Full text of H.16 Capital Market Developments : December 18, 1967

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Hot for P u b l i c a t i o n M C 0 N T B 0 L L E D ^ T E R SIX 110HTHS
14

^0

December 18, 1957.

$ ( J L M

CAPITAL MARKETS DEVELOMENTS
IN THE UNITED STATES

,JQ/

a

aJ

Liudt.
/Y)GL

^ The volume of new, p
offered corpozh
to the average weekly volume over the past year. The largest of th§
offerings — which are just about exclusively convertible issues — 1
the $150 million General Telephone & Electronics convertible debentur
Heading the municipal volume will be Cheyenne, Wyoming's $65 million
trial revenue bond issue.
1/
Long-term Public Security Offerings—
(In millions of dollars)

Corporate
State & local Government
New Capital1 Refunding New Capital I Refunding
Sold:
52 weeks avg.
December

8
15

337

256

r/300
" 320

r/451
"" 372

Scheduled:
December 22

1/

326

249

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 were essentially unchanged last week. The new issue yield series declined sharply, but only
because it consisted of one issue with a popular corporate name — Bendix -and 10-year call protection. All of last week's offerings were enthusiastically received by investors; none remained in syndicate by the end of the
week.
Yields on municipals were also steady last week, but new issues
were not very well received. Only about 53 per cent had been sold by the end
of the week. Some dealers 1 inventories were reduced, however, when they released from syndicate $44 million of unsold California water bonds, initially
offered in mid-November. In free market trading, the yields on these bonds
advanced an average of 15 basis points. Two would-be issuers last wejek received no bids for their offerings.




H. 14

Yields on Security Markets

-2-

High Grade
Notes and Bonds

Change from
preceding week

Level Latest Week

Corporate
.New
Seasoned

6.42

6.16

-13
+ 1

5.37
5.74

- 1
+ 4

4.15
4.49

+ 2

4.55

+25

4.96
5.50

+ 4
+ 1

U.S. Government
Long-term
3-5 year
State and local Govt.
Moody 1 s Aaa
Std. & Poor's high grade
I' Money Market
Federal funds
Treasury bills
3-month
6-month.

Corporate Bonds Still in Syndicate
Date
Offered
11/30

Amount
(millions of $)

60.0

Issuer

Reoffering
Yield

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

Rating

Estimated proportion sold

80%

6.65

Blue List of Municipal Dealers' Advertised Inventories
Latest Week
523(12/12/67)




End of.Previous Week

Recent High

531

849(4/26/67)

.

H. 14

Stock prices. Common stock prices declined somewhat last week
while trading continued heavy. At the close Friday, Standard & Poor's index
of 500 stocks stood at 95.03, down 0.39 from the previous Friday. Trading
volume averaged ,11.5 million shares a 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.




EXHIBIT

A.

Part

1

LONG-TERM BOND YIELDS, HIGH-GRADE
Weekly

CORPORATE A n

U.S. GOVERNMENT
Long-term

/V
STATE AND LOCAL GOVERNMENT A l l
Moody's

1963




1964

1965

1966

1967

1968

Exhibit A —

Corporate
Aaa 1/

Date

1959-60 - High
1966 - High
- Low
1967 - High
- Low

4.61(1/29/60)
5.52(9/9)
4.73(1/7)
6.16(12/15)
5.00(2/10)

Nov. 17
24
Dec. 1

6.10
6.08

15

6.16

8

6.13
6.14

Part II

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

Spread between
U.S. Govt, and
State and
Corporate
local Aaa
Aaa
^92(4/22/60)
1.19(2/11)
.77(9/2)

4.42(1/8/60)
4.87(9/2)
4.42(1/7)

3.65(9/24/59)
4.04(8/25)
3.2^9(1/13)

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

5.49(11/17)
4.37(2/3)

4.15(12/15)
3.25(2/9)

.92
.44

1.51
.74

5.49
5.45
5.40
5.38
5.37

3.99
4.03
4.03
4.15
4.15

.61
.63
.73
.76
.79

1.50
1.42
1.37
1.23
1.22

j>/ Preliminary.
1/ Weekly average of daily figures. Average term of bonds included is 22-24 years.
27 Weekly average of daily figures. The series includes bonds due or callable in 10
years or more.
, ,
, 0n
3/ Thursday figures. Only general obligation bonds are included; average term is ZO
Note--Highs and lows are for individual series and may be on different dates for
different series. For spreads, high refers to widest, and low to narrowest.




S

EXHIBIT

.

B, Part

)

L O N G - T E R M BOND YIELDS, LOWER GRADE
Weekly

CORPORATE Baa
Moody's

STATE AND LOCAL GOVERNMENT Baa
Moody's

1963




——

—

1965

1967

1968

I
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

Dec.

17
24
1

8

15
Note:




5.36(2/12/60)
5.04
6.18(12/30)
5.05(1/14)
6.93(12/15)
5,81(4/14)
6.73
6.77
6.81
6.89
6.93

4.46(1/7/60)
.3.79
4.55(8/25)
3.78(1/20)
4.73(12/15)
3.85(4/13)
4.67
4.68
4.68
4.73
4.73

For footnotes see Exhibit A.

-8-

Spread between
Aaa and Baa
State and
Corporate
local, govt.
;84
.31

.81
.31
.82
.63
.63
.69
.68
.75
.77

1.08
.39

.62
.31
.81
.37
.69
.65
.65
.58
.58

EXHIBIT

C. Port 1

SHORT- AND INTERMEDIATE-TERM INTEREST RATES
GOVERNMENT
Weekly

6-MONTH BILLS

3 - 5 YEAR ISSUES

1963



F.R. DISCOUNT RATE

3-MONTH BILLS
Morket

1964

Yields

1965

1966

1967

1968

Exhibit C —

Discount
rate

1959-60 - H i g h
Year end - 1965
1966
1966 - High
Low
1967 - High
Low

4.00
4.50
4.50
4.50
4.50
4,50
4.00

4.00
4.50
4.50
Dec.
4.50
8
4.50
15
"1/ Weekly rate s h L is that
17
24
1




3-month
bills V

|
I

4.59(1/8/60)
4.47
4.80
5.52(9/23)
4.39(6/24)
4.96(12/15)
3.41(6/9)
4.63
4.85
4.92
4.92
4.96

Part II

Yields
6-month
bills 2J
(per cent)
5.07(1/8/60)
4.66
4.92
5.92(9/23)
4.53(6/24)
5.50(12/15)
3.74(6/2)
5.12
5.43
5.49
5.49
5.50

3-5 year
issues U

Spread between yields;on
3-mo. bill** and yields on
6-mo. bills|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)
5.76
5.71
5.67
5.70
5.74

.79
.19

1.81

.52
.09
.62

.78

.43

.06

.12

.01

1.61

.01

.02

.49
.58
.57
.57
.54

1.13

in effect at end of period at the Federal Reserve „.nk of

weekly averages computed from daily closing bid prices.

-10-

Series of 3-5

.86
,75
.78
.78

EXHIBIT

D.

Port

1

SHORT- A N D INTERMEDIATE-TERM INTEREST RATES,
B A N K S A N D OTHER PRIVATE BORROWERS
Weekly

PRIME RATE
FINANCE COMPANY PAPER
Directly

placed

F.R. DISCOUNT RATE

FEDERAL FUNDS
Effective

1963




1964

Rate

1965

1966

1967

1968

Exhibit D —

Date

Prime rate 1/

Part II

Finance
company
paper 2/

Federal funds 3/

Spread between
3-mo. bills and
finance co. paper

(per cent)
1959-60 - High
Year end- 1964
1965
1966
1966 - Low
1967 - High
Low
Nov. 17
24
Dec. 1
8
15£/

5.00
4.50
5.00
6.00
5,00(3/4)
6.00(12/15)
5.50(12/1)

5.13(1/22/60)
4.06
4.75
5.88
4.75(1/7)
5.75(1/6)
4.38(6/23)

4.00(5/13/60)
4.00
4.63
5.63
3.55(1/21)
5.25(1/6)
3.40(10/27)

1.02
.23
.28
1.08
.20
1.33
.21

5.50
6.00
6.00
6.00
6.00

5.13
5.25
5.25
5.38
5.38

4.02
4.13
4.48
4.30
4.55

.50
.40
1.33
.46
.41

-

Prime rate 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 for directly placed paper
for varying maturities in the 90-179 day range.
3/ Weekly average of daily effective rate, which is the rate for the heaviest
volume of purchase and sale transactions as reported to the Federal Reserve
Bank of New York.
Note.-Highs and lows are for individual series and may be on different dates for
different series. For spreads, high refers to widest, and low to narrowest.




-12-

EXHIBIT

E,

Part

1

STOCK MARKET
Billions

of

1941-43

ev*rage=10

dollars

€




100

PRICES "

00

STOCK MARKET CREDIT
* CHANGE IN SERIES
Millions

VOLUME

YIELDS

1964

1967

1968

of

shares

Exhibit E —

Date

Stock price
index 1/

1961-62 - High
Low
1966 - High
Low
1967 - High
Low
Oct.
Nov.
Dec.

1

8
15

Common
stock
yields 2/
(per cent)

Stock market customer credit
Trading
volume, y/
Bank
Customers'
Total
debit bal- loans to
(millions
"others"5/
ances 4/
of shares)
(In millions of dollars)

10.1

82.18(1/6)

2.82
3.96
3.01
3.97
3.01
3.58

95.66
92.66

3.06
3.18

94.50
95.42
95.03

3.12
3.09
3.09

72.04(12/8/61)

52.68(6/22/62)
93.77(2/11)
73.20(10/7)
97.26(10/6)

Part II

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

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)

10.2
10.6

9,432

7,009
n. a.

2,423

10.2
12.0

n. a,
n. a.
n. a.

n. a.
n. a.

2,442
2,460

2.4
10.7
5.0

12.1
6.9

11.5

n.a. Not Available, p/ Preliminary.
~™
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 1 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
or low.
3/ Averages of daily trading volume on the New York Stock Exchange. Year-end figures are averages
of daily figures for the year.
4/ End of month figures for member firms of the New York Stock Exchange which carry margin accounts;
excludes balances secured by U. S. Government obligations.
5/ 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.




v\

EXHIBIT F. Part I

M O R T G A G E A N D B O N D YIELDS

xV

Monthly

Per cent

HOME MORTGAGES:

Aaa CORPORATE BONDS:

1959

1960

1961




1962

1963

1964

1965

1966

1967

1968

Exhibit F

FHA
morteaizes - /

Conventional
mort25-year 30-year gages 3 j
High
Low
High
Low
High
High
Low

5.63
5.35
6.24
5.43
6.73

1967 - June
July
Aug.
Sept.
Oct.

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

1957
1958
1959-60
1961-66
1966
1967

-

Part II

Spread between yields
on conv. &
FHA mort-,/
gages
-

Aaa 4Corporate
ionds

Spread between
yields on new cor6/ porate bonds and
N e w ^ Seasoned"™ FHA mtgs. Seasoned
4/
bonds

5.44
6.81
6.65
6,29

6.00
5.55
6.30
5.80
6.70
6.60
6.40

.47
.15
.23
.25
.30
.11
-.10

4.94
3.65
5.25
4.12
5.82
6.12
5.20

4.12
3.57
4.61
4.19
5.49
5.82
5.03

1.58
.88
1.69
.77
1.11
1.26
.53

1.03
.05
.73
-.16
.46
.42
.17

6.51
6.53
6.60
6.63
6.65

6.50
6.50
6.55
6.55
6.55

-.01
-.03
-.05
-.08
-.10

5.79
5.78
5.89
5.88
6.12

5.44
5.58
5.62
5.65
5.82

.72
.75
.71
.75

.35
.20
.27
.23
.30

-—

—

•

1/

3/

4/

%

5 3

higher for mortgages than bonds. Generally, bonds pay interest semi-annually;
mortgages, monthly. Mortgage yields, if computed as equivalent to a semi-annual
interest investment, would be slightly higher than given in the table.
I
Based on FHA-field-office opinions about average bid prices in the private secondary
market for new-home mortgages for immediate delivery. Separate data available for
25-year and—beginning July 1961—30-year mortgages with minimum downpaymertts,
weighted by probable volume of transactions. Yields computed by FHA, assuming prepayment period of 12 years for 25-year mortgages and 15 years for 30-year Mortgagee.
Over the period for which 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 rates.
j
Based on FHA-field-office opinion on typical interest rates (rounded) on conventional
first mortgages 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 well as existing-home mortgages. Dashed line indicates this
change in the series.
T
FHA mortgage yield data are for 25-year mortgages through June 1961; 30-year mortgages thereafter.
See note for Exhibit G.
Moody's Investor Service. Monthly averages of daily data. See Exhibit A.




/A

EXHIBIT f. Port m

C O N V E N T I O N A L M O R T G A G E TERMS ^

MATURITY
NEW

EXISTING

L O A N / P R I C E R1 ATI O

NEW

EXISTING

i 11 II 1 I! MI II I I ! I I I IIIII I I ! II I II
1 1 ! 1 1 1 1 1; 1I 1i 1I 'I I I I 1iI li
1964




1966

1968
* CHANGE IN SERIES

11

Exhibit F

i

Part IV

Existing Homes
- 1
Conr Fees &
Loan, Loan
•
tract Charges Maturity Pric< amt.
Rate (Per
(Years) ra ti< (Thous.) |
cent)
(Per
(Per
cent)
cent'
1/

New Homes
Con- Fees &
tract Charges Maturity
Rate (Per
(Years)
cent)
(Per
cent)
1/

Loan/ Loan
Price amt.
ratio (Thous.)
(Per
cent)

6.30
6.39
6.45
6.49

0.94
1.06
1.08
1.25

23.4
23.3
22.9
23.3

71.8
71.8
71.8
72.4

18.2
18.5
18.0
18.5

6.45
6.50
6.54
6.55

0.76
0.78
0.82
0.81

20.2
19.8
20.1
20.2

71.0i
70.3
70.3
70 A

6.47
6.44
6.41
6.37
6.28
6.29
6.34
6.34
6.37
6.38

1.16
1.06
1.05
0.99
0.96
0.93
0.89
0.83
0.83
0.90

23.8
23.6
23.6
23.6
24.2
24.0
24.2
24.2
24.2
24.4

73.3
73.8
74.1
73.3
74.8
73.6
74.4
74.3
73.6
74.0

19.3
18.3
19.0
18.9
19.6
19.4
20.1
20.3
20.2
20.4

6.54
6.50
6.44
6.36
6.31
6.30
6.33
6.38
6.37
6.41

0.78
0.75
0.77
0.72
0.68
0.67
0.70
0.71
0.72
0.77

20.6
20.3
21.0
20.8
21.1
21.4
21.3
21.5
21.2
21.3

71.4
71.$

New Basis
1966

;

Sept.
Oct.
Nov.
Dec.
1967
Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept. r/
Oct. £ 7

71.8

72.6
72.$
72.2
72.?
73.1
72.8
72.0

14.4
14.3
14.4
14.7
15.2
15.3
15.4
15.6
16.1
16.6
. 16.4
16.6
16.2
16.2

* New Series
1/ Compiled by Federal Home Loan Bank Board in cooperation with Federal Deposit Insurance Corporation. Data are weighted averages based on probability sample survey of
characteristics of conventional first mortgages originated by major institutional
lender groups, (including mortgage companies) for purchase of single family homes.
Data exclude loans for refinancing, reconditioning, or modernization; construction
loans to home-builders; and--in this exhibit—permanent loans which are coupled with
construction loans to owner-builders. Data are still in a developmental stage and
may reflect seasonal influences which cannot yet be measured because the series go
back only to end of 1962. Related series on conventional mortgage rates only, based
on unweighted opinions of regional-office directors of the Federal Housing Administration, are available somewhat sooner than the results of FHLBB-FDIC survey, and
are included--in the case of new home mortgage rates—in Exhibit F. Parts I and II.
2/ Fees and charges—expressed as a percentage of the principal mortgage amount-include loan commissions, fees, discounts, and other charges which provide acded
income to the lender and are paid by the borrower. They exclude any closing costs
related solely to transfer of property ownership.




U

:

YIELDS O N NEW A N D SEASONED CORPORATE BONDS

1
Adjusted

to

Aaa

M

Basis

NEW ISSUES
M

5.5

5.0
SEASONED Aaa

4.5

1964




1965

1966

1967

1968

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

Number
of
issues

Number |Am't. of issues Average
yield
included (mill
of
(per cent)
issues 1 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

Dec.

6
13
20
27

3
3
3
3

68.0
118.0
85.0
295.0

6.14
6.07
6.34
5.99

3
10
17
24

3
2
4

150.0
40.0
85.0

6.13
6.37
6.59

231.5
230.0
125.0

6.51
6.55
6.42*

Weekly averages:
6.59(11/17)
High
Low
5.11(2/10) „
rated
Aaa,.
yields on all new issues of .publicly
Note: Averages of offering
. offered corporate
,,bonds
.
,
0 ,
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.




IP

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

New Cat)ital
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
1,141

826
924
972

July
August
September

2,456
2,407
1,722

1,039
1,670
1,382

1,290
850
1,392

941
852
r/1,256

701
773
1,020

986
648
966

e/2,200
e/1,475
e/2.150

829
1,085
1,635

924
1,325
1,496

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

755
969
940

794
1,021
754

5,363
6,058
6,585
e/5,825

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

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

2 X 580
2,722
2,600
2,569

11,421
18,006
e/23,831

9,959
14,050
17,601

7,527
11,060
14,805

7,943
2/10,992
e/14,442

6,146
8,640
11,304

5,302
7,902
10,471

-October
November
December
1st
2nd
. 3rd
4th

.Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

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

Quarter
Quarter
Quarter
Quarter

5,207
5,913

Year

p/
1/
*2/
3/

4,924
4,884
3,969
3,492
17,269

.

/

2,547
4,348
3,283
3,188
13,366

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)
Net proceeds
Gross proceeds for new capital
for new capital 1/
and refunding _ 1 L
Common Memo:
Bonus
Total
Mfg. Public CommuniForeign
Publicly Privately and
Utility cations
pfd. issues
Offered Placed
stock included
567
657
1,558
154
314
1,627
2,256
4,197
417
984
1,232
117
375
1,247
2,047
3,669

Quarter
or
Month

III
IV

60

997

543
548
595

I
II
III

5,464
6,208
6,834

3,263
4,017
4,604

1,811
1,465
1,552

390
726
678

65
234

2,442
3,014
2,792

1,268

Nov.
Dec.

1,115
1,661

569
980

435
555

111
127

27
24

228
673

320
409

168

Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct. 2/
Nov. e/

745
1,684
900
1,418
2,362 . 1,618
1,368
2,016
965
1,519
1,684
2,673
1,889
2,590
1,813
2,481
902
1,763
2,297
1,640

848
362
601
410
396
659
487
418
647
r/572
" 550

91
156
143
238
158
330
214
250
214
350
470

35
10
15
16
32
17
213
13
8
r/40
~~n. a.

220
274
503
394
403
471
446
509
265
r/573
- 410

293
105
145
107
91
350
39
356

1966

1

SOURCE:

Securities and Exchange Commission.




624
563
1,254
1,128
588
1,298
925
1,229
637
r/918
675

1,219

152

200

t/132
55

2/

Exhibit J
Other Security Offerings
(In millions of dollars)

1967
130

January
February
March
April :
May
June
July
August
September
October
November
December

—

114
27
13
170
5
539
117
66

1,181

1,251
783
750
650
: 810
650
407
250
599
708

218

12
40
40
66
69
76
72
7
50

• —

38
73
• ——

91
33
74
5
52
75
2

——

74 ,

Jan. - Oct..
Year

432
597

584
661

6,858

£/

2,316

Year

489

1,378

422

1,286

51

129
185
325

503
410
392
699
1,030
1,084
799
400
450
800
239

239
150
375
375
179

. 5,767
6,806

1,803
2 ,732

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

January
February
March
April
May
June
July
August
September
October
November
December
Jan. - Oct.

Gross Long-term 1/
Foreign Government 2/
Federal Agency 3/
1966
1965
1965
1967
1966

246
182

--

775
—

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

£/ 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
subdividions and international organizations. Source: Securities and Exchange Commission.
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.


. —


"K?

.

-

-

H. 14

-%y

Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. 8. 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.

Bonis

Corporate

(other than
convertibles)

Convertible
bonds

Stocks

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

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

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

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

State
and
local
governments

(ther

55
60
230
530
1 ,000
540
391 ,
825
85
221
400
50
845

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

gf

^

Large Individual Issues Offered December 15, 1967.

Issuer

Type */

Amount
(millions
of

Maturity

Coupon
rste or
net interest cost

Offering
vield

listing;

\

CMMtltS
,1188 & Laughlln Indus tries Conv. debs.
15.0
Pacific Gas & Electric
1st mtg. bds.
80.0
Twentieth Century-Fox
Conv. sub,. debs.
28.1
Inland Steel
1st mtg. bds.
50.0
Virginia Electric & Power
Company
1st mtg. bds.
50.0
Pacific Northwest Bell
Telephone
Debs.
50.0
Public Service Electric
' and Gas
jPfd. stk.
25.0
.alston Purina
Conv. debs.
40.0
Dffshore Co.
Conv. sub. debs.
35.0
Natural Gas Pipeline of
1st mtg. p. 1.
bonds
America
50.0
Control Data
Debs.&stk. units 101.0
endix
Debs.
125.0




1987
1999 *
1992
1992

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

1997

5.75
6.80
5.75
6.50

Ba
Aa
B
Aa

6.89

6.80

Aa

2007

6.71

6.65

Aaa

1992
1992

4-7/8
5

4.88
5.00

Baa
B

1987
1987
1992

6-3/4
5-1/2
6-5/8

6.84
4/
6.62

Aa
Baa
A

-

K-2
Large Individual Issues Offered December 15.

Issuer

Type 3/

Amount
'millions
of
dollars)

Maturity

(Cont'd)

Coupon
Offerrate or
net inter- ing
yield
est cost

Rating

State & local Government
Chicago, Illinois
G.O.
Los Angeles Unif. Sch. Dist.,
California
G. 0.
Maryland (State of)
G.O.
Massachusetts (State of)
G. 0.
Henrico Co.; Virginia
G.O.
Scottsville, Alabama
Rev. -Rent.
Scottsville, Alabama
Rev. -Rent.
San Antonio, Texas
Rev. -Rent.
Middlesex Co., Massachusetts
G.O.
Hous ing Ass is t ance Administration
Bonds
Richmond, Virginia
G. 0.
Huntsville, Alabama
Rev.-Rent.

28.0 1969-86
30.0
52.0
54.7
11.0
79.4
22.6
30.0
10.0

1969-93
1971-83
1969-2016
1968-87
1990
1971-78
1969-89
1968-88

4.63

4.60-4.,70

A

4.59
4.22
4.40
4.22
6
4.60-5.15
4.46
4-1/4

3.75-4. 60
3.90-4. 20
3.70-4. 50
3.60-5. 50
6.00
4.60-5. 15
3.75-4.40
3.70-4. 25

Aa
Aaa
Aa
Aa
Baa
Baa
Aaa
Aa

3.40-4.42
3.65-4. 20
5.40

Aaa
Aaa

138.7r 1968-2008
17. C1 1969-88
13.91 1992

4.38
4.19
5.40

362.0i 1970
250.0 1969
15.0 1982

6.20
6.10
7-1/4

Other
Federal Land Banks
FNMA
Komatsu Mfg., Tokyo

Bonds
Bonds
Conv. debs.

6.20
6.10
7.25

-- •

* 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 quasi-utilities; Rev.-S.T., revenue bonds
secured by revenue from specific taxes only; Rev.-Rent., revenue bonds secured solely
by lease payments.
4/ Units, comprising $50 of debentures and one-third share of stock, priced at
$90. • Outstanding stock trading at about $115 per share.




-z-3

H. 14
-0-

Z6
Exhibit L

Forthcoming Large Long-term Public Security Offering for I w Capital
(Other than U.S. Treasury) \J
Expected Proceeds from Forthcoming Large Iaeuea
(In millions of dollars)
During month following
date shown
State and
Other 2/
Corporate
local govt.
1966

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

30
30
31
28
31
30
31
30
31
31
30
31
30

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

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

80
530
250
——

70
100
40
100
65
50
845

Subsequent to
Corporate

State and
local aovt.

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

Othery
65
95
545
265
15
85
115
70
150
. 159
126
260
875

Forthcoming Large Offerings as of December 15, 1967.
Issuer

Type

Amount
(millions
of
dollara)

Approximate date of
offering

Corporate
; Allied Supermarkets
' Helmerich & Payne, Inc.
General Telephone & Electronics
Granite Equipment Leasing
' Revere Copper & Brass
| International Silver
' Iowa Power & Light
I *Central Power & Light
' *Northwestern Bell Telephone
Montana Power
U.S. Steel
: Ozark Airlines
General Tel. Co. of Illinois
*Abbott Laboratories
•Crucible Steel




Conv. sub. debs.
Conv. debs.
Conv. debs.
Conv. debs.
Conv. debs.
Conv. debs.
1st mtg. bds.
1st mtg. bds.
Debs.
1st mtg. bds.
Debs.
Conv. debs.
Debs.
S.F. debs.
Debs.

20.0
27.5
150.0
15.0
56.0
35.8
15.0
28.0
100.0
30.0
225.0
15.0
20.0
25.0
30.0

December 19
December 19
December 19
December 19
December 21(rts. exp.)
December 29(|rts. exp.)
January
3
January
9
January
10
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

Forthcoming Large Offerings as of December 15. (Cont'd)

Issuer

Type

Amount
(millions
. of
dollars)

Approximate date of offering

State & local Government
^Georgia Education Authority
*Cheyenne, Wyoming
New York State Dorm. Authority
Texas (State of)
Columbus, Ohio
^Milwaukee Co., Wisconsin
^Honolulu, Hawaii *0maha Public Power District
Union City, Tennessee
Kentucky Turnpike Authority
Calcasieu Parish, Louisiana

G.O.
Rev. -Rent.
Rev. -Rent.
G.O.
G. 0.
G.O.
G. 0.
Rev. -Ut.
Rev. -Rent.
Rev. -Q.-Ut:.
Rev. -Rent.

21.,8
65.,0
48.,1
25.,0
17.,7
13. 7
10.0
45. 0
46. 0
120. 0
62. 7

December 19
December 19
December 19
December 19
January
3
January
9
Janaury
10
January
11
Indefinite
Indefinite
Indefinite

j
• j
1
1

Other
New Zealand

Bonds

15:0

Indefinite

I

i
*--Included in table for first time.
|
1/ Includes corporate and other issues of $15 million and over; State and local Governmei
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.
I
NOTE: West Baton Rouge, Louisiana received no bids on their $10,0 million issue.
J




r

»

Exhibit H
Foreign Government and Corporate Security Offerings
and Placements in the United States
Part I:

Sale Date

Public Offerings

Amount
(millions
of
dollars)

Issuer and Description of It sue

A. Sold October 1 through Decembe r 15, 1967;

10/4

15.0

Jlew Brunswick Electric Power Commlssion
ing 1992,
6-1/2% S.F. debentures tilatui
reoffered to yield 6.60%.

10/17

35.0

Province of Nova Scotia — 6-1/2% of S.F;
debentures maturing 1992, reoffered to
yield 6.75%.

11/14

75.0

Province of Ontario — 6-7/8% debentures
maturing 1997, reoffered to yield 6.96%.

12/5

15.0

Komatsu Manufacturing, Tokyo, 7-1/4%
convertible debentures, matt ring 1982,
reoffered to yield 7.25%.

Indefinite

15.0

!

B. Prospective Offerings
New Zealand —

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




Bonds ***

M-2
PART II:

Private Placements - Reported November 1 through December j5 , 1967.

Date Reported

11/27

11/27

Amount
(millions
of
dollars)

.8

Issuer and Description of Issue

Metropolitan Corp. of Greater Winnepeg
(Canada) 6-1/2% debentures maturing
November 1, 1982 — no information available on takedown.

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 i
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.