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Not for P u h l l c M n n

KECOmOLlED AFTER SIX KONTHS

-ll.lt-

February 23, 1965.
\ r.APTTAT. MARKET TlEVET.fiPMF.NTS
IN THE UNITED STATES

.
1
Corporate and municipal bond markets. The volume of public
_j£jCJirit3L-financing by corporations this week will be sharply larger
than last week's relatively small total, with a $35 million bond
offering of General Telephone Company of California, the largest
issue scheduled. The supply of State and local government bonds
coming to market will also be up but only slightly from last week's
substantial volume. The largest municipal issue on the calendar
this week is a $50 million bond issue of the Pennsylvania General
State Authority.
Long-Term Public Security Offerings 1/
Corporate
New Capital | Refunding

State & Local Govt.
New Capital 1 Refunding

Sold:
52 week avg.

110

Feb.
Feb.

12
19

1

182

11

132 r/
40

108 r/
255

30 r/

100

265

--

Scheduled:
Feb.

26

--

1/ Federal Reserve estimates based on published reports of issues sold
and scheduled for offering; corporate rights offerings are included
as of the date subscription rights expire.
Last week price restrictions were terminated on a corporate
bond issue which had met only a lukewarm retail reception since it was
offered early in the month. The subsequent price decline raised the
yield 5 basis points above the original offering yield. *With no major
new issue reaching the market last week, this action left only two
large issues with almost $40 million in bonds remaining under syndicate
price restriction.
In the municipal market, the $100 million State of California
issue was nearly all distributed by weekend, but only about one-half of
the remainder of last week's large supply was sold. Thus, with dealers'
advertised inventories of unsold securities rising to around $750 million,
and the calendar continuing large over the near-term, yields on seasoned
municipal bonds rose. On Aaa-rated issues the advance amounted to 5
basis points.




H. 14

-2-

Yields in Securities Markets

High-Grade
Notes and Bonds
Corporate
New
Seasoned

Level latest week
(per cent)

Change from
preceding week

4.41

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

4.16
4.09

+ 1

State and local govt.

2.99

+

4.00

+ 12

3.94
4.02
4.13

+ 4
+ 3
4- 13

Money Market
Federal Funds
Treasury bills
3 -month
6-month
Finance Company Paper

5

Private Housing Starts and Permits. Seasonally adjusted
housing starts declined 7 per cent in January. This was associated
with an upwanr revision of 4 per cent in the improved December rate,
however, and the annual rate in January--!,487 thousand, including
farm--continued above the recent low in August of last year.
On a three-month moving average, the annual rate of starts
in the November-January period was 1,513 thousand--down moderately from
the fourth quarter average in 1964 but somewhat above the low reached
in the third quarter of that year.
Government-underwritten starts averaged 20 per cent of total
starts in January, compared with 16 per cent a year earlier. This
marked the fourth month in the past five that the government-underwritten
share was greater than a year earlier.
Seasonally adjusted residential building permits in January
turned up by more than a tenth in January to nearly the year-earlier
rate. Multifamily permits, which had declined sharply further in
December, accounted for a large part of the January rise, but still remained substantially under the end-of-1963 peak.




-3 -

H. 14

Stock market credit. Total customer credit in the stock
market fell $113 million further in January to $6.9 billion at the
month-end. Most of this reduction was attributable to a $93 million
decline i ^ customers1 net debit balances on securities other than
n.
those of the U.S. Government. Bank l^ans to others than brokers and
dealers for purchasing or carrying securities (except U.S. Governments)
dropped $20 million.
Money borrowed by member firms of the New York Stock Exchange
on customers' collateral fell $76 million further during.January.
Customers' free credit balances, on the other hand, rose $38 million.
More detailed information on developments in stock market credit in
recent months is shown in the table on the following page.
Stock prices. Closing at 86.21 on February 19, common stock
prices, as measured by Standard and Poor's composite index of 500 stocks,
changed little on balance last week. Trading volume averaged 5.6
million shares a day, down 0.3 million shares from the average for the
previous week.
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.




H. 14

-4-

STOCK MARKET CREDIT
(In millions of dollars)

Months
Outstanding:
1955-56 High

Total

Broker & Dealer Credit
Customer Credit
Customers'
Bank loans to others Money
Net debit
borrowed
net free
than brokers and
balances with
credit
dealers for purchas- CusL Other
NYSE member
ing & carrying secur. coll. coll. balances
firms

i
4,047(5/56) 2,823(12/56)

1,873

430

1,060(11/57)

1,344

f
>

1,069(1/55)

188

I
§

807(4/57)

1,255(4/56)

1957-58 Low

i
3,554(1/58) 2,482(12/57)'

1959
1960
1961
1962
1963

4,764(4)
4,142(5)
5,602(12)
4,876(7)
7,298(11)

3,401(4)
3,004(7)
4,259(12)
3,562(7)
5,586(11)

1,373(5)
1,121(5)
1,377(8)
1,269(9)
1,727(12)

2,044
1,801
2,572
1,856
3,892

318 1,257(3)
940(4)
237
385 '1,508(4)
235 1,091(9)
597 1,211(11)

7,242
7,053
6,940

5,515
5,079
4,986

1,727
1,974
1,954

3,852
3,393
3,317

597
517
446

9
-140
•3
144
-71
-69

-1
10
39
29
34
21
12
38
12
-5
32
2*
20

-57
-92
270
-48
-102
-94
-54
-50
-40
-59
-76
3

-

High
Low
High
Low
High

1963 - Dec. 1/
1964 - Dec.
1965 - Jan.
Changes in
Outstandings
1964 - Jan. V
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
Jan.
1965

-130
21
173
-37
-48
-69
-64
46
-41
7
-55
-113

-81

-102

34
-36
-25
-81

-93

-182
5
72
3
-1
-15
-52
15
82
-29
-43
35r/
-71

1,210
1,169
1,207

52
-63
32
-66
-27
8
-32
-37
68
10
-24
38
38

1
Note: With the exception of bank loan data, figures are reported to the New York Stock
Exchange by member firms carrying margin accounts. Bank loans to others than brokers and
dealers for purchasing and carrying securities are for weekly reporting member banks. Net ;
debit balances and customer free credit balances are as of the end of the month; bank loans
and money borrowed are reported for the last Wednesday of the month. Numbers in parenthesis!
denote month of year. All figures exclude credits on, or to carry, U.S. Govt, securities.
1/ November 1963 data on customers' net debit balances do not include accounts carried by
a large former member firm in liquidation; most of these accounts have been transferred to
other member firms and are reported in their debit figures from the month received (some in
December, more in January 1964). Debit balance totals for the period from October 1963
through January 1964, therefore, are not completely comparable.




L O N G - T E R M B O N D YIELDS, H I G H - G R A D E

f\J

Exhibit A

Corporate
Aaa 1/

Da te

Part II

U. S. Govt,
long-term 2/
(per cent)

1959-60
1961-62
1962-63
1964

"
-

State and
local
government
Aaa 3/

High
4.46 (9/15/61)
High
Low
4.19(3/29/63)
High
4.45 (12/11)
4.35(57$)
Low
1965 - High . 4.44(1/8)
Low
4.41(2/19)

4.42 (1/8/60)
4.12 ( 2/23/62)
3.85 (12/28/62)
4.20 (4/17)
4.11 (U/20)
4.16(2/19)
4.13(1/29)

3.65(9/24/59)
3.37(7/6/61)
2.88(11/8/62)'
3.16(3/26)
2.99(12/31)
2.99(2/18)
2.94(2/11)

Jan.
Jan.
Feb.
Feb.
Feb.

4.14
4.13
4.15
4.16
4.16 ^

2.96
2.96
2.94
2.94
2.99^

22
29
5
12
19 £/

4.43
4.42
4.41
4.41
4.41 ^

Spread 1
between
U. S. Goi
/t. and
Corporate
State and
Aaa
local Aaa
.59
.57
; 21
.33
.19
.29
.25

.92
1.04
.80
1.14
1 .01
1.22
1 .17

. .29
.29
.26
.25
.25

1,
,18
1,
.17
1.
.21
1.22
1. »
•

p/ Preliminary.
Weekly average of daily figures. Average term of bonds included is 22-24 years.
- y Weekly average of daily figures. The series includes bonds due or callable in 10 years or more.
TJ Thursday figures. Only general obligation bonds are Included; average term is 20 years.
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.




E X H I B I T •. Peri l
LONG-TKKM B O N O YIIIDS, L O W I I - O I A D I

— Weed,'

Exhibit B -- Part II

Corporate
Baa 1/

D a te

1959-60 - High
Year end - 1961
1962
1963
1964
1965 - High
Low
Jan.
Jan.

v

Feb.
Feb.
Feb.

Note*

22
29
5
12
19 £/

State and
local govt.
Baa 3/
(per cent)

Spread between
Aaa and Baa
State and
Corporate
local govt.

5.36 (2/1^/60)
5.10
4.93
4.85
4.80
4.80(1/8)
4.78(2/19)

4.46 (3/7/60)
4.04
3.57
3.60
3.51
3.49(1/7)
3.40(2/11)

.84
. 66
.70
.48
.37
• 38
.36

4.79
4.80
4.79
4.79
4.78 v

3.42
3.41
3.40
3.40
3.44

.36
.38
.38
.38
.37

For footnotes see Exhibit JL.




1.08
.73
.63
.49
.52
.52
.45
.46
.45
. 46
.46
.45

I H S T C, >«n \
XtI

I ' ' ' M I I I I l 1 l I 1 l I I I I l M I I I I l l I l I l I I I l l l l l I M M

me

mi
Exhibit C -- Part II

Discount
ra te 3-month
tin* v
M

Da te

1959-60 - High
•
Year end - 1961
1962
1963
1964
1965 - High
Low
Jan.
Jan.
Feb.
Feb.
Feb.

mi

22
29
5
12
19 £/

4.00
3.00
3.00
3.50
4.00
4.00
4.00
4.00
4.00
4.00
4.00
4.00

mi

-

iim

Spread between yields on 3Yield.
3-5 year month bills and vields on
6-month
bills 2/
issues 2/ 6-mo. billsl3-5 vr. issues
(per cent)

4.59 (Vfl/60)
2.66
2.89
3.52
3.83
3.94(2/19)
3.80(1/8)

5.07(2/8/60)
2.90
2.93
3.64
3.93
4.02(2/19)
3.92(1/8)

5.00(14/24/59)
3.81
3.41
4.07
4.07
4.09(2/19) •
4.04(1/22)

.79
.24
.04
.13
.10
.13 ^
.07

3.81
3.85
3.89
3.90
3.94/

3.94
3.94
3.96
3.99
4.02^

4.04
4.05
4.06
4.08
4.09

.13
.09
.07
.09
.08

1.81
1.15
.52
.55
.24
.29
.15
.23
.20
.17
.18
.15

Weekly rate shorn ie that in effect at end of period at the Federal Reserve Bank of New York.
Market yield) weekly averages oomputed from daily closing bid prices. Series of 3-6 yqar issues
consists of selected notes and bonds.
Note .—Sighs and Ions are for individual series and may be on different dates for different series,
for spreads, high refers to widest, and low to narrowest.




£ X H 6 I D, F i 1
I T
ol
S H O R T - A N D INTERMEDIATE- TERM INTEREST RATES,
B A N K S A N D OTHER PRIVATE B O R R O W E R S

SOE 1 C*6
lt 1 MNI
Cl I O N
At
AS

F M N f C0MP4BT flfII
IAC
FI D S O N I T
.. I C U T A I

FfDHM f N S
«#

I I I I IIIII I 1 I I IMil I II II I I I I I I I
I
II
Exhibit D

Prime rate

1959-60 - High
Year end - 1961
1962
1963
1964
1965 - High
Jan. 2 2
Jan. 29
Feb.
5
Feb. 12
Feb. 19 £/

1/

I I I I I I I I I

Part II

Finance
company
Federal funds 3/
paper ZL.
(per cent)

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

5.00
4.50
4.50
4.50
4.50
4.50
4.50

5.13 (1/23/60)
3.00
3.19
3.88
4.06
4.13(2/19)
4.00(2/12)

2.88
3.00
3.50
4.00
4.00(2/19)
3.88(2/12)

1.02
.34
.30
.36
.23
.29
.10

4.50
4.50
4.50
4.50
4.50

4.06
4.03
4.00
4.00
4.13

3.40
4.00
4.00
3.88
4.00

.25
.18
.11
.10
.19




4

- 0 0 (5/13/60)

STOCK M A R K E T

/

STOCI MAtlff ( i I VlbT

*»»«ti m m m

' V r v y u ,
• V v A ^ A Z

-

l 1
1 1
II
A K 1 ) 1 1 1 1 11 1 11 1 1 1111 1 11 11 II II II 1 1 11 1 1 1 1 11 1 II 1 1 1 1 IJNL
1I4« j

,

Exhibit E -- Part II

Common
stock
yields 2/
(per cent)

Stock price
index 1/

1961-62 - High
Low
Year end
1963
1964
1965 - High
Low

Trading
volume 3/
(millions
of shares)

72.04(12/8/61)
52.68(6/22/62)

2.80
3.96

10.1
2.4

74.44
84.75
87.56(1/29)
85.37(1/8)

3.13
3.02
2.95
3.02

4.7
4.7
6.2
4.7

7,242
7,053
6,940

5,515
5,099
4,986

1,727
1,974
1,962(1/20)
1,947(2/3)

83.96
86.12
87.29
86.17
86.21

Dec.
Jan.
Feb. 5
Feb. 12
Feb. 19 £/

3.05
2.99
2.96
3.02
3.02

4.7
5.5
5.8
5.9
5.6

7,053
6,940

5,079
4,986

1,974
1,954
1,947
1,958

n»a,—4Jot available, jy Preliminary,

* E E L

:

y

H

S

H

A

5 r

'

Stock marlket customer credit
Customers1
Bank
Total
debit balloans to
ances 4/
"others" 5/
(In millions of dollars)

S

s

S

s

^

«

T

,

' ~

- " ' - «

"

*

5,60% 12/6I) 4,259 (12/6I) 1>418(5/9/62)
4,424(1/61) 3.253 (3/61) 1,161(3/8/61)

°n

N

~

™

Y

3 t

«*

"

k

* » " » .

Y=a^"l figm,.
hidi

1

r
s
E
S
B
Digitized for^FRASER S


E

—

"

1

Of

t X H I B I T F. fori I
PRIVATE H O U S I N G STARTS A N D PERMITS
SEASONALLY ADJUSTED DATA

r-.

/^-VX

lUi 10116 f l l H I U

PER C E N T O F U N A D J U S T E D T O T A L S T A R T S

G O V i l N M i N l UNPilWIITlIK

Exhibit F - Part II
Starts
Total
Seasonally adjusted annual rate

Unadjusted

1/

Unadjusted

Type of financing Type of houslnft
Multi1-2
FHA
family family

Building
permits
(seasonally
adjusted
annual
r a t e ! 2 / ..

(Thousands of units)
1964 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug. .
Sept.
Oct.
Nov.
Dec.
1965 - Jan.

1,718
1,657
1,663
1,531
1,529
1,611

1,505
1,430
1,457
1,591
r/ 1,455
r/ 1,596
1,487

100
100

130
149
158
159
143
142
123
141
r/ 111
r/ 95

11
12
16
18

23
19
20
18
18

19
16

13
13

41.0
58.5
84
31.9
68.5
84
43.1
87.0
109
52.4
96.0
125
51.5
106.1
129
51.3
107.2
134
46.6
.96.1
117
47.3
94.3
119
39.5
83.1
100
45.9
95.0
117
r/ 90 r/73.6 r/36.8
33.7
61.8
r/ 78
n.a.
n. a.
66

1,333
1,404
1,377
1,280
1,271
1,306
1,242
1,281
1,222
1,220
1,258
r/1,173
1,317

BHMSHW
82

without mortgages.
2/ Building permit8 before January 1963 are Census estimates f*r about 10,000 areas identified M

reflect direct adjustment fer differences in the number ef wericlng d*ys per montii, »• well as other
differences in timing and meterage*




I1
E X H I B I T 0 , Pari 1
YIELDS O N NEW A N D S E A S O N E D C O R P O R A T E B O N D l /

NIW I S f
SUS

SUSONiD A,

1941

, 11*3]

Exhibit 6 - Part II
Yields on New Corporate Bond Issues Adjusted to an Aaa basis

Monthly averages;
1964 - Mar.
Apr.
May
June
July
Aug.,
Sept.
Oct.
Nov.
Dec.
1965 - Jan,

Number Am't of issues Average
of
included (mil.
yield
issues of dollars)
(per cent)
6
8
3
4
7
3

166.0
130.0
278.0
230.0
60.0
75.0
239.0
70.0

4.43
4.48
4.46
4.434.37
4.39
4.49
4.46

3
3

140.0
94.0

4.47
4.42

1
10

Weekly averages
1964 - High

Low

Dec.

4

Number Am't of issues Average
included (oil.
of
yield
issues of dollars)
(per fpnt%
140.0
4.47

11

18
25
Jan.

1

8
15
Feb.

40.0

4.53*

22

14.0
40.0
16.0
60.0

4.39
4.33

29
5
12

U !

19

4.53(5/8)

A. in
Mo tot Average# of offering yield# on mil new isiues of publioly offered ooxp orate bonds rated Aaa* it and
A by Moody 1 e Investors Service (except serial and convertible la sue#, offerings of natural gas pipeline
and foreign companies, and bonds guaranteed by the Federal Government) weighted by A me of offering.
Before averaging, new offerings are adjusted to a composite iaa basis by deducting from the actual
reeffering yield tho excess of the weekly average yield for seasoned tends of the appropriate Industryquality group over the composite average for seasoned iaa-rated bonds (Moody's), Average# considered
unrepresentative because o f special characteristics of 1he offerings included are denoted by an asterisk^
f




Exhibit H

H. 14

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

1965
January
February
March

e/800
e/ 800

New Cap ital
1963

1,013
819
1,415
2,3d1
2,847
2,109
3,246

6,994
r/9,544
12,557

1st half
Three quarters
Year

676
637
795

2,369
4,625
r/2,550
3,013

quarter
quarter
quarter
quarter

930
904
1,013

949
656
1,419

October
November
December

613
594
1,144

780
661
r/1,109

July
August
September

930
685
754
2,178
1,069
1,378

April
May
June

1st
2nd
3rd
4th

Corpora te
1964

5,198
7,307
10,553

State and Local 2/
1965
1963
1^64

e/800
e/8 00

p/

947
776
810

732
746
976

£/ 1,242
667
903

869
866
930

£/

i
2

1
906
780
892

680
708
449

850
550
950

1 ,051
729
416

2,533
2,811
2,578
2,350

2 ,454
2,
,665
1,
,837
2,
,197

£/ 5,3 44
£/ 7,922
e/10,2 72

5,
,118
6,
,955
9,
,151

£/
£/
£/
e/

|

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

quarter
quarter
quarter
quarter

Year
e/
£/
1/
2/
V

1,996
4,170
r/2,411
e/ 2,763

2,284
2,529
•I,*68
2,854

e/11,340
9,434
rx
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.




1

H. 14
Exhibit I
New Corporate Security Issues, Type of Issue
and Issuer
(In millions of dollars)

Month
1962 - II
III
IV

3,317
2,167
2,875

Gros s proceeds for new
capital and refunding 1/
Common Memo:
Bonds
and
Foreign
Publicly Privately pfd. issues
Offered Offered
stock included
1,386 . 1,289
251
642
852
1,006
55
308
1,088
135
1,510
277

1963 - I
II '
III
IV

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
III r/
IV

2,499
4,851
2,802
3,311

978
1,321
792
531

1,221
1,640
1,516
2,372

1963 - July
Aug.
Sept.
Oct.
Nov.
Dec.

810
756
871
1,116
891
1,459

279
336
283
511
183
626

1964 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug,
Sept.r/
Oct.
Nov,
Dec.

985
710
805
2,234
1,155
1,461
869
728
1,204
1,032
702
1,577

338
279
361
383
470
468
234
183
376
181
30
320

Quarter
or

Total

Net proceeds for
new cap:
Ltal 1/ 2/
Mfg.

Public
Utility

Communications

Other
issuers

996
566
747

984
376
552

228
274
317

848
685
945

128
434
109
47

947
591
806
968

326
794
285
530

236
221
150
118

842
1,241
868
1,629

300
1,890
494
408

29
105
85
223

418
723
547
1,045

438
856
642
509

273
1,663
59
128

1,240
1,383
1,303
1,332

431
318
501
481
549
751

100
100
87
125
159
83

46
21
42
10
10
27

297
272
237
240
214
515

107
100
78
201
131
198

526
342
353
480
537
623
411
433
672
638
620
1,114

121
88
91
1,372
148
370
225
112
156
213
52
143

5
16
8
34
36
35
21
21
44
82
27
114

149
123
146 .
186
206
332
149
164
234
249
188
607

109
155
174
151
441
264
207
138
296
297
40
172

1965 - I
86
/I#?
25 ^ X 187
3 9 ^
441
531
4M
13
461
64
637
157
83
34
1,377
27
258
23
16
19
81
17
30

515
324
400
463
395
525
401
342
560
321
401
610

100
250
550
n.a.
10
1965 - Jan. e/
815
165
110
430
Feb.
Mar.
2/ Preliminary, e/ Estimated by Federal Reserve.
1/ Gross 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.




.

H. 14
Exhibit J
Other Security Offerings
(In millions of dollars)

1965
January
February
March
April
May
June
July
August
September
October
November
December

Long-term 1/
Gross !
Foreign government 2/
Federal aeencv 3/
1965
1964
1964
1963
1963

e/235

4
82
69
30
75
26
20
13
7
180
72
58 ;

636

Year

232
133
76
57
114
11
63
83

e/--

771

148
--

186
--

275
260
160

459

509
—

174
200

1,204

1,167

—

--

2

New shot t-term 4/
Federal agency 3/
State and local government 5/
January
February
March
April
May
June
July
August
September
October
November
December

103
236
-407
442
81
-80

-9
127
176
7
-15
E/-208

75
272
-367
589
-30
-10
62

208
-173
259
146
-339

e/249

-106

-336
23
97
183
239
-333
167
1
525
113
-3

-189
-482
292

195
319
414
327
258
123
-102

551

P/ 453
598
692
Year
1,600
| / Preliminary. e/Estimated by Federal Reserve, n.a.-Not available, jyThese 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, ^/includes securities offered in the U.S. by foreign governments and their political subivisions and international organizations. Source: Securities & Exchange Commission. 3/
Issues not guaranteed by the U.S. Government. Source: Long-term, Securities & Exchange
•
Commission; short-term, Treasury Dept. & Federal Reserve. 4/These data differ from those in i
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
maturing of one year or less. 5/Principally tax and bond anticipation notes, warrants or
certificates and
 Public Housing Authority notes. In some instances PllA notes included may
have a somewhat longer maturity than 1 year. Source: Bond Buyer & Federal Reserve.



H. 14
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 dollsrs)

Total
1964 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept,
Oct.
Nov.
Dec.
1965 - Jan.

307
263
335
1,557
452
650
291
142
376
187

Conor ite
Bonds
Convertible
(other than
bonds
convertibles)
60
225
200
35
296
51
235
415
390
178
17
125
25
269
108

--

230
130

Stocks
22
28
38
1,271
37
2*0
113
81
79

--

200
115

30

15

State
and
local
governments
577
358
282
698
274
284
544
459
558
419
226
541
419

Other

1/

50
20
15
275
260
104
15
502
15
235

Large Individual Issues Offered February 1 through 19
Issuer

Corporate
Texas Elec, Serv. Co.
* Occidental Pet. Corp.
Dan River Mills
Southern Cal. Ed. Co.
*New England Elec. System

Type 2/

Maturity

16.0
1st mtg. bds.
22.2
Com. stk.
20.0
Deb.
1st & ref. mtg. bds. 60.0
18.3
Com. stk.

State & Local Government
Los Angeles Fid. Cont. Dist
Rev.-Q.-Ut.
Calif.
. .Commonwealth of Puerto RicoG.O.
G.O.
Palm Beach Co., Florida
G.O.
Onondaga Co., N.Y.
G.O.
Phila..Sch. Dist., Pa.
G.O.
State of California
G.O.
Oyster Bay, N.Y.
G.O.
St. Louis, Mo.
Wise. State Agencies Bldg.
Rev.-Rent.
Corp.




Amount
(millions
of
dollars)

15.0
54.0
• 26.8
10.0
16.0
100.0
13.0
10.4
35.3

Coupon
rate or
net interest cost

Offering
vield

Rating

1995

4-1/2

4.40

Aa

1990
1990

4-5/8
4-1/2

4.65
4.44

Aa

1966-67
1966-90
1966-84
1966-95
1966-90
1975-2015
19)65-94
1966-85

2.33
3.36
3.06
n.a.
3.09
3.50
3.22
3.00

2.15-2.25
2.25-3.40
2.20-3.10
2.20-3.15,,
2.20-3.20*'
2.90-3.58—
2.15-3.40
2.15-3.02

Aa
A
A
Aa
A
Aa
A
Aa

1966-99

3.21

2.20-3.20

Aa

--

(b ,
K-2
Large Individual Issues Offered February 1 through 19 (Cont'd)

Issuer

Type 3/

Amount
(millions
of
dollars)

Maturity

Coupon
rate or
Offering
net interyield
est cost

Rating

Other
None.
*--Rights offering.
n.a.--Not available.
1/ Includes corporate and other security offerings of $15 million and over; State &
local government 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 & local govt, securities, G.O. denotes general obligations;
Rev.-Ut., revenue obligation 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/ 1/20 per cent bonds maturing 1990 reoffered to yield 4.10 per cent.
5/ Bonds manuring 2013-15 not publicly reoffered.
#




H. 14
Exhibit L
Forthcoming Large Long-term Public Security Offering for New Capital
(Other than U.S. Treasury) .1/
Expected Proceeds from Forthcoming Large Issues
(In millions of dollars)

i
. 1964 - Jan.
V
Feb.
Mar.
Apr.
May
•i
June
July
Aug.
Sept.
i
Oct.
Nov.
vj.
Dec.
1965 - Jan.

31
28
31
30
28
30
31
31
30
30
30
31
29

During month following
date shown
State and
Other 2/
Corporate
local govt.
-316
155
224
454
25
669
1,587
15
651
3^5
-600
341
-292
539
120
92
15
511
402
500
186
-254
%3
90
360
215
105
305
169
242
--

Corpora te
1,771
1,649
1,837
844
668
307
167
442
186
130
10 j
2

Subsequent to
date shown
State and
local govt.
667
646
953
575
598
716
588
680
626
549
563
435
382

Other 2/
--

25
15

15
25
215
--

Forthcoming Large Offerings as of February 19

Type

Issuer




25.0
25.0

Fsb.
F*b.
Fdb.
Mar.
; Mar.
Mar,
Mar.
Mar.
Mar.

24;
26
26 (rts. ex.)
1 (rts. ex.)
3
4
8 (rts. ex.)
10
11

Gfn. mc.g. bds.
Deb.
Deb.
Ccr>>. s ub. deb.

16.0
20.0
33.0
78.9

Ma r.
Mar.
Mar.
Apr.

17
18
18
1 (rts. ex.)

Pf d. S f> „
1st mtg. td?.
C ,m. b r.ko
O.ny,
c'-t.
" * I mv.g. bis.
i 1st. xrg. tis.

20.?
o
25.!
84.0

Approximate date of
offering

CO

Coroorate
Potomac Elec. Pwr. Co.
Gen. Tel. Co. of Calif,
Armour & Co.
W. R. Grace Co.
*Mississippi Pwr. & Lt. Co.
Florida Pwr. & Lt. Co.
United Air Lines Inc.
Oklahoma Gas & Elec. Co.
Phila. Elec. Pwr. Co.
^Carolina, Clinchfield, & Ohio
Railroad Co.
Northern Nat. Gas Co.
General Acceptance Corp.
*Celanese Corp.

Amount
(millions
of
dollars)
{ '

:o.o

40.0
hb .0

l i ; mtg. bds.
.r

vtL-2
Forthcoming Large Offerings as of February 19

Issuer

Type

Amount
(millions
of
dollars)

Approximate date of j
offering

State and Local Government
San Mateo Jr. College Dist., Calif.
G.O.
State of Maryland
G.O.
Los Angeles Dept. of Wtr. & Pwr., Cal. Rev. -Ut.
Lake Charles, Louisiana
G.O.
Atlanta, Georgia
G.O.
Rev. -Rent.
Penna. Gen. State Auth.
Va. State Highway Auth.
Rev. -Q.-Ut.
Monroe, La.
G.O.
-Public Jtousing Auth.
Fairfax Co., Va.
G.O.
*Milwaukee, Wise.
G.O.
Rev. -Rent.
La. State Bond & Bldg. Comm.
G.O.
Nassau Co., N. Y.
G.O.
Forth Worth, Texas
Rev. -Rent.
111. State Normal Univ.
Pittsburgh, Pa.
G.O.
Dade County, Fla.
G.O.
Rev. -S.T.
Florida Dev. Comm.
Rev. -Q.-Ut.
Los Angeles Harbor Dist., Calif.

11.1
31.9
24.0
12.7
24.2
50.0
31.0
20.4
117.5
10.0
12.0
15.0
19.6
10.4
80.0
35.0
46.0
33.8
11.0

Feb. 23
Feb. 23
Feb. 24 :
Feb. 24
Feb. 24
Feb. 24
Feb.
Mar.
1
3
Mar.
Mar.
3
Mar.
9
Mar. 10
Mar. 10
Mar. 23
Apr. 12
Indefinite
Indefinite
Indefinite
Indefinite

J

)
?
}
1
i

I
I

|

{,
a
i
f
j
4

Other
None.
*--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 for Federal agencies.
Note,--Deletions for reasons other than sale of issue: None.




;
&
|
|
^

H. 14
Exhibit M
Foreign Government and Corporate Security Offerings
and Placements in the United States
Part I:

Sale
! Da te

Amount
(millions
of
dollars)

Public Offerings
-

^

A.

Sold Dec. 1 through February 19

12/15

25.0

12/11

20.1

1/14

200.0

1/19

15.0

Republic of the Philippines--6-1/2% bonds, maturing
1980, reoffered to yield 6.66%.

1/25

'

'

Issuer and Description of Issue

20.0

Republic'of Portugal--5-3/4 bonds, maturing 1985,
reoffered to yield 5.97%.

^European Investment Bank--5-1/2% bonds maturing in 1984,
reoffered to yield 4.85% to investors in the U. S. and
5.54% to other investors.
*
Home Oil Co. Ltd.--5-1/8% convertible subordinate
debenture maturing 1984, offered to stockholders of
record November 19 to yield 5.13%.
International Bank for Reconstruction and Development-4-1/2% bonds, maturing 1990, reoffered to yield 4.48%.

B.

Prospective Offerings
None.

Difference in reoffering yields on bonds sold to U.S. citizens and those sold to foreign
citizens reflects an upward adjustment of 8.83 per cent in the price paid by U.S. citizens.
This premium was collected by the underwriters in accordance with the provisions of the new
Interest Equalization Tax. This tax is collected--under a scale of rates which rises with
maturity--when U. S. lenders by new security offerings from borrowers in certain designated
"developed" countries.




1

.

1°,

M-2
Part II:

Date
reported

Private Placement--Reported December 1 through February 1

Amount
(millions
of
dollars)

Issuer and Description of Issue

12/21

25.0

Prince George Pulp & Paper Ltd.--1st mtg. sinking fund
bonds, maturing 1985--no information available on
*
takedown.

1/11

25.0

Alberta Municipal Financing Corp.--4-5/8% debentures,
|
|
maturing 1989, priced to yield 4.65%--no information \
available on takedown.
•
»

1/13

8.0

Beneficial Finance Co. of Canada--senior notes maturing |
1984--no information available on takedown.
|

1/18

30.0

Province of Nova Scotia--4-l/2% sinking fund debentures/
maturing 1989--no information available on takedown. \

V

tfote: 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
between the data shown in this Exhibit and that shown in Exhibits I and J because the
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 when reported, frequently with little or no information concerning timing of takedowns. Full or partial takedowns may take place both prior arid
subsequent to the data a placement is reported. ^--Included in table for first time.:





Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102