Full text of H.16 Capital Market Developments : August 3, 1964
The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
DECONTROLLED AFTER SI7 M O N T H S H. 14 for Publication August 3, 1964. SARY r.APTTAT. MARKET DEVELOPMENTS IN THE UNITED STATES F, 1954 i ((Including RevievT of Capital Markets^ in July and Table (on Security Financing by Manufacturing Corporations the First Quarter Security financing. The total amount of public security financing coming to market this w e e k will be only about three-fifths as large as last week's moderate volume, with State and local government offerings accounting for the entire decline. Long-Term Public Security Offerings 1J (In millions of dollars) Week Ending Corporate New Capital | Refunding State and local govt. New Capital| Refunding Sold: July 24 July 31 288r/ 216 121 r/ 30 20 Scheduled: Aug. If 7 113 40 Federal Reserve estimates based on published reports of issues sold and scheduled for offering; corporate rights offerings are included as of the data subscription rights expire, r/ Revised. Security yields. Yields on high-grade bonds changed little last week, but money market rates showed mixed changes. Yields in Securities Markets Level latest week (per cent) High-Grade Notes and Bonds Corporate Seasoned U. S. Gov 'c • Long-term 3-5 year 4.37 4.40 4.14 3.99 State and local govt. Money Market Federal Funds Treasury bills 3-month 6-month Finance Company Paper 3.50 3.46 3.57 3.75 Change from preceding w e e k (basis points) H. 14 -2- Stock prices. Common stock prices, as measured by Standard and Poor's composite index of 500 stock prices, eased- slightly further on balance last week, closing at 83.18 on July 31. Trading volume averaged 4.2 million shares a day, off 0.3 million shares from the average for the previous week. Capital markets in July. Corporate security financing for new capital probably aggregated $0.8 billion in July. This total is about three-tenths greater than the July average in recent years, but is down two-fifths from the seasonal peak in June with public offerings amounting to only about one-half of the June volume. Large public offerings included $113 million in stocks and only $178 million in non convertible bonds. About half of the bond total was accounted for by 2 large negotiated issues; these issues were quickly distributed at attractive yields. With a small supply of issues available for competition bidding, however, and a light calendar in prospect through Labor Day, dealers bid aggressively for the remaining issues and average yields on new bond offerings (adjusted to an Aaa basis) dropped four basis points further early in July to 4.37 per cent. This level, still prevailing at month's enc% is 16 basis points below the May peak and only seven points above the February low. Initial retail reception for these issues was quite poor, but the lack of upward pressure on yields improved demand for older issues still in syndicate. Thus, the month-end inventory still bound by price restrictions totaled only about $50 million--little changed from the end of June level. Sales of State and local government bonds for nev; capital amounted to$06 billion in July, up one-eights from the previous month and two-fifths from the average for July of the two previous years. During most of the month underwriters experienced little difficulty in distributing new issues; late in the month, however, $123 million in bonds of New j York City and the $100 million State of California issue received only fair retail reception and a number of small issues moved slowly. ) Dealers advertised inventories of unsold securities, which had declined moderately early in the month, rose to around $670 million at the end of s' x the month, $125 million above the mid-month low and about $70 million 1 greater than at the end of June. Yields on seasoned, Aaa-rated municipals (Moody's), however, ended the month at 3.09 per cent, still two basis points under their end of June level. Common stock prices, as measured by Standard and Poor's composite index of 500 stocks, rose almost three per cent during early July to a new record of 84.01 on July 17. Prices eased somewhat during the remainder of the month, but closed at 83.18 on July 31, only one per cent under the mid-month high. Trading volume averaged 4.7 million shares a day, slightly above the June average and 1.2 million shares more than the July 1963 average. H. 14 Estimated security financing in August. Flotations of both corporate and State and local government securities are expected to drop off sharply in August. Corporate security financing to obtain new capital is expected to total $550 million, down almost two-fifths from the previous month and one-eight less than in August 1963. Bond offerings for new capital by State and local governments will probably amount to $500 million, over two-fifths below the unseasonally large July total and three-tenths less than a year earlier. Not included in this estimate, however, is the Columbia Storage Power Exchange's $330 million offering. Originally expected sometime in the fall, this negotiated issue may be offered before Labor Day. More detailed information concerning recent capital market developments is presented in the attached exhibits. Capital Markets Section, Division of Research and Statistics, Board of Governors of the Federal Reserve System. tXfflBIT A. Port II LONG-TERM BOND YIELDS, HIOH-OBAPI U.S. 60VHmiIlli| Lo n g -t • r SUIi AND. lout 60VIIMMIH! *••! I I I I I j M U X Exhibit A - Part II J Corporate Aaa y U . S . Govt, long-term 2/ State and local government Aaa 3/ Spread between U. S. Govt., and State and Corporate local Aaa Aaa (per cent) 1959-60 - High 1961 - High , Low 1962 - High Low 1963 - High Low 1964 - High Low July July July July iX^uly 3 10 17 24 31 £/ 4.42 (1/8/60) 4.41(7/17) 4.35(2/28) 4.l6 (12/27) 3.87 (1/18) 4.20(4/17) 4.11(7/3) 3.65 (9/24/59) 3.37 (7/6) 3.12 (3/23) 3.26 (1/4) 2.88 (ll/B) 3.18 (11/21) 2.93 (3/28) 3.16(3/26) 3.07(7/16) 4.40 4.40 4.41 4.40 4.40 / 4.11 4.12 4.13 4.14 4.14 3.10 3.07 3.07 3.09' 3.09 U. 61(1/29/60) 4.46(9/15) 4.21(3/17) 4.43(2/16) 4.23(13/2* 4.37(13/27) 4.19(3/29) 4.07 (12/29) 3.70(5/12) 4.12(2/23) 3.85(12/28) .59 .57 $ '.35 .21 '.76 .46 1.04 .80 1.05 .88 1.09 .29 .19 1.01 .29 1,01 .28 .28 .26 .26 1.05 1.06 1.05 1; 05 p7 P ro iindimry . *y Weekly average of daily figure a. Average tern of bonds Included is 22-24 years* TJ Weekly average of daily figures. The aeries includes bonds due or callable in 10 years or more. 3/ Thursday figures. Only general obligation bonds are included; average term is 20 years. Note*—gighs and lews are for individual series and may be on different dates for different series. For spreads, high refers to widest, and loir to narrowest* for FRASER Digitized 1 EXHIBIT m >..! I j I LONG-TERM BOND YIELDS, LOWER-GRADE | £ . IE 711 — Ml Tol 1 me ! Mill " M4I | lit! I MM) Exhibit B - Part II" Date Corporate Baa 1/ State and local govt. Baa 2 / Spread between Aaffi and Baa State and Corporate local govt. (per cent) 1959.-60 - High 1961 - High Low 1962 - High Low 1963 - High - Low 1964 - High Low $.34(2/13/60) 5.13(10/27) 5.00(4/21) 5.11(3/3): 4.92(12/21) 4.93(3/4) 4.83(11/35) 4.87(6/26) 4.82(7/31). July July July July July 4.86 4.84 4.83 4.82 4.82 Hotel 3 10 17 24 31 £/ Tor footnotes see I x h i b i t A# 4.46(3/7/60) 4.16(3/23) 3.93(11/9) 4.04(1/11) 3.52(3/17) 3.63(6/27) 3.52(5/23) 3.58(3/26) 3.51(4/16) 3.55 3.55 • — - 3.53 3.53 3.53 .84 .81 .66 .74 .63 .71 .48 .48 .42 *1.08 .93 .57 ' .82 .56 .63 .44 .49 .36 . 46 .44 .42 .42 .42 .45 .48 .46 .44 .44 EXHIBIT C, fort I i SHORT- AND INTERMEDIATE-TERM INTEREST RATES, GOVERNMENT i-MOWTH IIU$ Mork.l Yield 3-$ V U I ISSUIS F.I. DISCOUNT BATE WW.A A 1 A^/a V V f 2 l * 0 N T H 1111$ ' I I I III I I I I I M I I r I I IIII II I II I I I I 111)11 I I I I II II I I Exhibit C - Part II Date Discount rate v 1959-60 - High 2561 - High Low 1962 - High Low 1963 - High Low 196U - High Low July July July July v/july 3 10 17 24 31 £/ 3-month bills 2/ t Yields z 6-month bills 2/ (per cent) 3-5 year issues 2/ 3.50 3.50 ll. 59(1/8/60)5.07(3/8/60) 5.00(12/24/39) 2.66(12/29) 2*90(l/29) 3.86(8/11) 2.17 (V27) 3.15(3/12) 2.35(4/28) 3.88(2/2) 2.97(7/13) 3.13(7/20) 2.65(6/8) 2.7U(6/8) 3.bl(i%/28) 3.55(13/13) 3.68(13/6) 1^.07(1^/27) 2.93(3/8) 3.UU(Via) 2.88(3/15) 4,23(3/27) 3.74(3/6) 3.56(3/6) 3,98(7/17) 3.43(7/17) 3.52(7/3) 3.50 3.50 3.50 3.50 3.50 3.48 3.48 3.43 3.46 3.46/ lt.OO 3.00 3.00 3.00 3.00 3.50 3.00 3.52 3.53 3.55 3.61 3.57 4.00 3.99 3.98 4.00 3.99 Spread between yields on 3month bills and yields on 6-mo. bills|3-5 yr. issues .79 .a .12 • 2U .02 .17 .OU 1.81 1.51 .92 1.19 .52 •70 .1*2 .21 .04 .71 .04 .05 .12 .15 .11 .52 .51 .55 .54 .53 .48 3/ Weekly rate shown la that in effect at end of period at the Federal Reserve Bank of Mew York# j j Market yield) -weekly averages computed from daily closing bid prices. Series of 3-5 year issues consists of selected notes, and bonds* Hote,—Highs and lows are for individual series and nay be on different dates for different series* for spreads, high refers to widest, and low to narrowest* EXHIBIT p. Pa,, 1 SHORT- AND INTERMEDIATE- TERM INTEREST RATES, BANKS AND OTHER PRIVATE BORROWERS, HMAHCI COMPANY P A f f l 1 f . « . DISCOUNT t f t l T A—4 Ai/'vy^VV 1 f ~n- Exhibit D - Date Stock exchange call loan l/ 19f>9-60High 1961 - High Low 1962 - High Low 1963 - High Low 196U'- High Low 5.5o U.5o U.5o U.So U.5o U.50 a. so 4.50 4.50 July July July July July 4.50 4.50 4.50 4.50 4.50 Part II Finance company paper 2/ Federal funds 3/ Spread between 3-mo. bills> and finance co. paper 4.50 4.50 5.13(1/22/60) 3.00(12/30) 2.50(8/5) 3.25(7/21) 2.88(6/1) 3.88(12/27) 3.13(5/31) 3.93(4/3) 3.75(7/31) . U.00 (5/13/60) 2.90(11/17) •U3 (V27) 3.00 (12/28) 1.30 (3/26) 3.50 (12/27) 2.U5 (7/26) 3.50(7/31) 3,00(7/24) 1.02 .56 .11 .US .15 .39 .12 • 41 •22 4.50 4.50 4.50 4.50 4.50 3.88 3.86 3.81 • 3. /ti 3.75 3.50 3.50 3.50 3.00 3.50 Prime rate 1/ ('per cent) 3 10 17 24 31 £/. 5.00 U.50 U.50 u.50 U.50 u.50 u.50 .40 .38 .38 .32 .29 2/. Weekly rate shown i s that I n effect at end of periqd. Stock Exchange call loan rate I s going 'rate on call lq&ns secured by easterners* stock exchange collateral at New York City banks. Prime rat# • is that charged by large banks on short-term loans to business borrowers of the highest credit standing. 2/ Average of daily rates published by finance companies f o r directly placed paper f o r varying maturities in the 90-179 day rangee y Weekly average of daily effective rate, which is the rate for the heaviest volume of purchase ant sale transactions as reported to the federal Reserve Bank of Hew York* , Note i—Sighs and lows are for individual series and may be on different dates for different'Settee# Tor spreads, high refers to widest, and low to narrowest* http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1 STOCK MARKET V STOCK HAIKU CREDIT (HANOI IN $1111$ WillionI ol »h Exhibit E - Part II Date Stock price index 1/ Trading Common volume 3/ stock yields 2/ (millions (per cent) of shares) Stock market castome: credit Customers' Bank debit balloans to "others" 5/ ances k/ Total (In millions of dollars) 1961-62 - High Low 1963 - High 196U - High Low June July July July July 17 24 31 £/ 72.0W 12/8/61) 52.68(6/22/62) 7U.UU(l2/27; 84.01(7/17) 75.50(1/3) 2.80 3.96 3.01 2.93 3.10 10.1 2.U 6.5 6.1 4.0 80.24 83.22 84.01 83.46 83.18 3.05 2.96 2.93 2.94 2.95 4.4 4.7 4.7 4.5 4.2 5,602(12/61) U, 259(12/61) 1, Ul8 (3/9/62) U,1^U(1/61) 3,253(3/61) 1,161(3/8/61) 7,298(11/63)5,586(11/63) l,738(i?/25) 7,314(4) 5,524(1) 1,875(7/22) 5,366(3) 7,120(2) 1,720(1/22) 7,232 5,373 1,862 1,875 n.a.—Not available. Preliminary. 1/ Standard and Poor's composite index of 500 common stocks, weekly closing prices, 1941-43"10, Monthly data are averages of dally figures rather than of Friday's only. Highs and lows are for Friday's data only* 2/if Standard and Poor's composite stock yield hased on Wednesday data converted to weekly closls# prices by Federal Reserve. Yields shown are for dates on thioh price index reached its high 3/ Averages of daily trading volume on the New Yoric Stock Exchange, End of month figures for camber firms of the New Ybrk Stock Exchange which carry margin accounts $ excludes balances secured by U. S. Government obligations, Wednesday figures for weekly reporting member banks. Excludes loans for purchasing or carrying 5/ TJ. S. Government securities. Weekly reporting banks account for abort 70 per cent of loans to others. Tor further detail see Bulletin, Exhibit F FHA Conven- mortgages 2/ Date 25-vear 30-vear 1956 1957 1958 1959-601961-64- Low High Low High High Low 1964 - March April June 4.68 5.63 5.35 6.24 5.72 5.43 5.44 5.44 5.44 5.44 gages 3/ Part II Aaa Corporate Spread between yields on conv. & Seasoned-'' New^ 25-year FHA mortgages Spread between yields on new corporate DO IUB ana Seasoned 25-year FHA mtgs. 5.70 5.45 5.20 6.00 5.55 6.30 5.95 5.80 .47 .47 .15 .23 .38 .23 3.08 4.94 3.65 5.25 4.72 4.12 3.08 4.12 3.57 4.61 4.45 4.22 .76 1.58 .88 1.69 1.50 .94 1.03 .05 .73 .39 -. 16 5.45 5.45 5.45 5.45 5.80 5.80 5.80 5.80 .36 .36 .36 .36 4.43 4.48 4.46 4.43 4.38 4.40 4.41 4.41 1.01 .96. .98 1.01 .05 .08 .05 .02 Neither mortgage nor bond yields take Into account servicing costs which are much higher for mortgages than bonds. Generally, bonds pay interest semi-annually; mortgsgas, monthly. Mortgage yields, if odeputed as equivalent to a semi-annual interest investment, would be slightly higher than given in the Based on T&A-field-cffioe opinions about average bid prices in the private secondary market for newborns mortgages for immediate delivery* Separate data available for 25-year and—begin!ng July 1961— 30-year mortgages with minimum downpaymsnts, 'weighted by probable volume of txansaotions . Yields computed by fHA, assuming prepayment period of 12 years for 25-year mortgagee and 15 years for 30-year mortgages. Over the period for ifcioh they can be compared, the movement of the two mortgage yield series has been similar. Dashed lines indicate periods of adjustment to changes in contractual interest Based on FHA field office opinion on typical interest rates (rounded) on conventional first mortgagee prevailing in the market areas of insuring office cities. Beginning with April 1960, rate relates only to new-home mortgages; prior to that date, rate related to both new as we 11 as existing-home mortgages. Dashed line indicates this change in the series. See note for Exhibit G. Moody's Investor Service, Monthly averages of daily data. See Exhibit A, 5/ % w EXHIBIT O. Pa,I I 1 YIELDS O N NEW AND SEASONED CORPORATE BONDS I /AdluHsd to Aae Bo.Ill ' MEW ISSUES X i r^U.1 II I I I I II I Exhibit G - Part II Yields on New Corporate Bond Issues Adjusted to an Aaa basis Number A m r t of issues Average of included (mil. yield (per cent) of dollars) Number Ain't of issues Average of included (mil. yield (per cent). of dollars) Monthly averages; 1964 - Jan.' Feb. Mar. Apr. May June . 150.0 125.0 166.0 130.0 278.0 230.0 4.50 4.38 4.43 4.48 4.46 4.43 July 26 3 10 17 24 31 80.0 Weekly averages: 1964 High 4.53(5/8) 4.30(2/21) 60.0 4.45 35.0 4.44 6.61 55,0 totes Averages of offering yields on &1JL new issues of publicly offered corporate bonds rated Aaa. ia and A by Moody's Investors Servioe (except serial and convertible issues, offerings of natural gas pipeline and foreign companies, and bonds guaranteed by the Federal Go varment) weighted by alae of offering. Before averaging, new offerings are adjusted to a composite Aaa basis by deducting from the actual reoffiring yield the excess of the weekly average yield for seasoned bonis of the appropriate industryquality group over the conoosite average for seasoned Aaar-rated bonds (Moody's), Averages considered unrepresentative because of special characteristics of the offerings Included are denoted by an asterisk. 5 12 \V H. 14 Exhibit H Long-term Corporate and State and Local Government Security Offerings and Placements (In millions of dollars) New Capital 1964 January February March April May June July August September quarter quarter quarter quarter 1st -half Three quarters Year 1962 State and Local 2/ 1964 1963 1962 944 771 809 732 746 976 876 1,133 628 \ 2/1,213 £/ 646 e/ 800 869 866 930 873 , 912 ' 786 e/ e/ 680 708 449 612 ' i 544 jj 427 1 ,051 729 416 650 ; 578 550 • > 930 685 754 613 594 1,144 549 860 819 £/ 2,111 930 904 1,013 . 1,153 771 1 ,132 800 550 676 637 795 573 773 557 1,013 819 1,415 819 678 1 ,064 2,369 n/ 4,494 2,351 2,847 2,109 3,246 2 ,228 3 ,056 1 ,902 2,,561 2/2,524 e/2,659 2 ,454 2 ,665 1.,837 2.,197 2,637 • 2,571 N 1,528 1,779' p/ 6,863 5,198 7,307 10,553 5,,284 7,,186 9,,747 e/5,183 5 :,118 6 S,955 , 151 9j 5,208 6,790 8,568 . £/ 1,040 £/ 1,343 e/ e/ October November December 1st 2nd 3rd 4th Corporate 1963 £,/ £/ £/ 900 500 Excluding finance companies—^ 1st 2nd 3rd 4th quarter quarter quarter quarter 1,996 e/ 4,094 2,284 2,529 1,768 2,854 2, 169 2, 970 1, 767 2, 330 Year 9.434 9, 236 e/ Estimated by Federal Reserve. £/ Preliminary. X/ Securities and Exchange Commission estimates of net proceeds. 2/ Investment Bankers Association of America estimates of principal amounts. 3/ Total new capital issues excluding offerings of sales and consumer finance companies. H. 14 V? New Corporate Security Issues, Type of Issue and Issuer (In millions of dollars) Quarter ! or I Month Total Gross proceeds for new capital and refunding 1/ Common Bonds and Publicly Privately pfd. stock Offered Offered 507 716 1 ,155 1,,222 1 ,389 639 1.,024 853 307 1,,568 / 300 1 ,089 Public Communi- Other issuers Mfg. Utility cations 456 231 275 321 717 794 659 986 326 794 285 530 236 221 150 118 842 1,241 868 1,629 418 658 438 862 273 1 ;,646 1,240 1,328 217 218 166 153 271 345 118 110 148 141 175 252 88 159 301 199 282 253 451 135 220 592 148 216 227 297 272 237 240 214 515 114 115 97 341 222 230 107 100 78 201 131 198 125 68 43 71 92 58 25 39 41 13 64 238 191 412 369 373 499 187 187 441 531 461 637 149 123 146 157 175 326 109 155 174 150 44v 270 157 83 34 1,369 27 250 515 324 400 435 397 496 655 996 601 769 430 983 375 568 128 434 109 47 947 591 896 968 29 71 161 123 52 125 43 46 34 99 243 289 774 452 694 675 431 318 501 481 549 751 102 94 91 217 95 113 25 43 526 342 353 429 507 618 121 1962 - I II III ; i IV 2 ,378 3 ,250 2 ,184 2,,957 i1963 - I II III 2,,700 3.,634 2,,436 3.,466 1,,108 1 :,389 898 1 :,319 - 1,,306 1,,820 1,,251 1.,780 287 424 287 367 •1964 - I | II £ / 2 j,499 4,,740 978 1,,313 1,,221 1,,554 300 1,873 630 922 632 976 784 1,197 200 477 176 539 286 264 366 363 295 314 446 808 695 642 1,363 1,049 1,340 1,246 810 756 871 1,116 891 1,459 350 259 499 380 550 459 279 336 283 511 183 626 985 710 805 2,175 1,124 1,441 338 279 361 383 470 46: | 1Wet proceeds for -tew capital 1/ 2/ Memo: Foreign issues included -68 257 56 179 - 67 82 100 100 87 125 159 83 60 56 182 196 46 21 42 10 10 27 88 5 16 91 1,363 147 363 32 36 3 8 ' 120 67 260 4 57 86 £ / Preliminary.e/Estimated by Federal R e s e r v e . % Cross Proceeds exceed net proceeds by the cost of flotation.2/For total see Exhibit H; other issuers are extractive, railroad & other transportation, real estate & finance & commercial & other. Source: Securities & Exchange Commission Other Security Offerings (In millions of dollars) 1964 January February March April May £/ £/ B/ 4 82 69 27 74 50 July Augus t September October November December Jan. - June Gross long -term If Foreign government 2/ 1963 1962 1964 232 133 76 57 114 • 11 63 - 83 2 2/ 306 Year 142 10 35 10 86 50 25 8 31 151 88 101 623 333 771 737 148 £/ -- 186 461 e/ 275 459 fi/ — e/ 275 n.a. 223 f 174 200 Jan. - June 529 150 175 July August September October November December April May 1962 246 156 New shoi:t-term 4/ State and local government 5/ r/ -78 103 75 18 r/-336 466 236 272 r/ 23 -407 -186 -367 97 442 589 127 183 -30 -84 79 239 -10 -118 62 78 208 339 -406 -173 259 71 146 234 -339 -161 January February Federal agency 3/ 1963 r/ 128 793 863 1,167 1,188 Federal agency 3/ -106 -189 -482 292 195 319 " 414 327 258 123 -102 551 284 261 227 -157 379 55 -80 29 319 247 -156 226 -364 ; ; •; t-' '« 1,600 i,oo4 ; 692 378 Year 2./ Preliminary. e/Estimated by Federal Reserve. n.a.-Not available. 1/These data differ from those in Exhibit H in that refunding issues, as well as new capital issues, are included. Long-term securities are defined as those maturing in more than one year. 2/lncludes secur i t i e s offered in the U. S. by foreign governments and their political subdivisions and international organizations. Source: Securities and Exchange Commission, ^/issues not guaranteed by the U.S. Government. Source: Long-term, Securities and Exchange Commission; short-term, Treasury Department and Federal Reserve. 4/These data differ from those in Exhibijt H and above in that they represent new offerings less retirements, whether from the proceeds |-i of refunding issues or from other funds. Data include only issues with original maturing of ||| one year or less. 5/Principally tax and bond anticipation notes, warrants or certificates \t and Public Housing Authority notes. In some instances PHA notes included may have a someP' w h a t longer maturity than one year. Source: Bond Buyer and Federal Reserve. ' H. 14 Exhibit K Large Long-term Public Security Issues for New Capital (Other than U. S. Treasury) J L / Proceeds of Large Issues Offered (In millions of dollars) Total 1963 - July Aug. Sept. Oct. Nov. Dec. ]1964 - Jan. Feb. Mar. Apr. May June July | Corpor ate Bonds (Other than Convertible bonds convertibles) 180 218 215 380 117 515 225 200 296 235 415 390 178 199 236 237 446 180 547 307 263 335 1,557 452 650 291 -- State and Other 2/ Stocks governments 19 18 22 66 63 32 22 28 38 1,271 37 260 113 60 35 51 279 329 135 734 373 111 577 358 282 698 274 384 544 60 20 174 200 50 20 15 275 260 Large Individual Issues Offered During July Type 3/ Amount (millions of dollars) Coupon rate or Maturity net inter est cost Offering yield Rating Corporate Pacific Gas & Elec. Co. Baltimore Gas & Elec. Co. J. C. Penney Credit Corp. Nationwide Corp. Northern State Pwr. Corp. Marine. Midland Corp. Milwaukee Gas Light Co. Northern 111. Gas Co. Com. stk. 1st ref. mtg. bds. Deb. Com. stk. Pfd. stk. Deb. 1st mtg. bds. 1st mtg. bds. 64.1 30.0 50.0 33.9 15, 0 60.0 18.0 20.0 6.0. 13.6 15.0 1994 1984 4-1/2 4-1/2 4.40 4.57 1989 1989 1989 4-1/2 4-3/4 4-1/2 4.60 4.65 4.42 Aaa -- Baa Aa State and Local Government Oregon State Bd. of Higher Ed. San Juan, Puerto Rico Atlanta Fulton Co. Rec. Auth.,Ga Memphis, Tenn. Houston Ind. Sch. Dist., Tex. Alabama Highway Auth. Met. Denver Sewage Disp. Dist. #1, Colo. G.O. Rev. -Q •Ut. G.O. G.O. Rev.-Q-Ut 10.0 10.0 Rev.-Ut. 32.5 18.0 14.0 1967-94 1965-87 1966-93 1965-89 1966-92 1970-84 3.15 3.50 3.28 3.03 3.25 3.48 1968-2003 3.41 2.40-3.30^ 2.20-3.55 2.35-3.405/ 2.10-3.152.35-3.20i/ 2.90-3.50 2.50-3.50 Aa A Aa Aa A A K-2 Large Individual Issues Offered During July (Cont'd) Type 3/ Amount (millions of dollars) Maturity Couporate or net inter est cost OfferRating ing yield State and Local Government (Cont'd) Seattle, Wash. Merced Irr. Dist., Cal. Penna. State Pub. Sch. Bldg. Auth. New York State Housing Fin. Agency New York City, New York Colorado Springs, Colo. Florida State Bd. of Ed. State of California 45.0 Rev.-U t. 36.0 Rev.-Q.-Ut. Rev.-Rent. 13.4 75.1 Rev -Rent. 123.2 G.O. Rev.-Ut. 13.5 25.0 Rev.-Rent 100.0 G.O. 1968-94 1969-89 1966-2003 1965-95 1966-95 1964-83 1965-94 1966-90 3.48 3.65 3.39 3.64 3.14 3.10 3.29 3.19 1966 4-1/8 2.65-3.70 2.70-3.62 2.30-3.50%/ 2.20-3.70 2.30-3.50 2.00-3.15 2.10-3.408/ 2.25-3.309/ A Aa Aa Aa Other Federal Home Loan Bank 2r-0.0 4.13 *--Rights offering, n.a.--Not available. 1/ Includes corporate and other security offerings of $15 million and over; State and local government security offerings of $10 million and over. 2/ Includes foreign government and International Bank for Reconstruction and Development issues and non-guaranteed issued by Federal agencies. 3/ In the case of State and local government securities, G.O. denotes general obligations; Rev.-Ut., revenue obligations secured only by income from public utilities; Rev.-Q,-Ut., revenue bonds secured only by revenue from quasi-utilities; Rev.-S.T., revenue bonds secured by revenue from specific taxes only; Rev.-Rent., revenue bonds secured solely by least payments. 4/ 1/10 per cent bonds maturing 1994 not publicly reoffered. 5/ 1/10 per cent bonds maturing 1988-89 not publicly reoffered. 6/ Bonds maturing 1982-92 not publicly reoffered. ,<4 7/ 1 per cent bonds maturing 2003 reoffered to yield 3.95 per cent. 8/ 3 per cent bonds maturing 1994 not publicly reoffered. 9/ 1/20 per cent bonds maturing 1989-90 not publicly reoffered. I J \1 H. 14 Exhibit L Forthcoming Large Long-term Public Security Offerings for New Capital (Other than U. S. Treasury) 1/ Expected Proceeds from Forthcoming Large Issues (In millions of dollars) During month following da :e shown State and local govt. Corporate ; 1963 - July31 221 : Aug.31 158 Sept. 30 i 240 ! Oct.31 145 ? Nov.29 392 i Dec.31 305 155 J 1964 - Jan.31 224 1 Feb.28 ? Mar.31 1,587 651 f Apr.30 | May.28 600 June30 292 July31 92 329 210 561 255 137 469 316 454 669 345 341 539 120 Other 2/ 20 , ' 25 15 Corporate 267 183 240 145. 1,992 1,905 .1,771 ' 1,649 1,837 844 668 307 167 Subsequent to date shown State and local govt. 512 468 757 401 349 731 667 646 953 575 598 716 588 Other 2/ 20 25 15 Forthcoming Large Offerings as of July 31 Issuer Type Amount (millions of dollars) Approximate date of offering 25.0 16.9 15.0 15.0 20.0 75.0 Aug. 5 " Aug. 11 (rts. ex.) Aug. 12 Aug. 19 Aug. 26 Sept. (rts. ex.) 12; 0 21.0 12.0 15.8 24.0 35.0 12.5 35.0 Aug. 4 Aug. 5 Aug. 6 Aug. 10 Aug. 26 Aug. Sept 14 Indefinite Corporate Texas Gas Trans. Corp. First Natl. Bank of Atlanta Northern State Pwr. Co. Utah Pwr. & Lt. Co. San Diego Gas & Elec. Co. Wells Fargo Bank Deb. Conv. cap. notes 1st mtg. bds. 1st mtg. bds. S. F. Deb. Cap. note State and Local Government Nashville & Davidson Co. Met. Govt. Tenn. ^Georgia State Univ. Bldg. Auth. Sacramento Mun. Ut'il. Dist. , Cal. San Francisco, Calif. Los Angeles Dept. of Wtr. & Pwr., Calif. Mass. Turnpike Auth. Dallas, Tex. Pittsburgh, Pa. G.O. G.O. Rev.-Ut. G.O. Rev.-Ut. Rev.-Q.-Ut. G.O. G.O. • H - J Forth Coming Large Offerings as of July 31 (Cont'd) Issuer Type Amount (millions of dollars) Approximate date of offering State and Local Government(Cont *d) Dade County, Fla. Forth Worth, Tex. Va. State Highway Auth. ^Columbia Storage Pwr. Exchange G.O. G.O. Rev.-Q.-Ut. Rev.-Ut. . 46.0 14.1 31.0 330.0 Indefinite Indefinite Indefinite Fall Other *--Included—in Table for first time. If Includes corporate and other issues of $15 million and over; State and local government issues of $10 million and over. 2/ Includes foreign government and International Bank for Reconstruction and Development issues and non-guaranteed issues for Federal agencies. Note:--Deletions for reasons other than sale of issue: None. 14 H.14 Exhibit H Foreign Government and Corporate Security Offerings and Placements in the United States Part I: Sale Date Amount (millions of dollars) Public Offerings Issuer and Description of Issue A. 5/7 15.0 Sold May 1 through July 3 1 Republic of F i n l a n d — 6 % bonds; maturing 1976, offered to yield 6.24% ' B. None Prospective Offerings M-2 Part II: Date reoorted Note: Private Placement--Reported May 1 through July tjl Amount (millions of dollars) Issuer and Description of Issue > 5/8 4.0 5/8 10.0 Pacific Great Eastern Railroad Co.--4-1/%% sinking fund debentures, maturing 1994-no information available on takedown. ^ 5/18. 21.0 Upper Lakes Shipping L t d . — 6 % installment notes, maturing 1966-79--no information, available on takedown. 6/2 50.0 Quebec-Hydro-Electric Power Authority-4-1/2% debenture, maturing 1 9 8 4 — n o information available on takedown, 6/23' 25.0 City of Montreal--4-7/8% debentures, maturing 1966--no information available • on takedown. 7/8 45.0 International Minerals and Chemicals Corp. (Canada) Ltd.--notes, maturing 1982--no ,f information available on takedown . Israel Discount Bank Ltd.—5-1/27. capital notes, maturing 1979--no information available on takedown. For retrospective data on aggregate foreign corporate and government security offerings in the United States see Exhibits I and J. There is no simple relationship, j between the data shown in this Exhibit and that shown in Exhibits I and J because the>4; latter includes privately placed securities in the period in which funds are actually takendown but only in the amount of takedown, while the placements shown in this exhibit are included w h e n reported, frequently with little or no information coticernin^:1.timing b£ thkedoWnsr Fulii..enupirtia5Lnt6kddowns mpy take place both prior *md subsequent to the data a placement is reported. ^--Includes in table for first time, 1) H. 14 Exhibit N Security Offerings for New Capital by Manufacturing Companies First Quarter 1959-64 (Net proceeds in millions of dollars) • ' I 1 1 | ) :• All Manufacturing Nonelectrical machinery Fabricated metal products Other transportation equipment Beverages Electrical machinery Printing Chemicals Textiles and apparel Paper Foods Motor vehicles and equipment Primary iron and steel Primary nonferrous metals Rubber products Petroleum and refining Stone, clay and glass Lumber, wood products Tobacco Other 2/ 1964 1963 418 54 51 42 40 37 31 28 26 25 16 14 6 6 5 2 1 1/ 947 53 40 40 1 , 74 11 42 26 16 79 34 1962r/ 1961r/ 1960 482 9 6 5 298 18 25 11 48 4 35 21 36 13 1 31 13 19 64 26 16 92 2 22 21 6 137 2 276 18 3 649 61 9 27 3 87 20 91 56 22 64 4 28 3 7 57 55 5 123 50 135 51 -- 12 10 3 1 11 3 13 3 1/ Less than $500,000. 2/ Includes small volume of issues of foreign manufacturers not further classified. Note.--Details may not add to totals due to rounding. Source.--Securities and Exchange Commission and Federal Reserve. 1959 358 19 17 7 15 25 3 33 6 38 34 1/ 63 55 4 1 1/ 2 36