Full text of Commercial and Financial Chronicle : October 4, 1956, Vol. 184, No. 5574

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UOFM.CHiGAN
OVER-THE-COUNTER MARKET FEATURED IN THIS ISSUE V OCT

5 1356

Reg. U. 8. Pat. Office

Volume

New York 7,

Number 5574

184

EDITORIAL

We See It

few

that

votes

course,

influenced

are

have

way

this way,

that even the sensational
advances of the past half-century will be far surpassed
Expressing

his

conviction

by the events of the next 20

capsule view of the world
1976; to include vastly increased
solar energy,

oceans,

siles

but,

of knowing about

tolls;

for 30^000

5,000-mile-an-hour rocket planes, guided mis¬

many

the bluest of "blue chips," the

carrying mail and freight, world-wide color tele¬

world that awaits

events

walks

meaningful

than

has, however, appeared to us during the past
two that the

this

themselves

year.

could

talk

uttered in the

Presidency,

never

dream into the realm of

And

would not sup¬

reality within
Continued

on page

for

those of us who have had

make

the highest
guide this

with

concerned

than

channels.

♦From

his

NOW IN

securities are afforded
tial undertakings

address

honor,

New

Sarnoff at Golden Anniversary
City, Sept. 30, 1956.

large—•

widely appreciated—mainly because
record of transactions there, in the

of course, that the investor
position to ascertain quickly the state
of the market in the majority of actively traded
unlisted issues. As a matter of fact, the network

page

en-

investment trusts—-

This is not to say,

of
on

Gen.

York

insurance companies,

many

press.

is not in

always been
past, and so

Continued

not

public

exciting years

the

-—

and

there

constructive

role in generating that

the future

over-the-

and

argued about too

legitimate place and function; and if

fact

have also an obligation to do our utfnost
beneficent force. This is an occasion that

tempts me to reminisce about the rich and
we
have traveled together.
But I have

been

frequently, too bitterly. Obviously both

;,n

awesome power

listed

have

explained.

the-Counter Market is at least 10 times

destructive

Distinction between

you 11 see how heavily they depend on both for
-acquisition and disposition of securities. For the
record, it must be stated, however, that the Over-

extinguished

into

power

to 172 years.

merits

securities

dowment funds

rebuilt.

called

situtional investors

to destroy in a
take many

unlimited

will but scan the portfolios of our major m-

you

And ,the precious

would) be

than

fore¬

SECURITIES

DEALERS

'are

rather

period of time. The fact is that the entire
,

order

Sarnoff

new-found

seeable

thai:*

Wisdom and courage of
David

relative

often and,

it would

rebuild.

could

perhaps hope, that he really meant to
imply that the Republican party had something
or other
up its sleeve which would bring such
pose,

power

what

lives

heated campaign, it is

those who read what he said

disposal the

years

tables showing

are

which cash dividends have been paid with¬

discFplfneTmSf and'the"wTld' have

moment

hardly to be expected th&t those who heard him
or

The

fit#:?' Already the human race has at
its

vast Over-the-

stocks, available only in the Over-the-Counter

counter

in, and remain true to ideals
of human welfare and mural integ-

future,
of

he lives

course

will

challenge and great opportu¬
They will be crowded, too,
with great dangers.
More than ever

little pipe dreaming about
we suppose that such
regarded as unexceptional, but

indulging in

the dim and distant

tomorrows
crowded with

stocks,

common

auction and Over-the-Counter Market

The

today.

Highlight of study

interruption for

out

nity.

although certainly not confined to him or to his
party. Vice-President Nixon's outpouring the
other day about a four day week and a good
deal to go along with it is an excellent example.
If the Vice-President was doing nothing more
than

Market,

great

politicians were outudoing
This is particularly true

of the Democratic candidate for the

names

spirits of great
stride on before the events, and in today already
tomorrow."
Never before was this insight truer
ahead

"challenging,

widely diversified

provides the investor with

variety of values.

A historian has said that "often do the

bounds.

week

the horizon is

over

Counter Market

Concludes

exciting, and promising."

against the candidates who make use of them,
at least so far as they remain within reasonable

municipal bonds, including those payable from

state and

of nuclear and

use

marketplace for virtually all government and

As the sole

control of the weather, the "farming" of

vision, and collapse of Soviet Communism.

event, it would appear hardly more
than fair not to hold tactics of this sort, too much

Enterprise Economist

he foresees it in

COBLEIGII

IRA

General Sarnoff

years,

offers

that. In any
t

Market-Biggest in the World

of America

Chairman of the Board, Radio Corporation

long been the custom

course,

Copy

By BRIG. GENERAL DAVID SARNOFF*

for
politicians in an election year, particularly the
outs trying to get in, to promise the earth and
everything that is on it. The fact that quite often
these campaign promises are forgotten by the
politicians and the people after^ the election is
over
clearly suggests that both take many of them
;with a grain of salt. We should prefer to think
of

has,

The Great Over-the-Countex

The World in 1976

As
It

Cents

Price 40

N. Y., Thursday, October 4, 1956

wires

makes it

connecting dealers from coast-to-coast
possible for him to obtain buy and sell

Dinner

Continued

REGISTRATION—Underwriter^, dealers and investors in corporate
complete picture of issues now registered with the SEC and poten¬
in our "Securities in Registration" Section, starting on page 59.

page

State, Municipal

and

U. S. Government,
State and

Municipal

,?<''<> '

4^J

' >„

*WM

Securities

Public Housing Agency

"Vss csN

STATE

Ann

MUNICIPAL

COPIES OF OUR
LATEST

telephone:

HAnover 2-3700

BONDS

BANK

MONTHLY

LETTER

THE FIRST NATIONAL CITY BANK

Members

Burnham and Company

N.Y.

MEMBERS NEW YORK

15 BROAD
CABLE:

ANO

AMERICAN STOCK EXCHANGES

STREET, NEW YORK 5, N. Y.

♦

120
Bond Dept.

Teletype: NY 1-708

Dl 4-1400

ESTABLISHED

Active

$150,000

CANADIAN

Exchange

334%

BROAD

15,

Price

94.50

and

STREET
Y.

DIRECT

WIRES TO MONTREAL

bridgeport

•

perth amboy

NEW

YORK

Stock Exchange

Unlisted Trading

yield 4.10%

Department

AND TORONTO

Goodbody a
115 BROADWAY

York

other Principal Exchanges

1981

Payable in United States dollars

DEPARTMENT

Members New

Debentures

June

Dommioji Securities

Co.

<ORPORATIO?i

MEMBERS NEW YORK STOCK EXCHANGE

£)OUtAM€4t COMPANY

Due

Railway

IRA HAUPT & CO.

Teletype NY 1-2270

CANADIAN

Pacific Great

NEW YORK 4, N.

DALLAS

Executed On All

Canadian Exchanges At Regular Rates

Stock Exchange

Orders

British Columbia

Eastern

SECURITIES
Nevv York Stock

Guaranteeing

1832

Commission

FIRST

bank

coasi to coast

offices from

Province

Members

American

Chase Manhattan

Stock Exchange

BROADWAY, HEW YORK 5

Markets Maintained

Dealers, Banks and Broken

T. L.Watson &Co.

INSURANCE STOCKS

York

New

THE

TELCTYPE NY l-««2

COBUPNHAM

Net

BANK AND

REQUEST

Harris, Upham & C5

OF NEW YORK

DEPARTMENT

AVAILABLE

NOW

ARE

view

burnham

30 BROAD ST.,

INVESTOR"

TODAY'S

BOND

CORN EXCHANGE

BOND

"POCKET GUIDE FOR

THE

CHEMICAL

Bonds and Notes

„

1 NORTH tA SALLE ST.

CHICAGO

Exchange Place, New York 5, N. Y.
Teletype NY 1-702-3
WHitehall 4-8161

111 Broadway,
WOrth 4-6000
Boston

N. y. 6

Teletype NY 1-2708

Telephone:

Enterprise

1820

(1406)

The Commercial and Financial Chronicle...

For Bunks, Brokers,

The

Dealers only

Security I Like Best

Traders Say

participate and give their

for favoring

reasons

(The articles contained in this forum

they

•re

be regarded,

EDMOND
tic's"

sea

prompt,

experienced

Department

Trading

accurate

wire

system

can

as an

offer

BROWN

keep

Elgen

Corporation (Electronic Oil
Logging for the Oil Industry)

Well

Each well, whether it be

cost.

It is the dream of every person

one or more

(1) In

service

c o m

following at¬

productive,

Corporation
Established
Associate
American

Member

Stock

Teletype NY 1-40

BOSTON

•

Private

Wires

CHICAGO

•

PHILADELPHIA

SAN

the

cash

FRANCISCO

Principal Cities

that

(Five

cate

the

elec¬

tronic oil well

Hole

logging indus¬
try

about

Brown

SCRIP

gross

time

present

form
and

these

has

now

|fcpONNELL&rO.
Members

York

New

American
1X0

with

Exchange

ers

Exchange

services

REctor

2-7815

add

to
in

the

addi¬
future

near

which will provide Elgen custom¬

Stock

LVBOffillllil

plans

services

Stock

BROADWAY, NEW YORK B
TEL.

tional

Elgen

the

variety of electronic
by competitors.

offered

will

approximately

$2,250,000

gross business in 1956,
63% over 1955. Before begin¬
ning field operations, Elgen spent
year in

tooling up and devel¬
I it 2% years of field op¬
eration, Elgen has achieved third
opment.

Trading Interest In

place

volume

sales,

and

now

American

Furniture

crowding the giants of the
industry. The top company in the

industry
Bassett

Furniture

Industries

logged
last

Commonwealth Natural Gas

year

estimated
of

with

the

have

wells

drilled

princely income

after taxes.

(2)

Life Insurance Co. of Va.

83%

Lynchburg, Va.
LD 39

TWX LY 77

company with
a
small
capitalization
of
500,000
shares

(The cash flow of
Elgen is such
is
believed the

corporation

can

expand and pay taxes out of earn¬
ings.
The
financial
picture
is

strong, with the
ties

ratio

2.76

asset and

liabili¬

Earnings for
ending February, 1956, after
taxes, were $255,357, up 77% over
year

Trading Markets

Bassons Industries

orevious year.
and

Elgen has no debt
preferred stock outstand¬

ing.)

Birdsboro Steel
*Brush

Beryllium

Chesapeake Industries
Lanolin Plus
*

Prospectus On Request

(3)

With

ESTABLISHED

37 Wall St., N. Y.

1929

Tel. HAnover 2-4850

pany in the industry. Practically
all of the executive
personnel of
with

are

graduates of this school

many years of service
in this exclusive "know how" cir¬
many,

cle.

They

sive.

tors
■

personnel

management.
(The
electrical oil well log¬

ging knowledge has been closely
dominated by a privatelv owned
company which is the top com¬

Elgen

2>Teene<mi(iompa.TU}

aggressive

sound

school

are

young

and

aggres¬

Further, the Board of Direc¬
are

careers

men

with

the

long, successful

oil

business.

The

sound

planning of Elgen and im¬
mediate acceptance by the oil in¬

When

in Boston

visit

dustry of Elgen's performance in
this highly technical field, indi¬
cates a bright future for the com¬
pany.)

Industry and Growth

ieouSiZtLeA CO,
auto COURT STREET, BOSTON 9, MASL

Telephone Richmond 2-2530
Teletype 3S-630

forms

what

what
for
the

little "in the dark"

services

the

oil

potential

Elgen

per¬

industry,
is.

and

This

can

per¬

overhead

same

be drilled in the USA,

235,720,000 feet
wells

were

hole.

from $300

runs

well,

what the operator reouires. In

drilled

utility field
1945

area,

major oil company spent about

1955

and

the

industry

while

Steiner, Rouse & Co.

the

income

with

the

better

ing

earnings ratios.

—the

than

Piedmont

mathemati¬

acceptance of this company by the
industry indicates that its growth
depends on how fast Elgen can

and

section

over

thus

the

serves

populous

North

and

While the Piedmont

section

is
heavily peopled it is
pleasantly uncongested. Duke's
future, therefore, is not heavily

dependent

any

but

area

together

large

one

rather

number

operation.

With the completion of

new

quarter-million

dol¬

manufacturing plant and lab¬
oratory in mid-1956, it appears the
company can put a new mobile
electronic unit in the field each
three weeks. Based on the

average

the

last

mobile

each

year,

gross

average

$123,000
enue

units

and

the

field

unit

generated a
business of about

brought

net

rev¬

Elgen, after taxes, of about

$19,000.

These

mobile

electronic

units cost about

$60,000, and about
capital is needed to
revolve the business
generated by
each
truck.
This is better than
$20,000

flowing oil well.

Elgen is

irf South

Duke

214

servicing only 12%
of the oil
territory in the USA.
and
is
performing from 40% to
55%

the

gross

ging in these
cash

flow

electronic
With

areas.

build

log¬

ample

units,' with

young aggressive management,
constant research in the
improv¬
ing of their present services and

discovery of upw lo^gm? tech¬
niques, esnpcially jn the fieH of
nuclear radiation, Elgen
may well
crowd

the

dustry

two

some

giants

years

resultant

profits
stockholders.

from
to

the

now

the

in¬

with

Elgen

The stock is traded in the Over-

the-Counter market.
•

'
.

•

communities

While

retail

and

wholesale

Duke's

record

past
growth has been remarkable (be¬
tween

WILLIAM R.

STARNES

Vice-Presid°nt, R.

Duke

Power

S. Dickson

Co., Inc., Charlotte, N. C.
Co.

1945 and 1955 its residential

customers

grew

the

rate

Although Duke Power Company
relatively little known to the
investing public, we know of no
"tility with a more exciting story.
one

thing,

nation's

ten

ranks

among

largest operating

electric utilities and boasts a rec¬
ord of expansion and growth which
far exceeds that of the
electric

informa|ion
write

Yamaichi
Securities Co., Ltd.
Established
Home

Office

Tokyo

Brokers <fr

111

1897

—

Investment

Branches
Bankers

Broadway,N.Y.6 COrtlandt 7-5680

John B. Stetson Pfd.
Pocono Hotels Units
Buck Hills Falls Co.

nearly

Guarantee Bank & Trust Co.

Reading Co. 3V&S, 1995
Phila. Transportation 3%s, 1970

Samuel K. Phillips & Co.
Members

national

average),

its

Phila-Balt.

Stock

Exchange

Pennsylvania Bldg., Philadelphia
Teletype

N. Y. Phone

PH 375

COrtlandt 7-6814

made by Southern Bell Tele¬

vey

phone
that

Company which estimated
population of Charlotte

the

and its

suburbs, the principal city
by Duke, would increase
43% between now and 1966.

served

by
In

addition

unusually promis¬

ing population growth, the Pied¬
mont's

industrial

striking

signs

activity

LAMBORN & CO., Inc.
99

WALL

Some

the

SUGAR
of

measure

5, N. Y.

expansion

new

and diversification.

tance

STREET

NEW YORK

shows

the. impor¬

region's

industry

Raw

—

Refined

Liquid

—

national economy is indicatso'

the fact

tion's
with

that 40%

the

na¬

Exports—Imports—Futures

textile spindles are turnec
electricity from Duke's 4,000-

Piedmont

nation's

produces

tobacco

counties

furniture

than

nrr're

produce
the

does

Michigan.

fluence

products and ten

Piedmont

State

DIgby 4-2727

Too, th:

third of t

entire

Under the in¬

its
strategic
market
(midway
between
the
Metropolitan East and the Deen
South), an attractively mild cli¬

location

mate,

and

ran^ble

enjoying
and

plentiful

labor,
a

steady

supply

Piedmont

the

influx

new

diversified

industry which is
being further buoyed by increas¬
ing exploitation
mineral
the

latter

the
An

resources.

the

Carolina's

example of

erection

near

Over-the-Counter

fining plant by Lithium Corp. of,
America to exploit that
comoany's

extensi\&s North Carolina lithium
For

the

Quotation Services
for 42 Years

reserves.

current

Call

Al¬

Bessemer City, North
Carolina, o£
a
multi-million dollar lithium re¬

For

Caro¬

basis.

double

appear to be stirring due
improved Japanese economy.

sue a

Carolina.

serves

mile transmission system.

now

Winston-Salem,
Charlotte in North Carolina,
Greenville, Spartanburg, and

together,

cash

remaining at practically
stationary levels for three years
now

com¬

growth potential is even more in¬
build
mobil^ electronic units. El-r spiring.. As an index of Duke's
gen now has 19 mobile units in
future we might cite a recent sur¬
Elgen's

STOCKS
after

Greensboro,

lina

offices

energetically growing and
fortably sized communities

and

branch

most

in the South.

our

JAPANESE

and is

persons

thickly populated
comparable size anywnere

area

3,000,000

sell¬

South Carolina. This 24,000 square
mile section of the Carolinas con¬

tains

NY 1-1557

"growth
are

territory it

municipalities
arm-chair

Direct wires

prosperous

Exchange
Exchange

Birmingham, Ala.
Mobile, Ala.

Perhaps the
most
interesting
chapter of the Duke story is con¬
cerned with the

Stock
Stock

New Orleans, La. -

considerably higher price-

well.

cian, it will be easy to figure the
future earnings of this
company,
say for the next five years.
The

known

York

HAnover 2-0700

131%,

utilities"'most of which

Anderson

the

net

American

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

Between

increased

Duke's

$50,000 for all phases of electrical
logging services.
This was only
5% of the cost of the
completed

For

whole.

New

In fact, Duke's growth of
earnings compares very favorably

and

deep well in the Gulf Coast

the

aggre¬

Bought—Sold—Quoted

Members

one

For

1950,

William

Members

bound

elec¬

average

depending

will

aggregating

(Page

—

Starnes, Assistant Vice-Presi¬

metropolitan

cost,!the

logging bill

$5,000

year

approximately 58.000 oil wells

43,279

the

Elgen

personnel.

trical

Potential

The average investor who is not
familiar with the
drilling of oil

wells may be

KELLER BROTHERS

before

cementing of the pipe

Asst.

our

New Offices

but good

well

every

with

owning

and

the

lar

authorized, and 423,979 shares out¬
standing with big profit potential.

STRADER mi CCMPANY, Inc.

required

which

As to the

one

services

Corporation performs only part of
services.
That part of the
which Elgen can perform is
estimated
at
$45,000,000.
Elgen

size

Geophone Service—Gamma Ray
Logging—these are also other

Elgen

gross

the

is performed.

last

the

not

successful
L.

Edmond

ap¬

practice

electronic log¬
ging of oil wells industry did
year.

through certain formations

which

the

caliper service which shows

hole

the

oil.

picture

proximately $75,000,000

may contain
also indicates

fined to only areas-which indi¬

phases

Since 1917

and

Permalog—Permalog is an electric
log with much more detail than
the basic log and is usually con¬

business.) It is
estimated, all

RIGHTS

which

water

corporations

98%

J Specialists in

exact

the porosity of the formation.

Exchange

120 Broadway, New York 5
WOrth 4-2300

formations
oil

year.

Texas

Company

tripled.

log which indicates
depth of the various

dity
that has large

increases each
'

following elec¬

Basic electric

m o

available

dry

have

must

tronic services:

industry with

revenues

1920

usually

of the

volume

New York Hanseatic

Dallas,

dent, R. S. Dickson & Co., Inc.,
N. C.
(Page 2)

deeper and deeper.
The
deeper the well, the more the log

in the investment business to find

Louisiana Securities

year,

tributes:

Cc.,

constantly

our

Duke.Power

reserves, more and
w&lls have been drilled each

company with the

abreast

Edmond

—

Brown, Vice-President, Garrett

dwindling oil

Dallas, Texas

reach

markets, faster.

Alabama &

Selections

Corporation

Elgen

be, nor
sell the securities discussed.)
to

gating 159,288,000 feet of hole.

Vice-President, Garrett & Company

means

executions.

"HanseaticV' nationwide pri¬
vate

Their

particular security.

intended

not

are

BECAUSE:
Ilan

Wee

Participar..

country

Try "HANSEATIC"
"

This

Forum

A Continuous forum in which, each
week, a different group of experts
In the investment and
advisory field from all sections of the

Thursday,1 October 4, 1956

discerning investor

of Duke's major assets is its

one

high¬

ly conservative financial structure
which
nance

should
its

expansion

$30,000,000

enable

huge

Duke

10-year

program

annually

Continued

fi¬

National Quotation Bureau

capital

(estimated

Incorporated
Established

1964)

page

46 Front Street
CHICAGO

1913

New York 4, N.Y.
SAN

FRANCISCO

Volume 184

Number 5574

The Commercial and Financial Chronicle

...

Future Interest Rates and
And the

pre-election

AMD COMPANY

The

resumption of wage-price spiral bringing into play the alternaof

tives

either

inflation
interest-rising policies, followed by
monetary

a not too serious crash,
prognosticated by eminent Chicago Economist who believes

there

the

Which

from

rates

the

first

Middle

.crisis

Who's

The

East

Corporate Bond Market and

•

obvious

the

cause

—Dexter M.

•

Spiral

question is:

mone-

situation

.tary

vital.

are

—

They

may

mean

turning
; points
in the
foreign and
.'domestic polic

ians

Melcnior

Faiy»

rope.

Latin-American Kilowatts—Ira U. Cobleigh

which

The New International

the

suppressed,

inflation

the

Atlantic,

domestic problem is:
trol the

when

prime
to

now

latent,

con¬

ice

cannot

sup¬

It has, indeed,

pressed any longer;

broken into the open;

in the U. S;,
since steel wages have been raised,
it is patently gaining momentum.
Due

escalator-clause

the

number of

proportionate

boost.

wage

-Thus, by enlarging the volume ox
mass
purchasing
power,
every
wage of price increases becomes
embedded

beiore

even

of i wage

vicious -circle

the- current

boosts

has

—

"round"

been

com¬

this

writing 10 to 15 cents
hourly wage boosts, plus fringe
benefits, are still pending in the
shipyards, the railroads, the meat
•packing ana telephone industries,
on

the New York

can

docks, etc.

than

one

vicious

spiral at work. Full employment
produces not only high laoor c_>s.s,
but

increased

also

and

turnover

absenteeism.

labor

only

wages

"scraping

the

bottom of the labor barrel."

inflated

costs

the

and

growing consumer demand,
the
price of construction labor goes up
other

rules

Vhen,
lines

centage

product

when

too, businesses along many

try

3 STATES

NATURAL GAS

Investment Program by Including Waterfront

the

maintain their
profit margins per
to

labor

Lie

starting

the

eover

Market

includes

and

discusses

banks

and

for 10

10-year

tabulation

J. F. Reilly & Co., Inc.

WORLD"

"The Great Over-the-Counter

page,

World,"

tunities inherent in securities available

the

investment

DIgby 4-4970

only in the Over-the-Counter

showing

the

(Table I,

(Table II,

sponsored

Exempt

believe

paid.

address

American

There

but
An

and

institution, and most
issuers, may be con¬
be
perpetual obliga¬

until

fre¬

territories

time

pro¬

does

bonds of such

tions

through
record

State

understood.

eral

be considered generally to be

may

them

well
tion

and

which

bonds,

pal
of

and
or

public

the

exemptions

consideration

Statutes

Government

corporation
a

went

thirties,

Immune

United

the

forbidden,

recital that inter¬
political

and

this

agree

the

year

100%.

close to

provided

States

prohibit

State

that

Constitution

States it is

period
early

Tax

tax.

another

Department

not

Department.

it was voted out 9 to 7,
eliminating - that -• section
provided for a tax on in¬
in New York an
assessment for
terest paid on outstanding bonds
taxes, on interest from bonds paid-* but
leaving the provision for tax¬
bv each of those issuers. The hold¬
ation of interest paid on future
ers
refused to pay and the case
issues.
On the floor, it lost 52 to
was
carried through to the U. S.
34.
Supreme
Court.
The
Treasury
In 1941, in the attempt to tax
Department lost in the Tax Court
the interest on Port of New York
two to one, and the Commission¬
er of
Internal Revenue carried it Authority and Triborough Bridge
Authority bonds, it was no doubt
through to the United States Cir¬
cuit Court of Appeals and again part of the plan of the Adminis¬

bonds of State and

subdivisions

Treasury

about

tax

did

courts

political

bond holder

Constitution

est on

The

the

and

again, and filed
bonds of the
Port of New York Authority and
the Triborough Bridge Authority

In section 22 of the Revenue

Act, there is

not

in-the

found

not

the Triborough

„

complete final payment came very

anything that the
legislature decides should be done
in the public interest, provided in
the

subdivision.

although it might have

our

instrument that could

can

Act.

1941, the Treasury De¬

holders

against

sponsored legislation to
the
specific
exemption

remove

was,

partment moved

Congress
excise tax

Department

30; that is 74
position of the

the

Authority

Bridge Authority to be

mu¬

bad years.

legally be paid.

A state

But,

country, however, every
time
we
went
down,
we
soon
worked out of it.
Even after the

principle
unfortu¬

very

nate circumstance of

Treasury

was

the' Congress

corporation—

end.

the

very

because

rule,

attend

that

The

"ppjitical §ub(ji^vision," that it
not the intention

the

Then in

the commodity,

quently

Senators

know.

that
an

provided for
Federal In¬

all

interest paid by a

because of the

owns

profits in

put

from

Taxes

come

the

some

pre-

law,"

it goes on,

the

scribed

Gallagher

death

there,

right-to

Congress

nicipal corporation does not die-

eedings

manner

and

all

lack

and

do,

must

hand

the

securities

authorized

Frank

finds

what

society, there

times, the holder of an obli¬
of other than a State or
municipal corporation sometimes

corpora¬

only

lives

gation

munic¬

tion

that

everything

almost

bad

fact

ipal

are

good times and bad times.

are

say

that

munici¬

there

lifetime

any

State

interest

the

The motion lost in the

What

other

but that in no
way
impaired the general prin¬
ciple of immunity.

which

During
curves

i pals?"

and

state

the

municipal bonds to be
adoption

votes.

Saratoga Res¬

and

Senate

and sold to the public.

held

was

had

pal bonds.

mu¬

sidering
tt

the

owned

New York,

taxation

for

of the bill.

and

Government

Federal

the

exemption

York

introduced

was

issued subsequent to the

exemption
the sovereign grant¬

release,

ervation

principal and

payment

con¬

mind

interest

State

will
would

bill

States

United

being

you

that

water bottled in the

conspicuously satisfactory rec¬

the

municipal
"Is there any one rule
should have and carry
constantly
in
in the

lifetime

were

someone

Court, time after time—the
most recent decision being in 1946
in the matter of the excise tax by

long-term financing.
If

between

exempt,

preme

excessive share of the tax burden, and

financing is

temporary

the

1940

the immu¬
nity, the fact that Congress has no
right to tax such interest.
That
has been the ruling by the Su¬
ing

had years;

sonfie

be the act of

factory payment record, and, unlike other issuers, a
corporation does not die, but goes on,

and

Wants Interest Taxed

Treasury

im¬

by the Con¬

providing

"
distinction

notice,

(1) such tax exempt issues possess conspicuously satis-

out:

interest is

where

to consider either the Port of New

„

immune

Municipal underwriting expert discusses the origin and under¬

municipal

taxation

from

gress.

Kidder, Teabody & Co., New York City

writing of state and municipal bonds.

State

bonds. To date the Supreme Court

mune

Municipal Department,

power to tax.
The recital of ex¬
emption's in there .following a
rule of law, that in a tax meas¬
ure, to be exempt,, the exepiptj.911
must be specific.

tax-exempt bonds. There is no
specific proviskm in our Federal
Constitution to forbid Congress to

has held that such

Manager,

nearly all other types

of
on

the

ques¬

Con-

page

The Commercial and Financial Chronicle

(1410)

drastically different from what it
a month a^o — Wxtn no space

Electric

Retail

Auto

Industry

Failures

department of Labor.

level

held

weeki preceding,

the

similar period
Declines

while

the

electric

the

and

production

coal,
lumber,

and food products

power

showed

1955.
reported

automobiles

output

were

drop

occurred

auto¬

motive output

last week, as more
producers shut down for the model
changeover process. Production
of

and trucks fell 60%

cars

that of

trucks

was

year

the

level

ers

36%

the

Sept. 22 of this
that

year

the

Total

year.

from

Jan.

11%

was

comparable

to
un¬

1-955

period.
oil

Crude
States

stocks,

the

United

Department of Interior

re¬

ports, increased 174,000 barrels in
the week ended Sept. 22.
Total
stocks

the

week,

claims

new

increased

Sept.

stated.
000

claims of laid-off work¬

year

That

new

3,100

185,300

week,

compares

the report
with 167,-

claims in the like week

For

ago.

the

week

ended

Sept.

15, the number of' worker's
drawing unemployment compen¬
sation dropped 52,600 to 1,020,900.
A year ago, the total was
887,200.
Consumers

mitments

without

from

the

firm

mills

com¬

are

lin¬

ing

up to fill the few remaining
added, amounted to 274,603,000' holes in steel order books, accord¬

barrels.

ing

"The

Iron

Age,"

The

ing
to

Ford Motor Co.'s decis on' the

up.

downturn,

able.
It

duction'of

industry will supply the big push
the

Other

fourth

strong

construction,
plant

quarter

users

freight

include

heavy

cars,

buildei>f-*t5il and

will

takb^all

the

gas

pipe

The

available. Some already are using
foreign plate and conversion plate
and they
wou^d take more if it

1956

ceeded

NEW

Pontiac

Incoming orders are running 10
to 20% ahead of
shipments even
though mills are carefully screen¬
ing inquiries. Backlogs are run¬
ning in excess of 17 weeks at

capacity, assuring
the

first

carryovers

the

into

YORK

With

CABOT
:

State Street Investment Corporation

BERNARD

CARTER

Chairman

Morgan & Cie
CHARLES

Incorporated

JOHN L.

CUES TON

COLLYER

^Other

municipal bonds and

bonds and

Loans and bills

notes.

....

securities..............

Accrued interest, accounts
receivable, etc..
Stock

0,068,008

4,701,776

..;

Investments in

Morgan Grenfell $ Co.
Limited, Morgan 8f- Cie. Incorporated,
and 15 Broad Street

Corporation.

Banking house......

•

Company

Liability of customers

LIABILITIES

Deposits: U. S. Govern

ment

$ 37,826,501

Official checks outstanding.

JAY

JOSEPHS

New York Life Insurance

Accounts

payable,

Company

for taxes. etc.~.

reserve

LAMONT

V ice-Chairman

and

Steel
,

.}......

Capital—300,000 shares.

Surplus,

;

-i

re-opening

G US TA V METZMAX
S.

.—.

authority
preview of tne fourth
steel market snows that
for

forms

most

will

The product which is expected
tighten the most noticeably is

-cold-rolled

were

which

carbon
used

are

steel

the

sheets,

auto

Motors.

oil country tubular goods are

steel

this

runners-up,

close
weekly

trade

notes.

Week

Any insufficiency in the supply
steel

will

stem

not

from

But
United

States

Government

the above statement
seam

public

securities

earned

$48,675,366

Continued

page

•

with 2,000,009
of

trout

streams

8,500 lakes full of perch, pike, bass, and sturgeon.
there's

-of stocks

pledged to qualify for fiduciary powers, to
as required by
aw. and for other
purposes.

are

monies

good hunting for investors,

make markets in

stocks like—

too,

any

number

find them for—
.*

;

Giddings and Lewis Machine Tool
Member Federal Reserve

System

Member Federal Deposit Insurance
Corporation

Marshall and Ilsley Bank

Kearney and Trecker

Northwestern National Insurance

Madison Gas and Electric
Marine National

Snap-On-Tools Corporation

Exchange Bank

Wisconsin Electric Power
'

Company

3.60% Cum. PH.Wisconsin Power and

THOMSON

Finance Committee

MORGAN 4-

Hartford Fire Insurance Company

Light Company,-*

CI EI INCORPORATED
Latest quotes?

14, Place Vendome, Paris, France

Just call

WHITNEY

Trading Department
JOHN S.

ZINSSER

Vice-Chairman
Merck & Co., Inc.

MORGAN GRENFELL•
8p

CO.

LIMITED

23, Great Winchester Street] London E

Merrill Lynch, Pierce,

2, England

lack

production.
Demand will keep
output of steel ingo.s at capacity

expan¬

strong. Supplies of some will be
inadequate" and production will
hug capacity marks.
'

That's Wisconsin for the roil and gun set
acres
of national forest
10,000 miles

17,458,003

General Motors Corporation

GEORGE

and

Happy Hunting Ground!

MORGAN

SLOAN, JR.

Honorary Chairman

.JAMES L.

McCOLLUM

quarter

planned growth of the steel

30,000,000

President

JUNIUS

to: lower

during the
picked
up
speed in the third, will continue
through
the fourth.
Stocks
of
components are steady in the 30r
to-60-day category.
second

WISCONSIN

30,000,000

Undivided profits

Coniinenta' Oil Company

ALFRED

trend

in¬
Stude-., dustry. Plates and structural
shapes are almost impossible to
also began, get. Hot-rolled carbon sheets and

This

started

demand

industry may be speeded up uy
the governments decision to con¬

LEFFIXG WELL

Dodge

10,262,340

Lincoln,

Production

$868,033,674
L.

that-the

which

Estimated at 101.4% of Capaci y

sider

levels.

Then metalworking

activity a week ago, accord¬
ing to "Ward's."

8,717,335

shows
stocks

American

Acceptances outstanding and letters of
credit issued

Chairman

THOMAS

and

working

quarterly
survey
of
industrial components

major

week

"Steel's"

$762,505,006

Morgan & Cie. Incorporated

DEVEREUX

•

28,152,106

are
not
hoarding
steel.
Operating under a new philoso¬
phy, they are interested in buying
only enough steel to keep their

606,616,300

Director

Division,

Plymouth

$868,033,674

All other

President
The Gillette Company

past

production is at capacity
just to supply current needs.

said that

programming—of

confirmed.

Users

Packard

periods

oil around

move

tip of Africa, there
pinch on tankers and

inventories

crisis

may affect the
decision, according
magazine.
If the United

now,

DICKEY

(ALBERT

various

Steel

makers

•such

18,718,007

the

cars

Ford

1,560,001

.....

and

Stepping
new

-/■

The

CARL J.

auto

this

product
structurals
and

•

letters

3,000,000

...

■.....

Chairman, Executive Committee

■N.

will

baker

DEUPllEE

I).

Chrysler

Soto,

October.

of. the Federal Reserve Bank1,800.000

Chairman
The Procter & Gamble Company

CHARLES

Chrysler inaugurated
production on Monday
last
and
the
others, " including
Buick, Oldsmobile and Pontiac,

380,805,583

pro¬
-

1957 model

58,080,512v

.....

purchased...

of credit and acceptances............;
RICHARD

series

believe
some

pipeline capacity.
Tightness in
plate, structurals and pipe would

Tuesday
However,

De Soto and

172,510(447

Chairman
The B. P. Goodrich

six

re¬

southern

will

1956

Suez

the

Thursday, Sept. 27.

States is forced to

con¬

were
deep in plant reconversion
projects all week long. Chevrolet,

banks$215,988,200

United States Government securities.
State and

Bcchte. Corporation

steelmen

Plates,

The

com¬

that Chevrolet, Cadillac, Mercury.

Cash on' hand and due from

The automotive publication said

195S

ASSETS

BECHTEL

President

its

;

that

government's

extra

ended

said

capacity should be,about 6,000,000
higher to prevent shortages;

operations, "W a r d's" est.mated
production
at
37,849
cars
and
13,085 trucks. The preceding
week's output was 35,652 cars and
14,170 trucks.
'

Condensed Statement of Condition
September 30

President

PAUL

plant

re¬

tons

Buick-Oldsmo-

Motors

are

some
tubing items are most fre¬
quently mentioned.
One industry
spokesman believes that our ingot

Southgate,
will turn out cars for a
days. Oldsmobile offi¬

Calif.,
few

run

week.

current

bile-Pontiac

sheet picture is

a s

said

true

ex¬

1955

books when

1956

General

quarter.

The cold-rolled

the" 1

cluded the model

"Vice-President

count

model

was

publication

classes.

in the industry to officially

pany

close its

STEPHEN D.

model

record

payments

already

•

ANDERS ON
AT KIN

will

7,130,425 units and 1950 model of
6,484,128 units.
.

offered, continues this trade
weekly. '
*
were

ALEXANDER

pro¬

cars

only by totals compiled by

all-time

tax

for defense mobilization.

industry

model

Reports." The above
figure is based on preliminary re¬
ports by the car makers.

people
plate

depreciate
in five years, not
normally allowed.

cision
that
there
are
capacity
shortages in steel products needed

con¬

Automotive

and

opening of the goals now will
probably depend ojd a capital de¬

making it
the
third
highest model run in
history,
according
to
"Ward s

equipment^sjaip" builders and

road

1956

way,

The

6,286,000 units,

surpass

market.

will

Age"

Iron

In the automotive

looks like the automotive

now

"The

would

amortization

pansion needed in wartime.

prices

Office

duced during the early part of a
facility's life. The system was de¬
signed to permit fast capacity ex¬

cludes.

DAVISON

carried

idled the past week by changeover

President

that

the

steelmakers

facilities

the

This

scrap
market eased
this week, apparently
a
definite reversal of

trend

"tax

permit
new

eel

drawn bar outlook also is unfavor¬

J. P. MORGAN & CO.

raw

$1,300,expansion had

with

$358,800,0C0.

Fast

highs.
Steel mills are
doing their best to accelerate the

national

Chairman

AR Til UR

making bars in its steel
plant the first of next year will
aggravate the
situation.
Co'd-?

INCORPORATED

was

all-time

quit

DIRECTORS

drain

estimated

worth

filed

Defense Mobilization by last week.
Two weeKs
previously, ine total

steel

again
signaling

'.t

been

are

off

duction

HENRY C.

000,009

the

Bar mills that were looking
a few weeks
a.,o s ?ddenly find their order books fill¬

cially

•

requests for

supply due to the continuing up¬
surge in the heavy product market.

stage.

bit
an¬

department report

Initial

and

last

hand,

showed,
though the total number of idle
workers
on
jobless
pay
rolls
dropped.

below

other

unemployment climbed a
week ended Sept. 22,

other

week,

production

the

23%

that

under

der

below

The output of

ago.

the

truck

picture

sheet

the increasing

for business

149

for

reasons

tightening hot-rolled bar
market is approaching the critical

belabor

survey

conditions

tney are

strong
demand from auto producers and

The

major
areas
of
the
country indicated
employment held up well during
the summer and will get better
from
now
until
Christmas, the
Department noted.
for

30%

.bi-monthly

market

expansion during the

some

week.
>

but

moderately-above that of the

changed

of this in the future.

main

Two

foreign or other
premium priced steel. There will
be

think

be disappointed later
Automotive orders have
put stainless strip in tnis same
category, declares this trade
authority.

Any expansion of activity

must be based

who

will

set

this year.

many

get.

those

that

all

line with the steel they know they
can

continued

from

That

users, particularly
construction, have made
adjustments in their schedules in

A sizable gain id employment
during the remainder of the year
wais predicted by the United States

unchanged

tighter than

even

those

industrial production for
nation-at-large in the period
ended on Wednesday of last week
Total

The national metalworking
weekly said fast tax amortization

promises. Further, the probacility

ordcm*47W*k«-Hshow.

because

Index

J
the

marl^et

the fat

Production

Business

balance of this

this magazine states.

The

Trade

Commodity Price Index
Foodj?Price

and

prevail f®r the

goals, "Steel" magazine noted
Monday of this week.

was

This situation is expected

year,

Output

Carloadings

State of Trade

Production

Steel

The

sion

left for those who are not s^lid

metalworking weekly, the current

vsjeek.

Thursday, October 4, 1956

...

Fenner

Beane

NEW YORK

PINE STREET

Offices in 107 Cities

5, N. Y.

;

Volume 184

Number 5574

...

The Commercial and Financial Chronicle

(1411)

Providing funds for farm and home loans to California Veterans

Bank of America N. T. & S. A. "' The First National City Bank

The Chase Manhattan Bank

of New York

Blyth & Co., Ins.

The First Boston Corporation

Harriman Ripley & Co.
Incorporated

Harris Trust and Savings Bank

R. H. Mouiton & CompanyAmerican Trust Company > i
San Francisco

A::C. J. Devine & Co.

Glore, Forgan & Co.
Eastman

Dillon, Union Securities & Co.
'

The First National Bank

Weeden & Co,

Merrill Lynclr, Pierce, Fenner & Beane

* Incorporated

1 ■).

Seattle-First

National;Banksi:1

Security-First National TBank

;

of Portland, Oregon

of Los Angeles

Dean Witter & Co^

Equitable Securities Corporation

Reynolds ^ Co^ ^: California Banfc^

Bache & Co.

Goldman, Sachs & Co

William R. Staats & Co.

J. Barth & Co.

Brown Brothers Harriman & Co.

Los Angeles

Branch Banking & Trust

A. G. Becker & Co.

Barr Brothers & Co.

Andrews & Wells; Inc

Company

Clark, Dodge & Co. Coffin & Burr Fidelity Union Trust Company
Newark

Incorporated

New Issue

STATE OF CALIFORNiA

5%, 3%, 2V2% and 2%%
Act

VETERANS' BONDS

of 1954,

series

E. F. Hutton &

Heller, Bruce & Co.

Hayden, Stone & Co.

Company

J
Roosevelt & Cross

B. J. Van

Shearson, Hammill & Co.

Ingen & Co. Inc,

Incorporated

Amounts, Rates, Maturities and Yields

F. S. Smithers & Co

Wm. E. Pollock & Co., Inc.

Ira Haupt & Co.

Bacon, Whipple & Co.

Prices

(Accrued interest

Yield

Coupon
Rate

Amount

be added)

Price

Due

Trust
Yield

Coupon

Due

Price t

2%%

.1968

2.65%

1969

2.70%

1,400,000

1958

2.15%

$1,900,000

$1,400,000

1959

2.30%

1,900,000

•2%

1,900,000

1970

1,400,000

1971

2.40%
.,v'i'

1961

2.45%

1,400,000

1962

2.45%

1,900,000

1972

100

1,600,000

2Vj

1963

100

; 2,100,000

1973*

2¥z

1964

100

2,100,000

1974*

1,600,000

2V-z

1965

2.55%

2.100,000

1975*

1,600,000

2Vz

1966

2.60%

1,600,000

2V>

1967

2.65%

New York Hanseatic

Republic National Bank

The Ohio Company

Corporation

if Dallas

Van

Wood, Struthers & Co

Wachovia Bank and Trust Company

Alstyne, Noel & Co.

100.

1,600,000

*Bonds maturing 1973-77, subject to

tYield

maturity.

Dated: October

call

at par,

2.80%
'

2,100,000

1976*

2.85%

2.100,000

1977*

2.85%

plus accrued interest,
'

■

and after August I, 1972,

described

...

Due:

1, 1956

William Blair & Company

First of Texas

A. G. Edwards & Sons

Corporation

2.80%

Taylor and Company^

August 1, 1958-77, incl.

at the office of the Treasurer
of the holder at the office of
duly authorized agent of the State Treasurer, including the agent of the State Treasurer in New

Robert Winthrop & Co.

Men Collins & Company

H. E. Work & Co.

Kenower, MacArthur & Co

Interstate Securities Corporation

Cruttenden & Co.

McDonald & Company

Irving Lundborg & Co.

Lawson, Levy & Williams

Stone & Youngberg

Stern, Lauer & Co.

Sfiuman, Agnew & Co.

Schaffer, Necker & Co.

below.

Principal and semi-annual interest (February 1 and August 1) payable
the State of California in Sacramento, California, or at the option

any

York City. First coupon payable February 1, 1957.
able only

whole

Coupon bonds in denomination of $1,000 registerboth principal and interest.

and after August 1, 1973 are subject to redemption at the option of the State,
August 1, 1972. (but not prior thereto) and on any interest payment date

lication of notice of

and Los

Anderson & Strudwick

City Bank

Allan Blair & Company

Blunt Ellis & Simmons

of Cleveland

Hayden, Miller & Co.

Kalman & Company, Inc.

Lyons & Shafto
Incorporated

in part, on

thereafter, at the principal amount thereof and accrued interest thereon to date of redemption. Pub¬
than 90 days

The National

Field, Richards & Co.

Bonds maturing on
as

of Seattle

100

1960

d;5
V

Memphis

National Bank of Commerce

A. M. Kidder & Co.

Gregory & Sons

2.10%

1,900,000

■

1,400,000

Rate

Amount

The First National Bank

G. H. Walker & Co.

Company of Georgia

redemption shall be

once a

week for

two

weeks not less than 30 days

Stranahan, Harris & Company

Pierce, Carrison, Wulbern, Inc.

Stubbs, Smith & Lomhardo, Inc.

nor more

prior to said date of redemption, in each of the Cities of San Francisco, Sacramento

Angeles, California. If less than all the bonds should be redeemed, they shall be called in
order, the part so called not less than all the bonds maturing in any one year.

R. D. White 8. Company

Talmage & Co.

Brush, Slocumb & Co. Inc

Fred D. Slake & Co.

inverse numerical

Ginther, Johnston & Co.

Folger, Nolan, Fleming-W. B. Hihbs & Co., Inc.

Davis, Skaggs & Co.
In the opinion
all

of counsel, interest payable by the State upon its bonds is exempt from
present Federal and Stale of California personal income taxes under
existing statutes, regulations and court decisions.
r

believe these

bonds will

meet the requirements as legal investments
for savings
funds in New York, California and certain other states and for
savings banks in Massachusetts and Connecticut and will be eligible as

banks and

Hooker&Fay The Milwaukee Company Mullaney, Wells & Company
•.

The

Northwestern National Bank
of Minneapolis

„

Charlottesville, Va.

H. V. Sattley & Co., Inc.

Rockland-Atlas National Bank

Peoples National Bank

of Boston

trust

security for deposits of public

moneys

in California.

Stern, Frank, Meyer & Fox
These bonds, issued under the Veterans' Bond Act of 1954

Seasongoon & Mayer

Scolt, Horner & Mason, Inc.

Sutro Bros. & Co.

Arthur L.

the Veterans' Bond Act of 1954

The Continental Bank ?nd Trust

of the General Fund of the Stat,e. The full faith

■(

J. C. Wheat & Co,

The First of Arizona

These bonds

The Weil, Roth &

are offered when, as and if issued and received
by us and subject to approval of legality
by the Honorable Edmund G. Brown, Attorney General of the State of California, and by
Messrs. Orrick, Dahlquist, Herrington & Sutcliffe, Attorneys, San Francisco, California.

Bosworth, Sullivan & Company, Inc.

Wright & Co., Inc.

and credit of the State of California are pledged for the punctual payment of both
principal and interest. The bonds are authorized for the purpose of assisting Cali¬
fornia war veterans to acquire farms "and homes, the cost of which must be
repaid to
the State on an amortized purchase basis.

Thornton, Mohr & Farish

(Article 5E,

Chapter 6,
Division 4, Military and Veterans Code) for Veterans purposes, in the
opinion of
counsel are general obligations of the State of California payable in accordance with
out

Stein Bros. & Boyce

Salt Lake City,

Company

Courts & Co.

Doll & Isphording

Utah

Dwinneii, Harkness & Hill

Clement A. Evans & Company

Ferris &

Company

Incorporated

Company

Irving Co.

Foster & Marshall J.B.Hanauer&Co. Wagenseller& Durst, Inc.
C. N. White & Co.

Wilson, Johnson & Fliggins
October 4,1956

(1412)

Bell <£r

Howell

Co.—Memorandum—Walston & Co., 120 Broad¬
New York 5, N. Y.
~ "

way,

Dealer-Broker Investment

Co.,

Recommendations & Literature
It is

understood
send

that

the

firms

First

15 Broad
National

Bissell

mentioned

will he pleased
following literature:

interested parties the

Stainless

Firth
67

Wall

dollar

(No. 21)—Comments

atomic

the U. S.

Ford

propulsion

program
including a tabulation
showing the companies now working on the Atomic Air¬
craft
Propulsion program.
Also available Atomic Fund's

Grand

illustrating atomic industry by means of color
photos—Atomic Development Mutual Fund, Inc., Dept. C,
1033 Thirtieth St., N.
W., Washington 7, D. C.
View—-

Monthly investment letter—Burnham
Company, 15 Broad Street, New York 5, N. Y.
.

Capital

Ohio

Her

Valley, U.

Delaware

Stroud

Company,
Philadelphia 9, Pa.

Current information

—

Fire

Casualty

Walter C.

Stocks

Insurance

Annual

York

market

4, N.

Bureau,

over

Inc.,

Raytheon
New

securities

and

Sharon

Averages, both as to
13-year period —
Front

Street,

New

Steel

Association,

Massachusetts

Grace

Co.,

Koppers

Co.,

Railroad

and

Brake

Shoe Co.—Memorandum—H. Irlcntz

Street, New

York

American Hospital
Supply Co.

the

his

sold

con¬

organization

representative.

For Carolina Sees.

Safeway Stores and Stauffer Chemical.

Public

Service

Memorandum

of Carolina Securities

Rcdpath, 729
Also available is

memorandum

Wall

office

Auchincloss,
15th Street, Northwest, Washington
—

Company—Analysis—Doolittle
Building, Buffalo 2, N. Y.

—

Street.

Mr.

Liberty

Co.,

TMT

Trailer

Uarco,

Bair

of the

Co., 45
-

■

Peabody

main

North

Caro¬

formerly

was

the

Man¬

New

Trading
York

Department

office

Byllesby and Company, Incorpor¬
ated. In the past he was an officer

;

Ferry, Inc.—6-page description—General Invest--,

Inc.—Memorandum—Kidder,

firm's

The

Raleigh,

office

Corporation,

lina.

Spencer Chem¬

appointed

Manager of the New York

Corporation—Bulletin—Arthur Schmidt & Asso¬

Montgomery Street, San Francisco 4, Calif.

Co.,

Bl^ir, Rollins & Co., Incorpo¬

rated, and prior thereto for
years

many

with Eastman, Dillon & Co.

17 Wall

Street, New York 5, N. Y.
Vapor

Co.,

Corporation

Heating

Stetson, 26
&

— Analysis — Winslow,
New York 5, N. Y.

Broadway,

Knapp, Inc.—Analysis—Blair

Co.

Westinghouse

Cohu

Heinz

Field

52
are

Oct. 4, 1956

ando American Maracaibo.

Petroleum

Woodley

Investment

Air

EVENTS

Brake—Data—Bruns, Nordeman & Co.,
Street, New York 5, N. Y. Also in the same bulletin

data

COMING

Incorporated, 44

Street, New York 5, N. Y.

Co.—Analysis—Bacon,
Wall Street, New York 5, N. Y.

(Chicago, 111.)

Investment

Whipple

Co.,

Chicago

Analysts

golf

outing

Society of
and field

day at Medinah Country Club,
Medinah, 111.

Co., 60

Continued
—

has

but will

John W; Bair has been

Stocks,

Stauffer Chemical Company—Analysis—Dean Witter &

Co., Inc.,

Corporation—Bulletin—Troster, Singer

Treasurer,

Vice-President

the firm

with

in¬

will

Paul Hardey, pre¬

Treasurer,
in

Alff

John Bair NY Mgr.

—

Mr.
and

Hammer

Mr.

Secretary.

sales

ing Corporation, 80 Wall Street, New York 5, N. Y.
Stocks

acquired

firm;

Vice-President

viously

the

terest

be
and

727

ViceLloyd

W. Hammer have

Also

Koehring

Company.

Carbon

Bank

Wall

Analysis

—

Unlisted Trading

American Telephone &
Telegraph Co.—Table of related values
—New York Hanseatic
Corporation, 120 Broadway, New York

jrom

temptation to

page

appease

inflationary

Pervasion of such

Which Way Peru?
in

sures

July and white collar workers

generally

in late June.

is, of

Oct.

4-6.

1956

Association

pressures.

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

Wis.

Trinity Place, New York 6, N. Y.

Parker

Springs, Inc.—Information—D'Avigdor
Company, 63 Wall
Street, New York 5, N. Y. Also available is information on
Saaty Fuel Injector Corp.

2,
Co.,

Manufacturing—Data—Bache & Co., 36 Wall Street,
5, N. Y. Also available are bulletins on Zenith

5, D. C

Air

Express

Secre¬

Executive
John Alff and

ical.

Securities—Douglas P. Thomas—American
v'\:

Foreign Capital—Booklet- -de Pontet

Radio

Beaver

Milwaukee

ciates, Inc., 342 Madison Avenue, New York 17, N. Y.

Street, New York 5, N. Y.

American

Street,

Jefferson (Electric

American

Gas

Southwestern

Wall
74

and

and memoranda

Webb

Aircraft

Mason

reports

are

Co., Incor¬

Clark, formerly

President;

for

Council, Larchmont, N. Y.

Utility Common

East

Co., Inc.—Report—Loewi

Amos C.
President;

becomes

tary,

York

Radio,

Today's Investor—Pamphlet containing lists

Canadian

40 Wall

Phillip J.

by officers before New
Society of Security Analysts—Phillips Petroleum Com¬
Phillips Euilding. Bartlesville, Okla.

York

Comparative figures — G. A.
Saxton & Co., Inc., 70 Pine
Street, New York 5, N. Y. Also
available in an analysis of Pubco Petroleum
Corporation.

Sudler will continue

Company,

Clark

Phillip

Phillips Petroleum Company—Remarks

income,,-growth and trading—
Harris, Upharn & Co., 14 Wall Street, New York 5, N. Y.

Public

Sudler

official changes:

tinue

Speer

Research

Inc.—Memorandum—Burnham

ager

for

selected

Profits in

225

Amos

lowing

Pocket Guide
of

Electric

Ltd.—Memorandum—Hirsch

interest

pany,

performance

Quotation

Industries,

McDermott &

cir¬

Over-the-Counter Index—Folder showing an up-to-date com¬
parison between the listed industrial stocks used in the DowJones Averages and the 35 over-the-counter industrial
stocks
and

Corpora¬

Electric Association—Annual report—New

and Rail Stocks.

National

Lehman

—

Street, New York 4, N. Y.

England

Co., 89

Also available is

in the National Quotation Bureau

Ford"

—

Avenue, Cambridge 39, Mass.

Stocks—Analysis in current "Investment Letter"—Havden,
Stone & Co., 25 Broad Street, New York
4, N. Y. Also in the
same letter is a discussion of Steel
stocks, Universal Cyclops,

yield

"Future

and

review—•

Oil

used

Broad

Company

Chicago Bank Stocks.

Co., 1529

New England Gas

Life Insurance Stocks—Circular—Wm. II.
Tegtmeyer &
South La Salle Street,
cular

Boenning

Metallurgical Resources, Inc.—Report—G. K. Shields & Co., 15
William Street, New York 5, N. Y.

Gorey Co., Russ Building, San Francisco 4, Calif.

Chicago 3, 111.

brochure

Industries,

available

Yamaichi Securities

—

Philadelphia 2, Pa.

Chemical

porated,

Co., Ltd., Ill Broadway, New York 7, N. Y.
Life,

Bank

the fol-

Report

—

Plus,

Ray

project—

portfolios.
—

Company

Inc.—Analysis—McDonald, Holman & Co., Inc.,
Pine Street, New York 5, N. Y.

Litton

"Gleanings"—Francis I. du Pont & Co., 1
Wall Street, New York
5, N. Y. Also in the same issue are a
list of shares to benefit from shorter work week and three

Japanese Stocks

National

Railroad
Analysis — Laird, Bissell & Meeds,
Broadway, New York 5, N. Y.

Lanolin

in current issue of

sample

First

Co.,

Building, has announced

Laird,

—

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

Circular

—

Company—Analysis—Abraham & Co., 120 Broad¬
New York 5, N. Y.

Imperial

A.—Copy of "Philadelphia Inquirer"
illustrated supplement on request—
Incorporated, 123 South Broad Street,

Satellite—Companies part of development

Porter

Illinois Central

Valley

York

New

Mining Co., Ltd.—Analysis—Aetna Securities
tion, 111 Broadway, New York 6, N. Y.

120

pictures—Chesapeake
Railway, 3809 Terminal Tower, Cleveland 1, Ohio.

Delaware
1956

Family—Portfolio

Iloyle

and

Losses—1956—Explanation and worksheets
—Stanley Heller & Co., 30 Pine Street, New York 5, N. Y.
&

ler

Union

way,

Gains and

Chessie

Corporate Changes
DENVER, Colo.—Amos C. Sud¬

Brothers, 1 William Street, New York 5, N. Y.

annual report

Burnham

Noyes

Company—Analysis—Granbery, Marache & Co.,

Detailed

—

Bank

Street, New York 5, N. Y.

Hemphill,

—

Street, New York 5, N. Y.

City

Walnut Street,

Navy's billion

Memorandum

—

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

Carpet

Fischer
Atomic Letter

Steel

October 4, 1956

Amos Sudler Co.

Butler's, Inc.—Bulletin—R. S. Dickson & Co., Wilder Building,
Charlotte, N. C.
Eastern

Earth

Chronicle... Thursday,

The Commercial and Financial

course,

Stock Exchange
meeting of Board of Gov¬

Firms

political

pres¬

(Detroit, Mich.)
of

ernors.

not at all con-

iined to this country,
Latin America!

or even

Oct. 8, 1956

(Philadelphia, Pa.)
Municipal Bond Club of Phila¬
delphia luncheon meeting at the

Pre-Election

Banksf Brokers, Dealers

And

from

Equally Attractive

For Capital Gain And Income

Aircraft Radio Corporation
:

•
.•
•

•

Union League.

likewise

the

indicating trouble
pre-Election motive has

been the embarkation

O'Kane Named Gov.

erated

and

vast

Of N. Y. Sec. Dealers

seemingly unjus¬

building

public

and

office.

services,

Available—-Reprint of

Recent Letter

By W. F. Cassedy, Jr., President

[surely

stimuli, from
This

TROSTER, SINGER &
y.

CO.

by the
of

Security Dealers Association

the
74

Trinity Place, New York 6, N. Y.

HAnover 2-2400

Teletypes NY 1-376-377-378

new

opposition

the

strong

for

decisive
the

DEPENDABLE MARKETS

bu¬
J

pres¬

inflationary

the wage

and
nullified.

substantiated

majority.
parties,

major

Beefsteak

highly

administration's

working

harbors

political

can

conclusion

Annual

social

seems

both

York

Party at the Antlers.

extension '

whether the

subsidy sectors,

In the face of the

doubtful

New

ex-:

service to the

reaucracy. :

sures,

Members:

the

including

of free medical

Yield 4.74% At 19.
-

the

pre-Election- expansion -of

Growing Backlog (Now $6.2 Million)
Promising Future
V

Key

1956 (New York City)
Security Traders Association of

travagant building of colossal hos¬
pitals.,
Also
t h e r & was
such

Strong Financial Position

Dealers Asso¬

meeting at

Oct. 17,

from

Long Dividend Payer (22 Years)

included

Security
annual

Biscayne Hotel.

Gov¬

Consistent Earner (In A Volatile
Industry)

These

11-13, 1956 (Miami, Fla.)

ciation

works I

by the late Odria
prior
to its exit

program
ernment

Oct.

Florida

accel¬

tified

•

Extravagance

party

leftism,

Aprismo,
agitating

particularly

continuing

John

lack

Among

potential

O'Kane, Jr.

At^a

meeting of the Board of
Governors of the New York Se¬
curity
J.
Jr.

Dealers Association, John
O'Kane, Jr., John J. O'Kane,
& Co., was elected a member

of the Board.

DEMPSEY-TEGELER & CO.

Number 5574

Volume 184

securities

The

•

first

First let

lot of fun,

every

the

ing

about
merger

organization
o r
recapital¬
ization

new

issue

you
tions

issue

new

the
bscription

police

perform

our

industry.

arbitrage.
business

via

and

Arbi-

Exchange
Exchange.

to keep the prices

corporations

issued.

Large

have

amounts

these securities have been bought

^
of

A* ky
who

convertibles,

good
i

arbitrager is also

lnupctnrc
investors

wnn

hnv

buy

same
OUT

OWH

to my

mind the most interesting, is con-

cire

pretty 'good

because

the security is outstanding and
conversion feature
lasts, one has got the potential of
taking advantage of any rise that

Hertz

Corporation,

Stainless

Eastern

Corporation,

Features of Convertibles
There are certain features of

Hilton

Steel

Engi- convertibles that I would like to

Combustion

Radio

Corporation

subordinated
are

advantages

many

One

investor.
when

them

for

price

some

scale.

This

been

into

combine the safety of a bond with
potential

years;

two

months

period.

wished

have

months I
have

has

been

This announcement is neither an

hasn't

share, or rather,

then it rises to one and a

half shares for the next five years,

stock; secondly, in weak

common

Continued

and uncertain markets, they have

offer to sell nor a solicitation

The offer is made only

last

648,696 Shares

steel, or one simple item
that, because the corporate

turing
like

bond

of an offer to. buy any of these Shares.

by the Prospectus.

truck

about manufac¬

think

the

drive

could

market,

market

the municipal bond

and the government
have

market

been

Johns-Manville Corporation

bond
of

sort

turmoil.
The

insurance

Common Stock

and

companies

the financial institutions have had

and

for

and

could

very often not what you had
sale; so it has been a very dif¬
period. We hope it's going

ficult

to stabilize

Most
much

think

people

bonds

less risky than stocks.

always

not

you

soon.

example

Just to

true.

from

where

eight

have been issued
3:30 P.M.,

Rights, evidenced bg subscription warrants, to subscribe for these shares
hu the Corporation to the holders of its Common Stock, which rights will expire at
Eastern Daylight Saving Time on October 17, 1956, as more tully set forth in the Prospectus.

are

This
give

Subscription Price $40 a Share

the

some

—

AAA bonds have been down

($5 Par Value)

»■

pick
and choose what they wanted to,
buyer's market

any¬

This is quite easy to un¬
derstand when you think of what
points.

happened in the
the

last

year

so,

10-year bond
per $1,000 bond.

basis

points on
amounts to $8.30

if interest rates

market in
because 10

money

rise

The several Underwriters may

—in

concession allowed to
theNewlork Stock
equal to the applicable New York Stock

Exchange,

whichever is greater, plus an amount
Exchange Commission.

basis

100

other

it's

little

less.

been

the

best

trade

how.

Now

thing

last

the

let's

year

Copies of the Prospectus may be obtained from only such of the
undersigned as may legally offer these Shares in compliance
with the 'securities laws of the respective States,

everybody
haven't

has found that AAA bonds

hold

to
or

get 'down

any¬

the

MORGAN STANLEY &

subject at hand.
Arbitrage Defined
'

my definition
the simultaneous

Arbitrage—at least
of

arbitrage—is

purchase

sale

and

securities:
one

and

equivalent

arbitrager

who deals with such

There
an

posed

are

lot of qualifications

arbitrager.

First, he is sup¬

expert

DILLON, DEAD & CO. INC.

THE FIRST BOSTON

CO.

CORPORATION

BLYTII & CO., INC.

SMITH, BARNEY & CO.

KUHN, LOEB & CO.
DREXEL & CO.

type of

transaction.—

for

Stock at prices not less than the Sub-

scription Price set forth above {less, in the case ot sales to dealers, the
dealers) and not more than either-the last sale or current offering price on

1% differential in yield
words, from 3.5% to
4.5%—you are out almost nine
points. If you go up to 20 years,

points,

offer shares of Common

bond,

EASTMAN DILLON, UNION SECURITIES &
HARRIMAN RIPLEY & CO.

C'0.

GLOIIE.FORGAN &

KIDDER, PEABODY & CO.

GOLDMAN, SACHS & CO.
LAZARD FRERES & CO.

Incorporated

LEHMAN BROTHERS

MERRILL LYNCH, PIERCE, FENNER

& BEANE

preferred stocks and commons, or
all

types

all

utilities

rails,

such

industrials

securities,
and

the various classifications.

*The
Annual

Stock

address by
Fcrum

Exchange,

Mr. Levy at the Sixth

France.

American

New York City.

STONE &

October 2, 1050.

WEBSTER SECURITIES

the

rising

of stock for five

much fun, actually. Some¬

times

six

tough

last
a

fixed-

Some bonds might be con¬

vertible at $50

day-to-day

going to happen.

really

six

from

know

never

cases
a

They

that

they are bought right they

appreciation

except

conversion

the

debentures

debentures.

usually convertible at

price,

These convertible bonds have a

great

First, these bonds are

straight

usually

America; Wheeling Steel, Bethlehem Steel, and many, many others
have issued this kind of security.

right route; so
we

what's

can

you

Detroit Edison' Some o£ the lar8e int° whkh the security is
New
industrial companies that issued vertible.
c0nvertibles in the last few years

the

The second category, and

supposed

when

today,

and takes place in the common stock

California Edison

Southern

and

foreign

There has been a big
in repatriation

Canadian

been

as long as the

Kcep uie piiLCb neering corporation, Scott Paper, mention:

recently

certainly do

L. Levy

Gustave

ivnH

example

uui
is unnecessary, but
uu,

markets

have it both ways. You can have

are

foreign1 bonds. Additionally, a
large number of convertible bonds
of

secu-

Other utility companies who the protection given by this type
have issued convertible bonds are of senior security, and as long as

func¬

Most

Wa^appy'

Hotels,

Another

the
the

and

Exchange,

point of view snd the money msr— vertible bonds
ket s point of view, and everybody ^thing to have,

oDri
?luf-.K axenange,
in line-

fine

•

are

New

job.

common

stock,

the

iic+0H

Stock Exchange

are a

rity. They're like the "heads I
win, tails you lose," kind of thing,
and that is primarily what their
attraction is for investors*,

the

fecurities'

the

Exchange

Stock

these agencies

vertible bonds
or

for.

secu-

so-called investment

ion, convertibles

mat-

they still have a list
of
about
a
million
telephones
waiting to be installed, and they
have
really done a tremendous
financial job in the last five years.

' the Columbia Gas & Electric,
General Telephone Company,
'which is the Ingest independent
securi
telePhone company in the world,

merger

form

the time, this

con¬

rity with

„

the

know,

the safety factor of being

American

fact,

trage-functions between the dealer

National Association of
Securities Dealers, all of whom,

sion,

re¬

emsnste

to the eeoeranhical

New York Stock
York stock

Securities and Exchange Commis¬

Stock

American

read

Exchange

Stock

York

and

paper

you

re-orffanization

corporate

tL? Jw

West

expert in steel,

rules

which

duallv listed—for example

got to

the

geographical

either involved in

First

corpo-

with

cate¬

bonds,

corporate

simplest

has got to be thoroughly conversant

morn¬

the

years

^ ha® J^en a ^antastic finan^ things are pretty uncertain, an
geographical job and th from tb used was the investorQ{ the stQck market_ Con_
the method stockholders. rect.on can't be sure of the dibest

the

simplification

knowledge of
r*-;~

some

the

Secondy convertible bonds, cind

from

ration and re-orgamzation law, he

are

addition, he has

else.
have

it's

say

there

Third,

paper

You pick

day.
up

t h i

s o m e

new

arbitrager is.

what

see

subscription rights;

cement, and what have you—
stocks, every darn thing

try to explain the work of the

arbitrager, what

let's

categorycaiegoiy.

premium above and discount V

has got to be

awful lot to

ter

First

thing I want to do is

came

gories of arbitrage are:

insight is given, in the case
American Telephone Company's bond issue, as to how a
trading market is maintained by arbitragers.

there is

out

Now

particularly now, bonds are not always less risky than stocks;
insurance companies and financial institutions have had a buy¬
er's market; and that in today's market, convertible bonds
should be attractive to investors. Examples are provided of
a

been

since

Categories of Arbitrage

explains the

and

recent

demand for telephones. As

performed in the corporate bond market. Mr. Levy points out,

selling at

You all know that

vertible bonds.

learn.

geographic locations; and describes the important functions

below conversion price,

money

Telephone Company issued some- vaiue, and therefore this kind of
thing over $3 billion of con- a bond has got a floor, a bottom,
vertible bonds in this market, beyond which it cannot fall, but
They did this to finance the huge it has got no ceiling, In my opin-

arbitraging of convertible bonds, bonds involved in corporate
re-organization, and'bonds listed simultaneously in different

convertible bonds

the

;

find

defines arbitrage;

arbitrager

doing this kind of
up from New
Orleans, when I was a kid 17 or 18
years old.
After 29 years, I still

Partner, Goldman, Sachs\& Company, New York City

Skilled

expert

have

work

GUSTAVE L. LEVY*

market.

Corporate Bond Market
And an Arbitrager's Work

(1413)

The Commercial and Financial Chronicle

...

CORPORATION

WHITE, WELD & CO.

page

(1414)

The Commercial and Financial

Now for

Presaging the Business Outlook

possibly
Siori;
A

For the Next Five Years
and Director of Economics
Department
McGraw-Hill Publishing Co., Inc.

Well

known

McGraw-Hill

high level

the

investment

and intermediate

near

election results,
and better

new

output

Mr. Keezer anticipates:

intensive auto and other

competition;
backbone

•

high

steady level of prosperity in the years
immediately ahead; and looks to advertising, regular auto¬
matic wage increases, governmental
expenditures, consumer

spending-willingness, and
to

have
to

easy
to

found

that business is

see

continue to go along at

high level

over

However, I
in

going

thing

danger

ulative
-with

level

advance all of the other revisions

with

the

Dexitr

which

ivi.

surely

fweezer

counted

time

comes.

surveys

eco¬

Ind'l

take

tually
•An

projections,
no

address

long, 10

/American

wish,

1957

1958

19G0

$432

$437

$465

ever

147

148

156

162

3.2

2.9

-2.9

47-49=100

check up.

Statistical

sell,

The

119.

need

120.5

check

off

against the reality
rives and marvel.

circumstances

118.

be construed

122.5

you
them

ar¬

by continuing

hig^

investment

Too

these

Much

One of the less

develop¬

Investment

cheering of them

ing

investment

of about $36 bil¬
plant and equipment
is required
simply to overcome
the ravages of wear and
tear, old

lion

new

age and obsolescence.

heavy

investment
will

purpose

along.

The

Comparably

for

same

required

the

right

Russians,

having

such burden of industrial

make

can

dollar,

upkeep,

ruble, go
increasing indus¬
than we can. This
or

capacity

one
of
the key facts in our
struggle with the U.S.S.R. for in¬
dustrial primacy. We can
ignore
it only at our
peril.

also

are

vestment

required

For
example,
the
American
Petroleum Institute has
estimated
that the investment to
produce a
barrel of oil in the United
States
increased 115% between 1944 and
1953.
It is still
going up and

and

ning at

iron

ore, copper and

Price $20.25 v

be obtained from

any

of the several

CO.

can

Greater

capital

funas,

outlook

also

relatively

re¬

and

which

greatly

promise

is,

that

course,
the
of research

program

out

annual
McGraw-Hill
survey
of
Business Plans disclosed that this
year American industry is
spend¬

financed

ernment),

the

and

Federal

has

plans

this

tremendous

flow

invest¬

development

two

flood

create

the

new

products
demand

own

equipment with which

produce

them.

flood of
esses

The

other

to
a

improved proc¬
equipment.
When

and

with

competition,

eventuate

not

profess

they

phasis

know

today,

research

and

develop¬

emphasis which results
expenditure at least 30 times
an

greater

we have
only a slow-burning price
inflation—I would call 1 to

year

long

than

the side

was

the

new

-securities

markets

Right now we are confronted
by the worrisome fact that both
them

creasing

capital investment

ing

facilities
finance it.
Future
There
available

for

required.
of

however, a remedy
this difficulty if it

It is

52%

cut

all

the tax

corporate

in¬

our

office

have

been

over

hand¬

estimates

for

new

their

producing

facilities running beyond the cur¬
rent year.
This year about 90%
of the companies
sharing in our
a

far

nine

larger number
was

years

estimates

Corporate Tax Policy

is,

invest¬

cooperating companies

give

capacity to

capital

started not

expenditures

the

anu

having

making surveys of plans for busi¬

could

development

continue it would
put a
crimp both in the incentive to in¬
crease investment in new
produc¬

decade.

the

de¬

end

ing surplus in the Federal Treas¬
ury provides the capacity to make

McGraw-Hill

tne

comes

has

have

need

last

retained

If that

year.

Survey Results

been provided
by the
sweeping expansion of long-range
planning of business investment

the

substantially since

last

expansion.

by business, we now have
new
institutional equipment in¬
vestment
expanding at a rela¬
tively steady rate.
This
equip¬
ment

wnicn

were

20's.

ment

covered

ago—could
the

invest¬

Also this year, nearly a third of
the cooperating

companies

cated

earnings

the

addition

When

way

the .rest of the dis¬
tance look quite feasible.

largely transforms

Investment

ful

slow-^burning—they

will go
towara providing the
needed
investment
funds.
The
added drafts on retained

xate

could, of course,
rapidly by price in¬
if, as 1 anticipate,

But

clined

economy

At any rate, it
the outlook for

reserves

eaten

corporate profits and the share of

but I
it is the tremendous em¬

suspect

will

billion

greatly
in¬
capital invest¬

what
is the most dramatic
aspect of the

American

ment,

about $20

I,.

creased demand for
ment.

—on

These
be

needed

and

new

coupled
also

their

They

1958.

flation.

consequences of major
importance for capital investment.

in¬

bil¬

From

years

ahead.
of

total

Gov¬

ment in research and

for

preciation reserves will amount to
about $16 billion. Tnis will
cover
half of their investment
this year
in new
producing facilities. And
these depreciation
reserves
will
continue to increase in the
reach

its expenditure to
$6.3
in 1959.

crease

lion

by American corporations for de¬

immeuiately

research

40%

Now

This year the reserves
set aside

development being carried
by American industry.
Our

Reserves

$16 Billion

plant and equipment
running three years ahead.

that their

vestment would

the

assuring.

Investment

ment in. new

past

sources

find

the

it.

tremendous

give

re¬

prospective

abso¬

■

development
strengthens

survey

ex¬

rather crucial
part oi' tne process.
But when it comes to

equip¬

and

Depreciation

thus

capacity,
They are

comes

the

decade

need

the

put

indi¬

peak year of

in¬

come one or more

above $25,000.

The mount¬

cut in the corporate income tax.

assuming that it will be used

cally

that tne

and

necessary,

beguiling

but

politi¬

economically

subversive

argument that tax re¬
lief should go
exclusively to indi¬
viduals will be ignored.
If this

assumption

elements

the

key

steadily

expanding

business

correct

all

assure

volume

investment

aucing facilities

think

to
in

new

of
pro-

in place.
on this
prospect at
some length for two
reasons. One
is that I am able to
give you what
are

I have dwelt

I think is
important news about
it, at least for some of you. The

other

reason

capital
most

that

investment
unstable

historically

has

been

element

economy.' It has been the
bronco.
If we can tame

believe

are

the

doing,

our

bucking
it,

shall

have greatly improved the chances
of

keeping the

even

course,
not

economy
keel.

generally

don't need to be

reminded, of
that capital investment is

carried

out

comfortably

matter

hence

about

must be
_

this

structive

very

of
we

the

million

are

A rather

increased

tion
few

capita a
nation's total
per

divided
more

p o r

a n c e

for

the

impressive demonstra¬

this

fact

was

provided

months ago when the

decline
an

outlook in the

chronically nervous
purlieus of New York City. As a

over

same

result,
,

tions

lot of industrial corpora-

were

Consumer Purchase Trend

attack of jitters about the business

people—

period the prospect is
that the man-hours to
provide the

in automobile sales touched off

among

17%. But

American economy.

in¬

than the present

production

production—to

Incorporated

1956

to have

CO.

air

require¬

ments.

level

DOOLITTLE &

skip a lot
termediate calculations—if

BLAIR

investment

capital

relatively

I
realize, of course, taat having
plans for investment aoes
not, ol
itself, get tne investment made.
Getting the necessary funds is a

saying that

our

petier

invest¬ -cf
companies than
far the

mentioned

succinctly—and

CO.

INC.

way of
up

in¬

with

—producing
isolated compartment of our econ¬
years hence.
In fact, almost 10%
acquiring of them said
more
of it and better
they would not hit omy. Over any considerable pe¬
producing .their
riod of time it must be
peak
of investment
until
geared to
capacity is strikingly underlined
what consumers are
1959.
doing by way
by taking a look at our
Nothing like this has ever,
prospec¬
tive manpower resources
happened before. It constitutes a of purchasing new products turned
and our
development of superlative con¬ out by the producing facilities.
prospect of production

Incorporated

FARRELL,

spent

our

simply to overcome
or deterioration. -

When

sell securities in
your state.

LOEWI

business

adding

capacity,

Price $11.00

may

Investment to Overcome Labor
Scarcity

($1 Par Value)

underwriters licensed

anu

survey—and

incidentally.

quired

Common Stock

Copies of the Prospectus

will

clean

T have

damage

and

types

not

cept

•

35,000

must

'Many

water.

ment
are

run¬

estimated that in¬
spend about $3/4 bil¬

industry

The

($20 Par Value)

lion for this
purpose.

billions

na¬

ness investment in new
producing
combat" facilities for
the past nine years.

pollution

high and increasing rate.

dustry will

and

investment

water

This year it

Convertible Preferred Stock

our

On the cheerful
side, there is

secure

adequate supplies of some of our
most
basic
industrial materials.

made

In Research

by the
heavy in¬

Business

Series A, $1.20 Cumulative Dividend

decade

out¬

have

confronted

increasingly

that

terms, was t-.at they
not; that they were working
long-range investment pro¬
grams which would not be
upset
by jiggles,
even
by substantial
jiggles, on the business curve.
on

only 9%
do it. This is

step

both

uncertain

were

must

simply another
new

swer

age

35%,

must

output

man-hours

v/hich

is reflected in the fact that
almost
half of this year's record-break¬

air

15,000 Shares

past

total

moie

bad

sulphur.

HYDRAULICS & MACHINERY, INC.

October 2,

some

materials

RACINE

in¬

too, is the investment per unit re¬
quired to get such key industrial

New Issue

BELL

been

about one-half.
this pair of facts,

so,

a solicitation of an
offer to buy, these securities.
offering is made only by the Prospectus.

—

the

tion's

One

Not

fact

Having recorded them, all
will

Association, Detroit,

This advertisement is under

116.3

has

only

business

detail

Prices

vir¬

vol¬

$495

142

2.7

been

our

controlling

trial

1959

$410

2.7

our

much further in

Pro.

millions

1956.

you

Unemployment

by Mr. Keezer before the

Ltpt. 10,

offer

billions

47-49=100

and

which

will

one

war

developments which promise to
keep business investment in new
producing facilities rising and at
a
relatively steady rate. I propose

Consumer

comfortable ride
iear

smooth

Now,

1956

nomic plans and expectations. And
it does not take me far
enough to
me

make

you may record them.

made available to short range

permit

upon

can

way. Hence my figures
(see accompanying table) will re¬
quire
no
adjustment when the

concern

forecasters

Department

along the

myself, the out¬
look is necessarily more obscure.
It takes me out beyond the time
when I can have the great help
joow

Commerce

during

the

clouded business outlook. The an¬
which came back, and in no

our

faster

increase in
we

cutting
back
their
investment
plans in the light cf trie more

explan¬

decade

capita

find

you

As worries go, this is not
But it overlooks

Also I have made in

the

equal the

per

creased

You observe

ments.

calculating it in constant prices

there will be.

run,

agreed to

de¬
pre¬

for all years. I have taken account
of the exact amount of inflation

in¬

over

longer

dodge

follow.

But

the

growing

are
sinking ourselves under an
insupportable load of producing ing about $5.5 billion for
and development
capacity.
(about

In giving you the Gross Nation¬

spree

the

production

you fear that

al Product for the next five
years,
I have not resorted to the
of

by
Reflecting

the

spec¬

some

than doubled while

ume

GNP In Next Five Years

evitably paintill
hangover
to

realize that

one.

put

ment,

year.

creased

the

that

dizzy,

some

all-time,' record-

during
to

are

Rewards

econ¬

velopments underlying these
cise projections.

shall have

move

by only

the

the fact that-

lutely.

the next five

over

Then I shall

consideration

any¬

run

•would

years.

rry

over

short

will have

omy

fact,
if I
■were disposed
about

detail,

will

manufacturing capacity has
,

prepared to give
some crucial di¬

mensions that the American

very

the months ahead.

to.

exact

this

that since the end of the

reduction,
inventories, short-run

increasingly

this hard to believe.

flexible labor force changes, and defense
spending.
I

facilities

emergency device of tax
unstable forces as

such

overcome

investment

extremes, outsiae of
limits of the work force.

our

50's.

has

increase

the

And, with only a
minor lapse here and
there, it will
keep going up right through the

goods

continue

producing

will

9%.

population

expan¬

durable

consumer

investment

equipment

backoone

Business'

breaking

"slow-burning"

high,

business

Much

man-

inflation; relatively steady consumption and investment
more

new

will

substantially higher in 1957 than

between 35% total

gap

coming decade and only 9%

hours to do it with.

sion;

ahead.

capita

per

and

the

rising

quite steady level of prosper¬
in
the
years
immediately

ity

lapses for

equal

we are

plant

and

future, affected relatively little by

capital equipment, if

output increase in

(

and prescribes increased investment rise in

of past decade, to fill the

pace

minor

generally

long-sustained period of postwar
prosperity.
It
will
continue
to
provide the backbone of a high

tenders

economist

business outlook with

and

business

provided

Vice-President

production
about

ation is found

new

less precise, but
dependable diSCUS-

some

high

level

By DEXTER MERKIAM KEEZER

cheerful

Chronicle... Thursday, October
4, 1956

asked

they

were

the

side

consumption,

however, I also find

the

outlook

generally reassuring. We have a
rapidly increasing population. In
many

aspects,

highways

including jammed
and

streams, this is
the

day

may

jammed

joy to

come,

Continued

and
on

trout

me;

and

perhaps

page 58

Volume 184

Number 5574

The Commercial and Financial Chronicle

...

(1415)

W.G. MacDonald Willi

Washington
Ahead of the News

Chapman in Boston
,

appointment
of a Democrat to the Supreme
Court may be taken as very high
minded, in line with his wanting
to
keep
the

licans that
soft

BOSTON,

they

dists would appear

Club,

nonpartisan

with

basis

something like this:

and

elevate

worthy
the

"You

who

help him

pendent

should

by
he

of
Carlisle

Demo¬

Bargeroa

enough

how

people

"Apathetic"

right

the

them

vote

for

All

too

"trying

at¬

many

But

outdo

their mood

deliberately

hardly

the

don't want to

They

Stevenson

now

That's

their

concerned

are not

not satisfied with Eisen¬

for

Deal."

New

mind
country.
isn't
the

responsible people.

are

hower

this

describe

they

issues.

are

they

mer

Company,
Upper Street

North

151-153

vote.

not

apathy.

It's

de¬

termination.

but

Mr.

that
issue

better

they

foreign

policy

But the issue is diluted

ther fact that
been

last
a

Eisenhower

has

pulled into Federal aid

for schools.

The Democrats at the

session

Congress

wanted

bill to give this aid on the basis

of population. Eisenhower insisted
that the aid be
given on a prr

capita

need.basis.

ference

from

The

tfne

only

dif¬

method.

Republicans

making

charge is

seem

headway against the

some

Democrats

party. This
being made at the

not

war

high level but candidates for the
Senate
in

House

and

various

making

are

They've got the
protesting all around
country that they are not a
ways.

Democrats

\the

party,

war

that

the

that

three

wars

have had under Democrat

Administrations

were

"American"

wars<j

One charge that can be made to

stick, however, is that there is not
the slightest auestion that early
in 1950 at the National Press
Dean

Acheson,

Truman's

Club,

Secre¬

tary of Statq^in effect, invited the
Communists

Korea.

take

this

over

South

announcement

policy to the world, he said Korea
not within this

was

fense

perimeter."

the

advantage

tion

To be

South
his

when

Koreans
without
Air

Nations

He did
to

(both

that

(Accrued interest

my
man

not

this

therefore

made

Americans

subject to dispute.

opinion that the
acted

Co.,

Approximately; 51%

surplus.

and

Duke's

reason

Democrats

be added)

3.70%

1959

3.80%

1958

3.75

1960-71

3.85

Issuance and sale

The

of these Certificates are subject to authorization by the Interstate Commerce Commission.
(Jffering Circular may be obtained in any State in which this announcement is circulated from only
of the undersigned and other dealers as may lawfully offer these securities in such State.

such

capitalization consisted
stock

common

100

and

surplus—

average

company

was

HALSEY, STUART &. CO. INC.

While

Duke's

capital

structure

DICK

MERLE-SMITH

R. W. PRESSPRICH

L. F. ROTHSCHILD & CO.

CO.

attractively conservative, its
operating policies are as progres¬
sive as any in its field.
For ex¬
ample, it is believed that only
two utilities in the country added
more
steam
generating capacity
over
the
last
10
years
during
which

time

steam

increased

Duke

its

BAXTER, WILLIAMS &, CO.
McMASTER

&, COMPANY

FREEMAN

HUTCHINSON

CO.

GREGORY &, SONS

WM. E. POLLOCK

CO., INC.

SHEARSON, HAMMILL & CO.
October 3,

1956.

generating capacity to the
that

point

1955

electrical

generated.

90% of
steam

over

energy

was

Duke

year

will

place in operation the first section
of

its

huge

Allen

largest

the

States

and

which,

plant

when_ completed,

will

capable

$9,000,000

tie

Atlantic

South

(First installment of

generating

issue aggregating $21,000,000)

1,000,000 kilowatts.
Despite

excellent

its

potential,

Chesapeake and Ohio Railway

Duke common is now available at

15.1 times its most recent 12

only

Third

months' earnings ($1.83 prr share).
At its present price ($28.25) it is
priced to yield a comfortable 4.5%,

assuming
cent

repetition

the

re¬

37/s% Serial

practice of paying

a year-end
equivalent to the quarterly
or 25d per share.
Txiis in¬

extra

rate,

dicated
share

dividend
is

$1.25

since 1926.

listed

......

mature

To be guaranteed unconditionally as to payment of par
The

the

its

AND

YIELDS

1957

3.70%

1959

3.80%

3.75

1960

3.85

1961-71

3.875%

percentage increase of

stockholders
that

•

value and dividends by endorsement by

1958

grow¬

utility equity is the fact that

1955

Chesapeake and Ohio Railway Company

MATURITIES

actively in the Over-the-Counter
Indicative

•

American

Stock Exchange but is also traded
markets.

$600,000 annually October 23, 1957 to 1971, inclusive

Duke com¬

the

■

paid

been

Equipment Trust Certificates
(Philadelphia Plan)

per

covered

has

Cash

every year

well

very

earnings.

Equipment Trust of 1956

any

other

than

doubled

electric

utility

Issuance and sale
The

in the country.

of these Certificates are subject to authorization by the Interstate Commerce Commission.
Offering Circular may be obtained in any State in which this announcement is circulated from only
such of the undersigned and other dealers as may lawfully offer these securities in such State.

Joins King Merritt

HALSEY, STUART «Sc CO. INC.

(Special to The Financial Chronicle)

CHARLOTTE, N. C.—Walter E.
Love,

Sr.

now

connected

with

DICK

R. W. PRESSPRICH

MERLE-SMITH

FREEMAN &, COMPANY

WM. E. POLLOCK &.

King Merritt & Co., Inc.

this is very clear.

It is

With FIF Management

Tru¬

(Special to The Financial Chronicle)

impulsively is that
were
taking an
awful pounding from the Repub¬
the

Railroad

1957

revenues

MIAMI, Fla.—Gaston R. Dasautels

has

of FIF

been

added

the

staff

Management Corporation.

THE

ILLINOIS COMPANY

&, CO.

BAXTER, WILLIAMS &. CO.

CO., INC.

SHEARSON, HAMMILL & CO.

McMASTER

HUTCHINSON

&, CO.

INCORPORATED

F. S. YANTIS

MULLANEY, WELLS &, COMPANY

&. CO.

INCORPORATED

September 27, 1956

the

Stock

James

only two

with

of Duke)
had a greater percentage qf their
capitalization
in
common
stock

Congress.

did most of the fighting.

—

one-quarter those

only

became
enough. The

although

The record

Sandeen*

$310,000 annually October 1, 1957 to 1971, inclusive

common

revealed

immediately

not

war,

into

reversing

of State, ordered
give
the
South

air support.

support

United
a

moved

Truman,

reference

apparent

'investment

111.

guaranteed unconditionally as to payment of principal and dividends by endorsement
by Seaboard Air Line Railroad Company.

electric utility capital

100

South

Pence has become associated with

Building.

examina¬

companies

lent

they

Korea,

Secretary

MacArthur

own

ROCKFORD,

High

formerly

MATURITIES AND YIELDS

its

recent

Joins S. A. Sandeen

(Philadelphia Plan)
mature

ing market interest in this excel¬

waiting for?"

Then

Midwest

Equipment Trust Certificates

page

structures

mon

country?s "de¬
Naturally, the

Communists who had been sitting
in North Korea asked "What are
we

and

Equipment Trust, Series Q

war.

Security

stockholders.

its

The

120

members

their

none

I Like Best

than

Stevenson's Federal aid to s6hools

York

staff

Inc.,

(Special to The Financial Chronicle)

with

Seaboard Air Line

36%.

also

the

$4,650,000

The

the

program.

Inc.," Mile

Cranmer

his

conducted

3%%
Continued

example,

have

Co.,

associated

business in Denver.

for

Acheson's

blundering has yet led to

think,
could

become

Center.

this

not

in effect,, did?
on

Some Republican Senators run¬
ning for reelection'in the Midwest

for

has

Walston

■:?.

Co.,

Street,

Hayes have

(Special to The Financial Chronicle)

Kentucky Co.

Kenneth

—

Exchanges.

Cranmer With Walston

they| don't vote it won't

be because
in

year's cam¬
be surprised

probably
to

word

New

LEXINGTON, Ky. — Guy A.
Huguelet, Jr. is with The Ken¬

Salle

111.

Hugh P.

added

Becker

DENVER, Colo.—Chappel Cran¬

Re¬

into around the

runs

titude.

this

inclined

are

would

many

one

You

and

doubt the Republicans have

blundered

help with a large
Republicans who feel

been

publican and who

paign.

was

Inc.

With

Inc.,

formerly with Wayne Jewell Co.

Nelson
been

invite them

take South Korea

occasions

apathetic

trader for

years

Securities,
Street.

CHICAGO,

the

into

speak,

But why

say.

But it doesn't

group
of
he hasn't

many

Rutter,

Skyline

Nineteenth

added

Communists

called

been

state ment,

crats.

have

Republicans
and

Mr. MacDonald

tucky

whether the

instance,

think

terms

Truman

got

doesn't

619

Edwin

—

been

Korea."

with the inde-

voters

.it's

funny about
being dubbed
soft on
Communism.
Why, he's the one

lower

showing

engage in conversa¬
the r newspapermen,

know

Colo.

has

(Special to The Financial Chronicle)

Acheson

It may

courts.

also

man

William

staff

propagan¬

in the National

Press
tion

court

—

DENVER,
Poinier

formerly with Clayton Securities
Corporation. In the past he was
for

Acheson's

taken,

was

pro-Commy

were

fact that after the action

Mass.

State Street.

Communism.

It is

(Special to The Financial Chronicle)

MacDonald has become associated
with
Chapman & Co., Inc., 84

By CARLISLE BARGERON

Eisenhower's

A. G. Becker Adds

(Special to TUls Financial Chronicle)

From

Mr.

With Skyline Securities

Talcotfc

The

(1416)

What to Watch

Concerning Credit
And Federal Reserve Policy
By C. CANBY BALDERSTON*

Reserve

that

System

informed and maintaining an
and

high quality

inflation.

out

capitalism

goal of providing abundance for all in
It

what

busi¬

quite customary for
to

attempt to
discern
future holds both with

nessmen

the

respect

physical

business

_tivity

a c

.and

changes

income

and

also

tivity.

their

how

been

wonder

pansion
will

fected

has

rise

the

been

houses

produc¬

joint

re¬

change, growth of
and the skills and

capital,

management

Since

turn

the

and

national credit

workers.

policy. Instead
of giving, you
more
prophe¬
sies, since you
are
constantly

American manufac¬
turing worker has turned out over
twice the goods in one-third less
time, and his productiveness may
be described as rising about two
century,

Canby Balderston

bombarded
with

predic¬
will reverse the
suggest what factors

tions,
and
be

The

watched

fluence
The

that

central

are

bank

observations

three

process

should

likely to in¬
policy.

will

fall

into

categories:

productio
prices;

distribution

and

Those that have to do

(2)

with

worker

per

distribution
have

assets

in¬

enabled

families

our

living that—5not so many years
ago—only the then wealthy could
Both the top

middle

and the large
groups
use
sub¬

income

stantially the same foods, televi¬
sion
sets, household appliances,
Manual workers

and automobiles.

the quantitative aspects of money

enjoy

comforts

and

kings.

In the less material" sphere,

credit;
Those that have to do wAVa

(3)
the

quality of credit and of busi¬

blurred.
come

keep

abreast

.the

non¬

all.

monetary changes in the economy,

the

Higher education has be¬

least six

should

watch

These

measures.

are:

(2)

Industrial

Sales

facturing

Production.

for both

data

retail

and

accessible

Upper and lower groups read
same

■

newspapers,

movies,

establish¬

ments.

level s:—manufacturing,
wholesale, and retail.
|

Fund

each

three

(4)

Price and wage indices.
(5) Employment and unemploy¬

ment.

this

in¬

that

observe

"of

all

the

(6)

Gross national product and

personal income.

income

them

Turning

ily basis.

of visual¬

means

data

capita,

express

fam¬
The Office of Business
per

Economics

the

or.per

Department

Commerce estimates that last year
the average (mean) personal in¬
come

family

$5,520, of
which
income
taxes
took
$540,
leaving disposable income of $4,980.
Incomes and spending have
per

continued

rently,
7%

was1

rise

total

this

Cur¬

year.

personal

income

above

the
average
for last
and family income is up by

year

almost

this

percentage.
significantly from last
total
and

consumer

services
and

amount

Also
year

up
are

spending for goods
also

and

rate

the

American

million
these

♦The

fore

the

and

the

4th

All

commodities
eral
in

sets.

by Mr.
Marketing

Much

industries,

many

data

together

stocks

other

Conference

1956.

come

by in

Board,

done

however,
on

shows

so-called

Money

re¬

from

the

and

Federal

ex¬

commercial

that

borrowed

amount

aggre¬

them

Banks.

Reserve

During

periods of the business
cycle when demands for credit are
relatively low and the Federal Re¬
serve is making an effort to stimu¬
business

late

adding

recovery

to bank reserves and

easing credit,
this figure will be a' positive one.
During times of boom when the
Federal

Reserve

restrain

necessary

feels

System

speculative

exuberance and excessive loan de¬

and

are

measures

has

Credit

But

supply,

fundamental

well

mentioned

intimate

being,

to
are

credit

acquain¬
and

though
his

the

equally

activities

and

perhaps less tan¬

gible and familiar.
*

will,
be„

i.e.,

one,

net

the

Federal

Banks.

serve

figure

this

last

price

is,

must

borrows.

interest

pav

money

rate

addition he

market

the

businessman
directly con¬

most

the

with

watch

the

money,

himself

the

case

reserves.

course,

cerned

Re¬

appropriately be called

may

borrowed

may

quotations

well
both.

and short-term securi¬
ties, since from those he may be
long-term
able

discern

tightening

trends

easing

availability of funds. Of
ticular
significance in this

charged

discount

the

are

for

acquisi¬

asset.

Thus

borrow merely to
provide
pleasure,
such
as
for
foreign travel. For loans of this
type, quality necessarily depends
consumers

may

the

character of

the

his

income, and

his

and

financial

Secretary

vestment

Co.,

i^ate

usually

Reserve

another

that

note

automobile

down

and

months

Assistant

retary

ciated

pays

rent

means

believes

somebody else's

have already changed suf¬

money,

ficiently

justify

one

the

are

this

Perhaps

their

bank

last

borrow
resort.

change in the discount rate
also signal that the Federal
is

serve

may

Re¬

attempting to stimulate
to keep it within sus¬

business

speaks through actions. It guards
against too many pronouncements
and

words

economical

lest they

its

use

be misunderstood

and

misinterpreted. Discount rate
changes represent one of the few
monetary indicators that reach the
front pages.

Quality of Credit and of Business
Decisions

ponder

from

indicators

carefulness
lenders and

time

that

road"

that

move

fast

and

essen¬

tial balance that is

frequently lost
sight of is that between equity and
When equjty becomes thin¬
ner, as happens when down pay¬
are

periods

makes

most

possible.
the

neither

fundamental

What is needed is

excessive

inhibits

that

and

most

weakened.

fundamental

the

repay.

test

The

quality

ability of the borrower to
In the case of a loan to a

business, this test is met by
sideration of the
is

put

use

and

use

population
and

short

resources

both

for

goods

goal

the

short,

decisions

additional

of the loan is pro¬
ductive and promises to be profit¬
may

credit-worthy. In the

native

Ohio,

Business

and

the

University
School.
Prior

Law

joining the Commonwealth orga¬

nization,

was

practicing at¬

torney.

With King Merritt
(Special to The'Financial Chronicle)

DENVER, Colo.—James L. Doty
is

with

Co., Inc.,

King Merritt &

Seventeenth Street.

817

•

be said to
case

Floy Johnston With
Peters, Writer, Christensen
(Special to The Financial Chronicle)

DENVER, Colo.—Floy F. Johns¬
ton
has become associated
with

Peters, Writer & Christensen, Inc.,
Seventeenth

724

formerly
ment

are

marked

discretion

common

of tljis year

ifuation

Management

thereto

prior

and

REPORT

with

was

& Co.

CONDITION

THE

CORPO^

and

year

and

the

120

the

TRUST1

New York, at
September 26, 1956,

New York,

Broadway,

of business on

accordance^ with a call made
the Superintendent of Banks pursuant

the

published

the

beyond.

year

was

invest¬

sense,

will color the business

the

department
for
Corpora¬

advisory

Hamilton

tion

Street. ' He

manager

economic

hardunaffected
by speculative fever and thought¬
less competitive rivalry. The busi¬
ness
and governmental decisions
headed

the

provisions

State

Banking

Law

York.

New

ASSETS

Mr.

the

Eugene Meyer, who has

past

headed

Board

the
the

and

Federal
Recon¬

struction Finance Corporation, and
now

the "Washington

Post-Times"

Herald, observed over a third of
a
century ago, "Over-expansion
inevitably and alwavs, is charac¬
terized by over-confidence and its
impelling power is found in cu¬
pidity.
If one could plot the
curves of optimism and pessimism
as
exactly as one can plot the
curves
of prices and the volume
of
production and consumption,
one would find that they fall con¬
siderably behind the material con¬
ditions.
Only the few anticipate
events; the many stop, look and
listen after the event is past."

balances

Cash,

banks

with

trust

and

other
compa-'

nies, including reserve bal¬

and

ances,

process

items

cash

$2,032,310.46

collectionGovernment

States

United

and

direct

obligations,

guaranteed

431.287.72
60,000.00

—-

Corporate

stocks...

Furniture

and

Other

assets

577,744.94

—.

ASSETS

TOTAL

452,566.58

fixtures-—_

83,553,909.70

—

...

LIABILITIES
Demand

deposits

viduals,

Copley & Co.
-

Other

liabilities

the

pany,

staff

Copley and Com¬

CAPITAL

hoff
of

has

been

added

Coughlin and Company, Secu¬

rity Building.

$1,341,103.38

(Special to The Financial Chronicle)

$3,553,909.70

capital consists of

total

value

par

common

$500,000.00.

MEMORANDA

purposes

Securities
are

assigned to

liabilities

secure

other

after

CHARLES
the

best

„

S105,287.12
above

deduction

above

re¬

134.16

above-named

that

for

and
;

shown

of—_

serves

Colo.—Louis B.
Weissman has joined the staff of
Lackner
&
Co.,
First National
Bank Building. Mr. Weissman was
previously with Shaiman & Co.

AND

ACCOUNTS—

bank's

with

stock

AC¬

COUNTS

the

Joins Lackner Staff

516,103.38

CAPITAL

Assets pledged

the staff

500,000.00
325,000.00

profits

CAPITAL

(Special to The Financial Chronicle)

ACCOUNTS

TOTAL LIABILITIES

tThis

DENVER, Colo.—Joseph M. Im-

$2,212,806.32

—r-_

fund,_

TOTAL

Burns Building.

Coughlin Adds to Staff

1,900,791.48

LIABILITIES——

TOTAL

Chester A. Stewart has been added
to

$312,014.84

DEPOSITS— $312,014.84

Undivided

COLORADO SPRINGS, Colo

indi¬
and

TOTAL

Capital t

With

partnerships,

corporations

Surplus

the

product and profit that will result.

able, then the loan

Fulk,

Mr.

graduate of Stanford University,
the Stanford Graduate School of

Sidlo, Simons, Roberts

jobs.

prudence,

a con¬

to which

the

Executive Vice-Pres¬

upon

for in¬
creasing productive capacity and
for increasing the consumption of
goods and services must be kept
in balance.
In the long run, the
important consideration is to fos¬
ter the highest sustainable level
of economic growth so that pro¬
ductive
capacity
may
keep up
with the needs of an expanding
the

run,

stretched, the quality

credit

who

conserva¬

adventure

growth nor actions based
mere
speculation.
In
the

lowered and repayment

are,

continues

Robert

Cody,

ident.

daring, between liquidity and
expansion
that
borrowing

the

W. Fulk

George

Michigan
the

Mr.

succeeds

time

a^id prudence of both
An

the

traffic

a s-

Fulk

nice balance between pro¬
duction and risk,, between caution

reflect* the

borrowers.

What

preservation of bal¬
proportion. The ecdhomy

and

ance

Turning now to the qualitative
side of credit, businessmen may
well

is:

of them is the

needs

Reserve

from

of the

new

signment,

indicate

year.

h i
£

safely?

should

they

aware

question

"rules

enable
but

when

keep

the price which commercial banks
pay

attempted
may

earlier

this

economic traffic that flows around
him.

change '\ir

have

how

the

compa¬

nies

value.

Sec¬

four

one-third
pay

Securities

can

paper

and

Ameri¬

Co. He became

the

dropped last year from

Corpo-

ration
North

stretching of
terms is related to the thinning of
equity. For example,
when Jthe
terms

Invest¬

ment

quality
consists of the lending terms. You
will

Ameri¬

North
can

gauge

In¬

Commonwealth
Stock Fund,

responsibilities

con¬

rates

interest rates, which are the price
one

Commonwealth

borrower,

Such

member banks. A change in

discount

supply

de¬

SAN FRANCISCO,
Calif.—
George W. Fulk has been elected

the nature

par¬

If the purpose

v-;-./■

resources.

Still

Commonwealth Cos.

purposes

the

marketable

growth without inflation calls for
business decisions of high quality.

gen¬

by the Federal Reserve to

supply are
fundamental. Anyone who wishes
to determine whether the
money
money

increased

.are
result in

not

toward

the

eral

nection

Fulk, Sec. of

nega¬

commercial banks
and on a net basis,

as a group

indebted

credit

quantitative side,

is being

debt.

those with which the busi¬

nessman

that
tion

tism

mand, the figure will be

ments
the

G. W.

free

between

hold

must

gate

are

hand

.indeed,

sumers,

which represents the alge¬

banks

some

data, are
ating the near-term future.

changes in the
be¬

the

gen¬

which,
output, sales and
essential in evalu¬

with

tanceship.

Balderston

City, Sept. 21,

implications

the

difficult to

money

Industrial Conference

ateo

of wholesale prices

for
future movements of retail prices.

over

mere

which

difference

judge the strength of
also

appraise

mil¬

Whether

demands in the economy and

and

to watch sensitive

and

measures

order

use

automobiles,

necessities

address

York

Fqr

about

prices

•

dollar

radios, and nearly 40

television
are

National

New

units,

passenger

million

130

live

housing

million

now

It is customary

working

tainable bounds. The central bank

nearly all industries and localities.

far

interplay of the forces of demand
supply, price and wage infor¬
mation is abundantly available for

All

lion

and

of personal sav¬

Abundance

all

for

wages," both of which reflect the

ingProviding

abundance

classless society."

An informative

izing

industrial nations, the one
clings most tenaciously to
private capitalism has come
closest to the Socialist goal of pro¬
that

viding

borrowing

reserves

the

great

braic

their

pile of goods and
services, together with .the redis¬
tribution of incomes by taxation,
has
led
the
Twentieth
Century

the

Inventories

(3)

the

reflect

relevance

Banks,

serves,

cess

the

creased national

manu¬

that

that the Federal

combination

The

volume

the

see

listen

and

music.

same

The Federal Reserve Board

(1)
Index

increasingly

same

businessman

distinctions arising out of dispari¬
ties
in
income
are
also
being

decisions.

ness

reserved

once

debt, in¬

on the other hand, the
quality test must be met in a dif¬
way.
Many loans to con¬

consumer,

ferent

in one-quarter down and 36 months
the discount and advance figures to pay, the equity of the car buyer
week by week. Highly significant ;at the end of one year dropped
in the view of many observers is from 30% to 10%
of the depre¬

tive

growing proportion of
to
enjoy standards

and

large

the

cent per year.

output

wide

and

comes

attain.

(1) Those that have to do with

rise

the

and

the

one-half per

and

resi¬

and

consumer

special

serve

jgoods has
in

nonresidential

both

amount

influences, including

attitudes

the

stocks

durable

composition.
He
may
keep
changes in mortgage debt

member banks at the Federal Re¬

The increase in output per

technological
fixed

af¬

sult of many

plans

only changes in the total
of credit but also changes in

observation

sustained

man-hour

ex¬

and

sales

and

consumer

not

needs for inventories and

classless society.

and

capital.

gadgets, and whether all of them
contribute to a good life need not
be debated here; at least we have
the physical basis for good living.
Underlying the growth in family

price
trends. They

financial

establishments

closest to the Socialist

one comes

nonfinancial

both

loans to industrial and commercial

essential balance between equity

Twentieth Century Fund

Quotes

that under private

in the "Bulle¬

cluding instalment debt, and bank

to achieve economic growth with¬

provided

are

dential—other

debt, Mr. Balderston stresses the need for business deci¬

sions of

the

track of

credit policies which, in turn,
expansion and sales plans. Besides keeping

business

from

to follow

—

of factors influ¬

aware

supply

tin" for those who wish

use

encing central bank national
affect

data

its

of information, used by the Board,

they should watch in order to be

money

"Federal Reserve Bulletin." Other

serve

Federal Reserve official reveals to businessmen the monetary
and non-monetary sources

justed

developments. Thus, one may ob¬

Vice-Chairman, Board of Governors
Federal

creased, and at what rate, may
watch changes in seasonally ad¬

Commerfial and Financial Chronicle... Thursday, October 4, 1956

SKINNER.

Treasurer

Institution, hereby certify
statement

true

the

knowledge and belief.
CHARLES

DENVER,

SKINNER

Correct—Attest:
RALPH

CREWS

GEORGE
-

OAKLEIGH

LePAGE
L.

} Directors
THORNE)

Volume 184

Number 5574

(1417)

The Commercial and Financial Chronicle

...

expansionary, even though exces¬
wages demands and balance

Is the Post-War Boom Over?

payments difficulties may force

the

By PAUL EINZIG

government' tb vdall'

from time to time.

Whether
British

postwar boom is

ending is not exclusively

now

the

answers

downturn

concludes

arguments;

the

trend

fears

substantial

decline

the

policies has created

new

the

government's

result

disinflation-

the rising trend

measures

ary

situation

there may be

has

the

meantime,

almost

would

initiate

make

possible

less
Al-

come

halt.

though

con-

sumption
tinues

and

de-

is met

improve

expenditure

pronounced

activity,

the

counteract
execution

in-

resume

the

increasing number of people have

wonder

whether

exciusivelv
the

ter

British

means

encoun-

and

doubts

same

tors

the United States and other

coun-

undoubtedly take
it

its

nationalized

projects

overload

steps

speeding up
own
capital

industries.

had

1955-56

All

Many of those who are inclined
to believe that the postwar boom
to

come

the

end argue roughly

following lines:

of the

boom

The basis

the acute short-

was

of capital goods and consumer

age

goods caused by the wastage durthe

ing

six years

traordinary
from that

pf War. The ex-

requirements

shortage have

arising

been

now

The wear and tear and
physical destruction of industrial
equipment has been more than
fully met.

made

good. The houses destroyed

bombing

air

The

built.

full

have

retail

been

stores

are

reonce

goods

consumer

larger quantity and wider variety
than before the War.
The stage
has

task

make

arising'

satisfying
good

from the War.
;

.,.

adoition

specific

ar-

prewar

con-

of business cycles. There
a
great deal of more or

ception
also

inarticulate

have

revival of

conventional

the

less

tins

been

fear

going

solicitation of

offer to buy

of tbest

any

October 3,

1956

135,000 Shares

Marsh Steel

Corporation

COMMON

STOCK

the

that

for

PRICE

$10

PER SHARE

Copies of the Prospectus may be obtained from such of the several under¬

writers below

depends

of wages,
should the rising trend continue
!l would
a c°"tinued
on

S1 Per Share)

It would

Consumer d e m a n d

larSely

(Par Value

that policy,

•

in
the

lighten

the economy.

trend

The

'nS"fsure *>*, consumers.

pressure
might peter out but that it will
remain excessive, so that the gov-

The First Trust
:

5?*

lawfully offer these securities in this state.

may

Boettcher and Company

Cruttenden & Co.

Company

Lincoln, Nebraska

Beecroft, Cole & Co.

Burke & MacDonald, Inc..

Barret, Fitch, North & Co.

ernment will have to reinforce its

disinflationary
of

absence

mands

the

able

wages

excessive

its

likely

•

"it*

•.

Straus, Blosser & McDowell,

McCormick & Co.

Bache & Co.

de-

would

that

buying

Company,

Incorporated

A. G. Edwards & Sons

Harold E. Wood & Company

increase

The Small-Milburn

Loewi & Co.

Arnold & Crane

disinflationary

means

pressure

either

the

government

relax

This

drive.

measures.

through wages inflation or

through a relaxation of measures
faken against wage inflation,
The only real danger lies

in the

Possibility of haying to. adopt too
drastic disinflationary measures,
Owing to Britain s precarious balance ot Payments position toe
;

This announcement is

neither

offer to sell

nor a

solicitation of

offer to hay any of these

icc/iriliei.'Tbe
is rnadc only by the Prospectus.
offering

'^ns'tS

.7 ctiastic steps to cu
ai1 d°™stic consumption and to
j

break the^a^ S?JraL

Se^mS>

• u

il°wevei, that-Mr. JVIacmillan does
n°t .believe. in embarking on such
a c0llrse regardless of cost. In a
recent speech he sharp y criticized

October 3, 1956

NtW ISSUE

$700,000

the extremists of the hard money

...

the
variety of arguments based

wide

there

gument
on

current

of having
deficiencies

instead

requirements
also

the

industry will be confined

once

from which

reached

been

these

danger is not that this

fr-

has

nor

made only by the Prospectus.

ISSUE

the
in-

curtailed

order

be very easy to reverse

the

now come

This nroblem

sell

vestment projects and thosfe of the

its
upward
circumstances, it is
surprising that a large and

end

NEW

government

Would

downs and shows

postwar boom has

offer

substantial decline in busi-

cause a

change has its

is neither

The Stock Ex-

begun

•

purely

inventories,
Paul' Einzig

should this setback

sufficiently

ness

prospects

largely out of

not

Incorporated, 506 Montgom¬

Street.

-•

■

jn any case)
be

the

would

temporary.

the

additional

would

tal

con-

crease,

'things

school

who

"heroic"
a

rate

chancellor

the

for

form

15%.

The

prepared to

such,

way.

■

dowq

Corporation

pay

price for the results that could

be obtained

Marsh Steel

advice,

their

rejected

he is not

because

tbe

clamoring

are

measures

bank

long

that they are bound to come

5'/2% Convertible

Sinking Fund Debentures

Trend Is Expansionary
.—

sooner

held
ble

later."

Needless

views should

such

produce their

Anart

Apart

consumers.

justifiof

wave

Lm
from

ihic

this

Unless

lia-

nroducers

amon«

nenmrre

say

are

own

generating

nessimism
P

come

widely enough they

cation

and
ncv

psy-

nothing

tion
.

in the

which

material situajustify
pes-

would

simsm.
.

Basis

Capital
continues

for

|lieasuI'es>continue to expand,
c nsumer
likely to

unabated.

the figures

compliled'

information volun-

ara

substantial

decline

consumption were unduly pessmlst,cV th?y. wl". resume tbeil.
projects aiming at an expansion
their capacity.

slackening

any

of the

event, a

automatic devices. ;
elements to
lasting setback
in demand.
In individual industries';"such as the motor industry,

the

number

new

projects embarked upon is smaller,
so
that when the projects which
have

been initiated

are

completed

Payable April 1 and October I

justify

inflationary

fears

Copies of the Prospectus may be
writers below as may

obtained from such of the several under¬

lawfully offer these securities in this state.

The First Trust Company
of Lincoln,

Cruttenden & Co.

Boettcher and Company

Nebraska

Burke & MacDonald, Inc.

Barrel, Fitch, North & Co.

setback is, of course, possible.
Taking the economy as a
whole, the trend is bound to, be
such

100% and Accrued Interest

pressure

of consumer demand would provide an opportunity for reequipment in order to adopt the'latest

built-in

Price

The situation contains too many

Admittcdlv

Interest

a substantial decline 0

industry will be
almost as large during next year
as
it is during the present year,
by

;

recent years-

by industrial firms, capital

expenditure

1966

OCTOBER 1,

even

As soon as in"
dustrial firms realize that'their
ln

slight

in Britain
Judging by
by the gov-

DUE

fhouSh not to.the same extent as

expenditure

ernment from
teered

Prosperity

prevented by too drastic
demand

chological danger, however, there
is

Calif.—Paul

circumstances the setback in capi-

ciates

Higginson Corpora¬

ery

shares. The offering is

trend.

This announcement

sufficiently to encourage industrial firms to ^embark on these
projects for expansion.
In such

War, has

clination

thereto of Lee

FRANCISCO,

Fung is with Mutual Fund Asso¬

capital projects and'

the end of the

and

(Special to The Financial Chronicle)

SAN

prior

and

Beecroft, Cole & Co.

The Small-Milburn Company,
—

& Co.,

With Mutual Fund Assoc.

was

tion.

however, it

This

that

ruption •' since

ups

Brothers

Lehman

C. Morton

135

Street.

setback in capital

expenditure.

without inter-

Dr.

may become possible
for the government to remove or
relax its disinflationary measures.

Britain,

apply

Salle

with

Building.

requiring modification

ing

in¬

experience do
without considerable

modifications.

been proceed-

production

rules

Calif.—

become .af¬

has

thinking patterns.

LONDON, England—As
of

not

equal distribution of income

mere

the

Company,

lyiilwaukee

pal department of the local office

ferred from prewar

of prewar experience to realize that the combination of Welfare

State, Full Employment and

which

filiated
Russ

formerly manager of the munici¬

developments.
Between
they have created a new

"situation

Aaronv R.*'Levin

with

associated

become

has

son

South

them

FRANCISCO,

SAN

Company

CHICAGO, 111.—John H. Jack¬

the

postwar

consumption were
Suggests to those who still think in terms

unduly pessimistic.

ex¬

Welfare State, the policy of full
employment and the more equal

(Special to The Financial Chronicle).

(Special to The Financial Chronicle)

distribution of national income are

bound to be expansionary, and, in case of a set-back, industry
will resume their investment-enlarging projects as soon as they
realize

are

thinking in terms of prewar
perience should realize that

question according to Dr. Einzig, who examines and

Milwaukee

•

halt

Those who

With B. C. Morton

J, H. Jackson Wiih

sive

Incorporated

(1418)

1 tie

TAXPAYER—and

Answering the $500,000 Question
By RALPH P. COLEMAN, JR.*

Securities Review"

Fulbright Bill to refute SEC argument that 581 un¬
do not provide adequate annual reports; and
questions need- of $500,000 deemed necessary by SEC to
firms

One

of
major arguments adby those who advocate in-

did not include sales
of

creased Federal Government regu-

lation

of over-the-counter

rations

sales.

ONLY

seems

News About Banks

the

CONSOLIDATIONS
NEW

BRANCHES

NEW

OFFICERS, ETC.

v;.- ;

;•

•

-V'

*'■

;

Frederick

'VV'to

President

Kappel,

elected

director

Manhattan
John

they

omitted

either

The Johns-Manville Corp. is of-

the

formation

these

observe

to* the

curities Ex¬

™any<

to the

Si.ock

•

SEC

listed

less

over-the-

sub-

regulations
on

national

authority than

Thermos
this

into

plant

OS6S

78.7%

the

re-

companies

substantially complied with the
accounting standards of the Commission

had only minor defiOf the 21.3% of unlisted
stockholder reports aeemed made-

were

the

commission

classified

the

anly

Sept. 1956 issue

Counter

urmi1(,n

because

editorial

Securities

17.9%.

"materially de-

nrimnriiv

♦Text

that

the

would

by
of

Mr.

the

Review,"

the 581

Bill

great

were

troE

tbat

The

SEC

almost

companies
-

■

its

ac-

ture
luxe

tempera-

'
roofing

uses:

Opposed

the

writer

floor

materials;
tiles; and

asbestos-cement

pipe

which,

the

shingles;

WHATSOEVER TO THE

"Over-the1

hearings

siding;
under

"Transite."

Subcommittee, July 1, 1955.

The

two

gium;
in

are

has

Canada

two

has

United

States;
in

one

name

plants,

the

Canada, and
it

asbestos

Bel¬

mines

and

a
large diatomadeposit at Lompoc,

earth

ceous

trade

corporation

manufacturing

which

Calif.
In

Sound Canadian Investments

1955

V A

for-1

teletype service

Canada and
V

New York.

are

for

1955.

the

first

Adjusted

six

for

the

amounted

1955
to

$242 Yz

per

Celebrates 25 Years
Kurt

Werner & Co., 50 Broad¬
New. York City, members of
New* York Security Dealers

Association,
25th

- are

observing

Anniversary

their

Montreal

Calgary

STREET

WEST,

Saturday,

6, 1956.

same

105,000

value.

par
*

Chief

Executive

Columbia
elected

Gas

Officer, of

System,

director

Trust Co. of New York
fill

the

death of Stuart M.

Chairman

System.

The

served

Gas

been
Gas

Previously he

Executive

has

Columbia

System since 1951.
had

the

Columbia

Young

Crocker, Board

The

Mr.

President

Oct. 3 to

created

vacancy

The

Inc., was
Guaranty

Vice-

elected

was

pointed Assistant Vice-Presidents

operating companies.

New

York,

Exchange Bank,

Philip

Parkhill

Ottawa

Winnipeg

London

Hamilton

Vancouver

Quebec

away

Sherbrooke

Sept.

Windsor

New York

Prior

been

firm

announced

was

on
Sept. 27 by Harold
Chairman. Lindsay A.

and

ager

the

with

the

vision.

bank's

ration

I is

the

age

retirement

partner in

the

passed

investment

Fellowes, Davis & Co.

1945

GUARANTY
OF

NEW

resources

2,938,522,143

Cash

TRUST
NEW

banks
Govt,

Loans

676,799,839

loans

discts.

IRVING

110,797,728

Total

26,614,171

TRUST

Assistant

—

and

was

Company

the

New
of

and

completed

York

Loans

437,145,535

816.349,261

347,009,250
766.646,911'

23 967,636

se¬

NEW

been

Brooklyn

Trust

1933

its

until

Bohn

YORK

Ac¬

Uni¬

resources

Cash

due

169,191,579

191,156,607

holdings

150,159.606

153,564,639

discounts

411,452,886

415.486,050

9,809.815

9,096,920

Government

security
Loans

profits—
C

THE

MARINE

Associates and

Rob¬
pres¬

assigned

the

TRUST

YORK

$
Total

Cash

resources

due

533,889.040

529,226,068

469,600,390

472,566,648

142,891,737

and

138,645,608

from

Government

security
Loans

Broadway, Brooklyn Office.

NEW

Sept. 30/56 June 30/56

banks

bank's

MIDLAND

COMPANY,

Deposits

MSrris Associates, and is

700,647,370

from

banks
S.

799,471,441

674,106,253

and

with

COMPANY,

771.324,806

Deposits

Company

member

TRUST
YORK

$
Total

Company in

23,010,922

Sept. 30,'56 June 30,,'56

affiliated

merger

Trust

NEW

develop¬

Columbia

with

Credit

371,948,991

329.467,259

discts.

Undivided

Mr.

due

profits

THE

„

had

1.676.510,235
1,492,755,232

Univer¬

Commerce,

executive

seminar

1,643,450,655

Institute

YORK

June 30,'56

hold'gs

Undivid.

Finance, the recently
an

NEW

COMPANY,

banks
Govt,

announced

American

School

curity

Secretary of

Trust

Banking and

versity.

1,429,306,849

resources-

Deposits

counts

497,202,923

1,4"

ently

1,476,158.145

113,265,015

appointment of Vincent A.

sity's

ert

1,489.546,637

718,345,209

28,993,350

Manufacturers

Bank

678.302,102

profits

Undivid.

from

ment

603,184,748

551,462.963

se¬

hold'gs

Cash

tended

2,448,829,241

659,523,982

Sept. 30,'56

discts.

30,'56
$

due

Govt,

curity

June 30, '55
$

3,032.477,197

437,530,573
1,4«0 3pP 8 "3

profits.

The

June

2,914,363,760

se¬

ho'.dss

Undiv.

COMPANY

YORK

due

and

curity

2,890.941.757

banks—

2,627,186,607 2,734,259,960

from
U.

and

from

BANK

YORK

$
Total

elected

was

2,390,638,225

resources-

Deposits \

EXCHANGE

Sept. 30, '1956

Deposits

corpo¬

$
Total

Cash

CORN
OF

elect¬

was

the

Sept!' 30,'56

Central States.

CHEMICAL

87.
had

and

Metropolitan Di¬

Mr.

the North

natural

with Colum¬

Director.

being responsible for its business

1950.

Getty

Vice-President

White
is
affiliated
with the bank's National Div
sion,
in

the

Engineering and Management

associated

are

career

System

Mr. Young

industry in 1930

Corporation; in 1942

jL»eparimeut, have oeen appom.ea
Assistant
Secretaries.
Messrs.
Marx

his

Gas

bia

Assistant

and

Columbia

gas

Manager, re¬
spectively, of Investment Analysis

Devey

The

began

Helm,
Motley, Jr.
Erie A. Baker, former Man¬

Manufacturers

Philip P. Getty

TORONTO, CANADA

Kitchener

from

100,000

❖

from

Oct.

Investment Dealers Since 1921
KING

❖

stock

consisting
fle

the

by Hor¬
Flanigan, Chairman of tfie
Board on Sept. 28.
Mr. Bohn at¬

Kurt Werscr & Go.i

the

New York

way,

LIMITED

Department

value $5 each, to
525,-

shares,

President.

Bohn

McLeod,Youhg,We!r& Company

Bank

York

George S. Young, President and

calendar

Dealers' Associa¬

invited.

000

Mr.

New

consisting

r.pr

of Chemical Corn

ace

Inquiries from investors

Banking

shares of the

ganizations.

share and to date in 1956 have
been at the rate of 50 cents
quar¬

across

Canada, and through our broker affiliate,
membership in leading Stock Exchanges in
Canada.

National

its capital

increase

1, the
Nagle

Mr.

State

pu„rpc

split in March 1956, dividend

year

tion of

Bank

Oct.

America

granted approval by the New

terly.

offices

our

Membership in The Investment

payments

deal in securities

by mail.
V Private

stock

common

per

months

major Canadian companies.
to

comparison to sales of $131,720,000
and net income of
$9,262,000 or

Department with up-to-date informa¬

Correspondence Department

City
on

outstanding.

$1.73

$1.45

A Research
tion

Committee

Nagle is active in business and
civic affairs, serving as officer or
director in more than a dozen or¬
./

172,510,447 170.324,005
380.805,583 410.659,225
17,458,993
16,350,085

Sept. 26 the Trust Company

$500,000,

of the merger with First
National
Bank
on
March
30,
1955.
Mr.

••

789,910,363

secu¬

discouhts

North

Nagle, Chairman

formerly President

was

<fc

director of the bank

as a

reported

investors includes:
V

presently

sales of $147,359,000 and a net in¬
come of
$11,062,000 equal to

United States

81,115,182

Chairman of the Executive Com¬
First National
City
Bank of New York at the time

For the six months ended June
30,
1956
the
corporation

per

service

corporation report¬

of $284,742,000 and net
$23,511,000 equal to $3.68

per

growth

complete investment

the

sales

income

United States investors can
buy through us many
Canadian securities which offer sound
investment
qualities. Some of these also have attractive

possibilities.

announced.

First

was

ap¬

wide

marketed

PENSE

Govt,

holdings

Undivided profits

mittee of The

additional plants and fa-

insulating materials for

counting standards—AT NO EX-

Coleman

|lo^'ile

Loans

919,042,348

from

world. It is a large producer of
Columbia Board of Directors in
building /.. materials,
insulations,
George H. Devey, John W. Marx 1946 and was in
charge of opera¬
and
allied
industrial
products, and Robert O. White, former As¬
tions, serving also on the boards
The most important products are:' sistant Secretaries, have bee i

already. VOLUNwith

City of New York, which institu¬
tion he joined in 1907. He became

.•

itself has reported
of these unlisted

complying
■
•

before Senate

Our

the

due

215,988,290 242,266,222

York

York, retired

Nagle

V
June 30,'56

762,595,006

and

banks

following his retirement.

for

YORK

868,033.674

resources-

84,113,299

National

has

INCORPORATED

l,705,701f672 1,772,528,414

Executive

continues

•

80%
are

Total

se¬

First

CO.,

Sept. 30,'55

1,188,713,781 1,170,061,030
discts. 3,554,909,831
3,551,787,650

the

New

Ore.;
Denison,
Tex.;
Natchez,
Miss., and Asbestos, Quebec,
The corporation is the largest

corporations that
subject to its con-

become

NEW

holdgs.
profits.

bank

producer of asbestos fiber in the

MORGAN

the

due

banks—

The

an estimated cost of
including new plants
facilities at Klamath
Falls,

.to

7,348,866;567 7,341,510,318
6,492,985,131 6,5 (3,o04,8i4

Alexander
of

$32,200,000

deal of this

President

oilities 'at

uniisted

wou]d

Jenkintown,

Pennsylvania.

reouired

$500,000 would be used to enforce
SEC accounting standards
among

TArily

they

Ftobright

become law.

■

Hiities

ciencies.

quate

EACH YEAR by the
Commission to handle the extra

721,848,004
1,116,877,836 1,065,731,214
53,795,059
51,547,986

profits

Sept. 19
J.

790,434,555

702.998.345

discts.

Undivid.

BANK, N. Y.
Sept. 30,'1956
June 30,'56

Govt,

Undiv,

Prodmitton_of floor tile 3ptas
Plans

i required

ulbright Bill the stockholder

t" o«o

Loans

for

and a plant a1
the

fn addtiiona^ $500^00 wolw be' building

-01
v
,
'
Of the 08I unlisted
corporations
would
be
subject to the

ports

821,270,741

se¬

hold'gs

rity

from

will

nine-

curity

MANHATTAN

resources

curity

the mark" if the Fulbright Bill the production of insulating board

which
F

used

sale

CHASE

Deposits
Cash
and

investment

the

due

banks
Govt,

Loans

Mr. Kappel on

years

Total

Craig, now Chair¬
T. & T., who has

______

and

from

Cash

proceeds

Cash

an¬

Kappel

3.028,362,355 2,937,053,778
2,744,596,789 2,668,821,091

Deposits
THE

by Morgan Stanley
•

Deposits

Western Electric Co.

of United

asbestos-cement

passe^ *>y Congress.

™

three

„

who

Banking and

"S"nifStt?n£oSrmCationC

•

York,

resources.

June 30,'56

S
Total

the ninth President
of the A. T. & T.
Co., after almost

the

each

a group

.Canadian

headed

Co.
The

May 25, 1956 Report on the Ful-I was
In its
bright Bill (Bill S. 2054)) to the recommendations on the Fulbright
on

for

named

was

an/uaf reports'"'I^'its

Senate Committee

and

opinion of OCSR
companies would do
provide this basic sales

companies

one

firms

the

tan board.

shares held of record on Sept. 28,
1956. The subscription offer will
expire at 3:30 p.m. (EDT) on Oct.
17, 1956.
The offering is being
spates

categorv.

the Securities and
Exchange Commission itseii sneas vital
itself sheds
mission
nhiee
vital, oojective light on the moot
question:
"Do
over-the-counter

adequate

rate

underwritten] by

Bot-

-"sharffo^ls
i^o^'stocfat

these
to

faring to the holders ot its

plant expansion and
data to their stockholders we do improvements and to provide adnot believe that shareholders in
ditional working capital for anticthese companies have suffered to
ipated increases in sales volume,
any
great degree from this de- Thecorporation has under corificiency.
struction several new plants estif
The
*nus, Ui^rc iff a nara core 01 mated to cost $23,200,000.
Drincinal
these
twenty subject unlisted corpora- Principal of tnese are a piant at
01
are a Dlant at
tion
ho do-not comolv with SEC Stockton, Calif., for the produc¬
llons w"0 ao not comply witn

companies

same

it1 is

that

exchanges.

Now,

American

well

mak-

companies

Co.^fall

While
Ralph P. Coleman, Jr.

over-the-counter
3cct

and

tie

change Act of

several

chips"—-among them
Arrow, Hart & Hegeman Electric

Co.

amend the Se¬

that

counter "blue

would

In^

follow'ad

failure
to
include
sales and/or cost of; sales in stockholder reports it is pertinent to

Fulbright Bill1

1S34

Regarding

is, in
funda¬

which

surnlus

parneH

failed

cepted accounting principles.

position
mental

Ins5?
or

com¬

panies. Such

fact,

inrl

statemenf

stockholders

the

Mr.

COMPANY,

YORK

Sept. 30,'56

Chase

Chairman,

TRUST

NEW

resigned from The Chase Manhat¬

available

The
New

Sept. 29.

man

because

McCloy,

nounced

succeeds Cleo F.

nrnfit

Bank,

SEC ACCOUNTING STANDARDS

MANUFACTURERS

phone & Telegraph Co., has been

alleged lack of
n

the new
American Tele¬

the

"uta-t^t
MATERIALLY DEFICIENT" BY

Bankers

CAPITALIZATIONS

TWENTY over-the-counter

the

financial

and

REVISED

Morgan Stanley Group
Underwriter Offering

THE

REPORTS—TWENTY REPORTS
IN ALL — WERE JUDGED AS

corpo-

It
use

companies which do not meet its
accounting standards.
^

and/or cost

3.4%

sales.
could

SEC

mere

police twenty over-the-counter companies found "materially
deficient" by present accounting standards.
vanced

are

major
portion of an additional $500,000
annual appropriation for a better
purpose
than bringing into line

listed

deficient"

costs

that

Mr. Coleman cites Securities and Exchange Commission testi¬
mony

companies

counts
other than failure to disclose sales
or

"Over-the-Counter

Editor,

Thursday, October 4, 1956

...

that only 3.4%

unlisted

the

"materially

commercial and Financial Chronicle

Undivided

holdings

86.717,947

88,920,962

discounts

274,902.554

280 653.425

profits—

9,204,669

8,746,882

Volume 184

Number 5574

The Commercial and Financial Chronicle

.,.

(1419)

trial

Latin-American Kilowatts

oil

comment

some

the

years ago,

speculative

of
the

darlings

of its

and

promise.

$50 * to

and its

subse¬

1932,

the
for

progres¬

spate

calls

which

some

of:

have

been

Cobleigh

not

dis-

remember.

order

plant

Forca Electrica, which delivered
$36.6 million in operating revenue

common

Power

common

preceded

was

king-sized preferred

some

which

amassed

accumulated

such

last

by
issues

counted

the

over

$25

million.

served

Guatemala.

completed in

1952, secu¬
rity realignment drastically altered
the company's financial structure

ac¬

were,

tion

that

I
with

bullets

above

debentures

United

2030, $66 million
(junior) due
1987, and 7,224,238 common shares
(not including $55 V2 million in
minority interest in publicly held
subsidiary preferred and common
stocks).
All

this

reduced

corporate

tries

$28.4

under

the

million

million,

build

dends

vanished

sheet.

All

and

can

new

from

which

look

And

incisive

1952.

common

countries

For

use

presently

last

only favorably
enthusiastically. Mr. Henry B.
Sargent, President since Septem¬
ber
1955, is no stranger to the
business of making utilities hum.
Before coming to Foreign
Power,

ity,

the in-

Share;
sive

perfectly

and

progres¬

(population 21 million)

factor;

steady

Bond

broad

dynamic

55%

managed,

Electric

serving

growth

plans for American and For¬
eign Power envision the spending

area

with

His

now appears to
major electric util-,

big

controlled

growth of that com¬
within
a '■ single
decade.

pany

not attracted

excellently

sensational

(and

and

advance

dynamo)-

reporting

in i net

earnings"

and dividends year by year—suchi
$527 million dollars to create, a
property should not be neglect-s
the end of 1960, an 80% in¬
ed by discerning investors. Divi-:
crease in total
generating capacity
(it's about 1.25 million KW now).' dends have been increased from;

About

half

money

come

this

10c

expansion

from

sale

securities, retained earnings, and
governments;
while
the
other
half
is
expected "to
be
largely supplied by Export-Im¬

port

Bank.

that

these

Barn

When
Latin

much

properties
10%
on

FP under favorable conditions

the

now

year

and

(Special to The Financial Chronicle)

Wis. —Leo

Cruttenden & Co., First Wisconsin

figures themselves

National

are

Lentz

they repre¬
earnings realized

the

Bank

Building.

formerly

was

Mr.

officer of

J. P. Lewis & Co.

be converted into dollars,

hence

dividends

"captive"
amount

Crutfenden in Milvr'keo

are

Lentz has become associated with

only
can

only located

ex¬

quite conservative
sent

were

Texas, its stock would sell at 401

MILWAUKEE,

common

there

higher cash

earn
$1.55 a share for
against $1.37 last year;

these

that

If FP

and

Leo H, Lentz Joins

impressive.

Right
pected

80c rate;

can

fair

(as
against 6%, the
generally accepted regulatory rate
here) the potential earnings of

this

yields 5.7%

good prospect of

dividend.

valuations

indeed

On this basis, FP conrw

mon

consider

you

share in 1952 to

this year.

local

and

the

has

common

President of Arizona Pub¬
lic Service Company and contrib¬

powerfully

the

Latin-

vestor^following it
merit.

was

uted

and

ago,

traditional

political and economic
instabilities alluded to above, FP

but

century

American

pany prospects not

become

earnings
to

available

holders.

would

another; 60

Joins Wilson &

for

The

easily

cents

Bay ley

(Special to The Financial Chronicle)

SAN

DIEGO,

Anderson

share.
In

ity

Wilson

view

Calif.—Paul
associated

now

whh

the

old

market

volatil¬

common,

and

Bayley.

with

merly

White,

was

Weld

for¬

Co,

Hemphill, Noyes & Co.

the

hopeful

•

This

Brazil

their

valuations, in

with

rises

This

would

living.
cally and

an¬

electric

And the

spondence

KWH in the United

year.

all

creating

there

example,

crease

makes

half

indus¬

without

increases

rate

States; but among Foreign Power
householders, it was over
800
KWH

quarter

somewhat

is not an

offering of these shares for sale,
any

and

or an

offer to buy,

or a

solicitation of

offer to buy

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

Chile, laws have been introduced
to permit utility properties to in¬

same

the average

residential

power was 502

electric

1929,

progress.

increased

period.
nual

weight

difficulties, there
is
no
occasion, however, for long

countries

de¬

power

Ameri¬

inspection of

reveals

Power increased 63% in the

decided¬

due

tries, it's unlikely that all will be
adversely affected at the same
time; and even in most of the

has
rapid

by 28%, while the number of elec¬
customers served by Foreign
In

the

fighting

pessimism about Foreign
Power. Quite the contrary. With
earnings derived from 11 coun¬

tric

emerged from

been

shortly

range

example, in the 1945-55
the population in above

mentioned

divi¬

reorganization

todgy

For

south

has

their

sound

balance

gave
a

even

lost

Latin

economy,

electric

not

potency

problems,

decade,

million
$425

the

Ni¬

about

mand.

over

back

Foreign Power

this
FP

to $6

and

new;

Somoza

agriculture to

industrialized

resulted

interest and

preferred

from

away

infla¬

angry

the

rate

greater than our own, and
the swing in many of these coun¬

preferred stock dividend require¬
ments, which, under the old setup
were

Well,

growth

have

Chile

Giving

50%

compression

annual bond

States.

American

ex¬

inflation for many months.

and dependability
earnings, characteristic of th£
electric
utility
industry in
the
of

due

had

President

border.

the

growth factors

debentures

has

political

familiar

expropriated;
presently,

are

caragua in a sister republic proves

and left it with $50 million in 5%

in 4.80%

and

inadequate; and due to

tion, and plenty of political rock
and roll; and the recent assassina¬

Other

include

■

all

are

Foreign
40% of

country.

were

Brazil

Mexico,
Venezuela, Argentina, Colombia,
Panama, Ecuador, Costa Rica and

ensuing years that a reorganiza¬
tion, in due course, became neces¬
sary, if not indispensable.
When

for

countries

bedevilled

that

change restrictions, Foreign Pow¬
er cannot take out
any of1 the net
earnings from the over $120 mil¬
lion it has invested in Argentina.

Compania

Chilena de Electricidad which

mountainous

dividends

followed by

year;

assets

very

magnitude

going to talk about today.
1929, American and Foreign

not the

obvious

factors

Power

is the Brazilian hold¬
ing unit, Compania Brasileira de

we're
In

above

stock

But this

the

miserable and all four of the

rates

descending

in¬

expansion in
earnings, which the foregoing

was

almost $60 million.

quite

glad

companies.

and

Havana

served, (2) currency
inflations, and restrictions in con¬
verting of realized earnings 'into
U. S, dollars, (3) difficulties in se-?
curing fqir regulation and needed
rate increases, and (4) the
fact, in
certain instances, and the possible
hazard, of expropriation.
For example, under Peron
in
Argentina, the political climate

provides the city of
only with electric
light and power, but manufac¬
tured gas as well.
Of the $188,370,000 in total operating revenues
of American and Foreign Power
in 1955, Cuba Electric delivered

was

margin

land

revenues

by 120%.

the countries

occasion

sive

subsidiaries,

American

decline
meek

company

eleven Latin
The largest
operating unit is Cuban Electric
Company which * generates over
90% of the electricity on the is¬

high of $199%
quent

holding

1955,

what

whose princi¬
pal business is the supplying of
electric light and power, through

Dec.

data would seem to project, has
been, in fact, slowed doWn some¬
by four* major factors (1)
the varying political climates in

•

1929 it ranged
between a low

Ira

total

net

stock market of that era; look at it.
American and Foreign Power
American and Foreign Power is
common.

use

31,

ended

creased

unusual
So let's

quite

frantic
was

Latin

year

operating

stock

common

equity

romance

period

Foreign Power Company Inc.

utility

one

expansion

^iay

which

Certainly the management of
this im-'
Foreign Power views the com¬

continuance of

restrictions,
be relaxed.

augurs

In the 10

Now

Twenty-seven

countries

of electric energy.

the current position

these

pressive

Enterprise Economist

with

well for

By IRA U. COBLEIGH

A brisk review of American and

expansions in metals, steels,
general manufacturing in

and

most

corre¬

the

provide
inflation

Some six and

Chilean

180,000 Shares

cost

automati¬

delay

which

necessary,

years

Long Island Lighting Company

earnings

Preferred Stock, 4.40%, Series G

have been entrapped by currency

(Par Value $100 Per Sharej

(Convertible Into Common Stock of the Company through
September 30, 1966 unless called for previous redemption)

Active

Trading Markets

Rights, evidenced by Subscription Warrants, to subscribe for these Shares at
have been issued hv the Company to holders of ifs Commogt
September 28, 1956, which rights expire October 15, 1956, as more
fully set forth in the Prospectus.

$100 per Share
Stock of record

American-Marietta

Company

Arizona Public Service

Colorado Interstate Gas

Colorado Oil and Gas

Oklahoma-Mississippi River Products Line, Inc.
Pacific Northwest

Company

Corporation

Commonwealth Oil Refining

Pipeline Corporation

Republic Natural Gas Company
Southern Nevada Power

Company, Inc.

Delhi-Taylor Oil Corporation

Southern Union Gas

Food Fair

Suburban

Properties, Inc.

The Gas Service

Texas Gas Transmission

Transcontinental Gas

Supply Company

Nevada Natural Gas

Copies of the Prospectus

Northwest Nitro-Chemicals, Ltd.

Western Natural Gas

may

be obtained from

any

only in stales in which such underwriters

STOCK

EXCHANGE

Company Limited

Blyth & Co., Inc.

The First Boston Corporation

Company

Smith, Barney & Co.

Co.

Goldman, Sachs & Co.

BUFFALO'

•

LOS

ANGELES

CLEVELAND

•

CARLISLE

SOUTHERN

•

BALTIMORE

•

READING
PINES

LAS

•

BOSTON

Hemphill, Noyes & Co.

Merrill Lynch, Pierce. Fenner & Beano

EASTON

NORFOLK

LOUIS

NEW HAVEN

SAN

FRANCISCO

PITTSBURGH

HOUSTON

DALLAS
TORONTO

Paine

RICHMOND

ITHACA

SII AMOK IN

Shields & Company

Webber. Jackson & Curtis

A. C. Allvn and Company
Incorporated

W. E. Button & Co.

VEGAS

Laurence M. Marks & Co.

H. Ilcntz&Co.

CHICAGO

White, Weld & Co.

PATERSON

Salomon Bros. & Hutz'.er

Correspondentr in
,

Langlcy & Co.

Incorporated

Carl M. Loeb, Rhoades & Co

HARTFORD

Harriman Ripley & Co.

Kidder, Peabody & Co.

STREET, NEW YORK 5, N. Y.

CHICAGO

PHILADELPHIA

Glore, Forgan & Co.

Stone & Webster Securities Corporation

15 BROAD

act

Corporation

Eastman Dillon, Union Securities
YORK

qualified to

Corporation

Eastman Dillon, Union Securities & Co.

MEMBERS NEW

of the several under-

are

dealers in securities and in which the Prospectus may legally be distributed.

Company

Westcoast Transmission

Company

writers

Pij>e Line" Corp.

Volunteer Natural Gas

Pipe Line Company

Nevada Southern Gas

Company

Texas Eastern Transmission

Corporation

Mountain Fuel

Company \

agreed, subject to certain conditions, to purchase
unsubscribed shares and, during and after the subscription period, may offer
shares of Preferred Stock as set forth in the Prospectus.

Company

Tennessee Gas Transmission Company

Company

International Refineries, Inc.

LeCuno Oil

any

Propane Gas Corporation

Suntide Refining

Company

C. G. Glasscock-Tidelands Oil

The several Underwriters have

Peace River Natural Gas Co., Ltd.

Company

October 2, 1956.

Tucker, Anthony &. R. L. Day
Rand & Co.

The Commercial and Financial Chronicle

(1420)

$100

price and the

"rights"

market is still

THE MARKET... AND YOU

has

that

trial average, which
proved to
be an area where the
May

slide
the

was

stemmed,

week

least

after

and

minus

list

breather

had

sold

off

previous 18 sessions,

which is about

the market

generating
The

one-way as

be without1

can

if.

and

—

the

are

out

the

its

held

has

tively

con¬
students

within

little

than

of only

the

important

profits, notably
goods division.

months

New York, N. Y.

Hickey & Co.

Cnicago, 111.

Perkins & Co.

Dallas, Texas

Dempsey-Tegeler & Co.

Los Angeles,

William A. Fuller & Co.

Chicago, 111.

George Eustis & Co.

Cincinnati, Ohio

Frank J. Monr

amount of

inordinate

evident

skepticism

over

the

"bull market" all the
way up
since it was mostly the

crease

the

that

carried

Consequently,

ball.

the

this

comfortable in¬

last year to cover

higher payment easily.

l^lue

chips

over

John C. Hecht

"Richard

and

Intensified

point

rather

tween

hack¬

neyed, but the minority voices
during the long upsurge that
this

longer

market but
stocks"

was

was
a

were

Chrysler

and

also the nub of

Arthurs, Lestrange & Co.
Pacific Northwest Company
May & Gannon, Inc.

Seattle, Wash.

gram

Investment Dealers' Digest

New

Oscar F.

Los

"Edgar A. Christian

Stroud & Company,

armed with

tain

will

probably get a
greater hearing if the uncer¬
tainty
continues.
And
the

its

Allison-Williams Co.

Lester S. Greenwald

Levien, Greenwald & Co.

Louis Orchin

Kalb, Voorhis & Co.

New

"Timothy H. Dunn

Southwestern Securities Co.

Dallas, Texas

"C. Robert

Southwestern Securities Co.

Dallas, Texas

Southwestern Securities Co.

Dallas, Texas

Sledge
"Hugh Bradford.
Mrs. Lawrence S. Puiliam

William S. Shanks
"

some

argument

The

and

the election to
come, the Suez

proffer

Worih,

New

York, N. Y.

Boston, Mass.

Angeles, Cal.
Texas

W. E. Hutton & Co.

Cincinnati, Ohio

Westheimer & Co.

Cincinnati, Ohio

Manley, Bennett & Co.
Yarnall, Biddle & Co.

Detroit, Mich.

Philadelphia, Pa.
of Chicago Chicago, 111./
St. Louis, Mo.
Stifel, Nicolaus & Co., Inc.

"Elmer W. Hammell

First. Securities Co.

John W. Bunn
Mrs. Ariel McGuire

E. R. Mulcock & Co.

Syracuse, N. Y.

"Clifford G. Remington
John M. Bayne

Rotan, Mosle & Co.

Houston, Texas

"Joseph H. Vasey

Geo. Eusti's & Co.

Cincinnati, Ohio

"William J. Candee

Candee Moser & Co.

New

York, N. Y.

"Arthur W. Bertsch

G. A. Saxton <fr Co., Inc. ~

New

York, N. Y.

"James B. Maguire

J. B.

Boston, Mass.
New York. N. Y.

Woodcock, Hess & Co.

Philadelphia, Pa.

Maguire & Co.

John J. O'Kane, Jr.

John J. O'Kane, Jr. & Co.-

Wayne R. Benzing

Granbery, Marache & Co.

New

Hannaford & Talbot

San Francisco, Cal.

Courts & Co.

Atlanta, Ga.

"J. F.

Finnegan

HSjafris

"Walter D. Kingston, Jr.

W. D. Kingston

"Alonzo H. Lee

York, N. Y.

New

& Co.

Orleans, La.

Sterne, Agee <fc Leach

Birmingham, Ala.

Salomon Bros. & Hutzler

San Francisco, Cal.

George E. Roberts
.Edward I. Shelley.

Shelley, Roberts & Co.
Shelley, Roberts & Co.

Denver, Col..

"Harold F. Scattergood

Boenning & Co.

Philadelphia, Pa.

"Bruce McKennan

Leo V. Smith

Denver.Col.

Leo V. Smith & Co.

"Larry T. Doyle

Hardy & Co.

Syracuse, N. Y.
New

■'

"Edward J. Caughlin

Edward J. Caughlin & Co.

"Thomas E. King
C. E. Davenport

Dempsey-Tegeler & Co.
Jack M. Bass & Co.

"Harold B. Mayes

Hendrix & Mayes, Inc.-

Vincent C. Weber

William E. Brown

E. F. Hutton <6 Co.

■■-.

Nashville, Tenn.

Birmingham, Ala.
St. Louis, Mo.

Weber-Mitchell & Co.

York, N. Y.

Philadelphia, Pa.
Chicago, 111.

(£<'

Los Angeles, Cal.

•Allen L. Oliver, Jr.

Sanders & Co.

"Fred O.

Denman Oil & Drilling Corp.

Albuquerque, N. Mex.

"Frank Granat, Jr.

Blanchett, Hinton & Jones

Seattle, Wash.

"Alfred A. Harmet

A. A. Harmet & Co.

Chicago, 111..'
Seattle, Wash.

Cloyes

Wm. P.

"Hugh R. Schlicting

Dallas, Texas

Harper & Son & Co.

shares
to

with
of

the

other

romance

Newark, N. J.

J. B. Hanauer & Co.

Newark, N. J.

Goldman, Sachs & Co.

New

Goldman, Sachs & Co.

New

"James B. Dean

J. W. Tindall & Co.

Atlanta, Ga.

"Milton R. Aronson

Aronson & Co.

Los

"Ernest Blum

Brush, Slocumb & Co., Inc.

San Francisco, Cal.

"Leslie J. Howard, Jr.

Brush, Slocumb & Co., Inc.

"P. A. Kosteiman

Zilka, Smither & Co., Inc.

Bert Friedman

"Firmin D. Fusz

"Donald D. Schubert

Bacon, Whipple & Co.

Chicago, 111.

"Homer W. Wessendorf, Jr.

Mitchum, Jones & Templeton

Los

Merrill Lynch, Pierce, Fenner

New

Chicago, 111.

Stanley M. Waldron

Angeles, Cal.

York, N. Y.

& Beane
Los

"Warren W. Webster

Bateman, Eichler & Co.

"William D. Byrne

Byrne & Phelps, Inc.

Angeles, Cal.
New York, N. Y.

Stein Bros. & Boyce

Philadelphia, Pa.
Baltimore, Md.

"Col. Herbert D. Blizzard
"Charles A. Bodie, Jr.
Robert J. Henderson

Holton, Hull & Co.

Los

Robert D. Alexander

Howard, Weil, Labouisse
Friedrichs & Co.

New Orleans, La.

Rauscher, Pierce & Co., Inc.

Dallas, Texas

Security & Exchange

Washington, D. C.

"John L. Canavan
Earl F. Hastings

"David

New York, N. Y.

Torpie & Saltzman
Eastman Dillon, Union

Sfaltzinan

"J; W. Zink

Angeles, Cal.

Commission

Los

Angeles, Cal.

Los

Angeles, Cal.

Los

Angeles, Cal.

Securities & Co.
J. F. Walsh

Eastman Dillon, Union

Miss Marion Fastnow

Eastman Dillon, Union

Securities & Co.

American

57,
yield on the issue yielding well up in the achievement in markets
pro¬
obligations, while 5 7 bracket. Its string of new
ducing up to 200 new lows
many of the blue chips have lows since the rights offering
through 4 the list v when The
yet to decline enough to put went into operation was a
pressure was - on.
*
them in contention with the rather
long one although it,
liens. This
rThe views expressed in this
attracted
the
situation, inciden¬ too,
bargain
article do not necessarily at any
tally, hasn't existed in the hunters once the market
time coincide with those of the
marketplace for a generation reached the
selling climax "Chronicle." They are presented

Portland, Ore.

The Illinois Co., Inc.

Fred T. Rahn

new

San Francisco, Cal,

Los

than

senior

York, N. Y.

Angeles, Cal.

Fairman & Co.

benefit. The stock has held up

York, N. Y.

"St. Louis, Mo.

Fusz, Schmelzle & Co.

V>i

"Herbert C. Irish

divisions.
the

Irving Stern

generally have
fight the down-

better^ luck

J. B. Hanauer & Co.

"Harry L. Arnold

well, at a level only a few
Telephone,
points under its year's high
is that some
potential inves¬ weighed down by the heavy arfd above its low most times
tors are
being shunted into rights offering, put on a rath¬
by a margin of 10 points or
bonds by the brokers who can er dour
performance for an better.
This
is
no
mean

situation, etc., the basic fact

Fort

Carr & Thompson

William S. Thompson

Los

The Bond Buyer

William B. Denney
"Samuel M. Kennedy

miracle drugs is responsible
betting is that uncertain mar¬ unless all of the industry and
in large part for the continu¬
kets are
going to be with us impartial projections are com¬
for awhile.
pletely out of line, could be a ing favor for drug shares, and
Pfizer has been prominent in
*
*
*
leading candidate for a sizable
rebound despite the course of introducing some of the newer
Despite the more spectacu¬
preparations of ever widening
the market generally.
lar news

influences, such

York, N. Y.

"Harry J. Hudepohl

been

has

been able

greater

tive lines, seemed to have

the

New York, N. Y.

Weeden & Co.

"James F. Moriarty

something
through uncer¬
markets and, ,in fact, the

pull

Minneapolis, Minn.

William N. Edwards & Co.

"Landon A. Freear

stalwart

diversification in non-automo¬

edge

York, N. Y.

Angeles, Cal.

Philadelphia, Pa.

Incorporated

have yet To be felt.

Pfizer

because

Kraft & Co.

Oscar M. Bergman

Stalwart Drugs

Ford

junior
grade debate with each side

sler,

Pittsburgh, Pa.
Boston, Mass.

"Verner H. Kraft

reason
for the
disinterest in Sears.

ago.

"Albert W, Feldman

long lists of sup¬
drug
stock posedly superior points. Chry¬

"market of

Angeles, Cal.

Denver, Col.
Dallas, Texas

William J. Burke, Jr.
"Lester R. Cole

projections of earnings
this year point to record-

comparative merits of be¬

"Market of Stocks"
The

T h

Los

Equitable Securities Corp.

trying
given to coast¬ for
wait until the ballots are in to ing along for the most, while breaking results. It has been
give a clearcut answer to the Chrysler and Ford attracted modernizing its facilities and
the
speculative element of the full benefits of the pro-,
bull-bear debate.
year, was more

motor-minded.

Cincinnati, Ohio

Peters, Writer & Christensen

"Homer J. Bateman

distinguished market years as
1948, 1949 and 1950, and the
new low posted this week car¬

tained profits well in a

those

Heimerdinger
First California Co.

"George E. Lestrange

the

two years

Cal.

Angeles, Cal.
Los Angeles, Cal.

"John C. Owens

stage
there is as much skepticism among the better-acting ones
Air Reduction is another is¬
among the major groups, a
over
any "bear market" stage
logical result of their being so sue that in recent years has
since it has been
mostly the
well deflated because of the fallen from its old-time high
high-priced issues that have
difficulties
the
industry investment status. But signs
been bearing the brunt of the
of improving fortunes for the
selling. With the election only bumped into this year. Gen¬
eral
Motors,
which
main¬ company are already apparent
a
little more than a month
away,
the more considered
view is that the market will

Milwaukee, Wis.

Dempsey-Tegeler & Co.

Heimerdinger
Manwaring

*S. Richard

The auto shares have been

San Francisco,

Walter, Woody &
"John G.

ried it back to levels of about

Better-Acting Motors

New York, N. Y.

Wilson, Johnson & Higgins

Los

Carbonic's basic business of

have shown

Angeles, Cal,

Allen & Company
Loewi & Co. Incorporated

Bailey

Stern, Frank, Meyer & Fox

the

•

was

Los

"James G. Fraser

full of the debate*—is the

There

Curtis

"William C. El well

fate of the bull market itself.

San Francisco, Cal.

Shaw, Booker <fc Co.

Peter W. Brochu

"William J.

Cal.

Paine, Webber, Jackson &

"Robert D. Diehl

last

Woolworth, another famous
producing carbonic gas, oxy¬ name and an issue that is in¬
gen, acetylene and dry ice has cluded among the
so-called
If, as a rather large contin¬ been growing steadily and'
"pivotal" issues, has had a
gent in the Street maintains, capacity has been increased
similarly dour market exist¬
the bull market is
With
the ence.
really over, and modernized.
It, too, has held in a
it will be the
strangest rever¬ profit margins improved, the range of half a dozen points
sal in history with few of the stock
currently is offering a and it, too, has yet to equal
secondary issues and even higher dividend to holders the peaks recorded in 1955
less of the cats and
dogs hav¬ which, incidentally, is now at and 1954. In fact, its best
ing a fling in the final stages. a rate double that of a decade
price this year has only been
*
*
*
ago. Earnings this year so far around the
highs of such un¬
was

Milwaukee, wis.

Baclie & Co.

"Henry J. Arnold

generally have
following forjmany
now, which could be

part

sfs

Beverly Hills, Cal.
Robert W. Baird & Co. Inc.

"John C. Hecht, Jr.

Store issues

Spivey

"Joseph T. Fuller

—

had little

un¬

Street

CALIF.,

"Thomas B. Walker; Jr.

re¬

progress

SPRINGS,

PALM

27th, 1956

"Harry F. Reed

In fact, it has yet to

range.

cently in eliminating some of

drags

"Joseph R. Dorsey

is normally
among the bellwethers
but for all of this year has
held in around six-point
neglect

points, and only recently come within reach of
worked
above
the price
at year's
peak
following
which it sold in 1946's bull
latest stock split.
market.
The
tf.
#
t'fi
company
has
made

Mrs. Irwin

HOTEL,

24th

"Robert W\ Haack

Sears Roe¬

listed

dozen

MIRADOR

OCTOBER

bull market of

has been

own

favorite

demonstrate

buck. This issue—to illustrate

compara¬

narrow range

REGISTRATIONS FOR 23rd ANNUAL CONVENTION OF NSTA,

Frank H. Buller

the

market

structive

be¬

ones

Liquid Carbonic, for instance,

its durable

big question left

answered

culled

ing

the

support.

some

monotonously. In fact,
signs were the rule in

15 of the

provided

temporary

the

rather

of the stock market

rescue

this

came

enthusiasm,

NSTA Notes

one.

line

old

yet to

that it is in la

The 468 level for the indus¬

fat

Neglected Retailers
Another

STREETE

By WALLACE

Thtirsday, October 4, 1956

...

Securities & Co.
"R. Victor Mosley

Philadelphia, Pa.

Mrs. Emilie M. Curriden
,

Philadelphia, Pa.
New York, N. Y.

Pershing & Co.

"Harold B. Smith

El Toro, Cal.

Edward P. Smith
Matthews & Co. Ltd.

♦Grant A. Feldman

San Francisco, Cal.

Daniel D. Weston Co.

-JohnR. Klima

St. Louis. Mo.

Waldron & Co., Inc.

"Kenneth D. Russell

Toronto, Ont., Can.

Newhard, Cook & Co.

J. J. Granton

"Richard H. Walsh

'"Maury J."Kesster

Toronto, Ont., Can.

Matthews & Co■. Ltd.

"F. D. Lace

Los

Piper, Jaffray & Hopwood

Minneapolis, Minn.

Angeles, Cal.

Reed, Lear & Co.

Cyril M!. Murphy

New

York, N. Y.

William H. Gregory, Jr.

Gregory & Sons

New

Pittsburgh, Pa.

John C. Legg & Co.

York, N. Y.

Thomas

Peirsol

Frank X

Cummings
Joseph Gannon
-

Peirsol

Co,

Bear, Stearns & Co.

May &

Gannon^Inc.

Beverly Hills, Cal.
Chicago. 111.
Boston, Mass.

and,

as a

result, not too much

attention

has been

paid to it

generally.
*

Individual

situations

that

promise, but have not
participated in the market

cate

show

stage. Unofficial reports indi¬
that the

impaired

financing won't
importantly

irregular markets since
in

posting

two years

new

even

lows for nearly

the margin over the

those

of the

"Walter W. Cruttenden

With Shearson, Hammill
(Special to The Financial Chronicle)

HARTFORD,

£onn.

—

Hammill

Lewis Street.

Joseph
Co.,

Cruttenden & Co.

Chicago, 111.
New York, N. Y.

Lewis R. Bulkley

First Boston Corp.

New

York, N. Y.

Edward H. Ladd

F\rst Boston Corp.

New

York, N. Y.

Jack B. Hanauer

J. B. Hanauer & Co.

Carl W. Stern & Co.

Beverly Hills, Cal.
San Francisco, Cal.

Wm. R. Staats & Co.

Los Angeles, Cal.

The First Cleveland Corp.

Cleveland.jOhio

Dempsey-Tegeler & Co.

Los

"Emil J. Pikich

Cusher has become affiliated with

Shearson,

Chicago, 111.

"Donald B. Stephens
"S. Edward Dawson-Smith

author only.]

Cruttenden & Co.

James L. Beebe.
Martin J.

Long

Paul H. Aschkar

37
"Mr. and Mrs.

Angelt?!;

Cal.

Number 5574

Volume 184

define

The New International

Lending

"economic

the

resources

International Bank's

discussions with

amounts from

private

actions

sources.

capital

significantly

well

Last year

in Istanbul I outlined

for an
International
Finance Corporation. This year I
plans

exists.

reality—the

the

report

can

IFC

year

32'

the

other

already before

will

not

dis¬

here I cannot refrain from

duties

my
a

the

World

nine

coun¬

tries expect to

me.~

the

In laying

down
Vice-President of

Bank

years

there

are

after

than

of service, I feel that
two
compensations to

first

The

vigor'

that

with

can

con¬

whether

—

investments

associates

our

unfamiliar

and

of the countries in which

some

expect

techniques

these

But

operate.

in financing

used

are

in the industrialized countries and

believe

they will

priate for

appro¬

prove

purpose.

our

The

machines.

very

There

the

risks

other

are

too,

reasons,

approach. The very fact
that we assume risks implies that
some of the ventures in which we

those

concentrate

entirely

where industry is less

areas

advanced

—

where

both

imported

funds and

experience can make a
significant contribution. The more

highly
industrialized
countries
will, we hope, provide many of
the partners with whom we will

certainly in some
we expect to invest in local
companies with no foreign par¬

join, although
cases

Only
by contracting in each case for
appropriate profits in.? the event
that the
enterprise is successful

participate

deeper in its opera¬
ever
before. Although

can

recogniton in
the less developed countries of the
need for specific skills in industry
—for the engineer, the
chemist,
is widespread

fare badly.

may

assure

fair over-all

nally, and perhaps most important

fundamental to the IFC
concept that we should constanly
of all, it is

greater need for

seek

executive experience, for the men

revolve

capital

our

ticipation.
Local Partners Important

re¬

turn, despite possible losses on the
less fortunate ventures. And fi¬

the mechanic—what is less recog¬
even

in4 that
returns

earn

with

intend

throughout

this

for

and

nized is the

the part

undertake.

marketing
and
advertising,
for "management
both
than

must

First, as to the location of our
investments. For the present, we

encourage
on

But to succeed

objective,

calls

there

investors

private

commensurate

technological development
communication and transport,

tions

demonstration

the world.

pace

tjiat private

affirmative attitude

vision

and

that

current

broader

personal note.

that

aware

Our thinking has been crystal¬
in the less developed
lizing on a number of other points,
prudently
made
and.
too, about which I would like to
properly managed, can be both
say a few words.
profitable and useful — and by

management are often worth more
than the most modern of buildings

corporation

factor

human

gence,

And

coun¬

appointed.

are

number

compa¬

developed

the Bank has long had for

which

being

that

have

into equity may be novel to some

argue

demonstrate

investment

asso¬

government or in private enter¬
prise—is a more important in¬
gredient than is money. In private
industry, in particular, the intelli¬

that the high hopes

mem¬

advised

join

less

and

problem over the past years
disproves this. We have found that

and

we-

and

which

directly from

the

convinces

bers

The .business

actual

are

inquiries

areas,

ciates in the Bank have had

tries.

accomplishments."

with

human

hear that lack of

terms which will impose the

stock

carrying such rights of participa¬
tion iff profits and of qonversion

misconceive our ob¬
jective. Our primary interest is
not
simply to help along some
selected private projects by mak¬
ing $80 or $90 million available to
them. Our purpose is much wider.

Factor

Human

often

who

this

their plans have
have had, too, some

promising

record

Today

terms

I
the
its
governments,
it
since

least possible financial burden on
the enterprises it finances. Those

perience^" which

when

matured.

investments

capital is the principal obstacle to
economic development. The ex¬

financial

desire

its

from
make

voices 'raised,

that,

purchase

price; in either case,
IFC,
although
it
cannot
itself
exercise the rights, will seek to
sell
them
to
private, purchasers
and
to
realize
thus
appropriate
gains.

obtained

the

and

areas

come

that I may be
able to

oped

partners

nies

trust

some

but

The

Too

indi¬

has

easy,

the
sense
in
speak, is not measured
in kilowatts or steel pro¬
in

values.

of such capital,

that nations

urge

should

duction,

Stating that no country needing
can be indifferent to arbitrary

warns

sure,

stipulated

Purposes

Corporation
capital

solely

Broad

i>e

ex¬

rights

nor

will

legiti¬

which

viduals must fulfill their contracts.

the

physical

mere

any

new

attitudes concerning the treatment

Mr. Garner

development,

industrial ventures in the less
developed areas and with financial partners. Points out
institution's capital will always operate ii& company with larger
the aid of international

There

freedom, rights "and desires
of the people concerned. Economic

of world's most experienced companies,

some

contemplating

are

naive

The

mate

Tells of

responsible industrial firms and financial investors.

that

end

of the good things
not include Jn this

pansion which ignores the

operations, reports great show of interest already shown by

which

life.

affiliate, about to begin

new

neither

shall
try
to
greedy.

partners.

definition

President of the International Finance Corporation

Head of

people get

By ROBERT L. GARNER*

development,"

the., mope effective
utilization of physical and human
meaning

Agency

(1421)

The Commercial and Financial Chronicle

...

this

connection, I have been

glad to find that, with few excep¬

tions, the
in

majority

companies
countries

recognize the desirability

seem

industrialized

the

seeking

local

they venture

when

partners

The excep¬

abroad.

securities from our port¬
tions mainly arise from the belief
coming
Robert L. Garner
who
can
make
sound
policies, folio to private investors. To do
sonal relations with my associates
that local investors may press for
months. fi u r
this requires that we
in the Bank: Eugene Black, with guide the enterprise as a whole
make in¬
most of the earnings to be paid
and direct the specialists. There vestments, not on "easy" terms,
presently paid-in capital of over
^rhom over these years I have en¬
must
be
the
"know
what"
as
$77 million has been tempprarily
but
on
terms
approximating as out in dividends rather than being
joyed one of those rare and satis¬
invested to give an income more
well as the "know how."
closely as possible those which the retained to build up the business.
fying relationships of mutual con¬
than sufficient to cover our ex¬
And
so
in
the
International market place finds attractive.
fidence
and understanding, will,
In general, howeves, the desira¬
penses.
I am sure, always make available Finance
It is with these considerations
Corporation
our
first
bility of seeking local partners
A~ small

enced in

tinue

staff

experi¬

men

finance, business and

en¬

gineering has been assembled and
we are prepared to sit down with
private enterprise and negotiate
deals.

investment
We

able

are

small

houses

tarial

and

even

of IFC's

ex¬

numerous

and

naturally we
any
investments,

leaving the

have

nor

reached in any case the stage

cations and

which

appli¬

numerous

inquiries include

many

Some have

unsuitable.

are

been

such

field,
or
in¬

financing

export

utilities
or
government enterprises or social
schemes. Some are of a type which
IFC
at

later

lated

public

be prepared to consider

may

Others

stage.

are

L had

al¬

been connected prior to

with the

enterprises, the field in which IFC

while

its

in
this

unsuitable

its

early

category many
too

small,

are

reason¬

sideration.

been

have

gratified

and

encouraged by the interest which
responsible industrial firms and
financial investors have shown in
the functions

companies

IFC.

which

cussions with us,

terms-

specific
the

best

firms

with

and

the

contemplating
tures
*

gural
of

overseas

Address

the

view

IFC,

are

most

some

which

industrial
the

Garner

the

experienced

world,
new

Mr.

Meeting of

Among the

have had dis¬
either in general

proposition,

less
to

are

ven¬

devel-

the

Inau¬

Board of Governors

Washington,

Sept. 24,

Just

the

Bank.

role

their

1956.

governments

functions
development. Many

things only public authorities

can

do.

Nevertheless, I believe deenly
that the most dynamic force in pro¬
ducing

better life
worthy

the

initiative

ments

with

that

likewise

partners." This
if

exhibit

aiming

demands

contributions

and

risks

the

'in¬

ourselves

forms

while

our

provide

usually

and

additional return

private
may

which

obligation

of* our

can

sell to

These

rights

expressed
of

all

into

to
we

investors.

conversion

the

rights

some

rights

part

capital

This advertisement is not

NEW

essence

The

offer to sell

or a

it-

investment, I

Second,

decision to
trial

the

solicitation of

enlightened

business

promise of rewards

concentrate

of the corporation's life
on

the belief

eral, the field
in

which

Customers
It

based

will

and

Must
on

benefit

managers

of industry is the
we

can

most effec-

Continued

offer to buy these securities.

the

concept

most

if it

its

best

Company

Common Stock

I
Satisfied

($1 Par Value)

that

owners

satisfies

its

customers; if it promotes the"
legitimate
interests
of its
em¬

ployees; if in all regards it acts as
a good
citizen of the community.
It is moved
by the desire to
earn
a profit—a most respectable
and important motive, so long as
profit comes from providing use¬
ful and desirable goods and serv¬
ices. It is my belief that the best
services and the best profits result
from a competitive system where¬
in

skill

and

efficiency

get

their

OFFERING

Kuhn, Loeb & Co.

just reward.
As

have

said,

con¬

viction that private enterprise can

play

indispensable role in eco¬
development. And let me

nomic

PRICE $10 PER SHARE

Copies of the Prospectus may be obtained in any State only from
undersigned and others as may lawfully offer these securities in

October 2,1956.

that, in gen¬

offering is made only by the Prospectus.

rush Beryllium

indus¬

based

375,000 Shares

The

years

one

kinds of in¬

ISSUE

according to what the individual
accomplishes.

expect to make. Our

successful

and

concerns.

It holds the

be¬

partici¬

enterprises for the first few

of the

stock,

as
we

system

most

that IFC

should regard the

vestments

think

condition

the

of
competitive
private
enterprise—20th Century model—
as
it has been developed by the

approach and,

do not propose

insist

making

lieve

for

minimum fixed interest, we

ownership

while

should

recognized.

sensible

venture pation of local investors
invest¬ important ^favorable factor.

depending upon profits—if any—

invest¬

against

in the

this

seems

indi¬

the

of his individual talents.

Thus

will expect some

ments, refrain from makig exces¬

produce, to achieve for himself
and his family—each to the best
this

some

judg¬

sound

while

And

to
are

but

shall regard

will

ments

investments

obligations,

capital.

business

reasonable profit from our

sive

our

providing

and

result

can

the

exercise

and,

make

vestors

whom

strive

shall

investment

for people,
life, comes

primary

character

those

have been formu¬

pattern. Our charter provides that

character

put

proposed

our

form

the

associate,

establish

"good

necessary

economic

supply

shall

viewpoint,

of
of

can

management

fairs

and

number deserve serious con¬

able

obtain

only

in¬

years;

concentrate

vestments

associate

asked

Certainly, I give full measure
to the importance in human af¬

re¬

predominantly industrial

proposes

private

ways

entirely outside IFC's

vestment

vidual—the opportunity to create,

Applications

Inevitably the

problems

work

from

Varied

area

enterprise, with which

and

of serious negotiation.

the

in mind that

lating

are

and competence.

The second compensation to me

and

inquiries,
but
have not yet made

applications

Bank's of¬

of the

partners with whom

emphasis

personalities in all of

have received

knowledge and trained

of all

selling

question will be "Whether the pri¬
vate

experience

accumulated

oflts

the two months

istence

with

member countries.

our

capacity

and

heavily

Bank.

experience and knowledge of con¬
ditions

the broad

and

count

secre¬

our

accounting needs, fur¬
experienced legal

benefit

will

of Bank oper¬
ations is to be able again to deal

World

for

cares

our

and. most valuable, affords

the

wide ^.experience

judgment,

associates

with

talent
us

us,

and

nishes

operate with

the

with

affiliation
It

his

shrewd

ficers and staff.

because

staff

close working and per¬

such of the
such State.

McDonald & Company

page

The Commercial and Financial Chronicle...

(1422)

made

Inflation—The Termite

the

feel

full

the

tragedy

conscious

burden

becjome

and
the

sorely

that

fact

thev,
themselves, are paying the bills
for. their
alleged security.
And

Of Civilization
Executive' Vice-President,
of

Salt

Lake

body's

Bank and Insurance Stocks

that educational program is some¬

ADAMS*

ORVAI^ W.

Bj ARltfUfc B. WALLACF

Whose?

Ours!

Bank

National

First

City,

responsibility.

This

At this

Utah

moment there is

very

In referring to the

role played by past inflations in causing
Utah banker calls for courage¬

Touching again

being waged, fraught with
vital consequences than any

few to stand up

ous

sound

won

by printing

perpetual deficit financing

money;

over

money

press

sound fiscal

over

Federal

policies; and electorate's willingness to surrender freedom in
return
for economic security-promises made by politicians
other country than ours could have

retirement
What I have to say will arouse
rso

cheers;

Perhaps that
subject is so

dry

dust.

explains why
often avoided.
the

the
At

outset,

ponder

the

words

James L. Gor¬
don.

These

"words carry

meanihg hav¬
ing to do with
the

im¬

most

portant

func¬

tion of money

storehouse

—a

o n e

powerful

be¬

cause

it repre¬

sents

What

mendous

investment

made in order to

tre¬

has

produce

been

dollar

—time, thought, effort, toil, con¬
flict and
high-nerved endeavor.
Therefore
is

the

take

most

world.

care

costly

it
the

money;

thing

...

"Time is money. Money is char¬
acter.

Character

destiny.

these

three

to Tack logical connections
remember
the
suggestive

you

then
words

short

sentences

buiwer

bir

said,

"Never treat

with

levity, for
Money is

acter.

seem

Lytion.
is

money

char¬

character.

How

kind."

pendent

economically

public

the

upon

de¬

methods,

That

should

song" for

the

"theme

all Americans.

American businessmen and edu¬
cators

know

must

and

teach

spe¬

cifically:

party

extend

its

representative
into

then

powers,

republic

socialism

dictatorship.
A dictator is
nothing more than a receiver for
a

Suppose that under the attrac¬

philosophy
abundance,"

the

national

wealth?

Suppose

that many people still believe that
it is possible to get something for

nothing,

and

further

That

all

ernments

join in the
looting of the
What then?

public treasury?

Historians' Answer

Historians and the wisest polit¬
ical

thinkers

repeatedly
In

all

given

time

the

haye

answer.

voice

one

hear

much

today of the
evils
of* capitalistic exploitation.
If such evils
exist, and they do
and
always have, atbr informed
citizens

will

welcome

Eut what

that

their

re¬

by wise, just legisla¬
we

should

see

to,

the

any

and

re¬

not

That

politicians

are

office
and

all

persua¬

disposed to make public
personal, vested interest,

frequently

have

been

political

built

tained by the

parties

and

common

main¬

practice of

feeding their following out of the
public
treasury,
giving
little
thought to the vital principle of
sound

money

vvhich

upon

maintained.
office

new

*An

jobs

their

find

sources

the

foundation

solvency is

They discover that

contributes
in

—

national

address

perpetuation

and

exhaust

revenue, to create
rewards

for

by Mr. Adams

party

before

21°V195b0tary C1Ub' Pr°V°' Utah'

Sept*

suffers

legislation,
earns
his "daily

daily toil.
A vast
live by industry.

made to pro¬

was

and

security;

all, security."

but

It is indeed

rare that we can find such a
large proportion
signs opposite the adjusted figures in a group that contains a good proportion of leading companies. The rate of increase
in premium volume for the half was around
3%, and approxi¬
mately 75%. of the companies listed here participated in the

increase, which

make

government.

price of

this

prove

liberty.

our

tingly accept the establishment of
totalitarian

state

this

land.

They will fight it°, if they are able
to recognize it, as it creeps upon
them.
who

There,

are

would

among

some

'exchange

political
liberty for what they imagine is
economic

security.
In this they
ignore the historic fact that eco¬
nomic liberty or any other liberty
is
impossible
without
political

liberty.
When
will
the
mass
public, who hold the voting con¬
trol, be made to understand that
solvency is no small matter? It is
a

sacred

thing.

cornerstone
ernment
men

they

free.

that

the

kind

makes

The

become

the

and

answer

informed

very

gov¬

keeps

is—when

through

nationwide plan of economic
education.
Or when, if it is not
too

late,

they,

themselves,

are

between

addition to the statutory result.
striking is the fact^iat of the 24, only 16
came
down to net with earnings; the
remaining eight showed
deficits. This, too, is an unusually poor
showing, for it means that
with net investment income thrown in, these eight still came out
what

But

the

this

point,

let

many

how

have

continuously conscious of the
methodical, deliberate manner in
politicians have done their
work

against

these

principles^ They have in our
long before the advent

very

the

president

one

showing!

poor

showing

The

large companies so aptly
period in which every major

our

was a

authority brought out that-

same

fire

lines

started

the

basis

the

immediately

during which

years,

World

War

system

money

irredeemable,

II, debased our
by substituting an

politically

cbmpanies writing over

aged, printing press currency, the
springboard to police government.
It is

Automobile

preceding

the

watchtower

recognize

even

men

able

seem

approaching force
disintegration. And as for the

they

masses,

been
that

able

seem

never

identify the

lin^s^volume of

tively well.
are

portion

reductions

take

higher
a

was

for extended coverage.

losses

tolerated

have

fire

the

been

rate

automobile

and

particularly

Had The

companies.
could

hav^

Schools, Bankers,

for

spot

sore

Really, what

same

zens

possess

make

impressive
historical

these demonstrated

How

impress

the

vital

money

men?

must

upon-

we
proceed
the public mind

importance

government

Have

not

the

sound

free

schools

responsibility to teach this all im¬
portant

concept?

not

the

duty of t{ie bankers, and this in¬
cludes

the

are

insurance

executives, who

custodians

of the savings
thrifty citizens, to
education dealing
money question?
Every

millions

disseminate
with

the

boy and 'every girl in every school
and in every

college in this great,
nation, should be required to
complete a course'and gain a clear
free

understanding respecting solvency
in government.
It is
axiomatic,
non-controversial,

the

foundation

policy

and
that
a

possible

Continued

therefore
only

sound

for

fiscal
a

free

on^page 39

losses

the

and

insurance

about average, the companies
Many companies could not

cuts.

representative

nearly $90,000,000

Some observers feel that the

group,

was

industry is facing the unfavorable

The companies will have to live with the re¬

phase of its cycle.

duced rates for some time: and if there is no
loss

experience

Invent.

Adj.

Federal

Agricultural

Net

Liquidating
Value

$0.61

$125.01

$0.01

—0.82

67.02

$2.00

—2.12

—

shorter

Earnings

Taxes

Income

—$2.29

while.
Und.

Aetna Fire

improvement in the

might well have to

industry

the

earnings rations for

1.31

Amer. Insurance—

—1.31

1.30

0.03

'*—0.04

52.04

Bankers &

—0.36

1.84

0.15

1.33

94.31

150

1.36

1.84

2.02

56.30

—0.66

1.50

0.04

0.80

77.13

0.32

0.74

0.18

0.88

40.19

4.61

2.32

3.15

3.78

124.45

0.05

0.80

89.31

—1.35

70.65

Ship.---

Cont.

Casualty
Insurance___

Federal Ins

Dep

Fidelity &

Fidelityr Phenix
Firemen's

—

Fund___

Ins.

___—_

No.

Co.

Amer.

Casualty

0.78

0.02

—0.84

107.37

0.65

1.14

2.34

103.2Q

0.08

2.21

0.51

68.80

—0.51

2.43

0.55

41.35

—1.71

72.78

M...

—3.08

2.98

*0.37

0.27

87,61

2.83

*0.17

0.66

131.21

0.09

0.11

1.80
-

1.38

—

Standard Acc.__,—

Gty...

95.59

—0.82

f 1.16
1.17

0.25

42.86

1.01

46.92

5.59

Ins.

S. Fid. &

1.87

—1.98

Paul F. &

Security
U.

2 06

—3.25

—0.31

Fire

Prov. Wash..

Seaboard

1.74

—2 34

Amsterdam.,.

Northern

St.

1.65

—3.58

Union_

Pacific

—0.80

—3.09
—2.57

Glens Falls

New

powers do the citi¬

for

the 1955 first half
changed to a statutory
of $38,000,000 in the like months of this year.
the

gain

statutory

Nat.

Insurance

Package

both without much pain.
Thus

Maryland
Failure

bringing much sharp competition.

are

The' incidence
rate

hang-over claims from 1955; but

were some

the vulnerable months

are

policies

There

getting toward the end of the hurricane season, and that
of the calendar plus the tornado season in the middle

now

enemy

destroy their poli¬
tical, economic and social liberty.

good

which is large, are also turning in
there were less favorable results in
marine, inland navigation and automobile collision.
Ex¬
tended coverage, which had hung up such a^very bad record in all
except one of the preceding six years, bids fair to show up rela¬

Firemen's

comes

of 'five

quite adverse showings; and

this

four

large representative group of
half cf the volume of all stock companies

ocean

Cont.

indeed when

rare

evident

showed a combined loss and expense ratio of 94.6%, or an under¬
writing profit margin of 5.4%.
This compared with a profit
margin of about 1.1% for the same group in this year's first half.

man¬

time, and
of

and

underwriting

pause

been

destructive

reserve was an

also

built up into 1956. Unfortunately, cdincidentally, new
lower rates wenf into effect, ordered by the supervisory authorities

loss

observe

unfavorable

.1955,

econ¬

servitude."

axioms?

American citizens will not wit¬
a

election

our

and liberty, or profusion and

omy

that in these instances the contribution of

means

unearned premium

west

(

-a

out

some

the

interest
who

this^industry, to give it both

above

effort to multiply the

vigilance which will

representative

have

stand

must

the

been spared
Ihis process of exploitation.

sions

fathers,

gov¬

at the expense of the
property, liberty, and lives of their

citizens,

our

against

functions

publics

to retain any vestige of
consent of the governed,
we,

tneir

multiplied

tect

which

powers

through history,
have

his

The constitution

would

systematic

the

and

who

man

majority

are

politics

deepest

mischievous

the same subject, tlw^im"economy
mortal
an •
of
deficit spending'
<$talwart
Sbuthern
promoted
under ^
paternalistic Democrat, Thor&as Jefferson, said:
"To preserve our independence,
government, the voters are further
duped and deluded to permit un¬ we must no.T let our leaders load
restricted political despoliation us with
perpetual debt. We must
tive

parties,

understandings.

If we

importance,

the

bread
<■

the

currency,

encouragement

nation gone bankrupt.

of all people center in the
preser¬

partisanship.

transT
eyen}-

and

tual

has

lify

vation of sound

money.
the problem transcends

of 1956.

line made

country to be on
those who would

out of their

most

consolidated, except that in several

pointed out, the 1956 first half

1834;

industrious

every

this

against

sound

hoped-for cure is not
malignant than the disease.

Tnat

are

in the red.

"The very man above all others

defeat or crush its
to modify 0£ nul¬
constitutional restrictions so

tion.

That the well-being and destiny

admonish

who

moval—but

Well-Being and Sound Money

opponents and

is character!"

contribution

Daniel Webster said in

them

is^ powerful
enough, by the application of such
once

destroyed themselves.

money

what

Webster and Jefferson

guard

office.,

When

it.

Yes,

"the

that

To tax, tax—spend, spend—elect,perpetrate against them p double
eject—-and by prolific spending of
fraud—a fraud to cheat them out
"senseless" currency they aim to
of their earnings by first cheating
entrench
themselves
in

they declare that that
is precisely the manner in which
all
preceding
democracies have

How you are influenced by it.

And

laborer

purse.

How you keep it. How
you invest it.
How you spend it.
How you hoard it.
How you use

it.

you get

said

in America have made to that

The data

of minus

inglorious retreat!

citizens

affairs

money

even

retreat of liberal prin¬
ciples throughout the world is a
consequence of the decay of the
money
and
credit systems that
gave the 19th century a unique
advantage in the annals of man¬

industry.

where foreign affiliates are owned, their
figures are not in¬
In this schedule we find that of the 24
companies only

or one-third, showed adjusted underwriting profits. Adjusted
underwriting results are a combination of statutory gain or loss,
plus the stockholder's equity in the change in the unearned
premium reserve for the period covered—in this case the first half

'
has

the

eight,

which it ac¬
of demagogic

years

Stocks

cluded.

con¬

not

has

cases

much.

Orval W. Adams

Someone

lead

lost

out

present

adherents, to permit more and
more people to fatten on the pubr;
lie
payroll, to make more and

formed

of value;
"M

program.

that

fear

the
quired in 20
government.

ruthlessly
violated sound economic principles so long without suffering
complete wreckage. Asks why we cannot educate the man on
the street, bankers, insurance executives and labor leaders
of the dangers of printing press money, and what made dic¬
tatorships possible in Germany and Italy. Offers such recom¬
mendations as: re-establishment of gold standard as first
line of defense, and $3 to $6 billion annual Federal debt
asserts

trol.

yet

Mr. Adams

solely seeking to entrench themselves in office.

our

spending

Insurance

—

the fire-casualty insurance stock results for

the 1956 first half, this week there are
presented bitaken-down
earnings figures for 24 companies, "mostly among the larger units

time, between a
sound medium of- exchange and
printing
press
currency.
The
printing press was long in the
lead as it always has been when

and explain the^consequences which in¬

evitably follow the battle

other

Week

contest

civilizations and cultures to die,

Thursday, October 4, 1956

1.57

2.38

4.78

—4.36

jr.66

0.05

—2.75

—1.51

2.38

1.16

2.29

85.79

74.35

0.87
.

0.15

90.41

3.30

84.19

Volume 184

Number 5574

The Cofnmercial and Financial Chronicle

...

■

The
by

Day Of Judgment
this

window

magnificent
in

is depicted.

stained

Gertrude's

St.

(1423)

glass

Church,,

Franklin, Illinois. This breath-tak¬
ing window

was

designed and made

in the United States, and its
is

supported by
steel

USS

mulfoPhs

further evi-

•

farm,

industry,

church in

•

of steel, which

—

dence of the versatility
serves

weight

network of slim '.

home

many ways so

and:

well.

2 Million Volts

will be

generated in this all-steel

transformer tank. It is part
used for industrial
This trade-mark is your

AMERICAN
OIL

WELL

were

o|an

x-ray

machine

inspectiomUSS steel plates

used for the important parts.

UNITED STATES STEEL

For

guide to quality steel

and sheets

further information-

BRIDGE.. AMERICAN

SUPPLY..TENNESSEE

STEEL
COAL &

on any

WIRE

product mentioned in this advertisement, write United States Steel. 525 William Penn Place, Pittsburgh SO,

and

CYCLONE

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UNITED STATES STEEL HOMES.
SEE The United States Steel Hour. It's

INC.

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COLUMBIA-GENEVA STEEL

CONSOLIDATED WESTERN. STEEL

STEEJ. PRODUCTS.. UNITED STATES STEEL SUPPLY. .Divisions of UNITED STATES STEEL CORPORATION,

UNION SUPPLY COMPANY

•

UNITED STATES STEEL EXPORT COMPANY

full-hour TV program presented every other

•

UNIVERSAL ATLAS CFMENT COMPANY

week by United States Steel. Consult

your

local

newspaper

•-

PITTSBURGH
6-1848-B

for time and station.

Pa.

STEEL STRAPPING... NATIONAL TUBE

.GERRARD

The Commercial and Financial Chronicle

(1424)

The

the

K-l, reports
in

9.1%

period

increase' is attributed largely

the

broadened

approved
March

20,

stocks,

bonds and

well

the

permitting

1958,

billion

com¬

The

Fund's

follows:

stocks,

1956,

31,

preferred

12%;

Bonds,

6*0%, and

was

stocks,

common

28%.

Mica

Contract

MICA

Fund

announces

with

Distributors,

Inc.

sales agreement

new

the

Mutual

the busi¬

that augur well for

the national economy in the months to
come.
Among them are: steel production is back at capacity;
capital expenditures for plant and equipment continue at high
levels; both employment and spendable income are rising and
retail trade has improved and residential building has been holding
steady at the reduced level reached earlier in the year.
The Wellington executive slated that there is a better feel¬
ing in the automobile industry now that production, sales and cars
in dealers hands are in good balance.
Preliminary estimates are
that automobile production in the 1957 model year will be at least
as good and probably above the 1956 model year.
The national economy approached a ceiling of available man¬

diversifi¬

portfolio

Aug.

Kulp listed various developments on the general business

Mr.
scene

issues.

cation

Fund stated in commenting

dollar Wellington

outlook.

ness

preferred

general business level is expected to "edge up" in the
fourth quarter of this year and indications point to a rise of about
4% in production during the coming year, A. Moyer^Kulp, VicePresident and Chairman of the Investment Committee of the half

portfolio policy

and productive capacity about a year ago.
Progress since
been limited to the rate of increase in production facil¬

power

Investment

has

then

available

Edge Up

by the shareholders on

Fund to invest in
mon

Business to

Fund

Boston

over

through

lay-away

plan

eral

made

millions

Mr.

economy continues to

Barnard

Luce,

Jr., Presi¬
dent of North American
Planning
Corporation, New York City.
North American Planning Cor¬
poration is an independent selling
organization
systematic

formed

investment

sell

plan

the

Luce

explained

that while

the $10

monthly lay-away plan is
entirely new, the fact that

not

acquisition cost of the shares,
the

under

vestment

company

increased

been

the

fering price from 7 % formerly
sales

less

than

llowed

all

mutual

being

the production ©f a
Recently announced

of steel.

expansion programs of the steel
industry foretell of a growing out¬

re-

I Coal Outlook

I
deal

fund

required
ton

1x3111$ UAt]€S

The

$25,000.

entire acquisition cost is

(a high-grade bituminous) coal is

FIF Assets

of-

let for coal.

sponsor

ported
at the

Stocks for Income
thirough

I
series

cause

of their relatively

rent

yield

high
reasonable

and

Boston

Fund,

►

and other information
be obtained from your in-

vestment dealer or:

for

Research

;

After

-^nd

the

bituminous

coal

of declining output

years

the'coal

inqus-

the

coal

industry has

ities,

coal

stability not offered

portfolio

20%

exceecTed

1956

the

period of 1955
upward trend is

The

pected

What

the

are

worth

"majority,

FIF states, of the

this loss of what

was

Dept. C

Tel.

FEderal

3-1000

The
coal

im~

than

electric

making

utilities

for

the

loss

of
sales to railroads. Electric utilities
are

expected to burn

1956
the
as

THE COMMON
STOCK

FUND

Group Securities, Inc.
Incorporated 1933

A mutual fund

income

growth

through

common

selected

for their invest¬

ment

stocks

quolity.
■

———

PROSPECTUS

REQUEST

from your investment dealer

Distributors Group, Incorporated
63

Wall

Street, New .York 5, N. Y.

and electric

recently as
Today, FIF

source

utilities

coal is the
of energy used fco produce
notes,

provide
a
quarter
and
water
power the rest. As the best water
sites

both

harder

are

oil

and

getting
expensive to

gas

utility market.

Gov-

eighth an-

has

generally

been

next year," said
Fred E. Brown, Vice-President of
Broad Street Investing Corporation, National Investors Corpora-

tion and Whitehall Fund, all

mu-

^Witb* jobs and inaround record levels and

tual

funds.

comes
retail sales at their highest," Mr.
son

believe

that

every rea-

$10

Boston

month

each

ers

remind¬

Planholder

for

his

Each monthly
increases
the
plan-

ownership interest in
and
through
the

Fund

diversified

list

and

America's

super¬

leading

Mr.

Luce

that

have at

stated

Planning

North

least

expects

300 salesmen

the

field within the next 96 days, un¬

In¬

the

der

capable

direction

Charles T. Ross, Vice-President in

charge of

seeming

"At

sales.

the

repetitious,"

risk

Mr.

Luce

said, "In the over-all, our type of
plan is not entirely new.

$10 is

What is

s^ares

should

continue

floor office of the

Charles W.

client to meet

at his

popped into the ground

Scranton Co. At that time

Mr.

corporation was headed by
Scranton, Sr., and included his

son,

William,

sup¬

and

Leonard

ported by John

Hotchkiss,

McKeon, who

was

later to become the head of the firm.
William Scranton had the

being somewhat of
his desk

turtle; when

reputation

jokester

and

ink well in the form
one

with

greeted

was

lifted the hood,
a

slip

paper

reading "'Rubber."
William
two honds

rgplied

asked

that

hookers

could

local issue,

one

supply

to which I

Hubert F. Atwater

the ' neighboring

had

bought two from me a few days .before and
agreed on a price. While the neighbor was
taking the bonds from his vault I asked for a check to his
order for our cost and another for $2.50 to our order to
after

dicker

the

cover

Mr,

brokerage.

Scranton, Sr. thought that it

was a great joke on
boys and told them so. The next week he invited me
into his private office and
suggested there was a place

the

for

with him.

loyal Connecticut descendant I recognized this
nutmegs-

the award of the wooden

Feminine Observations

fund

be
that

of Delaware

Fund

high

de¬

never

just delivered a hefty bundle of
Dowager. Unrolling the package she noticed

Banker

had

not

folded

the

bonds

usual

delivery.

She

Messenger Bad

the

before

Delaware Fund. Sales

afternoon of Sept. 10,(4909

on the
half hour wait for

the

bonds

continuing at

New York City

banjk.\ With proper foresight* I

good."

Sales

Award

the*opportu-

njties for the sale of mutual

are

which

under

little

Custodian sends monthly

American

the .^dynamic

10 years. The Chemical Corn
Exchange Bank of New York as

raining hard

was

and I had

opir^

investmen*

York

responding to stimulating factors
and shows promise of continuing

are

find, coal is slated to increase iis
share of the

1957, in the

New

"Business

already developed

and

into

well

Brown added, "there is

1949.

about half of all electric power in
the
United
States; oil and gas

power

investing

and

coal in

thap was consumed by both

Pmfoads

and

for

sale of mutual funds 'should con-

active well into

increasing consumption of

the

for

conditions

p.,,al mutual fund sales convention.

once

payment an. in¬
North American

corporations.1

job-holder

any

accumulates

Wood Walker & Co.,

manager attending the

portant market for coal.

Certificate

North

Members, New York Stock Exchange

consumers

is largely, history, and using 'today as a starting point, future
operations will not reflect

follows:

By HUBERT F. ATWATER

Airways.

Therefore,

locomotives.

of coal

Development Securities Co., Inc.

1033 THIRTIETH STREET, N. W., WASHINGTON 7, D.

was

Sales to Prosper

tinue
ion

his

The Wooden Nutmeg

had

behind

reasons

the loss of railroads

GET THE FACTS AND FREE PROSPECTUS

major industry divi¬
commitment in

Braniff

Favorable

powered

FUND, INC.

repre¬

continue.

traffic

MUTUAL

companies

ex¬

nation's rail freight and passenger
is being hauled by die^el-

DEVELOPMENT

stock invest-

approximately
$550,000. The largest holding was
in Allegheny Ludlum Steel at $1,055,000;
smallest
was* $239,000

lor coal?

The

102

stock

one

this-abrupt change in the ou.look

ATOMIC

rather evenly diver-

common

Atomic

was

sions. The average

20%.

through

recently^

> As of the retent date, theyFund's

any

initial

vised

dis¬

American

Boston Fund shares. 5 As his

Energy

six years ago.

sented

months

monthly plan payment for

or more

a feature which is providing
companies with a "built-in"

coal,

1954, the nation's
was

Plans,,/

large amounts of

Since July,

corresponding

ATOMIC SCIENCE

for

a.bove the 1954 level and the first
six

Atomic

the

and

Commission

ments

production

North

participate

can

production.
^
contracts are being
signed with steel companies, util-

turn for the bet¬

output of coal has increased stead¬

the

Long-term

marked

With

works

vestor receives

Fund

growth of the nation with his $10

coai

with

ily—1955

ex-

explained that

Plan

1954.

sified

ter.
New York

coal

will be

increased more than 66%
Exports are continuing

ports
over

five

falling profits,

taken

Corporation

States. -1955

United

segment of

Established 1930

Broadway, New York 5,

invest

the

try and especially the bituminous

Securities

National

120

Fund, Inc. is most opregarding the long-term

outlook

j (industry,

pectus

Financial

management

timistic
►

potential market is

Under

strong, and af-e currently account-

Industrial

ex¬

coals found in Eastern sections of

Mr. Luce

American

Boston

recog¬

thereby ■ broadening
the
base
of
ownership of American
industry and creating a new kind
of economic democracy.

ing for more than 10% of domestic

may

creased amounts of the

portfolio during the 4th

The

cur¬

pectance of its continuance with
.,sjr
.
. ~
'
regard to the risk Inyolved.Tfos-'

additions

new

burgh Consolidation Coal Company—two of the leading factors
in the bituminous coal, industry,

diversified group
selected be¬

fiscal year, Aug.

especially
demanding inhigh-grade

steel producers, are

the recent fiscal year
Pittston Company and Pitis-

were

stocks

common

re-

million

quarter

mutual fund, the priihary ob¬
jective of which is to-priovide an
of

the

the Fund's

investment in

of its

end

Among

National Stock

Fund

31, 1956, compared with $40.8 mil
lion a year earlier.
*

Investing in Common

Industrial

net assets of $50.8

that his

program

completed.

payment

level,

markets,

European
Financial

listributing the shares.

vestment

planning"

holder's

and

tinct forward step to the selling of
mutual funds on a greater mass

"1—

■

has

agreement,

new

option, thus
planholder, in
a

assurance

monthly payments.

Vance, Sanders & Company, one
tof the largest distributors of in¬

nizes this vast new investing pub¬

The

is tied

investor's

providing the
single package,
"estate

low-

unusual

insurance feature

the

for

Mr.

lic

/■■/;■

life

developing since the 1930

ities, rise in the labor force and improved productivity, Mr. Kulp

shares.

corporations.

Fund for

stated.

Fund's

Plan

mar¬

tribution

the

cost

ket among the new population of
salaried workers which has been

Company of America for the dis¬
of

ln->

Electric, General Motors, du
a host of other leading

Additionally,

and expand, according to

prosper

Machines,

Pont, and
U.

$10-a-month-

working people who are becoming "the new investor class" as
the nation's

companies

Business

Standard Oil of New Jersey, Gen¬

Contractually

By ROBERT R. RICH

1955.

ternational

Fund,

of shares in such

Fund Naw Sold

Mutual Funds

increase of

its August dividend

comparable

This
to

Income

Keystone

Series

into the Fund, he automati¬
cally becomes' the indirect owner
put

Vance. Sanders

Keystone Dividend
Up 9 Per Cent

Thursday, October 4, 1956

...

exclaimed.

been used

"What

beautiful

bonds,

they have

before."

A widow bought a 5 % bond costing $960, and count¬
ing the coupons she found they amounted to $37o. Her
triple today's leveL and by that Nelson, President, reports in his
comment^yas, "How Come"? It was a pleasure to read
time the power
industry may need latest semi-monthly Directors' 'the opening line of the bond "For value received we
as
much as 500 mililon tons of Letter.
If
they maintain
their
promise to pay $1'.000, etc."
bituminous coal
a
A not so young Spinster sold her American
year —more
present pace, he predicts,
"SepTelephone
than
the total production of all tcmber will
& Telegraph rights with the commenWAt
prove to
my age I can
b| a better
1955.
month than August, which
not expect to live long
was,
enough to retrieve the $100 cost
eminent

1975

sources

eleqtric

estimate

energy

that

oiitpwfet will

spite

the

softness

mvestment

market,

the

general

Linton

About

one

ton

metallurgical

itself,

very

satisfactory."

of the stock in dividends."

Number 5574

Volume 184

The Commercial and Financial Chronicle

...

is the fact that Boston Fund,

new

the oldest and

one

best

known

funds in America,

mutual

week

invest

the

Hooper

New York Stock Exchange

Klend

Earl

Hooper of' Gearhart &

The New York

Otis, Inc.'s trading department, is

has announced the

Ameri¬
now

economy."

recuperating at home after

serious

Canada General

would

operation.
be

gilad

Mr."

many

street.

Meader

his

$77,000,000
Canada

friends and associates in the
Write

him

Fletcher

Fund

Stephen

Henry

from limited

Street, GlenHqck, N. J.

General

following firm

retired

from

partnership in Mitchum, Jones &

Co.

Sept. 30.

Kirby

KANSAS

CITY,
Johnson

branch

office

partnership in CJuinn

Edward

Pitluga.

Baltimore

D. Sheeline &

the

new

of
associ¬

Also

office

Mass.

—

Wayland

Combest,

Madelon H.

John

Mr.

Minot,

Co., 31 Milk Street.

has been

who

the

Earl

are

Minot has joined the staff of Paul

investment business in
L.

Sept. 30th.

1016

BOSTON,

Mo. — Dew. y,
is- opening a

Avenue under the management

ated with

withdrew

Paul D. Sheeline Co.
(Special to The Financial Chronicle)

King

Templeton

Assets Now At

Exchange

changes:

Hooper

hear from

Stock

Wayland lft. Minot With

Dewey, King Opens
Kensas City Brans

Weekly Firm Changes

now

being made available to the small
investor who has as little as $2.50
can

Earl

(1425)

Boston for

Buterin,
many

Thompson, and frank

years,

formerly

was

with

Clayton Securities Corporation.

Westbrook, Jr.

(1954)

Limited reports total net assets of

$77,745,088 at the close of its fiscal
$13.54

1956,

31,

Aug.

year

per

eq\rak to
5,740,828

outstanding..

These figures,
highs for any reporting
period, compare with net assets of
$65,616,751, amounting to $11.64
per share on the 5,637,242 shares
outstanding at the end
of the
previous fiscal year. The number
all

shareholders

new

about

26,000

increased

A whim of nature launched the tuna

29,000

the

"the "increase

the

for

asset

value

over
v

report,

President,

Vance,

that

serves

annual

current

Henry

16%

reflects

ob¬

•

TERMINAL

per

ISLAND;

of
the

year

part

—

reinvestment of net investment
income* (adjusted
by
the
net
amount

representing
sold

of the

icies

reinvest

all

suddenly play-

retain and

for

income

net

the

JBKi WWGB

ed hooky back

in 1903,-

'1''" ''

an(j

Noting
ord

economic

that

activity

has continued at

7.8%
6.6%
and

10.7%
the

for

labor

total

half

first

income

1956,

com¬

pared with the corresponding six
months of.4955.* It adds that in
second

the

ada's

1956, Can¬
product was

national

gross

higher than
section

industries

Fund

has^nvestments... Also
is

statistics

beginning Aug.

which

table

31,

Canada

includes

1952

General

Fund, Inc. prior to its merger with
the

present

Total
Fund

Sept. 28
013

Aberdeen

$7,584,357

compared with $5,5i3,ago.
Over
the
12

period

value

asset

per

share increased from $1.36 to $1.54

which, with capital gains distribu¬
tions

$0,029

sents

a£

for

share,

consumption—

billion

a,year!"

cans

Spurred by World War I

spurred demand

protein-rich food that

also

was

economical, versatile and pleasing to

popular

tastes,"

Mr. Morris,

says

"canned tuna proved

the perfect answer.

n8|at

flavorful

delicate,

was
with nutrition/ Its mealtime

werb boundless. It

uses

ideal for

was

snacks and sandwiches. Soon, tuna—

ready-processed
for

cans

instant

use

any

time—

fish-food

largest

months.

Personal
Charles

has

"Only albacore

white meat tuna

yellowfin

LaRoche,

President

Philadelphia

Director

Fund,

Inc.,

Roy

Coffin, President of the Fund,
nounced

Mr. LaRoche is

an¬

and

the chemical

broad

total

pack put

and

knowledge

WORCESTER, Mass.—Frederick

with

Coburn

become

affiliated

Middlebrook,

corporated, 390 Main

Hauled
tuna

are

thawed

aboard,

stalwart

breed

just prior to

every

butchers' preparation to

the rest."

the

are

men

end

vessels

the

Clipper Fleet prowl Pacific waters as
as

Peru for the tuna

marine

payload.

with up-to-the-minute

equipment and

frozen tuna

store

and

"vessel" that

nu¬

research

work closely
fields to

steel of the

unbreakable,

production

men
many

quality and in the

quan¬

the

our

customers.

easy

really

keep—is

SEVEN GREAT DIVISIONS

brings this tasty staple

STEEL-MAKING STRUCTURE
Great

Lakes Steel Corporation

Hanna Iron Ore

Corporation

plate

•

Weirton

Steel Company • Stran-Steel Corporation •

and nutrition.

of tin

INTO ONE COMPLETE

WEEDED

It hermeti¬

resistance.

quantities

and

with customers in

wanted, at the lowest possible

ship's hold, accounts for over 70% of

Vast

of the

provide steels for the better

Products

the director.

one

products of all American industry.

cally seals in the tuna's peak taste

the annual catch/' says

plate is just

steels made by National Steel.

cost to

ifole

actually about 99% steel, tin-coated
corrosion

can¬

industry.

Of course, tin

tity

to American tables. The "tin" can

for

electrolytic

hot-dipped tin plate to the

many

Our

Company

of both

supplier

At National Steel, it is our constant

National's

goal to produce still better and better

pasteurizing their

The can—sanitary,

the"

soybean

who

deep. Many put to sea for months

far south

and

cans

you

through to sealing

line addition of salt and

tritious contents.

the

180

the precook-

ing, cleaning, canning and assembly

Right

and
nery

cannery process¬

step passes rigid inspection, de¬

outsize, elusive fish from

the

mands absolute cleanliness: from the

other oil.

ocean-fresh

the

immediately frozen,

bring

Company

Company
•

•

National Steel

The Hanna Furnace

National Mines Corporation

are

In¬

Conn.—Ezra

NATIONAL STEEL
GRANT

(Special to The Financial Chronicle)

HAVEN,

major

day-by-day coastal basis."

Steel

Weirton

Fleet—on

year

myriad products packed in cans. And
our

the

2- to 3,000 small

each

takes

Street.

Joins Coburn Middlebrook
NEW

some

needed to make the 35 billion

capacity of hundreds of tons in each

(Special to The Financial Chronicle)

has

by the industry.

markets.

With Coburn Middlebrook

O'Hara

Clippers Range Far and Wide

"The Fleet,

80% of the

about

Albacore makes up

wrest these

brings to the Board extensive ex¬
perience

skipjack—the hearty, light meat

widely known

industrialist

Philadelphia

canned at first. Today,

Sept. 26, 1958.

was

tuna—constitute

Research jg-ompany.

elected

been

Progress

Franklin

Pedro, and by

San

trolling boat operators—the Albacore

repre¬

*■

brought in by the Purse

ing. And here, Mr. Morris emphasizes,

industry. Still is, too!

and

the

"The rest is

Seine Fleet of 100 ships out of

airtight

handy,

America's

became

increase cf over 15% for

per

"When World War 1

year

months'

than half

industry was

of canned tuna to

cases

annual

loaded

assets

net

amount

million

11
meet

"Its

Report

director,"...the

that today supplies

born. An industry

^und.

Aberdeen

E. L. Morris, Tuna

and picturesque tuna

new

historical

ihcluded

of canned albacore.

Research Foundation

which

experimentally

cannery

cases

And so, declares

one

700

is.

report

comment
situation in each

Canadian

the

summary,

the >current
17

Then

put

ago.

year

feature

canning in¬

dustry faced disaster.

quarter of

running at a record annual rate
of $29.548.000,000, or about
11%

the Southern California

rec¬

the report cites gains of
in
industrial
production,
in
industrial
employment,

pace,

caUght,

in Canada

refus-

to show

E. L. Morns

shareholders."

benefit

One of the pol¬

Fund

sardines

accrued in¬
price of

redeemed)

and

cpnts per share.

When

offshore schools

in ' the

included

come

industry-

today tops in its field with the help of steel

during the 12-month period.
.

that's fun to swallow

from

than

fish story

true

BUILDING

CORPORATION
PITTSBURGH, PA.

Borson has been added to the staff

Coburn

porated,

Middlpbrook, Incor¬

Whitney

Avenue.

(1426)

The Commercial and Financial

The Great Over-the-Counter Market
^Continued from first

quotations in virtually
the way,

dividends

page
no

time at all. This, by

important facet of the Over-the-

most

unfortunately (for them) is

sometimes overlooked

of the

even some

their

"Difference Between Listed

Over-the-Counter

and

Trading" immediately follow¬

huge

the

Over-the-Counter

Market,

it is, suffers from lack of publicity and

absence

glamor.

Unlisted

issues

head line such

ends."

But

even

"Steel stocks

though

quietly

sale,

its

never

strike

recent

in expediting the purchase,

way

se¬

placed large burdens

the

upon

dealers who maintain

bond

market

has

those over-the-counter

big active positions in

gov¬

ernment, state and municipal obligations; while
the

$33 billion Federal road building program has

projected
for

the

lot of bond issues (over-the-counter)

future,

well

requiring

your

own

add

can

market place—the

one

some

re¬

appraisal and revaluation of existing toll house

three

great expansion

years

of interest in

have all
life

seen

insurance

shares; and in truth it's amazing that, considering
of

broad

tract

growth, it's taken

individual

investor

following.

these life

500%. And where

can

buy

you

shares, with their fantastic market per¬

Why

over

the

counter

—

and

where else!

the

over-the-counter

listing.

traded for years
the

favorites

Many

section

Standard

Prep

Oil

issues

over-the-counter before going

Stock

Exchange and such Big Board

Royal Dutch, Hooker Electrochem¬

ers as
now

never

had such

in the last 18

spate of bank merg¬

actually reduced the total number of banks

in the U. S. to below
stock

(except

14,000. And yet every bank

few bank holding companies) is"

over-the-counter.

The purchase

for control, the

acquisition cf minority shares, and the setting of
fair

ket

exchange prices |or mergers—all these mar¬
operations are handled oyer-the-counter.
Our

banks

never

looked stronger

siderably rilore than 1

than today and

con¬

out of 4 have raised their

phenomenon of finance in

been the

securities.

in selected issues

—in

are

cumbersome;

can

has

deposit certificates for actual
facilitated this

has

where better

can

been

Hearst,

old principle

age

do it than over-the-counter?

you

biggest

heuser-Busch and Pabst,
of the unlisted

really want to diversify,

you

The

beer?

brewery

shares,

An¬

blue (ribbon) chips

are

variety. Want dividends from pub¬

Buy

Boston

Herald

over-the-counter.

Want

Traveller,
few

lively

up-and-coming steel companies? Try Jessup Steel,
Kaiser

Steel

Lone

Star

Steel

counter.

Feeling mighty low?

common

earns

business!

dividends

Like water

from

—

over-the-^

National

Casket

awful

steady

freighting? Look into Sea-

train

overseas

has

gaining in unlisted popularity ;

Montecatini, large andmverse Italian

Pittsburgh

Chicago

San Francisco

Los

will

set

some

company

bells

back

you

guy you-

loaned

summer?
was

Natural

haeuser

are

Cadillacs!
a

grand

—

and

name

single

Worried

about

toS/Look
yoq

him up

should have

Good

Humor

(and

its^cash

probably doing the jingling. Think

Texas

intended').

and

stock instead! Bothered by jingling

pipelines have

Easterh.
nessee

buy. If you're going to

can

Bradstreets

4hat

registers)
gas

you

Anita, the official company

Angeles Turf Club,

bought

Ltd.

been

Racing, Monmouth Park, ai^d Santa Anita

in Dun

companies, Shell Transport and Trading Co.

CORPORATION

investment.

active

Shell

FIRST BOSTON

Cleveland

execu¬

trading.) One of the famous

the

Boston

distinguished shares. (The device of Ameri¬

Canadian Bonds

Philadelphia

has

over-the-counter markets have
sprung up here in
many

Railroad Securities

New York

recent" years

London, Antwerp, Zurich, etc., but

tions at such distance

Industrial Securities

com¬

quote

Diversification of Investment
Diversification

invest in Santa

rising interest of Americans in foreign
Many of these issues are listed abroad

Public Utility Securities

•I

buy, sell,

in the Over-the-Counter Market.

all have shares

Bank and Insurance Stocks

trading markets

Bayer

Eastern

Co¬

•

Over-the-Counter Securities

We maintain

have shares you scan

and

foreign

Counter Market.

months—mergers which have

Anilin,

renowned

Lines, TMT Ferry off shore, and American
Barge Line and Mississippi Valley Barge Line
plying "Old Man River." Follow the ponies?

Schering Corp., Climax Molybdenum,

Rising Interest in Foreign Securities
We have

these

Broadcasting, and Owens^Corning Fiberglas, all got their early seasoning in the Over-the-

ical,

lumbia

Insurance^Stocks

panies

Badische

all

—

lications?

Then, too, there has been too little apprecia¬
School?for

aircraft),

Farbwerke

Had

capital gain, at today's prices, would

your

exceeded

issues (likewise unlisted).
Bank and

embracing aluminum, oil, electricity and chemi¬
is a burgeoning favorite; Unilever, Ltd.,
Swedish
Match,
Anglo Ecuadorian Oilfields,
Borax
Holdings, British Aluminium, De Beers
Mines (diamonds), Hawker S i d d e 1 e
y Group

long to at¬

been fortunate enough to hold, for example,
Lincoln, Aetna or Franklin Life for the past
decade,

Thursday, October 4, 1956

cals,

you

have

...

Biggest in the World

the

(motors,
Within the past

tion

business day.
decline

Over-the-Counter Market.

formance?

unsung,'yt d6es

quotation of hundreds of millions of

curities every
The

soar as

this major mart is

largely "unwept, unhonored and
go

trade

can

madly, with broad price swings, but they
get

Some

bank shareholders. They

are

holdings in just

their record

ing subjoined tables.)

Admittedly,

12 months.

past

—

knowledgeable members of the investing public.
(See discussion

the

magnificently solvent people in

community
to

Counter Market that

Chronicle

For

future? International, Texas

Gas Transmission and East

Gas

are

all

doing well "(no

timber, Long

among

Bell

and

Ten¬
pun

Weyer¬

the biggest. Like cartoons?

Number 5574

Volume 184

The Commercial and Financial Chronicle

...

(1427)

Cash Divs.

Walt Disney is tops. And all these interesting and
successful companies, most of them steady divi¬
dend payers, are available to you

Divs.

trundled

out

for

parade of equities has been

the major and

their

frequently at
early

and

traded

low

very

exercise great

Buyers

dangerous

area

and

come

neglect of research, their

judgment,

ket

„/'

in this

vC'r';: C:','

for V Vv S.

place, which

the

was

gain.

;•

.'t'

■-

particular,

ment

our

,:T '

A ' "

case

exercise of

Approx.

Extras for

secutive

12Mos.to
June 30,
1956

Divs. Paid

we are

Acme

Over-the5Co^nter Market

you

tabulation of the

tinued

capacity to
df

criterion

from five to 172

issues of

listed

and

Aetna

radio,

rubber

are

0.20

0.25

0.03

7.1

5.3

American

0.8

■4%
4

American

*19

Life Ins.

*19

Co.__

electric

j 2.50

2.0

126

2.75

Air

Filter

Auto

4-1

66%

3.4

1.45

40%

3.6

1.20

23%

5.0

1.60

35%

4.5

1.80

36%

5.0

1.50

3.3

*13

2.25

3.8

3.00-

3.6

1.80

4.9

(Hartford)--

Insurance

insurance

3.20

1.50

1.7>

185

Engineering

Board

District

Telegraph

Co.

4.6

Electrical

supervisory and alarm

systems

1.70

35%

4.8

^American Dredging Co.__
Dredging operations

American Druggists

Discount,
5%

m0.25

Corp

tJ.6

0.90

Fire In-

4.5
Fire

and

Ohio and Mississippi

Box

American

32%

insurance

Amer.

5.6

Equitable

Co.

navigation

New

Fire and allied

1 %

folding
corrugated and fibre
shipping containers

health

Details

not

Assurance
22

York
lines of insurance

complete

t Adjusted for stdck

possible longer

Continued

INSURANCE STOCKS

■

CHRISTIANA SECURITIES CO.
Preferred

Common

Inquiries invited in all Unlisted Issues

Trading Department, LOUIS A. GIBBS, Manager

LAIRD,

BISSELL

MEMBERS:

NEW

AMERICAN

120

MEEDS

EXCHANGE

BROADWAY, NEW YORK 5, N. Y.

Telephone BArclay 7-3500

——

DIRECT

Bell Teletype NY 1-1248-49

WIRE

CONNECTIONS TO

WOODCOCK, HESS &

SCIIIRMER, ATIIERTON & CO.

CO., INC.

123 S. Broad St., Philadelphia, Pa.

Mississippi Valley Bldg.. St. Louis, Mo.

49 Pearl St., Hartford, Conn.
MITCHUM, JONES & TEMPLETON

WHITE & CO.

CO.

Keyser "Bldg., Baltimore, Md.

STOCK

YORK

650 South Spring St., Los Angeles, Calif.

.
.

PONT

BUILDING

WILMINGTON,

DEL.

44 WHITNEY AVE.

NfiW

HAVEN,

CONN.

record,

dividends, splits, etc.

stock.

Specialists in

LOCKWOOD, PECK &

Manufacturer paperboard,

as^to

f0.92

Corp._
Co

Barge Line Co

Operates

Details not complete
possible longer record,
for stock dividends, splits, etc.
Including predecessors,

CO.

3.0

paper boxes,

5.5

Aggregates

St., Boston, Mass.

2.6

45%

fO.99

2,1

OVER-THE-COUNTER SECURITIES

50 Congress

32%

2.50

motors

SCHIRMER, ATHERTON

f0.83

and miscellaneous heating
ventilating equipment

Rivers

BANK &

2.0

financing
and

Diversified

(Hartiord)-

Investment

Plus

*14

and sand

American

t Adjusted
a

0.90

*31

3.6

27%

f0.9 8

equipment

not conversant with how

Filters

insurance

Communication

the Over-the-Counter Market functions.

1.5
•

Cement

Aloe (A. S.) Co

Auto financing

„

the

4.9

cement

American

Insurance

Diversified

Aid

8.0,

Aetna-Standard

benefit of those who

2.25

4.0

Corji of

Finance

Gravel

Agricultural Insurance Co.__

for

Allis (Louis) Co

products and Golf

Life, group accident,

and

Market,

0.40

Installment

.insurance

Aetna

Trading

Over-the-Counter

1956

Portland

Allied

Casualty, surety, fire and marine

the difference between the

2.00

♦16

Medical supplies

Corp.___

Aircraft Radio

discourse

Design and manufacture steel mill
finishing equipment

Following the tables appearing hereunder,
a

•

al7

Inc.

present

Based

Paymts. to
June 30,

goods

Products-

Aetna Casualty & Surety____

Con¬

sterling investment quality.

Over-the-Counter

■H

American

hundreds of unlisted

Difference Between Listed

30,

1956

2.00

sporting

balls

good investment. You'll note that
are

tion

Diversified

by this standard, there

Metal

Electric

Molded

dividends is the ultimate

pay

QuotaJune

Acushnet, Process Co

amaz¬

years.

6.4

Co.

and

ingly broad list of equities whose continuous divi¬
dend records range

Fitch

Abrasives

again, to docu¬

once

Transformers,

for the

by presenting to

glad,

variety

Abrasive
,.

2.5

Portland

Generators

Abererombie

...

carrier

^Allentown

% Yield

No. Con-

mar¬

A."'

0.54

bilk and nylon hosiery

Including

Long-Term Dividend Payers
.

1.50

Soapstone

Large

3.6

'Virginia

7;--v

repair

-Albany & Vermont RR. Co.
Local

1956

1.00

and

(San Antonio)

10 to 172 YEARS

of their failure

cause

1956

Ship

Alba Hosiery Mills, Inc

out not

just greed, gather than the

Machinery, iron & steel products

Years Cash

bad

Dock

Alamo Iron Works

Cash Divs.

their

Dry

Shipbuilding

PAYERS

the possibility that it'

orr

Paymts. to
June 30,

carrier

Alabama

discretion. In fact, buyers

fo^well, should reflect

tion

June 30,

30,

1956

Paj^

Based

Alamo National Bank

over-the-counter,

prices.

Ohio

Cash

Alberene Stone

who enter this

was

companies start

unproven

Quota-

Akron, Canton & Youngstown

Building Co.

DIVIDEND

promotional type of security must, of

course,

Consecutive

broadest market place. It is trqe

many young

with

out

entrenched status

June

only to demonstrate that

you

this unlisted market has

that

12 Mos. to

Years Cash

OVER-THE-COUNTER

% Yield

Extras for

secutive

TABLE I

only "over-the-

counter.

The above diverse

Approx.

Including
No. Con-

PHILADELPHIA NATL BANK BLDG.

10 WALDMANNSTRASSE

PHILADELPHIA, PA.

ZURICH, SWITZERLAND

page

The Commercial and Financial Chronicle

(1428)

...

Thursday, October 4, 1956
...

Cash Divs.

Continued from page 23

Approx.
% Yield

Including
No. Con-

The Great Over-The-Gounter Market-

■"

•'

/■■■•/A"*

Biggest in the World
secutive

12 Mos. to

Years Cash

June

Divs. Paid

tion

1956

Express Co.!

orders:

Money

June 30,

Manufacturer

1956

Diversified

Bank &

1.75

221/2

Large

Name

1.00

0.625

371/4

2.7

9*4

and

Hair

American

Hoist

Hoists, cranes,

pany

Custom

Vacuum

5.7

f0.475
1.40

411/2

1.1

8.8

cargo

Derrick..

1.20

Life

6.0

7.20

0.80

131/2

J.30

26%

4.8

5.5

moulders

American

Corp

plastic

Insur.

Fire

Locker, Class
lockers

B__

public

0.30

31/2

8.6

Maize

Manufactures

Products

various

1.90

411/2

Large

4.6

Apco

Motor— Insurance

Company
Diversified

American

*26
Bank

131/2

2.50 '

Co.

"/4

Apex

97%

Amer. Natl.

10.00

200

Arden

5.0

*"q

1.60

Bank & Trust Co.

Bk. Tr.

3.1

(Chicr—

2.00

6.00

353

1.7

Electric

!*•
,5/

0.40

1P 3/

0.775

changed
April
1956
Amphenol Electronics Corp.

Amer. Piano

pianos,

organs,

etc.,

0.75

1.00

351/2

20%

0.70

Electric

201/8

Boilers, tanks, pipelines
not

t Adjusted

complete

for

stock

5.0

Electric

possible

dividends

longer

record,

olits. etc.

SPEED

wiring

Details

1.48

39%

3 7

37%

0.60

7.7

1.00

16%

6.0

fl.87

3.1

1.20

27%

4.4

and

0.80

7.3

0.80

yarns

Indianapolis

dept.

store

chain

4.4
1

2.50

4.00

4.8

Bagley Building Corp.—

0.25

10%

2.3

Detroit real estate
BancObio Corp

1.65

43%

3.8

Bangor Hydro-Electric

Co._____

Co._

0.20

1.80

32%

5.5

Operating public utility
Bank of Amer.,NT&SA

1.80

38%

4.7

Building & Equipment
-17
Corp. of America__._:

f 1-08

18%

5.8

Sulphite pulp and

5 0

2.25

47%

4 7

1.00

15%

6 5

36.

Service

1.C0

22%

4 5

Holding

23%

produc¬

5.6

paper

company—banks

Building

Bank
27

•

Bank

,5.0

Bank

devices

Nation's largest bank

5.0

Hegeman

complete

2.6

toiletries

and

possible

59%

5.0

and

construction

California, N. A.:

2.60

3.5

f4.46

175

2.5

(The) of New York___ 171

fl.00

260

3.8

the

Commonwealth

(Detroit, Mich.)

„—_

con¬

3.00

design

longer

record,

♦Details

not

complete

possible longer
Adjusted for stock dividends, splits, etc.

Market^

Grand

Baker, Simonds & Co.
Rapids

King and Company

Hartford

Coburn and Middlebrook Inc.

Houston

Over the Counter

Los

Underwood, Neuhaus & Co.

Angeles

Harbison & Henderson

—

Philadelphia

Securities

H. A. Riecke & Co. Inc.

Pittsburgh
St.

_Arthurs, Lestrange & Co.

Louis

Fusz-Schmelzle

San Francisco

Troster, Singer & Co.
■it

Security Dealers Association

YORK

G, N. Y.

Teletype NY 1-376; 377; 378

Co.

Carl W. Stern & Co., Inc.
......

NEW

to:

Dallas Union Securities Company

Detroit

Telephone IIAnover 2-2400 '

record,

Gottron, Russell & Co.

Dallas

PLACE

Glore, Forgan & Co.

Cleveland

Members: New York

NATIONWIDE COVERAGE

Chicago

0.975

2.4

Paints, enamels and hardware

Adjusted for stock dividends, splits, etc.

TRINITY

Corp.__

Stores, Inc.

DEPENDABILITY

5.1

Private Wires

We make

0.10

Badger Paper Mills

Bank
not

Detroit real estate

trols

2.6

Badger Paint & Hardware

gas

Co.

>24%

personal loans

Corp

transmission

Arrow-Hart

Pipe & Construc'n

1.245

(

B/G Foods, Inc

dairy

Boston

American

fabrics

5 8

0.90

and

1.20

6.2

Bank

financing &

Cosmetics

2.8

1.20

f 1.18

tion

E-Z

Devices, Inc

Cotton

4.2

and

0.50

*52

National

Restaurant

Natural gas public utility,

14
storage

Ayres (L. S.) & Co.—

1.00

Corp,, Class B__

.w/,
6.2

1.00

Stores

Jacksonville

Operates

Elect^p a"d gas utility
Arkansas Western Gas______

Avondale Mills

and

Arkansas-Missouri Power Co.

Phenolic Corp.

Name

and

4.0

..>■

'v./i:-.;,'

cold

Service

Auto

7 1

•

Public

Avon Products

Farms—

Arizona

3.00
:

and insurance
Automobile Banking

smelting

Coast

Sound recording equipment
Auto
Finance Co._

2.6rf

and

Co. of America

Smelting

4.9

service

coal,

Audio

wrenches

and

27%

Steel producing and distributing

b.l

1.25

14
alloys

brewer

Mossberg

West

(Chattanooga)

Details

1.50

Casualty Insurance

Aluminum

Arner. Natl.

9A°/

variety of traps

Tools

1.2

Denver

American

f0.17

insurance

National

Retails

Industrial chemicals

American

1.35

Investments, automobile financing

Insurance

Ansul Chemical

corn

products

Light__

Atlantic Steel

Casualty Co.__

Leading

6.8

*19

springs

carrier

Atlantic

to
Co.

(bronze)

Animal Trap

33%

Atlantic Co.

3.6

Curb

Anheuser Busch Inc.__.

ter¬

minals

American

20%

fO.75

parts

and

2.30

Atlantic City Sewerage Co.__

Insurance

Anchor

insurance

Maintains

1956

Products

for aircraft
electronics industries

materials

(Newark—

5.0

4.7

Ice,

Francisco)

Precision

4.8

Operating public utility
Atlanta & West Point RR. Co.

Sewer

(Charlotte, N.C.)

Life

5V4

Amphenol Electronics jCorp._

Insulator

Diversified

ware

1956

0.25

36%

Corp

7.4

425

20.00

April

fl.83

products

5.9

130

casualty

American

Based

Paymts. to
June 30, June 30,

liqueurs

13%

Lakes

"Co

Thermos

Copper-base

Com¬

1956

*11

Construction Co.__

Gas

Georgia

Ampco Metal, Inc

equipment

Divs. Paid

1Q1/

American Trust Co.

( San

and

Precision

D'°

1.00

Amicable

...

and

31/2

products

Indemnity
(Maryland)

American

changed

Amer. Trust
27

Felt

hair & felt

3.55

American Thermos Products

insurance

Great

Surety

American

manufacturer

casualty

Miscellaneous

0.20

June 30,

>,T*

Office furniture Associated Spring

stamping

and

Co.

General Insur. Co.

American

4.7

American Thermos.Bottle Co.

Furniture

furniture

Diversified insurance

Co., Indian¬

tion

Arrow Liqueurs Corp...,,.

Atlanta

parts

American

body hardware

American

1.20

Steamship Co

Freighters

4.1

'V"

v.-.

5.7

Cordials

Stamping Co.——
steel

Pressed

National

Quota-

12 Mos. to

insurance

Trust

1956

bolts

7.8

1956

26%

■

Screw

American

Forging & Socket.

American

Fire

4.3

American

Fire

311/2

1.20

""'

1.50

Art Metal

and

American

apolis
Auto

1.35-

1956

Extras for

Years Cash

Re-Insurance

American

of felt

Fletcher

other

and

Diversified insurance

Screws

American Fidelity & Casualty
American

transmission

American

Paymts. to
June 30,

checks

American Felt Co

% Yield

Including
No. Con-

Power

travelers'

Divs. Paid'

30,

Approx.

secutive

American

June

Based

Paymts. to
June 30,
Jupe 30,

equipment

Based

1956

30,

«/*

Pulley

Approx.
'

Quota¬

•

tion

Years Cash

American
% Yield

Including
Extras for

Quota-

12 Mos. to

••.../

•

Cash Divs.

No. Con¬

Extras for

secutive

Cash Divs.

Number 5574

Volume 184

The Commercial and Financial Chronicle

...

(1429)

Cash Divs.

The Great Over-The-Counfer Market-

12 Mos.to

Divs. Paid

Bank

the

tional

Bank

Southwest

First

mortgages &

Bankers

1.60

1.00

2.5

213/^

Bird

0.30

2.50

Bird
3.6

Bank

-co

Shippers Insur.

2.10

2.70

—

Microcrystalline

—

0.25

Inc.

f2.55

0.50

Black

3.8

*20

f 1.25

17%

"Mail

Manufacturing Co.__

Manufacturers of

Blue

0.65

12%
23%

4.5

pharmaceuticals

11-05

1.70

6.8

company—small

1.00

17%

5.7

Cosmetic

and

furniture

fabricator

RR.

Operates

Bemis
and

0.85

2.00

6.2

133/4

livestock

and

36%

5.5

erector,

terminal

2.00

8.00

132

6.1

f0.59

5.9

1.00

22%

4.4

0.65

14%

4.5

1.00

11%

9.0

work

25%

5.4

21 y2

Limestone. &

Ce¬

Co.-

0.85

and

6.5

3.4

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

Interested.
any

1.60

1.75

service

stock

1.35

than

life

3.76

126

0.75

6.4

3.0

2.7

Taunton

Operating public

1.75

32%

5.4

0.65

4.6

0.40

*8.0

*20

1.2d

Gas

utility

2.50

4.3

0.50

3.6

0.20

3.5

0.50

5.6

Brown &
Machine

hosiery

underwear

and

Sharpe Mfg

1956

with

Estate

four

4.5

fl.02

4.2
6.2

tools

"Wholesale drugs

0.80

1.75

37%

4.7

0.26

10.4

*31
1

0.60

2.25

35%

6.3

2.30

40%

5.6

0.75

3.8

a22

1.50

23%

6.4

1.00

31%

3.2

1.00

14.0

Machine

tool

builder

Continental

Oil

Bos¬

Trust

Estate

America.

26%

Buck Creek Oil
Buck Hill Falls

and

Trustees

Hotel

group

Poconos

3.5

17
<■:,

Investment

Buckeye Steel Castings Co.—

Stockholders

for

each

Production

steel

castings

v
_

Bullock's Inc.

1.00

14%

6.7

1.70

5.0

Department

Estate

Trust

Real
Real

Estate
Estate

specialty stores

retailer

Burgess Battery Co.___
Bos¬

Dry
cell
batteries
using devices

and

battery

Trustees

Burgess-Manning Co

Investment

Industrial

Stockholders

—

and

Burdine's Inc.
Florida

for

ing,

each

held.

acoustics,

radiant

ceil¬

recording and controlling in¬

struments

cotton

and

hose

0.40

13%

3.0

Burrus

and

Mills,

Inc

Manufactures flour, meal and feed

products

Brook

Water

Co.—__

0.30

■:f'''V

6.0
*

Details not

complete

Details

not

t Adjusted
n.a.

Not

complete

for

stock

possible

longer

possible

longer record.

Adiujfcfed for stock dividends, splits, etc.
alocTuding predecessors.

record,

Continued

■

We invite

inquiries

Allison Steel

higginson

corporation

these pages?

prices,

quotes, or information,

New

Midwest Stock

American

' ;

dividends, splits, etc.

availabla.

lee

Investment

Stock

York, Boston and

Manufacturing Co.

I
Backing
'

Cameo

Sharpe Manufacturing Company

Incorporated

Consolidated Rendering Company

>et«£
ice

Since

1848

Craig Systems, Inc.

The Diners' Club Inc.
The

NEW YORK 5, N. Y.

Offices in 107 Cities

•

Duriron

Hudson
40

WALL

Company, Inc.

Erie Forge &

NEW YORK 5
STREET

Steel Corporation

Pulp & Paper Corp.

Ionics, Incorporated
HAijover

2-2700

Jones &

Teletype NY 1-917

Lamson Machine

The Kerite

Company

Keystone Portland Cement Company
P. R.

BOSTON 7

Rambo, Close & Kerner

FEDERAL

Moore

Incorporated

Liberty 2-5000

Teletype RS 452

New

York
REctor

PEnnypacker 5-2800

Telephone

National Blankbook Company
River Brand Rice

*Shulton, Inc.

CHICAGO 4
231

Corporate and Municipal Securities
r^

S. LA

SALLE

St". Croix Paper Company
Speer Carbon Company

STREET

FRanklin 2-4500

Tracerlab, Inc.

United States Potash Company

Teletype CG 175
\

Charge

Corporate Department

Williams and Company,

WALTER G. NELSON

EDMUND J. DAVIS
President

N]t;ill*> Inc.

Rock of Ages Corporation

Teletype

2-2820

Drop Forging Company

National Aluminate Corporation

1518 LOCUST ST., PHILADELPHIA 2, PA.
Telephone

Mallory & Co., Inc.

The Meadow Brook National Bank

STREET

Manager

Municipal

Bond

of
Department

Prospectus

Available

Inc.

page

the following

Bryant Chucking Grinder Co.

Exchange (associate)

Products, Inc.

Brown &

Exchanges

Merrill Lynch, Pierce, Fenner & Beane
70 PINE STREET

Vice

-Crompton & Knowles Corp.

Phila.

4.6

other

Brown-Durrell Co.

three

Trading Department

5.1

Assurance

Bryant Chucking Grinder Co.

America.

simply contact—

3.6

Avon

latest

fl.24

several

Heavy and medium trucks

5.0

„

Members:

For

2.4

complete

250

Bryn Mawr Trust Co

Operating public utility
*

t Adjusted for stock

6.00

Glass containers

6.1

held.

form

Bound

55%

communities

car

Insurance

belting

f 1.91

4.1

Brockway Motor Co

v*#d4

0.80

play

Boston Woven Hose

"Portland" cement

fabricator

Brocton

Inc.

Estate

Real

Rubber

0.70

Brunswig Drug Co

received

supplies

Brockway Glass Co.

1.40

Co.

Trust;6f
one

6.1

Company

1.39

Real

Western

—\

Hathaway, Inc.

not

Metal

3.6

chewing tobacco

in June 1956 with
Ground
Rent
Trust

ton

Fine cottons

...

Bryson____

Merged

Operating public utility

Details

1.00

Boston Real
a

ment Co.

Armored

Multiple line insurance

Berks County Trust Co.

Light-

Boston Insurance Co
28

(Reading, Pa.)

water to

Connecticut

Newspaper publisher

textile

al02

funeral

British-American

Boston Herald Traveler Corp.

Corp.

Gas

form

one

5.5

mkt.

paper,

Co.

Holding company affiliate of

Bessemer

pulp mill

in June

received

Yards

2.00

Bristol Brass

cleaning

Real

Trust

Brinks, Incorporated

(Ohio)

dry

Western

Beneficial Finance Company

Berkshire

ton

plastic bags

Berkshire

3.6^

publisher

Merged

Stock

Manufacturer

wholesaler

Bro. Bag Co..

Beneficial

Establishments

Works

structural steel

Belt

3.00

Boston Ground Rent Trust

Iron

Designer,

Pouch"

Chain

toilet

Belknap Hardware & Mfg.__
Hardware

Bornot, Inc
_

preparations

Belmont

6.3

Produces potash

loans

Wholesaler:

theatre

6.9

Bridgeport-City Trust Co.

Supplies

1.00

Bonneville, Ltd.

Beauty Counselors, Inc.——

1956

Bridgeport Hydraulic Co

n.a.

Bell, Inc.

Book

1956

vessels, valves, and tanks

Bobbs-Merrill
28

June 30,

3.75

sateen

(Conn.)

Boatmen's NatL"Bk. St. Louis

5.2

Paymts. to

*31

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

"Gordon"

Associates, Inc

Holding

f 1.50

National

Power

Manufacturer

8.2

holding corporation

Beacon

5.0

clothes

Baxter Laboratories. Inc

Bank

0.80

fabrics"*

Baystate Corp.

24%

Bloch Brothers Tobacco

7.1

domestic

rayon

1.25

mills

building,

tion

June 30,

stockyjirds

Miscellaneous

Appliances

Hills

30,

Based

Branch

Black, Sivalls

-•V-.

and

6.9

Trust

office

Pressure

Cotton

Operating public utility

5.9

Industries

furniture

Bates

1.25

Bourbon Stock Yards Co.—_

Cotton cloth and

machinery

*46

Products, Inc.

Complete line of

20
32

Black-Clawson

3.6

Bank

Furniture

Boyertown Burial Casket

(Ala.)

Hotel,

4.1

Balls, balloons and toys

Bassett

6.4

paper

Makes paper and

(Jacksonville)
Barr Rubber

Bourne Mills

5.2

shingles

Household

4.2

wax

Barnett National

5.0

1.00

Bismarck Hotel Co. (Chicago)

Co., N. Y

Bareco Oil Co

99%

*13

Louisville

Birtman Electric Co.—

Multiple line insurance

Bankers Trust

Quota-

5.00

Son__

Asphalt

financing

Bankers &

Birmingham
30

Divs. Paid

1.65

etc.

Machine Co

Machinery for

4.6

June

Water Co.

Saco

12 Mos.to

Years Cash

Operating public utility

guaranty

Commercial Corp.

Installment

1956

Extras for

secutive
'

•

.1956

—_

goods; sheeting,

Biddeford

Mortgage
title

% Yield

No. Con-

Paymts. to
June 30,

1956

Approx.

Including

Forgings, stamping and tools

Guaranty Co. of America.

Mfg.

Cotton

Paymts. to
June 30,

Na-

Virginia (The)
Bond

Bingham-Herbrand

Association, Houston

Bankers

tion

June 30,
1956

Based

June 30,

Based

Bibb

% Yield

Quota-

30,

1956

Approx.

Including

June 30,
1956

June

Divs. Paid

Extras for

secutive

tion

Years Cash

Cash Divs.

Years Cash

Quota-

12 Mos.to

Cash Divs.

.•f

% Yield

Extras for

secutive

Biggest in the World
No. Con-

Approx.

Including
No. Con-

(1430)

The Commercial and Financial Chronicle

pressures

The Fight

Against Inflation

By HON. W. RANDOLPH BURGESS*

is,

that

Under Secretary of the Treasury

Burgess, after listing elements of

of the Inter¬

progress

Monetary Fund, maintains most encouraging feature
general recognition of world-wide inflation dangers, with

There

understanding of the value of sound
to

seem

three

the

impor¬
progress

which the International

Monetary

tant

elements

Fund

has

made.

The
v

first

the

annual consul¬
tations

with

members

r e-

should

Most of

investment

Quietly

such

The

effectively the is
Fund

has

worked with

its

member

countries
the

for

reduction

of government

barriers
nancial
W.

Burgess

trade

fi¬

—not

running

but

dividual countries continue to
gain
leserves, further progress should

element
is

progress

generally,

the

providing,

financial

ad¬

vice to the member countries.
For
many

reasons,

member

increasingly call
cn-the-spot

countries

the Fund

analysis

and

for

recom¬

mendations. They know that Fund
missions will be sent
promptly and
quietly and that the advice will

The

in the
As

has

been

third

A second
in

now

and

use

of the Fund

resources.

widespread

this

forth in last year's Annual Report.
As
a

Fund

to events

of the past
year,

statement

by Dr. Burgess
Report discussion,
c., Sept. 26, 1956. ;

Annual

ington, d.

other

the

Fund

Metal

the

care

and

been

with

note

may

this

national

California

attention has been turned to

budgetary

measures to fortify the
monetary policy. Mone¬
tary policy alone can't be ex¬
pected to hold the line if govern¬

Title

the

day

every
to

Cement

•

done

here

must

increase

those

have

unemployment

only

and

continues

planned

all

means

made

scale.

that

York

Group

Bankers

3.7

331/2

4.8

3.C0

6.9

1.50

277/s

5.4

3.50

Cold

2.20

page

Co.

1.00

181/8

5.5

1.50

1.6

1.50

3.1

131/4

6.0

27%

4.1

States
Co

health

insurance

warehouse

(A.

S.)

business

f0.80

•

/ Manufacturer

Miller, Arthur W. Plath,

and

Murel D. Rhodes have been added
to
the
staff
of
McCormick and

Co.__
&

retailer

0.45

10.00

6.4

515

1.9

shoes

Capital Life Insurance Co.
Non-participating life

Carolina
?

Telephone & Tele-

graph Company
telephone

products.

8.00

1481/2

5.4

1.85

34 y4

5.4

*24

9.00

■

fl.94

271/4

0.70

;97/8'

7.1

2.00

4.2

exchanges

Carpenter Paper Co._
paper

and

paper

Manufacturing of

paper

products

Carter

Calif.—Presly

1.15

Shoe

Operates

(Special to The Financial Chronicle)

5.4

Tele¬

utility

Bakery chain

the
Association

401/2

56.

stampings, plating, castings

Cannon

(William)

Underwear

•

Co
'

•

Floor

coverings

Caspers Tin Plate Company.
Metal

sheets

for

house

containers

(Washington.

Central

Bank

127/

7.1

Carthage Mills, Inc

inflationary Company, Security Building.

Corp.__

7.1

apartment

D.Cj

Trust

Co.

(Denver)

For Banfe, Brokers, Dealers only

Campbell Taggart Associated
Bakeries, Inc.
*10

1.9

storage,

Metal

180

Refrigerating & Ter¬

Distributor

___

Water

minals

wages

With McCormick and Co.
BEACH,

Cement.

Cavalier Apartments
'Owning and operating

51
r

water

public

Life, accident

*•'

LONG

Company's

Li|e Insurance

Astoria Hotel.

which,

massive

1.60

products

California-Western

will hold their annual dinner and
election on Oct. 17 at the Waldorf

per¬

This

New

lime

utility

See

Operating

minimum.

at levels

thought

investment

Wash-

spending and

are

10.3

1.90

In¬

phone Co.

Group of ISA

Investment

are

few years ago, would have
unrealizable.
New

been

and

sonal incomes

and

California

the

To Hold Annual Dinner
The

States

Title

Portland

SERVICE CO.
Public

prosperous

however, learn¬
how much more

support which

N. Y.

Policy

United

24 y4

2.50

Power_

Co.

Campbell

inflation.

5.5

Operating public utility

;

particularly sensitive to this broad
problem. Employment has reached
the highest point in our
history;

9V2

0.525;

insurance

Camden

spending is feeding the fires

5.6

A.)_

California-Pacific Utilities

effects of

35 Vz

(L.

Pacific

surance

preserving the vafhe of his
and salary and hit/savings.

the comment on page 67 of the
Report that during the past year

ment

Oregon

to discharge successfully the
trusteeship
to
which
Secretary
Humphrey has referred—our trus¬
teeship to the ayerage citizen in

second

0.8

Operating public utility

and

assembled

with interest

1956

Bank

California

this

pubxic under¬
value of sound

maintaining

ing

1956

0.45

timber lands

California

economy. We are,

Annual

California

encouraging to ob¬

the

chain

Corp.

the increased

Paymts. to
June 30,

Calaveras Land & Timber

anxiety—
that

shoe

*10

0.72

19y2

3.7

3.50

7.1

0.80

16%

4.9

*19

1.50

281/2

5.3

1.00

4.8

fl.25

4.2

0.80

5.7

1.40

4.4

1.40

23%

6.0

1.75

4.5

f5.00

140

128

2.10

411/4

5.1

1.60

30%

5.2

3.00

6.4

0.975

241/s

2.40

3.8

0.96

161/2

5.8

1.20

7.5

Central Cold Storage Co.____

0.30

•

Refrigeration

Central Electric & Gas Co.__
Electric &

If it's Over-the-Counter

gas

utility and through

subsidiaries ^telephone

service

several states

Central

Fibre

Products

Co.,

Vot.

traders say

Paper and wall board

Central Franklin Process Co.
Yarn

Try "HANSEATIC"

dying

Central Illinois

Elec.

& Gas_

Operating public utility

Central Indiana Gas Co.__

Because:

Serves

"Hanseatic's" nationwide private wire
system
reach

can

"Hanscatic's"
means

central Indiana

east

Central Louisiana Elec. Co.
Electric, gas and water utility

Central Maine Power Co

markets, faster.

experienced

Electric

Trading

Department

utility

Central Nat. Bank, Cleveland
Central Nat. Bank & Trust Co.

prompt, accurate executions.

(Des Moines)

Central-PennPan.Bk.(Phila.)
Central

Soya

Soybean

New York Hanseatic

Corporation
NEW YORK

Telephone: WOrth 4-2300
BOSTON

CHICAGO
Private

PHILADELPHIA

Wires to

Metal

Principal Cities

mixing

processing

and

distribution

Telephone Co,__,
service

4.0

(Cinn.)

Central Vermont Public

Service

5, N. Y.
Teletype: NY 1-40-1-2
•

and

3.6

feed

Central Steel & Wire Co

Telephone

processing

livestock

'Central Trust Co.

Associate Member American Stock
Exchange
.

Central

Established 1920

120 BROADWAY

June 30,

30,

1956

products

Southern

applied with

assurance

Butlers, Inc.

are

connection

dan¬

are

Manufacturing Co

ticn

Based

CALIFORNIA WATER

and

governments and central banks.

group

Butler

June

Quota-

2.00

Life, accident and health

monetary
measures,
compared with the restrictive and

all

controls

point,

both

artificial effects of direct govern¬
ment intervention in establishing

con¬

reliance

success¬

Business Men's Assurance
Cp.
of America
,'22

•

California

public

main

not

without

fiscal

needs

the

heavy'hand that they im¬
So, along
with
walk this narrow path

It has

Reports, is that monetary and
policy has superseded direct
as

this

There

12Mos.to

Years Cash
Divs. Paid

standing

con¬

with

nature

inflation

% Yield

Extras for

secutive

sides

balance
very

the;

serve

gratifying point, noted

and

-understanding Production

agreement along the lines set

waged,

for

Approx.

Including

progress.

with

fiscal

important

develop¬
policy and practice

success,
in nearly
countries of the free world. >,

result of vigorous discussion
added
experience, there is

and

ity

impartial and expert.

ment relates to

recognized, and

siderable

second

Fund's

been

known

said

both

proved path to
growth and well-being.

tinuous battle for financial stabil¬

anticipated.

The

have

encouraging feature
dangers of inflation

the

-and

transac¬

tions.

that

danger of

must

others,

most

definition.

peril

not strong.

pressures are

and

Cash Divs.
No. Con-

gers on the other side as well. Re¬

specting their ahead of savings, there is scarcely
exchange r e- a country in which inflationary
strictions.

well

straints

countries

encountering the problems of
prosperity.
With 'large increases
in
production
and
employment,
with

but, by the

The

need

are

and

has

things, cannot be 100%
There are dangers

too

our

What

the

sides.

emphasize a point
made
by
Secretary

Biggest in the World

slipping out from under

ful.

previously
Humphrey.

continuous

measures.

mone¬

pointing to a rise in the
living as evidence that in¬

tnat

The Great Over-The-Counler Market-

surprising

too severe, while

are

reply to the critics

nizing also the dangers of deflation, and necessitating caution
in the application of restraints. Commends
increasing public
.

not

critics insist that

restraint.

Continued from page 25

are

flation

waging of continuous battle for financial stability. Explains
U. S. policy is concerned with
maintaining balance, recog¬

and

Thursday, October 4, 1956

♦.

therefore,

some

cost

national
is

tary controls

others

Dr.

unrelenting

are

powerful.

...

SAN FRANCISCO

Corp.

Electric and

gas

utility

Central^Warehouse Corp.,
Class A\__-_.
Operates

Central

warehouse

West

Investment
*

Details

Co..

Albany

trust

not^pomplete

t Adjusted for stock

to poss'K1e longer
dividends, splits, etc.
as

record,

4.7

Volume 184

Number 5574

The Commercial and Financial Chronicle

The Great Over-The Gounter MarketCash Divs.

Approx

Including
No. Con¬

% Yiel

Extras for

secutive

12 Mos.to

Years Cash

June

Divs. Paid

Quota-

Based

tion

the

Utility Co

2.50

27V2

store

5.00

2.00

5.7

Graham.
_

Forging hammers, hydraulic

Co.,

1.15

19%

5.9

Construction

Co.___3

3.00

valves, fire hydrants

451/4

Merle E,

;

1.75

t0.90

3.6

Mills, Inc

Lee

2.20

50%

4.3

Chemical Corn Exch. Bank__

128

2.00

45y8

4.3

Chenango & Unadilla Telep._

1.20

5.50

7.50

221/4

Miller

dents

109

and

158%

4.7

Chicago City Bk. & Trust Co.

___

155

Rogers;

2.50

521%

4.8

William

Municipal

Hall,

Starting

opening

F. Meyers as
The new de¬

Joseph

manager.

Boston

Both

^Nassau and Suffolk
Hall

Mr.

and

the

Robert L. Day

conducting

purpose

founded in

was

1862 by

dealing in securities."
member

Exchange
New

the

since

York

It has been

Boston

Stock

the

trustees

duals,

the paper

have

industry, in bank stocks
tax-exempt bonds
will
facilities

increased

Exchange since
its

94-year

firm

has

institutions,

and

closely identi¬

been

fied

with

the

savings

New

York

and

the

banks

Wood

1.00

29M*

New

England

states.

Meyers

previously associated with
municipal bond firm of R. L.

the

3.4

boxes

Chicago
Corp.

Day & Co.

Molded

Products

Atr the

time

same

was

an¬

0.80

5.7

nounced

Chicago Title & Trust Co

5.00

85%

5.8

joined Spencer Trask & Co. as a
registered
representative.
M r.

Chilton

1.00

25%

3.9

Plastic

____

molding

Co.

Publisher

business

China Grove Cotton Mills Co.
Combed

2.00

*31

566.00

4.00

___

Theatre

Indianapolis

Citizens

3.8

15,100

3.7

BEylh Team Wins

8.9

Hayden GoSf Trophy

theatre

Commercial

Citizens Fidelity Bank

ings Efenk

111

2.7

4.00

124

3.2

Blyth

Cal.)___

(Savannah)

2.125

68V2

S. C.

City

3.1

f 1.50

the

n.a.

Natl.

3.5

1.90

f0.68

of
1956

Kenneth

4.6

stock &

with First

—

2.50

3.0

f0.92

3.5

*28

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

WIRES

the

two

net

man

for

*0.80

82V2

record.

this

score

teams

year's

composed

1.0

of L.

Fahnestock
on

page

of 154 among

competing.

arrangements

tournament

Potter,

Ward

Kenneth

and

service to investment dealers,

have

pre¬

pared statistical summaries of many foreign securi¬
ties for which American

Depositary Receipts

are

available.

now

The

members

our

search Department,

Foreign Investment Re¬

further, will be glad to

answer

questions and provide the latest financial data
on

international securities.

Where

here,
our

this information

we are

is not readily available

frequently able to obtain it through

London office

our

correspondents abroad.

Hayden, Stone & Co.

NY I -610

Co., Inc.

Members New York Stock Exchange

120

BROADWAY, NEW YORK 5

Telephone: WOrth 4-5300

20-24 Moorgate,

Inc.

70 Pine St., New York 5, N. y.
WHitehall 4-4970

Francisco

Trading Markets in Public Utility, Natural Gas and Industrial Securities

our

Wickliffc

G. A. Saxton *Co, Inc.

Philadelphia

San

recently broadened the facilities of

Model, Roland & Stone

Teletype NY 1-609

McAndrew &

Jr.

Eastwood,

have

Foreign Investment Research Department.

was

Co.; R. E. Christie,

Dallas

the

III, of Dillon Read & Co. Inc. and

Shreve of

•

Hickman, Inc.

Hendricks

Fahne-

awarded

were

for

Schneider, Bernet
&

low

recorded

representing Dean Witter &

The committee

available.

PRIVATE

individual

were

McAleenan

Co. with

Kuhn, Loeb & Co.

team

Houston.

Continued

n.a.Not

Robert

se¬

in all parts of the country,

Co., Ernest Graur of Hay¬

Prizes

form

(Kansas City)'

Adjusted

for

4.0

City National Bank & Tr. Co.

were:

the growing interest in foreign

Mansell.

14%

Bank & Trust Co.

not

team

scores

Houston

(Columbus, Ohio)

Details

Members of

26 teams.

winning

gross

City National Bank & Tr. Co.

den, Stone & Co., and W. H. Todd

First City Natl. Bank of

City Natl.

the
Golf

Friday, Sept. 28,
net score of 314, compet¬

among

Tie

Co., CI. B__

April

(Chicago)

Club

Frank

1.50

(Charleston)

Bank

captured

Memorial

Leslie, J. F. Burns, John Leib, and
31 "

utility

Merged in
Natl.

Inc.,

Hayden

In response to

ing
52

Citizens & Southern National

Citizens Utilities

Department

curities among investors

with

Citizens & Southern National
Bank

Co.,

Research

representing
firm of

banking

Trophy in competition at the Apa-

Sav¬

(Los Angeles!)-

(Riverside.

Public

Foreign Investment

wamtis

Citizens Nat. Trust & Savings
Bank

investment

Charles

37
Trust

3.00

team

four-man

the

& Tr.

(Louisville)

Citizens. Natl.

Sav¬

ings-Bank (Flint, Mich.)__

Bank

Holding company

formerly with

was

Day & Co.

yarn

Christiana Secur. Co._
Circle

that H. Roland Swift has

al§o

Swift

magazines

serve

were

Chicago Mill & Lumber

Stock

1872, and of the

addition

alysis and trading of securities in
and

business relationship with indivi¬

an¬

tors.

issues

general business in brokerage and

institutional and individual inves¬

Counties.

Day & Co.

The firm announced that its de¬

Page 52.

R. L.

"for

The
specialists
in the

of companies

industry.

paper

1893.

partments specializing in the

many years.

well-known

securities

and

Chase

firm

Fitz-

will
deal
in
general
market municipals and specialize
partment

Payers Front 5 to 10 Years Appear in the
Table

Excnange,

Bond

with

assistant

Dividend

the

Department un¬
the management of Denton D.

der

Consecutive Cash

nicipal bonds for

Lawrence E. Brown.

announced

prominent

distributor

and

public utility, industrial and mu¬

Hackett; Ellery W.

H. Y.

has

the

underwriter

partners

William

its history the firm
investment banking

Early

field and it has been

Harry V. Keefe, Jr.

Street, New York City, members

3.2

the

goes
back further
it consolidated with

office.

III; Ernest W. Borkland, Jr.; John
C.
Newsome; John H. Perkins;
Nestor Brown:
Clair C. Pontius;

of the New York StocK

5.00

Over-The-Counter

Chapman;

Page

Boston

jqined: the New York Stockf Ex¬
change and opened a New York

of the firm
are: Harold W. Pierce; Rodney W.
Williams;
I.
Tucker
Burr,
Jr.;

Spencer Trask & Co., 25 Broad

1942

entered

Limited

With Spencer Trask

Chicago Medical Arts Build¬
ing Corp.
■____
Office building

branches

and

hugh Gordon; William H. Claflin,

and

Hall, Meyers, Swift

5.5

history

the

Actually

coming Parkinson
& Burr and
subsequently Burr, Gannett & Co.
In
1901
Tucker, Anthony & Co.

Haven, Conn., Man¬
Nashua, N. H., and
and
New
Bedford,

and

Payne;

the

for

5.4

100

Midwest carrier

Second

Graham

beginning October 1, 1956
ending September 30, 1957.

year

Chicago hotel

Burlington
Quincv RR. Co

Day
New

ward; Frank A. Day; Frederick B.
Thomas

company

Chicago Allerton Hotel Co.__

Boston

L.
in

General
partners
of
Tucker,
Anthony & R. L. Day are: John
C.
Maxwell;
Robert
Haydock;
Horace W. Frost; Gilbert L. Ste¬

Rob¬

Vice-Presi¬

Paper products

Chase Manhattan Bank__

Chicago,

Mass.

ertson and Mr.

3.4

Charmin Paper

telephone

offices

was

Burr, Gannett & Co., which <had
originally been established in 1866
as
Peters & Parkinson, later be¬

Rochester, N. Y., Hart¬

Springfield

Mr.

and

year

6.6

Charleston Natl. Bk. (W. Va.)

Operating

main

Co.

1892 to en¬

Exchange.

firm's

consecutive

Maintenance*

Chapman Valve Mfg.
Gate

chester

for

eighth

/the

Manufacturing products lor Utility

expe¬

Boston

general brokerage busi¬

members

Stock

ford and New

President

(A. B.)

houses,

business

158 years, became

Anthony

and

offices

Chance
Line

Inc,,

Oct.

have

York

The

iBond

Bankers

totaling

Tucker,
will

brokerage

^nd

combined

effective

announcing

of Mr. Thomas

5.9

properties

Chambersburg Engineering.
presses

rience

pleasure

the re-election

Chain .Store Real Estate Trust

ness

New

two

in
a

since in

writing

with

9.1

gage

York and Boston securities under¬

Louisville

1956

Operating public utility

Retail

City

consolidation

take

30,

1956

Central West

The

Com-

/missioners of the Sinking Fund of

Paymts. to
June 30,

June 30,
1956

Ky.—The

LOUISVILLE,

founded

Anthony

.Tucker,

Sinking Fund Reelects Tucker, Anthony &
Thomas Graham Pres. R. L. Day Consolidate

Biggest in the World

(1431)

•

Teletype: NY1-2525

Londop, E.C. 2, England/

(1432)

The Commercial and Financial Chronicle

But

will

you

benefit from

Securities Salesman9s Corner
BUTTON

they

ings

stocks

and

accounts,

bonds,

real

page

can

searching study of
their assets, and that includes life
insurance, health insurance, in¬
vestment

JOHN

IContinued jrom

help people

never

until you show them that

The Great Over-The-Counter Market-

Biggest in the World

sav¬

and
This also in¬
revelation of all
estate,

Cash Divs.

business properties.

The Analytical, Advisory, Method of

cludes

family

Security Salesmanship
ARTICLE

Just what is

visory

the

salesmanship?

situation

require
status

They

it.
of

As I have observed other salesmen

know

who

security accounts, and

have

clientele
well

developed
of

investor

substantial

clients,

field, I would define it

inventoried

never

government

the

work

own

the

whether

follows:

It is when the approach to each
investor's account is based upon a

tured,

thorough analysis of his particular

bpfore

needs

becomes

from

the

standpoint

as¬

mind

for both

family.
a

After

all

there

and

results

that

tions

the

unexpected

(mostly

life, such
present

the

protection

future;

his

and

loved

what

earning

Also, if he is

power.

average man he

vide

the

loved

will wish to pro¬
estate for his

maximum

ones.

woman

there

the

investor

these objectives but

both male

variations

are

they apply to

female investors.

the

much

used

family

their

regards

investments

and

such

estate

laws

favoring

Plan

After spending well nigh on to
years retailing securities 1 can
attest to the fact that not over
5%
of the people with „whom I have

have

idea

life

costs

life

and

the

children

are

mature

are

25.

vide.

ing

These

are

men

father

and

ber of his

guide

nancial
is

little
and

moves,

Operates

mem¬

Coca-Cola

who

expert

can

act

the

have

plan
quirements-is*

large

and

stocks

fitted
vast

to their

indeed.

re¬

Both

collect

small

investors

buy

tips and hunches, they
insurance policies without

fitting them into their estate

quirements,'.they

for

re¬

years

that

can

profits

sification
income
too

many
or

few

used

can

growth

against

improved. Where

needed
income

either

there

are

stocks

often

and

too

speculative ones,

vice-versa.

7.1

1.3

27%

5.4

5.2

1.20

6.0

*41

(St. Louis)

8.00

cutting implements

120

6.7

2.50

6.8

1.00

110

Collyer Insulated Wire__

Supplies utilities and construction
industries

Colonial
of

Life

Insurance

Co.

America

food

'•'■■■"

stores

0.9

life

Stores

Retail

fl.025

1.20

''■■A

3.0

27%

4.4

Southeast

Midwest

and

(Special to The Financial Chronicle)

DENVER, Colo.—John

Colorado Central Power Co..

Ben-

Elfectrlc

net, Lawrence E. Clifford, Wilson

light and

Hendricks, Thomas J. Knuckles,
C. Knuckles, Wallace R.
McBrayer, Edward J. Moore, Bert
Thompson and Marion E. Tucker

Flour

and

Southeastern

Columbian
Life,

Joins United Investors

United

1.00

3.3

2.00

2.3

2.00

86%

2.3

fO.875

for

National Life In-

•

Co.

accident

and

(Nashville)
Commercial
Provides

(K. C.)____

Pressed

_4_J

was

*31

working

1.9

0.30

3.0

Stamp.

1.00

4.5

3.50

80%

4.3

i 0.17

0.8

; 38

2.6

capital

Shear. &

metal

46%

products,

hydraulic

oil equipment and forgings

Commercial Trust Co. of New

Jersey

now

(Jersey City)

Commonwealth

Investors, Inc., U. S.

formerly

with

Corp._

Co.

ance

Life

Insur-

(Ky.)

Non-participating

industrial

and

life

■

Jewell

health

Discount

Commercial

National Bank Building. Mr. Ben¬
nett

7.1

Commerce Union Bank

Roy C. Steil, David L. Vincent, Jr.,
with

1.8

19%

baker

Commerce Trust

(Special to The Financial Chronicle)

are

68%

1.40

mixes

prepared

Columbia Baking Co

surance

Washburn

1.25

Milling & Elevator

baking

rities, Inc., Farmer's Union Build¬
ing.

Natural^gas transmission
Colorado

have become affiliated with Secu¬

and Alfred

supplier

power

Colorado Interstate Gas Co._

William

not

Industry diver¬

10%

1.50

Colonial

simple steps needed to
highly rewarding tax

income.

4.6
2.3

154

fl-50

Farm and

DENVER, Colo. — Clarke F,
saving which is now open to them.
Bennett,
Donald
C.
Dickerson,
When it comes to
stocks, there Donald C. Goodspeed, Donald F.
done
business have ever had a is
hardly a list of any consequence Lampert,
Norman
B.
LaVerne,
long range plan for saving and wherein you will not find some William
Mizar, Algie R. Park¬
investing.
The
opportunity
for cats and dogs that can be elimi¬ er, Daniel E.
Read, Robert D.
helping people to set up a sound, nated and sold out for tax losses Richardson, William L.
Sherrill,

workable

32
-17

III

Securities, Inc. Add

10%
262

both

ARTICLE

2.00

6.0

worsted goods

(Los Angeles)

Collins Co.

that

standpoint

who

WEEK:

Coca-Cola

confi¬

0.75

5.7

yards

Coca-Cola (New York)

dential, sincere and capable finan¬
cial

6.00

livestock

Woolen and

to their

0.50

Cleveland Worsted Mills Co._

providing that he
of

41 %

refractory stone

Company

his

planning his fi¬

counsel

2.50

Cleveland Union Stock Yards

strength will often
in

man

given the

group

the

lov¬

and

intimate judgment of each
weakness

1956

...

Cleveland Trust Co.

pro¬

0.40

Supply._

Quarries

Building and

others

The considerations of

husband

Cleveland

Some

30,

young

Builders

building materials

han¬

can

others cannot.

considerations for which

upward

savings

Although
changed in 1954
insurance
invest¬

insurance

this

Some women

money,

;tax saving and sound

were

the

obtain

dle

1956

Manufacturers and distributors of

are

by considering a
unit and planning each

from

taken

important.

the

1956

•

insurance

Non-participating

taxes, there are many peo¬
ple who carry substantial amounts

People Have No

Financial

Title

Cleveland

they pre¬
ideas

and

12 Mos.to
tion
Paymts. to
June 30,
June 30, June 30,

secutive
Divs. Paid

City Title Insurance Co.

certain plans for their
future, for their wife's

her,

% Yield
Based on

Quota-

those

are

decease

estate

Most

have

children's

few people.

planning requirements.

ments

wl^ho

Tnere

Extras for

Years Cash

and

income requirements if

made

to fit in with

the

the other spouse.

chil¬

sisters,

in their investment program

move

grandparents,

brothers,

business

$250,000

as a

ties,

Approx.

Including
Wo. Con-

friend and counsellor and who can
assist him in achieving these ob¬
wherein the stock is jectives.

investments

settlement

willi be;
can

accounts

peoplb

estates

he meets premature death, or
forced retirement from
active
case

interest
that child

balance

income

Most

ones

the

fluctuating
real
corporations
closely held

the

ascertain

They have little

stocks,

better income for the

could

fixed

ma¬

earning power. They have
funds in savings institu¬

investment

temporary nature) and the ex¬
pected needs of his travel through

out

have

when

taxable

that

idea

his

reverses

situation

they

series

find

accumulated

vestments.

are

any

have

advantageously in other in¬

his

Namely, security to help him meet
economic

the

surplus

only
sensible
desires from his investments.

few

man

himself

their

attempted

social

many

minor child should cash them

attains

sisting the client in doing the best
job
of
creating
more
capital, income, and basic peace
possible

not

don't

their

bonds

proper

dren,. and

without making a will, or adding
codicils
when
changes in their

analytical, ad¬

method

Thursday, October 4, 1958

...

Wayne

Commonwealth Trust Co.

Co.

(Pittsburgh)

Concord Elect.
,

fl.00

2.40

43%

5.5

Co.__al41

fl.55

35%

4.4

(New Eng.)..

Operating public utility

Connecticut

Bk.

Connecticut

✓

General Life

Insurance
Life,

Dealers In

Tr.

Co.

accident

ance

(group

78
health

and

f 1.425 263

0.5

insur¬

individual)

and

Connecticut Light & Power

0.92

18%

4.9

Operating public utility

Connecticut National Bank

(Bridgeport, Conn.)

Unlisted

Electric

Securities

•

See

Consolidated
and

—

Industrials

gas

public

Dearborn

5.4

40%

5.5

20 %

5.6

4.6

page

buildings

1.15

> 3.00

office

43.

4.50

20.00

Chicago

Newark

Consolidated Dry Goods Cd._
^

17%

2.25

utility

Company's advertisement

Owns

Public Utilities

and

0.95

CONNECTICUT POWER CO.

Department

store

Consolidated

chain

Metal

Products

Corp.

27%

16.4

pwns railroad equipment patents

Consolidated Naval Stores
★

★

Consolidated
Tallow,
tilizers

Consol.

Rendering Co._
meat

grease,
hides

and

Water

Manufactures

FRANKEL & CO.
INCORPORATED

scrap,

Pwr.

Co.

Participating

to:

PHILADELPHIA

*31

SALT LAKE

and

fl.02

130

bfl.19

2.00

2.5

0.8

health

Casualty Co

1.2

insurance

Continental

cotton

40%

4.9

ginning

Illinois

and

National

Trust

Co.

f3.50

86%"*

4.0

CITY
•

1.40

Co.__

Chicago
and

■

equipment

Bank

Private Wires

2.7
t

Life
i

Assurance

Manufactures

Teletype NY 1-4040-4041

37
■

Continental Gin

WHitehall 3-3960

fl.00 "

life

accident

Diversifed

paper

American

Insurance

Continental

NEW YORK

4.75^

Paper

and

paper

Continental

Life,

BROADWAY

8.5

fer¬

Continental^

4.6

skins

products

W" V.

435

Holding company, diverse interests

★

Details

not

t Adjusted

complete

for

stock

possible

dividends,

longer

record.

splits, etc.

Including predecessors..
b Plus
100

one

held.

Continental

Assurance

Co.

common

for

each

Volume 184

Number 5574

The Commercial and Financial Chronicle

...

The Great Over-The^Goonter Market-

when

Including
Extras for

Quota-

secutive

12 Mos.to

tion

Years Cash

June

Divs. Paid

30,

% Yield

Based

1956

1.00

t0.72

8.00

280

Timberland

lumber

and

Refrigators

air

and

tubes

Wall

paperboard

17%

County Bank & Trust Co..

(Paterson, N. J.)

vacation-<bi

5.8

1.40

Cowles Chemical Co.___

4.5

Industrial

chemicals

*12

V-

Food

■-

Creamery Package Mfg

2.00

invest¬

Crompton

Knowles

Corp.

1.00

*36

1.45

Wide

accident

and

sickness;

Cuban
f

■

5.6-

public

c6.00

utility

Windows,

doors

other

and

work

Doors,

transit

9.6

6y8

1.00

5.7

19%

Del Monte Properties

5.1

2.20

estate

greater 100,

—■

Railroad

manufactured

7.5

size

indefinitely by
dividends, stock splits, spin¬
offs;
and
other
printing-press
methods; but it is impossible to

5.4*

waterfront

increase

property

lanterns

switches,

and

2.00

4.8-

operated

and

1.35

18%

7.4

The

P.R.R.

auto

not

ex-

fl.20

22y2

and

applies

frontage, but
lake frontage.

short
This,

with /a
direct,
to the water.

right-of-way

5.3

neW automobile sold
a

penny

may

people

increasing

may some

Dentist's/Supply (N. Y.)____ *30
other

and

1.00

15%

tected

deeds

and

Where and When to

6.3

pYoper

the Association in

Assistant

Vice-Presi¬
"

detract

With Allen Inv.
(Special to The Financial Chronicle)

that

DENVER,

day refrain from

cially

has

ton

them for recreation—espe¬

they are advised to re-,

Allen

Hor-

connected

with

Colo.—Earl

become

Investment

Company, Mile

High Center.

holidays

Buy

strictions.

dental

re¬

;

supplies

Denver

Natl. Bank

(Denver)

*32

1.70

3.6

Denver Union Stock Yard Co.

4.00

5.6

*10

0.40

fl.30

tl-20

5.5

Although
the
"field
furthest
away looks greenest," such water¬
front land in the community in

2.7

15y2

7.7

Livestock

Detroit
;

Aluminum

& Brass__

which you live, or on

Bearings and bushings

•

Detroit

Bank &

Trust Co

Detroit & Canada Tunnel____
Owns

and

Mfr.

Harvester Co.4.
auto

Detroit

bridge

Mortgage
estate

metal

parts

Bank

Co..

(Akron)_„_

2.00~

8.00

Beware

on a

When

0.20

3y8

Special bargains can
just before sub¬

secured

Savings

1.04

16%

0.75

12%

such

and

5.00

*23

engineering

0.425

150

3.3

17
ma-

•

may

5.1

property

2.00

is well

ever

trees,

even

not

Less

complete

for

stock

study

the

shrubbery, etc.

as to possible longer
dividends, splits, etc.

covering the last 50 years.

page

Kidder, Peabody &> Co.
.

record.

Continued

•

<30

FOUNDED 1865

destructive

flood con¬
trol.
Hence, it is reasonable to
believe that flooding will be less

tax.

floods, yet the na¬
tional and state governments are

of
•

available,

Cuban

been flooded.

be wise to spend a day
of the local news¬

constantly working

Not

with

lifelong
to learn

Although it is safe to build only
above and beyond' the possibility

4.2

the

paper

equipment

t Adjusted

studying files

"Drano,"

projects,

do not have

character of the buildings nearby,

Co.

you

waterfront

especially applies to lake or
river frontage.
The best test of

6.1

Corp.

Details

..?PH0NE

This

6.2

Trust

which

buying

whether it has

"Windex"

n.a.

INDUSTRIALS?

of Land That Has Been

acquaintance,

6.4

Soybean products,

•

beautiful day

Overflowed

5.6

graphite, paint

Products, Inc..

Drackett Co.

rine

summer!

n.a.

141%

■

„■

(Joseph) Crucible Co.

Heavy

STOCKS?

to be started.

6.4

7
10

(Youngstown)

Dravo

PUBLIC UTILITY

shopping centers, and
other real estate developments are

theatre chain

Crucibles,

0.40

of New York

Tissues

/■

often

Theatres

Operates

Dollar

STOCKS?

divisions,

Treasury securi¬
ties and bankers acceptances '

-Doeskin

can,

3.6

and
*

INSURANCE

at
and

snowstorm than
in

STOCKS?

outdated! Waterfront prop¬

4.7

151

BANK

company

Discount Corp.

Dixop

24%

Dicta-

recording

Products

5.50

now

states

tiles

transcribing machines

Dictograph

1.15

might

natives,

the

from

sell

frontage

o.cean

northern
and
central
however, usually be1
purchased for less during a winter

3.5
—,

tide

high

erty

35y2

1.25

buying

...want to buy or

know

selling it at low tide to the sum¬
mer visitors; but I guess tnis rule

7.8

30
sale

and

dictating,

District

3.0

Cement

culvert pipes,

and

Dealers

14%

Manufacture

1.10

specialties

Dictaphone Corp.

Dime

0.06

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

Holding

5.1

Portland Cement

Manufacturer of

phone

20 %

not

A local real estate broker

Company

Sewer

1.05

about

you

advise

Co.___

Portland

Diamond

■

financing

Stamping

Pressed

'■

Realty

...

Real

7.2
■'

Windsor

Co.

Detroit

16%

■;

Detroit International Bridge.
Operates

1.20

parts, farm equipment
lawn mowers \7.
•

and power

land nearby,
You know;
such property,

safest.

about
other property. Although all such
land, including well-located hous
lots, may be attractive, you will"'*
profit most by buying land by the
acre before it is sold by the foot.

tunnel

Detroit

"outs"

the

which

international

operates

the

usually

rather than more in future years.

This, however, does not apply to
ocean
frontage.
No means have
.

JMembers "Hetc York and

17 Wall Street,
Boston

Ex-

Stock

dent.

every

using

main home Sundays and

change Firms.

had joined

direc-

tor
of thg
A s sociation

Henry W. Putnam

re-

Ex¬

ecutive

from the value of interior
are getting
so thick'

accidents

Putnam

signed

Autos

land.

been
need.

recently

1946

contrast to the above,

has

however, should be carefully pro¬

equipment

teeth

ocean

river

property

Dempster Mill Manufacturing

Artificial

It also applies to close-by interior

bicycle lamps and horns

,it

partners,

Mr.

boat.

and

statement

above

only

also

type

Co.

the

you

purchased to serve as a three
supply for the average-

as
to

Exchange,
assistant

compressed natural gas (600 cubicfeet to 1 cubic foot) may some day
be

Stock

York

anno u

months'

cept by dredging.

Delaware

Farm

/••,..

wa-

1,000 years hence than exists
Stocks and bonds can be

even

Delta Electric Co

Roger W. Babsota

give,

New

the

amazing statis-;
tics relating to this subject. It is.
rumored that "solid gasoline" or-

stock

%_0.30

odd lot dealers

will

con¬

amount of

Cp.__ *10

new

add

today.

Manufacturing

Hand

f0.35

W. Putnam has joined
& Doremus, 63 Wall
Street, New
Yor,k City,

facilities

Special order manufacturing

Leased

also

rising.
However, the

7'-.

•

Henry
DeCoppet

my; New York friends, great
improvements in these outboard
motorSjare on the drawing boards.

stantly

1.25

in price.

DeCoppet &Doremus

terfront will be

Iron and steel castings

Real

constantly

are

cabinets

Dayton Malleable Iron Co.__
Decker

States

Prices, salaries, and wages

7;
14

Dallas Transit Co
Local

4.9*

12%

77/

laiid

and vacant

lake, ; or river.
Outboard
motors, and aluminum boats have,
been greatly improved during the,
past ten years. According to one,

ocean,

increa sing.

7;' Y x;.;:'-'7.

wood-

Metallic Door Co.

mouldings,

0.60

Then

the non-taxable

Henry Putnam Joins;

be¬

now

the Norton L.
of Lake Wales, Fla.

outboard motor sold'
penny to the valuer
waterfron-t property whether

should
of

work

Co.

> Every

7.8-

y:v\77>7':7'-

■

Companies, Inc.-__~__ *14

switch

into stock

Outboard Motors and Land Prices

con-,

stocks and

United

1.0

-i,'

Telephone Co.-___—_

Dahlstrom

17%

Operating

yourself

carried

eliminate

hurricanes, but

is worthy of careful attention.

The population of the

also

annuities

Curtis

variety of looms

Life,
•

5.7-

152

and

neces¬

bonds.

Crown Life Insurance Co.__Y

sarily

coolers

farm

and

fine

processing and refrigerating

machines

storms

Holmes

ing

program

is h

1.7

;

f0.50
16%
3.0
7; '777' 7:; 7:7:;

•

28%

discovered

been

ocean

best

;

31%

*31 > f0.48

yet

certain nonerosion

ment

County Trust (White Plains)

bonds

high,
from

investment program

your

and

when these are again low

Ann," including Gloucester and
Rockport, convince me that the

-/C'/'V'

containers

reverse

later

high.

few final days of my annual
the "Island of Cape

1.00

(may be well to switch
stocks to non-taxable bonds.

7.5

• -

- -

This means that

investment program to non-taxable bonds when stock prices^

6.4

are

> 3.00

17
.«■

Products

15%

Corduroy Rubber Co._______
Tires' and

1.00

conditioning

Cornell Paperboard

toddy, when stock prices are

sales to value of waterfront property; and prescribes purchase
of stocks and vacant land when low in price* and reverse this

2.8

•

Copeland Refrigeration Corp.
•

everJt is located.

population, Mr. Babson offers advice
why, where and when to bay such property to broaden one's
investment program. Calculates the-ratio of outboard motor

2.4

Coos Bay Lumber Co

you

taxes on

pay

4.0

Operates Pick-N-Pay Supermarkets

;

non-income-paying stocks,
hold them, but you must
vacant land wher-

pay on

"economic rent" principle to constant waterfront

I should add that, in

property and increasing

Co.28

Cook Coffee

pa¬

;

states, you have no taxes to

whild

Applying

Worth)

this column,
most

By ROGER W. BABSON

Paymts. to
June 30, June 30,

Continental National Bank

(Fort

closely

Going back to my reference to
in the first paragraph of

By Including Watexfront Property

Approx.

No. Con-

v
-

are
-

stocks

Cash Divs.

roads

the

trolled.

Biggest in the World

(1433)

Chicago

—

American Slock Exchanges

New York 5, N, Y.
Philadelphia

San .Francisco

The Commercial and Financial Chronicle

(1434)

Investment Course
Harris,
wide
with

Upham

investment
35

members

the

New

Robert

lectures for

Craft,

York

been

Stock

women

President,

Chase

The

Bank,

wholly

sessions

tion

nominated
of

for

America,

President of

the

Investment

announced

was

Bankers

George

Davis,

and

interest

Oct.

and

Oct.

dividual
On Oct.

Operates"

Metals
a

Investment
15

Steel

George

Davis

Robert

Craft

Andrew

William S. Hughes

Baird

ham's

and

Suffolk

Pearl

joined

the
&

and

Economics
Mfr.

NEW

HAVEN, Conn.

Carlson

has

—

become

HAVEN,

Morrow

with

has

Charles

209 Churibh

New York

was

Francisco,
made

Street, members of the
Stock Exchange.

the

2.20

34%

6.3

4.75

6.3

0.75

321/2

2.3

0.85

13%

*11"

2.10

5.2

10.75

4.4

28%

4.8

4.9

1.1

: v

Laboratory, Inc.
Corp., Ltd.

(Ba¬

co.—brewing

and

rolled

26-28,

the

were

William

Carroll

William

The

Del

Monte

Lodge,

Hughes,

Co.

Wagenseller &

Incorporated, Chicago.

Durst,

Inc.,

Los

Angeles.

steel

railroad

tires, steel rings and

(Thomas A.)

Class B

Jr.,

First

Southwest
&

Morton, W. H. Morton
on

1956, at the

Nomination

is tantamount to

Company,

Dallas.

Batteries, dictating machines, air¬
and industrial instruments

1.00

5.3

*28

1.75

4.1

(Texas).

2.40

52%

4.6

Electric Hose & Rubber Co.—

11 -32

29%

4.5

1.70

28%

6.0

t0.53

16%

3.2

1.35

26%

5.1

4.0

34%

3.3t

Autographic registers

El Paso Electric Co

El Paso Natl.

Rubber

Beach

election.

The

Products

Consolidated

Co., Incorporated, N. Y.

the slate at its Annual Convention

Hollywood

Neon

President and

Vice-Presidents will be installed Nov.
29, and will hold

Corp.

Manufacturer

abrasives

Elizabethtown
Gas

organi¬

Consolidated

Co.

Operating

meeting the following day.

public

Elizabethtown

utility

Emhart

Incorporated

public

1.15

1.00

3.00

186

1.6

*32

Empire Southern Gas Co
gas

2.00

2.6

33%

3.2

2.8

4.2

3.8

26%

public utility

Empire Trust Co.
Diversified

j 1.60

(N. Y.)___

Employers Casualty Co

Investment Bankers Since 1912

utility

industry machinery

Natural

■

Co.

Manufacturing Co...

Glass

Co
uompanu

Water

(Consolidated)
Operating

cun and

Electro Refractories &

Fla.
the

sign manufacturing

Abrasives

Hotel, Hollywood,
new

utility

Bank

hose

Electrical

Co., Baltimore.
&

1.375

craft

•

Jackson,

Mead, Mead, Miller

6.3

interests

Operating public utility

Edison

Pebble

following .nominees for Vice-

Baird, A. G. Becker

Nov. 25-30,

zation

/'■■■

■

forgings

Morton

Association.

following the Fall Meeting of the IB.A."

Sept.

The Association will act

associated
Scranton & Co.,

6.8

Egry Register Co.

William

Staff

Conn. —Donald

William

President

Calif.

affiliated

become

cleaning compounds

Texas operating

(Special to The Financial Chronicle)

NEW

San

Andrew

W. Carroll Mead

Governors,

President:

Arthur

George C. Lane & Co., Inc.,
70 College Street.

Jr.

Named with Mr. Craft

with

Scranton Adds

0.25

0.30

Edison Sault Electric Co

Co.,

announcement

(Special to The Financial Chronicle)

Jackson,

Skaggs &

Beach,

16 %

England

hamas)

Board

George C. Lane Adds

5.3

•

Ecuadorian

Associates,

gas

New

company,

wheels

Street.

2.00

natural

interests

Circle

Writing paper

the

staff

5.1

Downs

Holding

Thenebe

28 %

0.80

Eaton Paper Corp

(Special to The Financial Chronicle)

fl.45

Utilities Associates..

Holding
.

Joins Thenebe Staff

has

5.8

equipment

Edgewater Steel Co.

Charles

34%

resistant

Racing Assn.

Eastern

tion program."

Koop

2.00

products

marketing reports and

Petroleum

Eastern

part of Harris,
Up¬
mitiotial investment educa¬

5.8

Corrosion

HARTFORD, Conn.—Marian

and lifting equip¬

Eason Oil Co._

Mrs.

throughout

3.6

1.15

Supply

Watthour meters

with

groups

f0.825

5.9

supplies

ing Co.

scheduled for Oct. 22.
Mr. Meek pointed out that this

country,

Duriron Co.

of Research Behind All This Plan¬

women's

1.35

Duncan Electric Manufactur-

ning" by Percy Weeks of Harris,
Upham's
research
department,

by
experience

1956

publications

"Investing for the Future," with
concluding talk on "The Value

past

1956

(Chicago).

industrial

nonferrous

Credit

"highlighted

1956

*19

Dun & Bradstreet

will discuss

O'Neill's

30,

ment

"In¬

series

and

Industrial jacks

Planning."

Mr. Meek

Co.

Duff-Norton

con¬

and

Furniture

Ducommun Metals

O'Neill, Har¬
ris, Upham registered representa¬
feature "The Stock Market
It

Paymts. to
June^O, June 30/

Quality furniture

•;

Drovers Natl. Bk.

tive,

How

June

Based

ducted by Mrs. Rose

and

tion

Divs. Paid

The

lectures,

Quota-

12Mos.to

Years Cash

Drexel

experienced

last year."

course

Yield

Extras for

secutive

con¬

with

Approx.

Including
No. Co])-

Davis,

and answer period, "are
being
continued,"
Mr.
Meek
stated, "as a result of the attend¬
ance

Cash Divs.

Associa¬

question

during the

Biggest in the World

owned

cerning the investment brokerage
business on Monday, Oct. 1 at 7:30
p.m., at the 99 Park Avenue; New
York, office, according to an an¬
nouncement by Thomas B. Meek,
office manager.
The one-hour

page

foreign subsidiary of The Chase Manhattan Bank, New York, has

and

coast

Exchange, began its fall series of
informal

firm

brokerage

offices coast

jrom

The Great Over-The-Counter Market-

Receives Slate for 1957 Officers

nation¬

Co.,

Continued

Investment Bankers Association

Harris, Upham Offers

Thursday, October 4,

...

insurance

Employers Reinsurance Corp.

11.08

Multiple line reinsurance

Municipal

•

Public Utility

•

Industrial Securities

Eppens, Smith Co...

*32

Equitable Security Trust Co.

Underwriter: Concord Fund

158

Erie &

Leased

■tun
/jf
New York Stock

da.

Textile

holding

American Stock

and

Erwin Mills, Inc.
Textile

Midwest Stock Exchange

Water

6.2

0.575

14%

4.0

0.30

11%

2.6

3.00

5.1

*28

4.00

615

0.6

2.60

5.9

1.00

2.6

1.55

27%

5.7

operating

3.00

6.4

2.60

5.4

1.25

5.2

co.

________

power

Excelsior

Exchange (Associate)

1.8

3.25

mills

Essex*Co.

Exchange

by New York Central

Erlanger Mills Corp

Member

t0.96

Kalamazoo RR.__

4.00

107

(Wilmington)
Equitable Trust Co. (Balti.).

2.00

^Coffee and tea importing

...

mills

Life

Insurance

(Toronto)

Co.
....

'CP*

Participating & non-participating

Exeter

44 Wall Street

NEW

122 S. LaSaKe St.

YORI^CITY

Operating

CHICAGO

BOSTON

Aurora, 111.

Milwaukee, Wis?

Minneapolis, Minn.

Exeter

Rockford, 111.

Exolon

Moline, III.

South Bend, Ind.

Flint, Mich.

Nantucket, Mass.

Spokane, Wash.

Omaha, Neb.

Tulsa, Okla.

Lexington, Ky.

Peoria, 111.

Waterloo, la.

Madison, Wis.

Philadelphia, Pa.

Wausau, Wis.

Kansas

City, Mo.

and

Co.

__—_

Coe &

Tobacco

Fafnir

artificial

—

abrasives

Bearing Co...

Fairmont
Dairy

Details

not

—

bearings

and

frozen

foods

complete as to possible longer record,
stock dividends, splits, etc.
flve-for-one.
Initial dividend of 40c paid

for

split

Yield

ball

Foods Company—

products

t Adjusted

j Stock

Gregg, Inc

wholesaler

Manufacturer

1956.

Co.—

magnetic separators

Faber

•

—

glass fabrics

Manufacture
and

Electric

utility

Manufacturing

Cotton

Decatur, III.

public

Portland, Me.

Concord, N. II.

&
Hampton
Company

30 Federal St.

based

possible. SI.CO

yearly

dividend

June

record.

28.

1956

Volume Y84h

Number 5574

The Commercial and Financial Chronicle

...

(1435)

the

Our

Biggest in the World
Cash Divs.

■

secutive

*'■'

tion

Years Cash
Divs. Paid

Quota-

12 Mos.to
June

June

30,

Based

30,

June 30, J

Railway motor

Fall

River

for

8.0

fO.69

5.0

107/8

6.3

the

chaplets

Merchants

Long

(Calif.)__
Farrel-Birmingham Co.

3 00

2.00

4.8

0.80

7.3

locomotives

rubber

Chain

bake

Fertilizers

51/2

and

Federal

Co.

0.90

34 s/8

2.6

1.50

191/2

7.7

to ^selected

411/2

2.9

6.6

government market as

rather
has

1.20

5.80

*15

0.60

8.6

(non-woven)

and Trust

Co.

Natl.

issues

f 1.86

491/2

3.8

Table

Starting

borrowings

Page 52.

Real

(Boston)—

The latest^
survey by the Securities and Exchange Commission, lndicates-that*
plant and equipment expenditures
scheduled for the last quarter of
the year will be at the annual rate
of $38 billion. These figures seem
higher interest rates.

fire

Western

Co.

plant and

Reserve Requirements

tnaif>n(prt

be unbearable.

■

643/4

4.2

being dropped because of the dif-

reserves,

3.6

ficulty in obtaining credit.

*10

50.00

1300

3.8

19.00

1.80

591/2

3.0

results

this

powerful,

spending program will be to keep
credit very strong

the demand for

Weak

than

minor

attention

to the action of the

being given
equity market

money market followers, since
prices of common stocks have also

been

the

defensive.

about

doubt

the

There

sit¬

current

confused, since prices
been
giving
quotations of

have
well as

equities

other

Because of the seasonal financial needs of industry, commerce
agriculture between now and
equipment-the end of the year, the monetary

2!00

The

amount

one

the

weak,

generally strong, but in

this

case,,

been

both

have

going down.

prices

2.70

There

When

*62

unless there is going to

squeeze

that would be very

UnfaVOral>le to the economy.
...

w1^

most likely

This
,

done first

Redding-Miller Formed
(Special to The Financial Chronicle)

DENVER, Colo.

—

Redding-

Miller, Inc., is engaging in a secu¬
rities business from offices at

East

Sixth

Tucker

Avenue.

Miller,

Officers

Jr.,

931
are

President;

through the purchase of Treasury Donald B. Robertson, Vice-Presi¬
ing in this need for funds, there bills, although there are opinions dent; Howard H. Reynolds, Sec¬
is not likely to be any decline in around that a reduction will be retary; and William D. Mitchell,
the level of interest rates.
Also made in reserve requirements of Treasurer.

securities

underwriter

Ins.

would

Market Also

Stock

bonds.

c
.

spending is not being effected by; authorities will
have to make
the higher costs of borrowing and available
to the money market
that very few, if any, projects are* and the deposit banks funds and

4.4

Chicago,

would not reach the point

where it would

4.4

and, until there is some diminish-

Fireman's Fund Insur. Co.—

Firemen's

squeeze

ground

435:

Reserve:

and

there

en'ed.

2.90

Pennsylvania

and

security with a maturity

that

uation being

4.8

Central

that interest rates would

kind of a money market in which
the debt maturity can be length-

still
in spite

are

pace,

estate

rapid

821/2

Fifth-Third Un. Tr. (Cinn.)„

4.00

Fidelity Union Tr. (Newark)

Co.

Trust-

Fidelity Trust Co. (Pgh.)

Finance

to show that

real

Put out

inter-

the

expanding at

Dividend

of New York

important change in the policy of
active restraint.
It would, how¬
ever, make a certain amount of
credit
available,
so
that
the

money might be raised oy
increasing the weekly offering of
Treasury bills.
This is not the

Business
51

Payers From 5 to 10 Years Appear in the

Boston

the credit stringency it is not
expected that the Treasury will

Heavy

Over-The-Counter Consecutive Cash

Fifty Associates

the

Business Borrowings Continue

Fidelity-Philadelphia

November. Because

Par*

Bk.

(Balti.)

Second

investors.

products

screw

which

attraction

hqd for

the

mean

some

Ferry Cap & Set Screw Co.Manufacturer of

increase

gov¬

not

are

go a long way toward re-;
lieving the extreme strain in the
money market.
This* would not

oven as long as a year. Tax anticipation certificates coming due
market.
Corpo/ates1 and tax ex- \n June> with an attractive return,
empt obligations are still the prin- js
what the money market is
cipal mediums for the investment looking for in the impending fiof available funds.
nancing of the Treasury. Also

6.0

small

this

as ever,
no

modest
amount of attention is being given

Michigan newspapers

Felters Co.

there

the

would

medisrtejand--k)ng terms, but this is
not significant in a very defensive

that

warehousing

Fidelity-Baltimore

^ar amount to be otbained in the

5.7

(Newark)

Pressed felts

means

With the

rates

banks

4.00

Publications, Inc.-

Federated

■

many years.

bank.

of, but the

care

carrying

Rising
going to
bring any appreciable amount of
credit into the picture, because it
is just not available
at this time.
A reduction
in reserve require¬
ments, even though it should be
only of modest proportions, or
would involve only the member

down

5.7

taken

interest

••••«

around that $1.5 billion will be
borrowed m October, with a sim-

105

purposes.^

ernment must also be met.

Cities

Works.

forth¬

that be

the legitimate nefeas
commerce
and* the

industry,

business

There is some question as to whether or not the government will come into the market tor the full amount at one
time,
since there
are
opinions

market is

money

6.00

10.0

machines

Trust

This

0.55

Multiple line insurance

Federal Screw

.they

1929.

own

their

defeat

farmer

The Treasury is now up against
the problem of borrowing $3 billion of new money in the next few
weeks, with the money market as
tight as it has been in
great

even

credit

in
considerable
talk
lowering or reserve reof
the
commercial

quiet and thin
and

powers

cost

very expenin the face of rising in-

appar-

and

the

make

Prospective Terms on Coming
Treasury Issue

quirements

compress

restraint,

relief

some

Not only must

borrowings

even

terest rates.

still in

Federal Insurance Co.__-

Screws

the

sive

con-

ever,
are

tight

since

does not

these

giving

the

Compress & Warehouse

Cotton

resulting

5.8

shops

Federal Chemical Co.
Fed.

1.15

about

Shops, Inc

retail

squeeze

goods, sponges

Federal Bake

been

adds

are

have/been

Faultless Rubber
Miscel.

also

ernment,

common

Demand for funds

conditions

Heavy machinery & machine tools

been

far

hand, prices of

is as large as
though interest rates
an
uptrend.
Money

4.3

has

concerned.

ently

Bank

Fate-Root-Heath Co.

are

which

fusion.

which

evidence

have

ground

chills

Beach

Industrial

other

market

and

attitude

stocks
and

foundries

Farmers

yet

much in

very

utility-

Fanner Mfg.
Manufactures

1.15

what the

of active

policy

unless

not

tight, due

so very

will

conthe fact/hat, in effect, more than
fill, with no 50% of" the cost of bonded inindicated in the de- debtedness is borne by the gov-

back

these securities

Co._____

Operating public

government
to

-fensive
345

27.50;

cars

Gas

The

;

change

'
*22

that

doubt but

the

coming shortly the
tinues

1956

Fairmont Railway Motors,
Inc.

the

Paymts. to

1956

By JOHN T. CHIPPENDALE, JR.

banks

market is

money

Approx.

Extras for

There is

Governments

distant future.

% Yield

Including
No. Con,

Reporter

commercial

too

The Great Over-The-Counter Market-

1.20

361/2

3.3

First Amer. Nat. Bk. (Nashv.)

+1.20

301/2

3.9

First Bank Stock Corp

1.55

341/4

4.5

1.80

3.2

+1.02

3.4

58i/2

8.5

(Newark)

Diversified insurance

Holds

stock

Federal

First

Reserve

Bank

banks

Ninth

District

Trust

Co.

(Madison, N. J.)

First Bank & Trust Co.

(South Bend)
FIRST BOSTON CORP.i
Investment
•

See

First

5.00

banking

Company's advertisement

Camden

National

page

At Tour Service

22.

Bank
"

Trust

First

Co.

0.80

2.00

591/?

(N. JO

City Natl. Bk. (Houston)

New

name resulting from merger
April 1956 of First National
Bank, and City National Bank,

both

Houston.

First

Natl.

Bank

Akron__

1.00

2.5

First

Natl.

Bank

Atlanta-

*27

1.60

40%

3.9

First

Natl.

Bank

(Balti.)

2.50

4.6

1.25

Singer, Bean &. Mackie, inc.

First

Natl.

Bank

(Birming.).

First

Natl.

Bank of Boston..

172

2.75

Natl.

Bank

8.00

307

Natl.

Bank

(Cinn.)

AAV2

First

Natl.

Bank

First

Natl.

First

Natl

First

Natl.

HAnover

New York 5

2-0270

1-1825

1-4844

2.6

First

Exchange Place

4.5

First

(Chicago).

3.0

1.40

Dallas

1.40

Bahk of Denver

*39

14.00

475

2.9

1.00

3.3

Bank

(Ft. Worth)

3.1
'

4.2

FIRM TRADING MARKETS
IN

(Houston)

Merged with City National Bank
(Houston) April 1956 to form
First
City
National
Bank

OVER 350" STOCKS

(Houston).

First Natl.
First

Bk.

Natl.

First Natl. Bank

(K.

(Memphis).

First

National Bank (Miami)

First

National Bank

First

Natl.

First.
First
•

Natl.

4.4

138

2.2

1.40

36%
47V2

1.00

*31
19

4.50
2.00

66%

3.0

Bank of Portland

2.00

55%

3.6

2.10

3.6

Bank

not

(St. Louis.)

complete

*37

possible

t Adjusted for .stock dividends, splits,

longer
*fe.

Wires

Reynolds & Co., Philadelphia

4.2

108

record,

Continued

Direct

3.9
2.1

(Mobile)
(Omaha)

Bank

Natl.

Details

3.00

C.)

+2.21

(Jersey City)

Bank

page

Fewel

Co., Los Angeles

Burton J. Vincent & Co., Chicago

(1436)

The Commercial and Financial
Chronicle

Terms

Tight Money Irrelevant
Campaign Issue

Political Ronald

as a

Of Distributors

CHICAGO,

Political importance of current money situation would cease,
"Guaranty ^Survey" avers, if critics understood that present
tight money reflects tight goods and that an infusion of addi¬
tional funds, during condition of full resource-employment,

and moderated demand

tors

Group, Inc.,

Tight

issue

money

simply

the

that

irrelevant

political campaign,
the government

controls

neither

the

nor

money—if it is,

supply

level

interest

instance,

rates, it is pointed out in the Oc¬

tober issue of "The

Guaranty Sur¬
vey," published by Guaranty Trust
Company of New York.
The

Federal

sponsible

"for

the

cause,"

has

re¬

pursued

Federal

Reserve

"let-alone"

behave

much

very

demand

may

boom

the

period

maladjustments

investors in plants, raw

between
it

ii. necessary

these

are

not

remember

purely

phenomena but rather

corrective

that

always

the

.in

markets

goods

and

article

First

ings Bank of
First

man¬

;

First

and

facilities

for

the

investors

Co.

"DENVER, uColo.

—

Spencer

!!.

now

asserts

with

connected

Grant

Hamilton

Corporation,

4 4 5

Street.

other

York.

The

offices,

the other in

firm'

3.9
Y

f 1.225

3.1

d2.00

4.4

1.35

40 *

3.4

Bank

the

Penn¬

I'.:

...

company

Trust

Francisco)

(San

1.60

43%

3.7

Elec. Light

*69

3.00

53%

5.6

communities

1.00

58%

1.7

0.60

12%

4.7

0.83

19%

4.2

1.20

17%

7.0

1.30

16%

7.8

1.10

4.6

Public Utilities

Co..

Operating public utility

Florida

Telephone Corp

Operating public utility

Fluor Corp. Ltd

"will

Plants

con¬

for

oil,

and

gas

chemical

industries
Y

greatly

Foote

Bros.

Gears

located

has

4.0

Banking

(Jacksonville)

and

Gear

Drilling,

Forbes

Mach...

Co.

reaming,

tapping

■

^Wallace, Inc., class

...

Mass."

Fort Pitt Bridge Works.

1.00

SpVhigfield,

store,

1.35r*>

--—-f

D€ffF.

1.00

6.6"v

3.4

3.3

Structural steel fabrication

two

Fort

one in Plainfield and
Newark, New Jersey.

Wayne Corrugated

per Co.
Corrugated shipping

Fort

Wayne

National

(Indiana)

Pa¬

containers

Bank J
21

•

1.90

3.3

1.00

4.0

Corp.

1.75

21%

8.1

Fourth Natl. Bank of Wichita

*31

f0.93

1.5

0.85

14%

5.8

2.50

3.8

0.30

0.50

...

Ft. Worth National Bank

Fostoria

Pressed

Industrial

Steel

—

Manufacturer
retor,

lighting units

Fram Corp.
air

oil,

fuel,

radiator

carbu¬

waterfilters

Franco Wyoming Oil Co
Holding company.
oil developments

Also

finances

>'V-

Frank

(Albert)-Guenther
Law, Inc.
Advertising

There is
«•

-I

tremendous

Franklin

business-building

Life

well directed program of
STOCKHOLDER RELATIONSpower

corporation

capable of earning for

34%

5.8

f0.24

1.7 "

f 1.67

30%

5.5

3.50

65%

5.3

fl.58

44%

3.5

1.25

37%

3.3

1.00

11.6

'1.75

33%

5.0

Gary Natl. Bank (Indiana)--

4.00

Gary Railways, Inc.—

0.60

8.3

1.36

23%

5.7

and

goods

Brushes

Fuller Mfg. Co.—
Truck

parts

and

Natl.

gas

Bank

(Atlanta)

Galveston-Houston Co.
Holding--eoxnpany.

GarloctikPacking
Mechanical
seals

FRANCISCO

Broadway, New York 5, N.Y.
^

conditioning

Fuller Brush Co., class A

C/jiaa/ti^cdiorty
SAN

air

marketing

Cotton

the country.

•

and

Fruit of the Loom, Inc._

Stockholder and Financial Relations
100

manufacturers

Frontier Refining
Petroleum
production, refining

corporate relations

de witt/conklin

NEW YORK

0.6

2.00

Fulton

"■

equipment

Write—or call—for appointment.

8.8

and

Refrigeration

well recognized—as is the simplicity with
which we present each client's
story to the investment
across

25%

dyers

are

opinion-makers

85%
;

Frick Co.

with stockholders and with members of the
financial

community

Co.

2.25

''name status" irr the Securities

Community. Our methods of .handling

-\J

3.0

Insurance

insurance

Yarn

especially if it is properly geared to attract
reader attention-and

agency

Life

Franklin Process Co._

transmission equip.

Foote-Burt

Berry.M

New

2.40

holding

Florida

Companyr::dealeris-in
i n v.ea t<m enti securities,? have
opened an ofice at 37 Wall Street,

serv-

63%

Florida National Bank

Berry Office in N. Y>

1955

and

,Serves Massachusetts

throughout the Oakland area."

(Special to The Financial Chronicle)

2,55

National

for

Fitchburg Gas

increased number of investors and

First

Western Bank

Co.

manager,

enlarged

venient

3.4

3.8

Sav-

Security Corp

Bank

which, according
Strong, Harris,

provide

143

Diego...

October

Philadelphia

Oakland

1.20

Banking
(Phila.)
141

Trust Co.

Formed

Exchange, has
opening of new
Calif,
offices at
1400

Street

2.5

Pennsylvania

the

Ferdinand

San

Trust &

3.0

—

National

machines

Management

Guaranty

Franklin

Four With Hamilton

ices."
The

posts

members of the

is-' the

for

sales

2.9

30 •:

y2.80 *

City Bank

„

fO.81

■

;

f0.90

First National
Exchange
J; Bank of Roanoke

investment

Stock

-monetary
expression Yof] a" parallel situation

Florida

National

New York

8.00:* 276

—-

Paterson, N. J._._

First

South

earlier

First National Bank and
Trust Co. (Tulsa)

his

Goodbody & Company.

potential

finan¬

easy'situation in .the
•

York

Oakland,

financial
are

wi 11

Vice-President

coast to coast and

New

arti¬

when

process,

correspondingly

severe."

that

underlying phys¬
ical realities," the Survey reports.
"A tight or
market

comes,

OAKLAND, Calif.—Harris, Up¬
ham & Co., nationwide investment
brokerage firm
with 35 offices

Upham

the

Mr.

New Oakland Offices

beyond
normally

distortions

is - to make the distortions
maladjustments worse, so that

cial reflections of

money

savings and-investments,

>20

Harris, Upham Opens

and

appreciate the real meaning
importance of the
balance

sylvania
Trusts.

ever,

"To
and

permit

n.a.

merger:
of

conditions,"
Survey, which

effect

22.

First

ficial stimulation of demand, how¬

materials,

inventories and the like.

actual

5-1

for A. M. Kidder & Company,

announced

"The

coast

warns:

other

39%

1.10

this

boom

the

2.00

Beane and

would

under

ager

continue

reason

according

maintaining balance be¬
people's savings and the in¬
and

includes

V.v'-V

Natl..Bk.

and branch manager for both Mer¬
rill
Lynch,
Pierce,
Fenner
&

higher,

appearance

and

business

give the

time when

have

demand

end

develop

vestments

the

broad

1956

■

Paymts. to
June 30,
7* 1956 *.*

June 30,

(Scranton).

Street, Chicago.

Beaton's

Executive

west

services

increases

Y-V '

■

First Natl. Bk.T. (Okla.
City);
First National Bank & Trust

the

McCleary & Company, investment
dealers of St. Petersburg, Florida;"

increase

cannot

instead

completely free market would be¬
tween

employ¬

making

resources,

available

full

enhanced prosperity and

a
"tight" money policy, ac¬
cording to the Guaranty publica¬
tion, permitting the money mar¬

Mr.

experience
of

supply of goods and

way

rather

Salle

"Stimulating
the

demand,
about by

brought

for them and forces prices
the article declares.

than

ket

moderated

are

Bank

Haven)

headquarters

situation

only by genuine

the

minds.

Actually,

Beaton

June 30,
Divs. Paid - 1950

Based

First National Bank & Trust
Co. (New

re¬

states,

tion

(Wichita).l

1 y

m a n

a'ger for

cannot

but

other

official, the Survey

and

p's

r o u

12Mos.to

First National Bank
(Tampa)
First Natl. Bank

e r

Quota-

(Shreveport)

First

the

make

commodity

First Natl.

southeastern'

market. '

condition

money

free to interpret their responsibil¬
and
perform
th'eir
duties

agency

these

of¬

any

gional

tight money."

are

from

Form

only aggravated

corrected

savings

ment

and

Federal Reserve

dictation

tight

and

ities

without

the money

be removed by the Presi¬

except

tight goods

Approx.
% Yield

Extras for

Years Cash
■

for

states.

ern

tight goods, and

but

No. Con-

re¬

Including

middle » west-',

cur¬

infusion of additional funds

can

>Presidential appointments of
board
members.
But
app«intees

ficials of

the

Cash Divs.

the

Group Se¬
curities,
Inc.

in the present

corrected

System,

an
independent agency of
limited authority, is linked to the
national
Administration
through

dent

reflection

itself

may not

Biggest in the World

funds

He will be

natural development-

situation

into

Reserve

criticism

zmmm'

rent money situation "would cease
if the critics understood that tight

because

money

honest

•

secutive

mutual

resulting increased savings
tight commodity situation.

correct

sponsors

sales
.

has been appointed resi¬
Vice-President of Distribu¬

dent

The Great Over-The-Counler Market-

Group

111. —Ronald

Beaton

would aggravate rather than correct the situation. Praises Fed¬
eral Reserve's efforts and looks to

Continued from page 31

A. Beaton V.-P.

Thursday, October 4, 1956

...

WOrth 4-60S6

and

Bus

industry

packings,

mechanical

gaskets,

oil

seals

Operating public utility

■Gas Service Co.
Natural

gas

Missouri,

distributor

Kansas,

serving
Oklahoma and

•

Nebraska
*

Details

not

complete

possible longer
t Adjusted for stock
dividends, splits, etc.""
d Established rate (50c
n.a. Not

quarterly),

available.

record,

450

0.9

Volume 184

Number 5574

.The Commercial and Financial Chronicle

(1437)

Continued

The Great Over-The-Counter Market—
-

Biggest in the World

The New International Lend ing

•

Approx.

Including

% Yield

No. Con-

Extras for

Quota-

sesutive

12Mos.to

tion

Paymts. to

June 30,

1956

Years Cash

June

Divs. Paid

30,

1956

Based

American
oil

Oil

Automatic
and

0.59

63%

0.9

*17

0.95

3.6

controls

for

pressure

1.25

2.8 /

Industries?"Co.__

Plastics.

tric

Also

makes

small

2.35

38 %

6.1

Commercial

Marine

and

v, All

0.48

6'/2

7.4

1.20

171/2

6.8

Corp

1.80

v'over

Corp.__

bonding,

fire

Marble

production

Boring, milling

drilling

and

machines

Gilbert

Bennett

f 1.21

2.9

2.00

34%

5.8

1.00

lathes

and

3.05

691/2

4.4

1.00

21%

4.7

1.80

69%

2 6

(P. H.)

Pulp and

11
:

manufacture

paper

single
our

line

Portland

Fire

and

-Goderich

insurance

3.5

0.95

Hose,

•••

belting

0.35

22"

and. packings

•• v

el.35

5.2
*

Warehouse

Co.____.

2.00

Graniteville Co. T-.—-1—■

Cotton

0.75

(N. Y;)/83

insurance

;

1.50

1.:, 33.0.60>

Works

;

Shipbuilders, and engineers ""
Southern

Life,

time in

using

avail¬

our

•

/;■•;

ship, ■ the"Corpora¬

beginning its triahrun.

take

seen

some

time

test

our

against unfore¬
contingencies and to; estabup

reserves

lish the confidence of businessmen

West

Co.

prudent

promote

be¬

by
can

economic

The less developed areas

and

before.

the

time,

same

indus¬

arbitrary actions
parties, such as re¬

nant in

building

the confidence

there is the

opportunity of greater
production and trade extending
over
greater areas of the world

face of

fulfill

such protection. Thus the conduct
of public authorities is predomi¬

abandoning . their.. status quo
perceiving the possibility of a
better life for their peoples.^ Thus

are

ever

the

a
contract, redress
sought under the law. But
against similar action by govern¬
ments, under claim of sovereign
rights and powers, there is no

that the launch¬

vigorous

trol
.

up or

of those

destroying
who

Unfortunately, each example of
arbitrary action in the world of
..

international
business, wherever
located, affects hot only the par¬
ties directly involved, but spreads

their facilities rebuilt and
its influence to far distant areas.
improved after the destruction of
Thus, no country needing the aid
war, are again pressing vigorously
of international capital in its de¬
into overseas markets and invest-;
velopment can be indifferent to

rope,

Businessmen and investors

ments.

the United

ing

outside

States

venturing

Science

borders.

its

develop¬

are

interests

new

the

scene

given

should

surpass

has

seen.

see

history

essential

role.

in the less developed areas. Capi¬
is available; enterprise is not

tal

lacking. If capital and enterprise
are
given a positive welcome by
our

Justified
4

Confidence

all

member governments—and

other

Prerequisite
lieve

which
even

certain

note

could

obstacles

greatly hinder-or
fulfillment of this

prevent

fident

can

out

carry

(Sp^ial to The Financial Chronicle)

2.50

272

0.9

*19

5.60

the

over

freely

years.

only

They take

House

when

there

confidence—confidence in

sociates,

Inc.,

137-319

West

is: Philadelphia-Baltimore and

reason¬

Stock Exchanges.

west

1.05

27%

3.8

Vegetable

canning

1.25

14%

8.5.

*32

distribution

Griess-Pfleger Tanning Co.__ *15
" *

Leather

tanning

Grinnell Corp.
U '

•>

We Are A Vital Part Of

slippers

Green Giant Co., Class B____

Sprinklers

2.75
//-•/."

Av^hanfcing -equipment;

Guarantee

Co.:

No r t h

-•••> '<

it) i

OVU'MUHO*

"THE WORLD'S
,»...
4

2.4

116

t'vf

*i i

♦

♦ i

»■ «• i

t,:

i'M O'J-i if

America

(Montreal)

Fidelity tnd

*37

Insurance

Co.

(Dallas)

Diversified insurance"

Gulf Life

4.1

440

surety bonds

Guaranty Trust (N. Y.)
Gulf
'*

18.00

*' *-

78%

f 1.86

2.1

•

•'

5.1

4.00

••

We maintain position markets in

Insurance Co.
—

(Jacksonville, Fla.)

■

Life

24'

Gustin-Bacon Mfg. Co
Glass

fibre

insulation

Hagan Corp.

than 100 issues

and have direct unlisted trading wires to

"■

accident

ana

products

New

York

—

Water treatment chemical*-

J ' •*

Hajoca Corp.

City,

Dallas,

Chicago,

Los

Angeles,

Houston, -Nashville,

Kansas

City, San

San

Louisville,

Francisco,

Denver,

Lexington,

Antonio, Milwaukee

Building supplies

Halle

Bros.

Ohio

——

merchandise

cistributor*-

Haloid Co. 2_—-y
--

Photo-papers; copying, proees.se*

Hamilton
Wood

Mfg.

and

27**-

-I'/'.r*- *'■'*/■'

—

■'■■■J I

1.00

*51

—

,10.00

/lr

17%

*•

SCHI LCK, RKEHTER COMPANY

5.8

Member Midwest Stock Exchange

steel products

Hamilton National Bank

(Chattanooga) J
•

Bell
-

Details

not

t Adjusted
-

3.5

285

ePlus

complete

for stock

one

share of

•ommtm

stock

possible longer record.

• -

dividends, splits, etc.
class

"A"

common

stock

for

each

ten

held.

Continued

page

Teletype

SL 456

New

England Avenue, members of the

7.7

Co.—£

(Daniel)

jap

Assurance

health

and

our

;

1.8

Life

accident

Green
fb

by
be¬

of industry and com¬ 11 WINTER PARK, Fla, — Edwin
involve 130^ merely trades F; Perko is jlow with
Security As¬

huildingj

place

which

With Security Associates

Investment in enterprise," par-:
ticulkifly fkr from home, and the

events,

assignment.

promise.

merce,.

governments

in this objective—I am con¬

However, it is only realistic to
take

any¬

Corporation the objective of stim¬
ulating a greater flow of private
capital into productive enterprise

peace,

anything

capital

growth

reasonable

playing

regarding the

Our member governments have

initiative! experience

capital

such

assigned the International Finance

And in this expansion I

private

and

for

where in the world.

And

production.
set

attitudes

treatment

roads

modern machines open new

unparalleled

and

actions

Insur¬
1.60

con¬

capital.

5.0

;

pace

developing countries. And
a plant slow to
grow,
kill.

private

fusal

of the Corporation has been
The world is in one of its
of

the

private investment

but easy to

timely.

periods
growth.

determine

confidence is

long-

our

the

health

and

(Winnipeg)

Life,

the

conduct, in

public authori¬

*31

accident

Great

Life

Co.

ance

some

chart

from

capital effectively than with

build

4.2
.

■«

com-

expect to be

with

period.

It appears to me

Great Lakes Engineering,.
\

Great

•

largely

policies, to have our; staff gain the of -the day but long-term plans
experience of working together, to and : judgments of the course of

4.5

161/2-

future

will

;

-t

Great Amer. Ins. Co.

the

tion

■'

23,

initial

our

treatment

will

term progress.

than

arbitrarily,

business

and volume of

rea¬

initial

that

will

5.7

•i

confident

ginning

which,

amounts

funds.. For

50.'

28
•jr

insurance

Diversified

3.0

•

pri¬

question

some

lack of resources.

Indemnity

Company "...
Diversified

1.60

fabrics

American

to carry out

Sources;

larger

Like "a 'hew
-

broad front.

own

able

with

concerned

Detroit-ice'.manufacturer

Great

3-2

;

•/

Trunk

Cold Storage

few

alone, but always in

our

/ 0.60

changed

will

all

and

while

in the

course

sources, so that the enterin which -we participate
represent much more than

-will

stimulating
on

aware

prises

/ '

...

Cameras

Grand

any

To concentrate

way

patience

our

private

8% V 4.1

Graflex, Inc.

pany.

v
'

limit to

financing
would not,

whether the size of

6.5

retailer

cream

must

upper

capital is large enough to do the
job. However, our capital will not

ieev

hand,

Capital to Combine With

■

1.50

;

sta¬

rules

private investment, whether
foreign, in the respect for
validity of contracts—these things

partner.

trialized countries of Western Eu¬

projects
be the best

members

our

4;5

>211%

that

other well-wishers will have

myriad

investment in

our

enterprise..

march

Goodall Rubber Co.i/
•

f0.74

Well-known

investment

vate

Elevator & Transit

elevator-

'Grain

2.9

Good Humor Corp.__._
-

7.5

67%

And

purchase, if it

cement

masonry

allied lines

other

Private

Co., Ltd.

2.00

Cement

Republic Insurance

and

their

mandate

our

easily compete

reasonable

underwriter

Glens Falls Portland

Globe

0.50

certain

progress

resources

large

eight brick plants

Glens Falls Insurance Co
Multiple

the
a

sure,

y *
10

Glen-Gery Shale Brick Corp.
Owns

anpther,
of- a

can

Co.__

not

the

that engagements made
fulfilled.
Confidence
in

standards

judgment and

our

desirability

our

ing

economic

that

ties of

trust

one

propositions.

the size

Glatfelter

the

small

have

21/

tools

num¬

competent management.

Machine

Turret

before

1.4

Corn

Exchange
Bank (Philadelphia)
119

Gisholt

For

nriust

scattered its funds among a

Manufac¬

Trust

For

reasons.

world.

investors

cloth'

it, for

our

of its investments, and to interest private

•

Wire

the

turing Co.
Girard

agricul¬

finally, IFC would find it difficult

■

Giddings & Lewis Mach. Tool
"

for

practical

enterprise
size

Georgia Marble Co
,

;;

"4.1 '

and

lines

and

thing, there is a limit to the num¬
ber of propositions it is feasible
for
our
staff to
investigate all

•

other machinery

casualty,

rallied

in
I

investment

own

elec¬

Ptg. Co.

General Reinsurance

practical

and

confidence

local
and investors in

fields

terprise and for the amount of

printing

Metals

the

reasonable mini¬
both for the size of the en¬

mum

•

General

into

commerce

require

ber of

the

sonable

motors

General Manifold

find

may

out

ture.
We

Oil

branch

finance,

Southern producer

General

time

temperature

General Crude

and

Agency
tively promote development. After

producer

General Controls

political

Crude

able

will

•

Cash Divs.

General

page

bility,

V » ♦

■

from

320 N. 4th St.

GArfield

ST. LOUIS 2, MO.

1-0225

Mid¬

(1438)

The Commercial and Financial Chronicle

from

incurred. At

page

one

rather

Continued

free

debt

amount

Advantages of Municipal Bonds
And Their Role in America Today
to be determined as a leg¬

islative

matter,

tutional

stop

sc.

would

There

doubt this question

that

the

public
age
it

knows.
bonds

must

for

and

municipal

separate
under
of

districts

tax

bonds

constitutions,

circumstances

that
'<

the

cite

origin

char¬

stances

taxes

your

board

—

the

payable

from

promise

limited

estate

un¬

from

pay

if the limited tax

sources

real

fails

the
dollars required if the issuer has

and

clumsy the
village
particularly businessmen

board

the

real estate is still

other

own

awarkward

school

produce

levied the rate at the full amount,
authorized to be levied and does

have

not

government
often
express
such sentiments. Businessmen are

the

have

who

had

not

much

with

always
which

ready
is

for their
realize

desirable

business but

that

the

thing
profitable

and

when

they fail to
to

comes

municipality or school corpora¬
tion, proceeding to borrow money
be

can

only

by law,
worthwhile the

mattqr how
improvement.

municipal bonds is about
$43,000,000,000.
The
year
1954
listed
the
largest amount ever
issued at

$6,969,fT00,000. 1955 was
very, close second at $5,595,000,-

000.

Each

the

port,

June in

from

tax

estimate

annual

re¬

plaped

the General

often,

1.9%.

for.

right to

paving

basis

benefited

done

order

against

by
will

city

assess¬

the

that

property

improvement.

borrow

primary
in many
roads and

illustrate,

streets is often

The

cities,

our

ment

Obligation bond

there

the

money

the

improvement
and
issue
a
General
Obligation
bond of the city to get the funds.
Double
the

Barreled

which

paid

the

off,vthe

from

bonds

the

are

revenue will not

the

into

Bond

column

revenue

come

the

tax

levy,

revenue

will

column

from a special assessment account
paid by the people subject to that

assessment, and
bond

issued

the

held

invalid

rev¬

obligation of the
the city. ' If by

chance the assessments

some
r

used

to meet the

enue

miscellaneous classifi¬

have

other monies
might have avail¬

come

agencies,
sinking
funds, retirement funds,. pension
funds,
12.9%;
insurance
com¬
panies, 9.9%; savings banks, 1.3%;
then

In
very

government

and

pay

any

the issuer

year

where

contracted

was

does

from

paid

exempt bonds
available.
The

municipal bonckrare'iTeld is as
follows:
Individuals
and
trusts,
39.7%; commercial banks, 32.2%;

cation of

that

estimate of the

information

last

its

funds

able for general purposes.

Treasury Depart¬

ment assembles

placement

wnich

holder

The estimated amount outstand¬

ing

rate

The

purpose.

Amount and Holdings

sufficient

obligation, the holder of that
obligation, cannot go into court and
have any tax rate levied above the

provided

not

were

author¬

ized to be collected in the amount

Types of Exempts
All

the

other than
divided

tax

revenue

into

bonds,

may be
classifications

two

to pay the obligation,
city, has from all other
the obligation to provide

necessary

exempt

known to the

industry as General
Obligation bonds and Special Ob¬
ligation bonds. The General Obli¬
gation bond is ope for which the
entire faith and credit of the issue
is pledged for payment. The
Spe¬
cial Obligation bond is oim

then

the

sources

additional monies to meet the ob¬

ligation of the
In

the

mary

one of the pri¬
which is held to be

sources

most

bond.

industry,

desirable is the water bond.

That is generally called in the in¬

solely out of

without
assets or

Some
are

time.

are

the

Obligation

bonds

taxes,

but

some

the

manner

various limits. These

limited

most

tax

bonds

rate

cannot

during

any

used

above

levy

form
which

real

tax'year

one

for all purposes. There are-various
other ways which

taxation.
in

are

Sometimes

gross

used to limit

the

dollar amount.

limit

Some¬

times the limit is for all
purposes,
it is for the
purpose

sometimes
ether

the

than

limit

debt.
as

are

funds

the

rev¬

part of the general
are
kept apart ffrom

and
neral

the

water

not

funds

and

used

first

operation

water

plant, and the balance
pledged for payment of prin¬
cipal and interest on water bond-s.

The holder of

tion

bond

purpose of
revenue

General Obliga¬

issued

by a city for
water, where the water

pledged

debt

serv-

ice, has two sources, first, money *
remaining from the sale of water
after

generally

issuer

estate

the

double barreled bond. In

for maintenance

bonds.

industry.

limit

tax

from

are

amount

known

are

limited in

known

The

o^ier,
levied

rate,

unlimited

General

and there
are

any

taxes

They
as

payable

taxes

enues

from

limit

industry
Other

instances

revenues of the issuer.
General Obligation bonds

payable

without

many

specialYfund

pledge

dustry

pay¬

able

In
rate

addition
or

railroads
much

unhappy

did

the

think

not

amount

everything

too

con¬

was

ence.

that

period, many of the
States placed into their Constitu¬
a

limit

the debt that the

community might issue, and that
is generally expressed
withu re¬
spect to a percentage of the" as¬
sessed

evaluation

property.
for

some

instance

York, for

the

excess

taxable

the

State

many years

tution has had
issued

the

States,

New

paying expenses of operation
belongs specifically to water bond
debt

service,

money is not

the

and second, if that
adequate, then there

obligation

on
the part of
city, from its other funds, to
bring in the balance required.
That is a very popular
type of
bond, and frequently used chiefly

the

supply of water.

The

operate

the

cities
on

amount

and

limits
of

taxing
with

debt

districts

respect

that

may

that

carefully

others

the

vote

The

the

debt limit

scrutinized

anyone

who

very

under¬

give

have

bond

public

for

body.
prefers
goes up to

that

approval

vote

interest¬

satisfactory method
with respect to school bonds. Most
a very

have

bonds

voted.

People do not vote on issuing a
given
number
of
bonds.
What

they vote on is a tax to be levied
over a period of years in a dollar
amount sufficient to pay

cipal
as

and

are

the

interest
be

time

school

issued,

district

the tax
levied.'
;:U;•
The

New
any

York

bonds

that from

bond

has

in New York

already
'

legislature of the

been

further

school

bonds

law

voted

long
are

any

outstand¬

ing.
Into the

have

come

desire to

municipal

thing

Over-Taxed?

all

else

various

documents

always

someone

tion

study

pay.

states

ordering
into

very

society

the

have

legislative
investiga¬
excessive

portion of taxation borne by real
estate in the tax structure. I never,

had

the

down

chance

and

the

six

being fed
Of

trace

the origin, but

would not find

you

principle

declared

legislatures, without its
from

course,

have

same

five

really

find out

seems

some

it is

one

source.

desirable

varied

source

thing

rev¬

but it is not at all true, in
opinion, that real estate bears

enue,
my

excessive

amount

disproportionate

taxation.

There

uniformity; in some area^ real
estate
only
pays
about
35%
whereas

other

areas,

82%- is

required.
It

municipal bond field in

recent years has

Estate

course,

popular

State

provides that
school district shall continue

exist

the prin¬

such

authorization

State,

real estate taxes

upon

operation

Is Real

seen

New York State has

school

the

government.

whole

from having too great a

away

for

governing

being issued.

ing and

get

dependency
that

latitude by

the

attor¬

require

in their cities

voted

industry

before

the Consti¬

recital that bonds

and

bonds

was

legislatures

bonds

going to
successful and pay off rapidly.
was
a
rather unhappy experi-

tions

all

the

about

After

Many

result of this freedom

and

bonds, and by the
who approve them.

neys

Everyone wanted the

being issued, because it
sidered

circum¬

course,

conditional

community
your neighbor is provoked to say
how

bond

particular source of
authority to show why

au¬

borrow.

matter

issuer, in and about

that

often

rate

within

ratner

were

writes

as¬

are
null and void.
The penalty
the issuer ful¬
for issue over the debt limit is
filled all the requirements of the
death to the security and it is a
specified limits.

order.

the

levied

provided, of

ters, and then, of course, the reso¬
lution of

did not produce the dollars
necessary to discharge in full, the
issuer
had
no
other
obligation

thousands

hundreds

many

The

and

years

statutes, thousands of court de¬

cisions,

number

of issue.

date

issued

were

thorized

issued

are

fixed

supported
by that specific pledge to be levied
only during that period. If under

180,000

over

for

from

years

bonds

some

State

the United States for

and

collected

and

decides.

bonds

county

one

could

the

public purposes; in the
seventies and eighties periods of
tne development of railroads, tnere

provide for
payment of principal and interest
from a specific tax to be levied

appears

enacted

authorized

issue

purpose.

was

bond which
in the industry

the

illustrate, the Florida Legis¬

lature

In this day and
that the public
purpose is any purpose-that the
legislature decides to be a public
purpose, and the Supreme Court
of the State in which that legis¬
lation

to time is gen¬

known

specific tax bond.

again.

When, how
In municipal
another thing to consider

come

—nobody
bonds,

found

limits

are

That limit

erally

will

time.

with no consti¬
their right to do

there

amount,

that

were

matter

sumed for

to
gress,

time issuers

the

Thursday, October 4, 1956

...

issuer

generally
who

tax schedule

has
so

held

so
as

that

arranged

that

the

provide only

Number 5574

Volume 184

The Commercial and Financial Chronicle

35%

out of a tax on real estate, in so many areas, is that a mu¬
modern, progressive, alert, nicipal corporation is a perpetual
worth\ hile commuity. That could body, and these taxes levied on

and

be,

during

times

good

real estate

are

term

so.
But, there is this two, three, or four years later
remember, that taxes of a na¬ when things get a little bit better,
ture
other than the real estate delinquent taxes are paid.
tax, are often a tax imposed and
In the thirties, as things started

obligation for

If not collected in that

only.
the

given year

reveneus

most

whereas

the

estat^/tax is a lien on the property
andvlstays as a lien on the proper¬

excess

estate
was

over

from taxes

been levied in the

ty until paid.
In

real

but had

never

120%.

This type of instrument
is used often; many of our cities
use
them.
When they come into

The

the

it is very important
for buyers to know in a very de¬
tailed and thorough manner just
what the situation is with respect

which had

previous years,

been collected.

bad period, if one should soon as business improved people
again,
that
issuer
com¬ paid up
the back taxes.
Where
mended by some people who favor the community levied a business
this diversity scheme, might find tax or a license tax of some kind
sudden collapse of a substantial and did not collect the
tax, the
amount of revenue required to run revenue was never available.
the community, and tnere would
As
a
general rule, municipal
a

in
-

difficult

situation.

Tnen,

and state

the

ensuing year, should such
go back to the tax on
real estate, they would be step¬
ping up the real estate tax at a
time when it was very undesirable
and possibly a very unprofitable
issuer

and
on

Financing

worth

thinking

One

Delaware,

now,
I
^would take a
that possibly $11,000,000,-

UO0

revenue

are

Revenue
,.

iir+stJlme 111

States that there
to do
m

was

bond

revenue

•

bond issue

Washington

important thing to
financing par¬
ticularly — tax financing — just
what the power of the issuer is
in

of the

the matter

assigning of

held

Appeals

the

act

New

York

unconstitutional and

could

bonds

The

tolk.

not

The market did not find

doing to make this

sessed

limit for all

tax

mills

the

and

miles WOuld be cl°gSed

lines of cars wanting to

city imposed

of five

nurooses

dollar

There

was

SmiS
required

S
the

Inile

route
^

■

over

the 5,100

Chesapeake and Ohio—the first

needed

inventory control of the 65,000 items
to

the railroad.

run

system.:

large scale electronic com-

the

Wp*

State

was

Wash-

limit

through the
Chesapeake and Ohio's 90,000 stock¬

list of

provides information

morning's sunrise for

use

fresh

this

by management in

manning Chessie's future growth. Projected

Implications include recording thousands of
rhipments moved for thousands of C&O cus¬

holders, figures how much each
at

should receive

the current $3.50 dividend rate,

and writes

their checks at the rate of five checks a
In half

day it

can

make

second.

the paychecks for

34,000 C&O employees, figuring
ceives for the

what each

re¬

number of hours he worked, plus

#5vv:

over-time and less

withholdings and

deductions that may

any

other

having

amount

have

the

change
increase

And this is just
Ohio's

locomotives,
i&vvXvXvXv:

new

Univac is

accurate as it is

fast. It performs

Mathematical computation twice and

every

new

igree,

the operation again. If they still
it stops work and yells for help.

new cars, new

trainferries,

most

if they don't

one/phase of Chesapeake and

modernization program.

new

of all-new

yards,

New diesel

track,
new

new

piers,

signals and—

thinking have made this a

railroad. A modern railroad,

tempo

of today—and tomorrow.

There

two

were

Constitu-

debt

limit

legal obstacles

bond issue. The

both.

avoided

revenue

Water

rates

bond
were

paid on a water bill, a charge
separate from taxes for municipal
so the tax rate was not
influenced. Water revenue bonds

purposes,

not bonded debt in the

were

Constitutional limit did not apply,

Therefore,
the
first
revenue
provided an essential service

bond

to the people that
been provided by

could not have
the city under
method
of
financing

usual

This

was

fairly

simple procedure and an effective
the

solution

problem.

The

security

was

the bondholder had not

that

experienced before.
be

It turned out

portfolio of pictures
family? Write to:

interest

bonds after

the

main-

have gone a long way since

Importance Today

;

Picture

these

how

important
bonds

revenue

out-of-state

traffic.
eas P?ld by motorists for the
existing ferry service across the
Delaware would be almost sufficient to pay principal and interest
0n
a bond issue to provide funds
to

construct

bridge

which

spending the

were

The motorists

money anyway,

were

very

waiting-[for; the " ferry

unhappy
and

the

Ple in Delaware. It seemed like
logical thing to do. The
istence of a bridge would
very

ex-

un¬

dopbtedly induce additional traffic which would produce revenues
adequate to service the entire
debh

That

exactly

what

Delaware

did.' The total cost turned out to
be $46,400,000 and it was open to

traffic in 1951. The first full year
Pr°duced earnings of
$5,810,000, and the last full year
9*
Produced $7,259,000.
Under the indenture all monies
not. re<3ulred for the maintenance
and operation must be used for
u°n5 s*?rvic.e and redemption of
oiaaaa

The earnings have been so above
the ordinary debt
service, that the
debt has been reduced to about

The Authority which

now

con_

ducts the brid
made
detailed
rec0rd of all traffjc from (h
.
the bridge was
ed up to now.

the

some

now.

are

Triborough Bridge,
Authority, Jer-

The

percentage of foreign traffic

90%; that is

cars

other than

Delaware cars using the facility.
a* j™ excellent illustration
h
.
Tnfe Qta*6 USf
? revenu.e
-

rplip'
f

•

Hware+v,IS

f PPrf^° I6?1'

•

1°

minntai

A0nIeTesSySfo°rniahe KrWng bri
the8 people

others,

the

for

these

year

000.

That is

the
1954

$700,000

back

areas®

revenues

were

$211,000,-

cost of $42,000 a year

1897.
bond

revenue

served

Spokane

very

now

total

long way up from
that Spokane bor-

scribed

great

just these four, and there are

rowed

1, OHIO

toll

would be owned by Delaware but
be paid for by the motorists who

Turnpike, and the Water and

The

3809 TERMINAL TOWER, CLEVELAND

was

that time.

the

Railway

time.

taming and operating the plant.

many

hesapeake and Ohio

^(?.y

accepted

sufficient to pay the ,principal and

For

should Delaware
nnnnnn"fl! S hSf?
"
' ??' c+?
*}d+
S ? ? S|?V9

wo".ld. Produce- a dollar amount

sey

use

use<

■

Port of New York

of Chessie and her

the

satisfactory and has
in
principle ever $33,000,000 and if the present revThe city made a enues
continue, all of the bonds
specific pledge of 60%
of the wm be paid off by 1960, and that
gross revenues of the water works is
three
years
before
they are
system, and further agreed to con- callable and 18 years before matinue to levy a rate fqr water that turity.
very

been

Consider

Would you

Delaware

...
bonds due in 1978 and not callsomething able for refunding
prior to 1963.

could not

sense

Constitutional limit, so the

of the

new

purchased and put down there but

blocked roads distressing the peo-

geared to the
-----

the

in
the

limit.

goes over

lon't agree,

the

much

exempt water bonds from that

since that

of superior transportation.

terest

service

debt, there still would

remained

limit

tax

adequate

water bond

ing to railroad operation is

ability to develop fresh techniques in the in¬

improvements.

another demonstra¬
Chesapeake and Ohio's willingness and

the

and

charter amendment to

the

increase

the

be indicated.

Adaptation of large scale electronic comput¬
tion of

the

If the city had been successful

Jnivac

exceeded

peopie

the

indebtedness any

have

would

tion

Every three months Univac goes

streets

their own roads, which they had

was

There

difficult

■)

[ ailroad to install
)uter

all

the

were

those blocks and Sive hack to the

accounting and

ferry' but havin^ to use the roads
until they could get on the ferry'
and the roads which they were
using

Constitutional limit.

revenue

the

use

water

amount of

ply

accelerated

Wlth

..addl+i°n' therethe Conwas anthat

tprpct
terest

bigger, better railroad.

keys

ToadT^

ingy debt and the taxUmlf did no"t ^Tawa^A frid%e ^ the
|eaxV?atentndranrinmc^^aind in*
R^wofld ehminate

panel of Univac, the kitten has

The auto

nnn

'Son

tht

The charter of

what is going

WUmfog!

mobile traffic between the points

city could incur and the amount of
money required for the water sup-

paw on

seDarate<,

a revenue

$16 000 000

about

£se?n iYicfina

total

ler

iust belQW Wilmington

issued,

SirwL wSfLYvfcf

funds to pay.

of a series telling what Chesapeake and Ohio

tomers;

Delaware

south-

and

States,

^enVe^ ST
^ w fn Delaware In o^

C^nal

from

stitution

the control

south

United

is about a mile wide at

Court

ington.

the

has

know in temporary

Hazards

the

and

points

payable

limit

states

and

west

the New

lLPE°rieaeCa^lththPCZnd';ti?nn h°P

Kitten

the

England

was

proposed

was

dense

most

Unjted

New York State about 1851.

revenue

the

points north and east

attempt

any

financing

state

an enorautomobile traffic,

Wo.rld> between Philadelphia and

•

it.

original

small

very

flow

mous

probably

Advantages

to have

of the

one

situated in the center of

bonds.

Bond

states,

standing
guess

in 1948 and

age

necessary

en°u"nagrt

thing I think is worth call¬

GROW ?

b^nd'
bonds out-

newer

was

•,

going

about in connection with this di¬ ing attention to in municipal un¬
versification, which has been used derwriting is that after many years

ILROAD

n?n nnAVe
$43,000,000,000 of
nnn

the

bond in

why it

taxes

strument

very

•

thing

municipal bond business
a
relatively new factor,

cited brought very little business
obligation secured by
bond until 1897
This originated
against which the in¬
fr0™ Spokane Washington.
constant flow of traffic was a costbeen issued, when,
Why did Spokane sell a revenue ly experience to Delaware and Its
as, and if received, and if not re¬
bond.
Spokane had to.
It was own business
people,
ceived, there is no other promise
born of necessity.
The people of
~
u
vj
■,
to
pay.
In other instances, the
instrument is a general obligation. Spokane needed a water supply
system.
The city was then as•? particularly, tne roads for
It is a

the

in.

comes

of taxes.
general obligation

anticipation
not

are

important

but just an

Temporary vs. Long Term

thing to do.
Another

Some

issued

do, but it is the
rather than the rule,

Jthey have to keep

what

tion in

Some

exception

distinc¬
the nature of the obligation

There

corporations do not have

reserves.

market,

to the issue.

come

result

some

there

that year.

from collection of 35% of the taxes
on

illustrate,

In the

the

cities levy
requirements for a given
year and borrow on its anticipa¬
tion of receipt of such taxes for

get better, tax collections
changed in some communities

real

that

financing

taxes for

year,

non-existent

are

cases,

think

is consider-:
more
hazardous
than
the
or
long-term financing.
-

ably

still liens, and one,

observation

temporary

undoubtedly

has

(1439)

take

the

well
look

have

people

1897.

de-

of
Let

revenue

£
tbe ferry
&
1

•

111

JOin /\Hen Inv. I^.O.
(Special to the financial chronicle)
BOULDER, Colo. — Walter M.
Perls, Warren G. Chester, Clyde
Robbins
and
Charles
W.
Rath

have become affiliated with Allen
Investment Company, 1334 Pearl
Street.

(1440)

The Commercial and Financial
Chronicle

Continued

from

page

vestors

the

$100,000

Corporate Bond Market
And an Arbitrager's Work
then

and

one

following five years.
They are offered either directly
to the public by underwriters or,
in

great

offered to

many

they

cases,

individual

their own stockholders

When

scription

derwritten.

Sometimes

designed

sell

that there is

pany

the

sure

cases,

will

underwriters

the

are

taken

let's

Now,

necessary

who

see

vertible bonds.

far

would

con¬

them,

type, estates, in¬

3%%

value.

They

was

somewhere

112,

the

and

take

ment

invest¬

who

Anything

vestment

value

above

its

the

attributable

the last few

years,

bonds

the

and

For latest

verts,
tors

and

$320

which

and

were

110

•

;

•

see

in¬

who

So let's

somewhere

bought

50%

amounted

based

3.00

120

(The) (N. Y.) 104

Bank

2.00

50%

4.0

103

2.00

42 Y4

4.7

*13

fo.29

87/g

3.3

fl0.20

430

2.8

f3.00

8.6

Pri¬

that

5.4

"■/

2.5

„

thus

stock

and

American

make

Boiler

Sale

see,

gets

;

pfobably

kind

route this

are

FOUNDED

Hines

Operation
teriaS

Local,

■

Bank's

BROKERS

♦

606

opinion—the banks

that

the

banks

from

the

opinion—frowns:

banks

dividuals

lending

money

THOMSON & WKINNON

security

kets.

,.7"

INDIANAPOLIS

TORONTO

finance

offices in the United States

SECURITY AND COMMODITY

EXCHANGES

Street,

day-to-day

and have

dustries*

capital

who

turn

need

expansion

down in-;

purposes

for

Continued
u

page

■

6.00
:

'■

18.00

and

2.65

.30%

6.9

465

":7

7.5.0

Corp.li v20

food

;

■

-*• ..5

7 "•

jet

and'

'"/

47 '

1.30

0.80

4.3 77
"7/

25%

•

3.2

*
.

3.3
4 0

7\ "

and

7.777/77

V; i

-■^
„

>>7

leader

the

7 7

...

v''

0.65 7 31

(Boise)

2.25

3.3

1.50

30%

4.9

.V' 2.1

industry

wallpaper

•

and
.*

Imperial S,ugar Co...
Sugar

•-..'•

' 50

sub-

engines

•

pigment colors

5.9

1.00 7 25%7^ 3.9
'■.*:>

products

refining

4.60

...

7.8

/•'-«•» »

■

j
3.9

1.40 ; 23%
7 .: "'7, % *

utility

equipment

Manufacturer
-

j
,

Imperial Paper & Color Co..
-

7
.

13.3

"7-22

2.10

4.1

7 45

<Ideal Cement Co..

•

Idaho First Natl. Bk.

activi¬

money

radar

•

0.45

.;.'

their

poses

5.9

.14% / 5.4

City

Electrical

and

ties; but they don't want to lend
money to an individual who
is coming in. for
speculative pur-

and Canada

MEMIitS NEW YORK STOCK
EXCHANGE AND OTHER RRINCIPAt

their

happy

"1/

••

assemblies 7or

mine

4.5

"Kenwood"'textile products

Street,vNew York

0.75

1.90"

mar¬

""
•

"t.

I-.T-E Circuit Breaker Co.___;

'•?

9.7

•;

Co...

Huyck« (F." C.) & Sons.....—

-s

•

<•

1.60

*' r

■

44%

0.34

Banks are certainly
lend it to a firm like
other dealers
in
the

2.00

in¬

speculative

carry
commitments in the

phone

twine

Confection

Banks and the Federal
Reserve—•
this is also

United States and Canada 7

Huston (Tom) Peanut Co

' V

Southern Texas

Reserve

"
;

•'•••,

Huntington Natl. (Columbus)

borrowing

are ~

Federal

3.7.
i"-*

0.75

Houston Natural Gas

2.1 ? -;;

^nd electric and steam

papers

daily

gas

84
30

.13

Housatonic ;Pq;blic Swv. Co.. ; 14
Connecticut
p'ublid' Utility '"com^
7
pany,

before,

■••

.V.,'J-

3-.0fr;;'^:5ih^^':6.0'-^^'.::
'v!' »Vr'

Syracuse/Inc..
rooms

•■•

1.10

drug chain

York

Hotel

on
the scale that
be ^ necessary to make a
convertible bond issue a success.
I'm sure you've read in the

and commodities in the

would

listed, unlisted securities

Barbizon,/ Inc;LZ.77777

New

finance ;.the «.l*md -7-.
transaction I
told "you*'~

type' of

6.3

-15

Drugs, Inc..

Hotel

wouldn't

about

51%

Telegraph

Guarantee

Vacuupi cleaners'
•

•

6.8

3%^"--"■"•r
real'estate' " ; -

distance

Hoover-Co., -Class

•

17%

markets,' cafe-cy,;

•

and

'*•

processing

and

long

insurance

Rope

6.0

:■

insurance

and

Indiana

Co.-_-_.__5..__I

Title

Hook

•

..7 .f"

3.25

Title

1.20

store

hydraulic

service'

Home

•

bakeries

Diversified

the

•

41%

V/-.

Pawgi;Co....

Home Telephone &
Co. of Virginia

time. 7

77 "'-V k

,1.5!
'

2.50

-■

r 6.9

7"'

•

—

of -food,

and

7 "
6.1

'■■■■■■-;'

Home Insurance Co.
(N. Y.).

—

than

just

fl-445

•

0.225

and

steam

Home Dairy
•

20%

•

5.5

•

(Edward) Lumber Co.

ana

Now, you might/ask, why do
they do this? ;r The reason they
did it, in my opinion, after checking around a bit
I think it is

1.25

department

Timb*«;,Joggmg

5.9

■

1885

Orleans),21^ 11.75

industrial

:7.'\

HolyokV'Sl^ej?.
Electric
-

3.9
-

20
...

furniture

Cleveland

Lending

products

2.3

39%

fl.10
.

Higbee Co. TSLZ

the stock¬
holders the right to
buy one-forten, at $100 a share, instead of
what they've done in the
past—
offered a convertible issue.
Frowns

2.35

Manufacturing Co..

(New-

offering

Speculative

fl.74

,.A,

They

97%

ale

stock

2.30

the
company, unfortunately,
has got to raise another
$570 mil¬
common

Hibernia National Bank

How- ?

200 million of these

lion, but decided

4.1

•-

dairy products In
Pennsylvania
;

Canvas

thing, and we're
going to miss Telephone bonds as
they are about running out. There
are
only 99 million of. them left

5.4

Hey wood-Wakefield Co

bonds have been" converted
by the
arbitragers in. Wall Street. - ,"'So. you cart see that we have a
prettv active day-to-day business
this

31%

manufacture

Hettrick

Since last October,

over

36%

1.30

*51

Produces

par

2.0

;

Hershey Creamery
/,...

126

gas

Cement

busi¬

onr

149

2.00

Hercules Cement Corp

differ-^

it's not

wealthy

3.00

(Cambridge).

Gas

and

'7.77,. 7''/-

machinery insurance

Holding company

Beer

8.4

106

Heidelberg Brewing Co

it's profitable because of the

large volunje.
7

Maker

can

one

Haverty Furniture Cos

ex¬

$1,000

and

Haverhill

9%
.

2.0

0.80

Operates in New England

Telephone

per

Haverhill Electric Co

bonds

small

'■'

•.*

;

...

0.10

insurance

Gas

Harvard Trust

■

store

Hartford Natl. Bank & Trust

transfer

purchase

Hotel

Hartford Steam Boiler
Insp._

value.
As you

information, ■'*'/'

Diversified

charges,

and

ential, usually %%

in-

;

our

interest

(Chic.)

handling equipment

Hartford

parity

bonds

price less
as

Hartford Fire Insurance

American

the

polishing

(L.) & Son, Inc

Grain

curerntly

for

and

Hart-Carter Co.

currently
—

Winkle

San Jose department

desiring to dispose
bonds, sell the necessary

such

amount

bal¬

brokerage,

Hart

market

from

Van

Penn-Harris

from investors

around

These

bid

such

Fed

1.5

2.10

Hooven & Allison Co;._...-1

-•

helps inves¬

trading

stock

taxes.

Offices in 107 Cities

f0.58

Class

THarrisburg Hotel Co...

have

provides

differential

floor

to between

$330 million;

rest

willing to trade is based

182 V2.

NEW YORK 5, N. Y.

CHICAGO

2.5

equipment

aiding in the dis¬

ing.
For example
Telephone stock is

less barred

the

arbitrager

Telephone

Trading Department

11 Wall

320

Knitting Co.__

A.),

Harris Tr. & Svgs. Bk.

with the price at which American

r/ 70 PINE STREET

1956

steel

Electroplating

of these Telephone con-|

small

"■Merrill Lynch, Pierce, Fenner & Beane

8.00

marketer

Multiple line insurance

Hanson

and

iron,

in these bonds. The
price at which

selling

■
-

All

maintain

ness

simply contact—•

;

1956

sportswear

Hanover Fire Insurance Co..

dispose of the bonds. My firm
others in the arbitrage busi¬

we're

original stockholders
the original rights to
or

left.

the

penses,

these pages?

prices, quotes,

(M.

Coal,

since, out of the the
issue
of
$650
million,
there are only $99 million

tribution

the

got

$187

bonds

Hanna

Telephone stock.

further function.

institutional

high

ever,

stock

market

Hanover

ness

;77/L*
Interested^ CC

its

Hanes (P. H.j

In addition to

somewhere

around

look

issue

ance

the prin¬

time

$320 million of these bonds.
vate
investors
bought
the

in¬

the conversion rights.

the

buy these bonds took

bond

rights.

First,

excessively.
What I
by that i§, the valuation of
excluding the conversion

mean
a

June 30.

products

been converted into the stock.

them.

the

value

the

Those

into stock

from buying these bonds.

ratings.

exceed

Underwear and

refiner

30%

was

today

investment

127.

doesn't

Paymts. te

June 30,

Hancock Oil Co., CI. B
petroleum

were

the

were

price

Based

tion

30,

1956

(Knoxville, Tenn.)

hac
_

original

$173.

and

around

that

■

complished

15-year, 37/8%s.
value, if I
remember correctly, at that time

must

vestors

June

Divs. Paid

share; so they
profited from five to 15 points on
their
purchase.
The
Telephone
Company's mission was also ac¬

above their investment

way

Usually financial

condition

selling

institutions don't buy them unless
the bonds have one of those four

Another

12Mos.to

Quota-

Hamilton National Bank

Producer,

bought

first four

BAA.

debentures.

share;

was

were

ratings
by Moody's or Standard Statistics.
Moody's top rating is AAA, the
second AA, the third A, and the
is

secutive

Everyone did very well. In the
last year, Telephone has been up

Well, practically no institutions
those bonds because they

Financial institutions buy them
only provided they are of good
quality. Usually, they make the

fourth

Approx.
% Yield

Extras for

Years Cash

■

■*.

American

buying

Telephone

convertible

were

$148

around $172

issue

ifiave

Cash Divs.

Including

So you see, for very little
margin, these investors were able
to
participate
in
any
rise
in

stock.

vertible

com¬

the mutual

the

they would
$172,000
for

pay

No. Con-

value.

the American Telephone Company
issued some $650 million of con¬

the first place,

dividuals.

that

Take, for example, the recent
issue, issued last fall, of American
Telephone bonds.
At that time,

stock

of the

bonds.

bonds

one

carrying their

rowed

inves¬

and

shares, and all that could be bor¬

carry posi¬
of the amount

able

Biggest in the World

they

Exchange,

excess

3.5

investors

what

interest

even

American

Bonds

buy them, pension funds
buy them, also balanced funds ot

prerequisite

very

such

see,

cost

be¬

Telephone stock. If
had bought 1,000 shares~ol
Telephone
stock
on
the
Stock

months,

from

vary

can

enabled

Recent American

panies

have

you

common

to in¬

buys

all financial institutions
buy
banks buy them, insurance

trust

few

about

receiving

The Great Over-The-Gounler Market-

money

they

issued

of the issues.

success

be arranged
in the
10% margin. The inter¬

were

tions

last

would

tors

just to sell at par, or designed to
sell at par.
In the latter cases,
sure

could
on

rate

4%.

com¬

the

banks

they are
a
price

are

they

until

loans

est

un¬

underwriter

bonds

In other

up.

such

need for the

pay

not

slim margin basis.

they are offered by. sub¬
rights, the issuance can
or

investors

own

These

However, th£y we^e able to par¬
ticipate fully in any future rise

so because the
banks have financed these private

are

by the subscription rights method.

either be underwritten

broke

This has been

tors.

3%-3%%.

were

cipal buyers of this type of secu¬
rity have been individual inves¬

the

up for each
value of the converts

par

borrowing the balance

tween

Continued from
page 33

by putting

about $13,000 of their
•and

the

for

stock

financed entirely by

were

banks

Thursday, October 4, 1958

...

Details mot

complete

t Adjusted for stock

as to possible longer record.
dividends, splits, ete.

'■
'

Volume 184

Number 5574

The Commercial and Financial Chronicle '

...

Continued

The Great Over-The-Counter Market-

Quota-

secutive

12 Mos. to

tion

Years Cash
•••■"

% Yield

Extras for

■

June

Divs. Paid

Based

Paymts. to
June 30, June 30,

30,

1956

finance

INDIANA

GAS

CO., INC.
See

•

utility

Company's

Indiana Natl. Bk.

Operating

public

4.7

360

0.20

0.95

(New York)

2.00

5.4

& Trust
4.00

*29

71 T-

5.6

unfortunate for

was

others

are'

premiums

that

above

the

Industrial Natl. Bank (Prov.)al65

2.60

6IV2

4.2

some

1.00

3.7

the stock into which

that

vertible.

etc.

ing at

Pennsylvania
Diversified

3.4

public

0.80

141/2

interests

trust

3.00

price,

they

1.00

its

12%

0.25

4.4

Real

estate,

Insurance

and

3.7

271/2

of $30

Service

mort¬

stock is

fore,
0.80

1.20

211/2

5.6

1.50

4.5

1.00

5.0

Iowa Southern Utilities Co.__

Electricity supplier

Irving Trust Co.

Department

chain

store

you

Consecutive Cash

Dividend

3%%,

Starting

Page 52.

Jacksonville

Gas

can

d'iC-l

0.80

70.

1.1

0.20

Corp

6.6

Long Island

James

2.00

35%

1.10

19V4

Sportswear

5.7

1"0.78

231/4

3.4

1.25

II71/2

1.1

Brothers, Inc.—
Non-voting common

1.75

5.0

1.35

301/2

4.4

0.60

7.7

Valves

Shoes

Bros.

for

Shoe

women

the

hardware

its

0.30

*21

1.70

6.0

461/2

•

Lathes,

grinders,
threading dies

3.25

men's

1.00

531/2

6.0

91/2
v,

clothing

10.5

2.00

4.9

7.4

1.00

5.0

40
and

1.50

301/2

4.9

laundry

operator

paper,

specializing

1.35

41%

8.00

(Charleston, W. Va.)
*71
City Fire & Marine]

Insurance

Co.

Multiple-line

complete

for stock

actually

they

get

page

Municipal • Corporate

•

Securities

Dealers

who

—

Underwriters

—

Brokers

John C. Legg & Company
Established

1899

14%

Members^
American Stock Exchange TAssoc.)

Philadelphia-Baltimore Stock Exchange

so-

that

NEW YORK

BALTIMORE

the

are

atomic

you've read
manufactured
for

boilders

PRIMARY MARKETS IN

sub¬

the

Therefore,

OVER-THE-COUNTER

growth company,

Engineering- has* the

«*•».«

involvement

4.6

175

r0.625

I'd

for

391/2

rl 6

give

convertible

—

you

longer record,

ended

June

30,

1956

was

0.625

stock dividend is at annual rate of
$1.25, representing payments of 0.625 each in Dec., 1955, and in
July, 1956.
Taking the-full rate of $1.25, yield on the June 30
quotation of 39.50 is 3.1%.
'
' ' •
'
company's

Continued

debenture,
Members New York

of being issued.

convertible

about

Detroit

into

stock

30.75

that

means

they

The

share,

are

you

page

Telephone WHitehall 3-7600

con¬

stock

common

Corporate Teletype: NY

therefore, if
these bonds
could
realize

114.5.

bonds

these

rated

are

opinion,
basis;

investor

points
the

of
so

about 102, or a
in this case-* an
paying
seven

only

above

bonds

for

the
a

true
call

worth
on

,J( 3/.

729(<J/'&/,**/'

Edison

per

Detroit

Edison common below the market.

1-865
4J>

Municipal Teletype: NY 1-1691

We have direct wires to

the folloiving cities:

Boston
Columbia
Dallas
Denver
Detroit-> Fullerton
Galveston
Grand Rapids
Greenville Houston Indianapolis Joplin Kansas City Los Angeles
Louisville
Nashville
New Orleans
Philadelphia
Pittsburgh
St. Louis
St. Paul
San Francisco
Seattle
IJtica
.

Asheville

3.55%

Stock Exchange

bond^%re selling at 109;

These

our

months

1.1 t-J*

by Moody's, they have an invest¬
ment value in today's market, in

dividends, splits, etc.
12

♦

bond that's selling
That is the Detroit

discount.

Since
to, possible

SECURITIES;-;-

nuclear fields.

and

immediately,

Including predecessors.
payment

which

development

sure

selling at 35Va, and
you
could convert

insurance

cents,

rating

Continued

long-term

company

common.

papers

Kansas

While

the

you •

vertible into 3% shares of Detroit

3.3

Kanawha Valley Bank

which

not

investor

common

Kalamazoo Veg. Parchm't Co.

t Adjusted

electronics

INSURANCE STOCKS

yielding 3% to maturity; they are

restaurant

and

smaller

In addition, they

power

I'm

atomic

process

shoes

protection

15-year, 3%%, which is just in the

1.25

Magazine printer

Details

the

Edison

Kokenge Co

Kahler Corp.

food

company.

upside, the sky is the limit.

■

Pulp

higher

bonds

utility industry to

being,

Now

Kable Printing Co

the

RCA,

company in
field, will sell at
price than convertible

gigantic

Electrical and communication pole
line equipment
^

Hotels,

electronics

BAA,

company

the

attraction

example

Supply Co.

Women's

the

paying 106 for
these bonds has a possible down¬
side risk for 15 points, but on the

Joslyn Manufacturing &

industry,

in¬

Combustion

"Nautilus."

Thus

comparators,

Joseph & Feiss

Julian &

that

involved

atomic

added

•

Jones & Lamson Machine Co.

Manufacturers

which

cyclical
Detroit Edison

industry, which is

worth

manufactures

this

well

3.7

and air conditioning

controls

r'.

most

same

Service

Temperature

in the

bonds

Convertible

very

Now, why do

Combustion
Johnson

smaller company,

com¬

attractive.
the normal
utilities, normal

are

company

dustry.

Engineering

Company

nuclear

marine

Co.____

the

New York Stock Exchange

feel

program.
that

Corp.

Johansen

market.

and

time,

words,

The bond

like Bethlehem
Steel will sell,, all things being
equal — conversion rights and
other things being equal —- will
sell at a higher price than bonds
of
Wheeling Steel, which is a

some

that

big

figure;

price

"growth"/

also

are

Multiple line insurance

stove

about

mainly directed.
21

Jersey Insur. Co. of N. Y.____

Refrigerators and

bond,

the

growth of the

;

think that because of the automo¬

do this?

which

Jenkins

Jervis

the

called

insurance

other

is the bond?

selling at

are

Combustion

will
44

mind is the

they get; in

There¬

investor

investors

manufacturing

Jefferson Standard Life Ins._

share.

that

Engineering
'16

'■

Price >

they

5.6

Manufacturers of farm equipment

Jantzen, Inc.

earnings

stock.

Well, they do this because these

Manufacturing Co

Bond's

selling in the market/

Therefore,

above

Supply Co.__

important in

how good

the

bile

buy /these Combustion
Engineering bbnds at 106 Is pay-T
Ittg about'.jjo basis poihts fdr;, the<

water supplier

for

Government

stock,

Photo-engravings

Jamaica Water

Affecting

comr...

market.

see

call

Operating public utility

Jahn & Oilier Engraving Co.

period

with

see,

25-year

gbirig

Life

91, or 3.95% basis in-today's

money

That

debatable point, but we
investment value of a

about

Payers From 5 to 10 Years Appear in the
Table

;■ Let's see what makes the prices
these convertible bonds in ad¬

rating

utility industry in general.
Contrary to most* thinking, it is
not
very
cyclical.
You
would

stock

Engineering

these bonds,

Now

the

Second

for

nice capital gain.

Most

years

won't

money

106, as I said before, and their,
yield to maturity is 3.04%. This;

•

Over-The-Counter

bonds

should/end

dition to what I've told you about.

items.

several

converted

These bonds

thousand.

(N. Y.)

Ivey (J. B.) & Co

these

new

that if a man con-;
today
into
Combustion
Engineering stock, all. he would
realize is $933 per thousand, while
the bonds are selling at $1,060 per

5.0

.V*

return

verted

Public

these.

Detroit Edison has got

rating,
It is con¬

share.

—I believe at $28 a

9.1

Electricity supplier«,

•

Combustion

of
this

BAA

fourth in category.
into the
common

mon

2.50

gages

Iowa

very

money

build

the

Company
due 1981.

fully

per

Price

This bond carried

the

Investors Mortgage Company

*30

years,

Factors

there should be no dilution in the

con¬

rate

growth

price

__'

The
to

pur¬

However, by October1,* 1958,
plants should be in full
operation and should these bonds

give you

that

and

Conversion

chain

(Bridgeport)

the

hold

very

complete. Therefore, the allow¬

these

from

vertible

Interstate Co.

Detroit

time.

Selling Below and Above

Restaurant

jind

earned

are con¬

above

convertibles,

7.5

hydro-electric

—

sale

used

take

able/

Reinsurance—multiple lines

Investment

the

plants

5.5

utility

International Holdings, Ltd..

issue.

by
to be

plants

mon

—3%%

Inter-Ocean Reinsurance Co.

the

These

Combustion Engineering

Telephone

Company
Operating

because

power

bond that is sell¬

premium

version

insurance

r-Mountain

1.28

The

now.

pose

and

discounts

example of

Insurance Co. of the State of

sell

stock

I would like to

shovels,

downs.,

because

Anyone who thinks well of De¬
troit Edison, as I do, and is willing;

not

two

bonds

Ingley Manufacturing Corp._
Manufacture and sale of constructlon cranes,

are

these

us.

bonds

Company
inserted
this
provision into ;the indenture of

provided

There

mortgages

ups'ahd

true,

back in production this year in
Detroit, Detroit Edison still man¬
aged to increase its gross and net.

Edison

decided

stock route..

these

unfil^OttrXl958,

from

years

Amongst the convertible bonds,
American Telephone bonds usu¬
ally sell at parity with the stock.

f.,

and

its

not

■

Savings, trust

reaction,

However,

day businesses; but we hope there
will be other things along.

—21

Industrial Mortgage
Co. (Ontario)

the

This

2.3

V
-

convertible

took away «ne of our nice day-to-

utility

common

1.3

Industrial Bank of Commerce "

their

to go

2.8

inven¬

the

learning

10.00

Corp.___.//-15

Operating public utility.

Indianapolis'Water Co., CI. A
V

-19%

50.

page

(Ind'polis) ,-91

Indiana Telephone
r1'

0.94

day-to-day

believe

Telephone
Company checked with the prin¬
cipal New York banks and, after

their

tories.

____

Gas and water

.-.

WATER

have
is

is.,supplied to the
automotive industry, and despite
the
many
layoffs and the cut¬

Corporate Bond Market
And an Arbitrager's Work

Approx,

Including
No. Con-

■

would

page

little; power

Cash Djvs.
1

from

This

Biggest in the World
.

(1441)

Burlington

Baltimore

Charlotte

Beaumont

Chicago

Beverly Hills

Cincinnati Cleveland

The Commercial and Financial Chronicle4..

(1442)

Continued

from

of them have been going
lately which only involve the
common
stock—corporate simpli¬
fication, iyhich only involves com¬
mon
stocks and preferred stocks.
But I won't go into them now.

—lots

page

the

pendent
and

de¬
the asset coverage and

earning

which

agency,

and so forth
is important.
the interest rate and

coverage,

on,

Second,

whether

Third, the conversion price.

All
things being equal, a $5 million
issue of a company will sell at a
higher price, due to scarcity, than
Fourth, the size of the issue.

So those

the four

are

important

items that go into making

the

prices at which convertible bonds
for convertible

bonds.

thirds

From

favor

category of arbitrage

that

from

emanate

cor-

re-organization,
from
bankruptcy proceedings,
something like that.
p o r a

merger,

Up until this past spring, Wall
Street was very, very active in
this type of thing, but this type
of arbitrage has reallv gone the
way of all flesh now. The last big
deal

had

Railroad

last

mated

which

was consum¬

March.

Before

that,

beginning in 1946 on, we must
have dealt, in Wall Street, in some
20 to 30 re-organization plans of
railroad companies. We also used
to have the public utility break¬

situation

which

came

under

category; but in these latter

cases

the

few

very

volved.

What

bonds

arbitrager

in¬

were

the function of

was

those

re-organizations?

They

railroad

were

two¬

fold.
First

plan

the

arbitrager

the

cents

and

kept

the

plan

basis

addition

ganization,

their

ping

has

that

recently

preferred

Louis-San

change.
the
on

old
a

did

when

the

new

for

buying
selling off

and

securities.

ex¬

issued basis

We'll

this

spread

2 to 20%

of anywhere from
depending on the length1

of time involved
of

this

securities

the

plan

consummation

the

and

risk

Railroad

Francisco

to
its preferred
stockholders to
exchange its outstanding 5% pre¬

ferred for income 5%

plus

one-fourth

debentures,
a
share
of

common.

This
the

good

thing for both

and

the

investor.

The
company
saves
half
the
dividend charges, because interest

the

income

before taxes.

debentures

income

debenture.

come
bond, but if the income is
earned, it must be paid; and when
not earned, the interest is usually

cumulative

for

function

the

and

new

three

President; D.
Savage,

Ludwell A. Strader

Vice-President and
Wright, Assistant Sec¬

Jr., Assistant
Marion

this

income

and

common

stock.

continues

the

business

1947

distributors

and

dealers

and corporate bonds and
local public utility and industrial

and

Hornblower

Weeks, 40 Wall
Street, New York City, nation¬
wide
investment
banking
and
brokerage firm, has announced
the

admission

eral

partners.

Vieira

three

They

new

Botn

fan

Mr.

have

Vieira

been

Hornblower

gen¬

Mr.

and

Weeks

for

0.60

11%

5.1

1.50

36%

4.1

2.00

5.6

goods
^

Refining Co.___

1.75

1.00

6.50

fl.06

1.28

petroleum

Hard

and

carbide

ting tools

its

6.0

'3.7

115

5.6

products

compositions,

Laf¬

many

firm

cident

Insurance

Kentucky
Crushed

Stone

37%

3.5

4.9

f 1.735

29%

5.9

f3.82

stone

Kentucky Utilities Co
Electricity

supplier

Kerite Co.
Manufacture

insulated

Heighway,

the

who

fire

and

change
P.

the
on

New

York

partnership.

Herzer
R. L.

was formerly
Day & Co.

Mr.
partner in

4.8

0.16

1.90

8.4

f0.90

19%

4.7

2.25

46 %

4.8

f0.97

22%

produced

Creamery

Wholesale

dairy

__.±_____

products,

Koehring Co.

Earth
moving
equipment

and

2.20

~\.
r3.8

57%

construction

le
Kuhlman Electric CoT.
Transformers

4.3 '*•

fO.57

0.30

15 T

metal

1.00

6.2

and

8.00

139

5.7

1.125,. 23"%

2.7

Kuner-Emp§on Co.
vegetables,

Canned

Kuppenheirpfr Co.
Makes

and

8.6

wholesales

men's

clothing

Laclede
Basic

Steel
steel

Public

utility

(electric,

Superior

Railroad

2.00

6.2

*36

fll.00

350

3.1

Trust

(Chicago)

Savings

_________

Lambton Loan & Investment
Co. (Ontario)
First mortgages

i
*22

4.00

0.475

4.9
'

•

(M. H.)

Inc.___

the -Con

new

5.7

Landers,

1.30

23%

5.6

0.15

" 4.8

Frary

1.55

30%

5.1

Clark____

0.75

7.5

Household electrical products, etc.

Lang &

Wholesale

grocer

speed,

tool

and

die,

stain¬

ground

board

directors, James A.
Rosenberg.

Lawrence Electric Co._
Operating public utility

Lee

(H.

Mfr.

D.)

clothing

Russell

Leece-Neville

106

utility

1.70

29%

5.8

and

3.50

64%

5.4

play.

Co.-l-

fO.49

13%

"3.7

Starting-light equipment for autos
and

partner-in? Van

•

work,
'

two

Gerald

Mr. Russell is

Blower

Manufacture of air moving equip.

Corporation,

aircraft

Diesel

Lau

aircraft

Liberty Bk. of Buffalo (N.Y.)

1.15

2.4

investment firm, and is a director
of
Jerrold
Electronics
Corpora¬

Liberty Life Insurance Co.

1.00

188

0.5

Liberty Loan Corp._l___

1.50

4.7

Co.,

New

York

of Con Diesel.

Non-participating

Small

WINTER HAVEN, Fla.—Walter
H.

Mclntyre, Jr. is
First

Florida

now

Co.
Life &
Life,

associated

Investors, Inc.,

122 West Central Avenue.

business,

Bank

Midwest

Trust

Louisville

2.20

3.5

fO-80

3.5

f0.45

37 Vs

1.2

Liberty Natl. Bank & Trust

(Special to The Financial Chronicle)

St., New York 5, N. Y.

loan

Liberty Natl.

Joins First Florida

with

Variety store chain

Co.

railroad

View

Lamston

Ishpeming

Co.

Latrobe Steel

support, power, and test equip¬
ment, has announced the. election

G. K. Shields & Co.

Teletype NY 1-1632

4.7

and

gas

water)

Lake

manufacturer

Lake Superior Dist. Pwr. Co.

Mr. Rosenberg is technical sales

Bell System

;

bottled pickles

less steels

manager

DIgby 4-9755

smelting

furnaces

tion, Philadelphia, Penn.

Tel.

South¬

California

ern

High

Alstyne, Noel

15 William

Operating public utility
Knudsen

Bank

Stock Ex¬

4.1

16%

'■

Venetian blinds, drapery, hardware

Oct. 4th will admit Karl

Herzer

0.80

Co.

Operating

Kittanning Telephone Co

municipal bond business.

Cohu

oil

Kirsch

Mr.

joined
Hornblower & Weeks in 1942, is
head of the Municipal Bond De¬
partment in Chicago and is ac¬
tively identified with many phases

QUOTED

Report Upon Request

cut¬

and specialties

Kentucky Central Life & Ac¬

with

years, the former joining the
in 1922 and the latter in 1928.

and
—

elastic

specialties

Kennametal, Inc.

associated

manufacturer

SOLD

"■

rxuuucin^, ii;,.ii.u„ and marketing

George

are

Edward

and

dated Diesel Electric

—

5.7

Kinney Coastal Oil

STAMFORD, Conn. — Norman
I. Schafler, President of Consoli¬

BOUGHT

Company, Brooklyn, N. Y.

Admits Three Partners

Elects Two New Directors

METALLURGICAL RESOURCES, INC.

dressings,

Kendall

BOwling Green 9-2956

0.80

Printing and book binding

bers

Kingsport Press, Inc

Stetson, 26
Broadway, New York City, mem¬

Tele:

Kings County Trust

Hornblower & Weeks

Winslow,

STREET, NEW YORK 4, N. Y.

5.4

cable

Winslow, Gohu Partner

BROAD

4.6

transmis¬

Company (The)

textile

Lake

1.90

0.4

distribution

Surgical

securities.

Karl Herzer To Be

Joseph Mayr & Company

production,

gas

Leader in dry cereals

Kendall

mu¬

nicipal

Mr.

Since 1939

f2.08

1300

Milling machines

es¬

underwriters,

There are many other types of Vieira is the firm's
controller, and
arbitrage transactions that have Mr. Laffan has for several years
nothing to
dO| with bonds, such served as assistant to the manag¬
as
liquidation situations, mergers ing partner.

Retailing Over-T he-Counter Securities

5.50

Non-participating life

Strader and Company, Incorpo¬

debentures

make

Kellogg Co. (Battle Creek)__

retary.
rated

1956

abstracts

Kearney & Trecker Corp

Fred

Laffan,
both resident in New York, and
type ot Oliver H.
Heighway, resident in
market
Chicago.

bentures

Vice-

1956

Utility equipment

years.

a
small arbitrage
buying the preferred
selling the new income de¬

profit

Crude

Secondly, it's good for the se¬
curity holder because of his more
senior position.
True, it's an in¬

Our

comes

having to
the $5 dividend,

all that must be earned is $5 be¬
fore taxes to pay the interest on
the

officers

and

Kearney (James R.) Corp

Instead of

$10 to pay

earn

tablished in

company

Natural

M. J. Stra-

are

into

income debentures.
Consider, for
example, the recent offer by the
St.

Other

insurance

sion and

ford,Secretary

going

Paymts. to
June 30,

Kansas-Neb. Natural Gas Co.

and Treasurer.

swap¬

stocks

offered

^-or¬

been

companies

Title

v e

Bur-

tion

June 30,

30,

*32

City Title Insurance
Company

dent and Lan-

of bond

type

t i

x e c u

Vice- Presi¬

arbitrage

railroad

another

which

don

transaction is to create

the

fraternity.

market for the existent securities
in
line with the new securities
were

Non-participating life

Strader, Pres¬
ident; Philip
Strader,

Based

Kansas

are

securities that

the

Officers

judge the
a dollars

because

new

created

Kansas City Life Ins. Co

and

Company,
Incorporated.

Quota-

ing, has been changed to Strader

Lu d

June

Divs. Paid

LYNCHBURG, Va. — The firm
of Strader, Taylor & Co.,
Inc., Peoples National Bank Build¬

12 Mos.to

Years Cash

name

Furthermore,

able

were

markets in the

voted

always

plan.

Extras for

secutive

long

% Yield

No. Con-

would

Our

Approx.

Including

Changed

To Sirader & Co.

vote.

were

the

fairness of

Missouri-Pacific

was

re-organization,

became effective and

this

transaction

Re-organization

The third

favorable

securities

Arbitrating Bonds Resulting

bonds

the

Biggest in the World
Cash Divs.

actually aided in the plan's con¬
All
re-organization
plans, under Section 77 of 'the
Bankruptcy Act, required a two-

were

sell.
So much

page

The Great Over-The-Counler Market-

.■

Firm Name

Secondly, by doing the type of
transaction I just mentioned, we

investors

$50 million issue.

not

consummated.

ever

summation.

call price.

from

Corporate Bond Market
And an Arbitrager's Work
from

Continued

Thursday, October 4, 1956

Oklahoma

City

Casualty Ins. of Tenn.
accident

and

health

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

record,

.Volume 184

Number 5574..

The Commercial and Financial Chronicle

(1443)

The Great Over-The-Counter Market—

Continued

jrom
t

page

Biggest in the World

Even

Cash Divs.

Including
12 Mos. to

Years Cash

June 30,

Divs. Paid

1956

Quotation

June

accident

New

30,

Oi Civilization

June 30,

name

0.60

22V2

adopted

Natl.

Lincoln

April

Co.

Bank

Natl.

Bank

2.00

1.50

226

ing.
0.6

all

5.0

11.00

140

7.8

Stores, Inc

Leader in

the

0.95

5.9

1.05

4.2

50.00

850

5.9

___

0.20

1.60

3%
43

Co.

(Mo.)

1.75

471/2

Longhorn Portland Cement__

f 1.10

30i/2

3.6

producer

Lorain

Operating public

Co._

7.3

catch-phrases jmd glowing assur¬
ances.
They are guided solely by
facts, and cannot be misled, ter¬

0.60

1.10

3.1

2.20

1.25

6.2

*31

3.30

6.0

3.10

421/2

7.3

6.00

48I/2

12.4

0.70

101/2

6.6

1.15

products

and

steel

MacGregor

1.60

4.5

5.5

2.00

1.00

5.0

book

1.75

321/2

5.4

1.45

221/z

fO.575

123/4

4.5

1.75

441/2

3.9

2.20

251/2

8:6

Corp.
Co.____

Life

Mfrs.

5.5

f 1.38

3.70

rode to

1.20

211/4

5.6

masses.

valves

2.00

307

1.60

45%

3.5

*29

f0.99

24%

4.1

(N. Y.)

f 1.64

40%

4.1

0.80

121/4

6.5

Marine Natl. Exchange Bank
of Milwaukee

3.20

3.4

Market Basket

1"0.69

223/4

3.0

the

Ang.)

market chain

ball and

roller

That

But

1.00

161/4

6.1

1.70

2.4

*11

(Milw.)

Details

and

not

1 Adjusted

for

11,00

386

2.8

kindrec/ lines

press

one

after

Power
Back
we

money

then

possess

the

which

has

against hope that in

our

question.

What do present movements mean
to

us?

going

realize

mean

what

everything

least

three

five

billion

the
per

voting

some manner

would

be made

privilege

Continued

and discard deficit financing

Adams

wisely
on

Exchange

and American Stock Exchange

DEALERS IN

RAILROAD SECURITIES
Guaranteed

Leased

Line

Bonds

Preferred

Common

and

nations
a

Unlisted Investment Stocks
120

New York 5, N. Y.

Broadway

They wit¬

Telephone RErtor 2-4949

those

Teletype NY 1-724
Private wire

these

Philadelphia

ex-

dicta¬

captured

the

people

and

the

how

all

Specialists in

hap¬

ing,

made

their

advent

was

BANK and INSURANCE

exhaustion,
ruthless taxa¬

currency,

the

terror.

STOCKS

was

does

mation—it

not
come
by
legislative procla¬

developes slowly,

always does, until the final stages.
of

assumes

prairie

the

fire,

proportions

consuming
people.

all

Then

E«Iwin L. Tatro

despoiled

emergency;

the

dictator;

Continued

then

nation;

then

chaos;

the

extermination.

then

total
It

page

causes

was

one

of World War II.

the

BROADWAY, NEW

Company

YORK 4, N. Y.

Teletype: NY 1-3430

Telephone: DIgby 4-2420

na-

could

great

Direct

and

page

Peck

Members Net* York Stock

debt, deficit spend¬
disregard for solvency.

money
„

better

They recognized that only when
people are informed, when they
discern, are they able to exercise

cherish under this Republic if we
fail to reduce the national debt
at

their

continuing, accomplished fact.
They trembled as they anticipated
the day when the vote of the ma¬
jority could be bought with po¬
litical currency in exchange for
alleged economic social security.

of discernment?

power

education

mass

oblivion.

Discernment

against

judgment, they provided for gen¬
eral
suffrage,
for
they
hoped

cul¬

one

appreciated at

but

Almost

na¬

resultant

civilization,
another, into

what remarkable
reading for us in our generation!
How they bristle with wisdom!
time,

logically be argued that incon¬
vertible, printing press, political

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

blown
ture

the

Economic

tion—that

tionaF

complete
stock

the

amid the applause

the

Marshall-Wells Co.
hardware

little understood

the substance of the

bearings

Marshall & Isley Bk.

printing

and

There."

what

possible?

Then
32

ilton, and Jefferson, were perhaps

unsuspecting and apathetic

Inflation

(Los

toll,

power

presidential

Marlin-Rockwell Corp.
Mfr.

parts

Retail

debt

the

Money system had
tragic

the demon

Auto

tional

horseback

debased

Maremont Automotive Prod¬

ucts, Inc.

Washington's Farewell Address,
the admonitions of Madison, Ham¬

"What Made Dictators Possible?

(Buf.)_

zations.

0.6

Trust

to tamper with
deadly explosive of excessive

more name

long list of defunct civili¬

by the breakdown

pened "Over

(Detroit)__
Tr.

its

Traders

Manufacturers

debased

1.15

insurance

not, continue

the

wil¬

where, in
ignorance,

solvent

tors

*47

for

Possessed

helplessness °of

imagination

Manufacturers Life Insur. Co.

we,

confusion,
helplessness and
too, would add one

products

Mfrs. Natl. Bank

that

civilization

the

controlled

receivers

the

;

Manning, Maxwell & Moore_
gauges,

will

our

sound
a

governments.
Coming
out of comparative obscurity, after

products

Hoists, cranes,

earliest

against

counts

They saw before them
beckoning, vacated seats of

acted
20

Mallory (P. R.) & Co._
Electric

utility

Sheet metal

who

power made

rolling stock

(R. C.)

the

which

guarantee

that

power.

the

Houston drug chain

Madison Gas & Electric Co._

Mahon

only

to main¬
sustain

electorate,

day had arrived.

nessed

6.4

Mading Drug Stores Co

Car

the

men

were

their

publisher

Wire, rope, cables

Railroad

the

demon

of
into

and

persuasion,
coupled with native political sa¬
gacity and a burning passion for
power, these men recognized that

Products,

Macwhyte Co.

Wisconsin

purchase

bankrupt.
superior
power

Macmillan Co.

Magor

gone

athletic equipment

Well-known

spending
moment,

highway

would lead

money

They knew
from
that

each

Whenever

sucked

They

-6.4

24
and

treasure.

departure

derness

breakdown of solvent government.

Inc.
Golf

destiny of Europe were not selfglected. They were invited. They
came
into power because of the

products

Sport

and
any

uprising of
gigantic

what name it bears,
day of reckoning is at hand.

4.4

Mass.

Lyon Metal Products, Inc.__
Fabricated

1.00

distribution

electricity

that

living

safe-charted

possible

for

some

terror.

men

The

Lynn Gas & Electric
gas

t0.80

supplier

Manufacture

looms

power,

products

gas

col¬

matter

Lynchburg Gas Co
Natural

blood

proceed
a

reality by restoring sound money
and
recapturing the
control
of

top-heavy government created by
printing press, "senseless" money

7.2

(tim¬

Lynchburg Foundry Co
iron

relations

teaching

that back

ultimate

tain

ing mechanisms

Cast

let

declaration

wherever the lifeblood of the peo¬

Co
and

Then

that

human

Terror

ple has been

clocks

new-

the

it is

and

people

economic

electrical

Manufacturer

cause

history,

every

the

Typesetting equipment

over

Economic

know,

all

and

Mass.

Sales

Mfg.

the

Gigantic
We

Luminator-Harrison, Inc
Clock

make

year

burlap

Automotive

won

3.9

utility

longer deceived by

branded

dry cotton goods

Ludlow Typograph Co._

Lux

are

sounding philosophies and creeds,
which, in the face of all experi¬
ence, stand utterly condemned and

2.8

Lowell Electric Light Co

and

republic.

lapse of nations and civilizations.

Bleachery, Inc

Ludlow Mfg. &

pil¬

'__

public

representative

rorized,

■

(Kentucky)

Operating

principal

1.10

and

the

sound

young

Milling

insurance

Bleaches

one

4.4

Louisville Trust Co.

Lowell

they
have
having to do

importance

by-products

Louisville Title Mortgage Co.
Title

and

here!

pen

principles of govern¬

and

which they gave so freely of their

this reputed sanctuary of freedom
girls—most/
and
liberty, we must not, dare

1.40

Traction company

Co.

learning into'

When provided
|with sound eco¬
nomic education, citizens old and

utility

Rice

young

Los Angeles Transit Lines___
Louisiana State

the

admitted

the

lars

lumber

Telephone

education

money,

3.7

Manufacturer of Portland Cement

most, of

halls

whom

meagre

with
12

Large

the

3.7

beer

Long-Bell Lumber

that

graduates—boys

5.3

candy field

Lone Star
Brewing Co
Lager

intelli¬
of ibusi-

were

establish and to per¬

pursue, to

ment

world, have not been given'
among its victims.
the
vitally important education
But need we look beyond the
necessary to understand the im¬
port and significance of historical waters or even cite the teachings
of history
and economic events.
to be convinced that
To justify
now
in our own land, in
my concern, I interviewed many right

pipe

Loft Candy Co.

We say it can't happen here.
Rather, let us say, it must not hap¬

the

sewer

fear

out

Paper matches

and

the

action

And why?

historically
close stu¬

were

They knew
brought about the rise

had

petuate the

people in this generation, coming

England

Lion Match Co

Water

challenges

cooperative

They

and fall of nations.
That is why
they attempted, through the Con¬
stitution, to map out the safe way

labor, education, and bank¬
Clearly, their interests, like
wholesome interests, are iden¬

2.40

estate

Lock Joint Pipe Co._

personal, vital interest in
kind of government. The

dangers and

against them.

Federal

Lincoln Square
Building Co.

New

-Young

tical.
20

Dept. store chain in

endure.

ness,

3.9

Co.

(Rochester)
real

state.

situation

3.6

fl.35

111.

people should be shown that they

gent,
22

Rochester Trust

Lincoln

Touhdihg" Fathers
of these

they

what

which, in the final analysis is
inflation, is the greatest tragedy
that can happen to any civilized

for

Trust

Syracuse

Springfield,'

national

dents of world affairs.

Loss of confidence in its
money,

thrive,

that very
15

insurance

Lincoln

Trust

Fort Wayne

Jute

government

•

30.

Lincoln Natl. Life Ins. Co

Rice

system

democratic, representative form of

2.7

health

and

"the

minded.

1956

1956.

Lincoln

•A

Payrots. to

1956

•

aware

warned

have

Life,

Formerly Missouri Insurance

Life

Based

periods

Because

school

Life Insurance Co.of Missouri

Co.

were

% Yield

Extras for

secutive

Co.

Inflation—The

Approx.

No. Con-

except

peril?

Telephone

BALTIMORE—BOSTON—HARTFORD:

Enterprise

<846

(1444)

The

Continued

from

page

constantly

eating

out

Commercial

our

Man

the

Street

Can it not be shown to the
in

Biggest in the World
Cash Divs.

in their

for the

and

that

"the

outstanding growth in
public debt over the last two decades has occurred in the United
States, primarily due to the costs

perpetuation of their

rights.

own

interest

own

How People Give Up Freedom

vast

army

even

honest

those

sisting

upon

lence?

Can

who

;

knew

that

power;

free

the

pockets

the

erosion

people,
of

the

all

made

central

had

and
their
pre-

government.

Those

ates; how

easily men can be despoiled and sold down the river;
how

readily they

be betrayed,

can

Out of the wealth of their wisdom
and

\their power
theyvgavpMo us

of discerment
that unprece-

dented "instrument

human lib-

erty, the Constitution.
,

But

sooner

had

that Magna

Charta, with its priceless Bill of
Rights, been placed in our hands,
than it became
immediately an
object of assault.
These attacks
have

ceased.

never

creased

sity.

They have

insolence

and

in-

inten-

We need not recite the hap-

Pe.nilJ£s of recent years. They
grimly familiar to
But

once

the

again we come back to

question.
How
dear to the

made

street,

are

Rotarians.

you

they

can

man

be
the

to the middle-class mdito the average citizen who

vidua)

casts the

contioiling vote.

Other

can

safely be maintained that

EavU*fa+rt? sound
could
ruthlessly violated
Enwo
n

Avhairctih?

hSrnhE fn^n Z%S^AW%h+-V!
warE: nin

hAct nmnf

that
that

ve.

Af^r^Arn

for the years past under the
greatest orgy of

spending that

ernment

period

any

any gov-

has

ization.

the

startling

was

Institute

re-

recently done by

Life

they will

pray

Insurance

they ail must

Who Has the

jusf.

Courage?

today

1.70

37V2

f2.50

145

3.75

104

2.95

stitutional
We

1.25

2.50

wide

our

Mastic

0.30

the mania of

incuring debts, borrowing, and perpetuating deficits,
They were called ugly names and
looked

howlers.

the

upon

calamity

Strange is it not that
the

reaction

same

we' in our day> warn against
continuation
of
debasing

sound

money?

How then

the masses, our
fen0w citizens, be won over and
stimulated into action so that they,
may

victims
act

such

program,
interest of their

the

securjty and

their

own

per-

sonal

liberty?
Who Should be
willing than we to undertake the task? Who should possess
more

courage,

nation,
rnpl,f

ti.oo

4,0;

1.40

5.6

0.75

2.5

0.15

5.00

6.9

1.40

281/2

4.9

1.50

24 V2

6.1

0.45

14%

3.1

{V.-

_pi_p

nnnnr+linuv

°PP°rtumty'

fate?
ereT ? b(L t0° latftoo

John Rustgard said:

too

weak

today

it should

<<TJ!

giving

shelter

Cotton

power.

with

the

vulture

that

Matthiessen

call for united

action,

convinced that the

this

crusade

spices,

Men

will

struggle

and

Greenville
Direct

Asheville

save

all

conveyors

3.40

109

will

Melrose

1.50

able

trait.

destroy that

That fact

to those in power.
The
unscrupulous

knows

that

centered,

and

that thev

ar^

ly-minded.

is known

Chicago

edu¬

grown self-

Trust

not

substance, but threatens
very lives and fortunes.

Our
of

Acceptance

Corp.

Fire

free

day

Let

Merchants

What

that

may

maintained,

will

have

do?

Trust

de--

Trust

all

name

Bank

Call
the

debt

by not

agencies,
or

ir¬

(Indianapolis)

one

Congress to function

exclusive

Bank

3.7

3.25

4.2

—

*31

0.80

1.32

3.8

1.50

5.5

1.50

281/2

5.3

warehouses

Gardens"

Farming"

and

magazines

Messenger Corp.
Calendars

cial)

Metal

*21

freligious and

and greeting

Forming

Mouldings

•

and

0.575

page

6.4

0.60

7y2

8.0

commer-

cards

Corp

tubing
'

Metropolitan
house

Storage

Ware¬

Co.

2.00

6.9

warehouse
/

0.50

(Lansing).

Michigan Seamless Tube Co.

8.3

fl.58

3.4

fO.85

1.50

0.90

i9y2

f2.13

Decalcomanias

Michigan Gas & Electric
Operating public utility

Mich. Natl. Bank

Sheet

tubing

1.5

6.4

Middle
of

States Telephone Co.
Illinois

Operating

public

4.6

utility

Middlesex County Natl. Bank

authority to
on

1.7

Syracuse

Publishing

"Successful

Continued

Refrigerating Co.,

"Better Homes and

description,

sanction.

upon

1.50

Refrigerated

cumstances, except by direct Con¬

4.2

•

of the power to create
obligations
for any purpose, or under
any, cir¬

Offices

fl.75

se¬

billion per year.
Federal

5.0;

National

upon

than

121/2
42

Co.

Meredith

0.625

125

Class A and Class B

national

4.9

Bank

Co.

General

build.
What are they?
.They should be stated briefly:
Keep the budget in balance and
the

National

Merchants

must

map out our course. We must
lect
a
few
fundamentals

which

f0.83

Merchants National

substance

3.3.

Bank

casu¬

sing mock praises to
defunct Constitution. The term
its

insurance

National

Merchants

weapons; before we
under the whip of a

1.85

lines of

Mobile

our

will

allied

Merchants

dismiss any gay opti¬
The time calls for action—

continue

4.2'9.0.

and

this

postwar

government

26
25

insurance

Merchants Natl. Bk. (Boston)

lock-step

1.10
2.25

general financing

Insurance Co. of N. Y

the battle to save
That dollar of
destiny

become

4.0
4.3

Chicago
in

billion.

and

(Colorado)

win

the dollar.
must not

$275

4.00
2.40

Merchants and Manufacturers

balanced budget

money base.
national debt

peace

Merchants Fire Insurance Co.

our

It ought to be burned into
the
consciousness of every citizen that
of defense

3.5;
3.9

Bank

Diversified

291/2

(St. Louis)

Merchants Fire Assur. Corp..

First Line of Defense

the first line

1.80

tl.16

and

National

Small loans

only

our

Deposit

Chicago

Merchants

dear, old "Government Grand¬
ma," who turns out to be a hun¬
devours

/(Baltimore)

Co.

Merchandise

that

of
.

Mercantile Trust

imagine that his¬

with us.
We are the
"Little Red Riding Hoods"
bring¬
ing our hard-earned substance to

wolf

Bank

Mercantile-Safe

group - conscious;'
longer historical¬

3.1,
3.9

building

Mercantile Natl. Bk. (Dallas)

tory began

gry

apartment

Mercantile National

lack

3.5

manufacturer

Hotel

Dallas

politician

the people

cation; that they have

Corp.

Lumber

logic

ever

human

gressional
Wire

200

Strip

Richmond

Sys¬
instal¬

and

7.00

respective of

Raleigh

Handling

manufacture

less

CHICAGO

etc.

Mellon Natl. Bank & Trust.:.

reduce

NEW YORK

tea,

Medford

parted.

CHARLOTTE

distributors

money if they know that they are
ultimately to be denied the fruits
of their labors.
No trick of

but

Members Midwest Stock
Exchange

3.5

Operating public utility

Mechanical

lation

not

41/4

lumber

Meadville Telephone Co

INCORPORATED

Co.

Co.__
&

extracts,

Design,

despotic

Lumber

public interest!

"democracy"

R. s. Dickson &
Company

products,

ammonium

tems, Inc.

1919

Zinc

& Co., Inc.

passionately and patriotically de¬

robbed of

Established

zinc

softwood

Manufacturers

action, while action is
still possible; before
we, too, are

Securities

,i 7.,

and

River

Western

leadership

informed

6.5.

goods

voted

McCormick

they

once

6.4.
4.5:

processing

Rubber

cent

government?

ganized

Corporate and Municipal

zinc,

acid

(Oscar)

Meat

holders of life

are

19V2
55

insulating

Hegeler

sulphate.

Mayer

support

one

8.4

Dry-

i
of

sulphuric

speedy action, intelligent action,
determined action. It calls for or¬

DEALERS

Co.
Producer

them¬

How readily will the
millions "of
savings
depositors,
millions
of

Let

DISTRIBUTORS

and

McCloud

not

3.6

repair

Asphalt Corp..

people;
and
that
originates
in
the

sound

are

and

McCandless Corp.

resolve
We

construction

entirely from the earnings,
production
and
savings of the

country is

handled,

Conveying equipment

services and produc¬
government

•

" ; 1

?■

Mathews Conveyor Co

govern¬

people

Corp

brick

siding

comes

mism.

UNDERWRITERS

Naval

;

dock Co,

,'■/ Imprinted

managed, printing press currency
that the only source of

wealth

Shipbldg.

and'educators,

that

4.5

insurance

products

Maryland

system;

the

shall be weaker tomorrow and

the next day still weaker.

con¬

long remain free with

are

handle
be

Real estate

range

understand

ment can

determi-

or more power of discerntn

health

and

Martel Mills

fiscal

safe,

v '•

Massachusetts Real Estate Co.

of contacts,
language of f
these groups so that
they

each of
will

Accident

not speak the

insurance

balances

businessmen

with
can

sound

1956

alty, lost through political action.

Atlanta

Co.

Diversified

Massachusetts Protective Association, Inc.

crime; that

our

Paymts. to
June 30,

30,

1956

surance

now unite to restore

and
perpetuate
a
policy and maintain

meeting,
have men met throughout the
centuries.
In
other
days there
Were people who dared
stand up
and
paint to their fellows the
gloomy picture of what must inevitably follow a continuation of
are

Were

for this

tion

June

30,

Maryland Trust Co. (Balti.)_

;

irrespective of color,
they will all be

Based

1956

insurance policies,
with voting
control, rally to such

it is out of control.

0Hce

situation
it

minded

I hope and

succeed, but they will not unless
an araused
°Pinl°n comes
their aid. There is ample evidence that it is most difficult to
regain control of public spending,

ever

attempted in the history of civilBut

and

in-

restore
insure

to
thus

American pathf<?hPAn able +S s?un? up
1S
has been !ki<
to stand

it
it

this

are

barriers

money

cess-

nnr

people,

solvency. Their efforts seem at the selves, from
moment, to be meeting some sue- tion; that

^n°-miCS as
SU ie^mrtg C°rSI,
the
wr®ckage* Thanks wm
apparently in- own
c

tArn

sound

when

Country

who

surmountable

experience

States,

moment fighting against

very

men

how human nature oper-

seen

publicans—in the Congress of the
United

ambitious

our

whelms us. We are not unmindful of those stalwart, patriotic
Americans —• Democrats and Re-

can

relinquish

alt

-the

present indebtedness alarms us, it is our apprehension of the trend that over-

independent

time-honored,

rogatives in favor of

Today

*,•

61%, of the free world .

As much

public

treasury, individuals, States,
their
political subdivisions,

total.

tax-consuming army > of servile,
alent^of
public employees; that by means total,

systematic

world

•

American public debt js around. or class, that
$275 billion, and is now the equiy- made to suffer

June

Quota-

Massachusetts Bonding & In¬

that ; they
surround
themselves
with, hungry hangers-on; that they
build up 3L vast, ever-increasing,

12 Mos. to

Divs. Paid

government benevo¬
not be told to the

once

of lavish contributions taken from
-

secutive

Extras for

Years Cash

sub¬

war,
"hot" arid "cold," com- labor
organizations
that
there
men's lust for bined with our military and eco- were no unions in Germany,
Italy,
entrenched, they nomic assistance to the free world, or Japan, nor will there be in
reluctantly yield their positions; Back in 1939, the U. S.
debt any nation where the purchasing
•that they create emergencies to-added up to just under $46 bil-. power of its
money is destroyed?
perpetuate themselves in control; lion, or.approximately 35%-of the. Can it not be shown to youth, to

They

No. Con-

workmen,

will

Approx.
% Yield

Including

churchman, to the farmer, to the

effectively

Thursday, October

The Great Over-The-Gounler Market-

man

the

street, to the merchant, to
tne
manufacturer, to tne nousewife,
to
the
educator,
to
the

Of Civilization

...

Continued from page 39

vitals."

Inflation—The Termite

and Financial Chronicle

Details

notj complete

t Adjusted

for stock

as to

possible longer record,

dividends, splits, etc.

4.3

4, 1956

Volume 184

Number 5574

...

The Commercial and Financial Chronicle

(1445)

Continued from page 40

The Great Over-The-Counler Market-

everything it can to avoid un¬
increasing the total

necessarily
cost

Biggest in the World
.Cash Divs.
Including
Extras for

Quota-

secutive

12 Mos.to

Years Cash

June

Divs. Paid

Middlesex

Water

Operating

Midwest
Mfrs.

Miles

public

1956

contract public

3.00

57%

indebtedness—the
only one authorized to determine

5.2

Rubber

Reclaiming

1.25

15%

what money is needed to meet the
current expenses
of government
and to anticipate
future

8.2

rubber

obliga¬

Laboratories, Inc

1.06

.14

0.30

24%

4.4

tions; to be the only borrowing or
bonding Federal agency, as pre¬

6.0

scribed

Seltzer

Miller Mfg.
Tools

for

auto

and

engine

repair

Make

Millers Falls Co.

*19

0.95

20%

4.6

Minneapolis Gas Co.___

a37

Commercial

carrier;

freight

0.90

5.6

transactions

busi¬

Co.

Operating

public

proud
22

utility

4.8

3.3

*Y;V"'

Missouri-Kansas Pipe Line__
Holding

1.40

>■

2.95

company

Missouri-Kansas

Pipe

Line

Co., Class B

0.145

4y2

3.2

Utilities

Mobile Gas Service
Operating

public

1.36

5.0

f0.88

3.8

gas

Corp

utility

Mohawk Petroleum

Corp

0.85

28%

3.0

0.75

16%

4.5

production

Mohawk

Rubber

tires

income.

Recreate

•

elec¬

Not

until

the

self-reliant

will admit. To

Monarch

Insurance

save

*24

fl.25

4.3

tax conscious.

Those who

are

not

Life

0.60

1.8

assessed

perpetuate it,

are

Sheetings and print clothes

it, all must be

1.875

29%

step is
Higher

inflation.

virus

gerous

wages

know how vital

devastating

2.00

6.4

feeds

politics.

The crying need for the

restoration

all

these

keys to
honest, solvent, and humanitarian

Over-The-Counter Consecutive Cash

Dividend

Starting

obvious

neither jcomment

require

defense.

But

perhaps

ment

Payers From 5 to 10 Years Appear in the
Table

government seems
this

point

the people

billions

United

trust

was

ever

imposed

government

owes

bonds

it to

its

sacred

obligation, imposed by all

divine

the

laws

given.
No
government

with those

retributive

the

forgive

people

can

justice.

those

God is slow to

who

betray
on

Life

(Bait.)

f 1.34

nor

necessary.
No citizen

1.7

ment

6.5

slow

Moore Drop

Forging Co

Sec

Bank's

Paperboard

and

339

2.9

2.00

5.9

so perfected, and its
vote-getting efficiency so clearly
established, that politicians of the
future, if left unhampered, will

1.65

4.7

and

12 y4

loans

(J.

and

be1 disposed to continue the tricks

Sulphate

pulp

fl.68

3.9

1.40

34%

1.20

18 %

6.6

not

paper

oil

Finance

Corp

4.00

4.4

insurance

waxed,

gummed,

papers,

printed

m2.12y2

64%

3.3

cellophane

National Aluminate
National
New

for

coated

Bank

Orleans

Bank

36%

2.7

16.00 ~ 385

4.30

4.1

4#;

107%

2.00

3.5 '

Commerce

Orleans

2.00

3.1

—

3.20

Norfolk

National

Bank

46%

3.3

1.52

fl.90

3.0

Detroit—

provide

National
ton

fQ.94

2.2

2.00

0.40

3.2

4y4

9.4

products

National

Casualty Co

Accident,

National
Paints

*43

health,

casualty,

Chemical & Mfg. Co.
and

not

2.8

0.80

4.7

2.10

63%

3.3

products

City Bank of Cleveland

Details

1.50

insur.

complete

possible longer record,
t Adjusted for stock dividends, splits, etc.
a Including
predecessors.
m

Quotation
and

class

one

shown

share
stock

per

unit

class B.

consisting of

Dividend

one

stock

are

cans.

And why?
cannot

was

with

Because govern¬

continue

care

class

$1.81 V*

and

page

Established 1928

for
We

capacity of the
thrifty,- saving people of America
has

the

reached

Re-establish

and

gold

Standard

There
will

base

DEALER SERVICE

standard.

the world

There
as

from
is

be.

not

ALL CLASSES OF BONDS AND STOCKS

for national

including

international

could

exchange, civi¬
not have emerged

from its barter period of the Dark

Ages.

the

only

FOREIGN ISSUES

insurance

ing and corrupting the world ex¬
changes and money systems of a
free people. I repeat, it is a bless¬
ing from an all-wise Providence
to prevent the tragedy that fol¬
lows a debased, corrupted and po¬

the

government

the tower

free

We Are

Particularly Adapted to Service Firms
With Retail Distribution

Your

Inquiries Solicited

FOX

ex¬

The gold standard is the

automatic watchman

UTILITY—RAILROAD—INDUSTRIAL

PUBLIC

against ruthless politicians debas¬

INVESTMENT

AND
Gold

the

Creator.

substitute.

Offer

COMPREHENSIVE

dead end.

gift to

all-wise

to guard

Continued

identical

thrifty Ameri¬

the needy once the

change.

N. Y.

Teletype: N.Y. 1-1822

for

litically managed medium of

31J/4C.

New York 4,

Telephone: WHitehall 3-2050

and

must

money

the interests of all

lization

Washing¬

By-Products, Inc.—

Animal

(Tacoma)

National

Natl.

of Tulsa

Bank

Incorporated

30 Broad Street

this
Finally, the interests of

Without it
National Bank

who

the

relief

Gold
54

government

does

Re-Establish the

Commerce

of San Antonio

National

Kugel, Stone 8c Co.

production,
ever-increasing

ultimately the loss of our
capacity to take care of the needy.
It is the thrifty citizen and not

3.4

National Bank of Commerce
of

know

savings

governm^pt doles and deficits, will

ment

Commerce

those

Bank

in; New

starvation

purpose.

*25

Memphis

National

1.00

Natl. Bk. of Comm. (Houston)
National

must

destruction

the

Corp

treating water

American

outset

the

and

mean

Corp.

Makes

Chemicals

the

brought

financing and

of, but

care

corrupted.

that

Murray Co. of Texas
Cottonseed

needy must be taken

4.1

Mills Co
and

employed by the poli¬
Our worthy

ruses

ticians of the present.

discounts

Heavy engineering construction

trend,

10.00

boxes

Mosinee Paper

Nashua

only
because the
technique of capitalizing the relief
the

page

Inc

Morrison-Knudsen Co.

Auto

problem

could

*10

Morris Plan Co. of California

Motor

vote has been

Paper Mills,

Personal

that

best

0.80

industries

MORGAN (J. P.) & CO. INC.
•

solve

Drop forgings for several

Morris

would

overnight.

insurance

men,

120

entering

the

CO., INC.

BROADWAY, NEW YORK 5, N. Y.

Telephone

Teletype*

REctor 2-7760

NY 1-944 & NY 1-915

against the poison of to¬

talitarianism

blood
I

their

page

should have been naive
enough to
believe that a change of govern¬
Monumental Life Ins.

ever

party,
break faith
no

they govern and escape

Continued

whom it asks to buy its bonds, to

have

that
man,

state¬

one

any

upon

government than the duty to keep
with'the people. This is a

certainly

reposed

faith

Americans

the

States,

con¬

in it,
they called it into service.
When any administration, no mat¬
ter what its personnel or its poli¬
tics, deceives the people, it be¬
trays its sacred trust. No higher

been

the

when

problems, she must be an¬
chored to honest American money.

violate

can

It has to do with relief.

Page 52..

administration

fidence

wars,

millions

elected repre¬

its promises and preserve

en¬

war

owning

Take, and keep, all relief out of
16

our

dollar.

were

firing line, and

government life
the
billions, what

paralysis of inflation now destroy¬
ing the purchasing power of our

moves

sentatives fail to stop the creeping

stage.

dollars

the

awaits them if

progressively to the uncontrolled

listed

also»' of

insurance

Thus the dan¬

inflation

insurance

man

owners

higher prices, and higher
prices must be met again by an

increase in wages.

have

a cold-war casu¬
that this tragedy

all

have been

taken

mean

With

Keep Relief Non-Political

Flour Mills Co

Second

one

Do Not Debase the Dollar

6.4

machines

and

granted,

dollar

It must be made plain
on
the
street, the
worthy people on relief, the aged,
the hopeful, trusting beneficiaries
of Social Security, the boys who
the

Every
time a strike
higher wages are

called

when

portends.

recognize the rela¬

Calculating

Flour

conscious of its priceless worth.

Calculating and bookkeeping

Montana

inflation.

duty of all good citizens

with

alty,

not

Monarch Mills

Monroe

ernment must

You and

tax-conscious

have

must

the dollar, and
savings of mil¬

of
the

against becoming

winning
how they made
army of America's best citizens,
possible the planes, the tanks, the
holding voting control, are taxed subs, the destroyers. Men, mate¬
to meet
current -expenses
of a rials, and money saw us through
spendthrift government, will the: those crises, and only sound money
survival of our free
country be will now keep us from chaos. Now
assured.' That this government is that the Ship of State is in the
worth saving, all decent citizens home harbor to
contemplate coldtorate.

Electricity and natural

once

independent
commonwealths, supporting their
own '
enterprises,
providing
for
their own
worthy ones in need,
and remaining safely within their
own

Hohiing company

Missouri

position

that

American

as¬

immediate legislative action. Gov¬

^ towards

ness.

Public

of inflation

value

the budget is kept in balance, and
the national debt reduced, will the

gov¬

other

one

amount

to sound the alarm that only

National Labor Relations Act and

vise, justly and constructively, but
not to participate in the manifold
and

super¬

6.5

Restore to the States their

Valley

Service

Auto

and

continue

17%

rivers

Mississippi

Oil

representative

There

ernment.

value

It Is the

The points mentioned are simple
fundamentals of a sound, solvent,

democratic,

the

down

be met without destroy¬

lions of people.

at Fort Knox.

nose

tionship that there is between the

1.15

regulate

thumb his

5.2

affairs

citizens;

24%

Steamship operators
.

withdraw

1.275

Valley Barge Line____

government

tax-paying

Natural gas distributor

Mississippi Shipping Co

ing

stream of sound money. No honest
and informed American will ever

pect

from the competitive field
against
its
own

Tools

Miss.

by the Constitution.

can

the

1956

debt

which

Of Civilization

utility

of reclaimed

Alka

30,

1956

Paymts. to
June 30, June 30,

and not fur¬

government,

dollar; to balance
budget, and to keep the ulti¬

the

mate

tion

Based

ther debase the

% Yield

No. Con-

•

Inflation—The Termite

Approx.

(1446)

The Commercial and Financial Chronicle

Continued from page 41

Inflation
brother.

"Thou

.false

witness

bor."

came

false

against

not

bear

thy neigh¬
from Sinai, and what
could

greater

neighbor than to take

your

him

false

shalt

his

substance

under

pretense?

considerations,

the

not

least

perpetuation,

own

people

see

them

have

can

the

all

upon

that it handles its finances
the

dollars

that

returned

with

it, not that the money shall
merely in numerically
equivalent dollars, but in dollars

chasing
the

pur¬

This would be but

power.

most

substantial

ordinary, the

most

com¬

and in a sense, the lowest
kind of mere money
honesty. Are
our
leaders
ready to do
these
mon,

things? They must, and without
compromise, hold that line, or the
Trojan Horse, with national bank¬

riding

ruptcy

the

open

the

gates

saddle, will
waiting

the

lured,

all

see

about

tor-

the

witness

sensible

business

im¬

elimination

practices,

waste—but,

ber

executive

the

with

the

financing

ness,

government.

And,

finally,

Div Douglas

the

words

Freeman

less

ica

will

cease

assured

think

Bountiful

mother

one:

and

today

will

sons

her

regard

Lady
as

fjor whom, from the love

they bear her, they
sacrifice.

The

self-discipline

and

happiness, and

(Albany, N. Y.)

Natl.

the

firm

bonds

Life,

has

served

financial

banker

New

of
at

the

Jersey

present,

adviser and

her

the

keep this government,
people, ourselves, free from

serfdom

cessive

and
acy

and

shackles

debt, deficits, and despair;

to preserve

founded

our

upon

priceless leg¬

principles

(Special

to The Financial Chronicle)

Okimura

and

Calif.—Teimei

Delbert

Winn

have joined the staff of Richard
A. Harrison, 2200 Sixteenth Street.

The

New

15th
of

the

kets

—

listed

152

r2.86.

661/2

4.3

(0.59

4.2

0.80

2.7

2.75

6.4

(Boston)

*59

2.00

47%

4.2

0.90

12%

7.2

■144

f-2.10

1.25

0.20

Insur.__

2.00

4.9

;

1.63

30I/2

5.3

complete facilities

unlisted

our

New

dinner

York

security

join

key

and

bolts

figures

dine

the

1956,"

Mr.

storage

National

the

and

the

pointed

view

New

Joins

and

11.17

2.3

Casualty

1.80

47%

3.8

1.80

311/2

5.7

2.40

6.7

2.00

4.7

0.75

17%

4.3

al05

1.70

301/2

5.6

3.75

591/2

6.3

1.425

321/4

4.4

insurance

Britain Gas Light Co.
Britain

New

Machine-.:

Williston

Co.,

Hampshire Fire Ins

Diversified

New

insurance

Haven

PALM

BEACH,

Paper board and

631

Fla.

Milleman -has

staff
of
Security
Inc., Harvey Building.

Board

Carton

Co.

connected

the

New

Haven

New

Gas

Operating

Planning,

New

Yorker

Publishes

REctor 2-9377

Teletype: NH

194

Co._____

ENGLEWOOD,
A.

Ebel,

Pyle,

Rhode

Cplo.—Alexan¬

Marvin

John

Joint

Join Griffin

McCarthy

and

Peter

staff

all

Fla.

—

Paula

Carter have joined

Griffin

McCarthy,

underwritings

Chicago

the

North

{

to Staff
V

become affiliated with R. F. Cam¬

Second

Avenue.

Gearhart & Otis,
Trinity Place, New

WHitehall 3-2900
_____

Inc.

York 6, N. Y.

Teletype: NY

Drive

—Ed¬

Sunrise

South.

3.0

1.40

23%

5.9

1.00

4.8

1.00

5.0

rasps

Ave.,

North,

bedding springs

11.62

391/2

4.1

f 2.17

343/4

6.2

118

River

Insurance Co.

Gas

Co.

1.40

353/4

3.9

4.5

3.0

f0.77L-.

0,33

Engineering Works *16

0.60

6.7

1.80

5.0

>2.61

3.7

14.00

1400

1.0

distributor

(111.)

natural

gas

Illinois

Northeastern Ins. of Hartford
Reinsurance

Northern
Cranes

and

hoists

Northern Indiana Pub. Serv._
and

electricity supplier

Insurance

Northern
Life,

(N.

V.)_ *46
\

insurance

Life

accident

Northern

Insurance
and

Ohio

•

Co.

health

Telephone Co.

1.425

38%

3.7

1.00

171/2

5.7

Operating public utility^

Mid-Continent Sees. Adds

'IP

1-576

and

Diversified

ward R. Dunn has formed Dunn
&
Co. with offices at 4908

estate

Shore

Detail

Gas

PETERSBURG, Fla.

and

Judd__

Northern

Dunn & Co. Formed
ST.

221/4

2.00

Diversified insurance

PETERSBURG, Fla.—Ivan
Becker, Charles L. Clark, Ga¬
vin E.
Graham, Warren C. Solberg, and Donald T. Tidlund have
110

real

North

ST.

Company,

>1-10

108

Wide variety of hardware

6.2

4.9

Co—

County Trust Co.
(Brookline, Mass.)

North

peau

Norfolk

8340

(Special to The Financial Chronicle)

past

4.00

Whirlpool

files

Michigan
Corp.

Furniture

Northeast Second Avenue.

Campeau Adds

File

Manufactures

Gordon

26
17

(0.)_

■No-Sag Spring Co

(Special to The Financial Chronicle)

MIAMI,

5.8

900

4.6

451/2

Bridge

Nicolson

States

2.65

Yorker"

New

utility

operator

Rapids

W. Sliger and Theo. Suhave been added to the staff

Western

Island

3.00

Magazine

"The

Niagara Lower Arch Bridge-

Gregory,
Ragsdale,

Management
Co., 333 East Hampden.

trading markets in

Newport Electric Corp

Robert

We maintain

Conn.

insurance

Western States Adds

Waterbury

Conn.

Insurance
lines

New York Trust

joined

Co..

utility

Fire
allied

and

utility

Water

public

York

Fire

public

Haven

New
—

folding boxes

Newark Telephone Co.
Operating public utility

suras

5.0

papers

Diversified

New

Security Planning

WEST

•of

Pulp

(Special to The Financial Chronicle)

Earl

our

1.90

Paper

Operating public utility

Dwight

London

4.2

producer

New Amsterdam

(Special to The Financial Chronicle)

der

active

Co.-

(Special to The Financial Chronicle).

Machine tools

Members New York Stock
Exchange

New York Phone:

Cement

acceptances.

Chas. W. Scranton & Co.

Danbury

6.7

insurance

Pennsylvania

With J. R. Williston Co.

Offices in:

Fire

Nekoosa-Edwards

mar¬

HAVEN, CONN.

4.2

18%

Operating public utility

Grand
out that

tools

Union

Nazareth

Sheraton-Astor

Reed

Corp

Co.__:

Naugatuck Water

govern¬

"Financial

(Newark)

facilities

cutting

Operating

nuts

Terminals

Precision

Seventy-first Street.

Bridgeport

feeds

furnishings

National Tool

held

subscription Jaooks will close on
Monday, Oct.* 8, the deadline for

with

Branch

(Newark)

and

men's

Midwest

Financial

will

Willenborg has become

NEW

Co.

Diversified

labor

production

statistical information.

CHURCH STREET

and

Shawmut Bk.

National

and

MIAMI BEACH, Fla.—James B.

209

seals

animal

Screws,

Natl.

New

and also

oil

Reserve Life Insur¬
Co.

ance

Leaders of business and finance

Hotel.

use our

and

Bearing Co._,

Participating & non^articipating
National Screw & Mfg Co.__

Jersey.

annual

the

Ballroom

If it's Connecticut
both

4.8

Reed, President.

Follies

for

4.5

Park¬

Friday evening, Nov. 16, it has
been announced by Frank Wm,

the

We invite you to

ment

0.6

National Shirt Shops of Del._

financial

is
to

Writers' Association

will

911/2

1,10

Chain,

SACRAMENTO,

0.60

health

National State Bk.

ex¬

3.6

National

N. Y. Financial Writers

show

57i/2

1.00

Cereals,

service."

Two With Richard Harrison

2.10

Corp.

National Oats Co

distracted

nation

3.9

locks

Banking

world, may we
resolve and declare our
'determi¬
this

2.3

National Newark & Essex

communities

banker

is~

world

1311/2

Patterson

3.00

food

Motor

Manufacture

ad¬

sale

individual

X2.60

Mortise

par¬

safety,

and

Lock

National

ing Authorities of Morristown and

America's

1956

products

and

accident

National

bonds
by
various Parking
and
Sewerage Authorities in a num¬

ber

chain

Co._

surance

ticular.

viser

1956

National Life & Accident In¬

special¬

Jersey bonds in

Northern Oklahoma Gas Co..
Operating public utility

(Special to The Financial Chronicle)
*

ST.

Paymts. to
June 30,

insurance

company;
' .V

stores

Hanauer

and

1956

30,

101

Co. of Hartf'd

Holding

Co., of Newark, N. J., both of
these organizations being dealers

municipal

tion

June

30,

Based

*31

Ins.

National Food Products

ists in New

Fire

Diversified

former

willing to

self-denial

road

Hanauer

Quota-

National Commercial Bank &
Trust Co.

career

June

Divs. Paid

Mr.

chief¬

are

road

the

Mr.

Yes, Amer¬

her

concerned

12 Mos.to

Years Cash

development
and
special
municipal
projects.

bond

% Yield

Extras for

secutive

the

Approx.

Including

Ryan, Hanauer & Co.,
prior thereto he was a part¬

and
ner

If that

academic

survive—if her

Cash Divs.

mem¬

staff

having started his

1929.

than it has been since
April, 1865,
the answer that comes from the

past is

A veteran of the securities busi¬

Banking;
"Is America to survive?

question

'partner in

Southall

Richmond at the Graduate School
of

Biggest in the World

an¬

Hanauer

Municipal Bond Department.
Hanauer will

page

No. Con¬

their firm

reduction but rather by an-expanof the activities of our na¬

tional

Exchange,

Leonard

joined

revenue

sion

Stock

that

has

is shocking to note that such prac¬
tices are not accompanied by a

her

agencies of forest-fire inflation.
As

good

York

nounced

Thursday, October 4, 1935

The Great Over-The-Gounter Market-

Haupt & Go.

New

taken place
daily operations of govern¬
the application of honest

the

ment,

be returned

shall

solvency,

they trustfully put into its
keeping; and the government must

that

from

Ira Haupt & Co., Ill Broadway,
New York City, members of the

provement which has

"sense"

which

>:ee

the

Trojan Horse

righteousness,

Ira

and stable money.

and

The government must,
v/hich is its

sanity,

Continued

Leonard Hanauer Wi

The Termite of Civilization

against

witness

from

...

LOUIS,

Austin is

now

Securities

Mo. —William

with Mid-Continent

Corporation, 3520

Hampton Avenue.

Details

not

t Adjusted
a

xThis

bank

extra

The

complete

for

Including

as
to possible longer
dividends, splits, etc.

stock

paid

20c.

yield is

plus

record,

„

predecessors.

four
a

based

quarterly

stock
on

the

payments

dividend

$2.60

cash

10%

60c

payments.

each,
months'

■

plus

period.

Number 5574... The Commercial and Financial Chronicle

Volume 184

(1447)

analysis

.are

far

r-N

Continued

TiheGreat Gver-The-Counler Market-

from

page

views

....

only

Biggest in the World
Cash Divs.
v

*'
^
-

No. Con*-. * secutive

Extras for

12Mos.to

Years Cash
1

,■■■•;.

■

Northern Trust (Chicago)___

•

Paymts. to
June 30,

1956

too well

;

f9.00

360

Insurance

Co.
"

'Fire,

automobile

and

allied

National

Insurance

1.10

2.25

lines

• -

and

Cement

1.00

Service

0.95

5.6

16%

cream

Co., C3. B

"Noxzema"
medicated

and

profits.

2.6

17%

5.2

13
-

6.00

17.1

Oakland Title Insurance Co.

rules

right now
to market

key

new

think

the

lock

his

sure

what that

like.

Each

(o find it out accord¬

own

way

thinking

time goes on. But I can at least
indicate that investment success

*25

1.875

6.2

insurance

in the next ten years is more like¬

Casualty Insurance Co.

*30

1.95

25%

7.6

ly to

insurance

to those who at times

come

get bullish on cash as well
equities and to those who can

can

Ohio Citizens. Trust Co.

(Toledo)
Corp.__

Ohio Forge Machine

1.70

5.0

3.50

8.8

1.50

dig out special situations—outside
favorite fifty.

of the

7.5

Gears, speed reducers, etc.

Ohio

Leather

shoes

There

___

*31

—

1.25

Participating only

1.80

210

0.8

Ohio Water Service

,1.50

*14

water;

2.40

27
*31

27%

5.5

Life

5.9

]

fl.25

3.5

Insurance

1.25

2.2

Republic Life Insurance
Company
*11

0.56

—____

Olympia Brewing Co

28%

1.9

Oneida,

1.70

5.2

Ltd.

,1.60

v-'

Omaha National Bank

unit.

the stocks that

65%

2.00

60%

year

tabulation

This

2.4

the

among

3.3

tion

of the

favorites,

21%

5.7

The

0.95

5.3

market.

tableware

can

4.0

last

ten

Orpheum Building Co._^J_

f 1.75

25%

brushes

and

matched

rations

with

for

our

corpo¬

billion

than

dollar gross sales to become multi-

billion

dollar

corporations unless

the value of the dollar goes down

correspondingly^
The

other

an estimate of the value of a
management stock option of one

leading corporations.

The
option was ten points under the
present market price and was for
our

certain

number

per

work

use

in.

1.75

6.3

containers

1.40

35y4

4.0

and

Power Co._______

Dakotas

kind

TV speakers,

Radio,

1.60

27%

0.15

4.0

transformers

the current outlook.

dictionary

and

modern

line

Webster, is an agent who acts as
an intermediary.
A stock broker
thus buys or sells stock for his
principal or client. In the modern
sense, he is also relied upon (or

against a higher salary
option somewhere else.
course, in a smaller concern
as

and with different terms this may
not have been true,
does

illustrate the

Inclusive

but the story
point.

declines

the

—from

1937

1946 to 1949.
in

1942—and

but

differed

As far

have been
in the stock

is certainly not usual

broker is in

cases,

our

corporations

increase 350% in price in that

The underlying cause has

sale

being relatively
general. The possibility of a mod¬
erate
general
decline, perhaps
next year, should be considered
by today's shareowners.

and

the

Nati.

sense

-Oil and

10%

6.5

2.6

2.10

4.2

10.50

260

0.95

33%

2.8

Atwood, Remington Rand, Robert

0.875

6.2

Ronson,

fat extraction

Package Machinery

1.00

seller of service. He is out to sell
himself

and

his

firm

Pacolet

Manufacturing Co.

Fabrics

Panama

■

■«■

7.50

168

Torrington
Underwood
Corp., Union Hardware, U. S. Gypsum, Yale & Towne,

4.5

Coca-Cola

Beverage

Warrenton

Bottling- *27

0.45

Gair, Robertson Paper Box,

Russeli Mfg., Seth Thomas Clock, Sheffield Tube,

Sidney Blumenthal, Stamford Rolling Mills, The
^€o., Torrington Manufacturing, Turner & Seymour,

4.2

Woolen, Whiton Machine, Wilcox, Crittenden & Co.

8.2

bottling

Passaic-Clifton

National

Bk.

& Trust Co.
Paterson

parchment,

made

1.50

4.7

1.00

5.6

1.10

13%

The Connecticut Power

and

Corp.:

radio

distribution

<^?eral

8.1
'

Office: 176 Cumberland Avenue, Wethersfield, Connecticut

Annual
*

Details

not complete

t Adjusted

Company

papers

Peaslee-Gaulbert
Furniture

waxed

65-

Parchm't Paper Co.

Vegetable
custom

(Clifton, N.J.)

possible longer record,

for stock dividends, splits, et*.

Continued

page

true

Company, Conn Broach & Machine, Ensign Bickford, Fitzgerald
Manufacturing, Goodyear Rubber, Hayden Manufacturing,
Machlett Laboratories, Nelco Metals, Northam Warren Corp.,
Norma Hoffmann, Pitney Bowes Postage Meter, Plume &

.Automatic wrapping machines

dealer. A

should not be

true broker

Nationally known manufacturers who use our service:
American Brass, American Cyanamid, Cheney Bros., Collins

buys securities at whole¬
prices for his own account
to
public.

(Straight 1000 Btu) is supplied in:

Pacific Vegetable Oil Corp.

Dealer

sells them at retail prices

WITHIN CONNECTICUT—DIVERSITY

4.0

concerned,

new

As a practical matter, the neces¬ clients. Once he has the
clients,
sity of attempting to hold stocks he might find that their immediate
a minimum of six months for tax
needs are best served by doing
purposes
complicates investment nothing at all.
policy a great deal, investors can
I emphasize this because it has
not
sell and
buy back if they
something to do*with the current
change their minds without losing
Continued on page 44
relatively
tax
dating.
Bearish

Co.—

Bank of Seattle

securities salesman. A broker is

Are Cautious

0.70

mill products

that

dealer

from

recent markets in

Investors

many

Stock Broker Is not

from

Each decline varied

character

stock

market occurred from 1929 to 1932

concentra¬

years

ones

option

fl-05

insurance

Lumber

Planning

not, I could not develop

cars

Pacific Fire Insurance (N. Y.)
Multiple

sense

the Word. A broker, according to

brewer

Pacific Car & Foundry Co.__
railway

philos¬

stock broker in both the

am a

supplied in:
Torrington, New London, Manchester, Middletown,
Thomaston, Darien, Waterford, Montville, Portland, Cromwell,
Durham, Middlefield, Farmington, Avon, Collinsville, New
Hartford, Lakeville, Salisbury, Sharon, Canaan, Norfolk and
Falls Village.

5.8

Pabst Brewing

Makes

us.

So much for investment

Stamford,

and miniature incandescent lamps

Well-known

market

ophy.

Electric Service is

Minnesota

and

Electric Corp.__

Oxford

in¬

narrower

possibly have ahead of

Stamford, Torrington, New London.

(

Tail

buy

the next ten years. Be¬

Natural Gas Service

clothing

Utility;

be
lose

Most

far

sets

paper

equities
when
they
feel
more
pessimistic. This misguided point
of view is going to complicate
investment advice a great deal in
the different

day, I was asked to

There

and

point of view. Perhaps they want
to be 95% in equities when they
feel most optimistic and 60% in

get
of

will

vestors

Oswego Falls Corp
closures

5.4

machinery

foundry

1.35

industrial

line

8.2

B'Gosh

■Complete

Pacific

impossible

tide

6.8

;4%

0.40
*

Manufacturing Co.__

Oshkosh

Pacific

fact, I would think it is next

the

18-

office-theatre "bldg.

Francisco

Manufacturers

Otter

unusual

period.

utility

Manufacturing

Mfg.

when

conduit

Osborn

and

1.00

____;

public

Co.

Sati

market

Company

Fibre

bear

want

all the law will allow them to

even

diversification

than

when the best of

Orange & Rockland Electric
Operating

that

off if properly done.»»mu

1.25

very

Orangeburg

policies

the

350%.

Silverware

China

thirty

illustrates

rather

pays

Onondaga Pottery Co

ago

The DowJones Industrial Average itself, of
course, paralleled the ten in the
middle group with a raise of about
140%.

■.

_____

About

approximately

Life, accident and health

Chicago office building

price
DowJones Industrials regrouped into
three segments of ten issues each.
The ten with the poorest market
record yielded a capital gain of

Life, accident and health

Oqe :La Salle Co.___

market averages
should also be

even

performance

Co.
.*___

;

expect a similar
to base investment
less optimistic basis*

who

good stock broker becomes an in¬
vestment counsellor with, for all
practical purposes, a trustee rela¬
tionship with his client.

made

•

Old

not to

but

how to par¬

bull market.

advice

far

make up the averages do not move

(Gr. Rapids)

America

Brewing

sense

upsurge

com¬

short

few

concerned.

realized that

wholesales

Hydraulic machinery

Line

However, I think it is only
mon

bear market

very

without

Old

nobody knows.

are

every person has
of being prepared

idea

oWn
a

any tangible value for the option.
The person in question was trying
to evaluate his current salary plus

are

untreated

Oilgear Ca.
Old Kent Bank

in store? Of course,

years

Consequently,
for

ticipate in

next ten

credit

climate

3.5

*32

Life, accident and health

treated

the

dividend

dividend collected.

his

Can You See The Future?

the

followed by a tax debit. It holds
true even if a decline in the mar¬
ket amounts to several times the

cope

What have

and
"keep one's
working." This holds true

will
always be profits
the leaders because special
situations by their very
nature
can
only bloom in a favorable

among

Ohio State Life Insur. Co.

Retails

corporation managements
with the situation.

may

lieve it

Concentration Pays Off, Too

Ohio National Life Insurance

Company

and

year over

leather for

Upper

and inflation is
The secondary cause
ability of a minority

us.

has been the

not tell you now

will have

•

key will look

ing to

changed.

can

new

Co
,

Diversified

'Real estate

Title

0.90

shaving

cream

(Charles F.)

Noyes

Ohio

fO.98

these

find

and

producer

Distributes

bury

inflation,

still with

final

checks"
if

even

the

All of us—you and I—if we want
to prosper in the
future, had bet¬
ter

Co.

suc¬

1.2

public utility

Noxzema Chemical

market-wise,

gest institution, have been simply
to buy the best and sit with it.

Northwestern States Portland
■Iowa

stock

knowing. These
rules, -followed by

been

smallest odd-lotter up to the big¬

Life
20

Public

gas

knows

cessful

2.9

Participating & non-participating '

Electric

in the next ten years.
that what every¬

use

isn't worth

Co.

Northwestern

promise to be

is axiomatic

body

3.2

Northwestern Natl. Ins. Co.__
Northwestern

insurance

known to

of much

2.5

Northwestern Fire & Marine
-Diversified

dend
money

1956

lion

1956

•

Based

June 30.

Divs. Paid

Quota-

.the

from the mark. It is human nature
to be optimistic and it's human
nature to want to deposit "divi¬

Current and Prospective
Stock Market Outlook

Approx.
% Yield

Including

>-•••.'
*"*•',

opinions

Report on Request.

(1448)

The Commercial and Financial Chronicle

Continued

from

Average.

page

This illustrates the im¬
individual stock

New York

world.
the

for

Stock

most

both

the

crease.

the

Of course, stocks are not "con¬
sumed" but their ownership can
be in the wrong hands.

securities

satisfactory investment
people and institutions.

However,

must

to •confuse

not

these

terms

just

conclude

that

^'equities

Neither equities nor cash in the

bank, bonds, mortgages,
forms of fixed
are

dollar

other

investments

good indiscriminately.

Prefers Investment

to act
a

—

that is if I had

blindly I would rather

good investment trust

than have

years

own

the

over

credit in

sav¬

ings bank.
I

said

before, I
informed and
intelligent lawyers' to take a pro¬
expect

group

fessional

attitude

towards

In my
be

opinion, the outlook

this

saying

now

This

that

weak

too

rea¬

technical

another

way

stocks

many

Perhaps a good
ing this is to tell

about

way
you

explanation

liquor
not

are

dealer
the

who

stock

of illustrat¬
anecdote

knew

what

nothing

market.

understand

gave

did

if all his customers

simultaneously

the

opinion that an increase
in liquor orices was imminent and
decided

months

ahead.

course,

was

whether

prices

stock

His

developed

several

should

respond

and

news

could

not

decline

customers

they had consumed the liquor they

good

economist

but

business

the

market is

wait

best

stocks

are

low.

but

accumulation

dynamic

stock

closing, I know that despite

what

have

said

here

today
everybody wants to know what to

buy. Well, there is a bearer stock,
six inches by two and one-half

inches,
S.

lars
in

black on the front and
the back, known as the

Dollar.

will

1957

may

be that

dol¬

buy less of many items
but they may buy more
before

out.

the
"

year

sylvania

dom

from

the so-called

Fifty" show
from

their

the

Stocks

highs,

Radio

tion of Frank M.

about

30%.

These

stocks

for

the

Dow-Jones Industrial

Penn¬

f 1.97

49%

3.9

Peoples National Bank of
Washington (Seattle)

f 1.46

751/2

1.9

Peoples

3.50

5.1

2.00

1.00

1.45

281/4

and

sulphite

Trust

Co.

(Pittsburgh)

Telephone

Public

Service

chemicals,

Corporation

ors

Corp..,..

Perkins Machine & Gear Co.
Precision

Cement

has

under the

opened

and

gypsum

Water

Oil

Co.

softeners

Industrial Bankers,
11

872

Hincks

Main

Bros.

accelerated schedules

and

—

Stroud

development

Corp.

may

Mulliken
track
equipment,
machinery

(The)

Corrosion

resistant

about

f 1.08

3.3

42%

5.3

2.25

0.55

13%

4.0

2.00

5.1

113

5.00

equipment

Screws, bolts, nuts

Philadelphia Bourse
Exhibition and

office

building

107%
.

'''

V-

*17

f0.49

3.00

Package Corp.

0.60

Piedmont & Northern Ry.___

'■

1.00

j
32

3.1

30%

1.6

Operating public utility

Phoenix Insur.
Insurance

(Hartford)

carrier

Pictorial Paper

4.6

Philadelphia* Suburban Water

the

3.9
f

(except life)

Paper boxes

IO1/2

5.7

are

planning
a

Diesel

line

Finance

future

Owns

steel, oils,

—

7.25

120

6.0

Carolinas

31/2

o.ip

notes

5.1

production

constantly increasing demand.

any

service

8.00

230

2.00

4.2

1.25

Co..

3.00

68%

Chocolate.__

2.50

4.4

fO.70

141/4

4.9

2.85

501/4

5.7

1.60

2.0

0.60

3.5

1.50

2.4

operates

office

you

—

that

hand

tools

Plymouth Cordage Co
of

harvest

rope,

twisted

tacks

Pocahontas

Phila.

Transportation Co.

Smith Kline & French Labs.

W. C. Hamilton & Sons

South

Hercules Cement Corp.

products,

paper

and

\ 1

nails

Fuel

Port Huron

Co., Inc.__

Strawbridge & Clothier

I. T. E. Circuit Breaker Co,

Alan Wood Steel Co.

Manufactures

high

voltage

elec¬

trical equipment,
hydraulic presses
and

Porter
Bolt

wire

and

products

(H. K.), Inc.
cutters

(Mass.)

*18

0.45

6.4

0.75

7.5

2.25

37%

5.9

and

1.00

4.00

5.0

1.60

is y4

1.50

24%

6.1

1.75

42%

4.1

special

tools

purpose

Portland

Philadelphia Bank Stocks

Gas

Operating

Light

public

utility

Potash Co. of AmericaPotash

Copy of the Philadelphia Inquirer 1956 Delaware

Valley illustrated supplement-

and

oil

Pratt, Read &
sent

Piano

request.

and

interests

Co...

organ

Operating

•

ALLENTOWN

Providence Washington Ins..

Multiple line insurance

Provident
-

Laundry and dry cleaning

PHILADELPHIA 9
•

LANCASTER

•

Savings

Trust Co.

SCRANTON
•

Details

not

5.4

utility

Progress Laundry Co..:.

INCORPORATED

PITTSBURGH

public

to"

keys

Princeton Water Co.

STROUD & COMPANY

papers

Porter (H. K.) Co. (Pa.)_____

Warner Co.

Company

Sulphite & Paper

Lightweight

Jersey Gas Co.

4.4

■

products

Plomb (The) Tool Co

Manufacture

—

2.9

building

Water

Operating public utility

Planters Nut &

Bituminous coal—mining and sale

NEW YORK

3.5

Plainfield-Union

important part in this dynamic

Beryllium Corp.

Penn Fruit

Pittsburgh Fairfax Corp
|
Apartment building
Pittsburgh Finance Building
Corp.

benefit from it.

Hajoca Corporation

■

twines,

its

2.0

forg-

Manufacturing Co

eyelets,

Ask

and will gladly render

customers, too,

2.00

producer

gas

Mechanics
—

5.4

____

Pioneer Trust & Savings Bank

in order to'meet

Company is playing

7.2

Exploration

and

Peanut

33%

3.00

candies

and

Pheoll

Street, members of the

VALLEY, U. S. A.
others

3.0

Operates street railway lines

Co., Inc.,

Midwest Stock Exchange.

2.40

Francis
to

0.12

loans

Paul

Philadelphia Suburban
Transportation Co.

to The Financial Chronicle)

Gagner has been added

staff

5.1

Chemical compounds

management of John I.

—

■

Permutit

Hincks Bros. Adds

2.2

products

Philadelphia National Bank.

(fecial

7.7
-

manufacturer

Pfaudler

Murphy.

BRIDGEPORT, Conn.

gears

Permanente Cement Co...

Pettibone

branch office at 89-64 163rd Street

the world's greatest industrial
empire

now

electronics

Telephone

(Chicago)

Here, in what is

\ i;

Popular

Lapetina.

participate in

DELAWARE

4.9
•

_____

soda

Discounting dealers'

your customers

24i/2

Peoples First National Bank

Operates

sure

3.4

Pioneer

1.20

frits

30%

Peter

First Investors Branch

are

selling at the equivalent of about

11.0

1.05

ings

Industrials.

Monsanto,
both leaders in their
fields, are off

38I/2

York

Railroad

com¬

and

t4.25

(Special to The Financial Chronicle)

decline of about 10%

Dow-Jones

ceramic

utility

New

bleached

Small

20%

over

woodpulp

Personal

"Favorite

decline of

1955-56

and

Savings Building under the direc¬

ran¬

3.2

JAMAICA, N. Y.—First Invest¬

29%

•

Voting
Mfr.

Dewey, King Branch

the

example, 10 stock chosen

6.8

t0.95

Penobscot Chemical Fibre Co.

ad¬

Averages are far from being
indicative. Many stocks started to
turn down as far back as 1955. For

1956

colors

Petrolite

that

and

Inc.

business

course

*12

30,

buyers' anticipation.

We should realize of

___

enamel

Operating public

accumula¬

equity purchases designed for six
capital gains.

situation is needed to match'recent

410

and

branch office in the Western Fund

satisfactory busi¬

2.40

Pennsylvania Gas Co

situation might suit the busi¬

ness

nessman

Co.__

June

Corp.

Porcelain,

not

means

just "good business" is
enough
to
support further

Thus,

this

Steel

Michigan producer

Pemco

very

Paymts. t<j

Hardware

Petroleum

that

vances.

years

Iron

PHILADELPHIA, Pa.—Dewey,
King & Johnson have opened a

the

1956

June 30,
1956

Peerless Cement Corp.__

back¬

This

able

Based

tion

12 Mos. to
Years Cash June 30,

Peden

months

technical

high. Yields

whether

public

shares of stock

bad.

Quota¬

Divs. Paid

Yield!

Extras for

secutive

inevitable. It should pay to
before
entering into
new

seems

background. We must realize that
the

pared with

would be out of the market until

market

listlessly

the

unfavorable

for

liquor

digestion

ground for the market may prove

his

present

that

models

Appro*.

Including
No. Con¬

resemble

now

will

two

general

green

answer,

increase

automobile

The

might

tion of stocks. At this point, some

higher

issues

lie

heavy

news

going to sell at the 1955 pace? Is
going to continue tight?

regardless

that

the

for

1957

Cash Divs.

against the trend. Just be¬

hind

Can consumer installment debt
go

"technical

position" meant. I asked him what
would happen to his own business
had

the

Biggest in the World

either

will therefore

year.

individual
move

money

the wrong hands.

Are

seems

unfavorable. The basic

for

position;
in

deal of unpredictable

suspect

for the stock market in 1957

son

happens to the stock mar¬
ket is of course going to be in¬
fluenced by the news. We have a

invest¬

ment.

What

any

However,

living can go up with¬
following the pattern.

stocks

1957

1953. I do not know

immediately ahead of us. Who is
going to win the election? What is
going to happen in the Near East?

Savings Account
I will say this

The cost of
out

great

Trust

think

difficult

biggest reason to buy or
hold stocks today is the threat of
continuing inflation. However, the
commodity indexes are moving up
contrary to the securities indexes.

are

always good for you."
Equities are, good for all of us
if they are bought at the
right
times and sold at the right time.
They are also good only if the
right ones are selected.

for

like leadership, if it devel¬
will lie among the major
motors, steels and rails.

Inflation
The

outlook,

chance

ops,

and

short-term

good

page

looks

Stocks Need Not Follow Price

careful

from

The Great Over-The-Counter Market

pre-election rally or a year-end
rally. It is certain to be very
highly selective. At this time, it

bought in anticipation of the in¬

market

sold

the

For

have

Exchange

securities

greatest

sold

average

Short-Term Outlook

Stock Market Outlook
I

against

measurements.

Current and Prospective
market outlook.

Continued

portance

movements

Thursday, October 4, 1953

...

Bank

(Cincinnati)
complete

possible

t Adjusted for stock
dividends,

longer record,

splits, etc.

•

Number 5574

Volume 184

The Commercial and Financial Chronicle

...

Continued

The Great Over-The-Counter MarketCash Divs.

secutive

Based on

tion

Paymts. to

12 Mos. to

Years Cash

June

30,

Provincial Bank of Canada.
Foreign

domestic

and

CO o

0.84

Electric

2.8

Public

*14
20

131/s

3.00

5.2

0.68

8.6

rotogravure

0.80

13%

Makes

6.0

*14

0.80

21%

3.7

"Purex"

and

Filters:

oil,

Ralston

breakfast

feeds,

3.4

116%

4.00

22
foods

new

1956

the

formed in June
of a merger—of
Ground Rent Trust, V

company

Real

Boston

the

and

•.

•

•"

"•

•

when the

——

V-

•

Trustees.

Midwest

Reece

*10

button

1.20

4.3

27%

hole

16%

6.7

Writes

1.50

6.5

0.50

133/4

3.6

0.60

6.7

■

1.6

71%

Over-The-Counter Consecutive Cash

Dividend

Starting

9.3%

gain

last

Republic Natl. Bank (Dallas)

fl.65

Republic Natural Gas_

1.00

35%

1.00

16%

0.60

and

3.0

2.8

Revere
Dog

and

8.3

71/4

Rhode Island Hospital Trust.

3.75

Richardson Co.

1.00

3.6

103

6.6

15%

tl.2?K

15%

4.5

4.6

metal

Heavy

Corp..

metal stampings

Public

to 6.3%

ings fell

have recovered this year

which

1.00

21%

4.6

3.50

5.7

Rochester

0.80

5.1

153/4

f3.20

4.7

construction

loans

Insur¬

portfolios of U.

1.60

38%

4.2

billion.

1.10

7.8

Corp.__

1.00

5.3

18%

1.00

Rock of Ages Corp..

5.6

173/4

quarrying and mfg.

4.3

1.50

Co. *42

0.65

18%

-r~:—

pace

the

of $14 billion.

the demand

Meters,

Roddis

for funds shows

guarantees,
contribute a ma.,or
too—the questions is: how
can the banks provide the supply?
Further monetizing of their, bond

problems.

liquidity

rule of

electric

10:1!—is

plywood

doors

Corp.^/

distribution

Ktores, Inc.
store/ in the South'

140

Details

not

t Adiusted
a

Including

for

Arthur S. Briggs and

world-wide by rising raw

have

Henry

break in

Calif.—

Ellsworth M.

joined

Jamieson

supported

the

staff

Inc.,

Co.,

Building.

material

We maintain

continuing interest in

Strutliers Wells

Corp.

Valley Mould & Iron Corp.
Inquiries invited

CO.

L. WATSON

MEMBERS

New York Stock Exchange
25

American Stock Exchange

Telephone

ST., NEW YORK 4, N.

BROAD

Teletype NY 1-1843

4-6500

WHitehall

GRINNELL CORPORATION
Outstanding Opportunity for

Capital Appreciation
(Free

Pennsylvania

current

GRINNELL

Personal

market

Property

the

price,

CORPORATION

Tax)

stock of

common

only six

and less than four times

the earnings,

for

the cash

selling

and its principal
a
discount of
its conservatively stated book

generation, of the parent company
It

subsidiary.
almost

value

20%
of

also

from

available

$146.

ESTABLISHED

1914

BOENNING & CO.
Members

any

5.3

fO.53

163/4

3.2

about that.)

Fresh funds are very
appearing; the effect on
bank reserves of the $150 million
increase in the gold reserve in the
12 months to the end of last July
slow

1.15

23%

4.9

record,

taneous
currency

predecessors.

observed

39%

possible longer
stock dividends, splits, etc.

complete

FRANCISCO,

SAN

indication

early

Philadelphia-Baltimore Stock Exchange

but

has been
•

assets—it usod

2.10

and lu

Rose's 5, 10 & 25c
Operates

not

Mfg. Co.____

and

which

it cannot ba disre¬
garded
altogether.
(The
bank
examiners have something to say

valves, power tools

Plywood

hurry

The conven¬

6:1 ratio between

net worth and risk

longer;

Manufacture

times

municipal projects, plus credit

tional
3.4

supplier

Rockwell

whatsoever

the

breath¬

shore

the

boom

the Federal

case

there

portfolios would raise very serious

Rockland-Atlas Natl. Bank of

west

will

But

infla¬

share,

Operating public utility

Hudson

Reserve

sign of relenting—Federal, state

and

Boston

The

has risen

months

taking

that

supply

Rockland Light & Power

tivity, in which

obligations were re¬

same

Buttons

Granite

way.

tion-fever is mirrored in the mon¬

*27

Rochester Telephone

Two With Jamieson
(Special to The Financial Chronicle)

give

June

bank

duced

insurance

Button

may

June—bank
increased by more than $15

billion;

Co.

Diversified

The "something '

be a recession of business ac¬

has to

of by

skyrocketing, endangering the
liquidity of banks whicn deplete
their bond portfolios and build up
their risk assets.
In one year's

tfeie—from
12

American.

requirements
of the member banks—something

the

in particular,

Continued

page

wiped out by the simul¬
million growth of

$670

in circulation.
this is the

short,

kind

the

that

and

the

keep

are

ance

considered

necessary

materials

Rochester

imperative;

come

politicians will use the oppor¬
tunity to impose physical controls
and to regiment the economy.

supply of savings in balance with
the demand for fresh capital. The

permitted to deteriorate to the
point where drastic action—such
as
a
4% discount rate—will be¬

reaching 8% of disposable in¬

comes,

Government

Manufacturers

but with¬

differences being taken care

gas

(H. H.)

situation will

that the

danger
be

reserve

They

against 7.3% in 1953.

6.2

utility. Distributes natural

Robertson

matter

of personal in¬

4.4

Co...

Gas

Roanoke

ceaseless

the

ing equipment

Small

reverse

burn¬

Risdon Manufacturing Co

is not that

..."

1J0D

generators and fuel

Steam

The danger

prices, rather
psysical vol¬

increased

—credit. Bank loans,

Riley Stoker Corp

real showdown in

depression might occur; it need
not be too serious or too long. The

by direct loans or by open

during the first half of 1956

1.50

store

department

of months.

Reserve

unless

near future, possibly
elections, but a re¬

dollar

advance

the

well

relax¬

we expect some

the

$334 billions, top¬

19v

stampings

Rike-Kumler Co.
Dayton

personal income
seasonally adjusted

the

race

Rieke Metal Products

and

money

can

settle¬

steel

the

June

minimum

textile products

line

one

sumption of the wage-price spiral

ca¬

it extends much more,

ping June, 1955, by $18 billions.
As might be expected, consumer
expenditures also have risen to
new
heights.
However, roughly

out

Operates Atlanta department store

Riegel Textile Corp

Federal

additional

ment, it is little wonder that con¬
sumer income is setting new rec¬

comes,

em¬

spending spree is a slow-down of
savings. Last year, consumer sav¬

products

Rich's, Inc.

Wide

record-breaking

with

climax

The

racing, near Boston

lending

by extending now some
million more credit to the
economy than it did a year ago.

relax.

than

supplies

Racing Assn

Plastic

York First Na¬

New

represented higher

6.0

Irj) short,
before

available

City Bank's "Monthly Let¬

ume.

oilwell

industrial

the

sales

Republic Supply Co„ of
Distributor

The

this

But

ation in the

$1,012 million, respectively, as of

12.)

is much morer
if the central bank
again, it is likely to be
and
the
pace
greatly

now;

way

scenes.

pacity, are a negative quantity:
they total less than the amount of
their
debts
($712
million
and

vig¬

over) the same period
As the September

one-third

oil producer

California

measure

the

order

summed it up:

annual

55%

gas

mail

year.

achieved

Page 52.
/

Natural

excess

the

operations,

ords.

Payers From 5 to 10 Years Appear in the
Table

fact,

the

its

Second

In
are

Sept

difference is that the
virus

agine the political heat is on the
ctentral bank, mostly behind the

re¬

bank.

But unless

ployment and the pattern of sub¬
stantial wage boosts which reached

casualty insurance

and

gives

the

which

reduces

"Between

f 1.12

virulent

and

bor¬

serves,

bank's additional

The

inflationary

central

the

credit
the Federal
stepped in to relieve the
was

inflamed

from

reserves

excess

is much the same

last May when the

market.

In real¬

fraternity

banking

its

situation

was

accelerated.

attitude

apparent than real.

the

not-

store

ter"

Paints, varnishes and enamels

Fire

con¬

Reserve

did

Policy

faire

squeeze

That

uniform 3%.

Reserve

market

tional

lines- -and

The
as

were

Reserve

and

issue

only reinsurance

Republic Insurance (Dallas).

Federal

and

Witness
of

rebound

Reliance Varnish Co._____

credit

"classical"

market

sales, showing in the
first eight months of this year a

1.10

Crepe paper

Reinsurance Corp. (N. Y.)___

impetus—stim¬

semi-durables

chain

machines

(C. A.) Co., class B

accompanied by possibly by <*■
tightening
in

$300

orous
_

ity,
rows

The

at-all-durables.

chain

food

(Mass.)

Corp.

Makes

Reed

retail

the

resources.

laissez

makes

Red Owl Stores, Inc.

out¬

again mounting.)
When people
buy fewer durables, they spend

«;

'. H

was

This

models will be roll¬

new

the

ing out.
(Even so, the volume of
outstanding instalment credit is

i
'

/
Estate^

Real

13%

TFrmst

Estate

Western

—

result

Boston

the

a61

...

own

Federal

demand for
automobiles has fallen off, but is
expected to recover in the fall

Real Estate Investment Trust
of America

which

exports—affects the

spending.

money

discount rates to

record dollar vol¬

would usher

lately; it simply did not interfere.
Interest rates went up before all
the Reserve Banks adjusted their

too; higher incomes induce

sumer,

Purina

Animal

ume

its

what

new

And they may

ulated also by
5.7

175

10.00

operation

crisis

left to

the estimates.

The inflationary

air

Quincy Market Cold Storage
Boston

6.7

37%

f2.50

record.

grow

and

gas

interest rates have to rise further,

to reach

are

above last year's

also

"Trend"

Purolator Products

Investments

which

type—if the

this year the new all-time high of
an estimated $35 billion, $6 billion

holding company

Corp.

and

plant and equipment

printing plants

Punta Alegre Sugar Corp
Cuban

the inflationary
pressed by the

facilities.

its

utility

Publication Corp. vot
Owns

situation

ever-increasing labor costs—their
continuation is projected into the
future
American
industry
is
straining its resources to expand

5.8

16%

either.

factor

Pnces^^^si^6^^

¥1

unsianilizintj forces

—

(N. Mex.)

■

money

momentum

utility

Public Service Co.

Purex

0.975

1_ B11

technological prog¬

Stimulated

business

ress.

banking

Public Service Co. of N. H.

■

deflationary

This leaves two alternatives; either

■

"crash."

4.7

f2.80

■

1956

managerial
Provident Trust Co. of Phila.

Tfe

■

And tne

June 30,

30,

1956

Divs. Paid

Quota-

Extras for

prices; the Suez crisis is not exactly

% Yield

No. Con-

page

■

Future Interest Rates and

Approx.

Including

from

Biggest in the World

(1449)

American Stock

1529

Exchange

115

Walnut Street
NEW

PHILADELPHIA 2, PA.
LOcust

Broadway

YORK 6, NEW
COrtlandt

8-0900

Bell

System
PH

Teletype
30

7-1200

YORK

Russ

(1450)

The Commercial and Financial Chronicle

Drexel & Go. Admits Five New Partners
PHILADELPHIA, Pa.—The investment banking firm of Drexel
&

Co.,

1500 Walnut Street,

general partners.
R.

They

Schuyler Lippincott;

announces

James G.

are:

Paul F.

the

admission

five

Continued,

Nalsey, SEuart Group

Couffer; George DeB. Bell;

Line RR.

Miller, Jr., and John H. Remer.

page

Biggest in the World

Equipment

Cash Divs.

Halsey,

Stuart

associates

fered

RR.,

and

equip¬
maturing

ment trust certificates,
annually Oct. 1, 1957 to 1971, in¬

(J.

O.)

3.85%,

according
and

sale

the

The

Interstate

entire

issue

be secured

switching
dola

Commerce

certificates

200

gon¬

& Co.;

Couffer, who joined the firm's

Street,, earlier this
of B. J.
of

Van

year,

for

years

Mr.

of New York and the

other

four

Couffer

gal

member

with

the

Vice-President
The

Bond

to engage

admitted

partners,

with

firm's

Officers

the

years,

Drexel
are

tary

John

Philadelphia office.

dolph

Treasurer;

air

WASHINGTON, D. C.—Merrill
Lynch, Pierce, Fenner & Beane

steel

have opened
at 1628 K

new

branch

office

Street, Northwest, under

the management of S. Harold Wil¬
liams.

management

Harold

Mc-

Company,
York

New

way,

Two With B. C. Morton
(Special to The Financial Chronicle)

PATCHOGUE, N. Y. —Edward
A.

Purcell

branch

office

Co.
at

BOSTON,

have
10

opened a
South Ocean

Avenue
under
the direction
Robert C. McCollom.

will

Mass.

—

Melvin

Dorfman and John C. Doyle have

Fagan

the

Exchange,
offices

York

be Albert

City.

15.6

2.0

1.60

7.6

Paul

insurance

Union

Stockyards

operator

Antonio

Transit

and

Public

utility

Sanborn
'

ny4

3.4

1.20

141/2

8.3

2.40

453/4

5.2

4.50

6.7

beer

(water)

Map Co

Fire insurance &

Savannah

real estate

locks

1.00

5.3

4.00

4.8

tools

and

Sugar Refining—

•

Schenectady Trust Co. (N.Y.)

2.00

Schlage Lock Co

fO.93

*14

Locks

Three

(Ed.)

1.00

5.9

351/2

5.5

;

1.95

*40

0.60

191/2

3.1

0.60

141/2

4.1 *

1.95

3.0

fO.95

483/4

1.9

knitting machinery

Lace

curtains

and

table

covers

Scruggs-Vandarvoort-Barney
Department
Kansas

City,

Seaboard

stores; St.
Denver

Louis,

Surety Co

Diversified

Searle

3.2 :
2.4

dept. stores

Williams, Inc.—

Scranton

391/z

hardware

Milwaukee

Scott &

Lace

builders'

and

Schuster

maps

Georgia operator

exchange

Janet

0.58

Brewing Co.__

"Burgermeister"

Ruberman, limited partners.

McAdams

4.3

313/4

San Jose Water Works

membership, general partners, and
Anna

7.1

Partners

Co., 131 State Street.

112

Intra-city busses

Broad¬

joined the staff of B. C. Morton &

8.00

1.125

San Francisco

Exchange, Richard D. Fa¬
an

—

7.00

Minnesota

Fagan, member

who will acquire

5.7

San

New

will

161/2

bleachers

producers

Builds

the

gan,

11th,

members

Stock

formed with

Inerney.

Purcell Opens Branch

Oct.

f0.95

scaffolding,

and

fl.375

Johnson, Vice-President.

Effective

timers.

St.

Ru¬

Form Fagan & Company

TULSA, Okla.—Walston & Co.,
Inc. has opened a branch office at
614 South Main Street under the

.:/
5.5*

centrifu-

A T.C.

and

Joseph Stock Yards

Hardware,

New Walston Office

223/4

condi¬

Sargent & Co.—

New Merrill Lynch Branch

1.25

Kendrick,

broadcloths, twills

Diversified

Securities

and

Co..

Auto¬

securities business.

are

and

6.6

Livestock

President; James R. Sharp, Secre¬

con¬

.21%

St. Paul Fire & Marine Insur.

fices at 734 15th Street, Northwest

Club

5.0

Croix Paper Co.—
Maine

;

Development

•

Inc

Entoleter

stands

Sateens,

St.

Co.

—

1956
"

Sagamore Mfg. Co

Co., Inc. has been formed with of¬

Municipal Bond Club of New York.

newly

organization, for periods ranging from three to 17
nected

mation

•4

1.45

diversified; including

scales,

machines

grand

Gregory & Sons; Mc-

WASHINGTON, D. C.

Vice-President

0.20

machinery

lighting,

car

Manufactures

Form Automation Devel.

Remer

New York office at 30 Wall

Ingen & Co. Inc. and before that

Blyth & Co., Inc.

The

served

John

5.3

Safway Steel Products, Inc.-

Wm
Miller, Jr.

textile

Industries,

Howe

St.

gears

Corp.

interests

Name changed in June
Safety Industries, Inc.

tioning and
.

Master Hutchinson & Co.; Wm. E.
Pollock & Co., Inc.; and
Shearson,

Paul

1.55

steering

royalty

gas

Railway

prich & Co.; L. F. Rothschild &
Co.; Baxter, Williams & Co.; Free¬

Lippincott

and

Safety

Associates in the offering are—

Mr.

Oil

Manufactures

Dick & Merle-Smith; R. W. Press-

5.5

Safety Car Heating & Light¬
ing Co.

by 25 diesel road

locomotives;

Hammill &

Saco-Lowell Shops

800 hooper cars, es¬
timated to cost $12,409,472.

man

I81/4

Manufacturers

Royalties Management
•

certifi¬

and

cars

1.00

and

the

maturity.

•

Commission.

will

1956

dryers

oven,

Ross Gear & Tool Co. Inc

subject to the authoriza¬

are

Paymts. to
June 30,

1956

Issuance
tion

tion

June 30,

30,

1956

: air systems

proposed total issue of $9,300,4
are priced to yield from 3.70%

cates

Based on,

Engineering

Manufactures

The certificates, first instalment
of

Quota-

Ross

clusive.

000,

June

Divs. Paid

% Yield

•

12Mos.to

Years Cash

3%%

Extras for

secutive

Air

(Oct.

Approx.

Including
No. Con-

of¬

Seaboard

series

Inc.

Co.

yesterday

$4,650,000

Line

Thursday, October 4, 1956

Tiie Great Over-The-Counler Market-

Offers Seaboard Air

new

from

...

insurance

(G. D.)

& Co

Pharmaceuticals

Sears-Community State Bank
(Chicago)

Looking Ahead With UPSON

Transports

freight

cars

t2.00

3.1

0.50

3.8

2.60

4.3

|2.42

0.40

4.1

—

*15

*33

—

Seatrain Lines

1.60

531/2

3.0

1.60

3.6

ships

Second Bank-State St. Tr. Co.

Formed in February 1955 through
of Second National Bank

merger

The

laminated fiber panels manufactured
by The Upson

Alert Upson management is not content to mark
time.

Re¬

search and
two

new

development activities have brought to the market
industrially important products in the chemical field

and made several

improvements and additions

exterior and interior wallboard line.
been achieved

to the

rights of

Upson laminated boards to other
fabricating indus¬
growing as development work and concerted sales
effort constantly discover new uses and
new customers for
these
are

products.

Upson's industrial
steadfast

Co.

(Houston)

changed
1-17-56
the
Southwest

"Bank

tional

Association,

Na¬

Houston,

Texas"

Second

National Bank & Tr.

Co. of Saginaw

/Securities Acceptance
V

Instalment ^financing

personal

Corp.

and

lqans

Los

Angeles

Security Ins, Co. (N

Haven)

Security National Bank of
Greensboro

(N. C.)

1.50

2.6

Security Trpst Co. of
Rochester./-

2.00

4.1

Security Trust & Savings
Bank of San Diego

f 1.125

4.2

1.00

5.6

Indemnity Co. *23

11-14

„

Surveys fori'oil and

and financial

strength is assured by its
always to offer Quality Products through
Energetic Sales Policies.

Selected Risks

gas

industries

Diversified insurance

Fishing reels,

UPSON

LOCKPORT, NEW YORK

rods

and

Electric

Details

6.8

1.30

173/4

7.3 "

1.50

261/2

5.7

6.9

Shepard Niles Crane & Hoist
•

lines

-Shaler Co., class B
Vulcanizers

1.70

beverages

Shakespeare* Co.

THE UPSON COMPANY

0.60

carbonated

—

3.4
'

Seven-Up Bottling Co.
(St. LouiS}_
Bottler

3.6

Security-First National Bank

efforts

Honest and

Trust

Bk.

Seismograph Service Corp.__

Sales of

versatile

Sireet

Natl.

Name

company's

Product diversification has

through the acquisition of distribution
related products manufactured
by other companies.
tries

Second

strong,

Company.

State

Boston

popularity of dry-wall construction and the rise in
large project, pre-cut and pre-fab building has placed The
Upson
Company in a strong position. No products on the market are
better adapted to mass construction
techniques than the

cranes

and

hoists

not- complete

t Adjusted for s.ock

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

Volume, 184

Number 5574... The Commercial and Financial Chronicle

(1451)

The Great Over-The-Gounier Market-

Pace

Biggest in the World
% Yield

Extras for

secutive

12 Mos. to

Years Cash

June 30,

Divs. Paid

Sherer-Gillett

1956

Co.__

Manufacturer

commercial

Commemorating 50!h Anniversary

Approx.

Including
No. Con-

Quota-

Based

1956

f0.19

1956

3.8

Theodore S.
of

General

nne

ophthalmic

goods

2.00

1.60

Rochester, N. Y. department

Sicks'

5.5

&
19

"Brew

66"

beer

0.20

2.90

6.9

Asphalt

Sioux

-f 1.11

Corp

0.35

laminated

livestock

Commercial

Science

marking the
50th anniversary.

1.75

Repplier

Convocation

will

deliver

address

ment

agement at New York University;
or
Dr.

Emanuel

leges

ing

5.8

universities

and

the

monies

Z'rZ?*T
M.

held

The

City

20%

7.3

1.55

21 %

7.3

Chemical Co.

Smith
'

soda

fruits

0.85

7.7

Co.

fountain

and

2.80

6.2

1.40

25%

5.4

turbines

His

valves

Smith

Kline

French

Labs.

1.95

64%

Manufacture
mechanics'

Sonoco
Paper

South

and

fO.98

California
Water,

Gas

public

3.8

13%

5.2

5.4

Water

electric

operating

Co._____

•;

Co._

ice

and

0.76

York;

and

Charles

THE

f2.39

lege's

speak

The

3.5

Investment

4.4

0.90

16% *

5.4

0.70

1578

4.4

utility

Colorado

Electricity

Diversified

Southern

Co.

Power

Fire

Southern

Casualty Co.

Yarn

Insurance

Co.

insurance

0.40

7%.

5.3

1.20

has
1.25

22%

2.00!

40%

4.9

1.03

23"%

3.00

5.7

health

accident

and

1.35

112

1.2

in¬
'

surance

2.00

4.9

1.08

19%

Southwestern Elec. Service..

f0.575

14%

supplier

Life Insur.

Operating

Speed

fl-47

Co.

1.12

the

and

Council

home

1.25

1.3
5.7

its

business and
He

6.6

the

Advertising
of

Pro¬

writer,

Management

Consultant and Professor of Man-

Spokane

dress

1.00

1.20

32%

(A. E.)
corn

Co.

2.00

Co.

103

public

soy

Details

1.80,

utility

and

not

$212,000,000

Loan

Banks

fire

s.ock

1.80

Onondaga Pottery
First Trust &

Deposit Co.

Oswego Falls Corp.
Rochester Telephone

B$nk & Tr.

Rochester Transit Corp.

consolidated,

non-

Shepard Niles Crane & Hoist

Merchants National Bank

Syracuse Transit Corp.

dated

Oct.

1957

15,

was

1956

Bank

Board

Private Wire

Con¬

made

through

STATE TOWER BUILDING

Chicago, Milwaukee,
St. Louis,

SYRACUSE 2, N. Y.

Indianapolis,

nationwide group of
The notes

were

Proceeds from the offering will
We

that

aggregating $164,000,000 maturing
Oct.

15, and to

for making

provide funds

the

same

additional credit avail¬

are

have

pleased to
now

announce

started

address with the
and the

same

our

35th

same

year

firm

name

business

able by the Federal Home Loan

4.6

tions.

3.8

J-1956

are

The

their

member

issues

$59,000,000
notes

due

and

3.15%

institu¬
Oct.

SPECIALISTS IN UNLISTED SECURITIES

series

$105,000,000

JOHN J. O'KfiNE JR. & CO.
ESTABLISHED

3%% series L-1956 notes.

sDlits.

Tel. Syracuse 2-1236

Bell Tele. SS 190

Omaha, Lincoln, Denver

Smith, fiscal agent of the
a

& Co.

L. Johnson

nections to New York—

1922

•

possible longer

dividends.

Oneida Ltd.
First Securities Corp.

priced at 100%.

Banks

•

and

1.00

14%
-

5.1

*
'■

47,

•

complete

Raceway Inc.

(Vernon Downs)

Equitable Credit Corp.

3%%

April 15,

Loan

Everett

]'•' V *

threads

for

4.9

'vi

16
and

26
39

•

insurance

Adjusted

notes

due

Home

f 1.33

Standard-Coosa Thatcher Co.
Yarns

2.10

3.7

bonding

Casualty,

beans

(Detroit)

marine

2.9

54y4
_

Mfg. Co
and

Mid-State

Dayton Malleable Iron

be used to redeem two note issues

Accident Insurance

Standard

41%

operating utility

Water

Operating

4.6

M. Ins.

F. &

Massachusetts

Stamford

Home

F-1957

Banks, and

1.50

components

Springfield Gas Light Co

Processes

5.7

carrier

Multiple line insurance

Staley

and

offering

securities dealers.

Springfield

17%
•

Sprague Electric Co

4.9

Rail¬

International

Northwestern

Electronic

24%

1.20

goods

Co.

road

Public

yesterday (Oct. 3) by the Federal
22

and

New York 6, N. Y.

Broadway

Inter¬

Recipients

graphite products

shirtings

Ill

Organi¬

the

"People-to-People

callable

laundry

Spindale Mills, Inc.__.__
Yarn

M. S. GERBER, Inc.

been
appointed by
Eisenhower as Chair¬

Drucker,

series

equipment

and

Securities

Lincoln National

19%
f

Speer Carbon Co
Carbon

Over-the-Counter

for

Education in

Committee

Federal

Queen Corp

Manufactures

Underwriters and Distributors

10)

115

utility

public

(Par Value: $12.50)

Lipe Rollway

Co.

Tel.

States

Business)

Financing

Hotel Syracuse

life

••Non-participating

(Consumer

15,500 shares, Offering Price: $17.00

Explored

"Man

Sales, financing and personal loans

Southwestern

10d)

CITIZENS CREDIT CORPORATION

will

Southwestern Investment Co.

Southwestern

(Par Value:

Col¬

5.5

drugs

Electricity

the

Challenge

Other

Southwestern Drug Corp
Wholesale

Company)

Mar¬

Recipients of honorary degrees,
in addition to Mr.
Repplier, will
be: Senator Smith; Dr. Edward H.
Litchfield, Chancellor of the Uni¬
versity of Pittsburgh: Dr. Peter

and bindings

tapes

Construction

(Heavy

gram."

4.4

Southland Life Insurance Co.
Liie,

dis¬

and

Weaving Co

Fabrics,

Teletype—WA-661

285,000 shares, Offering Price: $1.00

in¬

She

Hall.

to promote

national

services

Gas

Bell

NORTH AMERICAN CONTRACTING CORPORATION

recently

zations

tribution

Southern

College's Semicen¬

with

President

5.6

Tel. Co.___

production

gas

Columbia 5-4922

Our Current Under writings:

Repplier, a resident of Sil¬
Spring, Md., is currently co¬

man

Union

Natural

industry support of education.

Process

dyeing

New England

N, W.

Mr.

program

4.3

Southern

receive

Senator

held

symposium

operating

Franklin

Communications

Pace

Financial Aid

Co.

So.

Endless

ver

insurance

Diversified

Securities

ceremonies.

supplier

Southern Fire &

now

students

Washington 6, D. C.

Management—The Endless Chal¬
lenge," H^vill also be held at the
College prior to the, Convocation

3.50

estate

Telephone

Southern

and has an

Noyes,

4 000

man i,uuu &iuueiu&
alumni body of 70,000.

MATTHEW CORPORATION

____

public

States

Schaeberle

Building

C'perating

than

emuns muie

1524 Connecticut Ave.,

tennial theme.

Southeastern

enrolls

Bk.

(Charleston)

Chicago real

New

Oct.
Pace

of the commemorative

part

luncheon

company

Parkway
Corp.

Col-

garet Chase Smith, of Maine, will
address participants at a special

i-.

will

day, United

interests,

Carolina National

South

0.70

utility

citizens

the, six dis¬

ideology, and will deal with
ternational communication.

5.6

products

Atlantic

South

2.00

paper

Operating

So.

toqls and

items

Products

emphasize the
developing a vital moral
in
the
global
war
of

weapon

distribution

and

hand service

one

address

need for

3.0

Pharmaceutical manufacturers

Snap-On Tools Corp

honPrary degree from-Pace Col¬
lege for outstanding exemplifica¬
tion of the College's
anniversary
theme, "Responsible Participation
In
An Economy of
Free Men."

manufacturing,

will

tinguished

flavors

(S. Morgan)

Heavy
and

fertilizers

cream

Pace

preside,

Ideological Global War
He

ice

College

Paul's

Manufacturer

nrpdlo

Pace Collegej founded
College' j

cere¬

St.

(J. Hungerford)

Department
,,hh

Pace

Pacej

tion,

Tel.:

Smith

116 col¬

participat¬

Semicentennial

1.25

tools

Chemical

Dean

the
the

the

Corp.

Smith Agric.

Dean

Richard

Baruch
*
Baruch School of ^ igo6
School of
Homer St. Clair
Business and Public Administra- and charles Ashford

Chapel of Trinity Parish, the old¬
est church in New York City.

Castings'

Portable

Saxe
Saxe,

Professor

Matthews, Chairman of the Ac¬
counting, Finance and Manage¬

delegates

and representatives from

4.4

market

Sivyer Steel Casting Co
Skil

College, Dr. DrUcker and Dr.

Litchfield.

ceremonies

College's

5.3

papeis

City Stock Yards

Iowa

College in New York
Saturday, Oct. 6 at Con-

Mr.

Operating public utility

Paper

Pace

Sierra Pacific Power__

Simplex

Pace

vocation

Malting Co.
and

Doctor

from

store

Brewing

Repplier, President
Council, will
honorary degree of

Advertising

receive

City

Seattle

"Ranier"

5.3

the

the morning sym¬

on,
"Man and Manage¬
ment," will be: Dr. John V. Walsh,
Professor
pf Social
Sciences at

to-People Program, and Senator Margaret C. Smith.

refrig¬

Sibley, Lindsay & Curr Co.__

Co., Inc.

posium

Honorary degrees to be awarded by Pace College include
Advertising Council President Repplier, recently appointed
by President Eisenhower as Chairman of International People-

tion
Paymts. to *
June jO, Jjne 30,

eration

; Shuron Optical Co

F. Noyes

Speakers

Cash Divs.

Chairman of the Board of Charles

College Awards Degrees

etc

record.
•

;
.'

6.9

Upon completion of the offering

York Security Dealers Association

and the retirement of the two ma¬

,•

turing issues, the Banks will have

$966,000,000 note obligations out¬

Continued q% page

Members New

standing.

DIgby 4-6320

42 Broadway, N. Y.

The Commercial and Financial Chronicle

(1452)

reference
'

address smacked

which

technique of
painting pictures to entrance tomed. This seems
the public which then was not Townsend one better.

supposed to inquire too close¬
ly "about the practicality of
what

being said
ferentially promised.
was

But

not

Mr.

that

sters

in- would

suggesting that

Stevenson

Gov¬

have the Federal

ment

ment?

doubt

secutive

that

June

Quotation

Approx.
Based on

June 30,

Paymts. to
June 30,

1956

30,

1956

Standard
of

govern¬

Fire

New

Quite

Insurance

Co.

Jersey

Diversified

2.50

541/2

4.6

4.00

651/2

6.1

0<60

II1/2

6.9

*13

2.40

391/2

6.1

481/2

insurance

Standard Screw Co

ernment take under its wing.
likely the candidate himself
palm this year must At the other end of the age has no clear notion what he
scale are the youngsters who meant to
go to Adlai Stevenson on the
say—that is in con¬
record to date. He is supposed need education.-They are not crete terms.
to

12Mos.to

Divs. Paid

Screws

But the

tion."

Extras for

Years Cash

govern¬

it.

% Yield

Including
Cash Divs.
No. Con-

five

plans drawn by
and directed by

year

Biggest in the World

play the

sedulous ape and set

only the old¬

page

Ths Great Qver-The-Sounler Market-

regardless of need
say that
our
output, say of steel, is
the scale of living to
much
greater than that of
they have been accus¬ some other people?
Is he
merely to be able to

tinue

Franklin

from

for

market

them, and

See

Roosevelt's

Continued

without

establishments

ether

Continued from first page

Thursday, October 4#

...

and

machine

screw

products

Stange (Wrri. J.) Co.___
Pood

colorings

and

seasonings

Stanley Home Products,
(Nonvoting)

And
then
Mr.
Stevenson
they
apostle of "modera¬ always getting it as
if he still believes should, but he would be naive would catch votes
by suggest¬
moderation governs to¬ indeed who supposed that the
ing that we in part at least
an

but

Brushes and

„

Inc.

mops

Stanley Works
for

f2.55

'31

1.50

3.6

0.70

15%

4.4

6.00

277

*34

Hardware

thinking, he certainly educational failure on the adopt the suggestion of the
and
cease
to
test
manages to keep his idea to part of this country is a mat¬ Kremlin
himself. For weeks now he ter of inadequate
buildings large atomic devices — even
has
been
out
Harrimaning and equipment, or for that though the Russians are
Harriman in the lengths to matter lack of funds devoted
busily engaged in just such
which he goes in radical New to it. But even as to such mat¬
practices. We must have larg¬
day's

2.20

f 0.09

1.60

8.0

0.20

0.8

0.40

6.2

0.20

4.2

3.00

3.8

10.59

2.1

f L235

4.1

1.60

-25%

6.2

1.20

19%

State Loan & Finance Corp._
Loans

and

Southern

5.2

building trades, etc.

State Bank of Albany

finance

business.

states

Dealish

promises

ters

every¬

these

where

—

body but the successful busi¬ undoubtedly does exist
ness

businessman.

ample

make the
a

two

Stevenson

ex¬

trouble

the

other

not

explain
such

Mr.

said:

men

the

and

must

things rather

and

without

not

suggested, I
it

assert

have

propose

boldly,

date

InT

Democratic

apparently

any

candi¬

would

pour

suddenly

this

matter

really

—

tion.

out

plenty,

enabled

should be

person

maintain,

when

life's

living.

the

earn

the

nation

paign

vote

are

getting

harder

and

different. But the

some

suggestion

ways

that

government

principle is business, labor and all the rest
goal." of us "cooperate" to increase
"production" in this country

the same, and so is the

Burdens

for

the

Taxpayer
Now if this

means

rate which would

maintenance of

anything

at all in the realm of the
prac¬

another

the

whereby the aged

means

may

con¬

said

the

Russia

and

our

the

ensure

lead

other

over
com¬

Candidate

now.

1952

not

was

free

this

are

warranted for all that

merely

accepting

"normal"
or
"necessary" or
harmless? The voters could if

sake?

poured

Are

goods

factories

out

be
and

much

doubt

serious and

real

get

polls.

much

equipment

& Sons, Inc

textiles

Dies

and

fabrics

Stonega Coke & Coal Co
Coal

and

timber

Stouffer. Corp.
Restaurant

whenever

Writing

ical

voter

would

have

and

statesmanship

and

demagoguery. 'Tis a
consummation
devoutly to be
wished.

Also

Wholesale

Madison, Wis. Branch
Co.

has opened a

the

Trading Markets

Tenney

management
Also

Retail Distribute

associated

fice

will

Prior to

Mr.

STRADER and COMPANY, INC.

TWX

LY 77

with

Edward

the

new

was

Co., Inc.

with

Allyn

and

thereto

for¬

Company, Inc. and
with

was

Emerich & Co. and

was

Dayton & Gernon.

1.00

2.00

1.60

311/2

5.1

*21

2.15

24%

8.7

"1 ?

4.0

distributor

hose

Local

bus

(rubber

4.8

and

cotton

products

Tappan Stove Co
Gas

10.0

operator

Tampax, Inc.

ranges

ties

Taylor &
Grey

and

alloy

1.70

5.2

0.80

7.3

2.15

4.0

5.00

121

4.1

0.75

19
*48

poles

Fenn

iron

Taylor-Colquitt Co.

castings

Taylor Instrument Cos.
Mfr.

scientific

Tecumseh

instruments

Products

Corp

Refrigeration compressors,

etc.

Tenn., Ala. & Georgia Ry. Co.

ID/4

6.6

f0.77

5.9

11.00

141

7.8

Freight carrier

Terre

Malleable

Haute

Manufacturing Corp.
Iron

castings

Terry Steam Turbine Co
Turbines

and

reduction

Texas Natl. Bank

gears

*32

2.50

(Houston).

3.4

1.00

15%

6.3

Textiles, Inc.
Makes

cotton

Thalhimer

yarn

-—;

/i_

Brothers, Inc

*10

0.60

6.0

26.00

300

8.7

gf7.43

380

1.9

1.00

2.8

department store

Carbon

carbon

black

Third Natl. Bank in Nashville
Third National Bank & Trust
Co.

(Dayton)

—/—

Third National Bank & Trust
Co.

Springfield

2.35

5.2

*15

1.25

191/2

6.4

2.00

7.4

3.00

5.2

fO.42

10y4

4.1

(Mass.)

Thomaston Mills...
Wide

range

cotton

products

Thomson Electric Welder Co.
Electric

300

welding machines

Adams

Chicago

Thrifty

Drug

California

Ames,

Details

Adjusted

partner

Building, Inc..

office

tires

small

1.20

1.4

of¬

Gernon.

was

Syracuse Transit Corp.

Blair, Rollins

Mr. Gernon

300

the

Dale.

joining Cruttenden & Co.

Dale

prior
—

under

Charles

4.30

Co.

plastic)

merly local representative for A.
C.

LYNCHBURG, VIRGINIA

6.2

food

Rubber

Manufactures

branch office in

Building

19;

business

Super Valu Stores, Inc

"Thermax"

MADISON, Wis.—Cruttenden &

Utility Stocks

annuity

large

Thermatomic

Crutt^nden & Co. Ooens

chem¬

products;

distributor

gas

Richmond

Municipal Bonds and Corporate

Corp

metal

Sun Life Assurance

Swan

•.

refinery/equipment

Propane

Life.

paper

Suburban Propane Gas Corp.

greater opportunity to

punish

Co..

Paper

Fabricated

the

preparing to go to
In /that event the

reward

Securities

chain

Strathmore

helpful discussion

issues

individual

heating

(J. L.)

Railroad

5-2527

1.7

boxes

and

Engineering-..

and

Miscellaneous

the

—

3.7

Lithograph
....

Cotton

quackery, either. But

nation

ID 39

5'%

items

Stonecutter Mills Corp., CI. B

Eisenhower

sort

Local Industrial &

associated

packets

Aircraft

begin¬

munist nations. Just what the

own

and

Struthers Wells

they would put an end to this
tical, it is that the taxpayer candidate is
talking about, we type of affront to their intel¬
of- this
"country be further are at a loss to know. Is
And if they would
pro¬ ligence.
burdened to provide in one duction to
be sought for its only do so, we should without
way

equipt.

Stifel

find.

can

of the Stevenson
programs or

that he;

as many causes

days' living in five. We have proposals is the one in which ning, this sort of campaigning
is certainly not new to Ameri¬
more
recently established it he expresses grave uneasiness
—in terms of
lest the communist world out¬ can politics. Many others have
'paid vacations'
and 'paid
holidays'—so far as produce us at some time in indulged in it in other years,
and Mr. Stevenson is not by
the year is concerned.
Putting the dim and distant future,
a lifetime's work on this
basis and comes forward with the any means alone in it right
is

Manufacturing Co.__

Steel Products

mean

thinks

Possibly the most fantastic

seven

(Richmond,

Stecher-fTrailng

end to

Trs.

•

Most Fantastic

long ago accepted this
principle so far as the week
concerned.

■■■/,

"We

funds

Trusts (Richmond).

Manufactures concrete block mak¬

Labels,

standard of

bas'c

Stearns

does he

and

regular duties are com¬
pleted; his or her accustomed

belief, that, in this

of abundance in this land

age
of

with

Corp.

if elected to put
compulsory military
for these purposes with
typi¬ service? For our part, it is dif¬
cal
New
Deal
nonchalance. ficult for us to
escape the sus¬
More promises to more peo¬
picion that he is interested
ple! This hardly seems the primarily in espousing for the
role of a disciple of modera- duration of the
election cam-]

article

merce

interested

1956

Trusts and changed
Planters Bank of

Va.)

why is the Democratic candi¬
date

them.

the

event

January

Commerce &

ing

attended

already
that we

2.2

Trust

State Planters Bank of Com¬

reason—but.

ditionally in this country have

"First,

State

name

"obsolete."?
are
many who object
draft in peace time—

the

Commerce &

becoming

There
to

Bank

(Richmond)

Merged

armed

take

Planters

Co.

our

why

than local authorities who tra¬

day

numbers

State

forces, but let's end the
draft—which is "inefficient",

—

Government

undertake

policy statements,

Stevenson

dees

Federal

point. In the first of

series of

Mr.

ierve

will

need

State Natl. Bank of El Paso_

g Certain

building

Stores

drug

not

store

complete

for

stock

stocks

chain
as

possible

dividends, splits,

were

distriouiecl

■{

longer

record,

etc.

dividends

kind.

-1

1956

184

Volume

Number 5574

(1453)

The Commercial and Financial Chronicle

...

Continued

The Great Over-The-Counter Market-

from, first

tance..

page

Inexpensive

planes, flivvers

World in 1976

Approx.

Cash Divs.

Extras for
12Mos.to

tion

Years Cash

June 30,
1956

Divs. Paid

Co.

1.00

0.40

2.2

(Ky.)____

"Life,"

suits,

Men's

Tinnerman Products,

*10

1.75

23V2

7.4

Inc

1.75

5.6

Title

and

Title

St.

5.5

„

fl-44

31%

4.6

0.90

15V2

5.8

insurance

Meat packer

v:y -'

Toledo

1.20

f2.70

3.0

Trust

—

3.8

Mfg.

wheels

Tower

ian butuco

ana

1.00

blower

machinery,

Manufactures

Building

* \

Corp

0.50

39
...

11
50

.1.20

(Hartford)

8.2

f0.925

r__

24$

2.00

3.2

Sterling silver tableware

Towmotor
)

Corp..

Fork-lift truck

Wire

Townsend

18%

6.4

products

Travelers Ins. Co.

accident, health

Life,

1.00

Universal
Copripany

0.25

Co;

1.16

Tfwin City Fire Insurance Co. *30

0.60

Elec. Lt. & Pwr. ■

Tucson Gas

are

decrease

increase

costs,

ine,

produc¬

and

people.

The

tremendous

plasitics,

make

ceramics,

categories

goods and services available

can

array

imag¬

new

lubricants and

substances

Continued

transition

almost

meet

that

page

it?

Virginia
West

Virginia

North Carolina
it's

many

Scott, Horner & Mason, Inc.

of course,
imponder¬

with

Lynchburg, Virginia

regard

stick

proceed to

for

Corporate Stocks and Bonds
Unlisted Securities

Municipal Bonds

neck

Clutches

insurance

and

4.2

3.3

4.00

4.4

0.85

14%

5.8

roll

10%

0.60

display and storage
equipment
—

1.90

——

1.90

4.1

(L. A.)

*31

fl-40

1.00

6.3

—

Bank & Trust

Union

Manufacturing
Metal

Union

waste

New

Exchanges

Trading markets in

England Bank, Utility and Industrial Stocks

5.5

1.30

*31

tropical parts of the globe where
the sun's energy is immense but
where underdeveloped nations

3.7

cannot afford

Boston
Teletype: BS 338

CHICAGO
SAN

PHILADELPHIA

New

Lowell

•

New Bedford

England

Newport

•

FRANCISCO

Branches:

Providence

•

Springfield

•

Taunton

fully to utilize pres¬

III

Continued
i

Street,

ent-day fuels and power sources.

stock dividends, splits, etc.,
Including predecessors.

t AdjustecUfor

Federal

Liberty 2-6200

NEW YORK

of sun rays will be
harnessed and in
use.
It will prove of

energy

special value to tropical and semi-

possible longer record.

and for the

industry

Solaij Energy
The

Pitts¬

complete

low-cost

Telephone:

worldwide

3.00

burgh
♦Details not

1865

poles

Bank

for

effectively

Natl.

Atomic bat¬

fact.

energy

Manufacturing

distribution

experimentally
a

based

American Slock

into

home.

and castings

Co.
Power

Founded

Members New York, Boston, Midwest and

3.8

Co.—

Business stationery

Union Bank of Commerce

Union

Kidder, Peabody & Co.

principle already

products
from nuclear reactors
and
operating for many
years
without
recharging, will supply

4.5

Inc

hoists,

atomic energy
a

teries,

5.6

Steel

Chucks,

—

demonstrated

v 19

in¬

practical state of

RCA—will be

(Cleveland)

electricity

coverings

Tyler Refrigeration Corp

relatively

from

brought to

conversion

moldings

rubber

fuel

peace-time usefulness, not only for
industry
but for
planes,
ships,
trains
and
automobiles.
Direct

footwear,

Rubber

extract

2.8

27%

gears

Rubber

Nuclear Energy

expensive materials, thus making
this
power
both
plentiful
and
economical.
Nuclear energy will
be

Clutch Co.___

Twin Disc

warn,

atomic

and gas utility

Electric

Diversified

im¬

2.1

770

22.00

Trust Co. of Georgia-

Union

saddles

Bicycle

Uarco,

will

order of their

We will have learned to

Troxel^Manufacturing

tailored

specifications man

2.8

fl.68

Diversified insurance

and

any

making the following 20
predictions forthe 20 years ahead.

4.9

59%

materials

Insurance

Trinity

Tyer

crescendo under

accessories

Auto

Materials

Chemistry will make spectacu¬
lar strides in providing ever new

next 20 years.

their relative

hardly

there

out

' 3.25 -*■ 65%

Trico Products Corp._

need

1.4

73%

leisure.

to
the social and political prospects
—that
may
retard some of my
expectations. On the other hand,
they may advance them. I To a
large extent this will depend on
the courage, character and com¬
petence
of Our leadership. But
those are the hazards of prophecy.

1.5
..

Co.___

the

ables—especially

•

increase

and

within

that

Chicago theatre-apartment bldg.

Towle Mfg.

are

portance.

list them in the

labor

85th birthday party
all cordially invited

you

appearance* or

"./

pumps

Torrington

;

5.4

Corp..

Gasoline

in¬

In fact, I have already been

Tokheim

will

vi¬

still

Every item on my list could
provide the substance of a long
speech. Indeed, I have made some
of those speeches in recent years.
But I shall limit myself to capsule
summaries. I have not attempted

Co.

Trust

Tobin Packing Co
:*

30%

■

Angeles)

(Los
Title

1.70

insurance

Insurance

Automation

Well, let us consider 20 major
developments likely to affect all

Louis

Title

5.1

2.40

a48

Corp.

tion,

work.

employment, reduce hours

in¬

to attend.

insurance

Insurance

the accuracy of our

around

promised

Min¬

nesota
Title

check

rods

Co.

Insurance

arbitrary

hazardous

tion will reach

present tonight—myself in¬

sion.

and bronze

Brass

Title

other

power.

this

take

years.

cluded—will

Titan Metal Mfg. Co

and

distances,

Already well launched, automa¬

mail

vast

over

oceans.

the impact of cheap and abundant

those

5.7

17V,

1.00

Nuts".

"Speed

century, I
they will

of time because, we can hope
that, "with a little bit of luck" all

"Time,"

etc.

coats,

last

that

guided missiles

4.0

"Sports Illustrated"

Timely Clothes, Inc.—

transport

last 50 years,

span

"Fortune"

advanced;

eclipsed by the events of the next

74*4

3.00

the

even

convinced

loans

Publishers

that have filled the

1.8

Time, Inc.—

1956

silverware

and

Finance

Personal

June 30,

19§6

*12

Tiffany &
Jewelry

Jun%30,

crease

far

resolutely bypass the temptation. freight
I shall
ask you
instead to join
cluding
me
in
peering into the future.
However impressive the events

Paymts. to

if-

Time

Based

Quota-

secutive

and

will

problems of adjust¬
ultimately it will free
people from arduous

.but

millions

aircraft for passenger service will

% Yield

Including
No. Con-

create

ment

will
Automatically piloted

fill the air.

Biggest in the World

will

personal

of the skies,

page

Communications

■

Television,

Growing with New England's Industry

full

colors,

will

completely global, so that man
will be able not only to speak and
hear all around this planet but to
see
the entire world in natural
colors.
Individuals will be able
be

hold

in NEW ENGLAND

private two-way conver¬

sations, and see each other

asl they

regardless of the distances
separating them.
Moreover, the
beginnings will have been made
in the automatic and instantane¬
talk,

ous

'Distribution

translation

for

than 100 YEARS

languages, en¬

people to understand one
another at once across the bar¬

abling

riers of

Babel.
IV

Transportation

Estabrook & Co.
15 STATE STREET,

Jet-propulsion and rocket-type
For latest

travel

Annual Report

write

-■

«*■
,

and

NEW
727

ENGLAND

GAS

Massachusetts Avenue

AND

ELECTRIC ASSOCIATION
Cambridge 39, Massachusetts

The

speeds as

greater-safety
comfort than today's aircraft.
world's leading cities will be

miles

hour with

apart, many of them
within commuting dis¬

only** hours

virtually

BOSTON

Byoston Telephone LAfayette 3-2400

fuels, will
high as 5,000

vehicles, using nuclear

Boston

New York

^itlartford

Teletype BS-288

Poughkeepsie

Members New York and Boston

Providence

Springfield

Stock Exchanges

The Commercial and Financial Chronicle

(1454)

Continued

from,

products. Thus all the food need¬
ed by all the people of the world
will be become available, despite
the fact that the population will
continue to grow. These develop¬

page

Woxld in 1976
'i

have

yet

■

available for personal
trial

bocome

enable

eliminated

and indus¬

famine

will

ments

will

name

parts

all

the

world.
x

■

emerging

now

research

"cold

laboratories,
into being startling new types of
illumination.
It will change the
of
our
factories,
stores,
highways
and
Provioing light
without

appearance

streets,
homes.
heat
its

control

easy

and

volume

for

shadow,

be subject to

will

glow

nuances

without

almost

and

color

to suit any taste or

decor.

Being light without glare, it will
eliminate many of the perils of
give

will

the

wall.

Computers
The

electronic

era

compu¬

already begun, will reach
fruition.
Recording and account¬
ing will be taken over by robots,
ters,

freeing for other work the great
majority
of
the
nine
million
Americans now engaged in cler¬
ical

tasks.

industrial

Business

procedures,
operations
and fiscal

data will be

gathered and analyzed

automatically.

New products will,
have their per¬

Home

ized.

The

dream

will

home

chores

real¬

day's

tronic

contaminating matter. Elec¬
appliances
will
do
the

cooking and the dishwashing, and
will dispose of waste.
Fortunate¬
ly,

shall
eating.

own

continue

ficient

use

electronic

irri¬

ef¬

energy, the
acceleration of germi¬

nation and growth, as well as new
chemical
and
biological discov¬

eries

will

kind's
same

greatly

food

oceans

"farmed"

man¬

resources.

time the

ficiently

expand
will

for

the

ef¬

nutritive

follies,

and

the

of a restive, discontendpopulation.
These pressures
increase

with

the

rise

make

months

and

even

perfected,;

but

and

ways

verting

dissipating

storms

intensity,
from

s!s

even

di¬

destructive
'v **

far

where

assurance.

rors

and

New

England

and

representative

Union

Wire

The

shape

prestige
of
as

2.25

3.8-

0.80

56%

1.4,

f 1.53

1.00

gas

and

social

its

the

problems

1.60

3.6

1.20

2 J V2

5.8

1.30

5.4

2.60

531/2

4.9

1.10

12%

8.5.

Markets, Inc._ *10

0.20

2.5.

wire,

wire rope

jMachaie tools, misc. equipment
Illuminating Co._
Connecticut

United

operating

Printers &

Public

Massachusetts

United

retail

States

chain

Cold

Car-icing, ice,

Envelope Co.
and

cups

envelopes,

other paper

7.3

21%

4.6

3.5,

paper

2.00

57%

*46

1.00

4.2,

0.90

6.4

*48

0.45

fl.90

{•2.44

721/2

3.4

2.00

4.0.

*12

0.75

12%

6.1

f0.75

201/4

3.7

3.50

104

3.4

1.20

6.0

102

f3.30

693/4

4.7

0.75

8.6

1.20

21%

5.7

4.2

insurance

Fire

Insurance

insurance

gold,

{•1.00

products

Fiaelity & Guaranty Co.

Diversified

2.40

etc.

Manufacturer

Lumber

Holding
eral

Society..

silver,

diamonds

States

National

S. Natl. Bank

and

8.0

min¬

Bank

Denver

Potash

used

(Portland).

Co
in

chemicals

3.1'

and

fertilizers

Radium

Luminous

Corp

equipment

Shoe

Corp

Women's footwear

United

States

Testing Co....

Research and

tests textiles, soaps,

oils

The equation of the technical
developments already listed will

page

land

company,

interests

United

Social¬

Storage

Corp.

will be intensified.

Continued

utility

Publ., Inc.

Greeting cards

United

er¬

ism is stripped of its popular ap¬
peals, the dynamics of a people's
capitalism within
a
democratic
framework

Md._____

Corp.!

United

will

and

incompatible

freedom.

3.6

6.6

slings

Lends

increasingly appar¬
rapidly developing world
of
technology.
It will be more
generally realized that centralized
economy

43%
15

arid''watches

Marxist

limitations

Co.__

United Drill & Tool

human

United States Loan

become

1356

service

Ro:>e

Manufactures

will

govern¬

bus

Trust Co.

Living Standards

tread with

ori

30j

A &

Railway

Union

dealt

can

1956

June

Corp.(

Gas

natural

Street

Diversified

ent in

Paymts.

Planters National

Truck Lines

(Del.)

Inter-city motor carrier

U.S.

Trust Co. (N.

United

Steel

Wire

and

United

it's been

oil

have

mainly
with technological progress.
It is
area

for power

XIV

decline

tion

June 50,
1*56

50,

___

and

Bank of Memphis

ment.

state

them

Thus

way

Basea

prouuction

•

will

means

be displaced by a military dicta¬
torship which in turn will give

with

course.

some

struggles

icebound will

now

and

hurricane

nal

icebergs rapidly
Progress will have been

melted.
made

weather

control

Ports

unfrozen

Crude

and

people.

Practical

solution

major steps will have been taken
desired.

solar

for

ahead

years

Oil

Louisiana, class

People's Capitalism

only will the prediction of

weather

Union

pressures

The

Climate

Not

Striking developments
gation and flood control,

its political

our

XII

weight of its economic falla¬

own

June

Quota¬

Natl. Bank of Youngs-

town, Ohio

Union

Within the next 20 years Soviet
Communism
will collapse
under

a^ir will be purged of bacteria and
other

Union

cies,

12 Mos. to

Uws. Paid

f '/

xiii

the be found
by the free world to
with pierce the Iron Curtain and
bring
each of the tasks performed elec¬
home to the Russian people the
tronically. The temperature, hu¬ facts and the truth.
The Soviet
midify and velocity of the air in empire will fall
apart as one satel¬
each part of' the home will
be lite after another attains its own
automatically kept at the desired liberation. The Communist hier¬
levels
days and night, and the
archy will destroy itself by inter¬

models.

Food

secutUe

% Yield

Extras for

Years Cash

Communism

the

Approx.

Including

our

will be pre-scheduled,

predicted by computers,
removing the need for building

High¬
speed writing and reading will be
as 'familiar
as
high-speed arith¬
metic is today.

sense

spread of education amongst their

formance

working

Cash Divs.

men.

;/>

housewife's

The

all-automatic

for the most part,

actual

race

good

„

No. Con-

social
affected by
But

deeply

ultimate

the

will
The

all—human conduct
story.

are

accelerated

home

VIII

the

and

pictures, and ultimately re¬
place the TV tube altogether with
a
thin, flat-surface screen that
will be hung
like a picture on

where the most unpredict¬

force of

Biggest in the World

opments in the social and political
areas,

page

Thursday, October 4, 1956

The Great Qver-The-Counter Market-

thcf same degree
with respect to devel¬

physical environment
greatiy influences human

furnish diseasehealth-sustaining
rate, es¬
pecially in meeting the physical
problems of old age.
Man's life
span
will be further extended,
probably within hailing distance
of the century mark.
chemistry

controlling

drugs

from

changes in

now

treatment of human ills. Bio¬

and

and flying. It will
brighter and bigger

night driving
also

abroad.

and

developing
whicn
between
biology, chemistry and
.conduct. ■
physics, applying the new tools of
So I venture to go on with the
electronics and atomics, will bring
an avalanche of
improvements in listing, perhaps in an overly op¬
timistic spirit, yet with faith in
preventive
medicine,
diagnosis
The

from the
will bring

ties

Continued

labora¬

research

had

assurance

sciences

Health

Electroluminescence

light,"

wish

I
of

home

--tells

VII

Light

tories

the

'in

cerned

able

uses.

Electronic

things to come already can be dis¬

...

metal

Y.)

Wire Co.____
specialties

Utilities, Inc

Holding company

Universal Match
Matches

•

and

HEALTHY GROWTH

Manufacturer
multifocal
and

fl.14

0.05

1.50

candy

Univis Lens Co..
and

distributor

opthalmic

lens

1.2

blanks

glass frames

eye

UPSON

(THE)

Exterior

and

CO.

interior

fibre

6.4

11%

8.3

wall-

board
•

See

Company's advertisement

Manufactures

wire

page

46.

g0.30

0.8

*22

1.10

3.5

1.30

4.3

0.95

Upson-Walton (The)

0.20

3.1

f3.25

42%

7.6

tackle

rope,

blocks and rope fittings

Utah

Construction

General

healthy growth in

with sound

any category

ingredients. The growth

requires
at

Utah

lot of effort

Disaster

ing

revenues

are

—

insurance

Refining

marketing

petroleum

products

Utility Appliance Corp

principle is sound because

have increased 336%. Dividends

100%, while

Insurance

Utah Oil Refining Co

11 years since its
organization, has been
the principle of good service.

We know that this

Fire

"Home

Company

Indiana Gas & Water

Co., Inc., in these
built upon

contracting

our customers

our

Air
conditioning equipment
heating gas ranges

operat¬

stockholders

and

Valley Mould & Iron Corp.__
Ingot moulds

have increased 64%.

and

stools

Valley National Bank of

Indiana Gas & Water

Co., Inc. is serving approximately
99,000 natural gas customers in 60 cities and towns in

Indiana, each with

economy

based

We shall be
so

happy

ill

that you can see our

send

you a copy

our

Makes

Bondholders

York

New

521/2

5-1

Corp._

25.00

516

4.8

1.35

5.2

*40

5.00

851/4

5.9

0.60

City real estate

"healthy growth" record for yourself
Rotary

pumps

Virginia Coal & Iron Co
Owns
and

|2.67

counting devices'

Victoria

annual report

5.7

heating systems

Veedor-Root, Inc.

industry diversity.

3.3

agricultural-

2.50

on an

t0.98

22
Car

coal

soft

land

Virginia

Kentucky

666
Tools

INDIANA

GAS

WATER

COMPANY, INC.

and

Details

not

complete

t Adjusted for stock
g

Plus

two

•

6.7

plastics

held.-

as to possible longer
dividends, splits, etc.

Permanente

Cement

record,
common

for

each

100

Volume 184

Number 5574

The Commercial and Financial Chronicle

...

Biggest in the World

World in 1976

Cash Divs.
No. Con-

Extras for

secutive

12 Mos. to
June

Divs. Paid

Quota-

Based

tive
usher

tion

Paymts. to

June 30,

1956

30,

1956

State

Life

_____

Non-participatir

-Ingot moulds

1.00

124

0.8

Vulcan Mold & Iron Co._____
and

plugs

fO-54

13%

1.00

most

the

not

0.94

19%

Warehouse & Terminals Corp.

0.13

6.5 "

2.75

2.00

45%

Warren

(S. D.)

Printing

Co._

Washburn

Wire

Wire and

springs

Washington
Life,

Co,__

Washington
r
Company
Title

Paints

and

Cotton

Coast

2.00

0.90

;13

6.9

Steel

and

9.00

275

3.3

Natural

Gas

0.S5

13%

1.00

1.20
!

5.1

17%

6.8

-m'-

0.85

*33

2.50

water

programs

cess

1.20

16%

7.2

marine,
casualty

aviation,

1.40

28%

4.9 ^

1.15

28%

4.0

f2,355

2.9

INCORPORATED

SECURITIES

INVESTMENT
225

EAST

MASON

ST.,

MILWAUKEE

NEW YORK STOCK EXCHANGE

MEMBERS

MIDWEST STOCK EXCHANGE

Government

of unprecedented
ac¬
information, public opinion

element

decisive

become

and

auto

tew

will embrace every¬

political life of nations. Pre¬
vailing sentiment on any issue
will be
quickly and accurately
registered by electronic means.
Government and people will thus
be brought into closer correlation,
so
that popular government and
democratic processes will tend to

Western Assurance Co.

(Toronto)

home.

and recorded

Underwtiters
Dealers

in the

and

(N. Y.)

the

live

Because

4.9

insurance

Fire,

both

—

XVIII

ice
Diversified

form of art and every
entertainment
will
be

accessible

5.2

Virginia Water Service
retails

OVER-THE-COUNTER ISSUES

;

before. The range and variety

will

gas;

and

16%

Westchester Fire Ins.

arts

thing created by the human mind.

hold¬

Mfg. Co

Wholesale
>

the

promote

tative talents will be greater than

Textile manufacturing

West

•

and

tunities for creative and interpre¬

company

West Point

;

and

for

be available by television,
the phonograph and elec¬
tronic photography.
The oppor¬

5.6

utility

operating

radio,

7.2

fO.77

Foundry

West Penn Power Co
Both

■■

de-

utility

gas

hum¬

thanks for aU

—will

utility

alloy castings

Ohio

en-

technicians,

scientists,

This

will

readily

manufacturer

Steel

profound

opportu¬
my

that the years have brought.

The

eyes.

and

publicly

Wisconsin

mounting

Every
type of

products

Mich.

seem

express

XVII

6.4

*12

Inc

Disinfecting

his

and

Distributors

Municipal and Corporation Securities

effective.

XIX

Western

Casualty
Companv

Surety
18

rifl.ll

Multiple line, fire & casualty and
fidelity and surety bonus

Western

Electric

Makes

equipment

Western

Co.___

27%V

Universal

for A. T.

Life Insurance

War

4.0

3.60

2.00

106

1.2

Participating & non-participating

Western

Light & Tel.-

Supplies electric,
telephone servi';0

Western

1.75

Massachusetts

Holding company for
ing electric utility

leave

32%

5.4

Cos._

2.20

39%

5.5

ton

Real
of

Estate

will

an¬

National

CLEVELAND 14

disarmament

effective inspection, con¬
War as an

trol and

City E. 6th Building

find

Teletype CV 443

Telephone PR 1-1571

CV 444

enforcement.

instrument of international policy

Bos¬

will

outlawed.

form

Investment

Trust

Stockholders

America.

ceived

Trust

Estate

Real

survival

notions

Corporation

Member Midwest Stock Exchange

altern¬

Bos¬

with

1956

Ground Rent Trust and

ton

All

practical means for
based

Western Real Estate Trustees
Merged in June

between

nihilation.

the

The First Cleveland

it imperative to develop and adopt

operat¬

that

doubt

ative

and

water

gas,

and

speedy transportation will shrink
the
world
to
a
neighborhood.
Technological
developments
in
weapons of mass destruction will

3.8

Co.-

communications

eight shares for each

Specialists in

re¬

Science and

one

Religion

held.

Weyerhaeuser Timber Co.
'.Manufacture

sale

and

*24

fl.09

products

Cable

Corp

0.80

13%

6.0

2.30

46%

4.9

.Manufacturer of automotive cable
products

Whitaker
.

Papetf

White

products

cordage

Manufac¬

Co.

1.00

20%

4.9

Cement

2.9

1.40

6.4

1.00

14%

6.9

O.60

14%

4.5

Whitney Natl. Bk. (New Or.)

4.00

295

1.4

Wichita Union Stockyards

5.00

6.7

.Manufacturer of Portland cement

Whitin

Machine

Textile

Works

machinery

Whiting Corp.
Cranes, hoists, foundry equipment

Whitney

Blake

Insulated

wires

Kansas

not

cables

operator

Details

Co
and

OHIO, KENTUCKY and WEST VIRGINIA

upsurge

Listed and Unlisted Stocks and Bonds

Municipal Bonds of all Types
CINCINNATI

t
n

Adjusted

complete

for stock

begets

humility.

—

Distributors

Its

discovery
reveals
more
clearly the Divine design in na¬
ture, the remarkable harmony in
all things* from the infinitesimal
to the infinite, that surpasses mor¬
tal understanding.
The physical
processes and laws of the universe
are
logical, all-embracing and
wholly dependable. They imply a
S u p r e m e
Architect, and
the
beauty and symmetry of His han¬
diwork inspire reverence.
of man,

ative

Current yearly dividend rate is $1.20.

Continued

WHEELING

man.

It may

to*possible longer record,

dividends, splits, etc.

CHARLESTON

HAMILTON

Members New York Stock

page

moral

Cincinnati Stock Exchange

322-326

WALNUT STREET

CINCINNATI

be that the imperfection

too, is a part of that cre¬

symphony.
The seed
of
perfection has been plant¬

Exchange

American Stock Exch. (Assoc.)

ATHENS

DAYTON

every

f 1.58

Science

Manufac¬

turing

and

Underwriters

Social stationery & greeting cardm

Whitehall

and

Wyckoff

turing
7

Paper

cynicism
will

Whitaker

reaction

against current
materialism, there
of spiritual
vitality. The gradual elimination
of physical hungers will deepen
the more elemental hunger for
faith and salvation, for age-old
values beyond the material and
temporal that gnaws at the heart

2.7

forest

Phone—MAin 1-0560
Direct Private

v..

Golden An¬

the

Entertainment

102

Telephone Co.

Sanitation

before

future

on my

enlarge educational facil-

ever

West

only

climate

designers,

•"

working machinery

public

skilled

others.

Talent

Operating

out

the

\
j

30.6

-.4

contract

gathering

niversary gives

sciences.

5.50

goods

Electronic

ities

Insurance

Mills,

bit

harvest of

development of
and
individual

talents

tend to

producer

Wells-Gardner Co

ing

8.3'

glass

Wellington

West

0.9

metal

of uni-

mand for mental competence

Watson-Standard: Co.

West

2.00

this

the

rich

have reaped across the years. And

hope, be

excursion

It is not given to many

reap

friendship and appreciation

century

men

who

man

Highly-geared technology
put a premium on brains:

special
genius.

and

0.60

from

f
|

favorable

will

6.6

Title

Not

intellectual

gineers,

insurance

Makes

30%

Waterbury-Farrell Foundry.

West

2.00

health

gas

spread

will

the

ever

and

Crude oil and

2.6
"

Insur¬

Washington Oil Co
;

48
.

(Evanston, 111.)

accident

1.25

half

survived

can

National

Co.

ance

& allied products

papers

down

ble

will

but

4.4

Paving contractor

climb

nity to

general levels of knowledge rise,

Co.__

must

heights where not only the past,

period

education.

versal

5.4

Sand, gravel and lime products

Bros.

enter

and ~

generosity

your

deeply moved

scarcely find words to match my

forgiven for

economic
expanding leisure,

and

will

man

blueprint of the Supreme

labor in any field will, I

use

My friends, I

phase

but

by-product

progress

storage

Warner Co.____
Warren

has

Education

4.8
As

outdoor

beneficent

carrying out

that lofty eminence.

the

but

years, is challenging-—exciting—
and promising.

emotions.

leisure.

1.9

parts

and

labor

the

But

XVI

Manufacturing Co. of
'Wisconsin

Warehouses

and

Walker
Auto

role in

as I see it, that awaits us
the horizon of the next 20

over

Architect*

world.

the

over

use

intelligent

all

pressing problems will

'
,

attained

The

4.1

Wachovia Bank & Trust

(Winston-Salem)

eco¬

covering so much of the earth
will recede, and levels of wellbeing without past parallel will

only

•

now

Insur-

Co.

relative

era

abundance.

Slowly
but
surely the waters of wretchedness

ance

nomic

world,

Thus, man is given a posi¬

% Yield

Years Cash

istence.

Apprax.

Including

Volunteer

ed in man, but it has been left to
him to nurture it to full flower
in the harsh soil of mortal ex¬

Continued from page 50

The Qreat Gver-The-Gounler Market-

(1455)

OHIO

Teletype—CI 585, CI 232

Wire to Francis I. da Pont & Co.

The Commercial and Financial

(1456)

Continued

from,

parable because capacity is higher

page

than

annual

tons

Industry

capacity

of Jan.

32,000,000 net tons this quarter. In Sep¬
tember ingot production was ap¬
proximately
The record

distributed

kwh.,

Steel

and

the

ating rate of steel companies hav¬
ing 96.1% of the steelmaking
at

Oct.

average

the

for

ca¬

1, 1956,

000 of ingot

vious

equivalent

with

week

The

above the

6.9%

ago.

production

annual

tons

capacity

rate

week

month

98.7% and

was

creased

ago

the

produc¬

weekly

production

placed at 2,334,000 tons
The

operating

rate

not

Sept. 22, 1956 in¬

1,589 cars

0.2%

above

American

Railroads

re¬

turned

week

Last

for

the

week

ended

Sept. 22, 1956, totaled 822,255 cars,

industry

the

week's

above

week

last

Candles

were assembled.
the agency reported

week

13,085 trucks made in
the United States. This compared

0.55

f 1.36

28%

0.40

(Del.) Trust Co. 7 48

8.00

192

4.2

*31

0.85

3.1

0.70

1.2

1.28

25%

4.9

2.75

6.5

0.45

11%

3.8

1.85

5.9

Co., Inc..

(The)

Wilmington
Winters

(J. B.)

toilet

Natl.

Bank

plants

built

1,740

National
Co.

surance

CO.,

NEW

Life

Wisconsin Power & Light
Electricity

Wiser

supplier

Oil

Crude

Compan3r

oil

and

natural

gas

WJR

The

Goodwill

Station

(Detroit, Mich)
Detroit

broadcaster,

Woodward
Speed

Governor Co.____

controls

for

(engines

County

Trust

Milk

Sheet

York

trucks.

Eased

Failures

steel

and

Open-end Telephone Wire
York—CAnal

6-1613

Bell

System

Teletype—BS

Providence, R. I.—Enterprise 2904

Hartford,

to New

dipped

ures

ended

York

Past Week

251

Sept.

preceding

York

from

the

week

262

Dun

week,

2-5500

142

6800

Brad-

above
and
Despite this in¬

192

ago

below the prewar level

were

1954.

year

from 1955 and 1954, failures

All

MARKETS

the

week's

decrease

oc¬

failures with liabil¬
ities
of
$5,0C0
or
more
which
dipped to 215 from 228 last week,

but continued to exceed the 155 of
this

size

with

ures

LIFE INSURANCE STOCKS

edged

excess

curred

SO.

LA SALLE

Licorice

4.1

1.20

32%

3.7

f0.27

4.5

4.50

8.0

0.75

3.4

0.40

12.3

0.70

15%

4.5

1.9

utility

and stores

camps
x

for tobacco

paste

Youngstown Steel Car Corp._
Railroad

Yuba

and

cars

Consol.

California

equipment

Fields___

Gold

gold dredger

Zeigler Coal & Coke Co
Owns

mines

Illinois

from

Zonolite Co.
Fire

0.075

building materials

proof

VVWUVVUUVUWUUVHUWHUUWHUWWHV

TABLE II

the

OVER-THE-COUNTER

com¬

Liabilities

$100,000

of the week's

Continued

and

Kentucky

were

Consecutive Cash

in¬
fail¬

STREET

public

Young (J. S.) Co.

for

page

PAYERS

DIVIDEND

In all

2.00

*13

Co.„l

Water

against 22 a week ago.
|
industry and trade groups
except wholesaling, tolls declined
slightly. ;The
wholesaling
toll
edged to 25 from 24. Business
ures

WM. H. TEGTMEYER & CO.

7.2

liabilities under $5,000,

previous week and 31 in the

Write for Circulars

17%[

utility

Small fail¬

ago.

year

parable week of 1955.

CHICAGO SANK STOCKS

1,25

wholesale plumb¬

public

Operating

curred among

TRADING

6.1

plate

Operates hotels,

of 264 in the similar week ih 1939.

ACTIVE

4.0

Yosemite Park & Curry Co._

the

considerably

186 occurring a

crease

Portland, Maine—Enterprise 2904

Conn.—Enterprise

remained

toll

the
the

Boston—HUbbard

65%

2.75

County Gas Co

Operating

Slightly

street, Inc., seated., However, the
New

2.65

Corrugating Co

York

Street, Boston 9, Massachusetts

Co.

Wyatt Metal & Boiler Works

Commercial and industrial fail¬

and

propellers

ing and heating supplies

Business

B.
MAGUIRE & CO., INC.

pro¬

duction

Metal stamping,

The

5.5

In¬

parable 1955 week 4,942 cars and

YORK

4.8

Life, health and accident

cars

CORRESPONDENT

KIDDER

Trust

811
BOSTON

Co.__

(Mass.)

1,156 trucks and for the com¬

6.6

articles

(Da.yton)
Wisconsin

Worcester

the

6.2

safety,

1,164
week

etc.

refrigeration,

output last week was

and
previous

1956

beeswax

Manufactures

14,170 in the previous week
and 23,058 a year ago.
cars

1956

*16

and

Williams

with

2,720

Paymts. to
June 30,

1.00

welding,

were

30,

Supplies for industrial

and

cars

tion

June

Maple and cherry furniture

rose

previous week

115,723

year

23,058 trucks

and

NEW ENGLAND SECURITIES

the

by 2,197 cars, while truck output
declined by 1,085 vehicles during
the week.
In the corresponding

Dominion

STOCKS

output

car

that

trucks.

and INDUSTRIAL

1956

Co._J

Willett (Consider H.), Inc.___

assem¬

37,849
cars,
35,652 (revised)
week. The past

Canadian

UTILITY

June 30,

Based

Williams ,&

the

compared

placed
MARKETS

12 Mos.to

Divs. Paid

Will & Baumer Candle

estimated

there

Loadings

com¬

PRIMARY

manufac¬

of 1957 models.

bled

Quota-

secutive

construction

the

% Yield

Extras for

Years Cash

latest week

car

Approx.

Including

panded somewhat from that of the

Last

ports.

was

96.7%.

Cash Divs.

No. Con-

Sept. 28, 1956, according to

Last

freight far

preceding week,' the Associa¬

tion

tion 2,429,000 tons. A year ago the

actual

revenue

the week ended

of Jan. 1, 1956.

For the like
the

Loadings of

128,363,090

Biggest in the World

"Ward's Automotive Reports," ex¬

preceding week

Thursday, October 4, 1955

in Latest Week

output for the

ended

page

1957 Models

Preceding Week

rate for the weeks in 1956 is based
on

com¬

from

...

The Great Qver-The-Counter Market-

corre¬

with
previous
000 kwh. over the like week in week's production total of cars and
trucks amounted to 50,934 units,
1954.
or an increase of 1,112 units ahead
Car Loadings in Week Ended
of the preceding week's output,
states "Ward's."
Sept. 22 Lifted Mildly Above

2,495,-

101.6%

industry's ingot

As Car Makers Turned

Car

the pre¬

parable 1955 week and 2,207,000,-

of ca¬
pacity, and 2,502,000 tons (revised)
a

week; it increased 738,030,-

kwh.

000

and steel for castings

compared

fell 117,000,-

that

under

kwh.

Continued

1955
112,040

U. S. Car Output Shows Mild

turers

Institute.

Electric

Edison

000

101.4% of
beginning

week

decrease below the week
1956, according to

This v/eek's output

pacity for the entire industry will
be

11,365,000,000

ended Sept. 22,

Institute announced that the oper¬

-capacity

estimated

was

above the
in 1954.

week

the

cars

increase

V Expansion

energy

electric light
and power industry for the week
ended
Saturday, Sept. 29, 1956,

10,500,000 net tens.
10,924,788 net tons
Iron

electric

8,535

corresponding

15.8%

•

was

American

and

cars,

Mild

the

week

Previous Week

amount

The

in March.
The

increase

above

sponding

Registered

Electric Output

record

125,828,310

1, 1955.

Decline in the

rates—probably

per¬

centage figures for 1955 are based

The State of Trade
And

The

1955.

capacity

Chronicle

10 YEARS

CHICAGO 3, ILLINOIS
Phone

wnuuuvuvwwunwnHUUvvvuuwHUHVi

Teletype

Financial 6-2363

CG 625

timely

Cash Divs.

No. Con-

Extras for

secutive

12 Mos.'to

Years Cash

BEFORE

Approx.
% Yield
Based on

Including

investment suggestion
DECIDING

Divs. Paid

June

Quotation

June 30,

Paymts. to
June 30,

1956

30,

1956

get the booklet-prospectus and
record

Firm

Markets In

from

your

this

Mutual

Alabama

Fund

Tennessee

Natural

Gas Co.

investment dealer "i

f0.98

19%

5.0

Pipe line

Alexander Hamilton Institute

WASHINGTON

Inc.

TELEVISION-;

SECURITIES

ELECTRONICS
Direct Private

our

Alpha

Loeb, Rhoades & Co.,

New York

1.00

9.1

executive

0.70

'18%

3.8

19%

2.4

training

gas

FUND, INC.
Carl M.

Allied Gas Co
Natural

Wire to

„

Courses

Beta

Food

Markets,

Inc.

California

Correspondent

super

markets

fO.465

■■

American

Television Shores
ESTABLISHED

American

Southern

EXCHANGE

DISTRIBUTORS

DEALERS

Chicago 3, III.

American

Bell

Teletype: WA 28, WA 95 & WA 509

f0.99

3.8
|

Mart

Name

0.25

23%

1.1

Hospital

Supply—

American-Marietta Co

3.5

1.20

4.0

1.10

51%

2.1

Paints, varnishes, enamel,
lacquers, etc.
-

1.40

insurance

Large variety of hospital supplies

—

J^City-State

Assurance

Diversified

| Address

Home

Corp.

115 Broadway, New York 6, N.Y. |

American

Branch Office:
Alexandria, Va.

Chicago real estate
135 S. La Salle St.,

Building, Washington 5, D. C.

Telephone: STerling 3-3130

Furniture

Corporation

MEMBERS

UNDERWRITERS

Logging and lumbering

Johnston, Lemon & Co.
STOCK

Products

Corp.

1920

Management Corp.

PHILADELPHIA-BALTIMORE

Forest

Details

not

complete

possible longer record,
t Adjusted for stock dividends, splits, etc.
as

} H7~1

{•;*«

Volume 184

Number 5574

The Commercial and Financial Chronicle

...

Continued

The Great Over-The-Counter MarketApprox.

Including

% Yield

No. Con-

Extras for

secutive

12Mos.to

Divs. Paid

June

Quota-

Based

And

Paymts. to

June 30,

1956

American

1.10

4.6

0.70

insurance

4.7

Spring

7-3

18%

1.35

Holly,

Inc.

0.70

10.4

1.15

21%

5.3

„___

Springs and

0.15

6.3

wire forms

American Vitrified Products.
pipe, bricks,

tile

Mechanical

Atlanta

bags

0.40

3.3

;

Atlantic
\

.•

0.20

27/8

demand
other

1.25

0.50

7.4

Slightly

14%

3.4

4.0

12.00

tO-92

23%

3.9

(Milton)

0.55

14%

3.8

0.80

15 %

5.2

toys

public

week

6.50,

apartment houses

0,20

Forgings

6.4

1.05

supporting factor

0.70

0.90

Cascades

0.95

6.8

0.50

Eases

7.0

•-

0.82

Corp._^

0.18

4.8

wheat

7.1

Wall

foundry

■

0.40

10.0

Lancaster

0.70

all

8.2

0.80

5.3

6.00

6.1

0.25

0.40

1.50

Freightways,

0.30

Lines,

and

9.6

fO.75

Motor

had

Coach

1.25

28%

4.4

0.75

6.2

10.00

225

4.4

1.00

5.0

tubes

manufacturer

Details

not

MT.

650

SYSTEM

WIRE

RAPIDS

CLEMENS

COAST TO

COAST
T rading

Retail

Unlisted

Trading Department
Our extensive

private wire system enables us

;

give prompt and efficient service on buying

selling orders, whether in the listed or un-

listed

market.

This

offices not

connects-all

system

with

only with

one

our

another but with other

trading houses. We invite your inquiries.

A. G. Becker & Co.

complete

for stock

tfye

>
•Cities

corn

the Canadian Wheat
suspended, until fur¬
Provinces

Canadian

average

and

soybean
of

grain

the

Daily

Stifel, Nicolaus & Co., Inc.

Chicago Board

increased

last

week

SINCE 1890

still held'fair to
Business in adver¬
tised family flours spurted laie in
the week prior to a price advance
of 20 cents per cwt., with most
buyers covering for 90 to 120 days.
Butter prices continued to
edge
upward with all grades meeting
with
good demand and present
volume of arrivals clearing satis¬
factorily.
Egg prices trended
most

possible

longer

buyers

lower

this

record,

week

and

YEARS OF INVESTMENT
BANKING

CHICAGp

ST. LOUIS 2

•

slow

consumer

de¬

105 W. ADAMS

STREET '

314 N.

BROADWAY

mand.
"

Coffee

Continued

reflecting heavy

dividends, splits, etc.

San Francisco 4

Other

And

Russ Building

Broadway

New York 4

Chicago 3 '

of corn in
Northwest.

Illinois

120 So. La Salle St.

large balances.

hotel

t Adjusted

GRAND

3-5700

TELETYPE

notice, shipments of rye from

receipts
•

MILWAUKEE

TELEPHONE

active

the

ports.

4.7

bus service

Craddock-Terry Shoe Corp._
Shoe

STREET

3, ILLINOIS

ANdover

53,000,000 bushels, from 44,700,000
the previous week and compared
with 65,500,000 a year ago.

4.3

••

Cosmopolitan Realty Co
Denver

SALLE

CITY

Bookings of all types of bakery
were
very slow last week

Cooper Tire & Rubber Co.__
Tires

EXCHANGE

flours

Inc.

Kentucky

STOCK

EXCHANGE (ASSOCIATE)

5
"

85%

Trade

week

drying
except the

futures

_•

Continental

Board

•

SOUTH

PRIVATE

and

were

prices fluctuated er¬
finished sharply

purchases

4.6

of band

lithographing

y* Motor freight'

MIDWEST

•

STOCK

the lack of mois¬

Lakehead

Connohio, Inc.
Warehousing

last

and

Western

■

♦___

and

areas

ther

5.3

bus

(Pa.)

Printers, Inc.

Consolidated

corn

reports that
__

instruments'

and

Unlisted Securities

reported safe from frost.
Rye showed considerable firmness
at times with bying stimulated by

utility

manufacturer

1- Printing

crop was

Telephone

•

Connecticut

movements

the

reflecting increased new
offerings and slow demand.

About

(G. C.), Ltd.__

Top

week

advances.

maturing

County

service

Favorable weather stimulated

hotel

Pa.,

AMERICAN

YORK

week ago, the
commodity price

lower,

1.6

crop

Conestoga Transportation Co.

Inc.

1.40

(Dallas, Pa.)

York,

Conn

Cash

4.8

ratically

Community Hotel Co. (Pa.)_

16y2

0.80

Products, Inc

public

EXCHANGE

•

CHICAGO

hot

financing

Operating

Listed

STOCK

EXCHANGE

ing is being delayed by unusually
and dry wheather conditions.

7.0

machines

Commercial Banking Corp.

Co.

INCORPORATED

Co._'_

Commonwealth

ago.

page

ture in the Southwest where seed¬

18y2

1.30

coverings

Dealer

YORK

STOCK

four-and-a-half

barley the only grains

and

largely based

foil

Color-Craft

Strength in the bread cereal was,

Trencher Co

Foil

notice¬

year

with 299.28

price

record

2.50

"Kentucky Derby"

Aluminum

irregular

very

Churchill Downs, Inc._____^_

Cochran

was

Preceding Week

peak about

Grain

excavating

of food

previous and with 279.45 on
corresponding date last year.

2.6

1.00

and

reaching

This compared

12.4

basis

Trench

that

Continued

week

Brokers

NEW

MEMBERS

DETROIT

index, compiled by Dun & Bradstreet, Inc., turned slightly down¬
ward to close at 299.25 on Sept. 25.

Equipment

Railway equipment
(malleable)

above

Slightly From 4%-Year

After

Cleveland

the general trend

5.8

___

Railway

Retail trade

gen¬

34%

blankets

Woolen

■

7y8

Manufacturing Co.,

Chicago

meats

chief function

2.00

royalty

the past week.

substantially and

ably

123,200

sum

daily wholesale

Class

its

the

3.3

Central Coal & Coke

Chatham

rose

Straus, Blosser & M«Dowell

pound of 31

4y2

per

Underwriters

KANSAS

0.15

Cedar Point Field Trust, ctfs.
Texas oil wells
/
'

mines

parel, furniture and major appli¬

the

ances

any

encouraged consumer
Fall and Winter ap¬

prices at the wholesale level.

fabrics

oats, coifee,

& Co

buying

the week ended

last

cost

represents

price

and

to show

year

Plywood-.;

entering

for

Ago

Cool weather and extensive sales

promotions

was a

*>'

largest

the

Year

index,

lambs.

use

bicycle

lining,

coated

Sept. 14 were reported at

and

price

rye,

corn,

index

Peak

(L. E.)

Entries during

Above

and

Weather
Rose

Wholesale Commodity Price Index

Plywood Corp

i Leases

were

foodstuffs and

1.3

Manufactures

weeks,

wholesale

eral

records

Corp

Carpenter

raw

etc.

tires,

cotton

were

The

2.4

Capitol Records, Inc

brake

which

government loan.

Cooler

$6.28.

total of the

5.8

Paper & board, lumber, turpentine

tubes,

beginning of
in
April
than 3,815,000

Promotions

in¬

the rate

was

Sales

markets.

volume.

good

Retail Trade Volume the Past Week

were

DETROIT

5.5

etc.

radiators,

Manufacturing

Inner

and

trading

program

Week

recent

food

•

Corp.____

Camp Manufacturing Co., Inc.

hogs

prices

week

NEW

Parts for commercial refrigeration

Carlisle

spot

bales.

good

Buying by trade interests

Central

mild

eggs, currants and

Corp

Phonograph

last

price

102

Buchanan Steel Products

Bush

cotton

flour, wheat, barley,
beef, hams, bellies, butter, sugar,
cocoa, steers and hogs.
Lower in

IkL

Inc.

Greenhouses,

Higher

utility

Brooklyn Garden Apartments,

Burnham

wholesale

level

Brooklyn Borough Gas Co.
Operating

amounted

was a

for

creased in most spot

compiled by Dun & Bradstreet,
Inc., advanced to $6.08 on Sept. 25,
as
against $6.06 the preceding
week. The latest figure is still 3.2%
below the corresponding year-ago

hotel

insurance

Games and

Brooklyn

300

Past

the

down movement of
the

Ridge Insurance Co

Bradley

the

Continuing

Benjamin Franklin Hotel Co.

Diversified

Pur¬

since the

export

Aided

firmer

bales,

Pumps, tanks and valves

Blue

receipts

continued

the

States.

and boring mills

Bell & Gossett Co

Philadelphia

North

the

Wholesale Food Price Index Rose

Bausch Machine Tool Co._

East

reported

Domestic

in 1955 in the Middle

and

through

bales.

from 336,400 the preced¬

trade

hog products.

States.

twice

about

hog

western markets. There

6.8

repair machinery

Drills

Pacific

and

were

numerous as

Paper Co

Auto-Soler
Shoe

systems

conveyor

Cartons and

Casualties

light

paratively

nine

Central

South

Co.

bales,

crop,

332,300

cotton

Total sales

Sewer

Anchor Steel & Conveyor

1956-57

expectations. Lard finished slight¬
ly higher, aided by some steadi¬
ness
in vegetable oils and com¬

hand, failures in the East
North Central, West North Cen¬
tral, West South Central, and in
the
Mountain
States,
advanced
moderately. More businesses
failed than last year in all areas
except the New England, East

wool

American

service.

Accra

chases

ing week and 293,000 in the corre¬
sponding week last year. Export

construction,
re¬
manufacturing
from
last year in

the

main

date

pointing to a production of 205,000
tons, or somewhat less than trade

other

American Rock Wool Corp.
Mineral

Five

brought

season

markets last week reached 354,000

new

major geo¬
graphic regions reported mild de¬
clines during the week.
On the

In-

Co.

surance

Diversified

Fire

National

This

season.

that

even

commercial

loans

American

and

declined

and

Corp.
Small

mained

Finance

National

trade

this

total entries for the

by the first official estimate of the

casualties exceeded the 1955 level
in

far

a waterfront strike.

Cocoa developed a stronger un¬
dertone Influenced to some extent

Industry

tion

June 30,

30,

roaster demand and the diminish¬

page

ing prospect of

Biggest in the World
Years Cash

from

The State of Trade

Cash Divs.

(1457)

page

easier

prices

were

the result of a

somewhat
let-up in

Isf

(1458)

The Commercial and Financial Chronicle

tenance rate would produce about

Railroad Securities

able

By GERALD D. McKEEVER

some

this

1953 figure of 1.36 cents. The nationwide
revenue
per
ton-mile
was «1.37 cents in 1955.

July, the Gulf, Mobile & Ohio did
relatively, well in that generally
poor month this year.

Road

did

better

neighbor,
fellow

the

In fact, this

than

Illinois

sufferer

its

Central,

from

wage increases granted

Mississippi River barge competition, although the larger road
made

better

earlier

showing

months

that

jnonth performance

its

the-up,

seven

the

Central

nation's

This

major

does

Gulf,
all

not

Mobile

affected

coal

Ohio

one

carriers,
that

mean

Bituminous

represented

freight

the

not

by the level of steel

operations.
coke

which

revenues

road suffered

coal

and

3.45% of total
in 1955 and this
decline in this

some

traffic during

both strikes in the
Birmingham mills this year. Prior
to

the

industry-wide strike there
the sympathetic strike against
the U. S. Steel plants in this dis-

was

trict

beginning

support of
of

R.,

Iron

late

April

walkout of employees
Tennessee
Coal
&
Iron

the

ore,

U. S. Steel captive line,
which represented only

1% of 1955

is of less im-

revenues

somewhat
this

business has

ore

used

disappointing,

not

direct

Birmingham
such

route

from

area

the lines of the

and

the

and

these

roads

Chicago

area,

one

reason

river

was

view

1954

that

had

has

Not

could

ore

increase

fect

last

ports
for

that
thus

first

the

Gulf,
of

the

went

resented

little

efficient

rail

the

ton-

gross

train

hour

for

new

first

gross

seven

against

months

33.9%

for

this
the

year

corre-

and 34% for

expenditures
and

earnings.

for

debt

retirement

for

the

cent

common

extra

reduced

additions

$4 to $4%

re-

trend

and

for

betterments

the

first

and

new and used

first

seven

current

than

months

finances

for

continued

total

dollar

the

mount

were

and

strong,

Bituminous

volume

re-

period ended

Air

Inc.

debit of

million annuhire account in recent
A step to meet this situa-

years.

tion is

car

in the road's recent
order for 600

seen

million

freight

Restaurant

Portland

Dunham

lnTr„,

£ following per-

road

requiring patience.
in

growth

The

Oil

velopments as the location of 78
new" industries in 1955 and the
expansion

the

that of the similar period

aff°*

year

Buyers boosted their
textiles and Fal1
chases

orders for

apparel, but

household

pur-

furnishings

fel1 somewhat.

erosion

country-wide basis
the

the

Federal

Reserve

sales

taken from
Board's

dex for the week
ended

in-

Sept. 22,

6.1

Trucking
1.00

16%

2.10

5.8

1.00

2.0

0.50

airline

0.25

3.1

0.40

12%

3.0

catering

and

oil

the

period

last

year

week,
Sept.
increase of 4% was

ported.

City

increase

15,
re-

For the period Jan.

1, 1956 to Sept. 22, 1956

gain of

past

period

New

serve

Board's

1956,
of

according

the

Federal

index,

department

15%

period

above

last

For

the

was

period Jan.
1956

the

3.7

9.5

f0.39

50%

0.8

0.60

5*4

11.4

minerals

0.15

3.5

0.40

4.4

1.00

17%

5.7

0.55

6.3

0.40

1.00

2.25

(Louis) Realty Co.
real estate

Cold

Storage

Chicago cold storage

(R. E.) Co

Sheller and
,

packer of
almonds

nuts and

Lumber

products

•

parts

20%

4.8

2.3

distributor

Germantown

Fire

Insurance

Company
Disaster

5.7

Genuine Parts Co
Auto

pecans, wal-

Gamble Brothers, Inc

insurance
•<

0.425

1.00

4.0

tl-16

2.17

Grace Natl. Bank of New York

6.00

266

2.2

Great

Co_

2.00

5.4

Green Mountain Power Corp.

f0.90

16%

5.6

3.00

6.6

0.675

12%

5.5

0.40

4.2

0.70

10%

6.5

5.9

and

distributor

4.5

products

7 7

Pumps, Inc
and

water

insurance

employees

systems

Employees Ins. Co

Auto

for

Government

only

Lakes

Steamship

Freighters

Public

utility,

electric

and

gaB

Vermont

Greene Cananea Copper Co._
Copper production

Greenwich

Gas

Mexico

supplier

clips,

rivets

and

Hagerstown Gas Co
supplier

gas

Haytian American Sugar Co.,
S.

i2.00

Hibernia Bank (San Fran.)—

3.00

86%

3.5

0.25

4.0

f0.74

16%

4.5

Sugar

production

Finance

Group, Inc.—

Holding company—auto financing

Hubinger Co.
Corn

refining

Hudson Pulp
Class A
Kraft

those
In

year.

four

ending Sept. 22, 1956,
4%

preceding week, Sept. 15, 1956
an increase of 5% (revised) was
recorded.

1.25

work

Transit

Market

Funsten

Re-

New York City for

increased

the

4.9

0.95

and

York City

observers.

Gloves

due in the main

weather,

According

fl.17

Home

year ago,

cooler

3.3

Iron

Wo£kh bus service

Natural

week,, advanced

Fownes Brothers & Co

Studs,

estimated 4 to 6% above the like

Bank

Gregory industries, Inc

Retail sales volume in New
York

0.70

77 7

Natl.

metal

Worth

Fort

Mineral

Chemicals

Fort

Gas

re®istered above that

City the

Ornamental

Foote

For the four weeks ended

was recorded.

Corp

of Trenton

Flour

6.1

products

Sign & Signal Corp.

Signaling apparatus

Govt.

preceding

1956,

Gordon Foods, Inc

Industry

refining

production

First-Mechanics

elsewhere

1956, increased 8% above those of

DePartment store

2.6

Oil

Resistor

Electronic

registered.
1,

1956

index recorded

increase

Sept.

22,

rise of

4% above that of the
correspond-

3.7

0.60

14%

4.0

0.35

4.4

5.00

production

Inter-County Title Guarantee
Mortgage
Title
*

105

4.8

insurance

Details

not

complete

possible longer

record,

t Adjusted

for stock dividends, splits, etc
special dividend payment of $3 was
The yield shown here is
computed on the

h A

lLess

Limestone Co.__

Limestone

basis.

1.26

papers

Coke

Indiana

the

ing period in 1955.

•

tissue

weeks

For

and

& Paper Corp.,

Indiana Gas & Chemical
Corp.

the

;

36%

cement

State

Federal

has had to contend

weekly period ended Sept. 22,

exceeded

f0.96

and

Manufacturer

™.ere. 7/ ,f"ght "Se in Store sales in
wholesa,e trade the Past week, the
and vo,ume moderately

3.5.

existing
ones
effective in offsetting

— be

-f-8 and Pacific Coast —3 to
-f-1%.

7.4

production

Erie

territory,*■ it

has shown good growth
itself until
the last two
years, and such de¬

+3 I 7
X*5
South-, trade

+7,..Middle West and
west +5 to +9; Northwest -f4

heating appliances

Fulton

esti-

6.00

0.60

;

carrier.

(C. A.)

Steam

•

2.6

Corp...

Dewey Portland Cement Co.

rack

situation

'*:X

6.3

Coal

Lines, Inc

Friedman

short, it now appears
Gulf, Mobile & Ohio is a

" 7'

Dobbs Houses, Inc

cars

1.4

fO.42

Inc.—

consisting of 250 box cars, 100
covered
hoppers and 250 wood
cars.

coal

Motor common

about $1.9

ally in its

7 6.8
'

6§

0.60

,.v.

Chicago

Co.,

Duni &

Regional

„

transport

Denver

the

longer run some savings
be effected by the acquisition
additional rolling stock. The
Gulf, Mobile & Ohio has had a net
may

f0.90

Veneer, lumber and wood products

Delta Air

showing

!hanStaWyeakr ago.Ve- 4% Was
1955.
by

cur-

July 31 this year
little change from the
figures of the same date of 1955.

6.5

Bardelebon

Also

with total cash items and
net
rent assets as of

Sept. 22, 1956,

limited.

Dean

h3.60

..-'77'.

overcoats

Display equipment '

Crude

1955.

remain

the

June 30,'.

Equity Oil Co

less

auto-

engines

gas

were

$530,000

June 30,

Darling (L. A.) Co

food

±,',£af£.+? t2;+J2'' S?uih
wTi
7c

1.29

from

.'Suits

seven

Curlee Clothing Co

Goulds

tv?

ren-

concession

and

about

the

trade

-mcc

million

latter

Diesel

Empire

one-

mates varied from the
comparable

this

against

which

Operating public utility

months this year may be
projected
for the full year. In this
period,
these capital
expenditures

—

Bradstreet,

Revenues

months

Cumberland Gas Corp..

"Gulf"

expenditures

1956

Cummins Engine Co.

property

improvement,
mind, it would seem
that there might be some
leeway

30,

0.60

Paymts. to

1956

„

With this in

that this road
the main-'with.

per

preciation, amortization and other
non-cash charges but less
capital

much

year 1955. A reduction of

Earned net cash flow
is, in effect,
the sum of net income and
de-

that the

revenues

cording to estimates

ef-

been
pat even on the
existed prior to this

1954,

econo-

in the past decade.

freight
into

least

far.

seven

cents

most

made

34.4%

tail

wepa/«h^f7TSei'oJU-rth4ur ^ion
in the
average revenue personmile to 1.25
cents

road

rate

stand

that

true

ef-

freight

The

probably

make

t?n^frnmPTvri!iVnri bargC
the way to
Chicago^has
unable to
rates

seems

improvement,

measure

per

mobiles

basis, the Gulf, MoOhio, flanked by cut-rate

all

the

dealer inventories

annual

can

(period of time

Mobile

Purchases of

wS^ppeafto bTtomt

bile

way

short

radical

1954

partly accounted for by the
drop in passenger revenue. While

around

the

much

centers.

where

picture.

not

this

new

The State oi Trade and

year totalled $48,097,000 as
against
$48,257,000 for the corresponding1955
period, although this decline

crlase

$4.50

for

Mobile &
visible evidence

from

March,

issued

the

that

than

something

unless

into

comes

better

result

when bad weather
conditions prevailed in many Eastern
business

1955

sharing in the higher level

benefit

much

1956

divi-

June

Based

tion

1956

Manufacturer of domestic gas

Quota-

appliances

Pumps

amounted

under

having to continue to
concessions, the Gulf,

rate

$4.75

the

Cribben & Sexton Co,

the

common

12Mos.to

Divs. Paid

Years Cash

as indicated above.

any

this point that

covered

Continued from page 53

of traffic
enjoyed by the northern
and eastern roads and

year

the

—-

this

the

out,

iron

Ohio has given

basis

for

flow"

dend by only
$778,388, or less than
the supposed decline in net on the

the

$700,000
shipments

year

turned

12%

some

figure,

seven

and that year's "net

cash

$2.50 per share total

against

the

only $804,485, and the
tonnage

was

this

com-

first

about

which

from

revenue

$1.95 per

the

that of 1955,
earned

corresponding 1955
period. Earnings for the full year
1955
were
$5.92
per
common
share, and it thus looks doubtful

through and from Mobile did not
begin until the month of April.
As

for

half percentage
point

from

revenue

sizable

any

spending !955 period

road's

gain,
expectation
of

against

the

forecast

the

million

1954

months

the

lasi

disappointing

tact

mentioning
source

amounted

$3.40

quite
the

report

$1%

Ohio
mon

was

t °9M to°444144°tot^last year.
444,144ions
yearS
This

However, there could be the
possibility of bolstering earnings
by paring maintenance moderately. The road's maintenance rate

another, the

Mobile

Earnings of the Gulf, Mobile &

roads

lro^,°-re !ra^c
iyo4

roads

high of
74,279 in 1955, representing one
of the widest
gains among class I

however, but

subject to the low rate
competition on this run.

make

miles

relatively favorable position to
compete for the haul to the mills

could

Gulf,

efficiency

better

operations in the country. For instance, the overall freight service

the

position to compete for this haul
Gulf, Mobile & Ohio is in a

For

Ohio

the

one

The

in the

bound

part of the increase "stick," even
if this and other southern roads
decided to go along.

Nashville,, this
a

coming

Ohio, fully
dieselized since 1949, is
phvsically

Mobile

are

The

Southern

Louisville

problem

that

room

item, there was quite a
pick-up from the dumping of imported ore at Mobile.
However,
the line of the
Gulf, Mobile &
is

increases

wage

% Yield

Extras for

secutive

doubt

is reflecting this doubt. Even at
$5 per common share, the 1956 net
would be about $860,000 less than

another

and, furthermore, there is

incon-

With

Approx.

Including

rate,

ac-

the petition for a
increase which has been filed by
the northern, eastern and western
roads, and based on recent exp^rience
there
is
considerable
dobbt

Cash Divs.

question

and the current price of about 31
for Gulf, Mobile & Ohio common

an-

join in
15% freight rate

mies

siderable

Ohio

the

fected

The road's iron

While

certain

portance.
been

$550,000.

aggravated;
The Southern
have thus far declined to

was more sat-

isfactory.
The Gulf,
Mobile
&
Ohio was naturally less affected
by the July steel strike than the
Illinois

other
round

so,
considerable
still surround the

of the payment of the 50 cent
per
share extra again this year in addition to the regular $2.00

in 1955 at

$3.5 million annually and the
companying payroll taxes at

low-rate

moder¬

No. Con-

would

Meanwhile, the road places the

big

Biggest in the World

realiz¬

factor

ately.
Even

small increase in gross

estimated

Another

year.

that traffic has picked

Gulf, Mobile & Ohio
a

have

Thursday, October 4, 1956

The Great Over-The-Counier Market-

dicated level of 1956
revenues, and
this could make the $5 per share
that

With

Continued from page

$400,000 or around 40 cents per
share after tax at the
presently in¬

...

Haytian withholding tax.

paid

company's

Oct.

1955.

15c quarterly

Volume 184

Number 5574

...

The Commercial and Financial Chronicle

(1459)

The Great Over-The-Gounter Market-

Biggest in the World
e€ash Divs.

No. Con-

Extras for

Quota-

12 Mos. to

Years Cash

June

Divs. Paid

Based

Publishing

technical

30,

1956

publishing

The Long Island

0.20~"

and

32y2

home

Baking

bread

Interstate

and

parts

and

23%

3.9

0.80

10%

7.8

Interstate Motor Freight
System

1.00

13 y2

1.85

29%

Heintz, Inc.__

Precision

$23.07

0.80

10%

3.00

7.4

Steel

Corp

Pacific

0.80

7.0

33%

Kansas City

Structural Steel

0.75

Service

Organization

station

Paper

plates,

...

3.7

1.30

1.175

plastic

' 5.3

9.3

Manufactures

cement

•

1.55

0.09

32 y8

Cotton

seed

products

Real, estate

France

■'

.♦

■

0.10

0.6

,•

■'

tiguous

170

'*'C

Natl.

Lakeside

Bk.

(Chicago)

Laboratories, Inc.

Pharmaceutical

■{.

2.4

32%

1.80

food

chain

0.60

4.4

northern

•

y.'.

the

num

Corp

and

"Auto-Lok"

awning

aluminum

dows

construction

and

0.60

main-

''"

12%

1.45

j'Heavy duty trucks; mining equip„

33y4

3.2

were
was

•

•>

4.4

Maryland
Corp.

Credit

Auto

1.75

i--v—

fO.29

7.0

financing

Maxson

(W.

L.)

Corp

apparatus

McNeil Machine & Engineer-

32%

1.30

Corp.____
1

Strip metal

Metals

Disintegrating Co._

Metal

1.6

glass

0.52

2.88

1.8

accident

Name

2.10

5.7

and

Co. of Missouri

Mode O'Day
Women's

chain

"~~

Hardware

1.00

apparel

6.7

•;

Produces

3.1

0.50

5.9

mills,

0.90

Manufacturers

National

1.05

gas

crude

Oil

and

1.50

0.95

3.5

;

5.9

9
oil

ENGLAND

1.05

4.6

field

GAS

Company's advertisement

•

Details

not

complete

1.00

the

pe¬

years,

Advance Petroleum

General Gas

American Window Glass

General Minerals

Southern Union Gds

Aztec Oil & Gas

Griggs Equipment, Inc.

Southwestern Natural Gas

Beaver

Gulf Interstate Gas

Stan Can Uranium

Lodge Oil

Life Insurance

Canodlan-Delhi
Petroleum

Tekoii

A Gas

Texas National Petroleum

Ray McDermott

Pan American

Three States Natural tw

Sulphur

Western Natural Got

Pubco Petroleum

FrigikarCorp.

Westbrook

Sabre Pinon Corp.

Fritz Glitsch & Sons

Thompson

White Canyon

■

Mining Co.

White Eagle Oil

Seismograph Services

General American Oil

Corp.

Texas Industries

Lone Star Steel

Federal Uranium

Sterling Oil of Okla.

of Mo.

Lisbon Uranium

Delhi-Taylor Oil

CALL

South Shore Oil

Corp.

SOUTHWESTERN
SI < III III S IIHI AN V
Mercantile Commerce Building
FORT

WORTH

Riverside 5471

•

MIDLAND

Dallas, Texas

•

LUFKIN

ODESSA

HOUSTON

We Maintain Trading

Positions in

Aztec

Western

Oil

Gas

Company

constructed

the

will

17*4

5:7

page

loans

record..

Continued

;,*

used

of the

Delhi-Taylor Oil Corp.
General Minerals Corp.

Southern

Union

Gas

Company
Service

Electric

Southwestern

Co.

Southwestern Financial Corp.
Texas

Industries, Inc.

Texas National Petroleum

Company

sale.

the offering

finance
new

additional

Three

Natural Gas Company

States

the

con¬

plant and to

working

RAUSCHER, PIERCE & CO., INC.
Member

cap¬

Midwest Stock Exchange

New York Stock Exchange

ment

research

American

MERCANTILE

Stock

BANK

Exchange

BLDG.

•

(Associate)

DALLAS 1, TEXAS

program

and

develop¬

initiated by The
Company in
operates its own plant

Laboratories

Elmore, Ohio,

leased plant

Cleveland, Ohio, and

ment

page

Co.

stock, together
from $3,000,000 of
recently
arranged,

the

Electric

Louisiana

near

ital.

49.

longer

Central

pro¬

Commodity

commercial

for

Canadian Delhi Petroleum, Ltd.

common

bank

1921.

possible

SECURITIES

CORPORATE

Markets In Tlhe Southwest

Beryllium

recently signed two

proceeds

Brush

dividends, splits, etc.

with

and

■
on

MUNICIPAL

FOR

beryllium

will

Brush

Net proceeds from

near

t Adjusted for smck

Com¬

over

pure

metal

tinue

Owning investments in several
operating utility companies
See

(September,
Energy Com¬

Brush Beryllium Co. was organ¬
ized in 1931 to take over and con¬

ELECTRIC ASSOCIATION

•

over¬

which the

new

struction

Pennsylvania

sells

quickly

Corp. for the delivery of
Beryllium copper alloy which will
be produced at the new plant in
quantities required by the con¬

Corp

TEXAS

53/

25,000 shares

purchase,

company

with

equipment

NEW

provide

and

SA 23 &

month

Atomic

contracts

5.4

oil

National Tank
Manufactures

19%

Toledo

7
&

SAN ANTONIO, TEXAS
CA 6-4324

...

SPECIALISTS IN

Elmore, Ohio, the location of one
of its present plants.
In addition,

tracts

(Ohio)
Natural

4.7

furniture

Bank

National Gas

etc.

cranes,

Alamo National Bldg.

Brush-

Credit

wholesaler

Morganton Furniture Co

grade

0.25

stores

Morgan Engineering Co

CO.

★

The

was

under

facilities

Apr. 30, 1956.

Moore-Handley Hardware

TRANSIT

ANTONIO

(Assoc.)

Arkansas

The

duced

(William S.), Inc.__

Retail

of approximately five

riod

the

Moore

the

metal.

health

children's

400,000

500,000 pounds of

Corp

and

mission will
«

glass, etc.

changed to Life Insurance

SAN

American Stock Exchange

$94,137,000 and net in¬
$12,744,000.

last

company

Missouri Insurance Co.
Life,

THE FRITO CO.
I
1

Exchange

Stock Exchange

Midwest

increased

being offered by the company
present shareholders.
The

1956)

wire

New York Stock

mission signed a contract with the

Property interests

Rolled

had

its

Early

Mexican

Mississippi Glass Co

Pfds.

LONE STAR BREWING CO.

Members

and

subscribed.

powders

Eagle Oil Co., Ltd.
Ordinary

MARKETS IN:

operating

$52,589,000
$4,971,000.

was

public offering

1.9

0.40'

TRADING

Com.

Incorporated

reactors
and
beryllium
and other beryllium prod¬
ucts, was made on Oct. 2, at $10
per share.
Of the 400,000 shares,

are

3.9

123%

2.40

Wisconsin

Building.

LONGHORN PORTLAND CEMENT

Beryllium Co., producer of pure
beryllium metal used in atomic

Controls

Bank

COMPANY

revenues

1951

McDonald & Co., and

Vuicanlzers

Metals

and

375,000 shares are being offered
publicly, by an underwriting group
heaced^by Kuhn, Loeb & Co. and

3.6

Electro-mechanical and electronics

ing Co

National

HOUSTON NATURAL GAS CORP.

copper

Finance

Building.

Brew-Jenkinp

First

Inc.,

energy

Diversified insurance

Company,

Wis.—Robert E.

with

supplies

its

stock

common

;

Lighting

year

Offering
0.40

Maryland Casualty Co

now

property.

Beryllium
Common Stock Sold

;

Marmon-Herrington Co.^_
ment

property,

Brush
•

5.4

tenance

electric
gas

totaled

3.8

i1"';-

Schwab is

Fargo Oil

'•

doors

Corp.

Oilfied

glass

ACTIVE

$86,730,000 and net income to $11,065,000. For the 12 months ended
July 1956, total operating reve¬
nues

Venetian type win¬

and jalousie

Macco

f0.19

Co.,

9»

alumi-

windows,

type

added

MILWAUKEE,

common

revenues

come
Manufactures

been

Camp

(Special to The Financial Chronicle)

Lawrence

estimated

are

76%

income

California

Ludman

has

National Bank

from electric service.

1955

5.6

13%

1956

than

net

Inc.___

1957

revenues

baker

Lucky. Stores,
Retail

comes

•!

4.2

0.525

products

Langendorf United Bakeries.
Coast

2.25

Aug.

1.0

staff

30,

Rockaway peninsula of
County, Nrw York City.

Qubens

,.y

the

Jr.

Co.

was

31,

For

Salle

West

1.00

Industries, Inc.___

Upholstery

(hotel)*

Sept.

electric and gas service in Nassau
and Suffolk Counties and the con¬

4.5
.

Kirkeby Hotels, Inc

period

$4,000,000 for
Long Island

4.8

the

expended
for
$13,000,000 for

Kingsburg Cotton Oil Co

after

$71,000,000 with $54,000,000 being

Keystone Portland Cement
Co.

Shiels

stock at

common

$101

Cooper

Joins Brew-Jenkins Co.

to Staff
—

Atomic

associated

curred for construction of utility
plant.
Construction expenditures
Dec.

etc.

trays,

share througa Sept. 30,
is redeemable at prices

1959

for

equipment

Keyes Fibre Co

jointly

Proceeds from the offering will
be used to pay bank loans in-

2.4

PORTLAND, Oreg.

Robert

—

become

Incorporated.
formerly local
representative for A. C. Allyn and
Company, Incorporated.

pe¬

(Special to The Financial Chronicle)

1966.

Coast

Buildings, bridges and tanks

Kent-Moore

30,

Leader

Camp Co. Adds

Loewi

Mr.

same

Wis.

has

headed

scaled from $104.50 through

Mortgage banking and real estate

Kaiser

$3,040,504 compared

were

$2,037,804 for the

riod in 1955.

per

1966.

aircraft

for

parts

Jersey Mortgage Co

stock

convertible into

6.3

Operating public utility
Jack

with

Blyth & Co., Inc., The First Bos¬
ton Corp. and W. C.
Langley &
Co. is underwriting the offering.
The
new
preferred
stock
is

" 7.4

carrier

Iowa Electric Light &
Power Co

preferred

stock held of record Sept.

group

•.

15, 1956.;
A

~!'

mocor

28, 1956. The subscription price is
$100 per share, and warrants ex¬
pire at 3:30 p.m. (EDT) on Oct.

■

vacuum

cleaners

Common

f0.90

cakes

Engineering Corp._

Aircraft

MADISON,

30, 1956,
with

series G, par value $100
share, at the rate of one pre¬

common

Cooper With Loewi
(Special to The Financial Chronicle)

Cooper

Lighting Co. is

ferred share for each 38 shares of

6.3

study schools

Interstate Bakeries Corp

offices

and in the six months ended June

4.40%

3.5

per

2^05''

Executive

•

education

Ohio.

in Cleveland.

In 1955, revenues from sales and
services amounted
to
$4,502,009,

offering holders of its common
stock rights to subscribe for 180,-

1956
'

000

International Textbook Co.__
Printing,

Paymts. to
June 30, June 30,

International Correspondence
Schools Worlds, Ltd

-1

tion

secutive
'

% Yield

are

Long Island Lighting
Com. Slock Offering

Approx.

Including

Luckey,

Bankers Underwrite

owned

Energy

govern¬

facility
for
Commission

the
near

Telephone Riverside 9033

Bell Teletype DL 196 and DL 197

Austin, Harlingen, Houston, Lubbock, San
Direct

Wires

All

Antonio, Tyler and Waco

Principal

Markets

Cash Divs.

Continued

from

Approx.
% Yield

Including

No. Con.secutive

•

-».

The Great Over-The-Sounter Market-

12 Mos.to

Years Cash
Divs. Paid

June

30,

19.56

Based

Quota"

W/ v-;

tion: ' Paymts. to

June

Extras for

No. Con-

Portsmouth

Approx. V

Cleveland-Cliffs

% Yield

Including

Steel

Corp.,
related fields

No. Con-

Extras for

Quota-

Based on

secutive

12 Mos.to

tion

Years Cash

June

Divs. Paid

June 30,
1956

June 30,

1956

Divs. Paid

.O'

■

New

1.7

Pyramid

Jersey Natural Gas Co._

1.10

24%

4.5

Quaker

1.20

11 Mj

10-4

____

0.75

16V2

4.5

Refractories

1.30

39 %

3.2

manufacturing

Common

carrier

Metal fabricating,
manufacturing

North

American

Fire

brick

Northern

Co.,

Corp.

refractory

Diversified

7.00

14%

0.75

5.1

Exp.__

Electric

Lieht

operating

Packard-Bell

Leading

Co.__

0.475

Penn

1.00

16 %

1.00

14%

6.8

Gas

1.20

19%

23 %

1.40

oil

Corp..

1.00

22%

4.4

refineries;

1.00

6.2

Beer

technical

General

journals

7
heat

transfer

products

«V

10%

Lumber
Louisiana

and

Title

6.4

r::

8
Texas

1.00

17%

5.8

6.1

0.40

6.3

2.50

52%

4.8

Stern

lumber

mills

gloves

General

and

(T.

Concrete

29%'

,1.25

Smith

1.10

6.6

Retail

10.7

24%

4.5

and

Sulphite,

0.40

7.8

4.3

1.50

34%

4.3

3.75

t0.22

0.80

fO.96

11.4

papers

Chemicals,

Textiles, Inc._

and

8%;

2.6

8.0

23%

4.1

nylon fabrics

Clothier

Philadelphia

department

1.19

2.6

0.50

12%

3.9

0.25

0.7

0.73

3.4

0.60

2iy4

2.8

0.86

7.2

28%

4.3

0.30

31/8

9.6

1.38

69%

2.0

Greene

trucks,

Corp

spring
seats
for
buses,
motor

and

cars

control

lines

switches

and

vinyl

plas-

tisols.

Stuyvesant Insurance

suits
;

and

marine

Suburban Gas

of many

j 1.60

12%

1.90

22%

8.4

land

holdings

TELEVISION-ELECTRONICS

FUND, INC.
Open-end

In¬

See

•

0.90

15%

5.8

0.50

211%

2.3

1.00

5.0

investment

mutual

Fund's

52.

page

fl.23

transmission

gas

Tennessee Natural Gas Lines,
Inc.
Pipe lines

products

Texas

0.50

10%

1.40

f0.39

17%

2.2

:.••,/
'■
Transmission.

Eastern

10.85

3.6

4.9

.■

5.4
.:■* *

Operates natural gas pipelines

11.35

0.40

23%

5.7

2.5

Thompson (H. I.) Fiber Glass
Fiberglass,

co.

Tennessee Gas Transmission,
Natural

Co.

varnishes

fabricators

insulation,

fiberglass

Temp

reinforced

plastic parts

1.50

Toro Manufacturing Corp

3.8

Power

lawn

and

mowers

stationary power tools

Drug Stores Co.___
store

Service, Inc.__

gases

California

13.1

Marine

peanut

Co._

insurance

Tejon Ranch Co.__

Inc.

(NYC)

kraft

lacquers

Manufactures

0.40.

*5-

8.0

28%

3.2

chain

and

6
i*g

Details

not

t Adjusted

Sorg Paper Co.___

utility

0.20

supplier

coated

Toch

Stern

Stubnitz

mixing equipment

drug

1.9

105

Pharmaceutical products

0.375

machinery

Sommers

Electric___

2.00

Stuart

Engineering Works

Mining

1.00

4.2

'*•

---?/

rayon

Large

pumps

Corp

bus

Silk,

Appliance

L.)

5.7

Manufactur¬

Strawbridge &

Smith

17%

sheetings

store

Co.

Style Industries, Inc._

Electric

231/4

insurance

Paints

and

f 1.42

fans,

Co.__

and

1.00

Gas Co.

gas

Paper

Varnishes

Smith-Alsop Paint & Varnish

equipment

Pope & Talbot, Inc

Hats

4.4

;

Pittsburgh Reflector C., CI. B

Portland

insurance

Margarine

holdings

Portis

9
9

Shedd-Bartush Foods, Ipc

Corp

—"-

1.15

and

Standard
0.15

dairy products

Co.

; 4.8

uo.___

ing Co._

1.0

18%

cleaner attachments

Diversified

5.4

■

Coast

0.20

packager

Brewery,

Fire

18%

Cloths

electro

Security Title Insurance

Perfex Corp.

Lighting

and

Fetzer

surance

0.575

Soft drinks

West

and

Vacuum

Bottlers,
9

California,

4.8

natural

Petroleum

Seaboard

Inc.

Pickering

and

with producers

Miguel

Scott &

pro¬

(Philippines)

chem¬

0.90

Paper Mills, Inc..

Southern

nations

Publishing Co

Manufacturer

coats

5.6

Power

Sulphite bonds

Corp.____

Transit

Affiliated

6.0

electric

plants

Pepsi-Cola

and

motors,

Y.,

.12%

supplier

Southwest Natural

4.2

Auto

automatic

and

heating equipment

Women's

6.2

San

Business

and

Royal Dutch Petroleum (NY)

Pennsylvania Engin'g
ical

fO.34

5,9

0.675

Inc.

miller

cranes,

Rochester,

Controls, Inc._l

Penton

0.10

devices.

Gordon

Powe^\Co.

Nevada

Standard

Rothmoor Corp.

controls

mills;

Myers, Inc

Rochester

hydraulic & fluid

producers

Steel

&
-

Service

Public

Newsprint

Corp.

6.0

controls

Brewing Co

Manufactures

hoists

5.0

system components

Beer

Robbins

4.7

Roberts

Appliance Co._______

Manufacturer

29%

mfr.

Paragon Electric Co._
time

1.39

2.0

Operating public utility

paint

electronic

rice

Spartan Mills

Welder

Manufacturing

electric

8
8

development

1.00

supplier

Southern Utah

2.3

Marine

River Brand Rice Mills

10.6

utility

Radio, TV-electronics

Mfr.

fl.90

freight; Western States

Pacific Power &

Parker

5.1

13%

1.00

candy

cement

sugar

Vegas electricity

Southland

5.3

Sugars, Inc

gas

Southern

High production welding machines

Pacific Intermountain
Motor

fO.675

0.15

Fire

Louisiana

Southeastern

Storage

Co.

mechanical

2.2

bulk

Resistance

linens

and

Co._

duction

mining

Towels

0.10

insurance

Research,

5.7

Reeves-Ely Laboratories

products '

Opelika Manufacturing Corp.

Pearl

Bar and

1.4

500

17%

Queen Anne Candy Co

"Bondex"

1.00

City

4.00

plantation

warehouse

Cold

royalties

Operates

Stor¬

storage facilities

Reardon

Old Ben Coal Corp._..__
Coal

Insurance

materials

fir

Oil

components

City

Quaker

Lumber

Co.and

appliance

Redwood

Cold

by rail

Norris-Thermador

Class

Las

public utility

Co.___

storage

June 30,
1956

1956

Southdown

Electric

Electronic

Ry.

companies

tion

June 30,

1956

South Texas Development Co.

3.4

Natural

28%

Southern

17%

cold

0.50

Operating

Public

Norfolk

and

0.60

Detroit

age

Co._____

Lime

New

Co.,

Produce Terminal Cold

■

England Lime

Corp
interests

Iron

30,

Based on
Paymts. to

Paymts. to

Years Cash

.1"

•

Steel

substantial

Owns

Cash Divs.

% Yield

Quota-

**>'* secutiVe ' 12 Mosi to

•*+ >•« ,t»yi

6t *

June 30,
1956

3.0,

1956

Biggest in the World

Appro*.

Cash Divs.

Including
Extras for

page

1956

October 4,

The Commercial and Financial Chronicle... Thursday,

(1460)

fO.93

delayed

papers

complete

for

j Payable In

pending

as to possible longer record,
dividends, splits, etc.
less non-resident taxes.
Dividends beinjj
release of funds by Philippine Government.

stock

currency

With Westheimer Co.
(Special to The Financial

CINCINNATI,

With Pacific Coast Sees.

ChroniciJe)

Ohio —Craig

(Special to The Financial Chronicle)

SAN

Westheimer

A NEW HIGH IN TOTAL REVENUE FOR

322

with

the

240

Walnut
New

and

Street,

York

Company,

members

and

Cincinnati

Stock

Exchange.

THE 22nd CONSECUTIVE YEAR

FRANCISCO, Calif.—Leon

Dinkin

Byrne has become affiliated with

has

Pacific

become

Coast

Montgomery

affiliated

Securities

Street.

Co.,
was

formerly with Frank Knowlton &
Company.

'
For the twenty-second straight
year

Company has

set

new

California Water Service

high in operating

revenue

OVER-THE-COUNTER GROWTH STOCKS
Bank of America

and number

California-Pacific Utilities

of customers served.
the

In 1955 the company^ total income crossed

$12,000,000 mark,

Cascade National Gas

Company

Corporation

Nevada Natural Gas Pipe Line Co.

ber of customers served

was

per

cent from 1954.

218,057,

The total

10,123.

num¬

Southern Nevada Power Co.

Southwest Gas Corporation

Nevada Southern Gas Co.
C. G. Glasscock—Tidelands Oil Co.

Our business

providing dependable

growing California communities.
have

water

McRae Oil & Gas

service to 29

More than 8800 stockholders

share in California's booming
economy.

Corporation

Langendorf United Bakeries, Inc.

First California Company
INCORPORATED

CALIFORNIA WATER SERVICE COMPANY
*

374

West Santa Clara Street
San Jose,

California

UNDERWRITERS

Members:

San Francisco Stock Exchange

SAN

SERVING

ANGELES

Spring Street

Teletype LA 533

Teletype SF 885
37 OFFICES

Exchange (Associate)

647 Sooth

Street

)

Angeles Stock Exchange

LOS

FRANCISCO

300 Montgomery

Los

American Stock

Midwest Stock Exchange

INVESTORS

CALIFORNIA AND
J*

NEVADA

Number 5574

Volume 184

The Commercial and Financial Chronicle

,..

The Great; Over-The-Counter Market—

Biggest in the World

Over-tlie-Counter T rading

•

Cash Divs.
...

Approx.
& Yield

Including

No. Con-

Extras for

secutive

12 IVIos. to

Years Cash
Divs. Paid

June

Quota-

Based

tion

The

June 30,

Paymts. to
June 30,

1956

30,

1956

220
V-

Bagley Corp.__;

Theatre

.'office

and

building

bids

1.00

Natural

System, Inc.--

gas-utility

California

redwood

1.00

4.8

1.25

2.4

In those

S. Life Insurance Co

Life,

Real

'->

accident and health

estate

United

States

;;

Sugar production

Electric

Utah
Oil

0.75

1.50

30y4

5.0

Corp.__

Sugar

1.25

;< 8

•

5.2

f0.45

12I/2

3.6

Southern
and

Oil

producer

gas

Manufac¬

Vagabond
Coach
turing Co.

0.15

1.15

4.0

33/4

■■

are

Trailers

Lingerie

•

phone^and call

'•

themselves.

Numerous

7.8

0.47

5.8

listed and

some

Walnut

them

communicate

Apartments Corp

Philadelphia

real

2.50

5.8

...

estate

Swasey Coa.___.__

Machine

chines,

tools,

1.60

private telegraph
their disposal.

4.6

34i/2

k0.10

I6I/4

0.6

tl.ll

241/2

4.5

Gas properties (Washington

Washington Steel Corp.

0.50

10%

0.40

ioy2...

Stainless steel

Waverly Oil Works Co
Oils,

and

greases

Store

fixtures,

Fixture.

Jet

tO.79
0.75

installation

and

lighting

681/2
8

solely

9.4

systems

1.25

5.4

1.0QL

171/4

5.8

1.30

141/2

9.0

public

1.00

191/4

5.2

natural

department

Wayne

1.60

2.00

5.4

in Midwest

have

for each

sev¬

enty shares held.

dealers

his

business

ties

be sold any

can

in the

Midwest, and

time between 9:00 and 5:00
on the West Coast it's even

longer than that. Dealer-brokers in the Over-theare on the job from 7:00 in.

the

morning until 5:00 in the afternoon.

Stock Exchange Commission Rates vs.
Counter Dealer

When

know

of the country

all parts

buying interest in

different

for you
the cost

given security.

mission

parts

individuals

hand the over-the-counter dealer more often than

over-the-counter

of the

country

who

buys from and sells to you "as principal" or
"net" basis as it is termed in the parlance

not

may

believed

are

Charges

exchange-broker executes an order
in an exchange-listed stock, he tells you
price as well as the amount of his com¬
on your confirmation slip.
On the other
an

This paeans his profit
price he quotes you and.

of the securities business.
or

loss is included in the

there is

to-

firmation.

commission charge shown on his con¬
The

over-the-counter

dealer

usually

acts

"just as a merchant does in other lines of busi¬
ness. In other fields when you buy a set of dining
room

furniture,

fountain

pen or

what have

Continued

of constantly seeking out buyers

process

the

New

Company, members of
Stock
Exchange

York

and other

leading exchanges, have
announced
that Philip R. Sable

has

joined their

midtown

Our "Annual

Review of Life, Fire and Casualty Insur¬

sentative.
The

ance

Stocks

1955" shows the individual

formance of 95 issues,

market

per¬

firm

has

also

announced

Copy available upon request

representatives

its

ard, Beverly Hills; Susanna M.,
Moest, Buffalo; Elmer E. Cook,
Cincinnati;
Francis
P.
Smith,
Cleveland; Hugh A. Sarahan, Mil¬
waukee; Richard B. Logan, Oil
City; Jay R. Headly, Philadelphia;
and Robert G. Webster, Schenec¬

WALTER C. G0REY CO.
Building * SAN FRANCISCO • California

Telephone YUkon 6-2332

RETAIL

TRADING

appointment of the following

Russ

UNLISTED SECURITIES

out-of-town branches: Pearl How¬
»

the

registered

for 1955 vs. 1954.

branch

in the Chrysler
registered repre¬

located
Building, as a
office,

Teletype SF 573

tady.

«J

J. LOGAN & CO.
2115 BEVERLY

BLVD., LOS ANGELES (57)
Teletype LA 1319

Dunkirk 5-5411

Reynolds Adds to Staff
(Special to The Financial Chronicle)

WINSTON-SALEM,
Frank

C.—

G. H. Keel has become

sociated

with

Reynolds

Reynolds Building.

as¬

Co.,

PASADENA
SY

6-9223

—

HOLLYWOOD
HO

7-4151

you,

page

With Bache & Co.
Bache &

LET'S LOOK AT THE RECORD

Counter Market there

The

his dealer-

quotations

However, in most instances unlisted securi¬

2:30.

choose to act

course,

buying or selling interest in the instant
security, or investors who might be induced to
buy.

complete as to

himself with the

since

the West Coast between the hours of 7:00 and

inventory positions in the
It

involved.

include

often

Bros

not

7.2

possible longer record,
Adjusted for stock dividends, splits, etc.
Plus one share of Pacific Northwest Pipeline Corp.
Details

7.0

11%

steels

finished

Department stores

0.80

above,

3:30; in the Midwest between 9:00 and 2:30, and

"making a market" for a
given unlisted security. Prospects known to the
first dealer, or known to those other dealers he
contacts (either locally or in other cities), may

store

exchange possible.
concern

sold in New York between the hours of 10:00 and

interest themselves in

Younker

assume

other

dealers

on an

over-the-counter stock or bond, and handle
all details of purchase and sale.
The longer trading day in the Over-the-Counter
Market is often a distinct advantage to the in¬
vestor.
On an exchange, securities can only be

figures on more active stocks
In less active stocks the over-the-

One, five, ten, fifty

public

gas

Wyckoff Steel Co

firms,

exe¬

any

competition, the spread between the

might have

Wolf & Dessauer Co

Cold

Gas

utility

Fort

wish

which

over-the-counter dealer to

asked

narrow.

securities

engines

Southern

Operating

quite

not

utility

Wisconsin Motor Corp—
Air-cooled

wires

brokers and n6t dealers.

enumerated

counter dealer must find contra-orders if he does

Wisconsin Hydro Electric

Wisconsin

Some

bid and the

harbor

Operating

them.

Because of

8
Boston

1.2

wells

Maintenance
street

Services, Inc

oil

Services

.38

fountains

soda

Welex

4.6

soaps

Showcase

Weber

intricacies

instan¬

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 an integral part of
their operations dealer-brokers stands ready to
buy and sell substantial quantifies of jhe securi¬
ties they are "quoting" anS maintain inventories

State)

sell to

An investor need not

over-the-counter dealer-brokers, in
York, for instance, will be doing business

New

cases

exchange firms also deal in over-theany that do not must buy

quick orderly sale

Thus many

etc.

Washington Natural Gas Co.
'

earth moving ma¬

machinery,

textile

other

through

other facilities at
Warner

In other

broker wiil obtain current market

taneously

unlisted

Many listed securities, too, are sold over-thelarge to make a

in making a market for un¬
listed stocks and bonds. Most of

each

counter when the blocks are too

themselves

with

for

cute customers' orders for unlisted securities.

2.50

can

dealer-broker and get

counter securities and

Wood heels, bowling pins. etc.

order

investor clientele.

is quite different. Here there are a tremendous
number of dealer firms from coast to coast that
interest

Corp

directly to invest¬
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

opposite. The
no
physical

has

Some "counter" dealers sell

On the Over-the-Counter Market the situation

8.0

hotels

Resort

4Vulcan
t

0.40

the

thus

practical matter, though, individuals^!!
or more can frequently pick

ors

Over-the-Counter Market

The

cream

Virginia Hot Springs, Inc
'r

8.8

find

security
momentarily—often while the call is progressing.

Velvet Freeze, Inc
Ice

dealer

city of 100,000

from
Vanity Fair Mills

in price exists

gap

negotiation ensues. The mere exist¬
buy or sell order is the incentive for

execution

specialist had no order from
ahyone else to buy that stock, he himself would
be expected to enter a reasonable bid 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.

"counter"

any

of XYZ stock and the

public utility

negotiation.

limitations.

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

5.4

//.A

Over-the-Counter Market

;

where less active securities

cases

the

auc¬

specialist for each particular stock to create a
market, in the absehce of sufficient public orders

0.5

273/8

f0.15

it. Genuine

Over-the-

Instead

die.

of potential purchasers and
on

the

prospect is found, the transaction does not

ence

marketing in a security cannot be main¬
tained, however, unless there is sufficient activ¬
ity in it.

v":

after

tion

Union Gas

and "offerings

major characteristic, too, of the "counter"

market

exchange market is often referred to as
market because a stock exchange

sellers for all securities listed

2.8

•

provides-^ focal point for the concentration of

characteristic

Counter'Market.-.-^-a'.

auction

sellers

and

Difference Between Listed and

;

(1461)

The

(1462)

Continued,

jrom

page

Commercial

pointed out before, the assumption of inven¬
an 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
unless they take cognizance of basic

Biggest in the World
the merchant sells
does not add any
"counter" dealer.

it to you at a flat price and
commission thereto. So with the

a security in-which he is
position, he must, as a general rule,
have knowledge superior to that of the
lay trader.

elusive, but they

Therefore,

the

services

the

over-the-counter

thing, the basic fact is that the price
of over-the-counter stocks is not swollen
by the
premium the public is ordinarily willing to pay
for exchange-listed securities.
Then, too, active
listed stocks and the

exchange stock ticker sys¬
provide a ready vehicle for speculation and
tend to center 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¬
vestment purposes, their interest
being merely
"where is the price going and when."
The mere fact that under the
"exchange aution-specialist system" the spread between bid
tem

and ask

prices is close

that the investor gets
or

or narrow

fact that prices

the

officers

ferent

When

page

and

must be

tions.

His

have

population increases
than dubious asset

that

time

which

man,

further

down

the

of time than the period to

avenue

lies

seem

Also, there is reason to believe
that, if necessary, the great pow¬

generally. But

addressing myself.

result

what

chair¬

our

Arthur F. Burns, has charac¬

terized

revolution

since

20's,

distribution
vidual
uted.

income

the

We have

in the form of

widely

income

built-in

indi¬

distrib¬

device,

less

auto¬

matic wage increases, to increase
it regularly.
And we have an
emergency
device
available, in
the form of tax
reduction, to perk
up

individual

income

that

rather

Again, I do not need to be
level

that

sustain

consumption it is neces¬
have not only a high level
of money income but a continu¬
ing disposition to spend it on an
services.

become
broad
we

option

are

people

rich

third

not

much

everything

have

consume

—

have

we
we

that

option
as

one-

sible in substantial degree for the
that the recession ending in

fact

that year was the mildest on rec¬
ord.
It gives important promise

that

keeping

moving in high
seems

exercise

our

gear is

little

able

sustain

expanding volume of

consump¬

the years ahead.

over

you

have

you
are

have

now

reacted

properly,

convinced

prospect

that

relatively
steady expansion of consumption
and investment in the years im¬
mediately
ahead.
All
that
re¬
mains

take

look

what is in prospect for that large
share of the economy, about a

prospect

concerned

Steadily Expanding Government
With time running put this must
done in an even more sum¬

pletely

than

summary

the

almost

way

most

expanding

threat

great

point

massive

uneasy

com¬

which

government

fortune, the

good

war

were

where

recede

could

make

in military expendi¬

cuts

tures, cheering alternatives would
be

open

get

ahead

One would be to

us.

faster

with

the

provi¬
of public facilities we need
badly. The other would be a

sion
so*

tax cut

of the

kind used

fully in 1954 to offset
defense
came

skill¬

big cut in
which be¬

expenditures

feasible that year.

In my

general good cheer about

the intermediate business

outlook,

and

may

pression that

won't have

some

ups and

down, and probably some
fairly
jarring
ups
and
downs
along the way. For one thing, we
have almost everything to learn
about

the

control

ventories.

the

fluctuations

been

in¬

postwar period,

only

second

penditures

business

inventories

have

defense

ex¬

forces for economic

and

Labor

If it

unless

someone

devises

something for the automobile in¬
dustry akin to the Texas Railroad

—I

the

oil

arrangement I do

suspect

shall

industry—

not
see

propose

the

in¬

tensity of the^competition in auto-

mo^He sales result in

very sub¬

the

palities

corporations. This is

engaged in the investment business thrive.

sales

—

from year to

—

dous

flexibility

national labor force has

upon
a
great historic surge of
capitalist development which has
nowhere near run its course. And

seeing

it that -way, I prefer to
proclaim it rather than to sit shiv¬

ering awaiting reenactment of the
great depression.
This I believe
is

same

800,000,

about

which

ac¬

tually

occurred.

outsize

in¬

crease

was

third

that
The

largely as a^ result of
having students, housewives and
older people come into the labor
force to take advantage of the at¬
tractive jobs available.

A~labor

force

has

increases

potentiality of
abnormally fast, too.

demonstrated

tarnish

calculations

employment

of
as

seems

pretty badly those
4%

un¬

the point at which

the

government

and

should

step

some

prevent

generally
of

of them will be

them

from

destructive.
the

so-called

could,

bright

being
rely in

built-in

cal

the

prospects

The

answer

reason

enume¬

rated.
we

are

And

since

epibarked

to
this

have

envisaged.

relatively little. My
with the help and

of both major
-parties
gradually evolved a set
natipnal
economic
policies

which
are
working
well,
and
promise to keep on working well
if tolerably well handled. I
ex¬

pect their orators will indulge in
much
sound,
fury
and
mutual
abuse

but

not' expect

either

party is going to scuttle these pol¬
icies

validate

wild

campaign

speeches.

ren

cur-

political campaign taken into
I still cannot escape U

account,

very cheerful view of the business
outlook, both for the near and the

intermediate
it

turned

for

future.

out

this

could

truth,

me.

business

happy

When

not

relentless

the

way,

sure

scientific

which

mates all those who
essay

the

it,

our

have

quest

see

kick

prospects

hindrance
we

strength

elements

that

out,

built-in

Affect

is a campaign year I
suppose I
should indicate what affect I think
the election results will have on

that

course,

management.

where

growth of the sort I have

economic

started

pieces by bad business and politi¬

stabilizer to contribute to this end.
But
I ' rely
much more on the

eco¬

prospects

So with the violence of the

rugged, I expect the bumos
envisage to stay within limits

part

current

and

Politics of
We

something about it.

little

which

from

realities

the Middle Ages.

which

the

decreasing
In fact, the wide range of flex¬
ibility which our labor force has
recently

remote

nomic

instability; In the first

during the

fast

of the many

one

why it is socially important that those

reasons

would have been about

that

exchanges and Over-the-

impossible to quickly retrieve the capital

period a
year ago, or at least so the statis¬
tics and statisticians say.
They
also say that a normal increase
was

problem. The beauty

be thus served.

can

six months of this year our labor
force was 2.4 million larger than

they put at the disposal of governments, munici¬

displayed also has po¬
tentialities of accentuating, if not
creating a substantial degree of
economic

ever

Counter Markets, investors of all
types would find
it almost

r e m e n

our

jobs for

effort and at

capital needs of both big and

not for the

were

industry

Savings thereby become

society and not

that

fluctuations

and

less human

ever

I think much the same thing
be true of consumer durable

which

Instability

Also,

small business alike

But while

Durables

our

possible for business to obtain the

recently

instability.
Consumer

remuneration.

asset to

vital to

capital of individuals, banks, institu¬

goods generally.
The

are

Through the medium of stocks and

workers

employment

year,

the over-the-

sure

wherewithal with which to provide

capital

stantial

I would not want to leave the im¬

way

con¬

water systems, etc.—the
is that we shall have a

Commission

Spending

mary

consumption.

requirements

economy, too.

If,

Just be

the like flows into trade

and makes

into the mak¬

between

say

remains

schools,

fifth, which is controlled by gov¬
ernment expenditure.

economy

disposition

this option.

shall

con¬

Happily, however, at least

far

there

that

inclined

covering perhaps
sumed.

goods^nd

ups

re¬

sary to

budget

the

accentuate

as it usually has in the
past.
In
1954,
the
volume
of
advertising
was
increased
(by
5%) in the face of a decline (of
4%) in the volume of sales. His¬
torically
advertising
ana >. sales
have gone up and down together.
This little appreciated change in
advertising practice was respon¬

high

increasing

than

and downs

tion

minded

advertising will be used to
sales
and
consumption

stabilize

required.

idle
and

ever more

world, and domestic requirements
for public facilities — highways,

further

makes

resources

bonds
tions

taking inventory posi¬

military

individual dealer you

economic life.

For survival he

scene.

disposed

steadily
age

Particularly in regard to the

dollars

contemplate
doing business with has a good reputation.
It is no exaggeration to
say that both exchanges

prices cannot consistently be out of

what

For the Next Five Years
think, when short¬

counter firm

determinants of the real value of the

line with real values.

million

investment values.

inventory positions at prices
basic economic values, the eco¬

securities in which he is

dif¬

It is not

necessary for a firm to
be thoroughly trust¬
worthy and to have good judgment with respect
have

cognizant of the elements, listed above,

are

Presaging the Business Outlook
we

other

and the Over-the-Counter Market

drive him from the

which

indifferent treatment

large and small stores in
lines'; of business, so it is with over-the-

counter dealers.

assumes

of line with

com¬

y.f;•

■

individual

;

Just as you get good
and values from both

without

tinuing

than

panies.

consistently purchases
regard to basic economic values,
he may at times make money, but sooner or later
he will book losses. And although he
may remain
"in the market" for an extended
period, he can¬
not do so after his capital is exhausted.
stocks

non-numerical elements which go

from

dealers for the account of their banks and

corporation.

numerically only to

Suffice

sooner

the

companies of' the country
own institution's

selling their

corporation bonds and stocks through "counter"

to how the present and possible

nomic forces will in due time exhaust his

things.

Continued

buying

own account do so almost
entirely
through over - the*- counter dealers.. Investment
officers, of these institutions, too, are continually
buying and selling government, municipal and

certain extent.

out

indication

two totally

are

directors

and
as

quotation consciousness.

stock for their

future products of a corporation will fare on the
markets may be handled

habitually

quick to recognize the

are

and values

when

Inventory Positions

the intrinsic value of the stocks he wishes to sell.

Intelligent investors

con¬

So it is with the over-the-counter dealer. If lie

price in keeping with

They

non-mathematical ele¬

good value when he buys

that the seller obtains

and

over

Officers and directors of the 14,000 banks and
the major insurance

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
Speculation

one

nontheless real.

are

somewhat

may

frequently necessitating his taking the risk
of an inventory position, include the extensive
searching for matching, bids and offers from
potential buyers and sellers.
;
When a security is taken from the Over-theCounter Market and listed on "a stock exchange,
over-the-counter dealers ordinarily lose interest
in it, for they cannot make a profit
trading in it
at rates comparable to the commission
charges
of exchange firms.
Though the "counter" dealers'
profit rates may be somewhat higher, they may
afford investors "better" prices than the less
expensive service of exchanges.

For

appear

over-

important inventory

positions results from the fact that their market

insights as to the real value of a stock
be gained by checking such things as its
earnings and dividend records, book value and

dealer, be¬

sides

Values

may

important contribution of

pricing must be influenced definitely by intrinsic
corporate value factors. They must stress value

ments. Some

values

economic

of mathematical

sist

consciousness

exchange commission rates more
often than not are lower than the profit rates
over-the-counter dealers are obliged to operate
on.
An important reason for this is the fact that

Basic

assume

the-counter dealers who take

economic values.

It is true that

Thursday, October 4, 1956

...

ing of the real value of

tory positions is

The Great Over-The-Counler Market-

and Financial Chronicle

ani¬

to gauge

outlook, might lead

Volume 184

Number 5574

The Commercial and Financial Chronicle

(1463)

The

Indications of Current

following statistical tabulations

latest week

Business Activity

week

month available.

month ended

Latest
AMERICAN
'•

IRON

Indicated

steel

AND

STEEL

operations

(percent

of capacity).

-Sept.

gallons

Crude

2,429,000

2,334,000

ASSOCIATION OF AMERICAN RAILROADS:

7,063,100
118,041,000

7,048,500
8,078,000

7,943,000

7,404,000

27,524,000

27,523,000

25,426,000

freight loaded

(number

Private

Public

2,369,000

2,232,000
12,663,000

2,009,000

2,061,000

CONSTRUCTION

12,278,000

7,678,Q00
176,944,000

13,014,000

7,750,000

f8,066,000

Dollar

31,521,000

36,254,000

134,381,000

(U.

DEPARTMENT

48,276,000

46,069,000

46,932,000

822,255

820,666

770,413

813,720

685,083

MERCE

657,711

645,157

678,08",

(millions

151,805,000

lignite

STORE

ELECTRIC

Electric

308,314,000

238,466,000

$616,641,000
465,535,000

—

175,123,000

142,238.000

151,106,000

132,112,000

109,943,000

126,907,000

43,011,000

32,295,000

24,199,000

Sept. 22

10,150,000

10,650,000

9,950,000

658,000

655,000

597,000

637,000

131

130

120

12)

111,722,000

steel

INDUSTRIAL)

METAL PRICES

(E.

—

DUN

Export
Straits

relinery
(New

(New York)

11,365,000

11,482,000

11,565,000

262

237

186

5.622c

5.174c

$63.04

$63.04
$57.50

$63.04

$58.17

Sept. 26
Sept. 26
Sept. 26

103.5UUC

Sept. 26

16.000c

15.800c

13.500c

39.600c

39.675C

RESERVE
BANK

36.925c

37.125c

36.950c

91.18

99.52

100.98

102.80

103.97

110.88

Oct.

101.14

102.80

109.42
107.62

91.92

Oct.

Railroad

Group

Utilities

Industrials

MOODY'S

—

101.47

99.52

100.00

101.14

93.97

94.26

96.23

97.94

SV.

98.25

99.52

99.36

99.68

101.47

100.49

100.81

101.97

3.16

3.21

3.78

3.69

3.58

Railroad

96,200,000

78,500,000

$466,000,000

$402,100,000

$2,891,000

$2,406,000

PURCHASERS—INSTITUTE

INSURANCE

Group

Utilities

;

4.12

—Oct.

Production

Sept. 22

(tons)

Percentage

3.78

(tons)

3.66

AVERAGE

3.24

426.6

INDEX—

SPECIALISTS

AND

DEALERS

EXCHANGE— SECURITIES

sales

dealers

ACCOUNT OF ODDON N. Y. STOCK
COMMISSION:

purchases)—t

229,682

256.104

•

425.3

264,153

272,890

280,651

270,150

short

other

sales

firms

Total

108.81

carrying

customers'
extended

net

1,059,985

1,382,828

$57,827,403

$76,721,948

$58,281,736

685,507

765,287

1,089,328

857,024

8,175

3,967

6,899

margin

debit

1,082.429

Number

customers'

j__Sepy*8
Sept.^ 8

163,360

193,110

272,250

222,880

163,360

193,110

272,250

2~22~880

STOCK SALES ON THE N. J. STOCK
EXCHANGE AND ROUND-LOT STOCK TRANSACTIONS
FOR
ACCOUNT OF MEMBERS (SHARES):
round-lot

sales—

borrowings on other
IN THE

INCOME

■

producing

UNITED

industries—

—

Government

employees'

contribution

for

special

Other

sales

3ept.

sales

*oUND-LOT TRANSACTIONS FOR ACCOUNT OF MEM-V
BERS, EXCEPT ODD-LOT DEALERS AND SPECIALISTS:
■

of specialists in stocks in
purchases

Transactions
Short

initiated

purchases
Short sales

364,600

7,094,000

8,416,330
_

10,045,810

11,915,820

10,510,040

PRICES

sales

$309.2

•225.2

214.5

*97.5

92.1

*59.9

56.1

30.2

28.6

•37.6

37.7

5.8

income

5.3

7.3

and

dividends

7.3

7.1

50.6

;

•50.0

48.5

29.8

paymerfts

RECEIVED

NUMBER

•29.6

26.9

18.6

•18.6

17.5

309.7

income

—

FARMERS
DEPT.

TURE— 1910-1914=100—As

•310.3

294.7

—

INDEX

AGRICUL¬

Aug.

15:

All farm products

237

Commercial

1,037,390

1,083,120

1,662,390

221,750

178,430

280,800

217,460

[.Sept.
"Sept.

768,610

940,480

1,386,030

1,069,280

Feed,

990,360

1,118,910

1,666,830

1,286,740

Food

205.230

173,120

317,940

255,550

30,400

20,000

18,900

26,650

321,310

310,300

1,287,840

r—

fresh

Cotton

hay
—I

grains

and

grains

232

258

228

286

208

274

197

vegetables,

283,650

340,210

244

230

:——£____

236

263

Crops

194

178

216

214

218

Fruit

•

277

210

Oil-bearing
Potatoes

208

250

246

203

;

225

249

crops

I——

387

145

451

161,990
131,990

_JSept.

304,553

333,661

682,097

450,725

Meat

88,690

67.960

130,150

Poultry

359,123

456.847

80,310
753,466

763,834

447,813

524,807

833,776

436

232

236

256

253

249

259

246

251

171

174

191

233

240

$278,000,000

$281,000,000

275,564,737

272,645,336

278,309,014

79,428

Wool

453

238

232

185,030

"Sept.
"Sept.

—

•$324.9

464,230

11,418,760

8,051,730

7,519,850

497,060

215,430

73,716

43.455

$275,644,165

$272,719,052

$278,352,470

460,906

462,021

480,967

$275,183,259

$272,257,031

$277,871,502

2,816,740

5,742,968

3,128,497

893,984

the floor—

sales

„

Livestock

—

.—

products

Dairy

animals

and

eggs

Total sales

round-lot transactions for account

of. members—

!—

sales

NEW SERIES
LABOR—(1947-49 = 100):

PRICES.

—

1,547,173

1,589,901

2,662,427

1,994,115

340,840

266,390

380.010

374,260

1,312,763

1,559,317

2,460,806

2,116,764

"Sept.

sales

Sept.

"Sept.
"Sept.

purchases

WHOLESALE

425.850

"8ept.

purchases

Other

interest

nonagricultural

Sept.

sales

other transactions initiated off

Short

Personal

II-—Sm¬

sales

;

income

Proprietors' and rental Income

Sept.

the floor—

Total

Other

labor

Other

^Sept.

I"
~~

_~_2

Total sales

Other transactions

Short

416,080

555,310

Sept?

sales

Other

which registered—

sales

Other

456,190

418,080

Total transfer

Septic

Short sales

2,167,455

in¬

surance

Total
p

108,381

•2,390,553

STATES

industries

Service

Less

^
.

103,996,732

49,569

COMMERCE)—Month

Wage and salary, receipts, total

197,994,193

103,137,335

37.8

collateral.

227,422,844

48,590

95.9

U. S. Govt. issues__

887,195

224.0

bonds

42,679

858,453

2,224,551

balances

348,420

872,188

221,159,683

credit

S.__

30,541

30.4

of listed

342,183

59.9

free

borrowings

Commodity

•
' "

$2,752,279

33,167

335,580

101,565,726

banks

July (in billions):
Total personal income

$44,083,755

ROUND-LOT

$2,842,615

accounts.—

balances

852,736

$56,535,994

$30,244,000

$324.5

and

of listed

PERSONAL

4,288

757,112

$38,411,756

1
Dept.,. o

$30,715,000

Aug.

1,019,676

681,540

dealers—

26,731

$2,818,531

customers.

Market value

I_Sept.

sales

*27,665

5.8

hand

Total

107.09

EXCHANGE—As

Round-lot purchases by

$43,938

$24,563

omitted):

(000's

Member

(000's omitted)

STOCK

Distributing

dealers—
Number of shares—Total sales
Other

of July 31

Cash

108.75

108.99

$35,934,534

*$49,080

•

CIRCULATION—TREASURY DEPT.

YORK

NEW

585,767

„bept. <;8

—

sales by

Round-lot

(DEPARTMENT

®epw, b

19,375

$49,108

;

*20,916

$30,604,000

' ':?T

•$28,174

21,023

26,118
MONEY

102

425,635

907,152

sales

Customers'

$28,085

Member

SERIES—

;

Total

293,667

459,463

$51,297,168

purchases by dealers (customers' sales)—
of orders—Customers' total sales

NEW

Member

_,t

Number

Customers'

505,000

(millions of dollars):

Market value

SXbrerva?Lshare3~:::^

Dollar value

COMMERCE)

July

Durables

Nondurables

EXCHANGE

(customers'

$3,560,000

...

INVENTORIES AND SALES

STOCK TRANSACTIONS FOR ODD-LOT

649,000

$4,344,000

Credit
'

—Sept. 28

408.7

•

100

915,000

3.28

3.63

434,900

Sept. 22

at end of period

PAINT AND DRUG REPORTER PRICE

538,000

931,000

3.39

3.77
3.70

252,534

activity..

orders

July

Month

3.59

3.72

423.0

Sept. 22

(tons)

Orders received

503,000

3.99

3.86

3.30

PAPERBOARD ASSOCIATION:

RATIONAL

Month

Inventories—

3.20
'

3.68

3.79

Group

MOODY'S COMMODITY INDEX.

—

Total

3.12

3.53

3.75

3.88

Industrials

3.51

3.66
u
v

4.14

Total

66,100,000

omitted):

Group

3.30

Baa

Total

37,000,000

81,000,000

$2,817,000

LIFE

Industrial

2.84

3.80

3.78

Total

8,600,000

41,500,000

81,700,000

INSURANCE

(DEPT.
3.14

...

3.68

Total

44,300,000

8,900,000

79,100,000

Ordinary

DAILY AVERAGES:

;

Total

$167,600,000

52,600,000

108.70

Total

$185,800,000

LIFE

July:

107.98

corporate

Aaa

Total

117

$469,600,000

(000's

106.04

Oct.

YIELD

BOND

Average

Total

127

43,800,000

114

9,300,000

INSTITUTE

•116

$204,700,000
51,000,000

—

PAYMENTS

81
106

127

adjusted

116

124

dividends

102.63

—Oct.

Group

U. S. Government Bonds

COTAL

;

MANUFACTURER'S

Odd-lot

2,797,813

117

Total

107.62

102.80

Odd-lot

3,248,351

FEDERAL

benefits

Policy

95.42

99.20

Oct.

LOT

$79,200

YORK—1947-49

INSURANCE—BENEFIT

LIFE

91.76

Oct.

1949

NEW

Surrender values

luO.U^uC

Baa

OIL,

$85,600

FED¬

unadjusted
daily), seasonally adjusted

Disability payments
Annuity payments

45.400c

Oct.

Unfilled

DISTRICT,
OF

INSURANCE—Month

43.950c

Oct.

Public

SALES—SECOND

13.000c

corporate

COMMERCE)—
bales)
i

(running

STORE

POLICYHOLDERS

15.300c

13.500c

39.600c

Aaa

Public

Sept.

Stocks, seasonally
LIFE

15.500c

15.800c

11,900
23,400

unadjusted

Death

Government Bonds___

Average

•

(average

$44.17

Sept. 25

Oct.

$43,900

12,700
23,800

$85,700
(DEPT.

(average daily),

$59.09

$58.83

Sept!

-Sept. 26

Louis)

St.

$49,100

12,800
23,800

BOND PRICES DAILY AVERAGES:

MOODY'S
U.

Louis)

100,626,000
$654,855,000

July

Stocks,

QUOTATIONS):

at:

(East

128,747,000;
$723,192,000

COM¬

Sales

10,627,000

251

(St.

Zinc

SERIES —Month

Matured endowments

at
York)

Lead

-Lead

124,172,000

dollars):

Sales

refinery

tin

:___

Average=100—Month of August:
Sales (average monthly), unadjusted

Electrolytic copper—
Domestic

RESERVE

Sept. 25

between

$49,100

NEW

DEPARTMENT

lb.)

10,615,000

9,515,000

Sept. 27

(per gross ton)
Scrap steel (per grogs ton)

shipped

INVENTORIES —DEPT.

ERAL

Sept. 22

Pig iron

40,690,000

$772,472,000

COTTON GINNING

RESERVE

100

INC

(per

100,647,000

12,685,000

181,891,000

74,646,000
37,076,000

COMPOSITE PRICES:

Finished

60,523,000

Total

Sept. 29

AND

83,956,000

154,320,000

Sept. 27
Sept. 27

kwh.)

000

(COMMERCIAL

BRADSTKEET,

and

Retail

$266,042,000

INDEX—FEDERAL

IRON AGE

$380,704,000

MINES):

(tons)

SALES

—

Total

INSTITUTE:

(in

output

FAILURES

$483,437,000

Sept. 22

13,816,000

Manufacturing

(tons)

SYSTEM—41947-4!) AVERAGE
EDISON

stored

foreign countries

BUSINESS

Sept. 27

BUREAU

and

237,205,000

13,361,000

_•

142,814,000

47,835,000

$220,386,000

258,778,000

20,730,000

goods

$270,216,000

;

exchange

Based

175,816,000

Isept.

anthracite

•

—

_—

warehouse credits

175,767,000
33,712,000
146,105,000

33,657,000

Sept. 27

municipal

coal

Pennsylvania

$161,748,000

BANK

Aug. 31;

Wholesale

OUTPUT

Bituminous

$271,475,000

RESERVE

$186,540,000

OUT¬

Domestic

ENGINEERING

—

Federal

COAL

YORK—As

Domestic shipments

11,131,000
J

7,831,000

NEW

Ago

$181,284,000

___

ACCEPTANCES

STANDING—FEDERAL

6,671,350

148,816,000

cars)—Sept. 22

construction

and

DOLLAR

Year

Month

SYSTEM—Month

thousands)

(in

Exports

Sept. 22

(no.

construction

State

GOVERNORS

cars)

received from connections

construction

Imports

7,126,550

NEWS-RECORD:
Total

July

Sept. 21

(bbls.) at
Distillate fuel oil (bbls.) at

Residual fuel oil (bbls.)

ENGINEERING

*2,502,000

Sept. 21
Sept. 21

Kerosene

CIVIL

DEBITS—BOARD

27,341,000

(bbls.)

Revenue freight

BANK

BANKERS'

Sept. 21
Distillate fuel oil output (bbls.)
Sept. 21*
Residual fuel oil output (bbls.)
Sept. 21
Stocks at refineries, bulk terminals, in
transit, in pipe lines—
Finished and unfinished gasoline (bbls.) at
Sept. 21

Revenue

§2,495,000

of that date:;

are as

Month

96.7

Sept. 21
-Sept. 21

(bbls.)

output

93.7

Sept. 21

stills—daily average

output

♦101.6

either for the

are

Latest

each)
to

runs

Gasoline
Kerosene

(bbls.

average

of quotations,

cases

Ago

§101.4

-Sept.

output—daily

or,

Year

Ago

Dates shown in first column

THE FEDERAL RESERVE

AMERICAN PETROLEUM INSTITUTE:
Crude ell and condensate
*

Month

Week

INSTITUTE:

Equivalent to—
Steel Ingots and castings (net tons)

WePk

production and other figures for the

cover

that date,

1,653,603

2,840,816

2,491,024

1,825,707

GOVT.

—As

Total
at

STATUTORY DEBT

August
amount

any

LIMITATION

31 (000's omitted):
that may be outstanding

time

—

•

Outstanding—
Total

U. S. DEPT. OF

face

public debt

gross

Guaranteed

obligations

not

owned

the

Commodity Group—
All

commodities

Farm

Treasury

—

—Sept. 25

—Sept. 25
Sept. 25

products

Processed

foods

^
*

All

commodities

•Revised figure.

Jan.

Monthly

1956,

investment

other than farm and foods

105^0

115.1

114.6

111.4

90.0

115.2

88.7

89.0

*103.9

103.3^~\

91.1

*87.7

85/8

—Sept. 25

122.6

122.3

83.9

118.0

Balance

and

guaran¬
-——

outstanding

total

face

debt

public, debt

obli¬

subject to debt limitation

gations not
Grand

public

obligations

Deduct—other

under
.

gross

teed

101.8

^Includes 1,003,000 barrels of foreign crude runs. §Based on new annual capacity of 128,363.000 tons as
against Jan. 1, 1955 basis of 125,828,319 tons.
tNumber of orders not reported since introduction of

Plan.

Total

outstanding

amount

above

authority

obligations, issuable

«C0

The Commercial and Financial Chronicle...

(1464)

Thursday, October 4, 1956

* INDICATES

Automation Development Mutual

Inc., Grand Junction, Colo.

Abundant Uranium,

(letter of notification) 3,000,000 shares of comvcnon stock
(par one cent). Price—10 cents per share.
^Proceeds—For mining expenses.
Office—319 Uranium
*Feb. 23

Underwriter—Ralph M.

Grand" Junction, Colo.

-"Center,

Killeen, Texas

Sept. 5 filed 40,000 shares of class B common stock (par
$5) and 400,000 shares of preferred stock (par $5) to be
offered in units of 10 preferred shares and one common
fhare.

Proceeds—To purchase used
oar paper and to extend
the company's operations into
the field of new car financing. Underwriter—None. J. J.
Price—$55 per unit.

D. C.

Price—$5.25 per share.
and other corporate
purposes.

ISSUE

(no par).
Proceeds—To re¬

—

and

Merrill

• Centers
Corp., Philadelphia, Pa. (11/12-16)
July 30 filed $8,000,000 of 5 J£% sinking fund debentures
due Aug. 1, 1971, and 1,600,000 sharer; of common stock

Underwriter — None.
Harry Kahn, Jr., of Washington, D. C., is President and
Baton

REVISED

for construction program. Under¬
Lynch, Pierce, Fenner & Beane, New
York, and R. S. Dickson & Co., Inc., Charlotte, N. C.,
and New York, N. Y.
•

stock (par $1).
Proceeds—For working capital

-A--'.
Rouge Water Works Co.

(par

one

ately transferable until Aug. 1, 1958).

Price

$50 per

—

capital stock

American Insurance Co., Newark, N. J.
Aug. 31 filed 1,750,000 shares of capital stock (par $2.50)
feeing offered in exchange for outstanding 1,750,000 shares
-of capital stock of American Automobile Insurance Co.
of St. Louis,

Mo.,

This offer

share-for-share basis.

is conditioned upon deposit of at least 1,400,000 shares of
Automobile stock.
Kidder, Peabody & Co. will head
group of dealers to solicit tenders. The offer will
-on Oct.
15.

expire

common

Oct.

and

class

common

1956 at the rate of

10,

stockholders

one

share of

.stock for each four shares of class

common

stock

held; rights to expire on Oct. 31. Price—To be
supplied
by amendment
(probably around
$11
per
share). Proceeds—For acquisition of other oil properties,
expansion of exploration and development facilities and
the building up of the refining and marketing phases of
4he business.
Underwriters—White, Weld Ik Co., Blyth
& Co., Inc. and Hemphill, Noyes & Co., all of New York.
9

American

St.,

Lafayette

Baton

Rouge,

Underwriter—

La.

None.

Bentonite

acquire

of America

Corp.

estate

of notification) 150,000 shares of common
stock (par $1). Price—$2 per share. Proceeds—For min¬
ing expenses.
Office—290 N. University Ave., Provo,
Utah. Underwriter—Thomas Loop Co., New Orleans, La.
June 29 (letter

Blackstone Valley Gas & Electric Co.

Telephone & Telegraph Co.

Aug. 22 filed 5,726,152 shares of capital stock being of¬
for subscription by stockholders of record Sept.

investment

stocks

of,

Underwriter—

subsidiaries.

None.

Aug. 30 filed 328,723 shares of common stock (par $4).
Price—To be supplied by amendment. Proceeds — To
Estate of Edmee B. Greenough, deceased. Underwriter—
Eee Higginson Corp., New York.
Offering—Postponed
*mtil latter part of October.
>
Ashtabula

Telephone Co.

(letter of notification) 10,000 shares of common
offered to stockholders. Price—To
J>e filed by amendment. Proceeds—For general corpor¬
ate purposes. Office—4616 Park Ave., Ashtabula, Ohio.
j?tock

(par $25) to

Underwriter—None.
•

Astron

Corp., East Newark, N. J. (10/8-12)
(letter of notification) 45,000 shares of common
(par 10 cents). Price—To be supplied by amend¬
ment. Proceeds—To selling stockholders. Underwriter—
Van Alstyne, Noel & Co., New York.

Sept. 5
.stock

Atlantic Oil Corp., Tulsa, Okla.

named

by amendment.

Atlas

preferredjstock

First
Co.

amount.
pany

retire

its affiliates for

indebtedness

money

the

com¬

borrowed for working

capital. Underwriters—Hallowell, Sulzberger & Co. and
Charles A. Taggart & Co., Inc., both of
Philadelphia, Pa.,
and Weill, Blauner & Co., Inc. of New York.
Audubon Park

Raceway, Inc.
July 13 (letter of notification) 600,000 shares of
stock

(par 10 cents)

common

stockholders

each shareJield.

to be offered
at

rate

for

Century Controls Corp., Farmingdale, N. Y.
Aug. 27 filed $600,000 of 10-year 6% debentures. Price—
90% of principal amount.
Proceeds—For research andl

development;
porate

common

0.46875

Price-—10 cents per share.

for

Proceeds—

For general corporate purposes.
T. Moore & Co., Louisville, Ky.;

Underwriters—Berwyn
Gearhart & Otis, Inc.,
New York, and Crerle & Co.,
Houston, Tex.

expansion; equipment;
Underwriter—None.

and

other

cor¬

purposes.

Century Controls Corp.,

Farmingdale, N. Y.

Aug. 27 filed 120,000 shares of

common

stock

■

(par $1).

Price—At market (over-the-counter price in New York).
Proceeds—To selling stockholder (Ray, Daisley &
Co.,

stock

Inc.)

pay

Century Food Markets Co. (10/9)
Aug. 30 filed $2,000,000 of convertible subordinated de¬
bentures and 40,000 shares of common stock (par $1) to
be offered in units of $50 of debentures and one share

Bridgford Packing Co., Anaheim, Calif.
(par $1).
Price—$1.35 per share.
Proceeds—To
obligations, purchase equipment, etc. Office—1368
Patt Street, Anaheim,
Calif.
Underwriter—J. D.

No.

Creger & Co., 124 North Bright Avenue, Whittier, Calif.
Investment

Co., Ltd., Honolulu, T. H.
shares of common stock (par $1).

filed 60,075

July 11

Price—At net asset

7V2%

value, plus

of stock. Price—To be

the offering price.

Proceeds—For investment.
diversified, open-end investment company
type. Underwriter—Brown Manage¬
Co., 833 Alaska St., Honolulu, Hawaii.

Office—Youngstown, Ohio.

of the management

Chinook Plywood, Inc., Rainier, Ore.
Sept. 4 filed 200 shares of common capital stock. Price—•
At par ($3,000 per share). Proceeds—For acquisition of
a
plant site, construction of a mill building, purchase

Brush Beryllium Co.

Sept. 11 filed 400,000 shares of common stock (par $1),
of which 375,000 shares are being offered publicly and
25,000 shares are being offered for subscription by com¬
mon stockholders.
Price—$10 per share. Proceeds—For
expansion program. Underwriters—Kuhn, Loeb &; Co.,
New York, and "McDonald
& Co., Cleveland, O., for
public offering. Stockholder offering is not underwritten.

and

offered

Chisago City Telephone Co., Chisago, Minn.
(letter of notification) 1,000 shares of common

stock to be offered to stockholders.
per

subscription by common
16, 1956 at the rate of one new share for

program.

excavators in

First Boston
Burma

Business—Produces

the United

States.

power

•

Underwriter—The

writer—To

general

named

corporate

purposes.

Under¬

later.

(10/15-19)
Sept. 27 filed 250,000 shares of common stock (par $1)
of which 225,000 shares are to be offered to
public and
25,000 shares to employees' (latter figure includes 21,000
shares

sold

for

account

selling

stockholder).

Price—To

public, $10.25 per share; and ~f6~employees,
per share.
Proceeds—For-expansion of physical
plant and for working capital for development of new
lines.
Business—Electrical connectors.
Underwriter

$9.25

Christiana

•

California Electric Power Co.

bidding.

Corp.

(10/24)

common

stock

(par $1).

Corp., Chevy Chase, Md,
(letter of notification) 15,500 shares of class A
stock (par $12.50), to be offered for
subscription
by stockholders. Price—$17 per share.
Proceeds—For
working capital, etc. Underwriter—The Matthew Corp.,
Washington, D. C.

common

★ City-Wide

Mortgage Co.
(letter of notification) $250,000 of certificates
indebtedness, bearing 4% interest; 1,725 shares of 5%

Sept. 28
of

cumulative

preferred

stock

stock (par $25) and 188 shares
(par $25). Price—At par. Proceeds—•
For expansion and working capital. Office—1007
Grand
Ave., Kansas City, Mo. Underwriter—None.
common

Colorado

Springs Aquatic Center, Inc.
shares of common stock

(10/9)

determined

filed 500,000

(par

jcents).

Sept. 10 filed $8,000,000 first mortgage bonds due 1986.
Proceeds—To repay bank loans and for new construc¬
Underwriter—To

Oil

'Citizens Credit

Aug. 23

Alstyne, Noel & Co., New York.

tion.

($25

Under¬

Aug. 27

—

Van

Price—At par

construction.

York.

($L,per share). Pro¬
exploration, drilling, working

other

new

Canada

shares to promoters. Price—At
par
ceeds — For equipment,

and

For

Corporation, and Model, Roland & Stone, both of New

Mines, Ltd., Toronto,

July 26 filed 600,000 shares of capital stock, of which
500,000 shares are to be offered publicly, and 100,000

capital

—

Price—To be supplied by amendment. Proceeds—To re¬
tire $2,500,000 of outstanding term bank loans and for
other corporate purposes. Underwriters — Laird & Co,

cranes

Corp., New York.

Shore

Proceeds

Sept. 26 filed 400,000 shares of

held; rights to expire on Oct. 31, 1956.
supplied by amendment.
Proceeds—For

Price—To

share).

writer—None.

each five shares

expansion

machinery and equipment, and as
Underwriter — Industry Developers,

Sept. 6

(par $5)
stockholders

for

Inc.

stock

common

installation

operating capital.

„

Bucyrus-Erie Co. (10/17)
Sept. 25 filed 311,040 shares of

supplied by amendment. Proceeds

Co., Inc., Chicago, 111.

Business—A

ment

Underwriter—None.

—To repay bank loan, for expansion and working capital.
Underwriter—H. M. Byllesby &

selling commission of

• Burndy Corp., Norwalk, Conn.

subscription by

Corp.; Lehman Brothers, Bear, Stearns &
Eastman,
Dillon,
Union
Securities
&
Co.
Bids—Expected to be received on Oct. 23.

Aug. 13 (letter of notification) 222,222 shares of common

filed

Proceeds—To

per¬

Boston
and

(jointly).

and

Credit

Corp., Philadelphia, Pa.
$600,000 of 6% convertible subordinated
debentures due June 15, 1968. Price—100% of principal
June

Securities

determined

of record Oct.

April 30 filed 2,000,000 shares of common stock (par $1).
l*rice—$1.50 per share. Proceeds—For working capital
and general corporate purposes.
Underwriter — To be

addi¬

bidding.
Probable bidders: Blyth & Co., Inc., Merrill
Lynch, Pierce, Fenner & Beane and Stone & Webster
Corp. (jointly); Glore, Forgan & Co.; The

(10/11)

Proceeds—To reduce bank loans. Underwriter
by competitive bidding.
Probable
bidders: W. C. Langley & Co.; Stone & Webster Secu¬
rities Corp.; Salomon Bros. & Hutzler; Kidder, Peabody
& Co.; Harriman Ripley & Co., Inc.
Bids—To be re¬
ceived up to 11 a.m. (EDT) on Oct. 11 at 49 Federal
Street, Boston, Mass.

•

-Sept. 5

to purchase

Proceeds—To repay bank loans and for construction
pro¬
gram.
Underwriters—To be determined by competitive

11, 1956.

Brown

Anheuser-Busch, Inc., St. Louis, Mo.

Incorporated, Philadelphia

if Central Illinois Public Service Co. (10/23)
Oct. 1 filed 170,000 shares of common stock
(par $10).

fered

14, 1956 at the rate of one new share for each 10 shares
Jield; rights to expire on Nov. 5, 1956. Price—At par
($100 per share) payable in one or two payments. Pro¬
ceeds—For expansion of plant and for advances to, and

Co.

300,000 common shares and reoffer them
selected by it at $1.10 per share.

sons

preferred share for each common share held as of Oct.
be

Latter has agreed

tional

(par $100), of which 1,430 shares are to be offeree! for
subscription by common stockholders (other than East¬
ern Utilities Associates, the parent)
on the basis of one

—To

Blair

—

and New York.

;

Aug. 15 filed 25,000 shares of cumulative

$4,100,000 will be used to acquire

and develop additional sites for related real
activities, and for general corporate purposes.

Underwriter

Denver, Colo.
April 6 (letter of notification) 1,000,000 shares of class
A common stock (par five cents).
Price — 10 cents per
share. Proceeds — For mining expenses. Office — 762
Denver Club Bldg., Denver, Colo. Underwriter—Birkenmayer & Co
Denver. Colo.
~

record

class A

new

class B

shopping: center sites and a Penn Fruit super
market adjacent to one of them; the balance will be used
to develop shopping centers at the seven sites and to

—131

Proceeds—About

seven

Birnaye Oil & Uranium Co.,

^American Petrofina, Inc., New York (10/15)
Sept. 26 filed 1,049,820 shares of class A common stock
(par $1), of which 50,000 shares are to be offered to
directors, officers and employees and the remaining
399,820 shares are to be offered for subscription by class
A

unit.

—For extensions and betterments to water system. Office

Fain is President.

cent) to be offered in units of $50 of debentures
and 10 shares of stock (neither of which will be separ¬

(letter of notification) 6,946 shares of common
(no par). Price—$43 per share. Proceeds

Sept. 11

bank loans

pay

May 11 filed 179,000 shares of common

Treasurer.

ITEMS

Price—To be supplied by amendment.
writers

Washington,

Industries Corp.,

Carolina Power & Light Co. (10/16)
Sept. 25 filed 500,000 shares of common stock

Fund, Inc.

Development Secu¬

ton, D. C. Distributor—Automation
rities Co., Inc., Washington, D. C.
Automation

Finance Corp.,

•

Aug. 24 filed 300,000 shares of common stock. Price—At
market.
Proceeds—For investment.
Office—Washing¬

.'Davis & Co., Grand Junction, Colo.
American Federal

Registration

Now in

Securities

ADDITIONS

SINCE

competitive

Price—$1 per share. Proceeds—For swimming
pool and related activities, bowling alley, site preparation
including parking, and land cost ($95,000).
—Arthur L. Weir & Co. and
orado

Probable

Underwriters

Copley & Co., both of Col¬

Springs, Colo.

bidders: Halsey, Stuart & Co. Inc.;
Merrill Lynch, Pierce, Fenner & Beane
and Kidder, Peabody & Co.
(jointly); Blyth & Co., Inc.;
The^ First Boston Corp. and Salomon Bros. & Hutzler
(jointly); Lehman Brothers; White, Weld & Co. Bids—

Baking Co., Atlanta, Ga.
Aug. 17 filed 26,768 voting trust certificates, each repre¬
senting the beneficial interest in one share of common

Shields

& Co.;

received

to 9

a.m.

(PDT)

Oct.

Room

900, 433 So. Spring St., Los Angeles 13, Calif.
Carmel

New York

Boston

Philadelphia

Private Wires

Pittsburgh

San Francisco
to

all

offices

Chicago

Cleveland

Petroleum

stock

(no par), to be offered fop subscription by holders
outstanding common stock and participating preferred

stock

the

basis

one

voting

trust

certificate

for

each eight shares of either class of such stock then
held

Co.

Aug. 24 (letter of notification) 300,000 shares of common
stock (par 10 cents).
Price—$1 per share. Proceeds—
For expenses incident to
development of oil and gas
property.. Office—Osawatomie,
Underwriter—None.

Columbia

Miami

County",

Kansas.
:

(with
rants

oversubscription privilege); subscription war¬
good for a period of three weeks. Price—
Proceeds—To reduce bank -foans. Under¬

$25 per share.
writers—The

Hilsman

Robinson-Humphrey Co.,
Co., both of Atlanta, Ga.

Inc.

and

Number 5574

Volume 184

^ Commonwealth Edison Co., Chicago, III. (10/17)
27 filech 400,000 shares of cumulative preferred
stock (par $100). Price—To be supplied by amendment.
Proceds—For
expansion program.
Underwriters—The
First Boston Corp. and Glore, Forgan & Co., both of New

Sept.

York.

Power Co.
Sept. 27 (letter of notification) 4,275 shares of common
stock (par $25). Price—$37.50 per share. Proceeds—For
construction program.
Office — 176 Cumberland Ave.,
Wethersfield, Conn. Underwriter—None.
it Connecticut

Edison Co. of N. Y., Inc.
(10/23)
filed $40,000,000 first and refunding mortgage
bonds, series M due 1986.
Proceeds —To help finance
1956 expansion program.
Underwriter — To be deter¬
mined by competitive bidding. Probable bidders: Halsey,
Consolidated

Sept. 21

Stuart & Co.
ton

Inc.; Morgan Stanley & Co.; The First Bos¬
Bids—Expected to be received on Oct. 23.

Corp.

(1465)

The Commercial and Financial Chronicle

...

The

least

Aug. 16 (letter of notification) $250,000 of 10-year 5V2%
collateral trust bonds due Sept. 9, 1966.
Office—7352

51%

Office

expenses.

Springs, Colo.
Denver, Colo.

Underwriter

rate of

IV4

Texas.

Aug.

Co.,

each

ceeds—For

Price—$9.50

or one

Office —
Underwriter—None.

Douglas Corp., Fort Collins, Colo.
July 27 filed 4,000,000 shares of common stock (par oner
cent). Price — 10 cents per share. Proceeds — For ex¬

Sept. 28 (letter of notification) $250,000 of 6% 10-year

units

offered

stock.

attached) and
(par 50 cents)

(with warrants

of class A

stock

common

Price—$525

debenture

$500

one

unit.

per

ploration, development and acquisition of properties audi
working capital. Underwriter—Columbia Securities'

for

and

one

1957 at $2 per share). Proceeds—To repay mortgages, to
$1,312,500 of five-year 6% sinking fund debentures, and
for further acquisitions and working capital.
Under¬
writer—To be named by amendment.

jr Dalton Finance, Inc., Mt. Ranier, Md.
debentures

purchase five common shares. Price—$25.5(1
(each warrant will entitle the holder to pur¬
common share at any time prior to Dec. 31,

unit

chase

Pro¬
747 Windsor

working capital, etc.

Co., Denver, Colo.

Proceeds—For

Douglas Oil Co. of

ISSUE

common

CALENDAR

Approximately $1,200,000 to retire outstandingnotes; $1,000,000 for repayment of shortterm bank loans; $850,000 for construction of a unifying"
unit and a topping unit; and $350,000 for operating cap¬
ital.
Underwriter — Shearson, Hammill & Co., New
York. Statement withdrawn Sept. 26.

ceeds

Equip. Trust Ctfs.

Chicago & North Western Ry
(Bids

CDT)

noon

October

(Thursday)

Bucyrus-Erie
(Offering

$3,360,000

Common

Co.

(Friday)

CoriSmonwealth

National Newark & Essex Banking Co.
of

(The

Common

Newark

Boston

First

Edison

October
Astron

Co.)

Bell Telephone &

Telegraph
$60,000,000

EDT)

a.m.

Union Bank & Trust Co., Los
(Oifering
&

stockholders—to

October 22

-Common

underwritten by Blyth
$3,990,000

Meyer & Fox;

(

TEMCO
October 9

(Tuesday)

California Electric Power Co
(Bids

Bonds

Byllesby

Co.,

$2,000,000
of stock

Inc.)

Underwood

debentures

United

Corp

Cuban

and

expansion. Office—18th Ave. and Edison Way, Red¬
Cailf. Underwriter—None. Unsubscribed de¬
bentures will be purchased by Consolidated Engineering

stockholders.
Ltd.
June 4 (regulation "D") 500,000 shares of common stock
(par $1). Price—60 cents per share. Proceeds—For gen¬
eral corporate purposes.
Office—Toronto, Canada. Un¬
&

$5,000,000

Common

Fuller

Co.)

Mart, Inc

(Offering

Hammill &

Co.)

90,337

Hawaii

Weeks

$2,500,000

Becker & Co.

(Bids

Pacific Finance
(Blyth

Co.,

invited)

and

Debentures
Hornblower

Weeks)

Fansteel

Metallurgical

(Laird

Co.

(Hallgarten

Co.)

(The

$3,000,000

Seaboard

Finance

Southern

New

(Offering

stockholders—no

(Bids

Southern

Trust Ctfs.

-Equip.

stockholders—no

Standard

Read

Co.

Common
-Preferred

$15,000,000

Inc.)

Blackstone

(Thursday)

11,a.m.

EDT)

Gold Seal Dairy Products

Corp.__ .—Class A Stock

(Whitehall Securities Corp.)

Fenner

Light

(Wednesday)
Preferred

November

Mobile

Gas
to

Service

(Bids

——Common

—

invited)

Pyramid Productions, Inc.
j
(E. L. Aaron & Co.i
t

Sept.

/ V.

(Offering
& Co.;
-

stockholders—to, be

-—--Class A Common

underwritten

Burndy Corp.'
(Van

$1,000,000

Noel

•,

$2,306,250

October 16
Carolina
(Merrill

Power
Lynch,

Pierce,
<te

Co.,

Light

Corp.)

$250,000

Co.,

Inc.)

invited)

a.m.

$2,766,750

•

(10/9)

1, 1976. Price—To be supplied by
Proceeds—To repay bank loans ($4,500,006

drills

1956) and for working capital. Businessair tools, air compressors, pumps and

and

Weeks, New York, and A.
cago,

111.

Power
to

———

invited)

$3,000,000

(Bids

mon

-Bonds

Underwriters—Hornblower &
G. Becker & Co., Inc., Chi-

invited i

December

(Bids

Bonds

(Tuesday)

invited)'$30,000,000

Proceeds—For expenses
,

shares of comr
cents per shars
incident to mining operations.

(letter of notification) 1,200,000
(par five cents). Price— 25

stock

Office—Kemmerer, Wyo. Underwriter—Philip
& Co., Inc., New York 6. N. Y.
Genco

$15,000,000

Michigan Bell Telephone Co

Hills Mining and Oil, Inc.

Oil Co.,

Gordon*

Inc.

notification) 55,000 shares of common
stock (par $1). Price—$5 per share.
Proceeds—For oil
development expenses. Office — 1907 Broadway Ave.,
Scottsbluff, Neb.
Underwriter — Edward C. Colling,
Aug. 24 (letter of

(Tuesday)

Carolina Power & Light Co

Jan. 4

Gas Co.——-Bonds
$50,000,00(18

Gas

EST)

November 27

Equip. Trust Ctfs.
to

Quincy, III.

$10,000,"()Qp of convertible subordinated

portable pneumatic tools.

...

V-•;?

New York, New Haven & Hartford RR.
(Bids

Pacific

$8,000,000

(Wednesday)

Electric &

(Bids

Dickson

-Common
500,000

Service

(Bids

Common

about

Public

J *
Sierra

Fenner & Beane and R.
Inc.) 500,000 shares

Incorporated)

November 14

(Tuesday)

Georgia-Pacific Corp.—
(Blyth

(Blair & Co.

"1.

/Debentures

(Walnut Securities

>•"/■

filed

June 30,

Rock

.Debentures & Common

Centers Corp.

Common
Co.)

amendment.

_...Common

(Monday)

Auto Co.

Weld

$10,998,020

—;__i—z—
Alstyne,

Oxford Loan Co.——
.

White,

Blyth ti Co., Inc.; and Hemphill, Noyes & Co.)

November

share lot

debentures due Oct.

American Petrof iria, Inc.-..

Wheel Drive

Four

Gardner-Denver Co.,

Morgan

-Equip. Trust Ctfs.

$7,305,000;

$1,500,000

October 15. (Monday)

(Thursday) ;V

November 8

1956 at the rate of one new

12 filed $1,500,000 of convertible debentures due1, 1971. Price — To be supplied by amendment.
Proceeds—$130,058 to retire \>k% sinking fund deben¬
tures due July 1, 1957; and for expansion program and
working capital. Underwriter—A. C. Allyn & Co., Inc.,
Chicago, 111. Offering—Postponed.

Common
underwritten
263,400 shares
be

Pittsburgh & Lake Erie RR.

Oct. 9,

Oct.

Common
30,000

Detroit

stockholders—to
Stanley & Co.)

(10/9)

Sept.

(Thursday)

Corp.i.

stockholders—no underwriting)

Bank

(Offering

Texas

held; rights to expire on Oct. 23, 1956.
Price—To be supplied by amendment.
Proceeds—Fox.
expansion, equipment and working capital. Underwriter
—Shearson, Hammill & Co., New York.

$6,500,000

Beane)

Mart, Inc., El Paso,

18 filed 90,337 shares of common stock (par $2>
offered for subscription by common stockholders

of record

Common

Co.

Pierce,

each eight shares

$6,000,000

EST)

a.m.

•

$2,500,000

Holiday Oil & Gas Corp..;L____.l

Peabody & Co.; Eastman Dillon, Union Securities &
Co.\ and Merrill Lynch, Pieice, Fenner & Eeane) 100,000 shares

(All States Securities Dealers, Inc.) $1,000,000

Ljnch,

Power

National

Preferred

Valley Gas & Electric Co
(Bids

October 31

Texas

(Offering

October

Sept.

$28,000,000

EST)

a.m.

Register1

(Merrill

171,187 shares

underwriting)

Texas Eastern Transmission Corp
(Dillon,

debentures due*
by amendment.
construction of
tantalum-columbium facilities at Muskogee, Okla.

Food

(Tuesday)

(Kiader,

Southern Union Gas Co.__r
(O.fering

679,012

$9,600,000

EDT)

noon

new

Preferred

(Bids

Co—Common

underwriting)

(10/10)

Underwriter—Hallgarten & Co., New York.

$1,125,000

Ohio Power Co

$15,000,000

(Bias

Inc.)

Bonds

(Bids

England Telephone Co.__ Common
11-a.m. EDT)
1,173,696 rights",

Pacific

Co.,

Power

Notes
Corp.)

Boston

England. Telephone

Southern New

Ohio

First

(The

(Monday)

Metallurgical Corp.

Sept. 11 filed $3,000,000 of subordinated
Oct. 1, 1976.
Price — To be supplied
Proceeds—Together with bank loan, for

—

Debentures & Common

Krensky

$10,000,000

Corp.)

October 30

Common
158,025 shares

EDT)

a.m.

Boston

Fansteel

/——Preference

Corp

development of branch offices; and for research,
tests,' and testing equipment. Underwriter—
Brothers, New York.

$583,120

Inc.)

Lieberknecht, Inc.
11

First

Vickers

400,000 shares

Roland & Stone)

Model,

and

of class A common stock
per share. Proceeds—To
of and increase of inven¬

laboratory

Common

Miami Window Corp
(Arthur

tory; for

(Wednesday)

October 29

Common

'
Landstreet & Kirkpatrick,

(Bids

Corp.

Debentures

Corp

York, Inc.—Bonds

Corp

Natural Gas

(Wednesday)

Kusan, Inc.
(Clark,

Oil

$25,000,000

Houston

October

Christiana

Orleans, La.

Sept. 24 filed 200,000 shares
(par 50 cents).
Price—$4.50
repay loan; for maintenance

$40,000,000

invited)

$12,500,000

Corp

Inc.

(Bids

Bonds

(Territory of)

170,000

Eternalite, Inc., New

Common

Consolidated Edison Co. of New

$10,000,000

Inc.)

derwriter—Foster-Mann, Inc., New York.

(Tuesday)

Service

(Bids to be invited)

Debentures

and

Public

Illinois

Central

Shearson,

Gardner-Denver Cc
(Hornblowcr &

October 23

Common

stockholders—underwritten

Manufacturing Co., one of the

Eastern-Northern Explorations,

40,000 shares

Food

con¬

stockholders o£

wood City,

$5,000,000

Brothers)

$200,000 Of 6%

offered

and
*

Debentures

Oil, Inc

(S.

—For

Debentures
& Co.)

Keith Reed

and

Corp.
(Lehman

Debentures & Com.

Century Food Markets Co
(H.

Aircraft

Allyn & Co'. Inc.

$8,000,000

PDT)

a.m.

(A.

being

Price—At par

Debentures
$4,000,000

Van Alstyne; Noel &

Inc.

notification)

debentures

Aug. 15, 1956; rights to expire on Oct. 8, 1956.
(in denominations of $100 each). Proceeds
acquisition of factory equipment, note payable*

record

Stores, Inc
..Common
Cof knd Johnston, Lemon & Co.) $2,160,000

".Hartfield

(letter

Aug.

(Monday)

(Allen & Co.)

Consolidated,

Duro

vertible

Stores, Inc

ACF-Wrigley

Angeles

Co., Inc. and Stern, Frank,

•

$2,640,000

CST)

noon

Underwriter—None.

expansion, etc.

Equip. Trust Ctfs.

RR.

Debentures
11:30

(Thursday)

Minneapolis, St. Paul & Sault Ste. Marie
(Bids

Co.
(Eids

and certain subsidiaries and associated companies.
Subscriptions will be received by the company Oct. 1
through Oct. 26. Price—$60 per share. Proceeds—For

pany

25,800 shares.

45,000

150,000 shares

Haupt & Co.)

to be

Common

Midland, Mich.

150,000 shares of common stock (par $5)
offered for subscription by employees of the com ¬

Aug. 27 filed

Ctfs.

Trust
!

Chemical Co.,

Dow

$40,000,000

Co.)

$5,220,000

EDT I

noon

Equip,

—

(Kidder, Peabody & Co.)

Class A Common

(Ira

Forgan
.

Steel

First

Preferred

Co
Glore,

and

October

by
shares

311,040

—

(Bids

Common
Noel

Alstyne,

Corp.___

Southern

Pressed

(Monday)

Corp
(Van

Knox

Co.

Standard

by Merrill
55,000 shares

Pierce, Fenner & Beane)

Corp.)

Corp.

Reading

Lynch,

stockholders—underwritten

(Offering

The

stockholders—underwritten

Boston

October

(Wednesday)

—

secured

5%
October 4

California

filed $3,500,000 of debentures due 1968, with,
to purchase 350,000 shares of $1 par valuestock. Price—100% of principal amount. Pro¬

Sept.

warrants

NEW

Colo.

warrant to

per

share.

per

Oil & Mining Corp., Denver,

(par 10 cents) to be offered for subscription initially by
stockholders in units of 25 preferred shares and

held.

warrant

Lake*

Brothers, Houston,

common

Inc.

share for each two shares now held

one

for

boat#

filed 2,500,000 shares of 6% convertible nonpreferred stock, first series (par $1), and
to purchase 500,000 shares of common stock

warrants

(letter of notification) 4,123 shares of common
(par $5) to be offered to stoekholders on the basis

stock

cumulative

Aug. 22

Hartford

La.
Underwriter—Vickers
Statement effective.

Charles,

(par $1). Price—$6.25 per share. Proceeds—To sell¬
stockholders.
Office — 2201 West Burbank, Calif.
Underwriter—Neary, Purcell & Co., Los Angeles, Calif.

be offered

Co. of

payments of notes, to purchase and equip tnree
and working capital. Office—1111 No. First Ave.,

San Rafael, Colorado
Skyline Securities, Inc.,

ing

25,000 shares

Insurance

mon

stock

Cro-Plate

Inc.,

Diversified

subordinated

Fire

—

Whitney & Co., Inc.,

(letter of notification) 150,000 shares of com¬
stock (par $1). Price—$2 per share. Proceeds—For

"May

(letter of notification) 8,000 shares of common

★ Continental Casualty Co., Chicago, III.

National

East

1902

—

"T* Devall Land & Marine Construction Co.,

Inc.

Crestmont Oil Co.
June 28

Sept. 28 filed 625,000 shares of capital stock
in

working capital.
Underwriter
Washington, D. C.

National

the acceptance of

March 8 (letter of notification) 575,000 shares of common
stock. Price—50 cents per share. Proceeds—For mining

St., Hartford, Conn.

(par $5) to
exchange for outstanding capital stock of

one

upon

of National stock.

(255,000 shares)

Ave., St. Petersburg, Fla. Predecessor—Lynch
Oil Co.
Underwriter—Security & Bond Co., Lexington,
Kentucky.

Central

for

stock

conditional

offer

Crater Lake Mining & Milling Co.,

Consolidated Oil Management

Continental

shares
stock.

Scottsbluff, Neb.

Debentures

Continued

page

(1466)

The Commercial and Financial

Continued

jrom

page

★ Hartfield Stores,
(10/22-26)

General Credit, Inc., Washington, D. C.

Oct.

Aug. 17 filed $2,000,000 of 6% subordinated sinking fund
debentures, due Sept. 1, 1971, with detachable warrants
to purchase 160,000 shares of participating preference
stock, to be offered in units of $500 of debentures and 40
warrants.
Price—$500 per unit. Proceeds—For expan¬
sion and working captal.
Underwriter — None named.

two

for

each

seven

cents).

New

Refining Co., according to purchase agreement
signed Aug. 10, 1956. Underwriter—The First Boston
Corp., New York.
*
.

Uranium

Statement effective March 11.

(par $1),

stock.

common

par

Gold Mountain

Lodge, Inc., Durango, Colo.
5,000 shares of class A voting common
$1), 295,000 shares of class B non-voting

-Aug. 23 filed
(par

common

due

Dec.

stock

(par $1), and $700,000 of 4% debentures
31, 1975, to be offered for sale in the States

?of Texas and Colorado in units of 50 shares of class A
stock, 2,950 shares of class B stock and one
$7,000
^debenture. Price—$10,000 per unit.
*

Proceeds—For pur¬
chase of property,
remodeling of present main building,
for new construction and
working capital. Business—
Operates year-round resort hotel.
Underwriter—None.
•

Gold Seal

Dairy Products Corp.

Sept. 20 filed

(10/11)

200,000 shares of class A stock (par 10
cents), of which 15,000 shares will be reserved for sale
-to employees at
$4.55 per share.
Price—$5 per share
to public.
Proceeds—For expansion and to
repay

out¬

standing obligations. Office—Remsen, N. Y. Underwriter
States Securities
Dealers, Inc., New York.

—All
f

*Grand River Orchards, Inc.,
Geneva, Ohio
Sept. 20 (letter of notification)
$25,000 of 12-year 5%
debenture notes.
Price—At par
(in denominations of
$500). Proceeds—For working capital. Address—R F
D
No. 3, Geneva, Ohio.
Underwriter—None.

• Great Northern Life Insurance Co.
Sept. 20, (letter of notification) 44,000 shares of common
stock
(par $1).
Price—$6.75 per share. Proceeds—For
working capital and unassigned surplus. Office —119
West Rudisill
Blvd., Ft. Wayne, Ind.
Underwriter
Northwestern Investment,
Inc., Ft. Wayne, Ind.

—

Growers Container
Corp., Salinas, Calif.
■May 28 filed 600,000 shares of common
be

are

ra^

corpo¬

purposes.

Underwriter—None.

Gunkelman

(R. F.)

May 25 (letter of
lative preferred
t

Proceeds

business.

—

cumu¬

stock

(par $100). Price—$98 per share,
For expenses
incident to commercial grain

Underwriter—W.

R. Olson

Co., Fargo, N. D.

Hard Rock

Mining Co., Pittsburgh, Pa.
(letter of notification)
1,000,000 shares of com¬
mon stock
(par one cent). Price—Five
cents per share.
Proceeds—To purchase
machinery and equipment and
Feb.

;£.rr«h°rD g„c^pital-..-0ftice —377
•burgh, Pa.
Underwriter—Graham

McKee Place, Pitts-

for

outboard cruisers.'

Office—471

E. 79th Street.

Miami,
Fla. Underwriter—Atwill &
Co., Miami Beach, Fla.
Corp. of Florida

Aug. 24 filed $515,000 of $60 cumulative preferred stock
to be offered in units of $1,000 each and
5,150 shares of
common stock to
be offered to purchasers of preferred
stock at 10 cents per share at rate of ten shares for
each preferred share bought. .* Proceeds—For
working
capital.
Office—Fort Lauderdale, Fla.
Underwriter—
None.
Joa Co.

July 27 (letter of notification) 110,000 shares of common
stock (par 20 cents).
Price—$2.50 per share. Proceeds
—For

sales

Scenic

•

Johns-Manville Corp.
Sept. 12 filed 648,696 shares of common stock (par $5)
being offered for subscription by codimon stockholders
of record Sept. 28, 1956 at the rate of
each 10 shares held; rights to

one

new

Underwriter—Morgajp Stanley & Co.,

Kerr

New York-.

Income

Fund, Inc., Los Angeles, Calif.
July 30 filed 100,000 shares of capital stock (par $1), of
which

share.
to

the

8%%
ment

9,300 shares will be initially sold at $10.98 per
Additional shares will be offered at a price equal
value of the Fund, plus a sales load of

net asset

of such price. 'Proceeds—For investment. Invest¬
Manager — California Fund Investment Co., of

which John Kerr is also President.

Sept. 11

(letter of notification) $150,000 of 6% sinking
fund capital
debentures, series A, due Sept. 1, 1971. Price
For

par

■

★ Loyal American Life Insurance Co., Inc.,
Mobile, Ala.
Sept. 28 filed 230,000 shares of common stock (par $1.)
to be offered for subscription by common stocknolders
of record Oct. 15, 1956 at the rate of one new share for
each three shares held.
ment.

Proceeds—To

Price—To be supplied by amend¬

increase

capital and surplus. Un¬
Goddard & Co., Inc., Eoston, Mass.,
Thornton, Mohr & Farish, Montgomery, Ala.

derwriters—J, H.
and

Macimiento

Uranium Mining Co<p.
(letter of notification) 1,000,000 shares of com¬
(par one cent); Price—20 cents per sha e.

July 31
mon

stock

Proceeds—For

current

liabilities, exploration, admin sworking capital. Office — Kb no
Bldg., Albuquerque, N. M. Underwriter—Carroll & C o.t
Denver, Colo.
trative

and

expenses

Macinar, Inc.
July 23 (letter of notification) 400,000 shares of common
stock (par 50 cents). Price—-75 cents
per share. Proceeds
—For general corporate purposes.
tures

denominations

steel

writer—C.

and

J.-

Business — Manufac¬
specialty products.
Under¬

aluminum

Montague,

Inc.,

York 17, N. Y.

William

$1,000

each.

Proceeds—

working capital. Office
911 Tenth St., Greeley,
Underwriter—Wachob-Bender Corp., of Omaha
Lincoln, Neb.
—

Colo.

Street,

New

Madison Gas & Electric Co., Madison,Wis.
Sept. 10 filed 68,334 shares of common stock (par $16)
to be offered for subscription by common stockholders
of record Oct. 1, 1956 on the basis of one new share *or
each five

shares held;

rights to expire Oct. 29.

Price—

To be supplied by amendment. Proceeds—For
construc¬
tion program. Underwriter—None.
•

Marsh Steel Corp., No. Kansas
City, Mo.
*
^
Sept. 13 filed $300,000 of 5%% series debentures due 1957
to 1962 being offered in
exchange lor outstanding 5%
series A debentures, with a cash
adjustment for interest
on the
outstanding debentures. Price—100% of

accrued

principal amount.
Lincoln, Neb.

Underwriter—The

First Trust Co.,

Mascot Mines, Inc.
July 9 (letter of notfication) 280,000 shares of common
stock (par 17% cents). Price—25, cents
per share
Pro¬
ceeds—For payment on properties;
repayment rf-ad¬
vances; exploration and development and working cap¬
ital. Office—508 Peyton
Bldg., Spokane, Wash. Under¬

writer—Standard Securities Corp., Spokane, Wash
Matador Oil Co.

Aug. 24 (letter of notification) 120,000 shares of common
stock (par $1).: Price—$2.50
per share. - Proceeds—^For
development of oil and gas. Office—130 South Fourth
St., Las Vegas, Nev. Underwriter'—Mountain Stages Se¬
curities

Corp.,

Metal

same

city.

Hydrides,

Inc.,

Beverly,

Mass.
filed 85,266 shares of common stock (oar;$5)
being offered for subscription by common stockholders
of record Sept. 26 on the basis of one new
share. ior

Aug. 23

each three shares

held (with an
oversubscript;or pri .ilege); rights to expire on Oct. 10. Price—At a price of
$17.50 per share. Proceeds—For construction of plant a id
working capital. Business—Hydrides of calcium, luhtu
n,
potassium and sodium, etc. Underwriter—White WeM
&

Co., New York, for 44,362 shares; with Ventures, Ltd.'
remaining ^0,9^4

and its subsidiaries to subscribe ior the

shares.

★ Miami Window Corp., H!a!ea\ Fla.

Kinney Loan & Finance Co.

—At

stockholders of record Sept.
preferred share for each 38 shares-of .'common,
heid); rights to expire on Oct. 15.i Pric1®—At par

one

($100 per share). Proceeds—To repay bank loans."*UJV
derwriters—Blyth & Co., Inc., The First Boston Corp.
and W. C. Langley &
Co., all of New York.

share for

expire on Oct. 17. Price—
$40 per share. Proceeds—For plant expansion and im¬
provements, working capital and other corporate pur¬
poses.

stocK, series
subscription by
28, 1956,-at rate

common

promotions and

operating capital. Office—
Highway, Lake Wales, Fla. Underwriter
—Anderson Cook Co., Inc., Palm Beach, Fla.
411 No.

(10/29-11/2)

Sept. 26 filed $750,000 of 10-year 6% convertible
sinking
fund debentures, due Nov. 1, 1966, and
150,000 shares
of common stock (par 50 cents).
Price—Of debentures,
98%%; and of stock, $2.50 per share.
Proceeds—For

machinery and equipment and general corporate
poses, including inventory and accounts receivable,

pur¬

pay¬

•

Knox

June

Corp., Thomson, Ga.
filed

150,000

(par $1). Price—To

general working capital. Un¬
derwriter—Arthur M. Krensky & Co., Inc.,
Chicago, 111.

(10/8-12)
ciass

common

stock

supplied by amendment (expectshare). Proceeds—To pay loans from banks

ed at $4 per
and factors; and for

working capital and other corporate
Business—Prefabricated homes, house trailer?
Haupt & Co., New York.

and lumber. Underwriter—Ira

Sons, Fargo, N. D.
of 5%

new

Shipbuilding Corp.
(letter of notification) 100,000 shares of common
stock (par 50 cents).
Price—$2 per share. Proceeds—
For general corporate
purposes. Business—Manufactures

purposes.

notification) 1,800 shares

two

180,000

ments of indebtedness and

offered

engaged

International

;

and

stock (par $1)
primarily to individuals and firms who
or
closely allied to the growing and
shipping industry. Price—$3 per share.
Proceeds—For
working capital, capital expenditures and other
to

ratio

Aug. 9

Investment

($10 per share).
Proceeds—For
working capital. Office—408 S. W. Fifth Ave.,
Portland,
/Ore. Underwriter—None.

stock

★

York.

Price—At

the

„

Georgia-Pacific Corp., Portland, Ore.
(10/16)
Sept. 25 filed a maximum of 500,000 shares of common

New

share.

per

★ International Bank of Washington, D. C.
Sept. 28 filed $1,000,000 of time certificates, series B, C
and D. Price—At 100% of principal amount. Proceeds—
For working capital.
Underwriter—Johnston, Lemon &
Co., Washington, D. C.

•

★r Gill (J. K.) Co.
Sept. 19 (letter of notification) 5,000 shares of

held; rights to expire on Oct. 12. Price
Proceeds—To repay bank loans and for
additions and improvements to property.
Office—Bristol,
Tenn. Underwriter—Courts & Co.,
Atlanta, Ga„ will un¬
derwriter 156,672 shares.
The remaining 128,328 shares
will be purchased by two
stockholders, viz: Southern
Bell Telephone &
Telegraph Co. and The Chesapeake!
Potomac Telephone Co. of
Virginia.

Corp. (N. J.), New York
400,000 shares of common stock (par 10
Price—$1 per share. Proceeds—For plant facil¬
ities, survey of property and underground development
Underwriter—None. Maurice Schack, Middletown, N. Y.v

and

Sept

each five shares

filed

.purposes.

record

—$10

cents).

mill; and for general corporate
Underwriter—Blyth & Co., Inc., San Francisco

Inter-Mountain

Telephone Co.
Sept. 6 filed 285,000 shares of common stock (par $10)
being offered for subscription by common stockholders

ofj the outstanding $1,060,000 notes and by

new

part payment for all of the capital stock of
Pipe Line Co. to be purchased from The At¬

lantic

Underwriter—None.

,\V; /

(par 19
for ac¬

sold

4.40%
cumulative
convertible
preferred
G
(par $100) being first offered for

(par 10
bank

(10/24)

stock

Underwriter—George A. Searigbi,

Long Island Lighting Co.:
April
5
filed' (by • amendment)

repay

ceeds—As

-not less than 39,400 of the
68,837 shares of Carlon stock.

for construction of

Proceeds—To

York.

Houston

(par $100) to be offered in exchange for common
stock and 6%
promissory notes of Carlon Products Corp.
The exchange offer will be
subject to acceptance by

the number of shares to be dependent
at time of
offering and will be
determined with a view to,
providing the company with
,net proceeds of
approximately $15,000,000. Proceeds—
For acquisition of all assets of
Hammond Lumber Co.;

share.

★ Houston Natural Gas Corp.

★

conditions

per

are

•

stock

Oct. 1 filed 100,000 shares of convertible preference stock
(par $100). Price—To be supplied by amendment. Pro¬

stock

market

corporate purposes.
New York City.

loans; to drill some 36 proven locations on now produc¬
ing leases; and for working capital. Office—Arkansas
City, Kan. Underwriter — Whitehall Securities Corp.,

Co., Akron, Ohio
July 27 filed 26,068 shares of $5 cumulative preference

Price—$3

common

and 90,000 shares for selling stock¬
Price—$T per-share, by amendment. Proceeds
exploration and development and other general

'—For

Holiday Oil & Gas Corp. - (10/11-15) •*-'
Sept. 21 filed 500,000 shares of common stock

Offering—Postponed.

Developments, Inc., Cleveiand, Ohio

holders.

Price

Calif.

General Tire & Rubber

stock

held.

Mining Co., Winterhaven, Calif.
April 13 (letter of notification) 250,000 shares of capital
stock. Price—At par ($1 per share). Proceeds—For min¬
ing expenses. Address — P. O. Box 308, Winterhaven,
Calif.
Underwriter—Arthur B." Hogan, Inc., Hollywood,

Indiana, Inc. C
Sept. 6 filed 95,000 shares of $2.50 preferred stock (no
par)
being offered in exchange for outstanding 5%
cumulative prefererd stock, series A, of Home Telephone
& Telegraph Co. and Citizens Independent Telephone Co.
on the basis of one share of General
preferred plus $2 in
cash for each share of Home
preferred, and one share of
General preferred plus $2.50 in cash for each Citizens
preferred share. The exchange offer is part of proposed
-plan of merger of Home and Citizens into General. Offer
will expire on Oct. 11.
Dealer-Managers—Paine, Web¬
ber, Jackson & Curtis and Stone & Webster Securities
Corp.

is President.

10 shares

Holden

General Telephone Co. of

share for each

new

general corporate
Underwriter—George

June 21 filed 600,000 shares of
cents), of which 600,000 shares

be supplied by amendment.
Proceeds—For plant
expansion program. Underwriter—None.

Park, Fla.> Underwriter^—Grimm & Co.r New York;
& Hough, Inc., St. Petersburg, Fla.; First Florida
Investors, Inc. and Leedy, Wheeler & Alleman, Inc.,
;both of *Oriando, Fla.; and Security Associates, Inc.,
Winter Park, Fla.
•

General

one

properties,

for

count of the
company

—To

•Beil

•Jan.

Lithium

Hawaiian Electric Co., Ltd., Honolulu
Sept. 21 filed 77,000 shares of common stock (par $20)
to be offered for subscription by common.-stockholders

ter

of all

Ariz.

equipment
Office—Tucson.

F. Breen, New York.

Aug. 31; rights to expire Oct. 9.
Price—$7 per share.
Proceeds—For general corporate purposes. Office—Win¬

owners

and

purposes.

Underwriter—Van Alstyne, Noel & Co., New
York; and Johnston, Lemon & Co., Washington, D. C.

at rate of

held

improvements,

shares of common stock (par $1).
share. Proceeds—To certain selling stock¬

Price—$9 per

• General
Guaranty Insurance Co.
Aug. 24 (letter of notification) 42,850 shares of common
stock (par $2.50) being offered to stockholders on the

—For exploration and evaluation of leasehold

holders.

Offering to be made through selected dealers.

basis

Inc., Los Angeles, Calif.

filed .240,000

Chronicle... Thursday, October 4, 1956

Co., Pittsburgh, Pa

•
Kusan, Inc., Nashville, Tenn. (10/10)
Aug. 29 filed 116,624 shares of common stock

(par $1).
Price—$5 per share. Proceeds—To reduce debt, for new
tooling and equipment and working capital. BusinessManufacturer of toys, eiectric trains and various
custom
plastic items. Underwriter—Clark, Landstreet & Kirk-

Patrick, Inc., Nashville, Tenn.
Lewisohn Copper Corp.
March 30 filed 100,000 shares of common stock
(par 10
cents). Price—To be supplied by amendment. Proceeds

Michigan Wisconsin Pipe Line Co.
July 2 filed $25,000,000 of first mortgage pipe lin? bonds
due 1976.
Proceeds—To pay off short term bar k loans
and

for

construction

determined

Halsey,

Stuart

program.

competitive
&

Co.

Inc.;

Underwriter

bidding.
The

First

—

Probable

bidders:

Bostor

Corp.;

Blyth

& Co., Inc.
Bids—Three bids were rece'ved on
Aug. 1, all for 4%s, but were turned down. No n;w date

for

bids has been set.

Minerals,
June

Inc., New York
filed 2,500,000 shares

1
of

Price—81.50 per share.

one

cent).

for

$2,400,000

the

Chavin

common

stc:k

Proceeds—To

(par

icquire

lead-zinc-copper-silv€r

mine

located

in South Central Peru, and for general
corporate
purposes
Underwriter — Gearhart & Otis,

Inj., New

York.

Offering—Postponed.

Volume 184

Number 5574

..The Commercial and Financial Chronicle

(1467)
Mission Appliance Corp. of
Mississippi
April 23 (letter of notification) 7,475 shares of ^referred
stock (par $20) and 29,900 shares of common
s^ock (par
$5) to be offered in units of one preferred and f jur com¬
shares.

mon

ly); Lehman Brothers.

—

it Monarch Laundry Machinery Corp. 17 (letter of notification) 275,000 shares of class
II non-voting common stock
(par $1) and 1,000 shares of
6% cumulative preferred stock (par
$11). Price—At par.
Proceeds—For operating
capital, etc. Office—516 N. W.
1st Ave., Ft.
Lauderdale, Fla. Underwriter—None..
Sept.

Mormon Trail Mining
Corp., Salt Lake City
9

(par

increase

one

•

By-Products, Inc.
.Y
(letter of notification) 2,000 shares of common
(par $1). Price—$5 per share. Proceeds—To pay

„

estate

taxes.

Office—800

Bankers

1 rust

Moines, Iowa. Underwriter-—T. C. Henderson
Inc.. Des Moines, Iowa.
'
.

National Life of

snares

short-term

bank

loans.

Co.,

mon

construction
/

250

machines

ticket

race

for issuance

race

•

(par

$2)

50,000

and

class. B

stock

Herrick

stock

common

$2). Price—To be supplied by amendment.

—To

selling

Underwriier

Tenn.,

and

Pi Jceeds
Office — Little Rock, Ark.
Securities Corp./ Nashville,
Y.
Offering — Indefinitely

stockholders.
—

New

Equitable
York, N.

it Nelson Finance Co.
bonds.1

...

(letter of notification)

debenture

$250,000 of 6%

10-year

Price—At

par
(in denominations of
Proceeds—For working capital. - Office—143
East Lancaster Ave.,
Downington, Pa. Underwriter—
None.'
r
; •.
y ;
/

$100 each).

[★ New England Armatures Corp., Danville, N. H.
A
Oct. 1
(letter of notification) 500 shares of preferred
stock.
Price—At par ($100 per share).
Proceeds—For
machinery and to increase inventory and working cap¬
ital.

Underwriter—None.

Niagara Uranium Corp., Salt Lake City, Utah 4
April 3 (letter of notification) 2,400,000 shares of com¬
..

mon

stock

Proceeds

(par 3%

Price—10 cents

cents).

For

per

—

& Co., Denver. Colo.?

mayer

•

-y.

•

11:30

at the rate of two shares for each share held

expire

1 roceeds^-To

Oct.

Price

—

$1.25

•

;
-

snare.

reserved for

acquire physical properties and franchises

per

working capital.. Underwriters
Inc., Charlotte, N. C. and McCarley & Co., Inc., Ashville, N. C.
■
• ;

North

Pittsburgh Telephone Co.
Sept. 12 (letter of notification) 6,000 shares of
stock to be offered to holders of
of Sept. 15, 1956 on the basis of

four shares held. Price—At
—To

reduce

demand

heny County, Pa.

/★ Northwestern

par

note.

common

one

new

man,

common

phone & Telegraph Co. (approximately $15,800,000) and
for, property additions and improvements.
Underwriter
(See also next paragraph).

Southern New England Telephone Co.
(10/10)
Sept. 19 filed 1,173,69<L rights to purchase 146,712 shares

Pro-

new capital stock (par $25) to be issued to American
Telephone & Telegraph Co., which owns 21.61% of the

outstanding stock of Southern New England Telephone
COi Proceeds—To American Telephone & Telegraph Co.
Underwriter—To be determined by competitive bidding.
Probable bidders: Blyth & Co., Inc.; White, Weld & Co.;
Putnam & Co.; Chas. W. Scranton & Co., and Cooley &
Co.

($25 per share).

Co., Sterling,

111.

"1988.

bank

(10/30)
$28,000,000 of first mortgage

Iowa.

Price—$16

holders.

New

York.

—

Of¬

and

750,000

Canada

shares of capital stock (par $1).
Proceeds—To selling stock¬

cents per share.

with warrants to purchase 68,323 shares of

stock

(par

$2.50).

Price—At par.

Proceeds—

working capital and retirement of bank loans. Un¬
derwriters—Schneider, Bernet & Hirkmpn. Inc. Dallas,

common

Price—$6

per

stock

Tex.;

share.

The

Fiirst Trust Co. of Lincoln, Neb.; Beecroft,

Cole

Colo.;

For working

basis

For

11,000 shares of class A

518 shares of class B

the

Underwriter—None.

(par $20),

first to stockholders.

★ Southwestern Investment Co., Amarillo, Texas
Oct. 1 filed 68,323 shares of sinking fund preferred stock

Brothers,

Union Oils Ltd., Toronto,

filed

Price—64 V2

capital. Office — Davenport,
Underwriter— Quail & Co., also of Davenport,

Waldron

•

shares.

and Dewar, Robertson & Pancoast and
& Parvin, both of San Antonio, Texas.

Hart

Co.,

Topeka,

Kan.;

Boeticner

Denver,

u.;

Austin,

Offer

posit of at least 90%
of

which

Ross

will

become

effective upon

de¬

presently

owns

61.53%.

Underwriter—

Uranium, Inc., Denver, Colo.
Aug. 21 (letter of notification) 25,000,000 shares of capi¬
tal stock.

•

Price—At

(10 cents per share). Proceeds
including geological research and
assays; for mining shaft; to exercise purchase of
option agreement on additional properties; lor working
capital and ether corporate purposes.
Underwriter —
core

rities
,

Co.,, Dallas, Texas.

[

Southwide Corp., Anniston, Ala.

Sept. 12 filed 450,635 shares of common stock

Samson

—For

„

of the outstanding common stock,

None.

Corp.; Blyth & Co., Inc.;

(jointly); Harriman Rioley
Co., Inc. and Stone & Webster Securities Corp. (joint¬

Sept.

Southwestern Resources, Inc., Santa Fe, N. M.
Ross (J/O;)'. Engineering Corp., New York
.June 8 filed 1,000,000 shares of common stock (par 25
Sept.^10 filed 19,059 shares of common stock (par $1) to
"cents). Price—$5 per share. Proceeds—To exercise op¬
be offered in exchange for commpn stock of John Waltions, purchase additional properties and for general
dron Corp. at the rate of one Ross share for ■ each two
./ corporate purposes.
Underwriter—Southwestern Secu-

Ivuhn Loeb & Co.; Eastman
Dillon, Union Securities & Co.
and Salomon Bros. & Hulzler

stock

be offered

Proceeds

Ohio Power Co. (10/30)
Sept. 20 filed 60,000 shares of cumulative preferred stock
(par $100). Proceeds—For construction program. Under¬
writer—To be determined by competitive bidding. Probable bidders: The First Boston

(10/10)

Underwriter—None.

Proceeds—For construction of plant, workinp
Office—Prescott.

Underwriter—Vickers

common

•

bonds due

;

record

Aug. 24

Aug. 29 (letter of notification)
to

l^peb & Cog-Eastman Dillon, Union Securities &
Co., and
Salomon Bros. & HutzLer.
(jointly); Harriman Ripley &
Co.,,Inc. and Stone & Webster Securities Corp. (join ly).
Bids—Expected to be received up to 11 a.m. (EST) on
"

Business—Tele¬
Co., New

Aaron &

Co., Dallas, Texas

of one new share for
oversubscription privilege);
rights to expire on Oct. 30. Price—$18 per share. Pro¬
ceeds—For
additions and improvements to property.
of

Southern

share.

(See also preceding paragraph.)

each 12 shares held (with an

common

Probable bidders: Halsey, Stuart & Co.
& Co., Inc./Kuhn,

capital.

River Valley Finance Co.

Oct. 10.

14 filed 171,187 shares of common stock (par $1)
to be offered for subscription by common stockholders

Republic Cement Corp.

Ariz.

''.Inc?; The First Boston Corp.; Blyth

Oct. 30.

for working

Underwriter—E.

fering—Postponed.

Proceeds—For construction
program and to repay
loans.
Underwriter—To be determined bv com¬

petitive bidding.

Sept.

capital and general corporate purposes.

common

Power Co.

filed

and

April 20 filed 965,000 shares of capital stock.

Proceeds—For account of John W, Bow¬
Executor of the Estate of Timothy Bowman, de-

releases.

per

Wire

(oar $5).

Ohio

Inc.;

•

ceased. Underwriter—Blyth & Co., Chicago, 111. Offer¬
ing—Expected today (Oct. 4).
/" "
Sept.

it Pyramid Productions, Inc., New York (11/8)
Sept. 27 filed 220,000 shares of common stock (par $1),
of which 200,000 shares are to be offered to public and
20,000 shares issued to underwriter. Price—$5 per share.
Proceeds—To retire $125,000 of outstanding 15% deben¬
tures as well as a $173,180 debt to Trans-Union Produc-

Proceeds

Underwriter—None.
Steel &

(EDT)

York.

Address—Gibsonia, Alleg¬

(jointly): The First Boston Corp.; Salomon Bros. &
Bids—Expected to be received up to 11 a.m.

Hutzler.

Southern Union Gas

tions,

share for each

subscription by stockholders of record

Oct. 1, 1956 at the rate of one new share for each eight
shares held; right to expire on Nov. 2. Price—$30 per
share. Proceeds—To pay advances from American Tele¬

vision

stock of record

Sept.-19 (letter of notification) 13,00Q shares of
stock

share.
Proceeds—To pay bank loan.
The Robinson-Humphrey Co., Inc., At-

per
—

—None.

Price—
Proceeds—To purchase real property and
Underwriter—Coombs & Co. of Wash¬

ington, D. C.

(N. C.): exchanges of the
Telephone Co. of the Carolinas, Inc.;'to reduce
indebtedness; for construction and modern¬

term,

ization progrflm; and for
!—R. S. Dickson -& Co.,

■'

mortgage notes.

6hort

stock of Progressive Fire Insurance Co.;

be offered for

Underwriter—Skyline

issuance upon exercise of options.

share.

Co., Atlanta, Ga.

Southern New England Telephone Co.
(10/10)
Sept. 19 filed 679,012 shares of capital stock (par $25)

com

share for the stock.

per

Insurance

lanta^. Ga.

Pyramid ^Development Corp., Washington, D. C.
July 27 (letter of notification) 300,000 shares of common
stock (par 10 cents), of which 25,000 shares are to be

United

;

$13
Underwriter

Co., Houston, Texas; and Dixon Bretscher Noonan, Inc..
Springfield, 111.

of the Norwood and Marshville

$1.75

par common

persons,

General

and 25,000 shares are to be offered to certain other per¬
sons.
Price—To public, $14.50 per share; and to certain

Aug. 6;

per

$10

ceeds—For construction of fronton and related activities.
Office—San Juan, Porto Rico, Underwriters—Crerie &

North Carolina Telephone Co.
? .*
'
* ;
July 24 filed 828,572 shares of common stock (par $1)
being offered for subscription by common stockholders

rights to

Corp. /

8..J

•Sept. 24 filed 95,714 shares of common stock (par $5), of
which 50,000 shares are to be offered publicly; 20,714
shares are to be offered in exchange for 10,357 shares of

—

UranKJm

Oct.

Southern

Alai, Inc.
July 27 filed $1,100,000 of 12-year 6% first mortgage bonds >due July
1, -1968, and 220,000 shares of
common stock (par $1). Price—100% of
principal amount
and

(EDT)

a.m.

★ Southern Discount Co., Atlanta, Ga.
Sept. 19 (letter of notification) $300,000 of subordinated
:5% debentures, series;G. -Price—At par (in denomina¬
tions of $500 and $1,000 each).
Proceeds—To redeem
$150,000 of outstanding debentures and for working cap¬
ital. Office—724 Healey Bldg., Atlanta, Ga. Underwriter

■

Puerto Rico Jai

.for debentures

;

Federai

Securities, Inc., Dfcnver 2, Colo.
•

share.

mining ^expenses. > Office
345 South
St., Salt. Lake City,3Utah. Underwriter—Birken-

Slate

—

Underwriter—None.

per

Halsey, Stuart & Co. Inc.; Morgan Stanley
Bids—Tentatively expected to be received up to

Co.

—None.

Proceeds—For mining expenses.

writer—To be determined by competitive bidding. Prob¬

March 21 (letter of notification) 6.000.000 shares of
mon stock (par two cents). * Price—Five cents

,
..

Prudential

Clinger, Inc., all of Wichita, Kan.

able bidders:

postponed.

Sept. 28

new

Bell Tel. A Tel. Co. (10/8)
filed $60,000,000 of 27-year debentures due
1, 1983. Proceeds — For repayment of advances to
its parent, American Telephone & Telegraph Co. Under¬

Sept.

tickets;

Advancing Corp.

Bos¬

Oct.

Aug. 31 (letter of notification) $240,000 of 6% subordin¬
ated convertible debentures due Sept. 1, 1966
(each $10
principal amount being convertible into one share of
common stock) being offered for subscription by stock¬
holders on the basis of $10 of debentures for each share
held as of Sept. 27 (with an oversubscription
privilege);
rights to expire on Oct. 15. Price—At par. Proceeds—
To/ retire $16,700 of outstanding debentures and for
working, capital. Office—27 Chenango St., Bmghamton,

•

First

Southern

Underwriter—None.

/:-• Policy

Underwriter—The

par ($7.50 per share).
Proceeds—For
equipment and working capital. Office
—220 W. Waterman St., Wichita 2, Kan. Underwriters—
Small-Milburn Co.,
Inc., Brooks & Co. and Lathrop,

common

loans.

Price—At

purchase of

.•

Co.

bank

★ Southeast Grease & Oil Co.

Nov. 15, 1955 filed 50,000 shares of class A

reduce

Corp., New York.

stock.

machines; for purchase

of semi-blank

Price—At

investment.

Sept. 27 (letter of notification) 40,000 shares of common

Equipment Corp.
(letter of notification) 60,000 shares of com¬
stock (par $1). Price—-$5
per share. Proceeds—For

(par $5)>. 'and for working capital and general
corporate purposes.
to be offered for subscription
by each of the company's
Office—527 Madison Avenue, New York
17, N. Y, Un¬
23,279 policyholders on and as of July 31, 19o6 at the rats
derwriter—Wistor R. Smith & Co., 40 East 54th
Street,
of IV2 shares of such stock and the balance jt
the shares
New York 22, N. Y.
to be exchangeable for Founders certificates
and cou¬
it Pedlow-Nease Chemical Co., Inc.,
pons issued by National Life as a part or feature of
Lock Haven, Pa.
certain life insurance policies. -Price—$7.5C per share.
.Sept. 26 .(letter of notification) 315 shares of capital
Proceeds—For working capital and other coi
porate pur¬
stock (no par) to be offered to four key
employees.
poses.
Underwriter—None,
Y
*
Price—$50 per share. Proceeds—For working capital.
N»tionat Old Line
insurance

Proceeds—For

Pari-Mutuel

stoc.v

common

Un¬

Aug. 24

America, Mitchell, S. Dak.

Sept. 21 filed 86,784.7

reduction

Price—At

Security Loan & Finance Co.
July 17 (letter of notification) 200,000 shares of common
stock (par $1).
Price—$1?50 per share. Proceeds—For
expansion program. Office—323 So. State St., Salt Xake
City, Utah. Underwriter—Whitney & Co., also of Salt
Lake City.
•

Keller, President, 2731 Juniper Way, Holladay, Utah.

Bldg.,

Des

ton

Sept. 27 (letter of notification) 2,500 shares of class B
non-voting common stock (par $10). Price — $20 per
share. Proceeds—To increase capital and
surplus. Office
—1405 South Main St., Salt Lake
City, Utah. Under¬
writer—None, but sales will be made througn Jean A.

Federal

.—To

(Calif.)
(10/9)
(by amendment) $25,000,000 of 4%% deben¬
1971.
Price—To be supplied by amendment.

due

investment.

Seaboard Finanoe Co.
(10/10)
Sept. 18 filed $15,000,000 of sinking fund notes due Oct.
1, 1971. Price—To be supplied by amendment. Proceeds

derwriters—Blyth & Co., Inc., and Hornblower & Weeks.
• Pacific Western Insurance Co.

Underwriter—None.

National
stock

market.

volume."

Proceds—For

For construction of motel units.
Office—Chieftain Hotel,

June

loan

150,000 shares of capital stock.

Proceeds—For

it Scudder, Stevens & Clark Fund, Inc.
Sept. 26 filed 200,000 shares of capital stock.

Philadelphia, Pa. Underwriter—Walnut
Corp., Philadelphia, Pa.

Pacific Finance Corp.

tures

Mich.

market.

Oct. 1 filed

Bldg., Salt Lake City, Utah. Underwriter—frontier
Investment, Inc., Las Vegas. Nev. \
VW

eum

Pleasant,

Inc.

Office—2233 North Broad
St.,
Philadelphia, Pa. Underwriter—Walnut Securities Corp.,
Philadelphia, Pa.

cent). Price—10 cents per shari;
Pro¬
ceeds—For mining expenses. Office—223
Phillips Petrol¬

Ivlt.

it Scudder, Stevens & Clark Common Stock Fund,
Sept. 26 filed

Co., Philadelphia, Pa.
Sept. 4 (letter of notification) $250,000 of 6%
10-year
renewable debentures due
Sept. 20, 1966. Proceeds—To

Utah

it Mt. Pleasant Community Hotel Corp.
Sept. 24 (letter of notification) $150,000 of 11 -year 6%
first mortgage bonds to be offered to
stockholders. Price
—At par (in denominations of
$100 each)..
Proceeds—

(10/15)

Oxford Loan

(letter of notification) 3,000,000 shares oi capital

stock

Oxford Loan Co.

Securities

Indiana State Securities Corp. of
Indianapolis, Ind., for
offering to residents of Indiana.

Sept. 17 (letter of notification) $250,000 of 6% renewable
debentures payable (upon
demand) Sept. 10, 1961. Price
*—At face amount (in denominations of
$100 and $500
each). Proceeds — For working capital. Office — 2233
North Broad St.,

Price—$40 per unit. Proceeds
For pur¬
chase of machinery and
equipment. Office—New Albany.
Miss.
Underwriter—Lewis & Co., Jackson, M:ss.

Feb.

Bids—Tentatively expected to be

received up to 11 a.m. (EST) on Oct. 30.
•

core

drilling,

par

(par $1),

be offered publicly 238,954
shares are to be offered in exchange for the class A
stock of Capital Fire & Casualty Co. and common stock
of Allied Investment Corp.1 Price—$2 per share.
Proceeds—For purchase of stock of Capital and Allied firms
and for purchase of U. S. Government bonds. Under-

of which 211,681 shares are to

Continucd

page

The Commercial and Financial Chronicle... Thursday, October
€4

Continued

Anniston, Ala., is President.
Pressed

Steel

Co.,

Jenkintown,

Pa.

(10/17)
filed 52,050 shares of common stock (par $1)
-of which 25,800 shares are to be offered for subscription
by common stockholders of record Oct. 16, 1956 on the
basis of one new share for each 20 shares held; rights
Sept. 27

The remaining 26,250 shares
Price—To stockholders to be
supplied by amendment; to employees, at market,^ Pro¬
ceeds—For
expansion program and working capital.
.Business—Manufactures precision metal fasteners; work
benches, shelving and other shop equipment.
Under¬
writer—Kidder, Peabody & Co., New York.
expire

1956.

Nov. 1,

will be offered employees.

Statesman Insurance

Ind.
July 3 filed 200,000 shares of common stock (par $2.50)
to be offered to agents and employees of Automobile
Underwriters, Inc., "Attorneys-in-Fact for the Subscrib¬
the

ers

Co., Indianapolis,

Automobile

State

Insurance

Association."

Price—Proposed maximum is $7.50 per share. Proceeds
—To obtain a certificate of authority from the Insurance
Commissioner of the State of Indiana to begin business.
Underwriter—None.

Sterling Precision Corp.
July 9 filed 379,974 shares of 5% cumulative convertible
preferred stock, series C, being offered for subscription
oy holders of outstanding common stock and series A
of
or

series

preferred stock

the ratio of one

series

for

preferred stock and
each

Sept. 27,
1956
rights to expire

(with

one

share of

common

stock

new

held

& Co., Inc.,

mortgage bonds, to repay bank loans and for ex¬
pansion program.
Business—Meat packing firm. Un¬
derwriters—Smith, Barney & Co.; Glore Forgan & Co.
and Hallgarten & Co., all of New York City. Offering—
Indefinitely postponed.
;

Security Life, Phoenix, Ariz.

Winter Park

15th Ave., Phoenix, Arizona. Un¬

None.

derwriter

' N'

^ United States Air Conditioning Corp.
Sept. 27 filed 600,000 shares of common stock

;

(par 10

shares are to be offered, to em¬
ployees, distributors and dealers; 50,000 shares, plus
any of the unsold portion of the first 50,000 shares, are
to be offered to the public; and the, underwriter will be
granted options to acquire the remaining 500,000 shares
for reoffer to the public.
Price—At market prices. Pro¬
ceeds—For working capital and general corporate pur¬
poses.
Office—Philadelphia, Pa. Underwriter—Mortimer
B. Burnside & Co., Inc., New York.
Universal

Aug. 24 (letter of notification) 27,272

shares of 70-cents

?tock (par $5) and 13,636 shares of

cumulative preferred
common

(par 15 cents) to be offered in

stock

Corp., both of San Antonio, Tex.
Universal

May 17

Fuel

Chemical

(letter of notification)

Corp.

300,000 shares of capital

stpck. Price—At par ($1 per share). Proceeds—For min¬
ing expenses. Office—825 Broadway, Farrell, Pa. Under¬
writer—Langley-Howard, Inc., Pittsburgh, Pa.
Horn Butane Service, Fresno, Calif.
filed 75,000 shares of cumulative convertible
preferred stock, series A (par $25). Price—To be supied
by amendment.
Proceeds—To acquire stock of
28

^"Appihincfe" c£~~Teton Gar&~Applianc"e

for working capital.
Inc.

Underwriter—Goldman, Sachs & Co., New
Offering—Indefinitely postponed.

Storer

Broadcasting Co.
Sept. 14 filed 200,000 shares of common stock (par $1).
Price—To
be supplied
by amendment.
Proceeds—To
George B. Storer, President of company. Office—Miami
Beach, Fla. Underwriter—Reynolds & Co., New York.
Offering—Expected today (Oct. 4).
air Temco Aircraft Corp., Dallas, Texas (10/22-23)
Sept. 28 filed $5,000,000 of convertible subordinated
1971, Price—To be supplied by amend¬
ment.
Proceeds—For working capital.
Underwriters—
A. C. Allyn & Co., Inc., Chicago,
111., and Keith Reed &
Co., Inc., Dallas, Texas.
debentures due

Texas

Calgary Co., Abiiene, Texas
Sept. 25 filed 3,700,000 shares of capital stock

Underwriter—No$e.

Texas Eastern Transmission Corp. (10/10)
Sept. 20 filed 150,000 shares of preferred stock (par
$100). PriciPi-To be supplied by amendment. Proceeds—
For gas expansion and reconversion
program. Under¬

writer—Dillon, Read & Co., Inc., New York.
Thermoray Corp.
29 (letter of notification)

Vendo

Barth

Underwriters—Schwabacher & Co.,
Co., both of San Francisco, Calif.

Kansas City, Mo.

Co.,

Sept. 20 filed 32,778 shares of common stock (par $2.50)
to be offered to holders of Vendorlator Manufacturing
Co.

common

stock

purchase

warrants

in lieu

of their

right to buy Vendorlator common stock. Warrants are
exercisable until Sept. 30, 1960.
Price—$7.33 per share.
Proceeds—To redeem Vendorlator debentures.
Under¬
writer—None,
Venezuela

Diamond

Inc.,

Mines,

Miami,

Aug. 31 filed 1,500,000 shares of common stock.

Fla.

Price—

(20 cents per share). Proceeds—For exploration
mining operations ih Venezuela. Underwriter—Co¬

At par
and

lumbia Securities

^o., Inc., of Florida, Miami, Fla.

Venture Securities

eral St.,
•

Boston/Mass.

Walt

Disney Productions, Burbank, Calif.
filed $7,500,000 of convertible subordinated
debentures due Sept. 1, 1976. Price—To be supplied by
amendment.
Proceeds—$243,740 to redeem outstanding
4% debentures, series A, due 1960; balance for retire¬

Aug.

ment

secured

demand

Underwriter—Kidder,

note.

Statement withdrawn. Com¬
new plans
stock offering to shareholders. (See
"Prospective Offerings.")

Peabody & Co., New York.

v
380,000 shares of

com¬

stock (par 10 cents).
Price — 75 cents per share.
Proceeds—For inventory, working capital, etc. Business

mon

—Electrical heating. Office—26 Avenue B,
Newark, N. J.
Underwriter—Eaton & Co., Inc., New York.

Togor Publications, Inc., New York
16 (letter of notification) 299,700 shares of com¬
mon stock (par 10
cents). Price—$1 per share. Proceeds
—Eor working capital and general corporate purposes.
Office—381 Fourth Ave., New York, N. Y. Underwriter
—Federal Investment Co., Washington, D. C.
March

pany

under

Western States Natural Gas Co.

May 31
sell

Salt Lake City,

Utah. Underwriter—Us-Can Securities,
Inc., Jersey City, N. J.
Wheland Co., Chattanooga, Tenn.
May 23 filed $2,000,000 of convertible subordinated de¬
bentures due June 1, 1976, and 136,000 shares of common
the company's account and 61,000 shares for a selling
stockholder.
Price
To be supplied by amendment.

announced company plans to issue and

was

December

$24,000,000

first

mortgage

bonds.

Underwriter—To be determined by competitive bidding.
Probable bidders:

rities

Halsey, Stuart & Co. Inc.; Union Secu¬

Corp. and Kuhn, Loeb & Co. (jointly); The First
Corp.; Harriman Ripley & Co., Inc.

Boston

Boulder

Acceptance Corp., Boulder, Colo.
announced company plans to offer and
shares of its common stock. Price—At par
($6 per share). Proceeds—To construct hotel; set up in¬
stalment loan company; and for working capital- and
general corporate purposes. Underwriter—Allen Invest¬
16 it

was

sell 3,000,000

ment

Co., Boulder, Colo. Stock to be sold in Colorado.

Carolina

Power

March 22 it
sell

was

Light Co.

(11/27)

announced company plans to issue and

$15,000,000 of first mortgage bonds due 1986. Under¬

writer—To be determined by competitive bidding. Prob¬
able bidders: Halsey, Stuart & Co Inc.; Kuhn, Loeb &
Co. and A. C. Allyn & Co. Inc. (jointly); W. C. Langley
&

Co.

and

First

The

Boston

Corp.

(jointly); Equitable

Securities Corp.; Blyth & Co., Inc.; Kidder, Peabody &
Co. and Merrill Lynch, Pierce, Fenner & Beane (jointly).
Bids—Scheduled for Nov. 27.

Wisconsin

Central

Sept.

Motor

Transport Co.

10 company filed a request with

the ICC for au¬
issue 34,600 shares of 6% cumulative con¬
vertible preferred stock (par $10) and 67,500 shares of
common stock
(par $1). Price—For preferred, par and
accrued dividends; and for common, $6 per share. Pro¬
ceeds
To selling stockholders.
Office —- Wisconsin
Rapids, Wis. Underwriter—Loewi & Co.* Milwaukee, Wis.
Offering—Expected this week.
>
thority

—

★ Chicago & Illinois Midland Ry.

Sept. 29

the

announced

was

ICC has

denied

ap¬

plication by this company for an exemption of $9,000,000
of first mortgage

299

box

Stuart

cars

Co.

bonds from the Commission's bidding

retire

Proceeds—To

unsecured serial

$7,450,000

4%%

allow the company to buy
leases. Underwriter—Halsey,

notes and to

which it

Inc.,

now

may

be included among

the bidders

for this issue.

Chicago & North Western Ry. GlO/4)
will' be received
by the company up to noon
on
Oct. 4 at Room 1400, 400 West Madison
Street, Chicago 6, 111., for the purchase from it of $3,360,000 equipment trust certificates to mature in 15
equal annual installments from Nov. 1, 1957 to 1971, in¬
clusive.
Probable bidders: Halsey, Stuart & Co. Inc.;

Bids

(CDT)

Salomon

Bros.

Hutzler.

Cosden Petroleum Corp.

Sept. 20 it
chase

Aug. 24 (letter of notification) 500,000 shares oficommon
stock (par 10 cents). Price—50 cents per share. Proceeds
—For development of oil and gas.
Office—Felt Bldg.,

Pro¬
loans and for working capital.
Co., New York.

bank

Appalachian Electric Power Co.

requirements.

Fund, Inc., Boston, Mass.

filed 200,000 shares of capital stock (par $1).
Price—Initially at $25 per share. Proceeds—For invest¬
ment. Underwriter—Venture Securities Cbrp., 26 Fed¬
Sept.

(par 25
cents).
Price—At market from time to time on the
Arfterican StoGk Exchange or the Toronto Stock Ex¬
change or by private sale.
Proceeds—To A. P. Scott,

and

(10/22^26)

Inc.

15 V2 year convertible debentures.

repay

Underwriter—Allen

•

subsidiaries.

fune

ceeds—To

+ Van

Sept.

short-term loans, to retire $950,000 of 4%% first
mortgage bonds and $368,679 of 6% preferred stock of

the selling stockholder.

tion of $4,000,000

July

Co., General Equipment Co., The McHade L. P. Gas Co.,
Lincoln Gas & Appliance Co. and Sweetwater Gas &

duce

;

ACF-Wrigley Stores,

Underwriters—Muir Investment Co., and Texas National

New York

Park, Fla.

Sept. 20 it was reported company plans early registra¬

Finance Corp.

Equipment Co.; and stock and certain assets of Ransome
Co. of Nevada; to reduce short-term indebtedness; and

•

ter

cents), of which 50,000

June 28 filed $30,000,000 of debentures due July 1, 1981.
Price—To be supplied by amendment. Proceeds—To re¬

York.

Telephone Co., Winter Park, Fla.
of notification) 3,000 shares of 5%
cumulative preferred stock.
Price—At par ($100 per
share). Proceeds—For improvements and additions to
property. Office—128 East New England Ave., Winter
Park, Fla. Underwriter—Security Associates, Inc., Win¬
24 * (letter

Aug.

its convertible debentures

(J. P.)

first

pre¬

^hare

oversubscription privilege);
on or about Oct. 29.
Price—At par ($10
per share).
Proceeds—To repay a $1,400,000 note held
by Equity General Corp., a subsidiary of Equity Corp.;
to liquidate existing
bank loans and for general Cor¬
porate purposes.
Office—1270 Niagara St., Buffalo 13,
N. Y. Underwriter—None, but Equity General Corp. has
agreed to purchase at par, plus accrued dividends, up to
290,000 shares of the new preferred stock not subscribed
for by stockholders.
Latter already owns 137,640 shares
(3.23%) of Sterling common stock; pins $1,800,000
Stevens

ment.

Sept. 18 (letter of notification) 50,000 shares of class AA
voting common stock (par $1).
Price—$6 per share.
Proceeds—To increase capital and surplus accounts. Of¬
fice—Thomas Road

$20,000,000 of 20-year sinking fund de¬
Price—To be supplied by amend¬
Proceeds — To
redeem
presently outstanding
1976.

due

bentures

units con¬
sisting of one share of preferred and one-half share of
common.
Price—$11 per unit.
Proceeds—For working
capital.
Office — Gibraltar Life Bldg., Dallas, Tex.

preferred stock for each four shares of series A

new

ferred

Wilson & Co., Inc.

Aug. 28 filed

New York.

Co.,

★ United

Underwriter—None;

center.

offering to be made by officers and agents of company.

—

and

Inc.

Aug. 29 filed 2,798,625

writer-r^None, but a selling commission will be allowed
for sales effected by them. Elvin C. McCary,
Standard

United Cuban Oil,

recreation

ness—Mountain

(10/22-26)
shares of common stock (par 10
cents), of which 2,000,000 shares are to be - offered
publicly, 573,625 shares will be issued in exchange for
stock of Compania de Formento Petrolero Ted Jones,
S. A., 200,000 shares sold to S. D. Fuller & Co., and 25,000
shares sold to Hallgarten & Co.
Price—$1.25 per share.
Proceeds
For development
and exploration costs.
Office—Los Angeles, Calif.
Underwriter—S. D. Fuller
•

jrom page 63

to dealers

4, 1956

(1468)

was

Col-Tex

announced company has agreed to

Refining

pur¬

Co.

from Anderson-Prichard
Oil Co. and Standard Oil Co. of Texas, a subsidiary of
Standard Oil Co. of California, for 550,000 shares of
Cosden common stock. The purchase is subject to SEC
of the stock which will require about 60
of the contract, Anderson-Prichard and
Standard of Texas have agreed to sell the Cosden com¬

registration
days.

part

stock to the public.
Underwriter—Not yet named.
Glore, Forgan & Co., New York, previously underwrote
financing.

mon

Anderson-Prichard

—

Transcontinental Gas Pipe Line Corp.
Sept. 10 feiled 441,250 shares of common stock (par 50
•cents) being offered for subscription by common stock¬
holders
share

1/1

record

reu0fo
16

for each

Oct.

share.

Proceeds

1956 at the rate of one new
(with an oversubscription
on
Oct. 17. Price—$16 per

Ycl' iYi1yi>0/ aL,tne rate 01 one. n.ew

shares held

privileged rights to
—

expire

For

construction

writers—White, Weld & Co. and
curities Corp., both of New York.

program.
Under¬
Stone & Webster Se-

-•

Chemical

Materials

May 25 filed 200,000 shares of
Price—To

supplied

43/4%

first mortgage bonds and $900,000 of
3-yearAinsecured 4V2% notes to-a group of banks, will
be used to retire outstanding series A and series B 5%
first mortgage bonds, an*1, for expansion program. Under¬
A
~
writers—Hemphill, ""
Noyes & Co., New York; Courts &
Co., Atlanta, Ga.; and Equitable Securities Corp., Nash¬
ville, Tenn. Offering — Temporarily postponed. Not

common

stock

amendment.

all of New York.

Statement may be

lenng to be made

soon.

White Sage Uranium Corp.
Feb. 13 (letter of notification) 15,000,000 shares of capi¬
tal stock.
Price—At par (one cent per share).
Proceeds

—For mining expenses.
Lake City, Utah.

Salt

Office—547 East 21st South St.,

Underwriter—Empire Securities

Corp., Salt Lake City, Utah.

Corp.
(par $10).

Proceeds—To

selling stockholders. Office—Chicago, 111. Underwriters
—-Allen & Co., Bache & Co. and
Reynolds & Co., Inc.,

$1,500,000

expected until sometime this Fall.

A Tri-State Exploration & Development Co.
Sept. 28 (letter of notification) 300,000 shares of com¬
mon
stock (par
10 cents).
Price—$1 per share. Pro¬
ceeds—For mining expenses.
Office—270 South State
.St., Salt Lake City, Utah. Underwriter—None.
Umon

Proceedi^Together with proceeds from private sale of

amended

with of-

Wildcat Mountain

Aug.

13 filed $800,000

Corp., Boston, Mass.

of 6%

subordinated

cumulative

debentures due Dec. 1, 1976, and 6,000 shares of common
stock
ture

(no par)

to be offered in units of

and three shares of stock.

Proceeds—For

construction and

Price

—

$400 deben¬
$500 per unit.

working capital. Busi¬

Delaware Power &

Light Co.

Aug. 13 it was reported company plans to raise about
$8,000,000 through the sale of preferred stock. Proceeds
—For construction program.
Underwriter—To be de¬
termined

by comeptitive bidding.
Probable bidders:
White, Weld & Co. and Shields & Co. (jointly); Kidder,
Peabody & Co. and Harriman Ripley & Co., Inc. (joint¬
ly); Kuhn, Loeb & Co. and Ladenburg, Thalmann & Co.
(jointly): Merrill Lynch, Pierce, Fenner & Beane; Leh¬
man Brothers; W. C. Langley & Co. and Eastman
Dillon,
Union Securities & Co. (jointly); Blyth & Co., Inc., and
The First Boston Corp( jointly). Offering—Not expect¬
ed until early in 1957.

it Dodge

Manufacturing Corp.

Sept. 27 it was reported that the company may be plan¬
ning to issue and sell late in October $2,000,000 of con¬
vertible preferred stock.
Underwriter—Probably Cen¬
tral

Republic Co., Inc.,

Chicago, 111.

First National Bank of

Atlanta, Ga.

Sept: 26,' the bank offered to its stockholders of record
•Sept. 25 the right to subscribe for 200,000 additional

Volume 184

Number 5574

...

The Commercial and Financial Chronicle

shares of capital stock (par $10), on a 2-for-7 basis; rights

share. Proceeds—
Underwriterjs—Robinson-Humphrey Co., Inc., Atlanta, Ga.; Merrill Lynch,
Fierce, Fenner & Beane, New York; and Courts & Co.;
Atlanta, Ga.
' ••
' : •
to expire o*

Qc^ 15.

Pri|5e^r$35

To increasecapital and surplus.

Lucky Stores, Inc.

the. rate of eight Lucky shares fbr each 106 shares of
stock held (with ah oversubscription privi¬
lege).. Price — $12 per share. Proceeds
To Foremost
Dairies, Inc. Underwriter—Allen & Co., New York.
~

Flair Records Co.

Aug. IS' it

*!'■

V'/.

reported company -plans to issue and sell
te residents ot ^ew York State 50,000 shares of common
stock. Price—per share. U n«terwriier—-Foster-Mann,
Inc., New York.
;
was

Food Fair Stores, Inc. >■
/ •'
Aug. 2ft stockholders voted to increase the authorized
indebtedness from $35,000,000 to $60,000,00(1 and to in¬
crease
the
authorized
common
stock from 5,000,000
r

shares to lQjOOO.pOO shares. Underwriter—Eastman
Union Securities & Co., New York.

Dillon,

May Department Stores Go. ;
July 19 it wa$ announced that this company may ui^dertake financing for one or ijqore real estate
companies.

sell

Merrill

Brothers, New* York.

Petroleums

Co.
Co.

L£<J.

■

Phillips Petroleum Co.
was indicated that the company next year
give consideration to refunding its $75,000,000 oi*
short-term bank loans. After review, the company will
decide the most appropriate type of long-term borrow¬
ing, whether it be insurance loans, long-term bank
borrowing, convertible debentures or straight deben¬
tures. Underwriter—The First Boston Corp., New York.
«

Sept. 24 it
will

■

;

the United5

States, following reclassification of the shares
corporation to be voted upon Oct. 4, plans to sell
certain of the vested 2,983,576 shares of new class B

of this

stock which will then be held.

General

Utilities

Public

Corp.

April 2, A. F. Tegen, President, said that the company
plans this year to issue and sell $28,500,000 of new bonds
and $14,000,000 of new preferred stock. Proceeds^—To
repay bank loans, etc., and for construction program.
Utilities Corp.
Tegen, President, announced that the
going to be offered
approximately
647,000 additional shares of common stock (par $5) early
Public

General

Sept.

12,

stockholders'
1957

are

the basis of

one

new

share for each

15 shares

Merrill

held.

Lynch, Pierce, Fenner & Beane acted
clearing agent in previous offering to stockholders.
Haskelite

July 16 it

was

about

New York.

Hawaii

(Territory of)

Bids will be received

writer—To be determined by competitive bidding. Prob¬
able bidders: Halsey, Stuart & Co. Inc.;
White, Weld &
Co.; Blyth & Co., Inc.; Kidder, Peabody & Co. and Drexel

(10/9)

Oct. 9 for the purchase from the

Territory

of Hawaii of $12,500,000 highway revenue
bonds, series A, due semi-annually from March 1, 1958
1, 1986, inclusive.

plans to issue and sell $22,000,000 of bonds in the next
16 months.

Michigan Bell Telephone Co. (12/4)
Sept. 24 the directors authorized the company to issue
and sell $30,000,000 35-year
debentures, due Dec. 1, 1931.

Pittsburgh Rys. Co.
May 4 it was announced that Standard Gas & Electric
Co. will offer to its stockholders rights to subscribe for

by competitive bidding. Probable bidders:
Halsey, Stuart & Co. Inc.; Morgan Stanley & Co. Bids—

540,651.75 shares of Pittsburgh Rys. Co. Price—About $6
per share.

Expected to be received

July 25 it

Aug. 10 will
increasing the authorized common stock-from
to 1,000,000 shares, in order to provide
options (to officers and employees), and for future fi¬
nancing. Underwriters—Weill, Blauner & Co., New York,
and Hallowell, Sulzberger & Co.,
Philadelphia, Pa.
vote

400,000 shares

High Authority of the European Coal and Steel
Community, Luxembourg
«July 9 this Authority announced that an American bank¬
ing group consisting of Kuhn, Loeb & Co., The First
Boston

Corp.

Lazard

and

Freres

Co.

has

been

ap¬

pointed to study the possibility of a loan to be issued
on the American market.
The time, amount and terms
will depend on market conditions.
Proceeds — To be
loaned to firms in the Community for expansion of coal

mines, coking plants,

power

plants and iron

ore

mines.

iit Imperial Oil Ltd.
Oct.

reported

was

plans

register with
the SEC an offering to its stockholders of about 1,500,000 shares of capital stock
(no par) probably on the
basis of

one

ard

Co.

Oil

company

share for each

new

20 shares

held.

Stand¬

(New

Jersey), which owns 69.64% of the
outstanding 29,865,691 shares outstanding, is said to have
indicated that it intends to subscribe to its portion of
the offering.
Price—To be named later.
Sept. 26 it

reported company >plans to issue and sell
*75,000 additional shares of common stock. Underwriter
—White

was

Co.,

St.

Louis,

Mo.

Offices

—

Chicago

and

Bloomington, 111.
Jersey Central Power & Light Co.
was announced company plans to issue and
$8,000,000 of first mortgage bonds. Underwriter—
To
be
determined
by competitive bidding.
Probable
bidders: Halsey, Stuart & Co. Inc.; Kidder, Peabody &
Co.; The First Boston Corp.; White, Weld & Co.; East¬
man
Dillon, Union Securities & Co., Salomon Bros. &
Hutzler and Merrill Lynch,
Pierce, Fenner & Beane
(jointly).
Sept. 12, it

sell

Lee Offshore

Aug. 20 it
September

was

Drilling Co., Tulsa, Okla.
reported company plans registration in

of $2,500,000 of convertible class A stock.
Underwriter—Rauscher, Pierce & Co., Dallas, Texas.

Inc., Laureldale, Pa. (10/10)
up to 11 a.m. (EDT) on Oct. 10
the Department of Justice, Office of Alien Property,

Paul

Dec. 4.

I Public Service Co. of

& Sault Ste.

Marie

RR.

Gas

stock

for

(par $5)

Service

Proceeds

—

For

(11/1)
plans to offer to its
about Nov. 1, 1956 the right

additional

30,000

held

the basis

(with

of one

shares of common
share for each

new

construction

Bank

Detroit

(11/1)

was

National

Newark

(N. J.)

Essex

Banking

Co.

D.
the

664, 101 Indiana Avenue, N. W., Washington 25j
C., for the purchase from the Attorney General of
United

States

158,025 shares (63.21%) of capital
stock (no par) of this company. Business—Manufacture
and sale of knitting machines, etc. Bidders—May include
Kidder, Peabody & Co. and Merrill Lynch, Pierce, Fenner
& Beane

(jointly).

Sept, 1ft,it

was

the

basis

one

for

each

six

★ Reading Co.

$180,000 each from
May 15, 1957 to and including May 15, 1971. Probable
bidders: Halsey, Stuart & Co. Inc.; Salomon Bros. &
Hutzler.

St.

Sept.

May be determined by competitive bidding.
Kuhn, Loeb
Co., Salomon Bros. & Hutzler, Eastman Dillon, Union
Securities & Co. and Wood, Struthers & Co. (jointly);
Lehman Brothers; The
First Boston Corp.; Equitable
Securities Corp.; Merrill Lynch, Pierce, Fenner & Beane,
Kidder, Peabody & Co. and White, Weld & Co. (jointly).
Offering—Expected in first half of 1957.
England
was

Underwriters

1957.

Co.

Power

announced

$10,000,000

of
—

company

first
be

now

mortgage

plans to issue
bonds early in

determined

bidding.

Probable bidders:

Weld & Co. (jointly).
New

Jersey Power & Light Co.

12 it was announced company plans to issue and
$5,000,000 of first mortgage bonds. Underwriter-^
To
be
determined by
competitive bidding.
Probable
bidders: Halsey, Stuart & Co.; Kuhn, Loeb & Co., Leh¬
man
Brothers and Salomon Bros. & Hutzler (jointly);
Eastman Dillon. Union Securities & Co. and White, Weld
Sept.
sell

Co.

Boston

(jointly); Equitable Securities Corp.; The First
Corp.; Merrill Lynch, Pierce, Fenner & Beane.

company

Francisco

offered

Ry.

not

exceeding $61,600,000

Ion, Union Securities & Co., New York. Exchange Agent
•—The Chase Manhattan Bank, New York.
Schick,

competi¬

Halsey, Stuart & Co.
Inc.; Kuhn, Loeb & Co., Salomon Bros. & Hutzler, East¬
man Dillon, Union Securities & Co. and Wood, Struthers
&
Co.
(jointly); Lehman Brothers; The First Boston
Corp.; Equitable Securities Corp.; Merrill Lynch, Pierce,
Fenner & Beane, Kidder, Peabody &
Co. and White,
tive

Louis-San

50-year income 5% debentures, series A, due Jan. 1, 2006,
154,000 shares of common stock (no par), and cash
equivalent to the unpaid portion of the preferred divi¬
dend which has been declared payable in 1956, in ex¬
change for its 616,000 shares of $100 par Value 5% pre¬
ferred stock, series A, on the basis of $100 of deben¬
tures, one-quarter share of common stock and unpaid
dividends of $2.50 per preferred share in exchange for
each 5% preferred share. The offer will expire on Dec. 31,
1956, unless extended. Dealer-Manager — Eastman Dil-

—

(10/17)

mature in senii-annual instalments of

Probable bidders: Halsey, Stuart & Co. Inc.;

is^ue and

7, Pa., for the purchase from it of $5,220,000 equipment
certificates, series Y, dated May 15, 1956 and to

sell

trust

England Electric System
Jan. 3, 1956, it was announced company plans to merge
its subsidiaries, Essex County Electric Co./Lowell Elec¬
tric Light Corp., Lawrence Electric Co., Haverhill Electric
Co. and Amesbury Electric Light,Co., into one company
during 1956. This would be followed by a $20,000,000
first mortgage bond issue by the resultant company, the
name of which has not as yet been determined.
Under¬

and

announced company plans to

was

*.•

Bids will be received by the company up to noon (EDT)
on Oct. 17, at Room 423, Reading Terminal, Philadelphia

New

financed wholly by debt and from internal sources. Un¬
derwriter—If determined by competitive bidding, may
include Halsey, Stuart & Co. Inc.; The First Boston Corp,

held;

rights to expire on Oct. 24.
Stockholders on Oct. 3
approved proposed increase in capitalization.
Price—
$57 per share. Proceeds—To increase capital and sur¬
plus.
Underwriter—Merrill Lynch, Pierce, Fenner &
Beane, New York.

Jan.

'•

Co.

amount to $87,000,000, including $20,000,000 budgeted for
1956. This large expansion, the company says, can be

announced

new

-i

Puget Sound Power & Light Co.

stockholders of record Oct. 4,
ta

'•

Electric & Gas

Feb. 15 the company announced that it estimates that its
construction
programfor the years
1956-1959
will

;

Bank plans to offer to its
1956, the right to subscribe
55,000 additional shares of dapital stock (par $25) on

Sept.

Service

sell l,0u0^)00' additional shares of common stock
(no
par) early in December. Proceeds—To repay bank loans
and for new construction. Underwriters—Morgan Stan¬
ley & Co., Drexel & Co., and Glore, Forgan & Co.

(10/5)

Elec||j||g& Gas Co. (11/14)

'•-/i

Public

rights to expire on Nov. 21.
Price — Somewhat below
market price prevailing at time of offering.
Proceeds
—For capital and surplus account.
Underwriter—Mor¬
gan Stanley & Co., New York.
•

Service

Jssuance and sale of
$50,000,000 first and refunmnHB^gage bonds due Nov.
1, 1986. Proceeds—To help iinalp£ construction program.
Underwriter—To be determined by competitive bidding.
Probable bidders: Halsey, Stuart & Co. Inc.; The First
Boston Corp.; Kuhn, Loeb & Co., and Lehman Brothers
(jointly); Morgan Stanley & Co. and Drexel & Co.
(jointly).
Bids—Tentatively scheduled to be received
up to 11 a.m. (EST) on Nov. 14.

announced stockholders will vote Oct.
approving proposed sale of 263,400 additional
shares of capital stock to stockholders on the basis of
one news share for each TO shares'held is of Nov; 1/ f956;

received

Room

Public

None.

National

To retire

Sept. 18 the directors

oversubscription privilege).
program.
Underwriters —

—

Underwriter—
by competitive bidding. Probable bid¬
ders: Halsey, Stuart & Co. Inc.; Blyth & Co., Inc.; The
First Boston Corp.; Harriman Ripley & Co. Inc.; Glore,
Forgan & Co.; Kuhn, Loeb & Co., Salomon Bros. &
Hutzler and Eastman Dillon, Union Securities & Co.
(jointly).
Bids—Not expected to be. received on or>
about Oct. 16 as previously reported. Offering postponed.

company
or

Proceeds

bonds.

bank loans and for construction program.

Corp.

announced

was

stockholders

common

Indiana, Inc.
reported company may issue and sell about

To be determined

Incorporated.
Mobile

was

$30,000,000 first mortgage

(CST)
1410, First National-Soo Line Bldg.,
Minneapolis 2, Minn., for the purchase from it of $2,640,000 equipment trust certificates, series C, to be dated
Nov. 1, 1956 and to mature in 30 equal semi-annuaL in¬
stalments of $88,000 each.
Probable bidders: Halsey,
Stuart & Co., Inc.; Salomon Bros. & Hutzler; lair & Co.,

Lieberknecht,
Bids will

July 30 it

'Oct. 18, at Room

writer

★ Interstate Fire & Casualty Co.

St.

(10/18)
on

Corp.

announced stockholders

was

program.

Bids will be received by the company up to noon

Sept. 10 it

& Television

construction

be determined

New York.

Herold Radio

company

Underwriter—To

Proceeds—For

Sept. 7 it

July 30 it was announced that company plans to acquire
a
15% participation with American Telephone & Tele¬
graph Co. in a proposed $36,700,000 California-to-Hawaii
cable and, if approved by the directors on Aug. 16, will
be probably be financed by a debenture issue. Hawaiian
Telephone Co.'s investment will be approximately $5,500,000. Underwriter—Probably Kidder, Peabody & Co.,

(11/1)

on Nov. 1 at 466
Lexington Ave., New York 17, N. Y., for the purchase
from it of $7,305,000 equipment trust certificates to* be
dated Nov. 15, 1956 and mature in 15 equal annual in¬
stalments.
Probable bidders: Halsey, Stuart & Co. Inc.;
Salomon Bros. & Hutzler; Kidder, Peabody & Co.

(jointly); The First Boston Corp. Bids—Not ex¬
pected to be received until December. Company presently

to Sept.

Hawaiian Telephone Co.

4 Pittsburgh & Lake Erie RR.
Bids will be received by the

Co.

★ Minneapolis,

Manufacturing Co.

reported company may be considering sale
$1,000,000 to $1,500,000 bonds or debentures.,.
Underwriter—May be G. H. Walker & Co., St. Louis and

Metropolitan Edison Co. V
;
July 2 it was reported that company is considering the
sale of $10,000,000 first mortgage bonds due 1986, Under¬

Merrill Lynch, Pierce,

Beane, Eastman Dillon, Union Securities &.

and,White, Weld & Co. (jointly); Equitable Securi¬
Cqrp.; The First Boston Corp.; Harriman Ripley &
Inc.; Kuhn, Loeb & Co.

ties

(Canada)
Sept. 6 it was reported company plans'to issue and sell
some
debentures.
Underwriter—White, Weld & Co.,
York.

announced company plans to issue and.

bidders: Halsey, Stuart & Co. Inc.;.

Fenner &

•*

was.

$6,000,000 of first mortgage. bonds. Underwriter—.
be determined, by competitive bidding.
Probable

•-

—
For development of branch stores and re¬
gional shopping centers. Underwriters—Goldman, Sachs

& Co. and Lehman

Pennsylvania Electric Co.

Sept. 12 it

Proceeds

New

General Aniline & Film Corp.
Sept. 2i it was announced that the Attorney General of

Foremost

„

-to

„

New York, New Haven & Hartford RR.
(10/16)
Bjds ate Expected: to - bo\,received by the. company.*ori)
Oct. 16 fobvthe purchase from it of not to ! exceed $2;766,750 equipment trust certificates. Probable bidders:*
Halsey, Stuart & Co. Ine./Salomon Bros. & Hutzler.
»

;

■

Aug. 28 tlie directors /o£ Foremost UairiesrInc<, voted
offer Foremost's stockholders the right-fa subscribe
for 636,OQO shares of common stock, of Lucky Stores, Inc.

per

(1469)

Sept. 25 it

Inc.
was

of shares of

licly

late

announced that

common

October.

The

approval of stockholders
for-one stock split.

undetermined number

stock is expected to be offered pub¬

offering is subject to the
Oct. 4 of a proposed twoMrs. Florence Schick

Proceeds—To

Gifford,

wife of Kenneth C. Gifford, Chairman and
President of the oompany. Underwriters—Merrill Lynch,

Pierce, Fenner & Beane and Hayden, Stone & Co., both
of

New

York.

Seiberling Rubber Co.
Sept. 10 it was reported that the

company plans longfinancing and/or issuance of additional com¬
Proceeds—To redeem preferred stocks and
for expansion program, etc.
Underwriter — Probably
Blair & Co. Incorporated, New York.
term
mon

debt

stock.

Continued

page

The Commercial and Financial Chronicle

(1470)

Continued

from

Oct.

for

Planned

received

—Expected to

11.

Nov.

Oct.

offered

holders

basis

the

financing

Stockholders

are

scheduled to vote

Proceeds—For expansion

Oct. 30.

Counties

Jan. 30

reported

was

Co.

Gas

Oct. 2 it

Southern Pacific Co.

(10/10)

Room

2117,

Public Service Co.

(10/8)

bonds and $5,000;000 additional common stock first
a l-for-20 basis.
Proceeds—For con¬

Sept. 14 it

to stockholders on

Underwriter—Dillon,

program.

Read

Oct.

New York.

Trust

Y-:*.

Register Co., Dayton, Ohio
(10/30)
Sept. 19 it was announced company, plans to raise about
$6,500,000 through the sale of its stock. UnderwriterMerrill Lynch, Pierce, Fenner & Beane, New York.

price of 100.399. The current issueyJof 4%s is being reoffered
today at 100.73 to yield 4.70%.

On Monday Southern Bell Tele¬
phone & Telegraph Co. will open
bids for
$60 million of 27-year
debentures.
With their huge ex¬
pansion programs going through,

Bankers Offer Racine

■

these firms

circles

market

has
be

turn

case

for

traceable

bit

moment,

the

been

The

weeks.
could

investment
to

seems

cheerful,

than

for

the

some

better

indications

been scared

rates.

money

atmosphere

have not

by the marked firming

comes

Wed¬

nesday when Southern New Eng¬

Telephone

bids

for

titling

will

Co.

holders

shares
These

the

'"rights"

1,173,696

the

146,712
stock.

en¬

purchase

company's
are
being

"rights"

changing attitude toward the
corporate debt market on the part

sold

which will receive the proceeds.

large segment of the institu¬
tional investment fraternity.
Major
is

insurance

generally

ket

spell.

less aloof

debt

for

from the

They

have

mar¬

long

contended

for

that yields were

not

they should

have

been

and

they proceeded to find other out¬
lets for

their funds.

Such

monies

went

chiefly

into

porate
to

situation in the

bond

market

bring about

ideas

has

some

cor¬

tended

revision

portfolio

among

men

of
for

these institutions.

They
new

the

same

for

slackening

time

probably find
mortgage
money
bit from peak levels

of several months

ago.

At any rate there are indica¬
tions that this segment of the in¬

vesting
funds
their
in

fraternity
which

way

the

near

is building up
probably will find

into

the

future

bond
as

market

these

insti¬

tutions wind up some of their
rent mortgage commitments.

securities

times

few

against

treme

care

Bell

With

the
Units

with

Busy

American

Telephone
&
Telegraph Co.'s huge "rights" of¬

Machinery, Inc.:
$1.20

stock,

value)

pect it
while.

for

accrued

$11

($20

share,

per

dividends;

2
se¬

plus

- ■ 35,000
(par $1)

share. Of the
10.000 shares are

stock,

par

and

stock

common

per

common

offered

selling stock¬

mar¬

Hvdraulics

Machin¬

Inc., with its principal office
in Racine, Wis., has
developed and
produces metal cutting machinery
ery,

types, includ¬
hacksaw (which is

the

principal product of the com¬
pany), a complete line of hydrau¬
The net proceeds
of

the

from the sale

preferred stock

added

the

and

stock

common

working

25,000

are

to be

capital

the company.

Cost

MIAMI, Fla.—David N. Griffis

Changed

money market condi¬
emphasized by the re¬
sults of bidding for Columbia Gas
System's $25 million of 25-year

tions

were

debentures which
on

came

has

entirely

bidding

new

pany

This

$1,000

banking

paying

proved

bond

pay

99.811

for

the

better

the

staff

Building.

4:l4%

be
than

ORLANDO, Fla.—Edward Hasti
staff

First

Avenue.

the

Joseph A. Rushton
Joseph A. Rushton passed

sold

the

age

82.

away

Mr.

vestment business since 1892, was

terest

offered

This

issue

was

re-

publicly by bankers at

limited

& Co.

partner

Goodbody

Co.

issue of

Underwriters—Cruttenden

The

First

Bender

Trust

Co.

Lincoln,

Co., ChK
Neb.;

and

Corp., Omaha; Neb.

Day"

held

12:30

the

Plaza

p.m.

Ballroom

Oct.

11,

commemoration

at
of

the

Discovery of America by the
Spanish Expedition led by Chris¬
topher Columbus. His Excellency
Don Jose Maria de
of

the

Areilza, Count
Spanish Ambassador

Motrico,

United

States

will

the

principal soeaker. Mr. Horace C.
Sheperd, Chairman of the First
National City Bank, as Chairman
of the Reception Committee, will
introduce

the

Shaver,

Lord

Committee,

The

Luncheon

of
the

will
Y

also

dedicated

of broadening ; the
understanding and
strengthening the cultural as well
purpose

economic

between

ties

United

the

States.

those who will be honored

that

time

Francis,

His

are

Cardinal

Ambassadors

quests

Eminence

Spellman,
the

Spain
Among

United

The
Na¬

Guatemala,

Panama

Bank of America N. T. & S,
heads

Multer; Honorable
Roman de la Presilla, Consul Gen¬
eral of Spain;
General Eduardo
Hernandez Vidal, President, Span¬
ish

Atomic

Colonel

Energy

Duque

Honorable

Commission;
Infantado;
T. Dickinson,

del

Edward
of

Commerce

and

Mr.

bonds

Veterans'

1958

will

The
from

private
Honor

Committees

bonds

Noon.

members

will

held

Guests
of
at

the

used

dua

inclusive.

sale

-the

provide

and home loans to

scaled

are

■

2.85%,

yield

according

maturity.
Other

writing

members

the

under¬

include: The First
National City Bank of New York;
group

The Chase Manhattan Bank; Blyth.
& Co., Inc.;

The First Boston Cor¬

poration; Harriman Ripley & Co.
Incorporated;

Savings

Harris

Bank;

Trust

and

Moulton

Company; American Trust Com¬
San Francisco; Glore, ForCo.; C. J. Devine & Co.;
Goldman, Sachs & Co.; Eastman
Dillon, Union Securities & Co.;
pany,

gan

Merrill

Lynch,

Beane;

Weeden

Pierce, Fenner &
&

Co.

Incorpo¬

rated.

The

First

National

Bank

Portland, Oregon; Seattle-First
National Bank; Security-First Na¬
tional

Bank

Equitable

Los

Securities

Angeles;
Corporation;

Dean

Witter & Co.; Reynolds &
Co.; California Bank, Los Angeles;
Bache &~Co.; J. Barth & Co.; Wil¬
liam R. Staats & Co.; Andrews &

Wells, Inc.; Barr Brothers & Co.;
G.
Becker
&
Co.;
Branch
Banking & Trust ' C o m p^-n y;
A.

Brown

Brothers

Clark,

Dodge

Burr

Trust

Harriman &

Co.:

Co.;

Coffin

Incorporated; Fidelity Union
Company, Newark.

John G. Sessler Adds
(Special to The Financial Chronicle)

BOSTON,

Tribune."

reception for

and

2.15%

Bonds,

1977,
the

California veterans.

Wahlstrom
A

from

funds for farm

City of N. Y. and
Reid, President, New

"Herald

Proceeds

the

Ogden

York

2%%

Aug.

the State of New York, Honorable
Richard
C.
Patterson,
Commis¬
sioner

A.
underwriting syndicate

which is offering today $35,000,000
State of California, 5%, 3%,'2%%

and

Alcubilla, Senator Irving M. Ives,
Congressmen:
Emanuel
Celler,
Irwin D. Davidson, James J. Delaney, James G. Donovan, Francis
E. Dorn, Edna F. Kelly, Eugene J.
Keogh,
Arthur
G.
Klein
and

Group

California Bonds

Miss

President

Taylor, Chairman

Women's

speak.

Ambassador.

Rushton, who had been in the in¬

issue of $40 million of 25-year
debentures to carry a 3%%
in¬
an

rate.

111.,

"Discovery

Commissioner

$1.20

interest

company

the

Investors, Inc., 51-53 East

Robinson

who offered to
same

joined

Florida

Sept.

Spring

the

Joins First Florida

has

share.

per

cago,

Abraham

ag¬

com¬

rate.

Last

(Special to The Financial Chronicle)

price of 99.931 for

added

Commerce

to market

gregation took down this issue in
the

been

King Merritt & Co., Inc., Chamber

reofferipg today.

$7.50

Peru: Lieutenant General Antonio

King Merritt Adds

Money

Transportation

reported public offering of

was

619,776 shares of class A common stock (par $1) was
planned late in October.. Price—Expected to be around

Hotel

duras,

little

Brothers

Sept. 19, it

tions of Brazil, Chile, Cuba, Hon¬

(Special to The Financial Chronicle)

Rise

Watson

annual

the

and

valves and controls.

to finance

constructionT of pipeline: in Virginia to
$3,380,000 from funds generated by operations,
sale of common stock and
temporary bank borrowings.
Underwriter — The First Boston
Corp., New York; and
Johnston, Lemon & Co., Washington, D. C."
«

Offers $35 Million

the

lic pumps,

per

"":

company proposes

Luncheon Announced

area

power

announced

Bank of America

ing

may ex¬

Washington Gas Light Co.1

Discovery Day

of various sizes and
a

Price—$20

short-term bank loans and

Dorothy

shares of

the

they

the

Oct.

15,000 shares of

$20.25

shares of
at

Milwaukee,

Hydraulics

series

privilege).:

To retire

$2.50)

shares held

seven

cost about

before

will

cumulative convertible pre¬

ferred

presumably

that

now

ket is as "stable"

coupon.

moment.

trend

the

officials

satisfied

per

ex¬

balked

financing operations.

Pacific's
are

had

rates since have completed

money

their

who

Racine

—

stock (par

common

share for each

—

was

Calif.-

The

holder.

Several of the company's larger

cur¬

watching the

are

markets

for the account of

nearest competitor

Clearly, they
debt

Tel.

Tuesday
Pacific
Finance Corp., will finally bring
to market its $25 million of 15year debentures which have been
hibenating in registration since
last Spring.

securities

demand

Inc.,

associates

new

sponsored 'by the
Spanish-American Board of Trade

publicly the following

Racine
Also

longer regard yields on
as
inadequate and

Tel.

Coming to Market

counterparts

loans negotiated directly with the
borrower and into mortgages. But

the changed

American

Co.

and

offered

been

have

securities for

months back
what

companies,

known,

for

Wis.,

curities

An unusual deal

land

Loewi

one

Luncheon

Hydraulics Shares

share,

the company now proposes to
stockholders the right to subscribe

oversubscription

Wachob

several

of¬

per

new

Calif.

underway,

common

proposed

Price—$35 per share.- Proceeds—To in-*
crease caiptal and surplus.
Underwriters—Blyth & Co.,
Inc. and Stern, Frank, Meyer &
Fox, both of Los Angeles,

ital.

out

1956 for 114,000 additional shares of capital
(par $10) on the basis of one new Share for each

its associated operating units also
are
in the market for more cap¬

will

announced

was

June 7 it

: v

Los Angeles,

right to

stock

only. Price—$2

every shar£ subscribed for through exer¬
primary and secondary rights, the stockholders
a further
right to purchase until Nov. 30,
1957, one additional share at $22. T
'; Y'

announced stockholders of record Oct. 5
the

Unsubscribed

others.. For

was

offered

rate

would receive

•

Co.,

stock

stockholder:, Rights

working, capital.
Underwriter
None. ' However,
Atlas Corp., which owns about 17% of the common
stock
outstanding, will subscribe for any stock not taken by

five shares held.

Standard

now

voting

for

26,

stock

fering

are

Co.,

Bank

Aug.

share. Proceeds

considering
subordinated convertible deben¬

;

Union

(with,

;

pro¬

Proceeds—For working capital and used

York.

announced -company plans to issue and
February or -March, 1957, $5,000,000 of. first mort¬

The

expire

at the rate of

(10/22-26)

$5,000,000

common

for 186.500 additional shares of

announced the directors are

was

* Wait Disney Publications, Burbank, Calif.

required for research and engineering, modernization
of plant facilities, development of new products and gen¬
eral expansion of operations in order to promote incf-eased sales. Underwriter — Lehman Brothers," New

was

struction

will

Underwriter—None.

offer to its

construction

for

Underwriter—Kuhn^

than 2,500 shares to each

fered to residents of Oklahoma

gage

10 it

tures due 1971.

the purchase from it of $9,600,000 equipment
certificates, series VV, to mature in 15 equal annual
installments.
Probable bidders: Halsey, Stuart & Co.
Inc.; Salomon Bros. & Hutzler.

sell in

and

issued, they will be offered

Co., New Yoik.

additional

of not

issue

trust

loans

Underwood Corp.

Sept.

(EDT)
Broadway, New York 6,

165

N. Y., for

000

cise

Bids will be received by the company up to noon

Aug.

bank

are

stockholders.

common

June

announced that the company

retire

Co.

University Life insurance Co., Norman, Okla.
21, Wayne Wallace, President, announced company
plans in near future to offer to its 200 stockholders 500,-r

bidders:

(10/31)

month.
•

Southwestern

Probable

Loeb &

Underwriters—Kidder, Peabody & Co., Eastman
Dillon, Union Securities & Co. and Merrill Lynch, Pierce,
Fenner & Beane, all of New York. Registration—Ex¬
pected about middle of October, for offering late in the

Halsey, Stuart & Co. Inc.; Blyth & Co., Inc.; The First
White, Weld & Co.; Merrill Lynch, Pierce,

bidding.

debentures

rata to

pro

gram.

Boston Corp.;

Underwriter—To

construction.

new

competitive

was

ceeds—To

in the Fall offer

Fenner & Beane.

Oct.

convertible

plans to issue
and sell
100,000 shares of cumulative preferred stock
(no par).
Price—To "be supplied by amendment. Pro¬

$15,000,000 of first mortgage bonds. Underwriter—To be
determined by competitive bidding. Probable bidders:

and

* Texas Power & Light Co.

of California Y

company may

plans to file

company

Oct. 2

and general corporate purposes. Underwriter
—Smith, Barney & Co. and Merrill Lynch, Pierce, Fen-'
ner & Beane, both
of New York.
V 4 yYV
program

Southern

that

Halsey, Stuart & Co. Inc.;- Kuhn, Loeb & Co., Blyth &
Co., Inc., Kidder, Peabody & Co. and Merrill Lynch,
Pierce, Fenner & Beane (jointly); Eastman Dillon, Union
Securities & Co. and Salomon Bros. & Hutzler (jointly);
White, Weld & Co.; Lehman Brothers, Drexel & Co. and
Hemphill, Noyes & Co. (jointly); The First Boston Corp.
Registration—Expected about middle of October.

of convertible subordinated deben¬
for subscription by common stock¬
$100 of debentures for each nine

shares of stock held.

loans

bank

determined

Sinclair Oil Corp.

tures

announced

was

Rubber

Humphreys,

raising $50,000,000 to $60,000,000 which" may be needed
plant expansion and working capital. He added that, if

statement with the SEC about the middle
of October for, the issue and sale of $10,000,000 of first
mortgage bonds due 1986. Proceeds—For repayment of

Sept. 10 it was announced that company is considering

selling $165,000,000

for

Lig.it Co.

Power

States

29,

Jr., Chairman, stated that
convertible
debentures is 5 one of several
possible methods the company has been considering for

registration

Registration—,

14.

issuance

if Texas

Stone & Webster Securities Corp. and Dean
Co. (jointly); Blair & Co., Incorporated.
Bids

Hutzler;

June

shares of

if Sierra Pacific Power Co. (11/14)
Sept. 27 it was reported company plans to issue and sell
$3,000,000 of first mortgage bonds due 1986. Proceeds—
To repay bank loans and for new construction.
Under¬
writer—To be determined by competitive bidding. Prob¬
able bidders: Halsey, Stuart & Co. Inc.; Salomon Bros. &
Witter

United

if Texam Oil Corp., San Antonio, Texas
1
it was announced that the 1,000,000 additional
common stock, recently autnorized
by rne di¬
rectors, will provide the company with the additionalworking capital it will require for further expansion.

page

Thursday, October 4, "1956

...

with
10

John

Post

has
G.

Office

Mass.

—

Arvid

become connected
Sessler

Square.

Company,
He

was

formerly with McCoy & Willard.

Volume 184

Number 5574

The Commercial and Financial Chronicle

...

(1471)

and is

owned

now

by 341 of them—a number

few industrial blue
The

Public

Utility Securities

American Gas & Electric Co.

corrpany

systems, with annual

Its subsidiaries

serve

various

revenues
in

areas

seven

COMMON

1953

dustries

19G0__.

Electric

39%
;
•

virtually all electric
services yield
about 33%
residential,

are

miscellaneous

revenues

are

industrial, and

holds

14% miscellaneous and wholesale.
interest in the Ohio Valley Electric Corp.

,37.8%

1.10

181/2

;
•

President

1.14

0.94

191/2

151/2

0.91

131/2

research

Philip

and

under

Sporn

bigness

standards

his

keenly

leadership

and

interested

A.G.&E.

efficiency

has

engineering

developed

new

steam

generating plants,
main transmission lines, etc. New plants have consistently ranked
first in efficiency of fuel consumption in recent years—Philip
Sporn in 1950, Tanners Creek in 1951-52, Kanawha River in 1953
and Kyger Creek in the OVEC system (construction of which was
supervised by A.G.&E.) in 1955.

0.94

0.69

151/2

H1/2

12I/2

91/2

0.91

0.38

big feather in Mr. Sporn's cap was his ability during the
past year to "sell" Kaiser Aluminum and'Olin Mathieson on moving into the Ohio Valley to take advantage of cheap industrial
; power (about 4 mills per kwh.) which A.G.& E. can produce
by
'

0.84

0.65

111/2

91/2

locating its

new steam generating plants near coal mines, so that
there is little or no freight cost involved. Formerly the aluminum
companies had sought cheap power from hydro or gas-fueled
steam plants.
He is planning to build two large units of 450,000
kwn. each (a few years ago a 100,000 unit was considered large)
with an anticipated thermal efficiency of 41%. These two genera¬
tors together are expected to save nearly $1 million a year in fuel

costs witn their increased

efficiency. Sporn has also developed a
technique for senaing much more electricity over the wires than
earlier aeemed possible—two 345-kv. lines of OVEC recently made
history by carrying 1,000,000 kw. for almost a week, one circuit
being loaded to 125,000 kw. for a brief time.
System generating capability, totaling about 4,000,000 kw. at

tb£

1955

enct of

vs. a

peak load of 3,700,000 kw. capacity, will be

increased to 5,700,000 kw. by
is forecast.
-

•

In the

1958 and to 6,600,000 kw. by 1960, it

past decade the A.G.& E. system spent nearly $800 mil¬

lion for plant, but with

highef costs of construction and increasing

demand for electricity the system now plans to spend $700 million
over the five years 1956-60.
What is more remarkable, this huge
program

probably be accomplished without equity financing.

can

$700,000

5 V2 %

Colo.;

160%

the

The bonds

stock

at $10

steel

the

and

homa,

priced

internally, and half through the sale of
bonas and preferred stocks by subsidiaries, together with a small
amount of bank loans. Anticipated earnings of 6% on this invest¬
ment will be leveraged for the benefit of common stock holders,

assuming that the cost of senior money does not become prohibi¬
tive.
In the past aecade fairly frequent issues of common stock
resulted in considerable
raise

dilution of

the equity ratio from 23%

While 600,000 kw. of

pumps.

though

has

good

phenomenal

the

not

enjoyed

growth

increases

the

postwar

revenues

lation served has gained 55%,
revenues

150%.

With

below

rates

system rate base last year

Referring

the

slightly

was

price

range

over

Casper, Wyo.
is

Mexico.

it will be

noted that A.G.& E. has registered new highs in every year since
1948.

The stock has become increasingly popular with institutions
DIVIDEND

and

meeting of the Board of Directors

Gamewell Company held on
Friday, September 28, 1956, a regular
quarterly dividend of 40 cents per
share

October

Colorado

net

the

proceeds

from

convertible

debentures

record

the

and

used

the

payable
the

Cohipany

TOPEKA

KAIL WAV

York,

Y.,

business

dividend

E. W.

cents

per

14,

SUNDBERG,

the

will

THE

Chase
Manhattan

15,

1956

NOTICE

Manhattan

120

SHRIVER,

Secretary

1956.

DIVIDEND

COMMON STOCK

clared

XANCOMPANY

cents

DIVIDEND NO. 175

quarterly dividend of 27H

per

share payable

Common Stock of the

STOCK

COMMON

September 25, 1956 a

quarterly dividend

per

be mailed.

business

the

Company

November,1, 1956,

holders of record

share was declared on
the Common Stock of this Company, payable
November 15, 1956 to Stockholders of record
at
ihe close of business October 24
1956.
Transfer books will remain open. Checks will
cents

share¬

the close of

October 19, 1956.
VINCENT T. MILES

ON COMMON

Treasurer

Board

The

Consumers

of
55

STOCK

Company

the payment

dividend

share 011 the
Common Stock,

per

November 20,

payable

Directors

Power

quarterly

cents

outstanding
to

authorized

has

owners

1956

record

October 19, 1956.
DIVIDEND

Septem!>er 28, 1956

JOHN R. HENRY, Secretary

PREFERRED STOCK

the

The DIAMOND

7Stl

COMPANY

CONSft UTIVE

payment

quarterly dividend of 37y2c

the $1.50

Both dividends

the payment

dividend
Stock

fol¬

owners

record

CLASS

PER SHARE

the Common Stock. At the same meeting the

also declared

The transfer books will not be closed

the

per

Board

October 11, 1956.

Company

September 27, 1956, declared a regular quarterly dividend

45c

quarterly
Preferred

December 12, 1956.
'

payable November

with

YEAR

DIVIDENDS

The Board of Directors of The Diamond Match
on

authorized
a

lows, payable January 2, 1957

Bank has de¬

per

$4.50

$1.12 '/z

$4.52

$1.13

$4.16

$1.04

Cumulativ^*Preferred Stock.
are

CONSUMERS POWER COMPANY

payable November 1,

1956 to stockholders of record

JACKSON, MICHIGAN

October 9, 1956.

this dividend.
PERRY S. WOODBURY,

MORTIMER J. PALMER

BANK

25,

WILSON, Assistant Treasurer,
Broadway, New York 5, N. Y

Secretary and Treasurer

Vice President and Secretary
MATCHES

•

PULP PRODUCTS

•

LUMBER

•

BUILDING SUPPLIES

•

WOODENWARE

the

Checks

QUARTERLY

AMERICAN

holders of record at the

connection

September

The Board of Directors has de¬

share on
shares of the capital

close of business

dividend of 60c per

stock of the Bank,
^CHARTERED 1799'

1956.

12,000,000

record

MATCH

the

The Board of Directors also

DIVIDEND

fifty

capital

November

LONG ISLAND LIGHTING COMPANY

AND

25,

1956

fifty

payable

November

the

mailed.

Dated

CuMPANV

September

being
Capital

Corporation

Directors

dividend

declared

stockholders

Board

1956,

was

business

the

25,

1956,"

meeting

September

stock

September 28, 1956

Directors has this day declared
Twenty-five
Cents
(25c)
per
Dividend No. 178, on the Com¬
Stock of
this Company, payable
December 8,
1956, to holders of said Common
Capital Stock registered on the books of the
Company,
at
the
close
of
business
October
The, Board

Dividend Notice
At
held

Lexington Avenue, New York 17.

stockholders

420

the

NOTICES

ATCHISON,

S Ai< i'A

£6

1956,

common

$1,175,000
purchase equip¬

DIVIDEND

mon

15,

Treasurer

approximately

HIE

share,

Stock

sinking
.

stock,

New

declared

was

Common

October 8, 1956.

the

fund

will

America

The

clared

Secretary

NOTICES

NOTICE

The Ghase

$0.29%

Reynolds.

■. c

has

\ WORLD WIDE BANKING

11-1-56

Fund Series

ac¬

Vanadium Corporation

below,

The

A small warehouse
located

also

sale

the

6%.

the table

inventories

DIVIDEND

Mo.;
Omaha, Neb.;
Springs/' Colo.^ano

Springfield,
Colorado

have
Popu¬

$1.25

••••••••••••••••see

Kan.; and Com¬
merce
Town, Colo., just outside
the city
limits of Denver.
The
company
also maintains district
sales
offices
at
Tulsa,
Okla.;

the national average

The percent earned

special rate problems.

11-1-56

Stock,
$25 par value
4%% Sinking

usage

existing warehouses.

A.G.& E. has

Stock,

$100 par value
5% Series

Panhandle,

Kansas, Okla¬
Nebraska, Iowa,

New

and

the number of customers 64%, and

domestic

Per

counts receivable at the company's

dis¬

period,

which

characterized leaning growth utilities in Florida and Texas.

Preferred

the

operj-line credit borrowings

A.G.& E.

Pa*-

able

Preferred

largely to reduce the

additional

aluminum,

Rate

Date

and

follows:

Wichita,

Mo.;

emphasis will also be laid on electric space heating,
offset to summer air conditioning, and on the use of neat

October 15, 1956.

record

stockholders of

sales offices at North Kansas City,

the proposed 2.2 million increase in kw.

In the future

added

this

payable

corporation,

Kansas

•>

divtfdends

Stock of

operates warehouses and

company

earnings, though they helped

load, with strong emphasis on heavy load builders such as ranges,
water heaters and clothes dryers. A.G.& E. has been able to obtain
saturations well above the national average for these appliances.

Preferred

ware¬

States

Montana,

to 34%.

capacity by 1960 will be taken by Kaiser and Olin Mathieson, the
company has a well-organized campaign to increase the residential

Board of Directors declared

pur¬

warehouse;

will

September 26. 1956, the

short-term basis, and to finance

Springs.

amount

Denver

Colorado, Wyoming, South Dakota,

about

the

balance

products,

level.

Texas

Arkansas,

stock

half

the

used

products in western

the

Missouri,

North

DIVIDEND NOTICE

regular quarterly

Co., for tne

facilities

FINANCE CORPORATION

company's working capital, to be

share.

and

warehouse

the

tributes these

of providing additional

the

Corp. is engaged in

the distribution of metal

principally

PACIFIC

new

of Kansas

were

per

Investment

for

and accrued interest and

Marsh Steel

City, Mo., and Denver, Colo.; ap¬
proximately $25,000' will be ex¬
pended for additional equipment

and

both

Baton

pose

Barret,
Fitch, North & Co., and Burke &

Inc.,

•••••••••i

mar

house

President

inventory and

receivable
at

C. V. GRIGGS

Rouge, La.
(the warehouse
being provided
under long-term lease); approxi¬
mately $350,000 will be advanced
to
the
company's
subsidiaries,
Norclay Investment Co. and Col-

of Lincoln, Neb.; Cruttenden
Co., Chicago, 111.; Boettcher &

With the aid of deferred income taxes the company expects to raise
-

and finance

accounts

Co.

17,

ment,

writers headed by The First Trust

City, Mo.

October

of. business

the

0.57

sinking fund deben¬
tures due Oct. 1, 1956 and 135,000
shares of common stock (par $1)
of Marsh Steel Corp. was made
on
Oct. 3 by a group of under¬

MacDonald,

0.59

record

convertible

Denver,

cents

common

1956.

0.30

Steel Securities

Co.,

its

payable October 31

0.87

warehouse

dividend of
halt

one

stockholders

1.16

offering

stock

1.22

Bankers Offer Marsh
An

Directors

quarterly
and

per

1.49

„

NOTICE

A.G;&E.

(OVEC)

I 2V?ei

•

1.05

1.27;

—

1945—

Portsmouth, Ohio. The A.G.&E. system ooes not serve any
very large cities and thus benefits by the current trend toward decentralization of industry.

clared

$16

0.95

1.31

1946

near

Board

Value

1.46

1.31

1947

which supplies a large amount of power to an AEC diffusion plant

Book

Low

High

1.46

1949

(there is no gas,
small amount).
14% commercial,

Price Range Common

Paid

1.48

EQUIPMENT, INC

Griggs Equipment, Inc., has de¬

1.22

1948

Dividends

1.36

„

and

The

261/2

revenues

RECORD

1.48

1951—

heating

STOCK

$1.21

1.58

metal

NOTICES

DIVIDEND

$1.68

1.65

—

1952—

making automotive products, rail equipment, steel and
products, chemicals, textiles, glass, ceramics, rubber, cement
and furniture. The Virginias are noted for their coal mines and
»there is also oil refining in the area.
>
' :

$1.60

1954

states—Ohio, Indiana, Virginia, Michigan, Kentucky, West
Virginia and Tennessee—with a population of about 4,836,000. The
territory served includes farming areas and also a variety of in¬

System

GRIGGS

twelve

1955

oiis

•but

DIVIDEND

—Share Earnings—
Consolidated
Parent

December

of about
contigu-

•

by only

(Adjusted for stock splits and stock dividends)
Year Ended

.American Gas & Electric is the largest of the nine electric

utility holding
$265 million.

exceeded

.duPont and General Electric.

ended Aug. 31 of $2.02 is 18.4.
A.

;

has been

stock

selling recently around 3714 (range this
431/2-351/2) to yield about 3.9% on the $1.44 dividend rate.
price-earnings ratio based on earnings for the 12 months

year

The

By OWEN ELY

chips such

Serud*jOc<£4tctft?Kcc6tyl*

£8

The Commercial and Financial

(1472)

times

BUSINESS BUZZ

$1.12 is too much for a
to risk without making
is buying legal wheat.

buyer

sure

Qualifies

on. >
from the Nation'®

allotted

in strange ways

to affect the value of

jtJL I %AAt

Capitol

Values

Land

This gimmick of the

acreag/works
Behind-the-Scene Interpretotions

October 4; 1956

Chronicle... Thursday,

particular

pieces of property.

JL UW

allotment is ad¬

acreage

justed to

a particular farm, on
the basis of its "historic record,"

WASHINGTON,
time to take

web

intricate

controls

and

attention
farm

himself

States

United

the

in" his

subject

it is the story of how

regimentation

their

that

"holes" have already

some

appeared in the new "soil bank"

money-dispensing, crop produc¬
tion controlling device.
it is always a fresh
though it has been
for several years, because

Finally,

story
law

even

obviously

very

officials

a
good many
Department of

the

Agriculture and even a county
agent this correspondent talked
to

were

unfamiliar with

some

its basic ramifications. No less

For in his Peoria speech, Mr.

Eisenhower made this observa¬
tion about mandatory

high price

supports:

drastic

program com¬

support

bill

which

was

price

vetoed

last April would have added
controls

new

Treasury a modest amount
money
than the existing
which

far

not

are

con¬

below

90%, but it would have imposed
no

"quotas,

governmental

allotments,

regulations."

the

ministration's

bring
or

based.

hand, the

"soil

Ad¬

bank"

did

and tougher form

new

regimentation,

known

"cross compliance."
Until the

quota

wheat

for

continue

raise

and

20 acres, more or less,
from year to year, so
long as he did not for three
successive years fail
to plant

"soil bank"

became

law, a farmer in Kentucky rais¬
ing three controlled crops—to
use
a
hypothetical example-

trolled
sive

plant

for

crop

(this

years

three

con¬

tobacco.

Now, if a farmer contracts
for the subsidy under the "soil
bank" to curtail his acreage of
tobacco, he must agree that he
will plant no more acreage than
he is allotted in

corn

and wheat

also.

Soil

Bank

There is

one

"Holes"

respect in which

the soil bank may not

ily

buy

duction

the

necessar¬

government

re¬

succes¬

correspondent

successive

farm,

his

owner

sell

prohibitive

loses

the

cannot

now

without

instance,

for

years,

although

quota

tobacco

penalty),
right

plant that crop, subject only to
good

ScflrVftfffe

Conservation

and

committee

give

and

two

Ag#i«ultural Sta¬

him

maybe
acre

appeal. He applies

the operator of

"new farm."

Under the soil bank the farm¬

crop

he gets the sub¬

sidy regardless of whether there
is

crop failure in his

respect

such

area.

farmers,

and

average

any¬

sale

the

The

Department

Agricul¬
that this

"leveling
down"

up"

process

"leveling

and

going

on.

could be that this will distribute

On
influ¬

it is an
which further will dimin¬

ence

hand,

the

"historic

farmer

signing

soil
pre¬

record"

and

up.

influence

toward

production

the

re¬
sur¬

plus crops drastically.

Stabilization
Service

Con¬

and

figures

"average yield" for the county,
he subsidy is thus paid on that
If the average yield is
basis.

these

cases

producers thereof may
produce until they
clear with the county office of
the Department of Agriculture,
and establish proof, if necessary,
that they have not planted any
more
land than they were al¬
lotted by the county office of
the

their

United

The

States

this

way

sible is that

Government.

made

pos¬

farmer before he

Farm

sells
his crop must
obtain a
little numbered card or a formal

certificate

saying this wheat,
cotton, tobacco, peanuts, or rice,
as the case may be, is produced
on
acreage in compliance with
the acreage allotment.
.

Regimentation

controls

are

two

kinds, acreage allotments
or
acreage
allotments
with marketing quotas.
alone

Where

farmer has

acre¬

allotment, say, of 20 acres
of
wheat, but no marketing
quotas are in effect, this means
that he can through one or an¬
other device (loan or purchase
age

agreement)

price

can

get

guaranteed

the production from his
say

plant 30
defiance

the 20

acres.

100

his

acres

allotment,

only foregoing the right to get
a

non

recourse

variously

guaran¬

document

from

farms

sell, the purchasers thereof will
be liable to the government for
the fine
applicable for the il¬
legal sale of the commodity.
.,

Specifically, if
duced

year

but

only

average

bushels

acres

had
acres,

wheat

The

the

production

members

of the Depart¬
county committee who
pleas for allotments as

lost

allotments,
who

men

lished

monopoly,

Likewise if

value

the

thereby

farmer

provement
vestment.

farm

ratio

verse

So before the farmer

can

not
to

were

to
as a

would

affected

tend

in¬

its

physical im¬
farm capital in¬

[This column is intended to re
fleet the "behind the scene" inter
pretation from the nation's Capita
and may or may not coincide wit'
the "Chronicle's" own views.]

With Schwabacher Co.
(Special to The Financial Chronicle)

SAN

Horace

FRANCISCO,
H.

connected

Gaffrey
with

Calif.

has

becom

Schwabacher

Co., 100 Montgomery Street,
bers

the

Francisco

New

Stock

York

mem

and

Exchanges.

Joins Reynolds Staff
(Special to The Financial Chronicle)

SAN

were

estab¬

and

get out of a controlled crop and
spend considerable money and
three
years
to
improve the
land's
fertility,
the
market

acre,

invariably

are

represent the

welcome competition.

county

he would be
subject to a fine of 20 times 20,
or 400
bushels, at a rate of about
$1.12 per bushel.
per

through¬

"new farms" to those who have

this

allotment

and

efficient.

sold

ment.

farmer pro¬

how

are

ments is heavily affected by the
particular farm's acreage allot¬

the

government permitting them to

Commodity

Credit Corp. loan or a purchase

agreement,

buyers,
tobacco
ware¬
houses, grain dealers, etc., are
on notice that if they purchase
a
controlled commodity with¬
out
the farmer exhibiting an
authentic

basis of its

their tobacco allotments, for the
value of such farms as invest¬

pass

five

All

Farm

allotment,

Leveling Process
Under the acreage reserye of
the soil bank the county Agri¬

servation

stultifying the objective

Thus a
farmer is influenced to sign up
and get his subsidy for curtail¬
ing or not planting a controlled
crop
simply
to
preserve
his
property right to plant and sell
the crop in a future year.

cultural

into the soil bank

ductive land

the

sell

to more voters.

more money

other

Cannot Sell Above Quota

crops,

broad

hand, the
bank gimmick specifically

later.

matter

ment's

his

that

wheat

his

ture already has found

Two more years of no
planting and he loses the right
other

once

Only corn is without a mar¬
keting quota. On wheat, cotton,
tobacco, rice, and peanuts, there
are marketing controls.

production is 40 bushels.
He
will be paid
only the county
average of 20 bushels.

record."

the

ducing

plant

chalks up one year of "no
production" against his "historic
way,

cash

pro¬

vouchers

he does not want to

FRANCISCO,

Calif.-

Harry Mock, Jr. has been added
to

the

425

staff

Reynolds

Co,;

Montgomery Street.

sell,

he must obtain that written per¬
mission to sell.
A fine of 400

TRADING MARKETS

figured at 20 bushels of wheat
to the acre, for instance, and the
farmer
actually
has
had
an

yield of 20 bushels, he
paid $1.32 per bushel
(the rate varies from one area
to
another)
for not planting

A. S.

average

will

wheat

ing

acreage

that 20 acres, assum¬

puts

all

under

the

paid

other

the

times $1.32 for
age reserve

JIG*

Indian Head Mills
United States Envelope

Morgan Engineering
National Co.

reserve.

the

rate

of only 20
joining the acre¬

of the soil bank.

opposite

case,

average farmer with

below

poor

land

Botany Mills
Campbell Co. Com.
Fashion Park

the better land may produce 40
bushels to the acre. He will be

surplus

than

duction to prove by

ish the putting of the more pro¬

hand, the ex¬
ceptionally capable farmer with

better

with

who
says
why should he
plant wheat he doesn't want to
plant, and why should he t^ke
money for not planting wheat
er

teeing him the support price in

It is of no avail to the farmer

the

its wheat stockpile
<or of other crops) about which

Department of Agriculture
brags from the housetops. Once
a farmer contracts to
underplant

$1.32.

and willingness

grace

of the county

Hie

tion, at the assumed county rate
of 20 bushels to the acre times

failed to plant tobacco for three

corn,
tobacco, and wheat,
could reap his subsidy for hold¬

his decreed acreage of corn and

will
acre

fails

one

say

ing down his plantings accord¬
ing to the edicts given him on
tobacco acreage, whilst at the
same time
planting more than

produce nine bushels. He
paid, for taking a 20wheat quota out of produc¬

may

the

Maryland,
Virginia,
and
the
Carolinas, the real estate men
usually advertise the size of

wheat.

out the tobacco growing area of

SHIP COMING IN ?
YOUR

IS THIS

Acreage ah

controlled farms go

farm

When

get sub¬

the

govern¬

history, not to the indivi¬

dual,

could

varying

187

quo

the

the farm.

the

crop

some

instance,

for

sidies

case

allotment of

status

wards

lotments

acres

years,

serves

his

the

present

produce a crop is
If he had been allotted

other

"freeze"

com¬

to sell the crop.

Brings "Cross Compliance"
On

"basic"

which

upon

right

The

farm

of tobacco.

acres

record"
or

which had

ment

planing and
marketing than already were in
It might have cost the

1.26

this

into

run

over

Uie law.

trols

not

known

wheat, corn, cotton,
tobacco,
rice, and peanuts, a
farmer
is
given an "historic

ease

mandatory

one

acres

modities,

the

President

Purpose of this gimmick is to

bilization

The

error.

would

plant,

record.

want

not

did

their historic

planting

govern¬

situation:

quotas, allotments,
regulation."

governmental

Factually,

for

money

wheat

the

"That kind of

pels

ment's

did

and

anyway,
take the

want

not

and

grams.

allot¬

where farmers using economic
judgment might in some years
have planted other crops be¬
cause good management
would
suggest such a course, reducing

any

person
than President Eisenhowever himself, along with
probably 99 44/100% of the pop¬
ulation, disclosed an innocence
of the workings of these pro¬

came

On the other hand, there are
in the tobacco country

not want to

On the statutory

Another phase of the story is

wheat

plant
•

he did

that

for

decided

farmer

reason

overhead.

administrative

insur¬

Record"

;

supinely farmers have come to

operations as a condition to re¬
ceiving the nearly $6 billion of
subsidies they will get this fis¬
cal year minus, of course, the
tremendous cost of paying the

acres

that farm would carry an
ment of 5 to 6 acres.

Historic

Preserving "Farm

week.
In part

farms

at Peoria, 111., last

speech

culture

ance.

called

been

had

it in
before the
of Agri¬
along, then today

all

tobacco in the years
Blessed
Department

This thus

crop.

becomes nationwide crop

thing, the President of the

one

crop

harvested

and

For

laws.

farm

becomes

little fellow

farm

7-acre

producing

insurance for
the farmer is paid a roughly-es¬
timated net profit over what he
would have got had he planted
ly

over

commodities

der the various

with

spots of crop failure, thip mere¬

the marketing of
spun by the
Department of Agriculture un¬
farming

farm

and not its size. If

best years there are

in the

even

C.—It

fresh look at that

Carl Marks
FOREIGN

SECURITIES

SO BROAD STREET

f.EL: HANOVER 2-Q050

•

Co. Inc

SPECIALISTS

NEW YORK 4, N. Y.

TELETYPE NY 1-971

Riverside Cement

Sightmaster Corp.

LERNER & CO.
Investment

10 Post Office

Securities

Square, Boston 9, Mass.

Telephone
HUbbard 2-1990

T ele type
BS 69

Full text of Commercial and Financial Chronicle : October 4, 1956, Vol. 184, No. 5574

FRASER