Full text of H.16 Capital Market Developments : February 26, 1968

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DECONTROLLED AFTER SIX MONTHS '

February 26, 1968

(CAPITAL MARKETS DEVELOIMENTS
IN THE UNITED STATES

: ?>

Corporate and municipal bond market. The volume of new, publiclyoffered, municipal bonds expected this week will be significantly above the
average weekly volume over the past year, while once again the corporate
volume.will be relatively reduced. The largest corporate offering will be
Ohio Power's $60 million of first mortgage bonds, while the largest i icipal offering will be the Port of New York Authority's $100 million of
revenue bonds.
y
Long-term Public Security Offerings—'
(In millions of dollars)
Corporate
State & local Government
New Capital | Refunding New Capital | Refund ing_
Sold:
52 week avg.
February

16
23

342

254

r/250
47

r/380
~ 293

145

401

Scheduled:
March
TJ

1

Federal Reserve estimates are based upon published reports of issues
sold and scheduled for offering; corporate rights offerings an
included as of date subscription rights expire.

Yields on new and seasoned corporate bonds were essentially un<
changed last week, while new issues met with only a fair reception. Some
recently offered bonds still in syndicate were sold out at their original
yield , however, and they, together with last week's offerings, are said
to be priced at least very close to the market.
Yields oil municipals advanced last week, but new issues were
not very well received. Only about 50 per cent of the week's new offerings
were reported sold by the end of the week.
Home-mortgage interest rates. Secondary market yields on FHAinsured new-home mortgages which, in December, had already returned to the
record of 6.81 per cent first reached in November 1966 was unchanged in
January for the first month since the recent rise began in May of 1967.
Interest rates on first mortgages for conventional loans on new homes rose
further, however, in January. At 6.75 per cent the average was 5 basis




H. 14
Yields of Security Markets
High Grader
Notes and Bonds

Change from
preceding week

Levels Latest Week

Corporate
New
Seasoned

6.29
6.09

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

—

5

.

1

4
5.57

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

4.06
4.43

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

Amount
(millions of $)

4.96
5.06
Corporate Bonds Still in Syndicate
Reoffering
Issuer
Yield

Rating

Estimated proportion sold

6.30

507,

Narragansett Electric
6-3/4's - 1998

6.65

60%

Duke Power
6-3/8's - 1998

6.32

Aaa

50%

125.0

Michigan Bell Tel.
6-3/8's - 2005 -

6.32

Aaa

50%

100.0

Southern Calif. Edison
6-3/8's - 1993

6.35

Aa

70%

35.0

2/19

7.5

2/15

75.0

. 2/7
.

+ 16

Duquesne Light
6-3/8 's - 1998

2/20

2/6

4.75

Blue List of Municipal Dealers' Advertised Inventories
Latest Week
547(2/20/68)




End of Previous Week
471

Recent High
849(4/26/67)

H. 14

-3-

points above the previous peaks reached last December and in November 1966,
as reported by FHA, which shows such rates rounded to the nearest 5 basis
points. Interest rates for conventional first mortgages on existing homes
also rose to a new high — 6.80 per cent — in January.
A factor in the relative stability of the FHA-yield level in
January was the extreme depth of the discount currently being required
by lenders — 6.8 points — on the average. The recent reduction in bond
yields from earlier peaks was also significant. As a result the spread
between new Aaa corporate bonds and the secondary market yields on FHAinsured home mortgages broadened to 57 basis points in January. While
still quite narrow, this was the largest spread since October and
compared with only 24 basis points in November when the spread was at a
record low.
Stock market credit. During the retreat of stock prices in January,
stock market credit also declined, both at banks and at brokerages. Customers'
net debit balances declined $122 million to $7,761 million, while bank loans
to others than brokers and dealers declined $32 million to $2,432 million.
For both these series this was the first decline since January of last year.
Customers1 net free credit balances, meanwhile, increased$179 million to
$2,942 million during the month.
Stock prices. Common stock prices advanced last week, but trading
volume was considerably reduced. At the close Friday, Standard & Pool's
index of 500 stocks stood at 90.89, up 0.93 from the previous Friday.
Trading volume averaged 8.5 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.




" " H.14

STOCK MARKET CREDIT
(In millions of dollars)

Months

Total

Customer
Net Debit
balances with
NYSE member
firms

Credit
Bank lot-ns to others
than brokers and
dealers for purchasinp & carrying aecur.

Broker & Dealer Credit
Customers
Money
net free
Borrowed
Cust. Other credit
balances
coll. cpU

Outstanding:
1955-56 High

4,047 (5/56) :

1,255 (4/56)

1,873

430

1,069 (1/55

1957-58 Low

3,554 (1/58)

1,060 (11/57)

1,344

188

807 (4/57

1959
1960
1961
1962
1963
1965

4,764
4,142
5,602
4,876
7,298
6,833

1,373(5)
1,121 (5)
1,377 (8) r i
1,269 (9) |
1,727 (12) i
1,865 (2)

2,044 318
1,801 237
2,572 385
1,856 235
3,892 597
2,882 446

1,257
940
1,508
1,091
1,211
1,192

1,974
2,184
2,432

3,393
2,889
n. a.

517
687
n. a.

1,169
1,666
2,942

-382 -170
n. a. n. a.
n. a. n.a.
n.a. n.a.
n. a. n.a.
n.a. n. a.
n.a. n.a.
n. a. n.a.
n. a. n.a.
n. a. n. a.
n. a. n. a.
n.a. n.a.
n.a., n.a.

277
22
199
-57
142
11
110
-60
120
112
-13
263
179

- High
- Low
- High
- Low
- High
- Low

1964 - Dec.
1965 - Dec.
1968 - Jan.
Change in
outstanding:
1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
1968 - Jan.

(4)
(5)
(12)
(7)
(11)
(7)

7,053
7,705
10,193

-98
70
393
161
116
248
467
69
293
271
62
852
-154

3,401
3,004
4,259
3,562
5,586
4,863

(4)
(7)
(12)
(7)
(11)
(7)

5,079
5,521
7,761

-59
11
24
60
9
8
30
65
75
86
19
22
-32

-39
59
369
101
107
240
437
4
218
185
43
830
-122

m m # # # - #
•— Not available.




-4-

(3)
(4)
(4)
(9)
(11)
(8)

Net

EXHIBIT

A, Pari 1

LONG-TERM BOND YIELDS, HIGH-GRADE
Weekly

1963



CORPORATE A m

U.S. G O V E R N M E N T

7~~

Long-term

,'V

STATE A N D L O C A L G O V E R N M E N T Aaa

1964

1965

1966

1967

Exhibit A -- farL il

1959-60 - High
1966 - High
- Low
1967 - High
- Low
Jan. 26
Feb. 2
9
16
23E/

Corporate
Aaa 1 /

State and
U.S. Govt, j
local
long-term 2/, government
|
Aaa 3J
cent)

Spread between
U.S. Govt, and
,State and
Corporate
local Aaa
Aaa

4.61(1/29/60)
5.52(9/9)
4.73(1/7)
6.24(12/29)
5.00(2/10)

4.42(1/8/60) 3.65(9/24/59)
4.04(8/25)
4.87(9/2)
3.39(1/13)
4=42(1/7)
4.15(12/28)
5.49(11/17)
3.25(2/9)
4.37(2/3)

.59(8/5/60)
.84(12/30)
.14(2/18)
.92
.44

6.12
6.12
6.11
6.10
6.09

5.20
5.15
5.17
5.13
5.14

3.98
3.90
3.95
4.00
4.06

.92
.97
.94
.97
.95

.92(4/22/60)
1.19(2/11)
.77(9/2)
1.51
.74
1.22
1.25
1.22
. 1.13
1.08

j>/ Preliminary.
1/ Weekly average of daily figures. Average term of bonds included is 22-24 years.
2/ Weekly average of daily figures. The series includes bonds due or callable in 10
3/ Thursday figures.




Only general obligation bonds are included; average term is 20

EXHIBIT B, Port I

L O N G - T E R M B O N D Y I E L D S , LOWER GRADE
Weekly

C O R P O R A T E Baa

STATE AND LOCAL G O V E R N M E N T Baa




1964

1965

1966

1968

Exhibit B -- Part II

State and
local govt.
Baa 3/

Corporate
Baa 1/

Date

Spread between
Aaa and Baa
State and
Corporate
local aovt.

(per cent)
\
' '
1959-60 - High
Year end- 1965
1966 - High
Low
1967 - High
Low
1968 - Jan.
Feb.

Note:

26
2
9
16
23])/

5.36(2/12/60)
5.04
.
6.18(12/30)
5.05(1/14)
6.97(12/29)
5.81(4/14)

4.46(1/7/60)
3.79
4.55(8/25)
3.78(1/20)
4,73(12/28)
3.85(4/13)

6.80
6.80
6.80
6.79
6.79

4.62
4.60
4.64
4.69
4.73

For footnotes see Exhibit A.




.84
.31
.81
.31
.82
.63
.68
.68
.69
.69
.70

1.08
.39
.62
.31
.81
.37
.64
.70
.69
.69
.67

EXHIBIT C, Port 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
GOVERNMENT
Q,

Weekly

6 - M O N T H BILLS

3-5 YEAR ISSUES

3 - M O N T H BILLS
Market Y i e l d i

,I

1963



I I I I M

1964

I I I ili; I.I i I I i II I I I I M

1965

1966

I Ii IM I l III III
I I i i M r -I
I I II II 1I2

1967

1968

Exhibit C — Part II

Date

Discount
rate

1959-60 - High
Year end - 1965
1966
1966 - High
Low
1967 - High
Low

4.00
4.50
4.50
4.50
4.50
4.50
4.00

1968 - Jan.
Feb.

1/

26
2
9
16
23%/

Yields
3 - m o n t h \ 6-month
bills U
I bills ZJ
(per cent)
4.59(1/8/60)
4.47
4.80
5.52(9/23)
4.39(6/24)
4.99(1^/29)
3.41(6/9)

4.50
4.50
4.50
4.50
4.50

4.97
4.85
5.00
4.97
4.96

5.07(1/8/60)
4.66
92
,92(9/23)
,53(6/24)
.50(12/15)
.74(6/2)
5.16
5.00
5.22
5.14
5.06

3-5 year
issues U

Spread between yields on
3-mo. bills and yields on
fi-mn. bills 13-5 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)
5.55
5.54
5.61
5.56
5.57

.79
.19
.12
.52
.09
.62
.01

1.81
.43
.06
.78
.01
1.61
.02

.19
.15
.22
.17
.10

1/ Meekly rate shlwn is that in ettect at end of period at the Federal Reserve Bank of
2/ HarketryieId;




weekly

averages computed from daily closing bid prices.

Series of 3-5

.58
.69
.61
.59
.61

EXHIBIT

D. Pari I

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 P R I V A T E B O R R O W E R S
Weekly

PRIME RATE
FINANCE C O M P A N Y PAPER

Directly

placed

F.R. DISCOUNT RATE

FEDERAL F U N D S

1964
1963



1966

Exhibit D —

Prime rate 1J

Part II

Finance
company
paper 2/

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

(per
1959-60 - High
Year end- 1964
1965
1966
1966 - Low
1967 - High
Low
1968 - Jan. 26
Feb.
2
9
16
23L

N

5.00
4.50
5.00

6.00

5.00(3/4)
6.00(12/29)
5.50(12/1)

6.00
6.00

6.00

6.00 .

6.00

° t e - d i S r e n t 1 7 A . T For




5.13(1/22/60)
4.06
4.75
5.88
4.75(1/7)
5.75(1/6)
4.38(6/23)
5.38
5.25
5.25
5.25
5.25

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

4.68

4.65
4.73
4.59
4.75

1.02
.23

.28

1.08
.20
1.33
.21
.41
.40
.25

.28
.29

W i d e s t , and low to narrowest.

EXHIBIT E, Pari 1

STOCK M A R K E T

1941-43 a v e r e e * = I O

100

PRICES

S T O C K M A R K E T CREDIT
* CHANGE IN SERIES

40

Million! of shores

VOLUME

YIELDS

1963




1964

1965

1966

1968

Exhibit E — Part II

Stock price
index 1/
1961-62 - High
Low
1966 - High
Low
1967 - High
, Low

95.30
95.04

3.09
3.10

11.5
11.9

10,347
10,193

7,883
7,761

89.86
Feb. 9
89.96
16
232/ 90.89

3.31
3.31
3.28

9.5
10.3
8.5

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

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

1967 - Dec.
1968 - Jan.
1968

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)

Stock market customer credit
Trading
Common
Customers' Bank
volume 3/
stock
debit bal- loans to
Total
yields 2/ (millions
"others"5/
ances 4/
(per cent) of shares)
(In millions of dollars)
5,602(12/61) 4,259(12/61) 1,418(5/9/62)
10.1
2.82
4,424(1/61) 3,253(1/61) 1,161(3/8/61)
2.4
3.96
5,835
2.241(7/6)
7,997
10.7
3.01
5,169
2,097(12/14)
7,302
5.0
3.97
12.3
10,347(12/67) 7,883(12/67) 2,507(11/1)
3.01
6.9
7,345(1/67) 5,290(1/67) 2,055(1/25)
3.58
2,464
2,432
2,438
r/2,449
n.a.

3/ Averages of daily trading volume on the New York Stock Exchange. Year-end figures are averages
4/ End^f^onth'figures for member firms of the New York Stock Exchange which carry margin accounts

others. For further detail see Bulletin.




•

EXHIBIT f, Ron I

MORTGAGE A N D B O N D YIELDS

HOME MORTGAGES:

Aaa CORPORATE BONDS:

1959

1960

<961




1962

1963

1964

1965

1966

1967

1968

Exhibit F
Conventional
mortgages 3/
30-year
25-year
FHA
2/
mortgages —'

1957
1958
1959-60
1961-66
1966
1967

1968

17

High
Low
High
Low
High
High
Low

5.63
5.35
6.24
5.43
6.73

Sept.
Oct.
Nov.
Dec.
Jan.

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

-

1/

4/

1/

•

Spread between yields
on conv. &
FHA mort-^y
Races
~

Aaa Corporate
j >onds
6/
Seasoned"™
Nei

Spread between
yields on new corporate jonds and
FHA mtgjs Seasoned
4/
bonds

5.44
6.81
6.81
6.29

6.00
5.55
6.30
5.80
6.70
6.65
6.40

.47
.15
.23
.25
.30
.11
-.12

4.94
3.65
5.25
4.12
5.82
6.53
5.20

4.12
3.57
4.61
4.19
5.49
6.07
5.03

1.58
.88
1.69
.77
1.11
1.26
.24

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

6.63
6.65
6.77
6.81
6.81

6.55
6.55
6.65
6.70
6.75

-.08
-.10
-.12
-.11
-.06

5.88
6.12
6.53
6.51
6.24

5.65
5.82
6.07
6.19
6.17

.75
.53
.24
.30
.57

.23
.30
.46
.32
.07
re much
liy;
annual

S E T :

2/

Part II

I

U - i y S i v e n

B

.

*

thetaMe.

secondary
^able for
nts,
liming premortgages.
irtgage
t to
conventional
Beginning
d£.te, rate
ates this

Aar mortmnmeortgageeyieeHed;ta are for 25-year mortgages through June 1961; 30-y
gages thereafter.
Moody^^Inves tor ^Service. Monthly averages of daily data.
n.a. -Not available.




-n-

ii

See Exhibit A

EXHIBIT

G, Port 1

Y I E L D S O N N E W A N D SEASONED C O R P O R A T E B O N D S
Weekly

1964



1.5

A d j u i l e d to

Aaa

Bo

N E W ISSUES

6.0

5.5

5.0
SEASONED Aaa
Moody i

4.5

4.0
1965

1966

1968

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

Number
of
issues
Monthly averages:
1968 - Jan.

13

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)
567.0

6.24

Feb.

2
9
16

23eZ

Weekly averages:
High

6.33(1/26/68)
6.18(1/12/68)

Of the offerings included are denoted by an asterisk.
2/

Preliminary.




76 0
237.0
205.0
42.5

6.21
6.23
6.30
6.29

Exhibit H

(In million# of dollars)

State a

Corporate

January
February
March

e/ 1,750
e/ 1,600 >
e/ 1,800

April
Hay
June
July
August
September
. October
November
December
1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

let half
Three quarters
Year

1st
2nd
3rd
4th

e/ 5,150

1,302
1,237
2,446

1,973
1,474 .
2,611

1,553
1,058
2,364

2,457
2,406
1,723

1,039
1,670
1,382

2,289
1,467
2.12,336

829
1,085
1,635

5,363
6,058
6,586
6,092

4,985
4,975
4,091
3,550

11,421
18,007
jj/24,099

9,959
14,050
17,601

e/1,150
e/1,200 /
7/1,100 /

e/3,450

Excluding finance companies 3/

Quarter
Quarter
Quarter
Quarter

5,207
5,913
6,338

4,924
4,884
3,969
3,188
17,269

Year

i

1,648
1,398
2,317

Estimated by Federal Reserve.




^

-19-

1,482
1,194
1,439

/

1,111
1;222
1,497

1,193
901
I,141

943
858
1,324

701
773
1,020

974
I,424
1,060

755
969
940

4,115
3,830
3,125
3,458

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

8,048
II,192
14,652

6,146
8,640
II,304

Exhibit I
New Corporate Security Issues, Type of Issue
and Issuer
(In millions of dollars)
Quarter
or
Month
1966 - III
IV
1967 - I
II
III
IV si

Net proceeds
Gross proceeds for new capital
for new <capital 1y 21
and refunding 1/
Total
Bonus
Common Memo:
Other
Publicly Privately and
Foreign Mfg. Public CommuniUtility cations Issuers!
Offered Placed
pfd. issues
stock included
4,197
2,256
1,627
314
154
1,558
657
567
1,309
3,669
2,047
1,247
375
117
1,232
984
417
918
5,464
6,208
6,834
6,295

3,263
4,017
4,604
3,107

1,811
1,465
1,552
2,137

1967 - Jan.
1,684
Feb.
1,418
Mar.
2,362
2,016
Apr.
May
1,519
June
2,673
July
2,590
Aug.
2,481
Sept. 1,763
Oct. . 2,410
Nov.
1,500
Dec.n 2,385
1968 - Jan. . 1,810

745
900
1,618
1,368
965
1,684
1,889
1,813
902
1,375
645
1,087
885

848
362
601
410
396
659
487
418
647
566
,551
1,020
700

390
726
678
1,051

91
156
143
238
158
330
214
250
214
469
304.
278 ,
225

60
65
234
93

35
10
15
16
32
17
213
13
8
34
19
40
n.a.

2,442
997
3,014 1,268
2,792 1,219
2,527 1,255

624
563
1,254
1,128
588
1,298
925
1,229
637
906
512
1,109
745

220
274
503
394
403
471
446
509
265
573
404
278
405

543
548
595
270

293
105
145
107
91
350
39
356
100
119
82
69
" 150

£/ 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 and other
transportation, real estate and finance, and commercial and other.
SOURCE: Securities and Exchange Commission.




1,382
1,228
1,979
2,040

511
456
415
343
393
492 .
1,046
;
313
i
620
• 690
469
J881
.<
"" 450

Exhibit J
Other Security Offerings
(In millions of dollars)
Gross Long-term 1/
Federal Agency 3/
Foreign Government 2/
1966
1965
1965
1967
1966
1967
January
February
March
April
May '
June
July
August
September
October
November
December

-

196
—*

223
27
13
170
22
586
193
66
142
18

12
40
40
66
69
76
72
7
50
23
74
68

218
—

38
73
• —

91
33
74
5
52
75
2

Jan. - Dec. •sJ

1,656

597

661

Year

1,656

597

661

January
February
March
April
May.
June
July
August
September
October
November
December p•/

1,251
783
750
650
810
650
407
250
599
708
710
612

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

8,180
8,180

6,806

2,732

6,806

2 ,732

— «•

New short-term 4/
Federal Agency
State and local Government 5/
-179
308
179
238
103
-552
387
-24
91
39
-454
-594
450
-458
-319
-559
-827
718
647
580
109
85
515
204
462
93
284
-128
-82
-334
-158
-590
119
219
-103
-262
593
-270
408
270
1,407
200
-652
152
-161
606
464
-555
59
-48
573
503
50
-283
274
219
-570
36
-431
-366

Jan. - Dec.

2,281

Year

2,28-1

422
422

129
185
325
--

775
--

239
150
375
375
179

1,286

660

510

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

1,286

660

310

80 i

£/ Preliminary, e/ Estimated by Federal Reserve.
1/ These datj^.,
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 CommissiWI
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, n. a. — Not available.




1.14
Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. S, Treasury) I/
Proceeds of Large Issues Offered
(In millions of dollars)

Total

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

Corporate
Bonds
Convertible
(other than
bonds
convertibles)

681
842
1,638
1,311
870
1,666
1,340
1,705
794
1,458
826
978
904

611
709
1,435
956
771
1,072.
890
1,288
473
897
461
460
652

30
40
140
213
55
409
317
350
257
285
150
437
168

Stocks

State
and
local
^avarnments

Other

230
530
1,000
540
391
825
85,
221
400
50
845
627
1.095

947
675
669
5-12
496
875
483
473
847
505
865
633
785

40
93
63
142
44
185
133
67
65
276
215
81
85

1/

Large Individual Issues Offered Feb. 1 through Feb. 23, 196*

Issuer

Type 2 /

Amount
(millions
of
dollars)

Corporate
U.S. Smelting Refining &
60.0
Conv. debs.
Mining Company
Southern California
1st mtg. bds.
100.0
Edison Company
Michigan Bell Telephone
125.0
Company
, Debs.
30.0
United Nuclear Corporation Conv. debs.
N.Y. State Electric and
30.0
Pfd. stk.
Gas Company
25.0
Gulf States Utilities Co. 1st mtg. bds.
31.0
Gulf States Utilities Co. Com. stk.
15.0
Debs.
Dallas Power & Light Co.
40.0
1st mtg. bds.
Potomac Electric Power
1st & ref. mtg.
Duke Power Company
75.0
bds.
50.0
S.F.
debs.
International Harvester Co,
35.0
1st mtg. bds.
Duquesne Light Co.




2*

Maturity

Coupon
Offer
rate or
itig
net interyield
est cost

Rating

1993

5-3/4

5.75

B

1993

6.42

6.35

Aa

2005
1998

6.38
5

6.32
5.00

Aaa

1998

6.52

6.45

Aa

1993
2003

6.70
6.54

6.(0
6.50

Aa
Aa

1998
1998

6-3/8
6-1/4

6.32
6.25

Aaa
Aa

1998

6-3/8

6.510

Aaa

K-2

Large Individual Issues Offered Feb. 1 through Feb. 23 (Cont'd)

Type 3/

Issuer
State & local Government
Memphis, Tennessee
Los Angeles Convention
.Authority, California
State of South Carolina
N.Y. State Housing Finance
Agency
Colorado Springs Sch.
Distr.#ll, Colorado
San Francisco B.A.R.T.
Special Service Dist.#l
New York State
Minneapolis-St.Paul Airport
Comm., Minnesota
Georgia Education Authority
State of Connecticut
New Orleans, Louisiana
Philadelphia School Dist.
Other
New Brunswick Electric
Power Commission
Federal Home Loan Bank Bd.
Montreal
Canadian Pacific Railway

Amount
(millions Maturity
of
dollars

Coupon
rate or Offernet inter- ing
est cost Yield

Rating

G.O.

30,,0 1968-93

4.04

32.5-4.,40

Aa

Rev. -Rent.
G.O.

18..0 1973-2003
13.,0 1969-82

4.76
3.73

4.25-4.80
3.10-3. 75

A
Aaa

Rev. -Rent.

81.,0 1968-98

4.78

3.40-4.75

G.O.

14.,8 1969-88

4.22

3.40-4.25

Aa

G.O.
G.O.

12.0
80.0

1970-98
1969-88

4.47
5.00

3.70-4.60
3.40-4 .10

Aa
Aa

Rev.-Rent.
Rev.-Rent.
G.O.
Rev.-Rent.
G.O.

16.0
18 .0
50.0
12.0
45.,0

1971-98
1971-92
1970-88
1969-87
1970-93

3.60-4.50
4.38
3.70-4.60
4.48
3.40-4.13
4.09
4.64 . 3.60-4.70
3.70-5.00
4.63

S.F. debs.
Consol. notes
S.F. debs.
Equip, tr. cert.

15.,0
65.0
25.0
20.0

1993
1970
1988
1983

6-7/8
6.00
7.18
6.90

1/
~~
2/

7.00
5.93
7.06
6.90

Aa
Aa
Aaa
A^
A

A
—

A
Aa

Includes corporate and other security offerings of $15 million and over; State and local
security offerings of $10 million and over.
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 obligation;
"" 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.




-n-

H. 14
Exhibit L
Forthcoming Large Long-term Public Security Offering for New Capital
(Other than U.S. Treaaury) 1/
Expected Propeeda from Forthcoming Large Iaauea
(In milllone of dollara)
During month following
date shown
State and
Other 2/
Corporate
local govt.
1967

1968

Jan. 31
Feb. 28
Mar. 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept,.30
Oct. 31
Nov. 30
Dec. 31
Jan. 31

486
1 ,410
767
963
1 ,449
1:,636
1 ,261
694
534
1 ,357
826
968
531

Corporate

530
250

780
508
227
326
596
401
512
783
768
505
865
633
449

706
1,534
905
1,262
2,065
1,922
1,576
• 1,335
1,090
2,694
2,129
1,892
736

——

70
100
40
--

100
65
50
845
402
60

State and
local govt.
851
528
- 247
346
616
402
575
903
889
743
1,684
1,076
937

Other gf
545
265
15
85
115
70
150
159
126
- 260
875
502
75

Forthcoming Large Offerings as of February 23, 1968.

leaner

S0TP9F#t«
Dhio Power Company
Texas Eastern Transmission
Baxter Laboratories, Inc.
Potomac Electric
Tenneco, Inc.
Diversified Metals
I^iladelphia Electric Co.
Graphic Sciences
General Telephone of the Southwest
Pioneer Natural Gas
Consolidated Edison
Utah Power and Light Co.
"Pacific Gas & Electric
•Louisiana Power & Light Co.
Riegle Textile Corporation
Montana Power
; Piedmont Aviation
A.M.K. Corporation




Amount
(millions
of
dollara)

Type

1st mtg. bds.
Debs.
Conv. sub. debs.
Com. stk.
Cum. pfd. stk.
Conv. sub. debs.
1st mtg. bds.
Conv. debs.
1st mtg. bds.
1st mtg. bds.
Cum. pfd. stk.
1st mtg. bds.
1st & ref. mtg. bds.
1st mtg. bds.
Conv. sub. debs.
1st mtg. bds.
Conv. debs.
Debs.

-it-

...

7£.,

60.0
50.0
25.0
15.8
98.2
20.0
60.0
15.0
25.0
15.0
93.1
35.0
50.0
35.0
15.0
30.0
15.0
30.0

Approximate dajte of
offering

February 27
February 17
February 28
February 28(rts. exp)
5
March
11
March
11
March
12
March
13
March
14
March
18(rts. ex p.)
March
19
March
20
March
March
21
March
Indefinite
Indefinite
Indefinite

•

I

—— ••

L-2
Forthcoming Large Offerings as of February 23. (Cont'd)

Issuer
State and local Government
Dallas, Texas
Charlotte, North Carolina
Albany Co., Albany, N.Y.
Port of . New' York Authority
State of Ohio
Chesterfield, Co.,
Chesterfield, Virginia
Illinois Building, Auth.
Prince Georges Co., Md.
Housing Assistance Admin.
Los Angeles Dept. of Water
„ and Power
Pennsylvania State Sch.
BuiIding, Authority
Anne Arundel Co., Anapolis,
Maryland

Type

Amount
(millions
of
dollars)

Approximate date of offering

G.O.
G.O.
G.O.
Rev.-Q.-Ut.
G.O.

30 .0
12 .1
70,.0
100,.0
75.0

February
February
February
February
February

26
27
27
28
29

G.O.
Rev. -Rent.
G. 0.
Bonds

14..6
35.4
24.,0
143.,8

February
March
March
March

29
5
5
6

-

--™—

Rev.-Ut.

24.0

March

6

Rev.Rent.

40.0

March

12

G.O.

12.0

March

12

frPeralta Jr. Coll, Dist.,Col.G.O.
Chester Co., South Carolina Rev.-Rent.
Rev.-Q-. Ut.
Kentucky Turnpike Auth.
Rev.-Rent.
Calcasieu Parish, La.

18.5
35.0
120.0
62.7

March
19
Indefinite
Indefinite
Indefinite

Other
New Zealand

Bonds

15.0

Indefinite

*—Included in table for first time.
1/ Includes corporate and other issues of $15 million and over; State and local Govemmeq%
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.




-39-

Exhibit M
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.

Sold; Jan. 1 through Feb. 23, 1968.

1/11

60.0

Quebec Hydro - Electric Commission 6 7/8%
debentures maturing 1989, reoffered to
yield 7.00%.

1/23

35.0

Province of Nova Scotia — 7% S.F. debentures
maturing 1993, reoffered to yield . 10%.

2/1

15.0

New Brunswick Electric Power Commission —
6-7/8% S.F. debentures maturing 19S3,
reoffered to yield 7.00%.

2/13

25.0

Montreal, Canada — Al/8% S.F. debent^iures
06%.
maturing 1988, reoffered to yield

2/20

20.0

Canadian Pacific Railway -- 6.90% eqiu ipment
trust certificates — maturing Marcjlh 1, 19$3;
reoffered to yield 6.90%.

B.
Indefinite

15.0

Prospective Offerings
New Zealand —

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




-H ifl

Bonds ***

PART lis

Private Placements - Reported January 1 through February 23,1968.

Date Reported

Amount
(millions
of
dollars)

Issuer and Description of Issue

1/1/68

1.5

Nicaraguan Hotel Co. — U.S. guaranteed
6% note, maturing June 1, 1987.

1/8/68

12.0

: Republic of Portugal — notes due 1968.

1/15/68

7.0

Home Oil Co. Ltd. (Canada} -- Secured
15 year bonds.

1.5

Caribbean Finance Co. (Puerto Rico) Senior
notes due 1/15/80.

6.-0

Aluminio, S.A. de C.V. (Mexico) U.S.
debentures — 7-1/2%, maturing 1980.

- 2/5/68
2/26/68

Note; 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 the Exhibit and that shown in Exhibits I and J because the lattr
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 include
_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.