Full text of H.16 Capital Market Developments : December 11, 1967

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DECONTROLLED a f t e r s i x h o h t b s ,
Not for

December 11. 1967.

W

/CAPITAL MARKETS DEVELOPMENTS
AN THE UNITED STATES

Corpo^ate^and Municipal bond markets. The volume of new,
publicly-offered corporra and municipal securities expected this week is
significantly above the average weekly volume over the past year. After
last week's excellent receptions in the corporate market, several issuers
who had previously been indefinite about the timing of their offerings'
hastened to put themselves on the calendar for this week. Included among
such issuers is the Bendix Corporation whose $125 million offering will be
the week's largest, and the Natural Gas Pipeline Company of America whose
$50 million offering has already been postponed twice — once for technical
reasons, and a second time during the unsettled conditions following the
devaluation of the pound. The municipal volume will feature the $138.5
million offering by the Housing Assistance Administration. Supplementing
total long-term offerings will be the $15.0 million issue of the Komatsu
Manufacturing Company of Japan.
|
Long-term Public Security Offering)
(In millions of dollars)
Corporate
New Capital|Refunding

1/

State & local Government
New Capital | Refunding

Sold:
52 weeks avg.
December 1
8

323

245

r/338
378

480
261

420

372

Scheduled:
December 15

\J Federal Reserve estimates are based upon published reports of issues
sold and scheduled for offering; corporate rights offerings are
included as of date subscription rights expire.
Yields on new and seasoned corporate bonds advanced last w'eek,
in one case breaking a previous 100-year record. As indicated above, at
these new high levels, the reception of new issues was extremely good. All
but one of the week's major issues sold out rapidly; the one remaining in
syndicate is reportedly 85 per cent sold.




H. 14

Yields on Security Markets

-2-

High Grade
Notes and Bonds

Level Latest Week

Change from
preceding week

Corporate
New
Seasoned

6.55
6.15

+4
+2

5.38
5.70

+4

U.S. Government
Long-term
3-5 year

-2

State and local Govt.
Moody1s Aaa
Std. & Poor's high grade

4.15
4.47

+12

4.30

-18

4-3

Money Market
Federal funds
Treasury bills
3-month
6-month

4.92
5.49

Corporate Bonds Still in Syndicate
.Date
Offered

Amount
(millions of $)

Issuer

Reoffering
Yield

Rating

Estimated proportion sold

Aaa

85%

50.0

Pacific N.W. Bell Tel.,
6-3/4's - 2007
6.65

11/30

60.0

Florida Power & Light,
6-3/4's - 1997
6.65

557=

11/28

55.0

General Tel. of Calif.,
6-3/4's - 1997
6.80

757=

12/6

Blue List of Municipal Dealers1 Advertised Inventories
Latest Week
528(12/6/67)




End of Previous Week
494

Recent High
849(4/26/67)

H. 14

-3-

Yields vn municipals also advanced last week, and in this
market too new issues were enthusiastically received. The acceptance
ratio (the proportion ot new issues sold during the week) climbed tc
86 per cent. Calcasieu Parish, Louisiana, however, received no bids on
its $62.7 million indusirial revenue bond issue; it now plans a negotiated
offering in about 30 rlavs.
Savings flows. Depositary-type institutions experienced net
inflows totaling $2,166 million in October, a marked improvement over the
year-earlier experience when all but mutual savings bankg were subject
to net outflows. Savings and loan associations gained $496 million in
savings capital, whereas last year their net loss totaled $46 million.
The net increase in savings and time deposits at commercial banks totaled
$1,460, compared to a net loss of $566 million in such deposits last: year.
And mutual savings banks experienced a net increase in deposits of $il0
million, up 121 per cent from the previous year.
Stock prices. Common stock prices continued to advance %ast
week in extraordinarily heavy trading. At the close Friday, Standard and
Poor's index of 500 stocks stood at 95.42, up 0.92 from the previous Friday.
Trading volume on the New York Stock Exchange averaged 12.0 million shares
a day.
More detailed information concerning recent capital marke
developments is presented in the attached exhibits.

Capital Markets Section,
Division of Research and Statistics,
Board of Governors of the Federal Reserve System.




-4SAVINGS FLOWS

Year
or
Month

1961
1962
1963
1964
1965
1966 r /
1967 - J u n e
July
August
Sept. r/
Oct.
£/
196 7

-

Commercial Banks 4/
Mutual Savings Banks 3/
Savings & Loan Assoc. 2/
Change Per cent
Per cent Current
Change
Per cent Current
Change
Current
change
from
change (millions)
from
change (millions)
from
Total (millions)
previous
previous
previous
year
1/
year
year
Unadjusted
64.8
3,703
9,415
40.4
550
1,184
15.7
1,912
8,743
20,070
64.8
6,097
15,512
58.9
1,126
608
7
.
0
3
,
0
3
8
9
,
3
5
1
27,901
-4.8
-739
14,773
7.1
217
1
,
7
2
1
18.4
3
,
2
5
5
11,072
29,100
-4.5
-631
14,142
30.1
981
-493
-4.5
4,236
10,579
28,957
41.3
5,845
19,987
-15.4
-654
-2U95
-20.7
3,582
8,384
31,953
-32.3
'-6,452
13,535
-28.6
-1,025
-4,759
-56.8
2,557
3,625
19,717
r/4,666
r/2,173
r/3,595
52,156
2,166

jr/3,066
r/4,226
Jul;.
r/3,466
August
Sept. £/ # 2 , 0 8 7
3,094
Oct.
£/

646
1,193
496

750
1,569
522
562
542

63.3
—
421.0
89.1
—

683
1,662
524
473
565

337.3

624
319
325
550
210

400
124
165
177
121

178.6
63.6
103.1
47.5
60.3

r/2,107
7/1,793
7/2,624
7/ 413
1,460

583.3
44. 5
77.1
76.1
25.3

r/1,751
7/2,299
r/2,433
7/ 942
1,994

r/474
7/ 46
7/915
7/785
2,026

r/21.6
7/2.6
r7265.0

r/ 337
7/ 98
r7l,875
~r/ 831
"2,116

r/ 23.8
r/ 4.5
r/336.0
r/832.7

Seasonally Adjusted
864
1,492
649
770
733

Commercial

^

--

419.2
159.3
336.3

451
435
384
375
367

385
134
170
162
74

last Wednesday of month except June 30 and December 31; other

4/ Da^a^are^o^the^net0increas^in^savings'andStime°deposits adjusted at all CO»erclal banks.
• Source: Federal Reserve.



EXHIBIT

A.

Porl

I

I, H I G H - O R A D I

S T A T E A N D LOCAL G O V E R N M E N T A l l
Moody's

I I I II I- M
i i i i -i i i i i i i 11 i i i i 'i M M r
1IS3



1964
f

1965

I I I I I I II I I I I I I M
I 1 I I I I I II I I II

1966

1917

19(1

I I M

I II

Exhibit A -- FarL il

j
1

Date

i

1959-60 - High
1966 - High
Low
1967 - High
Low
Nov.
Dec.

\i

Corporate
Aaa 1/

State and
local
U.S. Govt. |
long-term 2/ji government
1
Aaa 3 /
(per <cent)

4.61(1/29/60)
5.52(9/9)
4.73(1/7.)
6.14(12/8)
5 00(2/10)

4.42(1/8/60)
4.87(9/2)
4.42(1/7)
5.49(11/17)
4.37(2/3)
5.44
5.49
5.45
5.40
5.38

6.02
6.10
6.08
6.13
6.14

10
17
24
1
8

1/ Weekly average of daily figures.
27 Weekly average of daily figures.
3/

C e . .

3.97
r/3.99
4.03
4.03
4.15

.59(8/5/60)
.84(12/30)
.14(2/18)

.92(4/22/60)
1.19(2/11)
.77(9/2)

.92
.44

1.51
.74

.58
.61
•63
.73
.76

1.47
r/1.50
" 1.42
1.37
1.23

Average term of bonds included is 22-24 years.
The s e r i e s includes bonds due or callable in 10

Only general obligation bonds are included; average tern is 20

Note--Highsr^nd lows^are for




3.65(9/24/59)
4.04(8/25)
3.39(1/13)
4.03(12/1)
3.25(2/9)

Spread between
11-S. Hovt. and
| State and
Corporate
| local Aaa
Aaa

IndlrLTrrowLt.

EXHIBIT B. P o r t

^

LONG-TERM

B O N D YIELDS, LOWER

I

GRADE

Weekly

 1 9 6 3


CORPORATE B a a

STATE AND LOCAL GOVERNMENT B a a

1964

1965

1967

1968

Exhibit B -- Part II

State and
local govt.
Baa 3/

Corporate
Baa 1/

(per cent)
1959-60 - High
Year end- 1965
1966 - High
Low
1967 - High
Low
Nov.

Note:




10
17
24
1
6

Spread between
Aaa and Baa
State and
Corporate
local govt.

5.36(2/12/60)
5.04
6.18(12/30)
5.05(1/14)
6.89(12/8)
5.81(4/14)

4.46(1/7/60)
3.79
4.55(8/25)
3.78(1/20)
4.73(12/8)
3.85(4/13)

.84
.31
.81
.31
.82
.63

1.08
.39
.62
.31
.81
.37

6.66
*73
6.77
6.81
6.89

4.64
4.67
4.68
4.68
4.73

.64
.63
.69
.68
.75

.67
.69
.65
.65
.58

For footnotes see Exhibit A.

•
SHORT-

AND

• rxHlVh

C, Port

1

INTERMEDIATE-TERM INTEREST RATES

GOVERNMENT
Weekly

* MONTH B I L L S
Market

3 - 5 YEAR I S S U E S

Yields

F R . DISCOUNT RATE
New

York

3 MONTH B I L L S

1963




1964

1965

1967

1968

Exhibit C —

Discount
rate

__iz
1959-60 - High
Year end - 1965
1966
1966 - High
Low
1967 - High
Low
Nov.
Dec.

10
17
24
1

8

4.00
4.50
4.50
4.50
4.50
4,50
4.00
4.00
4.00
4.50
4.50
4.50

3-month
bills U
4.59(1/8/60)
4.47
4.80
5.52(9/23)
4.39(6/24)
4.92(11/8)
3.41(6/9)
4.64
4.63
4.85
r/4.92
~ 4.92

Part II

Yields
6-month
bills 2/
(per cent)
5.07(1/8/60)
4.66
4.92
5.92(9/23)
4.53(6/24)
5.49(12/8)
3.74(6/2)
5.13
5.12
5.43
5.49
5.49

3-5 year
issues U

Spread between yields on
3-mo. bills and yields on
6-mo. bill«|3-5 vr. issues

5.00(12/24/59)
4.90
4.86
5.83(9/2)
4.80(4/8)
5.80(11/10)
4.36(4/7)
5.80
5.76
5.71
r/5.67
™ 5.70

.79
.19
.12
.52
.09
.62
.01
.49
.49
.58
.57
.57

1.81
.43
.06
.78
.01
1.61
.02
1.16
1.13
.86
r/. 75
~ .78

- 1/ Weekly rate s h L Is that In etiect at end of period at the Federal reserve „anK ^
2/ Market'yieId; weekly averages computed from daily closing bid prices.




Series of 3-5

EXHIBIT

0,

Pari

1

S H O R T - A N D I N T E R M E D I A T E - T E R M INTEREST RATES,
B A N K S A N D OTHER PRIVATE B O R R O W E R S
Weekly

PRIME RATE

F I N A N C E COI
Directly

ploce«i_

1 9 6 3


F.R. DISCOUNT RATE

FEDERAL FUNDS
E f f e c t i v e Role

1964

1965

1966

1967

1968

Exhibit D —

Prime rate 1/

Date

Part II

Finance
company
pafper 2/

Spread between >
3-mo. bills and
Federal funds 3/ finance co. paper

(per cent)
1959-60 - High
Year end- 1964
1965
1966
1966 - Low
1967 - High
Low
Nov. 10
17
24
Dec. 1

8£/

5.00

4.50
5.00

6.00

5.00(3/4)

6.00(12/8)
5.50(12/1)
5.50
5.50

6.00
6.00
6.00

5.13(1/22/60)
4.06
4.75

5.88

4.75(1/7)
5.75(1/6)
4.38(6/23)
5.13
5.13
5.25
5.25
5.38

4.00(5/13/60)
4.00
4.63
5.63
3.55(1/21)
5.25(1/6)
3.40(10/27)
3.94
4.02
4.13
4.48
4.30

1.02
.23
.28
1.08
.20
1.33
.21
.49
.50
.40
1.33
. .46

iiBsssssssr



EXHIBIT

E. Part

1

STOCK MARKET
Billions

of

1941-43

dollon

overege=10

100

PRICES

STOCK MARKET CREDIT
* CHANGE IN S E R I E S
4

1 9 6 3


Millions

VOLUME

YIELDS

1964

1966

1968

ef

shores

Exhibit E

Stock price
index 1/

Part II

Stock market customer credit
Trading
Common
Bank
Customers'
volume 3/
stock
debit bal- loans to
Total
yields 2/ (millions
"others"5/
ances 4/
of shares)
(per cent)
(In millions of dollars)
4,259(12/61)
3,253(1/61)
5,835
5,169
7,009
5,200

1,418(5/9/62)
1,161(3/8/61)
2,241(7/6)
2,097(12/14)
2,507(11/1)
2,055(1/25)

72.04(12/8/61)
52.68(6/22/62)
93.77(2/11)
73.20(10/7)
97.26(10/6)
82.18(1/6)

2.82
3.96
3.01
3.97
3.01
3.58

10.1
2.4
10.7
5.0
12.1
6.9

5,602(12/61)
4,424(1/61)
7,997
7,302
9,432
7,345

Oct.
Nov.

95.66
92.66

3.06
3.18

10.2
10.6

9,432

7,009

2,423

Nov. 17
24
Dec. 1

92.82
93.90
94.50
95.42

3.18
3.14
3.12
3.09

10.2
11.7
10.2
12.0

n.a.
n.a.
n.a.

n. a.
n. a.
n. a.
n. a.

2,479
2,466
2,442

1961-62 - High
Low
1966 - High
Low
1967 - High
Low

8

n.a. Not Available, p/ Preliminary.
^
.n
1/ standard and Poor's composite index of 500 common stocks, weekly closing prices, 1941-43-10.
- Monthly data are averages of daily figures rather than of Friday s only. Highs and lows are
for Friday's data only.
, .
, .
2/ standard and Poor's composite stock yield based on Wednesday data converted to weekly closing
prices by Federal Reserve. Yields shown are for dates on which price index reached its high
3/ Averages of daily trading volume on the New York Stock Exchange.
4/
~
5/
-

Year-end figures are averages

End^^montlTfigures for member firms of the New York 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
u.s. Government securities. Weekly reporting banks account for about 70 per cent of loans to
others. For further detail see Bulletin.




FEDERAL N A T I O N A L M O R T G A G E A S S O C I A T I O N ^
SECONDARY

MARKET O P E R A T I O N S
T] 400

OFFERINGS

i 300

1 200

100

'PURCHASES V

SALES
1962




1966

1964

\\

1968

Exhibit F - Part TT
Estimated offerings i
to FNMA
Standby
Immediate
Total
purchase
commitment

Da t 0

Purchases
by
FNMA

Sales
by
FNMA

(In millions of dollars)
1966 - Oct.
Nov.
Dec.
1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.

167.5
163.6
121.5
67.9
24.4
26.9
17.8
. 78.7
229.1
232.8
261.0
168.3
260.6

164.2
161.0
120.1
67.3
24.2
26.7
17.7
78.5
228.8
232.6
260.6
167.9
260.1

3.3
2.6
1.4

.6

.2
.2
.1
.2
.3
.2
.4
.4
.5

107.2
132.0
130.5
125.0
84.2
50.9
20.6
17.8
26.9
81.2
198.3
192.4
215.1

.2
.9
.8
1.5
6.0
.9

.8

.2
.3

*—Less than $50,000.
j
1/ Data represent unpaid principal balances of the mortgages involved, exclusive
of premiums, discounts, or other charges. Offerings are amounts of applications
received during the period from sellers proposing that FNMA execute purchasing
contracts. An immediate purchase contract covers existing mortgages which the
seller must deliver to FNMA within 45 days. A standby commitment contract relates to proposed mortgages on housing not yet under construction which the
seller must usually deliver within one year. Purchases include those under .
both immediate purchases and standby commitment contracts. Data exclude FNMA
activity under Special Assistance and Management and Liquidating Programs.




-*«•

17

EXHIBIT

YIELDS O N

NEW

AND

SEASONED

CORPORATE

G,

Pari

1

BONDS

Weekly


1964


1

Adjusted

to

Aaa

6.5

Basis

NEW I S S U E S

6.0

5.5

5.0
SEASONED A M
Moody's

4.5

4.0
1965

1967

Exhibit G|- II
Yields on New Corporate Bond Issues Adjusted to an Aaa basis

Number
of
issues

Number |Am't. of issues Average
yield
of
included (mill.
(per cent)
issues
of dollars)

Am't. of issues Average
yield
included (mill.
(per cent)
of dollars)

Monthly averages:
1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.

6
7
20
20
14
23
14
17
10
15
13

496.0
481.0
1,073.0
916.0
570.0
993.0
772.0
1,125.0
358.0
716.0
356.5

5.38
5.20
5.31
5.39
5.66
5.79
5.78
5.89
5.88
6.12
6.53

Oct.

Nov.

Dec.

3

3
3
3
3

2
4

68.0

118.0

85.0
295.0

6.14
6.07
6.34
5.99

150.0
40.0
85.0

6.13
6.37
6.59

231.5
230.0

6.51
6.55

Weekly averages;
6.59(11/17)
High
Low
Low
l
5.11(2/10)
Aaa,
itotei—Averages
ot publicly
puDiiciy offered
orrerea corporate
corpora..*: bonds
uu»uB rated.
i=
«==,
Averages of offering yields on all new issues of
Aa and A by Moody's Investors Service (except serial and convertible issues, offerings of natural
gas pipeline and foreign companies, and bonds guaranteed by the Federal Government) weighted by
size of offering. Before averaging, new offerings are adjusted to a composite Aaa basis by
deducting from the actual reoffering yield the excess of the weekly average yield for seasoned
bonds of the appropriate industry-quality group over the composite average for seasoned Aaarated bonds (Moody's). Averages considered unrepresentative because of special characteristics
of the offerings included are denoted by an asterisk.




Exhibit H
Long-term Corporate and State and Local Government
Security Offerings and Placements
(In millions of dollars)
New
1967

Corporate
1966

1965

State and local 2/
1966
1967 p/

1965

January
February
March

1,648
1,398
2,317

1,302
1,237
2,446

795
746
.1,197

1,482
1,196
1,438

1,188
858
865

804
872
904

April >
May
"June

1,973
1,474
2,611

1,553
1,058
2,364

1,152
1,691
1,946

1,112
1,218
1,497

1,193
901
1,143.

826
924
972

July
• August
September

2,456
2,407
1,722

1,039
1,670
1,382

1,290
850
1,392

941
652
R/1,256 '

701
773
1,020

986
648
966

924
1,325 1,496

e/ 925
e/1,200
e/1,300

October
November
December

e/2.150

829
1,085
1,635

1st
2nd
3rd
4th

5,363
6,058
6,585
% ] 5,700v

4,985
4,974
4,091
3, 550

Quarter Quarter
Quarter
Quarter

1st half
Three quarters
Year

e/2,200
e/1,350

11,421
• 18,006
e/23,526 *

9,959
14,050
17,601

.

. 755
969
940

2,738
4,789
3,533
. 3,745

4,116
3,827
2/3,049 *
e/3,450

2,911
3,235
2,494
2,664

7,527
11,060
14,805

7,943
j/10,992 e/14,442 /

6,146
8,640
11,304

794
1;,021
754
2 , 580
2:,722
2.,600
2,,569
5,,302
7.,902
10,,471

Excluding finance companies 3/
1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

5,207
5,913

Year
el
£/
1/
2/
3/

4,924
4,884
3,969
3,492

2,547
4,348
3,283
3,188

17,269

13,366

Estimated by Federal Reserve.
Preliminary.
Securities and Exchange Commission estimates of net proceeds.
Investment Bankers Association of America estimates of principal amounts.
Total new capital issues excluding offerings of sales and.consumer finance companies.




Exhibit I
New Corporate Security Issues, Type of Issue
and Issuer
(In millions of dollars)
Quarter
. or
Month
1966 - III
IV

Net proceeds
Gross proceeds for new capital
for new capital I/ 2/
and refunding 1/
Total
Bonu s
Common Memo:
Other
Publicly Privately and
Foreign Mfg. Public CommuniUtility cations Issuers
Offered Placed
pfd. issues
stock included
1,309
1,558
657
567
2,256
1,627
314
154
4,197
918
1,232
984
417
3,669
375
117
2,047
1,247
1,382
1,228

1967 - I
II
II:

5,464
6,208
6,834

3,263
4,017
4,604

1,811
1,465
1,552

390
726
678

60
65
234

2,442
3,014
2,792

997
1,268
1,219

543
548
595

1966 - Nov.
Dec.

1,115
1,661

569
980

435
555

111
127

27
24

228
673

320
409

168
152

369
401

1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct. e/
Nov, e/

1,684
1,418
2,362
2,016
1,519
2,673
2,590
2,481
1,549
2,250
1,400

745
900
1,618
1,368
965
1,684
1,889
1,813
902
1,350
620

848
362
601
410
396
659
487
418
647
550
435

91
156
143
238
158
330
214
250
214
350
345

35
10
15
16
32
17
213
13
8
n. a.'
n. a.

624
563
1,254
1,128
588
1,298
925
1,229
637
1,110
585

220
274
503
394
403
471
446
509
265
350
410

293
105
145
107
"
91
350
39
356
200
40
55

. 511
456
415
343
393
492
1,046
313
620
700
300

£/ Preliminary, r/ Revised, e/ Estimated by Federal Reserve.
JL/ Gross proceeds exceed net proceeds by the cost of flotation.
2/ For total see Exhibit H; other issuers are extractive, railroad and other
transportation, real estate and finance, and commercial and other.
SOURCE; Securities and Exchange Commission.




-2#-

j

1

>979

Exhibit J
Other Security Offerings
(In millions of dollars)
Gross Long-term 1/
Federal Agency 3/
Foreign Government 2/
1965
1966
1967
1965
1966
1967
130
114
27
13
170
5
539
117

218

12
40
40
66
69
76
72
7
50

38
73
--

9V
33
74
5
52
75
2

74
1,115

432
597

532
661

1,251
783
750
650
810
650
407
250
599

6,150

——

503
410
392
699
1,030
1,084
799
400
450
800
5,767
6,806

New short-term 4/
Federal Agency
State and local Government 5/
308
-179
238
103
179
-24
-552
91
39
387
450
-454
-458
-319
-594
718
-559
647
580
827
85
109
204
462
515
284
93
-82
-334
-128
-590
-158
119
-103
219
-270
-262
408
270
593
-652
1,407
152
-161
d/-146
606
-555
59
-48
£/ 464
-283
274
503
219
-366
-570
Jan,

- Oct.

£_/

2,316

Year

489
422

;

1,378
1,286

51

246
182

129
185
325
—

775
--

239
150
375
375
179
1,803
2,732

3/
-137
-174
117
-11
509
237
132
206
105
-309
202
-76
675
801

p/ 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/ Includes securities offered in the U.S. by foreign governments and their political
j>
7ubdividions and international organizations. Source: Securities and Exchange Commissions
3/ Issues not guaranteed by U.S. government. Source: Long-term, Securities and Exchange ;
Commission; short-term, Treasury Dept. & Fed: Reserve. 4/ These data differ from those
in Exhibit H and above in that they represent new offerings less retirements, whether
from the proceeds or refunding issues or from other funds. Data include only issues with
original maturity of one year or less. 5/ Principally tax and bond anticipation notes,
warrants, or certificates and Public Housing Auth. notes. In some instances PHA notes
included may have a somewhat longer maturity than 1 year. Source: Bond Buyer & Federal
Reserve.
-•2$:




H. 14
-28-

Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. S. Treasury) .1/
Proceeds of Large Issues Offered
(In millions of dollars)

Total

1966

Nov.
Dec.
1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.

Cornoriite
Bonds
(other than
Convertible
convertibles)
bonde

510
1,177
681
842
1,638
1,311
870
1,666
1,340
1,705
794
1,458
826

363
990
611
709
1,435
956
771
1,072
890
1,288
473
897
461

Stocks

State
and
local
governments

50
68
40
93
63
142
44
185
133
67
65
276
215

97
118
30
40
140
213
55
409
317
350
257
285
150

464
779
947
675
669
512
496
875
483
473
847
505
865

Ot ter 2/

55
60
230
530
1,C 00
540
91
25
85
21
i,
00
50
45

Large Individual Issues Offered December 8, 1967.
Issuer

Type 2/

Amount
(millions
of
dollsrs)

$9fg9m«
Bliss & Laughlin Industries! Conv. debs.
Pacific Gas & Electric
1st. mtg. bds.
Twentieth Century-Fox
Conv. sub. debs.
Inland Steel
1st mtg. bds.
Virginia Electric & Power
Company
1st mtg. bds.
Pacific Northwest Bell
Telephone
Debs.
Public Service Electric
and Gas
Pfd. stk.
State & local Government
Chicago, Illinois
G.O.
Los Angeles Unif. Sch.
Dist., California
G.O. .
Maryland (State of)
G.O.
Massachusetts (State of)
G.O.
Henrico Co., Virginia
G.O.
Scottsville, Alabama
Rev.-Rent.
Scottsville, Alabama
Rev.-Rent.




Maturity

15.0

1987

28.1
50.0

Coupon
Offerrate or
ing
net interyield
est cost

Rating

1992
1992

5-3/4
6.92
5-3/4
6.50

6.80

5/75
6.50

Aa
B
Aa

50.0

1997

6.89

6.80

Aa

50.0

2007

6.71

6.65

Aaa

1969-86

4.63

80.0 1999

5/75

25.0

28.0

30.0 1969-93
4.59
52.0 1971-83
4.22
54.7 1969-2016
4.40
11.0
79.4 1990
6
22.6 1971r78 4 .60-5.15

4.60-4.70 1

• A

3.75-4.60
3.90-4.20
3.70-4.50

Aa
Ada
Aa

6.00
4.60-5.15

Baa
Baa

K-2
Large Individual Issues Offered December 8. (Cont'd)

Issuer

Type 3/

Amount
(millions
of
dollars)

Maturity

Coupon
rate or
Offernet inter- ing
yield
est cost

Other
Federal Land Banks

Bonds

33.0

1970

6.20

6.20

* Rights offering.
1/ Includes corporate and other security offerings of $15 million and
over; State and local security offerings of $10 million and over.
2/ Includes foreign government and International Bank for Reconstruction
and Development issues and non-guaranteed issues 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 income from qua si-utilities; Rev.-S.T., revenue bonds secured by
revenue from specific taxes only; Rev.-Rent., revenue, bonds secured
solely by lease payments.




Rating

H.14
Exhibit L
Forthcoming Large Long-term Public Security Offering for Mew Capital
(Other than U.S. Treasury) \f
Expected Proceeds from Forthcoming Lsrge Issues
(In millions of dollars)
During month following

1966 - Nov.
Dec.
1967 - Jan.
Feb.
Mar.
Apr,
Hay
June
July
Aug.
Sept.
Oct.
Nov.

Corporate

State and
local govt.

1,098
656
486
1,410
767
963
1,449
1,636
1,261
694
534
1,357
826

496
939
780
508
227
326
596
401
512
783
768
505
865

30
30
31
28
31
30
31
31
30
31
30

Other gj
«*#*

80
530
250
70
100
40
100
65
50
845

Subsequent to
date ehown
State and
Corporate
local sort.
1,133
811
706
1,534
905
1,262
2,065
1,922
1,576
1,335
1,090
2,694
2,129

571
1,154
851
528
247
346
616
402
575
903
889
743
1,684

Other %J
65
95
545
265
15
85
115
70
150
159
126
260
875

Forthcoming Large Offerings as of December 8, 1967.
type

Corporate
Ralston Purina
Offshore Co.
Allied Supermarkets
General Tel. Co. of Illinois
Helmerich & Payne, Inc.
General Telephone & Electronics
International Silver
Revere Copper and Brass
*Iowa Power & Light
Granite Equipment Leasing
Bendix
Montana Power
Natural Gas Pipeline of America
U.S. Steel
Ozark Airlines
Control Data
Control Data




Conv. debs.
Conv. sub. debs.
Conv. sub. debs.
Debs.
Conv. debs.
Conv. debs.
Conv. debs.
Conv. deb.s
1st mtg. bds.
Debs.
Debs.
1st mtg. bds.
1st mtg. p.l. bds.
Debs.
Conv. debs.
S.F. debs.
Com. stk.

(millions
of
doilsrs)
40.0
35.0
20.0
20.0
27.5
150.0
35.8
56.0
15.0
15.0
125.0
30.0
50.0
225.0
15.0
56.0
45.0

Approximate date of
offering

December 11
December 11
December 11
December 13
December 14
December 19
December 19
December 21(rts. exp.)
January
3
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

Forthcoming Large Offerings as of December 8. (Cont'd)

.

Issuer

Type

Amount
(millions
of
dollars)

Approximate date of offering

State & local Government
West Baton Rouge, Louisiana
Cheyenne, Wyoming
^Middlesex Co., Massachusetts
Housing Assistance Administration
Richmond, Virginia
San Antonio, Texas
*New York State Dorm. Authority
Texas (State of)
*Columbus, Ohio
Union City, Tennessee
Kentucky Turnpike Authority
Calcasieu Parish, Louisiana

Rev. -Rent.
Rev. -Rent.
G.O.
Bonds
G.O.
Rev. -Rent.
Rev.-Rent.
G.O.
G.O.
Rev.-Rent.
Rev. -Q.-Ut.
Rev.-Rent.

10,.0
25.,0
10.,0
138.,7
17.,0
30.,0
48.,1
25.,0
17.7
46.0
120.0
62.7

December 11
December 11
December 12
December 13
December 13
December 14
December 19
December 19
,January
3
Indefinite
Indefinite
Indefinite

Conv. debs.
Bonds

15.0
15.0

December 12
Indefinite

Other
Komatsu Mfg., Tokyo
New Zealand

*—Included in table for first time.
1/ 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 of Federal Agencies.
NOTE: U.S. Smelting Refining & Mining's $60.0 million issue - postponed due to market
conditions and uncertainty about Federal Reserve ruling.
Columbus, Ohio postponed their G.O. bonds —




$13.8 million.

__

Exhibit M
Foreign Government and Corporate Security Offerings
and Placements in the United States
Part Is

Sale Date

Public Offerings

Amount
(millions
of
dollars)

Issuer and Description of Issue
A.

Sold October 1 through December 8 , 1967.

10/4

15.0

New Brunswick Electric Power Commission
6-1/2% S.F. debentures maturing 1992,
reoffered to yield 6.607=.

10/17

35.0

Province of Nova Scotia — 6-1/2% of S.F.
debentures maturing 1992, reofijered to
yield 6.757=.

11/14

75.0

Province of Ontario « 6-7/87= debentures
maturing 1997, reoffered to yields 6.967=.
B.

Indefinite
12/12

15.0
15.0

Prospective Offerings
New Zealand — Bonds ***
Komatsu Mfg., Tokyo — Conv. debs

* - Included in table for first time.
** - Issues sold to investors outside of U.S.
*** - Issue subject to interest equalization tax.




PART II:

Private Placements - Reported November 1 through December 8, 1967.

Date Reported

Amount
(millions
of
dollars)

Issuer and Description of Issue

11/27

.8

Metropolitan Corp. of Greater Winnepeg
(Canada) 6-1/2% debentures maturing
November 1, 1 9 8 2 — no information available on takedown.

11/27

4.2

Metropolitan Corp. of Greater Winnepeg
(Canada) 6-1/2% debentures maturing
November 1, 1987 -- no information available on takedown,

12/1 -

30.0

Algoma Steel Corp., Ltd. (Canadian)--7-3/8%
debentures maturing Oct. 1, 1987 --no
information available on takedown.

12/1 .

12.0

Institute Nacional de Industria (an autonomos
entity of the Spanish State) — loan due
1971-72.

"Note: For retrospective data on aggregate foreign corporate and government security
offerings in the United States see Exhibits I and U. There is no simple relationship
between the data shown in the Exhibit and that shown in Exhibits I and J because the latter
includes privately placed securities in the period in which funds are actually taken down
but only in the amount of takedown while the placements shown in this exhibit are included
when reported, frequently with little or no information concerning timing of takedown. Full
or partial takedown may take place both prior and subsequent to the date a placement is
reported.