholders on the basis of one new

Underwriter—None.

including the purchase of additional
investing in properties in the enter¬
tainment field, and the provision of funds for a down
payment on another building or buildings. Office
307
EvA75th Street, New York, N. Y.
Underwriter—Arnold
Malkan & Co., Inc., New York.
; /
,
porate

studio

offered

be

purposes.

Avenue, New York City, N. Y. Un¬
Co., 12 E. 41st Street, New York.
Offering—Expected in late October.

amendment. Proceeds—To be
applied tpward the cost of the company's construction
program, the payment of $5,300,000 of bank loans ob¬
tained for such program, and the refunding of deben¬
tures and preferred shares.
Office—1130 Alakea Street.

(10/26-30;

inc.

will

Park

derwriter—The James

1959, on the basis of one new share
shares ./then held, and the balance of

seven

Proceeds—For general corporate

Office—1938

Price—To be supplied by

Burnside & Co., New York. Name
Eastern Packing Corp.

Studios,

Medal

Gold

amendment.

in October.

Sept. 18,

each

for

B.

Change—Formerly

Sept.

of record

of debt;

repayment

Office — 4400 W. National Ave.,
Underwriter—The First Boston Corp.,

Offering—Expected

of America
(letter of notification) 300,000 shares of com¬
(par one cent). Price—To be supplied by

18

stock

mon

Hawaiian Telephone Co.

Price—$1.25 per
purchase of
equipment and facilities and other generai corporate
purposes. Office—614 Broad St., Utica,
N. Y. Under¬
Proceeds—For

York.

Insul-Cup Corp.

Sept.

Sept. 11 filed 290,055 shares of common stock, a portion
of which will be offered to holders of outstanding stock

chqsable upon exercise of the warrants.
share.

•

loans, expected to approxi¬

purposes.

Milwaukee, Wis.

filed 572,500 shares

18

bank

short-term

$4,000,000, with the balance to be used for general

mate

a

• Knox
Glass, Inc. (10/26-30)
Sept. 23 filed 200,000 shares of capital stock (par $6.25).
Price
To be supplied by amendment. Proceeds — To¬
gether with funds 'to be received froma $2,000,000 bank
—

loan and a $6,000,000 long-ter^n loan from an institutional
investor, will be applied in part to repayment of all of the
company's outstanding indebtedness, and the balance
of

the

proceeds

will

be

used

to

provide machinery,
a
proposed new
plant in the southeastern part of the United States, and
for
general corporate purposes. Underwriter—Smith,
equipment

and

working

capital

fcr-

Barney & Co:, New York.

1 L. & M. Tile Products, Inc.
Sept. 22 (letter of notification) 15,000 shares of common
Price—At par ($10 per share). Proceeds—To re-

stock.

tirejiqtstanding debts, accounts payable, and for work-

(1405)

ing capital. Office—2821 Gilford St., Dallas, Tex. Under¬
writer—None. •>
•

Telephone Co.
Sept. 8 (letter of notification) 20,888 shares of common
(par $10) being offered to stockholders of record
Sept. 19, 1959 on the basis of one new share for each 9V4
stock

shares then held; rights to
expire Oct. 15.
Price — $14
share. Proceeds—To be used to curtail short-term
bank loans. Office—127 E. Church

per

St., Martinsville, Va.

Underwriter—None.
Lenahan Aluminum Window
Corp.
28 filed 157,494 shares of common stock, to
offered initially to stockholders on the basis of
new
share for each two shares owned

July

(with

be
one

15-day
Standby). Price—^ $4 per share to stockholders; $5 to
public. Proceeds—For inventory and for working capi¬
tal.

a

Office—Jacksonville, Fla.

Bond & Share

Underwriter—Plymouth
Corp., Miami, Fla.

Lenkurt Electric Co.

Calif.

Office

1105

—

County

Road,

San

Carlos,

Underwriter—None.'

ible

Engineering Co.
(letter of notification)

subordinated

debentures

$300,000 of 6% convert¬
Sept. 15, 1976 to be

due

offered for subscription by common stockholders on the
basis of $50 of debentures for each 30 shares held. De¬
bentures are convertible into common stock at $10 per
share.

Price—At face

Proceeds—With

amount.

a

long-

term

loan, for purchase of leased property and plant ex¬
Office—2711 Church Avenue, Cleveland, Ohio.
Underwriter—First Cleveland Corp., Cleveland, Ohio.
pansion.

• Life Insurance Co. of Florida ...
Sept. 28 filed 203,476 shares of common stock.-Price—
$4.50
S.

W.

Bond
•

share,

Proceeds—For expansion. Office—2546
8th Street, Miami,
Flav Underwriter—-Plymouth
& Share Corp., Miami. *.

per

Inc.

MCA,

^

(no par).
Price—To be supplied by amendment. Proceeds—Tp re¬
short-term

bank

indebtedness

and

for

working

capital. Business—Engaged in the production and distri¬
bution of filmed series for

television, etc. Underwriter-

Lehman Brothers, New York.

M. & S. Oils Ltd.

May 11 filed 390,000 shares of common stock. Price—60
cents per share.
Proceeds — For exploration, develop¬
ment and acquisitions. Office—5 Cobbold Block, Saska¬

Saskatchewan,

toon,

Canada.

land Securities Ltd., Regina,
•

Madison

Gas

&

Underwriter — Cumber¬
Saskatchewan, Canada.
Co.

Electric

Sept. 15 filed 82,000 shares of common stock (par $16), to
be offered for subscription by the holders of outstanding
common

stock

on

five shares held

the

on

or

basis of

about Oct.

share for each

new

one

5.

Priced—To be

sup¬

Proceeds—For general corporate
Office—Madison, Wis. Underwriter—None.

plied by amendment.
purposes.

Corp., at seller's cost, about 6.25 acres of Cleveland land,,

\

Interests and Over¬

share. Price—-For preferred, at par; and
for class A, $10J0 per share. Proceeds—$291,099 is to
be expended during the period ending Aug. 31, 1960 for
mortgage payments and releases; $465,000 will be paid
on notes acquired by members
of the Magnuson family
in

the

per

transfers

of subsidiaries and properties to the
$106,000 will be used to close certain options
and purchase contracts covering lands in the Melbournecompany;

Cape Canaveral area; the balance will be added to the
general funds of the company and used for general
corporate

Office—20

S.

E.

3rd

Miami,
Fla.
Underwriter—Blair & Co. Inc., New York. Offering
—Expected this Fall.
•

purposes.

Matronics, Inc.

Mid-America

filed

production

per

test

(10/2)

of capital stock (par 100).
Proceeds—For sales promotion,
equipment, research and development,
share.

for special systems, receivables,
tories, prepayment of notes and other purposes.

demonstrators

—558

Main

Vermilye

St., Westbury, L. I., N. Y.
Brothers; Kerbs, Haney &

Securities

Corp.; and Cortland Investing

.

inven¬
Office

Underwriters—

Mid-Town
Corp., all of

Co.;

•

Minerals, Inc.
of Participations

$1,875,000

Price—150

units

will

be

in

offered

at

Corp.
Aug. 28 (letter of notification) 63,000 shares of common
stock (par 10 cents).
Price—$4.75 per share. Proceeds
To repay short-term bank notes; to purchase equipment
and for working capital.
Office — 11949 Vose Street,
North Hollywood, Calif.
Underwriters—J. A. Hogle &
Co., New York, N. Y. and Warner, Jennings, Mandel &
Longstreth, Philadelphia, Pa.
Offering—Expected this
week.

June 8 filed 15,000 shares
for sale in Michigan and

Corp.
(letter of notification)

75,000 shares of common
stock (par value 10 cents) and $100,000 of 6% five-year
convertible debentures in denominations of $100, $500
and $1,000 each. Price—For the common stock, $2 per
share.
Proceeds
For working capital.
Office — 940
Kiato Bldg., Kansas City, Mo.
Underwriter—McDonald
—

City, Mo.

-

Metallurgical Processing Corp., Westbury, N. Y.
Aug. 6 (letter of notification) 100,000 shares of common
stock (pan 10 cents). Price—$3 per share. Proceeds—To
retire debts; to acquire new equipment for processing
metals and to expand its overall capacity; to move its
facilities and new equipment into a new building and for
further development and expansion. Underwriter—Neth¬
erlands Securities Co., Inc., New York, N. Y.
.

Microwave

Electronics

Corp.

mon

shares.

An. additional




138,000 shares

may

be issued

corporate

operations. Underwriter—C. E. Unterberg, Towbin

land

,

National Life & Casualty

March 25 filed
offered

be

Insurance Co.

250,000 shares of common capital stock
to holders of certain of company's life

policies issued on or prior to Dec. 31, 1955*
employees. Price—$4.44 per share. Pro¬
increase capital and surplus.
Office —2300

insurance

and to certain

North

Central

None.

..//■;

of common stock to be offered
Pennsylvania. Price—$10 per

Phoenix, Ariz.
-v'

Avenue,

'

Underwriter—

^ National Munsey Co.
Sept. 28 filed 293 limited partnership interests. Price—
$5,000 per unit. Proceeds—To purchase land and erect
buildings thereon. Office—535 Fifth Avenue, New York.
City. Underwriter—Tenney Securities Corp.
National

Union

Co.

Insurance

Fire

(Pittsburgh*.

(10/19)

Pa.)

200,000 shares of capital

stock

(par $5)
record

Sept.

24 filed

to be

offered for subscription by stockholders of,

Oct.

16, 1959, on the basis of one additional share
capital stock for each three shares then held; rights

of
to

Price—To be,supplied by amendment.
Proceeds—To increase capital and surplus. Underwriter
—The First Boston Corp., New York.
expire

on

Nov. 16.

Nationwide

Proceeds—To provide additional working capital
the « purchase of vendors' interests in conditional

Auto

Inc.

Leasing System,

July 16 (letter of notification) 142,500 shares of commoia
stock (par 10 cents). Price—$2 per share. Proceeds—
For financing of leased cars and for general corporate*
purposes.

for

Inc., Washington, D. C.

sales contracts and other like evidences of indebtedness.
Office—11746

writer—None.

Under¬

Appleton Avenue, Detroit, Mich.
Statement effective Aug. 3.

ic Montreal (City of) Canada
Sept. 25 filed $20,000,000 of sinking fund debentures for
public works, due 1979. Price — To be supplied by
amendment.
Proceeds
To repay interim borrowings
—

incurred

projects.

by the City for various public works

Underwriters—To be supplied by

amendment.

Underwriter—Investment Bankers of America*
Oil

Nedow

Tool

.'t/T?-

Co.

May 5 (letter of notification) 150,000 shares of common*
stock (par 50 cents). Price—$2 per share. Proceeds—To
acquire fishing tools for leasing; and for working capital.
Address—P. O. Box 672, Odessa, Texas. Underwriters—
To be designated.

Nielsen-Tupper Instruments* Inc.
Aug. 19 (letter of notification) 29,399 shares of class A
common stock.
Price—At par ($1 per share). Proceedit
purchase machines, tools, office equipment, furni¬

• Mortgage Guaranty Insurance Corp.

—To

stock in a joint
registration with
Guaranty Insurance
Agency, Inc.,.
which filed 10,000 shares of its own common stock. Price
—$115 per unit of four shares of Mortgage common and
one share of Guaranty common. Proceeds—-Mortgage wilj
use
its proceeds for expansion; Guaranty will use its
proceeds for additional working capital. Office — (of
both firms) 606 West Wisconsin Ave., Milwaukee, Wis.

ture, drafting and printing equipment and for working
capital.
Office — 1411 Fourth Ave., Seattle 1, WashUnderwriter—Crawford Goodwin Co., Seattle, Wash.

Sept. 23 filed 40,000 shares of common

N.

A.

Sept. 4 filed $2,120,000 of Partioipations
Price—$10,000 per

in Partnership

Interests in Associates.

•

Narda

Underwriter—None.

Microwave

Corp.

16

filed

employees pursuant to options. Price—To be supplied
by amendment. Proceeds — To be used to retire bank
loans. Underwriter—Milton D. Blauner & Co., Inc., New
York.

capital. Office—Matthews, N. C. Underwriter—One or
security dealers will be offered any shares not:
subscribed for at $2 per share.
more

Northern

of

a

share

National

Cleveland

Corp.,

Cleveland, O.

(10/6)

18 filed

capital. Under¬
Wis., and Mer¬
rill, Turben & Co., Inc., Cleveland, Ohio. Offering—Ex¬
loans and for additional working
&

Co.

Inc., Milwaukee,

pected this week.
National Co.,

<

(par $1)
of which 150,000 shares are to be offered for the account
of the company and 50,000 shares for the account of the
present holder thereof. Price—To be supplied by amend¬
ment. Proceeds—For general corporate purposes, includ¬
ing the retirement of a bank loan in the amount of
$675,000, which was incurred to retire certain 5% con¬
vertible debentures. Office
61 Sherman St., Maiden,
Mass.
Underwriter
White, Weld & Co., New York.
This offering has been postponed due to market con¬
—

—

ditions.

v

National

Price

each share

of capital

stock:

80,000 shares of Maine stock have been tendered for ex¬
change prior to the close of business Nov. 9, 1959. In the*
event less than 80,000 shares of Maine stock are tendered
prior to the close of business Nov. 9, 1959, no shares will
be exchanged and all shares of Maine stock will be re¬
turned to the tendering stockholders. Office—83 Maide®
Lane, New York 38, N.. Y.

Industrial

Minerals

Ltd.

150,000 shares of common stock (no par).
per share.
Proceeds — To retire indebt¬

$1
edness for construction of plant and for other liabilities,
and the remainder will be used for operating capitaL
—

Natural Gas Co.

(10/15)

shares of cumulative preferred,
($100 par). Price—^To be supplied by amendmentProceeds—For general corporate purposes, including the*
providing of funds for the company's 1959 construction,
program, the repayment of a portion of the bank loan*
incurred therefor, and the purchase of securities to be
issued by subsidiary companies for the costs of their
construction. Office—2223 Dodge St., Omaha, NebT U»derwrtier—Blyth & Co., Inc., New York.
18

filed

200,000

stock

Northern

Properties,

Inc.

Sept. 8 filed 150,000 shares of common stock (par $2.50)«
Price—$5 per share. Proceeds—To acquire and develop
various properties in New York State.
N. Y. Underwriter—Alkow & Co.,

ing—Expected in late October
•

Inc.

Aug. 28 filed 200,000 shares of common stock

■

for

(par $10) of Maine. The exchange offer will expire at the;
on Dec. 31, 1959, provided that at least;

close of business

Sept.

(letter of notification)

$600,000 of convertible subordinated de¬
bentures, due Sept. 1, 1971. Price—To be supplied by
amendment. Proceeds—To be used to retire short-term

•

of New York

Casualty Co. at the rate of 56/100thf<

Northern

of

Northern
u

150,000 shares of com¬
mon stock.
Price—At par ($2 per share).
Proceeds—
For new equipment, inventory and working capital. Ad¬
dress—P. O. Box 1658, Lakeland, Fla.
Underwriter—
R. F. Campeau Co., Inc., Detroit, Mich.
Offering—Ex¬
pected in September. Statement to be amended. ——
April 20

•

Co.

Insurance

Sept. 10 filed 56,000 shares of capital stock (par $12.50),.
to be offered in exchange for shares of the capital stock:

.

National Citrus Corp.

Aug.

Co.

Price—$2 per share. Proceeds—To reduce indebt¬
with the balance, if any, to be used as working

held.

of Maine Bonding &

(10/12-16)

50,000 shares of common stock (par 10
cents) and 50,000 warrants to be offered in units, con¬
sisting of one share of common stock with attached
warrant entitling the holder to purchase one additional
share.
The statement also includes an additional 10,000
shares of common stock reserved for issuance to key
June

North Carolina Telephone

Sept. 4 filed 576,405 shares of common capital stock, fe
be offered for subscription by holders of outstanding
stock in the ratio of two new shares for each five share*
edness

Building Associates

Aug. 4 filed

July 2 filed $500,000 of 10-year 5% subordinated deben¬
tures due July 1* 1969 together with 250,000 shares of
common
stock (par 10 cents) to be offered in units of
$10,000 principal amount of debentures and 5,000 com¬

general

a
building is being constructed which will
issuing company's executive offices and Cleve¬

Co., New York.

../,0V'',v^

-

Mobile Credit Corp.

writers—Loewi

Mercantile Credit

Evans & Co., Kansas

which

Missile Systems

bank

New York.

Sept. 1

amendment. Proceeds—For

including the purchase from Grant Ave. Realty

ceeds— To

Oil and
$10,000
each, and 150 units will be offered at $2,500 each. Pro¬
ceeds—To facilitate the completion of oil and gas wells.
Office
500
MidvAmerica
Bank
Building, Oklahoma
City, Okla. Underwriters—The offering will be made
on
a
"best efforts" basis by the issuing company and
Midamco, Inc., its subsidiary.
Fund.

Gas

Ave.,

June 29 filed 200,000 shares

Price—$3.75

on

to

New York.

entitling-the registered holder

to purchase one share of such common stock at an initial

of $11

by

purposes,

Price—$2,221.33 per smallest unit. Proceeds—For invest¬
ment in oil and gas lands.
Office—Mid-America Bank
Bldg., Oklahoma City, Okla. Underwriter—None.

stock carries

price

plied

house the

unit. Proceeds
—To supply the cash and incidental expenses necessary
to the purchase of the National Association Building,
25 West 43rd St., New York.
Office—60 East 42nd St.,

warrant

17 filed

riding Royalty Interests in 26 oil and gas leases covering
lands in Green and Taylor Counties, Kentucky, some
of the interest being producing interests and some nonproducing. The offering is to be made initially to par¬
ticipants in the Mid-America Minerals, Inc., 1959 Fund.

Magnuson Properties, Inc.
June 29 filed 500,000 shares of class A common stock
(amended on Aug. 24 to 150,000 shares of 6V2 % cumu¬
lative convertible preferred stock, par $10), and 150,000
shares of class A common stock, par $1, with,common
stock purchase warrants. Each share of class A common
one

Sept.

share.

Sept. 8 filed 400,000 shares of common stock

duce

Mid-America Minerals, Inc.
June 22 filed $921,852 of Working

v

(1.0/8)

National

Key Co., Cleveland, Ohio (10/12-16)
200,000 shares of class A common stock
(par 50 cents) of which 75,000 shares are to be sold for
the account of the issuing company and 125,000 shares
for the account of selling stockholders. Price—To be sup¬

—

-Lester

Sept. 2

•

company's restricted stock option
Price—$10,500 per unit.
Proceeds—To purchase
machinery, equipment and other fixed assets, for operat¬
ing expenses, and the remainder for working capital.
Office—4061 Transport St., Palo Alto, Calif. Underwriter
—None.
Financial Adviser—Hill, Richards & Co., Inc.,
Los Angeles, Calif.

Sept. >11

Aug. 31 filed 10,000 outstanding shares of class B com¬
mon stock.
Price;—$83.31 per share. Proceeds—To selling
stockholder.

in connection with the

plan.

Lee

57

or

Office—Hartsdale,.

Inc., New York. Offeiearly November.

Oak

Valley Sewerage Co.
30 (letter of notification) $145,000 of 5%% fir«fr
mortgage bonds series of 1958. Price—At par. Proceed*)
—To repay to Oak Valley, Inc. a portion of the cost of
June

construction of sewerage

and to

collection and disposal system

Office

the costs and expenses of financing.

St., Mantua, N. J. Underwriter—Bache At
Philadelphia, Pa. Offering—Expected in mid-Oct

—330

Co.,
•

pay

Main

Oak Valley

June

30

Water Co.
(letter of notification)

$125,000 of 5%%

first

mortgage bonds series of 1958. Price—At par. Proceeds
—To repay Oak Valley, Inc. a portion of the cost of
construction of the water supply and distribution sys¬
tem; to pay the cost of a new 12 inch well to increase
the company's supply of water; and to pay the costs and
expenses

N.

J.

of

financing.

Underwriter

—

Office—330
Bache

&

Co.,

Main St.,^Mantua*
Philadelphia, Pa-

.

Office

Laird

—

&

Regina,
Rumball

Saskatchewan, Canada. Underwriter—
Ltd., Regina, Saskatchewan, Canada.

Offering—Expected in mid-October.
Continued

'
on

page

59

58

The Commercial and Financial

(1406)

any

Continued from page 57

—$5

Oil, Gas & Minerals, Inc.
April 2 filed 260,000 shares of common stock (par 35
cents.
Price—$2 per share. Proceeds—To retire bank
loans and for investment purposes. Office—5-13 Interna¬
tional Trade Mart, New Orleans, La.
Underwriter —
Assets Investment Co., Inc., New Orleans, La. The ,SEC
has scheduled a hearing, to begin on Sept. 2, to determine
whether a stop order should be issued suspending the
offering.
'

•

Oil

Recovery Corp. (10/13)
15 filed $550,000 of 6% convertible

York

City.

Underwriter—Lehman Brothers, New York.

^-Palestine Economic Corp.
Sept. 28 filed 124,000 shares of

Price—
cash, State of Israel bonds at
par, or both.
Proceeds—For general corporate purposes
bearing on the further development of industry and
common

stock.

$25 per share, payable in

Office—18 East 41st Street, New

agriculture in Israel.

Underwriter—None/"

York.

Inc.

Latter company will, in turn, offer its stockholders
rights to purchase two shares of Pan-Alaska common, at
20 cents a share, for each share of Marine Drilling stock.
Marine Drilling also plans to sell 250,000 shares of the
680,000 shares of Pan-Alaska itnpw owns. Underwriter
—Any stock not subscribed for by holders of Marine
Drilling will be publicly offered by Crerie Co., Houston*
Texas and Clark, Landstreet & Kirkpatrick, Inc.,' Nash¬

•

price of 20 cents a share.

Pantasote Co.

Sept.

Institute, Inc.
filed $2,000,000 of Selected Plans.

11

For investment.

writer—The

Proceeds—

Office—26

Porce-Alume, Inc.
3 (letter of notification) 300,000 shares of com¬
mon stock (par 10 cents).
Price—$1 per share. Proceeds
—For expansion. Office—Alliance, Ohio. UnderwriterPearson, Murphy & Co., Inc., New, York.
Offering —
Expected in early October.

interest.

accrued

Proceeds

—

For

Co.

Inc., Ngw York.

-

Participating Annuity Life Insurance Co.
June 4 filed $2,000,000 of variable annuity policies. Proj
ceeds
For investment.
Office
Hathcock Building,
Fayetteville, Ark. Underwriter—None.
—

—

Pathe

•

Powell

.

t

Ltd.,

the basis of

on

seven

would be changed to MacMillan, Bloedel &
River, Ltd. Office — 1204 Standard Bldg., Van¬
B. C., Canada. Dealer-Managers—White, Weld &
Co., Wood, Gundy & Co., Inc., and Greenshields & Co.,
all of New York; and Wood, Gundy & Co., Ltd., and
Greenshields & Co., Inc., of Canada. Registration state¬
company

ment

to

become

Producers

effective

Oct.

31

agents

share, with warrants. Proceeds—For general corporate
purposes, including the addition of working capital, the
reduction

of indebtedness,
and the provision of - the
$173,000 cash required upon the exercise of an option to
purchase the building at 245-249 W. 55th St., New York.
Office—245 W. 55th St., New York. Underwriter—Chaun-

Walden, Harris & Freed, Inc., New York.

Offering

—Expected in about 30 days.

Fund, Inc., Pasadena, Calif.
shares of common stock (par $1)

19 filed 20,000

Price—At

market.
Proceeds—For investment. Under¬
writer—Investors Investments Corp., Pasadena, Calif.'
Perfect

Photo, Inc. (10/5-9)
Sept. 14 filed 150,000 shares of common stock (par 20
cents) of which 60,000 shares are to be offered for the
account of the company and

President.

90,000 shares for the account
Price — To be supplied by

amendment. Proceeds—For

working capital and the con¬
acquisition of additional film processing and
printing facilities. Office—4747 North Broad St., Phila¬
struction

or

delphia, Pa.

Underwriter—Drexel & Co., Philadelphia.

•

Philadelphia Electric Co. (10/14)
Sept. 17 filed $50,000,000 of first and refunding mortgage
bonds, series due Oct. 1, 1989. Proceeds—For expansion
program. Underwriter—To be determined by competitive
bidding. Probable bidders: Halsey, Stuart & Co. Inc.;
Equitable Securities Corp.; Kidder, Peabody & Co., East¬
man
Dillon, Union Securities & Co.r Merrill Lynch,
Pierce, Fenner & Smith Inc., and White, Weld & Co.
(jointly); The First Boston Corp. Bids—Expected to be
received up to noon

(EDT)

on

per

of

share.

Producers

Fire

Proceeds—For

Finance

&

Casualty Co.

working

^capital.

Co.

• Photo-Marker
Corp.
Sept. 14 (letter of notification) 50,000 shares of common
stock (par 50 cents).
Price—$5 per share. Proceeds—
For acquisition of a coating
plant; establishment of eight
new

branch offices;

moving to larger quarters

and

fur¬

writer—The issue will be underwritten

by R. W. Newton,

Secretary-Treasurer.

Puget Sound Power & Light Co. (10/28)
Sept. 21 filed $20,000,000 of first mortgage bonds, series
due Nov. 1, 1989. Proceeds—To
repay outstanding bank
loans, due Jan. 1, 1960, incurred to finance construction,
expected to aggregate about $23,000,000 at the time^0f such sale. Underwriter — To be
are

by

Lynch, Pierce, Fenner & Smith Inc.; Stone &
Securities Corp.; The First Boston Corp. and
Smith, Barney & Co. (jointly). Bids—/Expected to be
received up to noon (EST) on Oct. 28.
Webster

18, N. Y.
Underwriters—Marron, Edens, Slo'ss & Co., Inc., New
York, N. Y., and First Albany Corp., Albany, N. Y.
Pik-Quick,

Inc.

L.

York.
•

Republic

Office—Boston, Mass.

ic Pyramid Holding Co.
Sept. 23 (letter of notification) 80,000 shares of common
stock (par $1). Price — $3 per share. Proceeds — For
working capital. Office—Cheney Bldg., 139 N. Virginia
St., Reno, Nev. Underwriter—None.
•
Rad-O-Lite, Inc.
July 8 filed 300,000 shares of common stock (par 250).
Price
$1.50 per share. Proceeds — For general corpo¬
rate purposes. Office—1202 Myrtle St., Erie, Pa. Underwriter—John G. Cravin & Co., New York.
Offering—
—

Radiant Lamp & Electronics Corp.
Sept. 4 filed $250,000 of 6% ten-year subordinated con¬
vertible sinking fund debentures, series II, due Oct. 15,

1969, and 120,000 shares of class A stock (par 10 cents).
For debentures, 100% of principal amount; for
stock, $5 per share. Proceeds—To acquire Radiant Lamp
Corp., of. Newark, N. J., with the balance to be used as
working capital. Office—40 Washington Place, Kearney,
—

Underwriter—Amos Treat & Co., Inc., New York.

Offering—Expected in October.
Radiation Dynamics, Inc., Westbury, N. Y.
Sept. 8 filed 25,000 shares of common stock.
The com¬
pany proposes to offer to its stockholders the right to
to

11,325 shares at $10 per share, with war¬
rants to purchase an equal number of common shares at
$12.50 per share, on the basis of one new share for each
four shares held. Hayden Stone & Co. has agreed to pur¬
chase 2,500 shares for its own account and to use its best
efforts to place 11,175 shares with certain selected in¬
vestors

Resources & Development Corp.
1,250,000 unit shares of capital stock

(par

Philippine centavo). Price—*$2 per unit of 200 shares.
Proceeds—To be used in the company's oil exploration

one

the purchase of oil exploration and drilling
equipment, supplies and materials; to contract with U. S.
geophysical contractors for technical services; and to
pay its
pro rata shares of the dollar exploration ex¬
penses under its agreement with three other companies
for joint exploration of concessions held in the Philip¬
pines. Office—410 Rosario St., Binondo, Manila, Philip-pines.
Underwriter—John G. Cravin & Co., Inc., New
York.

Offering—Expected in early October.

Ritter

at

(P. J.)

Co., Bridgeton, N. J.
stock, non-cumu¬

June 18 filed 4,827 shares of preferred

lative, voting, (par $100) and 60,018 shares of common
(no par) to be offered to the holders of preferred
and common stock of Brooks Foods, Inc., at the rate
of one share of Ritter preferred stock for. each share of
stock

preferred
stock

of

Brooks.

stock
Ritter

its

and

of Brooks
each

for

with

two

share

The exchange offer is

accordance

its agreement

of

shares

of common'

common

stock

of

being made by Ritter in
with Brooks and certain

who own an
aggregate of 18,805
outstanding common stock, or approxi¬
mately 62.5% of stich stock, and who have agreed to
accept the exchange offer upon effectiveness of the reg¬

stockholders
of

its

istration statement.

^ Rochester Gas & Electric Corp. (10/22)
Sept. 25 filed $12,000,000 of first mortgage bonds, series
E, due 1989. Proceeds—For general corporate purposes,
including the repayment of loans incurred to finance
construction, which amounted to $10,950,000 at Sept. 21.
Underwriter—To be determined by competitive bidding.
Probable bidders: Kidder, Peabody & Co.; White, Weld
& Co.; Shields & Co. Bids—Expected to be received on
Oct.

Expected in October.,

N. J.

filed

29

June

shares

Price

Underwriter—D. A. Lomasney & Co., Nev/
r-r- /
-v.
v.
-

I., N. Y.

'

of

Rondout Corp.

155,000 shares of common stock, of which
are to be publicly offered.
Price—$3.50
per share. Proceeds—To buy the capital stock of Rond¬
out Paper* Mills. Inc., and to
purchase notes of said
company, currently held by Arrowsmith Paper Corp.,
with the balance to be used for general corporate pur¬
poses, including working capital. Office—785 Park Ave.,
New York, the address of the corporation as given in
the registration statement, is the home address of Leif
B. Norstrand, President of the issuing company.
Pur¬
suant
to the contemplated merger of Rondout .Paper
Mills, Inc. into Rondout Corp., it is anticipated that
Rondout Corp., as the surviving company, will conduct "
4 filed

Sept.

140,000

shares

.

its business from 41

E. 42nd

Sf^New York, the present:

Mills, Inc. Underwriters —
Co., Inc., Newark, N. J.; and S. B. Cantor...
Co., New York. Offering—Expected sometime in October.
office

of

Sandkuhl

•

Rondout

Paper

&

Roto-American

Corp.*

cated

near

leased

West

from

Palm

Beach.

International

These

Propertied,

three

Inc.,

have

been

newlyformed Minneapolis real estate firm for 15
years, with
options to renew. Office — Baker Bldg., Minneapolis,
Minn.

Underwriter

Aug. 28 (letter of notification) 80,000 shares of common
stock. Price—$3.75 per share. Proceeds—To'redeem pre¬
Bag,

—

a

Craig-Hallum, Inc., Minneapolis,

Minn.

Radio

Aug.
mon

Underwriter—Hayden, Stone & Co.,

York.

17

'

'

City Products Co., Inc.
(letter of notification)' 100,000

stock

—For

(par 25 cents). Price—$3 per
machinery and electronic test equipment, envi¬
testing equipment, placing accounts payable

discount

basis, retiring trade notes, retiring loans out¬
research and development and for working

standing,
capital. Office

Centre

&

Glendale

be

offered

to

the

public, which will also be offered




common

stock

outstanding^ held by Roto

wholly-owned

general corporate purposes. Office'—93 Worth St.,
York, N. Y. Underwriter—Morris Cp'hon & Co., New
York, N. Y. Offering—Expected any day.

New

Roulette Records, Inc.
Aug. 27 filed 330,000 shares of common stock (one cent),
of which 300,000 shares are to be publicly offered. Price
—$3.50 per share. Proceeds—For general corporate pur¬

Sts., Easton, Pa.

poses, including moving to new quarters and installing
executive offices and sound studio facilities therein, ac¬

Frequency Company, Inc. (10/5-9)
Aug. 12 (letter of notification) 100,000 shares of com¬
mon stock
(par $1). Price—$3 per share. Proceeds—For
general corporate purposes.
Office — Medfield, Mass.

quiring technical equipment and machinery, and adding
to
working capital.
Office — 659 10th Avenue, New
York. Underwriter—Chauncey, Walden, Harris & Freed,
Inc., 580 Fifth Avenue, New York.' Offering—Expected

Underwriter—Myron A. Lomasney & Co., New York.

in

—

Underwriter—None.
'

Pilgrim National Life Insurance Co. of America
Sept. 17 filed 100,000 shares of common stock, of which
55,000 shares are to be offered first to stockholders of
record Aug. 31, 1959, and 45,000 shares
(minimum) are

and

subsidiary; for*the 'purchase of
tooling to expand production; for working capital
a

and

ronmental
on

ferred

new

shares of com¬
share. Proceeds

•

Radio

.

22.

$10 per share, with warrants to purchase an
equal numbV of shares at $12.50 per share. Proceeds—
For working capital. Office—1800 Shames
Drive; WestNew

Sept. 17 filed 500,000 shares of common stock (par $1).
Price—$3.50 per share. Proceeds—Tolace in operation
15 food markets in Florida, three of which will be lo¬

to

per share.
Proceeds — For general corporate pur¬
including, the repayment of indebtedness and for
tooling and production. Office—38-19 108th St., Corona,

Sept. 28 filed 2,000,000 additional shares of capital stock.
investment.

the

of

poses,

it Puritan Fund," Inc.
Proceeds—For

and 71,334 shares are to be offered for
present holders thereof.
Price —

company

accounts

bury, L. I., N. Y.

ther research. Office—153 W. 36th St., New York

•

the

program for

(letter of notification) 125,000 shares of com¬
mon stock
(par 10 cents). Price—$1 per shai'e. Proceeds
—For working capital.
Office—c/o Charles E. Coleman,
Pres., 3300 West Grand Ave., Littleton, Colo. Under¬

which bank loans

.

>

$3.50

22

subscribe

Oct. 14.

issuing

Fire &

brokers

and

/

-

Sept. 25 filed 214,000 shares of common stock, of . which
142,666 shares are to be offered for Jthe account of the

filed

Merrill

Hope,

.

-k Rek-O-Kut Co., Inc.

5-9.

Casualty Co., Mesa, Ariz.
400,000 shares of common stock to be
offered for subscription by holders of stock purchase
rights acquired in connection with life insurance'policies
issued by Dependable Life Insurance Co. and to certain
March

.

per

for three shares of MacMillan & Bloedel
stock, whether
class A or class B. Thereafter, the name of the
issuing

determined

of common stock (par 10
with warrants to purchase an additional 100,000
common
shares at $3.25 per share. Price — $3.75 per

Karl

.

shares of Powell River stock

cents)

of

Realsite, Inc.
)
July 28 filed 200,000 shares of class A stock/Priced— $3
share. Proceeds—To pay off mortgages and for
working capital. Office—Jamaica, L. I., N. Y. Under¬
writer—Robert L. Ferman & Co., Miami, Fla. Offering—
Expected in about three weeks.
-

to holders of record
of, and in exchange for outstand¬
ing, class A and class B shares of MacMillan & Bloedel,

competitive bidding, Probable bidders:
Halsey, Stuart & Co. Inc., and Lehman Bros, (jointly);

Peckman Plan

Raymond Service, Inc. (10/7)
Sept. 3 (letter of notification) 300,000 shares of common
stock (par 10 cents).
Price—$1 per share. Proceeds—
For machinery and equipment; retiring current indebt¬
edness; a sales development program and working capi¬
tal.
Office—36-40 37th Street, Loiig Island City, L. L,
N. Y.
Underwriter—The James Co\ New York, N. Y.

River Co., Ltd.
/
filed 4,500,000 ordinary shares (no par) to be
offered, following a two-for-one stock split in September

News, Inc.
Sept. 17 filed 400,000 shares

May

ington, D.C. Underwriter—Weil & Co., Washington, D.C.

Aug. 20

Underwriter—None,

construction, equipping, and placing in operation of a
new plant, with the balance to be used for general cor¬
porate purposes. Office—26 Jefferson St., Passaic, N. J.

cey,

Raub Electronics Research Corp.
July 15 filed 165,000 shares of common stock (par $1),
subsequently reduced by amendment to 115,500 shares,
of which 100,000 shares will be offered to the public.
Price—$8.50 per share. Proceeds—For general corporate
purposes.
Office—1029 Vermont Avenue, N, W., Wash¬

,

Broadway, N. Y. C. Under¬
issuing company will serve as underwriters

Sept.

Underwriter—Blair &

Ave., New York.

Aug.

Price—$5

(10/19-23)

and

(par $1). Price

than

Planholders

• Professional

100%

other

Illinois, the sole
which it is presently licensed. Office—222 W.
St., Chicago, 111. Underwriter—None.

debentures, due Oct. 1, 1974 (with warrants attached en¬
titling the holder to purchase 50 shares of common stock
of the issuing company for each $500 of debentures).
•—

States

in

Adams

Aug. 28 filed $2,700,000 of 6% subordinated sinking fund

Price

in

couver,

Aug. 7 filed 2,612,480 shares of common capital stock to
be issued pursuant to options held by Marine Drilling,

a

State

business

Inc.

House,

ceeds—To

pany to
surance

Random

Thursday, October 1, 1959

— To
be supplied by amendment.
Pro¬
selling stockholders.
Office — 457 Madison
Underwriter—Allen & Co., New York.
Offering—Expected today (Oct. 1). ;:/<./
/"•
',v- ^ ''

possibly including the enabling of the issuing com¬
make application for licenses to conduct its in¬

poses,

Powell

Pan-Alaska Corp.

ville, Tenn., at

•

...

Aug. 27 filed 222,060 outstanding shares of common stock

•

subordinateddebentures, due 1974, and 5,500 shares of common stock,
to be offered in units of $500 of debentures and 5 shares
of stock. Price—To be supplied by amendment. Pro¬
ceeds
For general corporate purposes, including the
acquisition and development of properties for secondary
oil recovery purposes. Office-r-405 Lexington Ave., New
Sept.

/■
^
■
shares unsubscribed for by said stockholders. Price
per share. Proceeds—For general corporate pur¬

Chronicle'.

three

or

four weeks.

,

-

.

...

.

Volume

190

Number 5886

.

.

The

.

Commercial and Financial Chronicle'

(1407)
it Ruberoid

Co.

Sept. 28 filed 290,000 shares of
capital stock, which
given in exchange for all the assets of
Mastic Tile

of

America

on

Sept.

Somerset County, N.

30.

Office—South

principal amount of debentures and 100 shares of
were

Corp.
Brook,

Bound

1960.

of

J.

Regis Paper Co.
June 26 filed
30,000 shares of
company

The

to

proposes

stock

common

offer

this

stock

common

effective if 80% of said shares
150 E. 42nd

are so

Street, NewrYork.

Samson Convertible

:

Fund,

Inc.

stock.

common

of

Tarrytown, Inc.

alterations and construction thereon.

Office—115 Cham¬

"

Street, New York City. Underwriter—Sire Plan
Portfolios, Inc., 115 Chambers Street, New York City.
Offering—Expected in October.
Skaggs Leasing Corp.
June 4 (letter of notification) 240,000 shares of common
stock (par $1).
Prjce^-$1.25 per share. Proceeds—For

phimoses.

corporate

Brothers &

Underwriter—Harrison

be

it Scaico

S.

Co., Salt Lake City, Utah.

cents), of this stock, 123,500 shares

pected in late October.

issued

were

(par
or

are

10
to

shares

mon

ceeds—For research and

facilities;

sales

and

of

com¬

share.

per

Pro¬

development; increaese of plant

training

sales

program;

issued

pursuant

to

warrants

issued

in

1956;

13,742

are to be issued to various
persons in lieu of cash
services rendered, pursuant to authorization of the
directors in January 1958; 30,000 common shares are to
be offered by owner' Arthur Levey for sale
by brokers.

for

shares

promotion

and for general
corporate purposes. Office—P. O. Box
41, 450 Cooper St., Delanco, N. J. Underwriter—Albion'
Securities Co., Inc., 11 Broadway, New York
4, N. Y.

it Scudder, Stevens & Clark Fund, Inc.

Proceeds—For working capital. Office—New York City.
Underwriter—None. N.o. public '"offering is planned.
.

•

.

*>

•

'• ".w.

'V.li

■

•

*

-

Sottile, Inc.

(Formerly South Dade Farms, Inc.)
July 29 filed 2,000,000 shares of common stock (par $1),
of which 1,543,000 shares are to be issued and sold for

Sept. 28 filed 150,000 additional shares of capital stock.

the

Proceeds—For investment.

senting

Office—poston, Mass.
Inc.

Sept. 28 filed 300,000 additional shares of capital stock.
Proceeds—For
Seneca

investment.

Gas

Office—Boston, Mass.

& Oil

Corp.
Sept. 15 (letter of notification) 100,000 shares of com¬
mon stock (par 20 cents).
Price—$3 per share. Proceeds
—For
expenses in developing
Office—601 G. Daniel Baldwin

oil and gas properties.
Bldg., Erie, Pa.
Under¬

writer—None.
Service

Insurance

account

of the company, and 457,000
shares, repre¬
outstanding stock, tcK be sold for the accounts
certain selling stockholders. Price—To be
supplied by

stockholder. Office—400 West

Vickery Blvd., Fort Worth,
Texas. Underwriter—R^y and
Company, Inc., Houston,
Texas.

velopment and research, with particular attention to
civilian products; $200,000 for plant relocation and con¬
solidation at the Hicksville, N. Y., site and for

expansion
equipment; $100,000 for sales promotion and related
activities; and $100,000 for general corporate purposes.
of

-Office—20-20

Jericho

Turnpike, New Hyde Park, L; I.,

N. Y. Underwriter—Ira Haupt &
Co., New York.

Shares
Dec.

12

in

American

bank

seven

subsidiaries; to repay a bank loan of $6,400,000; to add to working capital; to retire certain longterm indebtedness; and to develop citrus groves.
Office

—250 South East First Street, Miami, Fla.
Underwriter
—Bear, Stearns & Co., New York. Offering—Expected

October.
Southeastern

Development Corp.
Aug. 14 filed 738,964 shares of common stock (par $1),
of which 340,000 shares will be offered publicly.
Each
purchaser is also to receive a non-transferable option to
purchase a like number of shares on or before April 7,

Industry,

market.

Investment
in

Fund

Management Corp.
America, Inc.

Advisor—

Former

Name

v

class A

(par 10 cents). Price—$2 per share. Pro¬
working capital. Office—15
William
St.,
New York 5, N. Y. Underwriters—C. H. Abraham &
Co.,

inc., B. Fennekohl & Co., and Louis L. Rogers Co., all
of New York, N. Y. and Maryland
Securities Co., Inc.,
Shell

Offering—Expected

Electronics

in

October.

(10/19-23)

Aug. 28

filed 170,000 shares of common stock (par 10
cent?). Price—$2 per share. Proceeds—For general cor¬
porate purposes,' including the repayment of indebted¬
ness, the purchase of equipment, and for working cap¬
ital.
Office
112
State St.,
Westbury, L.
.Underwriter—Schweickart & Co., New York.
—

stock

mon

of

the

company

pursuant to the said
Shield

Sept.

Chemical

plan.

which

I.,

N.

Y.

in the Sheraton
and participat¬

$750,000 of de¬
shares

of

com¬

be

acquired
Office—Boston, Mass. '
may

Ltd.

8

and

test equipment;. advertising and for
working
Office—17 Jutland Road, Toronto, Canada. Un¬
derwriter—Peters, Writer & Christensen, Inc., Denver,

capital.

Colorado.
•

Simon Hardware Co.
(10/19-23)
Sept. 14 filed $800,000 of 7% sinking fund subordinated
.debentures, due Sept. 30, 1971, and 80,000 shares of com¬
stock

(no

par),

to

be




offered

in

are

received,

units

of

$1,000

and

property additions and

Southern

Frontier

Co.

Finance

Aug. 11 filed 1,300,000 shares of common

stock (par 50
share.
Proceeds—For working
capital and to purchase products for company. Office—
615 Hillsboro St., Raleigh, N.
C. Underwriter—None,
but the company officials, who are making the offering,
may pay a 10%
commission to dealers in connection
with
•

Price—$1

the

sale

Southern

Price—To

(letter of notification) 95,000 shares of capital
(par 10 cents). Price-—$1.50 per share. Proceeds—
To purchase and install
manufacturing equipment; con¬

mon

which .were incurred mainly
improvements. Office — 67
Edgewood Ave., S.E., Atlanta, Ga. Underwriter—To be
determined by competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc.; Morgan Stanley & Co. BidsExpected to be received on Oct. 20.

for

Aug. 24 filed

stock

trol

(10/20)

Sept. 25 filed $70,000,000 of 35-year debentures, due 1994.
Proceeds—To repay loans from American Telephone &
Telegraph Co., the issuer's parent company, which are

cents).

Manufacturing Corp.

^Sheraton Corp. of America
Sept. 28 filed $3,500,000 of memberships
Employees Savings Plan of the company
ing subsidiary companies, together with
bentures, $500,000 of bonds, and 60,000

in

expected to approximate $64,00,000 at the time the pro¬

stock

Md.

per

-

ceeds—For

Baltimore,

$2.50

issued

—

ceeds

'it Shelbourne Realty & Construction Corp.
Sept. 17 (letter of notification) 148,500 shares of
common

be

to

are

it Southern Bell Telephone & Telegraph Co.

inc.

Street, N. W., Washington 7, D. C. Investment
Shares

at

share. Of the total, 37,429
exchange for outstanding
shares of Southeastern Building Corp., on a one-for-one
basis, conditional upon the tender of sufficient Build¬
ing stock for exchange so that the Development Corp.
will own at least 75%; 21,535 shares are covered by
outstanding warrants which are exercisable at $2.50 per
share. Price—For public offering, $2.50 per share.
Pro¬
ceeds
To be used to complete building program of
Southeastern and to expand other divisions.
Office—
Hattiesburg, Miss-. Underwriter—None.
shares

filed 50,000

shares of common stock. Price—At
Proceeds—For investment.
Office—1033-30th

Co.

(10/12-16)

~

for the accounts of the present holders thereof.
To be supplied by amendment.

Price-

Proceeds—Together with

other funds, will be used for general
corporate purposes,
including the addition of working capital, and the pro¬

viding of funds for adding to jet-engine overhaul facile
including the purchase of shop equipment and
special" tooling required for this purpose,- Off ice—751$

Ave., Dallas, Tex.
Underwriters
Rauscher,
Co., Inc. and Dallas Rupe & Son, Inc., both of
Dallas, Tex.
" ;
'
"
—

Pierce &

•
Span America Boat Co., Inc.
Sept. 9 (letter of notification) 175,000 shares of common
stock (par 25 cents).
Price—$1 per share., Proceeds—Td
purchase raw materials; for sales program and working,
capital. Address—Exposition Park, Fort Dodge, Iowa,

Underwriter
New York.

R. A. Holman & Co.,
Inc.,
Offering—Expected in October.
—

Sports Arenas
Nov.

(Delaware)

New

York,

Inc.

filed

18

$2,000,000 of 6% 10-year convertible de¬
(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
for other installations, fixtures and
equipment; $85,000
to expand two present establishments
by increasing the
number of alley beds by eight at Yorktown Heights and
bentures

by six at Wilton Manor Lanes, Fort Lauderdale; $300,000
for deposits on leaseholds, telephones and
utilities; and
$395,000 for working capital. Underwriter—None. Stoporder proceedings

instituted by SEC.

Nov.

18

filed

-

(Delaware)'Inc.

Sports Arenas

461,950 shares of

common stock (par one
(but in no event less than
$6 per share). Proceeds—To selling stockholders. Office
—33 Great Neck Road, Great Neck, N. Y.
Underwriter
—None. Stop brder proceedings instituted by SEC.
1

cent).

•

Price—At the market

Standard

Beryllium Corp.

(10/2-5)

—For

Proceeds—To retire 70% of the common
outstanding at the date of the stock offering; to
invest in the capital stocks of six of the company's

1960 exercisable

Servo Corp. of America (10/20-23)
Sept.: 11 filed $1,000,000 of conv. subord. debens. due
Oct. 1,1974. Price—100% of
principal amount. Proceeds—
$300,000 for working capital; $300,000 for increased de¬
_

Airmotive

Sept. 18 filed 200,000 shares of common stock (par $l),of
which 100,000 shares are to be offered for the account
of
the issuing company, and
100,000 shares are to be offered

stock

Co.

•—

Lexington,, Houston 6, Texas. Underwriter—None,

Southwest

amendment.

in

Life

Aug. 25 filed 25,000 outstanding shares of common stock
(par $1). Price — $20 per share. Proceeds
To selling

•

Sept. 3 (letter of notification) 150,000 shares of common
stock (par one cent). Price—$1.50 per share. Proceeds

of

it Scudder, Stevens & Clark Common Fund,

-

pre¬

bers

eral

Controls, Inc.
(leter of notification) 240,000
stock (par 10 cents). Price—$1.25

2802

Lemmon

cumulative, non-callable, participating

(par $10). Price—$100 per unit consisting
$50 debenture and one share of preferred stock.
The minimum sale is expected to be five units. Proceeds
—For general corporate purposes incidental to the ac¬
quisition of land and buildings in Tarrytown, N. Y., and
one

Skiatron Electronics & Television. Corp.
Aug. 18 filed 172,242 shares of common stock

Sept. 23

per participation (minimum^ is 2 participations).
Proceeds—For oil and gas exploration
program. Office—

ities,

supplied by amendment. Proceeds—For investment.
Office—23 Hazelten Circle, Briarcliff Manor. N. Y. Gen¬
Distributor—Samson Associates, Inc. Offering—Ex¬

stock.

the

with

Price—To

be

half-units

purposes.

Plan

general

Securities

July 15 filed 200,000 shares of

'

'

.

in

common

supplied by amendment.
Proceeds—To
more additional retail stores
in Northern

$5,000

shares of $3
ferred stock

of

St. Regis Paper Co.
■.'■V'V
Aug. 12 filed 453,731 shares of common
stock, to fee of¬
fered in
exchange for the outstanding shares of the cap¬
ital stock of the Cornell
Paperboard Products Co. on

be declared
deposited. Office—«

offered

31,

July 13 filed $900,000 10-year 6% debentures and 18,000
i

\

may

be

com¬

March

.

Sire

will enable it to control the
business operations
and policies of Lone Star.
/ ■ ■/

exchange, and

also

until

Co., both of San Francisco, Calif., and Mason Brothers,
Oakland, Calif.
:

common

the basis of .68 of a share of St.
Regis common for each
share of Cornell capital stock. The offer
will be declared
effective if 90% of the
outstanding shares of the Cornell
Stock are deposited for

will

units

as

balance to be used for general
Office — 800 Broadway, Oakland,
Underwriters—J. S. Strauss & Co., and York &

Calif.

are

deposited for-exchange, and may elect to do so if
a lesser
percent, but not less than 80%, of all the Lone Star

or

corporate

outstanding shares of common stock of Lone Star
Bag and Bagging Co. on the basis of 0.6782 of a share of
St. Regis common for each
share of Lone Star common.
St. Regis will declare the
exchange offer effective if
95% of the
outstanding shares of Lope Star

one

be

California,

(par $5).
exchange

in

for

only

$500 debenture and 50 shares of

one

open

transferable
securities

Price—To

St.

The

stock,

mon

59

be

of

per

their shares.

Gulf

'

Utilities, Inc.
by

amendment.

(par 5c).
Proceeds—For

general corporate purposes, including expansion. Office—
7630 Biscayne Blvd., Miami, Fla. Underwriter—Jaffee,
Leverton,
in

Reiner

Co-.,

New

York.

Offering—Expected

October.
Southern

,

Oil

Ventures,

Inc.
participations

July 22 filed $1,000,000 of
in the com¬
pany's 1959 Oil and Gas Exploration* Program. Price—
.

.

*/L-"

»

Steak'n

Shake, Inc..
o
Aug. 24 filed 65,505 shares of common stock, to be of¬
fered by subscription by common stockholders of record
Sept. 15, 1959, on the basis of one new share for each
9 shares then held. Price—$4.62V2 per share. Proceeds—
For "general corporate purposes, including the
developing
of three drive-in restaurants on company-owned
building

sites.
111.

Office—-1700

West

Underwriter—White

Washington
&

St., Bloomington,
Co., St. Louis, Mo. Offering

•—Expected in early October.

Stelling Development Corp.
(letter of notification) 300,000 shares of common
(par one cent). Price—$1 per share. Proceeds—
For mortgages, land, paving roads, loans payable, adver¬
tising, etc. Office—305 Morgan St., Tampa 2, Fla. Under¬
writer—Stanford Corp., Washington, D. C.
June 8

stock

Strategic Materials Corp.
June 29 filed 368,571 shares of common stock
be

offered for

the rate of

subscription by

one new

common

(par $1), to

stockholders

at

share for each five shares

held.. Price
—To be supplied by amendment. Proceeds—For
payment
of bank loans; for payment of a note;
for working
capital; for expenditures by Strategic-Udy Metallurgical
& Chemical Processes Ltd., which owns and operates
a
pilot plant at Niagara Falls," Ontario, and is a' sub¬
sidiary of Stratmat Ltd., Strategic's principal subsidiary,
and by its other direct subsidiary, Strategic-Udy Pro¬
cesses, Inc., which owns and operates a laboratory at
Niagara Falls, N. Y.; as working capital for a mining
subsidiary; for payment of a mortagage; and as working
capital for another subsidiary. Underwriters — S. D.
Lunt &

Co., Buffalo, N. Y.; and Allen & Co., New York.

Sylvania Electric Products, Inc.
Sept. 1 filed $25,000,000 of sinking fund debentures, due
Sept. 1, 1984. Price — To be supplied by amendment.
Proceeds—To be applied to indebtedness.- Office—730
Third Avenue, New York. Underwriters—Paine, Webber,
Jackson & Curtis, and Halsey, Stuart & Co. Inc., both
of

New

market

York.

This

offering has been deferred due to

conditions.

-

•v

•

Tang Industries, Inc. (10/2)
May 25 filed 110,000 shares of common stock (par 10
cents). Price—$3 per share. Proceeds—To purchase ma¬
chinery and equipment; for research and development;
for
49

certain
Jones

Barnes
•

New

England Telephone Co.
Aug. 24 filed 688,885 shares of common stock (par $25),
being offered far subscription to stockholders of record
Sept. 8, 1959, in the ratio of one new share for each 10
shares then held; rights to expire on Oct. 9, 1959. Price
—$35 per share. Proceeds —To repay advances from
American Telephone & Telegraph Co. (owner of 21.3%
of the outstanding stock) which are expected to approxi¬
mate $20,000,000, and the balance, if any, to be used for
general corporate purposes. Office—227 Church St., New
Haven, Conn, Underwriter—None.
Southland

purposes,

Underwriter

Inc., New York, N. Y.

•

135,000 shares of common stock

supplied

working capital and general corporate

Office—150 E. 43rd St., New York 17, N. Y.
—R. G. Williams & Co.,

&

expenses and for working capital. Office—
Road, Waltham, Mass.
Underwriter — David
Co., Inc., New York.

Tassette, Inc.

(10/12-16)

Aug. 26 (letter of notification) 100,000 shares of class A
stock (par 10 cents). Price—$3 per share. Proceeds—
For purchase of furniture and fixtures, selling, adver¬
tising and other working capital. Office—170 Atlantic

St., Stamford, Conn. Underwriters—Amos Treat & Co.,
Inc. and Truman, Wasserman & Co., both of New York,
N. Y.

Technology, Inc.
May 15 filed 325,000 shares of common stock (par 10
cents).
Price—$4 per share.
Proceeds^To pay off in
full the
subscription of Microwave Electronic Tube
Co., Inc. stock, represented by notes,
provements tipon the plant leased to

to pay for
Microwave,

Continued

on

im¬

and

page

60

..

60

The Commercial and Financial Chronicle

(1403)

Continued from page 50.
for
nue,

working capital.
Office^-1500 Massachusetts Ave¬
N. W., Washington, D. C.
Underwriter — £. L.

Wolf
♦

Associates, Inc., Washington, District of Columbia.

Tennessee

Transmission

Gas

Co.

be

exchanged for

Natural Gas Co.

basis of

the

on

stock

common

of

October..-

of Tennessee

share

one

(par $5),
Tennessee

East

;Y'/y-'y

'

United Tourist

=

Y.':

Gas Common for 2.75 shares of East Tennessee common.

Jan.

Tennessee

Investors,

will

receive

vention
of Estes

Office

commission

of

90

of

a

Grand

Estes

stock

common

Hotel

and

Con¬

cut

Hall, to be constructed in the immediate vicinity
Park Chalet, located in Larimer County, Colo.

—

South 39th

330

United

Co., both of Washington, D. C.

Street, Boulder, Colo.
Under¬
Corp., Littleton, Colo.

Wellington Electronics, Inc.
May 6 filed 240,000 shares of-common stock (par 75
cents.
Price—$6 per share. Proceeds—For repayment
of a bank note; to complete the automation of the etched
foil production plant at Englewood, N. J.; for manu¬
facture of machines to be leased to, capacitor manufac¬

Utilities, Inc.

Sept. 2 filed 229,606 shares of common stock (par $10)
being offered for subscription on or about Sept. 29. 1959
in

ratio

the

of

share for

each 10 shares held;
13. Price—$29.50 per
—^ For construction
program.
Under¬
writer—Kidder, .Peabody & Co., New York.
new

one

rights to expire
share. Proceeds

on

about Oct.

or

Price—$4

cents

share. Proceeds

per

—

and

Transmission

Corp.

Sept. 28 filed 150,000 shares of convertible second pre¬
(par $100). This issue will-carry a dividend

ferred stock
not

to

exceed

5^%.

Price—To be supplied by amend¬

ment.

ProceedsFor

gram.

For general corporate

expansion and construction

pro¬

-

ceeds—To

be

used

to

for properties. Underwriters
—Lifton Securities, Inc. and Hechler-Weingrow ,Secu¬
rities, Inc., both of 375 Park Avenue, New York, N. Y.
Offering—Expected early in October.
Textron

Electronics

Co.

one

shares

share
of

of

Textron

Textron

Inc.

one

$5,05

Electronics
held

stock

stock

as

of

for

each

Sept.

2,

class

per

A

share

unit.

and

common

one

Proceeds—For

share.

general

Price

corporate

1959;

New

York.

:'

Natural

Gas

~/Y..
Co.

'.

(19/5-9) Y

Aug. 31 filed $837,200 of 7%% 30-year subordinated in¬
come debentures and warrants to purchase 25,116 shareg
of class A common stock ($1 par). Price—$100 per unit
consisting of one $100, debenture and a warrant to pur¬
chase three shares bf claSs A common stock. Proceeds—
To be

applied, together with moneys in the sinking fund
issuing company, to the redemption of the out¬
standing 6% 20-year debenture bonds at their redemp¬
tion price of 103% of their principal amount. Office—
Maple and 3rd Streets, Panama City, Fla.
Underwriter
—Beil & Hough, Inc., St. Petersburg, Fla.
the

of

—

pur¬

poses, including the purchase of supplies, machinery, and
equipment, dnd the leasing of a Los Angeles plant for
manufacturing purposes. Office—235 Montgomery St.,
San Francisco, Calif.
Underwriters—Wilson, Johnson &
Higgins of San Francisco, and Evans, MacCormack &
Co., of Los Angeles.

10

•

West Florida

★ Urethpne Corp. - *
M
Sept. 25 filed 170,000 shares of class A capital stock and
340,000 shares of common stock, to be offered in units

Aug. 3 filed 500,000 shares of outstanding common stock,
being offered by Textron Industries, Inc., the present
bolder thereof, to Textron Inc. stockholders on the basis
of

None.

pay

of

'•

of

par.
Proceeds—For construction and equipment of
company's plant and for working capital. Office—300
Montgomery St., San Francisco, Calif." Underwriter—

July 13 (letter of notification) 10,000 shares of-common
stock
(par 15 cents). Price—$5 per share. Proceeds—
For general operating funds. Office—700 Gibralter Life
Bldg., Dallas, Tex, Underwriters/Texas National Corp.,
Sari Antonio, Tex.
•
..■■ *
;

Texmar Realty Co., New York (10/5-9)
Sept. 1 filed $1,819,000 of limited partnership interests
in the company.
Price—At par ($5,000 per unit). Pro¬

both

Y'^Yy'Y''-':Y

At

Universal Finance Corp.

Underwriter—Dillon, Read & Co. Inc., New York.

Co.,

&
3.

Western Wood Fiber Co.

including provision of funds for the purchase
a similarly engaged enterprise, working
capital, new equipment, and expansion. Office—Louis¬
ville, Ky.
Underwriter—Michael G. Kletz & Co., New
York.
Offering—Expected in early November.

(10/21)

effective July

March 5 filed 100,000 shares of common stock (par $10)
and 40,000 shares of preferred stock (par $25). Price —

purposes,

Gas

Wasserman

Truman,

Statement

of the assets of

Texas

"

turers; and for working capital. Office—65 Honeck St.,
Englewood, N. J. Underwriters—Amos Treat & Co., Inc.,

At Universal Container Corporation
Sept, 25 filed 167,500 shares of common stock (par 10'
cents), of which 150,000 shares are to be publicly offered.

share.

Ave., N. W. Washington, D^C. Underwriters—Amer¬
Diversified Mutual Securities, Inc. and Gildar &

ican

writer—Mid-West Securities

Inc.

underwriting

an

4,500,000 shares of class A

for construction

and

Aug. 28 filed 500,000 shares of common stock (par $10)
Price—$12.50 per share, Proceeds—To provide invest¬
ment
capital and consulting and advisory services to
small businesses. Office—Life & Casualty Tower, Nashville, Tenn. Underwriters—The offering is to be made
on a "best efforts"
basis through NASD members, who
per

filed

28

*

•
Washington Mortgage and Development Co., Inc.
Sept. 29 filed 100,000 shares of common stock (par 10c)
Price—$5 per share. Proceeds—For investment in mort¬
gage notes secured by real estate. Office—1028 Connecti¬

(par 50 cents).
Price
$2 per share. Proceeds — For
development and construction of a "Western Village"

par) of East Tennessee shall have been purchased or
redeemed and cancelled.
East Tennessee is presently
.negotiating for the sale of $5,800,000 of which 11-year
5%% debentures, contingent upon the consummation of
the exchange offer, $4,568,785 of the proceeds of which
will be applied to the redemption of the 5.20% cumula¬
tive preferred stock. Office—Tennessee Bldg., Houston,
Texas. Dealer-Managers — Stone & Webster Securities
Corp., and White, Weld & Co., both of New York.

.

•

Enterprises, Inc.

This offer is subject to various conditions, one of which
is that all of the 5.20% cumulative preferred stock ($25

.-'Thursday, October 1, 1959

Waltham. Engineering and Research Associates
July 28 filed $1,065,600 of participations in; partnership;
interests.
Proceeds—To purchase land-and buildings of
Waltham Engineering and Research Center, Waitnam,
Mass., and for expenses connected to the purchase. Of¬
fice—49 W. 32nd Street, New York 1, N. Y. Underwriter
—The First Republic Underwriters Corp.; same addres3.
The offering is expected in September.
-

—

(10/5-9)

Aug. 21 filed 473,167 shares of common stock
to

U. S. Home & Development Corp.:
:
Sept. 3 (letter of notification) 99,933 shares of class A't~
capital stock (par 10 cents). Price—$3 per share. Pro¬
ceeds— For construction of real estate developments.
Office
52 Neil Ave., Lakewood, N. J. Underwriter —
Sandkuhl & Co., Inc., 1180 Raymond Blvd., RaymondCommerce Bldg., Newark 2, N. J. Offering—Expected in
.

;

,

.

Western Empire Life Insurance Co.
29 filed 212,000 "shares of common stock

June
tions

to

purchase

shares).

The

172,701

company

shares

(plus
make

proposes to

and op¬
the underlying
a public offer¬

Co., Phoenix, Ariz.
contracts (partnership in¬
terests) to be offered in units. Price—$5,378.39 per unit.

ing of three blocks of stock in amounts of 40,430, 38,570
36,935 shares, at prices of $1, $2 and $3, respectively.
The remaining 96,065 common shares and options for the
172,701 shares (together with shares underlying such
options) are to be offered by the present holders thereof.

outstanding common
(par $1).
Price—To be supplied by amendment.
Proceeds — To selling stockholders. Office — Route 13,

Proceeds—For

The

Mansfield, O. Underwriters—Goldman, Sachs & Co., of
York, and McDonald &Co. of Cleveland, O.

Variable Annuity Life Insurance Co. of America
April 21 filed $4,000,000 of Variable Annuity Policies.
Price—No, less than $120 a year for annual premium
contracts and no less than $1,500 for single premium j;
contacts.
Proceeds—For investment, etc.
Office-—1832
M Street, N. W., Washington, D. C. Underwriter—None. *

rights to expire
Office—10

on

Sept. 25, 1959.

Dorrance

Price—$7.50 per share.

Street, Providence, R. I.

writer—None.

■■

-

Val Vista

June

Ar Therm-O-Disc, Inc. (10/28)
Sept. 25 filed 121,057 shares of

stock

New

Thrift Drug Co. of Pennsylvania (10 14)
14 filed 75,000 shares of common stock (par $1).
Price—To be supplied by amendment.
Proceeds—To

Sept.

retire bank indebtedness and assist in the
opening of 15
drug stores in 1959-60. Office—16th and Mary Sts.,

new

Pittsburgh, Pa. Underwriter—Singer, Deane & Scribner,
Pittsburgh, Pa.
Y7
- •
Tower's Marts, Inc.
Aug. 28 filed 300,000 shares

<par 10 cents).
„■

-

Price—$3

of class A

per

share.

stock

common

Proceeds—To

Petroleum & Development
Corp..
Mangum, Okla.
(letter of notification) 300,000 shares of

March 20

re¬

com¬

stock.
Price—At par ($1 per
snare). Proceedsdevelopment of oil properties. Underwriter—First

Investment Planning Co.,
Treasure

Washington, D. C.

Hunters, Inc.

June 4 filed

L900,000 shares of common stock (par one
cent). Price—$1 per share. Proceeds—For
salvage op¬
erations.
Office—1500 Massachusetts
Avenue, N. W.,
Washington, D. C. Underwriter—None.

Trinity Small Business Investment Co.
April 17 filed 235,000 shares of capital stock
(par $1).
$10.75 per share.
Proceeds
For investment.

.Price

—

—

'Office—South
writer—To be

Main

Street, Greenville,
supplied by amendment.

Insurance

April 16 filed 2,000,000 shares of

—

S.

C.

Del.

Portland,

President.

of

vestment

•without
with

insurance.

Kansas

$95,000,000 of

Periodic

City, Mo.

and

$15,000,000

Proceeds

—

For

represented

investment.

Underwriter—None.




».

common

program

Volaircraft, Inc.
Sept. 17 (letter of notification) 108,260 shares of common
stock
(no par). Price—$1 per share. Proceeds—For
expenses in manufacturing a low cost airplane. Office—
Aliquippa-Hopewell Airport, Aliquippa, Pa. Underwriter

—None.

$1

options permit purchase of the underlying shares
per share.
Proceeds—For general corporate pur¬
Office—2801 East Colfax Ave., Denver, Colo. Un¬

poses.

derwriter—None.

Western Heritage Life Insurance Co.
Aug. 26 filed 500,000 shares of common stock. Price—
$2 per share. Proceeds—For general corporate purposes.
Office—533 East McDowell Road, Phoenix, Ariz. Under¬
writer—None. Some of the shares may be sold by sales¬

employed by the coiiipany,

men

dealers.

share,

per

by registered broker17%, or 34 cents
be paid to sellers of such shares.

commission

A

may

not

to

or

exceed

Vulcan Materials Co.,

Inc.

June 29 filed 10,000 shares of 6J/4%

struction Corp. and Talco

cumulative preferred

Constructors, Inc., in exchange

for all the outstanding capital stock of these

three cor¬
Sherman Concrete Pipe
Co., Chattanooga, Tenn., for the business and assets of
that company.
Office—Mountain Brook, Ala. Statement

porations, and to the

it

became effective

on

owner

of

July 20.

Materials

T

Co.

Sept. 15 filed 230,000 shares of common stock. Price—To
be supplied by amendment.
Proceeds—The stock will

In¬

•

Western

Massachusetts Electric Co.
(10 21)
Sept. 23 filed $8,000,000 of first mortgage-bonds, series
D, due Oct. 1, 1989. Proceeds—To pay outstanding bank

loans, Underwriter—To be determined, by competitive
bidding. Probable bidders: Halsey, Stuart & Co., Inc.;
Eastman Dillon, Union Securities & Co.; Equitable Se¬
curities Corp. and Lee Higginson Corp. (jointly); The
First Boston Corp. and White, Weld & Co. (jointly);
Blyth & Co., Inc. Bids—Expected to be received up to
11 a. m. (EDT) on Oct. 21 at the office of the company,
Devonshire

201

St., Boston, Mass. 7Y

^

,

Vr;

r;

and Coke Co.
mon

on

the basis of

one

for five shares of

Madison

Virginia
Ave., New York.

share of Wilson com¬

common.

Office

-

^ Wisconsin Michigan Power Co., Milwaukee, Wis*
Sept. 29 filed $3,000,000 of first mortgage bonds due

Y$989.

Proceeds—To be used to retire short-term bank

loans, to reimburse treasury, and for additions

and im¬

provements. Underwriter—To be determined by com¬
petitive bidding. Probable bidders: Halsey, Stuart & Co.
Inc.;

Merrill Lynch, Pierce, Fenner & Smith Inc. and
Bros. & Hutzler (jointly); Kidder, Peabody &
Co. (jointly).

Salomon

Co. and White, Weld &

Wyoming Nuclear Corp.
Sept. 11 (letter of notification) 10,000,000 shares of com¬
stock. Price—At par (three cents per share). Pro¬
ceeds—For mining expenses. Office—Noble Hotel Bldg.,
Wyo. Underwriter—C. A.
Pittsburgh, Pa.

Lander,

•

York

Research

Corp.

Benson &

Co., Inc.,

(10/12-16)
"
A stock (par $1).
general corporate
various indebted¬
of new equipment;

150,000 shares of class
Price—$3 per share. Proceeds — For
purposes, including the discharge of
ness and the purchase and installation
Aug. 10 filed

and

for

the establishment

of

new

a

testing laboratory.

Office—Stamford, Conn. Underwriter—Myron A: Lomas¬
ney & Co., New York.
* Zale Jewelry Co., Inc.
Sept. 28 filed 31,050 shares of common stock, to
fered to certain key employees oi -the company

Inc.

Sons and for

Wegco

180

—

•I

constitute part of the purchase price tq be paid for W. E.

Office—

-

Aug. 31 filed 261,752 shares of common stock, to b®
exchanged for the common stock of Virginia Iron, Coal

Graham;,and

Plans

Y

Wilson Brothers

mon

Btock and 560,000 shares of common stock, to be offered
to the stockholders of Ralph E. Mills Co., Talbott Con¬

Plans, of which $80,000,000 represented Plans
insurance

a

Vulcan

additional

common

of national distribution and for working
Office—373 Herzl St., Brooklyn, N. Y. Under¬
writer—Caldwell Co., New York, N. Y.

Ar United Funds, Inc.
an

The price of the

capital.

Under'

common stock.
Price—
offered at 100% of principal

be

Beverage Co., Inc.
Aug. 11 (letter of notification) 300,000 shares of common"
stock (par 10 cents). Price—$1 per share. Proceeds—For
publicity, advertising, business promotion and initiation '

bj

Ore.,

to

Vita-Plus

(par $5).
For acquisition of

—

are

Victoria Raceway
May 25 filed 1,000,000 shares of common stock (par $2
in Canadian funds). Price—$4.50 per share. Proceeds—
To construct and operate a racing plant; and for work¬
ing capital and other corporate purposes. Office—Notre
Dame Avenue at King Street, Winnipeg, Canada. Under¬
writer—Original underwriter, has withdrawn.

stock

or purchase.
Office
Wilmington,
writer—None.
Myrl L. McKee of

debentures

stock, to
the Estate of James Vernor, deceased, the selling stock¬
holder. Office—4501 Woodward Avenue, Detroit, Mich.
Underwriters—Baker, Simonds & Co., Inc., of Detroit,
and Wm. J. Mericka & Co., Inc., of Cleveland, Ohio.

Under¬

space

Sept. 23 filed

Vernors Ginger Ale,

working capital; from the sale of the

Co.

common

—

.lease

at

shares will be $7 per share. Proceeds—From the sale of
the debentures, to redeem preferred stock and for use as

$10 per share. Proceeds
•operating properties, real and/or
personal, includinf
office furniture, fixtures,
equipment and office

s

Underwriter—O'Malley Se¬

amount plus accrued interest.

construction, instal¬
machinery and equipment and working capital.
-Office—511 Securities Building, Seattle
1, Wash. Under¬
writer— H. P. Pratt &
Co., Seattle 4, Wash.

Price

investment.

Statement effective Aug. 11.

Inc. (10/20)
Sept. 15 filed $750,000 of 6x/2% sinking fund debentures,
due Oct. 1, 1974, with common stock purchase warrants

lation of

Employees

investment

80

•

•

Tungsten Mountain Mining Co.
May 21 (letter of notification) $100,000
principal amount
■oi 7% first
mortgage convertible bonds, to be offered
in denominations of
$500 and $1,000 each. Price—100%
of principal amount. Proceeds—For

United

Investment

filed

attached, and 282,760 shares of

Transcon

Tor

29

curities Co.

The

duce indebtedness by about
$300,000, with the balance
"to be added to working capital of the
company and its
subsidiaries.
Office—210 East Main. Street,
Rockville,
Conn. Underwriters—To be
supplied by amendment.

mon

and

Under¬

Equipment

Rentals,

Offi<^^Mountain Brook, Ala. Underwriter—Nope.

v

.

.

be of¬
and its

J

r

Volume 190

Number 5886 <*3vThe Commercial and Financial
Chronicle

"

(1409)
subsidiaries

Option

pursuant

Plan.

to

Zale's

Key Employee Stock
South,Akard Street, Dallas,

Office?—512

Texas.

r".

*

Dallas Power &

Aug. 3 it

\

the

American Gypsum Co.
reported that the company will

was

register

new courses and resident study schools.
In correspondence .school business. Office—
Kalamazoo St.; Lansing, Mich. Underwriter — In

in

named

dinated

October.

early

V

■

Offering-

33333333333 3'
American Telephone & Telegraph Co. (11/17)
Aug. 19 the directors j authorized a new issue of $250,000,000 of debentures. Proceeds—To be used for the im¬
v:

r

.

provement'and •expansion-of Bell Telephone services.
Underwriters—To be determined by competitive bidding.
:

IProbable

■

bidders:

The-First

,

plates an offering of $4,500,000 of common stock.
Pro¬
ceeds—For expansion program and additional working

.

capital. Business—The company is engaged in the manu¬
facture of aircraft and missile parts, aluminum containers
and beer barrels, aluminum curtain wall sections for the
building industry and other proprietary products. Un¬
derwriter—S. D. Fuller & Co., New York.
Registration

Proceeds

—

(par

each* four

$10)

shares

on

the

held.

to

for

Price—$40

increase capital and
\.

States

^

Buckingham) Transportation, Inc.
July 17 the company sought ICC approval for the is¬
suance of 250,000 shares of class A common stock
(par

Underwriter—Cruttenden, Podesta & Co., Chicago,
Price—$10 per share. * New Name—The company's
name will be changed to Buckingham Freight Lines.

Utilities Co.

(11/24)

sale

be received up

to

11

a.m.

(EST)

Nov. 24.

on

new

bonds.

Last

:"3

.

bond issues

3

•

'

-

Intercontinental Motels, Ltd.
23 it
was
reported that early
planned of 133,000 shares of common

Mich.

houses, establish commissaries and for general corporate
purposes. Office -— 1500 Clifton Ave., Lansing, Mich.
Underwriter—In New York to be named in early Octo¬

Kansas

ber. Offering—Planned for mid-October.

Dec. 29 it

(12/1)

July 30 .it was reported that the company plans the is¬
and sale of $50,000,000 first and refunding mort¬

registration
stock

For construction expenditures.
Stuart

&

Co.

Stanley & Co.; The First Boston Corp.
to be received on Dec. 1.

Inc.; "Morgan

*.

Bids—Expected

shares of

a

se

ondary issue common stock will be reg¬
Underwriter—Merrill Lynch, Pierce,

istered in the Fail.

.-Fenner & oSmith

-Inc., New York.




Co.

(jointly).

Bids—Expected later in the

Lindberg Steel Treating Co.
reported that the company plans a regu¬
lation "A" filing of about 80,000 shares of class A com¬

(10/8)
stockholders will
split of its
stock {par $20),

stock

common,

on the
150,000 shares of new com¬
(par $10) outstanding, if
approved, would be
payable on or about Nov. 2. An
offering of 45,000 shares
of additional common stock
(par $10) would be issued

stock

Walker &

St.

Louis, Mo.

Oct.
the
-

was

stock. Proceeds—To selling stockholders.
Under¬
writer—Cruttenden, Podesta & Co., Chicago, 111. Offer¬
ing—Expected in the early part oi November.

Louisiana Gas Service Co.
14

it

1

it

''v>

was

convertible

Hess,,

33

T

Co..

:

Inc.33;333-. 3

/ ',,3;

•

reported that the company is
considering

issuance

and

sale

of

subordinated

approximately
debentures

to

$5,000,000

be

offered

subscription by present stockholders on the
$100 principal amount of debentures
for each
held.

Stockholders on Sept. 29 approved
.increase the present 3,000,000 shares of

a

ot
for

basis

of

50 shares

proposal

common

to

stock

authorized to 4,000,000 shares.
Proceeds—For gen¬
eral corporate
purposes. Underwriter
Stern Brothers
.& Co., Kansas
City, Mo.
•
—

-

National Mail Order
Co., Lansing, Mich.
Aug. 26 it was announced
company plans to register in
a few
days an issue of about $500,000 of common
stock.
Price
To be supplied
by amendment. Proceeds
For
expansion and working capital.
Office:—130 Shepard St.,
Lansing, Mich. Underwriter—To be named later in
New
State.
York

(12/8)

•

reported that this 'wholly-owned sub¬
sidiary of Louisiana Power & Light* Cc. is contemplating
the issuance and sale of $6,000,000 of first mortgage bonds
.having a maturity of no lcnger than k 5 years and perhaps as short as 16 years.
Underwriter—To be deter¬

""3"3"

New

England

Aug. 19 it

-"• -;•

';

•

Telephone & Telegraph Co.

v
reported that the company will issue
and

was

sell

$10,000,000 of preferred stock. Proceeds—For
cap¬
ital
expenditures, Underwriter
To be determined
by
competitive bidding. Probable bidders: Lehman
Brothers;
Merrill Lynch, Pierce, Fenner & Smith
Inc. and Eastman,
Dillon, Union Securities & Co.
(jointly); Equitable Secu¬
rities
Corp., Kidder, Peabody & Co., Lee Higginson
Corp. and White, Weld & Co.
(jointly); Blyth & Co.,
Inc. Bids—Expected to be
received sometime in Decem¬
—

ber.

r.

New

17

issue

and

stock

...

England

Sept.

it

was

.3

Power Co.

100,000

,-3-.3

that

announced

sell

'

.

.

.

/

(12/9)

shares

this

company plans to
cumulative preferred

of

(par

$100). Underwriter—To be determined by
competitive bidding. Probable bidders: Lehman Broth¬
ers; Equitable Securities Corp.;
Kidder, Peabody & Co.;
Lee Higginson
Corp., and White, Weld & Co. (jointly);
Merrill Lynch,
Pierce, Fenner & Smith Inc., and East¬
man
Dillon, Union Securities & Co. (jointly). Bids—
Expected to be received on Dec. 9.
New-Era

Sept. 1 it

Corporation, Rochester, Michi
reported that this company contemplates

was

the early registration of

approximately 200,000 shares of
Business—Manufacturer of mufflers and
Underwriter—Mortimer B. Burnside & Co.,
stock.

common

gears.

Inc.,

York.

Northern
June

9

it

Illinois

Gas

Co.

announced

was

that the company before the
expects either to sell $10,000,000 to $15,000,000 of straight, non-convertible preferred stock simi¬
lar to the 1958 offering, or to borrow from
banks to tide
the company over the
year-end, as it has done in the last
end of the year,

two years.

Proceeds—For construction program. Under¬
First Boston Corp. and
Glore, Forgan &

writers—The

Co., both of New York.
fa Pacific Far East Line, Inc.
Sept. 28 it

announced

was

(10/6)

that this company plans

the
proposed sale of $12,000,000 of U. S. Government-insured
merchant marine bonds, due Dec. 1, 1981. The bonds are
be

Act.

insured

They

under

will

be

Title

XI

issued

of

in

the

two

Merchant

identical

Marine

series

of

$6,000,000 each, which are to be secured by two ships
—the Philippine Bear and the China Bear.
Underwriters
—The First Boston Corp. of New
York, and A. G. Becker
& Co. Inc. of New York and
Chicago.
•

Piedmont Natural Gas Co., Inc.
Sept. 25 it was announced that this company contem¬
plates the issuance of about $3,500,000 of convertible

preferred stock later this Fall. The terms and exact
timing of the offering have not as yet been set. Proceeds
—To finance construction
program.

Weld

&

Sept.

Underwriter—White,

Co., New York.

Reserve

14 it

Insurance Co.,
was

Chicago, III.

reported that the company plans

registration of 110,837 shares of
which will be sold for the

early
stock, part of
and

the company

of certain selling stockholders.
capital and surplus. Underwriter
—A. G. Becker & Co. Inc., Chicago, 111. part

for

the

common

account of

account

Proceeds—To increase

Ryder System lnc.<
Aug. 3 it was reported that the company plans issuance
this Fall of an additional 75,000 shares of present com¬
mon

mon

.

approximately .1,000,000

&

Sept. 21 it

Sept.

that

Power & Light Co.

year.

19, James Comerford, President, announced that
plans later in year to issue and sell $20,000,000
of debenture bonds, if market conditions are favorable.
Proceeds—For investments, improvements, etc.
Under¬
writer—To be determined by competitive bidding. Prob¬
able bidders;: Halsey, Stuart &.Co. Inc.; Morgan Stanley
& Co. and The First Boston Corp. (jointly); White, Weld
& Co. and Paine,. Webber, Jackson & Curtis (jointly).

May

company

-

City

was

Inc. (jointly); Equitable Securities Corp.; White.
Weld & Co. and Shields & Co. (jointly); Kuhn, Loeb &
Co., Salomon Bros. & Hutzler and Eastman, Dillon, Union
Securities & Co. (jointly); Lehman Brothers and Bear.
Stearns

Consolidated Natural Gas Co.

Cyprus Mines Corp.
July 15 it was reported

10

Co.,

-

-

-(par

is

For construction program.
Underwriter—To be deter¬
mined by competitive bidding. Probable bidders: Halsey
Stuart & Co. Inc.; The First Boston Corp. and Blyth &

Underwriter—To be determined by competitive bidding.

Halsey,

placed

reported that the company plans to issue
and sell $20,000,000 of first mortgage bonds. Proceeds—

suance

bidders:

were
"•

Price—$3 per share. Proceeds—To be added to
working capital in order to enable company to exercise
options on motels and/or parcels of land. Office—Mar¬
tinsville, Va. Underwriter — G. Everett. Parks & Co.,
Inc., 52 Broadway, New York City. Offering—Expected
prior to Dec. 10. Registration—Set for Oct. *9.

Aug. 31 .it was announced company plans to issue and
shares of common stock (par 10 cents). Price
$3 per share. Proceeds — To build chain of coffee

Probable

2-for-l

3V2% stick dividend

New

cents).

sell 100,000

—

75,000; outstanding shares of.
a

to

Sept.

'

Consolidated Edison Co. of New York Inc.

a

—

•

111.

Proceeds

...33 i-.:

(10/27)

that the company plans to file

•

$1).

bonds.

per

Un-

Independent Radio, Inc., Lansing, Mich.
-Aug. 31 it was announced company plans to issue and
sell 100,000 shares of common stock
(par 10 cents). Price
—$3 per share.
Proceeds—For acquisition of radio sta¬
tions.
Business—Radio broadcasting. Office—130 Shepard St., Lansing, Mich.
Underwriter—In New York to
be named in early October.
Offering—Planned for midOctober.-..'
is-:/ ■:
3*
33, "l

•

gage

one

was

and

$4,500,000 of
privately.

year.

Inc., Lansing,

approve

—

Light Co.

was reported

surplus.

/'

.

of

Hawaiian Telephone Co.
Aug. 3 it was reported company received approval from
the Territorial Public Utilities Commission to issue about

_

Offering—Expected before the end of the

House,

basis

Dillon, Union Securities & Co. (jointly); Lehman Bro¬
thers; Stone & Webster Securities Corp. Bids—Expected

.

Coffee

to

now

Lynch, Pierce, Fenner & Smith Inc. and White,/Weld &"
Co.
(jointly); Salomon Bros. & Hutzler and Eastman

Brooklyn Union Gas Co.
Aug. 19 it was reported that the company is contem¬
plating some additional equity financing, the form it will
take will be decided on shortly. Proceeds—For construc¬
tion program.

6

/• National -Bellas

3;

reported that the company plans the is¬
of $16,000,000 of first
mortgage bonds.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co.
Inc.; Merrill
suance

To

expansion and
expenditures. Underwriter.—Previous financing was ar¬
ranged through Smith, Ramsey & Co., Inc., Bridgeport,
Conn.
" " -'
V-..
treasury

v'3:. 33;- 3333-3
Fla._
3.r

Georgia-Pacific Corp.
Aug. 19 it was reported that the company plans to reg¬
ister about $15,000,000 of convertible debentures or
pre¬
ferred
stock, conversion of which would add about
600,000 shares to the number of common shares cur¬
rently outstanding. Proceeds—To assist in the financing
of the recently acquired Booth-Kelly Lumber Co. Office
—Olympia, Wash. Underwriter—Financing'in past has
been handled by Blyth &
Co., Inc. \\ 1
Gulf

Bridgeport Gas Co.
.'•••Sept. 9 it was announced that stockholders will be asked
on
Oct. 27 to approve the issuance of about $1,100,000
in new common stock tD stockholders in the ratio of one
shares held.

for

Proceeds—To

Aug. 20 it

—Expected* sometime in October.

seven

about Dec. 8.

or

Oct.

on

mon

be :

Peabody & Co. (jointly); Blyth & Co., Inc. and Lehman
Brothers (jointly); White, Weld & Co., and The First
Boston Corp. Bids—Expected to be received
up to 11:30
a.m.
(EST), Oct. 2,7.
3/33

Manufacturing Co., Kansas City, Mo. >
10 it was announced that the company contem¬

company's

To

bidding/ Probable bidders: Halsey, Stuart & Co. Inc.;
Merrill Lynch, Pierce, Fenner & Smith Inc. and
Kidder,

.

Benson

each

—

with the SEG $20,000,000 ©f first
mortgage bonds. Pro¬
ceeds—To help finance the company's construction pro¬
gram. Underwriter—To be determined
by competitive

competitive bidding. Probable bidders: Halsey, Stuart &
Co. Inc.; The First Boston Corp.; Morgan Stanley & Co.;
White, Weld & Co. and. Eastman Dillon, Union Securi¬
ties & Co. (jointly).
:

the

share

stock

Florida Power &

—

for

capital

Aug. 17 it

finance construction. Underwriter—To be determined by

share

of

derwriter-r-Nope.r

of

reimburse

-

share.

was announced that the company plans the
$30,000,000 of- debentures dated Dec. 1, 1959.
Proceeds
To replace-short-term borrowings used to

new

Underwriter

14 it Was announced stockholders have approved
proposed offering to stockholders of 150,000 additional

new

Sept. 25 it

June

debentures.

-3:' *3333 v3' 33333', •
First National Bank off
Miami,

shares

fa .Bell Telephone Co. of Pennsylvania
sale

convertible

Sept.

-

...

vote

(jointly); Blyth & Co.* Inc.; Drexel & Co. and Equitable
Securities Corp. (jointly)*
Offering—Expected later this

a

Electric Co.
Aug. 3 it was reported that the directors are contemplat¬
ing the issuance, and sale of a small amount of common
stock> after a three-for-two stock split/. Last equity of¬
ferings were underwritten by Eastman Dillon, Union Securities & Co.* and- Smith, Barney & Co., both of New
York.
Offering—-Expected during the latter part oi
this year.3
,'3
V'
.-.
■■;
'-3
..

on

Manchester Bank of St. Louis
(Mo.)
Aug. 19 it was reported that the bank's

Se-~~

by competitive, bidding. Probable bidders:
Halsey, Stuart & Co.,Inc.; Kuhn, Loeb & Co.; Eastman
Dillon^ Union Securities & Co.; A. C. Allyn & Co., Inc.
and
Ladenburgj-Thalmann & Co. (jointly); White, Weld
& Co.; The First Boston
Corp. and Glore, Forgan & Co.

•

Corp. and Halsey,
Stuart & Co. Inc. (jointly); Morgan Stanley & Co. and
Kidder, Peabody & Co. (jointly). Bids—Expected to be
received on Nov. 17.
;
:
1
-

.....

ceived

determined

'year.

Boston

Atlantic City

(jointly); Salomon Bros. & Hutzler,
Dillon, Union Securities & Co. and Equitable
Securities Corp.
(jointly); The First Boston Corp. and
Glore, Forgan & Co. (jointly).
Bids—Expected to be re¬

Eastman

Offering—Expected sometime this Fall.

—

be

Ripley & Co. Inc.

Duquesne Light Co.3
33;3 * ,y'3 •
'.V? .333 to stockholders of record on or about Oct. 8, 1959; rights
Aug. 3 it was reported that the company is contemplat¬
;to expire on or about Oct. 22.
Proceeds—To increase
ing the issuance of an undetermined amount of subor¬
capital^and surplus. Underwriter—G. IU

introduction of

to

& Smith

ner

Co.;
Inc.; The First Boston

Corp,

Co., Inc.,
(jointly); Merrill Lynch, Pierce, FeiiInc., Kidder, Peabody & Co. and Harriman

and Shields & Co.

se¬

Co.; Blair & Co.,: Inc. and Baxter &

(jointly); Salomon Bros. & Hutzler; Equitable
curities Corp.; Eastman
Dillon, Union Securities &
Lehman Brothers; Blair & Co.

Price—$3 per share. Proceeds—For expansion of present;
Michigan and Ohio sales force to a national one, and

York

$20,000,000 of senior

Inc.

American Jet School, Inc.,
Lansing, Mich.
Aug. 31 it was announced that the corporation plans to
issue and sell 100,000 shares of common stock
(par $1).

Planned for mid-October.

by competitive bidding. Probable bidders:
Halsey,
Stuart & Co. Inc.; White, Weld &
Co., Blyth &

contemplates

company

(jointly); Lehman Brothers.
(2) For debentures:
Halsey, Stuart & Co, Inc.; Kidder, Peabody & Co.; Blyth
& Co., Inc. and Merrill
Lynch, Pierce, Fenner & Smith

New Mexico, and for working capital. Office—Al.1. buquerque, N, M.
Underwriters—Jack M. Bass & Co.,
Nashville, Tenn., and Quinn & Co., Albuquerque, N. M.

New

mined

the

Co.

que,

1609

that

issuance and sale of about

Union Securities &

debt, and equity securities later this
year. Proceeds—For
construction of a gypsum products
plant in Albuquer¬

Business

Light Co. \

reported

curities, but type or types has not as yet been deter¬
mined.
Underwriter—To be determined by competitive
Ibidding. Probable bidders: (1) For bonds: Halsey, Stu¬
art & Co. lncr; The First Boston
Corp.; Salomon Bros.
& Hutzler;
Kidder, Peabody & Co. and Merrill Lynch,
Pierce, Fenner & Smith Inc. (jointly); Eastman
Dillon,

ective
July 15 it

was

61

stock

stocku(par $5), or 150,000 shares of new common
(par $2.50). The ICC has approved the proposed
Underwriter—Blyth & Co., Inc.,

two-for-one stock split.
New

York.

Sams

was

Sept.

21

common

the

(Howard W.)
it

& Co..

reported that this company plans a
offering, part of which will be sold for

was

stock

company's account and part of which will be sold

*

-

:

Continued on page 63

"KM

jr.

The Commercial and Financial Chronicle

62

.

.

.

(1410)

latest week
week

Business Activity

Week

Ago

Equivalent to—
ingots and castings

.

n

to stills—daily

runs

Gasoline

(bbls.)—

output

(bbls.)

at—
Distillate fuel oil (bbls.) at!—
Residual fuel oil (bbls.) at—

—.—,

CONSTRUCTION

ENGINEERING

,«

—

construction

and municipal

State

Electric

INDUSTRIAL)
.1-

(COMMERCIAL AND
BRADSTREET, INC
—

FAILURES

IRON

:

ton)

Pig iron (per gross

(per gross ton)

steel

PRICES (E. & M. J.
Electrolytic copper—
Domestic refinery at

METAL

Lead

183,900,000

125,900,000

152,800,000

at
—

102,100,000
23,800,000

131,200,000

30,596,000

329,000

:

158

-

132

*133

12,878,000

-

b

282

264

■

:

.

-

.

:•

'

'

•

'

.

•

-

*

••

AVERAGES:

30.950C

27.475c
13.000c

12.000c

25.775c

"V

12.800c

11.800c
11.500c

10.500c

11.000c

11.000c

of

Unfilled prders

24.700c

24.700c

24.700c

INDEX.

102.625c

103.000c

80.92

82.10

.

85.33

85.72

87.45

83.40

83.53

84.94

89.64

79.13

79.49

80.81

82.90

83.15

84.43

,

83.40

84.81

90.09

85.98

95.98

87.59

sales

4.37

4.45

4.29

4.85

4.74

4.57

4.54

4.45

4.76

4.73

4.60

4.91

4.90

4.79

5.23

5.12

,

Index

.

4!83

4.93

4.95

'

4.91

4.80

sales

Sept. 20

—

SECURITIES

dealers

by

4.59

Odd-lot purchases

of

Government

Round-lot

Other

interest

320,743

311,174

Transfer

98

76

95

95

567,295

511,267

446,577

Less

--==,

108.99-4

-

—4-

109.23

-

109.35

108.69

1,797,350

1,679,460

240,090

-238,200

Sept.

4

278,270

293,390

340,910

1,402,740

1,745,160

1,201,980

1,681,010

2,086,070

1,495,370

292,770

237,040

246,810

398,530

Total

11,200

10,300

10,900

43,100

Total

202,000

251,980

249,400

212,300

262,880

389,500

528,890

531,104

629,596

92,530

4
4

785,275

643,880

637,783

575,570

877,805

722,750

734,193

659,430

-

96,410

2,619,010

2,447,604

3,054,696

367,440

448,220

Net

2,634,923

3,083,143

round-lot

4

$77,055,016

$65,946,288

$91,910,446

$46,827,523

Sept.
Sept.
Sept.
Sept.

1,169,135

4
4
4

4,

-

1,118,526

1,450,162

8,818

7,234

1,442,928

$59,816,569

$56,122,308

$77,539,779

4

320,430

304,290

371,820

320,430

304,290

371.820

Processed

4

499,150

563,640

as

"Revised
of Jan.

i,

1959,

as

9,022,197

6,367,899

16,134,426

15,500,667

(Number of)—

Tires

___'.

1,255,497

1,351,916

1,289,904
1,366,424

1,297,797

"919,921

-3,023,225

___■

r.

2,953,973

3,114,255

353,746

-274,947

326,178

.

.

467,110

448,020

512,530

and

Bus

Inner

.

275,981
652,631

,.»

.

3,465,795
2,889,695

6,999,506

7.680,282

42,100,000

43,428,000

39,149,000

(Camelback)—

Rubber

RYS.

(pounds)

46,748,000

U.

OF

CLASS

S.

38,564.000

27,163,000

30,372,000

$89,377,686

|

ITEMS

45,434,000

31,478,000

(.pounds)

(pounds).

INCOME

I

Commisshm)—

(Interstate Commerce

Month of June:
railway

Other

operating

$67,310 189

24,179,466

22,635, 750

112,322,216

111,645,058

89,945 939

4,259,840

4,101,781

108,062,376

107,543,277

4,850, 386
85,095 553

76,828,699

:

$87,465,592

22,944,530

income.

income

12,936.440

11,766,890

10,894,480

13,448,970

12,32i;060

1.1.949,320

.

income

Total

554.170

10A4£,460

4

119.6

119.3

118.9

Sefct. 22

89.1

*88.9

87.1

92.3

Sept. 22

107.4

*107.8

107.0

111.4

Sept. 22

99.8

*100.8

97.5

110.0

-w

Sept. 22

128.3

128.3

128.3

126.0

runs.

§Based

on

annual

capacity of 147,833,670 tons
against Jan. 1, 1958 basis of 140.742.570 tons.' t Number of orders not reported since introduction of
tPrime Western Zinc soid on delivered basis at centers where freight from East St. Louis exceeds

Miscellaneous
Income

available

Income, after

-

Net

new

for

,__

income

from

fixed

charges___:_—__

76,049.263

Federal

(way & structure & equipment)
taxes.
[

income

Dividend

stock

common

On

preferred stock
of

RECT

OF

U.

49,543 999

51,048,225

50,916,262

50,259 921

36,782,886

33,685,030

18,712 410

30,616,340

22,416,144

4,670,310

839,967

3.41

2.68

$18,255,150

$32,194,900

$19,170,900

appropriations:

On

Ratio

53,301 959
...3,757 960

3.46

income

4,344,239

84*125

:

1,

deductions

71,705,024

20,901,589

charges

4,238,105
72,590,594

fixed

income

to

MARKET
AND

S.

t

fixed

pn^-hal# cent a pjund^

purchases

charges.,.,

TRANSACTION* IN

GUARANTEED

A.—Month

sales

Net

'

:

-

deductions

Net

n,

,

344,794

679,204

409,154

789,035

_

119.6

(Tlncludes 979,000 barrels of foreign crude

;

3,683,192

Depreciation

L.

8,317,705

8,885,554

9,241,937

—,—

Monthly Investment Plan,




July:

9.856,774

Inventory
-

Sept. 22

-

32,000,000

16,853,356

Pi-oduction

.

i_

figure.

73,000,000

3,371,509

TREASURY
^

51,820,658

32,000,000

7,559,521

Other

and foods

89,377,68-7

(Numbfer of)—

an'ft Bus

SELECTED

.

Sept.

.ji

other than farm

of

—

Shipments

-

1

—

commodities

48,891,531

$779,609,680

3,947,767

Net

__

All

—74,686,443

4,344,655

Tread

325,190

Sept.

foods

627,385,000

108,138,199

Inventory

336; 310

600,300

-

H

products

674,200,623

Production

4

Commodity Group—
Farm

expenses.:

Shipments

.336,310

4

V. S. DEPT. OF

commodities

:

Motorcycle, Truck
Tubes (Number of)—

1,033,131
$45,813,508

Sept.
Sept.

P

All

revenues

Passenger

5,334

1,109,708

.11,482,210

—

$899,832,007

RRs.)—Month

_

Inventory *

1,038,465

13,620

1,155,515

Sept.

T,

WHOLESALE PRICES, NEW SERIES
LABOR—(1947-49=100):

■

Production

(SHARES):

sales

90

(AS¬

•

.

Short

AMERICAN

OF

Inventories

1,024,107

•

100

658,498,911

CLASS'-fROADS

Shipments
1,674,471

sales—

99

;

30,646,000

$821,605,157

cent)____^

Shipments

SALES ON THE N. Y. STOCK
STOCK TRANSACTIONS

FOR ACCOUNT OF MEMBERS

29,833,000
32,281,000

*33,605,000

Trqctor Implement Tires (Number of)—

*1,588.581

purchases by dealers—Number of shares

33,455,000
36,082,000

30,417,000

railway operating income before charges
income after charges (estimated)

Truck

.

1,490,405

___

34,182,000
37,046,000

(barrels

Production

4

—

7.1

344.5

,

Inventory

STOCK

—

8.4
*368.3

366.4

Production

ODD-

—_—

in¬

(barrels)_____

month

operating
operating

Passenger Tires

2,544,300

—

27.2

MINES) —

OF

•

(per

INC.—Month

2,123,950

2,616,060

;—— Sept.

—;

*26.3

11.9

RUBBER MANUFACTURING ASSOCIATION

420,350

2,248,620

COMMISSION
purchases)—t

—

12.6
20.5

8.4

EARNINGS

SOCIATION

2,425,210

343,820

—«—<•

12.0

22.4

26.6

(BUREAU

Shipments

2,849,115

—

14.2

*13.2

_!"_
for social

income.:

mills

of

used

RAILROAD

83,860

2,505,295

—

,

13.4

346,400

4

Y.

9.3

32.6

*11.9

517,270

78,870

-

4

N.

10.1
*34.9

x

,

22.6

(barrels)
from
end

at

Capacity

1,481,820

1,721,910

4

—

44.1

76.7

85;788,103

Stocks

1,509,410

2,178,290

45.9

_____;

,

July:

35.0

12.0

income-

CEMENT
of

64.3

37.3

34.9

persons

nonagricultural

PORTLAND

4

Sept.
Sept.
—Sept.

——

ON

i

97.9

*68.4

11.2

contribution

employees'

241.3

*86.9

10.1

•

^

surance

EXCHANGE

—.

of

$362.4

*261.5

*109.9

46.1

payments

income

*$384.0

68.5

1

professional_i__

and

Personal

EXCHANGE AND ROUND-LOT

Total

$381.4

83.9

,

Rental

Net

.__

STOCK

64.3

106.7

income

labor

Business

260,256

546,998

_

4
4
4

by dealers (customers' sales
total sales

TOTAL ROUND-LOT

64.2

258.9

:

___;

299,462

4

shares—Total sales

sales

136

37.6

390.5

Sept.

sales

Other

136

144

of

industries

Service

383.8

327,749

Sept.
Sept.
——

middle

at

August (in billions):
T
personal income-Wage and salary receipts, total—
Commodity producing industries
Manufacturing only
Distributing
industries

sales by dealers-*-

Short

153

of August:

COMMERCE)—Month

OF

264,056

.

Sept.

.

value

Number

$981,000

COMMISSION—

Employment

250,491

314.041

4

Customers' other sales
Round-lot

$759,000

RESERVE

____^

378.0

379.0

Sept:

Customers' short sales—

Dollar

omitted)__^______

FEDERAL

Farm

4
4
4

of orders—Customers'

Number

$795,000

YORK—

(1947-49=100)

Month

_.

__—

12,234

147

NEW

OF

Total

4.26

——— Sept.
——————Sept.
Sept.

(customers'

Railway

Production

—

—

—

SPECIALISTS

of

Shipments

—

of shares
Dollar value

16,562

14,329.

1_

___-

(000's

THE

of July:

STOCK TRANSACTIONS FOR ODD-LOT ACCOUNT OF
EXCHANGE

$50,765,000

OUTSTANDING—FED¬

BANK

(DEPARTMENT

4.48

4.71

Sept.
—Sept.
Sept.

—1—

Number

$51,187,000

IN THE

BRADSTREET,

August

31

OF

August

4.54

4.97
4.71

Sept. 4

—

—

August

(NEW)

&

PERSONAL INCOME IN THE UNITED* STATES

MEM¬

OF

—

—

of

PAPER

INTERSTATE COMMERCE

the floor—

on

sales

Odd-lot

3,126,000

92.64

».•

Total
.

—

—

AND

3,147,000

62.4

STATES—DUN

SYSTEM—1.947-4»=1<H)—Month

transactions for account of members—

DEALERS

8,687,000

'3,160,000

b

,aa__

Seasonally adjusted
Unadjusted

floor—

___.

Total purchases
Short sales

LOT

11,328,000

u___.

liabilities

RESERVE

of

As

4.92

Sept.

*

initiated off the

-

14,347,000

12,061,000

149

service

8,863,000

17,052,000

$54,501,000

liabilities

liabilities

ERAL

4.44

5.26

•

Other sales

$15,742,000

5,078,000

15,362,000

^_______

Dividends

ACCOUNT

sales

Total

$14,592,000

5,359,000
1

INC.—Month

4.23

v___.2.___————

round-lot

$18,559,000

liabilities

of

Sept. 19
Sept. 19
Sept. 19
Sept. 19

sales

Other

Total

106

1,127

liabilities

COMMERCIAL

4.12

_______

Total purchases.,—
Short sales

Total

100

1,071

I.

liabilities

UNITED

4.43

PRICE INDEX—

FOR

transactions initiated

Other

122

1,135

servic^ number_^__^___________

number

Total

_

3.59

4.88

sales

Total

'

■

,

___^

BUSINESS INCORPORATIONS

92.20

90

Sept. 29

—

sales

j

number

Construction

88.27

82.65

•

_—

Other

158

Total

83.28

Total purohases
Short

137

18.19

sept. 29

—

sales

549

181

BRADSTREET,

number

Commercial

94.26

—

TRANSACTIONS

transactions

108

518

&

of August:

number
number _'i___a

Construction

89.78

89.51

—

—

purchases

Total

206

113

:

FAILURES—DUN

93.375c

Sept. 29

sales

Other

203

542

ASSOCIATION:
.

sales

187

City_

INDUSTRIAL PRODUCTION—BOARD OF GOV¬

BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS
of specialists in stocks in which registered—

Other

$724,235,669

103

24.700c

102.375c

85.59

activity
(tons) at end of period

Short

$698,250,952

35,202,075"
160,215,945

Wholesale

Transactions
Total

States_________

INC.—Month

"

84.17

•

•

OIL, PAINT AND DRUG REPORTER
1949 AVERAGE = 100——
ROUND-LOT

$756,688,014

37,250,830
'

104,770.856

10.000c

88.27-:

-

-

—

(tons)

Percentage

33,508,094

619,464,8 13

10.800c

11.500c

11.500c

Sept. 29

(tons)

52,384,764
148,271,580

85,266,220

11.000c

12.800c

Sept. 29

Production

118,323,349

612,984,732

Retail

12.000c

Sept. 29

——

COMMODITY

Orders received

94,254,005

56,570,641

United

Wholesale

83.79

Group

NATIONAL PAPERBOARD

123,215,009

111,323,848
42,417,641

$66.49

87.86

Railroad Group

MOODY'S

64,178,226

130,838,273

134,670,689

•

.26.100c'

28.625c

13.000c

'

_

Group

160,066,771

64,230;417

141,691,559

Commercial

29.600c

27.375c

Sept. 29

—I—HI—III!ZI-———~
Utilities

$25,783 464

140,681,398

63,267,192

622,017,325

268

Sept. 29

Group

Industrials

$34,082,421

186,990,414

-a—--——____j____

__a_a

120,814,474

BUSINESS

$43,17

$40.17
j
»#." «»-

»

30.975c

Sept. 29
—Sept. 29

—

Government Bonds

Public

/
A.

Central

6.196c

6.196c
$66.41

$41.50

$42.50

Sept. ^

,

—

Average corporate

A

&

Central

Total

136

sept. 29

Group

-

DUN

—

CITIES—Month
$33,612,245

Manufacturers'
6.196c

$66.41

Sept. 29
Sept. 29

-

253,939,000

957,097,000 1,363,895,000

'*v

New York City
Outside New York

12,342,000

257

•

$66.41

6.196c

Sent. 29

MOODY'S BOND YIELD DAILY

Aaa
Aaa

VALUATION

Pacific

491,000

x y

14,109,000

12,779,000

bept. 29

_

U. S.

253,216,000

21,318,000

between

Central

Retail

81.61

t'

c

Railroad" Group"ZIZZII————
Industrials

251,498,000

384.855.000

Manufacturing

'

'

8,533,000

7,150,000
352,000

*6,400,000

379,000

—__btpt. 29

f
Utilities

131,175,000

Mountain

216,180,000

21,600,000

62,200,000

AVERAGES:

-

Public

84,940,000

n

shipped

and

.

Atlantic

ERNORS

—

Arq
Aaa

316,156,000

...I

246,776,000

121,700,000

°ept. it
sept. 22
Sept. 22

:

DAILY

PRICES

BOND

corporate

Average

13,700,000

56,331,000

a

INC.—215

*

Atlantic

West

"it

Government Bonds

U. S.

East

123,894,000

|®p:'

at
Aluminum (primary pig. 99.5%)
Straits tin (New York) at
MOODY'S

14,229,000

England

558,009

$370,670,000

»®P;£
4^

at

(East St. Louis)

Zinc

New

486,504

140,200,000

PERMIT

July:

449,424

$293,000,000

ept. 23
sept. 22

^

i

at--

Louis)

(St.

(delivered)

68,893,000

172,600,000

,

.

at

York)

(New

Lead

tZinc

12,610,000

QUOTATIONS):

at

refinery

Export

56,067,000

Of

South

Sept. 22
°ept. 22
bept. 2^

——

$255,652,000

$258,737,000
333,894,000

15,097,000

__

credits

____!

BRADSTREET,

667,760

-

(per lb.)———

BUILDING

30,011,000

$298,500,000

—Sept. 2b
DUN A
.
- Sept. 24

COMPOSITE PRICES:

AGE

Finished steel

Scrap

—

$287,075,000
^

goods stored
countries

on

foreign

.

542,561

Sept. 19

INSTITUTE:
output (in 000„kwh.)

August 31:

6,896,000

$410,700,000
226,800,000

ELECTRIC

EDISON

Ago

BANK

Total

7,780,000

100.

=

Based

2,001,000
12,310,000

6,241,000

exchange

South

i

AVERAGE

SYSTEM—1947-49

2,059,000

13,197,000

6,098,000

480,647

INDEX—FEDERAL RESERVE

DEPARTMENT STORE SALES

2,180,000

149,461,000

(tons)

coal and lignite

Bituminous

Pennsylvania anthracite (tons)

28,010,000

173,158,000

MINES):

S. BUREAU OF

(U.

29,316,000

181,422,000"
29,948,000

Sept. 24

COAL OUTPUT

warehouse

153,684,000

0

Federal

Domestic

496,059

t.

Public construction

7,604,000

11,938,000

Year

Month

946,021,000

8,214,000

Dollar

Previous

321,791,000

Middle

construction

Private

of

RESERVE

shipments

578,240

° !:h i.

—

of that dates;

are as

OUT-

:

Domestic

183,491,000
32,787,000

_

—

YORK—As

29,490,000

58,167,000

NEWS-RECORD:
U. S.

NEW

7,087,085

168,578,000
58,778,000.

—--—Sept. 19
(no. of cars)?—sept. is
ENGINEERING

freight loaded (number of cars)
Revenue freight received from connections
Revenue

Total

OF

6,817,125

180,782,000
32,486,000

Sept" 1

—

RAILROADS:

AMERICAN

OF

ASSOCIATION

CIVIL

1,901,000

332,000

.170,253,000

ib

|®P?- J"
"f

———

—

ACCEPTANCES

6,812,975
8,181,000

6,822,675
117,994,000
29,192,000
1,817,000
12,326,000
6,082,000

!
18
IB

Distillate fuel oil

Kerosene

DOLLAR

Imports

?

—

(bbls.)——
.
—a
Sept.
output (bbls.)_
ept.
Residual fuel oil output (bbls.)
—-—.-—Sept.
Stocks at refineries, bulk terminals, in transit, in pipe line
■
Finished and unfinished gasoline (bbls.) at—i—s-—Sept.
output

Kerosene

'

BANKERS'

Exports

(bbls.)-,

average

of quotations,

cases

Month

70.4

11.7

*362,000

§365,000

_

INSTITUTE:
Crude oil and condensate output—dally average (bbls.of42 gallons each)
—
—
~r-g®P'

Crude

in

or,

either for the

are

Latest

PETROLEUM

AMERICAN

that date,

STANDING—FEDERAL

J

uc

(net tons)——

Steel

oik

Ago

''12.8

§12.9

______uci. j ,,

Dates shown in first column

month available.

Year

•

capacity)—;

operations (per cent

Indicated Steel

or

month ended
Month

Week

INSTITUTE:

STEEL

AND

IRON

or

Previous

Latest
AMERICAN

and other figures for th^

The following statistical tabulations cover production

Indications of Current

Thursday, October 1, 1959

•

DI¬

SECURITIES

of August:

'

•__!

Number 5886

190

Volume

The Commercial and

;

.

.

Financial Chronicle

(1411)

(Continued
for

the

from

61 " "

page

account

of

•

certain

■

;

•

•

•

selling stockholders.

Transwestern

-

Aug.. 25 it

Under¬

issue

writer—Indianapolis Bond & Share Corp., Indianapolis,
Indiana.

:;r -;

Scott

Sept.

&

14 it

of

••;

,*• ■-

i

to

;

•

Sept.. 14 it

Aug. 28 it

^\'v

•

.

company have authorized an additional
150,000 shares
of
common : stock.
Proceeds—For
working
capital.

1, N. Y.

—

stock.

V,./-/Y

'y

...."

Y'aV-Y

29

it

twice

market

to

come

in

I960

with

the

sale

of

the

first

its

Pro-.,
permanent funds for the financing of
expansion program. Office—Houston, Texas.

1960

at

pany.

These bonds

5%%

the

option

*hon-callable

the

for at least

in

Report

yield

investment

•

a

little

days

this

high-grade
-

.

.

but

-

The

nouncement,
1)

market
much

;

expected

were

work

to

late

an-

today

raising

for

cash, hung

new

about

mystery

might

the two issues.

on

The

$4
the

over

was

that

what

Southern

flotation

California

was

Congress having refused
raise, or suspend the ceiling
on interest rates orrbohds of five
years or longer maturity, Secre¬
choice

Anderson,

but

ot

that institutional buyers
should
draw
such
a
line
of

had

into

go

the

needs.

'

only

politically-minded
to

was

Prospective

disposed
market

Dull

Week

borrowers

rush

to

into

are

not

money

judging from the con¬
light
new
issue
roster.

tinued

instead

of

tempt
would

it

of

prospects

at¬

that

but

within

given

a

say

the

just about

to

seem

base

be

observers

seeking

somewhere

a

-

the

in

new

current

price-yield area. While there is
no
overwhelming rush to buy—
it probably couldn't be." satisfied
anyway at anywhere near present
levels ;— the fact remains that,

bargain
hunters
nibbling steadily

of

The value which

place
was

On

some

investors

is

of
list

the

cus¬

for

very

little

.than

a

Monday

few

these

of

,

bonds

carrying such

Three

groups

to carry a 5%%
the

successful

the

bonds

bid

clause.

a

for

the

interest rate and

syndicate

Tuesday

debentures

Electronic

set

for

Thursday,
undertaking,

on

largest
of

Columbia

Com¬

'.

marketing.
the week's
$25 million

Gas

System
Inc.;
debentures will be up for bids.

yield

Just

a

week

Telephone
issue
same

of

ago

brought

$45 million

rating,

England

out

a

bond

carrying

but callable




at

their

own

is

conducting

from offices
New

York

Associates, Inc.
securities business

a

565

at

do not operate as em¬
ployment agencies. The principal

offices

executive

of

the

company

located at 820 North Plankin-

ton

Ave., Milwaukee 3, Wis.

It

is

Board

and

intention

present

of Directors

of

declare

to

quarterly cash dividends

pay

the

on

the

stock, subject

common

to

operations and financial needs of
the company. On Sept. 27,
1959,
the

Board

initial

an

of

Directors

quarterly

the
any

NOTICES
T.

SUPERCRETE LTD.

Fifth Avenue,

ST.

City.

BONIFACE, MAN.

notice
Notice

DIVIDEND

NOTICES

—

is

Directors
the

rate

Stock

of

of

of

declared

four

(4)

Common

the

the

The

30^

regular quarterly dividend of

CTp^r share

Stock* has

on

Common

the

declared

been

dividend at

paid
of

cents each

and

the
par

on

every

payable

of

the

4%

is

close

day of October,

of

business

1959,

Private Placement
Kayser

-»

Roth

Corp.

Dodge
Stone

through

is

2nd

day of

November, 1959.

F.

R.

DUNSMORE,

C.

PACIFIC

OTIS
ELEVATOR

FINANCE CORPORATION

DIVIDEND NOTICE

COMPANY
A

sinking fund series, pay.

43/4%

quarterly dividend of $.60
per share on the Common Stock
has been declared, payable Octc
ber 23, 1959, to stockholders of
record

at

dividend

!/i6 cents per share on the

preferred stock ($25 par value),

Common Dividend No. 212
A

on

quarterly

regular

of 29'

able November 2, 1959, to stock-

holdersof record Octoberl5,1959,
was

declared

Directors

on

by

the

Board

of

September 23,1959.

the close of business

October 2, 1959.

Checks will be mailed.
b. c.

H. R. Fardwell,
New

Secretary

reynolds.

Treasurer

*

York, September 23, 1959.

LEV I
PORATION

Pacific Gas and Electric

Company

OHIO

&

Webster

Securities
.

privately

with

institutional

$8,000,000

1, 1973, it

of

notes

.

cents

a

common

share

on

with

September 28, 1959. This is

Cor¬

the

poration, 49 Federal Street.

Hemphill, Noyes & Co., has placed

company's 149th

tive

«v-

in¬

consecu¬

quarterly dividend.

dared
the

was announced on

SPRINGFIELD,
S."

Smith

with

Joins Frank L. Walker

1387

(Special to The Financial Chronicle)

has

DiRoma,
Main

Mass.

become

Alexik

—

James

affiliated

&

Co.,

check

Street.

1959,

on

to

holders

MARIETTA, Ohio—William H.
has joined
the staff of

Frank
Bank

L.

Walker

&

Co., Peoples

record

close of business

Newton is

1

Street, New

15,

stock¬
the

at

tember 25, 1959.

WORCESTER,

*

Siegel Trading Co., Inc. is con¬
ducting a securities business from

City.

October
common

H. L. Robbins Adds

&

York

of

(Special to The Financial Chronicle)

Building.

offices at 6 Harrison

cash dividend for

year

(Special to'The Financial Chronicle)

Sept. 3Ck

a

third

quarter of the
of 65 cents per share
upon the Company's com¬
mon
capital stock. This
dividend will be paid by

Joins DiRoma, Alexik

due

now

Mass. —Alex F.

with H. L. Robbins

Co., Inc., 37 Mechanic Street.

125 Fifth

business

from

Our

se¬

at

Avenue, New Yortk City.

Sep¬

AT

CLEVITE:

L

Vice President and Treasurerd
San Francisco. Calif.

precision products

U. S. car,
a

offices

on

K. C. CHRISTENSEN,
NEWS

are

included in eyery make of

Irving Ross Opens
Irving Ross is conducting
curities

A.,

Secretary-Treasurer.

1959.

is paying a dividend of 30

A.

the

the

of

Dexter

connected

now

Shares
on

shares
issued shall carry a date not later thau
and

•••••••«

COR

—

allotted

holders of Common

the

at

dividend

stock

to the

record

12th
so

said

rata

pro

M. E. GRIFFIN,
Secretary-T reasurer

1959.

Mass.

one

declared

dividend

10 cents per share, payable Dec. 5,
1959 to holders of record Nov. 20.

BOSTON,

non¬

Capital
value of

(100) outstanding Common Shares
Company.

October 15, 1959, to stockholders of
record October 5,

stock

hundred

of

The

a

fully

Shares

Company of the

twenty-five (25tf)

Woo dalL; Industries

dividend

hereby given that the Board of

has

assessable

per¬

(Special to The Financial Chronicle)

Forms Siegel Trading

New

planned to offer 206,000 shares of common stock,
which, 100,000 shares will be for the company's ac¬
count and the remaining 106,000 shares for the account
of certain selling stockholders.
Proceeds—For working
capital. Underwriter—Blyth & Co., Inc., New York. Of¬
fering—Expected sometime in October.

CLEVELAND,

of

5.25% to the buyer.
...

is

of

With Stone JSc Webster

repriced

a

was

efforts

Storms

issue

return

to

it

best

services

future business conditions and the

Southern

California
Gas
Co.
brought'out $30 million of 25-year-

of

use

their

sonnel and

the

likelihood

clause

demonstrated this week when

furnish

through

small-sized

munications Inc. has $5 million of

June

Clause

non-callable

the

on

seasoned

there

the

on

more

vestors

Non-Callable
%;

reducing

and

floating supply
high-grade issues.

be

to

appear

the

reported that the company plans to use
to register 5,000,000 shares of common
stock with the SEC. Price—$1 per share.
Office—314
First National Bank Bldg., Colorado
Springs, Colo.
Yellow Transit Freight Lines, Inc.
Sept. 1 it was announced that subject to ICC approval,
its

agencies and many other types of
business and professional organi¬
zations.
The
company
and
its

seen.

materialize.

And,

market does,

have

list

long

with

will

short span of time.
But

but

debt,

once

company and its licensees
constitute the largest temporary

are

refinance

only

we

as

more

did

to

its

to

not

twice

least

out

sparse

tomary

Treasury,

allowed

forced

be

portions
at

being

the

stretch

to

as

the

"

The

licensees

the

Next week's calendar is

Once

thing

Congress

that

assure

Aug. 17 it

Inc.; The First Boston Corp.; Coffin &
Bids—Expected to be received on Dec. 7.
Fidelity Life Insurance Co.

stock

common

almost

Another

•'

•

the

About

market for his

money

.World

DIVIDEND

organization in the
wholly
on help service
operating
directly
or
the element of protection for five world,
years
against the refinancing of through licensees 174 offices lo¬
cated in the United States, Canada
an
issue at a lower rate.
in
nine
foreign countries,
But the fact remains that the and
current issue was reported mov¬ Services are furnished, principally
on
an
hourly, daily or weekly
ing at a premium, with the brisk
response
seemingly
giving
the basis, to industrial concerns, in¬
surance
companies, stores, waregeneral market something of a
houses,
banks,
governmental
lift.
demarcation

plans to

Smith

Burr, Inc.

suc¬

•

short-term

of

-~-

Form Davis-Goldstein

Gas

roaring

a

-

Sept. 29 publicly offered

shares

150,000

&

ner

stock¬

(par $1) of Manpower, Inc. at $15
share.
The
shares being offered are

set

With

Robert- B.

V

to

-

Davis-Goldstein

outstanding shares which are be¬
ing purchased by the underwriters
judging
from
reports
of from certain selling stockholders,
cess,
a
heavy influx of buying orders. hence the company will receive no
Some observers were a bit up¬ part of the proceeds.^

to

little

made

1.

E, due
petitive bidding. Probable bidders: Halsey, Stuart & Co.
Inc.; Kidder, Peabody & Co.; Blyth & Co., Inc., and
White, Weld & Co. (jointly); Merrill Lynch, Pierce, Fen¬

1,000.000 shares

Smith, Barney & Co. and Asso¬

lk% of the differential

reported that the company plans the issu¬
of $8,000,000 of 30-year first
mortgage

sell $7,500,000 of first
mortgage bonds, series
1989. /Underwriter—To be determined by com¬

with

Y

•

Common Stk. Offered
on

->

(10/29)

issue and

reported that $1,015,000 of partnership

ciates

Service Co.

Worcester County Electric Co. (12/7)
Sept. 17 it was announced that this company

financing ! stockholders will be asked at
meeting Oct. 20 to approve an increase in

the

in

accounted

do.

tary
-

people

Treasury

plans

of

better,

place. Not that there

agency

.

and

impending

billion of

-

obligations.
little

a

to put their funds
prevailing levels.

(Oct.

f

seemed

institutions

and

Treasury

slow
at

.

in

corporate

Sentiment

sec¬

several

after

week

rally

of

markets,

issue, topped off

new

issue

Office—Waukesha, Wis.

/

Aug. 26, 1959.

Manpower, Inc.

as

5%%.

Out-the-Window
-

The

com¬

sale

per

Co.'s

ondary and

for

—

Oct.

City. Underwriter—
Underwriters, 49 W. 32nd St., New York
Offering—Expected any day.

figure that

clause

mentioned

first

was

annual

bid for

yield

to

Investment interests

S

the

of

were

priced

and

on

authorized capital stock from 600,000 to
Initial offering of the shares will be

\

raise

time

•

share

new

under¬
determined.' Proceeds—

been

bidding. Probable bidders: Halsey, Stuart &
Inc.; White, Weld & Co.; Kidder, Peabody & Co.;
The First Boston
Corp.; Kuhn, Loeb & Co. and American
Securities Corp.
Bids—Expected to be received up to
11 a.m. (EST) on Oct. 29. Registration
Scheduled for

on

connection

Mid-City Parking Center

proposed

their

-mortgage bonds, and common and preferred stock.
ceeds—To

(EDT)

in

was

and

Public

yet

one

Co.

_

,announced that the company plans to

was

shares

as

of

offering price and

petitive

if Waukesha Motor Co.
,Y
Sept. 29 it was announced that this company plans the
sale of 100,000 shares of capital stock.
To provide for

if Transcontinental Gas Pipe Line Corp.
-Sept.

Sept. 21 it

8th Avenue and 44th St., New York
First Republic

Underwriter—Morohey, Beissner & Co., Houston, Tex.
Offering
Expected in the near future of a block of
.common

fractional

not

basis"

.The

bonds due 1989. Underwriter—To be
determined by com¬

participations will be registered in the immediate future
with the Attorney General of the State of New
York,
for offering to New York State residents
only. Price—
$2,500 per unit. Proceeds-—To purchase the property at

1

•

Velvex

Sept. 22 it

that the stockholders of this,

announced

was

•

a

-Vv:."-"*-•

receive

have

held,

working capital.

ance

Fidelity & Guaranty Co.

be received up to noon

tentative

a

shares

Wisconsin

'

10% stock dividend declared

$7,000,000 of additional

Tex-Tube, Inc.'

,

States
to

were

entitled t£>

common stock,
rights offering and a negoti¬
ated underwriting. Last rights offering was underwritten
by Stone & Webster Securities Cor^ New York.
;

Un¬

Sept. 24
Fidelity-Baltimore National Bank, 10 Light St., Bal¬
timore 3, Md.j for the purchase from the
company of
3,232 shares of capital stock. Proceeds—To stockholders

planning

is

For

pipe line

a

"on

five

writers

at

-7-■'

that the company

reported

was

the sale of about

United

Bids

,1959.' Proceeds—To repay bank loans incurred for cur-_
rent construction program.
Previous issues have been '
placed privately.
'
;
LY;.

probably in the form of

securi¬

new

Underwriters—Lee Higginson Corp., New
York; and Straus, Blosser & McDowell, Chicago, 111.

Gas Co.

'.'V' V.

each

stock/

mon

22, S. C. McMeekin, President, announced plans
sell approximately $8,000,000 of bonds in
December,

\

to

expects

company

was reported that the company is contemplating the issuance and sale of some additional com¬

f

June

Tampa Electric Co.

holders

this

■j Sept. 10 it

,

Electric &

Co.

that

Yrav-ler Radio Corp.

V

"

South Carolina

Line

$40,000,000 to $50,000,000 of

derwriters—Lehman Brothers and Merrill
Lynch, Pierce,
Fenner & Smith Inc., both of New York.

Kidder, Peabody & Co., New York, and McDonald & Co.,
Cleveland, Ohio.
/
•" •'
'
1
.

Pipe

reported

was

sell

from West Texas to the
Arizona-California border.

cleaners;. Underwriters—

vacuum'

and

ties, probably in units. Proceeds—To build

;-

'

r

that the company plans early
shares of common stock., Busi¬

100,009

Manufactures

—

J -.

_

Co.

reported

was

registration
ness

• •• -

Fetzer

63

*

new

iSqluding all of the

"compact" models.

6*(1412)

business buzz

Businessman's

Washington and You
behind-the-scenes

-

D.

WASHINGTON,

C.—The

-

the gloves

railroads have taken

going all out in an

off. They are

of the
truckers. The

to recapture some

effort

lost

business

to

nation's capital

sweeping order

permitting a reduction of "vol¬
ume rates for freight forwarders
between New York and Chicago.
the trucking

Today

industry,
busi¬

to be big

which has gotten

is extremely^inhappy over

ness,

authorizing freight
forwarders to handle shipments
order

the

as
much as 30,000
Heretofore, forwarders
liave not attempted to compete
generally for shipments in ex¬

weighing

pounds,

As

order

greater avenue of business for
the freight forwarders, the rail¬
roads have a reason to "believe
that

they

share

that

ness

to get a
this busi¬
been moved by
going

are

substantial

has

of

is"

industry

maintain

Spokesmen
for
industry further
that
the order
sets

the

for destructive

rate-making.

trucking
stage

com¬

petition.

hurt

the

quarter of 1959 is
good. The whole picture for the
industry in 1960 is on the, fa¬
the*^ fourth

side.

vorable

the

since

Ever

the

from

covery

business

re¬

recession

started, railway traffic has been

but truck traffic has
sensational rise.

edging

up,

shown

a

failure

"The

to

questions,
contentions

part by

of

the

railroads

no

at

reach 36,000,000.
the railroads are
expected
to
spend
approxi¬
mately $3,000,000,000. Of course
many new freight cars will be
bought by the railroads. "Rail¬
way
Age" says expected in¬
creases
in
piggyback
traffic
alone should put the carriers
in the market for at least 3,000
flat

probably 80,000
freight cars will be sought by
the railroads" themselves," said
"Overall,

publication, "not including
carrier-owned refrig¬

the

service to their residents.

heavy-

"There should be

engaged
expenditures

next

will be upgraded and many new

locomotives

Industry Overruled

which has
thundering, may
the spark that the rail¬

ICC

ruling,

graded

thousand

industry needs for stronger

several

healthier years ahead. The

their

industry had
hoped
that
the
freight
forwarders^
would
always be confined to
the handling of small shipments
which .would
not
normally
ruling

centralized

1,200-1,500 miles of
traffic
control;

equipment

for

rebuilt

involved,

the

yards;

or

1,000-

a

using to the

will

Railroads

be

new

—one

ice

transportation

part of the proposed legisla¬
tive
program
for the railroad
industry.
They all went over
until
the
1960
session.
The

their gloves and

measures

tle and

tic

address

Loomis'

Winston

depreciation
of the tax on passenger
fares, and permit more freedom
to
railroads
to
operate other
modes
of
transportation.
The
outlook
appears
brightest for
income
tax
arrangements
to

par¬

Churchill's

peoole.

British

the

sweat

"blood,

"Success

railroads in

for

our

Halls,

shall

we

courts;

said,

he

terms

fight

will never

we

in the
give up.

that

"Given

I

here.

the

Given

know

you

will

from

go

forceful action by

government to equalize the

competitive

portation,
can

and

railroads

where

of fighting

kind

know

balance

push forward with the im¬

proved

services

and

low

petitive prices that could

piece

of

legislation to be enact¬
ed into law by Congress in 1960
was a measure liberalizing ben¬
efit

of

provisions

the

Railroad

Retirement and Railroad

ployment

Streets,

Pa., $10.

expressed

address

of

Department of Commerce, Bu¬
reau
of the Census — Superin¬
tendent
of Documents,
U. S.
Government
Printing
Office,

(paper),

C.

25, D.

Washington
$2.25.-

for
Recon¬
Development:
Fourteenth Annual Report, 195859—International Bank for Re¬
construction and Development,
Bank

International

and

struction

Washington, D. C. °

will

cost

$200,000,000

the
a

com¬

launch

—

nance

N.

International

The

Corporation,

1818 H St.,

University Press, 32 Washington
Place, New York 3,

is intended to re¬
inter¬
pretation front the nation's Capital
and may or may not coincide with
own

vieivs.]

N. Y., $2.75.

Proposals for Positive Action: Re¬
marks on the floor of the U. S.
Senate by

Senator Styles Bridges

Senator Homer E.

and

Capehart,

regarding
the Transportation
Act
of
1958 — Association
of

Income,

Income

Superintendent
U.

S.

Washing¬

Railroads,

(paper).

of

Statistics
vidual

JThis column

v

World

Anderson—New York

—J. N. D.

American

railroads about

1958Fi¬

W., Washington 25, D. C.

ton, D. C.

year.

"Chronicle's"

1959

Report,

Annual

—Third

estimates

flect the "behind the scene"

the

International Finance Corporation

1957,

of

Indi¬

Returns—

Tax

Documents,
Of¬
D. C., 750.

Government Printing

fice, Washington 25,

Attention Brokers

and Dealers:

TRADING MARKETS

1

Botany

Mr, Loomis in his Washington

"piggyback" service.
Piggyback
service
is
freight
loaded in highway trailers and
transported
on
railway
flat

Governments:
1957
Governments—U. S.

Township
Census

and

Municipalities

of

Finances

The Association

of American Railroads

Fight Facing the Industry

Hard

It

passed over the opposition

of the railroads.

it

Unem¬

Acts.

Insurance

trans¬

in

themselves

railroads

important

only

railroad

was

spirit,

nut

Islamic Law in the Modern

for rolling stock.

The

stop fighting for a

never

Co., 56th and Chest¬
Philadelphia 39,

—Chilton

depreciation

shorter

provide

"that
fair
deal
from
government.
We
shall fight in the Congress, we
shall
fight in the regulatory
agencies, we shall fight in the
State Houses and in the CUv
demands,"

time

we

more

Risk

Fire

Special

in

Analysis—William Durant Milne

repeal

and
speech of World War II

tears"
to

he

when

for

realis¬
arrangements,

permit

tax relief to

offensive bat¬
plan to continue it in the
was pointed up in Mr.

proposals

include

begun waging an
future,

bills

as

railroads

the

^

numerous

were

introduced in Congress this year

the

against

game

that

fact

There

loaded dice."

others holding

The

play

to

forced

n

Legislation

Railroad

turn, in

opinion
of
Mr.
Loomis.
Meantime, railroaders are "tired

the

being

undreamed - of
of performance and serv¬
the American poeple."
and

challenged

right and left at every

of

to

a

golden age of railroading
of unprecedented traffic

volume
levels

on

munication equipment."

called

complete

to share the great na¬
growth during the 1960's.
He has reason to believe that.
There seems to be little.doubt

Industries

Irfdian Head

Mills

Official Films

confidence that the railroads are

Southeastern Pub.

going

Serv.

tional

cars.

The ICC, which has long

some

been
over-regulation of
and thus causing
of the ills of the carriers,

said

the

accused

of

that the railway passenger

railways

the
"piggyback" case raised a series
of
questions. - These
include
whether freight forwarders may
handle any size shipments, and.
whether
a
highway
trailer
transported on a. railway flatcar

retarder

new

mobile radio units, and
about 1,000 units of carrier com¬

30,000 pounds, have been using

the

several

1,200

freight forwarders offering the
service
on
shipments
up
to
so

for

trailers

piggyback

equipment;

truckload lots.

the

In

up¬

services; about
$25,000,000 of maintenance work

trucking

in

be

will

with new
other
things:

Among

and

1,100

about

replaced

or

power.

way

move

that

units

locomotive

truckers

well be

ordered. Altogether

estimate

we

The

lot of power

A

also.

year

considerable

the locomotive field

activity in

ex¬

awesome

publicly built highways, water¬
ways and airports and airways."

immortal

car

to . fight?

cost or no cost our

low

at

hilt

aphrased

Age"

the

of

pansion of carriers

lines and by otherprivate
lines.
Passenger
car
orders
probably will be con¬
fined
mainly to rapid transit
equipment ordered by the sev¬
eral cities which furnish such
erator

industry particularly is
in
large capital
programs."

will thev have

orders* by

"Truckers, by and large,
are handling the larger percent¬
age
of non-durables and du¬
rables,
and
light
industrial
equipment. Railroads get their
when

to

have taken off

cars.

mammoth new
expansion program.
Far from
seeing the twilight of the rails,
we could be on the threshold of

railroading

fight, perhaps bitterly,
for every inch of ground to win.

have

Also next year

says.

traffic

will

C.

D.

5,

Washington

request)./•.
Factors

"Because

the beginning of
the "sizzling sixties," it is es¬
timated
that the freight car-

Corporation, 815 Washington,

Building,

built this business from scratch!"

(paper), 250 (quantity prices on

Why

year,

loadings

IRover and I

"Yes,

cross-"
vital

Carriers Bright Outlook

States—Traffic Serv¬

the United

ice

System in

Common Carrier

the

railroads are a

omy.

■

Comments on the Preservation of

is
is

important cog in our econ¬

and

C.

D.

25,

Washington

(paper), $2.25..

strong

momentous, historic

a

roads. The

Documents,

of

Government Printing Of¬

fice,^

said

for the fututre. There
question that railroading

S.

U.

than

hope

the

today,"

"Railway

authoritative

.the

Office

Superintendent

with

pointed

Department of Commerce,
of Business Economics—

U. S.

Loomis. At the same

he

(paper).

Business Statistics, 1959 Edition—

held its own against
powerful political forces that
continually
demand
selfish
monetary gain at the expense of

the character of
by the two

media

competing

Trucking

partment of Commerce, Bureau;
of the Census, Washington 25,
D. C.

toward

good,

Annual Re¬

—

ports Scheduled for Issuance in
the Fiscal Year 1960—U. S. De¬

regulation and gov¬

general

Governments

On

barely

time

Census Publications

Bureau of the

Railroading has no more

traffic handled

maximum

450.

Loomis,

Services,

Plaza, New York

annual subscription,
:

Y;,

N.

'20,

Publications

Information

45 Rockefeller

favoritism
other carriers."

long-run

(paper),

Y.

Government

British

—British

ernment

participate in the country's
prosperity to the same extent as
the
truckers
is
explained
in
the

of the
affirmative
and other
thus
rejecting the
of various
motor
gave

P.

N.

16,

York

New

these

President
of the American Association of
American Railroads, in a recent
address
here
in the Nation's
Capital, declared that all rail¬
roads
are
fighting the "same
battle against patchwork poli¬
cies of oppressive taxation, dis¬
-Daniel

Bankers

590.

protestants.

carrier

in

Men

American

—

Association, 12 East 36th Street,
...

regulatory agency

The

Government
answers

to

large

Powder Co.

flea

lawful.

intrinsically

Next

has
the railroads nevertheless
outlook for these carriers
strike

steel

the

While

Banking

the proposed rates are

whether

Trained

Agriculturally

freight
it, and

,

trucking

maintaining that the ICC direc¬
tive
abolishes the long-estab¬
lished
method of determining
the

supply

forwarder

President

the truckers.
The

and, if so, may a

tation

criminatory

result of the Commis¬
which opens up a

a

sion's
"

10,000 pounds.

of

cess

FOODLE'S

instrumentality of transpor¬

an

Commis¬

Commerce

Interstate

sion has issued a

BOOKSHELF

interpretations

from the

proceedings




Our

Carl Marks & Co Inc.

New

York telephone

number is

CAnal 6-3840

service will be further curtailed,
but

in

under the proposed rates is

train

it

is

a";

national

necessity

that the railway

business

-

be

freight hauling
kept
on
sound

grounds.
_

President

in facing
_

'

up

correct
to the battles that

Loomis

is

loom ahead for the industry. He
acknowledges
that' they
will

FOREIGN
20 BROAD

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